SOL-482-15-000004_(000001).pdf

(x)

SOL-482-15-000004

x x copies of the amendment; (b) By acknowledging receipt of this amendment on each copy of the offer submitted; or (c) By separate letter or telegram which includes a reference to the solicitation and amendment numbers. FAILURE OF YOUR ACKNOWLEDGEMENT TO BE RECEIVED AT

THE PLACE DESIGNATED FOR THE RECEIPT OF OFFERS PRIOR TO THE HOUR AND DATE SPECIFIED MAY RESULT IN REJECTION OF YOUR OFFER. If by virtue of this amendment you desire to change an offer already submitted, such change may be made by telegram or letter, provided each telegram or letter makes reference to the solicitation and this amendment, and is received prior to the opening hour and date specified.

x

Washington DC 20521-4250

USAID/BURMA

Department of State 4250 Rangoon Place

OAA

USAID/BURMA

04/08/2015000001

13. THIS ITEM ONLY APPLIES TO MODIFICATION OF CONTRACTS/ORDERS. IT MODIFIES THE CONTRACT/ORDER NO. AS DESCRIBED IN ITEM 14.

12. ACCOUNTING AND APPROPRIATION DATA (If required) is not extended.is extended, Items 8 and 15, and returning

Offers must acknowledge receipt of this amendment prior to the hour and date specified in the solicitation or as amended, by one of the following methods: (a) By completing

The above numbered solicitation is amended as set forth in Item 14. The hour and date specified for receipt of Offers

11. THIS ITEM ONLY APPLIES TO AMENDMENTS OF SOLICITATIONS

FACILITY CODE CODE

10B. DATED (SEE ITEM 13)

10A. MODIFICATION OF CONTRACT/ORDER NO.

9B. DATED (SEE ITEM 11)

9A. AMENDMENT OF SOLICITATION NO.

CODE

8. NAME AND ADDRESS OF CONTRACTOR (No., street, county, State and ZIP Code)

7. ADMINISTERED BY (If other than Item 6)CODE 6. ISSUED BY

PAGE OF PAGES

4. REQUISITION/PURCHASE REQ. NO.3. EFFECTIVE DATE2. AMENDMENT/MODIFICATION NO. 5. PROJECT NO. (If applicable)

1. CONTRACT ID CODE

AMENDMENT OF SOLICITATION/MODIFICATION OF CONTRACT

03/25/2015

CHECK ONE A. THIS CHANGE ORDER IS ISSUED PURSUANT TO: (Specify authority) THE CHANGES SET FORTH IN ITEM 14 ARE MADE IN THE CONTRACT

B. THE ABOVE NUMBERED CONTRACT/ORDER IS MODIFIED TO REFLECT THE ADMINISTRATIVE CHANGES (such as changes in paying office, C. THIS SUPPLEMENTAL AGREEMENT IS ENTERED INTO PURSUANT TO AUTHORITY OF:

D. OTHER (Specify type of modification and authority) appropriation date, etc.) SET FORTH IN ITEM 14, PURSUANT TO THE AUTHORITY OF FAR 43.103(b).

E. IMPORTANT: Contractor is not, is required to sign this document and return __________________ copies to the issuing office.

ORDER NO. IN ITEM 10A.

14. DESCRIPTION OF AMENDMENT/MODIFICATION (Organized by UCF section headings, including solicitation/contract subject matter where feasible.)

USAID/Burma Private Sector Development.

The purpose of this amendment is to a) upate Section B, b) update Section F, c) update

Section I, d)update Section J, e) revise Section L and f) revise section M.

Changes are made herein as follow.

16A. NAME AND TITLE OF CONTRACTING OFFICER (Type or print)15A. NAME AND TITLE OF SIGNER (Type or print)

15C. DATE SIGNED 16B. UNITED STATES OF AMERICA 15B. CONTRACTOR/OFFEROR 16C. DATE SIGNED

(Signature of person authorized to sign) (Signature of Contracting Officer)

Tracy J. Miller

STANDARD FORM 30 (REV. 10-83)

Prescribed by GSA

FAR (48 CFR) 53.243

NSN 7540-01-152-8070

Previous edition unusable

Except as provided herein, all terms and conditions of the document referenced in Item 9A or 10A, as heretofore changed, remains unchanged and in full force and effect.

AMENDMENT OF SOLICITATION OF/MODIFICATION OF CONTRACT PAGE 2 OF 4

SOL-482-15-00004 (000001)

14. DESCRIPTION OF AMENDMENT/MODIFICATION – Continued

a) Update SECTION B:

i. Delete “B.8 MULTI-YEAR CONTRACT”.

b) Update SECTION F:

i. Under F.6 KEY PERSONNEL, delete (b) and replace with:

“(b) The Contractor must furnish Key Personnel and have all key personnel in-country as soon as possible after award”

ii. Under F.6 KEY PERSONNEL, (d), “Deputy Chief Of Party

(DCOP)” delete and replace with:

“Deputy Chief of Party (DCOP): The DCOP is expected to have a skill set which complements that of the COP. S/he is expected to reside in Burma. Offerors will clearly describe the overall experience of the Deputy Chief of Party as demonstrated by: …”

c) Update SECTION I:

i. Revise Clause I. 5 52.229-8 TAXES – FOREIGN COST-

REIMBURSEMENT CONTRACTS (MAR 1990) by deleting “Thailand” and replace with “Burma”.

ii. Delete Clause “52.217-2 CANCELATION UNDER MULTI-YEAR

CONTRACTS”

iii. Under I.1 NOTICE OF LISTING CONTRACT CLAUSES INCORPORATED

BY REFERENCES, add:

“52.237-9 WAIVER OF LIMITATION ON SEVERANCE PAYMENTS TO

FOREIGN NATIONALS.”

iv. Add:

“ I.15 AIDAR 752.219-70 USAID MENTOR-PROTÉGÉ PROGRAM (JULY

2007)

(a) Large and small business are encouraged to participate in the USAID Mentor-Protégé Program (the “Program”). Mentor firms provide eligible small business Protégés with developmental assistance to enhance their business capabilities and ability to obtain Federal contracts.

