ICC United Kingdoms Official G20 Publication

G
The Voice of UK Business

BUILDING
BRIDGES
POST BREXIT
Preparing the ground
for UK engagement
beyond the EU

INSIDE

UK trade negotiations
Public-private sector
collaboration
Uniting the economy
and environment
Driving sustainability
from the bottom up
Anti-trade sentiment
in US & Europe
Whats causing
the backlash

iccwbo.uk
 WELCOME TO TH E
WELCOME
WELCOME TOTOTHTH
E E
SC H LOSS EL MAU EXP ER I EN C E
SCSC H LOSS
H LOSS EL MAU
ELMAU EXPER
EXP I ENC
ER I EN CE E
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Just 100km
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A south of of Munich
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is by
framed Schloss Elmau,
Elmau,
dramatic tucked
tucked
peaks, deep
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the calm
calm
forests of
thethe
of rushing
and Bavarian
Bavarian Alps.
Alps.
streams.
A sanctuary,
A sanctuary, framed
framed by by dramatic
dramatic peaks,
peaks, whispering
whispering forests
forests and
and rushing
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A spa
A spa retreat
retreat and
A placeand
to cultural
cultural
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outstanding escape
foodescape
and and
and romantic
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haven.
music
A place
A place to to feast
feast on on outstanding
outstanding food
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 schloss@elmau.de
schloss@elmau.de
www.schloss-elmau.de
www.schloss-elmau.de
Phone: +49 (0) 8823 18 0
Phone: +49 (0) 8823 18 0
ICC United Kingdoms Official G20 Publication

Publishers Note

Dear Readers,

I would like to take this opportunity to thank the UK team for their
dedication in helping make this a successful second edition of the
UK G20 Summit publication.

This is a paramount time for UK businesses as they prepare for EU exit.

Christopher Atkins The G20 Summit is a vital venue for the UK to develop better trade and
Publisher and Founder economic partnerships with existing countries and also forge new ones.
Cat Company, Inc.
The CAT Company has a 20-year history as the foremost publisher of the
G20 Business, G20 Leaders, G20 YEA, G7 Leaders and APEC CEO Summits.
We are honoured to be the publisher for the ICC UK and have created a
broad-based publication to highlight the priorities of the G20 Summit.

We hope you enjoy our publication and we look forward to publishing

our third UK G20 publication and the G20 Business Summit edition
for the Argentinian presidency in 2018.

04 iccwbo.uk
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ICC United Kingdoms Official G20 Publication May 2017

Contents

Features
11
07 / Chairmans foreword
by Sir Michael Rake

08 / B20 Infographic ICC United Kingdoms Official G20 Publication

09 / The city is a European asset G

The Voice of UK Business

10 / ICCs CEO Advisory Group

by Philip Kucharski BUILDING
BRIDGES
POST BREXIT

12 / 60 Second interview: Anny Tubbs

Preparing the ground
for UK engagement
beyond the EU

14 / The strong case for trade INSIDE

UK trade negotiations

by John Carroll
Public-private sector
collaboration
Uniting the economy
and environment
Driving sustainability
from the bottom up

16 / Business priorities
Anti-trade sentiment
in US & Europe
Whats causing
the backlash

by Chris Southworth
iccwbo.uk

18 / Rising anti-trade sentiment in US and Europe:

The drivers and possible responses 32 Publisher:
by Marianne Schneider-Petsinger
Chris Atkins
21 / The risks to global trade posed by protectionist values
by Baihas Baghdadi Secretary General ICC UK:
Chris Southworth
24 / UK Growth Forecast
by Rain Newton Smith ICC Editorial Advisor:
26 / How trade benefits local communities Sophie Dembinski

by Sean Ramsden
Creative Director:
30 / The rules that explain Global Trade Christian Gilliham
by David Lowe christian@cgcreate.co.uk
T: (+44) 7951 722265
32 / ICC UN Observer status:
Global business priorities at the UN
by Louise Kantrow FOREWORD:
34 / The Neglected Necessity: Creating enabling
frameworks to unite economy and environment
56 Page 07
for global sustainable developments Sir Michael Rake
by James Bacchus
Chairman, ICC
38 / Ethical business in uncertain times United Kingdom
by Will Kenyon

40 / Connecting communities, Transforming trade

48 / Bridge the gaps for more Publishing Firm:
The CAT Company, Inc.
inclusive and sustainable growth
by Sophie Dembinski
CEO & Founder:
50 / Intellectual Property: Chris Atkins
Vital Protections Promoting Healthy Trade
by Allen Dixon Partnerships & Development:
Tyrone Eastman
52 / Harnessing the smart energy revolution
by Simon Hobday
Special Editorial Feature: GCEL

54 / Dealing with tax challenges as a result of Brexit 42 / Harnessing the Potential

by Heather Self
56 / Enabling paperless trade
by Alexander Goulandris
58 / UK Annual Trade Finance Conference:
Regulation, digitisation and standardisation
the hot topics of trade finance
62 / Asia can no longer expect to export its way to growth Growth Has Started
by Michael Every and Peter Hirst
64 / Global Debate: Business and government
must collaborate on UK trade negotiations
68 / Meet your global business network
by Jenny Stewart
70 / Securing Scotlands Exporting Future
by Liz Cameron OBE
72 / G7: An opportunity for business to engage
by Maria-Beatrice Deli
74 / The future of trade for Europe:
No simple solutions for complex issues
76 / ICC WCF World Chambers Congress:
Connecting chambers across the globe
80 / Business for our Better World
by Cherie Nursalim
of the Digital Economy
46 / How Digital Economy Tools
Can Assist To Rebalance
The Global Economy
48 / The Global Solution Foundation
For Sustainable Economic
Advertisers Index
02 Schloss Elmau
05 DSX Inc
21 Brexit Advisory Group priorities
28 ICC Global Champions
29 Buenos Aires World Trade Agenda
73 Priodev
75 GITI
84 Eden Roc
86 Pelago
88 Better Business with SDG Pyramid
The content within this publication
is made available on the terms and
conditions that the publisher, editors,
contributors and related parties:
shall have no responsibility for
any action or omission by any
other contributor, consultant,
editor or related party.
disclaim any and all liability and
responsibility to any person or party,
be they a purchaser, reader, advertiser
or consumer of this publication or not,
in regards to the consequences and
outcomes of anything done or omitted
being in reliance whether partly or
solely on the contents of this publication
and related website and products.
are not responsible in any way for
the actions or results taken by any
person, organisation or any party on
the basis of reading information or
contributions in this publication,
website or related products.

06 iccwbo.uk
 Foreword

G20: The Case for Engagement

Sir Michael Rake FCA, FCGI was knighted in 2007 is chairman of BT Group plc (2007) and
Worldpay Group plc (2015). He is also a director of S&P Global (2008), and chairman of Majid AL
Futtaim Holdings LLC (2010).

Mikes business advisory roles include chairman of the International Chamber of Commerce UK,
a Senior Adviser for Chatham House and a member of the Oxford University Centre for Corporate
Reputation Global Advisory Board. Mike is a William Pitt Fellow at Pembroke College, Cambridge.
He is also a member of the International Business and Diplomatic Exchange (IBDE) Advisory Board,
EPIs Advisory Group on Education and Employment and the Productivity Leadership Group.
Mike is also Vice President of the RNIB.

Mikes former principal roles include Chairman (both UK and International) of KPMG, Chairman
of easyJet, President of the Confederation of British Industry, Deputy Chairman of Barclays and
director of the Financial Reporting Council.

G20 and its business equivalent (B20)
will become critical for UK business once
the UK leaves the EU. G20 is a unique
forum bringing together the major
developed and emerging nations to
set global economic and trade policy
priorities. These priorities shape the
mandates for international institutions
that influence the trading environment
in which UK businesses operate,
particularly outside the EU. It will be
essential that we contribute and help
shape this environment if we are to
be successful in the future.
At B20 Germany, eighteen UK
businesses have engaged across seven
taskforces. The UK is ranked 7th in terms
of participation with less than half the
numbers of businesses contributing than
Germany, the USA and China. Of the
eighteen companies participating, 50%
are from the financial services with no
businesses in the English regions, Wales
or Northern Ireland and a range of
strategic sectors such as automotive,
aerospace, construction or IT/technology
unrepresented. At a strategic level two of
the five G20 knowledge partners are UK
firms, one taskforce co-chair and 29%
of the European group within ICCs
G20 CEO Advisory Group.
Post Brexit, the UK business community
will need to engage more effectively and
on a different scale if we want to shape
the world trade agenda and business
environment. We have two years to begin
preparing the ground; increasing the UK
profile at major events, strengthening
alliances with government and across the
business community and deepening our
engagement with global institutions. It is in
all our interests to work together and play
our part in re-making the case for free trade
at every level if we want to tackle the global
challenges facing business, ensure the
business environment is easier to trade
for the UK. Standing up for free trade has
never been so important.
At ICC, we have been watching and
learning from the B20 China and Germany
cycles. For B20 Argentina, we will need
more engagement from a wider spectrum of
companies, sectors and regions in the B20
taskforces when they open of registration in
the autumn. This will ensure the right level
of technical expertise is feeding into shaping
the final G20 policy recommendations in
2018. We will also need to work more
closely across the business community
and with the government to ensure
our voices are aligned and key messages
reinforced when they need to be. These
efforts will benefit UK jobs and skills by
creating the right environment to support
international trade and investment
both in and beyond Europe.
The primary beneficiaries from this
work are SMEs, mid-size businesses and
emerging markets all of which are top
trade priorities for a Global Britain.
Having spent over a decade on the
periphery of the world trade community,
Argentina has much to gain from hosting
G20 in 2018. It is an excellent opportunity
to promote a more open approach to
economic development. We should
support their efforts and use the
opportunity to strengthen our own
capabilities as we prepare the ground for
life outside the EU. As the largest world
business organisation representing 6.5
million businesses in 134 countries and
a well-established track record at the UN
and G20, ICC is uniquely placed to help.
If you would like to know more about
what we are doing, get in touch.
Sir Michael Rake
Chairman, ICC United Kingdom

AT ICC, WE HAVE BEEN WATCHING AND LEARNING FROM THE B20

CHINA AND GERMANY CYCLES. FOR B20 ARGENTINA, WE WILL NEED
MORE ENGAGEMENT FROM A WIDER SPECTRUM OF COMPANIES,
SECTORS AND REGIONS IN THE B20 TASKFORCES TO ENSURE THE RIGHT
LEVEL OF TECHNICAL EXPERTISE IS FEEDING INTO SHAPING THE FINAL
G20 RECOMMENDATIONS IN 2018. THESE RECOMMENDATIONS WILL
SHAPE THE BUSINESS ENVIRONMENT WE ARE ALL OPERATING IN.

07
SNAPSHOT: B20 GERMANY UK PARTICIPATION
ICC United Kingdoms Official G20 Publication

Xxxxxxxx
Authored by: Xxxxxxxxxx

1
HQ in Scotland
16
HQ in London
1
HQ in the Channel Islands

2 OF5 X 18
G20 Knowledge Partners
xxxxxxxxxx

UK companies participating
1 OF7
Taskforce Co-Chairs
are UK firms in 7 taskforces represents a UK company

Top 7 participating countries Participation by company size Sector breakdown: UK

Commodities
Multinational

61% Other Financial

Germany

United Kingdom

SMEs Services
China

USA

39%
France

Turkey
India

Hospitality
Pharmaceutical
Beverages

ICC G20 CEO Advisory Group Overview

Utilities
Automotive North MENA
Telecommunications
America

44%
Pharmaceutical
Chemicals Europe 6%
Commodities
9%
Other
East Asia & Pacific
Construction
9%

Food & Drink

Energy
South
America
29%
Entertainment of which are UK
members
Financial Services

08 iccwbo.uk

The city is a
European asset
W
hen Queen Victoria opened
Londons spectacular Crystal
Palace at the Great Exhibition
of 1851 the UK was without a
doubt the worlds leading industrial power,
responsible for more than half of the worlds
production of iron, coal, and cotton cloth
staples of the industrial revolution. This
dominance in manufacturing and
industrialisation continued for many decades.
Even in the 1970s manufacturing contributed
more than 25% of the UKs GDP. While
we still lead the world in some areas of
manufacturing, particularly high-tech
industries such as aerospace, the UKs most
important commercial sector is now far and
away financial and professional services.
The City of London has been a global
centre for business for hundreds of years,
constantly reinventing itself to reflect the
needs of the country and the world. In the
19th century the Pool of London was the
busiest port in the world, with thousands
of ships docking at Londons wharves every
month to accommodate the booming
industrial trade between the workshop
of the world and the rest of the globe.
Following the decline in British
manufacturing the City has developed itself
as a leading centre of finance to service not
only British, but also global, demands for
financial and professional services. The City
is still transforming itself to stay with the times,
adding a vibrant fintech industry to the other
sectors to which we are world leading, such
as legal services, insurance and shipbroking.
In todays world, financial services
touch our lives every day, with banks and
investment firms protecting our money and
helping us save for the future. The UKs
investment and savings industry has been
so successful that the average pensioner
household no longer relies on state benefits
for the bulk of its income. Our well-
established insurance industry ensures that
there is ample competition for consumers,
allowing best value to be achieved. Pension
funds come from across Europe and the
world to invest in London and access
these deep pools of capital.
Business Opportunity
Authored by: Alderman Dr Andrew Parmley
UK banks cater for around four million
British small businesses, helping to finance
expansion and investments which bring jobs
and other opportunities to people across the
UK. Similarly, large companies from across
the world come to London to list their
companies on our stock market and raise
money to fund expansion and growth
which benefit millions of people across the
developing world. Londons status as the
worlds leading financial hub has contributed
to it becoming the dominant centre for
green finance and foreign exchange.
This success has been built on the UKs
open and outward looking nature, welcoming
talented individuals from around the world,
and always seeking out overseas business
opportunities. In the Square Mile we are
keen for this to continue. Maintaining easy
access to our most important market,
the European Union, will be extremely
important for maintaining economic
growth across the UK.
There needs to be a thorough debate
on the issues that Brexit brings up, with
businesses carefully assessing the impact
of the alternatives and feeding those
assessments into the upcoming negotiations.
The City is a European and global asset,
and the imminent negotiations should fully
recognise this, , not in order to protect the
City in the UK but rather to protect jobs,
tax revenues and the efficient functioning of
the economy across the UK, Europe and the
world. Keeping the financial services industry
in the UK strong will benefit the worlds
developing and developed countries alike.
The City will be hoping that the leaders
of the EU 27 will fully acknowledge that
and that it will be reflected in the eventual
outcome of the Brexit negotiations.
Alderman Dr Andrew
Parmley took office as
the 689th Lord Mayor on
11 November. During his
year in office Andrew will
be visiting dozens of key target partner
countries, such as Morocco, Turkey,
Pakistan, and China at the head of
City business delegations.
Andrew was born in Manchester and
grew up in Lancashire. He was educated
at Blackpool Grammar School, the Royal
Academy of Music, at Manchester and
London Universities and Jesus College,
Cambridge.
He is the City representative for the
Prime Ministers Apprenticeship Delivery
Board (which aims to create three million
apprenticeships over the next four years)
and is the Principal of Senior School of
The Harrodian School in West London.
09
ICC United Kingdoms Official G20 Publication
G20 Introduction
Authored by: Philip Kucharski
Introduction to the ICC G20
CEO Advisory Group
T
he G20, with its mixed
membership of advanced and
emerging economies, has become a
powerful force for shaping the rules
of engagement for competing in global
markets. It is a natural focal point for ICCs
unique international policy stewardship.
This mandate derives from ICCs historic
responsibility as the voice of world business
to convey policy priorities to government
leaders. The first time we sat down with the
G7 was in Houston in 1990, when American
President George H. W. Bush called on ICC
to share business concerns and present
policy priorities. That tradition has
continued for the past 27 years.
With this understanding, ICC formed
the ICC G20 CEO Advisory Group to
spearhead global business engagement
and communicate high-level business
perspectives to G20 Leaders.
10 iccwbo.uk
The Group is composed of approximately
35 CEOs who are actively concerned with
the G20 agenda and keen to engage with
peers, set priorities and speak out on the
issues most vital to business. They work
to pursue world business priorities on
an ongoing basis.
The ICC G20 CEO Advisory Group
has been an active participant in the
Business-20 (B20) process. Starting
with the first official G20 Business Summit
in Seoul in 2010, business, operating
collectively as the B20, has come together
every year at the invitation of each successive
host G20 government, to develop business
priorities and present policy
recommendations to G20 Leaders.
More recently, ICCs engagement in the
B20 Germany process started immediately
after the Chinese Hangzhou Summit, with
members of the ICC G20 CEO Advisory
Group participating in each of the seven
taskforces and cross-cutting working groups.
As a result of our collaboration, B20
Germany invited ICC to serve as Business
Network Partner for the following task forces
and working groups: Trade & Investment;
Energy, Climate & Resource Efficiency;
Digitalization; Responsible Business
Conduct & Anti-Corruption.
ICC has served as a strategic partner
to country hosts in Korea, France, Mexico,
Russia, Australia, Turkey, China and
now in Germany where ICCs global CEO
members have held leadership positions in
many of the B20 policy task forces. ICC
experts and company deputies have also
contributed global business expertise and
contributed to building continuity between
Summits and G20 presidencies.
In addition to the set of issue-specific
policy papers/recommendations developed
for each B20 Summit, the ICC CEO Advisory
Group also produces associated reports that
strengthen business messages to G20 leaders:
The ICC Open Markets Index (OMI)
a biennial report that ranks 75 countries
notably G20 countriesaccording to
indicators of market openness to trade
and investment.
The ICC G20 Business Scorecard the
Scorecard tracks the G20s performance
year-over-year in taking into account
business recommendations and moving
them forward. The Scorecard provides a
useful indicator of the G20s responsiveness
to business priorities, as well as a tool for
business leaders to improve their ability to
tailor recommendations and engagement
with the G20 from Summit to Summit.
As we approach the Berlin B20 Summit
in May, ICC is already looking ahead to
Argentinas G20 Presidency, where ICC is
working closely with ICCs national committee
in Argentina -that brings together the major
Argentine business organisations- to support
the Argentine business communitys
preparations for B20 Argentina.
As always ICCs priority through the ICC
G20 CEO Advisory Group will remain focused
on ensuring that the decisions by G20 leaders
reflect global business priorities, in support
of open economies and inclusive growth.
I wish to take this opportunity to invite
business leaders interested in contributing
to the global business voice to the G20 to
join the ICC CEO G20 Advisory Group. At a
time when the benefits of open economies
and societies are being challenged by
protectionism and economic nationalism,
it is important now more than ever that
business leaders worldwide play a leading
role by engaging in the work of the G20.
ICC HAS SERVED AS A
STRATEGIC PARTNER TO
COUNTRY HOSTS IN KOREA,
FRANCE, MEXICO, RUSSIA,
AUSTRALIA, TURKEY, CHINA
AND NOW IN GERMANY
WHERE ICCS GLOBAL CEO
MEMBERS HAVE HELD
LEADERSHIP POSITIONS IN
MANY OF THE B20 POLICY
TASK FORCES.
Philip Kucharski is an
international development
professional with extensive
senior-level experience in
managing multi-cultural
projects and networks.
Previously Head of Business Development
and Global Networks, Mr Kucharski
returned to ICC in Jan 2015 as COO, in
charge of the operational management of
the organization reporting to the Secretary
General. This new hands-on role brings
a fresh approach to ICCs structural,
operational and commercial development
with a new global management team.
Formerly Market Director EMEA for The
Economist newspaper and Director of
International Press for the Presstalis
Group, Mr Kucharski has more than 20
years experience in building media
brands, exploring new markets and
managing international development
projects.
11
ICC United Kingdoms Official G20 Publication
Interview
60 second interview:
Anny Tubbs:
B20 priorities
Anny Tubbs, Chief Business Integrity Office,
Unilever, discusses her contribution towards
the B20 work in her capacity as co-chair of
the Cross-Thematic Group on Responsible
Business Conduct and Anti-Corruption
highlighting the importance of engaging
in the B20.
Q: Firstly, what is your role as co-Chair
of the Cross-Thematic Group in B20?
A: I was delighted that Klaus Moosmayer
of Siemens invited me to join as a co-Chair
under the German presidency. All in all, we
represent diverse geographies and business
perspectives. We have had the opportunity to
work closely with a proactive co-ordination
team and other Group members to select
themes that can strengthen our dialogue
with the G20.
It is vital for business to find effective
ways to collaborate with peers, civil society
and the public sector drawing on existing
learnings and best practices to make
responsible growth commonplace. Our
approach builds on previous B20 and G20
work, and reflects the goals of the German
G20 Presidency calling out the importance
of Resilience, Responsibility and
Responsiveness.
Q: In your view why should companies
engage in the G20 and the B20, and
how exactly can they do this?
A: Regulatory requirements and ethical
standards are not new to business, but
expectations and aspirations for business
to lead by example have increased. This
stems from a mix of factors, including the
proliferation of new laws, greater regulatory
TRANSPARENCY IS THE NEW NORMAL, BUT SO IS
INFORMATION OVERLOAD. WE ALL NEED RELIABLE,
USER-FRIENDLY INFORMATION ON THE LATEST
DEVELOPMENTS. A CLEAR BENEFIT OF ENGAGING IN
THIS GROUP HAS BEEN LEARNING ABOUT NUMEROUS
INITIATIVES TO FIGHT CORRUPTION AND PROMOTE
RESPONSIBLE BUSINESS CONDUCT IN DIFFERENT
PARTS OF THE WORLD, AND TO MEET MANY OF
THE THOUGHT LEADERS BEHIND THESE.
12 iccwbo.uk
and media scrutiny, a volatile overall
environment, and greater appetite for
purpose-driven business models. It is
important to align on what issues need
tackling as a priority, and the roles
business can play.
Q: What values do companies
get from engaging in a task force?
A: Transparency is the new normal, but
so is information overload. We all need
reliable, user-friendly information on the
latest developments. A clear benefit of
engaging in this Group has been learning
about numerous initiatives to fight corruption
and promote responsible business conduct
in different parts of the world, and to meet
many of the thought leaders behind these.
The Policy Paper provides a useful recap,
in addition to recommendations to the G20:
businesses can follow up selectively with
other platforms, depending on their needs.
The B20 task forces also allow companies
to provide a reality check on what
businesses require in practice to innovate and
grow on a level playing field. In our Group,
honest conversations about impediments to
embedding a culture of integrity including
demand side corruption concerns and
collective action took place in a spirit of
constructive dialogue.
Q: Based on the B20 Policy Paper,
Promoting Integrity by Creating
Opportunities for Responsible Business,
what are the most important aspects for
the B20 and G20 to consider this year?
A: Our recommendations to the leaders
of the G20 countries revolve around three
topics, namely establishing beneficial
ownership transparency, recognising
compliance efforts, and enhancing
Responsible Business Conduct in
infrastructure projects.
Each recommendation encompasses three
policy actions for the G20 members. A central
message is that the regulatory framework
must allow companies to see the benefits
of proactively embracing opportunities for
responsible business conduct. We hope that
our recommendations will be used to ensure
existing and future initiatives get strong
business support. The work must continue.

Q: How do these priorities translate

to the global level in line with the global
anti-corruption movement, and what
can UK companies do?
A: We are keen to accelerate collective
action and a responsible growth mind-set.
Our B20 Group has called for a globally
coherent approach to the topics covered
in its Policy Paper. UK companies are well
placed to contribute to ongoing work in
this area, both nationally and internationally.
They can play an important role in capacity-
building and holding governments to
account, so combined efforts bring about
real change and benefits, and responsible
business models can flourish.

Q: Why is it important for companies to

engage with organisations such as ICC?
A: The G20, and likewise the B20, touch
upon an impressive array of topics across
annual cycles. Whatever lies ahead, we
cannot be passive bystanders. ICC is a valued
interlocutor and strong voice of business
both at and in between G20/B20 meetings
and Presidencies. It has an impressive track
record when it comes to rallying business
leaders who want to make a difference, and
working inclusively with others to elaborate
valuable tools and guidance. There is more to
be done and I look forward to seeing how the
ICC help champion vibrant, sustainable and
inclusive business initiatives.

Anny Tubbs is Chief

Business Integrity Officer
at Unilever since 2015, after
joining Unilever in 2008. In
2017, she has contributed
to the work of the B20 in her capacity as
co-chair of the Cross-Thematic Group on
Responsible Business Conduct and
Anti-Corruption.

