Abstract
Due to the similarity in supply factors and demand bottlenecks, traditional approach of regional integration usually argues that South-South trade agreements are likely to generate trade diversion and income divergence. In this paper, we seek whether Senegal’s participation to the WAEMU might improve its external trade and evaluate the potential for South-South trade expansion in the sub-region. Based on comparative advantages indicators, our results suggest that export diversification has been in progress in Senegal. Moreover, the low indices of export similarity indicate that the country is not in competition with its WAEMU partners : rather, Senegal has benefited from regional integration to raise exports in the sub-region.
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