TN/TF/W/165/Rev.16  
 
31 May 2013  
(13-2856)  Page: 1/32  
Negotiating Group on Trade Facilitation    
 
DRAFT CONSOLIDATED NEGOTIATING TEXT 
 
Revision 
SECTION I ..................................................................................................................... ... 3 
ARTICLE 1:  PUBLICATION AND AV AILABILITY OF INFORMATION .................................. 3  
1. Publication .............................................................................................................. 3  
2. Information Available Through Inte rnet ....................................................................... 3  
3. Enquiry Points ......................................................................................................... 4  
4. Notification .............................................................................................................. 4  
ARTICLE 2:  PRIOR PUBLICAT ION AND CONSUL TATION .................................................. 4  
1. Interval between Publicatio n and Entry in to Force ......................................................... 4  
2. Opportunity to Comment on New and Amende d Rules ................................................... 4  
3. Consultations ........................................................................................................... 4  
ARTICLE 3:  ADVANCE RULINGS ....................................................................................... 4  
ARTICLE 4:  APPEAL OR REVIEW PROCEDURES ................................................................ 6  
1. Right to Appeal or Review .......................................................................................... 6  
2. Appeal Mechanism [in a Customs Un ion] [that is a WTO Member] ................................... 6  
ARTICLE 5: OTHER MEASURES TO ENHANCE IMPARTIALITY, 
NON-DISCRIMINATION AND TRANSPARENCY .................................................................. 7  
[1. Import Alerts/Rap id Alerts ......................................................................................... 7  
2. Detention ................................................................................................................ 8  
[3. Test Procedures ....................................................................................................... 8  
ARTICLE 6:  DISCIPLINES ON FEES AND CHARGES IMPOSED ON OR IN 
CONNECTION WITH IMPORTAT ION AND EXPO RTATION .................................................. 8  
1. Disciplines on Fees and Charges Imposed on or in Connection with Importation and 
Exportat ion ................................................................................................................... ... 8 
2.  Penalty Disciplines .................................................................................................... 9  
ARTICLE 7:  RELEASE AND CLEARANCE OF GOODS ........................................................... 9  
1. Pre-arrival Processing ............................................................................................... 9  
2. Electronic Payment .................................................................................................. 10 
3. Separation of Release from Final Determination of Customs Duties, Taxes, Fees 
and Charges ...................................................................................................................  10 
4. Risk Management .................................................................................................... 10 
5. Post-clearance Audit ................................................................................................ 11 
6. Establishment and Publication of Average Release Times ............................................... 11 TN/TF/W/165/Rev.16 
 
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  7. Trade Facilitation Measures for Authorized Operators .................................................... 11 
8. Expedited Shipments ............................................................................................... 12 
9. Perishable Goods ..................................................................................................... 14 
ARTICLE 8:  CONS ULARIZATION .................................................................................... 14  
[1. Prohibition of Consular Transaction Requirement .......................................................... 14 
ARTICLE 9:  BORDER AG ENCY COOPERATION ................................................................ 15  
[ARTICLE 9 BIS:  DECLARATION OF TRANSHIPPED OR IN TRANSIT GOODS] 
[DOMESTIC TR ANSIT]  .................................................................................................... 15  
ARTICLE 10:  FORMALITIES CONN ECTED WITH IMPORTATION AND 
EXPORTATION AN D TRANSIT ......................................................................................... 16  
1. Review of Formalities and Do cumentation Re quirements ............................................... 16 
2. Reduction/Limitation of Formalitie s and Documentatio n Requirements ............................ 16 
3. Acceptance of  Copies ............................................................................................... 16 
4. Use of Internatio nal Standards .................................................................................. 16 
5. Single Window ........................................................................................................ 17 
6. Pre-shipment [and Post-s hipment Insp ections] ............................................................ 17 
[7. Use of Custom s Brokers ........................................................................................... 17 
8. Common Border Procedures and Uniform [Documentation Requirements] ........................ 18 
9. Option to Return Rejected  Goods to th e Exporter ......................................................... 18 
10. Temporary Admission of Goods/In ward and Outwar d Processing .................................... 18 
ARTICLE 11:  FREEDO M OF TRANSIT .............................................................................. 19  
ARTICLE 12:  CUSTOM S COOPERATION .......................................................................... 21  
ARTICLE 13:  INSTITUTIONAL ARRANGEMENTS ............................................................. 24  
ARTICLE 14:  NATIONAL COMMITT EE ON TRADE FACILITATION .................................... 24  
ARTICLE 15:  PREAMBLE/C ROSS-CUTTING MATTERS ..................................................... 24  
SECTION II ....................................................................................................................  25 
SPECIAL AND DIFFERENTIAL TREATME NT PROVISIONS FOR DEVELOPING 
COUNTRY MEMBERS AND LEAST DEVELOPED COUNTRY MEMBERS ................................. 25  
1. [General provisions an d basic principles] .................................................................... 25 
[2. Definitions of Categories of Commitments ................................................................... 26 
3. Notification and Implementation of  Provisions under  Category A .................................... 26 
[4.  [Notification and Implementation of Provisions under [Schedule B/C][Categories B 
and C]] ....................................................................................................................... ... 27 
5.  Early Warning Mechanism: Extension of Implementation Dates of Provisions under 
Categories B and C .......................................................................................................... 28 
[6.  Shifting between Categories B and C .......................................................................... 29 
7. Grace Period for the Application of the Understanding on Rules and Procedures 
Governing the Settlem ent of Di sputes ................................................................................. 29 
8. Provision of Technical Assistance [, financial assistance] and Capacity Building ................. 30 
9. Information on Assistance to be submitted to the Committee ......................................... 31 
 TN/TF/W/165/Rev.16 
 
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  SECTION I 
ARTICLE 1:  PUBLICATION AND AVAILABILITY OF INFORMATION 1. Publication  1.1.  Each Member shall promptly publish the following information in a non-discriminatory and 
easily accessible manner in order to enable governments, traders and other interested parties to 
become acquainted with them:  
(a) Importation, exportation and transit proc edures (including port, airport, and other 
entry-point procedures) and required forms and documents; 
 (b) Applied rates of duties and taxes of any kind  imposed on or in connection with importation 
or exportation; 
 (c)  Fees and charges imposed by or for governmental agencies on or in connection with 
importation, exportation or transit; 
 (d)  Rules for the classification or valuation of products for customs purposes; 
 
(e)  Laws, regulations and administrative rulings of general application relating to rules of origin;  (f)  Import, export or transit restrictions or prohibitions; 
 
(g)  Penalty provisions against breaches of import, export or transit formalities;  
(h)  Appeal procedures; 
 (i)  Agreements or parts thereof with any country or countries relating to importation, 
exportation or transit; 
 (j)  Procedures relating to the administration of tariff quotas.  
1.2 Nothing in these provisions shall be construed as requiring the publication or provision of 
information other than in the language of the Member except as stated in paragraph 2.2.  
2. Information Available Through Internet 
2.1.  Each Member shall [to the extent possible] make available and update as appropriate the 
following through the internet: 
 
(a) A description of its importation, exportation and transit procedures [, including appeal 
procedures][, that informs [governments and traders and other interested parties] of the practical steps needed to import and export, and for transit.] 
 
(b) The forms and documents required for importation into, exportation from, or transit through 
the territory of that Member. 
 
[(c) Relevant trade-related legislation]  
(d) Contact information on enquiry points. 
 2.2.  Whenever practicable, the description referre d to in subparagraph 2.1(a) shall also be made 
available in one of the official languages of the WTO. 
 
2.3.  Members are encouraged to make available further trade-related information through the internet, including items referred to in paragraph 1.1. 
 TN/TF/W/165/Rev.16 
 
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  3. Enquiry Points 
3.1.  Each Member shall [within its available resources] establish or maintain one or more enquiry 
points to answer reasonable enquiries of governments, traders and other interested parties on matters covered by paragraph 1.1 as well as to provide the required forms and documents 
referred to in subparagraph 1.1(a). 
 3.2.  Members of a customs union or involved in a regional integration may establish or maintain 
common enquiry points at the regional level to satisfy the requirement of 3.1 for 
common procedures.  [3.3.  Members shall not require the payment of a fee for answering basic enquiries. Members are 
encouraged not to require the payment of a fee for all other enquiries, including providing forms 
and documents. Each Member shall limit the amount of its fees and charges, if any, for answering 
all other enquiries and providing required form s and documents, to the approximate cost of 
services rendered.] 
 3.4  The enquiry points shall answer enquirie s and provide the forms and documents within a 
reasonable time period set by each Member, which may vary depending on the nature or 
complexity of the request.  4. Notification 
4.1 Each Member shall notify the Committee of: 
 
(a) The official place(s) where the items in subparagraphs 1.1(a) to (j) have been 
published, and 
 
(b) The URLs of website(s) referred to in paragraph 2.1, as well as the contact 
information of the enquiry points referred to in paragraph 3.1. 
 ARTICLE 2:  PRIOR PUBLIC ATION AND CONSULTATION 
1. Interval between Publication and Entry into Force 
1.1 Each Member [shall], [to the extent practicable], ensure that a reasonable interval is 
provided between the publication [or, where appr opriate, pre-publication] of new or amended 
trade-related laws or regulations and their entry into force.
1 
 
1.2 [Changes to duty rates or tariff rate s are excluded from this provision.] 
 
2. Opportunity to Comment on New and Amended Rules  
2.1 Each Member shall [, to the extent practicable,] [, as appropriate,] provide opportunities and 
a reasonable time period to traders and other interested parties [within its territory] to comment on the proposed introduction or amendment of [trade-related] [and] [customs] laws and 
regulations.  
 3. Consultations 
Each Member shall, as appropriate, provide for regular consultations between border agencies and 
traders or other stakeholders within its territory.  
ARTICLE 3:  ADVANCE RULINGS 
1. Each Member shall issue an advance ruling in a reasonable, time bound manner [not 
exceeding a maximum period of 150 days] to an applicant that has submitted a written request 
containing all necessary information. If [a Memb er/the competent authority of a Member] declines 
                                               
1 This is without prejudice to specific timeframes established under other WTO Agreements and 
practices of WT O Committees. TN/TF/W/165/Rev.16 
 
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  to issue an advance ruling it shall promptly notify the applicant in writing, setting out the relevant 
facts and the basis for its decision. 
[Provided that no application shall be declined  under this paragraph unless an opportunity has 
been given to the applicant of being heard.] 
 
2. [A Member/The competent authority] may decline to issue an advance ruling to an applicant where the question raised in the application: 
(a)  is already pending in the applicant's ca se before any governmental agency, appellate 
tribunal or court;  
(b)  has already been decided by any appellate tribunal or court. 
 
3. The advance ruling shall be valid for a reasonable period of time after its issuance unless the 
law, facts or circumstances supporting the original advance ruling have changed. In cases where the advance ruling was based on [incomplete,] incorrect, false or misleading information, the 
[Member/competent authority] may revoke, modify or invalidate the ruling [with retroactive 
effect].  
3bis Where the [Member /competent authority] revokes, modifies  or invalidates the advance 
ruling, it shall provide written notice to the applicant setting out the relevant facts and the basis for its decision.  
3ter  [On a request received from the applicant, the [Member/competent authority] shall, before 
issuing the advance ruling, provide an opportunity to the applicant of [being heard], either in 
person or through a duly authorized representative.]  
 
