International discussions on issues that matter for going paperless are ongoing across different fora. This includes multilateral and plurilateral initiatives; trade agreements; regional and international organisations; and private sector led initiatives. Understanding who is doing what and where is key to understanding the complex environment in which going paperless needs to be implemented.
The digitalisation of trade documents and processes
Going paperless today, going paperless tomorrow
At the multilateral level, the implementation of the WTO TFA has spearheaded, since its entry into force in 2017, important reforms in many areas relevant for going paperless. These include aspects of automating administrative procedures at the border, such as automatic pre-arrival processing of information, trade Single Windows, electronic payment of duties, taxes, fees, and charges, or electronic copies of supporting trade documents. The WTO Committee on Trade Facilitation (CTF) is increasingly exploring the linkages between the TFA and digitalisation.1 As highlighted by the OECD TFIs, automation of border processes is among the top 3 areas of reforms since COVID-19 (Figure 12). However, capacities in adopting and operationalising such digital tools differ significantly across countries at varying levels of development (OECD, 2023[11]).
In addition, important discussions on advancing digital tools for trade facilitation are taking place in the context of the WTO E-commerce Work Programme and, at the plurilateral level in the JI on E-commerce.2 The “stabilised text”, which was published in July 2024 (Box 3), covers electronic transaction frameworks, electronic authentication and electronic signatures, electronic contracts, electronic invoicing, paperless trading, Single Window data exchange and system interoperability, and electronic payments.3 Other areas focusing on trust and e-commerce, such as online consumer protection, personal data protection, and cybersecurity, are also relevant for the going paperless ecosystem.
Improvement by TFI area (%)
Note: The 11 TFIs range from 0 to 2, where 2 is the best performance that can be achieved.
Source: OECD TFIs database, 2023.
The stabilised text of the Joint Statement Initiative (JSI) on Electronic Commerce includes specific provisions aimed at facilitating trade in the digital era. This is achieved by not only aiming to enhance the efficiency of the border process through digital tools and reducing reliance on physical documentation in international trade, but also through various important elements supporting electronic transaction, openness and trust.
Section B on Enabling e-commerce includes Article 8 on Paperless trading and Article 9 on Single Windows data exchange and system interoperability. In addition, it includes Article 4 on Electronic transaction frameworks, Article 5 on Electronic authentication and electronic signatures, Article 6 on Electronic contracts, Article 7 on Electronic invoicing, and Article 10 on Electronic payments.
Other relevant articles include Article 13 on Access to and use of the Internet for Electronic Commerce in Section C on Openness and Electronic Commerce, as well as Article 16 on Personal data protection and Article 17 on Cybersecurity in Section D on Trust and Electronic Commerce.
Source: The statement and the stabilised text of an Agreement on Electronic Commerce are available at INF/ECOM/87.
Digital trade provisions in trade agreements increasingly capture a wide array of issues that are critical for going paperless. There are almost 100 agreements with digital trade facilitation provisions (paperless trading and customs automation) (Burri, Vasquez Callo-Müller and Kugler, 2024[24]) (Figure 13). These are generally accompanied by provisions related to avoiding unnecessary regulatory burdens on e-commerce, e-authentication, and e-signatures. Three-quarters of agreements with digital trade facilitation provisions also include provisions covering data protection and privacy, while 31% of such agreements contain provisions on data flows in an e-commerce chapter (Figure 14).
Number of agreements where such areas are included
Note: The figure shows the number of agreements signed by year which contain a provision in the specific categories highlighted (paperless trading; customs automation; electronic transferrable records; unnecessary burden to e-commerce; consistency with UN Convention on electronic contracts; consistency with UNCITRAL Model Law on E-commerce; e-authentication and e-signatures; e-payments; and e-invoicing).
Source: Authors’ calculations based on TAPED database (November 2024 version) (Burri, Vasquez Callo-Müller and Kugler, 2024[24]).
Share of agreements containing data flows provisions in all agreements with digital trade facilitation provisions (%)
Note: The chart includes trade agreements, digital trade agreements and digital economy agreements.
Source: Authors’ calculations based on TAPED database (November 2024 version), Burri, Vasquez Callo-Müller, and Kugler (2024[24]).
