Importing goods into a country re-exporting is know as

Assessment: WAEC SSCE - Commerce - 2007 (Objective) Subject: Commerce

Question 1 Report

Importing goods into a country re-exporting is know as
Answer Details
Importing goods into a country and then re-exporting them is known as "entrepot trade". Entrepot trade involves importing goods from one country and storing them in a warehouse or free zone before exporting them to another country. The main purpose of entrepot trade is to take advantage of differences in tariffs, taxes, or regulations between countries. By doing so, it is possible to earn a profit from the difference in price of the goods between the importing country and the exporting country. Entrepot trade can also help to reduce transportation costs and improve supply chain management.

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