13
ICC United Kingdoms Official G20 Publication
Trade
Authored by: John Carroll
The strong case for trade
John Carroll, Chair of the International
Chamber of Commerce (ICC) United
Kingdoms Trade and Investment Policy
committee, explains why a stronger, more
united voice for trade is needed.
T
rade drives global economic growth,
helps boost industry competitiveness,
creates jobs and develops services
that communities rely on.
Trade has helped reduce worldwide poverty
levels at an astonishing rate: according to the
World Bank, China alone has raised 700
million people out of poverty as a result
of trade and openness in the last 40 years.
Yet the role of trade in building economies
and societies is often overlooked. As anti-trade
rhetoric and support for protectionist policies
continues to spread worldwide, policymakers
and business leaders must work harder to
emphasise the benefits of free trade globally.
14 iccwbo.uk
Trade backlash?
You dont have to look far to find an emerging
backlash against free trade. On both sides of
the Atlantic, the support for protectionism
is becoming increasingly evident.
In the UK, we traditionally hold a more
positive view of trade than our European
friends. Prime Minister Theresa May has
repeatedly spoken of a global Britain, and
a YouGov survey in 2015 found that when it
comes to the specific benefits or drawbacks
of free trade agreements, 50% of the people
surveyed believe that free trade policies are
beneficial for UK business. That said, signs of
growing protectionism are certainly emerging.
Red tape
Such attitudes can have real-world harmful
effects. Free trade agreements create jobs and
prosperity. They encourage foreign investment
and lead to economic growth, as we have
seen by the prediction that the recent Trade
Facilitation Agreement (TFA) by the World
Trade Organisations has the potential to boost
global trade by up to $1 trillion per year.
Those who advocate protectionist policies
do so with the belief that international trade
is harmful to jobs. The data simply does not
support this contention. Roberto Azevdo,
Director General of the WTO, said that four
out of five job losses in industrialised
countries are, in fact, due to automation and
efficiency measures, rather than competition
from foreign labour.
International trade actually creates jobs a
European Commission report in 2015 found
that over 31 million jobs across Europe were
supported by EU exports to the rest of the world.
Trying to hinder the development of free
trade agreements will stunt progress.
Furthermore, adding red tape can be
crippling to commerce, particularly affecting
smaller companies, where even a 2-3%
increase in trade costs could mean the
difference between attracting or losing foreign
investment, not to mention the difference
between finding success or going bust.
Trickling down
Policymakers and business leaders worldwide
must therefore be vocal about the benefits for
trade and come together whether representing
local/national government, a large multi-
national corporation, or the smallest
company in the middle of the countryside.
Chambers of commerce in particular play a
crucial role in educating local communities
about the benefits of international trade and
should ensure they resonate across the UK.
To show how these benefits can work for
all, policymakers must ensure more equitable
distribution of wealth. Firstly, the regions
need investment. And, here in the UK, there
has been some progress. The Midlands
Engine strategy, for instance, launched in
March 2017 by the Chancellor of the Exchequer,
will focus on building skills, enterprise and
innovation to encourage trade with the global
market. 392 million will be available to
invest in the Midlands from the Local Growth
Fund. Furthermore, the Midlands Investment
Hub, which is part of the Department of
International Trade, has been launched to
manage all trade enquiries coming from the
region. Similar, welcome progress is being
seen in the Northern Powerhouse, too.
Second, we need a regulatory
infrastructure that supports business more.
The UK has access to the highest level of
technology innovation and e-commerce, but
our regulations are not necessarily keeping
pace. One example is Blockchain an
opportunity we cannot harness to its full
potential the right regulatory standards are
place. Access to first-class technology and
e-commerce could transform the UK business
landscape and internationalise Small to
Medium-sized Enterprises (SMEs) one
reason why ICC is developing a policy
roadmap for digitisation and my own
organisation, Santander, has developed an
innovative online Trade Portal for customers
across our global network.
Of course, communication and
collaboration is also key. The World
Chambers congress is an ideal platform for
connecting the global with the local. Moreover,
global organisations such as ICC, and
specifically the ICC United Kingdom Trade
and Investment Committee, must work
closely on a national level with local chambers
to hear the concerns of local business, and
communicate them on the global stage.
Finally, if businesses of all sizes, across
all sectors, and in any location across Britain
want to feel the benefits of trade, they must
get involved with policy formation. Currently,
the B20 the G20 group on business only
sees the involvement of 17 UK companies.
And none of them come from North of the
M25. If the UK companies that arent being
heard want to be, they need to make sure
theyre speaking on the right platform. It is
crucial they engage with local chambers of
commerce, global organisations, such as ICC
that can voice their concerns on an
international stage, and with the B20.
The fight against protectionism is necessary
and may be difficult. But in order to stand
a chance of winning, we need to get
everyone involved.
John Carroll is Head of
Product Management &
International Business
Throughout his 17 years with
the Group, John has held a
diverse range of senior roles for Santander
across the Markets, International
Payments and Trade space, and has
extensive experience in the Asian, Latin
American, European and the Middle
Eastern markets.
Since May 2015, John is leading Santander
Corporate & Commercial Solutions &
Insight teams, responsible for strategy,
customer insights, solutions and
specialists sales such as transactional
banking, international and working
capital solutions.
Prior to that he has successfully led
the International division within
Santander Corporate & Commercial
Bank since September 2013, delivering
a unique proposition in the UK market,
which was recently named the Best
International Solutions Provider at the
Business Moneyfacts awards 2015. This
key differentiator has proven to be a
successful way to attract new clients to
the bank, which not only delivers growth
records for International but also allows
the bank to capture their domestic
business too.
John was previously the Head of the
Financial Institutions Group (FIG) in
Santander UK where he significantly grew
the FIG franchise in the three years prior
to his move to International.
15
ICC United Kingdoms Official G20 Publication

Global Trade
Authored by: Chris Southworth

Business priorities
Tackling protectionism is a top priority if the UK wants
to be successful outside the EU single market. Chris
Southworth, Secretary General of the International
Chamber of Commerce (ICC) United Kingdom, reflects
on the ICCs World Trade Agenda Day in London, which
provided an opportunity to discuss the implications
for business and policymakers.

T
he International Chamber of
Commerces (ICC) World Trade
Agenda Day in London last week
couldnt have come at a better time,
taking place shortly after the G20 finance
ministers dropped the anti-protectionist
pledge and before the triggering of Article
50 to leave the EU.
Tackling protectionism has never been
more important for the UK as it prepares the
ground to leave the EU. Trade has played
a vital part in the response to many of the
challenges we face today poverty, job
creation, mass migration and climate change,
for instance, highlighted ICCs Secretary
General, John Danilovich. Protectionism
poses a real danger to this progress.
Protectionism when governments create
barriers to international trade and investment
in favour of national priorities generates
uncertainty and undermines business
confidence.
The role of business is to create wealth
for economies and societies, explained
Richard Meddings, Chair, Audit Committee,
Deutsche Bank. But business needs a degree
of certainty in order to be confident in its
forecasts, strategic choices and investment
decisions.
Implications for business
So what is causing the frustration and anger
that is driving nationalism and protectionism?
Harold McGraw III, Chairman Emeritus of
S&P Global, and Honorary Chairman of ICC,
suggested slow economic growth was one of
the main forces behind protectionism in the
US: US GDP has not risen above 2% for the
past eight years. As a result, weve seen a lot
of anger and anxiety over the future,
which has contributed towards a middle
class revolt.
Surprisingly, said Karien van Gennip,
CEO, ING Bank France, it is often the
middle classes those who have gained
from globalisation who fear they have
much to lose and then turn to nationalism
and protectionism.
Protectionism in the 21st century
It is important to understand what
protectionism looks like in the 21st century.
According to John Denton, CEO Corrs
Chambers Westgarth and ICCs next global
Chairman: One of the many forms which
protectionism is now taking is in denying
access to finance for instance, denying
opportunities to access the US financial
system.
We have to mitigate the adverse effects
of protectionism on trade and investment
and encourage policymakers to be more
disciplined, Phillipe Varin, Chairman, Areva,
added. We cannot be ambiguous in our
communication. We need to state if you
dont stop being protectionist then you risk
creating conflict.
With rapid technological change, it is
crucial to mitigate the impact technology can
have in displacing jobs. Trade is often blamed
for job losses, but, more often than not, it is
new technology that creates faster ways of
doing things. Governments must invest
harder in skills so that people can adapt
when a new technology arrives.
30% of todays workforce will be at work
in 2050, Baroness Shriti Vadera, Chairman,
Santander UK, commented. People need to
be equipped with the appropriate skills.
We need collaboration and a joint public-
private policy approach. The answer is
effective training and reskilling.
Remaking the case for trade
Throughout the event, one message
was clear: the international business
community has a clear role in the fight
against protectionism. Business can
contribute to addressing the issue of the
winners and losers from globalisation.
As a business, being aware of the
political rhetoric is not enough, said van
Gennip. Business needs to help assess how
to facilitate wealth distribution and inclusive
globalisation. It is not just the responsibility
of governments; we must speak up and
be a partner in the debate.
Panellists agreed that the business
community has to remake the arguments
for trade, while also earning back trust
in society.
Those who favour open markets and
societies must defend the reasons why,
said James Bacchus, former US Congressman
and Chair of ICCs Commission on Trade
and Investment.
The business community also needs to
communicate beyond normal channels.
As Sir Michael Rake, Chairman at ICC United
Kingdom, highlighted: We need to talk to
people beyond our immediate vicinity
outside of this room in order to remake
the argument for trade and help rebuild
trust in institutions.
Arevas Varin suggested that the
business community should encourage G20
members to take a strong anti-protectionist
stance at this years G20 Hamburg summit.

16 iccwbo.uk
 AS THE UK PREPARES TO COME OUT OF THE EU, THE
GLOBAL TRADING ENVIRONMENT IN THE REST OF THE
WORLD WILL BECOME EVEN MORE IMPORTANT. IT IS THE
INTERESTS OF GOVERNMENT AND BUSINESS TO WORK
TOGETHER AND MAKE SURE THIS ENVIRONMENT IS
OPEN AND FREE TO TRADE.
Collaboration between business and
government is crucial in finding the best
solution for more growth and jobs exactly
why the B20 and G20 are most effective
when both forums work closely together.
This is precisely why the ICCs Trade
Matters campaign aims to readdress the
public narrative around global trade and
explain why protectionism is no path to
progress. John Danilovich stated that the
ICC G20 CEO Advisory Group will set out
an effective outreach programme to all G20
governments, to guard against any roll-back
of existing efforts to keep markets open.
As the UK prepares to come out of the EU,
the global trading environment in the rest of
the world will become even more important.
It is the interests of government and business
to work together and make sure this
environment is open and free to trade.
All parties at the discussion agreed that
protectionism must be tackled. It creates
barriers to trade and undermines business
confidence. Governments also need to invest
much harder in skills so people feel more
able to adapt and change with the arrival
of new technologies.
It was also agreed that businesses have
an important role to play in rebuilding trust
with society, remaking the case for trade
and finding new, more inclusive ways
communicate.
Above all, it is in everyones interests for
government and business to work together
and find sustainable solutions.
ICCs World Trade Agenda Day was held at
K&L Gates in London on the 23rd March.
The next World Trade Agenda Day will
be in Nairobi, Kenya in July.
Chris Southworth is
Secretary General at the
International Chamber
of Commerce UK. Prior to
joining ICC he was Executive
Director for Global Partnerships, at the
British Chambers of Commerce (BCC),
Head of the International Chambers
of Commerce Unit at UK Trade and
Investment and a Senior Policy Advisor
to Lord Heseltine for his independent
review of UK competitiveness.
In 2011 he helped set up the mid-size
business export programme at UKTI
and was a Senior Policy Advisor for
the 2011 Government Review of Mid-
Size Businesses. Former roles have
encompassed deregulatory policy at
Better Regulation Executive, social
enterprise policy at the Department for
Business and stints in a local strategic
partnership and the charity sector.
17
ICC United Kingdoms Official G20 Publication

Trade
Authored by: Marianne Schneider-Petsinger

Rising anti-trade
A
t the G20 summit in Hamburg,
addressing rising protectionism
and the increasing doubt about the

sentiment in
benefits of free trade will be on the
agenda. The outcome of the US election in
particular has raised concerns that President

US and Europe:
Trumps protectionist policies could represent
a tectonic shift for global trade. Under Trump,
the US has withdrawn from the Trans-Pacific

The drivers and

Partnership (TPP), the future of the North
American Free Trade Agreement (NAFTA) is
uncertain, plans for the Transatlantic Trade

possible responses
and Investment Partnership (TTIP) are in the
freezer, and trade frictions with China are
likely on the horizon. But free trade was
in trouble even before Trumps win. In the
presidential race, Hillary Clinton and Bernie
Sanders also opposed TPP. Moreover,
Europe is witnessing its own trade backlash
illustrated by massive demonstrations
against TTIP and the Canada-EU trade deal.
Despite the negative debate on trade
during the US presidential election, a month
into Trumps presidency, 72% of Americans
viewed trade as an economic opportunity.
But support for trade in general does not
equate to support for specific trade
agreements: 44% of Americans say that TPP
would be a bad thing for the US while only
35% view it favourably. In Europe, slightly
more than half of all EU citizens are for TTIP.
But in some member states opposition is very
high. In Austria and Germany, 72% and 53%
of the population say they are against a
US-EU trade deal.

What causes the trade backlash?

A focal point of Trumps campaign was
bad trade deals and the US trade deficit that
he blamed for the loss of US manufacturing
jobs and lower wages. Though past trade
agreements such as NAFTA, and the
inclusion of China into the global economy,
have hurt workers in certain US regions
and sectors, trade is not the main culprit.
Technological change is a much more
important factor.
In recognition that trade causes some
displacement in the labour market, US Trade
Adjustment Assistance offers support to those
adversely affected. However, the programme
has largely been ineffective given stringent
eligibility criteria and high costs. This
undermines efforts for further trade
liberalisation.
Unfair trade practices by other countries
such as dumping, subsidies, and currency
manipulation were also highlighted during
the US election. China, for instance, has used
unfair practices to build up excess capacity
in industries like the steel sector, which
has contributed to job losses and lower
wages in some domestic industries.
Compared to American fears about the
impact of trade on the labour market,

18 iccwbo.uk
European concerns especially regarding
TTIP centre on the potential lowering of
standards in sensitive areas such as food
safety or data privacy. Trade negotiators have
repeatedly stressed that standards and the
governments right to regulate would not be
undermined. But since trade agreements are
no longer mostly about reducing tariffs, and
increasingly address regulations and standards,
the latest negotiations have come under
much greater public scrutiny.
In the publics eyes, recent trade negotiations
have been conducted in secret and favour the
interests of big business. To address this, the
EU has made efforts to increase transparency
and engage with civil society. Trade negotiations
need a certain degree of confidentiality,
but given the focus of trade negotiations on
regulations and standards, there is a stronger
case for wider input and public participation.
In the European debate on TTIP, provisions
regarding investor-state dispute settlement
(ISDS) were another contentious issue.
In response to public opposition, the EU
launched a public consultation on this
subject and has since put forth proposals for
a permanent multilateral investment court.
A forward-looking trade agenda
Against the backdrop of growing anti-trade
sentiment, trade policymakers should
continue to convey the benefits of trade
while at the same time acknowledging valid
concerns and shortcomings of the current
trading system. To move the trade debate
forward, there needs to be an objective
discussion on the impact of trade agreements
on standards, the need for transparency, and
the role of investment protection in trade
agreements. Workers in some sectors face
real burdens stemming from trade. Thus,
strengthening trade adjustment assistance
IN THE PAST, THE G20 HAS BEEN A KEY FORUM
FOR THE WORLDS LEADING ECONOMIES TO SPEAK OUT
AGAINST PROTECTIONIST MEASURES. BUT WITH THE
TRUMP ADMINISTRATION AT THE TABLE, THE G20 MIGHT
WATER DOWN ITS PLEDGES TO PROMOTE OPEN TRADE.
THIS WOULD BE THE WRONG TURN GIVEN THE
CURRENT TIDE OF ANTI-TRADE SENTIMENT.
and addressing unfair trade practices is
crucial. But even more important is the
development of a strategy that looks beyond
the narrow trade lens and promotes skills-
training and life-long learning. As part of
a broader communications strategy, the
strategic benefits of trade deals such as
providing economic leadership, setting the
rules of the road, and cementing relationships
with foreign nations need to be emphasised
more. Though President Obama made the
case for TPP by highlighting the strategic
aspects of the deal, the arguments did not
gain much traction with the public.
In the past, the G20 has been a key forum
for the worlds leading economies to speak
out against protectionist measures. But with
the Trump administration at the table, the
G20 might water down its pledges to promote
open trade. This would be the wrong turn given
the current tide of anti-trade sentiment.
Marianne Schneider-
Petsinger is geo-economics
fellow in the US and
Americas Programme at
Chatham House, where
she is responsible for
analysis at the nexus of political and
economic issues. Previously, she managed
the Transatlantic Consumer Dialogue
an international membership body
representing consumer organizations
in the EU and US. She has also worked
on transatlantic issues at the American
Institute for Contemporary German
Studies and at the Ministry of Economic
Affairs in the German State of Thuringia.
Marianne completed her graduate studies
focusing on international trade and
finance at the Fletcher School of Law and
Diplomacy (Tufts University) and the John
F Kennedy School (Harvard University).
19
PROMOTING OPEN, CROSS-BORDER
TRADE AND INVESTMENT DURING
BREXIT NEGOTIATIONS
Multilateralism remains the best approach to promote
open, cross border trade and investmentpromoting
non-discrimination, minimising red tape and providing
a level playing field through a single set of global rules.
The UK-EU relationship plays an important role in
an integrated world economy supporting complex
trade and investment relationships and supply chains.
A large scale free trade agreement can support a
multilateral approach if negotiations are conducted
within the framework and rules set out by the World
Trade Organisation. The following statements are
intended as a useful communication tool to support
international businesses during Brexit negotiations.

1
CERTAINTY ON THE BIG TICKET ITEMS
Business needs early certainty regarding the treatment of labour, access to finance and the
free movement of goods and services across Europe.

2
ORDERLY ROAD MAP FOR BUSINESS
A transparent and coherent road map is needwed that sets out how the UK and EU will
interact post-Brexit regarding the legal framework for trade, customs, tax, data, rules of
origin, intellectual property, competition, treaties, e-commerce, disputes etc.

3
SOLUTIONS THAT WORK FOR ALL PARTIES
Parties should undertake an inclusive approach that meets the needs of all affected
partiesinvestors, importers, exporters, sectors, companies of all sizes and jurisdictions,
unions and civil society.

4
PHASED IMPLEMENTATION
A phased implementation period would provide a pragmatic solution to minimise
unnecessary disruption and risk whilst giving sufficient time to finding the right long-term
solutions to the more complex issues.

5
SEAMLESS REGULATIONS AND STANDARDS
A phased implementation period would provide a pragmatic solution to minimise
unnecessary disruption and risk while giving sufficient time to find the right long-term
solutions to the more complex issues.

6
NO INCREASE IN RED TAPE AND COST
Economic growth remains the global priorityaction to ensure there will be no increase
in red tape and cost will generate confidence and ensure small companies are not
disproportionately affected.

7
REGULAR DIALOGUE
Policy makers and negotiators should undertake regular and intensive consultations with
businesses of all sizes and sectors to ensure all voices are heard.

This set of statements has been provided by the ICC Brexit Advisory Group, a
group of international business experts and national offices drawn from across
brexit@iccwbo.uk
the ICC network and coordinated by ICC United Kingdom. #brexit
 ICC United Kingdoms Official G20 Publication

Global Trade
Authored by: Baihas Baghdadi

The risks to global trade

posed by protectionist values
There are three ways in which protectionism
may disrupt the current global trade
landscape says Baihas Baghdadi, Managing
Director, Global Head of Trade & Working
Capital at Barclays.

T
he rise of populism in developed
countries presents a risk to the
global trade landscape, as citizens
in countries affected by the financial
crisis draw links between unemployment
and inequality, and globalisation and free
trade policies.
With this in mind, populist leaders are
using protectionist rhetoric to win public
support. They are promising to bring back
the jobs that have been outsourced to
emerging markets over many years and to
restrict the use of cheap labour in foreign
countries, with a view to driving up
wages at home.
While it is possible to see the logic in
this strategy, it is nevertheless a strategy
that is fraught with risk for the global
trade landscape. There are three areas, in
particular, where protectionism is posing
a threat to the stability of the world
trading environment.

Supply chain disruption

Firstly, protectionism could disrupt the
global supply chain of goods and services.
Multinational companies rely on securing
raw materials and labour from emerging
markets to produce goods that that they can
sell at a competitive price in the developed
markets. Many of the products we use
everyday are manufactured in a wide range
of countries and, if companies are forced to
reorganise their supply chains to comply
with protectionist policies, it could become
more expensive for them to be in business.
As a result, they will either have to take
a hit to their profitability or pass on price
hikes to their customers.

WHILE IT IS POSSIBLE
TO SEE THE LOGIC IN
THIS STRATEGY, IT
IS NEVERTHELESS A
STRATEGY THAT IS
FRAUGHT WITH RISK
FOR THE GLOBAL
TRADE LANDSCAPE.
21
ICC United Kingdoms Official G20 Publication

Global Trade

Furthermore, switching the location

of manufacturing or customer services
facilities is a complicated process that
requires planning, investment of time and
money, and access to suitably skilled talent
pools. The process of outsourcing activities,
particularly to emerging markets, has taken
place over the course of three decades.
There is no reason to suppose that a reversal
of this process will happen any quicker.
It is also worth reflecting on the likely
impact that supply chain disruption will have
on the economies and societies of emerging
markets. If jobs are taken away, communities
may be plunged into poverty, leading to
further social unrest and rising geo-
political tensions.

Bribery and corruption

The second major threat that is posed
by protectionism relates to bribery and
corruption. In recent years, lawmakers in
many markets have increased pressure on
companies to prevent bribery. For example,
the UKs Bribery Act 2010 makes
organisations criminally responsible for
bribes made on their behalf, regardless
of whether they knew about them.
While this crackdown on bribery and
corruption is absolutely right, it has changed
the competitive landscape in some markets
where multinationals operate. Some may
have lost out on projects, not because of the
quality of their offering, but because their
rivals were not subject to the same
legislation.
If protectionism becomes more
common, it is possible that some countries
which have been socially responsible about
applying anti-bribery laws until now may
decide to relax their high standards in order
to help their businesses to win work.

IT IS IMPORTANT TO
REMEMBER THAT TRADE
BARRIERS CAN LEAD TO
UNDESIRABLE BEHAVIOUR
AND THAT EXPORTERS
ARE RELIANT ON IMPORTS
TO MANUFACTURE
PRODUCTS. TRADE DEALS
SHOULD ENSURE THAT
HIGH STANDARDS ARE
MAINTAINED AND THE
NEEDS OF BOTH EXPORTERS
AND IMPORTERS ARE
BORNE IN MIND.
22 iccwbo.uk
 At the same time, if corporates are
struggling with their profitability due
to supply chain disruption, they may be
tempted to chase business in riskier markets
as they pursue their trade agenda, in order
to protect and diversify their business.

The challenge for smaller businesses

Finally, the internet has sparked the
proliferation of thousands of digital
businesses run by micro entrepreneurs
who sell goods and services all around the
world. If they face higher barriers to entry
in the markets they want to sell to, they
could quickly find themselves going
out of business.
Ultimately, protectionism does not
look to be the answer to the problems of
unemployment and inequality. I believe it
will probably only serve to aggravate those
problems further by introducing high
inflation and thus exacerbate social tensions.
It is important to remember that trade
barriers can lead to undesirable behaviour
and that exporters are reliant on imports to
manufacture products. Trade deals should
ensure that high standards are maintained
and the needs of both exporters and
importers are borne in mind.
It seems ironic that just as we are on
the cusp of being able to make the trade
process more efficient than ever before
thanks to blockchain technology, the barriers
to commerce look set to rise. Letters of credit
will soon be completed within hours rather
than days, but will companies even need
them if they are chained to their domestic
markets? It is critical that policy makers
consider these impacts.

Baihas Baghdadi heads

Barclays Trade & Working
Capital business globally.

He has over 20 years of

banking experience in
transaction banking and joined Barclays
in 2008 as head of Cash Management &
Trade Finance Spain. Baihas subsequently
held various leadership roles and ran the
Trade & Working Capital business outside
the UK before his promotion in 2015 to
the global head role.

Before Barclays, Baihas worked for

Fortis Bank as Head of Trade Services and
Specialised Financial Services and at Arab
Bank in Europe in corporate banking.

Baihas holds a Masters in Stock Exchange

& Corporate Finance and a BA in
Economics & Business Administration.

23
ICC United Kingdoms Official G20 Publication
Growth
Authored by: Rain Newton Smith
UK Growth Forecast
N
ow that were a few months
into 2017, it seems like a good
time to look back over the past
year, and take stock. Many words
can be used to describe 2016: interesting,
challenging, unpredictable. Some are a little
too blue for the page. Either way, its no
exaggeration to state that the EU referendum
has re-defined the UKs political and
economic landscape.
Most analysts had expected a near-
instantaneous hit to the economy after the
vote. But looking through the noise in data
since last summer, there seems to be very
little sign of a Brexit-related hit to the real
economy. Indeed, the UK continued to grow
robustly over the second half of 2016 and
the CBIs business surveys point to similarly
solid growth over the first three months of
this year. However, 2017 will be the year
where we start to see some of the economic
repercussions come through. In an unusual
display of unanimity, economists are widely
using one word to describe the year ahead:
uncertain.
By just how much will economic growth
ease? The CBIs last forecast (published in
November) predicted growth of 1.3% in
2017, following a (downwardly revised)
expansion of 1.8% last year, and then a
further nudge down to 1.1% in 2018. Those
are lacklustre numbers for the UK while
the recent resilience in the economy may
push our forecast higher, the broad message
of slower growth ahead remains intact.
A large driver of that is softer consumer
spending. Households have continued to
shore up the economy since the vote, with
consumer spending growing at similarly
A LARGE DRIVER OF THAT IS SOFTER CONSUMER
SPENDING. HOUSEHOLDS HAVE CONTINUED TO SHORE
UP THE ECONOMY SINCE THE VOTE, WITH CONSUMER
SPENDING GROWING AT SIMILARLY STRONG RATES TO
THE LAST COUPLE OF YEARS. HOWEVER, INFLATIONARY
PRESSURES ARE BUILDING: THE STERLING EXCHANGE
RATE FELL SHARPLY JUST AFTER THE REFERENDUM
(BY AROUND 12%), WHICH IS PUSHING UP IMPORT
COSTS FOR BUSINESSES.
24 iccwbo.uk
strong rates to the last couple of years.
However, inflationary pressures are building:
the sterling exchange rate fell sharply just
after the referendum (by around 12%),
which is pushing up import costs for
businesses.
We can reasonably expect this to feed
through to prices at the till further ahead:
indeed, inflation is already on the up,
rising above the Bank of Englands 2%
target in February for the first time in
over two years. The resulting pressure
on households real incomes will weigh
significantly on consumer spending, which
will in turn bear down on economic growth.
Alongside softer household spending,
we also expect weaker business investment.
While there has been some thawing in
the extreme caution seen just after the
referendum, both the CBIs members
and business surveys are telling us that
uncertainty around the outcome of EU
negotiations is putting the brakes on capital
spending. As a result, we expect business
investment to fall from mid-2017 onwards,
before stabilising at the end of 2018.
There are some bright spots in the
UKs outlook, however. The weaker pound
should also feed through to export growth,
and we expect a substantial boost from net
trade to the economy both this year and in
2018. Were seeing some early signs of this
already, with our latest manufacturing
survey showing a marked improvement
in export order books.
But this is far from guaranteed. The
costs arising from higher import prices
could take the edge off this boost, given that
many UK exports are made up of imported
components. With global supply chains now
much more integrated, meaning that final
exports cross many borders before they hit
the shops or factory floor, the UKs exports
may now be less susceptible to exchange
rate movements than in the past.
On the whole, economic prospects look
softer than they did before the referendum.
But its worth remembering that businesses
are tackling the challenges posed by Brexit
head on as testified by the recent resilience
of the economy. Across the UK, companies
are preparing for life outside the EU, and
are committed to making it a success.
Nonetheless, this is taking place against
a backdrop of heightened uncertainty, so
the risks to any UK forecast are pretty big at
present. In particular, the longer-term outlook
for the UKs potential growth hinges on the
outcome of EU negotiations.
Thats before we even look at global
risks. Like the UK, last year was also an
interesting one for the US. While looser
fiscal policy from a Trump administration
could lift near-term activity, there isnt much
clarity over Trumps eventual actions on
issues such as trade and immigration. And
strains in the global financial system could
rear their heads: in the Eurozone, where
a series of elections could spark jitters,
and in China, where debt and credit
expansion have been rising.
The UK is well-placed to weather all
this. Our economic fundamentals are strong,
and Brexit presents both challenges and
opportunities. But with much still up in
the air, this year looks like it will be even
more uncertain than the last.

