WORLD TRADE  
ORGANIZATION  RESTRICTED 
WT/ACC/LAO/41 
26 July 2012 
 (12-4126) 
Working Party on the 
Accession of Lao PDR Original:   English 
 
 
 
ACCESSION OF THE LAO PDR 
 
Additional Questions and Replies 
  
 
 The following submission, dated 26 July 2012, is being circulated at the request of the Delegation of the Lao People's Democratic Republic (Lao PDR). 
 
_______________ 
 
  WT/ACC/LAO/41 
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  TABLE OF CONTENTS 
II.   ECONOMIC POLICIES .......................................................................................................... 1  
-  Investment Regime.............................................................................................................. ...... 1 
-  State Ownership and Privatization ......................................................................................... 2  
III. FRAMEWORK FOR MAKING AND ENFORCING POLICIES ...................................... 3  
IV.  POLICIES AFFECTING TRADE IN GOODS ..................................................................... 4  
-  Trading Rights ................................................................................................................ .......... 4 
A.  IMPORT REGULATIONS ...................................................................................................... 4  
-  Quantitative import restrictions, includi ng prohibitions, quotas and licensing 
systems ....................................................................................................................... ................ 4  
-  Customs Valuation ............................................................................................................. ....... 7 
-  Anti-dumping, countervailing duties, safeguard regimes ................................................... 11  
B.  EXPORT REGULATIONS ................................................................................................... 12  
-  Customs tariffs, fees and charges for serv ices rendered, application of internal 
taxes to exports .............................................................................................................. .......... 12 
-  Export restri ctions ........................................................................................................... ....... 12 
C.  INTERNAL POLICIES A FFECTING FOREIGN TRADE IN GOODS ......................... 12  
-  Industrial policy, including subsidies .................................................................................... 12  
-  Sanitary and Phytosanitary Measures .................................................................................. 14  
-  Free Zones, special economic areas ....................................................................................... 18  
-  Transit ....................................................................................................................... ............... 18  
-  Agricultural Policies ......................................................................................................... ...... 19 
V.  TRADE-RELATED INTELLECTUAL  PROPERTY REGIME ....................................... 19  
VI.  POLICIES AFFECTING TRADE IN SERVICES .............................................................. 19  
VII. TRANSPARENCY ................................................................................................................. 21 
  WT/ACC/LAO/41 
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 II. ECONOMIC POLICIES 
- Investment Regime Question 1  On WT/ACC/LAO/36:  Lao PDR explained that financial services were placed on Lao's 
negative list because of threat to national security.  We got clarifications from Lao PDR that 
financial services were put on the negative list beca use the sector is considered as sensitive and 
for reasons linked to financial stability.  We und erstand that prior registration, approval from 
the Ministry of finance is required.  The decisi on by the Ministry of finance needs to be 
motivated and, if registration is refused, the de cision may be appealed.  Could Lao PDR confirm 
that this understanding is correct?  
Answer: 
Lao PDR confirms that this understanding is correct .  Article 14 of the Enterprise Law requires that 
the refusal of enterprise registration (applicable to all types of enterprises, including financial 
services-related enterprises) must be made to the a pplicant in writing with the reason of such refusal.  
Any unsatisfied applicant may appeal against such  refusal on the basis of the 2005 Petition Handling 
Law.   
Question 2 
We reiterate the fact that Chambers of Commerce are not really investors, they are associations 
of professionals and businessmen, hence we do not see the rationale of them being regulated so strictly (authorisation requirement).  We call on  Lao PDR to consider lifting those restrictions 
in the future and allow chambers of commerce to establish freely.  
Answer: 
In addition to the Regulation "On the Esta blishment and Activities of the Representative 
Organizations of Foreign Business Entities in Lao PDR" of 21 June 2005 pr oviding foreign business 
entities with the right to establish their own representative organizations, Decree No. 115/PM 
"On Associations", dated 29 Apr il 2009, provides for the creation of  associations in Lao PDR.   
Alike chambers of commerce, the creation of an y association requires an authorization from the 
relevant authority.  Prior to the adoption of the a bove-mentioned legislation, Lao PDR's legislation did 
not provide for the creation of chambers of commer ce and associations.  Such change is part of the 
willingness of Lao PDR to gradually upgrade its polic y towards liberalization.  As per the previous 
response in document WT/ACC/LAO/36, currently ther e are many of such organizations representing 
businesses in Lao PDR such as from China, the EU, Japan, South Korea and Chinese Taipei.  
Lao PDR also welcomes the sharing of experience of WTO Members on the creation of chambers and 
associations.  
Question 3  
On page 9, paragraph 25 of WT/ACC/SPEC/LAO/5/Re v.1:  We note that in Annex 1 to Decree 
No. 119/PM, the promoted activities under the ne w investment regime in clude exportation of 
beef cattle, pigs, sheep, goats and frogs.  A dditionally, under Decree 443/PM "On Special 
Economic Zones", "production for export" is am ong the promoted investments.  These specific WT/ACC/LAO/41 
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 activities under these Decrees should be reflected in this section of the draft Working Party 
Report.  
Answer: 
Lao PDR agrees to reflect these activities under Decree No. 119/PM and Decree No. 443/PM in the 
relevant sections of the draft Working Party Report.  
- State Ownership and Privatization  
Question 4  We appreciate Lao PDR's suggested commitment text provided in reply to Question 4 of 
WT/ACC/LAO/36.  In working with Lao PDR's proposed text, we request the following edits:   
xx. The representative of Lao PDR confirmed that from the date of accession 
Lao PDR would ensure that all State-owned, State-controlled, and other enterprises 
with special or exclusive privileges would make purchases or sales either involving imports or exports, which were not intended for immediate or ultimate consumption in governmental use, and not otherwise for resale  or use in the productions of goods for 
sale, solely in accordance with commercial  considerations, including price, quality, 
availability, marketability, transportation a nd other conditions of purchase or sale, and 
would afford the enterprises of other WT O Members an adequate opportunity in 
accordance with customary business practice  to compete for participation in such 
purchases or sales.  In addition, Lao PDR would not influence, directly or indirectly, 
commercial decisions on the part of State-ow ned, State controlled, and other enterprises 
with special or exclusive privileges, including on the quantity, value or country of origin 
of any goods purchased or sold, except in a manner consistent with the 
WTO Agreement.  In addition, Lao PDR would not prevent any enterprise under its 
jurisdiction from acting in accordance with the principles of subparagraphs (a) and (b) of paragraph 1 of Article XVII of the GATT 1994.  The representative of Lao PDR confirmed that upon accession Lao PDR al so would notify WTO Members of the 
products which are imported into or export ed from its territory by all State-owned, 
State-controlled, and other enterprises with sp ecial or exclusive privileges in accordance 
with Article XVII of the GATT 1994 and the Understanding on that Article.  The Working Party took note of these commitments. 
In addition to the general clean-up of deleting  "an" and inserting "WTO Members", we request 
that the above additional sentence be included in  this paragraph.  Inclusion of this sentence 
fulfils the obligations of Article XVII:1(b) of the GATT 1994, which provides that purchases 
and sales must be made solely on the ba sis of commercial considerations, and the 
Understanding on the Interpretation of Article XVII of the GATT 1994, which makes clear that 
GATT 1994 provisions apply to STEs.  
Answer: 
Lao PDR accepts the proposed commitment language  with the deletion of the second "In addition".  
The paragraph should read:   
xx. The representative of Lao PDR confirme d that from the date of accession Lao PDR 
would ensure that all State-owned, State-cont rolled, and other enterprises with special or 
exclusive privileges would make purchases or sales  either involving imports or exports, which 
were not intended for immediate or ultimate consumption in governmental use, and not  WT/ACC/LAO/41 
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 otherwise for resale or use in the productions of goods for sale, solely in accordance with 
commercial considerations, including price, qua lity, availability, marketability, transportation 
and other conditions of purchase or sale, a nd would afford the enterprises of other 
WTO Members an adequate opportunity in acco rdance with customary business practice to 
compete for participation in such purchases or sales.  In addition, Lao PDR would not 
influence, directly or indirectly, commercial decisions on the part of State-owned, 
State-controlled, and other enterprises with speci al or exclusive privileges, including on the 
quantity, value or country of origin of any goods purchased or sold, except in a manner consistent with the WTO Agreement.  In add ition, Lao PDR would not prevent any enterprise 
under its jurisdiction from acting in accordance w ith the principles of subparagraphs (a) and 
(b) of paragraph 1 of Article XVII of th e GATT 1994.  The representative of Lao PDR 
confirmed that upon accession Lao PDR also would notify WTO Members of the products which are imported into or expor ted from its territory by all State-owned, State-controlled, 
and other enterprises with special or exclusive privileges in accordance with Article XVII of 
the GATT 1994 and the Understanding on that Article .  The Working Party took note of these 
commitments. 
III. FRAMEWORK FOR MAKING AND ENFORCING POLICIES 
Question 5  Paragraph 54 of the draft Working Party Repor t:  We can agree with the text and would prefer 
to keep the reference that central authorit ies would investigate the claims "promptly". 
Answer: 
Lao PDR proposes to remove the word 'promptly' a nd the brackets from this section.  Lao PDR also 
proposes to separate the paragraph into pa ragraphs 54 and 55, which should read:  
54. A Member asked how the central authorities might address complaints by importers 
or exporters of sub-central entities violating WTO provisions. 
55. Asked how the central authorities might a ddress complaints by importers or exporters 
of sub central entities violating WTO provisi ons, The representative of Lao PDR replied 
confirmed that, from the date of accession, La o PDR would apply WTO provisions, including 
Lao PDR's Protocol of Accession, uniformly throughout the entire customs territory, including its special economic zones, and othe r areas where special regimes for tariffs, taxes 
and regulations were established.  Article 4 of the Law No. 07/NA "On the Handling of 
Petition" of 9 November 2005 provided the legal redress to companies facing an apparent 
