(c) the importer claiming preferential tariff treatment has met the Declaration of Origin requirements specified in Article 15.
2. If the origin of the good is not in doubt, the discovery of minor transcription errors or discrepancies in documentation shall not by that sole fact invalidate the Declaration of Origin, if it does in fact correspond to the goods submitted.
3. For multiple goods declared under the same Declaration of Origin, a problem encountered with one of the goods listed shall not affect or delay the granting of preferential tariff treatment and customs clearance of the remaining goods listed in the Declaration of Origin.
4. The importing Party shall require that an importer promptly makes a corrected import declaration and pays any owed duties when the importer has reason to believe that the good does not meet the origin requirements.
5. Each Party shall provide that an importer may apply for preferential tariff treatment and a refund of any excess duties paid for a good if the importer did not make a claim for preferential tariff treatment at the time of importation, provided that:
(a) the good would have qualified for preferential tariff treatment when it was imported into the territory of the Party; and
(b) the application is made within two years of the date of importation or such longer period as the importing Party’s laws and regulations allow.
Article 19. Verification of Origin
1. When there is a reasonable doubt as to the origin of a good, the Customs Administration of an importing Party may verify the eligibility of a good for preferential tariff treatment under this Agreement by means of:
(a) written requests for information to the importer;
(b) written requests for information to the exporter or producer or an authorised representative of the exporter or producer;
(c) a verification visit to the premises of the exporter or producer in the territory of another Party (under Article 20); or
(d) any other procedures as mutually agreed by the relevant Parties.
2. A written request referred to in paragraph 1 shall include:
(a) the identity of the Customs Administration making the request;
(b) the reason for the request, including the specific issue the importing Party seeks to resolve with the verification;
(c) sufficient information to identify the good that is being verified; and
(d) a copy of relevant information submitted with the good, including the Declaration of Origin.
3. Subject to the availability of resources and to the extent allowed by its laws, regulations and policies, the exporting Party shall whenever possible cooperate in any action to verify eligibility and require that producers and exporters cooperate in any action to verify eligibility.
Article 20. Verification Visit
1. If all verification actions under Article 19.1 (a), (b) and (d) have been exhausted and have failed to resolve the concerns of the Customs Administration of the importing Party, a verification visit may be conducted.
2. Prior to conducting such a visit, the Customs Administration of the importing Party shall:
(a) make a written request to the exporter or producer to conduct a verification visit of their premises; and
(b) obtain the written consent of the exporter or producer whose premises are to be visited.
3. If an exporter or producer consents to a proposed verification visit, it shall provide its written consent within 30 days of the receipt of a request for a visit.
4. The written request referred to in paragraph 2(a) shall include:
(a) the identity of the Customs Administration issuing the request;
(b) the name of the exporter or producer of the good in the exporting Party to whom the request is addressed;
(c) the date the written request is made;
(d) the proposed date and place of the visit;
(e) the objective and scope of the proposed visit, including specific reference to the good that is the subject of the verification referred to in the Declaration of Origin; and
(f) the names and titles of the officials of the Customs Administration of the importing Party who will participate in the visit.
5. The Customs Administration of the importing Party shall notify the Customs Administration of the exporting Party when it requests a verification visit in accordance with this Article.
6. Officials of the Customs Administration of the exporting Party may participate in the verification visit as observers.
7. Nothing in this Article shall affect the rights of the Customs Administration of a Party to undertake verification or compliance activities within its territory in accordance with its laws and regulations.
Article 21. Time Limits for Decision on Origin
The Customs Administration of the importing Party shall complete any action to verify eligibility for preferential tariff treatment within 130 days of the commencement of such action or within 90 days of the conclusion of a verification visit, whichever is later, and make a decision and provide written advice as to whether the good is eligible for preferential tariff treatment to all relevant parties within the following 21 days.
Article 22. Denial of Preferential Tariff Treatment
1. An importing Party may deny a claim for preferential tariff treatment for a good if:
(a) the good does not meet the requirements of this Chapter;
(b) the importer, exporter or producer fails to comply with any of the relevant requirements of this Chapter; or
(c) a verification conducted in accordance with this Chapter has failed to determine that the good is originating.
