Republic of the Congo WT/TPR/S/169 
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II. TRADE AND INVESTMENT REGIME 
(1) GENERAL CONTEXT  
1. The Congolese political scene has stabilized since 2002, after a series of civil wars (in 1993, 
1997 and 1998) which characterized the period that followed the holding of presidential elections in 1992.
1  The security situation is now stable in most of the country's departments.2  U n d e r  t h e  
Constitution approved by popular referendum on 20 January 2002, the Republic of Congo, an 
independent state since 15 August 1960, is a multi -party democracy.  The 2002 Constitution is the 
sixth since independence, a sign of a certain institutional instability.3 
2. The President of the Republic is the Head of State, Head of the Executive Branch, Head of 
Government, Supreme Commander of the Armed Forces and President of the Judicial Service 
Commission.  He is elected by direct universal  suffrage for a once renewable seven-year term;  
presidential elections were last held on 10 Marc h 2002.  The President presides over the Council of 
Ministers, composed of the Prime Minister and other ministers, all appointed by him, whose 
responsibilities are determined by presidential decree. 
3. Parliament is composed of the National Asse mbly (137 members elected for five years by 
universal suffrage) and the Senate (67 senators elected for six years by indirect suffrage;  there are 
elections for one third of the seats in the Senate ever y three years).  The last legislative elections were 
held in May 2002 and the last senatorial elections in  June 2002.  The right to initiate legislation is 
shared by the President of the Republic and the deputies.  Once adopted by Parliament4,  a draft law 
becomes law after it has been promulgated by the H ead of State and published in the Official Journal.5 
4. The President of the Republic (or his delegate) negotiates, signs and promulgates treaties and 
international agreements;  where necessary, th ese are submitted to Parliament for ratification.6  The 
WTO Agreement entered into force in the Congo u nder this procedure.  Once ratified, treaties and 
international agreements take precedence over laws, s ubject, with respect to each treaty or agreement, 
to its being applied by the other party (except in the case of human rights treaties).  They are directly applicable as law in the Congo and automatically  enforceable.  Under this monist system, the 
WTO Agreements may be invoked directly in the na tional courts;  so far, however, they never have. 
5. After international treaties and agreements  and the Constitution come laws, decrees and 
orders.  The Congo's principal trade-related laws and regulations are listed in Table II.1.  The 
                                                     
 
1 For further details of the development of the situation in Congo, see UN Plan 2002 . 
2 French Government (2005). 
3 The first Constitution dates from 2 May 1961;  the second, dating from 8 December 1963, was 
repealed and replaced by the "Acte fo ndamental" of 16 August 1968;  th e third, dating from 31 December 1969, 
was suspended by the "Acte fondamental" of 5 April 1977;  the fourth dates from 8 July 1979;  the fifth, dating from 15 March 1992, was suspended in 1998;  the sixth Constitution (still in force) dates from 20 January 2002. 
4 According to Article 121 of the 2002 Constitution, draft laws are first examined by the first chamber 
seized with the text presented by the President of the Republic.  One chambe r, seized with a text voted by the 
other chamber, deliberates on the text before it.  Accord ing to Article 124, draft laws are examined by the two 
chambers in succession with a view to  the adoption of an identical text;  in the event of disagreement, the 
President of the Republic may convene a meeting of an equi-representational jo int committee tasked with 
proposing a text on the provisions not yet agreed. 
5 Organic laws cannot be promulgated until they have been declared to be in conformity with the 
Constitution by the Constitutional Court. 
6 Title XVII of the 2002 Constitution.  The Constitutional Court rules on the constitutionality of treaties 
and agreements.  When the Constitutional Court finds that an international commitment contains a clause that is contrary to the Constitution, it may not be ratified or approved until the Constitution has been amended. WT/TPR/S/169 Trade Policy Review 
Page 12 
 
 
country's trade policy is based on regulations est ablished at supranational level – the result of 
multilateral, regional and subregional integration ( see Section (3) below) – and national regulations, 
which complement the supranational provisions and deal with all the aspects that lie outside their 
scope. 
Table II.1 
The Congo's principal trade-relat ed laws and regulations, May 2006 
Sector Instrument/text 
Customs legislation CEMAC Customs Code 
Customs tariff 
Status of trader Law No. 19-2005 of 24 November 2005 
Customs valuation  Decree No. 2001-387 of  31 July 2001 
Pre-shipment inspection  Decree No. 95-147 of  8 August 1995 and Decree No. 99-167 of  
23 August 1999 
Value Added Tax, excise duties, and cu stoms border levies General Tax Code 
Import prohibitions and licences  Law No. 7-94 of  1 June 1994 
Sanitary and phytosanitary measures: 
 Human health and phytosanitary measures 
 Animal health  
Laws No. 6-94 and No. 7-94 of  1 June 1994
Decree No. 67/182 of  17 July 1967  
Investment Law No. 6-2003 of  18 January 2003 
Procedures and regulations for the establishment of private 
commercial enterprises Seven uniform acts of the Organi zation for the Harmonization of 
African Business Law (OHADA) 
Protection of patents, industrial designs, and trademarks, new 
plant varieties Bangui Agreement (1999) 
Protection of copyright and related rights Law No. 24/82 of  7 July 1982 
Competition and prices Law No. 6-94 of  1 June 1994 
Privatization of State-owned enterp rises Law No. 21-94 of  10 August 1994 
Government procurement  Decree No. 02/329 of  22 April 1982 
Forests Law No. 16-2000 of  20 November 2000 
Fishing Law No. 2-2000 of  1 February 2000 
Mines Law No. 4-2005 of  11 April 2005 
Hydrocarbons Law No. 24-94 of  23 August 1994 
Electricity Law No. 14-2003 of  10 April 2003 
Water Law No. 14-2003 of  10 April 2003 
Telecommunications and postal services Decree No. 84/ 078 of  19 January 1984;  Ordinances Nos. 8-2001, 
10-2001 and 11-2001 of  1 July 2001 
Tourism establishments 
Tourist agencies Decree No. 84-078 of  19 January 1984
Decree No. 83-853 of  22 November 1983 
Banking services Bank of Central African States (BEAC) and Central African 
Monetary Union provisions 
Insurance Insurance Code of the Inter-African Conference on Insurance 
Markets (CIMA) 
Source : Congolese authorities. 
6. The judiciary is independent of the legislature.7  Judicial power is exercised by the Supreme 
Court, the Courts of Appeal, the Court of Audito rs, and other national courts.  The legal aspects of 
commercial matters are dealt with at national level, except where recourse is had to the OHADA 
Arbitration Act8, and in particular the Common Court of Justice and Arbitration (CCJA) for settling 
disputes of a contractual nature between a memb er State (such as the Congo) and businesses.  An 
                                                      
