New Dataset Unveils Nuances of Global Trade and Transport Costs

In a pioneering effort to demystify the intricate web of international trade and transportation, UN Trade and Development (UNCTAD) and the World Bank have collaborated to develop a groundbreaking dataset. This dataset, unveiled at the inaugural Global Supply Chain Forum, represents a significant leap forward in understanding the underlying costs associated with facilitating global commerce.

Harnessing official national data sourced from UN Comtrade, the dataset offers a panoramic view of trade dynamics spanning the years 2016 to 2021. By encapsulating the value, volume, and associated costs of merchandise trade across over 170 economies, it provides a comprehensive toolkit for policymakers, businesses, and researchers alike.

A Unique Perspective on Trade Logistics

What sets this dataset apart is its holistic approach to analyzing trade logistics. Unlike previous datasets, which often focused solely on country-level trade data, this groundbreaking initiative delves deeper by incorporating data on the mode of transport used for each trade transaction.

By harmonizing trade data based not only on country and commodity but also on the mode of transport, this dataset offers unprecedented insights into the complexities of global supply chains. From the movement of raw materials via sea freight to the expedited delivery of high-value electronics via air transport, every facet of trade logistics is meticulously documented.

Jan Hoffmann, head of UNCTAD’s trade logistics branch, underscores the dataset’s significance in illuminating the hidden costs of international trade. “By providing a comprehensive overview of trade logistics costs, this dataset serves as a valuable resource for policymakers seeking to identify areas for efficiency improvements,” remarks Hoffmann.

Accessible to All

One of the most remarkable aspects of this initiative is its commitment to accessibility. Available online through UNCTAD’s statistics portal UNCTADstat, the dataset is freely accessible to users worldwide. Whether policymakers in developing nations or researchers in academic institutions, anyone with an internet connection can access and analyze the wealth of data contained within.

Furthermore, the dataset’s user-friendly interface allows for easy exploration, enabling users to customize their data extractions and download bulk files tailored to their specific needs. For those seeking to integrate the data into their analytical models, an API is also provided, facilitating seamless integration into existing workflows.

Unraveling the Transport Burden

One of the dataset’s most revealing insights pertains to the disproportionate transport burden borne by developing economies. Through a meticulous analysis of transport work—measured by the effort expended in moving goods—researchers have uncovered a stark reality: developing nations must exert twice the transport effort of their developed counterparts to facilitate maritime trade.

This higher transport burden can be attributed to a myriad of factors, including the greater distances goods must travel in many developing countries, particularly those that are landlocked or located far from major markets. Additionally, the higher average weight per dollar of traded goods in developing countries, often comprising low-value items such as raw materials, further exacerbates the disparity.

Looking Ahead

As global trade continues to evolve in the digital age, initiatives such as this dataset are instrumental in fostering transparency and understanding within the global supply chain. By shedding light on the hidden costs of international trade and transportation, this dataset paves the way for more informed decision-making and collaborative efforts to enhance trade efficiency on a global scale.

With its wealth of insights and user-friendly accessibility, this dataset represents a significant step forward in advancing our understanding of the intricacies of global trade logistics. As policymakers, businesses, and researchers alike delve into its depths, the potential for positive change within the global trade landscape is boundless.