Bolivia WT/TPR/S/154 
 Page 27 
 
 
III. TRADE POLICY BY MEASURE 
(1) OVERVIEW  
1. Since the last review in 1999, Bolivia has a dopted measures to update and simplify its trade 
regime, including the adoption of the WTO definition of transaction value, the elimination of 
preshipment inspection, and the en try into force of a new General Customs Law and Regulations.  
A number of other measures have also been adopted to  facilitate trade, to deal with the management 
and supervision problems in the customs service and to combat smuggling. 
2. Tariffs are the main instrument of protection at the border.  All tariffs are ad valorem .  The 
arithmetic average of the MFN tariff applied in 2005 was 8.2 per cent, which corresponds to a 
reduction of 1.5 per cent in comparison with 1999.  The average applied MFN tariff is 9.8 per cent on 
agricultural products (according to the WTO definiti on) and 7.9 per cent on non-agricultural products.  
Dispersion is low, although it has increased since the last review in 1999.  Bolivia applies the Andean 
Community’s common external tariff (AEC) with some exceptions.  It participates in agreements that 
provide tariff preferences of widely varying scope.  The agreements that cover the largest number of 
products are those with the Andean Community, the MERCOSUR and Mexico. 
3. Bolivia has bound all its tariffs, thereby enhanc ing the predictability of its trade regime.  
Nevertheless, the gap between applie d tariffs and bound tariffs continues to be fairly wide, and the 
average of bound tariffs is 40 per cent. 
4. During the period under review, in addition to ta riffs, other duties and taxes applied solely to 
imports, for example the inspection tax (up to 1 July 2003) or the storage tax.  Depending on the 
product, imports are also subject to internal tax es such as the value added tax (VAT), the tax on 
specific consumer goods and/or the special tax on hydrocarbons and their by-products.  VAT is at a 
nominal rate of 13 per cent on the selling price of goods and services.  "Chicha" made from maize (a locally-produced alcoholic beverage), is s ubject to the tax on specific consumer goods (ICE) 
amounting to Bs 0.37 per litre;  the ICE applicable  to other alcoholic beverages ranges from Bs 0.71 
to Bs 1.44 per litre. 
5. Bolivia has notified the WTO that during the period under review no antidumping, 
countervailing or safeguard measure was imposed.  Prior authorization and import prohibitions are 
normally applied for reasons related to health, the environment or national security.  Restrictions and 
import prohibitions may also be imposed for econo mic reasons.  Since January 2004, the import of 
right-hand-drive vehicles into free zones has been allo wed in order to refit them into left-hand-drive 
vehicles, but the import of refitted vehicles from abroad is still banned. 
6. Activities and problems connected with diseases of animal origin and genetically-modified 
products, together with technical assistance, have be en important areas of work in relation to sanitary 
and phytosanitary measures.  All imports of anim als and/or plants and their products must be 
accompanied by an animal health or phytosanitary certificate.  The import of such products and 
processed foodstuffs also necessitates phytosanita ry, animal health and food safety permits.  
A number of different Government bodies are res ponsible for drawing up technical regulations.  
According to the authorities, in December 2004 there were 1,428 standards and 33 technical 
regulations based on the standards.  Since the prev ious review, Bolivia has notified seven sanitary and 
phytosanitary measures and two technical regulations to the WTO. WT/TPR/S/154 Trade Policy Review 
Page 28 
 
 
7. There are no export taxes, but the tax on minera ls exported is higher than that on minerals 
sold on the domestic market.  The export of unprocessed  forestry products is subject to restrictions 
and several products require prior authorization.  A ll exports are subject to random inspection at the 
customs. 
8. Tax incentives are given for exports under different regimes, for example, free zones, the 
Régimen de Admisión Temporal  para Perfeccionamiento Activo  – RITEX (temporary admission for 
final processing regime) and the drawback scheme.  Import duties are refunded through an automatic 
procedure based on a coefficient applied to the f.o.b.  export value.  Bolivia has reserved the right to 
grant subsidies under two regimes intended to promote exports (free zones and the RITEX). 
9. There are also a number of in centives for investment and production.  Some of these concern 
specific regions, while others provide technical as sistance and subsidies for small and medium-sized 
enterprises or agricultural production.  Bolivia notified that the 1996 Hydrocarbons Law might be 
inconsistent with the illustrative list in the Agreement on Trade-Related Investment Measures 
(TRIMS), but subsequently notified that no TRIMS inconsistent with the Agreement was applied. 
10. Bolivia does not have any special law on comp etition on the domestic market although there 
are sectoral provisions regulating competition in some  services sectors and energy.  There appears to 
be a high level of competition in some sectors, while  it is low in others.  Price controls apply to 
hydrocarbons products, electricity and some services.  
11. Bolivia is not party to the WTO’ s Plurilateral Agreement on Government Procurement.  It has 
adopted a new government procurement regime, who se objectives include the promotion of efficiency 
and transparency in government procurement.  The new regime provides preferences for Bolivian 
products and companies, which in some cases are linked to national content.  Foreign companies 
wishing to bid for government proc urement consultancy contracts must  do so in association with a 
Bolivian company. 
12. With regard to intellectual property, in 2000, the Andean Community’s Common Industrial 
Property Regime was adopted and efforts have been  made to improve enforcement, for example, 
through the adoption of a new Code of Criminal Pr ocedure and the establishment of the Departmental 
Commission on the Protection of Intellectual Pr operty Rights.  Bolivia’s intellectual property 
legislation was examined by the WTO’s TRIPS Council in 2001. 
(2) MEASURES DIRECTLY AFFECTING IMPORTS  
(i) Procedures 
13. In 1999, a new General Customs Law was adopted (Law No. 1.990 of 28 July 1999) as part of 
a broader customs reform, with the support of sev eral international orga nizations and bilateral 
donors.1  The General Customs Law, regulated by Supreme Decree No. 25.870 of 11 August 2000 
(Regulations of the General Customs Law) a nd amended by Law No. 2.492 of 2 August 2003 
(Tax Code), is aimed at updating and simplifying customs procedures.2  The Law underlines the 
importance of responsible manageme nt and compliance with the legislation by establishing a National 
Customs Division (hereinafter the "customs"), appoin ting a president of customs by the President of 
                                                      
 1 These were:  the Andean Development Corporation,  the Inter-American Deve lopment Bank, the IMF, 
the Nordic Development Fund, UNDP, the World Bank and the Governments of Denmark, Germany, Japan, the 
Netherlands and Sweden. 
 2 The Regulations of the General Customs Law were  subsequently amended by a number of Supreme 
Decrees. Bolivia WT/TPR/S/154 
 Page 29 
 
 
the Republic upon a proposal by two thirds of the Chamber of Deputies, and recruiting customs 
personnel by means of a transparent public competiti on so as to tackle corruption.  In 2001, the 
Unidad Técnica de Inspección y Servicios Aduaneros  – UTISA (Technical Unit for Customs 
Inspection and Services) was created.  It has the authority to carry out surprise inspections in any 
office in order to ensure application of the op erational procedures and seek out shortcomings in 
compliance with rules and corruption.3  Bolivia is a member of the World Customs Organization. 
14. In 1999, the customs, which is the chief bod y responsible for implementing customs policy, 
was restructured into five regional offices under th e Office of General Management (the foremost 
operational authority).  The regional offices' are re sponsible for planning, directing and supervising 
the customs' work and operations in their geographical areas.  They come under the customs 
authorities throughout Bolivia (at the border, in citi es in the interior, free zones and airports).  The 
highest authority is the Customs Division, responsible  for overall policy.  In 1999, in order to tackle 
smuggling, a Unidad de Control Operativo Aduanero (Customs Operational Control Unit) was 
created.4  It has been estimated that smuggling accounts for almost 40 per cent of formal imports, 
equivalent to 9.29 and 8.62 per cent of the GDP in 2000 and 2003 respectively.  The loss of revenue 
to the Government as a result of smuggling am ounted to an estimated US$187 million in 2000 and 
US$146 million in 2003.5 
15. All foreign trade operators (including importers) using the customs (with access to 
ASYCUDA++ (see below)) are registered in the Unidad de Servicio a Operadores  – USO (Operators 
Service Unit). 
16. Customs clearance must be carried out by a customs agent;  an importer may clear imported 
products whose f.o.b. value is US$1,000 or less.  The following documents are required for customs 
clearance: declaration of the goods;  form summa rizing the documentation; commercial invoice or 
equivalent document;  insurance policy or certif icate (where applicable);  transport document 
(air waybill, shipping bill of lading, consignment note);  record of delivery, issued by the customs office upon entry of the goods;  sworn declaration of the customs value by the importer;  record of 
port costs (where applicable);  invoice for trans port costs (where applicable);  packing list and 
certificates and/or prior authorizations (where applicable).
6  Some products require special documents, 
for example, sanitary and technical certificates, phytosanitary, animal health or food safety import 
permits (sections (2)(ix) and (x)) and a certificate of origin for products imported under a preferential 
regime (see section (2)(iv)(d)) or products subject to antidumping or countervailing duties.  The cost 
of a goods declaration is Bs 12 per declaration.7 
17. In addition to the general customs clearance procedures, the Regulations of the General 
Customs Law also give importers the possibility of prior clearance, in which case the goods are 
declared before they enter (no transport document or  record of delivery is required), or immediate 
clearance, in which case the goods are cleared before payment of customs duty.  The latter procedure 
can only be followed for goods listed in Article 129 of the Regulations of the General Customs Law, 
for example, certain medicines,  radioactive chemical elements , perishable goods, live animals, 
periodicals, precious stones and metals, banknotes and coins.  In these cases, the declaration of goods, 
                                                      
 3 Bolivian National Customs, Unidad Técnica de Inspección y Servicios Aduaneros  – UTISA 
(Technical Unit for Customs Inspection and Serv ices), information on line. Available at: 
http://www.aduana.gov.bo/pagutisa.htm. 
 4 Letter of Intent of the Government of Bolivia, information on line. Available at: http://www.imf. 
org/external/np/loi/1999/122099.htm. 
 5 Bolivian Foreign Trade Institute (2004). 
 6 Regulations of the General Customs Law, 2000. 
 7 Bolivian National Customs, Circular No. 138/2003 of 4 July 2003. WT/TPR/S/154 Trade Policy Review 
Page 30 
 
 
the transport document, the commercial invoice and the other documents mentioned above must be 
provided, together with the sworn declaration of customs value. 
18. In 1999, the Automated System for Custom s Data (ASYCUDA++) replaced the SARA 
computer program previously used.  The adoption of the ASYCUDA has also meant that there are 
fewer physical inspections of goods as the computeri zed system now decides which imports should be 
the subject of selective inspection, placing them at ra ndom in a green, yellow or red channel.  There is 
no inspection of goods in the green channel;  in th e yellow channel, the documentation is inspected;  
in the red channel, there is both inspection of th e documentation and a physical inspection.  The 
General Customs Law (Article 79) also limits physi cal inspection of goods to a maximum of 20 per 
cent of customs declarations each month.  There are no fixed percentages for the yellow or green 
channels.  The criteria used are risk and selectivit y, as well as subsequent verification or control.  
According to the authorities, as a result of this reform, the time required for customs clearance has 
decreased by approximately one week in all cases an d is one half hour maximum in the green channel, 
a maximum of one day in the yellow channel and thr ee days in the red channel, in accordance with the 
time limits prescribed in the current import valuation procedure. 
19. Between 1 January 2002 and 1 July 2003, presh ipment inspection was gradually eliminated 
and the number of tariff lines subject to inspection reduced.8  Before its elimination, inspection was 
conducted by two companies appointed by the Boli vian authorities, Inspectorate Griffith and the 
Société Générale de Surveillance, and wa s governed by Resolution No. RN 007-2000 of 
14 March 2000.9  Inspection fees amounted to 1.92 per cent of the f.o.b. value of the goods up to 
April 2000 and after that 1.75 per cent of the f. o.b. value, and were paid by the importers. 
20. Imports not exceeding US$3,000 did not require preshipment inspection, with the exception 
of some goods (alcoholic beverages,  cigarettes and textile articles) from free zones abroad or whose 
sales invoice was not submitted by the seller but by a reshipper (dealer or forw arder).  The inspection 
was then carried out at the origin and the insp ector could be chosen freely.  Imports exceeding 
US$3,000 were subject to inspection by one of th e two companies: for goods valued at between 
US$3,001 and US$12,000, imports were  subject to inspection in Bolivia;  if the value was between 
US$12,001 and US $50,000, inspection could be carried out  either at the destination or at the origin;  
for goods exceeding US$50,000, inspection had to be carried out at the origin.10  In any event, the 
customs could inspect goods that had a preshipment inspection certificate.11  Since the elimination of 
preshipment inspection, the Bolivian customs carries out all inspections determined by the computer 
system upon arrival.  It does not receive any fees for the inspections it carries out. 
21. In addition, in order to facilitate trade, in May 2005, the Comité Nacional para la Facilitación 
del Transporte y el Comercio Internacional (National Committee for the Facilitation of Transport and 
International Trade) was set up to promote facilita tion and simplification of international transport 
formalities and procedures.12 
22. Disagreement with the customs concerning valuation (determination) by the customs 
(including the classification or valuation of the product and its origin) or other import requirements 
must be brought to the attention of the competent customs administration (which is part of the 
                                                      
 8 Customs Information Note No. 18 of 23 Septem ber 2004, available at: http://www.aduana.gov.bo/ 
indexnoticias.htm. 
 9 Contained in Customs Circular No. 71/2000 of 10 April 2000. 
 10 Nueva Economía , "El ABC de la importación", information on line. Available at:  
http://www.nuevaec onomia.com.bo/guia.php?guia=3.  
 11 World Bank (2004). 
 12 Supreme Decree No. 28.124 of 17 May 2005. Bolivia WT/TPR/S/154 
 Page 31 
 
 
customs service) within five days from the da te of the acceptance document.  The customs 
administration has 20 days (30 days if the disagreemen t concerns the value) in which to settle the case 
by means of a resolution that determines the amount  of tax to be paid on imports and/or imposes 
penalties (a fine or other penalty);  this decision may be the subject of an appeal in accordance with 
the provisions of Law No. 2.492 (Tax Code)13, which provides that the decision, as well as matters 
related to the refund of duty wrongly paid, may be the subject of an appeal  before the regional tax 
supervisory authority.14  In turn, the decision taken may be the subject of an administrative appeal to 
the regional tax superintendent, after which administ rative channels are exhaus ted.  The appellant may 
then bring the matter before the Supreme Court of Ju stice through an action under administrative law.  
The authorities indicate that the main disagreem ents between the customs administration and 
importers concern the value declared. 
(ii) Customs valuation 
23. Customs valuation is regulated by the WTO Agreement on Customs Valuation, Andean 
decisions15 and domestic legislation.  After benefiting from deferral of application of the Agreement 
(in order to update the necessary regulatory and pr ocedural framework, as well as the database) and 
following the adoption of the new General Customs Law in 1999 and the Regulations on Customs 
Valuation in 200216, Bolivia started to apply the WTO Customs Valuation Agreement, with the 
exception of the computed value method, for whic h it requested a further deferral of three years 
pursuant to Article 20.2.17  Bolivia has fully complied with the Agreement on Customs Valuation, 
including the computed value method, since 1 July 2003, when the last contract with the inspection 
firms came to an end.  Both the relevant sections  of the General Customs Law and the Regulations on 
Customs Valuation have been notified to the WTO18 and were examined by the WTO Members in 
200319;  Bolivia has not, however, replied to the list of questions.20  As part of the customs reform 
(see also section (2)(i)), in 1999 the institutional structure of the Bolivian National Customs was 
modified by the creation of a Customs Valuation Department. 
24. Pursuant to the General Customs Law, the customs value of imports is the value of the 
transaction plus the cost of transport and insurance;   in the case of air freight, the taxable value only 
includes 25 per cent of the cost.21  If it is not possible to establish the transaction value, other methods 
are followed in the order laid down in  the WTO Customs Valuation Agreement.22  Article 259 of the 
Regulations of the General Customs Law provides for the use of a database of reference prices.  In this regard, the authorities point out that, according to  the internal regulations of the customs and the 
import procedures in force, the use of reference prices is an additional mechanism available where 
there are any doubts concerning the value declared by the importer.  If the reasonable doubt expressed by the customs is not duly resolved by the importer or where the latter fails to provide the information 
required, the goods are only cleared when the impor ter pays security equivalent to the difference 
                                                     
 
 13 Regulations of the General Customs Law, Article 109, amended by Supreme Decree No. 27.310 of 
9 January 2004. 
 14 Law No. 2.492 (Tax Code) of 2 August, 2003, Article 143. 
 15 Decision No. 571 – Value of Imported Goods at Customs, of 12 December 2003;  
Resolution No. 846 – Community Regulations for Decision No. 571 of 6 August 2004. 
 16 Bolivian National Customs, Resolution of the Directorate No. RD 01-015-02 of 18 April 2002. 
 17 WTO document G/VAL/2/Rev.19 of 21 October 2004. 
 18 WTO document G/VAL/N/1/BOL/1 of 30 September 2002. 
 19 WTO document G/VAL/W/123 of 24 September 2003. 
 20 This list is contained in WTO document G/VAL/5. 
 21 Articles 27 and 143 of the General Customs Law and Article 20 of its Regulations. 
 22 Law No. 1990 of 28 July 1999 (Bolivian General Customs Law);  National Customs of Bolivia, 
Resolution of the Directorate No. RD 01-015-02 of 18 April 2002. WT/TPR/S/154 Trade Policy Review 
Page 32 
 
 
between the customs duty applicable to the declar ed value and the value established according to the 
database, when the last-resort method is applied. 
25. Until 2004, percentages for annual depreciation appl ied to the valuation of any type of used 
vehicle, including passenger vehicles.  The same tables were used to value used machinery and 
equipment and other used goods, with the exception of articles of worn clothing.  Since July 2004, the 
customs value for all used automobiles and ot her used goods has been the transaction value.23 
26. The customs value is determined on the basis of  a sworn declaration of customs value signed 
by the importer (i.e. the Andean declaration of value).24  The authorities indicate that the sworn 
declaration of customs value is not required in certa in cases, for example, clearance of imports of little 
value (not exceeding US$100).  Imports by diplomatic staff, imports under certain customs regimes 
(for example, temporary admission for final processing, drawback and free zones), imports of military equipment and works of art, are not subject to su bmission of a sworn declaration of customs value 
either.
25 
27. The authorities indicate that Bolivia is facing a problem of under-valuation and under-
invoicing of imports and also of smuggling from the free zone in Iquique, Chile.  There are similar 
problems (although to a lesser extent) with some imports from zones bordering Brazil and Argentina 
and with goods invoiced by cargo forwarders and selle rs mainly based in the United States and Asia.  
According to the authorities, the corrective action ta ken has been in accordance with the provisions of 
the WTO Customs Valuation Agreement and its t echnical instruments, especially as regards 
reasonable doubt and the use of secondary methods of  valuation, although its effect in remedying 
problems of under-valuation and under-invoicing has been limited. 
(iii) Rules of origin 
28. Bolivia has notified its preferentia l rules of origin to the WTO26;  it has also notified that it 
does not have any non-preferential rules of origin.27 
29.  Special rules of origin are defined for pref erential trade under the Cartagena Agreement and 
the Economic Complementarity Agr eements (ECAs) with Mexico and the MERCOSUR.  The general 
preferential rules of origin provided in the Latin American Integration Association (LAIA) apply to 
all the other agreements signed by Bolivia within the framework of the LAIA (see 
section (2)(iv)(d)).28  The LAIA form is used to prove orig in in trade within the Andean Community 
and the LAIA (with the exception of Bolivia’s ECAs with the MERCOSUR and Mexico);  the 
Agreements with the MERCOSUR and Mexico have their own forms. 
30. According to the general rules of origin of the LAIA, goods are deemed to be of origin if they 
are made in the territory of one of the signatories us ing solely materials from other signatories, if there 
is a change in the tariff heading, or if the c.i.f.  value of inputs from third countries does not exceed 
                                                      
 23 Articles 254 and 255 of the Regulations of the General Customs Law, which governed the valuation 
of used machinery, equipment, vehicles and other goods, were repealed by Supreme Decree No. 27.627 of 
13 July 2004, which entered into effect immediately.  
24 Article 87 of the General Customs Law;  Decision No. 571 – Value of Imported Goods at Customs of 
12 December 2003;  Resolution No. 846 – Community Regulati ons for Decision No. 571 of 6 August 2004. 
 25 Article 256 of the Regulations of the General Customs Law. 
 26 WTO documents G/RO/N/1 and G/RO/N/22 of 9 May 1995 and 16 September 1998 respectively. 
 27 WTO document G/RO/N/9. 
 28 Resolution No. 252 of the LAIA Committee of Re presentatives, "Texto consolidado y ordenado del 
Régimen General de Origen de la ALADI" of 4 August 1999. Bolivia WT/TPR/S/154 
 Page 33 
 
 
50 per cent of the f.o.b. export value of the final product.  For Bolivia, as a country with a relatively 
lower level of development, the 50 per cent percentage rises to 60 per cent.  In the case of assembly, the c.i.f. value of the inputs from third countries ma y not exceed 50 per cent of the f.o.b. export value 
of the final product. 
31. Within the Andean Community, trade is governed by  the rules of origin in Decisions Nos. 416 
and 417 of July 1997 of the Andean Community.
29  Pursuant to Decision No. 416, products that 
incorporate non-Andean raw materials are deemed to be  of Andean origin if they are the subject of a 
change in tariff classification;  alternatively, th e value added criterion may be used, according to 
which the c.i.f. value of the non-originating material s must not exceed 60 per cent of the f.o.b. value 
of the final product in the case of exports from Boliv ia (and Ecuador) or 50 per cent for exports from 
other member countries (i.e. Colombia, Peru and Ve nezuela).  The same value added criterion also 
applies to goods that have been assembled.  A ndean Decision No. 417 gives the General Secretariat 
the authority to determine (ex officio or at the reque st of a member State) special rules of origin for 
particular products. 
32. In the ECA between Bolivia and MERCOSUR, if the change of tariff heading method is not 
applicable, the goods are deemed to be of origin when  the c.i.f. value of the material originating in 
third countries does not exceed 40 per cent of the f. o.b. value of the final product.  Where the goods 
are assembled, even if th ere is a change in the tariff heading,  the 40 per cent rule still applies.  The 
Agreement allows special rules of origin for certain products (listed in Appendix 1 to Annex 9 of the 
Agreement).30 
33. In the free-trade agreement between Bolivia a nd Mexico, rules of origin are based on the 
change of heading method and different combinati ons of the content of regional value and technical 
requirements.  Regional content must be at least  50 per cent if the transaction value is used or 
42.66 per cent if the net cost method is used a nd the products meet other criteria.  The regional 
content criterion also applies to all goods that have been assembled, with the exception of some textile 
articles (HS 63), footwear or headgear and parts th ereof (HS 64 and 65).  The automobile industry is 
subject to special rules.31 
34. All the aforementioned agreements, with the ex ception of the LAIA general rules of origin, 
allow cumulative origin.  Until 28 July 2005, in Bolivia  certificates of origin were issued through the 
single export window scheme (SIVEX).  Since 29 July 2005, they have been issued by the National Chamber of Exporters (see also section (3)(i)). 
(iv) Tariffs 
(a) Tariffs applied 
35. The Ministry of Finance is responsible for fiscal policy, including tariff policy.
32 
Nevertheless, Bolivia’s membership of the Andean  Community places limits on this authority as, in 
principle, Bolivia’s tariffs must reflect the AEC approved by the member countries.  In April 2005, 
                                                      
 29 Decision No. 416 of the Andean  Community, "Special Rules on the Qualification and Certification 
of Origin of Goods" of 30 July 1997; Decision No. 417 of the Andean Community, "Criteria and Procedures for 
Determining Specific Requirements of Origin" of 30 July 1997. 
 30 Annex 9: Regime of Origin in Economic Complementarity Agreement No. 36, Bolivia-
MERCOSUR, of 17 December 1996. 
 31 Chapter V "Rules of Origin", AAP.CE-31 Bolivia-Mexico Free-Trade Treaty of 10 September 1994 
and Chapter VI "Customs Procedures".  
32 Law No. 446 of 12 March 2003 (Law on the Structure of the Executive). WT/TPR/S/154 Trade Policy Review 
Page 34 
 
