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Rules of Origin, Preferences and Diversification in Apparel: African Exports to the US and to the EU

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  • de Melo, Jaime
  • Portugal-Pérez, Alberto

Abstract

The EU and the US offer similar preferential market access for apparel exports to a group of African countries. These agreements differ in their product-specific rules of origin (PSRO). While EBA and Cotonou require yarn to be woven into fabric and then made-up into apparel in the same country or in a country qualifying for cumulation (double transformation), AGOA grants a special regime (SR) to “lesser developed countries” allowing them the use of fabric from any origin and still meet the criteria for preferences (single transformation). Using several estimation methods, this paper contrasts export performance to the US and EU markets and attributes an increase in export volume of about 300% for the top seven beneficiaries of AGOA’s SR to differences in respective PSRO and also an increase in the number of products exported.

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Bibliographic Info

Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 7072.

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Date of creation: Dec 2008
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Handle: RePEc:cpr:ceprdp:7072

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Keywords: AGOA; EBA; Regional Integration; Rules of Origin;

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Cited by:
  1. de Melo, Jaime & Portugal-Perez, Alberto, 2013. "Preferential market access design: evidence and lessons from African apparel exports to the us and the EU," Policy Research Working Paper Series 6357, The World Bank.
  2. Mangelsdorf, Axel & Portugal-Perez, Alberto & Wilson, John S., 2012. "Food standards and exports: evidence for China," World Trade Review, Cambridge University Press, vol. 11(03), pages 507-526, July.
  3. Pierre-Louis Vezina & Lorenzo Rotunno & Zheng Wang, 2012. "The rise and fall of (Chinese) African apparel exports," Economics Series Working Papers WPS/2012-12, University of Oxford, Department of Economics.
  4. Behar, Alberto & Edwards, Lawrence, 2011. "How integrated is SADC ? trends in intra-regional and extra-regional trade flows and policy," Policy Research Working Paper Series 5625, The World Bank.

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