News
A Quiet Revolution in Greening Global Trade
By
His Excellency Matthew Wilson, Ambassador and Permanent Representative of Barbados to the United Nations, WTO and other international organizations in Geneva.
His Excellency R.G.S Wijesekara, Ambassador, Permanent Representative to the WTO, Permanent Mission of Sri Lanka to the WTO.
His Excellency Sumbue Antas, Ambassador, Permanent Mission of the Republic of Vanuatu to the United Nations, WTO and other international organizations in Geneva.
As the world braces for the upcoming COP29 climate summit in Baku, the chasm between environmental pledges and tangible action remains far too wide. Despite decades of promises, the global transition to a green economy is progressing at a glacial pace. If we are to meet our climate goals, we need a package of solutions that includes financing, technology transfer, investment in environmental goods and services and importantly, more practical solutions that deliver results on the ground.
One such practical initiative making a quiet yet impactful difference is ASYCUDA (Automated System for Customs Data), a technical system developed by the United Nations Trade and Development (UNCTAD). ASYCUDA’s contribution to greening international trade is concrete, measurable, and pragmatic. Currently operational in over 100 countries, including 38 least developed countries (LDCs), 24 landlocked developing countries (LLDCs) and 41 small island developing states (SIDS), it is particularly valuable in regions most vulnerable to climate change. By streamlining customs procedures and reducing the reliance on paper, ASYCUDA is helping nations such as ours to lower carbon emissions and enhance the environmental efficiency of global trade. Moreover, the system’s increased transparency has yielded the added benefit of boosting government revenues by reducing corruption and improving customs compliance.
Given that trade accounts for nearly a quarter of global carbon emissions, reforming the way goods cross borders is critical. Every shipment comes with a footprint—whether through physical inspections, transport inefficiencies, or the endless paperwork that accompanies international trade. Modernising this process is not only vital for the economy but also for the environment.
The Power of Going Paperless
In much of the developing world, customs procedures are still mired in outdated, paper-heavy systems. Every transaction leaves a significant environmental footprint as documents are transported back and forth between government agencies, stamped, filed, and re-stamped. ASYCUDA’s most immediate impact has been in cutting through this bureaucratic clutter.
By digitising customs documentation and enabling electronic payments, the system has helped reduce paper usage and cut emissions across a range of countries. Take Angola, for example, where the introduction of ASYCUDA reduced paper consumption by 70%. Similarly, in Aruba, a digital payment module saved the equivalent of 376,000 printed documents annually. These are small, practical changes, but their cumulative impact is significant—fewer trees cut down, fewer emissions from paper production, and fewer miles travelled to deliver documents. This also matters for Micro, Small and Medium-sized enterprises (MSMEs) who can spend more time expanding their businesses and less time completing paperwork.
Going paperless also means faster trade. It allows errors to be easily identified upon submission, if the appropriate document controls are in place, and we know that better data collection reduces the need for physical inspections. Before ASYCUDA, a typical customs clearance in Jamaica could take days; today, goods can be cleared in just 32 hours. In Bangladesh, the time taken to process customs declarations has been cut to three days for 82% of transactions. The environmental benefits are clear: faster clearances mean fewer vehicles idling at ports and borders, lower fuel consumption, and less pollution.
Greener Transport and Logistics
Transportation, particularly maritime and road transport, remains a major contributor to global greenhouse gas emissions. Shipping alone is responsible for 3% of global emissions—a share likely to grow as trade volumes increase. ASYCUDA has been instrumental in reducing the emissions associated with transporting goods by improving logistics, and promoting greener transport and trade facilitation.
By streamlining processes, ASYCUDA allows for smoother trade flows, which in turn reduces unnecessary delays and emissions. In Tonga, for example, the digital management of shipping manifests through ASYCUDA has cut emissions from maritime transport by 14%. Similarly, in Turkmenistan, automated customs systems have reduced the wait times for road freight, contributing to lower emissions.
Air transport, often overlooked in discussions of trade efficiency, also stands to benefit. ASYCUDA’s collaboration with IATA enables more efficient cargo handling, reducing the time aircraft spend idling on the ground, which in turn cuts fuel consumption and emissions.
Boosting Trade Efficiency, Cutting Emissions
The efficiency gains from ASYCUDA extend beyond document digitisation and logistics. By helping governments reduce customs processing times, the system lowers emissions associated with customs delays. For example, the Trusted Trader Programme implemented in Belize allows customs authorities to tag certain low-risk traders as trusted, reducing the need for physical inspections. Over a five-year period, this initiative led to a significant drop in intervention rates, which fell from 91% to 45%. As a result, the emissions tied to unnecessary vehicle movements and physical inspections were also reduced.