 An advance ruling issued by [a Member/the competent authority] shall be binding on that Member in respect of the applicant that had sought it. The [Member/competent authority] 
[shall][may] provide that the advance ru ling be binding on the applicant. 
 4. A Member shall publish, at a minimum:  
(a)  The requirements for the application for an advance ruling, including the information 
to be provided and the format; 
(b)  The time period by which it will issue an advance ruling; and 
(c)  The length of time for which the advance ruling is valid. 
 5. A Member [shall][may] provide, upon written request of an applicant , an administrative 
review  of the advance ruling or the decision to revoke, modify  or invalidate the advance ruling.
2 
 6. A Member shall endeavour to make publicly available any information on advance rulings which it considers to be of significant interest to  other interested parties, taking into account the 
need to protect commercially confidential information. 
 7. Definitions: 
(a)  An advance ruling is a written decision provided by a Member to an applicant prior to the 
importation of a good covered by the application that sets forth the treatment that the Member shall provide to the good at the time of importation [or exportation] with regard to 
[the following, where they are implemented by Members:] 
  
(i) The good's tariff classification [[including] the applied duty rate for the product [or, 
where appropriate, the way the applied duty rate for a product is calculated]]; 
 
                                               
2 [A Member is not required to provide a [judicial] [right of] appeal of an advanced ruling or a decision 
to revoke or modify an advance ruling.] TN/TF/W/165/Rev.16 
 
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  [(ii) The appropriate method and the application of the method to be used for determining 
the customs value under a particular set of facts;] 
 
[(iii) The applicability of the Member's requir ements for relief or exemption from customs 
duties;] 
 [(iv) The application of the Member's requir ements for quotas, including tariff quotas;] 
 
[(v) The origin of the good;]  [(vi) Additional matters for which a Member considers it appropriate to issue an advance 
ruling;] 
 (b)  An applicant is an importer, exporter [or producer],  or a representative thereof [who meets 
the criteria specified in the national legislation] [of the importing Member]. [A Member may 
require that an applicant have legal representation in its territory.] 
 
ARTICLE 4:  APPEAL OR REVIEW PROCEDURES 
1. Right to Appeal or Review  
1.1 Each Member shall provide that any person to whom customs [or another relevant border 
agency] issues an administrative decision
3 has the right, within its territory, [without penalty,] to: 
(a) administrative appeal to or review by an administrative authority higher than or 
independent of the official or office that issued the decision;  
and[/or] 
 
(b) judicial appeal or review of the decision. 
 
1.2 The legislation of each Member may require administrative appeal or review to be initiated prior to judicial appeal or review.  
1.3 Members shall ensure that their appeal or review procedures are carried out in a non-
discriminatory manner.  
[1.4   Each Member [shall [endeavour to]] ensure that, in a case where the decision on appeal or 
review under subparagraph 1.1 (a) is not given either  (i) within set periods as specified in its laws 
or regulations or (ii) without undue delay, the petitioner has the right to either further appeal to or 
further review by the administrative authority or the judicial authority or any other recourse to the 
judicial authority.]  1.5     Each Member shall ensure that, [upon request], the person referred to in paragraph 1.1 is 
provided with the reasons for the administrative decision so as to enable such a person to have 
recourse to appeal or review procedures where necessary. 
 [1.6 The decisions on appeal or review under pa ragraph 1.1 shall govern the practice of customs 
and other relevant agencies throughout [their jurisdiction] [the territory of the Member].] 
2. Appeal Mechanism [in a Customs Union] [that is a WTO Member] 
[2.1 There shall be a mechanism [for redress of][to address] adverse findings of inspection 
authorities [at the import points of a customs union] [that is a WTO Member].  [In order to ensure 
quick and uniform appellate decisions, appeals against findings [of inspection authorities] at the 
level of a Member state of a customs union [that is a WTO Member] shall be heard and decided at 
                                               
3 [An administrative decision in this Article does not cover a decision without a binding effect on 
individual persons in specific cases.]  [It shall be understood that an administrative decision in this Article 
covers an administrative omission as provided  for in each Member's laws and regulations.] 
 TN/TF/W/165/Rev.16 
 
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  the customs union level.]  [Such appellate decision s shall be binding on the inspection authorities 
of all Member states of a customs union.] [that is a WTO Member]] 
2.2  [The decisions of administrative and judicial tribunals under paragraph 1.1 shall govern the 
practice of customs and other relevant agencies throughout the territory of [the] [each] Member. 
[including any Member that is a customs union] ] 
Alt 24  (for both 2.1 and 2.2) [The highest appeal leve l available to a trader shall have the authority 
to issue decisions across the territory of the whole Member with a view to achieving uniformity in 
administrative/customs procedures to the extent possible.] 
[Customs unions should progressively adopt the provisions contained in paragraph 2.1] 
ARTICLE 5: OTHER MEASURES TO ENHANC E IMPARTIALITY, NON-DISCRIMINATION AND 
TRANSPARENCY 
[1. Import Alerts/Rapid Alerts 
[1.1 A Member [may][will] introduce or maintain in its domestic regulatory regime a system of 
import alert/rapid alert to [address risk related to] [animal health, plant health and food safety] 
[monitor and ensure the quality of] import ed [goods, especially] food products.] 
 1.2 Where a Member introduces or maintains a syst em of import alert/rapid alert, the following 
disciplines shall apply: 
 
(a) A Member shall apply an import alert/rapid alert system only on the basis of 
established positive evidence of, [or reasonable doubt of] violation of the prescribed 
objective standards by imports from the country/exporter concerned. 
  (b) Once a Member issues an alert notification, the Member shall ensure that special 
inspections are based on uniform objective standards. The Member shall also ensure 
that such inspections are conducted in a uniform manner [at all import points throughout the territory of the Member.] 
 
(c) A Member shall promptly terminate the alert [notification] and its consequent actions 
if circumstances giving rise to the alert notification no longer exist, or if changed circumstances can be addressed in a less trade restrictive manner.  [Circumstances 
giving rise to an alert notification would be deemed to no longer exist if [six] 
successive consignments imported from the country/exporter [Member] concerned have fulfilled the prescribed objective standards, after issuance of the alert 
notification.] 
 (d) A Member shall publish the announcement of termination of an [alert notification] in a 
non-discriminatory and easily accessible manner [within 15 days from the date of 
decision to terminate the [alert notification]]. 
 (e)  [Where the competent authority of the importing country ascertains, through the 
rapid alert system and on the basis of scien tific evidence, that a consignment does not 
meet the objective standards prescribed by the importing country, it shall notify the 
competent authority of the exporting country]. 
Definitions 
Import alert/rapid alert system is a border control mechanism to monitor and ensure the quality of 
imported [agricultural] goods [in cases of risk re lated to food safety].  The system is operated 
through issuance of an alert notification by a Member to concerned authorities for special 
inspection of goods covered under the alert notification. ] 
 
                                               
 4 The purpose of keeping the Alternate is to provide ideas. TN/TF/W/165/Rev.16 
 
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  2. Detention 
2.1  Alt.1  A Member [shall][may] [notify][inform]  the importer or his authorized agent promptly 
in case of detention of imported goods for inspection by Customs or any other competent authority. 
 
[Alt.2 In case of detention of imported goods for inspection by the competent authority of the importing country, it shall directly and immediately inform the competent authority of the 
exporting country by any means of communication, and shall promptly provide the importer or his 
authorized agent with information regarding the detention.]  [3. Test Procedures 
3.1 A Member shall grant an opportunity for a confirmatory test in case the test result of a 
sample shows an adverse finding.  
3.2 A Member shall prescribe a procedure for conducting a confirmatory test [as well as any 
other elements for its application].  
3.3 A Member shall publish names and addresses of accredited laboratories in a non-
discriminatory and easily accessible manner, where confirmatory tests can be carried out. [If it does not have duly accredited laboratories, the importer or exporter concerned may have recourse to any accredited regional or international laboratory]. 
 
3.4  Findings of a confirmatory test shall be valid and accepted uniformly throughout the territory of the Member.] 
[In the event of any discrepancy between the re sults of the tests conducted by the competent 
authority of the importing country and the accr edited independent laboratory, the competent 
authorities of both parties shall establish contact as quickly as possible in order to institute the 
necessary administrative measures to resolve the situation]. 
 
ARTICLE 6:  DISCIPLINES ON FEES AND CHARGES IMPOSED ON OR IN CONNECTION WITH IMPORTATION AND EXPORTATION
5 
1. Disciplines on Fees and Charges Imposed on or in Connection with Importation 
and Exportation 
1.1 The provisions of this article shall apply to  all fees and charges (other than import and 
export duties and other than taxes within the purview of Article III of GATT 1994) imposed by 
[customs and other governmental agencies] [Members] [or bodies that act on behalf of governmental agencies on matters of customs intervention]
6 on or in connection with importation 
or exportation of goods.  Such fees and charges shall be imposed only for services rendered [or 
requested] in connection with importation or exportation of goods or for any formality required for undertaking such importation or exportation.  
[1.2  Fees and charges shall be limited in amount to the approximate cost of the services 
rendered.]  
[The cost of services rendered shall be understood to refer broadly to all costs related to the 
provision of services including reasonable infrastructure-related, capital cost recovery, and continuing personnel training, equipment and software upgrades and maintenance related costs 
and expenses.] 
 [1.3  No fees or charges [shall][should] be levied on an ad valorem  basis[, unless the amount is 
limited to the approximate cost of the services rendered]]. 
 
                                               
5 Members reserve the right to make proposals to treat fees and charges in connection with transit in 
this article depending on their final treatment in Article 11 on transit. 
6 This bracket can be removed once the issu e is addressed in a cross-cutting manner. TN/TF/W/165/Rev.16 
 
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  1.4  Information on fees and charges shall be published in accordance with Article 1 of this 
Agreement.  This information shall include the fees and charges that will be applied, reason for such fees and charges, the responsible authority and when and how payment is to be made.  
1.5  An adequate time period shall be accorded between the publication of new or amended fees 
and charges and their entry into force except in urgent circumstances [or when justified by legitimate public policy objectives]. Such fees and charges shall not be applied until information on 
these has been published. 
 1.6  Each Member shall periodically review its fees and charges with a view to reducing their 
number and diversity, where practicable. 
 
