WT/TPR/M/288/Add.1  
14 January 2014  
(14-0169)  Page: 1/47  
Trade Policy Review Body 
19 and 21 November 2013 Original: English/Spanish  
anglais/espagnol  
inglés/español  
 
  TRADE POLICY REVIEW 
THE KYRGYZ REPUBLIC  
MINUTES OF THE MEETING 
Addendum 
Chairperson: H.E. Mr. Joakim Reiter (Sweden) 
This document contains the advance written questions and additional questions by WTO 
Members, and replies provided by the Kyrgyz Republic.1 
 
 
Organe d'examen des politiques commerciales 
19 et 21 novembre 2013 
EXAMEN DES POLITIQUES COMMERCIALES 
RÉPUBLIQUE KIRGHIZE  
COMPTE RENDU DE LA RÉUNION 
Addendum 
Président: S.E. M. Joakim Reiter (Suède) 
Le présent document contient les questions écrites communiquées à l'avance par les 
Membres de l'OMC, leurs questions additionnelles, et les réponses fournies par République 
kirghize.1 
 
 
Órgano de Examen de las Políticas Comerciales 19 y 21 de noviembre de 2013 
EXAMEN DE LAS POLÍTICAS COMERCIALES 
R
EPÚBLICA KIRGUISA  
ACTA DE LA REUNIÓN 
Addendum 
Presidente: Excmo. Sr. Joakim Reiter (Suecia) 
En el presente documento figuran las preguntas presentadas anticipadamente por escrito y 
las preguntas adicionales de los Miembros de la OMC, así como las respuestas facilitadas por 
República Kirguisa.1 
                                               
1 In English and Spanish only./En  anglais et espagnol seulement./En inglés y español solamente. WT/TPR/M/288/Add.1 
 
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QUESTIONS FROM BRAZIL ............................................................................................... 3  
QUESTIONS FROM CHINA ................................................................................................ 4  
QUESTIONS FROM THE EU .............................................................................................. 10  
QUESTIONS FROM THE RE PUBLIC OF KOREA ................................................................. 18  
QUESTIONS BY PAKISTAN ............................................................................................. 20  
QUESTIONS FROM THE UNITED STATES ......................................................................... 23  
QUESTIONS FROM CANADA ............................................................................................ 33  
QUESTIONS FROM THAILAND ........................................................................................ 36  
QUESTIONS BY COLOMBIA ............................................................................................. 37  
QUESTIONS BY TURKEY ................................................................................................. 39  
QUESTIONS BY  INDIA .................................................................................................... 40  
ADDITIONAL OUTSTA NDING ANSWERS ......................................................................... 44  
FOLLOW-UP QUESTIONS FROM THE UNITED STATES ..................................................... 46  
 
 WT/TPR/M/288/Add.1 
 
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  QUESTIONS FROM BRAZIL 
REPORT BY THE SECRETARIAT 
 Para 2.29 
 
Question 1 In light of the intention of the Kyrgyz Republic to join CIS Customs Union and Single Economic 
Space, could the Kyrgyz Republic please elaborate on the roadmap and the timeframe for the 
conclusion of this process?   Para 2.32 
 
Question 2 By joining the abovementioned Customs Union, it is possible that, by harmonizing its tariffs with 
those of the Customs Union, a number of bound tari ffs of the Kyrgyz Republic could rise above its 
current commitments at the WTO.  
(i) Could the Kyrgyz Republic please indicate in which HS Chapters its bound tariffs are 
expected to rise as a result of such tariff harmonization?   Answer 
HS Group: 02, 30, 33-34, 54-57, 72-74, 84-85, 87, 90 (meat products, pharmaceuticals, cosmetic and washing materials, clothing, metals, machinery and equipment, vehicles).   
(ii) When does the Kyrgyz Republic plan to start talks at the WTO to negotiate compensations 
for increasing its bound tariffs?  
Answer 
Right after accession of the Kyrgyz Republic to the Customs Union. 
 WT/TPR/M/288/Add.1 
 
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  QUESTIONS FROM CHINA 
PART I: QUESTIONS REGARDING THE SECRETARIAT REPORT 
 Page 27 (Para 2.45) 
…The 2007-10 strategy identified a number of issues that needed to be resolved in order to 
improve the investment climate, and various ways to address them. The issues included poor tax administration, unpredictable changes in economic policy, high level of corruption, high cost of 
financing, economic instability, foreign trade regulations, criminality and the court system…. 
 Questions 1. What specific measures will Kyrgyzstan adopt to improve the investment climate? 
 
Answer 
Looking for a solution in regards of ineffective,  non-transparent and excessive/burden regulation. 
Quality of regulatory acts has been improved via revisal due to necessity and importance, as well 
as via assessment of their compliance with existing legislation. Measures had been undertaken to eliminate administrative barriers for registration and functioning of legal entities and enterprises. 
 
Efforts have been undertaken to improve business enabling environment via reducing of state intervention into economic activity. Unjustified licensing and permits for business/entrepreneurship activity has been almost reduced by 30%. Signif icant changes to the Law "On licensing activity" 
are being developed, which will enable and furthe r optimize licensing-permit system. The Kyrgyz 
Republic has adopted the Law of laws "on legislative- regulatory acts", which clearly establish hierarchy of legislative – regulatory acts (LRA), obligation to conduct regulatory impact 
assessment of all LRA, regulating entrepreneurship (business) activity, as well as abolishing 
agency level rule-setting.   
2. After accession to the Customs Union, what new policies does Kyrgyzstan intend to 
formulate to attract foreign direct investment?  Page 27 (Para 2.46) 
The National Sustainable Development Policy sets out an investment policy for 2013-17. It 
includes the establishment of a development bank and specialized investment funds; an institution to assess investment opportunities and select priority projects; tax, administrative, and regulatory 
measures to attract the savings of migrant workers; and reduction of the PIP programme. 
 Questions 
3. Please introduce the "development bank and specialized investment funds", including their 
aims and functions, and the detailed businesses and ac tivities they are conducting and/or intend to 
conduct.  
4. Can Kyrgyzstan explain the reasons for the plan of "reduction of the PIP programme"? 
 3. Trade Policies and Practices by Measure 
 
Page 38 (Para 3.40) A comparison of bound and applied rates carried out using the 2012 applied rates, found that 
approximately 90 tariff lines were in excess of the WTO bindings. These mainly concerned fruits, 
juices, certain machinery, and auto parts.   Questions 
5. Can Kyrgyzstan explain the reasons for 90 tariff lines in excess of the WTO bindings? 
 Answer 
Exceeding of bound tariff rates for 90 tariff lines is due to technical error/fault, caused during 
adoption of existing edition of law of the Kyrgyz  Republic "On customs tariff rates of the Kyrgyz 
Republic" in 2009. Currently, Supreme Council of th e Kyrgyz Republic reviews/considers draft law 
of the Kyrgyz Republic "On introduction of ch anges and amendments into law of the Kyrgyz 
Republic – "On customs tariff of the Kyrgyz Republic ", which envisages tariff reduction to zero of 
customs duties for certain (some) commodity sub-positions (as of commodity position, 2009). WT/TPR/M/288/Add.1 
 
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  Technical error/fault for other remaining commodity sub-position will be eliminated during next 
review of existing customs' duty tariffs, which is envisaged in 2014. 
 Page 39 (Para 3.43) 
...The seasonal rate of duty, which is set by the parliament, may replace the normal duty rate for 
a maximum of six months.…  
Questions 
6. Is there any buffer period from the promulgation of seasonal rate of duty to its implementation?  
Answer 
In accordance with legislation of the Kyrgyz Republic, regulatory acts which establish seasonal 
duties enter into force after 15 days following th e official publication, if otherwise (more than 15 
days) is not stated within given regulatory act.  
 Page 71 (Para 3.156) 
The Kyrgyz Republic has a well-established system with respect to competition policy and recently 
enacted new legislation. The Department on Antimonopoly Policy, under the Ministry of Economy, is in charge of developing policy; and the Antimonopoly Authority, under the Prime Minister, is responsible for oversight. 
 
Questions 7. Please elaborate the administrative level and affiliation relations of competition policy 
making agency, competition law enforcement agency  and supervision agency, and their respective 
functions, internal structure, and staffing.  
Answer 
Pursuant to Resolution of the Government of the Kyrgyz Republic dated May 17, 2013, No. 271, 
the State Agency of Antimonopoly Regulation under  the Government of the Kyrgyz Republic shall 
be an authorized government antimonopoly body  implementing the state antimonopoly policy and 
performing state antimonopoly regulation in all economic sectors, competition protection, and 
development.  
The State Agency implements its activity in coop eration with the government bodies, local self-
governance bodies, public associations and other legal entities.  
The objective of the State Agency is to protect and develop competition, and implement the state 
antimonopoly policy.  Page 72 (Para 3.158) 
The Law on Competition is reportedly modelled on the competition laws of the United States and 
Russia. It contains 21 articles and addresses domi nant position, group of individuals, abuse of 
dominant position, anti-competitive agreements, unf air competition, actions of state bodies, forced 
separation, compensation, accountability measures, right to appeals, etc. The other major law on 
competition concerns natural and permitted monopolies (section 3.3.5).  
Questions 
8. Please provide information on the implemen tation and enforcement of competition law in 
recent years?  
Answer 
2010 2011 2012 
Resolutions on violation of antimonopoly law "On Competition" 4691 78. 
 
4. Trade Policies by Sector  
Page 77 (Para 4.20) 
During 2006-12, the SAGMR issued 1,965 licenses for activities related to metallic and non-metallic minerals, oil, gas, coal, and subsoil wa ter; 2,147 licenses were cancelled over the same 
period.… WT/TPR/M/288/Add.1 
 
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  Questions 
9. Under which circumstances will licenses related to minerals be cancelled?   Answer 
The State Agency of Geology and Mineral Resource s under the Government of the Kyrgyz Republic 
regarding letter No. 13-1/10368, dated October 25, 2013, hereby informs that the grounds for revocation of a license and the procedure for issuan ce of a license are set forth by the Law of the 
Kyrgyz Republic "On Subsoil". 
 Pursuant to Article 27 of this Law, the right fo r use of ore minerals and other types of natural 
resources shall be ceased in the following cases: 
 
1) Transfer for pledge of a license to third part ies and change in parties without registering with 
 the authorized government agency responsible for subsoil management; 
2) Delay in payment of bonus and/or license fees and/or royalty for the period exceeding 30 
 days; 3) Refusal to exercise subsoil use rights by a subsoil user; 
4) Expiry of a license, if a license holder has not submitted an application for renewal of that 
 license or transformation of the license within the statutory timeframe; 5) Operations with no technical program, as a pproved by all relevant governmental experts; 
6) Failure to rectify the breaches that entailed the suspension of subsoil use rights as set out in 
 part 1 of Article 27, stipulated by Parts 1 and 3, Article 27 of the Law of the Kyrgyz Republic 
 "On Subsoil".  
Pursuant to Article 21 of the Law of the Kyrgyz Republic "On Subsoil", external investors are not 
restricted in performance of activities. The subsoil users may be individuals and legal entities established under the legislation of the Kyrgyz Republic, and foreign individuals and legal entities, 
which have been formally registered according to the legislation of the Kyrgyz Republic. It is 
prohibited to discriminate subsoil users by a nationality or a country of registration.   10. Please elaborate the legal restrictions on foreign investors in acquiring licenses related to 
minerals. 
 Pursuant to Article 21 of the Law of the Kyrgyz  Republic "On Subsoil", there are no external 
investors are not restricted. The subsoil users may be individuals and legal entities established 
under the legislation of the Kyrgyz Republic, and foreign individuals and legal entities, which have been formally registered according to the legislat ion of the Kyrgyz Republic. It is prohibited to 
discriminate subsoil users by a nationality or a country of registration. 
 PART II: QUESTIONS REGARDING THE GOVERNMENT REPORT  
4. Trade Policy and Related Issues  
 Page 16 (Para 4.15) 
Over the period under review the non-tariff regu lation legislation has been amended to exclude 
power of ministries and agencies to issue regulato ry legal acts within their competence, including 
investigation procedures: the Law No. 28 "On Introducing Amendments into the Law of the Kyrgyz 
Republic 'On Safeguard Measures" (dated 15 February 2010), the Law No. 44 "On Introducing 
Amendments into the Law of the Kyrgyz Repub lic "On Anti-Dumping" (dated 4 March 2010) the 
Law No. 43 "On Introducing Amendments into the Law of the Kyrgyz Republic "On Subsidies and Countervailing Measures" (dated 4 March 2010). 
 
11. Please elaborate the backgrounds and the deta ils of amendments to the above trade remedy 
laws. 
 
Answer 
As of legislation on trade safeguard, in 2010 government has adopted amendments, envisaging 
exemption of authority of ministries and agenci es to publish, within their competency, any 
regulatory-legislative acts, including investigation procedures.   Those changes and amendments were  adopted in order to comply with Law of the Kyrgyz Republic 
"On regulatory-legislative acts". As of Article № 5 of given law (adopted in 2009), following  WT/TPR/M/288/Add.1 
 
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  agencies and entities are entitled to adopt regulatory-legislative acts: The President, Supreme 
Council, Government, National Bank, Central Election Commission on Elections and Referendums, authorized local authorities.   
Page 22, 23 (Para 4.65) 
...The key distinctions of this Law are as follows:  an opportunity to get preferences (following the 
state development programs investors in the priority economic sectors and on specific territories of 
the Republic may be granted investment benefits envisaged by the KR's legislation);… 
 Questions 12. Please illustrate the conditions on the conf erment of preference and the contents thereof. 
 
Page 23 (Para 4.66) To promote Public-Private Partnership (PPP) mechanisms in the country, Law No. 7 of the Kyrgyz 
Republic "On Public-Private Partnership in the Kyrgyz Republic", dated 22 February 2012, was 
approved. This Law is seen as a tool to implement pilot projects aimed at improvement of economic infrastructure of the country. 
 
Questions 13. Please briefly summarize the contents of Law No. 7, and please elaborate how Law No. 7 will 
improve its economic infrastructure.  
 
Page 23 (Para 4.67) To improve the investment climate in the Kyrgyz Republic and its competitiveness, the 
Government of the Kyrgyz Republic has taken measures to create a favorable business 
environment and improve the process of attracting  investment into the country by the following 
means: conducting measures to eliminate unnecessary intervention by the government bodies into 
the business activity, eliminating administrative barriers and restrictions in investment and other 
business activities, introduction of new approaches to the regulation of market relations, implementation of measures to improve the count ry's banking system in order to enhance its 
reliability and credibility for businessmen and investors. 
 
Questions 14. Please elaborate the details of the abov e mentioned "means" and "measures", and their 
effects on attracting  foreign investment. 
 Answer 
In order to decrease level of state intervention refo rm of state regulation will be offered in areas of 
licenses & permits and controls & inspections, as well as in system of technical regulations via: (a) reducing of number of current licenses and permits;  (b) reducing of excessive (burden) control & 
inspection functions; (c) establishment of updated and modernized mechanism of inspections, 
based on risk criteria system; (d) modernization of testing laboratories and update of reference 
(standard) base.  
It is important to have unified and comprehensive list of licensed type of activities, as well as to 
develop full package of sub-law acts for implementation of such list.   
Government envisages adoption of measures linked with elimination of any background for 
corruption by promoting transparency, accountability and strengthening control over activities of executive state authorities and liability of civil servants, involved in regulation of entrepreneurship activity.  
 
