World Bank2014-01-082014-01-082013-05-07https://hdl.handle.net/10986/16530Cameroon and Nigeria share a common border of nearly 1,700km and both countries have strong historical and cultural ties. However, the partnership between the two countries has had its difficult periods, most recently when the relationship turned hostile over the disputed Bakassi Peninsula, and economic linkages between the economies remain limited. Expanding trade between the two countries could play a critical role in accelerating economic development and regional integration by opening up new markets for producers, and allowing them to benefit from economies of scale. This will require reducing barriers to cross-border trade, allowing increased trade flows to reach the larger market, and permitting private sector producers to increase the scale of their activities. Removing barriers to trade between the two neighbors is likely to benefit particularly relatively remote areas of both countries. The study finds that regulatory and security barriers at the border and along the road remain key impediments to trade. The remainder of this report proceeds as follows. Section one describes drivers for cross border trade such as historical relations, economic factors, and the policy environment. The next section describes the reality of trade flows by describing existing trade corridors and estimating current trade flows. Section three describes how goods are actually traded across borders between the two countries, and how different actors are involved. Section four describes the barriers to trade, and identifies which barriers are most important. Section five describes the potential for increasing trade. Section six summarizes the findings and presents prioritized recommendations for policy reform.en-USCC BY 3.0 IGOACCESS TO INFORMATIONACCESSIBILITYAGRICULTURAL OUTPUTAGRICULTURAL PRODUCTIONAGRICULTURAL PRODUCTSAGRICULTUREARBITRAGEAUTOMOBILEAVERAGE PRODUCTION COSTSBARRIERS TO TRADEBENCHMARKINGBICYCLESBILATERAL AGREEMENTBILATERAL TRADEBORDER CROSSINGBORDER CROSSINGSBUSCARSCASE-BY-CASE BASISCLIMATIC CONDITIONSCOLLUSIONCOMPARATIVE ADVANTAGECOMPETITIVENESSCONSUMERSCOUNTERVAILING POWERCROSS-BORDER TRADECROSS-BORDER TRANSACTIONSCUSTOMSCUSTOMS BROKERSCUSTOMS CLEARANCECUSTOMS DUTIESCUSTOMS OFFICERSCUSTOMS OFFICESCUSTOMS OFFICIALSCUSTOMS OFFICIALS CLAIMCUSTOMS PROCEDURESCUSTOMS VALUATIONDOMESTIC INDUSTRIESDOMESTIC PRICEDOMESTIC SUBSIDIESDOMESTIC TRADEDOMESTIC TRANSPORTDRIVERSECONOMIC ACTIVITYECONOMIC DEVELOPMENTECONOMIC FACTORSECONOMIC GROUPINGSECONOMIC INTEGRATIONECONOMIC OUTCOMESECONOMIES OF SCALEELECTRICITY GENERATIONENFORCEMENT MECHANISMSEXCHANGE RATEEXPORT BANSEXPORT RESTRICTIONSEXPORTSEXTERNAL TARIFFFISHFLOW OF TRAFFICFREE MOVEMENT OF GOODSFREE TRADEFREE TRADE AREAFREE TRADE ZONEFREIGHTFREIGHT FORWARDERSFUELGASOLINEGROSS MARGINHIGH TRANSPORTHIGH UNEMPLOYMENTHIGHWAYHIGHWAY PATROLIMPORT BANSIMPORT DATAIMPORT PROCEDURESIMPORT PROHIBITIONIMPORT STATISTICSIMPORT TAXIMPORTSINCOMEINCOME LEVELSINSPECTIONINTEGRATION PROCESSESINTERMEDIATE INPUTSINTERNAL TRADEINTERNATIONAL COMMUNITYINTERNATIONAL MARKETSINTERNATIONAL TRADEINVESTMENT IN ROADSLEGAL RIGHTSLOBBYINGMARKET ACCESSMARKET PRICESNATIONAL TRANSPORTNATURAL RESOURCE BASENON-TARIFF BARRIERSOILOUTSOURCINGOVERVALUATIONPASSENGERSPERSONAL VEHICLESPETROLEUM PRODUCTSPOLICEPOLICY MAKERSPOLITICAL ECONOMYPOPULATION DENSITYPREFERENTIAL TRADEPREFERENTIAL TRADE AGREEMENTPRICE DIFFERENCESPRODUCERSPRODUCTION COSTSPROFIT MARGINPROFIT MARGINSPROTECTIONISMPROTECTIONISTQUALITY STANDARDSQUANTITATIVE RESTRICTIONSREAL INCOMEREGIONAL INTEGRATIONREGIONAL LEVELREGIONAL TRADEROADROAD CONDITIONSROAD IMPROVEMENTSROAD USERSROUTEROUTESRULE OF LAWRULES OF ORIGINSAFETYSHOPSTARIFF RATESTARIFF STRUCTURETAXTIMBERTRADE FLOWSTRADE INTEGRATIONTRADE LIBERALIZATIONTRADE PATTERNSTRADE POLICIESTRADE POLICYTRADE POLICY ENVIRONMENTTRADE POLICY REVIEWTRADE PROTECTIONTRADE REGIMETRADE RELATIONSHIPTRADE RELATIONSHIPSTRADE TAXESTRAFFICTRANSACTION COSTSTRANSACTIONS COSTSTRANSITTRANSIT TRADETRANSPARENCYTRANSPORT ACTIVITYTRANSPORT CORRIDORSTRANSPORT COSTSTRANSPORT FACILITATIONTRANSPORT POLICIESTRANSPORT SERVICETRANSPORT SERVICE PROVIDERSTRANSPORTATIONTRANSPORTATION COSTSTRANSPORTATION INFRASTRUCTURETRANSPORTSTRAVEL TIMETRIPTRIPSTRUCKSUNEMPLOYMENTVEHICLEWEATHER PATTERNSWORLD MARKETWORLD TRADEWORLD TRADE ORGANISATIONWTOWorld Bank10.1596/16530