(b) Mentor firms are large prime Contractors or eligible small business capable of providing developmental assistance. Protégé firms are small business as defined in

13 CFR Parts 121, 124, and 126.

(c) Developmental assistance is technical, managerial, financial, and other mutually beneficial assistance that aids Protégés. The costs for developmental assistance are not chargeable to the contract.

AMENDMENT OF SOLICITATION OF/MODIFICATION OF CONTRACT PAGE 3 OF 4

(d) Firms interested in participating in the Program are encouraged to contact the USAID Mentor-Protégé Program

Manager (202-712-1500) for more information.

(End of clause)”

d) Update SECTION J:

i. In ATTACHEMENT 6 – SUPPORTING INFORMATION OF THE PREVAILING

LOCAL COMPENSATION, add Attachment I to this amendment.

ii. Add the following:

“ATTACHMENT 8 - ASEAN CONNECTIVITY THROUGH TRADE AND

INVESTMENT (ACTI)” (Incorporated as

Attachment II to this amendment).

e) Revise SECTION L:

i. Under L. 4 GENERAL INSTRUCTIONS, add the following:

“(h) Exclusive agreement between contractor and local organizations and/or individuals are prohibited”.

ii. Under L. 6 INSTRUCTIONS FOR THE PREPARTION OF THE TECHNICAL

PROPOSAL, second paragraph, delete the following sentence:

“The text in any text boxes included within the technical proposal must not be less than 12 points in size.”

iii. Under L. 6 INSTRUCTIONS FOR THE PREPARTION OF THE TECHNICAL

PROPOSAL, replace the following:

“7. Illustrative charts and graphs. (Not to exceed 5 pages).”

iv. Under L. 6 INSTRUCTIONS FOR THE PREPARTION OF THE TECHNICAL

PROPOSAL, delete “8.”

v. Under L. 6 INSTRUCTIONS FOR THE PREPARTION OF THE TECHNICAL

PROPOSAL, page 85, delete “Text in graphs and charts may be smaller than 12 points in size, but must be legible”

vi. Under L. 6 INSTRUCTIONS FOR THE PREPARTION OF THE TECHNICAL

PROPOSAL, page 86, replace the following:

“Annex C: Key Personnel resumes and letters of commitment

(3 pages maximum per resume), and Short-Term Technical

Assistance (STTA) roster.

Annex E: Offeror/Subcontractor past performance matrix (12 pages max)”

vii. Under L. 6 INSTRUCTIONS FOR THE PREPARTION OF THE TECHNICAL

PROPOSAL, A) Technical Approach, L.6.2 Personnel and

Staffing Plan, page 87, delete the following:

AMENDMENT OF SOLICITATION OF/MODIFICATION OF CONTRACT PAGE 4 OF 4

“Personnel positions must be available immediately upon contract signature to initiate the assignment in the Asia region. USAID discourages the use of exclusive agreements as this limits USAID’s ability to receive the best services.”

viii. Under L. 6 INSTRUCTIONS FOR THE PREPARTION OF THE TECHNICAL PROPOSAL, A) Technical Approach, L.6.2 Personnel and

Staffing Plan, page 87, delete fourth paragraph and replace with:

“Qualifications of the Key Personnel are specified in

Section F.”

ix. Under L. 6 INSTRUCTIONS FOR THE PREPARTION OF THE TECHNICAL

PROPOSAL, A) Technical Approach, L.6.4 Past Performance, page 88, “2” update with:

“Provide for each of the contracts listed above a list of contact names, job titles, mailing addresses, phone numbers, e-mail addresses and a description of the performance using the format provided in ATTACHMENT 2:…”

x. Under L. 7 INSTRUCTIONS FOR THE PREPARATION OF THE

COST/BUSINESS PROPOSAL, page 93, replace “Part 6 –

Subcontracting Plan and Small Business Concerns” with:

“Part 6 – Subcontracting Plan and Small Business Concerns

Subcontracts and Grants- Information sufficient to determine the reasonableness of the cost of each specific subcontract and grants expected to be awarded must be included. Similar information as submitted by the prime offerors on the cost proposal shall be provided for all

Subcontracts provided under the category for personnel.

Offerors included in the competitive range will be required to submit a small business subcontracting plan in accordance with FAR Part 19.”

f) Update SECTION M:

Add “M.6 CONTRACTING WITH SMALL BUSINESS CONCERNS AND

DISADVANTAGED ENTERPRISES

USAID encourages the participation of small business concerns and disadvantaged enterprises in this activity, in accordance with

FAR Part 19 (48 CFR Chapter 1), and AIDAR Part 726 (48 CFR

Chapter 7). Accordingly, offerors should make every reasonable effort to identify and offer opportunities to small business concerns and disadvantaged enterprises. In the event that proposals are deemed equal, the proposed participation of such organizations may become a determining factor for selection.”

