Maroji is a major exporter of dairy products.Mipon is a major exporter of heavy machinery but also has a sizeable domestic dairy industry.Since it imports a sizeable amount of heavy machinery from Mipon,Maroji,at the request of Mipon,limited the amount of dairy products it exports to Mipon each year.This is an example of

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This situation is an example of a voluntary export restraint (VER), where Maroji agrees to limit the amount of dairy products it exports to Mipon at the request of Mipon. This is often used as a way to avoid more restrictive measures such as tariffs or quotas.

Maroji Is a Major Exporter of Dairy Products