RULES OF ORIGIN for the GSP (Generalised System of Preferences)

The European Union’s
RULES OF ORIGIN
for the Generalised System of Preferences
A GUIDE FOR USERS
December 2010
European Commission
Notice to readers
This guide aims to assist readers in their understanding of the rules, but it is not itself
the law. The sole legal provisions are those contained in the regulations duly adopted
by the European Union.
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CONTENTS
EUROPEAN UNION GSP RULES OF ORIGIN – SUMMARY IN A NUTSHELL ..............5
SECTION 1 - GENERAL ...................................................................................................7
1.1 Terms used in this Guide.................................................................................7
1.2 What this Guide is about..................................................................................8
1.3 The EU GSP and its aims................................................................................8
1.4 Are all goods covered by the EU GSP?...........................................................9
1.5 What are the conditions to benefit from the GSP? ..........................................9
SECTION 2 - ORIGIN .....................................................................................................10
2.1 Origin: why and how? ....................................................................................10
2.2 The basic structure of the EU GSP rules of origin.........................................10
2.3 What are 'Wholly obtained products'? (Article 75) .........................................11
2.4 What are 'Sufficiently worked or processed' products? (Article 76)...............12
2.5 The 'List of working or processing required to be carried out on nonoriginating
materials in order that the product manufactured can obtain
originating status' (Annex 13a). (see Appendix III) ........................................12
2.6 Why is there "insufficient working or processing" and what does it mean?
(Article 78) .....................................................................................................14
2.7 What is meant by "cumulation of origin"? ......................................................16
2.8 What more do I need to know about the EU GSP origin rules?.....................19
2.9 Are there any relaxations to the origin rules? ................................................20
2.10 What if I’m not sure? Binding Origin Information (BOI)..................................21
SECTION 3 – TERRITORIAL REQUIREMENTS AND NON-MANIPULATION..............23
SECTION 4 - PROOF OF ORIGIN (DOCUMENTARY REQUIREMENTS)
ACCORDING TO THE PROCEDURES APPLICABLE UNTIL 2017.......................24
4.1 What is a ‘proof of origin’? .............................................................................24
4.2 What is the EU GSP proof of origin? .............................................................24
4.3 How are these documents used? ..................................................................24
4.4 For how long is proof of origin valid? .............................................................26
SECTION 5 - RESPONSIBILITIES OF EXPORTERS IN BENEFICIARY COUNTRIES 27
5.1 As an exporter, in a beneficiary country, why is it important that I
understand the origin rules and the documentary procedures? ....................27
5.2 How do I work out if my goods satisfy the rules of origin?.............................27
5.3 What evidence will you need to show your authorities that your goods
have satisfied the rules of origin? ..................................................................28
5.4 Where can you obtain a Form A? ..................................................................29
5.5 Who can fill in a Form A?...............................................................................29
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5.6 How should the Form A be completed?.........................................................29
5.7 Where and when do I present the completed Form A for certification?.........31
5.8 Can the certifying authority refuse to issue the Form A?...............................32
5.9 Can a Form A be issued retrospectively after the goods have been
exported ? (Article 97l)...................................................................................32
5.10 What happens if a Form A is lost, stolen or destroyed?: duplicate
certificates (Article 97l § 4) ............................................................................33
5.11 What are replacement certificates of origin Form A? (Article 97p) ................33
5.12 Are there any special provisions for the export of low value consignments? 33
SECTION 6 – REGISTERED EXPORTERS IN UNDER THE PROCEDURE
APPLICABLE FROM 2017......................................................................................35
6.1 What are the beneficiary countries' responsibilities in this system? ..............35
6.2 What do the exporters have to do?................................................................35
6.3 What are the documents to be used (see Articles 95 and 96)?.....................36
6.4 Are there any cases for withdrawal?..............................................................37
SECTION 7 - RESPONSIBILITIES OF EXPORTERS IN THE EU ................................39
7.1 As an EU exporter why should I read this section? .......................................39
7.2 What are the rules of origin applying to goods exported from the EU? .........39
7.3 What evidence will I need to show that my goods have satisfied the rules
of origin?........................................................................................................40
7.4 What evidence must I send to the GSP country to show that my goods
have satisfied the rules of origin? ..................................................................40
7.5 Where and when do I present a completed EUR 1 for certification? .............40
7.6 Is there anything else I should know about the EUR 1 and the invoice
declaration? ...................................................................................................40
7.7 Accounting segregation of EU exporters' stocks of materials........................40
SECTION 8 - RESPONSIBILITIES OF IMPORTERS IN THE EU.................................42
8.1 As an EU importer why should I read this section? .......................................42
8.2 How can I check that the goods I am importing meet the required origin
rules?.............................................................................................................42
8.3 Can I make a belated claim? .........................................................................43
SECTION 9 - RESPONSIBILITY OF THE COMPETENT AUTHORITY IN
BENEFICIARY COUNTRIES UNTIL THE APPLICATION OF THE
REGISTERED EXPORTER SYSTEM (UNTIL 2017)..............................................44
9.1 How does administrative co-operation work? ................................................44
9.2 What is the first responsibility of the governmental authority of the
beneficiary country ?......................................................................................45
9.3 What must the governmental authority of the beneficiary country do before
issuing Form A?.............................................................................................45
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9.4 What must the governmental authority of the beneficiary country do after
issuing Form A ?............................................................................................45
9.5 How should the authorities of the beneficiary country comply with an EU
request for subsequent verification?..............................................................45
9.6 What are the consequences of failure to provide adequate administrative
cooperation? (Article 71)................................................................................46
SECTION 10 - RESPONSIBILITY OF THE COMPETENT AUTHORITY IN
BENEFICIARY COUNTRIES IN THE SYSTEM APPLICABLE FROM 2017 ..........47
10.1 obligations of the competent authorities related to administrative structures 47
10.2 obligations of the competent authorities related to registered exporters'
records...........................................................................................................47
10.3 obligations of the competent authorities related to administrative
cooperation....................................................................................................48
10.4 How does administrative cooperation works? (Article 97g) ...........................48
10.5 Administrative cooperation in the framework of cumulation ..........................49
APPENDIX I - List of beneficiary countries and territories.......................................50
Appendix I - Contents, text of the brochure, with the list of beneficiary countries
Appendix II - The legal texts
Appendix III :
o The list of qualifying operations and the introductory notes (Annex 13a)
o The list of materials excluded from regional cumulation (Annex 13b)
o The list of workings excluded from GSP regional cumulation (Annex 16)
Appendix IV - Documents related to proofs of origin :
o Application to become a registered exporter (Annex 13c)
o Statement of origin (Annex 13d)
o Certificate of origin Form A (Annex 17)
o Invoice declaration (Annex 18)
o Movement certificate EUR 1 (Annex 21)
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EUROPEAN UNION GSP RULES OF ORIGIN – SUMMARY IN A NUTSHELL1
What is European Union (EU) GSP?
This is a system of tariff preferences granted unilaterally by the European Union to products
originating in developing countries. Duty is reduced or even zero. The least developed
countries enjoy duty-free access for virtually all their exports.
What are rules of origin?
These are the means by which we determine where goods originate, i.e. not where they have
been shipped from, but where they are deemed to have been produced or manufactured.
Why are they necessary for EU GSP?
In order to ensure that the preference goes only to those whom the GSP is intended to
benefit.
How do they work?
Some products clearly originate in a given country, e.g. because they are grown there from
local seed. These are called “wholly obtained” goods. But increasingly in today’s world,
others are not produced in a single country. There is a list containing details of operations
that must be carried out in the beneficiary country on given imported goods in order to confer
originating status on the obtained products for GSP purposes. Broadly, there are three types
of criterion – change of HS tariff heading; value percentage; and specific process. But some
minor operations can never confer origin.
Are there any relaxations?
Yes:
- Where goods originating in the European Union (or Norway, Switzerland or Turkey) are
used in the manufacture in the beneficiary country, the products can be considered as
originating there, provided more than a minimum amount of processing is done there –
this is known as “bilateral cumulation”.
- The rules recognise a number of regional groups where goods originating in one
member of the group and further processed in another may be considered as originating
in the latter – this is known as “regional cumulation”. At the request of a beneficiary
country such cumulation may take place between individual countries of certain groups.
Under certain conditions, where goods originating in a country with which the EU has a
free-trade agreement in accordance with Article XXIV of the GATT in force, are used in the
manufacture in the beneficiary country, provided more than a minimum amount of processing
is done there – this is known as extended cumulation
- A beneficiary country may apply for a temporary derogation from the EU GSP rules of
origin where internal or external factors temporarily deprive it of the ability to comply with
rules of origin, or where it requires time to prepare itself to comply with rules of origin.
1 NOTE: This summary is intended only as a brief introduction. Readers should consult the relevant part(s) of the
text for a fuller explanation.
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What proof is required?
Usually a certificate of origin Form A stamped by the competent authorities in the beneficiary
country is required. In certain cases a so-called “invoice declaration” may be used.
Movement certificates EUR.1 are used for supplied goods originating in the European Union
(or Norway, Switzerland or Turkey) with a view to “bilateral cumulation”.
How is fraud prevented?
The tariff preferences cannot be granted until a proper system of administrative co-operation
from the beneficiary country is in place, which in particular allows the European Union
authorities to request post-exportation checks.
Where can I find the rules of origin?
These are contained in Articles 66-97w and Annexes 13a-d, 16-18 and 21 of Commission
Regulation No. 2454/93 (the implementing provisions of the Community Customs Code), as
amended by Regulation (EU) No 1063/2010. You may find a consolidated text of Articles 66-
97w and Annex 16 in Appendix II to this guide; the list of operations with its introductory
notes (Annexes 14 and 15) is in Appendix III; and Appendix IV contains proofs of origin
(Annexes 17, 18 and 21). A consolidated version of the whole of Regulation No. 2454/93 is
also available on the internet
(http://ec.europa.eu/taxation_customs/common/legislation/legislation/customs/index_en.htm).
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PART I
SECTION 1 - GENERAL
1.1 TERMS USED IN THIS GUIDE
Article(s) … Reference to Articles of Regulation (EEC) No 2454/93, as
amended (see Appendix II)
Annex .. Annex to Regulation (EEC) No 2454/93, as amended (see
Appendix II, Appendix III and Appendix IV)
Beneficiary countries: Countries eligible for preferential treatment under the EU
GSP scheme (as listed in the GSP Regulation - see
Appendix I)
Competent authorities: In the beneficiary countries, the Governmental authorities
competent for the issue and verification of proof of origin
under the EU GSP; in the EU, the national customs
administrations of the Member States
EU: European Union, consisting of the following 27 Member
States: Austria, Belgium, Bulgaria, Cyprus, the Czech
Republic, Denmark, Estonia, Finland, France, Germany,
Greece, Hungary, Ireland, Italy, Luxembourg, Latvia,
Lithuania, Malta, The Netherlands, Poland, Portugal,
Romania, Slovakia, Slovenia, Spain, Sweden, United
Kingdom
EU GSP: The European Union’s Generalised System of Preferences
or Scheme of Generalised Tariff Preferences laid down in
the GSP regulation2
EU GSP RoO: The regulations relating to the rules of origin of the EU GSP
scheme. These are Commission Regulation (EEC) No
2454/93, as amended by Commission Regulations (EC) Nos.
12/97, 1602/2000 and 881/2003.
Form A: Certificate of origin Form A
GSP: Generalised System of Preferences
HS or Harmonised System: Harmonised Commodity Description and Coding System
Materials The input materials used to manufacture a "product".
Product The final product made from "materials".
Proof of origin: Certificates of origin Form A, invoice declarations, movement
certificates EUR 1
2 Until 31.12.2011, Council Regulation (EC) No. 732/2088. See the GSP pages of DG Trade for links to all legal texts.
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Registered exporter: An exporter who is registered with the competent authorities
of the beneficiary country concerned for the purpose of
making our statements on origin for the purpose of exporting
under GSP, after having lodged an application for
registration with those authorities and having given consent
to the storage of the information provided in the data base of
the European Commission and to the publication of nonconfidential
data on the internet.
Statement on origin: A statement made out by the exporter indicating that the
products covered by it comply with GSP rules of origin, for
the purpose of allowing either the person declaring the
goods for release for free circulation in the European Union
to claim the benefit of preferential tariff treatment or the
economic operator in a beneficiary country importing
materials for further processing in the context of cumulation
rules to prove the originating status of such goods.
1.2 WHAT THIS GUIDE IS ABOUT
The aim of this Guide is to provide assistance in understanding and applying the rules of
origin currently in force in the framework of the EU GSP. Although this Guide is written
primarily for exporters in beneficiary countries and importers in the EU, it should also be
useful for the officials in beneficiary countries involved in the issuing and/or verification of
origin evidence as well as, hopefully, anyone else looking for information on the subject.
The list of beneficiary countries of the EU GSP is in Annex I of the GSP Regulation (see
Appendix I) and the legal text of the rules of origin is in Articles 66 to 97w (see Appendix II)
and Annexes 13a-d, 16-18 and 21 (see Appendix III and Appendix IV) of Commission
Regulation (EEC) No 2454/93, as amended.