 
Bolivia was applying the AEC with exceptions, which in  general led to tariffs that were lower than 
those in the AEC.33 
36. Bolivia grants as a minimum MFN treatment to all its trade partners. 
37. The Bolivian tariff uses the Andean Community nomenclature (NANDINA), which in turn is 
based on the Harmonized Commodity Description and Coding System (HS).  The AEC has four tariff 
rates (5, 10, 15 and 20 per cent), but Bolivia has b een allowed to apply the 5 and 10 per cent rates 
instead of the higher rates on products listed in Annex I to Decision No. 370, which was amended in 
1999 by Decision No. 465 (as determined in Artic le 11 of Decision No. 370).  In October 2002, 
Bolivia and other members of the Andean Commun ity, in Decision No. 535, agreed on a new AEC 
with effect from January 2004.34  The proposed AEC covered 62 per cent of the agreed tariff 
headings, while Decision No. 370 applied to the remaining 38 per cent.  At August 2005, Decision No. 535 had not yet entered into force, although in early May 2005 it was announced that the new AEC would be introduced on 20 May 2005.
35  It was also announced that the AEC would cover 
87 products not previously included in order to comply with Decisions Nos. 370 and 414.36  O n  
17 May 2005, Bolivia, seeing that the Andean Communi ty was still discussing the effective entry into 
force of Decision No. 535, extended the term for its exemptions from th e AEC by Supreme Decree 
No. 28.129 (tariffs at the 5 per cent and zero per ce nt rates deferred) until the Community determined 
new AEC tariff commitments for Bolivia.37  In July 2005, in Decision No. 620, it was decided to 
establish a high-level ad hoc group to define th e common tariff policy of the Andean Community 
before 2 December 2005. 
38. In April 2005, Bolivia’s tariff comprised 6,86 9 eight-digit lines (an increase in comparison 
with the 6,619 eight-digit lines in 1999);  all tariff lines are ad valorem  (Tables III.1 and III.2).  There 
are no seasonal tariffs.  There are no tariff quotas nor a price band system.  The authorities indicate that they do not intend to apply a price band system. 
Table III.1 
Structure of Bolivia’s tariff, 1998 and 2005 
(Percentage) 
  1998 2005 
1. Total number of tariff lines 6,619 6,869 
2. Non-ad valorem tariffs (percentage of total tariff lines) 0.0 0.0 
3. Non-ad valorem tariffs without an ad valo rem equivalent (percentage of total tariff 
lines) 0.0 0.0 
4. Tariff quotas (percentage of total tariff lines) 0.0 0.0 
5. Lines for which there are no tariff rates (percentage of total tariff lines) 0.0 0.0 
6. Duty-free tariff lines (percenta ge of total tariff lines) 0.0 5.8 
7. Average tariff for lines subject to duty (percentage) 9.7 8.7 
8. National tariff "peaks" (percentage  of total tariff lines)a 0.0 0.0 
9. International tariff "peaks" (percen tage of total tariff lines)b 0.0 0.0 
10. Bound tariff lines (percentage of total tariff lines) 100.0 100.0 
a National tariff peaks are defined as rates that exceed  three times the global average of rates applied. 
b International tariff peaks are define d as rates that exceed 15 per cent. 
Source : WTO Secretariat calculations  based on data provided by the Bolivian authorities. 
                                                      
 33 Andean Decision No. 370 of 26 November 1994, amended by Decision No. 465 of 23 October 1998. 
 34 Andean Community Decision No. 535 of 14 October 2002. 
 35 Andean Community Decision No. 612 of 6 May 2005, which deferred the timetable laid down in 
Decision No. 580 of 4 May 2004. 
 36 Andean Community Resolution No. 462 of 15 December 2000.  The 87  products concerned are listed 
in Annex II to Decision No. 580 of 4 May 2004.  
37 Supreme Decree No. 28.129 of 17 May 2005. Bolivia WT/TPR/S/154 
 Page 35 
 
 
39. The arithmetic average of MFN rates applied in 2005 is 8.2 per cent, lower than the 9.7 per 
cent in 1999.  The tariff structure has three levels (zero, 5 and 10 per cent), with a uniform rate of 
10 per cent on all imports that are not capital goods for industrial development (subject to zero and 
5 per cent).  Tariff dispersion is low with a coefficient of variation of 0.4.  The most common tariff is 
10 per cent, which applies to 69.4 per cent of all ta riff lines (Chart III.1);  93.4 per cent of all tariff 
lines were subject to this rate in 1999.  Around 5.8 per cent of tariff lines are free of duty. 
Table III.2 
Summary of Bolivia’s MFN tariff, 2005 
MFN Final bound 
rate 
Description 
Number of lines Average 
(%) Interval 
(%) Coefficient of 
variation 
(CV) Averagea 
(%) 
Total 6,869 8.2 0 – 10 0.4 40.0 
       
HS 01-24 974 9.9 5 – 10 0.1 40.0 
HS 25-97 5,895 7.9 0 – 10 0.4 40.0 
       
By WTO category      
WTO definition of agriculture 924 9.8 5 – 10 0.1 40.0 
- Animals and animal products 105 9.7 5 – 10 0.1 39.8 
- Dairy products 34 10.0 10 – 10 0.0 40.0 
- Coffee and tea, cocoa, sugar, etc. 168 9.9 5 – 10 0.1 40.0 
- Cut flowers and plants 48 9.5 5 – 10 0.2 40.0 
- Fruit and vegetables 212 10.0 10 – 10 0.0 40.0 
- Cereals 34 10.0 10 – 10 0.0 40.0 
- Oilseeds, fats and oils and their products 97 9.9 5 – 10 0.1 40.0 
- Alcoholic beverages and li quids 52 10.0 10 – 10 0.0 40.0 
- Tobacco 12 10.0 10 – 10 0.0 40.0 
- Other agricultural products n.e.s. 162 9.3 5 – 10 0.2 40.0 
Non-agricultural products (including petroleum) 
(WTO definition) 5,945 7.9 0 – 10 0.4 40.0 
Non-agricultural products (excluding petroleum) 
(WTO definition) 5,913 7.9 0 – 10 0.4 40.0 
- Fish and fish products 139 10.0 5 – 10 0.0 40.0 
- Minerals, precious stones and metals 372 8.3 0 – 10 0.4 40.0 
- Metals 696 8.7 0 – 10 0.3 40.0 
- Chemicals and photographic products 1,396 7.4 5 – 10 0.3 40.0 
- Leather, rubber, footwear, trav el articles 211 9.2 5 – 10 0.2 40.0 
- Wood, wood pulp, paper and furniture 325 9.4 0 – 10 0.2 40.0 
- Textiles and clothing 936 10.0 5 – 10 0.0 40.0 
- Transport equipment 182 7.6 0 – 10 0.5 39.9 
- Non-electrical machinery 722 4.2 0 – 10 0.9 39.8 
- Electrical machinery 397 7.2 0 – 10 0.5 40.0 
- Non-agricultural products n.e.s. 537 8.2 0 – 10 0.4 40.0 
- Petroleum 32 9.5 5 – 10 0.2 40.0 
      
By ISIC sectorb      
Agriculture and fishing 390 9.8 5 – 10 0.1 39.9 
Mining 112 8.4 5 – 10 0.3 40.0 
Manufacturing 6,366 8.1 0 – 10 0.4 40.0 
      
By HS chapter      
01  Live animals and animal products 265 9.8 5 – 10 0.1 39.9 
02  Plant products 370 9.9 5 – 10 0.1 40.0 
03  Fats and oils 61 9.8 5 – 10 0.1 40.0 
04  Food preparations, etc. 278 10.0 5 – 10 0.0 40.0 
05  Mineral products 196 8.6 5 – 10 0.3 40.0 
Table III.2 (cont'd) WT/TPR/S/154 Trade Policy Review 
Page 36 
 
 
MFN Final bound 
rate 
Description 
Number of lines Average 
(%) Interval 
(%) Coefficient of 
variation 
(CV) Averagea 
(%) 
06  Products of the chemical and rela ted industries 1,319 7.0 0 – 10 0.4 40.0 
07  Plastics and rubber 293 9.0 5 – 10 0.2 40.0 
08  Hides and leather 80 10.0 10 – 10 0.0 40.0 
09  Wood and articles of wood 98 9.7 5 – 10 0.1 40.0 
10  Wood pulp, paper, etc. 204 9.1 0 – 10 0.3 40.0 
11  Textiles and textile ar ticles 922 10.0 5 – 10 0.0 40.0 
12  Footwear, hats and other headgear 58 10.0 10 – 10 0.0 40.0 
13  Articles of stone 161 9.6 5 – 10 0.1 40.0 
14  Precious stones, etc. 57 9.0 5 – 10 0.2 40.0 
15  Base metal and articles of base metal 677 8.7 0 – 10 0.3 40.0 
16  Machinery and equipment 1,151 5.4 0 – 10 0.7 39.9 
17  Transport equipment 194 7.7 0 – 10 0.4 39.9 
18  Precision instruments 300 6.9 0 – 10 0.5 40.0 
19  Arms and ammunition 28 10.0 10 – 10 0.0 40.0 
20  Miscellaneous goods and products 150 10.0 10 – 10 0.0 40.0 
21  Works of art, etc. 7 10.0 10 – 10 0.0 40.0 
       
By stage of processing      
First stage of processing 801 9.3 0 – 10 0.2 40.0 
Semi-processed products 2,313 8.1 0 – 10 0.3 40.0 
Fully processed products 3.755 8.0 0 – 10 0.4 40.0 
a The bound rates follow the 1996 HS classification and the applie d rates the 2002 HS;  consequently, there may be a difference  
between the number of lines included in the calculation. 
b ISIC (Rev.2), excluding electricity (one line). 
Source : WTO Secretariat estimates based on data provided by the Bolivian authorities. 
40. In 2000, the tariff applied to a specified numbe r of capital goods (around 320 tariff lines) fell 
to zero per cent;  for 350 other lines, tariffs fell from 10 to 5 per cent.38  In 2001, Supreme 
Decree No. 26.110 extended the definition of capit al goods to include turnkey industrial plants 
produced outside the Andean Community and decr eased the tariff to zero per cent (see also 
section (4)(iii)). 
41. The agricultural products sector (WTO definition)  enjoys stronger tariff protection with an 
average rate of 9.8 per cent;  non-agricultural produc ts are subject to an average rate of 7.9 per cent 
(Table III.2).  There are no tariff peaks as the majority of lines are subject to a maximum tariff of 10 per cent. 
42. A slight degree of tariff escalation has been intr oduced into the tariff structure (Chart III.2).  
In the Secretariat’s report for the previous review of  Bolivia’s trade policy it was indicated that there 
was a virtually uniform tariff that offered the same incentives in various sectors and simplified 
administrative procedures.  The planned adoption of the Andean Community’s AEC will mark an 
even more decisive departure from this approach.  The authorities indicate, however, that because of 
the special and differential treatment always given to Bolivia within the A ndean Community it can be 
expected that Bolivia’s tariff structure (with rates of zero per cent, 5 per cent and 10 per cent) will not 
see any great changes. 
43. In 2004, customs tariff revenue was Bs 671.98  million (some 5.98 per cent of total fiscal 
revenue);  in 1999, the figures for 1999 we re Bs 638.54 million and 9.68 per cent. 
                                                     
 
 38 Supreme Decree No. 25.704 of 14 March 2000. Bolivia WT/TPR/S/154 
 Page 37 
 
 
 
(24.8%)
(5.8%) (69.4%) 
0 1,000 2,000 3,000 4,000 5,000 6,000 
D uty  free  5.0 10.0  0102030405060708090100Chart III.1 
 Br eakdown of the incidence of MFN tariff rates, 2005
Number of tariff linesa  Percentage
Cum ulative percentag e  
Num ber of lines (percentage o f total)
The total number of lines is 6,869.  
WTO Secretariat calculations based on data provided by the Bolivian authorities.a 
Source :  
 
0.02.04.06.08.010.012.0Raw materials Semi-processed Fully processedChart III.2
Tariff escalation by ISIC 2-digit industry, 2005
Per cent
Source:   WTO Secretariat calculations based on data provided by the authorities of Bolivia.Food, 
beveragesTextiles, 
apparelWood 
productsPaper, 
printingChemicals, 
plasticsNon-
metallic 
mineral 
productsBasic metal 
productsFabricated 
metal 
products NOT APPLICABLENOT APPLICABLE
 WT/TPR/S/154 Trade Policy Review 
Page 38 
 
 
 
(b) Tariff bindings 
44. Bolivia has bound 100 per cent of its tariff lin es;  its bindings appear in Schedule LXXXIV 
annexed to the GATT 1994.  It bound its tariff lines at a uniform ad valorem  rate of 40 per cent, 
except for 17 headings (16 tariff lines and a subdivision), which were bound at 30 per cent (the 
majority capital goods under HS Chapter 84).  The bound rates are considerably higher than the rates 
applied, which lessens the improved pr edictability implied by Bolivia’s binding of all its tariffs.  The 
average bound rate is 40 per cent (Table III.2). 
45. Bolivia has transposed its bindings into the 1996 HS nomenclature.  The changes caused by 
the adoption of the 1996 HS were certifie d and entered into force on 21 July 2000.39 
(c) Tariff concessions 
46. Apart from the concession programmes focusing on exports (section (3) below) and the 
investment regimes (sect ion (4)(iii)), there are tariff exemptions under various special customs 
regimes (Table III.3).  In the majority of these re gimes, import duties are suspended if the products 
enter Bolivia for a limited period of time.  A ccording to the authorities, the "regime for the 
replacement of goods duty free" is virtually not ap plied, unlike the "admission with exemption from 
customs duties", which is constantly applied.  The "transfer" regime is only applied occasionally.  The 
specific customs uses or exemptions are much more  commonly applied even though, by their nature, 
they do not represent large amounts as far as customs revenue is concerned.  The "transit" regime 
(except for goods intended for a third country) and the "in-bond warehouse" regime are usually 
applied prior to the application of a definitive or temporary admission import regime so they do not 
have any noticeable impact on customs revenue.  Because it is a landlocked country and there are 
customs posts in cities in the interior, the regime mo st often applied in Bolivia is that of "customs 
transit".  Application of the "temporary admission fo r re-export in the same state" regime varies as it 
usually depends on investment or construction projects in Bolivia. 
Table III.3 
Tariff concessions granted under va rious customs regimes, March 2005 
Regime Description  Legal basis 
Admission with 
exemption from 
customs duties Covers imported goods specified in international treaties or agreements 
or in international contracts concl uded by the Bolivian State.  The goods 
are exempt from total or partial payment of customs duties. Articles 91-95 of the General 
Customs Law;  Articles 133-134 of 
the Regulations of the General 
Customs Law 
Transit Allows the transport of goods under customs control from a customs 
post in the country of shipment to one in the country of destination in a single operation in the course of which the goods cross one or more 
international borders.  The goods transported may move through the 
customs territory with suspension of customs duties. Articles 102-111 of the General 
Customs Law;  Articles 144-150 of the Regulations of the General 
Customs Law 
Transfer  Allows the transf er of goods, under customs control, from one means of 
transport to another. Article 112, General Customs Law;  
Articles 151-152 of the Regulations 
of the General Customs Law. 
In-bond warehouse Allows the imported goods to  be stored under customs administration 
control in places designated for this purpose without payment of 
customs duties for a period of 60 days or two years depending on the mode in which they are stored.  The goods stored may be intended for 
consumption, reshipment, or allowed te mporary entry, either in whole or 
in part. Concessionaires of in-bond warehous es must provide the national 
customs with security, whose amount and form are determined in the 
relevant concession agreements.   Articles 113-122 of the General 
Customs Law;  Articles 153-161 of 
the Regulations of the General Customs Law 
Table III.3 (cont'd) 
                                                      
 39 WTO document WT/Let/387 of 19 March 2001. Bolivia WT/TPR/S/154 
 Page 39 
 
 
Regime Description  Legal basis 
Temporary 
admission of goods 
for re-export in the 
same state Allows the admission of goods speci fied in the regulations of the 
General Customs Law (Article 163)  intended for re-export without 
having been modified in any way, with the exception of normal 
depreciation of goods as a consequence of the use made thereof, with suspension of payment of customs import duty.  The maximum period 
during which the goods may remain in Bolivia is usually two years.  For 
machinery, appliances, equipment, instruments and motor vehicles to be used in the construction or the repair of bridges or roads and those 
intended for the Yacimientos Petrolíferos Fiscales Bolivianos  – YPFB 
(State Oil Corporation), admission is  for the time specified in the 
agreements concluded by the State.  Machinery, appliances, equipment 
and instruments to be used for prospe ction, exploitation and transport in 
the mining sector may be admitte d for a period of five years. Articles 124-126 of the General 
Customs Law;  Articles 163-167 of 
the Regulations of the General 
Customs Law.  Supreme Decree No. 27.947 of 20 December 2004 
Regime for the replacement of goods duty free Under this customs regime goods may be imported free of import duty 
for a maximum period of one year in a volume equivalent to the goods which, after being imported, have been processed, manufactured or 
incorporated into goods inte nded for definitive export. Articles 129-130 of the General 
Customs Law;  Articles 179-181 of the Regulations of the General 
Customs Law 
Special customs uses 
or exemptions Includes regimes such as the regime  for travellers, household articles, 
international fairs, samples, material for aviation use.  The goods are 
exempt from the payment of any customs duty subject to certain 
conditions. Article 133 of the General Customs 
Law;  Articles 186-236 of the 
Regulations of the General 
Customs Law 
Source : WTO Secretariat. 
 
(d) Tariff preferences 
47. Bolivia gives tariff preferences for imports originating in Colombia, Ecuador, Peru and 
Venezuela within the framework of the Andean Community;  for imports originating in Chile, 
Colombia, Cuba, Ecuador, Mexico, Paraguay, Pe ru and Venezuela under the Regional Tariff 
Preference (PAR) of the LAIA and various partia l scope agreements (see Chapter II(4)(ii));  for 
imports from Argentina, Brazil, Paragua y and Uruguay (MERCO SUR) under Economic 
Complementarity Agreement (ECA) No. 36;  an d for imports from Mexico under ECA No. 31 
(Table III.4 and Chapter II(4)(ii)). 
48. Under the LAIA’s PAR scheme, members gran t tariff reductions to imports from other 
members at the same level of development.  The reductions are less for imports from countries with a 
relatively higher level of development and are gr eater for imports from countries with a relatively 
lower level.40  Bolivia, as a country with a relatively lo wer level of economic development, gives a 
reduction of 20, 12 and 8 per cent to other member s depending on their economic development.  A list 
of exemptions for member countries with a relativ ely lower level of development may include up to 
1,920 tariff headings;  Bolivia’s list contains 1,920 headings.41  The PAR have been expressly 
incorporated into the trade liberalization progr ammes in Bolivia’s ECAs with Mexico and the 
MERCOSUR. 
                                                      
 40 Under the LAIA, countries are divided into thr ee groups according to their economic development: 
countries with a relatively lower level of economic development (Bolivia, Ecuador and Paraguay); countries 
with an intermediate level (Colombia, Chile, Peru, Uruguay and Venezuela); and other member countries 
(Argentina, Brazil and Mexico).  
41 Regional Agreement No. 4, Second Amending Protocol. WT/TPR/S/154 Trade Policy Review 
Page 40 
 
 
Table III.4 
Summary of Bolivia’s p referential tariff under selected agreements, 2005 
   MERCOSUR 
Description Number 
of lines MFN Argentina Brazil Paraguay Uruguay Chile Cuba Mexico 
Total 6,869 8.2 1.4 1.4 1.4 1.4 7.6 7.3 0.3 
           
HS 01-24 974 9.9 2.9 2.9 2.8 2.9 9.2 8.3 1.7 
HS 25-97 5,895 7.9 1.1 1.1 1.1 1.1 7.3 7.1 0.1 
By WTO category          
WTO definition of agriculture 924 9.8 3.1 3.1 3.0 3.1 9.0 8.1 1.8 
- Animals and animal 
products 105 9.7 3.6 3.6 3.6 3.6 8.8 8.4 1.0 
- Dairy products 34 10.0 4.8 4.8 4.7 4.8 12.1 8.9 3.2 
- Coffee and tea, cocoa,  
sugar, etc. 168 9.9 3.4 3.4 3.4 3.4 9.6 8.8 3.3 
- Cut flowers and plants 48 9.5 1.1 1.1 1.1 1.1 7.6 7.9 0.0 
- Fruit and vegetables 212 10.0 2.8 2.8 2.8 2.8 8.7 8.5 0.9 
- Cereals 34 10.0 4.4 4.4 4.4 4.4 9.3 5.2 3.5 
- Oilseeds, fats and oils and 
their products 97 9.9 4.9 4.9 4.4 4.9 8.9 7.8 4.9 
- Alcoholic beverages and 
liquids 52 10.0 4.5 4.5 4.3 4.5 9.5 9.1 1.0 
- Tobacco 12 10.0 0.8 0. 8 0.8 0.8 9. 7 7.0 1.7 
- Other agricultural 
products n.e.s.. 162 9.3 1.3 1.3 1.2 1.3 8.2 7.3 0.3 
Non-agricultural products (including petroleum) (WTO definition) 5,945 7.9 1.1 1.1 1.1 1.1 7.4 7.2 0.1 
Non-agricultural products 
(excluding petroleum (WTO definition) 5,913 7.9 1.1 1.1 1.1 1.1 7.4 7.1 0.1 
- Fish and fish products 139 10.0 0.8 0.8 0.7 0.8 10.1 8.8 0.0 
- Minerals, precious stones
and metals 372 8.3 1.1 1.1 1.1 1.1 7.8 7.6 0.0 
- Metals 696 8.7 1.2 1.2 1.2 1.2 8.0 7.9 0.0 
- Chemicals and 
photographic products 1,396 7.4 0.9 0.9 0.9 0.9 6.7 6.5 0.1 
- Leather, rubber, 
footwear, travel articles 211 9.2 2.1 2.1 2.1 2.1 8.8 8.3 0.0 
- Wood, wood pulp, paper 
and furniture 325 9.4 2.1 2.1 2.1 2.1 8.9 8.7 0.2 
- Textiles and clothing 936 10.0 1.3 1.3 1.3 1. 3 9.7 9.2 0.1 
- Transport equipment 182 7.6 1.6 1.6 1.6 1.6 7.1 7.1 0.0 
- Non-electrical machinery 722 4.2 0.8 0.8 0.8 0.8 3.7 3.8 0.1 
- Electrical machinery 397 7.2 0.8 0.8 0.8 0.8 6.7 6.4 0.3 
- Non-agricultural 
products, n.e.s. 537 8.2 0.8 0.8 0.8 0.8 7.4 7.2 0.1 
- Petroleum 32 9.5 0.4 0.4 0.4 0.4 8.7 9.0 0.0 
By ISIC sectora          
Agriculture and fishing 390 9.8 1.7 1.7 1.7 1.7 8.9 7.3 0.3 
Mining 112 8.4 1.2 1.2 1.2 1.2 7.4 7.7 0.0 
Manufacturing 6,366 8.1 1.4 1.4 1.3 1.4 7.5 7.3 0.3 
By HS chapter          
01 Live animals and animal 
products 265 9.8 2.2 2.2 2.1 2.2 9.2 8.6 0.9 
02 Plant products 370 9.9 2.4 2.4 2.4 2.4 8.5 7.3 0.5 
03 Fats and oils 61 9.8 5.1 5.1 4.3 5.1 8.7 9.0 5.7 
04 Food preparations, etc. 278 10.0 3.8 3.8 3.7 3.8 10.3 9.1 3.2 
05 Mineral products 196 8.6 1.0 1.0 1.0 1.0 7.8 7.9 0.0 
06 Products of the chemical 
and related industries 1,319 7.0 0.7 0.7 0.7 0.7 6.2 6.1 0.1 
07 Plastics and rubber 293 9.0 2.1 2.1 2.1 2.1 8.2 8.3 0.2 
08 Hides and leather 80 10.0 1.6 1.6 1.6 1.6 12.5 9.1 0.0 
09 Wood and articles of 
wood 98 9.7 4.3 4.3 4.3 4.3 9.7 8.9 0.0 
10 Wood pulp, paper, etc.. 204 9.1 1.2 1.2 1.2 1.2 8.4 8.5 0.3 
11 Textiles and textile 
articles 922 10.0 1.3 1.3 1.3 1.3 9.7 9.1 0.1 
Table III.4 (cont'd) Bolivia WT/TPR/S/154 
 Page 41 
 
 
   MERCOSUR 
Description Number 
of lines MFN Argentina Brazil Paraguay Uruguay Chile Cuba Mexico 
12 Footwear, hats and other 
headgear 58 10.0 3.1 3.1 3.1 3.1 9.4 9.5 0.0 
13 Articles of stone 161 9.6 1.2 1.2 1.2 1.2 9.4 9.0 0.1 
14 Precious stones, etc. 57 9.0 0.9 0.9 0.9 0.9 8.0 8.1 0.0 
15 Base metals and articles 
of base metal 677 8.7 1.3 1.3 1.3 1.3 8.0 7.9 0.0 
16 Machinery and equipment 1,151 5.4 0.8 0.8 0.8 0.8 4.9 4.8 0.1 
17 Transport equipment 194 7.7 1.6 1.6 1.6 1.6 7.2 7.2 0.0 
18 Precision instruments 300 6.9 0.7 0.7 0.7 0.7 6.1 5.7 0.1 
19 Arms and ammunition 28 10.0 1.0 1.0 1.0 1.0 9.4 8.9 0.0 
20 Miscellaneous goods and 
products 150 10.0 1.0 1.0 1.0 1.0 9.4 9.4 0.1 
21 Works of art, etc. 7 10.0 1.0 1.0 1.0 1.0 9.0 9.0 0.0 
By stage of processing          
First stage of processing 801 9.3 1.5 1.5 1.4 1.5 8.2 7.5 0.3 
Semi-processed products 2,313 8.1 1.2 1.2 1.2 1.2 7.4 7.2 0.2 
Fully processed products 3.755 8.0 1.5 1.5 1.4 1.5 7.6 7.3 0.4 
a ISIC (Rev.2), excluding electricity (one line). 
Source:  WTO Secretariat estimates based on data provided by the Bolivian authorities. 
 
