The Role of International Business in Aid for Trade : Building Capacity for Trade in Developing Countries
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Washington, DC
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Since the launch of the global
initiative on aid for trade in 2005, there has been a
concerted effort by donors, partner agencies, and recipients
to strengthen trade capacity and improve trade-related
infrastructure so that developing countries may reap the
benefits of trade. The majority of these efforts have been
driven by the public sector: building infrastructure,
providing technical assistance, improving trade
facilitation, and trade policies. With a growing number of
companies looking to the developing world for new markets,
the private sector has a profound interest in ensuring sound
investments through access to trade-related infrastructure,
an educated workforce, and quality standards for inputs to
their goods. The time is ripe to explore new partnerships
between the public and private sector in order to build
trade capacity in developing countries. This paper is a step
towards highlighting the role of the private sector in the
aid for trade initiative and provides a framework for
understanding what this role entails. This framework is
informed by 40 case stories submitted by multinational
companies, business associations, and other private sector
actors, which cover a variety of trade related capacity
building projects. These case stories demonstrate the
importance of the private sector in building human and
productive capacity, incorporating producers into global
value chains, improving quality and safety standards, and
promoting trade facilitation. The paper concludes by
highlighting seven ways in which the private sector engages
with the aid for trade initiative and provides several
avenues for bolstering future collaboration between the
public and private spheres.
Palabras clave
ACCESS TO FINANCE, ACCESS TO MARKETS, ACCESS TO TELECOMMUNICATIONS, ACCESS TO TRAINING, ACTION PLAN, AGRICULTURE, BEST PRACTICE, BEST PRACTICES, BINDING CONSTRAINTS, BUSINESS ADVISORY, BUSINESS ASSOCIATIONS, BUSINESS DEVELOPMENT, BUSINESS ENVIRONMENT, BUSINESS LEADERS, BUSINESS PLANS, BUSINESS PRACTICES, BUSINESS STRATEGIES, BUSINESS STRATEGY, BUSINESS TRAINING, BUSINESSES, BUYERS, CAPACITY BUILDING, CAPACITY-BUILDING, CARBON, CHAMBER OF COMMERCE, CLEAN TECHNOLOGIES, COMMODITIES, COMPARATIVE ADVANTAGE, COMPARATIVE ADVANTAGES, COMPETITIVE MARKET, COMPETITIVE PRICES, COMPETITIVENESS, COMPOST, COMPUTERS, CONFLICT OF INTEREST, CONNECTIVITY, CONSUMER BASE, CONSUMER DEMAND, CONSUMER GOODS, CONSUMERS, COOPERATIVES, CORE BUSINESS, CORRUPTION, CREATION OF JOBS, CREDIT CAPACITY, CREDIT GUARANTEE, CREDIT MANAGEMENT, CREDITS, CUSTOM, CUSTOMS, CUSTOMS CLEARANCE, DELIVERY OF PRODUCTS, DELIVERY SERVICE, DEVELOPED