Non-Tariff Measures in the context of LDC graduation: Cambodia, Lao PDR and Timor-Leste. CSS Working Paper No. 24-5. Bangkok: ESCAP. (Kharel, Paras, Kshitiz Dahal, and Nyingtob Pema Norbu)

Document Summary: 
"The paper explores the impact of non-tariff measures (NTMs) on Cambodia, Lao People's Democratic Republic (Lao PDR), and Timor-Leste as they prepare for graduation from the Least Developed Country (LDC) status. NTMs, which include sanitary measures, technical barriers, and regulatory requirements, pose significant challenges for LDCs. These countries face increased difficulties complying with complex NTMs, especially given their limited capacity. While tariffs have decreased globally, NTMs have become a more significant barrier, particularly for agricultural exports. Graduation from LDC status will exacerbate these challenges as countries lose access to special trade preferences, including relaxed rules of origin and other LDC-specific support mechanisms. The paper assesses the specific impacts on each country, highlighting Cambodia's challenges in complying with stricter rules of origin, Lao PDR's issues with intellectual property and NTMs, and Timor-Leste's reliance on oil exports and WTO accession. Finally, it offers recommendations for mitigating the negative impacts." of NTM compliance, focusing on capacity building and institutional strengthening to support sustainable trade development post-graduation
Author: 
Paras Kharel, Kshitiz Dahal, and Nyingtob Pema Norbu
Publication Date: 
2024