Market Analysis Tools and Services - UNCTAD Virtual Institute

Market Analysis Tools
and Services
UNCTAD Virtual Institute Visit to ITC

Market Analysis and Research
Enhancing Understanding of International Trade Opportunities and
Obstacles
ITC’s Market Analysis and Research (MAR) section produces and disseminates online market analysis
tools, conducts market research and trade analysis, and delivers capacity building programmes in market
analysis for the business community, trade support institutions and policy makers in developing countries.
MARKET ANALYSIS TOOLS
Enhancing transparency with statistics on global trade, market access and Foreign Direct Investment
(FDI)
ITC has created for developing countries a range of market analysis tools – Trade Map, Market Access
Map, Investment Map and Trade Competitiveness Map.
Developing countries can use these tools to help grow their exports by identifying opportunities for
product and market diversification. A wide range of navigation options, combined with a powerful set of
analytical outputs – tables, maps and charts - make it easy to analyse trade-related information for sets of
products, sectors or countries.
Users in developing countries can benefit from FREE access to the tools thanks to financial
contribution from donors to ITC’s Trust Fund. To get your free password, register at
www.intracen.org/marketanalysis

INTERNATIONAL TRADE CENTRE
Trade Map
• Includes time series trade statistics (HS 2, 4 and 6-digit), market shares, trends, and other trade
indicators for 220 countries and territories. More detailed statistics – at national tariff line level – are
available for 120+ countries, and current monthly or quarterly data is included for more than 78 countries.
Market Access Map
• Includes customs tariffs (including tariff preferences) applied by 187 countries and faced by 239
countries and territories; rules/certificates of origin; and bound tariffs of WTO members. Enables the
aggregation of products and countries as well as simulation of tariff reduction scenarios. A new version
will be launched in 2011 bringing together functionality of Market Access Map and the World Bank’s
WITS.
Investment Map
• Includes statistics on FDI flows and stocks by country and industry (ISIC Rev. 3) for 100 countries,
together with information on the operations of foreign affiliate companies active in developing countries.
Standards Map
• Improves information transparency about voluntary sustainability standards, covering 30 standards
and up to 60 product groups. The tool enables producers in developing countries, public procurement
officials and SME procurers to better understand the requirements, costs and benefits of standards
including Fair Trade, Rainforest Alliance, IFOAM, and Global Gap among others.
COUNTRY-LEVEL TRADE DIAGNOSTICS & CUSTOMIZED MARKET RESEARCH
AND ANALYSIS
ITC’s research and analysis helps trade policy makers allocate scarce resources towards sectors and
markets with greatest export potential. They also help in refining trade negotiation positions, modeling the
impact of economic and trade trends and assessing the impact of trade agreements. Our analysts bring
together the most current and detailed trade-related data with state-of-the-art analytical survey
methodologies and models. Our core competencies include:
• Assessment of Non-Tariff Measures (NTMs) as barriers to export, through comprehensive
national surveys of enterprises and official NTM sources
• Customized analysis and reports on other market access issues, including tariffs, and
support in preparing negotiation positions in multilateral or regional trade talks.
• Assessments of export diversification opportunities by sector, country or region through
detailed statistical analysis and qualitative research
• Assessment of national trade competitiveness vis-à-vis benchmark countries
CAPACITY BUILDING SERVICES
Providing foundations for successful export strategies
ITC’s Market Analysis and Research offers a wide range
of capacity building activities for export oriented
managers, trade support institutions and trade policy
makers to support market analysis, one of the
foundations of successful export strategies and trade
policies.
Workshops, seminars and mentoring activities take place
in partner countries, in Geneva or by web conferencing
(Webinar).

INTERNATIONAL TRADE CENTRE
Capacity Building Workshops:
• Introduction to Researching & Analysing Export Markets
• Introduction to ITC’s Market Analysis Tools
• Analysing Export Opportunities for a Target Market
• Preparing a Market Profile
• Mentoring on Export Potential Assessment
• Advanced Market Access Analysis
• Analysing Voluntary Sustainability Standards
More in-depth capacity building programmes can also be customized to partners’ specific needs.
PUBLICATION COLLABORATIONS:
World Tariff Profiles – Published annually by ITC, WTO and UNCTAD
A 200-page comprehensive overview of bound and applied tariffs for WTO member countries and applied
tariffs for non-WTO members.
MAR also contributes to:
World Trade Indicators - a World Bank publication
The Global Enabling Trade Report - a World Economic Forum publication
The Global Trade Analysis Project (GTAP): data and aggregations
For more information about any of our activities – including costs where relevant, please contact:
marketanalysis@intracen.org or visit www.intracen.org/marketanalysis

Introduction
ITC's Market Analysis Tools and trade
analysis
What is ITC
The UN body for design of policy
recommendations to achieve
economic and social development
through trade and investment.
The forum to negotiate multilateral
trade rules, monitor their
implementation and handle trade
disputes
ITC works with local and regional
institutions and businesspeople to
promote exports and trade.
• Mission
ITC enables small business export success in developing
countries by providing, with partners, trade development
solutions to the private sector, trade support institutions
and policy-makers

ITC activities
Activities
ITC Clients
ITC Beneficiaries
ITC Development
Outcomes
Business and Trade Policy
Export Strategy
Trade Intelligence
Trade Support Institution
Exporter Competitiveness
Policy
Makers
Trade
Support
Institutions
Business
Community
Micro,
Small and
Medium-Sized
Exporters
Export Impact for Good
Generating sustainable
incomes and livelihoods
especially for poor
households, by connecting
enterprises to global markets
One One Many
ITC organisational chart

MAR activities
I. Market Analysis Tools
Trade Map
Market Access Map
II. Tailored Analysis
Trade Competitiveness
Assessment
Export Potential Assessment
III. Capacity Building and
Training
Introduction to Market Analysis
Preparation of Market Profiles
Investment Map
Trade Competitiveness Map
Export Opportunity Scan
Sector Competitiveness Scan
Customised analyses
Training–of–Trainers
Mentoring for Tailored
Analyses
Face-to-face and E-training
Customised training
Workshop objectives
• Understand some of the main trends in the current global trade
environment
• Introduce ITC's Market Analysis Tools and become
knowledgeable in their use
• Gain an insight into how these tools can facilitate trade analysis

Some trends...
...of the current trading environment
Trade is enormous...
$12,650,000,000,000
or $401,128 per second
• Globalization has accelerated over the last 20 years
• The volume of trade as a percentage of global GDP has more
than doubled since 1960

...and it's more dynamic than the economy...
13%
World Trade vs. GDP Growth
1960-2009
11%
9%
GDP
Trade
7%
5%
3%
1%
-1%
1960-
70
1970-
80
1980-
90
1991-
94
1995-
98
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
Source: WTO
... but it's not immune to the downturn...
Annual Growth of Imports by Level of Development of Countries
2002-2007
Source: ITC Trade Map

...although downturn is not uniform...
GDP and merchandise trade by region, 2005-07
Annual % change at constant prices
Source: WTO
... TRADE GREW STEADILY THIS DECADE
UNTIL 2008
Growth of trade volumes
Annual % change
Source: World Bank, Global Economic Prospects 2009

Global trade patterns are changing...
• Trade flows within regions account for a higher share of world
trade than flows between regions
• Asia Pacific & EU trade more within their regions
• However many regions trade more with other regions than
internally: Africa, South and Central America, Middle East and
CIS
...with developing countries gaining ground...
Share in total world exports, percentages
Developing countries LDCs Developed countries
80%
70%
60%
50%
40%
30%
20%
10%
0%
1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008
Source: ITC
LDC list comes from UN. Developed countries are current OECD countries less Chile, Korea, Mexico and Turkey. The
remainder are developing. Graph is based on data reported by 198 countries and territories. The composition of groups can
vary slightly depending on the data availability

…and increasingly trade with other
developing countries…
50%
40%
30%
20%
10%
0%
33% 35% 39% 43%
16%
18%
19% 22%
2002
2005
2008
2009
Share of Developing
Countries exports that are
exported to China, Hong
Kong, Chinese Taipei and
India
Share of developing countries
exports that are exported to
other developing countries
50%
40%
30%
20%
15%
28%
44% 47%
34%
24% 30%
32%
Share of exports of Least
Developed Countries that go
to China, Hong Kong,
Chinese Taipei and India
10%
0%
2002
2005
2008
2009
Share of exports of Least
Developed Countries that go
to Developing countries
The mix of products traded is changing...
Global trade by type of commodity
% of total trade
Source: ITC Trade Map

…partly due to commodities prices…
Real prices of internationally traded commodity prices in developing countries
CPI-deflated Indices, Jan. 2000=100
Energy
Food
Metals and
minerals
Source:World Bank, Global Economic Prospects 2009
... but not all sectors are equally successful
The best performing exports from developing country exporters tend to be manufactured
products, with high value-addition
Top export industries for highperformance
developing countries
(but not from struggling developing countries)
Electrical, electronic equipment
Top export industries for struggling
developing countries
(but not from struggling developing countries)
Cotton
Machinery, boilers, etc.
Precision instruments
Plastics and articles thereof
Organic chemicals
Articles of iron and steel
Copper and articles thereof
Furniture, lighting, prefab buildings
Toys, games, sports requisites
Ships, boats
Footwear, gaiters, parts thereof
Wood and art of wood, wood charcoal
Other made textile articles, worn clothing
Fish, crustaceans, mulluscs
Edible vegetables, roots & tubers
Edible fruits, nuts, melons
Raw hides, skins, leather
Cereals
Cocoa & cocoa preparations
Coffee, tea, mate and spices
Nickel and articles thereof