These improvements are not merely administrative; they are part of a broader strategy to green international trade by making it faster, smarter, and more environmentally friendly. For example, in Vanuatu the electronic single window system has not only slashed customs clearance times but has also cut paper applications by over 90%, saving 42,000 pages per year. Barbados has also recently launched an electronic single window, with the intention of reaping similar environmental benefits.
Enforcing Environmental Regulations
International agreements like the Montreal Protocol and the Convention on International Trade in Endangered Species (CITES) are crucial in the global effort to protect the environment. However, enforcing these agreements can be challenging, particularly for customs authorities tasked with monitoring compliance.
ASYCUDA offers practical tools to help countries meet their environmental commitments. Its ODS (Ozone-Depleting Substances) module allows customs agencies to track and manage the trade of substances harmful to the ozone layer, while the eCITES system enables real-time tracking of endangered species. In Sri Lanka and Timor-Leste, ASYCUDA has proven effective in issuing permits and controlling the trade of these sensitive materials, ensuring that countries remain compliant with international agreements.
The benefits of these systems are tangible. In Sri Lanka, for instance, permit processing times for CITES-related goods have fallen from 120 hours to just 27 hours. In Bosnia and Herzegovina, ASYCUDA has enabled the government to enforce green taxes on vehicle imports, leading to a 50% increase in the number of electric and hybrid vehicles entering the country.
Small Steps, Big Impact
ASYCUDA’s contribution to greening global trade is tangible, good for trade and good for the environment. We see real progress coming from the cumulative effect of these small, pragmatic steps. Each paperless document, each streamlined customs clearance, and each more efficient logistics process brings us closer to a greener trade system.
As COP29 approaches, it is worth remembering that the journey to a sustainable future can be made in incremental steps. ASYCUDA is considered one of these important steps – it is a practical tool that shows how small, scalable solutions can make a real impact on the world’s most pressing environmental challenge.
In a world awash with climate commitments, ASYCUDA stands out as an example of quiet, steady progress—proof that sometimes, the most effective solutions are those that are already at work.
A Quiet Revolution in Greening Global Trade
By
His Excellency Matthew Wilson, Ambassador and Permanent Representative of Barbados to the United Nations, WTO and other international organizations in Geneva.
His Excellency R.G.S Wijesekara, Ambassador, Permanent Representative to the WTO, Permanent Mission of Sri Lanka to the WTO.
His Excellency Sumbue Antas, Ambassador, Permanent Mission of the Republic of Vanuatu to the United Nations, WTO and other international organizations in Geneva.
As the world braces for the upcoming COP29 climate summit in Baku, the chasm between environmental pledges and tangible action remains far too wide. Despite decades of promises, the global transition to a green economy is progressing at a glacial pace. If we are to meet our climate goals, we need a package of solutions that includes financing, technology transfer, investment in environmental goods and services and importantly, more practical solutions that deliver results on the ground.
One such practical initiative making a quiet yet impactful difference is ASYCUDA (Automated System for Customs Data), a technical system developed by the United Nations Trade and Development (UNCTAD). ASYCUDA’s contribution to greening international trade is concrete, measurable, and pragmatic. Currently operational in over 100 countries, including 38 least developed countries (LDCs), 24 landlocked developing countries (LLDCs) and 41 small island developing states (SIDS), it is particularly valuable in regions most vulnerable to climate change. By streamlining customs procedures and reducing the reliance on paper, ASYCUDA is helping nations such as ours to lower carbon emissions and enhance the environmental efficiency of global trade. Moreover, the system’s increased transparency has yielded the added benefit of boosting government revenues by reducing corruption and improving customs compliance.
Given that trade accounts for nearly a quarter of global carbon emissions, reforming the way goods cross borders is critical. Every shipment comes with a footprint—whether through physical inspections, transport inefficiencies, or the endless paperwork that accompanies international trade. Modernising this process is not only vital for the economy but also for the environment.
The Power of Going Paperless
In much of the developing world, customs procedures are still mired in outdated, paper-heavy systems. Every transaction leaves a significant environmental footprint as documents are transported back and forth between government agencies, stamped, filed, and re-stamped. ASYCUDA’s most immediate impact has been in cutting through this bureaucratic clutter.
