Trade and Fiscal Incentives - National Agricultural and Fishery ...

implementation of the facility. Some of the delays in project
approvals in the past were due to unclear interpretations of these
functions.
g. Trade issues should be integrated in the national development
agenda, especially those related to poverty reduction, increasing
productivity and competitiveness, providing compensation and
human development safeguards, and diversification of exports and
markets. At the regional / international development levels, trade
issues should build credible alliances, achieve fairer terms of trade,
target technical assistance, strengthen the SDT provisions of the
WTO Agreement, offer aid for trade and focus on human
development.
h. To make trade work for human development (UNDP 2007) the
following eight (8) point national agenda are recommended:
1. Invest for competitiveness – This implies public investment
in infrastructures, human capital, R&D and ICT;
2. Adopt strategic Trade Policies – select strategic goods /
services with great potential linkage with other industries;
3. Restore focus on Agriculture- agriculture should be the
core of development strategy to combat poverty and food
insecurity;
4. Combat Jobless Growth – Target agro industries that
promote sustainable rural employment not for short term
growth;
5. Prepare a new tax regime – progressive tax structure that
doesn’t hurt the poor (customs tax, corporate taxes)
should be encouraged to fund the process of adjustment
under trade liberalization
6. Maintain stable exchange rate – realistic rates to
encourage investments;
7. Persist with Multilateralism – avoid bilateral trade, go for
multilateral trade arrangements; and
8. Cooperate with neighbors- Regional Trade Agreements
complemented with other forms of cooperation (e.g.
financial arrangement)
i. Finally, since the findings on the general impact of AFMA are not
as robust as envisioned by the law, revisiting the law’s IRR is in
order, including a strong political will to provide budgetary
allocation to the agriculture and fisheries sector to make it more
competitive.
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