End of Amendment -

40-HR WEEK

GRADE

FSN-12 20,349.00 Salary Schedule paid in U.S. $

FSN-11 16,964.00 Authorized by 11 State 90014

FSN-10 14,617.00 Date 09/07/2011

FSN-9 11,936.00

FSN-8 10,791.00

FSN-7 9,129.00

FSN-6 8,375.00

FSN-5 7,867.00

FSN-4 6,939.00

FSN-3 5,576.00

FSN-2 4,055.00

FSN-1 3,741.00

LOCAL COMPENSATION PLAN

FOR

AMERICAN EMBASSY, RANGOON, BURMA

EFFECTIVE SEPTEMBER 11, 2011

Annual Report 2014

ASEAN Connectivity through Trade and Investment (ACTI)

Annual Report 2014

ASEAN Connectivity through Trade and Investment (ACTI)

Compiled for

USAID/RDM Asia and

The ASEAN Secretariat

Under Contract

AID-486-C-13-00004

Submitted By

Timothy Buehrer

Chief of Party

March 2015

This publication was produced by Nathan Associates Inc. for review by the United States

Agency for International Development

List of Abbreviations

ACCSQ ASEAN Coordinating Committee on Standards and Quality

ACTI ASEAN Connectivity through Trade and Investment

AEC ASEAN Economic Community

AHTN ASEAN Harmonized Tariff Nomenclature

AMDD ASEAN Medical Device Directive

AMS ASEAN Member States

ASEAN Association of Southeast Asian Nations

ASW ASEAN Single Window

ATIGA ASEAN Trade in Goods Agreement

AWEN ASEAN Women Entrepreneurs’ Network

CLMV Cambodia, Laos PDR, Myanmar, Vietnam

GEPI Global Entrepreneurship Program Indonesia

ICT Information and Communication Technology

IFC International Finance Corporation

M&E Monitoring and Evaluation

NSW National Single Window

OCP Operational Certification Procedures

PLF Protocol for the Legal Framework

SME Small and Medium Enterprise

TELSOM Telecommunications Senior Officials Meeting

T&I Trade and Investment

TWG Working Group on Technical Matters for the ASEAN Single Window

US-ABC US-ASEAN Business Council

USAID United States Agency for International Development

SMEWG Small and Medium Enterprise Working Group

WTO World Trade Organization

Table of Contents Introduction and Summary

2014 Work Plan Implementation

Work Stream 1: ASEAN Single Window

Work Stream 2: Trade and Investment Facilitation

Work Stream 3: SME Development

Work Stream 4: Energy

Work Stream 5: ICT and Development

Implementation Issues and Recommendations

Appendix 1 – M&E Indicator Reporting

Appendix 2 – Project Reference Indices

Appendix 3 – 2014 Work Plan Activity Status, Including Prior Activities

Appendix 4 – Success Story

Appendix 5 - Economic Reform for ASEAN Integration (ACTI-ERA) Program

Introduction and Summary

ASEAN Connectivity through Trade and Investment (ACTI) is a five-year project of the

U.S. government to increase economic engagement and cooperation with the Association of

Southeast Asian Nations (ASEAN). ACTI supports ASEAN in implementing the ASEAN

Economic Community in the areas of customs integration, trade and investment facilitation, small and medium-sized enterprise development, clean and efficient energy, and information and communication technologies. These are priority areas under the ASEAN-U.S. Trade and

Investment Framework Arrangement, Enhanced Economic Engagement Initiative, and the

Enhanced Partnership Plan of Action. The project engages with the ASEAN Secretariat, member states, U.S. government agencies, the private sector, and other stakeholders as the region moves toward its 2015 ASEAN Economic Community goal and to deepen the ASEAN-

U.S. economic relationship.

ACTI supports ASEAN through five work streams:

ASEAN Single Window: By establishing the ASEAN Single Window (ASW) and the contributing National Single Windows, ASEAN is enabling the electronic exchange of trade transaction information for more rapid cargo clearance, thus lowering the cost of trade.

Trade and Investment Facilitation: Trade and investment facilitation, including business standards harmonzation in priority integration sectors, ensures a more level playing field, lowers costs, and boosts consumer confidence in the quality of goods they receive.

Small and Medium Enterprise Development: ASEAN support for small and medium enterprise (SME) development encourages more inclusive economic growth. ACTI’s support focuses on women and young entrepreneurs, particularly in Cambodia, Laos, Myanmar, and Vietnam, to further bridge the development gap.

Energy: ASEAN and the U.S. are promoting the use of sustainable energy and energy efficient technologies.

Information and Communications Technology for Development: By promoting greater broadband access and implementing the Information and Communications

Technology (ICT) Master Plan, ASEAN seeks to bridge the digital divide.

ACTI’s 2014 Annual Work Plan identified a series of ambitious activities building upon the transition work program implemented in 2013 to deliver immediate results and create a strong foundation for further work during the remainder of the project.

Under the ASW Component, the primary goals were to complete the regional legal framework for the ASW and to launch the procurement of the ASW messaging software environment.

Both of these goals were attained, though the launch of the software procurement was delayed until late in the year as it took longer to get AMS consensus on the phased approach to ASW implementation than expected.

Under the Trade and Investment Component, ACTI’s work on medical devices standards continued to improve preparedness of AMS for the implementation of the ASEAN Medical

Devices Directive that was finalized, though not fully signed, in 2014. ACTI supported the

Coordinating Committee on Investment in considering its approach to performance requirements, launched support for ASEAN’s review of the ASEAN Harmonized Tariff

Nomenclature, and organized the 2nd ASEAN-US Business Summit as part of the ASEAN

Economic Minister’s Meeting.

ACTI’s SME Component was particularly active in 2014. The signing of the USAID and US-

ASEAN Business Council Memorandum of Understanding to form the US-ASEAN Business

Alliance for Competitive SMEs (Business Alliance) gave ACTI’s SME work the strong backing of the American business community in the region. ACTI and the Business Alliance successfully exposed over 1500 small and medium enterprise owners and SME enablers to international best practices in areas such as logistics, branding, legal documentation, and e-commerce. ACTI also launched efforts to promote greater access to training materials and information through the

ASEAN Online SME Academy and initiated work programs on access to finance and women’s entrepreneurship. On the latter point, ACTI was proud to support the launch of the ASEAN

Women Entrepreneurs’ Network (AWEN) and has worked with AWEN throughout 2014 to expand the project’s outreach to women entrepreneurs.

