Laos benefits from the ASEAN-Australia-New Zealand Free Trade Area (AANZFTA). The Agreement has eliminated tariffs on 90% of Australia’s and New Zealand’s imports, with the remaining tariff lines to be removed by 2020. For Laos, it provides for a much longer transition period for eliminating tariffs in recognition of the country’s status as a newer ASEAN member having as least developed country status.

The Agreement also eliminates non-tariff barriers like licensing requirements; offers procedures on standards and sanitary and phytosanitary (SPS) measures; facilitates communications and shipping services; and guarantees equal treatment to foreign investments. These preferential arrangements offer Laos significant opportunities for accessing the Australian and New Zealand markets in a wide range of products.

The present evaluation assesses the first phase of the Trade Development Facility (TDF-1) spanning the period between 2008 and March 2013. The evaluation follows a standard framework used by development partners to assess the performance of completed trade-related technical assistance. It uses a set of evaluation criteria to measure project outcomes in terms of (i) relevance, (ii) effectiveness, (iii) efficiency, and (iv) impact as measured in terms of (a) sustainability and (b) cross-cutting gender issues. The evaluation uses the World Bank’s rating scale for its monitoring and evaluation framework plus numerical scoring: (a) highly satisfactory (score = 6); (b) satisfactory (score = 5); moderately satisfactory (score = 4); (c) moderately unsatisfactory (score = 3); (d) unsatisfactory (score = 2); and (e) highly unsatisfactory (score = 1). The assessment is based on performance indicators, stakeholder questionnaires, program documents, interim reviews by TDF development partners, structured interviews and comments received from stakeholders at the meeting of the Program Executive Committee (PEC) on 3 April 2013.

Laos benefits from the comprehensive ASEAN-Korea Free Trade Agreement (AKFTA), which in large part has supported the fast growing exports of Laos to Korea. Since Laos became a member of ASEAN in 1997, its exports destined for Korea have increased 10-fold. That expansion is nearly twice as large as Lao exports to all destination and has contributed to Korea being one of its top 10 export destinations.

The AKFTA has separate lists for products on the normal and sensitive tracks. The Most Favored Nation (MFN) tariffs for products on the normal track covering 90% of all tariff lines were eliminated by Korea in 2010. For the remaining 10% of tariff lines, which cover sensitive products, Korea’s customs duties on imports were reduced to 20% in 2010 and are now in the process of being reduced to between 0% and 5% by 2016. In the case of Laos, customs duties on the 90% of tariff lines listed in the normal track are gradually being eliminated by 2018. Customs duties on the remaining 10% of tariff lines are being lowered to 0%-5% by 2024.

This guide shows how to determine (a) whether there are benefits to using the AKFTA, and (b) whether a particular product being exported from Laos is eligible for a preferential rate. It is important to check these two conditions in order to avoid spending time and money in applying for the preferential rate if a product is already subject to a low customs duty outside AKFTA.

Laos benefits from the ASEAN-India Free Trade Agreement in Goods (AIFTA) by gaining preferential access to the large Indian market. Under the Agreement, India commits to eliminating customs duties on imports for 90% of its tariff lines under two separate lists: one being completed by the end of 2013; the other, by end-of-2016. For products on the sensitive list, India’s tariffs are being reduced to no more than 5% by the end of 2016. For its part, Laos has until 2021 to eliminate tariffs on its normal and sensitive tracks.

There are two normal tracks in the AIFTA: (a) Tariff lines in Normal Track 1 are eliminated for India in 2013 and for Laos in 2018; (b) Tariff lines in Normal Track 2 are eliminated for India in 2016 and for Laos in 2018. For products on the sensitive list, India commits to lowering tariffs above 5% to no more than 5% by 2016; Laos has until 2021 to apply those tariff reductions. For tariffs equal to 5%, the tariff can be maintained at the same rate for up to 50 tariff lines by both countries.

This guide shows how to determine (a) whether there are benefits to using the AIFTA, and (b) whether a particular product being exported from Laos is eligible for a preferential rate. It is important to check these two conditions in order to avoid spending time and money in applying for the preferential rate if a product is already subject to a low customs duty outside the AIFTA.

China is the second most important export destination of Laos, and export growth to that market has far outpaced exports to Thailand, the leading export destination. One of the major drivers of this growth is the comprehensive ASEAN-China Free Trade Agreement (ACFTA) under which Lao benefits in trade of goods and services and in investment measures.

The ACFTA has a separate list for products on the normal and sensitive tracks. The Most Favored Nation (MFN) tariffs for products on the normal track are being progressively eliminated by 2015 on about 90% of all products. For the remaining products, tariffs are being eliminated based on a schedule for products on a so-called Sensitive List and another one called the Highly Sensitive List covering rice, sugar, plant oils, among others.

