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Mobilizing Aid-For-Trade Focus Asia and the Pacific Conference Conference Proceedings Co-hosted by the Asian Development Bank, the Philippine Government, and the World Trade Organization Mobilizing Aid for Trade: Focus Asia and the Pacific 19-20 September 2007, ADB Headquarters, Manila, Philippines Mobilizing Aid for Trade: Focus Asia and the Pacific Conference Proceedings Co-hosted by the Asian Development Bank, the Philippine Government, and the World Trade Organization, 19-20 September 2007 Asian Development Bank Headquarters Manila, Philippines Mobilizing Aid for Trade: Focus Asia and the Pacific 19-20 September 2007, ADB Headquarters, Manila, Philippines Mobilizing Aid for Trade: Focus Asia and the Pacific 19-20 September 2007, ADB Headquarters, Manila, Philippines Conference Proceedings Executive Summary 1 Program 3 Opening speech • Haruhiko Kuroda, President, ADB 9 Opening speech • Pascal Lamy, Director General, WTO 15 Plenary 1 • Chairman’s summary 19 James W. Adams, Vice-President for East Asia and the Pacific, World Bank • Session remarks 22 Supachai Panitchpakdi, Secretaty-General, United Nations Conference on Trade and Development Plenary 2 • Chairman’s overview and conclusion 25 William Pesek, Bloomberg News Plenary 3 • Chairman’s summary 29 C. Lawrence Greenwood, Vice-President, ADB • Session remarks 32 Tonga Prime Minister Feleti Vaka’uta Sevele Keynote speech • Philippine President Gloria Macapagal-Arroyo 35 Plenary 4 • Chairman’s summary 39 Peter McCawley, Chair, Asian Development Fund and Visiting Fellow, Australia National University Closing speech • Pascal Lamy, Director General, WTO 43 Closing speech • Haruhiko Kuroda, President, ADB 47 Appendixes - Conference Background Papers Appendix 1 • Background Paper on Greater Mekong Subregion 53 Appendix 2 • Background Paper on South Asia 91 Appendix 3 • Background Paper on the Philippines 109 Appendix 4 • Background Paper on the Pacific 117 Appendix - Main Participants List 135 Mobilizing Aid for Trade: Focus Asia and the Pacific 19-20 September 2007, ADB Headquarters, Manila, Philippines V Mobilizing Aid for Trade: Focus Asia and the Pacific 19-20 September 2007, ADB Headquarters, Manila, Philippines EXECUTIVE SUMMARY The Asia and the Pacific regional Aid-for-Trade review was held on 19–20 September 2007 in Manila, Philippines, co-hosted by the Asian Development Bank (ADB), the Philippine Gov- ernment, and World Trade Organization (WTO) with the collaboration of the World Bank. Co-chaired by ADB President Haruhiko Kuroda and WTO Director-General Pascal Lamy, it brought together over 400 representatives from governments, international organizations, donor agencies, and the private sector. High-level participants included the Philippine Presi- dent, the Prime Minister of Tonga, 10 trade and finance ministers, and four heads of inter- national organizations. The review meeting aimed to (i) identify the main trade needs and priorities for addressing them—both nationally and regionally; (ii) encourage recipient coun- tries/subregions to formulate “business plans”; (iii) encourage donors to develop a detailed response and scale-up trade-related development assistance in the region; and (iv) secure the political commitment to follow through on the Aid-for-Trade agenda in the region. There was a widespread recognition at the Manila review of the “two faces” of development in Asia and the Pacific. While a group of countries such as the newly industrialized econo- mies (NEs), People’s Republic of China, and ndia, have responded well to globalization, reducing trade barriers, boosting economic growth, and lifting millions out of poverty, a larger group of least developed countries (LDCs), small states, and other developing countries in the region still struggle to fully benefit from trade. Emphasis on outward-oriented develop- ment strategies, investments in modern infrastructure and human capital upgrading help to explain the performance of the first face of Asia and the Pacific. Meanwhile, the other face is characterized by countries that are landlocked, isolated, with fragmented markets, in a post-conflict environment, or otherwise lack the capacity to trade. These countries are thus in need of greater assistance to prosper from global trade. Within this context, the Manila review highlighted the importance of a coherent approach to Aid for Trade in Asia and the Pacific, tailored to diverse subregional and national needs. Furthermore, recipient countries called on donors to provide additionality for Aid-for-Trade programs in line with the Paris Principles. There was also acknowledgement that policy lessons from the region’s success stories (for example, outward-oriented strategies and pri- vate-public sector partnerships) had relevance for national development strategies in other economies