THE EFFECT OF NON-TARIFF BARRIERS ON TRADING FLOWS BOSNIA AND HERZEGOVINA WITHIN CEFTA 2006

Abstract

Main objective of this paper is presentation of non-tariff barriers influence on trading flows among countries within CEFTA 2006, in other words, position of Bosnia and Herzegovina in terms of agreement. CEFTA 2006 represent middle-European zone of free trade founded for the purpose of trading flow strengthening within Western Balkan countries on the path of their accession to EU. According to that, Bosnia and Herzegovina as a member of CEFTA 2006 tries to reach better economic position within agreement and accelerates its integration toward EU. Although, on the path to trade liberalization country’s members cancelled tariffs and quotes in their relationships, while they continued to use non-tariff barriers at the large extent. Consequently, n this paper we intended to lighten the role and trade position of Bosnia and Herzegovina within CEFTA 2006. We concluded that Bosnia and Herzegovina achieved enviable economic result regarding strength of trading flows and competitiveness. Despite of this, we also concluded that position of Bosnia and Herzegovina could be better within CEFTA 2006. if country’s members eliminate invisible tariffs, or if Bosnia and Herzegovina would performed more actively in the process of reforms conduction in the field of annulling of non-tariff barriers.