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Making (Small) Firms Happy. The Heterogeneous Effect of Trade Facilitation Measures

Author

Listed:
  • Lionel Fontagné

    (PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement, CES - Centre d'économie de la Sorbonne - UP1 - Université Paris 1 Panthéon-Sorbonne - CNRS - Centre National de la Recherche Scientifique, CEPII - Centre d'Etudes Prospectives et d'Informations Internationales - Centre d'analyse stratégique)

  • Gianluca Orefice

    (CEPII - Centre d'Etudes Prospectives et d'Informations Internationales - Centre d'analyse stratégique)

  • Roberta Piermartini

    (WTO)

Abstract

Highlights The Trade Facilitation Agreement will have asymmetric effect on heterogeneous exporters. We merge French customs data with a new database of Trade Facilitation Indicators released recently by the OECD. Better information availability, advance ruling and appeal procedures mainly benefit small firms. The simplification of documents and automation tend to favor large firms. One explanation is that trade facilitation reduces the scope for corruption at borders, to the benefit of large firms. Making (Small) Firms Happy. The Heterogeneous Effect of Trade Facilitation Measures

Suggested Citation

  • Lionel Fontagné & Gianluca Orefice & Roberta Piermartini, 2017. "Making (Small) Firms Happy. The Heterogeneous Effect of Trade Facilitation Measures," Working Papers hal-01476546, HAL.
    • Handle: RePEc:hal:wpaper:hal-01476546
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    References listed on IDEAS

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    2. Christian Volpe Martincus, 2016. "Out of the Border Labyrinth: An Assessment of Trade Facilitation Initiatives in Latin America and the Caribbean," IDB Publications (Books), Inter-American Development Bank, number 96856, February.
    3. Volpe Martincus, Christian, 2016. "Out of the Border Labyrinth: An Assessment of Trade Facilitation Initiatives in Latin America and the Caribbean," IDB Publications (Books), Inter-American Development Bank, number 7994, November.
    4. Giovanni Maggi & Monika Mrázová & J. Peter Neary, 2022. "Choked By Red Tape? The Political Economy Of Wasteful Trade Barriers," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 63(1), pages 161-188, February.
    5. Beverelli, Cosimo & Gourevich, Isabella & Heiland, Inga & Keck, Alexander & Larch, Mario & Yotov, Yoto, 2023. "Trade and welfare effects of the WTO Trade Facilitation Agreement," WTO Staff Working Papers ERSD-2023-04, World Trade Organization (WTO), Economic Research and Statistics Division.
    6. Russell Hillberry & Carlos Zurita, 2022. "Commitment behaviour in the World Trade Organization's Trade Facilitation Agreement," The World Economy, Wiley Blackwell, vol. 45(1), pages 36-75, January.
    7. Aggarwal, Sakshi & Chakraborty, Debashis, 2017. "Determinants of India’s Bilateral Intra-Industry Trade over 2001-15: Empirical Results," MPRA Paper 78020, University Library of Munich, Germany.
    8. Olarreaga, Marcelo & Fugazza, Marco & Ugarte, Cristian, 2018. "On the heterogeneous effects of market access barriers: evidence from small and large Peruvian exporters," CEPR Discussion Papers 12876, C.E.P.R. Discussion Papers.
    9. Lee,Woori & Rocha Gaffurri,Nadia Patrizia & Ruta,Michele, 2021. "Trade Facilitation Provisions in Preferential Trade Agreements : Impact on Peru’s Exporters," Policy Research Working Paper Series 9674, The World Bank.
    10. Ben Shepherd, 2022. "Modelling global value chains: From trade costs to policy impacts," The World Economy, Wiley Blackwell, vol. 45(8), pages 2478-2509, August.
    11. Mamta Kumari & Nalin Bharti, 2021. "Linkages Between Trade Facilitation and Governance: Relevance for Post-COVID-19 Trade Strategy," Millennial Asia, , vol. 12(2), pages 162-189, August.
    12. 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.
    13. Vincent Rebeyrol, 2023. "Protection Without Discrimination," The Economic Journal, Royal Economic Society, vol. 133(655), pages 2807-2827.
    14. Sonali Chowdhry & Gabriel Felbermayr, 2023. "Trade liberalization along the firm size distribution: The case of the EU‐South Korea FTA," Review of International Economics, Wiley Blackwell, vol. 31(5), pages 1751-1792, November.
    15. Beverelli, Cosimo & Ticku, Rohit, 2022. "Reducing tariff evasion: The role of trade facilitation," Journal of Comparative Economics, Elsevier, vol. 50(2), pages 534-554.
    16. Charlotte Emlinger & Houssein Guimbard, 2024. "VIP Pass to Markets: When Customs Certification Helps Firms to Face NTMs," Working Papers 2024-11, CEPII research center.
    17. Jerónimo Carballo & Georg Schaur & Christian Volpe Martincus, 2018. "Transportation and trade interactions: a trade facilitation perspective," Chapters, in: Bruce A. Blonigen & Wesley W. Wilson (ed.), Handbook of International Trade and Transportation, chapter 14, pages 422-450, Edward Elgar Publishing.
    18. Kemal Türkcan & Socrates Kraido Majune, 2022. "Logistics infrastructure and export survival in European Union countries," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 49(2), pages 509-535, May.
    19. Alessandro Nicita & Enxhi Tresa, 2022. "Trade policy and trade resilience during the 2020 trade downturn," UNCTAD Working Papers #1, United Nations Conference on Trade and Development.
    20. Debashis CHAKRABORTY & Sacchidananda MUKHERJEE, 2016. "How Trade Facilitation Measures influence Export Orientation? Empirical Estimates with Logistics Performance Index Data," Journal of Economics Library, KSP Journals, vol. 3(4), pages 554-569, December.
    21. Hendy, Rana & Zaki, Chahir, 2021. "Trade facilitation and firms exports: Evidence from customs data," International Review of Economics & Finance, Elsevier, vol. 75(C), pages 197-209.

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    More about this item

    Keywords

    Trade Facilitation; Heterogeneous Firms; Extensive Margin; Intensive Margin;
    All these keywords.

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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