Country Economic Memorandum for Sao Tome and Principe - Background Note 3 : Where has Trade Growth Come from in São Tomé and Príncipe
This note examines the competitiveness of the export sector in São Tomé and Príncipe. It relies on the framework developed by Reis and Farole (2012) and examines the export competitiveness along four complementary dimensions: export growth and mark...
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World Bank, Washington, DC
2019
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| Online Access: | http://documents.worldbank.org/curated/en/912941562907402808/Country-Economic-Memorandum-Background-Note-3-Where-has-trade-growth-come-from-in-São-Tomé-and-Príncipe http://hdl.handle.net/10986/32138 |
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okr-10986-321382021-05-25T09:26:17Z Country Economic Memorandum for Sao Tome and Principe - Background Note 3 : Where has Trade Growth Come from in São Tomé and Príncipe Signoret, Jose E. TRADE EXPORT COMPETITIVENESS COCOA COCONUT OIL TRADE BALANCE DIVERSIFICATION TOURISM This note examines the competitiveness of the export sector in São Tomé and Príncipe. It relies on the framework developed by Reis and Farole (2012) and examines the export competitiveness along four complementary dimensions: export growth and market shares, diversification in terms of product and destinations, quality of exports, and the survival or persistence of export flows. It uses export product level data for the period 2000-2017, as available, from international trade databases that help in benchmarking the performance of São Tomé and Príncipe with that of peer countries. Peer countries include, as data is available, Belize, Cabo Verde, Comoros, Dominica, Fiji, Mauritius, Maldives, Seychelles, St. Lucia and Vanuatu. While this note focuses on export outcomes, it also provides a brief picture on imports into São Tomé and Príncipe. The main findings of this note are as follows: Trade remains important for São Tomé and Príncipe, especially imports to satisfy local demand. Total exports have been increasing, both for goods and services. Goods exports, however, remain highly concentrated in cocoa exports to the EU market. Export trends for goods have tended to sustain this dependence, with very little expansion in the extensive margin, and thus with limited diversification of goods exports. This is despite relative comparative advantages in other agricultural products, such as coconuts, dried fruits, and seafood and preferential duty-free and quota-free access into the EU and other developed countries’ markets. Meanwhile, exports of services have increased rapidly, led by travel services. São Tomé and Príncipe exports more services than goods and it has become a net exporter of services. Creating strong (backward) linkages between the tourist industry and the rest of the economy could sustain growth in other industries that, in turn, can support export diversification. 2019-07-29T20:33:13Z 2019-07-29T20:33:13Z 2019-06-26 Report http://documents.worldbank.org/curated/en/912941562907402808/Country-Economic-Memorandum-Background-Note-3-Where-has-trade-growth-come-from-in-São-Tomé-and-Príncipe http://hdl.handle.net/10986/32138 English CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Economic & Sector Work :: Country Economic Memorandum Economic & Sector Work Africa Sao Tome and Principe |
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Digital Repository |
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Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English |
| topic |
TRADE EXPORT COMPETITIVENESS COCOA COCONUT OIL TRADE BALANCE DIVERSIFICATION TOURISM |
| spellingShingle |
TRADE EXPORT COMPETITIVENESS COCOA COCONUT OIL TRADE BALANCE DIVERSIFICATION TOURISM Signoret, Jose E. Country Economic Memorandum for Sao Tome and Principe - Background Note 3 : Where has Trade Growth Come from in São Tomé and Príncipe |
| geographic_facet |
Africa Sao Tome and Principe |
| description |
This note examines the competitiveness
of the export sector in São Tomé and Príncipe. It relies on
the framework developed by Reis and Farole (2012) and
examines the export competitiveness along four complementary
dimensions: export growth and market shares, diversification
in terms of product and destinations, quality of exports,
and the survival or persistence of export flows. It uses
export product level data for the period 2000-2017, as
available, from international trade databases that help in
benchmarking the performance of São Tomé and Príncipe with
that of peer countries. Peer countries include, as data is
available, Belize, Cabo Verde, Comoros, Dominica, Fiji,
Mauritius, Maldives, Seychelles, St. Lucia and Vanuatu.
While this note focuses on export outcomes, it also provides
a brief picture on imports into São Tomé and Príncipe. The
main findings of this note are as follows: Trade remains
important for São Tomé and Príncipe, especially imports to
satisfy local demand. Total exports have been increasing,
both for goods and services. Goods exports, however, remain
highly concentrated in cocoa exports to the EU market.
Export trends for goods have tended to sustain this
dependence, with very little expansion in the extensive
margin, and thus with limited diversification of goods
exports. This is despite relative comparative advantages in
other agricultural products, such as coconuts, dried fruits,
and seafood and preferential duty-free and quota-free access
into the EU and other developed countries’ markets.
Meanwhile, exports of services have increased rapidly, led
by travel services. São Tomé and Príncipe exports more
services than goods and it has become a net exporter of
services. Creating strong (backward) linkages between the
tourist industry and the rest of the economy could sustain
growth in other industries that, in turn, can support export diversification. |
| format |
Report |
| author |
Signoret, Jose E. |
| author_facet |
Signoret, Jose E. |
| author_sort |
Signoret, Jose E. |
| title |
Country Economic Memorandum for Sao Tome and Principe - Background Note 3 : Where has Trade Growth Come from in São Tomé and Príncipe |
| title_short |
Country Economic Memorandum for Sao Tome and Principe - Background Note 3 : Where has Trade Growth Come from in São Tomé and Príncipe |
| title_full |
Country Economic Memorandum for Sao Tome and Principe - Background Note 3 : Where has Trade Growth Come from in São Tomé and Príncipe |
| title_fullStr |
Country Economic Memorandum for Sao Tome and Principe - Background Note 3 : Where has Trade Growth Come from in São Tomé and Príncipe |
| title_full_unstemmed |
Country Economic Memorandum for Sao Tome and Principe - Background Note 3 : Where has Trade Growth Come from in São Tomé and Príncipe |
| title_sort |
country economic memorandum for sao tome and principe - background note 3 : where has trade growth come from in são tomé and príncipe |
| publisher |
World Bank, Washington, DC |
| publishDate |
2019 |
| url |
http://documents.worldbank.org/curated/en/912941562907402808/Country-Economic-Memorandum-Background-Note-3-Where-has-trade-growth-come-from-in-São-Tomé-and-Príncipe http://hdl.handle.net/10986/32138 |
| _version_ |
1764475857752031232 |