Policy, in regards of developing mechanisms for finance-loan support, will include following: simplifying tax order and procedures , and enable access for credit (loan) resources focused on 
support of private sector; (b) increase level of microfinance (micro lending); (c) support and 
promote production of high-quality environment-friendly goods and services.  
Government will be proposed a detailed elaboratio n of investment opportunities within all sectors 
of economy and private sector; as well as selection of priority projects with a focus to provide entrepreneurs relevant information and other services. WT/TPR/M/288/Add.1 
 
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  Page 23 (Para 4.68) 
In order to integrate into the global community, as well as to build the international legislative framework, Kyrgyzstan signed intergovernmental agreements with a number of foreign countries related to the mutual protection and encouragemen t of investments, avoidance of double taxation 
and transit transportations. CIS countries Convention "On Protection of Investors' Rights" and 
other agreements have also been ratified. Kyrgyzstan has adopted bilateral investment 
agreements with several countries, as well as agreements on avoidance of double taxation. 
 
Questions 15. Please illustrate the preference tr eatment afforded by the above mentioned 
"intergovernmental agreements". 
 
Reply Pursuant to the Agreement on protection and st imulating investments, each Contracting Party 
under the applicable national law shall stimulate and protect investments of another country, issue 
the required permits for consultants and expe rts, without detriment to the management, 
preservation, use and expansion of attracted investments by its discriminatory measures. Each 
Contracting Party shall ensure the Most-Favored Nation Treatment for investments on the state's 
territory. If the parties grant special privileges to investors of any third country, thereby establishing a free trade area, a customs union or a uniform market, or in accordance with the Agreement on Avoidance of Double Taxation, this party shall have no obligation to grant such 
preferences to investors from the country of an other Contracting Party. Each Contracting Party 
shall ensure free transfer of investment-related payments. No Contracting Parties shall apply expropriation or nationalization measures either directly or indirectly. 
 
16.  Can investors from non-parties enjoy the same preference pursuant to MFN treatment?  
Answer 
No trade preferences under the Most-Favored Nation  Treatment are stipulated by the provisions of 
these intergovernmental agreements with foreign countries.  
Page 27 (Para 4.100) 
In addition, the list of state enterprises or state-owned joint stock companies on the Republican Registry of Natural and Permitted Monopolies also includes enterprises producing alcohol, tobacco 
and providing communications services, trading metals with respect to which the current 
legislation on competition promotion is also applied.  
Questions 
17.  Please further elaborate the tobacco indust ry in Kyrgyzstan, including trading volume, the 
number of market participants and their respective market shares, etc.  
Answer 
In the Kyrgyz Republic, tobacco is grown in southern part of the country, namely at Osh, 
Dzhalalabad and Batken provinces, which accounts 4.9% (5.6 hectares in 2006) and 2.9% (3.44 
hectares in 2012) out of total sown area in the Kyrgyz Republic. Mainly, domestic tobacco growers 
tend to plant aromatic sort "Dyubek 4407." The average purchase price for tobacco in 2006 was - $0.7 and in 2012 - $1.3 per kilogram. 
 
More than 95% of farmers, involved in tobacco-cultivation, grow raw tobacco based on agreement with the investors – CJSC "Syunel Tobacco" [a Tu rkish company, purchasing all produced/grown 
raw tobacco] and two tobacco fermenting plants JSC "KyzylQiiskii" – with a total annual capacity of 
20 thousand tons and JSC "Osh – Dyubek- with a to tal annual capacity of 10 thousand tons". All 
mentioned companies and plants perform advance payments and provide material and technical means for growing of tobacco. In 2006, aforemention ed plants had produced 8.3 thousand tons of 
fermented tobacco, while production decreased to 4. 1 thousand tons in 2012. Annually, more than 
80% of grown and fermented tobacco is export ed to the Russian Federation and Ukraine. 
 
Existing cigarette production factory OJSC "Reem tsma - Kyrgyzstan", located in Bishkek, has a 
capacity to produce 12.5 billion of cigarettes per year, with a variety of 29 brands: 7 local and 22 
international. 99.9% of all produced cigarettes are sold at retail shops, restaurants and hotels in 
each region of the country, as well as exported to the Republic of Tajikistan and Islamic State of 
Afghanistan (60 to 160 million pcs. annually) and 400 tons of pipe tobacco to Mongolia. In 2010, WT/TPR/M/288/Add.1 
 
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  OJSC "Reemtsma - Kyrgyzstan" produced 3.65 billion cigarettes with a commodity output 
equivalent to 1.305 B of KGS (the highest production rate ever).  18. Please provide information on the percentage of state-owned shares in tobacco enterprises. 
Does Kyrgyzstan law stipulate special requirements on state's shareholding in tobacco industry? If 
so, please elaborate the contents of the law in detail.  
Answer 
National policy for tobacco industry in the Republic  of Kyrgyzstan is implemented by the State joint 
stock company "Kyrgyztamekisi", where state owns 5 276 171 shares (98.9535%).   
Below, is the ratio of shares, for each company, transferred to state-owned joint stock company 
"Kyrgyztamekisi" [as of 01.01.2013]:  
1. JSC "Osh-Dyubek" (fermentation plant) – 40.15% 
2. JSC "Kyzyl Qiiskii" (fermentation plant) – 69.99% 3. OJSC "Reemtsma - Kyrgyzstan" (cigarette production factory) – 1.1223% 
 
Apart of that, at Kyrgyz market there is only  one company, purchasing raw tobacco – CJSC 
"Syunel Tobacco" (private company). WT/TPR/M/288/Add.1 
 
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  QUESTIONS FROM THE EU 
WT/TPR/S/288 
 Summary page 8 and Customs Union page 25  
The Secretariat report refers to a road map for acceding to the Customs union which is under 
preparation with the view to its finalisation by the end of 2013.   
EU Question 1 
The EU would be very interested to get detailed information on how the Kyrgyz Government approaches these negotiations and what are the main elements of the road map.  
Answer 
Draft Road Map is an extensive and comprehensive action plan covering various sectors, such as: 
Customs legislation, customs infrastructure, sanitary and phytosanitary and veterinary measures, 
technical regulation, customs and tariff and non- tariff regulation, trade policy, finance policy, 
application of special safeguard, antidumping and countervailing measures, statistics, transport and communications.  
The actions include bringing the legislation into compliance with CU agreements and harmonization 
of normative requirements, as well as infrastruc ture transformations, upgrade and equipping of 
checkpoints and laboratories, and elaboration of the required "preferences" for the Kyrgyz party.  
Page 13 para 1.10 and page 18 para 2.2 on business environment, and page 27 para 
2.42 on the role of the Council on business and investments which is tasked to improve the 
business environment. 
 
Although developments have taken place with a view to improve the business climate, the Secretariat reports that uncertainties remain due to the weak protection of property rights as well 
as a lack of transparency in licensing notably in the mining sector. Besides, the rules relating to 
public consultations and regulatory impact assessm ents prior to legal amendments seem not to be 
fully implemented.   
EU question 2 
What measures does the Kyrgyz Government consider adopting to address these issues?   
Answer 
In order to establish transparency in licensing activity, on 19.10.2013, the Kyrgyz Republic has 
adopted conceptually new law 'on licensing-permitting system in the Republic of Kyrgyzstan", 
envisaging clear, open and transparent principles on licensing, where this law also defines full list 
of licenses and permits.   In order to enforce and implement afore-mentione d law on full scale, government envisage to 
develop and adopt 4 sub-laws, such as: draft of new provisions on licensing activity, draft of risk 
assessment methodology, draft of provision on or der of license control, draft of provision on 
registry of licenses and permits.  
 
As of public counselling/consultations and analysis of regulatory impact before adoption of the new 
sub-laws, it should be mentioned that since 2012, our department together with international and 
local consultants, has performed preparatory activi ties focused on reform of existing system of 
analysis of regulatory impact (ARI). A result of this joint work is that country has developed draft of the new Methodology.  
The new Methodology clearly and in details defines principles of ARI, as well as stages and step-
by-step techniques of ARI. In addition, the new Methodology regulates activities of the Working 
group, responsible for ARI. An important aspect is that draft of the new Methodology shall include 
the Methodology on step-by-step implementation of the new sub-laws, as well as monitoring & 
evaluation of targeted results.   
As a result, draft of the new Methodology includes many new elements, which comply with best 
technology and practices in area of ARI.  WT/TPR/M/288/Add.1 
 
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  EU Question 3 
What is the scope of the initiatives that the Investment Council can take in this regard?   Answer 
Investment Council under the President of the Kyrgyz Republic is established to develop proposals and recommendations for state agencies in regards to enabling of business environment and investment climate of the Kyrgyz Republic. Memb ers of Council are: state agencies, multilateral 
and bilateral international and donor organizations, finance institutes, domestic and foreign 
investors.  EU Question 4 
More generally, what is the scope of decision making of the investment councils?  
 Answer 
Investment Council is not authorized to carry out any (such/final) decisions  Page 21 para 2.17 Export development strategy 
The need for such a strategy is stressed by the Secretariat. 
 EU Question 5 Can the authorities give a description of the National Export Development Strategy of the country, 
including planned regulatory changes that it may imply? 
 Answer 
The Export Promotion Strategy serves as the Road Map to expand export capacity of the Kyrgyz Republic and the social and economic development t ool. The Strategy includes priority sectors with 
high export capacity, such as tourism, fruit and vegetable sector, textiles and clothing, bottled 
water, meat, milk and dairy products. The cross-sectoral strategies have been also developed in 
the area of trade financing, trade facilitation, quality management, trade data and promotion. Sectoral strategies have been worked out for each sector and incorporated in the Strategy's document. It is anticipated to draft and adopt legal normative acts, which regulate interaction 
between the government bodies, and to arrange export promotion regarding trade data. 
 Page 24 Custom Union para 2.30 on the no rmative legal acts that will have to be 
adopted to enter the CU, and page 25 para  2.32 on tariff alignment with the CET 
 The Secretariat report mentions that "30% of Kyrgyz customs duties align with those of the 
Customs Union and nearly half of the Kyrgyz tariffs would require re-negotiations and 
compensation in the WTO context."   EU Question 6 
How does the Government view the impact of such fundamental changes in the tariff structure of 
the country on the Kyrgyz economy and its competit iveness? In particular, how would this affect 
the country`s role as a re-exporting hub between China and the CIS countries? 
 
EU Question 7 The EU would be grateful to know more about the intentions of the Government with regard to the 
legislative framework. In particular, what standards will be applied in Kyrgyzstan after the 
accession to the Customs union in the areas of customs valuation, rules of origin, SPS, TBT, 
antidumping and safeguard regulations, pre-shipme nt inspection and state trading enterprises? 
How will services concessions be harmonized and which legislative steps are foreseen in this area?  
 
Answer 
If the Kyrgyz Republic joins the contractual legal framework of the Customs Union, the following 
will be effective on its territory: 
 1) Customs Union documents, namely, agreements, resolutions by the Eurasian Economic 
Committee – technical regulations, Unified Sanitary and Veterinary and Sanitary requirements. 
With respect to standards, the Kyrgyz Republic follows an approach of voluntary application of 
standards. International standards are preferred to be applied.  2) Legal normative acts of the Kyrgyz Republic, insofar as they do not conflict with norms and 
provisions of the Customs Union. WT/TPR/M/288/Add.1 
 
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Customs Union documents are available at http://www.eurasiancommission.org.  
The area of services under the Customs Union fr amework is regulated pursuant to the national 
legislation of CU member-countries. 
 
Answer for anti-dumping meas ures and trade safeguards 
 
The main regulatory – legislative act of the Customs Union, regulating relations in area of specific 
safeguard, anti-dumping and compensatory measures , is Agreement on use of specific safeguard, 
anti-dumping and compensatory measures against third parties (as of 25 January 2008). In case 
of accession of the Kyrgyz Republic into Custom s Union, the Kyrgyz Republic will also join 
aforementioned agreement.  
 Page 25 Custom Union para 2.34, and sect ion 3.1.1.4 page 32 potential impact of 
cancellation of the simplified import procedure 
 EU Question 8 
Have the authorities done any impact assessment study of the consequences on the economy of 
the cancellation of the "simplified import procedure" which covers apparently up to 10% of the imports?  
Answer 
Impact assessment of "simplified import procedures" on the Kyrgyz economy has been carried out 
for the textile and clothing industries. Data for 2012 shows that the ratio of textile and clothing 
industries in the total industry volume of the Kyrgyz Republic accounted 6.9%. 
 Today, over 150 thousand people are employed in the sector.  
 
Textile and clothing items output is represented in the following way: KGS 5.8 billion in 2008, KGS 4.5 billion in 2009, KGS 6.2 billion in 2010, KG S 7.3 billion in 2011, KGS 9.2 billion in 2012.  
 
Textile and clothing products export over the periods reviewed (except for 2009) and their output 
have been increasing every year and accounted  to US$97.2 million in 2008, US$72.5 million in 
2009, US$124.9 million in 2010,  US$142 million in 2011, and US$156.0 million in 2012.  
 
Changing the valuation method applied to imported parts and materials for the clothing industry from the weight-based to the price-based will lead to an increase of domestic products prime cost 
and decline in demand, thus will probably ha ve an overall adverse effect on the economy 
 Page 31, paras 3.7 to 3.12 Trade facilitation measures  Several favorable trade facilitation initiatives exist; however, in certain cases their implementation 
remains outstanding. An accelerated completion of these incentives would appear warranted.  
 EU Question 9 
Further information would be appreciated in particular regarding the single window system, the 
paperless trade initiative, the customs' risk assessment system as well as on the customs' unified automated information system. 
 
Answer 
The Agreement between state institutions has been signed. With respect to Single Window and Paperless Initiative the Customs Inspectorate started to accept documents from different agencies 
(100% of documents are processed electronically with only Department of Drugs Supply) while 
other government agencies need some time to launch their internal systems of electronic paper exchange.  
 
The Certificates of Origin can only be accepted in original hard copy. This Certificate confers the preferential treatment but this can be done only by presenting the paper copy.  
The State Customs Service would be ready to accept electronic versions of documents from 
veterinary and phytosanitary Services once this agency is ready to provide them.  
Additional information can be found on the webs ite of the State Enterprise "Single Window". 
 WT/TPR/M/288/Add.1 
 
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  Additional information from Kyrgyz authorities: 
The State Enterprise "Single Window" under the Ministry of Economy of the KR was established in August 2009. Introduction of Single Window allows  the parties concerned to submit standardized 
(uniform) documents through a single channel in order to comply with all regulatory requirements 
related to foreign trade. At present, pre-customs formalities procedures have been developed and 
incorporated into the Single Window system. Electronic directory of permissive documents by HS code has been developed; with the use of this directory information about required 
permits/certificates for a specific commodity, customs duties and excise taxes is provided. Single 
Window Information System is web-based, and thus allows a foreign trade entity to submit application to several agencies at once, but filling out only one unified form. It also enables an entity to get 33 permits to perform foreign trade transactions at one place. Secured 
communication channel is utilized for data transfer to ensure information system security. 
 Page 48, Table 3.14 State-tradin g enterprises, and para 3.74 
Page 74, para 4.8 regarding Kyrgyz Agro-Food Corporation 
The WTO Secretariat report indicates the existence of a number of entities that appear to have state-trading privileges pursuant to Art. XVII. The "Kyrgyz Gaz" state enterprise and the AFC seem 
to be among them.  
 EU Question 10  The EU would like to know whether the former privileges granted to Kyrgiz gaz will be maintained 
now that Gazprom has acquired Kyrgiz gaz and, if so, whether the government will notify the 
entity as an STE (with the meaning of article XVII)?   
Answer 
No agreements have been concluded between Ga zprom and Kyrgyzgaz, and no preferences apply 
as well. They will continue to work under the Memorandum signed. 
 
EU Question 11 Can the authorities describe the mandate and activities of AFC in particular regarding food security issues? 
 
Page 51 para 3.88 and paragraph 3.1.10.5.3 on SPS, on food safety and WTO obligations 
As outlined in the Secretariat's report, there should be an increased clarity as regards both the 
regulatory and institutional framework in this area. 
 EU Questions 12 
What are the authorities' intentions vis à vis the implementation of the SPS agreement? Does the 
government intend to designate a contact point for SPS issues? What are the concrete initiatives under consideration in particular in light of the accession to the Custom Union? More generally, what is envisaged by the Kyrgyz Governme nt to improve the overall SPS framework? 
 
