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COVID-19, Public Procurement Regimes, and Trade Policy

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  • Eknath,Varun
  • Hoekman,Bernard M.
  • Ereshchenko,Viktoriya
  • Shingal,Anirudh

Abstract

This paper analyzes a prominent dimension of the initial policy response to the COVID-19 pandemic observed in many countries: the imposition of export restrictions and actions to facilitate imports. Weekly data on the use of trade policy instruments during the first seven months of the COVID-19 pandemic (January-July 2020) are used to assess the relationship between the use of trade policy instruments and attributes of pre-crisis public procurement regulation. Controlling for country size, government effectiveness and economic factors, the analysis finds that use of export restrictions targeting medical products is strongly positively correlated with the total number of steps and time required to complete procurement processes in the pre-crisis period. Membership in trade agreements encompassing public procurement disciplines is associated with actions to facilitate trade in medical products. These findings suggest that future empirical assessments of the drivers of trade policy during the pandemic should consider public procurement systems.

Suggested Citation

  • Eknath,Varun & Hoekman,Bernard M. & Ereshchenko,Viktoriya & Shingal,Anirudh, 2021. "COVID-19, Public Procurement Regimes, and Trade Policy," Policy Research Working Paper Series 9511, The World Bank.
    • Handle: RePEc:wbk:wbrwps:9511
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    Cited by:

    1. Bernard Hoekman & Anirudh Shingal & Varun Eknath & Viktoriya Ereshchenko, 2022. "COVID‐19, public procurement regimes and trade policy," The World Economy, Wiley Blackwell, vol. 45(2), pages 409-429, February.
    2. Ari Van Assche & Ali Arsalan Pasha & Lucian Cernat & Hinrich Voss, 2024. "From the editor – Governments as buyers: the international business implications of public procurement," Journal of International Business Policy, Palgrave Macmillan, vol. 7(2), pages 133-146, June.
    3. Hanspach, Philip, 2023. "The home bias in procurement. Cross-border procurement of medical supplies during the Covid-19 pandemic," International Journal of Industrial Organization, Elsevier, vol. 89(C).
    4. Simon Evenett & Matteo Fiorini & Johannes Fritz & Bernard Hoekman & Piotr Lukaszuk & Nadia Rocha & Michele Ruta & Filippo Santi & Anirudh Shingal, 2022. "Trade policy responses to the COVID‐19 pandemic crisis: Evidence from a new data set," The World Economy, Wiley Blackwell, vol. 45(2), pages 342-364, February.
    5. Simon J. Evenett & Bernard Hoekman & Nadia Rocha and Michele Ruta, 2021. "The Covid-19 Vaccine Production Club: Will Value Chains Temper Nationalism?," RSCAS Working Papers 2021/36, European University Institute.
    6. Colbert, Stephanie & Wilkinson, Claire & Thornton, Louise & Feng, Xiaoqi & Richmond, Robyn, 2021. "Online alcohol sales and home delivery: An international policy review and systematic literature review," Health Policy, Elsevier, vol. 125(9), pages 1222-1237.
    7. Nathapornpan Piyaareekul Uttama, 2023. "Revisiting the Impacts of COVID-19 Government Policies and Trade Measures on Trade Flows: A Focus on RCEP Nations," Working Papers DP-2023-17, Economic Research Institute for ASEAN and East Asia (ERIA).

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    More about this item

    Keywords

    International Trade and Trade Rules; Rules of Origin; Trade Policy; Trade and Multilateral Issues; Health and Sanitation;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F15 - International Economics - - Trade - - - Economic Integration
    • H57 - Public Economics - - National Government Expenditures and Related Policies - - - Procurement
    • I18 - Health, Education, and Welfare - - Health - - - Government Policy; Regulation; Public Health

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