USAID STAR Plus Monthly Report April 2013

A week-long training program was conducted by former senior US Customs official, Janet Labuda, in Hanoi, which attracted 27 participants, including 7 from distant provinces. The training covered topics such as compliance measurement, data analysis, and partnership/AEO/trusted trader programs as risk management tools. The participants emphasized the need to identify priority trade issues for Vietnam Customs, particularly in light of the Trans Pacific Partnership Free Trade Agreement. The Trans Pacific Partnership and its Impact on Vietnam was a key focus of the project. To increase public awareness and support for the TPP, USAID STAR Plus organized a series of events with Professor Peter Petri of Brandeis University. Professor Petri's research revealed that the TPP would generate large global benefits, including a $223 billion increase in incomes, $305 billion increase in exports, and $315 billion increase in imports. Vietnam would enjoy a $26.2 billion increase in incomes under the current scenario, which would rise to $35.7 billion if Japan joins the TPP. However, Vietnam would have to overcome difficult issues related to rules of origin, labor, intellectual property rights, and environment. The events organized by USAID STAR Plus attracted large audiences and generated significant media coverage. Professor Petri's main message was that the TPP, as currently structured, would generate enormous benefits for all participants. The likely inclusion of Japan, Thailand, the Philippines, and Indonesia would multiply those benefits tremendously. His model forecasts increases in GDP of 7.7% for Vietnam with 11 countries participating, which would increase to 10.5% if Japan joins the TPP. Nevertheless, some groups expressed concerns about the TPP, including the textile and apparel industry, which expressed concern about the "Yarn Forward" requirements and the cost of additional record keeping and reporting requirements. Vietnam became an official member of the Hague Conference, the most prestigious organization in the field of international justice, on April 10, 2013. The Hague Conference is an intergovernmental organization that deals with international trade and investment issues, including choice of court agreements, recognition and enforcement of judgments, and legalization of documents. Vietnam's admission to the Hague Conference represents the culmination of a USAID STAR Plus effort begun in early FY 2012 to help the Ministry of Justice decide whether or not to apply for membership. The Benchmarking of Viet GAP (Vietnamese Good Agricultural Practice) was another key focus of the project. At the request of the Ministry of Agriculture and Rural Development, Directorate for Fisheries (D-Fish), USAID STAR Plus and the International Trade Center (Geneva) organized an intensive 2-day workshop in Can Tho on "Standards Map and Benchmarking Standards for Aquaculture and Agriculture Practices." The workshop presented the work of the ITC in the area of International Trade and Voluntary Standards and taught participants a methodology to benchmark Good Agricultural Practices (GAP) standards, especially VietGAP, using the ITC Standards Map database and tools. Fifty-three people from Can Tho and surrounding provinces attended the workshop, which included government officials, enterprises, universities, certification bodies, VCCI, agriculture promotion organizations, and regional aquaculture projects. The Software Piracy issue was also addressed by USAID STAR Plus. On April 9, USAID STAR Plus met with representatives of the Business Software Alliance (BSA) from China, Singapore, and Vietnam. The BSA is very supportive of the "IPR Benchbook" for judges that is being developed under the USAID STAR Plus project. The project is behind schedule due to the judges' heavy caseloads, but the BSA had high praise for the progress made in the last 6 to 10 years in Vietnam. The greatest problem now, they said, is illegal copying of licensed software within an enterprise.