. /.WORLD TRADE
ORGANIZATIONG/VAL/41
30 March 2001
(01-1615)
Committee on Customs Valuation
COMMUNICATION FROM SRI LANKA CONCERNING ANNEX III, PARAGRAPH 1,
OF THE AGREEMENT ON IMPLEMENTATION OF ARTICLE VII OF
THE GENERAL AGREEMENT ON TARIFFS AND TRADE 1994
Decision
The following Decision concerning the reserve by Sri Lanka under paragraph 1 of Annex III
of the Agreement was adopted by the Committee on Customs Valuation on 29 November 20001.
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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 delayin 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 theAgreement 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 2001
2, and, due to
unforeseen developments, has requested a further delay;
NOTING that Sri Lanka’s request for a further delay is solely due to the unforeseen delays in
the passage of the domestic legislation for implementing the WTO Agreement on Customs Valuation;
NOTING Sri Lanka’s long-standing commitment and considerable efforts in reforming and
modernizing its customs administration and in ensuring the effective implementation andadministration of the WTO Agreement on Customs Valuation;
CONSIDERING, as indicated in G/VAL/N/ 4/LKA/1 and G/VAL/N/ 4/LKA/1/Corr.1, 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 andtraining measures set out in its detailed work programme described in G/VAL/23;
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;
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
                                                     
1 See document G/VAL/M/17.
2G/VAL/23G/VAL/41
Page 2
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 31 October 2001 Paragraph 2 of the
Decision on the Valuation of Carrier Media Bear ing Software for Data Processing Equipment3;
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 WT O Agreement on Customs Valuation for a
period not extending beyond 31 October 2001.
2. The Government of Sri Lanka shall report to the Committee on Customs Valuation by
30 July 2001 on the progress in completing th e legislative process for implementing
domestically the WTO Agreement on Customs Valuation.
3. This Decision shall not prejudice the righ ts and obligations of Sri Lanka under the
WTO Agreements, in particular those rights and obligations under the WTO
Agreement on Customs Valuation.
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3G/VAL/5