FOSTERING EQUITY AND ACCOUNTABILITY IN THE TRADING SYSTEM (FEATS) PROJECT:

MEETING WITH KEY STAKEHOLDERSDAR-ES-SALAAM, 3 MARCH 2010

Inclusiveness of Trade Policy Making in Tanzania: Presentation of the Main Findings

of the First Phase ResearchBy Atul Kaushik

Director, CUTS Geneva Resource Centre

ak@cuts.org

www.cuts-grc.org

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STRUCTURE OF PRESENTATION

Introduction

Trade policy making process in Tanzania: key consultative mechanisms

Challenges in participation: views of stakeholders

Measuring inclusiveness: the Inclusive Trade Policy Making (ITPM) Index

Conclusions and Recommendations

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I. INTRODUCTION FEATS first phase research focus on trade policy making process

and role of stakeholders in Kenya, Malawi, Tanzania, Uganda, and Zambia

Importance of inclusive trade policy making to ensure national multi-stakeholder ownership

Two publications titled “Towards More Inclusive Trade Policy Making: Process and Role of Stakeholders in Select African Countries” (full research publication) and “Improving Ownership through Inclusive Trade Policy Making Process: Lessons from Africa” (short advocacy monograph)

Measuring inclusiveness: Inclusive Trade Policy Making (ITPM) Index

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II. TRADE POLICY MAKING PROCESS IN TANZANIA: KEY CONSULTATIVE

MECHANISMS

Consultative Mechanism

Mandate Composition

National Business Council (NBC)

National EPA Technical Team

(NETT)

Inter-Ministerial Technical Committee

(IMTC)

On all issues, including trade

EPA negotiations

On all issues, including trade

Public and private sectors only

Multi-stakeholder, including governmental, private sector, and CSO representatives

Only inter-ministerial

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II. TRADE POLICY MAKING PROCESS IN TANZANIA: KEY CONSULTATIVE

MECHANISMS

Mandate/Membership

Multi-stakeholder

Public-Private sectors

Only governmental

Multiple issues

including trade

Tanzania NBC Tanzania IMTC

All trade issues

Specific trade negotiations

Tanzania NETT

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III. CHALLENGES IN PARTICIPATION AS VIEWED BY STAKEHOLDERS

Ministry of Industry, Trade and Marketing (MITM)

Lack of capacity and technical human resources

Issues of internal and external coordination Lack of financial and human resources to ensure regular

functioning of consultative mechanisms

Complex and evolving nature of trade issues

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III. CHALLENGES IN PARTICIPATION AS VIEWED BY STAKEHOLDERS

Other relevant Government Ministries and Agencies

Lack of capacity and technical human resources

Issues of coordination among governmental machinery Lack of regular and timely information flow on trade issues

Trade is not primary mandate

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III. CHALLENGES IN PARTICIPATION AS VIEWED BY STAKEHOLDERS

Private Sector Umbrella Organizations

Limited technical understanding, and advocacy capacities

Tight timelines to provide feedback on trade issues

Need to improve opportunities for less powerful business associations

How to represent the informal sector?

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III. CHALLENGES IN PARTICIPATION AS VIEWED BY STAKEHOLDERS

Civil Society Organisations (CSOs) Limited technical understanding of complex issues

Need for better coordination and information sharing among CSOs

Occasional tensions with the government

Limited opportunities for participation

Lack of resources to maintain sustained engagement and retain the knowledge and expertise gained on trade issues

Issues of representation and mandate?

