Efficacy of the Duty Drawback Scheme

One of the major advantages of trading is that it allows producers to concentrate or specialize their work in the type of goods they produce best. When people decide to specialized in a specific profession an become doctors, farmers, teachers, or any other profession within an economy, they will be able to produce goods and offers different services that can be trade for any goods or services they may need. In this same way countries can become specialized in the production of specify products and/or services and trade those with other countries. However, trading and importing products and services from other countries also has its disadvantages. As a result of the different products imported governments impose certain restrictions and limitations to protect the domestic production and market of every country involve in any kind of trading transactions. Governments have imposed taxes on trading transactions adding them to the cost of importation, and have the purpose of restricting and/or limiting the imports of goods and services into a country. These government

In the past young people who were 16 years and over were expected to either leave school and start their employment or remain in school and continue their formal education. However it was noticed that there was a high level of unemployment in the age bracket of 16-24 years. To change the situation the government started a new arrangement called the September guarantee. This was aimed at young people who were aged 14-18 years old.

Cuts in protection have increased imports but the increased efficiency has led to a comparable rise in exports. The value of exports plus imports of goods and services has risen from 32% of GDP in 1975 to 48% of GDP in 2000 (ABS), reflecting

shipper pays only such U.S. import duties as are applicable to the value added by

In addition to facilitating the system of landholding and labor use for the production of exports, governments used tax exemptions, subsidies for new plantings, and waivers for duties on imported inputs to further development of the export sector. The state also used its borrowing power to obtain funds abroad for the infrastructure that supported this sector.

There is no doubt that increasing in international trade is supporting the economic growth across the world, raising incomes and creating jobs. However, international trade can also some create economic obstacles, such as the international context and the market policy and regulations of each country, and consequently it can be said that the effects would have positive and negative sides, and it is useful to mention all of them and to take them into consideration.

“the prohibition on quantitative restrictions covers measures which amount to a total or partial restraint of, according to the circumstances, imports, exports, or goods in transit”

Article 36 TFEU provides allowances to the general prohibition of Art 34 TFEU. It explains that Art 34 and 35 TFEU will not apply to prohibitions on imports, exports or goods in transit which are justified on any of four grounds including, public morality, public policy or public security; the protection of health and life of humans, animals or plants; the protection of national treasures holding artistic, historic or archaeological value; and the protection of industrial and commercial property. The use of these allowances is subject to the limitation as shown in the second sentence of Art 36 TFEU. This is where we see the constraints of the derogations prevent the free movement of goods from actions to protect domestic industry. The allowances listed in Art 36 TFEU cannot be expanded to incorporate cases which are not

The convergence of world economies has changed the dynamics of the trade. The goods produced by the countries are today crossing border and the lines of origin have blurred. Fierce competition has pushed producers to lower cost and provide better quality.

There are quite a few forms of tariffs that the government may apply based on the condition of the country’s economic welfare. The pros and cons of these forms of tariffs will be reviewed. Discussion on how these tariffs positively or negatively affects the economic stance of the country will be displayed. Tariffs such as the ad valorem, the taxing a percentage of the value of an item and the specific tariff or tax which is a set amount based on weight or sum of items. (McEachern, 2015)

product, the effect is, like a tariff, to raise the price of the import and make

Local production within each region is assumed to result in no import duty. Thus, production from Brazil, Germany, and India can be sent to Latin America, Europe, and the rest of Asia without Japan, respectively, without incurring any import duties. Duties apply only to the raw material, production, and transportation cost component and not to the fixed cost component. Thus, a product entering Latin America with a raw material, production, and transportation cost of $10 incurs import duties of $3.

As shown in diagram 1, we can clearly see that the conditions where both act applies are different and somewhat similar. Under s. 4B in TPA, the conditions which differ from FTA conditions stated in s32D are:-

The importer must exercise the Harmonized Tariff Schedule to establish the appropriate “rate of duty of all imported articles” (NCBFAA Educational Institute, 2017).

Consumer gets the imported products at cheaper rates than that of domestic market. The disadvantages of the anti-dumping are such that the domestic industries who are producing goods and selling in their country could not make it to profit maximization because the buyers of the country are purchasing the dumped goods which are available at cheaper rates and the demand of goods in the domestic market is very low, this leads to the closure of those domestic industries. Some experts opine that such disadvantages can be overcome by making it mandatory to apply “a public interest clause” to antidumping. The Indian legal system specifies a limit for the levy of anti-dumping duty and it should not exceed dumping margin. These duties are on the discretion on the country or the exporters. Small countries like Taiwan do not have separate anti-dumping laws but these countries take some anti-dumping measures like in Taiwan Article 46 of Custom Law, 1967 empowers Custom Tariff Commission (CTC) and International Trade Commission (ITC) to handle anti-dumping