breach of WTO obligations by sub-central aut horities.  He further confirmed that when 
informed of a situation where WTO provisions were allegedly not being applied or were 
applied in a non-uniform manner, central authoriti es would investigate such claims and, if the 
charges were found to be valid, act to enfo rce WTO provisions without requiring affected 
parties to petition through the courts.  The Working Party took note of these commitments. WT/ACC/LAO/41 
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 IV. POLICIES AFFECTING TRADE IN GOODS 
- Trading Rights Note: A separate document containing Lao PDR's replies to Members' questions in the area of 
 Trading Rights will be issued in the week of 30 July.   
A. IMPORT REGULATIONS 
- Quantitative import restrictions, including  prohibitions, quotas and licensing systems  
Question 6  In document WT/ACC/LAO/25/Add.1, Lao PDR noted that "Lao PDR is monitoring for 
statistical purpose, the import of goods subject to import licensing (regarding importer, exporting country and indicative volume of im ports).  The information obtained via import 
licensing system of those goods helps relevant ministries to establish the import statistics of 
goods under their responsibilities.  The relevant mi nistries include such statistics in their 
periodic report to the Government for considera tion in its socio-economic development plan". 
We understand that Lao PDR is monitoring for the purpose of tracking payment of duties. 
Please confirm that this is correct and that th e purpose is not for trade balancing or quotas.  
Please clarify what factors are used to determin e whether a product is subject to an automatic 
import licence for this purpose.  Why w ere the products in the list chosen?   
Answer: 
Lao PDR confirms that the monitoring is for the purpose of tracking payment of duties and that the 
purpose is not for trade balancing or quotas.  
Lao PDR has 19 international customs check-points and 91 local check-points.  The statistic 
collection system cannot provide real time statis tics from importation point to central Government.  
The importation statistics are only summarized and s ubmitted to central Government intermittently.  
There are some gaps or differences between the statistics collected from provinces and the number 
allowed from the central level.  One key factor is be cause the system applied in statistic collection is 
not fully harmonized and well impl emented.  So far, there are only three customs check-points 
(Vientiane, Savannakhet and Champa sack) that have recently installed the ASYCUDA system, which 
could provide real-time data collection.  Other customs check-points still have limited facilities in 
terms of computer systems to collect and provide st atistic report to the cent ral government.  Lao PDR 
still relies mostly on the record of licenses issued to obtain prompt statistics. 
Due to those above-mentioned reasons, Lao PDR still needs to maintain the monitoring system in 
order to ensure the liability and accuracy of the imported products.  
Question 7  Lao PDR's reply to Question 9 and paragra ph 77 of the Draft Working Party Report 
(WT/ACC/SPEC/LAO/5/Rev.1) explains that "T he information collected helped relevant 
ministries to establish the indicative import statis tics of goods under their responsibilities, which 
would be considered by the Government in develo ping its socio-economic development plan".   
Is Lao PDR monitoring for the purpose of establishi ng a quota or trade balancing measure?    WT/ACC/LAO/41 
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 Answer: 
Lao PDR has no intention of monitoring for the pu rposes of establishing either a quota or a trade 
balancing measure.  
Question 8  
With respect to paragraph 79, page 28 (WT/ ACC/SPEC/LAO/5/Rev.1):  Please provide an 
update regarding the regulations containing the standard criteria. 
The first line of Table 10 in the draft Working Party Report states that "At present the 
governing regulation is being drafted and expected to be issued by March 2011."   
- What is the status of the regulation?  Wh en will Lao PDR share the regulation with the 
Working Party?   
- How does Laos define "Chemicals of high-l evel danger", also referred to in Table 10?  
Answer: 
To date, the Ministry of Industry and Commerc e and other agencies responsible for importing 
licensing have issued all regulations governing the products subject to automatic and non-automatic 
licenses, particularly the detailed criteria and proce dures to obtain licence and import.  All regulations 
have been shared with Members of the Working Pa rty.  The most recently submitted regulations are 
pertaining to gold bar; wood cutting machine; pub lications; industrial expl osives; gun for sportive 
activities. 
Regarding the definition of "Chemicals of high-l evel danger", Lao PDR's regulations on the matter 
define "Chemicals of high-level danger" according to the definition and lists provided in many 
international treaties and initiativ es related to chemical products, such as the Chemical Weapons 
Convention (Organization for the Prohibition of Ch emical Weapons), the Montreal Protocol on 
Substances that Deplete the Ozone Layer, the B asel Convention on the Control of Transboundary 
Movement of Hazardous Wastes and their Disposal , the Stockholm Conventio n on Persistent Organic 
Pollutants, etc.  Lao PDR therefore follows inte rnational definitions of "chemicals of high-level 
danger". 
Question 9 In document WT/ACC/LAO/25/Add.1, Lao PDR noted that "It is theoretically possible to 
immediately approve an automatic import licence.  However, due to insufficient personnel, it is 
most often not administratively feasible for L ao authorities to issue a licence immediately".   
- If automatic licenses are not granted auto matically, why does Lao PDR use this method 
to collect statistics? 
- Why cannot Lao PDR collect the statistics from the customs declaration?    
Answer: 
In relation to the licence granting, Lao PDR reitera tes that the automatic licence is automatically 
granted if the submitted application is duly comp lete, as per Article 6 of the Decree on Import 
Licensing.  However, the licensing system in Lao PD R is still done on a paper base.  In some cases 
before issuing the licence, licensing authorities ne ed to cross-check the validity of the provided 
information with provincial offices where there are still lacking facilities.  Therefore, it is still relevant WT/ACC/LAO/41 
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 for Lao PDR to use this automatic licence as one of the methods to collect import data of the product 
listed under the automatic licensing system. 
So far, there are only three customs check-points (Vientiane, Savannakhet and Champasack) that have 
installed the ASYCUDA system, and only recently, that could provide real-time data collection. 
However, other customs check-points still have limite d facilities in terms of computerized systems to 
collect and provide statistic report to the central G overnment.  Therefore, Lao PDR still relies mostly 
on the record from the licenses issued  to obtain prompt statistics. 
Question 10  
In document WT/ACC/LAO/25/Add.1, Lao PDR noted that "Specific requirements are 
provided in each specific regulation which de pends on the types of goods.  Regulations 
containing specific requirements have been submitted to the WTO Secretariat 
(see WT/ACC/LAO/30).  They will be also published on the Trade Portal of Lao PDR which is expected to be launched in June 2012".  However, the regulations contained in 
WT/ACC/LAO/30 apply to cars, gas and petroleu m imports.  These goods are contained in the 
list of products that Lao PDR says require au tomatic import licenses (Table 12 in draft 
Working Party Report).   
We request that Lao PDR please explain how these licenses are "automatic" within the meaning 
of the WTO Import Licensing Agree ment when each good is subjected to specific regulations in 
order to be allowed to be imported. 
Answer: 
The term "specific requirements" refers to the re gulations issued by different authorities who are 
responsible for granting the automatic import licence of such products.  The regulations issued by 
different authorities apply therefore to differen ce products, but establish the same requirements.  
There are actually no specific - as in individual a nd different - requirements for each product.   
The requirements to apply for automatic import licenses for cars, gas and petroleum imports are 
established respectively in:  the Decision No. 75/MOIC.DIMEX "On the Procedures for Car Import 
and Distribution in the Lao PDR" of 13 Ja nuary 2012; the Decision No. 238/MOIC.DIMEX 
"On Procedure for Import and Distribution of Gas in the Lao PDR" of 2 February 2012; and the 
Decision No. 237/MOIC.DIMEX "On Procedure for Import and Distribution of Petroleum in the Lao PDR" of 2 February 2012.  The three Decisions follow the same automatic import licensing procedures: 
1. Application for relevant import licence; 
2. Copy of the following:  
- Valid Enterprise Registration Certificat e or Concession Registration Certificate 
(for enterprises located in the Lao PDR); or 
- Valid Enterprise Registration Certificate i ssued by the competent authority of the 
relevant country (for enterprises located outside the Lao PDR).   WT/ACC/LAO/41 
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 Question 11  
We request that paragraph 80 of the Draft Work ing Party Report (as circulated in document: 
WT/ACC/SPEC/LAO/5/Rev.1) be updated as follows: 
xx. The representative of Lao PDR confir med that from the date of accession, 
Lao PDR would eliminate and not introdu ce, re-introduce or apply quantitative 
restrictions on import or other non-ta riff measures such as licensing, quotas, 
prohibitions, bans and other restrictions having equivalent effect that could not be 
justified under the provisions of the WTO Agreements.  If balance-of-payment measures were necessary, Lao PDR would impose them in a manner consistent with the relevant WTO provisions, including Article XII and Article XVIII of the GATT 1994 and the 
Understanding on Balance-of-Payments Provisions of the GATT 1994.  He further 
confirmed that any authority permitting the Government of Lao PDR to suspend imports or apply licensing requirements that could suspend, ban, or otherwise restrict 
the quantity of trade would be applied from the date of accession in conformity with the 
WTO Agreement.  The Working Party took note of these commitments. 
Answer: 
Lao PDR accepts the proposed commitment language.  
- Customs Valuation  
Question 12 Paragraph 86 of the draft Working Party Report (WT/ACC/SPEC/LAO/5/Rev.1) and 
Question 13 of WT/ACC/LAO/36:  We appreciate d the confirmation by Lao PDR that the 
reference prices for vehicles would be eliminat ed by 31 December 2012 in accordance with the 
relevant regulation of August 2011.  Could Lao PDR provide an update regarding the latest steps taken towards this elimination?   
Answer: 
The reference prices for vehicles will be eliminated automatically by 31 December 2012 by the effect 
of Regulation No. 2326/CD of 9 August 2011.  In addition, Lao PDR has issued Instruction 
No. 1537/MoF of 4 June 2012 and Instruction No. 11589/CD of 24 July 2012 to implement the CVA 
with respect to customs valuation, replaci ng Instruction No. 1398/MoF of 16 June 2010 and 
Instruction No. 2401/CD of 29 September 2010 respectively.  Lao PDR confirms that, as per the updated CVA Action Plan, the CVA will be fully implemented upon WTO accession.  
Question 13  
Paragraph 13 (Explanation to Article 13) of the Draft Instruction of the Director General of the 
Customs Department on Additional Explanatio n of Customs Valuation for Imported Goods 
refers to the Interpretative Note to Article 11 (appeals) of the CVA.  However, only the first 
paragraph of the Interpretative Note to Article 11 of the CVA is implemented by Laos.   
- Please identify where paragraphs 2 and 3 of Note to Article 11 of the CVA are 
implemented in Lao PDR's legislation.   
- Please confirm that the importer shall not be subject to a fine or a threat of fine merely 
because the importer chooses to ex ercise the right of appeal.   WT/ACC/LAO/41 
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 - Does Lao PDR contemplate requiring full payments of assessed customs duties prior to 
