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Formula Approaches for Market Access Negotiations

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  • Francois, Joseph
  • Martin, Will

Abstract

Most of the large tariff reductions achieved in multilateral trade negotiations have involved tariff-cutting formulas such as the ‘Swiss’ formula. Wide variations in initial tariff rates between active participants, however, call for new approaches under the Doha Development Agenda. This Paper surveys a range of formula options and examines both targeted and flexible applications of the Swiss formula that target tariff escalation and peaks, and would allow policymakers to directly target how far they will move towards free trade, while providing some flexibility for trading off reductions in peak tariffs against reductions in lower-tariff sectors.

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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 3720.

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Date of creation: Jan 2003
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Handle: RePEc:cpr:ceprdp:3720

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Keywords: market access; tariff formulas; WTO;

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  1. Lopez, Ramon & Panagariya, Arvind, 1992. "On the Theory of Piecemeal Tariff Reform: The Case of Pure Imported Intermediate Inputs," American Economic Review, American Economic Association, vol. 82(3), pages 615-25, June.
  2. Bernard Hoekman & Francis Ng & Marcelo Olarreaga, 2002. "Eliminating Excessive Tariffs on Exports of Least Developed Countries," World Bank Economic Review, World Bank Group, vol. 16(1), pages 1-21, June.
  3. Joseph Francois & Will Martin, 2002. "Commercial Policy Variability, Bindings, and Market Access," International Trade 0210002, EconWPA.
  4. Bernard Hoekman & Marcelo Olarreaga, 2002. "Une proposition pour l'OMC : La « super » clause de nation plus favorisée," Reflets et perspectives de la vie économique, De Boeck Université, vol. 0(2), pages 81-90.
  5. World Bank, 2001. "Global Economic Prospects and the Developing Countries 2001," World Bank Publications, The World Bank, number 14779, August.
  6. Hoekman, Bernard, 2002. "Strengthening the global trade architecture for development," Policy Research Working Paper Series 2757, The World Bank.
  7. Martin, W. & Winters, L.A., 1995. "The Uruguay Round and the Developing Countries," World Bank - Discussion Papers 307, World Bank.
  8. Martin,Will & Winters,L. Alan (ed.), 1996. "The Uruguay Round and the Developing Countries," Cambridge Books, Cambridge University Press, number 9780521586016, April.
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