Answer 
Authorized bodies of the Kyrgyz Republic in  implementation of WTO SPS Agreement are the 
Ministry of Agriculture and Land Improvement, the Ministry of Health Care and State Inspectorate 
of Veterinary and Phytosanitary Safety (NOTE: name in Russian version is incomplete). Under the Resolution of the Government of the KR dated Ju ne 23, #374,the Ministry of Agriculture and Land 
Improvement and the Ministry of Health Care should act as SPS national notification body and 
enquiry point.  Today, the Ministry (NOTE: what Ministry?) to  implement commitments of the Kyrgyz Republic 
under WTO Agreement on SPS measures, has initiated amendments and additions that imply 
transfer to the Ministry of Economy of the functi ons executed by the Ministry of Agriculture and 
Land Improvement and the Ministry of Health Care , namely, the function of being the SPS national 
notification body and enquiry po int. Therefore, upon approval of this Resolution by the 
Government of the Kyrgyz Republic, the Ministry of Economy from now on shall carry out the functions of TBT and SPS national notification body, including coordination of works to 
submit/review of notifications on TBT and SPS measures (draft technical regulations and 
standards, sanitary and phytosanitary measures, conformity assessment procedures, programs of national standards development) developed in  the Kyrgyz Republic and by WTO member-
countries. 
 WT/TPR/M/288/Add.1 
 
- 14 - 
 
  EU Question 13 
What are the intentions of the government as  regards food product safety legislation? 
 Answer 
To implement the Law of the KR "On the Fundamentals of Technical Regulation in the Kyrgyz Republic" the technical regulations have been  drafted. These regulations set mandatory 
requirements to subjects of technical regulation, including food products. In addition, prior to 
effectuation of technical regulations on food safe ty, as well as production, storage, transportation 
and sale of food products, the requirements of standards, sanitary norms and rules, which were 
adopted pursuant to Resolution of the KR Government December 30, 2005, No. 639, shall be effective. 
 
As of October 30, 2013, as regards the area of food safety: - 20 technical regulations have been developed, two of them are horizontal and 18 are 
 vertical; 
- 16 draft technical regulations have been deve loped and are currently at various stages of 
 expert's review and analysis. 
 
Page 58 para 3.2.3.3 export controls  EU Question 14 
Do the controls cover biological items and technologies listed in the Australia Group dual use 
biological list ( http://www.australiagroup.n et/en/controllists.html )? 
 
Answer 
Today, the draft National Control List of Controlled Products of the Kyrgyz Republic (NCLCP) is 
pending approval at the Government of the Kyrgyz  Republic. Attachment 1 to this List includes 
biological equipment and technology specified in the list of Australian Group as the dual-use 
biological products (this List will probably be approved in December this year). Permit-based procedure for foreign trade activity applies with respect to the products on the NCLCP.  
Pages 66-67, para 3.141 on IPR 
The Report makes reference to the Kyrgyz IP stra tegy and further improvements in the legal and 
normative bases, as well as raising overall level of IP protection.  
 
EU Question 15 Does the strategy above mentioned include specific  rules regarding the regulatory data protection 
for pharmaceutical test data as provided under Article 39.3 of the TRIPS Agreement? 
 Answer 
Pursuant to the National Strategy of Development of Intellectual Property and Innovations in the 
Kyrgyz Republic for 2012-2016 approved by Resoluti on of the Government of the Kyrgyz Republic 
dated September 23, 2011, No. 593 ("the National Strategy") its main objectives are to suppress counterfeit and forged products, reduce the level of "piracy" on the territory of the country, in 
particular, counterfeit pharmaceuticals and food products, which threaten population's life and 
health.   
Point 41 of the Action Plan to implement the National Strategy for the purpose of interaction 
between the government bodies for prevention and suppression of intellectual property violations, 
provides for formation of a working group of the Interagency Commission to cover "Pharmaceuticals and Medical Equipment" issues. 
 
It should be also noted that relations arising on the territory of the Kyrgyz Republic for creation and ensuring legal protection and use of industrial  property items are regulated by the Patent Law 
of the Kyrgyz Republic. 
 In addition, the Rules for Drafting, Filing and Review of a Patent Application for an Invention 
approved by Resolution of the Government of the Kyrgyz Republic dated October 27, 2011, No. 
685, envisage a provision on confidential nature  of the application filed by an applicant. 
Specifically, an application data from the moment of its receipt at Kyrgyzpatent till the moment of disclosure of such data shall be kept confidential and not subject to disclosure. 
 WT/TPR/M/288/Add.1 
 
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  Page 67, paragraph 3.142 
 IP enforcement The Report notes problems of counterfeiting and piracy. In the modern world, an important tool for 
combating the increasing amount of IPR infringements online is setting rules for online service 
provider (ISP)'s liability.   
EU Question 16 
Does the Kyrgyz Republic envisage setting such rules to address the problem of IPR infringements 
on the internet?  
Answer 
Relations related to registration, legal protection and exploitation of trademarks, service marks, 
appellations of origin, and firm names in the Kyrgyz Republic are regulated by the Law of the 
Kyrgyz Republic "On Trademarks, Service Marks and Appellations of Places of Origin of Goods" 
("the Trademark Law") and the Law of the Kyrgyz Republic on Firm Names ("Firm Names Law"). 
 
Pursuant to Article 3 of Trademark Law and Article 20 of Firm Names Law an unauthorized use of 
appellation/name identical or confusingly similar to a trademark of an owner/firm name of a legal entity as Internet-address shall be recognized as violation of the right of trademark owner/legal entity. The procedure for use of trademark/firm name or appellation/name confusingly similar to it 
as Internet-address has been approved by Resoluti on of the Government of the Kyrgyz Republic 
dated January 31, 2007, #26.  
Disputes related to use of items of industrial property (a domain name) enjoying protection on the 
territory of the Kyrgyz Republic shall be resolv ed judiciary, unless otherwise stipulated by the 
legislation of the Kyrgyz Republic. 
 
In addition, to develop an efficient mechanism of protection of intellectual property rights within information and communication networks, points 33 and 50 of the Action Plan to implement the National Strategy envisage creation of the respective working group, involving Internet community 
representatives, and conduct of round tables with Kyrgyzpatent. 
 Thus, in 2012 a working group to develop mechanisms of intellectual property rights protection in 
information and communication networks, including Internet, has been created involving 
representatives of Internet community, Public Foundation "Civil Initiative on Internet Policy", a law company "ARTE", a representati ve of Microsoft Company in the Kyrgyz Republic and a 
representative of the Committee "BSA | The Softwa re Alliance" in countries of Europe, Asia and 
Africa.   Meanwhile, it should be mentioned that intellectual property rights protection is referred to the 
private law, i.e. protection and choice of remedi es and protection of infringed rights are to be 
executed by a right holder. A right holder to pr otect the appropriate rights should approach the 
law enforcement bodies or judicial bodies following their competence. 
 
Page 79, paras 4.29 to 4.32, and page 80,  Box 4.1 Water resources and electricity 
There is an enormous potential in this sector as underlined by the report.  
 
EU Question 17 What measures does the Kyrgyz Government contemplate to address the structural weaknesses in the Kyrgyz electrical energy system (in particular hy droelectric) and to further exploit its potential?  
 
Answer 
Foreign investments might be attracted to hydropower sector by resolving issues with tariffs and 
overcoming lack of transmission lines and equipm ent. In order to increase capacity, government 
envisages installment and construction of new facilities focused on electricity generation.   WT/TPR/M/288/Add.1 
 
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  Banking 
 Page 84, paras 4.48 to 4.51  
EU Question 18 
Are there any plans by the Kyrgyz Government to  improve the banking system in particular as 
regards the high market concentration and th e continued dominance of state owned banks? 
 
WT/TPR/G/288  Competition 
 
WT/TPR/G/288, page 26 and WT/TPR/S /288, page 72 para 3.156 and 3.158 
The 2011 Kyrgyz Law on Competition is reportedly modelled on the competition laws of the United 
States and Russia"(). But in another part of the report references are made to EU competition law: 
"The provisions of the Law of the Kyrgyz Republic "On Competition" were approximated to the legislation of the European Union within the fr amework of implementation of "Support to the 
Implementation of the Agreement on Partners hip and Co-operation between the European 
Communities and the Kyrgyz Republic" Project in 2002-04.  EU Question 19 
Could the authorities give clarification as to which aspects of the competition regime (in particular 
the new law 2011) are aligned on the Russian law, or on the US and the EU law given the differences between the three systems mentioned?  
 
Answer 
The sections related to independent functioning of  an anti-monopoly body and suppression of anti-
competitive actions by the market entities.  
 EU Question 20 Could the authorities give an overview of the en forcement record of the antimonopoly Authority 
over the last 3 years? 
 Answer 
Rulings issued for violation of antimonopoly le gislation of the Kyrgyz Republic 2010 2011 2012  
Law on Competition 469178 Law on Natural and Permitted Monopolies in the Kyrgyz Republic 13185 
On Consumers Rights Protection 396571 
On Advertisement  9921886 
 (WT/TPR/G/288, page 26, 27) and WT/TPR S 288 page 70 para 3.155 and table 3.32 
A prominent place is given to the law on natural and authorized monopolies in the Kyrgyz 
Republic. It seems that it regulates quite strictly on one hand natural monopolies and entities with a dominant market position but on the other hand it also refers to non-dominant entities that are 
determined by the authorities (Natural monopolie s and permitted that have over 35% of market 
share or other % of share set by the Agency. The regulation seems to allow relevant authorities, 
for example, in certain cases to determine (export) prices or standards for delivery. In a relatively 
small-sized country (approx. 5 Mio. inhabitants) this law affects about 200 entities. 
 EU Question 21 The EU wishes to gain more insight as to how this law might affect (international) trade and trade-
relationship and how this law is compatible with basic competition principles. 
 Answer 
The Ministry of Economy has submitted the draf t Law of the Kyrgyz Republic "On Introducing 
Amendments into the Law of the Kyrgyz Repub lic On Natural and Permitted Monopolies in the 
Kyrgyz Republic" for review by the Government's Office. The amendments stipulate export prices 
deregulation. 
 Today, the prices are not regulated by the state;  prices are free and market-based. The principle 
of the state non-interference into price setting for production and sale is effective on the 
competitive markets; thus, the state does not regulate prices on the competitive markets. The WT/TPR/M/288/Add.1 
 
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  activity of the antimonopoly body related to competitive markets implie s prevention of unfair 
competition, coordinated actions (collusion)intended to restrict competition to keep a high price level. In addition, under the Regulation on the St ate Agency of Antimonopoly Regulation under the 
Government of the Kyrgyz Republic approved by  Resolution of the Government of the Kyrgyz 
Republic dated 17 May 2013, No. 271, the State Agency shall set the prices (tariffs) for goods 
(works, services) of monopolistic entities, servic es/works rendered/performed by the government 
bodies, local self-governance bodies, and their structural units, organizations, institutions, and 
market administrations. The State Agency also sets the prices upon Instruction of the Government 
of the Kyrgyz Republic.   Para 4.70. (visas) and 4.148 and WTO Secret ariat Report – para 4.87. – 4.88. (4.5.4 
Tourism)  
In order to facilitate and attract foreign tourists and foreign businessmen, the Kyrgyz Republic has introduced in 2012 visa-free regime for up to 60 days for citizens of 25 EU Member States.  
 
EU Question 22 Does the Kyrgyz Republic intend to introduce the same visa facilitation for the citizens of the 3 
other EU Member States – Bulgaria, Cyprus and Romania?  
 Answer 
Draft Agreement between the Government of the Ky rgyz Republic and the Government of Romania 
on visa-free regime for holders of diplomatic and official passports was approved on 
11 November 2013, by the Jogorku Kenesh Committee on International Affairs. The draft will be 
submitted for consideration by the Government's Office of the Kyrgyz Republic in the prescribed 
manner. 
No other foreign countries are anticipated to be included into the list at the moment.  WT/TPR/M/288/Add.1 
 
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  QUESTIONS FROM THE REPUBLIC OF KOREA 
PART I: Questions Regarding the Secretariat Report 
 Page 24 (Para 2.30) 
The accession process of the Kyrgyz Republic wa s confirmed by the authoritative body of the 
Customs Union in 2011. In 2012, a working group was established to conduct negotiations with the Kyrgyz Republic on accession to the Custom s Union. The working group adopted a joint plan 
on action in order to prepare and adopt the roadmap for accession by the end of 2013. The 
roadmap includes consideration of adapting normat ive and legal acts on sanitary, phytosanitary, 
veterinary, customs, technical, and financial issues.   
Question 1 
In regard to the roadmap for the Kyrgyz Republic's accession to the Customs Union which is currently underway, could the Kyrgyz Republic specify the contents of the roadmap?  
 
Answer 
Road Map is being developed. 
 
Page 25 (Para 2.33)  Significant tariff differences exist for meat and prepared meat products, alcoholic beverages, certain chemical products, wood and paper, iron and steel, aluminium, and furniture; whereby the 
average tariff rates of the customs union exceed th ose of the Kyrgyz Republic by 10% or more. At 
present, the Kyrgyz Republic has not invoked Article 28 or Article 24 procedures to re-negotiate its WTO tariffs commitments, and it is unclear how compensation could be given for such a large 
number of tariff lines with significant tariff differences. However, it is foreseen that with the 
accession of Kazakhstan and Belarus to the WTO,  the Customs Union CET would be lowered, and 
thus the impact on Kyrgyz tariffs would be lessened.  
 
Question 2 As the Secretariat's report noted, according to the study by the Eurasian Development Bank, nearly 50% of Kyrgyz duties do not align with those of the Customs Union, and would require re-
negotiation and compensation to WTO Members. When does the Kyrgyz Republic plan to initiate 
the re-negotiation of WTO tariff commitments?   
Page 26 (Para 2.39) 
The Kyrgyz Republic has placed a high priority on attracting foreign direct investment in recent years. It has established an Investment Council to aid in business outreach and has reviewed 
policies and laws to make investment in the Kyrgyz Republic more attractive. As a result, foreign 
investment has generally increased from 2006-07 levels, mostly in the processing, real estate, and services sectors, although it declined slightly in 2012. The Kyrgyz Republic has also ranked among 
the top 20 economies for highest inward FDI rates of return, according to UNCTAD. However, FDI 
into the Kyrgyz Republic remains low overall, especially compared with its neighbors in central 
Asia.  
Question 3 
3-1 What are the reasons for FDI into the Kyrgyz Republic remaining low overall despite the fact that the country has ranked among the top 20 economies for highest inward FDI rates of return? 
 
