Understanding Bilateral Trade

Bilateral trade agreements are agreements between

countries to promote trade and commerce. 

They eliminate trade barriers such as tariffs, import quotas, and export restraints in order to encourage trade and investment.

Bilateral trade is the exchange of goods between two nations promoting trade and investment. The two countries will reduce or eliminate tariffs, import quotas, export restraints, and other trade barriers to encourage trade and investment

Understanding Bilateral Trade

The goals of bilateral trade agreements are to expand access between two countries’ markets and increase their economic growth. 

Standardized business operations in five general areas prevent one country from stealing another’s innovative products, dumping goods at a small cost, or using unfair subsidies. 

Bilateral trade agreements standardize regulations, labor standards, and environmental protections. 

Advantages of Bilateral Trade

Compared to multilateral trade agreements, bilateral trade agreements are easily negotiated, because only two nations are party to the agreement. 

Bilateral trade agreements initiate and reap trade benefits faster. When negotiations for a multilateral trade agreement are unsuccessful, many nations will negotiate bilateral treaties instead. 

Bilateral trade agreements also expand the market for a country's goods. 

The Australians vigorously pursued free trade agreements with a number of countries  during the early 2000s. In addition to creating a market for Australian goods, the expansion help spread the mantra of trade liberalization and encouraged open borders for trade. 

The Nigeria Australia Economic Forum as a public private joint partnership with Government is here to encourage bilateral trade between Nigerians and the Australians, to ensure the ease of doing business between both countries.

Join the forum today and prepare for the year 2020 edition of Nigeria Australia Economic Forum.