Post on 25-Jan-2020
United Nations Development Programme
Wider Europe project:Aid for Trade in Central Asia, South Caucasus, and Western CIS
Sheila Marnie UNDP Central Asia EconomistAlmaty, 14th September 2012sheila.marnie@undp.org
Trade as a tool to leverage human development …
Approach
• Supporting the link between human development and trade
• Work at different levels: national, regional, community
• Project focus:
– Capacity building on trade issues at national and local level
to help countries incorporate pro-poor, development-centered trade policies into national and local development strategies
– strengthening trade capacity of SMEs and farmers through business skills development, improving access to market information, access to finance, capacity development of associations for exports promotion, etc.
Project Information
Donors: Ministry for Foreign Affairs of Finland; Government of Luxembourg
Implementation:• Phase I: 2009-2011
• Phase II: 2011-2014
Budget (Million Euro):
Phase I: 1.8
Phase II: 4.7
Wider Europe - Aid for TradeProject Coverage
11 countries in Central Asia, South Caucasus, Western CIS
Phase I: 2009-2011
• 1. AfT Needs Assessments
• 2. Economic Development along transport corridors in CA for SMEs, farmers and associations
Aid for Trade Needs Assessments under phase I
Development of Aid for Trade Needs Assessments in 11 countries in Central Asia, South Caucasus and Western CIS:
Objectives:• Identification of capacity gaps
(institutional, human, etc.) and technical assistance needs;
• Development of policy recommendations and action matrix for potential donor assistance;
• Development of concrete project proposals for AfT interventions.
In country activities: promoting trade along transport corridors
Trade CapacityBuilding
Trade related information capacities
Expanding SMEs’Access to
Financial Services
Eco-Friendly Technologies and Green commodity
To enhance private and
public sector’s trade-related
capacity
Wider Europe - Aid for TradePhase II
I. Linking products with key markets along trade/transport corridors
• Business Development Centres : ARM, GEO, KAZ, KGZ, TAJ• Business training & SME advise : GEO, KAZ, KGZ, MDL, TAJ • Co-financing innovative investments : ARM, KAZ, KGZ, TAJ• Trade information:
• business/exporters/investment guides : GEO,• online market places : ARM, KGZ, TAJ
• Trade in services : GEO• Vocational skills : GEO• Environmental friendly production : KGZ, TAJ
II. Better use of trade opportunities
• Electronic trading facility for light industry : BEL• Capacity development for fruit sector : MDL• Region trade strategy : TAJ• Trade policy – national export strategy, WTO tariff commitments, export financing : UKR
Wider Europe - Aid for TradePhase II
III. Overcoming trade barriers
• Informal trade barriers: research, dialogue process, information (GEO, MDL)• Trade Capacity Development
• Local: region administration, staff of trade/business/information centers (ARM, GEO, TAJ, UKR)
• Central Asia: trade support agencies, entrepreneurial associations (KGZ, TAJ, UZB)
IV. SMEs to benefit from trade
• Application of new technologies, tools for better market access for SMEs (Central Asia )• FairTrade: certification, SME networking, trade fairs (Central Asia)
Synergies with UNDP-supported local development initiatives in CA
• Area-Based Development Programmes in Tajikistan, Kyrgyzstan, Kazakhstan and Uzbekistan
• Presence on the ground for many years
• Permanent offices and field staff
CA coverage: link to ongoing local development programmes
Links to CAREC transport corridors
• 6 corridors traverse Central Asia, including in regions where UNDP active in local development
• Link efforts to improve behind-border conditions and new transport infrastructure
• Very topical due to “Istanbul Process” and efforts to integrate Afghanistan with other countries of sub-region
MONGOLIA
PEOPLE'S REPUBLIC OF CHINA
PAKISTAN
AFGHANISTAN
TAJIKISTAN
KAZAKHSTAN
UZBEKISTAN
TURKMENISTAN KYRGYZ REPUBLIC
RUSSIAN FEDERATION
IRAN
ULAANBAATARASTANA
ASHGABAT
XINJIANG UYGUR AUTONOMOUS REGION