Answer 
The main reason of limited number of DFI (Direct Foreign Investments) is weak level of economic development and extreme low level of competition within production/manufacturing sector of the 
country. Small domestic market, population of co untry is only 5 million citizens, low domestic 
economic resources, scale of economy and it's co ndition, as well as structure of economy doesn't 
create sustainable trust in near-time progress, keeping in mind weak transport and communication 
infrastructure. Natural resources, which might be a matter of interest for investors, are limited and 
there are no large scale opportunities for huge foreign investors. In addition to that, country has limited opportunities for agricultural activity: only 10% of country's area.  
3-2 It is argued that legal guarantees are not en ough to provide security to foreign investors and 
that investment-related laws and regulations are often applied arbitrarily to the detriment of foreign investors in the Kyrgyz Republic. Could the government of the Kyrgyz Republic provide its views regarding this point? WT/TPR/M/288/Add.1 
 
- 19 - 
 
  Page 38 (Para 3.40) 
A comparison of bound and applied rates carried out using the 2012 applied rates, found that approximately 90 tariff lines were in excess of the WTO bindings. These mainly concerned fruits, juices, certain machinery, and auto parts. The Kyrgyz authorities were aware of these 
discrepancies and were making efforts to correct the situation, but it would take some time to pass 
the necessary legislation. A second set of discrepancies was found for certain specific or compound rates of duty when the ad valorem equivalents were  calculated from data received from the Kyrgyz 
authorities and compared to the bindings. Approximat ely half of these tariff lines, all in the alcohol 
sector, were found to exceed the bound rates, some by significant margins.   Question 4 
What steps are the Kyrgyz Republic taking or planning to take to bring the tariffs within WTO 
bounds? Could the Kyrgyz Republic specify when  the inconsistencies will be eliminated?  
Answer: The reason why 90 tariff lines fees exceeds bound tariff rates is the technical error/fault, 
caused during edition of existing edition of La w of the Kyrgyz Republic "On custom duties and 
tariffs". Currently, Supreme Council of the Kyrg yz Republic reviews/considers draft law of the 
Kyrgyz Republic "On introduction of changes and amendments into law of the Kyrgyz Republic – 
"On customs tariff of the Kyrgyz Republic", which envisages tariff reduction to zero of customs 
duties for certain (some) commodity sub-positions (as of commodity position, 2009). Technical error/fault for other remaining commodity sub-positi o n  w i l l  b e  e l i m i n a t e d  d u r i n g  n e x t  r e v i e w  o f  
existing customs' duty tariffs, which is envisaged in 2014. WT/TPR/M/288/Add.1 
 
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  QUESTIONS BY PAKISTAN 
The Secretariat Report has noted that approximately 90 tariff lines were in excess of the WTO 
bindings according to a comparison of bound and applied rates carried out using the 2012 applied rates.  
 
Question In what time frame does Kyrgyzstan plan to remove these anomalies? 
 
Answer 
Due to technical error/fault for certain commodity sub-positions, existing duty for customs fees exceeds bound tariff rates. Currently, Supreme Counc il of the Kyrgyz Republic reviews/considers 
draft law of the Kyrgyz Republic "On introducti on of changes and amendments into law of the 
Kyrgyz Republic – "On customs tariff of the Kyrgyz  Republic", which envisages tariff reduction to 
zero of customs duties for certain (some) commodity sub-positions (as of commodity position, 
2009). Technical error/fault for other remaining commodity sub-position will be eliminated during 
next review of existing customs' duty tariffs, which is envisaged in 2014.  
The Kyrgyz Republic's trade regime is likely to und ergo changes in the near future, as the country 
is expected to join the customs union that would re quire re-negotiation of Kyrgyz tariff bindings at 
the WTO, which are lower, on average as the aver age rate of duty for the customs union is 10.5% 
while that of the Kyrgyz Republic is 5% and nearly 50% lines do not align and would require 
compensation to WTO Members. It is expected that Kyrgyz Republic would also be impacted by 
aligning its rules and procedures to that of th e customs union, for example, harmonization of TBT 
and SPS rules could trigger significant changes in these policy areas as well as significant 
investment in laboratories and equipment. The cancellation of the "simplified" import procedure 
would likely have a negative impact on Kyrgyz's  role as a re-exporter of third-party goods. 
 
Question 
How, and in what time frame does Kyrgyzstan pl an to makes the adjustments as noted above?  
 Answer 
Kyrgyz government cannot prejudge the results of upcoming negotiations so it would be too complicated to indicate the technicalities and time frames of upcoming negotiations. At present several economic studies are being scrutinized by Kyrgyz government to weight possible 
consequences of future developments in the integration processes. 
 Answer 
Impact assessment of "simplified import procedures" on the Kyrgyz economy has been carried out for the textile and clothing industries. Data for 2012 shows that the ratio of textile and clothing industries in the total industry volume of the Kyrgyz Republic accounted 6.9%.  
Today, over 150 thousand people are employed in the sector.  
 Textile and clothing items output is represented in the following way: KGS 5.8 billion in 2008, 
KGS 4.5 billion in 2009, KGS 6.2 billion in 2010, KG S 7.3 billion in 2011, KGS 9.2 billion in 2012.  
Textile and clothing products export over the periods reviewed (except for 2009) and their output have been increasing every year and accounted  to US$97.2 million in 2008, US$72.5 million in 
2009, US$124.9 million in 2010,  US$142 million in 2011, and US$156.0 million in 2012.  
 Changing the valuation method applied to imported parts and materials for the clothing industry from the weight-based to the price-based will lead to an increase of domestic products prime cost 
and decline in demand, thus will probably have  an overall adverse effect on the economy. 
 A comparison of bound and applied rates carried out using the 2012 applied rates, found that 
approximately 90 tariff lines were in excess of the WTO bindings. 
 Question 
Are there plans to remove the excess over WTO bindings? 
 WT/TPR/M/288/Add.1 
 
- 21 - 
 
  Answer 
Due to technical error/fault for certain commodity sub-positions, existing duty for customs fees 
exceeds bound tariff rates. Currently, th e Supreme Council of the Kyrgyz Republic 
reviews/considers draft law of the Kyrgyz Repub lic "On introduction of changes and amendments 
into law of the Kyrgyz Republic – "On customs tariff of the Kyrgyz Republic", which envisages tariff 
reduction to zero of customs duties for certain (some) commodity sub-positions (as of commodity position, 2009). Technical error/fault for other remaining commodity sub-position will be 
eliminated during next review of existing customs' duty tariffs, which is envisaged in 2014. 
 Standards and technical requirements remain an area under frequent change in the Kyrgyz Republic, especially as concern SPS issues. The Ky rgyz Republic does not currently have an SPS 
inquiry point.  
 Question 
Are steps being taken to overcome the above stated shortcomings in the SPS system? 
 Answer 
The WTO Agreement on Application of Sanitary and Phytosanitary measures is obligatory for execution for WTO member-countries, and the Customs Union Agreement on sanitary measures has been adopted and signed taking into account the International medical sanitary regulations (2005), Agreement on technical barriers in trade and Agreement on application of sanitary and 
phytosanitary measures (hereinafter — SPS WTO), that have been adopted on results of Uruguay 
round of multilateral trade negotiations on 15 April 1994 in Marrakesh. Accepted normative legal acts of the Kyrgyz Republic, in the capacity of full WTO member, are harmonized with WTO 
Agreements, including in the sphere of SPS, about which the concerned WTO members would be 
consulted if required.   
Ministry of Economy of the Kyrgyz Republic has developed and installed Integrated information 
(notification) system on technical monitoring for purpose of coordination data flow and exchange 
in area of technical regulations, and to ensure informational support of process related to development of technical regulations, establishment of system for operational and full monitoring 
over activities of certifying bodies, as well as inspection mechanism and to analyze activity of 
conformity assessment bodies.   
Currently, we work on synchronization of data with other systems on data flow within 
governmental (state) agency  of the Kyrgyz Republic. 
 
A fiscal amnesty programme aimed at expanding the tax base through reduction of informal 
economic activity was also launched in July 2013.   Question 
Can Kyrgyzstan share the details of this Amnesty programme? How many persons are expected to 
subscribe to it (expansion of tax base), and what percentage/volume increase in taxes is 
expected? 
 
Answer 
In order to legalize the "shadow capital", the Ky rgyz Republic, on 31 May 2013, has enforced the 
National Law "Towards preparation on submission of Unified tax declaration of the Kyrgyz 
Republic".  The purpose of given law is to provide an opport unity to individuals and civil servants of the 
Kyrgyz Republic, defined under Article No. 8 of La w of the Kyrgyz Republic "on enforcement of Tax 
Code of the Kyrgyz Republic", to submit undec lared tax commitments, as well as customs fees, 
social security payments and any other financial obligations related to income and property, 
received up to 31 December 2012 (inclusively), while such individuals and civil servants are 
exempted to pay afore-mentioned taxes, de ductions and any other mandatory financial 
obligations, with exception of income and property values, where total amount exceeds 
established/authorized declaration threshold.  
 The mechanism focused on legalizing the "shadow capital" in the Kyrgyz Republic significantly differs from practices of other countries. The main difference is that legalization procedures have 
non-monetary, but declarative nature. There are no such terms and conditions that during WT/TPR/M/288/Add.1 
 
- 22 - 
 
  legalization capital to be reimbursed, or allocated at local banks. Taking in consideration that fact, 
capital amnesty of the Kyrgyz Republic doesn' t envisage one-time budget replenishment and 
increase of investment potential of the country. The only purpose of capital amnesty is to provide an opportunity to Kyrgyz citizens to resolve budg et claims against previous ly acquired income, and 
legalize own assets, registered to third parties. 
 The main goal of legalization of the "shadow capital" in the Kyrgyz Republic is that completion of 
legalization procedure over assets, not declared in the past, will lead to following: 
 1. Those assets will actively contribute in ec onomic activity and development of the country 
2. Further activities of individuals and/or entities, which legalized their income and assets, and 
filled-up Unified tax declaration, will be carried out on legal basis. 
 Currently, the Kyrgyz Republic is actively implementing a campaign on legalization of capital, 
income and property.  
 Legalization of the "shadow capital" in the Kyrgyz Republic has a voluntary-declarative nature and 
will end-up by 31 December 2013. At the same time, it should be mentioned that under 
legalization procedures individuals are exempted  to provide information related to source of 
income and property.  
Unfortunately, we don't have any information on how many individuals and entities will use capital 
amnesty, and what will be the increase in tax collection.  
Question 
When is the Bilateral Investment Agreement with Pakistan, signed on 26 August 1995 expected to come into force? 
 
Answer 
According to the information from the Ministry of Economy and the Ministry of Foreign Affairs of the Kyrgyz Republic the ratification of Investme nt Agreement should be made in both countries 
which had signed these Agreements. 
 A government resolution was passed in 2012 on measures of state support for textiles, apparel, 
and furniture. The resolution provides for the exemption of the customs clearance fee for 
machinery used directly by the businesses in their own productive capacity. Approximately 25 tariff lines of textile machinery are eligible.  
 
Question Could Kyrgyzstan please list the 25 lines, and the extent of customs clearance fee exemption 
applicable? 
 
Answer 
In 2012, Government has adopted Resolution "On measures of state support for textile industry, 
clothing and furniture manufacturing". As of this resolution, import of machinery for manufacturing 
purposes is exempted from customs duties.   
Roughly, 25 of tariff lines of textile machinery fall under this Resolution. 
 The Programme covers following HS Codes: 8414 40 100 0, 8414 40 900 0, 8444 00 100 0, 8444 00 900 0, 8445 11 000 0 - 844 5 90 000 9, 8446 10 000 0 - 8446  30 000 0, 8447 11 100 1 - 8447 
90 000 9, 8448 11 000 0 - 844 9 00 000 0, 8451 10 000 0 - 8451  90 000 0, 8452 10 110 0 - 8452 
90 000 0, 8462 21 100, 8462 41 100, 8465 10 100 0, 8465 10 900 0, 8515 11 000 0 – 8515 90 000 0. WT/TPR/M/288/Add.1 
 
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  QUESTIONS FROM THE UNITED STATES 
PART I: QUESTIONS ON THE SECRETARIAT REPORT (WT/TPR/S/288) 
 2.3 Trade Policy Objectives 
2.3.1 General objectives 
 Page 21, Para 2.18 
In the discussion of the Kyrgyz Republic's plans to accede to the customs union and the Single 
Economic Space, reference is made to the Kyrgyz Republic "reaching agreement with the Customs Union members on sensitive and preferential comm odity groups in order to protect its national 
interest."  
 
• What type of protection would be afforded to  sensitive and preferential commodity groups in 
order to protect national interest? If the protection relates to tariffs, would this mean that the 
Kyrgyz Republic would seek deviations from th e common external tariff (CXT) of the customs 
union? Would those deviations be of a time-limited nature and what would be the sectors and products that would not conform to the CXT? Would the deviations be for lower or for higher 
tariffs?  
 Answer 
Protection for sensitive and privileged commodity gr oups for the purpose of the national interests' 
protection will be specified in the Road Map for accession of the Kyrgyz Republic to the CU. There 
is no clear idea about this issue yet.  
• Considering the Kyrgyz Republic has free trad e with members of the customs union through 
longstanding CIS Free Trade Agreement mechanisms, what exactly would it be protecting vis a vis those trading partners by maintaining different tariffs?  
 
Answer 
The Kyrgyz Republic will grant the free trade regime for CIS countries under the CIS Agreement on Free Trade Area. 
 
2.4 Trade Agreements and Arrangements 2.4.2 Regional, bilateral, and preferential trade 
 
Page 24, Para 2.30 The Secretariat's report notes "The working grou p adopted a joint plan of action in order to 
prepare and adopt the roadmap for accession by the end of 2013. The roadmap includes 
consideration of adapting normative and legal acts on sanitary, phytosanitary, veterinary, customs, technical, and financial issues."   
• Please provide a detailed explanation about the Kyrgyz Republic's roadmap for acceding to 
the customs union. In particular, on what date would the Kyrgyz Republic adopt the common external tariff rate (CXT)of the customs union? What, if any tariff adjustments or staging would 
precede adoption of the customs union CXT. What  if any deviations would the Kyrgyz Republic 
seek from the CXT of the customs union?  • Please describe the timing for the Kyrgyz Republic to adopt normative and legal acts of the 
Eurasian Economic Community (EEC) in areas su ch as sanitary, phytosanitary, veterinary, 
customs, technical barriers to trade and import licensing for goods such as alcohol and goods with encryption.   
Are there any areas where the Kyrgyz Republic does not anticipate that it would adopt the 
regulations of the EEC?   
Answer 
At present, the draft Road Map covers a set of actions in the following sectors: sanitary and 
phytosanitary and veterinary measures, customs legislation, customs infrastructure, technical 
regulation, customs and tariff and non-tariff regulation, trade policy, finance policy, intellectual 
property, application of special safeguard, antidumping and countervailing measures, statistics, transport and communications. The actions include bringing the legislation into compliance with CU WT/TPR/M/288/Add.1 
 
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  agreements, infrastructure transformations, u pgrade and equipping of border checkpoints and 
laboratories. Draft Road Map has not been adopted yet, while the respective work is ongoing.  The Kyrgyz Republic will adopt the legal normat ive acts of the Eurasian Economic Community 
(EurAsEC) in the areas of sanitary, phytosanitary,  veterinary measures, customs, technical barriers 
to trade and import licensing of goods, such as  alcohol products and encrypting goods, after 
adoption of the Road Map. The areas, where the Kyrgyz Republic may not follow the rules of the 
Unified Economic Area, are to be negoti ated within the Road Map framework. 
 Page 25, Para 2.32 and 2.33 The Secretariat report states "Significant tariff differences exist for meat and prepared meat 
products, alcoholic beverages, certain chemical products, wood and paper, iron and steel, 
aluminum, and furniture; whereby the average tari ff rates of the customs union exceed those of 
the Kyrgyz Republic by 10% or more. At present, the Kyrgyz Republic has not invoked Article 
XXVIII or Article XXIV procedures to re-negotiate its WTO tariff commitments, and it is unclear 
how compensation could be given for such a large number of tariff lines with significant tariff differences." We note with concern that nearly 50% of the Kyrgyz Republic's tariffs do not align 
with the customs union CXT, would need to be ra ised above the Kyrgyz Republic's bindings, and 
would require re-negotiation and compensation with WTO Members.   • How would the Kyrgyz Republic and customs union members approach such a broad-scale 
compensation? Please provide explain what efforts the Kyrgyz Republic is taking to address this 
situation, taking into account GATT Article XXIV:6 and Article XXVIII on notification of WTO Members at least six months prior to joining a customs union. We note this notification is essential 
and should include its tariff schedule, the schedule of the customs union, and all MFN suppliers' 
trade with the Kyrgyz Republic.   
Answer 
The Kyrgyz Republic shall undertake all possible effo rts to avoid violation of Article XXIV:6 of GATT 
and Article XXVIII. With respect to the most sens itive products, the KR will request the Customs 
Union the transition period to be gradually adjusted. 
 