Rain Newton-Smith is
the Chief Economist at the
Confederation of British
Industry. She and her team
provide business leaders
with advice on the UK economic outlook
and global risks, as well as setting out
the business view on economic and tax
policy in discussions with policymakers.
Previously, Rain was head of Emerging
Markets at Oxford Economics with
specialist expertise on China. Rain
previously worked on the international
forecast for the Monetary Policy
Committee at the Bank of England, and
went on secondment to the International
Monetary Fund in Washington D.C. Rain
was honoured by the World Economic
Forum in 2012 as a Young Global Leader
and has been listed in City AMs Power
100 women.

25
ICC United Kingdoms Official G20 Publication
Community Support
Authored by: Sean Ramsden
How trade benefits
local communities
I
am the founder and CEO of Ramsden
International, a UK wholesale exporter
of British groceries selling favourites
from Marmite to Irn-Bru on all five
continents.
Throughout the 22 years I have led
Ramsden International I often reflect on
how our employees have contributed to the
companys success of leveraging international
trade across every corner of the world, and
I am proud of the contribution that our
business makes to the local community;
offering placement schemes for graduates
and young people within our company and
26 iccwbo.uk
giving back through charitable schemes
as part of our corporate responsibility.
Ramsden Internationals multicultural
workforce has both enabled our international
business to flourish and created a diverse
group of talented people, largely recruited
from the local community. Recruiting locally
can be a particular challenge due to the
location of our head office and the multi-
lingual requirements for many of our roles,
meaning that we have had to explore
partnerships with local educational
institutions and surrounding universities.
Over the last two years, Ramsden
International has recruited its first intake
of apprentices, as well as introducing
internships and industrial placements for
local students in higher education across
virtually all of our departments.
These initiatives have been a great success,
for example working in partnership with the
University of Hull we successfully filled our
first trainee graduate role. Placements like
these give recent graduates and school leaves
the opportunity to benefit from essential
professional development and transferrable
skills, and helps boost their future
employability.

In line with our core values, we encourage
individuals to grow in confidence and take
ownership of their development. As part of
supporting career succession we provide
opportunities for members of the company
to visit local schools, colleges and
universities to share their experiences
working within an internationally trading
business. From our experience, engaging
with local schools not only helps a business
to understand its future workforce better but
it also helps young people to make informed
decisions about their academic and career
choices.
Beyond our graduate and work placement
scheme, the local community is of paramount
importance to all at Ramsden International
and as part of our comprehensive charity
programme, all employees can individually
nominate a local charity to receive a
monetary donation. It is anticipated that we
will donate over 40,000 to good causes in
the next year as part of our expanding
corporate responsibility goals.
My overall aim was to create a business
that would not only fuel UK exports, but also
sets a good example of engaging positively
with its wider community.
Sean Ramsden is
the founder and Chief
Executive of wholesale
food exporter Ramsden
International distributing
over 23,000 British branded-food and
drink products to 133+ countries across
five continents. In addition to overseeing
the business activities of Ramsden
International Sean also holds a number
of advisory and non-executive positions
within the food industry, including
membership of the DEFRA Agri-Food
and Drink Export Forum, Non-Executive
Director of the British Chambers of
Commerce (BCC), and a Trustee of
Borough Market.

IN LINE WITH OUR CORE VALUES, WE ENCOURAGE INDIVIDUALS TO

GROW IN CONFIDENCE AND TAKE OWNERSHIP OF THEIR DEVELOPMENT.
AS PART OF SUPPORTING CAREER SUCCESSION WE PROVIDE OPPORTUNITIES
FOR MEMBERS OF THE COMPANY TO VISIT LOCAL SCHOOLS, COLLEGES
AND UNIVERSITIES TO SHARE THEIR EXPERIENCES WORKING WITHIN
AN INTERNATIONALLY TRADING BUSINESS.
27
YOUR GLOBAL CHAMPION
IN TODAYS GLOBAL ECONOMY.
Here are just a few of the ways in which the International Chamber of Commerce
is working to support your global operations:

MAKING TRADE EASIER AND COST EFFICIENT

1 ICC has spearheaded a successful global advocacy campaign to secure

implementation of the landmark Trade Facilitation Agreement a trade deal
to simplify customs and border procedures that could boost global trade flows
by more than US$1 trillion dollars.

2
MAKING THE CASE FOR OPEN MARKETS
ICCs #TradeMatters campaign provides a direct response to growing populist
and protectionist movements in many countries around the world ensuring
a balanced debate on the role of trade integration in todays economy.

3
SECURING A BUSINESS VOICE AT THE UN
ICCs Observer Status comes at a time when there is growing business interest
in the UN, given the major economic effects of new UN policies to promote
sustainable development and tackle climate change.

SETTING THE RULES FOR THE GLOBAL ECONOMY

4 ICC standards continue to facilitate trillions of dollars of international

transactions each year. ICC members currently have the opportunity to shape
the future of our flagship Incoterms rules, which have been the bedrock
of world trade for over 80 years.

ENHANCING ACCESS TO FINANCE

5 Our market analytics and research continue to drive the global debate on how
to enhance the flow of finance to small businesses and entrepreneurs. Were
also training the next generation of trade finance professionals through
the ICC Academy.

ENABLING GROWTH IN THE DIGITAL ECONOMY

6
We work in a range of global forums to champion an open, stable and secure
global Internetensuring the private sector is at the table in the development
of policies on issues from data flows through to cybesecurity. We are also
championing trade reforms to unleash the potential of e-commerce to boost the
growth of small businesses.

7
RESOLVING BUSINESS DISPUTES
The ICC International Court of Arbitration enjoyed a record year for new cases
in 2016 confirming its status as the worlds premier arbitral institution.

@iccwbo iccwbo.org
 Report by

BUILDING FOR SUCCESS

A WORLD TRADE AGENDA FOR
THE BUENOS AIRES MINISTERIAL
Commissioned by the ICC World Trade Agenda
March 2017

NEW ICC PUBLICATION

An initiative in partnership with Qatar Chamber
ICC United Kingdoms Official G20 Publication
Education
Authored by: David Lowe
The rules that
explain Global Trade
Underpinning over US$1 trillion of global
trade, and used in many a trade contract,
you will be hard pushed to find a trade
practitioner anywhere that hasnt heard of the
Incoterms rules. The process for revising them
completed once a decade starts now, in
time for the 2020 deadline, and businesses
worldwide are being given the chance to have
their say. With that in mind, Chris Southworth,
Secretary General of ICC United Kingdom, and
David Lowe, Partner, Gowling WLG, and Global
Co-Chair of ICC Incoterms Drafting Group,
explain precisely what the fuss is all about.
The rules that explain global trade
The Incoterms rules, referred to in full as
the International Commercial Terms, are the
rules that explain global trade. They are a
reliable, neutral, and universally accepted
standard that ensures international trade
practitioners who often communicate
across cultures, legal, and linguistic divides
can understand each other when forming
a trade contract. The best-known and most
widely used Incoterms rules are the Free
on Board (FOB) and Cost, Insurance and
Freight (CIF) rules.
30 iccwbo.uk
The birth of the Incoterms Rules
As international trade experienced a rapid
boom throughout the 19th century, trade
practitioners found that they needed to
clearly specify the respective risks and
responsibilities of each party involved in
an international transaction. As such,
the use of terms such as FOB and CIF
became common practice.
Unfortunately, trade practitioners didnt
always understand each other. By the 20th
century it had become clear that many
widely-used terms were subject to a vast
range of interpretations in different national
courts: differences that were invariably a
source of misunderstanding, leading to
unnecessary uncertainties and costs.
In 1936, this led ICC founded in 1919
to develop the Incoterms Rules in an
effort to standardise trading terms.
Who uses them, and when?
In essence, the Incoterms rules are a way of
specifying to the buyer what is included in
a sale. They indicate which party must pay
for transport, bear the risks of loss or
damage to goods during transport, and take
responsibility for customs formalities or
import/export duties. In the case of CIF and
Carriage and Insurance Paid To (CIP), they
also explain whether or not the seller is
responsible for providing insurance cover.
An easy way to avoiding
international disputes
International trade transactions and
contracts, by their nature, span multiple
jurisdictions. If at any point there is
confusion over what is required of either
buyer or seller, it can lead to a dispute. If this
does happen, however, it is unclear which
jurisdiction and which countrys national
laws the contract falls under. The use
of the Incoterms Rules which are globally
recognised avoids this problem. Not only
does everyone understand what they are
doing to begin with, but, if there is any
confusion, there are very clear standards
that can guide all parties. The use of the
Incoterms Rules facilitates trade, avoids
disputes, and maintains trade relationships.
A once-in-a-decade opportunity
Of course, such is the pace of change that
rules made prior to the advent of mobile
and internet technology are now outdated,
let alone those developed before the Second
World War. In the 1960s and 1970s, for
instance, there was a rapid expansion of
containerised and multimodal transport
that substantially changed the conduct
of international trade.
Hence, roughly once a decade, ICC
leverages its vast network consisting of 6.5
million members across 130 countries to
gather data on the latest trends and the terms
used most consistently by trade practitioners.
The next round of revisions will be
completed by 2020, but the process begins
now, and companies all around the world
have an opportunity to have their say.
How can you get involved?
The first stage taking place at the moment
is perhaps the most significant. This stage
is the point at which we gather and review
all of the feedback on changes that have
taken place in the past decade: a decade of
significant technological advancement, as
well as political and economic change. In
the next few years the feedback provided
INTERNATIONAL
TRADE TRANSACTIONS
AND CONTRACTS, BY
THEIR NATURE, SPAN David Lowe is an
MULTIPLE JURISDICTIONS. experienced partner
IF AT ANY POINT THERE IS focusing on commercial
contracts and the firms
CONFUSION OVER WHAT Head of International Trade.
IS REQUIRED OF EITHER He also plays a crucial role
BUYER OR SELLER, IT CAN in the firms Brexit Unit. David is the ICC
global co-chair of the Incoterms 2020
LEAD TO A DISPUTE. review, and chairs the ICC UKs CLP
committee.
David helps negotiate and draft contracts
to achieve their commercial aims in
areas such as supply chain, procurement
facilities management, outsourcing,
logistics, manufacturing, supply of goods
and services, and international trade.
David was one of the eight expert authors
of Incoterms 2010.
will be whittled down to the key terms
and rules for review. Finally, for the first David won UK Projects and Procurement
time ever, the opportunity to provide your Lawyer of the year at the International
feedback to ICC is open not just to members, Law Office Client Choice Awards 2013
and was recognised in 2017s prestigious
but also to a limited number of non-member
Acritas Stars database as a star lawyer.
companies. If you want change, now is the
time to ask for it.
31
ICC United Kingdoms Official G20 Publication

Global Business
Authored by: Louise Kantrow

ICC UN Observer status:

Global business
priorities at the UN

T
he fundamental mission of the
International Chamber of Commerce
has always been to promote an open
international trade and investment
system, and foster the economic growth of
developed and developing countries alike,
particularly with a view to better integrate
all countries into the world economy.
In 1919, the founders of ICC called
themselves Merchants of Peace because
they believed fervently that strong and
mutually beneficial commercial ties among
nations would not only make them more
prosperous but also make them less likely
to go to war. Today ICC, through its National
Committees and World Chambers Federation,
reaches businesses in over 230 countries,
encompassing over 6.5 million businesses.
It represents the private sector from the
SME to the large multi-national company
in every region of the world.
From the very beginning, ICC has spoken
coordinated business and industry
contributions to the UN intergovernmental
processes, represented and delivered private
sector messages, and organized official UN
private sector events. During this long and
enduring history of cooperation with the UN,
ICC has always been the principal voice
of the global business community.
On December 13th, 2016, in a momentous
decision, ICC was granted Observer Status at
the UN providing business with direct

32 iccwbo.uk
on behalf of business in making access into the UN system for the very more opportunities for comprehensive
representations to governments and first time. This newand uniquestatus dialogue on issues raised by globalization.
intergovernmental organizations. During the for the world business organisation comes By obtaining Observer Status at the General
1920s and 1930s, the ICC took part in most at a time when there is growing private Assembly, ICC has gained significantly
economic conferences convened by the sector interest and participation in the work enhanced capacity to represent business
League of Nations, where ICC was accredited of the UN. In this context, Observer Status views to the international community and
since 1920. In the aftermath of World War II, provides ICC with a new value proposition help shape the public discourse and policy
ICC once again recognized the importance that can be used to strengthen ICCs formation on the full range of global
and need for an intergovernmental body. position as the world business organisation. challenges.
It fully supported the development of the Granting Observer status to ICC in the The Permanent Observer Mission of the
United Nations. On October 1, 1946, soon General Assembly has strengthened the ICC to the United Nations now represents
after the creation of the UN, ICC was granted relationship between UN member states and business views at the General Assembly
general consultative status at the Economic the global business community, and as part of ICCs historic mission to foster
and Social Council. enhanced the already prevailing collaborative peace and prosperity through world trade.
Since then, ICC has enjoyed deep efforts towards global economic and social ICC was founded to assume this role and
engagement and cooperation with the UN integration. ICCs Observer Status provides did so admirably following two disastrous
throughout its history in its capacity as the world business with a direct voice into the world wars. The General Assembly is the
world business organisationthe only body UN agenda for the first time: providing an pre-eminent global focal point where ICC
with the network and legitimacy to speak on opportunity to shape global policies that can mobilize its policy-making expertise
behalf of the global private sector. As ICC work with the private sector to drive from companies and business organizations
and the UN have collaborated extensively for sustainable development and extend of all sizes and in all regions of
over 70 years, throughout the years, ICC has prosperity for all. It also creates many the world.

THE INTERNATIONAL CHAMBER OF COMMERCE AND THE UNITED NATIONS

OVER 70 YEARS OF COOPERATION

1945 1998
ICC only private sector High-level representatives Louise Kantrow was
organization granted from UN agencies
accreditation to the Conference
1972
participate in the ICC appointed ICC Permanent
on International Organization Geneva Business Dialogue
(UNCIO), a convention resulting
in the creation of the UN Charter
UN invites ICC to
participate in nomination
Representative to the
UN and ICC announce
of a preparatory panel
of experts to report to plans to cooperate 2003 United Nations in 2007.
the 1st UN Conference on on project to stimulate ICC becomes signatory 2016
1953
ECOSOC reviews ICC proposals
the Human Environment investment flows
to Africa and LDCs
of UN Global Compact
ICC GRANTED
Since her appointment,
for a new international
convention that would remove 1979
OBSERVER STATUS AT
UN GENERAL ASSEMBLY Kantrow has been involved
local law limitation and create ICC report details over 1999 2009
a truly international arbitral 80 issues being worked ICC instrumental UN endorses in multiple major UN conferences as ICC
enforcement regime which today on in conjunction with in creation of UN ICC Documentary
applies in close to 150 territories IGOs of the UN system Global Compact Credit Rules and private sector representative. She
1969 1991 1992 2001 2015 co-chaired the Private Sector Steering
ICC and UN establish the ICC launches UN endorses ICC and ICC leads business
GATT Economic Consultative
Committee to address
Business
Charter for
ICC Incoterms
Rules
UNCTAD
establish the
delegation of over 800
to Third International
Committee for the Fourth UN Conference
common problems with
heads of 8 UN Economic
Sustainable
Development,
Investment
Advisory 2007
Conference on Financing for
Development in Addis Ababa
on Least Developed Countries, co-
1955
Organizations and the GATT one year ahead
of the UN Rio
Council at
the 3rd UN
ICC hosts first
business day ICC is the business focal
organised the Business and Industry
Earth Summit Conference on the sidelines point for UN climate talks
Newly formed UN Economic
Commission for the Far East on LDCs of COP 13 and the landmark Paris Major Group for the 2012 Conference on
encourages ICCs Commission for 1984 Climate Conference (COP21)
Asia and Far East Affairs to establish ICC and UNEP Sustainable Development, and chaired
national committees in the regions stage first World ICC CEO letter in Financial
1946
ICC granted top-level
Industry Conference
on Environmental
Times calls on world leaders
for a collaborative effort
the Business Sector Steering Committee
consultative status with
the United Nations (UN)
Management
(WICEM)
towards attainment
of UN Global Goals
for the Third International Conference
on Financing for Development.
Louise also leads the Global Business
THE PERMANENT OBSERVER MISSION OF THE ICC TO Alliance for 2030, a robust and inclusive
business alliance that provides positive
THE UNITED NATIONS NOW REPRESENTS BUSINESS VIEWS private sector contributions to the
AT THE GENERAL ASSEMBLY AS PART OF ICCS HISTORIC formulation and implementation of
MISSION TO FOSTER PEACE AND PROSPERITY THROUGH the 2030 Development Agenda.

WORLD TRADE.
33
ICC United Kingdoms Official G20 Publication
Sustainable Development
Authored by: James Bacchus
The Neglected Necessity:
Creating Enabling Frameworks to
Unite Economy and Environment for
Global Sustainable Development
I
n this time of great global anxiety one
overriding necessity is widely neglected:
the need to find new ways to grow and
govern the world economy that will work
both economically and environmentally.
Climate change is real. Carbon dioxide
levels in the earths atmosphere now total
more than 400 parts per billion twice what
they were at the dawn of the Industrial
Revolution. Human actions are depleting
more and more of the natural capital of the
earth, and are pushing us closer and closer
to the boundaries of what the planet
can endure.
The international economic integration
that we call globalisation has lifted nearly a
34 iccwbo.uk
billion people out of poverty in the past
generation, especially in China, India, and
the other emerging economies of Asia. But
many people still remain mired in poverty
worldwide, living on less than $1.25 per day.
What is more, in much of the developed
world, the vast economic gains from
globalisation have not helped everyone; most
of those rewards have gone to the wealthiest
among us. In the United States, where 10%
of the American people own more than 75%
of the overall national wealth, and where the
wealth gap continues to grow wider, about
two-thirds of the real income gains from
globalisation have gone to those in the
top 1% while the real incomes of
many of those in the lower middle
class have frozen or fallen.
In considering and confronting these
unprecedented economic and environmental
challenges, our habit in every part of the
world has long been to treat the economy
and the environment as separate. They
are not.
Therefore, an awareness of the inter-
connectivity between the economy and
the environment must be written into all
of the rules we choose together to live
by at every level of human governance.
The human development we seek must
therefore be sustainable development. As
the pioneering 1987 Brundtland Report of a
 WHERE THERE ARE ENVIRONMENTAL PROTECTIONS
IN OUR TRADE AND INVESTMENT AGREEMENTS, THEY ARE
USUALLY EXCEPTIONS. THEY ARE RARELY AFFIRMATIVE
OBLIGATIONS. THERE IS LITTLE SIGN AT ALL OF ANY
URGENCY IN THE INTERNATIONAL SILOS OF TRADE
AND INVESTMENT FOR MAKING CERTAIN THAT
TRADE AND INVESTMENT ARE SUSTAINABLE.

United Nations defined it, sustainable
development meets the needs of the
present without compromising the ability of
future generations to meet their own needs.
Sustainable development is a form of human
development that works economically,
environmentally, and inclusively, for
today, and equally for tomorrow.
Because the natural environment knows
no borders, and because the human economy
today connects and re-connects across
borders, many of these rules in these
enabling frameworks must be transnational.
The rule of law will therefore not succeed if it
is limited and confined within and behind
borders. In the eyes and in the efforts of
every nation, the rule of law must also
include the international rule of law, which
can only be established and maintained
through international cooperation.
For example, the United Nations
culminated several decades of work in
September 2015 by agreeing the Sustainable
Development Goals (SGDs). Drawing from
the engagement of millions of people
worldwide, all 194 countries have agreed
on 17 global goals and on 169 targets for
achieving them. Their aim is to accomplish
them all by 2030.
These are not modest goals. One of the
17 goals is to end hunger. Another is to
end poverty in all its forms everywhere.
Yet another is to promote sustained,
inclusive and sustainable economic growth,
full and productive employment and decent
work for all. The common pledge in these
ambitious goals is that no one will be
left behind.
The SDGs are not rules. They are not laws.
They are not binding. They are a collective
expression of what the assembled countries
of the world have agreed to try to accomplish
together through further international
rulemaking and international cooperation.
If these ambitions are to have real-world
practical benefits, then we must understand
that there can be no hope of attaining any
of these global goals unless we begin

35
ICC United Kingdoms Official G20 Publication

Sustainable Development

today to bring economy and environment

together as one in all of our international
rulemaking.
The economy is often marginalized in
international environmental agreements.
Three months after concluding the
Sustainable Development Goals, the United
Nations concluded the Paris Agreement on
climate change. The Paris Agreement is an
historic achievement, but it will not work
environmentally unless it also works
economically.
Equally, international trade can help
spur the transition to a green economy
by hastening the spread of new climate-
friendly technologies worldwide. The
trillions of dollars needed to finance
mitigation and adaptation actions to
address climate change especially in the
developing countries will inevitably come
mostly from the private sector. Yet, though
the new global climate agreement speaks
vaguely of non-market approaches
to climate actions, nowhere does the
agreement speak specifically of the market.
We must reimagine economic and
environmental agreements as Venn diagrams
that acknowledge and address our economic
and environmental concerns so that they are
consistent with the SDGs.
But how can we hope to accomplish
any of these agreed global goals in the
gloomy political context of today? How can
we possibly hope for more international
cooperation economically and
environmentally at a time when so much
of the world seems bent on joining in a
raucous and rushed retreat from all further
international cooperation and when
America, which led the cooperative global
advance so proudly for so long, is now
numbered among the first to flee?
The right consensus statements at
global gatherings are desirable and can be
helpful, but the global solutions we seek
for sustainability will not be found in any
of the solemn proclamations from any
of the forthcoming global summits.
Solutions are not imposed from the top
down. Solutions must arise from the bottom
up. The solutions we seek for sustainability
will only be found down in the vibrant and
innovative enterprise of free marketplaces,
and down in the practical problem-solving
of the global explosion of creative and
collaborative public, private, and public/
private coalitions, alliances, and voluntary
networks at the catalytic grass roots of the
world. Much involved in these grass roots
endeavours are the many businesses of the
world that are helping lead the way toward
sustainability.
Global solutions for sustainability will be
found and scaled up much sooner if all of
those around the world who say they

36 iccwbo.uk
 THE SDGS ARE NOT
RULES. THEY ARE NOT LAWS.
THEY ARE NOT BINDING.
THEY ARE A COLLECTIVE
EXPRESSION OF WHAT THE
ASSEMBLED COUNTRIES OF
THE WORLD HAVE AGREED
TO TRY TO ACCOMPLISH
TOGETHER THROUGH
FURTHER INTERNATIONAL
RULEMAKING AND
INTERNATIONAL
COOPERATION.

wish to lead us are truly willing to lead us.

Environmentally, we have long since
passed the point where we must confront
the reality of man-made climate change and
all the many other human impacts on the
earths threatened ecosystems, including
their far-reaching potential consequences
for our economic aspirations.
Economically, we simply cannot prosper
by retreating from international cooperation,
and by rejecting and undermining the rules
on which we have long agreed to help govern
globalisation. And we cannot grow by
turning inward into nativism, protectionism,
and a myopic economic nationalism. No
country has ever grown and continued
to grow over time without opening
economically to the wider world.
Together, we can unite the economy and
the environment through the international
rule of law in ways that will enable us
to shape and share a sustainable global
prosperity for all. Then this will no
longer be a neglected necessity.

James Bacchus is a former

Chairman of the Appellate
Body of the World Trade
Organization; a former
Member of the Congress
of the United States, from
Florida; a former US international trade
negotiator, and the author of the book
Trade and Freedom. He chairs the global
Commission on Trade and Investment
Policy of the International Chamber
of Commerce.

This article was written by James Bacchus

in his personal capacity. The opinions
expressed in this article are solely the
authors own and do not reflect the views
of Greenberg Traurig Law, the WTO, the
ICC or any other organization with
which he is affiliated.