2. In the event that preferential tariff treatment is denied, the Customs Administration of the importing Party shall provide full reasons for that decision in writing to the importer, on request.
3. The Customs Administration of the importing Party shall not reject a claim for preferential tariff treatment only for the reason that the invoice is issued in a non-party or by a third party.
Article 23. Right of Appeal
1. The importing Party shall grant the right of appeal in matters relating to the eligibility for preferential tariff treatment to producers, exporters or importers of goods traded or to be traded between the Parties, in accordance with its domestic laws, regulations and administrative practices.
2. If no right of appeal exists in a Party in matters relating to the eligibility for preferential tariff treatment to producers, exporters or importers of goods traded or to be traded between the Parties, those Parties will, subject to the availability of resources, endeavour to establish such rights of appeal.
Article 24. Confidentiality
Information communicated between the Parties for the purpose of verification of origin shall be used for that purpose only, and be otherwise subject to Article 6 of Chapter 15 (Final Provisions).
Article 25. Action Against Fraudulent Acts
When it is suspected that fraudulent acts in connection with the evidence of origin requirements have been committed, the Parties concerned shall cooperate in the exchange of information in accordance with the Parties’ respective laws and regulations.
Section C. Consultation and Review
Article 26. Meetings and Consultations on Rules of Origin
1. The Parties shall, through the Committee on Trade in Goods, Rules of Origin and Customs Procedures, consult regularly to ensure that this Chapter is administered in a manner consistent with the objectives and other provisions of this Chapter.
2. The government authorities of the Parties with a direct interest in any issues that arise concerning origin determination, classification of products, or other matters related to this Chapter shall consult with a view to resolving such issues and, where relevant, inform the importer of the outcome. The Joint Committee shall be notified of any significant outcomes from such consultations.
Article 27. Review of Origin Procedures
1. The Parties, through the Committee on Trade in Goods, Rules of Origin and Customs Procedures shall commence a review of this Chapter within three years of entry into force of this Agreement and submit a final report to the Joint Committee, including any recommendations, within four years of the date of entry into force of this Agreement.
2. The Committee on Trade in Goods, Rules of Origin and Customs Procedures shall review the implementation of the Declaration of Origin provisions within four years of the date of entry into force of this Agreement and make appropriate recommendations to the Joint Committee.
Article 28. Consultation and Review of Product Specific Rules
1. The Parties shall consult and cooperate to ensure that Article 2(c) is applied in an effective and uniform manner.
2. If a Party considers that the regional value content, change in tariff classification or specific process requirement set out in Annex 3-B is unduly restricting, distorting or disrupting of the Party’s trade of a good, then that Party may request in writing consultations with the other Parties to determine a suitable amendment to Annex 3-B. The Committee on Trade in Goods, Rules of Origin and Customs Procedures shall promptly consider the request. In the event that the Committee considers a change to one or more rules in Annex 3- B is warranted, it shall make recommendations to the Joint Committee, which shall decide whether to adopt the recommendations in accordance with Chapter 12 (Institutional Provisions).
Article 29. Technical Revisions of the Product Specific Rules Schedule
1. When a periodic amendment to the Harmonized System is published, the Parties shall prepare technical revisions to Annex 3-B to implement that version of the Harmonized System, and shall do so in accordance with this Article and the relevant procedures for technical revisions to Annex 3-B as adopted by the Joint Committee under Chapter 12 (Institutional Provisions).
2. The Parties shall ensure that technical revisions to Annex 3-B are carried out on a neutral basis and market access conditions are not impaired by the process or the outcomes of technical revisions to Annex 3-B.
3. The Parties, through the Joint Committee or a relevant subsidiary body established by it, shall endorse and promptly publish the technical revisions that are prepared pursuant to paragraph 1 and determine the date on which such revisions will come into effect.