49. The agreements concluded by Bolivia cover a wi de range of products.  The agreements that 
include the most products (up to 100 per cent of th e tariff lines) are those of the Andean Community 
and the ECAs with the MERCOSUR and Mexico (w ith some exceptions).  Under the Cartagena 
Agreement, 100 per cent of products originati ng in the Andean Community enter duty free. 
50. Under the ECA between Bolivia and the ME RCOSUR, whose purpose is to create a free-
trade area, the majority of products should be fr ee of duty by 2006 according to a timetable for the 
gradual and automatic phase-out of tariffs;  in 2005, the preferentia l margin granted for these products 
ranged from 80 to 96 per cent.  As for other products  such as certain agricultural products, textiles and 
clothing, machinery and equipment and motor vehicles , tariffs will start to be phased out in 2005 and 
should reach 100 per cent in 2011 and 2014 (the latter year only for agricultural products). 
51. The aim of the ECA between Bolivia and Mexico is to create a free-trade area in 2009, with 
some exceptions, according to a timetable for the gra dual and automatic phase-out  of tariffs.  In 2005, 
liberalization had already affected some 90 per cent of Bolivia’s tariff lines.  The exceptions concern 
some 200 headings, of which 193 are agricultural products and seven chemicals.42 
52. The agreements that cover the least number of products are the ECAs with Chile and Cuba.  
Under the ECA with Chile, according to a specified timetable for phase-out, Bolivia gives preferences 
for 381 tariff lines.43  Of these, 365 receive a tariff preference of 100 per cent (tariff zero), 15 receive 
a 50 per cent preference and one a 60 per cent preference.  Under the ECA with Cuba, Bolivia gives a preference of 100 per cent to a specified group of products comprising 104 tariff lines.
44 
53. Some trade liberalization agreements signed by Bo livia concern particular products.  This is 
the case for Regional Agreement No. 7 on Coopera tion and Trade in Goods in the Cultural, 
Educational and Scientific Sectors and th e agricultural agreement on trade in seeds. 
                                                      
 42 The exceptions are products such as bovine meat, some poultry, specified dairy products, certain 
eggs, some types of rice and flour, sorghum, oils, sugar, chocolate, certain vegetables, jams, certain fruit-based preparations, certain alcohols, certain sauces, certain mine ral waters, cakes made with certain oils, certain types 
of animal feed, some tobacco products, citric acid and vitamin C and its by-products. 
 
43 LAIA (2002). 
 44 Ibid. WT/TPR/S/154 Trade Policy Review 
Page 42 
 
 
(v) Other import taxes 
54. A commission is paid to customs clearance agents for carrying out import (or export) 
procedures and in percentage terms this ranges from 0.1 per cent to 2.5 per cent depending on the 
value of the imports.  In addition to tariffs, imports  must also pay a storage tax.  This varies depending 
on whether the customs office used is  in the interior of Bolivia, at the border or the airport.   For 
goods in general and dangerous goods, the first five days are always free of charge;  afterwards a 
specific tax is paid ranging from US$1.20 per tonne or US$0.09 per kg. for each 15-day period.  Containers pay between US$7 per container (for 15  days) to US$21 per container per day depending 
on the size of the container and the time spent in the warehouse.
45  Before 1 July 2003, when 
preshipment inspection was abolished, 1.75 per cent of  the f.o.b. value of the goods was paid to the 
private inspection companies (see also section (2)(i)). 
55. The main internal tax applicable in Bolivia is VAT, which applies equally to domestic and 
imported products.  The VAT rate has not changed si nce 1999;  it is a 13 per cent nominal rate on the 
final selling price (total invoiced) of goods and services.46  For imports, VAT is calculated on the c.i.f. 
value plus customs duties and charges and any ot her fees payable for customs clearance.  The 
authorities indicate that, in order to determine the dut y applicable to the c.i.f. value or the net selling 
price in the case of domestically-produced goods, an e ffective rate of 14.94 per cent is used, which is 
not the nominal rate of VAT.  The tax authoriti es impose this rate based on the calculation that, 
applied to the value of the goods without VAT, the ra te corresponds to 13 per cent of the value of the 
goods with VAT. 
56. Goods imported by the diplomatic corps or by persons or entities with diplomatic status and 
goods entering in good faith in travellers’ luggage  up to an amount of US$1,000, as well as exports, 
are not subject to VAT.  In 2004, revenue from VAT on imports amounted to 3.18 per cent of GDP 
and 52.42 per cent of total VAT revenue. 
57. Some products are subject to a specific consumption tax (ICE).47  This is calculated using the 
same basic values as those used for VAT and appli es to both domestic and imported products.  It is 
applied on an ad valorem  basis (the rate is indicated within brackets) to blond and dark cigarettes, 
cigars and pipe tobacco (50 per cent) and automob iles (18 and 10 per cent).  Special rates apply to 
beverages ranging from Bs 0.18 per litre for non-al coholic beverages to Bs 0.71 for alcoholic 
beverages and Bs 1.44 for beer and wine.  "Chich a" made from maize (a locally-produced alcoholic 
beverage) pays Bs 0.37 per litre.48  Exports do not pay the ICE.  In 2003, ICE paid on imports 
amounted to 0.13 per cent of the GDP and 21.4 per cent of the total ICE paid49, and in 2004 the 
ICE collected on imports also amounted to 0.13 per cent of the GDP. 
58. Imports and domestic producti on or marketing of hydrocarbons and their by-products are 
subject to payment of the special tax on hydro carbons and their by-products (IEHD), which ranges 
from Bs 0.24 to Bs 2.46 per litre (see Chapter IV(5 )).  In 2003, the amount of IEHD paid on imports 
was 0.09 per cent of GDP and 4.9 per cent of the total IEHD paid.  In 2004, payment of IEHD on 
imports amounted to 0.02 per cent of GDP and 1.33 per cent of the total earned from IEHD. 
                                                      
 45 The storage taxes are determined in Directorate Resolution No. RD-01-033-02 of 16 October 2002 
approving the rates for customs warehouses in the interior of Bolivia, at the border or the airport. 
 46 Law No. 843 of 20 May 1986, amended by Supreme Decree No. 26.077 of 19 February 2001. 
 47 Ibid. 
 48 Law No. 843 of 20 May 1986, as amended. 
 49 WTO Secretariat calculations based on:  Bolivian Ministry of Finance (2005) and Bolivian National 
Statistics Institute (2004), Síntesis Estadística de Bolivia 1999-2003 . Bolivia WT/TPR/S/154 
 Page 43 
 
 
(vi) Import prohibitions and restrictions and import licensing 
59. In Bolivia, it is prohibited to import goods which the authorities deem harmful to the 
environment, human or animal health and life or to  the conservation of plants, or a threat to the 
security of the State and the country’s financial and economic system, as well as others determined in 
a special law.50  According to the Regulations of the Ge neral Customs Law, prohibited goods include 
pharmaceuticals and medicines not registered with th e Ministry of Health;  beverages and foodstuffs 
that are spoiled, adulterated or contain substances harmful to heal th;  animals affected by disease51;  
seedlings or plants which contain germs or parasites or  are declared to be harmful by the authorities of 
the Ministry of Agriculture and Livestock;  foreig n lottery tickets;  imitations of coins and monies;  
old clothes;  toxic and radioactive substances a nd other materials that affect the environment52;  and 
spare parts and accessories for used auto mobiles for the assembly of vehicles.53 
60. Since 2005, the import of right-hand-drive vehicles into free zones has been allowed if they 
are to be refitted as left-hand-drive vehicles in the sa id free zones.  It is forbidden to import vehicles 
refitted abroad.54  According to the authorities, there are two main reasons for this ban: to promote the 
expansion of the local vehicle refitting industry a nd the consequent development of industrial free 
zones;  and to combat smuggling of vehicles re fitted in the ZOFRI following the ban imposed in 
1999. 
61. The legal framework governing import licences co nsists of Supreme Decree No. 21.060 of 
29 August 1985, Supreme Decree No. 22.407 of 11 January 1990, Law No. 1.182 of 17 September 
1990, Supreme Decree No. 24.440 of 13 December 1996, amended in 2000 by the Regulations of the 
General Customs Law, Supreme Decree No. 26.186 of 18 May 2001, Supreme Decree No. 27.340 of 
31 January 2004, Supreme Decree No. 27.421 of 26 March 2004, and Supreme Decree No. 27.947 of 
20 December 2004, as well as the regulations of the Servicio Nacional de Sanidad Agropecuaria e 
Inocuidad Alimentaria  – SENASAG (National Agricultural Health  and Food Safety Service) and the 
Ministry of Health.55  Bolivia has notified the WTO of some  of its laws and regulations on import 
licensing and has replied to the questionnaire on im port licensing procedures, as well as to questions 
put by a WTO Member.56 
62. The products subject to import licences (called pr ior authorizations in the Regulations of the 
General Customs Law) are listed in Table III.5.  The import of firearms, ammunition, explosives, 
chemical precursors and other chem ical products are subject to prior authorization in the form of a 
                                                      
 50 Article 85 of the General Customs Law. 
 51 The authorities competent to decide whether a product is spoiled, adulterated or harmful or whether 
an animal is diseased are (in order of importance) : the Ministry of Sustainable Development and the 
Environment, the Bolivian Standardization and Quality In stitute (IBNORCA), the Ministry of Health and Sport, 
the Ministry of Agriculture and Livestock, and the Ministry of the Interior.  
 52 The authorities competent to decide whether a product is toxic or affects the environment are 
(in order of importance): the Ministry of Sustainable Development and the Environment, the Bolivian 
Standardization and Quality Institute (IBNORCA), the Minist ry of Health and Sport, the Ministry of Agriculture 
and Livestock, and the Ministry of the Interior. 
 53 Supreme Decree No. 25.870 of 11 August 2000 (Regulations of the General Customs Law), 
Article 117, amended by Supreme Decree No. 27.341 of 31 January 2004.  
54 Supreme Decree No. 27.341 of 31 January 2004; Bolivian National Customs, Circular No. 110/2005 
of 18 April 2005. 
 55 Concerning prior authorization, Supreme Decree No. 25.870 (Regulations of the General Customs 
Law) of 11 August 2000 has been amended by Supreme Decree No. 26.186 of 18 May 2001 or Supreme 
Decrees No. 27.340 of 31 January 2004 and No. 27.421 of 26 March 2004. 
 56 WTO documents G/LIC/N/1/BOL/1 of 16 June 1997, G/LIC/N/3/BOL/3 of 29 June 2000 and 
G/LIC/Q/BOL/2 of 10 April 2002. WT/TPR/S/154 Trade Policy Review 
Page 44 
 
 
ministerial resolution by the Ministry of National Defence;  importers of such products must be 
registered with the Ministry of Defence.  For chemicals and controlled substances, a certificate 
attesting to registration with the National Divisi on of Controlled Substances and Precursors is 
required in addition to prior authorization. 
63. Bolivia has notified the WTO that all prior aut horizations are automatic and that there is no 
discrimination as to origin or source when dea ling with products which require authorization.57 
Table III.5 
Prior authorization – imports 
Issuing authority Description Reason invoked 
Ministry of National 
Defence Arms, ammunition and ordnance National security 
 Powder and prepared explosives in cluded in NANDINA h eadings 36.01 to 
36.04   National security 
Ministry of the Interior Chemicals and contro lled substances subject to Law No.  1.008 of 
19 June 1988 on the coca and controlled  substances regime and related 
provisions;  Circular No . 164/99 de 1 September 1999 Environmental protection 
 Carbon tetrachloride identified as an ozone-depleting substance (ODS), 
according to NANDINA heading 2903.14  and/or relevant regulations Environmental protection 
Ministry of Finance Machinery and equipment fo r minting money Security of the economic and 
financial system  
 Coins and banknotes Security of the economic and 
financial system  
 Postage stamps (blocks), forms for securities, shares or bonds imported 
exclusively by entities for their own use Security of the economic and 
financial system  
Telecommunications 
Superintendency Transmitters and receivers for broadcas ting or for public television;  radio-
detection and radio-sounding appliances (radar) under NANDINA headings 85.25 and 85.26 National security  
Ministry of Economic 
Development Helicopters and airplanes National security  
Ministry of Sustainable 
Development and 
Planning Substances, products or goods which cause or threaten to cause harmful 
effects on human health or the envir onment or ozone-depleting substances Protection of health and the 
environment 
Ministry of Health and Sport  Medicines and cosmetics which contai n perhalogenated chemical elements 
known to be ozone-depleting substances and identified in the relevant tariff 
nomenclature and regulations Environmental protection 
Ministry of Rural and 
Agricultural Affairs Methyl bromide as an ozone-deple ting substance (ODS) identified in 
NANDINA headings 2903.30.10, 380 8.10, 3808.20, 3808.30, 3808.40, 
3808.90 and/or relevant regulations Environmental protection 
Source : WTO Secretariat, based on Supreme Decree No. 25.870 of 11 August 2000 (Re gulations of the General Customs 
Law). 
64. Article 118 of the Regulations of the General Customs Law lays down the requirements for 
prior authorization and provides that any prior au thorization must be issued by the competent 
authority within five days of submission of the application and must be obtained prior to the shipment 
of the goods in the country of origin or source.  Th e period of validity of a prior authorization varies 
depending on the product.  For products authorized by the Ministry of Finance and the Ministry of Defence, the authorization is valid for one single shipment and for the volume and quantity authorized 
in the ministerial resolution with the possibility of an extension subject to a technical examination.  
Section (2)(ix) below describes the other requi rements imposed by technical regulations. 
65. Imports of worn clothing
58 require a sanitary disinfection certificate issued by the Ministry of 
Health and Sport or by the competent authority in the country of origin or source (except for old clothes, waste and tow, bed linen, toilet linen, rags, tw ine, cordage, rope in textile materials, of waste 
                                                     
 
 57 WTO document G/LIC/N/3/BOL/3 of 29 June 2000. 
 58 Goods or articles usable in their present state and in  bulk, in rail cars, or in bales, sacks (bags) or 
similar packaging, including textile articles, clothing and clothing accessories for personal use of any other 
made-up material and toys or like articles of textile materi als, provided that they show signs of wear since they 
were made or manufactured. Bolivia WT/TPR/S/154 
 Page 45 
 
 
or tow, which may not be imported).59  They may only be imported through five special customs 
offices.60 
66. In 2001, Bolivia adopted Supreme Decree No. 26.328, which determines that prior licences 
are compulsory for certain agricultural products for statistical reasons.61  In 2002, the General 
Secretariat of the Andean Community adopted Reso lution No. 638, which declared that Bolivia’s 
prior licences constituted a barrier to regional trade and gave Bolivia 10 days to eliminate them.62  
Bolivia argued that the licences had been adopt ed within the WTO’s legal framework, but the 
Resolution stated that the Court of Justice had decl ared that the "circumstances in which the Member 
Countries of the Andean Community belong in turn to the World Trade Organization does not exempt 
them from complying with the Andean Community  Regulations on the pretext that they are 
complying with the rules of the WTO or claim to  comply with the commitments acquired in the 
WTO.  This would be neither more nor less than  denying the precedence of the Andean Community 
legal structure which, as stated, takes precedence no t only over the internal legal structures of the 
Member Countries but also over other internati onal legal structures to which they belong".63  The case 
was brought before the Court of Justice of the Andean Community64, but was withdrawn because the 
Decree no longer had any legal effect as the tw o-year period had expired on 1 October 2003. 
(vii) Antidumping and countervailing measures 
67. In 1995, Bolivia notified its domestic legi slation to the WTO (i.e. Supreme Decree 
No. 23.308, regulated by Biministerial Resolution No. 25.191) and it was examined by Members in 
April 1996.65  In the course of this examination, the authorities indicated that the legislation had fallen 
into disuse. 
68. Consequently, the legal basis for imposing an tidumping and countervailing measures is the 
relevant WTO provisions and the decisions of the Andean Community.66  According to the authorities, 
in July 2005, a draft Supreme Decree on unfair trade practices was being prepared and would cover antidumping and countervailing measures.  Bolivia h as notified the WTO that, in mid-2004, it had not 
adopted any antidumping
67 or countervailing68 measure. 
                                                      
 59 Supreme Decree No. 27.340 of 31 January 2004. 
 60 Bolivian National Customs, Circular No. 43/2004 of 9 February 2004. 
 61 Import licences apply to products under the following NANDINA headings: 0201.20.00, 0201.30.00, 
0202.20.00, 0202.30.00, 0207.13.00, 0207.14.00, 0407.0 0.90, 1006.20.00, 1006.30.00, 1507.90.00, 1512.19.00, 
1517.90.00, 1701.99.00, 1902.11.00, 1902.20. 00, 1905.30.00, 2104.10.20 and 2204.21.00.  
 62 Resolution No. 638 of 8 August 2002. 
 63 Court of Justice of the Andean  Community, case 7.AI-98, Official Journal, year XVI – No. 490, 
Lima, 4 October 1999. 
 64 Court of Justice of the Andean Co mmunity, case 116-AI-2003, available at: 
http://www.comunidadandina. org/no rmativa/sent/116-AI-2003.htm. 
 65 WTO document G/ADP/N/1/BOL/1 – G/SCM/N/1/BOL/1 of 5 April 1995. 
 66 Decision No. 283 of the Andean Community of 21 March 1991; Decisions Nos. 456 and 457 of the 
Andean Community of 4 May 1999. 
 67 WTO documents G/ADP/N/53/Add.1/Rev.1 of 19 April 2000, G/ADP/N/59/Add.1/Rev.1 of 
25 October 2000, G/ADP/N/65/Add.1 of 19 October 2000, G/ADP/N/72/Add.1 of 12 April 2001, G/ADP/N/78/Add.1 of 12 October 2001, G/ADP/N/85/Add.1/Rev.1 of 14 October 2002, G/ADP/N/92/Add.1 of 
14 October 2002 and G/ADP/N/119/Add.1 of 20 October 2004. 
 
68 WTO documents G/SCM/N/81/Add.1/Rev.4 of 27 April 2004, G/SCM/N/87/Add.1/Rev.3 of 
27 April 2004 and  G/SCM/N/98/Add.1/Rev.2 of 26 October 2004 . WT/TPR/S/154 Trade Policy Review 
Page 46 
 
 
69. At the Andean level, the legislation cove ring antidumping and countervailing measures is 
Decision No. 283 of the Commission of the Cartagena Agreement69 and Decisions Nos. 456 and 457 
of the Commission of the Andean Community.70  The General Secretariat of the Andean Community 
is the competent authority for conducting investigatio ns into dumped or subsidized imports (including 
those from member countries).  As for imports fro m non-member countries, regional legislation only 
covers those which affect production in a member country, whose destination is export to another 
member country, or those which affect productio n in several member co untries and require the 
application of corrective measures in  more than one member country. 
(viii) Safeguard measures 
70. Bolivia does not have any domestic legisla tion on safeguards;  nevertheless, several 
international treaties ratified by Bolivia form pa rt of its domestic legislation, including the WTO 
Agreements.  Moreover, Chapter XI of the Ca rtagena Agreement and Decision No. 452 of the 
Commission of the Andean Community regulate the application of safeguards at the regional level.71 
71. During the period under review, Bolivia di d not apply any safeguard measure under 
Article XIX of the GATT, or under the regional legisl ation;  neither has it initiated any investigation.  
It reserved the right to apply the transitional saf eguard mechanism provided in the WTO Agreement 
on Textiles and Clothing, but has not used it.  Boliv ia submitted its list of textiles and clothing for the 
three stages of integration in the GATT.72  The authorities indicate that a draft Supreme Decree on 
Safeguards is under consideration. 
72. In the context of Andean legislation, Decisi on No. 452 allows the application of safeguard 
measures on imports from non-member countries if pr oduction in two or more member countries of 
the Andean Community is affected.  The Genera l Secretariat of the Andean Community is the 
competent authority for conducting the relevant investigations. 
73. Chapter XI of the Cartagena Agreement also  enables a member country of the Andean 
Community to apply safeguard measures on imports from other member countries, for example, for 
the purpose of correcting an imbalance in the balance of payments73, under an Andean trade 
liberalization programme74 or if the currency is devalued in a member country.75  The Cartagena 
Agreement also allows members to apply safeguard  measures on specified agricultural products listed 
in Decision No. 474.  The General Secretariat must authorize application of these safeguard measures 
adopted under Chapter XI. 
                                                      
 69 Regulations on preventing or remedying distortions in competition caused by dumping or 
subsidization, of 21 March 1991. 
 70 Decision Nº 456, Regulations to prevent or remedy distortions in competition caused by dumping of 
imports of products originating in member countries of the Andean Community, and Decision No. 457, 
Regulations to prevent or remedy distortions in competition caused by subsidization of imports of products 
originating in member countries of the Andean Community, both of 4 May 1999.  
71 Decision No. 452 of the Commission of the Andean Community, Regulations on the adoption of 
safeguard measures on imports from non-member countries of the Andean Community, of 12 April 1999. 
 72 WTO documents G/TMB/N/112 of 15 August 1995, G/TMB/N/230 of 6 February 1997, 
G/TMB/N/413 of 31 August 2001, and G/TMB/N/413/Add.1 of 21 March 2003. 
 73 Article 95 of the Cartagena Agreement. 
 74 Article 96 of the Cartagena Agreement. 
 75 Article 98 of the Cartagena Agreement. Bolivia WT/TPR/S/154 
 Page 47 
 