Warning: the list of beneficiary countries is however rather a list of potential beneficiaries,
since some countries may not meet the conditions to actually benefit from EU GSP.
Myanmar for example is temporarily suspended from it. Other countries may not yet have
complied with the administrative cooperation requirements laid down in Article 97s (see
Section 9 below), which are a pre-condition for goods to be granted the benefit of tariff
preferences. If in doubt, your competent authorities will advise you.
1.3 THE EU GSP AND ITS AIMS
The GSP provides for preferential duty treatment (a reduced rate of import duty or, even,
duty-free) of imported goods originating in beneficiary countries. The principle was agreed at
the United Nations Conference on Trade and Development (UNCTAD), and is a facility
granted to developing countries ("beneficiary countries") by certain developed countries
("donor countries"). Following the so-called “Everything But Arms” initiative introduced in
2001, the EU GSP grants the least developed countries (see Appendix I) duty-and quota-free
access for almost all their exports. The system is granted to the beneficiary countries and
not negotiated with them; the preferential treatment is non-reciprocal.
For fuller details, see the GSP pages of DG Trade, which include all legal texts and a User's
Guide to the European Union's Scheme of Generalised Tariff Preferences.
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This Guide only deals with the rules of origin of the EU GSP. The GSP schemes offered by
the various donor countries differ fundamentally both in respect of the goods covered and the
origin criteria used. Therefore, it should be borne in mind that goods complying with the
conditions of the GSP of the USA, will not necessarily comply with the EU GSP.
1.4 ARE ALL GOODS COVERED BY THE EU GSP?
The EU GSP does not cover each and every product. Basically, all products of Chapters 25 -
97 of the HS that are subject to duty upon entry into the EU (raw materials are, generally,
duty-free) are covered, but coverage of agricultural products (Chapters 1 - 24) is restricted. It
should be noted that list of eligible products is not the same for all beneficiary countries.
Annex I of the EU GSP Regulation lists the beneficiary countries (see Appendix I) as well as
giving other information including any product sectors excluded for particular countries, while
Annex II3 thereof contains the list of products involved. Information about specific products
(both coverage and duty rates) is also available from EU delegations which are situated in
most of the beneficiary countries and/or from the competent authorities. It may also be
obtained from the Commission's customs data-base at the following address:
http://europa.eu.int/comm/taxation_customs/dds/en/home.htm
1.5 WHAT ARE THE CONDITIONS TO BENEFIT FROM THE GSP?
In order to benefit from the EU GSP upon importation into the EU, three conditions must be
fulfilled:
- the goods must originate in a beneficiary country in accordance with the EU GSP RoO
(see Section 2);
- the goods must be transported directly from the beneficiary country to the EU (see
Section 3 ); and
- valid proof of origin must be submitted (certificate of origin Form A, issued by the
competent authorities in the beneficiary country, or invoice declaration) (see Section 4).
It is pointed out that proof of origin cannot be issued unless there is a legal basis to do so
(i.e. a preference exists) at the time of export. In addition, preference must also exist at the
time of declaration for release for free circulation in the European Union: if between the time
of export and the time of declaration for release for free circulation the products concerned
cease to be eligible for preference (e.g. because they have been graduated), then preference
cannot be granted, even though a proof of origin validly issued at export exists.
As the EU is a Customs Union, there are no duties or customs formalities in trade between
EU Member States, and a common Customs tariff is applied on importation into the EU.
Therefore, the EU is considered a single territory. So, once formalities have been completed
and duty has been paid - or preference has been granted - in one of the Member States,
then goods are considered to be in 'free circulation' in the European Union and can move
from one Member State to another.
3 See the GSP pages of DG Trade for links to all legal texts
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SECTION 2 - ORIGIN
2.1 ORIGIN: WHY AND HOW?
The implementation of trade policy measures often requires differentiation in the treatment of
goods coming from different countries. Examples of such trade policy measures are the
application of preferential rates of duty, anti-dumping duty, import licensing requirements,
quotas, embargoes, and so on.
If such treatment only depended on the country where the goods were sent from, it would
soon be found that products from all over the world were travelling via the country that enjoys
the most favourable (or the least restrictive) treatment. Therefore, something more is
necessary in order to make these trade policy measures work: namely to link these
measures to the economic nationality of a product.
In order to establish the economic nationality, - the country of origin - certain criteria - rules of
origin - are applied. A complication is that there is no such thing as a general set of rules of
origin that can be applied world-wide in every possible situation. Countries have their own
rules of origin, which more often that not vary in substance depending on their purpose. Even
for the purposes of the GSP, the various donor countries apply different rules of origin.
Therefore if a product satisfies the rules of origin in the framework of, for example, the USA
GSP scheme, it cannot be taken for granted that it also fulfils the rules of origin laid down for
the EU GSP scheme and vice versa. Origin criteria used in the GSP schemes offered by the
donor countries often differ fundamentally. Therefore, if goods are to be exported to/imported
into the EU under the EU GSP scheme, the only origin criteria to be taken into consideration
are those laid down by the EU in the appropriate legislation (see Appendix II and Appendix
III). However, the EU, Norway (NO) and Switzerland (CH) have the same GSP RoO, which
has allowed a connection between the different schemes on certain aspects, as explained
below, which is implemented through an exchange of letters.
Application of the rules of origin provides the answer to the following question: does the
product originate in the beneficiary country in question? A positive answer means the product
is eligible for preferential tariff treatment upon importation into the EU.
For the purpose of the application of the EU GSP RoO, the beneficiary countries are
normally each regarded as an individual territory but in some cases they can work together
using 'regional cumulation' (see point 2.7). They may also work together with the Member
States of the EU (which constitute a single territory) or Norway, Switzerland or Turkey in the
framework of bilateral cumulation.
2.2 THE BASIC STRUCTURE OF THE EU GSP RULES OF ORIGIN
Products originate in a particular beneficiary country if they are:
- wholly obtained in that country, or
- sufficiently worked or processed there.
As explained later in point 2.7, the same rules of origin are applied to establish whether a
product has EU (or NO, CH or TR) origin in cases where bilateral cumulation is being used.
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2.3 WHAT ARE 'WHOLLY OBTAINED PRODUCTS'? (ARTICLE 75)
In general terms, products are wholly obtained in a particular beneficiary country (or in the
EU, in the case of bilateral cumulation) if only that country has been involved in their
production. Even the smallest addition or input from any other country disqualifies a product
from being "wholly obtained".
Therefore, it applies mainly to things occurring naturally and to goods made entirely from
them. What can be considered as "wholly obtained" in a beneficiary country, or in the
European Union, is laid down in an exhaustive list in Article 68.
a. mineral products extracted from its soil or from its seabed;
b. plants and vegetable products grown or harvested there;
c. live animals born and raised there ;
d. products from live animals raised there;
e. products from slaughtered animals born and raised there;
f. products obtained by hunting or fishing conducted there;
g. products of aquaculture where the fish, crustaceans and molluscs are born and raised
there;
h. products of sea fishing and other products taken from the sea outside the territorial
waters by its vessels;
i. products made on board its factory ships exclusively from the products referred to in
point (hf);
j. used articles collected there fit only for the recovery of raw materials;
k. waste and scrap resulting from manufacturing operations conducted there;
l. products extracted from the seabed or below the seabed which is situated outside its
territorial waters but where it has exclusive exploitation rights;
m. goods produced there exclusively from the products specified in (a) to (l).
Most of the list is self-explanatory; with the exception of the fishing products mentioned in (h)
and (i), which deserve some further explanation.
Products of sea fishing and other products taken from the sea
"Territorial waters" within the context of these rules of origin is strictly limited to the 12-mile
zone, as laid down in the UN International Law of the Seas (1982 Montego Bay Convention).
The existence of an Exclusive Economic Zone with more extensive coverage (up to a 200-
mile limit) is not relevant for this purpose.
Fish caught outside the 12-mile zone ("on the high seas") can only be considered to be
wholly obtained if caught by a vessel that satisfies the definition of "its vessels" and "its
factory ships". Fish caught inland or within the territorial waters is always considered to be
wholly obtained.
The definition of its "vessels" and "its factory ships" (laid down in Article 75(2)) consists of a
number of cumulative criteria - so all criteria listed must be fulfilled.
Fish caught on the high seas can be considered to originate in the beneficiary country in
question (or in the EU) if:
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the vessel used is registered/ recorded in the beneficiary country and is sailing under its
flag (or an EU Member State) and
They meet one of the following conditions :
(a) they are at least 50% owned by nationals of the beneficiary country or of Member
States or
(b) they are owned by companies
- which have their head office and their main place of business in the
beneficiary country or in Member States and
- which are at least 50% owned by the beneficiary country or Member States or
public entities or nationals of the beneficiary country or Member States.
EU EU The conditions related to vessels may each be fulfilled in Member States or in
different beneficiary countries insofar as all the beneficiary countries benefit from regional
cumulation in accordance with Article 86 (1) and (5). In this case, the products shall be
deemed to have the origin of the beneficiary country under which flag the vessel or factory
ship sails in accordance with the flag criterion.
These conditions shall apply only provided that the provisions of Article 86(2) (b) and (c)
have been fulfilled.
2.4 WHAT ARE 'SUFFICIENTLY WORKED OR PROCESSED' PRODUCTS? (ARTICLE 76)
In practice, except for naturally-occurring and related products, situations where only a single
country is involved in the manufacture of a product are relatively rare. Globalisation of
manufacturing processes has resulted in many products being made from parts, materials
etc. coming from all over the world.
Such products are not of, course, wholly obtained (as explained in 2.3), but they can
nevertheless obtain originating status. The condition is that the non-originating materials
used (in practice: the materials imported into the beneficiary country) have undergone
"sufficient working or processing". It must be stressed that only the non-originating materials
need to be worked or processed sufficiently. If the other materials used are by themselves
already originating (either by virtue of being wholly obtained, or by having been worked or
processed sufficiently), they do not have to satisfy the conditions set out.
What can be considered as sufficient working or processing, depends on the product in
question. Annex 13a contains a list of products in which the conditions to be fulfilled are set
out, product-by-product. Part I of Annex 13a explains how to use the list.
2.5 THE 'LIST OF WORKING OR PROCESSING REQUIRED TO BE CARRIED OUT ON NONORIGINATING
MATERIALS IN ORDER THAT THE PRODUCT MANUFACTURED CAN OBTAIN
ORIGINATING STATUS' (ANNEX 13A). (SEE APPENDIX III)
The structure of this list has to be understood in order to be able to apply the origin criteria.
The list consists of 3 columns,
column 1 states the HS heading or sub-heading,
column 2 contains the description of the goods which come under the HS heading or subheading
in question and
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column 3 contains the applicable criteria.
For certain headings and sub-headings, a differenciation has been done for least developed
countries and other beneficiary countries. The third column is split between the qualifying
operation applicable to least-developed countries and the qualifying operation applicable to
other countries.
The countries benefiting from the special arrangement for the least developed countries are
listed in Regulation (EC) No 732/2008.
In order to be able to use this list, the classification of the product in question has to be
established in the Harmonised System Nomenclature (on a 4-digit level or sometimes on a 6
digit level). It is also necessary to know the HS-classification of the non-originating materials
used in the manufacture of the product. As criteria differ between products, using the correct
HS classification is important. Where necessary, national Customs administrations will be
able to assist you in establishing the HS classification.
Basically, the list uses one of three methods, or combinations of these methods, to lay down
what amount of working or processing can be considered as "sufficient" in each case:
a) The change of heading criterion (also known as the change of tariff heading or tariff
jump criterion). This means that a product is considered to be sufficiently worked or
processed when the product obtained is classified in a 4-digit heading of the Harmonised
System Nomenclature which is different from those in which all the non-originating
materials used in its manufacture are classified.
An example is the manufacture of a straw basket, classified under heading 4602 of the
HS. The list shows for the whole of Chapter 46 the criterion "manufacture in which all the
materials used are classified within a heading other than that of the product". As the
basket is classified under 4602, while the straw material was imported under 1401, the
origin criterion is clearly satisfied.
In some cases the change of tariff sub-heading (at a 6 digit level) rule applies. It works in the
same manner as the change of heading rule.
b) The value or ad valorem criterion, where the value of non-originating materials used
may not exceed a given percentage of the ex-works price of a product. (The notions "exworks
price" and "value" are two of the definitions in Article 67.)
An example is the manufacture of umbrellas of HS heading 6601, where column 3 in the
list reads "manufacture in which the value of all the materials used does not exceed 70%
of the ex-works price of the product". Here a comparison has to be made between the exworks
price of the product and the value of all non-originating materials.
c) The specific process criterion, when certain operations or stages in a manufacturing
process have to be carried out on any non-originating materials are used.
