Procedural obstacles

An important feature of ITC’s NTM business survey is that it not only identifies regulations that are burdensome to traders but also captures why these measures are burdensome. Although it could be because of the regulations exporters and importers face are too strict to comply with, in many cases businesses find complying with official measures difficult not because they are too strict but because of other external factors which create an obstacles for them to comply.

Procedural obstacles (PO) are practical challenges and processes that makes compliance with the measures difficult. These include issues such as long delays in testing or certification, inappropriate facilities to store products product during custom inspection, and lack of adequate information on a given regulations. Data on POs can be captured only through survey of businesses. The international NTM classification also includes classification of procedural obstacles which have been grouped into 8 broad categories:

1. Administrative burdens

These are administrative issues that businesses face when complying with a given regulation. These include difficulties in filling out documents, the need to submit too many documents, problems with translating official documents, and the need to deal with many administrative windows.

2. Information/transparency issues

These are issues business face when they do not find adequate information on a given regulation, regulations change frequently, and actual requirements differ from the ones that are published.

3. Inconsistent or discriminatory behaviour of officials

These are issues businesses face when officials in charge exhibit arbitrary behaviour with regard to a given regulation, classification or valuation of a product.

4. Time constraints

These include delays business face in related to a given regulation (for example delays in inspection or the  issuance of permits) and when deadlines set for completion of requirements are too short.

5. Informal or unusually high payments

These are obstacles businesses experience when they are faced with demand for informal payments by officials or because of high cost of complying with a given regulation.

6. Lack of sector-specific facilities

These are problems faced by businesses when there is a lack of adequate facilities such as testing agencies or appropriate storage which are required to comply with a given regulation.

7. Lack of recognition or accreditation

Businesses face this problem when the facilities available to them lack international recognition or when, for example, national certificates are not recognized internationally.

8. Other obstacles

All other obstacle not covered by the ones above