COMPARATIVE ANALYSIS OF CUSTOMS REGULATIONS: EUROPEAN UNION AND ANDEAN COMMUNITY OF NATIONS. OPPORTUNITIES FOR ECUADOR

Abstract

Due to internal and external factors international trade has been affected by generating profits for some countries but limiting others. Nowadays, global negotiations are mainly done by regional integrations like the European Union and the Andean Community of Nations. The number of regional agreements has increased causing the Spaghetti Bowl Effect. In the context of international commerce, there are two types of blocks: building and stumbling blocks. The first one promotes multilateral negotiations and the other restricts trade between countries. International trade has allowed a greater movement of goods and services where efficient and effective custom regulations are necessary. The custom regulations can be generated or limited commerce. The research analyzes the importance of customs regulations over the international trade. It focuses on the custom measures applied by the European Union and the Andean Community of Nations. The commerce between blocks can increase or decrease by their custom regulations. Therefore, the research will determined if the regulations applied on the European Union and the Andean Community of Nations are building or stumbling blocks. By defining the type of block, it will be faced the opportunities and threats that Ecuador have in the Andean Community signing the multiparty agreement with the European Union.