RESTRICTEDWORLD TRADE
ORGANIZATIONG/C/W/80/Add.1
2 December 1998
(98-4831)
Council for Trade in Goods
TRADE FACILITATION
Update of Background Note G/C/W/80
Addendum
The present note updates information on work already done or being done in the area of trade
facilitation by a number of international organizations, as initially set out in document G/C/W/80 of
May 1997.  The note concentrates mainly on activities that have occurred since May 1997, but takes
also into account any additional information on work already mentioned in the original background
note, as provided by the relevant international organizations.  The notes relies exclusively oninformation obtained from the organizations mentioned below.
I. INTERGOVERNMENTAL ORGANIZATIONS
United Nations/Economic Comm ission for Europe (UN/ECE)
1.1 (Update of paragraph 9) : EDI, and UN/EDIFACT, can be classified as one of the
cornerstones of Electronic Commerce.  Within the work programme of CEFACT there are activities
for the review, monitoring and evaluation of on-goi ng developments in the information technology
area in order to incorporate appropriate new technologies, such as those related to Electronic
Commerce, into its work. Recommendation 25, which encourages the use of UN/EDIFACT by
governments in their administrations and in their EDI communications with the private sector, wasadopted by the UN Economic and Social Council as a UN Recommendation in July 1997 .
1.2 (Update of paragraph 13) : One of the main objectives of dynamic International Trade
Transaction modelling is to enable the future possibility of using EDIFACT to expedite and facilitatetransactions at a ll levels.  Therefore, the dyna mic modelling takes into account the work of the
CEFACT Business Process Analyses Working Group, which through the inception of CEFACT
succeeded  the Business and Information Modelling (BIM) Group.  To enable the use of electronic
messages, it is necessary to create the model as detailed as possible in specific areas (transport ofgoods, payments, etc.) and to identify message functions, sequence, business rules and constraints thatapply to each business area.  These business data attributes and relationships, defined in scenarios ofEDI supported activities, would be mapped to EDIFACT structures as specified by the EDIFACTsyntax.
1.3 (Update of Annex II, paragraph 5): The syntax rules govern the structure of United
Nations Standard Messages (UNSM) which is a struct ured set of data values relating to a business
function, organized as a collection of sequenced segmen ts.  The segments consist of data elements that,
together, define a precise concept.  The UNSM is designed to be applicable across business sectors.
UN/EDIFACT concerns the message only;  the communi cation method is not part  of the standard, thus
messages can be sent across both commercial a nd public networks as well as the Internet.G/C/W/80/Add.1
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UN/EDIFACT is also indepe ndent of hardware and software, just  as the recommendations do not define
how to write on the paper, using pencil, typewriter, etc.  Many such messages have been developed and
are contained in the UN/EDIFACT United Na tions Standard Messa ge Directory (UNSM  A total of 175
UNSMs are specified in the latest Directory, with a large number of other messages in the
development stage.
1.4 (Update of Annex II, paragraph 6): The UN/EDIFACT Working Group (EWG)
meetings are held twice a year to develop messages and are attended by over 300 technical experts.
The UN/EDIFACT Directories are approved and publ ished, following each meeting, in accordance
with an approved version/release process.  As part of this process, there is a formal audit to ensure the
quality of the UN/EDIFACT product.  These directories are available from the UN/ECE Trade
Facilitation Internet site (http:\\www.unece.org\trafix) as well as from national, regional and
international organizations that support the process, and the ECE Secretariat.
United Nations Conference on Trade and Development (UNCTAD)
1.5 With regard to UNCTAD’s “Trade Points,” the number of operational Trade Points has
increased from 40 (1997) to 44 (1998), while 21 Trade Points are currently in the development stage,
while the remaining 84 are still in the feasibility stage, which means that UNCTAD has upon requestby a government, appointed a Trade Point Coordinator.
1.6 Two other UNCTAD products, ASYCUDA and ACIS have been enjoying increased demand
over the last year. Different versions of ASYCUDA have been installed in over 80 countries.  ACIS
PortTracker and RailTracker modules have been installed 14 countries, with requests pending frommore than 10 additional countries.
