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International Trade in Services.pdf - DSpace at Khazar University

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324 <strong>Intern<strong>at</strong>ional</strong> <strong>Trade</strong> <strong>in</strong> <strong>Services</strong><br />

Table 10.2. Evolution of the Global Environmental Industry, by Region or Country,<br />

2000–06<br />

Compound<br />

2000 2006 annual growth<br />

(US$, (US$, 2000 2006 r<strong>at</strong>e, 2000–06<br />

Region or country billions) billions) (%) (%) (%)<br />

United St<strong>at</strong>es 197.7 271.2 37.9 39.2 5.41<br />

Western Europe 156.0 189.1 29.9 27.3 3.26<br />

Japan 90.7 102.6 17.4 14.8 2.08<br />

Australia, New Zealand 8.5 10.8 1.6 1.6 4.07<br />

Canada 13.6 18.9 2.6 2.7 5.64<br />

Developed countries 466.5 592.6 89.3 85.7 4.07<br />

Central and Eastern Europe 9.4 15.7 1.8 2.3 8.93<br />

Mexico 2.3 5.1 0.4 0.7 14.19<br />

Rest of L<strong>at</strong><strong>in</strong> America 9.4 14.0 1.8 2.0 6.86<br />

Rest of Asia 24.6 46.7 4.7 6.8 11.27<br />

Middle East 6.6 11.3 1.3 1.6 9.38<br />

Africa 3.4 6.5 0.7 0.9 11.41<br />

Develop<strong>in</strong>g countries 55.7 99.3 10.7 14.4 10.12<br />

Total 522.2 691.8 100.0 100.0 4.80<br />

Source: D<strong>at</strong>a of Environmental Bus<strong>in</strong>ess <strong>Intern<strong>at</strong>ional</strong>.<br />

average growth r<strong>at</strong>e recorded by developed countries. This evolution can be<br />

expla<strong>in</strong>ed, on the one hand, by the m<strong>at</strong>urity of environmental markets <strong>in</strong> developed<br />

countries and, on the other hand, by the st<strong>at</strong>e of environmental degrad<strong>at</strong>ion,<br />

the move toward efficiency <strong>in</strong> energy and resource use, and the implement<strong>at</strong>ion of<br />

better environmental regul<strong>at</strong>ion <strong>in</strong> develop<strong>in</strong>g countries (box 10.2).<br />

Driven ma<strong>in</strong>ly by the need for massive <strong>in</strong>vestments to improve environmental<br />

<strong>in</strong>frastructure, develop<strong>in</strong>g countries are expected to enjoy high r<strong>at</strong>es of growth <strong>in</strong><br />

areas such as w<strong>at</strong>er and wastew<strong>at</strong>er tre<strong>at</strong>ment, waste management, air pollution<br />

control, and environmental monitor<strong>in</strong>g and <strong>in</strong>strument<strong>at</strong>ion. As these economies<br />

grow and become more advanced, there will be additional demand for cleaner<br />

technologies, renewable energy, the remedi<strong>at</strong>ion of contam<strong>in</strong><strong>at</strong>ed land, and environmental<br />

consultancy.<br />

Developed countries are expected to see higher growth r<strong>at</strong>es <strong>in</strong> areas such as<br />

cleaner technologies and processes, renewable energy, energy management, waste<br />

management, and environmental consult<strong>in</strong>g services. The ma<strong>in</strong> driver of this<br />

development is the shift <strong>in</strong> policy toward encouragement for <strong>in</strong>tegr<strong>at</strong>ed pollution<br />

control techniques r<strong>at</strong>her than reliance on end-of-pipe solutions, and there is also<br />

recognition of the need for a fundamental step <strong>in</strong> resource productivity to address<br />

global environmental issues such as clim<strong>at</strong>e change, resource depletion, and waste<br />

gener<strong>at</strong>ion.

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