Deeper Integration in ASEAN: Why Transport and Technology Matter for Trade

Content rated: Not Rated

Release date

Jan 18, 2009 

Published date

2008 

Description

New initiatives to close the development gap and expand trade among members of the Association of Southeast Asian Nations (ASEAN) are at the forefront of policy discussion. Countries in Southeast Asia perform relatively well in terms of costs to import and export. Costs are more or less in line with the OECD average. In terms of the amount of time and paperwork it takes to complete a cross-border transaction, however, much progress remains in ASEAN. On average, the association’s members require 32 days and 11 documents for an import transaction, compared with 12 days and 6 documents for the average OECD country (World Bank 2008).

There are clear benefits to be gained in addressing these areas. Where might reform initiatives be deepened—and what are the relative impacts of such reform steps? New analysis at the World Bank suggests examining two key areas, among others: port facilities and competitiveness in the Internet services sector. Reform in these areas could expand ASEAN trade by up to 7.5 percent ($22 billion) and 5.7 percent ($17 billion), respectively. By contrast, cutting applied tariffs to the regional average in Southeast Asia—an important step—could increase intra-regional trade by about 2 percent ($6.3 billion) (Shepherd and Wilson 2007).

The full text of this note is available for download from the World Bank website. 

Type

Explanatory notes  

Copyright Status

Copyrighted 

Relevance Degree

Good Read 

Topics

Border Agency Modernization , Building TTF Partnerships , Free trade agreements , Maritime Transport and Port Operations , Market access , Regional Partnerships , Streamlining and harmonization , Trade Liberalization and Facilitation , Trade Policies and Non-Tariff Barriers , Transit , Transit facilitation and logistics , Transport Operations  

Authoring partners

World Bank  

Geographic coverage

Regions: ASEAN
Countries:
Global: No