INDIA
Urumqi
N
BISHKEK
AZERBAIJANBAKU
CAREC-1a,c
1a
1c
CAREC-2CAREC-1CAREC-5
CAREC-4a
CAREC-2
2a
2b
CAREC-6a
CA
RE
C-1b
CA
RE
C-6b,c
6a
6b,c
3a
3b
CAREC-6a,b
CAREC-3bCAREC
-3
CAR
EC-6
cC
AR
EC-5
Tashenta
N
TASHKENT
DUSHANBE
KABUL
Ulaanbaishint
Olgiy
Hovd
YarantTakeshiken
Hexi
LianyungangTurpan
KashiUlukeqiati
IrkeshtamSary-Tash
Karamik
Kushat
Kurgan-Tube
Nizhni PianjSherkhan
Kunduz
Torkham
Karachi
Troitsk
Fedorovka
Karaganda
Moyinty
Aktogay
Shu
Druzhba Ala Shankou
Almaty
Khorgos
HuochengLugovayaChaldovar
Naryn
Torugart
Chuanwulu Shankou
Agstafa
Yevlakh
Alyat
Turkmenbashi
Turkmenabad
AktauBeyneu
Karakalpakya
Nukus
Uchkuduk
Navoi
Samarkand
DjizakKhavast
Khujand
Kanibadam
KokandAndijan
Kara Suu
Osh GulchaAlat
Bukhara
RubtsovskBelagash
Semey
Charskaya
Taraz
ShymkentArys
SaryagashChukursay
Syrdaryinskaya
Kara Balta
Tursunzade
Shargun
TermezHairatan
Mazar-i-Sharif
Herat
Islam Qala
Aksarayskaya AtyrauMakat
Orenburg
Iletsk
Kandagash
AyniIstaravshan
Mary Tash GuzarBaisun
Kumkurgan
Tianjin
Kandahar
Jalalabad
Gwadar
Port Qasim
Kumla Pass
Balykchy
Khorong
CA
RE
C-4b
Zamyn-Uud
Sukhbaatar
Astara
Ban
dar-
Abb
as
Sarahs
CAREC-3a
Zaranji
Cha
baha
r
Delaram
Aral Sea
CaspianSea
Arabian Sea
PersianGuff
Karachi/Gwadar
Bandar-Abbas
Chabahar
}
}
Kyzyl-Orda
Aktobe
Erenhot
Naushki
1a,bKuytun
Sarakhs
1b
1c
Landi Kotar
Arababad
Gulam Khan
Gerdez{
Band
ar-A
bbas
6b
1b
MONGOLIA
AZERBAIJAN
AFGHANISTAN
PEOPLE'S REPUBLIC OF CHINA
KAZAKHSTAN
KYRGYZ REPUBLIC
TAJIKISTAN
UZBEKISTAN
0 100 200 300 400
Legend:
Kilometers
International boundaries are not necessarily authoritative
CAREC Participating CountriesCAREC 1: CAREC 2:CAREC 3:CAREC 4:CAREC 5:CAREC 6:Feeder Corridors:
PROPOSED SIX CAREC CORRIDORSPROPOSED SIX CAREC CORRIDORS
UNDP and CAREC
• Working – through ABD and AfT to ensure that transport infrastructure brings benefits to communities situated along the corridors
• Not just at the beginning and end points, or in big transport “nodes”
• UNDP AfT focus: not customs legislation, tariffs, infrastructure
• But trade capacity at the micro/ local level
• With Link to regional cooperation
Links to BOMCA
• Integrated border management project
• EU-financed UNDP-implemented
• Since 2003 (now in Phase 8, 2011-14)
• Includes component on Border Crossing Points and Border Outposts
Example of Batken, KYG
• Trade capacity: local development strategy
• Training for entrepreneurs
• Work with local government and local cooperative on creation of Batken brand
• Support to local producers: processing of local agricultural produce, packaging, storage, identification of new markets
• Opening of Batken trade representation in Novosibirsk
Batken Brand
Batken Brand
Example from Sugd, TAJ
No artificial heating (clay)
Cost of one: 17 000US$ (10K – loan and 7K contribution from farmer)
Cost recovery: one year (2 season January-May 2011 and December 2011-March 2012 - 9 months)
Drip irrigation
Organic fertilizer (i.e. cow dung)
Tonnage (collected: 7000kg tomatoes January - May 2011)
Protecting the environment = PROFIT
Environmental protection & business sense
Some examples from the project: TAJ
Bigger yields:
Traditional cotton - 2.17 ton/ha
‘Organic cotton’ - 2.50 ton/ha
Cost price:Traditional cotton – 907 US$/ha
‘Organic cotton’ - 904 US$/ha
Profit:
Traditional cotton – 314 US$/ha
‘Organic cotton’ - 891 US$/ha
Protecting the environment = PROFIT
Natural fertilizer in cotton production
Some examples from the project:
Improved services along the transport corridors:Establishment of a café along the Kyrgyz – Tajik border
Human Development Impact
Enhanced Trade Capacity
New Sales Channels & Business Partnership
Improved Access toFinances
Eco-Friendly & Cost Effective AG Production
Income Generation
Regional Cooperation
Better Access to Market Information
massimiliano.riva@undp.org
TRADE & HUMAN DEVELOPMENT UNITGeneva, Switzerland
www.undp.org/geneva/trade.html
www.undp.org/poverty/focus_trade_ip_migration.shtml
REGIONAL CENTER for EUROPE AND CISBratislava, Slovakia
http://europeandcis.undp.org/poverty
http://akvo.org/rsr/project/305/joern.rieken@undp.org