WORLD TRADE
ORGANIZATIONWT/IFSC/W/8/Add.3
26 October 2001
(01-5273)
Integrated Framework Steering Committee Original:  French
INTEGRATED FRAMEWORK PILOT SCHEME:
PROPOSAL FOR FOLLOW-UP TO THE IF ROUND TABLES
HAITI
Addendum
I. INTRODUCTION
A. INTEGRATED FRAMEWORK ROUND TABLE
1. From 11 to 12 November 1999, in Port-au-Prince, the Government of Haiti organized a
sectoral round table on foreign trade in the context of the Integrated Framework (IF) programme fortrade-related technical assistance for the LDCs.  The participants were:  the six core IF organizations
(World Bank, ITC, UNCTAD, IMF, WTO, UNDP), UNIDO, ITU and Haiti's main bilateral partners,
including Germany, Canada, the United States, Japan and the European Union, together with the
relevant public and private agencies.
2. The round table enabled the Haitian Government to identify and propose to its development
partners a number of priority, trade-related, technical assistance projects.  During the talks, the World
Bank expressed a particular interest in the preliminary scheme concerning export credit insurance.
Japan opted for the projects concerning standardization and metrology.  No firm declaration of intent
was made by any of the other partners present at the round table concerning the proposed projects.
3. After conclusion of the round table, the Haitian Government set up a joint follow-up
committee.  This led to the adoption of the follo wing projects by the Ministry of Commerce and
Industry (MCI), based on the work of the round table, using public treasury funds:
• The development of a draft investment code, already adopted by the Senate and about
to be put to a vote in the Chamber of Deputies;
• the development of a draft law on free economic zones, shortly to be brought before
the two houses of Parliament;
• the preparation of a draft document concerning the introduction of an investment
facilitation mechanism, which adapts the One Stop Center (single window) concept tothe Haitian context, together with the corresponding budget and legal framework;
• the institutional restructuring of the MCI, with technical assistance from the Haitian
consulting firm Inter Consult;  and
• the strengthening of national food control capacities, with technical and financial
assistance from the FAO.
4. Following the meetings of the Integrated Framework Steering Committee of 15 March and
3 May 2001, a package of US$300,000 was allocated by the Integrated Framework Trust Fund (IFTF)WT/IFSC/W/8/Add.3
Page 2
to each of the five countries already to have held their round table on foreign trade, in accordance with
the old IF approach.  The funds should make it possible to finance some priority technical assistance
activities in these countries related to the ma instreaming of the trade component into their
development plans and poverty alleviation strategies.
5. With regard to efforts to combat poverty, the Haitian Government is currently drawing up a
poverty reduction strategy paper (PRSP), in accordance with its commitment at the Third UnitedNations Conference on the Least-Developed Countries, held in Brussels from 14 to 20 May 2001,
with the assistance of the Inter-American Development Bank.
6. To ensure the follow-up to the round table, a senior Haitian delegation visited Geneva from
25 to 29 June 2001, composed of the following representatives:
• Mr Henri Robert Sévère, Member of the Seni or Cabinet of the Minister of Trade and
Industry;
• Mr Ijoassin Clermont, Director of Foreig n Trade at the MCI and Government contact
point for the IF;
• Mr Victor H. St Louis, Vice Director of the General Customs Administration and
Control Division;  and
• Mr Wilfred Trenard, Director of Social and Economic Planning at the Ministry of
Planning and External Cooperation.
B. S
TRATEGIC CONSIDERATIONS FOR THE MAINSTREAMING OF TRADE ISSUES
7. On the basis of consultations organized by the ITC with representatives of the six core
organizations of the Integrated Framework, UNIDO and representatives of the Organisation
internationale de la Francophonie, the Haitian delegation has implemented an action plan based on the
aims and priorities that emerged at the round table, including the following proposed schemes:
(a) Development of an export-led growth strategy
(b) Modernization of the legal framework for trade and investment(c) Assistance for the Ministry of Commerce and Industry(d) Diagnosis of exportable supply
C. S
OCIO -ECONOMIC CONTEXT
8. Despite a slight recovery since 1995, the Haitian Economy continues to face enormous
difficulties characterized by a chronic trade deficit.  However, its abundant and inexpensive work
force, its potential for agricultural exports and the close proximity of South and North American
markets, represent a series of major advantages which, to say the least, have yet to be properlyexploited.  The Haitian Government has embarked on an economic reform process based on the
liberalization of trade and the modernization of Stat e-owned enterprises.  Nevertheless, despite these
significant efforts on the part of the authorities,  the development of foreign trade continues to be
hampered by the absence of a clearly defined strategy for export promotion and the ill-adapted laws
governing trade and investment.  In an effort to meet the challenge posed by these constraints, theGovernment plans to revive the Haitian economy with export-led growth.WT/IFSC/W/8/Add.3
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D. OBJECTIVES
9. The overall objective of this action plan is to strengthen the Government's capacity to achieve
the mainstreaming of trade issues into Haiti's development plans and, more particularly, into the
PRSP.  Emphasis will be placed on the improvement of the Haitian business environment by
developing elements of a proper institutional and legal framework and by offering incentives to
stimulate the development of exports.  The action plan is designed to achieve the followingobjectives:
1. To assess the legal framework for trade and investment and to make proposals for
improvements;
2. to strengthen the institutional capacity of the Ministry of Commerce and Industry;3. to identify the sectors capable of boosting and diversifying exports, and to make a
diagnosis of exportable supply with a vi ew to developing a strategy for achieving
accelerated export-led growth.
