|
Determination of Origin of Goods under the Agreement on Global System of
Trade Preferences among Developing Countries Rules, 1989
In exercise of the Powers conferred by sub-section
(1) of section 5 of the Customs Tariff Act, 1975 (51 of 1975), the Central
Government hereby makes the following rules, namely: -
1. Short title and Commencement:
(1) These rules may be
called the Customs Tariff (Determination of Origin of Goods under the Agreement
on Global System of Trade Preferences among Developing Countries) Rules, 1989.
(2)
They shall come into force on the date of their publication in the
Official Gazette.
These rules shall apply to products consigned from
any participant.
In these rules, unless the
context otherwise requires: -
(a) �GSTP� means the
agreement on Global System of Trade Preferences among Developing Countries
signed by Developing Countries at Belgrade, Yugoslavia on the 13th
April, 1988;
(b) �notification� means
the notification of the Government of India in the Ministry of Finance
(Department of Revenue) No. 236/89-Customs, dated the 1st September,
1989;
(c) �Participant� means
a country listed in Appendix l Appendix ll of the notification;
(d) �preferential
concession�, in relation to any product means the exemption granted under the
notification;
(e) words and expressions
used in these rules and not defined herein but defined in the Customs Act, 1962
(52 of 1962), shall have the meanings, respectively assigned to them in that
Act.
4. Determination of origin:
No product shall be deemed
to be the produce or manufacture of a participant unless the Assistant
Commissioner of Customs is satisfied that the condition specified in the
Schedule to these rules are complied with in relation to such products.
5. Claim at the time of importation:
The importer of the product
shall, at the time of importation, -
(a) make a claim that the
products are the produce or manufacture of the applicant from which they are
imported and such products are eligible for preferential concession; and
(b) produce the evidence
specified in the Schedule to these rules.
THE SCHEDULE (See rules 4 and 5)
1. Originating
products: Products
covered by preferential trading arrangements within the framework of the GSTP
imported into the territory of a participant from another participant which are
consigned directly within the meaning of para 5 hereof, shall be eligible for
preferential concession if they conform to the origin requirements under any one
of the following conditions:
(a) Products
wholly produced or obtained in the exporting participant as defined in para 2;
or
(b) Products not
wholly produced or obtained in the exporting participant provided that the said
products are eligible under para 3 or para 4.
2. Wholly produced or
obtained: Within the
meaning of para 1 (a) of the following shall be considered as wholly produced or
obtained in the exporting participant:
(a) raw or mineral products extracted from its soil, its water or
its seabeds;
(b) agricultural products harvested there;
(c) animals born and raised there;
(d) products obtained from animals referred to in clause (c) above;
(e) products obtained by hunting or fishing conducted there;
(f) products of sea fishing and other marine products taken form the
high seas by its vessels;
(g) products processed and / or made on board its factory ships
exclusively from products referred to in clause (f) above.
(h) used articles collected there, fit only for the recovery of raw
materials;
(i) waste and scrap resulting from manufacturing operations
conducted there;
(j) goods produced there exclusively from the products referred to
in clauses (a) to (i) above.
3. Not wholly
produced or obtained:
(a) Within the
meaning of para 1 (b), products worked on or processed as a result of which the
total value of the materials, parts or produce originating from non-participants
or of undetermined origin used does not exceed 50 percent of the f.o.b. value of
the products produced or obtained and the final process of manufacture is
performed within the territory of the exporting participant shall be eligible
for preferential concessions, subject to the provisions of clause (c) of para 3
and para 4;
(b)
Sectoral agreements;
(c)
The value of the non-originating materials, parts or produce shall be,-
(i) the c.i.f. value at the
time of importation of the materials, parts or produce where this can be proven;
or
(ii) the earliest ascertainable
price paid for the materials, parts or produce of undetermined origin in the
territory of the participant where the working or processing takes place.
4. Cumulative rules
of origin: Products which
comply with origin requirements provided for in para 1 and which are used by a
participant as input for a finished product eligible for preferential treatment
by another participant shall be considered as a product originating in the
territory of the participant where working or processing of the finished
products has taken place provided that the aggregate content originating in the
territory of the participant is not less than 60 percent of its f.o.b. value.
