APTA Rules
of Origin Amended, Sectoral Rules of Origin Inserted in Annexure C
Notification No. 59/2018 - Customs (N.T.) dated 30 June 2018
In exercise of the powers conferred by sub-section (1) of section 5 of
the Customs Tariff Act, 1975 (51 of 1975), the Central Government, on being satisfied that it
is necessary in the public interest so to do, hereby makes the following rules further to amend
the Rules of Determination of
Origin of Goods
under the Asia-Pacific Trade Agreement, (formerly known as the Bangkok Agreement)
Rules, 2006, namely:-
1. (1) These rules may be called the Rules of Determination of Origin of Goods under the Asia-Pacific Trade Agreement (formerly known as the Bangkok Agreement) Amendment
Rules, 2018.
(2) They shall come into force on the
1st day of
July, 2018.
2. In the Rules of
Determination of Origin of Goods under the Asia-Pacific Trade Agreement, (formerly known as the Bangkok Agreement) Rules, 2006, (hereinafter referred to as the said rules), in footnotes,-
(i) for footnote
6, the following shall be substituted,
namely:-
6. As at Annexure-C..
(ii) after footnote 8, the following footnotes shall be inserted, namely:-
9.
The aggregate content in rule 5 shall be calculated as the sum of the
value of originating materials used as a input (VOM1) and the value for originating materials added by the Participating State where working or
processing
of the finished product has taken place (VOM2). VOM1 means value
of the products which have
acquired originating status in the territory of a previous Participating State, which shall be calculated on the
basis of the customs value
determined in accordance with Articles
1 through 8, Article 15, and the corresponding
interpretative notes of the
Customs Valuation Agreement.
VOM2 means value
of the originating materials obtained in the territory of the Participating State where working
or processing of the finished product has taken place, and the value used as input in
working or processing of the finished product in that Participating
State, including direct labour cost, direct overhead cost, transportation cost and profit for the finished product. Under the above
interpretation,
the product shall be considered as a product originating in the territory of the Participating State where working or processing of the finished product has taken place, provided that the
sum
of VOM1 and
VOM2 is not less than
sixty percent of its f.o.b. value.
10.
The provision of sub-clause (ii) of clause (b) of rule (6) of the products have
not entered into trade
or consumption there shall be interpreted that the products which remain under the control of customs authority of the
intermediate non-Participating
state without any proceedings of import clearance procedures shall be considered as directly
consigned from the
exporting
Participating
State to the importing
Participating State. The
expression of entered into trade or consumption there is understood
that the import declaration on the product was accepted and the product was released out of a
bonded area into the
domestic market of the
intermediate
country to be consumed or subsequently exported under another contract. Therefore, the product that is temporarily stored in the bonded area under
the control of customs authority
and
has not undergone any
operations or processes other than those defined in sub-clause (iii) of clause (b) of rule
(6), is understood to have not
entered into trade or consumption..
3. In the said rules, in Annexure-A,
(i) under the heading Notes for completing Certificate of Origin, in sub-heading
II Entries to be made in the boxes, under the entry Box 5 Tariff Item Number
for the figures, words and letters 4-digit HS heading the figures, words and
letters 6-digit HS heading shall be substituted;
(ii) under the heading Notes for completing Certificate of Origin, in sub-heading II
Entries to be made in the boxes, under the entry Box 8 Origin Criterion, for clause (a), the following
shall be substituted,
namely:-
(a) Products wholly produced or
obtained: enter the letter A in Box 8.
(b) Products
not wholly produced
or obtained: the entry in Box 8 should be as
follows:
1. Enter letter
B in Box 8, for products, which meet the origin criteria according to Rule 4. Entry
of letter B would be followed by the
sum of the value of materials, parts or produce originating from
non-Participating
States, or undetermined origin used, expressed as a
percentage
of the f.o.b. value of the
products; (example B 50 per cent);
2. Enter letter
C in Box 8 for products, which meet the origin
criteria according to Rule 5. Entry
of letter C would be followed by
the sum of the aggregate content originating in the territory of the exporting Participating State expressed as a percentage of the f.o.b. value
of the exported product; (example C 60
per cent);
3. Enter letter D in Box 8 for products, which meet the special
origin criteria according to
Rule 11;
4. Enter letter
E in Box 8 for products which meet the origin
criteria according
to sub-rule (b) of rule 4. Entry of letter E would be
followed by the criteria of
the rules of origin (example E
CTH)..
