RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/ACC/SPEC/KHM/4 
24 March 2003 
 (03-1682) 
Working Party on the 
Accession of Cambodia  
 
 
 
DRAFT REPORT OF THE WORKING PARTY 
 ON THE ACCESSION OF CAMBODIA 
 
Introduction  
1. The Government of the Kingdom of Cambodia applied for accession to the World Trade 
Organization in December 1994.  At its meeti ng on 21 December 1994, the Preparatory Committee 
for the WTO established a Working Party to examine the application of the Government of Cambodia 
to accede to the World Trade Organization unde r Article XII of the Marrakesh Agreement 
establishing the WTO.  The terms of reference and the membership of the Working Party are 
reproduced in document WT/ACC/KHM/1/[Rev.4]. 
2. The Working Party met on 22 May 2001;  14 February and 14 November 2002;  [16 April 
2003] and ……….. under the Chairmanship of Mr. A. Meloni (Italy). 
Documentation provided  
3. The Working Party had before it, to serve as a basis for its discussions, a Memorandum on the 
Foreign Trade Regime of Cambodia (document WT/ACC/KHM/2), the questions submitted by 
Members on the foreign trade regime of Cambodia,  together with the replies thereto, and other 
information provided by the authorities of Cambodia (WT/ACC/KHM/3;  WT/ACC/KHM/6;  WT/ACC/KHM/7 and Revisions 1 and 2;  WT /ACC/KHM/8;  WT/ACC/KHM/9;  WT/ACC/KHM/10 
and Revisions 1 and 2;  WT/ACC/KHM/12;  WT /ACC/KHM/13 and Revision 1;  WT/ACC/KHM/14 
and Revision 1;  WT/ACC/KHM/15 and Revisi on 1;  WT/ACC/KHM/16 and Revision 1;  
WT/ACC/KHM/17 and Revision 1;  WT/ACC/KHM/18;  WT/ACC/KHM/20;  ………), including the legislative texts and other documentation listed in Annex I. 
Introductory statements
 
4. The representative of Cambodia said that Cambodia had embarked on a process of 
fundamental political and economic reforms since th e adoption of a new Constitution in 1993, which 
had restored the constitutional monarchy in his country.  However, Cambodia was still heavily WT/ACC/SPEC/KHM/4 
Page 2  
 
marked by two decades of armed conflict, which ha d resulted in important losses of human resources, 
and political and economic instability.  The lack of skilled manpower remained a major obstacle on 
Cambodia's way to economic development.   
5. His Government had developed a "triangle st rategy", aimed at restoring peace, ensuring 
sustainable development, and integrating Cambodi a into the world community.  Reforms had been 
implemented simultaneously in many areas, including administrative reform;  legal and judicial 
reform of the financial, economic  and trade regime;  and military reform.  Cambodia had joined the 
Association of South-East Asian Nations (ASEAN) in April 1999.   
6. Accession to the WTO was one of the highest  priorities of his Government.  Closer 
integration into the world economy was seen as a po werful instrument to alleviate poverty and the 
main driving force for socio-economic development.  In reforming its trade system, his Government 
had paid particular attention to  aligning its policies and practices to WTO rules, especially the 
principles of MFN and national treatment.  A tariff nomenclature based on the 1996 Harmonized System had been put in place, and numerous laws ha d been drafted and adopted to ensure compliance 
with WTO regulations.   
7. Implementation of WTO requirements was, however, a lengthy and difficult process.  In view 
of the difficulties his country was facing, and beari ng in mind Cambodia's status as a least developed 
economy, the representative of Cambodia called on memb ers of the Working Party to be flexible in 
the negotiations to establish Cambodia's WTO commi tments and to extend special and differential 
treatment as foreseen in the provisions of the WTO Agreements regarding LDCs.   
8. Members of the WTO welcomed the applicati on from Cambodia to join the Organisation.  
WTO membership was considered important for Ca mbodia's development and integration into the 
world trading system.  Appreciating the effort s already undertaken by Cambodia to achieve 
compliance with WTO rules and principles, they noted that further work was needed in this regard.  
Members pledged to work constructively with Ca mbodia in accomplishing this task, and several 
Members would offer technical assistance to fa cilitate Cambodia's accession.  Members looked 
forward to Cambodia's early accession on appropriate terms.  Some Members referred to Cambodia's 
status as a least-developed country, and would cons ider this a relevant factor in establishing 
Cambodia's terms of accession. 
9. The Working Party reviewed the economic polic ies and foreign trade regime of Cambodia 
and the possible terms of a draft Protocol of Accession to the WTO.  The views expressed by 
members of the Working Party on the various aspect s of Cambodia's foreign trade regime, and on the  WT/ACC/SPEC/KHM/4 
 Page 3 
 
 
terms and conditions of Cambodia's accession to the WTO are summarized below in paragraphs 10 to 
[   ]. 
ECONOMIC POLICIES  
Monetary and fiscal policy  
10. The representative of Cambodia said that the co rnerstone of Cambodia's monetary policy was 
low-inflationary economic growth.  A restrained mo netary policy had been maintained since 1993 to 
serve this end.  As a result, annual inflation had fa llen from three-digit levels in 1993 to single-digit 
figures at present.   
11. The Cambodian banking system had undergone important changes since 1989, when a mono-
type banking system had been replaced by a two-tier system comprising the central bank and commercial banks.  The independent central ba nk – the National Bank of Cambodia (NBC) – was 
responsible for formulating and implementing Cam bodia's monetary policy.  The main instruments 
used to control liquidity were mandatory reserve requirements, limits on ba nk financing of the budget, 
sale of foreign currency by the central bank, and a positive real interest rate.  The introduction of 
treasury bills as a complementary policy instrument was under consideration.   
12. Fiscal policy had been at the core of Cambodia's reform strategy.  The budget deficit had been 
eliminated by 1997, and focus had shifted to wards broadening the tax base and improved tax 
collection.  The tax system had been reformed in January 1997 with the adoption of the Law on 
Taxation.  The Law had introduced a turnover tax on  the first sale of imported products (previously 
exempt);  extended excise duties to automobiles,  international air travel, and international 
communication services;  imposed taxes on interest income and dividends;  strengthened the application of minimum tax levels;  subjected pr ofits on exploitation of oil and gas and natural 
resources to a tax of 30 per cent;  introduced income  tax for government employees, elected officials, 
and employees of NGOs;  established a system of withholding tax;  as well as replacing some 
turnover and consumption taxes by a value added tax.  The ratio of tax revenue to GDP was still very 
low, and concentrated on few sources of revenue.  In 2000, taxes had accounted for approximately 73 
per cent of total government revenue, principally derived from customs duties (48 per cent), excises 
(12 per cent) and VAT (40 per cent).   
13. Cambodia had established three taxation regimes,  namely the "Simplified Tax Regime", the 
"Real Regime" and the "Estimated Regime".  Howeve r, only two of them - the "Real Regime" and the 
"Estimated Regime" - were applied.  The "Real Regime" affected large and medium sized taxpayers, i.e. legal entities and individual businesses with a nnual turnover exceeding 500 million Riels (goods) WT/ACC/SPEC/KHM/4 
Page 4  
 
or 250 million Riels (services), or 125 million Riels in the case of government contracts.  Large and 
medium sized taxpayers were subject to VAT, while other taxpayers were assessed a 2 per cent 
turnover tax under the "Estimated Regime". 
14. A Member was concerned Cambodia appeared to  tax imports disproportionately to other 
economic activity, and asked what steps Cambodia w as taking to increase tax collection domestically.  
In reply, the representative of Cambodia referred to  the measures already unde rtaken to broaden the 
tax base, and stressed that these efforts would be continued.   
Foreign exchange and payments
 
15. The representative of Cambodia said that the obj ective of Cambodia's exchange rate policy 
was to maintain a market-based exchange rate.  Th e value of the national currency - the Riel - had 
been freely determined by the market since 1993.  The National Bank intervened occasionally in the 
currency market to smooth exch ange rate fluctuations.   
16. Cambodia's current foreign exchange system was based on the Law on Foreign Exchange of 
1997.  According to this Law, all foreign exch ange transactions including purchases and sales of 
foreign currency, transfers, and all types of inte rnational settlements and capital flows were permitted 
without restriction provided these were effected  through authorized intermediaries (which would 
include foreign bank branches).  Foreign transacti ons equalling US$10,000 or more were subject to a 
declaration.  Cambodia did not require surrender of foreign exchange proceeds from imports or 
exports.   
17. Cambodia had introduced current account co nvertibility of its currency as provided under 
Article VIII sections 2, 3 and 4 of the IMF Articl es of Agreement, and had been granted membership 
under Article VIII on 1 January 2002. 
Investment regime  
18. The representative of Cambodia said that the La w on Investment of 4 August 1994, together 
with its Sub-Decrees of 29 December 1997 and 11 June 1999, regulated all investment, domestic or 
foreign, in Cambodia.  The Law (Article 8) grante d national treatment generally to foreign investors, 
except in the ownership of land.  He added that  Cambodia would normally not prohibit or restrict 
foreign investment, except for reasons of nationa l security and social safety, or when deemed 
necessary for economic reasons.  Sectors subject to various forms of investment restrictions were 
listed in document WT/ACC/KHM/6, Annex 1.  In so me cases, such as investment in rice milling, 
foreign investment was subject to local equity par ticipation, to be determined through negotiations  WT/ACC/SPEC/KHM/4 
 Page 5 
 
 
between the investors.  Foreign investment in lives tock and forestry required a local partner.  The 
criteria governing these restrictions were laid dow n in Sub-Decree No. 88 of 29 December 1997.   
19. Cambodia's Constitution (Article 44) reserved th e ownership of land for Cambodian citizens 
or legal persons with minimum 51 per cent Cambodian  ownership.  Foreign investors were allowed to 
lease or use land for up to 70 years in accordan ce with the 1994 Investment Law.  A proposal to 
extend the time limit from 70 years to 99 years had been considered.  The 2001 Land Law defined 
two types of land – concession land and leased land.   Concession land could be leased for a period of 
maximum 99 years for agro-industrial projects.  Leased land was defined as real estate, including buildings and land, available for short-term or l ong-term lease.  The leasing period could either be 
indefinite, or of specified duration.  Definite-per iod leases included short term leases with a renewal 
option, or long term leases for 15 years or longer.   
20. Cambodia's legislation guaranteed compensation in case of expropriation.  Article 44 of the 
Constitution stipulated that legal private property w as protected by law, and the right to confiscate 
property could only be exercised in the public inter est as provided for in the law and against fair and 
just advance compensation.  Article 9 of the Law on Investment provided a general guarantee against 
nationalisation.  To enhance investor confid ence further, Cambodia had concluded bilateral 
investment treaties to provide legal protection to  foreign and domestic investors.  Cambodia had 
concluded bilateral investment guarantee agreements with 12 c ountries (China, Croatia, France, 
Germany, Indonesia, Malaysia, the Philippines, the Republic of Korea, Singapore, Switzerland, 
Thailand and Viet Nam), signed and ratified an agreement with the Overseas Private Investment 
Corporation (OPIC) of the United States, and ratif ied the Multilateral Investment Guarantee Agency 
(MIGA) of the World Bank.   
21. Cambodia provided incentives to stimulate inv estment in accordance with Article 14 of the 
Law on Investment.  These incentives were grante d to Cambodian and foreign firms without 
discrimination upon application to the Council fo r the Development of Cambodia (CDC).  The 
Council processed applications within 45 days.  Incentiv es included (i) corporate tax at a rate of 9 per 
cent, except for exploitation of natural resources, timber, oil, mining, gold, and precious stones (30 
per cent);  (ii) tax holidays on corporate tax for up to eight years with five-year loss carry forward and 
exemption from all corporate tax for profits reinvest ed in Cambodia (the tax holidays were granted on 
socio-economic and geographic criteria laid down in  Annex III of Sub-Decree No. 88 of December 
1997);  (iii) no withholding tax on dividends;  and (iv)  unrestricted repatriation of profits.  In addition, 
investment projects exporting 80 per cent or more  the production benefitted from full import duty 
exemption on construction materials, means of  production, equipment, intermediate goods, raw 
materials and spare parts.  The import duty exemp tion was also available for projects located in WT/ACC/SPEC/KHM/4 
Page 6  
 
designated Special Promotion Zones (SPZ), the tour ism industry, labour-intensive industries (e.g. 
garments, footwear and toys), agro-industry a nd food processing industries (i.e. canning), as well as 
physical infrastructure and energy generation (road s, bridges, airports, seaports, power generation, 
etc).  Incentives could be revoked according to Article  7.2 of Sub-Decree No. 88, and his Government 
was considering revising some of the incentives offered under the Law on Investment [amendments 
are currently in preparation].  However, investor s currently benefiting from incentives would be able 
to retain them for some time subsequent to such a revision.  For further discussion of this issue, see 
the section on "Export subsidies". 
State ownership and privatization 
 
22. The representative of Cambodia said that private initiative had been encouraged in agriculture 
since 1987, while nationalised industries had been granted progressive autonomy from the State 
planning system in subsequent years.  Private ow nership was now a constitutional right enshrined in 
the 1993 Constitution.   
23. Privatization had been carried out during a first phase from 1991 to mid-1993, and a second 
phase starting in April 1995.  During the first phase,  priority had been given to attracting foreign 
investors and maintaining employment.  Sectoral Ministries had been granted authority to sell and 
lease State-owned enterprises within their area of r esponsibility with no external approval needed.   
24. The second phase of the privatization process had been launched with new regulations 
intended to tighten and centralise the control over priv atization.  Under the leadership of the Ministry 
of Economy and Finance, an inter-ministerial commi ttee had been established to draw up an inventory 
of existing enterprises, formulate privatization stra tegies and monitor the privatisation process.  The 
most important privatizations had taken place afte r 1995.  He confirmed that foreign and domestic 
investors were treated equally in the privatization pr ocess, except with regard to  the general restriction 
on foreign ownership of land.   
25. As of April 2000, 177 enterprises had been priv atized - mainly in manufacturing, agriculture 
and commerce – of which 152 had been leased to privat e investors, five were joint-ventures, and 20 
had been sold off.  Eleven enterprises had been tr ansformed into public enterprises and 16 remained to 
be privatized.  A detailed status report is provided in  Table 1(a).  He added that 13 enterprises, which 
performed key public services to the Cambodian  economy would be retained as State-owned 
enterprises upon completion of the privatization pr ogramme.  Seven rubber companies would remain 
in State ownership until 2006.  A list of the comp anies to be retained, including railway, water, 
electricity, and public works and transport enterprises,  as well as agricultural companies, is provided 
in Table 1(b).  WT/ACC/SPEC/KHM/4 
 Page 7 
 
 
Pricing policies   
26. The representative of Cambodia said that price c ontrols had been lifted in 1989.  Prices for 
goods and services were determined freely by the market, except for electricity and water.  Electricity 
prices were regulated by the Ministry of Industry, Mines and Energy pursuant to Sub-Decree 35 of 26 April 1999, while the regulation of water user char ges rested with municipal and provincial bodies.  
As for the future use of price controls, this was a matter still to be addressed by his Government.   
27. The representative of Cambodia stat ed that in the application of price controls now or in the 
future, Cambodia would apply such measures in a WT O-consistent fashion, and take account of the 
interests of exporting WTO Members as provided for in Article III.9 of the GATT 1994, and in 
Article VIII of the General Agreement on Trade in Services (GATS). 
Competition policy
 
28. The representative of Cambodia said that Cambodia did not have a competition law, but 
Cambodia was seeking assistance to draft legislati on to ensure fair competition in various business 
activities.  Asked to provide information on how  Cambodia was addressing the provisions of Article 
VIII of the GATS concerning monopolies and exclusive ser vice suppliers, he said that in general his 
Government was pursuing a policy of gradual liber alization of previously monopolized services to 
involve private participation, including foreign competition. 
FRAMEWORK FOR MAKING AND ENFORCING POLICIES  
29. The representative of Cambodia said that Ca mbodia was a constitutional monarchy.  The 
Constitution had been promulgated in  September 1993.  The Monarch was Head of State and held his 
function for life.  The Monarch appointed the Prime Minister and Council of Ministers, as well as the 
Commander-in-chief of the Royal Cambodian Armed Fo rces.  He signed decrees on the appointment, 
transfer or dismissal of high civil or military offici als and judges, declared war, and could proclaim a 
state of emergency.  Moreover, he signed and ther eby ratified international treaties and conventions 
approved by the National Assembly.   
30. Legislative powers were exercised by the Na tional Assembly, composed of 122 members 
elected for 5 years in direct and general elections , and the Senate, made up of 61 members.  The 
National Assembly was the only organ empowered to adopt laws.  Other functions of the Assembly 
included approval of the national budget, the Gove rnment's programmes and strategies, and proposals 
by the Government to introduce, reduce or annul taxes.   Legislation usually originated in the relevant 
line ministries.  Draft Legislation approved by the Council of Ministers was presented to the WT/ACC/SPEC/KHM/4 
Page 8  
 
Assembly for review and enactment.  The Senate re viewed the laws passed by the National Assembly 
and could make binding recommendations to the Assemb ly on the proposed legislation.  Legislation 
was promulgated by signature of the Monarch and became effective in the capital ten days after 
signature and throughout the country within 20 days .  Laws violating constitutional principles could 
be annulled by the Constitutional C ouncil, composed of nine member s designated for nine-year terms 
by the Monarch, the National Assembly and the Supreme Council of Magistracy.  The President of 
the National Assembly was a member of the Counc il of the Throne, which decided on the succession 
of the throne.  The President of the Senate acted as Head of State in the absen ce of the Monarch (or if 
unable to fulfill his functions).   
31. Judicial power was exercised by  independent courts, judging on the basis of the Constitution, 
existing laws and international agreements ratified by the Kingdom.  Cambodia's judicial system 
comprised lower courts, including provincial, munici pal and military courts, an  Appellate Court and a 
Supreme Court. However, the Supreme Court fo reseen in the September 1993 Constitution had not 
been established so far.  Pending its establishment, d ecisions of the Appellate Court could be appealed 
to the Supreme Court established by the form er State of Cambodia. According to the 1993 
Constitution, the Supreme Court would be responsible for judicial review of the law and appeals of 
decisions rendered by the Appellate Court. 
32. Cambodia's present judicial system did not provide for specialised courts, such as 
administrative or commercial courts.  However, Chap ter III of the draft Law on Judicial Organization 
envisaged the right to appeal of administrative de cisions before the Administrative Chamber of the 
Appellate Court.  Decisions of the Administrativ e Chamber could then be appealed before the 
Supreme Court.  As for commercial disputes, the Mini stry of Justice together with the Ministry of 
Commerce were preparing a draft law establishing a Commercial Tribunal.  In the interim, 
commercial cases were brought before provincial a nd municipal courts.  Voluntary settlement of 
commercial disputes came within the competence of the Chamber of Commerce, empowered to act as 
an arbiter under Article 9 of the 1995 Chamber of  Commerce Law.  Cambodia had ratified the New 
York Convention on the Enforcement of Foreig n Arbitral Judgement on 5 January 1960.  The 
Ministry of Commerce was preparing a Law on Comme rcial Arbitration to implement the New York 
Convention. 
33. A Member noted that commercial cases were being heard in common courts, pending the 
establishment of a Commercial Court system.  The present system did not, in his view, offer businesses adequate legal protection.  This Member  considered the establishment of a Commercial 
Court system with trained judges and staff essen tial to create a climate of transparency and 
predictability, and the system should therefore be in  place prior to accession.  This Member also noted  WT/ACC/SPEC/KHM/4 
 Page 9 
 
 
that Cambodia had ratified the New York Conve ntion on the Enforcement of Foreign Arbitral 
Judgments, and asked what legislative action the Mi nistry of Commerce was taking to implement the 
convention. 
34. In reply, the representative of Cambodia said that his Government had signed a Memorandum 
of Understanding with a Member in February 2003 regarding the provision of technical assistance to 
draft a Law on the establishment of a Commercial Court and the rules of a Commercial Arbitration 
Center, and he hoped that WTO Members would make  additional assistance available.  The National 
Assembly and Senate had adopted implementing legislation for Cambodia’s accession to the New 
York Convention on the Enforcement of Foreig n Arbitral Judgements in 2002, and the draft 
Commercial Arbitration Law was now before the Council of Ministers. 
35. The representative of Cambodia said that the Council of Ministers, or Royal Government, was 
the executive branch of the Kingdom of Cambodia.   The Council was accountable to the National 
Assembly and chaired by the Prime Minister.  The Prime Minister was in charge of executing the decisions taken by the Council.  He presented decr ees to the Monarch for signature, and could issue 
sub-decrees on his own authority, upon approval of the Council of Ministers.  Individual ministers 
issued ministerial decrees, decisions and circulars.   Once signed, all regulatory acts were published in 
the Official Journal.   
36. Policies related to foreign trade were formul ated and implemented by the Ministry of 
Economy and Finance, in close co-operation with the Ministry of Commerce, the Council for the 
Development of Cambodia, the National Bank of Cambodia, the Ministry of Planning, and the 
Ministry of Industry, Mines and Energy.  Border  control of international trade fell under the 
competence of the Customs Department, which was in charge of tax collection and the preparation of 
tariff schedules.  The Ministry of Commerce registered foreign business activities.  The Ministry of Commerce also participated in border control, fraud repression, in the formulation and 
implementation of technical standards, and in th e development of policies concerning intellectual 
property rights.  The Council for the Development of Cambodia implemented investment regulations, 
while issues related to industrial and technological  development, exploitation of natural resources and 
the production and supply of electricity and potable water fell under the competency of the Ministry 
of Industry, Mines and Energy.  He confirmed that provincial and muni cipal authorities had no 
jurisdiction over policies affecting foreign trade.   
37. The Ministry of Commerce acted as the focal point for activities related to WTO accession.  
The WTO Office of the Ministry had 10 professional staff.  In addition, an Inter-Ministerial Co-
ordinating Committee on WTO Accession, chaired by the Minister of Commerce, had been WT/ACC/SPEC/KHM/4 
Page 10  
 
established in September 1997.  The role of this Committee, which counted 15 members at the policy 
level and three officials from each of the 23 ministri es and agencies involved in WTO activities at the 
working level, was to (i) coordinate policy issues related to WTO accession;  (ii) elaborate guidelines 
to implement WTO Agreements;  (iii) prepare the necessary documentation;  (iv) define the Government's priorities related to foreign trade policies;  (v) ensure coordination with other 
Ministries;  and (vi) report to the Prime Minist er on issues related to WTO accession.  In August 
2001, his Government had appointed a working group comprising more than 110 senior government 
officials to assist in matters related to Cambodia's accession to the WTO.   
38. International treaties, conventions and inter governmental agreements concerning economic, 
technical, cultural and defense co-operation were ne gotiated by the Prime Mini ster and, after approval 
by the National Assembly, ratified and promulgate d by the Monarch.  Specifically concerning the 
ratification process of Cambodia's Protocol of A ccession, a package including the Protocol and all 
WTO Agreements and legal documen ts would be submitted by the Royal Government to the National 
Assembly and the Senate for adoption.  The pack age would then be presented to the Monarch for 
promulgation, after which it would be published in the Official Jour nal.  He confirmed that WTO 
provisions would prevail over national legislation, w ith the exception of Cambodia's Constitution, in 
case of conflict between domestic legislation and the WTO Agreements.   
39. He added that compliance with WTO Agreements  required the preparation of many important 
pieces of legislation in Cambodia.  He provided an  Agenda for Enacting Laws for WTO Conformity 
document WT/ACC/KHM/10, which was subsequently revised and up-dated on a regular basis (see 
Revision 1 of 31 July 2002 and Revision 2 of 3 March 2003).  In this respect, a Member was 
concerned about the long period foreseen for the adoption of the Civil Procedure Code, which 
underpinned the effective enforcement of other laws .  The representative of Cambodia replied that the 
draft Civil Procedure Code would be submitted to the Council of Ministers in the near future.   
40. Concerning the transparency requirements prescrib ed in Article X of the GATT, Article III of 
the GATS and other WTO Agreements, the representa tive of Cambodia said that all laws and other 
regulations were published in the Official Jour nal and entered into force 10 days after their 
publication in Phnom Penh and 20 days in the rest of the country.  Implementing decisions of the 
Ministries were also published.  As to the establishm ent of enquiry points stipulated in Article III of 
the General Agreement on Trade in Services, he not ed that developing countries might be granted 
flexibility as to the time-limit within which such en quiry points were to be established, and Cambodia 
might need to avail itself of this flexibility.  In 2002, the Council of Ministers had approved the 
establishment of a Services Enquiry Point at the Ministry of Commerce.  However, Cambodia would  WT/ACC/SPEC/KHM/4 
 Page 11 
 
 
need assistance to equip the office w ith computers and software, and for the training of its staff, to 
make the enquiry point fully operational.   
41. A Member stated the Official Journal was only available by subscription, and many private 
sector entities seemed unaware of its existence.  Al though all laws appeared to be published in the 
Journal, some new regulations had been omitted.  This Member suggested that Cambodia might 
consider posting its Official Journal on the internet  to improve access to new laws and regulations, 
and would welcome other practical steps taken by  Cambodia to ensure proper publication of new 
regulations in the Official Journal. 
42. The representative of Cambodia replied that la ws and regulations we re published in the 
Khmer language in his Government’s Official Journa l, and Cambodia would make every endeavour to 
ensure that all regulations would be included.  Cam bodia was also prepared to post the contents of the 
Official Journal on the website of his Government.   
POLICIES AFFECTING TRADE IN GOODS  
Trading rights (the right to import and export)  
43. The representative of Cambodia said that the Law on Commercial Regulations and the 
Commercial Register of 3 May 1995, as amende d on 18 November 1999, re quired all commercial 
enterprises operating in Cambodia to register with the Ministry of Commerce.  Copies of the "Instruction Circular on Commercial Registrati on at the Ministry of Commerce" and the 
"Announcement on Commercial Registration", both da ted 3 December 1997, were reproduced in 
document WT/ACC/KHM/2, Annex 7B.   
44. Commercial enterprises could register in the form of sole proprietorships , general partnership, 
limited partnership, private limited company, single member private limited company, public limited company, public institution, State enterprise, or joint venture.  Natural persons per se could not 
engage in import activities as the Law on Commerci al Regulations and the Commercial Register 
allowed registration of legal entities only.  However,  an individual could register, for example, as a 
single shareholder limited liability company.  
45. A prohibition on companies with less than 51 pe r cent Cambodian ownership to engage in 
import/export activities for the sole purpose of re -selling goods without transformation had been 
abolished pursuant to a Declaration of the Ministry  of Commerce of 25 January 2000.  He confirmed 
that all firms, foreign and domestic, properly register ed with the Ministry of Commerce, could engage 
in import and export activities of all types of goods except military equipmen t and narcotic drugs.  WT/ACC/SPEC/KHM/4 
Page 12  
 
