WORLD TRADE
ORGANIZATIONG/C/W/425
1er October 2002
(02-5264)
Council for Trade in Goods Original:  Spanish
TRADE FACILITATION:  ARTICLE VIII OF THE GATT 1994 ON
FEES AND FORMALITIES CONNECTED WITH
IMPORTATION AND EXPORTATION
Communication from Colombia
The following communication, dated 1 October 2002, has been received from the Permanent
Mission of Colombia.
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1. Introduction
In the process of globalization of the world economy, procedures relating to foreign trade
operations have unquestionably acquired a certain importance in recent years with the surge in world
trade flows.  Indeed, the trading operations of one country affect those of another and thus, in one wayor another, have a bearing on the performance of trading partners.  Furthermore, the myriad of
requirements and administrative procedures can have repercussions on competitiveness and become
means of trade discrimination and protectionism.
Within the framework of the multilateral trad ing system, the headway made with regard to
disciplines in trade policy and transparency of national legislation is clear.  There is, however, a large
grey area as regards streamlining the handling of some trade-related requirements and administrativeprocedures, which continue to be dealt with as a matter of autonomous policy. Agreements on
technical standards and sanitary measures, for example, provide for a number of criteria for adopting
standards and regulations, but no progress has been made as regards the requirements and costs
involved in obtaining registration, certification or recognition.
There are also instances of cumbersome import and export procedures, multifarious criteria
and requirements being applied by the different countries and fees and charges which are adopted in
principle pursuant to Article VIII of the GATT, but might well be considered as other fees and
charges related to GATT Article II disciplines.
2. General remarks on Article VIII
Of all the issues proposed in the Doha mandate on trade facilitation, Colombia considers this
article to be the most important. It should be borne in mind that the improvements adopted by some
countries and reductions in the tariffs charged for customs operations will not prove successful unless
joint efforts are made to identify and eliminate unnecessary restrictions stemming from therequirements and procedures applied.
Colombia is of the opinion that international standards which ensure simplification,
predictability, transparency, non-discrimination and foreign trade support, in particular in developing
countries, should be adopted.G/C/W/425
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We are aware of the limitations suffered by our customs and trade authorities in terms of
physical and human resources. We wish to reiterate the importance of both technical assistance
tailored to the needs and expectations of the different countries and time to move ahead with the
planned programmes and actions.
Gradualism is essential if progress is to be made. Colombia therefore considers that medium-
and long-term priorities must be set and a work programme established, as suggested hereunder.
- Medium-term priorities
There is a need to promote, within the WTO, commitments to reduce excessive
documentation, to press forward with programmes to automate procedures, and to ensure better use of
information technology.  This would lead to greater transparency, the elimination of ambiguous and
unspecified requirements as well as inappropriate procedures, and the strengthening of controls
through audits and assessment techniques which ensure continued facilitation.
Consideration should be given to the possibility of acceding to the conventions administered
by the World Customs Organization (WCO) whic h seek to harmonize customs procedures, in
particular the International Convention on the Simplification and Harmonization of Customs
Procedures (Kyoto Convention), the Convention on Temporary Admission (Istanbul Convention) and
the Brussels Convention on Nomenclature for the Classification of Goods in Customs Tariffs, inter
alia, which include mechanisms for the progressive adoption of commitments, selectivity as regards
the inclusion of regulations and the possibility of reservations.
The adoption of international standards on the harmonization and simplification of customs
procedures would bring about a reduction in the procedures and paperwork involved in import andexport operations, as required by the new rules of international trade and necessitated by its rapid
development.
We also support the establishment of a single-window facility at border points, with efficient
carrier media which would reduce both the time required for customs operations and the import and
export costs of goods.
- Long-term priorities
Systematization of the processes of the different customs administrations, border crossings,
storage warehouses and places of arrival and departure necessarily involves streamlining operations
and ensuring transparency in the work of customs officials, as well as removing barriers and thepossible discretion to which this gives rise.  It should be noted that both this procedure and the
adoption of international trade facilitation standards require substantial investment in physical, human
and technological infrastructure, which developing countries do not possess.  Technical assistance and
capacity-building must therefore target this issue, to ensure that all countries are in a position to
implement the standards and disciplines adopted.
3. Work programme
Colombia agrees with the communications from other Members stating the importance of
making improvements to Article VIII of the GATT, in particular to paragraph 1(c), using certain basic
GATT/WTO principles in the WTO Agreements as a reference.  The ultimate aim should be todevelop a multilateral agreement on the interpretation and application of Article VIII of the GATT,
thereby ensuring that the objectives set in 1947 with respect to minimizing the incidence andG/C/W/425
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complexity of import and export formalities and simplifying the procedures and requirements for the
import and export of goods are achieved.
To that end, we would suggest that a work programme covering the following activities be
developed:
- Preparation of a glossary of the terms used in Article VIII and which help to define its
scope and interpretation, such as: "services rendered", "substantial penalties",
"approximate cost of services" and the scope of a "penalty in respect of an omission
or mistake … necessary to serve … as a warning", inter alia ;
- preparation of an inventory of the measures adopted by Members under Article VIII
of the GATT, in particular those relating to the documents and procedures used in
foreign trade operations and the fees charged in all cases;
- analysis of the relationship between the provisions of and commitments under
Article VIII of the GATT and the WTO multilateral agreements;
- review of internationally agreed standards on the streamlining of documentation and
procedures;
- exchange of information between Members on their experiences with streamlining
procedures and rationalizing costs;
- preparation of a comprehensive technical assistance and capacity-building
programme for developing countries, tailored to their individual requirements;
- exchange of information between Members and international organizations on their
experiences with systematizing customs and other national authorities involved in
import and export procedures, as well as on electronic data transmission.
In our opinion, these activities will provide the inputs required to develop an agreement on
the interpretation and application of Article VIII which takes the following elements into
consideration:
1. Definitions
2. General principles
3. Specific provisions on fees and charges
4. Documentation and information requirements for import and export procedures
5. Customs import and export procedures
6. Minimum international standards for facilitation procedures between WTO Members
7. Special and differential treatment
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