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QUANTITATIVE RESTRICTIONS (QRs)

Restrictions that limit the value or quantity of goods which can be imported or exported during a given period.  Article XI of the GATT 1994 establishes the general elimination of QRs, with some exceptions.

The Council for Trade in Goods adopted the Decision on Notification Procedures for Quantitative Restrictions (G/L/59)  on 1 December 1995.  The decision states inter alia that Members should make complete notifications of the quantitative restrictions which they maintain every two years and notification of changes as and when they occur.  The notifications are to contain:  a full description of the products and tariff lines (or parts of tariff lines) affected together with the relevant heading or sub-heading in the Harmonised System nomenclature; a precise indication of the type of restriction, using the agreed symbols (BISD 32S/108); an indication of the grounds and WTO justification for the measures maintained, including the precise provisions which they cite as a justification; a statement on the trade effects of the measure.  In order to ensure full transparency, the notification should include a description of the administrative mechanism associated with the measure, unless this mechanism has been notified under the Agreement on Import Licensing Procedures or another WTO Agreement.  Also under trade effects, the notification should include information on the quantity of permissible imports, on the degree of quota utilization (in the case of exiting quotas) and, where available, on the level of production or consumption.

The Secretariat maintains a database of the Quantitative Restrictions notifications, as mandated by the Decision.  Extracts of the database are available to Members upon request.  The types of measures included in the database can be summarized as follows:

Licensing (automatic and non-automatic)

Quotas (Bilateral and global)

Minimum price triggering a QR

Mixing regulations

Prohibitions

QRs made effective through state-trading

"Voluntary" export restraints

Most of the above measures have additional entries in the database for QRs applied on a seasonal basis and for QRs applied to exports.