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Chapter 12Managing AfT and TRTA to Implement NTIS 2010N T I S201012.1 IntroductionImplementation of the Actions proposed in NTIS 2010 will require mobilizing fresh donor resources, as well asputting in place robust coordination and implementation arrangements. In doing so, the GoN should keep inmind the lessons learned from the implementation of the earlier NTIS 2004, including the need for strongercoordination and leadership on the part of the Government. In addition, the GoN needs to be mindful ofthe changing environment for ODA disbursement, implementation and management in adherence to theprinciples of the ‘2005 Paris Declaration on Aid Effectiveness’.The GoN has identified several preliminary mechanisms to enhance country ownership of TRTA, includingthrough the implementation of the Enhanced Integrated Framework (EIF) and the promotion of a Sector WideApproach (SWAp), like approach to improve government-donor coordination.Such mechanisms will include but are not limited to: a National Steering Committee (NSC), chaired by the Chief Secretary and co-chaired by the Secretary,MoCS. The NSC is to include key trade stakeholders on the Government, private sector, and donorsides; a National Implementation Unit (NIU) based in the MoCS; Technical Committees (TCs), with representatives of key line ministries with a stake in the trade sector.The TCs will work in close cooperation with the NIU; a Nepal Business Forum (NBF); a Donor Facilitator (DF), currently UNDP Nepal.Technical assistance support will be required to strengthen the capacity of those various implementationarrangements. The GoN has secured the support of the EIF-Tier 1 Trust Fund to assist with some of thiscapacity building.This chapter reviews: The new environment for TRTA; The National Implementation Arrangements (NIAs) being considered by the GoN in support of NTIS2010; Possible capacity development needs to strengthen the proposed NIAs; Examples and lessons from other countries that have taken steps to put in place similararrangements.12.2 What Has Changed in Trade Related Technical Assistance?The 2005 Paris Declaration on Aid Effectiveness and the Accra Agenda forActionThe ‘Paris Declaration on Aid Effectiveness’, drafted in 2005 by the OECD Development Assistance Committee(DAC), laid out new guidelines to harmonize donor practices and increase the effectiveness of aid. TheDeclaration was endorsed by over 100 Ministers, Heads of Agencies, and Senior Officials that committedtheir countries and organizations to working towards greater harmonization, alignment, and managementof aid for results based on measurable actions and monitoring indicators. The GoN is a signatory to the ParisDeclaration.NEPAL TRADE INTEGRATION STRATEGY 2010BACKGROUND REPORT239
N T I S2010The key principles included in the Declaration are:Ownership: Developing countries set their own strategies for reducing poverty, improving their institutions,and tackling corruption.Alignment: Donor countries align behind these objectives and use local implementation systems.Harmonization: Donor countries coordinate, simplify procedures, and share information among themselvesand with Governments to avoid duplication.Results: Developing countries and donors shift focus to development results and results get measured.Mutual Accountability: Donors and partners are accountable for development results.The Accra Agenda for Action (AAA), drawn up in 2008, builds on the commitments agreed upon under theParis Declaration and adds:Predictability: Donors will provide partner countries three-to-five-year forward information on their plannedaid.Country Systems: Partner country systems will be used to deliver aid as the first option, rather than donorsystems.Conditionality: Donors will switch from reliance on prescriptive conditions about how and when aid money isspent to conditions based on the developing country’s own development objectives.Untying: Donors will relax restrictions that prevent developing countries from buying the goods and servicesthey need from whomever and wherever they can get the best quality at the lowest price.Nepal’s Progress in Meeting the Paris Declaration PrinciplesWhile Nepal is a signatory to the 2005 Paris Declaration, the country was not included in the first round ofdetailed monitoring for the Declaration. Still, annual surveys are conducted among all countries to evaluateprogress made in integrating the five main principles into their respective development agenda. Table 12.1summarizes the progress made by Nepal as of the end of 2007.240NEPAL TRADE INTEGRATION STRATEGY 2010BACKGROUND REPORT
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Nepal Trade Integration Strategy 20
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Table of ContentsForewordAbbreviati
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Table 2.17 Acreage and Production o
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List of BoxesBox 2.1 A Nepalese IT
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LoD Limit of DetectionM&E Monitorin
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Chapter 1Trading Environment, Expor
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N T I S20101.3 Capacity Development
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N T I S2010Table 1.1Balance of Paym
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N T I S2010Changes in the Nepalese
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N T I S20101.5 Expanding an ‘Incl
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N T I S2010 Index 4 measures the po
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N T I S2010Table 1.9Impact of 19 Ex
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N T I S2010Table 1.10Geographical D
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N T I S20101.7 Declining Importance
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N T I S2010negotiate for the inclus
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N T I S2010Types of Exported Produc
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N T I S2010Table 2.2Large Cardamom:
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N T I S2010Index 4: Socio-economic
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N T I S2010Index 1: Export Performa
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N T I S2010exporters. Nepal permits
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N T I S2010RankCountryExports Nepal
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N T I S2010like China and Australia
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N T I S2010The opportunities for pr
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N T I S2010Lentils are subject to o
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N T I S2010Production Capacity: Nat
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N T I S2010Gender Impact: This sect
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N T I S2010Export Prospect: Accordi
