RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/ACC/CPV/24 
16 May 2007 
 (07-2016) 
Working Party on the 
Accession of Cape Verde Original:   English 
 
 
 
ACCESSION OF CAPE VERDE 
 
Additional Questions and Replies  
 
 
 The following submission, dated 11 May 2007, is  being circulated at the request of the 
Delegation of the Republic of Cape Verde.   
_______________ 
  WT/ACC/CPV/24 
 Page i 
 
 
  TABLE OF CONTENTS 
 
 
II. ECONOMIC POLICIES..........................................................................................................1  
- Foreign Exchange and Payments ............................................................................................1  
- Investment Regime.............................................................................................................. ......2  
- State Ownership and Privatization .........................................................................................5  
- Pricing Policies ............................................................................................................... ...........7  
III.   FRAMEWORK FOR MAKING AN D ENFORCING POLICIES ......................................7  
IV.  POLICIES AFFECTING TRADE IN GOODS .....................................................................9  
-  Trading Rights ................................................................................................................. .........9  
A. IMPORT REGULATIONS....................................................................................................12  
-  Other duties and charges....................................................................................................... .12 
-  Tariff rate quotas, tariff exemptions.....................................................................................12  
-  Customs tariff................................................................................................................. .........13  
-  Fees and charges for services rendered.................................................................................13  
- Application of internal taxes to imports ...............................................................................15  
-  Quantitative import restrictions, includi ng prohibitions, quotas, and licensing 
systems ........................................................................................................................ .............18  
- Customs valuation.............................................................................................................. .....28  
- Rules of origin ................................................................................................................ .........29  
B.  EXPORT REGULATIONS ...................................................................................................30  
- Export subsidies ............................................................................................................... .......30  
C. INTERNAL POLICIES A FFECTING FOREIGN TRADE IN GOODS .........................32  
- Industrial policy, including subsidies....................................................................................32  
- Technical barriers to trade, standards and certification.....................................................34  
- Sanitary and phytosanitary measures...................................................................................35  
- Trade-related investment measures ......................................................................................37  
- Free zones, special economic areas........................................................................................37  
-   Agricultural policies.......................................................................................................... ......38  
(a)  Imports........................................................................................................................ .............38  
V.   TRADE-RELATED INTELLECTUAL  PROPERTY REGIME.......................................39  
- GENERAL........................................................................................................................ .......39  
VII.  TRANSPARENCY .................................................................................................................39  
- Publication of information on trade......................................................................................39  
- Notifications.................................................................................................................. ...........39  
ANNEX 1 ........................................................................................................................ ......................41   WT/ACC/CPV/24 
 Page 1 
 
 
 II. ECONOMIC POLICIES 
- Foreign Exchange and Payments Question 1 Paragraph 15 of document WT/ACC/SPEC/CPV/5:  We welcome the news that Cape Verde is 
in the process of adopting the obligations of IMF Article VIII, Sections 2(a), 3, and 4.  When will 
this process be completed? 
Answer:
 
Cape Verde if grateful for the comments  vis-à-vis  IMF Article VIII, Sections 2(a), 3 and 4. 
The Bank of Cape Verde continues to work on the implementation of the IMF Agreement 
(Article VIII). It is envisaged that the process will be completed in mid 2008. 
Question 2 Paragraph 18:  We appreciate this clarification including Cape Verde's statement that this 
measure was intended to safeguard Cape Verd e's balance of payments in exceptional 
circumstances of grave concern.  We would apprecia te Cape Verde's clarification as to whether 
its authorities would seek the guidance of the IMF and the WTO Balance of Payments 
committee regarding its balance of payments  situation before invoking this measure. 
Answer:
 
In the case of exceptional circumstances the Bank of  Cape Verde would consult with the IMF and the 
WTO Balance of Payments Committee before invoking this measure. 
Question 3 
Please clarify in the Working Party Report text that there are no requirements or restrictions 
on the acquisition of foreign exchange for pa yments made in connection with the supply of 
foreign services or of investments. 
Answer:  
Cape Verde confirms that there are no requirement s or restrictions on the acquisition of foreign 
exchange for payment in connection with the suppl y of foreign services or of foreign investments. 
Question 4 As regards paragraph 16, could Cape Verde explain the reasons for requiring Bank of 
Cape Verde (BCV) authorization for: 
- obtaining currency to import merchandise above CVE 5,000,000; and 
- invisible operations falling under "private unila teral transfers" for amounts exceeding 
CVE 1,000,000 and for transfers exceeding CVE 5,000,000 as payment for goods and 
services.  WT/ACC/CPV/24 
Page 2  
 
 Answer:
 
Cape Verde confirms that currently authorizati on from the Bank of Cape Verde is required for: 
(1) obtaining currency to import merchandise above CVE 5,000,000; and (2) invisible operations falling under "private unilateral transfers" for amounts exceeding CVE 1,000,000 and for transfers 
exceeding CVE 5,000,000 as payment for goods and services. 
However, the Government of Cape Verde is working on revising Decree-Law Nos. 25/98 and 26/98 
and the Bank of Cape Verde Notice No. 4/98, th ereby eliminating the above requirements and 
restrictions. 
Question 5 
Cape Verde explains that the authorization is given automatically, when the necessary 
conditions established by law are met. Co uld Cape Verde list these conditions?   
Answer:
 
Cape Verde is grateful for this comment. We conf irm that the current law and BCV Notice are still in 
effect. 
However, please see the answer to Question 4 notif ying the WTO of the liberalization of these 
restrictions. 
- Investment Regime 
Question 6 Paragraph 26:  Please describe the process for determining fair and equitable compensation 
value in the event of government expropriation. 
Answer:
 
The State guarantees the safety and protection of the goods and the rights included in the ambit of 
foreign investment, which cannot be  nationalized or expropriated.  
Expropriations based on public utility are exceptions to  the provisions in the preceding paragraph, in 
accordance with the law, which always confers to the foreign investor the right to just indemnity 
based on the real and actual value of the investment on the date public utility is declared.  
The amount of the indemnity referred to in the preceding paragraph is fixed by common agreement 
with the government and the investor or, in the absence of an agreement, according to arbitration 
proceedings.  
The indemnity referred to in paragraph 2 is freely transferable to the outside and shall be paid 
promptly and without unjustified delays in the freely convertible currency agreed upon between the 
Government of Cape Verde and the foreign investor, and earning interests according to the LIBOR 
rates, based on 30 days applicable to the currency in  question, from the day it is fixed until the day of 
its effective payment.  WT/ACC/CPV/24 
 Page 3 
 
 
 Question 7 
Paragraph 27:  Please explain why investment incentives would not be available to a company 
that produces solely for Cape  Verde's domestic market. 
Answer:  
In 1993, when the law was enacted , the goal of Cape Verde was to stimulate production for export. 
Thus, investment incentives were available only to a company that produced for export. 
However, in view of Cape Verde's WTO access ion and economic progress, the Government is 
considering the elimination of export subsidies. 
Question 8 
The need to eliminate prohibited subsidies:  The responses to Question 3 of WT/ACC/CPV/19 
and Question 11 of WT/ACC/CPV/23 (as incorporated in paragraph 28 of the draft Working 
Party Report) are inadequate.  Th ere is no useful information on Cape Verde's programs in 
WT/ACC/CPV/22, so the "plan" in that document is useless. 
Cape Verde should supply the requested info rmation for the Working Party Report.  As 
Cape Verde will be graduated from LDC status at the end of 2007, it does not enjoy exemption 
from the requirement that it must eliminate all its prohibited subsidies by that time.  
Cape Verde should respond by providing the requ ested information, so that the Working Party 
may consider an appropriate commitment in th is regard. This material should be included 
either in this section, in the export subsidies se ction, or in the section on industrial policies, 
including subsidies. 
Answer:  
Cape Verde agrees with the statement that prohibite d subsidies should be eliminated. Cape Verde is 
aware of the change from LDC status on 1 January 2008. 
Cape Verde is working on appropr iate language for the subsidies and incentive area.  The goal is to 
prepare such a paragraph to be submitted pr ior to the next Working Party Meeting. 
Question 9 
Specific questions on the Article 4 of the Law No. 1/94 - Article 4.3:  Cape Verde explains in its 
replies to our question on Article 4, that Article 4.3 only applies to Fran c enterprises. However, 
this is not stated in the provisions of the Law and therefore Article 4 appears to have general application. Therefore the following comments still apply: 
- The criteria for receiving authorisation and in formation needed for this purpose should 
be clear and exhaustive. In the case of the present Decree, all necessary information 
should be contained in the required application forms which are set out in Annexes 1 
and 2 of the Decree; 
- We note that Article 4.3 states that "Whenever necessary, The Investment and Franc 
Enterprises Evaluation Committee should solicit complementary elements of information from the foreign investor. Acco rding to Article 4.4, in such cases the 
deadline of a maximum 30 days is suspended and resumes after the foreign investor has 
provided the requested information"; WT/ACC/CPV/24 
Page 4  
 
 - The provisions of Article 4.3 and 4.4 are arbi trary and we urge their deletion from the 
Decree. The information contained in the applic ation forms should be sufficient and it is 
for the Exports and Investment Promotion Centre, who receives the application, to 
judge whether all the information requested in the application form is submitted. 
Answer:
 
Cape Verde affirms that Article 4.3 applies to all enterprises, and apologizes for any 
misunderstandings caused.  Thus all enterprises must  provide the necessary information as set out in 
Annexes 1 and 2 of the Decree.  When the inv estor supplies all the required information, the 
application will be approved within the 30 day d eadline.  However, if all necessary and complete 
information is not provided, in tho se cases the 30 day deadline is suspended. 
Cape Verde believes that Articles 4.3 and 4.4 ar e appropriate and should remain in the law.  
Cape Verde avers that Articles 4.3 and 4.4 are not  arbitrary because a chec klist outlining and listing 
the necessary information required in Annexes 1 and 2 is provided to the applicant as part of the 
initial interview. 
Question 10 
Paragraph 20:  We have asked Could Cape Verd e give a list of sectors which are not open to 
investment because they are considered as a threat to national security, public morals, the 
environment or public health, or in violation of domestic laws and regulations.  Cape Verde has 
given only a non-exhaustive list of such activities.  Is Cape Verde intending to have an exhaustive list of prohibited sectors in its legislation? Can Cape Verde confirm that the list of prohibited investments applies equally to  domestic and foreign investments?  
Answer:
 
Cape Verde confirms that a list of sectors not open to investment was given to the WTO Secretariat. 
The current Investment Law does not contain a list of prohibited sectors.  However, it is envisaged 
that the investment law needs modernization and will be revised. A list of prohibited sectors will be 
included in the new legislation. 
Cape Verde confirms that the list of prohibite d investments applies to domestic and foreign 
investments. 
Question 11 
Paragraphs 27 and 29:  It appears that Cape Ve rde operates a system of investment incentives 
that constitute prohibited export subsidies.  Cape Verde has graduated from the LDC status and therefore cannot grant export subsidies.  
Answer:
 
Cape Verde is examining the investment in centives as part of the WTO accession process. 
Cape Verde confirms that it will graduate from the LDC status on 1 January 2008 and has requested 
transition periods for issues such as subsidies.  WT/ACC/CPV/24 
 Page 5 
 