E. 
NATIONAL COUNTERPART
10. The institutions involved in the execution of this  programme are:  the Office of the President,
the Office of the Prime Minister, the Bank of the Republic of Haiti, the Ministries concerned
(Ministry of Commerce and Industry, Ministry of Economy and Finance, Ministry of Planning and
External Cooperation, Ministry of Public Wo rks, Transport and Communications, Ministry of
Agriculture, Natural Resources and Rural Development;  Ministry of National Education, Ministry of
Haitians Living Abroad, Ministry for the Status an d Rights of Women), associations of producers and
exporters and employers' associations in Haiti, both from the capital and from provincial towns.
F. LINES OF ACTION
11. Following the recent consultations with representatives of the six core IF organizations in
Geneva and, in accordance with the priorities established by the Government, the Haitian delegation
has identified a number of activities which will enable it to achieve the desired objectives.  In view ofthe limited resources available, these have been divided into three categories:
• Category 1:  activities to be carried out with the US$300,000 package available
through the IFTF;
• Category 2:  activities to be carried out as part of the projects being implemented by
Haiti's development partners producing synergies with category 1 activities;  and
• Category 3:  activities for which financing must be sought from Haiti's bilateral and
multilateral partners.
G. C
ATEGORY 1 ACTIVITIES
12. These activities form the basis for other short and medium-term activities, and focus on the
following three objectives:
• Improvement of the legal framework for trade;
• institutional strengthening of the MCI;  andWT/IFSC/W/8/Add.3
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• a diagnosis of exportable supply
H. OBJECTIVE 1
To assess the legal framework for trade and investment with a view to making proposals
for improvements and for capacity building among legal experts in the public and private
sectors for the drafting of international contracts.
13. One of the most important obstacles to the deve lopment of trade in Haiti is the ill-adapted
laws governing trade and investment.  Not only do many of these laws date from a long time ago, but
they fail to take account of the new realities of international trade, including those relating to the
multilateral trading system resulting from the Uruguay Round.  Work needs to be done on analysing
existing laws in order to make proposals for improvements which take account of recent
developments in international trade.  This analysis will be carried out in conjunction with the training
of Haitian legal experts in the drafting of international contracts.
(a) Activities:
1.1 Drawing up an inventory with a view to the ratification of trade and investment-related
conventions and treaties of interest to Haiti (UNCTAD);
1.2 Drafting of a framework law on the arbitration of trade disputes (ITC);1.3 Review of the Commercial Code (ITC) and assistance in the preparation of the new code,
which must take into consideration the rules resulting from the Uruguay Round (WTO);
1.4 Assistance to the Government with notification arrangements (WTO);1.5 Advisory mission to the Customs Directorate c oncerning implementation of Article VII of the
GATT 1994 on customs valuation, in order to assist the national authorities in the transition to the
new harmonized system;  and
14. Training of about 15 legal experts from the public and private sectors in the drafting of
international contracts (ITC).
I. 
OBJECTIVE 2
(a) To strengthen the institutional capacities of the MCI
15. The aim is to build up human resources capacity and to improve management of trade
information with a view to enabling the MCI to:
• Provide strategic guidance to investment and export-oriented production activity;
• strengthen its negotiation capacity in order to place the country in a better position to
deal with the new questions raised by the multilateral trading system and preferentialarrangements, such as the Cotonou Agreement, the enlarged CBI, CARICOM and the
Free-trade Area of the Americas;
• provide optimum technical support and supervision services to investors;WT/IFSC/W/8/Add.3
Page 5
• improve the efficiency of systems for the collection, treatment, analysis and
dissemination of trade information, in response to the needs of public and private
sector users;
• develop efficient means of communication based on the appropriate information
technology, including internet, in order to facilitate the exchange of data and expertiseat the national, regional and international levels, through discussion forums, access to
interactive databases and the virtual display of exportable services and products;  and
• strengthen the Basic Science and Technology Departments' capacity to conduct
analyses aimed at measuring ochratoxin content of Haitian green coffee for export.