Many examples of this kind of origin criterion can be found in the textile sector, e.g. woven
fabrics of cotton of headings 5208 to 5212 of the HS, for which column 3 in the list reads
among other "weaving accompanied by dyeing of by coating". For example the
manufacture of a garment starting from non-originating yarn confers origin. This means
that weaving and all subsequent manufacturing stages must be carried out in the
beneficiary country. A process criterion of this kind implies that starting from an earlier
manufacturing stage (e.g. chemical material or natural fibres) also confers originating
status, while starting from a later stage (e.g. dyeing only) does not.
d) Working or processing is carried out on certain wholly obtained materials.
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An example is the manufacture of preparations used in animal feeding of
heading 2309. According to the list rule applicable to this product, all the materials
of Chapters 2 (Meat and edible meat offal) and 3 (fish) used in the manufacture of
such products are to be wholly obtained.
N.B: As explained in point 2.6 below, certain types of working and processing are always
considered to be insufficient, even if the criteria of the list are satisfied.
Also there is a 'tolerance rule' allowed in some cases where not all the non-originating
materials have to comply with the basic conditions in the list - see point 2.9 below.
2.6 WHY IS THERE "INSUFFICIENT WORKING OR PROCESSING" AND WHAT DOES IT MEAN?
(ARTICLE 78)
Article 78 contains a list of operations which are considered, on their own or in combination
with each other (except for combinations in which the slaughter of animals is included), never
to be sufficient to confer origin. This list applies only to situations where no other
operations have been carried out. It serves a double function, firstly within the framework
of the “normal” list rules of origin (i.e. those set out in Annex 13a) and secondly in the
framework of cumulation (see 2.7 below). However, the purpose is the same – in cases
where the amount of actual processing done is minimal, it should not confer origin.
As regards the list rules, it should be noted that there can be cases where, even if the criteria
for sufficient working or processing set out in the list have been satisfied, the amount of the
actual processing done might still be minimal. In such cases the product does not obtain
origin. In fact the list of insufficient working or processing should actually be consulted before
the list of sufficient working or processing!
Conversely, it must also be understood that if an operation is not listed as "insufficient", it
does not automatically mean that it is "sufficient" to confer origin on the product. There is a
“grey” area where operations are more than insufficient but at the same time not actually
sufficient under the terms of the specific list rule which applies. The list of sufficient working
and processing with specific criteria for the product in question must be consulted to see
what conditions do have to be met.
As regards cumulation (whether bilateral or regional), where the list rules do not apply, the
working or processing carried out (together with the added value criterion, in the case of
regional cumulation) must simply be more than insufficient. This means that an operation
which fell into the “grey” area in the framework of the list rules could be acceptable in a
cumulation context.
The list of insufficient (or minimal) operations reads as follows:
(a) preserving operations to ensure that the products remain in good condition during
transport and storage;
(b) breaking-up and assembly of packages;
(c) washing, cleaning; removal of dust, oxide, oil, paint or other coverings;
(d) ironing or pressing of textiles and textile articles;
(e) simple painting and polishing operations;
(f) husking and partial or total milling of rice, polishing and glazing of cereals and rice;
(g) operations to colour or flavour sugar or form sugar lumps; partial or total milling of crystal
sugar;
15
(h) peeling, stoning and shelling, of fruits, nuts and vegetables;
(i) sharpening, simple grinding or simple cutting;
(j) sifting, screening, sorting, classifying, grading, matching; (including the making-up of
sets of articles);
(k) simple placing in bottles, cans, flasks, bags, cases, boxes, fixing on cards or boards and
all other simple packaging operations;
(l) affixing or printing marks, labels, logos and other like distinguishing signs on products or
their packaging;
(m) simple mixing of products, whether or not of different kinds, mixing of sugar with any
material;
(n) simple addition of water or dilution or dehydratation or denaturation of products;
(o) simple assembly of parts of articles to constitute a complete article or disassembly of
products into parts;
(p) a combination of two or more of the operations specified in points (a) to (o);
(q) slaughter of animals.”
Operations are considered "simple" when neither special skills nor machines, apparatus or
tools especially produced or installed for those operations are required for their
performance.
Examples:
A product is made by simple assembly using only originating parts: the end product is
originating as the list of "minimal" working or processing does not apply to originating
materials, whether they be wholly obtained, or already sufficiently worked or processed.
A product is manufactured solely by assembling non-originating parts. The product does
not obtain origin as (f) applies.
A product is manufactured by assembling non-originating parts and subsequently by a
sufficient operation The assembly is irrelevant since there is subsequently a sufficient
operation, and origin is therefore obtained.
A product is obtained using a combination of both originating and non-originating material,
when the last operation carried out is on the list of "insufficient working or processing".
However, by definition, more than this has been carried out, as the originating materials
used have obtained originating status before this last operation is carried out. Therefore
the minimal processing rule does not apply. We have to see if the working or processing
set out in the main list of sufficient working or processing is carried out on the nonoriginating
materials used. For example, if a manufacturer of fruit juice in a beneficiary
country uses fruit and sugar, wholly obtained in his country, to produce fruit juice and he
subsequently bottles the juice in imported non-originating bottles. He does not have to be
afraid that bottling would remove the originating status from the juice just because bottling
is listed as an insufficient operation. But he does need to see if he is allowed to use
imported bottles. The origin criterion in column 3 of the list for HS 2009, bottled fruit juice,
reads: "Manufacture from materials of any heading, except that of the product, in which all
the materials of sub-headings 0806 10, 2009 61, 2009 69 used are wholly obtained and
16
the individual weight of sugar4 and of the materials of Chapter 4 used does not exceed
40% of the weight of the final product, and the total combined weight of sugar5 and the
materials of Chapter 4 used does not exceed 60% of the weight of final product". Thus he
can use imported bottles as they are classified under HS 7010.
A product is obtained by the simple assembly of non-originating materials which are
subsequently painted, packed and labelled. These are all insufficient operations and even
when taken together they are still considered to be insufficient to confer origin on the
product.
A product is obtained by slaughtering a non-originating animal, the meat obtained is
subsequently packed, labelled and chilled. Although this is also a combination of
insufficient operations, it includes the slaughter of animals and so it is not necessarily
insufficient. However, this does not automatically mean that "sufficient" working and
processing to confer origin on the product has taken place. The specific criteria for the
product in question in the main list must still be consulted to see if the conditions set out
there are satisfied. In this particular case, the meat will not obtain origin, because the
specific criterion in the list requires the animal slaughtered to be originating.
2.7 WHAT IS MEANT BY "CUMULATION OF ORIGIN"?
Generally, all working and processing for origin purposes must have been carried out in the
individual beneficiary country of export. However, there are two exceptions to this principle:
Bilateral Cumulation (Article 84)
Under bilateral cumulation, materials originating in the EU, within the meaning of the EU
GSP RoO, and further worked or processed in a beneficiary country, are considered to
originate in the beneficiary country. However the working or processing carried out there has
to be more than the "insufficient working or processing" explained in 2.6.
This concept is also known as "donor country content".
Example: for embroidered handkerchiefs (classified HS 6213) to obtain GSP origin in a
beneficiary country, the one of the criteria to be applied is " Manufacture from
unembroidered fabric, provided that the value of the unembroidered fabric used does not
exceed 40% of the ex-works price of the product "; meaning that non-originating
unembroidered fabric may be used but representing a value not exceeding 40% of the exworks
price of the product. However, if the fabric used originates in the EU, then the
cumulation provisions allow it to be considered to be originating in the beneficiary country
as the further manufacturing process goes beyond "insufficient" within the meaning of
Article 68. See point 4.2 below for evidence of the EU origin for materials to be used for
bilateral cumulation.
The same concept applies to materials (other than agricultural products or products covered
by a derogation) which originate in Norway, Switzerland or Turkey. When such materials
more than minimal working or processing in a beneficiary country, they are considered to
originate in that beneficiary country, and may be exported to the EU, to Norway, Switzerland
or Turkey (see Article 85(2)). Note that the arrangements are reciprocal, so also apply to
materials of European Union origin which undergo more than minimal working or processing
in a beneficiary country and are then exported to Norway, Switzerland or Turkey
4 See Introductory Note 4.2.
5 See Introductory Note 4.2.
17
.
Regional Cumulation (Article 86 (1) – (6), (9))
This operates between the countries of one of the regional groups recognised by the EU
GSP6. Materials originating in one country of the group which are further worked or
processed in another beneficiary country of the same group are considered to originate in the
latter country. Cumulation is also possible between individual countries of cumulation Group I
and Group III, upon request and under certain conditions.
Regional cumulation between countries in the same regional group shall apply only under the
condition that the working or processing carried out in the beneficiary country where the
materials are further processed or incorporated goes beyond the minimal operations
considered as insufficient working or processing and, in the case of textile products, also
beyond the operations set out in Annex 16.
Where the condition above is not fulfilled, the products shall have as country of origin the
country of the regional group which accounts for the highest share of the customs value of
the materials used originating in other countries of the regional group.
Where the country of origin is determined pursuant to this method, that country shall be
stated as country of origin on the proof of origin made out by the exporter of the product to
the European Union, or, until the application of the registered exporter system, issued by the
authorities of the beneficiary country of exportation.
The materials listed in Annex 13b shall be excluded from the regional cumulation in the case
where:
(a) the tariff preference applicable in the European Union is not the same for all the
countries involved in the cumulation; and
(b) the materials concerned would benefit, through cumulation, from a tariff treatment
more favourable than the one they would benefit from if directly exported to the
European Union.
Thus goods will not necessarily have the origin of the country in the group which exports
them to the EU. Where this is so, care should be taken to find out if that other member
country of the regional group is subject to restrictions for these goods under the EU GSP,
since preferences may be removed for countries - which is referred to as "exclusion" - or for
specific sectors - which is called "graduation" - when they reach a certain state of
development (for fuller details, see the User's Guide to the European Union's Scheme of
Generalised Tariff Preferences on the web-site of DG Trade).
However, even where exclusion or graduation occurs for one country of the group, Article
5(3) of EC GSP provides that regional cumulation continues to apply for the benefit of other
6 The regional groups (listed in Article 72) are:
- Group I: Brunei-Darussalam, Cambodia, Indonesia, Laos, Malaysia, Philippines, Singapore, Thailand, Vietnam;
- Group II: Bolivia, Colombia, Costa Rica, Ecuador, El Salvador, Guatemala, Honduras, Nicaragua, Panama, Peru,
Venezuela;
- Group III: Bangladesh, Bhutan, India, Maldives, Nepal, Pakistan, Sri Lanka.
- Group IV: Argentina, Brazil, Paraguay, Uruguay.
18
countries of the group, even though the products incorporate goods originating in the country
concerned. Example: Singapore for Group I - Singapore-originating products do not enjoy
preference, but products of Indonesian origin incorporating Singapore-originating goods
would get preference, even if exported from Singapore.
The situation of Myanmar (formerly Burma) is quite different. Benefit of EU GSP was
temporarily withdrawn by Council Regulation (EC) No 552/97, and it is not allowed to
participate in Group I regional cumulation at all.
Example : a shirt (classified HS 6205) made in country B from fabric originating in country A
(which is a member of the same regional group) will originate in country B, if the value of the
fabric amounts to less than 50 % of the shirt's value, otherwise it will originate in A. It should
be noted that, in the second case, the issuing authority of country B will have to issue a Form
A certificate of origin, stating that the shirt originates in country A.
Example: products originating in country A are exported to country B (value: €900), where
they are used to manufacture a product with country B origin (value: €2,000) which is
exported to country C In country C these are incorporated with components of country D
(value: €3,000). The value added in country C is €5,000. The final product is exported from
there to the European Union with the origin of country C.
See point 4.2 below for the evidence of the regional origin for the materials used in regional
cumulation.
Both cumulation provisions may be used together in combination (Article 87).
Example: a clock (of HS Chapter 91) is manufactured from imported materials (raw
materials, spare parts, etc.) originating in the EU and materials originating in another
member-country of the same regional group The list of insufficient working or processing
says that a clock originates in a beneficiary country if the value of all the imported
materials used (raw materials, spare parts, etc.) does not exceed 70 % of the ex-works
price of the clock. In other words, the value-added in the beneficiary country must amount
to at least 30 %: If those materials (or some of them) are processed sufficiently (to
acquire the origin of the beneficiary country concerned), then it may be possible for other
materials to be imported from a third country. Thanks to both donor-country content and
regional cumulation, it is possible to meet the required criterion, since the first materials
are counted as if they originated in the beneficiary country of final assembly.
Extended Cumulation (Article 86 (7) – (8), (9))
Extended cumulation is a system, conditional upon the granting by the Commission, on a
request lodged by a beneficiary country and whereby certain materials, originating in a
country with which the European Union has a free-trade agreement in accordance with
Article XXIV of the General Agreement on Tariffs and Trade (GATT) in force, are considered
to be materials originating in the beneficiary country concerned when further processed or
incorporated in a product manufactured in that country.
In order that this cumulation applies, the following steps need to be fulfilled:
1) The interested beneficiary country needs to submit a written request to the
European Commission. The request may be prepared in a free form, as no specimen
for the request is provided for in the legislation. However, the request must contain the
information specified in Article 86 (7) (Commission Regulation (EEC) No 2454/93, as
amended by Commission Regulation (EU) No 1063/2010, available on the website),
notably that as regards the provision of information to the EU on the materials
19
concerned by the cumulation. It is important to note that materials falling within
Chapters 1 to 24 of HS are excluded from extended cumulation.
