WORLD TRADE
ORGANIZATIONG/L/488
4 October 2001
(01-4743)
REPORT (2001) OF THE COMMITTEE ON CUSTOMS VALUATION
TO THE COUNCIL FOR TRADE IN GOODS
BACKGROUND
1. The Agreement on Implementation of Article VII of the General Agreement on Tariffs and
Trade 1994 (the Agreement) entered into force on 1 January 1995.  This report covers the year 2001.  It
addresses the work undertaken by the Committee on Customs Valuation (the Committee) in respect of
the objectives of the Agreement, which are: to  provide greater uniformity and certainty in the
implementation of the provisions of Article VII of  the GATT 1994;  to establish a fair, uniform and
neutral system for the valuation of goods for cust oms purposes that precludes the use of arbitrary of
fictitious customs values;  to ensure that the basi s for valuation of goods for customs purposes should be
the transaction value of the goods being valued;  and to secure additional benefits for the international
trade of developing countries.
2. During the period under consideration, the Co mmittee has held four formal meetings, on
9 March (G/VAL/M/19);  11 Ap ril (G/VAL/M/20) under the Chairship of Mr. Remo Moretta
(Australia);  24 July (G/VAL/M/21) and 2 Oc tober 2001 (G/VAL/M/22 to be issued) under the
Chairship of Mr. K.J. Weerasinghe (Sri Lanka).   At the 11 April meeting, the Committee elected
Mr. K. J. Weerasinghe (Sri Lanka) as Chairperson for 2001.  At the 2 October meeting, the Committee
elected Mr. Toshio Onishi (Japan) as Vice-Chairp erson for 2001.  The Committee is also scheduled to
meet on 25 October 2001.  However the proceedings of th at meeting will not be reflected in this report.
3. Participation in the Committee is open to all WTO Members.  In addition, Governments granted
observer status by the WTO General Council attended Committee meetings as observers.  At the
April 1997 meeting, the Committee granted observer status to those organizations which had had
observer status on an ad hoc  basis, namely UNCTAD and the WCO, as well as to the ACP and the
IADB.   The Committee took note of the fact that the World Bank and the IMF had observer status by
virtue of the Agreements between  these organizations and the WTO.
4. The Committee's rules of procedure, which were approved by the Council for Trade in Goods,
are contained in G/L/146.
IMPLEMENTATION OF THE AGREEMENT
5. At the beginning of the period under review , 7 developing country Members maintained
delayed application of the provisions of the Agreem ent in accordance with the provisions of Article 20.1
of the Agreement (for 49 Members, the delay peri od expired during 2000).  By the end of the period
under review (i.e. 31 December 2001) the delay period will have expired for all 7.  At circulation of this
report, 18 Members have been granted extensions of  the delay period in accordance with the provisions
of paragraph 1, Annex III, of which 11 have expired.  Four requests for extensions are still pending
agreement by Members.  Understanding has been reach ed in the Committee that the texts of the nationalG/L/488
Page 2
legislation of these developing country Members will be supplied to the Committee before the
developing country Members begin applying the prov isions of the Agreement (G/VAL/5, para. B.2(ii)).
6. To date 14 Members have submitted communications indicating that their legislation notified
under the Tokyo Round Customs Valuation Agreement remained valid under the WTO CustomsValuation Agreement (this numbe r excludes individual EEC Members);  45 additional Members have
notified either their complete national legisla tion on customs valuation or amendments thereto;
68 Members, (of which 7 have Annex III.1 extensi ons, 4 have requested extensions and 2 still have
Article 20.1 delays) have not yet made any notification  (See Annex).
ACTIVITIES OF THE COMMITTEE
7. At the meeting in March 2001:
- the Committee adopted a Decision granting a reservation under Annex III.2 for Jamaica
(G/VAL/40).  It took note of Nicaragua's withdrawal of its request for an extension under Annex III.1.
8. At the meeting in April 2001:- the Committee examined the national legislations of Brazil, Colombia, Jamaica, Kyrgyz
Republic, Oman, Romania and Uruguay and the respons es provided by the Colombia, Jamaica, Oman
and Uruguay  to the checklist of issues.  The Comm ittee concluded its examination of the legislations
and responses of Brazil, Jamaica, Kyrgyz Republic , Oman and Romania;  the examination of the
legislations of Colombia and Uruguay are still underway;
- the Committee took note of the information in document G/VAL/2/Re v.12 which contained a
list of Members having invoked the special and di fferential provisions of the Customs Valuation
Agreement.  It also took note of document G/VA L/W/76/Add.1 which contained an updated inventory
of notification requirements pursuant to extension decisions and minimum value reservations, and the
notifications that had been made under the Decisions  concerning delay extensions and minimum value
reservations;
- the Committee discussed the proposal by the European Communities for a draft work
programme to reinvigorate the Committee's work on technical assistance.  There was support for the
overall thrust of the communication but some delega tions needed more time to consider it.  It was
agreed it would be taken up at the next meeting of  the Committee.  The Committee also took note of an
update provided by the WTO Secretariat on its Technical Assistance Programme;
- the Committee heard questions from India on certain aspects of the European Communities'
valuation policy as well as the responses from the EC .  The Chairman urged bilateral consultations to
resolve the matter and it was agreed to reve rt to this item at the next meeting;
- the Committee heard a report from the Chair on the unsuccessful outcome of his consultations
on the Fourth, Fifth and Si xth Annual Reviews of the Implementa tion and Operation of the Agreement.
