Multilateral Solutions to the Erosion of Non-Reciprocal Preferences in NAMA

• DOI: 10.2139/ssrn.922272
• Publication Date: 2011-12-28T16:55:18Z
• Authors: Patrick Low; Roberta Piermartini; Jürgen Richtering
• Keywords: Reciprocal

This paper analyzes the risks of preference erosion arising from MFN trade liberalization in manufactured products. It focuses on developing countries that receive non-reciprocal preferences markets United States, EU, Japan, Canada and Australia. The estimates margins as difference between preferential rates received by individual best available (MFN or better-than-MFN) treatment average all other suppliers. Most previous work this subject has compared for with alone, which found to have effect over-stating margin at risk following reductions. also considers less than full utilization beneficiaries, but a lack data prevented inclusion additional moderating factor relating risk.