2) Countries involved in the extended cumulation must comply with administrative
cooperation requirements.
a) In this regard, it is first important to check whether the involved countries have
notified the European Commission of the names, addresses and specimen
impressions of the governmental authorities situated in their territory, empowered to
issue relevant proofs of origin and verify proofs of origin.
b) The country with which the European Union has concluded a free-trade agreement
in force and which has agreed to be involved in extended cumulation with a beneficiary
country shall also agree to provide the latter with is support in matters of administrative
cooperation in the same way as it would provide such support to the customs
authorities of the Member States in accordance with the relevant provisions of the freetrade
agreement concerned (see Article 97u (2) applicable until the application of the
registered exporter system (on 1 January 2017 at the earliest) or 97g (1) applicable
once the registered exporter system is applied).
It is thus required (see Article 86 (7)) that the countries involved in the cumulation
undertake to comply with the GSP rules of origin and to provide the administrative
cooperation necessary to ensure the correct implementation of the rules of origin both
with regard to the European Union and also between themselves. A written
undertaking to this end, endorsed by all parties involved in the cumulation, needs
accordingly to be submitted to the European Commission by the beneficiary country
concerned. If you are specifically interested in extended cumulation, the Commission
may propose you a form of the draft undertaking.
3) The involved countries should take account of the requirements laid down in Article
86 (8) as to the determination of the origin of the materials used and of the products to
be exported to the European Union, as well as the applicable documentary proof of
origin.
4) Once received the request from the beneficiary country accompanied by the
undertaking endorsed by the countries concerned by the cumulation, the European
Commission will consider the request. After having verified whether all conditions are
met, it will take a decision, of which the applicant will be informed.
5) When extended cumulation is granted and applies, until the application of the
registered exporter system, the competent governmental authorities of the beneficiary
country called on to issue a certificate of origin Form A for products in the manufacture
of which materials originating in a party with which cumulation is permitted are used,
shall rely on the proof of origin provided by the exporter's supplier and issued in
accordance with the provisions of the relevant free-trade agreement between the
European Union and the country concerned. According to Article 97m (5) in the case of
extended cumulation, Box 4 of origin Form A shall contain the indication "extended
cumulation with country x". The same endorsement shall be present on invoice
declarations made out by exporters in accordance with Article 97m.
2.8 WHAT MORE DO I NEED TO KNOW ABOUT THE EU GSP ORIGIN RULES?
20
Unit of qualification (Article 80): i.e. the unit for the purposes of determining origin. This
is the same as the basic unit used when determining classification using the HS
nomenclature. Therefore where a consignment consists of a number of identical products
classified under the same heading, each product must be considered individually. Where
packaging is included with the product for classification purposes, it is included for origin
purposes too.
Accessories, spare parts and tools (Article 81): where dispatched with a piece of
equipment, machine, apparatus or vehicle and part of the normal equipment and included
in the price thereof or not separately invoiced, these are regarded as one with the piece of
equipment, machine, apparatus or vehicle in question.
Sets of goods (Article 82) are normally originating products when all the component
items making up the set are originating. Nevertheless, when a set is composed of
originating and non-originating items, the set as a whole may be regarded as originating if
the value of all the non-originating items taken together does not exceed 15 % of the exworks
price of the set.
Example: a women's blouse (value €30) and a skirt (value €30) originating in a beneficiary
country are put into a set together with a scarf imported from a third country (value €2).
The value of the three piece set is €62, which means that it originates in the beneficiary
country, as the value of the scarf at €2 represents less than 4 % (€2.48) of the value of the
set.
Neutral elements (Article 83): In order to determine whether a product is an originating
product, it is not necessary to consider the origin of the energy, equipment or tools used
processing the goods (though the cost of any fuel used will contribute to the ex-works
price of the goods).
2.9 ARE THERE ANY RELAXATIONS TO THE ORIGIN RULES?
The tolerance rule (Article 79)
Non-originating materials may be used in the manufacture of a given product even if the rule
in the sufficient working or processing list is not fulfilled, provided that their total value does
not exceed :
(a) 15% of the weight of the product for products falling within Chapters 2
and 4 to 24, other than processed fishery products of chapter 16;
(b) 15% of the ex-works price of the product for other products, except for
products falling within Chapters 50 to 63 of the Harmonized System, for
which the tolerances mentioned in Notes 6 and 7 of Part I of Annex 13a,
shall apply.
The tolerance rule shall not apply to products wholly obtained in a beneficiary country.
However, without prejudice to minimal operations and consignments (Article 78 and 80 (2)),
the tolerance shall nevertheless apply to the sum of all the materials which are used in the
manufacture of a product and for which the rule laid down in the list in Annex 13a for that
product requires that such materials be wholly obtained.
Example: a doll (classified HS 9502) will qualify if it is manufactured from any imported
materials which are classified in different heading. This means a manufacturer in a
beneficiary country is allowed to import raw materials such as plastics, fabrics etc. which
are classified in other chapters of the HS. But the use of doll's parts (e.g. Doll's eyes) is
not normally possible as these are classified in the same heading (HS 9502). However,
21
the tolerance rule allows the use of these parts if they amount to not more than 15 % of
the doll's value.
Derogations (Article 89).
Derogations may be granted to beneficiary countries upon Commission's initiative or in
response to a request from the beneficiary country, where:
(a) internal or external factors temporarily deprive it of the ability to comply with the
applicable rules of origin where it could do so previously, or
(b) it requires time to prepare itself to comply with the "normal" rules of origin.
A request for a derogation is made in writing to the Commission. It states the reasons as
indicated in paragraph 1 why a derogation is required and contains appropriate supporting
documents.
.
.
The derogation, if granted, will be subject to conditions and for a limited period (though this
may be extended if still justified). To ensure that imports are easily identified, the phrase
“Derogation-Regulation (EC) No …./….” must always appear in box 4 of the Form A.
Failure to do this means that goods will not be treated in accordance with the
derogation.
In addition, since derogations are subject to quantitative limits, they should be used only
where the goods cannot acquire origin under any other provisions. If for example goods to be
exported comply with the conditions for regional cumulation of origin, then there is no need to
use the derogation-regulation.
Example: derogation for certain processed fish products originating in Cape Verde was
granted to this country upon its request because its industry was insufficiently developed to
allow it to meet the normal criteria (manufacture in which all fish and fishery products are
wholly obtained). Thus in the framework of the derogation the country's producers were
entitled to use imported (non-originating) raw fish in the manufacture of the processed fish
products, which subsequently were eligible for the GSP preferential treatment when imported
into the European Union. In order to allow the operation of the derogation to be monitored
effectively, the Commission must be sent every month details of Form As issued under the
derogation. See Regulation (EC) No 815/2008 (EU Official Journal L 220, 15.8.2008, p. 11) ,
as amended by Regulation (EU) No 894/2010 (EU Official Journal L 266, 9.10.10, p. 39)
2.10 WHAT IF I’M NOT SURE? BINDING ORIGIN INFORMATION (BOI)
If, having considered the legal text and available guidance (this guide or material issued by
the national customs authorities), you are still in doubt about the origin of your products, or if
you simply want legal certainty, you may apply for a Binding Origin Information decision
(BOI).
BOIs may be issued for both export and import. They are binding on all customs
administrations in the European Union for a period of 3 years from their date of issue where
the goods being imported or exported and the circumstances governing the acquisition of
origin correspond in every respect with what is described in the BOI.
They may be annulled if it transpires that they were issued on the basis of incorrect or
incomplete information, or revoked or amended if for example there is a subsequent change
in the law.
Application should be made in writing to the competent customs authorities in the Member
State or Member State or Member States in which the information is to be used, or to the
22
competent customs authorities in the Member State in which the applicant is established. A
list of the authorities responsible for issuing BOIs is published in the EU Official Journal (OJ
C 329, 24.12.2008, p. 10).
Note that the existence of a BOI does not exempt you from the requirement to provide
proof of origin, as described in Section 4 below.
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SECTION 3 – TERRITORIAL REQUIREMENTS AND NON-MANIPULATION
Working or processing outside the territory of the beneficiary country (without prejudice to
cumulation) is not permitted. Originating goods exported and subsequently returned may be
considered as originating only if it can be demonstrated that they are the same as those
exported, and that they have not undergone any operations beyond those necessary to
preserve them in good condition.
Free zones are part of the territory of a country for origin purposes. This means that goods
produced in a free zone in a beneficiary country may benefit from EU GSP but must comply
with the origin criteria to do so.
The previously existing direct transport rule from 1 January 2011 is replaced by a more
flexible non manipulation principle, described in Article 74 of Regulation No 1063/2010.
The products declared for release for free circulation in the European Union shall be the
same products as exported from the beneficiary country in which they are considered to
originate. They shall not have been altered, transformed in any way or subjected to
operations other than operations to preserve them in good condition, prior to being declared
for release for free circulation. Storage of products or consignments and splitting of
consignments may take place where carried out under the responsibility of the exporter or of
a subsequent holder of the goods and the products remain under customs supervision in the
country(ies) of transit.
Compliance with the previous paragraph shall be considered as satisfied unless the customs
authorities have reason to believe the contrary; in such cases, the customs authorities may
request the declarant to provide evidence of compliance, which may be given by any means,
including contractual transport documents such as bills of lading or factual or concrete
evidence based on marking or numbering of packages or any evidence related to the goods
themselves.
These rules apply mutatis mutandis when cumulation under Articles 84, 85 or 86 applies.
An important difference between the previous direct transportation requirement and non
manipulation clause lies in documentary evidence to be provided. Today with direct transport
in all cases where the goods are transported via another country, except where the country
of transit is one of the countries of the same regional group, the EU importer will be required
to present documentary evidence that the goods did not undergo any operations there (in the
country of transit), other than unloading, reloading or any operation designed to keep them in
good condition. The types of the referred documentary evidence are strictly defined in the
law. The new non-manipulation clause shall be considered as satisfied a priori unless the
customs authorities have reasons to believe the contrary; in such cases, the customs
authorities may request the declarant to provide evidence of compliance, which may be given
by any means.
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SECTION 4 - PROOF OF ORIGIN (DOCUMENTARY REQUIREMENTS) ACCORDING
TO THE PROCEDURES APPLICABLE UNTIL 2017
4.1 WHAT IS A ‘PROOF OF ORIGIN’?
In the same way that a passport is evidence of the nationality of a person, an origin
certificate is evidence that the goods have satisfied the rules of origin and is evidence of the
economic nationality of a product.
4.2 WHAT IS THE EU GSP PROOF OF ORIGIN?
There are three principal forms of proof used in the context of the EU GSP7:
The certificate of origin Form A, used as proof of origin at import into the EU and in
regional cumulation, see point 2.7 above (Article 97l and Annex 17)8.
The Invoice Declaration, and which can be used for low value GSP exports (Article 97m
and Annex 18).
The Movement Certificate EUR1, which may be used as may an invoice declaration, when
goods are exported to beneficiary countries from the EU in the context of bilateral
cumulation, see 2.7 above (Article 97v and Annex 21).
These are contained in Appendix IV. For information about how they are to be completed
and issued see Sections 5 and 6 below.
4.3 HOW ARE THESE DOCUMENTS USED?
The Form A and invoice declaration are used by importers in the EU for GSP imports as
evidence in support of their request that the goods be imported at preferential rates of
customs duty (often nil). They are therefore important documents and have a value equal to
the amount of customs duty that is waived by the EU. In this sense they serve a similar
function to a cheque, a banknote or banker’s draft and must be treated with similar respect.
Like a banknote, the Form A must be printed to a very precise specification in terms of
colour and background pattern (see Annex 17) and, like a cheque or banker’s draft, it must
be carefully completed. Guidance on the completion of the Form A is given in point 5.6
below.
The Form A is also used as evidence of origin for the purpose of applying the regional
cumulation of origin provisions (see point 2.7). In a regional group, goods originating in
7 The statement of origin, which will be issued in the framework of the registered exporter
system applicable from 2017 (see Section 6), will replace the three mentioned forms of
proofs.
8 The model in Annex 17 contains the 2007 notes on the back. UNCTAD (which is responsible for Form A) has amended
them three times (in 2004 and again in 2007 to take account of EU enlargement, in 2005 to take account of Turkey).
Although Annex 17 has been updated to reflect these changes, EU Member States will thus accept the latest (2007)
version as well as continuing to accept earlier ones. It is stressed that all versions of the notes are acceptable in
all 27 Member States.
25
country A should be accompanied by a certificate of origin Form A if they are exported to
country B (of the same regional group) for further processing before being exported to the
EU (Article 72a(4)).
The invoice declaration must also conform to a very precise formulation (see Annex 18 and
below) and may be used by exporters in beneficiary countries when exporting goods of a low
value (see point 5.12 below for further information)
The movement certificate EUR.1 is used by exporters in the EU, as well as in Norway or
Switzerland, when they send originating goods to beneficiary countries.
