WT/REG376/2  
 
13 June 2018  
(18-3664) Page: 1/12 
Committee on Regional Trade Agreements  Original: English/Spanish  
 
FREE TRADE AGREEMENT  BETWEEN COSTA RICA A ND COLOMBIA  
(GOODS AND SERVICES)  
QUESTIONS AND REPLIE S 
 The following communication, dated 8 June 2018, is being circulated at the request of the 
delegations of  Costa Rica and Colombia . 
 
_______________  
 
 
Questions from the delegation of Chile  
 
1.1.  Regarding paragraph 4.32 on the provision of research and development services, 
Chile asks Costa Rica to indicate which requirements apply to the establishment of and 
licensing for foreign nationals and enterprises wishing to undertake work with respect 
to biodiversity in Costa Rica . 
 Costa Rica's legal system provides for various licences or permits, which are issued 
according to the type of  biodiversity -related work that one wishes to carry out in the country .  
 
The requirements referred to in Annex I -CR-27 of the Agreement may be viewed  by clicking  on the 
following links : 
 
 Biodiversity Law, Law  No. 7788:  
http://www.pgrweb.go.cr/scij/Busqueda/Normativa/Normas/nrm_texto_completo.aspx?pa
ram1=NRTC&nValor1=1&nValor2=39796&nValor3=74714&strTipM=TC   
 
 Law on Wildlife Conservation, Law No. 7317 :  
http://www.pgrweb.go.cr/scij/Busqueda/Normativa/Normas/nrm_texto_completo.aspx?pa
ram1=NRTC&nValor1=1&nValor2=12648&nValor 3=110020&strTipM=TC   
 
 Implementing regulations for the Law on Wildlife Conservation , Executive Decree  
No. 40548:  
http://www.pgrweb.go.cr/scij/Busqueda/Normativa/Normas/nrm_texto_completo.aspx?pa
ram1=NRTC&nValor1=1& nValor2=84592&nValor3=109223&strTipM=TC  
 
1.2.  Concerning paragraph 4.34 on telecommunication services, Chile requests Costa 
Rica to specify the requirements for the authorization and the granting of permits to 
provide any telecommunication services . 
 In Costa R ica, permission  to provide telecommunications services takes the form of 
concessions, authorizations and permits .  
 
i. Conces sions are granted for the use and exploitation of radio spectrum  frequencies 
that are required to operate and exploit telecommunicatio ns networks .  
ii. Authorizations  are required (a) to operate and exploit public telecommunications 
networks  that do not require the use of the radio -frequency spectrum ; (b) to provide 
telecommunications services available to the public through public 
telecommunications networks that the person applying for the authorization  does not WT/REG376/2  
 
- 2 - 
 
  operate or exploit;  or (c) to operate private telecommunications networks that do 
not requ ire the use o f the radio -frequency spectrum . 
iii. Permits  are required to use frequency bands that are (a) not used commercially, (b) 
used in an official capacity, and  (c) used for security, rescue and emergency 
purposes . 
 A special concession granted by the Co sta Rican Legislative Assembly  is required to provide 
traditional basic telephony services .  
 
 Anyone wishing  to check the specific requirements for concessions,  authorization s and 
permits may consult  the telecommunications legislation published on the web site of the Costa 
Rican Supervisory Authority for Telecommunications : https://sutel.go.cr/normativas   
 
1.3.  With regard to paragraph 4.45 on recreational, cultural and sporting services, Chile 
asks Costa Rica to clarify the limitation on the number of foreign actors performing in a 
show, and in particular whether this limitation is a fixed number or percentage, and to 
provide the corr esponding figure in either case . 
 Under Article 3 of Law No. 5812 of  10 October  1975 (Law regulating the hiring and taxation 
of foreign performers in shows), a show must hire the same number of national performers as 
foreign performers , unless the respective majority union states that it is unable to provide them . 
 
1.4.  Concerning paragraph  4.48 on rail transport services, Chile requests Costa Rica to 
explain in what situations and how the wording "if necessary" would be applied in order 
to grant concessions to priva te entities . 
 Under  the Agreement, Costa Rica has reserved the right to main tain a  monopoly on rail 
transport. The State may , however,  grant concessions to private entities  in cases where the 
demand for the service so requires. Such cases must be substantiated by  a technical study . 
 
