The customs co-operation council: origin, structure and activities

CUSTOMS CO-OPERATION COUNCIL

SECRETARIAT

THE CUSTOMS CO-OPERATION COUNCIL

ORIGIN, STRUCTURE AND ACTIVITIES

BRUSSELS, 183, AVENUE LOUISE

Customs Co-operation Council General Secretariat

THE CUSTOMS CO-OPERATION COUNCIL

Origin, structure and activities

Document No. 8687 E (6l) September 196l

CONTENTS

Pages

I. Foreword 1

IIft The European Customs Union Study Group 2 III. The Conventions of 15th December 1950 3

IV. Customs Co-operation Council 3

V. Organisation of the Sessions of the

Council and its Committees 5

VI. Relations of the Council with other

international organisations 6

VII. Activities of the Customs Co-Operation

Council - d

VIII. The Nomenclature Committee d

1. Application of the Brussels Tariff

Nomenclature (BTN) 9

2. Amendments to the Brussels Nomenclature 10 3. Form and lay-out of Brussels-type

Customs tariffs 11

k. Correlation between the Brussels Nomenclature and the Standard

International Trade Classification

established by the United Nations 12 5. Countries having adopted the BTN 13

IX. The Valuation Committee 13

1. Explanatory Notes 14

2. Opinions issued by Committee 14

Pages

IX. 3. Inadvertent errors 17

k« Valuation disputes 16

5. Other questions 1#

X* The Permanent Technical Committee 19

1. General 19

2. Comparative studies of Customs

procedures 19

3. Particular questions 2if

(a) Questions which have led to the establishment of international Conventions or of Council

Recommendations 25

1. International Convention regarding E.C.S. carnets for

commercial samples 25

2. International Convention on the

temporary importation of packings 26 3» International Convention on the

temporary importation of

professional equipment 27 2*. International Convention con

cerning Customs facilities for the importation of goods for display or use at exhibitions,

fairs, meetings or similar events 2&

5. Recommendation to facilitate the temporary exportation of goods sent from one country for pro

cessing or repair in another 29 6. Recommendation concerning the

repayment or remission of duties on goods refused by the importer

as not conforming to contract 29

ii

Pages (a) 7» Recommendation on samples to

be regarded as being of negli gible value within the meaning of the International Convention to facilitate the importation

of commercial samples and

advertising material 30

S. Recommendation on the use of

temporary importation papers

in respect of radio and tele

vision vans 30

9. Recommendation concerning the Customs treatment of provisions carried on certain inter

national express trains 30 10. Recommendation concerning the

Customs treatment of provisions carried in restaurant-cars, pullman-cars, sleeping-cars and similar cars on international

express trains 31

11. Recommendation concerning tax-

free shops 31

(b) Questions settled to the satisfac tion of interested Administrations and considered not to warrant

study at general level 31

(c) Questions under discussion in other organisations, having aspects of particular interest to the Council

1. Origin of goods 34

2. Touring motor cars 34

3. Simplification of export docu ments

4. UNESCO Agreement on the impor tation of educational, scienti

fic and cultural materials 35

iii

Pages X. 3. (d) Work in progress and other

questions dealt with by the

Committee 35

1. Draft Customs Convention on the A.ToA. carnet for the temporary admission of goods (A.T.A. « Admission Temporaire - Temporary

Admission) 35

2. International Customs Norms 36

3. Control of documentary evidence of the origin of

imported goods 37

k. Customs problems relating to the transport of radio

active materials 37

5. Professional training of

Customs officers 3#

6o Terms of payment to the Customs of sums due in res

pect of duties and taxes 3&

7, Other questions included

in the Committee*s Agenda 3&

k* Programme of future work 39

iv

I. FOREWORD

From time to time, since the beginning of the century, attempts have been made to simplify and standardise Customs formalities in international trade. It has been claimed that their complex nature and diversity restrict legitimate commerce

even to the extent of creating measures of indirect protection.

The first substantial proposals for simplification

were sponsored by international congresses of European traders

and brought forward by the International Chamber of Commerce for consideration by the League of Nations. Inter-governmen tal action taken under the aegis of the League resulted in the drafting of the international Convention for the simplifica-

tion of Customs and other formalitieso This Convention, dated 3 November 1923, was the first concrete result obtained.

Several subsequent international conferences also studied this question but achieved no appreciable results.

After the end of the second World War the United

Nations Conference on Trade and Labour resumed the examination of these problems at international level. Several provisions

relating to Customs questions were included in the draft for

the establishment of an International Trade Organisation

(Havana Charter) and in the "General Agreement on Tariffs and Trade" (GATT).

Nevertheless, there was still no international orga nisation specialising in the comparative study of Customs technique, which was regarded merely on an aspect of economic

poO-icy and had been given close consideration only at natxonal

level and in a very few countries.

The establishment, in 19V7, of the European Customs

Union Study Group gave a new impulse to this work and resulted in the creation of the Customs Co-operation Council in 1952/

1953. A brief account of the stages of this development is

given below.

1.

II. THE EUROPEAN CUSTOMS UNION STUDY GROUP

In a joint declaration made in Paris on 12 September 19if7s certain Governments represented on the Committee for European Economic Co~operation agreed to give consideration to the possibility of establishing one or more inter-European Customs Unions based on the principles of the Geneva General Agreement on Tariffs and Trade. With this end in view, they decided to accept the hospitality which had been proffered by the Benelux countries for the setting up in Brussels of a^

Study Group to examine the problems incidental to the project and the steps necessary for its materialisation.

The Report published by the Study Group in Brussels in March 192+S gives a comprehensive account of its early acti

vities*.

In 191^6* the Study Group set up an Economic Committee and a Customs Committee, the latter being assisted by a Per

manent Tariff Bureau.

The Study Group subsequently suspended the activities of the Economic Committee, the work of which was tending to overlap with that of the OEEC after the creation of that orga

nisation.

It was decided, however, that the Customs Committee, which had been charged with the task of making a comparative

study of Customs techniques in the various countries concerned, with a view to their standardisation, should pursue its work.

This Committee devoted particular attention to the establish ment of a common tariff nomenclature and the adoption of a common definition of value for Customs purposeso It also stu died other aspects of Customs procedures t the structure of tariffs; provisions relating to the determination of dutiable weights; the treatment of containers; excise and internal taxation questions affecting Customs administrations; the origin of goods; the level of duties; regulations providing for the duty-free admission of goods because of their special nature (exceptional and non-commercial transactions, samples, etc) and for their conditional duty-free admission under Customs supervision (transit, warehousing, processing trans actions, free ports, etc.); and provisions for the regulation of Customs disputes.