appeal?   
Answer: 
Lao PDR confirms that under its legislation, in cluding the 2011 Customs Law, the importer is not 
subject to a fine or a threat of fine merely becau se the importer chooses to exercise the right of appeal.  
Any imposition of a fine or threat of fine without legal basis by any authority including customs 
officer would be considered unlawful.  However, to address Members' concerns, the principle for the 
right to appeal without penalty has been furthe r clarified in Customs Department's Instruction 
No. 11589/CD "On Additional Explanations on th e Customs Valuation of Imported Goods" of 
24 July 2012.  
As per Article 25 of the 2011 Customs Law, the fu ll payments must be made after the customs 
authority has made a decision on customs duties.  The Law does not specifically require the full 
payment of assessed customs duties prior to an appeal. 
Question 14  
Annex III, paragraph 7 of the CVA states that "t he price actually paid or payable includes all 
payments made or to be made as a condition of sale of the imported goods, by the buyer to the 
seller, or by the buyer to a third party to satisfy an obligation of the seller".  This provision is not incorporated in the Draft Instruction of  the Director General.  We understand that 
Lao PDR is working on another regulation that is almost finalized that will incorporate all of the interpretive notes.  We look forward to seeing  that new regulation to confirm that all of the 
CVA, including its interpretive notes, into Lao PDR laws and regulations. 
Answer: 
Annex III, paragraph 7 of the CVA has been re flected in Customs Department's Instruction 
No. 11589/CD "On Additional Explanations on th e Customs Valuation of Imported Goods" of 
24 July 2012, which addresses all of the Interpretativ e Notes and other requirements under the CVA.   
Question 15 
On Customs Law (Revised Version) of 20 D ecember 2011:  Part II – Customs Declaration 
Regulations and Procedures, Chapter 3 – Customs Clearance Brokers and their 
Responsibilities, Article 14:  Is it mandatory fo r companies to use cust oms clearance brokers?  
What are the requirements to become a customs clearance broker? 
Answer: 
On question related to Article 14, it is not mandato ry but optional for the importer to use customs 
clearance brokers.  Article 3.3 of the 2011 Customs Law defines a 'customs declarant' as any person, 
legal person, organization, customs clearance broke r or authorized person who may directly conduct 
customs clearance without intermediary of customs brokers.   
Currently, there is no specific regulation on cust oms brokers.  Their creation relies on the general 
rules provided under the Enterprise Law.  Any future  regulation on customs brokers (the issuance of 
which is assigned to the Ministry of Finance under Article 14 of 2011 Customs Law) must comply 
with the Customs Law.    WT/ACC/LAO/41 
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 Question 16 
On Customs Law (Revised Version) of 20 D ecember 2011:  Chapter 5 – Customs Formalities 
and Clearance, Article 22.4:  Please explain further what steps are involved in a detailed customs declaration being "approved and registered".  
Answer:  
The registration is made immediately after approval by the customs authorities.  After receipt of the 
customs declaration, the customs authority will ex amine and approve the declaration in accordance 
with the Customs Law (Articles 23 and 24).  
Question 17 
On Customs Law (Revised Version) of 20 December 2011:  Article 22.5:  Does Lao PDR provide 
for electronic filing of customs declarations? 
Answer: 
Lao PDR has launched the electronic filing of cu stoms declaration under the assistance of the 
World Bank.  The electronic filing uses the ASYCU DA filing system, which is being introduced as a 
pilot system in major international check-point s of Lao PDR (e.g. Friendship Bridge between 
Lao PDR and Thailand).  
Question 18 
On Customs Law (Revised Version) of 20 December 2011:  Chapter 6 – Inspection and Release 
of Goods from Customs Checkpoint or Warehouse,  Article 26:  Please clarify whether goods can 
be inspected prior to or at the same time as Customs is working to determine the amount due 
for duties and other obligations. 
Answer: 
Goods can be inspected prior to or at the same time as Customs is working to determine the amount 
due for duties and other obligations.  The Custom s Law does not require another inspection after 
Customs has determined the amount due for duties and other obligations. 
Question 19 
On Customs Law (Revised Version) of 20 December 2011:  Article 27.2:  What is the purpose of 
collecting the additional 20 per cent in the security?  
Answer: 
The purpose of the 20 per cent addition is to serve as a guarantee to ensure that, after the release of 
goods, the declarant would return and complete th e customs declaration process within the timeline 
specified in the Customs Law (Article 27.3).   
Question 20 On Customs Law (Revised Version) of 20 December 2011:  Chapter 7 – Advance Rulings and 
Pre-Shipment Clearance, Article 29:  Does Lao PDR begin reviewing the documents when they 
are submitted or only after the goods arrive in Lao PDR? WT/ACC/LAO/41 
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 Answer: 
The customs authority begins reviewing the doc uments as soon as they are fully submitted in 
compliance with Article 23 of 2011 Customs Law, which can be before the arrival of the goods.  
Question 21 
On Customs Law (Revised Version) of 20 December 2011:  Articles 68 and 69 of the 
Customs Law of 2011 refer to the appeals procedu re; however, these Articles do not provide for 
the right to appeal without penalty, for the right to appeal to a judicial authority, or for the notice of the decision on appeal (and notice of any rights of further appeal).   
It appears from the Draft Instruction of the Director General that Article 13 of the Instruction 
of the Minister of Finance No. 1537/MOF might fully implement Article 11 of the CVA.   
- Does Article 13 of the Instruction of the Minister of Finance No. 1537/MOF supersede 
Articles 68 and 69 of the Customs Law of 2011?  
Answer: 
Article 13 of Instruction No. 1537/MOF implements  Articles 68 to 70 of the 2011 Customs Law, and 
as such they must be applied in conjunction.  
It should also be noted that the 2011 Customs Law does not impede and therefore allows for the right 
to appeal without penalty.  The principle for the right to appeal without penalty has been further clarified in a Customs Department's Instruction on  Additional Explanations on the Customs Valuation 
of Imported Goods No. 11589/CD of 24 July 2012.  Furthermore, Article 70 of the Customs Law 
provides the right to further appeal to a judiciary authority.  Article 13 of Instruction No. 1537/MOF provides for the notice of the decision on appeal. 
Question 22 Are companies able to appeal customs decisi ons other than those related to valuation, 
classification and country of origin? 
Answer: 
Appeal against customs decisions related to other i ssues may be made on the basis of the more general 
2005 Petition Handling Law.  Any cont raventions of customs officers of their duties and obligations, 
such as the prohibitions detailed in Article 84 of  the Customs Law can be presented in judiciary 
courts. 
Question 23 
On Customs Law (Revised Version) of 20 Dece mber 2011:  Article 78 states that "customs 
officers and authorities shall strict ly maintain confidentiality". 
- Are there any circumstances under which Lao PDR might contemplate releasing 
confidential information?   WT/ACC/LAO/41 
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 Answer: 
Release of confidential information may be made only with the consent of the person who provides 
such information or following a court order.  Th e confidentiality obligation of customs authorities has 
been further implemented in Instru ction No. 1537/MoF (Article 12).   
Question 24 
On Customs Law (Revised Version) of 20 Dece mber 2011:  Part XIV – Offenses and Customs 
Prosecutions, Chapter 1 – Customs Offenses, Article 89:  In determining the amount of the fine for minor offenses, does Lao PDR take into a ccount whether a company voluntarily discloses or 
corrects the error before customs discovers the error? 
Answer:  
The mechanism of correcting errors voluntaril y by the importer has been provided for under 
Article 22.4 of the 2011 Customs Law.  When this change is made before actual inspection of the 
goods, then no fine is charged. 
Question 25 
On Instruction of the Minister of Finance No. 1537/MOF of 4 June 2012:  Article 13 of the 
Instruction incorporates Article 11 of the WTO Customs Valuation Agreement, which refers to 
the right of appeal.  However, Article 13 of th e Instruction does not provide for the right of 
appeal without penalty, and for the right of appeal  to a judicial authority.  Please clarify where 
in Laos' legislation these provisions are incorporated. 
Answer: 
Article 13 of Instruction No. 1537/MOF implements  Articles 68 to 70 of the 2011 Customs Law.  
Article 70 of the Customs Law provides the right to further appeal to a judicial authority.   
- Anti-dumping, countervailing duties, safeguard regimes  
Question 26 Follow-up to Question 17 of WT/ACC/LAO/36:  We note  that Laos is in the process of drafting 
the safeguard legislation with support of deve lopment partners and we understand an internal 
workshop is planned for the second half of 2012.   Could Lao PDR share any update it may have 
at this stage? 
Answer: 
Lao PDR is working with the USAID to develop the safeguard mechanism in Lao PDR.  A first 
consultative workshop on safeguards has been pla nned to take place in late August 2012 with the 
objective to raise understanding for key official s and share experience  with Members and 
neighbouring countries.  The result of this work shop and discussion will set the basis for further 
developments of legislation on safeguards.   
In addition, Lao PDR proposes to add "The Working Party took note of these commitments." at the 
end of paragraph 97 of the Draft Worki ng Party Report (WT/ACC/SPEC/LAO/5/Rev.1). WT/ACC/LAO/41 
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 B. EXPORT REGULATIONS 
- Customs tariffs, fees and charges for services rendered, application of internal taxes to 
 exports 
Question 27 We thank Laos for the circulation of the Edict on Export Duties of April 2012. 
Regarding Paragraph 99 of the draft Working Party Report (WT/ACC/SPEC/LAO/5/Rev.1):  
We understand that we reached agreement that, for the sake of clarification, the statement that 
"Lao intended to apply export duties to a limi ted number of products" would be deleted and 
replaced by the following sentence:  "Lao applied export duties to a limited number of products 
as set-out in the aforementioned Table 13". 
Answer: 
Lao PDR accepts the proposed commitment language.  
- Export restrictions 
Question 28 We request that a new paragraph be ad ded to the draft Working Party Report 
(WT/ACC/SPEC/LAO/5/Rev.1) after paragraph 102 that reads: 
 xx. The representative of Lao PDR conf irmed that from the date of accession, 
Lao PDR would apply its laws and regulatio ns governing export measures, including 
prohibitions, export licensing requirements and other export control requirements, in 
conformity with WTO provisions.  The Working Party took note of these commitments.  
Answer: 
Lao PDR accepts the proposed commitment language.   
C. INTERNAL POLICIES AFFECTING FOREIGN TRADE IN GOODS 
- Industrial policy, including subsidies Question 29 Page 39, paragraph 110 (WT/ACC/SPEC/LAO/5/Rev .1):  This section of the Report again notes 
the various measures that provided for subsidies contingent upon exportation, including Decree 
No. 443/PM "On Specific and Special Economic Zone s".  The discussion in this section of the 
draft Report should also reflect that in Annex 1 to Decree No. 119/PM, the promoted activities 
under the new investment regime include exportatio n of beef cattle, pigs, sheep, goats and frogs. 
Answer: 
The understanding of Lao PDR is that Annex 1 to Decree 119/PM is in compliance with 
WTO Agreements since the Decree does not provide any measures contingent upon export 
performance and local content requirements.  Lao PDR takes notes that such activities should be 
reflected in the draft Working Party Report.    WT/ACC/LAO/41 
 Page 13 
 