(b) Activities:
2.1 Analysis of the plan for restructuring the MCI, devised by the Haitian consulting firm Inter
Consult, with a view to ensuring that the re forms proposed are consistent with international
practice and respond to the needs of both international and national business circles (ITC:
trade promotion;  UNCTAD:  trade policy);
2.2 Provision of two computers to the General Directorate of Foreign Trade at the MCI;2.3 Training of selected officials from the MCI in the technical skills needed to deal with the
following:
2.3.1 Trade information (ITC)2.3.2 Trade negotiations (UNCTAD) and WTO2.4 Supplying the Faculty of Agronomy and Veterinary Medicine (through the MCI) with
materials and chemicals for measuring ochratoxin content in Haitian coffee (ITC);  and
2.5 Building up the capacity of the following three institutions:  the WTO reference centre
established at the MCI;  the Ministry of Economy and Finance;  the Chamber of Commerce,
by supplying documents on the new multilateral trading system.
J. 
OBJECTIVE 3
Diagnosis of exportable supply and development of an export promotion strategy
16. This objective is designed, on the one hand, to give a clear indication of products and services
which are no longer of interest, due either to demand or competition at the international level and, on
the other, to identify new products with viable potential.  The revival and diversification of exports is
only possible through increased consumption of raw materials by a local industrial base and the
emergence of new and progressive sectors which are labour intensive and have an export-oriented
output.  The search for new markets remains a priority.
17. Studies to be carried out to that end will focus on a small number of key, labour-intensive
sectors, including certain agricultural sectors, for example organic produce such as fruit and
vegetables, for which the private sector considers that there is a considerable potential for growth in
production and exports, and which can reasonably be assumed to offer advantages in terms of
employment and/or improved in living standards among the most underprivileged social classes.  Ananalysis of the internal and external barriers which the private sector would face in its efforts toWT/IFSC/W/8/Add.3
Page 6
increase production and exports to the rest of the world will be carried out for each sector or product
identified.
(a) Activities:
3.1 Study of the competitiveness of new products and services for export (ITC);
3.2 Study of the possibilities of reviving and improving export-oriented production by utilizing,
as much as possible, the natural and human resources available at the local level (UNCTAD
and ITC);
3.3 Development of a directory of products with high export potential to serve as a guide for local
and foreign investors and producers (ITC);  and
3.4 Development of an initial proposal for an export development strategy (ITC).
II. CONTRIBUTIONS, BUDGET AND TIMETABLE FOR IMPLEMENTATION
A. CONTRIBUTIONS
18. The Government will contribute by providing senior public officials and premises at the MCI.
The MCI will coordinate all the activities of the programme.WT/IFSC/W/8/Add.3
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B. BUDGET
Total 2001 2002 Budget
lineDescription
M/t US dollars M/t US dollars M/t US dollars
11.51 International consultants 5 85,000 1 17,000 4 68,000
16.01 ITC missions 8,000 - 8,000
16.02 WTO missions 22,000 4,000 18,000
17.01 National consultants 9 18,000 2 4,000 14,000
25.01 UNCTAD – legal framework 14,000 4,000 10,000
25.02 UNCTAD – institutional
capacities31,000 11,000 20,000
25.03 UNCTAD – diagnosis of
exportable supply12,000 - 12,000
32.01 Group training 30,000 3,000 27,000
41.01 WTO documents 6,000 3,000 3,000
42.01 Computer equipment and
laboratory chemicals30,000 20,000 10,000
53.01 Other 8,546 2,182 6,364
Subtotal 14 264,546 3 68,182 11 196,364
Additional expenses (10%) 26,454 6,818 19,636
TOTAL 291,000 75,000 216,000WT/IFSC/W/8/Add.3
Page 8C. TIMETABLE FOR IMPLEMENTATION
2001 2001 Activities
OCT. NOV. DEC. JAN. FEB. MAR. APR. MAY JUN. JUL. AUG. SEPT. OCT. NOV. DEC.