2.  Penalty Disciplines 
2.1 Each Member shall ensure that penalties for a breach of a customs law, regulation, or 
procedural requirement are imposed only on the person(s) responsible for the breach under its 
laws.  
2.2  The penalty imposed shall depend on the fa cts and circumstances of the case and shall be 
commensurate with the degree and severity of the breach.  [2.3 Each Member shall ensure that it  maintains procedures to avoid conflicts of interest in the 
assessment and collection of penalties and duties.]  [No portion of the remuneration of a 
government official shall be calculated as a fixed portion or percentage of any penalties or duties assessed or collected.] [other than the rewards approved under the national legislation.]
7 
 
2.4 Each Member shall ensure that when a pena lty is imposed for a breach of customs laws, 
regulations, or procedural requirements, an explanation in writing is provided to the person(s) 
upon whom the penalty is imposed specifying the nature of the breach and the basis for 
[determining] the penalty [amount].  2.5 When a person voluntarily discloses to a Member's customs administration the 
circumstances of a breach of a customs law, regulation, or procedural requirement prior to the 
discovery of the breach by the customs administration, the Member is encouraged to, where appropriate, consider this fact as a potential mitigating factor when establishing a penalty for that 
person. 
 [2.6 Each Member [shall] [is encouraged to] specify a fixed, finite period within which it may 
initiate penalty proceedings in connection with a breach of a customs law, regulation, or procedural 
requirement.]  [2.7 For the purpose of Article 6.2, the term “penalties” shall mean civil penalties or those 
imposed administratively.] 
 [2.8 The provisions of this paragraph shall apply [, mutatis mutandis ,] to the penalties imposed by 
Members on traffic in transit.]     
 ARTICLE 7:  RELEASE AND CLEARANCE OF GOODS 
1. Pre-arrival Processing 
7.1.1 Each Member shall adopt or maintain procedures allowing for the submission of import 
documentation and other required information, including manifests, in order to begin processing prior to the arrival of goods with a view to expe diting the [clearance and] release of goods upon 
arrival. 
7.1.2  Members shall, as appropriate, provide for advance lodging of documents in electronic 
format for pre-arrival processing of such documents. 
                                               
7 This paragraph shall not prohibit a Member from adopting or maintaining a remuneration system that 
redistributes penalties or duties collecte d by a Member to individual officials,  based on each official’s record in 
following the Member’s law, regulations and procedures, including procedures to avoid conflicts of interest. TN/TF/W/165/Rev.16 
 
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  [7.1.3  For pre-arrival processing purposes, Members may require (additional) documentation and 
data [(such as tracking notes) only] to the extent that such documents and data (including tracking notes) are [necessary][useful, inter alia ] for risk management purposes, [and to 
facilitate] [and for] the expedited release of goods upon arrival.] 
2. Electronic Payment 
Each Member [shall, to the extent practicable], [shall endeavour to] adopt or maintain procedures 
allowing the option of electronic payment for duti es, taxes, fees and charges collected by customs 
[incurred upon importation and exportation]. 
 3. Separation of Release from Final Determ ination of Customs Duties, Taxes, Fees and 
Charges 
[1. Each Member [shall] [is encouraged to] adopt or maintain procedures allowing the release of 
goods prior to the final determination of customs duties, taxes, fees and charges, [if such a determination is not done prior to or promptly upon arrival] [where upon arrival of goods there is 
an [unnecessary] delay in such determination], and provided that all other regulatory 
requirements have been met.  
2. As a condition for such release, a Member may require a guarantee in the form of a surety, 
a deposit or other appropriate instrument provided for in its laws and regulations.  3. Such guarantee shall not be greater than the amount the Member requires to ensure 
payment of customs duties, taxes, fees and charges ultimately due for the goods covered by the 
guarantee.  
4. In cases where an [offence] has been detected, a guarantee may be required for the 
penalties and fines that may be imposed.   
5. This provision does not prevent Members from requiring payment of the [undisputed] part of 
the levied customs duties, taxes, fees and char ges, and requiring the guarantee solely for the 
[disputed] part of the customs duties, taxes, fees and charges.  
6. The guarantee shall be discharged when it is no longer required as set out in 7.3.2. 
 7. Nothing in these provisions shall affect the right of a Member to examine, detain, seize or 
confiscate or deal with the goods in any manner not otherwise inconsistent with the Members WTO 
rights and obligations. [This article is not intended to cover cases which involve violations of Members' laws or fraud: in such situations, the release of the goods should be governed by 
Members' laws.]
8 ] 
 4. Risk Management 
4.1 Members shall apply [, to the extent possi ble,] risk management to customs control in 
connection with importation, exportation and transit.   
 [Bis:  A Member shall apply [, to the extent possible,] a common risk management system across 
its entire territory.] 
 4.2 Members shall concentrate customs control [and other relevant border controls] on high risk 
consignments and expedite the release of low risk consignments. 
 4.3 Each Member shall base risk management on assessment of risk through appropriate selectivity criteria. Such selectivity criteria may include, inter alia, HS code, nature and description 
of the goods, country of origin, country from wh ich the goods were shipped, value of the goods, 
compliance record of traders, type of means of tr ansport and purpose of the stay of the goods in 
the Customs territory. [The basis for the selection of consignments to be subject to customs 
controls may include a random element]. 
 
                                               
8 The issue addressed in paragraph 4 as set out in Rev. 14 should be addressed horizontally. TN/TF/W/165/Rev.16 
 
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  4.4 Each Member shall design and apply risk management in a manner as to avoid arbitrary or 
unjustifiable discrimination [under the same conditions], or disguised restrictions to international trade.  
5. Post-clearance Audit 
Definition Post-clearance audit is an audit conducted by customs subsequent to the release of goods to 
ensure compliance with customs and other related laws and regulations. 
5.1 Each Member shall [, where possible,] adopt po st-clearance audit, with a view to expediting 
the release of goods. 
[5.2 Each Member shall conduct post-clearance audits in a transparent manner. Members shall 
notify the person whose record is audited of the re sults of each audit, their respective rights and 
obligations and reasons for the results.]  
5.3 Members acknowledge that the information obtained in post-clearance audit may be used in 
further administrative or judicial proceedings. 
5.4 Members shall, wherever practicable, use the re sult of post-clearance audit in applying risk 
management. 
6. Establishment and Publication of Average Release Times 
6.1 Members are encouraged to measure and publish their average release time of goods 
periodically and in a consistent manner, using tools such as, inter alia , the WCO Time Release 
Study.
9 
 6.2 Members are encouraged to share with the Committee their experiences in measuring 
average release times, including methodologies used, bottlenecks identified, and any resulting 
effects on efficiency.  
7. Trade Facilitation Measur es for Authorized Operators 
7.1 Each Member [shall][may] provide additional trade facilitation measures related to import, 
export and transit formalities and procedures, as lis ted in  paragraph 7.3, to operators that meet 
specified criteria, hereinafter called [authorized operators]. 
Nothing in this section precludes a Member from offering any of these facilitation measures to all 
operators. 
7.2 [The specified criteria shall be related to compliance, or the risk of non-compliance, with 
requirements specified in a Member's laws, regulati ons or procedures [which may arise as a result 
of providing a facilitation measure under paragraph 7.3].] The specified criteria, which shall be published, may include: 
(a) An appropriate record of compliance with customs and other related laws and 
regulations, 
(b) A system of managing records to allow for necessary internal controls, and 
(c) Financial solvency, including, where appropriate, provision of a sufficient 
security/guarantee. 
 
                                               
9 Each Member may determine the scope and methodology of such average release time measurement 
in accordance with its needs and capacity. TN/TF/W/165/Rev.16 
 
- 12 - 
 
  The specified criteria to qualify as an [authorized operator] shall not:  
(a) be designed or applied so as to afford or create arbitrary or unjustifiable 
discrimination between operators where the same conditions prevail; 
[(b)  include a requirement that the owner of the operator be a national of the Member;] 
or, 
[(c)  include a requirement based on [the size of the operator or] [the value or volume of 
the operator's imports or exports].] 
 
7.3 The trade facilitation measures provided to [authorized operators] [shall] [may] include [at least X] measures, inter alia : 
(a) Reduced documentary and data requirements as appropriate; 
(b) Fewer physical inspections and examinations [as appropriate]; 
(c) Rapid release time; [(d) Deferred payment of duties, taxes, fees and charges;]  
(e) [Use of comprehensive guarantees] [and/or reduced guarantees]; 
[(f)    A single customs declaration for all imports or exports in a given period;] [and] 
(g) Clearance of goods at the premises of the [authorized operator] or another place 
authorized by customs.] 
7.4 [Members shall develop [authorized operators] schemes on the basis of international 
standards, where such standards  exist, except wh en they would be an inappropriate or ineffective 
means for the fulfillment of the legitimate objectives pursued.] 
 
7.5 In order to enhance the facilitation measures provided to operators, Members shall afford to 
other Members the possibility to negotiate mutual recognition of [authorized operator] schemes 
[on the basis of international standards.] 
[7.6.  In order to promote trade facilitation benefits, Members shall share information within the 
Committee about authorized operator schemes in force.]
10 
 
8. Expedited Shipments 
8.1 Each Member [shall][may] adopt or maintain pr ocedures allowing for expedited release of at 
least those goods entered through air cargo facilities to persons that apply for such treatment, 
while maintaining customs control.11  If a Member employs criteria limiting who may apply, the 
Member may, in published criteria, require that the applicant shall, as conditions for qualifying for  
the application of the treatment described in paragraphs 8.2 (a) – (f)  to its expedited shipments: 
 
(a) Provide adequate infrastructure [and reimbursement of customs-related 
expenses12 to allow customs to process its expedited shipments], in cases where 
the applicant fulfills the Member's requirements for such processing to be 
performed at a dedicated facility; 
 (b) Submit in advance of the arrival of an expedited shipment the information 
necessary for release; 
 
                                               
10 Members agreed that the question of the work of  the Committee should be considered for discussion 
in a cross-cutting manner at a later stage. 
11 In cases where a Member has an existing procedure that provides the treatment in paragraph 2, this 
provision would not require that Member to in troduce separate expedited release procedures. 
12 Consider reimbursement of customs-related expenses at non-dedicated facilities. TN/TF/W/165/Rev.16 
 
- 13 - 
 
  (c) Be assessed fees limited in amount to the approximate cost of services rendered in 
providing the treatment described in paragraph 8.2 (a) – (f);  
 
(d) Maintain a high degree of control over expedited shipments through the use of 
internal security, logistics, and tracking technology from pick-up to delivery; 
 (e) Assume liability for payment of all custom s duties, taxes, and fees and charges to 
the customs authority for the  goods; 
 (f) Have a good record of compliance with customs and other related laws and 
regulations; 
 
[(g) comply with other conditions directly related to the effective enforcement of the 
Member's laws, regulations and procedural requirements, if necessary for reasons 
attributable to differences between the Member's expedited release procedures and 
its non-expedited release procedures.] 
 
[(h) register with relevant authorities within the customs territory subject to the 
domestic legislation; 
 (i) fulfill the obligations of  visual examin ation of goods in receipt  thereof for the 
purpose of trade security; 
 
(j) actively report suspicious information to the customs to ensure the compliance with 
relevant laws and regulations; and 
 
(k) assume liability to customs for the goods in the same manner as if it is the sole 
carrier.] 
 
