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Trade Costs in the Developing World: 1996–2010

Published online by Cambridge University Press:  29 October 2015

JEAN-FRANÇOIS ARVIS ,
YANN DUVAL ,
BEN SHEPHERD ,
CHORTHIP UTOKTHAM  and
ANASUYA RAJ
JEAN-FRANÇOIS ARVIS
Affiliation:
Senior Economist, World Bank
YANN DUVAL
Affiliation:
Chief, Trade Facilitation Section, UNESCAP
BEN SHEPHERD*
Affiliation:
Principal, Developing Trade Consultants, New York
CHORTHIP UTOKTHAM
Affiliation:
Consultant, UNESCAP
ANASUYA RAJ
Affiliation:
Paris School of Economics
*
*Email: (corresponding author) [email protected]
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Abstract

We use new data on trade and production in 167 countries to infer estimates of trade costs for manufactured goods and agriculture for 1996‒2010. Trade costs are strongly declining in country income level. Among developing countries, only the upper middle income group has been successful in reducing trade costs faster than elsewhere in the world. Sub-Saharan African countries and low income countries remain subject to very high trade costs. Regional trade agreements, maritime transport connectivity, and trade facilitation performance are important determinants of trade costs.

Type
Review Article
Information
World Trade Review , Volume 15 , Issue 3 , July 2016 , pp. 451 - 474
Copyright
Copyright © Jean-François Arvis 2015 

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