 
 Question 12 
Cape Verde explains that it is revising its Foreign Investment Legislation by end 2006. We 
would like to see the drafts of the revised laws as soon as available to be able to comment them.  
Answer:  
Cape Verde confirms that it is envisages revising the Foreign Investment Law.  The end of 2006 is not 
a firm nor realistic date. 
Cape Verde will provide the revised law to the WTO Secretariat as soon as a draft law is available. 
- State Ownership and Privatization 
Question 13 Paragraph 33:  We would appreciate a fuller un derstanding of the reasons why Cape Verde 
does not intend to privatize the Airport Management Company and the Postal Company. 
Answer:
 
The privatization of ASA does not constitute fo r the moment a governmental priority policy. 
However, according to its Programme for the y ears 2006 to 2011 the Government of Cape Verde 
would create conditions for the implementation of priv ate activities within the airports infrastructures, 
namely for the maintenance and repairing of airplanes. 
In addition countries postal services are a government  function. Cape Verde has no plan to privatize 
the postal company. 
Question 14 
Paragraph 34:  We accept this commitment. 
Answer:  
Cape Verde thanks this Member for their comment. 
Question 15 
Paragraph 37:  Have the Cape Verdean author ities also granted Shell and ENOCOL exclusive 
trading rights for petroleum derivatives until 2007? 
Answer:  
The agreement between Shell and ENACOL gran ting exclusive trading rights for petroleum 
derivatives expired on 31 December 2006.  
Question 16 
Paragraph 40:  Current legislation appears to  require importers of staple goods to possess 
warehouses appropriate for the storage of the goods  to be imported, pay registration and annual 
renewal fees of CVE 20,000 and CVE 2,000, and pr ovide monthly information on stocks held in 
each of the islands to the National Agency for Food Security.  Are domestic producers of staple 
goods required to meet equivalent requirements? WT/ACC/CPV/24 
Page 6  
 
 Answer:
 
Cape Verde informs Members that Decree-Law No . 29/2002 of 9 December 2002, and Ministerial 
Ordnance No. 2/99 of 8 February 1999 we re revoked by Decree-Law No. 61/2005 of 
31 October 2005. 
Therefore, neither importers nor domestic pr oducers of staple goods are required to possess 
warehouses, pay registration fees and/or pr ovide monthly information on stocks. 
Consequently, Paragraph 40 of the draft Wo rking Party Report needs to be revised. 
Question 17 
The warehouse requirement appears inconsistent with Article III of the GATT and should be 
eliminated. 
Answer:  
Cape Verde agrees with the statement above.  Cape  Verde envisages the elimination of the warehouse 
requirement as soon as possible. 
Question 18  
Based on the information provided in par agraphs 36-42, Shell, ENCACOL, EMPROFAC, and 
the Cape Verdean Tobacco Company are State Tr ading Enterprises as defined by Article XVII 
and should be notified. 
Answer:  
Cape Verde agrees with this comment and will provide notification as soon as possible. 
Question 19 
In light of this problem, we seek additional la nguage for the commitment that confirms this, as 
follows: 
Paragraph 42:  We would like to propose th e following modifications to the proposed 
commitment language for this section. 
 42.    The representative of Cape Verde confirmed that his Government would ensure 
that all State-owned, State-invested, and other enterprises with special or exclusive 
privileges would make purchases and sales ba sed solely on commercial considerations, 
e.g. price, quality, marketability and availab ility, and that the enterprises of other WTO 
Members would have an adequate opportunity  to compete for sales to and purchases 
from these enterprises on non-discriminatory  terms and conditions.  In addition, the 
Government of Cape Verde would not influence, directly or indirectly, commercial decisions on the part of State-owned, State-invested, and other enterprises with special 
or exclusive privileges, including on the quantit y, value or country of  origin of any goods 
purchased or sold, except in a manner co nsistent with the WTO Agreement.  The 
representative of Cape Verde confirmed th at upon accession Cape Verde would notify 
and provide information on the activities of Shell Oil, ENACOL, EMPROFAC, and the 
Cape Verdean Tobacco Company in accordan ce with Article XVII of the GATT and the 
Understanding on that Article.  The Working Party took note of these commitments.  WT/ACC/CPV/24 
 Page 7 
 
 
 Answer:  
Cape Verde thanks this member fo r its comments and suggested language. 
Cape Verde agrees with the langua ge proposed for paragraph 42. 
- Pricing Policies 
Question 20 
Paragraph 47:  We have no more comments on  this section and we accept this commitment. 
Answer:  
Cape Verde appreciates the statement contained in the Question above. 
III.   FRAMEWORK FOR MAKING AND ENFORCING POLICIES 
Question 21 
Paragraph 57:  We request that Cape Verde rem ove the external brackets from this standard 
commitment language.   
Answer:  
Cape Verde agrees to the request for paragraph 57. 
Question 22 
Paragraphs 58-60:  These paragraphs describe Ca pe Verde's appeal process to an independent 
tribunal for issues covered by the WTO. 
Please indicate in the text if, when they are op erational, the Administrative Courts will address 
all appeals made against executive actions covere d by the WTO, or if the Common Courts will 
still be an option. 
Answer:  
Cape Verde confirms that appeals against executiv e (administrative) actions covered by WTO may be 
made to a judicial body. Currently the Administrativ e Court has not been creat ed as such. Thus, in the 
mean time, appeals of WTO related issues will be made to the Common Court and a judge assigned to 
handle the administrative issue or problem. 
Question 23 
Please revise the first sentence of paragraph 60, e. g., "...that an aggrieved party could appeal...".   
Answer:  
Cape Verde agrees with the suggested langua ge and will revise paragraph 60 accordingly. WT/ACC/CPV/24 
Page 8  
 
 Question 24 
Paragraph 61:   Concerning Cape Verde's mediat ion and arbitration regimes:  Has Cape Verde 
enacted its new arbitration law? 
Answer:
 
Cape Verde confirms that the new arbitration law has been enacted. Question 25 What is the relevance to issues covered by WTO obligations of the mediation or arbitration 
provisions and centres for appeals by importe rs and exporters of government decisions?  Are 
these the "independent administrative tribunal and ordinary tribunals of second instance" 
referred to in paragraph 63? 
Answer:
 
No.  The arbitration law establishes separate entities ou tside the judicial court system of Cape Verde. 
The Cape Verde arbitration law honours the decision s of arbitration bodies outside Cape Verde, in 
accordance with the New York Convention. 
Question 26 
Paragraph 63:  We support an appropriate commit ment for this section on the right of appeal, 
but believe that the texts in paragraph 63 may be too elaborate.  We suggest the following redrafted text for paragraph 63 for Cape Verde's consideration: 
 63.      [The representative of Cape Verde confirmed that the current Constitution, Laws 
and regulations provide  the necessary instit utional base for the prompt administrative 
and judicial review of the Government's actions.  He  further confirmed that  from the 
date of accession Cape Verde's laws would pr ovide for the right to appeal administrative 
rulings on matters subject to WTO provisions to the courts or other independent tribunal in conformity with WTO obligations, including but not limited to those set out 
in Article X of the GATT 1994, Article 23 of the Agreement on Subsidies and 
Countervailing Measures, Article 11 of the Agr eement on Implementation of Article VII 
of the GATT 1994, Article 62 of the Agreement on Trade-Related Aspects of Intellectual 
Property Rights and Article VI of GATS.  The tribunals or procedures would also include actions relating to the implementati on of national treatment, conformity 
assessment, the regulation, control, supply or promotion of a service, including the grant 
or denial of a licence to provide a service and other matters.  The tribunals or procedures responsible for such reviews wo uld be impartial and independent of the 
agency entrusted with administrative enforce ment and shall not have any substantial 
interest in the outcome of the matter.  The review procedure would include the opportunity for appeal, without penalty, by individuals or enterprises affected by any 
administrative action subject to review.  Notice of the decision on appeal would be given to the appellant and the reasons for such a decision would be provided in writing.  The 
Working Party took note of these commitments.]  WT/ACC/CPV/24 
 Page 9 
 
 
 Answer:  
Cape Verde thanks Members for the suggested la nguage in paragraph 63 and accepts the commitment 
language suggested above. 
IV.  POLICIES AFFECTING TRADE IN GOODS 
-  Trading Rights 
Question 27 We commend Cape Verde for taking steps to ame nd its trading rights system to bring it into 
conformity with WTO provisions.  However, we  are still very concerned about the requirement 
that importers have a commercial presence in Cape Verde and a lack of commitment language. 
Answer:
 
Cape Verde thanks Members for their comments. Pu rsuant to current commercial legislation, three 
basic requirements are set out:  (1) capita l; (2) warehouse, and (3) registration. 
Cape Verde is aware that these commercial presence requirements may conflict with 
GATT Articles III and XI and constitute a WT O inconsistent restriction on trade. 
Cape Verde proposes a transition period to revise th e commercial legislation and aligned procedures. 
Commitment language will be provide d in the response to Question 31. 
Question 28 
Paragraph 64:  Can "industrial enterprises" impo rt goods to compliment their product line and 
include those for sale to the Cape Verde market?  After Cape Verde changes its laws to provide 
for an importer of record, will these enterprises be able to import goods without right of 
distribution, recognizing that they will have to pa ss the imports on to lo cal distributors for sale 
in Cape Verde?  This information should be in the text. 
Answer:  
Cape Verde confirms that "industrial enterprises" are allowed only to import raw materials, semi-
manufactured inputs and equipment for its own needs.  This is cleared spelled out in Paragraph 64 of 
the draft Working Party Report. 
Question 29 Paragraph 75:  The requirement that importers need to establish a commercial presence in 
Cape Verde still conflicts with fundamental rights under GATT Articles III and XI and constitutes a WTO inconsistent restriction on trad e.  An importer should be able to register as 
an "importer of record" to import without establishing a full commercial presence in Cape Verde.   
Answer:
 
Cape Verde notes these comments.  Please note the answer to Question 27. WT/ACC/CPV/24 
Page 10  
 
 Question 30 
Please indicate how and when Cape Verde will am end its law to bring it into full conformity 
with WTO provisions. 
Answer:
 
Please note the answer to Question 27. 
Cape Verde envisages the elimination of the capital, warehouse and registration requirement.  
Question 31 
We propose the following commitment language: 76.    The representative of Cape Verde confirme d that from the date of accession Cape Verde 
would grant any natural or legal person, domestic  or foreign, the right to be the importer of 
record of any product allowed to be imported  into Cape Verde, and that its laws and 
regulations relating to the right to trade in goods and all fees, charges or taxes levied on such 
rights would conform fully with its WTO obligations, including Articles VIII:1(a), XI:1, and III:2 and 4 of the GATT 1994, Article III of the General Agreement on Trade in Services, and Article 63 of the Agreement on Trade-Related Aspects of Intellectual Property Rights.  He also 
confirmed that full rights to import and to expo rt would be granted in a non-discriminatory and 
non-discretionary manner from the date of accession, and any requirements for commercial 
registration or application for trading rights  would be for customs and fiscal purposes only, 
would not require investment in Cape Verde nor confer the right to distribute there, and would 
not constitute a barrier to trade.  The Working Party took note of these commitments. 
Answer:
 