7 Article 136 of the 2002 Constitution. 
8 OHADA's Uniform Arbitration Act was adopted on 11 July 1999 and entered into force 90 days after 
its adoption (Art. 9 of the Harmonization Treaty). Republic of the Congo WT/TPR/S/169 
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arbitral tribunal has been set up in Pointe-Noire and will soon be operational.   Under the Constitution, 
other institutions have also been establis hed, namely, the High Council of Freedom of 
Communication9, the High Court of Justice10, the Constitutional Court11, the National Human Rights 
Commission12, and the Economic and Social Council.13 
7. At executive level, the main function of the Mi nistry responsible for trade is to formulate, 
evaluate and implement trade policy.14  This is the ministry with responsibility for matters relating to 
the Congo's participation in the WTO, and a representative of the Ministry provides executive secretariat services for the National Trade and Multil ateral Negotiations Monitoring and Coordination 
Committee.
15  The tasks of this Committee are:  to  determine the Congo's objectives within the 
framework of the negotiations in the WTO and unde r the Cotonou Agreement, in cooperation with the 
countries of the subregion (Section (3)(ii));  publ icize and facilitate the administration of trade 
agreements;  and investigate the impact of su ch agreements on the national economy.  Other 
ministries are also concerned with trade-related i ssues:  the Ministry for Economic Integration and 
NEPAD is responsible for the Congo' s participation in Central Afri can economic integration and the 
NEPAD initiative16;  the Ministry of Industrial Developmen t and Private Sector Promotion also has 
the task of promoting preferential development zones17;  the Ministry of the Economy, Finance and 
the Budget (MEFB) includes Customs and the Natio nal Investment Commission (CNI) and manages 
government contracts;  privatizations are the responsibility of the Prime Minister.18 
8. The 2002 Constitution also established the function of Mediator of the Republic19, an 
independent authority responsible  for "simplifying and humanizing the relations between government 
and governed".20  Cases can be brought before the Mediator by  personal application.  According to the 
Mediator's annual report for 2004, in which he drew  up a balance sheet of his activities, the Congolese 
avail themselves of his services with a view to settling certain disputes with the government.  Finally, under the Constitution the Republic of the Congo is organized into local authority districts – 
communes and departments – headed, since 2002, by councillors elected for a five-year term.
21 
9. There are formal arrangements for the private sector (consumer associations, civil society, 
NGOs) to participate in trade a nd investment policy formulation, in particular, through the National 
                                                      
9 Title XII of the 2002 Constitution.  The Council is responsible for overseeing freedom of information 
and communication. 
10 Title X of the 2002 Constitution.  The High Court is responsible for judging the President of the 
Republic, ministers, deputies and members of the Supreme Court and the Constitutional Court. 
11 Title IX of the 2002 Constitution.  The Constitutional Court is responsible for monitoring the 
constitutionality of laws, treaties and international agreemen ts and the validity of parliamentary elections.  There 
is no appeal against the decisions of the Constitutional Court, which are binding on the government and all 
administrative and judicial authorities. 
12 Title XIV of the 2002 Constitution.  The Commission is a body for monitoring and promoting human rights. 
13 Title XI of the 2002 Constitution.  The Economic and Social Council is a cons ultative assembly which 
advises on all draft laws, programmes and development plan s of an economic nature, with the exception of the 
State budget;  the Council may be consulted on any draft trea ty or international agreement of an economic nature. 
14 Decree No. 2003-114 of 7 July 2003. 
15 Decree No. 2003-48 of 20 March 2003. 
16 Decree No. 2003-134 of 31 July 2003. 
17 Decree No. 2003-113 of 31 July 2003 and Decree No. 2005-186 of 10 March 2005. 
18 IZF information online.  Available at:  h ttp://www.izf.net/izf/Guide/Congo/gouvernement.htm 
[6 May 2006]. 
19 This function was established by Law 9-98 of 31 October 1998. 
20 Article 163 of the 2002 Constitution. 
21 Title XVI of the 2002 Constitution. WT/TPR/S/169 Trade Policy Review 
Page 14 
 
