The exporter to whom a Certificate of Origin has been issued in the exporting Party referred to in Rule 1, shall notify in writing to the Competent Authority of the exporting Party without delay, when such exporter knows that such good does not qualify as an originating good of the exporting Party.
Rule 15: Obligations of the Importer
Except as otherwise provided for in this Chapter, the Customs Authority of the importing Party shall require an importer who claims preferential tariff treatment for goods imported from the other Party to:
(i) make a customs declaration, based on a valid Certificate of Origin, that the goods qualify as an originating good of the exporting Party;
(ii) have the Certificate of Origin in its possession at the time the declaration is made;
(iii) provide the Certificate of Origin on request of the Customs Authority of the importing Party; and
(iv) promptly notify the Customs Authority and pay any duties owing if the importer has a reason to believe that the Certificate of Origin on which a declaration was based contains information that is not correct.
Rule 16: Customs Duty Refund
(i) for Chile, if an originating good was imported into the territory of that Party but no claim for preferential tariff treatment was made at the time of importation, the importer of the good may, no later than one year after the date on which the good was imported, apply for a refund of any excess duties paid to the Customs Authority of the importing Party as the result of the good not having been accorded preferential tariff treatment, on presentation of:
(a) awritten declaration that the good qualified as originating at the time of importation;
(b) a Certificate of Origin; and
(c) such other documents relating to the importation of the good as the importing Party may require.
(ii) for Indonesia, the importer may apply for refund of any excess duty paid through a review and appeal mechanism relating to a customs decision on preferential tariff treatment in accordance with its laws and regulations.
Rule 17: Third Country Invoicing
(i) The Customs Authority of the importing Party shall accept a Certificate of Origin in cases where the invoice is issued by a company located in a third country provided that the goods meet the requirements of this Chapter.
(ii) The exporter shall indicate "THIRD COUNTRY INVOICING" in the Certificate of Origin.
Rule 18: Acceptance of Copies
Each Party shall, where appropriate, endeavour to accept paper or electronic copies of the Certificate of Origin and the supporting documentation required for imported goods.
Rule 19: Goods in Transit or Storage
Preferential tariff treatment shall be accorded for the originating goods, which are in transit from the exporting Party to the importing Party or in temporary storage in bonded areas in the importing Party on the date of entry into force of this Agreement, subject to the submission of a Certificate of Origin issued retroactively to the Customs Authority of the importing Party in accordance with its laws and regulations.
Chapter 5. CUSTOMS PROCEDURES AND COOPERATION
Article 5.1. Definitions
For the purposes of this Chapter:
customs administration means the authority that according to the legislation of each Party is responsible for the administration and enforcement of their customs laws:
(a) for Indonesia, the Directorate General of Customs and Excise, Ministry of Finance or its successor notified in writing to Chile; and
(b) for Chile, the National Customs Service or its successor notified in writing to Indonesia.
customs law means such laws and regulations administered, applied and enforced by the customs administration of each Party concerning the importation, exportation, and transit/transshipment of goods, as they relate to customs duties, charges and other taxes, or to prohibitions, restrictions and other similar controls with respect to the movement of controlled items across the boundary of the customs territory of each Party; and
customs procedures mean the treatment applied by the customs
administration of each Party to goods and means of transport, which are subject to customs control.
Article 5.2. Objectives
The objectives of this Chapter are to:
(a) simplify and harmonise, to the extent possible, customs procedures of the Parties,
(b) ensure consistency, predictability and transparency in the application of customs law of the Parties;
(c) ensure efficient and expeditious release and clearance of goods; and
(d) facilitate trade between the Parties.
Article 5.3. Scope and Coverage
This Chapter shall apply, in accordance with the respective laws and regulations of the Parties, to customs procedures applied to goods traded between them.
Article 5.4. Customs Valuation
The Parties shall determine the customs value of goods traded between them in accordance with the provisions of Article VII of GATT 1994 and the Customs Valuation Agreement.
Article 5.5. Customs Procedures
1. The customs administration of a Party shall ensure that their customs procedures and practices are consistent, predictable, and transparent, and facilitate trade, including the expeditious release and clearance of goods.
2. Customs procedures of each Party shall endeavour, where possible and to the extent permitted by its respective customs law, conform to the standards and recommended practices established by the World Customs Organization (WCO) and under other relevant international agreements to which the Parties are party.
3. The customs administration of each Party shall, to the extent possible, review its customs procedures and practices with a view to their simplification to facilitate trade.
