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Showing all content in Trade
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Blog post
Lockdown without borders: Regional integration and the AfCFTA can drive Africa’s COVID-19 response
In Africa, regional integration has long been viewed as a catalyst for long-term prosperity. With COVID-19 placing severe strain on economies across the continent, regional coordination can be an effective tool to manage the response and promote post-pandemic recovery. The African Continental Free Trade Area (AfCFTA), whilst delayed, has created a platform and dialogue to...
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Blog post
The long road towards supply chain trade in Africa
Low-cost inputs trade, simple rules-of-origin, and digital connectivity are key to regional trade integration and global value chain participation. The recent Africa Continental Free Trade Area (AfCFTA), in force since May 2019, is an important opportunity to develop and deepen supply chain trade across Africa. Evidence shows that integration into production networks -...
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Publication - Policy Brief
Examining the impact of the Common External Tariff of the East African Community in Uganda
The primary goal of the Common External Tariff (CET) of the East African Community (EAC) is to allow for free trade within a larger market than that of the individual countries that comprise it. The CET has, from inception, held a 0-10-25 tariff structure: 0% for raw materials, 10% for semi-finished products and 25% on finished products. Although this structure has...
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Publication - Policy Brief
Do taxes affect firm-to-firm trade? Evidence from India
Intra-national trade costs are large in developing countries; gains from better integration of supply chains within these countries are potentially substantial. This study considers how the Value Added Tax (VAT) affects intra-national firm-to-firm trade in the state of West Bengal, India. Using rich data on the universe of the 180,000 firms paying taxes in the state...
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Project
Understanding non-tariff barriers and regional integration in the East African Community
Non-tariff barriers may be particularly prohibitive to small traders, and therefore may have the unintended consequence of concentrating market power at the border. This can influence the degree of competition in domestic markets within each country. The result is that border policies may affect businesses, farmers, and consumers throughout the country through not only the...
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Blog post
The costs of building exporter-buyer relationships in Myanmar
Despite Myanmar’s recent economic and political liberalisation, the country’s exports remain low. One reason could be the costly search process between foreign buyers and local exporters. Alleviating such costs should be a priority for the government of Myanmar to boost exports. Since 2010, Myanmar has implemented political and economic reforms aimed at spurring growth...
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Blog post
Incentives in support of agriculture in the East African Community
Since the East African Community (EAC) common market protocol was ratified in 2009, tremendous progress has been made in reducing transport and logistics costs as well as barriers to trade. However, that pace of regional cooperation appears to have slowed. To achieve regional objectives in the EAC, a more concerted effort could instil trust in the benefits of integration....
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Publication - Synthesis paper
Doing Special Economic Zones right: A policy framework
Special Economic Zones (SEZs) have become a popular policy instrument around the world. Encouraged by the success stories of SEZs in the 1980s and 1990s in East Asia, policymakers in the developing world increasingly see them as a way to easily promote industrial development, attract foreign investment, and stimulate job creation. However, results have not always lived up...
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Project
Identifying pathways to economic development through India’s South-South knowledge transfers & exchange: evidence from cotton apparel in Tanzania
India’s intensified trade relations with Africa features as a key component of its model of South-South cooperation based on mutual partnerships. India’s trade with and investment in the African continent has grown in a major way, building on deep historical ties, especially with East Africa. Tanzania has emerged as a key partner, with promising potential in cotton...
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Project
Strains on trade: frictions and policy in the Ugandan vehicle sector
The secondary markets for motor vehicles and their spare parts loom large in Uganda, as they do in many other low-income countries. In 2015, second only to petroleum products, vehicles represented one of the top imports by value, with most of them being in used condition. The relative affordability of used vehicles allows for deeper penetration into the Ugandan population,...