 
Trade and Multilateral Negotiations M onitoring and Coordination Committee.22 The principal 
business support structure is the Chamber of Co mmerce, Industry, Agriculture and Trades 
(CCIAM).23  The main employers' associations include  the Employers' and Inter-Professional Union 
of the Congo (UNICONGO).  The Congolese Shippers  Council (CCC) provides support for operators 
wanting to have goods transported to or from the C ongo and helps with transit operations.  There is no 
national body responsible for evaluating the Congo's trade policy. 
(2) POLICY OBJECTIVES  
10. The Congo's trade policy fits within the general context of the " La Nouvelle Espérance " (New 
Hope) social project, presented by the President of the Republic in 2002.  The main economic-related 
objectives of this policy are:  to improve the standa rd of living of the C ongolese people;  to reduce 
State indebtedness by pursuing cooperation with the IMF and the World Bank in order to benefit from 
cancellation of most of the country's external debt  under the Heavily Indebted Poor Countries (HIPC) 
Initiative (Chapter I(2))24;  to continue the restructuring and di versification of the national financial 
system;  to reform the fiscal system (taxes and cu stoms duties) in order to improve the mobilization of 
financial resources;  to contribute (with much more  political will) to the integration of the Central 
African subregion (Section (3)(ii));  and to devel op trade and economic cooperation with the rest of 
the world and normalize relations with all the inte rnational financial and cooperation institutions. 
11. The elements of the social project are incorporated and developed in the Interim Poverty 
Reduction Strategy Paper (I-PRSP) , finalized in September 2004.25  With particular regard to the 
development of the private sector, especially of  small and medium-size enterprises and industries 
(SMEs/SMIs), the main objectives of the I-PRSP are:  to improve the institutional, legal, judicial and 
financial environment;  and to build the capacity of  the trade unions and employers' associations and 
consular offices.  The authorities also point out that macroeconomic stabilization, improvements in the infrastructure (transport, telecommunications, electricity, water) and institutional reform will 
support the development of the private sector. 
12. The specific trade development objectives set out in the I-PRSP are:  the promotion of 
integration, both regional (African Union) and s ubregional (Central African Economic and Monetary 
Community (CEMAC) and Economic Community of Cent ral African States (CEEA C)).  It should be 
noted that the Congo's export earnings come largely from petroleum products and, to a much lesser 
extent, from wood (Chapter I(3)), and that the industr ial fabric is not sufficiently well developed to 
support a manufactured product export strategy (Cha pter IV(4)).  The Poverty Reduction Strategy 
Paper (PRSP) is due to be finalized in December  2006 and this report should enable the authorities to 
further clarify the role of trade and investment po licy, among other things, in the achievement of the 
objectives set out in the document.  In general, governance seems to be a major challenge in the 
Congo
26, particularly as regards transparency in the management of oil income (Chapter IV(3)(ii))27;  
                                                      
22 Decree No. 2003-48 of 20 March 2003. 
23 Decree No. 95-245 of 4 December 1995. 
24 In his New Year's Message to the Nation for 2006, the President of the Republic pointed out that the 
macroeconomic stabilization and stru ctural reform programme of 6 December 2004, agreed with the 
International Monetary Fund and the World Bank and supported by the Poverty Reduction and Growth Facility 
(PRGF), was entering its second year of implementation.   The President stressed th e State's commitment to the 
anti-poverty campaign and the priority  that needed to be given to access to information technology and the 
Internet in order to enable the Congo to make up for lost time in building the information society ("Year's End 
Message from the President of the Republic Denis Sa ssou Nguesso", 31 December 2005.  Available at:  
http://www.congo-site.com/pub/fr/v4x/actualites/ article.php?num=4581 [2 January 2006]). 
25 Republic of the Congo, National Poverty Reduction Committee (2004). 
26 Transparency International  ranks Congo 130th in the world in its Corruption Perceptions Index 
2005 .  Available at:  http://www.trans parency.org [3 November 2005]. Republic of the Congo WT/TPR/S/169 
Page 15 
 
 
improving governance is one of the government's princi pal objectives.  To this end, in June 2004 it 
announced its intention of participating in the "E xtractive Industries Transparency Initiative" (EITI) 
and some progress has been made (Chapter IV(3)(ii)).28 
13. The Congo's investment policy is based on the National Investment Charter (Section (4) 
below), the Forestry Code (Chapter IV(2)(ii)),  the Mining Code (Chapter IV(3)(i)), and the 
Hydrocarbons Code (Chapter IV(3)(ii)).  The Govern ment is also pursuing a privatization programme 
designed to attract foreign direct investment (Chapter III(3)(iv)). 
(3) TRADE AGREEMENTS AND ARRANGEMENTS  
(i) The WTO 
14. The Congo has been a Member of the WTO since 27 March 1997.29  It is not a signatory to 
any plurilateral agreement or to any of the WT O protocols and agreements concluded since the 
organization commenced its activities.  Congo accords at least Most-Favoured-Nation (MFN) 
treatment to all countries. 
15. The Congo's concessions made during the Urugua y Round are contained in Schedule CVI, 
where tariff bindings are concerned (Chapter III(2)(iv)(a)), and in documents GATS/SC/21 and GATS/EL/21, as regards its commitments under the Ge neral Agreement on Trade in Services (GATS) 
(Chapter IV(5)).  The Congo appears to have expe rienced some difficulties in connection with its 
WTO notifications.  Only those relating to the intellectual property regime (Bangui Agreement 
(1999)) have been made.
30  There has been no notification to the Integrated Database (IDB).31 
16. The Congo has a mission in Geneva and particip ates in WTO activities, including Ministerial 
Conferences.32  It took part in the consultations rela ting to two disputes brought before the WTO's 
Dispute Settlement Body concerning the conditions of importation of sugar by the European Union.33  
The Congo supports the positions taken by the devel oping countries, the LDCs and the ACP countries 
in particular, as regards the issues of multilateral obligations and the strengthening of technical 
cooperation activities.  The Congo is eligible for WTO trade policy courses and has benefited from several forms of technical assistance offered by the WT O.  Further trade-related technical assistance is 
required (Annex II.1). 
                                                                                                                                                                    
