Trade regulations in the digital environment: Is there a gender component? (UNCTAD)

6 Dec 2023 10:00h - 11:30h UTC

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Table of contents

Disclaimer: This is not an official record of the UNCTAD eWeek session. The DiploAI system automatically generates these resources from the audiovisual recording. Resources are presented in their original format, as provided by the AI (e.g. including any spelling mistakes). The accuracy of these resources cannot be guaranteed. The official record of the session can be found on the UNCTAD website.

Full session report

Awa Caba

Women entrepreneurs and small and medium-sized businesses (SMEs) face various challenges when trading online and accessing international markets. Awa Caba, an advocate for women’s empowerment in business, highlights the barriers that hinder women entrepreneurs in international and sub-regional trade. These barriers include sanitary and phytosanitary measures, technical barriers to trade, logistics, and incidental costs.

To address these challenges, Awa proposes leveraging e-commerce platforms to assist women SMEs in exporting high-value products instead of relying solely on raw material exports. She has been involved in an e-commerce platform called Sorotel for over five years, which gives visibility to women-owned businesses, particularly those in the agriculture sector. Sorotel helps these businesses meet export standards such as authorization, permit requirements, export registration, labeling, marketing, and packaging.

A major issue identified is the lack of centralized sources of information on e-commerce and regulations, making it difficult for women entrepreneurs to understand non-tariff barriers. Information gathering can take up to two years for a product to reach the market. There is a need for centralized sources of information to help women better comprehend non-tariff barriers.

Furthermore, there is a call for specific and targeted training sessions for women on e-commerce regulations and non-tariff measures, focusing on sectors like agriculture, fashion, cosmetics, beauty, and catering. The Food and Agriculture Organization (FAO), in partnership with the International Trade Centre (ITC), has organized training sessions for women in the agri-food sector in Senegal, showcasing the importance of tailored training initiatives.

Encouraging developments include promoting intra-African trade within the framework of the African Continental Free Trade Area. The Senegalese government, in collaboration with the ITC, is implementing a gender action plan to increase women’s participation in trade. This plan includes providing specific training and tools to overcome non-tariff barriers, both in international and intra-African trade.

Despite opportunities, women entrepreneurs in Africa face cultural obstacles as oral communication and face-to-face interactions are emphasized in business culture. Digital platforms are less popular, with women preferring social media and human communication for business activities.

However, women entrepreneurs still face difficulties in reaching international markets, with challenges in meeting international measures, regulations, and tariff barriers. Additional support is needed in terms of providing information and concrete tools to aid women in business. Access to information is a key issue in promoting women in business and the digital environment. Artificial intelligence (AI) and local language translations are suggested to engage more women in the digital environment by providing necessary information and tools.

In conclusion, challenges faced by women entrepreneurs and SMEs in accessing international markets and trading online include sanitary and phytosanitary measures, technical barriers to trade, logistics, and incidental costs. Leveraging e-commerce platforms, centralized sources of information, targeted training sessions, and promoting intra-African trade are essential in overcoming these challenges. However, the predominant business culture, non-compliance with international measures, regulations, and tariff barriers continue to hinder women entrepreneurs. More support is needed to provide access to information and concrete tools, enabling the growth of women entrepreneurs in the digital environment.

Simonetta Zarrilli

The analysis explores the challenges and opportunities faced by small firms and women-led businesses in the realm of e-commerce and trade policies. It highlights that while e-commerce provides the opportunity to expand into different markets, it also presents challenges for small firms, particularly in adhering to specific trade regulations. Each market has its own trade requirements and non-tariff measures (NTMs), and this can become problematic when small firms are encouraged to enter new markets via e-commerce without being equipped to adhere to these regulations.

The study also reveals that certain sectors, primarily exported by women-led firms in developing countries, are greatly affected by NTMs. Sectors such as agriculture, food, clothing, shoes, and cosmetics are particularly vulnerable. These industries, which rely heavily on women-led businesses, face significant barriers due to the impact of NTMs.

Data protection and data flow regulations are another potential issue for small e-commerce firms. Different countries have varying regulations in these areas, and this lack of uniformity can create challenges for small businesses operating across borders.