III. THE CONVENTIONS OF l^t,h DECEMBER

In 19^9, the Study Group decided that, irrespective of the progress which might be made with the Customs Union project, the achievements already attained in the fields of Nomenclature and Valuation should be turned to advantage and that similar endeavours should be made in other fields of Customs technique.

This decision was the origin of the three Conventions signed in Brussels on 15th December 1950. Two of these Con ventions - which are discussed below - are concerned with Nomenclature and with Valuation; they represent the culmina tion of the extensive work undertaken by the Study Group's

Customs Committee on these two important subjects. The purpose of the participating countries in setting up - under the third Convention - the Customs Co-operation Council was not only to assemble the executive machinery of the two specialised agree ments in a single international organisation but also to en trust that organisation with a more general responsibility s

"to secure the highest degree of harmony and uniformity in ...

Customs systems and especially to study the problems inherent in the development and improvement of Customs technique and Customs legislation in connection therewith,"

IV. CUSTOMS CO-OPERATION COUNCIL

The Convention establishing a Customs Co-operation

Council came into force on h November 1952 and the Council met for the ffrst time on 26 January 1953- Under the provisions of this Convention, the Customs Co-operation Council is re quired to make recommendations to ensure the uniform inter pretation and application of the two other Conventions, to per form such functions as may be expressly assigned to it in those Conventions and to act in a conciliatory capacity in any dis putes which may arise in this respect. Apart from these par ticular functions, the Council has the more general task of

studying all questions relating to co-operation in Customs mat ters which the Contracting Parties agree to promote, of examin ing the technical aspects of Customs systems with a view to proposing practical means of attaining the highest possible degree of harmony and uniformity, and of preparing for this purpose draft conventions and recommendations. The Council has.also to circulate information regarding Customs procedures, to furnish information or advice to Member States and to co

operate with other international organisations.

3.

In order to enable the Council to accomplish this extensive task, Articles V and VI of the Convention provide that it shall establish the two specialised Committees envisa ged by the Nomenclature and Valuation Conventions and shall be

*\ assisted by a Permanent Technical Committee and a General Secre

tariat.

The functions of the Council are thus clearly defined;

they in no way duplicate the activities of other international organisations particularly of those essentially concerned with

economic policy*

The Council is hence a technical body and its studies and attempts to resolve Customs problems are based on a purely technical approach. Its purpose is to facilitate the develop ment of international trade and the smooth operation of Customs Administrations, without obliging Member countries to adopt provisions incompatible with their individual economic policies.

There are at present ZS Members of the Council :

Australia, Austria, Belgium, Denmark, Finland, France, Germany (Federal Republic of), Greece, Haiti,

Indonesia, Iran, Ireland, Israel, Italy, Lebanon, Luxembourg, Netherlands, Norway, Pakistan, Portugal, Spain, Sudan, Sweden, Switzerland, Turkey, the United Arab Republic, the United Kingdom of Great Britain and Northern Ireland, Yugoslavia.

«

The Convention establishing the Council is open to all countries. The first Members were all European countries but there are now 9 extra-European countries in the Organisa tion and others have stated that they are envisaging accession.

The Council has hence become a technical organisation of

world-wide scope.

Accession to the Council Convention does not entail accession to either or both of the two other Conventions men

tioned above, but accession to the Council Convention is obli gatory for any country wishing to accede either to the Valua

tion or to the Nomenclature Convention,

The Council maintains contact with the general public by means of its publications and annual Bulletins. Most of the other documents prepared by the Council are circulated to delegations only.

Vo ORGANISATION OF THE SESSIONS OF THE COUNCIL AND ITS COMMITTEES

The Council holds two general assemblies each year, as a rule in the months of June and November.

The first day of each Session of the Council is set aside for current administrative and internal questions. These are usually presented in the form of proposals worked out in advance either by the Finance Committee - which meets during the week immediately preceding each Council Session -or by the Secretary General, This arrangement avoids the attendance of observers at discussions which are of no interest to them.

The remainder of each Session is devoted to technical matters. The Council is briefed by reports from the Valuation Committee, from the Nomenclature Committee, from the Permanent Technical Committee, and, on intersessional developments,

from the Secretary General. On discussion of these reports,

if necessary after obtaining further advice by setting up

Working Parties, the Council takes such executive decisions as

may ^appropriate, e.g. by initiating Conventions or Proto

cols of amendment to Conventions, by making ^commendations to Contracting Parties, and by giving directives to the Committees

or to the Secretary General regarding the work in progress or work to be undertaken in the future.

The adoption of these methods enables the work of each Session to be conducted expeditiously and as a result it is not usual for the Sessions of the Council to last more than

a week.

The Valuation and Nomenclature Committees are composed of representatives of the States party to the Valuation and Nomenclature Conventions. Under these Conventions, the Com- mittees meet, in principle, three times a year each Session lasting approximately two weeks. They have their own rules of procedure and exercise their functions under the authority

of the Council.

Since these Committees could not be instituted until

the entry into force of the relevant Conventions, in other

words after the deposit of the number of instruments of rati

fication specified in the Conventions, the Council, anxious

to ensure the continuity of the work begun by the Study Group, set up Interim Valuation and Nomenclature Committees. The

first was replaced by the Valuation Committee on 3rd November 1953s and the second by the Nomenclature Committee on 23rd May I960.

The Permanent Technical Committee, the establishment

of which is provided for in the Convention on the Council, is

composed of representatives of all Council Members, Its main task is studying questions of Customs technique. In principle, the Permanent Technical Committee holds four Sessions a year.

It met for the first time on 13 April 1953-

Unlike the other two Committees mentioned above, the

functions of which are defined by the Conventions on Nomencla ture and Valuation, the Permanent Technical Committee depends

directly on the Councilo

VI. RELATIONS OF THE COUNCIL

WITH OTHER INTERNATIONAL ORGANISATIONS

Under the terms of the Convention by which it was established, one of the Councils functions is to cooperate with other inter-governmental organisations and maintain with

them such relations as may facilitate the achievement of its aims. It also cooperates with certain non-governmental orga nisations dealing with questions within its competence.

From the outsets the Council established close rela tions with several organisations, either directly or through its Committees or the Secretariat, exchanging Observers or cooperating even more directly in the study of questions sub

mitted by those organisations.