37
ICC United Kingdoms Official G20 Publication
Ethical Business
Authored by: Will Kenyon
Ethical business in uncertain times
A
s the ICC makes the case for free
trade and open borders against the
current international head winds
of protectionism, nationalism and a
pervasive suspicion of the motives underlying
business and wealth creation, it is vital that
business seeks to build trust, so that its voice
will be listened to. To do so, business must
play an active part in the fight against
corruption. Businesses must commit to the
principles of ethical conduct, show zero
tolerance of corrupt behaviour within
their own organisations and work with
government and civil society to help reduce
the destructive impact of corruption, which
is endemic in large parts of the world. By
the same token, businesses need the support
of government and civil society if they are
to bring the manifold benefits of free
enterprise and trade to the societies in
which they operate.
ICC UKs Corporate Responsibility and
38 iccwbo.uk
Anti-Corruption (CR&AC) policy committee
has had a busy year and a half since it was
re-launched in late 2015. With a membership
of subject matter experts drawn from a wide
range of enterprises across many sectors of
business, finance and the professions,
its key aims are to:
Be a leading business voice in the wider
conversation with government and civil
society about corporate responsibility
and anti-corruption issues;
Develop policy and guidance, as necessary,
around the challenges faced by businesses
in those areas, particularly businesses
operating internationally;
Play an active part in the dialogue between
business and government, with particular
focus on how both can work together to
promote ethical business and a conducive
political and business environment
within which it can operate; and
Contribute
to the development and
implementation of ICCs CR&AC
agenda globally.
May 2016 saw London host the Anti-
Corruption Summit, sponsored and chaired
by the then Prime Minister, David Cameron.
This was a remarkable event, bringing
together heads of state, other senior
government representatives, civil society
organisations and businesses from around
the world. The Summit culminated in a
number of commitments on the part of the
participating governments to implement a
range of anti-corruption measures, in areas
including: greater transparency of beneficial
ownership; cross-border information sharing;
enhanced legislation; more robust law
enforcement and better international
coordination and cooperation in that sphere;
and mutual assistance in the recovery of
misappropriated assets. It was my privilege to
 MAY 2016 SAW LONDON HOST THE ANTI-CORRUPTION SUMMIT, SPONSORED AND
CHAIRED BY THE THEN PRIME MINISTER, DAVID CAMERON. THIS WAS A REMARKABLE
EVENT, BRINGING TOGETHER HEADS OF STATE, OTHER SENIOR GOVERNMENT
REPRESENTATIVES, CIVIL SOCIETY ORGANISATIONS AND BUSINESSES FROM
AROUND THE WORLD.

represent ICC UK at the event, but this was
just one of a continuing series of interactions
between ICC UK and government and other
stakeholders before and since the Summit.
We have had extensive dialogue with the
UK Government, which has encompassed
stakeholders from the Cabinet Office, the
Home Office, the Foreign and Commonwealth
Office, the Department for International
Trade, the Department for Exiting the EU and
the Ministry of Justice. This has included:
Preparatory discussions in the lead-up
to the Anti-Corruption Summit;
Discussions around business priorities
for tackling corruption in overseas markets;
Discussions concerning potential government
/business collaboration on anti-corruption
in new trade promotion services and
overseas government projects;
Development input of the UK Governments
updated anti-corruption strategy;
Feedback on the constitution and operation
of the UKs National Contact Point in
relation to the handling of complaints under
the OECD guidelines on human rights;
Participation in the UK Governments call
for evidence on the design and
implementation of the proposed Overseas
Entities Beneficial Ownership Register; and
A written submission to the Ministry of
Justice consultation on the extension of
corporate liability for economic crime.
Committee members have given
generously of their time, energy and insights
to contribute to this dialogue and the
feedback from government has been
extremely positive. Government is listening,
and our input has had a real impact on its
thinking and focus. We will be seeking to
carry on this constructive engagement to
ensure that a reasoned business voice
continues to be heard.
Will Kenyon specialises in
the detection, investigation
and prevention of fraud,
bribery and corruption
and other economic crime.
His extensive experience
covers a wide variety of industries and a
varied array of frauds and irregularities; he
has also led investigations and recovery
actions in relation to a number of high
profile insolvency cases.
Will has considerable experience in
leading cross-border teams on major
international assignments; he speaks
fluent German and earlier in his career
he completed a three year secondment
to PwC in Frankfurt, where he helped
to establish and build up a successful
Forensic Services team.

39
ICC United Kingdoms Official G20 Publication

Brexit

Connecting
communities,
transforming
trade

40 iccwbo.uk
I
n light of Brexit, the UK must make sure
that it continues to be recognised as a
champion of connected communities
internationally. The G20 provides a
platform to achieve this: by engaging with
its global counterparts and business leaders,
the UK can send out a strong message that
it is invested in making international trade
more sustainable and inclusive.
Reforming trade markets
for a world of strong economies
ICAEWs ambition for the G20 is a world of
strong economies, which we believe can only
be achieved through the free flow of skilled
people, technologies, capital and services.
Open markets underpin strong economies as
they promote innovation, productivity and
competition. When businesses of all sizes
can access new markets, employment and
economic growth are promoted. This results
in higher living standards and increased
prosperity.
However, members of the G20 must act in
concert to address some pressing challenges
in our current system. Around the world, the
debate over resolving uneven distribution of
resources, environmental degradation and
stagnant incomes can be addressed by
reforming trade. The digital revolution behind
globalization also provides challenges: unless
the right policies are in place, the potential
unemployment resulting from automation
poses a threat to global economic stability.
Reclaiming the trade narrative
The G20 must not only support those whose
jobs at risk of exclusion, but it must also
reclaim the narrative on the benefits of trade.
Financial stability, macroeconomic policy and
investment all depend on healthy trade. But
designing a model fit for the 21st century is a
colossal task that requires cross-sectorial
coordination. Chartered Accountants work at
the heart of big policy challenges; as financial
experts we offer insights into business and
the economy that help to shape policy. As the
UKs industrial strategy sets out; an innovative
economy needs the presence of SMEs, skilled
labour and investment in digital infrastructure.
We believe these three pillars should be
prioritised as the UK seeks to build bridges
with its G20 counterparts in the year ahead.
ICAEW believes the U.K should have three
priorities for its G20 engagement agenda:
1) Embracing the opportunities of digital
E-commerce eliminates spatial and time
barriers, reduces costs and enables smaller
players to access finance, all of which
facilitate trade. However, the digital divide
between and within countries remains an
obstacle to prosperity. Those without access
to broadband or lacking IT skills cannot
benefit equally from economic progress.
The G20 Digital Economy Task Force provides
a platform to address the opportunities and
challenges of digital. But greater investment
is needed to enable digital inclusion and
ecommerce for small businesses. To achieve
this, the G20 countries must: invest in
broadband infrastructure, capitalise on
education in information technologies,
design more secure payment solutions
and facilitate digital entrepreneurship.
2) Integrating SMEs into
global supply chains
Small and medium enterprises are the
lifeblood of an economy. They contribute to
employment, income generation and export
revenues. However, SMEs face a plethora
ofchallenges to integrate into global value
chains through trade. Economic integration
increases competition with imports, which
drives foreign investment away from smaller
firms and towards established ones. The G20
must invest in more inclusive trade towards
SMEs. Thus far, the G20s principles for
Innovative Financial Inclusion Action Plan
have provided solid guidelines to increase
SMEs access to finance. Nonetheless, SMEs
continue to report a lack of the appropriate
support to thrive in export markets. Good
advice on accessing finance, managing cash
flows and relations with buyers and sellers
is needed to help SMEs ensure sustained
long-term growth.
3) Addressing skill shortages
to ensure prosperous growth
Skills contribute to economic growth through
increased productivity. But globalization,
digital technologies and demographic shifts
are reforming skill needs. In most G20
countries, employers complain of skills
shortages and job-seekers report a lack
of suitable jobs. The G20 must invest in a
comprehensive skills strategy to adapt to a
constantly changing economy. Greater action
is needed to device systems and tools to
anticipate and adapt to skills needs. Life-long
learning schemes are essential for job
security and productivity enhancement.
Innovation also depends on having access
to a diverse workforce. Multilateral
coordination should lead to more robust,
skill-specific immigration policies to
promote inclusive business and trade.
ICAEW is a world leading professional
membership organisation that promotes,
develops and supports over 147,000
chartered accountants worldwide. ICAEW
provides qualifications and professional
development, shares knowledge, insight
and technical expertise, and protect the
quality and integrity of the accountancy
and finance profession.

THE G20 MUST NOT ONLY SUPPORT THOSE WHOSE JOBS AT RISK OF EXCLUSION,
BUT IT MUST ALSO RECLAIM THE NARRATIVE ON THE BENEFITS OF TRADE. FINANCIAL
STABILITY, MACROECONOMIC POLICY AND INVESTMENT ALL DEPEND ON HEALTHY
TRADE. BUT DESIGNING A MODEL FIT FOR THE 21ST CENTURY IS A COLOSSAL TASK THAT
REQUIRES CROSS-SECTORIAL COORDINATION. CHARTERED ACCOUNTANTS WORK AT
THE HEART OF BIG POLICY CHALLENGES; AS FINANCIAL EXPERTS WE OFFER INSIGHTS
INTO BUSINESS AND THE ECONOMY THAT HELP TO SHAPE POLICY.
41
ICC United Kingdoms Official G20 Publication
GCEL
HARNESSING THE POTENTIAL OF
THE DIGITAL ECONOMY
GABRIELA RAMOS - SPECIAL COUNSELLOR TO THE SECRETARY-GENERAL AND OECD SHERPA
T
he digitalisation mega-trend is realising wide-ranging eco-
nomic and social implications, and this transformation must
be responsibly managed, with the focus of policy-makers on
enabling individuals, communities and businesses to adapt
and continue to benefit. Critically, harnessing the potential of the digital
economy is key to escaping the low growth and low productivity trap in
which the global economy is caught.
We have reason to be optimistic because progress has been significant,
with 40% of people world-wide now connected to networks, compared
to just 4% in 1995. By 2030, 8 billion people and 25 billion active smart
devices will be interconnected in one huge information network1. Yet,
today only 25% of individuals are using simple office software, such as
word processors and spreadsheets, at work. And among them, over 40
per cent do not have sufficient ICT skills to use these tools effectively. By
the same token, firms have seen broadband connectivity rise significant-
ly, to the point that it is almost universal in many G20 economies. Be-
tween 2010 and 2014, it rose by almost 30 percentage points in Mexico.
At the same time, important differences in ICT adoption and usage exist
between large and smaller firms. For example, while broadband access
and basic applications such as websites are common among most firms,
more advanced applications, such as cloud computing or e-sales are used
by a much smaller share of firms. The complexity of digitalisation is stun-
ning, and the policy implications considerable.
42 iccwbo.uk
This is why in 2016, under the Chinese Presidency, G20 Leaders endorsed
the G20 Digital Economy Development and Cooperation Initiative, and
then early this year, under Germanys chairmanship, G20 Ministers re-
sponsible for the Digital Economy met for the first time, and endorsed a
G20 Roadmap for Digitalisation: Policies for a Digital Future.
The OECD supports the G20 digital agenda by sharing its whole of gov-
ernment perspective, which is essential to understanding and respond-
ing effectively to this wide ranging transformation. This broad perspec-
tive underpinned the recent OECD report to the German Presidency on
Key Issues for Digital Transformation in the G20. The latter highlights,
in particular, four challenges:
Firstly, digitalisation is driving structural change, leading to the demise
of sectors, creating new ones and leading to new sources of growth for
traditional industries. It also offers economic development opportunities
to leapfrog, as witnessed by Kenyas growing FINTECH hub, or in my
own country Mexico, where demand for robots grew by 119% in 20152.
In developing countries, nearly 70% of the bottom fifth of the population
own a mobile phonei and more households own a mobile phone than
have access to electricity or clean water, reflecting accelerating access to
economic and social opportunities.
Secondly, digitalisation is transforming how we work, where we work,
and what skills we need for participation in both the economy and so-
ciety. Our industry and skills policies must respond by helping users to
benefit from new technologies, across their life course.
The benefit to consumers and firms is also immense. Digital trade is
opening new markets, enhancing opportunities to SMEs in global value
chains enabling them to operate as mini-multinational enterprises
and delivering new digitalised goods and services. In 2014, the initial
public offering of the Alibaba Group raised USD 25 billion, the largest
in the history of the New York Stock Exchange. Indian companies, Snap-
deal and Flipcart, are pioneers in innovative platforms, with as much as
70% of their orders made via mobile phonesii. Digitalisation is placing a
new premium on cross border data flows. It is transforming how we en-
gage in commerce, which comes with new and unique policy challenges.
Gabriela Ramos
Special Counsellor to the
secretary-General and OECD Sherpa
Finally, the emerging structures of the new digital economy are affecting
tax policy. This includes bringing new tools to broaden the tax base and
to curtail tax evasion, as well as presenting challenges, such as taxing
digital businesses, while simultaneously supporting innovations that we
all enjoy and profit from. These are issues which the G20/OECD Base
Erosion and Profit Shifting Inclusive Framework are tackling.
In this context, we identify 4 critical issues for intensified action: meas-
urement, connectivity, consumers and gender.
The policy response to this dynamic, mega-trend must be shaped by facts
and evidence informed policy advice. Policy-makers cannot afford to be
flying in the dark. To this end, the OECD will be working with the IMF,
and other international organisations, to deliver later this year the G20
Action Plan to Improve Measurement of the Digital Economy in Mac-
roeconomic Statistics, as well as to continue work on measuring digital
trade and addressing specific digital economy measurement challenges.
This will deliver the G20 Leaders request to improve our understand-
ing of the digital economy, and provide valuable insights on how best to
shape policy responses.
Finally, equipping more than half of the population -- women and girls
-- with a wide digital skill set, increasing their participation in related
fields of study (STEM in particular, and ITC), and engaging in a sector
that is male dominated is fundamental to womens empowerment. The
OECD report shows the share of women working in this field is typically
one-fifth to one third that of menv. To address this, gender stereotyping
must be avoided from an early age. An agenda that enhances womens
participation in the new digital economy is fundamental to meeting the
G20 Leaders commitment to reduce the gender gap in workforce partici-
pation by 25 per cent by 2025, and to delivering inclusive growth.
The G20 Roadmap accompanied by the OECDs two-year project Go-
ing Digital will underpin a multi-year G20 digital agenda. Together,
the G20 and the OECD are set to embrace the digital era as a long term
endeavor, to better understand its promises, to respond to its pressure
points and to design better digital policies for stronger and more inclu-
sive growth.

Connectivity will underpin inclusive growth. Some G20 economies have

almost ubiquitous Internet access for households, whilst others lag the
range is from 99% down to 20%iii. The OECD welcomes the G20 com-
mitment to continue analysing policies designed to extend coverage to
underserved places, individuals and businesses, and to discuss ways on
how to use digital technologies to overcome wealth gaps and income dis- DIGITAL ECONOMY IS KEY
parities. High speed Internet access is essential for social and economic TO ESCAPING THE LOW
connectivity, as it enables participation of individuals and businesses
worldwide.
GROWTH AND LOW
PRODUCTIVITY TRAP
The consumer dynamics are astonishing. In the last decade, the share of e IN WHICH THE GLOBAL
commerce as a percentage of overall retail has nearly tripled in the United
Statesiv. But the Internet is also enhancing vulnerability of consumers -- ECONOMY IS CAUGHT
and firms -- to cybersecurity risks. The OECD first put this issue on the
table in 1998, with a Ministers Declaration on Consumer Protection for
Electronic Commerce, and subsequently developed OECD recommenda-
tions on digital security risk management (2015). We will build on this by
helping to develop a set of G20 best practices for online consumers.

1
OECD (2015), Data-Driven Innovation: Big Data for Growth and Well-Being, OECD Publishing, Paris, http://dx.doi.org/10.1787/9789264229358-en
2
El Pais, Beyond Trump : the hidden threat robots pose to the Mexican economy, http://mediareview2.oecd.org/Articles/DisplayArticle.aspx?ArticleKey=189646
i
The World Bank (2016), World Development Report 2016: Digital Dividends, International Bank of Reconstruction and Development / The World Bank, Washington DC.
ii
Meeker, M. (2015), "Internet Trends", www.kpcb.com/blog/2015-internet-trends
iii
OECD (2017), Key Issues for Digital Transformation in the G20, OECD, Paris, p. 23 (Fig 5).
iv
United States Department of Commerce (2016), "Quarterly Retail E-commerce Sales, 2nd Quarter 2016", United States Department of Commerce,
www.census.gov/retail/mrts/www/data/pdf/ec_current.pdf
v
OECD (2017), Key Issues for Digital Transformation in the G20, OECD, Paris, p. 106 (Fig 37). www.oecd.org/G20/key-issues-for-digital-transformation-in-the-G20.pdf

43
ICC United Kingdoms Official G20 Publication
GCEL
HARNESSING THE POTENTIAL OF THE DIGITAL ECONOMY
How Digital Economy Tools
Can Assist To Rebalance The Global Economy
CAPTAIN SAMUEL SALLOUM - GCEL CO-CHAIRMAN
T
he Digital Economy has gained much attention by policy
makers throughout the global arena since it promises to be the
catalyst in todays 21st century technology era to drive a new
wave of global economic growth. At the same time, it is the
Technology Industry, our trusted 24-hour service providers, that have
the capabilities and know-how to deliver upon policy makers
commitments thereby implementing what the worlds citizens demand.
Therefore, it is important to know where the technology industry stands
today and how it can deliver what technology makes possible to boost
our global economy
Today, we are living in complex, fast
moving times where there are multiple
business transformation triggers in play at
the same time. The world is facing VALIDATED INFORMATION
significant forces such as globalization,
CAN DE-RISK DOING
modifications in trade policies, shifts in
technology, excess production capacity BUSINESS RESULTING IN
and changes in customer demand. The GLOBAL MARKET EXPANSION
last two forces are increasingly affected
by the changing demographics in the
world.
As mentioned by Ms. Ramos, harnessing
the potential of the digital economy is key
to escaping the low growth and low productivity trap in which the
global economy is caught. In this regard, the technology industry can
drive a tremendous social impact in todays interdependent global
economy by helping to de-risk trade and build the purchasing power of
the mid and low income countries towards rebalancing the world
economy. Otherwise, who will be left to buy the high technology goods
and services produced by the high income countries during the next 20
to 30 years?
Even today the technology industry is battling a myriad of challenges
towards meeting the needs of their customers including: poor top line
revenue growth due to customers tight IT budgets, restrictive M&A and
IPO markets, stringent R&D spending and lack of capital. Marketing
budgets are under the greatest pressure with sales forces being culled.
Even the perennial technology leaders have recently announced job
cuts.
To revive their reduced revenue and profit levels, information technology
services companies are conducting more research to develop new
processes, products and business models to overcome the
aforementioned challenges.
Accordingly, these firms are focusing on innovations such as: software
as a service (SaaS), cloud IT, off shoring, digital convergence and
44 iccwbo.uk
Continue
continued consolidation in the service provider market. During the last
few years, the industry has been quite active in the areas of infrastructure
standardization, virtualization and consolidation.
The rise of Google and Facebook over the past 15 years is a testament to
not only the power of innovation, but also the need to constantly change
to stay ahead of disruptive competition. However, many businesses
suffer from status quo bias or the preference to keep doing what they
have always done, either through the fear of change or because current
practices and behaviors are moderately
successful, so why change?
Is important to note that one of the most
dangerous phrases in the English language
is weve always done things that way
and this thinking has led to some of the
greatest collapses of companies in the past
20 years, such as Borders, Blockbuster and
Eastman Kodak.
In view of the ongoing market challenges,
the technology industry seeks a new wave
of innovation that maximizes on what
technology makes possible today in order
to increase their customers efficiencies,
reduce their costs and assist them in gaining greater market share. In
doing so, the technology industry will generate more revenues and
increase the return on investment for their own shareholders.
SMEs represent up to 80% of employment in many countries. These
enterprises are the future wealth generators of the world. While the
technology sector has ingeniously created innovative and highly
sophisticated vertical supply chain solutions used by many companies
globally, these systems are costly and typically out of the reach of most
trade participants causing them to be excluded from global value chains.
In fact, 90.4% of the global value chain participants do not have a
vertical system.
However, cost is not the only hindrance to adopting technology. For
example, in India which has a low cost technology environment, the
use of vertical systems is low because they have not been built to meet
the demanding high quality information requirements of todays fast
paced global value chains that manage the horizontal process of trade.
Since trade is a horizontal process involving 19 industry trade clusters,
there is a tremendous opportunity for the worlds technology firms to
partner together under one roof and develop new processes and
business models towards building the applications demanded by the
real economy participants at the ground level.
By digitally connecting large, medium and small size companies through
a horizontal trade platform, we can create an ecosystem that harnesses
the huge volume of big data within the global B2B arena. This will then
provide the seamless flow of validated, real time high quality information
required by trade participants to make the right business decisions at DIGITAL ECONOMY CAN ASSIST
the right time in the 21st century era. Digital trade will open new TO INCREASE THE WORLDS
markets and enhance opportunities to all businesses, especially for
GDP BY 17% IN 2030
SMEs, in global value chains.

The creation of high quality information will allow trade participants to

reduce operating costs and de-risk doing business between the high,
mid and low income countries. This de-risking effect will ease access to
finance and insurance as well as create new market opportunities. Such
a platform must also be provided free of cost to all trade participants
through a new business model that incentivizes their participation, yet
is able to sustain the deployment activities and handsomely reward the
technology industry for their innovations.

The immense market potential for IT services companies offered by a

horizontal platform will afford the ability to provide what their vertical
systems customers have demanded for years, point-to-world integration.
This increases the ability for IT services companies to sell more vertical
system modules to their customers. In addition, the IT services
companies can generate a significant source of new revenues, through
a unique business model, by delivering thousands of applications for
free, much like the apps provided through our smart phones today.

Technology companies need to take a fresh look and think out of the
box as to how they do business in order to capitalize on the
opportunities that lie ahead in the ever changing global marketplace. By
providing the required digital tools for all to use for free through a
sustainable business model, we can increase trade efficiency and
transparency that will enlarge the global economic pie towards achieving
sustainable economic growth.

This approach will benefit all industries involved in trade - commerce,

finance, insurance and technology - driving greater returns for their
shareholders as well as rebalancing the global economy. Considering
the interdependency of our global economy we must all strive to create
productive communities by committing to business excellence setting
the foundation for a prosperous tomorrow.

As stated by Ms. Ramos, the G20 and the OECD are set to embrace the
digital era as a long-term endeavor. Therefore, now it is incumbent upon
the technology industry to ensure the cost of technology does not hinder
the economic growth of our world.

45
ICC United Kingdoms Official G20 Publication
GCEL
HARNESSING THE POTENTIAL OF THE DIGITAL ECONOMY
CAPTAIN SAMUEL SALLOUM - GCEL CO-CHAIRMAN
Following more than 10 years of R&D, global experts from several
fields including trade development, technology, and finance have
contributed their collective expertise towards achieving sustained
economic growth by digitizing the USD 140 trillion B2B market place.
These exhaustive efforts have resulted in the creation of the required
Global Solution Foundation to connect the strengths of the high, mid
and low income countries towards rebalancing our global economy
and creating economic prosperity for all.
This Global Solution Foundation encompasses the following four main
pillars:
The first pillar includes defined and achievable targets that are
necessary to create a huge win-win value proposition across all world
communities to meet the ambitions of their citizens. Specific benefits
of a tangible economic development solution that supports the United
Nations Sustainable Development Goals include but are are not
limited to:
o Increasing the worlds GDP by 17% in 2030
o Creating nearly 300 million manufacturing, agriculture and service
jobs
o Generating an annual USD 1 trillion SME Grant Fund to build SME
capacity
The second pillar is a clear roadmap based on the economic strengths
and demographics of each world region to reach the defined targets. In
order to jump start economic growth, we must have a global campaign
with a regional implementation program that includes a clear roadmap
indicating the way forward from where we stand today towards a
prosperous future in our time and for generations to come.
To reach the defined targets, pan-regional organizations entrusted by
more than 150 countries including the Organization of American
States, Organization of Islamic Cooperation, African Union, League of
Arab States, as well as other leading organizations in China, India,
and other G20 nations have published economic roadmaps, conducted
national trade efficiency assessments and executed agreements to
deploy a Digital Economy Platform delivering the defined benefits
throughout the Americas, Asia, Europe and Middle East / Africa.
46 iccwbo.uk
The third pillar encompasses the required digital tools delivered by a
trusted network from around the globe for use on the roadmap to
reach the defined targets. The tools must be provided free of cost to
the end user and at the same time delivered by the technology industry
maximizing on what technology makes possible today and in the
future. These tools include the deployment of a Digital Economy
Platform that has been defined by the real economy participants at the
ground level and where the policy makers have identified the
importance of todays 21st century technology to create dynamic,
cooperative and inclusive ecosystems.
Finally, the fourth pillar is the global consensus of the foregoing that
can be viewed from the following perspectives:
- Global Policy Adoption: G20 leaders agree that the Digital Economy
must be the focus of our efforts to re-energize the global economy.
- Global Deployment: 75% of the worlds citizens through their pan-
regional organizations entrusted to implement regional economic
development plans have executed agreements and published
economic roadmaps to deploy the Digital Economy Platform.
- End-User: Trade participants at the ground level representing 78%
of the worlds GDP have defined the required digital tools to reduce
their trade costs and increase trade. This is evidenced by the G20
Nations Case Study conducted by 71 ministries, NGOs/IGOs and
private sector experts, wherein 90% of respondents stated that they
lack digital integration into the global value chains and 94% have
commonly agreed as to the digital tools they need to do a better job.
- Technology Industry: 26 of the worlds leading technology firms
have executed strategic agreements as a first step to be selected
through an equal opportunity process to work together under one
roof to deploy the defined tools. These firms recognize the value of
the required Digital Economy Platform solution, realize they cannot
deploy the solution alone and can more than double their earnings.
It is important to note that since trade is of national security importance
for any nation, it is impossible for one country or one technology
company, no matter how big they are, to deploy the Digital Economy
on a global scale and maintain continuous and sustainable access,
while offsetting monopolistic and geopolitical concerns.
The deployment of the required solution must include the participation
of all forms of organizations, working in concert together capitalizing
on each organizations capabilities and jurisdiction. This collaborative
effort must include an independent global monitoring mechanism to
offset geopolitical and monopolistic concerns while at the same time
ensuring rapid global deployment, providing benefits to all participants
in the B2B marketplace.

In addition, since information is the currency of the future, the privacy

and security of trade data must be protected and securely exchanged.
Therefore, the deployment of a digital platform must embrace a Global
Data Security Standard that includes: a Consortium of Globally
Balanced Ownership, a Council of Fiduciary Governance, and a
Committee of Technology Governance Board Experts, together
offsetting geopolitical and monopolistic concerns. This is further
coupled with a Controlled Segregated Technology Development
process and Continuous and Comprehensive Audits to ensure data can
be safely exchanged throughout the world with confidence.

All of the aforementioned represent a multi-layered mechanism

ensuring that data security is maintained and that individuals and
companies data privacy is protected.

