4. The Parties or the SADC EPA States, as the case may be, shall promote and implement regional transit arrangements.
5. The Parties or the SADC EPA States, as the case may be, shall use international standards and instruments relevant to transit.
6. The Parties or the SADC EPA States, as the case may be, shall promote coordination between all concerned agencies, both internally and across borders.
Article 41. Fees and Charges
1. Fees and charges shall be reasonable and shall not be more than the cost of the service provided in relation to any specific transaction. They shall not be calculated on an ad valorem basis.
2. Fees and charges shall not be imposed for consular services.
Article 42.
Relations with the business community
The Parties agree:
1. to ensure that all customs legislation, procedures and fees and charges are made publicly available, as well as whenever possible the necessary explanations, and as far as possible through electronic means;
2. on the need, as far as possible, for timely and regular consultation with trade representatives on legislative proposals and procedures related to customs and customs related trade issues;
3. that, where appropriate, new or amended legislation and procedures and their entry into force are introduced in a way to allow traders to become well prepared for complying with them. The Parties shall make publicly available relevant notices of an administrative nature, including agency requirements and entry procedures, hours of operation and operating procedures for customs offices at ports and border crossing points, and points of contact for information enquiries; and
4. to foster cooperation between operators and relevant administrations through the use of instruments such as Memoranda of Understanding.
Article 43. Customs Valuation
1. The Agreement on the implementation of Article VII of GATT 1994 shall govern customs valuation rules applied to trade covered by this Agreement.
2. The Parties shall cooperate with a view to reaching a common approach to issues relating to customs valuation.
Article 44. Harmonisation of Customs Standards at Regional Level
The Parties shall promote harmonisation of customs legislation, procedures, standards and requirements. The content and pace of this process shall be determined by each Party.
Article 45. Support to Sadc Epa Customs Administrations
1. The Parties recognise the importance of supporting SADC EPA States' customs administrations for the implementation of this Chapter, in line with the provisions of Part I, Chapter 2, of this Agreement.
2. The priority areas for support are:
(a) the application of modern customs techniques, including:
(i) risk management;
(ii) post release controls; and
(iii) automation of customs procedures;
(b) control of customs valuation, classification and rules of origin, including in view of meeting the requirement of Article 39(1)(j) of this Agreement;
(c) the facilitation of transit and the enhancement of the efficiency of regional transit arrangements;
(d) transparency issues relating to the publication and administration of all trade regulations, as well as relevant fees and formalities;
(e) the introduction and implementation of procedures and practices which reflect international instruments and standards applicable in the field of customs and trade, inter alia the revised Kyoto Convention on the Simplification and Harmonisation of Customs Procedures and the WCO Framework of Standards to Secure and Facilitate Global Trade.
3. The Parties recognise the need for specific needs assessment studies taking into account the situation in each country, using WTO and WCO needs assessment instruments or any other mutually agreed instrument.
Article 46. Transitional Arrangements
1. The Parties recognise the need for transitional arrangements to ensure the smooth implementation of the provisions of this Chapter.
2. In view of the need to enhance their capacity in the area of customs and trade facilitation and without prejudice to their WTO commitments, SADC EPA States shall benefit from a transitional period of five years to meet those requirements referred to in Articles 39, 40, 41 and 42 of this Chapter where the need for capacity building exists at the time of entry into force of this Agreement.
3. The Joint Council may accord a two-year extension of this transitional period in case attainment of the necessary capacity has not yet been achieved.
Article 47. Special Committee on Customs and Trade Facilitation
1. The Parties hereby establish a Special Committee on Customs and Trade Facilitation, composed of representatives of the Parties.
2. The functions of the Special Committee on Customs and Trade Facilitation shall, inter alia,
Be the following:
(a) monitoring the implementation and administration of this Chapter and of the Protocol on Rules of Origin;
(b) providing a forum to consult and discuss all issues concerning customs, including rules of origin, general customs procedures, customs valuation, tariff classification, transit and mutual administrative assistance in customs matters;
(c) enhancing cooperation on the development, application and enforcement of rules of origin and related customs procedures, general customs procedures and mutual administrative assistance in customs matters;
(d) enhancing cooperation on capacity building and technical assistance;
(e) follow-up on the implementation of Article 44 of this Agreement; and
(f) any other issues agreed by the Parties in respect of this Chapter.