Other elements such as consistency with UN Conventions or UNCITRAL Model Laws for e-commerce and electronic transferrable records, e-invoicing, and e-payments, are covered albeit in a much smaller number of agreements (Figure 13). That said, countries are increasingly implementing domestic regulation that is consistent with these model laws and conventions. Moreover, the number of agreements covering these aspects has been increasing in recent years, largely due to the conclusion of broader digital trade agreements and digital economy agreements. The same is true for provisions on digital identities, artificial intelligence, or mutual recognition for data standards issues (Figure 14). However, most of these provisions are non-binding and focus on co-operation efforts seeking to promote shared values and continued dialogue.
New types of bilateral partnerships supporting paperless trade are also emerging. This includes, for instance, the European Union – Singapore Digital Partnership (concluded in February 2023) or the European Union – Japan Digital Trade Principles (concluded in June 2023). Both aim to facilitate trade through digital tools, including by work on joint projects, such as on paperless trading, electronic invoicing, electronic payments, and electronic transactions frameworks.
Endeavours to support going paperless are also taking place across various regional fora. For instance, in the Asia-Pacific region:
The Framework Agreement on Facilitation of Cross-border Paperless Trade in Asia and the Pacific (CPTA) entered into force in February 2021 and is aimed at accelerating the implementation of digital trade facilitation measures for trade and development.4 The CPTA includes a particular focus on cross-border mutual recognition of trade-related data and documents in electronic format.
Within the Asia-Pacific Economic Co-operation (APEC), the Guidelines for Paperless Trade5 issued by the Sub-Committee on Customs Procedures (SCCP) in November 2021 focus on the implementation of trade Single Windows and the data standards and border agency co-operation behind these, as well as on the digital tools that can support streamlining of border processes.6
The APEC Guidelines also focus on how legal frameworks for paperless trade need to be flexible, in that “economies should design regulatory regimes that are technology-neutral and flexible” and “should consider taking a principles-based approach to the legislative framework that enables border processes to respond quickly and efficiently to changes in the trade environment to enable paperless trade.”
While the 2021 APEC Guidelines do not cover the issue of interoperability, a further Analysis and Pathway for Paperless Trade Report released by the APEC SCCP in March 2022 acknowledges the role and challenges of Single Window interoperability in facilitating trade. The APEC Committee on Trade and Investment (CTI) also adopted in May 2023 the Principles for the Interoperability of Electronic Invoicing Systems in the APEC Region.
In 2024, the APEC CTI undertook work on the legal gaps in APEC economies of adopting or maintaining a legal framework that considers the UNCITRAL MLETR. The analysis highlights that differences in the legal recognition of electronic documents among APEC economies are among the biggest barriers to wider use of electronic trade documentation in the region.7
In other regional initiatives, such as the Indo-Pacific Economic Framework for Prosperity (IPEF) Supply Chain Agreement concluded in May 2023, digital tools for trade facilitation gained prominence in their potential to “make supply chains more resilient, efficient, transparent, diversified, secure, and inclusive”. The Supply Chain Agreement refers to the importance of the digitalisation of ports and upgrading the digital infrastructure. It also encourages the “development and adoption of digital standards and frameworks that support information technology interoperability and data flows among freight and logistics enterprises to enhance efficiency, transparency, and security.”8
In the ASEAN region, the negotiations to upgrade the ASEAN Trade in Goods Agreement (ATIGA) launched in March 2022 aim to further simplify the rules of origin for goods, expand the adoption of trade technologies and paperless documents, and harmonise technical regulations and standards. In addition, ASEAN also launched negotiations for the ASEAN Digital Economy Framework Agreement (DEFA) in September 2023, aiming to foster greater digital co-operation and pave the way for regional digital integration. DEFA discussions are also focusing on cross-border paperless trade, including interoperable Single Windows, expedited customs processes, and streamlined government documents, as well as facilitation for cross-border small shipments, data protection and privacy, digital identity and authentication, and digital payment and e-invoicing.
In Central America, the Secretariat for Central American Economic Integration (SIECA) and the Central American Integration System (SICA) launched in November 2023 the Central American Digital Trade Platform (PDCC). PDCC is a tool that aims to streamline trade processes within and outside the region and facilitate paperwork. Through the exchange of information, mutual recognition, and interoperability of national systems of the Foreign Trade Single Windows, Customs, Migration, and Ministries of Agriculture, PDCC has the objective to serve as a centralised point for conducting trade transactions.