8.2 Subject to paragraphs 8.1 and 8.3
13, Members shall:   
(a) Allow, prior to the arrival of an expe dited shipment, for the submission and 
processing, including through electronic means, of information necessary for the 
release of the shipment14; 
 
(b) Minimize the documentation required for the release of expedited shipments, [as 
appropriate], [including, to the extent po ssible, providing for release based on a 
single submission of information on all goods of de minimis  value in the expedited 
shipments;] 
 
(c) Provide for expedited shipments to be released under normal circumstances within 
[[3][6][24] hours][a reasonable period of time] [consistent with national rules and 
procedures] after arrival, provided the information required for release has been 
submitted; 
 
[(d) Apply [without regard to weight or valu e][with respect to the nature of the goods], 
[without prejudice to the right of the Member to differentiate documentation 
requirements based on value or consider value as part of its risk management 
decisions];] 
 [(e) Allow [under conditions deemed fit by the customs] for the release of expedited 
shipments before and without prejudice to the final determination and payment of 
the applicable customs duties, taxes, fees  and charges owed, if, where so required, 
sufficient guarantee is provided in the form  of a surety, a deposit, or some other 
appropriate instrument, covering the ultimate payment of the customs duties, 
                                               
13 This addition is intended to make clear that the treatment in paragraph 8.2 need not be provided if 
the conditions in paragraph 7.1 have not been met or, as provided in paragraph 8.3, if authorities consider it 
necessary to obtain additional information or conduct screening or examine goods.  Also, paragraph 8.3 has 
been modified to confirm that expedited treatment need not be provided to restricted goods. 
14 This language may be dropped from the proposed ar ticle should it be adequately addressed in the 
context of the proposal on release and clearance. TN/TF/W/165/Rev.16 
 
- 14 - 
 
  taxes and fees in connection with the importation of the expedited shipments15;] 
and 
 [(f) Provide for a de minimis  shipment value[, to the extent possible,] for which 
customs duties and taxes will not be collected [aside from certain prescribed 
goods].
16] 
 
8.3 Nothing in paragraphs 8.1 and 8.2 shall affect the right of a Member to examine, detain, 
seize, [confiscate] or refuse entry to goods, or to carry out post-clearance audits, including in connection with the use of risk management systems[,   in a manner not otherwise inconsistent 
with the Member's WTO rights and obligations] .  [Further, for goods subject to [excise taxes, or ] 
import licensing or similar requirements, nothing in  paragraphs 8.1 and 8.2 shall prevent a 
Member from collecting customs duties or taxes, or  from requiring, as a condition for release, the 
submission of additional information and the fulfillment of non-automatic licensing requirements.] 
 
9. Perishable Goods
17 
9.1  [Each Member shall limit the controls  and requirements related  to the importation of 
perishable goods to the minimum necessary to en sure compliance with its WTO-consistent laws 
and regulations.] 
9.2  [Each Member shall provide for the release of consignments of perishable goods under 
normal circumstances within the shortest possible time so as to preserve the quality and 
commercial value of the goods, provided all regulatory requirements have been met.] 
9.3  [When scheduling examinations, each Member  shall give priority to the examination of 
perishable goods18 with a view to expediting the rele ase of such goods and preventing any 
avoidable loss or deterioration.] 
 
9.4  [Each Member shall, where appropriate,  provide for the clearance and release of a 
consignment of perishable goods, at least at its major port(s) of entry, outside the business hours 
of Customs and other relevant authorities. The Member may require the importer to apply for such treatment prior to the arrival of the consignment.] 
 
9.5  [At the request of the importer, the importing Member shall allow consignments of 
perishable goods to be cleared at premises designated by the importer, provided all other regulatory requirements have been met. The im porting Member may require that such premises 
have been approved by its relevant authorities.] 
 9.6  [When a consignment of perishable goods has to be held pending the results of an 
examination, the importing Member shall allow the goods to be stored in appropriate conditions for 
their conservation, where facilities approved by its relevant authorities are available.] 
 9.7  [Whenever the clearance or release of a cons ignment of perishable goods is delayed to the 
point of causing damage or full loss of the goods to be imported, the importing Member shall 
provide, upon request, a written explanation on the reasons for the delay.]  
ARTICLE 8:  CONSULARIZATION 
[1. Prohibition of Consular  Transaction Requirement 
                                               
15 This language may be dropped or modified in ligh t of the language used in Article 8.2, release and 
clearance. 
16 B y  v i r t u e  o f  t h e  f a c t  t h a t  t h e  goods described in the last senten ce of paragraph 7.3 need not be 
provided expedited treatment, the de minimis  provision would not interfere with collection of duties and taxes 
of such goods (e.g., liquor).  Furt hermore, this provision would not requ ire Members to introduce separate de 
minimis shipment value for goods subject to expedited release procedures. 
17 [For the purposes of this provision, perishable  goods are goods that require release within the 
shortest possible time, as we ll as appropriate conditions when stored, to preserve their quality and commercial 
value and prevent avoidable loss or deterioration.] 
18 [Nothing in this paragraph prevents a Member fro m giving equivalent or higher priority to live 
animals.] TN/TF/W/165/Rev.16 
 
- 15 - 
 
  1.1 A Member shall not require a consular transaction19, including any related fee or charge, in 
connection with the importation of any good. [To ensure the authenticity of all commercial documentation, the Member should strengthen customs cooperation.] ] 
ARTICLE 9:  BORDER AGENCY COOPERATION 
1. A Member shall ensure that its authorities and agencies responsible for border controls and 
procedures dealing with the importation, export ation and transit of goods cooperate with one 
another and coordinate their activities in order to facilitate trade. 
 
[2. A Member shall endeavour [may] to ensure th at its authorities and agencies responsible for 
border controls and procedures dealing with th e importation, exportation and transit of goods 
harmonize their procedures.] 
3. Members shall [, to the extent possible and practical,] cooperate with other Members with 
whom they share a common border and coordinate procedures at border crossings to facilitate cross-border trade.  Such cooperation and coordination may include: 
(i) Alignment of working days and hours; 
[(ii) Alignment of procedures and formalities;  
(iii)  Development and sharing of common facilities; 
(iv)  Joint controls; 
(v) Establishment of one stop border post control; (vi) [Establishment of expedited processes fo r goods in transit and physically separate 
infrastructure, such as transit lanes or berths
20;] 
(vii) Exchange of information [in accordance with national legislation] [for conducting 
joint controls and recognition of inspection results]. ] 
 
[ARTICLE 9 BIS:  DECLARATION OF TRANSHIPPED OR IN TRANSIT GOODS] [DOMESTIC 
TRANSIT] 
Alt.1 [When goods being imported have a final destination in the territory of that Member other 
than the port of entry,] [Members shall permit [t he declarant to declare the goods for the relevant 
import customs procedure at the customs office most convenient for that purpose,] [that transit or transhipped goods are declared for the relevant import customs procedure at the customs office of destination or the customs office] [where these customs formalities can be fulfilled in the territory 
of destination.] 
 Alt.2  [Where any goods imported at a customs station of any Member are mentioned in the 
import manifest/report as [for transhipment to][destined for] any other customs station of the 
Member, the Customs [may][shall] allow the goods to be [moved under a domestic transit procedure] [transhipped] to that customs statio n, without payment of duty, subject to such 
conditions as may be prescribed in this behalf.] 
 [Consignments which are being transhipped
21 shall be subject to less onerous customs procedures 
than those applied to traffic in transit.] 
 
                                               
19 Defined as "the procedure of obtaining from a consul  of the importing Member in the territory of the 
exporting Member, or in the territory of a third party, a consular invoice or a consular visa for a commercial 
invoice, certificate of origin, manifest, shippers' expo rt declaration, or any othe r customs documentation in 
connection with the importation of the good."   
20 Subject to how transit is covered in the Agreement, one might have to revisit transit in this article 
and decide whether to change the language  or delete it if covered elsewhere. 
21 Defined as " transferred under customs control from the inco ming means of transport to the out-going 
means of transport within the area of one Customs office ." TN/TF/W/165/Rev.16 
 
- 16 - 
 
  ARTICLE 10:  FORMALITIES CONNECTED WITH IMPORTATION AND EXPORTATION AND 
TRANSIT 
1. Review of Formalities and Documentation Requirements 
[1.1 With a view to minimizing the incidence and complexity of import, export, and transit 
formalities and of decreasing and simplifying import, export and transit documentation 
requirements:]  
(a) Each Member [shall] [, as appropriate,] review its formalities and documentation 
requirements relating to import, export and transit [at reasonable and regular intervals]  taking into account changed circumstances, relevant new information and business practices, availability of techniques and technology, international best 
practices and inputs from interested parties. 
 
(b) The Committee shall develop procedures for sharing relevant information and best 
practices as appropriate. 
 2. Reduction/Limitation of Formalit ies and Documentation Requirements 
[2.1 Each Member shall ensure that formalities and documentation requirements: 
 
(a)  shall not be adopted if circumstances or objectives can be addressed in a less trade 
restrictive manner; 
 
(b) shall not be maintained if the circumstances or objectives giving rise to their adoption 
no longer exist or if the changed circumstances or objectives can be addressed in a 
less trade restrictive manner; and 
 
(c)  are applied in a manner as not to constitute an unnecessary obstacle to trade.] 
 
[2.2 Members shall, as appropriate, minimize the incidence and complexity of formalities and requirements relating to import, export or tr ansit, and decrease and simplify documentation 
requirements.] 
 
3. Acceptance of Copies 
3.1  [When import, export or transit formalities of Members require presentation of supporting 
data or documents, Members shall endeavour to accept copies of such documents.] 
 3.2  [Where a government agency of a Member already holds the original of a required 
document, any other agency of that Member shal l accept a copy authenticated by the agency 
holding the original in lieu of the original document.]  3.3  [Nothing in these provisions shall prevent a Member from requiring original documents or 
data in the course of exercising post entry audit.] 
 3.4  [A Member shall not require an original or  copy of export declarations issued by the 
authorities of the exporting Member as a requirement for importation.] 
 4. Use of International Standards
22                                  
4.1 Members are encouraged to use relevant international standards or parts thereof as a basis 
for their importation, exportation or transit formalities and procedures except as otherwise provided for in this Agreement.   
                                               
22 Marker for negotiators: Members agree that the question of relationship between the TF Agreement 
and other agreements may be addresse d in a cross-cutting manner at a la ter stage of negotiations. Members 
do not intend for this provision to prejudice provisions  of other WTO Agreements in respect of international 
standards. TN/TF/W/165/Rev.16 
 
- 17 - 
 
  4.2 Members are encouraged to take part, within the limits of their resources, in the preparation 
and periodic review of relevant international standards by appropriate international organizations.  4.3 The Committee shall develop procedures
23 for the sharing by Members of relevant 
information, and best practices, on the implementa tion of international standards, as appropriate. 
The Committee may also invite relevant international organizations to discuss their work on international standards.  As appropriate, the Committee may identify specific standards that are of 
particular value to Members. 
 5. Single Window 
5.1 Members shall, [where practicable] [endeavour to], establish or maintain a single window, 
enabling traders to submit documentation and/or da ta requirement for importation, exportation or 
transit of goods through a single entry point to the participating authorities or agencies.  After the examination by the participating authorities or agencies of the documentation and/or data, the 
results shall be notified to the applicants th rough the single window in a timely manner. 
 5.2 In cases where documentation and/or data requirements have already been received 
through the single window, the same documentation and/or data requirements shall not be 
requested by participating authorities or agencies except in urgent circumstances and other limited exceptions which are made public. 
5.3 Members shall notify the Committee the details of operation of the single window. 
5.4 Members shall, to the extent possible and pr actical, use information technology to support 
the single window. 
[5.5 Members shall, where practicable, use relevant international standards as a basis for the 
single window schemes.
24] 
5.6 With regard to the scope of the partic ipating authorities or agencies, and of the 
documentation and/or data requirements, Members may implement the single window in a 
progressive manner. 
6. Pre-shipment [and Post-shipment Inspections] 6.1  Members [where applicable] shall not require the use of pre-shipment inspections [in 
relation to tariff classification and customs valuation] [other than in instances specified by the 
national legislation]. 
 [Likewise, Members shall not require the use of post-shipment or destination inspection in relation 
to tariff classification and customs valuation. This is without prejudice to checks and controls 
performed by customs or other government agen cies in the framework of risk management.] 
 
