Transcript NTMs Classification, ATR and NTRs in the Context of ATIGA

Simulation Exercise for Purposes of
NTMs Identification, Classification and Notification
Paolo R. Vergano
Institutional Strengthening Expert, ARISE
Two-Day National Workshop
20-21 October 2014
Vientiane, Laos PDR
Introduction
• The evaluation of NTMs is the critical step to be undertaken by
national authorities.
• Three-pronged approach with respect to NTMs:
– The identification of the trade relation and relevance;
– The classification of the measure; and
– Its notification to the ASEC for insertion on the NTM Database and its
reflection on the NTR/ATR.
2
Proposed NTM Classification Template
Issuing
Ministry
1
ASEAN
Regulation
Trade
Description Source URL
Reference
Repository
URL
2
3
4
5
Specify:
Indicate the Encode
Not yet
type of
relation to specific URL available (it
measure
trade of the with link to will provide
(law,
measure
the actual link to the
decree,
measure (in actual
directive,
English if
notification
etc.); title;
available) form
number and
submitted
signing date
to the
ASEAN
Secretariat)
Product
Notification
Description Year
Reason
NTM Code NTM Name Start Date
End Date
HS Code
6
Describe
with
sufficient
detail (2-3
sentences)
the
measure's
objectives,
specifying
relevant
articles
7
8
Use
Use name
UNCTAD's correspondi
NTM
ng to the
classification NTM code
(Feb 2012),
as available
in Annex D
of the WB's
Toolkit on
NTMs:
https://ope
nknowledge
.worldbank.
org/bitstrea
m/handle/1
0986/6019/
683590PUB
0EPI007902
B009780821
395103.pdf?
sequence=1
10
If the
measure is
temporary,
indicate the
end date,
otherwise
indicate
"permanent
"
11
12
Indicate the List the
HS code/s product
correspondi categories
ng to the
correspondi
products
ng to the HS
covered by codes
the measure
9
Indicate
date of
entry into
force of the
measure
13
Indicate
year of
notification
to ASEAN
Secretariat
Example No. 1
Circular Letter of the Director General of Livestock Services
to Provincial/District Livestock Services, Importers, Centre of
Agriculture Quarantine, dated 23 February 2001.
On 23 February 2001, following the sudden outbreak of Foot and
Mouth Disease in Country A on 20 February 2001, Country B
prohibited the importation of live animals and animal products of
ruminant and pig origin from Country A. The measure applied
immediately.
Example No. 2
Notice on the rules of origin of products from Country A,
published on 23 July 2013.
In order to be classified as products from Country A under the “TaxFree Program between Country B and Country A” and to guarantee
that preferential treatment is not manipulated, all goods classified
under Chapter 50 of the Customs Code shall be consigned directly
from Country A, without stopping at any third country unless there is
a valid emergency.
Example No. 3
Article 2, Circular No. 42, Ministry of Finance, signed on 18
March 2009.
In an attempt to increase the domestic textile industry in Country A,
the government adopted a measure requiring a specific local content
requirement for clothing products. In Country A, manufacturers of
textile products that source at least 60% of their inputs locally are
entitled to a one-year value-added tax (VAT) exemption.
Example No. 4
Article 4 of Standards and Technical regulation Law No.
1/1111/Q11, published on 12 February 2013.
In an effort to protect the inhabitants of Country A, exporting
countries that have not proven to employ satisfactory sanitary
conditions cannot be certified by Country A. The importation of
fruits from countries that are not on the certified list are temporarily
prohibited until the sanitary conditions are met.
Example No. 5
Article 28 of the Alcohol Law of Country A, adopted 12 June
1999.
Country A consists of a 90% Muslim population, and it is an offence
to offer alcohol to Muslims. Selling alcohol is not allowed except to
non-Muslims in hotels and restaurants, which are certified by the
Government of Country A. Foreigners are only allowed to purchase
alcohol by showing their passports.
Example No. 6
Regulation 31, PART II: Additional labelling requirements for
certain categories of food, The 1996 Food Labelling
Regulation, adopted on 14 March 1996.
To ensure that consumers are fully aware of relevant food product
information, Country A adopted a labelling regulation that applies to
raw milk. In particular, the container in which any raw milk is sold or
imported shall be marked or labelled with the words, “This milk has
not been heat-treated and may therefore contain organisms harmful
to health”.
Example No. 7
Notice No. 17, Ministry of Industry and Trade, circulated on
16 January 2012.
As part of its periodic review of the Customs Code, Country A
introduced a $133/tonne “advance guarantee payment” for rebar
imports to the country for a temporary period of 200 days. No
interest is to be paid on the deposits and it appears that the measure
has been introduced in order to ensure effective importation within
the available tariff-rate quota (TRQ), appropriate collection of
customs duties and correct supply of the market.