3. The Special Committee on Customs and Trade Facilitation shall meet on a date and with an
Agenda agreed in advance by the Parties.
4. The Special Committee on Customs and Trade Facilitation shall be chaired alternatively by either Party.
5. The Special Committee on Customs and Trade Facilitation shall report to the Trade and Development Committee.
Chapter 8. Technical Barriers to Trade
Article 48. Multilateral Obligations
1. The Parties confirm their commitment to the rights and obligations provided for in the WTO Agreement on Technical Barriers to Trade (hereinafter referred to as "the TBT Agreement").
2. These rights and obligations shall underlie the activities of the Parties under this Chapter.
Article 49. Objectives
1. The Parties agree to cooperate in order to facilitate and increase trade in goods between them, by identifying, preventing and eliminating unnecessary barriers to trade within the terms of the TBT Agreement.
2. The Parties undertake to cooperate in strengthening regional, and specifically SADC EPA States' integration and cooperation on matters concerning technical barriers to trade.
3. The Parties undertake to establish and enhance SADC EPA States' technical capacity on matters concerning technical barriers to trade.
Article 50. Scope and Definitions
1. The provisions of this Chapter shall apply to technical regulations, standards and conformity assessment procedures as defined in the TBT Agreement in so far as they affect trade covered by this Agreement.
2. For the purposes of this Chapter, the definitions used by the TBT Agreement shall apply.
Article 51. Collaboration and Regional Integration
The Parties agree that collaboration between national and regional authorities dealing with TBT matters, in both the public and private sector, is important to facilitate trade in the region and between the Parties, as well as for the overall process of regional integration and undertake to cooperate to this end.
Article 52. Transparency
The Parties reaffirm the principle of transparency in the application of technical regulations and standards in accordance with the TBT Agreement.
The Parties recognise the importance of effective mechanisms for consultation, notification and exchange of information with respect to technical regulations and standards in accordance with the TBT Agreement.
Article 53. Measures for Identifying, Preventing and Eliminating Technical Barriers to Trade
The Parties agree to identify and implement mechanisms among those supported by the TBT
Agreement that are the most appropriate for particular priority issues or sectors. Such mechanisms
May include:
1. intensifying their collaboration, with a view to facilitating access to their respective markets, by increasing the mutual knowledge and understanding of their respective systems in the field of technical regulations, standards, metrology, accreditation and conformity assessment;
2. exchanging information, identifying and implementing appropriate mechanisms for particular issues or sectors, i.
e. alignment with international standards, reliance on the supplier's declaration of conformity, the use of internationally recognised accreditation to qualify conformity assessment bodies and the use of international product testing and certification schemes;
3. identifying and organising sector-specific interventions on technical regulations and conformity assessment with a view to facilitating understanding of and access to their respective markets. These sectors will be chosen taking into account key areas of trade, including priority products;
4. developing cooperation activities and measures with a view to supporting the implementation of the rights and obligations under the TBT Agreement;
5. developing common views and approaches on technical regulatory practices, including transparency, consultation, necessity and proportionality, the use of international standards, conformity assessment requirements, the use of impact and risk assessment, enforcement and market surveillance, where appropriate;
6. promoting harmonisation, whenever possible and in areas of mutual interest, towards international standards, and the use of such standards in the development of technical regulations and conformity assessment procedures;
7. undertaking to consider, in due course, negotiating mutual recognition agreements in sectors of mutual economic interest;
8. promoting collaboration between the Parties' and SADC EPA States', as the case may be, organisations responsible for technical regulations, metrology, standardisation, testing, certification, inspection and accreditation; and
9. promoting the participation by the SADC EPA States in international standards-setting bodies.
Article 54. Implementation
The Parties agree that the Trade and Development Committee shall be competent under this Chapter to:
1. monitor and review its implementation;
2. provide coordination and consultation on TBT issues;
3. identify and review priority sectors and products and the resulting priority areas for cooperation; and
4. make recommendations for modifications to it if necessary and appropriate.