The Committee took note of the three documents  containing these Annual Reviews, namely
G/VAL/W/29, G/VAL/W/ 43, and G/VAL/W/77, and agreed that th e incoming Chair would take up the
matter through consultations among the interested Members;
- The Committee took note of a statement from the United States in which it stressed the
importance it attached to PSI companies moving away from valuation systems based on the BrusselsDefinition of Value and towards the WTO system.  It was actively monitoring the situation.
- the Committee took note of the report on the on-going work of the WCO Technical Committee.G/L/488
Page 3
9. At the meeting of 24 July 2001:
- the Committee adopted the proposal by the European Communities for a Work Programme on
Technical Assistance for Capacity-Building as Rega rds the Implementation and Administration of the
WTO Agreement on Customs Valuation (G/VAL/W/82/ Rev.1) on the basis of the statements made,
including the two important points made by I ndia, reflected in the minutes (G/VAL/M/21).
10. At the meeting of 2 October 2001:- the Committee adopted its Report to  the Council for Trade in Goods;
- the Committee elected Mr. Toshio Onishi (Japan) as Vice-Chairman for the year 2001.G/L/488
Page 4
ANNEX1
Notifications
Members Members who have
indicated their
legislation remains valid
under the WTO
Committee
(G/VAL/M/1)Members who have
submitted their legislation or
amendments under Articles
22.1 and 22.2 of the
AgreementMembers who have
submitted their replies to the
Checklist of Issues
(G/VAL/5)Members who are
delaying
application of the
Agreement under
Article 20.1 or para.
1, Annex III of the
Agreement
Albania N/A G/VAL/N/1/ALB/1 Not notified
Angola N/A Not notified Not notified
Antigua & Barbuda N/A Not notified Not notified
Argentina G/VAL/N/1/ARG/1 VAL/1/Add.22 + Suppl. 1-4
+Suppl. 2/Rev.1VAL/2/Rev.2/Add.4
Australia G/VAL/N/1/AUS/1 VAL/1/Add.14 + Suppl. 1-4 VAL/2/Rev.1/Add.12 +
Suppl.1
Bahrain N/A G/VAL/W/57 and
Add.1-42
Bangladesh N/A Not notified Not notified
Barbados N/A Not notified Not notified
Belize N/A Not notified Not notified
Benin N/A Not notified Not notified
Bolivia N/A G/VAL/W/37
Botswana Not notified VAL/1/Add.16 Not notified
Brazil G/VAL/N/1/BRA/1 VAL/1/Add.20 + Suppl.1
G/VAL/N/1/BRA/2 and 3VAL/2/Rev.2/Add.3
Brunei Darussalam N/A Not notified Not notified
Bulgaria N/A G/VAL/N/1/BGR/1 G/VAL/N/2/BGR/1
Burkina Faso N/A Not notified Not notified
Burundi N/A G/VAL/W/38
Cameroon N/A Not notified Not notified
Canada G/VAL/N/1/CAN/1 VAL/1/Add.17 + Suppl.1-3
G/VAL/N/1/CAN/2VAL/2/Rev.1/Add.14
G/VAL/N/2/CAN/1
Central African Rep. N/A Not notified Not notified
Chad N/A WT/Let/237
Chile N/A Not notified Not notified
Colombia N/A G/VAL/N/1 /COL/1 Not notified
Congo N/A Not notified Not notified
Costa Rica N/A G/VAL/N /1/CRI/1 Not notified
Côte d'Ivoire N/A Not notified Not notified
Croatia N/A Not notified Not notified
Cuba N/A G/VAL/N/1/CUB/1 Not notified
Cyprus N/A VAL/1/Add.26
G/VAL/N/1/CYP/2VAL/2/Rev.2/Add.7
Czech Republic N/A VAL/1/Add.18 +
Suppl.1/Corr.1 – 2
G/VAL/N/1/CZE/1,2 and 3VAL/2/Rev.1/Add.15 +
Suppl.1
G/VAL/N/2/CZE/1
Dem Rep. of Congo N/A Not notified Not notified
Djibouti N/A Not notified Not notified
Dominica N/A G/VAL/N/1/DMA/1 Not notified
Dominican Rep. N/A G/VAL/N/1/DOM/1 Not notified
Ecuador N/A Not notified Not notified
                                                     
1 Documents that begin with the code "VAL" are Tokyo Round documents.  Where a Member has
indicated that its legislation notified under the Tokyo Round Committee remains valid under the WTOCommittee (second column), that Member is not counted in the total under the column listing Members whohave submitted legislation under Article 22.1 and 22.2 (third column);  that Member is counted under the secondcolumn.  The table reflects the situation as of the date of circulation of this report.
