Jasmine Gladstone

Gains accrue to all the participating countries in international trade. The classical economists usually adopted the following alternative criteria of measuring the gain from trade accruing to an individual country: Reduction in the Cost of Production.
Enhancement of the Real Income.
The nature of Terms of Trade.
In short, an index of cost reduction or improvement in the marginal physical product of labour can be used as a criterion for measuring the gain from international trade.
Thus, the gain from trade may be measured as under: G = Ca - Cb
Where,
G stands for the gain;
Ca stands for per unit cost of production after trade;
Cb stands for per unit cost of production before trade.
If G is negative, it suggests cost economy to that extent.

GST (Goods and Services Tax) is a broad-based tax of 10% on most goods, services and other items sold or consumed in Australia and also on most imports of goods. These include fees for professional services conducted in Australia such as fees for an Australian educational institution.

GST is not applied to a service if it is outside Australia and the use of the service is outside Australia. It is also GST free if the recipient of the service is outside of Australia.

Exports of goods and services are generally GST-free. If you're registered for GST, this means:

You don't include GST in the price of your exports
You can still claim credits for the GST included in the price of purchases you use to make your exported goods and services.
There are some circumstances where GST must be paid, such as if the goods remain in Australia for more than 60 days after they are sold. You should refer to the Australian Taxation Office for detailed information on GST rules and your obligations as an Australian business.
For an Australian company who exports, export sales need to be included when registering and reporting on GST turnover because the good or service is ‘connected with Australia’.

A bill of exchange is a demand for payment issued by the seller to the buyer. A valid bill of exchange facilitates payment of trade transactions and provides a more straightforward way of debt recovery in the event of default than relying on the underlying commercial contract. A bill of exchange is not a guarantee of payment. However, it does allow for legal recourse against the acceptor in the event that payment is not made.

The global harmonised system (HS) is the common international system for classifying goods – used for international trade negotiations for example, and applied by most trading nations. Run by the World Customs Organization, it uses 6-digits and is used worldwide.
The EU's combined nomenclature (CN) is based on the HD but uses 8–digit codes for a more detailed categorisation – which helps to give you clear, detailed information on your product.

A sizable portion of global trade occurs via countries exporting and importing goods within the same industry to each other—called intra-industry trade. This type of trade is particularly characteristic of the large flows of products between advanced economies, which have similar resource endowments and levels of development. These trade patterns suggest that there is another basis for trade, other than comparative advantage: the use of economies of scale or increasing returns to scale. Economies of scale exist when a production process is more efficient (i.e., has lower unit costs) the larger the scale at which it takes place. While the United States and Germany, for example, could be equally proficient at producing a wide array of goods such as autos and pharmaceuticals, neither has the productive capacity to produce the full range of goods optimally. Therefore, a pattern of specialization tends to occur with countries producing and trading some sub-set or “niche” of these goods.