Trade in forestry products could only be conducted by licensed concessionaires (domestic or foreign) 
according to Article 4, Chapter 2 of Sub-Decree No . 05 of 7 February 2000.  A firm could amend its 
registration to include import and export activities by filing an application to amend its Memorandum 
and Articles of Association to the Ministry of  Commerce.  The amended registration would be 
deposited at the Office of Commercial Registry at the Ministry.  
46. Registration required a company official to appear in person and deposit the required 
documentation - including a completed Registration Application Form, the Memorandum and Articles 
of Association, a Statement of Conformity, a cer tificate of the estate title or lease agreement, and 
copies of the identification papers as well as photog raphs the company directors and shareholders - 
with the Ministry of Commerce.  Applicati ons which were not supported by the required 
documentation would be rejected.  The procedure to  enrol in the Commercial Register took about two 
weeks.  The registration fee amounted to 260, 000 Riels (approximately US$70) for national and 
foreign companies.  In addition, companies investing in Cambodia and applying for project approval were required to pay registration fees to the Council for the Development of Cambodia (CDC) in accordance with the Law on Investment of 4 August 1994.  These fees amounted to US$600 for 
investment projects up to US$1 million and US$1,200 for investment projects above US$1 million. 
47. Some members were concerned that the requireme nt to provide photographs of the directors 
and shareholders of a limited liability company would be unn ecessarily burdensome for large 
companies with many stockholders, e.g. foreign fi rms wishing to establish operations in Cambodia.  
In reply, the representative of Cambodia said that the same requirements applied to domestic and 
foreign firms engaged in trade.  According to Camb odian legislation, a private limited company could 
not have more than 30 individual shareholders.  A public limited company needed only to submit 
photographs of the members of its board of director s.  The photo requirement was applied for security 
reasons, principally to avoid fraud.  He did not  believe the requirement created obstacles for 
companies registering in Cambodia. 
48. Noting that importation of pharmaceuticals was li mited to pharmacists and the importation of 
agricultural inputs to agricultural technicians ( see the section "Quantitative import restrictions, 
including prohibitions, quotas and licensing system s" below), a Member asked whether Cambodia 
distinguished between the right of importation and the right to distribute such products domestically.  
This Member sought recognition of the right to import,  i.e. to be the importer of record, as a separate 
status from that of distribution, and would therefore welcome steps by Cambodia to simplify requirements to import, on the understanding that st ricter requirements might be maintained for 
distributors within Cambodia's market.  WT/ACC/SPEC/KHM/4 
 Page 13 
 
 
49. The representative of Cambodia clarified that among the imported agricultural inputs only 
veterinary medicine was reserved for agricultural technicians.  He added that, in practice, importers of 
agricultural inputs and pharmaceuticals also distribu ted the goods within Cambodia, and it would be 
difficult to separate the importation and distributio n functions in a country such as Cambodia.   
1. Import Regulation  
Customs tariff  
50. The representative of Cambodia said that the Cu stoms and Excise Department had embarked 
on a Customs Reform and Modernization Progr amme aimed at creating a modern customs 
administration combining efficient revenue collecti on and protection at the border with the needs of 
the private sector for fast, straightforward and reliable customs services.  Major elements of the 
reform programme included strengthening of the lega l framework, restructuring of the customs tariff, 
modernization and streamlining of customs procedures,  expansion of internatio nal relations, effective 
enforcement, automated systems and procedures, measures to strengthen the Customs and Excise 
Department, better service to the public and trade fa cilitation.  A summary of the reform strategy was 
provided in document WT/ACC/KHM/6, Annex IV.   
51. The Law on Import and Export Duties of 15 Sept ember 1989, as subsequently modified by 
decisions of the Ministry of Economy and Finance,  constituted the legal basis for the imposition of 
tariffs.  Cambodia's customs tariff was specified at 8 digits.  The tariff nomenclature comprising 6,823 tariff lines in 2001 conformed to the 1996 version of the Harmonized System (HS) at the six-digit 
level.  All rates were ad valorem .  At present, only MFN rates of duty existed, except for CEPT 
products originating within ASEAN.  As member  of ASEAN, Cambodia was committed to extend 
tariff preferences as stipulated in the AS EAN Agreement on a reciprocal basis.   
52. In reforming its tariff structure, Cambodia ha d reduced the number of tariff bands from 12 to 
4 at present (0, 7, 15, and 35 per cent).  The highest  tariff rates of 40, 50, 90 and 120 per cent had 
been abolished.  Items subject to the maximum rate of 35 per cent were listed in document 
WT/ACC/KHM/6, Annex III.  The simple average rate  of duty had amounted to 16.4 per cent in 2001, 
and the objective was to achieve an average tari ff level below 15 per cent by 2002/03.  While 
Cambodia was reducing its import duties, excise tax es were being increased to ensure that the tax 
reform would be revenue neutral.   
[Cambodia's Customs Tariff 2001 can be consulted in the Secretariat (Room 1126) or requested in 
electronic format from accessions@wto.org.  Ca mbodia's initial offer on goods was submitted in 
December 2001, and revised offers in July 2002 and March 2003.  The initial and the revised offers WT/ACC/SPEC/KHM/4 
Page 14  
 
are available in electronic form or in hard copy for consultation (see notice in document 
WT/ACC/SPEC/KHM/1 and its Rev.1 and Rev.2).]  
Other duties and charges
 
53. The representative of Cambodia said that other than ordinary customs duties, Cambodia 
imposed no duties or charges of any kind within the meaning of Article II.1(b) of the GATT 1994 on or in connection with importation, except for petr ol and diesel.  On these two items, his Government 
was imposing a charge of US$0.02 and US$0.04 per litre, respectviely.   
Tariff rate quotas, tariff exemptions
 
54. The representative of Cambodia said that the Law on Import and Export Duties of 1989, 
Article 9.1, allowed importation free of customs dut y for (i) temporary imports for re-export;  (ii) 
goods in transit;  (iii) personal items of Cambodi ans having resided abroad;  (iv) imports by 
diplomatic missions, for humanitarian or religious pu rposes, etc.;  and (v) border trade within limits 
determined by the Ministry of Finance.  Tariff exemptions were also accorded on goods imported in 
connection with investment projects approved by the Council for the Development of Cambodia in 
accordance with the 1994 Law on Investment.  In a ddition, the Prime Minister had the authority to 
order ad hoc exemptions for compelling reasons of national interest, primarily emergency situations 
(Article 5 of the draft Law on Customs).  Thus, 120 cars had been imported free of duty for the members of the National Assembly in 1994, but no su ch exemptions were currently in force.  All 
tariff exemptions were applied on an MFN basis. 
55. Noting a statement by the representative of Cambodia that Cambodia did not apply tariff 
quotas at present, but might consider the introduction of tariff rate quotas on certain agricultural imports in the future, some Members emphasized that such measures would complicate Cambodia's 
market access negotiations, and would involve complex procedures in establishing proper access 
conditions, as well as non-discriminatory and transparen t allocation and administration of the tariff 
quota system. 
56. The representative of Cambodia took note of  these comments.  Although Cambodia had not 
resorted to tariff rate quotas so far, Cambodia w ould reserve its right to implement such quotas 
depending on the outcome of the accession negotiations. 
Fees and charges for services rendered
 
57. The representative of Cambodia said that Cam bodia applied a fee of 15,000 Riels (nearly 
US$4) per import/export declaration.  The fee was levied on imports from all sources, including  WT/ACC/SPEC/KHM/4 
 Page 15 
 
 
Cambodia's preferential trading partners.  The charge  corresponded to the cost of printing the customs 
declaration form and the time spent by customs o fficers in processing the declaration.  Some 100 
customs officials processed approximately 6,000 customs declarations every month. 
58. Some Members requested that Cambodia review  the fee for the provision and processing of 
import/export declarations, referring to the public servi ce nature of this function.  In reply, the 
representative of Cambodia considered Cambodia's u ser or processing fees commensurate to the costs 
of the services rendered, and thus not in conflict with WTO provisions.   
Application of internal taxes  
59. The representative of Cambodia said that Cambodia levied excise taxes  in accordance with 
the Law on Taxation of 1997.  Tax rates, which we re identical for imported and domestically 
produced goods, were applied on the ex-factory price for domestic goods and the tariff inclusive CIF 
value of imports.  The excise tax amounted to 10 per cent for soft drinks, beer, wine and spirits, 
cigarettes and other tobacco products, and petrol and lubricating oil.  For automobiles, buses, trucks, 
motorcycles and spare parts the tax ranged from 10 to 30 per cent, as indicated in Table 2.  He added 
that Cambodia did not have a domestic auto mobile manufacturing industry at present. 
60. Some Members noted that Cambodia had introduced  a tax of 3 per cent, applied solely to 
imported alcohol and tobacco products , in late 1998.  Cambodia was requested to bring this tax into 
conformity with Article III of the GATT 1994.  The representative of Cambodia replied that the 3 per cent tax in effect on imported alcohol a nd tobacco products since September 1999 had been 
extended to domestically-produ ced items on 1 January 2002. 
61. The representative of Cambodia said that value added tax
 had replaced the former turnover 
and consumption taxes on 1 January 1999 in accordan ce with the Law on Taxation of 8 January 1997.  
VAT was levied at a single rate of 10 per cent on goods and services.  Exports , including international 
transportation of passengers a nd goods, were zero rated.  On  imported goods, VAT was applied 
uniformly on imports from all sources on the CIF value including customs duties and excise taxes (if 
applicable). 
62. Some Members noted that the value added tax system was being introduced gradually in 
Cambodia, and asked what steps Cambodia was taking to bring the system into conformity with the 
national treatment provisions of the WTO.  Cambod ia was urged to eliminate any discrimination in 
the application of the value added tax to domestically-produced and imported products.   WT/ACC/SPEC/KHM/4 
Page 16  
 
63. In reply, the representative of Cambodia provided a descriptive note on the operation of VAT 
in document WT/ACC/KHM/18.  At first, the VAT system had been applied only to 1,000 large and 
medium taxpayers – based on annual turnover - in the capital Phnom Penh.  The system had 
subsequently been extended to additional entities in  Phnom Penh as well as taxpayers in five other 
provinces.  A further five provinces had been a dded in 2002, and the nu mber of taxpayers was 
increasing rapidly, currently comprising some 2,900 entities.  The Ministry of Economy and Finance 
had conducted a survey of taxpayers in all provinces in 2000 and 2001, and the most recent expansion 
in coverage included all provinces with ta xpayers meeting the VAT threshold.   
64. Small taxpayers were not required to pay VAT.  Instead, they were assessed a tax of 2 per 
cent on their annual turnover.  The rationale for th is dual system was that the administration and 
compliance costs of a full-fledged VAT regime woul d outweigh the expected revenue to be collected 
from small taxpayers.  Entities not required to pay VAT  could register voluntarily if they considered it 
to be in their interest to do so. 
65. Certain goods and services were exempt from VA T, notably public postal services;  hospital, 
clinic, medical, and dental services, and goods incidental to the performance of such services;  
transportation of passengers by wholly State-owne d public transport entities;  insurance and primary 
financial services;  public-interest non-profit activiti es;  imported articles for personal use exempt 
from customs duties;  goods imported by foreign diplomatic and consular missions, international 
organizations and technical cooperation agencies of other governments, for official use;  and 10 
categories of agricultural inputs and/or "raw agricultural products" such as fertilizer, plant seeds, 
veterinary medicines, animal feeds, breeding stock,  small tractors and spare parts, and miscellaneous 
agricultural machinery (Prakas No. 303 MEF/TD of 23 May 2001).  Farmers selling their own 
produce were not subject to any taxes, but enterpri ses in the food distribution chain would be subject 
to VAT or turnover tax in accordance with the es tablished levels of a nnual turnover.  Imported 
agricultural inputs exempted from VAT are listed in Table 3.  The Council of Ministers had 
reaffirmed that VAT on imported and domestically-pr oduced agricultural products should be identical 
at a full Cabinet meeting on 20 December 2002.  Sin ce July 2001, the estimated revenue foregone due 
to the VAT exemptions had amounted to 2 billion Riels in the second half of 2001 and 1.5 billion 
Riels in the first five months of 2002.   
Quantitative import restrictions, includin g prohibitions, quotas and licensing systems
 
66. The representative of Cambodia said that importati on of narcotic drugs and poisons, including 
many pesticides, was prohibited.  A list of pes ticides banned from use in Cambodia is reproduced in 
Table 4.  [Some Members have requested a complete list of prohibited import items.]  WT/ACC/SPEC/KHM/4 
 Page 17 
 
 
67. Initial information on import licensing procedures was provided in document 
WT/ACC/KHM/2, Annexes 3 and 8, and revised  information in documents WT/ACC/KHM/17, 
WT/ACC/KHM/17/Rev.1 and WT/ACC/KHM/17/Rev.2.  He noted that Cambodia applied no 
quantitative restrictions on imports.  However, a li mited licensing system had been established for the 
protection of human health, consumer interests, na tional security, and to protect the environment.  
Products subject to import licensing are enumerated in Table 5.  He stressed that the system was not 
designed to restrict the quantity or value of imports , except for pesticides.  He confirmed that products 
not identified in document WT/ACC/KHM/17 a nd its Revision 1 were free from licensing 
requirements.   
68. Non-automatic licences were applied to imports of aircraft and parts, ships and boats for 
military purposes.  The Ministry of Defence admini stered imports of explosives, ammunition, military 
hardware, and other related products for military purposes in accordance wi th Governmental Sub-
Decree No. 38 of 30 April 1999 on Management and Control of the Imports, Production, Distribution 
and Sale of all kind of Explosiv es and Ammunition.  Importation of the same products for security 
purposes was administered by the Ministry of Interior.   
69. The Ministry of Agriculture, Forestry and Fi sheries (MAFF) issued licences (authorization 
letters) for importation of agricultural inputs, prin cipally pesticides and fertilizer, in accordance with 
the Law on Drug Management of 9 May 1996 and th e Sub-Decree on Standards for and Management 
of Agricultural Materials of 28 October 1998.  The im porter should be registered with the Ministry of 
Commerce and the products should be registered and authorized by the Ministry of Agriculture, 
Forestry and Fisheries.  At presen t, 15 companies were authorized  to import agricultural inputs.  
Registration was also required for the products to be  imported.  The quantity of pesticides imported by 
individual companies could be restricted due to safety requirements, including appropriate storage 
facilities, as well as domestic demand.  In the fu ture, Cambodia was considering either to allow 
registered goods into warehouses and release for sal e or use after inspection, or to allow for 
accreditation of pesticides through bilateral agreemen ts with the countries of origin.  Cambodia was 
not in a position to undertake risk assessment at pr esent, and would welcome assistance in developing 
such capacity.  Fertilizer imports were licenced to minimize the environmental impact of soil 
degradation, acidity or salinity.   
70. Asked to provide further detail on the import regi me applicable to pesticides, in particular 
regarding restrictions based on domestic demand, th e representative of Cambodia added that local 
conditions often led to rapid degr adation of pesticide products, a nd thus expensive and potentially 
environmental harmful disposal of such products.  Data on areas under cultivation and pest infestation 
levels allowed his authorities to estimate the n eeds for pesticides in any given crop year.  Import WT/ACC/SPEC/KHM/4 
Page 18  
 
licences were granted on a first come, first serve d basis up to the estimated requirements.  The 
authorities could decide to authorize additional imports, and all registered importers would be 
informed of such decisions.  Fully-stocked i ndividual importers could be denied licences as a 
temporary measure until they would have the n ecessary capacity to store additional products.  
Cambodia had no plans to allow petitions for import tolerances, but as a Member of ASEAN Cambodia would adhere to the maxi mum residue limits of ASEAN as well as to FAO standards.  The 
current import measures were applied due to Cambodia's limited capacity for safe handling and 
storage of pesticides, and could therefore, in hi s opinion, be justified under Article XX(b) of the 
GATT 1994.  
71. Cambodia had experienced problems with count erfeit pharmaceuticals and drug trafficking, 
and permission was accordingly needed for the impo rtation of pharmaceutical products and materials, 
vitamins and hormones in accordance with the Law on Drug Management and Prakas No. 82 of 
31 March 1999 on "Procedures for Exports and Imports  of Pharmaceuticals".  The importer should be 
a pharmaceutical company registered at the Ministry  of Commerce and authorized by the Ministry of 
Health.  At present, 90 companies were registered as authorized importers at the Department of Drugs 
and Food.  Registration was also required for the products to be imported.  The licensing procedure 
for first consignments of pharmaceuticals and vita mins would normally take three weeks due to 
laboratory analyses.  Licences for subsequent consi gnments could be issued within one week as 
further laboratory analysis would not be necessary.  Information on the procedure to be followed was 
published in the Official Journal of the Ministry of Health. 
72. Responding to concerns that the registration re gime for importers of agricultural inputs and 
pharmaceutical products and materials might restrict  imports indirectly or constitute a non-tariff 
measure, the representative of Cambodia underlined th at Cambodia's legislation allowed any physical 
or juridical person to seek registration, and registra tion would be granted subject to the fulfilment of 
objective criteria related to safety, availability of  necessary facilities or staff qualifications.  The 
relatively low number of registered importers of agricultural inputs and pharmaceutical products and 
materials reflected the limited size of the domestic market.  He noted, for example, that among the 90 
firms authorized to import pharmaceutical products , only 30 of them had actually engaged in import 
trade in 2002.   
73. Import licences issued by the Ministry of Hea lth were valid for six months and could be 
extended upon request.  Licences for agricultural inpu ts were valid for one year and were also 
extendable.  These import licences were issued free of charge, but each pharmaceutical product 
registered with the Ministry of Health was s ubject to a one-time fee of US$200 (Prakas of the 
Ministry of Health No. 254 of 13 June 1996), and each  agricultural input registered at the MAFF was  WT/ACC/SPEC/KHM/4 
 Page 19 
 
 
subject to a registration fee of US$30.  Other import licences were issued against a fee of 15,000 Riels 
and were valid for three months.  The validity of these licences could, upon request, be extended for 
an additional two months.  A complete licence app lication would normally be processed within seven 
days.  Licensing decisions could be appealed through the judicial and administrative procedures established in Cambodia. 
Customs valuation
 
74. Some Members noted that Cambodia's present customs valuation regime, based on the Law 
on Customs Duty and Tax on Imports and Exports of Goods of 1989, was not in compliance with the 
Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade 1994 
(Customs Valuation Agreement) and that Cambodia intended to address the deficiencies in a new Law 
on Customs and its implementing regulations.  In this connection, these Members reminded Cambodia 
about the provisions of the Agreement regardin g valuation hierarchy, prohibited methods of 
appraisement, confidentiality, right of appeal, tr ansparency, sureties for the release of merchandise, 
and the adoption of the Interpretative Notes.  Among the problems mentioned by Members were 
duplication of work by customs agencies, customs red tape, delays in the processing of documents, 
and over-valuations or inconsistent  valuations.  Some Members agreed that certain aspects of the 
Agreement could be implemented ove r time, but hoped that the length and breadth of any transitional 
arrangements would be limited.  In their view, criti cal provisions central to the issue of market access 
and the maintenance of a stable, predictable trade regime should be in place at the time of Cambodia's 
accession to the WTO.  Cambodia should not expand the use of minimum prices beyond the products 
currently listed in its legislation, and the prohib ited methods of valuation should not otherwise be 
used.   
75. In reply, the representative of Cambodia said that the new draft Law on Customs had been 
approved by the Council of Ministers and was planned for enactment by the National Assembly by 
October 2003.  The regulations woul d be developed upon completion of the drafting of the new Law.  
He emphasized that Cambodia would seek a transition period.  An Action Plan for the implementation 
of the customs valuation agreement was provi ded in document WT/ACC/KHM/13, and a revised 
action plan in document WT/ACC/KHM/13/Rev.1.  Cambodia's outline of specific actions taken 
during 2001-2003 is presented in Table 6(a), and Ca mbodia's proposal for transitional arrangements 
are detailed in Table 6(b). 
76. Implementation of the hierarchy of valuation techniques implied that Cambodia's present use 
of minimum values would need to be phased out and replaced by the transaction value provisions of the Agreement.  Items currently subject to mini mum customs values are listed in Table 7.  His WT/ACC/SPEC/KHM/4 
Page 20  
 