Please note the answers to Question 27 and that Cape Verde is requesting a transition period. 
Question 32 
Paragraph 71:  Could Cape Verde explain the current state of revision of the decree Law 
No. 50/2003 on procedures and requirements for registration of commercial operators?  Could 
Cape Verde submit a copy of the draft law as soon as available? 
Answer:  
Cape Verde thanks Members for this question. Ca pe Verde reports that Decree-Law No. 50-2003 was 
revised and the subject area was divided into tw o Decree-Laws (No. 68/2005 of 31 October 2005 and 
No. 3/2006 of 16 January 2006). 
English translation of these Decree-Law s will be provided as soon as possible. 
Question 33 
Paragraph 71:  Cape Verde explains that the new draft law to revise Decree No. 50/2003 would 
not specify the conditions under which the Cham ber of Commerce could reject an application 
for a commercial licence.  We would point out th at all conditions for obtaining the licence need 
to be fully and clearly spelled out in the relevant law.  We would urge Cape Verde to take this 
into account and to modify its draft law accordingly.   WT/ACC/CPV/24 
 Page 11 
 
 
 Answer:  
These conditions were taken into consideration in the revision of Decree-Law No. 50/2003, of 
24 November 2003.  In effect, all the general a nd special conditions necessar y to obtain a commercial 
Licence are described in the new laws approved (A rticles 15 and 17 of Decree-Law No. 68/2005 of 
31 October 2005 that "reviews the regime to whic h the registration and the exercise of the wholesale 
and retail commercial activity are subject to and th e role of the public powers), and Article 8 of 
Decree-Law No. 3/2006, of 16 January 2006, which "establishes the regime to which the installation 
and the modification of the commercial establishments are subject.  
Question 34 
Paragraph 71 and Question 35: Cape Verde expl ains that it has passed an Ordinance that 
harmonises the registration fees of importers a nd exporters.  Could Cape Verde submit this 
Ordinance to the Working Party? 
Answer:  
Cape Verde wishes to correct a statement in the dr aft Working Party Report.  The registration fees 
were fixed by Ordnance No. 40/2004 of 4 October 2004 rather than No. 31/86 of 6 September 1986. 
Also, Cape Verde wishes to correct the impressi on that an Ordinance has already been passed 
harmonizing the registration fees of importers and exporters. 
The Ministry of Economy has drafted an Ordinance harmonizing the fees.  However, the amount of 
fees has not, as yet, been determined.  As soon as a decision of the fee amount is made, the Ordnance will be issued. A copy of the Ordnance will be pr ovided to the WTO as soon thereafter as possible. 
Question 35 
In Question 36 Cape Verde mentions the draft law on revising the licensing for commercial 
activities. Can Cape Verde give the full name of this law and indicate whether and when it has 
been submitted to the Working Party?  
Answer:
 
Cape Verde responds to this question as follows: 
- Name of the law: Juridical Regime of Foreign Trade, Decree-Law No. 68/2005 of 
31 October 2005. 
- Whether and when submitted to the Working Part y: Cape Verde confirms that the draft law 
has been submitted to the Working Party. 
Question 36 
Paragraph 71:  Could Cape Verde explain th e current state of revision of the decree Law 
No. 50/2003 on procedures and requirements for registration of commercial operators?  Could 
Cape Verde submit a copy of the draft law as soon as available? WT/ACC/CPV/24 
Page 12  
 
 Answer:
 
Cape Verde thanks Members for this question. Cape Verde reports that Decree-Law No. 50-2003 was 
revised and the subject area was divided into tw o Decree-Laws (No. 68/2005, 31 October 2005 and 
No. 3/2006, 16 January 2006). 
English translation of these Decree-Law s will be provided as soon as possible. 
A. IMPORT REGULATIONS 
-  Other duties and charges  
Question 37 
We appreciate the revisions of this section that have taken place. 
Answer:  
Cape Verde thanks this Member for the above comment. 
Question 38 
Paragraph 85:  While we would prefer that Cape  Verde eliminate all such charges, or provide 
the funds required by ECOWAS out of custom s revenues, we are prepared to agree that 
Cape Verde should notify this tax as an "other du ty or charge" as provided for in Article II:1(b) 
of the GATT 1994 and the Understanding, and bind it by including it in its goods market access 
schedule. 
We support the commitment language in the firs t set of brackets, and suggests that the last 
sentence of the other draft commitment be a dded, to cover the surtax in paragraph 82. 
The commitment would now read:  85. [The representative of Cape Verde confirmed that his Government would not 
list duties and charges in its Schedule of Concessions and Commitments on Goods under 
Article II:1(b) of the GATT 1994 except for the ECOWAS Community Levy of 0.5 per 
cent, thereby binding such charges at that rate.  He also confirmed that measures 
applied to imported goods of the kind described in paragraph [82] would be eliminated no later than the date of Cape Verde's a ccession and that after accession measures of 
this kind would not be reapplied or introdu ced. The Working Party took note of these 
commitments.]   
Answer:
 
Cape Verde appreciates these comments and accepts the commitment language suggested. 
-  Tariff rate quotas, tariff exemptions 
Question 39 
Referring to tariff exemptions, the response to Question 20 in WT/ACC/CPV/19 states that 
"Projects of development benefits from exemptio ns in accordance with the agreement reached."    WT/ACC/CPV/24 
 Page 13 
 
 
 Please indicate what conditionality is associated with these benefits, e.g., would it include export 
promotion or use of local content in production? 
Answer:  
Cape Verde advises that tariff exemptions apply to those people, organizations and tourist enterprises 
mentioned in response to Question 20 in WT/ACC/CPV/19. 
Please note that the customs exemptions are depe ndent on the status of the applicant (such as 
embassies, diplomats, industrial enterprises, tour ist enterprises and domestic development benefits). 
None of these beneficiaries of exemptions engage in export production or promotion nor have a local 
content requirement. 
-  Customs tariff 
Question 40 
Paragraph 77:  Can Cape Verde provide an up date on whether the new customs code was 
approved by the National Assembly in July 2005? 
Answer:  
Cape Verde confirms that the Customs Code wa s not approved by the National Assembly in 2005. 
WTO deficiencies in the Customs Code (to wit, Rules of Origin and Border Enforcement of 
Intellectual Property Rights) were noted.  Draft Amendments conforming the Customs Code to WTO 
requirements have been prepared, and forwarded to the Government. 
Cape Verde envisages that the Customs C ode will be approved by December 2007. 
-  Fees and charges for services rendered  
Question 41 
This section of the report needs substantial revis ion.  While we appreciate that Cape Verde 
undertook the effort to study whether its cu stoms user fee was in conformity with 
GATT Article VIII and based on the cost of serv ices rendered, the study does not address all the 
relevant issues: 
The Dispute Settlement panel on this issue, "United States – Customs User Fee" noted that 
ad valorem fees are by definition not related to the cost  of services rendered as they are based on 
the cost of the import.   
Answer:  
Cape Verde appreciates the comments of Members.   Cape Verde undertook a study to justify the 
1.04 per cent custom user fee a nd was prepared to forward the study to the WTO Secretariat. 
However, in view of the comment that ad valorem  fees are not in conformity with GATT Article VIII, 
it will be necessary to conduct a new study and analysis of the import declarations in order to 
determine the appropria te fixed fee rate. 
Cape Verde does not possess the expertise to c onduct such a study on user's fees. Therefore 
Cape Verde requests technical assistance so as to carry out the study as soon as possible. WT/ACC/CPV/24 
Page 14  
 
 Question 42 
Cape Verde has not indicated that there are any mitigating additional factors and that revenues 
from the application of the fee to imports are used for purposes other than import processing. 
Under these circumstance, we believe that the fee is clearly WTO inconsistent and must be 
amended or eliminated.  We will need to understand precisely the structure of its replacement 
prior to concluding Cape Verde's accession process. 
Answer:
 
See answer to Question 41. Cape Verde envisages a change from an ad valorem rate to a fixed rate, pending the result of a study. 
Question 43 
Paragraph 95 does not address the concerns of Working Party members and contradicts the 
commitment in paragraph 96, since the 1.04 per cent  fee is WTO inconsistent.  If revenues from 
the fee are used for export processing, then the f ee should be applied equally to exports.  But 
this is not the sole problem.   
Answer:
 
See answer to Questions 41 and 42. 
Question 44 
There should be no excess revenues rebated to the State.  
Answer:  
See answer to Questions 41-43. 
Question 45 
Revenues from the fee should not be used for customs expenditures not associated with 
processing imports and exports.   
Answer:  
See answer to Questions 41-44. 
Question 46 
The fee should approximate the actual cost of  processing individual import shipments, e.g., 
there should be some minimum and some maximum charge that ensures the fee is not simply 
another form of tax.  WT/ACC/CPV/24 
 Page 15 
 
 
 Answer:  
Cape Verde appreciates these comments.  Please see the answer to Question 41. The study Cape Verde envisages conducting is ai med at establishing a two-tier (maximum and 
minimum) charge. 
Question 47 
Cape Verde needs a new customs processing fee.   It should address the issues raised in 
paragraph 94 and above, and indicate what it is prepared to do to bring the fee into conformity 
with WTO.  A new, more detailed commitment may be necessary unless Cape Verde is willing 
to make the necessary changes in the near term. 
Answer:
 
See answer to Question 41. 
Cape Verde is willing to make the necessary ch anges, in the near-term, to comply with 
GATT Article VIII. 
As stated previously, technical assistan ce is needed to accomplish this task.  
Question 48 
As regards the customs user fee of 1.04 per cent imposed on the CIF-value, we would urge 
Cape Verde to bring it in compliance with Article VIII of the GATT 1994 by making it 
commensurate to the services provided.  Ad valorem  fees are not in compliance with Article VIII 
GATT.    
Answer:  
Cape Verde appreciates the comments of the Members.   Cape Verde undertook a study to justify the 
1.04 per cent custom user fee a nd was prepared to forward the study to the WTO Secretariat. 
However, in view of the comment that ad valorem  fees are not in conformity with GATT Article VIII, 
it will be necessary to conduct a new study and analysis of the import declarations in order to determine the appropria te fixed fee rate. 
Cape Verde does not possess the expertise to conduct each a study on user's fees.  Therefore 
Cape Verde requests technical assistance so as to carry out the study as soon as possible. 
- Application of internal taxes to imports 
Question 49 Double taxation of imports:  Paragraph 100 and the response to Question 83 of 
WT/ACC/CPV/23:  In the interest of transp arency, we would appreciate hearing from 
Cape Verde about the status of its study on the possibility of double taxation of imports.  We 
request that Cape Verde share this study with the members of the Working Party. WT/ACC/CPV/24 
Page 16  
 
 Answer:
 