Article 5.6. Release of Goods
1. In order to facilitate trade between the Parties, each Party shall adopt or maintain simplified customs procedures for the efficient release of goods.
2. Pursuant to paragraph 1, each Party shall adopt or maintain procedures that:
(a) provide for the release of goods within a period no greater than that required to ensure compliance with its customs law;
(b) provide for customs information to be submitted and processed manually or electronically before the goods arrive in order for them to be released on their arrival; and
(c) allow goods to be released at the point of arrival, without temporary transfer to warehouses or other facilities, provided all requirements are met.
Article 5.7. Risk Management
In order to facilitate the release of goods traded between the Parties, the customs administration of each Party shall adopt or maintain a risk management method, that considers a system for assessment and targeting that enables its customs administration to focus its inspection activities on high- risk consignments and that simplifies the clearance and movement of low-risk consignments.
Article 5.8. Advance Rulings
1. The customs administration of the Parties shall issue, prior to the importation of a good into their territories, a written advance ruling, upon a written request of an importer in its territory, in relation to:
(a) tariff classification; and
(b) the application of valuation criteria for a particular case, in accordance with the application of the provisions set forth in the Customs Valuation Agreement.
2. For the issuance of the advance ruling, each Party shall apply its respective laws and procedures.
Article 5.9. Review and Appeal
Each Party shall ensure that with respect to its determinations on customs matters and in accordance with the laws and regulations of the Party, importers in its territory have access to:
(a) administrative review within the customs administration that issued the decision, subject to review or, where applicable, the higher authority supervising the administration; and
(b) judicial review of the determination or decision taken at the final level of administrative review.
Article 5.10. Publication and Enquiry Points
For the purposes of this Chapter, in accordance with the respective laws and regulations of the Parties, the customs administration of each Party shall:
(a) publish on the internet or in print, its customs laws, regulations and general administrative procedures applied or enforced by its customs administration, not including law enforcement procedures and internal operational guidelines; and
(b) designate one or more enquiry points to address enquiries from interested persons of each Party concerning customs matters, and shall make available on the internet or in print, information on the procedures for making such enquiries.
Article 5.11. Confidentiality
1. If a Party that provides information to the other Party, in accordance with this Chapter, designates the information as confidential, the other Party shall keep the information confidential. The Party providing the information may require the other Party to furnish written assurance that the information shall be held in confidence, shall only be used for the purpose the other Party specified in its request for information, and shall not be disclosed without the specific permission of the Party that provided the information or the person that provided the information to that Party.
2. A Party may decline to provide information that the other Party has requested if that Party has failed to act in conformity with paragraph 1, and when the disclosure is contrary to its laws and regulations.
3. Each Party shall adopt or maintain procedures for protecting, from unauthorised disclosure, confidential information submitted in accordance with the administration of the customs law of that Party, including information of which the disclosure could prejudice the competitive position of the person providing the information.
Article 5.12. Customs Cooperation
1. The customs administration of each Party may, as deemed appropriate, assist the customs administration of the other Party, in relation to the implementation and operation of this Chapter.
2. The customs administration of each Party, to the extent possible, when new or amended law or regulation, or procedures governing the movement of goods are implemented, shall provide information to the customs administration of the other Party.
3. The customs administrations of the Parties shall encourage consultations with each other regarding significant customs issues that affect trade between the Parties.
4. The customs administration of the Parties shall endeavour to establish or maintain channels of communication for customs cooperation, including the establishment of contact points in order to facilitate the rapid and secure exchange of information and improve coordination on importation issues.
Chapter 6. SANITARY AND PHYTOSANITARY MEASURES
Article 6.1. Definitions
For the purposes of this Chapter:
the definitions in Annex A to the SPS Agreement are incorporated into this Chapter and shall form part of this Chapter, mutatis mutandis; and
the relevant definitions developed by the World Organization for Animal Health (OIE), International Plant Protection Convention (IPPC), and Codex Alimentarius Commission (Codex), shall apply in the implementation of this Chapter.
Article 6.2. Objectives
The objectives of this Chapter are to:
(a) facilitate trade among the Parties while protecting human, animal or plant life or health in the territory of the Parties;
(b) uphold and enhance implementation of the SPS Agreement and applicable international standards, guidelines and recommendations developed by relevant international organisations (OIE, IPPC and Codex);
(c) provide means to improve communication, cooperation and resolution of sanitary and phytosanitary issues between the Parties; and
(d) increase mutual understanding of the regulations and procedures of each Party relating to the implementation of sanitary and phytosanitary measures.