Government considered that a move to transacti on value at the time of Cambodia's accession to the 
WTO would pose major risks to government revenue.  He therefore proposed that minimum customs 
values be phased out gradually over a period of five  years, with full compliance with the Customs 
Valuation Agreement to be achieved by the e nd of 2008.  The challenges facing the customs 
administration at present included a low rate of voluntary compliance by importers, lack of sound accounting systems and record keeping, and the limited capacity of the Customs and Excise 
Department to administer transaction valuation provisions.  Time would be needed to educate 
importers in the new valuation pr ovisions, proper customs record keeping and accounting systems, as 
well as for Customs to develop its internal admini strative procedures, such as post clearance audit, 
and to educate staff.  The Customs and Excise Department would seek technical assistance in preparing and implementing the transition plan. 
77. Some Members noted that Cambodia appeared al so to be using data on reference prices 
provided by a Preshipment Inspection (PSI) firm.  The Customs Valuation Agreement strictly 
prohibited such practice, and Cambodia should eliminate it prior to the date of accession. 
78. The representative of Cambodia confirmed that Cambodia was using a reference database, but 
only as a guide for appraising valuatio n declarations.  He considered the database an appropriate tool 
for assisting in the appraisal of the value of im ported goods in accordance with the Customs Valuation 
Agreement.  The database would not be used to  establish actual transaction values, but only as a 
reference for establishing the reasonableness of  values and for risk assessment purposes, in 
compliance with the Agreement. 
79. Concerning the transparency of legislation, the representative of Cambodia noted that 
Article 93 of Cambodia's Constitutio n required laws to be published in the Official Gazette and 
brought to the knowledge and attention of the popul ation before entering into force.  Legal texts 
related to customs matters were published in the Official Gazette for the general public on a non-
discriminatory and transparent basis.  In additio n, the Customs and Excise Department frequently 
provided legislation and regulati ons to the 30-50 largest importe rs to up-date them on legal 
developments.  He expected the new Law on Cu stoms would receive extensive publicity through 
seminars, publications, and other information s ources such as the departmental web-page.   
80. The representative of Cambodia confirmed that Cambodia was requesting a transitional 
period until the end of 2008 to complete the phasing-out of minimum customs value and administrative values, and full implementation of the valuation hierarchy stipulated in Article 21 of 
the draft Law on Customs.  Provisions in the Cust oms Valuation Agreement relating to transparency,  WT/ACC/SPEC/KHM/4 
 Page 21 
 
 
confidentiality, right of appeal, sureties for the re lease of merchandise, and the interpretative notes 
relevant to these issues would be implemented by the time of Cambodia's accession to the WTO.   
Rules of origin  
81. Noting initial statements by the representative of Cambodia that Cambodia had not yet 
established regulations on rules of origin, but intende d to introduce preferential rules of origin as 
required by its membership in ASEAN, a Member sought a commitment that upon accession 
Cambodia would apply its laws and regulations on rules of origin in conformity with the provisions of 
the WTO Agreement on Rules of Origin.  This Me mber also sought confirmation that Cambodia’s 
laws would incorporate the requirements of Article 2(h) and Annex II, paragr aph 3(d), i.e., that for 
non-preferential and preferential rules of origin, respectively, the customs authority would provide upon the request of an exporter, importer or any pers on with a justifiable cause an assessment of the 
origin of the import and outline the terms under whic h it would be provided, and that any request for 
such an assessment would be accepted even befo re trade in the goods concerned began. 
82. The representative of Cambodia said that, for non- preferential trade, importers were required 
to indicate a product's origin in the import declara tion.  The requirement was applied for statistical 
purposes only.  He added that Cambodia would ta ke into account the provisions of the WTO 
Agreement on Rules of Origin when developing the legislation in this area.  Provisions for the 
administration of rules of origin would be include d in the new Law on Customs, which he expected 
Cambodia to implement in late 2003.  The Mini stry of Commerce was responsible for issuing 
certificates of origin.   
Other customs formalities
 
83. The representative of Cambodia confirmed that  Cambodia did not require authentication of 
import documentation by consular offi cials or other institutions in th e country of export.  He added 
that the Customs and Excise Department was re viewing all customs clearance procedures and 
processes with a view to simplification and moderniz ation, and the application of risk management 
techniques.  Sub-Decree No. 64, issued in mid-2001, contained measures to rationalise the presence of government agencies at border checkpoints.  The Customs and Excise Department and 
CAMCONTROL (Ministry of Commerce) were lead ag encies in the clearance process, while other 
governmental agencies participated  in joint committees with clear mandates and responsibilities at all 
border checkpoints.  He expected automation of th e customs clearance process to result in further 
efficiency gains, and the new Law on Customs would provide the legislative basis for this initiative. WT/ACC/SPEC/KHM/4 
Page 22  
 
84. Concerning efforts to combat smuggling – an i ssue raised by several Members as competition 
from smuggled goods was impeding regular market acce ss – the representative of Cambodia said that 
Government Order No. 02 issued by the Council of Ministers on 19 December 2001 had launched a 
major anti-smuggling initiative.  The Government Or der directed the military, the police and local 
authorities to co-operate with and assist the Customs and Excise Department in anti-smuggling 
operations.  An Inter-Ministerial Commission had been set up under the direction of the Minister of 
Economy and Finance to plan, co-ordinate, and to mon itor this initiative.  At the same time, steps had 
been taken to strengthen the Customs and Excise Depa rtment and to improve its level of integrity.  
The anti-smuggling initiative provided generous financ ial rewards to customs officials participating in 
successful anti-smuggling operations.  Cambodia w as also seeking technical assistance to equip 
enforcement teams with appr opriate tools and facilities. 
Preshipment inspection
 
85. The representative of Cambodia said that his Government had signed a contract with a 
preshipment inspection firm in 1995.  A new contract  had entered into force in October 2000.  The 
contract, valid for two years plus a one-year extens ion, would be in effect until October 2003.  The 
regime was regulated in acco rdance with Prakas No. 599 SHV.PRK of 31 August 2000 on "the 
Implementation of Pre-shipment Inspection Services" .  The current contract emphasized the provision 
of training and technical assistance to the Custom s and Excise Department to build expertise, 
technical skills and know-how and thereby allowing preshipment inspection to be phased out during a 
period of maximum three years.   
86. The present preshipment inspection contract app lied to consignments valued at US$4,000 or 
more (FOB).  Goods worth less than US$4,000 were  valued by the Cambodian Customs and Excise 
Department (some remote customs check points were  authorized to make valuation decisions for 
imports up to US$1,200).  Exempt from preshipment inspection were precious stones and precious 
metals; objects of art;  explosives and pyrotechnic pr oducts;  ammunition, weapons and implements of 
war;  live animals;  current newspapers and periodica ls;  household and personal effects;  parcel post 
or commercial samples;  gifts from foreign governme nts or international orga nizations to foundations, 
charities and recognized humanitarian organizations;  gifts and supplies to diplomatic and consular 
missions and to agencies related to the United Nati ons Organization imported for their own needs;  
grants in kind;  goods imported for government  use under government order;  scrap metals;  
cigarettes;  and temporarily admitted goods (inward processing for export).   
87. The preshipment inspection firm verified the in formation to be used by Customs such as 
quantity, quality, value, tariff classification and duti es and taxes payable.  Valuations would be based  WT/ACC/SPEC/KHM/4 
 Page 23 
 
 
on the principle of Fair Market Price until the entry in to force of the new Law on Customs.  From then 
on, the preshipment inspection firm would provi de valuation opinions based upon procedures 
consistent with WTO requirements.  The fee for preshipment inspection amounted to 0.80 per cent of 
the FOB value of the inspected goods, except for bulk petroleum products (US$0.30 per metric ton).  
Importers failing to secure preshipment inspection,  and thus necessitating goods to be inspected by 
customs officials at the border checking point, incurre d a penalty equal to 7 per cent of the CIF value 
of the imported goods.  A Dispute Settlement Wo rking Group had been established to resolve 
promptly claims or disputes arising from the impl ementation of preshipment inspection.  He noted 
that while the Dispute Settlement Working Group ha d been in operation since early 2001, importers 
had yet to bring formal cases to it for resolution.  Importers tended to raise their concerns with either 
the Customs and Excise Department or the preship ment inspection company who would then bring 
the matter to the Group.  Steps would be taken to en courage importers to make  formal representations 
to the Working Group.  He added that Article 24 of the draft Law on Customs provided for appeals 
against customs decisions, first to the Customs a nd Excise Department, next to a Customs Tariff 
Committee, and finally to the court.  The Committe e, providing an indepe ndent appeal process for 
importers and exporters , would be appointed by Anukret.   
88. Some Members considered the 0.8 per cent ad valorem  charge for preshipment inspection a 
violation of Article VIII of the GATT as the fee w as not related to the approximate cost of the 
services rendered.  In addition, a Member pointed  out that the 7 per cent penalty imposed on non-
inspected goods would be in contravent ion of GATT Article VIII paragraph 3. 
89. The representative of Cambodia replied that upon expiration of the present contract, a new or 
modified contract on preshipment inspection woul d stipulate compliance with GATT Article VIII by 
requiring the preshipment inspection fee to be co mmensurate with the service rendered and not the 
value of the goods inspected.  A full Ministerial Ca binet meeting had reconfirmed a decision to this 
effect on 20 December 2002.  Concerning the penalt y issue, in his view Article VIII of the GATT 
1994 dealt only with "penalties for minor breach es of customs regulations or procedural 
requirements", while failure to comply with ma ndatory preshipment inspection would constitute a 
substantial breach of the legal requirement laid dow n in the Prakas of the Ministry of Economy and 
Finance on preshipment inspection of imported produc ts.  He stressed that penalties discouraged duty 
evasion, and were necessary to protect government  revenue and the competitive position of compliant 
importers. 
90. The representative of Cambodia st ated that the preshipment inspection system, if still in force 
at the time of accession, would be in conformity  with the Agreement on Preshipment Inspection. WT/ACC/SPEC/KHM/4 
Page 24  
 
Anti-dumping, countervailing duties, safeguard regimes
 
91. The representative of Cambodia said that Cam bodia had not yet developed any trade remedy 
legislation.  According to Cambodia's legisla tion agenda, the law on anti-dumping and countervailing 
measures and the law on safeguard measures were no t expected to be approved until the second half 
of 2004.  He added that Cambodia would apply safeguard, antidumping or countervailing measures 
consistent with the WTO Agreements, including thei r procedural aspects, as a member of the WTO. 
92. Appreciating these assurances, some Member s requested that Cambodia would make a 
commitment not to apply antidumping, counter vailing or safeguard measures without first 
implementing appropriate laws and notifying to the WTO legislation covering such measures 
consistent with WTO Agreements on the Implementa tion of Article VI of the General Agreement on 
Tariffs and Trade 1994, on Subsidies and Counter vailing Measures, and on Safeguards.  These 
Members invited Cambodia to submit draft legislation, if available, to the Working Party for review.   
2. Export regulation  
Customs tariffs, fees and charges for services rende red, application of internal taxes to exports  
93. The representative of Cambodia said that  Cambodia levied export taxes on certain 
unprocessed raw materials and products to encourage local processing, encourage exports of finished 
products and to protect human health.  The products s ubject to export taxes are enumerated in Table 8.  
Responding to requests from some Members that Cambodia abolish all export duties upon accession, the representative of Cambodia said that export duties were - to his knowledge - permitted under 
WTO rules, subject to the disciplines of Article  I of the GATT.  Cambodia's export duties were 
applied on an MFN basis and hence its ASEAN partne rs were not exempt from these taxes.  Export 
taxes had accounted for approximately 2 per cent of  the customs revenue collected by the Customs 
and Excise Department in 2000. 
94. He confirmed that the registration requirements for exports were the same as for imports, and 
that the 15,000 Riels fee applied to each import/export declaration covered the cost of printing of the 
customs declaration form and the time spent by cu stoms officers in processing the declaration.  
Preshipment inspection of exported products w as effected by CAMCONTROL, a body under the 
Ministry of Commerce.  Cambodia's export garment industry was exempted from preshipment 
inspection without any time limitation.  WT/ACC/SPEC/KHM/4 
 Page 25 
 
 
Export restrictions  
95. Some Members noted that Cambodia maintained  export restrictions on several products.  
Cambodia was reminded that a WTO Member coul d only apply export restrictions under tightly 
defined conditions, and it was not evident that Cambodia's restrictions met these requirements.  
Specifically, the export licensing restrictions on rice and logs would appear to violate Article XI of the 
GATT 1994, as these seemed to be applied for economi c rather than conservation reasons.  Cambodia 
was asked to explain the parallel restrictions a pplied to domestic production, and outline how it 
intended to replace the current measures with WTO-consistent instruments.   
96. The representative of Cambodia replied that Cambodia generally did not restrict exports, 
except for rice;  round logs, unprocessed timber and fo restry products;  antiques more than 100 years 
old;  narcotic drugs and poisons ;  weapons, explosives and ammunition;  and vehicles and machinery 
for military purposes (see Table 9).  He added that the restrictions on rice exports had been lifted on 
26 July 2001 pursuant to Prakas-Announcement No. 2290  MoC/M2001 of the Ministry of Commerce.  
However, his Government would maintain the right to  reintroduce restrictive me asures in the future if 
necessary to prevent or relieve critical shortages of foodstuffs, as provided for in Article XI:2(a) of the 
GATT 1994.   
97. As for the export restrictions on forestry  products, his Government had issued a 
Governmental Prakas on Management Measures to  Eliminate the Forestry Anarchy No. 01 PROK on 
25 January 1999 and a Sub-Decree on Forestry C oncession Management No. 05 on 7 February 2000.  
Exportation of round and sawn logs was prohib ited, and Government Decision No. 17 of 
29 April 1997 had established a list of wood pro ducts authorized for exportation and detailed 
requirements, including an obligation for the exporte r to obtain a special concession to exploit forest 
resources from the Ministry of Agriculture, access to the export quota established by the Government, 
as well as a non-automatic export licence issued by th e Ministry of Commerce.  The Decision also 
identified specific border crossing points through wh ich wood products could be legally exported.  In 
his view, the export licensing of wood products w as applied in conjunction with restrictions on 
domestic production, aimed at preserving exha ustible natural resources as foreseen under 
Article XX(g) of the GATT 1994.   
Export subsidies  
98. The representative of Cambodia said that Cambodia had not yet identified policies or 
measures relating to export financ ing or export support.  On 28 November 1997, the Ministry of 
Commerce had issued Declaration No. 343 on the organization and functioning of its Export Promotion Division, pursuant to Government sub-decree No. 54 on the Organization and Functioning WT/ACC/SPEC/KHM/4 
Page 26  
 
of the Ministry of Commerce of 22 September 1997.  The Division was expected to engage in general 
promotion activities such as assisting the private sect or in collecting information on markets overseas, 
identify potential export opportunities, and participat e in organizing trade fairs.  As for export 
incentives, he noted that Article 14 of the Law on Investment of 4 August 1994 stipulated 100 per cent import duty exemption on construction materials, means of production, equipment, 
intermediate goods, raw materials and spare parts used by an "export-oriented project with a 
minimum of 80 per cent of the production set apart fo r exports".  As a basic principle, all approved 
projects were eligible for these duty exemptions. 
99. Several Members noted that incentives acco rded under the Law on Investment were 
contingent upon export performance.  Article  3 of the WTO Agreement on Subsidies and 
Countervailing Measures prohibited the use of such subsidies, and these Memb ers accordingly asked 
Cambodia to indicate how it intended to eliminate pr ohibited export subsidies from its trade regime.  
In their view, any request for a transition for Cambodia should involve a detailed commitment to 
eliminate WTO-inconsistent practices.  Cam bodia was reminded that, although LDCs might be 
entitled to retain such subsidies, the measures could still be actionable under the Agreement on 
Subsidies and Countervailing Measures, which w ould be a detriment to the predictability and 
transparency sought by investors and buyers. 
100. The representative of Cambodia considered th e import duty exemption for export-oriented 
projects analogous to the exemption referred to in Ar ticle 1 (note 1) and para graph (h) of Annex I of 
the Agreement on Subsidies and Countervailing Measu res.  He acknowledged that a duty drawback 
scheme would be a better way to address this issue,  but Cambodia lacked the administrative resources 
to implement such a scheme properly at present.  In  any case, he considered least developed countries 
exempt from the provisions of Article 3.1(a) by virt ue of Article 27.2 of the Agreement on Subsidies 
and Countervailing Measures.   
101. Some Members considered the existing system of remission of import fees and waiver of duty 
for certain goods used by certain investors to be hi ghly complex, lacking in transparency and prone to 
abuse, and therefore encouraged Cambodia to impl ement a duty drawback scheme consistent with the 
Agreement on Subsidies and Countervailing Measures.   Pending the implementation of a functioning 
duty drawback programme limiting rebates to the amount of tariff and tax incorporated in the 
exported product, the current programmes would n eed to be notified as subsidies as they did not 
appear to qualify as valid duty drawback schemes.   
102. The representative of Cambodia st ressed that Cambodia foresaw insuperable difficulties in the 
introduction and operation of an effective duty draw back system, and therefore could not make any  WT/ACC/SPEC/KHM/4 
 Page 27 
 
 
commitment regarding such a system.  The releva nt current programmes would be notified to the 
WTO as required.   
3. Internal policies affecting foreign trade in goods  
Industrial policy, including subsidies  
103. The representative of Cambodia said that the ma in objective of Cambodia's industrial policy 
was to stimulate economic development by en hancing access to international markets and 
strengthening the industrial base.  Efforts focused  on building up light industr ies and developing agro-
manufacturing and food processing enterprises to sust ain the agricultural sector.  Measures had been 
taken to improve infrastructure for transportation and communication, encourage private and foreign direct investment through the adoption of an appr opriate legal framework and the privatization of 
State-owned enterprises, and to promote the developmen t of industrial zones.  Particular attention was 
also given to the training of industry workers.  The establishment of a Petroleum Training Institute 
and of a Training Institute for Mines and Geology w as under consideration.  The Ministry responsible 
for the development and implementation of Cambodia' s industrial policy was the Ministry of Industry, 
Mines and Energy.  He confirmed that Cambodia did not grant any subsidies within the framework of 
its industrial policy.   
Technical barriers to trade, sanitary and phytosanitary measures
 
(a) Standards and certification  
104. The representative of Cambodia said that Cambodi a's standardization syst em was at an early 
stage of development.  Cambodia therefore required urgent technical assistan ce from the international 
community in the area of technical regulations and standards.  A completed checklist of TBT 
Requirements and Implementation by the Kingd om of Cambodia was provided in document 
WT/ACC/KHM/8.  The current system was largely voluntary, but mandatory standards were applied 
to some products when deemed necessary to prot ect national security, prevent deceptive practices or 
to preserve human, animal, and plant life or health.   
105. Some Members reminded Cambodia that the Agr eement on Technical Barriers to Trade (TBT 
Agreement) did not oblige Cambodia to establish st andards, technical regulations or conformity 
assessment procedures.  However, the provisions of  the Agreement applied when such measures were 
being developed and applied (enforced).  The Agreement established fundamental rules and 
procedures regarding the development, adoption, an d application of voluntary standards, technical 
regulations, and the procedures used to determine whether a particular product met such standards WT/ACC/SPEC/KHM/4 
Page 28  
 
(conformity assessment).  Accordingly, it was impe rative for governments to establish a coordinated 
approach to the development, adoption and appli cation of standards, technical regulations and 
conformity assessment procedures to ensure that a ll ministries, agencies, and private bodies involved 
in these activities be aware of the obligations and abide by them on an ongoing basis.  Issues of particular interest to Members included the use of  international standards, recommendations or guides 
in the elaboration of standards, technical regulations  or certification in Cambodia;  work to harmonize 
national standards with international standards;  mechanisms for publication and dissemination of 
draft legislation and standards for public comment prio r to their entry into force;  the establishment of 
a TBT Inquiry Point;  the inspection process fo r imported versus domestically-produced goods;  
recognition of equivalence of technical regulati ons and conformity assessment procedures of other 
countries, and recognition of c onformity assessment procedures carried out by appropriately 
accredited testing laboratories in the country of manufacture;  and Cambodia's participation in 
multilateral or bilateral standards-related agr eements or mutual recognition agreements or 
arrangements.   
106. The representative of Cambodia replied that  the Standards Office in the Technical 
Department of the Ministry of Industry, Mines and Energy was responsible for current work related to 
standardization and certification.  Sub-D ecree on Industrial Standards No. 42/ANK/BK of 
15 May 2001 provided the basic rules and pro cedures for adopting new standards, technical 
regulations and conformity assessment procedures.  He expected a Sub-Decree on Metrology to be 
adopted during 2003.  A Law on Industrial Standard s of Cambodia was in preparation and slated for 
promulgation in the first half of 2004.  The new Law would be complemented by a Sub-Decree and implementing regulations.   
107. The new Law foresaw the creation of a Depart ment of Industrial Standards of Cambodia 
(ISC) within the Ministry of Industry, Mines and Energy during 2002.  The ISC would serve as 
Cambodia's TBT Inquiry Point, responsible for identifying and providing notifications to the WTO 
Secretariat under the TBT Agreement.  The ISC would publish a regular Bulletin or Gazette which would carry notices of proposed technical regulations and conformity assessment procedures.  The period for public comment on draft standards woul d be extended to 60 days, against the 30 days 
(amended standards) and 45 days (new standa rds) specified in existing legislation.   
108. Cambodia had been a member of the Interna tional Organization for Standardization (ISO) 
since 1 January 1995 and had ratified the ASEA N Framework Agreement on Mutual Recognition 
Arrangements.  Imported goods were subject to th e same inspection process as domestically-produced 
goods, and Cambodia would extend any Conformity Assessment Agreements, in particular those 
foreseen under the ASEAN, to all Members of th e WTO.  Cambodia recognized certificates from  WT/ACC/SPEC/KHM/4 
 Page 29 
 
 
third countries' certification bodies provided that these bodies had received formal accreditation from 
international or regional accreditation bodies, or were signatories to a mutual recognition 
arrangement.  In the case of pharmaceutical produc ts, laboratory testing in Cambodia was required 
prior to registration to check the conformity of the samples.   
109. The representative of Cambodia said that Cambodia would endeavour to implement fully the 
TBT Agreement upon accession, but this would require comprehensive technical assistance from 
WTO Members and relevant international organiza tions.  Completed tasks, planned activities and 
related assistance needed during the period 1999-2006 was detailed in Cambodia's Action Plan for the 
Implementation of the TBT Agreement, circulated  in document WT/ACC/KHM/14, and subsequently 
revised in document WT/ACC/KHM/14/Rev.1.  The Action Plan is summarized in Table 10.   
110. Having reviewed Cambodia's action plan, some  Members questioned Cambodia's need for a 
two-year period to readjust technical regulations, standards, etc. as good regulatory practice, outlined 
in Article 2.3 of the Agreement on Technical Ba rriers to Trade, required the appropriateness and 
effectiveness of particular standards and technical regulations to be reviewed on an ongoing basis.  
Cambodia should take immediate steps to fulfil the transparency requiremen ts of the Agreement. 
Cambodia was encouraged to notify WTO Members of  proposed regulations prior to adoption, and 
carefully consider Members' technical comments on  proposed regulations be fore finalizing them.  
Noting Cambodia's requests for technical assistance,  some Members stressed that Cambodia should 
not make implementation of the TBT Agreement con tingent on the provision of future technical 
assistance.   
111. The representative of Cambodia replied th at Cambodia was introducing transparency 
measures consistent with the requirements of the TB T Agreement.  However, the establishment of an 
effective system of technical regulations, sta ndards and conformity assessment would require 
extensive technical and financial assistance to  be provided to Cambodia.  The capability, 
infrastructure, and skills of the De partment of Industrial Standards of  Cambodia were still limited.  He 
agreed that the appropriateness and effectiveness of  particular standards and technical regulations 
should be reviewed on an ongoing basis.  Cambodia would need two years for readjustment, because 
Cambodia lacked experience in applying standards and regulations, and WTO rules related to these 
matters.   
(b) Sanitary and phytosanitary measures  
112. The representative of Cambodia said that Ca mbodia's existing sanitary and phytosanitary 
measures were applied and regulated on the basis of the Law on the Management of Quality and 
Safety of Products and Services of 21 June 2000, the Sub-Decree on Sanitary Inspection of Animal WT/ACC/SPEC/KHM/4 
Page 30  
 
and Animal Products of 29 July 1988, the Sub-D ecree on Plant Quarantine of 8 October 1983, and the 
Sub-Decree on Standards and Management of Agri cultural Materials of 28 October 1998.  Further 
work to ensure compliance with the Agreement on the Application of Sanitary and Phytosanitary 
Measures (SPS Agreement) involved revision of the 1983 and 1988 Sub-Decrees as well as the 
preparation of new sub-decr ees and regulations related inter alia  to food hygiene, labelling and safety 
requirements, detailed in the completed SPS Checklist circulated in document WT/ACC/KHM/9 and 
the Action Plan for the Implementation of the SPS Agreement, circulated in document 
WT/ACC/KHM/15, and subsequently revised in document WT/ACC/KHM/15/Rev.1.   
113. He added that the Cambodia Import-Expo rt and Fraud Repression Department 
(CAMCONTROL) at the Ministry of Commerce would serve as Cambodia's SPS Enquiry Point.  Assuming that technical assistance would be provid ed, he expected the enquiry point to become 
operational in 2003.  The basic transparency provisi ons of the SPS Agreement had been incorporated 
in a Sub-Decree on Plant Quarantine and Animal Qu arantine, stipulating publication of proposed 
measures at an early stage and a procedure to provide information to WTO Members, thus allowing a reasonable period of time for comment by WTO Members and the public, and a process for taking 
account of the comments received without discrimination.  The Sub-Decree on Plant Quarantine, and 
the Sub-Decree on Sanitary Inspections of Animal  and Animal Products had been adopted by the 
Council of Ministers on 14 February 2003.  The framework for adopting the standards, guidelines and recommendations developed by the relevant intern ational organizations (the Codex Alimentarius 
Commission, the International Office of Epizoot ics and international or  regional organizations 
operating within the framework of the Interna tional Plant Protection Convention) would be 
incorporated in the Law on Industrial Standards of  Cambodia, planned for promulgation in the first 
half of 2003.   
114. Noting a temporary ban on the importation of meat, meat products and associated dairy 
products from certain EU countries, a Member was concerned that customs officials in Cambodia 
appeared to interpret the ban to include other c ountries, and asked how Cambodia intended to ensure 
non-discriminatory application of its SPS regime. 
115. The representative of Cambodia replied that a temporary ban had been introduced to prevent 
the spread of diseases potentially harmful to hum an and animal health in compliance with 
Article XX(b) of the GATT 1994.  The three-month ban had been extended for another three months, 
and would be extended further as warranted by th e circumstances.  He suggested that importers 
affected by any misinterpretation of the measure shoul d file a complaint with the Customs authority.    WT/ACC/SPEC/KHM/4 
 Page 31 
 
