RESTRICTEDWORLD TRADE
ORGANIZATIONWT/ACC/KAZ/34/Rev.2
28 May 2003
(03-2857)
Working Party on the
Accession of KazakhstanOriginal:  English
ACCESSION OF KAZAKHSTAN
Memorandum on Foreign Trade Legislation,
Changes and Amendments to the Legislation Affecting Foreign Trade
Revision
The Ministry of Industry and Trade of the Republic of Kazakhstan has submitted the
following information on the Memorandum on Foreign Trade Legislation, Changes and Amendmentsto the Legislation Affecting Foreign Trade, with the request that it be circulated to members of the
Working Party.
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The steps taken by the Republic of Kazakhstan to bring its legislation on foreign trade in line
with rules and principles set out by the WTO are reflected below.
Table 1 lists Laws on foreign trade adopted after July 2002.
Table 1
TitleSigned by the President of the
Republic of Kazakhstan
"On Changes and Amendments to the Decree of the President of the
Republic of Kazakhstan 'On Accounting'"24 June 2002
"On Geodesy and Cartography" 3 July 2002
"On Innovations" 3 July 2002
"On Changes and Amendments to Legislative Acts of the Republic of
Kazakhstan on State Registration"29 October 2002
"On Sanitary and Epidemiological Safety of the Population" 4 December 2002
"On Changes and Amendments to Legislative Acts of the Republic of
Kazakhstan on Natural Monopolies"26 December 2002
"On Changes and Amendments to Legislative Acts of the Republic of
Kazakhstan on Electronic Documents, Digital Signature, and
Informatization"7 January 2003
"On Electronic Document and Digital Signature" 7 January 2003
"On Changes and Amendments to the Law of the Republic of Kazakhstan
'On Licensing'"10 July 2002,
14 November 2002,
7 January 2003
"On Investments" 8 January 2003
"On Changes and Amendments to Legislative Acts of the Republic ofKazakhstan on Investments"8 January 2003
"On Mail Service" 8 February 2003
"On Seed Production" 8 February 2003
"On Micro-Credit Organizations" 28 March 2003
"On Changes and Amendments to the Code of the Republic of Kazakhstan
'On Taxes and Other Mandatory Payments to the Budget (Tax Code)'"from 1 June 2002 to 13 March
2003
Customs Code of the Republic of Kazakhstan 5 April 2003
"On Information" 8 May 2003
"On Changes and Amendments to Legislative Acts of the Republic ofKazakhstan on Insurance"8 May 2003
"On Changes and Amendments to Legislative Acts of the Republic of
Kazakhstan on Banking, Currency Exchange Regulation and Control"8 May 2003
"On Joint-Stock Companies" 13 May 2003
The Law "On Changes and Amendments to the Decree of the President of the Republic of
Kazakhstan 'On Accounting'" has been developed to  trigger further development and improvement of
the bookkeeping and financial accounting systems in the Republic of Kazakhstan.
The purporse of this Law is to ensure that organizations perform financial accounting
operations in conformity with the international standards.  This policy will help improve the
investment environment, and promote further the integration of the Republic of Kazakhstan into the
world economy.
The Law "On Geodesy and Cartography" has been developed to regulate legal relations
arising in the sphere of geodesy and cartography.  It sets priorities and defines order of topographic,WT/ACC/KAZ/34/Rev.2
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geodetic, and cartographic works of national or sectoral significance, and is targeted at the unification
of geodetic data, and the regulation of topographic, geodetic, and cartographic production.
The Law "On Innovations" has been developed to set the national innovation policies,
targeted at the sustainable long-term social and economic development of the Republic of Kazakhstan
by involving the latest scientific and technical achievements in production processes, as well as at theincrease of the competitive power of Kazakhstani products, and improvement of standards of living.
The Law "On Changes and Amendments to Legislative Acts of the Republic of Kazakhstan
on State Registration" has been developed to improv e the national legislation on state registration of
legal entities and registration of affiliates and representative offices for record purposes.
The Law "On Sanitary and Epidemiological Safety of the Population" defines legal,
economic, and social conditions required to ensu re sanitary and epidemiological safety of the
population of the Republic of Kazakhstan.  The Law is primarily aimed to ensure fulfillment of rightsof citizens to the protection of human health, implementation of sanitary and anti-epizootic
(preventive) measures, adherence to the provisions of the current legislation on sanitary and
epidemiological safety of the population.
