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South Asia’s trade structure, trade potential, supply capacity, and global market access from 1991 to 2017 are examined through empirical research using trade indexes and gravity econometric estimation. The results broadly reflect a stagnant position of South Asia in the merchandised trade structure. South Asian economies have a comparative advantage in some sectors, which are

Many countries try to bring down trade costs by striking free trade agreements, forming currency unions or joining the WTO. But when trade costs fall, how much does trade increase? This column finds that the impact depends on how intensively countries trade. Falling trade costs boost trade between countries with initially ‘thin’ trading relationships where the scope for growth