What is the mid-term stocktake?
The mid-term stocktake relates to the Bogor Declaration of 1994. The Bogor Goals set out in the declaration underpin all APEC plans and actions. Specifically, all member economies have determined to realise free and open trade (by 2010 in developed economies and 2020 in developing economies).
In 2001, APEC Leaders commissioned an assessment to measure progress toward achieving the Bogor Goals and to reveal actions necessary to assist economies in reaching their target. To this end, The Mid-term Stocktake of Progress Towards the Bogor Goals report was based on input provided by all of 21 APEC member economies and analysed by independent trade and economic experts.
Conclusions of the mid-term stocktake
The report (prepared in 2005) found that the Bogor Goals remain as relevant today as when first agreed by APEC Leaders in 1994, with member economies having achieved significant trade liberalisation and facilitation.
  • Removal of tariff and non-tariff barriers: Since the inception of APEC, average applied tariffs on APEC economies have been drastically reduced (from 16.9 percent to 5.5 percent in 2004). Trade regimes have become more transparent with tariff and customs information available online in most APEC economies since 1996. Intra-APEC trade in good and services more than tripled between 1989 and 2003, and account for an increasing proportion of APEC economies' GDP (from 13.8 percent in 1989 to 18.5 percent in 2003).
  • Foreign Direct Investment: The APEC Non-Binding Investment Principles (NBIP), adopted in 1994, has enabled APEC members to increase regional ability to attract foreign direct investment. Foreign investment flows have increased. However, progress toward Bogor deadlines for investment has been uneven.
  • Free Trade Agreements and Regional Trade Agreements: APEC has encouraged members to conclude comprehensive WTO consistent and high-quality agreements via APEC's Best Practices for RTAs and FTAs, and has promoted high-quality FTAs through targeted programmes of technical assistance and capacity building.
  • WTO/DDA negotiations: Representing nearly half of the world's trade flows and almost 60 percent of global GDP, APEC member economies have been consistent supporters of WTO negotiations. APEC was a significant force in bringing the Uruguay Round negotiations to a conclusion and has played a similarly positive role in supporting the Doha Round.
  • Capacity building: APEC's economic and technical cooperation (ECOTECH) activities have included the fostering of human resources and small and medium enterprises, and improvements in systems supporting trade and investment flows.
The Busan Roadmap (2005)
While citing achievements made, the report, which was endorsed by Ministers, also anticipates future challenges and proposes the Busan Roadmap to the Bogor Goals as a way forward:
  • Support for the multilateral trading system: The WTO Doha Development Agenda could serve as an ideal vehicle for all member economies as APEC pursues free and open trade and this shall serve as impetus to collective efforts to advance DDA negotiations.
  • Strengthening collective and individual actions: Individual and consolidated action plans will be strengthened to improve transparency, increase accessibility to business, and be rendered more forward looking.
  • Promotion of high-quality FTA/RTAs: APEC will continue to pursue high-quality and comprehensive RTA/FTAs and, by 2008, APEC will develop comprehensive model measures on as many commonly accepted RTA/FTA chapters as possible.
  • Busan Business Agenda: APEC will develop a comprehensive business facilitation programme. The Busan Business Agenda will address issues such as intellectual property, corruption, business regulation and structural reform. Building on reductions to date, APEC will cut transaction costs by an additional 5 percent by 2010.
  • Strategic approach to capacity building: Capacity building programmes will be tailored to accommodate the specific needs of each member economy, and more public-private partnerships in capacity building established as a complement to ECOTECH efforts.
  • The pathfinder approach: Acknowledging the diversity in APEC economies and their respective differences in domestic policy priorities, the pathfinder approach is both flexible and effective.
Notably, the report acknowledges that "...for APEC to remain relevant, it must be prepared to evolve in a dynamic and responsive way to today's more complex and integrated business environment and the changing trade and investment policy landscape."
To access the full report, Mid-Term Stocktake of Progress Towards the Bogor Goals - Busan Roadmap to Bogor Goals, go to:
http://publications.apec.org/publication-detail.php?pub_id=387