export subsidy definition

export subsidy

Government help to exporters, generally in two forms (1) Service subsidy: trade information, trade shows, feasibility studies, foreign representation, etc. (2) Cash subsidy: (a) rebate on imported raw materials and duty-free import of manufacturing equipment (called indirect cash subsidy); or (b) drawback as a percentage of the value of exports (called direct cash subsidy). Although World trade Organization (WTO, formerly GATT) recognizes that subsidies hinder fair competition and distort trade practices, it has not been able to define precisely what kind of assistance constitutes a subsidy.

export subsidy is in the Banking, Commerce & Finance, Economics, Politics, & Society and International Trade & Relations subjects.

export subsidy appears in the definitions of the following terms: drawback, non tariff barrier (NTB), trade liberalization and Cairns group

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