EXPORT PROMOTION SEMINAR

customs issues

Arthur MüllerDelegate for Free Trade Agreements

Federal Customs AdministrationSwitzerland

Important!

•only preferential trade for originating products•proof of origin has to be presented at theimportation

–EUR.1–Invoice Declaration–Invoice Declaration of an Approved Exporter

•preferential trade is not mandatory•SACU is considered as one „country“

•free trade models–customs union–free trade agreement

•use of rules of origin

•proofs of origin

•rules of origin (annex 5)–buildup–origin criteria

•wholly obtained•sufficiently worked (list rules)•cumulation•principle of territoriality•direct transport

–administrative co-operation•questions

free trade models

customs union

•common customs tariff

•no origin rules

•free circulation of goods

free trade zone

•no common trade policy

•no common customs tariff

•defined origin rules

•free circulation of originating goods only

use of origin rules

•markings•statistics•non preferential rules of orign (importrestrictions, antidumping measures)

•preferential treatment on import

proofs of origin

•EUR.1•Invoice Declaration•Invoice Declaration of an Approved Exporter

EUR.1

•issued by the exporter•presented at theexportation•checked and stampedby the customs office

proofs of origin

proofs of origin

Invoice Declaration (max. 6000 Euro)

“The exporter of the products covered by this document (customs authorization No ….) declares that, except where otherwise clearly indicated, the products are of SACU preferential origin”.

•original signature of the exporter•invoice, delivery note, other document describing the goods sufficiently

proofs of origin

Invoice Declaration of an Approved Exporter(unlimited value of the consignment)

“The exporter of the products covered by this document (customs authorization No 12345) declares that, except where otherwise clearly indicated, the products are of SACU preferential origin”.

•NO original signature of the exporter•invoice, delivery note, other document describing the goods sufficiently

proofs of origin

Approved Exporter

•frequent shipments •reliable exporter•Customs Administration may authorise subject to any appropriate condition •Customs Administration giving out a customs authorisation number •Customs Administration monitors the use of the authorisation•Customs Administraion may withdraw the authorisation at any time in case of misuse

rules of origin

"Protocol concerning the definition of the concept of originating products and methods of administrative co-operation„

table of contents•Title I General Provisions•Title II Definition of the concept of "originating products"•Title III Territorial requirements•Title IV Proof of origin•Title V Arrangements for administrative co-operation•Title VI Final Provisions

rules of origin

Table of contents ctd.• Appendix 1 Introductory Notes to the List• Appendix 2 List of working and processing• Appendix 3 Specimens of Movement Certificate EUR.1

origin criteria• autonomous origin

– wholly obtained– sufficiently worked or processed

• origin by means of cumulation– bilateral cumulation

wholly obtained

carpet

woolfrom SACU (Botswana)

dyefrom SACU(South Africa)

sufficiently worked and processedexport to EFTA

importfrom Angola

importfrom Mozambique

Botswana

sufficiently worked and processed

•conditions in the List (Appendix 2)

•general tolerance rule of 15%

•minimal operations

list of working and processing

Manufacture in which the value of all the materials used does not exceed 50 % of the ex-works price of the product

Manufacture from materials of any heading, except that of the product and that of heading 84.31

Lifting, handling loading or unloading machinery, bulldozers and excavating machinery

84.25 to 84.30

(3) or (4)(2)(1)

Working or processing, carried out on non-originating materials, which confers originating status

Description of productHS heading

HSclassification

productdescription

applicablerule

list of working and processing

definition of the product obtained

•first column: tariff-heading or chapter

•second column: product description

rules to apply

•third and fourth column

•rules in column four are applicable as an alternative to therule in column three

please consult the Introductory Notes (Appendix 2)

bilateral cumulation

fabrics of flax (53.09) woven in Switzerlandfrom flax yarn importedfrom SACU

list rule: manufacture from yarn

principle of territorialityoriginating status must be fulfilled in oneparty (e.g. SACU, Norway, etc.) withoutinterruptionexceptions:

• returned originating products from third countries

• added value outside the contracting parties of 10 %

direct transport

conditions regarding transport through third countries:•under customs surveillance•only operations

unloading and reloadingto preserve them in good conditionsplitting up of consignments

•evidence shall be supplied to customs on import

arrangements foradministrative co-operation

verification procedure

Customs Administration

exporting country

check at the

exporter's site

Customs Administration

importing country proofof

origin

proofof

origin

Customs Administrationexporting country

requestfor

verification

requestfor

verification

proofof

origin

proofof

origin

resultof

verification

resultof

verification

Important!

•only preferential trade for originating products•proof of origin has to be presented

–EUR.1–Invoice Declaration–Invoice Declaration of an Approved Exporter

•preferential trade is not mandatory•SACU is considered as one „country“

QUESTIONS?