Aggregate Measurement of Trade Transaction Costs Reduction in APEC 2007-2010

The study, conducted for the Committee on Trade and Investment (CTI) to measure the extent to which trade transaction costs were reduced under APEC’s Second Trade Facilitation Action Plan (TFAP II), found that there has been a 5% reduction in total trade transaction costs across the APEC region from 2006 through 2010, resulting in total savings of USD 58.7 billion. Although total fees and charges rose in real terms by USD 6.3 billion, an increase of 4.8%, total time taken to complete trade-related procedures fell 6.2% for a savings of USD 65.0 billion.

1. INTRODUCTION

2. ECONOMIC CONTEXT FOR THE ESTIMATION OF TRADE TRANSACTION COSTS

3. ESTIMATES OF TRADE TRANSACTION COSTS

4. SENSITIVITY TESTS OF CRITICAL ASSUMPTIONS

5. CONCLUSIONS & RECOMMENDATIONS