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GATT Article V Broader aspects and implementation tools available Guus Jacobs

GATT Article V Broader aspects and implementation tools available Guus Jacobs Chairperson Working Party on Customs Questions affecting Transport (WP.30). Why transit rules?. To facilitate international cross border transport of goods through Establishment of the right of transit

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GATT Article V Broader aspects and implementation tools available Guus Jacobs

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  1. GATT Article V Broader aspects and implementation tools available Guus Jacobs Chairperson Working Party on Customs Questions affecting Transport (WP.30)

  2. Why transit rules? • To facilitate international cross border transport of goods through • Establishment of the right of transit • Simplified Customs procedures for transit • To protect safety, security and Customs revenue through • Enforcement of Customs and other controls • Application of guarantee provisions

  3. What is at stake? • EU: Border crossing difficulties • €12 billion annually • SADC: Border delay costs • US$50-60 million per year • IRU: 40 documents for European transport

  4. International transit tools Kyoto Convention (WCO) • Annex E on Transit • Definition • Transit versus transshipment • Itineraries and time limits • Annex G on Temporary Importation • Definition

  5. International transit tools (2) Harmonization Convention (UNECE) • Integrated border management framework • In-country cooperation between authorities • Cooperation between neighbouring countries • Controls • Customs, veterinary, sanitary, phytosanitary, technical compliance, quality • Transport mode specific (road, rail) • Visa

  6. 44 Contracting Parties International transit tools (3) • Harmonization Convention (UNECE)

  7. International transit tools (4) TIR Convention (UNECE) • Only international transit procedure • Distinguishing features • Secure loading compartment (trucks and containers, i.e. intermodal) • Standardized unique document (TIR Carnet) • International guarantee • Mutual recognition • Controlled access • Itineraries, time-limits, escorts

  8. International transit tools (5) • TIR Convention (UNECE) (cont’d)

  9. International transit tools (6) 65 Contracting Parties 3 million operations • TIR Convention (UNECE) (cont’d)

  10. International transit tools (8) • Private vehicles (UNECE) • 77 Contracting Parties • Commercial vehicles (UNECE • 39 Contracting Parties • Boats (UNECE) • 25 Contracting Parties • Containers (WCO) • 30 Contracting Parties • Goods ATA (WCO) • 63 Contracting Parties Temporary Importation Conventions

  11. Other relevant UNECE transport tools • Road Traffic (61 Contracting Parties) • Road code, driving permit etc. • Perishable goods, ATP (40 States) • Facilitates transport of fresh produce • Dangerous goods, (40 States) • Ensures safety in the transport of dangerous goods

  12. Examples of Bilateral and multilateral transit tools • Bilateral transport and transit agreements • Multilateral transport and transit agreements • Shanghai Cooperation Organization • GMS Framework Agreement • COMESA Transit Guarantee Agreement • Andean Community International Transit Agreement

  13. Issues for consideration • Review of definitions: • Transit (WCO) • Transit duties (different to infrastructure costs) • Mutual recognition (controls, qualifications) • Focus on existing Agreements & standards • Consider market access issues (barriers) • Permits, visa, vehicle standards etc. • Include automation aspect • Ensure implementation/application through capacity building

  14. Thank you very much for your attention Guus Jacobs Ministry of Finance Customs Policy and Legislation Diratorate Phone: +31 70 3428123 Fax: +31 70 3427938 a.h.m.jacobs@minfin.nl

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