The data in paragraph 100 is conf using and should be clarified. 
First, the Special Tax on Consumption is onl y applied on imports. The STC is not applied on 
domestically produced goods. 
Second, domestically produced are subject to th e Value Added Tax (IVA) since 1 January 2004. 
Cape Verde has not conducted a study vis-à-vis double taxation due to lack of competency. However, 
it should be noted that VAT (IVA) in all probabilit y is not double taxed as the point of sale vendor is 
credited with the VAT tax already included in his purchase price. 
Question 50 
Environmental Tax:  Regarding the response to Question 14 of WT/ACC/CPV/19 and 
paragraph 101 of the draft Working Party Report , we have reviewed the legislation amending 
the Environmental Tax circulated to the Working Party. 
Is the law enacted?  If so, what specific changes have been made to the tax to bring it into 
conformity with WTO?   
Answer:  
Cape Verde confirms that the law has not been enacted. 
The specific purpose of the law is to equalize the tax rate between imported products and domestically 
produced products. When the law becomes effective, it will be WTO conforming. 
Question 51  
Article 2 of the law states:  "The Environmental Tax shall be collected by the Customs Services, 
and applied, both to imports and to national production,...". 
Why, and how, is the Environmental Tax on national production collected by the Customs 
Services?  This implies that the tax is actually  only collected on imports.  Please explain. 
Answer:  
The Government of Cape Verde determined that the amount to be collected for the ecology tax did not 
justify the creation of two structures for the referred collection.  That is the reason why it decided that 
the collection of the ecology tax on imported as we ll as on national products should be done by the 
customs.  
The ecology tax is applied both on imports and on national production. 
Question 52 
Article 8 of the VAT Law contains exemptions  for certain domestic operations.  One such 
exemption is "The transmissions of goods and re ndering of services performed in the ambit of 
agricultural, forestry, livestock and fishing activities."  Another is "The transmission of staple 
goods, to be defined specifically in the VAT Regulation."  WT/ACC/CPV/24 
 Page 17 
 
 
 Please indicate whether the sale of agricultural, forestry, livestock, and fishery goods by farmers 
is subject to the VAT.  If not, please indica te whether similar imported products are also 
exempt. 
Answer:  
Cape Verde confirms that the VAT law contains certain exemptions for domestic operations. These 
exemptions include agriculture, forestry, livest ock and fishing activities for certain domestic 
operations. 
Cape Verde further confirms that similar imported products are exempt. 
Question 53 
Article 8 of the VAT Law contains exemptions  for certain domestic operations.  One such 
exemption is "The transmissions of goods and re ndering of services performed in the ambit of 
agricultural, forestry, livestock and fishing activities."  Another is "The transmission of staple goods, to be defined specifically in the VAT Regulation." 
Please confirm that the "transmission of staple  goods" as defined in the VAT Regulation, is 
exempt from the VAT for both domestic and impo rted such goods.  Please identify where in the 
VAT Regulation these exemptions are listed. 
Answer:
 
Cape Verde confirms that the transmission of "staple goods" is exempt from VAT for both domestic 
and imported such goods. 
Article 9 of the VAT sets forth (or lists) the exemptions in paragraph 28. 
Question 54 
Article 8 of the VAT Law contains exemptions  for certain domestic operations.  One such 
exemption is "The transmissions of goods and re ndering of services performed in the ambit of 
agricultural, forestry, livestock and fishing activities."  Another is "The transmission of staple goods, to be defined specifically in the VAT Regulation." 
VAT exemptions involving non-application of the t ax to domestic goods at some point of sale are 
discriminatory unless the exemption applies equally  to similar imported goods, e.g., "in the 
ambit of agricultural, forestry, livestock and fishing activities" or the "transmission of staple goods." 
Answer:
 
Cape Verde thanks Members for this statement. Cape Verde confirms that VAT exemptions to domestic goods are not discriminatory as the 
exemptions apply equally to similar imported goods vis-à-vis  the ambit of the above question.  
Question 55 
Cape Verde should amend its legislation to meet the national treatment requirements of 
Article III, in this regard. WT/ACC/CPV/24 
Page 18  
 
 Answer:
 
Cape Verde asserts that the VAT legislation me ets the "national treatment" requirements for 
Article III. 
See answers to Questions 52-54. 
Question 56 
Special Tax on Consumption (STC):  Concerning  Table 5:  why is the STC on still wine 
10 percentage points less than the STC on all other alcoholic beverages, including sparkling 
wine, beer, and distilled spirits?   
Answer:  
The difference in the rates contained in the tabl e of taxes on special consumption (ICE) between 
common wine and other alcoholic beverages including  spumantes, beer and distilled beverages has to 
do with the policy adopted by the Government for the Health Sector, with the common wine being 
less prejudicial to health than the distilled beverages. 
Question 57 
Concerning Table 5:  Does Cape Verde have domestic production in this HS category? 
Answer:  
Cape Verde confirms that it produces beer and small quantities of wine from the Island of Fogo. 
-  Quantitative import restrictions, including prohibitions, quotas, and licensing systems  
Question 58 
We commend Cape Verde for responding to Work ing Party concerns about the licensing system 
and drafting amending legislation to Decree/Law No. 51/2003 of 24 November to bring it into 
greater conformity with WTO provisions.  Howe ver, the responses to questions on this issue, 
e.g., the responses to Questions 78-85 of WT/ACC/CPV/20, are extremely uninformative.  We still seek more information to ensure the new Dra ft Decree Law on Import and Export licensing 
is compliant, and we have specific comments on  how the draft Working Party Report text can 
be improved. 
Answer:
 
Cape Verde appreciates the comments of the Member. However, please note that Decree-Law 
No. 50/2003 was revised by Decree-Law No. 68/2005, "Foreign Trade Regime." 
Other Members raised questions about Decree-Law  No. 68/2005 about licensing. Please refer to the 
European Union Questions 35, 48 and 63 for clarification of the licensing issue. 
Question 59 
Concerning the new Draft Decree Law on Import and Export licensing:  Has the legislation 
gone into effect?  WT/ACC/CPV/24 
 Page 19 
 
 
 Answer:  
Cape Verde confirms that the law was enacted on 31 October 2005, but the implementing regulations 
have not been prepared or circulated.  They are still working on the regulation. 
Question 60 
Concerning the new Draft Decree Law on Impo rt and Export licensing:  Does it require 
importers to apply for an automatic licence fo r all imports that are not covered by non-
automatic licensing?  If so, why?   
Answer:  
Decree-Law No. 68/2005, Articles 6 and 7 provide for the automatic and non-automatic licenses. 
Importers do not have to apply for an automatic licence. 
Question 61 Concerning the new Draft Decree Law on Import a nd Export licensing:  What is the purpose of 
requiring a licence for all imports? [Note: We need  a satisfactory answer to that question.  It 
has been asked a number of times before.  End note]  
Answer:
 
Please see the answer to Question 60. 
A licence is not required for all imports. Article  6 of Decree-Law No. 68/2005 provides for those 
products requiring a licence (or non-automatic licence). 
Question 62 
Concerning the new Draft Decree Law on Import and Export licensing:  What requirements, if 
any, exist limiting who can apply for an import licence?  
Answer:  
Please refer to the answers to Questions 35, 48, 60, 61 and 63. Automatic licenses apply to all goods except goods listed for which a licence or permit from a 
government agency is required. 
Annexed is the list of goods requiring a licence or permit.  Question 63 Draft law on export and import licensing:  We no te that Articles 6 and 7 of  the draft law on 
Import and Export Licensing are not comp atible with the WTO Agreement on Import 
Licensing Procedures. We would refer to our spec ific comments on these Articles submitted to 
the WP and would urge Cape Verde to modify the draft law accordingly.  
Answer:
 
Cape Verde agrees that Articles 6 and 7 are not clear and Article 6(2) perhaps is incorrect. WT/ACC/CPV/24 
Page 20  
 
 The Ministry of Economy (Director General of Comme rce) is working on modifications of Articles 6, 
7 and 8 of the law.  It is envisaged that such modifications will be completed as soon as possible and 
hopefully before the next Working Party Meeting. 
Cape Verde appreciates the specific comments on the Articles by Members and will incorporate these 
suggestions in the modified draft law. 
Question 64 Draft law on export and import licensing:  Articl e 6 and 7 appear not to be compatible with the 
WTO Agreement on Import Licensing Procedur es. The goods subject to both automatic and 
non-automatic licensing are not clear. The good s subject to licensing and the criteria for 
obtaining the Licence should be clear and exhaustive and publicly available.  
As regards Article 6:  On Article 6 c): We woul d urge Cape Verde to abolish this provision, if 
the corresponding provision of law No. 51/2003 will be eliminated, as explained by Cape Verde in its reply to our question. We also remind Cape Verde or our general comment that all products subject to licensing need to be clearl y indicated and exhaustively listed in the law on 
Import and Export Licensing to be compat ible with the relevant WTO Agreement.   
As regards Article 7:  We note th at all products subject to licensing need to be clearly indicated 
and exhaustively listed in the law on Import a nd Export Licensing to be compatible with the 
relevant WTO Agreement. We therefore urge Cape V erde to modify the draft law to include in 
it an exhaustive list of produc ts subject to non-automatic licen sing according to a) to c). 
Answer:
 
Please refer to the answer to Question 63. 
Cape Verde confirms that it will incorporate the Members comments into the modification of the law. 
Question 65 
Concerning the new Draft Decree Law on Import  and Export licensing:  Please review the 
Questions 78-85 of WT/ACC/CPV/20 and provide the information requested in a response. 
Answer:  
Cape Verde confirms that the law on licensing (D ecree-Law No. 68/2005 of 31 December 2005) was 
forwarded to the WTO Secretariat. 
Many of the Questions asked in  numbers 78-85 of WT/ACC/CPV/20 have been answered in the 
current set of questions. 
Question 66 
Table 6:  We cannot agree that the current licensi ng restrictions on jewels and other precious 
stones and metals (excluding monetary gold an d silver) are justifiable under WTO provisions. 
What precious stones, other than diamonds, are covered by these requirements?  What is the 
purpose of the requirement?   WT/ACC/CPV/24 
 Page 21 
 
 
 Answer:  
The Central Bank of Cape Verde confirmed that ther e are no restrictions on jewels and other precious 
stones and metals (excluding moneta ry gold and silver).  Obviously , monetary gold and silver are 
subject to restrictions in international trade.  Thus, Table 6 will have to be modified accordingly. 
Question 67 
Table 6: We cannot agree that the current licensi ng restrictions on jewels and other precious 
stones and metals (excluding monetary gold an d silver) are justifiable under WTO provisions. 
Why are precious metals other than monetary gol d and silver subject to licensing restrictions? 
Article 41 of the ECOWAS Agreement does not appe ar to authorize such restrictions, except for 
monetary gold and silver.  Neither is such le gislation listed in Cape Verde's response to 
Question 21 in WT/ACC/CPV/19. 
Answer:  
Please refer to the answer of Question 66. Cape Verde commits to modifying Table 6 in the draft Working Party Report. 
Question 68 
Cape Verde should provide a revised paragraph 105 with the responses to these questions in the 
text to address these issues, for example: 
105. He noted that according to Cape Verd ean Law only the Government, through the 
Ministry of Defence and the Ministry of Home Affairs, could import heavy weapons and munitions for defence and security use.  ECOW AS controlled the importation of hand-held 
weapons and munitions.  ECOWAS also author ized restrictions on imports, exports and re-
exports of gold for monetary use, gold in bars or gold in any other unwrought or semi-
manufactured form.  In Cape Verde, gold for mone tary use was subject to control by the BCV.  
These restrictions were, in his view, covered by Article XX of the GATT 1994.  Also subject to 
control by the BCV were precious stones and meta ls other than diamonds or monetary gold.  
These restrictions were authorized by [FILL IN THE CITATION OF CAPE VERDE'S LAW] 
and were intended to fight smuggling, money laundering, and the circumvention of capital 
account controls.  There was no inte nt to prevent trade in these item s, only to verify the purpose 
for their importation through identification of an appropriate importer.  He confirmed that, 
except for tobacco, none of the goods subject to international trade restrictions were produced 
in Cape Verde.  Tobacco production in Cape Ve rde was insignificant.  A private company - the 
Cape Verdean Tobacco Company (Sociedad Cabo Verdiana de Tabaco) - held an exclusive 
right to import tobacco until 2012 in accordance wi th a contract between the enterprise and his 
Government and could be considered a state trading enterprise within the meaning of Article XVII of the GATT and the Understanding on that Article.  Cape Verde prohibited (non-
automatic licensing) the importation of nuclear a nd radioactive products or waste in accordance 
with international non-proliferation treaties.  Other products prohibited in Cape Verde are 
listed in Table 7. WT/ACC/CPV/24 
Page 22  
 