Relations with GATT were developed in several fields;

the Council gave particular attention to the application of the Geneva Convention on commercial samples. The two organisa- tions have jointly established several draft international con- ventions on the temporary importation of various goods. Some

of these conventions are now open for signature by interested

countries, whether or not Members of the Customs Co-operation Council.

The Council also maintains close relations with the

Organisation for European Economic Co-operation (OEEC) as re

gards, in particular, the questions dealt with by the Tourism Committee's Group of Customs experts,Customs problems in con

nection with the creation of a free trade area, tariff clas sification and Customs control over nuclear materials and

equipment.

The United Nations Economic Commission for Europe (ECE) has also co-operated with the Council, participating, in particular, in the establishment of a draft Convention con cerning Customs facilities for the importation of goods for

display or use at exhibitions, fairs, meetings or similar

events.

The Council was represented at the Bangkok meetings of the Working Party on Customs Administration set up by the United Nations Economic Commission for Asia and the Far East (ECAFE). Active co-operation between the two organisations

continues.

Close and permanent relations established with the

United Nations Economic Commission for Latin America (ECLA)

have proved particularly fruitful. The Council has been re

presented at meetings of ECLA, the ECLA Trade Committee and

its Working Group on Customs questions. A Council represen tative participated actively in the preparatory work for the

Working Group's meeting in Montevideo in August I960.

The Council is also closely associated with the United Nations Statistical Office in work on the correlation between

the Standard International Trade Classification (SITC) and the

Brussels Nomenclature (BTN).

Other work has been done in collaboration with seve ral other United Nations specialised agencies such as the United Nations Educational, Scientific and Cultural Organisa tion (UNESCO), the International Atomic Energy Agency (IAEA),

the International Civil Aviation Organisation (ICAO) and the

Inter-Governmental Maritime Consultative Organisation (IMCO).

The European Coal and Steel Community (ECSC) has

adopted the Brussels Nomenclature for the products within its

competence. It consults the Council on various questions rela

ting to the revision and application of the Nomenclature. Simi lar assistance is afforded to Euratom for all questions in con nection with nuclear materials and equipment,,

7.

Relations are also maintained with the European Economic Community (EEC) and with the European Free Trade Area (EFTA), all Members of which are also Members of the

Council.

The Council keeps close contact with the Interna tional Chamber of Commerce (ICC), the International Informa tion Bureau of Chambers of Commerce (IIBCC) and the Interna tional League of Commercial Travellers (ILCT), consulting them

on various aspects of Customs technique; their collaboration has been enlisted on several occasions, in particular with regard to the establishment and implementation of the Conven

tion on E.C.S. carnets for commercial samples and other Con

ventions concerning the temporary importation of various goods,

The International Union of Railways (UIC) has reques

ted technical assistance from the Council Secretariat in the

Nomenclature field.

Finally, the Council has called on the assistance of various international organisations such as the Union of Inter- national Fairs (UIF), the International Air Transport Associa tion (IATA) the "Confederation Internationale des Industries Techniques du Cinema" and the European Broadcasting Union

(EBU).

VII. ACTIVITIES OF THE CUSTOMS CO-OPERATION COUNCIL

The Council's activities are closely linked with the work of its Committees, as analysed hereafter.

Since the work of the Nomenclature and Valuation Committees is described in the papers on standard tariff

Nomenclature and valuation of goods for Customs purposes, the following pages are concerned mainly with the Permanent

Technical Committee.

VIII. THE NOMENCLATURE COMMITTEE

The Nomenclature Committee, which has met five times

since its creation, has continued the work undertaken by the

Interim Nomenclature Committee, which held thirteen Sessions prior to the entry into force of the Nomenclature Convention.

6\

The following countries are members of the Nomencla ture Committee at the present time L

Austria, Belgium* Netherlands, Luxembourg, Denmark,

Finland, France, Germany (Federal Republic of), Iran,

Italy, Norway, Portugal, Spain* Sweden, Switzerland,

Turkey and the United Kingdom of Great Britain and

Northern Ireland*

1, Application of the Brussels Tariff Nomenclature (BTN)

After completing the Explanatory Notes which, like

the Nomenclature itself, are provided with a separate alpha

betical index, the Nomenclature Committee turned to the study of classification problems and consideration of the difficul ties sometimes encountered by Members' Customs Administrations in the classification of certain products within the Nomencla ture. Such cases are referred to the Council Secretariat m

the first instance and, when the difficulty cannot be resolved

immediately, the matter is placed before the Committee«.

Once classification has been agreed the Committee

decides whether the products in question should be referred

to in the Explanatory Notes. In some cases this will be un necessary as the Explanatory Notes already cover the classifi cation either in general terms or by specific provisions; in others the Notes must be amended to prevent the recurrence of similar doubts„ In view of the wide variety of goods in inter

national trade2 it is impossible to make specific reference to

every product in the Explanatory Notes; this would, moreover, be undesirable since the basic purpose of these Notes is to

indicate the principles to be respected in the application of the Nomenclature, while giving a limited number of characteris

tic examples. It has therefore been felt desirable to comple

ment the Explanatory Notes by supplying Administrations with a List of Classification Opinions relating to products the classification of which has been agreed by the Committee but which are not mentioned in the Explanatory Notes.

Once agreement has been reached on the essentials,

the classifications agreed by the Committee fall into the fol

lowing three categories, according to the further action neces

sary s

(a) Those which require no amendment to existing texts and which need only be noted by the Secretariat and by those Administrations inte rested,

(b) Those which, while compatible with the Explana tory Notes, are not mentioned therein, but which are nevertheless of sufficient practical impor tance to be circulated to Member States in a

special List of Classification Opinions.

(c) Those which necessitate the issue of a corrigen dum to the text of the Explanatory Notes.

This very flexible procedure has greatly facilitated the task of national Customs Administrations by keeping all Members informed of the classification difficulties already encountered by others and of the solutions adopted. It also helps to prevent differences in interpretation which might

otherwise result in the classification of the same merchandise in different main .headings of the various national tariffs.

The Committee has issued a considerable number of classification opinions. Many queries are received concerning chemical products and these, where necessary, are referred to a Chemists* Committee which meets periodically and is composed essentially of chemical experts normally serving in the offi

cial laboratories of Member states.

2. Amendments to the Brussels Nomenclature

In pursuing the work referred to above, the Committee has prepared certain amendments to the Nomenclature. These amendments were found necessary in order to clarify the texts of certain Notes or headings, to keep the Nomenclature abreast of modern industrial technological developments, or to provide satisfactory classifications for certain particularly difficult categories of goods on which Members sought advice.

