RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/ACC/SPEC/CPV/5/Rev.2 
25 September 2007 
 (07-4020) 
Working Party on the 
Accession of Cape Verde  
 
 
   
DRAFT REPORT OF THE WORKING PARTY  
ON THE ACCESSION OF CAPE VERDE  
TO THE WORLD TRADE ORGANIZATION 
 
Revision
 
 
   WT/ACC/SPEC/CPV/5/Rev.2 
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  TABLE OF CONTENTS 
 
I. INTRODUCTION ................................................................................................................... .1 
DOCUMENTATION PROVIDED ......................................................................................................1  
INTRODUCTORY STATEMENTS....................................................................................................1  
II. ECONOMIC POLICIES..........................................................................................................2  
- Monetary and Fiscal Policy..................................................................................................... .2 
- Foreign Exchange and Payments ............................................................................................4  
- Investment Regime.............................................................................................................. ......5  
- State Ownership, Privatization and State-Trading Entities .................................................8  
- Pricing Policies ............................................................................................................... .........13  
- Competition Policy............................................................................................................. .....14  
III. FRAMEWORK FOR MAKING AN D ENFORCING POLICIES ....................................15  
IV. POLICIES AFFECTING TRADE IN GOODS ...................................................................19  
- Trading Rights ................................................................................................................. .......19  
A. IMPORT REGULATIONS....................................................................................................23  
- Ordinary cust oms duties ........................................................................................................ 23 
- Other duties and charges....................................................................................................... .25 
- Tariff rate quotas, tariff exemptions.....................................................................................26  
- Fees and charges for services rendered.................................................................................27  
- Application of internal taxes to imports ...............................................................................28  
- Quantitative import restrictions, includi ng prohibitions, quotas and licensing 
systems ........................................................................................................................ .............31  
- Customs valuation.............................................................................................................. .....37  
- Rules of origin ................................................................................................................ .........40  
- Other customs formalities ...................................................................................................... 41 
- Preshipment inspection ......................................................................................................... .42 
- Anti-dumping, countervailing duties, safeguard regimes ...................................................43  
B. EXPORT REGULATIONS ...................................................................................................43  
- Customs tariffs, fees and charges for serv ices rendered, application of internal 
taxes to exports............................................................................................................... .........43  
- Export rest rictions ............................................................................................................ ......44  
C. INTERNAL POLICIES A FFECTING FOREIGN TRADE IN GOODS .........................44  
- Industrial policy, including subsidies....................................................................................44  
- Technical barriers to trade, standards and certification.....................................................49  
- Sanitary and phytosanitary measures...................................................................................51  
- Trade-related investment measures ......................................................................................55  WT/ACC/SPEC/CPV/5/Rev.2 
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  -
 Free zones, special economic areas........................................................................................55  
- Government procurement......................................................................................................57  
- Transit........................................................................................................................ ..............58  
- Agricultural policies.......................................................................................................... ......58  
(a) Imports........................................................................................................................ .............58  
(b) Exports........................................................................................................................ .............59  
(c) Internal policies.............................................................................................................. .........59  
- Trade in ci vil aircraft........................................................................................................ ......60  
- Textiles regime ................................................................................................................ ........60  
V. TRADE-RELATED INTELLECTUAL  PROPERTY REGIME.......................................60  
- GENERAL........................................................................................................................ .......60  
- Industrial property protection...............................................................................................60  
- Responsible agencies for policy formulation and implementation .....................................61  
- Participation in international intellectual property agreements ........................................61  
- Application of national and MFN treatment to foreign nationals......................................62  
- Fees and taxes................................................................................................................. .........62  
- SUBSTANTIVE STANDARDS OF PROTECTION, INCLUDING 
PROCEDURES FOR THE ACQUISITION AND MAINTENANCE OF INTELLECTUAL PROPERTY RIGHTS ...........................................................................62
 
- Copyright and related rights..................................................................................................6 2 
- Trademarks, including  service marks...................................................................................63  
- Geographical indications, including appellations of origin.................................................64  
- Industrial designs............................................................................................................. .......64  
- Patents........................................................................................................................ ..............64  
- Plant variety protection....................................................................................................... ...65 
- Layout designs of integrated circuits ....................................................................................65  
- Requirements on undisclosed information, including trade secrets and test data............65  
- MEASURES TO CONTROL ABUSE OF INTELLECTUAL PROPERTY 
RIGHTS......................................................................................................................... ..........66  
- ENFORCEMENT...................................................................................................................6 6 
- Civil judicial procedures and remedies.................................................................................66  
- Provisional measures ........................................................................................................... ...67 
- Administrative procedures and remedies.............................................................................67  
- Special border measures........................................................................................................ .67 
- Criminal procedures............................................................................................................ ...68 
VI. POLICIES AFFECTING TRADE IN SERVICES..............................................................71  
VII. TRANSPARENCY .................................................................................................................75   WT/ACC/SPEC/CPV/5/Rev.2 
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  - Publication of information on trade......................................................................................75  
- Notifications.................................................................................................................. ...........76  
VIII.  TRADE AGREEMENTS .......................................................................................................77  
CONCLUSIONS .................................................................................................................... ..............78  
ANNEX .......................................................................................................................... .......................79  
 
  WT/ACC/SPEC/CPV/5/Rev.2 
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 I. INTRODUCTION 
1. The Government of the Republic of Cape Ve rde applied for accession to the World Trade 
Organization in November 1999.  At its meeti ng on 17 July 2000, the General Council established a 
Working Party to examine the application of the Government of Cape Verde to accede to the World 
Trade Organization (WTO) under Article XII of th e Marrakesh Agreement establishing the WTO.  
The terms of reference and the membership of the Working Party are reproduced in document 
WT/ACC/CPV/2/Rev.[6]. 
2. The Working Party met on 26 March and 8 December 2004; 14 July 2005; 28 June 2007 and 
under the Chairmanship of Mr. D. Shark (United States). 
DOCUMENTATION PROVIDED 
3. The Working Party had before it, to serve as a basis for its discussions, a Memorandum on the 
Foreign Trade Regime of Cape Verde (WT/ACC/CP V/3), the questions submitted by Members on the 
foreign trade regime of Cape Verde, together with  the replies thereto, and other information provided 
by the authorities of Cape Verde (WT/ACC/CPV/4; WT/ACC/CPV/5; WT/ACC/CPV/6; WT/ACC/CPV/7; WT/ACC/CPV/8; WT/ACC/CPV/9 a nd Revisions 1, 2 and 3; WT/ACC/CPV/10 
and Revision 1; WT/ACC/CPV/11 and Revision  1; WT/ACC/CPV/12 and Revisions 1 and 2; 
WT/ACC/CPV/13 and Revision 1; WT/ACC/CPV/14 and Revisions 1, 2 and 3; WT/ACC/CPV/15; WT/ACC/CPV/16; WT/ACC/CPV/19; WT/ACC/CPV/20; WT/ACC/CPV/21 and Revisions 1; WT/ACC/CPV/22 to 28; ………), including the legisla tive texts and other do cumentation listed in 
Annex I.  
INTRODUCTORY STATEMENTS 
4. The representative of Cape Verde said that desp ite Cape Verde's limited natural resources and 
production base and other constraints faced as a least developed count ry (LDC), his country had over 
the past 15 years undertaken measures that had libera lized its economy to foster growth and facilitate 
trade integration.   
5. In view of the Guidelines established by th e General Council (WT/L/508), and bearing in 
mind Cape Verde's current status as an LDC, the representative of Cape Verde called on Members of 
the Working Party to expedite and be flexible in the negotiations to establish Cape Verde's WTO 
commitments and to extend special and differential treatment as foreseen in the provisions of the 
WTO Agreements regarding LDCs.  Technical assistance and transition periods were needed to implement some WTO commitments.  In this rega rd, Cape Verde sought support in the areas of WT/ACC/SPEC/CPV/5/Rev.2 
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 intellectual property, mediation and arbitration, agriculture, food safety, sanitary and phytosanitary 
measures, protection of human health, flora and fauna, technical barriers to trade, and customs 
procedures.  He added that the United Nations Gene ral Assembly had taken note of the Economic and 
Social Council's recommendation to graduate Cape Verde from the group of LDCs (Resolution 
A/RES/59/210 of 20 December 2004).  Consequently, Cape Verde would no longer be classified as an 
LDC as from 1 January 2008.   
6. Members of the WTO welcomed Cape Verde's application to join the Organization.  
Appreciating the efforts already undertaken by Ca pe Verde to achieve compliance with WTO rules 
and principles, some Members noted that further wo rk was needed.  In this regard, Members pledged 
to work constructively with Cape Verde.  Some  Members indicated that they had, and would, 
continue to offer technical assistance to facilitate  Cape Verde's accession.  Members looked forward 
to Cape Verde's early accession on appropriate term s.  Some Members referred to Cape Verde's 
current status as a least-developed country, and in keeping with the guidelines on LDCs' accessions, 
would consider this a relevant factor in est ablishing Cape Verde's terms of accession.   
7. The Working Party reviewed the economic polici es and foreign trade regime of Cape Verde 
and the possible terms of a draft Protocol of Accession to the WTO.  The views expressed by 
Members of the Working Party on the various aspects  of Cape Verde's foreign trade regime, and on 
the terms and conditions of Cape Verde's accession to the WTO, are summarized below in paragraphs 
8 to [...]. 
II. ECONOMIC POLICIES  
- Monetary and Fiscal Policy 
8. The representative of Cape Verde said that th e Bank of Cape Verde (BCV) fulfilled the role 
of the central bank and in accordance with Law No . 10/VI/2002 of 15 July 2002, worked with the 
Government in defining and executing monetary  and exchange policies, and in guiding and 
supervising the monetary, financial, and exchange markets.  The BCV functioned to maintain price 
stability whilst simultaneously regulating Cape Verd e's money supply.  In its latter function, its 
powers were limited because the Cape Verdean Escudo (CVE) was pegged to the Euro (€) and 
secured by the Government of Portugal.  
9. In the framework of reforms initiated in 1993, the BCV had abandoned administrative 
methods of monetary controls in 1999, in particul ar the use of administrati vely established interest  WT/ACC/SPEC/CPV/5/Rev.2 
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 rates and credit limits.  Regula tion of monetary policy was curre ntly achieved through open market 
operations, variations in the cash reserve coefficients , and adjustments in the BCV's rediscount rate.   
10. As for the financial sector, the Constitution of Cape Verde had been amended in 1989, 
removing banking activities from the exclusive control of the State (Law No. 52/III/89).  Cape Verde currently had four commercial banks, with a to tal of 35 branches, and a few parabanking and 
international financial institutions.  BCV as the ce ntral bank continued to licence qualified banks and 
other financial institutions to increase competition and to promote the development of a competitive 
financial sector. 
11. The Government's fiscal program sought to ex pand the provision of key social services, 
develop Cape Verde's infrastructure, and foster pr ivate sector-led economic growth, while maintaining 
overall fiscal discipline.  Cape Verde's fiscal perfo rmance had improved in 2001.  Currently, the fiscal 
deficit had been targeted to remain at 3 per cen t of GDP (CVE 2.2 billion), having declined from 
19 per cent of GDP in 2000.  Fiscal policy was gear ed towards continuing th is consolidation.   
12. With regard to the taxation regime, Cape Verd e had initiated reforms in 1991.  Prior to 1991, 
complex administrative procedures had been used to  calculate and estimate taxes, tax fraud, and tax 
evasion.  One of the objectives of the reform progr am, outlined in the Development Plan (III PND), 
was to endow Cape Verde with a modern, adequate , simple and efficient taxation system.  The new 
system allowed the State to collect more revenue, es tablish relatively moderate  taxes, and broaden the 
tax base to include public employees who previously did not pay taxes.  The program also included 
(i) the creation of a more effective collection system; (ii) collection of a Single Tax on Income for 
individual and collective persons (e.g.  partnerships and corporations) rather than the multiple taxes 
that existed previously; and (iii) the creation and application of a Single Property Tax to substitute 
various municipal property taxes.  Some constraints remained to be overcome, including the lack of 
adequate information on tax and fiscal obligations, the existence of a large number of undeclared 
taxpayers, and a lack of qualified personnel to administer the new system.   
13. As part of the ongoing reforms, his Government  had recently introduced amendments to the 
Single Tax on Revenue, primarily to update the tax brackets, accelerate tax liquidation, and authorize 
a fiscal census of taxpayers and enterprises.  Cape  Verde had adopted a Value Added Tax (VAT), as 
well as a Special Tax on Consumption (STC).   WT/ACC/SPEC/CPV/5/Rev.2 
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 - Foreign Exchange and Payments  
14. The representative of Cape Verde said that his Government had signed an Exchange 
Cooperation Accord with Portugal, which established a fixed parity between the Cape Verde Escudo 
(CVE) with the Portuguese Escudo, and subseque ntly with the Euro (Resolution No. 81/V/98 of 
11 May 1998).  The fixed rate of exchange was €1 to CVE 110.265.  Under the terms of the Accord, 
Cape Verde had committed itself to adopting macr oeconomic guidelines that would safeguard this 
parity.  
15. The representative of Cape Verde said that his Government had notified the IMF on 
6 August 2004 of its decision to accept the obligations of Article VIII, Sections 2 (a), 3 and 4 of the 
IMF's Articles of Agreement.  The implementation of  this decision had since been delayed on account 
of a bilateral agreement on credits and payment between Cape Verde and Cuba.  This bilateral 
agreement had recently expired and had not been re newed.  He expected the process of implementing 
the notified decision to be completed by mid-2008.   
16. With respect to foreign exchange controls , in accordance with Decree-Laws No. 25/98 and 
26/98 of 29 June 1998, and the Bank of Cape Ve rde's Notice No. 4/98 of 21 December 1998, current 
invisible operations had been liberalized except for transactions exceeding CVE 1 million connected 
to travelling.  Cape Verde applied neither rest rictions on the opening of bank accounts in foreign 
currency nor restrictions to obtain currency to import merchandise.  However, if the legitimacy of the 
stakeholder in a specific operation was questionabl e, the BCV could, in accordance with the law, 
impose a prior verification requirement.  Transfer  operations that could be subject to prior 
authorization by the BCV were (i) current invisible operations of amounts exceeding CVE 1 million falling under the heading "private unilateral transf ers"; (ii) transfers exceeding CVE 5 million as 
revenues or as payment for services rendered (except for interest payments on previously authorized 
loans); and (iii) the pre-payment or final settlement of current transactions more than three months in 
advance when the instalment exceeded CVE 1,000,000 (and 35 per cent of the contractual value).  He 
added that capital operations, with the exception of th ose executed in the stock market or through duly 
authorized brokers, were also subject to prior au thorization from the BCV.  This authorization was 
automatic as long as the requested accompanying  documents were submitted and the necessary 
requisites established by the law were met.  He c onfirmed that Cape Verde did not maintain foreign 
exchange restrictions such as mandatory surrender re quirements, prior import deposits, or taxes on the 
acquisition of foreign exchange.   
17. A Member requested an explanation for the n eed to obtain prior authorization for certain 
transfers and the acquisition of foreign exchange to import merchandise worth more than  WT/ACC/SPEC/CPV/5/Rev.2 
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 CVE 5 million.  As the authorization was gran ted automatically when the necessary conditions 
established by law were met, the representative of Cape Verde was asked to list these conditions.  He 
was also requested to confirm that no requirements or  restrictions were imposed on the acquisition of 
foreign exchange for the payment of foreign services or of investments.   
18. In reply, the representative of Cape Verde said that his Government was revising the existing 
legislation to eliminate the prior authorization require ment.  He expected the revised legislation to be 
enacted by December 2007 (and in any case no later than July 2008).  He confirmed that the 
acquisition of foreign exchange fo r payment of foreign services or foreign investment was not subject 
to any requirements or restrictions.   
19. The representative of Cape Verde said that the Foreign Investment Law No. 89/IV/93 of 
13 December 1993 facilitated the full (100 per cent) tran sfer of foreign investment capital as long as 
the foreign investor was registered as such with  the BCV and was authorized by the Minister of 
Finance and Planning to carry out foreign investment operations.   
20. A Member noted that the BCV could require the transfer of capital arising from the sale, 
liquidation or dissolution of an enterprise to be carri ed out in quarterly instalments if transferring the 
sum in full would cause a serious disturbance to Cape  Verde's balance of payments and asked whether 
the BCV would seek guidance from the IMF an d the WTO Committee on Balance-of-Payments 
Restrictions before imposing such measures.  In re ply, the representative of Cape Verde said that this 
measure was intended to safeguard Cape Verde's balance of payments in exceptional circumstances of 
grave concern.  He confirmed that the IMF and the Committee on Balance-of-Payments Restrictions 
would be consulted before invoking this measure.   
21. A Member sought further information on the ci rcumstances, including judicial and appeal 
process, under which a foreign account could be frozen.  In response, the representative of Cape Verde confirmed that a foreign account could onl y be frozen on the basis of judicial action and a 
court decision to that effect.   
- Investment Regime  
22. The representative of Cape Verde said that hi s Government's policy objectives on investment 
were to promote and encourage a transparent a nd fair business environment for both domestic and 
foreign investors, and to increase the role of the private sector in Cape Verde's development process.  
All sectors were open to investment, unless an activity  was considered a threat to national security, 
public morals, the environment or public health, or w as in violation of domestic laws and regulations.  WT/ACC/SPEC/CPV/5/Rev.2 
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 Examples of such prohibited activities included th e production or importati on of handguns, military 
weapons and hardware, munitions  and similar materials; the production or importation of 
pornographic materials, establishment of houses of ill repute, establishment of illegal gambling 
houses and similar activities; industries that would de grade the environment such as processing turtle 
products and/or other endangered species; and th e establishment of industries producing and/or 
distributing illegal drugs and food dangerous to public health.  The prohibitions applied equally to 
domestic and foreign investments.   
23. The Centre for Tourism, Investment and Expor t Promotion of Cape Verde (PROMEX) and its 
successor the Cape Verde Agency for the Promotion of Investment (Cape Verde Investments), a 
Government department under the supervision of the Ministry of Economy, Growth and 
Competitiveness, was the authority charged with prom oting trade and investment opportunities.  All 
foreign investments were subject to prior authori zation, and the Foreign Investment Law No. 89/IV/93 
of 13 December 1993 set out the conditions for foreign direct investment (FDI) in any sector of economic activity.  The procedures for authorization of  foreign direct investment were stipulated in 
Regulatory Law No. 1/94 of 3 January 1994, including application forms reproduced in its Annexes 1 
and 2.  FDI was evaluated on the basis of criteria enumerated in Article 7 of the Regulatory Law.  His 
Government did not mandate any minimum (floor) or maximum (ceiling) value levels of investment 
in Cape Verde.   
24. Investment applications - together with particulars of each investor, details of the project 
location and, in specific cases, environmental imp act studies - were addressed to the Ministry of 
Finance and Public Administration, through Cape  Verde Investments.  The specific cases that 
warranted environmental impact studies were dete rmined by the nature, size or location of the 
investment.  He added that Cape Verde Investment s provided investors with minimum criteria needed 
for inclusion in the environmental study.   
25. Having reviewed the Regulatory Law No. 1/94, a Member stated that the criteria for receiving 
authorization and the information needed for th is purpose should be clear and exhaustive, and 
stipulated in the application forms.  The deadlin e for receiving the authorization stipulated in 
Articles 3 and 4 was ambiguous, and the provision s of Article 4.3 and 4.4 – which allowed the 
Investment and Franc Enterprises Investment Co mmittee to solicit complementary information from 
the investor, thereby suspending th e processing deadline for the application until the information had 
been provided - were arbitrary and should be deleted from the Law.   
26. The representative of Cape Verde replied that Article 3 of Regulatory Law No. 1/94 stipulated 
a deadline of maximum 30 days for the processing of  applications by Cape Verde Investments,  WT/ACC/SPEC/CPV/5/Rev.2 
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 provided the investors supplied the information set out in Annexes 1 and 2 of the Law.  In case of 
missing or incomplete data, the Investment and Franc Enterprises Evaluation Committee could 
request additional information, and the 30 day dead line would be suspended until the foreign investor 
or his/her legal representative provided the request ed data.  He considered Articles 4.3 and 4.4 
appropriate, as a precise checklist of the informati on to be submitted pursuant to Annexes 1 and 2 was 
provided to the applicant as part of the initial interview.   
27. Upon granting the authorization, a Certificate of  External Investment was sent to the investor 
or his/her legal representative.  This Certificate c ould be declared null and void if the investment did 
not occur within a specified dead line.  The start-up or reopening of  business was subject to inspection 
by the competent authorities.  An investment proj ect was prohibited if the application was rejected.  
He added that the rejection of an application could be appealed either through the Courts or to the 
Government.  A rejected application could also  be presented again for reconsideration.   
28. The rights of all investors and the protection of their investment from expropriation or 
nationalization were guaranteed in Cape Verde.  All investors - domestic or foreign, natural or legal 
persons - were treated equally.  If expropriation, in  the public interest and according to law, was 
necessary, it would be fair and equitable, and co mpensation would have to be paid.  A foreign 
investor had the right to prompt compensation accordi ng to the real and actual value of the investment 
(with interest added until the date of payment) in a freely convertible currency agreed with the 
Government.  The indemnity could be repatria ted without any restriction.  The amount was 
established by agreement between the investor an d the Government or, if necessary, referred to 
arbitration.   
29. The existing laws and regulations provided sector s such as tourism, industry, exports and re-
exports, and financial institutions with tax incentives and customs duty exemptions, facilities for the 
transfer of funds and banking, etc.  Incentives ha d also been provided to the transportation industry 
i.e. maritime, road and air transportation, and to the communications sector (see also the section 
"Industrial policy, including subsidies").  Fiscal in centives included reductions in contributions and 
taxes on profits.  Customs incentives included susp ension of customs duties for raw materials and 
accessories, and duty exemptions when applicable.  Upon request, enterprises duly entered in the 
fiscal and industrial registry could avail of these be nefits within 120 days from the date of export or 
re-export.  He added that when the law had been enacted in 1993, the objective had been to stimulate 
production for export, and therefore investment dire cted primarily to the domestic market was not 
eligible for these incentives.  He stated that his Government would undertake a further study on the WT/ACC/SPEC/CPV/5/Rev.2 
Page 8  
 
 incentives provided for investment and industry, and would consider the elimin ation of Cape Verde's 
export subsidies.   
30. A Member requested a comprehensive list of all investment promotion schemes indicating 
their legal basis, eligibility criteria and budget.  So me Members noted that Cape Verde appeared to 
operate a system of investment incentives constitutin g prohibited export subsid ies, and as Cape Verde 
was graduating from its LDC status, it would no lo nger be able to grant such subsidies.   
31. The representative of Cape Verde replied that the eligibility criteria for foreign investment 
were laid down in Article 2 of the Foreign Invest ment Law No. 89/1V/93 of 13 December 1993.  For 
industrial investment, Article 28 of the Decree-L aw No. 108/89 of 30 December 1989 provided the 
conditions for Industrial Status and access to ince ntives.  Article 2 of the Law No. 99/IV/93 of 
31 December 1993 outlined the e ligibility criteria for Franc Enterprises.  Article 4 of Law 
No. 92/IV/93 of 15 December 1993  governed access to in centives for exportation or re-exportation of 
goods and services.  In the tourism sector, the rele vant provisions were Articles 3 and 5 of the Law 
No. 55/VI/2004 of 10 January 2004.   
32. He noted that Cape Verde's laws and regulati ons contained no limitations  related to foreign 
investment, except for the denial of incentives for i nvestments catering exclusively or mainly to the 
domestic market.  He added that incentives for invest ment in the financial sector were governed by 
Decree-Law No. 66/97 of 3 November 1997.  Joint ventures with foreign investors in financial 
services were encouraged in accordan ce with Law No. 47/IV/92 of 6 July 1992.  Pursuant to Article 7 
of Decree-Law No. 87/89 of 24 November 1989, joint ventures could also be established in 
construction services.   
33. The representative of Cape Verde provided an Action Plan for the Revision of Incentives to 
National Production and to Foreign Investment in document WT/ACC/CPV/22, and a subsidies 
notification in document WT/ACC/CPV/27.  He  acknowledged that the existing investment 
legislation required updating and revision.  A draft of the revised Foreign Investment Law would be 
provided as soon as practically possible.   
- State Ownership, Privatization and State-Trading Entities 
34. The representative of Cape Verde said that economic policies in Cape Verde had focused on 
import substitution and State control of the econom y from independence in 1975 to 1989.  Several 
public and mixed enterprises had been created in various sectors, including transportation (sea and 
air), fuel, agriculture, poultry, livestock production, fishing, pharmaceuticals, civil construction, naval  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 9 
 