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IV. MEASURING INCLUSIVENESS: THE INCLUSIVE TRADE POLICY

MAKING (ITPM) INDEXIPTM Index: Action Variables, Actors and Values

Part I: Ministry Responsible for Trade Policy

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Action Variable Possible Action ValueA. Identification of all key stakeholders Yes = 1 No = 0

Most identified = 0.75 Some identified = 0.5Few identified = 0.25

B. Creating awareness about the need for trade policy

Yes = 1 No = 0Many efforts made = 0.75 Some efforts made = 0.5Few efforts made = 0.25

C. Establishment of formal consultative mechanisms Yes = 1 No = 0Established for most trade policy issues = 0.75Established for some trade policy issues = 0.50Established for few trade policy issues = 0.25

D. Regular functioning of formal consultative mechanisms

Yes = 1 No = 0Functioning most of the time = 0.75Irregular functioning = 0.5 Ad hoc functioning = 0.25

E. Regular information flow to the stakeholders including on the content of trade policy

Yes = 1 No = 0Information flowing most of the time = 0.75Irregular information flow = 0.5 Ad hoc information flow = 0.25

IV. MEASURING INCLUSIVENESS: THE INCLUSIVE TRADE POLICY

MAKING (ITPM) INDEXIPTM Index: Action Variables, Actors and Values

Parts II, III, and IV: Other Relevant Government Ministries, Private Sector, and CSOs

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Action Variables Possible Action Value

F, I, and L. Regular participation in the process and feedback to the relevant authorities

Yes = 1 No = 0Most of the time = 0.75 Irregular = 0.5Little and / or ad hoc = 0.25

G, J, and M. Faithful representation of and regular feedback to the represented constituencies

Yes = 1 No = 0Most of the time = 0.75Occasional faithful representation and/or irregular feedback = 0.5Little faithful representation and / or ad hoc feedback = 0.25

H, K, and N. Acquiring relevant knowledge and expertise

Yes = 1 No = 0Substantial knowledge and expertise = 0.75Some knowledge and expertise = 0.5Little knowledge and expertise = 0.25

IV. MEASURING INCLUSIVENESS: THE INCLUSIVE TRADE POLICY

MAKING (ITPM) INDEXExplanation of Possible Action Values

• Yes = maximum value of 1 = when appropriate action has been taken by the actor concerned

• Many/Most = high value of 0.75 = when quite a lot has been done but some gaps remain

• Some = intermediate value of 0.5 = when action has been taken but is not sufficient

• Few / Little = low value of 0.25 = when some action has been taken but much remains

• No = 0 value assigned = when no action has been taken by the actor concerned

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IV. MEASURING INCLUSIVENESS: THE INCLUSIVE TRADE POLICY

MAKING (ITPM) INDEXMITM SCORE

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Action Variable Score

A. Identification of all key stakeholders 0.5 (some identified)

B. Creating awareness about the need for trade policy

0.5 (some efforts made)

C. Establishment of formal consultative mechanisms

0.75 (established on some issues)

D. Regular functioning of formal consultative mechanisms

0.5 (irregular functioning)

E. Regular information flow to the stakeholders including on the content of trade policy

0.25 (ad hoc information flow)

Total MITM 2.5/5.0

IV. MEASURING INCLUSIVENESS: THE INCLUSIVE TRADE POLICY

MAKING (ITPM) INDEXScores by Other Groups of Stakeholders

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Action Variables Score by Other Relevant

Government Ministries

Score by Private Sector

Organizations

Score by CSOs

F, I, and L. Regular participation in the process and feedback to the relevant authorities

0.5 (irregular participation)

0.75 (most of the time)

0.5 (irregular participation)

G, J, and M. Faithful representation of and regular feedback to the represented constituencies

0.5 (occasional/irregular representation and

feedback)

0.75 (most of the time)

0.5 (occasional/irregular representation and

feedback)

H, K, and N. Acquiring relevant knowledge and expertise

0.5 (some knowledge and expertise)

0.5 (some knowledge and

expertise)

0.5 (some knowledge and expertise)

Total 1.5/3.0 2.0/3.0 1.5/3.0

IV. MEASURING INCLUSIVENESS: THE INCLUSIVE TRADE POLICY MAKING

(ITPM) INDEX

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ITPM Action Variable KENYA MALAWITANZA

