Trade Area Research Articles

Comparing and Contrasting ECOWAS and SADC: Successes, Failures, and Challenges.

The overall goal of the African Union in relation to regional integration is the attainment of the Africa Economic Community in which the identified eight regional economic blocs have been tasked to fast-track this aspiration as highlighted in the Abuja Treaty of 1991. This study undertakes a desk review to compare and contrast two regional blocs—ECOWAS and SADC. This is done by looking at the successes, failures and challenges faced by each of the regions. The study found that both ECOWAS and SADC have made indelible progress in ensuring peace and security in their regions and the attainment of some important regional integration landmarks such as the free trade area, free movement of people, and trans-national roads. On the contrary, these RECs have failed to ultimately achieve their integration goals. Both ECOWAS and SADC have failed to implement the customs union and a single regional currency. There are however several challenges faced by these RECs such as multiple membership, lack of political will to implement regional integration programs, and the pursuit of over-ambitious regional integration goals. Therefore, it is recommended that both ECOWAS and SADC undertake comprehensive effort to ensure that realist regional integrations goals are set with the needed political vigor to achieve them. Without which many regional integration programs will continue being stuck and never attained.

Distributional Impact of Africa Continental Free Trade Area (AfCFTA) on Poverty Reduction & Employment in Sub-Saharan Africa

Distributional Impact of Africa Continental Free Trade Area (AfCFTA) on Poverty Reduction & Employment in Sub-Saharan Africa

AfCFTA and Investor Protection in the Securities Market: Prospects for Proactive Regulation

The emergence of investment opportunities afforded by the African Continental Free Trade Area (AfCFTA) Agreement epitomizes a deft move by the African countries to tailor the development dynamics in their favour. Although the AfCFTA is full of promise, it also presents challenges to regulatory authorities in the sphere of fraudulent investment practices. While the existing regulatory framework is ill-prepared for regulation and the regulatory authorities have not adverted their mind to the significance of regulation of this emerging area of investment opportunities, potential fraudsters are busy fine-tuning their schemes. The paper assesses the emerging investment opportunities under the AfCFTA and the imperative for proactive regulation of infractions through reliance on the depository structure. Securities, Investor Protection, Fraud, AfCFTA, Depositary

Armed Conflict as an ‘Undoing’ Force in Regional Integration and Its Impact on the Consolidation of AfCFTA Development Mission

The paper examines the intricate relationship between armed conflict and regional integration, focusing on its role as an ‘undoing’ force in the African Continental Free Trade Area (AfCFTA) context. A significant element of development and economic cooperation in Africa is the perennial problem of violent conflict in almost all sub-regions. Moreover, organized crime is rising across the continent, coupled with the emergence of new forms of violence associated with today’s globalization and other post-Cold War phenomena. Globalization has led to greater interdependence among countries and fostered cooperation among states. However, a country’s internal conflict often has repercussions beyond its borders and threatens regional and global peace and stability. In addition, armed conflict can affect countries’ relations and state cooperation. Peace provides a good foundation for development and economic cooperation, while development ensures the permanence of peace. The central question addressed in this paper is whether constructive regional economic integration and cooperation can be effectively achieved while some African countries are experiencing armed conflict. A qualitative research approach is used to analyze how armed conflict will likely negatively impact the achievement of AfCFTA goals.

The Effect of Rules of Origin on Regional Trade: An Analysis of the Africa Continental Free Trade Area

Purpose – The aim of this study is to identify the factors that affect the success of Regional Trade Agreements and the impact Rules of Origin on increasing intra-regional trade. Research design/methodology – An inter pretivist paradigm is adopted by the researcher to address the posed research questions. This is achieved through a qualitative inquiry, relying on secondary data for the adopted case study approach. Findings – The author finds that various factors play a role in the success of RTAs and that if the Africa Continental Free Trade Areas is to be successful, due regard must be given to the specificity of the legal texts defining the RoO. Further, that in order for business originating from member-states to truly benefit, measure must be put in place both on the regional and national level. Recommendations – The study recommends that at national level, there must be policy changes that will facilitate the implementation of the AfCFTA and at regional level, there is need to enhance the legal backing of implementing institutions and to ensure that the concluded rules are easy to understand and result in a simplified certificate of origin to aid business growth and efficiencies. Originality/value – The findings of this study address the core challenges faced by RTAs in Africa and what must be done to ensure that the AfCFTA succeeds in achieving its core vision and mandate.