 
 repair, insurance, hotel services and the commerciali zation of basic goods.  The Government had also 
controlled the financial sector.  The State had thus played a significant role in the economy and by the 
end of 1988, 19 State-owned and 14 mi xed enterprises had been created.   
35. The State's role in the economy had been subs tantially diminished since 1991, and the private 
sector had emerged as the engine for development.   Cape Verde had revised its Constitution to 
redefine the concept of public property to provide  a legal framework for market liberalization.  In 
accordance with the revised Constitution and La w No. 93/IV/93 of 15 December 1993, economic 
sectors were no longer reserved for public activity in order to stimulate the private sector and to 
promote foreign investment.  As a result, more th an 20 State-owned enterprises had been privatized 
(Table 1).  Privatization of these enterprises had been undertaken through the sale of shares or the 
direct sale of the enterprise.  The process of  liquidation was used in certain cases.   
Table 1:  Privatized Enterprises  
Privatization Owners of Shares Original enterprise New privatized 
enterprise Fully Partially State Nationals Foreigners Direct sale 
Agência nacional de 
viagens 2 new agencies (ANV 
& ANAV) Yes   X  Yes 
AGRIPEC Agripec Yes   X  Yes 
CABETUR Cabetur Yes   X  Yes 
CONCHAVE Conchave  Yes   X  Yes 
ENAVI Sociave (Mindelo); 
Enavi (Praia) Yes   X  Yes 
EMPROFAC 7 pharm acies (only the 
pharmacies) Yes   X  Yes 
FAP Aripec; Coopechaves; 
Prolac Yes   X  Yes 
Justino Lopes Associação sector 
agrícola Justino Lopes; 
Carmac; Propec. Yes   X  Yes 
INTERBASE Salmar and 
INTERBASE Yes    X 
(Salmar) Yes 
(Salmar) 
MACSOBIL Macsobil Yes   X  Yes 
METALCAVE Metalcave Yes   X  Yes 
MORABEZA Morabeza Yes   X  Yes 
ONAVE Recoref; Belcab; 
Funcave; Lusonave. Yes   X  Yes 
SITA SITA Yes   X  Yes 
ULTRA Ultra. Yes   X  Yes 
ELECTRA Electra.  Yes X X X Yes 
ENACOL Enacol  Yes X X X Yes 
BCA Bca.  Yes X X X Yes 
Caixa Económica Caixa econo mica.  Yes X X X Yes 
Garantia (insurance 
company) Garantia.  Ye s X X X Yes 
Promotora Promotora.  Yes X X X Yes 
Cabo Verde Telecom Cabo verde telecom.  Yes X X X Yes 
Hotel Belo Horizonte Hotel Be lo Horizonte Yes    X Yes 
Hotel Praia Mar Hotel Pr aia Mar Yes    X Yes 
CVC CVC Yes   X X Yes 
MOAVE MOAVE Yes   X  Yes WT/ACC/SPEC/CPV/5/Rev.2 
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 Privatization Owners of Shares Original enterprise New privatized 
enterprise Fully Partially State Nationals Foreigners Direct sale 
Hotel Xaguate Hotel Xa guate Yes    X Yes 
INTERBETAO INTERBETAO Yes   X  Yes 
FAMA FAMA Yes   X  Yes 
OFICINAS OFICINAS Yes   X  Yes 
CERIS CERIS Yes    X Yes 
EMPA Liquidated Yes   NA NA Liquidation 
TRANSCOR TRANCOR, S.Vicente Yes   X  Yes 
ARCA VERDE Liquidated Yes   NA NA Liquidation 
SONACOR Liquidated Yes   NA NA Liquidation 
 
Table 2:  Privatization Plans  
Envisaged Privatization State-owned enterprises slated for 
privatization Capital 
(US$ million) Share Direct sale 
CABNAVE 7 a)  Sale or concession contract 
ENAPOR 9.4 b)   Concession contract 
EMPROFAC 7 c) X Full privatization, sale of shares 
TACV (Strategy not yet defined) 11d)  Full or partial privatization 
 
a) Net book Value, Source: Booz-Allen & Hamilton, 2004 
b) Source: ENAPOR's Financial Department 
c) Source: Euro-Phoenix, 2004 
d) TACV Annual Report 2003,  Balance Sheet Net Worth  
 
36. In addition to the enterprises listed in Table 1,  State-owned enterprises in the early stages of 
being privatised were TACV (Cape Verde's Ai r Transportation Company), ENAPOR (the Port 
Authority), EMPROFAC (Pharmaceuticals), and CABENAVE-SARL (repair docks).  He confirmed 
that foreign investors had participated in Cape  Verde's international public tenders and would 
continue to be eligible to participate freely in  the privatization process.  The ongoing privatization 
plans are outlined in Table 2.  He added that unde r the terms of a performance contract signed with 
his Government, two State-owned enterprises - the Airport Management Company and the Postal 
Company - were not to be privatized.  Postal ser vices were considered a government function.  The 
privatization of the Airport Management Company w as not a priority at present, but his Government 
would consider the introduction of privately-operated  activities within the airport infrastructures.  He 
confirmed that these two enterprises and those listed in Table 2 were the only State-owned enterprises 
in Cape Verde.   
37. The representative of Cape Verde confirme d that his Government would ensure the 
transparency of its ongoing privatization programme .  He stated that his Government would provide 
annual reports to WTO Members on developments in its privati sation programme as long as the 
programme would be in existence, and along the lines of the information already provided to the 
Working Party during the accession process.  The Working Party took note of this commitment.  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 11 
 
 
 38. The representative of Cape Verde said that th e State-owned enterprises abided by the same 
corporate laws and principles as private companies.  The enterprises were organized with Boards of 
Directors and fiscal councils (internal auditors), and adhered to national accounting standards.  The 
Board of Directors prepared annual reports and a udited statements to the shareholders, internal 
auditors and the tax authorities.  The annual reports were published in the Official Bulletin and/or in 
newspapers.  Independent (external) auditors reports were alwa ys annexed to the annual reports.  
Profits were disbursed in proportion to each shar eholder's equity (includi ng the State) after the 
accounts had been presented to the shareholders for approval, and a vote had been taken on retained 
earnings and dividends.   
39. Regarding State trading, the representative of  Cape Verde said that weapons and munitions 
were imported exclusively by the Ministries of Defence and Home Affairs.  In accordance with 
Decree-Law No. 29/93 of 24 May 1993 and Decree-Law No. 3/99 of 1 February 1999, gold for 
monetary use was imported only by the Central Bank (i.e. BCV).  Products such as fuels and 
lubricants, tobacco and chemical-pharmaceutical produc ts were subject to a special import regime and 
were imported under an exclusive regime by sel ect enterprises (Shell and ENACOL, Cape Verdean 
Tobacco Company, and EMPROFAC).   
40. Shell and ENACOL were private enterprises.  Both companies purchased fuels and lubricants 
competitively in the international market and sold  petroleum products domestically either through 
retail outlets or directly to airline and shipping interests.  Concession rights had granted them 
exclusive distribution rights for petroleum deri vatives until the end of 2006.  Since then, the 
importation of oil products had been effected through international bids, superv ised by an independent 
regulatory agency.   
41. The Cape Verdean Tobacco Company (Compainha  Caboverdiana de Tabacos) was a private 
company enjoying a monopoly in the production, importation, commercialization and wholesale 
distribution of tobacco.  These rights or concessions had been bestowed to the Cape Verdean Tobacco 
Company under the terms of a contract concluded with his Government on 2 May 1997, published in 
the Official Bulletin No. 20, II Series of 20 Ma y 1999.  He added that tobacco production in 
Cape Verde was insignificant and domestically produced tobacco was not used in industrial 
production.   
42. His Government had created EMPROFAC to en sure citizens' access to basic medicines.  
EMPROFAC had exclusive rights to import and di stribute pharmaceuticals in Cape Verde and to 
purchase domestically-made products from INPHAR MA, a company in which EMPROFAC held 
40 per cent of the shares.  At present, EMPROFAC imported about 65 per cent of Cape Verde's needs WT/ACC/SPEC/CPV/5/Rev.2 
Page 12  
 
 for pharmaceuticals, and sourced the remaining 35 per cent locally.  EMPROFAC sold 
pharmaceuticals imported or bought from INPHARMA  to hospitals, the Directorate-General of 
Pharmacy and private pharmacies.  EMPROFAC determ ined the quantity of imports and set prices on 
an annual basis based on historic information and in consultation w ith the Directorate-General of 
Pharmacy and other purchasers.  EMPROF AC imports had amount ed to CVE 505,120,500 
(€4.58 million) in 1999, CVE 602,285,000 (€5.46 million) in 2000, and CVE 588,614,520 
(€5.34 million) in 2001.  Purchases were made th rough a tendering process and an invitation for bids 
from foreign suppliers.  Although EMPROFAC had not concluded any long-term contracts for 
purchases, the enterprise generally resorted to the same suppliers every year.  Comments by the public 
on EMPROFAC's operations could be directed to th e Inspector General of Economic Activities or to 
the Directorate-General of Pharmacy responsible  for overseeing the pharmaceutical sector.  He said 
that his Government had decided to create a regul atory agency for this sector.  His Government was 
also in the process of privatizing EMPROFAC.  The privatization would be accompanied by full 
liberalization of Cape Verde's market for pharmac euticals.  The privatization of EMPROFAC was 
expected to take place in 2008.  A short phase-in pe riod for the transition to a fully liberalized market 
was being considered, but would onl y be allowed if deemed indispensable to assist the national 
industry in coping with the new market conditions.   
43. The importation of rice, corn, sugar and wheat flour were no longer subject to State trading.  
The Public Stock Provisioning Enterprise was no lo nger in business.  The import regime for these 
products was currently regulated by Decree-Law No. 69/2005 of 31 October 2005.  Under previous 
legislation (Decree-Law No. 29/2002 and Ministeria l Ordinance No. 6/2004), importers of staple 
goods had been required to register as a commerc ial importers under the terms of Cape Verde's 
commercial legislation, possess warehouses appropriate  for the storage of the goods to be imported, 
pay registration and annual renewal fees of CV E 20,000 and CVE 2,000 (M inisterial Ordinance 
No. 2/99 of 8 February 1999), and provide monthly information on stoc ks held in each of the islands 
to the National Agency for Food Security.  A require ment that the companies should have the capacity 
to distribute 30 per cent of the annual imports in is lands other than Santiago and Sao Vincente would 
also be revoked under a new Law under consideration by Parliament.   
44. Based on the information available, some Memb ers considered that Cape Verde would need 
to notify Shell, ENACOL, EMPROFAC, and the Ca pe Verdean Tobacco Co mpany as State trading 
enterprises under Article XVII of the GATT 1994.   
45. The representative of Cape Verde confirmed that  Cape Verde would ensure that all State-
owned, State-invested, and other enterprises with  special or exclusive privileges would make  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 13 
 
 
 purchases of goods and services, which were not intended for governmental use, and sales in 
international trade, based solely on commercial cons iderations, e.g. price, quality, marketability and 
availability, and that the enterprises of other WTO Members would have an adequate opportunity in 
accordance with customary practice to  compete for such purchases or sales.  In addition, Cape Verde 
would not influence, directly or indirectly, comme rcial decisions on the part of State-owned, State-
invested, and other enterprises with special or exclus ive privileges, including on the quantity, value or 
country of origin of any goods purchased or so ld, except in a manner consistent with the WTO 
Agreement.  The representative of Cape Verde confirmed that upon accession Cape Verde would 
notify and provide information on the activities of [[Shell Oil, ENACOL,] EMPROFAC, and the Cape Verdean Tobacco Company][all State-owned, State- invested, and other enterprises with special or 
exclusive privileges] in accordance with Article  XVII of the GATT and the Understanding on that 
Article.  The Working Party took note of these commitments.   
- Pricing Policies  
46. The representative of Cape Verde said that pr icing policies were governed by Decree-Law 
No. 52/2003 of 24 November 2003, and price contro ls for goods and services were regulated by 
Ministerial Ordinance No. 2/2004 of 19 January 2004.  All price controls in Cape Verde were either 
fixed prices, maximum (ceiling) prices, or negotiated prices.  Maximum or fixed prices were established on the basis of production costs and pri ce fluctuations in the international and domestic 
markets.  Mandated profit margin levels were not pa rt of Cape Verde's price regimes.  Goods subject 
to price controls are listed in Table 3.  Services subject to price regulati on included fixed prices for 
maritime cabotage services, water supply, electric power supply and fuel supply; maximum prices for taxi services; and negotiated prices for private h ealth care services, communication services, and 
passenger transportation services.  Minimum prices were not established for any imported or domestically-produced good.  Minimum customs values on imported chicken had been abolished 
upon the expiry of Regulatory Decree No. 2/2002 on 12 August 2004. 
47. Prices were administered by autonomous regulatory agencies in consultation with the Upper 
Council of the Chambers of Commerce.  The Government, i.e. the Ministry of Economy, Growth and Competitiveness together with the relevant Ministri es, was responsible for the supervision of the 
regulatory agencies created for the administration of price controls.  Pursuant to Decree-Law 
No. 3/1993 of 15 February 1993, as amended by Decree-Law No. 59/2006 of 26 December 2006, the 
price regime for drugs (pharmaceuticals) was determ ined jointly by the Ministers of Health, Industry 
and Commerce.   WT/ACC/SPEC/CPV/5/Rev.2 
Page 14  
 
 48. Administered prices were adjusted when pri ces in the international market had changed 
significantly.  Adjustments were periodic with no set timeframe and prices had been modified in 
1994, 1998, 2003 and 2004.  Cape Verde did not apply any variable imposts on imported goods 
whereby the domestic price could be insulated fr om changes in international prices.  Economic 
criteria, such as allowing a reasonable rate of retu rn on the investment, were incorporated into the 
price setting.  He added that price controls were administered with transparency.  The views of the 
Chambers of Commerce, relevant Ministries, muni cipalities and interested consumer associations 
were taken into consideration in modifying the c ontrolled prices.  Laws and regulations establishing 
or modifying price controls in Cape Verde had alwa ys been published in the Official Bulletin before 
taking effect.  The new prices became effectiv e upon publication or shortly thereafter.   
49. Price controls were applied to imported a nd domestically-produced goods and services, but 
not to exports.  Price controls for imported bread  and baking products, rice, sugar (granules), corn, 
wheat flour and bran, butane gas, petrol, gas oil and kerosene were applied at the same point of sale as 
for domestic production.  He confirmed that produc ts affected by price controls were no longer 
subject to State trading.   
50. The representative of Cape Verde confirmed th at pricing policy in Cape Verde would be 
applied in compliance with the provisions of Artic le III:4 and XI:1 of the GATT 1994 and Article 4 of 
the Agreement on Agriculture.  He further stated that in the application of price controls now or in the 
future, Cape Verde would apply such measures in a WTO-consistent fashion, and take account of the 
interests of exporting WTO Members as provided for in Article III:9 of the GATT 1994.  Cape Verde 
would publish the list of goods and services subject to State price control and any changes to this list 
in its Official Gazette and would continue to do so  after accession.  The Working Party took note of 
these commitments.   
- Competition Policy 
51. The representative of Cape Verde said that the regulation of competition policy was based on 
the need for product diversity and economic or t echnological advances.  Decree-Law No. 53/2003 of 
24 November 2003 outlined the competition policies of  Cape Verde.  The General Directorate of 
Commerce, within the Ministry of Economy, was responsible for planning and enforcing competition 
policies.  A Competition Advisory Council, an  independent quasi-judicial government entity 
envisaged under Cape Verde's competition legisl ation, was not yet operational due to budgetary, 
office and manpower constraints.  The Council's prim ary function would be to adjudicate claims of 
unfair trade, but the Council could also propose draft legislation to the Government.  Council Decisions could be appeal ed to the courts.    WT/ACC/SPEC/CPV/5/Rev.2 
 Page 15 
 
 
 III. FRAMEWORK FOR MAKING AND ENFORCING POLICIES 
52. The representative of Cape Verde said that  Cape Verde's Constitution had been promulgated 
on 7 March 1980.  The Constitution had subsequently been revised  in 1981, 1988, 1992, 1995 and 
again most recently in 1999.  The Constitution provi ded for a separation of ex ecutive, legislative and 
judicial powers.  The President of the Republic was the Head of State, elected by popular vote for a five-year term.  The President could be re-elected only once.  
53. Under the Parliamentary system established in  Cape Verde, the executive branch of the 
Government was headed by the Prime Minister.  The Prime Minister was nominated by the President 
after consultation with parliamentary parties.  The leader of the majority party or the coalition of 
parties with a majority in Parliament was usually selected as Prime Minister.  
54. Legislative power resided in the unicameral  National Assembly made up of 72 members 
elected for a five-year term.  The laws approved by the National Assembly were forwarded to the 
President of the Republic who could either promulga te them or send them back for a second reading.  
Matters referred back by the Presi dent needed to be passed by the National Assembly by a two third 
majority on constitutional matters, or by a simple ma jority for other matters before becoming law.  
Since Cape Verde's independence in 1975, all preced ent laws, rules, regulations and procedures while 
not expressly revoked, were valid and in force acco rding to the Decision with Force of Law No. 1/75 
of 5 July 1975, except in cases where they were in compatible with Cape Verde's sovereignty.   
55. Outlining the procedure for Cape Verde's ratifi cation of its WTO accession package, he said 
that his Government would verify the accuracy and contents of the negotiated terms, and forward the 
package together with a draft resolution to the Na tional Assembly for legal and constitutional review 
and approval.  Upon approval, the National Assemb ly would forward the package to the President 
who, after statutorily checking the National Assemb ly Resolution and the package for its legality and 
compatibility with Cape Verde's Constitution, woul d ratify the package by a public notice to be 
published in the Official Journal.  Should the Presi dent have concerns about the compatibility of the 
package with Cape Verde's Constitution he could request the Constitutional Court to rule on the 
matter.  The representative of Cape Verde expected the process of domestic ratification to take no 
more than 90 days.  He added that, upon accession to the WTO and in accordance with Articles 12-14 
of the Constitution, the provisions of the WTO woul d supersede domestic law and be an integral part 
of Cape Verde's legislation.   
56. The representative of Cape Verde said that trad e policy was the responsibility of the Ministry 
of Economy, Growth and Competitiveness which c oordinated with other ministries having WT/ACC/SPEC/CPV/5/Rev.2 
Page 16  
 
 jurisdiction over trade-related matters.  An inte r-ministerial group was conve ned for the formulation 
of trade policy.  His Government solicited the view s of municipalities and the private sector through 
industry associations and the Chambers of Comme rce.  The Council of Ministers had the final 
authority in formulating trade policy.   
57. His Government had created a WTO Unit, repor ting directly to the Minister, within the 
Ministry of Economy, Growth and Competitiveness.  The purpose of this unit was to (i) develop trade 
policy initiatives and make recommendations to th e Council of Ministers; (ii) coordinate the 
implementation of trade policy decisions made by the Council of Ministers; (iii) coordinate WTO 
related matters within the Government; (iv) prepar e notifications to the WTO; and (v) carry out any 
WTO related functions deemed necessary by the Government or the Council of Ministers.   
58. The representative of Cape Verde noted that  the WTO accession process had in several 
instances necessitated the drafting of new legislation or the modification of existing laws and 
regulations to ensure WTO conformity.  New laws currently under review included the Customs Law, 
the Intellectual Property Law (copyright), and the Law on Foreign Trade.  A General Legislative 
Action Plan for further legislative reform wa s submitted in document WT/ACC/CPV/12 and its 
revisions.   
59. The representative of Cape Verde said that no s ub-central Government entity in Cape Verde 
was vested with the authority to create legal re quirements in the areas covered by the WTO.  
Cape Verde was a unitary Republic with a President , the National Assembly, Government and Courts.  
The central government had the exclusive authority over all administrative issues of national scope.  
Local administration was the responsibility of municipa lities.  All laws and regulations were enforced 
by the administration or courts.   
60. The representative of Cape Verde confirmed th at Cape Verde would, upon accession, apply 
WTO provisions and Cape Verde's Protocol of Accession uniformly throughout the entire customs 
territory, including in special economic zones, and other areas where special regimes for tariffs, taxes 
and regulations were established.  He added that wh en appraised or alerted of a situation where WTO 
provisions were not being applied or were applie d in a non-uniform manner, central authorities would 
act to enforce WTO provisions without requiring aff ected parties to petition through the courts.  The 
Working Party took note of these commitments.   
61. The representative of Cape Verde said that the j udicial system consisted of the Constitutional 
Court; the Supreme Court of Justice; Judicial Cour ts of the First Instance; the Court of Accounts; 
Military Courts; and Fiscal and Customs Courts.  The Courts of the First Instance were divided into  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 17 
 
 
 first, second and third class judicial districts, with the Supreme Court of Justice being the court of last 
instance.  Other Courts could be created by law,  such as Judicial Courts of Second Instance, 
Administrative Courts, Arbitration Courts and Conf lict Resolution Institutions with jurisdiction upon 
smaller territorial areas.   
62. Matters decided in Third Class courts could be ap pealed either to First or Second Class courts 
provided the claim was valued at or above CVE 200, 000 (€1,814).  Cases decided in the First and 
Second Class courts could be appealed to the S upreme Court provided the claim was valued at or 
above CVE 500,000 (€4,535).  In conformity with Article X of the GATT 1994, decisions by the 
Customs or other official entities could be appealed either to the Fiscal and Customs Courts, or to the 
Common Courts.  On matters relating to trade in services and TRIPS, administrative appeals could be directed to the Administrative Court or to the Common Courts.  The Administrative Court was not yet 
operational, and in the interim the Common Courts and the Supreme Court performed its functions.  
He added that the Administrative Court, once operati onal, would be an independent judicial body and 
not part of the executive.  The Administrative C ourt would have jurisdiction over cases or actions 
initiated against the Government and its members or o fficers while carrying out their official duties.   
63. Specifically regarding appeals against administra tive decisions related to trade in goods and 
services and intellectual property rights, he said th at an aggrieved party could appeal in writing 
against an administrative decision.  An appeal could be made directly to the courts, or the matter 
might be referred to the courts after the admini strative remedies had been exhausted.  The usual 
practice was for an aggrieved party to appeal to th e administrative body and, if dissatisfied with the 
outcome, to seek recourse to the courts.  He a dded that issues pertaining to the WTO could be 
appealed in the Common Courts, in their attr ibution or role as Administrative Courts, and 
subsequently to the Supreme Court.   
64. He noted that the National Assembly had approve d Cape Verde's mediation laws in May 2005 
as outlined in the Action Plan (WT/ACC/CPV/13 and Rev.1).  The coverage of Decree-Law 
No. 30/2005 on the creation of mediation centres a nd Decree-Law No. 31/2005 regulating the use of 
mediation in the resolution of conflicts included definitions; the general principle of mediation; 
mediators; representation; compulsory representation;  mediation centres and their rules of procedures; 
pre-mediation and end of the mediation process; an d final provisions.  He added that Cape Verde's 
new arbitration law (Law No. 76/VI/2005) and legisl ation on arbitration centres had been approved by 
the National Assembly in August 2005.  The covera ge of the arbitration law included arbitration 
conventions; arbiters and establishment of an arb itral Court; operation of the arbitration process; 
arbitral decisions; and international arbitration or the adaptation of the arbitration law of Cape Verde WT/ACC/SPEC/CPV/5/Rev.2 
Page 18  
 
 to the international judicial instruments that regulat e international arbitration, i.e. the United Nations' 
Conventions on International Commercial Arbitrat ion and the Regulation of Arbitration of the 
International Chamber of Commerce.  In response to a specific question, he said that the arbitration 
law established entities outside the judicial court syst em of Cape Verde.  Moreover, the Law honoured 
the decisions of arbitration bodies outside Cape Verd e, in accordance with the New York Convention.   
65. The existing framework for arbitration between  foreign investors and the Government of 
Cape Verde allowed for appeals to be made to inte rnational arbitration panels.  Certain provisions of 
the Foreign Investment Law (Law No. 89/IV/93), nota bly Article 17, provided the legislative basis for 
such arbitration.  His Government was not a memb er of the International Centre for Settlement of 
Investment Disputes (ICSID), but the Ministries of Justice and Foreign Affairs were currently considering Cape Verde's possible membership in ICSID as well as the 1958 UN Convention on the 
Recognition and Enforcement of Foreign Arbitral Awa rds.  Cape Verde was also not a signatory of 
the 1994 Treaty of Port-Louis and had not joined the Organisation pour l'harmonization des droits 
d'affaires en Afrique (OHADA).  However, a st udy recommended by the ECOWAS Heads of State 
was to be carried out on the extension of OHADA to all ECOWAS member States, including 
Cape Verde.   
66. The representative of Cape Verde confirme d that the current Constitution, Laws and 
regulations provide the necessary institutional base fo r the prompt administrati ve and judicial review 
of the Government's actions.  He further confirmed that from the date of accession Cape Verde's laws 
would provide for the right to appeal administrativ e rulings on matters subject to WTO provisions to 
the courts or other independent tribunal in c onformity with WTO obligations, including but not 
limited to those set out in Article X of the GATT 1994, Article 23 of the Agreement on Subsidies and 
Countervailing Measures, Article 11 of the Agreem ent on Implementation of Article VII of the 
GATT 1994, Article 62 of the Agreement on Trade-Re lated Aspects of Intellectual Property Rights 
and Article VI of GATS.  The tribunals or pro cedures would also include actions relating to the 
implementation of national treatment, conformity assessment, the regulation, control, supply or 
promotion of a service, including the grant or denial of a licence to provide a service and other matters.  The tribunals or procedures responsible fo r such reviews would be impartial and independent 
of the agency entrusted with administrative enforcem ent and shall not have any substantial interest in 
the outcome of the matter.  The review procedure would include the opportunity for appeal, without penalty, by individuals or enterprises affected by any administrative action subject to review.  Notice 
of the decision on appeal would be given to the ap pellant and the reasons for such a decision would be 
provided in writing.  The Working Part y took note of these commitments.    WT/ACC/SPEC/CPV/5/Rev.2 
 Page 19 
 