 
116. The representative of Cambodia said that achievi ng full compliance with the requirements of 
the SPS Agreement was a complex process, and Cambodia was accordingly seeking a transition 
period during which the requirements would be impl emented gradually in accordance with the Action 
Plan summarized in Table 11.  He stressed that  Cambodia's pace in implementing the SPS Agreement 
would depend on the assistance made available by WTO Members and relevant international 
organizations for Cambodia to develop new regula tions in conformity with WTO provisions and 
ensure their effective implementation, in particular through training.   
117. Some Members stated that they considered  implementation of the SPS Agreement a key 
element of Cambodia's accession.  Having review ed Cambodia's Action Plan, these Members were 
reluctant to grant a five-year transition period  without specific guidelines on implementation or 
sufficient detail to justify these transitional arrange ments.  It was noted that Cambodia should give 
priority to the establishment of an enquiry point, any SPS measures taken by Cambodia should be 
notified to the WTO, and Cambodia should be prep ared to consult with WTO Members upon request 
if measures taken would affect their exports ne gatively.  The need for a two-year period for 
"readjusting technical regulations, standards, etc. " was questioned.  Cambodia was encouraged to 
consider adoption of international standards where such standards would meet Cambodia's needs and, 
where international standards would not be deem ed appropriate, Cambodia should consider drawing 
upon WTO consistent standard setti ng work of other governments.   
118. In reply, the representative of Cambodia re ferred to the revised Action Plan for the 
Implementation of the SPS Agreement which, in his view, contained very specific guidelines and 
details regarding implementation.  Full implemen tation of the SPS Agreement would be achieved by 
2006/2007.  Cambodia would draw upon international standards and the work of other governments 
as appropriate.  In this connection, he noted th at the National Assembly and Senate had ratified 
Protocol 8 on Sanitary and Phytosanitary me asures of the ASEAN Framework Agreement on the 
facilitation of goods in transit.   
Trade-Related Investment Measures (TRIMs)  
119. The representative of Cambodia said that the Law on Investment of 4 August 1994 and 
Chapter 7 of Government Sub-Decree No. 88 ANKR.BK on the Implementation of the Law on 
Investment of 29 December 1997 contained certain trade-related provisions, including 100 per cent 
exemption of import duties on construction materials,  means of production, equipment, intermediate 
goods, raw materials and spare parts for export-orie nted investment projects with a minimum of 
80 per cent of the production exported, and for proj ects located in a designated special promotion 
zone.  These measures were, in his view, incentives c onsistent with the Agreement on Trade-Related WT/ACC/SPEC/KHM/4 
Page 32  
 
Investment Measures, and would be maintained as  long as they would meet Cambodia's development 
needs.   
State trading entities
 
120. The representative of Cambodia said that el even State-owned companies engaged in 
importation and exportation of products such as  rice, rubber, fertilizer, fishery products, 
pharmaceutical products and agricultural equipment.  The enterprises operated in full accordance with 
commercial considerations and private business practi ces, and no special privileges were granted to 
them.  He was thus of the view that none of Cambodia's State-owned enterprises came within the 
scope of Article XVII of the GATT 1994, the Unde rstanding on the Interpretation of Article XVII of 
the General Agreement on Tariffs and Trade 1994, or  the informal illustrative list of State-trading 
enterprises contained in document G/STR/4. 
121. Asked to provide more precise information a bout the trade activities of these enterprises and 
their relations with the Government, the repres entative of Cambodia said that the Green Trade 
Company (GTC), established by sub-Decree No. 78 of 23 November 1998, managed Cambodia's national reserve of rice through purchases and sales ma de at market prices.  Although the Green Trade 
Company was free to trade in foodstuff and other commodities of its own choice, in practice the GTC 
has so far only engaged in the rice trade.  Other than the initial capitalization of 12 billion Riels, 
subscribed by the Government of Cambodia in 1998, the GTC had received no funding or financial 
contributions from public funds.  Each year the GT C remitted 1 per cent of its total turnover or 
20 per cent of its gross profits, whichever was higher, to the Government as return on the equity.  The 
company's needs for operational liquidity or work ing capital would be financed by the regular 
banking system at market rates.  If requested, and subject to approval by th e Minister of Economy and 
Finance, his Government could issue guarantees for such loans.  The GTC was subject to technical 
supervision by the Ministry of Commerce, and fina ncial supervision by the Ministry of Economy and 
Finance.  Prior to 26 July 2001, when export li cences for rice had been lifted, the Green Trade 
Company had upon request provided market informa tion and advice to the Ministry of Commerce for 
the issuance of export licences.  Since then, the Gree n Trade Company had had no further role to play 
in Cambodia's rice exports as the company engaged solely in distribution and domestic trade in rice.   
122. Established through Anukret No. 12 of 18 February 1999, the Agricultural Inputs Company 
was managed by a board of five directors from the Ministry of Agriculture, Forestry, and Fisheries, 
Ministry of Economy and Finance, and Ministry of Commerce.  The company engaged in importation, purchase and sale of agricultural produc ts (fertilizer, pesticides, seeds and agricultural 
equipment), warehousing and managi ng the distribution of donated fertilizers and agricultural inputs,  WT/ACC/SPEC/KHM/4 
 Page 33 
 
 
administered statistical data, and participated in training programmes and research.  He stressed that 
the Agricultural Inputs Company operated on a stric tly commercial basis, in competition with the 
private sector.  Imports of agricultural inputs by the Agricultural Inputs Company had been effected 
though private enterprises.  In 2002, the company ha d called for bids from private-sector importers to 
supply 15,000 tonnes of fertilizer for delivery in 20 03.  He added that his Government intended to 
establish a committee that would draft a plan fo r full divestment of State ownership in the 
Agricultural Inputs Company by 2006.   
123. Concerning State ownership in the rubber sector, the representative of Cambodia said that 
seven rubber plantations (Chup, Krek, Memot, Snoul, Chamcar Andoung, Boeng Ket and Peam 
Chaing) were being transformed into public ente rprises under the Ministry of Agriculture, Forestry 
and Fisheries pursuant to the Law on Public  Enterprises through Sub-decrees approved on 
15 March 1999.  Although the estates remained St ate-owned, the Sub-decrees conferred full 
autonomy to the Boards of Directors of the estates in the conduct of day-to-day operations, financial 
transactions and management issues, and the ente rprises received no privileges from the Government.  
An audit exercise was currently being conducted fo r each estate to determine whether it should be 
closed, sold to the private sector, or  turned into a joint-ve nture with majority private ownership.  His 
Government intended to complete the wind-up of Stat e-ownership in the estates by 2006 (Circular by 
the Council of Ministers No. 2018 of 26 December 2002). 
124. The representative of Cambodia confirmed that the operations of the enterprises to be retained 
as State-owned, including the Green Trade Company,  were consistent with  the provisions of GATT 
Article XVII, and that no new privileges in terms of  Article XVII would be granted to the these or 
other entities.   
Free zones, special economic areas  
125. The representative of Cambodia said that there we re currently no free zones in Cambodia. His 
Government was considering the establishment of indu strial zones, including export processing zones.  
Government Sub-Decree No. 73 of 5 October 1995 and Sub-Decree No. 2 of 5 January 1996 foresaw 
the creation of an industrial zone in Stung Hav- Sihanouk Ville, but the project remained to be 
implemented.  Poipet, Koh Kong, Pailin (on the bor der with Thailand) and some other areas along the 
border with Viet Nam were being evaluated as poten tial sites for further export processing zones.  A 
draft Law on Industrial Zones was in preparation and expected to be presented to Parliament in early 
2003. 
126. The representative of Cambodia confirmed that an y free zones established in the future would 
comply with the provisions of the WTO Agreemen ts.  According to the new Law on Customs, goods WT/ACC/SPEC/KHM/4 
Page 34  
 
imported through free zones would be subject to norma l customs formalities, taxes, and tariffs when 
entering the rest of Cambodia. 
Government procurement
 
127. The representative of Cambodia said that a new public procurement system had been in 
operation since 30 July 1995 (Sub-Decree No. 60).  Pr ocurement was carried out through either (i) 
international competitive bidding (ICB);  (ii) domest ic competitive bidding (DCB);  (iii) international 
shopping (IS);  (iv) domestic canvassing (DC);  or (v) direct purchase or direct contracting (Dcon).  
ICB and DCB contracts were advertised publicly and open to all interested bidders, except for 
projects worth less than 20 million Riels, where the pa rticipation of foreign companies was restricted.  
The DCB procedure was applied to projects below 200 million Riels for civil work and 100 million Riels for goods.  The procedure used for procurem ent above these thresholds was the ICB, whose 
regulations complied with internati onal standards.  The last three methods did not require open public 
competition, but participation of fo reign bidders was not prohibited. 
128. The lowest-priced bid was generally chosen under the ICB and DCB procedures, but other 
factors such as the completeness of the bid, deliver y periods, conformity with technical specifications, 
the bidder's experience and financial standing, and required supporting documents might also be 
considered.  International shopping (IS) required price offers from at least two firms located in 
different countries.  He added that practices coul d deviate from established procurement procedures, 
and domestic preference could be granted in cases of emergency purchases, proprietary procurement, 
small-value items, and acquisition of  military equipment and supplies. 
129. Some Members noted that Cambodia's procurem ent policies were relatively open and that 
Cambodia would benefit from membership in th e Agreement on Government Procurement.  A 
Member invited Cambodia to ensu re transparency in its Government procurement practices and 
policies and to consider the work being done in the WTO Working Group on transparency in 
government procurement.   
130. The representative of Cambodia rep lied that Cambodia did not intend to join the plurilateral 
Agreement on Government Procurement for the time being.  He nevertheless took note of Members' 
comments. 
Core labour standards
 
131. Referring to Paragraph 4 of the 1996 WTO Si ngapore Declaration, which obliges all WTO 
Members to observe internationally recognized core  labour standards, a Member noted that although  WT/ACC/SPEC/KHM/4 
 Page 35 
 
 
Cambodia's Labour Law of 1997 was fairly comprehe nsive in defining and protecting internationally 
recognized workers’ rights, the implementation of  core labour standards in Cambodia remained 
problematic in certain areas such as freedom of association (anti-union discrimination, including 
harassment and unwarranted dismissals of union l eaders) and required overtime, including excessive 
and improperly paid overtime.  This  Member urged Cambodia to conti nue to insure its commitment to 
implementing core labour standards, and looked fo rward to continuing cons ultations with Cambodia 
on this matter through bilate ral and multilateral channels. 
132. The representative of Cambodia replied th at Cambodia had been strengthening the 
implementation of its Labor Law and core labour st andards, especially con cerning labour conditions, 
freedom of association, and health and safety at the workplace.  Cambodia was ready to engage in 
further bilateral and multilateral consultations on this matter, con scious that labour standards were 
not, except for prison labour, covered by WTO Agreements. 
Trade in Civil Aircraft  
133. The representative of Cambodia said that the current  rate of duty on civil aircraft and aircraft 
parts ranged from zero to 15 per cent.  Cambodia di d not accord tariff exemptions on equipment, parts 
or technical supplies required for airports in connection with air services.   
Transit  
134. The representative of Cambodia said that Cambodia had no specific regulation related to trade 
in transit.  Cambodia had signed bilateral agreemen ts on transit trade with the Socialist Republic of 
Viet Nam on 3 April 1994 and with Lao PDR on 12  May 1994.  According to the agreement with 
Viet Nam, the parties allowed the transit of goods  across each other’s territory, except for prohibited 
imports and exports such as narcotics, toxic ch emicals, radioactive items, pornographic and other 
materials contrary to public morals, as well as rare, wild and precious animals and plants. 
Agricultural policies  
(a) Imports  – description of the types of border protection maintained 
135. The representative of Cambodia said that Cam bodia imposed no licensing requirements nor 
quantitative restrictions or prohibitions on impor ted agricultural products.  The trade-weighted 
average tariff on agricultural products was approxima tely 17 per cent.  Phytosanitary certificates were 
required for the importation of agricultural products. WT/ACC/SPEC/KHM/4 
Page 36  
 
(b) Exports
 
136. The representative of Cambodia said that Cambodia did not impose prohibitions or 
restrictions on exported agricultural products, except for narcotic drugs.  A 10 per cent tax was levied 
on exports of pure bred cattle and swine, as noted in  Table 8.  Export restrictions on rice had been 
lifted in July 2001, but Cambodia would reserve its right to restrict exports of rice temporarily to prevent or relieve critical shortages of foodstuffs  as foreseen under Article XI:2(a) of the GATT 1994.  
He confirmed that Cambodia operated no export credit, export credit guarantee or insurance 
programmes for agricultural products. 
(c) Internal policies
 – i.e. description of, and the budgetary  expenditure and any revenue foregone 
 involved in each of the domestic support measures in place 
137. The representative of Cambodia said that the majo rity of Cambodia's population lived in rural 
areas and their livelihood depended on agriculture, par ticularly the cultivation of rice.  Government 
policies aimed at improving food output and food secur ity.  The Ministry of Agriculture managed a 
Rice Seed Bank, which provided rice seed to farmers affected by natural disasters.  Local offices of the Ministry of Water Resources and Meteorology also distributed diesel fuel free of charge to be 
used by farmers in the operation of irrigation wa ter pumps in emergency drought situations.   
138. He provided information on domestic support an d export subsidies in agriculture for the 
period 1998-2000 in document WT/A CC/SPEC/KHM/3 of 11 December 2001 and its Revision 1 of 
29 July 2002 and Addendum 1 to that document (background note).  In addition to "green box 
measures", which included the programmes menti oned above as well as farmers' exemptions from 
agricultural land tax and income tax (classified as decoupled income support), the representative of 
Cambodia noted in Supporting Table DS:9 that VAT exemptions on agricultural inputs were generally available to farmers, although estimates of the revenue foregone by the Government were not 
available due to lack of statisti cal data.  Farmers' exemption from land and income taxes, and turnover 
tax or VAT on own produce at the first point of sale,  was an important element of Cambodia's strategy 
towards poverty alleviation and ru ral development.  Plantation-type agricultural entities were 
subjected to VAT.   
139. Responding to a specific question on Cambodia's Rice Reserve Policy, the representative of 
Cambodia added that the objective of the Rice Rese rve was to provide emergency food aid to victims 
of natural disasters.  During 1998- 2000, 1 billion Riels of government funds had been earmarked each 
year for purchases from the Rice Reserve, and the a llocation had increased to 1.64 billion Riels in 
2001 and 3,28 billion Riels in 2002.  Purchases to th e Rice reserve (and sales) were effected by the 
Green Trade Company and had the effect of modera ting movements in the domestic price of rice.   WT/ACC/SPEC/KHM/4 
 Page 37 
 
 
When emergencies triggered the release of ri ce reserves, the National Committee for Disaster 
Management (NCDM) would purchase the rice from the Green Trade Company at cost plus a small 
mark-up.  The NCDM in turn provided the rice to  victims of natural disasters free of charge.   
140. Some Members noted that Cambodia did not provide export subsidies for agricultural 
products, and therefore expected Cambodia to bind its agricultural export subsidies at zero in both 
volume and value terms in its Schedule of Con cessions and Commitments on Goods.  A Member 
noted that Cambodia's "agro-industry" would be eligible for subsidies contingent upon export 
performance, and asked Cambodia to provide a more  precise definition of its "agro-industry" and 
explain how these subsidies would be consistent with the provisions on export subsidies in the 
Agreement on Agriculture.   
141. The representative of Cambodia held the view  that Least Developed Countries were not 
required to undertake any commitments on export su bsidies under the Agreement on Agriculture.  As 
for Cambodia's agro-industry, Sub-Decree No. 88 ANK-BK of 29 December 1997 extended investment incentives to the manufacturing and processing of food and re lated products including 
beverages, fats and oils, suga r confectionery, meat products, da iry products, preserved fruit and 
vegetables, grain mill products, ba kery products and animal feed.  The investment incentives, 
resulting in revenue foregone by his Government, coul d be considered export subsidies in accordance 
with Article 9:1(f) of the Agreement on Agriculture with regard to construction materials, equipment 
and spare parts, but he expected Cambodia to be gran ted flexibility in this area, particularly in the 
light of Article 15:2 of the Agreement on Agricu lture.  As to the remission of import charges on 
inputs consumed in the production process, as defined in Annex II of the Agreement on Subsidies and 
Countervailing Measures, this measure should not be  regarded as a subsidy as Cambodia was not yet 
able to manage a properly functioning duty drawback scheme. 
142. While recognizing Cambodia's LDC status and access to flexibilities in the Agreement on 
Agriculture, some Members considered  the elimination of agricultural export subsidies globally to be 
in Cambodia's interest, and therefore repeated thei r request for Cambodia to bind export subsidies at 
zero, thus refraining from using agricultural export subsidies or any other trade-distorting measures.  
The representative of Cambodia re plied that Cambodia would commit to binding export subsidies at 
zero - except those that would be allowed for de veloping countries as special and differential 
treatment - at the same time as the completion of the phasing-out of all forms of export subsidies by 
all WTO Members.   WT/ACC/SPEC/KHM/4 
Page 38  
 
Textiles Regime
  
143. The representative of Cambodia said that textiles a nd clothing were not subject to any special 
regime in his country.  Although import duties on such products were relatively high in Cambodia – 
on average 34 per cent for garments and 14 per cent on yarn and fabrics – most Cambodian garments 
manufacturers were registered investment firms producing for export, and thus exempt from paying 
duty on imported raw materials a nd intermediate goods.  Cambodia had concluded an Agreement 
Relating to Trade in Cotton, Wool, Man-made Fi bre, Non-Cotton Vegetable Fibre and Silk Blend 
Textile, and Textile Products with the United States.  Under the terms of the bilateral agreement, the 
United States had placed quantitative restricti ons on 13 categories of apparel from Cambodia.  
Exports of certain textile products to Canada were  also restrained under a bilateral agreement.   
144. [The representative of Cambodia confirmed th at the quantitative restrictions on imports 
maintained by WTO Members on textiles and clothing products originating in Cambodia that were in 
force on the date prior to the date of accession of Cambodia to the WTO should be notified to the 
Textiles Monitoring Body (TMB) by the Members main taining such restrictions and would be applied 
for the purposes of Article 2 of the Agreement on Textiles and Clothing.  Thus, for the purposes of 
Cambodia's accession to the WTO, the phrase "in force on the day before the entry into force of the 
WTO Agreement" contained in Article 2.1 of the Agreement on Textiles and Clothing shall be 
deemed to refer to the day prior to the date of  accession of Cambodia to the WTO.  To these base 
levels the increase in growth rates provided for in  Article 2.13 and 2.14 of the Agreement on Textiles 
and Clothing shall be applied, as appropriate, in  the Agreement on Textiles and Clothing from the 
date of Cambodia's accession.] 
Trade-Related Intellectual Property Rights (TRIPS)  
1. General  
(a) Industrial property protection  
145. The representative of Cambodia said that his Government considered the protection of 
intellectual property rights essential for the fosteri ng of economic development, to stimulate foreign 
investment and the transfer of technology, and to  facilitate Cambodia's integration into the world 
economy.  At the outset Cambodia's protection of intellectual property rights had been based on 
Articles 47 and 48 of the Provisions Relating to the Judiciary and Criminal Law and Procedure 
Applicable in Cambodia During the Transitiona l Period, issued on 10 September 1992, and 
Declaration No. 368 of the Ministry of Comme rce on Procedures of the Intellectual Property 
Department of 15 December 1997.  WT/ACC/SPEC/KHM/4 
 Page 39 
 
 
146. He added that his Government had been drafti ng new legislation with the help of foreign 
experts and WIPO to bring Cambodia's legislation into line with the TRIPS Agreement, including a 
Law on Marks, Trade Name, and Acts of Unfair Competition, promulgated on 7 February 2002;  a 
Law on Patents, Utility Models and Industrial Designs;  and a Law on Copyright and Related Rights.  
Further laws on Geographical Indications, Layout Design of Integrated Circuits, Protection of 
Undisclosed Information and Trade Secret, and Plant Variety Protection were in preparation and 
expected to be promulgated in 2004.  Cambodia was also working on a new Civil Code, scheduled for 
adoption in 2004, which would backstop the protection of intellectual property.  He confirmed that the 
new Civil Code would not duplicate provisions  of specific intellectual property laws. 
147. The representative of Cambodia provided detaile d information on the implementation of the 
TRIPS Agreement in document WT/ACC/KHM/7 and its  Revisions 1 and 2.  He also submitted an 
Action Plan in document WT/ACC/KHM/16, and a revised Action Plan in document 
WT/ACC/KHM/16/Rev.1, stressing that the provision of technical assistance would be essential in underpinning the timetable for Cambodia's comp liance with the requirements of the TRIPS 
Agreement. 
(b) Responsible agencies for polic y formulation and implementation
 
148. The representative of Cambodia said that the Department of Intellectual Property of the 
Ministry of Commerce was responsible for the fo rmulation and implementa tion of policy regarding 
trademarks.  The Ministry of Industry, Mines, a nd Energy was in charge of patents and industrial 
designs, the Ministry of Culture and Fine Arts of  copyrights, and the Ministry of Information of 
audio-visual materials. 
149. Asked whether Cambodia intended to rationa lize its administrative arrangements by 
establishing a single agency in charge of the administ ration of rights subject to grant and registration 
such as patents, trademarks and industrial desi gns, the representative of Cambodia replied that 
implementation of the TRIPS Agreement would require extensive technical assistance from WIPO as 
well as WTO Members. 
(c) Participation in internationa l intellectual property agreements  
150. The representative of Cambodia said that Ca mbodia had been a member of the World 
Intellectual Property Organisation (WIPO) since 19 95 and the Paris Convention for the Protection of 
Industrial Property Rights since 1998.  Cambodia intended to join the Berne Convention after 
adoption of the Law on Copyright and Related Rights, and the Patent Cooperation Treaty upon 
enactment of the Law on Patents, Utility Models an d Industrial Designs.  His Government was also WT/ACC/SPEC/KHM/4 
Page 40  
 
considering membership in the International Conven tion for the Protection of New Varieties of Plants, 
and a new law was being drafted to this end with th e assistance of WIPO.  Ratification of the Geneva 
Phonogram Convention and the Brussels Satellite Convention would depend upon the enactment of 
the Law on Copyright and Related Rights and other re levant legislation currently in preparation. 
151. Cambodia had been participating in the ASEAN Framework Agreement on Intellectual 
Property Cooperation since 30 April 1999.  Cambodia had also concluded bilateral agreements on 
intellectual property protection and cooperati on with the United States and Thailand.   
(d) Application of national and MFN treatment to foreign nationals
 