 
(ix) Standards and other technical requirements 
(a) Institutional and legal framework 
74. The legal framework for tec hnical standards in Bolivia is implemented through the Sistema 
Boliviano de Normas, Metrologí a, Acreditación y Certificación  – SNMAC (Bolivian Standards, 
Metrology, Accreditation and Certification Scheme ) of 1997, in which both the public and private 
sectors participate.76  The objectives are to promote competitiven ess and quality;  to ensure safety and 
human, animal and plant health;  to pr otect the environment and consumers. 
75. When adopting and applying technical standards,  Bolivia follows the Code of Good Conduct 
in the WTO’s Agreement on Technical Barriers to Trade (TBT).77  T h e  Instituto Boliviano de 
Normalización y Calidad  – IBNORCA (Bolivian Standardization and Quality Institute) is the enquiry 
point.78  Since 1999, Bolivia has submitted two notifications79 (ozone-depleting substances) and since 
1995 a total of 22.80 
76. The institutional framework for t echnical standards includes the Consejo Nacional de Calidad 
(National Quality Council) and three institutions re sponsible for technical standards, metrology and 
accreditation.  These are the IBNORCA, the Instituto Boliviano de Metrología  – IBMETRO (Bolivian 
Metrology Institute) and the Organismo Boliviano de Acreditación – OBA (Bolivian Accreditation 
Organization).  
77. IBNORCA is the principal body responsible for drawing up (voluntary) standards and 
certifying quality.  It takes part  in various international bodies81 and at the national level acts as the 
executive secretariat of the Nati onal Codex Alimentarius Committee.82  Its activities are decentralized 
and it has offices in Santa Cruz, Cochabamba, Sucre and Tarija. 
78. Standards are drawn up by technical committees (CT) and technical subcommittees (SC) in a 
process that involves proposals, preparation, co mmittee stage, enquiry, approval and publication.83  
Standards are adopted by consensus of representatives of the pub lic and private sectors and are 
revised at least once every five years by the CT /SC responsible.  Members of the CT/SC decide 
whether a standard is to be maintained, revised or annulled.  There are also virtual standards 
committees (CVN) which, according to the authorities,  are the same technical  committees responsible 
for drawing up standards but have the authority to  make comments and reach agreement by electronic 
means. 
79. IBNORCA’s day-to-day activities include prepari ng an inventory of standards for Bolivia’s 
production sectors, which is presented annually in th e catalogue of Bolivian standards.  According to 
                                                      
 76 Supreme Decree No. 24.498 of 17 February 1997. 
 77 WTO document G/TBT/CS/N/108 of 6 May 1999. 
 78 WTO document G/TBT/ENQ/26 of 7 March 2005.  Decision No. 562 of the Andean Community 
determining a coordinated form for submitting notifications on technical regulations. 
 79 G/TBT/Notif.99.240, G/TBT/Notif.99.241, both of 11 May 1999. 
 80 WTO document G/TBT/15 of 4 March 2005. 
 81 Member of the International Organization for St andardization (ISO) and th e American Society for 
Testing and Materials;  affiliate member of the Intern ational Electrotechnical Commiss ion (IEC);  full member 
of the Panamerican Standards Commission (COPANT) and the Andean Standards Committee (CAN); and 
associate member of the MERCOSU R Standards Association (AMN). 
 82 In the agricultural sector, SENASAG is responsibl e for certifying health aspects for the purposes of 
export.  
83 Available at:  http://www .ibnorca.org/02_info.html. WT/TPR/S/154 Trade Policy Review 
Page 48 
 
 
the authorities, at 31 December 2004, there were some 1,428 standards, 33 technical regulations based 
on the standards and, at the Andean Community  regional level, 23 Community standards. 
80. The drafting of (mandatory) technical regulati ons is the responsibility of a number of public 
bodies (for example, the Forestry, Hydrocarbons, Electricity and Telecommunications 
Superintendencies, as well as the SENASAG) with competence in the specific area to be regulated.84  
Technical regulations may be adopted in the form  of laws, supreme decrees (DS), administrative 
resolutions by ministries, vice-ministries or m unicipalities (RA).  Decree No. 24.498 (1997) provides 
that coordination of the drafting of technical regul ations is the responsibility of the Ministry of 
Development, but this provision has not yet been  implemented.  The 2005 National Quality Plan 
provides for enhanced coordination of activities and cen tralizes the enquiry point for notifications in 
the National Quality Commission.  There is no co mmon practice for publishing technical regulations 
in Bolivia.  Those that are in the form of laws or  supreme decrees are published in Bolivia’s Official 
Journal;  others in the form of administrativ e resolutions by ministries, vice-ministries and 
municipalities are published internally and publicly  in the normal way prescribed by each body or, 
where appropriate, in the corresponding web pages. 
81. Between 1999 and 2005, Bolivia did not submit any notification on technical regulations to 
the WTO.  The need for technical  assistance to build capacity to submit notifications was mentioned 
by the authorities as an area in which support c ould be given for the implementation of the new 
coordination system to be introduced by th e aforementioned 2005 National Quality Plan. 
82. As regards technical assistance requirements, the authorities intend to enhance the 
competitiveness of enterprises by introducing quality management schemes.  IBNORCA takes part in 
various cooperation projects, including support for laboratories in order to improve the capacity of 
environmental technical standards.85  The programme to enhance the competitiveness of SMEs86  
provides training in quality management and hazard analysis critical control points (HACCP).  The EU-Andean Community programme for coopera tion and technical assistance on quality
87 carries out 
activities in support of standards, regulations, qua lity and notifications.  The EU-Bolivia economic 
cooperation programme proposes the inclusion of a quality component as well.88  Bolivia has also 
taken part in the ISO’s MED 2000 programme and th is has made it possible to create information 
services on draft technical regulations notified to the WTO by other countries. 
83. Regarding additional technical assistance requi rements, the authorities have identified 
training activities on regulations, implementation of ISO 9000 and 14000, dissemination of 
information on the importance of quality, enha ncing institutional capacity (SENASAG, IBNORCA, 
OBA, IBMETRO), traceability, mutual recognition agreements and technical assistance on notifications in order to improve identifi cation and the transmission of information. 
                                                     
 
 84 Some examples are hydrocarbons (cylinders subject to pressure), absence of ozone-depleting 
substances in refrigeration equipment, basic water services, sanitation, electricity, telecommunications. 
 85 The Environment, Industry and Mining Project finalized in 2003 and implemented in collaboration 
with the Ministry of Sustainable Development and the Environment provides training, advice, computer 
equipment, and laboratory equipment to IBMETRO, OBA and the Asociación Boliviana de Laboratorios de 
Ensayos Ambientales (Bolivian Association of Environmental Testing Laboratories). 
 86 Inter-American Development Bank/Multilateral Investment Fund. 
 87 Financed by the EU and coordinated by the Vice-Ministry of Industry, Trade and Export. 
 88 In May 2005, this project had not yet been implemented. Bolivia WT/TPR/S/154 
 Page 49 
 
 
(b) Accreditation 
84. The OBA was created in 1997 and its regulatory framework is contained in Supreme Decree 
No. 26.095 of 2 March 2001, which established the OBA as a decentralized public institution under 
the Vice-Ministry of Industry in the Ministry of Ec onomic Development.  The authorities indicate that 
Supreme Decree No. 28.243 of 14 July 2004 incorporated the OBA into IBMETRO as an operational 
department. 
85. In 2005, there were five testing laboratories and three certifying firms.  Foreign companies 
also provide certification services in Bolivia, but the OBA does not have a register of them.  Since it was established, the OBA has participated in vari ous technical assistance programmes, including the 
following: institutional strengthening activities through training;  EU-Andean Community (2003-
2006) quality issues;  the Andean Accreditation Network;  and a sustainable tourism project to accredit and certify services financed by the German Fe deral Institute for Physical Technology.  In 
terms of subregional cooperation, the OBA a nd Paraguay’s National Ac creditation Organization 
(ONA) carry out joint training activities.
89  The authorities indicate that further support is needed to 
publicize the importance of accreditation and conform ity assessment in the context of international 
trade. 
(c) Certification 
86. In general, certification in Bolivia is volunt ary, although there are some products subject to 
mandatory certification and these must be inspected by IBNORCA.  Some examples are certification of steel cylinders for LPG, fuel tanks, tanks subject to pressure, diesel fuel, and certification that there 
are no ozone-depleting substances in refrigeration equipment. 
87. In product certification, the IBNORCA stamp ensures conformity with a Bolivian technical 
standard or that of another country.  The stamp is the only certification mark that may be placed on the primary packaging and is intended to show that  the necessary assessments and controls have been 
carried out under the certification system.  The scope  of certification of a product bearing a stamp 
covers the particular type of product to be cer tified in accordance with the technical standard.  
IBNORCA applies fees for use of the stamp according to the size of the enterprise.  The authorities 
indicate that in Bolivia some foreign companies have provided ISO certification services, but none of 
these companies is registered or accredited under the Commercial Code. 
(d) Metrology 
88. IBMETRO is responsible for testing and calib ration under the Vice-Ministry of Industry, 
Trade and Export. 
89. Within the Andean Community, the Andean Metrology Network has amalgamated with the 
ANDIMET regional group of the Inter-American Metrol ogy System (SIM).  The Andean Standards, 
Accreditation, Testing, Certification, Techni cal Regulations and Metrology Committee (Andean 
Community) is responsible for defining metrology po licies at the regional level.  In June 2001, 
Decision 506 on recognition and acceptance of certificates was approved.
90  In addition, in June 2003, 
the Commission of the Andean Community issu ed Decision 562 containing guidelines for the 
                                                      
 89 Available at:  http://www.oba-bolivia.org. 
 90 Available at:  http://www.comunidadandina.org/comercio/tecnicas.htm. WT/TPR/S/154 Trade Policy Review 
Page 50 
 
 
preparation, adoption and application of technical regulations in member countries at the Community 
level.91 
(e) Marks, labelling and packaging 
90. Labelling of food products is governed by S upreme Decree No. 26.510 of 21 February 2002 
and SENASAG Administrative Resolution 72/02.  Bo livian standard NB 314001-01 applies to the 
labelling of prepackaged foods and is ma ndatory for packaged foods in Bolivia.92  NB 314001 also 
requires a declaration of whether or not the product is of transgenic origin. 
(x) Sanitary and phytosanitary regulations 
(a) Institutional and legal framework 
91. The SENASAG is responsible for drawing up regulat ions on animal and plant health and food 
safety and their application to domestic produc ts, imports and exports.  Law No. 2.061 of 
16 March 2000 set up the SENASAG as a decentralized body of the former Ministry of Agriculture, 
Livestock and Rural Development (MAGDR).93  Technical operations are conducted in the district 
offices in the departments of La Paz, Cochabamba, Santa Cruz, Tarija, Beni, Oruro, Potosí, 
Chuquisaca and Pando.94  In 2004, the Genera l Division of Economic Negotiations in the 
Ministry of Foreign Affairs a nd Worship was designated to no tify sanitary and phytosanitary 
measures (SPS) to the WTO.  The national enquiry point for the WTO is the National 
Division of the SENASAG.95 
92. The SENASAG draws up technical regulations ta king into account international guidelines 
(OIE, CODEX, IPPC) and the Andean Community’s  regional guidelines.  Regional directives by the 
Andean Community, according to the legal princi ples of precedence, supranationality and direct 
application, automatically become mandatory.  Th e regulations are monitored through the technical 
operations of the district offices in each of the de partments and through technical inspections by the 
SENASAG’s National Division. 
93. As far as sanitary requirements for imports are c oncerned, for certain products a distinction is 
drawn between those coming from the Andean Community and those from third countries.  The authorities indicate that changes to th e system are currently being discussed. 
94. Regarding the division of responsibilities between the Ministry of Health and the SENASAG 
as far as food safety is concerned, the fundament al difference is specifi ed in Supreme Decree 
No. 25.729, which defines the SENASAG’s respons ibility in relation to the production, processing 
and control of imports and exports.  The Ministry of Health is responsible for monitoring disease 
carried by foodstuffs.  The authorities indicate that Supreme Decree No. 28.147 of 17 May 2005 provides for a single sanitary register of companies producing foodstuffs. 
                                                     
 
 91 Available at:  http://www.comunidadandina.org/normativa/dec/d562.htm. 
 92 Report of the workshop on CODEX criteria for defining the maximum permitted levels of additives, 
contaminants and pesticide residues and medicines for veterinary use in food.  Available at:  
http://www.rlc.f ao.org/ prior/comagric/code x/rla2904/pdf/lmpbol.pdf. 
 93 The Ministry of Rural and Agricultural Affair s (MACA) replaced the MAGDR.  Supreme Decree 
No. 25.729 of 7 April 2000 determined the functional st ructure of the SENASAG and the institutional link to the 
Vice-Ministry of Agriculture, Livestock and Fisheries. 
 94 Available at:  http://www.senasag.gov.bo. 
 95 WTO documents G/SPS/ENQ/18 and G/ SPS/NNA/8, both of 20 December 2004. Bolivia WT/TPR/S/154 
 Page 51 
 
 
95. According to Supreme Decree No. 26.590, all im ports of animals and/or plants and their 
products for human consumption must be accomp anied by a phytosanitary health or food safety 
certificate issued by the authority in the country of origin.  In Bolivia there are no official facilities for 
internal quarantine.  Live animals are imported subject to compliance with the requirements laid 
down.  If necessary, a risk analysis of imports may be requested and sometimes there are in situ 
inspections;  quarantine on a farm may also be imposed.  Supreme Decree No. 25.729 authorizes the 
SENASAG to prohibit the import, manufacture, storage, distribution and marketing of products and inputs if there is an imminent risk. 
96. Since the last review in 1999, activities and problems related to diseases of animal origin, 
genetically-modified products and technical assistance  have been important areas of work in the SPS 
field in Bolivia.  Table III.6 lists the principal SPS measures adopted during the period.  Since 1999, 
the WTO has received eight SPS notifications from Bolivia relating to the introduction of foot-and-
mouth disease from Argentina
96, suspected avian flu from Chile and Asia97 and phytosanitary 
requirements for the import of apples and pears from Argentina98 and nuts in the shell from Brazil.99  
The authorities state that some measures have not  been notified because the notification mechanism 
and coordination are being modified. 
Table III.6 
Administrative resolutions in effect since the establishment of the SENASAG 
Number Date of approval Subject of the Administrative Resolution 
021/01 17.04.2001  Technical standards a nd procedures for taking samples and la boratory tests to verify food safety 
and quality control of almonds 
052/01 13.08.2001 Penalties for those viola ting the provisions of the national progr amme for the eradication of foot-
and-mouth disease 
058/01 23.08.2001 Requirements for the regi stration and control of companies pr eparing, manufacturing, importing, 
exporting and marketing products fo r veterinary use and registrati on and control of products for 
veterinary use 
071/01 20.09.2001 Declaration of a state of phytosanitary emer gency in all citrus-producing zones in Bolivia in order 
to control citrus canker 
079/01 09.11.2001  Fees for SENASAG services for regist ering companies manufacturing foodstuffs, granting sales 
permits, HACCP certification and de velopment of special programmes 
087/01 11.12.2001  Sanitary requirements for the transport of animals, infrastructure and classification of abattoirs, 
processing, storing and transporting meat  
088/01 11.12.2001  Ante-mortem and post-mortem in spection standards applicable in abattoirs 
089/01 11.12.2001  Regulations for sanita ry permits for building abattoirs, registration, renewal, modification, 
transfer and cancellation of sanitary registration 
002/02 January 2002 Approval of the list of products with their respective NANDINA cl assification for which the 
SENASAG is responsible for sanitary control of imports 
003/02 04.01.2002 Declaration of a sanitary  emergency on the border with Argentina 
011/02 25.01.2002  Approval of the san itary permit for border clearance 
023/02 25.02.2002 Approval of technical re gulations on procedures for the impor t and distribution of foot-and-mouth 
disease vaccine 
055/02 17.04.2002 Approval of the regulations for registration and cont rol of pesticides, fertilizers and like 
substances for agricultural use comprisi ng 19 chapters, 96 articles and 11 annexes  
072/02 21.05.2002  Regulations on appr oval of the model label/control of labelling – prepackaged foodstuffs 
076/02 23.05.2002 Establishment of the National Pr ogramme for Control of Mexican boll weevil ( Anthonomus 
grandis ) and integrated management of cotton di seases (PRONCAMIPA) under the supervision 
of the SENASAG’s National Plant Health Office 
086/02 21.06.2002 Declaration of the soya bean cyst nematode ( Heterodera glycines ), as an A1 quarantine disease 
and establishment of the requirement s for imports of grains and seeds 
090/02 27.06.2002 Adoption of the passport for horses used by  the International Federation for Equestrian Sports 
095/02 02.07.2002 Amendment to Administrative Resolution No. 011/2002 
104/02 23.07.2002  Approval of the fees for issuing sanitary  import and export permits for the Department of Pando 
Table III.6 (cont'd) 
                                                      
 96 WTO documents G/SPS/N/BOL/1 of 25 January 2002, and G/SPS/N/BOL/1/Add.1 of 12 April 2002. 
 97 WTO documents G/SPS/N/BOL/2 of 3 July 2002, G/SPS/N/BOL/3 of 18 September 2002, and 
G/SPS/N/BOL/5 of 1 March 2004. 
 98 WTO documents G/SPS/N/BOL/6 and G/SPS/N/BOL/7, both of 24 March 2004. 
 99 WTO document G/SPS/N/BOL/8 of 24 March 2004. WT/TPR/S/154 Trade Policy Review 
Page 52 
 
 
Number Date of approval Subject of the Administrative Resolution 
110/02 15.08.2002 Establishment of the conditions for p ackaging and labelling of imports of table grapes  
115/02 23.08.2002 Establishment of the na tional network of plant diagnosis and pesticide quality control laboratories 
119/02 28.08.2002 Establishment of the national programme fo r the eradication of salmonellosis and poultry health 
in Bolivia (PRONESA) 
121/02 29.08.2002  Repeals and replaces Administrative Reso lution No. 002/01 establishing procedures for granting 
import permits and export certificates for agricultural products and foodstuffs 
Source: Information provided by the Bolivian authorities. 
 
97. The SENASAG represents Bolivia at the Intern ational Plant Protection Convention (IPPC) of 
the FAO.  In the Andean Community, the SE NASAG is responsible for implementing regional 
agreements on SPS.  In addition, Bolivia is a me mber of the CODEX Alimentarius Commission and 
of the World Organization for Animal Health (OIE).  It also participates in regional forums such as 
the Standing Veterinary Committee of the Southern Cone, the South American Commission to 
Combat Foot-and-Mouth Disease and is acceding to the Plant Health Committee of the Southern 
Cone. 
98. As far as the eradication and control of pest s and diseases is concerned, the authorities have 
indicated that the SENASAG is working on a number of programmes including the national programme to eradicate foot-and-mouth disease, th e national programme on sal monellosis and poultry 
health, the programme for integrated management  of potato diseases, the national programme on the 
boll weevil and the integrated management of cotton.
100  As regards risk analysis in animal health, the 
authorities have indicated that Bolivia takes into  account the guidelines of the OIE and the European 
Union’s procedures for bovine spongiform encephalopath y.  As regards plant health, the procedures in 
the IPPC and the Andean Community  are followed.  For food safety,  the rules laid down in the 
CODEX are used. 
(b) Inspection, registration and certification 
99. The Ministry of Rural and Agricultural Affairs may ban the import of products deemed to 
harm human, animal or plant life or health (see se ction (2)(vi) above).  Supreme Decree No. 26.590 
and Administrative Resolution A No. 121/01 are the main instruments laying down the obligation to 
obtain phytosanitary, animal health and food safety permits for imports (import permits).101  I n t he 
area of animal health there are resolutions which ban the import of live animals, animal products and 
by-products because of various risks or from various countries.  For plant health, it is prohibited to 
import persistent organic contaminants for agricu ltural use and folidol.  Moreover, products for 
veterinary or agricultural use may not be imported without registration.  Supreme Decree No. 26.590 
also determines the procedure for importing ove r 1,500 products, including pesticides.  The 
authorities indicate that the time taken to process an import permit, while the prior requirements are 
being met, in no case exceeds 10 working days, pu rsuant to Supreme Decree No. 26.590 and its 
Regulation 121/01. 
100. As regards the operation of laboratories, th e LIDIVET laboratory in Santa Cruz and the 
LIDIVECO laboratory in Cochabamba diagnose animal  diseases, control the quality of inputs, certify 
foodstuffs for domestic consumption and in some cases carry out tests for the export of animals.102  
                                                      
 100 Available at:  http://www.senasag.gov.bo. 
 101 The main requirements for obtaining an import permit are: registration of the companies producing, 
importing or marketing products for veterinary use; registration of companies processing or importing foodstuffs; registration of companies importing, regi stering or marketing pesticides, fertilizers and like 
substances.  According to the authorities, delays in dea ling with import permits are mostly caused by the failure 
of importers to comply with the prior requirements.  
102 Inter-American Development Bank, Agricultur al Services Programme for Bolivia (BO-0176). Bolivia WT/TPR/S/154 
 Page 53 
 
 
The authorities state that, for plant health, there is a laboratory in La  Paz which analyses the quality of 
pesticides and fertilizers and a network of 10 laborator ies in La Paz, Santa Cruz, Cochabamba, Tarija 
and Potosí.  For food safety, there is a network of 16 laboratories in La Paz, Santa Cruz, Cochabamba, 
Oruro, Sucre and Tarija. 
101. As is the case in neighbouring countries, in Bolivia, problems related to sanitary conditions 
and animal diseases are key challenges for their expo rt capacity.  As an example, the export potential 
of meat of camelids is affected by the fact that  the Altiplano has not been declared an area free of 
foot-and-mouth disease.  An FAO report in 2004 under lined the need to provide small producers with 
technical assistance and improve access to medicines and animal vaccines.103 
102. In May 2003, the OIE declared the eastern part of Santa Cruz (Chiquitania) free of foot-and-
mouth disease.  In mid-2005, the SENASAG had intern ally declared the Departments of Oruro, Beni, 
Pando and the north of La Paz areas free of foot-and- mouth disease with vaccination.  As part of the 
activities of the Panamerican Foot-and-Mouth Disease Centre, the SENASAG aims to eradicate foot-and-mouth disease in Bolivia in 2007 and the 2005-2007 sanitary strategy identifies various 
vaccination activities depending on the zone
104, control of animal movements, epidemiological 
monitoring and sanitary education.105 
103. As regards sanitary and phytosanitary research, the authorities have explained that studies are 
being carried out, inter alia , to improve onion seeds106;  on white flies as an emerging pest in 
horticulture;  chemical control of late potato bligh t;  weeds in potato crops;  and biological control of 
coffee berry borer .107  This research covers products wh ich, although they are not of export 
importance, play a leading role in  domestic production and consumption. 
(c) Biotechnology products 
104. In recent years, the regulations on and development of the use of genetically-modified 
organisms (GMOs) have seen a marked change, pa rticularly as regards soya bean production.  The 
main framework for the movement and use of  GMOs is Supreme Decree No. 24.676 of 1997.108  The 
Ministry of Sustainable Development is responsible  for compliance with the Cartagena Protocol on 
Biosafety and the MACA carries out agricultural research.  Supreme Decree No. 24.676 set up the 
Comité Nacional de Bioseguridad (National Biosafety Committee) to provide advice and technical 
support to the authority responsible for biosafety activities.109  The Sistema Boliviano de Tecnología 
                                                      
 103 The Politics of Livestock Sector Policy and the Rural Poor in Bolivia, available at:  
http://www.fao.org/ag/againfo/project s/en/pplpi/docarc/pb_wp15.html. 
 104 Bolivia is divided into four zones:  Altiplano, Amazonia, Valles and Chaco.  From an 
epidemiological point of view, the Chaco and Amazonia zones are deemed to be endemic and the Altiplano and 
Valles zones depend on the former. 
 105 Regionalization as a basis for the programme to eradicate foot-and-mouth disease in Bolivia, 
available at:  bvs.panaftosa.org.br/textoc/Semin_XXXI_cosalfa_p28-29Menacho.pdf. 
 106 The authorities indicate that this research is  being financed through private sources.  Centro 
Nacional de Producción de Semillas de Hortalizas  – CNPSH (National Centre for the Production of Vegetable 
Seeds) and the Asociación de Servicios Artesanales y Rurales  – ASAR (Association of Rural and Craft 
Services).  
107 Revista de Agricultura , Year 55, March 2003, No. 31.  Available at:  http://www.agr.umss.edu.bo/ 
invest/revista.pdf. 
 108 This Supreme Decree implements the Convention on Biological Diversity, ratified by Law 
No. 1.580. 
 109 The Committee is composed of the Ministries of: Natural Resources and the Environment, 
International Economic Relations, Agriculture and Li vestock, Industry and Trade, Health, and Higher 
Education. WT/TPR/S/154 Trade Policy Review 
Page 54 
 
