Does trade reform generate gains in manufacturing firm-level technical efficiency? Pooling
of pre and post trade reform data for Cameroon, and estimating a single stochastic
production frontier for each industrial sector, yielded empirical results showing that the
average technical efficiency increased in six of eight sectors following trade reform. The
post trade reform firm-level technical efficiencies increased on average at an annual rate
of 1.39%, while prior to trade reform they decreased on average at the annual rate of
0.76%. Before trade reform, the restricted trade regime coupled with macroeconomic
and political instability negatively affected firm-level technical efficiency. Post trade
reform potential determinants of firms’ technical efficiency include export share and
import penetration rate.