1.5.  Regarding paragraph 4.57 on commitments relating  to professional services, 
particularly legal services, Chile requests Colombia to provide more detailed information 
on the nature of the reservatio ns it applies to legal services .  
 Regarding professional services, Colombia has extended the scope of its GATS 
commitments, as indicated in the factual presentation document. The document also refers to a 
reservation concerning legal services, which only applies to notaries and/or registrars. In this 
regard, it should be noted that Colombia has consistently  included this reservation in its trade 
agreements and that it reflects a restriction set out  in our legislation , which provides  that only 
Colombian nationals may be notaries and/or registrars. There is also an economic needs test for 
the establishment of new  notaries in the country . 
 
1.6.  With respect to paragraph 5.11.1 on Chapter 16 on electronic commerce, Chile asks 
Costa Rica to provide further details regarding the inclusion of provisions to enhance 
consumers' protection and data protection, and particularly whether those provisions 
allow for or req uire such enhancement . 
 The c hapter on electronic commerce  recognise s the importance of maintaining and adoptin g 
measures to protect consumers  from fraudulent and  deceptive trade  practices in electronic 
commerce . Furthermore, the  Parties shall seek to adopt or maintain measures to protect the 
personal information of users participating in electronic commerce. In this respect, provisions are 
introduced  to encourage the Parties to make efforts to share information and experiences 
regarding their respective sys tems for protecting consumers participating  in electronic commerce , 
and their regimes for protecting  personal information. The provisions do not  require such 
enhancement . 
 
1.7.  Concerning paragraph 5.13 and the possibility for the complaining Party to select 
the forum for the settlement of disputes covered by the Agreement and WTO 
Agreements, Chile requests both countries to indicate whether they are considering any 
type of limitation or characteristics regarding  the forums that may be used, or whether 
this choice does not involve any type of limit ation for the complaining Party . WT/REG376/2  
 
- 3 - 
 
   Yes, under Article 18.3, the complaining Party may select the forum in which it wishes to 
raise the dispute. As a result, the complaina nt, where  legally appropriate, may choose whether to 
raise the dispute b efore the WTO or under this FTA; however,  once it has selected the forum, it 
cannot ra ise the same dispute before the forum  that it initially excluded. There  are no limitations 
or spec ific characteristics regarding the forums that may be used. As already mentioned, if, 
legally , there are arguments for raising the case on the basis  of the legal instruments of each 
forum , this may be done  without the need to meet any special requirement . 
 
1.8.  Paragraph 5.26 states that "[the Parties] must establish procedures allowing an 
IPR holder to submit complaints in case he/she suspects counterfeit or pirated goods 
are being imported into the country so that customs authorities can take action".  
Chile as ks the Parties to describe what this procedure would entail and the 
measures rela ting to the enforcement of IPRs.  
 In Costa Rica's case , a procedure exists whereby  an intellectual property right holder with  
substantiated knowledge of the arrival or clearance of goods that infringe his right may request 
the Industrial Property Register, the National Register of Copyright and Neighbouring Rights or the 
judicial authorities to order the cust oms authorities to s uspend the  clearance  of the goods.  
 
 Under  the Intellectual Property Rig hts Enforcement Procedures Act No. 8039 , the holder or 
their representative may request that the clearance of the goods be suspended only where  the 
following minimum requirements  are m et:  
 
a. They can prove that they are the holder or representative of an intellectual property 
right;  
b. They provide a reasonable security or equivalent assurance  before the suspension is 
ordered,  sufficient to protect the defendant and the competent authoriti es and to 
prevent abuse. This security or equivalent assurance must not unreasonably deter 
recourse to these procedures. Such a security may take the  form of an instrument 
issued by a financial services provider to protect  the importer or owner of the imported 
goods from any loss or damage resulting from the suspension of the release of goods , in 
the event that the competent authorities determine that the ar ticle is not an infringing 
good;   
c. They supply sufficient informatio n on the goods that may reasonably be expected to be 
within the right holder's knowledge , so that these  goods can be easily recognized  by the 
competent authorities. The requirement to provide sufficient information must not 
unreasonably det er recourse to t hese procedures;  
d. They provide adequate evidence to satisfy the competent authorities that there is 
prima  facie an infringement of the right holder's intellectual property rights .  
 Once the  clearance of the goods has been suspended, the Industrial Property  Register, the 
National Register of Copyright and Neighbouring Rights or the judicial authorities shall immediately 
notify the importer or exporter of the goods and the person requesting the measure . 
 