Important progress has also been achieved in international fora such as G7 and G20. The G7 Digital Trade Principles9 adopted in 2021 under the United Kingdom Presidency include a section on “digital trading systems”, which focuses on the role of digital trade facilitation tools across the entirety of supply chains:
the digitisation of trade-related documents, including through means of addressing legal, technical, and commercial barriers to the digitisation of paper processes. In 2022, the G7 also endorsed under Germany’s presidency the “Principles for domestic legal frameworks to promote the use of electronic transferable records”;
the use of government digital systems to facilitate the flow of goods along the entirety of the supply chain; and
that trade Single Windows, developed around common standards with interoperability as a key goal, should streamline stakeholder interactions with border agencies.
Adopted during India’s 2023 Presidency, the G20 High-Level Principles (HLPs) on Digitalization of Trade Documents10 form an Annex to the Outcome document & Chair’s Summary from the 2023 G20 Trade and Investment Ministers Meeting.11 Recognising the challenges and opportunities from the digitisation of trade documents and processes to facilitate their exchange, the G20 HLPs aim to serve as a guide for a successful transition towards a more efficient and accessible use of digital technology supporting trade-related documents. The ten HLPs focus on commercial trade documents and cover aspects of neutrality, security, trust, interoperability, data privacy, reliability, voluntary sharing of data, collaboration, scalability, and traceability (see Annex C for the detailed HLPs).
Supported by efforts at multilateral and regional levels, initiatives at enhancing paperless trade are also advancing at the national level. Examples include:
The European Union Single Window Environment for Customs adopted in European Union law in December 2022 and the proposed European Union Customs Data Hub12 to be implemented on a phased basis from 2028;
The digital solutions under the United Kingdom’s 2025 Border Target Operating Model and Ecosystem of Trust pilots (see Annex D for further details);
Korea’s e-Trade Facilitation Center;
The US Customs and Border Protection interoperability standards test of September 2023 for supply chain transparency;
Simplifying Australia’s trade system through a whole-of-government approach to paperless trade reforms (see Annex D for further details);
Israel’s Global Gate System integrates relevant border agencies, the Standards Institution, transportation companies, ports, warehouses, and the postal service. The system connects relevant agencies to a single database and includes a digital signature component through the Smart Card authentication for traders.
In parallel to government-led initiatives, private sector initiatives are developing at a fast pace (Figure 15). These particularly concern the digital exchange of commercial documents, such as the electronic bills of lading (eBL). Initiatives focus on the use of specific technology for creating, transferring and processing documents (e.g. CargoX blockchain technology), on standardisation (e.g. ICC Digital Standards Initiative, other private sector associations), on the connection of private and public actors by adapting to existing systems (e.g. Trade Logistics Information Pipeline), and on leveraging new technologies to streamline processes and enhance efficiency (e.g. World Economic Forum TradeTech Global initiative).
Number of initiatives recorded
Source: Based on ESCAP - ICC Digital Standards Initiatives, Cross-border Paperless Trade Database 2024.
Discussions around standards for facilitating the electronic exchange of such documents are taking place across various private sector associations13 covering different modes of transport, particularly maritime transport, where the reported use of electronic documents is estimated to be much lower than in air transport. For instance, the Future of International Trade (FIT) Alliance was formed in February 2022 by BIMCO, Digital Container Shipping Association (DCSA), the International Federation of Freight Forwarders Associations (FIATA), ICC and the Society for Worldwide Interbank Financial Telecommunications (SWIFT)14 with the objective to raise awareness and accelerate adoption of a standards-based electronic bill of lading across all sectors of the shipping industry.15
Other private sector initiatives such as the ICC Digital Standards Initiative have focused on mapping the data elements and standards used across key trade documents to further promote interoperability. Of 36 documents analysed (Table 2) by the ICC DSI (ICC DSI, 2024[7]):
Twenty-one already have standardised electronic versions. While there are instances of multiple electronic versions of documents, these versions show high semantic and technical interoperability, meaning that multiple versions of documents should not preclude their alignment across systems, platforms, and databases.
Six documents have multiple standards of electronic representation, where these standards do not exhibit signs of semantic or technical interoperability at either a document or data level.
Nine documents are in early stages of standards development, implying that the bulk of the work on standardisation remains to be done.