2.5 Trade Disputes and Consultations  
Page 26, Paragraph 2.40 and Table 2.3 
The Secretariat report notes that the Republic of Kyrgyz adopted a law on 15 July 2012 establishing a visa-free regime for citizens of some countries for 60 days. The law provides visa-
free travel for certain persons for 60 days. What persons are allowed such visas? What will happen 
after 60 days or expiration of visas?  3. Trade Policies and Practices by Measure 
3.1 Measures Directly Affecting Imports 
3.1.1. Customs procedures   
Page 32, paragraph 3.14 
Please provide more information about the tax changes instituted in 2010. In particular, the Secretariat's report describes that rules that allow the substitution of ad valorem tariffs with a 
uniform, weight-based duty.  
 • Does this apply to certain products or the entire tariff schedule?  • How do these weight-based tariffs relate to th e Kyrgyz Republic's sched uled tariff bindings?  
• Do the resulting weigh-based tariffs ever exceed the Kyrgyz Republic's bound rates?  
• Are these simplified procedures only used by individuals who personally carry the goods across the border, or can they be used for commercial shipments?  
• What is the cutoff point between something personally transported and a commercial 
shipment?   
Answer 
Pursuant to Article 201 of the Customs Code of th e Kyrgyz Republic, the Government of the Kyrgyz 
Republic shall have the right to introduce the simplified customs formalities procedure for goods, with the use of aggregate customs payment and/or uniform customs duty rate and taxes when WT/TPR/M/288/Add.1 
 
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  individuals, including private entrepreneurs,  move the goods designated for production, 
entrepreneurial or other commercial purposes.   I n  a c c o r d a n c e  w i t h  R e s o l u t i o n  o f  t h e  G o v e r n m e n t  o f  t h e  K y r g y z  R e p u b l i c  " O n  A p p r o v a l  o f  
Instruction for Movement of Goods and Motor Vehicles through the State Border of the Kyrgyz 
Republic by Individuals" dated 31 December 2 004, No. 976, the Uniform Customs Duty Rate and 
Taxes shall be applied for the following HS headings:0201, 0202, 0204, 0207, 1001, 1008 10 000, 
1512, 1701 99 1001, 1902, 41-42, 50-56, 58-65, 67, 8703 10, 8703 21 8703 22, 8703 23, 8703 
31, 8703 24, 8703 32, 8703 33, 8903 91, 8903 92, 8903 99, 8711, 8706009109, 8707109000, 8707909009, and minibuses classified under 8702 heading.  
Vans, standardized by a minibus body type, designated for cargo transportations, of HS heading 
8704, with the gross vehicle weight not exceeding 5 tons. Truck tractors classified in 8701 heading. 
 
Motor vehicles for the transport of persons, classified in heading 8702, except for minibuses, motor vehicles for transport of cargoes of heading 8704, including "pick-up" type motor vehicles, 
except for vans, standardized by a minibus body type, designated for cargo transportations, 
specified in HS heading 8704, with the gross vehicle weight not exceeding 5 tons.  Meanwhile, we note that the Uniform Customs Duty Rates and Taxes (VAT + customs duty) does 
not exceed the mandatory rates of the Kyrgyz Republic.  
 The goods designated for personal use by individuals, except for motor vehicles, the value of which 
exceeds the amount equaling 380-times of the calculation indicator and/or total weight over 50 kg 
shall be formalized without use of non-tariff regulation measures and taxation.   
Customs clearance of goods moved by individuals designated for production, entrepreneurial and 
other commercial purposes, which value does not ex ceed the amount equaling 40,000 times of the 
calculation indicator shall be performed in the simplified manner, and the Uniform Customs Duty and Taxes shall be charged. 
 
Page 33, paragraph 3.19 The Secretariat report notes that the Kyrgyz Republic does not use pre-shipment inspection 
companies for customs matters. Does the Kyrgyz Republic use pre-shipment inspection companies 
to meet requirements related to verification of quality?   
Answer 
Does not apply. 
 3.1.2 Customs Valuation  
 
Page 34, paragraph 3.24 When will the Kyrgyz Republic submit an updated notification on its customs valuation procedures, 
which have not been notified since 2000?  
 Reply: notifications on customs valuation procedures will be submitted to WTO no later than the 
first quarter of 2014. 
 3.1.3 Rules of Origin  
Page 36, Paragraph 3.33 
The Secretariat report indicates that the Kyrgyz Repu blic has not notified legislation on preferential 
or non-preferential rules of origin. When does the Kyrgyz Republic intend to submit its notification 
of legislation on preferential and non-preferential rules of origin?  
 Answer 
Kyrgyz Republic will provide re levant notifications next year. 
 WT/TPR/M/288/Add.1 
 
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  3.1.4. Tariffs 
 Page 38-39, Paragraph 3.40-3.41 We are concerned about the Secretariat analysis that the Kyrgyz Republic is applying tariff rates 
that are above its WTO bound rates on approximately 90 tariff lines in the areas of fruits, juices, 
certain machinery and auto parts. We also und erstand that there may be a problem with the 
specific and bound rates being applied to alcohol which is resulting in ad valorem  equivalents that 
exceed the Kyrgyz Republic's tariff bindings. Please explain what immediate steps the Kyrgyz 
Republic is taking to bring its applied rates into line with its WTO bound tariff rates.   Answer: the excess of bound rates on 90 tariff lines has been caused by technical error that has 
been allowed during adoption of the actual editio n of the KR Law "On Customs tariff of the KR" in 
2009. At the moment the draft of the Law of the Kyrgyz Republic "On insertion of changes and 
amendments to the Law of the Kyrgyz Republic "On Customs tariffs of the Kyrgyz Republic" is 
under consideration of the Zhogorku Kenesh  of the Kyrgyz Republic that stipulates a decrease of 
Customs fees rates up to zero for some goods sub-positions of the goods position 2009. The technical error on remaining goods sub-positions will be eliminated during next revision of actual 
Customs fees rates in 2014. 
 3.1.6 Import prohibitions, restrictions and licensing   
Page 45, Para 3.62 
The Secretariat report highlights the fact that a ccording to the Kyrgyz Republic's procedures, all 
import licenses are non-automatic and that very few licenses have been issued to date. How does 
the Kyrgyz Republic explain why so few licenses have been issued to date? How many licenses 
have been requested and how many import licens es have been approved? In light of the WTO 
Agreement on Import Licensing Procedures, where does the Kyrgyz Republic publish the current 
procedures for obtaining an import license?  
 Answer 
Number of licenses issued by the Ministry of Economy for import of goods (period covered 2007–
2012). 
 
1 2007 19 
2 2008 20 
3 2009 25 
4 2010 30 
5 2011 61 
6 2012 52 
 
Cases, where state agency might reject to issue a license, are clearly defined by legislation; low 
number of issued import licenses is due to low number of applications. 
 
This information does not consider/cover licenses, issued for import of alcohol products (agency, issuing license – State Tax Administration), drugs and narcotic substances (agency, issuing license – State Service for Drug Control) and explosive materials (agency, issuing license – Ministry of 
Interior), thus Ministry of Economy doesn't have such data. 
 Page 45, Table 3.13 
Please describe in detail the procedures that are required to obtain a license to import goods with 
cryptographic capability. Are licenses required for the importation of commonly used commercial goods such as laptops, cell phones, software, and switches and routers?  
 
Answer 
The order of registration and issuance of license to perform export-import activities, is confirmed/adopted by resolution N 1313-IV of the Supreme Council of the Kyrgyz Republic (as of 
25 June 2009). This order is common for all types of licensed commodities. Import license for 
designated commercial goods is not required, if only imported goods are not dual-use goods. 
 
Page 46, Para 3.65 
We note that the Kyrgyz Republic's notifications regarding its import licensing procedures are significantly out of date, and that the government's last response to the Questionnaire on Import WT/TPR/M/288/Add.1 
 
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  Licensing Procedures was in 2006. When will the Kyrgyz Republic notify its current import licensing 
procedures in light of the requirements contai ned in Article 7.3 of the Agreement on Import 
Licensing Procedures?   
Answer 
Due to adoption of the new law No. 195 of the Kyrgyz Republic "On licensing-permitting system of 
the Kyrgyz Republic", as of 19 October 2013, it is envisaged that within 6 months period legislative 
and regulatory acts (frameworks) regulating licensing of import activity will be revised; upon 
revisal and adoption of amended legislative and regu latory acts, they will be forwarded to notify on 
update of practical measures on licensing of import activity.   
3.1.7 Contingency Measures  
 Page 47, paragraphs 3.66 – 3.69 
The Secretariat's report identifies a number of legislative and regulatory amendments that the 
Kyrgyz Republic has made to the law and regulations previously notified to the WTO Anti-Dumping and Subsidies and Countervailing Measures Committees. When will the Kyrgyz Republic notify 
these amendments so that they can be properly reviewed by WTO Members? 
 Answer 
Notification on given amendments will be forwarded to WTO not later than Q1 2014. 
 
Page 47, paragraphs 3.70 and 3.71 The report identifies legislative and regulatory  changes made by the Kyrgyz Republic to its 
safeguards law and regulations that have yet to be notified to the WTO Committee on Safeguards. 
Could the Kyrgyz Republic please provide a timefram e as to when the required notification will be 
made? 
 
Answer 
Notification on given amendments will be forwarded to WTO not later than Q1 2014.  
Page 47, paragraphs 3.72 
The Kyrgyz Republic has two safeguard investigatio ns whose outcomes have not yet been notified 
to the WTO Committee on Safeguards. Could the Kyrg yz Republic please provide a timeframe as to 
when the required notifications will be made? 
 Answer 
Both investigations were completed without adoption of safeguard measures. Notification on results of investigation will be forwarded to WTO not later than Q1 of 2014.  3.1.10 Standards and other technical requirements 
 
Page 50, paragraph 3.87 Please elaborate on what differences exist between  the Kyrgyz Republic's certification procedures 
and those of the customs union.  
 Page 52, paragraph 3.94 
The Secretariat report indicates that upon joining the Customs Union the Kyrgyz Republic would 
directly apply the customs union's technical regulations on SPS matters and that work is going on to examine the many changes that are necessary to make in existing Kyrgyz laws to make them conform with the customs union requirements.  
 
• Considering that WTO Members' recent experiences in the accessions of both the Russian Federation and Kazakhstan show that ensuring that the customs union rules on SPS are WTO 
compliant is a very significant task, please provid e an explanation of how the Kyrgyz Republic will 
set up a process to consult with WTO Members from outside of the customs union to ensure that its adoption of new laws in the SPS area and the implementation of those laws and regulations is 
in line with the SPS agreement. 
 WT/TPR/M/288/Add.1 
 
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  Page 51, paragraph 3.88 
When will the Kyrgyz Republic create an SPS Inquiry Point, which is a key requirement usually completed prior to WTO accession? Please provide further details outlining the Kyrgyz Republic's 
plans to create such an institution as prescribed by the SPS agreement.  
 
3.2.2. Export taxes, charges, and levies  
Pages 53-56, paragraph 3.97 and Table 3.18 
Information provided in the Secretariat report indicates that export taxes imposed on certain products are intended to provide raw materials to domestic producers in order to stimulate production and exports. 
• Could the Kyrgyz Republic please provide additi onal information as to the administration of 
this export tax regime? • Does the Kyrgyz Republic intend such a regime to maintain the prices of raw materials at 
certain target levels? 
• Are these taxes applied as part of other measures to control the export of certain production inputs? 
 
Answer 
Export duties were introduced in order to supply domestic manufacturers with raw materials and to stimulate production/manufacturing and export activities. 
 
3.3.2 Incentives, subsidies, an d other government assistance 
 
Page 63, paragraph 3.127 
According to the Secretariat report, Kyrgyz Government Resolution, 26 March 2012, No. 204, provides measures of state support for textiles, apparel, and furniture, in order to enhance 
competitiveness and improve export potential. 
 • What incentives are being provided to these sectors under these measures? • Are any of the incentives provided under these measures contingent upon export 
performance or the use of domestic over imported goods? 
 Answer 
In order to increase competitiveness of the local textile, sewing and furniture making industry and with the view to promote export, based on the Kyrgyz Government Regulation of 26 March 2012, 
№204, the enterprises producing furniture, text ile and clothing are exempt from customs 
formalities fees which is collected for equipment supply (0.15% of customs value) destined to 
Kyrgyzstan. This equipment shall be used only for their own production. It is applied regardless of source of raw materials (local or imported) or the enterprise will export or supply to the domestic market. 
 
3.3.3. Government Procurement  
Page 65, paragraph 3.1.34 
The Secretariat notes that the Kyrgyz Republic agr eed to pursue membership in the GPA as part of 
the country's accession protocol; however, the proce ss appears stalled. In light of the GPA Parties' 
agreement on the revision of the GPA at the WTO Ministerial in December 2011, we urge the 
Kyrgyz Republic to review the revised agre ement with an aim to recommence accession 
negotiations to the GPA as soon as possible. The addition of the Kyrgyz Republic to the GPA would 
constitute an important expansion of the GPA.  
 
• Is there a timeframe that the Kyrgyz Republic  has for re-engaging with GPA Members of the 
accession process?  
 
Answer 
The Ministry of Finance of the Kyrgyz Republic, as an authorized government body for state 
procurement, reviews existing legislation on st ate procurement, in particular, the Law of the 
Kyrgyz Republic "On State Procurement". Amended Law will be adjusted to the GPA requirements. 
Therefore, only after enactment of this law th e negotiations to accede the WTO GPA would be 
possible.  
 WT/TPR/M/288/Add.1 
 
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  3.3.4 Intellectual property rights 
 Page 65, Paragraph 3.136 The Secretariat report highlights a number of laws that have been adopted to improve legal 
protection for intellectual property.  
 • As indicated in footnote 69, please conf irm that the law of 24 January 2013 has been 
implemented.  
• As indicated in footnote 70, please confirm that the law of 5 August 2008, No. 197, and the law of 27 June 2011, No. 58, have been implemented. • This paragraph also refers to the Law of th e Kyrgyz Republic "On introducing changes and 
additions to the Law of the Kyrgyz Republic Patent  Law" of 26 December 2012, "which provides for 
additional rights to trademark owners, in particul ar, the pledge right and post-use right." Please 
explain how the Patent Law "provides for addition al rights to trademark owners." Please also 
explain "the pledge right" and "post-use right."  
 Pages 66-67, Paragraphs 3.139 and 3.143 
The Secretariat's Report states that "Kyrgyzpaten t is engaged in drafting and improving the legal 
framework on IP protection" and that "[t]he plan of activities to implement the objectives of the national strategy for 2012-13 approved procedures  to improve the system of IP protection, in 
particular, copyrights and related rights, and decrease the amount of counterfeit goods." We would 
appreciate further details on the implementation of this 2012-2013 National Strategy (which was 
adopted in 2011). Specifically, with respect to copyright, we are interested in knowing more about any additional legislative or regulatory efforts, as well as enforcement activities (which we realize 
are taken by other agencies besides Kyrgyzpatent), taken regarding online copyright piracy issues.  
 3.3.5 Role of state-owned enterprises,  state monopolies, and privatization 
 
Page 69, paragraph 3.152 The Secretariat report says that with respect to privatization the Kyrgyz Republic committed to "providing annual information for as long as its programme of privatization was in existence, and 
on other issues related to its economic reform as relevant to its WTO obligations. During the period 
of review no such annual notifications were received despite the ongoing privatization." When does the Kyrgyz Republic intend to provide the annual information on its privatization program and 
economic reform?  
 Answer 
It will be submitted upon the year's results (beginning of 2014).  PART II: QUESTIONS ON THE GOVERNMENT REPORT (WT/TPR/G/288)  
4.19 Regional Trade Agreements 
 Paragraph 4.154 
The Government Report notes that in 2011, Kyrgyzstan has expressed its intention to join the 
Customs Union (CU) and the Common Economic Area (CEA). Earlier, the Government report also 
indicated that textiles are one of several key export commodities (paragraph 2.25). 
 