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N T I S2010Cost and Quality of Infr
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N T I S2010Attractive markets for T
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N T I S2010Market Access Conditions
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N T I S2010Gender Impact: The respo
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N T I S2010Information from industr
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N T I S2010RankCountryTable 2.26Att
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N T I S2010# Botanical Name 41 Spec
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N T I S2010Current Export Destinati
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N T I S2010significant attention fr
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N T I S20109) Silver JewelryBackgro
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N T I S2010Availability and Quality
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N T I S2010Attractive Markets for S
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N T I S2010Production Capacity: Nep
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N T I S2010ii.iii.required for the
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N T I S201012345678910# Name of Ste
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N T I S2010Export Prospect: Accordi
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N T I S2010Gender Impact: Female wo
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N T I S2010The value added of those
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N T I S2010sheep population, which
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N T I S201013) TourismBackgroundTou
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N T I S2010Index 2: World Market Co
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N T I S2010There are also about 24
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N T I S2010Index 1: Export Performa
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N T I S2010Index 2: World Market Co
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N T I S2010Contribution to Skill De
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N T I S2010Types of Exported Servic
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N T I S201016) Health ServicesBackg
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N T I S2010medical services are bei
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N T I S201017) Education ServicesBa
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N T I S2010should be interpreted ca
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N T I S2010foreign students. The me
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N T I S2010Under mode 4 (presence o
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N T I S2010Index 4: Socio-economic
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N T I S2010generate revenue of US$3
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N T I S2010monopsony power. Several
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N T I S2010The possibility of direc
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N T I S2010Dairy Products, specific
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Chapter 3Access to the Indian Marke
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N T I S2010The Nepal-India Trade Tr
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N T I S2010Most issues reported abo
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N T I S2010Nepalese Domestic Issues
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N T I S2010India’s view is that t
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Chapter 4Access to the Chinese Mark
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N T I S2010products must be wholly
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N T I S2010The findings discussed h
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N T I S20104.5 Other Impediments to
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N T I S20104.7 Recommendations: Cha
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N T I S2010inflow between 2000 and
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N T I S2010Industrial Parks and SEZ
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N T I S2010Lack of up-to-date polic
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N T I S2010Apart from the critical
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N T I S2010capabilities in all five
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N T I S20105.5. Combining Investmen
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Chapter 6Trade FacilitationN T I S2
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N T I S2010In the 2005 Trade Facili
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N T I S2010The latest phase of impl
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N T I S2010improve efficiency. Few
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N T I S2010Figure 7.1Future Organog
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N T I S2010EU countries, special pr
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N T I S2010Act 1980. So far, 130 fi
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N T I S2010The current projects inc
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N T I S2010The NBSM as a secretaria
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N T I S2010Many more organizations
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N T I S2010Table 7.8Existing Nepal
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Table 7.9Standards Issues for Ten E
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N T I S20107.14 Priority Actions an
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Page 223 and 224: N T I S2010breaches of law. The Nep
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Page 274 and 275: N T I S2010MainOutcomes Recommended
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N T I S201019. HYDRO-ELECTRICITYStr
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Appendix 1Methodology for Export Po
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N T I S2010B. Data SourcesThe analy
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Appendix 2Market Attractiveness Ind
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N T I S2010Rank13) Tourism1 Germany
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Appendix 3Updated Legislative Actio
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N T I S2010specified management sys
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N T I S2010than pesticide residues
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Appendix 5Malaysia GAP (Skim Amalam
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N T I S2010E. Document ControlQMS d
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Appendix 7Good Agricultural Practic
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