[6.2  From the entry into force of this agreement, Members shall [endeavour] not [to] introduce 
or apply any new requirements to use pre-shipment [or post-shipment inspections] referred to in paragraph 6.1.]  
[6.3 Developing Country Members, including Least Developed Country Members, shall [to the 
extent possible] [progressively] implement the provisions of paragraph 6.1 subject to their 
requesting for and receiving from other Member(s), the necessary technical assistance and 
capacity building within the time period specifically agreed with such Member(s).] 
 [7. Use of Customs Brokers 
7.1 [Members [shall not] [are encouraged to not] [may] require the mandatory use of customs 
brokers.]  
                                               
23 Members agreed that the question of the work of  the Committee should be considered for discussion 
in a cross-cutting manner at a later stage.  
24 The bracketed wording can be deleted subject to th e issue being addressed in  a cross-cutting manner. TN/TF/W/165/Rev.16 
 
- 18 - 
 
  [Members, if and when licensing customs brokers, shall apply licensing rules that are transparent 
and reasonable.  Legal persons may operate with their own in-hou se customs broker, licensed by the competent 
authority.] 
 Alt. [7.1 Without prejudice to paragraph 7.2, Members shall not require the mandatory use of 
customs brokers. 
 7.2 Developing country Members shall eliminate any requirements for mandatory use of customs brokers not later than [X] years from the entry in to force of this Agreement.  Least-developed 
country Members shall eliminate any requirements for mandatory use of customs brokers not later 
than [Y] years from the entry into force of this Agreement.] ] 
 
8. Common Border Procedures and Uniform [Documentation Requirements]  
Each Member shall apply common customs [and other] [border] procedures [and requirements] 
for release and clearance of [like] goods [under similar circumstances
25], throughout its territory. 
All related [documentation requirements] shall be  uniform and administered uniformly [, where 
practicable,] throughout its territory. 
9. Option to Return Rejected Goods to the Exporter 
[10.1 In case of rejection of a consignment by th e competent authority of a Member on account of 
failure to meet certain standards [other than good s violating intellectual property rights], [rather 
than those of health and environmental protection ] an option [shall] [may] first be given to the 
importer to [re-export] [return] the rejected goods to the exporter [subject to the conditions 
stipulated in the national legislation of the Member ]; only upon failure by the importer to exercise 
this option within a reasonable period of time, a different course of action, including destruction of 
the goods can be considered by the competent authority.  
[10.2 In the case of return of prohibited and re stricted goods, the exporting Member shall accept 
the returned goods.] 
10. Temporary Admission of Goods/ Inward and Outward Processing 
(a) Temporary Admission of Goods 
 Each Member shall allow, as provided for in its laws and regulations, goods to be brought into a 
customs territory conditionally relieved, totally or partially, from payment of import duties and 
taxes if such goods are brought into a customs territory for a specific purpose, are intended for re-exportation within a specific period and have not undergone any change except normal 
depreciation and wastage due to the use made of them. 
 (b) Inward and Outward Processing 
 
(i) Each Member shall allow, as provided for in its laws and regulations, inward and outward processing of goods.  
(ii) For the purposes of this Article, the term  "inward processing" means the Customs procedure 
under which certain goods can be brought into a Customs territory conditionally relieved totally or partially from payment of import duties and taxes, or eligible for duty drawback, on the basis that 
such goods are intended for manufacturing, proce ssing or repair and subsequent exportation.  
 
(iii) For the purposes of this Article, the term "outward processing" means the Customs 
procedure [under which goods which are in free circulation in a Customs territory may be 
                                               
25 For the purpose of this article, the term “under similar circumstances” shall, inter alia, include the use 
of the same mode of transport of goods whether by land , sea or air. Members agree that this provision does 
not restrict a Member’s right to apply different procedures, requirem ents or documentation for risk 
management or for the implementation of the Ag reement on Sanita ry and Phytosanitary Measures. TN/TF/W/165/Rev.16 
 
- 19 - 
 
  temporarily exported for manufacturing, processing  or re p air ab road  and the n re-imp orte d  with 
total or partial exemption from import duties and taxes.].  ARTICLE 11:  FREEDOM OF TRANSIT
26 
1. [Goods subject to the provisions on Freedom of Transit of GATT 1994 and of this Agreement 
include those moved [via fixed infrastructure] [, inter alia  pipelines and electricity grids].] 
 
[1bis For greater certainty, nothing in Article V of the GATT 1994 or this Agreement shall be 
construed to require a Member:  
(a) to build infrastructure of any kind in its territory, or to permit the building of 
infrastructure by others, in order to facilitate the transit of goods; 
 (b) [to provide access to any infrastructure for transit unless such infrastructure is open 
to general use by third parties. For the purp ose of this Agreement, the term "general 
use by third parties" does not include access to infrastructure granted on a contractual basis.]] 
2. [Each Member undertakes that if it establishes or maintains a State enterprise or if an 
enterprise has, formally or in effect, exclusive or  special privileges, such enterprise shall, in its 
regulations, formalities [fees] and charges – in cluding transportation charges –, on or in 
connection with traffic in transit, comply with the provisions on traffic in transit of this Agreement 
[and otherwise act solely in accordance with commercial considerations.]]
27 
 
3. [[Any charges, regulations or formalities in co nnection with traffic in transit imposed by a 
Member in accordance with Article V of GATT 1994: 
 
(a) shall not be more restrictive on traffic in transit than necessary [to fulfil a 
legitimate objective]. 
 (b) shall not be maintained if the circumstances or objectives giving rise to their 
adoption no longer exist or if the changed circumstances or objectives can be 
addressed in a less restrictive manner. 
 (c)  shall not be applied in a manner that would constitute a disguised restriction on 
transit traffic.] 
 
[Except as otherwise provided in Article V of GATT 1994, no Member shall impose charges for 
reasons of any kind, including for allowing transit through its territory.] [Any charge imposed by a 
Member consistently with Article V of GATT 1994, shall: 
 
(a) Only be imposed for the administrative procedures entailed or transit services 
provided in connection with the transit movement in question; 
 (b) Not exceed the approximate administrative  expenses entailed or cost of the transit 
service rendered; and 
 (c)  Not be calculated on ad valorem basis.] 
 
[Each Member shall periodically review its charges on traffic in transit with a view to reducing 
them, where practicable.]]  
3bis  [Each Member shall notify the Committee on the objective and duration of all charges, 
regulations or formalities in connection with traffic in transit on a regular basis.]  
                                               
26 Members agree that aircraft in transit shall not be subject to the provisions of this Article, consistent 
with the scope of GATT Article V.  Members will review  whether the specific exemption language proposed by 
Canada: "In accordance with Article V:7 of the GATT 1994, the provisions of this Article shall not apply to the 
operation of aircraft in transit, but sh all apply to air transit of  goods (including baggage)" should be included in 
Article 11 when the Relationship to other WTO Agreements  is discussed. 
27 This provision can be deleted to the extent that th e issue will be addressed in a cross-cutting manner. TN/TF/W/165/Rev.16 
 
- 20 - 
 
  [Members may draw the Committee's attention to examine any measure that under their 
judgement should have been notified by another Member.] 
[3ter 
Members shall not seek, take or maintain any voluntary restraints or any other similar measures 
on traffic in transit.] 
4. [Members shall not apply discriminatory measures to goods in transit, or to vessels or 
other means of transport of other Members, for reasons of any kind. This does not exclude the 
right to resort to the exceptions already laid down in WTO Agreements, for valid reasons and 
provided that the measure concerned does not constitute a disguised restriction on international trade.]  
5. [With respect to all regulations and formalities imposed on or in connection with traffic in 
transit, including charges for transportation, traffic regulations, safety regulations and environmental regulations, Members shall accord to traffic in transit treatment no less favourable 
than that accorded to [export or import traffic/domestic traffic/traffic which is not in transit]. This 
principle refers to like products being transported on the same route under like conditions.]  
6. Each Member shall accord to products which will be in transit through the territory of any 
other Member treatment no less favourable than that which would be accorded to such products if they were being transported from their place of origin to their destination without going through 
the territory of such other Member. 
 
7. Members are encouraged to make available, where practicable, physically separate 
infrastructure (such as lanes, berths and similar) for traffic in transit. 
 
8. Formalities, documentation requirements and customs controls, in connection with traffic in 
transit,  shall not be more burdensome than necessary to: 
 
(a) identify the goods and 
(b) ensure that transit requirements [are] [have been] met. 
 
9. Once goods have been put under a transit procedure and have been authorized to proceed 
from the point of origination in a Member's territory, they will not be subject to further customs charges, formalities [or customs inspections] until they conclude their transit at the point of 
destination within the Member's territory. 
 10. [Members shall not apply quality controls or controls of compliance with technical standards 
on goods in transit.] 
 11. Members shall allow and provide for advance filing and processing of transit documentation 
and data prior to the arrival of goods. 
 
12. Once traffic in transit has reached the customs office where it exits the territory of the 
Member, that office shall promptly terminate the transit operation if transit requirements have 
been met. 
 13. [Members may require a guarantee which shall not exceed the full amount of the duties or 
charges which may be incurred.] [In exceptional circumstances such as penalties for non-
compliance with laws and regulations once goods have left the point of origination, a guarantee may be furnished.]  
14. Once the Member has determined that its tran sit requirements have been satisfied, the 
guarantee shall be discharged without delay.
28 
 
                                               
28 Members agreed to delete the guarantee for "Multi ple transactions" figure, provided that this is 
addressed in paragraph 15. TN/TF/W/165/Rev.16 
 
- 21 - 
 
  15. [Where a Member requires a guarantee for goods in transit, this Member shall allow 
guarantees to be renewed for subsequent consignm ents once a previous one is proved to have 
reached its destination [or made exit]].  
16. [Members shall not require the use of customs convoys for traffic in transit, except for 
circumstances presenting high risks. The goods su bject to customs convoy requirements shall be 
included in Members laws or regulations and shall be published.] 
 
