Global Trade to See Radical Improvement Through Technology Cooperation

The way we trade is evolving, and it's not just about buying and selling anymore. Our future trade needs to meet the demands of society, politics, commerce, and the environment. To make this happen, we're turning to new and transformative technologies. These technologies are stepping in to handle the complex web of supply chains, integrate logistics infrastructure, and manage the flow of financial information on a global scale.

In a bid to guide this shift, the TradeTech Global initiative, a collaboration between the World Economic Forum and the Government of the United Arab Emirates, has released a report called "TradeTech: Catalysing Innovation." This report outlines a roadmap to bring in technology-driven improvements to global trade. It highlights the rapid rise of artificial intelligence, widespread sensing, and distributed ledgers as key players in managing the intricate dance of physical, digital, and financial flows.

Børge Brende, the President of the World Economic Forum, emphasizes, “Using technology for trade could unlock trillions of dollars in growth. Building trust among all parties involved will speed up the benefits we can reap from these advancements.”

To further these discussions, the inaugural TradeTech Forum is set to take place in the United Arab Emirates alongside the World Trade Organization Ministerial Conference in Abu Dhabi in February 2024.

Dr. Thani Ahmed Al Zeyoudi, Minister of State for Foreign Trade of the United Arab Emirates and Chair of the upcoming WTO Ministerial, underlines the importance of embracing technology for sustainable growth. He says, “To achieve ambitious goals for global growth and development, we must use technology smartly. By deploying technology to simplify international trade, making it more affordable and transparent, we can elevate governments’ efforts to reduce poverty, stimulate growth, and enhance sustainability.”

The report proposes a three-stage plan to introduce current and future technologies in both advanced and developing economies. This plan involves aligning incentives and utilizing support structures like incubators and regulatory sandboxes. These measures aim to help technologies overcome the challenges posed by the diverse standards in international trade.

In essence, the report encourages collaboration among exporters, importers, logistics operators, technology innovators, and policymakers. It envisions a future where technology is not just a tool but a catalyst for positive change in the way we trade globally. As we look toward the future, it's clear that partnerships and technological innovation will be the driving forces behind a more efficient, transparent, and sustainable global trade landscape.