Trade restrictions control and influence international trade in forest products, as they do for most products that cross international borders. They range from tariff to the less obvious, but often more complex, non-tariff restrictions. They can influence the level and pattern of trade, and the relative competitive situation of different countries. In many cases they can have important consequences for both the exporting and importing countries.
The GATT Uruguay Round of Multilateral Trade Negotiations which was concluded in 1994 resulted in a number of changes, some substantial, to tariff levels, the type and level of Non-Tariff Barriers and to the trading 'rules' under which international trade takes place. The agreements reached will therefore have important consequences for forest products trade in the future. Many benefits will arise, and have already been occurring, from the changes.
However, after a period of relative quiet, the question of trade protectionism is now being increasingly raised. This is partly because of the actions being taken as follow-up to the Uruguay Round, partly as other agreements are discussed and negotiated (e.g. the APEC, NAFTA, Mercosur agreements) and in the case of forestry, partly as environmental issues continue to receive widespread attention. The subject of trade restrictions is one where views and positions vary considerably. Proponents of trade expansion see protectionism as one of the main obstacles facing international trade. Others however see increased trade as being against the sustainability of the forests, and consider that protectionist practices may be an essential part of overcoming the pressures on the forests. In this debate questions raised include: what really is the current level of restrictions? which countries and which products are still restricted and in what way? are there areas where the trade liberalizing rules are having little effect? who is being affected? what can be done to improve the situation?
This study, carried out by Dr I.J. Bourke of the FAO Forestry Department and Ms Jeanette Leitch of the University of British Columbia, Vancouver (Canada) under FAO's Forest Products Trade Programme, seeks to shed light on some of these difficult questions. The report is a logical follow-on from an earlier FAO report "Trade in Forest Products: a Study of the Barriers Faced by the Developing Countries" (Bourke, 1988, FAO Forestry Paper No. 83). The reader should consult that report for much of the background, definitions, and theory, on the subject, and also to compare the current conclusions with those that were reached at that time.
FAO trusts that this paper will contribute to the discussion on this important subject. Comments regarding the paper would be welcomed, as would any additional or updated information.
M. Hosny El-Lakany
Assistant Director-General
Forestry Department
