in: International Trade Forum Magazine 4/2014, 16-17
Emerging economies such as Brazil, China and India have been very successful in enhancing trade performance. But how have they actually achieved this – and what lessons could less developed countries learn from their experiences?
One element that works against improved trade performance is the high cost of trading faced by many emerging economies and developing countries. This is often the result of poor infrastructure as well as cumbersome procedures at national borders.
Support for trade-related infrastructure and trade facilitation seeks to address such constraints and has been effective in improving trade performance and competitiveness. Cooperation with the private sector – and state-business relations more generally can also contribute positively to trade performance.
Three key ingredients can ensure a country’s successful trade performance: support for trade-related infrastructure such as roads, railways, ports, energy and telecommunication; trade facilitation and the improvement of rules and procedures that govern how goods cross borders; and effective state-business relations.