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Trade Logistics and Regional Integration in Latin America and the Caribbean

  • Guerrero, Pablo

    (Asian Development Bank Institute)

  • Lucenti, Krista

    (Asian Development Bank Institute)

  • Galarza, Sebastián

    (Asian Development Bank Institute)

During the past few decades, the landscape of the world economy has changed. New trade patterns reflect the globalization of the supply chain and intra-industry trade, and increasing flows between neighboring countries and trading blocs with similar factor endowments. Similarly, the approach to production, trade, and transportation has evolved incorporating freight logistics as an important value-added service in global production. This integrated approach have become essential, and as such, both the trade agenda and freight logistics are beginning to converge providing an unparalleled opportunity for countries to deepen their integration with neighboring countries and their national performance in transport related services. Consequently, developing countries are finding themselves hard-pressed to adjust their policy agendas to take into account costs not covered in past rounds of trade negotiations. This paper focuses on the importance of freight logistics in trade facilitation measures, examines the transport and logistics cost in international trade, addresses logistics performance in Latin America and the Caribbean and regional initiatives to advance the integration process and finally, exchanges views on the potential for trade logistics to impact the regional agenda and to deepen integration.

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Paper provided by Asian Development Bank Institute in its series ADBI Working Papers with number 233.

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Length: 43 pages
Date of creation: 02 Aug 2010
Date of revision:
Handle: RePEc:ris:adbiwp:0233
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  1. Mauricio Mesquita Moreira & Christian Volpe Martincus & Juan S. Blyde, 2008. "Unclogging the Arteries: The Impact of Transport Costs on Latin American and Caribbean Trade," IDB Publications (Books), Inter-American Development Bank, number 13138.
  2. David Hummels, 2007. "Transportation Costs and International Trade in the Second Era of Globalization," Journal of Economic Perspectives, American Economic Association, vol. 21(3), pages 131-154, Summer.
  3. Lederman, Daniel & Olarreaga, Marcelo & Soloaga, Isidro, 2007. "The growth of China and India in world trade : opportunity or threat for Latin America and the Caribbean?," Policy Research Working Paper Series 4320, The World Bank.
  4. Wilson,John S. & Mann, Catherine L. & Otsuki, Tsunehiro, 2003. "Trade facilitation and economic development : measuring the impact," Policy Research Working Paper Series 2988, The World Bank.
  5. Raymond Robertson & Antoni Estevadeordal., 2009. "Gravity, Bilateral Agreements, and Trade Diversion in the Americas," Latin American Journal of Economics-formerly Cuadernos de Economía, Instituto de Economía. Pontificia Universidad Católica de Chile., vol. 46(133), pages 3-33.
  6. James E. Anderson & Eric van Wincoop, 2004. "Trade Costs," Boston College Working Papers in Economics 593, Boston College Department of Economics.
  7. repec:idb:brikps:13138 is not listed on IDEAS
  8. Gonzalez, Julio A. & Guasch, Jose Luis & Serebrisky, Tomas, 2008. "Improving logistics costs for transportation and trade facilitation," Policy Research Working Paper Series 4558, The World Bank.
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