ACTI’s Energy Component work plan for 2014 focused on implementation of workshops on renewable energy and civil nuclear safety as well as the completion of a study on climate change impacts on hydropower projects. ACTI and the Department of Energy implemented the workshop on the use of renewable energy in rural power grids and continued the implementation of the climate change study but the workshop on civil nuclear energy safety was not implemented and will now be implemented by others in the US Government.

ACTI’s ICT Component work plan for 2014 focused on the completion of a case study on the use of TV White Space in expanding broadband service in Indonesia and a TV White Space workshop. Due to delays in implementing the underlying TV White Space project in Indonesia, the case study was delayed to early 2015 and thus the workshop.

ACTI’s Burma-specific program accomplishments are set out in Appendix 5.

2014 Work Plan Implementation

The following is a summary of ACTI project’s progress during 2014 by work stream. Appendix

4 reports on the status of individual work plan activities.

Work Stream 1: ASEAN Single Window

The ASEAN Single Window (ASW) is a central part of ASEAN’s efforts to stimulate the free flow of goods in the single market and production base of the ASEAN Economic Community.

It allows the electronic exchange of shipment information between traders and governments and between exporting and importing countries.

The ASW consists of national electronic trade clearance systems, National Single Windows

(NSWs), that use a regional platform to exchange information on shipments and shippers.

NSWs are now operational in five ASEAN Member States with NSWs under development or design in the rest. NSWs enable a single submission of data and information, a single and synchronous processing of data and information and a single decision-making for customs clearance of cargo. This process helps expedite customs clearance, reduces transaction time and costs, and contributes to increased efficiency and competitiveness.

In 2013, intra-ASEAN trade totaled $608 billion. The ASW will support accelerated imports and exports, improved enforcement of and compliance with regulations at the border, and reduced trade transaction costs. ASW will help to facilitate ASEAN’s participation in global and regional supply chains using the ASW as an interface with trading partners’ systems while potentially saving regional consumers billions of dollars through improved trade facilitation.

The value of trade between ASEAN and the

United States is currently estimated at $206 billion.

Thus, a more integrated ASEAN enhances U.S.

business opportunities in Southeast Asia. ASEAN is enjoying a period of high growth and resilient economies. Foreign direct investment is pouring in, keen to capture the opportunity. The region attracted an estimated $122.3 billion in foreign investment in 2013. ASEAN also has a strong manufacturing story, given that China is becoming increasingly expensive, and it has a strong and growing investment story in fixed assets such as infrastructure. In addition, foreign companies are also attracted by the integration of ASEAN—the

NSW Status ASEAN Member States

Operational Indonesia, Malaysia, the Philippines, Thailand, Singapore

Development Brunei, Vietnam

Design Cambodia, Laos, Myanmar

The Jakarta port in Indonesia that will also benefit from using ASW combination of 10 relatively small markets into one large one of 617 million people—through interventions such as the ASEAN Single Window and other features of the ASEAN Economic

Community. By helping ASEAN to fully complete and operate the ASW, ACTI’s assistance will benefit all companies, whether from ASEAN or the United States, involved in import-export in

Southeast Asia. In a rapidly integrating and growing region, such technical assistance has the potential to bolster U.S. investments and businesses while assisting ASEAN economies.

Currently, ACTI is assisting ASEAN to:

Complete the basic ASW architecture and begin live operation by Q4 2015;

Finalize and adopt the necessary legal reforms to operate the ASW;

Over the longer term, incorporate ASW-transferred information into risk management systems; and

Expand the public-private dialogue on the ASW.

Under the 2014 work plan, ACTI planned to begin procurement of the necessary software and services to permit the initial operation of the ASW by 2015 while pushing forward in parallel to expand the ASW to include the transmission of up to six other priority documents and the sharing of national information on importers, exporters, and brokers. ACTI also planned to work with the ASW Technical Working Group to organize a workshop to finalize procedures for sharing certificates of origin (ASEAN Trade in Goods Agreement (ATIGA) Form D). Additionally the work plan included support to the ASEAN Secretariat and interested parties to establish the ASW

Project Management Office and to develop a guide to understand and implement the Protocol.

ASEAN is on track for the ASW to go live in 2015 and continue strong growth and expansion through the end of the project.

Transition to Live Operation of the ASW

Over the past year, ACTI assisted the Working Group on Technical Matters for the ASW

(TWG) in the design and then the implementation of a work program to ensure live operation before the end of 2015. ACTI proposed, and ASEAN agreed to, a staged approach to the implementation of the ASW. Under this approach, exchange-ready AMS will launch the ASW using the one exchange-ready form in 2015 while other AMS develop their NSWs. To implement this approach, ACTI launched the procurement of the ASW enabling infrastructure in November 2014. Under the ASEAN approved terms of reference included in the RFP, four

ASEAN Member States (Indonesia, Malaysia, Singapore, and Thailand) will be part of the launch of the ASW that will focus on the exchange of the ATIGA certificate of origin. As of the end of

2014 bids had been received from three qualified bidders and the evaluation was ongoing. It is expected that the contract will commence in March 2015.

Recognizing the importance of data security in the ASW platform, ACTI worked closely with the

TWG to determine the best way to encrypt the system. Initially, the ASW will use standard internet encryption (https) but the RFP calls for the system to be designed to support the use of

Public Key Infrastructure in the future as was decided through a series of workshops sponsored by ACTI.

To support the implementation of the procurement, ACTI has also been assisting the TWG to organize a Virtual Project Team consisting of representatives of each AMS participating in live operation. This team will be responsible for channeling communications and counter-parting arrangements among ACTI, the contractor, and operational units at the national level. The original pilot program encountered communication difficulties, and the team is designed to address this. The first meeting of the Virtual Project Team was held in November so the infrastructure needed for the successful implementation of the contract is in place.