 Answer:
 
Cape Verde thanks this member for its comme nts and suggestions c oncerning paragraph 105. 
Cape Verde agrees to provide a revised paragraph 105, including changes to  Cape Verdean Tobacco 
Company. 
Question 69 
Table 7:  What are "Noxious medicaments and food stuffs pernicious to public health?"   Are 
there specific criteria applied?  Who judges? 
Answer:  
The Ministry of Health in Cape Verde confirms that the words "noxious medicaments and foodstuffs 
pernicious to health" probably are a misuse or a mistranslation from the original Portuguese. 
What is meant are medications of poor quality or out of date, and foodstuffs that are harmful or 
dangerous to the health of the public. 
The Ministry of Health is the agency responsible for decision vis-à-vis  medication and foodstuff. 
Question 70 
Concerning "technical control" as defined in th e new Draft Decree Law on Import and Export 
licensing: Cape Verde should consult the Agre ement on Technical Barriers to Trade and its 
commitment in WT/ACC/SPEC/CPV/5 on its implementation of that Agreement. 
Answer:  
Please note that the old law concerning Import and Export licensing talked about "technical control." 
This language was eliminated in the new law – Decree-Law No. 68/2005. 
See answer to Questions 71-73.  Cape Verde comm its to paragraph 158 in the draft Working Party 
Report. 
Question 71 
The TBT Agreement does not authorize "verification  of the technical specifications and of the 
"standard" qualities of the goods, in accordance with  legal and contractual criteria, national or 
international, and the usual trade practices" unl ess the technical issue involves issues of life, 
health, and safety. Standards are voluntary, and there are no provisions for standards in 
contracts to be enforced by customs officials. 
Answer:  
Cape Verde appreciates these comments. Cape Verde is reviewing and updating the TB T Action Plan (WT/ACC/CPV/11/Rev.1 – dated 
10 June 2005).  Cape Verde envisages the need for a transition period of five years to implement the 
TBT Agreement.  WT/ACC/CPV/24 
 Page 23 
 
 
 Question 72 
Cape Verde's "technical control" does not appe ar consistent with the TBT Agreement or the 
commitment taken in paragraph 159, and Cape V erde has explained in paragraph 158 that it 
does not have technical regulations. 
Answer:  
As stated in paragraph 156 of the Draft Working Party Report (WT/ACC/SPEC/CPV/5 of 
7 November 2005) "The representativ e of Cape Verde confirmed that his government would comply 
with the transparency and other general requirement s of the TBT Agreement as part of its accession 
process.  Also please note the commitment ma de in paragraph 158 (WT/ACC/SPEC/CPV/5 of 
7 November 2005.  From the date of accession,  its Enquiry Point would be operational and 
Cape Verde would designate a central government authority responsible for the implementation of 
notification procedures under the Agreement and an authority responsible for overall monitoring of 
compliance with its TBT obligations.  Any sta ndards, technical regulations, and conformity 
assessment procedures adopted would be developed and applied in conformity with the provisions of 
the Agreement, including publication prior to im plementation to allow interested parties the 
opportunity for review and comment as provided for in the Agreement.  Existing or new measures 
would be applied on a non-discriminatory basis, i.e. providing for national treatment and MFN 
treatment to all imports.  Cape Verde also woul d monitor the work of the Committee on Technical 
Barriers to Trade.  He added that Cape Verde would seek out all available technical assistance to 
ensure that its capacity to eventually implement the Agreement is assured.  The Working Party took 
note of these commitments". 
The General Directorate of Commerce insists on a commitment in which Cape Verde agrees to 
conform its legislation with the TBT, but negotiatin g derogation sufficient to the effect.  From our 
point of view Cape Verde does not have the c onditions to minimally implement the commitments 
resulting from the commitment referred to above. 
Question 73 
We seek amendment of the draft law to ensure that there is no enforcement by Cape Verde 
customs of voluntary standards and that it is  consistent with all of Cape Verde's WTO 
obligations.  We seek a commitment confirming  in the draft Working Party Report that 
Cape Verde will not enforce standards in contracts. 
Answer:  
Cape Verde thanks this Member for these comments. 
Cape Verde agrees to include a paragraph in the dr aft Working Party Report that Cape Verde will not 
enforce voluntary standards in contracts. 
Question 74 
We seek the following addition to  the Working Party report text:   
110ter. One member pointed that Article 13 of the draft legislation contained provisions 
authorizing the application of non-automatic li censing for the "verification of the technical 
specifications and of the "standard" qualities of the goods, in accordance with legal and 
contractual criteria, national or internationa l, and the usual trade practices."  This member 
stated that the WTO authorizes restrictions on im ports only for technical issue involving issues WT/ACC/CPV/24 
Page 24  
 
 of life, health, and safety.  Cape Verde has explai ned that it has no such technical regulations in 
place.  Standards are voluntary, and the WTO contained no provision to authorize customs officials to enforce standards in import contracts.  Therefore,  it would appear that such 
restrictions on imports for the reasons stated co uld not be justified under WTO.   The member 
requested that Cape Verde ensure the draft law amending Decree Law No. 51/2003 eliminate 
authority for Cape Verde customs officials to enforce voluntary standards and its other 
provisions are consistent with Cape Verde's WTO obligations. 
Answer:
 
Cape Verde confirms that customs officials will not enforce voluntary standards. See answer to 
Questions 71-73. 
Please note that Decree-Law No. 51/ 2003 has been revoked and Decree-Law No. 68/2005 replaces it. 
Cape Verde thanks this Member for the suggested paragraph 110 ter and will modify the language in 
accordance with the new law. 
Question 75 
Paragraph 111:  We note that Cape Verde has co mmitted to amend its licensing system so that 
most products would be covered by automatic licensing.  However, some products are still 
subject to non-automatic licensing.  
Answer:  
Cape Verde thanks this Member for the observation that most products are covered by an automatic 
licence. 
See answer to Question 62. 
The list of products subject to non-automa tic licensing can be found in Annex 1. 
Question 76 
Please provide the list of all good s that will remain subject to no n-automatic licensing, i.e., that 
require sanitary, environmental or safety cert ificates, are prohibited, or require prior 
authorization by HS number.   
Answer:  
Cape Verde confirms the following information: With regard to the vegetable and animal products, it  is not possible to provide an exhaustive list by 
HS number because the products vary constantly  and new products continue to be produced, 
commercialized, and imported.  Thus, we would incur the risk of leaving some product out of the list.  
Cape Verde can present is the following list, by produ ct category, subject to a non-automatic licence.  
1.  Vegetable products: 
 - Seeds for fruit trees, forestry essences, cereals, legumes and ornamental plants; 
 - Fruits, stems, leaves, flower bulbs  or subterranean portions of plants;  WT/ACC/CPV/24 
 Page 25 
 
 
  - Plants, fragments of plants, tree-sap lings, propagolum, and other parts that are 
destined for the propagation of plants; and 
 - Flowers.  
2.  Animal products 
 - Animals, including exotic animals; 
 - Food and products of animal origin; and 
 - Medicaments, biological products for veterinary use.  
Question 77 
Please indicate how the requirements in Articl e 13 of the draft law relate to Cape Verde's 
commitments on TBT and SPS in the draft Workin g Party Report and whether Cape Verde will 
amend or eliminate this provision to comply with WTO provisions. 
Answer:  
Cape Verde confirms that Article 13 of the draft law was eliminated in Decree-Law No. 68/2005, so 
as to comply with the WTO provisions. 
Question 78 
As it is noted that TCEs will remain in effect  "until the end of their validity," about how long 
will that be? 
Answer:  
Cape Verde confirms that the TCE remains in ef fect "until the end of their validity period." The 
validity period is six months from the date of issue. 
Question 79 
We note that Cape Verde has not submitted it s Import Licensing Quest ionnaire to the Working 
Party.  We seek such a submission for review be fore conclusion of the negotiations.  We cannot 
conclude this section without reference to  the responses to this questionnaire. 
Answer:  
Cape Verde is aware of the importance of th e Import Licensing Questionnaire. Work in the 
questionnaire was started in 2003.  However, the accession process stalled and the document was not 
completed. 
Cape Verde confirms that the Import Licence Ques tionnaire has been completed and forwarded to the 
WTO (see document WT/ACC/CPV/25). 
Question 80 
Paragraphs 112-113: Cape Verde states in pa ragraph 110 that "The revised legislation 
distinguished between imports subject to non- automatic licensing, automatic licensing and 
imports totally exempt from li censing." Paragraph 113, however,  responding to paragraph 112, 
states that "the representative of Cape Verde ac knowledged that an exhaustive list of products WT/ACC/CPV/24 
Page 26  
 
 subject to non-automatic licensing did not exist, and that decisions would be taken case-by-case 
by the Director General of Customs." 
Answer:
 
Cape Verde confirms that a list of products subject  to non-automatic licensing does exist.  The list can 
be found in Annex 1 (and see response to Question 62). 
Cape Verde further confirms that licensing decisions are not taken on a case-by-case basis by the 
Director General of Customs. 
Question 81 
Articles 6 and 7 of the draft amendments to Decree Law No. 51/2003 do not/do not distinguish 
or identify imports subject to automatic or non- automatic licensing.  Rather, that is left to the 
discretion of customs officials based on  virtually no technical guidance. 
Answer:  
Cape Verde again calls to the attention of Me mbers that Decree-Law No. 51/2003 was replaced by 
Decree-Law No. 68/2005.  Products subject to au tomatic and non-automatic licensing are clearly 
specified and are not (repeat not) left to the discretion of customs officials. 
See answer to Question 62. 
Question 82 
This is not WTO consistent.  Non-automatic lic ensing is permitted only for specific reasons 
authorized by WTO provisions.  To apply such measures, Cape Verde must apply criteria that can be justified within WTO norms.   
Answer:
 