 
Agropecuaria  – SIBTA (Bolivian Agricultural Technology Scheme)110 was set up in order to regulate 
technological innovation, including that related to biotechnology. 
105. Several measures have been taken to regulat e the production, consumption and export of 
transgenic soya beans.  They may only be sown for experimental purposes and require authorization 
by the National Biosafety Committee.  In April 2005,  following three years of testing, the use of 
transgenic soya beans resistant to  glyphosate was authorized in the Department of Santa Cruz and part 
of the Gran Chaco province of Tarija.  SENASAG Administrative Resolution 044/2005 authorized the use of Roundup Ready (RR) soya beans for the pr eparation of foodstuffs and beverages for national 
consumption provided that they comply with the rules in effect.
111  The National Biosafety Committee 
and the SENASAG declared that th e soya beans met food safety requirements and a multiminsterial 
resolution approving their use was issued in mid-2005.112 
(d) Pesticides 
106. Administrative Resolution 055/2002, based on Resolution 630 of the Andean Community, 
regulates the import, export and labe lling of pesticides.  The authorities indicate that, in July 2005, 
work was going on to improve the capacity to detect  residues.  Bolivia does not have any programme 
to regulate pesticide residues. 
(e) International cooperation 
107. In recent years several SPS technical assistan ce programmes have been conducted, including 
a programme113 carried out by IBNORCA in 2002 for quality management, risk analysis and hazard 
analysis critical control points (HACCP) and food safet y schemes.  In addition, Bolivia took part in an 
FAO 2002-2004 project114 on management of national CODEX Alimentarius committees for 
harmonization and equivalence with the CODEX standards.115  In July 2004, Argentina and Bolivia 
signed a protocol on SPS cooperation in the context of their partial scope agreement.  Several SPS 
support measures are also under consideration in connection with a cooperation agreement between 
the EU and the Andean Community. 
108. The database of the Servicio de Elaboración de No rmas y Fomento del Comercio  – SENFC 
(Establishment of Standards and Trade Development Facility)116 and the 2004 report on the activities 
of the WTO’s SPS Committee117 indicate that the information in the questionnaire on Bolivia’s 
                                                      
 110 The SIBTA was established by Supreme Decree No. 25.717 of 30 March 2001 and its permanent 
secretariat is in the MACA.  
111 "Dan luz verde para el uso de soja transgén ica", available at:  http://www.boliviarural.com/ 
notician.php?id=7230.  It is indicated that the regional seeds office in Santa Cruz and the Gabriel René Moreno 
University followed up the testing.  These sources also  indicate that no significant differences were found 
between the environmental impact of genetically modified soya bean crops and traditional soya bean crops. 
 112 Advisory body of the Ministry of Sustainable Development. 
 113 "Fortalecimiento de la Competitividad de la s Pequeñas y Medianas Empresas" (IBD/FOMIN 
financing).  Available at:  http://www.calidadpyme.org/index.asp. 
 114 Project TCP/RLA/2904.  Available at:  http ://www.fao.org/Regional/LAmerica/prior/comagric/ 
codex/rla2904/. 
 115 "The Politics of Livestock Sector Policy and the Rural Poor in Bolivia".  Available at:  
http://www.fao.org/ag/againfo/project s/en/pplpi/docarc/pb_wp15.html. 
 116 The SENFC was set up by the WTO together with the World Bank, the FAO, the World Health 
Organization and the World Animal Health Organization in order to provide information on technical assistance 
projects and capacity building relating to sanitary and phytosanitary issues.  
117 WTO document G/L/709 of 8 November 2004. Bolivia WT/TPR/S/154 
 Page 55 
 
 
technical assistance requirements still has to be defined.118  Other technical assistance requirements 
relate to the infrastructure of laboratories, training,  seeds, risk analysis, genetic resources, food safety 
and organic products. 
(3) MEASURES DIRECTLY AFFECTING EXPORTS  
(i) Procedures, documentation and registration 
109. The legal framework for export procedures is co mposed of the General Customs Law and its 
Regulations, Law No. 1.777 of 17 March 1997 (M ining Code), Law No. 1.700 of 12 July 1996 
(Forestry Law), Law No. 1.489 of 13 April 1993 (Law  on the development and taxation of exports), 
amended by Law No. 1.963 of 23 March 1999, Law No. 1.008 of 18 July 1988 on the coca and 
controlled substances regime and related provisions, as well as a number of resolutions and supreme 
decrees.119 
110. Until July 2005, the single export window facility (SIVEX), under the Ministry of Economic 
Development, was responsible for fac ilitating and simplifying export procedures.120  In addition to 
administering the single register of exporters (RUE ), the SIVEX dealt with all the documents required 
for export, issued certificates of origin, endorsed  the various export documents, and advised and 
assisted exporters.  In August 2005,  the Government is to dissolve the SIVEX.  It has delegated its 
functions and responsibilities to a private entity , the Bolivian National Chamber of Exporters 
(CANEB) and through it to the depa rtmental chambers of exporters.121  The functions delegated are 
monitored by the Consejo Nacional de Exportaciones – CONEX (National Export Council) (see 
Chapter II(2)(ii)) and include the follo wing: issue of certificates of origin122;  keeping the register of 
coffee exporters – ICO;  receiving documentation accompanying applications for RITEX;  support 
and facilitation relating to RITEX applications;  a nd technical and legal assistance to exporters for 
export-related procedures.  In May 2005, the RUE was also abolished.123 
111. In order to engage in export, an  exporter must register with the Servicio de Impuestos 
Nacionales  – SIN (National Taxation Service) in order to  be issued with a tax identification number 
(NIT) and with the Fundación para el Desarrollo Empresaria  – FUNDEMPRESA (Business 
Development Foundation) in order to obtain commercia l registration.  Until May 2005, in addition to 
the registration documents, an exporter also had to  apply for registration in the RUE.  During the 
period under review, for certain food and agricultural products, exporters were also obliged to register 
with the Sanitary Register and the Plant and Anim al Health Roster.  Sin ce May 2005, all companies 
producing and/or processing and/or importing and/or  packaging foods and beverages in any form 
                                                      
 118 The questionnaire is contained in WTO document G/SPS/W/113 of 15 October 2001 and the replies 
in document G/SPS/GEN/295. 
 119 Supreme Decree No. 25.465 of 23 July 1999, Supreme Decree No. 24.780 of 27 August 1997, 
Supreme Decree No. 24.453 of 21 D ecember 1996, Supreme Decree No. 23. 484 of 29 Apr il 1993, Supreme 
Decree No. 21.774 of 26 November 1987, Su preme Decree No. 23.009 of 17  December 1991, Supreme Decree 
No. 21.660 of 15 August 1987, Supreme Resolution No. 210.635 of 14 April 1992, Secretariat Resolution 
No. 590/97 of 30 July 1997, Secretariat Resolution No. 811/96 of 10 September 1996, Secretariat Resolution 
No. 796/96 of 3 September 1996, and Ministerial Resolution No. 2.157 of 26 August 1991.  
120 The SIVEX was established by Supreme Decree No. 23.009 and is governed by Supreme 
Resolution No. 210.635. 
 121 Supreme Decree No. 28.143 of 17 May 2005. 
 122 In Supreme Decree No. 28.124 of 17 May 2005, the Government requested the Ministry of 
Economic Development to process, issue and officiali ze certificates of origin w ithin a period not exceeding 
60 days.  
123 Supreme Decree No. 28.143 of 17 May 2005. WT/TPR/S/154 Trade Policy Review 
Page 56 
 
 
must be registered with the Single National Sanitary Register of Foods and Beverages.124  Coffee 
exporters must also be registered in the Register of Coffee Exporters. 
112. All exports are subject to the Declaración Única de Exportación  – DUE (single export 
declaration) which, since 2001, has gradually re placed the documents previously necessary, namely, 
form 211 (for exports of up to US$1,000 or less than 100 kg), form 212 (for the export of non-mining 
products above this limit) or form 213 (for expor ts of mining products), which is still used for 
temporary exports.  A packing list must be provided if there are a number of different goods.125  
Exporters or customs agents must install the automated customs system for access, control and 
management (ASYCUDA) on their com puters so that they can complete  their declarations in their 
offices.  Use of the ASYCUDA is mandatory, unless the customs authority has not installed the 
system, in which case the DUE is filled in by hand.126 
113. Other certificates and/or prior authorizations  may be required depending on the product (see 
also section (2)(vi)).  For animal and plant pr oducts, sanitary and phytosanitary certificates are 
obtained from the SENASAG (see section (2)(x)).  Upon request by an exporter, they are issued for 
food products certified as bromatological, toxological, microbiological and/or radiological.  Some 
chemicals require a chemical certificate issu ed by the Ministry of Health and Sport. 
114. Exports of certain types of wood (mara, oak and cedar) or animal species threatened with 
extinction (alligators, peccaries, vicuñas and othe r wild animals) necessitate a CITES certificate, 
which can be obtained from the biodiversity division of  the Ministry of Sustainable Development.  A 
forestry certificate of origin is required for exports  of forest products (if they are not cultivated non-
timber products) and this is issued by the Forestry Su perintendency;  the forestry certificate of origin 
for cultivated non-timber products was abolished on  17 May 2005 by Supreme Decree No. 28.124.  
One of the following documents is required for the export of vehicles:  clearance certificate for 
vehicles to be exported (for registered vehicles), export certificate (for non-registered vehicles), legal 
verification certificate (for non-registered vehicles without an ownership certificate). 
115. A quality certificate is issued for certain pr oducts, including refined petroleum oils and 
natural gas (issued by the Hydrocarbons Superintende ncy);  coffee (issued by the International Coffee 
Organization);  and certain oilseeds and fruits (issued by IBNORCA).127 
116. Certificates of origin may be required in order to obtain preferential access to certain export 
markets.  There are several types of certificate:  LAIA, MERCOSUR, Generalized System of Preferences (GSP), Free-Trade Agreement with Mexi co (in which case self-certification is permitted), 
and certificates of origin for third countries (see sect ion (2)(iii)).  Since 28 July 2005, certificates of 
origin have been issued by the Bolivian National Chamber of Exporters. 
117. The green or red channel through which goods are exported is attributed randomly by the 
ASYCUDA.  In the green channel, goods are only s ubject to inspection of the documents, but in the 
red channel they also undergo physical inspection. 
(ii) Export taxes charges and duties 
118. Pursuant to the General Customs Law, no customs duty is imposed on exports unless 
otherwise specified in the Law.  Nevertheless, in  the case of minerals, exports are subject to the 
                                                     
 
 124 Supreme Decree No. 28.147 of 17 May 2005. 
 125 Bolivian National Customs, Circular No. 151/2001 of 25 June 2001. 
 126 Ibid. 
 127 Ibid. Bolivia WT/TPR/S/154 
 Page 57 
 
 
Impuesto Complementario a la Minería  – ICM (complementary mining ta x), whose rate is higher than 
that applicable to minerals sold on the domestic market (see Chapter IV(3)).128 
(iii) Export prohibitions and restrictions and export licensing 
119. In general, export of products  affecting public health, State security, conservation of fauna 
and flora and the cultural, historical and archaeological heritage is banned.129  Other exports may also 
be prohibited by law.  Pursuant to the 1996 Forest ry Law (Law No. 1.700 of 12 July 1996), the export 
of unprocessed forestry products is subject to  restrictions and is strictly regulated. 
120. A number of products require prior authoriza tion (Table III.7).  Even though no export 
licence is required, exports of species threaten ed with extinction require a CITES certificate. 
Table III.7 
Prior authorizations – exports 
Product NANDINA code Other requirements Institution issuing the 
document 
Ethyl alcohol 2207.10.00.00; 
2207.20.00.00  Ministry of the Interior 
Petroleum oils or oils obtained from 
bituminous minerals ex 2710.00  A quality certificate is 
required for: 
2710.00.11.12;  2710.00.11.20;  
2710.00.11.30;  
2710.00.19.40;  2710.00.19.50;  
2710.00.19.60;  
2710.00.19.70;  2710.00.19.81;  
2710.00.19.82;  
2710.00.90.91;  2710.00.90.92   Ministry of  the Interior;  
Hydrocarbons Superintendency 
Hydrogen chloride (hydrochloric 
acid) 2806.10.00.00  Ministry of the Interior 
Sulphuric acid;  oleum 2807.00.10.00; 
2807.00.20.00  Ministry of the Interior 
Carbon disulphide 2813.10.00.00  Ministry of the Interior 
Anhydrous ammonia or in aqueous 
solution 2814.10.00.00; 
2814.20.00.00  Ministry of the Interior 
Sodium hydroxide (caustic soda); 
potassium hydroxide (caustic potash); peroxides of sodium or 
potassium 2815.11.00.00; 
2815.12.00.00; 2815.20.00.00  Ministry of the Interior 
Hydrazine and hydroxylamine and 
their inorganic salts;  other 
inorganic bases;  other metal oxides, 
hydroxides and peroxides 2825.90.40.00;  
2825.90.90.00  Ministry of the Interior 
Hypochlorites (of sodium) 2828.90.11.00  Ministry of the Interior 
Carbonates;  peroxocarbonates 
(percarbonates);  commercial ammonium carbonate containing 
ammonium carbonate 2836.20.00.00;  
2836.30.00.00;  2836.40.00.00;  
2836.50.00.00  Ministry of the Interior 
Potassium permanganate 2841.61.00. 00  Ministry of the Interior 
Saturated acyclic hydrocarbons  
(only N-hexanes) 2901.10.00.00  Ministry of the Interior 
Table III.7 (cont'd) 
                                                      
 128 Supreme Decree No. 27.799  of 20 October 2004. 
 129 Article 99 of the General Customs Law. WT/TPR/S/154 Trade Policy Review 
Page 58 
 
 
Product NANDINA code Other requirements Institution issuing the 
document 
Cyclic hydrocarbons 2902.20.00.00;  
2902.30.00.00;  
2902.41.00.00;  2902.42.00.00;  
2902.43.00.00;  
2902.44.00.00  Ministry of the Interior 
Halogenated derivatives of 
hydrocarbons 2903.12.00.00;  
2903.13.00.00;  2903.14.00.00;  
2903.22.00.00;  
2903.23.00.00  Ministry of the Interior 
Acyclic alcohols and their 
halogenated, sulphonated, nitrated 
or nitrosated derivatives 2905.11.00.00;  
2905.51.00.00 
  Ministry of the Interior 
Diethyl ether (diethyl oxide) 2909.11.00.00  Ministry of the Interior 
Cinammic and phenylacetic 
aldehydes 2912.29.10.00  Ministry of the Interior 
Ketones and quinones, including 
with other oxygen functions, and 
their halogenated, sulphenated, nitrated or nitrosated derivatives 2914.11.00.00;  
2914.12.00.00;  
2914.13.00.00  Ministry of the Interior 
Acetic acid;  acetic anhydride; 
acetyl chloride 2915.21.00.00;  
2915.24.00.00;  
2915.90.90.10  Ministry of the Interior 
Benzoic acid;  benzoyl chloride 2916.31.10.00;  
2916.32.20.00  Ministry of the Interior 
Amine- function compounds 2921.46.10.00;  
2921.46.20.00;  
2921.46.30.00  Ministry of Health and Sport 
Oxygen-function amino-compounds 2922.14.10.00;  
2922.31.10.00;  
2922.31.20.00;  
2922.31.30.00; 2922.43.00.00  Ministry of Health and Sport 
Heterocyclic compounds with 
nitrogen heteroatom(s) only ex 29.33   Ministry of Health and Sport 
Vegetable alkaloids, natural or 
reproduced by synthesis, and their 
salts, ethers, esters and other derivatives ex 29.39   Ministry of Health and Sport 
Anaesthetics;  other 3004.40.11.00;  
3004.40.19.00  Ministry of Health and Sport 
Adhesives based on rubber 
(including artificial resins "clefa") 3506.91.00.00  Ministry of the Interior 
Propellant powders 3601.00.00.00  Ministry of National Defence 
Prepared explosives, other than 
propellant powders 3602.00.11.00; 
3602.00.19.00; 
3602.00.20.00; 3602.00.90.00  Ministry of National Defence 
Safety fuses; detonating fuses; 
percussion or detonating caps; 
igniters;  electric detonators 3603.00.10.00; 
3603.00.20.00; 
3603.00.30.00; 3603.00.40.00; 
3603.00.50.00; 
3603.00.60.00  Ministry of National Defence 
Fireworks, signalling flares, rain 
rockets, fog signals and other 
pyrotechnic articles 3604.10.00.00; 
3604.90.00.00  Ministry of National Defence 
Turpentine oils 3805.10.00.00  Ministry of the Interior 
Organic composite solvents and 
thinners, not elsewhere specified or included; prepared paint or varnish 
removers 3814.00.00.00  Ministry of the Interior 
Source: Bolivian National Customs, Circul ar No. 151/2001 of 25 June 2001. 
 Bolivia WT/TPR/S/154 
 Page 59 
 
 
121. Bolivia does not apply MFN regime export quot as.  It does, however, have quotas for the 
export of various products pursuant to preferen tial trade agreements.  For example, under its 
agreement with the MERCOSUR, Bolivia may export a nnually to Argentina, on preferential terms, up 
to 4,000 kg of men’s cotton shirts and 3,000 kg of shirts  of man-made or artificial fibre.  Pursuant to 
its agreement with Chile, Bolivia has preferentia l access to the market through quotas for several 
products including soya bean oil, cotton, bulbs, na tural latex, paper and ca rdboard boxes and refined 
sulphur. 
(iv) Tariff and other tax concessions, including free export zones 
(a) Import tax and tariff concessions 
122. In addition to the free zones and the RITEX regimes (section (3)(iv)(b) below), Bolivia 
applies a tax refund scheme. 
123. The Law on development and taxation of exports  (Law No. 1.489) defines the principle of 
neutrality for the taxation of export of goods and services.130  T h i s  L a w  i s  r e g u l a t e d  b y  S u p r e m e  
Decree No. 25.465 of 23 July 1999 (amended by Supreme Decree No. 26.630 of 20 May 2002).  Taxes and duties (i.e. VAT, ICE and tariffs) paid on imports of raw materials and intermediate goods 
are refunded by means of a Certificado de Devolución de Impuestos  – CEDEIM (tax refund 
certificate).  Indirect taxes (i.e. VAT and ICE) ar e refunded provided that the relevant fiscal note 
certifying the amount of tax paid is submitted to the authorities.  Together with the General Customs 
Law, Law No. 1.489 also regulates the right to refund of duties on domestic and imported goods 
utilized in production. 
124. An automatic procedure using a coefficient app lied to the f.o.b. export value determines the 
amount of import duties to be refunded.  The auto matic procedure applies to exports under tariff 
subheadings (at the NANDINA 10-digit level) which in  the previous calendar year amounted to a total 
export value not exceeding US$3 million.  For these exports, the refund coefficient is one of the 
following two percentages: 4 per cent of the f.o.b. export value for new tariff subheadings (i.e. those 
which did not appear the previous year in the offi cial statistics compiled by the National Statistical 
Institute (INE)) and tariff subheadi ngs which in the previous calendar year amounted to a total export 
value not exceeding US$1 million;  or 2 per cent of  the f.o.b. export value for tariff subheadings 
whose total export value ranges from US$1 million to US$3 million. 
125. Tariffs are automatically refunded to exporte rs who are initiating their export activities and 
they receive the equivalent of 4 per cent of th e f.o.b. export value for the first US$100,000 exported 
during the current year;  exports exceeding this thres hold are subject to the refund coefficients already 
explained according to the tariff heading.
131 
126. A determination procedure applies to exports no t covered by the automatic procedure.  The 
refund coefficients applicable and the tariff subhead ings covered by this procedure are fixed annually 
by a technical commission.  Upon request by an exporter, the commission may also determine, within 
30 days, a special refund coefficient to reflect the exporter’s cost structure. 
127. Tariff refunds are not permitted for some products, although the VAT and the ICE are 
refunded.  The Ministries of Economic Developm ent and of Finance approve annually, in a 
biministerial resolution, a list of tariff subheadings to be excluded.132  In May 2005, the list included 
                                                      
 130 Article 12 of Law No. 1.489. 
 131 Supreme Decree No. 25.465 of 23 July 1999. 
 132 Article 9 of Supreme Decree No. 25.465 of 23 July 1999. WT/TPR/S/154 Trade Policy Review 
Page 60 
 
 
products such as certain live animals,  coca leaves, sugar cane, cocoa by -products, plastic waste, hides 
and skins, timber for building and certain  timber products, as well as some metal scrap.133 
128. The metal mining sector is given different treatment.  For VAT, the maximum amount that 
may be refunded corresponds to the sum obtaine d by applying VAT to the difference between the 
official price quoted for the mineral and production costs (i.e. the costs incurred outside the country in 
order to turn the mineral ore into metal, for exam ple, processing, insurance and shipping).  If these 
costs are not listed specifically in the export declaration, it is assumed that they amount to 45 per cent of the official price.
134  Likewise, tariffs are reimbursed up to a maximum amount corresponding to 
5 per cent of the difference between the official pr ice of the mineral and production costs.  If the 
imported goods have been used to produce artic les purchased on the domestic market, it is assumed 
that the c.i.f. import value of the goods imported corresponds to 60 per cent of the amount indicated 
on the fiscal note;  the value obtained is u sed as a basis to calculate the tax refund.135 
129. Supreme Decree No. 27.020 of 29 April 2003 determ ines the tax treatment for exports under 
the ATPDEA.  This Decree instructs the National Ta x Service to issue a VAT tax credit certificate to 
exporters of textiles and clothing, leather goods, artic les of wood, jewellery and articles of gold, for 
the tax credit corresponding to VAT accumulated up to  31 March 2003, provided that the credit is the 
result of imports and investment in capital goods and investment in the industrial infrastructure.  
Certification entitles exporters to a refund of 13 per cen t of the f.o.b. value of their exports.  The total 
amount of the VAT tax credit certified is refunded to  exporters by means of a tax credit certificate 
(CCF).  CCFs can be traded with the Nacional Financiera Boliviana  Sociedad Anónima Mixta  – 
NAFIBO SAM (Bolivian National Finance semi-pub lic company), which is empowered to issue 
tradable securities on the basis of the CCF.  The amount of the VAT tax credit certificate may not 
exceed 50 per cent of the net assets of the exporting company. 
(b) Export subsidies 
130. Pursuant to Annex VII to the Agreement on Subsidies and Countervailing Measures, Bolivia 
has the right to grant export subsidies until its per capita GNP reaches US$1,000.  Should Bolivia be 
excluded from Annex VII before the end of 2007, it h as reserved the right to give subsidies under two 
regimes intended to promote exports (free zones an d the RITEX) and to request an extension of the 
transitional period allowed by Article 27.4 of  the Agreement on Subsidies and Countervailing 
Measures.136  The extension is renewable annually up to  2007 following the "fast-track" procedure and 
is subject to transparency and status quo requirements. 
Free zones 
131. The legal framework for free and industrial zon es has changed since the last review in 1999 
following the adoption of Law No. 2.493 of 4 Au gust 2003, which amended the fiscal regime, and 
Supreme Decree No. 27.944 of 20 December 2004 regul ating free zones.  The regulatory framework 
for free zones includes Law No. 1.489 of 13 Ap ril 1993 (Law on developm ent and taxation of 
                                                      
