IDEAS home Printed from https://ideas.repec.org/p/ags/pugtwp/330231.html

Assessing the impacts of eliminating Non-Tariff Barriers in the framework of the African Continental Free Trade Area on Cameroons economy

Author

Listed:
  • Leudjou, Roland

Abstract

In order to prepare the state of Cameroon for the NTB negotiations under the AfCFTA, this project aims to analyze the impact of the elimination of NTBs on GDP, trade, and welfare gains. One innovation of this paper is that it will produce a new database of bilateral NTBs' AVE by using a structural gravity model estimated with panel data taking into account internal trade (theoretical foundations). This database will be as comprehensive as possible in terms of African countries included. Another innovation is that the AVEs will take into account the heterogeneity of NTBs by distinguishing NTBs that affect importers, those affecting exporters, and those that affect both. Another particularity of the paper is that in a multi-region, multi-sector CGE model (GTAP), both the Iceberg cost method and the new method “Exporter cost” will be used. Keywords: AfCFTA, NTBs, AVEs, Structural Gravity Model, Single Country Static CGE Model

Suggested Citation

  • Leudjou, Roland, 2021. "Assessing the impacts of eliminating Non-Tariff Barriers in the framework of the African Continental Free Trade Area on Cameroons economy," Conference papers 330231, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
  • Handle: RePEc:ags:pugtwp:330231
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/330231/files/10443_Leudjou.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Nicholas Ngepah & Maxwell C. Udeagha, 2018. "African Regional Trade Agreements and Intra-African Trade," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 33(1), pages 1176-1199.
    2. Kenichi Kawasaki, 2017. "Emergent Uncertainty in Regional Integration -Economic impacts of alternative RTA scenarios-," GRIPS Discussion Papers 16-27, National Graduate Institute for Policy Studies.
    3. John Christopher Beghin & Anne-Célia Disdier & Stéphan Marette, 2017. "Trade restrictiveness indices in the presence of externalities: An application to non-tariff measures," World Scientific Book Chapters, in: John Christopher Beghin (ed.), Nontariff Measures and International Trade, chapter 5, pages 81-104, World Scientific Publishing Co. Pte. Ltd..
    4. Zhaohui Niu & Chang Liu & Saileshsingh Gunessee & Chris Milner, 2018. "Non-tariff and overall protection: evidence across countries and over time," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 154(4), pages 675-703, November.
    5. Mahdi Ghodsi & Julia Grübler & Robert Stehrer, 2016. "Estimating Importer-Specific Ad Valorem Equivalents of Non-Tariff Measures," wiiw Working Papers 129, The Vienna Institute for International Economic Studies, wiiw.
    6. Jacob Wanjala Musila, 2005. "The Intensity of Trade Creation and Trade Diversion in COMESA, ECCAS and ECOWAS: A Comparative Analysis," Journal of African Economies, Centre for the Study of African Economies, vol. 14(1), pages 117-141, March.
    7. Hiau LooiKee & Alessandro Nicita & Marcelo Olarreaga, 2009. "Estimating Trade Restrictiveness Indices," Economic Journal, Royal Economic Society, vol. 119(534), pages 172-199, January.
    8. Yotov, Yoto V., 2012. "A simple solution to the distance puzzle in international trade," Economics Letters, Elsevier, vol. 117(3), pages 794-798.
    9. James E. Anderson & Eric van Wincoop, 2003. "Gravity with Gravitas: A Solution to the Border Puzzle," American Economic Review, American Economic Association, vol. 93(1), pages 170-192, March.
    10. María Pía Olivero & Yoto V. Yotov, 2012. "Dynamic gravity: endogenous country size and asset accumulation," Canadian Journal of Economics, Canadian Economics Association, vol. 45(1), pages 64-92, February.
    11. Mario Larch & Yoto V. Yotov, 2016. "General Equilibrium Trade Policy Analysis with Structural Gravity," CESifo Working Paper Series 6020, CESifo.
    12. Dai, Mian & Yotov, Yoto V. & Zylkin, Thomas, 2014. "On the trade-diversion effects of free trade agreements," Economics Letters, Elsevier, vol. 122(2), pages 321-325.
    13. Soamiely Andriamananjara & Michael Ferrantino & Marinos Tsigas, 2005. "Alternative Approaches In Estimating The Economic Effects Of Non-Tariff Measures: Results From Newly Quantified Measures," World Scientific Book Chapters, in: Philippa Dee & Michael Ferrantino (ed.), Quantitative Methods For Assessing The Effects Of Non-Tariff Measures And Trade Facilitation, chapter 19, pages 525-540, World Scientific Publishing Co. Pte. Ltd..
