ABSTRACT

This chapter presents the results of the effective protection estimates. It provides the nominal implicit rate of protection (NIRP) as the structure of product protection estimated on the basis of direct price comparisons. Classifying survey firms into export, domestic and import competing groups provides some interesting insights. The classification of firms into export, import-substituting and domestic emphasises in the first place the supply position. The protection results of survey firms were summarised into branch level indicators of effective rate of protection (ERP) and NIRP. Individual firm level ERP and NIRP were weighted by their value added within the branches, so that branch level results are weighted averages. There is a significant association in the rank ordering of activities by ERP and NIRP. Corden Method ERPs have significant positive Spearman's rank correlation (0.87) and Pearson Product moment coefficient of correlation (0.72) with NIRP at the 1.0 percent level.