Each Party shall adopt or maintain measures that provide for the imposition of civil, criminal or administrative penalties where appropriate, for violations of its customs laws and regulations, related to the provisions of this Chapter and Chapter 3 (Rules of Origin).
Article 4.9. Advance Rulings
1. Each Party, through its customs authority, on request of a person described in subparagraph 2(a), shall provide in writing advance rulings in respect of the tariff classification and origin of goods and whether a good qualifies for preferential tariff treatment.
2. Each Party shall adopt or maintain procedures for advance rulings, which shall:
(a) provide that an importer in its territory or an exporter or producer in the territory of the other Party may request an advance ruling before the importation of goods in question;
(b) require that a person requesting an advance ruling provide a detailed description of the goods and all relevant information needed to issue an advance ruling;
(c) provide that its customs authority may, within a specified period, request additional information in order to have all the relevant information needed;
(d) provide that any advance ruling be based on the facts and circumstances presented, and any other relevant information in the possession of the decision-maker; and
(e) provide that an advance ruling be issued within 90 days of the receipt of all necessary information.
3. A Party may reject requests for an advance ruling where the additional information requested in accordance with subparagraph 2(c) is not provided within a specified time.
4. Each Party shall provide that advance rulings shall be in force from their date of issuance, or another date specified in the ruling, provided that the facts or circumstances on which the ruling is based remain unchanged.
5. A Party may modify or revoke an advance ruling upon a decision or administrative act that indicates that such ruling was based on an error of fact or law, the information provided is false or inaccurate, if there is a change in domestic law consistent with this Agreement, or there is a change in a material fact, or circumstances on which the ruling is based.
6. Where an importer claims that the treatment granted to an imported good should be governed by an advance ruling, the customs authority may evaluate whether the facts and circumstances of the importation are consistent with the facts and circumstances upon which the advance ruling was based.
Article 4.10. Resolution of Disputes on Classification of Goods
When the Parties cannot agree on the classification of a good, the Parties should hold the appropriate consultations with the World Customs Organization in order to obtain a recommendation that may permit the Parties to reach a uniform position regarding the correct classification of the good under the Harmonized System.
Section B. Customs Procedures Relating to Origin
Article 4.11. Definitions
For purposes of this Section:
competent government authority means the government authority in each Party that is responsible for the verification of origin, which:
(a) in the case of Costa Rica, is the Servicio Nacional de Aduanas (National Customs Service); except for purposes of paragraphs 3 and 4 of Article 4.15 (Verification of Origin), for which the competent government authority is the Promotora del Comercio Exterior ("PROCOMER") (Foreign Trade Corporation); and
(b) in the case of Singapore, is the Singapore Customs; and
day means calendar days, including weekends and holidays. Where the last day falls on a non-working day, the last day will be extended to the next working day.
Article 4.12. Claims for Preferential Treatment
1. For the purpose of obtaining preferential tariff treatment in the other Party, an exporter or producer of a Party shall complete and sign a Certification of Origin, certifying that a good qualifies as an originating good and for which an importer may claim preferential treatment upon the importation of the good into the territory of the other Party.
2. The Parties agree that the Certification of Origin does not need to be in a prescribed format and the data elements for this Certification of Origin are those stated in Annex 4.1 (Data Elements to be Included in the Certification of Origin). Such data elements may thereafter be revised by decision of the Commission.
3. Each Party shall:
(a) require an exporter in its territory to complete and sign a Certification of Origin for any exportation of a good for which an importer may claim preferential tariff treatment upon importation of the good into the territory of the other Party; and
(b) provide that where an exporter in its territory is not the producer of the good, the exporter may complete and sign a Certification of Origin on the basis of:
i. his knowledge of whether the good qualifies as an originating good;
ii. his reasonable reliance on the producer's written declaration that the good qualifies as an originating good; or
iii. a completed and signed Certification of Origin for the good voluntarily provided to the exporter by the producer.
4. Nothing in paragraph 3 shall be construed to require a producer to provide a Certification of Origin to an exporter.
5. Each Party shall provide that a Certification of Origin that has been completed and signed by an exporter or producer in the territory of the other Party that is applicable to a single importation of one or more goods into the Party's territory shall be accepted by its customs authority for 12 months from the date on which the Certification of Origin was signed.