Recognizing that the initial ASW will be limited, ACTI is assisting the ASW TWG to reach agreement on sharing additional documents over the ASW. During 2014, ACTI launched an effort to develop the data structures and business processes to permit the transfer of information from four possible forms.1 This activity will be completed by mid-2015, in time to expand the scope of the ASW once it becomes operational. ACTI is also assisting the TWG to prepare for the exchange of export declaration information.

Looking to the future, ACTI assisted the ASW Steering Committee in 2014 to prepare a proposal for the sustainability of the ASW infrastructure. Through a series of studies, ACTI provided a concrete proposal for staffing and financing the ASW for the long term. The broad approach was accepted by the Steering Committee in 2014 and ACTI is currently making minor refinements in line with the ongoing procurement so that ASEAN can begin to implement the sustainability plan in 2015.

Results

ACTI launched the procurement of the ASW messaging infrastructure.

ACTI launched a study of the data structures and business processes needed to expand the ASW to cover additional priority documents.

Next steps

Working with exchange-ready AMS, ACTI will implement the ASW messaging software.

ACTI will provide assistance to AMS that are still developing their NSWs to become ready to join the ASW in 2016.

Finalizing the ASW Legal Framework

USAID has been working with ASEAN to establish the necessary legal framework for the ASW for six years. By the end of 2013, the core regional legal document, the Protocol for the Legal

Framework for the ASEAN Single Window (PLF), was nearly complete. During 2014 ACTI

The priority forms are: Ocean Booking Confirmation, Loading Confirmation, Pre-Departure Export Manifest

Summary, and Sanitary and Phytosanitary Certificates assisted the ASW Legal Working Group to complete the PLF, which was then endorsed by the

ASW Steering Committee. The agreement is now awaiting signature by the Finance Ministers in spring of 2015.

To promote the adoption of the PLF, ACTI held regional and national workshops on the PLF in November in Vietnam. Excellent insights and comments were raised by Member States specifically on the need for a PLF ratification process, clarifications on the operative provisions of the PLF, information security policy, and comparable safeguard examples. These will be incorporated into an implementation guide being developed by ACTI. In 2015, ACTI will work with Cambodia and Lao PDR to organize similar national workshops.

While the PLF is critical in establishing the broad legal basis for the implementation of the ASW, legal changes are also required to support the exchange of specific documents. Of critical importance to the initial implementation of the ASW is the adoption of a new set of ATIGA

Operational Certification Procedures (OCP) to allow acceptance of e-Certificate of Origin. At the request of the TWG, ACTI organized two workshops to support the adoption of the new

OCP. By the end of 2014, the Subcommittee on the ATIGA Rules of Origin was preparing to adopt the new OCP and is on track to have it complete in time to enable the live implementation of the ASW.

Finally, ACTI worked in 2014 with both Myanmar and Cambodia on national legal gap analyses.

Reports on the legal gaps in the implementation of both national single windows and the

ASEAN Single Window have been completed. USAID has now completed legal gap analyses for Vietnam, the Philippines, Indonesia, Myanmar and Cambodia.

Results

The PLF has been legally scrubbed and finalized.

Legal gap analysis has been performed and finalized for Myanmar and Cambodia.

Next steps

ACTI will assist Member States in aligning their domestic laws with the regional PLF and support their ratification process.

ACTI will develop a guide to interpret the PLF to implement the ASW for the benefit of other stakeholders such as logistics providers, freight forwarders, traders, banks, insurance companies, etc. aside from Customs, Regulatory Agencies, and Port Authorities.

ACTI will support the finalization of the electronic OCP.

While ACTI implemented most of its work plan for 2014 for the ASW, proposed work with the

Customs Procedures and Trade Facilitation Working Group related to implementing stronger risk management systems through the ASW has been postponed until 2016. That work will require an operational ASW and thus must be delayed until the software implementation is complete.

Work Stream 2: Trade and Investment Facilitation

The Trade and Investment Facilitation work stream of ACTI is designed to boost economic growth and regional integration through the provision of technical assistance to reduce trade and investment barriers. ACTI focuses its interventions in three areas: Trade in goods, Trade in services, and Investment. ACTI’s support to ASEAN to liberalize trade in goods supports increased transparency in regulations, increased cooperation on standards, improved operation of rules of origin, and closer cooperation on trade nomenclature.

In the area of services, ACTI provides support to ASEAN in preparation for its adoption of a new ASEAN Trade in Services Agreement. In the area of investment, ACTI is helping ASEAN to determine how to further liberalize its investment regime.

The ACTI 2014 work plan included activities in all of these areas with a focus on standards, self-certification of origin, revising the ASEAN Harmonized Nomenclature (AHTN), services negotiations, and investment policy. The activities to implement these objectives will be discussed below.

Facilitating Trade in Goods

A. Standards

ACTI’s work on standards focused primarily on preparing ASEAN and its member states to implement the ASEAN Medical Device Directive

(AMDD), in collaboration with the U.S.

Department of Commerce, the global medical devices industry. While it had been expected that the AMDD would be signed in 2014, not all member states were able to sign this year so implementation has been delayed. But ACTI successfully implemented three workshops on medical devices in 2014, providing national level support in Malaysia and Indonesia and a broader regional workshop to the Medical Devices Product Working Group. These workshops are helping regulators and the private sector better understand the changes in regulation and practices that will be required when the AMDD is adopted and implemented. A planned sub-regional workshop for Cambodia, Laos PDR, Myanmar, and Vietnam (CLMV) was postponed until 2015 at the request of the Vietnamese regulators who were to co-host the activity.

