True free trade requires the reduction of tariffs and quotas, as well as government subsidies to enable entrepreneurs to thrive in their business. Most governments put up such trade barriers to protect jobs and domestic markets from competition. This comes at the cost of the average consumer. Higher tariffs mean that the product coming into the country faces an import tax. This is added onto the final price to the consumer effectively acting as further taxation. The tariff works in a similar way as a subsidy to keep a business afloat. It uses tax-payers money to provide protection to businesses. If tariffs are reduced, the consumer will have more disposable income to spend elsewhere on goods or services. This in turns improves the business activities of the traders.
Students’ Organization for Liberty and Entrepreneurship (SOLE) in partnership with Initiative for African Trade and Prosperity on the 12th Sept.2022 conducted a one day seminar at Juba University on Trade and Economic Freedom in South Sudan. There were 133 students in attendance.
The main aim of this event was to teach the students about the benefits of free trade, the African Continental Free Trade Area, non-tariff barriers to trade, and economic freedom to entrepreneurs in South Sudan and how these ideas can unlock the business potentials. During the event, each student received a copy of Eamon Butler’s book titled ‘An Introduction to Trade and Globalization’ at no charge. In addition, they also received some copies of The Divine Economic Model written by Bruce. Furthermore, 5 copies of Introduction to Trade and Globalization and 5 copies of the Divine Economy Model were donated to the University of Juba Library. South Sudan has opened up significantly to global trade in the last few years after independence, as average tariff rates have been reduced with some gradual reduction in trade barriers. Even though tariff rates have reduced, there are still an aspect of protectionism in favour of the local trades.
From the discussions during the seminar, it was noted that free trade helps everyone in the