In: Operations Management
Reflective Question # 2:
The Lebanese government is trying to increase its wealth; it will
be using trade barriers to protect
its industries from global competition. The main exported
commodities are jewelry,
miscellaneous consumer goods, fruit and vegetables, tobacco,
construction minerals, and paper.
Lebanon mainly imports oil, electrical equipment, precious stones,
metals, chemical products,
base metals, vehicles, food and beverages, vegetable products and
animal products. Most of
Lebanon imports are mainly from China, Italy and Egypt. The only
country that Lebanon does
not trade with is “Israel” because they are an occupied country and
abuse human rights.
1- What are the barriers that Lebanon would consider to put upon
the importing of vegetables
products? What about the barriers imposed on “Israel?
2- In order to make the Lebanese product more competitive compared
with overseas firms, what
are the measurements that the government must take?
Answer 1 :
Barriers that Lebanon would consider to put upon the importing of vegetables :
Barriers to exchange influence short of what one percent of Lebanon's import/trade products. Nonetheless, various Lebanese government organizations may force permitting prerequisites, for example, specialized, veterinary, or phyto-clean (plant wellbeing) endorsements. A predetermined number of products (for example weapons) are dependent upon more than one exchange measure. All products subject to import and fare disallowances could likewise be denied from traveling Lebanon.
Under 1% of imported items are liable to exchange limitations (permit, specialized, clinical or phytosanitary certificates) which can be like non duty barriers. Bringing in certain items, similar to arms for instance, is prohibited in Lebanon regardless of whether they are just in travel. Every one of these limitations can be counseled on the site of the Lebanese Customs. Also, Lebanon applies the blacklist chose by the Arab League against Israeli items and some outside organizations might be boycotted in the event that they are believed to help the military improvement of that nation. Be that as it may, the blacklist is relative since an impressive number of restricted items can be found on the Lebanese market today.
Customs Duties and Taxes on Imports :
In excess of 83 percent of imported products are dependent upon obligations equivalent to or underneath five percent. Customs obligations fluctuate contingent upon the idea of merchandise and their starting point. Extra charges might be applied on specific items, for example, materials, mixed drinks, engine vehicles and so on. These levies are set by the Lebanese traditions.
Barriers imposed on Israel :
All in all, Israel offers a decent business condition for U.S. organizations. The United States-Israel Free Trade Agreement (FTA) has dispensed with practically all duties, leaving Israel's rural part as the just one with significant barriers. The FTA additionally accommodates a joint advisory group included delegates from the two nations to audit the working of the understanding. Israel is an individual from the World Trade Organization (WTO).
The U.S. Consulate in Jerusalem is effectively seeking after enhancements in the fare and speculation atmosphere for U.S. firms in Israel. These endeavors are engaged in three explicit regions: advancing universally acknowledged specialized norms in Israel that don't victimize U.S. items, securing protected innovation rights (IPR), and building up more noteworthy straightforwardness in Israel's open obtainment process.
Answer 2 :
The following
are the
measurements that
the government must take
:
The Ministry of Economy and Trade is worried about financial and business issues as per the undertakings depended to it which is as per the following:
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