 
 Question 30 
Page 39, paragraphs 109 to 111 (WT/ACC/SPEC/LAO/ 5/Rev.1):  We propose a revision, taking 
into account the changes that would need to be made to paragraphs 109 and 110 to ensure these 
paragraphs read as part of the commi tments referenced in paragraph 111: 
109. In response, the representative of Lao PDR presented a draft subsidy 
notification for the period 2008 to 2010 in document WT/ACC/LAO/19.  
The notification identified the tax and duty exemptions provided by Lao PDR in its investment, special and border trade zones legisl ation.  In terms of form of subsidy, the 
notification distinguished between measur es falling within and outside the scope of 
Article 3.1 (a) and (b) of the ASCM.  He added that Lao PDR was taking steps to 
eliminate provisions requiring the use of domestic over imported goods.  
His Government had set up a Committee under the Prime Minister's Office to propose 
alternative measures to promote Lao PDR's indus trial policy.  In light of these efforts, 
the new Law No. 02/NA "On Investment Promotion" of 8 July 2009 had eliminated incentives based on local content requirements in Lao's investment legislation.  The new 
Decree No. 443/PM "On Specific and Special Economic Zone" of 26 October 2010 
provided for an exhaustive list of incentives available in those zones, which, in his view, were in compliance with the ASCM.  Decr ee No. 162/PM "On Border Trade Zone at 
Boten, Louangnamtha Province" had been te rminated.  He added that the all local 
content requirements in the remaining zones Savan-Seno Special Economic Zone 
(Decree No. 177/PM) and Dansavanh Village Border Trade Zone (Decree No. 25/PM) 
had been eliminated through Decree No. 154/PM "On Cancellation of Local Content 
Requirements set-out in Previous Legislatio n" of 5 March 2012, and that no residual 
benefits in the form of prohibited local content subsidies continued under the cited 
legislation.  In response to a specific question on Article 99 of the new Investment 
Promotion Law No. 02/NA, he said that upon entry into forces of the new law, investors 
covered by the previous Investment Law could choose between receiving benefits 
granted by the new or old incentive programm es.  However, even when the old incentive 
programme was chosen, companies were no longer required to comply with the local 
content requirement.  He added that as the local content requirement had actually never 
been enforced, the government did not have further information on the total number of companies that benefitted from the old pr ogrammes.  He confirmed that no local 
content requirements were currently imposed and that no other provisions in 
Lao PDR's law authorized the granting of subsidies contingent upon the use of domestic 
over imported goods, and that no residual benefits  in the nature form of prohibited local 
content subsides would continue.  He further confirmed that Lao PDR would not 
re-introduce such provisions under any ot her instrument following accession.  
In response to a specific question, he reconfirmed that Lao PDR did not grandfather any 
continuing benefits contingent upon lo cal content requirements, which had been 
eliminated by Decree No. 154/PM, withou t providing any replacement measures.  
110. A Member also noted that Lao PDR's legislation provided for subsidies 
contingent upon exportation, namely Law No. 10/NA "On the Promotion of Domestic 
Investment"; Law No. 11/NA "On the Promotion of Foreign Investment"; Decree 
No. 300/PM "Regarding the Implementation of the Law on the Promotion of Domestic 
Investment"; Decree No. 301/PM "Regarding the Implementation of the Law on the 
Promotion of Foreign Investment"; and Decree No. 177/PM "On the Management Regulations and Incentive Policies Regarding the Savan-Seno Special Economic Zone".  "Production for export" was also listed as one type of promoted inv estment in Article 23 
of Decree No. 443/PM "On Specific and Special Economic Zone in Lao PDR".  In this 
Member's view, Lao PDR was not in complian ce with the ASCM with respect to export WT/ACC/LAO/41 
Page 14  
 
