RESTRICTEDWORLD TRADE
ORGANIZATIONG/MA/TAR/RS/88
16 October 2002
(02-5603)
Committee on Market Access Original:  English
RECTIFICATIONS AND MODIFICATIONS OF SCHEDULES
Schedule CLIII – The Separate Customs Terr itory of Taiwan, Penghu, Kinmen and Matsu
The following communication, dated 30 September 2002, has been received from the
Permanent Mission of the Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu.
_______________
The Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu submits herewith the
draft1 containing modifications and rectifications to Schedule CLIII - The Separate Customs Territory
of Taiwan, Penghu, Kinmen and Matsu, in accordance with paragraph 3 of the Decision of
26 March 1980 (BISD 27S/25), with a view to ceasing  to apply special treatment in respect of the
designated products from 1 January 2003 pursuant to paragraph 5 and 6 of Annex 5 to the Agreement
on Agriculture.
The tariff equivalent was calculated in accorda nce with the guidelines prescribed in the
Attachment to Annex 5 to the Agreement on Agriculture.
_______________
If no objection is notified to the Secretariat within three months from the date of this
document, the rectifications and modifications to Schedule CLIII – Separate Customs Territory ofTaiwan, Penghu, Kinmen and Matsu will be deemed to be approved and will be formally certified.
                                                     
1 In English only.G/MA/TAR/RS/88
Page 2
SCHEDULE CLIII – THE SEPARATE CUSTOMS TERRITORY OF
TAIWAN, PENGHU, KINMNE AND MATSU
This Schedule is authentic only in the English language
30.9.2002G/MA/TAR/RS/88
Page 3Part I – Most-Favored-Nation Tariff
SECTION I – Agricultural Products
SECTION I-A Tariffs
HEADNOTES to Section I-AG/MA/TAR/RS/88
Page 4
HS Description Bound rate
at date of
accessionFinal bound
rateImplementation SSG Present
concession
establishedINR Concession
first
incorporated
in a
GATT
ScheduleRemarks ODCs
10061000 -Rice in the husk (paddy or rough)   ST-
Annex 5
-Rice in the husk (paddy or rough) NT$45/KGM 2003 SSG 0
10062000 -Husked (brown) rice   ST-Annex 5
-Husked (brown) rice NT$45/KGM 2003 SSG 0
10063000 -Semi-milled or wholly milled rice,
whether or not polished or glazed   ST-
Annex 5
-Semi-milled or wholly milled rice,
whether or not polished or glazedNT$45/KGM 2003 SSG 0
10064000 -Broken rice   ST-Annex 5
-Broken rice NT$45/KGM 2003 SSG 0
11023010 -- Glutionus rice flour   ST-Annex 5
--Glutionus rice flour NT$49/KGM 2003 SSG 0
11023090 --Other rice flour   ST-Annex 5
--Other Rice flour NT$49/KGM 2003 SSG 0
11031400 --Groats, meal of rice   ST-Annex 5
--Groats, meal of rice NT$45/KGM 2003 SSG 0
11032910 ---Pellets of rice   ST-Annex 5
---Pellets of rice NT$49/KGM 2003 SSG 0
11041910 ---Rolled of flaked rice    ST-Annex 5
---Rolled of flaked rice NT$49/KGM 2003 SSG 0
11042920 ----Other worked rice   ST-Annex 5
----Other worked rice NT$49/KGM 2003 SSG 0
11081910 ---Rice starch   ST-Annex 5
---Rice starch NT$49/KGM 2003 SSG 0G/MA/TAR/RS/88
Page 5HS Description Bound rate
at date of
accessionFinal bound
rateImplementation SSG Present
concession
establishedINR Concession
first
incorporated
in a
GATT
ScheduleRemarks ODCs
18069061 ---Cereals (other than maize (corn)) in
grain form or in the form of flakes or other
worked grains (except flour and meal),
precooked or otherwise prepared, not
elsewhere specified or included, containing
not less than 30% of rice, containing more
than 6% but not more than 8% by weight
of cocoa calculated on a totally defatted
basis   ST-Annex 5
---Cereals (other than  maize (corn)) in
grain form or in the form of flakes or
other worked grains (except flour andmeal), precooked or otherwise prepared,
not elsewhere specified or included,containing not less than 30% of rice,
containing more than 6% but not more
than 8% by weight of cocoa calculatedon a totally defatted basisNT$49/KGM 2003 SSG 0
18069071 ---Prepared foods obtained by swelling or
roasting of cereals or cereal products (for
example, corn flakes), containing not less
than 30% of rice, containing more then 6%
but not more than 8% by weight of cocoa
calculated on a totally defatted basis ST-
Annex 5G/MA/TAR/RS/88
Page 6
HS Description Bound rate
at date of
accessionFinal bound
rateImplementation SSG Present
