Venezuela looks to enter WTO Trade Facilitation Agreement

By Enrique Cheang, E.C.V. & Asociados

The Trade Facilitation Agreement (TFA) entered into force on 22 February 2017 following its ratification by two-thirds of the WTO membership. 

The TFA contains provisions for expediting the movement, release and clearance of goods, including goods in transit. It also sets out measures for effective cooperation between customs and other appropriate authorities on trade facilitation and customs compliance issues. It further contains provisions for technical assistance and capacity building in this area. seven members are yet to deposit their ratifications of the TFA.

Venezuela applied to join the Trade Facilitation Agreement at the 13th WTO Ministerial Conference held in February 2024 in the United Arab Emirates. At a meeting of the Committee on Trade Facilitation of the World Trade Organization (WTO), which took place on April 2024, Venezuela said meeting it aims to deposit son its ratifications of the TFA.

According to the government, Venezuela's entry into the agreement means a 14% reduction in foreign trade costs.

Estimates show that the full implementation of the TFA could reduce trade costs by an average of 14.3% and boost global trade by up to $1 trillion per year, with the biggest gains in the poorest countries.