 
 IV. POLICIES AFFECTING TRADE IN GOODS  
- Trading Rights 
67. The representative of Cape Verde said that Ca pe Verde's legislation distinguished between 
business registration, performed by the Conservatory  of Commercial Registry under the Ministry of 
Justice, and licensing for commercial activity opera ted by two Chambers of Commerce on behalf of 
the Government.  The registration of "industrial enterprises" was effected  in accordance with the 
requirements and procedures established in La w No. 50/III/89 of 13 July 1989, Decree-Law 
No. 108/89 of 30 December 1989, Law No. 89/IV/93 of 13 December 1993, Law No. 92/IV/93 of 
15 December 1993, Legislative Decree No. 19/ 97 of 22 December 1997, and Regulatory Decree 
No. 1/94 of 3 January 1994.  An "industrial ente rprise" was allowed only to import raw materials, 
semi-manufactured inputs and eq uipment for its own needs, and could not engage in general 
importation and distribution of goods in the domestic market.   
68. Enterprises engaging in commercial activities - importation, exportation and distribution 
services - registered with the Department responsible for commerce at the Conservatory of Commercial Registry pursuant to Decree-Law No. 59/1999 and Ministerial Ordinances Nos. 45-A/99 and 45-B/99 of 27 September 1999.  In addition, these enterprises needed a permit to be a "commercial operator", delivered by the Chamber of Commerce, Industry and Services of Sotavento 
for the islands of Santiago, Maio, Fogo and Br ava, or the Chamber of  Commerce, Industry, 
Agriculture and Services of Barlavento (covering  S. Vicente, S. Antão, St. Nicolau, Sal and 
Boa Vista).  The procedures and requirements for re gistration of commercial operators were outlined 
in Decree-Laws Nos. 69/2005 of 31 October 200 5 and 3/2006 of 16 January 2006.  Industrial 
enterprises importing for their own needs and tourism est ablishments did not have to register with the 
Chamber of Commerce.  Although the authority to i ssue permits had been delegated to the Chamber 
of Commerce, the Ministry of Economy, Growth and Competitiveness retained the power to monitor and regulate the licensing system.   
69. Business registration allowed firms to acquire ju ridical personality and capacity, either in the 
form of sole proprietorships, partnerships, limite d liability companies, cooperatives, capital stock 
corporations and public corporations.  The pro cessing time for business registrations depended on the 
diligence of the applicant, but business entities should assume that a registration had been granted if 
no response had been received within seven working days.  An on-line registration system interfacing 
with the entities involved in the commercial area was being developed and would become operational 
in the near future.  Electronic systems had been installed in Praia, Minde lo, and Sal Island and a 
program had been drafted to cover the whole co untry.  At present, business registrations at the WT/ACC/SPEC/CPV/5/Rev.2 
Page 20  
 
 municipal level were forwarded to, and compiled at, the central office of the Conservatory of 
Commercial Registry in Praia to ensure that new registrants were authorized to carry out business 
throughout Cape Verde.  Foreign enterprises had to establish themselves through a branch or any 
other form of commercial representation to register  in Cape Verde and engage in import or export 
operations.  International traders once registered w ith the Conservatory of Commercial Registry and 
the Chambers of Commerce, were not required to fulfil any other registration requirements.   
70. Any interested party could apply to the Ch ambers of Commerce to become a commercial 
operator and engage in import a nd export activities.  The registration requirements for commercial 
operators engaging in expo rts were identical to those for imports.  Exporters serving the United States' 
market under the African Growth and Opportunities Act (AGOA) registered with the Government department responsible for commerce as exporting be gun and deregistered if they ceased exporting.  
A firm could register as importer,  exporter or both, but could not re gister in one activity and practice 
the other.  The application should specify the product s to be imported or exported (by HS Section).  
An enterprise could engage in both importation an d distribution activities by specifying this in the 
registration documents.  As a general rule, an im porter had the right to import and distribute goods at 
the wholesale level.  The importer could generally no t import to other channels of distribution.   
71. Individuals importing goods for personal use were  not required to register.  Certain activities 
not considered import operations were also exempt  from the registration requirements, including the 
importation of (i) goods destined for accredited diplomatic and consular representatives in 
Cape Verde; (ii) religious articles for churches; ( iii) materials for the Government's own needs and not 
to be distributed further; (iv) live animals, seed s, plants, pesticides, fertilizer, reagents and other 
laboratory materials imported by or on behalf of  the Ministry of Environment and Agriculture in 
experimental farms for the development of the agriculture, forestry and livestock sector; and 
(v) "consumption goods" to be used by social, cultural, recreational, sports, and non-profit 
institutions.  Non-profit institutions paid custom duties on the imported goods unless the goods were 
exempt from duty by law, and goods no longer servi ng their intended purpose could be resold in 
Cape Verde against payment of all duties and ot her impositions, subject to prior approval of the 
General Director of Customs and in accordance with the Law protecting Arts and Sciences (Law 
No. 108/V/99 of 2 August 1999).   
72. Registration fees fixed by Ordinance No. 40/2 004 of 4 October 2004, and collected by the 
Chambers of Commerce, varied for import and expo rt operations.  All firms seeking registration as 
importers, whether foreign or domestically-owned, pa id an annual registration (and renewal) fee of 
CVE 10,000 (€90.69).  Likewise, all firms requesti ng registration as exporters, whether foreign or  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 21 
 
 
 domestically owned, paid an annual registration (and renewal) fee of CVE 5,000 (€45.35).  The 
registration fees covered the processing of registrati on applications, maintaining registration records, 
maintaining a database of impor t and export operations, payments for meeting expenses, travel 
expenses, and the dissemination of in formation and other activities.   
73. Some Members noted that two Chambers of Commerce acted as the Government's agent for 
commercial licensing, and inquired how Cape Verde ensured that the Chambers granted permits and 
Licenses in a fair, transparent and non-arbitrary ma nner, on what grounds the Chambers could reject 
or delay the processing of an application, whether any economic need test w ould be applied, and how 
Cape Verde ensured the right to ap peal the decisions of the Chambers  of Commerce.  An explanation 
was also sought for the rationale of involving ex isting operators, presumably members of a Chamber 
of Commerce, in decisions concerning the admissibility  of new entrants – i.e. potential competitors – 
into the market.  Cape Verde was also requested to provide a timetable for the harmonization of its 
registration fees, in particular the elimination of the difference in the fee for importation and 
exportation, as the procedures and requirements fo r import and export permits appeared to be 
identical.   
74. The representative of Cape Verde replied th at Decree-Laws Nos. 69/2005 and 3/2006 had 
revised the regime for obtaining a commercial licen ce.  The general and specific conditions to be 
fulfilled to be granted a commercial licence were stipulated in Articles 15 and 17 of Decree-Law 
No. 69/2005 and Article 8 of Decree-Law No. 3/20 06.  The procedures in Decree-Law No. 3/2006 
applied to domestic and foreign operators.  The new regime did not specify the conditions under 
which a Chamber could reject an application, bu t set out a positive standard of elements and 
requirements to be included in the application.  An  incomplete application would be returned to the 
applicant, who would be invited to provide the missing data.  The Chamber of Commerce had no 
discretion to reject an application for obtaining a commercial licence, and a new market entrant – once 
he/she fulfilled all stipulated conditions – could not  be refused admission.  Neither the Conservatory 
of Commercial Registry nor the Chamber of Co mmerce applied any economic needs test.  An 
administrative appeal against a licensing decision of the Chamber of Commerce could be filed with the General Directorate of Commerce in the Minist ry of Economy, Growth and Competitiveness, and 
appealed further to the Minister.  An applicant coul d also seek recourse to the courts by filing a civil 
court case against the Chamber of Commerce within 30 days from the date of rejection of the application.  In filing the case, the application could also seek financial compensation for damages.  The commercial licensing obligations had been in place since 2001, and the system had so far been 
operating without complaints from the operators or th e new entrants.  He stressed that domestic and WT/ACC/SPEC/CPV/5/Rev.2 
Page 22  
 
 foreign enterprises paid the same registration fees.  However, the fees for importation and exportation 
would be harmonized, reflecting the cost of the servi ces rendered, in a new Ordinance in preparation.   
75. Some Members noted that imports of rice, corn, sugar, and wheat flour had been liberalized 
from State trading and that the importation of these products had been opened to private enterprises 
meeting certain criteria, including prior registra tion, the maintenance of appropriate domestic 
installations to store the products, and a proven ab ility to distribute 30 per cent of the annual import 
volume outside the Santiago and São Vicente islands.   These Members sought further clarifications 
regarding the import regime for staple products, notably whether imports were controlled through 
discretionary licensing, any limits applied on the number of enterprises applying for imports, or 
whether private importers were competing w ith former State enterprises still in business. 
76. The representative of Cape Verde replied th at Decree-Law No. 68/2005 - which established 
the current system of import licensing - applied gene rally, including to staple goods such as corn, rice, 
sugar and wheat flour.  No State trading enterprises were competing with private importers of staple goods, the number of enterprises applying to import w as not limited at present, and imports were not 
restricted through discretionary licensing.  D ecree-Law No. 69/2005 had revoked a legal requirement 
for the importer to distribute no less than 30 per cent of the annual import volume outside Praia and 
São Vicente.   
77. Recalling that the right to import and export go ods without investing in the territory of a 
Member was a fundamental right under the WTO, pr otected though provisions in Articles III and XI 
of the GATT 1994, some Members stated that the requirements associated with the right to import 
into and export from Cape Verde appeared to co nstitute a WTO-inconsistent restriction on trade, 
discriminating against imports vis-à-vis  domestic production.  In particular, discriminatory licensing 
fees and the need for a foreign enterprise to establis h a branch or commercial presence in Cape Verde 
would seem an unnecessary barrier to trade, inconsis tent with Article XI of the GATT 1994.  Foreign 
individuals and enterprises without a full commercial  presence in Cape Verde should be able to be 
recognized as "importer or exporters of record", maintain legal ownership and control of the goods, 
and pay all duties and taxes prior to transferring owne rship to a local distributor.  In addition, Cape 
Verde should ensure that "industrial enterprises" would be allowed to import goods to compliment 
their product line for further sale to  the local market, even though such imports could be required to 
be passed on to local distributors.  In the opinion of  some Members, trading rights were fundamental 
rights in the WTO system, and should be grante d to other Members upon accession.  A transition 
period for the granting of trading rights would th erefore not be appropriate, and Cape Verde should 
adopt the necessary changes in its legislation prior to accession.    WT/ACC/SPEC/CPV/5/Rev.2 
 Page 23 
 
 
 78. In reply, the representative of Cape Verde referr ed to an earlier action plan to update Cape 
Verde's commercial legislation (document WT/ACC/C PV/21) and noted that the licensing system for 
foreign trade operations and co mmercial operators had been revised through Decree-Laws 
Nos. 69/2005 and 3/2006.  He acknowledged that Cape Verde's legislation still set out basic 
commercial presence requirements with respect to  minimum capital (Article 17.1(a) and 17.2 of 
Decree-Law No. 69/2005), warehouse ownership (Ar ticle 17b.1(b) of the Decree-Law), fees for 
commercial licensing (Article 32), and registration wh ich could be at odds with Articles III and XI of 
the GATT 1994.  His Government was willing to revise its commercial legislation and related 
procedures, but would require a transitional period  to accomplish this work.  He referred to the 
revised Action Plan on Commerce Legislation, circulated in document WT/ACC/CPV/21/Rev.1, 
whereby the provisions in Decree-Law No. 69/ 2005 governing minimum capital, warehousing and 
fees would be revised by December 2008, and othe r aspects of Decree-Law No. 69/2005 would be 
amended by December 2010.   
79. The representative of Cape Verde confir med that from [the date of accession] 
[December 2010] Cape Verde would grant any natural or legal person, regardless of physical presence 
or investment in Cape Verde, the right to be th e importer of record of any product allowed to be 
imported into Cape Verde, and that its laws and regulations relating to  the right to trade in goods and 
all fees, charges or taxes levied on such right s would conform fully w ith its WTO obligations, 
including Articles VIII:1(a), XI:1, and III:2 and 4 of the GATT 1994, Article III of the General 
Agreement on Trade in Services, and Article 63 of the Agreement on Trade-Related Aspects of 
Intellectual Property Rights.  He also confirmed that full rights to import and to export would be granted in a non-discriminatory and non-discretionary manner from [the date of accession] [December 2010], and any requirements for commercia l registration or application for trading rights 
would be for customs and fiscal purposes only, woul d not require investment in Cape Verde nor 
confer the right to distribute there, and would not  constitute a barrier to trade.  The Working Party 
took note of these commitments.   
A. IMPORT REGULATIONS 
- Ordinary customs duties 
- Customs tariff 
80. The representative of Cape Verde said that the existing customs legislation was old, 
fragmented and to some extent outdated.  Thus, a new extensive and comprehensive Customs Code WT/ACC/SPEC/CPV/5/Rev.2 
Page 24  
 
 was being prepared.  The draft Customs Code was submitted to the Working Party for review and 
comments.  He expected the Code to be approve d by the National Assembly by December 2008.   
81. In accordance with Law No. 85/V/98 of 31 D ecember 1998, Cape Verde had adopted the 
Economic Community of West African States (ECO WAS) customs nomenclature, which was based 
on the 1996 version of the Harmonized System (HS) of Commodity Classification.  The ECOWAS nomenclature utilised ten digits, with the first six digi ts indicating the HS chapter, its headings and its 
sub-headings; the seventh and eighth digits confor med with the ECOWAS statistical classification; 
and the ninth and tenth digits corresponded to the statistical classification at the national level.  
ECOWAS had established a roadmap to implement the HS 2002 nomenclature by December 2003.  The implementation of this roadmap had been delaye d.  In June 2007, Cape Verde's Parliament had 
approved the new Customs Tariff (Law No. 11/VII/07), which was based on HS 2007 nomenclature.  
The new Customs Tariff had been in force since 1 July 2007.  However, Cape Verde was conducting 
its bilateral market access negotiations with WTO Members using the HS 2002 nomenclature, and 
Cape Verde's Schedule of Concessions and Commitm ents on Goods would accordingly be established 
in HS 2002.   
82. Custom duties were applied on imported goods in accordance with the MFN rates currently 
stipulated in Cape Verde's Customs Tariff.  As  set out in Law No. 14/VI/2002 of 19 September 2002 
and its amendments, customs duties had been redu ced on 1 January 2004 and modified in accordance 
with Law No. 48/VI/2004 of 26 July 2004.  The rat es had not been increased on any tariff line.  Duties 
on wheat flour had also been modified through Law No. 37/VI/2003 of 31 December 2003.  Customs 
duties were predominantly ad valorem  with seven tariff bands and base duty rates of zero, 5, 10, 20, 
30, 40 and 50 per cent.  The trade-weighted tariff average had ranged between 24 per cent in 1995 and 
about 31 per cent in June 2002.  Import duties cons tituted approximately 50 per cent of the taxes 
collected at the border in 2002 and early 2003.   
83. Asked whether Cape Verde was committed to maintain a common external tariff as a member 
of the ECOWAS or the West African Economic and Monetary Union (WAEMU), the representative of Cape Verde said that Cape Verde had jo ined ECOWAS, but not the WAEMU.  ECOWAS 
members did not apply a common external tariff, but plans existed to extend the Common External 
Tariff (CET) of the WAEMU to the non-WAEMU members of ECOWAS, including Cape Verde, by 
2007.  Several countries had begun the phasing in of  the CET.  During a transitional period from 2005 
to 2007, countries could be granted waivers on a ta riff line basis under so-called Type A and Type B 
exceptions.  Cape Verde had solicited the list of Type A and Type B exceptions from ECOWAS.    WT/ACC/SPEC/CPV/5/Rev.2 
 Page 25 
 
 
 84. Preferential duty rates were applied to impor ts from ECOWAS or under free trade agreements 
with African Portuguese speaking countries (Angola,  Guinea Bissau, Mozambique and Sao Tome and 
Principe) and imports from Mauritania.  The free trade agreement with the African Portuguese 
speaking countries needed a prot ocol on rules of origin to become fully functional.   
[Cape Verde submitted a revised Tariff Offer on G oods in September 2007 (see notice in document 
WT/ACC/SPEC/CPV/2/Rev.4.]  
- Other duties and charges 
85. The representative of Cape Verde said that a 35 per cent surtax on goods imported by 
"informal importers without currency outflows" ("ISDC") had been revoked by Law No. 121/V/2000 
of 5 June 2000.  He confirmed that Cape Verde applied an ECOWAS Community Levy of 
0.5 per cent on all imports from non-ECOWAS countri es.  This levy was imposed in accordance with 
ECOWAS Protocol A/P.1/7/96, approved by Resolution No. 67/V/97 of 31 December 1997.  As called for in the revised ECOWAS Treaty, this w as a West African regional integration levy to 
promote financial autonomy and raise revenu es for ECOWAS activities and institutions.   
86. Some Members stated that they would be very concerned at any attempt to seek exemptions 
from the provisions of Article II:1(b) of the GATT 1994 for particular kinds of measures such as the 
ECOWAS levy, recalling that the provisions of Article II:1(b) of GATT 1994 had been created to ensure the integrity of commitments on bound ta riffs.  Cape Verde was encouraged to fund the 
ECOWAS levy from general taxation revenue, or negotiate its elimination within ECOWAS.   
87. Responding to requests that Cape Verde elimin ate all ODCs and bind such duties and charges 
at zero in the Schedule of Concessions and Commitments on Goods, the representative of Cape Verde said that the application of the ECOWAS Community  Levy had been negotiated by all the Member-
States of ECOWAS and that Cape Verde was not in a position to eliminate this levy unilaterally.  He 
further stated that the ECOWAS Community Levy w as, in his view, the only charge currently applied 
by Cape Verde that fell within the meaning of "other  duties and charges" covered by Article II:1(b) of 
the GATT 1994.   
88. The representative of Cape Verde confirmed th at his Government would not list duties and 
charges in its Schedule of Concessions and Comm itments on Goods under Article II:1(b) of the 
GATT 1994 except for the ECOWAS Community Levy of  0.5 per cent, thereby binding such charges 
at that rate.  He also confirmed that measures applied to imported goods of the kind described in 
paragraph [85] would be eliminated no later than the date of Cape Verde's accession and that after WT/ACC/SPEC/CPV/5/Rev.2 
Page 26  
 
 accession measures of this kind would not be reapplie d or introduced.  The Working Party took note 
of these commitments.   
- Tariff rate quotas, tariff exemptions 
89. The representative of Cape Verde said that Ca pe Verde did not apply tariff rate quotas on 
imports and had no plans to introduce such quotas in the future.   
90. The representative of Cape Verde said that ta riff exemptions were provided to encourage 
domestic economic activity and facilitate infrastru cture development in certain sectors, notably 
equipment for passenger transportation and car rental.  Air transportation companies were also exempt 
from duties for the importation of some equipment a nd spare parts.  Duly registered tourism or 
industrial enterprises applied for duty exemptions to  the Directorate of Customs.  Asked to indicate 
any conditionality associated with these benefits, e.g.  export promotion or the use of local content in 
production, the representative of Cape Verde said th at the tariff exemptions accorded to industrial 
enterprises and projects, tourism establishments, and development projects were dependent on the 
status of the beneficiaries, none of which were e ngaged in production for exports nor subject to local 
content requirements.   
91. Tariff exemptions were also permitted for the im portation of (i) goods donated to Cape Verde 
by international organizations; (ii) gifts offered to the Head of State, President of the National 
Assembly, and members of the G overnment; (iii) goods donated to religious missions recognized by 
the State; (iv) donations to the Red Cross, Carit as-Cape Verde and other humanitarian organizations 
for disaster relief, reconstruction, etc.; (v) goods destin ed for the use of Heads of  State, dignitaries etc. 
on official visits to Cape Verde; (vi) goods im ported by Embassies, Consulates, Diplomatic Missions 
and their staff; (viii) luggage and personal effects brought in by passengers within permissible limits; 
(ix) staple goods such as maize, beans, rice, suga r, wheat, milk or cooking oil provided as food aid to 
his Government by bilateral donors or international organizations; (x) goods shipped by the Navy in 
their transit vessels; (xi) tourism and commercia l documents; (xii) Flags and the State's seal; 
(xiii) ship wreckage and ship debris; and (xiv) pr oducts destined for international sports events 
(medals, trophies, pharmaceuticals, etc.).   
92. The representative of Cape Verde confirmed that any tariff rate quotas, if introduced in the 
future, would be applied and administered in conf ormity with WTO rules and regulations, including 
MFN and national treatment provisions.  The Work ing Party took note of this commitment.    WT/ACC/SPEC/CPV/5/Rev.2 
 Page 27 
 
