Public Disclosure Copy The World Bank Implementation Status & Results Report Cambodia Trade Development Support Program (RETF093573) (P109648) Cambodia Trade Development Support Program (RETF093573) (P109648) EAST ASIA AND PACIFIC | Cambodia | Economic Policy Global Practice | Recipient Executed Activities | Specific Investment Loan | FY 2009 | Seq No: 9 | ARCHIVED on 30-Mar-2015 | ISR18082 | Implementing Agencies: Key Dates Key Project Dates Board Approval date:07-Jan-2009 Effectiveness Date:09-Mar-2009 Planned Mid Term Review Date:13-Oct-2012 Actual Mid-Term Review Date:12-Nov-2010 Original Closing Date:31-Mar-2012 Revised Closing Date:31-Mar-2015 Project Development Objectives Project Development Objective (from Project Appraisal Document) The Trade Development Support Program will contribute to increase the Royal Government of Cambodia's efficiency informulating andimplementing effective trade policies. Has the Project Development Objective been changed since Board Approval of the Project Objective? No PHRPDODEL Components Name Component 1a: Technical Barriers to Trade (TBT) and Sanitary and Phyto-Sanitary (SPS):(Cost $2.11 M) Component 1b: Trade Facilitation:(Cost $4.37 M) Component 1c: Other Legal Reforms and RGC WTO Obligations:(Cost $1.09 M) Component 2: Performance Monitoring:(Cost $0.53 M) Component 3: Institutional and Human Capacity:(Cost $3.26 M) Component 4: Implementation Support to the TDSP:(Cost $4.09 M) Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO  Moderately Satisfactory  Moderately Satisfactory Overall Implementation Progress (IP)  Satisfactory  Satisfactory 3/30/2015 Page 1 of 11 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Cambodia Trade Development Support Program (RETF093573) (P109648) Overall Risk Rating  --  Moderate Implementation Status and Key Decisions TDSP Overall Progress - the mission team notes good progress in all components of TDSP, with several program development objective (PDO) indicators now achieved. The overall PDO of increasing the capacity of Government officials to formulate and implement new trade policies has markedly improved since the program began. Given that many sub-components of the TDSP have been achieved, and a substantial amount of funds remain undisbursed, the TDSP Steering Committed under the chairmanship of the Senior Minister and Minister of Commerce has identified an ambitious reform agenda to be undertaken over the program timeline using the undisbursed funds. These reforms will lead to improved Doing Business and Logistics Performance ratings for Cambodia, and higher foreign investment in Cambodia leading eventually to new, better-paid jobs for the Cambodian people. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance  --  --  Moderate Macroeconomic  --  --  Moderate Sector Strategies and Policies  --  --  Moderate Technical Design of Project or Program  --  --  Moderate Institutional Capacity for Implementation and Sustainability  --  --  Substantial Fiduciary  --  --  Moderate Environment and Social  --  --  Low Stakeholders  --  --  Low Other  --  --  -- Overall  --  --  Moderate Results Project Development Objective Indicators PHINDPDOTBL  Regular practice of a streamlined RGC-led process for consultation and financing, and satisfactory progress in implementing the Trade Swap. (Text, Custom) 3/30/2015 Page 2 of 11 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Cambodia Trade Development Support Program (RETF093573) (P109648) Baseline Actual (Previous) Actual (Current) End Target - New strategic - New strategic outcomes are in place outcomes are in place following the following the completion completion of the of the Cambodia Cambodia Diagnostic Diagnostic Trade Trade Integration Integration Strategy Strategy (DTIS). (DTIS). - SWApstructure has - SWApstructure has been revised under the been revised under the new Minister of new Minister of Commerce to ensure it Commerce to ensure it is more flexible and is more flexible and responsive to the responsive to the needs needs of implementing of implementing agencies. agencies. - An M&E unit has Completion of - An M&E unit has developed a results fourth annual developed a results framework that progress report framework that encompasses the and agreement encompasses the Trade SWAp approach TDSP, the EIF and the reached on TDSP, the EIF and the agreed; initial annual work SWAp. The M&E unit further TDSP Value SWAp. The M&E unit plan ready for monitorsprogress support; monitorsprogress implementation towards development