Regulatory and Procedural Barriers to Trade in Armenia
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UNECE Regulatory and Procedural Barriers to Trade in Armenia Needs Assessment Regulatory and Procedural Barriers to Trade in Armenia Trade Barriers to Regulatory and Procedural Needs Assessment Regulatory and Procedural Barriers to Trade in Armenia Trade Barriers to Information Service United Nations Economic Commission for Europe Palais des Nations United Nations publication NATIONS UNITED CH - 1211 Geneva 10, Switzerland Sales No. E.19.II.E.28 Telephone: +41(0)22 917 44 44 ISBN 978-92-1-117208-9 E-mail: [email protected] Website: http://www.unece.org Layout and Printing at United Nations, Geneva – 1910731 (E) – October 2019 – 494 – ECE/TRADE/452 UNITED NATIONS ECONOMIC COMMISSION FOR EUROPE Regulatory and Procedural Barriers to Trade in Armenia: Needs Assessment United Nations New York and Geneva, 2019 ii Regulatory and Procedural Barriers to Trade in Armenia: Needs Assessment Note The findings, interpretations, and conclusions expressed herein are those of the author(s) and do not necessarily reflect the views of the United Nations or its officials or member States. This publication is issued in English and Russian only. Requests to reproduce excerpts or to photocopy should be addressed to the Copyright Clearance Center at: copyright.com All other queries on rights and licences, including subsidiary rights, should be addressed to: United Nations Publications 300 East 402nd St New York, NY 10017 Unites States of America. Email: [email protected] Website: https://shop.un.org/rights-permissions ECE/TRADE/452 UNITED NATIONS PUBLICATION Sales No.: E.19.II.E.28 ISBN: 978-92-1-117208-9 e-ISBN: 978-92-1-004287-1 Copyright © 2019 United Nations All rights reserved worldwide United Nations publication issued by the Economic Commission for Europe Foreword iii Foreword Located in the Southern Caucasus, Armenia is a small upper-middle income landlocked country that is striving to achieve structural transformation towards increased specialization in high-value added activities. Trade development ranks high on the Government’s agenda as a vehicle for enabling enterprises, particularly micro, small and medium enterprises, to achieve the much needed economies of scale and scope. This strategic orientation finds its strongest expressionForeword in the Government’s renewed regional integration efforts, which saw the country join the Eurasian Economic Union (EAEU) in 2015 and the Comprehensive and Enhanced Partnership Agreement (CEPA) with the EuropeanOver the Union last century, in 2017. different energy and raw material sectors, as well as countries, adopted a range of approaches to classify and manage resources. New challenges to the Reaping the expected benefits requires addressingproduction, regulatory distribution and and procedural utilization barriers of energy throughout and raw thematerials have, however, international supply chains. This study identifiesemerged these barriersin recent and years makes that action-orienteddemand innovative recommendations approaches for an integrated resource on how to overcome them. management system. The 2030 Agenda for Sustainable Development defines a clear pathway to address these challenges in a holistic manner. The study integrates the outcome of the stakeholder meeting organized on 13 May 2019 by the Ministry of The United Nations Framework Classification for Resources (UNFC) was developed Economy (previously the Ministry of Economic Development and Investments) in Yerevan, Armenia to discuss under the auspices of the United Nations Economic Commission for Europe by a dedicated the initial results and recommendations. The recommendationscommunity of experts are geared drawn fromto support a range the of country’sfields, but effortswith the to: common goal to develop • Complete the transition towards a paperlessan tradinginternationally system applicable scheme for the classification, reporting and management of energy and mineral resources. Though initially developed for the mineral and petroleum • Achieve successful implementation of its commitments under the World Trade Organization (WTO) sectors, UNFC has recently expanded its scope to include renewable energy. Growing Agreement on Trade Facilitation Agreementawareness and interest in renewable energy resources, including geothermal resources, has • Develop the national quality assurance system,highlighted particularly a need by to ensuring standardize international the way in which recognition renewable of energy potential is classified conformity assessment results issued by Armenianand reported. bodies • Further develop the national system of metrologyTo facilitate improved global communication in the geothermal sector, the ECE Expert Group on Resource Classification, under