Market access issues are changing:
• Trade agreements proliferate...
Number of Free Trade Agreements Notified to WTO
1958 – 2009
Source: WTO
… reducing tariffs…
Applied MFN Tariffs, All Products, By Level of Income
Source: World Trade Indicators, World Bank

1975
1977
1979
1981
1983
1985
1987
1989
1991
1993
1995
1997
1999
2001
2003
2005
2007
… and making NTMs more important
Unprompted, Combined Mentions in ITC 2008 client survey
2009 Survey– NTMs still an
issue for exporters but
overshadowed by the
economic crisis – finance
and fall in demand
Trade in services grows quickly...
12
Trade in Services as % of GDP
1975 – 2007
11
10
9
8
7
6
Source: World Development Indicators, World Bank

...significantly due to FDI...
• In spite of quick growth in value, over the past 30 years the
share of services, excluding Mode 3: commercial presence, in
global trade has been quite stable around 20%
• BUT, Mode 3 is not captured in trade in services statistics
• FDI data shows that more than half of FDI flows are in the
services sector
• FDI keeps on growing globally...
…which is ever more important
FDI as % of World GDP
1985 – 2007
Source: World Development Indicators, World Bank

Business environment affects trade
Source: World Trade Indicators 2008, World Bank
Register to access ITC’s
Market Analysis Tools

Free to users from developing countries
Thanks to financial contributions from ITC's Global Trust Fund and the
World Bank, as of the 1st January 2008, all users from developing
countries and territories may access ITC's market analysis tools free
of charge.
http://www.intracen.org/marketanalysis

Free to users from developing countries
Coming soon – New MAcMap

Trade Map
Trade statistics for international business development
Trade Map - www.trademap.org - is an interactive online database on international trade statistics and
presents indicators on export performance, international demand, alternative markets and the role of
competitors from both the product and country perspective.
Trade Map covers the annual trade flows (mirror and direct) of over 220 countries and territories and
5,300 products defined at the 2, 4 or 6-digit level of the Harmonized System with different trade indicators
(indices, values, quantities, trends, market share and unit values) and times series since 2001 displayed
in graphic, map or tabular format. Trade values can be selected from 16 different currencies. 2010
monthly trade statistics for over 80 countries are updated on a constant basis as well as 2010 first and
second quarter data are available for more than 60 countries.
Trade Map's features include:
• Analysis of present export markets: Examine the profile and dynamics of export markets for any
product, assess the value, size and concentration of exports and highlight countries where market shares
have increased.
• Pre-selection of priority markets: View the world’s major importing countries, illustrate the extent
of import concentration and in which countries demand has increased over the past five years.
• Overview of competitors in global and specific markets: Identify the leading exporting countries
for a given product; highlight a country’s position in world exports or in the imports of partner and
neighbouring countries.
• Review of opportunities for product diversification in a specific market: Make a comparative
assessment of import demand for related products in an export market; identify imports of similar
products and possible synergies.
• Visualisation of trends and seasonality: display the monthly data on graphs and identify slopes
and regular peaks in values as well as in quantities and in unit values.
• Identification of existing and potential bilateral trade with any partner country: Identify productspecific
opportunities by comparing actual bilateral trade, the total import demand of partner countries
and the overall export supply capacity of the home country.
• Data export: convert all what you get from Trade Map into a file; download not only trade data as
Excel or text files but also graphs as images.
• Information on tariffs: View information on tariff equivalent ad valorem faced by countries in their
exportations or applied by importing countries.
Thanks to financial contributions from ITC's Global Trust Fund and the World Bank, users in developing
countries and territories can register at www.intracen.org/marketanalysis to access ITC’s market
analysis tools free of charge. Users in developed countries and territories can register to get a one-week
free trial access or subscribe for a longer access.
The Market Analysis and Research Section of ITC also conducts tailored studies and training
programmes on market analysis. Please visit our website for more information:
www.intracen.org/marketanalysis

INTERNATIONAL TRADE CENTRE
See below, some examples of tables and graphs generated by Trade Map

Trade Map
A web-based trade flow analysis tool
Introduction
• An exporter of pineapples is looking to diversify its client
base…Which country should be targeted
• A shoe exporter needs an overview of trade barriers he/she
would face for exports to Malaysia…
• A trade mission needs to know our top export products to
Germany…
• Where could you import automotive components from
Who are the largest suppliers in your region
• What is the current trade between your country and the United
States
Initial answers to these questions and many
more are easily found in Trade Map

Trade Map
• Online application to produce reports on international trade
flows
• Every product (HS-6) to and from (almost) every country
• Based on probably the largest trade flow database in the
world
• User-friendly interface, report-ready outputs
• Flexibility for customising reports, analysis
• Graphic presentation of outputs to facilitate analysis
Key characteristics
• Where does the data come from
• National Authorities
• COMTRADE, produced by the United Nations Statistics Division database
• What is Trade Map’s geographical coverage
• Information for over 220 countries and territories using data reported by 170
countries and territories (not all have reported each year)
• Data for non-reporting countries is derived from mirror statistics
• What is Trade Map’s product coverage
• For the Harmonized System
• over 5,300 products at the 6 digit level
• For the National Tariff Line
• up to 30,000 products for 150 countries (~85% of world trade)
• What is Trade Map’s time horizon
• Yearly, quarterly and monthly data

Data classification
• The Harmonized System (HS)
• Is used as a basis for the collection of Custom duties and
international trade statistics by almost all countries, representing
about 98% of world trade
• Developed by the World Customs Organisation – WCO
(www.wcoomd.org)
• Implemented late 1980s.
• Harmonised different existing nomenclatures
• Adopted by almost all countries in the world
• Basis for all trade conversations internationally
• Revisions in 1996, 2002 and 2007
Data classification
• The Harmonized System (HS)
• Is a numerical classification system of
products used as a basis for international
trade statistics by almost all countries.
• Is harmonized up to six digits (HS-6) - You
can compare HS data between countries.
• Is broken down into 3 clusters:
• HS-2: the chapter of the good (sector)
• E.g. 09 = Coffee, Tea, Mate and Spices
• HS-4: groupings within the chapter (sub-sector)
• E.g. 0902 = Tea, whether or not flavoured
• HS-6: product(s) within the grouping (product
level)
• E.g. 090210 = Green tea (not fermented)
HS-2
HS-4
HS-6

Data classification
• National Tariff Lines (NTL) codes
• Classification of goods after the 6 digit level of
the Harmonized System classification.
• National Tariff Lines go from 8 digits to 12
digits.
• Why use the HS and NTL classification
• The HS classification is standardised
internationally
• The NTL classification is not standardised
internationally.
Each country decides its own further
classification after the Harmonized System.
Hence, National Tariff Line codes can be
different from a country to another.
HS-2
HS-4
HS-6
NTL
Data classification
HS
(Internationa
l standard)
08 Edible fruit and nuts; peel of citrus fruit or melons.
08.04 Dates, figs, pineapples, avocados, guavas,
mangoes and mangosteens, fresh or dried.
08.04.50 Guavas, mangoes and mangosteens.
NTL
(NON
standard)
Australia
08.04.50.00 Fresh or dried guavas, mangoes and mangosteens
Japan
08.04.50.01.1 Mangoes, fresh
08.04.50.01.9 Guavas and mangosteens, fresh
United States:
08.04.50.40.40 Mangoes, fresh, if entered during the period from
September 1, in any year, to the following May 31,
inclusive
08.04.50.60.80 Guavas and mangosteens, fresh, if entered during the
period from June 1 to August 31, of the following year,
inclusive
08.04.50.80.00 Guavas, mangoes and mangosteens, dried

Free to users from developing countries
Thanks to financial contributions from ITC's Global Trust Fund
and the World Bank, as of the 1st January 2008, all users from
developing countries and territories may access ITC's market
analysis tools free of charge.
http://www.intracen.org/marketanalysis

Free to users from developing countries
Trade Map selection menu

Trade Map selection menu
Direction of flow
Product
selection
Country/Region
selection
Partner country
selection
Data visualisation
Advanced search
This is the option to use if you haven't
found the product code for your
product
Three options to
search for product
codes

Advanced search
"Search by
Hierarchy"
allows you to
display the
entire HS
system up to
the HS6 level
and to identify
the specific
description of
each code
Managing groups
Create your own product or
country groups to suit your
needs

Select product and/or market
Two options:
1. Type in the product
code
2. Type in first letters of
keyword
Then select code to analyse
Select product and/or market
Bear in mind:
No country/product selection
means ALL
countries/products selected
Click here to get trade
indicators that facilitate
analysis

World demand for pineapples
Always read title
of the table first!!
World demand for pineapples
Situation
Trends
Structure

World demand for pineapples
Countries
Value of
imports, in
thousands of
US Dollars, in
the last
available year
Trade
balance=
exports –
imports
Quantity
imported in the
last available
year
Quantity unit,
depends on type of
good
Unit Value=
Value/Quantity;
provides an
indication of average
value of one unit of
the product; NOT
actual price of the
product
World demand for pineapples
Average annual
growth of the imported
value over the past 5
years
Average annual
growth of the imported
quantity over the past
5 years
Growth rate of
the imported
value over the
past year

World demand for pineapples
Share of world maket held by each
country. Shows how concentrated
the world supply is.
World demand for pineapples
Chose a target market
based on different criteria
(size, dynamism,
proximity, etc.)

Assess performance in market
Assess performance in market
Situation in
target market
Trends in
target market
Performance of
partner countries

Assess performance in market
Competitors in the target market
Assess performance in market
Selecting National
Tariff Line level...
... automatically changes the output format to time series

Assess performance in market
Alternatives for displaying data
Assess performance in market - NTL
NTL codes under the HS6 code provide
first glimpse at market segmentation and
consumer preferences

Assess performance in market - NTL
Competitors
currently in
this market
Global
competitors
NOT present
in this market
Analyse time series

Analyse time series
Identify and understand seasonality
through quarterly and/or monthly data
Analyse time series in graphic format
Seasonality!