In summary, the Global Solution Foundation will unleash a new era of

21st century trade efficiency through a global economic development
program with defined targets, multiple economic growth road maps
that address the needs of any region, country or business, thus
rebalancing the global economy. With the needed digital tools
validated through a global consensus and delivered by a trusted
network of the worlds top technology firms, we can achieve
sustainable economic growth by -

Connecting The Strengths Of The World

Community Creating Wellbeing Across Humanity

47
ICC United Kingdoms Official G20 Publication
Inequality
Authored by: Sophie Dembinski
Bridge the gaps for
more inclusive and
sustainable growth
W
hen world leaders meet in
Hamburg for the G20 summit
in July, it will mark the close
of a difficult year for many G20
economies. Germanys G20 presidency has
straddled pivotal elections, referendums and
rising tides of populism and economic
nationalism around the world. Much may
have been made of the so called winners
and losers of globalisation, but real progress
must now be made to bridge the widening
socio-economic disparities in wealth that
drive anti-globalisation sentiments. Looking
THE G20 COVERS 85% OF THE WORLDS GDP AND
2/3 OF ITS POPULATION. IT IS UNIQUELY PLACED TO
INFLUENCE AND RESET THE DISCOURSE AROUND
GLOBALISATION AND RESPOND TO THE SIGNIFICANT
CHALLENGES FACING THE GLOBAL ECONOMY.
48 iccwbo.uk
ahead to Argentina, G20 policy and business
leaders should focus on addressing inequality
at home and abroad by delivering effective
policies that distribute the economic gains
of globalisation more fairly and build more
inclusive and sustainable economies.
In 2016, the 62 richest people in the world
controlled more wealth than the poorest
50%. According to Oxfam, by 2017, that
figure had shrunk from 62 to just 8. Trade
may have helped to pull millions out of
extreme poverty but over the past 30 years,
income inequality has risen sharply in
developed countries and social mobility
has dropped. In the UK, 1/8 workers live in
poverty and income inequality is significantly
higher than it was in the late 1970s. A
YouGov study found that 63% of those with
household incomes below 20,000 a year
voted to leave the EU, compared with 35%
of those whose household income was above
60,000. Similarly, in the US, states with
higher income inequality were more likely
to vote for Donald Trump. Rising inequality,
whether real or perceived, contributes to
people and communities feeling left behind.
G20 leaders bemused by populist trends must
focus on ensuring that larger proportions of
the population benefit from globalisation.
G20 countries cover 85% of the worlds GDP
and 2/3 of its population. Over the years,
the G20 has made strides to improve living
conditions around the world and coordinate
more stringent international financial
regulations and taxation. Despite recent,
and unprecedented, divisions among leaders
on the G20 statement to resist all forms of
protectionism, G20 leadership when united
under common values and vision, is uniquely
placed to set the course for more inclusive
and sustainable economic growth.
Businesses can and should step up,
particularly at times when leadership in
global governance falters. In a context where
businesses increasingly decide the terms
of trade, they can upgrade their corporate
responsibility programmes and commit to
delivering the highest of standards, not
the lowest. Business can also amplify and
strengthen the work of governments and
organisations like the UN to achieve ambitious,
globally agreed initiatives such as the
Sustainable Development Goals and Paris
Climate Agreement, which both rebuilds trust
and confidence in global governance
and improve global standards of living.
Inequality and socio-economic disparities
will continue to play out in political spheres
around the globe until real efforts are made
to deliver more sustainable solutions to
economic challenges. The opportunity for
businesses and policy makers to proactively
address and engage in these issues is one
that we simply cannot afford to miss.
Sophie Dembinski is head
of policy at the ICC in the
UK and responsible for
relations with business,
government and
international organizations.
Previously, she worked on EU-US and Asia
relations at the German Marshall Fund of
the United States (GMF) in Brussels and
continues to serve as the UK coordinator
for GMFs flagship leadership programme.
RISING STARS
WHOS IT FOR?
ICCs UK Rising Stars programmes support
young, diverse professionals from a range of
sectors to excel in leadership roles by providing
opportunities to develop international credentials,
attend world class events, build global networks
and have access to ICCs leading experts.
YOUNG ARBITRATION FORUM
a leading forum to network with
young and experienced practitioners
from around the world, exchange
best practice, debate key issues of
interest in international arbitration
and discuss career development.
YOUNG FINANCE FORUM
is a must for the rising stars of
trade finance wanting to learn from
the leaders of their industry and be
part of an international network.
YOUNG COMPETITION NETWORK
a great opportunity to network,
exchange and develop understanding
of the pragmatic application of
global antitrust laws with senior
practitioners and thought leaders.
Please contact advocacy@iccwbo.uk for more information
WHY JOIN?
Participate in world-class events
Forge partnerships and join a global network
Share best practice and improve industry ties
Access to leading experts
Write for ICC blogs and publications
Discounted rates for ICCs UK events
Ania Farren
YAF Coordinator; Partner,
Berwin Leighton Paisner (BLP)
Iain Quirk
Arbitration Consultant, ICC;
Barrister, Essex Court Chambers
Anne Miglorine
UK Banking Vice Chair, ICC;
Director, Consiglia International
Laura Feldman
YFF Coordinator; Senior Associate,
Eversheds Sutherland
Shaha El-Sheemy
YCN Coordinator; Associate,
Norton Rose Fulbright
Anne Riley
UK Competition Chair, ICC;
Associate General Counsel, Shell
ICC United Kingdoms Official G20 Publication
IP & Innovation
Authored by: Allen Dixon
Intellectual Property:
Vital Protections
Promoting Healthy Trade
Economies benefit from effective IP standards
regardless of their trade priorities. The ICC has
long supported vigorous international trade as
a benefit both to the economy and society
helping to spur continuing innovation and
the most competitive prices for the goods
and services that we all want and need.
I
n an era when free-trade deals are
sometimes protested in the streets,
and economies like the UK and the US
are considering domestic preferences;
effective intellectual property (IP) protections
remain vital for innovation, businesses small
and large, the economy, consumers and society.
IP and other intangibles now comprise as
much as 70% of the assets of most of the
worlds leading companies, and can often
represent the sole value of innovative
start-ups and other small companies. It
is thus important to keep in mind how
IP functions as an essential element of
innovation and economic growth, regardless
of how countries and economic blocs
balance their trade policies and priorities.
1. Intellectual property promotes innovation:
The ICCs overview of the important role
of IP, Intellectual Property: Powerhouse for
Innovation and Economic Growth, reviews
the major studies and evidence of the
benefits of intellectual property. Among the
evidence reviewed, the study details how
effective IP protection is linked to higher
investment in research and development
MANY OF THE WORLDS LEADERS FROM ALL SORTS
OF ECONOMIES HAVE PUBLICLY RECOGNISED THESE
BENEFITS OF IP, PARTICULARLY FOR THE ECONOMY AND
TRADE. FOR EXAMPLE, UK PRIME MINISTER THERESA
MAY, IN SIGNING A NEW TRADE DEAL WITH INDIA IN LATE
2016, MENTIONED BETTER IP PROTECTIONS AS ONE OF
THE WAYS THAT THE UK AND INDIA WERE WORKING
TO MAKE IT EASIER TO DO BUSINESS IN INDIA.
50 iccwbo.uk
a 25% to 35% R&D uplift in the
pharmaceutical sector, for example.
IP also helps companies receive greater
returns on their investments, promotes
technology transfers, and provides a firm
foundation that encourages the sharing,
publication and licensing of technologies.
2. Intellectual property promotes the
economy: Sectors that rely on IPR protection
are substantial contributors to virtually every
economy. US Commerce Department and
EU IP Office reports in late 2016 found that
38%-42% of these economies GDPs is
attributable to IP-intensive industries. Even
in developing countries, this figure can be
2%-6% of GDP in the copyright sectors
alone, with foreign direct investment (FDI)
in these countries improving by 2%-8% with
even a 1% improvement in IP protection.
3. Intellectual property helps companies
small and large: Firms of all sizes use IP
to help develop, value, conduct trade in,
and benefit from their works and inventions.
Firms that rely on IP generally succeed better
with higher productivity (10%-30% higher
in the UK, for example), higher income,
higher wages, greater growth, and higher
market values than those that do not.
4. Intellectual property benefits consumers:
Besides being an important guarantee of
consumer trust and a first line of defence
against defective and even harmful
counterfeits, IP protections support the
continuous development of new and
innovative, competitive products and
services that benefit all consumers.

5. Intellectual property benefits society:

IP is helping to support developments that
address many of societys most important
needs, from clean energy to health care to
a truly digital economy. By contrast, poor
IP protections or enforcement, resulting in
greater counterfeiting and piracy, simply
undermine such developments.
Many of the worlds leaders from all sorts
of economies have publicly recognised these
benefits of IP, particularly for the economy
and trade. For example, UK Prime Minister
Theresa May, in signing a new trade deal
with India in late 2016, mentioned better IP
protections as one of the ways that the UK
and India were working to make it easier
to do business in India. The European
Commission has emphasised that the
protection and enforcement of intellectual
property go to the heart of the EUs ability
to compete in the global economy.
The effective protection of intellectual
property is thus likely to maintain its vital
role in promoting innovation and economic
growth, even as the worlds economies and
trading blocs take stock of their trade
priorities and practices.

For more information or to write for the ICC,

please contact advocacy@iccwbo.uk

Allen Dixon is a leading

lawyer and consultant in
the intellectual property
and information technology
field, and has advised high
technology and traditional content
companies and industries in various
capacities on three continents for more
than 25 years. He is also director of the IP
awareness initiative IdeasMatter.com.

51
ICC United Kingdoms Official G20 Publication

Smart Energy
Authored by: Simon Hobday

Harnessing
the smart
energy
revolution
E
nergy costs are a major operational
overhead for many businesses and
one which, historically, they have
been unable to manage or minimise.
This is changing thanks to a smart energy
revolution that allows them both to reduce
their energy bills and to exploit the revenue
from energy generation.
So what is smart energy? The term
encompasses smart gas and thermal grids,
as well as electricity, and the synergies
between them. In its simplest form, smart
energy is the generation, distribution and
consumption of energy in an intelligent,
integrated way.
The UKs smart energy revolution is taking
place against the backdrop of the decentralisation
of electricity generation, alongside the
integration of low carbon generation. This
transition entails matching variable renewable
generation with demand, using sophisticated
IT systems to balance the grid.
The tools of the revolution include smart
meters, innovative renewable generation
and energy storage technologies, demand
reduction mechanisms, virtual power
stations and a range of business models and
instruments. Used together, these can enable
generation and demand to be balanced
efficiently, whilst providing businesses
with options to cut energy usage and cost.
There are various ways in which install solar PV generation facilities on their involvement of a licensed supplier to deal
businesses outside the energy sector can premises. Despite reductions in renewables with grid requirements. However, it does
take commercial advantage of the smart subsidies, falling installation costs and provide for transparent pricing.
energy revolution. growing demand for grid support services National Grid has a variety of grid support
One such way relates to energy mean that on-site renewable generation services which include frequency response
efficiency. This is about much more than remains a viable option. contracts, under which the service provider
simply insulating an office or factory and Private wire schemes involve an electricity can reduce demand or increase generation
can encompass demand reduction, voltage network outside a regulated distribution by changing its power output in return for
optimisation, lower energy use appliances or transmission grid. Where electricity is availability and utilisation fees; short-term
and sophisticated control systems. Energy provided by a generator to a customer via operating reserve contracts, which allow it
performance contracts, where service private wires (without that electricity being to draw on reserve electricity when demand
providers are remunerated or incentivised conveyed through the grid) various grid spikes occur; and capacity market contracts,
according to savings achieved by the use-of-system charges, lines losses and other which pay electricity capacity providers
customer, can provide businesses with electricity industry charges are avoided. for secure supply.
a managed system for cutting energy Another increasingly popular means Finally, the increasing sophistication
use and cost. by which a generator and a customer, of metering, IT and trading systems has
Then there is own energy generation. unconnected by a private wire, can buy and given rise to a variety of energy purchase
Generation from renewable sources has sell power to each other is so-called sleeving. products for businesses seeking more
grown exponentially in the UK in recent As the power generated is fed into the grid, advance visibility on, and a reduction
years and the introduction of Feed-in sleeving does not have many of the benefits in, energy costs. Customers can link
Tariffs in 2010 prompted many businesses to of private wires plus it requires the the price of purchases to specified indices,

52 iccwbo.uk
 PRIVATE WIRE SCHEMES INVOLVE AN ELECTRICITY
NETWORK OUTSIDE A REGULATED DISTRIBUTION OR
TRANSMISSION GRID. WHERE ELECTRICITY IS PROVIDED
BY A GENERATOR TO A CUSTOMER VIA PRIVATE WIRES
(WITHOUT THAT ELECTRICITY BEING CONVEYED
THROUGH THE GRID) VARIOUS GRID USE-OF-SYSTEM
CHARGES, LINES LOSSES AND OTHER ELECTRICITY
INDUSTRY CHARGES ARE AVOIDED.
to fix and unfix prices for blocks of power for
periods of time in advance, and to offset own
generation of power against consumption
across multiple sites.Whatever route they
choose, one thing will remain constant:
businesses need to use energy and to monitor
its consumption and cost. Now is the time to
explore the many sophisticated new methods
of doing this by joining the smart energy
revolution.
Simon Hobday is an energy
Partner at international legal
practice Osborne Clarke
and an expert on smart
cities. He specialises in the
commercial and regulatory energy sector.
He advises energy companies, regulators,
governments and commercial customers
on regulatory issues and projects,
with a key focus on smart grid, power
management and decentralised
energy projects. He is a director of the
Association of Decentralised Energy
and a member of its CHP Policy Working
Group and the ADE Task Force on post
2020 heat network arrangements and is a
Director of the Heat Trust. He is a member
of the Investor Confidence Project Europe
Steering Group, the Advisory Board for
Penwells PowerGen Europe Conference
and the Energy Institute.
53
ICC United Kingdoms Official G20 Publication
Tax
Authored by: Heather Self
Dealing with
tax challenges
as a result
of Brexit
C
ustoms duties will be the biggest
Brexit tax challenge for those
importing and exporting goods
between the UK and the remainder
of the EU. There could also be implications
for imports and exports from and to third
countries, as the UK is likely to lose access
to the EUs Free Trade Agreements with third
countries. We simply do not know at this
stage where negotiations will end up and
what (if any) additional tariffs will result.
What is extremely likely, however, is that
businesses will incur increased compliance
costs and may need to upgrade systems and
retrain staff. Businesses should be budgeting
for increased costs in this area.
Assuming the UK will leave the customs
union - as seems to be the current plan -
tariffs are only likely to be sorted out when
future trade deals are negotiated. This is
likely to take a considerable amount of time
54 iccwbo.uk
so this is not an area where businesses can
realistically expect early clarity. However,
businesses across the EU should already be
considering the impact on existing contracts
of possible increases in import tariffs. Can
additional costs be passed on to others or
will they have to be borne by the business?
Make sure that new arrangements
apportion the risk appropriately.
Leaving the EU will give the UK
government the opportunity to reconsider its
policy in relation to VAT. At present the UK is
obliged to maintain a VAT system complying
with EU law. Post Brexit that obligation will
fall away. However, VAT is unlikely to be
abolished as it raises significant revenues.
It is also unlikely that it will be radically
changed as businesses have become
accustomed to the way the tax operates
and changing it significantly for no tangible
benefit would be very unpopular. Over time
we will probably see a divergence from EU
VAT, particularly in areas such as financial
services and outsourcing, where some
aspects of EU case law do not necessarily
work well for UK businesses (or, in some
cases, for HM Revenue & Customs).
Businesses will need to consider whether
additional VAT registrations in EU member
states could be required as a result of the
UK leaving the VAT union.
Businesses with VAT or other EU based
litigation proceeding in the tribunals and
courts (particularly repayment claims) will
be concerned about the transitional issues
regarding the role of the Court of Justice
of the European Union (CJEU). The UK
government has said that CJEU case law
pre-Brexit will continue to be as binding as a
Supreme Court decision, but we do not know
what will happen as regards UK cases in the
CJEU pipeline on the day the UK leaves the
EU or what will happen as regards disputes
after Brexit as to the meaning of EU law
pre-Brexit.
For UK direct taxes such as corporation
tax, Brexit will change little as the taxes are
purely domestic. Although, businesses that
rely on the Parent-Subsidiary Directive or
the Interest and Royalties Directive could
see their overseas tax bill increase, if those
withholding taxes are not independently
eliminated by the relevant double tax treaties.
Corporation tax is due to reduce to 17%
in 2020, and the previous Conservative
government has committed to keeping the
rate low (although Labour has said that
it may raise corporate taxes). It could be
reduced further to stimulate foreign direct
investment. However, the UK remains
committed to the OECDs project to reduce
international tax avoidance. There are
therefore limits to the extent to which
LEAVING THE EU WILL
GIVE THE UK GOVERNMENT Heather Self is a Partner* at
THE OPPORTUNITY TO Pinsent Masons with over
30 years of experience in
RECONSIDER ITS POLICY tax. She has been Group
IN RELATION TO VAT. Tax Director at Scottish
AT PRESENT THE UK IS Power, where she advised on numerous
corporate transactions, including the
OBLIGED TO MAINTAIN A $5bn disposal of the regulated US energy
VAT SYSTEM COMPLYING business. She also worked at HMRC
WITH EU LAW. on complex disputes with FTSE 100
companies, and was a specialist adviser to
the utilities sector, where she was involved
in policy issues on energy generation
and renewables. She is a member of the
CBI Tax Committee and the ICC Taxation
Committee and a former Chairman of
it will be able to change the UK tax code the CIOT Technical committee. While
as it applies to cross-border situations. at HMRC, she was a member of the joint
So, considerable uncertainty lies ahead, working group on the development of
the new Controlled Foreign Companies
particularly as regards customs duties and
(CFC) regime.
tariffs, but businesses can begin to prepare
so that Brexit is not a step into the dark.
55
ICC United Kingdoms Official G20 Publication
Digitisation
Authored by: Alexander Goulandris
Enabling
paperless
trade
I
n the drive for simplicity and
automation in trade, companies and
banks are increasingly turning to
digitisation. In the last few years,
eCommerce trade has grown from a few
million dollars to over $1.7T of trade in 2016,
across platforms such as eBay, Alibaba,
Amazon, in US, EU and China.
But what does it mean and why
should G20 leaders take note?
Digitisation in trade and trade finance
brings significant operational and financial
benefits through automation whilst providing
greater compliance and transparency. IATA
estimate that eDocs will reduce export paper
processes by up to 44%1 when fully digitized.
The digitisation of things also known as
the Internet of Things (IoT), increasingly
offers real-time cargo information and in
56 iccwbo.uk
turn a reduction in risk for buyers and banks.
As digitisation efforts bear fruit, the risk
(and cost) of trade will reduce, in turn allowing
for more trade finance and more trade.
As financial inclusion bubbles to the
top of policy imperatives, enabling digital
trade should be a critical initiative for all
G20 leaders.
In addition, real-time digital document
analysis combined with artificial intelligence
learning offers a powerful tool in identifying
terrorism financing flows and dual use goods
shipments which are in contravention of
export controls.
There are several different levers which can
be pulled to enable digital trade as follows:
Acceptance: ensuring that relevant arms
of Government, such as the Central Bank,
Customs, Health and Tax Authorities,
as necessary, accept electronic trade
documentation as an alternative to paper.
In addition, where digitisation projects are
undergoing such as the IPPC ePhyto Hub
Project2 , it is critical for Governments to
participate to ensure their global success.
Adoption of the World Customs Organization
Data Model as part of a Single Window
project will also greatly facilitate digital trade,
as will the full implementation of the WTO
Trade Facilitation Agreement (TFA) once
more member states support and accept it.
Incentives: the transition to digital trade
is a significant endeavour for companies and
banks alike. Incentivizing trade participants
to make the investment will accelerate the
transition and in turn deliver the benefits
 THE DIGITISATION OF
THINGS ALSO KNOWN AS
THE INTERNET OF THINGS
(IOT), INCREASINGLY
OFFERS REAL-TIME CARGO
INFORMATION AND IN
TURN A REDUCTION IN
RISK FOR BUYERS AND
BANKS. AS DIGITISATION
EFFORTS BEAR FRUIT, THE
RISK (AND COST) OF TRADE
WILL REDUCE, IN TURN
ALLOWING FOR MORE
TRADE FINANCE AND
MORE TRADE.

Alexander Goulandris is
the co-founder & CEO of
essDOCS, the leading enabler
of paperless trade. Under
his stewardship, essDOCS
has built a reputation for
delivering innovative solutions for several
of the most complicated paper problems
in global trade, and was the first company
to build an industry-wide accepted
electronic Bill of Lading (eB/L) solution.

to GDP and financial inclusion. Possible
incentives that G20 countries could offer
include: (i) blue line customs clearance for
cargos shipped under digital documents; (ii)
reduction in capital adequacy requirements
for credit provided under a digital trade asset;
(iii) tax credits for companies engaged in
digital trade transformation; and/or (iv) tax
credits or grants for digital trade providers.
Model Law on Electronic Transferrable
Records (due to be adopted in July 2017),
which deals with all negotiable instruments.
In addition, G20 countries should focus on
promoting technological neutrality, i.e.
no requirements for local digital signature
providers or local storing of data, as that
negatively impacts the suitability of
those rules for international trade.
Alexander started his career as a maritime
lawyer with Holman Fenwick & Willan
in London, Athens and Hong Kong. In
January 2003, he co-founded essDOCS
with the aim of eliminating the significant
inefficiencies resulting from the use of
paper documentation in shipping, trade
and trade finance. Today, he is primarily
responsible for the companys strategic
direction.

He is admitted to the Supreme Court

Legislation: one key complexity in digital
trade, is the enforceability of electronic title
documents, such as bills of lading, warehouse
warrants, bills of exchange and promissory
notes, without the need for a complex
multi-partite legal agreement. G20 leaders
can assist by ratifying for example the
Rotterdam Rules which enables electronic
bills of lading, or the upcoming UNCITRAL
In summary, Digital Trade will provide
enormous benefits, whether focused on
domestic or international trade. The support
of G20 leaders is important in accelerating
this transition.
1
Source: http://www.iata.org/whatwedo/cargo/e/
Documents/full-case-study-kn.pdf.
2
Learn more at: http://www.fao.org/news/
story/en/item/281075/icode/
of England and Wales, the US Federal
District Courts of the Southern and
Eastern Districts of New York and the
New York State Supreme Court, and is a
member of the American Bar Association,
the Law Society of England & Wales
and the ICC Banking Commission
Advisory Board.