This guide shows how to determine (a) whether there are benefits to using ACFTA, and (b) whether a particular product being exported from Laos is eligible for a preferential rate. It is important to check these two conditions to avoid spending time and money in applying for the preferential rate if a product is already subject to a low customs duty outside ACFTA.

The present evaluation is the midterm assessment of EIF Tier 1. It aims to examine and provide feedback on
whether the project is performing well and moving towards the achievement of its objectives and targets. It
also identifies obstacles to performance and, where applicable, suggests remedial actions where the project
might not be on track. In this way, it provides justification for the extension of Tier 1 for an additional two
years. Finally, the evaluation serves as a possible input to any separate evaluation of the global EIF program
that may take place in the future.

ADB technical assistance project on Building Lao PDR's Capacity to Develop Special Economic Zones (TA 7188) aims to strengthen local capacities and the country’s overall SEZ regulatory environment. It initially envisaged the building of the Lao PDR’s capacity to develop SEZs by focusing on the Savan-Seno Special Economic Zone (SSEZ) along the Savannakhet portion of the GMS East-West Economic Corridor (EWEC). It intended to promote the Savan-Seno SEZ Authority (SEZA) as a future national SEZ organization and help prepare a national SEZ decree. The end result of these efforts was the approval of national SEZ degree (No. 443/PM), and the establishment of a National Committee for Special Economic Zone (NCSEZ) in the Prime Minister’s Office (PMO). The establishment of a national regulatory and institutional framework for SEZs led to an expansion of the TA’s scope from that of capacity building at the provincial level to that of supporting the country-wide NCSEZ and line ministries involved in regulating SEZs throughout the Lao PDR.

The objective of this report is twofold: First, for TA 7188, (a) it evaluates the outcomes and outputs of TA 7188; (b) it assesses the relevance of those results to the objectives of sustainable economic growth and job creation; and (c) it identifies any shortcomings that still need to be addressed. Secondly, for the Seventh National Social and Economic Development Plan’s (7thNSEDP) goal of achieving an inclusive, private sector led growth, it assesses the effectiveness and relevance of the Government’s SEZ policies, especially that of the Prime Minister’s ‘Decree on Special Economic Zone and Specific Economic Zone in the Lao PDR’.

This study develops and operationalises a results framework for the overall GMS Core Agriculture and Support Program Phase II (CASP-II) with linkages to a result framework for each project within the program’s ongoing and proposed pipeline. It is intended to serve three purposes: first, to ensure that the priority projects have clear goals and a logical sequence of how the goals will be achieved; second, to serve as a monitoring and evaluation mechanism of the overall and project-specific results to be achieved; and, third, to help communicate expectations about the CASP-II strategy and accomplishments among GMS partner countries, development partners and other stakeholders

The objective of the technical assistance is to (i) develop and deliver a training program for chambers of commerce and industry of nine provinces traversed by the GMS EWEC of the Lao People’s Democratic Republic, Thailand and Vietnam; (ii) carry out a critical review of a previous study on the GMS value chains scoping exercise, and conduct consultations with EWEC countries in the selection of agricultural value chain products(s) and in the preparation of action plans mapping those value chains and the establishment of organic producer clusters along the EWEC; (iii) prepare a brochure outlining the ways, steps, inputs, risks and other requirements in value chain participation for use in the future training by local CCIs and their application by production associations and micro/small and medium size enterprises; and (iv) organize workshops/training courses and a trade forum on value chain integration, cluster development, organic production and certification, and linking producers/clusters established under the RETA to processing/packaging plants, supermarket chains, regional supply chains and high-end export markets.

This report describes four clusters for organic vegetables along the East West Economic Corridor (EWEC). These clusters have three goals: (a) to foster the conversion of conventional agricultural farming to organic production, and thereby enable the generation of high value-added activities; (b) to promote linkages among micro and small scale producers, and thereby improve their competitive position within the value chain; and (c) to spur the development of agricultural activities affecting the majority of the EWEC population either directly or indirectly, and thereby enable the transformation of the EWEC transport and logistics corridor into a full-fledged economic corridor. The report builds on an earlier study that mapped EWEC value chains for organic vegetables.

A "one-size-fits-all" approach to clustering of organic vegetable activities along the Corridor is neither feasible or practical. Our approach has therefore been to design each cluster in terms of the specific characteristics of their producers, markets and support systems. We have based the characterization of the clusters on three criteria: (1) stage of product development, since clusters differ in terms of their products coverage (e.g., fresh vegetables versus packaged products versus processed products) or types of services (e.g., organic farm-stays and eco-tourism); (2) stage of market development, since the rate at which cluster develop is determined by the use of technologies, certifications, branding, packaging, marketing and logistics; and (3) stages of public-private sector support, since the rate of cluster development often depends on the availability of support systems and these systems vary across areas along the corridor.