 
 - Fees and charges for services rendered 
93. The representative of Cape Verde said that a cu stoms user fee of 1.04 per cent of the CIF 
value was applied to all imports pursuant to Minist erial Ordinance No. 71/78 of 14 October 1978 as 
amended by Ministerial Ordinance No. 27/79 of 28 April 1979.  The customs user fee had been subjected to a study and compared to the actual costs incurred by the customs authorities.  He 
confirmed that the revenue from this fee was used to pay the overtime salaries of customs and fiscal 
police officials, and that surplus revenue  was transferred to the State budget.   
94. Importers were also charged for the purchase of  government publications and printed matter.  
The General Directorate of Customs published an annual "customs bulletin" containing legislative 
provisions related to customs services, dispatch es from Government members, circulars, service 
orders, etc.  This publication was sold at the Cust oms Treasuries.  Forms sold to importers included 
those purchased for the use of customs services and for carrying out customs-related activities.  The 
proceeds from the sale of government publications and printed matter were used for the publication of 
new materials.   
95. Among other fees or charges for services rendere d applied to imports, he  identified interest 
paid by importers for credit on customs duties, a late payment penalty or additional interest for 
delayed payment of duties and charges, and tax pe nalties or fines and other judicial charges.  
Importers granted credit, and who de ferred payment of the applicable custom duties, repaid their dues 
with interest of 10 per cent per annum.  Late payment of these dues was subject to a penalty or 
additional interest; no such charges applied if pa yment was made within th e established deadlines.  
Tax penalties, fines and other judicial charges app lied to importers for the storage of imported goods 
in customs warehouses beyond the legally established peri od, and penalties, fines or judicial expenses 
in connection with customs crimes and contraventio ns.  All these charges were applied uniformly to 
all imports under similar circumstances.   
96. He added that Cape Verde had eliminated various fees and charges imposed on imports, 
notably a Tonnage Tax levied as a charge per ton on vessels, revoked in accordance with Article 38 of 
Law No. 14/VI/2002 of 19 September 2002; a Special Storage tax introduced in 1960 for the storage of fuels; a Storage charge by th e Customs House for goods stored in its former warehouses; a General 
Customs Fee or General Emolumen t Tax of 9 per cent introduced in 1942; and a Stamp Duty of 
CVE 100 (€0.91), applied to each import and expor t declaration, and dating back to 1942. 
97. Some Members stated that the customs user fee of 1.04 per cent ad valorem  was clearly 
inconsistent with Article VIII of  GATT 1994 and requested Cape Verd e to amend or eliminate this WT/ACC/SPEC/CPV/5/Rev.2 
Page 28  
 
 fee.  Ad valorem  fees were by definition not related to the cost of services rendered as they were based 
on the cost of the import.  Cape Verde needed a new customs processing fee approximating the actual 
cost of processing individual import shipments, e.g. by applying a minimum and maximum charge 
ensuring that the fee was not another form of tax.   If revenues from the fee were used for export 
processing, the fee should be applied equally to export s.  The fee should not be used to fund customs 
expenditures not associated with the processing of imports and exports, and there should be no excess 
revenue to be rebated to the State.   
98. The representative of Cape Verde replied that  a study undertaken by the General Customs 
Directorate had concluded that the 1.04 per cent cust oms user fee was in conformity with Article VIII 
of the GATT 1994.  However, in the light of th e comments made by Members, his Government was 
willing to make the necessary cha nges in the near term to comply with GATT Article VIII.  A new 
study would have to be undertaken to determine th e appropriate level of the customs processing fee, 
possibly a two-tier (maximum and minimum) charge.   
99. The representative of Cape Verde confir med that [from the date of accession][by 
December 2013] any fees or charges imposed on or  in connection with im portation and exportation 
would be applied in accordance with Article VIII of the GATT 1994.  The Worki ng Party took note of 
this commitment.   
- Application of internal taxes to imports 
100. The representative of Cape Verde said that va lue added tax (VAT) had been introduced on 
1 January 2004 pursuant to the VAT Regulation Law No. 21/IV/2003 of 14 July 2003.  VAT was 
applied at a general rate of 15 per cent on goods and services; enterprises in the tourism sector were 
subject to VAT at the rate of 6 per cent according to Law No. 53/VI/2005 of 3 January 2005.  VAT was computed using the destination principle, th ereby exempting exports and taxing imports on the 
same basis as domestically-produced goods and ser vices.  The tax base on imports included customs 
duties and other applicable border fees.  All enterprises were subject to VAT as long as they 
undertook any taxable or import operation, and we re residents or had an establishment or a 
representation in Cape Verde.   
101. The State did not pay VAT on operations in the ex ercise of its governmental authority.  As set 
out in the VAT Regulation Law, all services provide d by non-profit organizations were also exempt 
from VAT, as long as their objectives were specifica lly described in the Law as being of a political, 
labour-union, religious, patriotic, humanitarian, ph ilanthropic, recreational, sporting, cultural, 
environmental or of a civic nature.    WT/ACC/SPEC/CPV/5/Rev.2 
 Page 29 
 
 
 102. As for product-specific VAT exemptions, Cape Verde exempted all staple goods and certain 
agricultural inputs, enumerated in Tables 4(a) and 4(b).  Articles 9 and 12 of the VAT Regulation Law 
established the criteria for granting such exemptions.  In addition, pursuant to Law No. 14/VI/2002 of 
9 September 2002, Laws Nos. 21/VI/2003 and 23/VI/2003 of 14 July 2003, and Decree-Law 
No. 48/2004 of 26 July 2004, certain domestic ope rations were exempt from VAT.  Article 8, sub-
paragraphs (a)-(y), of Law No. 14/ VI/2002 listed the exempted domest ic operations.  The exemptions 
were applicable to both imports  and domestic production and all ju ridical persons, including foreign 
nationals, could apply for these VAT exemptions.  Exemptions from VAT were not automatic and had 
to be solicited in accordance with Decree-Law No. 22/ 2003 of 14 July 2003.  The application form 
(MOD 108, annexed to the Decree-Law)  was addressed to the Minister of Finance and Planning.  The 
authority to approve or deny the requests had been delegated to the General Directorates of Customs 
and Contributions and Taxation, and in practice the decisions would normally be taken by the 
Directors of Customs or the Heads of the Finance Departments.  Applications for VAT exemptions 
were decided on within five working days.  A decision taken by the Director of Customs could be appealed to the General Directorate of Customs.  Appeals against decisions of the Heads of the 
Finance Departments were directed to the Gene ral Directorate of Contributions and Taxation, 
subsequently to the Minister of Finance, and fina lly to the Supreme Court.  The draft Customs Law 
included provisions for the reimbursement of VAT in these instances.   
103. Noting that Article 8 of the VAT Law generally  exempted domestic agricultural, forestry, 
livestock and fishing activities from the application of  VAT, and that Article 9 authorized exemptions 
for the transmission of "staple goods", a Member  stated that VAT exemptions involving non-
application of the tax to domestic goods at some point of sale was discriminatory unless the exemption applied equally to similar imported goods.  Cape Verde would need to amend its 
legislation if the legislation did not meet the na tional treatment requirements of GATT Article III in 
this regard.  In reply, the representative of Cape Verde confirmed that farmers were not subject to 
VAT as agricultural, forestry, livestock and fi shing activities were VAT exempted.  He further 
confirmed that similar imported pr oducts, including "staple goods", were also exempt from VAT and 
that the VAT legislation therefore, in his opinion, met the national treatment requirements of 
Article III of the GATT 1994.   
104. The representative of Cape Verde said that Ca pe Verde had also applied Special Tax on 
Consumption (STC) since 1 January 2004.  The produc ts subject to STC were listed in the Annex to 
the Regulation on Special Consumption Taxes (Law  No. 22/IV/2003 of 14 July 2003, as amended by 
Law No. 37/VI/2003 of 31 December 2003 and Law No. 48/VI/2004 of 26 July 2004).  The list and WT/ACC/SPEC/CPV/5/Rev.2 
Page 30  
 
 the corresponding tax rates is reproduced in Table 5.   The STC was applied at the point of sale for 
domestic production and at the border for imports.   
105. He added that Cape Verde levied an Envir onmental Tax on imports to support environmental 
projects.  The revenues from this tax were tran sferred to the municipalities for environmental 
protection and basic sanitation works.  The environm ental tax, originally introduced in 1995 through 
Decree-Law No. 128/IV/95 of 27 June 1995 and abolis hed on 1 January 2004 with the introduction of 
VAT, had been reintroduced by Law No. 46/VI/200 4 of 12 July 2004.  The Environmental Tax was 
levied on all non-biodegradable wrappe rs made of metal, glass, plastic and other synthetic materials.  
The tax amounted to 1 per cent of the CIF valu e of goods imported in non-biodegradable packages 
and interior wrappings, and 10 per cent on non-bi odegradable packages and interior wrappings 
imported for packaging goods domestically.  In r esponse to a specific query, he said that his 
Government had decided that the Environmenta l Tax on national production should be collected by 
the Customs Services, as the expected revenue would not justify the creation of  two structures for the 
collection of the tax.  Asked to provide further de tails concerning the tax rates and identify the agency 
determining whether a product would be subject to  the tax and whether such decisions could be 
appealed, the representative of Cape Verde said that  Law No. 46/VI/2004 was under revision.  In this 
connection, the environmental tax would also be  extended equally to domestic products.  The 
Ministry of Finance was drafting amendments to th e Law and implementing regu lations.  He expected 
the legislative process to be completed by June 2008.   
106. He noted that the introduction of VAT had permitted the consolidation and abolition of 
several tax measures including a tax on duty-free shop s, introduced in 1970 and abolished pursuant to 
Article 38 of Law No. 14/VI/2002, a Consum ption Tax on imported goods, a Special Tax on 
Consumption on alcohol and tobacco introduced in  1993, a Miscellaneous Tax for the recovery of 
minor charges, and a Consumption Tax on Local Production created in 1966.  He confirmed that 
VAT, the Special Tax on Consumption, and the E nvironmental Tax were the only internal taxes 
currently applied to imports.   
107. Some Members stressed that the Special Tax on Consumption should be levied equally to 
imported and domestic products, provided Cape Verde had domestic production of the goods 
concerned, otherwise its system could not be co nsidered WTO compatible.  Some Members also 
noted that the Special Tax on Consumption (Table 5) was significantly lower on still wine than on other alcoholic beverages, and i nquired whether Cape Verde had domes tic production in this category.  
The representative of Cape Verde replied that Cape  Verde produced beer and small quantities of wine.   WT/ACC/SPEC/CPV/5/Rev.2 
 Page 31 
 
 
 He confirmed that the Special Tax on Consumption wa s levied on imported as well as domestically-
produced alcoholic beverages pursuant to Article 2.1 of Law No. 22/VI/2003 of 14 July 2003.   
108. The representative of Cape Verde confirmed that his Government[, from the date of 
accession,][by June 2008] would ensure that Cape Verde's laws, regulations and other measures 
relating to internal taxes and charges levied on im ports would be in full c onformity with its WTO 
obligations, in particular Article III of GATT 1994, and that it would implement such laws, 
regulations and other measures in full conformity with those obligations.  The Working Party took 
note of these commitments.   
- Quantitative import restrictions, including  prohibitions, quotas and licensing systems 
109. The representative of Cape Verde said that as per Decree-Law No. 3/99 of 1 February 1999, 
no quantitative import restrictions or quotas were curre ntly in effect in Cape Verde.  However, in 
accordance with the revised ECOWAS Treaty and Decree-Law No. 25/98 of 29 June 1998, some 
products were subject to international trade restri ctions.  Article 41 of the revised ECOWAS Treaty 
permitted measures to be taken to restrict or prohi bit imports for (i) national security considerations; 
(ii) the control of arms, ammunition and other military equipment; (iii) the protection of human, 
animal or plant health; (iv) the protection of public  morals; (v) the protection of Cape Verde's artistic 
and cultural treasures or property; (vi) the control of  narcotics, hazardous and toxic wastes, nuclear or 
radioactive products or any other material used in the development or exploitation of nuclear energy; 
and (vii) the transfer of gold, silver and precious or semi-precious stones.  Raw diamonds could only 
be traded with countries participating in the Ki mberly Process Certification System pursuant to 
Decree-Law No. 47/2004 of 15 November  2004.  Products subject to intern ational trade restrictions or 
prohibited in Cape Verde are listed in Tables 6 and 7 respectively.   
Table 6:  Products subject to International Trade Restrictions  
HS Number Description Justification 
2401; 2402; 2403 Tobacco Contract be tween the Government and the 
Cape Verdean Tobacco Company. 
2844.10; 2844.20; 
2844.30; 2844.40 and 
1844.50 Radioactive Products Inte rnational Conventions on non-
proliferation of nuclear weapons. 
2844.10; 2844.20; 
2844.30; 2844.40 and 
2844.50 Chemical Radioactive Elements and 
Radioactive Isotopes  International Conventions on non-
proliferation of nuclear weapons. 
7106.00  Silver 
7108.00  Gold 
7110.00  Platinum 
7110.21 and 7110.29 Palladium 
7110.31 and 7110.39 Radium 
7110.41 and 7110.49 Iridium 
7110.41 and 7110.49 Osmium In accordance with Article 41.3 of the 
Revised ECOWAS Treaty,  precious metals 
for monetary purposes may only be 
imported by the Central Bank.  Jewels may 
only be imported and sold by jewellers. 
Raw precious stones a nd metals may be 
imported by industries in accordance with WT/ACC/SPEC/CPV/5/Rev.2 
Page 32  
 
 HS Number Description Justification 
7110.41 and 7110.49 Ruthenium International Conventions. 
8401. 00  Nuclear Material International Conventions on non-
proliferation of nuclear weapons. 
9301; 9302; 9303; 9307 Weapons 
9306.10 Munitions Restrictions for security reasons under 
ECOWAS Agreement on Non Proliferation  
9705. 00  Collections and specimens for zoology, 
botany, mineralogy, anatomy collections, or 
collections of a hist oric, archaeological, 
palaeontology, ethnogra phic or numismatic 
interest: Protection of biodiversity and national 
treasures of cultural, artistic, historic, 
archaeological value. 
9706. 00 6 Antiquities more than 100 years old. Protection of national tr easures of artistic, 
historic, archaeological value 
 
110. Some Members did not find the restrictions on  jewels and other precious stones and metals 
(other than monetary gold and silver) justifiabl e under WTO provisions.  Moreover, Article 41 of the 
ECOWAS Agreement did not appear to authorize such restrictions.  The representative of Cape Verde 
replied that according to Article 41.3(d) of the ECOWAS Agreement, a member State could introduce 
or continue to enforce restrictions or prohibitions affecting the transfer of gold, silver and precious 
and semi-precious stones.   
111. The representative of Cape Verde noted that  according to Cape Verdean Law only the 
Government, through the Ministry of Defence and th e Ministry of Home Affairs, could import heavy 
weapons and munitions for defence and security u se.  ECOWAS controlled the importation of hand-
held weapons and munitions.  ECOWAS also aut horized restrictions on imports, exports and re-
exports of gold for monetary use, gold in bars or gold in any other unwrought or semi-manufactured 
form.  In Cape Verde, gold for monetary use was s ubject to control by the BCV.  These restrictions 
were, in his view, covered by Article XX of the GATT 1994.  Also subject to control by the BCV 
were gold in coins, ingots and other non-worked fo rms.  These restrictions were authorized by 
Article 1 of Decree-Law No. 25/98 of 29 June 1998 , and were intended to fight smuggling, money 
laundering, and the circumvention of capital account cont rols.  There was no intent to prevent trade in 
these items, only to verify the purpose for their im portation through identificat ion of an appropriate 
importer.  He confirmed that, except for tobacco, n one of the goods subject to international trade 
restrictions were produced in Cape Verde.  Tob acco production in Cape Verde was insignificant.  A 
private company - the Cape Verdean Tobacco Compan y (Sociedade Cabo Verdia na de Tabaco) - held 
an exclusive right to import tobacco until 2012 in accordance with a contract  between the enterprise 
and his Government and could be considered a state trading enterprise within the meaning of 
Article XVII of the GATT and the Understanding on that Article.  The importation of tobacco would 
be subject to non-automatic licensing from 2012.  Cape Verde prohibited (non-automatic licensing) 
the importation of nuclear and radioactive products  or waste in accordan ce with international non-
proliferation treaties.  Other products prohibite d in Cape Verde are listed in Table 7.    WT/ACC/SPEC/CPV/5/Rev.2 
 Page 33 
 
 
 Table 7: Goods whose importation is prohibited in Cape Verde  
Goods whose importation is prohibited in Cape Verde 
1 Animals and animal products from foreign areas where there is epizooty.  This prohibition did not apply 
to all epizooties but only to those which Cape Verde is not immune to and which are considered dangerous to the national livestock (animal health), pl ants, vegetables (flora) on  the principle of risk 
analysis and international norms and standards.    
2 Elder tree berry.  
3 Unauthorized foreign lottery tickets or its fractions.   
4 Boxes or gathered bales and bundles, with the same mark and packed in one volume containing different 
or the same kind of goods, which are imported without declaration of the number and the total weight of the boxes or gathered bales.   
5 Cannabis Sativa L, known as "Indian Hemp". 
6 Imitations of postage-stamp, postmark and other postal stamps in use in Cape Verde  
7 Containers manufactured with terneplate packing goods other than mineral oils and, when empty or 
unassembled, are not consigned exclusively to companies which sell mineral oils.  
8 Books when counterfeited editions and fraudulent copies of literary and artistic works protected by law 
and international conventions.   
9 Medicaments of secret composition or not properly registered.   
10 Medications of poor quality or out of date; foodstuff harmful or dangerous to public health. 
11 Goods with false factory marks, false trade marks or false origin or provenance, contravening laws and 
international agreements in effect.   
12 Goods brought by ships sailing in contravention of international conventions.  
13 Pornographic objects, pictures, books, printed pape rs, recorded films, drawings, stamps, written libel and 
publications, offensives to morals and public decency  
14 Plants and any of its parts coming from infected areas of phylloxera or of any other epiphytic disease .  
15 Roulettes and other gambling games without previous authorization.  
16 Wines and liquors with any geographical denomi nations legally defined or any others which can 
occasion mistakes about their real origin, when they are not produced  in the wine-growing areas known 
under those denominations, or with such denominations as "kind of", "type", "rival of", "superior to" and 
similar logos.  
17 Distilled alcoholic drinks which contain essences or chemical products such as: absinth, benzoic 
aldehyde, salicylic ethers, hyssop and other products recognized as noxious for human health.  
 
112. On import licensing, the representative of Cape Verde said that Decree-Law No. 51/2003 of 
24 November 2003 had introduced a non-automatic licensing requirement on all products imported 
into and exported from Cape Verde, made effec tive through Ministerial Ordinance No. 13/2004 of 
14 June 2004.  The Ordinance had revoked Form A of the Foreign Trade Title (FTT) and the FTT – 
Rectifying Title, and created new form s to be completed as per the inst ructions annexed to Ministerial 
Ordinance No. 3/2004 of 26 January 2004.  Minist erial Ordinance No. 13/2004 had been applied 
retroactively to the date when Ministerial Ordi nance No. 3/2004 had gone into effect.  Travellers 
luggage and personal effects were exempt from th e non-automatic licensing requirement according to 
Ministerial Ordinance No. 4/2004 of 26 January 2004.   
113. Some Members stated that contrary to the "s tandstill principle", which ensured the neutrality 
of the negotiation process and the negotiating credib ility of an acceding Government, Cape Verde had 
suddenly and without consultation instituted a non-au tomatic licensing procedure on all imports and 
exports.  These Members would appreciate an explana tion for this step, and further information on the WT/ACC/SPEC/CPV/5/Rev.2 
Page 34  
 
 purpose, operation and nature of this non-automa tic licensing requirement, notably who would be 
eligible to apply for the licence, the criteria empl oyed in issuing licenses, and whether Cape Verde 
intended to narrow the coverage of this licensing regi me to a limited number of products of particular 
interest or concern.  Cape Verde was also requested to complete the WTO Import Licensing 
Questionnaire for this measure.  Some Members stated  that the application of broad, non-automatic 
licensing requirements to substantially all trade n eeded to be justified in terms of specific WTO 
provisions or be deemed inconsistent inter alia  with Article XI of the GATT 1994.   
114. Having reviewed draft legislation amending Decree-Law No. 51/2003, a Member stated that 
draft Articles 6 and 7 appeared incompatible with  the Agreement on Import Licensing Procedures by 
not distinguishing clearly between goods subject to automatic and non-automatic  licensing.  The list 
of goods subject to licensing and the criteria for obtaining a licence should be clear, exhaustive and 
publicly available as provided for by the GATT a nd the Agreement on Import Licensing Procedures.  
Without such a list and criteria, grant of the licence would be discretionary and therefore not automatic.  Cape Verde was also requested to clarify whether a licence was required for each 
individual import operation, the term of validity of  a licence, the application of licence fees and the 
legal basis for such fees, and to elaborate on the provisions concerning "imports without commercial 
value".  Information should be provided on the criter ia used to select imports for this list and the 
purpose of the non-automatic licensing restrictions.  This information should be provided to WTO 
Members as part of Cape Verde' s accession process and in its res ponse to the Questionnaire on Import 
Licensing.   
115. The representative of Cape Verde replied that  Decree-Law No. 51/2003 had been replaced by 
Decree-Law No. 68/2005 of 31 October 2005.  Howeve r, the new implementing regulations for the 
new Decree-Law had yet to be prep ared and circulated.  The revised legislation distinguished between 
imports subject to non-automatic licensing, automa tic licensing and imports totally exempt from 
licensing.  Goods subject to non-automatic licensing are listed in Table 8.  Exempt from licensing 
were imported goods without commerc ial value (e.g. samples; goods destined for trade fairs and 
exhibitions; provisions to ships and aircraft; etc.); temporary imports, re-importation, re-exportation, 
goods in transit and "active and passive improvement  operations"; imports subject to special customs 
regimes (franc stores, bonded warehouses, franc deposit and special customs storage); manufactured 
goods to be used for congresses, fairs, internationa l exhibitions and similar events; provisions for 
ships and aircraft in accordan ce with applicable legislation;  goods apprehended, abandoned, 
shipwrecked or salvaged and sold at auction; and imports "without expenditure of currency" 
belonging to air and maritime navigation companies for their exclusive use.    WT/ACC/SPEC/CPV/5/Rev.2 
 Page 35 
 