17. Members shall endeavour to cooperate and coordinate with one another with a view to 
enhance freedom of transit. Such cooperation and coordination may include, but is not limited to an understanding on: 
 
(i) charges;  
(ii) formalities and legal requirements; and 
 (iii) the practical operation of transit regimes. 
 
18. Each Member shall endeavour to appoint a national transit coordinator to which all enquiries 
and proposals by other Members relating to the good functioning of transit operations can be 
addressed. 
 
ARTICLE 12:  CUSTOMS COOPERATION  
1. 
 1.1 Upon request, Members [shall] [endeavour][may][in accordance with its domestic 
law] [within the available resources], exchange information [and/or documents] [on Customs 
matters] in identified cases of import, export [or transit], [on mutually agreed terms consistent with the requirements of this Article] where there is reason to doubt the truth or accuracy of a declaration submitted by the importer or exporter [or its agent].  
  
1.2 [Paragraph 1.1 is subject to the requested Member's satisfaction:   
i) with the verification referred to in paragraph 2;  and 
 ii) that the required confidentiality of the information will be maintained, recognizing the 
importance of protecting commercially confidential information in safeguarding the 
commercial interests of traders.] 
 2. The requesting Member shall ensure that al l appropriate internal verification has been 
undertaken including, inter alia, verification of the importer/exporter and inspection of the relevant 
documents before it requests assistance from another Member.  [The requesting Member shall 
share the result of the verification with the requested Member.] 
3. The requesting Member shall provide the requested Member with a written request, 
including:  
(a) The matter at issue and reasons for the request; 
 (b) The specific information [and/or documents] requested; 
 
(c) The purposes for which the Member requires the information [and/or the documents]; 
 (d) A confirmation that the Member had conducted the verification required by 
paragraph 2; 
 (e) The identity [and the legal mandate] of the official making the request; 
 
(f) The names and addresses of the persons to whom the request relates, if known; and 
 [(g) The applicable legal provisions in the domestic law, including provisions relating to TN/TF/W/165/Rev.16 
 
- 22 - 
 
  confidentiality, of the requesting Member.] 
 
4. The requested Member [shall] [where practica ble] [may] [in accordance with its domestic 
law]29 
 
(a) Provide information only to the extent it is available in the import or export 
declaration(s) [within the available resources of its respective authorities] [and, if 
required, at least the details, viz. Exporter; Consignor; Carrier; Importer; 
Consignee; [Notify party]; Delivery destination;  Country(ies) of routing, to the extent known; Agent, if applicable; Ta riff code number; Description of Goods; 
[UNDG Number (Dangerous Goods Code), if applicable]; Type of packages 
identification; Quantity of goods/Number of packages; Total gross weight; 
[Equipment identification number, if containerized and available]; [Equipment size and type identification]; [Seal number, if applicable and available]; [Total invoice 
amount]; and [Unique consignment reference number.]] 
[(b) If requested, provide documents submitte d in support of a goods declaration, such 
as commercial invoice, packing list, certificate of origin and bill of lading, in the 
form in which these are filed, whether paper or electronic;]  
[(c) Confirm that the documents provided ar e true copies of the documents submitted 
by the importer/exporter [and accepted by the requested Member]; and] 
(d) [Provide the information] [and/or documents] [respond to the request] [to the 
extent possible within a period of 90 days] [within reasonable time] from the date 
of receipt of the request.] 
5. Such exchange of information [and/or docu ments] shall not require requested Members to: 
(a) Modify the format of their import or export declarations or their procedures; 
 (b)  Call for documents other than those submitted with the goods declaration[s]; 
 
(c)  Initiate inquiries to obtain the information;  (d) Modify the period of retention of such information [and/or documents]; 
 
(e) Introduce paper documentation where electronic format has already been 
introduced; 
 
[(f) Provide any information for which disclosure is not permissible under their 
domestic laws and regulations; or 
 
(g) Provide any information furnished by any person pursuant to their domestic laws 
and regulations where such person has not given consent to the disclosure of the information, where there is such a requirement under its domestic laws and 
regulations.] 
 [(h) Translate the information [and/ or documents].] 
 
6. The request for information [and/or documents] shall be made [in one of the three official languages of the WTO or] in a language mutually acceptable to the requesting and the requested 
Member. 
 7. The requesting Member shall use the information [and/or documents] solely for the 
purposes stated in the request, unless the requested Member agrees otherwise in writing. [The 
requesting Member shall be subject to any rest rictions imposed by the Member providing the 
information.]  
8. [Any information [and/or documents] exchanged which are by nature confidential or which 
are provided on a confidential basis shall be trea ted as strictly confidential by the [requesting 
Member. [Any information [and/or documents] exchanged shall be granted at least the same level 
                                               
29 May need fine tune. TN/TF/W/165/Rev.16 
 
- 23 - 
 
  of protection provided under the laws and regu lations of the requested Member] The requesting 
Member shall provide the information only to its customs administration and] [authorities concerned who] shall not disclose it to any [other governmental agency or] third party without the specific permission of the requested Member [, exce pt to the extent required in [administrative or] 
judicial proceedings].] 
 [Such information [and/or documents] shall not be used as evidence in a [criminal] [judicial] 
proceeding unless specifically authorized by the requested Member.  [In case the government of a 
requesting Member is ordered to provide such information as evidence for a [criminal] [judicial] proceeding by the court or intends to disclose it to any third party, the requesting Member shall 
obtain specific written authorization from the  requested Member in order to do so.]] 
 
[The requested Member [may][shall] consider wh ether the confidentiality of the information 
required will be adequately protected before prov iding such authorization.  The requested Member 
[may][shall] decline to authorize such use of the information if its laws and regulations will be 
breached by this use.]  
9. [In cases where the requested Member is of the opinion that exchange of information under 
these provisions is prohibited by its laws and regulations or would infringe upon its sovereignty, security, public policy, or other substantial interest, or  prejudice any legitimate commercial, 
[industrial] or professional interest, the request may be refused or may be subject to the 
satisfaction of certain conditions or requirements.] 
 10. Each Member shall notify the Committee a cont act point for exchange of information [and/or 
documents]. 
 11. [The request for information [and/or documents] shall not be made later than  [two years] 
[the time required by the national legislation of the requested Member [for the prescription of any 
offence and/or infringement subject to investigation]] after the importation or exportation of the goods.]  
12. [[A Member shall not make] [A requested Member may postpone or refuse] more than 
[X] requests for information [and/or documents] from the same Member in a calendar year.] 
 
13. A requested Member shall respond in writing, whether through paper or electronic means, to 
a request made pursuant to this Article. [If a requested Member postpones or refuses a request for one of the reasons set out in this Article, it shall communicate that reason in its response.] 
 
14. The requesting Member should inform th e requested Member about the result of the 
exchange of information if there was a request from the latter to so provide.  
15. Notwithstanding what is contained in the preceding paragraphs, a requested Member may 
postpone or refuse providing information [and/or documents] if the provision of such information [and/or documents] would interfere with an on-going administrative or judicial investigation, 
prosecution or proceeding.   
 16. [If a requesting Member violates any provisio n of this Article or does not treat information 
received from another Member in accordance with the requirements of this Agreement, the 
requested Member may refuse any further requests  for assistance from the requesting Member.] 
 17. [In the event of any breach of the conditions  of use or disclosure of information exchanged 
under this Article, the requesting Member that received the information shall promptly 
communicate the details of such unauthorized us e or disclosure to the requested Member that 
provided the information, and; 
 
(a) take the necessary measures to remedy, to the extent possible, the breach, 
 
(b) take all necessary measures, to the extent possible, to prevent any future 
unauthorised use  or disclosure of information exchanged under this Article, and; 
 (c) notify the requested Member of the measures referred to in sub-paragraphs (a) 
and (b).]  TN/TF/W/165/Rev.16 
 
- 24 - 
 
   
18. [If the requesting Member would be unable to comply with a similar request in case such a request was made by the requested Member, it shall state that fact in its request.  Execution of such a request shall be at the discretion of the requested Member.] 
 
19. Nothing in this Article shall be construed to prevent a Member from entering into or maintaining a bilateral or regional arrangement regarding sharing of customs information. [In the 
case of an inconsistency between a provision of such an agreement and this Article, 
that agreement shall prevail to the extent of the inconsistency].  ARTICLE 13:  INSTITUTIONAL ARRANGEMENTS 
 
1.1 A Committee on Trade Facilitation is hereby established.  
1.2 The Committee shall be open for participation by all Members.  The Committee shall elect its 
own Chairman.  
1.3 The Committee shall meet as needed and en visaged by the relevant provisions of the 
Agreement, but no less than once a year, for the purpose of affording Members the opportunity to 
consult on any matters related to the operation of this Agreement or the furtherance of its objectives. 
 
1.4 The Committee shall carry out such responsibilities as assigned to it under this Agreement or by the Members. 
 
1.5 The Committee may set up such subsidiary bodies as may be required.  All such bodies shall report to the Committee. 
 
1.6 The Committee shall maintain close contact with  other international organizations in the field 
of trade facilitation with the objective of securing the best available advice for the administration of this agreement and in order to ensure that unnecessary duplication of effort is avoided.  
Representatives of such organizations may be invited to meetings of the Committee and the 
Committee may, through appropriate channels, invite the relevant international organizations or their subsidiary bodies to examine specific matters related to the administration of this agreement. 
 
1.7 The Committee shall review the operation and implementation of this Agreement [X] years 
[from the entry into force of this agreement]. [Dur ing this period of review of the operation and 
implementation of [X] years, Members shall not re sort to the provisions of the Dispute Settlement 
Understanding and only raise before the Committee all questions and queries relating to issues relating to compliance with the obligations under the agreement, including issues relating to technical assistance and capacity building, and all efforts should be undertaken to ensure the use 
of good offices under the Committee' s auspices during this period.] 
[1.8 The Committee shall have its own rules of procedures.] ARTICLE 14:  NATIONAL COMMI TTEE ON TRADE FACILITATION 
 
1. Each Member shall establish and/or maintain a national committee on trade facilitation or designate an existing mechanism to facilitate bo th domestic coordination and implementation of 
provisions of this Agreement. 
ARTICLE 15:  PREAMBLE/CROSS-CUTTING MATTERS
30 
[1.1 [Small [and vulnerable] [economies]] developing [and least developed] countries which are 
Members of a customs union or a regional economic arrangement may adopt regional approaches 
                                               
 30 Members agree that while reviewing whether the lang uage proposed by Canada regarding Aircraft in 
Transit should be included in Article 11 when the Relationship to other WTO Agreements is discussed, Members will also review, without prejudging the outcome, wh ether correspondingly specific language to reflect 
provisions of GATT Articles V, VIII an d X is needed in the relevant Articles of TF Agreement or whether this 
issue should be dealt with in a cross-cutting manner to  avoid any possibility of  any adverse inference as 
referred to in TN/TF/W/181. TN/TF/W/165/Rev.16 
 
- 25 - 
 
  to assist in the implementation of their ob ligations under the Trade Facilitation Agreement 
including through the establishment and use of regional bodies.] 
[1.2 Recognizing that a Member may have to address cases where it has reason to doubt the 
truth or accuracy of information provided by trad ers in support of the declared value of imported 
goods; 
1.3 Recognizing the importance of protecting commercially confidential information in 
safeguarding the commercial interests of traders31;] 
Cross-Cutting Issues 
(a) Relationship to other WTO Agreements 
(b) Institutional Provisions and Dispute Settlement 
(c) Final Provisions 
(d) Implementation Schedules 
 
[Exceptions 
 
The provisions of Articles XX and XXI of GATT 1994 apply to the provisions of this Agreement. ] 
 
[Dispute Settlement 
 The provisions of Articles XXII and XXIII of GA TT 1994 as elaborated and applied by the Dispute 
Settlement Understanding shall apply to consultations and the settlement of disputes under this 
Agreement, except as otherwise specifically provided for in this Agreement. ] 
 Nothing in this Agreement shall affect the right of Members to take action under Articles XXIII of 
GATT 1994 and the Understanding on Rules and Pr ocedures Governing the Settlement of Disputes 
against another Member for provisions contained in other WTO-Agreements, including for GATT Articles V, VIII and X.
32 
 
Implementation of the Agreement  Developed Country Members shall implement this Agreement upon its entry into force. 
  