By digitising customs documentation and enabling electronic payments, the system has helped reduce paper usage and cut emissions across a range of countries. Take Angola, for example, where the introduction of ASYCUDA reduced paper consumption by 70%. Similarly, in Aruba, a digital payment module saved the equivalent of 376,000 printed documents annually. These are small, practical changes, but their cumulative impact is significant—fewer trees cut down, fewer emissions from paper production, and fewer miles travelled to deliver documents. This also matters for Micro, Small and Medium-sized enterprises (MSMEs) who can spend more time expanding their businesses and less time completing paperwork.
Going paperless also means faster trade. It allows errors to be easily identified upon submission, if the appropriate document controls are in place, and we know that better data collection reduces the need for physical inspections. Before ASYCUDA, a typical customs clearance in Jamaica could take days; today, goods can be cleared in just 32 hours. In Bangladesh, the time taken to process customs declarations has been cut to three days for 82% of transactions. The environmental benefits are clear: faster clearances mean fewer vehicles idling at ports and borders, lower fuel consumption, and less pollution.
Greener Transport and Logistics
Transportation, particularly maritime and road transport, remains a major contributor to global greenhouse gas emissions. Shipping alone is responsible for 3% of global emissions—a share likely to grow as trade volumes increase. ASYCUDA has been instrumental in reducing the emissions associated with transporting goods by improving logistics, and promoting greener transport and trade facilitation.
By streamlining processes, ASYCUDA allows for smoother trade flows, which in turn reduces unnecessary delays and emissions. In Tonga, for example, the digital management of shipping manifests through ASYCUDA has cut emissions from maritime transport by 14%. Similarly, in Turkmenistan, automated customs systems have reduced the wait times for road freight, contributing to lower emissions.
Air transport, often overlooked in discussions of trade efficiency, also stands to benefit. ASYCUDA’s collaboration with IATA enables more efficient cargo handling, reducing the time aircraft spend idling on the ground, which in turn cuts fuel consumption and emissions.
Boosting Trade Efficiency, Cutting Emissions
The efficiency gains from ASYCUDA extend beyond document digitisation and logistics. By helping governments reduce customs processing times, the system lowers emissions associated with customs delays. For example, the Trusted Trader Programme implemented in Belize allows customs authorities to tag certain low-risk traders as trusted, reducing the need for physical inspections. Over a five-year period, this initiative led to a significant drop in intervention rates, which fell from 91% to 45%. As a result, the emissions tied to unnecessary vehicle movements and physical inspections were also reduced.
These improvements are not merely administrative; they are part of a broader strategy to green international trade by making it faster, smarter, and more environmentally friendly. For example, in Vanuatu the electronic single window system has not only slashed customs clearance times but has also cut paper applications by over 90%, saving 42,000 pages per year. Barbados has also recently launched an electronic single window, with the intention of reaping similar environmental benefits.
Enforcing Environmental Regulations
International agreements like the Montreal Protocol and the Convention on International Trade in Endangered Species (CITES) are crucial in the global effort to protect the environment. However, enforcing these agreements can be challenging, particularly for customs authorities tasked with monitoring compliance.
ASYCUDA offers practical tools to help countries meet their environmental commitments. Its ODS (Ozone-Depleting Substances) module allows customs agencies to track and manage the trade of substances harmful to the ozone layer, while the eCITES system enables real-time tracking of endangered species. In Sri Lanka and Timor-Leste, ASYCUDA has proven effective in issuing permits and controlling the trade of these sensitive materials, ensuring that countries remain compliant with international agreements.
The benefits of these systems are tangible. In Sri Lanka, for instance, permit processing times for CITES-related goods have fallen from 120 hours to just 27 hours. In Bosnia and Herzegovina, ASYCUDA has enabled the government to enforce green taxes on vehicle imports, leading to a 50% increase in the number of electric and hybrid vehicles entering the country.
Small Steps, Big Impact
ASYCUDA’s contribution to greening global trade is tangible, good for trade and good for the environment. We see real progress coming from the cumulative effect of these small, pragmatic steps. Each paperless document, each streamlined customs clearance, and each more efficient logistics process brings us closer to a greener trade system.
As COP29 approaches, it is worth remembering that the journey to a sustainable future can be made in incremental steps. ASYCUDA is considered one of these important steps – it is a practical tool that shows how small, scalable solutions can make a real impact on the world’s most pressing environmental challenge.
In a world awash with climate commitments, ASYCUDA stands out as an example of quiet, steady progress—proof that sometimes, the most effective solutions are those that are already at work.