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Non-Tariff Measures: The Bigger Picture for South and Southern Africa

Ron Sandrey

(Original article published in the TIPS Trade and Industry Monitor of December 2003)

Posted with permission from TIPS (Trade and Industrial Policy Strategies)
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Ron Sandrey1, economic research co-ordinator at the New Zealand Ministry of Foreign Affairs and Trade, argues that reduced tariff barriers are not enough to provide true market access for developing countries while non-tariff measures still create considerable barriers to exports to developed countries.


As tariff barriers are reduced around the world, increasing attention has been paid to non-tariff measures. Although differing definitions exist of exactly what these NTMs are, let alone how their quantitative impacts are measured, they can basically be defined as government measures other than tariffs that restrict trade flows. The effect of NTMs is generally recognised, with the Permanent Mission of SA recently pointing out their impact on trade flows to the World Trade Organisation (WTO):

    Reducing tariff barriers alone will not succeed in providing genuine market access for developing countries. Non-tariff barriers such as anti-dumping, technical barriers to trade and import licensing in developed countries, often pose significant barriers to developed country exports.”2
Ideally, a quantitative analysis of NTMs would be desirable, but given the difficulties associated with quantification, a strong qualitative assessment is useful in that it provides policy-makers and trade negotiators with valuable information on where to direct their efforts for maximum gain.

It is important to note that identifying NTMs can be very subjective. For instance, many NTMs, such as most sanitary and phytosanitary (SPS) measures, are in place to protect human, animal and plant life. But when these measures are applied inconsistently with international agreements, they can become insurmountable barriers.


Footnote:
  1. The opinions expressed in this report are solely the responsibility of the author and do not necessarily reflect the views of TIPS or the New Zealand Ministry of Foreign Affairs and Trade.
  2. “SA on Market Access for Non-agricultural Products”. SA’s comments on the Draft Elements of Modalities for Negotiations on Non-Agricultural Products. Dated 12 August 2003, this is an excerpt from a report the WTO received from the Permanent Mission of South Africa.


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