 
 116. Non-automatic licensing was applied to goods  subjected to sanitary or phytosanitary 
requirements, security controls, or mandatory rest rictions required by law.  In these cases, the 
applications should be accompanied by a proforma in voice, a certificate of origin, and certificates of 
compliance issued by the sanitary or phytosanitary  authorities, the security control authorities, or 
other competent authorities depending on the nature of the goods.  A non-automatic licence would be 
delivered within 21 days from the date the cust oms declaration was presented to the competent 
authorities.  Any person, firm or institution was elig ible to apply for an import licence (except persons 
with a criminal record).  There was no fee to be paid.  The Chamber of Commerce maintained a list of 
authorized importers, but the list had not been publ ished.  All other licenses delivered under the new 
regime would be automatic.  No application was necessary, and the automatic licence became effective upon presentation of the customs declaration.  The new system would eliminate the Foreign 
Trade Titles (TCE), but TCEs already issued would remain in effect until the end of their validity 
(i.e. six months from the date of issue).  Export operations were exempt from licensing pursuant to 
Article 9 of Law No. 92/IV/93. 
117. A Member pointed out that Article 13 of the draft legislation had contained provisions 
authorizing the application of non-automatic li censing for the "verification of the technical 
specifications and of the "standard" qualities of the goods, in accordance with legal and contractual 
criteria, national or international,  and the usual trade practices."  This Member stated that the WTO 
authorized restrictions on imports only for technical issue involving issues of life, health, and safety.  
Cape Verde had explained that it had no such t echnical regulations in place.  Standards were 
voluntary, and the WTO contained no provision to aut horize customs officials to enforce standards in 
import contracts.  Therefore, it would appear that such restrictions on imports for the reasons stated could not be justified under WTO.  The Member re quested that Cape Verde ensure the draft law 
amending Decree-Law No. 51/2003 eliminate authority for Cape Verde customs officials to enforce 
voluntary standards and that its other provisions would be consistent w ith Cape Verde's WTO 
obligations.  In reply, the representative of Ca pe Verde confirmed that the "technical control" 
provisions contained in an earlier draft had been eliminated in the final version of Decree-Law 
No. 68/2005.   
118. The representative of Cape Verde submitted a completed Questionnaire on Import Licensing 
Procedures, circulated in document WT/ACC/CPV/ 25.  Automatic Licenses carried no period of 
validity.  Non-automatic Licenses issued for sanitary  or phytosanitary reasons were issued for each 
shipment and valid for the period requested by the im porter.  Licenses issued for arms or for security 
were valid for 90 days, extendable for an additional 60 days in exceptional circumstances.  Ordinance 
No. 4/2004 of 24 January 2004 stipulated that goods  carried by travellers and destined for personal WT/ACC/SPEC/CPV/5/Rev.2 
Page 36  
 
 use were considered to be without commercial value provided the luggage did not exceed 150 kg and 
CVE 100,000 (€907) in value.   
119. Some Members requested Cape Verde to prov ide precise WTO justifications for the items 
subject to non-automatic licensing, verifying that the measures were based on SPS, health or security 
concerns.  Additional informati on should be provided on how Decree-Law No. 68/2005 was being 
enforced at present, when implementing regulatio ns would be issued for this law, and when 
modifications to Articles 6, 7 and 8 of the Decr ee-Law would be completed to ensure compatibility 
with WTO requirements.  A Member noted that no  forms appeared to be required for automatic 
Licenses, which would seem to contradict Cape Verde's assertions that certain groups might be 
ineligible under the automatic system.   
120. In reply, the representative of Cape Verde refe rred to the revised Action Plan in document 
WT/ACC/CPV/21/Rev.1, according to which amendm ents to Decree-Law No. 68/2005 would be 
completed by December 2008.   
121. The General Directorate of Commerce under the Ministry of Economy, Growth and 
Competitiveness was responsible for regulating an d implementing the licensing procedures.  To 
obtain the import licence, a licence form (reproduced in Ministerial Ordinance No. 13/2004) had to be 
completed and submitted for approval to the Departme nt responsible for trade on the island where the 
importation or trading operation was to take place.  There were no fees associated with the import licence.   
122. Asked whether the granting of a licence was discr etionary, he replied that the granting of a 
licence was within the competence of the General Di rectorate of Commerce.  The General Directorate 
of Commerce could delegate this authority to other entities, but these entities would remain under the 
general guidance of the Directorate in exercising thei r function.  A refusal by the General Directorate 
of Commerce to grant a licence could be appeal ed to the Minister of Economy, Growth and 
Competitiveness.  If this appeal wa s denied by the Minister, the matter could be brought to the 
Administrative Courts or to the Common Courts.   
123. [The representative of Cape Verde confirmed that his Government would eliminate from the 
date of accession, and would not introduce, reintr oduce or apply quantitative restrictions on imports or 
other non-tariff measures such as quotas, bans, perm its, prior authorization requirements, licensing 
requirements or other requirements or restrictions ha ving equivalent effect that could not be justified 
under the provisions of the WTO Agreements.  The import licensing regime from the date of 
accession would be fully in accordance with all re levant provisions of the WTO, including the  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 37 
 
 
 Agreement on Import Licensing Procedures.  He furt her confirmed that the legal authority of the 
Government of Cape Verde to suspend imports or to apply licensing requirements that could be used 
to suspend, ban or otherwise restrict the quantity of trade would be applied from the date of accession 
in conformity with the provisions of WTO Agre ements, including the GATT 1994, the Agreements 
on Import Licensing Procedures and Safeguards, and the Understanding on Balance-of-Payments 
Provisions of the GATT 1994.  The Working Party took note of these commitments.]   
- Customs valuation 
124. The representative of Cape Verde said that the Brussels Definition of Value (BDV) currently 
served as the basis for the calculation of customs du ties and other customs charges in line with Decree 
No. 45.790 of 3 July 1960.  With the BDV, the determination of the customs value of imported 
merchandise was based on its normal value.  Cape Verde had applied reference or minimum import 
prices on poultry (Regulatory Decree No. 2/2002 of 2 August 2002) until 2004, when the measure had 
been terminated.  He confirmed that Cape Verde en visaged the elimination of import reference prices 
or minimum import prices, as required by the WTO Agreement on the Implementation of Article VII of General Agreement on Tariffs and Trad e 1994 (Customs Valuation Agreement).   
125. The new Customs Code, to be adopted by Dece mber 2008, included valuation rules in Section 
IV (Customs Value of Goods).  He provided an Action Plan for compliance with the WTO Customs 
Valuation Agreement in document WT/ACC/CPV/14 an d its subsequent revisions.  As noted in the 
Action Plan, his Government was requesting a tr ansition period until January 2011 for the full 
implementation of the Customs Valuation Agreement.  In his view, this transition period was needed 
to establish the necessary institutions and endow  the customs administration with personnel, 
equipment, databases etc.  Customs personnel also required training in modern practices to combat 
fraud, risk evaluation, investigations, post declaratio n auditing etc. in order to prevent loss of customs 
revenues from under-invoicing and other fraud.  Te chnical and financial assistance from Members 
and the relevant international orga nizations was needed for the training of customs officials dealing 
with valuation as well as for the drafting of the ne w Regulations and Interpretative Notes.  A Member 
requested Cape Verde to make reference to Article s 3 and 7 of the Customs Valuation Agreement and 
Decision 3.1 and paragraph 2 of Decision 4.1 of  the WTO Committee on Customs Valuation in its 
revised Action Plan.   
126. The representative of Cape Verde said that disputes arising from customs valuation decisions 
were reviewed and decided by the Customs T echnical Council, an administrative body including 
representatives of the Department for Public Administration and the private sector.  The customs WT/ACC/SPEC/CPV/5/Rev.2 
Page 38  
 
 valuation decisions of the Customs Technical Cour t appealed to the Supreme Court of Justice of 
Cape Verde.   
127. [In response to questions concerning elements of the Customs Valuation Agreement already in 
place and its functioning, the representative of Cape Verde said that in accordance with the current 
legislative provisions, the right to appeal referred to  in Article 11 of the Agreement stipulating that the 
importer had the right to appeal first to the admini strative courts, and also to the Fiscal and Customs 
Courts, Common Courts or tribunals independent of the Government.  Thus, the right to appeal to an 
independent administrative tribunal was already in effect, as were the following other aspects of 
Cape Verde's customs regime: the protection of c onfidential information (Article 10) and a surety 
bond system (Article 13) provided for in Article 76 of the Draft Customs Code; the publication of 
legislation, regulations and administrative deci sions of general application on customs issues 
including valuation (Article 12), provided for in  Article 264 of the Constitution.  The definitions 
provided in Article 15, the importer's right to a written explanation of how the customs value was 
determined (Article 16), and prov isions ensuring the precise implementation of Articles 9-13 related 
were contained in the new Customs Law which was sl ated for enactment during 2008.  To the extent 
not already provided for in law, the provisions of  Articles 9-13 and 15-16 would be implemented from 
the date of accession. 
128. The representative of Cape Verde requested that the Working Party grant a transitional period 
from the date of its accession to allow it to obtain and utilize technical assistan ce to assist in the full 
implementation of the obligations of the Agreement, in particular those contained in Articles 1-6, 7, 8, 
and 14.  Full implementation of the Agreement on Customs Valuation would be carried out gradually 
and progressively and would be completed, at the latest by January 2011, in accordance with the 
timetable contained in Table 9 below.  He confirme d that during the transition, Cape Verde would not 
be required to observe the provisions of Article 7.2(f) with respect to selected imports, thereby 
allowing for the application of minimum import values to be applied to imports of poultry covered by 
HS 0207.11 - 0207.14 for the purposes of customs va luation during the transition period.  During the 
transition, all other aspects of Article 7 would be observed by Cape Verde from the date of accession, 
and for all products other than HS  0207.11 – 0207.14, Article 7.2 (f) would be applied.  If such a 
transitional period were granted, Cape Verde's deviations from the provisions of the Agreement would 
be strictly limited to these Articles, and all othe r provisions of the Agreem ent would be implemented 
for all imports.   
129. During this period, Cape Verde would ensure th at its regulations under current legislation in 
place and additional legislation implemented duri ng the transition concerning customs valuation  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 39 
 
 
 would be applied on a non-discriminatory MFN basis to all imports.  Any changes made in its laws, 
regulations and practice during the transition period would not result in a lesser degree of consistency 
with the provisions of the Agreement on Customs Valuation than existed on the date of accession.  
Cape Verde would participate in the work of the Committee on Customs Valuation and would seek 
out all available technical assistance, including under Ar ticle 20.3 of the Agreement, to ensure that its 
capacity to fully implement the Agreement upon expiration of the transition period was assured.  The 
representative of Cape Verde presented an Action Pl an setting out details of the steps that still 
remained to be taken in order to achieve this obj ective and a timetable for each step (Table 9).   
Table 9:  Action Plan for Implementation of the Agreement on Customs Valuation  
Subject Actions to be developed, including law 
proposals and regulations on specific 
topics Timeframe 
Elaborate a Customs Code for Cape 
Verde, that includes the principles of the 
Customs Valuation Agreement A Cape Verde Customs Code 
elaborated and in c onformity with the 
WTO requisites and the WCA 
standards By December 2008 
Seminars and workshops on the 
Customs Code.                                          By second quarter of 
2009   
Adaption and familiarizations of the 
Customs Code, by the user By third quarter of 
2009 Customs Code 
Evaluation of the Customs Code 
implementation November 2009 
Adaptation to the WTO valuation system Workshops, seminars, staff study and 
training visits 
Creation of a technologic information base 
including a data base on risk evaluation Data base of the evaluation of risks 
(risk assessment) is fundamental to the 
implementation of the Customs Valuation Agreement 
A training course on the Customs 
Valuation Agreement Seminar/Workshop on the principles of 
the Customs Valuation Agreement  
 
 
2008/2010 
 
 
Articles 1 to 17 of the Agreement Implem entation and regulations By December 2010 
Technical training on determination of 
Customs value Course to train trainers for selected 
Customs staff identified as having the 
capacity to teach October 2008/ 
December 2010 
Creation of a technical information system including a reference data base on the value of identical or similar goods The data base for the evaluation of 
identical or similar merchandise is vital to implementation of identical and 
similar merchandise transactional value 
(methods 2 and 3 applied sequentially) 
Training on risk evaluation Workshops/seminars presented by 
specialists in "risk evaluation" 
Training on post declaration or post 
dispatch auditing Workshops/seminars on post 
declaration or post dispatch audits  
  
 
2008 to 2010 
 
 
 
  Total implementation of the WTO 
Customs Valuation Agreement January 2011 
 
 
130. The representative of Cape Verde stated that legislation on the valuation of imports for 
customs and taxation purposes conforming to th e requirements of the Agreement on Customs WT/ACC/SPEC/CPV/5/Rev.2 
Page 40  
 
 Valuation would be enacted prior to Cape Verd e's accession to the WTO, but that some of the 
provisions would not immediately go into effect.  Cape Verde would progressively implement the 
Agreement on Customs Valuation a nd Annex I (Interpretative Notes)  in accordance with the Action 
Plan in Table 9, and with the understanding that dur ing this period the scope  of implementation of 
other aspects of the Agreement, as described in paragraphs [127 to 129], would be applied by Cape Verde.  Cape Verde would also apply D ecision 3.1 of the Committee on Customs Valuation 
(Treatment of Interest Charges in the Customs Value of Importe d Goods) and paragraph 2 of the 
Decision on Valuation of Carrier Media Bearing Software for Data Processing Equipment (Decision 4.1).  Full implementation would start from [1] January 2011.  The Working Party took note of these commitments.]   
- Rules of origin 
131. The representative of Cape Verde said that gene ral non-preferential rules of origin had been 
established through the Preliminary Instructions on Customs Tariff, Annexed to Decree No. 45.790 of 
3 July 1960.  As a Member of ECOWAS, Cape Verde also followed the ECOWAS Protocol on rules of origin, which he considered to be consistent with the principles set forth in the WTO Agreement on 
Rules of Origin.  According to the ECOWAS prot ocol, origin was determined on the basis of the 
wholly obtained, substantial transformation, or va lue-added criterion.  The Preliminary Instructions 
were being revised, and the Customs Code to be adopted by December 2008 incorporated provisions 
on rules of origin in Section III, Articles 20 to 24.   The new provisions had been drafted to ensure 
conformity with the WTO Agreement on Rules of Orig in.  Pursuant to Article 20 of the new Customs 
Code, Cape Verde determined the origin of ma nufactured goods according to wholly-obtained or 
substantial transformation criteria.   
132. Having reviewed the draft rules of origin provisions in the Customs Code, a Member 
requested clarification of terms such as transformation resulting in "specific properties and 
composition", "economically justifiable" transf ormation, and manufacturing undertaken in an 
enterprise "equipped to that effect", and how these requirements were met in practice.  Cape Verde 
was also asked to define more precisely the "com petent entity" authorized to issue certificates of 
origin.   
133. In reply, the representative of Cape Verde sai d that Article 20 of the draft Customs Code 
intended to confer origin based on substantial tr ansformation, the processing of raw materials into 
finished products, and that an enterprise would not be wrongly identified as the manufacturer if the 
enterprise was manifestly unable to perform th e manufacturing or transformation process.  The  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 41 
 
 
 competent entity authorized by the Government to issue certificates of origin differed from one 
product to another.   
134. Responding to a specific question, he confir med that Cape Verde would consider the 
European Community as one en tity for origin purposes.   
135. A Member sought confirmation that Cape Verde would revise its Customs Law to incorporate 
the requirements of Article 2(h) and Annex II, pa ragraph 3(d) of the WTO Agreement on Rules of 
Origin, i.e. that for non-preferential and prefer ential rules of origin, respectively, the customs 
authority would provide within 150 days, upon the requ est of an exporter, impor ter or any person with 
a justifiable cause, an assessment of the origin  of the import and outline the terms under which it 
would be provided, and that any request for such an assessment would be accepted even before trade 
in the goods concerned began.  The representative of  Cape Verde replied that the new Customs Code 
would include provisions consistent with the WTO Agreement on Rules of Origin, inter alia  
provisions incorporating the requirements of Artic le 2(h) and Annex II, paragraph 3(d) of the 
Agreement.   
136. The representative of Cape Verde stated that , from [the date of accession][December 2008], 
Cape Verde's laws and re gulations for preferential and non-preferential rules of origin would comply 
fully with the WTO Agreement on Rules of Origin.  He further confirmed that Cape Verde's rules of 
origin would be established in law and notified to  the WTO Secretariat and the Committee on Rules 
of Origin by the time of accession.  The requirement s of Article 2(h) and Annex II, Paragraph 3(d) of 
the Agreement would be fully implemented [prior to accession].  He also stated that, from the date of 
accession [by December 2008], the Customs Authorities would provide for an assessment of the origin of the import upon the request of an exporter,  importer or any person with a justifiable cause.  
Any request for such an  assessment would be accepted even before trade in the goods concerned 
began.  Any such assessment would be binding for th ree years.  The Working Party took note of these 
commitments.  
- Other customs formalities 
137. The representative of Cape Verde said that the owner or consignee of  imported goods could 
initiate procedures for customs clearance before the arrival of merchandise in Cape Verde.  Imports 
and exports of merchandise for personal use or personal gifts which were not of a commercial 
character and valued at less than CVE 50,000 (€454)  were subject to a simplified declaration.  All 
other merchandise was subject to a more detailed declaration, including information on the product 
characteristics (weight, size, quantity), tariff type, co untry of origin, country of exportation, freight, WT/ACC/SPEC/CPV/5/Rev.2 
Page 42  
 
 destination, and value.  For imports, the decl aration had to be accompanied with relevant 
documentation such as the certificate of origin, commercial invoice, sanitary and phytosanitary 
certificates, transportation (air or sea) and insurance certificates, the single administrative document 
(SAD), etc.  The import declaration required approval by the General Directorate of Commerce when the merchandise was valued at more than CVE 100,000 (€907) or weighed more than 150 kg.  
138. A Member requested Cape Verde to justify the approval requirement for import declarations 
and provide information on the timeframe involve d, the criteria for approving or rejecting the 
declarations, and the right of appeal.  The repr esentative of Cape Verde replied that Decree-Law 
No. 51/2003 of 24 November 2003, which had ins tituted this requirement, had been revoked by 
Decree-Law No. 68/2005 in October 2 005.  He noted that Cape Verd e was committed to bringing its 
commercial regime into conformity with WTO principles by 2010.   
139. Asked about the time needed to clear goods  through customs, the representative of 
Cape Verde said that the processing of a customs declaration was normally undertaken within 48 
hours of its submission by the interested party, af ter which the owner or consignee of the imported 
goods would be required to pay the duties and impositi ons due within ten days.  A fine was imposed 
for delayed or non-payment of the impositions due.  Following the payment of the customs duties and 
unloading and conveyance fees, the merchandise was to be removed from the warehouse within 
30 days for air transported cargo, and 90 days fo r cargo transported by sea.  Non-compliance could 
lead to a report giving official notice and initiation of procedures for public sale of the consignment.   
- Preshipment inspection 
140. The representative of Cape Verde said that Cape Verde currently did not employ any 
mandatory pre-shipment inspection scheme.   
141. The representative of Cape Verde stated that if preshipment inspection requirements were 
introduced, they would be temporary and in confor mity with the requirements of the Agreement on 
Preshipment Inspection and other WTO relevant agreements.  Cape Verde would take full 
responsibility to ensure that such enterprises operati ng on its behalf complied with the provisions of 
WTO Agreements including the Agreements on Technical Barriers to Trade, the Application of Sanitary and Phytosanitary Measures, Import Licensing Procedures, the Implementation of 
Article VII, Rules of Origin, the Implementati on of Article VI (Antidumping), Subsidies and 
Countervailing Measures, Safeguards, and Agriculture .  The establishment of charges and fees would 
be consistent with Article VIII of the GATT 1994 an d Cape Verde would ensure that the due process 
and transparency requirements of the WTO Agreem ents, in particular Article X of the GATT 1994  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 43 
 
 
 would be applied.  Decisions by such firms coul d be appealed by importers in the same way as 
administrative decisions taken by the Government of  Cape Verde.  The Working Party took note of 
these commitments. 
- Anti-dumping, countervailing duties, safeguard regimes 
142. The representative of Cape Verde said that Decree-Law No. 46828 and Decree-Law 
No. 46829 of 5 January 1966, modified by Decree -Law No. 578/70 of 24 November 1970, set out the 
anti-dumping and countervailing duties regime in Cape  Verde.  Since 1975, no cases had been filed or 
investigated as these Laws were obsolete and would ha ve to be revised to comply with the relevant 
WTO provisions.   
143. As promulgated in Decree-Law No. 3/99 of 1 February 1999, a general safeguard-type 
provision had been included in Article 3 of the Trad e Liberalization Law.  This provision provided for 
the application of safeguard measures when the importation of goods caused, or threaten to cause, 
serious damage to the national economy or to public health.  Cape Verde had applied this safeguard 
type measure on poultry from all countries until 2004 , when the measure had been terminated.  He 
added that Cape Verde would conti nue to develop and revise its safe guard measures regime to comply 
with the WTO Agreement on Safeguards after accession.   
144. The representative of Cape Verde confirmed th at Cape Verde would apply safeguard, anti-
dumping, or countervailing duty measures only after notifying and implementing laws in conformity 
with the provisions of WTO Agreements on Safegu ards, the Implementation of Article VI of the 
GATT, and on Subsidies and Countervailing Measures,  and that after accession Cape Verde would 
apply any such measures only in conformity with the relevant WTO provisions.  The Working Party 
took note of these commitments. 
B. EXPORT REGULATIONS  
- Customs tariffs, fees and charges for services rendered, application of internal taxes to 
exports 
145. The representative of Cape Verde said that Ca pe Verde applied no export duties.  The 
registration and licensing requirements for engaging in exportation were identical to those for imports.  
Exported goods complied with formalities on exchange  operations and with a ll quality requirements, 
rules of origin or other norms requi red by law or by international accord  subscribed to by Cape Verde. WT/ACC/SPEC/CPV/5/Rev.2 
Page 44  
 
 - Export restrictions 
146. The representative of Cape Verde said that in accordance with Decree-Law No. 151/87 of 
26 December 1987, Cape Verde no longer applie d quantitative restrictions on exports nor did 
Cape Verde participate in any voluntary export restraints or orderly marketing arrangements.  
Cape Verde did not apply minimum export prices on any product.  
147. Cape Verde prohibited the exportation of e ndangered flora or fauna covered by the 
Washington Convention (CITES), even  though Cape Verde was not a si gnatory to this Convention.  
The prohibition was covered by the provisions of  Law No. 86/IV/93 of 26 July 1993, and was 
enforced by customs officers in Cape Verde.  Fo r flora and fauna not exp licitly prohibited, licenses 
were issued by the Ministry of Environment and Agriculture. 
C. INTERNAL POLICIES AFFECTIN G FOREIGN TRADE IN GOODS  
- Industrial policy, including subsidies 
148. The representative of Cape Verde confirmed that the legislative basis for the provision of 
subsidies comprised (i) the Fore ign Investment Law No. 89/I0V/93 of 13 December 1993; (ii) Law 
No. 92/IV/93 of 15 December 1993; (iii) The I ndustrial Statute, Decree-Law No. 108/89 of 
30 December 1989; (iv) the Tourism Utility Law No. 55/VI/2005 of 10 January 2005; (v) Law 
No. 99/IV/93 of 31 December 1993; and (vi) Decree- Laws Nos. 25/94 and 26/94 of 18 April 1994 on 
fisheries.  Subsidies aimed at promoting invest ment and boosting exports.  He confirmed that no 
programme conferred benefits on the basis of local content requirements.  His Government was in the 
process of reviewing its subsidies to redress any inconsistencies.   
149. Cape Verde's industrial policy focussed on e xport-led growth and development of the 
industrial and private sector.  Apart from fiscal or customs benefits, other incentives provided for in 
Cape Verde's subsidies or investment promotion regime were for the purchase of land for the 
construction of factories; incentives connected  with technological or industrial innovation, 
professional training of workers and reinvestment; a nd incentives connected with decentralization i.e. 
the movement of industries within the national territo ry of Cape Verde.  As a potential new incentive 
measure, his Government was considering automatic or simplified registration for industrialists and 
their import operations.   
150. Certain domestic economic sectors and activiti es were supported through incentive programs, 
financial assistance, access to credit and the supply of equipment.  The fisheries sector was assisted 
through the Fishing Development Fund (FDP) pursu ant to Decree-Laws No. 25/94 and 26/94.  The  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 45 
 
 
 support provided by the FDP included fiscal and customs exemptions, preferential credits, grants or 
subsidies.  Incentives accorded to  the fisheries sector had amounted to about CVE 90 million during 
1995 to 2001.  Assistance was only provided to Cape Verdean companies, on submission and 
approval of a form and contract with the FDP.     
151. In the tourism sector, the Law No. 21/IV/1991 of  30 December 1991 and the Tourism Utility 
Law No. 55/VI/2005 had revoked the Law No. 42/IV/ 92 of 6 April 1992.  The existing legislation 
provided fiscal benefits to companies and customs duty exemptions for equipment and raw materials 
imported for the establishment or refurbishment of tourist facilities.  The Minister of Finance and 
Public Administration and the Minister of Economy, Growth and Competitiveness were jointly responsible for monitoring the introduction and prov ision of these benefits.  He added that financial 
institutions also benefited from fiscal exemptions .  Investors in this sector had to apply for 
authorization from the Ministry of Finance and P ublic Administration in accordance with the Foreign 
Investment Law.  Incentives to the transportation indu stry - maritime, road and air transportation - and 
the telecommunications sector (Law No. 72/95) had also been implemented by Cape Verde.   
152. The Foreign Investment Law No. 89/IV/93 and Regulatory Decree No. 1/94 of 
3 January 1994 outlined the authorization proce dures and conditions gove rning foreign direct 
investment.  Pursuant to the Industrial Stat ute (Decree-Law No. 108/89), registered industrial 
enterprises could benefit from certain incentive sc hemes, notably a three-year tax exemption on 
revenues generated.  Subsidies granted to indus trial activities were not contingent on export 
performance or local content criteria, but their c ontribution to Cape Verde's economic development 
would be evaluated.   
153. The representative of Cape Verde said that Ca pe Verde had no export financing programs.  
An import duty drawback system had been created by Decree-Law No. 32115 of 7 July 1942, providing for the full or partial reimbursement  of import duties on merchandise used in the 
manufacture of products subsequently  exported.  The duty drawback la w, though legally still in effect, 
had in practice ceased to be applied and had been replaced by incentives provided through Decree-
Law No. 108/89 of 30 December 1989 establishing th e Industrial Statute, and Law No. 99/IV/93 of 
15 December 1993 approving the regime for Free Enterprises.  He confirmed that no duty drawback 
programs were presently applied to agricultural pr oducts.  Decree-Law No. 32115 had created a duty 
drawback scheme for olive oil, vegetable oil for human consumption, tomato ketchup, metal sheets, 
and cardboard destined for the fish conservation industry.  However, this programme had been 
discontinued.  At present, Cape Verde did not envisage creating any new duty drawback law.   WT/ACC/SPEC/CPV/5/Rev.2 
Page 46  
 
