Second-hand vehicle markets in West Africa: A source of regional disintegration, trade informality and welfare losses

This article was originally published with errors. This version has been corrected. Please see Corrigendum (https://doi.org/10.1080/00076791.2018.1459087).

Abstract

This article critiques the second-hand vehicle markets in the West African region, focusing on the triad trading arrangements among Nigeria, Benin, Togo, and Niger. These countries are connected by a number of underlying conflicting interests in the second-hand vehicles trade. Benin and Togo are incentivised by the revenues derived from re-export trade and port operations. Niger provides a proxy market for the illegal re-export of these vehicles to Nigeria, with the latter suffering huge welfare losses as a major consuming nation. We conclude that by offering conflicting benefits to the West African countries, the second-hand vehicle market provides disincentives against true regional integration.

Keywords:

• Second-hand vehicle market
• welfare losses
• trade informality
• integration
• West Africa

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Corrigendum

Notes

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