Graphic analysis
Graphic analysis

Graphic analysis
Graphic analysis
Japan losing importance as a
market for partner country
Japan gaining importance as a
market for partner country

Graphic analysis
Who are alternative suppliers
that Japan could source from
Analyse potential for bilateral trade
Select your
countries/regions

Analyse potential for bilateral trade
Initial approach at the HS-2 level
Analyse potential for bilateral trade
Brazil's imports from Malaysia –
Existing demand in Brazil for
products coming from Malaysia

Analyse potential for bilateral trade
Malaysia's exports to the world
– Existing supply potential from
Malaysia
Analyse potential for bilateral trade
Malaysia's exports to the world –
Countries currently importing
Malaysia's products

Analyse potential for bilateral trade
Brazil's imports from the world –
existing demand in Brazil for
products that could potentially
be sourced from Malaysia
Analyse potential for bilateral trade
Brazil's imports from the world –
countries which Brazil is
currently buying from

Analyse potential for bilateral trade
Refine analysis at HS6 level
Analyse potential for bilateral trade
Further refine analysis at NTL level –
for base country only, obviously

Trade Map Graphs
Bubble Charts:
Positioning products according to growth
rates and changes in market share
Boston Consulting model or matrix
Portfolio model of product selection based on stage in life cycle
High
Babies
Stars
Market
Growth
Product Life Cycle
Dogs
Cash cows
Low
Low
Relative Market Share
High

Boston Consulting model or matrix
Bubble size is proportional to sales of product
High
Farm-direct Organic coffee
Market
Growth
Babies
Specialty coffee
Stars
Dogs
Cash cows
Low
Low
Relative Market Share
Instant coffee
High
Bubble graphs in Trade Map
• Same logic applies, but adapted to specific needs:
• Instead of products, HS codes (2, 4, 6 digits) or
countries.
• Adapted to each analytical need:
• National supply vs. international demand
• National supply vs. international demand growth
• Export performance relative to market demand
• Prospects for market diversification

National supply vs. world demand
National supply vs. world demand

Prospects for market diversification
Growth in demand for a local product

TradeMap helps users…
• Search for new markets or suppliers
• Assess competition or diversify sources
• Benchmark their trade performance
• Set priority products for trade promotion and development
• Evaluate tariffs and trade barriers
• Assess product diversification potential with a partner
country

Market Access Map
Making market access barriers transparent
Market Access Map is an interactive web-based analysis tool containing information on customs
tariffs and other market access measures applied by 187 importing countries to the products
exported by more than 239 countries and territories.
Market Access Map aims to enhance market transparency, to support international trade
promotion, and to facilitate the analysis of trade-related policy issues. It has been designed to
support exporters, importers, trade promoters, policy analysts and trade negotiators. It allows users
to analyze market access measures by geographic and/or sectoral aggregation. It also offers the
possibility of simulating tariff reductions applying various negotiation formulae.
The strengths of Market Access Map lie in its wide geographic coverage, taking into account
almost all regional and bilateral trade agreements, and in its rapid updating. 2009 data are
available for over 120 countries and 2008 data are available for 30 countries in total. The tool
provides ad valorem equivalents for bound tariffs and applied tariffs so to allow tariff comparison
across countries. Moreover the tool covers information on rules of origin for 80% of trade
arrangements currently in-force in the world.
Market Access Map includes:
• Applied and bound tariffs;
• Ad valorem equivalents (AVEs) for all specific tariffs;
• Tariff quotas;
• Anti-dumping duties and other trade remedies;
• Certificates and rules of origin.
Market Access Map can help you to:
• Identify a tariff applied by any country to a product originating from a particular
country.
• Compare the tariff treatment of products exported by your country with the market
access conditions faced by your competitors in your target markets.
• Obtain by a single click all relevant material on rules of origin.
Or you can use its advanced features for the following analysis:
Coming Soon:
• Tariff aggregation at any sectoral and regional level
• Tariff reduction simulations, using various formulae
In 2011 Market Access Map will be replaced by a new integrated application offering comprehensive
solution for analysing market access measures worldwide, including tariffs, non-tariff measures
(compulsory regulations) and trade data. It is developed using advanced technologies, and is based
on broader set of databases. The application will include the enhanced version of all existing Market
Access Map functionalities, and additional features. The new application is currently being developed
by ITC, UNCTAD and the World Bank in close collaboration with the WTO and UNSD.
Thanks to financial contributions from ITC's Global Trust Fund and the World Bank, users in
developing countries and territories can register at www.intracen.org/marketanalysis to access
ITC’s market analysis tools free of charge. Users in developed countries and territories can
register to get a one-week free trial access or subscribe for a longer access.

INTERNATIONAL TRADE CENTRE
Tariff applied by France to (HS-030613) Shrimps and prawns, frozen, in shell or not,
including boiled in shell originating from Ecuador
Trade Regimes applied by France to Ecuador
World Map of Tariffs faced by Ecuador to export (HS-030613) Shrimps and prawns, frozen,
in shell or not, including boiled in shell

Market Access Map
Information on tariffs and other
market access conditions
Market Access
• Information on market access conditions allows
companies to:
• Evaluate the market access advantage of an exported
product in a particular market relative to suppliers from other
countries who face different tariff conditions
• Select export markets offering favourable tariff conditions
• Adapt, where necessary, the product to conform to the target
market‟s import regulations
• As an importer, identify country sources of supply that face
preferential market access to minimise the cost of inputs

Types of tariffs
• Ad valorem tariffs
• Specific tariffs
• Compound tariffs
• Mixed tariffs
• Variable tariffs
Types of tariffs
• Ad valorem tariffs:
• Levied on the basis of the value
• Used by most countries; more than 87% of tariffs worldwide are ad
valorem
• Specific tariffs
• Compound tariffs
• Mixed tariffs
• Variable tariffs

Ad valorem tariffs
E.g. Australian tariff of 5% on imported wine (22.04.21.20.70)
French wine:
• AUD 8 / litre
New Zealand wine:
• AUD 6 / litre
Tariff per unit = CIF value per unit
x Tariff Rate
Tariff paid:
AUD 0.40 /litre
Tariff paid:
AUD 0.30 /litre
Types of tariffs
• Ad valorem tariffs
• Specific tariffs:
• Levied on the basis of volume, weight or other unit
• Users of specific tariffs include (% of MFN tariff lines): Switzerland (79.8%),
Thailand (21.9%), Russia (12.2%), Argentina (12.1%), Belarus (11.9%), USA (8.2%),
EU (4.6%)
• Compound tariffs
• Mixed tariffs
• Variable tariffs

Specific tariffs change relative prices
E.g. Suppose Switzerland's tariff on beef is CHF18 / kilo (02.01.30)
Before border
The prime beef is 4
times the price of the
low quality beef, but
also 4 times the quality
CHF3 / kg beef
CHF12 / kg
Argentine
prime
quality beef
At border
CHF18
specific
tariff
per kilo
After the border
The prime beef is now only
1.4 times the price of the low
quality beef, but still 4 times
the quality
= 18/3 equates
to a 600% ad
valorem tariff
Now
Regular beef
Costs
CHF21 / kg
= 18/12 equates to a
150% ad valorem tariff
Now
Argentine
prime beef
Costs
CHF30 / kg
Types of tariffs
• Ad valorem tariffs
• Specific tariffs
• Compound tariffs:
• Contain both ad valorem and specific rates
• Eg: 10% of the value + $2 per kilogram (Japan, EU, Canada)
• Mixed tariffs
• Variable tariffs

Compound tariffs
E.g. USA tariff on chocolate of 4.3% + US$ 528 / ton (18.06.32.08)
• Chocolate from Switzerland: US$ 6,356 / ton
Tariff:
4.3% US$ 273 Tariff
+ US$ 528/ton + US$ 528 Tariff
• Chocolate from Brazil: US$ 3,181 / ton
Tariff:
4.3% US$ 137 Tariff
+ US$ 528/ton + US$ 528 Tariff
Tariff = US$ 801
AVE = 801/ 6356 =13%
Tariff = US$ 665
AVE = 665/ 3181 = 21%
Types of tariffs
• Ad valorem tariffs
• Specific tariffs
• Compound tariffs
• Mixed tariffs:
• Minimum or maximum of two kinds of tariffs
• Eg: Min or Max (10%, $2/kg) (Canada, EU, Japan)
• Variable tariffs

Mixed tariffs
e.g. Japanese tariff on shoes: Max. of 30% or JPY4,300 Yen / pair
• Manolo Blahnik shoes: US$ 1,000 /pair
Tariff: the maximum of
30% US$ 300 Tariff
Or JPY4,300/pair (US$ 36)
US$ 36 Tariff
• Clark's shoes: US$ 30 /pair
Tariff: the maximum of
30% US$ 9 Tariff
Or JPY4,300/pair (US$ 36)
US$ 36 Tariff
Tariff = US$ 300
AVE= 300/1000 = 30%
Tariff = USD36
AVE= 36/30 =120%
Types of tariffs
• Ad valorem tariffs
• Specific tariffs
• Compound tariffs
• Mixed tariffs
• Variable tariffs:
• Levied on the basis of the composition of the products
• Eg: US$ 5/unit if lead content of paint > 2% on toys
• US$ 200/unit on fridges if cooling system is not CFC-free

Tariff quotas
• A two tiered tariff. A lower in-quota tariff is applied to the first Q
units of imports and a higher over-quota tariff is applied to all
subsequent imports.
MAcMap includes ad valorem equivalents
• Ad Valorem Equivalents – AVE:
• Are a common measure of the effect of the different types of tariff on the
product, as if they were all ad valorem.
• Are calculated for specific, mixed, compound or variable tariffs
• Are calculated by:
AVE =
Specific Tariff per Unit
Value of the Product per Unit
• Allow for regional or sectoral tariffs to be added and compared
• Allow for comparison of effective levels of protection across countries.
• The total AVE is the sum of all individual ad valorem equivalents

Methodologies for Calculating AVEs
• There are many methodologies for calculating AVEs. The most important
difference is the way the Unit value is calculated.
• The unit value of a product is based on total value of imports of the product
divided by the quantity. One can use the value / quantity of bilateral trade
flows, world imports or a country‟s imports of the product from a reference
group of products
Unit Value =
value of imports
quantity of imports
Methodologies for Calculating AVEs
• Unit values in MAcMap are calculated on a bilateral basis and at the most
detailed product level - the national tariff line (where possible). The Specific
tariff per unit is then divided by the bilateral unit value.
• This is important because the value of a product can vary widely depending
on the supplying country. For specific tariffs, the lower the unit value, the
higher the effect in ad valorem terms of a specific tariff.

