The free movement of goods is consistent with the basic principles of free trade  Allowing grey imports is consistent with the basic principles of free trade. (Free trade principles – WTO1) If a manufacturer/distributor is selling the same item at different prices in two countries, free market economics suggests that the rational purchaser will purchase in the cheaper of the two, presuming, for example, that the difference will not be wholly swallowed up by transaction and transportation costs or taxes. If this logic holds for a consumer choosing between two jeans shops in his town, it must also hold for a retailer choosing between a jeans manufacturer’s price lists in two countries. Until recently, there was an information asymmetry (rational markets requiring information symmetry), as the manufacturer knew about their differential pricing, but the purchaser did not; information technology has now changed the equation and allowed the market to operate more efficiently. Not only this, but consumers can already buy products from pretty much anywhere in the world, as long as they can pay the postage.  1 World Trade Organisation "UNDERSTANDING THE WTO: BASICS", WTO 2011