 In Colombia's case, in accordance wi th Article 9.7.2  of the Agreement , the commitment  
mentioned refers to the Parties' obligation to incorporate into their legislation border measures 
against the infringement of marks and copyright. The Parties shall ensure that their domestic 
legislation includes procedure s that enable any right holder  with valid grounds for suspecting that 
the importation , exportation or transit of counterfeit trademark or pirated copyright goods may 
take place, to submit a request  to the competent authorities for the suspension by the cus toms 
authorities of the clearance  of such goods . 
 
 The procedure is set forth in the Customs Statute . The tools of this legislation (Article 611 et 
seq. Decree No. 390 of 2016)  include that related to the suspension of the operation of 
importation or expor tation due to the infringement of copyright and trademark law, which acts as 
an important border control measure. Provisional suspension enables the National Customs and 
Excise Directorate  (DIAN) to order the suspension of an import, export or transit operation WT/REG376/2  
 
- 4 - 
 
  involving goods that may be pirated  or counterfeit, while the relevant competent authority takes a 
substantive decision on the matter . 
 
1.9.  Paragraph 5.29 states that, "The Parties commi t to establish a system of 
registration of trademarks in which any refusal by the relevant administration must be 
duly explained, and appeals are allowed in accordance with their legislations."  
Chile would welcome information on the time -period within whic h this registration 
system is to be established by the Parties.  
 Under the Agreement , each Party is to establish  a system for the registration of trade marks, 
in accordance with their legislation .  
 
 In Costa Rica, we have a trademark  registration system  that has as  its legal basis Law 
No. 7978 ( Law on Tradema rks and Other Distinctive Signs ). Under the provisions of this Law , the 
Administration issues properly reasoned administrative decisions  concerning any  refusal to register 
a trade mark. The L aw also e stablishes a procedure whereby  any interested party may challenge  
trademark registration applications. Furthermore, the Administrative Registry Tribunal , as an 
administrative court, will consider challenges to decisions issued by th e Industrial Property 
Register during the trademark registration  process . 
 
 Colombia's  registration system is administered by the Supervisory Authority for Industry and 
Trade  and fully complies with the standards set forth in the Agreement. Information concerning 
the protection of industrial property can be found in Andean Decision 486 of 2000 . 
 
1.10.   Regarding paragraph 5.30 on protection of the geographical indications of each 
Party (Article 9.4 of the Agreement), Chile would like to know which of the products in 
Annex 9 -A are protec ted as geographical indications and which are prot ected as 
appellations of origin . 
 In accordance with Annex  9-A of the Agreement , Colombia's geographical indications are as 
follows : 
 
 "Cestería en Rollo de Guacamayas " 
 "Cerámica Artesanal de Ráquira Colombi a" 
 "Tejeduría San Jacinto " 
 "Sombrero Aguadeño " 
 "Mopa Mopa Barniz de Pasto " 
 "Tejeduría Wayuu " 
 "Tejeduría Zenú " 
 "Sombreros de Sandoná " 
 "Cerámica del Carmen de Viboral " 
 "Queso del Caquetá " 
 "Queso Paipa " 
 "Café de Colombia " 
 "Café de Nariño " 
 "Café de Cauca " 
 "Bizcocho de Achira del Huila " 
 "Cholupa del Huila " 
 "Clavel de Colombia " 
 "Rosa de Colombia " 
 "Crisantemo de Colombia " 
 
 In Colombia's  case, the geographical indications listed in Annex 9 -A of the Agreement are 
protected within the country as appellations of origin, in accordance with Andean Community 
Decision 486 . 
 
 Costa Rica's geographical indications are :  
 
 "Banano de Costa Rica " 
 "Café de Costa Rica " 
 WT/REG376/2  
 
- 5 - 
 
   In Costa Rica's case, these two signs were registered internally as geographical indications 
and not appellations of origin.  
1.11.   Paragraph 5.35 states that "the Parties shall require the disclosure of the origin or 
source of genetic resources and  associated traditional knowledge in patent applications, 
as well as proofs that these resources or knowledge have been legally accessed".  
Chile would like to have more information on how the demonstration procedure 
would be carried out or made effective, in regard both to legal access to resources or 
knowledge and to the disclosure of the origin or sourc e of the resources or knowledge . 
 The demonstration procedure  in regard to both legal access to resources or knowledge and 
the disclosure of the origin or source of resources or knowledge  will be carried out pursuant to 
Article 9.5 , subparagraph 7 , in accordance with the legislation of each Party. Costa Rica is a 
contracting party to the Convention on Biological Diversity  (CBD) . Furthermore , the Biodiversity  
Law ( Law No. 7788 ) of 30 April 1998  introduced into domestic legislation the commitments 
undertaken by the country under the CBD, with a view to preserving biodiversity and t he 
sustainable use of resources  and distributing fairly the derived benefits and costs. Article 69 of the 
Law concerns  access permits . 
 