PROMOTION OF TRANSCARPATHIAN TOURISM SERVICES AS AN ACTIVATOR OF THE REGION'S DEVELOPMENT

Objective. The objective of the article is to determine the significance, directions and consequences of the promotion of tourism services in Transcarpathia as an activator of the region's development. Methods. The following methods and techniques of cognition are used in the research process: theoretical generalization and comparison, analysis and synthesis, induction and deduction, generalization and systematization. Results. The importance of promoting tourism services in Transcarpathia as an activator of regional development lies in the fact that without high-quality promotion, regional tourism services will not be able to reach the appropriate level of development and gain a competitive position, which for this region implies the loss of economic and social opportunities to use natural and recreational opportunities and resource potential. Promotion of tourism services is one of the most difficult and important stages of activity in the tourism market. For the successful promotion of tourism services, the following preliminary activities and conditions must be ensured: development of interesting tours, supported by a number of services; organizing the sale of tourism products taking into account the characteristics of the tourism market; searching for new opportunities, developing new tourism offers; updating the tourism product by improving services, taking into account fashion, market trends; taking into account the price-quality ratio of tourism products; increasing market share by improving product quality and attracting qualified employees; attracting investments; expansion of the tourism product range; marketing and advertising strategies, etc. As for specific areas for intensifying the promotion of tourism services in Transcarpathia, at the regional level a regulatory document “Program for the development of tourism and resorts in the Transcarpathia region for 2021 – 2023” was adopted, providing for the implementation of directions for promoting tourism services in Transcarpathia as an activator of the development of the region through solving a number of problems. At the regional level, specific tasks are solved to promote tourism services in Transcarpathia with the help of such tools as participation in exhibitions, forums, conferences, PR (production of information publications and films about the tourism and recreational industry of the region), formation of a tourism brand (image of the region), attraction and preparation personnel for organizing tourism services. The consequences of the implementation of the presented directions for promoting tourism services in Transcarpathia is that they contribute to the development of the tourism industry and its infrastructure, which covers hotel, restaurant, transport, trade, entertainment and other areas of economic activity in the region. The tourism industry ensures an increase in employment levels, the preservation and development of cultural potential, the preservation of an environmentally friendly natural environment, and also contributes to the harmonization of relations between different countries and regions.

Analisis Pengaruh Implementasi AANZFTA terhadap Kreasi dan Diversi Perdagangan Impor Daging Sapi di Indonesia

The ASEAN-Australia-New Zealand Free Trade Area (AANZFTA) represents an economic integration among ASEAN, Australia, and New Zealand. Within the AANZFTA framework, a commitment was made to reduce beef import tariff barriers. This reduction in beef import tariffs has the potential to impact Indonesia as a net importer of beef. Beef imports from AANZFTA member countries gain a competitive advantage due to reduced import tariffs, unlike beef imported from non-AANZFTA member countries. Hence, this research aims to: (1) Analyze the influencing factors on beef imports in Indonesia from 2005 to 2020, and (2) Assess the impact of AANZFTA implementation on the creation and redirection of Indonesia’s beef imports. The study involves comparing the volume and value of Indonesian beef imports from AANZFTA member countries (Australia, New Zealand, and Singapore) and non-member countries (United States, India, Japan, and Spain) during the 2005-2020 period. The analytical method employed is panel data regression analysis using a gravity model. The research findings indicate: (1) Beef imports in Indonesia between 2005 and 2020 were influenced by various factors including Indonesia’s beef production, real exchange rate, real GDP per capita of Indonesia, real GDP per capita of exporting countries, trade creation dummy, and trade diversion dummy; (2) AANZFTA implementation resulted in a 2,97% reduction in Indonesia’s beef imports from AANZFTA member countries and a 2,39% increase in beef imports from non-AANZFTA member countries compared to the scenario without AANZFTA implementation.