 133 Biministerial Resolution No. 018 of 15 November 2004, available at: http://www.cadex.org/ 
Devolucion%20del%20Gravamen%20Arancelario%202005.pdf.  
134 Supreme Decree No. 25.465, Article 10. 
 135 Id., Article 11. 
 136 WTO documents G/SCM/N/71/BOL of 10 October 2002, G/SCM/N/74/BOL of 10 January 2002 
and G/SCM/N/74/BOL/Suppl.1 of 6 June 2002, Bolivia WT/TPR/S/154 
 Page 61 
 
 
exports) and Law No. 1.990 (General Customs Law).137  In May 2005, Bolivia had not yet notified the 
WTO of the changes made to this legal framework. 
132. The overall objectives for free zones are to create jobs, attract investment, technological 
development, to generate valu e added and develop an interna tional-trade-related commercial, 
industrial and services infrastructure.138  Free zones are divided into i ndustrial and commercial zones.  
Industrial zones are intended to promote direct investment in high-technology sectors, the development of agro-industrial complexes and light  manufacturing, as well as services, and to foster 
the development of SHELTER operations
139 and industrial services within free zones.  Industrial free 
zones produce, assemble or process for export. 
133. Commercial zones are intended to facilitate trade, inter alia , by eliminating trade-distorting 
factors and simplifying intermediation processes in trade in goods, establishing international freight 
terminals and centres for collecting, receiving and redistributing goods.140  In commercial free zones, 
goods are stocked for an unlimited period of time;  ma rketing is another activity.  In such zones, 
goods may be the subject of operations to ensure their conservation, improve their presentation or 
they may be packaged for shipping or internal transport, for example, by dividing them up or 
grouping them in packages, wrapping them or othe r operations that do not change the nature or 
essential characteristics of the goods. 
134. The taxation regime in free zon es has been the subject of a number of changes since 1999.  As 
before, goods entering free zones from a foreign cust oms territory are exempt from payment of all 
customs duties (tariffs, VAT, ICE and IEHD).  Sinc e 4 August 2003, operations carried out by users 
within free zones have been exempt from payment of the transaction tax (IT) and VAT, the profits tax 
(IUE), the IEHD and the ICE.141  In the case of concessionaires of free zones, since 2 August 2003, 
their operations have only been subject to the IUE.   All users and concessionaires in free zones must 
pay municipal taxes.  Imports into Bolivia from free zones are subject to payment of all customs 
duties. 
135. Concessionaires and users in possession of a legal authorization before the enactment of Law 
No. 2.493 are still exempt from payment of the Impuesto a la Propiedad de Bienes Inmuebles  – IPBI 
(property tax) until 2008. 
136. The establishment of a free zone, as well as an  industrial and/or commercial free zone 
development project, and the timetable for building a nd starting up free zones have to be approved in 
a biministerial resolution by the Ministries of Economic Development and of Finance.  The two 
Ministries also grant concessions for managing free zones.  Commercial or industrial users in free 
zones may be Bolivian or foreign natural or le gal persons and must be authorized by the 
concessionaire of the free zone and the customs.  A duty-free regime for a period of up to 360 days 
applies to processing zones for export (see RITEX below). 
137. Free zones are operated by private companies.  At 2005, 14 free zones had been given a 
concession, of which one was still being built (Table III.8). 
                                                      
 137 Supreme Decree No. 27.944 repealed the follo wing decrees: Supreme D ecrees No. 22.410 of 
11 January 1990, No. 22.526 of 13 June 1990, No. 23.333 of 24 November 1992, and No. 23.565 of 
22 July 1993. 
 138 Article 7 of Suprem e Decree No. 27.944. 
 139 The SHELTER operation is a business management service that is not a related service and can sell 
or buy a concessionaire or user within a free zone in order to manage its resources. 
 140 Article 11 of Supr eme Decree No. 27.944. 
 141 Law No. 2.493 of 4 August 2003. WT/TPR/S/154 Trade Policy Review 
Page 62 
 
 
Table III.8 
Free zones in Bolivia, 2002 
No. Business name  Type of concession Type of zone 
1. Oruro free zone Industrial and commercial Commercial 
2. Portuaria Aguirre S.A. central free z one  Industrial and commercial Commercial 
3. Cochabamba S.A. free zone  Industrial and commercial Commercial and industrial 
4. El Alto GIT S.A. free zone  Industria l and commercial Commercial and industrial 
5. Santa Cruz GIT S.A. free zone  Industria l and commercial Commercial and industrial 
6. Desaguadero free zone Commercial Commercial 
7. Guayaramerin free zone Indus trial and commercial Commercial 
8. San Matías free zone Commercial Commercial 
9. Puerto Suárez free zone Industrial a nd commercial Commercial and industrial 
10. Yacuiba free zone Industrial and commercial Commercial 
11. WINNER S.A. free zone Industrial a nd commercial Commercial and industrial 
12. Villazón free zone Industria l and commercial Commercial 
13. Oruro GRAN free zone Commercial Commercial (being built) 
14. Patacamaya free zone Industrial and commercial Industrial 
Source: Ministry of Economic Development, Vice-Ministry of Industry, Trade and Export, Trade and Export Division, 
18 July 2005. 
 
Temporary admission for final processing regime (RITEX) 
138. The RITEX allows the import of intermediate  materials and goods into national customs 
territory with suspension of import duties solely if  they are to be incorporated into a production 
process to make products for export (i.e., for their production, processing or assembly).  The maximum volume of raw materials and intermed iate goods allowed is defined by a technical 
coefficient.  The entry of capital goods, their spar e parts, tools, fuel, hydrocarbons, lubricants and 
electric power are excluded.
142  The same fiscal benefits apply to companies called "RITEX supply 
companies", which provide products for packagin g and other intermediate goods to companies 
authorized under the RITEX or to other RITEX s upply companies, if they have been obtained as a 
result of a production process carried out directly. 
139. The RITEX is governed by Law No. 1.489 (Law on development and taxation of exports) of 
16 April 1993 and Law No. 1.990 of 28 July 19 99 (General Customs Law), as well as Supreme 
Decrees No. 24.480 of 29 January 1997, No. 25.706 of 14 March 2000, No. 26.397 of 
7 November 2001, No. 27.128 of 14 August 2003 (RI TEX amendments), No. 28. 125 of 17 May 2005, 
Ministerial Resolution No. 157 of 24 Septembe r 2003 approving the amended text of the RITEX 
(i.e. Supreme Decree No. 25.706 and amendments thereto), Administrative Resolutions No. 32 of December 2003 and No. 030 of 5 July 2004, and Departmental Resolution No. 01-033-04 of 20 October 2004 approving the RITEX procedures. 
140. Law No. 1.489 defines the RITEX as a regime th at "allows entry into the customs territory 
under a mechanism suspending customs duties, taxes and all other import charges, for goods intended 
to be sent abroad after having been assembled, pr epared, incorporated into  packages, machinery, 
transport equipment in general or into applia nces of a greater technological and operational 
complexity, or into the production, obtaining, pr ocessing, repair, maintenance, adaptation, or 
manufacture of goods".  The RITEX also guarant ees refund of tariffs, VAT and ICE paid on the 
purchase of inputs or components incorporated into the goods imported under the RITEX and 
subsequently re-exported.  RITEX produ cts may not be exported to free zones.
143 
141. Security equivalent to the customs duties suspende d is required.  It may be in the form of a 
bank guarantee or bond or a sworn declaration of settlement and payment.144  In 2000, Supreme 
                                                      
 142 Ministerial Resolution No. 157. 
 143 Ministerial Resolution No. 157. 
 144 Article 14 of Supr eme Decree No. 27.128. Bolivia WT/TPR/S/154 
 Page 63 
 
 
Decree No. 25.706 extended the time during which th e raw materials and intermediate goods entering 
on a temporary basis could remain from 120 days (renewable for 30 days) to a maximum period of 
180 calendar days, which could be ex tended up to a further 180 days.145  In 2004, Supreme Decree 
No. 27.128 extended the period from 180 days to 360 days without any possibility of extension. 
142. In 2004, 118 companies had been listed under various headings, exporting goods worth 
US$356 million, in comparison with 62 companies in  2001 with exports amounting to US$31 million.  
In 2005, the number of companies had increased to 126. 
(v) Export promotion, financing, insurance and guarantees 
143. The Economic Revival Law (Law No. 2.064 of 3 April 2000) defined exports and attracting 
investment to build export capacity as national prio rities.  In May 2005, the regulatory framework 
establishing the national export development policy a nd the national policy for external integration, 
economic and trade promotion and effective ma rket access were adopted (see Chapter II(2)(ii)).146  
Bolivia does not, however, appear to have an y financing mechanism (apart from some small 
programmes on maquicentros  (premises in which micro and small producers make clothing and 
finished products)), or insurance or export guara ntee programmes.  It still has no export credit 
insurance programme;  in May 2005, however, the G overnment requested the Ministry of Finance, in 
cooperation with the Ministry of Economic Deve lopment and the Superint endency of Pensions, 
Securities and Insurance, to draw up within 120 da ys regulations for the establishment of an export 
credit insurance scheme.147 
144. Export promotion is the responsibility of the Centro de Promoción Boliviana  – CEPROBOL 
(Bolivian Promotion Centre), which is also re sponsible for promoting foreign investments and 
tourism.148  The CEPROBOL was set up in 1998 and restructured in 2004149, and reports to the 
Ministry of Foreign Affairs and Worship.  In car rying out its promotion activities, it makes use of 
Bolivian embassies and consulates organized in th e Bolivian external network (REB) since 2005 (see 
below).  Its aim is to boost exports in order to raise the figure for exports from the US$2,000 million 
estimated in 2004 to US$4,000 million in 2007.150 
145. The REB was established in May 2005151 for the purpose of economic and trade promotion, 
attracting investment, tourism and culture.  It co mprises diplomatic and consular missions which, 
subject to authorization by the Ministry of Forei gn Affairs and Worship, ma y conclude institutional 
cooperation agreements with bina tional chambers and other bodies involved in Bolivia’s foreign 
trade.  Its activities, programmes and plans are dr awn up by the Ministry, in cooperation with the 
CEPROBOL. 
146. The private sector institutions involved in pr omoting exports include the Bolivian Foreign 
Trade Institute (IBCE), the BOLINVEST and Bolivia  Exporta foundations, as well as several national 
and regional chambe rs of exporters.152  The IBCE is a technical institution for the promotion of trade 
                                                      
 145 Supreme Decree No. 25.706 of 14 March 2000. 
 146 Supreme Decree No. 28.124 of 17 May 2005. 
 147 Supreme Decree No. 28.124 of 17 May 2005. 
 148 CEPROBOL, information on line.  Available at:  http://www.ceprobol.gov.bo. 
 149 Supreme Decrees No. 24.946 of 4 February 1998 and No. 27.901 of 13 December 2004. 
 150 Bolivian Foreign Trade Institute, embassies and co nsulates to support exports, available at:  
http://www.ibce.org.bo/documentos/nuevoceprobol.htm. 
 151 Supreme Decrees No. 28.124 and No. 28.128, both of 17 May 2005. 
 152 IBCE and BOLINVEST, information on line.  Available at:  http://www.ibce.org.bo and 
http://www.bolinvest.org. WT/TPR/S/154 Trade Policy Review 
Page 64 
 
 
and it provides information on international trade opportunities as well as giving support to exporters, 
government officials involved in research and consu ltancy with regard to in ternational agreements, 
market access requirements, customs procedures and rules of origin. 
(vi) Measures applied in foreign markets 
147. During the period under review, no antidumpi ng or countervailing duty was imposed on 
Bolivian exports. 
148. The authorities have indicated the following as some of the measures affecting Bolivian 
exports: safeguards, registration requirements, prior licensing, tariffs, surcharges and variable duties, 
phytosanitary inspection fees, technical regulations , import restrictions on certain products, taxes 
imposed by Andean Community trade partners or ot her countries in the region.  In several cases, a 
ruling by the Andean Community’s Court of Justice was sought. 
149. As explained in Chapter II(4)(ii), Bolivia h as signed a number of bilateral, regional and 
multilateral agreements under which its exports receive  preferential treatment.  In addition, Bolivian 
exports are given non-reciprocal preferences under th e GSP of Bulgaria, Canada, the EU, Japan, New 
Zealand, Norway, the Russian Federation, Switzerland and the United States. 
150. Bolivia’s exports also benefit from the Un ited States ATPDEA, which has been extended 
until 31 December 2006.  Preferences for clothing and textiles came into force on 1 October 2002.153  
In 2004, Bolivian exports to the United States under the ATPDEA amounted to US$44.7 million (i.e., 17.2 per cent of all Bolivian exports to the United States). 
151. Since 1990, under the EU’s GSP, members of the Andean Community have been given a 
special GSP to promote the export of traditiona l products in compensation for combating drug 
production and trafficking.  All industrial goods in Chapters 25 to 97, with the exception of 
Chapter 93 (which covers arms) enter the EU free of  tariffs;  the agricultura l products covered are 
given a preference ranging from 15 to 100 per cent.  The current GSP should have expired on 31 December 2004 but has been extended until the e nd of 2005.  The EU has been working on the 
definition and regulations of the new 10-year GSP scheme, which will come into force for the period 
between its publication in the Official Journal a nd 31 December 2008 and will give preferential access 
to the European market for 6,600 tariff subheadings (6,372 at a zero per cent tariff and 228 with partial preferences).  In February 2005, 90 per cen t of the Andean Community’s exports to the EU 
were duty free.
154 
152. The Japanese GSP gives developing countries tota l tariff exemption for industrial goods and a 
preference of 20 per cent to 100 per cent for the ag ricultural products covere d until 2011.  Out of a 
total of 300 products exported by Bolivia during the period under review, 13 per cent entered Japan 
under the GSP. 
                                                      
 153 Andean Community, United States, availabl e at: http://www.comunidadandina.org/exterior/ 
usa.htm. 
 154 European Commission, The EU’s relations with the Andean Community, available at: 
http://europa.eu.int/ comm/external_relations/andean/intro/. Bolivia WT/TPR/S/154 
 Page 65 
 
 
(4) OTHER MEASURES AFFECTING PRODUCTION AND TRADE  
(i) Legal framework for business, including registration 
153. The following are the requirements for setting up a business in Bolivia: legal establishment of 
the company or registration of a subsidiary, re gistration with the National Tax Service (SIN), 
registration in the commercial register (RC), regist ration with the municipality in which the company 
is to be situated, and registration w ith the chamber of the relevant sector.155  A World Bank study in 
2001 showed that setting up a business in Bolivia was a long and costly process (the average cost of 
all services needed to set up a business was US$3,396).156  The authorities emphasize, however, that 
several reforms have been implemented to re duce the time taken to complete procedures. 
154. Private companies established in Bolivia must be in one of the following legal forms: general 
partnership (SC), partnership (SCS ), limited liability company (SRL), public limited company (SA), 
joint stock company (SCA), or semi-public company (SEM).157  The most commons forms in Bolivia 
are SC and SRL. 
155. An SA may be set up by means of a single act or by a public issue.  In the latter case, the issue 
programme must be approved by the Business Supe rintendency (an agency of the Ministry of 
Economic Development).  The establishment of an SA  requires at least three shareholders.  An SRL 
may not have more than 25 partners, who are liable up to the amount of their contributions.  An SCS, 
on the other hand, is composed of one or more pa rtners who contribute either in money, assets or 
both.  The shares in an SEM are owned by the Government and the private sector.  The rules 
governing the establishment of an SEM are the same as  those for an SA and they may be composed of 
two or more partners. 
156. All companies engaged in commercial ac tivities must be registered in the RC.158  Decree 
No. 14.379 of 25 February 1977 (C ommercial Code (CC)) defines those activities deemed to be 
commercial.  Until 2002, the RC was administered by the National Commercial Register Service 
(SENAREC).  Law No. 2.196 of 4 May 2001 privatized  the RC’s administration and determined that 
the concessionaire should have sole competence, except as regards supervision, regulations, the 
application of penalties and the settlement of disp utes, which would remain under the responsibility of 
the State.  The consortium for the Business Register , composed of the National Chamber of Industry, 
the National Chamber of Commerce, the Chambers of Industry, Commerce, Services, Tourism and 
Construction of Santa Cruz, was given the concession to administer the RC for a period of 20 years.159  
In October 2001, the consortium established a pr ivate non-profit-making lega l person (the Foundation 
for Business Development, FUNDE MPRESA) to administer the RC.160 
157. Companies acquire their legal status as soon as they are listed in the RC.  If an application for 
registration is rejected, an appeal may be made to  the Higher District Court of Justice in the legal 
domicile declared and its ruling is final.  Applica tions for registration or amendment of a company’s 
existing articles of incorporation to be included in  the RC necessitate the identity card number of the 
                                                      
 155 Bolivian Embassy in Argentina, information on line.  Available at:  
http://www.embajadadebolivia.com.ar. 
 156 World Bank (2001), pages 12 and 58. 
 157 Decree Law No. 14.379 of 25 February 1979 (Commercial Code). 
 158 Decree No. 14.379, Article 29. 
 159 Supreme Decree No. 26.335  of 29 September 2001. 
 160 FUNDEMPRESA, information on line.  Available at:  http://www.fundempresa.org.bo. WT/TPR/S/154 Trade Policy Review 
Page 66 
 
 
applicant.161  The fee for registration ranges from Bs 260 to Bs 540 for new companies and Bs 140 to 
Bs 315 for companies amending their articles.  Bolivia’s legislation does not lay down any 
requirement for registration in the RC other than proof of compliance with all the legal and tax 
requirements for setting up a company.  According to the authorities, in practice, registration in the 
RC requires one to five days depending on the form of the company. 
158. The CC specifies that all subsidiaries must be regi stered in the RC (Article 29).  Registration 
of a subsidiary in the RC requires the following documents :  (i) an instrument attesting to the desire to 
open a subsidiary;  (ii) permission from the municipal au thority;  (iii) inventory of the stocks of goods 
with which the subsidiary will begin business;  (iv) rental contract or title deeds for the premises in 
which the subsidiary will operate;  and (v) legal instrument containing the appropriation agreement 
and the trading current account.162 
159. Companies must register with the Chamber of Co mmerce in the sector in which they operate 
after they have been registered in the RC.163  The authorities indicate th at companies may join the 
sectoral chamber they consider appropriate and the rules governing this procedure depend on the 
chamber selected. 
160. Companies established abroad which conduct commercial activities in Bolivia on a regular 
basis must meet the following requirements:  (i) protocolize the deed setting up the company and its 
articles of incorporation with a Bolivian notary, toge ther with the decision by the competent board of 
directors to set up a subsidiary of the company or a permanent office;  (ii) establish a subsidiary or 
permanent office with a fixed domicile in Bolivia  (see above);  and (iii) prove that the capital 
allocated for operations in Bolivia has been fully pa id up (CC, article 416).  In order to register a 
foreign company not listed in the CC in Bolivia, the company’s representatives must request a judge 
to indicate the form of company that it most resemb les so that the appropriate registration procedures 
can be followed (CC, Article 418). 
161. All Bolivian or foreign enterprises, whether or not domiciled in Bolivia, which carry out 
taxable activities and are liable for any of the taxes laid down in Supreme Decree No. 26.077 of 
19 February 2001 must be registered in the Nuevo Padrón Nacional de Contribuyentes  – NPNC (new 
national roster of taxpayers) and obtain a taxation identification number (NIT).164  The SIN, under the 
Ministry of Finance, administers the NPNC. 
162. To be registered in the NPNC, it is necessary to present a legal document attesting to the legal 
status, a photocopy of an electricity bill, specifying the electricity meter for the premises declared as 
being the principal site of the company’s activity and an operating licence for inbound tourism if the 
company is engaged in this activity.165  The legal representatives of the company must submit a 
photocopy showing the origin of their mandate and an identity document.166  Registration is free of 
charge and requires approximately one hour after the documentation has been submitted. 
                                                      
 161 "Formulario de matrícula nueva o renovación de matrícula de comercio" and "Solicitud de registro 
de modificaciones a la estructura de una empres a".  Both documents are available on line at: 
http://www.fundempresa.org.bo. 
 162 Supreme Decree No. 15.191 of 15 December 1977 (Regulations of the Commercial Register). 
 163 Id., Article 48. 
 164 Legislative Resolution of the National Tax Service Division No. 10-0013-03 of 3 September 2003, 
Article 1. 
 165 Id., A rticle 6. 
 166 Ibid.   Bolivia WT/TPR/S/154 
 Page 67 
 
 
163. Law No. 1.402 of 19 October 1999 provides that every municipal government must draw up 
and administer a municipal roster of taxpayers fo r the purpose of administering municipal and other 
taxes, fees and business licence fees.  The authoriti es indicate that all companies wishing to operate 
legally must obtain a business licence or operating licence. 
164. All companies operating in Bolivia must pay certa in taxes.  The main taxes are the following: 
the IUE, amounting to 25 per cent;  the IT at 3 per cent;  and the IPBI, amounting to a maximum of 
Bs 3,700 depending on the value of the property.167 
165. For the IUE, it is assumed that when income is being earned from an economic activity in 
Bolivia and is transferred to beneficiaries outside  the country, the net profit (earnings minus selling 
costs minus costs paid to obtain and maintain the source of income) to be taxed corresponds to 50 per 
cent of the total amount remitted, including repatriati on of the original investment.  In such cases, a 
withholding tax of 25 per cent on the net taxable prof its also applies (see above).  For the purposes of 
paying the IT, the IUE may be deducted.  The dedu ction applies until the amount becomes equivalent 
to the amount of IUE paid during the previous peri od, after which the IT must be paid without any 
deduction (Article 77). 
166. There are also special taxes on the exploita tion of non-renewable natural resources (see 
Chapter IV(4)).  Law No. 2.646 of 1 April 2004 im poses a temporary tax on financial transactions for 
24 months (see Chapter IV(7)(iii)). 
(ii) Competition and pricing policy 
167. The Constitution does not allow any private monopolies and requires concessions for public 
services to be limited to 40 years (Article 134) ( see Chapter IV(5) and (6)).  The Constitution gives 
the Executive the right to establish a State fiscal monopoly of certain exports provided that Bolivia’s 
requirements so demand and subject to authori zation by Congress (Article 142).  The monopoly may 
only be granted by means of a special law.  The au thorities indicate that, up to July 2005, the State 
had not exercised this right. 
168. The level of competition in Bolivia appears to va ry depending on the sector.  In some sectors, 
there is a high level of competition (telecommunica tions and micro-loans) while others have a low 
level (the property market).168  The authorities indicate that there are differences among the regulated 
sectors, some of them apparently being highly concentrated (for example, sugar and cement). 
169. Bolivia does not have any special competiti on law to regulate the domestic market.  
Nevertheless, there are provisions on competiti on in some services and energy sectors.  Law 
No. 1.600 of 24 October 1994, amended by Law No . 2.066 of 11 April 2000, and regulated by 
Supreme Decrees No. 24.504 and No.24.505, both of  21 February 1997, cont ains general provisions 
on competition in the telecommunications, electricity, hydrocarbons, transport and water sectors.  Companies operating in these sectors may not conclude  contracts, be involved in agreements or 
concerted practices for the purpose of directly or indi rectly fixing prices, setting limits, dividing up or 
controlling production, markets or inputs or engaging  in any similar anti-competitive practice.  The 
superintendencies for the aforementioned sectors regulate prices and rates for each sector (see Chapter IV(5), (6), (7)(ii) and (7)(iv)).  The author ities indicate that, in July 2005, a draft general law 
on competition was being prepared. 
                                                     
 
 167 Supreme Decree No. 26.077 of 19 February 2001. 
 168 BuddeComm (2005); Micro Banking Competition Center, information on line, available at:  
http://www.international.bankakademie.de/Navigator/In ternacional_Projects/Show; and Muñoz, Jorge (1999). WT/TPR/S/154 Trade Policy Review 
Page 68 
 