152. The representative of Cambodia said that nati onal and MFN treatment was granted to all 
foreign nationals under existing intellectual property le gislation, and all draft legislation continued to 
integrate the same principles.  
(e) Fees and taxes  
153. The representative of Cambodia said that trad emarks processing fees amounted to US$50 per 
certificate for registration, US$50 per class for publi cation, and US$5 per class for services.  These 
fees were subject to revision by the Ministry of  Commerce.  Fees and taxes concerning patents and 
copyright remained to be determined. 
2. Substantive standards of protection, includi ng procedures for the acquisition and maintenance 
of intellectual property rights  
(a) Copyright protection  
154. The representative of Cambodia said that a new Law on Copyright and Related Rights had 
been adopted by the Council of Ministers in Marc h 2002, ratified by the National Assembly and the 
Senate on 21 January 2003, and was expected to be  promulgated by March 2003.  In the interim, 
copyright protection was regulated by Article 48 of the 10 September 1992 Provisions Relating to the 
Judiciary and Criminal Law and Procedures Applicab le in Cambodia During the Transitional Period.   
155. The draft Law provided copyright protection fo r literary works;  artistic and scientific 
documents;  official legislative, judicial and administrative texts;  spoken works (conferences, 
speeches, sermons, etc.);  dramatic and dramatic-musical works;  choreographic works and pantomimes;  musical compositions with or without words;  audiovisual works with or without sound 
and photographs extracted from these works;  drawi ng, painting, architectural, sculptural, engraving 
and lithography works;  graphic and typographic works;  photographic works and works produced  WT/ACC/SPEC/KHM/4 
 Page 41 
 
 
with techniques similar to photography;  work of ap plied arts;  illustrations, cards, plans, sketches and 
plastic works pertaining to geography, topography, ar chitecture and sciences;  computer programmes;  
and derived works, such as translation, adaptati on, transformation of one or several pre-existing 
works. 
156. Protection was provided for the lifetime of the au thor and 50 years after his/her death.  The 
rights subsisted for 50 years, starting on 1 January of  the calendar year following the date of fixation, 
first disclosure of the performance, or first broa dcast.  In response to a specific question, the 
representative of Cambodia added that the Law included enforcement provisions providing for 
destruction of infringing goods (Articles 58-66).   
157. He also added that the Law on Copyright and Related Rights provided for the protection of 
compilations of data (Articles 7 and 21), computer  programs as literary works, rental rights for 
computer programmes, and the exclusive rights of a broadcaster to authorize rebroadcasts by wireless 
means (Articles 47 and 48).   
(b) Trademarks, including service marks  
158. The representative of Cambodia said that the ne w Law on Marks, Trade Name and Acts of 
Unfair Competition had been promulgated on 7 Fe bruary 2002.  A Sub-Decree to ensure the 
implementation of the Law was expected to be adopted in December 2002.  Under the Law, 
applications for registration of a mark were to be  submitted to the Intellectual Property Division at the 
Ministry of Commerce.  Actual use of a mark was not a condition for filing an application.  Priority 
was given to the person who first validly filed the mark or claimed the earliest priority to the mark.  
Priority rights to a mark already filed in another member of the Paris Convention or the WTO could be conferred, on the basis of the first filing date, to  the same applicant or hi s successor, provided that 
the filing in the Kingdom of Cambodia was made w ithin 6 months following the first filing.  A 
trademark was protected for 10 years and could be renewed indefinitely for successive periods of ten 
years.  Failure to use a registered mark for more  than 5 years without valid reasons could lead to 
nullification of the protection.  Trademark rights c ould be transferred or licenced and the right holder 
had the exclusive right to request  the competent authority to handl e infringement cases.  The use of a 
trademark by a licence holder (but not the mere licensing of the right) was considered as an act of use.   
159. Protection could be granted to a mark without di stinctive characteristics, provided that such 
mark had been widely used and enjoyed a good re putation in Cambodia.  He confirmed that well-
known marks were protected in accordance with Arti cle 6bis of the Paris Convention and Article 16 
of the TRIPS Agreement.  The Law on Marks, Tr ade Name and Acts of Unfair Competition also WT/ACC/SPEC/KHM/4 
Page 42  
 
included provisions concerning unfair competition, including indications or allegations likely to 
mislead the public.  No specific law on unfair competition was envisaged for the time being. 
(c) Geographical indications, including appellations of origin
 
160. The representative of Cambodia said that Cambodia did not protect geographical indications 
at present.  He expected a new law covering this subject, including additional protection for 
geographical indications for wines and spirits, to be  promulgated in 2004.  However, this timeframe 
depended on the delivery of technical assistance,  and no assistance had been provided so far. 
(d) Industrial designs  
161. The representative of Cambodia said that industrial designs were protected according to the 
Law on Patents, Utility Models and Industrial Desi gns, promulgated on 22 January 2003.  Only new 
industrial designs, i.e. designs not disclosed to the public through publication or use prior to the 
priority date, could be registered under the new Law.   Protection did not extend to parts of a design 
dictated essentially by technical considerations.  Industrial designs contrary to public order or 
morality could not be registered.  Applications for re gistration were to be submitted to the Ministry of 
Industry, Mines, and Energy, and the priority date wa s the date of filing or first claim.  Applications 
had to be published to afford an opportunity to oppose the registration.  Protection was provided for 5 
years and could be renewed twice.  Industrial designs  could be transferred or licenced.  The owner had 
the exclusive right to request the competent author ity to take action against infringements and could 
claim compensation.   
162. A Member invited Cambodia to specify how Cambodia's legislation complied with the 
provisions of Article 26.1 of the TRIPS Agreement concerning the right of an industrial design holder 
to prevent the importation of articles bearing or em bodying a protected design.  The representative of 
Cambodia replied that Cambodia's legislation guaranteed the right for the holder to prohibit third persons from "exploiting" a registered industrial desi gn, i.e. by making, selling, or importing articles 
incorporating the industrial design (section 42.1 of the draft Law). 
(e) Patents
 
163. The representative of Cambodia said that the La w on Patents, Utility Models and Industrial 
Designs had been promulgated on 22 January 2003.  Drafting of implementing regulations under this 
Law would commence in the first quarter of 2003.  Th e Law afforded patent protection to inventions 
which involved an inventive step and were industria lly applicable.  Patents could not be issued for 
discoveries, scientific theories and mathematical  methods;  schemes, rules and methods for doing  WT/ACC/SPEC/KHM/4 
 Page 43 
 
 
business, performing intellectual activities, or play ing games, and computer programs;  diagnostic, 
therapeutic and surgical methods fo r the treatment of human beings a nd animals;  inventions contrary 
to public order or morality;  and biological met hods for breeding plants and animals, other than 
microbiological methods, as well as products derived from these methods.  In response to a specific 
question concerning the exclusions, he added that the algorithms used in computer programmes, not 
the programmes per se,  were ineligible for patent protection, and that "schemes or methods for doing 
business" were only ineligible for pate nt protection to the extent that they lacked practical application.  
These distinctions would be clarified in the implementing regulations to the Law.   
164. Applications for registration were submitted to the Ministry of Indust ry, Mines, and Energy, 
and priority was given to the person having first filed an application or claimed priority to the patent.  
Patent applications were subject to mandatory exam ination as to form and substance.  Patents were 
granted upon expiration of an 18 month period st arting on the priority date and protection was 
provided for 20 years from the filing date.  The patent  holder had the exclusive right to transfer or 
licence a patent and to request third persons to st op infringement, and could claim compensation.  
Provisions on compulsory licensing, contained in Articles 47-62 of the Law on Patent, Utility Models 
and Industrial Designs, could be app lied following three years of non-use of a patent, or if a patented 
product had not been offered for sale in sufficient quantity to supply the Cambodian market without 
valid reason, but only for use predominantl y for the supply of the domestic market.   
(f) Plant variety protection  
165. The representative of Cambodia said that plant varieties had been excluded from the Law on 
Patent, Utility Models and Indus trial Designs.  Thus, Cambodia did not provide plant variety 
protection at present, but a Law on Plant Variety Protection was in preparation with the assistance of UPOV.  Promulgation of the Law was at present foreseen in 2005.   
(g) Layout designs of integrated circuits
 
166. A Member noted that Cambodia's patent utility la w did not appear to contain any provisions 
for the protection of layout-designs as required by Article 35 of the TRIPS Agreement, and sought 
confirmation that these provisions were or would be provided for in a separate law.   
167. The representative of Cambodia said that the subject-matter would be protected through a 
new Law on Layout Designs of Integrated Circu its.  However, progress in promulgating the Law - 
planned for late 2004 – was linked to the av ailability of technical assistance.   WT/ACC/SPEC/KHM/4 
Page 44  
 
(h) Requirements on undisclosed information, including trade secrets and test data
 
168. The representative of Cambodia said that Artic le 128 of the Law on Patent, Utility Models 
and Industrial Designs provided protection for un disclosed data.  In addition, Cambodia would 
prepare and adopt a separate Law on the Protection of  Undisclosed Information and Trade Secrets.  
The Law was planned for adoption by the Nationa l Assembly in 2004 and promulgation in 2005. 
3. Measures to control abuse of intellectual property rights  
169. The representative of Cambodia said that current measures to control abuse of intellectual 
property rights were based on the Provisions Re lating to the Judiciary and Criminal Law and 
Procedure Applicable in Cambodia During the Transitional Period of 10 September 1992, and 
Declaration No. 368 of 15 December 1997 concerni ng measures to control abuse of intellectual 
property rights in Cambodia.  In addition, new la ws such as the Law on Mark s, Trade Name and Acts 
of Unfair Competition, the Law on Copyright and Related Rights and the Law on Patents, Utility 
Models and Industrial Designs c ontained provisions concerning the non-performance of obligations, 
such as failure to pay maintenance fees, or failure to use registered trademarks or patents for the 
period determined by the law, which could result in nullification of the protection or the granting of a 
licence to a third person or administrative body with a view to supplying the domestic market.   
4. Enforcement  
(a) General obligations  
170. The representative of Cambodia said that Cambodia's draft laws on intellectual property 
would comply fully with the provisions of Ar ticle 41 of the TRIPS Agreement concerning the 
availability of enforcement procedures under domestic le gislation, the existence of fair and equitable 
procedures, and the opportunity for parties to proceed ings to obtain the review of final administrative 
decisions and initial judicial decisions by a judicial authority. 
(b) Civil judicial procedures and remedies  
171. The representative of Cambodia said that provisions  on civil judicial procedures and remedies 
had been included in the draft Civil Code, Civil Procedure Code and specif ic intellectual property 
laws currently in preparation.  Implementing regulations for these laws and codes were under 
consideration, and Cambodia was seeking technical assistance from WIPO and WTO Members to 
ensure consistency with TRIPS provisions.  The Civil Procedure Code would include procedures 
concerning civil judgement, execution and provisiona l measures, and intellectual property legislation 
would cover provisions for remedies and provisio nal measures.  Enforcement authorities would  WT/ACC/SPEC/KHM/4 
 Page 45 
 
 
comprise Courts, Customs, as well as CAMCONTROL, an organisation under the authority of the 
Ministry of Commerce, and the Economic Police, both in charge of fraud repression and inspections 
of exported and imported goods.  Under the new regulations, courts - including municipal and 
provincial courts – would have the authority to handle cases of abuse of intellectual property rights, 
disputes over royalties and remuneration, violation of authors and application rights, and disputes 
related to the transfer and licensing of rights.  Th e injured party could seek co urt injunctions to stop 
infringement and claim compensation for damages.  The amount of damages would be calculated on a 
case-by-case basis.  Addressing a query by a Member regarding the factors used by the Courts to determine the damages in the absence of specific legislation on this issue, the representative of 
Cambodia said that the calculation was based on th e value of the benefits lost because of the 
infringement and on the duration of the infringement act.  He added that this matter was currently 
being discussed among judges and relevant authorities.  The Civil Code and the Civil Procedure Code 
would provide the legal authority, though no deta iled provisions, for the award of damages and other 
remedial measures.  He nevertheless believed that  Cambodia's current IPR legislation and its future 
laws were, and would remain, in full compliance w ith the requirements of Article 48 of the TRIPS 
Agreement with respect to the indemnification of the defendant. 
172. Courts had the authority to order that docume nts be produced (Article 152 of the draft Civil 
Procedure Code), and failure to do so would lead the Court to consider the other party's allegations to 
be true (Article 153), and to impose a fine on  the impeding party (Article 154).  Confidential 
information was protected under Article 42 of th e Trademarks Law and Article 128 of the draft 
Patents Law.  A general provision referring to specifi c legislation was included in Article 115.1 of the 
draft Civil Procedure Code.   
173. In response to a specific question, the represen tative of Cambodia said that draft legislation 
had not provided judicial and administrative official s the authority to order infringers to provide right 
holders with information on third parties involved in the production and distribution of infringing 
goods, as mentioned in Article 47 of the TRIPS Agre ement, but investigative judges could request 
infringers to submit such information to the Court in the case of criminal procedures, and the issue was addressed in Article 42 (second paragraph) of th e Law on Marks, Trade Name and Acts of Unfair 
Competition.  He confirmed that decisions on the merits in Court proceed ings were provided in 
writing and made available to the public through publication in newspapers , and added that his 
Government was also considering the publication of Court decisions in the Official Gazette of the Ministry of Commerce.   WT/ACC/SPEC/KHM/4 
Page 46  
 
(c) Provisional measures
 
174. The representative of Cambodia said that courts and authorities responsible for administrative 
enforcement of intellectual property legislation ha d the authority to order prompt and effective 
provisional measures based on prima facie  evidence to prevent an infringement and preserve relevant 
evidence.  Pursuant to Article 30a of the Law on Marks, Trade Name and Unfair Competition, there 
was prima facie  evidence when there were reasonable grou nds to believe that an infringement was 
taking place.  Applicable provisional measures include d detention of material evidence and facilities, 
search for concealed materials and facilities, orde r to stop an infringement, confiscation of the 
infringing goods, and temporary seizure of the goods  with a view to ensuring proper compensation. 
(d) Administrative procedures and remedies  
175. The representative of Cambodia said that under th e new regulations the authorities competent 
to apply administrative measures and remedies were the Market Control sections of the Ministry of 
Commerce, Ministry of Industry, Mines, and Energy, and Ministry of Culture and Fine Arts;  Customs 
offices;  and the Economic Police.  Administrative measures and remedies included warning, monetary fines up to 20 million Riels (about US$6, 000), seizure of material evidence and facilities, 
destruction of infringing goods, and compensation for damages.  Pursuant to the Law on Marks, Trade 
Name and Acts of Unfair Competition and th e draft Law on Copyrights and Related Rights, 
competent authorities had the power to issue injuncti ons to order a party to stop an infringement and 
to suspend clearance of goods, as stipulated in Artic le 44.1 of the TRIPS Agreement, but did not have 
the authority to order infringers to provide right hol ders with information on third parties involved in 
the production and distribution of infringing goods.  They could however acquire such information 
themselves.  The Law on Marks, Trade Name and Ac ts of Unfair Competition (Article 46) and the 
Law on Copyright and Related Rights (Article 59)  prohibited the re-exportation of counterfeit or 
pirated goods and conferred customs and other comp etent authorities the power to destroy infringing 
goods upon a court decision. 
(e) Special border measures
 
176. The representative of Cambodia said that the draft Law on Customs did not include 
provisions on border measures as required by Article 51-60 of the TRIPS Agreement.  The necessary 
border measures had been incorporated in the La w on Marks, Trade Names and Acts of Unfair 
Competition (Articles 35-47).  In addition, the La w on Copyrights and Related Rights (Article 63) 
included, by reference, all border measures include d in the Law on Marks, Trade Names and Acts of 
Unfair Competition.    WT/ACC/SPEC/KHM/4 
 Page 47 
 
 
177. Cambodia's legislation provided for seizure, fo rfeiture and destruction of infringing goods, 
evidences, copies and equipment used in the creat ion of infringing goods, and prohibited the re-
exportation of counterfeit trademark goods or use of  different customs procedures.  Under the new 
regulations, customs authorities were allowed to in form right holders about the possible importation 
or exportation of infringing goods.  The right holde r could apply to the customs authorities to suspend 
clearance of the suspected goods.  The application should include a detailed description of the goods.  
The customs authorities were obliged to inform th e right holder of the measures taken, and should 
cancel the measures if no proceedings had been initiat ed within 10 days.  The right holder was liable 
for any damages resulting from an unsubs tantiated application.  In case of prima facie  evidence, 
customs authorities could suspend clearance of su spected goods on their own initiative, and should 
immediately inform the right holder of the place and date of suspension. 
(f) Criminal procedures  
178. The representative of Cambodia said that infringement of intellectual property was liable to 
criminal prosecution pursuant to the Law on Marks,  Trade Names and Acts of Unfair Competition 
(Article 49), the Law on Patent, U tility Models and Industrial Designs  (Article 68), and the [draft] 
Law on Copyright and Related Rights (Article 37).  Criminal infringement cases were punishable with 
fines of up to 20 million Riels (about US$6,000) a nd/or prison sentences ranging from 1 to 36 months.  
The maximum penalties were doubled for second offen ces committed within 5 years from the date of 
the first conviction.  Implementing regulations to the laws would specify the circumstances under 
which these criminal penalties would be imposed.  In case of sale, distribution and importation of 
counterfeit pharmaceuticals, provisions in the Law on  the Management of Pharmaceuticals could also 
be applied to impose criminal penalties and protect the rights of the right-holders.   
179. The representative of Cambodia confirmed that implementation of the TRIPS Agreement by 
Cambodia would proceed in accord ance with the revised Action Pl an circulated in document 
WT/ACC/KHM/16/Rev.1, and summarized in Table 12.  Urged by a Member to accelerate work on 
the of the new Civil Procedure Code, which unde rpinned the enforcement of other laws, the 
representative of Cambodia said that the draft Civ il Procedure Code had been completed and would 
be submitted to the Council Of Ministers in the near future.   
180. Having reviewed Cambodia's Action Plan for co mpliance with the requirements of the TRIPS 
Agreement, a Member sought a realistic plan layi ng out the measures that Cambodia would take over 
time to bring its regime into compliance with sp ecific provisions of the TRIPS Agreement as soon as 
possible.  The plan would constitute an understa nding between Cambodia and the Working Party on 
how Cambodia would use the transition period, and form a blueprint for the technical assistance WT/ACC/SPEC/KHM/4 
Page 48  
 
making compliance possible within  the timeframe contemplated.  Cambodia should also provide 
specific assurances on its application of measures covered by the TRIPS Agreement during any 
transition period approved by the Working Party.  TRIPS-consistent measures already in place should 
not be subject to transitions, and Articles 3, 4 and 5 of the TRIPS Agreement, providing for inter alia  
national treatment and MFN treatment, should apply from the date of accession.  Moreover, 
Cambodia should not allow production of goods or work s inconsistent with the substantive provisions 
of the TRIPS Agreement during the transition period.   
Policies affecting trade in services
 
181. The representative of Cambodia said that the services industry, which was dominated by 
private sector, had accounted for approximately 40  per cent of Cambodia's GDP in 1999, having 
grown about 6 per cent per year between 1995 a nd 1999.  The legal fra mework was still under 
development, and a number of services sectors remain ed to be regulated.  Information based on the 
services sectoral classification list was provided in document WT/ACC/KHM/2, Annex 7A. 
182. He added that Cambodia's legisl ation generally complied with the provisions of Article XVI 
of the General Agreement on Trade in Services (GATS) concerning market access and national 
treatment.  However, exceptions existed with rega rd to (i) ownership of newspapers, where foreign 
ownership was limited to 20 per cent of the total nu mber of newspapers in the Cambodian language;  
(ii) activities of companies owned by foreigners , which could not own land;  (iii) medical and 
architectural services;  (iv) the number of foreign nationals to be employed in a particular 
establishment or services sector, which was limited to 10 per cent of the workforce and only available 
to residents of Cambodia.  The Ministry of Labour could authorize a higher percentage of foreign employment where specific skills were not available in the domestic market;  and (v) legal services, 
where national treatment was applied only on the b asis of reciprocity.  Pursuant to the Cambodian 
Law on Bar adopted on 15 June 1995, foreign lawy ers could not represent clients, conduct activities 
to attract clients, or publish commercial advertisem ents.  They were, however, permitted to work in 
partnership with Cambodian lawyers. 
183. In 1989, Cambodia had replaced a mono-type banking system by a two-tier system 
comprising the central bank and commercial banks.  Foreign banks had been authorised in Cambodia 
since 1991.  As of 30 September 2002, the banki ng sector in Cambodia included 13 commercial 
banks, one of which was a State- owned bank, 9 privately-owned ba nks, and 3 foreign-owned banks 
(two of which were subsidiaries).  The Law on Banking and Financial Ins titutions and subsequent 
regulations guaranteed foreign banks  rights and obligations equal to local banks and there was no  WT/ACC/SPEC/KHM/4 
 Page 49 
 
 
restriction regarding foreign owne rship of banks.  A list of laws  and regulations concerning the 
banking sector was provided in document WT/ACC/KHM/2, Annex 2, section 5.   
184. The insurance sector was regulated by the Law on the Establishment of Insurance Industry of 
8 February 1992, the Sub-Decree on the Creation of the State-Owned Insurance Company of 20 September 1990, the Sub-Decree on the Control of  Insurance Activity of 9 June 1992, and the 
Notice of the Government of 22 September 1992.  His Government was developing a new Insurance 
Law to create a general framework for insurance c ontracts, regulate the establishment of insurance 
companies, and fix minimum capital requirements and solvency margins.  Regulations granted exclusive rights to the state-owned Cambodia Na tional Insurance Company (CAMINCO), but his 
Government was pursuing a policy of gradual libera lisation.  Private insurance companies had been 
authorized to operate in co-operation with and under the supervision of CAMINCO.  Other 
government monopolies existed in the supply of post al services, advertising (to expire in 2003), 
railway transport, electricity distribution, and wate r supply.  Preferential credits were being provided 
to Electricité du Cambodge and to water supply ser vices.  Exclusive suppliers were present in the 
wholesale distribution sector.  The representative of Cambodia said that Cambodia's authorities was 
acting in accordance with Article VIII of the GAT S to ensure that monopolies and exclusive service 
suppliers would not abuse their monopoly position outside the scope of their monopoly rights. 
185. In the telecommunication sector, the Ministry  of Posts and Telecommunications of the 
Kingdom of Cambodia (MPTC) was responsible for operating telecommunication services and 
facilities, and issuing licences.  During 1990s, the ma rket had been opened progressively to foreign 
investors in the form of joint ventures delivering in ternational telecommunications and Internet, radio, 
and mobile cellular services.  According to a new law in preparation, Cambodia envisaged to establish 
an independent regulatory body prov iding for more transparency in the delivery of licences.  The new 
law was expected to enter into force by 2005.   
186. Concerning the establishment of enquiry points foreseen in Article III:4 of the GATS, the 
representative of Cambodia noted that developing countries might be granted flexibility as to the time-limit within which such enqui ry points were to be established.  He added that technical 
assistance was being sought and that domestic compan ies could currently obtain information on trade 
in services through the Council for Development, th e Chamber of Commerce and the Department of 
Domestic Trade at the Ministry of Commerce.   
[Cambodia's offer of initial commitments on tr ade in services was circulated in document 
WT/ACC/SPEC/KHM/2 of 11 December 2001.  Revised  offers have been ci rculated in documents 
WT/ACC/SPEC/KHM/2/Rev.1 of 26 July 2002 and WT/ACC/SPEC/KHM/2/Rev.2 of 3 March 2003.] WT/ACC/SPEC/KHM/4 
Page 50  
 