1.7 A new improved version of ASYCUDA (ASYCUDA ++) offers the traditional core features,
i.e system administration, national configuration, tariff and masterfile maintenance, cargo manifest
handling, declaration processing and accounting. In addition ASYCUDA ++ offers to users a number
of important new features:  one of the most important enhancements is the full implementation of the
European Single Administrative Document (SAD).  The system also has the technical ability to
introduce new declaration formats based on other regional declaration standards.  The concept of
direct trader input (DTI) offers important advantages to Customs and brokers who can now enter a
number of declarations locally before establishing the connection to Customs to submit them for
processing; the concept of direct shipper input (DSI) offers similar advantages to Customs and
shippers who can now enter the manifest information in their offices and transmit it to Customs forprocessing; external system communication can be done through UN/ED IFACT messages; and a
modern and user friendly tariff language has been developed enabling Customs to maintain their tariff
rules and calculation algorithms without the need to do any programming or recompilation of any
parts of the system; this language can access all declaration data elements and link the into formulas
using standard logical and mathematical operators and functions.  A flexible selectivity moduleprovides Customs with a powerful tool to significantly accelerate the goods clearance process while at
the same time improving its control capacity; it efficiently selects consignments for inspection
through selection criteria (including a random rate) which can be maintained at national, regional and
local levels.  Full auditability of the transaction files provide an additional tool to tighten the
functional security of the system.
World Customs Organization (WCO)
1.8 Membership of the WCO has increased from 142 to 149 in 1998.  With regard to the revision
of the International Convention on the Simplification and Harmonization of Customs Procedures --Kyoto Convention -- (paragraphs 32-36 of document G/C/W/80), the following additional informationG/C/W/80/Add.1
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has become available since May 1997.  it is proposed that the Convention will contain ten “specific”
annexes, on (i) procedures concerning formalities prior to the lodgement of the Goods Declaration,
(ii) procedures concerning home use, (iii) procedur es concerning outright exportation, (iv) procedures
concerning customs warehouses and freezones, (v) procedures concerning transit, (vi) procedures
concerning processing, (vii) procedures concerning temporary admission, (viii) origin, (ix) offences,
and (x) special procedures.  The Council of the WCO has agreed that reservations will not be allowedagainst any of the standards in the revised Convention.  Furthermore, it is proposed that the revised
Convention will be brought into force by means of a protocol of amendment.  Contracting parties will
have a period of up to two years to implement standards, and up to five years to implement
transitional standards.
International Convention on the Harmonized  Commodity Description and Coding System
1.9 (update of paragraph 41)   The Harmonized Commodity Description and Coding System
(Harmonized System) is an international product nomenclature in force since 1 January 1998
(International Convention on the Harm onized System).  Its main application is for the classification of
goods for Customs tariffs and for the collection of trade statistics.  It is also widely used for the rules
of origin and for all kinds of transactions in inte rnational trade (transport, insurance, trade monitoring
of controlled goods, etc.).  The WTO schedules of almost all Members are based on the Harmonized
System, which means that more than 95% of world trade is covered by the Harmonized System.  The
Harmonized System groups product items in 96 Chapters, 1,241 headings and more than
5000 subheadings.  It provides a legal and logical structure, supported by well-defined rules, to secure
uniform classification.  In order to keep the Harmonized System up to date and to take into accountchanges in technology and the development of new products, the Convention provides for periodic
amendments.  Two revisions have taken place (1992 and 1996).
1.10 The Harmonized System (HS) contributes to the facilitation of international trade by
providing a common basis for classification of g oods.  The HS Convention has now 96 Contracting
Parties and about 170 countries apply HS-based Customs tariffs and trade statistical nomenclatures
(October 1998).  In order to secure uniform interpre tation and application of the legal texts of the HS,
the WCO has put in place a number of programmes.  These include settling of classification questions
and disputes, publishing of classification related information on the internet (www.wcoomd.org),
development of classification infrastructure and best practices in developing countries, pre-entryclassification information programmes and development of a commodity data base (CD-ROM) giving
HS classification of more than 200,000 commodities in trade.
Integrity of Customs Administrations1.11 (update of paragraph 49)   The international customs community realized the need to deal
effectively with the problem of integrity at the Trade/Customs interface and the WCO adopted theArusha Declaration in 1993.  The declaration calls for:
- clear and precise Customs legislation, moderated import tariffs, limited number of tariff rates,
minimum administrative regulation of trade, and standard rules with minimum number of
exemptions;
- simple, consistent, non-discretionary and easily accessible Customs procedures with
possibilities of legal remedies;
- utilization of automated processes;- appropriate measures in human resource management including rotation of assignments and
relocation of staff, proper recruitment, adequate training, and sufficient remuneration;G/C/W/80/Add.1
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- more responsibility and accountability of line managers in identifying weakness;
- more effective internal and external audit;-  more loyalty and pride among Customs officers;- clear direction to Customs officers on expected behaviour;- open and transparent relationship with the business community.1.12 The WCO Secretariat hosted an open discussion on this issue in Brussels in April 1998.  The
Customs Integrity Forum was attended by heads of Customs administrations, relevant internationalorganizations (OECD, ICC, Interpol, Transparency International) and representatives of the business
community.