These amendments, some of which had been held over pending the entry into force of the Nomenclature .Convention, were approved by the Council and became the subject of three Recommendations dated 16 June I960, S December I960 and 9 June 1961 respectively.

10,

Under the present terms of Article XVI of the Conven tion, these amendments will come into force three months after receipt by the Belgian Ministry of Foreign Affairs of notifi cations of acceptance from all Contracting Parties.

During its Session in June I960, the Council also adopted another Recommendation designed to render the proce dure for amendments to the Nomenclature more flexible. Under the terms of the new Article XVI, any draft amendment is

deemed to be accepted if no Contracting Party has notified its objections to such amendment within six months of the date of its communication to the Contracting Parties. Should there have been no objection, the amendment will come into force for all Contracting Parties after the expiry of a further period

of six months.

These provisions would ensure earlier implementation by all Contracting Parties of Nomenclature amendments recommen ded by the Council. However, the Council, anxious to avoid frequent amendments of the Nomenclature, has decided that, in principle, no further amendments will be made for some years.

3. Form and lay-out of Brussels-type Customs tariffs For practical reasons, it is most important that Customs tariffs based on the Brussels Nomenclature should be

set out in a comparable form.

In the main, the intention is that importers, expor

ters or those negotiating trade agreements should be able to find any particular article of commerce, or any particular provision of the Brussels Nomenclature, under the same number and at the same place in each of the tariffs involved.

The Nomenclature Convention makes it clear that, as regards the headings of the Nomenclature, Members are under the obligation (Article II (b) (i)) not to omit any of them, not to add any new ones and not to depart from any of the numbers.

Paragraph (b) (ii) of the same Article also requires Members to make "no change in the chapter or section notes in

a manner modifying the scope of the chapters, sections and headings as laid down in the Nomenclature".

11.

Since States are entitled to add new chapter or

section notes - to define the scope of sub-headings, for

example - it is also desirable that they should not give such new notes the numbers already used for the notes in the

Brussels Nomenclature; this would change the numbering of any subsequent notes in the Nomenclature. For instance, if a Nomenclature Chapter comprises Notes numbered 1 to k, a btate

requiring a new note in its national tariff should not insert

it as No- 2 and re-number international notes Nos. 2 to k as 3 to 5-

A Recommendation put forward on this subject by the

Interim Nomenclature Committee was adopted by the Council in

November 1957 •

k. Correlation between the Brussels Nomenclature and the Standard International Trade Classification established

by the United Nations

For several years the Customs Co-operation Council has been working in co-operation with the United Nations Statistical Office and other international organisations on the correlation linking the Brussels Nomenclature to the

Standard International Trade Classification (SITC) established

by the United Nations to improve the international comparabi

lity of external trade statistics.

In April I960, the United Nations Statistical Commis

sion adopted the SITC/BTN III, which is now known as the

"Revised Standard International Trade Classification" or

"SITC,RevisedM, and recommended that countries should use the SITC,revised, instead of the original SITC.

In accordance with the decisions taken by the Council

in December 1959, the Committee prepared a list of the Brussels

Nomenclature headings to be subdivided, and of the sub-headings to be introduced, in order to ensure the correlation between the two nomenclatures. In December I960, the Council recom mended that Members should incorporate the agreed sub-headings

in their Customs tariffs or in their statistical nomencla

tures, or should at least take the necessary steps to enable

statistical data to be supplied on the basis of these sub

headings.

The Committee also began work on Supplementary Expla natory Notes for the statistical sub-headings and on annex edition of the Brussels Nomenclature, in which the correspon ding SITC item number will be shown against each heading and

sub-heading.

5. Countries having adopted the BTN

The following countries have adopted the BTN as a basis for their national tariffs t

AFRICA : Algeria, Cameroons, Central Africa (Ubangi-Shari),

Chad (Republic of), Comoro Islands, Congo (Republic

of - Brazzaville), Congo (Republic of - Leopoldvillfi),

Dahomey (Republic of) and dependencies, Gabon

(Gabonese Republic), Guinea, Ivory Coast (Republic of the), Madagascar (Madagascan Republic) and depen dencies, Mauritania (Islamic Republic of), Morocco, Niger (Republic of), Reunion, Ruanda-Urundi, Senegal

(Republic of), Sudanese Republic (Bamako), Togo

(Republic of), Tunisia, Upper Volta (Republic of).

AMERICA i Bolivia, Brazil, Cuba, French Guiana, Guadeloupe, Martinique, St. Pierre et Miquelon, Surinam.

ASIA Cambodia, Iraq, Japan, Jordan, Laos, Lebanon, Pakistan, Philippines, Thailand.

EUROPE s Austria, Belgium, Denmark, Finland, France, Germany (Federal Republic of), Greece, Italy, Luxembourg, Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, Turkey, United Kingdom.

OCEANIA s Gambler Islands, Marquesas Islands, New Caledonia and dependencies, Rapa Island, Tahiti and dependen cies, Tuamotu Archipel, Tubai Islands.

IX. .THE VALUATION COMMITTEE

For the reasons set out above*", the Council set up3E

an Interim Valuation Committee at the same time as the Interim

x See page

13

Nomenclature Committee, Since the Valuation Convention came into force on Z& July 1953* this Interim Committee met only twice* The Valuation Committee itself has so far held 21*

sessions.

The following countries are now Members of this Committee %

Austria, Belgium, Denmark, France, Germany (Federal Republic of), Greece, Haiti, Ireland, Italy,

Luxembourg, Netherlands, Pakistan, Portugal, Sweden, Turkey, and the United Kingdom of Great Britain and Northern Ireland.

1. Explanatory Notes

The Committee has devoted a large part of its activi ties to drafting the Valuation Explanatory Notes, For this purpose, it drew on the experience acquired by its members in the application of the Convention, The Notes have been appro ved by the Council and have been published in a bilingual

{Engli sh~French) text <>

These Explanatory Notes, which have been made availa ble to importers as well as to the Customs, expound the theory and practice of valuation under the Brussels Definition both in general terms and with regard to problems of a general nature, and, within these generalities, also with regard to particular problems of common occurrence, They are however not merely a compilation of rules or instructions. They are motivated throughout, giving reasons for each conclusion and demonstrating the underlying equity of treatment as between the different methods advocated. As it has been put shortly, they provide the "Why1* as well the "How" of valuation.

It was decided during the Committee*s Session in October I960 to amplify certain passages of the Notes by the addition of Examples illustrating selected subjects.