1.1 Inventory of
Conventions
1.2 Framework law
1.3 Commercial Code
1.4 and 1.5
WTO advisorymissions
1.6 Training -
internationalcontracts
2.1 Analysis –
restructuring plan
2.2 Supply of computer
equipment
2.3.1 Training –
information
2.3.2 Training – trade
negotiations
2.4 Supply of equipment
– coffee
2.5 Supply of WTO
documentsWT/IFSC/W/8/Add.3
Page 92001 2001 Activities
OCT. NOV. DEC. JAN. FEB. MAR. APR. MAY JUN. JUL. AUG. SEPT. OCT. NOV. DEC.
3.1 Study –
competitiveness
3.2 Study – products
3.3 Directory – products
3.4 Development of
export strategyWT/IFSC/W/8/Add.3
Page 10
D. CATEGORY 2 ACTIVITIES
19. Category 2 activities are to be carried out in conjunction with projects being implemented by
Haiti's development partners, producing synergies with category 1 activities.
• Reinforcement of the liaison unit on the Integrated Framework established at the
Permanent Mission of Haiti in Geneva (two computers), purchase of a user licence forthe software "Site Maps" and "Trade Maps" and training of two MCI officials to use
them (ITC/AIF:  French-speaking LDC integration into world trade fund);
• review of Haiti's trade policy with a view to enhancing the country's image in the
medium and long term in the international and national business community (WTO
trust fund managed by the Technical Cooperation Division);  participation of Haitian
officials from the Ministries concerned in training courses organized by the WTO on
trade policy.  Following the Doha Ministerial Meeting, consultations will begin withthe Government concerning the possibility of organizing a series of specific seminars
in 2002 and 2003 on issues such as agriculture, services and electronic commerce,
designed to enhance the country's capacity to formulate trade policy;
• planning of activities to reinforce Ha iti's industrial production base (UNIDO);
• support for the Haitian Government in connection with its entry into CARICOM
(UNCTAD);
• impact assessment of Haiti's accession to CARICOM and of the application of the
enlarged CBI and FTAA regional tariff regimes (UNCTAD);
• development of a research unit to study the impact of free trade agreements between
member countries of NAFTA on the economies of the Caribbean countries(CANADA);
• support fund for the Caribbean region's trade policy (CANADA);
• building up of human resource capacities in trade policy development (CANADA);
• support for the private sector; building up of human resource capacities in the
management of buying, quality contro l and development of products (CANADA);
• processing of mango purée (CANADA);  and
• installation of an investment facilitation mechanism (Inter-American Development
Bank).
E. 
CATEGORY 3 ACTIVITIES
20. This category includes activities for which financing will be sought from Haiti's bilateral and
multilateral partners.
• Support for negotiations and follow-up of matters relating to the FTAA, WTO,
LOME, and CARICOM trade agreements;
• feasibility study of industrial zones;WT/IFSC/W/8/Add.3
Page 11
• upgrading of ASYCUDA program (from version 2.6 to version ++ ) and restructuring
of the services run by the General Customs Administration Control Division(UNCTAD);
• extension of the ASYCUDA project to the MCI (UNCTAD).WT/IFSC/W/8/Add.3
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ANNEX I
UNITED NATIONS DEVELOPMENT PROGRAMME
Integrated Framework Trust Fund (IFTF)
Number of project : ……………………..
Title : Follow up to the Round Table on Trade
Pilot Phase of the Integrated Framework
Estimated date of launch : October 2001
Duration  : 15 months
Site of project  : Port-au-Prince, Haiti
Government agencies involved  :
Ministry of Commerce and IndustryMinistry of Planning and External Cooperation
Ministry of Economy and Finance
Executing agent  : WTO/UNCTAD International Trade Centre (ITC)
Co-Implementing agencies  : UNCTAD, WTO
Sector  : Trade development
__________________________________________________________________________________
Short description:  The project is designed to strengthen the Government's capacity for mainstreaming foreign trade into the
country's development plan and, more particularly, into the poverty reduction strategic paper (PRSP).  It focuses on the
improvement of the Haitian business environment by developing  elements of a proper instit utional and legal framework,
including the strengthening of the capacity to formulate trade policy, and by offering incentives to stimulate the development
of exports.  The activities to be carried out as part of this project will be coordinated with those of other projects currentl y
under way in the trade development area in order to produce synergies.
__________________________________________________________________________________
On behalf of the Haitian Government
_________________________________________________________ Date:  ________________
On behalf of the United Nations Development Programme
_________________________________________________________ Date:  ________________
On behalf of the WTO/UNCTAD International Trade Centre
_________________________________________________________ Date:  ________________
__________Contributions
IFTF
(US dollars)
2001:  75,000
2002: 216,000
_______
TOTAL: 291,000
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