Article 6.3. Scope
This Chapter shall apply to all sanitary and phytosanitary measures of a Party that may, directly or indirectly, affect trade among the Parties.
Article 6.4. General Provisions
1. The Parties reaffirm the rights and obligations relating to sanitary and phytosanitary measures under the SPS Agreement.
2. The Parties agree to apply the principles of the SPS Agreement in the development, application or recognition of any sanitary and phytosanitary measures, while protecting human, animal or plant life or health in the territory of each Party.
Article 6.5. Transparency and Exchange of Information
1. The Parties confirm their commitment to implementing the transparency provisions set out in Article 7, Annex B to the SPS Agreement and relevant Decisions and Recommendations on transparency adopted by the WTO Committee on Sanitary and Phytosanitary Measures (WTO Committee on SPS).
2. The Parties shall inform in a timely and appropriate manner in writing through the contact points, established in Article 6.11, of any significant food safety issue or change in the sanitary and phytosanitary status in their territory that is relevant to existing trade among them.
Article 6.6. Adaptation to Regional Conditions
The Parties recognise that the principle of adaptation to regional conditions, as set out in Article 6 of the SPS Agreement, is an important mean to facilitate trade. To that end, each Party shall take into account, as appropriate, standards, guidelines and recommendations, developed by the WTO Committee on SPS and relevant international standard-setting bodies, consistent with Annex A to the SPS Agreement.
Article 6.7. Equivalence
1. The Parties recognise that the application of equivalence, as set out in Article 4 of the SPS Agreement, is an important tool for facilitating trade for the mutual benefit of the Parties.
2. Upon request, the Parties may enter into technical consultations with the aim of achieving bilateral recognition of the equivalence of specified sanitary and phytosanitary measures in line with the principle of equivalence in the SPS Agreement, standards, guidelines, and recommendations, developed by the WTO Committee on SPS and relevant international standard-setting bodies, consistent with Annex A to the SPS Agreement.
Article 6.8. Risk Analysis
1. The Parties recognise the principle of risk assessment, as set out in Article 5 of the SPS Agreement. Sanitary and phytosanitary measures adopted by the Parties shall be based on assessment of risk for human, animal health and infectious diseases of animals and pests of plants in accordance with the risk assessment techniques adopted by the relevant international standard- setting bodies.
2. The initiation of a risk assessment process should not interrupt the existing bilateral trade of that product, except in the case of a justified emergency situation.
3. When conducting its risk assessment, each Party shall take into account Decisions and Recommendations adopted by the WTO Committee on SPS and international standards, guidelines and recommendations from Codex, OIE and IPPC.
4. The Parties shall consider tisk management options that are not more trade restrictive than required to achieve the objectives of this Chapter, as set out in Article 6.2.
Article 6.9. Consultations
1; On request of a Party for consultations on any matter arising under this Chapter, the Parties shall agree to enter into consultations by notifying the contact points established in Article 6.11.
2. Consultations shall be carried out by the Parties, under the Sub- Committee on Sanitary and Pythosanitary as referred to in Article 6.10, within 30 days of the receipt of a request, unless agreed otherwise. Such consultations may be conducted via teleconference, video conference, or any other means mutually agreed upon by the Parties.
3. If such consultations failed to resolve the matter between the Parties, then the interested Party could initiate the dispute settlement procedure contained in Chapter 12 (Dispute Settlement). For greater certainty, consultations under this Article should not replace those provided in Article 12.5 (Consultations).
Article 6.10. Sub-Committee on Sanitary and Phytosanitary Measures
1. The Parties hereby establish a Sub-Committee on Sanitary and Phytosanitary Measures (Sub-Committee on SPS) with the objective of ensuring the implementation of this Chapter.
2. For the purposes of the effective implementation and operation of this Chapter, the Sub-Committee on SPS shall be a forum for:
(a) enhancing mutual understanding of the sanitary and phytosanitary measures of each Party and the regulatory processes that relate to those measures;
(b) discussing on matters related to the development or application of sanitary and phytosanitary measures that may, directly or indirectly, affect human, animal and plant health and trade between the Parties;
(c) addressing any bilateral issues arising from the implementation of sanitary and phytosanitary measures between the Parties;
(d) reviewing progress on addressing sanitary and phytosanitary measures that may arise between the Competent Authorities listed in Annex 6-A, from the implementation of sanitary and phytosanitary measures between the Parties;
(e) coordinating technical cooperation programs: on sanitary and phytosanitary measures;
(f) consulting on issues, relating to the meetings of the WTO Committee on SPS, Codex, OIE and IPPC;
(g) improving bilateral understanding related to specific implementation issues concerning the SPS Agreement;
(h) enhancing cooperation between the agencies of the Parties responsible for sanitary and phytosanitary measures; and
(i) reporting to the Committee on Trade in Goods on the implementation of this Chapter.