4. In the said
rules, after Annexue-B, the following Annexure shall be inserted, namely:-
ANNEXURE C
Sectoral RoO (Rules of Origin) of APTA
Annex note:
1. In accordance with sub-rule (b) of rule 4, the criteria specified in column 4 below
shall apply for the products listed
therein.
2. The origin criteria under column 4 and sub-rule (a) of rule 4, respectively, would be
applied sequentially to specific items. If the products cannot meet the criteria under
column 4, then the sub-rule (a)
of Rule 4 would be applied.
3. CTH (Change in Tariff Heading) means that the non-originating
materials have
undergone a change in tariff classification of the Harmonised Commodity Description and
Coding System
to a
Heading from any other Heading.
4. The final process of manufacture is performed within the territory of the exporting
Participating
State.
Table
|
Sr.No. |
HS 2017 Heading |
Product Description |
Origin Criteria |
|
(1) |
(2) |
(3) |
(4) |
|
1. |
2201 |
Beverages, spirits
and vinegar |
CTH |
|
2. |
2707, 2708, 2709, 2710, 2711, 2712,
2713, 2714, 2715 |
Mineral fuels |
CTH |
|
3. |
2852 |
Inorganic chemicals |
CTH |
|
4. |
2901, 2902, 2903, 2904, 2905,
2906, 2907, 2908, 2909, 2910, 2911, 2912, 2913, 2914, 2915, 2931, 2932, 2933,
2934, 2935, 2936, 2937, 2938, 2939, 2940, 2941, 2942 |
Organic
chemicals |
CTH |
|
5. |
3002, 3006 |
Pharmaceutical products |
CTH |
|
6. |
3817 |
Mixed alkyl benzenes |
CTH |
|
7. |
3901, 3902, 3903, 3904, 3905, 3906 |
Plastics and articles thereof |
CTH |
|
8. |
3916, 3917, 3918, 3919, 3920,
3921, 3922, 3923, 3924, 3925, 3926 |
Plastics and articles thereof |
CTH |
|
9. |
4002 |
Synthetic rubber |
CTH except from
heading 4001 |
|
10. |
6401, 6402, 6403, 6404, 6405, 6406 |
Footwear, gaiters and the like; parts of such articles |
CTH |
|
11. |
6801, 6802, 6803 |
Articles
of stone, plaster,
cement, asbestos, mica or similar materials |
CTH |
|
12. |
7201, 7202, 7203, 7204, 7205,
7206, 7218, 7224 |
Iron and Steel |
CTH |
|
13. |
7307, 7308, 7309, 7310, 7311,
7312, 7313, 7314, 7315, 7316, 7317, 7318, 7319, 7320, 7321, 7322, 7323, 7324,
7325, 7326 |
Articles
of Iron or Steel |
CTH |
|
14. |
7401, 7402, 7403, 7404, 7405, 7406, 7407, 7408, 7409, 7410, 7411, 7412, 7413,7415,7418, 7419 |
Copper and articles
thereof |
CTH |
|
15. |
7501, 7502, 7503, 7504, 7505, 7506, 7507, 7508 |
Nickel and articles
thereof |
CTH |
|
16. |
7601, 7602, 7603, 7604, 7605,7606, 7607, 7608, 7609, 7610, 7611, 7612, 7613, 7614, 7615, 7616 |
Aluminium and articles
thereof |
CTH |
|
17. |
7801, 7802, 7804, 7806 |
Lead and articles
thereof |
CTH |
|
18. |
7901, 7902, 7903, 7904, 7905, 7907 |
Zinc and articles
thereof |
CTH |
|
19. |
8001, 8002, 8003, 8007 |
Tin and articles thereof |
CTH |
|
20. |
8536 |
Electrical machinery and equipment
and parts |
CTH |
|
21. |
9619, 9620 |
Miscellaneous manufactured articles |
CTH. |
[F. No.CBEC -15021/2/2016-Dir (ICD)]