Foreign trade in Syria has in the recent years witnessed a remarkable development whether through activating exports or diversifying imports. The trade balance scored a surplus in the years: ( 1989-1990- 1991) for the first time in decades. But since imports increased by over two folds in the years 1989- 1993, the trade balance again scored a deficit in 1994 amounting to S.P 21,555.6.

The opening-up policy adopted by the government within gradual and deliberates steps had contributed to expanding the import bast to meet the local needs whether for consumption or to build up new production capabilities. Within this framework the government is seeking to unify foreign currencies rates so that to reflect the real supply and demand operations.

Foreign Trade Regulations:

Importation: Import policy in Syria is based on the following principles:

1. allowing the importation of raw materials, spare parts, machinery, equipment ( both agriculture and industrial), medical and laboratory equipment and engineering and scientific equipment.
2. Allowing the importation of foodstuffs and agricultural produce which are not available locally and banning or minimizing the importation of commodities whose alternatives are available locally.
3. Rationalizing the importation of luxury commodities and imposing higher customs duties on them.
4. Imported commodities are subject to different customs duties according to their being basic commodities or luxury items.
5. Most of the imports are financed by the exports revenues, that’s the foreign currencies realized from exporting local commodities, others by credit facilities or expatriates funds
6. Import operation are subject to prior licenses granted to all importers after they present their documents of the commercial registration and chambers of commerce or industry in Syria.
7. Customs Dollar rate is estimated at S.P 11.20 except luxury items which are estimated at S.P 22 per dollar. There is a new trend by the government to unify the rate of the Dollar according to the neighboring countries rate of S.P 43 per one Dollar, to be applied gradually.

Exportation: Export policy in Syria is based on encouraging and supporting whatever exportable of local products and commodities. It is based on the following points:

1. Export licenses in Syria are needed only for certain materials.
2. Export operations are subject to an undertaking by the exporter at the commercial Bank of Syria to return the hard currencies generated from export operations. Exporter should also fill a manifest to be presented to the general customs administration along with the documents which show the Syrian origin of goods.
3. The commercial bank of Syria buys the hear currencies generated from export operations on the basis of the rates of neighboring countries. At present, it equals S.P 43 per Dollars. It is also allowed that export revenues can be endorsed in favor of other importers to finance imports.
4. Exporters can maintain in whole the hard currencies generated from certain commodities like fruit, vegetables, animal products and others.