1958
1960
1962
1964
1966
1968
1970
1972
1974
1976
1978
1980
1982
1984
1986
1988
1990
1992
1994
1996
1998
2000
2002
2004
2006
2008
Common types of trade agreements
• Partial Scope Agreement: reduces trade restrictions between partner
countries for a few products
• Free Trade Zone/Agreement/Area: eliminates trade barriers within the zone
(FTA, RTA, etc.)
• Customs Union: free trade zone + common external tariff
• Common Market: customs union + free flow of factors of production within
region (capital, labour)
• Economic Union: unification/harmonization of economic policies: monetary
policy, fiscal policy, regulatory regimes…
Proliferation of RTAs
200
180
160
140
120
100
80
60
40
20
0
Number of Regional Trade Agreements Notified to WTO
1958 – 2009
Source: World Trade Organization

EU existing trade regimes
Yemen
Bhutan
Laos
Samoa
Liberia
Tuvalu
Vanuatu
Greenland
GSP
Afghanistan
Somalia
East Timor
Kiribati
Eritrea
Sudan
Sao Tome
Eq. Guinea
Guam
Montserrat EU-
Palau Nauru CARIFORUM
F. Polynesia
Cook Is.
Micronesia
Marshall Is.
Tokelau
Cayman Is. Antartica
Bermuda
Aruba
St. Helena
EAC
EBA
EEA
SGP
Euro-Med
Norfolk Is.
Gibraltar
Comoros
Am. Samoa
Pitcairn
Niue
Iran
Ethiopia
Libya
Iraq
EBA
Burkina Faso
Myanmar*
Sierra Leone
Malawi
Madagascar
Haiti
St. Piere.
Anguilla
East African Community
Everything but arms
Grenada
N. Mariana Is. New Caledonia
European Economic Area
Interim EPA
Seychelles
Zambia
Solomon Isl.
Mayotte
Sistema General de Preferecias
Jamaica
Euro-Mediterranean Partnership
* Belarus and Myanmar (LDC) are temporarily
suspended from the GSP regime
Angola
Niger
Barbados
St. Vincent
Turks
Bouvet Is.
Uzbekistan
Togo
Guyana
St. Kitts
Mauritius
Azerbaijan
Tajikistan
Benin
Chad
Congo Dem.Rep.
Cape Verde
Mali
Lesotho
Zimbabwe
Russia
Christmas Is.
Djibouti
Gambia
Belarus*
Senegal
Kazakhstan
Maldives
Malaysia
Turkmenistan
Bangladesh
Nepal
Mauritania
Guinea-Bissau
Ctrl. Afr. Rep.
Cambodia
Mozambique
Uganda
Rwanda
Burundi
Tanzania
Belize
Trinidad
St. Lucia
Ghana
Ivory Coast
Namibia
Cameroon
Kenya
Fiji
Swaziland
Botswana
Wallis
Netherlands Antilles
China
EU-EAC
Papua NG
Macao
Panama
Cuba
Argentina
Vietnam
Philippines
Cocos Is.
Brazil
Indonesia
Uruguay
Tonga
Ukraine
Kuwait
GSP+
Nigeria
Kyrgyzstan
Brunei
Thailand
Qatar
Pakistan
Mongolia
McDonald Is.
S. Sandwich Is.
Paraguay
U.A.E
Oman
Venezuela
B.I.O.T.
Falkland Is.
Honduras
Georgia
Armenia
India
Sri Lanka
Colombia
Bahrain
Saudi Arabia
El Salvador
Ecuador
Guatemala
Nicaragua
Costa Rica
Bolivia
Peru
South Africa
Euro-
Med
Jordan
Algeria
Lebanon
Mexico
Egypt
Tunisia
Morocco
Syria
MFN
WTO
Australia
United States
Japan
New Zealand
Bilateral
Canada
Hong Kong
Singapore Taiwan Korea, Rep.
Albania
Turkey
Iceland
Norway
Liechtenstein
San
Marino
Andorra
Bosnia
Israel
Palestine
Switzerland
Chile
Moldova
Serbia
Kosovo
Montenegro
EEA
Croatia
Macedonia
Others nonreciprocal
Proliferation of RTAs
250
Trade Agreements in Goods by Country Groups
2006-2009
200
150
100
50
0
2006 2007 2008 2009 2006 2007 2008 2009 2006 2007 2008 2009 2006 2007 2008 2009 2006 2007 2008 2009 2006 2007 2008 2009
Africa Americas Asia Europe(1) Middle East Across groups
Notified to WTO In-Force Signed Under Negotiation Consultation (2)
(1) The 27 Member States of the European Union are considered as one single trading
entity

Implications
• Almost every country in the world is member to an ever
increasing number of trade agreements
• Every trade agreement has its own rules of origin
• It is difficult to keep up-to-date on what tariffs are applied and
faced by your country and your competitor countries
• It is confusing to understand what are the best conditions you
face to access one specific market
• It is key to have more clarity and transparency on what tariffs
and rules of origin apply to specific products in specific markets
Features of MAcMap
• Wide geographical coverage:
• tariffs applied by 187 countries to the products exported by 239 countries
and territories
• Wide coverage of instruments:
• ad-valorem tariffs; specific tariffs; tariff quotas and antidumping duties
• Preferences:
• Covers most bilateral and regional agreements
• Rules of Origin and Certificates of Origin also included for most
agreements
• Analytical flexibility:
• Permits any analysis: by region, by economic sector or by measure

MAcMap
• Market Access Map is continuously updated. Data is sourced
from:
• Applied tariff data is collected by ITC directly from national customs
institutions
• Tariff quota data from WTO (agricultural notification of tariff quota) and
national sources for bilateral and regional tariff quota agreements
• Trade data from national sources, IDB (integrated database), WTO and
the COMTRADE database of the United Nations Statistics Division
(UNSD).
• Access MAcMap through the Market Analysis portal at:
http://www.intracen.org/marketanalysis
Quick search module
Quick Search of tariffs – quick and easy search
Mandatory fields

Quick search: chose your product
Fill the search boxes with the
first few letters of the data
you're looking for
Select your desired level
of information: HS-6 or
National Tariff Line
Hit „Enter‟ or „Tab‟ to
confirm your selection
Quick search
Read
carefully,
critical
information
here!!

Quick search
Click „print report‟ to see the full list of countries
Chose more records per page to
see the entire list in one screen
The rest of the
regimes can be
seen by clicking
on the numbers
Quick search
When in doubt click on Glossary for definitions and concepts

Glossary
Search alphabetically
Quick search: trade regimes, rules of origin
See all trade regimes that
a country applies or faces
and rules of origin for
those regimes, to get an
initial insight into issues
concerning compliance

Quick search: trade regimes, rules of origin
Click on „print report‟ or select more records
per page to see all trade regimes in one page
There might be
several trade
regimes applicable
for one product in
any one importing
country
Review the certificates of origin
and the texts of the rules of origin
Example of a rule of origin

Example of a certificate of origin
Compare tariffs module
Which countries offer the best market access for cocoa beans

Compare tariffs module
Scroll through the importing countries alphabetically, or…
Compare tariffs module
…click on the column heading “level of
protection” or on "Total ad valorem
equivalent tariff (estimated) to sort table by
level of applied tariff in ascending order
…or click on the map

Compare tariffs: Market Access Map
If you leave your mouse over any given country,
a mouse over pops up with the applied tariff and
existing trade relationship between the countries
Trade = Exports + imports
Overall trade taking place,
NOT trade balance

Investment Map
For better identification of investment opportunities
Investment Map is an interactive web-based analysis tool that combines statistics on foreign
direct investment (FDI), international trade and market access into a single portal. Investment
Map allows analyses by country, trading partner and industry. It also includes relevant information
on activities of foreign affiliates in developing countries and economies in transition.
This portal aims to assist investment promotion agencies (IPAs) in pinpointing the sectors that
have successfully attracted FDI in a country as a guide to identifying priority sectors for
promotion. It also helps them identify the countries with whom they compete for foreign
investment attraction in a targeted sector and which countries are investing abroad by sector.
Moreover, information on foreign affiliates can be useful to domestic enterprises looking to supply
to transnational corporations as a stepping stone to accessing international markets and wider
export activities.
The strengths of Investment Map lie in its sectoral level investment data and the combined
information on investment flows and stocks, trade and tariff data, and activities of foreign
affiliates. Moreover, Investment Map is also linked to other tools such as the World Investment
Directory, Market Access Map and Trade Map.
Investment Map includes:
• Total FDI flows and stocks for around 200 countries and territories
• FDI flows and stocks, broken down by industry (ISIC rev. 3) for around 100
countries
• Export and import data and indicators of trade performance for around 227
countries and territories
• Tariff data applied by 187 countries and faced by 200 exporting countries and
territories
• Information on the location, sales, employment and parent company for over
130,000 foreign affiliates located in developing countries and economies in transition
The definition of industries in Investment Map is based on the ISIC rev 3 nomenclature. Tariff and
trade data are available for more than 5,300 products (6-digit level of the Harmonised System).
Information on foreign affiliates covers 1,000 lines of business (US SIC nomenclature). Data on
trade and FDI are available for the last four years.
The Market Analysis and Research section of ITC has developed Investment Map jointly with
UNCTAD, (www.unctad.org), and in partnership with the Multilateral Investment Guarantee
Agency (MIGA) and the World Association of Investment Promotion Agencies (WAIPA). The
portal includes information from UNCTAD, COMTRADE of UNSD, Dun & Bradstreet; Trade Map
and Market Access Map.
Thanks to financial contributions from ITC's Global Trust Fund and the World Bank, users in
developing countries and territories can register at www.intracen.org/marketanalysis to
access ITC’s market analysis tools free of charge. Users in developed countries and territories
can register to get a one-week free trial access or subscribe for a longer access.