1.13 The recommendations from the Forum were discussed at the annual meeting of the Council of
WCO in Morocco in June 1998 and it was decided to develop an Integrity Action Plan to helpMembers' Customs administrations to improve integrity within Customs.  The draft Action Plan has
been produced in September 1998 and this Plan is expected to be approved by the Council in
June 1999.
Customs Reform and Modernization Programme1.14 (update of paragraph 50)  The Customs reform and Modernization (CRM) Programme is a
new and comprehensive approach to help to improve the performance of Customs administrations as a
whole and meet the expectations from society, business and governments.  The CRM Programme is a
management tool available to Customs administrations to better understand the requirements of thechanging external and internal environment, a nd to develop self-assessment abilities and skills to
implement a change programme.
1.15 The Programme consists of four stages:
1. Entry state Initial assessment of the readiness with Customs to implement such a
Programme;
Delivery of the Customs Orientation Package for Policy Makers which
explains the role of modern Customs and its importance to society, business
and government;
Securing political commitment and financial resources from government, and
co-operation and support from trade.
2. Diagnostic Study and Planning Stage
Key managers of Customs make an assessment of the situation, identify the
problem areas, root causes to problems, agree on solutions and develop anImplementation Plan.
3. Implementation Stage
Falling mainly on the beneficiary Customs administration and donors, the
WCO Secretariat assists with a wide range of support programmes on
legislation, Customs systems, processes, compliance, management
techniques, human resource development, integrity, and/or automation.G/C/W/80/Add.1
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4. Evaluation Stage
Measurable changes in systems, policies, structures and procedures in the
Customs administration are recorded and evaluated.
1.16 WCO CRM Programmes have been completed in Latvia, Senegal and Uganda, and are
currently under implementation in Cuba, Lithuania, Mauritius, Namibia and Sri Lanka and on
regional basis in the Southern African Development Community.  The Programme is currently under
preparation in Bangladesh and Mongolia.
1.17 The WCO has developed the tools for implementation, trained 150 experienced Customs
officers to use these tools and maintains a pool of accredited facilitators who help the process ofself-assessment in beneficiary countries.  The WCO Secretariat's roles include the promotion of this
Programme and brokering donors and recipient Customs administration together.
Other WCO technical assistance activities
1.18 The main objectives of the WCO training and technical assistance programme are:
- to ensure the implementation and uniform application of Customs Convention and
Recommendations (e.g. the Single Goods Declar ation) developed and administered by the
WCO;
- to improve the effectiveness and efficiency of Customs administrations in the enforcement of
regulations and in the delivery of quality service to the society, to the business community
and to government;
- to help Members' Customs administrations to reform and modernize their organizations, to
employ modern technologies to introduce better management practices and human resource
management including training system development, greater transparency in procedures, and
improve the integrity of their staff.
1.19 The WCO offers 38 standard training programmes in the fields of Harmonized System,
Customs Valuation, Origin of goods, Custom s procedures, Computerization of Customs,
Enforcement, Organization and Human Resources Development in Customs administrations.  The
WCO has developed 66 training modules to assist technical training for Customs officers.  The WCO
carries out 250 seminars, training courses and expert missions annually.
United Nations Commission on International Trade Law (UNCITRAL)
1.20 In addition to the legal instruments mentioned in Annex IX to document G/C/W/80,
UNCITRAL has developed the Model Law on Procurement of Goods, Construction and Services
(1994).
1.21 The Model Law was prepared as a tool for States seeking to modernize their procurement
legislation by maximizing competition, according fair treatment to suppliers and contractors bidding
to do Government work, and enhancing transparency and objectivity. The procedures prescribed in
the Model Law assist States in creating an environment in which the public is assured that the
Government purchaser is likely to spend funds with responsibility and accountability and in whichparties offering to sell to the Government are confident of obtaining fair treatment.  To assist with
enactment and interpretation, the Commission has produced a Guide to Enactment of the UNCITRAL
Model Law on Procurement of Goods, Construction and Services .G/C/W/80/Add.1
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1.22 Work in UNCITRAL is currently progressing on the development of a Convention on
Assignment in Receivables Financing.
1.23 The status of the following Conventions has changed since document G/C/W/80 was
compiled:
Convention on the Limitation Period in the International Sale of Goods (New York, 1974)1.24 The number of Contracting Parties to the Convention has increased from 20 to currently 24,
of which 17 (before 14) are parties to the Convention as amended.
