Terms of Reference – Consultant – Economic, Institutional, and Administrative Impact Assessment
Global Alliance for Trade Facilitation/ Center for International Private Enterprise
The Global Alliance for Trade Facilitation (the Alliance) is a public-private partnership for trade-led growth, supporting governments in developing and least-developed countries in implementing the World Trade Organization’s Trade Facilitation Agreement. Alliance projects cut through red tape and end costly delays at borders by bringing together governments and businesses of all sizes as equal partners to deliver targeted trade reforms.
By emphasising digitalisation and delivering other best practices, Alliance projects enable businesses to trade more easily thanks to streamlined and more predictable processes. Governments save time and resources by modernising trade procedures while still safeguarding their borders. Ultimately, Alliance projects boost trade competitiveness and business conditions, which are key drivers of inclusive economic growth and poverty reduction.
The Alliance is led by the Center for International Private Enterprise (CIPE), the International Chamber of Commerce, and the World Economic Forum, in cooperation with Gesellschaft für Internationale Zusammenarbeit (GIZ). It is funded by the governments of the United States, Canada, Germany, and Denmark.
In Vietnam, the Alliance is working with the General Department of Vietnam Customs (GDVC) and the private business sector to introduce a modern customs bond system. On April 1, 2021, a decision from the Prime Minister (April 1, 2021 Directive) directed the Ministry of Finance (MoF) and GDVC to study the customs bond model and propose how to implement a customs bond system facilitating customs clearance of goods, such as tax guarantee, guarantee for late submission of Certificates of Origin (C/O) or verification of C/O.
To conduct an assessment of the potential costs and benefits of implementing the April 1, 2021 Directive by developing a customs bond system compared to current customs procedures regarding the release of goods.
The assessment will require collecting and analyzing statistical data and other pertinent information necessary for such a comparison, including pricing of different guarantee systems, costs to the trade, administrative efficiency, use and effectiveness, and applicability to customs clearance requirements.
The assessment should also include institutional and administrative impacts of introducing a customs bond system and its effects and potential benefits on stakeholders that will be part of the system. This will involve describing current administrative procedures and processes for different agencies with respect to the release of goods and assessing necessary changes in such procedures to incorporate the proposed bond system. It will also involves assessing the effects of the bond system on practices and procedures used by the business community, including importers, exporters, insurance companies, financial institutions, brokers, forwarders, and other stakeholders.
3. Specific Activities
The Impact Assessment Consultant will perform the following activities in close collaboration with the Alliance Team:
i. Undertake an economic, institutional, and administrative impact assessment of introducing a customs bond system in Vietnam, including research and collaboration with GDVC and other Government ministries (as needed), businesses and business associations, and other appropriate stakeholders.
For the purpose of this undertaking:
- Economic impact assessment means estimating the time and cost reduction for businesses (including SMEs) and border management agencies from the application of the customs bond system, especially in the areas of
- tax guarantee
- verification of certification of origin (C/O),
- late submission of C/O; and
- other areas not included above that facilitate the customs clearance of goods such as tax exempted operations (e.g., inward processing of materials) goods in transit, and goods subject to specialized management and inspection)
- Institutional impact assessment means analyzing and modeling the effects of introducing surety companies in the customs clearance process by allowing businesses to secure a bond to cover compliance with customs laws and regulations. This analysis will also assess the impacts of information and data-sharing between surety companies, businesses, and customs agencies necessary to implement the bond system.
- Administrative impact assessment means analyzing the effect of a bond system on current customs laws, regulations, and procedures for guaranteeing physical release of goods, especially in the especially in the areas of tax guarantee, verification of C/O, and late submission of C/O.
ii. Define the methodology, consistent with GDVC and other Government requirements, needed to compare the customs bond system to current customs procedures regarding the verification of C/Os and late submission of C/Os.
iii. Survey, collect and analyze data from GDVC, businesses, and other stakeholders needed to compare the customs bond system to current customs procedures in line with the requirements for the impact assessment.
iv. Provide recommendations on the necessary institutional and administrative changes needed to implement the customs bond system compared to current procedures and practices.
v. Provision of other support and assistance as necessary to analyze the administrative and policy impacts of developing a pilot program to introduce a customs bond system, including participation at meetings with relevant stakeholders including GDVC and government ministries, businesses and business support organizations.
4. Assignment details
- The assignment has an estimated duration of 3 – 4 months
- The Impact Assessment Consultant will coordinate work with CIPE in-country team in Vietnam and the CIPE Program Officer leading the project. The consultant shall report to the CIPE Program Officer.
- The Impact Assessment Consultant may be required to travel to various locations in Vietnam beyond Hanoi, especially Ho Chi Minh City, to meet with members of the business community and other stakeholders. Traveling expenses will be funded separately.
|Inception Report: Report detailing the methodology, updated project schedule with all key activities, meetings, stakeholders, and deliverables||7 calendar days after contract signature
|Electronic (MS Word) in English and Vietnamese.
|Economic assessment report||To be mutually agreed during contract negotiation||Electronic (MS Word) in English and Vietnamese.
Presentation to key stakeholders.
|Institutional impact assessment report||To be mutually agreed during contract negotiation||Electronic (MS Word) in English and Vietnamese.
Presentation to key stakeholders
|Regulatory assessment report
|To be mutually agreed during contract negotiation||Electronic (MS Word) in English and Vietnamese.
Presentation to key stakeholders
|Final Report||To be mutually agreed during contract negotiation||Electronic (MS Word) in Vietnamese and English, and presentation to key stakeholders.
- Master’s degree in law, economics, business administration, international trade, trade policy, customs administration, or other similar field desired (Bachelor’s degree with more than 10 years of experience in field may be accepted);
- Minimum 5 years of experience working on similar Impact Assessments, or cost benefit analyses, preferably in Vietnam;
- Understanding of customs procedures, duties and taxes, risk management, and other technical customs matters desired;
- Prior experience of working at the intersection of the business community and customs reforms preferred,
- Proficient in word processing, spreadsheets and office software such as Microsoft Word, Excel, PowerPoint, and Google applications.
- Fluency in Vietnamese and strong written, oral, and presentation skills; and
- Proficiency in English.
Eligible and interested candidates should submit:
- Cover letter
- Detailed CV
- Detailed financial proposal inclusive of all taxes and fees.
8. Evaluation Methodology
Evaluation of an applicant’s suitability for this consultancy will be based on the applicant’s technical background as provided on the sample of previous work, resume, and cover letter (65%) as well as the applicant’s financial requirements (35%). CIPE is an Equal Opportunity Employer.