MARKET
ACCESS
Definition of a country
trade standards to make easy or limit the entrance of goods and services
from other countries or group of countries. The market access is
related with tariff policies, non tariff and para-tariff barriers (quotas,
bans, etc.), and according to practice, with: origin standards, sanitary
and phyto-sanitary standards, among other.
Within international trade
negociation processes, tariffs are considered as the main objective of
agreements of market access.
TRADE
AGREEMENT
Agreement, treaty, or any
other linking act between two or more countries, by which they commit to
accomplish certain actions in order to improve their trade exchange.
NEW
GENERATION AGREEMENTS
Trade treaties containing
new areas as services, investment, intellectual property, governmental
purchases, technical standards, disloyal practice of trade among other.
TARIFF
QUOTAS
Definite volumes of
agricultural commodities imports which enjoy of a special tariff treatment
that consists of establishing a maximum applicable tariff to these volumes,
lower than the tariff fixing as maximum for the remaining imports out of
these volumes
TARIFF EXEMPTION
Tariff reduction between two countries which have
reached a trade agreement on market access.
IMPORT LICENSES
Administrative measure through which imports done by a
country, are controlled.
COMMON MARKET
An economic integration way which eliminates all
internal trade barriers, harmonizes trade policies in front of the world
and allows the free mobility of labor and capital among member countries.
RULES OF ORIGIN
A set of standards and specifications on which base
internationally tradeable merchandises origin's country shall be qualified.
In order to establish the origin of a product, the following mechanisms
shall be applied:
1) Added value.- A value (generally porcentage) that is
added to a merchandise in terms of its transformation, giving it a
charanterized inviduality; and,
2) Substantial transformation and tariff jump.- When
the obtained commodity has suffered a great transformation if it's related
to a subsection, in a merchandise systematic nomenclature different to
that applicable to each product used for manufacturing purposes.
Standards of origin are concepts applied to most
bilateral and multilateral agreements signed by Ecuador.
Certificate of Origin "FORM
A"
Document multilaterally
designed and adopted within the UNCTAD (United Nations Conference on Trade
and Development) frame, used in order to help developing countries to
certify origin of products exported to industrialized countries, so as to
have right to a preferential treatment of the Generalized Sistem of
Preferences. The U.S. has also accepted the "Form A" for
trade preferences purposes, granted within the Andean Tariff Preferences (ATPA)
program.
TECHNICAL,
SANITARY, PHYTO-SANITARY, AND ZOO-SANITARY STANDARDS
In order to avoid the use
of these technical, sanitary, phyto-sanitary and zoo-sanitary standards
and requirements imposed to imports, so as to constitute injustified trade
barriers, the WTO, within its legal-trade frame, implemented the Agreement
on Application of Sanitary and Phyto-sanitary Standards and the Agreement
on Technical Barriers to Trade, where principles, conditions, and
procedures where these measures shall be used, are set forth.
Basically, countries have
right to apply any necessary technical or sanitary measure, provided its
aim is protecting and warranting ideal conditions for human,
animal, vegetal, and environmental health in danger of adversely
affected by international trade.
HISTORICAL
PATRIMONY
Are all trade agreements, and treaties, in
force up to date, signed by the country within the ALADI frame.
REFERENCE
PRICES
Fixation by the
governmental authority of the price for a commodity in order to apply a
tariff.
INITIAL POINT OF
PREFERENTIAL EXEMPTION
Percentage preference on which the Tariff
Exemption Program Begins.
NON
TARIFF BARRIER
Tariff and non-tariff
measures, and trade standards applied by a country in order to ban
entrance of commodities of other countries or group of countries.
SAFEGUARD
Safeguards are authorized
by the GATT/WTO, and are useful to establish temporary exemptions to the
liberalization regime when imports of a certain commodity are so high that
cause injury to domestic production. Application of safeguards
obliges not to discriminate imports' origin, and compensate affected parts.
SPECIAL SAFEGUARD
An automatic measure applied to agricultural commodities when imports
volume of the commodity subject to a special safeguard surpasses imports
levels defined in a base period or when the import price of the product
subject to safeguard falls down the prices level defined for a base period.
PRICE
BAND SYSTEM
Is a mechanism for the
stabilization of domestic prices by fixing a reference "floor"
price and a reference "ceiling" price, between which it's hoped
to maintain the import cost of a certain commodity. Stabilization is
reached increasing the general ad-valorem tariff when the international
price falls down the floor level, and reducing such tariff up to zero,
when the price increases over the ceiling.
Since February 1995, Ecuador
has been applying the Price
Band Andean System, as a statibilization mechanism of the harmonized
import cost in the Andean subregion. The band is applied to products
originated from third countries not members of the Andean Community of
Nations.
BINDING
CEILINGS
Maximum tariff which could
be applied by the WTO member countries over an especific commodity.
FREE
TRADE AREA
Economical integration form
that eliminates tariff barriers to goods' trade among member countries. |