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Export Diversification In Low-Income Countries: An International Challenge After Doha

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Author Info
Federico Bonaglia (OECD Development Centre)
Kichiro Fukasaku (OECD Development Centre)

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Abstract

This paper discusses major policy issues related to commodity dependence and export diversification in low-income countries. Contrary to some widely-held view, it argues that natural resources are not necessarily a ‘curse’ that condemns low-income countries to underdevelopment but can provide a basis for sustained export-led growth. Natural resource-based sectors have potential for export diversification. The OECD ‘mirror’ trade data indeed suggest that many different routes to diversification exist, including resource-based manufacturing and processing of primary products. However, these opportunities are far from being exploited in many low-income countries. This is because export diversification is typically a slow process, and this process needs to be sustained by an appropriate and coherent strategy, characterised by a combination of vision, co-ordination and management of conflicting interests. Moreover, the analysis of trade support services in two African countries points to a mismatch between private sector’s needs and services actually provided and to a limited institutional development of the trade and investment support network. The lessons for trade capacity building are important for Africa but are also relevant for other low-income countries.

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File URL: http://129.3.20.41/eps/dev/papers/0307/0307001.pdf
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Publisher Info
Paper provided by EconWPA in its series Development and Comp Systems with number 0307001.

Download reference. The following formats are available: HTML, plain text, BibTeX, RIS (EndNote), ReDIF
Length: 46 pages
Date of creation: 02 Jul 2003
Date of revision:
Handle: RePEc:wpa:wuwpdc:0307001

Note: Type of Document - Acrobat pdf; prepared on IBM PC; to print on HP; pages: 46 ; figures: included
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Web page: http://129.3.20.41

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Related research
Keywords: export diversification resource curse Doha development agenda trade capacity building trade support services

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Find related papers by JEL classification:
Q33 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Resource Booms (Dutch Disease)
Q17 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agriculture in International Trade
F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
F14 - International Economics - - Trade - - - Country and Industry Studies of Trade

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Paul Cashin & C. John McCDermott, 2002. "The Long-Run Behavior of Commodity Prices: Small Trends and Big Variability," IMF Staff Papers, Palgrave Macmillan Journals, vol. 49(2), pages 2. [Downloadable!] (restricted)
  2. Blomström, Magnus & Kokko, Ari, 2003. "From Natural Resources to High-tech Production: The Evolution of Industrial Competitiveness in Sweden and Finland," CEPR Discussion Papers 3804, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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Cited by:
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  1. Jens Andersson & Federico Bonaglia & Kiichiro Fukasaku & Caroline Lesser, 2005. "Trade And Structural Adjustment Policies In Selected Developing Countries," Development and Comp Systems 0507003, EconWPA. [Downloadable!]
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  2. Alberto Amurgo-Pacheco, Martha Denisse Pierola, 2007. "Patterns of export diversification in developing countries: intensive and extensive margins," HEI Working Papers heiwp20-2007, Economics Section, The Graduate Institute of International Studies, revised Jul 2007. [Downloadable!]
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This page was last updated on 2008-8-17.


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