Example No. 8
Article 9, Agriculture Standard, GSO 05/CD 986:2014, signed
on 9 April 2014.
Based on available scientific information, Country A recently passed
a measure to ensure proper storage and quality for food items. In
particular, Article 9 of the new Agriculture Standard requires that
frozen chicken be displayed in proper freezers that allow cool air to
pass regularly to all parts of the frozen chicken at a maximum
temperature of -18˚C.
Example No. 9
Article 13 of the Tax Law, signed on 17 August 2012.
All products sold in Country A are subject to a value-added tax (VAT)
of 14%. The VAT applies to all importers, manufacturers and sellers
of products in Country A. The costs are typically passed on to
consumers.
Example No. 10
County A Regulation No. 649/2012, adopted on 13 May
2012.
In order to protect the inhabitants of Country A from the adverse
effects of hazardous wastes, imports of certain hazardous
chemicals and pesticides are prohibited in Country A, as prescribed
by the Basel Convention.
Example No. 11
Ministry of Commerce and Industry, Notification No. 12 (RE2013)/2009-2014, signed on 2 February 2009.
Areca nuts were recently found to be dangerous when ingested by
humans. Shortly after, the Ministry of Commerce and Industry in
Country A increased the minimum Cost in Freight (CIF) value for
imports of areca nuts from $1/kg to $2/kg. Imports with CIF value
lower than $2/kg are not allowed.
Example No. 12
Article 2, Sulphur in Gasoline Regulations (SOR/99-236),
signed on 12 March 2004.
To limit the presence of sulphur in the environment, Country A
passed a measure limiting the concentration of sulphur in each batch
of gasoline produced or imported by a primary supplier. As of 1
January 2005, the maximum level of sulphur allowed in each batch
of gasoline is 80 mg/kg.
Example No. 13
Foreign Trade Council Resolution No. 4, published in the
Official Gazette on 31 January 2014.
In order to balance the domestic market of basic chemicals, the
Foreign Trade Council of Country A implemented a tariff-rate quota
(TRQ) on the importation of o-Xylene (NCM 2902.41.00) with an inquota tariff of 0% for 10,200 tons within a 6-month period. The outof-quota rate is 4%.
Example No. 14
State Council Decree No. 98, signed on 13 June 2011.
To address a domestic shortage of wheat and flour, Country A
temporarily prohibited the export of those products. According to a
2011 State Council Degree, all exports of wheat and flour were
prohibited from 1 July 2011 to 31 December 2011.
Example No. 15
Article 13, Textile Labelling and Advertising Regulation,
signed on 17 June 2013.
In order to protect consumers from false or misleading information,
every fibre that is present in an amount of 5% or more by mass in a
piece of clothing must be declared on the label using its generic
name. A list of generic names is provided in the text of the
regulation.
Example No. 16
Ministry of Commerce Announcement No. 15, dated 23
January 2014.
The harvest season for cherries is from March to July. During this
period, domestic supply is sufficient for the market. In order to avoid
the oversupply of cherries, imports of cherries are prohibited in
Country A from 1 March to 31 July each year.
Example No. 17
Article 78, Packaging (Essential Requirements) Regulation,
signed on 27 November 2001.
Packaging shall be designed, produced and commercialised in such a
way as to permit its reuse or recovery, including recycling, and to
minimise its impact on the environment when packaging waste or
residues from packaging waste management operations are
disposed of.
Example No. 18
Public Law No. 110-314, Section 3, 122 Statute 3016, 3017
(2008); 15 Government Code 14, adopted on 12 March
2008.
Manufacturers and importers of children’s toys must certify, in a
written Children’s Product Certificate (CPC) based on test results
from a CPSC-accepted laboratory, that their products for children
comply with safety rules applicable to products for children.
Example No. 19
Annex 3, Announcement No. 15, Recognition of certain
geographical indications, Bureau of Intellectual Property
Right, signed on 30 November 1995.
Sparkling white wine from the Champagne region of France has a
reputation for higher quality than similar wine using grapes
produced in other parts of the world. Champagne can only be
labelled as such in Country A if it is produced from grapes grown in
the Champagne region of France following rules that demand
secondary bottle fermentation of the wine to create carbonation.
Thank You
ASEAN Regional Integration Support from the EU
ASEAN Secretariat
Jl. Sisingamangaraja 70A, Jakarta 12110 – Indonesia
Tel: (+62 21) 726 2991, 724 3372 ext. 852
Fax: (+62 21) 739 8234
E-mail: [email protected]
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