Principles of foreign economic activity

KROK Economics and Law University

International Relations Faculty

International Economics and Business Department

Research Paper:

„ The Development of foreign trade of Ukraine ”

2^nd year student

Of “International Economics KROK

Exclusive” Programme:

Anna Posikera

 

 

KYIV - 2011Scientific advisor :

 

PLAN

 

INTRODUCTION

CHAPTER I. THEORETICAL ASPECTS OF FOREIGN TRADE ORGANIZATION

1.1 Principles of foreign economic activity

1.2 Concepts and theories of international trade

1.3 Regulation of foreign trade

CHAPTER II. MODERN TRENDS OF FOREIGN TRADE DEVELOPMENT OF UKRAINE

2.1 Evaluation of export potential

2.2 Export and import flows of commodities

2.3 Export and import flows of services

2.4 Problems of foreign trade of Ukraine

CHAPTER III. DEVELOPMENT PERSPECTIVES OF UKRAINE’S FOREIGN TRADE

3.1 Strategy of foreign trade of Ukraine

CONCLUSION

REFERENCES

 

INTRODUCTION

The promotion of independence of Ukraine started its actual output on the world stage as a subject of international economic relations. Changes in the geopolitical situation of Ukraine, were made after independence, and situational features of the current state of transformation processes in the economy substantially increased role of foreign economic relations in development. Reinforcing this factor is dictated objectively undertaken by market transformations, which form a qualitatively new framework for further economic and social development. Only part of Ukraine in world economic space and of how this process will take place depends on further economic and social development of States as the world economy organic subsystem.

The most effective and efficient strategy of Ukraine's integration into the global economy is to combine economic restructuring with its focus on strong growth in exports and its differentiation potential. This can be achieved by improving the overall investment climate and attracting investments in related sectors, establishing a mechanism to stimulate exports and the formation of viable competitive export industries.

As a subject of international economic relations, Ukraine has consciously to log in economic links to the most effective use all their capabilities and improve competitiveness.

The main objective of the course work - to explore the features of Ukraine's foreign trade. Subject of research are economic relations with the formation of modern international economic relations.

The research object is a foreign trade of Ukraine.

The urgency of the work is that at this time in our country, the real prospects for a truly open economy, its effective integration into the world economy. Active use of external factors contribute to overcoming the negative processes in the economy and further development of market relations. Theoretical and methodological basis of course work are the main provisions and conclusions expressed in the fundamental scientific works of domestic and foreign economists in the theory of international trade.

The work consists of three parts, which consistently explored issues of modern international economic relations and Ukraine's place in this system.

In the first chapter I will tell you about “THEORETICAL ASPECTS OF FOREIGN TRADE ORGANIZATION”. After that I will move on to “ MODERN TRENDS OF FOREIGN TRADE DEVELOPMENT OF UKRAINE”. And then I will give you some background about “DEVELOPMENT PERSPECTIVES OF UKRAINE’S FOREIGN TRADE”.

To conclude I would like to say that today the issue of foreign trade of Ukraine is very important and needs special attention, that is why I chose the topic for my course work, named „The Development of foreign trade of Ukraine ”

CHAPTER I. THEORETICAL ASPECTS OF FOREIGN TRADE ORGANIZATION

Principles of foreign economic activity

export import foreign trade

Ukraine's economic entities and foreign economic entities in carrying out foreign trade activities are guided by relevant principles.

1. The principle of sovereignty of the people of Ukraine in the implementation of external low economy activity that is:

- Exclusive right of the people in Ukraine alone and independently carry out foreign economic activities in Ukraine, following the laws in force in Ukraine;

- Ukraine obligation to comply strictly with all agreements and obligations of Ukraine in international economic relations.

2. The principle of freedom of foreign trade enterprises to production, that is:

- The right to foreign economic entities to voluntarily engage in foreign economic relations;

- The right of foreign economic activity to make it in any form not expressly prohibited by applicable laws of Ukraine;

- The obligation to adhere to the foreign trade activity of the established laws of Ukraine;

- Exclusive right of ownership of foreign economic activity in all the results obtained by them foreign economic activity.

3. Principle of legal equality and nondiscrimination, which is:

- Equality before the law in all subjects of foreign economic activity, regardless of ownership, including the state in foreign trade activity;

- Prohibition of any, except those provided for in this Law, the state action resulting in restrictions on rights and discrimination of foreign economic activity and foreign business entities by ownership, location and other characteristics;

- Restrictive inadmissibility of activity on the part of any of its subjects, except as provided by law.

4. Rule of law, that is:

- In the regulation of foreign economic activity only by the laws of Ukraine;

- Prohibition of the use regulations and administrative acts of local bodies in any way to create conditions for foreign economic entities, which are less favorable than those specified by laws of Ukraine.

5. The principle of protecting the interests of foreign economic activity, which is that Ukraine, as:

- Ensure equal protection of the interests of foreign economic entities and foreign business entities in its territory under the laws of Ukraine;

- Provides equal protection to all foreign economic entities of Ukraine outside of Ukraine in accordance with international law;

6. The principle of equivalence of exchange, the inadmissibility of dumping in the import and export goods.