Chapter 6, Problem 1TAI1

Summary Introduction

To select:

The countries and products under the ‘hostile’ list.

Introduction:

The hostile list is the list of countries which are restricted by other countries where the trade can happen only with certain restrictions and certifications.

Answer to Problem 1TAI1

Solution:

The countries that are listed as the hostile countries where certain permissions are required for the exports and imports to such places are:

Iran, Iraq, the Democratic People’s Republic of Korea, Cote d’Ivoire, Somalia, Venezuela etc.

Explanation of Solution

Given information:

Many countries that come under the Hostile list that require the permission before the exporter proceeds are listed out.

There are few countries which can be listed in the ‘hostile’ list where a special permission or access is required for the exporters to progress further

1. The goods, technologies, electronic equipment that may help Iran to improve their lifestyle or even the development of nuclear weapons and missiles either directly or indirectly is been prohibited because of the US trade sanction which can impose penalties if the trade happens.
2. The same is prohibited to Iraq with the exception for the trade to happen with the no objection certificate from the defense division.
3. The trade that contributes to the Democratic People’s Republic of Korea to export the nuclear weapon, missiles and any form of weapons that accounts to mass destruction isnot allowed.
4. The export of diamonds to Cote d’Ivoire is not allowed.
5. Importing of charcoal from Somalia is not allowed directly or indirectly
6. Exporting to Venezuela of rough diamonds are restricted based on the Kimberly Process Certification which demands high requirements to ship rough diamonds from entering the lawful trade.

Few products that are restricted are:

1. Pirated goods because they are not legitimate
2. Aero models with remote controls as there is a possible interference with the network of security agencies
3. Maps that show the geographical regions of India are restricted to protect the borders
4. Indian coins and temple statutes as they are covered by the Antique and Art treasure act