The Bogor Goals are a set of targeted goals for realizing free and open trade in the Asia-Pacific agreed by member economies in 1994 in Bogor, Indonesia. The Leaders had agreed to adopt the long-term goal of free and open trade and investment in the Asia-Pacific. This goal will be pursued promptly by further reducing barriers to trade and investment and by promoting the free flow of goods, services and capital among APEC economies. Initiatives that fall under these goals include efforts to improve the time and costs for goods, people, investment and services to cross borders. Some examples include streamlining customs procedures and reducing tariffs as well enhancing the business climate in individual member economies.
What Has Been APEC’s Progress in Achieving the Bogor Goals?
2014 Bogor Goals Progress Report
The 2014 Bogor Goals Progress Report assessed APEC’s 21 member economies and revealed that progress has been encouraging in areas such as services, customs procedures, government procurement, competition policy, regulatory reform, intellectual property rights and mobility of business people.
• Enhanced competition policy: Legal frameworks of competition policy are improving across APEC. Increasing number of APEC economies are implementing competition policy laws and special institutions have been established to be in charge of competition-related issues.
• Lowered restrictions on government procurement: Restrictions on participating in government procurement have been reduced in some APEC economies. There are efforts to increase transparency through the implementation of electronic procurement systems.
• Reduced business costs: Initiatives in many APEC economies are underway to reduce costs to doing business and to improve the rulemaking process. Regulatory reforms are assisting APEC economies to improve competitiveness.
• Continued expansion of trade agreements: The network of regional trade agreements and free trade agreements continues to expand in the APEC region. In November 2014, APEC Leaders endorsed the Beijing Roadmap for APEC’s Contribution to the Realization of the Free Trade Area of Asia-Pacific (FTAAP) to translate the vision of the FTAAP into reality.
However, progress is not consistent across APEC economies and across areas. More work needs to be done. In particular, traditional areas like tariffs, non-tariff measures, standards and conformance and customs procedures (in terms of cost) experienced very modest progress or setbacks.
• Tariff reduction: Economies that are considered as most-favored nation (MFN) are accorded equal trade advantages under the principles of reciprocity and non-discrimination by the economy granting such treatment. While MFN tariffs in non-agricultural products had declined since 2010, agricultural products faced increasing MFN average tariffs.
• Non-tariff measures: Non-tariff measures refer to policy measures (e.g. laws, regulations) other than ordinary custom tariffs that have the potential to affect the international trade in goods in terms of pricing or quantity of traded goods, or both. For instance, under the Hazardous Wastes Act, there are specific requirements for the importation and exportation of used electronic and electrical equipment that may be deemed hazardous wastes. Despite progress concerning the elimination of some non-tariff measures (NTMs), new NTMs have been imposed in recent years and the accumulation of NTMs continues restricting trade.
• Improving market access: Although the conditions for foreign services providers are improving in some sectors (for example, telecommunications), some restrictions designed to limit market access remain such as requiring specific local content and presence.
• Relaxing conditions for foreign ownership: APEC economies are making effort to attract investors by improving tax conditions and providing legal stability.
• Facilitating customs procedures: Economies have embarked on initiatives to facilitate customs procedures by encouraging the submission of materials through a single online location, meeting the standards set by the Authorized Economic Operators (e.g. inter alia manufacturers, importers, exporters, brokers, carriers, consolidators, etc.), leveraging modern technology and risk assessment techniques. Authorized Economic Operators are parties involved in the international movement of goods in various functions that have been approved by Customs bodies.
The full 2014 APEC's Bogor Goals Progress Report can be found here.
You may also access the Assessment of Achievements of the Bogor Goals in 2012 and Assessment of Achievements of the Bogor Goals in 2010.