• WTO/EIF approve Vt1.4 b for tourism project
• Tourism critical tool for development
• EIF Project supports efforts to rebuild Vanuatu's vital tourism infrastructure
• Trade and services, rehabilitation and promoting cultural heritages
• Vanuatu Diagnostic Trade Integration Study (DTIS) November 2007
• Vanuatu Action Matrix 2007

Vanuatu undertook a Diagnostic Trade Integration Study (DTIS), which was validated in November 2007 with support from UNDP. A Trade Policy Framework has subsequently been adopted in 2012 and is currently being implemented.

Under the EIF, Vanuatu is starting implementation of a Tier 1 project in support of their National Implementation Arrangements (NIAs). Under the Integrated Framework (IF), Vanuatu benefited from one Window II project to provide legislative assistance to the Department of Customs to review the customs duties Act and related legislation, and to have a comprehensive update of the Act; support to WTO accession process; and entrepreneurship training to cooperatives. The National Implementation Unit (NIU) (and now the Trade Development Division) was also established in 2007 under the IF Window II project.

Main progresses to date

Vanuatu validated a Mainstreaming Trade Roadmap in 2011, a process supported by the EIF and UNDP. The Roadmap has subsequently been adopted by the Council of Ministers and contributed to the vision and basis for the Trade Policy Framework (TPF) as well as their Tier 1 project. The Roadmap has been a key input into Vanuatu's Trade Policy Framework, adopted in 2012. It takes forward the diagnostics from the DTIS and other studies, together with the Trade Mainstreaming Roadmap – financed through the EIF and implemented by UNDP – to provide economic development guidance.

AfT assists developing countries, especially LDCs, in engaging with global markets by strengthening their trade capacity and trade-related infrastructures. With the Brussels Programme of Action for the Least Developed Countries for the Decade 2001-2010, a comprehensive set of commitments spearheaded by the UN aiming to eradicate poverty in LDCs ensured that AfT became a crucial component of Official Development Assistance (ODA). The Brussels Programme recalled the difficulties faced by LDCs as well as the measures necessary to reintegrate marginalized countries into the multilateral trading system. It committed both development partners and LDCs to a series of actions aimed towards trade integration. Support to LDCs mainly consisted of financial aid, technical assistance and simplified access to developed country markets. Overall AfT commitments have amounted to US$66 billion for the period 2001‑2011.

Similarly, the WTO declared "technical cooperation and capacity building" with regard to developing capacities for least-developed and low-income countries as a priority for the Doha Round. At the Sixth Session of its Ministerial Conference held in Hong Kong in December of 2005, the WTO reaffirmed its intention to take on an important role in this area by launching the AfT Initiative. As a result of this Initiative, which involved not only the WTO but also other organizations, donor contributions increased further, and an annual event, the Global Review of Aid for Trade, was created.

The progress of AfT towards its desired results is assessed by a joint WTO-OECD monitoring and evaluation framework. This framework annually publishes a report of Aid for Trade at a Glance. Another report by this framework, focusing on LDCs, concluded in 2011 that there had been a "steady, if hard-won progress" in achieving AfT results. It also showcased success stories such as that of Cabo Verde, which graduated from the LDC list in 2008 with assistance notably from the EIF.

Main Projects Ongoing

Description of the projects (objectives and interventions):

Under the EIF, Vanuatu is starting implementation of a Tier 1 project in support of their National Implementation Arrangements (NIAs). Under the Integrated Framework (IF), Vanuatu benefited from one Window II project to provide legislative assistance to the Department of Customs to review the customs duties Act and related legislation, and to have a comprehensive update of the Act; support to WTO accession process; and entrepreneurship training to cooperatives. The National Implementation Unit (NIU) (and now the Trade Development Division) was also established in 2007 under the IF Window II project.

Main progresses to date:

Vanuatu validated a Mainstreaming Trade Roadmap in 2011, a process supported by the EIF and UNDP. The Roadmap has subsequently been adopted by the Council of Ministers and contributed to the vision and basis for the Trade Policy Framework (TPF) as well as their Tier 1 project. The Roadmap has been a key input into Vanuatu's Trade Policy Framework, adopted in 2012. It takes forward the diagnostics from the DTIS and other studies, together with the Trade Mainstreaming Roadmap – financed through the EIF and implemented by UNDP – to provide economic development guidance.

Under the EIF, Vanuatu is starting implementation of a Tier 1 project in support of their National Implementation Arrangements (NIAs).
Under the Integrated Framework (IF), Vanuatu benefited from one Window II project to provide legislative assistance to the Department of Customs to review the customs duties Act and related legislation, and to have a comprehensive update of the Act; support to WTO accession process; and entrepreneurship training to cooperatives. The National Implementation Unit (NIU) (and now the Trade Development Division) was also established in 2007 under the IF Window II project.

While Vanuatu has seen steady economic growth as a result of the Government’s commitment to economic reforms and pursuit of growth-driven policies, Cyclone Pam disrupted development progress five months ago, and the Chairman said the Government is committed to getting back on track to the long-term priorities. Key barriers to trade to be discussed include;

Vanuatu validated a Mainstreaming Trade Roadmap in 2011, a process supported by the EIF and UNDP. The Roadmap has subsequently been adopted by the Council of Ministers and contributed to the vision and basis for the Trade Policy Framework (TPF) as well as their Tier 1 project. The Roadmap has been a key input into Vanuatu's Trade Policy Framework, adopted in 2012. It takes forward the diagnostics from the DTIS and other studies, together with the Trade Mainstreaming Roadmap – financed through the EIF and implemented by UNDP – to provide economic development guidance.

Useful Vanuatu EIF Documents

• strengthening productive sector,
• developing tourism infrastructure, and
• educating and up-skilling our population and increasing resilience to natural disasters were discussed and supported by new recommendations.
• The first session monitored the progress in implementing the decisions taken at the previous NTDC meeting from March this year.
• The second session comprised of two presentations to give an overview of both policy developments and projects to increase trade and domestic production.

Vanuatu’s current and proposed trade negotiations, which are:

• Vanuatu/New Caledonia Bilateral Trade Agreement Negotiations;
• Vanuatu/China Bilateral Trade Agreement Negotiations;
• PACER-Plus Trade Negotiations between Forum Island Countries and Australia & New Zealand;
• Melanesian Spearhead Group Trade Agreement (MSGTA) negotiations between MSG Parties; and
• The Economic Partnership Agreement (EPA) between Pacific ACP States and the European.