57
ICC United Kingdoms Official G20 Publication
Annual Conference
UK Annual Trade
Finance Conference:
Regulation, digitisation and
standardisation the hot
topics of trade finance
After an eventful year for trade, the
International Chamber of Commerce (ICC)
United Kingdoms Annual Trade Conference
at Allen & Overy LLP examined the impacts,
challenges and opportunities for trade
finance
T
he recent ICC United Kingdom
Annual Trade Finance Conference
provided a forum for discussion
between leading trade finance
figures in the UK and Europe, examining
the new challenges and opportunities facing
the global trade finance industry. Regulation,
digitisation, and standardisation were the key
topics of the day with the need to respond
to growing protectionism an additional
seasoning throughout.
58 iccwbo.uk
An uncertain environment
Political events throughout 2016 have
caused trade to shoot to the top of almost
every governments agenda. The speakers
agreed that we are operating in times of
uncertainty, with mounting protectionism
evident in Europe and the US, as well as
changes underway in the regulatory, political
and financial landscapes. In his opening
keynote speech, Douglas Flint, Group
Chairman of HSBC Holdings, commented
on the current global economic landscape:
At an already fragile time for the global
economy, the institutions that underpin the
rules-based economic order are being
challenged. For advocates of open markets
and free trade, there is a concern as to
whether we are at somewhat of a tipping
point for the worlds approach to
globalisation. Constraints on trade
agreements, or trade financing, are
problematic for the global economy.
In this environment, international
organisations and governments need to
help combat the anti-trade sentiment and
refute the myths put forward about trade.
On Brexit
No trade focused event taking place in the
UK in 2016 could fail to discuss the impact
of Brexit. In the UK, general political and
economic uncertainty has impacted long-
term plans for many businesses.
There is obviously a lot of uncertainty in
the market, with many businesses hesitant to
make long-term decisions, and we have seen
some slowdown in our clients committing
to long-term contracts. Banks need to work
together to help clients better understand the
benefits of trading internationally and create
stronger opportunities to export, said Adrian
Walker, Managing Director, Head of Global
Transaction Banking, Lloyds Bank
Commercial Banking.
For Adam Sopher, Co-founder and Director
of Joe and Sephs a gourmet popcorn
company the immediate effects of the
UKs decision to leave the EU were evident:
We had sugar and chocolate prices go
up 5% and 15% respectively. But while our
import costs have gone through the roof,
we now have a huge opportunity to export
even more.
What is important to remember is that
the UK has a remarkable history as a trading
nation, and is currently the worlds fifth-
biggest economy and sixth-largest exporter,
with overseas sales making up nearly a third
of its GDP. The UK is also a global leader in
many of the worlds most in-demand sectors,
with a long tradition of innovation and
excellence.
Sometimes I think we underestimate
the sheer respect and admiration for British
goods and our reputation, said Tim Hinton,
Managing Director of Mid Markets and
SME Banking, Lloyds Bank. There is high
demand for British products and we can tap
into these opportunities. Brexit will hopefully
encourage British businesses to think more
What is keeping you
awake at night?
32
Sluggish Global Growth
Protectionism/Political Risk
Disruption from
Technology and Change
Regulatory Compliance/Risk
8 requirements while deemed necessary
5 5
about global markets beyond Europe. conference audience agreed, with most
The government is sending a very clear voting Regulatory compliance/risk as
message: Britain is open for business. While what keeps them awake at night.
developed markets like the EU and the US Such is the impediment caused by such
remain the UKs largest trading partners, measures to trade finance that many at the
there are huge opportunities in faster- event speakers and audience alike
growing markets, said Louis Taylor, acknowledge it to be at least partly
Chief Executive, UKEF. responsible for the global shortage of trade
In total, there are 52 markets that the finance, currently estimated at US$1.6 trillion
Department for International Trade has by the Asian Development Bank.
identified as holding the greatest potential for It is obvious that regulation is causing a
UK exporters 36 of which are not in the EU slowdown in the ability to quickly finance
and these countries all represent well over opportunities, said Niels de Ru, Partner,
200 billion of potential business for UK Allen & Overy, Amsterdam. Instead of the
exporters, Taylor added. onesize- fits-all approach, regulators need
The international trade landscape is still to incentivise banks to mitigate risk in
difficult to navigate for many businesses ways that enable them to structure credit
however, and planning ahead is key. There facilities for their clients.
is more that could and should be done Whats more, there is a need for clarity
to facilitate cross-border trade, with huge around the implementation of compliance
opportunities to expand and diversify measures, particularly with regard to what
the UKs exports. exactly is required for different rules.
Banks that were most affected by the
Oiling the wheels of trade financial crisis are taking a much stricter
But for companies to expand into new interpretation of compliance rules than
markets, they need financing. Trade finance perhaps some of the other banks are. The
is clearly crucial in oiling the wheels of global divergence of approaches is certainly in need
trade without it, many businesses wouldnt of addressing, said Andy Blacksell, Head
be able to buy and sell the large volumes of of Underwriting Policy and Products, UKEF.
material needed every day. Fortunately, there are steps that can be
At the moment we estimate trade finance taken to provide clarity around compliance.
to support around two-thirds of world trade, Firstly, we need to create a practical, trade
commented Dr Marc Auboin, Counsellor in specific rule-book for KYC implementation,
the Economic Research and Statistics Division, explained Auboin. Secondly, we need to
World Trade Organization (WTO). Its a very
liquid market. If you think that short term
capital flows around the world are US$30
trillion across the year, a third of that is
trade finance.
Christophe Salmon, Group CFO, Trafigura
Group, said: For us, transaction-specific
trade finance provides our working capital,
all our daily operations, and the commercial
relationships that drive our business. They
represent the dual foundation of trust and
liquidity, without which we would cease
to function.
Policy regulations and
implications for growth
Yet, there are a number of trends having
a detrimental effect on trade finance.
For example, regulation and compliance
for a stable and healthy financial system
are widely perceived to have presented a
hurdle for the industry.
Data from the ICCs latest Global Survey
on Trade Finance supports this, with 90% of
respondents citing the cost and complexity of
complying with Anti-Money Laundering (AML)
and Know Your Customer (KYC) requirements
as significant barriers to the provision of trade
finance, while 77% also cited regulatory
requirements. The Annual Trade Finance
59
ICC United Kingdoms Official G20 Publication
Annual Conference
distinguish between the implementation of
remittances and trade finance. At the present
moment the two are pretty much considered
one and the same, and there is much more
capacity put into remittances than in trade
finance that needs to be addressed.
And it is crucial that such steps, or similar
measures, are taken to make regulatory and
compliance policies more trade finance-
friendly. Furthermore, as David Bischof,
Senior Policy Manager at ICC Banking
Commission, pointed out this gap is not
evenly spread, with SMEs feeling the effects.
The SME sector is by far the sector that
approaches banks and requests trade finance
the most. At the same time, almost two-thirds
of their requests are rejected, said Bischof.
A crucial way to help address the trade
finance gap and encourage support for SMEs
particularly in emerging markets is
through achieving an even more risk-aligned
treatment of trade finance. This is precisely
why the ICC Banking Commission first
initiated the Trade Register project in 2009,
aiming to gather data on the default risks
from member banks. With these results, ICC
tries to elucidate the low risk nature of trade
60 iccwbo.uk
finance each year with the Basel
Committee and other regulators.
The issue of declining trade finance is
a cause for concern, and the trade finance
industry needs to adapt to the new realities;
finding ways to continue to promote
international trade, and making trade
finance which drives international trade
more available and more effective has
never been more important.
Technology and innovation
Digitisation of trade finance was a trend
discussed throughout the conference, and
regarded as a topic of particular importance
- particularly as the industry continues
to generate millions of pieces of paper a
year the majority dealt with manually.
This is expensive and causes errors and
delays. In fact, around 50% of the costs
for banks of obtaining a Letter of Credit
(L/C) arise from the handling of manual
documents, said Flint.
The broad consensus was that the
digitisation of trade finance has the potential
to increase efficiency and reduce costs.
Digitisation allows collaboration over
drafting of documents, in addition to
legal certainty, straight-through processing,
shared platforms, the automation of
document production, and even a greater
ability to conduct due diligence all the
more important when banks have been
given more responsibility over the detection
of financial crime and the enforcement
of sanctions, he added.
Moving to a paperless trade system
would remove inefficiencies, remove
the risk of fraud, and provide greater
certainty and speed.
Clearly, it is important to capture the
benefits arising from digitisation. The
current procedures underpinning the
financing of trade remain largely untouched
by technology. In fact, according to the ICC
Banking Commissions 2016 Global Survey,
only 7.4% of banks reported that their trade
finance processes had been digitised
to a great extent.
John Carroll, Head of Products and
International Business at Santander UK,
raised the point of how innovation can
be used to facilitate companies to
conduct more trade.
 In both the UK and the rest of Europe,
there is a strong focus on high growth
businesses, as while a small percentage
of total companies, they disproportionately
drive jobs and economic growth, Carroll
explained. Inevitably such growth
companies will expand overseas and
represent a huge client and partnership
opportunity for banks. Certain banks will
be able to harness their technology and ideas
to improve their propositions while at the
same time using their global networks to
help these businesses expand overseas.
Interest from the trade finance industry
is already evident, with investment in
supply chain finance solutions, capabilities,
and platforms.
Banks are particularly interested in
the way technology can play a big role
in commoditising supply chain financing
solutions to make them more accessible,
said de Ru.
Technical challenges
Yet, while digitisation is clearly important for
innovation and growth, there are a number
of barriers that need to be overcome. Carroll
Barriers to digitisation
Scalability (a system that scales with data integrity)
Security (data cannot be compromised by cyber-attack)
Privacy (achieving balance between privacy and resilience)
highlighted the obstacles to digitising,
such as scalability, security, privacy,
interoperability, sustainability, and business
and legal processes. When the audience
voted on which was the biggest barrier,
the result was clear security and the
business processes involved in achieving
global standards.
Achieving global standards is a
considerable challenge, and as Chairman
Flint pointed out: If digitisation is the
enabler of global trade, then common
standards will be the enabler of digitisation.
In a rapidly changing environment, clarity
and standardisation are crucial to ensuring
smooth operations in a complex industry.
Another barrier to digitising trade finance
is that for many non-millennials, the
adoption of technology is not second nature,
particularly in the trade finance industry
where so many are used to holding paper.
In order to keep up with the changing times,
the banking industry mind-set must
also evolve.
Today, we need to embrace what is
coming through the pipeline, and accept
that the traditional ways of working in the
banking industry are changing those
who are successful will be those who
embrace that as quickly as possible,
said Henry Balani, Global Head of
Strategic Affairs, Accuity.
Moreover, fintechs are increasingly
entering the trade financing space. But
should they be seen as competitors or
partners?
Irene Graham, CEO, Scale-Up Institute,
said: The future of relationships between
banks and fintechs should be about
cooperation and partnership. Those in
the banking industry that do collaborate
and find the right balance will be the
most successful.
The threat of increasing trade barriers
and limited options for liberalisation mean
the trade finance industry needs to embrace
change. In uncertain times the industry
should pursue new ways to ease trade
finance for businesses of all sizes.
And the demand for trade finance will
only grow. By 2050 it is estimated that there
will be about 5 billion new members of the
middle class, all demanding goods and
services, said Flint.
Clearly, there is reason to be optimistic
in the long-term. Overall, the feeling at the
conference was that trade finance has never
been more crucial to businesses operating
in the UK and the wider global economy
highlighting the need to collaborate efforts
between industry, government and other
corporates. If we can deliver the change
required, the rewards will be significant.

Interoperability (ensuring DLT* fits in with existing standards)

Sustainability (DLT* uses more energy and storage)
Business process (global standards for exchange of data)
Legal framework

12 12

10
THE THREAT OF
INCREASING TRADE
BARRIERS AND
6
LIMITED OPTIONS FOR
LIBERALISATION MEAN
4 THE TRADE FINANCE
INDUSTRY NEEDS TO
EMBRACE CHANGE. IN
2 UNCERTAIN TIMES THE
INDUSTRY SHOULD
0
PURSUE NEW WAYS TO
EASE TRADE FINANCE
FOR BUSINESSES OF
ALL SIZES.
61
ICC United Kingdoms Official G20 Publication
Annual Conference
Authored by: Michael Every and Peter Hirst
Asia can no longer expect
to export its way to growth
E
xport-led economies are struggling
with falling demand and political
resistance, so where do the
opportunities for future growth lie?
We speak to Michael Every, Head of Financial
Markets Research, Asia-Pacific, at Rabobank
for his view, with commentary from Peter
Hirst, Co-Chair of Global Arbitration at
Clyde & Co.
In the late 1800s and early 1900s, the
USA attempted to replace the UK as the
worlds principal financial centre. America
had become an enormous net exporter,
but the US dollar was not the dominant
international currency that it is today.
As a mammoth exporter, dollars
relentlessly flowed back into the country.
The US required a new plan. To boost
dollar circulation, it became a major lender,
pumping the USA currency into Europe, Latin
America and other regions, helping to direct
trade flows through New York at the expense
of London and to solidify the USAs global
financial status.
62 iccwbo.uk
Today China is facing a similar test
as it deals with a slowing economy and
dwindling exports. Its new lending and
investment programme has similar hallmarks
to the USAs previous efforts, as it seeks to
internationalise its currency, the renminbi
(RMB). China is using its huge trade surplus,
despite the slowdown in exports, to become
a global lender. Chinese banks have become
dominant players, eating into the traditional
domain of the international banks.
As part of this initiative, it has launched
its much-vaunted One Belt, One Road
(OBOR) programme, which is intended
to provide a pivotal impetus in the renminbis
emergence and the augmentation of
Chinas existing trading routes.
OBOR will increase Chinas lending to
infrastructure projects around the world,
especially along the old Silk Road trading
route, and boost the use of Chinese goods
such as steel and Chinas own labour force.
With OBOR, you cant help but see the
parallels with the USAs previous policy and
see that it is about getting the renminbi
internationalised. You cant internationalise
the currency if it keeps coming back,
comments Michael Every, Head of Financial
Markets Research, Asia-Pacific, at Rabobank,
indicating that an export-led economy
doesnt lend itself to developing a currency
on the international stage.
Like the US before it, China will hope
that its lending programme and OBOR
initiative has the desired effect but it will
recognise that infrastructure projects can be
uncertain ventures at the best of times. The
US itself lost money during its own lending
programme, in part due to World War I
and the subsequent Great Depression.
China may well have to face up to the
fact that many infrastructure projects are
not always financially successful, says Every.
Most important is to consider that few of
these OBOR projects are necessarily going to
be profitable for China infrastructure on
that scale rarely is. Is this really the best use
of the countrys accumulated capital from
years of running trade surpluses? Id say its
an open question.
Political Resistance
The OBOR initiative is of course part
of Chinas effort to deal with a slowing
domestic economy and recognises that
the recent globalisation phenomenon is
engendering distress in some quarters.
Donald Trump, the future US President,
has made some characteristically forceful
statements about the nations trading
relationship with states such as China.
Earlier this year, Theresa May, the UK Prime
Minister delayed a decision on whether to
allow the China-backed Hinkley Point nuclear
project to go ahead over concerns about
the security implications of the Chinese
investment. This political backdrop is likely
to have an ongoing influence on cross-
border trade and commercial transactions.
In light of the collapse in global demand
for commodities and other goods, which
has impacted economies such as China, the
environment is even more tense. Weve seen
from the past how disruptive a sudden drop
in exports is for these kind of externally-
driven economies, says Every. Any
slowdown in global trade growth hits them
extremely hard. In a nutshell, Asia can no
longer expect to export its way to growth
off the back of the Western middle class;
domestic demand is going to have to become
a much more important driver in Asia, and
trade a larger one relatively in the West.
Otherwise, risks rise of either another
economic or political shock.
OBOR is likely to become a fundamental
part of Chinas efforts to see the RMB
become more ubiquitous around the world,
but Every expects China to maintain a much
broader investment and lending strategy into
developing economies as it seeks to ensure
a steady supply of key agricultural/
food inputs.
Last year, China and Brazil agreed a series
of trade and investment deals worth billions,
which included an emphasis on improving
Brazils infrastructure, such as a USD 10
billion rail project. Earlier this year, Petroleo
Brasileiro (Petrobras), Brazils flagship oil
and gas company, received a USD 10 billion
loan from China Development Bank, as
China sought to insure its existing and future
supplies of crude oil. Similar deals have been
struck with other Latin American nations
such as Venezuela, and trade between Brazil
and China has ballooned from USD 6.5
billion in 2003 to USD 83.3 billion in 2012.
Agreements of this nature are certainly
welcome, particularly for nations like Brazil
that are under fiscal pressure and have
suffered a series of political and corruption
scandals. But Every says that those dealing
with China should be alert to its motivations
so as to avoid disputes further down the
line. All recipient countries will be happy
to get new roads and rail, but there can be
strings attached.
With China essentially putting up the
money, it will understandably hold the
balance of power in negotiations and
counterparties will need to stay alert to
ensure they protect their key interests.
Intra-Asia and Trans-Continent Investment
At another level, China has shown a
willingness to invest in and to lend to
developing economies that other nations
have been reluctant to engage with. It is
part of a growing trend for investment and
trade to bypass the traditional money centres.
China is one instance, but the rise of the
ASEAN region and India in cross-border
trade and investment is another example.
These create new commercial and contractual
relationships that dont always follow classic
structures. Parties to such agreements will
typically have to work doubly hard to
protect their interests.
With infrastructure in the developing
world still lagging far behind mature markets,
the demand for further investment remains
substantial and is expected to continue for
several decades. While Chinas OBOR
initiative is thought to be a modern day
evolution of its ancient silk trade routes,
there is a clear necessity throughout Asia
and the rest of the world to enhance trade
links between regions and nations; tighter
links between the ASEAN region and
India is just one example.
According to Peter Hirst, Co-Chair of
International Arbitration at Clyde & Co,
globalisation and state investment have led
to the development and expansion of a
system of legal and institutional protection
designed to put foreign investors and host
states on an equal footing. This includes
protections for investors in international law
and arbitration of investment disputes set
out in multi-lateral and bilateral investment
treaties, national investment laws and the
investment agreements of the parties. This
is an established yet developing area of law
but there is no doubt that when arbitration
disputes involve high stakes, economic
and political upheaval can occur.
Growth in new markets has advantages
for investors and investees, but Every
believes there are dangers on the horizon
as imbalances between global demand and
worldwide supply become even more acute.
The underlying backdrop is worrying. Asia
has generally grown off the back of exports
and that paradigm is coming to an end. You
are seeing a backlash with some of the G20
nations saying that western consumers just
want their jobs back. You also see China
capturing more global trade at the expense
of other Asian nations. There are certainly
tensions where China makes everything.
In a recent speech to the United Nations,
Theresa May, Prime Minister of the United
Kingdom, warned that increasing
globalisation had resulted in too many
feeling left behind. Every says this is just a
case of history repeating itself, adding that,
in the long run, you always see a period
of free trade breaking down in the end.
He believes this is classic mercantilism
at work: China wants to sell more than
it buys. Mercantilism works brilliantly for
the mercantilist, but its terrible for
everyone else.
China, though, is a sophisticated beast.
Its relatively late appearance to the world
stage it joined the World Trade Organisation
(WTO) in 2001 belies a gifted cohort of
native policy makers and economists. It has
proven adept at shifting direction as soon as
obstacles appear to block its path to global
pre-eminence. While political antipathy
towards its stance on trade and exports may
be growing, China is a wealthy saviour for
many developing economies and frontier
markets that also want to be part of the
globalisation phenomenon. Globalisation
may be running into a sticky patch, but
it has certainly not run its course.
Peter Hirst is the Co-Chair
of the Clyde & Co Global
Arbitration Group. Peter has
arbitrated and litigated in
more than 50 international
jurisdictions, from the Far East, Middle
East, Central Asia, North Africa, US and
South America where he has wide variety
of experience in all arbitral institutions
and areas of commercial law. Peter is a
fellow of the Indian Counsel of Arbitration
and registered foreign lawyer of the
Brazilian Bar (OAB).
Michael Every is the
Head of Financial Markets
Research Asia-Pacific. Based
in Hong Kong, he analyses
the major developments in
the Asia-Pacific region and contributes
to the banks various economic research
publications for internal and external
customers and to the media.
Michael has nearly two decades of
experience working as an Economist
and Strategist. Before Rabobank, he
was a Director at Silk Road Associates, a
strategy consultancy based in Bangkok.
Prior to this, he was Senior Economist
and Fixed Income Strategist at the Royal
Bank of Canada based in both London
and Sydney. Michael was formerly also
an Economist for Dun & Bradstreet in
London, covering ASEAN.
63
ICC United Kingdoms Official G20 Publication
Global Debate
United Kingdom
Global Debate:
Business and government
must collaborate on UK
trade negotiations
The International Chamber of Commerce
(ICC) United Kingdoms Global Debate on
23 November, at Merchant Taylors Hall in
London, presented an opportunity to reflect
on the current economic and political climate
and to discuss the upcoming UK trade
negotiations with keynote speeches and
a panel discussion providing much-
needed clarity and insight.
Speakers:
Lord Price, Minister for
Trade & Investment
Sir Michael Rake, Chairman,
ICC United Kingdom
Paul Drechsler, President,
Confederation of British Industry (CBI)
Richard Eglin, Senior Trade Policy Advisor, The UK has long had an internationalist
White & Case, Geneva
Robin Niblett, Director, Chatham House
Chris Southworth, Secretary General,
ICC United Kingdom
Linda Yueh, economist, broadcaster,
and author
W
e couldnt live in more
interesting times, with
the Brexit vote and most
recently the surprise of
the Trump election. Even before the events
of the last few months, many were worried
about increasing protectionism around the
world, said Sir Mike Rake, Chair of ICC
United Kingdom, in his opening speech
at ICCs Global Debate.
Clearly, such events are having a
significant effect on UK business. This is
particularly true with respect to the historic
Brexit referendum, with ongoing uncertainty
around the process of exiting the EU
and upcoming UK trade negotiations.
The bottom line is businesses are used
to dealing with change, Brexit presents
new tough challenges, said Paul Drechsler,
President of the Confederation of British
Industry. This might be easier for some
64 iccwbo.uk
than others, however, with Drechsler
highlighting that it can be a real burden
for small to medium-sized businesses.
This is precisely why ICC and CBI launched
a business guide on trade negotiations at
the event, highlighting what businesses
should expect and how they can prepare
recommending that businesses should
inject their views and interests into the
negotiation process as early as possible.
The events keynote speaker, Lord Price,
Minister of State at the Department for
International Trade, highlighted the need
now, perhaps more than ever before,
for such collaboration in the business
community stressing that the UK should
use its exit from the EU to become a
passionate advocate of global free trade.
nature, and business leaders across the
world very much see Britain as open
for business. At the same time, while
government can help set the framework
for future trading, the real insight needs
to come from business on the front line
they need to help government to chart
that future, said Lord Price.
In particular, the business community
should help to reinforce the case for global
trade countering the increasingly prominent
protectionist instincts around the world.
Turning inwards will not solve trade
repercussions.
Lord Price explained that one need look
no further than North and South Korea the
latter a fine example of an open economy in
action, while its northern neighbour suffers
from being a close economy. Indeed, the two
countries started at similar positions in 1946,
but are poles apart today. Seoul is a thriving
democracy, with high standards of living for
all its citizens, while Pyongyang is now one
of the worlds most restricted and
impoverished societies.
The Korean case shows why I and the
Department for International Trade and
others in government want the UK to
become a champion of global free trade,
remarked Lord Price.
 65
ICC United Kingdoms Official G20 Publication
Global Debate
Globalisation backlash
Yet, while open borders and globalisation
are crucial to delivering growth in aggregate
terms, this has not always been the case on
the local level. A sense of missed opportunity
for many in the UK and US through frozen
medium wages and job insecurity among
manual workers has pushed people to
vote against the establishment.
The speakers agreed that the Trump win
one clear example of the anti-establishment
sentiment has echoed the negative feelings
towards trade in developed countries. Many
of those who feel left behind find it easy
to blame trade for economic woes or
stagnant wages.
Yet, as Linda Yueh economist, broadcaster,
and author explained, local issues are
more often than not caused by factors other
than trade, including automation, increased
worker bargaining power, and the need to
assess the distribution of wealth. Indeed, she
also spoke of the need to focus on domestic
policies and ensure that the benefits of trade
are distributed fairly in society: Until
policymakers address this, there will be a
huge resistance towards trade, at the very
moment we need it the most. Despite
backlash over globalisation, the digital
66 iccwbo.uk
economy means more business will
continue to be conducted across borders.
The question is whether policymakers
will lag behind or help to open up markets.
And, as one of the audience members
highlighted, the UK faces a paradox when
it comes to trade. According to recent
University of Strathclyde research, 90% of
people in the UK want free trade, but 70%
also want to limit immigration. Certainly,
Robin Niblett, Director of Chatham House,
noted the identity issues that can arise with
large rapid immigration or cultural change.
Most often it is the more centralised
countries that are the least resilient to the
immigration phenomenon for instance,
the challenge for the UK is the disconnect
between the aggregate benefits of immigrants
moving to the UK, and how these are
distributed regionally. For instance, if you
are in Sunderland, where immigration levels
are high, and not enough hospitals and
services are being built, these issues will
be connected to the immigration
phenomenon, Niblett remarked.
A cliff-edge?
Having established some of the reasons
behind the EU referendum result, the Trump
win, and how businesses and government
should and must collaborate, the Global
Debate moved on to the nitty-gritty of
what we might be able to expect as the
EU negotiations unfold. First on the
agenda was the WTO.
In the current climate, the WTO is often
referred to as a back-up option for the UK
following the loss of preferential access to the
EU market. The WTO is the basis on which
the UK trades with around 100 countries with
which it does not currently have a free trade
agreement including the US, Japan, China,
India, Brazil, Australia, New Zealand, and
most of the rest of Asia and Latin America. In
fact, these countries account for around half
of UK trade and about 60% of UK exports
worth annually around 300 billion.
According to Richard Eglin, Senior Trade
Policy Analyst in the Geneva Office of White
and Case LLP, WTO rules mean that trade is
unlikely to be disrupted while negotiations
are taking place. At the same time, however,
the UK should keep its schedules unchanged
as far as possible from what they currently
are in the EU. Furthermore, the WTO will
continue to provide security and market
access without disruptions.
But what about the other half of UK
trade most of which is with the EU?
WTO rules will apply fully to UK-EU trade
from day one after the UK withdraws from
the EU regardless of whether a new trade
agreement is in place, Eglin explained.
WTO rules will allow the UK to continue to
use trade defence measures in a disciplined
way, against unfairly subsidised imports.
This could matter a great deal for some UK
industries, such as steel, chemicals, and
plastics which are presently protected from
unfair competition by EU remedies.
Whats more, WTO rules will also regulate
the type of trade agreement that the UK will
negotiate with the EU. Free trade agreements
can cover goods and services, separately or
combined with plenty of examples of both
around the world. However, single sector
agreements such as an agreement solely
in financial services are not allowed.
WTO rules require free trade agreements
to cover all the trade between parties.
Finally, WTO rules will also guarantee
market access between the EU and UK.
30% of trade between the UK and EU will
continue to take place duty free. Beyond that,
however, any access falls short of what UK
exporters currently have for the EU market
particularly with regards to agricultural
products, where the farming sector will
be one of the priority sectors when it comes
to negotiating. Clearly it is in the interest of
both UK and EU business to reach a free
trade agreement covering both goods
and services.
Of course, the Global Debate attendees
also wanted to know how much truth
there is to the idea that without transitional
arrangements in place, businesses are
facing a cliff edge in negotiations
with high tariffs, for instance.
According to Eglin, while there will be
some higher tariffs, the biggest concern is
actually about non-tariff barriers the
exchange rate and regulatory aspects, for
instance: The UK Government needs to
know what to negotiate for different industry
sectors from car manufacturers to farmers,
for instance. Without knowing this, then we
have broad statements about falling off a
cliff in some cases potentially correct,
but we dont yet actually know what this
means for different sectors.
Timing
For many businesses, ascertaining the
timing of negotiations is also a priority.
Here, however, there is no definitive answer.
OF COURSE,
THE GLOBAL DEBATE
ATTENDEES ALSO
WANTED TO KNOW HOW
MUCH TRUTH THERE
IS TO THE IDEA THAT
WITHOUT TRANSITIONAL
ARRANGEMENTS IN
PLACE, BUSINESSES ARE
FACING A CLIFF EDGE IN
NEGOTIATIONS WITH
HIGH TARIFFS, FOR
INSTANCE.
We have to first see what we want to
negotiate and then be smarter about how
to do it, Eglin said. It may be preferable
for the UK to aim for a single free trade
agreement covering farm exports,
manufacturing, services, and so on because
of the wider scope for trade-offs that this
would provide. The only downside is that
this could delay agreement for all until the
most contentious issues have been resolved.
In addition, as Eglin elaborated, similar
starting positions between the UK and EU
could help to accelerate negotiations: Ideally
the UK should keep its EU market access
schedules unchanged, and maintain as far
as possible EU regulations for goods and
services. The more the market access and
regulatory profiles diverge, the more
time-consuming the task of identifying and
evaluating reciprocal concessions for both
UK and EU negotiators, Eglin added.
Furthermore, identical goods schedules
might also make it possible to find a way
of mutually avoiding the use of rules of
|origin and costly customs procedures.
Although we are only beginning to
recalibrate UK trade policy, my advice to
companies is to get fully involved now. They
should identify specific trade concerns about
the transition and make sure that these are
fully factored into the instructions that the
government will provide to UK trade
negotiators, Eglin said. Successful trade
negotiation depends on good preparation
and being decisive from the start about the
objectives, the fall back positions and the
possible trade-offs.
Certainly, the ICC-CBI business guide
on trade negotiations provides clarity for
businesses with regards to the negotiation
scenarios and timeframes explaining that
businesses must map out their company
risk and opportunities across this timeline.
Staying up to date with information and
in close dialogue with government will
certainly help businesses to understand
the opportunities and manage the risks,
added Chris Southworth, Secretary
General at ICC United Kingdom.
Finally, when it comes to the EU
negotiations, the political context is, of
course, a deciding factor. Robin Niblett went
so far as to suggest that in a sense we are not
entering trade negotiations, we are entering
a political negotiation within Britain as
much as with the rest of the EU. Getting
the politics right and considering the different
set of perspectives is therefore critical.
The message was clear: whether to combat
anti-trade sentiments helping us avoid
protectionist policies entirely or to
ensure we get the best deal out of the EU
negotiations, British business must step
up to the plate and communicate with
government.
67
ICC United Kingdoms Official G20 Publication
Global Business
Authored by: Jenny Stewart
Meet your global
business network
A
year is a long time in business
and this summer will mark 12
months since Liverpools second
International Festival for Business
- with the economic landscape now
looking very different.
Last June the business world came to
Liverpool for IFB2016, which followed
on from the hugely successful IFB2014.
Centred on the newly-built Exhibition
Centre Liverpool, IFB2016 saw 26,000
delegates from all over the world descend
on Liverpools iconic waterfront for
the three-week extravaganza.
There were 108 international delegations
from 95 countries, more than 20 from
China alone, attending 80 events - even
Her Majesty the Queen paid a visit.
An analysis of IFB2016 revealed that
as a result of the festival more than 500
UK businesses secured export sales worth
87m, more than 850 firms secured
domestic sales of 145m, and businesses
reported attracting 22m of private sector
investment.
Furthermore, over 2,000 new jobs
are expected to be created across the
economy thanks to the event.
Liverpool & Sefton Chamber of Commerce
played a central role at IFB2016.
Meet Your Global Business Network,
the chambers international trade conference
and gala dinner, was one of the highlights
of the festival.
Organised by the chamber with the
support of colleagues at the British Chamber
of Commerce and the International Chamber
of Commerce (ICC), it returned by popular
demand after proving a hit at IFB2014.
The event introduced some 250 delegates
to representatives from more than 30
international markets for a plenary and
panel discussions, and helped facilitate
around 300 one-to-one meetings.
The concept was driven by demand from
chamber members who had experienced
a positive dividend from IFB2014 which
was directly responsible for helping 120
delegates access support to visit
international markets and leverage the
strength of the global chamber network.
AT IFB2016 we were joined by
representatives from Latin America, Africa,
Asia, and the Middle East who assisted in
developing the presence of UK businesses
on the global stage.
The event was brought to IFB2016 with
international strategic partners Turkish
68 iccwbo.uk
Airlines, Santander, Warrant Group and
DLA Piper and culminated in an exclusive
black tie gala dinner.
The overseas delegates were treated
to a showcase offering the best of British
in comedy, music, food and sport.
Our IFB dinners have become renowned
and attract companies who want to do
business in an informal environment, but
where they can build lasting relationships
with overseas chamber representatives.
Attending those dinners is proven to
put our members in a better position to
trade abroad and boost their bottom line.
John Carroll of the ICC addressed the
dinner and talked about how businesses are
fortunate to operate within a sophisticated
business environment that they would
do well not to take for granted.
He was applauded in his warning against
anti-trade rhetoric and protectionist policies
and, almost one year on, his words now
resonate almost prophetically.
He talked about how 2015 had seen the
biggest rise in protectionist activity since the
onset of the financial crisis with a estimated
40% rise in trade barriers introduced
compared to 2014.
During IFB2016 Britain held a Referendum
on its membership of the European Union
and, to the surprise and dismay of many
in the business world, we voted to leave
by 52% to 48%.
The UK Government is now set
to embark on two years of complex
negotiations ahead of our departure
from the EU and this has left businesses
uncertain for the future.
Will we successfully negotiate a more real with the election of Donald
favourable trade deal with the EU that will Trump as US President.
allow us continued access to the single Mr Trump has not been shy in bringing
market and its 500m-plus consumers - his own protectionist instincts to the
or will we face a so-called hard Brexit, fore with his America first policy.
leaving without a deal in place and falling During his speech last year, Mr Carroll
back on World Trade Organisation rules? delivered a compelling message about
There are growing fears that there are the Transatlantic Trade and Investment
powerful voices in the cabinet who are Partnership (TTIP) which sought to
relaxed about the latter option, indeed simplify trade between the EU and the US.
Prime Minister Theresa May is now on It was estimated, he said, that TTIP
record as saying no deal is better than could benefit the UK economy to the tune
a bad deal. of 10bn, but negotiations have stalled
Should Britain leave the EU without a deal and any deal now seems remote.
in place the National Institute of Economic However, the time is now to look forward
and Social Research has said the drop in and while Brexit, and the situation in the
UK-EU trade, caused by the imposition of US creates uncertainty, there are as many
tariffs, could be as much as 59%. opportunities as there are challenges.
And Mr Carrolls warning about the On the banks of the River Mersey the
increase in protectionism became ever opening of the Liverpool2 deep-water port
 SHOULD BRITAIN LEAVE THE EU WITHOUT A DEAL
IN PLACE THE NATIONAL INSTITUTE OF ECONOMIC AND Jenny Stewart joined the
SOCIAL RESEARCH HAS SAID THE DROP IN UK-EU TRADE, Chamber in 2006 as Head of
CAUSED BY THE IMPOSITION OF TARIFFS, COULD BE AS Membership, was named
Chief Executive Officer at
MUCH AS 59%. Liverpool Chamber in
November 2012. The
Chambers mission is to create business by
enabling companies to grow, by facilitating
terminal means Liverpool is now facing the the Middle East. networks and business contacts and
right way for the first time in decades. Here in the Liverpool city region we encouraging business to trade globally.
It delivers the National Apprenticeship
Our latest quarterly economic survey are open for business and our dynamic
Service creating more than 300 new jobs
showed firms in the city region have entrepreneurs are chomping at the bit each year for young people. Jenny
never been more optimistic for the future to trade with the rest of the world. founded the Spark Up programme at the
as they are right now. We must hope that a strong, visionary, chamber which works with early start
Our own trade experts have identified intelligent leadership emerges in Britain entrepreneurs. In two years, Spark Up
Mexico, Australia, Turkey and Kenya to aid the international trading community, has worked with 120 entrepreneurs,
created 130 jobs and enabled 550, 000
as markets ripe with growing trade allowing our family of chambers to
business finance.
opportunities, as well as more established achieve our mutual objectives of
markets such as South East Asia and economic growth.