Инструменты цифровой трансформации логистических процессов в рамках торгово-экономических отношений

The article discusses the implementation of digital transformation as an integral part of the logistics industry, the purpose of which is to organize the use of digital technologies in all areas of trade and economic relations. The use of digi-tal technologies is considered on the example of their implementation in the functioning of international road check-points in order to ensure acceleration of their passage by road transport, as well as traceability of further movement of vehicles and cargo. The factors influencing the throughput of international road checkpoints during customs operations are systematized. An analysis of the impact of digital transformation of logistics processes on the development of trade and economic relations between countries was carried out.

Analysis of Determining Service Center Systems towards the Development of The Eastern Part of Medan City

The issues in the research area include a high concentration of built-up residential areas with the potential for slums and warehousing activities dominating trade and service areas or residential areas, leading to congestion. This requires attention, considering that the Eastern Part of Medan City has a high built-up area, necessitating the provision of affordable infrastructure and basic services for both newcomers and existing residents in the city. Several development theories and concepts can assist in determining and conceptualizing development in the research area. The study focuses on examining the Sub-Central Service System of the City as a center serving sub-urban areas. Various methods are used in determining service centers, including the scalogram method, Marshall's centrality index, and rank-size rule, which will ultimately provide recommendations for the central service system. After issuing recommendations from these three analyses, the determination of the existing urban internal structure is conducted using a scoring method to identify the central service location. Calculations from multiple service center analysis methods are scored and summed to obtain a total score. The neighborhood with the smallest score has the highest hierarchy value, and vice versa. It is revealed that the Sub-Central Service System is present in all sub-districts in the Eastern Part of Medan City, meaning each sub-district in each neighborhood already has comprehensive facilities. Consequently, the four sub-districts in the Eastern Part of Medan City have the potential for development as they meet service needs and can be directed to become service centers serving their respective sub-districts.

Administrative Procedures in the Field of Economic Activity

The relevance of the topic is due to the fact that the idea of establishing a free trade area and the single market of the European Union (hereinafter - the EU) between Ukraine and the EU countries in accordance with the Association Agreement with the EU and its Member States, as well as the strict fulfilment of obligations to ensure a zone of economic competition, aims at creating a competitive environment in which business entities enjoy equal competitive conditions and operate in accordance with the same generally accepted rules. The purpose of the study is to analyse various scientific approaches to understanding the administrative procedure, to define its features, and to determine the criteria for classifying the formation and development of administrative procedures in the field of economic activity. The methodological basis of the article is a set of methods and techniques of scientific cognition, both general scientific (logical, historical and legal, systemic analysis, etc.) and special (documentary analysis, comparative legal methods, etc.), which contributes to the achievement of the set goals, ensures a complete and comprehensive understanding of the research topic, scientific reliability and convincing results. The author identifies the characteristic features of administrative procedures: openness, focus on the realisation of public interests, consistent orderliness, normativity, discretion, etc. The criteria for classification of administrative procedures have also been the subject of debate, which eventually led to the development of a significant number of them. The author determines that the content of administrative procedures is the procedure for consideration and resolution of individual administrative cases by administrative authorities and local self-government bodies with a view to protecting the rights and legitimate interests, and also to fulfilling the statutory obligations of all subjects of legal relations. Based on the study, the author formulates conclusions and provides recommendations on the need to amend the Law of Ukraine "On Administrative Procedure" to regulate the mechanism of implementation of the principle of "tacit consent" in legal relations between public authorities and business entities. The introduction of the principle of tacit consent in practice should solve a number of problems in the area of issuing permits. The main ones are: reducing the real time spent by business entities on obtaining permits; limiting the opportunities for abuse by representatives of public authorities related to the delay in the timeframe for issuing pre-trial documents established by the current legislation; business entities avoid unjustified termination or suspension of business activities.