EC exporters who are "approved exporters" may use an invoice declaration (instead of a
movement certificate EUR.1), when exporting materials or parts of EU origin to a GSP
beneficiary country for incorporation into a product there for export to the EU as an
originating product under the EU GSP.
EC exporters who are not "approved exporters" may use an invoice declaration for low-value
consignments only (point 5.12). Otherwise, they must use a movement certificate EUR.1.
The invoice declaration reads:
26
4.4 FOR HOW LONG IS PROOF OF ORIGIN VALID?
Under the EU GSP, the certificate of origin Form A, the invoice declaration and the
movement certificate EUR.1 are all valid for 10 months only from the date of issue in the
exporting country (Article 97k). They must be presented within this period to the customs
authorities of the importing country.
However, proofs of origin presented to the customs authorities of the importing country after
the expiry of the period of validity may be accepted for the purpose of applying tariff
preferences where the failure to submit them in time was due to exceptional circumstances.
In other cases of belated presentation, they may be accepted where the goods were
presented before the final date.
In certain circumstances, in the case of certain dismantled or non-assembled products () or
where goods are imported within the framework of frequent and continuous trade flows of a
significant commercial value (Article 97o), the importer may request that a single proof of
origin be submitted at the importation of the first consignment. The customs authorities will
lay down conditions. In the latter case, the period allowed may not exceed three months and
the goods must be the subject of the same contract of sale (the parties being established in
the exporting country or in the European Union), be classified in the same 8-digit CN code,
come exclusively from the same exporter, be destined for the same importer, and be
declared at the same customs office in the European Union.
27
SECTION 5 - RESPONSIBILITIES OF EXPORTERS IN BENEFICIARY COUNTRIES
5.1 AS AN EXPORTER, IN A BENEFICIARY COUNTRY, WHY IS IT IMPORTANT THAT I UNDERSTAND
THE ORIGIN RULES AND THE DOCUMENTARY PROCEDURES?
Before a Form A is issued the authorities in your country should verify that everything is in
order and that the goods concerned are originating ones. But there are also regulations
governing the operation of the EU GSP which require the Customs Authorities in the
importing Member State of the European Union to ask the authorities in the exporting country
to carry out further checks from time to time on goods which have already been exported to
the European Union under the GSP. If these post-exportation, or subsequent (a posteriori in
French), verification checks show that your goods did not satisfy the rules of origin, then your
customer in the European Union will have to pay customs duty at the full (non-preferential)
rate. If this happens you could be faced with claims for compensation or even with nonpayment
for the goods supplied. You may even lose future business, as customers will not
want to run the risk of receiving further unexpected duty demands for goods they have
purchased from you.
It is therefore in your own interest to MAKE SURE THAT YOU UNDERSTAND THE
ORIGIN RULES, AND APPLY THEM CORRECTLY.
Do not tell your customers that they can claim preferential tariff treatment or provide them
with evidence of origin unless you are certain that the goods you are exporting satisfy the
rules of origin.
5.2 HOW DO I WORK OUT IF MY GOODS SATISFY THE RULES OF ORIGIN?
Section 2 of this guide gives a detailed explanation of the different types of origin rule. In
short, an originating product (i.e. a product which has satisfied the origin rules) is either:
a product which has been ‘wholly obtained’; this term applies only to products listed in
point 2.3 above; or
a product incorporating materials or parts which have not been wholly obtained but which
have undergone ‘sufficient working or processing’.
You should take the following steps to find out if your goods are ‘originating
products’:
Step 1
Find out whether your products are ‘wholly obtained’ (see point 2.3). If they are, they
originate. If they do not, move to step 2.
Step 2
Find out which four-figure HS heading covers the product you are exporting. If in doubt, ask
your customs authority or your competent national authority which is responsible for issuing
certificates of origin Forms A.
It is most important that you establish the correct HS heading for your goods, otherwise you
could apply the wrong rule. If it is later found that the product did not have origin then the
import duties in EU need to be paid. Your customer will not be pleased.
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Step 3
Establish whether the working or processing which has been carried out in your country is
among the minimal processes listed in Article 78 (see point 2.5). If it is, then the resulting
goods cannot be regarded as originating goods. Go to step 4 if the working or processing
undertaken is more than minima
Step 4
Turn to Annex 13b and identify the rule for your product. Read the accompanying notes
carefully, and make sure you understand them.
Step 5
Establish whether your product has met the relevant rule contained in the list in Annex 13b
(see APPENDIX III). The guidance and examples in point 2.4 will help you do this.
Do not forget to include both material and non-material costs in the calculation of your exworks
price where the products are covered by a percentage rule which limits the value of
non-originating materials which can be used in the manufacture of the finished product.
Remember to take into account any special provisions which may apply, for example;
the general tolerance for non-originating materials or parts (point 2.9 and Article 79).
bilateral cumulation using European Union (or NO, CH or TR) content (point 2.7 and
Article 85),
regional cumulation (point 2.7 and Articles 86),
extended cumulation (point 2.7 and Articles 86) and
derogations granted to your country/products (point 2.9 and Article 89).
Do not hesitate to contact your national authority competent for the issue of Forms A if,
having read this guide, you do not understand any aspect of these rules or are uncertain as
to whether your goods satisfy them.
5.3 WHAT EVIDENCE WILL YOU NEED TO SHOW YOUR AUTHORITIES THAT YOUR GOODS HAVE
SATISFIED THE RULES OF ORIGIN?
To help you decide whether your product satisfies the rules of origin you may need
information about the materials or parts you buy-in.
It is not enough to show that the materials or parts were purchased locally. You must get
from your local supplier a statement about the origin of the goods he has supplied. Your
supplier will therefore need to understand the rules of origin as well and it is your
responsibility as the exporter to help him in this respect.
In some cases it may be sufficient to find out how the goods were made. For example, if you
are making knitted or crocheted garments and the origin rule requires ‘knitting and makingup’,
it will be sufficient for you to obtain evidence from your local fabric supplier that the fabric
was knitted or crocheted locally. The manufacture from an imported (non-originating) knitted
or crocheted fabric will not satisfy the rule of origin for export as originating garments.
If you acquire any materials or parts from a supplier in the EU (or Norway, Switzerland or
Turkey) and you wish to apply the cumulation of origin provisions (see point 2.7) you will
need to obtain evidence of the European Union (or Norwegian, Swiss or Turkish) origin of
those goods from your supplier. This will either be a movement certificate EUR1 or an
invoice declaration.
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If you acquire any materials or parts from a supplier in one of the countries of a regional
group and you wish to apply the regional cumulation provisions (see point 2.7) then evidence
of the origin of these materials or parts in the other member country will need to be obtained
from the supplier and you should ask him for a Form A.
Where the origin rules require a calculation of the value of any non-originating materials or
parts used as a percentage of the ex-works price of the finished product, you will need to
maintain sufficient records to enable the appropriate calculations to be made for each
exportation.
You must keep these records and all other records of origin evidence for at least three
years to enable checks to be carried out to verify that for any given consignment the
origin rules were satisfied.
5.4 WHERE CAN YOU OBTAIN A FORM A?
The competent national authority for the issue of forms A, often customs, will be able tell you
how to obtain a Form A for completion.
5.5 WHO CAN FILL IN A FORM A?
As the exporter you know whether the goods satisfy the rules of origin so you should
normally complete the Form A yourself. However, you can authorise a representative to
complete the Form on your behalf. If you do this you must provide your representative with
written authorisation for each consignment showing clearly which goods are to be included
on the Form A as goods satisfying the rules of origin. You remain responsible for the
accuracy of the information given by your representative.
5.6 HOW SHOULD THE FORM A BE COMPLETED?
The Form A must be made out in either English or French. If you are completing the form by
hand you must use ink and capital letters throughout.
Box 1
Insert the full name and business address of the exporter.
Box 2 - Consignee
The completion of this box is optional, but you are recommended to insert the name and
address of the consignee where this is known. For exports to exhibitions which are later sent
on to the EU insert also the name and address of the exhibition.
Box 3 - Transport details
You should complete this box, if you can, on the basis of available information. If you do not
have details of the transport arrangements, then leave this box blank.
Box 4 - For official use.
This box is reserved for the use of the certifying authority.
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Box 5 - Item number
If different types of goods are shown separately on the invoice(s), show each type separately
on the Form A and itemise them (1, 2, 3 etc), so they can be crossed checked to the invoice
if necessary.
Box 6 - Marks and numbers
Insert the identifying marks and numbers that appear on the packages. If the packages are
marked with the address of the consignee, state the address. If they are not marked in any
way, put ‘No marks and numbers’. If both originating and non-originating goods are packed
together, add ‘Part contents only’ at the end of each entry.
Box 7 - Number and kind
of packages, description of goods
Bulk Goods
Identify the goods by giving a reasonably full commercial description e.g. ‘photocopiers’ or
‘typewriters’ rather than ‘office machinery’. However if the invoices give full identifying details
(which need not necessarily include details of the marks and numbers of the packages) only
a general description is needed.
For goods in bulk which are not individually packed, insert ‘In bulk’. The quantity shown must
be the same as, or relatable to, the quantity shown on the invoice for the goods (e.g. if the
invoice shows 100 cartons and these are loaded on to 10 pallets, specify ‘100 cartons’ NOT
‘10 pallets’).
Mixed consignments
For consignments containing both originating and non-originating goods, describe only the
originating goods on the Form A. You may be unable to avoid showing originating and nonoriginating
goods on the same invoice. In this case, mark the invoice (for example, with an
asterisk) to show which goods are non-originating and put an appropriate statement in Box 7
immediately below the description of the goods, e.g. ‘Goods marked * on the invoice are nonoriginating
and are not covered by this certificate of origin Form A’.
The same considerations will apply if you have a mixed consignment of goods qualifying by
virtue of a derogation and others which are not covered by that derogation (see point 2.9
above).
Unused space
Draw a horizontal line under the final item in this box and rule through the unused space with
a ‘Z-shaped’ line.
Box 8 - Origin criterion
This box signifies to the customs authorities in the EU which origin rule has been applied to
the goods. As described in the note about it on the reverse of the Form A, enter the code P
for wholly-obtained goods and the code W, followed by the HS heading, where the goods
have been sufficiently-worked or -processed goods (thus for wholly-obtained goods of, say,
HS heading 96.18, the indication should read: "P" 96.18; for sufficiently-worked or -
processed goods of the same HS heading, it should read: "W" 96.18.) Failure to complete
this box correctly (e.g. by inserting the wrong tariff heading) could lead to the
rejection of the Form A.
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Special note for exporters to the Czech Republic, Hungary, Poland and Slovakia using
Form As bearing the 1996 notes on the back, and for exporters to Bulgaria using the
1996, 2004 or 2005 version: please disregard note III(b)(4). The indication to be made
since their accession to the EU is that specified by note III(b)(3) for the European
Union. (See also the footnote to point 4.2).
Box 9 - Gross weight or other quantity
You should give quantities in metric units (e.g. kilograms, litres etc), but imperial measures
(e.g. tons, pounds (lbs.), imperial gallons) will be accepted.
Box 10 - Number and date of invoice
Insert details as required.
Box 11 - Certification
Leave this blank.
Box 12 - Declaration by the exporter
Complete this box by inserting the name of the country in which the goods are considered to
have originated. You should take into account that, where the provisions for regional
cumulation have been applied (see point 2.7), that country may not be the same as the
country of final processing or the country of exportation. For the importing country you must
put ‘European Union’; you may put the name of the particular Member State concerned in as
well. Indicating a different donor country (e.g. Canada) could lead to the Form A not
being accepted.
Only the exporter, or a person duly authorised by the exporter (see point 5.5), can sign this
declaration. Forwarding agents acting simply in that capacity are not exporters and must not
sign this box. By signing this form you declare that the goods qualify under the provisions of
the EU. If the declaration is incorrect you will have committed an offence which may
incur penalties.
5.7 WHERE AND WHEN DO I PRESENT THE COMPLETED FORM A FOR CERTIFICATION?
When the goods are exported, or shortly before, the exporter or his representative should
take the completed Form A to the competent certifying authority. The Form should be
accompanied by a written application for the issue of the Form A, in the format and manner
prescribed by the competent authorities. The application should be supported by the
appropriate documents showing that the products to be exported qualify for the issue of the
Form A (see point 5.3).
The certifying authority will examine the application, the supporting documents and the Form
A to make sure that you have supplied all the information necessary. If they are satisfied that
the goods seem to qualify for the issue of the certificate they will stamp and sign the Form A
and return it to you for you to send, immediately, to your customer in the European Union.
Your customer will then present the Form A to the European Union Customs Authorities
when the goods are imported in order to claim the lower rate of duty.
If the contract for the supply of the goods requires that the Form A is sent first to a bank, you
should do this and remind the bank of the need to send the original Form A on to your
customer as soon as possible so that he can use it at import.
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5.8 CAN THE CERTIFYING AUTHORITY REFUSE TO ISSUE THE FORM A?