69
ICC United Kingdoms Official G20 Publication

Scotland
Authored by: Liz Cameron OBE

Securing
Scotlands
Exporting
Future
I
believe that there is huge untapped
exporting potential among Scotlands
businesses, particularly among our small
and medium sized firms. Statistics show
that proportionately fewer Scottish SMEs are
trading internationally than is the case for
UK businesses as a whole; so, while there
is room for improvement, there is also the
potential for quick wins.
One of the key barriers preventing
more businesses from getting involved in
exporting is a perception of the financial and
regulatory risks involved, particularly at a
time of shifting international trade relations.
The UK Government is well placed to enable
solutions that will work for business, such as
Export Finance, and to support Chambers
in delivering lasting business relationships.
The Scottish Chambers of Commerce
network is working hard to ensure that more
of Scotlands businesses can start exporting.
This is a task that is best undertaken in
partnership with our Governments at a UK THE SCOTTISH CHAMBERS OF COMMERCE
and Scottish level, with the range of support NETWORK IS WORKING HARD TO ENSURE THAT MORE
that they can bring to the table. Recently, OF SCOTLANDS BUSINESSES CAN START EXPORTING. THIS
I travelled to Germany with the Scottish IS A TASK THAT IS BEST UNDERTAKEN IN PARTNERSHIP
Government to meet with colleagues at the
Association of German Chambers of Commerce
WITH OUR GOVERNMENTS AT A UK AND SCOTTISH LEVEL,
and to discuss the opening of a new Scottish WITH THE RANGE OF SUPPORT THAT THEY CAN BRING
Government Innovation and Investment Hub TO THE TABLE.
in Berlin. In addition to our European
engagement, we led a Chambers of Commerce of fluctuating exchange rates and continued
delegation to China and opened up a Scottish difficulties for many small exporters in
Trade Office in the Yantai region, providing a accessing credit facilities.
business-led practical way for businesses to Tapping into emerging markets matters for
export. Building on this type of domestic and Scottish businesses, because whilst the EU
international collaboration will become even will remain a significant export market, even
more important as Britain prepares to leave in the wake of Brexit, it has been the rest of
Liz Cameron OBE is Chief
the European Union. the world that has provided the bulk of new Executive of Scotlands
So, whilst the Scottish Government can opportunities in recent years. That can be largest business network.
help businesses with this targeted resource shown by the fact that whilst the value of Passionate about growing
in key markets and support Chambers of Scotlands exports to the EU have grown business & international
Commerce to increase international business by 7.9% since 2002, exports to the rest of trade, Liz is a sought after business voice,
advising Scottish & UK Governments,
alliances, the UK Government must utilise its the world have outstripped them, rising
start-ups & companies on economic &
enhanced capacity to open more doors for by 84.3% over the same period. business issues. Liz has been recognised
business across the globe, particularly in high To make this happen, Government as a Top 10 Women of Influence in
growth and emerging markets. The additional must open the doors and oil the wheels Scotland and was a Finalist at the 2016
support for UK Export Finance announced by that make trade possible. Thereafter, it is Scottish Business Awards. In addition, Liz
the Chancellor in his 2016 Autumn Statement up to the private sector, led by Chambers also gives back to the community and
serves as Chair of Wevolution and is on
is one welcome example of UK government of Commerce, to forge the lasting alliances
the Brain Trust of Tedx Glasgow.
support that Scottish businesses can build that will create the real exporting winners
upon, and is particularly important at a time of the future.

70 iccwbo.uk
 71
ICC United Kingdoms Official G20 Publication

Business Engagement
Authored by: Maria Beatrice Deli

G7: An opportunity
Goals in their own national policies and
plans. The transition towards an economic
system capable of using scarce resources

for business to engage

more efficiently is at the top of the global
political agenda. In this respect, ICC Italy
is spreading among its member companies
the world that sustainability is no longer
a luxury investment but a core driver of
business productivity and growth. This
is why we are calling upon the business
community to actively contribute to the
definition of coherent and meaningful polices
which conciliate the environmental, social
and economic dimensions, so as to ensure
fair economic rewards, while at the same
time respecting our Planets limits.
Finally, innovation and digitalization
remain at the core of the G7 agenda and
offer significant opportunities for business
engagement. ICC Italy, with its newly
established Digital Economy Commission, is
actively developing shared norms and standards,
promoting cross-sectoral best practices and
strengthening consumer confidence, believing
that these actions should be further encouraged
and shared among the business leaders, also by
conveying sound and effective recommendations
to be embodied in the G7 agenda.
The high-level interaction of the business
community with the Heads of Governments
triggered by the Taormina Summit provides
an outstanding opportunity of direct
participation to achieve shared goals. ICC
is best placed to help facilitate the dialogue,
and will take the outburst of the G7 Summit
to continue engaging effectively with national
institutions to promote the business interests
on the longer term.

T
he upcoming months will be crucial
for the world policy agenda, with
the Group of Seven (G7) Summit
taking place in Italy in May and
Group of Twenty (G20) gathering in Germany
in July. The timing of the Summits heightens
their importance, given the substantial
political, social and economic uncertainties
the world is currently facing.
While the world leaders bear the great
burden of fostering long-term global growth,
ensuring a fairer distribution of incomes and
wealth, and strengthening their commitment
for the market economy, ICC Italy is ready to
actively engage its member companies in the
G7 process and ensure their voice is heard.
Indeed, the interaction between the G7
political and business leaders can enact
mutually beneficial flows of information,
feeding into the Taormina Summits agenda
genuine business-oriented added value
as well as demonstrate that the business
community is already fine-tuned on a
truly global economic governance.
Since the first meeting in Rambouillet in
1975, the G7 has taken significant initiatives
to coordinate economic policies and
confirmed its strong influence on the
world economy, given that it brings together
seven of the largest trading nations which,
combined, account approximately 64%
of global net worth.
Global trade governance, innovation,
sustainability and the efficient use of
resources are three of the main priorities
this years Summit will focus on.
On the first point, the G7 business
community could send a positive signal
to the world, showing its willingness to
cooperate on market liberalism and support
a pro-trade agenda. ICC Italy advocates for
global trade and investment promotion,
believing that a commitment to working
together on issues such as market access,
non-tariff barriers, market distortions,
unrestricted competition and WTO reform
may be easier to obtain within the G7 than
in a wider context, given the similarities in
economic structure within the G7 countries.
G7 members are expected to lead in
implementing the 2030 Agenda by
embedding the UN Sustainable Development
Maria Beatrice Deli
is Secretary General of
ICC Italy since 2013 and
Secretary General of the
Italian Association for
Arbitration (AIA) since 2011.
Professor of International Law at the
University of Molise and of International
Organizations at LUISS Guido Carli, Rome.
Attorney-at-law, practicing in a major law
firm in Rome until 2011, mainly advising
on Public and Private International Law
issues and in international commercial
arbitration.
Member of the board of Editors of Diritto
del Commercio Internazionale and
Rivista dellArbitrato.
Lecturer for Master Programs and
international conferences focusing on
international law, private international
law, international investment law and
arbitration and author of articles and
chapters in international commercial
law and private international law.

72 iccwbo.uk
ICC United Kingdoms Official G20 Publication

Future Trade
Authored by: Marijke Wolfs and Wybe Wildenbeest

The future of trade for Europe:

No simple solutions for complex issues
O
ver the past three years a
nationalistic and protectionist
trend has been wavering through
Europe. Populist parties have been
gaining support, promising to put economic
integration and international trade to a
hold and bring back jobs to their
respective countries.
All too easily, simple solutions are being
presented as answers to complex issues.
In this post-truth world, the difference
between opinions and facts do not seem
to matter. Those advocating for a halt to
trade agreements seem to have forgotten
what trade has brought us over the past
century: stability, jobs, rising incomes,
prosperity. Let us therefore not throw
out the baby with the bathwater.
In the Netherlands, traditionally, we earn
our bread and butter through international
trade. Weve always had an open economy
and high levels of trade with other countries.
The Netherlands earns some 33 percent
of its income from the export of goods and
services . In 2015, the value of exports was
81.8 percent of the Netherlands GDP. As the
fifth-largest exporter of goods in the world, IN THE DEBATE ON
the country occupies a prominent position INTERNATIONAL TRADE, Marijke Wolfs has been
when it comes to world trade. THE SIGNIFICANCE OF SMES Secretary General of ICC
Netherlands, part of ICC The
In the debate on international trade, the AND FAMILY BUSINESSES world business organization,
significance of SMEs and family businesses
for an economy is often underestimated or
FOR AN ECONOMY IS since July 2011. Before

forgotten. As in other advanced economies,
they are a key growth driver for the Dutch
economy. They make a major contribution
to employment and value added in the
Netherlands; 36 percent of SMEs in the
Netherlands are involved in international
activities, such as trade and investment.
Most of these SMEs import and export
products, but international cooperation and
Foreign Direct Investment also play important
roles. An estimated 15 percent work for a
foreign company and some 44 percent of
Dutch employees work for exporting
companies.
Rather than falling back on protectionism,
an analysis is needed on what feeds the
current unrest and how it can be addressed.
What is the economic impact of accelerating
digitisation we see ourselves confronted
with? Let us develop alternatives and
long-term solid solutions that benefit all.
This will not be an easy task in times when
populist messages tell an easy to understand
and, for many, appealing story. Instead of
competing for the biggest slice of the cake,
let us stimulate countries and people to
OFTEN UNDERESTIMATED
OR FORGOTTEN. AS
FOR OTHER ADVANCED
ECONOMIES, THEY ARE A
KEY GROWTH DRIVER FOR
THE DUTCH ECONOMY.
collaborate in expanding it, whilst making
sure that this bigger cake will be more
equally distributed for all.
Strong leadership will be required and a
fact based debate; there is a lot to lose, and
not just in terms of trade. As Pascal Lamy,
former Director-General of the World Trade
Organization and former EU-Commissioner
on trade stated: When containers cross
borders, armies wont cross them. In other
words, trade facilitates peace and peace
facilitates trade, the same conviction which
has been at the heart of the ICC organization
since it was founded in 1919.
joining ICC, Marijke Wolfs
worked as a programme manager and
business consultant on organizational
change for large corporations. Prior to that
she worked at the Netherlands Ministry
of Economic Affairs where she served as
Unit manager of the Knowledge centre
for International business and as Project
manager of G2G projects.
Marijke Wolfs holds a bachelors degree in
European Studies and a masters degree
in International Business Administration.
She followed the post Master programme
on International Relations at the
Clingendael Institute for International
Relations (The Hague) on a scholarship.
Marijke Wolfs is currently member of the
board of UN Global Compact Netherlands,
advisory board member of the Dutch
Arbitration Association, the Netherlands
Arbitration Institute and of the Institute
for Financial Crime (IFFC).
Wybe Wildenbeest is intern at ICC
Netherlands and studies both Law and
Economics at the Erasmus University
Rotterdam.

74 iccwbo.uk
ENERGY SOURCE ENERGY DISTRIBUTION /
NETWORK MANAGEMENT

ELECTRIC VEHICLE
PUBLIC INTEGRATED DOMESTIC
CHARGING BATTERY WALL

BIG DATA AND SMART PHONE APP. INTEGRATION

ICC United Kingdoms Official G20 Publication
World Chamber Congress
ICC WCF World
Chambers Congress:
Connecting chambers
across the globe
W
ith the global economic
landscape constantly shifting,
chambers and their business
members are in need of new
ways to cope with the many changes and
challenges facing their respective
communities. Now in its 10th edition,
the World Chambers Congress is the only
international forum of its kindallowing
chamber leaders and professionals to share
best-practices, exchange insights, develop
networks and address specific obstacles and
opportunities facing business, in addition to
learning about new areas of innovation.
Expanding networks
Taking place in Sydney, Australia from 19-21
September, the Congress is co-organised by
the ICC World Chambers Federation (WCF)
and the Sydney Business Chamber (SBC).
Under the theme Where business connects,
the global forum provides unparalleled
opportunities to create ties and strengthen
relations with a diverse and international
group of individuals representing more than
110 countries. With a variety of informal and
formal networking occasions, there will be
numerous chances throughout the event to
make connections, share ideas and establish
a foundation for future partnerships, projects
and more.
Leveraging expertise
The three-day event gathers an impressive
speaker line-up of international thought-
leaders and experts coming from all corners
of the globeall with different backgrounds
and an array of experiences to share.
Featured speakers include ICC Chairman and
Founder and Chairman of Bharti Enterprises,
Sunil Bharti Mittal; joint winner of the 2015
Nobel Peace Prize Ouided Bouchamaoui;
CEO of Confidere Group Anthony Howard;
CEO of Global Infrastructure Hub Christopher
Heathcote; Secretary General of International
Organisation of Employers (IOE) Linda
Kromjong; Founder and Executive Chairman
of the Institute for Economics and Peace
Steve Killelea; and President and CEO of the
Dubai Chamber of Commerce and Industry
Hamad Buamim; and President of the Asia
Pacific region at Campbell Arnotts mit
76 iccwbo.uk
Subasi,; among others. Already slated for
discussion are timely topics ranging from
rising anti-trade sentiment and digitalisation
to sustainability and diversity.
Awarding innovation
Under the umbrella of the World Chambers
Congress, the World Chambers Competition
is the only programme that acknowledges
and rewards Chambers of Commerce and
Industry around the world. This unique
award gives an opportunity for chambers to
improve and enhance their services as well
as strengthening local SMEs. After a thorough
evaluation, assessed by a prominent and
experienced jury, one winner will be chosen
for each one of the four competition
categories (Best CSR, Best job creation
and business development, Best SMEs
financing and Best unconventional projects).
Chambers can still submit their
projects until 04 May by visiting
www.worldchamberscompetition.org
Championing growth
The flagship event will equip delegates
with the contacts, knowledge and know-how
that will empower them to make a positive
impact upon return to their respective
communitieswhether it is through creating
new initiatives to advance global economic
growth or generating breakthrough solutions
to other essential issues affecting their
community.
To learn more about the ICC WCF
10th World Chambers Congress, visit
www.worldchamberscongress.org.
The International Chamber of Commerce
(ICC) World Chambers Federation (WCF) is
a unique global forum uniting a powerful
network of 12,000 chambers. Chambers
of commerce represent the strongest and
most comprehensive of world business
networks. By helping members connect
to international peers, exchange best
practices, share knowledge and explore
trade opportunities, the ICC WCF helps
individual chambers to influence the
economic success of a country.
 TAKING PLACE IN
SYDNEY, AUSTRALIA
FROM 19-21 SEPTEMBER,
THE CONGRESS IS CO-
ORGANISED BY THE ICC
WORLD CHAMBERS
FEDERATION (WCF) AND
THE SYDNEY BUSINESS
CHAMBER (SBC).

77
ICC United Kingdoms Official G20 Publication

Argentina
Authored by: Carlos E. Alfaro

Argentinas 2018
G20 Presidency
P
opulism was at its peak in 2016 but
data shows that reality is winning in
2017. This trend will favor pragmatist
policies like those that President
Mauricio Macri is applying in Argentina.
During its G20 Presidency, Argentina will
have the unique opportunity to influence the
agenda of the summit and prove that it has
come a long way to, not only return and
be part to the world economy, but play
an important role in a new trend back to
common sense policies.
By the year 2018 Argentina could be the
G20 economy with the biggest growth in
recent years. In general, economists predict
that Argentinas economy may expand 3%
this year, the quickest growth out of all G20
countries that make up 85% of global GDP,
in spite of inflation.
An unjustified importance has been
placed in the results of the mid-term elections
in October 2017. The results of these elections
will not affect the ability of the Government
to continue with its pragmatist micro-
management of government affairs. The
agenda that Argentina can push at the G20
meeting in 2018 should be one that represents
the goals of its economic policy: abandoning
ideological policies to concentrate in practical
day to day important issues for the ordinary
people like employment, education and food.
In general in G20 countries, people under
40 are not looking to messianic idealists but
to leaders with the capacity to manage the
many problems they have to confront in their
life (transportation, access to information and
education, work opportunities, sustainability,
quality life, security, among other day to day
concrete needs).
While ideologists are still dealing with the
past, the majority of people are looking at the
present and demanding real solutions and
hands on management. Thanks to the rapid
growth of technology and social media,
access to non-filtered information is
framing peoples opinions.
People favor an orderly evolution
rather than the romantic ideology of the
revolution that guided the young people of
the past. Argentinians are now looking at a
President responsible for effective planning,
delegating, coordinating, staffing, organizing,
and decision making capacity that could get
results for a particular community or country.
So far the President of Argentina, Mauricio
Macri, fits this profile. He showed this
capacity when for eight years he governed
the city of Buenos Aires, which was perhaps

78 iccwbo.uk
 PEOPLE FAVOR AN
ORDERLY EVOLUTION
RATHER THAN THE
ROMANTIC IDEOLOGY
OF THE REVOLUTION
THAT GUIDED THE YOUNG
PEOPLE OF THE PAST.

an easier model to apply his managerial

capacity than the nation -where the results
of a particular policy may not be perceived
immediately.
This need for a competent manager is
incremented by the advance in innovation
and technology, which will explode in the
years to come. Old style politics and remedies
are not up for this challenge. The agenda
of the G20 must recognize that the most
powerful countries should change the
paradigms of the past and address the needs
of a world that is in constant evolution,
creating crises and needs which will require
practical non-ideological solutions.

Carlos Alfaro is
Independent advisor and
non-executive member to
the board of multinational
corporations (compliance,
transparency and
regulatory related issues).

Advisor to multinational European and

American corporations in international
private transactions (mergers and
acquisitions, joint ventures, strategic
alliances, international construction
projects and project finance).

Chairman of the Argentine-American

Chamber of Commerce in New York and
Founding Partner of Alfaro-Abogados LLC
a New York based advisory firm with
representative offices in Beijing
and Buenos Aires

Mr. Carlos Alfaros understanding of the

political and economic scenarios allows
him to anticipate changes in the legal
framework and determine the impact of
these changes in the business cycle.
His long-standing career representing
national and multinational corporations,
lending institutions and banks has made
him a referent in the legal circles. Of
particular importance is the fact that this
experience represents more than thirty
years in different economic and legal
environments (inflation, hyperinflation,
deflation, major devaluations, currency
boards, etc.) and governments in which
risk allocation and protection require
legal, economic and political expertise.