Article 55. Capacity Building and Technical Assistance Concerning Technical Barriers to Trade
1. The Parties recognise the importance of cooperating in the areas of technical regulations, standards, metrology, accreditation and conformity assessment in order to achieve the objectives of this Chapter;
2. The Parties agree that the following are priority areas for cooperation:
(a) the establishment of appropriate arrangements for the sharing of expertise, including appropriate training intended to ensure adequate and enduring technical competence of the relevant standardisation and conformity assessment bodies of the SADC EPA States and mutual understanding between such bodies in the territories of the Parties;
(b) the development of capacities of the SADC EPA States in the fields of technical regulations, metrology, standards, accreditation and conformity assessment including through the upgrading or setting up of laboratories and other equipment. In this regard, the Parties acknowledge the importance of strengthening regional cooperation and the need to take into account priority products and sectors;
(c) the development and adoption, within the SADC EPA States, of harmonised technical regulations, standards, metrology, accreditation and conformity assessment procedures based on relevant international standards;
(d) the support for the participation of SADC EPA States in international standardisation, accreditation and metrology activities; and
(e) the development of TBT enquiry and notification points within the SADC EPA States.
Chapter 9. Sanitary and Phytosanitary Measures
Article 56. Multilateral Obligations
1. The Parties reaffirm the principles and objectives of the WTO SPS Agreement (hereinafter referred to as "the SPS Agreement"), the International Plant Protection Convention (IPPC), the Codex Alimentarius Commission and the World Organisation for Animal Health (OIE).
2. These principles and objectives shall underlie the activities of the Parties and the SADC EPA States, as the case may be, under this Chapter.
Article 57. Objectives
1. The Parties agree to facilitate trade and investment within the SADC EPA States and between the Parties while ensuring that measures adopted shall apply only to the extent necessary to protect human, animal or plant health or life in accordance with the provisions of the SPS Agreement.
2. The Parties undertake to cooperate in strengthening regional integration and specifically SADC EPA States' cooperation on matters concerning sanitary and phytosanitary measures (hereinafter referred to as "SPS measures") and to address problems arising from SPS measures on agreed priority sectors and products (1) whilst giving due consideration to regional integration.
3. As a result thereof, the Parties agree to promote bi-regional collaboration aiming at recognition of appropriate levels of protection in SPS measures.
4. The Parties agree to establish and enhance SADC EPA States' technical capacity to implement and monitor SPS measures, including promoting greater use of international standards and other matters concerning SPS.
Article 58. Scope and Definitions
For the purposes of this Chapter, definitions used in the SPS Agreement and international standard-setting bodies, namely the Codex Alimentarius Commission, the International Plant Protection Convention (IPPC) and the World Organisation for Animal Health (OIE) shall apply.
The priority products and sector list annexed to this Chapter.
Article 59. Competent Authorities
1. The respective SPS authorities shall be the competent authorities in the SADC EPA States and the EC Party for the implementation of the measures referred to in this Chapter.
2. The Parties or the SADC EPA States, as the case may be, shall, in accordance with this Agreement, inform each other of their respective competent SPS authorities and any changes thereto.
Article 60. Transparency
1. The Parties reaffirm the principle of transparency in the application of SPS measures, in accordance with the SPS Agreement.
2. The Parties recognise the importance of effective mechanisms for consultation, notification and exchange of information with respect to SPS measures in accordance with the SPS Agreement.
3. The importing Party shall inform the exporting Party of any changes in its sanitary and phytosanitary import requirements that may affect trade falling under the scope of this Chapter. The Parties undertake to establish mechanisms for the exchange of such information where appropriate.
4. The Parties will apply the principle of zoning or compartmentalisation when defining import conditions, taking into account international standards. Zones or compartments of defined sanitary or phytosanitary status may also be identified and proposed jointly by the Parties, on a case by case basis, wherever possible, in order to avoid disruption to trade.
Article 61. Information Exchange
1. The Parties agree to establish an early-warning system to ensure that the SADC EPA States are informed in advance of new EC SPS measures that may affect SADC EPA exports to the EU. This system shall be based on existing mechanisms where appropriate.
2. The Parties or the SADC EPA States, as the case may be, agree to collaborate in the further development of the epidemiological surveillance network on animal disease and in the domain of plant health. The Parties will exchange information on the occurrence of pests of known and immediate danger to the other Party.
