In international merchandise trade statistics, the objective is to record goods entering and leaving the economic territory of a country. In practice, what is recorded is goods that enter or leave the statistical territory, which is the territory with respect to which data are being collected. The statistical territory may coincide with the economic territory of a country or with some part of it. It follows that when the statistical territory of a country and its economic territory differ, international merchandise trade statistics do not provide a complete record of inward and outward flows of goods.