50254-002: South Asia Subregional Economic Cooperation Customs Reform and Modernization for Trade Facilitation | Asian Development Bank

Nepal: South Asia Subregional Economic Cooperation Customs Reform and Modernization for Trade Facilitation

Sovereign (Public) Project | 50254-002 Status: Active

The South Asia Subregional Economic Cooperation Customs Reform and Modernization for Trade Facilitation Program will contribute to Nepal''s national goals of promoting and diversifying exports, and help the country fulfill its commitments to the Trade Facilitation Agreement of the World Trade Organization and related international standards on customs. The Government of Nepal has requested a concessional loan in various currencies equivalent to SDR15,341,000 ($21 million) from ADB''s ordinary capital resources to help finance the program, together with a technical assistance grant of $1 million.

Project Details

Project Officer
Sunayama, Sonoko South Asia Department Request for information
Country
  • Nepal
Modality
  • Technical Assistance
Sector
  • Industry and trade
 
Project Name South Asia Subregional Economic Cooperation Customs Reform and Modernization for Trade Facilitation
Project Number 50254-002
Country Nepal
Project Status Active
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 9346-NEP: South Asia Subregional Economic Cooperation Customs Reform and Modernization for Trade Facilitation
Japan Fund for Poverty Reduction US$ 1.00 million
Strategic Agendas Inclusive economic growth
Regional integration
Drivers of Change Governance and capacity development
Partnerships
Private sector development
Sector / Subsector

Industry and trade / Industry and trade sector development - Trade and services

Gender Equity and Mainstreaming No gender elements
Description The South Asia Subregional Economic Cooperation Customs Reform and Modernization for Trade Facilitation Program will contribute to Nepal''s national goals of promoting and diversifying exports, and help the country fulfill its commitments to the Trade Facilitation Agreement of the World Trade Organization and related international standards on customs. The Government of Nepal has requested a concessional loan in various currencies equivalent to SDR15,341,000 ($21 million) from ADB''s ordinary capital resources to help finance the program, together with a technical assistance grant of $1 million.
Project Rationale and Linkage to Country/Regional Strategy The transaction technical assistance is needed to help strengthen Nepal's Department of Customs'' capacity to execute reform measures captured in the policy matrix of the program, which are in turn the strategic priorities of the 4-year national strategy, the Customs Reform and Modernization Strategies and Action Plan (CRMSAP) 2017 -2021, with which the program is fully aligned. The TA and the policy-based loan are both included in the Country Operations Business Plan: Nepal, 2017-2019 and the Regional Cooperation Operation Business Plan: South Asia, 2016- 2018.
Impact
Project Outcome
Description of Outcome
Progress Toward Outcome TA has become effective on 15 August 2017.
Implementation Progress
Description of Project Outputs
Status of Implementation Progress (Outputs, Activities, and Issues) Three individual national consultants have been engaged to support the implementation of TA activities. Preparatory activities for the engagement of a national consulting firm have also started.
Geographical Location Nation-wide
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design The stakeholders are trade-related public and private sector entities, represented in the Customs National Trade Facilitation Committee (CNTFC), including: Ministry of Finance, Department of Customs, Customs field offices, other trade-related government ministries (Ministry of Commerce, Ministry of Agricultural Development, Ministry of Industry), banks, manufacturers, producers of agricultural goods, traders, freight forwarders, customs agents, among others. Consultation sessions have been held continuously in Kathmandu and the field locations since 2014. At the field locations, local chambers of commerce, manufactures, cooperatives, customs clearing agents, and freight forwarders were visited in addition to local government offices. Following the initial consultation, a number of stakeholder consultations have been held as part of the project review missions of TA 8442 at an interval of 4-6 months. In November 2016, a national consultation session workshop was organized, inviting these public and private sector representatives. While the workshop's primary aim was to discuss the draft Customs Reform and Modernization Strategies and Action Plan (CRMSAP), 2017-2021, the agenda included discussions on the CRMSAP reform areas to be supported by ADB's policy-based lending. Major reform actions to be supported by the Program were confirmed, together with endorsement of the CRMSAP design.
During Project Implementation The TA will be implemented over 30 months starting August 2017. The executing agency will be the Department of Customs (DOC). The TA's implementation mechanism will be the same as the policy-based lending program, with which TA is associated with. The program steering committee, chaired by the Director General of the DOC, will be formed to guide and monitor implementation. Members will be drawn from the Ministry of Finance, Ministry of Commerce, Department of Industry, and the DOC. Members of the CNTFC and ADB may be invited to the steering committee meetings. The steering committee will present the progress and discuss issues on program implementation at regular CNTFC meetings. The DOC will form a program implementation framework, headed by its Deputy Director General (Management), supervising five thematic task forces of: (i) coordination; (ii) legislation; (iii) automation; (iv) risk management; and (v) organization and development.
Business Opportunities
Consulting Services A combination of individual consultants and a consulting firm will be engaged for the implementation of the technical assistance. Individual consultants will be engaged by the Asian Development Bank (ADB) using individual consultant selection and, where relevant, on output-based partial lump-sum contracts. For the development of the Nepal Customs Automation System sub-systems, a national consulting firm will provide a team of consultants. The firm will be engaged by ADB using quality- and cost-based selection method and output-based partial lump-sum contract. The firm should specialize in information technology.
Procurement N/A
Responsible ADB Officer Sunayama, Sonoko
Responsible ADB Department South Asia Department
Responsible ADB Division Regional Cooperation and Operations Coordination Div, SARD
Executing Agencies
Asian Development Bank
6 ADB Avenue,
Mandaluyong City 1550, Philippines
Department of Customs
Tripureshwar, Kathmandu, Nepal
Timetable
Concept Clearance -
Fact Finding -
MRM -
Approval 24 Jul 2017
Last Review Mission -
Last PDS Update 04 Sep 2017

TA 9346-NEP

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
24 Jul 2017 15 Aug 2017 15 Aug 2017 29 Feb 2020 - -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
0.00 1,000,000.00 0.00 0.00 0.00 0.00 1,000,000.00 24 Jul 2017 13,593.11

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Evaluation Documents See also: Independent Evaluation

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Related Publications

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Tenders

Tender Title Type Status Posting Date Deadline
National Web Administrator - System Administrator Individual - Consulting Active 18 Aug 2017 24 Aug 2017
National Web Administrator - Customs Automation Assistant Individual - Consulting Active 18 Aug 2017 24 Aug 2017
Trade Facilitation Specialist - Customs Automation Specialist Individual - Consulting Active 18 Aug 2017 24 Aug 2017

Contracts Awarded

No contracts awarded for this project were found

Procurement Plan

None currently available.