In addition, ACTI initiated support on good manufacturing practices in traditional medicines and health supplements. In April ACTI and the U.S. Department of Commerce organized a workshop for the ASEAN Coordinating Committee on Standards and Quality (ACCSQ)

With a population of over 620 million and a combined GDP of over $2.4 trillion, ASEAN is the United State’s third largest export market in Asia.

One of the medical Devices Workshops in Putrajaya, Malaysia

Traditional Medicines and Health Supplements Product Working Group that was lead by two

U.S. Food and Drug Administration alumnae, who shared globally-recognized U.S. standards to promote good manufacturing practices among health supplement Participants were interested in further support from the United States as ASEAN works to develop its own directive on good manufacturing practices for traditional medicines and health supplements.

Finally, early in 2014, ACTI worked with the National Institute for Standards and Technology to organize a workshop on Standards in Trade for members of Working Group 2 (Conformity

Assessment) of the ACCSQ. This workshop focused on conformity assessment procedures, how the conformity assessment system in the United States operates, and how conformity assessment procedures relate to World Trade Organization (WTO) obligations and international standards and practices. Participants came away from the workshop with a much deeper understanding of the issues that must be considered in adopting a new conformity mark system.

Results

• Regulators and industry leaders in Malaysia and Indonesia are better prepared for the implementation of the AMDD.

• Members of Working Group 2 of the ACCSQ have a better understanding of the US system of conformity assessment as well as their WTO obligations.

Next steps

• ACTI’s medical devices work will continue with a sub-regional workshop (CLMV) in 2015 along with a requested national workshop in the Philippines and one or two regional workshops.

• ACTI is working with the Department of Commerce to develop a program of support on other standards issues for 2015.

B. Other Trade Facilitation Issues

The World Customs Organization Harmonized System Code for tariff classification is reviewed and revised every 5 years. The next version of the Code will be implemented in 2017. In line with this, the AHTN must be reviewed, revised and implemented before then. ACTI is providing limited technical support through for this revision of the AHTN.

In 2014, ACTI provided technical support to the 2nd AHTN Task Force Meeting convened in

Singapore in July and to the 4th AHTN Task Force meeting in Bandung, Indonesia in December

2014 to review the AHTN. ACTI will provide technical support to two additional AHTN Task

Force meetings in 2015. The broader revision effort is on track for completion in 2016.

ACTI planned to continue support for ASEAN’s move to self certification of origin through the organization of a workshop to review the results of pilot programs on self certification and make recommendations for the final design of ASEAN’s self certification program. Due to delays in the implementation of the Second Pilot program involving Indonesia, Laos and the Philippines, this activity was postponed to 2015.

Results

ACTI’s international customs classification expert supported AHTN meeings in 2014 during which revisions were made in key sections of the AHTN.

Next Steps

ACTI expert will provide support to two more AHTN Task Force meetings in 2015 with an eye toward completing the revision by 2016.

Trade in Services

Trade in services is becoming a vital for all countries, including those in ASEAN. Services are important not only in their own right, but also as vital inputs to the production of goods and services (e.g. telecommunications in respect of professional and many other services). ASEAN is in the process of negotiating a new ASEAN Trade in Services Agreement to replace ASEAN

Framework Agreement on Services to promote liberalization after 2015. This new agreement will likely require new methods of scheduling commitments that will go beyond what was done under the ASEAN Framework Agreement on Services. In 2013, ACTI organized a regional workshop on new approaches in new services scheduling, such as using the negative list or a hybrid of negative and positive lists for different modes of supply or obligations (i.e., positive list market access, negative list National Treatment.) The Coordinating Committee on Services asked ACTI to implement national workshops for Cambodia, Laos, and Myanmar to help negotiators from those countries better understand these approaches to negotiations.

In late 2014, ACTI organized a series of one-day, in-country Trade in Services Scheduling workshops for Cambodia, Lao PDR, and Myanmar in Phnom Penh, Vientiane and Nay Pyi Taw respectively. A total of about 100 participants from the three countries attended the workshops.

The presence of high ranking officials opening these workshops is indicative of the importance of the workshops for CLMV.

ACTI also committed to draft a paper on the changing role of services in the ASEAN economy for consideration by the Coordinating Committee on Services. This activity was delayed until

2015 but has now been launched and will be completed by March.

Results

ACTI organized one-day, in-country Trade in Services Scheduling workshops for

Cambodia, Lao PDR, and Myanmar

Next Steps

In the coming year, ACTI will undertake an ASEAN-wide analysis of the role of services in the economy for use by the Coordinating Committee on Services in developing its post-

2015 work program.

Investment Facilitation

ACTI’s work plan on investment in 2014 focused on supporting the Coordinating Committee on Investment in developing its forward looking work program on investment facilitation. As a first step, in August ACTI provided a consultant to speak on performance requirements in international investment agreements at a workshop organized and funded by the Coordinating

Committee on Investment. An example of a performance requirement would be if a country requires that a new investor export a certain amount of its output each year. The presentation was well received and there was an active discussion among the committee members and the consultants to better understand how performance requirements work and how they should or should not be limited in ASEAN agreements. In early 2015, an ACTI consultant began to prepare a ideas for a draft post 2015 work program for the Coordinating Committee on

Investment’s. The paper will be delivered later in the first quarter of 2015.

In order to further support investment in

ASEAN, ACTI helped to organize the

Second U.S.-ASEAN Business Summit in

Nay Pyi Taw in collaboration with the

U.S.-ASEAN Business Council, the U.S.

Chamber of Commerce, ASEAN

Business Advisory Council, Union of

Myanmar Federation of Chambers of

Commerce and Industry and the Ministry of National Planning and Economic

Development of Myanmar. The Business

Summit included the launch of a report with recommendations to improve the environment for small business development in ASEAN that was jointly prepared by the US-ASEAN Business Council and USAID. The report is available through the US-ASEAN Business Council web site.2 The Business Summit also provided attendees with a first view of the annual ASEAN Business Outlook Survey by the

AmCham Singapore.3 More than 250 people attended the Summit, including the ASEAN

Economic Ministers, Senior Economic Officials Meeting leads, SMEs from at least eight

ASEAN Member States, and business leaders from the US and all ten ASEAN Member States.

