1. Infrastructure Development and Trade Facilitation for LLDCs: Key issues
Gladys Mutangadura
Senior Programme Officer
UN-OHRLLS

2. LLDCs’ share of global trade is marginal & declined from 1
LLDCs’ share of global trade is marginal & declined from 1.22% in % 2017

3. 4 LLDCs account for 49% of group merchandise exports in 2016 and the most LLDCs only </=2%.

4. LLDCs high share of primary commodities >80% of exports developing countries (18%) world (26%)

5. Trade Potential of LLDCs need to be enhanced
Trade is an important means to achieve the 2030 Agenda for Sustainable Development.
Trade costs for LLDCs are too high.
Vienna Programme of Action – priority areas on – infrastructure Development; Fundamental Transit Policy Issues; Regional integration and Int. trade & trade Facilitation
HARDWARE
physical infrastructure
Roads, rail, air, inland waterways, seaports, dryports
SOFTWARE
policy & regulatory frameworks
Trade Facilitation

6. Hardware
There has been progress in developing all forms of infrastructure
– road networks – expansion, upgrading, closing of missing links
- railway – new railways have been inaugurated
- Air - ongoing successful projects in some LLDCs
- Dry ports

7. Progress
Enlarging route 2 and 7 in Paraguay connecting to Brazil (2016)
Construction and upgrading ECCAS

8. Rail 752.7km Ethiopia-Djibouti railway (2016)
Afghanistan-Turkmenistan Lajaward railway (2016)
China, Kazakhstan, Turkmenistan and the Islamic Republic of Iran

9. Key challenges Poor maintenance
Aging track, obsolete equipment - esp. rail, air
Missing links still large
Huge infrastructure gap
Limited capacity to develop bankable projects
Harmonization of infrastructure standards - gauges for rail
Air - rehabilitation and replacement of aged fleet, and upgrading of airports and terminals
Need for skilled manpower, new technologies and capacity building
Data needed

10. SOFTWARE: The Role of WTO Trade Facilitation Agreement(TFA)
An international framework for reducing trade costs.
Export gains could go up by US$1 trillion dollars per annum.
Trade costs in WTO members could reduce by an average of 15%.

11. Implementation Notifications by the LLDCs
Category A measures = 24 LLDCs
Category B measures = 16 LLDCs
Category C measures = 15 LLDCs

13. Key measures for transit facilitation and their status of implementation by Transit Developing Countries
Fully implementing
Partially
Implementing
Not Implementing
Not Notified
Article 1 (publication) 8 11 3 5
Article 6(Fees and Charges) 10 1
Article 7 (Release and clearance) 18
Article 10(Formalities) 22
Article 11(Freedom of Transit) 9 2

15. Way Forward Closing the existing infrastructure gap is critical
Resource mobilization from all sources
Capacity building or skills development
Corridor approach important
Rapid Implementation of the WTO TFA crucial
Provide specific information on assistance and capacity building
Increased cooperation between LLDCs & transit countries necessary - hard and soft infrastructure.
Data collection critical
Sharing of experiences

16. Thank You