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The determinants of participation in global value chains: The case of ECOWAS

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  • Abdoulganiour Almame Tinta

Abstract

Regional integration is the strategy adopted at the continental level to strengthen Africa’s development. However, the different regional blocs already established on the continent face many challenges. Based on the economic integration of the ECOWAS (Economic Community of West African States) region, this research analyzes the role of participation to Global Value Chain (GVC) in international trade as a crucial factor. Using a gravity model with Panel using fixed effects, the findings show that intra-regional trade is not significant in the explanation of the trade openness degree of countries but an increase in backward integration to GVC raises trade openness. The results also indicate how the competitiveness of trade structure and the structural factors related to countries affect the performance of GVCs. Intra-regional trade must further be inserted in the production of final goods which involves the maximum number of countries for the intermediate steps.

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  • Abdoulganiour Almame Tinta, 2017. "The determinants of participation in global value chains: The case of ECOWAS," Cogent Economics & Finance, Taylor & Francis Journals, vol. 5(1), pages 1389252-138, January.
    • Handle: RePEc:taf:oaefxx:v:5:y:2017:i:1:p:1389252
    DOI: 10.1080/23322039.2017.1389252
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    2. Gniniguè, Moukpè & Wonyra, Kwami Ossadzifo & Tchagnao, Abdou-Fataou & Bayale, Nimonka, 2023. "Participation of developing countries in global value chains: What role for information and communication technologies?," Telecommunications Policy, Elsevier, vol. 47(3).
    3. Abdulkareem Alhassan & Joshua Dzankar Zoaka & Salim Hamza Ringim, 2021. "Africa as headwaiter at the dining table of global value chains: Do institutions matter for her participation?," African Development Review, African Development Bank, vol. 33(3), pages 560-576, September.
    4. Eduardo Rodrigues Sanguinet & Augusto Mussi Alvim & Miguel Atienza, 2022. "Trade agreements and participation in global value chains: Empirical evidence from Latin America," The World Economy, Wiley Blackwell, vol. 45(3), pages 702-738, March.
    5. Francis Lwesya, 2022. "Integration into regional or global value chains and economic upgrading prospects: an analysis of the East African Community (EAC) bloc," Future Business Journal, Springer, vol. 8(1), pages 1-14, December.
    6. Frikha Nihel & Gabsi Foued Badr, 2024. "The Impact of Structural Transformation on Global Value Chains in the MENA Countries," Naše gospodarstvo/Our economy, Sciendo, vol. 70(2), pages 1-11.
    7. Alessio Lombini, 2021. "Regulatory heterogeneity and global value chain-related trade," IRENE Working Papers 21-08, IRENE Institute of Economic Research.
    8. Epede, Mesumbe Bianca & Wang, Daoping, 2022. "Competitiveness and upgrading in global value chains: A multiple-country analysis of the wooden furniture industry," Forest Policy and Economics, Elsevier, vol. 140(C).

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