Results http://cloud.chambermaster.com/userfiles/UserFiles/chambers/9078/File/2013_AEM_Mission/2014_Aem_Mi ssion/BeyondAEC2015_Final_Aug22.pdf https://www.uschamber.com/sites/default/files/legacy/international/files/ASEAN Survey 2014.pdf

U.S. Trade Representative, Ambassador Michael Froman, speaks at the Opening Ceremony of the ASEAN-U.S. Business

Summit.

https://www.uschamber.com/sites/default/files/legacy/international/files/ASEAN%20Survey%202014.pdf http://cloud.chambermaster.com/userfiles/UserFiles/chambers/9078/File/2013_AEM_Mission/2014_Aem_Mission/BeyondAEC2015_Final_Aug22.pdf http://cloud.chambermaster.com/userfiles/UserFiles/chambers/9078/File/2013_AEM_Mission/2014_Aem_Mission/BeyondAEC2015_Final_Aug22.pdf https://www.uschamber.com/sites/default/files/legacy/international/files/ASEAN%20Survey%202014.pdf

The Coordinating Committee on Investment has a better understanding of the role of performance requirements in international investment agreements and the arguments for and against such requirements.

The Second U.S.-ASEAN Business Summit Business Summit gave a strong focus to the importance SMEs in the regional economy.

Next Steps

In 2015, ACTI will provide inputs for a multi-year investment facilitation work plan for

ASEAN and undertake an ASEAN-wide study of Investment Provisions in ASEAN FTAs and Recommendations for Improvements.

Some 2014 work plan items were ultimately dropped or will be implemented n 2015 as has in part been discussed above. In addition, the concept paper on trade facilitation indicators was ultimately not required as the opportunity to use indicators developed by Organization for

Economic Cooperation and Development has arisen and support for this will be part of ACTI’s

2015 work plan. The proposed workshop on toy safety was dropped as it became clear that

ASEAN did not have a working group that addressed this topic.

Work Stream 3: SME Development

ACTI’s SME support activities aim to improve the capacity of ASEAN entrepreneurs, especially women and youth, to create and operate SMEs and promote equitable, inclusive development.

In accordance with the ASEAN Strategic Action

Plan for SME Development 2010-2015 and in close collaboration with the ASEAN SME

Working Group, ACTI’s SME support is focused on:

• Access to regional and international markets;

• Access to information, including improvement in IT skills; and

• Access to finance;

Support is tailored to meet the needs of the less-developed ASEAN Member States at the national level to help bridge the regional development gap and promote greater integration and participation in the ASEAN Economic Community. ACTI support leverages expertise from the

United States and ASEAN region, public-private engagements, and other development programming.

A woman entrepreneur that owns her own chili-making business is among many participants in the series of US-ASEAN Business Alliance workshops

To improve access to regional and international markets, ACTI’s 2014 Annual Work Plan

(AWP) included training and outreach seminars for ASEAN SMEs and SME enablers, support for the ASEAN Women Entrepreneur’s Network, business matching activities, support for the development of the new SME Working Group action plan, studies on SME finance, and the development of the “ASEAN On-line SME Academy” and the implementation of a series of trainings on using ICT tools for business development and management for SME enablers and young and women entrepreneurs.

Implementation of the 2014 work plan was greatly enhanced by the March 2014 MOU between

USAID and US-ABC that created the US-ASEAN Business Alliance for Competitive SMEs.

The Business Alliance brings the resources and expertise of world-class American firms to bear in support of ASEAN SMEs. US-ABC corporate participants offering expertise and/or financial support for Business Alliance activities include P&G, UPS, HP, GE, Microsoft, Baker

McKenzie, Cisco, FedEx, Ford, Google, Hills Companies, IBM, KPMG, MasterCard, Motorola, Qualcomm, Seagate, UL, and VISA.

Access to Regional and International Markets

The core of ACTI’s support for improved access to regional and international markets was a series of five major seminars supported by the Business

Alliance to provide information, training and mentoring services to develop ASEAN SMEs’ capacity to participate in inter-firm linkages and strategic supplier partnerships and, opportunities permitting, to integrate into regional and global supply chains. Workshops were held in Ho Chi

Minh City, Kuala Lumpur, Jakarta, Manila, and

Yangon in 2014 and reached over 1100 SMEs and enablers. ACTI and the Business Alliance will use the contacts developed during these events to identify participants for subsequent more focused training activities.

To raise awareness of the needs of women entrepreneurs as well as to enhance their knowledge and capacity, ACTI supported the Launching Workshop of ASEAN Women Entrepreneurs’

Network in April 2014 in Hanoi, which included a separate capacity building event sponsored by the Business Alliance for women-owned SMEs. Through the link that was forged at the

Launching Workshop, ACTI is able to collaborate with AWEN national representatives to ensure that women are well represented at SME events. As a result, usually 50% or more of attendees at ACTI SME events are women. ACTI and the Business Alliance will continue to work with the Network to build capacity and improve access to finance and information of female entrepreneurs and women-owned SMEs beyond 2014. Capacity building and networking activities are the key focus areas in the AWEN Work Program 2014-2020.

