Non-Tariff Barriers (NTBs) refer to restrictions that result from prohibitions, conditions, or specific market requirements that make importation or exportation of products difficult and/or costly. NTBs also include unjustified and/or improper application of Non-Tariff Measures (NTMs) such as sanitary and phytosanitary (SPS) measures and other technical barriers to Trade (TBT).
NTBs arise from different measures taken by governments and authorities in the form of government laws, regulations, policies, conditions, restrictions or specific requirements, and private sector business practices, or prohibitions that protect the domestic industries from foreign competition.
Examples of Non-Tariff Barriers
Non-Tariff Barriers to trade can arise from:
Import bans
General or product-specific quotas
Complex/discriminatory Rules of Origin
Quality conditions imposed by the importing country on the exporting countries
Unjustified Sanitary and Phyto-sanitary conditions
Unreasonable/unjustified packaging, labelling, product standards
Complex regulatory environment
Determination of eligibility of an exporting country by the importing country
Determination of eligibility of an exporting establishment (firm, company) by the importing country.
Additional trade documents like Certificate of Origin, Certificate of Authenticity etc
Occupational safety and health regulation
Employment law
Import licenses
State subsidies, procurement, trading, state ownership
Export subsidies
Fixation of a minimum import price
Product classification
Quota shares
Multiplicity and Controls of Foreign exchange market
Inadequate infrastructure
"Buy national" policy
Over-valued currency
Restrictive licenses
Seasonal import regimes
Corrupt and/or lengthy customs procedures
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