 154. Law No. 92/IV/93 and Decree-Law No. 108/89 pr ovided fiscal and customs incentives for the 
export and re-export of goods and services.  The fi scal incentives included a five year reduction in 
contributions and taxes on profits.  This five year period could be extended on a year-by-year basis for 
a maximum of ten years.  The customs incentives in cluded duty exemptions on intermediate products 
and raw materials (except petrol) used in the production of exported goods.  Exporters importing 
merchandise, including raw material s, destined for re-export could do so through a suspension of the 
customs regime.  Customs duties, fees and char ges, and other taxes on imported goods that had 
subsequently been exported, incorporated as raw ma terials in exports, or used in rendering export 
services, were refunded upon request within 120 days  from the date of export or re-export.  Decree-
Law No. 108/89 provided duty exemptions to indust rial enterprises for imported raw materials, 
equipment and construction materials.  The tax exem ptions were available to all enterprises, whether 
domestic or foreign-owned, and were  not contingent on exports.   
155. A Member sought further information on the operation of the duty-drawback scheme, in 
particular on how Cape Verde ensured that the inputs exempt from import duties under these schemes 
were used in the production of exports, and how import duties refunded through these programs did 
not exceed the amount of duties paid or payable.  In response, the representative of Cape Verde 
confirmed that import duties refunded through the pre-independence and now defunct duty drawback 
scheme never exceeded the amount of duty paid.  He  considered the duty drawback scheme to be 
consistent with Annexes I, II and III of th e WTO Agreement on Subsidies and Countervailing 
Measures (SCM Agreement).   
156. He added that merchandise could be stored  in customs bonded warehouses with customs 
duties and taxes pending.  Two types of warehouses existed in Cape Verde, the storage warehouses 
for commercial needs and the industrial warehouses for industrial needs.  In addition, goods could be 
"temporarily admitted" for re-export, either unchang ed or with active improvement.  He confirmed 
that goods subject to the "temporary admission" regi me were free of customs duties and had to be 
exported.  Temporary exports were also permitte d whereby the goods were exported for re-import 
either unchanged or with passive improvement.  
157. A Member requested exhaustive information on the incentives and eligibility criteria for the 
trade promotion programmes operated by Cape Ve rde Investments.  Based on the information 
available, it would appear that investments were a ppraised according to several criteria, one of which 
was national value added.  This Member pointed out that a programme would constitute a prohibited 
subsidy according to Article 3 of the Agreement on Subsidies and Countervailing Measures to the extent that the programme provided a benefit to companies contingent on the use of domestic over  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 47 
 
 
 imported goods.  Cape Verde was invited to provi de a comprehensive description of its subsidy 
programmes to the Working Party.  Some Memb ers noted Cape Verde's impending graduation from 
LDC status and sought a commitment that Cape Verde accept all aspects of Article 3 of the ASCM, 
including Article 3.1(a) prohibiting subsidies contingent upon export performance.   
158. In reply, the representative of Cape Verde said that Cape Verde Investments had been 
established inter alia  to promote exports and re-exports.  Ca pe Verde Investment s identified local 
products or enterprises with export potential; organized seminars, conferences and training; 
participated in trade fairs; researched on poten tial export markets; and supplied market data to 
interested entities.  He stressed that Cape Verde Investments was an  administrative agency promoting 
investments, and had no means to provide financia l assistance in any form.  He provided an Action 
Plan, to be completed by the end of 2007, for th e revision of incentives to national production and 
foreign investment in document WT/ACC/CPV/22.  He added that data was being collected to 
provide comprehensive information on subsidies and incentives provided to national production and 
foreign investment.   
159. The representative of Cape Verde considered Cape Verde's subsidy programs to be in 
conformity with the provisions of the WTO Agre ement on Subsidies and Countervailing Measures as 
long as Cape Verde benefited from LDC status.  In  the follow-up to an IMF study, Cape Verde 
intended to undertake a further study on its invest ment and industrial policies.  Reforms could be 
undertaken should the studies recommend the amendment of existing laws and regulations on 
subsidies.   
160. Some Members urged Cape Verde to provide co mprehensive informati on on all subsidies and 
incentives provided.  Some investme nt incentives appeared to be contingent upon export performance 
and/or local content.  Some Members recogni zed that Cape Verde was considering seeking 
transitional arrangements for certain measures in the light of its imminent graduation from LDC 
status, and requested Cape Verde to table a comp rehensive and specific proposal for consideration by 
the Working Party.  Cape Verde was invited to provide a subsidy notification for review of the 
Working Party.  The notification should cover a ll relevant programmes and describe each measure 
fully, i.e. programmes (i) legally authorized; (ii)  actually providing benefits and being utilized by 
firms; and (iii) essentially dormant programmes.  In  the case of subsidies prohibited under the ASCM, 
Cape Verde should indicate a timeframe for the removal of these subsidies, whether prior to 
1 January 2008 or according to a diffe rent timetable that could be considered by the Working Party.   
161. In reply, the representative of Cape Verde provided an Action Plan for the revision of 
incentives to national production and to fore ign investment, circulated in document WT/ACC/SPEC/CPV/5/Rev.2 
Page 48  
 
 WT/ACC/CPV/22, and a subsidies notificatio n for the period 1975-2007 in document 
WT/ACC/CPV/27.  In terms of form of subsidy,  the notification identified (i) the income tax 
exemption on profits provided pursuant to the Forei gn Investment Law (five years, with profits taxed 
at 10 per cent for an additional five years if the profits were reinvested); (ii) duty exemptions 
according to the Industrial Statute on raw materials and equipment, and income tax exemption on raw 
materials and subsidiary materials for three to fi ve years (and reduced tax during an additional period 
for reinvested profits) depending on the isla nd on which the facility was located; (iii) duty 
exemptions, and exemptions and reductions in the income tax and real estate taxes pursuant to the 
Tourism Utility Statute; (iv) tax exemptions accordi ng to the Free Zone (Franc) Enterprise Statute; 
(v) incentives for exportation, i.e.  reduced income tax (5+5 year s) and customs duty exemptions, 
based on Law No. 92/IV/93; and (vi) duty drawback.  In this context, he noted that although the 
provisions for duty drawback in the 1942 Customs Law of Portugal had never been abrogated by 
Cape Verde, the provisions had not been used since independence as pr oducers and exporters had 
availed themselves of alternative incentives.  According to the no tification, data concerning the 
amount of subsidies provided, and the possible trade effects of these subsides, was not available.   
162. Some Members noted that the programmes a pplied pursuant to the Free Zone (Franc) 
Enterprise Statute and Law No. 92/IV/93 provide d prohibited export subsidies and requested 
Cape Verde to abolish the export subsides upon accession.   
163. [The representative of Cape Verde confirmed th at Cape Verde would administer its subsidy 
programmes, including those provided for in (i) the Foreign Investment Law No. 89/IV/93 of 
13 December 1993; (ii) Law No. 92/IV/93 of 15 Dece mber 1993; (iii) The Industrial Statute, Decree-
Law No. 108/89 of 30 December 1989; (iv) the Tourism Utility Law No. 55/VI/2005 of 10 January 2005; and (v) Law No. 99/IV/93 of 31 December 1993, in full conformity with the WTO Agreement on Subsidies and Countervailing Measures,  including Article 27.2, [from the date of 
accession].  All necessary information on such pr ogrammes would be notified to the Committee on 
Subsidies and Countervailing M easures in accordance with Article 25 of the Agreement upon entry 
into force of Cape Verde's Protocol of A ccession.  The Working Party took note of these 
commitments.] 
[The representative of Cape Verde confirmed that  Cape Verde would progressively eliminate all 
measures which meet the definition of a prohibited s ubsidy, within the meaning of Article 3 of the 
Agreement on Subsidies and Countervailing Measures,  no later than 1 January 2015.  These subsidies 
measures would be notified upon accession, as provide d for in Article 25 of the WTO Agreement on 
Subsidies and Countervailing Measures and Article XVI:1 of the GATT 1994.  Cape Verde also  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 49 
 
 
 would provide explanatory information in its subseque nt notifications under Article 25 to enable other 
Members to confirm that such programs are being progressively eliminated.  The Working Party took 
note of these commitments.]   
- Technical barriers to trade, standards and certification 
164. The representative of Cape Verde said that the TBT-related fragmentary and incomplete laws 
and regulations dated back to befo re the independence of Cape Verde in 1975, and that there were at 
present no framework legislation, technical regulati ons, or standards, nor were there any specific 
plans to establish technical regulations or standa rds at this stage.  Consequently, without the 
legislative and institutional means, Cape Verde did not apply any technical regulations or standards 
for either domestic or imported goods.  He added that, as safety regulations administered in Cape Verde were fragmentary and in complete and due to the lack of  institutional support, there were 
currently no safety regulations enforced as part of consumer protection programs.  Although Law 
No. 88/V/98 of 31 December 1998 approved the lega l regime for consumers' protection and defence, 
the National Consumption Council envisaged in the Law was yet to be regulated and created.   
165. Following the submission of the TBT checklis t (WT/ACC/CPV/6), and in accordance with 
the Action Plans circulated in document WT/ACC/CP V/11 and subsequent revisions, Cape Verde was 
in the process of establishing an Enquiry Point for TBT matters within the Ministry of Economy, 
Growth and Competitiveness, General Directorate of  Industry and Energy.  This process would be 
completed by December 2007.  For the time being, the contact details of the Enquiry Point were: 
The General Directorate of Industry and Energy 
P.O. Box No. 15  
Achada Santo Antonio 
Republic of Cape Verde 
Tel: + 238 260 5306 
Fax: + 238 261 3315 
Email: abrao.lopes@govcv.gov.cv 
166. He stressed the importance of technical and financial assistance to build Cape Verde's 
capacity on TBT issues and to comply with the pr ovisions of the TBT Agreement.  Assistance was 
required in several areas, including in setting up a facility for publication of proposals and to receive 
and consider public comment on them, and for assessi ng Cape Verde's needs in the development and 
application of technical regulations in accordance with the provisions of the TBT Agreement.   WT/ACC/SPEC/CPV/5/Rev.2 
Page 50  
 
 167. Having reviewed draft amendments to Cape  Verde's import and export licensing regime 
(Decree-Law No. 51/2003), a Member observed th at Cape Verde was considering using non-
automatic licensing to enforce TBT-related requi rements.  This Member recalled that the 
TBT Agreement did not authorize restrictions on imports unless the technical issue involved matters 
of life, health, or safety.  Cape Verde had acknowledg ed that it did not have technical regulations, and 
therefore could not use import measures to enforce "technical control".  Moreover, customs officials 
could not be used to enforce standards as standard s, by definition, were voluntary according to the 
TBT Agreement.   
168. In response, the representative of Cape Verd e said that Decree-Law No. 51/2003 had been 
revoked by Decree-Law No. 68/2005 "ForeignTrade Re gime".  The TBT-related provisions in the 
draft amendments had not been included in  the Decree-Law No. 68/2005 promulgated on 
31 October 2005.   
169. The representative of Cape Verde confirmed that his Government would comply with the 
transparency and other general requirements of the TBT Agreement as part of its accession process.   
170. Having reviewed Cape Verde's revised Action Plan, some Members noted that, at present, 
Cape Verde did not appear to apply any technical requirements either to imports or to domestically 
produced goods.  They also noted Cape Verde's esta blishment of an enquiry point, and intent to 
provide for prior publication for public comment of draft technical regulations, standards, and 
conformity assessment requirements as soon as possibl e based on technical assistance.  They stated 
that even in the absence of additional legislati on to govern the development and application of 
standards, technical regulations and conform ity assessment procedures, in developing new 
requirements, Cape Verde should not create unnecessary obstacles to trade and should apply principles of national treatment, MFN treatment, a nd transparency.  They sought a commitment from 
Cape Verde that in developing its regime concerning the application of standards, technical 
regulations, and conformity assessment procedures, it would do so in conformity with the provisions 
of the WTO Agreement on Technical Barriers to Tr ade and other relevant WTO Agreements.  Noting 
Cape Verde's requests for technical assistance, so me Members stressed that Cape Verde should not 
make implementation of the TBT Agreement contingent on the provision of future technical 
assistance.   
171. [The representative of Cape Verde confirmed that his Government intended to obtain and 
utilize technical assistance that would allow it to eventually implement all aspects of the WTO 
Agreement on Technical Barriers to Trade.  Prior to that time, Cape Verde would ensure that any new, 
or changes to, laws, regulations and practice would not result in unnecessary obstacles to trade.  From  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 51 
 
 
 the date of accession, its Enquiry Point would be  operational and Cape Verde would designate a 
central government authority responsible for the implementation of notification procedures under the 
Agreement and an authority responsible for ove rall monitoring of compliance with its TBT 
obligations.  Any standards, t echnical regulations, and conformity assessment procedures adopted 
would be developed and a pplied in conformity with the provisions of the Agreement, including 
publication prior to implementation to allow inte rested parties the opportunity for review and 
comment as provided for in the Agreement.  Exis ting or new measures would be applied on a non-
discriminatory basis, i.e. providing for national tr eatment and MFN treatment to all imports.  Cape 
Verde would not enforce voluntary standards contai ned in the private sector or other commercial 
contracts.  Cape Verde also would monitor the work  of the Committee on Technical Barriers to Trade.  
He added that Cape Verde would seek out all availa ble technical assistance to ensure that its capacity 
to eventually implement the Agreement is assu red.  The Working Party took note of these 
commitments.] 
[The representative of Cape Verde confirmed that if , in the future, technical regulations or standards 
and conformity assessment procedures were to be introduced, Cape Verde would neither adopt nor 
implement these regulations, standards or pr ocedures until it had implemented and notified 
appropriate legislation in conformity with the Agre ement on Technical Barriers to Trade.  Cape Verde 
would ensure the full conformity of any such legislation with the Agreement on Technical Barriers to Trade.  Any standards, technical regulations, a nd conformity assessment procedures adopted would be 
developed and applied in conformity with the provisions of the Agreement, including publication 
prior to implementation to allow interested par ties the opportunity for review and comment as 
provided for in the Agreement.  Existing or new measures would be applied on a non-discriminatory 
basis, i.e. providing for national treatment and MFN treatment to all imports.  Cape Verde also would 
monitor the work of the Committee on Technical Barri ers to Trade.  From the date of accession, its 
Enquiry Point would be operational and Cape Verd e would designate a central government authority 
responsible for the implementation of notificati on procedures under the Agreement and an authority 
responsible for overall monitoring of compliance with its TBT obligations.  He added that Cape Verde 
would seek out all available technical assistance to ensure that its capacity to eventually implement 
the Agreement is assured.  The Working Pa rty took note of these commitments.  ] 
- Sanitary and phytosanitary measures  
172. The representative of Cape Verde said that  existing sanitary and phytosanitary (SPS) 
measures were applied and regulated on the basis of Decree Nos. 62/89 and 63/89 of 
14 September 1989, Decree-Law No. 89/92 of 16 July 1992, Legislative-Decree No. 9/97 of WT/ACC/SPEC/CPV/5/Rev.2 
Page 52  
 
 8 May 1997, Decree-Law No. 26/97 of 20 May 1997, Regulatory Decree No. 15/97 of 
3 November 1997, and Ministerial Ordinance No. 55/97 of 9 September 1997.  Resolution No. 57/97 
of 9 September 1997, Decree-law No. 74/97 and D ecree-law No. 75/97 of 29 December 1997 had 
been revoked by Decree-Law No. 8/2002 of 25 February 2002.  In the context of establishing a WTO-
consistent regime in this area, his Governme nt intended to introduce new science-based legal 
requirements on food safety, animal and plant hea lth replacing existing decrees by 1 December 2008.   
173. Cape Verde was a member of the WHO Codex Alimentarius Commission and the 
International Plant Protection Convention (IPPC).  Cape Verde adopted and applied Codex and IPPC 
standards.  He believed these sta ndards provided an acceptable level of  protection in Cape Verde.  
Cape Verde was in the process of adopting standa rds and becoming a member of the International 
Office of Epizootics (OIE).  Although not yet a member  of the OIE, Cape Verde held observer status 
and reported on its sanitary situation annually.   
174. Cape Verde was also in the process of crea ting an enforcement body for the oversight of 
quarantine and SPS measures.  A regulatory agency  for food and pharmaceuticals (ARFA – Agência 
Reguladora de Produtos Farmacêutic os e Alimentares) had been created in October 2004 to regulate 
the food and drugs sector (Decree-Law No. 42/04).  The SPS Enquiry Point had been established in 
June 2007 through Ordinance No. 13/ 2007 of 11 June 2007.  Respons ibility for the operation of the 
enquiry point rested with the Minister of Environment and Agriculture.  The Enquiry Point could be contacted at: 
The General Directorate of Agricultu re, Forestry and Animal Husbandry 
Achada de S. Felipe  
Praia 
Republic of Cape Verde 
Tel: + 238 264 75 44 
Fax: + 238 264 75 42 
Email: dgaspcv@yahoo.com 
175. The representative of Cape Verde noted  that, as outlined in the SPS checklist 
(WT/ACC/CPV/6) submitted by Cape Verde, furt her work needed to be  undertaken to ensure 
compliance with the SPS Agreement.  In particular , additional efforts were needed to meet the 
transparency obligations of the SPS Agreement; draft legal instruments in line with Articles 2.2, 3.3 
and 5.2 of the SPS Agreement, establishing animal and plant health, and food safety regulations to be 
based on scientific evidence; and to draft legisl ation on the equivalence provisions of the SPS 
Agreement.  Provisions of the SPS Agreement rela ting to non-discrimination, regional conditions, 
control, inspection and approval procedures also need ed to be met.  Cape Verde intended to adopt  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 53 
 
 
 international standards except in those instan ces which may require SPS measures specific to the 
needs of Cape Verde.  In such instances, Cape Verde intended to en sure that such measures will be 
based on a scientific assessment of risk as well as all other (as appropriate) sections of the SPS 
Agreement and its annexes.  In light of the legal,  infrastructural, financial and technical constraints 
faced by Cape Verde, and as indicated in WT/ACC /CPV/10 and Rev.1, he stated that Cape Verde 
would provide a detailed programme of gradual implementation of the provisions of the WTO 
Agreement, starting with the development of a WTO- consistent legal basis for the application of SPS 
measures and including the creation of appropriate institutions and facilities for transparency, risk 
assessment, and the determination of equivalence, a nd to train the officials necessary to manage the 
system.   
176. The representative of Cape Verde requested that the Working Party grant a transitional period 
from the date of its accession until 1 January 20 10 for implementation of the WTO Agreement on 
Sanitary and Phytosanitary Measures to allow Cape  Verde to obtain and utilize technical assistance to 
fully implement the obligations of the Agreement.   During this period, existing measures would be 
applied on a non-discriminatory basis, i.e., providing for national treatment and MFN treatment to all 
imports.  Measures in place already consistent with the provisions of the Agreement on Sanitary and 
Phytosanitary Measures would not be subject to tr ansitions, and Cape Verde would ensure that any 
changes made in its laws, regulations and practi ce during the transition period would not result in a 
lesser degree of consistency with the provisions of the Agreement than existed on the date of 
accession.  If necessary, technical regulations and ot her measures adopted during this period would be 
developed in conformity with th e provisions of the Agreement, otherwise accepted international 
standards would be adopted.  Priority would be given to the establishment of a functioning enquiry 
point and the notification of all of Cape Verde's SPS measures to the Committee on Sanitary and Phytosanitary Measures.  He stressed the importanc e of technical assistance to be provided during the 
period of transition, including under Article 9 of  the SPS Agreement, and added that Cape Verde 
would seek out all available technical assistance to ensure that its capacity to implement the SPS 
Agreement upon expiration of the transition period wa s assured.  Cape Verde would fully participate 
in the work of the Committee on Sanitary and Phyt osanitary Measures.  He drew the attention of 
Members to the Action Plan in Table 10, setting out deta ils of the steps that still remained to be taken 
in order to achieve this objective and a timetable for each step.   WT/ACC/SPEC/CPV/5/Rev.2 
Page 54  
 
 Table 10: Action Plan for implementation of the SPS Agreement
 
 
Action Deadline 
Revision of Regulation of Decree-Law No. 63/89 of 14 September 1989 
to provide framework for WTO consis tent SPS regime for livestock and 
revocation of all contrary legislation Done 
Identification of the authority re sponsible for notifications and 
publications required by the SPS Agreement and establishment and 
operation of a single contact point for information No later than 1 December 2007 
Establishment of publication or other facility for prior publication for 
public review, including method of utilizing public comments. No later than 1 December 2007 
Acquisition of equipment and training of SPS enquir y point personnel No later than 1 January 2008 
Active membership in OIE, FAO, WHO Codex activities and 
dissemination of information, including website No later than 1 December 2007 
Review of all existing legislation and new amendments to ensure 
regulations are based on risk assessment and sufficient scientific 
evidence No later than 1 December 2008 
Development and enactment of basic legislation for SPS regime:  
 
- Drafting and enactment of new Laws related to Food Safety, 
Plant Health and Animal health 
- Establishment of Regulations and updating existing laws  
 
No later than 1 December 2008 
  
Submission of notifications required by the Agreement to the Committee 
on SPS  No later than 1 January 2008 
Acquisition of laboratory equipment and upgrading of laboratory 
infrastructure, international accred itation of lab with international 
standards related to the different re quirements includ ed tenders etc. No later than 1 January 2010 
Upgrading and strengthening of quality control, quarantine system and 
proper border inspection posts, functional Food Authority related to the three areas including proper staffing and training and full compliance 
and implementation of the WTO Agreement on the Application of 
Sanitary and Phytosanitary measures No later than 1 January 2010 
Training of staff on SPS implementation No later than 1 January 2010 
Full implementation of the WTO Agreement on the Application of 
Sanitary and Phytosanitary Measures No later than 1 January 2010 
 
177. The representative of Cape Verde confirmed that Cape Verde would implement progressively 
the provisions of the WTO Agreement on the Appli cation of Sanitary and Phytosanitary Measures 
within the timetable provided for in Table 10, and would ensure full implementation of the Agreement 
no later than 1 January 2010, and with the unders tanding that during this period the scope of 
implementation of other aspects of the Agreement, as  described in paragraph [176] would be applied 
by Cape Verde.   He further confirmed that Cape Verd e should consult with WTO Members upon 
request if they deemed that any measures applied during the transition period affected their trade 
negatively.  The Working Party took note of these commitments.    WT/ACC/SPEC/CPV/5/Rev.2 
 Page 55 
 