 Under the Agreement, this requirement will be applied in accordance with the domestic 
legislation of each Party. In Colombia , Andean Community Decision 486 establishes that  one of the 
requirements to be met by the patent applicant when they have access to a genetic resource is to 
present the access contract . 
 
1.12.   With regard to paragraph 5.36, Chile requests further information relating to the 
provisions on the exchange of information established in the Agreement (how the 
exchange of information is carried out within the scope of the provisions on biodiver sity 
and traditional knowledge) . 
 As stated in Article 9.5, subparagraph 10 , on the exchange of information within the scope 
of the provisions on biodiv ersity and traditional knowledge, the Parties agree to cooperate, on the 
basis of mutually agreed terms, with regard to the  exchange of information .  
 
 This provision is supplemented by Chapter 19 of the Agreement, in particular Article 19.3 on 
supplying  information, under which the Parties shall provide information on request . 
 
Questions from the delegation of China  
 
1.13.   Paragraph 3.37: "Where a Party detains at a port of goods originating in the 
territory of the other Party due to a perceived failure to com ply with a technical 
regulation, it shall immediately notify the importer of the reasons for the detention."  
 Could the parties kindly clarify how to operate the above notification in the specific 
practice?  
 
 In Costa Rica, most technical requirements are verified once the product is imported and is 
on the market, ready to be offered to consumers. Technical requirements that are import 
conditions and which fulfilment is verified at the port of entry, are previously known by the 
importers through the electro nic import system name TICA :  
(https://www.hacienda.go.cr/tica/web/hCnConsVariasE.aspx# !).  
 
 The system will not allow the conclusion of the import process if any requirement is missi ng. 
The electronic import process is led by the importer or its legal representative. Any question or 
doubt regarding rejection of the conformity assessment procedure presented by the importer will 
be attended immediately by the competent authority.  
 
In Co lombia, when one good is detained at a port of entry that fails with a technical 
regulation it shall immediately notify the importer or its legal representative of the reasons for the 
detention, as well as the legal terms to attend and complement technical  regulation.  
 WT/REG376/2  
 
- 6 - 
 
  1.14.   Paragraph 3.38: "The Parties also commit to recognize the conformity assessment 
bodies of the other Party on the same terms as accorded to such bodies in their own 
territory."  
 Could the parties kindly clarify how to operate this assessment i n the specific 
practice?  
 
 Previous request, the other Party conformity assessment bodies may provide their services 
in the territory of the other Party, following the same proceedings for accreditation, inspection and 
certification that apply to the natio nal conformity assessment bodies.  
 
Questions from the delegation of the European Union  
 
Provisions on trade in goods  
Customs -related procedures  
 
1.15.   Paragraph 3.52: The EU is interested in receiving additional information with 
reference to the provisions set in Articles 4.2, 4.5, 4.6 and 5.1.4 of the Agreement, as 
briefly illustrated in paragraph 3.52 of the Factual Presentation.  
 Could the parties clarify the differences in the procedures applied by their customs 
authorities on the basis of Article 4.2.1 and the ones applied on the basis of Article 4.5?  
 
 Article 4.2 has the objective of promoting simplified and efficient customs procedures for 
general goods and Article 4.5 specifically refers to express shipments, which have a separate and 
expedited customs p rocedures.  
 
Article 4.2  
 
Response from the delegation of Costa Rica  
 
There are simplified customs procedures for the efficient dispatch of goods.  
 
 Costa Rican customs legislation allows for the possibility of anticipated customs dispatching, 
in which the  carrier or his representative must electronically transmit the cargo manifest of import 
or export and indicate the estimated date of arrival or departure of the means of transport to port, 
depending on the specific case.  
 
 For customs dispatches, both nor mal and anticipated, the customs internet application 
(TICA) will determine, based on risk analysis criteria, if participation during the unloading or 
reception of the transport unit is required on behalf of the customs administration, information 
that wil l be duly informed to the carrier immediately. If participation is required from any member 
of the customs authority, prior to the unloading of the unit, the government official shall 
coordinate with the carrier.  
 
