ENTREPRENEURSHIP

Detailed explanation-1: -A Preferential Tariff is one that falls under a preferential trade agreement. Basically, countries make a deal in which they agree to charge a lower rate than the MFN rate.

Detailed explanation-2: -An import tariff will raise the domestic price and, in the case of a small country, leave the foreign price unchanged. An import tariff will reduce the quantity of imports. An import tariff will raise the domestic price of imports and import-competing goods by the full amount of the tariff.

Detailed explanation-3: -Most-favored nation (MFN) tariffs are tariff rates a country applies to imports from all trading partners that are members of the World Trade Organization (WTO), unless the country has a preferential trade agreement, like NAFTA, that stipulates different (lower) duties on imports from specific countries.

Detailed explanation-4: -You can obtain preferential tariff treatment, for example, if the goods have been cleared in Turkey and you get a movement certificate A.TR from the seller. When declaring goods ordered from Turkey, provide Turkey as the country of origin even though the goods were manufactured in some other country.