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Trade Facilitation in Developing Countries

  • Chris Milner
  • Oliver Morrissey
  • Evious Zgovu

Measures to actively facilitate trade are increasingly seen as essential to assist developing countries in expanding trade and benefiting from globalisation. Although often viewed as narrowly concerned with the ease and speed of Customs procedures, even greater trade cost reductions and trade and welfare benefits may be reaped from a broader view of trade facilitation (TF) that incorporates transportation, distribution and communication issues. A number of TF reforms are particularly beneficial: improving procedures, especially Customs clearance; introducing automation and use of information technology; reducing excessive documentation requirements; addressing lack of transparency in import and export requirements; addressing lack of modernisation of and cooperation between Customs and other government agencies. The review identifies the types of TF reforms that could address these problems and deliver a return in terms of increased revenue collection efficiency, reductions in trade costs and promotion of greater regional cooperation (at least in Customs and transport, especially as many TF measures are appropriate for inclusion in regional integration agreements).

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Paper provided by University of Nottingham, CREDIT in its series Discussion Papers with number 08/05.

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Handle: RePEc:not:notcre:08/05
Contact details of provider: Postal: School of Economics University of Nottingham University Park Nottingham NG7 2RD
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  1. Dollar, David & Hallward-Driemeier, Mary & Mengistae, Taye, 2004. "Investment climate and international integration," Policy Research Working Paper Series 3323, The World Bank.
  2. Persson, Maria, 2007. "Trade Facilitation and the EU-ACP Economic Partnership Agreements: Who Has the Most to Gain?," Working Papers 2007:8, Lund University, Department of Economics, revised 01 Oct 2007.
  3. Soloaga, Isidro & Wilson, John S. & Mejia, Alejandro, 2006. "Moving forward faster : trade facilitation reform and Mexican competitiveness," Policy Research Working Paper Series 3953, The World Bank.
  4. Djankov, Simeon & Freund, Caroline & Pham, Cong S., 2006. "Trading on time," Policy Research Working Paper Series 3909, The World Bank.
  5. Subramanian, Uma & Matthijs, Matthias, 2007. "Can Sub-Saharan Africa leap into global network trade ?," Policy Research Working Paper Series 4112, The World Bank.
  6. James E. Anderson & Eric van Wincoop, 2004. "Trade Costs," NBER Working Papers 10480, National Bureau of Economic Research, Inc.
  7. Hildegunn Kyvik Nordås & Enrico Pinali & Massimo Geloso Grosso, 2006. "Logistics and Time as a Trade Barrier," OECD Trade Policy Papers 35, OECD Publishing.
  8. Dennis, Allen, 2006. "The impact of regional trade agreements and trade facilitation in the Middle East and North Africa region," Policy Research Working Paper Series 3837, The World Bank.
  9. Antonio Estache & Tomas Serebrisky, 2004. "Where do We Stand on Transport Infrastructure Deregulation and Public-Private Partnerships?," ULB Institutional Repository 2013/44096, ULB -- Universite Libre de Bruxelles.
  10. Clarke, George R.G., 2005. "Beyond tariffs and quotas : why don't African manufacturers export more?," Policy Research Working Paper Series 3617, The World Bank.
  11. Patrick A. Messerlin & Jamel Zarrouk, 2000. "Trade Facilitation: Technical Regulations and Customs Procedures," The World Economy, Wiley Blackwell, vol. 23(04), pages 577-593, 04.
  12. Wilson, John S. & Mann, Catherine L. & Otsuki, Tsunehiro, 2004. "Assessing the potential benefit of trade facilitation : A global perspective," Policy Research Working Paper Series 3224, The World Bank.
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