Latin America Enhances Trade with WCOSECO Pact

The WCO participated in a trade facilitation conference in Latin America, sharing experiences, assessing performance, and promoting digitalization. The meeting highlighted the importance of political will and cooperation for successful trade facilitation initiatives. The WCO emphasized its continued support for Latin American countries in their efforts to streamline trade processes and enhance regional economic integration. The WCO-SECO partnership plays a key role in providing technical assistance and capacity building in the region. The focus remains on implementing best practices and leveraging technology to reduce trade barriers.
Latin America Enhances Trade with WCOSECO Pact

Latin American nations have made strides in trade facilitation reforms, yet persistent bottlenecks hinder progress. The World Customs Organization (WCO), through its Global Trade Facilitation Programme (GTFP) in partnership with Switzerland’s State Secretariat for Economic Affairs (SECO), recently participated in the third meeting of Latin American National Trade Facilitation Committees (NTFCs) in Montevideo, Uruguay. The event, co-hosted by the World Trade Organization (WTO) and the Latin American Integration Association (ALADI) from May 23–26, 2023, aimed to address these challenges and accelerate regional trade efficiency.

Key Themes: Digitalization, Risk Management, and Performance Metrics

The conference facilitated knowledge-sharing among NTFC members, spotlighting best practices in digitalizing trade processes, risk management for expedited shipments, monitoring implementation of the WTO’s Trade Facilitation Agreement (TFA), and engaging private-sector stakeholders. The WCO played a pivotal role by leading discussions on three critical areas:

  • Performance Measurement and Digital Trade: The WCO emphasized robust evaluation frameworks to assess reform impacts, alongside promoting digital tools such as single-window systems, e-payment solutions, and standardized data exchange protocols.
  • TFA Implementation Tracking: Experts outlined methodologies to help nations identify gaps and align measures with TFA obligations.
  • E-Commerce Risk Mitigation: With cross-border online trade growing, the WCO advocated data-driven risk profiling, collaboration with e-commerce platforms, and streamlined customs procedures.

Outcomes and Persistent Gaps

Attended by 60 delegates from 18 WTO member states, the meeting yielded consensus on several fronts:

  • Political Commitment: Participants noted strong regional willingness to advance trade facilitation, with many countries developing implementation roadmaps.
  • Strategic Shortfalls: Weaknesses in long-term planning and impact assessment were highlighted, underscoring the need to align reforms with national development goals.
  • Interagency Coordination: Enhanced collaboration between customs, border security, and sanitary agencies was deemed essential to reduce delays and costs.

Data-Driven Pathways Forward

From an analytical perspective, the conference underscored opportunities to leverage data for policy optimization:

  • Harmonizing data standards across borders to enable regional benchmarking.
  • Using analytics to pinpoint inefficiencies, such as prolonged clearance times.
  • Establishing quantifiable performance indicators to evaluate reform efficacy.
  • Fostering public-private dialogues to incorporate business insights into policymaking.

While challenges remain—including fragmented strategic planning and uneven interagency cooperation—the GTFP initiative signals continued momentum. The WCO and SECO reaffirmed commitments to support capacity-building, aiming to lower trade barriers and bolster economic integration across Latin America.