Yes. If they do not think you have adequately demonstrated that the good have originating
status they will do this. If you have just completed the form incorrectly it will be returned to
you with appropriate instructions about any corrections/amendments that need to be made.
The certifying authority may also ask you to provide additional evidence to demonstrate that
the goods have indeed satisfied the rules of origin. They may also decided to undertake
other checks or controls, including a visit to your factory/business premises, to confirm the
accuracy of the information you have provided.
5.9 CAN A FORM A BE ISSUED RETROSPECTIVELY AFTER THE GOODS HAVE BEEN EXPORTED ?
(ARTICLE 97L)
Yes, exceptionally, but you should make every effort to complete a Form A for issue at the
time of exportation. However, a Form A may be issued after exportation of the goods, if:
one was not issued at the time of exportation because of errors, accidental omissions or
special circumstances;
or
it is demonstrated to the satisfaction of the certifying authority that a Form A was issued,
but was not accepted on importation for technical reasons, rather than ones of substance.
A Form A will be rejected for ‘technical reasons’ by the Customs authorities of the importing
EU Member State if Box 12 (“Declaration by the exporter”) has not been completed for
example.
Circumstances in which Forms A may be issued after exportation include, for example, those
where, at the time of exportation, the necessary evidence of origin of materials or parts used
was not available to the exporter.
For a Form A to be issued after your goods have been shipped, you must:
apply in writing to the certifying authority stating that no valid Form A was issued at the
time of exportation; and explaining why, or
explain what were the technical measures for the original certificate being rejected.
provide a correctly completed Form A;
give details of the place and date of exportation of the goods to which the certificate
refers; and
supply a copy of the export invoice and evidence (see point 5.3) which demonstrates that
the goods have satisfied the provisions for the issue of the Form A.
The competent certifying authority will only issue the form if they are satisfied that their
conditions for the issue of a Form A after the exportation of the goods are met and that the
information you have provided corresponds with that in their records. They will insert the
words ‘Issued Retrospectively’ or ‘Delivré a Posteriori’ in Box 4 of the form.
It is pointed out that "exceptional circumstances" do not include cases where a preference
exists at the time of declaration for release for free circulation, but where no preference
existed at the time of export. Form A cannot be issued retrospectively where there would
have been no legal basis to do so at the time of export.
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5.10 WHAT HAPPENS IF A FORM A IS LOST, STOLEN OR DESTROYED?: DUPLICATE
CERTIFICATES (ARTICLE 97L § 4)
If this happens the exporter, or his duly authorised agent, may apply to the competent
authority which issued the Form A for a duplicate to be made out on the basis of the export
documents in their possession. You should:
state in writing why you need a duplicate;
provide a completed Form A; and
supply a copy of the export invoice and/or and any other supporting evidence on the basis
of which the original form was issued.
After verifying that the information provided agrees with that in their files, the competent
authority will issue a duplicate Form A on the basis of the export documents in their
possession provided that they are satisfied that your request is genuine. They will write
‘Duplicate’ or ‘Duplicata, the date of issue and serial number of the original certificate in Box
4. The period of validity (see point 4.4 ) of the duplicate certificate will take effect from the
date of the original.
5.11 WHAT ARE REPLACEMENT CERTIFICATES OF ORIGIN FORM A? (ARTICLE 97P)
Replacement certificates of origin Form A should not be confused with duplicate certificates
(see point 5.10). They may be issued on the basis of the original issued in the beneficiary
country:
- by EU customs authorities, where originating products are placed under the control of a
customs office in the European Union and all or some of them are to be sent elsewhere
within the European Union or to Norway or Switzerland;
- by the authorities of Norway, Switzerland or Turkey, where the goods are transported
through Norway, Switzerland or Turkey and the non-manipulation principle is met (see point
3 above).
Where a replacement certificate is required, the re-exporter must make a written request.
Replacement certificates are then treated as definitive certificates for the purposes of
granting preferential tariff treatment.
5.12 ARE THERE ANY SPECIAL PROVISIONS FOR THE EXPORT OF LOW VALUE CONSIGNMENTS?
Yes, both for certain consignments of a commercial nature (Article 97m) and for products
sent as small packages from private persons to private persons, or which form part of a
traveller’s personal luggage (Article 97a).
Consignments of a commercial nature which contain originating products of a value not
exceeding €6000 may be accompanied by an invoice declaration (the text of which appears
in Annex 18 and is also reproduced at point 4.3 above) in place of the Form A. The
declaration may be written on the invoice, the delivery note or any other commercial
document relating to the consignment and describing the product. The exporter must:
issue only one invoice declaration for each consignment;
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make the declaration in either French or English by writing, typing, or stamping it or by
having it printed onto the relevant document. N.B. ink and block capitals must be used if
you are writing the declaration by hand;
sign the declaration in manuscript; and
be prepared to submit at any time, all appropriate documents substantiating the
originating status of the goods concerned at the request of the competent authority.
Neither a Form A nor an invoice declaration is needed for products sent as small packages
from private persons to private persons, or which form part of a traveller’s personal luggage.
These items will be admitted at the appropriate preferential tariff rate of duty by the EU
Customs authorities provided the goods are not imported by way of trade (the imports are
occasional and consist solely of products for the personal use of the recipients or travellers
or their families and it is evident from the nature and quantity of the products that no
commercial purpose is in view), and there is no reason to doubt that they satisfy the rules of
origin. However the total value of the products must not exceed €500 in the case of small
packages, or €1200 in the case of the contents of travellers’ personal luggage. If the value is
higher than this then documentation will be required or duty will have to be paid. There is no
provision for getting evidence later and reclaiming duty already paid.
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SECTION 6 – REGISTERED EXPORTERS IN UNDER THE PROCEDURE
APPLICABLE FROM 2017
From January 1 2017, a system of registered exporters will apply. It is important to note
that the system shall apply in the following cases (Article 90):
(a) in cases of originating goods exported by a registered exporter within the
meaning of Article 92.
(b) in cases of any consignment of one or more packages containing originating
products exported by any exporter, where the total value of the originating
products consigned does not exceed EUR 6 000.
6.1 WHAT ARE THE BENEFICIARY COUNTRIES' RESPONSIBILITIES IN THIS SYSTEM?
The competent authorities of the beneficiary country shall establish and keep up to date
at all times an electronic record of registered exporters located in that country (Article
91). The record shall be immediately updated where an exporter is withdrawn from the
register in accordance with Article 93 (2).
The record shall contain the following information:
(a) name and full address of the place where Registered Exporter is
established/resides, including the identifier of the country or territory
(ISO alpha 2 country code);
(b) number of Registered Exporter;
(c) products intended to be exported under the scheme (indicative list of
Harmonized System chapters or headings as considered appropriate by
the applicant);
(d) dates as from and until when the exporter is/was registered.
(e) the reason for withdrawal (registered exporter’s request / withdrawal by
competent authorities). This data shall only be available to competent
authorities.
The competent authorities of the beneficiary countries shall notify the Commission of the
national numbering system used for designating registered exporters. The number shall
begin with ISO alpha 2 country code.
6.2 WHAT DO THE EXPORTERS HAVE TO DO?
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To be registered, exporters shall lodge an application with the competent authorities of
the beneficiary country referred to in Article 69(1)(a), using the form a model of which is
set out in Annex 13c. By the completion of the form exporters give consent to the
storage of the information provided in the database of the Commission and to the
publication of non-confidential data on the internet (Article 92).
The application shall be accepted by the competent authorities only if it is complete.
Exporters, registered or not, shall comply with the following obligations (Article 94):
(a) they shall maintain appropriate commercial accounting records for
production and supply of goods qualifying for preferential treatment;
(b) they shall keep available all evidence relating to the material used in the
manufacture;
(c) they shall keep all customs documentation relating to the material used
in the manufacture;
(d) they shall keep for at least three years from the end of the year in which
the statement on origin was made out, or more if required by national
law, records of
(i) the statements on origin they made out; and
(ii) their originating and non-originating materials, production and
stock accounts.
The records referred to in point (d) may be electronic but shall allow the
materials used in the manufacture of the exported products to be traced and
their originating status to be confirmed.
The obligations of exporters shall also apply to suppliers who provide exporters with
supplier's declarations certifying the originating status of the goods they supply.
6.3 WHAT ARE THE DOCUMENTS TO BE USED (SEE ARTICLES 95 AND 96)?
The statement on origin is made out by the registered exporter when the products
to which it relates are exported, if the goods concerned can be considered as
originating in the beneficiary country concerned or another beneficiary country in
accordance with the second sub-paragraph of Article 86 (4) or with point (b) of the
first sub-paragraph of Article 86 (6).
The statement on origin shall be provided by the exporter to his customer in the
European Union and shall contain the particulars specified in Annex 13d. A
statement on origin shall be made out in either English or French. It may be made
out on any commercial document allowing to identify the exporter concerned and the
goods involved.
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The statement on origin shall be provided by the exporter to his customer in the
European Union and shall contain the particulars specified in Annex 13d. A
statement on origin shall be made out in either English or French.
It may be made out on any commercial document allowing to identify the exporter
concerned and the goods involved.
When cumulation under Articles 84, 86 (1), or 86 (5) and (6) applies, the exporter of
a product in the manufacture of which materials originating in a party with which
cumulation is permitted are used shall rely on the statement on origin provided by its
supplier. In these cases, the statement on origin made out by the exporter shall, as
the case may be, contain the indication ‘EU cumulation’, ‘regional cumulation’or
‘Cumul UE’, ‘cumul regional’.
When cumulation under Article 85 applies, the exporter of a product in the
manufacture of which materials originating in a party with which cumulation is
permitted are used shall rely on the proof of origin provided by its supplier and
issued in accordance with the provisions of the GSP rules of origin of Norway,
Switzerland or Turkey, as the case may be. In this case, the statement on origin
made out by the exporter shall contain the indication ‘Norway cumulation’,
‘Switzerland cumulation’, ‘Turkey cumulation’ or ‘Cumul Norvège’, ‘Cumul Suisse’,
‘Cumul Turquie’.
When extended cumulation under Article 86 (7) and (8) applies, the exporter of a
product in the manufacture of which materials originating in a party with which
extended cumulation is permitted are used shall rely on the proof of origin provided
by its supplier and issued in accordance with the provisions of the relevant freetrade
agreement between the European Union and the party concerned.
In this case, the statement on origin made out by the exporter shall contain the
indication ‘extended cumulation with country x’ or ‘cumul étendu avec le pays x’.
A statement on origin shall be made out for each consignment. A statement on origin
may exceptionally be made out after exportation ('retrospective statement') on
condition that it is presented in the Member State of declaration for release for
free circulation no longer than two years after the export.A statement on origin
shall be valid for twelve months from the date of its making out by the
exporter.
A single statement on origin may cover several consignments if the goods meet the
following conditions:
(a) they are dismantled or non assembled products within the meaning of
general rule 2(a) of the Harmonized system,
(b) they are falling within Section XVI or XVII or heading 7308 or 9406 of the
Harmonized System, and
(c) they are intended to be imported by instalments.
6.4 ARE THERE ANY CASES FOR WITHDRAWAL?
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Yes. Article 93 provides for the following.
Registered exporters who no longer meet the conditions for exporting any goods under
the scheme, or no longer intend to export such goods, shall inform the competent
authorities in the beneficiary country who shall immediately remove them from the
record of registered exporters kept in that beneficiary country.
Without prejudice to the system of penalties and sanctions applicable in the beneficiary
country, where registered exporters intentionally or negligently draw up, or cause to be
drawn up, a statement on origin or any supporting document which contains incorrect
information which leads to irregularly or fraudulently obtaining the benefit of preferential
tariff treatment, the beneficiary country’s competent authorities shall withdraw the
exporter from the record of registered exporters kept by the beneficiary country
concerned.
Without prejudice to the possible impact of irregularities found on pending verifications,
withdrawal from the record of registered exporters shall take effect for the future, i.e. in
respect of statements made out after the date of withdrawal.
Exporters who have been removed from the record of registered exporters by the
competent authorities in accordance with the second paragraph may only be reintroduced
into the record of registered exporters once they have proved to the
competent authorities in the beneficiary country that they remedied the situation which
led to their withdrawal.
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SECTION 7 - RESPONSIBILITIES OF EXPORTERS IN THE EU
7.1 AS AN EU EXPORTER WHY SHOULD I READ THIS SECTION?
When products of EU origin are used as materials in the manufacture of a product in a GSP
beneficiary country, they count (under the cumulation of origin rules, see point 2.7) as
originating in that country. This can help the finished product satisfy the rules of origin for
importation into the European Union at a preferential rate of duty. It is important, therefore,
that goods exported for this purpose are accompanied by evidence of their EU originating
status. The manufacturer in the GSP country will need to present this evidence in support of
his application for a Form A to accompany the goods he sends to the EU.
Bilateral cumulation (see point 2.7 above) applies only if the exported goods have EU
originating status (European Union customs status obtained through release for free
circulation is not enough) certified by an EUR.1, and they are subject to more than a minimal
operation in the country concerned (and also provided no non-originating material is added
during the operation).
