Components

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The EU TRA 2 project has three Components which seek to address the main issues identified in assisting PNG to develop the institutions, the skills, the capacities and the infrastructure in order to compete in a more considered, balanced and effective way in the world trading environment.  Globalisation increases the need, particularly for developing countries, to manage the economic opportunities that arise from effectively utilising trade as a tool for economic growth and this project will put PNG firmly on the path to maximising those opportunities.

Component 1 – Institutional reform and capacity building.

There are two elements to Component 1 – the first is to clarify and agree on the roles and responsibilities of all the trade stakeholders as well as their coordination and cooperation mechanisms and accordingly, to establish appropriate bodies and dialogue platforms. Component 1 hence focuses on further supporting the institutional reform initiated by the Government with a view to paving the way for the development of a sustainable trade policy and ensuring its effective implementation.  The project seeks to create a single, competent authority for all trade related matters in PNG.  The second element is to develop the skills, knowledge and capacities of trade-related personnel, not only of the Trade Division, but of all other agencies whose functions overlap with that of trade.

Component 2 – Trade Policy Development

To be successful, trade promotion needs to be based on a policy framework in line with the country overall strategies and its international trade agenda. Support is being provided to develop a comprehensive trade policy, building on TRA-I groundwork.  The EU, through component 2 is therefore supporting PNG trade institutions in formulating and implementing a coherent trade policy and in efficiently pursuing its international trade agenda (including the implementation and deepening of the iEPA). The aim of this Component is to have the trade policy endorsed by the National Executive Council, underpinned by the required legislation.

Component 3 – Trade Facilitation

Although TRA-I was successful in providing support to PNG Customs and quality compliance organisations, outstanding constraints in the area of trade facilitation were  identified as the third problem to be addressed by the programme. As recommended by TRA-I evaluations, component 3 therefore continues the upgrading in trade facilitation successfully initiated previously (including Customs, TBT and SPS related aspects). Specific support is being provided through the programme for strengthening PNG Customs, quality compliance organisations and other relevant stakeholders, including through delivery of training and equipment purchase. Specific support is also being provided for the implementation of the WTO Trade Facilitation Agreement (TFA) in PNG as well as for a feasibility study for the establishment of a Single Window.