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How Trade Facilitation Measures influence Export Orientation? Empirical Estimates with Logistics Performance Index Data

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  • Debashis CHAKRABORTY

    (Indian Institute of Foreign Trade, India.)

  • Sacchidananda MUKHERJEE

    (National Institute of Public Finance and Policy, India.)

Abstract

With inception of a comprehensive WTO framework in 1995, while the tariff barriers across Member countries have declined, several procedural and policy-related hassles still continue to obstruct trade flows. To reduce the procedural hassles to export and import flows, from the Cancun Ministerial (2003) onwards, negotiations to reach an agreement on Trade Facilitation (TF) started, which was finally concluded at the Bali Ministerial (2013) meeting of the WTO. The current analysis explores the relationship between TF measures, as reflected from the World Bank Logistics Performance Index (LPI),and export orientation (export as percentage of GDP) during four years, namely 2007, 2010, 2012 and 2014. The empirical results underline the difference in the influence of TF on export orientation in higher-income and lower-income countries. It is concluded that there is need to continue the ‘Aid-for-Trade’ support measures to lower-income economies, for improving their TF scenario.

Suggested Citation

  • 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.
    • Handle: RePEc:ksp:journ5:v:3:y:2016:i:4:p:554-569
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    Cited by:

    1. Sakshi Aggarwal & Debashis Chakraborty, 2022. "Which Factors Influence India’s Bilateral Intra-Industry Trade? Cross-Country Empirical Estimates," Working Papers 2260, Indian Institute of Foreign Trade.
    2. Dong-Fang Wang & Qian-Li Dong & Zhi-Min Peng & Syed Abdul Rehman Khan & Arthur Tarasov, 2018. "The Green Logistics Impact on International Trade: Evidence from Developed and Developing Countries," Sustainability, MDPI, vol. 10(7), pages 1-19, June.
    3. Tang, Chor Foon & Abosedra, Salah, 2019. "Logistics performance, exports, and growth: Evidence from Asian economies," Research in Transportation Economics, Elsevier, vol. 78(C).
    4. Thu Hien Le & Huu Kien Nguyen & Thanh-Vu-Linh Nguyen & Thi-Mai-Huong Khuat & Thi-Phong-Thu Pham & Thuong-Lang Nguyen, 2022. "Impact of Green Logistics on International Trade: An Empirical Study in Asia Pacific Economic Cooperation," International Journal of Economics and Financial Issues, Econjournals, vol. 12(4), pages 97-105, July.

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    More about this item

    Keywords

    Trade policy; Trade facilitation; Exports; LPI; Empirical estimate; Aid-for-Trade;
    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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