Impact of Tariff and Non-Tariff Barriers to Trade with reference to India, China and U.S.A.

Over the past several decades, the tariff and non-tariff barriers to trade have grown importance in the field of International trade and the organisations like UNCTAD, GATT/WTO, IMF and IBRD. The prime motto of such organisations is to eradicate trade restrictions and to enhance volume of trade through non-discriminating principle. These organisations were succeeded their objectives/goals until 20^th century. In the 21^st century, most of the developed and developing countries were facing oscillations in their economy. In order to stabilise their external sector/economy from global crisis, they are using tariff and non-tariff measures like sanitary and phyto-sanitary measures. This study seeks to analyse the effect of tariff and non-tariff barriers to trade of India with his major trading partners called China and USA. This study uses major exportable and importable commodities of India with China and USA. The study finds that the effect of tariff and non-tariff barriers to trade of India with China and USA through regression analysis gave volatile and vague results. After analysing the above issues comprehensively and the findings are compared with literature surveys, the study concludes that mostly the changes in exports and imports are the effect of changes in tariff and non-tariff rates. But other factors like GDP, Domestic demand and Domestic production play an important role in determining the trade volumes. Hence it can be concluded that tariff and non-tariff rates are a major determinant of trade volumes in both developed and developing countries but not the only determinant.