On a positive note, the analysis highlights that large e-commerce platforms offer valuable information services related to trade rules and customs procedures, as well as last-mile services such as payment and product clearance at the border. These services can greatly benefit small enterprises, facilitating their participation in global trade.

However, it is worth noting that women-led firms primarily use social platforms like Facebook and WhatsApp for e-commerce. While this provides ease of access and familiarity, it also means that these firms may miss out on the beneficial services offered by official e-commerce platforms.

Another important finding is that moving customs procedures and forms to electronic transmission can help address issues faced by women when interacting with officials in person. Women often experience improper language and behavior during these interactions, and shifting them online can help mitigate these problems.

The analysis also underscores the significance of online certification and online financing for women traders. E-certification can be beneficial for women engaging in both online and offline trading, while e-financing can provide a solution for women who struggle to access finance through official banking institutions.

Improving internet connectivity and digital literacy are crucial for promoting gender equality in e-commerce. The study highlights the existing gender gap in access to the internet, with costs varying widely. Additionally, rural areas, particularly in Africa, often lack internet coverage, exacerbating the issue.

Furthermore, the analysis emphasizes that trade is not gender-neutral, and there is a need to enhance women’s participation in trading activities. It calls for the recognition of the unique challenges faced by women in e-commerce, particularly how NTMs affect online trade. Women-friendly negotiations and algorithms are essential to ensure gender-responsive trade policies.

The study also advocates for a gender lens approach and highlights the importance of conducting more research, analysis, data collection, and discussions to highlight gender inequities in trade policies and promote gender-responsive policies. The Working Group on Trade and Gender at the World Trade Organization (WTO) is deemed a valuable platform for conversation and sharing experiences.

Ultimately, the analysis suggests that governments should be more mindful of the gender gaps in trade policies and take decisive action to address them. By doing so, they can foster an inclusive and equitable trading environment that supports the growth and empowerment of small firms and women-led businesses.

Ralf Peters

Non-tariff measures in digital trade have a gendered impact, affecting men and women differently. Women traders face significant challenges due to supply-side constraints, such as limited access to resources, credit, and land. They are also more susceptible to abuse and discrimination during import and export processes. This gender disparity is further amplified in lower-income countries and smaller companies, particularly those led by females, as they struggle to comply with trade requirements. Moreover, non-tariff measures affect different industries in varying degrees, with agriculture facing more difficulties than others.

In the context of digital trade, non-tariff measures present both opportunities and obstacles for small traders. Although e-commerce platforms can support small traders by providing a platform for their products, they also introduce additional challenges. The relationship between digital trade and non-tariff measures is complex, with both factors influencing each other.

Transparency plays a crucial role in reducing trade costs associated with non-tariff measures. The availability of information and clear regulations can lead to a reduction in trade costs by up to 25%. The United Nations Conference on Trade and Development (UNCTAD) collects information globally on non-tariff measures through their trade database, known as the “trains” database. However, achieving transparency in these measures remains a challenge, particularly in relation to gender disparities.

Regulatory cooperation is another major challenge in the realm of non-tariff measures. Regulations differ from country to country, even when safety requirements are similar, making trade costly, especially for small traders. This highlights the need for better cooperation and harmonization of regulations to reduce trade barriers and create a more conducive environment for all traders.

There is an urgent need for a better understanding and research on the linkages between non-tariff measures and gender challenges in the digital trade area. This field of study is relatively new, and consensus-building, research, analysis, and technical cooperation are required to address this issue effectively.

Gender gaps in different sectors remain a significant concern. Female participation varies greatly, with sectors that are traditionally male-dominated experiencing minimal female representation. Ralf Peters highlights the shocking gender gaps and acknowledges that progress is being made to address these disparities, albeit slowly.

The Global Trade Helpdesk, an initiative by the World Trade Organization (WTO), UNCTAD, and the International Trade Centre (ITC), provides comprehensive information on trade regulations. This tool aims to support traders, including small traders, by offering access to information and guidance.

Additionally, the non-tariff barriers mechanism aids African women facing export challenges. This mechanism allows women to send an SMS upon encountering difficulties at the border, providing a means of communication and support.