INTERNATIONAL TRADE CENTRE Page 2
The Market Analysis and Research section of ITC also conducts tailored studies and training
programmes on market analysis. Please visit our website for more information:
www.intracen.org/marketanalysis .
Locations competing for Investment Attraction in selected industry (selected by level of income)
Countries with potential to invest abroad in selected industry
Parent Companies
Foreign Affiliates

Investment Map
For an improved identification of
opportunities for FDI attraction
INVESTMENT MAP
Key functionalities
• Helps identifying target sectors for investment promotion
• Helps identifying countries competing for inward FDI
attraction in a particular sector
• Help defining who are the actual/potential investor countries
in that given sector
• Provides information on multinational corporations’ foreign
affiliates, investing in a particular sector
Investment Map Overview
Project Title
City, date

What is Investment Map
• Launched in 2004
• A joint undertaking
• Between the International Trade Centre (ITC)
and
the United Nations Conference on Trade and
Development (UNCTAD)
• In partnership with:
• Multilateral Investment Guarantee Agency (MIGA)
• World Association of Investment
Promotion Agencies (WAIPA)
Coverage
Investment Map Overview
Project Title
City, date

Geographic • It is an interactive coverage tool that combines statistics on FDI (flows
and stocks), international trade, tariffs and information on
foreign affiliates:
• It currently includes harmonized FDI data detailed by sector and/or
country for about 100 countries and territories. Data is updated to 2008
for about 70 countries (United Nations International Standard for
Industrial Classification - ISIC rev 3)
• Information on multinational corporations:
• Location, sales, employment and parent/affiliate company
• Data on about 130’000 foreign affiliates established in developing
countries
• United States Standard Industrial Classification - US SIC87
Key characteristics:
- most recent annual FDI data available (including bilateral data)
-harmonized data in an interactive tool
Defining FDI
• FDI takes place when a company invests directly in facilities
to produce and/or market a product/service in a foreign
country.
• Investment involving a long-term relationship and a lasting
interest by an entity in one country in an enterprise located in
a different country.
Investment Map Overview
Project Title
City, date

Types of investment
• Greenfield: establishment of a wholly new operation in a
foreign country
• Merger or acquisition of an existing firm in a foreign country
• Sales offices
• Representative offices
• Non-equity investment
Types of FDI
• Horizontal:
• Within same industry/sector across different countries:
• Wal-Mart (Supermarkets), Deutsche Post (Logistics), GM (Automotive).
• Maximizes market access and share.
• Vertical:
• Within same value chain:
• Dell (Design: US; Production: China; Distribution: Global hubs; Support: India, etc.)
• Maximizes efficiency along one value chain.
Investment Map Overview
Project Title
City, date

Measuring FDI
FDI flows
• It is the total amount of FDI undertaken over a given period of
time, and it comprises:
• Equity capital: purchase of shares of an enterprise in a foreign country
(10% participation threshold)
• Reinvested earnings: part of an affiliate’s earnings accruing to the
foreign investor that is reinvested in that enterprise
• Intra-company loans: short- and long- term borrowing and lending
Measuring FDI
FDI stocks
• It is the total accumulated value of foreign-owned assets at a
given time, and it comprises:
• The value of the share of their capital and reserves belonging to
foreign companies
• The net indebtedness with the parent companies
Investment Map Overview
Project Title
City, date

Measuring FDI
• Stocks and flows are
related over time:
Flow
• Stock t = Stock t-1 + Flow t
• Flow t = Stock t – Stock t-1
Stock
Flow
(reimbursement of intra-company loans, disinvestment)
Potential impact of FDI
• Benefits:
• Increased employment
• Upgraded infrastructure: utilities,
logistics, business services
• Fast transfer of technology and
managerial skills, that:
• Increase labour productivity
• Contribute to innovations
• Increased market competition:
push for further innovation and
efficiency
• Greater consumer choice at lower
prices
• Risks:
• Lack of sufficient technology
transfer
• Enclave investment with no links
to domestic economy
• Excess fiscal incentives
jeopardize local investment
• Race to the bottom and unethical
behavior:
• Child labour employment
• Cross-border "shipment" of
environmentally costly activities
Investment Map Overview
Project Title
City, date

Data limitations - FDI
• Difficult to capture due to intangibility of financial flows
• Level of agregation varies due to confidentiality issues
• Countries that report often do so with considerable time lag
• International reporting practices (IMF, OECD) are not followed
uniformly
• all 3 components (equity, reinvested earnings, intra-company loans)
may not be included
• Differences in time periods over which the FDI transactions
were recorded
Data limitations – Distortion of information
• Book value of FDI stocks
• Identification of ultimate owner
• Role of Special Purpose Entities (SPEs)
• Round-tripped investment
• Transhipped investment
Investment Map Overview
Project Title
City, date

Data limitations - foreign affiliates
• Data on foreign affiliates vary from country to country
• Fields not systematically reported
• Sales and number of employees
• Data available only for developing countries
Data limitations – classification
• FDI data cannot always be allocated accurately to a given
industry or a given country
• “Unspecified secondary” or “Unspecified European Union”
• Foreign affiliates are based on the United States
nomenclature, US SIC87
• Its conversion to the ISIC nomenclature can only be approximate
• Trade data (HS 6 digit level) are converted into the ISIC
classification
• Hybrid group called “mixed goods (trade data )”
Investment Map Overview
Project Title
City, date

Conclusion
• Identify sectors with potential to attract FDI in a given country
• Identify potential country sources of investment
• Identify locations competing for investment
• Identify potential company sources of investment
THANK YOU!
Please do not hesitate to contact us should you have questions,
doubt or comments:
marketanalysis@intracen.org
Investment Map Overview
Project Title
City, date

Standards Map
Comparative analysis and review of information on
private standards
Introduction
A Ghanaian exporter of pineapples is looking to diversify its exports into
new niche markets...
What standards are recognized in his/her current destination markets
Which standards apply to pineapples grown in Ghana
What are the requirements for certification, and what are the associated
costs
An investor from Canada is considering India for his new investment in
the Indian agriculture sector…
Which standards operate in India that are applicable to the product he
will grow
What are the potential impacts of these standards in India, and how
does this impact the investor’s risk profile

Introduction
A Trade Support Institution in Peru wants to further support its clients in
exporting their products to Northern markets...
What standards operate in Peru
Which sectors/products can be certified by these standards
What export markets recognize these standards
How can the TSI help its clients understand if certification makes sense
as a business decision
A Policy Maker in Malaysia wants to strategize on how local companies
can use private standards to their advantage…
What is the mission and goal of the standards that operate in Malaysia
What support and capacity building do they offer to Malaysian
companies
Initial answers to these questions and many
more are easily found in Standards Map
Standards Map
An interactive tool that provides detailed information on “private
standards”
“Private or “voluntary” standards are developed by non-governmental entities,
incl. non-governmental organisations, industry associations, companies, among
others. As such, compliance to these standards is not legally required by national
governments or multilateral regulations as opposed to public standards.”
As of February 2011, Standards Map contains information on:
30 standard systems operational in over 160 countries that cover
over 40 sectors;
150 research materials, including academic papers, dissertations,
scientific articles…
Work is in progress to add another 15 standards, as well as 50 new
research materials by the end of March 2011.

Key characteristics
Where does the standards information come from
• Publicly available data from standards
• Desk research (ITC)
• External Quality Control (independent experts)
• Final verification and sign-off on the data (each standard organization)
The website will also be fully translated into French and Spanish by April
2011.
Key features
• Standards Overview « at a glance »
• Reference material (training, useful links…)
• Glossary of terms and expressions
• For registered users only:
– Interactive module to analyse and compare standards;
– Direct access to relevant research material;
– Tailored information on standards depending on users’ needs;
– Comparison tables across standards.

