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CHINESE QUOTA ISSUES -
Update | ||
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The latest
statement of the Chinese Ministry of Commerce (MOCOM - Statement 79),
issued on 29 September 2007 is refering to the TRQ quota for 2008 and the
associated Rules. Please find here
a quick summary about the content of the statement: (Source: AWIS –
Australian Wool Industry
Secretariat) ü
The quota amounts
for 2008 remain unchanged at 287 mkg for raw wool and 80
mkg for tops. ü
The Rules have
been changed to favour processors and genuine importers
by: ·
Restricting
applications to existing applicants or to new processors with a 5 mkg
capacity. ·
Reducing the
“live” length of a quota from six to four months.
·
Tightening up the
requirements for return of unused quota.
·
Applying “quota
penalties” in the following year to those who abuse quota
obligations. ·
Making it illegal
to trade quota, punishable by relevant law and incurring a two year
suspension from eligibility to apply for quota.
The key
points are: ü
The TRQ quotas for 2008 will
be unchanged at 287 mkg for raw wool and 80 mkg for top.
ü
Quotas will be allocated on
first-come-first-served basis. ü
Applicants for quota must
provide evidence of import contracts and other relevant material when
applying for quota ü
Applications for import quotas
will not be accepted after the issued quotas reach the respective limits
of 287 and 80mkg. ü
Applications will only be
accepted from enterprises that imported raw wool or tops in 2007 and to
new processing enterprises with an annual production capacity greater than
5 mkg in 2008. ü
Applicants will need to
register “at industry and commerce administration authorities” before
January 1, 2008 and “pass the annual inspection and review by the industry
and commerce departments”. ü
Applicants must have “no
record of misconduct at the customs, industry and commence, tax bureau or
foreign exchange in the previous year” ü
Applicants must have “no
record of violating the “Interim Measure for Administration of
Agricultural Imports Tariff Rate Quota” jointly issued by MofCom and NDRC
or “Implementation Measures of 2007 TRQ Allocation for Wool and Wool
Tops”. ü
Applications must be made to
the MOFCOM authorized agencies within the jurisdiction of where the
applicants are registered. ü
Applicants which are “subject
to the regulation and administration of State Asset Supervision and
Administration Commission (SASAC) and located in
ü
Applicants without an import
contract will need to provide “relevant project approval documents
(project proposals or feasibility study reports) from relevant authorities
as well as relevant projects construction completion and inspection
reports”. Application for quota cannot be made until these documents
and reports are verified and approved. ü
There will be a review on 30
September 2008.
Applicants with “import
performance” may make multiple applications within the calendar year where
the totals (raw wool and tops) obtained before 30 September 2008 do not
exceed the actual quantities imported in 2007, as recorded by
Customs.
If
quota is still available after 30 September 2008, enterprises “that have
completed the import amount stipulated” in paragraph 2 of this section
(above) may apply for additional quota. “Approved applicants without
actual import performance may submit applications for quota, but the
amount applied for must not exceed the amount approved.”
ü
Applications are to be made
on-line and, if approved this must be done within five days.
ü
Successful applications will
be valid for four months, rather than the current six months, but with an
absolute limit of 31 December 2008. ü
An extension may be sought
beyond 31 December if the ship sales before 31 December, but reaches
ü
Quota which is not filled
within the stipulated time limit must be returned for
re-allocation. ü
MOFCOM is required to recall
quota which will not be used by the end of the year on the 15
September
Enterprises which do not
return quota within the stipulated time will be treated as not completing
the use of allocated quota in the time limit and will have their quota for
the following year reduced by the unused amount.
ü
It is illegal to forge import
contracts to obtain quota with punishment being according to the relevant
provisions of the Interim “Measures for Administration of Agricultural
Imports Tariff Rate Quota”. ü
Trading, forgery or alteration
of Quota Certificates will be treated as a criminal offence according to
the relevant law. It will also result in suspension from eligibility
for quota for two years. | |
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IWTO
- International Wool Textile Organisation | |
