The paper
What helps developing countries reach more export destinations? This paper examines domestic export costs, foreign tariffs, and transport costs across 117 countries.
Research findings
- Lower export costs, tariffs, and international transport costs are associated with serving more foreign markets.
- Domestic export costs have particularly strong links to geographical diversification in poorer countries and differentiated manufacturing sectors.
Policy takeaways
- Complement market access negotiations with reforms to customs and export documentation at home.
- Use trade facilitation to support firms entering new destinations, particularly as economies move into differentiated manufacturing.
