. /.WORLD TRADE
ORGANIZATIONG/VAL/52
8 January 2003
(03-0050)
Committee on Customs Valuation
SRI LANKA – DECISION CONCERNING PARAGRAPH 1 OF
ANNEX III OF THE AGREEMENT ON IMPLEMENTATION
OF ARTICLE VII OF THE GENERAL AGREEMENT
ON TARIFFS AND TRADE 1994
Decision
TAKING NOTE of the Government of Sri Lanka’s request under Paragraph 1 of Annex III of
the Agreement on Implementation of Article VII of  the General Agreement on Tariffs and Trade 1994
(“WTO Agreement on Customs Valuation”), done at Marrakesh on 15 April 1994, to extend its delay
in the application of the provisions of that Agreement;
RECOGNIZING that on 1 January 1995 , Sri Lanka became a contracting party to the WTO
Agreement on Customs Valuation and invoked paragra ph 1 of Article 20 of that Agreement to delay
application of its provisions for a period of five years from the date of entry into force of the
Agreement on 1 January 1995, and was therefore schedule d to apply the provisions of that Agreement
by 1 January 2000;
NOTING that Sri Lanka was granted a one-year delay in its application of the provisions of
the WTO Agreement on Customs Valuation from 1 January 2000 to 1 January 20011, and, due to
unforeseen developments, was granted a further delays until 31 October 20012, 30 April 20023 and
31 October 20024;
NOTING that, as indicated in its request in G/VAL/W/105, Sri Lanka’s request for a further
delay is solely due to the unavoidable circumstances resulting in an unforeseen delay in presenting thedomestic legislation for implementing the WTO Agreement on Customs Valuation to Parliament;
NOTING Sri Lanka’s long-standing commitment and considerable efforts in reforming and
modernizing its customs administration and in ensuring the effective implementation and
administration of the WTO Agreement on Customs Valuation;
CONSIDERING Sri Lanka has continued its substantial efforts to implement the provisions
of the WTO Agreement on Customs Valuation and has proceeded in completing, as scheduled, the
technical, administrative and training measures set out in its detailed work programme described in
G/VAL/23 and indicated in G/VAL/W/99;
CONSIDERING FURTHER Sri Lanka has continued its substantial efforts to complete the
domestic legal drafting process and has provided Members its draft legislation in G/VA/W/99;
CONSIDERING that Sri Lanka has and continues to  receive technical assistance in support of
the implementation and application of the WTO Agreement on Customs Valuation;
                                                     
1G/VAL/23.
2G/VAL/41.
3G/VAL/42.
4G/VAL/46.G/VAL/52
Page 2
NOTING that Sri Lanka will continue to limit the application of minimum values for customs
valuation purposes during this requested extension in the delay of its application of the WTO
Agreement on Customs Valuation to used motor vehicles classified under H.S. headings 87.01, 87.02,
87.03 and 87.04;
NOTING  that Sri Lanka will implement and apply by 28 February 2003 Paragraph 2 of the
Decision on the Valuation of Carrier Media Bearing Software for Data Processing Equipment5;
NOTING, that the Government of Sri Lanka does not use or plan to use preshipment
inspection services in customs administration and valuation;
Members, acting pursuant to the provisions of paragraph 1 of Annex III of the WTO
Agreement on Customs Valuation,
DECIDE, in view of the exceptional circumstances set out above, in particular the unforeseen
delay in the legislative process, that:
1. Subject to the terms and conditions set out hereunder, Sri Lanka may delay further the
application of the provisions of the WTO Agreement on Customs Valuation for a period not
extending beyond 28 February 2003.
2. The Government of Sri Lanka shall report to the Committee on Customs Valuation by
15 January 2003 on the progress in completing the legislative process for implementing
domestically the WTO Agreement on Customs Valuation.
3. This Decision shall not prejudice the rights and obligations of Sri Lanka under the WTO
Agreements, in particular those rights and obligations under the WTO Agreement on CustomsValuation.
__________
                                                     
5G/VAL/5.