Trade+Barriers

Tariffs- A tax on products that are traded internatonally Quotas- A limit on the quanity of goods imported from a given country Boycotts- A government puts an absolute restricton on a certain good or country Licensing Requirements- The government controls imports by requiring that companies have a government import license Poltical System- the means by which people in society make the rules by which they live.
 * Trade Barriers[[image:boycott.jpg width="72" height="94" align="left"]]**

**Political Risks**-Government actions or political policies can change at any time, thereby adversely affecting foreign companies.



Trade Sanctions- Government can impose trade restrictions against another country to protest that country's behavior. Usually from direct result of political disputes between country's. Trade Embargo- Something a country issues against another country to stop all import and export trade with that country. Exportation-occurs when a government takes control of ownership of foreign-owned assets and companies. Economic Nationalism- Refers to the trend of of some countries to restrict foreign ownership of companies and to establish laws that protect against foreign imports.

**Specific Trade Barriers for Belize ** Beans and rice, like many other locally produced agricultural products, may not be imported at all whenever there is a surplus of these products on the domestic market.  Import duties- between 0 and 45 percent, zero-rated goods include various food items and medicines; while 45 percent is applicable to certain automobiles and other goods, such as fresh peppers, pepper sauces, live animals, boats, and various luxury goods

Revenue Replacement Duty (RRD)- cost recovery mechanism for the government, between 5 and 50 percent

General Sales Tax (GST)- 10 percent

Environmental Tax (ET)- 2 percent for all imports besides some medicines and food, 5 percent for cars

Sources: "Doing Business in Belize" and International Business book