Article 4.13. Waiver of Certification of Origin
Each Party shall provide that a Certification of Origin shall not be required for the importation of any good whose customs value does not exceed US$1,500 or its equivalent amount in the Party's currency; or such higher amount as may be established by the importing Party, provided that the importation does not form part of a series of importations that may reasonably be considered to have been undertaken or arranged for the purpose of avoiding the certification requirements.
Article 4.14. Record Keeping Requirement
1. Each Party shall provide that an exporter or producer in its territory that completes and signs a Certification of Origin shall maintain in its territory, for 3 years after the date on which the Certification of Origin was issued or signed, all records relating to the origin of a good for which preferential tariff treatment was claimed in the territory of the other Party, including records associated with:
(a) the purchase of, cost of, value of, shipping of, and payment for, the good that is exported from its territory;
(b) the sourcing of, purchase of, cost of, value of, and payment for, all materials, including indirect materials, used in the production of the good that is exported from its territory; and
(c) the production of the good in the form in which the good is exported from its territory.
2. Each Party shall provide that an importer claiming preferential tariff treatment for a good imported into the Party's territory shall maintain in that territory, for 3 years after the date of importation of the good, such documentation, including a copy of the Certification of Origin, as the Party may require relating to the importation of the good.
3. The records to be maintained may include electronic records and shall be maintained in accordance with the domestic laws and practices of each Party.
Article 4.15. Verification of Origin
1. For purposes of determining whether a good imported into its territory from the territory of the other Party qualifies as an originating good, the importing Party may conduct verification by means of:
(a) requests for information from the importer;
(b) written questionnaires or requests for information to the exporter or producer of the good(s) in the territory of the other Party, through the competent government authority of the exporting Party, who shall notify the exporter or producer within 5 days upon receipt of such requests;
(c) requests for assistance from the competent government authority of the exporting Party as provided for in paragraph 3 below; or
(d) verification visits to the premises of an exporter or a producer in the territory of the other Party, to observe the facilities and the production processes of the good and to review the records referring to origin including accounting files.
2. For purposes of subparagraphs 1(a) and 1(b), the importer, exporter or producer:
(a) shall answer and return the request within a period of 30 days from the date on which it was received;
(b) may have one opportunity, before the expiration of the period established in subparagraph (a), to make a written request to the competent government authority of the importing Party for an extension of the answering period, for a period not exceeding 30 days. For the exporter or producer, this written request will be made through the competent government authority of the exporting Party. In the case where the importer, exporter, or producer does not return the written request for the information made by the competent government authority of the importing Party within the given period or its extension, the importing Party may deny preferential treatment to the good that is subject to verification.
3. For purposes of subparagraph 1(c), the customs authority of the importing Party:
(a) may request the assistance of the competent government authority of the exporting Party in verifying:
i. whether the goods declared in the Certification of Origin qualify as originating goods; and/or
ii. the accuracy of any information contained in the Certification of Origin;
(b) shall provide the competent government authority of the other Party with:
i. the reasons why such assistance is sought;
ii. the Certification of Origin, or a copy thereof; and
iii. any information and documents as may be necessary for the purpose of providing such assistance.
4. To the extent allowed by its domestic law and practices, the competent government authority of the exporting Party shall fully cooperate in any action to verify the origin as established under subparagraph 1(b) and paragraph 3 above. In the absence of such cooperation, the importing Party shall determine the accuracy of the information contained in the Certification of Origin with the best information available at that moment.
5. For purposes of subparagraph 1(d), the competent government authority of the importing Party shall:
(a) deliver, at least 30 days prior to conducting a verification visit, a written notification of its intention to conduct the visit to the exporter or producer and to the competent government authority of the exporting Party; and
(b) obtain the written consent of the exporter or producer.
6. Pursuant to paragraph 5, the exporter or producer may within 15 days of receiving the notification, request to the competent government authority of the importing Party for a postponement of the proposed verification visit, for a period not exceeding 60 days. This extension shall be notified to the competent authorities of the importing and exporting Parties.
7. A Party shall not deny preferential tariff treatment to a good solely because a verification visit was postponed pursuant to paragraph 6.
8. In the case where an exporter or producer does not give its written consent to a proposed verification visit within 30 days from the receipt of notification, the importing Party may deny preferential treatment to the good that is subject to verification.
9. After concluding the actions related to subparagraphs 1(a), (b), (c) or (d), and no later than 15 days after the outcome of the actions taken, the competent government authority of the importing Party shall provide a written determination of whether the good is originating and therefore eligible for preferential tariff treatment based on the relevant law and findings of fact. In respect of subparagraphs 1(a), (b), (c) or (d), the maximum time to be taken from the start of the verification to its conclusion should preferably not exceed 150 days.