United Nations Convention on Contracts for the International Sale of Goods (Vienna, 1980)1.25 The number of Contracting Parties to the Convention has increased from 45 to currently 53.United Nations Convention on the Carriage of  Goods by Sea (Hamburg,1978) (the “Hamburg
Rules”)
1.26 The number of Contracting Parties to the Convention has increased from 25 to 26.Convention on the Recognition and Enforcement of Foreign Arbitral Awards (New York, 1958)
1.27 The number of Contracting Parties to the Convention has increased from 110 to 120.
United Nations Convention on Independent Guarantees and Stand-by Letters of Credit (New York,
1995)
1.28 The Convention which was adopted and opened for signature by the General Assembly on 11
December 1995 will enter into force upon the deposit of 5 instruments of ratification, acceptance,
approval or accession.  To date, the deposited ratifications and accessions total 3 in number.
International Maritime Organization (IMO)
1.29 IMO membership has increased from 155 to 156 (plus two associate members).  The number
of contracting parties to the Convention on Facilitation of International Maritime Traffic (FAL) has
meanwhile increased from 79 to 82.  Next to those Conventions listed under paragraph 55, other IMO
Conventions related to trade facilitation include the “International Convention on the Safety of Life at
Sea,” (SOLAS) 1974, and the “International Conventi on for the Prevention of Pollution from Ships,”
as modified by the Protocol of 1978 (MARPOL 73 /78); and the “International Convention for Safe
Containers,” (CSC) 1972.  These Conventions cont ain rules on several Certificates without which
ships cannot trade and containers cannot be transported.
1.30 In addition to those intergovernmental organizations mentioned in Annex X, the IMO
cooperates also with UN/ECE and ICAO, and th e nongovernmental organizations BIMCO and
ICHCA.
1.31 In regard to the facilitation of international maritime traffic, a number of technical
cooperation activities are currently undertaken, a new set of amendments is considered by the
Facilitation Committee and emphasis of that Committees work is given to the development ofprovisions for the resolution of stowaway cases and the use of EDI in ship’s clearance, including the
approval of relevant EDIFACT messages a nd their appropriate Implementation Guides.G/C/W/80/Add.1
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UN Economic and Social Commission for Asia and the Pacific (ESCAP)
1.32 In recognition of the importance of micro-level efficiencies to promote inter and intra regional
trade in the Asia and Pacific region, ESCAP has been initiating various programmes and projects to
promote trade facilitation measures and electronic commerce in the region.  In these activities, closecollaboration has been maintained with other regional and international organizations and other UN
agencies, including UN/ECE, CEFACT, AFACT (Asia Council for Facilitation of Procedures and
Practices in Administration, Commerce and Transp ort; former ASEB), EAN International, etc.
1.33 An ESCAP Network on Trade Facilitation was se t up with a view to brining together the
national trade facilitation organs and national focal points established in the Asia and Pacific region
and to contribute to the development of trade facilitation issues and electronic commerce.  It is amechanism by which the interests and needs of ESCAP member and associate member countries
could be reflected in deciding the shape of trade facilitation measures and electronic commerce.
1.34 ESCAP has developed two training modules "E DI – A Management Overview" and "EDI and
UN/EDIFACT – A Technical Overview", which have been included in UNCTAD and ECE as well asnational and regional training activities in the ESCAP region.  Currently "A  Technical Overview" is
under revision and the revised version will be uploaded on the ESCAP Homepage during the first half
of 1999.  "A Technical Overview" is also available in Russian language.
1.35 ESCAP has also developed ESCAP Tr ade Documentation Software (TraDes
TM).  It
incorporates many of the "standards" and "best practices" being promoted by the United Nations and
other international organization to facilitate trade, including the UN Layout Key, data referencing
system, codes, application of electronic commerce capabilities such as fax and the Internet, etc. It
assists trade practitioners in both public and private sectors, especially SME's to produce and
exchange trade documents more speedily with less  paper works and errors, cutting down on time and
costs in trade transaction.  Being generic, it could be tailored to meet requirements of each country.
1.36 ESCAP  has been developing country-specific International Trade Transaction (ITT) models
on air express consignment of India, Malaysia, the Philippines and Sri Lanka.  It is to eliminate
unnecessary procedures, rationalise and harmonize trade transaction processes using the WCO'sguidelines for clearance of express consignments.  ESCAP has prepared a report "ITT Models as an
aid to the process of harmonization".  All country ITT models would be completed by the middle of
1999.
1.37 In the ESCAP region, a number of countries are implementing pilot projects to introduce
trade facilitation measures and electronic commerce with technical assistance from ESCAP, including
regional advisory services.  These case studies illustrate the step-by-step approach recommended bythe Commission to assist countries at different levels of development.  Four cases studies were
presented at the Tenth Meeting of the Steering Group of the Committee for Regional Economic
Cooperation held during 9-11 September 1998 in Bangkok, namely 1) Trade documentation
alignment and development of trade documentation software of ESCAP for Sri Lanka; 2) Total
national EDI implementation by Macau; 3) Automation of the textile quota and export clearancesystem of the Philippines; and 4) Sectoral electronic commerce implementation for an automobile
industry in India.  These cases are available on the ESCAP Homepage, International Trade and
Economic Cooperation Division, Trade Facilita tion  at the URL address "www.unescap.org".