 
27 Republic of the Congo, National Poverty Reduction Committee (2004). 
28 EITI information online.  Available at:  h ttp://www.eitransparency.o rg/section/countries/_ 
congorepublic [15 July 2006]. 
29 The Congo inherited the status of contracting party on 3 May 1963 (Article XXVI:5(c) of the 
GATT 1994) after having applied the GATT de facto as from 15 August 1960. 
30 WTO documents IP/N/1/COG/C/2, IP/N/1/COG/ C/1, IP/N/1/COG/C/2 of 29 April 2002. 
31 WTO document G/MA/IDB/2/Rev.22 of 26 September 2005. 
32 WTO documents WT/MIN(99)/ST/145 of 2 December 1999, WT/MIN(01)/ST/129 of 
12 November 2001, WT/MIN(03)/ST/133 of  13 September 2003, and WT/MIN (05)/ST/100 of 16 December 2005. 
33 "European Communities – Export Subsidies on Sugar (Complainant:  Brazil)" (WT/DS266), and 
"European Communities – Export Subsidies on Sugar (C omplainant:  Australia)" (WT/DS265).  See also 
"European Communities – Export Subsidies on Sugar (Complainant:  Thailand)" (WT/DS283).  The Appellate 
Body made a final ruling on these three disputes on 28 April 2005;  the arbitral award under Article 21:3(c) was 
made on 28 October 2005. WT/TPR/S/169 Trade Policy Review 
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(ii) Regional Agreements 
(a) African Union34 
17. The Congo is a founding member of the African Union, the successor to the Organization of 
African Unity (OAU).35  Eventually, the African Union will be an economic and monetary union 
whose institutions will include a Conference of Head s of State and Government (already established), 
a Council of Ministers (already established), a Peace and Security Council (established), a Commission (established), and a Pan-African Parliament  (established), together with a Central Bank, 
a Monetary Fund, an African Investment Bank, a Co urt of Justice, an Economic, Social and Cultural 
Council (statutes already prepared), and technical committees. 
18. The African Economic Community (AEC) was founded under the auspices of the OAU, now 
the AU, under the terms of the Treaty of Abuja in Ju ne 1991.  This treaty provides for the creation of 
an African common market in six stages spread over 34 years.  This integration process is based on 
the coordination and harmonization of tariff and non-tariff measures, between various commercial and 
subregional groups (called regi onal economic communities (REC)), with a view to establishing a 
continental customs union. 
19. The New Partnership for Africa's Development (NEPAD), adopted at the Lusaka (Zambia) 
Summit, is an AU programme managed at Centra l African level by the Economic Community of 
Central African States (CEEAC). 
(b) Economic Community of Central African States (CEEAC)
36 
20. The Congo is a founder member of the CEEAC, which is the result of the enlargement of 
CEMAC (Section (c) below) to include the members of the Economic Community of the Great Lakes 
Countries (CEPGL) and Sao Tomé and Principe.37  The CEEAC's institutiona l framework consists of 
the Conference of Heads of State and Government, the Council of Ministers, a Court of Justice (not yet established), the General Secretariat, the C onsultative Commission, and specialized technical 
committees.  The CEEAC also incl udes a specialist body, the Central African Energy Pool (PEAC), 
created on 2 April 2003 as a platform for subregi onal consultation and decisions relating to energy 
(Chapter IV(3)(iii)). 
21. After a long period of inactivity, the CEEAC is now  regarded as one of the pillars of the AU's 
AEC (Section (a) above) and signed the Protocol on relations between the AEC and the RECs in 
October 1999.  An important achievement, consideri ng the numerous conflicts that have afflicted the 
region, is the creation of a mechanism for promoti ng peace, security and stability in Central Africa 
known as the "Council for Peace, Security and Stability in Central Africa" (COPAX).
38  O n  
                                                      
34 African Union information online.  Available at:  http://www.africa-union.org. 
35 The Charter establishing the OAU was signed on 25 May 1963.  The Constitutive Act of the African 
Union was adopted at the summit held in July 2000 at Lomé (Togo).  The African Union, which has now 
replaced the OAU, was proclaimed on 11 July 2001 at Lu saka, Zambia, after ratification of the Constitutive Act 
by more than 44 of the 53 Member States of the OAU.  The Durban Summit of 9 July 2002 launched the 
African Union. 
36 NEPAD (undated). 
37 The CEEAC was created on 18 October 1975 and has its headquarters at Libreville in Gabon.  
CEEAC currently has 11 member countries:  Angola;  Bu rundi;  Cameroon;  Central African Republic;  Chad;  
Congo;  Democratic Republic of the Congo;  Equatorial Guinea;  Gabon;  Rwanda;  and Sao Tomé and Principe.  
The members of the Great Lakes Economic Community (CEPGL) are:  Burundi; Democratic Republic of the 
Congo;  and Rwanda. 
38 Decision No. 001Y/FEV/25/1999. Republic of the Congo WT/TPR/S/169 
Page 17 
 
 
24 January 2003, with a view to the conclusion of  an Economic Partnership Agreement (EPA) with 
Central Africa, the European Union signed a fi nancial agreement with the CEEAC and CEMAC for 
the purpose of supporting subregional integration.39  This agreement provides for the merger of the 
CEEAC and CEMAC. 
22. The CEEAC member countries have adopted a scheme for reducing the tariffs on intra-
Community trade, known as the CEEAC Preferential Tariff40, with rules of origin harmonized on 
those of CEMAC (see below) (Chapter III(2)(iii));  th is coincided with the launch of the CEEAC free-
trade area project on 27 January 2004.41  The free-trade area is due to be established on 
31 December 2007, in accordance with the timetable for the EPA with the EU (Section (d) below).  
However, as of July 2006, the tariff reduction pro cess leading to the establishment of a free-trade area 
had not yet begun. 
(c) Central African Economic and Monetary Community (CEMAC)42 
23. Congo and its neighbours have a long common histor y of regional integration, which formally 
began with independence, with the creation of the Central African Customs and Economic Union 
(CACEU) by the Treaty of Brazzaville of 1964.  The process of economic integration within this Union was re-launched in the early 1990s (a period also marked by the devaluation of the CFA franc) 
by the treaty establishing CEMAC.
43  With a view to the negotiation of an EPA between the EU and 
Central Africa, consisting of the CEMA C countries and Sao Tomé and Principe (Section (d) below), 
CEMAC has signed a free trade agreement with Sao Tomé and Principe.  According to the Congolese 
authorities, the Democratic Republic of the C ongo (DRC) also wishes to participate in these 
negotiations between the EU and Central Africa;  thus, a free trade agreem ent should be concluded 
between CEMAC and the DRC in the near future. 
24. CEMAC's institutional framework consists of  the Conference of Heads of State and 
Government, the Council of Ministers, the Executiv e Secretariat, the Inte r-State Committee (whose 
chief task is to make preparations for the deliber ations of the Council of Ministers), the Community 
Court of Justice (operational since 2000), and the Community Parliament (whose Convention will be 
ratified later).44 
25. CEMAC is based on two unions:  the Central African Economic Union (UEAC)45 and  the 
Central African Monetary Union (UMAC).  UEAC  seeks to achieve the following objectives:  
strengthen the competitiveness of econom ic and financial activities by ha rmonizing the relevant rules;  
                                                      