Developing Country Members and Least Developed Country Members shall implement this Agreement in accordance with Section II. 
 
SECTION II 
SPECIAL AND DIFFERENTIAL TREATMENT PR OVISIONS FOR DEVELOPING COUNTRY 
MEMBERS AND LEAST DEVELOPED COUNTRY MEMBERS 
1. [General provisions and basic principles] 1.1 The provisions
33 contained in [Section I][Articles X-Y] of this Agreement shall be 
implemented by developing and least developed country Members in accordance with this section 
[which fully takes into account the principle of special and differential treatment] [in accordance 
with the modalities agreed in Annex D of the July 2004 Framework Agreement and the Hong Kong Ministerial Declaration.] 
 
1.2  [Members recognize that the principle of special and differential treatment for developing and least developed country Members should extend beyond the granting of traditional transition 
periods for implementing commitments.  In particul ar, the extent and the timing of entering into 
commitments shall be related to the implementation  capacities of developing and least developed 
                                               
 31 This language stems from a proposal on customs c ooperation that was originally tabled by Canada. 
32 This paragraph has been moved from Section II – Article 7.7. It is unbracketed language.  
33 The term "provision" means provision or a sub-part of a provision. TN/TF/W/165/Rev.16 
 
- 26 - 
 
  country Members, who would not be obliged to undertake investments in infrastructure projects 
beyond their means.  1.3  Least developed country Members will only be required to undertake commitments to the 
extent consistent with their individual development, financial and trade needs or their 
administrative and institutional capabilities.]  
1.4 [Developed country Members shall ensure to provide support and assistance to developing 
and least developed country Members in a comprehensive manner [and on a long term and sustainable basis, backed by secure funding], in order to allow implementation. Members agree 
that in cases where the required support and assistance is not forthcoming from developed country 
Members and other donors, and where a developing  or least developed country Member continues 
to lack the necessary capacity, implementation will not be required.]  
1.5 [While every effort shall be made to ensu re the necessary support and assistance, it is 
understood that the commitments by developed co untry Members to provide such support are not 
open ended.]
34 
 
[2. Definitions of Cate gories of Commitments 
2.1 There will be three different categories of commitments as defined below: 
 
(a) Category A commitments are provisions that a Developing Country Member or a Least 
Developed Country Member has designated for implementation upon entry into force of this Agreement, as provided in Article [X], [including all provisions that a 
developing country and a least developed country Member already implements 
[autonomously]]. 
 
(b) Category B commitments are provisions that a Developing Country Member or a Least 
Developed Country Member has designated for implementation on a date after a transitional period of time following the entry into force of this Agreement, as provided in Article [Y]. 
 
(c) Category C commitments are provisions that a Developing Country Member or a Least 
Developed Country Member has designated for implementation on a date after a 
transitional period of time following the entry into force of this Agreement and [as 
requiring][upon the acquisition of implementation capacity through the provision of] technical [and/or financial] assistance and support for capacity building, as provided 
for in Article [Z]. ] 
 2.2 Developing Country and Least Developed Country  Members shall determine, on an individual 
basis, the provisions to be includ ed under Categories A, B and C. 
 
3. Notification and Implementation of Provisions under Category A 
3.1 Alt.1 [Developing country Members shall notify  the Committee the provisions under Category A 
upon the entry into force of this Agreement.] 
 Alt. 2  [Upon entry into force of this Agreement, each developing country Member [and each least 
developed country Member] shall implement the provisions it has designated in Schedule A.  Each 
Member's Schedule A is hereby made an  integral part of this Agreement.] 
 [3.2 Notwithstanding paragraph 2.1 a least developed country Member shall notify the 
Committee the provisions under Category A at entry into force of this Agreement or, at the latest, 
by [X] time after the entry into force of this Agreement.]  
                                               
34 Consideration being given as to (i) whether elements  of paragraphs 1.2 to 1.5 can be reflected in a 
preamble to the Agreement and therefore shifted to Se ction 1 – Article 15 on Preamble/Cross-cutting matters 
until adequate preambular language is drafted; (ii) whether the paragraphs 1.2 to 1.5 could be deleted in the 
event that the elements as contained therein are duly re flected within the operative paragraphs of Section II. TN/TF/W/165/Rev.16 
 
- 27 - 
 
  [4.  [Notification and Implementation of Pr ovisions under [Schedule B/C][Categories B 
and C]] 
4.1 With respect to those provisions that a Developing Country Member has not designated [in 
Schedule A][under Category A], the Member may delay implementation of such provisions in 
accordance with the process set forth in this paragraph. 
[Alt 1 
  
(a) No later than [90][180][365] days after entry into force of this Agreement, each 
developing country Member shall notify to the Committee the provisional dates for implementation of each of the provisions [under Categories B and C] [it did not designate in its Schedule A]. 
 
(b) No later than [x][300] days after entry into  force of the Agreement, each developing 
country Member shall notify to the Committ ee [in final Schedule B/C] the definitive 
date for implementation of each of the provisions [under Categories B and C] [it did 
not designate in its Schedule A].  
(c) [Notifications submitted in draft and final Schedule B/C may also include such further 
information as the notifying Member deems appropriate.  Members are encouraged to 
provide information on the domestic agen cy/entity responsible for implementation 
and, for those provisions for which a Member considers that technical assistance and capacity building is required, the donor agency with which the Member has an 
agreement to provide assistance.] 
Alt 2  
(a) No later than [90][180][365] days after entry into force of this Agreement, each 
developing country Member shall notify to the Committee the provisional dates for 
implementation of each of the provisions under Category B.  
(b) No later than [x][300] days after entry into  force of the Agreement, each developing 
country Member shall notify to the Committ ee [in final Schedule B/C] the definitive 
date for implementation of each of the provisions under Category B. 
(c) No later than [90][180][365] days after entry into force of this Agreement, each 
developing country Member shall notify to the Committee the provisions under 
Category C, including a listing of the provisions in terms of priorities for technical [and 
financial] assistance and capacity building. 
(d) [No later than [x + y][300] days after entry into force of the Agreement] each 
developing country Member shall notify to the Committee [the following information, 
for provisions under Category C after an agreement with a donor has been reached to assist in the implementation of the provisions concerned] 
i. [the provisional date for implementation of each of the provision] 
ii. [the definitive date of implementation of each of the provisions under 
Category C, provided an agreement has been reached with a donor to assist on the implementation of the provision concerned,] 
iii. [the technical [and financial] assistance and support for capacity building 
required for the implementation [the acquisition of implementation capacity] in respect of each provision], and 
iv. the national authority responsible for implementation, and  
v. the donor.  TN/TF/W/165/Rev.16 
 
- 28 - 
 
  [For the provisions with respect to which an agreement with a donor has not been reached, 
Members shall notify to the Committee the definitive date for implementation of the provisions concerned once an agreement with a donor is reached.]] ] 
[4.2 With respect to those provisions that a Le ast Developed Country Member has not designated 
under Category A, the Member may delay implementation of such provisions in accordance with 
the process set forth in this paragraph. 
(a) No later than 365 days after the entry into force of this agreement, a Least 
Developed Country Member shall notify the Committee the provisions under 
Categories B and C, taking into account maximum flexibilities for Least Developed Members, and, particularly, the possibility  to shift commitments from one category 
to another. 
 
(b) No later than [365 + x] days after the entry into force of this agreement a Least 
Developed Country Member shall notify th e Committee the date of implementation 
of each of the provisions under Category B. 
 (c) Each least developed country Member shall notify to the Committee the date of 
implementation of each of the provisions  under Category C after an agreement has 
been reached with a donor to assist on  the implementation of the provision 
concerned.] 
 
[4.3 Members experiencing difficulties in submitting provisional and definitive dates for 
implementation within the deadlines set forth in paragraphs 4.1 and 4.2 because of the lack of a 
donor should notify the Committee of those difficulties as early as possible prior to the expiration 
of those deadlines.  Members agree to cooperate to assist in addressing such difficulties, taking 
into account the particular circumstances and spec ial problems facing the Member concerned.  The 
Committee [may][shall] take appropriate action to address the difficulties, including, where 
necessary, extending the deadlines for the Member concerned.] 
 [4.4 If a Member does not notify a time period for a provision in final Schedule B/C, the Member shall implement that provision within [x][365] da ys after entry into force of this Agreement.] 
[4.5 Any implementation of provisions notifi ed under Category C by developing and least 
developed country Members is conditional on the provision of adequate and effective technical [and financial] assistance and capacity building measures by developed-country Members and/or 
other donors [with a view to] [as well as] the acquisition of implementation capacity by developing 
and least developed country Members.  In cases where technical assistance and capacity building 
is not provided or lacks the requisite effectiveness, developing country and least developed 
country Members are not bound to implement the provisions notified under Category C.] 
 
[4.6 [365][x] days after entry into force of this  Agreement, and then 60 days after an extended 
deadline established [above], the Committee shall meet to ratify each Member's final Schedule B / C .  U p o n  r a t i f i c a t i o n ,  e a c h  M e m b e r ' s  S c h e d u l e  B / C  w i l l  b e c o m e  a n  i n t e g r a l  p a r t  o f  t h i s  
Agreement.] 
5.  Early Warning Mechanism: Extension of Implementation Dates of Provisions under 
Categories B and C 
5.1 
 
(a) A developing country Member or least developed country Member that considers itself 
to be experiencing difficulty in implementing a provision by the date set forth in [its 
S c h e d u l e  B / C ]  [ C a t e g o r y  B  a n d  C ]  m a y ,  n o  l a t e r  t h a n  [ X ]  d a y s  b e f o r e  s u c h  d a t e ,  notify the Committee [and request an extension]. 
 
