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Logistics & Trade · Definition

Quota

A limit on the quantity of a good that may be imported in a period.

A quota caps volume rather than price. An absolute quota stops imports once the ceiling is reached; a tariff-rate quota allows a set quantity at a low duty and charges a higher rate on anything beyond it.

Quotas make timing part of sourcing strategy. Where allocation is first come, first served, an order placed late in the period can carry a materially different landed cost from the identical order placed early.

Also called

  • import quota
  • tariff-rate quota

Quota is not just a definition here

Logistics & Trade runs on this vocabulary every day in AWRA OpsHub — 23 of our 257 glossary terms describe things the platform actually does.