 
170. Law No. 1.600 also prevents mergers whose objective is to achieve a dominant market 
position.  There are, however, exceptions subj ect to a reasoned decision by the Sectoral 
Superintendent (see below) if the mergers help to  develop production or the distribution of regulated 
goods and services, foster technical or economic progress, without leading to the elimination of 
competition in a substantial part of the production concerned. 
171. Law No. 1.182 (Investment Law, see Chapter II(3)) provides that companies engaged in 
production, domestic marketing, export, import and financial intermed iation may not "invoke 
protectionist privileges" from the State and th eir activities must be conducted under conditions of 
"economic efficiency" and competitiveness (Article 14). 
172. Law No. 1.600 set up the SIRESE, which is admi nistered by the General Superintendency and 
the Sectoral Superintendencies for Electricity , Hydrocarbons, Telecommunications, Transport and 
Basic Sanitation.  These superintendencies are sel f-governing bodies under public law with technical, 
administrative and economic autonomy.  The Ministry of Services and Public Works promotes and monitors the installation and operation of the SI RESE’s planning and investment, administration and 
internal control systems.
169  Both the General Superintendent and the Sectoral Superintendents are 
appointed by the President of the Republic from a list approved by two thirds of the votes in the 
Senate. 
173. Since 1999, the Hydrocarbons Superintendency (S H) has conducted seven investigations into 
possible anti-competitive practices, while the Te lecommunications Superintendency (SITTEL) has 
carried out one such investigation.  All the investiga tions by the SH were rela ted to possible violations 
of either Article 16 (collusion) or Article 17 (anti-competitive practices) of Law No. 1.600.170  T h e  
SITTEL’s investigation was to clarify whether there was compliance with the principal applicable to 
rates, which should reflect the cost of providing the service.171 
174. The prices of hydrocarbons-based products and electricity, and the rates for calls and 
transport, are controlled by means of ceiling prices (s ee Chapter IV(5), (6)(ii), (6)(iv) and (6)(v)).  The 
rates for transporting hydrocarbons and electric ity are also controlled (see Chapter IV(5)). 
175. The Andean Community also has regulations on competition among companies in its member 
countries and these have force of law in the Comm unity’s member countries.  Decision No. 608 of 
29 March 2005 specifies the acts which restrict fre e competition and defines the procedures for the 
settlement of disputes in one or more of the Co mmunity’s member countries whose practical effects 
are felt in one or more member countries (unless the origin and effect are in the same member 
country, in which case the national regulations apply)  or a dispute in a non-member country that 
affects two or more member countries.  Decision No. 608 also specifies that member countries may put before the Community’s Secretariat for its c onsideration exceptions to Decision No. 608 provided 
that the activities to be exempted yield significant benefits for the development of production in the 
member country, give preferential terms in depressed areas, do not eliminate competition in a 
substantial part of production and are in accordan ce with the Andean legal system.  The authorities 
indicate that the regulations allowing Decision No. 608 to be applied in Bolivia are being prepared.  
Decision No. 230 determines that dumping is an  anti-competitive practice in the Community. 
                                                     
 
 169 Supreme Decree No. 26.973 of 27 March 2003, Article 24, Law No. 1.178 of 20 July 1990 and 
information provided by the authorities.  
170 Resolutions of the Hydrocarbons Superintendency Nos. 351, 455, 523, 635, 513, 702 and 989 of 
17 May 2001, 24 July 2001, 24 September 2001, 4 December 2001, 11 June 2004, 2 August 2004 and 
15 October 2004 respectively.  
171 Regulatory Administrative Regulation No. 2.003/114 of 27 November 2003. Bolivia WT/TPR/S/154 
 Page 69 
 
 
176. Both Community member countries and co mpanies may submit complaints to the 
Community’s General Secretariat regarding anti- competitive practices.  The Secretariat has two 
months in which to carry out an investigation, af ter which the decision must be published in the form 
of a resolution within 10 working days followi ng the end of the investigation period.  The 
Community’s General Secretariat may issue a declar ation prohibiting practices that have been proven 
to restrict free competition and may also determine measures to eliminate or mitigate the distortions 
created by such practices.  The Community’s Ge neral Secretariat issued a resolution declaring 
inadmissible a request for an investigation into a lleged competition-distorting practices in the oilseeds 
sector made by the Government of Bolivia.172  In addition, the Community’s Court of Justice gave its 
interpretation of Decision No. 285, the predecesso r to Decision No. 608, in connection with a 
complaint by Telefónica Celular de Bolivia  – TELECEL (Bolivian Cellular Telephone Company) to 
SIRES.173  TELECEL filed the complaint following the appr oval of a tariff structure for long-distance 
calls, alleging discrimination and objecting that distortions were being caused that could limit, 
prevent, restrict or distort free competition in the sector. 
(iii) Incentives and other government support 
177. As far as production incentives are concerned, m easures focus on particular sectors and there 
are also some general government policy provis ions.  Law No. 2.064 of 3 April 2000 (Economic 
Revival Law) provides tax incentives for the financia l sector, the capital market, tourism, investment 
in agriculture, mining and industry, consumption and municipalities. 
178. In early 2005, the Consejo Nacional de Política Económica – CONAPE (National Economic 
Policy Council), which advises the Executive, set as a government policy objective the granting of 
incentives for forestry, reafforesta tion, agro-ecological production and enhancement of eco-efficient 
production.174  The authorities indicate that some measures on forestry certification and agro-
ecological production have been adopted but that they only concern the private sector. 
179. The transfer of portfolios, financial intermedia tion, insurance, pensions and share portfolios 
are exempt from IT and VAT.  All transactions involving publicly issued shares registered in the 
Stock Market Register and having "effects" in Bolivia are exempt from payment of VAT and IT 
(Article 37).  Law No. 2.064 also grants incentiv es to the agricultural sector through exemption from 
taxes on agricultural property for investment a nd land improvements when they are intended for 
agricultural production.175 
180. Law No. 2.064 states that property used exclusiv ely for hotels and part of the fixed assets of a 
hotel company is subject to the IPBI on the b asis of 50 per cent of the taxable value until 2010.176  
Law No. 2.074 of 14 April 2000 defines as export services the sale of tourism services outside Bolivia and accommodation services for foreigners in Bolivia .  Consequently, these tourism services pay zero 
VAT.
177 
181. The Centro de Investigación Agrícola Tropical  – CIAT (Tropical Agricultural Research 
Centre), which is administered by the Ministry  of Rural, Indigenous and Agricultural Affairs 
(MACIA), provides research servic es in agriculture and forestry and transfer of technology in the 
Department of Santa Cruz. 
                                                      
 172 Secretariat Resolution No. 389 of 8 May 2000. 
 173 Andean Community Court of Justice, case 87-IP-2002 of 13 November 2002, Quito. 
 174 CONAPE (2005). 
 175 Article 39. 
 176 Ibid. 
 177 Supreme Decree No. 26.077 of 19 February 2001, Article 11. WT/TPR/S/154 Trade Policy Review 
Page 70 
 
 
182. The SIBTA, set up by Supreme Decree No. 25.717 of 30 March 2000 and administered by the 
MACIA, finances technological innovation projects at various stages in the agricultural, forestry and 
agro-industrial chains throughout Bolivia.178  The SIBTA manages the Fondo Competitivo de 
Innovación Tecnológica  – FCIT (Technological Innovation Competitive Fund), which is financed 
through contributions from international orga nizations, foreign governments and the Bolivian 
government sector.  In early 2005, the SIBTA had financed 97 projects. 
183. There are also incentives for regional inv estment.  Law No. 876 of 25 April 1986 and 
Law No. 877 of 2 May 1986 (as amended) provide incentives for investment in the Departments of Oruro and Potosí respectively.  These Laws are regulated by Supreme Decrees No. 25.305 of 
18 February 1999 and No. 28.037 of 7 March 2005.  The latter modified the incentives that existed 
previously and determined exemption from the fo llowing taxes for new industrial or manufacturing 
firms setting up in the Departments of Oruro or Potosí: the IUE for 10 years provided that the full amount of the capital thus freed is reinvested in  capital goods and in creating jobs in the same 
production unit;  the IT for 10 years;  tariffs and VAT (except for import services provided) on 
imported machinery to be used solely for setting up  and operating the new industry during the start-up 
period;  import tariffs on raw materials that undergo physical or chemical processing and are used to 
produce goods in the new industry provided that the raw materials are not produced in Bolivia, for a 
period of 10 years;  and property tax for a maximum period of three years, at the discretion of the competent municipal authorities. 
184. Law No. 2.685 of 13 May 2004 (Economic Promotion Law for El Alto), regulated by 
Supreme Decree No. 27.945 of 20 December 2004, gi ves tax incentives to companies which set up in 
El Alto and create new jobs.
179  The incentives are for production an d are not available for the supply 
of services or trade.180  Companies benefiting from these incentiv es must keep all their assets within 
the municipality of El Alto for at least 20 years.  In order to be eligible for the incentives provided by 
the Law, the companies must show that they are pr operly registered (National Register of Taxpayers, 
articles of incorporation of the company, munici pal roster, RC) and submit an investment plan 
showing the investments and the number of perm anent jobs it is hoped to create, as well as an 
environmental impact assessment.  Companies have up  to two years to make the investment pledged, 
otherwise the resolution authorizing th e incentives automatically becomes void. 
185. The incentives given in the Economic Promotion Law for of El Alto are the following: 
exemption from IUE for a period of 10 years provide d that the full amount of tax thus freed is 
reinvested during the next financial year in capita l goods and/or the creation of jobs;  exemption from 
tariffs and VAT during the start-up period or expa nsion period, which may not exceed two years in 
the case of imports of machinery not produced in Bolivia;  exemption from IPBI for a period not exceeding three years for the operation of industries and hotels;  reduced municipal taxes if the activities improve the city or district and a single payment of 3 per cent on imports of less than 
US$3,000 from the El Alto free zone. 
186. The technical assistance service (SAT) in the Ministry of Economic Development assists 
small and medium enterprises (SMEs).  The support c onsists of information on training and technical 
assistance programmes, and subsidies.
181  The subsidies are given to SMEs in the form of bonds or 
refunds, which can be used to finance training ser vices in professional training institutes.  Subsidies 
may be granted in four ways:  directly (the co mpany selects the training institute whose services are 
                                                      
 178 Bolivian Agricultural Technology Scheme, information on line.  Available at:  
http://www.sibte.gov.bo. 
 179 International Bureau of Fiscal Documentation (2004). 
 180 Supreme Decree No. 27.945. 
 181 Technical assistance scheme, information on line.  Available at:  http://www.sat.gov.bo. Bolivia WT/TPR/S/154 
 Page 71 
 
 
financed by the subsidy), partially (the company negotiates the quality and price of the service to be 
subsidized), retroactively (to ensu re that the training and technical  assistance enterprises maintain the 
quality of the service provided) or in a decreasing am ount (the small or medium enterprise bears an 
increasing amount of the cost of the service).  The authorities indicate that SAT financing comes 
mainly from the Inter-American Developmen t Bank and is expected to end soon. 
187. Law No. 2.209 of 8 June 2001 set up the National Science, Technology and Innovation 
Secretariat, which is responsible for implementin g all aspects of the National Science, Technology 
and Innovation Plan.  The latter contains a numbe r of initiatives to promote the development of 
technological innovation activities in Bolivia, in pa rticular, fiscal incentives for expenditure on 
research and innovation in companies.182  For this purpose, Law No. 2.209 provides that fiscal 
incentive policies should be implemented in order to  develop scientific and technological research and 
innovation (Article 33).  During the period 1999-2002, average spending on research and 
development was 0.3 per cent of the GDP;  pe r capita spending on research and development, 
however, fell over the same period to US$2.7.  The authorities indicate that, in July 2005, in practice there were no government policies on development and scientific research in Bolivia. 
188. Bolivia notified the Committee on Trade-Related Investment Measures that Article 24 of Law 
No. 1.689 of 30 April 1996 (Hydrocarbons Law) restri cted the volume of sales of hydrocarbons in the 
amounts required to meet domestic natural gas consumption and the export commitments undertaken 
by the YPFB prior to the entry into for ce of Law No. 1.689 (see also Chapter IV(5)).
183  In this 
notification, Bolivia stated that the Article might be inconsistent with the Illustrative List in the 
Agreement on Trade-Related Investment Measures (TRI MS).  Bolivia subsequently notified that it did 
not apply any TRIMS that were not in conformity with the Agreement.184 
189. Bolivia has notified the Committee on Subsidi es and Countervailing Measures (SCM) that 
applies no measures that need to be notified unde r Article XVI.1 of the GATT 1994 (subsidies) and 
Article 25 of the SCM Agreement (notifications).185  Bolivia subsequently notified that it did not grant 
any subsidies within the meaning of  Article 1.1 of the SCM Agreement.186 
(iv) State trading, government-owned enterprises and privatization 
190. Bolivia has made three notifications to the WT O within the meaning of Article XVII of the 
GATT 1994 (on State-trading enterprises).187  The first, in 1999, indicated that no State-owned 
enterprises engaged in import or export.  In th e same notification, Bolivia stated that the Corporación 
Minera de Bolivia  – COMIBOL (Bolivian Mining Corporation) and the Banco Minero (Mining Bank) 
had ceased operating as State-owned enterprises and a ll the marketing activities of the YPFB had been 
transferred to private enterprises.  The subsequent two notifications stated that Bolivia did not have 
any State-trading enterprises. 
191. Bolivia launched a privatization programme in 1992 and a capitalization programme in 1994 
under which all the largest Bolivian State-owned en terprises were transfer red to private sector 
                                                      
 182 General Division of Science and Technology, Ministry of Education, Vice-Ministry of Education 
(2003).  
183 WTO document G/ TRMS/N/1/BOL/1 of 4 August 1998. 
 184 WTO document G/TRIMS/N/1/BOL/1/Add.1 of 17 May 1999. 
 185 WTO document G/SCM/N/3/BOL of 6 December 1995. 
 186 WTO documents OMC G/SCM/N/16/BOL of 7 April 1998, G/SCM/N/38/BOL of 20 January 2000 
and G/SCM/N/48/BOL of 19 July 2000. 
 187 WTO documents G/STR/N/5/BOL of 28 September 1999, G/STR/N/6/BOL of 9 May 2000 and 
G/STR/N/7/BOL of 4 April 2001. WT/TPR/S/154 Trade Policy Review 
Page 72 
 
 
control.188  The State retained a minority holding in th e companies capitalized and it is not envisaged 
that the control of these enterprises should return to the State.  During the period under review, no large State-owned enterprises were capitalized.  Under the agreements on capitalization of State-
owned enterprises, the private operators undertook to implement investment programmes while the 
State handed over the existing assets of the enterp rises and any operating permits and exploitation 
rights.  Investment in the major capitalized en terprises fell sharply in 2000, since when it has 
remained stable (see Table III.9). 
Table III.9 
Investment, 1999-2002 
(US$million) 
 1999 2000 2001 2002 Total 
Major enterprises capitalized        
Empresa Nacional de Telecomuni caciones 143.7 61.5 73.1 25.7 311.1 
Corani 15.8 2.4 2.9 2.7 32.8 
Guaracachi 30.3 30.3 .. .. 39.9 
Valle Hermoso 3.8 8.5 4.6 3.0 45.0 
Ferroviaria Andina 1.3 2.5 2.5 2.9 13.2 
Ferroviaria Oriental 9.2 6.8 7.8 5.3 33.4 
Líneas Aéreas Bolivianas 1.7 1.9 2.2 .. 36.7 
Petrolera Andina 129.6 82.5 101.3 114.8 199.5 
Petrolera Chaco 89.7 61.3 53.2 3.9 237.2 
Transredes 116.6 93.4 118.1 167.0 164.6 
Total 541.7 320.8 365.7 325.3 1,113.4 
.. Not available. 
Note: All the data are those reported by th e companies themselves with the exception of Corani, for which data in the evaluatio n report 
by León & Associates on Corani’s investment commitmen ts were used.  No data are available for 2003-2004. 
 
Source:  Office of the Presidential Delegate for the Review and Improvement of Ca pitalization (2003), "L as Capitalizadas 
en Cifras, Ejecución de Inversiones". 
 
192. Two studies show that the privatization/capitaliza tion of State-trading enterprises has yielded 
mixed results in Bolivia.  A study by the Inte r-American Development Bank found that there was 
empirical evidence that, up to 2003, the way in wh ich the enterprises had been privatized (total 
privatization or capitalization) had not had any si gnificant impact on their profitability although in 
general the efficiency of their operations had improved.189  In addition, a study by the Delegation for 
the Review and Improvement of Capitalization de termined that privatization/capitalization had 
positive effects and raised future challenges.190  Among the positive effects of capitalization are an 
increase in the taxes paid, the generation of some in direct jobs and development of rural telephony.  
Some of the outstanding challenges include the limited performance of pension fund management 
companies (AFPS), the incorporation of the Bolivian business sphere into the privatization/capitalization process, the drafting of a law on corporate governance for capitalized 
companies, better supervision of the companies and the AFPS, and the State’s role in exploiting the 
hydrocarbons sector. 
193. In early 2005, the State controlled the Corporación de las Fuerzas Armadas para el 
Desarrollo Nacional (Armed Forces Corporation for National Development) and the Bolivian Mining 
Corporation.  The former is a holding engaged in  manufacturing, agriculture and mining, under the 
responsibility of the Ministry of Defence.
191  The latter is involved in few production activities 
(see Chapter IV(3)).  The metal company Vinto,  which specializes in smelting tin, was fully 
privatized in 2000 and became the Allied Deals Estaño Vinto S.A.  The YPFB and ENDE were 
transferred to private control between 1994 a nd 1996 and the YPFB remains the sole State 
                                                      
 188 TPR of Bolivia (1999). 
 189 Garron, M., Machicado, C. G. and Capra, K. (2003). 
 190 Presidential Delegation for the Review and Improvement of Capitalization (2004). 
 191 Fundación Libertad, Democracia y Desarrollo  (2004). Bolivia WT/TPR/S/154 
 Page 73 
 
 
representative in the administration and negotiation of  joint venture contracts for exploitation of the 
hydrocarbons sector (see Chapter IV(5) and (6)). 
194. There have been two privatization initiatives in  Bolivia’s water system.  The concession for 
supplying water in La Paz-El Alto was granted to Aguas de Illimani  in 1997.  In 1999, the city of 
Cochabamba granted the water supply concession to Aguas del Tunari192;  the concession contract was 
cancelled five months after being granted because of discontent among the city’s population. 
195. In Bolivia, there is no general legislation on the rights and responsibilities of State-owned 
enterprises.  Companies which were not capitalized or  privatized do not have any significant impact 
on the State’s revenue and usually show a budgetary balance.193  In 2002, the share of State-owned 
enterprises in total spending and revenue in the non-financial public syst em was 13 and 15 per cent 
respectively.194 
(v) Government procurement195 
196. From 1999 to March 2005, State-owned entities, including the central government and 
municipalities, awarded government contracts am ounting to Bs 4.3 billion (US$531.8 million).196  Of 
these, public works contracts accounted  for 55 per cent of the total value of government procurement.  
According to the official figures (information pr ovided to the system), government procurement 
increased sharply between 2000 and 2004.197  The authorities explain that this partly reflects the fact 
that in the past there were problems in obtaining  data and that in 2004 some 70 per cent of the 
information required was available.  In 2004, g overnment procurement corresponded to 2.4 per cent 
of  GDP. 
197. Bolivia is not party to the WTO’s Plurilatera l Agreement on Government Procurement.  In 
2000, it made a statement before the Working Group on Transparency in Government Procurement,198  
in which it indicated that there was no need for th e establishment of an enquiry point on government 
procurement in Bolivia as all the relevant inform ation was available in official publications. 
198. Bolivia has a new government procurement regime.  Supreme Decree No. 27.328 of 
31 January 2004 (DSCP) establishes the principles, rules and criteria applicable to government 
procurement procedures in Bolivia.  The DCSP was supplemented and ad apted through Supreme 
Decrees Nos. 27.877 of 26 November 2004, 28.136  of 16 May 2005 and 28.271 of 28 July 2005 and 
is implemented by its regulati ons, approved by Ministerial Resolution No. 110 of 15 March 2004.  
The DSCP and its regulations lay down the genera l principles and special procedures for purchasing 
and procurement throughout the government sector, with no exceptions.199 
199. The DSCP repeals all the elements of Supreme Decree No. 25.964, which previously covered 
government procurement.  The new regulations we re adopted in order to facilitate government 
                                                      
 192 Clarke, R.G., Kosec, K. and Wallsten, S. (2004), pages 26, 40 and 41. 
 193 Public Spending Review Commission (2004), page 2. 
 194  Ibid.    
 195 All the figures in United States dollars were calculated using the exchange rate of Bs 1/US$0.12367 
prevailing on 15 April 2005.  
196 Government procurement information system, information on line. Available at:  
http://www.sicoes.gov.bo.  The report consulted covers  government procurement between 1 January 1999 and 
29 March 2005.  
197 Government procurement information system, information on line.  Available at:  
http://www.sicoes. gov.bo/ nuevosicoes/contrat/indexcont.htm. 
 198 WTO document WT/WGTGP/M/10 of 1 August 2000. 
 199 Regulations of Supreme Decree No. 27.320, Article 1, and Law No. 1.178, Articles 3 and 4. WT/TPR/S/154 Trade Policy Review 
Page 74 
 
 
procurement and make it more flexible, promote effi ciency and transparency in public administration, 
administer State resources properly and dete rmine the principles governing such procedures.200  
Supreme Decree No. 25.964 of 21 October 2001 repeal s the provisions that governed the government 
procurement regime (Supreme Resolution No . 216.145 of 3 August 1995, Supreme Decree 
No. 23.981 of 20 March 1995 and Secretariat Reso lutions Nos. 387, 388 and 389 of 26 April 1996). 
200. Municipalities with a population of  over 15,000 apply the rules laid down in the DSCP and its 
regulations.  Municipalities with a population of under 15,000 authorize special government 
procurement clauses.  These clauses are specified in the regulations of the DSCP’s amended text 
(Articles 118 to 131). 
201. The Dirección General de Sistemas Administrativos  – DGSA (General Division of 
Administrative Systems), set up under Supreme D ecree No. 27.230 of 31 October 2003 and directly 
answerable to the Minister for Finance, is res ponsible for proposing policies and determining rules on 
government procurement in Bolivia.  The DGSA also  issues basic procurement documents for this 
purpose and ensures compliance with them.  In a ddition, it is empowered to administer the 
government procurement information system (SICOES), including its Internet page, so as to provide 
information, follow up the procedures and promote transparency in procurement.201 
202. In Bolivia, government procurement is decentr alized in each government body.  The DSCP 
requires that all agencies involved in  government procurement should have a Máxima Autoridad 
Ejecutiva  – MAE (Higher Executive Authority) in char ge of government procurement from initiation 
of the procedure until the contract is awarded.  In practice, all government bodies have an MAE 
irrespective of whether or not they are involve d in procurement.  The MAE is responsible, inter alia , 
for approving the annual procurement programme, transmitting it to the Ministry of Finance, 
appointing the authority responsible for the proc urement process, appointing the members of the 
committee that takes delivery of the goods or servi ces procured and appointing a person responsible 
for minor government procurement (see below).  The authority responsible for the procurement 
process also appoints an assessment committee whose r esponsibility it is to analyse and evaluate the 
legal and administrative documents, assess and classi fy the technical and financial proposals (where 
appropriate) and draw up a report recommending the award of the contract. 
203. The DSCP establishes three forms of governme nt procurement for works, goods and general 
services: a public bidding procedure, minor proc urement through a price comparison, and selective 
procurement.  A number of different forms of pub lic bidding are used depending on the value of the 
contract (Table III.10).  The authorities explain that, in practice, over 50 per cent of procurement is 
through public bidding and is for public works. 
Table III.10 
Public bidding by type of call for tender 
Type of public bidding   Figures in Bs Equivalent in US$ 
National procurement Goods, general services and public works 160,001–8,000,000 19,787.48–989,368 
National public bidding    
 Goods 8,000,001–UFV 15,000,000 989,368–2,040,572 
  General services 160,001–UFV 15,000,000 18,787–2,040,572 
  Public works 160,001–UFV 40,000,000 19,787–5,441,524 
International public bidding     
  Goods and general services Over UFV 15,000,000 Over 2,040,572 
  Public works Over UFV 40,000,000 Over 5,441,524 
Note: The Unidad de Fomento de Vivienda – UFV (Housing Promotion Unit) is equivalent to Bs 1.1. 
Source:  Supreme Decree No. 27.328 and its regulations. 
                                                      
 200 Supreme Decree No. 27.328 (amende d by Supreme Decree No. 28.271). 
 201 Information on line.  Available at:  http://www.sicoes.gov.bo. Bolivia WT/TPR/S/154 
 Page 75 
 