concession
establishedINR Concession
first
incorporated
in a
GATT
ScheduleRemarks ODCs
 ---Prepared foods ob tained by swelling
or roasting of cereals or cereal products(for example, corn fl akes),containing not
less than 30% of rice, containing more
then 6% but not more than 8% byweight of cocoa calculated on a totallydefatted basisNT$49/KGM 2003 SSG 0
18069092  Other food preparations of flour, meal,
starch or malt extract, containing not less
than 30% of rice, containing 40% or more
but less than 50% by weight of cocoa
calculated on a defatted basis, ST Annex 5
----Other food preparations of flour,
meal, starch or malt extract, containingnot less than 30% of rice, containing40% or more but less than 50% byweight of cocoa calculated on a defatted
basisNT$49/KGM 2003 SSG 0
19019091 ---Other preparations of heading No. 19.01
containing not less than 30% of rice ST-
Annex 5
---Other preparations of heading No.
19.01+ containing not less than 30% of
riceNT$49/KGM 2003 SSG 0
19021110 ---Uncooked rice pasta, not stuffed or
otherwise prepared, containing eggs ST-
Annex 5
---Uncooked rice pasta, not stuffed or
otherwise prepared , containing eggsNT$49/KGM 2003 SSG 0G/MA/TAR/RS/88
Page 7HS Description Bound rate
at date of
accessionFinal bound
rateImplementation SSG Present
concession
establishedINR Concession
first
incorporated
in a
GATT
ScheduleRemarks ODCs
19021910 ---Uncooked rice pasta, not stuffed or
otherwise prepared, not containing eggs
ST-Annex 5
---Uncooked rice pasta, not stuffed or
otherwise prepared, not containing eggsNT$49/KGM 2003 SSG 0
19022010  --Other stuffed rice pasta, whether or not
cooked or otherwise prepared  ST-Annex 5
 --Other stuffed rice pasta, whether or
not cooked or otherwise preparedNT$49/KGM 2003 SSG 0
19023020 --Other rice pasta   ST-Annex 5
--Other rice pasta NT$49/KGM 2003 SSG 0
19041020 ---Prepared foods obtained by the swelling
or roasting of cereals or cereal products,
containing not less than 30% of rice  ST-
Annex 5
---Prepared foods obtained by the
swelling or roasting of cereals or cerealproducts, containing not less than 30%of riceNT$49/KGM 2003 SSG 0
19042011 ---Prepared foods obtained from unroasted
cereal flakes, containing not less than 30%
of rice ST-Annex 5
---Prepared foods obtained from
unroasted cereal flakes, containing notless than 30% of riceNT$49/KGM 2003 SSG 0
19042021 Prepared foods obtained from mixtures of
unroasted cereal flakes and roasted cereal
flakes or swelled cereals, containing not
less than 30% of rice ST-Annex 5G/MA/TAR/RS/88
Page 8
HS Description Bound rate
at date of
accessionFinal bound
rateImplementation SSG Present
concession
establishedINR Concession
first
incorporated
in a
GATT
ScheduleRemarks ODCs
 ---Prepared foods obtained from
mixtures of unroasted cereal flakes androasted cereal flakes or swelled cereals,
containing not less than 30% of riceNT$49/KGM 2003 SSG 0
19049010  Cereals (other than maize (corn)) in grain
form, or in the form of flakes or other
worked grains (except flour and meal),
precooked or otherwise prepared, not
elsewhere specified or included, containing
not less than 30% of rice  ST-Annex 5
--Cereals (other than  maize (corn)) in
grain form, or in the form of flakes orother worked grains (except flour andmeal), precooked or otherwise prepared,
not elsewhere specified or included,
containing not lessNT$49/KGM 2003 SSG 0
21069098     ----Other food preparation containing
not less than 30% of rice   ST- Annex 5
 ----Other food preparation containing
not less than 30% of riceNT$49/KGM 2003 SSG 0G/MA/TAR/RS/88
Page 9
BASIS FOR CALCULATION OF THE TARIFF
EQUIV ALENTS
Please note that this paper is aimed at providing background information in order to assist
Members in fully understanding the draft containing modifications and rectifications to ScheduleCLIII and to ensure transparency, and that this paper does not constitute a part of the draft.G/MA/TAR/RS/88
Page 10
Basis for Calculation of the Tariff Equivalents
* Please note that this paper is aimed at providing background information in order to assist
Members in fully understanding the draft containing modifications and rectifications to
Schedule CLIII and to ensure transparency, and that this paper does not constitute a part of the draft.
