| August 2007 | | | | countries in Africa). In terms of country ratification |
| The role of treaties in the promotion of trade and | | | | level, Mozambique scores 24.83 (out of 100), lower |
| investments | | | | than the average score in the Africa region (26.26) |
| International treaties are now, more than in the past, | | | | and the world average (33.87). The meaning of these |
| playing a fundamental role in international trade | | | | figures simply puts Mozambique among the least |
| relations. With the fast developing communication | | | | performing countries in the world and in Africa in |
| systems and technology, and as the phenomenon of | | | | terms of international trade and investment |
| globalization of economy is affecting all aspects of | | | | facilitation. |
| modern activities, transactions between countries on | | | | The assessment of the current state of ratification |
| all continents are becoming more complex and | | | | of treaties reveals that there is generally a limited |
| intricate. With this new 21st century, trade and | | | | awareness on the importance of international treaties |
| foreign investment transactions, as well as capital | | | | and their impact on the development of the private |
| flows have reached unprecedented levels. The more | | | | sector. While capacity building activities are very |
| complex are the trade operations, the higher is the | | | | limited, there is no strategic approach developed to |
| number of rules and treaties adopted for a safer | | | | spot the most interesting treaties and agreements, |
| management and fairer governance of the global | | | | and there is no mechanism for monitoring and |
| market. | | | | evaluation of treaties ratified or to be ratified. |
| It is estimated that there are currently more than | | | | The point is "how can Mozambique participate more |
| 50.000 international treaties. Around 600 of these | | | | in the drafting new trade rules and most of all, |
| treaties deal only with multilateral trade issues. There | | | | involve the stakeholders, including the private sector |
| are 210 major treaties of prime interest for the | | | | operators?" Many government departments have |
| promotion of trade and investment, covering issues | | | | competence to conclude and sign agreements, but |
| of highest concern in the global trade such as | | | | there seems to be no consolidation or coordination |
| international contracts, investment, intellectual | | | | mechanism at the level of Foreign Affairs or the |
| property, illicit trade, customs, finance, transport, | | | | Assembly of Republic (Parliament). There are |
| environment and products, dispute resolution, treaty | | | | apparently some gaps and inconsistencies in the |
| law and WTO agreements. According to a recent | | | | implementation system, including weaknesses at the |
| study published by the ITC, all these treaties do not | | | | level of the judicial system whenever there is a need |
| have the same importance for trade and their impact | | | | to uphold fundamental rights protected by |
| can considerably affect trade interest of a country | | | | international treaties. |
| according to their interests focus. | | | | The way forward |
| The importance of international treaties for the | | | | In order to draw the best benefits from the potential |
| private sector | | | | impact of treaty law development in Mozambique, it |
| The issue concerning the importance of international | | | | is advisable to go beyond routine conclusion and |
| treaties and their impact on the performance of the | | | | management of treaties. It is also important to build a |
| private sector is of great concern for least | | | | positive image of Mozambique as a trade and |
| developed countries. Experts generally agree to | | | | investment destination. The worldwide dissemination |
| assert that effective international treaties are very | | | | of information on the domestic policies could be a |
| important since they can facilitate safer inter-state | | | | valuable exercise. A case in point is the cover page |
| relations, reduce problems of conflicts between | | | | article published by journalist Joshua Kurlantzick in the |
| states, enhance international cooperation and | | | | New York Times (May 19th, 2005) under the title: |
| understanding between states, and most of all, they | | | | "Mozambique...the raising star of Africa" was an |
| promote the international rule of law. Trade treaties | | | | excellent opportunity. There are currently various |
| such as WTO Agreements and the United Nations | | | | projects on tourism in Mozambique, which, we hope, |
| multilateral treaties are shaping the way trade is | | | | will reinforce this initiative. |
| conducted. Adopting these treaties sends a signal to | | | | Opening of new frontiers in treaty law for business, |
| international investors and trade operators that a | | | | investments and technology, promoting better |
| country is serious about creating a secure climate for | | | | cooperation opportunities; spotting and transforming |
| business. | | | | into concrete benefits potential transactions of prime |
| The choice of treaties to ratify and their effective | | | | interests in the economic, political and cultural areas |
| implementation can make a decisive difference in | | | | are some of the actions that can be initiated by the |
| terms of economic development as a result of | | | | Government with the active participation of the |
| greater business confidence and public awareness | | | | private sector and media organizations. |
| within a country's business community. Many least | | | | As a practical measure, there is an urgent need to |
| developed countries such as Mozambique risk being | | | | develop a comprehensive inventory and an updated, |
| victims of economic stagnation because they don't | | | | accurate data base of treaties currently in force in |
| adopt major existing treaties, and do not contribute | | | | Mozambique. A mechanism for the monitoring and |
| to new ones. Faced with the intricate rules contained | | | | permanent evaluation of the implementation of |
| in the multitude of trade and investment treaties, | | | | treaties in force is of great importance. Government |
| these countries frequently don't know where to | | | | departments and institutions involved in the treaty |
| focus their specific interest nor to concentrate their | | | | management process need to provide more |
| limited resources. | | | | information, and facilitate the awareness activities |
| The current issues on the ratification and | | | | and public debates on the importance of treaties. The |
| implementation of treaties by Mozambique | | | | Government could for instance use the treaty |
| Considering the particular case of Mozambique, there | | | | making process as a development policy tool for |
| are only 42 treaties ratified out of the 210 | | | | poverty eradication; i.e. more trade and investments |
| considered by the ITC as most important for trade | | | | as well as business opportunities can reduce |
| promotion and facilitation. Thus, in terms of number | | | | unemployment, improve the welfare of trade |
| of instruments ratified, Mozambique is ranked at the | | | | operators and thus can represent a sure way for |
| global level no. 154 (out of 192 countries in the | | | | wealth creation in the country. |
| world), and at the regional level, no. 35 (out of 47 | | | | |