 
 - Trade-related investment measures 
178. Some Members noted that Cape Verde appeared to have established trade promotion 
programmes operated by Cape Verde Investments wh ere the benefits distributed were contingent 
upon the use of domestic over impor ted goods (see paragraph [157]).   
179. In reply, the representative of Cape Verde stated that Cape Verde did not apply any measure 
that could be construed as a prohibited trade-re lated investment measure under the WTO Agreement 
on Trade-Related Investment Measures (TRIMs Agreement).  Cape Verde did not require the use of 
domestic over imported goods.   
180. The representative of Cape Verde confirmed that Cape Verde would not maintain any 
measures inconsistent with the TRIMs Agreemen t and would apply the TRIMs Agreement from the 
date of accession without recourse to any transitiona l period.  The Working Pa rty took note of this 
commitment.   
- Free zones, special economic areas 
181. The representative of Cape Verde said that D ecree-Law No. 18/2000 of 27 March 2000, Law 
No. 83/V/98 of 21 December 1998, and Decree-Law  No. 48/99 of 2 August 1999 authorized the 
establishment of a Commercial Franc (Free) Zone, which was defined as a duty free import and export 
area where permanent trade fairs could be held.  Ho wever, Cape Verde's Commercial Franc Zone was 
not yet fully operational, and had so far only hosted occasional trade fairs. 
182. Cape Verde had also designated "free enterp rises" or "franc enterprises" benefiting from 
special fiscal and customs incentives under Law No . 99/IV/93 of 31 December 1993 and pursuant to 
Decree-Law No. 36/2003 of 29 September 2003; Re gulatory Decree No. 6/99 of 21 June 1999; Law 
No. 50/III/89 of 13 July 1989; Legislative Decree  No. 19/97 of 22 December 1997; Resolution 
No. 43/93 of 31 August 1993; and Resolution No. 3/2004 of 23 February 2004.  The Industrial Zone of Lazareto had been created especially for the se tting up of free enterprises.  Free enterprises could 
also be established elsewhere in Cape Verde, a nd would continue to benefit from the earmarked 
incentives provided for under the Law.  Any legall y established national or foreign enterprise was 
eligible for the status of free enterprise, as the La w stated that "all enterprises, producing or trading 
goods and services, solely for export or sale to othe r free enterprises installed in Cape Verde, can 
apply for the free enterprise status."  In order to be designated and registered as a free enterprise, the 
entity applied to the Ministry of Finance and Public  Administration through Cape Verde Investments.  
Upon approval, Cape Verde Investments issued a cer tificate of free enterprise in accordance with the WT/ACC/SPEC/CPV/5/Rev.2 
Page 56  
 
 provisions of Annex 2 of the La w No. 99/IV/93.  Five enterprises operating in the garment and 
footwear industries had been established as "free enterprises".   
183. The fiscal incentives for "free en terprises" included total exemption from taxes on profits and 
dividends distributed for ten years.  After ten years, these taxes were not to exceed 15 per cent of the profits.  Free enterprises were also exempt from indi rect taxes and other levies such as the stamp tax 
or notary and registration fees.  Free enterprises di d not have to declare capital gains.  Customs 
incentives included the exemption of all border tax es, custom duties, and charges on the imported 
goods used directly by the free en terprises such as construction materials, including metal structures, 
for the installation, expansion or renovation of the free enterprises; machinery, apparatuses and 
instruments, including accessories and spare parts; ca rgo handling equipment and means of transport 
of goods for the exclusive use of  the free enterprises; fuels and lubricants (with the exception of 
petrol), used strictly for electricity generation and energy needs of the free enterprises and for the 
desalination of water.  Raw mate rials and intermediate  products used in goods exported by a free 
enterprise could be imported through a suspension of  the customs regime.  Under this regime, the 
inputs were subject to a simplified declaration, cleared immediately by Cu stoms, the payment of 
duties and fees was suspended, and the products impor ted could be stored, circulated or transformed 
within the customs territory under the supervisi on of Customs.  Exported products manufactured or 
re-exported by free enterprises were exempt from custom s duties.  Free enterprises could also contract 
foreign workers.   
184. In response to a query, the representative of Ca pe Verde confirmed that the Ministry of 
Finance and Public Administration could authorize free enterprises to sell up to 15 per cent of the 
preceding year's production in the local market.  Goods  destined for the local market were subject to 
the applicable duties, taxes and other charges.   
185. A Member urged Cape Verde to review and re vise its policies related to free zones and free 
enterprises, and questioned whether the criteria fo r free enterprises were consistent with the WTO 
Agreement on Subsidies and Count ervailing Measures.  Cape Verde was invited to provide 
comprehensive information on all incentives related to  free zones, special economic areas, and "franc" 
or "free" enterprises.  Some Members stressed th e necessity for Cape Verde to ensure that goods 
produced in a free zone and imported into the terr itory of Cape Verde would be subject to normal 
customs duties applicable to imports.  Some Member s stated that they would welcome Cape Verde's 
commitment to eliminate prohibited subsidies by a date certain.   
186. [In reply, the representative of Cape Verde said that, applied by an LDC, the criteria would in 
his view be in compliance with the provisions  of the Agreement on Su bsidies and Countervailing  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 57 
 
 
 Measures.  Nevertheless, as Cape Verde's LDC st atus was set to expire, his Government was 
committed to prepare a plan for the gradual elimin ation of prohibited subsidies.  Referring to the 
action plan circulated in document WT/ACC/CPV/22 , he stated that Cape Verde would review all 
incentive programmes, and incentives found incons istent with WTO requirements would be 
eliminated or brought into conformity with the Agreement on Subsidies and Countervailing Measures.  
Cape Verde's commitments with respect to subsid ies provided for the free or "franc" enterprises and 
within the free trade zones can be found in  paragraph [XX-XX] and Table [XX].   
187. Concerning the free trade zones, including Commercial Franc (Free) Zones, and "free" 
enterprises or "franc" enterprises designated by th e Government, the representative of Cape Verde 
confirmed that Cape Verde would ensure enforcemen t of its WTO obligations in its free trade zones 
from the date of accession, including the provisi ons of the WTO Agreement and Cape Verde's 
commitments in its Protocol of Accession.  In this regard, imports and goods produced in the free 
trade zones or areas under tax and tariff provisions  that exempt imports and imported inputs from 
tariffs and certain taxes would be subject to nor mal customs formalities when entering the rest of 
Cape Verde, including the application of exempted tariffs and taxes.  The Working Party took note of 
these commitments.]   
- Government procurement 
188. The representative of Cape Verde said that the Directorate General for State Property solicited 
bids and oversaw the purchase of goods and services for all government departments.  Public works 
were regulated through Decree-Law No. 87/89 of  24 November 1989.  Contracts for construction 
works with foreign financing were not required to co mply with this legislation.  Tendering procedures 
were regulated by Decree-Law No. 31/94 of 2 Ma y 1994.  Generally, construction contracts were 
awarded after a public bidding process had taken pl ace.  The contract was awarded to the most 
advantageous proposal taking several factors into account, including the price, timetable for execution 
of the project, technical specifications, and other f actors of special interest to the public.  He 
confirmed that his Government did not give pref erence to local goods and services in its government 
procurement practices.   
189. Cape Verde followed World Bank guidelines in th e adjudication of government procurement, 
and contracts were concluded on the basis of inte rnational tendering, nati onal tenders, requests for 
quotations, or international consulta tion.  National tenders applied to products available in the local 
market.  Mandatory publication applied to a ll procurement exceeding CVE 100,000 (€907); for 
smaller projects the General Directorate of Patrim ony would invite bids from three local suppliers.  
An evaluation committee had been established to ex amine the claims of unsuccessful bidders.  Still WT/ACC/SPEC/CPV/5/Rev.2 
Page 58  
 
 dissatisfied, the bidder could bring the matter before the Minister of the Ministry concerned, and 
subsequently file an appeal with the Court.   
190. A Member invited Cape Verde to particip ate in the WTO Agreement on Government 
Procurement as an observer as a prelude to future participation as a Member to this Agreement.  
Noting that participation in this Agreement was optional for WTO Members, the representative of 
Cape Verde said that his Government would cons ider the issue and explore the advantages and 
disadvantages of joining the Agreemen t on Government Procurement.   
- Transit 
191. The representative of Cape Verde said that Chapter VIII (Articles 215-220) of the new 
Customs Code, to be adopted by December 2008, in cluded provisions on the regulation of trade in 
transit that, in his view, were in conformity w ith Article V of the GATT 1994.  Cape Verde was a 
member of the World Customs Organization (WCO) and was consulting and seeking technical 
assistance from the WCO on the regulation of trade in transit. 
192. As an ECOWAS Member, Cape Verde was a si gnatory to the Convention relating to Road 
Transit of merchandise between ECOWAS Member  States of 29 May 1982, and the Additional 
Convention A/SP.1/5/90 of 30 May 1990 that in stituted a mechanism within the ECOWAS 
Community to guarantee the inter-State road transit of merchandise.   
193. The representative of Cape Verde confirmed th at his Government would apply any laws, 
regulations and practices governing transit operations and would act in full conformity with the 
provisions of the WTO Agreement, in particular  Article V of the GATT 1994.  The Working Party 
took note of this commitment.   
- Agricultural policies 
(a) Imports   
194. The representative of Cape Verde said that the government Department responsible for 
Agriculture, Forestry and Livestock could impose quantitative restrictions or prohibitions on the 
import of vegetables, livestock and other products on the grounds of  health and public safety.  SPS 
measures were applied, and food imports needed to meet "Codex" standards.  Imported agricultural or 
animal products were accompanied by a certificate of  origin.  Imports of animals, food of animal 
origin, plants, vegetables or produc ts of vegetable origin were ac companied by an international 
sanitary or phytosanitary certificate issued by the authorities of the exporting country.  Based on an  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 59 
 
 
 inspection, the Cape Verdean aut horities issued a certificate to indicate that the products did not 
constitute a risk to Cape Verde.  Imported food pr oducts should be labelled to indicate the date of 
manufacture and the estimated shelf-life, composition, trademark and the manufacturer's name.  The 
use-by-dates stated by the manufacturers were not  based on mandatory shelf-life requirements for 
particular products.   
195. A Member reminded Cape Verde that quantitativ e restrictions were not permitted under the 
Agreement on Agriculture, and that Cape Verde woul d need to conduct a risk assessment to justify 
import prohibitions.   
(b) Exports 
196. The representative of Cape Verde said that Ca pe Verde prohibited the export of endangered 
flora or fauna covered by the International Conve ntion on Endangered Species of Flora and Fauna 
(Washington Convention).  His Government di d not provide any credits, credit guarantees or 
insurance programs for agricultural exports. 
(c) Internal policies   
197. The representative of Cape Verde said that the agricultural sector played an important role in 
the national economy, contributing about 11 per cent of the GNP and employing nearly 20 per cent of 
the labour force in 2000.  The import of some agricultural inputs was exempt from customs duties and taxes to support domestic producers.  Tariff exempti ons were available for breeding livestock, seeds 
and plants for agriculture, fertilizers and pesticides.   
198. The representative of Cape Verde provided in formation on domestic  support and export 
subsidies in the agricultural sector for the period 1998-2005 (see document WT/ACC/SPEC/CPV/1/Rev.2).  He identified "G reen Box" support as expenditure on research, 
information dissemination through extension and a dvisory services, support to the development of 
agriculture and livestock, and infrastructural ser vices serving both environmental and agricultural 
purposes in view of the limited water resources in Cape Verde.  Funding was also provided for the 
development of agriculture and livestock; reforesta tion; an annual survey on agriculture production; 
and the payment of salaries for forest rangers and similar personnel.  Salaries and wages accounted for 
a significant proportion of Cape Verde's expenditure  on domestic support.  Government expenditure 
for the support and development of agriculture in Cape Verde amounted to about CVE 560 million 
(€5 million) annually.   WT/ACC/SPEC/CPV/5/Rev.2 
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 199. The representative of Cape Verde confirmed that Cape Verde did not provide any agricultural 
export subsidies. 
200. [Cape Verde's commitments on agricultural tariffs and domestic support and export subsidies 
for agricultural products are contained in the Schedule of Concessions and Commitments on Goods 
(WT/ACC/CPV/[...]/Add.1) annexe d to Cape Verde's draft Protocol of Accession to the WTO.] 
- Trade in civil aircraft 
201. The representative of Cape Verde said that domestic companies benefited from tariff 
exemptions for imported aircraft a nd spare parts.  The exemptions were also available to foreign-
owned airlines stopping over in Cape Ve rde for refuelling and repairs.   
- Textiles regime  
202. The representative of Cape Verde said that tr ade in textiles was of growing importance and 
had accounted for almost 50 per cent of total exports in 2001.  Investment in the textile and clothing 
industry had totalled US$5.06 million over the period 2000 to 2004.  From 2000 through to the first 
half of 2005, Cape Verde's textile and clot hing industry had traded goods worth nearly 
CVE 3.4 billion (€30.5 million).  Cape Verde had b een certified for apparel benefits under the African 
Growth and Opportunities Act (AGOA), which gave Ca pe Verde's textile exports preferential access 
in the United States.  Cape Verde also had pref erential (quota and duty-free) access to other markets 
such as Canada and the European Union.   
V. TRADE-RELATED INTELLECTUAL PROPERTY REGIME 
- GENERAL - Industrial property protection 203. The representative of Cape Verde said that his Government attached importance to the 
development of an industrial property protection sy stem.  New legislation was being promulgated by 
Cape Verde in this area as the existing legal provi sions, i.e. Decree No. 30679 of 24 August 1940 (of 
Portugal), which had been enacted in Cape Verde as  the Industrial Property Code of 1959 (Ministerial 
Ordinance No. 17043 of 14 May 1959), were obsolet e and had not been applied since Cape Verde's 
independence in 1975.  A new Industrial Propert y Code had been published on 20 August 2007 
(Legislative Decree No. 4/2007).  The new law was b ased on international experience and - in his 
opinion - in full conformity with the provisions of the WTO Agreement on Trade-Related Aspects of 
Intellectual Property Rights (TRIPS).    WT/ACC/SPEC/CPV/5/Rev.2 
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 - Responsible agencies for policy formulation and implementation 
204. The representative of Cape Verde stated th at the Ministry of Economy, Growth and 
Competitiveness was the focal point for the protection of industrial property.  The Ministry was 
responsible for formulating and implementing policies in this area, whereas the government 
Department responsible for Industry and Energy was charged with follow-up and administrative 
procedures.  He added that the Ministry of Culture  was the focal point for copyright and related rights 
in Cape Verde.  In 2001, Cape Verde had created  the National Institute for Research, Promotion and 
Cultural Heritage (under the Ministry of Cultur e) which was responsible for compliance with 
legislation pertaining to copyright and related rights.   
- Participation in international intellectual property agreements 
205. The representative of Cape Verde said that Ca pe Verde had been a member of the World 
Intellectual Property Organization (WIPO) since 1 Ju ly 1997, and participated regularly in WIPO 
activities, particularly regional seminars for Port uguese-speaking countries.  Cape Verde intended to 
be a member of the main international organiza tions governing intellectual property, including the 
African Industrial Property Organization (AIPO).   
206. He expected Cape Verde to accede to the Paris Convention for the Protection of Industrial 
Property in 2008.  With respect to copyright and related rights, Cape Verde had acceded to the Berne 
Convention for the Protection of Literary and Artis tic Works in June 1996 and had become a member 
of the International Convention for the Protection Performers, Producers of Phonograms, and 
Broadcasting Organizations (Rome Convention) in June  1996.  Strongly encouraged to accede to the 
WIPO Copyright Treaty, the WIPO Performan ces and Phonograms Treaty and the Geneva 
Phonograms Convention, he indicated that his Govern ment would consider these matters further.  His 
Government would also take a position on accession to the International Union for the Protection of Plant Varieties (UPOV), the Budapest Treaty on the International Recognition of the Deposit of 
Micro-organisms for the Purposes of Patent Procedur e, and the Patent Cooperation Treaty, at a later 
stage.   
207. Cape Verde had developed a multilateral c ooperation relationship with WIPO, and a 
bilateral/regional relationship with  Portugal's National Institute of Industrial Property and the African 
Countries of Portuguese Official Language (PALOP) for training and technical assistance activities.   WT/ACC/SPEC/CPV/5/Rev.2 
Page 62  
 
 - Application of national and MF N treatment to foreign nationals 
208. The representative of Cape Verde said that the 1959 Industrial Property Code provided for 
equal treatment to all persons, inde pendent of place of residence.  Th e reciprocity regime applied for 
foreign nationals.  New legislation on Industria l Property Protection foresaw equal rights for all 
beneficiaries, whether national citizens or foreigners .  This principle would also be adhered to in 
Cape Verde's accession to the Paris Convention.   
209. With respect to copyright and related rights,  Cape Verde legislation neither permitted 
discriminatory treatment on the basis of the copyri ght holder's nationality, nor did it permit special 
treatment to the citizens of any particular country. 
- Fees and taxes 
210. The representative of Cape Verde said that mi nimal fees and charges set in the outdated 1959 
Industrial Property Code had remained in effect until April 2003.  His Government had revised these 
fees though Decree-Law No 7/2003 of 7 April 2003, publis hed in the Official Bulletin of 5 May 2003, 
and were also updating the fees with the promul gation of the new Industrial Property Code.  The 
previous charges and the revised fees are enumerated  in Table 11.  The fees and charges were the 
same for foreigners and Cape Verde nationals.   
- SUBSTANTIVE STANDARDS OF PROTECTION, INCLUDING PROCEDURES 
FOR THE ACQUISITION AN D MAINTENANCE OF INTELLECTUAL PROPERTY 
RIGHTS 
- Copyright and related rights 
211. The representative of Cape Verde said that the existing Copyright Law had been enacted in 
Decree No. 107/90 of 8 December 1990.  Cape Verde had subsequently acceded to the Berne 
Convention in June 1996.  
212. Some Members requested detailed information on the Copyright Law of Cape Verde, and in 
particular its conformity with Articles 9, 10, 11, 13 and 14.2 of the TRIPS Agreement.  In response, 
the representative of Cape Verde indicated that some provisions of the Copyright Law might be 
inconsistent with provisions of the TRIPS Agre ement.  The Action Plan submitted in document 
WT/ACC/CPV/9 and subsequent revisions envisag ed review and, as necessary, amendment or 
revision of the Copyright Law by December 2012 to bring it in conformity with the TRIPS 
Agreement.  The proposed timetable for completion of work, as outlined in Cape Verde's Action Plan,  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 63 
 
 
 depended on the provision of timely and adequate technical assistance.  He added that specific 
elements to be reviewed, and as necessary amended,  in the process of revising the Copyright Law 
included the definition of computer programs; rental rights for computer programs and 
cinematography works; the length and terms of protection for performers/performances; copyright 
protection for folklore/traditional culture (a WIPO  model law was being examined); and other aspects 
or provisions identified by Members as not in  compliance with the TRIPS Agreement.   
213. The representative of Cape Verde confirmed th at in line with Article 10.1 of the TRIPS 
Agreement, computer programs were protected as literary works.  He also confirmed that the [draft] revised Copyright Law would ensure a life-plus-50- years term of protection for literary works in 
compliance with Article 9.1 of the TRIPS Agreemen t and the Berne Convention.  The Copyright Law 
currently allowed "an artist's interpretation or executi on" to be protected for a period of 40 years, 
starting from the first day of the year in which th e copyrighted work was generated.  He confirmed 
that this too would be corrected in the revised Copyright Law to bring it into conformity with 
Article 14.5 of the TRIPS Agreement.  Responding to concerns that Article 50(h) of the draft revised 
Copyright Law did not require the reproduced work to be lawfully obtained by the person performing 
the reproduction, he stated that reproduction of a work obtained unlawfully would be considered a 
"crime of reception" according to Article 230 of the Penal Code.   
- Trademarks, including service marks 
214. The representative of Cape Verde said that th e 1959 Industrial Property Code (Chapter III, 
section II, Articles 86 and 103) provided for the registra tion and protection of marks.  Applications to 
register a mark were lodged with the Department responsible for Industry.  After the application had 
been submitted, a notice to this effect was publishe d in the Industrial Prope rty Bulletin.  The deadline 
to present complaints or objections was 90 days, af ter which the Department responsible for Industry 
would examine and process the application by comparing the mark submitted for registration against 
already-registered marks.   
215. Some Members sought a description of the protectable subject matter for trademark 
protection in Cape Verde.  Further information on the length and terms of protection, procedures for 
the registration and protection of trademarks, incl uding well-known marks, and the rights that the 
owner could exercise was requested.  Clarificati on on the arbitration mechanism and penalties for 
misuse and infringement of trademarks was also sought.   
216. In response, the representative of Cape Verd e indicated that the 1959 Industrial Property 
Code had been replaced by a new Industrial Property Code in Augus t 2007.  The length and terms of WT/ACC/SPEC/CPV/5/Rev.2 
Page 64  
 
 protection, the procedures for the registration a nd protection of trademarks, including well-known 
marks, and the rights exercised by the owner were de fined in the new code according to international 
procedures.   
- Geographical indications, including appellations of origin 
217. The representative of Cape Verde said that Ge ographical Indications had not been covered by 
the 1959 Industrial Property Code, but provisions ha d been included in the new Industrial Property 
Code of August 2007. 
218. Having reviewed the draft Industrial Property Code, a Member requested a specific 
explanation of how Cape Verde would preserve the rights of trademark owners in compliance with 
Articles 16.1 and 24.5 of the TRIPS Agreement by ensuring the protection of trademarks against 
confusingly similar and later-in- time geographical indications.  In reply, the representative of 
Cape Verde said that the new code defined clear ly the concepts as well as the registration and 
protection procedures for trademarks  and geographical indications.   
- Industrial designs 
219. The representative of Cape Verde said that the 1959 Industrial Propert y Code (Chapter II, 
Sections I-IV) provided for the registration and protec tion of industrial designs.  After an application 
had been submitted, a notice indicating the objective,  utility and novelty of the industrial design was 
published in the Industrial Property Bulletin.  The deadline to present complaints or objections was 
90 days, after which the request would be processed.  
220. Some Members sought further information on the procedures for the protection of industrial 
designs, and for the protection of textile designs.  In  reply, the representative of Cape Verde said that 
the 1959 Industrial Property Code was obsolete, an d that Cape Verde had adopted the new Industrial 
Property Code in conformity with the relevant pr ovisions of the TRIPS Agreement in August 2007.   
- Patents 
221. The representative of Cape Verde said that the 1959 Industrial Property Code (Chapter I, 
Sections II-IV) provided for the registration of pate nts.  A request for a patent was made in an 
application with the supporting materials as indicated in Article 15 of the Code.  Upon the request of 
the inventor or his/her legal representative, a "cer tificate of presentation of the patent request" was 
issued.  After the application had been submitted, a notice with a transcript of the patent claim was  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 65 
 
 
 published in the Industrial Property Bulletin.  The d eadline to present objections or complaints was 90 
days, after which the Department responsible for Industry would examine and process the request.  
222. Some Members requested further information on th e existing patent legislation in Cape Verde 
and in particular its conformity with Articles 27,  28, 29 and 32 of the TRIPS Agreement.  Further 
information was also sought on the rights provided to patent holders, the term of protection, and 
whether any provisions for extension of the term of  protection of patents existed in Cape Verde.  
Details of provisions and description of conditions (i f any) which might permit the use of the patent 
subject matter without the authorization of the patent holder was solicited.   
223. In reply, the representative of Cape Verde st ated that the 1959 Industrial Property Code was 
obsolete.  Cape Verde had adopted the new Indus trial Property Code in conformity with the 
provisions of the TRIPS Agreement in August 2007.   
- Plant variety protection 
224. The representative of Cape Verde said that plan t variety protection had not been covered in 
the 1959 Industrial Property Code, and plant variet y protection was not specifically addressed in the 
new Industrial Property Code.  He noted that according to Cape Ve rde's revised legislative action 
plan, Cape Verde's Industrial Prope rty Code would be in full confor mity with the TRIPS Agreement 
by December 2016.   
- Layout designs of integrated circuits 
225. The representative of Cape Verde said that layout designs of integrated circuits had not been 
covered in the 1959 Industrial Property Code.  The new Industrial Property Code included provisions 
in conformity with Articles 35 to  38 of the TRIPS Agreement.   
- Requirements on undisclosed information,  including trade secrets and test data 
226. The representative of Cape Verde said that tr ade secrets and test data were accorded 
protection through the Penal Code.   
227. Some Members sought further information on the protection of undisclosed information in 
conformity with Article 39 of the TRIPS Agreemen t, including the citation of the specific provisions 
in the Penal Code relating to trade secrets or test data.  Information was also sought on procedures and 
protection accorded to test data for pharmaceutical  and agricultural chemical products submitted for 
marketing approval.   WT/ACC/SPEC/CPV/5/Rev.2 
Page 66  
 
