Require Compare the policies in other countries (posted by other students) and comment on it. (at least 2 posts should be commented) Post 1 Tools of the trade policy Myanmar are applying towards the trading partners             Despite being a founding member of the World Trade Organization (WTO), Myanmar was cut off from the rest of the world for decades due to political unrest. Not until 2011, under a new administration run by civilians, did the nation begin to seek fundamental changes to drive structural transformations, boost national productivity, and encourage economic growth. In accordance with the guidelines of the WTO, the current regime worked closely with the various ministries to promote trade (Doan, 2019). To do this, the government first issued, amended, or revised several laws that were connected to trade in order to bring them into line with global commitments. Myanmar has a long history of protecting its local producers through the use of tariffs, quotas, and subsidies. These measures have been used to protect a variety of industries, including agriculture, manufacturing, and services. Tariffs are taxes on imported goods that make them more expensive than similar domestic products. Quotas limit the amount of a particular good that can be imported into a country. Subsidies are payments from the government to domestic producers to help them compete with imported goods.             In 2000, Myanmar's government enacted a series of tariffs designed to promote the growth of the nation's industries and protect specific businesses. By making imported goods more expensive, tariffs make it more difficult for foreign companies to sell their products in Myanmar (Doan, 2019). This gives local producers a better chance to succeed. Tariffs are a tool that the government can use to promote local industry and protect jobs. When foreign companies are unable to sell their goods as easily in Myanmar, it reduces the amount of competition for local producers. This gives them a better chance to sell their products and thrive. Myanmar's tariffs are typically quite high, often ranging from 20 to 30 percent. They cover a wide range of products, including agricultural goods, manufactured products, and raw materials. Tariffs are often applied when Myanmar's government is trying to encourage the growth of certain industries or protect specific businesses. Myanmar has linked 18.4percent of its tariff lines using the 10-digit HS code. Every fixed rate is ad valorem. The typical bound rate is 87.5%.   The average limit tariff on agricultural items is 110.7%, whereas the average bound tariff on non-agricultural commodities is 22.5percent. Final bound tariffs vary from 0% for industrial machinery and transportation equipment to 550percent for chemicals, drinks, tobacco, grains, and foodstuffs.               Myanmar's administration uses a system of production quotas to protect local producers and encourage economic growth. The size and scope of the quotas.

1. Require
Compare the policies in other countries (posted by other
students) and comment on it. (at least 2 posts should be
commented)
Post 1
Tools of the trade policy Myanmar are applying towards the
trading partners
Despite being a founding member of the World Trade
Organization (WTO), Myanmar was cut off from the rest of the
world for decades due to political unrest. Not until 2011, under
a new administration run by civilians, did the nation begin to
seek fundamental changes to drive structural transformations,
boost national productivity, and encourage economic growth. In
accordance with the guidelines of the WTO, the current regime
worked closely with the various ministries to promote trade
(Doan, 2019). To do this, the government first issued, amended,
or revised several laws that were connected to trade in order to
bring them into line with global commitments. Myanmar has a
long history of protecting its local producers through the use of
tariffs, quotas, and subsidies. These measures have been used to
protect a variety of industries, including agriculture,
manufacturing, and services. Tariffs are taxes on imported
goods that make them more expensive than similar domestic
products. Quotas limit the amount of a particular good that can
be imported into a country. Subsidies are payments from the
government to domestic producers to help them compete with
imported goods.
In 2000, Myanmar's government enacted a series of
tariffs designed to promote the growth of the nation's industries
and protect specific businesses. By making imported goods
more expensive, tariffs make it more difficult for foreign

