International Trade Newsletter – September 2019

INTERNATIONAL TRADE AND CUSTOMS NEWSLETTER

COMMENTS TO MOST IMPORTANT REGULATIONS

Statutory regulation of Free Zone Law and Trade Zone of Tacna is approved

The Supreme Decree No. 023-2019-SA was published on September 24, 2019, through which the Regulation of Article 11-A of Law No. 27688, Free Zone Law and Trade Zone of Tacna was approved. This regulation establishes the requirements, procedures and conditions that must be met by users of ZOFRATACNA (Free Trade Zone of Tacna) and the Trade Zone of Tacna, for the entry of restricted goods for use and final consumption that are on the list of goods authorized, for entry from ZOFRATACNA to the Trade Zone of Tacna in order to protect the health of final consumers.

The main provisions contained in this regulation are as follows:

1. The requirements, procedures and conditions that the users of ZOFRATACNA and the Trade Zone of Tacna are required to enter: (i) Industrialized food; and, (ii) Cosmetic products, household hygiene products and personal hygiene absorbent products included in the Andean Community Decisions.

2. Provisions related to the entry of industrialized food into the Trade Zone of Tacna are approved, for which it is required to have the Sanitary Registry or Certificate of Sanitary Registration of Imported Product, as well as comply with the other legal provisions in force.
3. Provisions related to importation and trade of cosmetic products, household hygiene products and personal hygiene absorbent products are adopted and must be authorized in advance by the Regional Health Directorate of Tacna.

In turn, the requirements to be taken into account to request such authorization, as well as the sanitary conditions of storage, are indicated.

4. The obligation to have a Mandatory Sanitary Notification or benefit for an existing Mandatory Sanitary Notification in accordance with the harmonized standards in the Andean Community.
5. It is established that the ZOFRATACNA Management Committee will be responsible for authorizing the exit of industrialized food or cosmetic products, household hygiene products and personal hygiene absorbent products destined for the Tacna Trade Zone, for which it will verify the Sanitary Registry or Certificate of Sanitary Registration of Imported Product or the Mandatory Sanitary Notification or the certificate of acceptance.
6. Offenses and penalties are established for cosmetic products, household hygiene products and personal hygiene absorbent products, as detailed below:

ITEM	OFFENSE	PENALTY
1	For importing and marketing products without the Mandatory Sanitary Notification or certificate of acceptance to a Mandatory Sanitary Notification.	Product confiscation.
2	For not having the established sanitary conditions.	Product confiscation or fine for 0.1 UIT
3	For not complying with good storage practices.	Product confiscation or fine for 1 UIT

Statutory regulation regarding the extraction and analysis of samples of metal ore concentrates are approved On September 21, 2019, Superintendency Resolution No. 183-2019-SUNAT was published, through which a special procedure for the “Extraction and analysis of samples of metal ores concentrates” DESPA-PE.00.20 (VERSION 1) was approved, with the purpose of establishing guidelines that regulate the process of extraction and analysis of samples and counter-samples of metal ore concentrates during customs clearance.The main regulations contained in the standard under comment are as follows:

• It is specified that this new procedure is applicable in: (i) the entry into the country of selected metal ores concentrates to physical examination, and (ii) the exit from the country of metal ores concentrates.
• In turn, the applicable standards are indicated according to the type of metal ore concentrate to be evaluated for the extraction of the sample and counter-samples, as well as with respect to moisture analysis.

It should be noted that the extraction supervision of the sample and counter-samples and the determination of the humidity, in case of loading by strip, pipe or other similar means with automated sample taker, is carried out by an accredited laboratory for testing and sampling. Said extraction will be carried out by a laboratory accredited before the National Institute of Quality – INACAL other than the owner, consignee or consignor of the goods. The Customs Authority may participate in the process of extraction and supervision of samples and counter samples.

• It is established that notifications containing results of the analysis carried out in accordance with the procedure under analysis will be made through the SUNAT – SOL electronic mailbox, specifying that the requests of the customs clearance officer, owner, consignee or consignor of the goods can be transmitted through their User Electronic Box (CEU) to the Customs Corporate Electronic Box (CECA).
• It is required that the customs clearance officer, the owner, consignee or consignor, must specify in the “Certificate of receipt of samples and counter-samples”, as a sworn statement, the payable and penalizable elements of the metal mineral concentrates as indicated in the international purchase and sale contract.
• The procedure for requesting second analysis and decisive analysis of the samples and counter-samples of the metal ores concentrates is regulated, for which specific time limits are calculated from the working day following the date of the document deposit in the SUNAT–SOL mailbox.
• It is specified to what is not provided for in this procedure and provisions of the general procedure for “Physical examination-sample extraction and analysis” DESPA-PE.00.03 (version 3) are applied.