1.38 ESCAP has been active in conducting a series of national and regional level workshops to
build national capability use trade facilitation measures and electronic commerce in the conduct of
international trade.  Till today, national workshops were held in Armenia, Bangladesh, India IslamicG/C/W/80/Add.1
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republic of Iran, Maldives, Mongolia, Myanmar, Lao People's Democratic Republic, Macau, Nepal,
the Philippines, Russian Federation, Sri Lanka, Tonga, Vuanatu, Viet Nam.
1.39 In 1998, within a framework of "Maximizing Benefits from ASEAN: Assistance to new
ASEAN Members in building national capacities for AFTA implementation and trade facilitation",
assistance was provided for the new ASEAN memb er countries (Myanmar, Lao PDR and Viet Nam)
and Cambodia to build national capability in applying trade facilitation measures and electronic
commerce. ESCAP has aligned and standardized the trade documents currently in use in these
countries.  Further ESCAP has incorporated the aligned trade documents of the countries into
TraDEsTM.  National workshops on "Maximizing benefits from ASEAN on economic cooperation and
trade facilitation" were held in June 1998 in Ho Chi Minh City and Yangon.  At the meetings, it was
recommended that the concerned government authorities should consider to accept the aligned trade
documents with the codes and standards as a national set of trade documents.  A sub-regional(ASEAN) seminar entitled "Enhancing Integration of New Members in the ASEAN Process through
Economic Cooperation and Trade Facilitation" was also held in Bangkok in September 1998.  The
Seminar focused on business facilitation and electronic commerce as action agenda for the ASEAN
members.
1.40 ESCAP is currently preparing a theme paper for the fifty-fifth Session of the Commission in
April 1999, "Asia and Pacific into the twenty-fist century;  Information technology, globalization
economic security and development", which includes trade facilitation and the electronic commerce
issues. ESCAP plans to continue assisting the countries  in the region in this field through its technical
assistance programme as well as TCDC and tripartite cooperation to encourage sharing ofexperiences.
Organization for Economic Cooperation and Development (OECD)
1.41 The Committee on Consumer Policy has been examining a number of issues related to
consumer cross-border transactions, including parcel delivery and customs.  Roundtables were held in
June and October 1996 to examine issues that might impact the cost of shipping parcels
internationally.  At a subsequent roundtable on the simplification of Customs clearance procedures
(September 1997), organized in cooperation with the World Customs Organization, participants
discussed policy approaches for simplified procedures that could benefit consumers as well asCustoms authorities and businesses.  It is important to note that, as electronic commerce expands, the
increase in consumer purchases of tangible goods will make it more urgent to resolve existing
delivery problems and to streamline Customs procedures in order to maintain flexible and efficient
distribution channels.  Current work on these issues is, for the moment, focused on fiscal aspects of
customs and is being done by OECD’s Committee for Fiscal Affairs in consultation with the WCO.
1.42 With respect to electronic information exchange and commerce, the Committee for
Information, Computer and Communications Policy has been working on policy aspects related to
computer technology for interactive communi cations since 1993.  In October 1998, the OECD
organized a Ministerial Conference, “A Borderless World:  Realizing the Potential of Global
Electronic Commerce”.  At the conference, Ministerial Declarations that establish baseline principles
and goals, and provide guidance regarding the OECD’s further work, were adopted in three criticalareas, i.e. Protection of Privacy on Global Ne tworks, Consumer Protection in the Context of
Electronic Commerce, and Authentication for Electronic Commerce.
1.43 In general, data requirements, formalities and practices at the border arise from domestic
regulations.  OECD has been engaged in conc erted work on regulatory reform since its 1995
Ministerial Meeting, work which has involved a broad range of analysis and discussion in a number of
different OECD committees.  In 1998, a series of  reviews was initiated Organization-wide of
regulatory systems and reform efforts in differen t OECD countries.  In this context, the TradeG/C/W/80/Add.1
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Committee has been studying the market access effects of domestic regulations (including those for
administering trade).  The analysis has examined in particular the extent to which countries achieve
efficient regulation through the application of six principles:  i.e. transparency and openness of
decision-making;  non-discrimination;  avoidance of unnecessary trade restrictiveness;  use of
international harmonized measures;  recognition of other countries’ regulatory measures;  and
application of competition principles from an international perspective.  In the review, particularattention is paid to selected sectors such as telecommunication equipment, automobile, electricity and
telecommunication services.  With respect to the use of international harmonized measures, the
Chemicals Committee and the Environment Policy Committee are working for harmonization of
national chemical safety policies and instruments and harmonized global control system for
transboundary movements of wastes.