Tests of goods market integration between China and African BRI countries

AbstractThe Chinese Government has promulgated the “Belt and Road Initiative” (BRI) to increase trade flows and integrate goods markets between China and BRI countries. The validity of purchasing power parity (PPP) implies well‐integrated goods markets, a precondition for further economic convergence, and the next stage of economic integration in factor, service, and financial markets. Our study aims to examine the validity of the PPP and the extent of goods market integration between China and selected BRI countries in Africa. Since the functional form of the cointegrating relationship may not be exact or linear, we adopt the nonparametric rank tests for analysis without prior knowledge and specification of the functional form. We also address the rank problems that occur in multivariate rank tests. Our empirical results provide strong evidence of an unrestricted PPP relationship with reasonably strong evidence of nonlinearity in the data. We also find that some African BRI countries have experienced goods market integration with China during the second‐half period only. This indicates that the introduction of the BRI in 2013 and China's active involvement in African economic development through BRI projects are leading to enhanced goods market integration between China and Africa. The results indicate favorable prospects of closer economic cooperation in the factor, service, and financial markets to build a free trade area or common markets with BRI countries in Africa.

PELATIHAN MERANCANG USAHA KECIL BAGI SANTRI DI PESANTREN AL HIKMAH BANJARMASIN

Business planning is very important as to start run both small and large aims to make a profit. To find out the extent of the benefits derived from the business / business that is run requires careful recording. The recording of both business expenses and income must be done carefully so that the analysis and calculation of profit and loss of the business carried out with results that reflect the business potential. Pesantren Al Hikmah sub-district is located in Banjarmasin City, an trading area, where most of the population (57%) live in small medium entrepreneurship and most (53%) of them (families) depend their livelihoods / livelihoods from the land as traditional traders. Thus, there has been an outreach and counseling about designing small businesses by a group of community, but it has not provided adequate results. This is due to not doing a good business analysis. Through community service activities it seeks to provide knowledge about how to analyze or calculate the price of a product so that it can benefit the producers. Kata kunci : Business Planning, Student and Community

The African Continental Free Trade Area and Financial Development for Female Labour Force Participation in Africa

The study assesses how financial development dynamics can moderate the incidence of African trade integration on female labour force participation. The focus is on 47 African countries for the period 1995 to 2019 and the empirical evidence is based on Fixed Effects regressions. The findings show that financial development moderates African trade integration to engender an overall positive effect on female labour force participation. Moreover, financial depth proxied by liquid liabilities should reach a threshold of approximately 14.304 (% of GDP) in order to completely dampen an initial negative incidence of intra-African trade integration on female labor force participation. It follows that financial development becomes a necessary and sufficient condition to moderate intra-African trade integration in order to positively affect female labor force participation only when the established threshold of financial depth is attained. Other policy implications are discussed.

Майбутнє міжнародного права: інтеграція сучасних технологій, гібридні підходи та створення нових нормативних рамок для глобального співтовариства

Annotation. In today's world, the impact of technology on international relations and the legal system is rapidly increasing, which is due, in particular, to the development of information technology. Globalisation has covered the economic, political and cultural spheres of society, which has led to the relevance of this work. This article examines the future of international law in the context of integration of modern technologies, hybrid approaches and creation of a new regulatory framework for the global community. The article examines the methods used, such as modelling conflict situations with the help of artificial intelligence, applying cyber measures to ensure cybersecurity, integrating blockchain technologies to increase the reliability and transparency of international agreements, and analysing big data to predict trends in international legal issues. The role of technology in expanding opportunities for international cooperation and improving conflict resolution mechanisms will be discussed. Particular attention will be paid to hybrid approaches that combine traditional methods with innovative tools, contributing to the creation of more effective and flexible normative mechanisms. It will also examine the challenges and opportunities associated with the use of these technologies in contemporary conflicts, trade, human rights and other areas of international law. These new types of conflicts combine both military and non-military methods, including cyberattacks, disinformation, hacking, hybrid propaganda and economic pressure. The analysis highlights the prospects for the development of a new normative framework that takes into account modern technologies and hybrid approaches, contributing to a more just, secure and stable international system. This article will contribute to a better understanding of the relationship between technological innovation and the future of international law, providing an important contribution to the development of this important field. The analysis concludes that modern technology can serve as an engine for creating a more efficient, flexible and equitable normative framework in global international relations.