39 European Commission (2003). 
40 Decision No. 03/CEEAC/CCEG/XI/04. 
41 Agence France Presse (2004), " Création d'une zone de libre échange en Afrique centrale " (in French 
only), 27 January 2004.  Available at:  http//www.aegis.com/news/afp/ 2004/AF040176_FR. html 
[22 January 2006]. 
42 http://www.cemac.cf/ [7 May 2006]. 
43 The treaty was signed on 16 March 1994 by Cameroon, Central African Republic, Chad, Congo, 
Equatorial Guinea and Gabon.  Any ot her African State may join by appl ying for accession to the members of 
CEMAC.  CEMAC commenced its activities on 1 January 1998.  On 5 February 1998, the Heads of State 
proclaimed the end of CACEU and the birth of CEMAC (Decision No. 6/98-UDEAC-CEMAC-CE-33).  The 
former CACEU Secretariat building in Bangui, in the Central African Republic, now houses the CEMAC 
Secretariat. 
44 An Interparliamentary Commission was provisionally set up on 22 June 2000.  It is composed of five 
members from each country, ap pointed by the legislative body of each member State, and aims to contribute, 
through dialogue and debate, to the efforts to bring about the integration of the Community in the areas covered 
by the Treaty and subsequent texts.  The Commission expresses its views in the form of resolutions or reports. 
45 WTO documents WT/COMTD/N/13 and WT/COMTD/24, 29 September 2000. WT/TPR/S/169 Trade Policy Review 
Page 18 
 
 
achieve convergence towards sustainable performan ce by coordinating econom ic policy and aligning 
national budgetary policies with common monetary policy;  create a common market founded on the free movement of goods, services, capital and people;   and institute coordina tion of national sectoral 
policies, implement joint measures and adopt common policies, particularly in the following areas:  
agriculture, livestock and fisheries, industry, trade,  tourism, transport, telecommunications, energy, 
environment, research, edu cation and vocational training.
46 
26. These objectives were to be achieved in three fi ve-year stages:  from June 1999 to June 2004 
– laying the groundwork for the implementation of the free movement of goods, services, capital and 
natural persons;  from June 2004 to June 2009 – implementing free movement;  from June 2009 to 
June 2014 – developing common sectoral policies. 
27. According to the report on the first stage47, the members of CEMAC concentrated on 
enhancing the four freedoms of movement within the common market.  With respect to the free movement of goods, members took the following steps:  harmonization of the application of VAT and excise duties
48;  revision, in 2001, of the common external tariff (CET) adopted in June 1993 in order 
to bring it into conformity with the 2002 version of the Harmonized System49, and a study of the 
establishment of a common third-country trade po licy;  amendment of the CEMAC Customs Code 
with the incorporation of the Acts and Regula tions relating to economic procedures, customs 
valuation under WTO rules, and rules of origin  (Chapter III(2));  and acceptance of regulations 
applicable to enterprises and government aid to  ensure free competition in the common market.50 
28. Moreover, the free movement of capital was fa cilitated by the adoption of the Investment 
Charter in 1999.51  The members of CEMAC also consider it important to harmonize and coordinate 
the national policies of the member States in the transport and telecommunications subsectors. 
29. According to the conclusions drawn by th e Executive Secretariat, from the practical 
standpoint CEMAC has to contend with political, fi nancial and institutional (at headquarters level) 
constraints and with problems of communication.  In particular, "many acts (regulations and other 
directives) are still having insufficient influence on the development programmes and policies being 
implemented in most of the countries in the area".52  The difficulties relate, in particular, to 
"misapplication of the tax and customs codes and regulations, tariff and non-tariff barriers to intra-
regional trade, poor compliance with the rules of origin and Community provisions on the regulation 
of competition".  According to a recent study, CE MAC is also encountering problems of a financial 
nature53, due to the failure of some member countries to pay the Community Integration Tax (TCI) 
and the consequent accumulation of substantial arrear s.  The TCI was introdu ced in 2002 to finance 
CEMAC's activities and is collected by the custom s services of the CEMAC member countries.  The 
Congo is the only CEMAC member country to ha ve scrupulously complied with the provisions 
concerning the payment of the TCI.  The Congolese authorities have also pointed out that the 
                                                      
46 Article 2 of the UEAC Convention. 
47 CEMAC Executive Se cretariat (2005). 
48 Directive No. 1/99-CEMAC-028-CM-03 on harmoni zing the legislation of the member States on 
value added tax (VAT) and excise duty. 
49 Regulation No. 16/03-CEMAC-1368-CM-11 approving the alignment of the CEMAC Common 
External Tariff (CET) on the 2002 version of the Harmonized System (HS). 
50 Regulation No. 1/99/UEAC-CM-639 on the regulation of anti-competitive commercial practices. 
51 Regulation No. 17/99/CEMAC-020-CM-03. 
52 CEMAC Executive Secret ariat (2005), p. 24. 
53 ECPDM (2006).  Republic of the Congo WT/TPR/S/169 
Page 19 
 