1.44 Due to increasing concerns that corruption may counteract any trade facilitation efforts,
OECD has studied, since 1996, the issue of integrity  and corruption from the point of view of both
public sector and private sector, emphasizing its adverse effect on national development.  The recent
most significant output is the “Convention on Combating Bribery of Foreign Public Officials in
International Business Transactions” which was signed in December 1997.  In April 1998, the OECD
Ministerial Council adopted the “Recommendation of the Council on Improving Ethical Conduct in
the Public Service including Principles for Managing Ethics in the Public Service”.  Following this
recommendation, the Public Management Committee has been further studying and assisting the
member governments’ efforts in this issue.
II. INTERNATIONAL NON-GOVERNMENTAL ORGANIZATIONS
International Organization for Standardization (ISO)
2.1 ISO is a world-wide federation of national st andards bodies, at present comprising some 130
members (one per country).  The object of the organization is to promote the development of
standardization and related activities in the world with  a view to facilitating international exchange of
goods and services and to developing cooperation in the spheres of intellectual, scientific,
technological and economic activity.  The core activity of ISO is the development and publication of
International Standards;  their preparation is a collaborative work between the national standards
bodies of ISO and international organizations in liaison, governmental and non-governmental.
2.2 The role of International Standards in avoiding technical barriers to trade is recognized in the
WTO Agreement on Technical Barriers to Trade.  The development and harmonization within ISO of
global standards to reduce inefficiencies in interna tional commercial transactions is generally viewed
as furthering the objectives of trade facilitation in the economic sectors using these standards.
Activities specifically focused on trade facilitation are reported below.
Information technology and electronic commerce
2.3 ISO collaborates with its partners in international standardization:  the International
Electrotechnical Commission (IEC) and the Intern ational Telecommunications Union (ITU), whose
scope of activities complement those of ISO.  Th e three organizations have a strong collaboration in
standardization, particularly in the field of information technology and telecommunications which arerelevant to the field of electronic business.  The latter field includes the areas of business scenarios,
messages and interoperability for business transactions and product definition data standards for
design, manufacturing and product support.  In the domain of Electronic Business, ISO and IEC are
also cooperating with the UN/ECE through a Memo randum of Understanding.  The work programmes
of the three organizations are coordinated at the highest level by a management group.G/C/W/80/Add.1
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2.4 The technical work in preparing ISO standards is carried out by technical committees in
which national delegations of ISO members participate together with interested international
organizations.  The technical committees active on subjects relating to trade facilitation are:
ISO/IEC JTC 1 Information technology
2.5  This joint technical committee of ISO and IEC (JTC 1) is responsible for standardization in
the field of Information technology.  The JTC 1 subcommittee 32 Data management services
develops open-edi  scenarios and is responsible for the maintenance of the open-edi  reference model
(ISO/IEC 14662).  The this context of open-edi , JTC 1/SC 32 is responsible for the development of
methodologies and formalisms for creating and specify Business Information Models  (BIMs), for
example: the Semantic Descriptives Techniques .  Various JTC 1 subcommittees are responsible for
the standardization of technical documentation related to edi and open-edi  as well as for the standards
for processing multiple languages, character sets and encoding.
ISO/TC 184 Industrial automation
2.6 The subcommittees 4 Industrial data  of ISO/TC 184 is responsible for the development of
standards on industrial engineering practices, information and procedures.  This committeecooperates, for this purpose, with IEC/TC 93 Design automation  and with the UN/ECE.
ISO/TC 46 Information and documentation
2.7 This committee has prepared and is maintaining a series of standards for indexing, at the
international level, traded publications:
ISO 2108 ISBN (International standard book numbering)
ISO3297 ISSN (International standard serial  numbering for periodical publications)
ISO 390 ISRC (International standard recording code)ISO 10444 ISRN (International standard technical report number)
ISO 10957 ISMM (International standard music number)
2.8 ISO/TC 46 has also prepared ISO 3166 Codes for representation of names of countries and
their subdivisions .  Moreover, this ISO/TC establishes the International Standards for transliteration
of various alphabet/characters into Latin characters.
ISO/TC 68 Banking, securities and other financial services
2.9 With regard to facilitation of trade, ISO/TC 68 has prepared and is maintaining International
Standards for safe electronic transfer of funds and, in general, for security in bank-to-bank messages,
in particular, security in edi transmission.  Moreover, the committee is particularly responsible for the
maintenance of ISO 4217 Codes for the representation of currencies and funds  based on ISO 3166
and ISO 9362 Banking telecommunication messages – Bank identifier code  (BIC).