Article 62. Implementation
The Parties agree that the Trade and Development Committee shall be competent under this Chapter to:
1. monitor and review its implementation;
2. advise and make recommendations for the implementation aimed at achieving its objectives;
3. provide a forum for discussion and exchange of information as well as issues of cooperation;
4. make recommendations for modifications to it if necessary and appropriate;
5. review the list of priority sectors and products and the resulting priority areas for cooperation;
6. enhance cooperation on the development, application and enforcement of SPS measures; and
7. any other relevant matters relating thereto.
Article 63. Consultations
If either Party or an SADC EPA State, as the case may be, considers that another Party has taken measures which are likely to affect, or have affected, access to its market, appropriate consultations will be held with a view to avoiding undue delays and finding an appropriate solution in conformity with the WTO SPS Agreement. In this regard, the Parties shall exchange names and addresses of contact points with sanitary and phytosanitary expertise in order to facilitate communication and the exchange of information.
Article 64. Cooperation, Capacity Building and Technical Assistance on Sanitary and Phytosanitary Measures
1. The Parties agree to promote cooperation between SADC EPA States' SPS institutions and equivalent EC Party institutions.
2. The Parties agree to cooperate in facilitating regional harmonisation of measures and the development of appropriate regulatory frameworks and policies within and between the SADC EPA States, thereby enhancing intra-regional trade and investment.
3. The Parties agree that the following are priority areas for cooperation:
(a) the building of technical capacity in the public and private sectors of SADC EPA States to enable sanitary and phytosanitary control, including training and information events for inspection, certification, supervision and control;
(b) the building of capacity in SADC EPA States to maintain and expand their market access opportunities;
(c) the building of capacity to ensure that measures adopted do not become unnecessary barriers to trade, while recognising the Parties' rights to set their own appropriate levels of protection;
(d) the enhancement of technical capacity for the implementation and monitoring of SPS measures, including promoting greater use of international standards;
(e) the promotion of cooperation on the implementation of the SPS Agreement, particularly strengthening SADC EPA States' notification and enquiry points as well as other matters concerning relevant international standards setting bodies;
(f) the development of capacities for risk analysis, harmonisation, compliance, testing, certification, residue monitoring, traceability and accreditation including through the upgrading or setting up of laboratories and other equipment to help SADC EPA States comply with international standards. In this regard, the Parties acknowledge the importance of strengthening regional cooperation and the need to take into account the priority products and sectors identified in accordance with this Chapter; and
(g) the support for the participation of SADC EPA States in relevant international standards setting bodies.
Chapter 10.
Article 65. Current Payments
1 Subject to the provisions of Article 66 of this Agreement, the SADC EPA States and the EC Party undertake to impose no restrictions and to allow all payments for current transactions between residents of the EC Party and of the SADC EPA States to be made in freely convertible currency.
2. SADC EPA States may take the necessary measures to ensure that the provisions of paragraph 1 of this Article, which liberalise current payments, are not used by its residents to make unauthorised capital outflows.
Article 66. Safeguard Measures
1. Where, in exceptional circumstances, payments and capital movements between the Parties cause or threaten to cause serious difficulties for the operation of monetary policy or exchange rate policy in one or more SADC EPA States or one or more Member States of the European Union, safeguard measures with regard to capital movements that are strictly necessary may be taken by the EC Party or the concerned SADC EPA State for a period not exceeding six months.
2. The Joint Council shall be informed forthwith of the adoption of any safeguard measure and, as soon as possible, of a time schedule for its removal.
Chapter 11. Ongoing Negotiations for a Full Epa
Article 67. Second Stage of Negotiations
The Parties agree to continue negotiations in 2008 to extend the scope of this Agreement. For the purpose of this Title, the SADC EPA States will be constituted of Botswana, Lesotho, Mozambique and Swaziland. The remaining SADC EPA States may join the process of negotiation on a similar basis. To this end, they will notify in writing the EC Party and the other SADC EPA States.
1. Trade in Services
(a) The Parties recognise the growing importance of trade in services for the development of their economies and reaffirm their respective rights and obligations under the General Agreement on Trade in Services (GATS).