10. When the customs authority, at time of importation of the goods in the customs territory of one of the Parties, is certain or has a reasonable doubt that the goods do not comply with the provisions under Chapter 3 (Rules of Origin) or the requirements under Annex 4.1 (Data Elements to be Included in the Certification of Origin), it can deny the preferential tariff treatment for such goods, upon notification to the importer by the established means. In such case, the importer can apply the actions and time frames provided by the domestic laws, including customs clearance upon security. Once the customs authority is satisfied that the goods comply with the provisions under Chapter 3 (Rules of Origin) or the requirements under Annex 4.1 (Data Elements to be Included in the Certification of Origin), the security or duties paid shall be refunded.
11. The importing Party may deny preferential treatment to an importer on any subsequent import of a good when its competent government authority had already determined that an identical good was not eligible for that treatment, provided that such good is exported by the same exporter or produced by the same producer subject to verification, until the importing Party determines that the importer, exporter, or producer is in compliance with this Chapter.
Article 4.16. Obligations Relating to Importations
1. Any good that meets all the applicable requirements in this Chapter and in Chapter 3 (Rules of Origin) is eligible for preferential tariff treatment.
2. A Party may deny preferential tariff treatment under this Agreement to imported good(s) if the importer fails to comply with any requirement of this Chapter or Chapter 3 (Rules of Origin).
3. Except as otherwise provided in this Chapter, each Party shall require an importer in its territory that claims preferential tariff treatment for a good imported into its territory from the territory of the other Party to:
(a) declare in the importation document that the good qualifies as an originating good, based on a Certification of Origin;
(b) have the Certification of Origin in its possession at the time the declaration is made;
(c) provide, on the request of that Party's customs authority, a copy of the Certification of Origin; and
(d) promptly submit a corrected declaration in a manner required by the customs authority of the importing Party and pay any owed duties where the importer has reason to believe that a Certification of Origin on which a declaration was based contains information that is not correct.
4. Each Party shall provide that, where a good qualified as originating when it was imported into the territory of that Party but no claim for preferential tariff treatment was made at that time, the importer of the good may, no later than 1 year after the date on which the good was imported, apply for a refund of any excess duties paid as the result of the good not having been granted preferential tariff treatment, on presentation of:
(a) a written declaration that the good qualified as originating at the time of importation; and
(b) a copy of the Certification of Origin.
Article 4.17. Obligations Relating to Exportations
1. Each Party shall provide that an exporter or a producer in its territory shall submit a copy of the Certification of Origin to its competent government authority upon request.
2. When an exporter or a producer in its territory has provided a Certification of Origin and has reason to believe that such Certification contains or is based on incorrect information, the exporter or producer shall promptly notify in writing every person to whom it has provided the Certification of any change that could affect the accuracy or validity of the Certification, provided that such notification is made before the initiation of audit procedures. Any penalty, if applicable, for providing an incorrect Certification of Origin for preferential tariff treatment shall be subject to Article 4.8 (Penalties).
Article 4.18. Third Party Invoicing
The importing Party shall accept a Certification of Origin in cases where the sales invoice is issued either by a company located in a non-Party or by an exporter in the exporting Party for the account of such company, provided that the good meets the requirements of Chapter 3 (Rules of Origin).
Chapter 5. Sanitary and Phytosanitary Measures
Article 5.1. Objectives
The objectives of this Chapter are to:
(a) protect human, animal, or plant life or health in the territory of the Parties, and to provide a framework to address any sanitary and phytosanitary (SPS) bilateral matters so as to facilitate and increase trade between the Parties;
(b) uphold and enhance the implementation of the SPS Agreement and applicable international standards, guidelines and recommendations developed by relevant international organizations; and
(c) strengthen cooperation between the Parties' competent SPS authorities having responsibility for matters covered by this Chapter and to deepen mutual understanding of each Party's regulations and procedures.
Article 5.2. Definitions
For purposes of this Chapter:
(a) the definitions in Annex A of the SPS Agreement and the definitions provided in the glossary of harmonized terms of the relevant international organizations shall apply to this Chapter; and
(b) relevant international organizations refers to the organizations mentioned in the SPS Agreement, namely International Plant Protection Convention (IPPC), Codex Alimentarius (Codex) and World Organization for Animal Health (OIE).