ISO/TC 154 Documents and data elements in administration, commerce and industry
2.10 ISO/TC 154 is preparing International Standards for information interchange within
administration, commerce and industry.  It has endorsed the UN/EDIFACT standard of UN/ECE as
ISO 9735 Electronic data interchange for administration, commerce and transport – Application level
syntax rules  as well as ISO 7372 Trade data interchange – Trade data elements directory  (TDED).
Since the standardization of syntaxes for electron ic business is broader than UN/EDIFACT, it has
been agreed between UN/ECE, ISO and IEC to develop further work in a joint group under a formal
Memorandum of Understanding (MoU).  This MoU further notes that ISO/TC 154 is responsible for
the management of the Basic Semantic Repository  (BSR) project aiming at providing anG/C/W/80/Add.1
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internationally agreed database for use by developers of software for a wide range of applications
including edi.
Others
2.11 Other technical committees oriented towards the preparation of technical industrial standards
are occasionally developing standards relevant for facilitation of trade such as ISO/TC 22 Road
vehicles  which prepared ISO 3780 World manufacturer identifier  (WMI) code and ISO 4100 World
parts manufacturer identifier  (WPMI).  ISO/TC 104 Freight containers  has developed ISO 6346
Freight containers identification and marking  and ISO 9897 Freight containers – Container
equipment data exchange , ISO 10374 Freight containers – Automatic identification .
Note:  There are more International Standards published by ISO and IEC that are relevant to trade
facilitation than those mentioned above, in particular those relating to funds transfer, securities,
identification cards, and automation in general.  The standards listed above have been selected to give
a general idea of the broadness of ISO activities with regard to trade facilitation.  The Catalogue of
ISO and ISO/IEC standards contains more than 1100 0 titles and can be searched online on the ISO
Web site http://www.iso.ch.
International Chamber of Commerce (ICC)
2.12 The International Chamber of Commerce requested the Secretariat to update the information
contained in paragraphs 69 to 72 as follows:
2.13 ICC, as non-sectoral and global organization, often serves as a focal point for trade facilitation
activities among non-governmental organizations. Its membership extends to several thousand
enterprises in more than 130 countries worldwide. It gathers, coordinates, and represents business views
on all issues relating to trade and customs procedur es, documentary requirements, regulatory reform,
transport, electronic commerce and other subjects that  influence the free flow of goods across borders.
In 1996, ICC identified customs modernization and reform as a key concern for the future and
developed the   ICC International Customs Guidelines , which form a comprehensive set of practices for
those engaged in international trade and transpor t.  The 60 Guidelines draw heavily on the Kyoto
Convention and on the Columbus Declaration (For an overview of the guidelines, please refer to
Annex XI).   Since 1996, the ICC has a formal  Cooperation Agreement  with the WCO.
2.14 ICC’s work is generally carried out by its Commissions and Committees of businessmen, each
attending to one or several issues related to trade,  business, investment or trade facilitation. On 1 January
1997, the ICC Committee on Trade Regulation  was restructured and renamed as the  Committee on
Customs and Trade Regulations  to denote the ICC’s new emphasis on customs reform.  Elements of this
Committee’s work program include:
- promotion and awareness-building of the ICC International Customs Guidelines  in other
business organizations and governments;
- provision of business input into WTO work on customs procedures and requirements as a
follow-up to the Singapore decision on Trade Facil itation (for specific recommendations in this
area please refer to ICC policy statement 103-32/57 of November 1997 in Annex ???);
- increased business-customs cooperation under the auspices of the ICC/WCO Cooperation
Agreement to promote efficiency in customs control and facilitation; and
- development of a range of practical uses for the ICC International Customs Guidelines as a
basis for assessing customs efficiency a nd monitoring progress in implementation.G/C/W/80/Add.1
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2.15 Other Commissions with a close link to trade facilitation are the Commission on International
Commercial Practice s which keeps ICC's Incoterms up-to-date and publishes a range of model contracts
and other instruments for traders.. The Transport Commissions provide fora for resolution of problems
involving multiple players in the transport sector.  The  Standing Committee on Extortion and Bribery
promotes the ICC’s Rules of Conduct to Combat Extortion and Bribery in International Business
transaction by encouraging cooperation between  business and governments worldwide. The Commission
on Banking Techniques and Practices  sets self-regulatory standards for parties involved in trade finance,
including the Uniform Customs and Practice for Documentary Credits (UCP).  Finally, ICC's
Commission on Telecommunications and Informati on Technologies and the multi-disciplinary
Electronic Commerce project address policy and prac tical aspects of electronic commerce to promote
the development of self-regulatory fra meworks for trade over open networks.
