Promoting supply chain connectivity – can APEC deliver?
Address to CBAFF Conference
Stephen Jacobi, Executive Director
Auckland, 10 May 2012
APEC and ABAC
• APEC stimulates economic growth and raises incomes
• ABAC advises APEC Economic Leaders and ensures the agenda makes business sense
Today’s agenda
• About APEC’s supply chain agenda
• About the role of ABAC
• About the Trans Pacific Partnership
Linking global supply to demand
• A one day loss in exports can lead to a loss in export value of 1 %
• World Bank says that improving trade-related transparency in the region could increase trade by 7.5 percent or US$148 billion
APEC supply chain agenda
• Trade Facilitation Action Plans (TFAPs) targeted a reduction in trade transaction costs by 5 % over 2 x 5 year timeframes
• Supply Chain Connectivity Initiative targets a 10% improvement in s/chain performance by 2015
APEC supply chain agenda
• APEC Single Window– 13 out of 21 economies have implemented
systems– 5 economies have systems under
development
ABAC is the voice of business
• Support regional economic integration
• Accelerate the supply chain work plan
• Assess progress
• Promote integrated supply chain and value chain framework
Primary ResourcesAN INTEGRATED REGIONAL GOODS SUPPLY CHAIN
The Pathway to MarketMarkets and Consumers
LandWaterOceans
MineralsForests
etc
AutomotiveChemicalsElectronics
PharmaceuticalFoodetc
SUPPORTED BY REGIONAL VALUE CHAIN COMPONENTS
Quality Assurance Frameworks and Regimes (e.g. food standards, PSP, mutual recognition of qualifications)
Innovation Development Frameworks (e.g. science, R&D, commercialization, multidisciplinary collaboration)
Business & Capability Development Frameworks (e.g. education, human resource development, knowledge infrastructure)
Human resources (e.g. availability, mobility, standards, immigration, social security)
“Border” Flows (e.g. customs, tax, profit repatriation, biosecurity, visas, licences and their scope of business)
Funding and Investment (e.g. venture / private / merchant / public / sovereign)
Market Access (e.g. WTO, regional and bilateral trade and investment agreements, FTAAP, commercial presence, IP)
Overarching Frameworks (e.g. regulatory coherence, transparency and efficiency, cross-border inter-operability, recognition)
Dis
cove
ry a
nd
Inno
vatio
n
Pri
mar
y Pr
oduc
tion
Pri
mar
y Pr
oces
sing
Sec
onda
ry
Proc
essi
ng
Fin
ishe
d Pr
oduc
t M
anuf
actu
re
Sto
rage
and
H
andl
ing
Fre
ight
and
Lo
gisti
cs
Mar
ketin
g an
d D
istr
ibuti
on
Primary ServicesAN INTEGRATED REGIONAL SERVICES SUPPLY CHAIN/NETWORK
The ‘Pathway‘ to MarketMarkets and Customers
Financialprofessional, technical
telecoms, IT, audiovisual transport/logisticsbusiness services, tourism, health,
education etc
etc
Plan
ning
Des
ign
Eval
uatio
n Se
lecti
onte
am fo
rmati
on
Sour
cing
peop
le m
ovem
ent
Qua
lity
cont
rol
Re-
engi
neer
ing
Exe
cutio
nA
fter
sal
es
serv
ice
Dia
gnos
tics
Imag
inati
onIn
nova
tion
Cont
racti
ng,
outs
ourc
ing
LegalFinancial
EngineeringArchitectureAccounting
etc
ABAC is the voice of business
• Support concept of APEC Single Window Cloud– Ease of access– Flexibility– Availability– Lower cost
USC Marshall School Study
• Co-ordinate and share supply chain best practice information
• Improve data collection• Accelerate harmonization of customs requirements and
procedures• Provide leadership, governance, and oversight of
standardization initiatives• Develop APEC wide systems for ICT based systems for
sharing information• Eliminate non-tariff barriers
http://classic.marshall.usc.edu/assets/148/24584.pdf
Trans Pacific Partnership
• Nine economies
• Rules bound framework
• High quality, ambitious comprehensive FTA
• Facilitating supply chains
• Range of commitments
Untangling the noodles !
FTAAP?
Can APEC deliver?
• Only if informed and supported business!
Promoting supply chain connectivity – can APEC deliver?
Address to CBAFF Conference
Stephen Jacobi, Executive Director
Auckland, 10 May 2012
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