(Redirected from Non-tariff barrier)'Non-tariff barriers to trade' are
trade barriers that restrict
imports but are not in the usual form of a
tariff.
They are criticized as a means to evade
free trade rules such as those of the
World Trade Organization (WTO), the
European Union (EU), or
North American Free Trade Agreement (NAFTA) that restrict tariffs. Some of the common examples are anti-
dumping measures and
countervailing duties, which, although they are called "non-tariff" barriers, have the effect of tariffs but are only imposed under certain conditions. Their use has risen sharply after the WTO rules led to a very significant reduction in tariff use.
Non-tariff barriers may also be in the form of manufacturing or production requirements of goods, such as how an animal is caught or a plant is grown, with an import ban imposed on products that don't meet the requirements. Examples are the European Union restrictions on
genetically-modified organisms or beef treated with
growth hormones.
Some non-tariff trade barriers are expressly permitted in very limited circumstances, when they are deemed necessary to protect health, safety, or sanitation, or to protect depletable natural resources.
Non-tariff barriers to trade can be:
★ State
subsidies, procurement, trading,
state ownership
★ National
regulations on health, safety, employment
★
Product classification
★
Quota shares
★
Foreign exchange controls and multiplicity
★ Over-elaborate or inadequate
infrastructure
★ "Buy national" policy.
★
Intellectual property laws (
patents,
copyrights)
★
Bribery and
corruption
★ Unfair customs procedures
★ Restrictive licences
★ Import bans
★ Seasonal import regimes
See also
★
Trade sanctions
★
Trade Facilitation and Development
External link
★
Facilitation and Economic Growth: The Development Dimesion, the main World Bank project on trade facilitation, economic growth and development.