 subsidies given that Lao PDR continued to grant export subsidies.  In response, the 
representative of Lao PDR reiterated that its subsidy programmes would be 
administered in full conformity with the WTO Agreement on Subsidies and 
Countervailing Measures, but that as an landlocked LDC, it sought to avail itself to the 
rights and flexibilities as provided for LDCs in Article 27.2 of the ASCM to use export 
performance requirements.   
111. The representative of Lao PDR confirmed that as of the date of accession to the 
WTO, Lao PDR would administer all of its su bsidy programs in full conformity with the 
WTO Agreement on Subsidies and Countervailing Measures, including Article 27.2 
thereof, and consistent with the commitments stated in paragraphs 109 and 110.  He also 
confirmed that, upon accession, Lao PDR would provide a subsidy notification, in 
accordance with Article 25 of the Agreeme nt, to the Committee on Subsidies and 
Countervailing Measures.  The Working Pa rty took note of these commitments.  
Answer: 
Lao PDR accepts the proposed revision to para graphs 109 and 110, and the proposed commitment 
language in paragraph 111.  
- Sanitary and Phytosanitary Measures 
Question 31 With respect to Question 23 of WT/ACC/LAO/36, we appreciate and congratulate the Lao PDR 
for launching its now operational trade portal th at has trade-related and SPS legislation both in 
English and Lao versions. 
Answer: 
Lao PDR thanks for Members' appreciation.  The trade portal is now accessible at 
www.laotradeportal.gov.la.  
Please note that the website also housed webpage for SPS and TBT enquiry points with official 
contact information including the following e-ma il addresses:  sps_tbt_notification@laoftpd.com 
(for the SPS-TBT Notification Unit); spsenquiries@laot radeportal.gov.la (for the SPS Enquiry Point);  
and tbtenquiries@laotradeportal.gov.la (for the TBT Enquiry Point).   
Question 32 
Can the Lao PDR please clarify its definition of HACCP that is referred to and who would issue 
such a HACCP certificate?   
Answer: 
HACCP stands for Hazard Analysis and Critical Control Point which according to the Codex 
definition means a system which identifies, evaluate s, and controls hazards, which are significant for 
food safety.  
HACCP, GMP or GAP certificates are is sued by the competent food safety authority of the country of 
origin, or by private parties accredited or endorsed  by the competent authority.  In Lao PDR, HACCP 
certificates are issued by the Ministry of Health.  WT/ACC/LAO/41 
 Page 15 
 