2.16 The ICC promotes harmonized business practi ces among its members to smooth cross-border
trade. It has developed several business tools for use by the trade community.  These are presented in
Annex XII of document G/C/W/80.
International Chamber of Shipping (ICS)
2.17 The ICS has informed the Secretariat that it has consultative status with IMO, WCO,
UN/ECE, ISO and ICC.  Its recent work has included promotion of the adoption of EDIFACTstandards for the electronic transmission of ships reports to port and national authorities, thepreparation and adoption of IMO Guidelines on the treatment of stowaways and, with UB/ECE, theimprovement of standards and codes for the representation of locations.
International Road Transport Union (IRU)
2.18 The IRU Secretariat requested to update paragraph 74 as follows:2.19 Road transport is the most important form of all land transport categories in terms of tonnage,
mileage, passengers carried, and value of goods transported.  The objective of the IRU is to promotenational and international road transport and to safeguard the interests of professional road transportand transport. The IRU is the international forum and spokesman for national road transportorganisations from 64 countries.  It is the international guarantor of the TIR system ( Customs
Convention on the International Transport of Goods Under Cover of TIR Carnets ), established in 1959
(renewed 1975) under the auspices of the United Nations Economic Commission for Europe.   I n
cooperation with national member organizations, the IRU issues more than 2,000,000 TIR carnets per
year.  The IRU publishes results of studies on road transport indices (forecasts), monthly border waiting
time statistics and a twice-yearly selection of international road transport documentation.
2.20 It was further suggested to amend the initial paragraph of Annex XIII (Additional Information
on IRU Activities) as follows:
2.21 The IRU is currently identifying barriers to in ternational road transport of passengers and goods
and is quantifying their impact on trade and touris m.  It is focusing on administrative difficulties
(permits and quotas), excessive and discriminatory fi scal charges, border crossing difficulties, traffic
restrictions (bans and blockages) and restraints on the free movement of professional drivers (visa
problems).
International Federation of Freigh t Forwarders Associations (FIATA)
2.22 The FIATA secretariat requested that the information provided in Annex XIV of document
G/C/W/80 be amended as follows:G/C/W/80/Add.1
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2.23 FIATA represents the interest of the freight forwarding industry through participation as
advisers or experts in meetings of international bodies dealing with transportation. FIATA is globally
recognized as the official representative organization for freight forwarding services. Through its 96
ordinary members (national associations) and over 2600 associate members (individual freight
forwarders) in 150 countries, FIATA is estimated to reach out to some 40'000 companies world-wide.
FIATA trade facilitation documents and forms:
-- FIATA FBL (Negotiable FIATA Mu ltimodal Transport Bill of Ladi ng) which is recognized by the
ICC and its members worldwide;
-- FIATA FWR (FIATA Warehouse Receipt);-- FIATA FCR (FIATA Forwarders Certificate of Receipt);-- FIATA FCT (FIATA Forwarders Certificate of Transport);-- FIATA FFI (FIATA Forwarding Instructions);-- FIATA Model Rules of Freight Forwarding Services;-- FIATA SDT (FIATA Shippers Declaration for the Transport of Dangerous Goods);
-- The Air Waybill recommended by FIATA for use by Freight Forwarders-- FWB (non-negotiable FIATA Multimodal Transport Waybill)
-- FIATA SIC (Shippers Intermodal Weight Certificate)
2.24 The “FIATA Customs Clearance Manual” , intended for daily use of freight forwarder, is based on
the Kyoto Convention and the Harmonized System.  The “ Facilitation Manual ” is based on
Recommendations by the UN ECE WP.4.
Other FIATA activities2.25 Assistance to the freight forwarding industry th rough training (e.g. The jo int IATA/FIATA training
programme to educate freight forwarders in the handling of air cargo), help with liability insuranceproblems and implementation advice for electronic data interchange.  For all FIATA transport documentsexist EDI messages based on UN/EDIFACT.  For ED I transmission of FIATA documents, EDIFOR (EDI
for the Forwarding Industries) guid elines were developed by FIATA.
2.26 FIATA’s work is organized in so-called “Institutes”, , Advisory Bodies and Working Groups
that identify  problems in certain sectors, and work towards solutions, either through international
organizations or through direct contact with administrations. Presently there exist the following
bodies:
-- Airfreight Institute
-- Customs and Facilitation Institute-- Multimodal Transport Institute
-- Advisory Body Dangerous Goods
-- Advisory Body Legal Matters
-- Advisory Body Public Relations
-- Advisory Body Vocational Training
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