Asia-Pacific Economic Cooperation 1 Electronic Commerce in APEC: Policy issues Jesus ORTA MARTINEZ Chairman, APEC ECSG Deputy Director-General of Digital Economy Ministry of the Economy Government of Mexico 2nd APEC E-Commerce Business Alliance Forum

Asia-Pacific Economic Cooperation 2 Agenda Overview / Background The role of APEC in e-Commerce Policy issues ECSG Work Program ECSG Future Work Concluding remarks

Asia-Pacific Economic Cooperation 3 Region Region % % CAGR CAGR Developing Asia and Pacific Developing Asia and Pacific Latin America Latin America Transition economies Transition economies Africa Africa Total developing countries Total developing countries North America North America Developed Europe Developed Europe Developed Asia and Pacific Developed Asia and Pacific Total developed countries Total developed countries World total World total Source: UNCTAD elaboration of data from Forrester (2001). Source: UNCTAD elaboration of data from Forrester (2001). Overview/Background – eCommerce forecast (BUSD)

Asia-Pacific Economic Cooperation 4 Overview/Background – eCommerce trends

Asia-Pacific Economic Cooperation 5 Overview/Background – eCommerce trends

Asia-Pacific Economic Cooperation 6 Overview/Background – eCommerce trends

Asia-Pacific Economic Cooperation 7 Overview/Background – Barriers to eCommerce Legal/Policy Capacity Infrastructure Authentication Invoice Standards Trust Business environment Cultural issues Technological preparedness Internet access Communications costs Security

Asia-Pacific Economic Cooperation 8 Background – Role for international fora United Nations (CEFACT, UNCITRAL, ITU, etc.) Regional (APEC, ASEAN, OAS, EU, etc.) Multilateral (WTO, WCO, OECD, etc.)

Asia-Pacific Economic Cooperation 9 Background – Role for international fora Policy guidelines / model regulation Pilot / pathfinder projects Program funding Capacity building Economic and technical cooperation

Asia-Pacific Economic Cooperation 10 The role of APEC Policy guidelines (privacy, consumer protection, security) Pilot / pathfinder projects (ECO, eSPS) Information sharing (privacy and paperless trading IAP’s) Capacity building (standards, security) Multi-working group approach (ECSG, TEL, HRWG, SMEWG, SCCP, SCSC)

Asia-Pacific Economic Cooperation 11 ECSG – Policy issues Standards Confidence / Trust Cross border data flows Security Capacity building Data privacy Paperless trading SPAM

Asia-Pacific Economic Cooperation 12 ECSG – Work program Data Privacy APEC Privacy Principles Information sharing and cross border cooperation Capacity building Privacy IAP Cross border rules Improved privacy notices

Asia-Pacific Economic Cooperation 13 ECSG – Work program Paperless trading Electronic Certificate of Origin E-Sanitary Phitosanitary Certificate Collaboration UN/CEFACT Single Window Initiative Public Private Partnership Dialogue on paperless trading Standards

Asia-Pacific Economic Cooperation 14 ECSG – Work program Other issues SPAM and related threats Open standards and interoperability FTA’s / RTA’s model chapters On-line piracy (ABAC)

Asia-Pacific Economic Cooperation 15 ECSG – Future work Priority: ICT-enabled growth Objective: To develop policy guidelines and hands-on projects aimed at leveraging ICT use to promote economic growth and competitiveness Basic premise: Public-private, horizontal, and proactive approach

Asia-Pacific Economic Cooperation 16 Concluding remarks E-Commerce is consistently increasing but the gap is still wide Developing economies should be more aggresive in leveraging the benefits of e-commerce to promote economic growth (leap-frogging) International fora have a significant potential role to contribute (not realized)

Asia-Pacific Economic Cooperation 17 Concluding remarks In order to realize this potential, collaboration and priorization must be achieved among international actors (coordinated agenda approach) APEC is the fastest growing region in the world and the ECSG works toward enhancing the development of e-commerce in the region to further spur this growth and narrow the digital divide

Asia-Pacific Economic Cooperation 18 Electronic Commerce in APEC: Policy issues Jesus ORTA MARTINEZ Chairman, APEC ECSG Deputy Director-General of Digital Economy Ministry of the Economy Government of Mexico 2nd APEC E-Commerce Business Alliance Forum