Free Trade Agreements (FTAs) are treaties between two or more countries that aim to facilitate trade by reducing or eliminating barriers such as tariffs, quotas, and import/export restrictions. These agreements are designed to promote economic integration and increase trade flows by ensuring that goods and services can be exchanged more easily between the participating nations. FTAs can cover a range of areas, including the elimination of tariffs on specific products, protection of intellectual property rights, regulations on trade in services, and investment provisions. By creating a more predictable trade environment, FTAs seek to enhance economic cooperation, encourage foreign investment, and create jobs in the member countries. They are a key component of international trade policy and can involve both bilateral agreements (between two countries) and multilateral agreements (involving multiple countries).
The European Free Trade Association (EFTA), including Iceland, Liechtenstein, Norway, and Switzerland, has established a free trade agreement with Moldova, effective April 1st. The agreement will eliminate tariffs on 98.5%…