¥°. Introduction
FTA
Free Trade Agreement
Members of afree-tradearea do not have acommon external tariff, which means they have different quotas andcustoms, as well as other policies with respect to non-members.
¥°. Introduction
Tariff
AtaxthatagovernmentCollectsongoods
Coming intoacountry
Tax imposed on goods
that cross the border
Three types of tariffs
Export
duties
Import
duties
Transit
duties
TARIFF IMPOSED ON U.S FRUIT GOES DOWN
We can buy fruits at mare affordable price on the table
Typical products from U.S are sherries, gradefruits and oranges.
Before the FTA CHERRIES had a 24% tariff
duty imposed on CHERRIES immediately abolished
GRAPEFRUIT, KIWI tariffs will be eliminated over 15 years
ORANGE will become duty free
Resulting the fruit consumption price significantly getting lower
¥±. Issue & conflict
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¥². How the conflict was resolved
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flict
Disdvantage
A screen quota for domestic films exists
preventing excessive cannibalization by
foreign movies (Hollywood movies)
A reduced screen quota of one day would cost 160 billion won
resulting in reduction of 5,380 billion won for 50 days
SCREEN QUOTA DEMANDS 146 DAYS
PRESSURE TO REDUCE IT TO 73 DAYS
¥±. Issue & conflict
Disdvantage
Negotiating an FTA is a serious exercise
as the outcome can have
major implications
for development policy and for social,
economic and development outcomes.
Thus, before negotiating an FTA,
the country needs to have three things in place.
¥². How the conflict was resolved
A national development policy framework comprising an overall development strategy.
¥². How the conflict was resolved
Firstly
¥². How the conflict was resolved
Secondly
There should be a framework to assess the benefits and costs of the FTA, in terms of its various components and of the various proposals and provisions, and the overall