evidence of towards development objectives on a monthly progress in objectives on a monthly basis. Trade SWAp basis. - • The Sub-Steering implementation - • The Sub-Steering Committee onTrade in APR Committee onTrade Development and Development and Trade Trade RelatedInvestment RelatedInvestment (SSC-TD-TRI) chaired (SSC-TD-TRI) chaired by the Minister of by the Minister of Commerce is meeting Commerce is meeting every 3 months. every 3 months. - • The strengthened - • The strengthened capacity of DICO is capacity of DICO is helpingthe Ministry of helping the Ministry of Commerce to be more Commerce to be more strategic in planning and strategic in planning implementing and implementing development assistance development activities. assistance activities. Date 01-Jan-2009 11-Jun-2014 31-Jan-2015 31-Mar-2015 Overall Comments Intermediate Results Indicators 3/30/2015 Page 3 of 11 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Cambodia Trade Development Support Program (RETF093573) (P109648) PHINDIRITBL  Increased coverage of SPS regulations and support services (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target - Many Non-Tariff - Many Non-Tariff Measures (NTMs) are Measures (NTMs) are related to phyto- related to phyto-sanitary sanitary standards standards (SPS). A (SPS). A review of review of NTMs NTMs regulations is regulations is underway underway through an through an NTM review NTM review committee committee at MEF to at MEF to see if the see if the measures are measures are scientifically justified. If scientifically justified. If not, they will be not, they will be considered market considered market access barriers to be access barriers to be abolished by the abolished by the Government. Government. - The WB task team is - The WB task team is providing guidance to providing guidance to MAFF to put in place an MAFF to put in place automated system of an automated system phyto-sanitary reporting of phyto-sanitary that will allow exports of reporting that will allow rice and vegetables to exports of rice and be certified through 5 vegetables to be provincial officies certified through 5 instead of at the central Products provincial officies ministry, saving time for Quality and Incomplete regulatory instead of at the central exporters. The Safety is system on SPS; ministry, saving time inspection process is enhanced in Value occasional non-compliance for exporters. The becoming more credible line with with WTO agreements on inspection process is through training for international SPS becoming more provincial inspectors. standards credible through - A large-scale requiring SPS training for provincial intervention in the compliance inspectors. fisheries value chain is - A large-scale upgrading the capacity intervention in the of processors and fisheries value chain is producers in order upgrading the capacity toincrease formal of processors and exports of fish. UNIDO producers in order consultants are assisting toincrease formal the FiA of the Ministryof exports of fish. UNIDO Agriculture, Forestry and consultants are Fisheries to implement assisting the FiA of the this project. Another Ministryof Agriculture, project outside of TDSP Forestry and Fisheries and being financed by to implement this ADB is "Better Quality project. Another project and Safety of Fish and outside of TDSP and Fishery Products for being financed by ADB Improving Fish Trade is "Better Quality and Development in Safety of Fish and Cambodia" valued at Fishery Products for more than $1 million is Improving Fish Trade underway at Fisheries Development in (though implementation Cambodia" valued at has been delayed due to more than $1 million is the complications of 3/30/2015 Page 4 of 11 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Cambodia Trade Development Support Program (RETF093573) (P109648) underway at Fisheries contracting with a UN (though implementation agency).Another project, has been delayed due currently being to the complications of implemented by contracting with a UN theInstitute of Standards agency).Another of Cambodia (ISC) has project, currently being developed standards for implemented by the various ricevarieties. theInstitute of Standards of Cambodia (ISC) has developed standards for the various ricevarieties. Date 01-Jan-2009 11-Jun-2014 31-Jan-2015 31-Mar-2015 PHINDIRITBL  Improved compliance with WTO agreement on TBT (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target - The reform of Non- Tariff Measures - The reform of