GATT Article V

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

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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

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What is at stake?

• EU Border crossing difficulties
• 12 billion annually
• SADC Border delay costs
• US50-60 million per year
• IRU 40 documents for European transport

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International transit tools
Kyoto Convention (WCO)

• Annex E on Transit
• Definition
• Transit versus transshipment
• Itineraries and time limits
• Annex G on Temporary Importation
• Definition

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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

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International transit tools (3)

• Harmonization Convention (UNECE)

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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

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International transit tools (5)

• TIR Convention (UNECE) (contd)

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International transit tools (6)

• TIR Convention (UNECE) (contd)

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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

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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

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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

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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

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Thank you very much for your attention Guus
Jacobs Ministry of Finance Customs Policy and
Legislation Diratorate Phone [phone] Fax
31 70 3427938 a.h.m.jacobs_at_minfin.nl