Regional: Capacity Strengthening and Institutional Development for Border Management and Trade and Tourism Development in the Pacific

Sovereign Project | 43140-012

Summary

The TA, covering PNG and Timor-Leste, will strengthen the capacity of the border management, trade and tourism, and infrastructure agencies to create a further enabling

environment for enhancing the economic corridors between PNG and Indonesia and between Timor-Leste and Indonesia. The capacity enhancement will cover participation in seminars, workshops, and conferences to familiarize with and adopt international best practices in CIQS. Provision of geographic information system (GIS), geographic positioning system (GPS), mapping and audiovisual equipment, as well as computing equipment (both hardware and software) will be necessary to establish baseline and information resources to identify trade flows and assess the commodity profiles, market information, and trade benefits.

Latest Project Documents


Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

The Public Communications Policy (PCP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.

The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.

In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

Project Name Capacity Strengthening and Institutional Development for Border Management and Trade and Tourism Development in the Pacific
Project Number 43140-012
Country Regional
Project Status Closed
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 7503-REG: Capacity Strengthening and Institutional Development for Border Management and Trade and Tourism Development in the Pacific
Regional Cooperation and Integration Fund US$ 1.00 million
Japan Fund for Poverty Reduction US$ 1.50 million
Strategic Agendas Inclusive economic growth
Regional integration
Drivers of Change Governance and capacity development
Partnerships
Private sector development
Sector / Subsector Industry and trade - Trade and services
Public sector management - Decentralization
Transport - Road transport (non-urban)
Gender Equity and Mainstreaming
Description

The TA, covering PNG and Timor-Leste, will strengthen the capacity of the border management, trade and tourism, and infrastructure agencies to create a further enabling

environment for enhancing the economic corridors between PNG and Indonesia and between Timor-Leste and Indonesia. The capacity enhancement will cover participation in seminars, workshops, and conferences to familiarize with and adopt international best practices in CIQS. Provision of geographic information system (GIS), geographic positioning system (GPS), mapping and audiovisual equipment, as well as computing equipment (both hardware and software) will be necessary to establish baseline and information resources to identify trade flows and assess the commodity profiles, market information, and trade benefits.

Project Rationale and Linkage to Country/Regional Strategy

Papua New Guinea's (PNG's) and Timor-Leste's extensive borders with Indonesia have potential for expanded trade and tourism benefits through the creation of economic corridors.

PNG and Indonesia signed agreements on customary and traditional border crossings as early as 1993. Despite renewed effort since 2006, PNG is unable to open its border posts for vehicle crossings due to lack of infrastructure and institutional capacity on border management. Similarly, in 2003, Timor-Leste and Indonesia signed the Agreement on Traditional Border Crossing and Regulated Markets. Poor and/or nonexistent border infrastructure and border management services, however, have made it difficult to implement the agreement.

In February 2009, the Asian Development Bank (ADB) hosted meetings of senior officials between Indonesia and Timor-Leste, and between Indonesia and PNG. These meetings

recognized that joint cooperation between the countries has great potential to generate economic and social benefits that complement each country's national actions along their

common borders. Thus, aside from dealing with border demarcation, security, and immigration issues, the three countries recognized the necessity of improving connectivity through transport and communication links, and trade and tourism facilitation. The Regional Operations Business Plan: Pacific 2007 2010 emphasizes on the design and implementation of well coordinated national and subregional activities as they offer economies of scale and opportunities to share capacity by (i) strengthening national ownership of regional approaches, (ii) increasing the regional provision of services, and (iii) improving the environment for private sector development.

Impact Improved cross-border trade and enhanced subregional integration through increased trade and travel between PNG and Indonesia, and between Timor-Leste and Indonesia.
Project Outcome
Description of Outcome Improved cross-border links between PNG and Indonesia and between Timor-Leste and Indonesia.
Progress Toward Outcome This TA is establishing efficient border crossings with Indonesia, complementing investment on infrastructure development under separate project.
Implementation Progress
Description of Project Outputs

Enhanced institutional capacity for border management and border services

Strengthened cross-border trade and tourism links

Strengthened capacity for developing and implementing cross-border transport links

Status of Implementation Progress (Outputs, Activities, and Issues)

TA implementation commenced in 2011, following startup delays in obtaining clearances from the Governments of Papua New Guinea (PNG) and Timor-Leste (TL).

A consulting firm was recruited and mobilized to PNG and TL currently being processed.