 The customs official designated to undert ake the physical recognition of the goods, when 
required, must proceed with the revision of documentation on site, check the status of the 
transport unit as well as customs seals, authorize unloading and, if needed, carry out the physical 
recognition of pr oducts; access the information into the internet application, and if all is found 
according to standard, authorize the dispatch of cargo, authorizing and signing the customs 
declaration and delivering it to the responsible customs warehouse.  
 
Response fro m the delegation of Colombia  
 
 For Colombia, the first case, Article 4.2.1, refers to procedures for ordinary importation or 
importation for home use, temporary importation for re -exportation in the same state or for 
processing in Colombia, and re-importation. The general procedure for these imports is as follows : 
1. Using the electronic information service, t he carrier or customs official must provide the 
National Customs and Excise Directorate (DIAN)  with the information in the cargo manifest 
and transport documents , within the established time -frame , in advance of the goods'  arrival 
in the country . WT/REG376/2  
 
- 7 - 
 
  2. Once the shipment  has arrived and been unloaded from its means of transport, the customs 
official must check it and submit, within the established time-frame , a report containing  details 
of the shipment , which must mention  any inconsistencies with regard to the information 
previously provided .  
 
3. Once the above steps have been  completed, the goods may be cleared through customs, in 
which case the foll owing procedure established in Articles 117 to  134-1 of Decree 2685 of  
1999 will apply :  
a. Obtaining of prior approvals and permits from the control authorities .  
b. Submission of the import declaration and supporting documents to DIAN for its approval 
using  the electronic information service .  
c. Payment of any applicable duties and taxes  using the el ectronic information service  or 
directly at the bank .  
d. Application for authorization of release using  the electronic information service .  
e. Once the above steps hav e been completed , the DIAN information service  will 
immediately decide on one  of the following courses of action : (a) authorize the 
automatic release of the goods ; (b) documentary inspection ; or (c) physical inspection of 
the goods.  
f. Once the release has be en authorized, the party concerned may take possession of the 
goods in accordance with its declared import modality .  
Article 4.5  
 
Response from the delegation of Costa Rica  
 
According to Costa Rican customs legislation, express shipments can be classified as: 
document shipments, samples with no commercial value, goods subject to payment of duties and 
general shipments. Specifically, in the case of goods subject to payment of d uties, can be 
dispatched through a simplified customs declaration, allowing the possibility of obtaining said 
goods immediately and up to a maximum of 6 work hours after the reception of the transport unit. 
They shall not be able to be processed through an  anticipated declaration of samples with no 
commercial value, general shipments, small shipments with no commercial value, or goods subject 
to non -tariff measures.  
 
Response from the delegation of Colombia  
 
 The second case, Article 4.5, refers to expedi ted or express shipments that are imported 
into Colombia using a much quicker  procedure , insofar as they are small packages that do not 
generally involve  goods subject to compliance with prior approvals , and only the operator 
previously authorized to transport them to the country and to clear them through customs  is 
involved in the  import ation process . In this respect :  
1. Specialized courier companies , acting as postal traffic and expedited shipment  
intermediaries , are responsible for providing, via the DIAN  electronic information service , 
informatio n from the transport documents for  the shipment that is to arrive in national 
territory . 
 
2. Once the shipment has arrived and been unloaded from its means of transport, it must be 
check ed, and a report containing details of the shipment, including any inconsistencies 
with regard to the information previously provided , must be submitted within the 
established time -frame. The goods are received in the primary customs zone by t he 
specialized courier compa ny, which must check that the relevant requirements have been 
met to continue under this import modality, without prejudice to the controls also 
conducted on these goods by DIAN .  
 WT/REG376/2  
 
- 8 - 
 
  3. In the  transport document accompanying the good s upon their arrival  in the country, the 
specialized courier service must assess  the duties and taxes due, at the time of  the 
delivery of the goods to each consignee . This transport document signed by the consignee  
of the goods shall be considered the impo rt declaration . 
 
