National Trade Policy for Export Success

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15 Mar 2012
9789213614884 (PDF)

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This book outlines how trade policy reform can reduce business costs for production and logistics to improve competitiveness of companies and industry sectors. It provides business associations with a valuable tool to assess and influence trade policy and related regulations using cases and examples of policy, legal and regulatory changes (both positive and negative) from around the world. It weighs the benefits and costs of trade policy options, which is relevant to both business associations and other stakeholders engaging in advocacy campaigns on trade policy issues. This publication is also for government policymakers endeavouring to understand the business implications of their policies. Above all, this book promotes a culture of informed public-private dialogue, which is an essential component of the democratic process of policy formulation.

Also available in French, Spanish
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  • Foreword

    In recent decades, global integration – together with openness to trade – has been a catalyst for strong economic growth for many countries, generating employment and reducing poverty

  • Acknowledgements

    A book of this scope required the hard work and dedication of a great many committed individuals. The concept for the book is to create a framework that describes the linkages among export-led growth strategies, development and competitiveness. The framework was designed by Rajesh Aggarwal, Chief, and Andrew Huelin, Consultant, Business and Trade Policy, International Trade Centre (ITC). ITC wishes to thank everyone who contributed to this effort.

  • Abbreviations
  • Introduction

    Export performance has been critical for the economic development of many developing countries in recent years. It has contributed to faster growth and poverty reduction. Exporting has produced economic benefits deriving from efficiency gains associated with exploiting comparative advantages and improved allocation of scarce resources. There are also dynamic gains in the export sector driven by greater competition, greater economies of scale, better use of capacity, dissemination of knowledge and know-how, and technological progress.

  • Create competitive infrastructure services

    Infrastructure services – including transportation, energy and telecommunications – account for a large proportion of the costs of export-oriented and other developing and transition economy businesses. The term ‘infrastructure’ typically refers to ‘the basic physical and organizational structures and facilities (e.g. buildings, roads, power supplies) needed for the operation of a society or enterprise’. The efficient organization and delivery of infrastructure services is vital to the export competitiveness and success of businesses. For this reason, infrastructure investment is seen as a key to enhance development prospects of low-income and middle-income countries.

  • Promote exports and foreign investment

    Much of the debate about export strategy is related to better trade policies and institutions, more efficient physical infrastructure and the availability of skilled manpower. However, the debate goes beyond domestic issues. The export sector is dependent on the performance of product and factor markets both at home and abroad. The links between export and foreign investments are strong. Foreign investment has an important role to play in the development of a country’s exports. This chapter explains linkages between foreign investment and exports and makes recommendations as to how countries can promote export growth by adopting the ‘right’ policies towards foreign investment.

  • Move goods across borders effectively

    Global trade has burgeoned in recent years largely because of the progressive reduction of tariffs and quotas from trade liberalization. More goods are crossing borders and must comply with customs procedures and other border administration measures. Customs and other border regulation policies, as well as procedures and practices for international trade, are created and generated by the need for governments to control and monitor the movement of goods, transfer of services and associated financial flows. This is done to conform to each country’s particular requirements, to collect appropriate tariff and tax revenues, to prevent, detect and deter the crossborder movement of illegal drugs, arms, protected species, hazardous waste, and other controlled products, as well as to collect relevant information for operational and statistical purposes.

  • Address export market Issues

    The roadmap to a successful export effort requires identifying market opportunities and the conditions of access, and developing a programme at government and business levels to take advantage of the opportunities. This chapter focuses on the information about export markets exporting businesses need, how to obtain that information and how to exploit the opportunities. Four points should be kept in mind.

  • Improve inputs and capital goods
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