Export Policy – Import And Related Parties In Letter Of Credit

Abstract

International trade policy is carried out to stabilize the economy that occurs between several countries. International Trade with this Letter of Credit is a sale and purchase price agreement carried out before international trade activities. This study aims to find out how policies in export and import activities use a Letter of Credit and parties participating in import export activities. The use of the method in this study is to use the type of analysis method in a qualitative way based on data from several sites such as Emerald, ScienceDirect, and Google Scholar. We find that international trading has a positive impact, namely encouraging manufacturing activities, making economic growth increase, employment rates increasing, financial institutions gaining trust and domestic needs will be met. Based on the concept of national economic strategy, policies in conducting international trade are divided into two types. First, the policy of free trade. This policy explains if the government gives permission to carry out exports and imports without interference from various rules. This import-export activity has an influence on the competition between each country. Second, trade defense policy. This policy explains if there is government interference in export and import activities. This government intervention is to protect various sectors that carry out export and import activities in order to survive in international competition.