Geographical Location Papua New Guinea and Timor-Leste
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation ADB is the executing agency. In PNG, the BDA in conjunction with the Ministry of Trade and Commerce, Ministry of Foreign Affairs, Commission on Customs, Department of Immigration, and provincial administration of the relevant border provinces guiding the implementation of the TA. In Timor-Leste, under the guidance of the Ministry of Foreign Affairs is coordinating the implementation of the TA. The participating agencies have assigned necessary counterpart staff, and provide office space to the TA consultants. The TA will is ending on 31 December 2013.
Business Opportunities
Consulting Services

OUTLINE TERMS OF REFERENCE FOR CONSULTANTS

1. The regional technical assistance (TA) will strengthen the capacity of the border management, trade and tourism, and infrastructure agencies to create a further enabling environment for enhancing the economic corridors between Timor-Leste and Indonesia, and between Papua New Guinea (PNG) and Indonesia. Both international and national consultants will be hired to provide specialist inputs to produce the following outputs: (i) enhanced institutional capacity for border management and border services; (ii) strengthened cross-border trade and tourism links; and (iii) strengthened capacity for developing and implementing cross-border transport links.

A. Scope of Work

2. The TA will require the services of 42 person-months of international consulting services and 90 person-months of national consulting services in PNG and Timor-Leste, and will include specialists and experts in (i) integrated border management and institutional development; (ii) border management information and training; (iii) trade and development; (iv) trade and tourism policy, and cross-border market development; (v) transport and transit facilitation; (vi) border infrastructure and facilities development; and (vii) dissemination and communication.

3. The main activities under the TA will include, but will not be limited to, (i) developing an institutional framework and capacity building plan for integrated border development, border management, and border services; (ii) strengthening the capacity of the border services agencies to provide efficient and quality border services and transit facilities; (iii) establishing an internal coordination mechanism involving line ministries and administration in the border provinces for providing necessary support to the Joint Ministerial Commission (JMC) led by ministries of foreign affairs in both countries; (iv) examining the potential for cross-border trade in goods and services between Timor-Leste and Indonesia and between PNG and Indonesia, including assessment of benefits from forward and backward links of cross-border trade; (v) strengthening trade-related institutions, including preparation of a blueprint for harmonizing transport, trade, tourism, and tariff policies for fostering private sector growth to increase trade and tourism flows; (vi) assisting in making border markets and border pass agreements with Indonesia operational, including developing and/or improving systems for establishing regulated border markets; (vii) cross-border transport policy and transport agreement, and (viii) preparing an investment plan for cross-border transport and trade infrastructure and facilities.

B. Detailed Terms of Reference of Consultants

1. Border Management and Institutional Development Specialists (international team leader 12 person-months; national deputy team leader 2 x 12 person-months)

4. The border management and institutional development specialists, both international and national, should have experience in border development, border management, and border services in Asia and the Pacific, and be familiar with regional cooperation and trade and development issues. The specialists shall have good negotiating skill and should be able to undertake extensive fieldwork and liaise with government agencies, nongovernment agencies, and the private sector. Two national specialists (one in PNG and one in Timor-Leste) shall assist the international border management specialist to execute the terms of reference for the assignment as well as lead the team of consultants under the regional TA. The team leader and deputy team leaders must have previous demonstrated skill and experience in leading such teams. Specific tasks include

(i) preparing a work plan for the TA;

(ii) together with other team members, preparing a TA inception report outlining methodological approaches, TA issues and options, data sources, survey questionnaires, work plan, and implementation issues;

(iii) organizing a TA inception workshop to discuss the TA inception report, preliminary findings, and other issues with key stakeholders;

(iv) reviewing existing institutions and their roles in border management and border services, and developing an institutional framework and capacity building plan for integrated border development, border management, and border services;

(v) strengthening the capacity of the border services agencies to provide efficient and quality border services and transit facilities through on-the-job training, seminars, and workshops;

(vi) guiding team members in carrying out the following field surveys: (a) cross-border transport (traffic and passenger counts with origin and destination), (b) cross-border trade (volume of commodity movements), (c) border facilities (buildings, equipment, vehicle parking, and logistics facilities, and others), (d) border procedure audit (actual customs, security, immigration, cross-border trucking operations, and others), (e) cross-border link infrastructure (types, levels, characteristics, and quality, and related facilities), (f) border management including private sector participation in border management, and (g) socioeconomic profile of the border belt (production, trade, and population profile);

(vii) establishing an internal coordination mechanism involving line ministries and administration in the border provinces for providing necessary support to the JMC led by ministries of foreign affairs in both the countries; and

(viii) preparing reports on all activities and achievements in the form of periodic, midterm, and final reports.

