Amendments related to Foreign Trade

Amendments related to Foreign Trade

By Baker & McKenzie

During December 2003, several legal provisions regarding foreign trade were published in the Federal Official Gazette.

We consider the most relevant amendments to be the following:

Decree amending the one that establishes several Sectoral Promotion Programs (the "PROSEC Decree").
Published on December 31, 2003

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Besides the addition and elimination of several tariff items from the PROSEC Decree, Sector II (Electronic Industry) is divided to extend the number of goods that may be imported under the PROSEC Decree, to be used as materials for the manufacture of new goods of this sector.For that purpose, a new array of finished products is included in section b) of article 4 and, in the same way, new materials are included in sections xi, xii, xiv and xix of article 5.

It should be noted that the amendments to the PROSEC Decree, published on December 31, 2003, will be in force as of January 30, 2004, except for those regarding the elimination of tariff items mentioned in article three of the PROSEC Decree, and of tariff items 8518.5001 and 8540.11.05, which will enter into force 180 days after publication in the Federal Official Gazette.

Decree which creates, amends and eliminates several duties from the General Import and Export Duties Law, and updates applicable duty rates for several Treaties and Commercial Agreements entered into by the United Mexican States.
Published on December 31, 2003.

Under this Decree, import duty rates for several tariff items are created, amended or eliminated. Likewise, duty rates corresponding to several free trade agreements and other commercial agreements entered into by Mexico are amended.

Decree amending the one that sets forth the application of Economic Complementation Agreement number 8, entered into by and between the Government of the United Mexican States and the Government of the Republic of Peru.
Published on December 31, 2003.

The first transitory provision of this Decree is amended to extend its validity from December 31, 2003 until December 31, 2005.

Decree amending the one that establishes duty rates applicable for the Border Zone and the Northern Border Zone.
Published on December 31, 2003.

Several tariff items are added and eliminated from the Decree.

Import and Export Quotas

During December, 14 import quotas and 12 export quotas were published in the Federal Official Gazette.

Accord that makes public the internet reception module for applications to register products eligible for preferential duty treatment to secure ALADI certificates of origin; products eligible for preferential duty treatment to secure GSP certificates of origin, and questionnaire to secure the circulation certificate EUR1 or the category of authorized exporter.
Published on December 11, 2003.

This Accord states that individuals or legal entities that have a Company Access Code for the Procedural Information System ("CAESIT"), may file the above-mentioned applications, through the Ministry of Economy´s internet site www.economia.gob.mx

Accord that modifies the one that Establishes the Classification and Codification of Merchandise whose importation is regulated by the Ministry of Economy.
Published on December 15, 2003 and a clarification on December 30, 2003.

The restriction that prevailed in Mexico for importing several used goods, when bound to definitive, temporary importation or fiscal deposit regimes is repealed.

Draft Official Mexican Standard PROY-NOM-162-SCFI-2003, Electronics-Audio and video- Recorded Compact discs such as audio, data or videogames – Commercial information and manufacturer identification.
Published on December 16, 2003.

The purpose of this Standard is to establish commercial and identification information that must be included in recorded compact discs such as audio, video, data or videogames sold within Mexico. This Draft Standard was published for public consultation, so that interested parties may provide their comments within 60 days following its publication (prior to February 16, 2004).

Accord modifying the one that Establishes the Classification and Codification of Merchandise whose importation is regulated by the Ministry of Agriculture, Cattle, Rural Development, Fisheries and Food ("SAGARPA")
Published on December 24, 2003.

An exception to the application of this Accord is included for products, waste and byproducts destined to the definitive importation regime, after having been obtained in Mexico through a production process performed by companies that have secured authorized programs from the Ministry of Economy.

This exception is only applicable provided that the merchandise from which such products, wastes or byproducts derive, has been imported under the Maquila Decree or the PITEX Decree, and as long as at the time of their importation into Mexico, such merchandise have complied with applicable phyto-zoo-sanitary regulations. In the past, this exception existed when the abovementioned goods were imported under the PROSEC Decree.

Additionally, this Accord describes the aquatic organisms which importation is subject to an Aquatic Health Certificate from the General Direction of Aquaculture or SAGARPA´s Federal Offices, and the inspection at the point of entry into Mexico. In the past, this obligation was included in the accord that establishes the classification and codification of goods whose importation is regulated by the Ministry the Environment and Natural Resources (the "SEMARNAT Accord").

Provisions regarding Vehicle Importation

Different legal provisions were published in this regard during December 2003.

-	Accord that establishes the new vehicle importers registry, when more than one vehicle per year is imported;
-	Accord that defines automotive industry manufacturing companies;
-	Accord that makes public environmental considerations applicable upon importation of new vehicles from the United States of America and Canada.

SEMARNAT Accord
Published on December 30, 2003.

Among other amendments, it introduces the obligation of filing a CITES certificate upon exporting certain goods, or the corresponding import or export authorization. In the past, these requirements were only mandatory upon importation.

By Baker & McKenzie

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