Please describe what the anticipated effect will be on key sectors of its economy if the Kyrgyz 
Republic joins the Customs Union with the Russian Federation, Belarus and Kazakhstan, specifically in terms of the tariffs on fa bric and textiles and agricultural goods.  
 
Answer 
Tariffs for these products will be raised. However, this will give an impetus to recovery of domestic 
production, because the raw materials are available. 
 • What will the effect be on inflat ion in the economy, more generally?  
 
Answer 
According to estimates by the Ministry of Economy,  the CPI level in view of impact of the Customs 
Union accession will be averaged 6-7%. 
 WT/TPR/M/288/Add.1 
 
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  4.20 Free Economic Zones 
 Page 35, Paragraph 4.158 According to the Government report, Free Economic Zones (FEZs) have a special legal status 
including labor force immigration. Can the Government confirm that the special legal status for 
labor migration is Law 121? If not, what are the special statuses for workers in the FEZs? For what industries do they work? Is the labor force immigrants limited to certain industries?  
 
Answer 
Based on Article No. 5 of law of the Kyrgyz Republic "On free economic zones located in the Republic of Kyrgyzstan", relations raised due to  establishment and functioning of free economic 
zones are regulated in accordance with afore-mentioned law. 
 In addition to that, Article No. 9 of afore-mentioned law defines that labor relations, including 
hiring and firing of staff, conditions and terms of payment and salary levels, including payments in 
foreign currency, rights for employment and annua l leave, social security and compensation of 
entities operating at free economic zones are regulated by collective agreement and individual 
employment contracts. Collective and individual employment contracts shall not deteriorate 
conditions of staff, employed at entities located at free economic zones, compared with conditions envisaged by Labor Code of the Kyrgyz Republic, as  well as ILO conventions ratified by the Kyrgyz 
Republic. Salaries granted to foreign staff (expatri ates), upon payment of taxes, have full right to 
be transferred to foreign bank accounts with no limita tions. Relations linked with activity of entities 
w i t h i n  F E Z ,  e n t r a n c e  p e r m i s s i o n  t o  F E Z ,  r e s i d e n c e  a n d  w o r k  p e r m i t s ,  a s  w e l l  a s  o t h e r  m a t t e r s  related to FEZ activity, are regulated by top management of FEZ.  
 
It should be mentioned that Article No. 11 of afore-mentioned law envisages, that FEZ apply simplified entry & exit regimen for foreign citizens. Specific entry & exit rules are set for each FEZ 
by the Ministry of Foreign Affairs of the Kyrgyz Republic and reflected in provisions for each FEZ. 
For such purpose, the Ministry of Foreign affairs of the Kyrgyz Republic established a dedicated unit/agency.  
Moreover, Article No. 8 of afore-mentioned law envisages that mandatory social security 
(insurance) payments for individuals, employed at  entities operating at FEZ, are calculated and 
collected in accordance with Law of the Repub lic of Kyrgyzstan "On state social security". 
Taking in consideration above mentioned facts, our Department would like to inform that all 
matters related to FEZ activities are regulated by  Law of the Kyrgyz Republic "On free economic 
zones [FEZ Bishkek, FEZ Maymak, FEZ Karakol, FE Z Leylek, FEZ Naryn]", as well as international 
agreements and conventions rati fied by the Kyrgyz Republic. 
 Hereby, we inform you that the Ministry informs you the following on the clause 4.20 Free Economic Zones within obligations before the World Trade Organization (WTO) regarding condition 
of preparation to the trade policy review (TPR).  
 According to the article 7 of the Law of the Kyrg yz Republic "On external labor migration", also 
pursuing the aims of state regulation of immigrat ion processes and putting in order of stay of and 
carrying out of labor activity by foreign citizens and persons without citizenship of the territory of the Kyrgyz Republic, inner labor market protection from the flow of unqualified foreign labor force, 
the authorized state body of the Kyrgyz Republic  on the field of migration elaborates the draft 
Enactment of the Government of the Kyrgyz Repub lic "On setting of quota for labor migration for 
the following year by economy branches and regions of the Kyrgyz Republic" every year. 
 
The quota system is devoted to ensure the strict observation of target quantity parameters on 
attraction and employment of foreign labor force as  by the quantity of the labor force as by its 
quality composition: professions and specialty, education level and qualification, etc. It also serves 
as an ultimate reference point for quantity of fo reign labor force for state bodies and employers. 
The quota is set in the following territorial and sector segment: - for the Republic as a whole; 
- by regions; 
- by economy sectors.  The quota for every region is set depending on volumes of investment contribution, involvement of 
local labor resources to enterprises with foreign participation, and the level of priority of this sector WT/TPR/M/288/Add.1 
 
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  of the economy and the specific object, ecologic al security, warranty of long-term development 
perspectives, co-participation in social, communication and infrastructure development of territories on which they are located.  
The size of quota depends on the significance of projects under realization and directed to 
satisfaction of needs of economy sectors in foreign specialists.  
As the whole, the quota system is devoted to ensure the strict control of employment of foreign 
labor force and the observation of priority right of citizens of the Kyrgyz Republic for occupation of 
vacant working place.  
Besides, it is stated on the clause 7 of the Rules "About regulation of implementation of labor 
activity by foreign citizens and persons without ci tizenship on the territory of the Kyrgyz Republic" 
approved by the enactment of the KR Government № 639 on 08.09.2006 that the attraction and 
placement of foreign citizens and persons without citizenship without permission to attraction if 
foreign labor force are prohibited for legal and pers onal entities, also the implementation of labor 
and individual entrepreneurship activities without permission to work are prohibited for foreign 
citizens on the territory of the Kyrgyz Republic.  
 Also, the clause 8 of the stated above Rules states that those employers that attract and employ foreign labor force illegally are responsible accord ing to the legislative of the Kyrgyz Republic. 
In this regard, any privileges in regard of foreign citizens that carry out the labor activity on the 
territory of the Kyrgyz Republic, including the "SEZ  Bishkek", are not stipulated in the acting KR 
migration legislation. 
 
PART III: OTHER QUESTIONS  
We have concerns regarding the draft law, "On Payment System of Kyrgyz Republic" (the "Draft 
Payments Law"). In particular, we understand that Article 20 prohibits domestic banks from processing payments in national currency for pa yment cards issued outside the Kyrgyz Republic 
and also prohibits acceptance of foreign bank cards for processing within the infrastructure of the 
local and international payment system. Additionally, Article 15 of the draft law requires all inter-
bank payments in national currency to be processed through correspondent accounts opened at the National Bank of the Kyrgyz Republic, thereb y establishing a monopoly on electronic payment 
centers for these transactions. We are concerned that the adoption and implementation of these 
measures will restrict the cross-border supply of electronic payment services.  
• What is the current status of the Draft Payments Law?  
 Answer: Today, because of objections by the KR's President related to Articles 15 and 20, the draft Law of the KR "On Payment System of the KR" is being finalized at Jorogku Kenesh  of the KR 
(Parliament). To ensure the economic security an d stability of the payment system of the country, 
the Law stipulates restrictions on settlements and processing of internal payments, i.e. settlements of cards issued by the banks of the Kyrgyz Repub lic, which are made on the territory of the Kyrgyz 
Republic between the Kyrgyz banks-residents, should be performed through accounts of the 
Kyrgyz banks-residents that were opened at the Na tional Bank of the KR. The requirement that the 
final payments in the national currency by the banks should be performed through the Central 
Bank, the national currency issuer, is standard in many countries and thus, it may not be regarded 
as a monopoly right granted to the Central Bank, si nce this is one of its functions and goals. Such 
payments should be processed through a system located in the Kyrgyz Republic.  
• How does the Kyrgyz Republic intend to addr ess the limitations placed on the cross-border 
supply of electronic payment services?  
Answer 
The Law does not prohibit local banks to process national currency payments with cards issued 
outside the KR, because in this case, the settlements will not be treated as internal. Thereby, the 
possibilities of using international payment systems are not restricted at all. 
 Meanwhile, according to the KR President's comments on these articles, the point now is to change the wording in the Law so that to specify the requirements and clarify their application regarding 
international payment systems. WT/TPR/M/288/Add.1 
 
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  Does the Kyrgyz Republic have a TRIPs Article 39(3) system for protecting undisclosed marketing 
approval data for pharmaceutical and agricultural products from unfair commercial use? If so, please explain.  
Answer 
Pursuant to the National Strategy of Development of Intellectual Property and Innovations in the 
Kyrgyz Republic for 2012-2016 approved by Resoluti on of the Government of the Kyrgyz Republic 
dated 23 September 2011, No. 593 ("the National Strategy") its main objectives are to suppress 
counterfeit and forged products, reduce the level of "piracy" on the territory of the country, in particular, counterfeit pharmaceuticals and food products, which threaten population's life and health.  
 
Point 41 of the Action Plan to implement the National Strategy for the purpose of interaction between the government bodies for prevention and suppression of intellectual property violations, 
provides for formation of a working group of the Interagency Commission to cover 
"Pharmaceuticals and Medical Equipment" issues.  
It should be also noted that relations arising on the territory of the Kyrgyz Republic for creation 
and ensuring legal protection and use of industrial  property items are regulated by the Patent Law 
of the Kyrgyz Republic.  
In addition, the Rules for Drafting, Filing and Review of a Patent Application for an Invention 
approved by Resolution of the Government of  the Kyrgyz Republic dated 27 October 2011, 
No. 685, envisage a provision on confidential natu re of the application filed by an applicant. 
Specifically, an application data from the moment of its receipt at Kyrgyzpatent till the moment of 
disclosure of such data shall be kept confidential and not subject to disclosure. WT/TPR/M/288/Add.1 
 
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  QUESTIONS FROM CANADA 
REPORT BY THE SECRETARIAT (WT/TPR/S/288) PART II– TRADE POLICY REGIME: FRAMEWORK AND OBJECTIVES 
2.3 Trade Policy Objectives 
2.3.1 General Objectives 
 Paragraph 2.18, Page 21 
The Secretariat Report notes that acceding to the customs union is a priority for the Kyrgyz 
Republic and that it expects to conclude in 2013 negotiations with the Customs Union members on 
some sensitive agricultural issues.  
 
1. Could the Kyrgyz Republic provide an update as  to when it expects to become a member of 
the Customs Union?  
 
PART II – TRADE POLICY REGIME: FRAMEWORK AND OBJECTIVES 
2.3 Trade Policy Objectives 2.3.2 Sectoral Objectives 
 
Paragraph 2.19, Page 21 The Secretariat reports that certain sectors including the agri-products sector have been identified in various strategies for further trade development. 
 
2. Could the Kyrgyz Republic provide further details on the new initiatives "construction of 
infrastructure" and "creation of logistical support" to facilitate agri-product exports and on the 
approximate cost of these investments? 
 
PART II – TRADE POLICY REGIME: FRAMEWORK AND OBJECTIVES 
2.6 Foreign Investment Regime 
2.6.3 Investment Policy  Paragraph 2.45, Page 27 
This section outlines various strategies deve loped by the Kyrgyz Republic to improve the 
investment climate in that country. 
3. Can the Government of the Kyrgyz Republic pl ease elaborate on how these strategies will 
impact existing foreign investors?  
PART III. TRADE POLICIES AND PRACTICES BY MEASURE 
3.1 Measures Directly Affecting Imports  
3.1.4 Tariffs  
3.1.4.4 Applied Rates Exceeding Bound Rates   Para. 3.40 and 3.41, Pages 38-39 
This section explains that the applied rates on 90 tariff lines (concerning fruits, juices, certain 
machinery, and auto parts) are in excess of th e Kyrgyz Republic's WTO bound rates. It also 
indicates that, due to discrepancies in some specific and compound rates between the Kyrgyz 
Republic's WTO schedule and the applied rate on alco hol, the applied rate is higher than the bound 
rate on approximately half of the affected lines.   
4. How is the Kyrgyz Republic seeking to align its applied tariffs with its WTO bound rates? 
Answer 
Due to technical error/fault for certain commodity sub-positions, existing duty for customs fees 
exceeds bound tariff rates. Currently, Supreme Counc il of the Kyrgyz Republic reviews/considers 
draft law of the Kyrgyz Republic "On introducti on of changes and amendments into law of the 
Kyrgyz Republic – "On customs tariff of the Kyrgyz  Republic", which envisages tariff reduction to 
zero of customs duties for certain (some) commodity sub-positions (of the HS code 2009). 
Technical error/fault for other remaining commodity sub-positions will be eliminated during next 
review of existing customs' duty tariffs, which is envisaged in 2014. WT/TPR/M/288/Add.1 
 
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  PART III – TRADE POLICIES AND PRACTICES BY MEASURE 
3.1 Measures Directly Affecting Imports 3.1.4 Tariffs 3.1.4.4 Applied Rates Exceeding Bound Rates 
 
Paragraph 3.41, Page 39 The Secretariat Report notes the Kyrgyz Republic's WTO tariff schedule uses the terminology "10% 
or US$0.55 per litre, whichever is lower" while its applied rate uses the terminology "10% but not 
less than US$0.55 per litre". Due to this difference, the applied rate may be higher than the bound rate as the terminology introduces a "floor" rate. It appears that this combined duty was introduced to prevent the undervaluing of goods.  
 
5. As this applied rate created by this "anomaly" is inconsistent with the Kyrgyz Republic's WTO 
tariff schedule could the Kyrgyz Republic indicate when it will revise the applied rate so it 
accurately reflects the terminology in its WTO tariff schedule? 
 Answer 
The combined rate is established in order to prevent undervaluing (reduction) of customs tariffs for the goods in question. The Government is curr ently examining alternatives to achieve full 
cimpliance with the WTO requirements in this area.  
PART III. TRADE POLICIES AND PRACTICES BY MEASURE 
3.1 Measures Directly Affecting Imports  3.1.6 Import Prohibitions, Restrictions, and Licensing  
3.1.6.3 Licensing  
 Para. 3.65, Page 44  
 
PART III. TRADE POLICIES AND PRACTICES BY MEASURE  3.1 Measures Directly Affecting Imports  3.1.7 Contingency Measures  
3.1.7.3 Safeguards  
 Para. 3.70, Page 47 
Both of these sections state that the Kyrgyz Republic has failed to notify the most recent changes 
to its laws and regulations pertaining to import licensing.  
6. Would the Kyrgyz Republic please specify when it intends to update its notifications regarding 
the country's import licensing practices? 
Answer 
Due to adoption of the new law No. 195 of the Kyrgyz Republic "On licensing-permitting system of 
the Kyrgyz Republic", as of 19 October 2013, it is envisaged that within 6 months period legislative 
and regulatory acts regulating licensing of import activity will be revised; amending legislative and 
regulatory acts will be notified to the WTO in a timely fashion. The law No. 195 of the Kyrgyz 
Republic "On licensing-permitting system of the Kyrgyz Republic" will be notified to the WTO 
before the end of 2013.  
PART IV – TRADE POLICIES BY SECTOR 
4.1 Agriculture 
4.1.3 Domestic Measures  Paragraph 4.6, Page 74 
The Secretariat reports that precise figures on domestic support to the agriculture sector as well as 
estimates of forgone taxes were not available.  
7. Could the Kyrgyz Republic provide the appr oximate cost on domestic support to the 
agricultural sector?  
Answer 
In 2013, it is envisaged that state budget of the Kyrgyz Republic will allocated 1, 673 B of KGS for 
agricultural sector, where funds are allocated for expenditures under current (operational) budget. WT/TPR/M/288/Add.1 
 
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  Apart of that, agricultural sector will receive f unds allocated within Program of State Investments 
(joint implementation of agricultural programs with the international finance institutes) in amount of 741.6 M KGS.  
Moreover, in 2013, Government of the Kyrgyz Re public, together with commercial banks, has 
implemented a project called "Financing of agricu lture", where interest rate of commercial banks 
were partially subsidized from the national budget, with a total amount of subsidies – 400M KGS. 
Such practice enabled commercial bank, operating in the Kyrgyz Republic, to supply agricultural 
growers/companies to provide low-interest loans (annual interest rate – 10%), for period from 1 to 2 years. Total amount of provided loans – 3B KGS (these figures to be re-confirmed and not final, due to fact that commercial banks continue providing loan under this regimen). 
 