Main drivers of regional value chains in CAFTA: Does trade facilitation matter?

In the last decades, economic globalisation and the progress of ICT have promoted the international division of labour and optimisation of the global value chain. Moreover, improvements in incentives such as lower tariffs and more efficient border crossings have boosted international trade. Under this background, regional and sub-regional economic cooperation organizations, such as free trade area (FTA), have been developing rapidly and attracting many academic attentions. As the fastest growing FTA in the world, CAFTA is now the largest FTA in developing countries. This study focuses on the value-added network of various industries in the trade process inside CAFTA, and tries to explore the impact of trade facilitation on the DVA trade network of CAFTA. The results show that in the trade network of CAFTA, the proportion of added value of domestic trade in total exports keeps increasing, and the returned added value (RDV) increases significantly. Singapore, Vietnam, and Thailand hold relatively high positions in the production network, while China has a relatively low position. On the other hand, China and Thailand become the main beneficiaries after the establishment of CAFTA, while Singapore and Malaysia play a lesser role in trading networks. The results also show that trade facilitation has a significant positive effect on the DVA-INTrex and RDV trade networks, indicating that trade facilitation can significantly increase the domestic indirect value added and returned value added in the trade process. Moreover, the business environment (bus) is the most important factor, with efficiency and transparency of border administration (cus), availability, and use of ICTs (ict) contributing to the improvement.

A critical analysis of the cross-border financial crime risks inherent in the African continental free trade area

PurposeThis paper aims to provide authorities managing free trade zones, business enterprises, financial institutions and dedicated free zone customs, police and immigration command assigned to deal with aspects of movement of goods and persons in and out of the free zones with a clear understanding of the cross-border financial crime risks associated with the African Continental Free Trade Area and the risk control measures that combines human intelligence with advanced technology to combat cross-border financial crimes in the African Continental Free Trade Area.Design/methodology/approachA range of research activities would be used in this study. In addition to a sweeping literature review of academic, official studies and media writings, the main focus is on critically evaluating and analysing primary data by searching and collecting statutes, court cases, administrative rules and regulations and policy documents.FindingsThis paper identified bribery and corruption; modern slavery; and trade-based money laundering as the financial crime risks that are of priority concern to African Continental Free Trade Areas and demonstrated how countries can assess and mitigate these risks through adequate policies, procedures and controls including appropriate compliance management arrangement and adequate screening procedures to ensure high standards when hiring employees; corporate transparency; training on managing incidents of modern slavery, forced labour and third-party exploitation; and appropriate monitoring framework for trade-based money laundering activities.Originality/valueWhile many authors have written research papers on intra-African trade, none of those research papers explained how countries can assess and mitigate financial crime risks in free trade zones. This research paper describes the ways in which cross-border financial crime risks can be assessed and adequately addressed by the authorities managing free trade zones. This research paper analyses the risk assessment topic in line with the African Continental Free Trade Area with a focus on free trade zones in Nigeria. This research paper would help authorities managing free trade zones, commercial organisations and business enterprises to identify, prevent and mitigate cross-border financial crime risks. Zone managements and business enterprises that implement the risk-based approach, in line with the guidance given in this research paper, will be well-placed to avoid the consequences of inappropriate de-risking behaviour.

The Challenges of Regional Integration and Effective Implementation of African Continental Free Trade Area (AfCFTA) Policy in Africa