 
 Question 33 
We are unaware of a universally-recognized "certificate of HACCP" and, therefore, 
respectfully request that Lao PDR please specify what type of certificate would be accepted for this requirement.  
Answer: 
In addition to Lao PDR's response to the preceding Question, Lao PDR would accept certificates 
issued by the competent food safety authority of the country of origin, or by private parties accredited 
or endorsed by the competent authority, which can take the form of a letter, certificate or other documents attesting that the requirements of GM P, GHP or HACCP have been complied with.   
Question 34 
We request clarification as to whether Lao PDR would accept as sufficient a letter or 
self-certification from the manufacturer indicating  that its facilities are covered by GMP, GHP 
or HACCP?  If so, would the Lao PDR please pr ovide a list and examples of these acceptable 
certificates? 
Answer: 
Lao PDR would accept the certification that is issued  by the competent food safety authority of the 
country of origin, or by private parties accredited or endorsed by the competent authority which can take the form of a letter, certificate or other doc uments attesting that of the requirements of GMP, 
GHP or HACCP have been complied with.   
As examples, Lao PDR has accepted the below documents: 
1. FREE SALE CERTIFICATE - FOOD, issued by California Department of Public Health 
(CDPH) for the Essential Pharmaceutical Corpor ation to export vitamin into Lao PDR; and 
 
2. Approval Letter on GMP, issued by Committee on F ood and Drug, Ministry of Public Health 
of Thailand for Doctor Cosmed Company to  export tea and coffee in to Lao PDR.   
Question 35 
Furthermore, the requirement for characteristics attestations in health certificates appear to 
confuse quality control system conformity assessme nts with food safety; hence, please clarify 
how quality control relates to or ensures food safety?    
Answer: 
The requirements of characteristics attestations, whic h may be attached with the health certificate, 
would relate to safety requirements such as microbial, residues, contaminants etc. and will be based on Codex standards/recommendations.  In the absence of such attestations by the exporting 
Government, the products will be tested in a suita ble laboratory in the country or region prior to 
release. 
Lao PDR distinguishes between, on the one hand food qua lity, which refers to attributes that influence 
a product's value to the consumer and on the other ha nd food safety, which refers to hazards of the 
food which may have a harmful effect on the cons umer and make it unfit for human consumption. 
There are some overlaps where th e changes in quality may affect the safety of a food product. WT/ACC/LAO/41 
Page 16  
 
 Question 36 
With respect to technical assistance for SPS,  can Lao PDR please provide its priorities 
regarding the 2013 risk assessment technical assi stance it needs under agricultural sectors?   
Answer: 
Lao PDR's priorities for technical assistance in 2013 for risk assessment in the agricultural sector are 
primarily capacity-building and the training of perso nnel.  In the long-term, SPS shall be included in 
the curricula of agricultural studies.  Lao PDR also  requires infrastructure, such as laboratories.  
Question 37 
With respect to Question 33 of WT/ACC/LAO/36,  while we appreciate that Laotian food 
inspectors are prohibited from disclosing confid ential information, we remain concerned that 
the provision stating that they may "examine, ma ke copies or take extracts of any documents 
including any licence issued to the food business and require the owner or person in charge of the food business to provide any information related to the food business" is too broad.   
Please specify the types of information that may be collected by inspectors within Article 3. 
Answer: 
The information which can be collect ed by food inspectors during the course of inspections is limited 
to the documents of the food business which, within the scope of the regulations, means those relating 
to food safety only.  This does not extend to other company information.  All information collected by 
inspectors shall be treated as confidential. 
Question 38 
On the 2012 Decree "On the Control of the Movement of Animal and Plant Product":  
Article 24, Procedures for Imports, states:  "D uring import inspections, where the veterinary 
officer suspects that the animal, animal product and/or animal-related item is infected or contaminated; comes from an infected herd; is not accompanied by a veterinary certificate; 
does not have the complete set of prescribed docu ments; or otherwise fails to comply with the 
Livestock and Veterinary Management Authority requirements, the entry checkpoint shall seize 
live animals, for a period not exceeding sixty d ays, and for animal products and/or animal 
related items, for a period not exceeding ten days". 
- Please explain if this suspicion of infection is based on the exhibition of clinical 
symptoms?   
- If so, we request that this be clarified within the provision.    
Answer: 
Article 24 of the Decree states that:  "where the im port is not carried out in accordance with this 
Decree, or where some animals are found dead, or show clinical signs of disease or where the animal 
product is not fit for its purpose, the veterinary o fficer shall follow Article 48 of the Law on Livestock 
Production and Veterinary Matters".  Article 48 of the Law refers to  temporary seizures of animal 
commodities and animal quarantine. 
Also more generally, Article 5 (Basic Principles for the Measures to Control Movement) of the 
Decree "On the Control of Movement of Animals and Animal Products" requires any measure made  WT/ACC/LAO/41 
 Page 17 
 