Transparency
 
Publication of information on trade  
187. The representative of Cambodia said that Article  93 of Cambodia's Constitution required laws 
to be published in the Official Gazette and broug ht to the knowledge and attention of the population 
before entering into force. 
Notifications  
188. [The representative of Cambodia said that at the latest upon entry into force of the Protocol of 
Accession, Cambodia would submit all initial notifi cations required by any Agreement constituting 
part of the WTO Agreement.  Any regulations sub sequently enacted by Cambodia which gave effect 
to the laws enacted to implement any Agreement constituting part of the WTO Agreement would also 
conform to the requirements of that Agreement.] 
Trade agreements  
189. The representative of Cambodia said that the si gning of the Paris Peace Agreement in 1991 
and the 1993 elections had allowed Cambodia to rejoin  the international community and participate in 
multilateral and regional institutions.  Thus, Cambodi a was now a member of institutions such as the 
International Bank for Reconstructio n and Development;  the Internati onal Monetary Fund;  the Asian 
Development Bank;  the International Developm ent Association;  the Multilateral Insurance 
Guarantee Agency;  the United Nations Developm ent Programme;  the United Nation Conference on 
Trade and Development;  the Food and Agricultu re Organization;  the International Fund for 
Agricultural Development;  the International Civ il Aviation Organization;  the World Intellectual 
Property Organization;  the International Standards Organization;  the World Health Organization;  
the International Maritime Organization;  the In ternational Telecommunications Union;  the United 
Nations Educational, Scientific and Cultural Organization;  the World Tourism Organization;  the 
Economic and Social Commission for Asia and th e Pacific;  and the Paris Convention for the 
Protection of Industrial Property Rights.   
190. Since 1993, Cambodia had concluded 24 agre ements and memoranda  of understanding 
relating to economic cooperation, foreign trade,  promotion and protection of investment and 
intellectual property rights protection with 13 coun tries, including China, Indonesia, Malaysia, the 
Lao PDR, Viet Nam, Thailand, the Russian Fede ration, the United States, the Philippines and the 
European Union.  The bilateral trade agreements  did not include preferential arrangements, but 
contained provisions granting MFN treatment on a gene ral or specific basis (details are provided in  WT/ACC/SPEC/KHM/4 
 Page 51 
 
 
document WT/ACC/KHM/2, pages 91-93).  In additi on, Cambodia had concl uded non-trade bilateral 
agreements for the promotion and protection of i nvestment with China, the Republic of Korea, 
Singapore, the Swiss Confederation, and Thaila nd;  a Memorandum of Mutual Cooperation on 
Intellectual Property with Thailand;  an Investment  Incentives Agreement with the United States;  an 
Agreement on Cultural and Scientif ic Cooperation with the Russian Federation;  an Agreement on 
Economic, Scientific and Technical Cooperation with Malaysia;  as we ll as transit agreements with 
Lao PDR and Viet Nam. 
191. Cambodia had joined the Association of Sout h-East Asian Nations on 30 April 1999, which 
implied automatic accession to the ASEAN Free Tr ade Area (AFTA).  Together with the other 
members of ASEAN, Cambodia had accepted the Ag reement on the Common Effective Preferential 
Tariff Scheme for the ASEAN Free Trade Area (C EPT), whereby the tariffs applicable to ASEAN 
products would be reduced to 0-5 per cent over a ten year period starting on 1 January 2000.  
Cambodia's Inclusion List (IL), Temporary Exclus ion List (TEL), Sensitive List (SL) and General 
Exception List (GEL) had been endorsed by the 13th AFTA Council and the 31st ASEAN Economic 
Ministers Meeting in October 1999.  At the third ASEAN Informal Summit in November 1999, 
Cambodia had agreed to eliminate tariffs on essentiall y all ASEAN products by 2015.  In addition to 
tariffs, the ASEAN framework also covered areas such as customs, i ndustrial cooperati on, intellectual 
property cooperation, services, economic cooperati on, promotion and protection of investment, 
energy cooperation, facilitation of goods in  transit, mutual recognition, etc.   
192. The representative of Cambodia confirmed that the ASEAN Free Trade Area was the only 
free trade area to which Cambodia was a member, and that Cambodia did not grant trade preferences to any trading partner outside the ASEAN framewo rk.  Asked to provide the texts the FTAs, the 
representative of Cambodia said that the Agreemen ts related to AFTA would be submitted to the 
Working Party if members were unfamiliar with th em.  Statistical data on Cambodia's preferential 
trade was not yet available.  
Conclusions
 
193. The Working Party took note of the explanati ons and statements of Cambodia concerning its 
foreign trade regime, as reflected in this Report.  The Working Party took note of the commitments 
given by Cambodia in relation to certain specifi c matters which are reproduced in paragraphs 
[……………………………………and ………..] of this Report.  The Working Party took note that these commitments had been incorporated in paragraph 2 of the Protocol of Accession of Cambodia to the WTO.   WT/ACC/SPEC/KHM/4 
Page 52  
 
194. Having carried out the examination of the forei gn trade regime of Cambodia and in the light 
of the explanations, commitments and concessions  made by the representative of Cambodia, the 
Working Party reached the conclusion that Ca mbodia be invited to accede to the Marrakesh 
Agreement Establishing the WTO under the provisions of  Article XII.  For this purpose, the Working 
Party has prepared the draft Decision and Protocol  of Accession reproduced in the Appendix to this 
Report, and takes note of Cambodia's Schedule of Concessions and Commitments on Goods 
(document WT/ACC/KHM/…./Add.1) and its Schedule of Specific Commitments on Services 
(document WT/ACC/KHM/…./Add.2) that are annexed to  the draft Protocol.  It is proposed that these 
texts be adopted by the General Council when it ad opts the Report.  When the Decision is adopted, 
the Protocol of Accession would be open for acceptance by Cambodia which would become a Member thirty days after it accepts the said Protocol .  The Working Party agreed, therefore, that it had 
completed its work concerning the negotiations for the accession of Cambodia to the Marrakesh 
Agreement Establishing the WTO.   
_______________ 
  WT/ACC/SPEC/KHM/4 
 Page 53 
 
 
ANNEX I 
Laws, Regulations and Other Information Provided to the Working Party by Cambodia  
 
1. Financial Blueprint of the Royal Government of Cambodia (2001-2010); 
2. "Law on Taxation" of 8 January 1997; 
3. Preah Reach Kram on the "Law on Foreign Exchange", No. CS/RKM/0897/03 of 22 August 
1997; 
4. Preah Reach Kram (Royal Decree) on the "Law  on the Organisation and Functioning of the 
National Bank of Cambodia", No. 0196/27 of 26 January 1996; 
5. National Bank of Cambodia Prakas on the "Accounting Process for Foreign Currency 
Transactions", No. NBC/B700/50 of 17 February 2000; 
6. Draft Law on Negotiable Instruments and Payment Transactions dated September 2002; 
7. "Law on the Investment of the Kingdom of Cambodia" of 4 August 1994; 
8. Draft Amendment of the Law on I nvestment dated 29 March 2002; 
9. Kingdom of Cambodia Anu-Kret on the "Implementation of the Law on Investment of the 
Kingdom of Cambodia", No. 88/ANK/BK of 29 December 1997; 
10. Anu-Kret (Sub-Decree) on the "Organization and Functioning of the Council for 
Development of Cambodia (CDC) of 26 June 1995; 
11. Kingdom of Cambodia Anu-Kret on the "Amendment of Anu-Kret No. 51/ANK/BK on the 
Organization and Functioning of the Counc il for the Development of Cambodia", No. 
048/ANK/BK of 21 May 1999; 
12. Council for the Development of Cambodia (CDC ), Cambodian Investment Board (CIB) and 
Department of Investment Procedures and Law "Document Required to Apply for the 
Cancellation of an Investment Enterprise from the CIB Investment List", "Document 
Required for an Investment Enterprise Application for Shares Transfer and Deposit of a New Memorandum and Articles of Association", "Doc ument Required to Apply for Name Change 
of an Investment Enterprise", "Document Re quired to Apply for Location Change of the 
Investment Enterprise" of 21 August 1998; 
13. Kingdom of Cambodia Council for the Develo pment of Cambodia Sechdkey Chun Damneng 
(Notice) on the "Obligations to Provide Information Regarding the Import and Export 
Activities of Investment Enterprises", No. 1538/99 CDC of 1 July 1999; 
14. Kingdom of Cambodia Anu-Kret on "Measures Restricting Certain Investment Sectors", No. 
80/ANK/BK of 27 August 1999; 
15. Kingdom of Cambodia Council for the Development of Cambodia "Notification on 
Requirement to all Foreign Entities Accomp any with Evidence of Innocence for Filling 
Application Form", No. 2736/99 CDC of 19 November 1999; WT/ACC/SPEC/KHM/4 
Page 54  
 
16. Kingdom of Cambodia Sarachor Nernoam (Instru cting Circular) of the Council for the 
Development of Cambodia on the "Manageme nt and Usage of CDC/CIB Investment 
Incentives by Investment Enterprises", No. 165/00 CDC of 20 January 2000; 
17. Draft Insolvency Law; 
18. Revised Draft Insolvency Law dated July 2002; 
19. Kingdom of Cambodia Sechdkey Chun Damneng (Notice) of the Council for the 
Development of Cambodia on the "Payment of Tax Debt Owed by Investment Enterprises in the Kingdom of Cambodia", No. 538/00 CDC of 22 February 2000; 
20. Kingdom of Cambodia Sarachor Nernoam (Circula r) of the Council for the Development of 
Cambodia on "Procedures for Non-Performing Investment Enterprises", No. 748/00 CDC of 
15 March 2000; 
21. Kingdom of Cambodia Schdey Chun Damneng (Notification) of the Council for the 
Development of Cambodia on "Investment Enterprises", No. 822/00 CDC of 23 March 2000; 
22. Land Law (Unofficial English Translation); 
23. Draft Law of Personal Property Leasing; 
24. Explanatory Notes to the Law of Commercial Contracts of April 2001. 
25. "Law on the Chambers of Commerce" of 16 May 1995; 
26. National Bank of Cambodia Prakas on the "Manage ment of Gemstone and Valuable Metal 
Businesses", No. NBC/999/100 of 10 September 1999; 
27. Kingdom of Cambodia Anu-Kret on the "Creation of a National Permanent Commission for 
Coordinating the Privatization and the Promoti on of Rubber Plantations", No. 52/ANK/BK of 
6 September 1994; 
28. Kingdom of Cambodia Anu-Kret on "Build-O perate-Transfer (BOT) Contract", No. 
11/ANK/BK of 13 February 1998; 
29. Draft Civil Code; 
30. Draft Civil Code dated 3 September 2002; 
31. Draft Code of Civil Procedure of Cambodia; 
32. "Law on the Bar" of 15 June 1995; 
33. "Law on Criminal Procedure" of 28 January 1993; 
34. Decision on the "Provisions Relating to the Judiciary and Criminal Law and Procedure 
Applicable in Cambodia During the Tran sitional Period" of 10 September 1992; 
35. "Law Bearing Upon Commercial Regulations a nd the Commercial Register" of 3 May 1995; 
36. Kingdom of Cambodia Preah Reach Kram "Law on the Amendments of Articles 10, 11, 14, 
16, 17, 21, 22, 25, 26, 28, 29, 30, 31, 32, 33, 34, 35, 36, 37, 38, 40, 42 and 44 of Chapter 2,  WT/ACC/SPEC/KHM/4 
 Page 55 
 
 
Articles 54, 57 and 58 of Chapter 4 and Articles 59 and 60 of Chapter 5 of the Law on the Commercial Rules and Commerce Register", No. NS/RKM/1199/12 of 18 November 1999; 
37. Ministry of Commerce Prakas on "Trading Activities of Commercial Companies", No. 
017/PRK/MoC of 25 January 2000; 
38. Draft Law on Customs dated 15 August 2002; 
39. Cambodia's Customs Tariff 2001; 
40. Kingdom of Cambodia Prakas of the Council for Development of Cambodia on the 
"Provision of Customs Duty Exemption Incentives for Support Industries in Subsequent Years and Authorization for Shares Transfer", No. 2895/99/CDC of 9 December 1999; 
41. "Law on the Management of Pharmaceuticals" of 9 May 1996; 
42. Prakas on the "Implementation of the Pre-Shipment Inspection Service" of 31 August 2000. 
43. Ministry of Commerce Prakas (Declaration) on the "Issuance of the Certificate of Origin, 
Commercial Invoice and Export Licence for Garments", No. 1437/MOC/PRK of 21 June 1999; 
44. Ministry of Commerce Prakas "Amending and Suppl ementing the Issuance of Certificates of 
Origin, Commercial Invoices and Export Licenses for Exported Garments", No. 3414/MOC 
of 29 October 1999; 
45. Preah Reach Kram on the "Law on the Manageme nt of Quality and Safety Products and 
Services", No. NS/RKM/0600/001 of 2 June 2000; 
46. Kingdom of Cambodia Anu-Kret on "Standards and Management of Agricultural Materials",  
No. 69/ANK/BK of 28 October 1998; 
47. Draft Sub-Decree on Plant Quarantine; 
48. Draft Sub-decree on Sanitary Inspection of Anim al and Animal Products dated 11 June 2002; 
49. Kingdom of Cambodia Anu-Kret on "Forest Management Concessions", No. 05/ANK/BK of 
7 February 2000; 
50. Law on Forestry dated August 2002; 
51. Kingdom of Cambodia Sechdey Samrech on the "E stablishment of Joint Inter-Ministerial 
Committee for the Prevention of Illegal Fisheri es Infractions on Cambodian Territorial Seas", 
No. 18/SSR/RGC of 3 April 2000; 
52. Draft Law on Fisheries; 
53. Draft Water Supply Law; 
54. Draft Water Supply and Sanitation Regulatory Law; 
55. Draft Law on Water Resources Management; 
56. Draft Law on Copyright and Related Rights; WT/ACC/SPEC/KHM/4 
Page 56  
 
57. Revised Draft Law on Copyright and Related Rights dated May 2002; 
58. Draft Patent Utility Law; 
59. Draft Law on the Protection of Patents, Utility  Model Certificates and Industrial Designs 
dated 12 October 2001; 
60. Decision on the Establishment of the Inquiry Poin ts for (1) Services, (2) SPS,  (3) TBT, and  
(4) Legal compliance with WTO agreements dated 26 July 2002; 
61. Law on Corporate Accounts, Their Audit and The Accounting Profession; 
62. National Bank of Cambodia Prakas on "Banking Li cense Incorporated Under Domestic Law", 
No. Thor.796-153 Bis Pra.Kar of 25 October 1996; 
63. Preah Reach Kram on the "Law on Banki ng and Financial Institutions", No. 
NS/RKM/1199/13 of 19 October 1999;   
64. National Bank of Cambodia Prakas on the "Structu re of the Foreign Trade Bank of Cambodia 
and Roles/Duties of its Subordinated Offi ces", No. B8/99/140 of 21 December 1999; 
65. National Bank of Cambodia Prakas on "Licensing of Rural Credit Specialized Banks" No. 
NBC/B700/05 of 1 January 2000; 
66. National Bank of Cambodia Prakas on "the Li censing of Banks", No. NBC/B700/04 of 10 
January 2000; 
67. National Bank of Cambodia Prakas on the "Licen sing of Micro-Financing Institutions", No. 
NBC/B700/06 of 11 January 2000; 
68. National Bank of Cambodia Prakas on "Liqui dity for Banks and Micro Financing 
Institutions", No. NBC/B700-08 of 9 February 2000; 
69. National Bank of Cambodia Prakas on "Banks' Minimum Capital", No. NBC/B700/39 of 9 
February 2000; 
70. National Bank of Cambodia Prakas on "Banks' Solvency Ratio", No. NBC/B700/46 of 16 
February 2000; 
71. National Bank of Cambodia Prakas on the "Banks' Net Worth Calculation", No. 
NBC/B700/47 of 16 February 2000; 
72. National Bank of Cambodia Prakas on the "Cl assification of and Provisioning for Bad and 
Doubtful Debts, Including Interest in Suspense", No. NBC/B700/51 of 17 February 2000; 
73. National Bank of Cambodia Prakas on "C ontrolling Bank's Large Exposures", No. 
NBC/B700/52 of 17 February 2000; 
74. "Insurance Law" No. NS/RKM/0700/02 of 20 June 2000; 
75. Draft Sub-Decree on Insurance dated 21 September 2002; 
76. Draft Telecom Act; 
77. Draft Tourism Law;  WT/ACC/SPEC/KHM/4 
 Page 57 
 
 
78. Revised Draft Tourism Law dated 23 May 2002; 
79. "Law on Nationality" of 20 August 1996; 
80. "Law on Immigration" of 26 August 1994; 
81. "Labour Law" of 13 March 1997; 
82. "Law on the Press" of 18 July 1995; 
83. Draft Law of Secured Transactions;  
84. Draft Highway Code;  and 
85. Royal Decree on the "Law on the Suppression of Gambling", No. NS/R. Decr/0196/28 of 26 
January 1996. 
 
  WT/ACC/SPEC/KHM/4 
Page 58  
Table 1(a):  Status of State-Owned Enterprises (at end-April 2000)  
Enterprises to be Retained En terprises to be Privatized En terprises already Privatized 
Controlling Ministry 
Fully active Reduced 
activity Idle Total Fully activeReduced 
activity Idle Total Leased 
enterprises Joint 
venture Sold to 
private 
sector Enterprises 
already 
transformed 
into Public 
EnterprisesTotal 
P l a n n i n g  0  000000  000101  
Agriculture 0 0 0 0 5 2 0 7 22 2 0 7 31 
Commerce 0 0 0 0 0 2 0 2 19 0 5 3 27 
C u l t u r e  0  000000  040004  
H e a l t h  0  000000  011114  
Industry 0 0 0 0 0 3 0 3 50 0 4 0 54 
Public works and Transport 4 1 0 5 0 4 0 4 15 0 2 0 17 
P o s t  a n d  T e l e c o m m u n i c a t i o n s  0  000000  021003  
C o u n c i l  o f  m i n i s t e r s  1  001000  031206  
F i n a n c e   0  000000  000303  
F o r e i g n  A f f a i r s  0  000000  080008  
D e f e n c e  0  000000  060006  
I n f o r m a t i o n  0  000000  040004  
E d u c a t i o n  0  000000  070007  
T o u r i s m  0  000000  050005  
U r b a n i z a t i o n  2  002000  050005  
I n t e r i o r  0  000000  010203  
Total 7 1 0 8 5 11 0 16 152 5 20 11 188  WT/ACC/SPEC/KHM/4 
 Page 59 
 
 
Table 1(b):  Enterprises to remain in State owne rship upon completion of the privatization programme  
No. Ministry State-owned enterprises to be retained 
1. Ministry of Commerce Green Trade Company 
2. Ministry of Industry, 
Mines and Energy Electricity of Cambodia (EDC) 
3. Office of the Council of 
Ministers Printing House of the Office of the Council of Ministers 
4. Ministry of Economy and 
Finance Rural Development Bank 
5. Ministry of Public Works 
and Transport  Sihanouk Ville Port, Phnom Penh Port, Kampuchea Shipping Agency and 
Broker (KAMSAB), Laboratory of Co nstruction, Royal Railway Station, 
Neak Loeung Ferry, Prek Tamak Ferry and Prek Kdam Ferry. 
6. Ministry of Agriculture, 
Forestry, and Fisheries Agricultural Inputs Company.  
Discussions are ongoing on whether th e 7 Rubber State-owned enterprises 
are be retained as state-owned ente rprises after the privatization is 
completed. 
 WT/ACC/SPEC/KHM/4 
Page 60  
 
Table 2:  Excise taxes levied on moto r vehicles and motorcycles in Cambodia
 
 
Head-
ing HS - Code Description of Goods Excise 
Rate 
87.02   Motor vehicles for the transport of ten or more persons, including the 
driver.   
    - With compression-ignition internal combustion piston engine (diesel or 
semi-diesel):   
  8702.10.10  - - Gross vehicle weight exceeding 6t but not exceeding 18t, not fully 
assembled 10 
  8702.10.20  - - Gross vehicle weight exceeding 6t but not exceeding 18t, fully 
assembled 10 
  8702.10.90  - - Other 10 
  8702.90.00  - Other 10 
87.03  Motor cars and other motor vehicles principally designed for the transport 
of persons (other than those of heading No. 87.02), including station 
wagons and racing cars.   
    - Other vehicles, with spark-i gnition internal combustion reciprocating 
piston engine:   
    - - Of a cylinder capac ity not exceeding 1,000 cc:   
  8703.21.20 
  - - - Other vehicles for the transport of not more than 8 persons, including 
the driver 20 
  8703.21.30   - - - Other vehicles for the transport of 9 persons, including the driver 20 
    - - Of a cylinder capacity exceedin g 1,000 cc but not exceeding 1,500 cc:   
  8703.22.20 
  - - - Other vehicles for the transport of not more than 8 persons, including 
the driver 20 
  8703.22.30  - - - Other vehicles for the transport of 9 persons, including the driver 20 
    - - Of a cylinder capacity exceedin g 1,500 cc but not exceeding 3,000 cc:   
    - - - Other, of a cylinder cap acity exceeding1500 cc but not exceeding 
2,000 cc:   
  8703.23.21  - - - - For the transport of not more than 8 persons, including the driver 20 
  8703.23.22  - - - - For the transport of 9 persons, including the driver 20 
    - - - Other, of a cylinder capac ity exceeding 2,000 cc but not exceeding 
3,000 cc:   
  8703.23.31   - - - - For the transport of not more than 8 persons, including the driver 30 
  8703.23.32   - - - - For the transport of 9 persons, including the driver 30 
    - - Of a cylinder capacity exceeding 3,000 cc:   
    - - - Other, of a cylinder capacity not exceedi ng 4,000cc:   
  8703.24.21  - - - - For the transport of not more than 8 persons, including the driver 30 
  8703.24.22  - - - - For the transport of 9 persons, including the driver 30 
    - - - Other, of a cylinde r capacity exceeding 4,000 cc:   
  8703.24.31   - - - - For the transport of not more than 8 persons, including the driver 30 
  8703.24.32  - - - - For the transport of 9 persons, including the driver 30 
    - Other vehicles, with compression-ignition internal combustion piston 
engine (diesel or semi-diesel):   
     - - Of a cylinder capacity not exceeding 1,500 cc:   
     - - - Other , of cylinder capacity not exceeding 1,000 cc:   
  8703.31.21  - - - - For the transport of not more than 8 persons, including the driver 20 
  8703.31.22  - - - - For the transport of 9 persons, including the driver 20 
    - - - Other, of a cylinder capac ity exceeding 1,000 cc but not exceeding 
1,500 cc:   
  8703.31.31  - - - - For the transport of not more than 8 persons, including the driver 20 
  8703.31.32  - - - - For the transport of 9 persons, including the driver 20  WT/ACC/SPEC/KHM/4 
 Page 61 
 
 
Head-
ing HS - Code Description of Goods Excise 
Rate 
    - - Of a cylinder capacity exceedin g 1,500 cc but not exceeding 2,500 cc:   
    - - - Other, of a cylinder capac ity exceeding 1,500 cc but not exceeding 
2,000 cc:   
  8703.32.21  - - - - For the transport of not more than 8 persons, including the driver 20 
  8703.32.22  - - - - For the transport of 9 persons, including the driver 20 
    - - - Other, of a cylinder capac ity exceeding 2,000 cc but not exceeding 
2,500 cc:   
  8703.32.31  - - - - For the transport of not more than 8 persons, including the driver 30 
  8703.32.32  - - - - For the transport of 9 persons, including the driver 30 
    - - Of a cylinder cap acity exceeding 2,500cc:   
    - - - Other, of a cylinder cap acity exceeding 2,500cc but not exceeding 
3,000 cc:   
  8703.33.21  - - - - For the transport of not more than 8 persons, including the driver 30 
  8703.33.22  - - - - For the transport of 9 persons, including the driver 30 
    - - - Other, of a cylinde r capacity exceeding 3,000 cc:   
  8703.33.31  - - - - For the transport of not more than 8 persons, including the driver 30 
  8703.33.32   - - - - For the transport of 9 persons, including the driver 30 
87.04   Motor vehicles for the transport of goods   
    - Other, with compression-ignition internal combustion piston engine   
(diesel or semi-diesel):   
  8704.21.00  - - G.v.w.  not exceeding 5 tonnes  10 
  8704.22.00  - - G.v.w. exceeding 5 tonnes but not exceeding 20 tonnes 10 
  8704.23.00  - - G,v,w, exceeding 20 tonnes. 10 
    - Other, with spark-ignition internal combustion piston engine:   
  8704.31.00  - - G.v.w.not exceeding 5 tonnes  10 
  8704.32.00  - - G.v.w. exceeding 5 tonnes  10 
  8704.90.00  - Other 10 
87.06 
   Chassis fitted with engines, for the motor vehicles of headings Nos. 87.01 
to 87. 05.   
  8706.00.10 
  - For vehicles of subheading No. 8702.10.10 of gross vehicle weight   of 
6t or more but not exceeding 18t  10 
    - For vehicles of heading No 87.03:   
  8706.00.21 
  - - For vehicles of subheadings No  8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20  
  8706.00.22 
  - - For vehicles of subheadings No  8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 30  
  8706.00.23 
  - - For vehicles of subheadings No  8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10,  8703.32.10,8703.33.10 10  
  8706.00.90  - Other 10 
87.07   Bodies (including cabs), for the motor vehicles of headings Nos. 87.01 to 
87.05.   
    - For vehicles of heading No 87.03:   
  8707.10.10 
  - - For vehicles of subheadings No  8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20  
  8707.10.20 
  - - For vehicles of subheadings No  8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32  30 
  8707.10.30 
  - - For vehicles of subheadings No  8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10 WT/ACC/SPEC/KHM/4 
Page 62  
 
