SMES (PYMEs): How to integrate them into the international trade framework?
SMEs have been largely absent from the trade debate in the past despite accounting for the majority of firms in most countries. This had several reasons: their participation in trade is relatively weak, they are mostly unable to exploit economies of scale and are therefore less productive. Besides this Non-tariff barriers and further obstacles impede SMEs` participation in trade stronger than large firms` participation.
However, through technological progress, e-commerce and increasing global value chains, new opportunities are opening for SMEs. Consequently, there has been a rise in awareness for SMEs in the last few years through their inclusion in regional trade agreements. In addition, the world trade report 2016 on the topic of “Levelling the trading field for SMEs” increased the recognition further.
As the importance of the topic developed while no actual measurements have been taken so far, it is time to discuss “How to integrate SMEs into the international trade framework” in more depth.