Non- (NTMs) has a direct Tariff Measures (NTMs) impact on TBTs, has a direct impact on because technical TBTs, because technical barriers are often used barriers are often used to limit market access. to limit market access. The Sub decree on The Sub decree on NTMs and the NTMs and the establishment of the establishment of the new NTM Committee new NTM Committee will create policy space will create policy space Products to review and abolish to review and abolish Quality is unnecessary TBTs. unnecessary TBTs. enhanced in Additionally, as Additionally, as Incomplete regulatory line with mentioned in previous mentioned in previous system on TBT; occasional National Value ISRs, There are two ISRs, There are two non-compliance with WTO Technical large-scale projects large-scale projects agreements on TBT Regulations underway to address underway to address and TBT compliance at TBT compliance at international theInstitute of theInstitute of Standards standards Standards of of Cambodia (ISC). Cambodia (ISC). Standards for rice and Standards for rice and for various domestically for various domestically produced goods have produced goods have been developed and been developed and endorsed by the private endorsed by the private sector. Accreditation of sector. Accreditation of ISC by an international ISC by an international standards-setting body standards-setting body may take place in 2015 may take place in 2015 using TDSP funding. using TDSP funding. Date 01-Jan-2009 11-Jun-2014 11-Jun-2014 31-Mar-2015 3/30/2015 Page 5 of 11 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Cambodia Trade Development Support Program (RETF093573) (P109648) PHINDIRITBL  Evidence of satisfactory progress in the 12 point action plan (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target - Cambodia’s LPI ranking has risen by 46 - Cambodia’s LPI places to 83rd out of ranking has risen by 46 Progress under the 12- 160 countries, up from places to 83rd out of 160 point action plan: 129th four years ago, countries, up from 129th Achievements in this which can be attributed four years ago, which action plan include point 1: to: (1) the time to clear can be attributedto: (1) Establishment of a cross cargoes at the customs the time to clear cargoes agency trade has fallen from 5.9 at the customs has facilitation/investment days in 2010 to only fallen from 5.9 days in climate reform team; point 1.4 days in 2014; and 2010 to only 1.4 days in 3: "Replace 45 documents (2) theshare of 2014; and (2) theshare with the Single consignments selected of consignments Administrative Document"; for inspection has selected for inspection point 4: "IntroduceRisk fallen from 29% in 12 Point Action has fallen from 29% in Management to target 2010 to 17% in 2014. Plan 2010 to 17% in 2014. inspections"; point 6: - The Trade MDTF substantially - The Trade MDTF "Automated Single provided strategic complete. An provided strategic Window" (the ASYCUDA support to the National increase in Value support to the National automated system in place Single Window Cambodia's Single Window Blueprint in Sihanoukville);and point Blueprint that ranking on the that encompasses every 7: "Introduce flat fee & encompasses every Logistics facet of formulating and service level agreement" facet of formulating and Performance implementing a national (recurring cost of implementing a Index. single window. automated customs national single window. -Funding has been operations have been -Funding has been approved for the rollout estimated);point 8: approved for the rollout of automated Customs streamlining process and of automated Customs software (called reduce cost of commercial software (called ASYCUDA) to 11 registration, point 12: some ASYCUDA) to 11 addtional sites, forms of monitoring and addtional sites, increasing Customs' reporting of PSD progress increasing Customs' ability to control and tax have been reported to the ability to control and excise shipments bi-annual Government tax excise shipments - valuations increasingly Private Sector Forum. - valuations adhere to the WTO increasingly adhere to Valuation Agreement. the WTO Valuation Agreement. Date 01-Jan-2009 11-Jun-2014 31-Jan-2015 31-Mar-2015 PHINDIRITBL  Increased efficiency and effectiveness of functions performed in critical MoC departments and targeted agencies (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target • RGC institutions are • RGC institutions are MoC effectively integrating, effectively integrating, functioning as a coordinating