Cape Verde thanks this member for their comments. 
Under the current "licensing" regimes, non-au tomatic licenses are used for specific purposes. 
Cape Verde believes that the non-au tomatic licensing criteria is in line with, and can be justified 
within WTO norms. 
Question 83 
We request that prior to finalizing its legislat ion in this area Cape Verde establish a list of 
products subject to non-automatic licensing, the criteria applied to select these imports, and the 
purpose of the non-automatic licence restriction, noting how the application of the requirement 
is justified under WTO.  All of these should be published in the Official Gazette. 
Answer:  
Cape Verde thanks Members for this comment and s uggestion.  As stated in Question 62, a list of 
products exists and can be found in Annex 1. 
Cape Verde will endeavour to incorporate the suggestion into the implementing regulation.  WT/ACC/CPV/24 
 Page 27 
 
 
 For the purposes of transparency, Cape Verde confirms that the implementing regulations will be 
published in the official Gazette (Bulletin). 
Question 84 
The response to Question 98 of WT/ACC/CPV/23 states that: The automatic licensing becomes effective upo n presentation of a Customs Declaration to 
Customs. 
The importation request for the goods subject to non-automatic licence require a certificate of 
compliance issued by the sanitary /phytosanitary authorities or security control authorities, or 
other applicable competent authorities, depending on the nature of the goods in question 
The non-automatic licence takes effect within a m aximum of 21 days, counting from the date the 
Customs Declaration is presented to Customs.  
Cape Verde has stated however, that there is no list of which products are subject to automatic 
and which are subject to non-automatic licensing.  
So how does an importer know that his import is subject to licensing and which form?   
How can a licence be issued "automatically" as provided for in Article 1 of the WTO 
Agreement on Import Licensing Procedures (upo n request) if it may not be issued at the 
discretion of the customs official? 
This is not/not automatic import licensing.  
Answer:
 
Cape Verde confirms that the list of goods not subj ect to automatic licensing exists and can be found 
in Annex 1 (please also see the response to Question 62). 
Question 85 Paragraph 112 should be redrafted to elab orate on Members' concerns, as follows: 
 112.     Having reviewed the draft Decr ee Law on Import and Export Licensing, a 
Member stated that Articles 6 and 7 appeared incompatible with the Agreement on Import Licensing Procedures by not distin guishing clearly between goods subject to 
automatic and non-automatic licensing.  The list of goods subject to licensing and the 
criteria for obtaining a licence should be clear, exhaustive and publicly available as provided for by the GATT and the Agreement on Import Licensing Procedures.  Without such a list and criteria, grant of the licence is discretionary and therefore not 
automatic.   Cape Verde was also requested  to clarify whether a licence was required for 
each individual import operation, the term of validity of a licence, the application of 
licence fees and the legal basis for such fees, and to elaborate on the provisions 
concerning "imports without commercial value".  Information should be provided on the criteria used to select imports for this  list and the purpose of the non-automatic 
licensing restrictions.  This information sh ould be provided to WTO Members as part of 
Cape Verde's accession process and in it s response to the Questionnaire on Import 
Licensing.   WT/ACC/CPV/24 
Page 28  
 
 Answer:
 
Paragraph 112 will have to be redrafted to reflect the f act that a list of goods exists. 
Cape Verde has completed and forwarded the Qu estionnaire on Import Licensing to the Secretariat 
(please see document WT/ACC/CPV/25). 
Question 86 
Paragraph 113 should be revised to elaborate on Cape Verde's response.  We seek agreement 
that for any application of import licenses, both  a specific list of products and criteria for the 
licensing application will be published. 
Answer:  
Cape Verde agrees that paragraph 113 should be revi sed since a specific list of products for licensing 
exists.  
Question 87 
Paragraph 114:  We take note of Cape Verde's acceptance of  this commitment language but it 
may need modification after we have revie wed Cape Verde's responses to the foregoing 
questions and its Import Licensing Questionnaire. 
Answer:  
Cape Verde agrees that Cape Verde's commitme nt language in paragraph 114 will have to be 
modified. 
Cape Verde will endeavour to respond to all licen sing questions.  The Import Licensing Questionnaire 
has been submitted to the Secretar iat (please see document WT/ACC/CPV/25). 
- Customs valuation 
Question 88 
Paragraph 116:  Please confirm in the text wh ether Cape Verde has enacted its new Customs 
Code. 
Answer:  
Cape confirms that the draft Customs Code has not  as yet been enacted.  The target date is now 
December 2007.  Paragraph 116 w ill be corrected accordingly. 
Question 89 
Paragraph 119:  We propose the following chan ges to this paragraph to better capture the 
issues we raised before, i.e. that the transition be limited to those imports that were indicated by 
Cape Verde. 
 119.   The representative of Cape Verde requested that the Working Party grant a 
transitional period...  He confirmed that during the transition, Cape Verde would not be 
required to observe the provisions of Article 7.2(f) with respect to selected imports,  WT/ACC/CPV/24 
 Page 29 
 
 
 thereby allowing for the application of minimu m import values to be applied to imports 
of poultry covered by HS 0207.11 - 0207.14 for the purposes of customs valuation during the transition period.  During the transition, all  other aspects of Article 7 would be observed by Cape Verde from the date of a ccession, and for all products other than HS 
0207.11 – 0207.14, Article 7.2(f), would be applie d.  If such a transitional period were 
granted, Cape Verde's deviations from the provisions of the Agreement would be strictly 
limited to these Articles, and all other provisions of the Agreement would be implemented for all imports. 
Answer:
 
Cape Verde thanks this member for its comments.  The language suggested will be incorporated into 
paragraph 119. 
Question 90 
Draft law on export and import licensing:  We note Cape Verde's request for a transitional 
period until 2009 for the full implementation of the CV agreement.  We reserve our position to come back on this issue and to give comments on the action plan, as well as the new draft 
Customs Code.   
Answer:
 
Cape Verde thanks this member for its comments.   In view of delays encountered in Cape Verde's accession process, Action Plans are being revised. The 
Customs Action Plan includes the draft Customs Code and implementation of the WTO Customs Valuation Agreement. 
Cape Verde envisages revising the Customs Acti on Plan soon, and forwarding it to the WTO 
Secretariat in time for the next Working Party Meeting. 
- Rules of origin 
Question 91 Paragraph 127:  We appreciate Cape Verde's ac ceptance of the commitment in paragraph 127. 
However, there is no reference to prior determination of origin in Articles 20-24 of the draft 
Customs Code.   
Answer:
 
Cape Verde is pleased to inform Members that two amendments to the draft Customs Code have been 
prepared.  An amendment vis-à-vis  rules of origin is one of the 2 amendments. This amendment will 
incorporate the requirements of Article 2(h) and Anne x II, paragraph 3(d) of the WTO Rules of Origin 
Agreement.  
Question 92 
Please identify where Cape Verde has made legi slative provision to implement the commitment 
in paragraph 127. WT/ACC/CPV/24 
Page 30  
 
 Answer:
 
Cape Verde confirms that modifications are be ing drafted to include the commitment made in 
Paragraph 127.  The Customs Code is currently befo re the Minister of Finance and it is envisaged to 
go to the Council of Ministers soon. Draft language Re:  Rules of Origin and Border Enforcement of 
Intellectual Property Rights is being forwarded to the Finance Minister. 
B.  EXPORT REGULATIONS - Export subsidies Question 93 The descriptions in paragraphs 139, 140 and 143 of WT/ACC/SPEC/CPV/5 are unclear, but 
appears
 to indicate that several programs administered by Cape Verde could provide 
prohibited subsidies.   
Answer:  
Cape Verde agrees that paragraphs 139, 140 and 143 of WT/ACC/SPEC/CPV/5 are unclear and need 
revising and will be accomplished in the process of correcting and editing the Working Party Report. 
Cape Verde asserts that many of the incentive progr ams are not, in fact, prohibited subsidies within 
the meaning of the Agreement on Subs idies and Countervailing measures.  
Question 94 
It is still unclear whether Law No. 92/IV/ 93 and Decree Law No. 108/89 conform with the 
provisions for duty drawback programs under Annexes I, II and III of the Subsidies Agreement.   
Answer:
 
Cape Verde's duty drawback programs conform to the provisions under Annexes I, II, and III of the 
Agreement on Subsidies and Countervailing Measures. 
Cape Verde confirms that there is no excess draw back amounts in their drawback system.  Only 
drawback equal to or less than the import char ges levied initially are permitted or allowed. 
Cape Verde would like to call to the attention of  members that the duty drawback program has not 
been used for many years becau se other incentives are more attractive, such as a system of duty 
exemption. 
Question 95 
In addition, the Cape Verde Investments program appears to constitute a prohibited subsidy as 
provided under Article 3(b) of the Subsidies Agreement.   
Answer:  
Cape Verde confirms that Cape Verde Agency for the Promotion of Investment (Cape Verde 
Investment) does not provide incentives or subsidies itsel f. Its role is to connect foreign investors with 
the appropriate governmental agency or agen cies that administer the incentive programs.  WT/ACC/CPV/24 
 Page 31 
 
 
 Cape Verde Investment is like a "one-stop shop" for the foreign investor. 
Cape Verde Investment is an administrative agen cy promoting investments and does not offer any 
incentives or subsidies. 
Since Cape Verde Investments does not provide any financial assistance whatsoever. Thus, their 
programs could not constitute a prohibited subsidy pursuant to Article 3(b) of the Agreement on 
Subsidies and Countervailing Measures. 
Question 96 
The information in document WT/ACC/CPV/22 is  inadequate to evaluate these programs' 
WTO consistency.  Please provide a clear desc ription of these programs and a timetable for 
eliminating any programs providing benefits contin gent upon export or the use of domestic over 
imported goods. 
Answer:  
As stated previously, Cape Verde is in the process of rationalizing their system of incentives. It is 
envisaged that a viable and reasonable evaluation of these programs and timetable for eliminating programs contingent upon exports will be prepared  and forwarded prior to the next Working Party 
Meeting. 
Cape Verde would like to call to the attention of the Working Party that Cape Verde does not have 
any law, decree, ordinance or regulation deali ng with or mandating the use of domestic goods or 
products over imported goods.  Simply  stated, Cape Verde does not ha ve a local content or import 
substitution program. 
Question 97 
As Cape Verde will lose its LDC status in barel y two years, it will be necessary to specify a 
timetable for the removal of prohibited subsid ies currently in place, i.e., either prior to 
1 January 2008 or on some other timetable th at can be considered by the Working Party. 
Answer:
 
Cape Verde thanks Members for this comment. 
Cape Verde is acutely aware that its LDC status will change as of 1 January 2008. 
As stated in the answer to Questions 98-99 and 105, Cape Verde is working hard to develop a 
program (including a time-table in the Action Plan) fo r the removal of prohibited subsidies, currently 
in place, if any. 
Question 98 
The request for a commitment in Quest ion 121 of WT/ACC/CPV/23 presupposes that 
Cape Verde will report on its export subsidies an d negotiate an appropriate transition for their 
complete elimination.  Heretofore, Cape Verd e has not done that, and this section cannot be 
finalized until that happens. WT/ACC/CPV/24 
Page 32  
 
 Answer:
 