Article 5.3. Scope and Coverage
1. This Chapter applies to all SPS measures that may, directly or indirectly, affect trade between the Parties.
2. This Chapter does not apply to standards, technical regulations and conformity assessment procedures as defined in the TBT Agreement which are covered by Chapter 6 (Technical Barriers to Trade) of this Agreement.
Article 5.4. General Provisions
1. The Parties reaffirm their existing rights and obligations with respect to each other under the SPS Agreement.
2. The Parties recognize and apply the decisions on the application of the SPS Agreement adopted by the WTO Committee on Sanitary and Phytosanitary Measures (WTO SPS Committee).
Article 5.5. Trade Facilitation
1. The Parties shall cooperate and jointly identify work in the field of SPS measures with a view to facilitating trade between the Parties. In particular, the Parties shall seek to identify initiatives that are appropriate for particular issues or sectors. Such initiatives may include cooperation on regulatory issues, such as unilateral recognition of equivalence, harmonization or other cooperative arrangements.
2. At the request of a Party, the other Party shall give favourable consideration to any sector-specific proposal that the former Party makes for consideration under this Chapter.
Article 5.6. Transparency
1. The Parties affirm their obligations on the transparency provisions set out in the SPS Agreement, as well as the relevant decisions of the WTO SPS Committee.
2. The importing Party shall notify to the exporting Party through the relevant competent SPS authority, within a reasonable period of time, the information regarding serious non-compliance of SPS requirements and which results in rejection by the importing Party.
Article 5.7. SPS Coordinators
1. To facilitate the implementation of this Chapter and cooperation between the Parties, each Party shall designate a SPS Coordinator, who shall be responsible for coordinating with competent SPS authorities in the Party's territory and communicating with the other Party's SPS Coordinator on all matters pertaining to this Chapter. The SPS Coordinators' functions shall include, among others:
(a) monitoring the implementation and administration of this Chapter;
(b) enhancing communication between the Parties' competent SPS authorities and shall seek to facilitate a Party's response to written requests for information from the other Party in print or electronically without undue delay, and in any case within 30 days after the date of receipt of the request, at no cost or at reasonable cost;
(c) facilitating information exchange so as to enhance mutual understanding of each Party's SPS measures and the regulatory processes that relate to those measures and their impact on trade in goods between the Parties;
(d) promptly addressing any bilateral SPS issue that a Party raises, so as to enhance cooperation and consultation between the Parties and facilitate trade between them;
(e) promoting the use of international standards by both Parties in their respective adoption and application of SPS measures;
(f) reviewing progress on addressing SPS matters that may arise between the Parties' competent SPS authorities; and
(g) without prejudice to Article 16.1 (The Free Trade Commission), convening, as necessary and appropriate, an ad hoc technical working group for addressing requests for technical clarification with the objective of identifying practical and workable solutions that would facilitate trade. Both Parties shall endeavour to convene the ad hoc technical working group without undue delay.
2. The SPS Coordinators shall normally carry out their functions through agreed communication channels such as telephone, facsimile, email; whichever is most expedient in the discharge of their functions.
3. Notwithstanding paragraph 2, in technical issues like notifications of interceptions, risk assessments or others, the contact between the competent SPS authorities can be made directly, with due communication to the SPS Coordinators.
Article 5.8. Technical Cooperation
The Parties agree to explore opportunities for future cooperation and collaboration on SPS matters of mutual benefit, which may include training and exchange visits. Such activities shall be mutually agreed upon and subject to the availability of resources.
Article 5.9. Final Provisions
1. Nothing in this Chapter shall limit the authority of a Party to determine the level of protection it considers necessary for the protection of, inter alia, human health or safety, animal or plant life or health. In pursuance of this, each Party retains all authority to interpret its laws, regulations and administrative provisions.