 
development of intra-Community trade is being hamper ed by the similarity of the agricultural, agro-
industrial and mining economies of the countries of the sub-region.54 
(d) Relations with the European Union (EU) 
30. The Congo is one of the 79 ACP countries w ith which the EU concluded the Cotonou 
Agreement that entered provisionally into force on 1 March 2000.55  The trade provisions constitute 
one of the mechanisms for cooperation between th e ACP countries and the EU.  The latter grants 
duty-free admission to industrial products and pr ocessed agricultural products originating in 
78 ACP countries (excluding South Africa) on a non-reciprocal basis. 
31. The Members of the WTO have granted th e EU a waiver from its obligations under 
Article I:1 of the GATT 1994 (on MFN treatment)  for the period extending from 1 March 2000 to 
31 December 2007, the date on which new trading a rrangements consistent with WTO rules must be 
concluded between the two parties.56  In accordance with the Coton ou Agreement, these arrangements 
will take the form of Economic Partnership Ag reements (EPA) between the EU and various ACP 
regional groupings. 
32. The EU initiated the EPA negotiation process on 27 September 2002:  the first phase involved 
all the ACP countries and the EU and concerned horizont al issues of interest to all the parties;  the 
second phase began with the start of EPA negotia tions with Central Africa in October 200357, 
followed by the opening of negotiations on other EPAs;  the Democratic Republic of the Congo 
(DRC) has also expressed a desire to form part of the Central African EPA configuration.  The road 
map for these negotiations was jointly signed by the parties on 20 July 2004 and provides, among 
other things, for the establishment of a WTO-consistent free-trade area between the parties, over a 
12-year period starting in January 2008.58  A new phase in the negotiations began in January 2006.59 
(e) Relations with the United States 
33. The Congo is one of the 37 African countries eligible for the programme set up by the United 
States in 2000 under the Africa Growth and Opportunity Act (AGOA).60  In 2004, the Congo 
benefited from preferences under the Generalized Sy stem of Preferences (G SP) for exports amounting 
to US$345 million, mainly petroleum derivatives wh ich accounted for 41 per cent of its merchandise 
exports to the United States in 2004.  No product exported from the Congo is currently the subject of preferences granted under the AGOA.  The United St ates is also providing financial support for the 
Congo Basin Forest Partnership (CBFP), to  which the Republic of the Congo belongs 
(Chapter IV(2)(iii)). 
                                                     
 
54 Government of Congo, Ministry of Planning, Land Use Management, Economic Integration and 
NEPAD (2006). 
55 This agreement was signed on 23 June 2000 at Cotonou, in Benin, and officially entered into force 
on 1 April 2003 after ratification.  The Agreement repl aced the Lomé Convention, in  effect since 1975, whose 
fourth extension expired at the end of February 2000. 
56 WTO document WT/MIN(01)/15 of 14 November 2001.  The waiver (WT/L/186) granted by the 
WTO, which extended the waiver under Article I (MFN treatment) of the GATT for the Fourth Lomé Convention 
between the ACP countries and the EEC (GATT document GATT L/7604), ended on 29 February 2000. 
57 Press release from the European Commi ssion's Commerce DG, dated 3 October 2003. 
58 "Roadmap for the negotiations on the Economic Partnership Agreement between Central Africa and 
the European Union", 16 July 2004. 
59 Press release from the European Commissi on's Commerce DG dated 29 November 2005. 
60 USTR (2005). WT/TPR/S/169 Trade Policy Review 
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(f) Other agreements and arrangements 
34. Many countries extend preferential tariff tr eatment under the Generalized System of 
Preferences (GSP) to goods originating in the Congo. 
35. The Congo has concluded framework trade fac ilitation agreements with several countries. 
(4) INVESTMENT  
36. The objective of the Congo's Investment Charter, adopted in 2003, is to establish the role of 
investment in the country's economic development programme and to specify the obligations on the 
authorities to promote an environment favourable to investment as regards the macroeconomic framework, taxation, legal certainty, the regulator y framework and the protection of intellectual 
property rights.
61  It implements in the Congo the CEMAC Community Investment Charter adopted in 
1999.  The national Charter is supplemented by re gulations adopted at the beginning of 2004 and 
defining, in particular:  the eligibility conditions a nd criteria;  the regimes;  the approval procedure 
and authority and the obligations on approved en terprises, infringements, penalties, miscellaneous 
provisions, and other practical information.62 
37. The Investment Charter applies to all enterpri ses that intend to develop an economic activity 
in the Congo, with the exception of such activ ities as brokering, dealing, arms importing and 
manufacturing, and the importing or processing of toxic waste and the like;  moreover, there are specific regulatory frameworks applicable to mini ng, logging and oil companies.  Although commerce 
is, in principle, an activity excluded from the amb it of the Charter, by way of exception the Charter 
applies to commercial activities associat ed with the collection, storage,  distribution and exportation of 
locally manufactured products (other than alcoholic beverages and tobacco) with a view to promoting 
exports of this kind.  It should be noted that, in actual fact, some activities are not open to private 
investment, in particular, those relating to sugar (Chapter IV(2)(iii)(a)), certain services linked with 
the oil sector (Chapter IV(3)(ii)), and goods or services provided under a State monopoly (water, electricity, postal services and fixed telecommunicati ons) (Chapter III(4)(iv)).  Moreover, on-the-shelf 
retail trading, bread-making a nd urban transport activities are reserved for Congolese nationals.
63 
38. The National Investment Commission (CNI) is  responsible for the implementation of 
government investment policy and follow-up with  the approved enterprises and the national 
authorities concerned by the incentive measures taken.64  The CNI meets four times a year in ordinary 
session but extraordinary sessions may be c onvened at the initiative of its chairman. 
39. Enterprises that meet the eligibility conditions65 can submit their applications to the CNI for 
                                                      
