Chapter 13: Exporting and logistics Flashcards
1
Q
The exporting process
Leaving the exporting country requirements:
A
1. Licenses general validated 2. Documentation Export declaration commercial invoice bill of lading Consular invoice Special certificates Other documents Other Barriers
2
Q
The exporting process
Physical distribution requirements:
A
International shipping/ air freight and logistics packing insurance
3
Q
The exporting process
Entering the importing country requirements:
A
- Tariffs, taxes
2.Non-tariff barriers
Standards
inspection
Documentation
Quotas
Fees
Licenses
Special certificates
Exchange permits
4
Q
For what are rules designed for, for export regulations?
A
- Conserve scarce goods for home consumption
* Control the flow of strategic goods to actual or potential enemies
5
Q
for what are import regulation designed?
A
- Protect health
- Conserve foreign exchange
- Serve as economic reprisals
- Protect the home industry
- Provide revenue in the form of tariffs
6
Q
What did the Single European Act of 1986 say?
A
- Ensured free movement of goods, persons, services and capital within EU
- Single Administrative Document replaced other customs documents
- Eliminated foreign exchange restrictions on transactions across Europe
- Provided standardised rules for transport methods and working conditions
7
Q
What are some barriers to exporting?
A
Tariffs Exchange permits Quotas Boycotts Standards Voluntary agreements
8
Q
Benefits for companies utilising FTZS(foreign-trade zones)
A
- Applying for a refund from of the duties paid on imports later re-exported is eliminated
- Lower insurance costs due to greater security required in FTZs
- More working capital as duties are deferred until goods leave the zone
- Opportunity to stockpile products
- When quotas are filled
- While waiting for ideal market conditions
- Goods rejected, damaged or scrapped do not incur any duties
- Exemption from paying duties on labour and overhead costs incurred in an FTZ