The paper is an investigation of the challenges of regional integration in Africa and their effects on the implementation of the African Continental Free Trade Area (AfCFTA) policy. The major objective of the paper is to proffer solutions to the challenges for the effective actualization of the policy. The assumptions of the neo-liberal theory were used to support the AfCFTA initiative to promote economic growth and development in Africa. The data used to advance the argument were obtained from secondary sources of data collection. The study finds that language barrier, multiple currencies, porosity of borders, foreign interference, political instability and insecurity, poor human development, over-lapping of membership of sub-regional organizations, poor state of infrastructure, and state-centric nature of integration initiatives are some of the core challenges hindering the effective execution of the AfCFTA policy. The study recommends that the African Union (AU) should intensify effort at realizing a single currency policy for Africa; design comprehensive regional security architecture to include high technological surveillance, joint air and ground border patrol among member states of Regional Economic Communities (RECs) to address trans-border crimes and insecurity. There should also be institutionalization of counterpart funding among AU member-states for infrastructural development; and encouragement of private and civil society participation in the integration initiative, among others. In concludes that if the challenges identified are not effectively addressed, it will be very difficult for the AU to successfully realize the objectives of the AfCFTA policy.

STRATEGIES OF MACRO-REGIONAL INTEGRATION ASSOCIATIONS ON THE EXAMPLE OF ASEAN

The article is devoted to the analysis of the integration policy of the ASEAN countries. ASEAN includes countries with very different levels of economic development, population, and area, but this integration association is successful and plays an important role in the economic and political spheres in the Southeast Asian region. The article examines the ASEAN approach to regional integration, which is characterized by a “soft character”, in contrast to the European and North American approaches. The main stages of the development of the studied union and the circumstances that prevented the economic integration of the participating countries at the initial stage were analyzed. The main principles of ASEAN work, which are enshrined in the Bangkok Declaration of 1967 and the ASEAN Charter of 2007, are defined. The main directions and mechanisms of economic integration of countries are analyzed, namely: the agreement on the formation of a preferential trade zone, the agreement on the creation of a free trade area (AFTA), the framework agreement on the ASEAN investment zone (AIA), industrial cooperation schemes (AICO), the ASEAN framework agreement with services (AFAS). Also, the article provides an assessment of the main macroeconomic indicators of the participating countries and the union as a whole: GDP volumes in dynamics, the structure and dynamics of trade relations, the commodity and geographical structure of the union’s export-import operations. Problematic issues of the ASEAN integration association have been identified. The current state of cooperation between Ukraine and ASEAN was analyzed, including the volume of export-import operations in terms of the product structure, and prospects for the expansion of economic cooperation were also established. The paper draws conclusions about the success of the ASEAN development strategy and suggests ways to develop cooperation between ASEAN and Ukraine.

Study on the Influencing Factors of China's Outward FDI in RCEP Member Countries

The Regional Comprehensive Economic Partnership (RCEP) is the world's most populous free trade area with the largest economic and trade scale and the most development potential, and it will officially come into force in 2022, providing an opportunity for RCEP member countries to attract investment from China. Based on the information of economic and demographic characteristics of RCEP member countries from 2012 to 2020 and the panel data from China's ODFI, this paper measures and examines the influencing factors of China's direct investment in RCEP member countries by constructing a bidirectional fixed effects panel model of China's direct investment in RCEP countries. It is found that: the host country's net per capita national income, per capita GDP growth rate, merchandise trade and service trade inhibit China's investment in RCEP member countries, while the host country's GDP growth rate, per capita GDP can promote China's investment in RCEP countries, the host country's industry, exchange rate, and legal indices are not the main factors affecting China's direct investment in RCEP, and should be used in the comprehensive investment decision-making when On the basis of considering the unbalanced economic development of each country, the optimal layout of China's direct investment in RCEP member countries should be co-ordinated to provide more opportunities for Chinese enterprises to enter the markets of RCEP member countries.

Gestão empresarial, trabalho e um mercado urbano em disputa

Abstract This article retraces the conflicts that emerged during the Parliamentary Inquiry Committee (PIC) of Feira da Madrugada to discuss the expansion of the entrepreneurial management of popular trade areas, as well as changes in workers' experiences. Considering the PIC event as an arena in which the management of this commercial area was viewed as a "public problem", it is argued that the center of the conflict was marked by tensions between two distinct perspectives on popular markets and legitimate uses of urban space: a perspective that recognizes a "social function" in these activities, and a market rationale that identifies urban popular trade areas as favorable for investment and to foster entrepreneurship.