Easing Trade Bottlenecks of Landlocked Developing Countries

Without direct access to a sea or ocean and isolated from the world’s largest markets, landlocked developing countries (LLDCs) face many challenges to integrate into global supply chains. This report identifies specific trade bottlenecks in LLDCs, which have increased trading costs, lengthened the time to process goods at the border and restricted the movement of goods across borders. Compounded by the devastating effect of the COVID-19 pandemic, LLDCs have seen trade decline more sharply and for longer than the rest of the world. The report demonstrates the vital role the WTO Trade Facilitation Agreement (TFA) can play in boosting output and facilitating world trade by simplifying, modernizing and harmonizing the movement, release and clearance of goods. Participation in the TFA can broaden the opportunities for developing countries – and LLDCs in particular – to participate more fully in global value chains. The report concludes with recommendations on the steps that LLDCs, neighbouring transit countries and international organizations can undertake to ease trade bottlenecks to keep trade flowing smoothly and to make trade more inclusive.