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REPORT INDEX

  1. EXECUTIVE SUMMARY
  2. INTRODUCTION
  3. BACKGROUND KNOWLEDGE
  4. TARIFF BARRIERS
  5. NON-TARIFF BARRIERS
  6. INVESTMENTS
  7. TRADE IN SERVICES
  8. CONCLUSIONS
  9. LIST OF TABLES

GLOBAL TEAM

 

5. NON-TARIFF BARRIERS

I. Current Situation on Non-Tariff Barriers -- II. Analysis and Recommendations on Non-Tariff Barriers


II. Analysis and Recommendations on Non-Tariff Barriers

Although there is no single general solution in order to improve or reduce the non-tariff barriers, there are some barriers which affect Chilean products more than others, and therefore these are areas where efforts have to be made to reduce them.

With respect to the requirement of an association for sea fish products, this is an area where the Chamber has to push for negotiations, whether to eliminate this measure or to find alternative ways of association that could make them attractive for doing business.

It is important for the Chamber to investigate, in cases where high value-added taxes are imposed on Chilean products, whether the national treatment provision is complied with, by which Korean products are given the same tax. There is evidence from previous dispute settlements that the Korean government sometimes fails to comply with this obligation.

As there is evidence of a subsidy on the Korean fruit industry, the Chamber should put pressure on both governments to eliminate it. However, firstly it is the problem of prohibition from importing most fruits (except for grapes and kiwis), which needs to be solved.

In conclusion, these non-tariff barriers to trade should be given a lot of attention during negotiations. However, the solutions to these barriers are more difficult to implement because they require bigger changes than reduction of tariffs.

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Last updated: January 06, 2001. Copyright @ 2000 by GLOBAL Trade Consultants.

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