COUNTRIES, DEVELOPING COUNTRIES, DEVELOPING COUNTRY, DEVELOPING ECONOMIES, DEVELOPMENT AGENCIES, DEVELOPMENT ASSISTANCE, DEVELOPMENT CENTER, DEVELOPMENT PROJECTS, DEVELOPMENT STRATEGIES, DISTRIBUTION NETWORKS, DOMESTIC MARKETS, ECONOMIC ACTIVITY, ECONOMIC DEVELOPMENT, ECONOMIC GROWTH, ECONOMIC RESOURCES, EMERGING ECONOMIES, EMERGING MARKETS, EMPOWERMENT, ENTREPRENEURS, ENVIRONMENTAL, ENVIRONMENTAL ISSUES, ENVIRONMENTAL PROTECTION, EQUITY INVESTMENT, EXISTING INFRASTRUCTURE, EXPENDITURE, EXPORTS, EXPRESS DELIVERY, FAMILIES, FARMERS, FARMS, FINANCE CORPORATION, FINANCIAL AID, FINANCIAL INVESTMENT, FINANCIAL SERVICES, FINANCIAL SUPPORT, FINANCIAL SUSTAINABILITY, FISHERIES, FISHERS, FISHING, FOREIGN COMPANIES, FOREIGN DIRECT INVESTMENT, FOREIGN FIRMS, GDP, GLOBAL BUSINESS, GLOBAL BUSINESSES, GLOBAL COMPACT, GLOBAL ECONOMY, GLOBAL MARKETS, GLOBAL SUPPLY CHAIN, GLOBAL SUPPLY CHAINS, GLOBALIZATION, GOVERNMENT ENTITIES, HUMAN CAPACITIES, HUMAN CAPACITY, HUMAN RESOURCES, INCOME, INCOMES, INDUSTRIAL DEVELOPMENT, INFORMATION TECHNOLOGY, INFRASTRUCTURE PROJECTS, INNOVATION, INTERFACE, INTERFACES, INTERMEDIATE INPUTS, INTERNATIONAL BANK, INTERNATIONAL BUSINESS, INTERNATIONAL COMPANIES, INTERNATIONAL COMPETITION, INTERNATIONAL FINANCE, INTERNATIONAL MARKETS, INTERNATIONAL TRADE, INVESTMENT CLIMATE, JOB CREATION, JOB OPPORTUNITIES, LDCS, LIBERALIZATION, LIVING CONDITIONS, LOCAL INSTITUTIONS, LOWER-INCOME CONSUMERS, MANAGEMENT SYSTEMS, MANUFACTURING, MARKET ACCESS, MARKET OPPORTUNITIES, MARKET PRICES, MARKETING, MEDIUM ENTERPRISES, MICRO-ENTERPRISE, MICROFINANCE, MICROFINANCE LOAN, MOBILE APPLICATION, MOBILE DEVICES, MOBILE PHONE, MOBILE PHONES, MULTINATIONAL, MULTINATIONAL BUSINESS, NEW BUSINESS, NEW MARKETS, NUTRITION, OBSTACLES TO GROWTH, OPERATING COSTS, OPERATIONAL EFFICIENCY, OUTPUT, PHOTO, PRIVATE EQUITY, PRIVATE PARTNERSHIP, PRIVATE PARTNERSHIPS, PRIVATE SECTOR, PROCUREMENT, PRODUCERS, PRODUCTION COSTS, PRODUCTION GOODS, PRODUCTIVITY, PROFITABILITY, PROVISION OF FINANCE, PUBLIC FUNDS, PUBLIC GOOD, PUBLIC-PRIVATE PARTNERSHIP, PUBLIC-PRIVATE PARTNERSHIPS, QUALITY STANDARDS, R&D, RED TAPE, REGIONAL INTEGRATION, REGULATORY FRAMEWORK, RESPONSIBLE INVESTMENT, RESULT, RESULTS, RISK EXPOSURE, SAVINGS, SEARCH, SEED CAPITAL, SHAREHOLDERS, SILOS, SMALL BUSINESSES, SMALL FARMERS, SMALL-BUSINESS, SMALL-BUSINESS ENTREPRENEUR, SOCIAL WELFARE, SOFTWARE DEVELOPMENT, SOURCE OF INFORMATION, SUPPLY CHAIN, SUPPLY CHAINS, TARGETS, TAX, TAX REVENUE, TAX REVENUES, TECHNICAL ASSISTANCE, TECHNICAL EXPERTISE, TECHNICAL SUPPORT, TECHNICAL TRAINING, TECHNOLOGICAL CHANGES, TELECOM, TELECOMMUNICATIONS, TERMS OF TRADE, TRADE FACILITATION, TRADE OUTCOMES, TRADE POLICIES, TRADE POLICY, TRADING SYSTEM, TRANSACTION, TRANSACTION COSTS, TRANSPARENCY, USER, VALUE CHAIN, VALUE CHAINS, VILLAGE, VILLAGES, WORKING CAPITAL, WORLD ECONOMY, WORLD TRADE, WORLD TRADE ORGANIZATION, WTO