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Strengthening South Asia Value Chain

Author

Listed:
  • Vaqar Ahmed
  • Abid Q. Suleri
  • Asif Javed
Abstract
This article discusses some key constraints in the way of developing South Asian value chains. Using a qualitative approach we have surveyed private sector representatives from Bangladesh, India, Pakistan and Sri Lanka. The article, among other challenges, particularly notes, ( a ) lack of functional economic corridors in the region; ( b ) conflict zones brewing mistrust between neighbours; ( c ) slow progress on trade facilitation and free trade agreements in the region; ( d ) and non-tariff barriers that prevent skills and technology transfer in the region, as some of the most important issues requiring policy response. In order to strengthen the region-wide value chains, the article recommends priority implementation of pending agreements related to transport, energy, connectivity and dispute resolution. Second, in order to bring down the cost of doing business, trade facilitation measures across the region may be expedited. Third, government-to-government contact needs to be enhanced and institution-specific connectivity is important to resolve issues such as compliance with product standards, visas for business community and technical staff, harmonization of licenses and permits (for example, at the state level in India), and opening up of bank branches.

Suggested Citation

  • Vaqar Ahmed & Abid Q. Suleri & Asif Javed, 2015. "Strengthening South Asia Value Chain," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 16(2_suppl), pages 55-74, September.
    • Handle: RePEc:sae:soueco:v:16:y:2015:i:2_suppl:p:55s-74s
    DOI: 10.1177/1391561415594900
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    References listed on IDEAS

    as
    1. Ruth Banomyong, 2010. "Supply Chain Dynamics in Asia," Working Papers id:3028, eSocialSciences.
    2. Banomyong, Ruth, 2010. "Supply Chain Dynamics in Asia," ADBI Working Papers 184, Asian Development Bank Institute.
    3. Ueki, Yasushi, 2013. "Formation of supply chain collaboration and firm performance in the Thai automotive and electronics industries," IDE Discussion Papers 415, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    4. Medalla, Erlinda M. & Rosellon, Maureen Ane D., 2012. "Rules of Origin in ASEAN+1 FTAs and the Value Chain in East Asia," Discussion Papers DP 2012-37, Philippine Institute for Development Studies.
    5. Hummels, David & Ishii, Jun & Yi, Kei-Mu, 2001. "The nature and growth of vertical specialization in world trade," Journal of International Economics, Elsevier, vol. 54(1), pages 75-96, June.
    6. Ruth Banomyong, 2010. "Supply Chain Dynamics in Asia," Trade Working Papers 22879, East Asian Bureau of Economic Research.
    7. World Bank, 2014. "World Development Indicators 2014," World Bank Publications - Books, The World Bank Group, number 18237.
    8. Brunner, Hans-Peter, 2013. "Can Global Value Chains Effectively Serve Regional Economic Development in Asia?," Working Papers on Regional Economic Integration 110, Asian Development Bank.
    9. Hayat, Khizer & Abbas, Aamir & Siddique, M. & Cheema, Khaliq Ur Rehman, 2012. "A Study of the Different Factors That Affecting the Supply Chain Responsiveness," MPRA Paper 53193, University Library of Munich, Germany.
    Full references (including those not matched with items on IDEAS)

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    Cited by:

    1. Rubiat Saimum, 2020. "The Prospect of Belt and Road Initiative in the Context of Bangladesh," China Report, , vol. 56(4), pages 464-483, November.
    2. Javed, Asif, 2019. "Pakistan’s Agriculture Trade with South Asia," MPRA Paper 95729, University Library of Munich, Germany.

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    More about this item

    Keywords

    Supply chains; international trade; investment; South Asia; trade facilitation;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F15 - International Economics - - Trade - - - Economic Integration
    • F36 - International Economics - - International Finance - - - Financial Aspects of Economic Integration

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