If you are exporting goods to a beneficiary country under the Outward Processing Relief
(OPR) arrangements, you may wish to consider whether the materials or parts you are
sending out for processing qualify as originating goods and whether the returning product
would then be entitled to receive additional tariff advantages under the EU GSP scheme:
Under EU GSP bilateral cumulation, the re-imported product will be granted the benefit of the
GSP arrangements; on the other hand, as a compensating product for OPR, Article 151 of
the European Union Customs Code (“the Code” - Council Regulation (EEC) No 2913/92) will
apply; however, by combining both, Article 151(4) should apply. The amount of possible
additional OPR duty relief will depend on the GSP duty rate to be applied to goods of the
same kind as those temporarily exported. Note however that the method of taxation based
on the cost of the processing operation (Article 153 second paragraph of the Code and
Article 591 of Regulation No 2454/93) could not be applied in such a situation, where the
temporary export good could have been subject to the preferential GSP duty, unless proof is
given that it had not been released for free circulation at a duty rate of zero.
It is vitally important therefore to ensure that any declaration you make about the origin of the
exported materials or parts is correct. An incorrect declaration may lead to a false claim to
preferential tariff treatment in respect of the products subsequently imported into the EU
which in turn may lead to penalties being imposed on the importer.
7.2 WHAT ARE THE RULES OF ORIGIN APPLYING TO GOODS EXPORTED FROM THE EU?
The rules which determine the origin of goods produced in GSP countries apply to goods
exported from the EU to the GSP countries as well. The general guidance provided in point
5.2 for working out how goods satisfy the rules of origin applies also when goods are
exported from the EU.
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7.3 WHAT EVIDENCE WILL I NEED TO SHOW THAT MY GOODS HAVE SATISFIED THE RULES OF
ORIGIN?
If you are already exporting under one of the EU’s preferential trading arrangements, you will
be familiar with the evidence that must be obtained and the records that must be maintained.
Otherwise you should seek advice from your national customs administration, but you may
read the appropriate parts of this guide to get an idea of what you will have to do. In this
regard, Council Regulation (EC) No 1207/2001 applies within the European Union. It lays
down procedures such as supplier’s declarations to facilitate the issue of movement
certificates EUR.1 and the making-out of invoice declarations.
7.4 WHAT EVIDENCE MUST I SEND TO THE GSP COUNTRY TO SHOW THAT MY GOODS HAVE
SATISFIED THE RULES OF ORIGIN?
Normally, you must provide your customer in the GSP country with a movement certificate
EUR 1 (see Annex 21). EU exporters who are not familiar with this document should seek
further advice from their national customs authorities.
However, if you are a European Union 'Approved Exporter' then you may use an invoice
declaration, stating that the products are of EU preferential origin ‘according to the rules of
origin of the Generalised System of Preferences of the European Union’.
7.5 WHERE AND WHEN DO I PRESENT A COMPLETED EUR 1 FOR CERTIFICATION?
You should follow the procedures laid down by your national customs authority.
7.6 IS THERE ANYTHING ELSE I SHOULD KNOW ABOUT THE EUR 1 AND THE INVOICE
DECLARATION?
The rules concerning certificates issued after the goods have been exported, lost certificates
and invoice declarations for low value consignments covered in points 5.9, 5.10 and 5.12
essentially also apply to EUR 1s and invoice declarations issued for exports from the EU.
7.7 ACCOUNTING SEGREGATION OF EU EXPORTERS' STOCKS OF MATERIALS
If originating and non-originating fungible materials are used in the working or processing
of a product, the customs authorities of the Member States may, at the written request of
economic operators, authorise the management of materials in the European Union using
the accounting segregation method for the purpose of subsequent export to a beneficiary
country within the framework of bilateral cumulation, without keeping the materials on
separate stocks.
The customs authorities of the Member States may make the granting of authorisation
subject to any conditions they deem appropriate.
The authorisation shall be granted only if by use of the accounting segregation it can be
ensured that, at any time, the number of products obtained which could be considered as
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‘originating in the European Union’ is the same as the number that would have been
obtained by using a method of physical segregation of the stocks.
If authorised, the method shall be applied and the application thereof shall be recorded on
the basis of the general accounting principles applicable in the European Union.
The beneficiary of the accounting segregation method shall make out or, until the
application of the registered exporter system, apply for proofs of origin for the quantity of
products which may be considered as originating in the European Union. At the request of
the customs authorities of the Member States, the beneficiary shall provide a statement of
how the quantities have been managed.
The customs authorities of the Member States shall monitor the use made of the
authorisation.
They may withdraw the authorisation in the following cases:
(a) the beneficiary makes improper use of the authorisation in any manner whatsoever,
or
(b) the beneficiary fails to fulfil any of the other applicable conditions.
42
SECTION 8 - RESPONSIBILITIES OF IMPORTERS IN THE EU
8.1 AS AN EU IMPORTER WHY SHOULD I READ THIS SECTION?
IMPORTING UNDER PREFERENCE CARRIES CERTAIN RISKS. IT IS THEREFORE
IMPORTANT THAT YOU SHOULD BE AWARE OF THESE RISKS AND OF HOW YOU
CAN PROTECT YOUR INTERESTS.
The customs authorities in the importing Member State of the EU can ask the authorities in
the exporting country to carry out further checks and controls on goods which have already
arrived in the EU and which may even have been already been released for free circulation
at a preferential rate of duty (see point 9.5). This is often called "a subsequent verification"
(see point 9.5 to see what happens in the beneficiary country).
If the goods have not already been put into free circulation and the competent authorities
decide to suspend the granting of tariff preferences while awaiting the results of the
verification, you may be required to pay security (Article 94). Where they consider that
checks which they have undertaken may result in a higher amount of import duties being due
than that resulting from the particulars in the declaration, they shall always require the
lodging of a security sufficient to cover the difference (Article 248 of Regulation (EEC) No
2454/93).
Where a verification check shows that the goods do not qualify for preferential tariff
treatment, customs will refuse preference or you will lose the benefit of it. You should
also note that European Union legislation provides for the collection of duty from the
importer up to 3 years after the goods have been imported.
8.2 HOW CAN I CHECK THAT THE GOODS I AM IMPORTING MEET THE REQUIRED ORIGIN RULES?
In your own interests you should check as far as you can that any proof of origin you
present to customs is valid and that the goods covered by it are entitled to the
reduced rate of customs duty you are claiming, to avoid unpleasant repercussions
later on.
If you suspect the accuracy or validity of the preference document you hold or have reason
to doubt that the goods are entitled to a reduced rate of duty, you should not claim that
preferential rate of duty. If you do so, you will run the risk of having committed an offence
which may incur penalties.
Before you make your claim for a reduced rate of duty (by entering the code 2 in box 36 of
the customs declaration form (SAD), or even before you order the goods, you should
yourself:
find out the origin rule for the product concerned (see Annexes 13a and 13b);
43
remind your overseas supplier of the rule and ask for written confirmation that it has been,
or will be, met. You could also ask your supplier to provide some information that
demonstrates compliance with the rule. For example, if you are importing garments, you
might ask about the origin of the fabric used or where the yarn comes from.
You could, in addition, consider whether you would be able to include and enforce a clause
in your contract allowing you to recover duty from your supplier. If not, you will be out of
pocket if post import verification reveals that the certificate was invalid or that the goods had
not met the rules.
If you suspect the accuracy of any of the information received you should seek further
clarification from your supplier.
You should consult your customs authorities if, having received a response from your
supplier, you are still unsure that your goods are entitled to a preferential rate of duty to see
what they think. But their advice will not binding.
If you are already claiming a preferential rate of duty on goods which have not been
subjected to the above checks, you should consider whether it would be advisable to make
appropriate enquiries of your supplier. You must STOP making claims to preference
immediately if the enquiries show that your goods are not meeting the origin rules.
If you are intending to import the same kind of goods over a long period of time, you may
wish to consider making regular checks with your supplier to ensure that there been no
change in the manufacturing process or in the origin of the materials or parts used. You
must STOP making claims to preference immediately if these checks show that your
goods are no longer meeting the origin rules.
You should keep a record of all action taken. Your customs authorities may wish to see what
steps you have taken to ensure that your goods are entitled to the reduced customs charges
that you are claiming. This might help providing you acted in "good faith" if something goes
wrong or might reduce the amount of duty you will have to pay.
8.3 CAN I MAKE A BELATED CLAIM?
Yes, if your checks subsequently confirm that any goods which you have already imported,
and on which you have paid the full duty, are entitled to a preferential rate of duty, a belated
claim may be made up to three years from the date on which the goods were originally
entered for free circulation.
44
SECTION 9 -
RESPONSIBILITY OF THE COMPETENT AUTHORITY IN BENEFICIARY COUNTRIES
UNTIL THE APPLICATION OF THE REGISTERED EXPORTER SYSTEM (UNTIL
2017)
9.1 HOW DOES ADMINISTRATIVE CO-OPERATION WORK?
The governmental authorities of the beneficiary country, the European Commission and
customs authorities of the EU need to jointly manage a system of co-operation in order to
ensure the correct and effective application of the GSP and to ensure that it advantages are
only enjoyed by those whom it is meant to aid.
It should be noted that goods cannot obtain the benefit of tariff preferences until the
beneficiary country has complied with the administrative cooperation requirements.
In accordance with Article 97s, the beneficiary country informs the Commission of the names
and addresses of the governmental authorities within the beneficiary territory which are
empowered to issue certificates of origin Form A as well as those responsible for the control
(or verification) of certificates of origin Form A and invoice declarations. In principle, the EU
only accepts the nomination of governmental authorities, such as customs authorities or the
Ministries of Trade, for the issue of Forms A as it considers that a certificate of origin is a
blank cheque, which will be drawn on the EU budget and, accordingly, it should only be
issued by a body which involves the government of the beneficiary country. Other bodies like
chambers of commerce to whom the power has been delegated by a governmental authority
could be accepted for the issue of certificates, insofar as this activity remains under the
effective control of the government. But they cannot be accepted for control, as their links
with private interests could prejudice the correct control of their members. This must always
be exercised by a governmental authority, with no possibility of delegation. This is particularly
important, since, if the EU finds it necessary to withdraw a beneficiary country from its GSP
(e.g. for fraud or for lack of administrative co-operation), then it is entirely the government's
responsibility.
The beneficiary country must also send to the European Commission original, legible
specimens of stamps, representing the official signature9, used by those authorities to
issue certificates.
Copies of the specimens of stamps are distributed to the EU customs authorities. As they
are not publicly available (except for reference at the time of the importation, when the
European importer is allowed to verify if the certificate of origin he received from his
supplier of his goods seems to be in order), they contribute in ascertaining the authenticity
of the certificate of origin.
The bodies in charge of the issue of the certificates of origin must inform the European
Commission of any changes to the stamps. If they do not, then the exported goods could
be presented to a European Union customs authority which is not aware the existence of
such a stamp; it would therefore refuse to grant a preference. Communicating new or
additional stamps promptly (together with the date of entry into use of the new stamp) is
the only way to avoid this problem. The competent authority must also immediately inform
the Commission of any stamps that have been stolen or mislaid.
9 Names of individual authorised officials and specimens of the signatures are not however required.
45
The beneficiary country must inform the Commission (communication of information to
individual Member States is not sufficient) of any change to the names and addresses of
the governmental authorities responsible for the verification of the certificates of origin
Form A and the invoice declarations, so that there is no breakdown in communication. It is
also recommended to have a different governmental body in charge of the subsequent
verification to the one in charge of issuing certificates of origin Form A as this will
guarantee a better control. The European Union relies on the beneficiary country for the
proper working of the system.
For example, if the goods exported were to be further worked or processed after their
exportation from the beneficiary country, then they would no longer correspond to the
Form A and only the authorities of the beneficiary country would be able to state if the
goods imported into the EU corresponded to the ones which were exported together with
the Form A.
It should be noted, in the case of bilateral cumulation of origin using goods originating in
the EU, that the official bodies of the beneficiary country may send back the movement
certificate EUR.1 to the EU issuing authorities for verification, if they wish.
9.2 WHAT IS THE FIRST RESPONSIBILITY OF THE GOVERNMENTAL AUTHORITY OF THE
BENEFICIARY COUNTRY ?
The governmental authorities of a beneficiary country must provide guidance to their
exporters. Such assistance could consist of offering training, explanations and of explanatory
notices about the rules of origin.
9.3 WHAT MUST THE GOVERNMENTAL AUTHORITY OF THE BENEFICIARY COUNTRY DO BEFORE
ISSUING FORM A?
The authority must verify that information concerning the origin of the goods, presented to it
with the written application for a certificate of origin, is correct and that the goods have
originating status.
For example, the origin criteria for cloth garments with manufacture yarn states that such a
product qualifies under EU GSP origin rules only if all the industrial processes necessary to
obtain origin to take place in the beneficiary country. Thus evidence of the importation of the
yarn (if it is not already originating) and of the manufacture of the fabric must be provided.
