Managing the linkage between export development and poverty reduction : An effective framework

Purpose – In the world's quest to eradicate poverty, the means to get there are not fully understood, nor are they universally agreed upon. However, most would accept that the link between trade and development in general and exports and poverty reduction in particular needs to be strengthened and effects better understood. The purpose of this paper is to suggest that a management framework exists by which the linkage between exports and poverty reduction can be better understood and as a consequence strengthened. Design/methodology/approach – Drawing on the International Trade Centre's Priority Setting Framework to Export Development, a hypothetical strategy has been prepared for the Rwandan coffee sector, which reinforces the export development and poverty reduction linkage. Findings – Many strategies stop short at providing detailed action steps that result in the project's objectives being effectively implemented and its impact being measured. Practical implications – The framework can be used to guide national strategy‐makers, trade support organizations, sector associations, NGOs and the donor community in formulating, and more importantly, implementing poverty reduction initiatives in the context of export development. Originality/value – The paper draws upon a methodology applied in trade related technical assistance and attempts to demonstrate this framework, which primarily addresses competitiveness issues can be rigorously applied to the design and implementation of an export‐led poverty reduction strategy.