Statutory regulation of supplementary and/or complementary application to the provisions on the extraction and analysis of samples of metal ore concentrates in import and export processes are amended On September 21, 2019, the Superintendence Resolution No. 183-2019-SUNAT was published, through which: 1. Various provisions of the general procedure were amended for the “Physical examination” – sample extraction and analysis” DESPA-PE.00.03 (version 3) [of a supplementary application to the special procedure for metal ores concentrates]; and,2. New provisions were added into the general procedure for the “Final export” DESPA-PG.02 (version 6) especially applicable to the export of metal ores concentrates, including the following:

• It is necessary to suspend the deadline to regularize the declaration, selected for documentary review, with the result notification of the first composition analysis and its extension contained in the chemical bulletin; until (i) its express acceptance or (ii) expiration of the deadline to request the second analysis, without requiring it, (iii) notification of the result of the second analysis, or (iv) notification of the result of the final confirmation analysis.
• It is established that the customs clearance officer automatically rectifies the description of goods or the national subheading entered in the corresponding DAM considering the result of the first, second and/or the last analysis (conclusive).
• Such rectification will be notified to the customs agent or exporter and will be challenged in accordance with the regulations of the Tax Code.

OTHER CURRENT NEWS

It provides for the implementation of various provisions related to the issuance of certificates of origin under the scope of the Free Trade Agreement between Peru and Chile.

On September 28, 2019, the Supreme Decree No. 008-2019-MINCETUR was published, through which the implementation of Decisions No. 3, 4, 5, 6 and 8 approved by the Administrative Commission of the Free Trade Agreement between the Government of the Republic of Peru and the Government of the Republic of Chile is provided, amending and replacing ACE No. 38, its annexes, appendices, protocols and other instruments that have been signed under its protection, with the purpose of updating the certification of origin under this Agreement, as well as to properly identify the goods included in the NALADISA 2012 (tariff nomenclature for the countries of the Latin American Integration Association – LAIA, within which Peru and Chile are located) on which the respective certification of origin will be applicable.

First, Decision N° 3 provides for updating the Tariff Nomenclature used in the Agreement to the NALADISA 2012 version, in order to better identify the goods included therein. Therefore, it is decided to update the tariff nomenclature and subheadings to NALADISA 2012.

Second, Decision N° 4 provides for the creation of the Market Access Committee to deal with matters related to Chapter 3 (Trade in Goods). The main functions of this Committee include:

• Ensure compliance and the correct application and interpretation of the provisions of the Chapter on Trade in Goods.
• Serve as a discussion forum.
• Address obstacles to trade in goods between the parties.
• Make relevant recommendations.
• Coordinate information exchange between the parties.
• Foster cooperation for the application and implementation of Chapter 3 (Trade in Goods).
• Consult and manage any difference between the parties in matters related to the tariff classification of goods under NALADISA.
• Propose the creation of Working Groups.

Third, Annex 4.5 (Specific Rules of Origin) and Appendix 1 List of “Non-Produced” of the Textile Sector of Decision No. 5 of the Agreement establish the need for a new procedure linked to the preparation of the list low supply and establish a Committee that will know the issues related to the aforementioned matters.

Fourth, Decision No. 6, guidelines are established on the characteristics and requirements of certificates of origin. This, in order to provide an interpretation that facilitates the correct application of the Agreement.

Finally, Decision N ° 8 provides for the establishment of the Committee on Rules of Origin to deal with matters related to Chapter 4 (Origin Regime). The main functions of this Committee are the following:

• Monitor compliance and the correct application of the Origin Regime.
• Evaluate and propose adjustments or amendments to the Specific Rules of Origin and the list of “Not produced” in the Textile sector.
• Propose amendments to the Origin Regime.

RECOMMENDATION

On rejections of Drawback requests for formal issues

On the occasion of the recurring legal advice that we provide to various clients, we have announced the special emphasis that the Customs Administration is currently putting on formal aspects related to the processing of Drawback requests transmitted via WEB by the producing – exporting companies.

Said greater control or rigor of formal requirements has generated several questions that cause Drawback requests to be rejected, consequently preventing their subsequent processing.

This action not only results in the need to initiate legal proceedings (complaints) but also seriously affects the liquidity of exporting companies.

In view of this, it is especially important to carry out a special preventive review of compliance with formal requirements related to the processing of these applications before they are submitted to Customs.