In conclusion, non-tariff measures in digital trade have a gendered impact, with women facing unique challenges such as supply-side constraints, abuse, and discrimination. The relationship between digital trade and non-tariff measures is complex, offering both opportunities and obstacles for small traders. Transparency and regulatory cooperation are vital for reducing trade costs and creating a more inclusive trade environment. There is an urgent need for further research and understanding to address the gender disparities in the digital trade area. Efforts are being made to address gender gaps in various sectors, but progress is slow. The Global Trade Helpdesk and the non-tariff barriers mechanism provide assistance and support to traders, particularly women facing export challenges.

Caitlin Kraft-Buchman

Caitlin Kraft-Buchman, the CEO and founder of Women at the Table, is moderating a panel that aims to explore the gender component in digital trade regulations. This topic has gained recognition and importance following the Bornasari’s declaration, which has opened up the discussion on the gender aspect of digital trade regulations. In addition, UNCTAD (United Nations Conference on Trade and Development) has made significant advances in this field, further highlighting its importance.

There is a clear need to address gender obstacles in the digital world and promote digital inclusion for women. The digital gender divide has become a critical concern, with women having less access and participating less in democratic forums in the digital environment. Non-tariff measures in the digital field, such as regulations and policies, impact genders differently, emphasizing the need for specific measures to address these disparities.

AI chatbots have been identified as a potential tool to help SMEs (small and medium-sized enterprises) with compliance, particularly in dealing with the complexity of the web of compliance. Such a tool could be beneficial for women traders and contribute to the growth of MSMEs (micro, small, and medium-sized enterprises).

In terms of trade regulations in the digital environment, it is important to approach them with a gender lens. Italy’s upcoming presidency of the G7 is expected to introduce plans that incorporate a gender lens in trade regulations, highlighting the increasing importance of gender considerations in these policies.

Digital public infrastructure also needs attention to boost digital inclusion. Women often face obstacles such as a lack of access to devices, high data costs, and a lack of data literacy. Governments can play a role in controlling the cost of data plans and promoting data literacy, which are central to digital access and use.

Applying a gendered lens to improve efficiency and effectiveness in regulations in the digital environment can benefit everyone. By considering the gender aspects in trade regulations, it is possible to enhance the delivery and outcomes of these regulations for all individuals.

Caitlin Kraft-Buchman supports the idea of storytelling and personalization in business, particularly in relation to e-commerce platforms. She sees this as an opportunity for entrepreneurs to make existing platforms more storytelling-friendly or create new ones. Additionally, she anticipates changes in social media platforms within the next 2-4 years.

However, Caitlin disagrees with the concept of not revealing source code in e-commerce, comparing it to the mechanisms used in patent applications and the Dodd-Frank law in the finance sector. She believes that mechanisms used in these sectors can be applicable in e-commerce without giving away a company’s “secret sauce.”

Caitlin also emphasizes the need for impact assessments throughout the design phase and implementation of e-commerce and AI. By understanding the potential impacts of these technologies from the beginning, it is possible to ensure that they are beneficial and aligned with societal goals.

One noteworthy observation is that discussions on e-commerce at the WTO (World Trade Organization) do not sufficiently address the implications of algorithms. While the terminology of algorithms is avoided, there are still regulations being developed around them. This suggests a need for more comprehensive discussions on the implications and regulations surrounding algorithms in the context of e-commerce.

Caitlin also highlights the need to understand gendered algorithmic responses in relation to small women-owned businesses. Faults in algorithmic responses can affect the ratings and credibility of these businesses, making it crucial to consider the gender component in algorithmic systems.

The Italian presidency’s discussions on e-commerce are seen as an opportunity to address these issues and incorporate discussions on algorithms. Italy is expected to take up these important topics during their presidency, especially during ministerial discussions.