2. Border Management Information and Training Specialists (international 6 person-months; national 2 x 6 person-months)

5. The border management information and training specialists, both international and national, should have experience in organizing training programs on border development, border management, and border services. The national border management information and training specialist shall assist the international border management and institutional development specialist to execute the terms of reference for the assignment effectively and provide all inputs from the field. Specific tasks include

(i) preparing border area information and database (e.g., maps and geographic information system);

(ii) preparing a border area resources training plan;

(iii) conducting on-the job and in-country training on border area resources, border development, and border management; and

(iv) preparing information materials for bilateral discussion with Indonesia.

3. Trade and Development Specialists (Economists) (international, 6 person-months; and national, 6 x 2 person-months)

6. The trade and development specialists, both international and national, should have experience in regional cooperation, trade, and development issues in developing countries; be familiar with cross-border issues; and have the ability to work with a multidisciplinary team, guide field surveys, and write reports. Specific tasks include

(i) reviewing trade, transport, and transit arrangements and policies and related institutions;

(ii) in collaboration with the transit and transport facilitation specialist, undertaking a comprehensive review of cross-border trade, transport, and transit arrangements (trade and passenger volumes, transport services, border crossings, procedures and quality of services, physical and nonphysical barriers, and the impact of these barriers on transaction costs), including bilateral or multilateral trade, transport, and transit agreements;

(iii) under the guidance of the team leader and in collaboration with other team members, carrying out the following field surveys: (a) cross-border transport (traffic and passenger counts with origin and destination), (b) cross-border trade (volume of commodity movements), and (c) border facilities (buildings, equipment, vehicle parking, and logistics facilities and others);

(iv) undertaking comprehensive review of cross-border trade between PNG and Indonesia and between Timor-Leste and Indonesia;

(v) reviewing current and future levels of trade among the three countries;

(vi) preparing a profile of potentially tradable goods and services between PNG and Indonesia and between Timor-Leste and Indonesia;

(vii) undertaking an in-depth assessment of the state of the economy and economic activities along border areas between PNG and Indonesia and between Timor-Leste and Indonesia and evaluating the impact of forward and backward links of cross-border trade;

(viii) assessing future levels of activities in the border belt and links; and

(ix) preparing an assessment of benefits from forward and backward links of cross-border trade between PNG and Indonesia and between Timor-Leste and Indonesia.

4. Trade and Tourism Policy and Cross-Border Market Development Specialists (international, 6 person-months; national, 2 x 6 person-months)

7. The trade and tourism policy and cross-border market development specialists, both international and national, should have experience in trade and private sector development policies in Asia and the Pacific. The specialists should be fully conversant with the private sector's role in trade facilitation and be able to conceptualize an incentive framework to augment this role in the context of participating countries. In collaboration with the national specialists, the international specialist shall

(i) carry out field surveys on (a) cross-border transport (traffic and passenger counts with origin and destination), (b) cross-border trade (volume of commodity movements), (c) border management including private sector participation in border management, and (d) socioeconomic profile of the border belt (production, trade, and population profile);

(ii) in collaboration with the transit and transport facilitation specialist, (a) review trade-related institutions in the participating countries; (b) prepare a framework for strengthening of trade-related institutions (establish World Trade Organization-compliant open trade or market regimes) and improving the efficiency of ports and customs; and (c) assess existing transport, trade, and tariff policies, standards, and regulatory frameworks in participating countries;

(iii) assess the state of private sector participation in trade, transport, and transit involving PNG, Indonesia, and Timor-Leste;

(iv) prepare a blueprint for harmonizing transport, trade, and tariff policies, standards, and regulatory frameworks for fostering private sector growth to increase trade flow;

(v) assist in making border markets and border pass agreements with Indonesia operational; and

(vi) develop and/or improve systems for establishing regulated border markets.