PART IV – TRADE POLICIES BY SECTOR 4.1 Agriculture 
4.1.3 Domestic Measures 
 Paragraph 4.13, Page 75 
The Secretariat report notes that the Kyrgyz Republic has a voluntary crop insurance scheme 
where 50% of the cost of insurance premiums is subsidized from the state budget.  
 
8. Could the Kyrgyz Republic please provide information as to the level of participation by 
producers/farmers in this voluntary scheme? 
 
Answer 
The Kyrgyz Republic has adopted a Law No. 31 (as of 25 January 2009) "On features of insurance in plant-growing (agricultural) sector", where ba sed on regulations of this Law, state budget 
subsidizes 50% of insurance premium, as well as 50% of insurance fee that agricultural 
growers/companies pay to insurance companies. In effect, this law is not implemented, because 
no sub-laws have been adopted for its full-scale implementation. Considering all that, we might conclude that frameworks adopted under given Law are not operational, and due to that agricultural growers/farmers are currently not participating in this scheme. 
 
9. Could the Kyrgyz Republic please indicate which crops are eligible for crop insurance? 
 
Answer 
See answer provided above. 
 
PART IV – TRADE POLICIES BY SECTOR 
4.1 Agriculture 4.1.3 Domestic Measures  
Paragraph 4.9, Page 75 
The Secretariat reports that the state-owned Kyrg yz Agro Food Corporation (AFC) expenditures 
included the acquisition of imported and domestically produced wheat. Some domestically 
produced wheat has been acquired at above-market prices. 
 10. Could the Kyrgyz Republic elaborate on the policy of purchasing domestically produced wheat 
at the above-market prices, more specifically the volume of wheat that is purchased at the 
above-market prices and the price paid to farmers or grain traders? WT/TPR/M/288/Add.1 
 
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  QUESTIONS FROM THAILAND 
QUESTIONS REGARDING THE SECRETARIAT REPORT 
 3. TRADE POLICIES AND PRACTICES BY MEASURE 
 
Pages 38-39 (paragraph 3.40) "A comparison of bound and applied rates carried out using the 2012 applied rates, found that 
approximately 90 tariff lines were in excess of the WTO bindings. These mainly concerned fruits, 
juices, certain machinery, and auto parts. The Kyrgyz authorities were aware of these discrepancies and were making efforts to correct the situation, but it would take some time to pass the necessary legislation. A second set of discrepancies was found for certain specific or compound 
rates of duty when the ad valorem equivalents were  calculated from data received from the Kyrgyz 
authorities and compared to the bindings. Approximat ely half of these tariff lines, all in the alcohol 
sector, were found to exceed the bound rates, some by significant margins." 
 
Question 1 Could the Kyrgyz Republic kindly inform us an approximate period of time to resolve the situation 
mentioned above? 
 Answer 
Due to technical error/fault for certain commodity sub-positions, existing duty for customs fees 
exceeds bound tariff rates. Currently, Supreme Counc il of the Kyrgyz Republic reviews/considers 
draft law of the Kyrgyz Republic "On introducti on of changes and amendments into law of the 
Kyrgyz Republic – "On customs tariff of the Kyrgyz  Republic", which envisages tariff reduction to 
zero of customs duties for certain (some) commodity sub-positions (of the HS code 2009). 
Technical error/fault for other remaining commodity sub-positions will be eliminated during next review of existing customs' duty tariffs, which is envisaged in 2014. 
 
Page 60 (paragraph 3.107) "The Programme for the Development of the Manu facturing Sector for the Kyrgyz Republic for 
2013-15, includes a section on the development of financial institutions. In particular, there is a 
recognized need for two institutions to promote and increase industry and exports: a development 
bank or development fund to provide funds fo r long-term use; and an export-import credit 
institution to provide short-term loans to companies engaged in import-export operations." 
 
Question 2 Does the Kyrgyz Republic's Program for Development of the Manufacturing Sector, which aims to 
increase output and export of industrial products , also provide support to manufacture of foreign 
investors?  Answer 
With the view to develop processing and textile an d clothing industries in the Kyrgyz Republic the 
Government has approved the Programmes of Development of Processing Industries, Textile and Sewing Industries for 2013-2015 as well as the Action Plans on Implementation (on 
14 March 2013, No. 133 and on 6 March 2013, No. 123). 
 
These Action Plans contemplate the measures to simplify procedures for granting licenses and 
other permissions, development of draft law fo r Export and Industry Zones, development of 
proposals on new services to be provided for in vestors which will operate in Free Economic Zones 
and others. All these measures are aimed at securing favorable conditions to facilitate investments into processing industry, including sewing and textile sectors. 
 WT/TPR/M/288/Add.1 
 
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  QUESTIONS BY COLOMBIA 
INFORME DE LA SECRETARÍA WT/TPR/S/288 
 3 POLÍTICAS Y PRÁCTICAS COMERCIALES, POR MEDIDAS 
3.1 Medidas que afectan directamente a las importaciones 
3.1.10.5 Prescripciones sani tarias y fitosanitarias 
3.1.10.5.1 Marco general 
 
Los párrafo 3.88, 3.89 y 3.90 del Informe de la Secretaría señalan que… "3.88. Durante el período objeto de examen, las políticas en materia de MSF experimentaron frecuentes cambios de orientación y estructura, y no siguieron una estrategia clara. Según varios estudios e informes, no 
se cumplen las normas internacionalmente aceptadas, y quizá tampoco los Acuerdos de la OMC. 
Por ejemplo, durante mucho tiempo el Gobierno no ha tenido un servicio de información sobre la OMC ni tiene previsto crearlo pronto. 
 
3.89. La labor de los ministerios y los organismos públicos en cuestiones sanitarias y fitosanitarias ha sido contraproducente y se ha visto perturbada por cambios de organización y gestión. En 
2012, el Gobierno decidió establecer un Servicio único de inspección de la seguridad veterinaria, 
sanitaria y fitosanitaria del Estado, pero a principios  de 2013 revocó esa decisión en lo relativo a la 
inspección sanitaria. En febrero de 2013, el Ministerio de Salud volvió a asumir las funciones de seguridad sanitaria. El motivo de esos cambios fue que el Servicio único de inspección no contaba 
con el presupuesto, los recursos y el personal capacitado necesarios para realizar su labor. 
 3.90. Por otra parte, no hay una política clara con respecto a las cuestiones sanitarias y 
fitosanitarias. El Ministerio de Salud, el Ministerio de Agricultura y Recuperación de Tierras y el 
Servicio único de inspección tienen competencias en  cuestiones sanitarias y fitosanitarias, pero en 
algunos casos esas competencias se superponen y en otros hay lagunas. Además, aun cuando a 
nivel jurídico rige una disposición o estipulación, es posible que esa norma no se aplique en la 
práctica. Actualmente, ningún organismo público se ocupa de establecer políticas en materia de MSF, aunque esa función parece corresponder al  Ministerio de Agricultura y Recuperación de 
Tierras (gráfico 3.4)." 
 
En el contexto descrito por la Secretaría es evidente que Kirguisa no cumple actualmente con sus compromisos en materia MSF-OMC, lo cual tiene varias repercusiones en el comercio de productos 
agropecuarios y otros sensibles a nivel sanitario con ese país, toda vez que Kirguisa puede utilizar 
indiscriminadamente las medidas MSF para establecer barreras injustificadas al comercio.  
Answer 
Indeed, there were numerous changes in institutional structure of agriculture and SPS related 
areas. However, this was due, to some extent, to frequent changes in the government. This situation, in the meantime, did not result in restriction of trade in agriculture products on the basis 
of concerns regulated by the SPS Agreement. This is confirmed by the fact that import of 
agriculture products constantly grow.   
Please also note that the Government of the Ky rgyz Republic is deeply concerned with this 
inadequacy. The work to align Kyrgyz Republic  commitments under SPS Agreement is underway. 
Should there be a decision on SPS NNA and EP in coming months the Committee on SPS would be 
immediately notified on relevant authorities. 
 It should be noted that policy making in the area of agriculture are clearly stated in relevant normative acts of the government: health, sanitary control, hygiene matters fall under the 
responsibilities of the Ministry of Health; agriculture policy in general and chemization issues, 
certification of fertilizers are covered by the Minist ry of Agriculture while control and surveillance of 
veterinary and phytosanitary requirements are dealt with by the Veterinary and Phytosanitary 
Inspectorate under the Government of the Kyrgyz Republic.  WT/TPR/M/288/Add.1 
 
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 Por lo anterior, sería conveniente plantear al gobierno de Kirguisa que acciones está tomando para subsanar las deficiencias en materia institucional y de diseño de política que le permita honrar sus 
compromisos en materia MSF, en el corto plazo para garantizar transparencia y certidumbre al 
comercio de productos agrícolas y agroindustriales?  
Answer 
See answer above. WT/TPR/M/288/Add.1 
 
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  QUESTIONS BY TURKEY 
1 ECONOMIC ENVIRONMENT 
 The Secretariat Report underlines that "the Ky rgyz economy remains vulnerable to external 
shocks, including weather-related factors and fluctuations in global commodity prices".  
 Could Kyrgyz Republic explain how it plans to address these challenges in the medium to long 
term perspective? 
 Answer 
The economic policy contained in the National Strategy of Sustainable Development until 2017, 
approved by the Presidential Decree in January 2013 , has been formulated in view of external and 
internal pre-requisites and conditions for the country's development, the growth rates of the world economy and KR partner-countries. In the event of  increased inflation pressure caused by price 
shocks and if such shocks are continuous, the National Bank will strengthen the monetary policy. WT/TPR/M/288/Add.1 
 
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  QUESTIONS BY INDIA 
QUESTIONS REGARDING THE SECRETARIAT REPORT 
 Page 84 (Para 4.49) 
The authorities are drafting a new Banking Code, aimed at comprehensively addressing current 
weaknesses in the legal framework governing the financial sector.  
Question 1 
Kyrgyz is requested to provide the important pr ovisions of the new Banking Code and also to 
inform when this Code is ex pected to come in force. 
 
Answer 
The Banking Code of the Kyrgyz Republic, the "flags hip" of the banking legislation of the Republic, 
should identify the fundamentals of the Kyrgyz Republic's legislation on banks and banking 
activity, set a well-defined hierarchy of legal normative acts that form the Republic's banking 
legislation, and their relevance to the KR's civil legislation.  
The Banking Code has been designed to determine the fundamental principles for banking activity, 
rights, duties and responsibilities of all particip ants of the banking legal relations, both in the 
process of their mutual interaction and interaction with the external entities. The Code also sets a clear legal regulation of relationships, which emerge in the process of conduct and regulation of 
banking activity, streamlines the procedure for formation, issuance of license to banks and other 
entities that render banking services, and ensu res timely banking supervision and increases its 
efficiency, including on a consolidated basis.  
 
The basis for the draft Banking Code of the Kyrgyz Republic constitute Laws of the Kyrgyz Republic 
"On National Bank of the Kyrgyz Republic", "On Banks and Banking Activity in the Kyrgyz 
Republic", "On Transactions in Foreign Currency", "On Banking Secrecy", "On Conservation, 
Liquidation and Bankruptcy of Banks".  Laws of the Kyrgyz Republic "On Protection of  Bank Deposits", "On Combating Money Laundering 
and Financing of Terrorism", "On Payment System of the Kyrgyz Republic", "On Micro financing 
Organizations in the Kyrgyz Republic", "On Credit Unions" constitute the banking legislation as associated laws, but they yet remain to be fleshed-out laws regulating the specific legal relations. 
The Banking Code of the Kyrgyz Republic cont ains corresponding norms with these laws and 
interrelated thereto.  
Draft Banking Code includes concept-based revised norms of existing banking legislation matching 
the international best practice.   1) Provisions of draft Banking Code on ensuring and protection of the rights and legal interests 
 of banking products and services consumers ar e specified. An entire chapter in the draft 
 Banking Code (Chapter 2) covers these provisions. Pursuant to these provisions, banks and  Non-bank Financial and Credit Institutions shall disclose complete information to their clients 
 about banking services they provide, as well as the terms and conditions and respective 
 costs. General conditions for banking services should be published in mass media or posted  on official web-sites and placed on inform ational boards on a regular basis. The draft 
 Banking Code sets forth the requirements to contracting for rendering banking services, and 
 other requirements to protect rights and interests of clients.   2) As compared to the effective legislation of  the Kyrgyz Republic, the draft Banking Code 
 contains reinforced provisions on independency of the National Bank, thereby, its 
 transparency and accountability will be improved, in particular: 
  The National Bank shall organize and perform it s activity within its competence on its own, 
as determined by the Banking Code and the legislation; 
  The state government and administrative bodies shall be prohibited to interfere in the 
lawful activity of the National Bank; 
  The State guarantees independence of the National Bank; 
  It shall be prohibited to adopt legal normative acts of the Kyrgyz Republic, which 
contradict  the constitutional authority of the National Bank; WT/TPR/M/288/Add.1 
 
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    The National Bank, its Board's members and other NBKR's officials shall be prohibited to 
receive instructions and guidelines, which contradict the key goal and objectives of the National Bank's operation, from the state government and administrative bodies, public servants and other persons. 
 
The notion of "independent members of the National Bank Board" has been introduced. These members operate by participating in the meetings of the NBKR Board, evaluation and monitoring 
over the management process (including Human resources and wages issues), and implementation 
of decisions of the Board to ensure efficiency and correspondence of its internal control system, 
transparency, timeliness, risk mitigation and avoidi ng conflict of interests. Pursuant to the draft, 
the National Bank officials shall be protected in case  of lawful fulfilment of their official duties.  
 
The Draft provides for an independence of the Inte rnal Audit Service of the National Bank, creation 
of the Audit Committee at the National Bank, and a pproval of an external auditor of the National 
Bank by the Board for the three-year term. 
 The draft Banking Code regulates the payment syst em issues in the Kyrgyz Republic in more 
details. 
 3) Draft Banking Code contains certain changes to the management organization at the Bank,  determines the fiduciary duties of the Bank's officials. The draft Code also defines flawless 
 business reputation; in particular, it sets a list of the cases (conditions) when a person shall 
 be considered to be lost his/her reputation. 4) Additions related to banking secrecy provisio ns, in particular, the draft have expanded the 
 exhaustive list of persons (bodies), which may have an access to banking secrecy data to 
 carry out their duties. Requirements to requ est for submission of such data have been 
 tightened.  
5) Enforcement actions to be undertaken by the National Bank regarding the banks have been 
 changed. After recalling a license from a bank, its liquidation will start automatically. The  draft Banking Code stipulates that a bank's liquidation shall be performed only extra  judicially (following the international best pr actice). The decision of the National Bank to 
 revoke a license may not be recognized by a court as invalid. Such decision may be 
 appealed at the court during the procedure for recovery of loss (compensation), which has  been incurred to a bank due to illegal revocation of a license, based on grounds set forth by 
 the Banking Code.  
 Draft Banking Code has been approved by the Go vernment of the Kyrgyz Republic and submitted 
for consideration by the Jogorku Kenesh  of the Kyrgyz Republic (Parliament). Because the draft 
has been considered by the Jogorku Kenesh  that is granted an exclusive right for adoption of laws, 
the National Bank of the Kyrgyz Republic may not specify neither precise, nor approximate date of adoption of the draft Banking Code.  
It should be noted that the Law of the Kyrgyz Repu blic "On Effectuation of the Banking Code of the 
Kyrgyz Republic" stipulates that the draft Banking Code of the Kyrgyz Republic shall enter into force after six months from the date of its official publication. 
 