    14. Piermartini, Roberta & Teh, Robert, 2005. "Demystifying modelling methods for trade policy," WTO Discussion Papers 10, World Trade Organization (WTO), Economic Research and Statistics Division.
    15. Jaime DE MELO & Yvonne TSIKATA, 2014. "Regional integration in Africa: Challenges and prospects," Working Papers P93, FERDI.
    16. Fally, Thibault, 2015. "Structural gravity and fixed effects," Journal of International Economics, Elsevier, vol. 97(1), pages 76-85.
    17. David Vanzetti & Ralph Peters & Christian Knebel, 2017. "Non-Tariff Measures: Lifting CFTA and ACP Trade to the Next Level," UNCTAD Blue Series Papers 78, United Nations Conference on Trade and Development.
    18. Olivier Cadot & Alan Asprilla & Julien Gourdon & Ralph Peters & Christian Knebel, 2015. "Deep Regional Integration And Non-Tariff Measures: A Methodology For Data Analysis," UNCTAD Blue Series Papers 69, United Nations Conference on Trade and Development.
    19. Jean-François Arvis & Ben Shepherd, 2013. "The Poisson quasi-maximum likelihood estimator: a solution to the ‘adding up’ problem in gravity models," Applied Economics Letters, Taylor & Francis Journals, vol. 20(6), pages 515-519, April.
    20. Sylvanus Kwaku Afesorgbor, 2017. "Revisiting the effect of regional integration on African trade: evidence from meta-analysis and gravity model," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 26(2), pages 133-153, February.
    21. Scott Bradford, 2005. "The Extent And Impact Of Final Goods Non-Tariff Barriers In Rich Countries," World Scientific Book Chapters, in: Philippa Dee & Michael Ferrantino (ed.), Quantitative Methods For Assessing The Effects Of Non-Tariff Measures And Trade Facilitation, chapter 17, pages 435-481, World Scientific Publishing Co. Pte. Ltd..
    22. Julia Grübler & Mahdi Ghodsi & Robert Stehrer, 2022. "Import demand elasticities revisited," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 31(1), pages 46-74, January.
    23. Mr. Jean-Jacques Hallaert, 2007. "Can Regional Integration Accelerate Development in Africa? CGE Model Simulations of the Impact of the SADC FTA on the Republic of Madagascar," IMF Working Papers 2007/066, International Monetary Fund.
    24. Thomas W. Hertel & Terrie Walmsley & Ken Itakura, 2005. "Dynamic Effects Of The "New Age" Free Trade Agreement Between Japan And Singapore," World Scientific Book Chapters, in: Philippa Dee & Michael Ferrantino (ed.), Quantitative Methods For Assessing The Effects Of Non-Tariff Measures And Trade Facilitation, chapter 18, pages 483-523, World Scientific Publishing Co. Pte. Ltd..
    25. Thomas W. Hertel & Terrie Walmsley & Ken Itakura, 2005. "Dynamic Effects Of The "New Age" Free Trade Agreement Between Japan And Singapore," World Scientific Book Chapters, in: Philippa Dee & Michael Ferrantino (ed.), Quantitative Methods For Assessing The Effects Of Non-Tariff Measures And Trade Facilitation, chapter 18, pages 483-523, World Scientific Publishing Co. Pte. Ltd..
    26. Hiau Looi Kee & Alessandro Nicita & Marcelo Olarreaga, 2008. "Import Demand Elasticities and Trade Distortions," The Review of Economics and Statistics, MIT Press, vol. 90(4), pages 666-682, November.
    27. Peter Egger & Mario Larch & Yoto Yotov, 2020. "Gravity-model Estimation with Time-interval Data: Revisiting the Impact of Free Trade Agreements," School of Economics Working Paper Series 2020-11, LeBow College of Business, Drexel University.
    28. Edward J. Balistreri & David G. Tarr & Hidemichi Yonezawa, 2015. "Deep Integration in Eastern and Southern Africa: What are the Stakes?," Journal of African Economies, Centre for the Study of African Economies, vol. 24(5), pages 677-706.
    29. Dolabella, Marcelo, 2020. "Bilateral effects of non-tariff measures on international trade: Volume-based panel estimates," Comercio Internacional 46014, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    30. Zhaohui Niu & Chris Milner & Saileshsingh Gunessee & Chang Liu, 2020. "Are nontariff measures and tariffs substitutes? Some panel data evidence," Review of International Economics, Wiley Blackwell, vol. 28(2), pages 408-428, May.
    31. Longo, Robert & Sekkat, Khalid, 2004. "Economic Obstacles to Expanding Intra-African Trade," World Development, Elsevier, vol. 32(8), pages 1309-1321, August.
