What is the difference between importation and exportation

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April 2, at pm. Charles Small says:. Some types of goods and services require a license or permit to import into the U.

Exports are any resources, intermediate goods, or final goods or services that a buyer in one country purchases from a seller in another country. The International Trade Administration provides tools, assistance, and expert knowledge to help your company grow in the global marketplace.

Depending on the good or service, you may need a license or permit to export it from the U. In most cases, you will not need a license to import goods into the U.

But, for certain goods being imported, some agencies may require a license, permit, or other certification. Check the requirements of federal agencies. These guidelines from U. Countries are most likely to import goods or services that their domestic industries cannot produce as efficiently or cheaply as the exporting country. Countries may also import raw materials or commodities that are not available within their borders. For example, many countries import oil because they cannot produce it domestically or cannot produce enough to meet demand.

Free trade agreements and tariff schedules often dictate which goods and materials are less expensive to import. A country needs an import when the price of the goods or services on the world market is less than the price on the domestic market. Many small businesses import items that cannot be made in other countries economically. There are two basic types of import. Exports are the products and services produced in one country and purchased by residents of another country.

If the goods are produced domestically and sold to someone in a foreign country, it is an export. Businesses export commodities and services where they have a require advantage. That means they are preferable than any other companies at given that product. Countries have comparative advantages in the products they have a natural ability to produce. Governments strengthen exports.