2 Request under para.1, Annex III is pending.  This Member is not included in the total count.G/L/488
Page 5
Members Members who have
indicated their
legislation remains valid
under the WTO
Committee
(G/VAL/M/1)Members who have
submitted their legislation or
amendments under Articles
22.1 and 22.2 of the
AgreementMembers who have
submitted their replies to the
Checklist of Issues
(G/VAL/5)Members who are
delaying
application of the
Agreement under
Article 20.1 or para.
1, Annex III of the
Agreement
Egypt N/A Not notified Not notified
El Salvador N/A Not notified Not notified
Estonia N/A G/VAL/N/1/EST/1 G/VAL/N/2/EST/1
European
CommunitiesVAL/1/Add.2 + Suppl.1-13 +
Suppl.1
G/VAL/N/1/EEC/1/Rev.1VAL/2/Rev.1/Add.6
Fiji N/A G/VAL/N/1/FJI/1 G/VAL/N/2/FJI/1
Gabon N/A G/VAL/N/1/GAB/1 Not notified
Gambia N/A Not notified Not notified
Georgia N/A Not notified Not notified
Ghana N/A Not notified Not notified
Grenada N/A Not notified Not notified
Guatemala N/A G/VAL/33
Guinea Bissau N/A Not notified Not notified
Guinea, Rep. of N/A Not notified Not notified
Guyana N/A Not notified Not notified
Haiti N/A G/C/W/256 and
Rev.13
Honduras N/A Not notified Not notified
Hong Kong, China G/VAL/N/1/HKG/1 VAL/1/Add.9 N/A
Hungary G/VAL/N/1/HUN/1 VAL/1/Add.6 VAL/2/Rev.1/Add.4
Iceland N/A G/VAL/N/1/ISL/1 G/VAL/N/2/ISL/1
India VAL/1/Add.24 + Suppl.1
G/VAL/N/1/IND/2VAL/2/Rev.2/Add.6
Indonesia N/A G/VAL/N/1/IDN/1 Not notified
Israel N/A G/VAL/N/1/ISR/1  + Corr.1 Not notified
Jamaica N/A G/VAL/N/1/JAM/1 G/VAL/N/2/JAM/1
Japan G/VAL/N/1/JPN/1 VAL/1/Add.7 VAL/2/Rev.1/Add.8
G/VAL/N/2/JPN/1
Jordan N/A G/VAL/N/1/JOR/1 G/VAL/N/2/JOR/1
Kenya N/A Not notified Not notified
Korea G/VAL/N/1/KOR/1 VAL/1/Add.19
+ Suppl. 1-4+ Suppl.3/Corr.1
G/VAL/N/1/KOR/2VAL/2/Rev.2/Add.1
+ Suppl.1
Kuwait N/A Not notified Not notified
Kyrgyz Republic N/A G/VAL/N/1/KGZ/1 G/VAL/N/2/KGZ/1
Latvia N/A G/VAL/N/1/LVA/1 G/VAL/N/2/LVA/1
Lesotho Not notified VAL/1/Add. 21 + Suppl.1 VAL/2/Rev.2/Add.2
Liechtenstein N/A G/VAL/N/1/LIE/1 Not applicable
Lithuania N/A Not notified Not notified
Macau, China N/A G/VAL/N/1/MAC/1 N/A
Madagascar N/A G/VAL/N/1/MDG/1 Not notified
Malawi G/VAL/N/1/MWI/1 VAL/1/Add.27 Not notified
Malaysia N/A G/VAL/N/1/MYS/1 G/VAL/N/2/MYS/1
Maldives N/A G/VAL/35
Mali N/A Not notified Not notified
Malta N/A G/VAL/N/1/MLT/1 G/VAL/N/2/MLT/1
Mauritania N/A G/VAL/29
Mauritius N/A G/VAL/N/1/MUS/1 G/VAL/N/2/MUS/1
Mexico Not notified VAL/1/Add.25 + Suppl. 1-3
+ Suppl.1/Rev.1VAL/2/Rev.1/Add.10
VAL/2/Rev.2/Add.8
Moldova N/A Not notified Not notified
                                                     
3 Request pending in the Council for Trade in Goods under Article IX of the WTO Agreement.G/L/488
Page 6
Members Members who have
indicated their
legislation remains valid
under the WTO
Committee
(G/VAL/M/1)Members who have
submitted their legislation or
amendments under Articles
22.1 and 22.2 of the
AgreementMembers who have
submitted their replies to the
Checklist of Issues
(G/VAL/5)Members who are
delaying
application of the
Agreement under
Article 20.1 or para.