the framework of a Memorandum of • Develop the manufacturing enterprises’ technologicalUnderstanding capability, between understood the United Nationsas the accumulated Economic Commission for Europe and the knowledge and skills to identify, appraise, utiliseInternational and improve Geothermal on existing Association technologies (IGA), developed and production specifications for applying UNFC to techniques or develop new ones to modernizegeothermal production energ processesy resources. and The venture specifications into new were innovative issued in September 2016. production activities. A set of 14 case studies from Australia, Germany, Hungary, Iceland, Italy, Netherlands, By generating supply chain efficiencies and supportingNew Zealand, enterprise Philippines development, and Russian Federationthe recommendations are presented willhere to facilitate a better help drive progress on multiple Sustainable Developmentunderstanding Goals of (SDGs): the specifications Goal 7 on affordableand the uniform and clean application energy, of UNFC to geothermal Goal 16 on peace, justice and strong institutions,resources. and Goal These 17 on application partnerships. examples The recommendations illustrate the classification will also of a range of different geothermal resource scenarios in a manner consistent with other energy resources. The contribute to SDGs 8 (decent work and economic growth) and 9 (industry, innovation and infrastructure). approach also provides valuable indicators to the value of UNFC as a tool to support UNECE will be assisting the Government’s implementationattainment of theof theSustainable recommendations Development in Goals. collaboration with development partners and working closely with the UnitedExperts Nations in geothermal Resident energy Coordinator’s resources, asOffice well as in those Armenia. in other energy and mineral The findings and recommendations emerging sectors,from the will study find this will collection also be reflectedof case studies in the a useful UN Development reference document in their efforts Cooperation Framework, which seeks to supportto the apply country a globally in addressing applicable key integrated SDG priorities resource and management gaps. system. I commend all those involved in the preparation, review and verification of these case studies and thank, in particular, the International Geothermal Association for its support. Avag Avanesyan Olga Algayerova Deputy Minister Under-Secretary-General of theOlga United Algayerova Nations Ministry of Economy of Armenia ExecutiveExecutive Secretary Secretary of the United Nations EconomicUnited Nations Commission Economic for Commission Europe for Europe iii iv Regulatory and Procedural Barriers to Trade in Armenia: Needs Assessment Preface Since 2010, the UNECE has been undertaking demand-driven national studies of regulatory and procedural barriers to trade, with a view to: helping countries achieve greater regional and global economic integration; informing donors as to where assistance might be required; and, supporting policy discussions within the Steering Committee on Trade Capacity and Standards (previously, the Committee on Trade) and its subsidiary bodies on where additional work is required. This study summarizes the key findings of the eighth study, which focuses on Armenia. It was prepared by the UNECE secretariat in close consultation with public and private sector stakeholders. The study integrates the outcome of the stakeholder meeting, which was organized on 13 May 2019 by the Ministry of Economy in Yerevan, Armenia to discuss the initial results and recommendations. Acknowledgments v Acknowledgments This study was prepared by Ms. Hana Daoudi from UNECE Market Access Section under the supervision of Mr. Mika Vepsäläinen. The UNECE would like to acknowledge the contribution of the following consultants: UNECE regional consultant Mr. Veaceslav Sterbet for carrying out the business process analysis of dried fruits and vegetables; Ms. Cristina Ionica for conducting face-to-face interviews with female owned enterprises; Ms. Hasmik Hovhanesian who conducted face-to-face interviews with agencies responsible for standardization, quality assurance, accreditation and metrology and prepared detailed transcripts that were used by the secretariat for drafting the study. The UNECE would also like to acknowledge the contribution of the following organisations: the Business Support Office-Armenia, particularly Mr. Gevorg Poghosyan for undertaking face-to-face interviews with traders representing male-owned enterprises in Armenia; the Overseas Development Institute, particularly Mr. Maximilano Mendez-Para and Ms. Linda Calabrese who prepared a background report on the country’s regional trade dynamics; and the international polling institution, SATISCAN Sàrl