The Law "On Changes and Amendments to Legislative Acts of the Republic of Kazakhstan
on Natural Monopolies" introduces specific changes and amendments to the Law of the Republic ofKazakhstan "On Natural Monopolies" aimed to define  the legal platform for control and regulation of
activities of natural monopolies, and balancing interests of consumers and natural monopolies.
Also, the Law contains conceptual changes enhancing responsibilities and increasing
transparency of activities of natural monopolies; stipulates that natural monopolies be required to
approve and execute tariff estimates, coordinate  investment projects, perform obligatory annual
audits, and allocate orders on goods (works, services) to winning bidders.   
The Law stipulates that the authorized body hold public hearings involving natural
monopolists, consumers and their public associations, independent experts, and mass media.  The
discussion of proposed tariffs ensures that the process of its approval is transparent and open for
public participation.
Furthermore, the Law includes provisions developed specifically to protect consumer rights.
Thus, the Law stipulates that natural monopolies provide services relating to its activities based on
standard contracts approved by the Government of the Republic of Kazakhstan.  This provision
ensures that all consumers of services supplied by natural monopolies receive equal treatment.
The Law "On Changes and Amendments to Legislative Acts of the Republic of Kazakhstan
on Electronic Documents, Digital Signature, and Informatization" has been developed with the view
to bring the Civil Code of the Republic of Kazakhstan and the Code of the Republic of Kazakhstan onAdministrative Offences in line with the Law of the Republic of Kazakhstan "On Electronic
Document and Digital Signature".  The Law will come in force on 1 July 2003.
The Law "On Electronic Document and Digital Signature" has been developed to regulate
relations, arising in the process of creation and use of electronic documents, the originators of which
are bound to the information contained therein be means of a digital signature.  The Law provides forestablishment, change, and termination of legal relations, as well as rights and responsibilities arising
in the sphere of circulation of electronic documents, including conclusion of civil contracts.  The Law
is scheduled to come in force on 1 July 2003.WT/ACC/KAZ/34/Rev.2
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The Law  "On Changes and Amendments to the Law of the Republic of Kazakhstan 'On
Licensing'" introduces changes and amendments aimed to improve a number of provisions of the Law
of the Republic of Kazakhstan "On Licensing" regulating relations in the sphere of state licensing.
The Law contains changed conditions for re-registration and termination of licenses; expanded list of
activities subject to licensing including high-risk activities of national significance, activities relatingto the use of pesticides (crop protection products); expanded list of activities relating to services
provided to natural persons and legal entities, including:  verification of the public key used in a
digital signature and the private key, and verification of registration certificates (this variant of the
Law will come in force on 1 July 2003).
The Law "On Investments" gives a clear definitio n of investments and investment activities,
ensure equal treatment for domestic and foreign investors, including a number of guarantees.  The
Law guarantees legal protection to investors operating in the Republic of Kazakhstan, use of income,transparency of activities of public bodies regarding investors, rights of investors ensuing from
nationalization and requisition procedures undertaken by the State.
The Law "On Changes and Amendments to Legislative Acts of the Republic of Kazakhstan
on Investments" introduces changes and amendments to a number of legislative acts of the Republic
of Kazakhstan in order to bring them in line with the Law of the Republic of Kazakhstan "OnInvestments".
Inter alia, the Law amends the Law of the Republic of Kazakhstan "On Farming", the Code
of the Republic of Kazakhstan "On Taxes and Other Mandatory Payments to the Budget" regarding
order for granting investment preferences.
The Law "On Mail Services" regulates public relations in the sphere of mail services, defines
rights and responsibilities of agents of mail services, as well as the authority of public bodies in this
sphere.
The Law "On Seed Production" defines a legal, economic, and organizational basis for
activities in the sphere of seed production and is targeted at the regulation of issues on organization
and operation of the system of seed production and state control over production, stocking,processing, storage, transportation, sale, and use of crop seeds.
The Law "On Micro-Credit Organizations" has been developed to invigorate further the
development of small businesses and micro-crediting practices in the Republic of Kazakhstan based
on market principles.  It gives ground for implementation of a reduced procedure for establishment
and operation of micro-credit organizations, and settlement of legal issues arising in the process of
micro-crediting.
