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The tariff equivalent of tariff-rate quotas - A case study applied to the import of an agricultural product in Romania

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  • Petru Catalin Bodea

    ()
    (Al. I. Cuza University Faculty of Economics and Business Administration Ph.D. student in International Economic Relatins CP 119, OP1, Iasi, Romania)

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    Abstract

    The paper presents one methodology of calculating the tariff equivalent of the tariff-rate quota as a particular case of a non-tariff barrier for an agricultural product imported in Romania based on recommendations in international literature. The tariff equivalent of tariff-rate quota of imports from the EU is approximately 35%, lower than the tariff outside the quota. Nonetheless this is considerable higher when compared with the Common External Tariff (CET). Elimination of the nominal protection level as consequence of the adoption the CET is expected to stimulate imports pressure especially from price competitive import partners both from EU (such as Slovakia, Belgium, Austria, Czech Republic and Italy) and non EU countries (Serbia, Bosnia and Herzegovina, Macedonia and Croatia). A basic model forecasts that, with the lowered protection, annual imports will rise with at least 13.5 thousand tonnes, thus an increase of 23% compared with the average annual imports during 1990-2005.

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    Bibliographic Info

    Article provided by Alexandru Ioan Cuza University, Faculty of Economics and Business Administration in its journal Review of Economic and Business Studies.

    Volume (Year): 1 (2008)
    Issue (Month): (December)
    Pages: 159-169

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    Handle: RePEc:aic:revebs:y:2008:v:1:p:159-169

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    Postal: Universitatea Al. I. Cuza; B-dul Carol I nr. 22; Iasi
    Phone: 004 0232 201070
    Fax: 004 0232 217000
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    Web page: http://rebs.ro/
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    Related research

    Keywords: non-tariff barriers; tariff-rate quotas; tariff equivalent;

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    1. Peter Walkenhorst & Barbara Fliess, 2003. "Non-Tariff Measures Affecting EU Exports: Evidence From a Complaints-Inventory," OECD Economics Department Working Papers 373, OECD Publishing.
    2. Michael Ferrantino, 2006. "Quantifying the Trade and Economic Effects of Non-Tariff Measures," OECD Trade Policy Papers 28, OECD Publishing.
    3. Enrico Colombatto, 2000. "An Explanation of the Dynamics of Protectionism," Open Economies Review, Springer, vol. 11(3), pages 279-293, July.
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