4. The courier service must submit, via the electronic information service, the consolidated 
payments statement for goods delivered d uring the previous 15 days and pay  the duties 
and taxes on the 1st and 16th day of each month . 
Article 4.6  
 
 In Costa Rica, it is named "Programa de Facilitación Aduanera para el Comercio Confiable 
(PROFAC)" – Customs Facilitation Program for Reliable Trade – and was created in 2011. PROFAC 
is a voluntary and gratuitous program, in which any operator of commerce that fulfils  the 
requirements can participate. In exchange for this participation, they are awarded benefits that 
allow speeding up and facilitating trade of their goods, on behalf of the Directorate General of 
Customs. This program offers benefits not onl y to the operators of commerce but also to the 
customs authorities, since it promotes the circulation of goods and information exchange, allowing 
for better analysis of risk assessment and management.  
 
 Costa Rica and Colombia are currently in process of e laborating a plan of action for the 
negotiation of a mutual recognizing agreement for the programs of the Authorized Economic 
Operator.   
 
Article 5.1.4   
 
 In regard to cooperation for prevention, investigation and sa nction of customs infractions 
(Article 5 .1.4), there still have not been activities of this nature between Costa Rica and Colombia.  
 
1.16.   Could the parties describe the procedures referred to in Article 4.5.2, clarifying in 
particular what does it mean to "envisage separated customs procedures"?  
Response from the delegation of Costa Rica   
 
 Express shipments (Article 4.5) have separate and expedited customs procedures, for 
example, the presentation of a single cargo manifest that holds all goods contained in a single 
express shipment, a simplified  customs declaration and dispatch of shipments for delivery within 
the following 6 hours after the arrival of the transport unit.  
 
Response from the delegation of Colombia  
 
As indicated under the previous point, the separate customs procedure for express 
shipments adopted by Colombia differs  from the general proce dure (for ordinary importation)  in 
terms of both the rules applied  and how the procedure operates . This expedited  shipment 
procedure for imports is provided for in Articles 192 to 203 of  Decree 26 85 of 1999 and in 
Articles  285 to  294 of Decree 390 of  2016.  
 
 The importation process for expedited  shipments is conducted  only by specialized courier 
companies (e.g. UPS, Fedex, etc.) . Such companies  are responsible for the entire operation , from 
transporting the goods from abroad through to their arrival in the country; they are required to 
provide information to the customs authority, deliver  the goods to the consignee and pay the 
relevant duties and taxes .  
 
 In the transport document that accompanies  shipments  upon their arrival, an assessment 
must be made of the duties and taxes due . This transport document , signed by the consignee of 
the goods , constitutes  the import declaration .  
 
 Specialized courier companies are to pay  the relevant duties and taxes to the customs 
authority, in consolidated form, on the 1st and 16th day of each month .  
 WT/REG376/2  
 
- 9 - 
 
  The EU notes that while Article 4.5 on expedited procedures is quite detailed and 
goes beyond the provisions of the TFA, Article 4.6 on the AEO remains quite general. 
Could the Parties comment on this aspect, clarifying the reasons behind this outcome?  
 Article  4.6 contains the elements necessary to consolidate  authorized economic operator 
programmes within the countries and for the countr ies to meet  the objective of establishing a 
mutual recognition agreement .  
 
 Thanks to this provision, in April , Colombia and Costa Rica, within the framework of the 21st 
Regional Conference of Customs Directors of  the Americas and the Caribbean, held in Mexico, were 
able to sig n up to a work plan to reach a mutual recognition a greement concerning  the Authorized 
Economic Operator (OEA).  
 
1.17.   With reference to Article 5.1.4 on co -operation and mutual assistance in customs 
matters, could the Parties info rm Members on the actions carried out by the Parties 
and/or envisaged aimed at the prevention, investigation and at the imposition of 
penalties in case of infringements?  
 This provision seeks to strengthen the relationship between  customs authorities throu gh the 
exchange of information  before, dur ing and after customs clearance. This will  enable  controls and 
investigations to take into account all the elements that need to  be assessed, and will ensure that 
such elements are available without delay .  
 
 While  no joint action has yet been taken in this regard, this provision provides us with a 
framework for requesting or providing cooperation when required .  
 
Provisions on trade in services  
4.4.1 Costa Rica and 4.4.2 Colombia  
 
1.18.   With reference to mode 4, could the Parties clarify  whether the admission of 
intra -company transferees is (or can be) subject to a "labour market test" (aka an 
"economic needs test")?  
 The commitments made by both parties in regards of intra -company transferees (ICTs) are 
reflected in th e chapter 17 of Temporary Entry of Business Persons and in the specific annexes 
where parties have established the conditions and the length of stay for each of the categories 
committed under the agreement.  
 
