The Agreement on Customs Valuation permitted developing countries not party to the Tokyo Round Customs Valuation Code to delay application for an initial transitional period of five years.
Developing country Members who chose to delay application of the Agreement had to notify the Director-General of the WTO accordingly (Article 20.1). This transitional period could be extended if requested and justified (Annex III: 1).
The SDT provisions of the Customs Valuation Agreement, contained in Article 20 & Annex III of the Agreement, do not specifically refer to LDCs. However, the 2001 Doha Ministerial Decision on Implementation-related Issues and Concerns urges the Council for Trade in Goods to give positive consideration to requests that may be made by least-developed country members under paragraphs 1 & 2 of Annex III of the Customs Valuation Agreement or under Article IX.3 of the WTO Agreement, as well as to take into consideration the particular circumstances of least-developed countries when setting the terms & conditions including time-frames.
Available Smooth Transition Procedures:
Utilization by LDCs:
According to WTO records, 17 LDCs resorted to Article 20.1 or Annex III: 1:
|(5 LDCs): Benin, Chad, Haiti, Madagascar, Niger||
(14 LDCs): Bangladesh, Burkina Faso, Burundi, Djibouti, Haiti, Madagascar, Mali, Mauritania, Myanmar, Senegal, Tanzania, Togo, Zambia
The countries listed in the right column but not in the left column did not notify the WTO of the use of Article 20.1. The survey indicates that this has been the case for other LDCs as well (Malawi, Nepal).
- Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade 1994 (Customs Valuation Agreement)
- 2001 Doha Ministerial Decision on Implementation-related Issues and Concerns
- WTO document G/VAL/W/77/Rev.1, 15 October 2009, “Sixth Annual Review of the Implementation and Operation of the Agreement on Implementation and Operation of the Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade 1994”
- Fourteenth Annual Review of the implementation and operation of the agreement on implementation of article VII of the General Agreement on tariffs and trade 1994 (G/VAL/W/171/Rev.1), 15 October 2009
- Twenty-Third Annual Review of the implementation and operation of the agreement on implementation of article VII of the General Agreement on tariffs and trade 1994 (G/L/1198), 8 November 2017