2, Opinions issued by Committee

The Committee took the steps necessary for preserving continuity in the valuation work that had commenced with the Customs Committee of the European Customs Union Study Group and had been continued by the Interim Valuation Committee.

14.

It adopted the programme of work which had been prepared by

the Interim Valuation Committee and also gave its approval to a procedure, which that Committee had inaugurated, for deal ing with questions raised by Member Administrations,by means of i

- firstly, the issue of Questionnaires designed to elicit the practice and views of each Member Admi nistration on the problems under consideration;

- secondly, the preparation of Studies, based upon the replies to these Questionnaires, for further consideration in Committee; and

- thirdly, full discussion in the Committee and the issue for the guidance of Member Administrations, of Opinions on the problems submitted;

This procedure enables the Committee to carry out one of the tasks assigned to it by the Convention, viz. "on its own initiative or on request, to furnish to Contracting Parties information or advice on any matters concerning the

valuation of goods for Customs purposes". The Committee has

issued the following Opinions s

I, Goods imported by subsidiaries and branches of

foreign parent firms (legal status);

II, The Use of internal prices in the country of exporta

tion;

III, Influence of terms of payment on dutiable value;

IV, Quantity discounts and progressive discounts;

V, Special terms of purchase offered for regularity of

Customs;

VI• Sale of surplus stock;

VII. Price maintenance cartels;

VIII. Air freight;

IX. Joint purchasing arrangements;

X. Treatment of royalties, licence fees, etc. j Authors'

etc. royalties;

15.

XI. Damaged goods?

XII. Goods obtained from demolition of ships or salvage

or recovered from shipwrecks;

XIII. Goods imported through free ports or free zones;

XIV. Barter and compensation deals;

XV. Export prices aligned with internal prices in the

country of importation;

XVI. Holding companies;

XVII. Acceptance of the price paid or payable t tolerance in respect of contracts concluded prior to the time

of valuation;

XVIII. Inspection and analysis fees;

XIX. Treatment of importations of motor vehicles by

exclusive distributors;

XX. Dutiable value of goods entered for home consumption after a long stay in bond;

XXI. Valuation of goods imported in hired or loaned con

tainers;

XXII. Machine parts imported for assembly or as replacement

parts;

XXIII. Machines imported for hire;

XXIV. Imported samples of pharmaceutical specialities pre pared for distribution free of charge to doctors, hospitals, clinics, etc.;

XXV. Sea freight % c.i.f. contracts % unloading and

landing charges;

XXVI. Treatment of goods sold at a uniform price for delivery to any inland destination in the country of importa

tion;

XXVII. Zone prices;

XXVIII. Goods ordered through the sole agent of the foreign supplier (different methods of invoicing);

16.

XXIX. Treatment of royalties payable on machines to be sold under a foreign trade mark after assembly from impor

ted parts;

XXX. Modification of the contractual provisions relating to the means of transport of imported goods;

XXXI. Penalties for delay in delivery of imported goods;

XXXII. Importation of certain goods under a trade mark re

gistered only in the country of importation;

XXXIII. Royalties and fees payable in respect of an invention or idea incorporated in the merchandise as imported;

XXXIV. Royalty calculated on the quantity of the product of

an imported machine;

XXXV. Royalties payable on goods imported for sale, after further manufacture, under a foreign trade mark;

XXXVI. Valuation based on invoice prices s adjustment in

respect of advertising expenses;

XXXVII. Royalties calculated on the quantity of domestic textiles processed with an imported chemical prepa

ration.

These Opinions were published in the following Council Bulletins s

Opinions I to XIV - Bulletin No. 1 Opinions XV to XXVII - Bulletin No. 2 Opinions XXVIII to XXXII - Bulletin No. 3

Opinions XXXIII to XXXVII will be published in future Bulletins.

3. Inadvertent errors

The Committee has completed a study of the regulations applied by Member Customs Administrations in respect of inad vertent errors in the declared value of goods. It was felt that for certain types of errors leniency of treatment would be justified provided that the Administrations concerned could

17

be satisfied that they had been made inadvertently. On the

proposal of the Committee, the Council made a Recommendation to this effect. The Recommendation (published in Bulletin No. a) has been accepted by almost all Members of the Committee.

h* Valuation disputes

The Committee has also carried out a study of Members*

procedures for the settlement of valuation disputes. It was noted that whilst these procedures, being based upon legal and constitutional principles varying from one country to another, showed considerable differences, they are all in accordance with Article Xsparagraph 3 (b) of the GATT which, as regards its

application to valuation arbitration, requires that tribunals shall be independent of Customs administrations.

5- Other questions

With a view to undertaking further studies concerning

the application of the Convention by Member countries, the

Committee has instructed the Secretariat to assemble documen

tation on s

(a) Members' domestic legislation on valuation for

Customs purposes;

(b) administrative valuation procedures;

(c) domestic general instructions on valuation for

Customs purposes;

(d) domestic court decisions on valuation matters.

In accordance with the terms of the Convention and within the framework of administrative co-operation, this documentation, which is generally confidential, is available to Members only. The Committee has also collated information

on the organisation of the valuation services. This informa tion is available to States contemplating accession to the

Convention.

id.

THE PERMANENT TECHNICAL COMMITTEE

General

As already stated, the Customs Co-Operation Council's aims are not confined to ensuring the uniform interpretation and application of the two Conventions on Nomenclature and

Valuation. Its many functions also include the study of all

aspects of Customs technique in order to find practical means of attaining the highest possible degree of harmony and uni formity. Under the terms of the Convention, it is assisted in this task by a Permanent Technical Committee.

The functions of the Committee, as laid down in the

Council's Rules of Procedure, are to initiate technical studies

(other than as regards Nomenclature and Valuation) and to per form such particular tasks as may be assigned to it by the

Council. Special arrangements have been made, in this connec

tion, for dealing with urgent requests for advice received

from other international organisations.

The Committee has full discretion in the exercice of these functions but is not empowered to make recommendations

to Members* Governments without the express authority of the

Council.

The Committee's first meetings were mainly devoted to consideration of its method and programme of work, A very clear distinction was drawn between the systematic study of

Customs procedures and the study of particular questions of current importance, and the Council has directed that part of

each Session is to be devoted to the former.

These two features of the Committee's work are there fore discussed separately on the following pages.