The authority must also ensure that any endorsements required are inserted in box 4: e.g.
"Issued retrospectively" or "Délivré a posteriori (see section 5.9), "Duplicate" or "Duplicata"
(see section 5.10), "Derogation-Regulation (EC) No. …./…." (see section 2.9).
9.4 WHAT MUST THE GOVERNMENTAL AUTHORITY OF THE BENEFICIARY COUNTRY DO AFTER
ISSUING FORM A?
After the issue of the Form A, the authorities of the beneficiary country must keep records for
at least three years, as these authorities may be asked by the EU customs authorities to
verify a certificate of origin during this period.
9.5 HOW SHOULD THE AUTHORITIES OF THE BENEFICIARY COUNTRY COMPLY WITH AN EU
REQUEST FOR SUBSEQUENT VERIFICATION?
46
The authorities in charge of subsequent verification are expected to reply to a request for
verification within six months. However, if there is no reply after six months, the EC's
customs authorities will send a reminder and a further period of four months will be allowed
for the reply. In order to reply, the authorities must carry out any checks that may be
required, such as asking for further documentary evidence of the origin of the goods,
checking on exporters records and accounts, or even carrying out a factory inspection.
Note that beneficiary countries benefiting from regional cumulation as part of a regional
group give an undertaking to provide administrative cooperation not only to the European
Union, but also to each other (see Article 86(2)(b)(ii)). Inter alia, this means that where a
Member State makes a request for subsequent verification, it will correspond with the
authorities of the member of the group which issued the Form A, and those authorities must
liaise as appropriate with the authorities of other group members involved.
The customs authorities of the EU need a complete answer; "I confirm the origin of the
goods" is not enough. They require detailed explanations, such as the description of the
industrial process, description of the materials used, and the cost-break down of the process.
It is stressed that if the ten-month deadline is not met, this could entail important
consequences for the EU importer whose goods, especially if there are grounds for
reasonable doubt concerning the true origin, will not benefit from the tariff preference.
9.6 WHAT ARE THE CONSEQUENCES OF FAILURE TO PROVIDE ADEQUATE ADMINISTRATIVE
COOPERATION? (ARTICLE 71)
Where there are grounds for doubt concerning the proper application of the preferential
arrangements in the beneficiary country, the Commission may publish a warning notice to
importers in the Official Journal of the European Union.
Failure by the competent authorities of a beneficiary country to maintain the necessary
administrative structures and systems to manage the rules and procedures related to GSP ,
to inform the Commission of any changes of the authorities in charge of the management of
registered exporters, to keep to date the electronic records of registered exporters, to
manage the applications of the registered exporters, to remove the registered exporters who
do not fulfil the conditions any more, or to provide controls on exporters, or systematic failure
to comply with the administrative cooperation requirements may, in accordance with Article
16 of Regulation (EC) No. 732/2008, entail temporary withdrawal of preferences under the
scheme for that country.
47
SECTION 10 -
RESPONSIBILITY OF THE COMPETENT AUTHORITY IN BENEFICIARY COUNTRIES
IN THE SYSTEM APPLICABLE FROM 2017
In the framework of the system applicable from 2017, some obligations of the competent
authorities in the beneficiary countries are similar to the obligations laid down in the system
applicable until 2017. But they are adapted to the system of registered exporters. The main
obligations are the following.
10.1 OBLIGATIONS OF THE COMPETENT AUTHORITIES RELATED TO ADMINISTRATIVE
STRUCTURES
- To undertake to put in place and to maintain the necessary administrative structures and
systems required for the implementation and management in the beneficiary country of the
rules of origin and procedures related to GSP, including where appropriate the
arrangements necessary for the application of cumulation (Article 68.1.a);
- to ensure that the competent authorities will cooperate with the Commission and the
customs authorities of the Member States (Article 68.1.b);
- to provide all necessary support in the event of a request by the Commission for the
monitoring by it of the proper management of the scheme in the country concerned,
including verification visits on the spot by the Commission or the customs authorities of the
Member States (Article 68.2.a);
- to verify the originating status of products and the compliance with the other conditions
related to GSP rules of origin, including visits on the spot, where requested by the
Commission or the customs authorities of the Member States in the context of origin
investigations (Article 68.2.b);
- to submit to the Commission the undertakings provided for in Articles 68.1a and 68.2.b
(Article 68.3)
- to notify the Commission of the names and addresses of the authorities situated in their
territory which are :
(a) part of the governmental authorities of the country concerned, or act under the
authority of the government, and empowered to register exporters and to
withdraw them from the record of registered exporters;
(b) part of the governmental authorities of the country concerned and empowered
to support the Commission and the customs authorities of the Member States
through the administrative co-operation as provided for in this section (Article
69.1);
- to inform the Commission immediately of any changes to the above-mentioned information
(Article 69.2).
10.2 OBLIGATIONS OF THE COMPETENT AUTHORITIES RELATED TO REGISTERED EXPORTERS'
RECORDS
48
- To establish and keep up to date at all times an electronic record of registered exporters
located in the country (the record shall be immediately updated where an exporter is
withdrawn from the register) (Article 91.1)
- to notify the Commission of the national numbering system used for designating registered
exporters (the number shall begin with ISO alpha 2 country code) (Article 91.3)
- to accept the application lodged by the candidate exporters to be registered exporters if the
application is complete (Article 92);
- to remove registered exporters who no longer meet the conditions for exporting any goods
under the scheme, or no longer intend to export such goods (Article 93.1)
- to withdraw the exporter from the record of registered exporters who have intentionally or
negligently draw up, or cause to be drawn up, a statement on origin or any supporting
document which contains incorrect information which leads to irregularly or fraudulently
obtaining the benefit of preferential tariff treatment (Article 93.2)
10.3 OBLIGATIONS OF THE COMPETENT AUTHORITIES RELATED TO ADMINISTRATIVE
COOPERATION
- To carry out verifications of the originating status of products at the request of the customs
authorities of the Member States and regular controls on exporters on their own initiative
(Article 97g).
10.4 HOW DOES ADMINISTRATIVE COOPERATION WORKS? (ARTICLE 97G)
The controls shall ensure the continued compliance of exporters with their obligations. They
shall be carried out at intervals determined on the basis of appropriate risk analysis criteria.
For that purpose, the competent authorities of the beneficiary countries shall require
exporters to provide copies or a list of the statements on origin they have made out.
The competent authorities of the beneficiary countries shall have the right to call for any
evidence and to carry out any inspection of the exporter's accounts and, where appropriate,
those of producers supplying him, including at the premises, or any other check considered
appropriate.
Subsequent verifications of statements on origin shall be carried out at random or whenever
the customs authorities of the Member States have reasonable doubts as to their
authenticity, the originating status of the products concerned or the fulfilment of other
requirements of the GSP rules of origin.
Where the customs authorities of a Member State request the cooperation of the competent
authorities of a beneficiary country to carry out a verification of the validity of statements on
origin, the originating status of products, or of both, it shall, where appropriate, indicate on its
request the reasons why it has reasonable doubts on the validity of the statement on origin or
the originating status of the products.
A copy of the statement on origin and any additional information or documents suggesting
that the information given on that statement is incorrect may be forwarded in support of the
request for verification.
49
The requesting Member State shall set a 6-month initial deadline to communicate the results
of the verification, starting from the date of the verification request, with the exception of
requests sent to Norway, Switzerland or Turkey for the purpose of verifying replacement
statements on origin made out in their territories on the basis of a statement on origin made
out in a beneficiary country, for which this deadline shall be extended to eight months.
If in cases of reasonable doubt there is no reply within the period specified in the paragraph
above, or if the reply does not contain sufficient information to determine the real origin of the
products, a second communication shall be sent to the competent authorities. This
communication shall set a further deadline of not more than 6 months.
10.5 ADMINISTRATIVE COOPERATION IN THE FRAMEWORK OF CUMULATION
The provisions related to the control of origin and the administrative cooperation also apply to
exports from the European Union to a beneficiary country for the purpose of bilateral
cumulation and to exports from one beneficiary country to another for the purpose of regional
cumulation (Article 97l.1)
Particularly, regional cumulation operates under the condition that the countries of the
regional group have undertaken to provide the administrative cooperation necessary to
ensure the correct implementation of the GSP rules of origin both with regard to the
European Union and between themselves (Article 86.2.b.ii). These undertakings must be
notified to the Commission by the Secretariat of the regional group concerned or another
competent joint body representing all the members of the group in question.
To the extent that Norway, Switzerland and Turkey have concluded an agreement with the
European Union stating that they shall provide each other with the necessary support in
matters of administrative cooperation, the verifications of the originating status of products
apply mutatis mutandis to requests sent to the authorities of Norway, Switzerland and Turkey
for the verification of replacement statements on origin made out on their territory, with a
view to requesting these authorities to further liaise with the competent authorities in the
beneficiary country.
Extended cumulation is only permitted under Article 86 (7) and (8), if a country with which the
European Union has a free-trade agreement in force has agreed to provide the beneficiary
country with its support in matters of administrative cooperation in the same way as it would
provide such support to the customs authorities of the Member States in accordance with the
relevant provisions of the free-trade agreement concerned.
50
APPENDIX I - LIST OF BENEFICIARY COUNTRIES AND TERRITORIES
(Taken from Annex I of EU GSP
Disclaimer
Warning: the list of beneficiary countries is rather a list of potential beneficiaries, since
some countries may not meet the conditions to actually benefit from EU GSP. Myanmar for
example is temporarily suspended from it. Other countries may not yet have complied with
the administrative cooperation requirements laid down in Article 93 (see Section 8 above),
which are a pre-condition for goods to be granted the benefit of tariff preferences. If in doubt,
your competent authorities will advise you.
Beneficiary countries and territories of the European Union's scheme of generalised
tariff preferences
Countries included in the special arrangement for least developed countries are marked *
Countries included in the special incentive arrangement for sustainable development and
good governance are marked †
United Arab Emirates
Afghanistan *
Antigua and Barbuda
Anguilla
Armenia
Netherlands Antilles
Angola *
Antarctica
Argentina
American Samoa
Aruba
Azerbaijan
Barbados
Bangladesh *
Burkina Faso *
Bahrain
Burundi *
Benin *
Bermuda
Brunei Darussalam
Bolivia †
Brazil
Bahamas
Bhutan *
Bouvet Island
Botswana
Belarus
Belize
Cocos Islands (or Keeling
Islands)
Democratic Republic of Congo *
Central African Republic *
Congo
Côte d'Ivoire
Cook Islands
Cameroon
People's Republic of China
Colombia †
Costa Rica †
Cuba
Cape Verde *
Christmas Islands
Cyprus
Djibouti *
Dominica
Dominican Republic
Algeria
Ecuador †
Egypt
Eritrea *
Ethiopia *
Fiji
Falklands Islands
Federated States of Micronesia
Gabon
Grenada
Georgia †
Ghana
Gibraltar
Greenland
Gambia *
Guinea *
Equatorial Guinea *
South Georgia and South
Sandwich Islands
Guatemala †
Guam
Guinea-Bissau *
Guyana
Heard Island and McDonald
Islands
Honduras †
Haiti *
Indonesia
India
British Indian Ocean Territory
Iraq
Iran (Islamic Republic of)
Jamaica
Jordan
Kenya
Kyrgyzstan
Cambodia *
Kiribati *
Comoros *
51
St Kitts and Nevis
Kuwait
Cayman Islands
Kazakhstan
Lao People's Democratic
Republic *
Lebanon
St Lucia
Sri Lanka †
Liberia *
Lesotho *
Libyan Arab Jamahiriya
Morocco
Moldova (Republic of) †
Madagascar *
Marshall Islands
Mali *
Myanmar *
Mongolia †
Macao
Northern Mariana Islands
Mauritania *
Montserrat
Mauritius
Maldives *
Malawi *
Mexico
Malaysia
Mozambique *
Namibia
New Caledonia
Niger *
Norfolk Island
Nigeria
Nicaragua †
Nepal *
Nauru
Niue Island
Oman
Panama †
Peru †
French Polynesia
Papua New Guinea
Philippines
Pakistan
St Pierre and Miquelon
Pitcairn
Palau
Paraguay
Qatar
Russian Federation
Rwanda *
Saudi Arabia
Solomon Islands *
Seychelles
Sudan *
Santa Helena
Sierra Leone *
Senegal *
Somalia *
Suriname
São Tomé and Príncipe *
El Salvador †
Syrian Arab Republic
Swaziland
Turks and Caicos Islands
Chad *
French Southern territories
Togo *
Thailand
Tajikistan
Tokelau Islands
Timor-Leste *
Turkmenistan
Tunisia
Tonga
Trinidad and Tobago
Tuvalu *
Tanzania (United Republic of) *
Ukraine
Uganda *
United States Minor outlying
islands
Uruguay
Uzbekistan
St Vincent and Northern
Grenadines
Venezuela †
Virgin Islands (British)
Virgin Islands (USA)
Viet Nam
Vanuatu *
Wallis and Futuna
Samoa *
Yemen *
Mayotte
South Africa
Zambia *
Zimbabwe