2. companies to sell their products in Myanmar (Doan, 2019). This
gives local producers a better chance to succeed. Tariffs are a
tool that the government can use to promote local industry and
protect jobs. When foreign companies are unable to sell their
goods as easily in Myanmar, it reduces the amount of
competition for local producers. This gives them a better chance
to sell their products and thrive. Myanmar's tariffs are typically
quite high, often ranging from 20 to 30 percent. They cover a
wide range of products, including agricultural goods,
manufactured products, and raw materials. Tariffs are often
applied when Myanmar's government is trying to encourage the
growth of certain industries or protect specific businesses.
Myanmar has linked 18.4percent of its tariff lines using the 10-
digit HS code. Every fixed rate is ad valorem. The typical
bound rate is 87.5%. The average limit tariff on agricultural
items is 110.7%, whereas the average bound tariff on non-
agricultural commodities is 22.5percent. Final bound tariffs
vary from 0% for industrial machinery and transportation
equipment to 550percent for chemicals, drinks, tobacco, grains,
and foodstuffs.
Myanmar's administration uses a system of production
quotas to protect local producers and encourage economic
growth. The size and scope of the quotas vary depending on the
product, but they are typically set at a level that is intended to
encourage local production without stifling competition. Quotas
are often applied to products that are considered essential to the
local economy, such as rice and corn (Naing, 2016). They can
also be used to protect certain industries, such as the garment
sector. Quotas typically remain in place for a set period of time,
after which they are reviewed and may be renewed or lifted. As
a direct response to the classification of COVID-19 as a
pandemic, Myanmar instituted export limits on rice with the
intention of averting severe rice shortages. Rice is a
fundamental component of the Burmese diet, therefore its
availability is of the utmost importance. The initial phase of the
implementation of the restrictions included the interim

3. suspension of export licenses in March 2020. This was done in
preparation for the introduction of new regulations regarding
the export of rice. A monthly quota for shipments oversea was
established at 100,000 tonnes, and the quota for shipments over
the border was fixed at 50,000 tonnes (WTO, 2020). As a result,
the limits were deemed to be reasonable and justifiable given
the circumstances, and not projected to have any large negative
consequences on rice-importing countries.
The Myanmar government has used subsidies to protect
local producers in a number of ways. For example, it has
provided subsidies to farmers to help them purchase inputs such
as seeds and fertilizer. It has also supported the construction of
infrastructure such as irrigation systems. In addition, the
government has provided subsidies to businesses to help them
expand their operations or to help them with the costs of
relocating to Myanmar. In the manufacturing and industrial
sector, the government has provided subsidies to businesses to
help them expand their operations or to help them with the costs
of relocating to Myanmar. This has helped to create jobs and
boost the economy. During the COVID-19 epidemic, the
government of the country implemented to help alleviate some
of the financial burdens that the people was experiencing. After
that, the subsidies continued to be prolonged on a month-to-
month basis (Doan, 2019). According to U Soe Mint, who is the
Deputy Permanent Secretary at the Ministry, the total amount of
the subsidies is roughly K35 billion each month.
From the above graph it is clear that Myanmar's government has
been spending heavily on subsidies (CEIC, 2018). This was
aimed at helping boost production at the local economy. The
graph shows the expenditure incurred by the government from
2013 to 2018 in form of subsidies which has an upward
trajectory. Implying that the government has been subsiding
production in the country.
What are the reasons of applying these measures and how it
benefits the local economy?

4. There are a few reasons why Myanmar's government
might apply tariffs. One reason is to encourage the growth of
certain industries. Another reason is to protect specific
businesses. These measures can benefit the local economy by
supporting the growth of Myanmar's industries and protecting
businesses from foreign competition. However, they can also
lead to inflation and product shortages. The main rationale
behind using quotas is to spur local economic growth and
protect domestic producers (Nicita, 2018). By setting a quota,
the government is essentially saying that it wants more of this
product to be produced locally, rather than imported. This can
help to boost employment and growth in the local economy. It
can also help to keep prices down for consumers, as local
producers are often able to sell their goods at a lower price than
imported goods.
The main reason for providing subsidies to local
producers is to protect and promote the development of the
local economy. By subsidizing the costs of inputs or production,
the government can help businesses expand their operations and
create more jobs. This in turn can help to boost economic
growth and reduce poverty. In addition, by supporting the
construction of infrastructure, the government can help to
improve the business environment and make it more attractive
for investment.
Reply example:
Hello Wayne! Thank you for your analysis of the trade policies
applied in Myanmar.
I think it is very interesting given the fact that Myanmar is not
in the WTO anymore and has to trade by itself without any
written agreement.
I think that the fact that your country wants to protect certain
products traditionally produced in your country is very similar
to what the European Union is trying to do as well. On the other
side, the government is also giving a lot of subsidies to local
producers to help them and to grow their businesses and this is