2. Comparative studies of Customs procedures

The success of any attempt to improve Customs pro cedures clearly depends upon thorough knowledge of their pur

poses, of the legislation under which they are applied and of

their effects in practice. This precept is particularly true

19.

of a task involving - as does that of the Council - the harmo- nisation and, if possible, the standardisation of the procedu res in force in many different countries. Comparative studies are thus indispensable to progress towards the aims the

Council has set out to achieve. At the same time they provide valuable information for both the trading community and the

national administrations concerned.

The Council is the first body to undertake a compre

hensive survey of Customs procedures and the laws and regula

tions governing them; this survey begins with the basic pro cedures and follows as closely as possible the chronological order in which Customs formalities are completed.

To accomplish this extensive task, the Committee

adopted the following work programme, which was published in

Council Bulletins Nos. 2 and 3 :

A. Arrival and departure of ships and other means of trans

port -

^ Formalities on arrival, up to presentation of goods

declarations s

(a) Importation by sea;

(b) Importation by inland frontiers {road, rail and water-ways),

(c) Importation by air.

2. Formalities on departure t (a) Exportation by sea;

(b) Exportation by inland frontiers;

(c) Exportation by air.

B. Clearance of goods

1. The declarant s

(a) Person competent to make declaration;

(b) Responsibility of declarants.

20,

2, The declaration t

(a) Nature and type of declarations;

(b) Time limits for deposit of declarations;

(c) Contents of declarations;

(d) Measures to permit the establishment of declara tions s preliminary examination of goods; provi sional declaration; automatic taxation; etc.

3. Examination of goods t

(a) Powers and obligations of Customs Officers;

(b) Rights and obligations of declarant (or of impor ter, exporter, or owner);

(c) Settlement of disputes;

(d) A posteriori control-

if. Taxation s

Methods of taxation,

5. Payment of duties and taxes % (a) Methods;

(b) Credits granted to traders;

(c) Refund of overpaid duties and taxes,

C. Customs exemptions

1. Exempted transactions;

2. Extent of exemptions, and terms and conditions thereof.

D. Special procedures (suspending payment of duty)

1, Temporary admission;

2, Warehousing, including Customs supervised factories;

21.

3. Transit;

if. Drawback;

5. Procedure for compensating certain exportations of goods manufactured in the country of exportation, by- admission free of duty into that country of equivalent raw material.

E, Other questions

1. Free zones and ports;

2. Temporary exportation;

3. Return of goods not sold, or dispatched by error;

k> Treatment of goods left in Customs charge or abandoned?

custody, possible sale;

5. Postal packages and postal despatches;

6. Control of travellers and tourist operations;

7. Trade marks;

&. Customs prohibitions;

9. Transhipment.

F. Documentation

1. Furnishing of information to trade;

2. Publication and circulation of Customs laws and re gulations or of texts for the application of which the Customs authorities are responsible.

This programme is subject to amendment in the light of experience acquired in the course of the studies.

22.

The Customs procedures selected for examination are

first analysed and a questionnaire is then issued to Member

countries by the Secretariat of the organisation. The replies are collated to reveal the points of similarity and difference and a summary is submitted to Administrations for further study-

Each study comprises an introduction defining its scope, definitions of the technical terms used and a summary of the procedures adopted by participating countries- The questionnaire issued and countries* replies thereto are also appended. Where appropriate, the studies are accompanied by a summary of the provisions of any relevant International

Conventions™

The following four studies have been published to

date s

Study No. 1 - Importation by sea % formalities on arrival of ships prior to unloading.

Study No. 2 - Importation by sea j unloading.

Study No. 3 - Importation by inland frontiers % formalities on arrival, up to presen tation of goods declarations.

Study No. k - Importation by air s formalities on arrival of aircraft, up to presentation of goods declarations.

Study No. 5 - Clearance of goods for home use - is

now in preparation. It has been subdivided into several parts, the first of which, concerning the declarant and the

declaration, is almost completed.

In connection with these comparative studies of Customs procedures (although this question is not included in the programme referred to above) the Committee has carried out a study on "Customs surveillance zones", and circulated the information obtained to Member Administrations. These

zones are areas adjacent to the land frontier or the coast line, within which, in certain countries, the movement and storage of goods, or of certain classes of goods, are subject to special Customs control.

23

It should be remarked that, incidental to the prepa ration of these studies, the Committee has instructed the Secretariat to obtain and collate information on the organisa

tion and operation of Members' Customs_Administrations. THe arcnTves~In"£Ke~possession of tHe~SecriEarIaE~IncIu3e7 in ad

dition to this information (which has also been reproduced and circulated), specimens of many of the Customs forms in

use in Member countries.

A further task which have been undertaken, largely on the initiative of the Committee in connection with the study of Customs procedures, is that of the preparation of a Glossary of Customs terms, which will eventually cover the wKoIe"ri3I3~oF"EE5"CouncTl»s work and thus provide a compre hensive collection of definitions of Customs terms, for use not only by national Administrations but also in international agreements relating to Customs matters. It will create an international language in the field of Customs technique com parable to that which already exists in the field of tariff nomenclature. Two instalments have already been circulated and a third is now in preparation.

3- Particular questions

The particular questions dealt with by the Committee, unlike the systematic studies mentioned above, do not consti tute a logical sequence included in a prescribed programme.

They originate in many ways, some of them because the Customs techniques involved in problems under consideration in other Organisations, or in international discussions, seem to merit further consideration; others because they are current pro blems in one or more Member Administrations for which uniform

solutions seem to be desirable. The discussion of some ques tions moreover points to the need for consideration of comple mentary or incidental questions. Further, questions are sug gested by Members as useful topics for an exchange of views. -

Where it appears that positive steps could be taken by the Council towards harmonising or improving Customs tech niques, particularly if they would be in the interest of international trade, the examination is carried to the point where such steps can be suggested.

In other cases the examination may not be carried beyond the stage of assembling and recording information re garding practices in Member countries for use by interested Administrations.

In further cases, it may be found desirable to post pone consideration of positive action by the Council pending

completion of discussions (usually covering a wider field than that of pure Customs techniques) proceeding in another

Organisation. In such cases any Customs principles involved

are usually discussed by the Committee to ensure that Members' delegations to the Organisation concerned are aware of the points of view of all other Members of the Council.

These considerations enable the particular questions examined by the Council to be discussed under four heads,vizs

(a) Questions which have led to the establishment of international Conventions or of Council Recommen dations.

(b) Questions, settled to the satisfaction of inte rested Administrations, considered not to warrant study at a general level.

(c) Questions under discussion in other organisations, having aspects of particular interest to the

Council.

(d) Work in progress and other questions dealt with

by the Committee.