    32. Fugazza, Marco & Maur, Jean-Christophe, 2008. "Non-tariff barriers in CGE models: How useful for policy?," Journal of Policy Modeling, Elsevier, vol. 30(3), pages 475-490.
    33. Karingi, Stephen & Lang, Rémi & Oulmane, Nassim & Perez, Romain & Sadni, Mustapha & Hammouda, Hakim Ben, 2005. "Economic and Welfare Impacts of the EU-Africa Economic Partnership Agreements," Conference papers 331389, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    34. James E. Anderson & Mario Larch & Yoto V. Yotov, 2015. "Estimating General Equilibrium Trade Policy Effects: GE PPML," CESifo Working Paper Series 5592, CESifo.
    35. Karingi, Stephen & Perez, Romain & Oulmane, Nassim & Lang, Rémi & Sadni Jallab, Mustapha, 2006. "Assessment of the Impact of the Economic Partnership Agreement between the COMESA countries and the European Union," MPRA Paper 13294, University Library of Munich, Germany.
    36. Baier, Scott L. & Bergstrand, Jeffrey H., 2007. "Do free trade agreements actually increase members' international trade?," Journal of International Economics, Elsevier, vol. 71(1), pages 72-95, March.
    37. Chris Milner & Oliver Morrissey & Andrew McKay, 2005. "Some Simple Analytics of the Trade and Welfare Effects of Economic Partnership Agreements," Journal of African Economies, Centre for the Study of African Economies, vol. 14(3), pages 327-358, September.
    38. Mr. Lisandro Abrego & Maria Alejandra Amado & Tunc Gursoy & Garth P. Nicholls & Hector Perez-Saiz, 2019. "The African Continental Free Trade Agreement: Welfare Gains Estimates from a General Equilibrium Model," IMF Working Papers 2019/124, International Monetary Fund.
    39. Souleymane Coulibaly, 2009. "Evaluating the Trade Effect of Developing Regional Trade Agreements: a Semi-parametric Approach," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 24, pages 709-743.
    40. Meysut Saygili & Ralph Peters & Christian Knebel, 2018. "African Continental Free Trade Area: Challenges and Opportunities of Tariff Reductions," UNCTAD Blue Series Papers 82, United Nations Conference on Trade and Development.
    41. Jonathan Eaton & Samuel Kortum, 2002. "Technology, Geography, and Trade," Econometrica, Econometric Society, vol. 70(5), pages 1741-1779, September.
    42. Evans S. Osabuohien & Uchenna R. Efobi & John T. Odebiyi & Oluyemi O. Fayomi & Adeleke O. Salami, 2019. "Bilateral Trade Performance in West Africa: A Gravity Model Estimation," African Development Review, African Development Bank, vol. 31(1), pages 1-14, March.
    43. Arita, Shawn & Beckman, Jayson & Mitchell, Lorraine, 2017. "Reducing transatlantic barriers on U.S.-EU agri-food trade: What are the possible gains?," Food Policy, Elsevier, vol. 68(C), pages 233-247.
    44. Timothy M. Peterson & Cameron G. Thies, 2014. "The Demand for Protectionism: Democracy, Import Elasticity, and Trade Barriers," International Interactions, Taylor & Francis Journals, vol. 40(1), pages 103-126, January.
    45. Olivier Cadot & Julien Gourdon & Frank van Tongeren, 2018. "Estimating Ad Valorem Equivalents of Non-Tariff Measures: Combining Price-Based and Quantity-Based Approaches," OECD Trade Policy Papers 215, OECD Publishing.
    46. Michael Bratt, 2017. "Estimating the bilateral impact of nontariff measures on trade," Review of International Economics, Wiley Blackwell, vol. 25(5), pages 1105-1129, November.
    47. Borchert, Ingo & Larch, Mario & Shikher, Serge & Yotov, Yoto V., 2021. "The International Trade and Production Database for Estimation (ITPD-E)," International Economics, Elsevier, vol. 166(C), pages 140-166.
    48. Kenichi Kawasaki, 2017. "Emergent Uncertainty in Regional Integration -Economic impacts of alternative RTA scenarios-," GRIPS Discussion Papers 16-28, National Graduate Institute for Policy Studies.
    49. Bergstrand, Jeffrey H. & Larch, Mario & Yotov, Yoto V., 2015. "Economic integration agreements, border effects, and distance elasticities in the gravity equation," European Economic Review, Elsevier, vol. 78(C), pages 307-327.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Baier, Scott L. & Yotov, Yoto V. & Zylkin, Thomas, 2019. "On the widely differing effects of free trade agreements: Lessons from twenty years of trade integration," Journal of International Economics, Elsevier, vol. 116(C), pages 206-226.
