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What is a barrier to goods

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What is a barrier to goods

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If you’re exporting goods, trade barriers can include:

  • customs procedures: for example, lengthy procedures that delay goods getting to market

  • problems with enforcing international rules and regulations: for example, a lack of regulatory measures for products or services, or non-compliance with WTO regulations

  • environmental, safety or quality regulations: for example, restricting goods that could be harmful to the local environment

  • government procurement restrictions: for example, conditions that give local businesses an advantage over foreign competitors in winning government contracts

  • import quotas or price controls: for example, limits on the amount of goods that can be imported

  • packaging, labelling or design regulations: for example, overly specific requirements for information that must be on packaging

  • poor protection of intellectual property rights: for example, failure to respect the legislation of patents, trademarks, industrial design, layout designs of integrated circuits, copyright, geographical indications or sharing trade secrets

  • requirements for goods to be locally produced: for example, a government demanding that a percentage of goods must be made domestically

  • restrictions on live animals, or animal and plant products: for example, a ban on a UK meat based on inaccurate ideas about animal health risks

  • requirements to use local assets, components or workers: for example, being required to train and use local workers

  • rules of origin issues: for example, problems with requirements for evidence demonstrating where goods were made

  • state-granted monopolies or exclusive rights: for example, a government granting one or more private companies the sole right to operate in a particular market

  • testing, inspection and certification procedures: for example, overly complex assessments to show produce complies with technical regulations or standards

  • unfair use of state help, subsidies or application of competition rules: for example, competition law applied in an unfair way to target foreign firms or protect domestic firms

What is a barrier to services

If you’re exporting services, trade barriers can include:

  • difficulty accessing data or restrictions on storing or sending data: for example, limits on cross-border transfer of personal information

  • problems with enforcing international rules and regulations: for example, a lack of regulatory measures for products or services, or non-compliance with WTO regulations

  • fees that only apply to foreign service suppliers: for example, unnecessary charges on foreign suppliers that give an advantage to domestic suppliers

  • government procurement restrictions: for example, the host government deliberately creating conditions that give local businesses an advantage over foreign competitors in winning government contracts

  • poor protection of intellectual property rights: for example, failure to respect the legislation of patents, trademarks, industrial design, layout designs of integrated circuits, copyright, geographical indications or sharing trade secrets

  • limitations on access to key infrastructure: for example, barriers to foreign service suppliers opening a local bank account or registering websites with a local domain name

  • local presence requirements: for example, requirements for a service supplier to be a resident or from a local enterprise

  • price controls: for example, controlling the price of imported services so they don’t have a price advantage over domestic services

  • qualification requirements: for example, a requirement for foreign suppliers to have local qualifications

  • restrictions on foreign entry or movement of people: for example, difficulty dealing with visa costs, arranging visas, residency or nationality requirements or restrictions on buying land as a foreign service supplier

  • restrictions on business structure: for example, requirements to operate under a certain structure as a business, legal entity or joint venture

  • restrictions on investment: for example, a limit on how much a supplier can invest in the country they’re exporting to

  • requirements to use local assets, components or workers: for example, being required to train and use local workers

  • restrictions on business names: for example, restrictions on service suppliers operating under a business name

  • state-granted monopolies or exclusive rights: for example, a government granting one or more private companies the sole right to operate in a particular market

  • taxes that protect or favour local suppliers: for example, import duties or taxes, other than tariffs, that favour domestic firms over foreign competitors

  • testing, inspection and certification procedures: for example, overly complex assessments to show compliance with technical regulations or standards

  • unfair use of state help, subsidies or application of competition rules: for example, competition law applied in an unfair way to target foreign firms or protect domestic firms

  • unfair advantages to state-owned enterprises: for example, special rights or privileges, government funding, or exemptions from laws and regulations being given to state-owned enterprises

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