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Notes on Detecting the Effects of Non Tariff Measures

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  • Jaime MELO DE

    ()
    (Université Genève)

  • Céline CARRERE

    ()
    (Centre d'Etudes et de Recherches sur le Développement International)

Abstract

Alternative approaches to estimating the effects of non-tariff measures (NTMs) on trade flows are discussed and evaluated critically. Recent econometric studies point to three results: (i) NTM restrictiveness measures based on an aggregate of ‘core’ NTMs are more restrictive than existing tariffs and, because of export composition towards agricultural products, in the aggregate, these ‘core’ NTMs limit market-access most for low-income countries; (ii) Proxies for individual NTMs, have a negative effect on the volume of bilateral trade for the detailed product under scrutiny; (iii) harmonization of standards is trade enhancing. Case studies confirm several of these patterns, and also that perceived severity of NTMs varies across products and across destinations for a given product. Across broadly-defined imports at the section level, NTMs are more restrictive than the corresponding tariffs with two-thirds of the AVE estimates in the 25%-50% range. Technical regulations and non-automatic licensing are the most used single-NTM measures and the restrictiveness of technical regulations increases with income per capita.

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File URL: http://publi.cerdi.org/ed/2009/2009.32.pdf
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Bibliographic Info

Paper provided by CERDI in its series Working Papers with number 200932.

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Length: 47
Date of creation: Dec 2009
Date of revision:
Handle: RePEc:cdi:wpaper:1130

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Keywords: Latin America; international trade; Export diversification;

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  1. Portugal-Perez, Alberto & Reyes, Jose-Daniel & Wilson, John S., 2009. "Beyond the information technology agreement : harmonization of standards and trade in electronics," Policy Research Working Paper Series 4916, The World Bank.
  2. Anne-Célia Disdier & Lionel Fontagné & Mondher Mimouni, 2007. "The Impact of Regulations on Agricultural Trade: Evidence from SPS and TBT Agreements," Working Papers 2007-04, CEPII research center.
  3. Disdier, Anne-Celia & Fontagne, Lionel, 2008. "Trade Impact of European Measures on GMOs Condemned by the WTO Panel," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44392, European Association of Agricultural Economists.
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