the purpose of a customs union was increasing economic efficiency.
the purpose of a customs union was increasing economic efficiency.
what was the purpose of a customs union?
increasing economic efficiency
customs union









































a customs union is generally defined as a type of trade bloc which is composed of a free trade area with a common external tariff. customs unions are established through trade pacts where the participant countries set up common external trade policy (in some cases they use different import quotas). common competition policy is also helpful to avoid "competition deficiency".









































purposes for establishing a customs union normally include increasing economic efficiency and establishing closer political and cultural ties between the member countries. it is the third stage of economic integration.
customs union
on the other hand, there were supporters of joining the customs union from the ranks of wholesalers of goods produced within the customs union, also local tradesmen, certain branches of hamburg industry (which was anyway a small component of the economy), retail tradesmen, especially those located near the customs union borders. for these groups, the customs cordon made their trade with the union more difficult. important branches of industry therefore moved from hamburg to adjacent parts of the customs union area. for example, tobacco companies with a workforce of 3,000 settled in ottensen. these pro-customs union protagonists on 25 may 1880 founded the "hamburger zoll anchluss party", which advocated the city joining the customs union territory but at the same time setting-up a smaller free port district. supporters included the ohlendorff family who owed their nobility to prussia.
accession of hamburg to the german customs union (zollverein)