World customs organization and global trade: Imprints and future paradigms

Abstract

This paper traces the evolution of customs cooperation as an imperative of global trade, and the origins and achievements of the World Customs Organization (WCO). The birth of the WCO marked the first attempt at multilateral customs cooperation on a global scale, and this paper examines the challenges of customs cooperation since inception as well as emerging paradigms. After briefly tracing the early limited attempts to foster customs cooperation among sovereign states, this paper analyses the indelible imprints made by the sustained efforts of the WCO to simplify and harmonise customs procedures to facilitate international trade. The authors use inductive research methodology and link analysis to examine the impact of the WCO in developing standards and enhancing compliance for the ease of doing business in member countries in general and in India in particular. Our results suggest that there is a positive and robust effect of the WCO’s instruments and programs in harnessing technology; in developing new paradigms and promoting their adoption by the customs and trade community; and in promoting communication and connectivity among member countries and peer learning. A detailed analysis on supply chain security as a contributing factor in achieving the vision of a globally networked Customs for a seamless flow of legitimate international trade is also presented. The paper argues that, in times of crisis, such as COVID-19 or any disaster of international scale, the need for a strengthened globally networked Customs becomes crucial. Under the future paradigms, a citizen-centric approach for sustainability of people, planet and prosperity is also addressed.