2. For purposes of this Chapter, the competent authorities are:
(a) in the case of Costa Rica:
Dirección de Aplicación de Acuerdos Comerciales Internacionales ("DAACI") Ministerio de Comercio Exterior (Directorate for the Application of International Trade Agreements, Ministry of Foreign Trade) Address: 1st and 3rd Avenue, 40th Street, Paseo Colón, San José. Tel: (506) 22 99 47 00 Fax: (506) 22 56 84 89 P.O. Box: 297-1007 Centro Colón E-mail: daaci@comex.go.cr Web: www.comex.go.cr
Dirección General de Salud Animal Servicio Nacional de Salud Animal ("SENASA") Ministerio de Agricultura y Ganadería (Directorate-General of Animal Heath, National Service of Animal Health, Ministry of Agriculture and Livestock) Address: Campus Universidad Nacional, Lagunilla, Heredia. Tel: (506) 22 62 02 21 Fax: (506) 22 62 02 21 P.O. Box: 3-3006 CENADA, Heredia E-mail: infoepidemiologica@senasa.go.cr Web: www.senasa.go.cr
Dirección Ejecutiva Servicio Fitosanitario del Estado ("SFE") Ministerio de Agricultura y Ganadería (Executive Directorate, State Phytosanitary Service, Ministry of Agriculture and Livestock) Address: Campus Universidad Nacional, Lagunilla, Heredia. Tel: (506) 22 60 61 90 Fax: (506) 22 60 83 01 P.O. Box: 70-3006 Barreal de Heredia E-mail: direccion@sfe.go.cr / centroinfo@sfe.go.cr Web: www.sfe.go.cr
Dirección de Regulación de la Salud Ministerio de Salud (Directorate of Health Regulation, Ministry of Health) Address: 6th and 8th Avenue, 16th Street, San José. Tel: (506) 22 58 67 65 Fax: (506) 22 55 45 12 P.O. Box: 10123-1000 San José E-mail: infosalud@netsalud.sa.cr Web: www.ministeriodesalud.sa.cr
(b) in the case of Singapore:
Agri-Food and Veterinary Authority of Singapore Address: 5 Maxwell Road # 04-00, Tower Block MND Complex Singapore 069110, Republic of Singapore Tel: (65) 6222 1211 Fax: (65) 6220 6068 E-mail: AVA_email@ava.gov.sg Web: www.ava.gov.sg or their successors.
3. For purposes of Article 5.7 (SPS Coordinators), the SPS Coordinators shall be:
(a) in the case of Costa Rica:
Dirección de Aplicación de Acuerdos Comerciales Internacionales ("DAACI") Ministerio de Comercio Exterior (Directorate for the Application of International Trade Agreements, Ministry of Foreign Trade) Address: 1st and 3rd Avenue, 40th Street, Paseo Colón, San José. Tel: (506) 22 99 47 00 Fax: (506) 22 56 84 89 P.O. Box: 297-1007 Centro Colón E-mail: daaci@comex.go.cr Web: www.comex.go.cr
(b) in the case of Singapore:
Ministry of Trade and Industry Trade Division Address: 100 High Street # 09-01, The Treasury Singapore 179434, Republic of Singapore Tel: (65) 6225 9911 Fax: (65) 6332 7260 E-mail: mti_fta@mti.gov.sg Web: www.mti.gov.sg or their successors or designated contact points.
Chapter 6. Technical Barriers to Trade
Article 6.1. Objective
1. The objective of this Chapter is to provide a framework to address the impact of technical barriers to trade (TBT) between the Parties.
2. The Parties agree to ensure that technical regulations, standards and conformity assessment procedures do not constitute barriers to trade within the terms of the TBT Agreement.
3. With a view to facilitating trade and increasing bilateral trade, the Parties shall seek to improve their cooperation and enhance mutual understanding of their respective systems.
Article 6.2. Scope and Coverage
1. The Parties reaffirm their existing rights and obligations under the TBT Agreement.
2. This Chapter is applicable to all standards, technical regulations and conformity assessment procedures, that may, directly or indirectly, affect trade in goods and/or assessments of manufacturers or manufacturing processes of goods traded between the Parties (6).
3. This Chapter does not apply to sanitary and phytosanitary measures as defined in the SPS Agreement which are covered by Chapter 5 (Sanitary and Phytosanitary Measures) of this Agreement, or purchasing specifications prepared by governmental bodies for production or consumption requirements of governmental bodies which will be regulated by Chapter 8 (Government Procurement).
Article 6.3. Definitions
For purposes of this Chapter, standards, technical regulations and conformity assessment procedures shall have the meanings assigned to those terms in Annex 1 of the TBT Agreement. 6 The application of this Chapter to all goods traded between the Parties is regardless of origin.
Article 6.4. Technical Regulations
1. In consistency with Article 2.4 of the TBT Agreement, each Party shall use, to the maximum extent possible, relevant international standards as a basis for its technical regulations.
2. Each Party shall give positive consideration to accept as equivalent, technical regulations of the other Party, even if these regulations differ from its own, provided that it is satisfied that these regulations adequately fulfill the objectives of its own regulations.