in the region. The sessions identified several common themes that will help shape the future Aid-for-Trade agenda in the region: (i) the importance of regional cooperation and integration; (ii) the need for better cross-border infrastructure; (iii) the need for further assistance to countries in their efforts at trade facilitation; (iv) the need to develop trade finance markets through public-pri- vate sector partnerships; and (v) close adherence to the principles of the Paris Declaration, in terms of harmonization of donor procedures, mutual accountability, and alignment to do- nor partnerships. The review participants agreed on the need to take the Aid-for-Trade initiative in Asia and the Pacific forward into 2008 and beyond. To this end, the ADB and WTO were tasked with pre- paring a short report on the outcome of the Manila review and the next steps to be presented at the WTO’s Global Aid for Trade Review in Geneva on 20-21 November 2007. 1 Mobilizing Aid for Trade: Focus Asia and the Pacific 19-20 September 2007, ADB Headquarters, Manila, Philippines 2 Mobilizing Aid for Trade: Focus Asia and the Pacific 19-20 September 2007, ADB Headquarters, Manila, Philippines CONFERENCE PROGRAM 3 Mobilizing Aid for Trade: Focus Asia and the Pacific 19-20 September 2007, ADB Headquarters, Manila, Philippines PROGRAM 18 September 2007 13:00–15:00 Registration ADB Auditorium Lobby 16:00–20:00 Registration Ballroom 1 EDSA Shangri-La Hotel, 1 Garden Way, Ortigas Center, Mandaluyong City 18:00–20:00 Welcome Cocktail Reception Ballrooms 2 to 4, EDSA Shangri-la Hotel, 1 Garden Way, Ortigas Center, Mandaluyong City 19 September 2007 07:45–08:45 Registration ADB Auditorium Lobby 09:00–09:30 OPENING REMARKS—Aid for Trade in Asia and the Pacific ADB Auditorium 09:30–09:40 Break ADB Auditorium Lobby 09:40–10:55 PLENARY 1—Why “Aid for Trade” Matters in Asia and the Pacific ADB Auditorium Zones A and B 10:55–11:15 Networking Break ADB Auditorium Lobby 11:15–12:30 PLENARY 2—Public-Private Sector Partnerships for AfT in Asia and the Pacific ADB Auditorium Zones A and B 12:30–14:00 Lunch ADB Executive Dining Room 14:00–17:00 PARALLEL BREAK OUT SESSIONS Greater Mekong Subregion (GMS) Session—Country Adjustments to Trade Liberalization and the Global Trade Environment: Support Requirements and Aid Agenda ADB Auditorium Zone B 14:00–15:15 Session 1: Scope of Aid for Trade in the GMS 15:15–15:35 Networking Break 15:35–17:00 Session 2: Key sector issues related to Aid for Trade under the GMS Economic Cooperation Program 4 Mobilizing Aid for Trade: Focus Asia and the Pacific 19-20 September 2007, ADB Headquarters, Manila, Philippines South Asia Session—Reaping the Benefit from Trade nfrastructure, Value Chain nvestment, and Supply Capacity Building in South Asia ADB Auditorium Zone C 14:00–15:15 Session 1: Scope of Aid for Trade in South Asia 15:15–15:35 Networking Break 15:35–17:00 Session 2: Taking stock of sector issues related to Aid for Trade Philippines Session—Promoting Competitiveness and Enhancing Export Capability, An Aid for Trade Strategy ADB Auditorium Zone D 14:00–15:15 Session 1: Scope of Aid for Trade in the Philippines 15:15–15:35 Networking Break 15:35–17:00 Session 2: Taking stock of sector issues related to Aid for Trade 17:30–20:00 Dinner Reception ADB Executive Dining Room 20 September 2007 08:00–09:30 PLENARY 3—Ministerial Roundtable on AfT in Asia and the Pacific ADB Auditorium 10:00–10:30 KEYNOTE ADDRESS ADB Auditorium 10:30–10:50 Networking Break 10:50–12:05 PLENARY 4—Donor Partnerships for AfT in Asia and the Pacific ADB Auditorium 12:05–12:25 CLOSING REMARKS—Summary and Next Steps ADB Auditorium 12:25–14:00 Lunch ADB Executive Dining Room 5 Mobilizing Aid for Trade: Focus Asia and the Pacific 19-20 September 2007, ADB Headquarters, Manila, Philippines df SDE EVENTS gnjdtr 18 September 2007 Workshop on Standards and Trade Development Facility Organized by the World Trade Organization ADB Auditorium A 08:30–09:00 Registration 09:00–09:15 Opening Remarks 09:15–09:45 Session 1: Addressing the challenge of the increasing importance of SPS measures on international trade 09:45–11:15 Session 2: Strengthening the demand side – SPS needs in Cambodia, Lao P.D.R and Vietnam 11:15–11:30 Coffee Break 11:30–12:45 Session 3: The view from the private sector 12:45–14:15 Lunch Break 14:15–16:00 Session 4: Assessing the supply side of SPS related assistance – Compilation of selected donors’ assistance in Cambodia, Lao People’s Democratic Republic (P.D.R) and Vietnam 16:00–16:15 Coffee Break 16:15–17:30 Session 5: Bridging the gap between supply and demand – Lessons learnt from existing processes 17:30–17:45 Closing Remarks Workshop on Private Sector and Aid for Trade Organized by the International Trade Center ADB Briefing Room 08:30–09:00 Registration 09:00–09:15
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