Business Alliance workshop in Yangon

ACTI also worked to mainstream women’s entrepreneurship issues in ASEAN’s SME work program during 2014. Thus, late in the year, ACTI convened a Regional Policy Dialogue on

Empowering Women Entrepreneurs to Advance AEC Development in Bangkok. This event was the first platform for ASEAN SME Working Group members to interact and network with

AWEN. It also provided an opportunity for the ASEAN participants to meet with Business

Alliance corporate members and representatives from several international organizations including UN Women, UNESCAP and International Labour Organization, and the Australian

Department of Foreign Affairs and Trade. A key input to the event was a paper on the special challenges facing women entrepreneurs prepared by an ACTI consultant. Out of this meeting there was great interest from Business Alliance corporate members in collaborating on “GREAT

Women – the ASEAN Collection” with Philippines and other ASEAN countries. As a next step, ACTI will analyze feedback to identify the operational and other issues for the attention of

SMEWG and ASEAN Secretariat.

ACTI’s mandate also includes support for young entrepreneurs. Thus this past November, ACTI teamed up with the Ciputra Foundation in Indonesia to support the Global

Entrepreneurship Week conference in Jakarta by bringing participants from other ASEAN

Member States to participate and then to learn more about entrepreneurship by visiting the

Global Entrepreneurship Program Indonesia (GEPI) to meet with its Executive Director and her team members. The ASEAN participants also met with three selected young startups engaged in the GEPI incubator. The GEPI incubator could be a model for possible replication in other ASEAN countries.

Finally, this past December in Yangon, ACTI, through its subcontractor Kenan Institute Asia and the Ministry of Industry of Myanmar, organized a one-day conference on the opportunities and challenges faced by SMEs in the ASEAN Economic Community. The conference was attended by 77 SMEs and SME enablers. The event was opened by U Aung Myo Khine, Director Central Department of Small and Medium Enterprises, Ministry of Industry. The key session in the morning was a panel of Myanmar government officials and others who talked about the services available to SMEs as they address the challenges of the AEC. The afternoon consisted of three presentations by SME owners from Thailand and the Philippines who showed how their companies are taking advantage of international markets as well as an address by Dr.

Aung Htun Thet, a member of the President’s Advisory Committee. Dr. Thet stressed the need for Myanmar SMEs to take advantage of the opportunities created by the AEC and not seek protection from the government.

Results

USAID and US-ABC launched the U.S.-ASEAN Business Alliance for Competitive SMEs.

ACTI and the Business Alliance provided training in core competitiveness issues to SMEs in Ho Chi Minh City, Kuala Lumpur, Jakarta, Manila and Yangon.

ACTI sponsored the launch of AWEN in Hanoi in April. Through ACTI’s cooperation with AWEN, ACTI has been able to include a significant number of women in all subsequent SME events.

A conference on AEC 2015 Opportunities and Challenges for ASEAN SMEs in Yangon provided actionable information to SMEs in Myanmar on how to take advantage of the

AEC.

Next Steps

ACTI will use participant feedback to identify issues and priorities for future programming to target the needs of SME exporters in specific markets, as well as to identify SMEs that are ready to participate in more advanced training on supply-chain linkages.

ACTI will use feedback from the Regional Policy Dialogue on Empowering Women

Entrepreneurs to Advance AEC Development to promote women’s entrepreneurship with the SMEWG and ASEAN Secretariat and to shape future ACTI activities.

ACTI will analyze feedback from the Indonesia Global Entrepreneurship Week event for follow-up as needed.

Access to Information

This year ACTI launched its effort to develop an online resource to support SME development in the region under the umbrella of the Business Alliance, and has made headway in the development and design of the ASEAN On-line SME Academy.

Discussions with US-ABC members regarding the

Academy have resulted in offers of technology and content support. Microsoft has offered to contribute content from their Enhancing ICT Skills of Small

Medium Enterprises in ASEAN curriculum.

Qualcomm will collaborate through the Mentoring

Women in Business Program. IBM has rendered their support in platform development and in contributing resources from their existing SME

Toolkit. The platform is under development as an open source package, and a technical helpdesk support for the Academy site manager will be available through the existing SME Toolkit. These contributions build upon the generous launch offer of access to HP Life from Hewlett Packard.

Various useful contents from five Business Alliance seminars in supporting SMEs’ competitiveness will be also featured in the Academy.

In November 2014, ACTI held a Regional Consultation on the ASEAN Online SME Academy in Bangkok for 46 participants. The Regional Consultation brought together representatives from ASEAN SMEWG, ASEAN Secretariat, AWEN, Business Alliance corporate members and other key stakeholders such as Hinrich Foundation and International Labour Organization to share views and experiences in implementing on-line training and information dissemination, and to find ways and means for further development of the platform, content and features of the

Academy. The Academy vision and scope, and functional specification documents are being

The training-of-trainers workshop on ICT in Laos finalized, taking into account the technology and content contributions of US-ABC partners and feedback and ideas generated during the regional consultation.

Separately, ACTI has been providing some direct support to SMEs to improve their access to information technology. Participation in modern markets requires a fair amount of sophistication in the use of information technology that SME owners often do not have and

SME enablers often do not possess for more effective provision of their business development services to SMEs. ACTI’s assessment mission found that knowledge of and skills in modern technology tools and, more generally, digital literacy are another weakness of and constraint on

SMEs in business start-up and development, and on SME enablers in their provision of business development services to SMEs. Over the course of 2014 and January 2015, ACTI organized training opportunities in Indonesia and Laos in collaboration with the ASEAN Foundation

(Indonesia) and Microsoft (Indonesia and Laos). The events included training-of-trainers activities and then trainings for SMEs supported by the newly minted trainers. Finally, there were intensive incubator sessions were a small number of SME owners were provided with individual support. This activity was especially designed to reach out to women and young entrepreneurs.

Results

The Regional Consultation on the ASEAN Online SME Academy resulted in further development of the platform, content and features of the Academy.

New SME ICT skill trainers were educated in both Indonesia and Laos and have trained an additional 50 people in use of ICT tools for SME development.

SME…