Head-
ing HS - Code Description of Goods Excise 
Rate 
  8707.90.00  - Other 10 
87.08   Parts and accessories of the moto r vehicles of headings nos. 87.01 to 
87.05.   
    - Bumpers and parts thereof:   
    - - Of moulded plastic:   
  8708.10.12 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10  
  8708.10.13 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20 
  8708.10.14 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 30 
  8708.10.15 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10 
    - - Other:   
  8708.10.92 
  - - - For vehicles of heading Nos. 8702 and 8704 except subheading 
No.8704.10.00 10 
  8708.10.93 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20 
  8708.10.94  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21,    
      8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 
8703.33.21,    
      8703.33.22, 8703.33.31, 8703.33.32 30 
  8708.10.95 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10  
    - Other parts and accessorie of  bodies (including cabs):   
    - - Safety seat belts:   
  8708.21.20 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10 
  8708.21.30 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20 
  8708.21.40 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 30  
  8708.21.50 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10  
    - - Other:   
    - - - Components of door trim assembly:   
  8708.29.12 
  - - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10  
  8708.29.13 
  - - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 
8703.22.20, 8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 
8703.31.31, 8703.31.32, 8703.32.21, 8703.32.22 20 
  8708.29.14 
  - - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 
8703.24.21, 8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 
8703.33.21, 8703.33.22, 8703.33.31, 8703.33.32 30 
  8708.29.15 
  - - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 
8703.23.10, 8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10  10 
    - - - Other:    WT/ACC/SPEC/KHM/4 
 Page 63 
 
 
Head-
ing HS - Code Description of Goods Excise 
Rate 
  8708.29.92 
  - - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10 
  8708.29.93 
  - - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 
8703.22.20, 8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 
8703.31.31, 8703.31.32, 8703.32.21, 8703.32.22 20  
  8708.29.94 
  - - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 
8703.24.21, 8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 
8703.33.21, 8703.33.22, 8703.33.31, 8703.33.32 30  
  8708.29.95 
  - - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 
8703.23.10, 8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10  
    - Brakes and servo-brakes and parts thereof:   
    - - Mounted brake linings:   
  8708.31.20 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10 
  8708.31.30 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20 
  8708.31.40 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 30 
  8708.31.50 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10 
    - - Other:   
  8708.39.20 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10 
  8708.39.31 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20 
  8708.39.40 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 30 
  8708.39.50  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10,    
      8703.23.10, 8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10 
    - Gear boxes:   
    - - Not fully assembled:   
  8708.40.12 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10 
  8708.40.13 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20 
  8708.40.14 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 30 
  8708.40.15 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10 
    - - Fully assembled:   
  8708.40.22 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10 
  8708.40.23 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20 
  8708.40.24 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 30 WT/ACC/SPEC/KHM/4 
Page 64  
 
Head-
ing HS - Code Description of Goods Excise 
Rate 
  8708.40.25 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10 
    - Drive-axles with differential, whether or not provided with other 
transmission components:   
    - - Not fully assembled:   
  8708.50.12 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00  10 
  8708.50.13 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20 
  8708.50.14 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 10 
  8708.50.15 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10 
    - - Fully assembled:   
  8708.50.22 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10 
  8708.50.23 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20 
  8708.50.24 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 30 
  8708.50.25 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10 
    - Non-driving axles and parts thereof:   
    - - Not fully assembled:   
  8708.60.12 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10 
  8708.60.13 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20 
  8708.60.14 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 30 
  8708.60.15 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10 
    - - Fully assembled:   
  8708.60.22 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10 
  8708.60.23 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20 
  8708.60.24 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 30 
  8708.60.25 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10 
    - Road wheels and part s and accessories thereof:   
    - - Wheel centre discs:   
  8708.70.12 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10  WT/ACC/SPEC/KHM/4 
 Page 65 
 
 
Head-
ing HS - Code Description of Goods Excise 
Rate 
  8708.70.13 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20 
  8708.70.14 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 30 
  8708.70.15 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10  
    - - Other:   
  8708.70.92 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00  10 
  8708.70.93 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20  
  8708.70.94 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 30  
  8708.70.95 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10  10 
    - Suspension shock-absorbers:   
    - - Parts:   
  8708.80.12 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10  
  8708.80.13 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22  20  
  8708.80.14 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 30  
  8708.80.15 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10  
    - - Other:   
  8708.80.92 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00  10  
  8708.80.93 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22   20 
  8708.80.94 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32  30  
  8708.80.95 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10  
    - Other parts and accessories:   
    - - Radiators:   
  8708.91.20 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10  
  8708.91.30 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20  
  8708.91.40 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32  30 
  8708.91.50 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10  WT/ACC/SPEC/KHM/4 
Page 66  
 
Head-
ing HS - Code Description of Goods Excise 
Rate 
    - - Silencers and exhaust pipes:   
    - - - Straight-through silencers:   
  8708.92.12 
  - - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10  
  8708.92.13  - - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 
8703.22.20, 8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 
8703.31.31, 8703.31.32, 8703.32.21, 8703.32.22 20  
  8708.92.14 
  - - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 
8703.24.21, 8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 
8703.33.21, 8703.33.22, 8703.33.31, 8703.33.32 30  
  8708.92.15   - - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 
8703.23.10, 8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10  
    - - - Other:   
  8708.92.92 
  - - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10  
  8708.92.93 
  - - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 
8703.22.20, 8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 
8703.31.31, 8703.31.32, 8703.32.21, 8703.32.22  20  
  8708.92.94 
  - - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 
8703.24.21, 8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 
8703.33.21, 8703.33.22, 8703.33.31, 8703.33.32  30  
  8708.92.95 
  - - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 
8703.23.10, 8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10  10 
    - - Clutches and parts thereof:   
  8708.93.20 
  - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10  
  8708.93.30 
  - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 8703.22.20, 
8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 8703.31.31, 
8703.31.32, 8703.32.21, 8703.32.22 20  
  8708.93.40 
  - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 8703.24.21, 
8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 8703.33.21, 
8703.33.22, 8703.33.31, 8703.33.32 30  
  8708.93.50 
  - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 8703.23.10, 
8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10   10 
    - - Steering wheels, steeri ng columns and steering boxes:   
    - - - Steering wheels:   
  8708.94.12 
  - - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00  10 
  8708.94.13 
  - - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 
8703.22.20, 8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 
8703.31.31, 8703.31.32, 8703.32.21, 8703.32.22 20  
  8708.94.14 
  - - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 
8703.24.21, 8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 
8703.33.21, 8703.33.22, 8703.33.31, 8703.33.32 30  
  8708.94.15 
  - - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 
8703.23.10, 8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10  
    - - - Steering columns and steering boxes:   
  8708.94.22 
  - - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10 
  8708.94.23 
  - - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 
8703.22.20, 8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 
8703.31.31, 8703.31.32, 8703.32.21, 8703.32.22 20  WT/ACC/SPEC/KHM/4 
 Page 67 
 
 
Head-
ing HS - Code Description of Goods Excise 
Rate 
  8708.94.24 
  - - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 
8703.24.21, 8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 
8703.33.21, 8703.33.22, 8703.33.31, 8703.33.32  30 
  8708.94.25 
  - - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 
8703.23.10, 8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10  
    - - Other:   
    - - - Brake and clutch pedals; chassis for Asian Utility Vehicles; fuel 
tanks, assembled:   
  8708.99.12 
  - - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10  
  8708.99.13 
  - - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 
8703.22.20, 8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 
8703.31.31, 8703.31.32, 8703.32.21, 8703.32.22 20  
  8708.99.14 
  - - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 
8703.24.21, 8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 
8703.33.21, 8703.33.22, 8703.33.31, 8703.33.32 30  
  8708.99.15 
  - - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 
8703.23.10, 8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10  10 
    - - - Unassembled fuel tanks:   
  8708.99.22 
  - - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10  
  8708.99.23 
  - - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 
8703.22.20, 8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 
8703.31.31, 8703.31.32, 8703.32.21, 8703.32.22 20  
  8708.99.24 
  - - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 
8703.24.21, 8703.24.22, 8703.24.31, 8703.24.32, 8703.32.31, 8703.32.32, 
8703.33.21, 8703.33.22, 8703.33.31, 8703.33.32 30  
  8708.99.25 
  - - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 
8703.23.10, 8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10  
    - - - Other:   
  8708.99.92 
  - - - - For vehicles of headings Nos. 8702 and 8704 except subheading 
No.8704.10.00 10 
  8708.99.93 
  - - - - For vehicles of subheadings No 8703.21.20, 8703.21.30, 
8703.22.20, 8703.22.30, 8703.23.21, 8703.23.22, 8703.31.21, 8703.31.22, 
8703.31.31, 8703.31.32, 8703.32.21, 8703.32.22 20 
  8708.99.94 
  - - - - For vehicles of subheadings No 8703.23.31, 8703.23.32, 
8703.24.21, 7803.24.22, 7803.24.31, 7807.24.32, 7807.32.31, 7807.32.32, 
7807.33.31, 
 8703.33.22, 8703.33.31, 8703.33.32 30 
  8708.99.95 
  - - - - For vehicles of subheadings No 8703.21.10, 8703.22.10, 
8703.23.10, 8703.24.10, 8703.31.10, 8703.32.10, 8703.33.10 10 
       
87.11 
  Motorcycles (including mopeds) and cycles fitted with auxiliary motors; 
with or without side-cars; side cars.   
    - With reciprocating internal combustion piston engine of a cylinder 
capacity exceeding 50 cc but not exceeding 250 cc:   
  8711.20.20 
  - - With reciprocating internal combustion piston engine of a cylinder 
capacity exceeding 125 cc but not exceeding 250 cc 10 
  8711.30.00 
  - With reciprocating internal combustion   piston engine of a cylinder 
capacity exceeding 250 cc but not exceeding 500 cc 10 
  8711.40.00 
  - With reciprocating internal combustion piston engine of a cylinder 
capacity exceeding 500 cc but not exceeding 800 cc 10 
  8711.50.00 
  - With reciprocating internal combustion piston engine of a cylinder 
capacity exceeding 800 cc 10 WT/ACC/SPEC/KHM/4 
Page 68  
 
Head-
ing HS - Code Description of Goods Excise 
Rate 
    - Other:   
  8711.90.20  - - With cylinder capacity 125 cc or more 10 
87.14  Parts and accessories of vehicles of headings nos. 87 .11 to 87.13.   
    - Of motorcycles (including mopeds):   
    - - Of saddles:   
  8714.11.20 
  - - - For cycles of subheadings Nos. 8711.20.20, 8711.30.00, 8711.40.00, 
8711.50.00, 8711.90.20 10 
    - - Other:   
  8714.19.20 
  - - - For cycles of subheadings Nos. 8711.20.20, 8711.30.00, 8711.40.00, 
8711.50.00, 8711.90.20 10 
 
   
  WT/ACC/SPEC/KHM/4 
 Page 69 
 
 
Table 3:  Imported products exempt from VAT in Cambodia  
HS classification Product description 
0101.11.00;   0102.10.00;   0103.10.00;   
0104.10.10;   0104.20.10;   0105.11.10;   
0105.12.10;   0105.19.10;   0105.19.30;   0105.92.10;   0105.93.10;   0106.00.10;   
0511.10.00;   0701.10.00 Animal species 
1005.10.00;   1006.11.00;   1008.30.00;   
12.04; 12.05;   12.06;   1207.20.00;   1207.30.00;   1207.40.00;   
1207.50.00;   1207.60.00; 1207.91.00;   
12.09;   50.01 Seeds 
23.08;  23.09 except 2309.10.10 and 2309.10.90 Animal feedstuff and supplementary feed 
 
 WT/ACC/SPEC/KHM/4 
Page 70  
 
Table 4:  Pesticides banned from use in Cambodia
 
 
 Common Names Family 
 WHO  Toxicity Classification Trade Names 
 
I. INSECTICIDES 
1 Aldicarb CA Ia   
Aldrine  O  Aldrex 2 
   Aldrite 
BHC/HCH, Lindane OC II Gamma-BHC 3 
   Gamma-HCH 
4 Calcium asenate AS Ib Spra-cal 
Camphenchlor(Toxaphene, 
Polychlorcamphene) O  Alltox 
   Camphopene 5 
   Toxakil 
Chlordane OC II Mablet 90S 6 
   Sake Te-V88 
Chlordimeform O  Acoron 
   Fundex 7 
   Octachlor 
Chlorfenvinphos/CVP OP Ib Apachlor 8 
   Birlane 
9 Chlormephos OP Ia  
10 Cyanthoate/Tartan O   
Cyhexatin OT III Acarstin 
   Metaran 11 
   Triran 
DDT OC II Anofex 12 
   DDT 
13 Demefox O   
14 Demephion-o-and-s O   
15 Demeton-S-methyl OP Ib  
Dieldrin O  Dieldrite 16 
   Dieldrex 
Disulfoton/Ethylthiodemeton OP Ia Bay 17 
   Sovirex 
DNOC NP Ib Elgetol 18 
   Nitrador 
Eldrine/Endrine/nendrine O  Agrine 19 
   Endrotox 
20 EPN OP Ia EPN 
Ethoprop/Ethoprophos OP Ia Prophos 21 
   Jolt 
22 Fensulfothion O  Dasanit 
23 Fonofos OP Ia Dyfonate 4 EC 
Heptachlor OC II Drimex 
   Heptamul 24 
   Heptox 
25 Isodrin(Isomer of Aldrine) O   
26 Isoxathion OP Ib Karphos 
27   Lead asenate AS Ib  
Leptophos O  Abar 
   Fosvel 28 
   MBCP 
29 Mephospholan O  Cytrolane  WT/ACC/SPEC/KHM/4 
 Page 71 
 
 
 Common Names Family 
 WHO  Toxicity Classification Trade Names 
 
30 Mercaptophos O  Systox 
Methamidophos OP Ib Filitox50EC, 600DD, 70 SC 
   Morri 
   Ovansu 
   Vindo 
   Giant 
   Monitor50EC, 50SC,70DD 
   Thom 50EC 
   Marathon 31 
   U-T 70 
32 Methomyl CA Ib Lannat 
33 Methidathion OP Ib Supracide 
Methyl parathion/parathion 
ethyl OP Ia Folidol 
   Metaphos 40ND 
   Methylparathion 
   Pamakon 
   Parathet 
   Ankun-V 
   Validol-V 
   Elxydol-D 
   Treetox 
   Folez-folez 
   Foxintol 34 
   Suthom-M 
Mevinphos OP Ia Phosdrin 
   Phoskin 
   Fitor 
   Bosdin 
   Famoso 240 
   Kvinphos 24 
   Lockphos 
   Mevinphos24DD 
   Sudrin 35 
   X-phos 
Monocrotophos OP Ib Azodrin 50DD, 
50 SCW 
   Apadrin 
   Tanchodrin 
   Worldcron 36 
   Monocrotophos 
37 Oxamyl CA Ib Vydate 
Phorate OP Ia Agrimet 38 
   Timet 
Pentachlorophenol / PCP OC Ib Pentacan 
   Penchlorol 39 
   Pentwar 
Phosphamidon OP Ia Dimecron 40 
   Phos-sul 
Phosfolan O  Cyolan 41 
   Cylan 
42 Prothoate O  Fostion 
43 Schradan O  Sytam WT/ACC/SPEC/KHM/4 
Page 72  
 
 Common Names Family 
 WHO  Toxicity Classification Trade Names 
 
Terphene polychlorinate  II Strabane 44 
   polychlorinate of camphene 
TEPP O  Kilmite 40 45 
   Tetron 
46 Triazophos OP Ib  
II. RODENTICIDES 
47 Antu O  Krysid 
Scilliroside O  Red squill 
   Dethdiet 48 
   Rodine 
49 Talinum compound    
III. HERBICIDES 
2,4,5-T  O Brochtox 
   Decamine 
   Veon 50 
   Weedar 
Dinoseb/Dinoseb 
acetate,amine O  Arenit 51 
   Ivosit 
IV. FUNGICIDE 
53 Asenic compound (AS)    
Captafol OC Ia Difolatal 
   Difolatan 
   Merpafol 
   Sannspor 54 
   Folcid 
Captan Phtgali-
mide Deriv-
ative Un Foipet 
   Captagil 
   Merpan 
   Captafor 55 
   Captan 
Edifenphos OP Ib Agrosan 56 
   Hisan 
Hexachlorobenzene OC Ia Anticaric 
   HCB 57 
   Termid 
58 Mercury Compound ( Hg )    
59 Selenium Compound ( Se )    
60 Sodium Compound     
V. FUMIGANTS 
62 1,1,2,2-Tetrachloroethan Org  GASPA 
63 Ethylene Oxide Org   
Dibromochloropropane OC  Nemagon 64 
   Nemafum 
Ethylene dibromide Org  Agrogas 
   Bromofume 
   Edesol 65 
   Dibrome 
66 Ethylene dichloride Org   
  WT/ACC/SPEC/KHM/4 
 Page 73 
 
 
Note:  
 AS Arsenic Compound 
CA Carbamate 
CO Coumarin derivate Inorg    Inorganic compound 
NP Nitrophenol  derivate  
O Obsolete 
OC Organochlorinecompound 
OP Organophosphorus compound  OT Organotin compound 
Org Organic compound WT/ACC/SPEC/KHM/4 
Page 74  
 
Table 5:  Goods subject to import licensing
 
 
HS Codes Description  Government Body in charge of import 
licensing 
300110, 300120, 300190, 
300210, 300210, 300230, 
300290, 300310, 300320, 300330, 300340, 300390, 
300410, 300420, 300430, 
300440, 300450, 300490, 300510, 300590, 300610, 
300620, 300630, 300640, 
300650, 300660 Pharmaceuticals and 
medical material Ministry of Health, Department of Drugs and 
Food 
310100, 310210, 310220, 
310230, 310240, 310240, 
310250, 310260, 310270, 
310280, 310290, 310310, 310320, 310390, 310410, 
310420, 310430, 310490, 
310510, 310520, 310530, 310540, 310550, 310560, 
310590, 380810, 380820, 
380830, 380840, 380890 Agricultural inputs Ministry of Agriculture, Forestry and Fishery 
(MAFF), Department of Agricultural 
Legislation 
36; 93 Weapons, explosives and 
ammunition Ministry of National Defense 
71.06; 71.08; 71.18 Gold, silver, precious 
stones and articles thereof  National Bank of Cambodia 
88; 89 Vehicles, aircraft and 
parts, ships and boats, and 
other machinery for military purposes Ministry of National Defense 
   WT/ACC/SPEC/KHM/4
 Page 75Table 6(a):  Action Plan on Customs Valuation  
 
Year Activities Outcome Technical Assistance sought 
Drafting of Law on Customs to comply with WTO 
requirements and WCO standards initiated. Customs legislation that fully complies with WTO 
requirements TCAP: IMF expert and resident advisor. 
Technical training in valuation techniques provided 
to 24 officers by NZ customs experts. Basic knowledge of WTO Customs Valuation 
policies and procedures NZ Customs through ASEAN Secretariat. 
Drafting of preliminary strategy for WTO Valuation 
Agreement (WTO-VA). Implementation plan 
prepared. Comprehensive action plan prepared New Zealand Customs (ASEAN Secretariat). 
Technical assistance on crea tion of a post clearance 
audit function.  Development of a proposal for  basic PCA program 
and plan for full implementation New Zealand Customs (ASEAN Secretariat). 
Introductory training in WTO-VA to 50 staff.  Improved awareness of WTO VA policies and 
procedures PSI company (SGS) as part of contract. 
Overseas training in valuation techniques at 
Malaysian Customs institute (AKMAL) and by Japanese Customs. Improved awareness of WTO VA policies and 
procedures Malaysian and Japanese Customs Service. 
Implementation in head office and major customs 
offices of SGS valuation support system (VSS), a 
valuation reference database.  Improved staff capacity to assess values of imported 
goods Provided by SGS as part of TA commitments 2001 
Departmental valuation reference database 
implemented in Valuation office.  Improved staff capacity to assess values of imported 
goods Departmental initiative. 
Draft Law on Customs submitted to Council of 
Ministries (July 2002).  Customs legislation that fully complies with WTO 
requirements submitted for approval IMF assistance through TCAP. 
 
Development of a transition strategy and plan for 
implementation of the valuation agreement.  Comprehensive transitional plan to implement WTO 
VA provisions. IMF assistance through TCAP (IMF resident 
advisor). 2002 
Preparation for implementation of Post Clearance 
Audit program.  Establishment of a new organization responsible for 
PCA and commencement of program operation. IMF assistance through TCAP. (IMF resident 
advisor).  WT/ACC/SPEC/KHM/4 
Page 76 Year Activities Outcome Technical Assistance sought 
Law on Customs to be submitted to the National 
Assembly (Jan. 03) and drafting of regulations (Sub 
Decrees, Prakas, Circulars).   Complete the legislative package of law and 
regulations to ensure full compliance with WTO 
requirements. IMF assistance through TCAP (IMF resident 
advisor). 
Implementation of the new Law on Customs, including regulations.  Implementation of a modern customs legislative 
basis that supports WTO obligations and fully complies with international standards – WCO 
Revised Kyoto Convention.  
Creation of a WTO-VA implementation project 
team.  Team responsible for WTO VA implementation in 
place. - NZ Customs (Asean Secretariat).   
- Additional assistance required. 
Preparation of a department al plan to implement the 
VA transition plan.  Detailed action plan in place. -  NZ Customs (Asean Secretariat) 
- TCAP IMF resident advisor.  
Training of staff and traders in WTO-VA 
(approximately twelve to six months prior to 
implementation).  Enhanced understanding of and capacity to apply the 
WTO VA provisions within the Department and the 
trading community.  
Training on new Law on Customs (internal and 
external).  Staff fully trained to ensure successful 
implementation of Law.  
Development of a technical training program for 
staff and traders. Comprehensive training program developed and 
tested for delivery. Technical assistance required 
Launching of a trade outreach program 
(consultation/information about new regulations).  Participation of traders in the implementation of the 
new procedures and improved compliance.  
Preparation of departmental valuation technical 
procedure manuals.  Complete customs valuation operational policy and 
procedures documentation in place for staff 
guidance. Technical assistance required 
Revision of PSI contract to ensure compliance with 
WTO Valuation Agreement (VA) rules.  PSI contract fully compliant with WTO 
requirements. SGS with Customs and Excise Department. 
Implementation of Post Clearance Audit program.  Establishment of a new organization responsible for 
PCA and starting of program implementation. NZ Customs, Japanese Customs and IMF Resident 
Advisor. 2003 
Launching of automated cu stoms processing system 
project.  Major improvement in departmental operations, 
revenue collection, trader compliance and trade 
facilitation.  Fully automated customs processing 
systems in place. - To be determined 
- TCAP providing start up assistance.  Further 
funding required.   WT/ACC/SPEC/KHM/4
 Page 77Year Activities Outcome Technical Assistance sought 
Implementation of transitional provisions.  Gradual application of WTO VA agreement without 
revenue loss due to  poor compliance, 
implementation of the transitional plan.. Technical assistance needed. 
Provision of transitional as sistance and guidance to 
traders.  Successful implementation of the transitional plan 
and, eventually, full application of the VA.  2004-
2008 
Full implementation of WTO-VA by end of 2008. Successful implementation of the VA.  
 
 
 
  WT/ACC/SPEC/KHM/4 
Page 78  
 
Table 6(b):  Transition plan proposed by Cambodia for the
 
implementation of the WTO Customs Valuation Agreement  
 
Timeframe Steps in implementing the WTO Customs Valuation Agreement 
By end of 2004 Transaction valuation to apply to:  
- imports by large multinational and Cambodian companies having a well 
established compliance record with th e Customs and Excise Department and 
being considered low risk importers.  Initially, only importers of selected 
products – including, among others, petroleum products, pharmaceuticals, 
cigarettes and tobacco products, alcohol  and beer, and new automobiles and 
motorcycles – will be concerned. 
- imports by firms other than large, multinational and Cambodian companies which 
import goods that are identical or similar to goods imported by these large firms, based on their compliance records. 
 
