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Trade Facilitation Indicators: The Impact on Trade Costs

Author

Listed:
  • Evdokia Moïsé

    (OECD)

  • Thomas Orliac

    (Institut d’Etudes Politiques)

  • Peter Minor

Abstract

This report presents the findings of the OECD indicators for assessing the economic and trade impact of specific trade facilitation measures in OECD countries. Twelve trade facilitation indicators (TFIs) have been constructed, corresponding to the main policy areas under negotiation at the WTO, with the aim to estimate the impact of addressing specific facilitation hurdles in the trade procedures of a given country. For OECD countries, the policy areas that seem to have the greatest impact on trade volumes and trade costs are advance rulings, information availability, formalities and procedures and inter-agency cooperation. If all TFIs are added their cost reduction potential would reach almost 10% of trade costs, which is an estimate consistent with existing literature. The use of individual trade facilitation indicators should enable countries to better assess which trade facilitation dimensions deserve priority. The OECD TFI project is now expanded to cover countries outside the OECD area.

Suggested Citation

  • Evdokia Moïsé & Thomas Orliac & Peter Minor, 2011. "Trade Facilitation Indicators: The Impact on Trade Costs," OECD Trade Policy Papers 118, OECD Publishing.
  • Handle: RePEc:oec:traaab:118-en
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    File URL: http://dx.doi.org/10.1787/5kg6nk654hmr-en
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    Cited by:

    1. Fontagné, Lionel & Orefice, Gianluca & Piermartini, Roberta, 2016. "Making (small) firms happy: The heterogeneous effect of trade facilitation measures," WTO Staff Working Papers ERSD-2016-03, World Trade Organization (WTO), Economic Research and Statistics Division.
    2. Toševska-Trpčevska Katerina & Tevdovski Dragan, 2016. "Trade Facilitation Indicators and their Potential Impact on Trade Between the Countries of South-Eastern Europe," Scientific Annals of Economics and Business, De Gruyter Open, vol. 63(3), pages 347-362, November.
    3. Flentø, Daniel & Ponte, Stefano, 2017. "Least-Developed Countries in a World of Global Value Chains: Are WTO Trade Negotiations Helping?," World Development, Elsevier, vol. 94(C), pages 366-374.
    4. repec:elg:eechap:17028_14 is not listed on IDEAS
    5. Beverelli, Cosimo & Neumüller, Simon & Teh, Robert, 2014. "A new look at the extensive trade margin effects of trade facilitation," WTO Staff Working Papers ERSD-2014-16, World Trade Organization (WTO), Economic Research and Statistics Division.
    6. Alexej Sato, 2015. "Agreement on Trade Facilitation - information and comments," Ekonomika a Management, University of Economics, Prague, vol. 2015(4).
    7. Jerónimo Carballo & Georg Schaur & Christian Volpe Martincus, 2017. "Transportation and Trade Interactions: A Trade Facilitation Perspective," IDB Publications (Working Papers) 97957, Inter-American Development Bank.
    8. Hornok, Cecília & Koren, Miklós, 2015. "Administrative barriers to trade," Journal of International Economics, Elsevier, vol. 96(S1), pages 110-122.
    9. Beverelli, Cosimo & Neumueller, Simon & Teh, Robert, 2015. "Export Diversification Effects of the WTO Trade Facilitation Agreement," World Development, Elsevier, vol. 76(C), pages 293-310.
    10. Åsa Johansson & Eduardo Olaberría, 2014. "Global Trade and Specialisation Patterns Over the Next 50 Years," OECD Economic Policy Papers 10, OECD Publishing.
    11. Åsa Johansson & Eduardo Olaberría, 2014. "Long-term Patterns of Trade and Specialisation," OECD Economics Department Working Papers 1136, OECD Publishing.
    12. Jerónimo Carballo & Georg Schaur & Christian Volpe Martincus, 2018. "Transportation and trade interactions: a trade facilitation perspective," Chapters,in: Handbook of International Trade and Transportation, chapter 14, pages 422-450 Edward Elgar Publishing.
    13. Halit Yanikkaya & Zeynep Aktas Koral, 2017. "Assessing the Determinants of Customs-Related Transaction Costs in Turkey," Working Papers 2017-02, Gebze Technical University, Department of Economics.

    More about this item

    Keywords

    customs; simplification; trade costs; trade facilitation; trade flows; transparency; WTO;

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • H83 - Public Economics - - Miscellaneous Issues - - - Public Administration
    • L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation

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