Directions: Select the option that correctly identifies non-tariff measures in international trade.

Within the framework of commercial policy instruments, which of the following are categorized as non-tariff barriers (NTBs)?
I. Quantitative restrictions on imported goods (Import quotas)
II. Regulations designed for health and safety compliance (Sanitary and Phytosanitary measures)

The correct option is Both I and II.

Detailed Explanation:

Non-tariff barriers (NTBs) are trade barriers, policy measures, or regulations other than traditional tariffs (customs duties) that countries use to restrict or regulate international trade in goods and services.

1. Analysis of Statement I: Quantitative restrictions on imported goods (Import quotas)
Import quotas establish a direct physical limit on the volume or total value of a specific product that can be imported into a country during a specified time frame. Because quotas control foreign trade through direct quantity restrictions rather than imposing a tax or duty, they are a primary example of non-tariff barriers. Thus, Statement I is correct.

2. Analysis of Statement II: Regulations designed for health and safety compliance (Sanitary and Phytosanitary measures)
Sanitary and Phytosanitary (SPS) measures are health and safety standards applied to protect human, animal, or plant life from diseases, pests, toxins, and contaminants. While intended to safeguard public health and environment, these administrative standards and quarantine rules act as non-tariff measures by regulating market access for foreign agricultural and food products. Thus, Statement II is also correct.

Since both import quotas and sanitary/phytosanitary measures fall under the classification of non-tariff barriers in international trade, the correct choice is Both I and II.