One global database – multiple applications
Producers -
TSI - Exporters
Standards
Map
Integrated approach
Common taxonomy, interlinked
databases
Public procurement
website
(Germany, Switzerland)
SME buyers
website
(Germany, Switzerland)
Information on voluntary
standards including:
• Scope of standard
• Requirements
• Enforcement mechanisms
• Governance / implementation
• Research materials
Standards
Database
(SD)
Data Entry Tool
A web application
that automates data
collection, review
and processing
Research
Database
(RD)
Future front-ends
(Retail, trade
associations, chambers
of commerce...)
7
Classification of Standards
What is
behind these
logos

Classification of Standards
Various perspectives to classify private standards…
• Are the standards based on multi-stakeholders participation
• Do the standards stand for certification or verification
• Is there a specific claim associated with the standard – in which case is it
on-product or off-product (B2B versus B2C)
• Are the standards specific to certain products, industries and countries, or
do they apply across sectors and countries
• Do the standards verify/certify themselves, or is there an independent
certification process
• Is there formal accreditation of the certification/verification bodies
• Do the standards focus primarily on specific areas – such as biodiversity,
labor rights, food safety…
• What are the implementation mechanisms used by the standards –
centralised versus de-centralised...
Classification of Standards
Main components of the standards database

Classification of Standards
12
Analysis and Comparison of Standards
One major challenge when comparing standards… taxonomy issues!
• Examples:
• Fairtrade « Minimum » versus « Progress » requirements
• 4C Association « Traffic Light System »
• UTZ Certified « Scoring system »
• GlobalG.A.P « Major must » versus « Minor must »
• Each standard has its own way to define compliance policies;
• Standards may use different terms with same intention, or same terms
with different intentions…
Standards Map offers a unique approach based on
a set of criteria to “translate” standards
requirements and policies into one common
taxonomy used across all standards.

13
Analysis and Comparison of Standards
Requirements
Compliance policies
Assessment methods
Standards Map
Analysis and Comparative Framework
14
Analysis and Comparison of Standards
A common taxonomy was developed to classify standards requirements:
Immediate requirement: Compliance must be met immediately or entity is
excluded from certification.
Short-term requirement: Compliance must be met in less than 12 months after
initial registration/certification formalities.
Medium-term requirement: Compliance must be met in less than 36 months
after initial registration/certification formalities.
Long-term requirement: Compliance must be met in a period of time that is
defined but more than 36 months after initial registration/certification formalities.
Recommendation: Compliance is recommended when criteria or principles are
identified that “should” be met but non-compliance is not a matter of exclusion.

15
Analysis and Comparison of Standards
A common taxonomy was developed to classify compliance policies:
Compliance at principle level: Compliance to the standard requirement is
assessed based on a general principle – e.g. « …the production unit shall
not drain waste water to the river...”
Compliance at indicator/criterion level: Compliance to the standard
requirement is assessed based on measurable indicators or criterion – e.g.
« …workers shall be paid extra hours, a minimum of 20% more than the fee
rate applied for normal work hours... »
16
Analysis and Comparison of Standards
A common taxonomy was developed classify assessment methods :
Pass or Fail: This method is black and white: one may pass or fail, hence
not become certified or be suspended from certification. Corrective actions
may be taken depending on the standard.
Threshold: Compliance to the standard requirement is assessed based on a
specific objective to be met, which is made explicit in the standard document.
Scoring: Compliance to the standard requirement is assessed based on a
scoring system against which auditors are working.
Traffic light system: Compliance to the standard requirement is based on
traffic light set of indicators: « Red » / « Orange » / « Green » that indicate
good or bad practices and provide guidance to improve business practices
over time.

Free Access to users from developing countries
Thanks to financial contributions from ITC's Global Trust Fund
and the World Bank, all users from developing countries and
territories may access ITC's market analysis tools free of charge.
http://www.standardsmap.org
http://www.intracen.org/marketanalysis

Practical Exercise on TRADE MAP
A. PRODUCT ANALYSIS
IDENTIFYING THE HS OF THE PRODUCT
Identify the harmonized system code of the product you want to focus on.
1. Name of the product: _________________________________________________________
2. Provide the harmonised system (HS) code for both the product group and product in
question
Note: To avoid ambiguities throughout your analysis, it is important to ensure that the
description and corresponding trade classification, or tariff code is correct.
4-digit HS:
6-digit HS:
Note: In the selection menu of Trade Map, click on Advanced Search. You can search by
keyword the corresponding HS code of the product using one or several keywords through
the HS label at 2,4,6 digits level of the Harmonized system and at the national tariff line level.
3. Provide the national tariff line code of the product (NTL) for the exporting country (indicate
if several):
NTL code:
NTL code:
NTL code:
4. Provide the national tariff line code of the product (NTL) for USA (indicate if several):
NTL code:
NTL code:
NTL code:
5. Is there any information provided at the NTL lines of the exporter or for the US
Note:

Practical exercice
ANALYZE WORLD TRADE FOR YOUR SELECTED PRODUCT
6. How much in total of this product is imported in the world
US$: ____________ Quantity: ____________ tons/units
Note: In Trade Map, Select the product for which you want to do market research. Select
“Imports” and then click on Trade Indicators
7. Have the world imports grown or declined between 2005 and 2009
Your answer:
8. Approximately how many countries import and export the selected product
Note: To find out, you need to export the table into Excel or click on “300 rows per page” on
the top right end corner of the table to count the total number of importing and exporting
countries.
Your answer:
9. Does the unit value vary significantly for your product from country to country If yes,
account for the reasons that could explain the disparities above.
Your answer:
Note: This unit value is calculated by dividing the total import value by the total import
quantity.
10. Is there a difference between the world’s growth rate in value and world’s growth rate in
quantity Explain what this difference could mean.
Your answer
11. Which countries are the 3 largest importers (in value in 2008) of the product
Ranking Importers Share in World Imports, %
1
2
3

Practical exercice
12. What share of world total imports do the 3 main importers make up together ____%
13. Does this indicate that the world demand for this product is concentrated
YES or NO
14. Which countries are the 3 largest exporters (in value in 2008) of this product What is the
value of their exports
Ranking Exporters Share in World Exports, %
1
2
3
15. What share of world total exports do the 3 main exporters make up together
____%
16. Does this indicate that the world supply for this product is concentrated
YES or NO
CHOOSE AN EXPORTING COUNTRY AND TRADE PERFORMANCE FOR YOUR
SELECTED PRODUCT
17. Does the country already export this product YES or NO
18. If yes, what is the country’s ranking in world exports and world market share of this
product
Ranking: ____________ World Market Share: ____________
19. How much in total of this product is exported by this country to the world
US$ Value: ____________ US$ Quantity: ____________ tons/units
Note: To easily find your country among all countries listed, click twice on the title of the
column entitled “Importers”. The list of countries will no longer be sorted by “Value imported
in 2008”. It will be sorted alphabetically. Don’t forget that if your country is not listed on the
first page, you can click on the numbers “1 2 3 4…” underlined on the top right hand side of
the table. Once you have found the answer to this question, click on the title “Value imported
in 2008” to sort data again.
20. Have the exports grown or declined between 2005 and 2009
Explain your reasoning:
21. Is the exporting country GAINING or LOSING market share in the world market
Explain your reasoning:

Practical exercice
Note: compare the growth rate of your country to the world export’s growth rate.
22. What are the three biggest importers of the exporting country (in US$ value) in 2009
1. __________________ 2. __________________ 3. __________________
Note: Click on the name of your country or go back to the selection menu, enter the name of
your country in the country search box and select when it appears in the drop down menu.
Submit with “Trade Indicators”. Trade Map should show the list of importing countries of your
product.
ANALYZE YOUR CHOSEN COUNTRY’S TRADE PERFORMANCE FOR YOUR
SELECTED PRODUCT IN THE US
23. Is the US among of the importing countries
24. YES (go to question 25) or NO (go directly to question 26)
25. If yes, how much the US has imported in 2009
US$: ___________ Quantity: ____________ tons/units
26. Is the exporting country GAINING or LOSING market share in the US market
Explain your reasoning:
27. Who are the three biggest exporters to the US market in 2009
1. __________________ 2. __________________ 3. __________________
28. Have the US’ imports grown or declined between 2008 and 2009
Explain your reasoning
Note: Look at the first row of the table “List of supplying markets for the product imported by
the US in 2009”.
29. What happened between 2009 and 2010
Explain your reasoning
Note: Click on Times Series
30. Investigate the US market at the most detailed product level of import trade statistics, the
national tariff line level (NTL) to identify possible product specification and refine your
analysis by using the most appropriate NTL.
Describe the differences between NTL.
Note: Click in “other criteria”, by product.

Practical exercice
31. Examine import seasonal variation of the product at the tariff line level between 2005 and
2010.
Comments:
Note: You can use graphs to analyse seasonality. Go back to the view by Country. In “Other
criteria”, click on monthly or quarterly data, and then click on graph, and tick the box “Show
world data”.
SCREEN GLOBAL MARKET
Note: Go back to the table with the Total World Imports of your products (List of importers for
the selected product in 2009).
32. Which importing countries have the highest imported value in 2009 for each region And
what are their respective annual growth rates in value and in quantity between 2005 and
2009
Note: By clicking on “Country group”, you can directly select the region.
Importing
country
Imported value in
2009 (millions USD)
Annual growth in
value between 2005-
2009, %”
Annual growth in
quantity between
2005-2009, %”
In Asia
1
2
In Europe
1
2
In Africa
1
2
In Latin America
1
2

Practical exercice
33. Which countries would you consider as potential markets Are there any new/other
interesting importing markets besides the main global importers
Your answer
SELECTING ATTRACTIVE MARKETS
34. Which are two potential attractive markets for exporting this product
Note: Do not choose these markets only on the basis of the size of the importing market and
dynamism, or because the country already exports to those current markets but take also
into account other parameters such proximity, cultural similarities, trends etc.
You can gather the relevant key indicators in one table as below according to your own
analysis. Don’t hesitate to adapt the table to your needs and add other indicators.
Target
Country
Value
Imported
(million
$)
Unit Value
(US$/unit)
World
Market
Share
(%)
Annual
Growth Rate
in value
2005-09 (%)
Annual Growth
Rate in
quantity
2005-09 (%)
Other criteria
(Market size,
Consumption,
Distance...etc)
A
United
States
B
C
Comments:
35. Who would be your main competitors in these countries and why
Note: In Trade Map, click on each country, and identify three countries who you feel are
your main competitors and explain why. You should formalise this opinion not only based on
all the indicators provided in Trade Map (unit values, annual growth, trends and tariffs), but
also on your prior knowledge of the situation. Don’t hesitate to adapt the table to your need.