Response from the delegation of Costa Rica  
 
 According to Article 17.3 and Section C of Annex 17 -B of the Agreement, the existing 
migratory measures apply to authorize the admission of intra -company transferees. In the case of 
Costa Rica, the General Directorate of Immigration is the entity responsible  for the entry and stay 
of foreigners. The admission of intracorporate transferees could be subject to a labour market test. 
The requirements for intracorporate transferees are available in the Directorate's website:  
http://www.migracion.go.cr/extranjeros/residencias.html#HERMES_TABS_1_1 .  
 
Response from the delegation of Colombia  
 
 In the specific case of ICTs Colombia can confirm that the admission of  these perso ns are 
not subject to any labour market test or economic need test.  
 WT/REG376/2  
 
- 10 - 
 
  General provisions of the agreement  
Relationship with other agreements concluded by the Parties  
Table 5.1  
 
Reference is made to the following agreements listed in Table 5.1:  
Colombia - Venezuela  19-Oct-12 Goods  
LAIA - Accession of Panama  03-May-12 Goods   
Andean Community  14-Dec-06  Services  
MERCOSUR - Andean Community (except Peru) 
- [LAIA,  AAP.CE N°59]  05-Jan-05 Goods & Services  
Colombia – Cuba [LAIA,AAP.CE N°49]  10-Jul-01  Goods  
Colombia – CARICOM [LAIA, AAP.A25TM N°31]  01-Jan-95  Goods  
Colombia – Panama [LAIA, AAP.A25TM N°29]  18-Jan-95  Goods  
LAIA - Cultural Goods [LAIA AR.CEYC N°7]  01-Jan-89  Goods  
LAIA - Preferences in favour of Paraguay 
[LAIA, AR.AM N°3]  03-Sep-85  Goods  
LAIA - Preferences in favour of Bolivia  
[LAIA, AR.AM N°1]    
 
1.19.   Could the Parties – for each of the agreements listed above – give a short 
presentation of the content of each agreement?  
Below is the information requested . 
Venezuela : Partial Scope Trade Agreement AAP.C No. 28, in force since 19 October 2012. 
Venezuela grants tariff preferences to Colombia on 4,921 lines; Colombia grants tariff preferences 
to Venezuela on 4,713 lines . These are  fixed tariff preferences of 100% or, for a group of 
200 lines, fixed preference s of between 5% and 33%. The Agreement covers  market access, rules 
of origin, technical regulations, conformity assessment and metrology, sanitary , phytosanitary and 
animal health measures , trade defence measures , and dispute settlement . 
 
 Accession of Panama to the Latin American Integration Association ( LAIA): Panama formally 
sought  accession to the 1980 Treaty of Montevideo  in 2008.  Its application was approved  at the 
Fifteenth Meeting of the Council of Ministers (R esolution 64 ) on 29 April 2009,  whereby  it was 
classified as a country of intermediate development. In May 2012 , once the formalities for 
accession to the regional scope agreements had been finalized through the signing of Additional 
Protocols , Panama became a full member of the Association  and was therefore entitled to the 
benefits of regional agreements concerning  the Regional Tariff Preference, origin, technical barriers 
to trade,  and cooperation .  
 
 Andean Community : Comprises  Colombia, Ecu ador and Peru , in effect  since 1993, has 
regulated free trade in services since 14 December 2006 through the adoption of Decisions 439 
and 659, with the exception of  financial services and free -to-air television services, sectors in 
which the respective ne gotiations have not been concluded, and the services liberalization 
suspension that was temporarily adopted for Bolivia. Provision has been made for the recognition 
of licences, certificates, professional qualifications and accreditation granted in the Mem ber 
countries, in any services activity where such instruments are required. The criteria according to 
which this recognition will be made effective have not yet been approved. It should be noted that 
the preferences granted to Bolivia by Colombia form an integral part of the Andean Community 
framework .  
 