The Law "On Changes and Amendments to the Code of the Republic of Kazakhstan 'On
Taxes and Other Mandatory Payments to the Budget (Tax Code)'" introduces a number of changes
and amendments targeted at the reduction of the tax burden on small businesses and agricultural
producers, invigorate further improvement of tax administration, and as a follow-up to changes
introduced into other legislative acts.
The Customs Code of the Republic of Kazakhstan has been developed to simplify customs
procedures and harmonize provisions of the customs legislation with the norms of international
customs conventions.
The pivotal principle of the Customs Code of the Republic of Kazakhstan is to provide
maximum support to the development of world trade via the adoption of standard simplified customs
rules and procedures, wide use of information technologies, improvement of customs control methodsWT/ACC/KAZ/34/Rev.2
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ensuring the required level of adherence to provisions of the customs legislation, as well as by
opening up relations with fair participants of foreign economic activities.
The Code contains a number of radically new provisions, including the precise structuring of
the order of preliminary decision-making, simplifying  customs procedures aimed at the determination
of the country of origin; enabling temporary storage of goods in the warehouses of consignees, whichreduces the volume of additional expenses incurred by participants of foreign economic activities.  In
order to create optimal environment for participants of foreign economic activities, the Code provides
for the increase in the number of the forms of customs treatment from 15 to 17, while the term of
provisional import (export) of goods has been extended from two to three years.  Leased objects may
be imported for a term specified in a leasing agreement.  The Code includes a precise description of
the order and procedures of customs clearance and declaration of goods; introduces a new form of
enforcing payment of customs duties and taxes – insurance contract (insurance policy). Insurance, as aform of enforcement of tax duties payment, has been introduced based on practices of the customs
bodies of developed countries (the United States and the European Union).
The key element of the system of calculation and collection of customs duties and taxes is
represented by the issue of customs valuation of goods, moved across the customs border.  In this
connection, the Code contains a number of articles, based on GATT/WTO general principles ofcustoms valuation. Strong emphasis is placed on customs valuation, which play a significant role in
simplification and reduction of burden created by this customs procedure on participants of foreign
economic activities.
In addition, the provisions of the Code address the issue of maximizing the compliance with
intellectual property rights, and the implementation of new customs control technologies involvingtransition from obligatory customs procedures to customs control methods based on the risk
management system.
The Law regulates relations in the sphere of informatization.  It has been developed to trigger
development and protection of information resources and data systems.  The law defines authority of
public bodies, rights and obligations of natural persons and legal entities in the informatization sphere.
The Law is aimed to introduce changes and amendments to the Laws of the Republic of
Kazakhstan "On Notary Activities" and "On Auditing", developed specifically to rectify authority of
notaries’ offices, auditing companies and public bodies on issues relating to organization of control
and enforcement mechanisms devised to ensure that private notaries, auditors (auditing organizations)
adhere to requirements of the current legislation on mandatory insurance.
The Law is primarily aimed at the implementation of measures constituting the first stage of
liberalization of exchange arrangements, and is geared towards an increase in the efficiency of use byresidents of the Republic of Kazakhstan of own and attracted financial assets; systematization of
administrative proceeding relating to exchange arrangements and discontinuation of licensing
procedures applied to least risky and practicable, at the current stage, exchange transactions.
Procedures regulating direct investments abroad are significantly simplified which will undoubtedly
create favorable conditions for expansion of production facilities, allow access for Kazakhstani goodsto new perspective market outlets, and help increase the efficiency of distribution of financial
resources.  At the same time, the Law sets conditions for direct investments, devised to ensure the
required level of safety of investments and control over financial and economic activities of foreign
enterprises, as well as guarantees against expropriation or nationalization of capital of domestic
investors.
The Law "On Joint-Stock Companies" will help strengthen protection of rights and interests
of investors on the securities market, and improve operation of joint-stock companies.WT/ACC/KAZ/34/Rev.2
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- Schedule for 2003
The List of draft laws developed by public bodies of the Republic of Kazakhstan scheduled
for adoption in this year as well as their synopsis is given in the 2003 Synoptic Table.
Additionally, several draft laws, including:  "On Commercial Secrets", "On Trade
Regulation", are currently at the final stage of development.
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