3. The Sub-Committee on SPS shall comprise and be co-chaired by representatives of the Competent Authorities of each Party responsible for sanitary and phytosanitary measures, as established in Article 6.11.
4. Unless agreed otherwise by the Parties, the Sub-Committee on SPS shall meet annually in person, via teleconference, video conference, or through any other means as mutually determined by the Parties.
5. The Sub-Committee on SPS shall establish its own rules of procedure during its first meeting to guide its operation. These rules may be revised or further developed at any time.
6. The Sub-Committee on SPS may agree to establish ad hoc technical working groups in accordance with its rules of procedure.
Article 6.11. Competent Authorities and Contact Points
1. The Competent Authorities responsible for the implementation of the measures referred to in this Chapter are listed in Annex 6-A. The contact points that have the responsibility relating to communications between the Parties are set out in Annex 6-B.
2. The Parties shall inform each other of any significant changes in the structure, organisation and division of the competency of its Competent Authorities or contact points.
Article 6.12. Cooperation
To facilitate the implementation of this Chapter, the Parties agree to explore opportunities for further cooperation, collaboration and information exchange on sanitary or phytosanitary measures of mutual interest.
Chapter 7. TECHNICAL BARRIERS TO TRADE
Article 7.1. Definitions
For the purposes of this Chapter, the terms and their definitions set out in Annex 1 to the TBT Agreement shall apply, mutatis mutandis.
Article 7.2. Objectives
The objectives of this Chapter are to increase and facilitate trade by preventing and eliminating unnecessary obstacles to trade and enhancing bilateral cooperation in accordance with the rights and obligations of the Parties with respect to the TBT Agreement.
Article 7.3. Scope
This Chapter applies to all standards, technical regulations, and conformity assessment procedures, as defined in the TBT Agreement that may, directly or indirectly, affect trade in goods between the Parties. This Chapter shall not apply to:
(a) purchasing specifications prepared by governmental bodies for production or consumption requirements of governmental bodies; and
(b) sanitary and phytosanitary measures, which are covered by Chapter 6 (Sanitary and Phytosanitary Measures).
Article 7.4. Trade Facilitation
In order to facilitate trade, the Parties shall work cooperatively in the fields of standards, technical regulations and conformity assessment procedures, in particular, to identify bilateral initiatives regarding standards, technical regulations and conformity assessment procedures that are appropriate for particular issues or sectors.
Article 7.5. Incorporation of the TBT Agreement
The Parties incorporate their existing rights and obligations with respect to each other under the TBT Agreement, mutatis mutandis.
Article 7.6. Standards
1. The Parties shall use international standards, guides and recommendations, or the relevant parts of them, to the extent provided in Articles 2 and 5 and Annex 3 to the TBT Agreement, as a basis for their technical regulations and related conformity assessment procedures where relevant international standards, guides and recommendations exist or their completion is imminent, except when they or their relevant parts are ineffective or inappropriate to fulfil the legitimate objectives.
2. In determining whether an international standard, guide or recommendation as mentioned in Articles 2 and 5 and Annex 3 to the TBT Agreement exist, each Party shall base its determination on the principles set out in relevant Decisions and Recommendations adopted by the WTO Committee on Technical Barriers to Trade since 1 January 1995.
Article 7.7. Technical Regulations
1. Each Party shall give positive consideration to accepting 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 fulfil the objectives of its own regulations.
2. A Party shall, on request of the other Party, explain the reasons why it has not accepted a technical regulation of the other Party as equivalent.
Article 7.8. Conformity Assessment Procedures
1. The Parties recognise that a broad range of mechanisms exist to facilitate the acceptance of the results of conformity assessment procedures, including:
(a) arrangements between conformity assessment bodies from the territory of each Party;
(b) agreements on mutual acceptance of the results of conformity assessment procedures with respect to specified regulations conducted by bodies located in the territory of the other Party;