5. also a common point with the European Union trading policies.
I like the fact that Myanmar is trying to boost its, until now,
weak economy by investing on the potential of domestic
products. It is without any doubt a strategy that it is working as
Myanmar population has access to cheaper and high quality
products. On the other hand, it is profitable in a way that those
products can be exported in the world if the domestic demand is
lower than the quantity produced.
A way to become a developed country, in my opinion, is to
show to the world that you are able to live and to survive
without the help of the others and this is exactly what Myanmar
is trying to prove.
I liked your analysis and it was really interesting to read it,
thank you!
Post 2
According to the Observatory of Economic Complexity (OEC) ,
Saudi Arabia was the world's 20th largest economy in terms of
GDP (current US dollars), 30th in total exports, 30th in total
imports, 46th in GDP per capita (current US dollars), and 32nd
in economic complexity (ECI).( Simoes, 2011)
For tariff classification, Saudi Arabia employs the Harmonized
Commodity Description and Coding System. Saudi Arabia has
signed a number of trade partnerships (particularly with the
Gulf Cooperation Council - GCC) that exclude member
countries from all import tariffs.
As a member of the GCC, it imposes a common external tariff
of at least 5% on most commodities imported from nations
outside the GCC. The C.I.F value is used to compute customs
duties. The tax and customs authority and the Zakat (for
Muslims) have issued an updated Harmonized Tariff Schedule
that would raise different import taxes rates beginning in June
2020. While the increases remain within World Trade
Organization ceilings, many tariffs have been raised by up to

6. 25%. The Saudi government also raised the value-added tax
(VAT) rate from 5% to 15%
Saudi Arabia currently joins its Gulf Cooperation Council
(GCC) countries in charging extra taxes on cigarettes (100%),
carbonated beverages ( 50%), and caffeine drinks (100% ).
Saudi Arabia Standards, Measurements, and Safety Organization
(SASO) is the regulatory authority in charge of overseeing the
quality of goods imported into Saudi Arabia. To verify that all
imported goods meet Saudi standards, a compatibility certificate
is necessary. Suppliers willing to export goods to Saudi Arabia
must comply with the Saudi Arabian product safety program,
which is an electronic portal, used to register both regulated and
uncontrolled products with the necessary shipping
documentation. (International Trade Administration, 2022)
Saudi Arabia purchases more than $1 billion in agricultural
products from the United States each year. The large majority of
food products are entitled to an import tariff of 10 to 15%.
However, certain processed foods are subject to higher import
tariffs. To preserve local food producers and production against
cost-effective imports. Saudi Arabia based import taxes on the
number of equivalent products produced locally. When local
production of a food or agricultural product reaches self-
sufficiency, a maximum import tariff level of 40% ad-valorem
is imposed as a general principle. Imports of (wheat, baby milk,
and animal feed) are subsidized, whereas imports of (coffee,
tea, and fresh meat) enter the country duty-free. (International
Trade Administration, 2022)
Certain items are either forbidden or require special permission
from the relevant authorities. ( alcohol, weapons, pork products,
used clothing, and vehicles and car parts older than five years is
prohibited. Imports of specific products, including horses and
other live animals, agricultural seeds, books, magazines, audio
or visual media, and religious materials that do not comply to
the true version of Islam or that connect to a religion other than
Islam, require special permission.

7. How Saudi Arabia Government benefits the local economy?
Vision 2030 intends to increase local markets in many
industries by localizing the manufacturing of goods and services
in order to increase competitiveness and provide long-term job
opportunities. A number of measures have been initiated to
enhance the rate of localization and support national products,
as well as to diversify the Kingdom's industrial base to include
the creation of new products. The Strategy took the lead in
increasing non-oil exports, and a variety of efforts, including
the formation of strategic partnerships, were launched to enable
Saudi enterprises to access global markets. The Saudi Export-
Import Bank (EXIM) was founded to assist export finance, and
the General Authority for Foreign Commerce was established to
maximize the Kingdom's gain in global trade, improve
competitiveness, and allow access to international markets. (
Saudi Vision 2030, 2022)
Reply example:
Thankyou Abdullah, it was very well written report.
As you mentioned about trade partnerships, does Saudi Arabia
have some special trade regulations with any EU country and
the States or just normal trade regulation as States is one of the
largest importer of Oil from Saudi Arabia, and as you export so
much oil does it give you any other benefits and tariff
reduction? like you mentioned Saudi Arabia imports more than
$1 billion worth of agricultural products.
Talking about vision, we all are aware of "The Line" has the
government given subsidies or rebates for imports for the
products required for the construction of it, and want to add one
more point, why doesn't the government help the locals and give
permission to start local manufacturing of carbonated beverages
and caffeine drinks (as you mentioned there is a 50% and 100%
import tariff respectively), as it will help in the growth of GDP
and help gain more employment.