What is the purpose of import licensing?

The purpose of import licensing is to mandate government approval for certain imports. Import licenses are required for specific products deemed sensitive or critical for a country, and they help regulate what can enter the market. This process often serves to protect domestic industries, control the quantity of goods entering the country, and ensure compliance with safety and health regulations. By requiring government approval, import licensing also enables the government to monitor and manage the flow of goods, ensuring they align with national policies and economic goals.

The other choices do not encompass the primary function of import licensing. Assessing the quality of goods is often part of import regulations but is not the primary purpose of a licensing system. Import licensing does not eliminate tariffs; in fact, it may coexist with tariff structures. Lastly, while certain imports may impact taxation, import licensing itself does not primarily aim to provide tax benefits for exporters.