Post clearance audit procedures will be applied to ensure compliance.   Valuation declarations may be used to help the De partment administer and enforce the new 
provisions. 
 The importers involved will be required to agree to provide Customs with supporting 
information on the price actually paid and on freight and insurance charges for their 
imports.   
They will also have to agree to participate in the post clearance audit program and 
commit to maintain and make available the required books and records for audit.  
By end of 2005 Transaction valuation to apply to: 
− imports by investment companies and other importers entitled to exemption 
(NGOs, foreign missions, etc). 
By end of 2006 − imports, by selected low risk importers and sectors, of low value goods subject to 
relatively low rates of duty and representing limited revenue risk 
− imports of identical or similar goods by other importers 
By end of 2007 − remaining imports of low value goods subject to relatively low rates of duty. 
By end of 2008 − all imports, including highly taxed and sensitive goods. 
 
Note:  This schedule may be adjusted depending on the results achieved in the implementation of the action 
plan (including revenue impact). 
  WT/ACC/SPEC/KHM/4 
 Page 79 
 
 
Table 7:  Imports subject to minimum customs value  
 
HS code Product description 
24021000, 24022010, 24022090, 24029010, 24029020 Cigarettes 
27010071, 27100072,27100073, 27100079 Gas oils 
27100021-27100027, 27100031 Petrol 
71081100, 71081200, 71081300, 71082000 Gold bars 
8701-8705 Motor vehicles 
87111000, 87112010, 87112020, 87113000-87115000 Motor cycles 
 WT/ACC/SPEC/KHM/4 
Page 80  
 
Table 8:  Items subject to export taxes
 
 
HS Heading Description of Goods Export Tariff 
(% ad valorem ) 
01.02 
01.03 Pure bred breeding bovine animals and swine 10 
03.01, 03.02 
03.03, 03.04 03.05 Live fish, prepared fish and fish products 10 
03.06 
03.07 Live crustaceans and mollusc s and products thereof 10 
12.11,13.01 
13.02 Cannabis, Cannabis resin, extracts and dyes, coca, opium* 50 
29.05.50 Halogenated, sulphonated, nitrated or nitrated derivatives of a 
cyclic alcohol* 50 
29.26 Nitrile-function compounds* 50 
40.01 
40.04 Natural rubber in primary forms or in plates, sheets or strips 
and rubber waste 10 
44.02, 44.03 
44.04, 44.05 44.06, 44.07 Unprocessed and semi-processed wood;  wood charcoal 10 
44.08.10.00 
44.09  Sawn and shaped wood.  Veneer sheets and sheets for 
plywood; strips for flooring 5 
 
* Categories included for the sake of fo rmal completeness.  The products in th ese groups require a licence in order to 
be exported.  The Royal Government has in  fact never issued any such licenses.  WT/ACC/SPEC/KHM/4 
 Page 81 
 
 
Table 9:  Export restrictions maintained by Cambodia  
 
HS Code Product description Measure Responsible agency GATT/WTO 
justification 
 Rice Quota/NAL  Elim inated on 26 July 
2001 
 Pharmaceuticals and 
medical material  Permit;   
Prohibition for narcotic drugs and 
poisons Ministry of Health   
 Round and sawn logs  Prohibition Council of Ministers GATT Article XX(g) 
 Wood products Quota/NAL Council of Ministers, 
MAFF, Ministry of 
Commerce GATT Article XX(g) 
 Weapons, explosives 
and ammunition NAL Ministry of National 
Defence  
 Vehicles and 
machinery for 
military purposes NAL Ministry of National 
Defence  
 Antiques more than 
100 years old Prohibition    
 
NAL: Non-automatic licensing 
 
 WT/ACC/SPEC/KHM/4 
Page 82  
 
Table 10:  Action Plan for implementation of the Agreement on Technical Barriers to Trade
 
 
Year Activities Technical Assistance 
needed 
1999-
2001 - Sub-Decree on Industrial Standards of Cambodia approved and 
signed on 15 May 2001.  
- Implementation of Ministry of Industry Notice on Registration of 
Industrial Products. 
- Establishment of a TBT and Standards Library at the Department of 
Industrial Standards of Cambodia. - No TA provided 
2002 -  Drafting of: 
- the Law on Industrial Standards  
- technical regulations, including: 
(1) Procedures and Application Forms for Using Standards;  (2) Procedures for Using Standard Marks;  
(3) Size of Standards Marks;  
(4) Certificate and License Forms;  (5) Form of Auditing and Assessment;  
(6) Form of Pre-assessmen t and Market Survey;  
(7) Form of Receipt for Payment of Services;  (8) Form of testing and Calibration Reports;  
(9) Request Form for Testing and Calibration. 
- Revision of the Ministry's Note on Registration of Industrial Product 
- Draft Sub-Decree on Metrology submitted to the Council of 
Ministers for adoption. - No TA provided 
2003 -  Finalisation of the draft of the Law on Industrial Standards and 
ratification by the Parliament.  
- Adoption of the Sub-Decree and Regulations for the implementation 
of the Law. 
- Drafting of technical regulations on: 
(10) Procedures for Accessing Information and Publication; 
(11) Arrangement and Execution of Industrial Standards Technical 
Committee;  
(12) Declaration of Amended or Revised Standards;  
(13) Procedures and Guidelines  for Declaration of Mandatory 
Standards Marks;  
(15) Procedures for Preparation and adoption of Standards;  
(16) Procedures for Sampling, Verification, Testing, Inspection and 
evaluation of Conformity in Processing establishments, 
Registration, Accreditation;  
(17) Procedures for Urgent Notifications on Dangerous products;  (18) Procedures for recognition and acceptance of Foreign testing 
certificate and Calibration;  
(19) Procedures for Recognition of Foreign Inspection Bodies, 
Certification Bodies and Accreditation Bodies;  
(20) Procedures for Adoption or Applying Foreign Technical 
Regulations. 
- Establishment of a TBT Inquiry Point and of a notification office 
under the Department of Industrial Standards of Cambodia. 
- Publication of a Standards Bulletin covering all activities relating to 
technical regulations, standards and conformity assessment 
procedures. 
- Capacity building for key standards personnel in the field of 
standardization, management, methods and procedures for sampling 
and inspection, auditing, inspection and surveillance, and for 
auditors, assessors, inspectors, and staff responsible for testing and calibration and for issuing certificates and licenses. 
- Setting-up of a roadmap for standards and conformity infrastructure. - Legal experts to 
assist in drafting the Sub-decree and 
Regulations for 
implementation of the Law on 
Industrial Standards 
of Cambodia. 
- Legal expert 
specialized in 
standards and WTO/TBT 
requirements. 
- Short term 
metrology expert. 
- Long term standards 
experts, including 
experts specialized 
in WTO/TBT Agreement and 
requirements. 
- Short term and long 
term training on 
standards, 
management systems, 
certification system, 
accreditation, testing and assessment, 
especially items 12, 
16, 17, 18, 19 and 20.   
- Short term expert on  WT/ACC/SPEC/KHM/4 
 Page 83 
 
 
Year Activities Technical Assistance 
needed 
- Installation of testing and calibration equipment in laboratories. 
- Establishment of a TBT and standards library and training of a 
librarian. standards and 
conformity 
assessment as 
specified under item 16. 
- Short term and long 
term training for auditors, assessors, 
certification bodies, 
testing body. 
- Provision of electro-
technical and mechanical testing 
equipment.
 
- Provision of 
materials and 
equipment related to 
the management of 
TBT activities and Standards library.
 
 
2004 -  Drafting of technical regulations on  safety of chemical products, 
electrical products and toys. 
- Training of standards staff on international trade and TBT 
implementation  - Long term standards 
experts. 
- Short and long term 
training on TBT and 
TBT enquiry point. 
2005-2006 - Readjustment of techni cal regulations and procedures in accordance 
with new scientific discoveries and approaches. 
- Training of standards personnel. - Long term experts 
on TBT. 
 
Note :  This schedule may be adjusted depending on results achieved in the implementation of the action plan. WT/ACC/SPEC/KHM/4 
Page 84  
 
 
Table 11:  Action Plan for the implementation of the SPS Agreement
 
 
Year Activities Technical Assistance sought 
2001 and 
earlier Adoption of: 
- Sub-decree No. 54 dated 22 September 1997 on the 
delegation of responsibiliti es among other tasks to 
ensure product quality and safety including food 
products. 
- Prakas No. 12 dated 13 January 1998 on the 
appointment of the role of ensuring food safety 
including food control at the import-export level and related frauds. 
- Prakas No. 329 MOC/M99 on pre-packed food labeling. 
- Sub-decree No. 5 dated 3 February 1998 on the 
establishment of the Inter-ministerial Committee for 
coordinating the control of quality and safety of 
products and services. 
- Law on the Management of Quality and Safety of 
Products and Services (pro mulgated by Reach Kram 
No. NS/RKM/0600/001 dated 21 June 2000). 
- Sub-decree No. 28 dated 9 March 2001 on the 
establishment of the National Codex Committee (NCC) and its Secretariat. 
- Prakas No. 357/MOC dated 31 December 2001 on the 
establishment of the Technical Working Groups (TWG) for the National Codex Committee.  
- Technical assistance on 
food safety regulations 
provided by FAO, France, 
New Zealand. 
- Technical assistance on 
food standards provided by 
FAO. 
 -  Strengthening of the understanding of WTO rules and 
SPS agreement within the inter-ministerial committee. - Assistance provided by 
UNCTAD for the 
preparation of the ACC/4 and ACC/8. 
2002 -  Strengthening of the implementation of Codex 
Alimentarius through: (i) regular meetings of the NCC 
and TWGs; (ii) the establishment of a Codex Unit in 
every ministry concerned to provide effective inputs and 
proactive participation to the Codex work; and (iii) the 
development and update of the Codex Library. 
- Improvement of the functioning of the chemical and 
microbiological food analysis laboratory at Camcontrol. - The European Union 
pledged TA in 2001, but it 
has not yet been 
implemented. 
 -  Revision of Sub-decree No. 14 on Animal Sanitary 
(1988) and Sub-decree No. 98 on Phytosanitary (1983)  
to ensure compliance with the SPS Agreement.  Both were adopted in February 2003. 
- Drafting of a Sub-decree on Food Hygiene, including 
storage requirement and microbiological requirements (first draft prepared). 
- Establishment of SPS Enquir y Point (26 July 2002 
Council of Ministers' decision - notification letter No. 
1093). 
- Setting-up of an information system and management 
database. 
- Design of a plant pest and animal disease surveillance 
and control program. 
- Establishment of a plant pest and FMD free zone and of 
a Plant and Animal Quarantine Station. 
- Assessment of training needs on management and 
implementation of SPS Agreement. - Ad-hoc expertise on animal 
quarantine and plant 
quarantine provided by international experts under 
the WB Agriculture 
Productivity Improvement Project (APIP).  
- New Zealand Assistance 
provided for a meeting of 
Cambodia, Laos, Myanmar 
and Vietnam on planning and implementing capacity 
building on SPS. 
- UNCTAD Assistance in 
answering the questions and 
preparing the Action Plan 
on SPS.  WT/ACC/SPEC/KHM/4 
 Page 85 
 
 
Year Activities Technical Assistance sought 
 -  Technical training on SPS, in particular on: (1) Plant 
Quarantine Measures; (2) An imal Quarantine Measures; 
(3) Laboratory Diagnostic and Product Testing; (4) 
Plant and Animal Quarantine, (5) risk analysis.  
2003 -  Functioning of SPS Enquiry Point: training of personnel 
and equipment.  
- Proficiency testing for food microbiological hygiene 
and food chemical analys is towards MRA'S in the 
region.  
- Drafting of: 
- Sub-decrees on Food Safety Standards on Additives 
(Sweeteners, Colours, Fl avours, Preservatives and 
Antioxidants); Environmental Contaminants; 
Agricultural Chemicals: Pesticide Residues; and on 
Food Inspection administration;. 
- Regulations on Safety Requirements for Fresh 
Vegetables and Processed Vegetables; Fresh Fruits and 
Processed Fruits; and Cereals Pulses and Legumes. 
- Guidelines on Assurance of Seafood Quality. 
- Capacity building for key Camcontrol, NCC, and TWGs 
personnel on the implementation of the above regulations.  
- Update of the Codex Library. - Experts on Inquiry Point, 
microbiological and 
chemical analysis of food 
products, food import 
control, seafood quality assurance, as well as 
technical and legal experts 
on food products and food standards. 
- Law enforcement experts. 
- Lab equipments. 
- Short and long term 
training and overseas 
familiarisation missions. 
 -  Drafting of registration procedures and implementation 
of registration for cosmetic products. 
 - Expert on drafting 
regulations on cosmetic registration. 
- Expert on laboratory for 
pharmaceutical analysis. 
 -  Capacity building for key Camcontrol, MAFF and  
MoH personnel on the implementation of the above 
regulations. - S T  o r  L T  t r a i n i n g  
programs, including 
overseas familiarisation 
missions. 
- Laboratory equipment and 
reagents for food analysis, 
plant pest and animal microbiological analysis. 
- Provision of rapid testing 
kits for a food quality, plant pest and pathogenic 
materials assessment. WT/ACC/SPEC/KHM/4 
Page 86  
 
Year Activities Technical Assistance sought 
2004 
  
 - Drafting of regulations on Safety Requirements for 
Drinking Water and Natural Mineral Water, Edible Ice, Sugar, Fat and Oil, Food Products Certification (for 
exportation). 
- Capacity building for key Camcontrol, NCC, and TWGs 
personnel on the implementation of the above 
regulations. 
- Update of the Codex Library. - Experts on food products 
certification (for export) and chemical analysis and 
microbiological analysis of 
food products, and technical and legal experts 
on food products and food 
standards. 
- Short and long term 
training and overseas 
familiarisation missions. 
- Laboratory equipment and 
reagents for food analysis, 
plant pest and animal microbiological analysis. 
- Provision of rapid testing 
kits for a food quality, plant 
pest and pathogenic 
materials assessment. 
2005 -  Drafting of regulations on Safety Requirements for 
Fresh Milk and Processed Milk Products, and for Frozen Food, and regulations for Nutrition and Food for 
Special Dietary Uses. 
- Capacity building for key Camcontrol, NCC, and TWGs 
personnel on the implementation of the above 
regulations. 
- Update of the Codex Library. - Experts on law 
enforcement, food products 
certification (for 
exportation) and chemical 
analysis and microbiological analysis of 
food products, and 
technical and legal experts 
on food products and food 
standards. 
- Short and long term 
training and overseas 
familiarisation missions. 
2006/ 2007 - Readjustment of technical regulations, standards and 
procedures in accordance with new scientific discoveries and approaches.  
- Work towards accreditation of  inspection bodies and 
testing laboratories. 
- Capacity building for key Camcontrol, NCC, and TWGs 
personnel on the implementation of the above regulations. 
- Update of the Codex Library. 
- Completion of the implementation of the SPS 
Agreement. - Experts on law 
enforcement, food products 
certification (for 
exportation) and chemical 
analysis and 
microbiological analysis of 
food products, and technical and legal experts 
on food products and food 
standards. 
- Short and long term 
training and overseas 
familiarisation missions. 
  -  Laboratory equipment and 
reagents for food analysis, 
plant pest and animal 
microbiological analysis. 
- Provision of rapid testing 
kits for a food quality, plant 
pest and pathogenic materials assessment. 
 
Note :  This schedule may be adjusted depending on results achieved in the implementation of the action plan. WT/ACC/SPEC/KHM/4 
 Page 87 
 
 
Table 12:  Action Plan for implementation of the TRIPS Agreement  
 
Year Activities 
2002  
January  − Promulgation of the Law on Marks, Trade Name and Acts of Unfair Competition. 
November − Adoption of the Law on Patents, Utility  Models and Industrial Designs. 
December − Ratification of the Law on Patents, Utility Models and Industrial Designs. 
2003  
January  − Adoption of the Law on Copyright & Related Rights. 
− Promulgation of the Law on Patents, Utility Models and Industrial Designs. 
February − Ratification of the Law on Copyright & Related Rights. 
 − Drafting of the Laws on Geographical Indications and Protection of Undisclosed Information 
and Trade Secret to be completed. 
− Promulgation of the Law on Copyright & Related Rights. 
− Sub-Decree and implementing regulations on the Laws on Marks, Trade Name and Acts of 
Unfair Competition. 
− Capacity building for key IP personn el in the field of trademarks. 
2004 − Drafting of the Laws on Layout Design of Integr ated Circuits and Plant Variety Protection to 
be completed and adoption by the Council of Ministers. 
− Adoption, ratification and promulgation of the Law on Geographical Indications. 
− Adoption of Law on Protection of Undisclosed Information and Trade Secret. 
− Sub-Decree and implementing regulations on Copyrights & Related Rights; Patents, Utility 
Models and Industrial Designs. 
− Capacity building for key IP personnel in the fi eld of copyrights; Patents, Utility Models and 
Industrial Designs. 
2005 − Adoption, ratification and promulgation of the Law on Layout Design of Integrated Circuits. 
− Ratification and promulgation of the Laws on Protection of Undisclosed Information and 
Trade Secret, and Plant Variety Protection. 
− Sub-Decree and implementing regulations on Geographical Indications, and on Protection of 
Undisclosed Information and Trade Secret. 
− Capacity building for key IP personnel in the fields of Geographical Indications, and 
Protection of Undisclosed Information and Trade Secret. 
2006 − Sub-Decree and implementing regulations on Layout Design of Integrated Circuits and Plant 
Variety Protection. 
− Capacity building for key IP personnel in the fields of Layout Design of Integrated Circuits 
and Plant Variety Protection. 
 
Technical assistance sought throughout the transition period:  
 1. Technical assistance from: 
- World Intellectual Property Organization (WIPO) 
- United States of America  
- France and Australia for work on geographical indications 
- European Patent Office (EPO) for work on layout design of integrated circuits 
- UPOV for work on Plant Variety Protection 
 
2.  An expert on: 
- Trademarks, specialized in trademark inspection and enforcement (short term) 
- Copyrights, specialized in infringement en forcement and border measures (long term) 
- Patents, Utility Models and Industrial Designs, specialized in technical drafting of procedures 
(long term) 
- Patents, Utility Models and Industrial Designs, specialized in examination, infringement and 
enforcement (long term) 
- Geographical Indications, specialized in infringement enforcement and border measures (long 
term) 
- Layout Design of Integrated Circuits (long term) WT/ACC/SPEC/KHM/4 
Page 88  
 
- Protection of Undisclosed Information and Trade Secret (long term) 
- Plant Variety Protection (long term) 
 
3.  Short and long term training and familiarisation missions on all issues. 
 Note
:  This schedule may be adjusted depending on results achieved in the implementation of the action plan. 
 
   WT/ACC/SPEC/KHM/4 
 Page 89 
 
 
 
[ DRAFT DECISION 
 
ACCESSION OF THE KINGDOM OF CAMBODIA 
 
Decision of […]  
 
 
 The [General Council] [Ministerial Conference],  
 Having regard to  paragraph 2 of Article XII and paragr aph 1 of Article IX of the Marrakesh 
Agreement Establishing the World Trade Organizat ion (the "WTO Agreement"), and the Decision-
Making Procedures under Articles IX and XII of th e WTO Agreement agreed by the General Council 
(WT/L/93),  
 Conducting  the functions of the Ministerial Conference in the interval between meetings 
pursuant to paragraph 2 of Article IV of the WTO Agreement,   Taking note of the application of the Kingdom of Cambodia for accession to WTO 
Agreement dated [date], 
 
 Noting  the results of the negotiations directed toward the establishment of the terms of 
accession of the Kingdom of Cambodia to the WTO Agreement and having prepared a Protocol on the Accession of the Kingdom of Cambodia,   Decides  as follows: 
 
1. The Kingdom of Cambodia may accede to th e WTO Agreement on the terms and conditions 
set out in the Protocol annexed to this Decision. 
  
_______________ 
 
  WT/ACC/SPEC/KHM/4 
Page 90  
 
DRAFT PROTOCOL  
 
ON THE ACCESSION OF THE KINGDOM OF CAMBODIA 
 
Preamble
 
 
 The World Trade Organization (hereinafter referred to as the "WTO"), pursuant to the approval 
of the General Council of the WTO accorded under Article XII of the Marrakesh Agreement Establishing the World Trade Organi zation (hereinafter referred to as the "WTO Agreement"), and the 
Kingdom of Cambodia,  
 
 Taking note
 of the Report of the Working Party on the Accession of the Kingdom of Cambodia 
to the WTO Agreement reproduced in document WT /ACC/KHM/[…], dated […] (hereinafter referred 
to as the "Working Party Report"),  
 Having regard
 to the results of the negotiations on the accession of the Kingdom of Cambodia 
to the WTO Agreement,    Agree
 as follows: 
 
PART I -  GENERAL 
 
1. Upon entry into force of this Prot ocol pursuant to paragraph 8, the Ki ngdom of Cambodia 
accedes to the WTO Agreement pursuant to Article XII of that Agreement and thereby becomes a Member of the WTO.   
2. The WTO Agreement to which the Kingdom of Cambodia accedes shall be the WTO 
Agreement, including the Explanatory Notes to that Agreement, as rectified,  amended or otherwise 
modified by such legal inst ruments as may have entered into force be fore the date of entry into force of 
this Protocol.  This Protocol, which shall include th e commitments referred to in paragraph […] of the 
Working Party Report, shall be an integral part of the WTO Agreement.  
3. Except as otherwise provided for in para graph […] of the Working Party Report, those 
obligations in the Multilateral Trade Agreements annexed to the WTO Agreement that are to be 
implemented over a period of time starting with the entry into force of that Agreement shall be 
implemented by the Kingdom of Cambodia as if it had accepted that Agreement on the date of its entry into force. 
 
4. The Kingdom of Cambodia may maintain a measure inconsistent with paragraph 1 of Article II of the GATS provided that such a measure was recorded  in the list of Article II Exemptions annexed to 
this Protocol and meets the conditions of th e Annex to the GATS on Article II Exemptions. 
 
PART II - SCHEDULES 
 
5. The Schedules reproduced in Annex I to th is Protocol shall become the Schedule of 
Concessions and Commitments annexed to the General Agreement on Tariffs and Trade 1994 
(hereinafter referred to as the "GATT 1994") and the Schedule of Specific Co mmitments annexed to the 
General Agreement on Trade in Services (hereinafter referred to as "GATS") relating to the Kingdom of 
Cambodia.  The staging of the concessions and commitments listed in the Schedules shall be 
implemented as specified in the releva nt parts of the respective Schedules. 
 6. For the purpose of the reference in paragraph 6(a) of Article II of the GATT 1994 to the date of 
that Agreement, the applicable date in respect of the Schedules of Con cessions and Commitments 
annexed to this Protocol shall be the date  of entry into force of this Protocol.  WT/ACC/SPEC/KHM/4 
 Page 91 
 
 
 
PART III - FINAL PROVISIONS 
 7. This Protocol shall be open for acceptance, by signature or otherwise, by the Kingdom of Cambodia un til […]. 
 
8. This Protocol shall enter into force on the thirtieth day following the day upon which it shall 
have been accepted by the Kingdom of Cambodia.   9. This Protocol shall be deposited with the Dire ctor-General of the WTO.  The Director-General 
of the WTO shall promptly furnish a certified copy of  this Protocol and a notification of acceptance by 
the Kingdom of Cambodia thereto pursuant to paragraph 9 to each Member of the WTO and to the Kingdom of Cambodia.     This Protocol shall be registered in accordance with the provisions of Ar ticle 102 of the Charter 
of the United Nations.   
  Done at [place] this [date of mont h in full] day of [month and year in full] in a single copy in the 
English, French and Spanish languages, each te xt being authentic, except that a Schedule 
annexed hereto may specify that it is au thentic in only one of these languages. 
 
_______________ 
 
 WT/ACC/SPEC/KHM/4 
Page 92  
 
ANNEX I 
    
 
  
  
SCHEDULE […] – THE KINGDOM OF CAMBODIA 
 
 
Authentic only in the … language. 
 
(Circulated in document WT/ACC/KHM/…/Add.1) 
 
  
_______________ 
  
  
SCHEDULE OF SPECIFIC COMMITMENTS ON SERVICES 
LIST OF ARTICLE II EXEMPTIONS 
 
 
Authentic only in the … language. 
 
(Circulated in document WT/ACC/KHM/…/Add.2) ] 
 
 
  
__________