The difficulties of trade within the Central European Free Trade Agreement (CEFTA)

Abstract

This study aims at uncovering the difficulties associated with intra-CEFTA trade. Since the signing of the CEFTA in 2006, the trade volume of its parties increased significantly. At the same time, intra-regional trade still remains much lower compared to the region's trade with the EU. The research indicates that the agreement faces a regulatory gap, without having detailed provisions on many issues. The sources of difficulty stem from differences in the harmonization of standards and regulations, in the quality of conformity assessment infrastructure, in the institutional quality as well as from infrastructure and logistics performance.