and coordinating and change agent / Weak capacity of several implementing trade implementing trade champion in Value MOC's departments and related reforms through related reforms through terms of using other agencies Trade SWAp. Trade SWAp. trade to • SSC and IC are well- • SSC and IC are well- increase functioning committees functioning committees economic 3/30/2015 Page 6 of 11 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Cambodia Trade Development Support Program (RETF093573) (P109648) providing on-going providing on-going development strategy and strategy and leadership, and social leadership, securing securing buy-in for welfare in buy-in for implementation of Road Cambodia in implementation of Maps from other coordination Road Maps from other stakeholders. with other Line stakeholders. - • The MoC currently Ministries and - • The MoC currently benefits from several stakeholders benefits from several projects of combined projects of combined value $2.88 million: (i) value $2.88 million: (i) Rules of Origin: Rules of Origin: Operational procedures Operational procedures and training ($110,000); and training (ii) export training and ($110,000); (ii) export SME program ($49,000), training and SME (iii) capacity building for program ($49,000), (iii) Departmentof Trade capacity building for Statistics and Departmentof Trade Information ($110,000) Statistics and (iv) IP Teaching and Information ($110,000) Training ($110,000), (v) (iv) IP Teaching and E-Commerce Law Training ($110,000), (v) Drafting($124,900), E-Commerce Law (vi)Institutional risk Drafting($124,900), management at (vi)Institutional risk Camcontrol ($105,550), management at (vii) Strengthening MoC Camcontrol Core HR Functions ($105,550), (vii) ($234,540), (viii)Value Strengthening MoC chain information unit Core HR Functions ($240,000), (ix) MoC ($234,540), (viii)Value ICT Master Plan chain information unit including Certificate of ($240,000), (ix) MoC Origin automation ($1.8 ICT Master Plan million). including Certificate of - • Information and Origin automation ($1.8 educational campaigns, million). including capacity - • Information and building for Provincial educational and Municipal campaigns, including Investment Sub- capacity building for Committees (PMIS) on Provincial and the Investment Municipal Investment Lawshave been carried Sub-Committees out by CIB/CDC at sub- (PMIS) on the national levels, business Investment Lawshave associations, and private been carried out by sectors. CIB/CDC at sub- - • MoC HR Capacity national levels, and Development Plan business associations, has been fully and private sectors. developed to identify - • MoC HR Capacity institutional and and Development Plan individual capacity has been fully needs. developed to identify • Trade Curriculum at institutional and the Royal School of individual capacity Administration has been needs. completed including • Trade Curriculum at training materials and the Royal School of course syllabus. Administration has • TDSP has provided 3/30/2015 Page 7 of 11 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Cambodia Trade Development Support Program (RETF093573) (P109648) been completed various capacity including training enhancement programs materials and course implemented in various syllabus. trade related agencies • TDSP has provided such as GDCE, ISC, various capacity and CAMCONTROL enhancement programs implemented in various trade related agencies such as GDCE, ISC, and CAMCONTROL Date 01-Jan-2009 11-Jun-2014 31-Jan-2015 31-Mar-2012 PHINDIRITBL  A transparent, consistent and sustained trade monitoring system grants regular access to trade information by stakeholders. (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target • The development of a • The development of a national trade portal national trade portal has has started and will be started and will be in full in full swing by the end swing by the end of the of the third quarter third quarter 2014. The 2014. The repository is repository is being being populated with populated with relevant relevant legislation in legislation in goods and goods and services. services. • Automation activities • Automation activities for trademarks and for trademarks and certificates oforigin are certificates oforigin are in progress. in progress. • The automation of • The automation of Implementation Customs (thru Customs (thru of M&E system, ASYCUDA World ASYCUDA World implementation System) has been System) has been of trade portal rolled-out in all 21 