Page 85 (Para 4.56) The law on stock markets was amended in 2009, wi th a view to strengthening governance and 
transparency and ensuring compliance with the pr inciples of the International Organization of 
Securities Commissions (IOSCO).  Question 2 
Kyrgyz is requested to provide a summary of th e amendments made to the law on stock markets 
in 2009.  
Answer 
The Law of the KR "On Securities Market" dated 24 July 2009, #251, was amended and added in 
2013 as follows: 
 WT/TPR/M/288/Add.1 
 
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  Regarding Article 8   
The functions of the authorized government body on securities market regulation shall be added as follows: 
  performs licensing of professional activity on the securities market; 
  suspends, revokes (withdraws) the above listed licenses in case of violation of the 
requirements set by the legislation on licensing and securities market; 
  maintains the register of professional securities market participants. 
 
Regarding Article 9   
The rights of the authorized government body on securities market regulation shall be added as 
follows: 
  issues, suspends, revokes (withdraws) licences for carrying out the professional activity 
with the securities under the legislation on licensing and securities market; 
  Para 19 shall be added as follows: after the word "registration" the wording "public offering 
of securities" is added (para 19: "charge a fee for registration of public offering of the 
private securities issue and other services re ndered pursuant to the legislation of the 
Kyrgyz Republic"). 
  Regarding Article 13"Maintaining the Uniform St ate Register of Securities in the Kyrgyz 
Republic" to add part 4 "Register of Securities shall contain the following data" as follows: 
  "state registration number of securities issue; 
  date of beginning and end of placement of securities"; 
  to add Part 6 "Register of Public offering of  Securities shall contain the following data" as 
follows: 
  "state registration number of securities issue; 
  date of beginning and end of placement of securities". 
 Regarding Article 15   
"Public Offering of Securities" to add part 2-1 as follows:  
 "2-1. It shall be prohibited during securities issue to offer securities to the public, unless an issuer has registered the conditions for the public offering and the prospectus"; 
To add part 4-1 as follows: 
 "4-1. During the public issue of securities, provided that the conditions for public offering 
and prospectus of such securities have been regi stered, they may be offered to the public within 
the timeframe set by the conditions of public offe ring and prospectus, but not exceeding one  year 
from the date of the state registration of the co nditions for public offering of securities  and 
prospectus".  
To add Article 16-1 of the Law as follows: 
"Article 16-1. State Registration of Conditions fo r Public Offering of Securities and Prospectus. 
1. For the purpose of the state registration of co nditions for public offering of securities and 
prospectus, the following documents shall be delivere d to the authorized body on securities market 
regulation: 
  an application; 
  conditions for public offering of securities meeting the requirements of the legislation on 
securities market; 
  a prospectus meeting the requirements of the legislation on securities market; 
  a copy of document that confirms registration of an issuer as a legal entity (if an issuer 
has not submitted these documents earlier); 
  a copy of charter of a legal entity, includin g amendment and additions thereto (if an issuer 
has not submitted these documents earlier); 
  a copy of document, which confirms the decision made by an issuer on public offering of 
securities; 
  a document that confirms payment of commission fee for registration of conditions for 
public offering of securities and prospectus. 
2. The authorized body on securities market regulation shall make a decision on the state 
registration of conditions for public offering of  securities and prospectus within 15 working days 
from the date of submission to the authoriz ed body on securities market regulation." 
 
To add Article 17-1 of the Law as follows: "Article 17-1.Refusalforstateregistrationofconditionsforpublicoffering of securities and prospectus 1. The authorized body on securities market regulation shall refuse from the state registration 
of conditions for public offering of securities and prospectus in the following cases: WT/TPR/M/288/Add.1 
 
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  - Public offering of securities by an issuer contradicts the requirements of the legislation on 
securities market; - Incompliance in data contained in the documents submitted for the state registration of conditions for public offering of securities and pr ospectus with the requirements of the legislation 
on securities market; 
- Inaccurate data is found in the documents. 2. If the state registration of conditions for public  offering of securities and prospectus is refused, 
the authorized body on securities market regulation shall notify an applicant thereof in writing, no 
later than five working days from the date of making such decision, including the reasons for refusal and justification thereto.  3. Securities which have been subjected to refusa l from the state registration of conditions for 
public offering of securities and prospectus may not be offered to public". 
 To delete wording "or substituting prospectus" in Article 22 "Changes and Additions to the 
Prospectus In the Process of Issuance of Securities" . 
 To reword Article 23 "Suspension of Public O ffering of Securities and Annulment of the 
State Registration of Conditions for Public Offering and Prospectus"  as follows: 
"Article 23. Suspension of Public Offering of Secu rities and Annulment of the State Registration of 
Conditions for Public Of fering and Prospectus"; 
 To add part 1 "Authorized Government Body  on Regulation of Securities Market may 
suspend the public offering of securities for th e period not exceeding one month in the following 
cases" with paragraph 5 as follows: "Upon completion of the suspension period in case the above listed violations have not been 
rectified, the authorized government body on regulation of securities market shall consider the 
public offering of securities to be invalid and cancels the conditions for the state registration of the public offering and prospectus". 
 
 To replace wording "authorized government body on securities market regulation " in part 6 
of Article 26 with the wording "the Government of the Kyrgyz Republic" ("Restrictions set forth in 
parts from 1 through 3 of this Article do not cover public offering of bonds and other securities, 
which list is determined by the legal normative acts of the Kyrgyz Republic. The procedure for 
depositing and accounting of funds gained from th e sale of bonds shall be set by the Government 
of the Kyrgyz Republic"). 
 
 Paragraph one of part 3 of Article 27  after word "failed" to add the wording "and cancel 
the state registration of conditions for public offering and prospectus" ("Authorized government 
body on regulation of securities market within 10 working days from the su bmission of the report 
on results of public offering of securities, shall either make a decision to register the report on results of public offering of securities, or recognize this public offering of securities to be failed and 
cancel the state registration of conditions for public offering and prospectus, etc.". 
 WT/TPR/M/288/Add.1 
 
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  ADDITIONAL OUTSTANDING ANSWERS 
Answers from different ministries and agen cies of the Republic of Kyrgyzstan (2nd TPR). 
 State Inspectorate on veterinary and phytosanitary security 
 
State Inspectorate on veterinary and phytosanitary security under the Government of the Kyrgyz Republic, based on your request, provides following: 
 
Questions from China  Question #7  
Agreement of the Customs Union on veterinary – sanitary measures and quarantine of plants and 
other legislative acts of the Customs Union were adopted in accordance with rules and principles of the Sanitary Code on terrestrial and the Sanitary Code on aquatic animals set by the International 
Organization on Animal Health and International Plant Protection Convention. 
 Question #12 
In regards of the implementation of road map cons idering accession of the Kyrgyz Republic to the 
Customs Union (CU), our agency is responsible for implementation of measures related to veterinary and quarantine of plants, as well as automated information systems linked to veterinary and quarantine of plants. 
 
Questions from the USA  
2.4 Trade agreements and arrangements 
2.4.2 Regional, bilateral and preferential trade  
This article sets-up timeframe, required for adop tion of legislative framework of the Eurasian 
Economic community in area of veterinary and quar antine of plants at the moment of accession of 
the Kyrgyz Republic to the Customs Union.   
3.1.10 Standard and other technical requirements 
 Considering that Russian Federation is the WTO me mber, and that Kazakhstan and the Republic of 
Belarus are to become WTO members, CU agreement on veterinary and sanitary measures and 
quarantine of plants, as well as other legislative acts of the CU were adopted in accordance with 
rules and principles of the Sanitary Code on terre strial and the Sanitary Code on aquatic animals 
set by the International Organization on Animal Health and IPPC, as well as on basis of CIS 
agreement on cooperation in veterinary area and TBT and SPS agreement of WTO.  Question from Canada 
 
State Agency on anti-monopoly regulations   
At this moment, neither the Kyrgyz Republic nor the Agency for Competition Policy don't regulate 
wheat (grain) prices, in other words our government doesn't envisage targeted prices for grain products. Market prices on grain are established based on supply & demand.  
As for competitive markets, including grain market, government doesn't intervene in following 
aspects: price, production and sale. The main task on competitive markets is to avoid unfair competition, agree actions focused on limitation of competition aimed to keep unjustified high 
market prices. 
H o w e v e r ,  i n  a c c o r d a n c e  w i t h  p r o v i s i o n  o f  o u r  a g e n c y  ( a d o p t e d  b y  t h e  G o v e r n m e n t  o f  K y r g y z  
Republic), in some exceptional cases Government of the Kyrgyz Republic establishes prices for grain (wheat) (for instance, grain (wheat) procured from local farmers and agriculture producers 
for the sake of national reserve).  
 State Customs Service under the Gove rnment of the Kyrgyz Republic 
State Customs Service under the Government of th e Kyrgyz Republic, upon revision of questions 
received from Pakistan and Canada, kindly forwards data on import of goods under group #22 "Alcoholic and soft drinks and vinegar", import ed from Canada during 2010-2012. In addition to 
that, be kindly informed, about no impo rt Pakistan of aforementioned goods. WT/TPR/M/288/Add.1 
 
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  See attachment: Import volume of goods under group #22 (Canada origin). 
(Thousands) 
Description 2010 2011 2012 
 Tons In $  In  
KGS  Tons In $  In  
KGS  Tons In $  In 
KGS  
Water: Including natural or 
artificially sparkling water, 
with no sugar or other 
sweetening additives or 
other flavors: snow and ice 0.0 4.51 204.41 0.00 0.73 32.54    
Ethyl Alcohol Undenatured, with Alcohol concentration of less than 80 % (volume)Alcohol tinctures, Liqueurs and other spirits 0.48 0.77 36.02 3.86 11.31 525.94 1.43 11.63 547.75 
 
The amount of accumulated/collected customs duti es, during import of good (group 22) [Canada 
origin] 
  Type of fee (in thousands KGS) 
  Duty Excise VAT Total 
2208 Ethyl Alcohol Undenatured, with Al cohol concentration of less than  80 % (volume)Alcohol tinctures, 
Liqueurs and other spirits 
 2010 6.1 5.04 3.17 14.33 
 2011 47 60.5 34.15 141.35 
 2012 0.4 0.25 0.57 1.22 
 WT/TPR/M/288/Add.1 
 
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  FOLLOW-UP QUESTIONS FROM THE UNITED STATES 
There appear to be several advance written questions for which we have not yet received an 
answer, including related to standards and other te chnical requirements, and intellectual property 
rights.  We remain interested in written response s to these questions, and have included them as 
follows: 
 2.5 Trade Disputes and Consultations  
 
Page 26, paragraph 2.40 and Table 2.3 The Secretariat report notes that the Republic of Kyrgyz adopted a law on 15 July 2012 establishing a visa-free regime for citizens of some countries for 60 days. The law provides visa-
free travel for certain persons for 60 days. What persons are allowed such visas? What will happen 
after 60 days or expiration of visas?  
3.1.10 Standards and other technical requirements  
 Page 50, paragraph 3.87  
Please elaborate on what differences exist between  the Kyrgyz Republic's certification procedures 
and those of the customs union.   Page 52, paragraph 3.94  
The Secretariat report indicates that upon joining the Customs Union the Kyrgyz Republic would 
directly apply the customs union's technical regulations on SPS matters and that work is going on to examine the many changes that are necessary to  make in existing Kyrg yz laws to make them 
conform with the customs union requirements.  
-  Considering that WTO Members' recent experiences in the accessions of both the Russian 
Federation and Kazakhstan show that ensuring that the customs union rules on SPS are 
WTO compliant is a very significant task, please provide an explanation of how the Kyrgyz 
Republic will set up a process to consult with WTO Members from outside of the customs union to ensure that its adoption of new laws in the SPS area and the implementation of those laws and regulations is in line with the SPS agreement.  
 
Page 51, paragraph 3.88  
When will the Kyrgyz Republic create an SPS Inquiry Point, which is a key requirement usually 
completed prior to WTO accession? Please provide further details outlining the Kyrgyz Republic's 
plans to create such an institution as prescribed by the SPS agreement.  
3.3.4 Intellectual property rights  
 Page 65, paragraph 3.136  
The Secretariat report highlights a number of laws that have been adopted to improve legal 
protection for intellectual property.  
-  As indicated in footnote 69, please confirm that the law of 24 January 2013 has been 
implemented.  
-  As indicated in footnote 70, please confirm that the law of 5 August 2008, No. 197, and 
the law of 27 June 2011, No. 58, have been implemented. 
-  This paragraph also refers to the Law of the Kyrgyz Republic "On introducing changes and 
additions to the Law of the Kyrgyz Republic  Patent Law" of 26 December 2012, "which 
provides for additional rights to trademark owners, in particular, the pledge right and post-
use right." Please explain how the Patent Law "provides for additional rights to trademark owners." Please also explain "the pledge right" and "post-use right."  
 
Pages 66-67, paragraphs 3.139 and 3.143  
The Secretariat's Report states that "Kyrgyzpaten t is engaged in drafting and improving the legal 
framework on IP protection" and that "[t]he plan of activities to implement the objectives of the national strategy for 2012-13 approved procedures  to improve the system of IP protection, in 
particular, copyrights and related rights, and decrease the amount of counterfeit goods." We would 
appreciate further details on the implementation of this 2012-2013 National Strategy (which was adopted in 2011). Specifically, with respect to copyright, we are interested in knowing more about 
any additional legislative or regulatory efforts, as well as enforcement activities (which we realize 
are taken by other agencies besides Kyrgyzpatent),  taken regarding online copyright piracy issues. WT/TPR/M/288/Add.1 
 
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  NEW FOLLOW UP QUESTIONS 
 2.4 Trade Agreements and Arrangements  
2.4.2 Regional, bilateral, and preferential trade  
 
Page 24, para 2.30  Please provide specific details about the proposed annual staging for the Kyrgyz Republic's 
adoption of the Customs Union CXT. Please provid e specific details about any proposed applied or 
bound tariff rate deviations from the CU CXT.2  3.1.6 Import prohibitions, restrictions and licensing 
 
Page 45, paragraph 3.62 In its response, the Kyrgyz Republic reported th e number of licenses issued by the Ministry of 
Economy in 2007-2012.  Can the Kyrgyz Republic provide information on how many licenses were 
actually requested during these same years?   
3.1.4. Tariffs 
 Page 38-39, paragraph 3.40-41 We appreciate the comment that the Kyrgyz Republic  is seeking to fix the situation with regard to 
tariff rates that are being applied above the Kyrgyz Republic's bound rates. We remain concerned 
about this issue, especially in light of the use of specific import price levels that are used in combination with ad valorem duties, creating a situation whereby some trade may be subject to 
higher rates than bound rates.  This therefore raises questions about whether some trade, in the 
context of GATT XXIV:6, was unable to benefit from the Kyrgyz Republic's negotiated bound rates. 
How will this be addressed in subsequent GATT XXIV:6 negotiations? 
 
REPLIES  2.4 Trade Arrangements and Agreements  
2.4.2 Regional, bilateral and preferential trade  
 Page 24, paragraph 2.30 
 
Answer 
At present, the Kyrgyz authorities work with the Eurasian Economic Commission on the draft Road 
Map to accede the Customs Union. It is noted th at tariff modifications are not planned at this 
stage.  Page 45, paragraph 3.62  
 
Answer 
There were no recorded rejections for issue of licenses for the period under the review, i.e. the 
number of issued licenses corresponds with applications submitted. 
 3.1.4. Tariffs 
 
Page 38-39, paragraphs 3.40-41  
 Answer 
The Government of the Kyrgyz Republic will undertake joint activities with Customs Union's Member States to seek for a solution in order to avoid potential problems which might happen due to modification of commitments because of accession to the Customs Union, namely those 
commitments that fall under provisions of Articles XXIV and XXVIII of the General Agreement on 
Tariffs and Trade.  
__________