In conclusion, Caitlin Kraft-Buchman’s panel on the gender component in digital trade regulations highlights the increasing recognition and importance of addressing gender obstacles and promoting digital inclusion for women. UNCTAD’s advancements in this field further emphasize the need for specific measures and considerations in trade regulations. The use of AI chatbots and the incorporation of a gender lens in trade regulations are identified as potential solutions. Additionally, attention to digital public infrastructure and the understanding of gendered algorithmic responses are crucial for boosting digital inclusion and creating a fair and inclusive digital environment.

H.E. Vincenzo Grassi

The analysis of the provided statements highlights several key points from all speakers. One main argument is that digitalisation and emerging technologies, including artificial intelligence, have the potential to drive economic growth and promote social well-being. These technologies are seen as enablers that can bring about positive change in various sectors. The speakers emphasise the transformative power of digitalisation in enhancing economic growth and fostering inclusivity.

However, the analysis also reveals the existence of a digital divide that needs attention. One aspect of this divide is the gender gap in digital access and skills. Women’s limited participation in science, technology, engineering, and mathematics (STEM) fields has repercussions on their comfort and familiarity with digital technologies. This gender component of the digital divide needs to be addressed to ensure equal access and opportunities for all.

On a positive note, e-commerce and digital payments are seen as tools that can economically empower women. These digital solutions can reduce initial investment costs for small businesses and improve women’s access to financial services. By overcoming obstacles posed by limited access to traditional financial institutions, e-commerce and digital payments contribute to enhancing women’s economic opportunities and financial inclusion.

Italy, through its upcoming G7 presidency, prioritises digital transition and gender empowerment. These two areas are recognised as key priorities by the Italian Ministry of Foreign Affairs and International Cooperation. Italy, in partnership with the Italian Agency for Development Cooperation and UNDP, actively participates in digital for development initiatives. This commitment sends a strong message about the importance of digitalisation and gender equality in achieving sustainable development goals.

To bridge the digital divide, Italy aims to prioritise digital inclusion policies during its G7 presidency. The focus is on ensuring that all citizens have access to affordable and reliable high-speed internet. Significant investments in digital infrastructure are committed to enhancing connectivity, particularly in underserved regions. Italy’s emphasis on digital inclusion aligns with the goal of reducing inequalities and ensuring that no one is left behind in the digital revolution.

The analysis also highlights the need to address gender bias in digital trade regulation. Ensuring that the benefits of digital commerce are accessible to all can lead to enhanced social empowerment. By promoting inclusivity in digital trade, a more equitable and gender-responsive environment can be created.

In terms of education, digital literacy is considered a crucial factor in narrowing the digital divide. Promoting education, training, and lifelong learning is seen as essential to ensure that individuals, especially women, have the necessary skills and knowledge to participate fully in the digital era.

Advancements in digital technology are seen as a catalyst for promoting economic development in disadvantaged areas. These advancements, coupled with a focus on digital connectivity, are recognised as key factors in promoting economic growth and prosperity in regions facing challenges.

The analysis also emphasises the strategic importance of digital connectivity in the Mediterranean region. Increased digital integration with countries in this region, including the Middle East, is seen as a way to strengthen its resilience and drive growth.

Moreover, the impact of artificial intelligence and new technologies on labour and social affairs is acknowledged as an area that requires careful consideration. It is essential to understand the potential implications and proactively address any challenges that may arise to ensure a fair and inclusive transition to a digital future.

Furthermore, the analysis highlights the gender component in intellectual property protection. Women-led micro-businesses from countries outside major commercial actors often face disadvantages when it comes to protecting their inventions or processes. This observation underscores the need for gender-responsive policies that provide equal protection and support for women entrepreneurs.

Another aspect of gender inequality in trade is the higher incidence of non-tariff measures (NTMs) faced by women in sectors where they tend to run smaller businesses. These measures can create barriers to exporting, leading to challenges for women entrepreneurs. Addressing gender-specific challenges, such as access to information and alternative selling platforms, can help alleviate the obstacles faced by women in the export industry.

Observations from the analysis also highlight the potential of new technologies to resolve gender inequality in the traditional economy. These technologies open up new opportunities and spaces for women to overcome challenges in the traditional economy, leading to positive change.

