Non-Tarif Barriers to Trade

Non-Tarif Barriers (NTBs) refer to restrictions that result from prohibitions,

conditions, or specifc market requirements that make importation or
exportation of products difcult andor costl!" NTBs also include un#ustifed
andor improper application of Non-Tarif $easures (NT$s) such as sanitar!
and ph!tosanitar! (%&%) measures and other technical barriers to Trade (TBT)"
NTBs arise from diferent measures taken b! 'o(ernments and authorities in
the form of 'o(ernment la)s, re'ulations, policies, conditions, restrictions or
specifc requirements, and pri(ate sector business practices, or prohibitions
that protect the domestic industries from forei'n competition"
*xamples of Non-Tarif Barriers
Non-Tarif Barriers to trade can arise from+
,mport bans
-eneral or product-specifc quotas
.omplexdiscriminator! /ules of 0ri'in
1ualit! conditions imposed b! the importin' countr! on the exportin'
countries
2n#ustifed %anitar! and &h!to-sanitar! conditions
2nreasonableun#ustifed packa'in', labellin', product standards
.omplex re'ulator! en(ironment
3etermination of eli'ibilit! of an exportin' countr! b! the importin' countr!
3etermination of eli'ibilit! of an exportin' establishment (frm, compan!) b!
the importin' countr!"
4dditional trade documents like .ertifcate of 0ri'in, .ertifcate of
4uthenticit! etc
0ccupational safet! and health re'ulation
*mplo!ment la)
,mport licenses
%tate subsidies, procurement, tradin', state o)nership
*xport subsidies
5ixation of a minimum import price
&roduct classifcation
1uota shares
$ultiplicit! and .ontrols of 5orei'n exchan'e market
,nadequate infrastructure
6Bu! national6 polic!
0(er-(alued currenc!
/estricti(e licenses
%easonal import re'imes
.orrupt andor len'th! customs procedures
7hat are Non-Tarif measures8
Non-tarif measures (NT$s) are 'enerall! defned as polic! measures other
than ordinar! customs tarifs that can potentiall! ha(e an economic efect on
international trade in 'oods, chan'in' quantities traded, or prices or both
(2N.T433,T.T4B9::;<)" The detailed classifcation of NT$s b! 2nited
Nations .onference on Trade and 3e(elopment, (2N.T43) identifes and
distin'uishes amon' the (arious forms of non-tarif measures"
The 2N.T43 classifcation of non-tarif measures is taxonom! of all those
measures considered rele(ant in toda!=s situation in international trade" The
classifcation is an e(ol(in' process that should adapt to the realit! of
international trade and data collection needs"
The classifcation comprises technical and non-technical measures, such as
sanitar! or en(ironmental protection measures,TBTs and other traditionall!
used as instruments of commercial polic!, e"'" quotas, price control, exports
restrictions, or contin'ent trade protecti(e measures, as )ell as other behind-
the-border measures, such as competition, trade-related in(estment
measures, 'o(ernment procurement or distribution restrictions"
This classifcation ackno)led'es existence of measures and does not #ud'e
on le'itimac!, adequac!, necessit! or discrimination of an! form of polic!
inter(ention used in international trade" ,t helps exporters )orld)ide to
access transparent, reliable and comparable information and enables
understandin' of NT$s"
The classifcation of non-tarif measures encompasses >? chapters (4 to &),
and each indi(idual chapter is di(ided into 'roupin's )ith depth up to three
le(els"