(a) Questions which have led to the

establishment of international Conventions or of Council Recommendations

la International Convention regarding E.C.S. carnets for commercial samples (Bulletins flos. 1 to 6)

This Convention, drafted by the Permanent Technical Committee, was adopted by the Council in December 1955 and came into force on 3rd October 1957»

The following countries are Parties to this Conventions Austria, Denmark, France, Haiti; Ireland, Israel, Italy,

Netherlands, Norway, Portugal, Spain, Sweden, Switzerland, Turkey and the United Kingdom of Great Britain and Northern Ireland. Further to a Council Recommendation that Members

should provisionally give effect to the Convention pending signature and ratification (Bulletin No. 2, page 6*3}, Belgium, Luxembourg and the Federal Republic of Germany also apply this

Convention.

25.

Under the original text of the Convention, it was open only to Members of the Council; however, having regard to proposals made by representatives of international trade for the extension of the facilities offered by the Convention over the widest possible field, the Council recommended at its meeting in June I960 that Contracting Parties should ac cept certain amendments opening the Convention to all coun

tries. These amendments came into force on 7 July 1961.

The aim of the Convention is to permit the optional use of the E.C.S, carnet instead of the usual national docu ments prescribed in each country for the temporary importation

of commercial samples. In other respects it in no way affects the regulations applicable in the countries concerned.

The Convention defines the E.C.S. carnet and lays down the conditions covering its issue and use. Contracting Parties undertake to accept as valid E.C.S. carnets issued and used in the prescribed conditions, the obligations of guaranteeing associations being specified.

In principle, the practice introduced by this Conven tion is similar, as regards the issuing and guarantee arrange ments, to that used for Carnets de Passages en douane for private motor vehicles. The E.C.S. carnets and their method of use are of course somewhat different from the vehicle car- nets because of their specific purpose and the need to provide for split re-exportation of samples.

2. International Convention on the temporary importation

of packings

This Convention was prepared by the Permanent Technical Committee in collaboration with the Contracting Parties to the General Agreement on Tariffs and Trade (GATT) and with the as

sistance of the International Chamber of Commerce (ICC). It was adopted by the Council at its Session in June I960 and

opened for signature at the Council's Headquarters on 6 October

I960.

Any State Member of the Customs Co-operation Council and any State Member of the United Nations or its specialised agencies may become a Contracting Party.

26.

Ten countries have so far signed the Convention s Austria, Belgium, Cuba, France, Germany (Federal Republic of) Italy, Luxembourg, Sweden, Switzerland and Turkey, and one country has acceded thereto % Israel.

This Convention meets a wish frequently expressed by representatives of international trade for the extension of temporary duty-free importation procedures to packings. The Contracting Parties undertake to grant temporary admission to packings, subject to the conditions specified in the Con vention, and to accept an undertaking to re-export the packings in lieu of security wherever the Customs authorities deem this

possible.

3. International Convention on the temporary importation of professional equipment

The Convention on the temporary duty-free importation of professional equipment was drawn up by the Committee in collaboration with the Contracting Parties to the General Agreement on Tariffs and Trade (GATT), and in consultation with the United Nations Educational, Scientific and Cultural

Organisation (UNESCO), the International Chamber of Commerce (ICC) and the European Broadcasting Union (EBU). It was adop ted during the Council's Session in June 1961 and is now open for signature at the Headquarters of the Council.

As with the preceding Conventions, any State Member of the Council and any State Member of the United Nations or its specialised agencies may become a Contracting Party.

•-

This Convention is designed to facilitate the inter national exchange of specialised skills and techniques by the adoption of general rules on the temporary duty-free importa tion of professional equipment.

It has three Annexes :

\

- Annex A rebates to equipment for the press or for

sound or television broadcasting;

- Annex B concerns cinematographic equipment;

- Annex C covers other professional equipment.

27

Each Annex contains an illustrative list of the equipment coneerned.

These three Annexes constitute, in effect, three separate Conventions, since Contracting Parties are free to

accede to one or more Annexes.

4. International Convention concerning Customs facilities for the importation of goods for display or use at exhibitions, fairs- meetings or similar events

This Convention was established by the Permanent Technical Committee in consultation with the Economic Commis

sion for Europe (ECE), the United Nations Educational, Scientific and Cultural Organisation (UNESCO), the Inter national Chamber of Commerce (ICC) and the Union of Inter national Fairs (UIF). It was approved at the Council's

Session in June 1961 and is at present open for signature at the Headquarters of the Council.

As with the preceding Conventions, any State Member of the Council and any State Member of the United Nations or its specialised agencies may become a Contracting Party.

The purpose of this Convention is to facilitate the display of goods at exhibitions, fairs, meetings, or similar events of a commercial, technical, religious, educational, scientific, cultural or charitable nature. Its entry into force will afford considerable advantages to international trade and promote the international exchange of ideas and knowledge•

The Convention deals, in particular, with s

the temporary admission of goods and equipment fcr display or use at an event;

- the waiving of import duties in respect of certain goods (small samples, goods consumed or destroyed in the course of demonstration, products of low value used up at an event, printed matter, cata

logues, etc. };

the simplification of formalities on importation and re-exportation.

5. Recommendation to facilitate the temporary exportation of goods sent from one country for processing or repair in another (Bulletins Hos. 3

and 6)

This Recommendation provides for the use of a form

entitled "Information Document", a model of which is appended

thereto. Countries accepting the Recommendation are free to introduce, by bilateral arrangements, modifications in the form and use of the document to suit particular circumstances.

The exporter of the goods is not obliged to use an

information document, and in any case its use is restricted

to transactions in which it would not otherwise be possible to identify the goods on re-importation and where the Customs

of the processing country are in a position to supply the

necessary information.

The Council has since issued a new Recommendation

amending the original text to enable the use of the informa

tion document even in cases where the goods to be processed

or repaired are admitted free of duty into the country of

temporary importation.

6. Recommendation concerning the repayment nr remission of duties on goods refused by the importer as not conforming to contract

This Recommendation provides broadly for the repay

ment or remission of import duties and taxes in respect of goods imported under a firm contract of sale and found to be

defective or otherwise not in accordance with that contract and which, with the consent of the supplier, are returned abroad or destroyed under official control-

In addition to proof that the goods in respect of

which a repayment or remission is being claimed are identical

with the imported goods, countries may require that the re payment or remission should be subject to certain other condi tions laid down in the Recommendation.