79
ICC United Kingdoms Official G20 Publication
Shared Values
Authored by: Cherie Nursalim
Better Business,
Better World
Inviting CEOs to join BSDC, Giti, Unilever and others to adopt
the SDG Pyramid as a path to our shared value future.
I
n the fourth industrial revolution,
there is a need for business to
be reimagined, Sunil Mittal,
Chairman of the International
Chambers of Commerce (ICC) conveyed
at a strategy meeting in Bangkok.
A transformative approach is proposed that
includes reimagining business in the data,
digital, sharing economy revolution such
as our foray into digital learning and
certification launching ICC Academy
platform in Singapore to educate SMEs and
professionals from trade finance to fintech.
Reimagine business also revisits the core
founding principle of the ICC as merchants of
peace (through partnerships), to incorporate
ecological and social realms as it played a key
role as merchants of sustainable development
in support of the United Nations 2030
agenda.
These three realms elegantly portray
the UN seventeen sustainable development
goals (SDG) through the SDG Pyramid.
The first ten goals represent humanitarian,
economic development, inclusiveness and
people issues, the next five goals represent
sustainability and ecological issues, and the
last two goals on peace and partnership
reflect spiritual and value systems.
As the worlds largest business
organization with 6.5 million members
across 130 countries, the International
Chambers of Commerce is taking a
representative role at the United Nations
for business in COP climate meetings and
in the promotion of the global goals.
80 iccwbo.uk
What is clear is that Reimagine Business
is not only good for public image, it is a
matter of survival. The great news is
that it makes good business sense.
Better Business Better World report
launched at Davos 2017 highlights the
opportunities. The SDGs open the sixty
biggest market hot spots worth up to
US$12 trillion a year in business savings and
revenue and 380 million jobs opportunities
by 2030. Led by the Business and
Sustainable Development Commission with
UN Foundation and Systemiq as managing
partners, the report is supported by the Bill
and Melinda Gates Foundation, Rockefeller
Foundation, Global Green Growth Forum
and governments agencies from Australia,
Netherlands, Norway, Sweden, and
United Kingdom.
The BSDC Commissioners, of which
I am honored to be a member of, is led by
Lord Mark Malloch-Brown. He assembled
distinguished leaders of business, finance,
civil society, and international organizations
International Chambers of Commerce
Secretary General John Danilovich, Paul
Polman of Unilever, Ho Ching of Temasek,
Jack Ma of Alibaba, Lise Kingo of UN Global
Compact, Sharan Burrow of International
Trade Union Confederation, Mary Ellen
Iskenderian of Womens World Banking,
Gavin Wilson of IFC Asset Management,
Mo Ibrahim, Richard Edelman, Hendrik du
Toit of Investec, Mats Granryd of GSMA,
John Fallon of Pearson, WEF Young Global
Leader Helen Hai among others.
Business needs to think beyond beating
the quarterly profit targets to focus on the
shared value Sustainable Development Goals
that are set for 2030. Business leaders need to
ask themselves what the SDGs mean for their
own companies and sectors. They need to
recognize that solutions call for collaboration
across sectors beyond business and
government to include other stakeholders
such as the civil society. Business leaders
need to strike out in new directions to create
opportunities aligned with sustainable and
inclusive economic models.
Those at the leading edge of business see
that sustainability matters for becoming a
successful business and it matters for our
communities.
One of the hotspots in the report is
cultural tourism. Giti Group is undertaking
the opportunity to develop an Island of
Happiness, the Kura Kura Bali Island
development in the heart of prime Bali. The
initiative is an eco-development project that
is premised upon the Balinese Tri Hita Karana
or Three Ways to Happiness values that align
with the Balinese-Hindu based philosophy
through the harmony of three realms -
people harmony, ecological harmony,
and spiritual harmony.
Around May 14-16, China hosted 28
heads of State and international organization
leaders in an extraordinary Belt and Road
Summit in Beijing. China President Xi
Jinping, in a show of global statesmanship,
delivered their first promises in a bold
alignment of win-win solutions and interests
of nations across varying development stages
linked by one belt one road towards a shared
value vision to meet the common challenges
of sustainable development. UN Secretary
General Antonio Guterres applauded in
particular the people to people collaboration
aspect of this initiative.
Against this backdrop, Giti group and UID
foundation participated in the launching of
the Sustainable Development Goals Institute
at Tsinghua University with Jeffrey Sachs
Special advisor to UN Secretary General and
the signing of collaboration to nurture
technopreneurs for the fourth industrial
revolution with Minister of Industry of
Indonesia Airlangga Hartarto. Indonesian
President Jokowi Widodo met with Tsinghua
University President Qiu Yong and delegates
to welcome the collaboration including
Tsinghua Southeast Asia Center to be
established in Kura Kura Bali.
Tsinghua Southeast Asia Center will
be housed within the United in Diversity
Creative Campus together with the UN global
initiative Sustainable Development Solutions
Network Southeast Asia, with a mission to
advance the achievement of the SDGs. A
global Island of Happiness crowdsourcing
challenge will be launched in collaboration
 Above: United Nations President Peter Thomson
with the Coordinating Minister for Maritime Affairs
Republic of Indonesia Luhut Pandjaitan and
UN SDSN-SEA Chairman Cherie Nursalim

Above: Launch of the Institute of Sustainable Development Goals at Tsinghua University on the side of the Belt
and Road Summit in Beijing May 14 with Tsinghua Vice President Yang Bin, Dean Xuelan of School of Public
Policy, with Professor Jeffrey Sachs co chairs of UN SDSN and Special Advisor to UN Secretary General.

Above: Christine Lagarde reading the G20 Magazine

featuring Island of Happiness eco development Kura
Kura Bali on its cover.

Above: Photos of the President of Indonesia Jokowi Widodo meeting with Tsinghua University President Qiu
Yong graced by Coordinating Minister for Maritime Affairs Luhut Pandjaitan, Minister of Industry Airlangga
Hartarto, Minister of Foreign Affairs Retno Marsudi and signing ceremony with former Minister of Trade Mari
Elka Pangestu President of United in Diversity foundation and Ambassadors of China Xiefeng and Indonesia
Soegeng Rahardjo and former Ambassadors Sudrajat and Andri Hadi.

with HeroX chaired by Peter Diamandis Sustainable Development Commission, Giti,

to crowdsource solutions for this eco
development around the G20.
On March 20th, we were given the
platform at the United Nations to present the
SDG Pyramid framework around the UN day
of happiness at the launch of the World
Happiness Report. At the same time a global
campaign of SDG Pyramid to Happiness is
launched, with the support of UN SDSN,
BSDC, MIT IDEAS, Tsinghua University,
World Largest lessons partners UNICEF,
Project Everyone et al. Indonesian Minister
of National Development Planning Bambang
Brodjonegoro - The Indonesian government
is fully committed to the Sustainable
Development Goal. I am delighted to join the
United in Diversity Foundation and UN SDSN
to launch the SDG Pyramid to Happiness
awareness campaign..
We invite CEOs to adopt and promote the
SDG Pyramid! Please join the Business and
Unilever and others to sign up before the UN
General Assembly in September 2017 and
Davos next year.
Above: WTO Director General Roberto Azevedo
There will be a regional launch of the with President of UID and Former Indonesian
Better Business Better World report in Minister of Trade Mari Pangestu.
Ecosperity hosted by Temasek Holdings in
Singapore June 5 followed by a China launch
in Shanghai Three on the Bund on June 8
and in Beijing June 9 hosted by Giti Group in
collaboration with BSDC, UN SDSN, and China
Chambers of International Commerce.
Cherie Nursalim is Vice Chairman,
Giti Group, Chairman for Sustainable
Development Solutions Network Southeast
Asia, Board Member of International
Chambers of Commerce, and of the Business
and Sustainable Development Commission.
www.sdgpyramid.org
Above: Christiana Figueres, Convenor, MISSION 2020,
Former Executive Secretary of UNFCCC

81
ICC United Kingdoms Official G20 Publication

G20 Contacts

Country ICC British Business Group UK Government

Argentina Camara Argentina de Comercio Av. British Argentine Chamber of Commerce Department for International Trade Argentina
Leandro N. Alem 36 65 Brook Street, London W1K 4AH British Embassy, Dr. Luis Agote 2412
C1003AAN Buenos Aires T: +44 (0) 20 7495 8730 C1425EOF Buenos Aires, Argentina
Argentina E: administration@baccnetwork.com T: +54 (11) 4808 2200
T: +54 11 530 09056 Cmara de Comercio Argentino-Britnica E: BAires.AskComm@fco.gov.uk
F: +54 11 530 09036 Av. Corrientes 457 piso 10, C1043AAE Buenos Aires
E: iccargentina@cac.com.ar T: +54.11.4394-2762 F: +54.11.4326-3860
E: info@ccab.com.ar

Australia ICC Australia Australia-United Kingdom Chamber of Commerce Department for International Trade Australia
Level 3, Commerce House, 24 Brisbane Avenue Australia Centre, Strand, London WC2B 4LG Level 16, Gateway Building, 1 Macquarie Place
Barton, ACT 2600 Australia T: +44 (0)20 7099 8444 Sydney, New South Wales 2000
T: +61 2 6270 8000 E: hello@australiachamber.co.uk T: +61 (0) 2 9247 7521
F: +61 2 6273 3196 Australian British Chamber of Commerce E: uktisydney@fco.gov.uk
E: ceo@iccaustralia.com.au 3 Spring Street, Sydney NSW 2000
T: +(61) 02 9247 6271
E: abcc@britishchamber.com

Brazil ICC Brazil Brazilian Chamber of Commerce in Great Britain Department for International Trade Sao Paulo
Rua Surubim, 504 12 andar Brooklyn Novo 14-16 Cockspur Street, London SW1Y 5BL British Consulate-General
Sao Paulo 04571-050, Brazil T: +44 (0)20 7389 0631 Rua Ferreira de Araujo 741 - 2 Andar
T: +55 11 3040 8832 05428-002 Pinheiros Sao Paulo-SP
E: karim.aguilar@iccbrasil.com British Chamber of Commerce in Brazil T: +55 11 3094 2700
Rua Ferreira de Arajo, 741 / 1st floor Pinheiros E: DITBrazil@fco.gov.uk
So Paulo, SP Brazil 05428-002
T: +55 21 2277 0100

Canada ICC Canada Canada-UK Chamber of Commerce Department for International Trade (DIT) Toronto
420 360 Albert Street Canada House, Trafalgar Square 777 Bay Street, Suite 2800,
Ottawa ON K1R 7X7, Canada London SW1Y 5BJ Toronto Ontario M5G 2G2
T: +1 613 238 4000 T: +44 (0)207 930 4553 Investment enquiries
F: +1 613 238 7643 +1 416 593 1290 extension 2254
E: info@chamber.ca The British Canadian Chamber of Commerce Trade enquiries
1411-215 Fort York Blvd, Toronto, ON M5V 4A2 +1 416 593 1290 extension 2259
Canada T: 416-816-9154 E: idalia@bcctc.ca E: maria.diakos@mobile.trade.gov.uk

China China Chamber of International Commerce
c/o 8th Floor, CCOIC Building, No.2 Huapichang
Hutong, Xicheng District 100035 Beijing China
Tel: +86-10 82217812 / +86-10 82217878 /
+86-10 68025737
Fax: +86-10 68045253
Email: intlgj@ccpit.org China Life Tower, 16 Chaoyangmenwai Avenue,
China-British Business Council Department for International Trade
3rd Floor, Portland House, Beijing British Embassy
Bressenden Place, London SW1E 5BH 11 Guang Hua Lu
T: +44 (0)20 7802 2000 E: enquiries@cbbc.org 100600 Chaoyang District
China-British Business Council Beijing, China
T: +86 (0)10 5192 4000
The British Centre, Room 1001,
E: commercialmail.beijing@fco.gov.uk
Beijing 100020 T: +86 (0)10 8525 1111
E: enquiries-beijing@cbbc.org.cn

France ICC France French Chamber of Great Britain Department for

9, rue dAnjou, 75008 Paris France Lincoln House, 4th Floor, 300 High Holborn International Trade Lyon
T: +33 1 42 65 12 66 London WC1V 7JH. T: +44 (0)20 7092 6600 Le Lugdunum,
F: +33 1 49 24 06 39 E: mail@ccfgb.co.uk 5, place Jules Ferry
E: icc-france@icc-france.fr 69006 Lyon France
Franco-British Chamber of Commerce T: +33 (0) 1 44 51 34 00
63, Avenue de Villiers, 75017 Paris France E: commercialenquiries.
T: +33 (0)1 53 30 81 30 E: information@ paris@fco.gov.uk
francobritishchamber.com

Germany ICC Germany German-British Chamber of Commerce & Industry Department for Department for International
Wilhelmstr. 43G, 10117 Berlin / P.O. Box 80432, 16 Buckingham Gate, Westminster, London International Trade Berlin Trade Duesseldorf
10004 Berlin Germany SW1E 6LB T: +44 (0) 20 7976 4100 British Embassy British Consulate-General
Tel: +49 30 200 73 63 00 Wilhelmstr. 70 10117 Berlin Oststrasse 86
Fax: +49 30 200 73 63 69 British Chamber of Commerce in Germany T: +49 (0) 30 204 570 40210 Duesseldorf
Email: icc@iccgermany.de Andreas Meyer-Schwickerath, Director & Member E: DITGermany@ T: +49 (0)211 94480
of the Board. Friedrichstr. 140, 10117 Berlin, mobile.trade.gov.uk E: DITGermany@
Germany T: +49 (0)30 206 70 80, mobile.trade.gov.uk
F: +49 (0)30 206 70 829 E: info@bccg.de

India ICC India UK-India Business Council D
epartment for
Federation House, Tansen Marg 12th Floor, Millbank Tower, 21-24 Millbank International Trade Delhi
New Delhi 110 001 India London SW1P 4QP. T: +44 (0)20 7592 3040 British High Commission
T: +91 11 23322472 / 23738760 E: enquiries@ukibc.com Shantipath, New Delhi
F: +91 11 23320714 / 23721504 Chanakyapuri 110021
UK-India Business Council T: +91 (11) 2419 2100
Email: iccindia@iccindiaonline.org 16th Floor, Tower 9A, Cyber City, DLF City Phase II, E: ditindia@fco.gov.uk
Gurgaon Haryana 122002 India
T: +91 (0) 124 4155 700 E: enquiriesindia@ukibc.com

Indonesia ICC Indonesia UK-ASEAN Business Council Department for International Trade Indonesia
Tempo Pavilion 1 Building 8th Floor, Jl. HR. 12th Floor Millbank Tower, 21-24 Millbank British Embassy
Rasuna Said Kav. 11, 12950 Jakarta Indonesia London SW1P 4QP Jl. Patra Kuningan Raya Blok L 5-6
T: +62 21 29667914 T: +44 (0)20 7828 3431 E: info@ukabc.org.uk Jakarta 12950 Indonesia
F: +62 21 29667915 T: +62 (0)21 2356 5200
Email: icc@iccindonesia.org British Chamber of Commerce in Indonesia E: DITJakarta.Enquiries@fco.gov.uk
Wisma Metropolitan 1 F/15Jin. Jend. Sudiman Dav.
29-31 Jakarta, 12920 Indonesia. T: +62 21 5229453
F: +62 21 5279135 E: uksme@britcham.or.id

82 iccwbo.uk
Country ICC British Business Group UK Government

Italy ICC Italy Italian Chamber of Commerce and Industry for UK Department for International Trade Italy
Via Barnaba Oriani, 34 1 Princes Street, London W1B 2 AY British Consulate General
00197 Rome Italy T: 020 7495 8191 E: info@italchamind.org.uk Via San Paolo, 7
T: +39 06 42 03 43 01 20121 Milan
F: +39 06 48 82 677 The British Chamber of Commerce for Italy T: +39 02 7230 0234/ 02 723001
E: icc@iccitalia.org PIva 01478780156 - Via Dante 12, 20121 E: DIT.Italy@fco.gov.uk
Milano, Italy
T: +39 02 877798 F: +39 02 86461885
E: bcci@britchamitaly.com

Japan ICC Japan Industry in the United Kingdom Department for

4th Floor, Marunouchi 2-chrome bldg., Salisbury House, 29 Finsbury Circus, London International Trade Tokyo
Marunouchi 2-5-1, Chiyoda-ku EC2M 5QQ. T: 020 7628 0069 E: email@jcci.org.uk 102-8381
Tokyo 100 0005 Japan TokyoChiyoda-ku, No 1 Ichiban-cho,
Tel: +81 3 3213 8585/6 British Chamber of Commerce in Japan British Embassy Japan
Fax: +81 3 3213 8589 12F Ark Mori Building, 1-12-32 Akasaka Minato-ku T: +81 (3) 5211-1100
Email: icc@iccjapan.org Tokyo, Japan 107-6012. T: +81 (0) 3 6426-5739 E: info@exporttojapan.co.uk
F: +81 (0) 3 6426-5749 E: info@bccjapan.com
Japanese Chamber of Commerce and

Mexico ICC Mexico Mexican Chamber of Commerce in Great Britain Department for International
Indiana 260, Piso 5, Oficina 508, 1 Northumberland Avenue, London WC2N 5BW Trade Mexico City
Col. Ciudad de los Deportes, T: +44(0)207 8725 775 E: contact@mexcc.co.uk British Embassy
Del.Benito Juarez Mexico, D.F. Rio Lerma No.71, 06500 Col. Cuauhtemoc
03710 Mexico British Chamber of Commerce Mexico Mexico City Mexico
T: +52 55 5687 2203 / 5687 2207 Ro de la Plata No. 30, Col. Cuauhtmoc T: +52 (55) 16703200
F: +52 55 5687 2628 Deleg. Cuauhtmoc, Mexico CP. 06500 E: uktimexico@fco.gov.uk
E: ygonzalez@iccmex.org.mx / T: +52 55 5256 0901
ablanco@iccmex.org.mx E: info@britchamexico.com

Russia ICC Russia Russo-British Chamber of Commerce Department for International Trade Moscow
15/8 Rochdelskaya str. 11 Belgrave Road, London SW1V 1RB British Embassy
Moscow, 123022 Russia T: +44 (0)207 931 64 55 121099 Moscow
Tel: +7 495 720 50 80 Russo-British Chamber of Commerce 10 Smolenskaya naberezhnaya
Fax: +7 495 720 50 81 Galereya Aktyor Business Centre, 4th Floor, ul. Russia
Email: o.schedrakova@iccwbo.org Tverskaya 16/2, Moscow 125009 Russia T: +7 495 9567200
T: +7 495 961 21 60. Maria Sarkisova, E: TradeInvestmentMoscow@fco.gov.uk
Commercial Manager. maria.sarkisova@rbcc.com

Saudi Arabia ICC Saudi Arabia Saudi-British Joint Business Council Department for International Trade Saudi Arabia
King Fahad Road (South), Council of Saudi Cham- 23 Grafton St, London W1S 4EY British Embassy
bers Building, 11474 Riyadh T: +44(0) 20 7824 1933 E: info@sbjbc.org PO Box 94351, 11693
P.O. Box 16683 Saudi Arabia Saudi Arabia
Tel: +966 1 218 2196 / +966 1 218 2304 Saudi-British Joint Business Council T: +966 (0) 11 4819 100
Fax: +966 1 218 2484 / +966 1 218 2111 King Fahad Branch Rd, Al Mutamarat E: commercial.riyadh@fco.gov.uk
Email: aalenazi@csc.org.sa Riyadh 12711, Saudi Arabia
E: info@sbjbc.org

South Africa ICC South Africa Business Chamber of Business in Southern Africa Department for International Trade South Africa
Chamber House, 24 Sturdee Avenue Rosebank, British Chamber of Business c/o British Consulate Dunkeld Corner
2196 (PO Box 213 Saxonwold 2132) 15th Floor, Norton Rose House 275 Jan Smuts Avenue, Dunkeld West
Johannesburg, Gauteng, South Africa 8 Riebeeck St, Foreshore Johannesburg 2196
Tel: +27 11 446 38 00 Cape Town South Africa
Fax: +27 865 28 1746 T: +27 (0)21 418 3764 T: +27 (0) 11 537 7000
Email: icc@sacci.org.za E: capetown@britcham.co.za E: SATrade@mobile.trade.gov.uk

South Korea Chamber of Commerce Bldg British Chamber of Commerce in Korea Department for International Trade South Korea
39 Sejongdaero, Joong-gu 14th Floor, The-K Twin Towers, British Embassy Seoul
Seoul 100-743 50, Jong-ro 1-gil, Jongno-gu Sejong-daero 19-gil, 24
T: +82 2 60 50 35 41 Seoul, Korea 03142 Jung-gu Seoul 04519 South Korea
F: +82 2 60 50 39 10 T : +82-2-6365-2300 T: +82 (0)2 3210 5500
E: icckorea@korcham.net F : +82-2-6365-2301 E: Investuk.Korea@fco.gov.uk
E : administrator@bcck.or.kr E: Trade.Korea@fco.gov.uk

Turkey ICC Turkey The British Chamber of Commerce of Turkey Department for International Trade Istanbul
Dumlupinar Bulvari, 252, (Eskisehir Yolu 9. km) Suzer Plaza Harbiye Mh. British Consulate-General
Ankara, 06530 Turkey 34367 Sisli/Istanbul, Turkey Mesrutiyet Cad No 34
Tel: +90 312 219 4254 / +90 312 219 4255 T: +90 (212) 249 04 20 Tepebasi Turkey
Fax: +90 312 219 4258 T: +90 212 334 64 00
Email: icc-tr@tobb.org.tr E: uktiturkey@fco.gov.uk

USA United States Council for International Business British American Business Department for International Trade USA
1212, Avenue of the Americas 12 Phillimore Walk, West Wing 2nd Floor British Consulate General New York
New York, NY 10036 United States London W8 7RX 845 Third Avenue
T: +1 212 354 44 80 T: +44 (0)20 7290 9888 E: ukinfo@babinc.org New York NY 10022
F: +1 212 575 03 27 USA
E: news@uscib.org British American Business E: ResearchUSA@mobile.ukti.gov.uk
52 Vanderbilt Avenue, 20th Floor, New York,
NY 10017. T: +1 212 661 4060 F: +1 212 661 4074
E: nyinfo@babinc.org

83
 branch out and swipe your dream job

Branching out and changing the rules of

job searching one swipe at a time.
Pelago is a mobile app that connects job seekers directly to employers and hiring managers for entry to mid-level positions. Candidates
create a profile and can upload their resume, pitch video and sample work all while searching for jobs anonymously. Employers post jobs
directly through Pelago, facilitating an immediate connection to potential candidates. Both candidates and employers see recommendations
based on their selected search criteria. Pelago is an easy way to gauge mutual interest, build a relationship with the hiring manager and
love your job search!

PELAGO PURPOSE
Pelago is a simple, elegant and user-friendly dual-sided mobile
platform that matches job candidates with available positions. Based
on a variety of selected preferences each candidate has ability to
locate jobs by distance, job type, salary, and industry. Companies see
the most relevant candidates and have the ability to communicate
immediately with matches. Pelago aids candidates in their job
search effort by immediately connecting them with hiring managers,
facilitating an initial chat in a sophisticated yet simple platform.
Pelago is dedicated to transforming and reinventing the entire job
search process by creating a social network with the specific purpose
of connecting job seekers and employers who can transact together
efficiently and quickly, removing frustration and inefficiency at
every step. The job seeker gets the job faster and the employer fills
the position quicker through Pelago.
Pelago allows you to connect immediately with the hiring
manager. Pelago has an easy to use interface with sophisticated
algorithms that identify positions that fit your background,
skills or job search goals. Pelago offers a no hassle setup and
eliminates the risk resumes or applications sitting in an inbox
unread or unanswered.
Pelago is focused on the entry-level to mid-tier job market,
historically a very underserved area of digital job seeking.
Pelago also aggregates open positions from corporate sites and
key job boards to give job seekers the largest database possible.
Pelago allow employers to feature part time, full time, seasonal,
temporary, commission, freelance, internship, contract, temp to
hire, volunteer and other positions.

Candidates are forcing a change in the hiring process. Gone are
the days of a cover letter, paper applications, and long wait times
for interviews. Job seekers are demanding prompt responses,
engagement and instant gratification. Instead of sifting through
numerous job boards and sending off resumes to cyberspace,
Pelago seeks to contribute to the larger community and has
philanthropic efforts as a focus in all ventures. A portion of all
Pelago profits support the Pelago Foundation, which focuses
on educational opportunities, scholarships and community
development projects worldwide.
 Positivity | Integrity | Passion | Diligence | Innovation | Reliability | Simplicity

PELAGO PLATFORM
Pelago is often summarized as the Tinder for jobs. Pelagos premise is to
focus on people not paper, creating a positive environment for job seekers
and employers to connect in a simple, sophisticated way. Pelago feels that
both candidates and employers have more to convey than the traditional
paper resume or antiquated job posting. It is simple to create and edit a
profile for both a job seeker and an employer within the Pelago platform.
Pelago allows both job seekers and employers to upload a pitch video
featuring themselves and their work. Impact is gained from viewing a pitch
video as you can gauge enthusiasm and get more in depth insight into
qualifications and inspirations. Videos also provide a human element to the
job seeking process where the traditional resume and cover letter skip the
critical human component.

Pelagos platform allows for a quick and efficient transaction between job
seekers and employers. There is a double opt in method for both job seekers
and employers, as they must both match before they are able to connect and
message. Pelago uses swiping technology and intelligent matching algorithms
to connect job seekers and employers. The speed at which they can connect
is the base of Pelagos platform which will revolutionize the process of job
seeking and hiring. Direct connection allows hiring managers and job seekers
to start an immediate conversation. Hiring managers can message with job
seekers within the app and both parties can transact and vet one another,
mutually deciding whether or not to move forward.

Swiping is a major aspect of the user experience within Pelago. Job seekers
swipe right to apply for jobs or left to pass on positions while employers
swipe right to indicate interest or left to eliminate the candidate for that
position. Pelago allows job seekers to quickly and easily sift through a
number of available positions, while allowing companies to easily review
and instantly connect with matching, qualified candidates. Connections allow
five days for a conversation to be started. Either the job seeker or the hiring
manager may extend the first message.

PELAGO PEOPLE & PLACE

Stephanie Chard founded Pelago in Salt Lake City, Utah in 2016. Her inspiration for Pelago came from her frustration both as a job seeker and
as a hiring manager. Stephanie discovered there was no user-friendly platform that facilitated job seekers and hiring managers to exchange
information and connect in a user-friendly and expedited way. Stephanie also found that the traditional means of job seeking was not always
positive, and generally frustrating, creating a negative association with the job searching process. Pelago allows users to transact efficiently while
creating a positive experience around job seeking and hiring. Pelago, based in the Silicon Slopes, was created beyond the traditional borders of
Silicon Valley and it is through these wider boundaries Pelago is able to invite a broader perspective into the organization. Stephanie is proud of
Pelagos core values which center around developing a positive job searching experience while contributing to the community at large through
the Pelago Foundation.

www.pelagoapp.com
Better business
better world
Inviting CEOs to join Business Sustainable Development Commission, Unilever, Giti and other corporate to
adopt the Sustainable Development Goals and SDG Pyramid as a path to our shared value future.
Better Business Better World is led by BSDC Commissioners and prepared by UN Foundation and Systemiq with the support of the
Bill & Melinda Gates Foundation, the Rockefeller Foundation, the Australian Department of Foreign Affairs and Trade (DFAT), the Global
Green Growth Forum (3GF), the Netherlands Ministry of Foreign Affairs (MoFA), the Norwegian Ministry of Climate and Environment,
the Swedish International Development Cooperation Agency (Sida), and the UK Department for International Development (DFID).
www.businesscommission.org

SDG Pyramid is a framework aligning United Nations seventeen Sustainable Development Goals with traditional roots
of cultures and spiritual philosophies that have guided the lives of many community around the world for centuries,
that is the harmony of people, ecological, Peace and partnership values. United in Diversity Foundation join Sustainable
Development Solutions Network and Business Sustainable Development Commission for a Better Business Better World.

www.sdgpyramid.org