1. The calculation of the tariff equivalent for rice is made in accordance with paragraphs 1, 4
and 5 prescribed in the Attachment to Annex 5 of the Agreement on Agriculture.  The data used are
“for the years 1990 to 1992” instead of “for the years 1986 to 1988” in compliance with the
commitment we made in the Paragraph 175 of Report of the Working Party on the Accession of the
Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu.
Internal price external price price gap
(NT$ /kg) (NT$ /kg) (NT$ /kg)
(a) (b) (c)
YR 1990 62 8 54
YR 1991 62 8 54YR 1992 60 9 51
Average 61 8 53
(a) For the internal price, the wholesale price ruling in the domestic market are as follows:
(i) The wholesale price of "brand polished rice", which constituted the majority share of
domestic consumption, is used as “a representative wholesale price ruling in the domestic
market”.
YearAverage of
monthly
maximum rice
(1)Average of
monthly
minimum
rice(2)(1)+(2)/2Wholesale
Price Indices Estimate
(a) x (c) / (b)
1990 --- ---(c)93.09 62
1991 --- ---(c)93.24 62
1992 --- ---(c)89.82 60
Average (1990-1992) 61
1999 96 25 60 95.58
2000 100 25 63 97.32
2001 110 27 68 96.02
Average (1999-2001) 102 26(a)64(b)96.30
       *Source: “Taiwan Food Statistics Book” and “Agricultural Statistics Monthly”
         “Price Statistics Monthly in Taiwan Area of The Republic of China”
(ii) The share of domestic consumption by “brand polished rice”
Sale Percentage of brand polished rice
FY1990                        52%
FY1991                        53%
FY1992                        53%
*Source: “Taiwan Food Statistics Book”G/MA/TAR/RS/88
Page 11
(b) For the external prices, “actual average c.i.f. unit for the importing countries” are as follows:
Import volume
(1,000kg)Import value
(NT$1,000)average c.i.f. value
(NT$/kg)
YR 1990 1,560 11,857 8
YR 1991 1,591 13,327 8
YR 1992 1,285 11,561 9
     *Source:  Monthly Statistics of Imports”, The Republic of China, Taiwan District
2. In accordance with paragraph 6 of Annex 5 to the Agreement on Agriculture, the out-of-quota
tariff rates to be applied from 1 January 2003 are established on the basis of tariff equivalents. These
rates is in compliance with “such rates as would have been applicable had a reduction of at least
15 percent been implemented over the implementation period in equal annual instalments”.
YR2003     NT$45/kg    (NT$53/kg×0.85)
3. Tariff Equivalent for Rice Products
The tariff  equivalent for “worked and/or prepared products” of rice is established “by multiplying the
specific tariff equivalent” for rice, which is “the primary agricultural product”, ”by the proportion inphysical terms” of rice ”in the worked and/or prepared products”.
NT$53/kg × 1.1 = NT$58/kg    conversion rate : 1.1
*The loss of 100 to 110kg out of 1,000kg of rice was obtained as yield testing results.
The out-of –quota tariff rates to be applied to rice products are as follows.
YR2003     NT$49/kg    (NT$58 /kg×0.85)
__________