 
 under the Decree to be based on risk assessment, be propor tional to such risk and applied to the extent 
necessary to protect animal health. 
Question 39 
We note the crucial role of technical assistance and we have noted the requests in that respect.  
Regarding the development of risk assessment meth odology, we would welcome clarifications as 
to whether Lao has already taken steps to fill the gaps in this area, as this aspect is crucial in 
preparing risk management and risk communicati on.  We encourage Lao to work particularly 
on this delicate sector. 
Answer: 
Lao PDR has taken steps to fill capacity gaps in the area of risk assessment methodology through the 
identification of specific areas for assistance as well as technical assist ance partners to provide this 
assistance.  The relevant activities are provided in the updated SPS Action Plan. 
Lao PDR has received technical assistance from TDF,  which includes a specific component to build 
capacity for relevant competent authorities on risk assessment.  
Lao PDR is also closely working with the USAID to set up a work plan fo r implementing the risk 
assessment. 
Question 40 
Regarding regionalization, we would appreciate r eceiving more details on how the principle of 
regionalization has been implemented on the gr ound and if Lao could provide examples either 
of animal/pests diseases showing the benefit of this principle.  
Answer: 
Lao PDR does not have much experience to date  on the implementation of the regionalization 
principle.  The principle has just been included in the recently adopted decrees on plant and animal 
health.  Therefore, its implementation will take pl ace according to the timeline indicated in the revised 
SPS Action Plan.  Lao PDR also understands th at the implementation of regionalization for 
SPS measures would contribute to meet the provisions of Article 5.6 of the SPS Agreement, i.e. to 
choose the least trade-restrictive measures possible as  well as Article 4 – equivalence has to be fully 
respected in order to facilitate the implem entation of Article 6 on regionalization.   
Question 41 
Lao PDR quoted that it currently does not have  a specific policy on Bovine Spongiform 
Encephalopathy (BSE) in place.  The disease co ntrol policies were generally developed on a 
case-by-case basis.  Could Lao confirm that it will follow the OIE recommendations and 
guidelines in taking BSE quarantine measures and/or  imposing trade restrictions; in case of an 
outbreak of BSE?  
Answer: 
Article 4.1 of the recently adopted Decree "On the Control of the Movement of Animal and Animal 
Product" states that the development of measures sh all be based on "international standards, guideline 
and recommendations".  Therefore, Lao PDR confir ms that the OIE recommendations and guidelines WT/ACC/LAO/41 
Page 18  
 
 would be taken into account in taking BSE quarantin e measures and/or imposing trade restrictions in 
the case of an outbreak of BSE.  
Question 42 
The Member would like to draw attention on the key provisions of Transparency in the 
SPS Agreement, and therefore encourages Lao to work on those aspects.  We encourage 
Lao PDR to take advantage of the transition p eriod to seek assistance from neighbours who are 
familiar with SPS notifications.  It would be worth using the SPS Enquiry Point and the Notification Centre before the date of accessi on to the WTO in view to improving its 
functionality in the meantime.   
Answer: 
Lao PDR takes note of the Member's comments and the work on those aspects will proceed promptly 
as indicated in the revised SPS and TBT Action Plans.   Lao PDR has requested technical assistance, 
which it is receiving currently from the USAID a nd TDF.  Through donor-supported projects, steps 
are being taken to build capacity, to create an eff ective system and network so that the Notification 
Unit and Enquiry Point functions properly, as well as to count on specialists in the area.  Study tours 
are currently scheduled to learn from the functi oning of the SPS and TBT Notification and Enquiry 
Points other Members. 
Lao PDR would like to highlight at this point th at its Trade Portal is already operational and 
accessible at www.laotradeportal.gov.la. 
- Free Zones, special economic areas  
Question 43 
Page 62, paragraph 155 (WT/ACC/SPEC/LAO/5/ Rev.1):  This section mentions Decree 
No. 443/PM "On Specific and Special Economic Zones".  We note, again, that under Decree 
No. 443/PM, "production for export" is among the promoted investments, and that this should 
be reflected in the discussion in this section of the Report.   
Answer: 
Lao PDR agrees to reflect these activities in  the relevant sections of the DWPR. 
- Transit  
Question 44 We request that a new paragraph be added to the Draft Working Party Report after 
paragraph 160 that reflects: 
xx. The representative of Lao PDR confir med that from the date of accession, 
Lao PDR would apply any laws, regulations or other measures governing transit 
operations and would act in full conformity with the provisions of the WTO Agreement, 
in particular Article V of the GATT 1994.  The Working Party took note of these commitments.   WT/ACC/LAO/41 
 Page 19 
 
 
 Answer:  
Lao PDR accepts the proposed commitment language.  
- Agricultural Policies  
Question 45 We appreciate Lao PDR's proposed commitment text provided in response to Question 41 of 
WT/ACC/LAO/36, however, we are not in a posi tion to accept this text.  If Lao PDR is 
continuing to pursue this text, we woul d request clarification of the following: 
- Are there specific agricultural export subsidies that Lao PDR currently maintains or is 
planning to implement? 
- Is Lao PDR planning to submit a schedule fo r its agricultural export subsidies to the 
Working Party for review?   
- We do not understand the reference to the Agreement on Subsidies and Countervailing 
Measures, which would apply to non-agricultural subsidies.   
Answer: 
Lao PDR accepts the proposed commitment la nguage by Members, which should read:  
 xx. Lao PDR's commitments on agricultura l tariffs and domestic support and export 
subsidies for agricultural products are c ontained in the Schedule of Concessions and 
Commitments on Goods [to be filled in to re flect document numbers] annexed to Lao PDR's 
Protocol of Accession to the WTO. 
V. TRADE-RELATED INTELLECTUAL PROPERTY REGIME 
Note: A separate document containing Lao PDR's replies to Members' questions in the area of 
 Intellectual Property Rights will be issued in the week of 30 July. 
VI. POLICIES AFFECTING TRADE IN SERVICES Question 46 To ensure consistency between Lao PDR's se rvices market access commitments and the 
commitments undertaken in the draft Working Pa rty Report, we request that the following 
sentences be deleted from paragraph 221 (WT/ACC/SPEC/LAO/5/Rev.1):   
"Pursuant to the Labour Law No. 06/NA, fo reign investors were encouraged to give 
priority to Lao nationals in recruitment.  Foreign employees should be no more than 10 per cent of the unskilled workforce or 20 per cent of the skilled employees, and 
enterprises were urged to upgrade the skills  of local employees.  In response to a 
question, he confirmed that the encouragement  to give priority to Lao nationals in 
recruitment was neither an economic need test (ENT) nor a potential barrier to 
investment." 
Answer:  
Lao PDR agrees with the requested improvements.  WT/ACC/LAO/41 
Page 20  
 