61 Law No. 6-2003 of 18 January 2003. 
62 Decree No. 2004-30 of 18 February 2004. 
63 Law No. 19-2005 of 24 November 2005. 
64 Decree No. 2003-57 of 22 April 2003.  Monitoring is based on physical inspections and audits of 
enterprises approved under the Charter.  See National Investment Commission (2005). 
65 According to Articles 5 and 6 of Decree No. 2004 -30 of 18 February 2004, the conditions are:  
enrolment in the commer cial register;  creation of permanent jobs pr oviding at least 280 days of employment per 
year;  share capital equal to at least 20 per cent of inve stment;  use of local raw materials necessary for the 
manufacture of the finished or semi-finished product, on the same conditions of price, quality and delivery as 
offered by foreign suppliers, in the case of industrial enterp rises;  greater recourse to local services, on the same 
conditions of quality, price and delivery as offered by foreig n enterprises, in the case of service enterprises;  
registration with the National Social Security Fund (CNSS);  the opening of an account in a bank or other duly 
established financial saving and lending institution;  prio rity for local labour with the same level of skills as 
foreign labour.  Any new activity involving a separate production unit and accounts separate from those of the Republic of the Congo WT/TPR/S/169 
Page 21 
 
 
approval under the general G regime or the special S regime66;  specific supplementary criteria apply 
to forestry companies holding an exploitation permit67, as well as to commercial enterprises that 
collect, store, distribute and export locally manufact ured products (apart from alcoholic beverages and 
tobacco).68  The special S regime is specifically intended  to facilitate the establishment of SME/SMIs;  
to this end, advantages additional to those availa ble under the G regime are granted, even though the 
minimum amount of investment required is less (Table II.2). 
40. In 2004, the first year of application of the new investment regime, the CNI examined 
25 applications and granted 22 approvals, corresponding to a total proposed investment of 
143 billion CFA francs and 3,902 potential jobs.69  About half this amount was intended to finance 
projects in the forestry subsector.  The authorities note that about 80 per cent of the total was to be 
financed out of own resources, which reflects th e difficulty of obtaini ng bank financing in Congo 
(Chapter IV(5)(v)).  The loss of revenue attributab le to the exemptions granted to enterprises under 
the Investment Charter in 2004 and to the old provisions previously in force (in 2002 and 2003) is estimated at about 22 billion CFA francs. 
Table II.2 
Investment Charter – advantages under the preferential regimesa 
 General G regime Special S regime 
Specific criteria Investment of at least CFAF 100 million Invest ment of at least CFAF 30 million but less than CFAF 100 million  
Common provisions During the start-up period and the first three years of  operation, the approved enterprise benefits from: 
 - The provisions of the CEMAC Customs Code relating to inward processing procedures for export-oriented 
 activities; 
 - relief from customs duties in the form of tempor ary admission or duty-free entry for natural resource 
 exploration activities; 
 - a 50 per cent reduction in the registration fees for co mpany formation, capital increases, mergers, and share 
 transfers. 
During the first three years of operation, reckoned from the year  of first sale of its products or first service provided, 
the approved enterprise benefits from: 
-  Total exemption from tax on either company profits or personal income;  
-  authorization to apply the reduced balance method or accelerated depreciation;  
-  authorization to carry losses over to the next three financial years; 
-  application of the zero rate of VAT to its exports. 
Specific provisions None During the start-up period and the first three years of operation, the 
approved enterprise benefits from reduced registration fees for company 
formation, capital increases, mergers, and share transfers. 
a The preferential development zone regime  provided for by Decree No. 2004-30 of 18 February 2004 will be available after the 
adoption of the regulatory framework for the free zones. 
Source : Decree No. 2004-30 of 18 February 2004. 
                                                                                                                                                                     
parent company can benefit, on the same terms as the latter, from the advantages conferred by the Investment 
Charter. 
66 The preferential development zone regime is not available in 2006;  it is expected that a regulatory 
framework will be adopted in time for the launch of the free zone activities. 
67 The criteria additional to those of Articles 5 and 6 of Decree No. 2004-30 of 18 February 2004 are:  
new investment involving the establishment of a new forestry exploitation unit and/or a new factory;  creation of 
new jobs for this new unit;  and separate accounts. 
68 The criteria additional to those of Articles 5 and 6 of Decree No. 2004-30 of 18 February 2004 are:  
investment, in particular in the construction of appr opriate warehouses and the purchase of new means of 
transport suitable for product collection and distribution;  and ensuring that, during the term of approval, 80 per 
cent of the activity concerns only local products, excluding alcoholic beverages and tobacco. 
69 National Investment Commission (2005). WT/TPR/S/169 Trade Policy Review 
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41. The Congo has concluded several b ilateral investment agreements70;  new agreements are in 
the process of being concluded and/or ratified.  The Congo has also concluded two conventions with 
France (1986 and 1987) aimed at preventing double taxation and tax evasion.  In October 2005, the 
Congo and Tunisia signed an agreement on the r eciprocal encouragement and protection of 
investment, together with a double taxation conven tion.  A reciprocal investment promotion and 
protection agreement was concluded with South Africa in October 2005. 
42. The Congo is a member of the Treaty establis hing the Multilateral Investment Guarantee 
Agency (MIGA).  The ACP-EU Cotonou Agreemen t includes provisions for protecting European 
investment in the ACP countries (Articles 260, 261 and 262). 
 