 
 
204. Insurance procurement is through minor procurement by comparing prices (up to Bs 60,000, 
some US$7,420) and public bidding in other cases.  Insurance procurement takes into account the amount of the estimated premium required to take out  the insurance and not the amount to be insured. 
205. Public calls to tender for national procuremen t of Bs 160,001 up to Bs 8 million only go to 
Bolivian companies or companies legally establishe d in Bolivia and marketing Bolivian goods, unless 
the goods to be procured are not produced in Bo livia, in which case a call to tender allowing the 
participation of foreign suppliers is sent out.
202  The authorities indicate that, in July 2005, there were 
no rules prohibiting trade relations with any country th at affected government procurement in Bolivia.  
Foreign companies, defined as those legally establis hed outside Bolivia, may ta ke part in government 
procurement involving contracts of over Bs 8 m illion through a national or international public 
bidding procedure (see above) and, if they are awarded the contract, they must authorize a legal representative domiciled in Bolivia prior to signing the contract.
203  The DSCP does not guarantee 
national treatment to foreign compan ies for government procurement. 
206. Government contracts awarded through a p ublic bidding procedure, either national 
procurement, national public bidding or interna tional public bidding, are awarded according to the 
lowest price criterion subject to confirmation of th e experience and financial capacity to fulfil the 
contract.  The determination of the price is subject to a national preference regime.204  Bids in public 
bidding procedures for national procurement where products contain 50 per cen t or more of national 
components (inputs and labour) are given a 10 per cent preference margin.  In the case of bids in 
public bidding procedures through either national or  international public calls for tender, goods of 
Bolivian manufacture that have a national compone nt of between 30 and 50 per cent are given a 
15 per cent preference margin.  If the Bolivian content is  51 per cent or more, the preference margin is 
25 per cent. 
207. As at June 2005, for public works contracts,  bids by companies the majority of whose 
shareholders were Bolivian were given a 10 per cent preference margin.205  In the case of joint 
ventures between Bolivian and foreign enterprises, a marg in of Bs 0.9 to Bs 1 applies in proportion to 
Bolivian participation in the venture.206  The DSCP imposes additional criteria for granting 
preferences based on operating and maintenance co sts for the machinery and equipment and the 
availability of technical services and supply of spare parts.207  The authorities indicate that, in practice, 
these criteria are not very often applied. 
208. The DSCP stipulates that all forms of government procurement must include terms that allow 
the participation of non-profit-making civil asso ciations, micro-enterprises and small businesses in 
contracts of up to Bs 1 million (US$123,671), and cooperatives.  For SMEs, the experience 
requirements and guarantees of probity and fulfilment of the contract are less stringent than for other companies (Article 48).  The DSCP provides that the Ministries of Finance, Economic Development 
and Rural and Agricultural Affairs shall take measures to use government procurement in the 
domestic production sector (First Additional Provision).  The authorities indicate that, as at July 2005, 
                                                     
 
 202 Supreme Decree No. 27.328 , Article 19 (amended by Supreme Decree No. 28.271). 
 203 Regulations of Supreme D ecree No. 27.328 , Article 15.  
 204 Supreme Decree No. 27.328 , Article 25 (amended by Supreme Decree No. 28.271). 
 205 Supreme Decree No. 27.328, Article 25.  
 206 Ibid.  A joint venture is a contract between two parties for the purpose of carrying out one or more 
temporary operations using joint contributions (Commercial Code, Article 365). 
 207 The operating costs are the production costs, whereas the availability of technical services refers to 
the accessibility of produ cers to repair servic es for their own mach inery and equipment. WT/TPR/S/154 Trade Policy Review 
Page 76 
 
 
there was a government policy to promote the development of SMEs through government 
procurement. 
209. Contracts for works, goods and general servi ces may also be awarded using the minor 
procurement through price comparison procedure in  which both Bolivian and foreign suppliers may 
participate.  This procedure is used for contracts amounting to a maximum of Bs 160,000 
(US$19,787).  It compares prices in at least three prop osals, awarding the contract to the lowest price, 
provided that it meets the technical, le gal and administrative requirements. 
210. The MAE may engage in exceptional procurement without any limit on the value of the 
contract and without recourse to public bidding, pricing or proposals solely in the following cases: 
procurement for State-owned enterprises where th ere are no legally established commercial firms in 
Bolivia, including firms with foreign capital, whic h can supply the goods or works or provide the 
general services (not including consultancy) require d for reasons of national emergency, where it is 
necessary to engage third parties as the original co ntract was not fulfilled and the contract cannot be 
postponed, where there is a single supplier of the g oods, works or general service, for procuring arms 
for the armed forces, for acquiring works of art,  for subscriptions to periodicals, reviews and 
specialized publications, for purchasing fresh and perishable foodstuffs and for buying selected 
livestock.208  The authorities state that there is no fo rmal procedure for determining in advance 
whether private firms are able to provide the goods or service. 
211. For the procurement of consultancy services,  the DSCP specifies several methods of 
selection, but quality and cost is the method usually used.  There are four ways of awarding 
procurement contracts:  by comparing proposals (from Bs 200,001 (US$24,734 )), minor procurement 
from consulting firms (up to Bs 200,000 (US$24,7 34)), exceptional consultancy services (with no 
limit on the amount) and individual consultancy ser vices (up to Bs 400,000 (US$49,468)).  Under the 
quality and cost method, proposals are assessed according to a weighted average between the 
technical proposal (85 per cent) and the economic proposal (15 per cent). 
212. Foreign companies that wish to submit bids for government consultancy contracts may only 
do so in association with Bolivian firms, accordi ng to percentages negotiated between the Bolivian 
and the foreign firm.209  In such cases, a preference of Bs 0.9 to 1 applies (see above).  Bidders usually 
have 15 days in which to submit bids as of the date of publication, while the assessment committee 
has up to 10 days to issue a final recommendation;  the authority responsible for the procurement process has up to three days to issue the resoluti on awarding the contract.  Proposals for procurement 
of consultancy services must include the same doc uments as those for bids for works, goods and 
general services (see above). 
213. It is the responsibility of the Ministry of Finance to gradually implement and administer the 
public register of providers of consultancy services, construction of public works, insurance, supply of 
goods, and provision of general services (as at Sept ember 2005, this register did not yet exist). 
214. Any disputes during the procurement process may be resolved through arbitration and the 
contracting agency must provide for this possibility in a clause in the contract.
210  The contracting 
agency may reject or dismiss bids in accordance with the provisions of the DSCP (Articles 27 
                                                      
 208 Supreme Decree No. 27.328, Article 33. 
 209 Regulations of Supreme D ecree No. 27.328 , Article 15. 
 210 Supreme Decree No. 27.328, Article 56. Bolivia WT/TPR/S/154 
 Page 77 
 
 
and 41).  The administrative resolution awarding th e contract must show the reasons for rejecting 
and/or dismissing unsuccessful bids.211 
215. Arbitration procedures are covered by La w No. 1.770 of 10 March 1997 (Arbitration and 
Conciliation Law).  Pursuant to this Law, the Arbitr ation Tribunal rules on disputes put to arbitration.  
Its ruling is final, not subject to appeal and must  be complied with by the parties.  The Economic 
Complementarity Agreement between Bolivia and Mexico contains clauses on government 
procurement which provide for national treatment for contractors in both countries (Article 14). 
(vi) Intellectual property rights 
(a) Legal framework 
216. Bolivia is a member of the World Intellectua l Property Organization (WIPO) and has signed a 
number of intellectual property agreements (Table  III.11).  Its intellectual property regime also 
includes domestic legislation and decisions by the Andean Community (Table III.12).  The Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS) has applied in Bolivia 
since April 1999.  Bolivia has notified its intellectual property legislation to the WTO and it was examined by the TRIPS Council in April 2001;  a nu mber of delegations posed questions to Bolivia 
on issues such as the granting of compulsory licen ces, draft intellectual pr operty legislation and 
enforcement of intellectual property rights, to which Bolivia responded.
212  Bolivia has co-sponsored 
several communications to the WTO regarding the Convention on Biological Diversity, protection of traditional knowledge a nd patentable matter.
213 
Table III.11 
International agreements ratified by Bolivia 
International agreement Ratifying legi slation and date of entry into force 
Paris Convention for the Protection of Industrial Property Law No. 1.482 of 6 April 1993 
TRIPS Agreement  Law No. 1.637 of 5 July 1995 
Rome Convention for the Protection of Performers, Producers of 
Phonograms and Broadcasting Organizations Law No. 1.476 of 2 April 1993 
Berne Convention for the Protection of Literary a nd Artistic Works Law No. 1.439 of 8 February 1993 
International Convention for the Prot ection of New Varieties of Plants 
(UPOV Convention) Law No. 1.968 of 24 March 1999 
Nairobi Treaty on the Protection of the Olympic Sy mbol Supreme Decree No. 20.521 of 21 September 1984 
Source: WTO Secretariat. 
 
217. The National Intellectual Property Service (SE NAPI), created by Supreme Decree No. 25.159 
of 4 September 1998, is responsible for administering intellectual property in Bolivia.  It deals, inter 
alia, with registration of intellectual property rights, objections to registration, changes in ownership 
of rights, transfers and granting of licences, as well as ensuring compliance with the legal provisions 
and international agreements on in tellectual property.  Bolivia has notified the WTO that the SENAPI 
is its contact point for intellectual property rights.214 
218. On 1 February 2001, a draft code of intell ectual property rights of general scope was put 
before the Bolivian Congress.  Acco rding to the Bolivian authorities,  once approved, this code will 
                                                      
 211 Regulations of Supreme D ecree No. 27.328 , Article 35. 
 212 WTO documents IP/Q/BOL/1 and IP/Q2/BOL/1 of 13 February 2002. 
 213 WTO documents IP/C/W/403 of 24 June 2003; IP/C/W/429/Rev.1 of 27 September 2004; 
IP/C/W/429/Rev.1/Add.1 of 14 Octo ber 2004; IP/C/W/438 of 10 D ecember 2004; and IP/C/W/442 of 
18 March 2005.  
214 WTO document IP/N/3/Rev.4 of 22 June 2000. WT/TPR/S/154 Trade Policy Review 
Page 78 
 
 
strengthen the legislative framework for intellectua l property rights.  Its provisions are intended to 
raise the level of intellectual property protectio n and simplify judicial procedures relating to 
intellectual property rights.  In the chapter on copyright it is proposed, inter alia , to extend the scope 
of exclusive rights.215 
Table III.12 
Domestic or regional legislation on the pr otection of intellectual property rights, 2005 
Legal text/scope Term Comments, limitations and exclusions 
Patents   
Decision 291 of the Andean Community 
(Regime for the common treatment of foreign capital and trademarks, patents, licensing 
agreements and royalties), 1991;  Decision 344 
of the Andean Community (Common regime on industrial property), 1993;  Decision 391 
(Common regime on access to genetic 
resources), 1996;  Decisions of the Andean Community 423, of 1997, and 448, of 1998; 
Decision 486 of the Andean Community 
(Common industrial property regime), 2000; Law on industrial privileges, 1916;  Supreme 
Decrees No. 4.320 of 1956;  No. 20.793 of 
1985;  No. 24.581 of 1997;  and No. 25.159 of 1998.  
Scope: All inventions, products or processes, 
that are new or involve an inventive step and are industrially applicable. 20 years as of the date of filing an 
application. Plants, animals and essentially biological 
processes are not patentable. Patents are not granted for inventions 
contrary to public morality or for 
diagnostic, therapeutic or surgical methods for the treatment of human beings or 
animals. 
A compulsory licence may be granted four years after the application for a patent or 
three years after the grant of a patent, but 
only where the patent has not been worked or where the working of an invention has been suspended for more than a year 
(Articles 59 and 60 of Decision  486 of the 
Andean Community). 
Industrial designs   
Decision 486 of the Andean Community;  Law 
on industrial privileges. 
 
Scope: Only industrial designs that are new may be registered.  An industrial design is 
defined as the particular appearance of a 
product resulting from any arrangement of lines or combination of colours, or any two-
dimensional or three-dimensional outward 
shape, line, outline, conf iguration, texture or 
material that does not alter the intended 
purpose or use of the said product. 10 years as of the date of submitting an 
application. It is not permitted to register industrial 
designs which are: 
(a) contrary to morality or public order; 
(b) whose appearance is entirely dictated by considerations of technical character or 
by the performance of a technical function, 
without entailing any arbitrary involvement of the designer (Articles 113, 
129, 116(b) and 128 of Decision  486 of 
the Andean Community). 
Utility models    
Decision 486 of the Andean Community;  Law 
on industrial privileges. 
 Scope: Any new shape, configuration or 
arrangement of components of any device, 
tool, implement, mechanism or other object, or any other part thereof, that makes for improved or different operation, use or manufacture of 
the object incorporating it, or which endows it 
with any usefulness, advantage or technical effect that it did not previously have. 10 years as of the date of submitting an 
application. Utility models are protected by means of 
patents. 
 Three-dimensional works, architectural 
works and objects that are of solely 
aesthetic character shall not be considered utility models. Procedures and materials excluded from 
patent protection may not be the subject of 
utility model patents. 
Layout-designs of integrated circuits   
Decision 486 of the Andean Community. 
Scope: Protection extends exclusively to 
original designs. 
 10 years as of the last day of the year in 
which the first commercial exploitation 
occurred or as of the date of application 
for registration. It is not permitted to register a layout-
design commercially exploited anywhere 
in the world for over two years. 
The rights conferred by registration of the layout-design may only be asserted against 
acts performed for industrial or 
commercial purposes. 
Table III.12 (cont'd) 
                                                      
 215 WTO document IP/Q/BOL/1, IP/Q2/BOL/1, IP/Q3/BOL/1, IP/Q4/BOL/1 of 13 February 2002.  Bolivia WT/TPR/S/154 
 Page 79 
 
 
Legal text/scope Term Comments, limitations and exclusions 
Marks    
General Law on marks and industrial and trade 
registration;  Decisions 344 and 486 of the Andean Community. 
 
Scope: Signs capable of distinguishing goods or services on the market and signs that are 
susceptible of graphic representation.  Well-
known marks and trade names are also protected.  Protection extends to services and 
domain names. 10 years, renewable for successive 10-
year periods.  
In general, use of a mark is compulsory.  
If the mark is not used, it may be cancelled after the owner has not used it 
during at least the three consecutive 
years preceding the date on which cancellation action was initiated. It is not permitted to register as marks 
signs which: (a) are liable to deceive business circles or 
the public; 
(b) consist of a national or foreign geographical indication liable to cause 
confusion with respect to the goods or 
services to which it applies; (c) reproduce, imitate or include the 
denomination of a protected plant variety;  
or 
  (d) are contrary to law, morality, public 
policy or proper practice. 
A registered mark may be assigned or transferred with the intangible assets of a 
business. 
Geographical indications   
Decisions 344 and 486 of the Andean 
Community. 
 Scope: Signs used to designate a product originating in a country, region, or particular 
area, the quality, reputation or other 
characteristics of which are exclusively or essentially due to the geographical 
environment in which it was produced, 
including both natural and human factors.  Geographical indications for wines or spirits 
are protected pursuant to Articles 215-220 of 
Decision 486 of the Andean Community and "singani" (traditional Bolivian beverage) 
pursuant to Law No. 1.334 of 4 May 1992 and 
Supreme Decree No. 21.984 of 13 May 1988. Not specified, although the validity of 
the protection granted requires that the 
conditions under which it was granted persist. Signs that are liable to mislead the public 
as to the geographical origin, nature, 
method of manufacture or quality, reputation or other characteristics of the products concerned, or that are contrary 
to proper practice or public policy, may 
not be registered as geographical indications. 
Business secrets   
Decision 486 of the Andean Community. 
 Scope: Undisclosed information that is 
legitimately held by a natural person or legal 
entity, that may be used in any productive, industrial or commercial activity,  and that is 
capable of being passed on to a third party. 
  Not specified. Information constituting a business secret 
may relate to the nature, characteristics or purpose of goods, to production methods 
or processes or to means or methods of 
distributing or marketing goods or providing services. 
Any person who, by reason of his work, 
employment, responsibility, position, professional activity or business relations 
has access to a business secret of whose 
confidentiality he has been warned, shall abstain from using or disclosing it or from revealing it without just cause and without 
the consent of the person who possesses 
the said secret or its authorized user. 
Copyright and related rights   
Decision 351 of the Andean Community 
(Common provisions on copyright and neighbouring rights), 1993;  Copyright Law 
No. 1.322, 1992;  Law on the Cinema 
No. 1.302, 1991;  Telecommunications Law No. 1.632, 1995;  Secretariat Resolution 
No. 042/96;  Criminal Code and Law 
No. 1.768, 1997;  Printing Law, 1925;   Supreme Decrees No. 23.493 of 1993, 
No. 23.907 of 1994, No. 24.132 of 1995;  
No. 24.581 of 1997, No. 24.582 of 1997, No. 25.159 of 1998, and No. 27.938 of 2004. 
 
Scope: Authors (and other owners of rights in intellectual works in the literary, artistic or 
scientific field, whatever  their nature or form 
of expression and regardless of their literary or  The life of the author and 50 years after 
his death. Where ownership of the rights accrues 
to a legal entity, the term of protection 
shall not be less than 50 years counted from the making, exposure or 
publication of the work. 
 Cinematographic works are protected 
for 50 years after being made available 
to the public, or, if this does not occur, 
for 50 years after their publication. 
 
Performers’ rights are protected for 50 years counting from 1 January of the 
year following that in which the 
performance took place or in which the  Protection is granted to literary, scientific 
or artistic works in literary, three-dimensional or acoustic (sound) form, 
irrespective of whether or not the 
intellectual property has been registered.  
Performance of the following acts without 
the authorization of the author and without payment of any remuneration shall not 
constitute infringement:  (1) quoting 
published works in another work;  (2) reproducing by reprographic means 
articles lawfully publis hed;  (3) effect the 
performance or execution of a work in the course of the activities of an educational 
institution by the staff and students of the 
said institution. 
Table III.12 (cont'd) WT/TPR/S/154 Trade Policy Review 
Page 80 
 
 
Legal text/scope Term Comments, limitations and exclusions 
artistic merit or purpose).The scope also 
extends to moral and related rights.  Computer 
programs and databases are protected as 
literary works;  protec tion extends to operating 
and application programs, whether in source 
code or in object code. work was made available to the public.  
Collective, audiovisual and 
photographic works, phonograms, 
broadcasts and computer programs are protected for 50 years after their 
publication, exhibition,  fixing, broadcast 
or use or, if they have not been published, after they were created. Protection does not extend to ideas 
contained in literary or artistic works, to 
the ideological or technical content of 
scientific works, or to the industrial or commercial exploitation of scientific 
works. 
New plant varieties   
TRIPS Agreement;  UPOV Convention;  
Decision 345 of the Andean Community 
(Common provisions on the protection of the rights of breeders of new plant varieties), 1993;  
Decision 366 of the Andean Community, 1994;  
Ministerial Resolution No. 064/96 of 9 August 1996;  Supreme Decree No. 23.069. 
 
Scope: Plant varieties that are new, uniform, distinct and stable;  all botanic genera and 
species except those that are prohibited for 
reasons of human, animal or plant health.  20 to 25 years for vines, fruit and other 
trees, including their graft, and 15 to 
20 years for other species, counted from the date on which protection is granted. Gives the owner of the varieties basic 
rights. 
 The certificate does not allow the owner to 
prevent third parties from using the 
protected variety for non-commercial or experimental purposes or for the breeding 
or exploitation of a new variety. 
Source: WTO Secretariat.  
 
219. The owners of patents may prevent third parti es from making, importing, selling, offering for 
sale or using patented products or processes.  Nevert heless, a patent may be used without the owner’s 
consent for private non-profit-making purposes in acts performed exclusively for experimental 
purposes on the subject-matter of the patented inven tion and in acts performed solely for purposes of 
teaching or scientific or academic research.216 
220. Compulsory licences may be granted when the ap plicant has previously attempted to obtain a 
contractual licence from the owner of the pate nt on reasonable commerc ial terms and conditions217 or 
for reasons of public interest, emergency or national security.218  Compulsory licences may also be 
granted where practices are noted that adversely aff ect free competition, especially abuse of dominant 
position in the market by a patent owner.219  Likewise, compulsory licences may be granted when they 
are requested by the owner of a patent the work ing of which requires the use of another patent.220  
Compulsory licences may be not be exclusive and sub-licences may not be granted.  The scope and 
term of compulsory licences are limited to the purp oses for which they were granted.  In addition, 
adequate remuneration must be paid.  Compulso ry licences must be used mainly to supply the 
domestic market.221  The authorities indicate, however, that, as  at July 2005, no compulsory licences 
had been granted. 
221. Decision 486 authorizes parallel imports (subject to  certain limitations) of products protected 
by a patent, the registration of a utility model, a layout-design, industrial design, mark or new plant 
breeders’ rights, so the right holder may not prev ent a third party from engaging in commercial acts in 
relation to a protected product after it has been bro ught into the market in any country by the right 
                                                      
 216 Decision 486, Articles 51 to 53. 
 217 Id., Articles 61 to 69. 
 218 Ibid. 
 219 Id., Article 66. 
 220 Id., Article 67. 
 221 Id., Article 68. Bolivia WT/TPR/S/154 
 Page 81 
 
 
holder or by any other person with the consent of or having economic ties with the right holder.222  
According to the authorities, no parallel imports of  goods protected by copyright are authorized.223 
222. The authorities indicate that films registered in the SENAPI offices are protected as films.  
Videotapes marketed in Bolivia must bear a branded seal issued by the Consejo Nacional del Cine  – 
CONACINE (National Cinema Council). 
(b) Enforcement 
223. Since the last review in 1999, the legal frame work for enforcement of intellectual property 
rights has been amended.224  In May 2001, a new Code of Crimin al Procedure was a dopted in Bolivia 
providing for criminal proceedings for infringement  of intellectual property rights, and in 2002 the 
Comisión Departamental de la Defensa de los Derechos de Propiedad Intelectual  – COMDEPI 
(Departmental Commission for the Protection of Inte llectual Property Rights) was established.  In 
January 2004, the SENAPI signed an agreement with the National Customs Authority and the 
Taxation Service intended to prevent the en try of pirated merchandise into Bolivia. 
224. Matters relating to evidence, judicial orders , damages and prejudice and other recourses, 
including provisional measures and enforcement measu res, in respect of intellectual property rights 
are covered by special legislation such as the Copyri ght Law and general legislation such as the Code 
of Civil Procedure, the Code of Criminal Pro cedure and the Criminal Code.  The provisions on 
enforcement in the Andean decisions also apply in Bolivia.  The Code of Cr iminal Procedure provides 
that intellectual property offences are publicly acti onable offences, therefore, they are liable to 
penalties which range from a fine to imprisonment.  The criminal courts are responsible for hearing 
such cases. 
225. The SENAPI may order Customs to suspend clear ance of goods when copyright, trademarks, 
industrial designs or patents are affected.225  Once infringement of intellectual property has been 
proven, the customs authority may seize the goods and order their disposal. 
226. The authorities indicate that piracy is of great  concern to Bolivia because of the large number 
of works from illegal sources (both locally produced and imported) circulating in the country (over 
95 per cent of films, music and books).  In 2004, the revenue lost as a result of piracy in the 
phonograms, cinematographic and software industr ies was estimated to be US$25 million.  The 
authorities also indicate that reforms are being made within the institu tion so that SENAPI can 
provide a service to combat this problem, in addition to the efforts needed to  raise its income, which 
would facilitate its development. 
                                                      
 222 Decision 486, Articles 54, 85, 101, 131 and 158; Decision 345, Article 27. 
 223 Law No. 1.322 of 13 April 1992. 
 224 Replies by Bolivia to the "Checklist of issues on enforcement", WTO document IP/N/6/BOL/1 of 
11 April 2001, contains information on enforcement-related issues. 
 225 Pursuant to Articles 31 and 86 of the General Customs Law No. 1.990 (28 July 1999);  Article 120 
of Supreme Decree No. 25.870 (Regulations of the General Customs Law (11 August 2000)).