 Mercosur : Partial Scope Agreement between Colombia and Me rcosur No. 59, in force since 
5 January 2005. The Agreement seeks to establish a legal and institutional framework for 
cooperation and economic and  physical integration that helps create an expanded economic space 
to facilitate the free circulation of goods and services . The Agreement includes chapters on rules of 
origin, safeguards, dispute settlement, technical barriers to trade, sanitary and phyto sanitary 
measures, and special agricultural measures. It should be noted that the preferences granted to 
Paraguay  by Colombia under Partial Scope Agreement No. 3 were incorporat ed into the Mercosur 
Agreement .  
 WT/REG376/2  
 
- 11 - 
 
   Cuba: Economic Complementarity Agreement No.  49 between Colombia and  Cuba, in force 
since 10 June 2001. Cuba grants Colombia tariff preferences of between 30% and 100% on more 
than 1,500 subheadings and receives preferences on almost 1,000 products. The Agreement 
covers  market access, non -tariff restrictions, rules of origin, unfair practices, sanitary and 
phytosanitary standards, and technical standards .  
 
 Caricom : Partial Scope Agreement on Trade and Economic and Technical Cooperation No. 31 
between Colombia and the C aribbean Community  (CARICOM), in force since 1 January 1995.  
Colombia grants tariff preferences to all signatory countries on 1,128 subheadings and receives 
preferences from Trinidad and Tobago, Jamaica, Barbados and  Guyana  on 1,074 products . The 
Agreement  covers the following disciplines:  market access, rules of origin, technical standards, 
safeguards, unfair trade practices, and dispute settlement . 
 
 Panam a: Partial Scope Agreement No . 29 between Colombia and Panama , in force since 
18 June 1995. Both coun tries grant tariff preferences of bet ween 20% and 100% on around 
300 products. The Agreement covers  market access, rules of origin, unfair practices, safeguards , 
and dispute settlement . 
 
 Agreement on Cooperation and Trade in Goods in the Cultural, Educati onal and Scientific 
Fields  AR.CEYC No. 7: The signatory countries to this Agreement are Argentina, Boliv ia, Braz il, 
Chile, Colombia, Cuba, Ecuador, Mexico, Panama, Paraguay, Peru , Uruguay, and Venezuela. The 
Agreement seeks to promote the development of a common market for cultural goods and services 
that will  provide a broad framework for educational, cultural and scientific cooperation among the 
signatory countries and improve and raise levels of educati on, training and mutual awareness 
among  the peoples of the region . 
 
 Market -Opening Agreements in Favour of the Relatively Less Economically Developed 
Countries AR.AM No. 1 (Bolivia) and AR.AM No.  3 (Paraguay) : Within the LAIA framework, these 
Agreements approved the lists of products originating in Bolivia and Paraguay for which all tariffs 
and other restrictions  are unilaterally lifted . It should be noted that the preferences granted by 
Colombia to Bolivi a and  Paraguay form an integral part  of the tariff benefits granted to Bolivia 
within the Andean Community framework and to Paraguay under the Mercosur Agreement .  
 
Environment and labour -related provisions  
 
1.20.   According to Article 12.8 of the agreement, the Parties recognize that it is 
inappropriate to promote investment in their territories by relaxing or reducing 
protection afforded by their legislation in the area of environment, labour, health and 
security; and thus commit to ensure that its legislation is properly applied.  
 Could the Parties elaborate further on this provision and present Members what 
actions have been implemented and/or are envisaged?  
 
Response from the delegation of Costa Rica  
 
As stated  in Art icle 12.8, the aim of this provision is to ensure that the Parties will not repeal 
any regulation or legislation, to weaken or reduce the protection granted by that legislation in the 
area of environment, labour, health and security, as way to encou rage the establishment, 
acquisition, expansion or retention of investment in its territory. There have not been specific 
actions by the Parties to implement this provision, as it does not impose an obligation to adopt 
specific standards through more legisl ation.  
 
Response from the delegation of Colombia  
 
This provision reflects a commitment to not reduce environmental or labor standards which 
is fairly standard in newer international investment agreements ("IIAs") and has even been 
identified by UNCTAD  as a one of the core reform -oriented provisions in IIAs. It does not impose 
an obligation to adopt specific standards through more legislation, but an obligation to not relax or 
derogate from the existing regulation and to effectively apply the existing r egulatory framework. 
In that sense, new regulation in these areas should not be seen as a development of this 
commitment. On the other hand, there are clear examples of the application of regulation in these 
sensitive areas, even if it entails investment r elated contingencies. For example, Colombia has WT/REG376/2  
 
- 12 - 
 
  continued to map environmentally protected areas of high mountain ecosystems called "páramos" 
making the prohibition of developing mining activities in such areas effective. As a result, Colombia 
today faces several ISDS cases arising from the application of such legislation. In essence, the 
actions implemented in light of this commitment are nothing more than the continued application 
of the rule of law.  
 
__________