rolled-out in all 21 and some Weak and fragmented Value checkpoints and will checkpoints and will evidence of M&E system in place beexpanded to 11 beexpanded to 11 automation of additional checkpoints, additional checkpoints, the functions thereby increasing thereby increasing and activities of Customs' (GDCE) Customs' (GDCE) ability MOCand key ability to control excise to control excise trade agencies. shipments. shipments. - A results framework - A results framework that links SWAp that links SWAp Roadmap Indicators Roadmap Indicators and and TDSP indicators to TDSP indicators to project-level project-level performance has performance has enhanced monitoring enhanced monitoring and evaluation of and evaluation of individual activities. An individual activities. An updated DTIS Update updated DTIS Update was launched on 18 was launched on 18 February 2014. February 2014. 3/30/2015 Page 8 of 11 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Cambodia Trade Development Support Program (RETF093573) (P109648) Date 01-Jan-2009 11-Jun-2014 31-Jan-2015 31-Mar-2015 PHINDIRITBL  Evidence of higher compliance of legal framework with WTO obligations. (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target - Sub-Decree on NTMs - Sub-Decree on NTMs has been submitted to has been submitted to Council of Ministers Council of Ministers and and sent back for sent back for revisions revisions twice. twice. Approval Approval imminent. imminent. - Strategic guidance to - Strategic guidance to the Law on Copyrights the Law on Copyrights and Marks has been and Marks has been provided. provided. - Ecommerce law has - Ecommerce law has been revised and the been revised and the Minister of Commerce Minister of Commerce is is personally lobbying review of Legal Action Plan personally lobbying for it Draft, for it to be passed by indicates patchy to be passed by Council finalization and Council of Ministers Value compliance of Cambodian of Ministers before end review of key before end of year trade regime with WTO of year trade related - unnecessary accession protocol - unnecessary laws Certificates of Origin Certificates of Origin have been abolished have been abolished following advice from following advice from the the World Bank on World Bank on Doing Doing Business Business reforms. reforms. - • Review of Excise - • Review of Excise Legislative Framework Legislative Framework Administration hasbeen Administration hasbeen completed and new completed and new excise law had been excise law had been proposed in the study proposed in the study report prepared. report prepared. has been drafted has been drafted Date 01-Jan-2009 11-Jun-2014 31-Jan-2015 31-Mar-2015 3/30/2015 Page 9 of 11 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Cambodia Trade Development Support Program (RETF093573) (P109648) PHINDIRITBL  Average time for imports / exports (days) (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target 4.5/2.5 More simple, transparent and cheaper import, Value 6.5/4.5 2.75/2.4 2.75/2.4 export and transit procedures and processes practiced Date 31-Aug-2004 11-Jun-2014 31-Jan-2015 30-Sep-2015 PHINDIRITBL  Proportion of containers physically open (%) (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target The percentage of The percentage of containers selected for containers selected for red-channel inspection red-channel inspection at the main ports using at the main ports using risk management tools risk management tools Overall Value 100% (e.g. Sihanoukville port, (e.g. Sihanoukville port, reduction in the Phnom Penh Phnom Penh number of International Airport International Airport and and Dry ports) is 20.6% Dry ports) is 20.6% for for imports and 8.3% imports and 8.3% for for exports. exports. Date 13-Jan-2009 11-Jun-2014 31-Jan-2015 31-Mar-2015 Overall Comments Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed Disbursed P109648 TF-93573 Effective USD 15.45 15.45 0.00 10.60 4.85 69% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P109648 TF-93573 Effective 14-Jan-2009 14-Jan-2009 09-Mar-2009 31-Mar-2012 31-Mar-2015 3/30/2015 Page 10 of 11 Public Disclosure Copy Public Disclosure Copy The World Bank Implementation Status & Results Report Cambodia Trade Development Support Program (RETF093573) (P109648) Cumulative Disbursements Restructuring History Level Approved on 19-Dec-2010 ,Level Approved on 19-Mar-2012 Related Project(s) P147231-Cambodia Trade Development Support Program - Additional Financing 3/30/2015 Page 11 of 11 Public Disclosure Copy