NIAUGAND

AZAMBI

A

Part I. Ministry responsible for Trade

A. Identification of all key stakeholders

0.75 0.50 0.50 0.75 0.75

B. Creating awareness about the need for trade policy 0.75 0.50 0.50 0.25 0.75

C. Establishment of formal consultative mechanisms

0.75 1.00 0.75 1.00 1.00

D. Functioning of formal consultative mechanisms

0.75 0.75 0.50 0.50 0.75

E. Regular information flow to the stakeholders including on the content of trade policy

0.50 0.50 0.25 0.25 0.50

Part I Score3.50/5

.003.25/5.0

02.50/5.0

2.75/5.00

3.75/5.00

IV. MEASURING INCLUSIVENESS: THE INCLUSIVE TRADE POLICY MAKING

(ITPM) INDEX

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ITPM Action Variable KENYA MALAWI TANZANIA UGANDA ZAMBIA

Part II. Other relevant government

ministries/agencies

F. Regular participation in the process and feedback to the relevant authorities

1.00 0.75 0.50 0.75 0.75

G. Faithful representation of and regular feedback to the represented constituencies

0.50 0.50 0.50 0.50 0.50

H. Acquiring relevant knowledge and expertise 0.50 0.50 0.50 0.50 0.50

Part II Score2.00/3.0

01.75/3.00

1.50/3.00

1.75/3.01.75/3.0

0Part III. Private sector and

business umbrella organizations

I. Regular participation in the process and feedback to the relevant authorities

1.00 1.00 0.75 1.00 1.00

J. Faithful representation of and regular feedback to the represented constituencies

0.50 0.75 0.75 0.50 0.50

K. Acquiring relevant knowledge and expertise 0.50 0.50 0.50 0.50 0.50

Part III Score2.00/3.0

02.25/3.0

2.00/3.00

2.00/3.002.00/3.0

0

IV. MEASURING INCLUSIVENESS: THE INCLUSIVE TRADE POLICY MAKING

(ITPM) INDEX

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ITPM Action Variable KENYA MALAWI TANZANIA UGANDA ZAMBIA

Part IV. Civil society organizations

L. Regular participation in the process and feedback to the relevant authorities

0.75 0.25 0.50 0.25 1.00

M. Faithful representation of and regular feedback to the represented constituencies

0.75 0.50 0.50 0.50 0.50

N. Acquiring relevant knowledge and expertise

0.50 0.50 0.50 0.75 0.50

Part IV Score2.00/3.0

01.25/3.00

1.50/3.00

1.75/3.002.00/3.0

0

ITPM Index Score9.50/14.

08.50/14.0

07.50/1

4.008.25/14.0

09.50/14.

00

V. CONCLUSIONS AND RECOMMENDATIONS

Several consultative mechanisms on trade issues established; however

Lack legal mandates and adequate resources

Not all trade issues covered by multi-stakeholder consultative fora

Irregular and ad hoc functioning

Improved stakeholders participation; but

Not all stakeholders being represented

Not all stakeholders have equal opportunities to participate

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V. CONCLUSIONS AND RECOMMENDATIONS

Remaining challenges classified in three broad categories

Related to capacity (limited technical, human, and financial capacities of stakeholders)

Related to institutional and structural issues (design and functioning of consultative mechanisms)

Related to challenges internal to each group of stakeholders

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V. CONCLUSIONS AND RECOMMENDATIONS

Identification and involvement of remaining stakeholders: action by government and concerned ministries needed

Regular information flow on trade issues to key stakeholders: action by concerned ministries needed

Rationalization and strengthening of consultative mechanisms: action by government and concerned ministries needed

Better coordination among relevant government ministries and agencies on trade issues: action by government needed

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V. CONCLUSIONS AND RECOMMENDATIONS

Better opportunities for CSO participation: action by MITM needed

Better feedback and input loops between CSOs and the private sector umbrella organisations on the one hand, and their constituencies on the other: action by private sector umbrella organizations and CSOs needed

Investment on knowledge and expertise building: action by all including development partners needed

Promotion of a culture of dialogue and inclusiveness: sustained efforts by all stakeholders needed

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Inclusiveness will generate national ownership which is the best guarantee for effective implementation of trade policy as

part of overall development policy

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