Cape Verde thanks this Member for their statement. Please see answer to Questions 99 and 105. Cape Verde is rationalizing the scheme of incentives to national production and foreign investment. 
As part of this effort comprehensive informati on on subsidies and incentives is being collected and 
compiled. 
Cape Verde envisions that an Action Plan with  specific goals and dates will be prepared and 
forwarded to the WTO prior to the next Working Party Meeting. 
Question 99 
Paragraph 143:  We note that Cape Verde has su bmitted an Action Plan to revise its legislation 
as regards incentives provided by end 2006.  We  would however urge Cape Verde to provide 
comprehensive information on all subsidies and incentives provided.  
Answer:
 
Cape Verde is aware that the Action Plan on Incen tives to national production and foreign investment 
(WT/ACC/CPV/22) is deficient and needs to be revised, especially since we are in May 2007. 
Cape Verde is attempting to ra tionalize the scheme of incentives to national production and foreign 
investment.  As part of this effort comprehens ive information on subsid ies and incentives is being 
collected and compiled. 
Cape Verde envisions that an Action Plan with  specific goals and dates will be prepared and 
forwarded to the WTO prior to the next Working Party Meeting. 
C. INTERNAL POLICIES AFFECTIN G FOREIGN TRADE IN GOODS  
- Industrial policy, including subsidies 
Question 100 The description offered of Cape Verde's subsidy programs and the action plan in 
WT/ACC/CPV/22 do not adequately respond to Working Party members' questions and comments, nor does the Action Plan outlined in response to Question 123 in WT/ACC/CPV/23 
provide such information. 
Answer:
 
Cape Verde confirms that a revised Action Plan  to WT/ACC/CPV/22 is needed.  A revised Action 
Plan with a reasonable timetable will be prepared  and submitted prior to the next Working Party 
Meeting. 
As part of the rationalization program, Cape Verd e will prepare a list and/or description of incentives 
programs and forward it to the WTO prior to the next Working Party Meeting.  WT/ACC/CPV/24 
 Page 33 
 
 
 Question 101 
We cannot conclude Cape Verde's accession on th is basis. It must describe each its subsidy 
programs fully, i.e., (a) those that are legally authorized; (b) those that are actually providing benefits and being utilized by firms; and (c) those that are essentially dormant.   
Answer:
 
Cape Verde thanks Members for this comment. 
As stated in the answer Questions 96, 97, 99, 102 and 105 and others, Cape Verde is trying to 
rationalize their program of incentives. 
These suggestions will be taken in to consideration in preparing the program descriptions, including 
(1) programs authorized; (2) actually providing benefits; and (3) those that are dormant. 
Question 102 Cape Verde will be graduated out of LDC status in barely two years.  It has not described its 
programs for the Working Party and it has not suggested a timeframe in which prohibited subsidies will be eliminated.   
Answer:
 
Please refer to the answer of Question 97. 
Question 103 
Cape Verde must indicate a timeframe for the re moval of these prohibited subsidies, i.e., either 
prior to 1 January 2008 or on some other timetable that can be considered by the Working 
Party.   
Answer:  
See the answers to Questions 96, 97, 99, 102 and 105. 
Question 104 
Paragraph 153:  We will need to review Cape Ve rde's subsidy notification before we can finalize 
this commitment paragraph.  The response to Question 124 in document WT/ACC/CPV/23 indicates that one is in preparation.  Is it available? 
Answer:
 
Cape Verde notes the comments  vis-à-vis Paragraph 153 and the need for a subsidy notification. 
A subsidy notification is in prepara tion but is not available at this ti me.  Cape Verde will endeavour to 
complete the preparation of the subsidy notifica tion and forward it to the WTO prior to the next 
Working Party Meeting. WT/ACC/CPV/24 
Page 34  
 
 Question 105 
Paragraph 151:  We note that Cape Verde has su bmitted an action plan to revise its legislation 
as regards incentives provided by end 2006.  We  would however urge Cape Verde to provide 
comprehensive information on all subsidies and incentives provided. 
Answer:
 
Please see the answer to Question 99. 
- Technical barriers to trade, standards and certification 
Question 106 We welcome Cape Verde's agreement to the commitment language in paragraph 159. 
Answer:
 
Cape Verde thanks this Member for their comment. 
Question 107 
However, we note that the draft amendmen ts to Decree Law No. 50/2003 of 24 November 
authorize application of non-automatic import  licenses for "verification of the technical 
specifications and of the "standard" qualities of the goods, in accordance with legal and 
contractual criteria, national or internat ional, and the usual trade practices" . 
Answer:  
Cape Verde thanks this Member for the above note and comments. Cape Verde calls to the attention of the Memb ers that the above citation should be Decree-Law 
No. 51/2003 of 24 November 2003. However, that  probable typo is insignificant as Decree law 
No. 51/2003 was revoked by Decree-Law No. 68/2005 of 31 October 2005. 
Question 108 Unless the technical issue involves issues of life, health, and safety.  Standards are voluntary, 
and there are no provisions for st andards in contracts to be en forced by customs officials. 
Answer:
 
Cape Verde confirms that customs officials w ill not enforce voluntary standards contained in 
contracts. 
Question 109 
Cape Verde's "technical control" does not appe ar consistent with the TBT Agreement or the 
commitment taken in paragraph 159, and Cape V erde has explained in paragraph 158 that it 
does not have technical regulations. 
Answer:  
Cape Verde confirms that it does not have technical regulation.  WT/ACC/CPV/24 
 Page 35 
 
 
 Cape Verde commits itself to comply with the WTO Agreement on Technical Barriers to Trade. 
Question 110 
We seek amendment of the draft law to ensure that there is no enforcement by Cape Verde 
customs of voluntary standards and that it is  consistent with all of Cape Verde's WTO 
obligations.  We seek a commitment confirming  in the draft Working Party Report that 
Cape Verde will not enforce standards in contracts. 
Answer:  
Cape Verde appreciates these comments.  As stated in Questions 71-72, Cape Verde agrees that there 
will be no enforcement of voluntary standards by customs officials.  
Question 111 
We note the commitment of Cape Verde to rec ognise products certified in other countries' 
authorized certifying body. 
Answer:  
Cape Verde thanks this Member for their comment  vis-à-vis  products certified in other countries. 
- Sanitary and phytosanitary measures 
Question 112 
We propose the following change to paragraph 163.  163.   The representative of Cape Verde noted that, … Cape Verde intended to adopt 
international standards except in those instances which may require SPS measures 
specific to the needs of Cape Verde.   In su ch instances, Cape Verde intended to ensure 
that such measures will be  based on a scientific assessment of risk as well as all other (as 
appropriate) sections of the SPS and its annexes.   In light of the legal, ... and to train the 
officials necessary to manage the system. 
Answer:
 
Cape Verde appreciates these comments and agrees to the changes proposed. 
Question 113 
Concerning Table 9:  Cape Verde has committe d to the "identification of the authority 
responsible for notifications and publicatio ns required by the SPS Agreement and 
establishment and operation of a single contact point for information" and the "establishment 
of publication or other facility for prior publication for public review, including method of utilizing public comments" by 1 January 2006.  
Answer:
 
Cape Verde notes that there is no Question above.  However, the Ministry of Environment and 
Agriculture is preparing an Ordinance establishing an Enquiry Point and setting forth the duties and WT/ACC/CPV/24 
Page 36  
 
 responsibilities.  It is envisaged that the Enquiry Point will be established by December 2007.  The 
SPS Action Plan will be adjusted accordingly.  
Question 114 
Could the representative from Cape Verde provide  updated information on the status of these 
two commitments? 
Answer:
 
Cape Verde affirms that the Action Plan in Ta ble 9 (WT/ACC/SPEC/CPV/5 of 7 November 2005) 
will be revised and updated in preparati on for the next Working Party Meeting. 
Question 115 
We also request that Cape Verde add the following categories to Table 9. 
Acquisition of equipment and training of SPS enquiry point personnel. 
Review of all existing legislation and new amen dments to ensure regulations are based on risk 
assessment and sufficient scientific evidence 
Answer:  
Cape Verde appreciates the comments made. Cape Ve rde will incorporate this request into Table 9 
(SPS Action Plan). 
Question 116 
We take note of the commitment  language in paragraph 165. 
Answer:  
Cape Verde thanks this member for its comments. 
Question 117 
We note Cape Verde request for a transition period until 2010 to ensure full conformity with 
the SPS Agreement and reserve our po sition to submit further comments on this section.  We 
want to stress however that the most important issue to for Cape Verde to ensure during the 
transition period is to let imports take pla ce in accordance with th e SPS Agreement and this 
should have a priority. Establishment of labo ratories etc. is of secondary importance.  
We will assist Cape Verde via TA programm es and in the framework of the EPA Agreement 
with West Africa.  
Answer:  
Cape Verde appreciates the views and comments expressed in this question. Also, Cape Verde looks forward to assistance provide d by the Member within the framework of the 
EPA Agreement.  WT/ACC/CPV/24 
 Page 37 
 
 
 - Trade-related investment measures 
Question 118 Paragraph 167:  We are grateful for this comm itment and request that Cape Verde remove the 
brackets.  Cape Verde may wish to accelerate its description in writing of its investment 
incentives programs so that the Working Party will know what programs, if any, Cape Verde 
must eliminate by accession. 
Answer:
 
Cape Verde maintains that it does not main tain any measures inconsistent with the 
TRIMs Agreement.  Further, Cape Verde does not en visage the application or development of TRIMs. 
- Free zones, special economic areas 
Question 119 
We seek a commitment that Cape Verde will opera te its free trade zone in a WTO-consistent 
fashion, in particular with respect to ensuring  that manufactures produced in the zone from 
imported inputs where tariffs and taxes are exempted , are only sold into the rest of Cape Verde 
if those taxes and tariffs are restored.  Export fr om the zone to other destinations, of course, 
would remain duty free. 
Answer:  
Cape Verde makes a commitment that it will operate its  free trade zones in a WTO consistent fashion. 
Cape Verde is exploring a resolution of this  problem.  One possible solution is to permit 
manufacturers in the zone to sell to the domestic ma rket as well as for export.  Obviously duties and 
taxes on duty-free inputs would be assessed when the goods are removed from the zone. 
Such a possible solution would remove this possible export subsidy. 
Question 120 
We seek a commitment along the following lines:  173.     In reply, the representative of Cape Verde said that, applied by an LDC, the 
criteria would in his view be in compliance with the provisions of the Agreement on 
Subsidies and Countervailing Measures.  Nevert heless, as Cape Verde's LDC status was 
set to expire, his Government was committ ed to prepare a plan for the gradual 
elimination of prohibited subsidies.  Referring to the action plan circulated in document WT/ACC/CPV/22, he stated that Cape Verde would review all incentive programmes, and incentives found inconsistent with WTO requirements would be eliminated or brought into conformity with the Agreemen t on Subsidies and Countervailing Measures.  
Cape Verde's commitments with respect to subsidies provided for the free or "franc" 
enterprises and within the free trade zones can be found in paragraph [XX-XX] and Table [XX]. 
 173 bis.       Concerning the free trade zones, the representative of Cape Verde confirmed 
that it would ensure enforcement of its WTO obligations in its free trade zones from 
date of accession, including the provisions  of the WTO Agreement and Cape Verde's WT/ACC/CPV/24 
Page 38  
 
 commitments in its Protocol of Accession.  In  this regard, goods produced in the free 
trade zones or areas under tax and tariff provi sions that exempt imports and imported 
inputs from tariffs and certain taxes would be  subject to normal customs formalities 
when entering the rest of Cape Verde, includi ng the application of exempted tariffs and 
taxes.  The Working Party took note of these commitments. 
Answer:
 