(b)  The notification to the Committee shall indicate the new date by which the developing 
country or least developed country Member expects to be able to implement the provision concerned.  The notification shall also indicate the reasons for the expected 
delay in implementation.  Such reasons may include the need for assistance where not 
earlier anticipated.  TN/TF/W/165/Rev.16 
 
- 29 - 
 
   
[5.2 Where the additional time required for impl ementation does not exceed [365 days][ the time 
initially notified for the relevant provision], the developing country or least developed country Member is entitled to such additional time without any further action by the Committee. If the 
additional time required for implementation exceeds [365 days] [the time initially notified for the 
relevant provision] the developing country or least developed country Member shall request the Committee to grant an extension.] 
 
5.3 Where a developing country or least developed country Member considers that it requires a 
second or any subsequent extension, it shall su bmit to the Committee a request for an extension 
containing the information described in 5.1 (b) no later than [x] days before the expiration of the 
implementation date, as previously extended. 
 5.4 The Committee shall give sympathetic consideration to requests for extension [and may 
decide to grant an extension] taking into account the specific circumstances of the Member 
submitting the request. These circumstances may include difficulties and delays in obtaining assistance. 
 
[6.  Shifting between Categories B and C   6.1 Developing Country Members and Least Deve loped Country Members who have notified or 
re-notified provisions under Categories B and C may shift provisions between such categories 
through the submission of a notification to the Co mmittee.  [Any extension of the period of time 
for implementation for a provision re-notified by  a Member shall be addressed through Article 5 
(Early Warning Mechanism.] 
 6.2 Where a Member proposes to shift a provision from Category B to C, the Member shall 
provide information on the technical assistance, capacity building and financial needs required.] 
 7. Grace Period for the Application of th e Understanding on Rules and Procedures 
Governing the Settlement of Disputes 
7.1  For a period of 2 years after entry into force of this Agreement, the provisions of 
Articles XXII and XXIII of GATT 1994 as elaborated and applied by the Understanding on Rules and 
Procedures Governing the Settlement of Disputes shall not apply to the settlement of disputes 
against a Developing Country Member concerning any provision under Category A of that Member. 
 7.2  For a period of 6 years after entry into force of this Agreement, the provisions of Articles 
XXII and XXIII of GATT 1994 as elaborated and a pplied by the Understanding on Rules and 
Procedures Governing the Settlement of Disputes shall not apply to the settlement of disputes 
against a Least Developed Country Member concer ning any provision under Category A of that 
Member. 
 
[7.3  For a period of [2] years after implementati on of a provision under Category B and C by the 
developing country Member, the provisions of Ar ticles XXII and XXIII of GATT 1994 as elaborated 
and applied by the Understanding on Rules and Pr ocedures Governing the Settlement of Disputes 
shall not apply to the settlement of disputes against that Developing Country Member concerning those provisions.] 
 
[7.4 For a period of [2] [6] years after implementa tion of a provision under Category B and C by 
a Least Developed Country Member, the provisions  of Articles XXII and XXIII of GATT 1994 as 
elaborated and applied by the Understanding on  Rules and Procedures Governing the Settlement 
of Disputes shall not apply to the settlement of  disputes against that Least Developed Country 
Member concerning those provisions. ]  
[7.5  Each Member shall nevertheless provide adeq uate opportunity for consultation with respect 
to any issue relating to the implementation of this Agreement.] 
 [7.6  The Committee shall encourage and facilitate ad hoc consultations or negotiations among 
Members on specific issues relating to trade facilitation, with a view to reaching a mutually 
satisfactory solution promptly.]
35 
                                               
35 This paragraph could be moved to another location in the Agreement. TN/TF/W/165/Rev.16 
 
- 30 - 
 
  7.7  [Notwithstanding the grace period for the Application of the Understanding on Rules and 
Procedures Governing the Settlement of Disputes ] Before making a request for consultations 
pursuant to Articles XXII or XXIII, and at all stag es of dispute settlement procedures with regard 
to a measure of a least developed country Member, a Member shall give particular consideration to 
the special situation of least developed country Memb ers.  In this regard,  Members shall exercise 
due restraint in raising matters under the Understanding on Rules and Procedures Governing the Settlement of Disputes involving least developed country Members. 
 
8. Provision of Technical Assistance [, financial assistance] and Capacity Building 
[8.1  The provision of technical assistance [, financial assistance] and capacity building by 
developed country Members and relevant intern ational organizations and other agencies of 
cooperation, including the IMF, OECD, UNCTAD, WCO and the World Bank, is a precondition for the 
acquisition of implementation capacity by de veloping country and least developed country 
Members in respect of provisions requiring assistance.] 
 
8.2 [Developed country Members and developing country Members in a position to do so] [Members] agree to facilitate the provision of technical assistance [, financial assistance] and 
capacity building to developing country and least developed country Members, on mutually agreed 
terms and either bilaterally or through the appropri ate international organizations. The objective of 
such assistance is to assist developing country and least developed country Members to comply with the Agreement's commitments. 
 
8.3 In line with the Paris Declaration on Aid Effectiveness and the Accra Agenda for Action, Members shall endeavour to apply the following principles for providing technical assistance and 
capacity building with regard to the implementation of this Agreement: 
 
(a) Take account of the overall developmental framework of recipient countries and 
regions and, where relevant and appropriate, ongoing reform and technical 
assistance programs; 
(b) Include, where relevant and appropriate, activities to address regional and sub-
regional challenges and promote regional and sub-regional integration; 
(c) Ensure that ongoing trade facilitation reform activities of the private sector are 
factored into assistance activities; 
(d) Promote coordination between and among Members and other relevant 
institutions, including regional economic communities, to ensure maximum 
effectiveness of and results from this assistance.  To this end: 
(i) Coordination, primarily in the country or region where the assistance is to 
be provided, between partner Members and donors, and among bilateral 
and multilateral donors, should aim to avoid overlap and duplication in assistance programs, and inconsistencies in reform activities through close coordination of technical assistance and capacity building 
interventions; 
(ii) For least developed country Members, the Enhanced Integrated 
Framework should be a part of this coordination process; and 
(iii) Members should also promote internal coordination between their trade 
and development officials, both in capitals and Geneva, in the implementation of the Agreement and technical assistance. 
e) Encourage use of existing in-country and regional coordination structures such as 
round tables and consultative groups to coordinate and monitor implementation activities; and 
f) Encourage developing countries to provide capacity building to other developing 
and least developed countries and consider supporting such activities, where 
possible. 
8.4 [The Committee shall provide for a specific agenda item to discuss technical assistance and 
capacity building including inter alia :] [A technical Assistance Unit linked to the Committee shall, 
inter alia , provide a framework for:]. TN/TF/W/165/Rev.16 
 
- 31 - 
 
  [(a)  receiving requests from developing and least developed country Members;] 
(b)  Discussion on any problems regarding implementation of provisions or sub-parts of 
provisions; 
(c)  Review of progress in the provision of technical assistance and capacity building 
including any developing or least developed country Members not receiving adequate technical assistance and capacity building; 
(d)  Sharing experiences and information on  ongoing assistance and implementation 
programs, including challenges and successes. 
 9. Information on Assistance to be submitted to the Committee 
9.1 To provide transparency to developing an d least developed Members on the provision of 
specific assistance and support for implementation of Section I, each [developed country Member] [Member assisting developing country and least developed country Members with the 
implementation of this Agreement] shall submit to the Committee, at entry into force of the 
Agreement and annually thereafter, the following information on technical assistance and capacity building that was provided in the preceding twelve months [and that will be made available in the 
forthcoming twelve months
36].  
 
(a) description of the technical and financial assistance and capacity building 
resources; 
 
(b) the status and amount committed/disbursed; 
 
(c) procedures for disbursement of the assistance; 
 (d) the beneficiary country, or, where necessary, the region; and 
 
(e) the implementing agency in the Member providing assistance. 
 The information shall be provided in the format specified in Annex X. In the case of OECD 
Members, the information submitted can be based on relevant information from the OECD Creditor 
Reporting System [Developing country Members in a position to provide assistance should also 
submit the information above.]
37 
 
9.2  [Developed country] Members assisting developing country and least developed country Members shall submit to the Committee: 
 
(a)  Contact points of their agencies responsible for providing technical and financial 
assistance and support for capacity building related to the implementation of this Agreement, including where practicable, information on such contact points within 
the country or region where the assistance is to be provided; 
(b) Information on the process and mechanisms for requesting assistance. 
[Developing country Members in a position to pr ovide assistance shall submit the information 
above.] 
                                               
36 [The information provided will reflect the demand dr iven nature of some developed country approach 
to the provision of technical assistance.] 
37 [To provide transparency to developing and le ast-developed Members, developed Members will 
complete a trade facilitation technical and financial assistance and support for capacity register before signature of the Agreement. This register is cont ained in [document xxx]. This register would support 
operationalizing the principal mandate contained in Annex D of the 2004 July Framework Agreement and Annex E of the Hong Kong Declaration.  The informatio n provided shall contain a description of the technical 
and financial assistance and capacity building available and/or provided, the amounts disbursed and available, 
the beneficiary country, region (in special circumstances where required), the implementing agency in the donor Member, and procedures for disbursement of the assistance. ( placeholder )] TN/TF/W/165/Rev.16 
 
- 32 - 
 
  9.3  Developing country and least developed country Members intending to avail themselves of 
trade facilitation-related assistance shall submit to the Committee information on contact point(s) of the office(s) responsible for coordinating and prioritizing such assistance.  
9.4  Members may provide the information in paragraphs 9.2 and 9.3 through internet references 
and shall update the submitted information as necessary.  The Secretariat shall make all such information publicly available. 
 
9.5  The Committee shall invite relevant international and regional organizations (such as the IMF, OECD, UNCTAD, WCO, UN Regional Commissions, the World Bank or their subsidiary bodies, and regional development banks) and other agencies of cooperation to provide information 
referred to in paragraphs 9.1, 9.2 and 9.4. 
 
Annex [1]:  Format for Schedule B/C 
 
 
Provision/Sub-part of Provision  
Time Period  
Assistance Required and Other 
Information 
   
 
Annex X: Format for notification under Article 9.1 
 
[ Alternative 1 
Donor Member: Period covered by the notification:  
 
Alternative 2 
Donor Member: Period covered by the notification:  
Description 
of technical 
assistance  Description 
of financial 
assistance  Description 
of  
capacity 
building 
resources Status 
and 
amount 
committed  Status 
and 
amount 
disbursed Beneficiary  
country/ 
Region 
(where 
necessary)  The 
implementing 
agency in the 
Member 
providing 
assistance Procedures 
for 
disbursement 
of the 
assistance 
        
] 
 
__________ 
 Description of the 
technical and 
financial 
assistance and 
capacity building 
resources Status and amount 
committed/disbursed  Beneficiary  
country/ 
Region 
(where 
necessary) The implementing 
agency in the 
Member 
providing 
assistance Procedures for 
disbursement of the 
assistance