Border trade, in general, refers to the flow of goods and services across the international borders between jurisdictions. In this sense, it is a part of normal legal trade that flows through standard export/import frameworks of nations. However border trade specifically refers to the increase in trade in areas where crossing borders is relatively easy and where products are significantly cheaper in one place than another, often because of significant variations in taxation levels on goods such as alcohol and tobacco.
As well as border trade across land or sea borders, air travel with a low-cost carrier can be worthwhile for a short international trip to the same purpose, although baggage restrictions can limit worthwhile savings to those for small high-value goods.
Where border trade is done for tax evasion it forms part of the underground economy of both jurisdictions.
Famous quotes containing the words border and/or trade:
““Although our love is waning, let us stand
By the lone border of the lake once more,
Together in that hour of gentleness
When the poor tired child, Passion, falls asleep....””
—William Butler Yeats (1865–1939)
“I might be driven to sell your love for peace,
Or trade the memory of this night for food.
It well may be. I do not think I would.”
—Edna St. Vincent Millay (1892–1950)