All These Worlds Are Yours, Except India : The Effectiveness of Export Subsidies in Nepal

This paper evaluates the effect on firm-level export outcomes of the Cash Incentive Scheme for Exports program provided by the Government of Nepal. The analysis utilizes customs-level data for 2011-14, combined with information on the subsidy payme...

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Main Authors: Defever, Fabrice, Reyes, Jose Daniel, Riano, Alejandro, Varela, Gonzalo
Format: Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2017
Subjects:
Online Access:http://documents.worldbank.org/curated/en/698681490020512516/All-these-worlds-are-yours-except-India-the-effectiveness-of-export-subsidies-in-Nepal
http://hdl.handle.net/10986/26350
id okr-10986-26350
recordtype oai_dc
spelling okr-10986-263502021-06-08T14:42:48Z All These Worlds Are Yours, Except India : The Effectiveness of Export Subsidies in Nepal Defever, Fabrice Reyes, Jose Daniel Riano, Alejandro Varela, Gonzalo EXPORT COMPETITIVENESS SUBSIDIES EXPORT SUBSIDIES EXPORT DIVERSIFICATION TRADE POLICY PERFORMANCE REQUIREMENTS INCENTIVE SCHEME This paper evaluates the effect on firm-level export outcomes of the Cash Incentive Scheme for Exports program provided by the Government of Nepal. The analysis utilizes customs-level data for 2011-14, combined with information on the subsidy payments made to individual firms provided by the Central Bank of Nepal. The Cash Incentive Scheme for Exports cash subsidy is available to firms exporting a select group of products, and requires firms to export to countries other than India. Overall, the subsidy has not produced a significant impact on firm-level export values, prices, quantities, or their growth rates. However, the study finds a small positive effect on the number of eligible products exported to countries other than India and the number of destination markets reached among firms that receive the subsidy. These results are consistent with the fact that the subsidy was granted primarily to large exporters that were already shipping eligible products to countries other than India. The findings suggest that although the cash subsidy has not produced a significant increase in exports, it has achieved a positive impact on export diversification for firms that were already satisfying the scheme's eligibility criteria. 2017-04-13T14:55:30Z 2017-04-13T14:55:30Z 2017-03 Working Paper http://documents.worldbank.org/curated/en/698681490020512516/All-these-worlds-are-yours-except-India-the-effectiveness-of-export-subsidies-in-Nepal http://hdl.handle.net/10986/26350 English en_US Policy Research Working Paper;No. 8009 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper South Asia
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic EXPORT COMPETITIVENESS
SUBSIDIES
EXPORT SUBSIDIES
EXPORT DIVERSIFICATION
TRADE POLICY
PERFORMANCE REQUIREMENTS
INCENTIVE SCHEME
spellingShingle EXPORT COMPETITIVENESS
SUBSIDIES
EXPORT SUBSIDIES
EXPORT DIVERSIFICATION
TRADE POLICY
PERFORMANCE REQUIREMENTS
INCENTIVE SCHEME
Defever, Fabrice
Reyes, Jose Daniel
Riano, Alejandro
Varela, Gonzalo
All These Worlds Are Yours, Except India : The Effectiveness of Export Subsidies in Nepal
geographic_facet South Asia
relation Policy Research Working Paper;No. 8009
description This paper evaluates the effect on firm-level export outcomes of the Cash Incentive Scheme for Exports program provided by the Government of Nepal. The analysis utilizes customs-level data for 2011-14, combined with information on the subsidy payments made to individual firms provided by the Central Bank of Nepal. The Cash Incentive Scheme for Exports cash subsidy is available to firms exporting a select group of products, and requires firms to export to countries other than India. Overall, the subsidy has not produced a significant impact on firm-level export values, prices, quantities, or their growth rates. However, the study finds a small positive effect on the number of eligible products exported to countries other than India and the number of destination markets reached among firms that receive the subsidy. These results are consistent with the fact that the subsidy was granted primarily to large exporters that were already shipping eligible products to countries other than India. The findings suggest that although the cash subsidy has not produced a significant increase in exports, it has achieved a positive impact on export diversification for firms that were already satisfying the scheme's eligibility criteria.
format Working Paper
author Defever, Fabrice
Reyes, Jose Daniel
Riano, Alejandro
Varela, Gonzalo
author_facet Defever, Fabrice
Reyes, Jose Daniel
Riano, Alejandro
Varela, Gonzalo
author_sort Defever, Fabrice
title All These Worlds Are Yours, Except India : The Effectiveness of Export Subsidies in Nepal
title_short All These Worlds Are Yours, Except India : The Effectiveness of Export Subsidies in Nepal
title_full All These Worlds Are Yours, Except India : The Effectiveness of Export Subsidies in Nepal
title_fullStr All These Worlds Are Yours, Except India : The Effectiveness of Export Subsidies in Nepal
title_full_unstemmed All These Worlds Are Yours, Except India : The Effectiveness of Export Subsidies in Nepal
title_sort all these worlds are yours, except india : the effectiveness of export subsidies in nepal
publisher World Bank, Washington, DC
publishDate 2017
url http://documents.worldbank.org/curated/en/698681490020512516/All-these-worlds-are-yours-except-India-the-effectiveness-of-export-subsidies-in-Nepal
http://hdl.handle.net/10986/26350
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