In conclusion, the analysis reinforces the potential of digitalisation and emerging technologies, such as artificial intelligence, to drive economic growth, promote inclusivity, and enhance social well-being. The speakers emphasise the need to address the digital divide and the gender gap in digital access and skills. E-commerce, digital payments, and digital inclusion policies are seen as important tools in economically empowering women and bridging the digital divide. Italy’s commitment to digital transition and gender empowerment through its G7 presidency showcases its dedication to these priorities. It is crucial to address gender bias in digital trade regulation and promote digital literacy to ensure equal opportunities for all. Advancements in digital technology and digital connectivity are recognised as key factors in promoting economic development and resilience. The impact of artificial intelligence and new technologies on labour and social affairs should be carefully considered. It is important to provide equal protection for women-led micro-businesses and address gender-specific challenges in the export industry. Overall, the analysis underscores the significance of prioritising digitalisation, gender equality, and inclusive policies to achieve sustainable development goals.

Marlynne Hopper

The e-phyto project, led by the International Plant Protection Convention, has successfully established a global hub for the exchange of e-phyto certificates, benefiting over 125 countries. This achievement is a positive development in trade and phytosanitary measures. However, the project did not adequately address gender mainstreaming, lacking specific activities, objectives, and monitoring to assess gender impact. This omission calls for greater focus on gender inclusivity in projects like e-certification. To address this gap, the Standards and Trade Development Facility (STDF) has developed a gender action plan to integrate gender concerns into project implementation and monitoring. Efforts are being made to include women’s voices in regulatory processes, and new STDF projects are incorporating gender analysis. Marlynne Hopper stresses the need for progress on gender matters in e-commerce and safe trade, while commending Senegal’s work on a gender action plan linked to the Africa Continental Free Trade Area (AFCFTA). The use of specific examples is advocated to strengthen the case for gender inclusion. Although advancements have been made, continued awareness-raising and understanding of gender inclusivity in safe trade are still required.

Audience

Women entrepreneurs in Latin America prefer using social media platforms, rather than e-commerce platforms, to sell their products. This preference stems from the desire to build and maintain control over their brand, which is easier to achieve on social media. Unlike e-commerce platforms, social media allows women entrepreneurs to have ownership and control over their businesses, providing them with the flexibility and personal touch they value.

However, there are challenges for women entrepreneurs in Latin America when it comes to exporting their products through social media and e-commerce platforms. Accessing international markets becomes difficult due to complex trade regulations, international shipping logistics, and language barriers. This poses a negative sentiment towards exporting for women entrepreneurs, limiting their expansion opportunities.

Additionally, concerns arise over the Just-in-Time Inventory (JSI) on e-commerce and its impact on women entrepreneurs. Lack of transparency regarding algorithms used in e-commerce platforms raises concerns about potential discrimination against women. Governments are unable to request disclosure or audit the algorithms, which have been proven to produce biased outcomes. Non-disclosure of source codes and standardized delivery times further disadvantage women entrepreneurs.

In conclusion, women entrepreneurs in Latin America show a preference for social media platforms in selling their products, but they face challenges in exporting and express concerns about the lack of transparency in e-commerce algorithms. The limitations of e-commerce platforms, such as standardized processes and non-disclosure of algorithms, create barriers for women entrepreneurs. Addressing gender inequalities and promoting inclusive practices in the e-commerce industry are crucial for supporting the growth and empowerment of women entrepreneurs.

A

Audience

Speech speed

190 words per minute

Speech length

560 words

Speech time

177 secs

AC

Awa Caba

Speech speed

151 words per minute

Speech length

1754 words

Speech time

698 secs

CK

Caitlin Kraft-Buchman

Speech speed

173 words per minute

Speech length

2994 words

Speech time

1036 secs

HV

H.E. Vincenzo Grassi

Speech speed

145 words per minute

Speech length

1646 words

Speech time

680 secs

MH

Marlynne Hopper

Speech speed

178 words per minute

Speech length

1541 words

Speech time

519 secs

RP

Ralf Peters

Speech speed

153 words per minute

Speech length

1759 words

Speech time

689 secs

SZ

Simonetta Zarrilli

Speech speed

131 words per minute

Speech length

2527 words

Speech time

1161 secs