The IOTA Foundation16, TradeMark Africa, the World Economic Forum, the Tony Blair Institute for Global Change, the Institute of Export and International Trade, and the Global Alliance for Trade Facilitation signed a Collaboration Agreement in February 2024 setting up the Trade Logistics Information Pipeline (TLIP)17. TLIP aims to enable data to be transmitted directly from its source with no third-party involvement and shared seamlessly, securely and at little to no cost. It provides back-end connections to allow border agencies to share information without introducing new work processes. The front end allows different actors (agencies, traders, transporters, etc.) to upload typical trade documentation such as the certificate of origin, the phytosanitary certificate, packing list or commercial invoice. TLIP is currently being tested for selected trade lanes and commodities such as flowers, fish, tea and textiles.
← 1. Most recently, at a session for capital-based officials on the margins of the WTO CTF in October 2023 and experience sharing during the WTO CTF in April 2024.
← 2. In March 2023, WTO members exchanged on national practices to facilitate trade and electronic transactions (https://www.wto.org/english/news_e/news23_e/ecom_16may23_e.htm).
← 3. These reflect a mix of hard and soft commitments.
← 4. More information available at https://www.unescap.org/projects/cpta.
← 6. These include the following: electronic documents; accepting electronic certificates; submitting electronic import, export and/or transit declarations; risk assessment using post clearance audit; submitting electronic inward cargo report (air and sea); electronic application and issuance of import and export permits and licences; electronic payment for duties, taxes, fees, and charges collected by customs incurred upon importation and exportation; and electronic pre-arrival processing.
← 7. A Path to Paperless Trade: Analysing the Legal Gaps and Economic Benefit of Adopting or Maintaining a Legal Framework that Takes into Account the UNCITRAL Model Law on Electronic Transferable Records (MLETR), February 2025.
← 8. See https://www.commerce.gov/sites/default/files/2023-09/2023-09-07-IPEF-Pillar-II-Final-Text-Public-Release.pdf.
← 10. The OECD was a knowledge partner together with the Indian Institute for Foreign Trade (IIFT) and UN ESCAP in support of the 2023 G20 Indian Presidency Trade and Investment Working Group ‘Logistics for Trade’ pillar.
← 11. Available at: https://www.g20.org/content/dam/gtwenty/gtwenty_new/document/G20_Trade_and_Investment_Ministers_Meeting.pdf. The Trade Documents covered by the Principles relate to international commercial transactions pertaining to transport, payments, insurance, storage, and related logistics services; the principles do not necessarily apply to government documents issued, controlled or required by a government authority for cross-border trade.
← 12. The Customs Data Hub would function as the primary online platform where importers will record detailed information about their products and their supply chains. The new data hub aims to provide customs authorities with an all-encompassing view of the movements of goods and their associated supply chains. National Customs Authorities will continue to carry out national risk analysis and management, however, control recommendations will be issued by the European Union Customs Data Hub.
← 13. https://www.fit-alliance.org/_files/ugd/bb00df_e767d452142c4ca7adc6c9e7cced2120.pdf. Through BIMCO’s “25 by 25 Pledge” and DCSA’s “100% eBL by 2030” initiative, some of the world’s largest bulk shippers and 9 of the top 10 ocean carriers had already committed to switch their B/Ls to eBLs within two to seven years. 26 of FIATA’s Association members have adopted the eFBL (electronic FIATA bill of lading) and have begun to distribute it to their members.
← 14. BIMCO is largest largest direct-membership organisation for shipowners, charterers, shipbrokers and agents, covering 62% of the global fleet and consisting of over 2 000 local, global, small, and large companies in 130 countries. The DCSA was founded in April 2019 by 9 global carriers (MSC, Maersk, CMA CGM, Hapag-Lloyd, ONE, Evergreen, Yang Ming, HMM and ZIM) to establish IT standards that would enable interoperability of technology solutions across the industry. The FIATA International Federation of Freight Forwarders Associations is a non-governmental organisation representing freight forwarders worldwide. SWIFT is a cooperative established in 1973 in Belgium and owned by the banks and other member firms that use its service; it provides the main messaging network through which international payments are initiated.
← 15. Available estimates highlight that 1.2% of bills of lading in maritime transport issued (https://safety4sea.com/hapag-lloyd-commits-to-full-adoption-of-e-bills-of-lading-by-2030/) are electronic compared to 68% for bills of lading in air transport (https://dcsa.org/wp-content/uploads/2020/05/20200519-DCSA-taking-on-eBL.pdf).
← 16. IOTA is an open-source distributed ledger.