Cape asserts that the commitment language of paragraph 173 needs to be revised. 
Cape Verde is prepared to commit along the lines of paragraph 173.  However, certain aspects and 
issues need to be investig ated and resolved first. 
Question 121 
We note that there may need to be adjustments to the paragraph after Cape Verde provides the 
Working Party with its subsidies notification. 
Answer:  
Cape Verde agrees with this comment. See the answer to Question 104. Question 122 Paragraphs 172 and 173: We would urge Cape V erde to bring its system of Free zones and 
"Free enterprises" into compliance with the WTO Subsidies Agreement upon accession. 
Answer:
 
Cape Verde thanks Members for the suggestion.  The Government of Cape Verde is considering 
revising all laws concerning investments including the Free Zones.  Elimination of the 15 per cent 
requirement and permitting Free Zone companies to sell for exports as well as into the domestic 
market would bring the Free Zone into conformity with the WTO Subsidies Agreement. 
-   Agricultural policies 
(a)  Imports Question 123 
Question 159 of WT/ACC/CPV/23:  Please clarif y whether Cape Verde applies mandatory 
periods of shelf life for particular products. 
Answer:
 
Up till now, Cape Verde does not have any legal prov ision requiring "mandatory periods of shelf life 
for particular products", with rega rd to food products.  However, the legislation on quality control is 
under revision.  At present, Cape Verde requires th at the labels on food products must indicate the 
validity date of the same products in confor mity with the international agreement on 
Codex Alimentarius.   WT/ACC/CPV/24 
 Page 39 
 
 
 V.   TRADE-RELATED INTELLECTUAL PROPERTY REGIME 
Note:   Cape Verde received a set of 104 Questions  on Intellectual Property Regimes.  Since 
Cape Verde is preparing answers to outstanding ques tions in preparation for the next Working Party 
meeting, it is unlikely that responses to the TRIPS can be prepared prior to that time.  Cape Verde will 
take note of the TRIPS questions and views and incor porate them (to the extent relevant and possible) 
into the draft law and revision. 
- GENERAL 
Question 124 Industrial property protection; Responsibl e agencies for policy formulation and 
implementation; Participation in international intellectual property agreements; Application of 
national and MFN treatment to foreign nationals; Fees and taxes and so on. 
We welcome Cape Verde's intentions to be in  conformity with the provisions of TRIPS by 
December 2006 and reserve our position to submit more comments on this section at a later 
stage. 
Answer:
 
Cape Verde is currently preparing for the next Working Party Meeting.  An updated TRIPS Action 
Plan is being prepared and will be forwarded to th e WTO Secretariat soon.  Dates for conformity with 
the TRIPS Agreement will be realistic and attainable. 
VII.  TRANSPARENCY 
- Publication of information on trade Question 125 
Paragraph 244:  We take note of the draft commi tment language in this paragraph.  We will be 
providing recommended changes to the text soon after this meeting. 
Answer:
 
Cape Verde thanks this member for the co mment. Cape Verde looks forward to receiving 
recommended changes to the commitm ent language of paragraph 244. 
- Notifications Question 126 We propose the following commitment text for this section:  The representative of Cape Verde said that, at the latest upon entry into force of the 
Protocol of Accession, Cape Verde would submit all initial notifications required by any Agreement constituting part of the WTO Ag reement.  Any regulations subsequently 
enacted by Cape Verde which gave effect to the laws enacted to implement any 
Agreement constituting part of the WT O Agreement would also conform to the 
requirements of that Agreement.  The Workin g Party took note of this commitment. WT/ACC/CPV/24 
Page 40  
 
 Answer:
 
Cape Verde thanks this member for the comm itment language of the Notification section. 
Cape Verde agrees with the commitment language suggested.   WT/ACC/CPV/24 
 Page 41 
 
 
 ANNEX 1 
Attachment to Question 62  
Designation HS Number 
Animais Vivos 01.01 a 01.06 
Carnes e miudezas comestíveis 02.01 a 02.10 
Peixes e crustáceos, moluscos e outros invertebrados aquáticos  03.01 a 03.07  
Nata fresca 04.01 
Leite, e leite e nata coalhados, iogurte, quefir, e outros leites e natas 
fermentados ou acidificados, mesmo concentrados ou adicionados, de açúcar ou 
de outros edulcorantes, ou aromatizados ou adicionados de frutas ou de cacau. 04.03 
Soro de leite, mesmo concentrado ou adicionado de açúcar ou de outros 
edulcorantes, produtos constituídos por componentes naturais do leite, mesmo 
adicionados ou de outros edulcorantes, não especificados nem compreendidos 
em outras posições. 04.04 
Manteiga e outras matérias gordas provenientes do leite 04.05 
Queijos e requeijões. 04.06 
Ovos de aves, com casca frescos, conservados ou cozidos 04.07 
Ovos de aves, sem casca, e gemas de ovos, frescos, secos, cozidos em água ou 
vapor, moldados, congelados ou conservados de outro modo, mesmo 
adicionados de açúcar ou de outros edulcorantes. 04.08 
Mel natural 0409.00.00 
Produtos comestíveis de or igem animal, não especificados nem compreendidos 
em outras posições 0410.00.00 
Tripas, bexigas e buchos de animais, inteiros ou em pedaços, excepto de peixes, 
frescos, refrigerados, congelados, salgados ou em salmoura, secos ou fumados. 0504.00.00 
Produtos de origem animal, não especificados ou compreendidos em outras 
posições, animais mortos de capítulo 1 ou 3, impróprios para alimentação 
humana. 05.11 
Plantas vivas ou produtos de floricultura 06.01 a 06.04 
Batatas, frescas ou refrigeradas 07.01 
Tomates, frescos ou refrigerados 0702.00.00 
Cebolas, chalotas, alho comum, alho-porro e outros produtos hortícolas 
aliáceos, frescos, ou refrigerados 07.03 
Couves, couve-flor, repolho ou couve frisada, couve rábano e produtos 
comestíveis semelhantes do género Brassica, frescos ou refrigerados 07.04 
Alface (Lactuca sativa) e chicórias (Cichori um spp), frescas ou refrigeradas. 07.05 
 
Cenouras, nabos, beterrabas para saladas, cercefi, aipo-rábano, rabanete e raízes 
comestíveis semelhantes, frescos ou refrigerados. 07.06 
Pepinos e pepininhos (cornichões), fresco ou refrigerados 0707.00.00 
Legumes de vagem, com ou sem vagem, frescos ou refrigerados 07.08 
Outros produtos hortícolas, frescos ou refrigerados 07.09 
Legumes de vagem, secos, em grão, mesmo pelados ou partidos 07.13 
Raízes de mandioca, de araruta e de salepo, topinambos, batatas-doces e raízes e 
tubérculos semelhantes, com elevado teor de fécula ou de inulina, frescos, refrigerados, congelados ou secos, me smo cortados em pedaços ou pellets, 
meduta de sagueiro. 07.14 
Cocos, castanhas do Brasil e castanha de caju, frescos ou secos, mesmo sem 
casca ou pelados. 08.01 
Outras frutas de casca rija, frescas ou secas, mesmo sem casca ou peladas. 08.02 
Bananas, inclusive "platain", frescas ou secas 08.03 
Tâmaras, figos, ananases ou abacaxis, abacates, goiabas, mangas e mangostões, 
frescos ou secos. 08.04 
Citrinos, frescos ou secos 08.05 WT/ACC/CPV/24 
Page 42  
 
 Designation HS Number 
Uvas, secas ou frescas (passas) 08.06 
Melões, melancias e papaias ou mamões, frescos 08.07 
Maçãs, peras e marmelos, frescos 08.08 
Damascos, cerejas, pêssegos (incluídas as nectarinas), ameixas e abrunhos, 
frescos 08.09 
Outras frutas frescas 08.10 
Frutas secas, excepto das posições 08.01 á 08.06, misturas de frutas secas ou de 
frutas de casca rija, do presente capítulo 08.13 
Café, mesmo torrado ou descafeinado, cascas e películas de café, sucedâneos de 
café contendo café em qualquer proporção 09.01 
Cereais 10.01 a 10.08 
Sementes e frutos oleaginosos, grãos, sementes, e frutos diversos, plantas 
industriais ou medicinais, palhas e forragens 12.01 a 12.14 
Matérias vegetais das espécies principalmente utilizadas em cestaria ou 
espartaria( por exemplo: bambus, rotins, em cestaria, ráfia, palha de cereais, 
limpa, branqueada ou tingida, casca de tília). 14.01 
Gorduras de porco (inclusive banha de porco) e gorduras de aves domésticas, 
excepto as do no 02.09 ou do no 15.03. 1501.00.00 
Óleos animais ou vegetais (destin ados à alimentação ) 15.03 a 15.18 
Enchidos e produtos semelhantes, de carne, miudezas ou sangue, preparações 
alimentícias à base de tais produtos 16.01 
Outras preparações e conservas de carne, miudezas ou de sangue 16.02 
Preparações para alimentação de crianças, acon dicionadas para vendas  a retalho 1901.10.00 
Álcool etílico não desnaturad o para uso medicamentoso ou farmacêutico 2207.10.10 
Preparações dos tipos utilizados na alimentação dos animais 23.09 
Sal destinado a aliment ação humana 2501.00.20 
Produtos farmacêuticos 30.01 a 30.06 
Adubos (fertilizantes) 31.01 a 31.05 
Pólvoras propulsivas 3601.00.00 
Explosivos preparados, excepto pólvoras propulsivas 36.02 
Insecticidas, rodenticidas, fungicidas, herbicidas, in ibidores de germinação e 
reguladores de crescimento para plantas, desinfectantes, e produtos semelhantes 
apresentados em formas ou embalagens para venda a retalho ou como 
preparações ou ainda sob a forma de artigos, tais como fitas, mechas e velas sulfuradas e papel mata-moscas. 38.08 
Biberões, chuchas e tetinas de borracha vulcanizada não endurecida 40.14 
Peles em bruto de bovinos ou de equídios (frescas ou salgadas, secas, tratadas 
pala cal, "picadas" ou conservadas de outro modo, mas não curtidas, nem 
apergaminhadas, nem preparadas de outro modo), mesmo depiladas ou divididas. 41.01 
Peles um bruto de bovinos (frescas ou salgadas, secas, tratadas pala cal, 
"piciadas" ou conservadas de outro modo, mas não curtidas, nem 
apergaminhadas, nem preparadas de outro modo), mesmo depiladas ou divididas, com excepção das excluídas pela Nota) ou 1 c) do presente capítulo 41.02 
Outras peles um bruto (frescas ou salgadas, secas, tratadas pala cal, "piciadas" 
ou conservadas de outro modo, mas não curtidas, nem apergaminhadas, nem 
preparadas de outro modo), mesmo depiladas ou divididas, com excepção das 
excluídas pela Nota 1 b) ou 1 c) do presente capítulo 41.03 
Biberões de vidro 7013.39.00 
Armas e munições, suas partes e acessórios 93.01 a 93.07 
 
 
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