There are many types of non-tariff barrier that have been implemented in Malaysia which aims to control and limit the amount of imported goods and services. One of them is quota which is a government action in limiting the maximum quantity of goods and services with the consent of the import country involved in a certain period of time. Goods such as vegetables and auto parts are some of the usual items that are charged with quotas.
As quota restrictions being implemented, it reduce and limit the quantity of imports thus decrease the quantity of imported goods in local market. In Malaysia, the implementation of the quota system is run in various ways. For example, the import of round cabbage requires import permits from the Department of Agriculture Malaysia. The import permit is only issued to quota holders only via e-permit. The maximum quota to import the cabbages will be based on the ministry. The Ministry may either increase or reduce the total import volume.
As example, in 2017 during Chinese New Year, the Ministry had increased the total import volume of 1,500 to 2,000 tonnes cabbages compared to 6,000 tonnes per month.