                                                      
70 With the following countries:  Germany (1967), Switzerland (1964), United Kingdom (1990) and 
United States (1994).  The agreem ent signed with Italy in 1994 has not yet entered into force. Republic of the Congo WT/TPR/S/169 
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ANNEX II.1: TRADE-RELATED TECHNICAL ASSISTANCE 
1. Since the stabilization of the country's political situation in 2000, and the commitment of the 
authorities through the President's " La Nouvelle Espérance " social plan, the Congo has had the 
support of the international community.  In March 2006, Congo reached the decision point under the 
HIPC initiative (Chapter I (2)(i));  the final text  of the Poverty Reduction Strategy Paper (PRSP), 
currently in its interim version, should soon be ready for adoption.  The authorities would like to 
receive enhanced trade-related technical assistance in  order to pursue their goal of diversifying the 
economy (heavily dependent on oil resources) and estab lish a more sustainable basis for medium-term 
development. 
2. The Congo has benefited from numerous techni cal assistance actions undertaken by the WTO 
and UN agencies (UNDP, UNCTAD, F AO, etc.) in support of the deve lopment of its international 
trade.  Within the context of th e WTO, the following deserve special  mention:  the participation of 
Congolese officials in 60 seminars, workshops, cour ses, missions and other WTO activities between 
1998 and 2006 (up to end May);  a nd the participation of Congolese officials in the trade policy 
courses organized by the WTO.  In the course of the preparatory work on its Trade Policy Review, 
Congo received two WTO missions in Brazzaville.  At support infrastructure level, a reference centre 
was set up on the premises of the Ministry in ch arge of trade, although it has still to be made 
operational. 
3. The Congo did not participate in JITAP I (Joint Integrated Technical Assistance 
Programme I) and is not participating in JITAP II.1  It has indicated a desire to obtain access to that 
programme.  The Congo's current needs for trade-related technical assistance encompass a number of 
different areas, in particular:  implementation of tr ade-related agreements;  pa rticipation in the regular 
activities of the WTO and strengthening of the Congo' s capacity to participate in trade negotiations;  
trade policy formulation;  supply-side constraints;  and integration of trade and development policies. 
(1) IMPLEMENTATION OF AGREEMENTS AND POLICY FORMULATION  
4. The implementation issues of most concern to the Congo are those relating to import licences 
and prohibitions, sanitary and phyto sanitary measures (SPS), technical barriers to trade (TBT), and 
copyright and related rights.  The Congo's techni cal assistance needs also include the harmonization 
of its laws and regulations with WTO rules and principles;  notifications;  staff training and 
institutional capacity building;  and/or the formula tion of policies that make it possible to enhance the 
benefits and minimize the potential costs associated  with the implementation of the Agreements. 
5. The Congo has made only one notification sin ce the WTO commenced its activities, namely, 
that concerning its industrial property legislati on.  Consequently, for WTO Members, the Congo's 
trade policy remains something of an unknown quantity;   technical assistance is requested in order to 
enable the country to fulfil its notification obligations .  There is also a request  for technical assistance 
in training Ministry of Commerce personnel to apply the import licensing regime, particularly for staple foods and imports that compete with the products of domestic enterprises. 
6. The Congo would like some capacity-building to  bring its sanitary and phytosanitary (SPS) 
measures regime into line with the relevant WTO provisions.  The Congo intends to establish a 
national framework for standardiza tion and a quality control system to improve access to regional and 
international markets for its exports.  It would a ppreciate receiving technical assistance from the WTO 
for this purpose. 
                                                     
 
1 http://www.jitap.org/. WT/TPR/S/169 Trade Policy Review 
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7. The Congo has not yet harmonized its national co pyright and related rights system with the 
relevant provisions of the TRIPS Agreement;  it has indicated a desire fo r assistance with this.  
Moreover, some capacity-building is required fo r the personnel concerned with the Investment 
Charter to ensure fulfilment of national oblig ations under the WTO Agreement on Trade-Related 
Investment Measures. 
8. The Congo is actively participating in WTO ministerial meetings and its Geneva mission 
continues to be regularly involved in WTO activ ities and the negotiations taking place in Geneva 
within the DDA framework.  The authorities ar e endeavouring to strengthen capacity among the 
members of the National Trade and Multilatera l Negotiations Monitoring and Coordination 
Committee - most of whom are drawn from ministries not normally involved in trade policy issues - 
with a view to ensuring the consistency of measu res taken in different sectors of the economy and 
their conformity with the Congo's multilateral commitm ents.  It would also be desirable to extend 
access to the WTO reference centre to the members of this Committee and provide the technical 
assistance necessary to facilitate its use. 
(2) SUPPLY -SIDE CONSTRAINTS  
9. Despite its wealth of oil, timber and minera l resources, the Congo is suffering from severe 
supply-side constraints aggravated by a long period of internal strife.  The authorities are hoping to 
revitalize the agricultural, livestock and fisheries se ctors, increase the contribution of forest industries 
to GDP formation and employment, and develop the mining sector.  The Congo has the potential it 
needs as a transit country, thanks to a port infrastru cture which enables it to trade easily with foreign 
markets.  However, it will not be able to realiz e its full potential in this respect until the national 
infrastructure has been upgraded.  Tr ade in general, and in particular  the Congo's transit trade and its 
cross-border trade with neighbouring landlocked countr ies, would be facilitated if the road and rail 
transport infrastructure could be improved and extended. 
10. The authorities envisage giving a new impetus to  agricultural activity, which should open the 
way to a higher degree of primary product processing.  In fact, processing remains embryonic, except 
in the case of wood since the entry into force, in 2000, of the new requirements in this respect under 
the Forestry Code.  The structure of the CEMAC C ET (Chapter III(2)(iv)(a)), together with the high 
cost of inputs, particularly electricity, water, and fixed telecommunications, and the difficulties in 
accessing them, is doing little to encourage these activ ities.  The financing of business activities by 
the banking system remains focused on import-expor t, and the system does not seem sufficiently 
robust to provide support for small and medium-siz e enterprises considering investing (risk) capital 
long-term.  The extension of micro-finance among the rural community would also support the development of the market economy and make it possible to progress beyond the self-sufficiency stage of agricultural activity. 
11. Certain infrastructure-related issues have been  incorporated in the programme of State 
withdrawal from economic activity (Chapter III(4)(i v)).  The National Electricity Company (SNE) 
and the National Water Supply Company (SNDE) are bei ng restructured to prepare them for being put 
out to concession.  The present privatization progra mme also involves the railway network, while the 
situation of the Congo Telecommunications Comp any (SOTELCO), which still has a monopoly on 
the supply of basic telecommunications services, is under study. 
(3) I
NTEGRATION OF TRADE INTO DEVELOPMENT STRATEGIES  
12. The Congo is in the process of finalizing its  Poverty Reduction Strategy Paper (PRSP).  
Taking the main conclusions of the present TPR into  account in the final version of its PRSP should Republic of the Congo WT/TPR/S/169 
Page 25 
 
 
enable the Congo to integrate trade c oncerns more effectively into its de velopment strategy in general.  
Trade-related technical assistance should facilitate greater understanding of the benefits that the 
Congo can derive from its participation in the multilate ral trading system and enable it to exploit more 
fully the different opportunities afforded by its participation in the various trade arrangements.