Preliminary version

This paper estimates an augmented gravity model incorporating different aspects of Trade Facilitation in developed and developing countries. Trade Fa-cilitation is defined as measures that aim at making international trade easier by eliminating administrative delays, simplifying commercial procedures, in-creasing transparency, security and the place of new technologies in trade. This paper provides new theoretical and empirical enhancements. On the one hand, the model is based on theoretical foundations related to monopolistic competition and border effects. The originality of this paper is that Trade Fa-cilitation facets are included in the model. On the other hand, the empirical achievement of the paper is that it uses different databases allowing us to take into account many features of Trade Facilitation. We use several databases coming from different sources: Doing business (World Bank), Institutional Profiles (CEPII) and other indicators coming from the World Bank databases. Our main findings are that documents to be filed for export and import are an important determinant of transaction time. Moreover, transaction time, PTA, landlockness and fraud are crucial factors for customs efficiency. Re-garding relative imports, transaction time and number of documents decrease trade more significantly for importers than for exporters. Transaction time is found not to be endogenous. Customs efficiency suffers from an endogeneity problem. Finally, our sample is split into sub-samples in order to take into account the impact of development level. It turns out that Trade Facilitation aspects have not the same impact on developed and developing countries