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Investigating the impacts of time delays on trade

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  • Liu, Lan
  • Yue, Chengyan

Abstract

Time delays due to inefficient customs and administrative procedures have become a leading non-tariff barrier (NTB) that restrict international trade and impair social welfare. This paper investigates how time delays affect product quality, product price, trade flow, and social welfare, using data on the days it takes to clear customs in 96 countries. We explore the impacts of time delays on product quality and price with different levels of perishability. We find that longer time delays at the border would significantly decrease highly perishable agricultural products' quality and price. We also find that for highly perishable agricultural products, improved and simplified customs delays would increase trade flows and social welfare of importing countries.

Suggested Citation

  • Liu, Lan & Yue, Chengyan, 2013. "Investigating the impacts of time delays on trade," Food Policy, Elsevier, vol. 39(C), pages 108-114.
    • Handle: RePEc:eee:jfpoli:v:39:y:2013:i:c:p:108-114
    DOI: 10.1016/j.foodpol.2013.01.001
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    Cited by:

    1. John C. Beghin & Heidi Schweizer, 2021. "Agricultural Trade Costs," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 43(2), pages 500-530, June.
    2. Biswas, Trina & Kennedy, P. Lynn, 2018. "The Role of E-governance on Bilateral Agricultural Trade," 2018 Annual Meeting, August 5-7, Washington, D.C. 274273, Agricultural and Applied Economics Association.
    3. Pérez-Mesa, Juan Carlos & García-Barranco, M & Piedra-Muñoz, Laura & Galdeano-Gómez, Emilio, 2019. "Transport as a limiting factor for the growth of Spanish agri-food exports," MPRA Paper 119855, University Library of Munich, Germany.
    4. Pérez-Mesa, Juan Carlos & García-Barranco, M. Carmen & Piedra-Muñoz, Laura & Galdeano-Gómez, Emilio, 2019. "Transport as a limiting factor for the growth of Spanish agri-food exports," Research in Transportation Economics, Elsevier, vol. 78(C).
    5. Biswas, Trina & Kennedy, P. Lynn, 2015. "The Role of E-governance on Agricultural Trade," 2015 Annual Meeting, January 31-February 3, 2015, Atlanta, Georgia 196865, Southern Agricultural Economics Association.

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