Chapter 4. CUSTOMS PROCEDURES
Article 1. Definitions
For the purposes of this Chapter:
customs law means such laws and regulations administered and enforced by the Customs Administration of a Party concerning the importation, exportation, and transit/transhipment of goods, as they relate to customs duties, other taxes and other charges, or to prohibitions, restrictions and other similar controls with respect to the movement of controlled items across the boundary of the customs territory of a Party;
customs procedures means the treatment applied by the Customs Administration of a Party to goods, which are subject to that Party’s customs law;
Revised Kyoto Convention means the World Customs Organization’s International Convention on the Simplification and Harmonization of Customs Procedures done on 26 June 1999; and
WCO means the World Customs Organization.
Article 2. Objectives
1. The objectives of this Chapter are:
(a) to ensure predictability, consistency and transparency in the application of customs laws and regulations of the Parties;
(b) to promote efficient, economical administration of customs procedures and the expeditious clearance of goods;
(c) to simplify and harmonise customs procedures;
(d) to facilitate trade among the Parties and the security of such trade;
(e) to enhance the implementation of the requirements of Article VII of GATT 1994, the Agreement on Customs Valuation and other relevant WTO provisions relating to customs matters; and
(f) to promote cooperation between the Customs Administrations of the Parties.
2. Recognising the capacity constraints of the developing country Parties, and with a view to increasing their export opportunities, assistance in relation to this Chapter would be provided under Chapter 10 (Development and Economic Cooperation) and the associated Work Programme.
Article 3. Scope
This Chapter shall apply, in accordance with the Parties’ respective laws, regulations and policies, to customs procedures applied to goods traded between the Parties.
Article 4. Customs Procedures and Facilitation
1. Each Party shall ensure that its customs procedures and practices are predictable, consistent and transparent, and facilitate trade, including through the expeditious clearance of goods.
2. Customs procedures of each Party shall, if possible and to the extent permitted by its customs law, conform to international standards and recommended practices, in particular those of the WCO.
3. The Customs Administration of each Party shall periodically review its customs procedures with a view to their simplification and the facilitation of trade.
Article 5. Customs Cooperation
1. Subject to available resources and to the extent its domestic laws permit, the Customs Administration of each Party should assist the Customs Administration of another Party in relation to:
(a) the implementation and operation of this Chapter;
(b) the development and implementation of customs best practice and risk management techniques;
(c) the provision, if possible, of prior notice of changes to laws, regulations, and relevant procedures and guidelines that would affect the operation of this Chapter;
(d) the simplification and harmonisation of customs procedures;
(e) the advancement of technical skills and the use of technology;
(f) the application of the Harmonized System;
(g) the application of the disciplines on valuation for customs purposes under Article VII of GATT 1994 and the Agreement on Customs Valuation;
(h) the movement of goods among the Parties; and
(i) customs enforcement, including inter alia investigation and prevention of prima facie customs offences.
2. Subject to available resources, the Customs Administrations of the Parties may, as deemed appropriate, explore and undertake cooperation projects, including:
(a) capacity building programmes to enhance the capability of customs personnel of Parties that are Forum Island Countries; and
(b) technical assistance programmes to facilitate the activities of Parties that are Forum Island Countries in relation to customs matters.
Article 6. Use of Automated Systems
1. The Customs Administration of each Party should have its own system that supports electronic customs transactions.
2. In implementing initiatives under paragraph 1, the Customs Administration of each Party shall take into account relevant international standards and best practices, including those recommended by the WCO, taking into consideration its available infrastructure, capabilities and needs.
Article 7. Expedited Shipments
To the extent possible, the Customs Administration of each Party shall adopt procedures to expedite the clearance of shipments while maintaining appropriate control, including:
(a) to provide for pre-arrival processing of information related to shipments;
(b) to permit the submission of a single document covering all goods contained in a shipment, including through electronic means; and
(c) to minimise the documentation required for the release of shipments.
Article 8. Release of Goods
1. To the extent possible, each Party shall adopt or maintain procedures allowing, goods to be released:
(a) within 48 hours of arrival or as soon as practicable; and
(b) where possible, at the point of arrival, without temporary transfer to warehouses or other locations.