1, Annex III of the
Agreement
Mongolia N/A Not notified Not notified
Morocco N/A G/VAL/N/1/MAR/1
G/VAL/N/1/MAR/1/Rev.1 +Corr.1G/VAL/N/2/MAR/1
G/VAL/N/2/MAR/2
Mozambique N/A Not notified Not notified
Myanmar N/A G/VAL/28
Namibia N/A G/VAL/N/1/NAM/1 Not notified
New Zealand G/VAL/N/1/NZL/1 VAL/1/Add.12 + Suppl.1 VAL/2/Rev.1/Add.10
Nicaragua N/A Not notified Not notified
Niger N/A WT/Let/301
Nigeria N/A Not notified Not notified
Norway G/VAL/N/1/NOR/1 VAL/1/Add.11 + Corr.1
+ Suppl. 1-2VAL/2/Rev.1/Add.7
Oman N/A G/VAL/N/1/OMN/1 G/VAL/N/2/OMN/1
Pakistan N/A G/VAL/N/1/PAK/1 Not notified
Panama N/A G/VAL/N/1/PAN/1 G/VAL/N/2/PAN/1
Papua New Guinea N/A Not notified Not notified
Paraguay N/A Not notified Not notified
Peru N/A Not notified Not notified
Philippines N/A G/VAL/N/1/PHL/1 Not notified
Poland N/A VAL/1/Add.28
G/VAL/N/1/POL/1 and 2G/VAL/N/2/POL/1
Qatar N/A Not notified Not notified
Romania N/A VAL/1/Add.8 + Suppl. 1-2
G/VAL/N/1/ROM/1 and 2VAL/2/Rev.1/Add.9
Rwanda N/A G/VAL/W/842
St. Kitts & Nevis N/A Not notified Not notified
St. Lucia N/A Not notified Not notified
St. Vincent &
GrenadinesN/A Not notified Not notified
Senegal N/A G/VAL/N/1/SEN/1 Not notified
Sierra Leone N/A Not notified Not notified
Singapore N/A G/VAL/N/1/SGP/1 G/VAL/N/2/SGP/1
Slovak Republic G/VAL/N/1/SVK/1 VAL/1/Add.18
+ Suppl.1/Corr.1-2VAL/2/Rev.1/Add.15
+ Suppl.1
Slovenia N/A G/VAL/N/1/SVN/1 and 2 G/VAL/N/2/SVN/1
Solomon Islands N/A Not notified Not notified
South Africa VAL/1/Add.15 + Corr.1
+ Suppl. 1-3
G/VAL/N/1/ZAFVAL/2/Rev.1/Add.13
Sri Lanka N/A G/VAL/41
Suriname N/A G/VAL/N/1/SUR/1 Not notified
Swaziland N/A Not notified G/VAL/N/2/SWZ/1
Switzerland G/VAL/N/1/CHE/1 VAL/1/Add.5 N/A
Tanzania N/A Not notified Not notified
Thailand N/A Not notified Not notified
Togo N/A Not notified Not notified
Trinidad & Tobago N/A G/VAL/N/1/TTO/1 G/VAL/N/2/TTO/1
Tunisia N/A Not notified Not notified
Turkey G/VAL/N/1/TUR/1 VAL/1/Add.29
G/VAL/N/1/TUR/1 and 2G/VAL/N/2/TUR/1G/L/488
Page 7
Members Members who have
indicated their
legislation remains valid
under the WTO
Committee
(G/VAL/M/1)Members who have
submitted their legislation or
amendments under Articles
22.1 and 22.2 of the
AgreementMembers who have
submitted their replies to the
Checklist of Issues
(G/VAL/5)Members who are
delaying
application of the
Agreement under
Article 20.1 or para.
1, Annex III of the
Agreement
Uganda N/A Not notified Not notified
United ArabEmiratesN/A G/VAL/W/83
2
United States G/VAL/N/1/USA/1 VAL/1/Add.1 + Suppl.1-5 VAL/2/Rev.1/Add.1
Uruguay N/A G/VAL/N/1/URY/1 G/VAL/N/2/URY/1
Venezuela, The
Bolivaran Rep. ofN/A Not notified Not notified
Zambia N/A G/VAL/N/1/ZMB/1 Not notified
Zimbabwe G/VAL/N/1/ZWE/1 VAL/1/Add.23 VAL/2/Rev.2/Add.5
TOTAL NOTIFIED 14 45440 13
__________
                                                     
4 This number excludes those that notified under the Decision in the first column.