    2. Piermartini, Roberta & Yotov, Yoto V., 2016. "Estimating trade policy effects with structural gravity," WTO Staff Working Papers ERSD-2016-10, World Trade Organization (WTO), Economic Research and Statistics Division.
    3. Mario Larch & Serge Shikher & Constantinos Syropoulos & Yoto V. Yotov, 2022. "Quantifying the impact of economic sanctions on international trade in the energy and mining sectors," Economic Inquiry, Western Economic Association International, vol. 60(3), pages 1038-1063, July.
    4. Ingo Borchert & Mario Larch & Serge Shikher & Yoto V. Yotov, 2022. "Disaggregated gravity: Benchmark estimates and stylized facts from a new database," Review of International Economics, Wiley Blackwell, vol. 30(1), pages 113-136, February.
    5. Scott L. Baier & Amanda Kerr & Yoto V. Yotov, 2018. "Gravity, distance, and international trade," Chapters, in: Bruce A. Blonigen & Wesley W. Wilson (ed.), Handbook of International Trade and Transportation, chapter 2, pages 15-78, Edward Elgar Publishing.
    6. Stender, Frederik & Vogel, Tim, 2021. "Murky trade waters: Regional tariff commitments and non-tariff measures in Africa," IDOS Discussion Papers 13/2021, German Institute of Development and Sustainability (IDOS).
    7. Harald Oberhofer & Zhenyi Wang, 2025. "Everything You Always Wanted to Know About EU Membership Trade Effects But Were Afraid to Ask," CESifo Working Paper Series 11823, CESifo.
    8. Jacopo Timini & Francesca Viani, 2022. "A highway across the Atlantic? Trade and welfare effects of the EU-Mercosur agreement," International Economics, CEPII research center, issue 169, pages 291-308.
    9. Mike Webb & Anna Strutt & John Gibson & Terrie Walmsley, 2020. "Modelling the impact of non‐tariff measures on supply chains in ASEAN," The World Economy, Wiley Blackwell, vol. 43(8), pages 2172-2198, August.
    10. Silviano Esteve-Pérez & Salvador Gil-Pareja & Rafael Llorca-Vivero & Jordi Paniagua, 2021. "Has the Euro paid off? A study of the trade-induced welfare effects of the EMU," Working Papers 2103, Department of Applied Economics II, Universidad de Valencia.
    11. Dimitrios Dadakas & Stavroula Tatsi, 2021. "Global agricultural trade impact of the 2011 triple disaster in Japan: A gravity approach," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 65(4), pages 937-972, October.
    12. Mahdi Ghodsi & Robert Stehrer, 2022. "Trade policy and global value chains: tariffs versus non-tariff measures," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 158(3), pages 887-916, August.
    13. Mario Larch & Yoto V. Yotov, 2016. "General Equilibrium Trade Policy Analysis with Structural Gravity," CESifo Working Paper Series 6020, CESifo.
    14. Benedikt Heid & Mario Larch & Yoto V. Yotov, 2021. "Estimating the effects of non‐discriminatory trade policies within structural gravity models," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 54(1), pages 376-409, February.
    15. Yoto V. Yotov, 2024. "The evolution of structural gravity: The workhorse model of trade," Contemporary Economic Policy, Western Economic Association International, vol. 42(4), pages 578-603, October.
    16. Julia Grübler & Oliver Reiter & Robert Stehrer, 2021. "On the new gold standard in EU trade integration: reviewing the EU-Japan EPA," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 48(3), pages 611-644, August.
    17. Befus, Tanja & Brockmeier, Martina & Bektasoglu, Beyhan, 2012. "Comparing Gravity Model Specifications to Estimate NTBs Using the GTAP Framework," Conference papers 332178, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    18. Thomas Steinwachs, 2019. "Geography Matters: Spatial Dimensions of Trade, Migration and Growth," ifo Beiträge zur Wirtschaftsforschung, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, number 81, July.
    19. Benjamin Jung, 2023. "The Trade Effects of the EU-South Korea Free Trade Agreement: Heterogeneity Across Time, Country Pairs, and Directions of Trade within Country Pairs," Open Economies Review, Springer, vol. 34(3), pages 617-656, July.
    20. Irfan Aleem & Bushra Faizi, 2021. "Non-tariff Measures, Overall Protection and Export Competitiveness: Evidence from Pakistan and Regional Countries," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 60(3), pages 251-282.

    More about this item

    Keywords

    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:pugtwp:330231. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/gtpurus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.