2. The provisions of paragraph 1 shall not prevent the Customs Administration of a Party from holding a shipment:
(a) for the purpose of determining, in accordance with risk management techniques, whether an examination of the goods is necessary;
(b) if permits need to be obtained for restricted goods; or
(c) in any situation if it has concerns in relation to the goods.
Article 9. Valuation
1. Subject to paragraph 2, each Party shall apply the provisions of Article VII of GATT 1994 and the Agreement on Customs Valuation, including the Interpretative Notes at Annex I to that Agreement, in determining the value for customs purposes of goods traded between the Parties.
2. If a Party is a developing country and not a WTO Member, it may apply the provisions of the Agreement on Customs Valuation to the extent of its capacity, provided that if a problem arises from the application of a specific valuation procedure, it engages in bilateral consultations on request of another Party with an interest in a good to which that valuation procedure has been applied, with a view to finding a mutually agreed solution. Such consultations shall be undertaken in accordance with Article 15.
3. A Party that is a developing country and not a WTO Member:
(a) shall to the extent of its capacity apply a system for the valuation of goods for customs purposes that:
(i) is fair, uniform and neutral;
(ii) precludes the use of arbitrary or fictitious customs values;
(iii) bases the valuation of goods for customs purposes, to the greatest extent possible, on the transaction value of the goods being valued;
(iv) bases customs value on simple and equitable criteria consistent with commercial practices;
(v) ensures that valuation procedures are of general application without distinction between sources of supply; and
(vi) does not use valuation procedures to combat dumping;
(b) shall to the greatest extent possible not determine customs value on the basis of:
(i) the selling price in the country of importation of goods produced in such country;
(ii) a system which provides for the acceptance for customs purposes of the higher of two alternative values;
(iii) the price of goods in the domestic market of the country of exportation;
(iv) the cost of production other than computed values which have been determined for identical or similar goods in accordance with the provisions of Article 6 and Article 8(2) of the Agreement on Customs Valuation;
(v) the price of goods for export to a country other than the country of importation;
(vi) minimum customs values; or
(vii) arbitrary or fictitious values;
and shall seek to eliminate those measures which are so determined as soon as practicable; and
(c) shall ensure that, if the importer so requests, the importer be informed in writing of the customs value and the method used to determine such value.
Article 10. Advance Rulings
1. To the extent permitted by its domestic laws, regulations and administrative practices and its capacity, each Party upon receiving an application pursuant to paragraph 2(a), shall through its Customs Administration provide written advance rulings on tariff classification and origin of goods, and, if the Party has implemented the Agreement on Customs Valuation on questions arising from the application of that Agreement to goods.
2. Procedures for advance rulings adopted by a Party shall:
(a) provide that an importer in its territory or an exporter or producer in the territory of another Party may apply for an advance ruling before the importation of the goods in question;
(b) include a detailed description of the information required to process an application for an advance ruling;
(c) provide that its Customs Administration may, at any time during the course of an evaluation of an application for an advance ruling, request that the applicant provide additional information within a specified period;
(d) provide that any advance ruling be based on the facts and circumstances presented by the applicant, and any other relevant information in the possession of the decision-maker;
(e) provide that an advance ruling be issued to the applicant expeditiously, within the period specified in each Party’s domestic laws, regulations or administrative procedures; and
(f) provide that a written explanation of the reasons for the ruling be provided to the applicant.
3. A Party may reject a request for an advance ruling where the additional information requested by it in accordance with paragraph 2(c) is not provided within the specified period.
4. Subject to paragraphs 1 and 5, each Party that permits advance rulings under its domestic laws, regulations and administrative procedures, shall apply an advance ruling to goods described in that ruling imported into its territory beginning on the date it issues the ruling or any other date specified in the ruling for such period in accordance with its domestic laws, regulations and administrative procedures. The issuing Party shall accord the same treatment to all importations described in that ruling, if the facts and circumstances are identical in all respects.
5. A Party may modify or revoke an advance ruling if: