RESTRICTED  
  
G/VAL/M/72  
 
20 December  2021 
(21-9517) Page: 1/21 
Committee on Customs Valuation    
 
 
MINUTES OF THE MEETING OF 25 OCTOBER  2021  
CHAIRPERSON: MR  BUDDHI PRASAD  UPADHYAYA (NEPAL)  
The Chairperson  recalled that the proposed agenda for the meeting had been circulated in 
document s WTO/AIR/VAL/ 13 and WTO/AIR/VAL/1 3/Rev.1 . 
 
The Committee adopted  the agenda as follows:  
 
1   REPORT OF THE WORK OF THE TECHNICAL COMMITTEE ON CUSTOMS VALUATION  ..... 2 
2   INFORMATION ON IMPLEMENTAT ION AND ADMINISTRATION OF THE AGREEMENT  .... 3 
2.1   Notification of National Legislation  ................................ ................................ ..................  3 
2.1.1    Afghanistan ................................ ................................ ................................ ...............  4 
2.1.2    Belize  ................................ ................................ ................................ .......................  4 
2.1.3    Benin  ................................ ................................ ................................ .......................  4 
2.1.4    Burundi  ................................ ................................ ................................ ....................  4 
2.1.5    Colombia  ................................ ................................ ................................ ..................  5 
2.1.6    Dominican Republic  ................................ ................................ ................................ .... 5 
2.1.7    El Salvador  ................................ ................................ ................................ ...............  5 
2.1.8    European Union  ................................ ................................ ................................ .........  5 
2.1.9    The Gambia  ................................ ................................ ................................ ..............  6 
2.1.10    Guinea ................................ ................................ ................................ ....................  6 
2.1.11    Guatemala  ................................ ................................ ................................ ..............  6 
2.1.12    Honduras  ................................ ................................ ................................ ................  7 
2.1.13    Iceland  ................................ ................................ ................................ ...................  7 
2.1.14    India ................................ ................................ ................................ ......................  7 
2.1.15    Israel  ................................ ................................ ................................ .....................  8 
2.1.16    Kazakhstan  ................................ ................................ ................................ .............  8 
2.1.17    Kyrgyz Republic  ................................ ................................ ................................ ....... 8 
2.1.18    Malawi  ................................ ................................ ................................ ....................  9 
2.1.19    Mongolia  ................................ ................................ ................................ .................  9 
2.1.20    Namibia  ................................ ................................ ................................ ..................  9 
2.1.21    Nepal  ................................ ................................ ................................ ...................  10 
2.1.22    Niger  ................................ ................................ ................................ ....................  10 
2.1.23    Nigeria  ................................ ................................ ................................ .................  10 
2.1.24    Paragua y ................................ ................................ ................................ ..............  10 G/VAL/M/72  
 
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  2.1.25    Russian Federation  ................................ ................................ ................................ . 11 
2.1.26    Rwanda  ................................ ................................ ................................ ................  11 
2.1.27    Saint Kitts and Nevis  ................................ ................................ ..............................  11 
2.1.28    Solomon Islands  ................................ ................................ ................................ .... 12 
2.1.29    Sri Lanka  ................................ ................................ ................................ ..............  12 
2.1.30    Togo ................................ ................................ ................................ ....................  12 
2.1.31    Tonga  ................................ ................................ ................................ ...................  13 
2.1.32    United Kingdom  ................................ ................................ ................................ ..... 13 
2.1.33    Vanuatu  ................................ ................................ ................................ ................  13 
2.1.34    Viet Nam  ................................ ................................ ................................ ..............  14 
2.2   Concluding Agenda Item  B ................................ ................................ ...........................  14 
3   INFORMATION ON THE APPLICATION OF DECISIONS OF THE COMMITTEE ON 
CUSTOMS VALUATION  ................................ ................................ ................................ ..... 14 
4   TECHNICAL ASSISTANCE  ................................ ................................ ............................  15 
4.1   Article  20.3 – Technical Assistance and Trade -Related Technical Assistance  .......................  15 
4.2   Information on Technical Assistance by the WCO  ................................ ............................  15 
5   PRESHIPMENT INSPECTION  ................................ ................................ .......................  15 
5.1   Status of Notifications by Members  ................................ ................................ ...............  15 
5.2   Questions and Responses  ................................ ................................ ............................  16 
5.2.1    China  ................................ ................................ ................................ .....................  16 
5.2.2    Indonesia  ................................ ................................ ................................ ...............  16 
5.2.3    Saint Lucia  ................................ ................................ ................................ ..............  17 
5.3   Information on the PSI  Programme Compiled by the TIC  Council  ................................ ...... 17 
5.4   Fifth Triennial Review of the PSI  Agreement  ................................ ................................ ... 17 
6   ANNUAL REVIEW OF THE IMPLEMENTATION AND OPERATION OF THE CUSTOMS 
VALUATION AGREEMENT  ................................ ................................ ................................ . 18 
7   ANNUAL REPORT OF THE  COMMITTEE TO THE COUNCIL FOR TRADE IN GOODS  .........  18 
8   OTHER BUSINESS  ................................ ................................ ................................ ....... 18 
8.1   eAgenda  ................................ ................................ ................................ ....................  18 
8.2   Next Meeting o f the Committee  ................................ ................................ ....................  19 
ANNEX  ................................ ................................ ................................ ............................  20 
 
1  REPORT OF THE WORK OF THE TECHNICAL COMMITTEE ON CUSTOMS VALUATION  
1.1.  The representative of the World Customs Organization  (WCO), Mr Jiabin Luo , reported on the 
work of the WCO Technical Committee on Customs Valuation (TCCV)  during the 53rd Session , which 
had taken place from 18 to 20  October  2021, in virtual format . His report is contained in Annex  I to 
this document.  
1.2.  The Committee took note  of the report.  G/VAL/M/72  
 
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  2  INFORMATION ON IMPLEMENTATION AN D ADMINISTRATION OF THE AGREEMENT  
2.1  Notification of National Legislation  
The Chairperson  recalled that, pursuant to Article  22 of the Customs Valuation Agreement 
(CVA) and the Decision on "Notification and Circulation of National Legislation in Accordance with 
Article  22 of the Agreement", Members  must submit the complete texts of their national legislation 
on customs valuation in one of the three  official WTO  languages. They should also inform the 
Committee of any changes  in their laws and regulations relevant to the CVA and in the administration 
of such laws and regulations. The notification procedures had been adopted by the Committee at its 
meeting of 12  May 1995 and were contained in section  B.2 of document  G/VAL/5.  
The Chairperson noted that document  G/VAL/ W/232/Rev.1 4 summarized the current status of 
notifications, as well as the status of questions and responses regarding legislation. He also noted 
that there had been an encouraging increase in notification activity since the Committee's previous 
meeting, including the submission of customs legislation notifications by the following four  Members: 
Benin ; El Salvador ; Iceland ; and Viet Nam . In addition, responses to the checklist of issues had been 
notified by  the follo wing three  Members:  El Salvador ; the Gambia ; and Guatemala. The Chairperson 
further recalled that the situation regarding the consideration of Chinese Taipei 's legislation 
remained unchanged.  
The representative of the United States  noted that the Committee ha d once again  shown that 
dedication and attentiveness to transparency  paid off; indeed , despite the very real challenges of 
the pandemic , more Members ha d found  the means  to notify their legislation  and respond  to the  
checklist of  issues.  In add ition, the steady flow of notifications ha d resulted in an increase in  the 
Committee 's work  across the board  and more Members were responding to questions, thus providing  
each other and the public with a better understanding of how their customs valuation  systems  
worked. For the US, t his spirit and the positive results  were at the heart of the proposal in the  
General Council on Procedures to Enhance Transparency and Strengthen Notification  Requirements  
Under WTO  Agreements.  In that regard, the US continued to urge Members to support the proposal 
at the following month's Ministerial Meeting.  Finally, the US indicated that they saw the work of the 
Committee as a demonstration of their focus on implementation  of the Trade Facilitation Agreement 
(TFA) , adding  that, b ecause of the TFA 's transparency obligations, they had concentrate d more on  
keeping  its legislation up -to-date and publicly  available , and noted other articles in the TFA that 
support ed the work of the Committee, including those on Advance R ulings,  Appeal and Review, 
Separation of Release, Post-Clearance Audit, and Minimizing  Documentation  and Formalities.  The 
US urged Members to support the proposal on accelerating implementation  of the TFA.  
The representative of China  noted  the increase in the number of notifications compared to the 
Committee's previous meeting.  China considered  this encouraging  and thanked  those Members that 
had done so for notifying their legislation and responses to the checklist of issues , which would 
enhanc e transparency , an important WTO principle. China also thanked  those Members that had 
submitted questions on the notifications. In addition, China noted that  2021 mark ed the 
20th Anniversary of China's accession to the WTO . China had been implementing the CVA for 
20 years and had gained valuable experience which enable d them to be more involved in the work 
of the Committee , as well as the TCCV . China noted that it had reviewed  some of the notifications 
and had submitted question s on the legislation of the E uropean Union, the United Kingdom, the 
Russian Federation,  and India. China thanked the Secretariat for its assistance with formatting and 
circulating the documents on such s hort notice. China value d the CVA and looked forward to working 
with all Members on the important issues on the Committee's agenda.  
The representative of the European Union  stated  that they were ple ased to see that the 
Committee continue d to receive  additi onal notifications , which were essential in promoting 
transparency. The EU also encourage d those Members that had not yet submitted a notification to 
do so.  
The Committee took note  of the information and of the statements made.  G/VAL/M/72  
 
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  2.1.1   Afghanistan  
The Chairperson  recalled that it had been agreed at the Committee's previous meeting to revert 
to Afghanistan's notification of its national legislation,  which had been circulated in 
document  G/VAL/N/1/AFG/1.  Canada had posed its questions in document  G/VAL/Q/AFG/1.  
The representative of Canada  stated that they looked  forward to receiving responses from 
Afghanistan to the questions they had  submitted.  
The Committee took note  of the statement made a nd agreed  to revert to Afghanistan 's 
notification at its next meeting.  
2.1.2   Belize  
The Chairperson  recalled that it had been agreed at the Committee's previous meeting to 
revert to Belize's notification of its national legislation and responses to the checklist of issues , which 
had been circulated in documents  G/VAL/N/1/BLZ/1 and G/VAL/N/2/BLZ/1. The latest questions 
raised by the United States had been circulated in document  G/VAL/W/330, to which Belize had 
responded in document  G/VAL/Q/BLZ/1.  
The repr esentative of the United States  thanked  Belize for its update on the status of  the 
passage and implementation of the CARICOM  Harmonized Customs  Bill, in 
document  G/VAL/Q/BLZ/1. Belize had indicated that its legal instruments were expected to be 
completed b y the end of 2021 and had noted the pandemic 's impact  upon the review. The US 
requested Belize to confirm that the CARICOM  Harmonized Customs Bill was still on track for 
completion by the end of 2021.  
The Committee took note  of the statement made and agree d to revert to Belize 's notification 
at its next meeting.  
2.1.3   Benin 
The Chairperson  drew the Committee's attention to the notification by Benin of its national 
customs legislation, which had been circulated in document  G/VAL/N/1/BEN/1.  
The representative of the United States  thanked Benin for the notification of its national 
customs valuation  legislation  and stated that they were sti ll reviewing the notification and would  
provide any questions in writing prior to the Committee's next mee ting. The US encouraged  Benin 
to submit its responses to the checklist of issues as soon as possible . 
The Committee took note  of the statement made and agreed  to revert to Be nin's notification 
at its next meeting.  
2.1.4   Burundi  
The Chairperson  recalled that it had been agreed at the Committee's previous meeting to 
revert to Burundi's notification of its national legislation , which had been circulated in 
document  G/VAL/N/1/BDI/1. The United States had raised questions  in document  G/VAL/W/361.  
The representative o f the United States  thank ed Burundi for its notification of the 
2008 revision of the East African Community Customs Management Act as its national customs 
valuation  legislation. The US  encourage d Burundi to submit its responses to the checklist of issues 
and look ed forward to receiving written replies to questions  that had been submitted in 2020 in 
document  G/VAL/W/361 . 
The Committee took note  of the statement made and agreed  to revert to Burundi 's 
notification s at its next meeting.  G/VAL/M/72  
 
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  2.1.5   Colombia  
The Chairperson  recalled that  it had been agreed at the Committee 's previous meeting to 
revert to the examination of Colombia's notification of its amended national legislation, which had 
been circulated in document  G/VAL/N/1/COL/4, and its amended responses t o the checklist of 
issues, which had been circulated in document  G/VAL/N/2/COL/3 . The European Union had since 
raised questions in document  G/VAL/Q/COL/1.  
The representative of Colombia  thanked the European Union for its question s and interest in 
Colombia' s recent notification s. Colombia stated that it did not  yet have a response  to the EU's series 
of questions on the implementation of the Decision of the Andean Community States; however, it 
would coordinate and endeavour to respond to those questions as soon as possible . 
The representative of the European Union  thanked Colombia for its amended  legislation and 
checklist , as well as for its comments , and looked  forward to  Colombia's response.  
The representative of the United States  noted their appreciation for Colombia's notification of 
its updated national CV  legislation and its reply to the checklist of issues. The US was still reviewing 
the notification and would  submit its questions before the Committee's next meeting . The US was 
also inter ested in receiving Colombia's replies to the EU 's questions.  
The Committee took note  of the statement s made and agreed  to revert to Colombia 's 
notification at its next meeting.  
2.1.6   Dominican Republic  
The Chairperson  recalled that it had been agreed at the Committee's previous meeting to 
revert to the examination of the Dominican Republic's notification of its amended national legislation, 
which had been circulated in document  G/VAL/N/1/DOM/2, and its responses to the  checklist of 
issues, which had been circulated in document  G/VAL/N/2/DOM/1. The United States had since 
raised questions in document  G/VAL/Q/DOM/1.  
The representative of the United States  appreciate d the D ominican Republic's responses in 
document  G/VAL/W/ 362 to the questions it had posed  in document  G/VAL/ W/355. The US had a few  
additional questions related to the use of the WCO Technical Committee on Customs Valuation 
instruments and a request for additional clarification on a reasonable d oubt process. The US had 
submitted these additional questions in document  G/VAL/Q/ DOM/1 and looked forward to receiving 
the Dominican Republic's written response . 
The Committee took note  of the statement made and agreed  to revert to the Dominican 
Republic 's notification at its next meeting.  
2.1.7   El Salvador  
The Chairperson  drew the Committee's attention to the notification by El Salvador of its  
national customs legislation, which had been circulated in document  G/VAL/N/1/SLV/1, and to its 
checklist of issues, whic h had been circulated in document  G/VAL/N/2/SLV/ 1. 
The representative of the United States  thanked  El Salvador  for its  notification of its national 
customs valuation  legislation and for its replies to the checklist of issues. The US stated that it was  
still reviewing the notification and w ould submit its questions before the Committee's next meeting.  
The Committee took note  of the statement made and agreed  to revert to El Salvador 's 
notification at its next meeting.  
2.1.8   European Union  
The Chairperson  recalled that it had been agreed at the Committee's previous meeting to 
revert to the examination of the European Union's notification of its amended national legislation, 
which had been circulated in document  G/VAL/N/1/EU/1. The United States had raised q uestions in 
document  G/VAL/W/374 , and the EU had responded to those questions in document  G/VAL/W/377. G/VAL/M/72  
 
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  Since the circulation of the meeting's agenda , China had also submitted questions ; these  would be 
reflected in the agenda of the Committee's next meeting . 
The representative of the United States  thanked the European Union for its response to its 
question and indicated that it had no further questions regarding the notification  at that time . 
The representative of China  thanked  the European Union for notifyi ng its national legislation 
regard ing its implementation of the CVA . After careful examination , China had submitted questions , 
which had been reflected and circulated to Members in document  G/VAL/Q/EU/1. China stated that 
it looked  forward to receiving the EU's responses to those questions.  
The representative of the European Union  thank ed the United States and China for their 
interest in its legislation , and indicated that it would  provide its response  to China's questions in due 
course.  
The Committee took note  of the statement s made and agreed  to revert to the European 
Union 's notification at its next meeting.  
2.1.9   The Gambia  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert to 
its examination of the Gambia's notification of its national legislation, which had been circulated in 
documents  G/VAL/N/1/GMB/1 and G/VAL/N/1/GMB/1/Add.1, as well as its responses to the checklist 
of issues in document  G/VAL/N/2/GMB/1. The Unite d States had raised questions in 
document  G/VAL/W/376 , and the Gambia had responded in document  G/VAL/Q/GMB/1.  
The representative of the United States  thanked the Gambia for the replies to its questions , 
which had been circulated in document  G/VAL/ Q/GMB/1 , and stated that the US was still reviewing 
the Gambia's replies , and would  submit any further questions in writing prior to the Committee's 
next meeting.  
The Committee took note  of the statement made and agreed  to revert to the Gambia' s 
notification at its next meeting.  
2.1.10   Guinea  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert to 
its examination of Guinea's notification of its national legislation, which had been circulated in 
document  G/VAL/N/1/GIN/1 . The United States had raised questions in document  G/VAL/W/266.  
The representative of the United States  noted it had submitted questions to Guinea in 2015 
in document  G/VAL/ W/266 , which had sought  clarification on Guinea's implementation of Article  5 
of the CVA . Additionally , the US noted that  Guinea ha d yet to submit its response to the checklist of 
issues. The US urged  Guinea to respond to the checklist of issues and to their questions as soon as 
possible . 
The Committee took note  of the statement made and agreed  to revert to Guinea 's notification s 
at its next meeting.  
2.1.11   Guatemala  
The Chairperson  drew the Committee 's attention to the notification by Guatemala of its 
responses to the checklist of issues, which had been circulated in d ocument  G/VAL/N/2/GTM/1. The 
United States  had raised questions in document  G/VAL/Q/GTM/1.  
The representative of the United States  thanked Guatemala for its replies to the checklist of 
issues  and noted that it had  submitted questions to Guatemala in document  G/VAL/Q/ GTM/1. The 
US looked  forward to receiving Guatemala's written response  to those questions . G/VAL/M/72  
 
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The representative of Guatemala  thank ed the United States for its questions . They stated that 
they were awaiting an official response from Capital, which would be circulate d as soon as they had 
received  it. 
The Committee took note  of the statement s made and agreed  to revert to Guatemala 's 
notification at its next meeting.  
2.1.12   Honduras  
The Chairperson  recalled t hat the Committee had agreed at its previous meeting to revert to 
its examination of Honduras' notification of its national legislation , and its responses to the checklist 
of issues, which had been circulated in documents  G/VAL/N/1/HND/1 and G/VAL/N/2/HND/ 1. The 
United States had submitted questions in document  G/VAL/Q/HND/1 . Since circulation of the 
agenda, Honduras had responded to these questions, which would be reflected in the agenda of the 
Committee's next meeting.  
The representative of the United Sta tes thank ed Honduras for its responses to their questions , 
and stated that they would review those responses and submit any follow -up questions to Honduras 
before the Committee's next meeting.  
The Committee took note  of the statement made and agreed  to revert to Honduras' 
notification at its next meeting.  
2.1.13   Iceland  
The Chairperson  drew the Committee's attention to the notification by Iceland of its amended 
national legislation, which had been circulated in document  G/VAL/N/1/ISL/2. The European Union 
had raised questions in document  G/VAL/Q/ISL/1.  
The representative of the European Union  thanked Iceland for its notified legislation , and 
stated that the EU had submitted a question to which they would welcome Iceland's response.  
The representative of the United States  thanked Iceland for submitting its updated notification 
of national CV  legislation , and stated that the  US was still reviewing the notification and would 
provide any questions in writing before the Committee's next meeting.  
The representative of Iceland  thank ed the European Union and the United States for the ir 
interest in Iceland's notification . Iceland indicated that they had prepared a written response t o the 
question by the EU and would  circulate it before the Committee's next meeting.  
The Committee took note  of the statement s made and agreed  to revert to Iceland 's 
notification at its next meeting.  
2.1.14   India  
The Chairperson  recalled that the Committee had ag reed at its previous meeting to revert to 
its examination of India's notification of its revised legislation, in document  G/VAL/N/1/IND/4, 
together with its revised responses to the checklist of issues, in document  G/VAL/N/2/IND/2. The 
Committee had questi ons on its agenda raised by the United States, Canada, and the European 
Union, which had been circulated in documents  G/VAL/W/338, G/VAL/W/339, and G/VAL/W/379 , 
respectively . After circulation of the agenda, India had provided its responses to the questions from 
the United States and Canada, and China had submitted additional questions regarding India's 
notifications. These documents would be reflected in the agenda of the Committee's next meeting.  
The representative of  the United States  thanked India for its notification and noted that it had 
submitted questions in 2019 in document  G/VAL/W/338 and looked forward to receiving India's 
written responses as soon as possible.  
The representative of Canada  noted that it had su bmitted questions to India  and encouraged 
India to provide its responses to those questions as soon as possible.  G/VAL/M/72  
 
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The representative of the European Union  thanked India for its notified legislation and 
checklist and noted that the EU had submitted a questio n to which they would welcome India's 
response.  
The representative of China  thank ed India for notifying its national legislation with regard to 
its implementation of the CVA. China noted that it had submitted questions , which had been 
circulated  in documen t G/VAL/Q/IND/1 , and looked forward to receiving India's response . 
The representative of India thank ed delegations for their interest and noted that India had 
already submitted its replies  to the questions from the United States and Canada . Regarding the 
questions from the European Union , India had provided the relevant information in its notification  in 
document  G/VAL/N/1/IND/4 , including details of its notifications , namely Notification  94/2007 , 
describing India's customs valuation rules of 2007, and Notification  91/2017 , which amended those 
rules. India request ed the EU to refer to those notifications. On China's questions , India stated that 
they had been shared with New Delhi and a response would be given  in due course.  
The Committee took note  of the statement s made and agreed  to revert to India's notification 
at its next meeting.  
2.1.15   Israel  
The Chairperson  recalled that the Committee had agreed at its p revious meeting to revert to 
its examination of Israel's notification of its responses to the checklist of issues, which had been 
circulated in document  G/VAL/N/2/ISR/1. The United States had raised questions in 
document  G/VAL/Q/ISR/1.  
The representative o f the United States  thank ed Israel for its replies to the checklist of issues. 
The US noted that it had submitted questions to clarify Israel's  customs valuation  procedures in 
document  G/VAL/Q/ ISR/1 , and looked  forward to receiving Israel's written reply.  
The representative of Israel  thanked  the United States for submitting its questions in writing 
regarding Israel's checklist of issues , and stated that they were  currently reviewing the questions  in 
Capital and looked  forward to being able to circulate a response to them shortly.  
The Committee took note  of the statement s made and agreed  to revert to Israel 's notification 
at its next meeting.  
2.1.16   Kazakhstan  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert to 
its examination of Kazakhstan's notification of its national legislation, which had been circulated in 
documents  G/VAL/N/1/KAZ/1 and G/VAL/N/1/KAZ/2. The United States had submitte d questions in 
documents  G/VAL/W/302 and  G/VAL/W/343 , and Kazakhstan had responded to those questions in 
document  G/VAL/Q/KAZ/1 . 
The representative of the United States  thanked  Kazakhstan  for its responses  and stated that 
they were  still reviewing those responses and w ould submit their questions before the Committee's 
next meeting.  
The Committee took note  of the statement made and agreed  to revert to Kazakhstan 's 
notification at its next meeting.  
2.1.17   Kyrgyz Republic  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert to 
its examination of the Kyrgyz Republic's notification of its revised legislation, as circulated in 
document  G/VAL/N/1/KGZ/2. The United States had raised questions in document  G/VAL/W/ 341, to 
which the Kyrgyz Republic had responded in document  G/VAL/W/371.  G/VAL/M/72  
 
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The representative of the United States  thanked the Kyrgyz Republic for its responses and 
stated that they are still reviewing those responses and would submit their questions before the 
Committee's next meeting . 
The Committee took note  of the statement made and agreed  to revert to the Kyrgyz Republic 's 
notification at its next meeting.  
2.1.18   Malawi  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert to 
its examination of Malawi's notification of national legislation and its responses to the checklist of 
issues, which had been circulated in documents  G/VAL/N/1/MWI/2  and G/VAL/N/2/ MWI/1. The 
United States had raised questions in document  G/VAL/W/303.  
The representative of the United States  noted that it had submitted questions in 2017 in 
document  G/VAL/ W/303 in response  to Malawi's national customs valuation  legislation notification , 
and stated that they looked forward to receiving Malawi's written replies to those questions as soon 
as possible . 
The Committee took note  of the statement made and agreed  to revert to Malawi 's notification 
at its next meeting.  
2.1.19   Mongolia  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert to 
its examination of Mongolia's notification of its national legislation, which had been circulated in 
document  G/VAL/N/1/MNG/ 1. The European Union had raised questions in 
document  G/VAL/Q/MNG/1.  
The representative of the European Union  thanked  Mongolia for its notified legislation  and 
recalled that they had  submitted question s to Mongolia to which they would welcome  a response.  
The representative of the United States  thanke d Mongolia for notifying its national legislation  
and stated that they were  reviewing the responses and would  submit their questions to Mongolia 
before the Committee's next meeting. The US also  urged Mongolia to submit its written replies to 
the checklist of issues.  
The Committee took note  of the statement s made and agreed  to revert to Mongoli a's 
notification at its next meeting.  
2.1.20   Namibia  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert to 
its examination of Namibia's notification of its responses to the checklist of issues, which had been 
circulated in document  G/VAL/N/2/NAM/1. The United States had raised questions  in 
document  G/VAL/Q/NAM/1.  
The representative of the United States  thank ed Namibia for submitting its replies to the 
checklist of issues  and noted that they had submitted several questions to Namibia and looked 
forward to receiving Namibia's written repli es. 
The representative of Namibia  thank ed the United States for its interest in their notification 
and stated that they would  provide their answers in writing before the Committee's next meeting.  
The Committee took note  of the statement s made and agreed  to revert to Namibia's  
notification at its next meeting.  G/VAL/M/72  
 
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  2.1.21   Nepal  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert to 
its examination of Nepal's notification of its national legislation, which had been circulated in 
document  G/VAL/N/1/NPL/1. The United States had raised questions in document  G/VAL/W/301.  
The representative of the United States  noted that they had submitted questions to Nepal in 
2017 in document  G/VAL/ W/301 and looked forward to receiving  a written response from Nepal,  or 
an indication as to when Nepal's response would  be forthcoming. The US urged Nepal to submit its 
responses to the checklist of issues as soon as possible.  
The representative of Nepal  thanked  the United States for its cont inued interest in Nepal 's 
legislation on customs valuation. Nepal stated that the agencies concerned in their Capital were 
preparing responses to the follow -up questions , but noted that, due to the current situation of the 
COVID -19 pandemic, it would  take some time for Nepal to complete the consultation and submit its 
responses.  
The Committee took note  of the statements made and agreed  to revert to Nepal's n otification 
at its next meeting.  
2.1.22   Niger  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert to 
its examination of Niger's notification of its national legislation, which had been circulated in 
document  G/VAL/N/1/NER/1. The United States had posed questions in document  G/VAL/W/358, to 
which Niger had responded in doc ument  G/VAL/Q/NER/1.  
The representative of the United States  thanked Niger for its replies to their question in 
document  G/VAL/Q/ NER/1. The US was still reviewing  these replies  and w ould provide any additional 
questions in writing prior to the Committee's next meeting. The US  also encourage d Niger to respond 
to the check list of issues.  
The Committee took note  of the statement made and agreed  to revert to Niger 's notification 
at its next meeting.  
2.1.23   Nigeria  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert to 
its examination of Nigeria's notification of its national legislation and its responses to the checklist 
of issues, which had been circulated in documents  G/VAL/N/1/NGA/1 and G/VAL /N/2/NGA/1. The 
United States had raised questions in document  G/VAL/W/356.  
The representative of the United States  thanked Nigeria for replying to a previous set of 
questions, after which the US had submitted additional questions in document  G/VAL/ W/356 s eeking 
further clarification , in particular on revisions to Nigeria's Customs Service Act of 2013. The US  
stated that they looked forward to receiving Nigeria's written reply.  
The Committee took note  of the statement made and agreed  to revert to Nigeria's  notification 
at its next meeting.  
2.1.24   Paraguay  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert to 
its examination of Paraguay's notification of its responses to the checklist of issues, which had been 
circulated in docu ment G/VAL/N/2/PRY/1. The United States and the European Union had raised 
questions in documents  G/VAL/Q/PRY/1 and G/VAL/Q/PRY/2 , respectively . 
The representative of the United States  thank ed Paraguay for submitting its responses to the 
checklist of issues. At the same time, the US stated that it had submitted several questions to 
Paraguay in doc ument  G/VAL/Q/ PRY/1  and looked  forward to receiving Paraguay's written reply.  G/VAL/M/72  
 
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The representative of the European Union  thanked  Paraguay for its notification and noted that 
the European Union had submitted a question to Paraguay to which they would welcome a response.  
The Committee took note  of the statement s made and agreed  to revert to Paraguay's  
notification at its next meeting.  
2.1.25   Russian Federation  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert to 
its examination of the Russian Federation's notification of legislation, which had been circulated in 
documents  G/VAL/N/1/RUS/4, G/VAL/N/1/RUS/4/ Add.1, and G/VAL/N/1/RUS/5. The Russian 
Federation's responses to the checklist of issues had been circulated in document  G/VAL/N/2/RUS/1. 
The United States and the European Union had raised questions in documents  G/VAL/W/360 and 
G/VAL/Q/RUS/1 , respectively . Since the circulation of the agenda, China had also submitted 
questions, which would be reflected in the agenda of the Committee's next meeting.  
The representative of the United States  thanked the Russian Federation for its notification on 
the application of the reserve method. At the same time, the US had submitted questions in  2020 
in document  G/VAL/W/360  and looked forward to receiving a written response.  
The representative of the European Union  thanked the Russian Federation for its notified 
legislation and checklist. The EU noted that it had submitted questions to the Russian Federation 
ahead of that day's Committee meeting to which it would welcome  a response.  
The representative of China  thanked the Russian Federation for notifying its national customs 
valuation  legislation. After reviewing the notification,  China had  submitted its question s to the 
Russian Federation in document  G/VAL/Q/RUS/2 , and  looked forward to receiving the Russian 
Federation's responses to its questions.  
The representative of the Russian Federation  thanked the United States , the European Union, 
and China,  for their interest in Russia's trade policy ; the questions were being considered and w ould 
be responded to in due course.  
The Committee took note  of the statements made and agreed  to revert to the Russian 
Federation's notification at its next meeting.  
2.1.26   Rwanda  
The Chairperso n recalled that the Committee had agreed at its previous meeting to revert 
to its examination of Rwanda's notification of its national l egislation, and its responses to the 
checklist of issues, which had been circulated in documents  G/VAL/N/1/RWA/1 and 
G/VAL/N/2/RWA/1. The United States had raised questions in document  G/VAL/W/215, to which 
Rwanda had responded in document  G/VAL/W/368.  
The representative of the United States  thank ed Rwanda for its replies  in 
document  G/VAL/ W/368  and stated they were reviewing those replies and w ould submit questions 
to Rwanda before the Committee's next meeting.  
The Committee took note  of the statement m ade and agreed  to revert to Rwanda 's 
notification at its next meeting.  
2.1.27   Saint Kitts and Nevis  
The Chairperso n recalled that the Committee had agreed at its previous meeting to revert 
to its examination of Saint Kitts and Nevis' notification of its national legislation, which had been 
circulated in document  G/VAL/N/1/KNA/1.  
The representative of the United States  thanked Saint Kitts and Nevis for notifying  its 
national customs valuation  legislation. The US stated that they were  reviewing the notification and 
would  submit its questions to Saint Kitts and Nevis before the Committee's next meeting. The US  
encourage d Saint Kitts and Nevis to respond as  soon as possible  to the checklist of issues . G/VAL/M/72  
 
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The Committee took note  of the statement made and agreed  to revert to Saint Kitts and 
Nevis' notification at its next meeting.  
2.1.28   Solomon Islands  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert 
to its examination of the Solomon Islands' national legislation, which had been circulated in 
documents  G/VAL/N/1/SLB/1 and  G/VAL/N/1/SLB/ 1/Add.1. The United States had raised questions  
in document  G/VAL/W/375 . 
The representative of the United States  thank ed the Solomon Island s for their previous  
replies to its questions , and noted that it had since submitted additional questions in 
document  G/VAL/ W/375. The US  urged  the Solomon Islands to submit its response s to the checklist 
of issues and noted that it looked forward to receiving a written response to its questions.  
The Committee took note  of the statement made and agreed  to revert to the notification of 
the Solomon Islands at its next meeting.  
2.1.29   Sri Lanka  
The Chairperso n recalled that the Committee had agreed at its previous meeting to revert 
to its examination of Sri Lanka's notification of its national legislation and its responses to the 
checklist of issues, which had been circulated in documents  G/VAL/N/1/LKA/1, 
G/VAL/N/1/LKA/1 /Corr.1, and G/VAL/N/2/LKA/1. The United States had provided questions in 
document  G/VAL/W/313, to which Sri Lanka had replied in document  G/VAL/W/320. The United 
States had raised additional follow -up questions in document  G/VAL/W/328.  
The representative of the United States  thank ed Sri Lanka  for responding to its question s in 
document  G/VAL/ W/320. Nevertheless, the US continued  to have concerns regarding Sri Lanka's 
apparent use of prices li mited by Gazette notifications  and had submitted follow -up questi ons in 
2019 in document  G/VAL/ W/328 . The US looked forward to receiving Sri Lanka's written reply . 
The representative of Sri Lanka  thanked the delegation of the United States for its continued 
interest in their  customs valuation legislation . Sri Lanka wished to inform the Committee that 
Sri Lanka 's tariff structure for motor vehicles mostly consisted of specific duties.  As Sri Lanka had 
already explained , the term "customs value of imported goods" was defined in Article  15.1(a) of the 
CVA as "the value of the goods for the purposes of levying ad valorem  duties of customs on imported 
goods". Accordingly, the non -application of valuation methods  provided for in the C VA in determining 
the customs value of imported goods which attract ed non-ad valorem  duties or specific duties on 
motor vehicles could not be claimed to be in non -compliance with the CVA. Sri Lanka underst ood 
that, as the current tariff structure allowed Sri Lanka to impose ad valorem  ordinary customs duties 
on certain motor vehicles, there might be a need to revisit the probable instances of non -application 
of valuation methods provided for in the C VA in dete rmining the customs value of those imported 
goods which attract ed ad valorem  ordinary customs duties. Accordingly, Sri Lanka's Capital -based 
officials had already started the process of reviewing the current tariff structure on motor vehicles 
in order to e xplore all possible options to address the concerns expressed by the delegation of the 
United States, especially through document  G/VAL/W/328.  Sri Lanka stated that they would 
continue to engage with the delegation of the United States on this matter.  
The Committee took note  of the statement s made and agreed  to revert to Sri Lanka' s 
notification at its next meeting.  
2.1.30   Togo  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert 
to its examination of Togo's notification of its national legislation, which had been circulated in 
document  G/VAL/N/1/TGO/1. Canada had raised questions, which had been circulated in  
document  G/VAL/W/340, to which  Togo had provided its responses in document  G/VAL/W/370. The 
United States had raised questions in document  G/VAL/W/37 2. G/VAL/M/72  
 
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The representative of the United States  thank ed Togo for its notification of their national 
customs val uation  legislation. The US had review ed the notification and had provided its questions 
to Togo in document  G/VAL/ W/372 . The US encouraged  Togo to respond to the checklist of issues 
and look ed forward to receiving Togo's written reply to its questions.  
The representative of Togo stated that the US question s had been passed to Capital; once 
Capital had responded , Togo's answers would be communicated to the US  in writing . 
The Committee took note  of the statement s made and agreed  to revert to Togo's notification 
at its next meeting.  
2.1.31   Tonga  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert 
to its examination of Tonga's notification of its responses to the checklist of issues, which had been 
circulated in document  G/VAL/N/2/TON/1. The US had raised questions in document  G/VAL/W/37 3. 
The representative of the United States  thank ed Tonga for submitting its replies to the 
checklist of issues. The US had reviewed Tonga's notifications  and submitted its questions in 
document  G/VAL/W /373. The US looked  forward to receiving Tonga's written replies.  
The Committee took note  of the statement made and agreed  to revert to Tonga 's notification 
at its next meeting.  
2.1.32   United Kingdom  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert 
to its examination of the United Kingdom's notification of its national legislation and responses to 
the checklist of issues, which had been circulated in documents  G/VAL/N/1/GBR/1 and 
G/VAL/N/2/GBR/1.  The European Union and the United States had raised questions in 
documents  G/VAL/W/378 and G/VAL/Q/GBR/1 , respectively . Since circulation of the agenda, the UK 
had responded to the question posed by the EU ; China had also submitted questions, which would 
be reflected in the agenda of the Committee's next meeting.  
The representative of the European Union  thanked the United Kingdom for its notifications 
and responses. The EU would  review the UK responses and submit in writing any other questions 
that might arise.  
The representative of the United States  thank ed the United Kingdom for notifying its national 
customs valuation  legislation and replies to the checklist of issues. The US  had subm itted several 
questions to the UK in document  G/VAL/Q/ GBR/1 and looked forward to receiving the UK's written 
responses.  
The representative of China  thanked the United Kingdom for notifying its national customs 
valuation  legislation. After reviewing the notification , China had submitted questions to the UK in 
document  G/VAL/Q/GBR/2. China looked forward to receiving the UK's responses . 
The representative of the United Kingdom  thank ed the European Union for its questions and 
stated that they would  also consid er any new questions on the UK's  responses. In addition, the UK 
thanked  China and the US for their questions , which would be referred to Capital for consideration . 
The UK hoped to be able to provide its responses in time for its next meeting.  
The Committee took note  of the statement made and agreed  to revert to the United 
Kingdom 's notification at its next meeting.  
2.1.33   Vanuatu  
The Chairperson  recalled that the Committee had agreed at its previous meeting to revert 
to Vanuatu's notification of its n ational legislation , which had been circulated  in 
document  G/VAL/N/1/VUT/1. The United States had submitted questions in 
document  G/VAL/W/359.  G/VAL/M/72  
 
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The representative of the United States  thanked Vanuatu for notifying its national customs 
valuation  legislation. The US noted that it had submitted questions  to Vanuatu in 2020  in 
document  G/VAL/ W/359 . In addition,  the US  continued  to urge Vanuatu to submit its responses to 
the checklist of issues  and looked forward to receiving Vanuatu's written response.  
The Committee took note  of the statement made and agreed  to revert to Vanuatu's 
notification at its next meeting.  
2.1.34   Viet Nam  
The Chairperson  drew the Committee's attention to Viet Nam's  notification of its customs 
legislation , which had been circulated  in document  G/VAL/N/1/VNM/1. The European Union had 
raised questions in document  G/VAL/Q/VNM/1.  
The representative of  the European Union  thank ed Viet Nam for its notified legislation  and 
recalled that the EU had submitted questions to which they would welcome a response . 
The representative of  the United States  thank ed Viet Nam for its national customs valuation  
legislation. The US was still reviewing the notification and would  provide any questions  in writing 
prior to the Committee's next meeting. The US  also encourage d Viet Nam to submit its replies to 
the checklist of issues.  
The representative of  Viet Nam  thanked  delegates  for their questions  concerning 
document  G/VAL/N/1/VNM/1 , and noted that th ey had also received the questions contained in 
document  G/VAL/Q/VNM/1 and would  respond to them in writing  shortly.  
The Committee took note  of the statement s made and agreed  to revert to Viet Nam' s 
notification at its next meeting.  
2.2  Concluding Agenda Item  B 
The Chairperson  updated the Committee by noting that, to date, 111  Members had notified 
their national legislation on customs valuation, and 76  Members had provided responses to the 
checklist of issues (both numbers counted the European Union as one ). Therefore, there remained 
26 Members that had not yet made either of these notifications . The Chairperson welcomed the new 
notifications that had been received and thanked delegates for their work in preparing them. He 
remarked that the progress made ha d been  encouraging and urged Members that had not yet 
notified their legislation, or amendments to their legislation, to do so ; he also emphasized that 
Members could request technical assistance from the Secretariat  as needed . 
The Committee took note  of the information.  
3  INFORMATION ON THE APPLICATION OF DECISIONS OF THE COMMITTEE ON CUSTOMS 
VALUATION  
The Chairperson  recalled that the Committee was required to take note of any new notifications 
concerning the application of two of the Decisions adopted at its meeting of 12  May 1995, and 
contained in document  G/VAL/5, which were the "Decision on the Treatment of Interest Charges in 
the Customs Value of Imported Goods" , and the "Decision on the Valuation of Carrier Media Bearing 
Software for Data Processing Equipment". Since the Committee 's previous meeting, notifications 
relating to these two  decisions had been received from Armenia and Guatemala.  The Chairperson 
noted  that t he most recent status report, which covered all notifications, had been circulated in 
document  G/VAL/W/5/Rev.3 4. 
The representative of  the United States  commended the eight  Members of the Committee that 
this year had either notified or updated the Committee on their application of the se decision s. 
The Committee took note  of the information and of the statement made.  G/VAL/M/72  
 
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  4  TECHNICAL ASSISTANCE  
4.1  Article  20.3 – Technical Assistance and Trade -Related Technical Assistance  
The Chairperson  recalled th at the Committee 's Work Programme on Technical Assistance for 
Capacity -Building as Regards the Implementation and Administration of the WTO  Agreement on 
Customs Valuation was incorporated in to the overall technical assistance program me of the WTO. 
The WTO was currently implementing the 2020-2021 biennial TA  Plan. The Chairperson thanked the 
Secretariat for its role in delivering technical assistance on customs valuation matters in 
three  eRTPCs that had taken place that year. He also noted that Members could request technical 
assistance at any time , and that a national activity could be designed to meet the needs of the 
recipient.  The Chairperson  noted that, in the context of notification requirements, this could be an 
opportunity for Members to consider whether it would be helpful to request assistance with their 
notification s; in this regard, he encouraged Members to take advantage of the assistance being 
provided by the WTO  Secretariat via virtual sessions.  He added that, in his role  as Chairperson, he 
wished  to consider if there was scope for a session relating to the implementation of the Agreement , 
and would consult with interested Members for their views prior to the Committee's next meeting.  
The representative  of the United States  indicated that US  federal agencies had been active in 
supporting their trading partners in the area  of customs  valuation.  US Customs and Border 
Protection  (CBP)  had supported the US Department of Commerce  Commercial  Law Development  
Program  by provid ing virtual  trainings  around  the globe . Since  May 2021, they had provided  training  
on Post-Clearance  Audit (PCA)  and risk management,  including valuation audits, for  Georgia , 
Viet Nam, and  with a particular focus on risk man agement for incoming shipments,  for the 
Association of Southeast Asian Nations (ASEAN) . The United States also considered it an  exciting 
development  that CBP had teamed up  with the US Department of Agriculture  (USDA)  to evaluate 
valuation procedures for agricultural  products  in Guatemala . Challenges with comparing fruits, 
vegetables , and meat products listed in the import  database with actual fruit, vegetable and fresh 
meat imports ha d led to a proliferatio n of reconsiderations and appeals.  This had been found not to 
have been a good use of customs  resources  or a good way to attract investment.  USDA  experts in 
the pricing of agricultural products plan ned to join CBP  valuation experts to  provide targeted training 
to Guatemala 's Customs Service on the cyclical nature  of prices for fruits and vegetables, depending 
on whether they were in-season or out -of-season , as well as the role played by significant different 
end-use and preparations , like curing or slicin g, in the price of  fresh meat products.  The United 
States hoped , in the future,  to repeat this type of sector -specific training in other areas as well.  
The Committee took note  of the information and of the statement made . 
4.2  Information on  Technical Assistance  by the WCO  
The Chairperson  recalled that , as reflected in section  B.4 of document  G/VAL/5, the Committee 
had agreed that greater transparency in technical assistance activities would be ensured if 
information documents prepared for the WCO  TCCV were also made available as WTO  document s. 
Document  G/VAL/8/Add.4 2 contained the most recent information by the TCCV concerning technical 
assistance activities carried out by the WCO  Secretariat.  
The Committee took note  of the information . 
5  PRESHIPMENT INSPECTION  
5.1  Status of Notifications by Members  
The Chairperson  drew the Committee 's attention to the compilation of notifications pursuant 
to Article  5 of the Agreement on Preshipment Inspection. The current status of all preshipment 
inspection ( PSI) notifications was contained in the updated document  G/PSI/N/1/Rev.5 , together 
with the notification from Botswana,  reflected in document  G/PSI/N/1/Rev.5 /Add.1 . 
The representative of  the United States  thanked Botswana for notifying updates to  its 
preshipment inspection  regime. During  the Committee's previous  meeting,  the US had called  upon 
Egypt  and the Central  African  Republic  to confirm that their notified PSI  program mes were not being 
used in relation to tariff classification or  customs  valuation. The US welcomed  the replies  to this G/VAL/M/72  
 
- 16 - 
 
  request  received from Egypt,  the Central  African  Republic,  and also from Botswana, which also used 
preshipment inspection to verify that imports met applicable  standards and  product requirements. 
The US considered  that this  level of transparency  helped  all to better  understand  these  program mes. 
The Committee  took note  of the information and of the statement made.  
5.2  Questions and Responses  
5.2.1   China  
The Chairperson  recalled that t he United States had raised questions in 
document  G/VAL/W/353 regarding China's 2019  notification, to which China had responded in 
document  G/VAL/ W/369.  
The representative of  the United States  thanked China  for its reply in docum ent G/VAL/W/369  
to US questions  on their PSI requirements. The US noted that it would shortly be submitting  
follow -up questions  request ing China to notify all of its PSI  measures, including those that pertain 
to the PSI entities  that carry out  the inspections. The US noted that  most of the obligations  in 
Article  2 of the PSI Agreement  were disciplines  on PSI entities that Members themselves must 
ensure. Therefore, measures relating to the operation of PSI  entities were just as important to notify 
as measures  relating  to importers. Furthermore, the United States noted that, in accordance with 
paragraph  10 of Article  2, their questions would request China to provide information on the 
measures it takes to give effect to the Protection of  Confidential  Business Information.  In addition, 
the US  questions would ask whether, and how many, foreign headquartered PSI  applicants  had been 
approved  by the General  Administration  of Customs  China  (GACC)  to perform preshipment 
inspection with respect to solid waste and old mechanical and electrica l products.  The US looked  
forward  to China 's written  responses.  
The representative of China  thank ed the United States for raising this issue again. China noted 
that they had  provided replies to all of the US questions before the Committee's previous meeting 
in document  G/VAL/W/369 ; for the sake of time , China would not repeat those replies . China  looked 
forward to receiving the new written questions  from the US . China highlighted that the relative 
measures , including the announcement that the United States had mentioned during the 
Committee's previous meeting , were no longer applied.  Meanwhile, China had issued quality 
standards for recycling materials for brass, copper, cast aluminum alloys, and iron and st eel 
materials. The recycling materials were not considered as solid waste and could be imported in a 
normal way , without preshipment measures, as long as they met the relevant quality standards and 
posed no hazards to human health and the environment.  
The Committee took note  of the statements made and agreed  to revert to this matter  at its 
next meeting.  
5.2.2   Indonesia  
The Chairperson  recalled that the United States had raised questions in 
documents  G/VAL/W/314 and G/VAL/W/357, to which Indonesia had responded in  
document  G/PSI/Q/IDN/1.  
The representative of  the United States  thanked Indonesia for its reply in 
document  G/PSI/Q/IND/1 , which it was reviewing and to which it would revert with any additional 
questions . Indonesia 's current responses focus sed on the fact that the inspections carried out by 
surveyors were used as a traceability system to keep track of information about products that were 
being imported. Indonesia had indicated that the surveyor information aided in recalling or removing 
importe d products if they were found to be defective.  The US stated that it had questions about this 
characterization of the program me as a consumer protection scheme ; it planned to submit these 
questions shortly.  Regardless of the fact that Indonesia may not have been using PSI for valuation 
or classification purposes (something it ha d notified to the Trade Facilitation  Committee that it would 
not do , as of 2017 , under the PSI  Agreement ), the commitment to notify still applied to a PSI  regime 
that was being used for health, safety, and environmental purposes.  Notification was the step that 
Egypt, the Central African Republic,  and Botswana had taken , and the US expected Indonesia to 
take this step as well.  G/VAL/M/72  
 
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The representative of  Indonesia  thanked  the United States for raising its concerns regarding 
Indonesia's import certification. Regarding the US question in document  G/VAL/W/314 , Indonesia 
had submitted its response in document  G/PSI/Q/IDN/1. Indonesia had highlighted that its 
verification  was not th e same as the definition of PSI since their measures  could be carried out on 
the goods, country of origin, the exporting country and domestic ally in their free trade zone area.  
Moreover, Indonesia's verification measure was not only applied for imports but  also for export 
activities. Indonesia believed that having similarities in such definition s did not mean that the 
two things were the same. Indonesia need ed to administer the measure to fulfil its responsibility in 
preserving health, safety , the environment , public morals,  and national security and national interest 
in relation to certain products , high-risk products  in particular . With out adequate verification , 
Indonesia faced  a high risk of environmental  degradation in international trade that would threaten 
its domestic consumers. Regarding the question  by the US in document  G/VAL/W/357 , Indonesia 
was still coordinating with the relevant  government agencies and w ould submit its written responses 
regarding the document as soon as they had been  finalized . Indonesia had taken note o f the 
US concern s and w ould discuss the matter internally.  
The Committee took note  of the statements made and agreed  to revert to this matter  at its 
next meeting.  
5.2.3   Saint Lucia  
The Chairperson  recalled that the United States had raised questions in 
document  G/VAL/W/354 regarding Saint Lucia's 2019  notification of legislation relating to PSI.  
The representative of  the United States  thank ed Saint Lucia for notifying its preshipment 
inspectio n measures  for vehicles.  The Un ited States noted that it had submitted questions in 
document  G/VAL/ W/354  and look ed forward  to receiving Saint Lucia 's written response.  
The Committee took note  of the statement made and agreed  to revert to this matter  at its 
next meeting.  
5.3  Information on the PSI Programme Compiled by the TIC Council  
The Chairperson  recalled that the Testing, Inspection and Certification (TIC)  Council had 
provided the most recent information from its members regarding the existence of PS I programmes. 
This information had been circulated to Members in document  G/VAL/W/63/Rev.2 7. 
The Committee took note  of the information.  
5.4  Fifth  Triennial Review of the PSI  Agreement  
The Chairperson  recalled that , at its meeting of October  2020, the Committee had launched 
the fifth  triennial review of the PSI  Agreement. The previous Chairperson had offered to hold 
consultations with interested delegations, and had invited Members to provide written submissions 
in connection with the review. No written submissions had been received although statements had 
been made by Members at the Committee's previous two meetings. The Chairperson noted that, as 
had been indicated at the Committee's previous meeting, unless there were additional matters 
warranting the Committee 's further consideration , it was expected that the review would be 
concluded at that meeting. In conclusion, he noted that the Secretariat had prepared a factual report 
of the review that had been circulated in document  G/VAL/W/380.  
The representative of  the United States  thanked the Chairperson  for conducting  the 
fifth triennial  review  of the PSI Agreement , and the Secretariat  for preparing  the report  in 
document  G/VAL/ W/380.  Noting that no proposals had been adopted during the review, the  US 
applaud ed the progress made  by Members  in implementing  Article  10.5.1 of the WTO  Trade 
Facilitation Agreement, which provided that "Members shall not  require the use of preshipment 
inspection in relation to tariff classification and custom s valuation ", and Article  10.5.2 , which 
discouraged Members from introducing new tariff  classification  or customs  valuation preshipment  
inspection measures.  As Article  10.5 of the TFA phased out the use of PSI for customs classific ation 
and valuatio n purposes, more and more Members were using PSI to verify  conformity  with standards 
and product  requirements.  The US had previously mentioned that notifications of conformity -related G/VAL/M/72  
 
- 18 - 
 
  PSI regimes could have a  significant positive benefit for all exporters and the agenda reflected the 
fact that Member s had responded  to that assessment . From those notifications , the US had 
developed more questions to explore in the period befor e the next triennial  review.  Therefore, as 
the fifth triennial review drew to a close, the US continued to advocate that each Member make a 
renewed effort to notify any PSI  requirements it  implemented . The US considered that the 
Committee could  learn from these notifications, engage in the question -and-answe r process, and 
come back together in three  years knowing what was needed for PSI in the  future.  
The Committee took note  of the statements made , concluded  the review , and agreed  to adopt 
the report  on the basis of the draft in document  G/VAL/W/380 , and to instruct  the Secretariat to 
finalize it for circulation as a G/L  document .1 
6  ANNUAL REVIEW OF THE IMPLEMENTATION AND OPERATION OF THE CUSTOMS 
VALUATION AGREEMENT  
The Chairperson  drew Members' attention to Article  23 of the Agreement, which provided that 
the Committee should review annually  the implementation and  operation of the Agreement, taking 
into account the objectives thereof. The Secretariat had prepared a draft in line wi th the previous 
reviews, which had been circulated in document  G/VAL/W/381.  
The Committee agreed  to adopt the report on the basis of the draft in document  G/VAL/W/381 , 
and to instruct the Secretariat to circulate it as document  G/VAL/78.  
7  ANNUAL REPORT OF T HE COMMITTEE TO THE COUNCIL FOR TRADE IN GOODS  
The Chairperson  recalled that Article  23 of the Agreement also require d the Committee to 
inform the Council for Trade in Goods (CTG) annually of any developments during the relevant 
reporting period. To that end, the Secretariat had prepared a draft Annual Report, which had been 
circulated in document  G/VAL/W/382.  
The Committee agreed  to adopt the report on the basis of the draft in document  G/VAL/W/382 , 
and to instruct the Secretariat to finalize it for circulation as a  G/L document.2 
8  OTHER BUSINESS  
8.1  eAgenda  
The Chairperson  noted that several subsidiary committees of the CTG were in the process of 
implementing, or considering the implementation of, an e Agenda platform, and stated that, if 
Members were interested, he would ask the Secretariat to arrange a presentation at the Committee's 
next meeting that would focus on how the platform could be best tailored to its work.  
The representative of  the United States  indicated that the US would welcome  a presentation 
by the Secretariat on the e Agenda platform at the Committee's next meeting ; it would  allow 
Members to consider whether such a platform was appropriate for use in the Committee.  
The representative of  the European Union  stated that they would also be glad for the 
Secretariat to deliver a presentation on the eAgenda platform during the Committee's next meeting.  
The representative of  Guatemala  noted that the eAgenda platform had been introduced in other 
Committees and welcomed a presentation from the Secretariat so that Members could  see how an 
eAgenda could be  implement ed also in this  Committee.  
The representative of  the Russian Federation  also support ed the suggestion of a Secretariat 
presentat ion of the eAgenda  platform and noted that it had proven to be a very helpful platform in 
the context of the TBT and Market Access Committees, making Members' work more efficient and 
effective.  
 
1 The final report was circulated as document  G/L/1409.  
2 The final report was circulated as document  G/L/1410.  G/VAL/M/72  
 
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The representative of  Cambodia  agreed , together  with other Mem bers, to a Secretariat 
presentation to the Committee of the eAgenda  platform . 
The Chairperson  stated that he remained available to consult with Members in this regard; in 
addition, he would request the Secretariat to prepare a presentation on the eAgenda platform to be 
delivered to the Committee at its next meeting.  
8.2  Next Meeting of the Committee  
The Chairperson  informed Members that the provisional date for the Committee's next meeting 
had been scheduled for 9  May 2022, to follow the meeting  of the TCCV, which had been scheduled 
to take place from 3 to 5 May 2022.  
The representative of  the European Union  asked if the Committee 's next  meeting could be held 
on 17  May 2022, or if not, on 10 instead of 9  May. At the same time, the EU noted that it would 
adapt to the date proposed by the Chair person  if it were the only convenient date . 
The Chairperson  stated that the Secretariat would evaluate the European Union's request  and 
inform Members of the date of the Committee's next meeting  in due course . 
The meeting was adjourned . 
_______________  
 
 
  G/VAL/M/72  
 
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  ANNEX  
REPORT TO THE WTO  COMMITTEE ON CUSTOMS VALUATION   
ON THE WORK OF THE TECHNICAL COMMITTEE ON CUSTOMS VALUATION  
(53RD SESSION)  
The 53rd Session of the Technical Committee on Customs Valuation (Technical Committee) was held 
from 20  September to 20  October  2021. The period from 20  September to 1  October was devoted 
to the online discussion phase followed by the consultation phase from 4 –15 October  2021. Th e 
virtual part of the meeting was held from 18 to 20  October  2021. 265  delegates from 95  Members 
and Observers together were registered for this session.  
 
Specific Technical Questions  
 
The Technical Committee examined 3  technical questions submitted by Mem bers. 
 
- Royalties and licence fees under Article  8.1 (c) of the Agreement: Request by Uruguay . The 
Technical Committee reached consensus on this question and adopted a new instrument, 
which will be sent to the council for approval (see Annex to this report).  
 
- Valuation treatment of ancillary charges in relation to Article  1 of the Agreement: Request 
by Mauritius. The Technical Committee decided to continue examining this issue at its 
54th Session.  
 
- Valuation treatment of cost of transport for the retu rn of carriages used in the transportation 
of imported goods: Request by North Macedonia. The Technical Committee decided to 
continue examining this issue at its 54th Session . 
 
Three questions were received from Uruguay during the intersession prior to the  53rd Session, and 
the Technical Committee agreed to examine these questions as Specific Technical questions at the 
next Session . 
 
Elections  
 
The Technical  Committee re -elected Ms.  S. M. MARTE of the Dominican Republic as Chairperson, 
Ms. Qianyu LIN and Mr. Laurent Blaise KABORE from China and Burkina Faso respectively as Vice 
Chairpersons who will serve for the next year.  
 
Dates of the 54th TCCV Session  
 
- The dates of the 54th Session of the Technical Committee have been provisionally set for 
3–5 May 2022, assuming a virtual session.  
 
ROYALTIES AND LICENCE FEES  
UNDER ARTICLE  8.1 (C) OF THE AGREEMENT  
1. A patented concentrate is purchased by importer ICO from manufacturer XCO who is also the 
patent holder. The imported concentrate is simply diluted with ordinary water, not using a 
patented process, and is consumer -packed with a trademark owned by XCO for its sale in the 
importing country as a soft drink.  
 
 In addition to the price of the goods, ICO is required to pay to manufacturer XCO, as a condition 
of sale, a single royalty for the right to incorporate or use the patented concentrate in products 
intended for resale and for use of the trademark. The amount of the royalty was set at 15% of 
the sale price of the finished product, the soft drink.  
 
 XCO sel ls to ICO at a price of 30  c.u. each 0.10  litre of concentrate, which is used to produce 
one litre of soft drink. The production costs per litre of finished soft drink, in line with the generally 
accepted accounting principles of the country of importation , are:  
 G/VAL/M/72  
 
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  (a) Cost of imported concentrate (price actually paid or payable to XCO 
per 0.10 litre):    
30 c.u.  
(b) Import cost of imported concentrate (port charges, customs duties, 
inland transport and other costs per 0.10 litre):   
6 c.u.  
(c) Cost of other inputs:   4 c.u.   
(d) Labour costs:    3 c.u.  
(e) Other production costs:  7 c.u.  
 
      Total cost of production per litre of finished soft drink:   
50 c.u.  
 
 ICO subsequently sells the soft drink to retailers in the country of importation at a price of 
100 c.u. per litre, of which it pays to XCO a single royalty of 15  c.u. as compensation for 
(a) incorporation or use of the imported concentrate in the production of the soft drink and (b)  for 
use of the trademark of the soft drink.  
 
 With the other conditions  imposed under Article  8.1(c) of the Agreement having been fulfilled, as 
indicated in paragraph  2, the issue is  to determine whether the royalty is related to the imported 
goods and if so, what amount of royalty payment is to be added to the price actually  paid or 
payable for the imported concentrate.  
 
2. The Technical Committee on Customs Valuation expresses the following view.  
 
 Advisory Opinions  4.4 and 4.6 address royalties paid for the right to incorporate or use a patented 
concentrate and for the right t o use a trademark, respectively. The royalties in each case are 
considered as dutiable.  
 
 The royalty payment is a condition of a sale as provided in the facts and the entire royalty is 
related to the imported goods because the imported concentrate is simp ly diluted with the 
ordinary water, not using a patented process, and is consumer -packed with trademark of XCO 
for sale in the importing country as a soft drink.  
 
 The amount of the royalty to be added to the price actually paid or payable will result from  the 
corresponding final amount of the royalty generated from the sale of the soft drink, per unit of 
imported concentrate. For this purpose, objective and quantifiable data should be used to relate 
the royalty payable on the soft drink produced to the pri ce actually paid or payable for the 
imported concentrate used.  
 
 Under the facts presented in the case, and given that payment of the royalty is not based on 
other factors which are totally unrelated to the imported goods, as contemplated in the 
Interpreta tive Note to paragraph  3 of Article  8 of the Agreement, it is appropriate to include it in 
the Customs value.  
 
 In this case, 0.10  litre of concentrate is used to finally produce one  litre of soft drink. Ac cordingly, 
the Customs value per 0.10  litre of imported concentrate will be the price actually paid or payable 
for the imported concentrate, plus the required adjustment for royalties generated from the sale 
of a litre of soft drink.  
 
 In other words, the Customs value will be a total of 45  c.u. per 0.10 litre of concentrate: 30  c.u. 
which is the price actually paid or payable, plus 15  c.u. arising from an adjustment to that price 
under Article  8.1 (c) of the Agreement for the subsequent payment of the corresponding royalty.  
 
__________