Finally, Members are recommended to take all neces sary steps to ensure that the procedure for claiming repayment or remission is as simple as possible and that decisions are reached without delay.

29.

7. Recommendation on samples to be regarded as being of negligible value within the meaning of the Inter national Convention to facilitate the importation of

co—wcial samples and advertising material (Bulletin No. 3) With a view to facilitating the implementation of Article II of the 1952 Geneva Convention concerning the duty- free admission of samples of negligible value, the Committee has drawn up an illustrative list of samples regarded as being

of negligible value.

This lists which specifies four categories of such samples, is the subject of a Council Recommendation.

6\ Recommendation on the use of temporary importation papers in respect of radio and television vans

(Bulletins Nos. 2 and 5J

This is a Council Recommendation that, when Members allow temporary duty-free importation of the vehicles and equipment in question, it should be permitted under cover of the same documents (triptyques or carnets de passages en douane) as are used in the case of the temporary importation

of touring vehicles,

9. Recommendation concerning the Customs treatment of provisions carried on certain international express trains (Bulletins Nos. If and 5)

This Recommendation provides for the admission free of duties and taxes of foodstuffs, non-alcoholic beverages, beer and wine (including champagne and sparkling wine), im ported as provisions in these trains- Such goods must have been purchased only in the countries crossed by the inter national line operated by the company,, They must have paid internal duties and taxes in the country where they were pur chased together with, if applicable, any import duties and taxes chargeable in that country; their consumption on an

international line must not involve the repayment of duties and taxes nor the granting of all or part of any of the advan tages allowed in respect of exportations. Such goods must be sold solely for the purpose of consumption on board these trains and their sale for "taking away" is prohibited. The quantities must not exceed the minimum required for the normal provisioning of restaurant-cars for one complete outward or

inward journey,

30.

10. Recommendation concerning the Customs treatment of provisions carried in restaurant-cars. pullman-cars.

sleeping-cars and similar^ cars on international express trains

This Recommendation extends the benefits of the pre ceding Recommendation to the cases cited- It was adopted by the Council on 16 June I960,

11• Recommendation concerning tax-free shops

This was adopted on 16 June I960 and recommends s (i) that tax-free shops and similar establishments

should not be installed at places other than seaports or Customs airports^

(ii) that sales in tax~free shops should be limited to travellers leaving for abroad by sea or air.

The aim of this Recommendation is to prevent such sales at land frontiers where there is a serious risk of fraui.

(b) Questions settled to the satisfaction of interested Administrations and considered not

to warrant study at general level

These are questions raised by Members and dealt with by the Committee without action by the Council. Members*

replies were communicated to the Administrations concerned and a commentary on the questions was published in the Council Bulletins. The questions are as follows g

- Disposal of damaged goods refused importation for reasons of public health (Bulletins Nos. 2 and 5) - Temporary importation of collections of cloth or

paper patterns for model dresses (Bulletins Nos. 2,

3 and 5)

- Temporary importation of workshop vehicles (Bulletins Nos. 2 and 5)

31.

- Temporary importation of travelling fairground amusementsP circuses and skating rinks (Bulletins Nos. 2 and 5)

- Standardisation of "ship's declarations" (Commer cial manifests and ship's reports) (Bulletin No.

5)

- Transitional clause in the event of the introduc tion of new Customs measures (duties, quantitative

restrictions, etc.) (Bulletins Nos. 3, k and 5)

- Air traffic s international airports (Bulletin

No. 5)

=■ Air traffic s inwards and outwards procedures (Bulletin No. 5)

- Air traffic i co-operation to prevent smuggling by private aircraft (Bulletin No. 5)

Free ports and free zones in Europe (Bulletins Nos. 3 and 5)

- Reduction of number of copies of Customs declara tions for postal parcels (Bulletin Nos. 5 and 6).

The Committee has also discussed various questions not formally included in its Agenda, viz g

- Administrative checks on clearance procedures (Bulletin No. 5)

- Temporary duty-free importation of household goods subsequently to be re-exported (Bulletins Nos, 2 and 5)

Customs formalities applicable to the exportation and transit of goods carried by air (Bulletin No.

5)

- Export goods (Bulletin No. 5)

- Procedures for controlling facilities granted to tourists (Bulletin No. 5)

- Delivery of duty-free goods to travellers (Bulletin No. 5)«

32.

The following questions have been raised by Members but have not, at least so far, been commented on in the

Council*» Bulletins ;

- Customs responsibility for goods imported by sea - Unloading and storage of inflammable goods

- Facilities for the duty-free admission of antiques and conditions applicable

- Duty and tax-free admission of samples of fabrics,

leather, etc.

- Articles imported as "gifts"

- Payment of duty on shortages

- Duty-free admission of pharmaceutical samples - Duty-free admission of printed matter imported by

foreign airlines

- Claims for refund of duties in respect of goods already cleared and removed from Customs custody Parcels imported by post

/ - Rewards paid for information regarding Customs offences.

Extensive documentation concerning the above ques tions is held in the archives of the Customs Co-operation Council and can be made available to interested countries.

33.

(c) Questions under discussion in other organisations. having aspects of

particular interest to the Council

1. Origin of goods (Bulletins Nos. 1 and 5)

This question had already been the subject of study- by the League of Nations and subsequently by the Customs Committee of the European Customs Union Study Group, which left in the Council*s archives the information it had collated concerning Members* regulations on the origin of goods*

This question was also under active consideration, at that time, by the Contracting Parties to the GATT; its inclusion in the agenda of the 1st Session of the Permanent Technical Committee had the object of providing for a preli minary exchange of views on the replies to be furnished by Members to a questionnaire issued by the GATT Secretariat.

2. Touring; motor cars (Bulletin No. 5)

From its establishment the Council has kept in touch, through its Permanent Technical Committee, with developments in the Customs techniques involved in controlling the movement of touring cars across frontiers. This question was already the subject of long-standing International Conventions and is under consideration by other international organisations. The Committee has had a number of general discussions on the topic,

3. Simplification of export documents (Bulletins Nos. i*

and 5 )

At the 16th Congress of the International Chamber of Commerce (Naples, 1957) a proposal was made for the interna tional standardisation of commercial export documents.

The Committee, whilst recognising the Customs inte rest in the international standardisation of documents, many, or perhaps even all, of which might be used for Customs checks on importation into the country of consignment as well as on exportation from the country of shipment, did not consider that proposal to be ripe for detailed examination by the Coun cil. The Secretariat was instructed to keep in touch with developments, and to inform the ICC of the Council's interest

in the matter,

3k.