5. Direct
consignment: The
following shall be considered as directly consigned from the exporting
participant to the importing participant, -
(a) if the
products are transported without passing through the territory of any
non-participant;
(b) the products
whose transport involves transit through one or more intermediate
non-participants with or without transhipment or temporary storage in such
countries, provided that:
(i) the transit entry is
justified for geographical reason or by considerations related exclusively to
transport requirements;
(ii) the products have not entered
into trade or consumption there; and
(iii) the products have not undergone any
operation thereon other than unloading and reloading or any operation required
to keep them in good condition.
6. Treatment of
packing: When determining
the origin of products, packing should be considered as forming a whole with the
product it contains. However, packing may be treated separately if the national
legislation so requires.
7. Certificate of
origin: Products eligible
for preferential concessions shall be supported by a Certificate
of Origin in the form annexed issued by an authority designated by the
Government of the exporting participant and notified to the other participants
in accordance with the Certification Procedures to be developed and approved by
the participants.
8.
(a) In
conformity with paragraphs (a) and (b) of Article 3 and Article 15 of the
Agreement of the GSTP and national legislations, any participant may prohibit
importation of products containing any inputs originating from States with which
it does not have economic and commercial relations;
(b) Participants
will do their best to cooperate in order to specify origin of inputs in the
Certificate of Origin.
9. Review: These Rules may be reviewed as and when
necessary upon request of one-third of the participants and may be open to such
modifications as may be agreed upon.
10. Special criteria percentage: Products originating in participating less
developed countries can be allowed a favourable 10 percentage points applied to
the percentages established in paras 3 and 4. Thus, for para 3, the percentage
would not exceed 60 percent, and for para 4, the percentage would not be less
than 50 percent.
ANNEXURE (See Para 7)
CERTIFICATE OF
ORIGIN
|
1. Goods consigned from (exporter�s business name address,
country):
______________________________________________________
|
Reference No: _______________
SAARC PREFERENTIAL TRADING ARRANGEMENT (SAPTA)
(Combined declaration and certificate)
|
|
2. Goods consigned to (Consignee�s name, address, country):
_____________________________________________________
|
Issued in ___________ (Country)
See notes below
|
|
3. Means of transport and route (as far as known):
___________________________________________________
|
4. For Official use:
|
|
5. Tariff Item number
|
6. Marks and numbers of Packages
|
7. Number and kind of packages: description of goods
|
8. Origin criterion (see notes below)
|
9. Gross weight or other quantity
|
10. Number and date of Invoices
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
11. Declaration by the exporter:
The undersigned hereby declares that the above
details and statements are correct; that all the goods were produced in
__________________ (Country) and that they comply with the origin requirements
specified for those goods in SAPTA for goods exported to _____________________ (Importing Country)
Place: ______________
Date: _______________
Signature of authorised signatory
___________________
12. Certificate:
It is hereby certified on the basis of control carried out, that
the declaration by the exporter is correct.
Place: ___________
Date: ___________
Signature and stamp of certifying authority
_______________________________
|
|
|
|
|
|
|
|
|
Notes:
l. General Conditions: To qualify for preference, products must:
(a) fall within a description of products eligible
for preference in the schedule of concessions of the GSTP country of
destination;
(b) comply with the GSTP Rules of Origin. Each
article in a consignment must qualify separately in its own right; and
(c) comply with the consignment conditions specified
by the GSTP Rules of Origin. In general, products must be consigned directly
within the meaning of para 5 hereof from the country of exportation to the
country of destination.
ll. Entries to be made in box 8: Preference products must be wholly produced or obtained in the
exporting participant in accordance with para 2 of the GSTP Rules of Origin, or
where not wholly produced or obtained in the exporting participants must be
eligible under para 3 or para 4:
(a) products wholly produced or obtained enter the
letter �A� in box 8;
(b) products not wholly produced or obtained the
entry in box 8 should be as follows:
1. Enter letter �B� in box 8, for products which
meet the origin criteria accordingly to para 8. Entry of letter �B� would be
followed by the sum of the value of materials, parts or produce originating from
non-participants, or undetermined origin used, expressed as a percentage of the
f.o.b. value of the exported products; (example �B� 50 percent).
2. Enter letter �C� in box 8, for products which
meet the origin criteria according to para 4. Entry of letter �C� would be
followed by the sum of the aggregate content originating in the territory of the
exporting participant expressed as a percentage of the f.o.b. value of the
exported product; (example �C� 60 percent).
3. Enter letter �D� in box 8, for products which
meet the special origin criteria according to rule 10.
|