Practical exercice
Target Country
Your country’s main competitors in target market
1
A
United States
2
3
1
B
2
C
3
1
2
3

Practical exercice
B. COUNTRY ANALYSIS - ANALYSING TRADE PERFORMANCE
EXPORT AND IMPORT PRODUCTS COMPOSITION AND PERFORMANCE
Note: On the Main Selection Menu, click on the search box next to “Country”. As you do
this, a drop down menu appears. Type the name of the exporting country you’ve selected in
the search box. Once you see the appropriate country name appearing in the drop down
menu, click on it to select it. Then select, “Exports” and “Trade Indicators”. Leave the product
box as blank, by default it represent “TOTAL-All products”.
36. Is the country GAINING or LOSING market share in the world market
37. What is the annual growth of total world imports for all products in value between 2005 and
2009 _______
38. What is the annual growth of total export of the country between 2005 and 2009 _______
39. Was the total value of exports of the country MORE or LESS dynamic than the import world
average between 2005 and 2009
40. Explain you reasoning: __________________________________________________
_____________________________________________________________________________
41. What can we conclude ________________________________________________________
_____________________________________________________________________________
42. What are the top three export/imported products in value in 2009 at the 2-digit level and at
the 6-digit-level
Note: Rather than having the “Products at 2 digits” under the secondary selection menu,
select “Products at 6 digits”. This generates a table providing information on the top exports
at the 6-digit level. In the secondary menu, in the line “Other criteria”, you can easily switch
from import to export.
EXPORTS
IMPORTS
HS-2 Product name HS-2 Product name
1 1
2 2
3 3
HS-6 Product name HS-6 Product name
1 1
2 2
3 3

Practical exercice
43. In the top 10 exported sectors at the HS-2 digit level, which sectors have gained market
share in the world market
Your answer: list export sectors (HS-2 digit):
44. Which of those sectors would you consider as dynamic
Your answer: list export sectors HS-2 digit:
Note: Compare the annual growth of total world imports in value between 2005 and 2009 of
each sector to the annual growth of total world imports in value between 2005 and 2009
(question 43)
45. Compare your result with the bubble graph “Bubble graph on Country X’s export growth
vs. World Import Growth”.
46. Using the “Bubble graph on Country X’s export growth vs. World Import Growth”, identify
which exported product at the HS-2 digit level (among the top 20 exported in value) could
be considered as “winners in growing sectors”.
Your answer: list export sectors HS-2 digit:
Note: Create the “Bubble graph on Country X’s export growth vs. World Import Growth”. You
need to select in “other criteria”: “Exports”, “Trade Indicators”, by product” and “the same
level (2-digit)”. Identify the sectors in top right quadrant “Winners in Growing Sectors” and
compare the list of sectors with the results of question 44.
DESTINATION OF EXPORTS AND ORIGIN OF IMPORTS
47. Which countries are the primary export markets/main suppliers (in value) for all products
IMPORTERS
SUPPLIERS
1 1
2 2
3 3
Note: Under the Secondary Selection Menu, in the line “other criteria, select “by country”.
Trade Map shows you the country’s trade with the rest of the world for all products.

Practical exercice
48. Export mapping: create a map to illustrate the list of importing markets for all products
exported by the selected country in 2009.
Your answer: insert the map here
Note: Click on the tab “Map”, and then do a “print-screen” to insert the map into the Word
format.
Comments about the map:
Interesting: by selecting different types of first and second trade indicators and using the
zoom function, you can easily illustrate which country are the main importing countries in
terms of value and dynamism.
49. Export Dynamism: create a graph to illustrate the import dynamism of the top ten importing
markets for all the products exported by the selected country in 2009.
Your answer: insert the graph here
Note: Click on the tab “Table”, then select the Bar chart on exported value. Insert the bar
chart into the Word format.
Comments about the bar chart:
Interesting: by selecting different type of first and second trade indicators, you can easily
illustrate which countries are the main importing countries in terms of value and dynamism.
50. Export Concentration: create the bubble graph on “Prospect for market diversification” to
illustrate the share in the country’s total exports of the top 20 importing countries
compared to their overall import dynamism.
Your answer: insert the bubble graph here
Comments about the map:

Practical exercice
51. Potential for export destination diversification: create the “Bubble graph on Country X
export growth vs. Partner import growth“ to identify among the top 20 importing countries
in value the most dynamic importing countries in which Country X is gaining market share.
Your answer: insert the bubble graph here
Comments about the map:
52. Identify one attractive importing market considered as a “dynamic market” and in which
the country is gaining market share:
Name of the country: ________________________________________________________
Annual growth of Country X’s exports to the partner countries between 2005 and 2009:
_________
Annual growth of partner countries’ imports from the world between 2005 and 2009: __ ____
ANALYSE TRADE BETWEEN TWO COUNTRIES
55. When analysing trade between two countries Trade Map allows you to
simultaneously see for each product:
(1) The actual trade between the two countries;
(2) How much the importing country imports from the world.
(3) How much the exporting country exports to the world;
Note: These three items shown together give a rough estimate of how much the two
countries could “theoretically” trade, by putting the total demand and total export capacity in
isolation. For example:
53. Assess the trade situation concerning the country’s exports to the most attractive market
selected above (in question 54) for all products exported.
Note: Under the Main Selection Menu, under the “Country” field, enter the name of the
exporting country and click on it to validate your entry. Under “Partner”, follow the same
procedure to select the attractive market. Make sure you have selected Exports and then
click on Trade Indicators. Make sure you have cancelled the product selection.
54. Which is the most important sector in value in 2009 (HS-2 digit) exported by the country to
the attractive market
HS-2 digit: ________ Sector Name:________ Exported value in 2009:_______________

Practical exercice
55. Which is the most important sector in value in 2009 (HS-2 digit) imported by the attractive
market from the world
HS-2 digit: _________ Sector Name:__________ Exported value in 2009:_______________
Note: click on the title on the Value in 2009 under “Attractive country’s imports from world”
(fifth column) to rank the imported value in descending order.
56. Which is the most important sector in value in 2009 (HS-2 digit) exported by the exporting
country to the world
HS-2 digit: _________ Sector Name: _________ Exported value in 2009:_______________
Note: Click on the title on the Value in 2009 under “Exporting country’s exports to world”
(eight column) to rank the exported value in descending order.
Identify indicative potential trade between two countries:
Note: In the table showing Bilateral trade between the Exporting country and the selected
attractive country in 2009, click on “Product cluster at 6-digit” in the row “other criteria”.
A new column will appear to the right of the table, “Indicative potential trade, USD thousand”.
The indicative potential trade has been computed based on the following logic, which is valid
for each six-digit product:
- The supply capacity is represented by the exports of the selected country to the world.
- The demand is represented by the imports of the selected partner country from the world.
- Trade potential is defined as the lower of the value between a selected country exports to
the world or the value the partner country imports from the world minus the current trade
between the two countries under review.
The trade potential is indicative only and serves as a departure point for further research. It
gives an overview of the complementarities of the two economies.
Only the positive values of the potential trade are displayed. Indeed there could be a
negative result in case the data of the two selected countries are in conflict (in the case
where a country reports a bilateral trade value greater than the unilateral trade value (i.e.
with the entire world) reported by the partner country).
57. For which products (HS-6 digit) the two countries present indicative potential trade
List the five first products (HS-6 digit with the highest indicative potential trade):
58.
Comments about the results:

Practical exercice
59. Select a product for which there scope for increase exports to the attractive market
HS-6 digit: ______________ Name: _______________ Exported value in
2009:_______________
Note: The product has to present a relatively important indicative potential trade and also an
existing export value which demonstrates the exporting country’s competitiveness in the
market.
60. To what other countries does the exporting country export the selected product (in
question above)
Note: Click on of the line of product (HS-6 digit) in the part “Exporting country’s exports
to the world”; you can view where the country is exporting to.
__________________________________________________________________________
__________________________________________________________________________

Practical Exercise on MARKET ACCES MAP
We suggest you visit the “Glossary” “User Guide” “Methodology” “Useful Links” and “Data
Availability” (all located under the menu item “Reference Material”). In the Glossary you will
find a number of tariff terms explained. The Data Availability page explains how often the
data in Market Access Map is updated and the Useful Links page has links to other
information sources, for example on non-tariff barriers.
MODULE QUICK SEARCH – TARIFF SEARCH
61. Identify the tariff applied by the US to the selected product originating from the exporting
country.
Note: When you first enter the Market Access Map application, the Quick Search Tariff
Search module will be open. Next to the heading “Select Importing Country” type only the
first three letters of the country name i.e. “uni” in the selection box. Notice how those
countries starting with the letters “uni” appear in the drop-down menu box below. Select the
“United States” by clicking on it in the drop-down box. It will appear in full in the selection
box. If you simply type the full name of a country but forget to then select the match from the
drop-down menu, the database will not recognise what you have typed.
Practice using the HS code of the selected product at the most detailed level - the
national tariff line identified in question 4.
Note: The one for HS Level 6 is automatically pre-selected. Select instead the button for
“National Tariff Line Code”. Then type the name of your product into the product selection
box. Wait a few moments for the system to load the product nomenclature, and then click on
the matching product that appears in the drop-down menu box below.
Important: the HS code used for trade statistics and the HS code used for the tariff can be
different as the revision used in Trade Ma to harmonize all data is Rev 2002 whereas other
country can report their tariff in different revisions, including the most recent 2007 revision.
NTL
code
Trade Regime
Original tariff applied
by the US
Total Ad Valorem
Equivalent (estimated)
62. What is the lowest tariff applied by the US to the exporting country and the name of the
related trade regime
Comments:

Practical exercice
63. What is the highest tariff rate applied by the US to imports of the selected product
originating from the world
Trade Regime Description: ______________________ Highest Tariff Rate: _____
Note: Click on “New Search”. Select the importing country as “United States”. Select the
product code at the NTL”. Leave the exporting country blank. Then click “Proceed”. You will
see a table with all the possible tariffs applied by the US to imports of this product. By
clicking on the numbers in the top right-hand corner of the table, you can view the other
pages of the table.
MODULE QUICK SEARCH – TRADE REGIMES & RULES OF ORIGIN
64. Does the exporting country benefit from other types of trade(s) agreement(s) for any other
exported products with other importing countries
YES o NO
65. How many trade agreements can you identify
Comments:
Note: Under “Quick search”, in the selection menu of the second tab “Trade regime & Rules
of Origin”, select the exporting country as the exporter. Do not select an importing country.
Click “Proceed”.
Identify tariff advantages in attractive markets
66. Identify the lowest tariffs applied and corresponding trade regimes that your country faces
in the three attractive markets identified in the last section (question 35)
Note: Login to Market Access Map at www.macmap.org
Use the tab “Quick search” to look for all the trade regimes (MFN tariff and preferential
regimes) applied by one country to any other country and the corresponding rules and
certificates of origin. Select only the importing country, you will see all trade regimes applied
by that country to the rest of the world. If you select only the exporting country, you will see
all trade regimes faced by that country when it exports to the rest of the world
Target Country Trade Regime Lowest Tariffs applied
A
United States
B
C

Practical exercice
MODULE COMPARE TARIFFS
Compare ad valorem equivalent (AVE) tariffs that different markets apply to the
selected product exported by the country
67. What is the highest total ad valorem equivalent (AVE) tariff faced by the exporting country
for the selected product and which country applies this tariff
Country: ___________ AVE Tariff the country applies to the exporting country: _________ %
Note: Click on the tab “Compare Tariffs and Trade”. Select “the exporting country” as the
exporter. Select the product at the HS-6 digit level. You can find the product by either typing
the product code or name. Then select the match that appears in the drop-down menu. Click
“Proceed”. You get a table showing all importing countries starting with “Albania”. If you click
on the heading of the last second column “Level of Protection”, the table will be sorted
showing countries applying the lowest rate of protection first. If you click on the heading of
the column a second time, the table will be sorted showing countries applying the highest
rate of protection first. If you click on the icon representing a map, the results will be
displayed on a world map.
68. Then compare the AVE tariff rates applied by the three attractive markets to the exporting
and its main competitors (identified in question 35):
Target
Country
Tariffs Ad
Valorem
Equivalent faced
by the exporting
country
Competitors
Tariffs Ad
Valorem
Equivalent
faced by
competitors
AVE faced by
exporting
MINUS
AVE faced by
competitors
A United
States
1.
2.
3.
1.
B
2.
3.
1.
C
2.
3.
Note: Click on the tab “Compare Tariffs, select as the importer one of the three attractive
markets identified in question 35. Select the product at the HS-6 digit. You will then get a
table showing all exporting countries starting with “Albania”. Scroll down until you identify the
names of the exporting country and the three main competitors in the attractive markets (also
identified in question 35).

Practical exercice
69. Is the tariff Ad Valorem Equivalent faced by the exporting country in the US different from
the tariff identified at the national tariff line level in the US, in question 63 YES o NO
If YES, why
If NO, could it be different
Comments:
70. Do you have tariff advantages/disadvantages vis a vis your main competitors in the three
target markets
Comments:
COUNTRY ANALYSIS
In this module you can create a variety of tariff and trade reports on a country specific basis.
Compare the average tariffs applied by different countries.
71. What are the average tariffs applied by France, Japan and the USA to: all products;
agricultural products; and industrial products
Note: Open the “Country Analysis” module by clicking on it. It will become yellow. Select the
country “France” from the drop-down list of countries. Click on the button located next to the
heading “Average tariff applied by the country”. Click “Proceed”. The average tariffs applied
by France to imported products will be displayed. To view other countries, it is not necessary
to perform a new search. Just select the new country from the drop-down list and click on the
button “change”.
The average tariff applied by:
France: all products = _____%; agricultural products = _____%; industrial products =
_____%;
Japan: all products = _____%; agricultural products = _____%; industrial products =
_____%;
USA: all products = _____%; agricultural products = _____%; industrial products =
_____%;

Practical Exercise on INVESTMENT MAP
Note: Please consider that not all types of data are available for all countries. As a result,
you may not be able to respond to all questions. Hence, if some information is not available
for a particular question, just leave the answer blank.
COUNTRY SELECTION
72. Select the country you would like to do your analysis on
Note: When you log into the Investment Map portal you will see four modules, each of which
are indicated by a tab at the top of the page. By default, you will be directed to the first
module: “inward investment”. Select a country to analyze in the scroll down menu.
Country: ______________________
INTRODUCTION TO FDI DATA
Consider FDI global trends and characteristics for the country you selected:
Note: Please note that not all countries have reported their data for 2009 yet, therefore
throughout this exercise, we will look at the last year for which data is available.
73. How much FDI has this country attracted in the last available year
Growth in value in US$:
____________
74. Indicate last year’s total inward stock
Note: Inflows refer to the total amount of FDI undertaken over a given year whereas inward
stock is the total accumulated value of foreign-owned assets over a given year.
Value in US$: ____________
75. Has FDI grown or declined on a yearly basis since 2006
Value in %:
____________
76. How many foreign affiliates are established in the selected country Also, indicate the
number of parent companies.
______________ foreign affiliates and ____________ parent companies
77. What is your interpretation
Note: Respond to this question in the light of the answers to questions 72 and 76.
____________________________________________________________________________
____________________________________________________________________________

Practical exercice
ANALYSE SECTORS WHICH HAVE A POTENTIAL TO ATTRACT INVESTMENT
Identify industrial sectors for inward investment.
Note: Continue to base your research on the country you selected in question 74.
78. Which are the top three industrial sectors that have attracted the most investment in the
last year for which data is available Please also indicate the exports’ and imports’ values
for each industry, if they are available. For tertiary sectors trade data will not be available.
Note: By default, economic activities (or industries) are ranked in descending order
according to the amount of inward investment flows. Therefore, for the country which you
have selected, the industries that have attracted the most foreign investment in the last year
are displayed at the top of your screen.
Industry Inflows in $US Exports in $US Imports in $US
1.
2.
3.
79. What type of activity (primary in yellow, secondary in blue, tertiary in pink) has attracted
the most investment in the last year for which data is available Please also indicate
exports’ and imports’ values for each type of activity.
Note: You can analyze the information at the aggregate level, by type of activity (primary in
yellow, secondary in blue, services in pink) by clicking on the sign “+” at the top of the left
column.
Type of activity Inflows in $US Exports in $US
Imports in
$US
Primary
Secondary
Tertiary
80. Which industrial sectors have exported the most Please also indicate inflows’ values for
each industry.
Note: Press the back button once. You can also sort the industries by different criteria (e.g.
exports, number of foreign affiliates etc), by clicking on the arrow located next to the
columns’ title which you want to rank. To answer this question, please click on the arrow
related to exports.

Practical exercice
Industry Export in $US Inflow $US
81. Are FDI inflows concentrated in this country
Note: To answer this question, please refer to the number of industries which have attracted
FDI in your country and their respective shares of total FDI.
__________________________________________________________________________
__________________________________________________________________________
__________________________________________________________________________
82. Are the exports of this country concentrated Are these exports emanating from industries
attracting the most FDI flows
Note: To answer this question, please refer to the export value.
__________________________________________________________________________
__________________________________________________________________________
__________________________________________________________________________
83. Consider the number of foreign affiliates for these industries Please also indicate both
inflows’ and exports’ values.
Note: To sort the industries by number of foreign affiliates click on the arrow at the top of the
column or on the link “number” located next to the arrow.
Industry
Number of
Foreign
Affiliates
Inflows in
$US
Exports in
$US
1.
2.
3.
84. What can you conclude from the historical data between FDI and trade flows
Note: To answer this question look at and compare the evolution of both Exports and FDI
growth and see if there is evidence of an emerging pattern.
__________________________________________________________________________
__________________________________________________________________________

Practical exercice
HAVE ACCESS TO MICRO LEVEL INFORMATION
Identify and find information on the companies established in the country you have
selected.
Note: Although not exhaustive, this data is a useful complement to the data on FDI (see data
limitations).
85. Which Multinational Corporations (MNC) have majority-owned foreign affiliates in industry
A
Note: Click on the “+” sign on the “Foreign Affiliates” heading, information on the activities of
foreign affiliates located in the country is presented. The second column from the right shows
the list of the leading parent companies for each industry. After clicking on the name of an
industry’s leading parent company, you obtain a list showing all of the parent companies with
affiliates in the country for that specific industry.
Leading parent companies for Industry A
1.
2.
3.
4.
5.
Parent country
Number of
affiliates
86. What can you tell about the concentration of the source of FDI in industry A
Note: To answer this question, look at the country of origin of the main parent companies
and see whether the FDI is concentrated. E.g. if 80% of FDI comes from only 2 sources, it is
indeed concentrated.
__________________________________________________________________________
__________________________________________________________________________
87. Write specific details for the leading foreign affiliate in the country for industry A.

Practical exercice
Note: You can view even more details on each affiliate of the selected parent company by
clicking on that affiliate.