5. Transit and Transport Facilitation Specialists (international, 6 person-months; national, 2 x 6 person-months)

8. The transit and transport facilitation specialists, both international and national, should be familiar with customs, transit, and transport arrangements and procedures and policies in Asia and the Pacific, and undertake necessary field surveys, process information, analyze data, and prepare reports. The international transit and transport facilitation expert shall have good negotiating skill and should be able to undertake extensive fieldwork and liaise with government, nongovernment, and private sector agencies. In collaboration with the national transit and transport facilitation specialists, the international transit and transport facilitation specialist shall

(i) in collaboration with the border development specialist, undertake a comprehensive review of cross-border trade, transport, and transit arrangements (trade and passenger volumes, transport services, border crossings, procedures, and quality of services, physical and nonphysical barriers, and the impact of these barriers on transaction costs), including bilateral or multilateral trade, transport, and transit agreements;

(ii) in collaboration with the trade and private sector development policy specialist, review trade-related institutions in the participating countries;

(iii) in collaboration with the trade and private sector development policy specialist, prepare a framework for strengthening trade-related institutions (establish World Trade Organization-compliant open trade or market regimes) and improving the efficiency of ports and customs;

(iv) in collaboration with the trade and private sector development policy specialist, assess existing transport, trade, and tariff policies, standards, and regulatory frameworks in participating countries;

(v) under the guidance of the team leader and in collaboration with other team members, carry out the following field surveys: (a) cross-border transport (traffic and passenger counts with origin and destination), (b) cross-border trade (volume of commodity movements), (c) border facilities (buildings, equipment, vehicle parking, and logistics facilities and others), (d) border procedure audit (actual customs, security, immigration, cross-border trucking operations, and others), (e) cross-border link infrastructure (types, levels, characteristics, and quality and related facilities), and (f) border management including private sector participation in border management; and

(vi) assist the government in developing an appropriate cross-border transit and transport framework.

6. Border Infrastructure and Facilities Development Specialists (international, 6 person-months; national, 2 x 6 person-months)

9. The border infrastructure and facilities development specialists, both international and national, should have experience in infrastructure development including cross-border facilities in Asia and the Pacific, and undertake necessary field surveys, process information, analyze data, and prepare reports. In collaboration with the national border infrastructure and facilities development specialist, the international border infrastructure and facilities development specialist shall

(i) prepare an inventory of trade, transport, and transit infrastructures (quantity and quality) along border areas between PNG and Indonesia and between Timor-Leste and Indonesia;

(ii) undertake an in-depth review of present and planned border infrastructure, transport infrastructure, and logistics and transit arrangements;

(iii) carry out strengths, weakness, opportunities, and threat analysis of the region's trade, transport, and transit infrastructures and services;

(iv) under the guidance of the team leader and in collaboration with other team members, carry out the following field surveys: (a) border facilities (buildings, vehicle parking, and logistics facilities and others), (b) cross-border link infrastructures (types, levels, characteristics, and quality, and related facilities), and (c) socioeconomic profile of the border belt (production, trade, and population profile); and

(v) under the guidance of the team leader, work with other team members to prepare a road map for investments in physical infrastructure for enhanced cross-border trade, transport, and transit between participating countries.

7. Dissemination and Communication Specialists (national, 2 x 3 person-months)

10. Two national specialists, one in each country, will

(i) develop a communication strategy for the different stakeholders such as governments, private sector, and nongovernment organizations; and

(ii) assist the team leader in the dissemination and communication of TA outputs.

C. Reporting Requirements

11. The consultants will prepare

(i) an inception report after 3 months, covering (a) confirmation of the TA overall rationale and design, (b) recommended adjustments to the terms of reference and timing of long-term specialists' deployment, (c) a schedule of inputs from short-term specialists for the following 24 months of the TA, and (d) a detailed TA implementation schedule;

(ii) thereafter, semiannual progress reports;

(iii) a draft TA completion report; and

(iv) a final TA completion report incorporating comments from ADB, and the governments of PNG and Timor-Leste.

Responsible ADB Officer Sarosh I. Khan
Responsible ADB Department Pacific Department
Responsible ADB Division Transport, Energy and Natural Resources Division, PARD
Executing Agencies
Asian Development Bank6 ADB Avenue, Mandaluyong
Metro Manila, Philippines
P.O. Box 789, 1099 Manila,
Philippines
Timetable
Concept Clearance 29 Sep 2009
Fact Finding 30 Sep 2009 to 08 Oct 2009
MRM -
Approval 08 Mar 2010
Last Review Mission -
Last PDS Update 30 Sep 2013

TA 7503-REG

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
08 Mar 2010 - 08 Mar 2010 31 Mar 2012 31 Dec 2013 -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
1,000,000.00 1,500,000.00 200,000.00 0.00 0.00 0.00 2,700,000.00 08 Mar 2010 936,460.06

Safeguard Documents

See also: Safeguards

No documents found.

Evaluation Documents

See also: Independent Evaluation

No documents found.


The Public Communications Policy (PCP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.

Requests for information may also be directed to the InfoUnit.