 Question 47 
We noted that Article 12 of the revised Telecommunications Law provides that the Ministry of 
Post and Telecommunications and Communication s shall plan, manage, allocate, assign and 
withdraw the telephone numbers, internet numb ers and internet domain names.  Article 13 
provides that any individual, legal entity or organization wishing to use a telephone number, 
internet number and internet domain name sh all be registered with the telecommunication 
service points or with the post, telecomm unications and communications authority. 
- There are millions of internet numbers a nd domain names that have already been 
assigned to service suppliers throughout the world.  Please explain how the Government 
will implement this revised law with respect to internet names and numbers for foreign 
service suppliers, so that they do not need  to re-register their numbers and domain 
names with the Ministry of Post and Telecommunications and Communications.  
A registration requirement of this type would effectively cut-off Lao PDR from the internet marketplace. 
- If foreign suppliers are required to regist er internet numbers and domain names with 
the Ministry of Post and Telecommunicati ons and Communications, please explain how 
the Government will ensure that this registrat ion process will not act as a restriction on 
cross-border services trade. 
- Please confirm that Lao PDR will not require foreign service providers that have 
assigned internet numbers and domain name s in other countries to register with the 
Ministry of Post and Telecommunications and Communications.  
Answer: 
Lao PDR takes note of Members' comments on the fi rst two points and confirms that foreign service 
providers that have assigned internet numbers and do main names in other countries are not required to 
register with the Ministry of Post and Teleco mmunications and Communica tions of Lao PDR.   
Question 48 
We thank Lao PDR regarding its clarificat ions as regards the Law "On Tourism".  
We understand that citizenship and residency re quirements only apply to domestic services 
providers.  Could Lao PDR confirm that this understanding is correct?  
Answer: 
Lao PDR confirms that the citizenship and reside ncy requirements, as inscribed in paragraph 1 of 
Article 64 of the Tourism Law, apply only to  the domestic individuals and legal entities. 
Question 49 We understand that we reached an agreement that  the following may be included in Section VI 
of the draft Working Party Report (WT/ACC/SPEC/LAO/5/Rev.1): 
"Lao confirmed it would apply and interpret its legislation in conformity with its 
commitments on services contained in the Sc hedule of specific commitments on services 
(document …) annexed to Lao's Prot ocol of Accession to the WTO".  
This may be added after paragraph 228.  WT/ACC/LAO/41 
 Page 21 
 
 
 Answer: 
Lao PDR accepts the proposed commitment language. 
VII. TRANSPARENCY 
Question 50 We appreciate the proposed commitment text  that Lao PDR has provided in reply to 
Question 46 of WT/ACC/LAO/36.   Working with this text, we request the following revisions: 
xx. The representative of Lao PDR confirmed that, upon accession, Lao PDR would 
promptly implement Article X of the GATT 1994, Article III of the GATS, Article 63 of the TRIPS Agreement, and other transparency provisions in the WTO Agreements requiring notification and publication.  He further confirmed that no law, regulation, 
judicial decision, administrative rulings, or other measures of general application, at 
any level of Government, pertaining to or a ffecting trade in goods, services and TRIPS, 
except for laws, regulations and other me asures involving national emergency or 
security, or for which publication would impede law enforcement, would become 
effective prior to its publication in the O fficial Gazette or on official websites.  
The obligation to establish the oOfficial Gazett e and the principle that any laws become 
effective only after its their publication is  established under the Law on the Making of 
Legal Acts.  Lao PDR, therefore, takes the commitment to will fulfil its publication 
commitments through the use of official we bsites by the time of accession, and will 
establish the Official Gazette within three years after accession.  The publication of such 
laws, regulations and other measures would in clude the effective date of these measures.  
The Working Party took note of these commitments. 
We can also accept the addition of references to "or newspapers" to follow the references to 
"websites" in this text if preferable to Lao PDR. 
Answer: 
Lao PDR accepts the proposed commi tment language, which should read: 
xx. The representative of Lao PDR conf irmed that, upon accession, Lao PDR would 
promptly implement Article X of the GATT 1994, Article III of the GATS, Article 63 of the TRIPS Agreement, and other transparency provisions in the WTO Agreements requiring 
notification and publication.  He further confirme d that no law, regulation, judicial decision, 
administrative rulings, or other measures of gene ral application, at any level of Government, 
pertaining to or affecting trade in goods, servi ces and TRIPS, except for laws, regulations and 
other measures involving national emergency or security, or for which publication would 
impede law enforcement, would become e ffective prior to its publication in the 
Official Gazette, on official websites, or in  newspapers.  The oblig ation to establish the 
Official Gazette and the principle that any la ws become effective only after their publication 
is established under the Law on the Making of  Legal Acts.  Lao PDR, would fulfil its 
publication commitments through the use of offi cial websites or newspapers by the time of 
accession, and would establish the Official Gazette within three years after accession.  The publication of such laws, regulations and ot her measures would include the effective date 
of these measures.  The Working Party took note of these commitments. WT/ACC/LAO/41 
Page 22  
 
 Question 51 
We encourage Lao PDR in its efforts to step up th e transparency framework, which is crucial to 
favour a sound business and trade environment. 
As regards consultations with stakeholders, there are still challenges regarding the way the 
public-private sector works.  In that regard, so me concerns have been expressed regarding the 
way the Lao Business Forum's input in the legisl ative process has been ta ken into consideration 
(and duly followed up).  We understand that Lao may face financial constraints that may limit 
the extensiveness of the consultation.  We would like to highlight the need to strike the right 
balance between on the one hand procedural ef ficiency and on the other hand allowing for 
adequate representation of the whole range of  stakeholders (including foreign ones).  
The business environment will undoubtedly be improved if stakeholders are given appropriate 
opportunities to make their comments on drafts la ws before they take effect.  We would also like 
to stress the benefits attached to ensuring predictability and transparency in the actual 
application of laws and regulations.  
Answer: 
Lao PDR takes note of Member's comments.  The Law "On the Making of Legal Acts" was adopted 
by the National Assembly in July 2012 and will be  promulgated by the President of Lao PDR as per 
the timeline indicated in the revised Legislativ e Action Plan (WT/ACC/LAO/9/Rev.8).  This Law 
provides the opportunity for the public which incl udes domestic and foreign stakeholders to make 
comments on draft laws.  
Question 52 
We thank Lao PDR for the update regarding the Law "On the Making of Legal Acts" and 
would ask to be kept duly informed when th e Law is enacted and enters into force (and the 
Legislative Action Plan to be updated accordingly).  
Answer: 
The update regarding the Law "On the Making of Lega l Acts" is included in the revised Legislative 
Action Plan (WT/ACC/LAO/9/Rev.8).   
__________