 228. In reply, the representative of Cape Verde said that the new Industrial Property Code included 
provisions on the protection of undisclosed information in conformity with the provisions of the 
TRIPS Agreement.  The existing Penal Code was old and was in the process of being revised.   
229. Having reviewed the draft Industrial Property Code, a Member noted that the draft law 
appeared to protect trade secrets against disclosur e, but it did not provide specific protection for 
pharmaceutical and agricultural test data against unfair commercial use as required under Article 39.3 
of the TRIPS Agreement.  In this context, the representative of Cape Verde was asked to explain 
whether Cape Verde permitted the registration of generic products; wh ether the applicant for a generic 
drug approval needed to provide the same data requ ired for an original product, or could provide an 
abbreviated drug application; and whether Ca pe Verde had established any time period after 
registration of an original product during which ge neric applications would not be considered.   
230. The representative of Cape Verde replied that  the new Industrial Property Code did not 
foresee the registration of generic products.   
- MEASURES TO CONTROL ABUSE OF INTELLECTUAL PROPERTY RIGHTS 
231. The representative of Cape Verde said that measures to control the abuse of industrial 
property rights were outlined in Title III of the 1959 Industrial Property Code as well as in the new 
Industrial Property Code of August 2007.   
- ENFORCEMENT 
- Civil judicial procedures and remedies 232. The representative of Cape Verde said that civil judicial procedures and remedies were 
applied in accordance with the Civil Process Code.  Under the Copyright Law, civil procedures 
arising from infringements were independent of criminal procedures.  One case on a presumed 
copyright infringement was currently before the courts, but no definitive judgment had yet been 
passed.  No civil cases had so far been br ought concerning trademark infringements. 
233. Some Members sought further information on laws, regulations and any conditions under 
which the right holder could avail of civil judicial procedures and remedies.  Further clarification was 
solicited on Cape Verde's conformity  with Article 43.1 of the TRIPS Agreement.  In response, the 
representative of Cape Verde said that Cape Verde had adopted the new Industrial Property Code in 
conformity with the provisions of the TRIPS Agreement in August 2007.    WT/ACC/SPEC/CPV/5/Rev.2 
 Page 67 
 
 
 234. Referring to Article 45.2 of the TRIPS Agreemen t, the representative of Cape Verde said that 
according to Articles 9 and 10 of the Civil Code and Cape Verde's laws of judicial procedure a right 
holder could be awarded the costs and/or attorney's fees at the successful conclusion of a case for 
copyright or intellectual property rights infringement.  Asked how fines or damages were calculated in 
civil trademark and copyright cases, he said that the draft law established minimum and maximum levels depending on the seriousness of the case.   
- Provisional measures 
235. The representative of Cape Verde said that  in accordance with Cape Verde's current 
procedural law, provisional or precautionary measures could be issued inaudita altera parte  or 
without prior notice to the defendant.  Provisions in line with Article 50 of the TRIPS Agreement 
would be included in the new law being drafted.   
- Administrative procedures and remedies 
236. The representative of Cape Verde said that administrative procedures and remedies had not 
been applied in Cape Verde due to the obsolete and non-functional nature  of the 1959 Industrial 
Property Code, and that this matter had been rectified in the new Code.    
- Special border measures 
237. The representative of Cape Verde said that  the 1959 Industrial Property Code had not 
included any special border measures to prevent the entry of counterfeit or other products violating 
the principles of industrial property protection.  However, the new Industrial Property Code ensured 
conformity with the provisions of Section 4 of th e TRIPS Agreement, including Article 51, on border 
enforcement of intellectual property rights.  Provi sions on border enforcement of intellectual property 
rights would also be included in the new Customs Code.  He added that training and counselling of 
the customs service would be necessary in this area.   
238. Some Members sought further informati on on border enforcement for trademark 
counterfeiting and copyright piracy.  Indications wh en border protection would be available to other 
forms of intellectual property were also solicited.   Clarification was sought on whether competent 
authorities could take ex officio action in lin e with Article 58 of the TRIPS Agreement.  
239. In response, the representative of Cape Verd e said that Customs Officials could take 
ex officio action under current customs operating pro cedures to prevent the importation of goods that WT/ACC/SPEC/CPV/5/Rev.2 
Page 68  
 
 infringed intellectual property rights.  Cape Verd e Customs could seize such goods and the case could 
be brought before the courts.   
- Criminal procedures 
240. The representative of Cape Verde said that th e illicit or unauthorized appropriation, use or 
diffusion of industrial property or trade secrets wa s a criminal offence punishable under the terms of 
the 1959 Industrial Property Code.  Article 213 of the 1959 Industrial Property Code stipulated that 
"any act of unfair competition shall be penalized by a fine of CVE 100 (€0.90) to CVE 10,000 (€90) 
under current legislation, which may be supplemented by a prison term of 15 days to six months."  
He acknowledged that the penalties in the 1959 Industr ial Property Code had  not constituted an 
effective deterrent.  No criminal judicial procedur es had been initiated in Cape Verde so far as the 
application of penalties was not effective and w ould not discourage illicit practices in the domain of 
industrial property rights.  The criminal procedur es and penalties had been reviewed and revised to 
conform with the TRIPS Agreement with the prom ulgation of the new Industrial Property Code.   
241. For copyright and related rights, the existi ng Copyright Law allowed for the imposition of 
penalties against anyone importing, selling or distribu ting to the public any pirated work, whether the 
product was produced in Cape Verde or abroad.  Copyri ght violations were punishable by a fine of up 
to CVE 100,000 (€900).  The Copyright Law foresa w penalties up to one year imprisonment and a 
doubling of fines in the case of recurrence.  The c opyright holder could also approach a Court to seize 
samples of usurped or pirated work.  As per the Action Plan in document WT/ACC/CPV/9/Rev.3, the 
Copyright Law would be revised by December 2012, and training and technical assistance was 
required to ensure compliance with the releva nt provisions of the TRIPS Agreement.   
242. The representative of Cape Verde submitted information on the implementation of the TRIPS 
Agreement in document WT/ACC/CPV/5, and said that  a timetable for the enactment of legislation 
that implements the WTO Agreement on TRIPS in Cape Verde's legal regime was provided in the 
TRIPS Implementation Action Plans circulated in documents WT/ACC/CPV/9 and its Revisions 1, 2 
and 3.  The new Industrial Property Code (legisla tive Decree No. 4/2007) had been promulgated in 
August 2007.  New legislation or amendments with regard to Industrial Property Rights, Copyright, 
and Trademarks would be submitted to the Council of Ministers and to the National Assembly by 
December 2012.  As per the Action Plan, Cape Verde would seek to implement and be in full 
conformity with the provisions of the TRIPS Ag reement by December 2016.  As outlined in the 
documentation provided, in was necessary to exte nsively amend current legislation in place, to 
undertake training of staff, and to secure the necess ary resources to join a number of international 
agreements and conventions.  The timetable for im plementation of the TRIPS Agreement foresaw the  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 69 
 
 
 provision of timely and adequate technical assistance.   Technical assistance to meet this goal had 
been, and would be further solicited from relevant  sources, including bilateral donors and the World 
Intellectual Property Organization.   
243. Having reviewed Cape Verde's Action Plan fo r compliance with the requirements of the 
TRIPS Agreement, a Member sought a realistic plan laying out the measures that Cape Verde would take over time to bring its regime into complianc e with specific provisions of the TRIPS Agreement 
as soon as possible.  The plan would constitute an understanding between Cape Verde and the 
Working Party on how Cape Verde would use the trans ition period, and form a blueprint for the use of 
technical assistance for compliance within the time frame contemplated.  Cape Verde should also 
provide specific assurances on its application of  measures covered by the TRIPS Agreement during 
any transition period approved by the Working Part y.  TRIPS-consistent measures already in place 
should not be subject to transiti ons, and Articles 3, 4 and 5 of th e TRIPS Agreement, providing for 
inter alia  national treatment and MFN treatment, should a pply from the date of accession.  Moreover, 
Cape Verde should not allow produc tion of goods or works inconsistent with the substantive 
provisions of the TRIPS Agreement during the transition period.   
244. The representative of Cape Verde stated that, fo r the reasons given above, the Government of 
Cape Verde requested that the WTO grant a tr ansitional period until December 2016 to obtain 
technical assistance and equip the administration to  implement fully the obligations of the TRIPS 
Agreement.  The representative of Cape Verde conf irmed that should a transition be granted for the 
implementation of the WTO Agreement on TRIPS, his Government was prepared to fully apply 
Articles 3, 4 and 5 of the TRIPS Agreement that provide for, inter alia , national treatment and MFN 
treatment under current legislation in place during an y transition period granted.  To this end, Cape 
Verde would amend its legislation on the fees charge d to applicants to ensure full national and MFN 
treatment upon accession.  Cape Verde will also ensure  that any change made in its laws, regulations 
and practice during this period will not result in a lesser  degree of consistency with the provisions of 
the TRIPS Agreement.   
245. The representative of Cape Verde further confir med that, should a transition be granted, his 
Government would ensure that Cape Verde's intell ectual property rights regime would not result in a 
lesser degree of enforcement during any transition pe riod granted; that existing rates of infringement 
would not significantly increase; and that any infri ngements of intellectual property rights in this 
period would be addressed immediat ely in cooperation with affected right holders.  He added that 
Cape Verde would seek out all available technical assistance to ensure that its capacity to fully 
enforce its TRIPS-consistent legal regime upon expira tion of the transition periods is assured and that WT/ACC/SPEC/CPV/5/Rev.2 
Page 70  
 
 Cape Verde would make available TRIPS legisla tion in draft and promulgated form to the WTO 
Secretariat for circulation to interested WTO Memb ers.  In response to requests from delegations for 
more specificity, the representative of Cape Verd e presented an Action Plan in Table 12 setting out 
details of the steps that still remained to be taken in order to achieve this objective and a timetable for 
each step.   
246. He further confirmed that from the end of the transition period, as part of its full 
implementation of the WTO Agreement on TRIPS,  Cape Verde would protect against unfair 
commercial use of undisclosed test or other data submitted in support of applications for marketing 
approval of pharmaceutical or of agricultural ch emical products which utilize new chemical entities, 
by providing that no person other than the pers on who submitted such data may, without the 
permission of the latter person, rely  on such data in support of an application for product approval for 
a period of at least five years from the date on wh ich Cape Verde granted marketing approval to the 
person that produced the data.  Prior to the issuance  of marketing approval of any pharmaceutical and 
agricultural chemical products, the relevant Ministri es in Cape Verde will determine the existence of a 
patent covering a product for which an application for marketing approval had been filed by a party 
other than the patentee, and will not approve such application for marketing approval until the date of 
the expiration of such patent.   
Table 12: Action Plan for Implementation of the 
 
Agreement on Trade Related Aspects of Intellectual Property Protection  
 
Part A – Industrial Property 
Topic Laws and Regulations Timetable 
Registered Trademarks, 
Geographical Indications, Industrial Designs, 
Patents, Integrated 
Circuits Diagrams, Confidential  Information Industrial Property Code, approved by Decree 
No. 30679 of 24 August 1940, ordered applicable to Cape Verde by Ministerial Ordinance No. 17043 of 
5 May 1959, published in the Supplement to Official 
Bulletin (Gazette) No. 19 of 15 May 1959 Since 1954 
Legislative authorization granted by Parliament – 
National Assembly Granted in 
February 2007 
Updating of the Trademark Classification table to 
bring it in conformity with the NICE International Classification.  Completed in 
April 2007 
Discussion and approval by the Council of Ministers July 2007 
Publication of the Industrial Property Code August 2007 New Industrial Property 
Code 
Industrial Property Code in full conformity with the 
TRIPS Agreement December 2016 
 Update of the Table of Fees to be paid by applicants 
for the registration of Industrial Property – 
Trademarks, Patents, models and industrial designs, 
etc. December 2008  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 71 
 
 
 Part A – Industrial Property 
Topic Laws and Regulations Timetable 
 Training of personnel including customs officials and 
police agents involved in the protection of registered trademarks. 
 Training of judges and lawyers 
 Creation of a Registered Trademarks Data Base 
Reorganization and creation of the Industrial Property Departments 
Computerization of data fo r the Industrial Property 
Departments 
Creation of Rules, Regulations and work (technical) 
manuals Other 
 
Training (enabling) the public regarding the protection 
of the Intellectual Property rights.  
  
2008-2012 
Part B – Copyright and Related Rights 
 Laws and Regulations addressi ng the subject matter Timetable 
 Copyright Law contemplated in Decree No. 107/90 of 
8 December 1990, published in Official Bulletin 
(Gazette) No. 49/1990. 
The Law needs to be revised to be WTO compliant In effect 
 Discussion and approval of the legislative 
authorization by the National Assembly December 2011 
 Discussion and approval by the Council of Ministers July 2012 
 Publication of the Copyright Law December 2012 
 Training of the personnel involved in the protection of 
copyright, customs personnel1 and police  
2008-2012 
 
 Training of judges and lawyers  
 Creation of the Copyright In formation Centre December 2012 
Other 
 Reorganization and creation of the Copyright 
Department December 2012 
 Computerization of the Copyright Department 2012 
 Rules, regulations and technical (work) manuals 2012 
 Training (enabling) the public regarding protection of 
intellectual property (copyrights). 2008-2012 – Training 
should be ongoing 
 
 
247. The representative of Cape Verde confirmed that  Cape Verde would apply the Agreement on 
Trade-Related Intellectual Property Rights by no later than [December 2016] according to the action 
plan in Table 12 with the understanding that duri ng this period protection for intellectual property 
rights listed in paragraphs [244, 245 and 246] woul d be applied in Cape Verde.  The Working Party 
took note of this commitment.   
VI. POLICIES AFFECTING TRADE IN SERVICES 
248. The representative of Cape Verde said that servi ces played an important role in the economy 
of Cape Verde.  Over the period 1998-2002, servi ces had accounted for about 65 per cent of the GDP.  
The five most significant services sectors were telecommunications, construction and engineering, 
                                                      
1 This end-date includes special requisites related to the application of border protection. WT/ACC/SPEC/CPV/5/Rev.2 
Page 72  
 
 tourism and related services, transportation, and fina ncial services.  He submitted detailed information 
on policy measures affecting trade in services in document WT/ACC/CPV/4.   
249. Several government departments were involved  in the regulation of trade in services, 
including the Ministry of Economy, Growth and Competitiveness; the General Department of Tourism; Cape Verde Investments; the Ministry of Infrastructures, Transport and Sea; the Institute to 
Assist Small and Medium Enterprises; the Minist ry of Finance and Public Administration; the 
Ministry of Health; the Ministry of Education and Higher Learning; the Ministry of Culture; the 
Ministry of Agriculture and Environment; the National Food Security Agency; the Bank of Cape Verde; and the Chambers of Commerce.  Many  professional associations also played a role in 
this area, including the Bar Association, the Association of Women Lawyers, the Doctor's 
Association, and the Associati on of Masons and Carpenters.  
250. Although many services had undergone significant liberalization, monopolies remained in the 
provision of certain basic services, notably in telecommunications (fixed networks), electricity 
(energy distribution) and water.  These monopo lies functioned under terms set by concession 
contracts signed with the Government of Cape Verde.   
251. Cape Verde's strategy for growth in the service s sector had been to privatize the provision of 
many services and to open the market to free and fair competition.  Cape Verde encouraged foreign investment and pursuant to the Foreign Inv estment Law No. 89/IV/93 of 13 December 1993, 
foreigners could invest and work in nearly every service sector.  Regulatory Law No. 1/94 set out the 
procedures for authorization of foreign direct investment.   
252. Pursuant to Law No. 47/IV/92 of 6 July 1992 and the privatization process initiated in 1993, 
joint ventures in financial services were encourag ed (though were not mandatory) with a view to 
building domestic entrepreneurial capacity, and increasing efficiency, productivity and 
competitiveness of companies.  Cape Verdean entrep reneurs with experience in financial services 
entered into strategic partnerships or joint vent ures with foreign investors.  In accordance with 
Article 7 of the Decree-Law No. 87/89 of 24 Novemb er 1989, joint ventures could also be established 
in construction services.   
253. He added that other laws and regulations rele vant for investment in Cape Verde's service 
sectors or sub-sectors included the Tourist Utility St atute (Law No. 55/VI/2005 of 10 January 2005); 
Industrial Statute (Decree-Law No. 108/89 of 30 December 1989); Law No. 92/IV/93 of 
15 December 1993 on export and re-export incentiv es; and Law No. 43/III/88 of 27 December 1988 
amended by Law No 32/V/97 of 30 June 1997, D ecree-Law No. 66/97 of 3 November 1997 and its  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 73 
 
 
 amendments regulating financial services.  Specifi c authorization requirements for courier services 
(currently covered by Decree-Law No. 5/ 94) were to be published in 2005.   
254. Concerning legislation regulating manageme nt consulting and related services, the 
representative of Cape Verde said that these services were covered by Decree-Law 37/92 of 16 April 1992 on Accountants; Law No. 126/IV/ 95 of 26 June 1995 on Professional Associations; 
Decree-Law No. 12/2000 of 28 February 20 00 on Auditing; Decree-Law No. 51/2000 of 
4 December 2000 on Attorneys; and the Code of Commercial Enterprises and Registration of Firms 
contained in Legislative Decree No. 3/99 of 29 March 1999, which covered other aspects of 
management consulting services.   
255. On legal services, the representative of Cape Verd e said that recognition as a qualified lawyer 
required residency in Cape Verde and citizenship of Cape Verde or a Portuguese-speaking country.  
Foreign lawyers could provide legal consultancy services on international law and home-country law 
and be associated with, or employ, local lawyers.   
256. Regarding the telecommunications sector, the Institute of Communication and Information 
Technologies (ICTI) had been created through Regul atory Decree No. 1/2004 of 9 February 2004.  
The principal objectives of the ICTI were the superv ision, technical regulation and inspection of the 
communications sector as well as the promotion and development of information technologies.  In addition to the ICTI and its technical regulation, a separate regulatory body and council had been created for the economic regulation of the telecommunications sector.  Both regulatory bodies had 
their own independent decision-making structur es and administrative procedures.  Decree-Law 
No. 70/95 of 20 November 1995 defined value- added services as services that, while having 
fundamental or complimentary telecommunication services as their sole support, did not require their own telecommunications infrastructure.  Authorizati on to operate value-added services was granted to 
registered commercial operators and legal enterprise s, including foreign owned affiliates that had the 
provision of telecommunication services as their primar y or commercial objective.  He stated that the 
provision of data services covere d transmission of these services through any technological means, 
including internet protocol.   
257. The representative of Cape Verde added that hi s Government continued to move forward on 
its commitment to market structure and regulatory reform of the telecommunications sector.  The 
Council of Ministers had approved a Declarati on on the State's Communication and Information 
Policy in April 2005 (Resolution No. 13/2005) establishing inter alia  guidelines for the complete 
liberalization of the communication and informati on sector and for the revision of the concession 
contracts.  In the aftermath of the adoption of the Policy Declaration and the guidelines, his WT/ACC/SPEC/CPV/5/Rev.2 
Page 74  
 
 Government had approved a new basis for network and electronic communications services through 
Legislative-Decree No. 7/2005 of 28 November 2005.  The legislative Decree eliminated exclusivity 
rights in international communications as from 1 January 2006, and established a calendar for the 
complete liberalization of the market as from 1 January 2007.  As a result of these actions, Cape Verde's legal and regulatory fra mework had become consistent w ith international best practice, 
and resembled the ICT legal and regulatory framewo rk in many European countries.  In 2006, his 
Government had created the National Communications Agency (ANAC) through Decree-Law 
No. 31/2006 of 19 June 2006.  The purpose of th is step was to promote a free competitive 
environment in the telecommunications sector as we ll as to modernize the entire communications and 
information sector.  ANAC would become an indepe ndent authority with administrative, financial, 
and patrimonial autonomy, entrusted with the s upervision, technical and economic regulation, 
inspection and representation of the communications sector.   
258. On the opening up of the telecommunications sect or, the representative of Cape Verde said 
that invitations to tender for mobile telephone services had been launched and the selection process 
was in progress.  Cabo Verde Telecom had mon opoly rights on the provision of fixed network 
services.  These monopoly rights had been establis hed, until 27 November 2021, under a 25 year 
Concession Agreement (Decree-Law No. 13/96 of 18 March 1996).  His Government set the prices 
for these services.  He stated that his Government would make efforts to renegotiate this Concession 
Agreement, and that Cape Verde would pr ovide unlimited market access for these services upon 
termination of the monopoly rights - even if the termination occurred before  27 November 2021.  As 
of 1 January 2006, new and legally  independent business units had been separated from Cabo Verde 
Telecom - CVMóvel, to provide mobile comm unication services, and CVMultimédia to provide 
multimedia services (Internet and cable TV).  A second GSM licence had been awarded, as well as 
two Licenses for cable TV (one for IPTV and on e for DAB-T).  One or more internet service 
providers were also expected to  be operational in 2007.  The CV Móvel licence, which was about to 
expire, was likely to be renewed on the same te rms and conditions.  The process of reviewing the 
Concession Contract with the concessionaire, an d the process of settling the compensation to 
CVTelecom for the termination of its exclusivity rights were in progress. 
259. Concerning tourism and travel related services,  the representative of Cape Verde said that 
revenues from tourism had increased from about  CVE 2.9 billion in 1999 to more than 
CVE 7.5 billion (or 10.2 per cent of GDP) in 2002.  Fo reign investment in the tourism sector had also 
grown steadily.  Some 4,000 jobs had been created in tourism infrastructure and services over the period 1994-2002.  He confirmed that there was no Law in Cape Verde that discriminated against 
foreign suppliers.  "Tourism Utility Status", re gulated by Law No. 55/VI/2005, entitled foreign  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 75 
 
 
 investors and workers to certain fiscal and customs incentives, i.e. duty free import of materials, tax 
exemptions, profit or salary remittances abroad, etc.   
260. He added that Decree-Law No. 4/94 and Regul atory Decree No. 3/94 of 7 February 1994 
regulated the activities of tour operators and tourist guides.  Tour operators were not wholesale firms 
but included local operators and the actual organi zers of tours.  The basic policies on tourism 
development were provided for in Law No. 21/IV /91 of 30 December 1991.  Urban Planning had 
been undertaken with zones earmarked for tourism development.  He added that the preservation of 
the environment and the eco-system was a priority fo r Cape Verde.  In this context, all hotels with 
more than 21 beds were required to undertake an  environmental impact study.  The tourism 
development policy in Cape Verde also foresaw th e preservation and promotion of local culture.  In 
this regard, cultural entertainment groups had been given support.   
261. Noting that the government enterprise Cape Verde Airlines (TACV) held a monopoly on 
domestic air transportation, maintenance and re pair, and cargo handling, the representative of 
Cape Verde said that the privatization of TACV  had been re-evaluated following domestic and 
international developments in 2001.  In December  2002, a new Privatization Law had been approved 
to facilitate the privatization process.  The Privati zation Office was working at restructuring TACV to 
make TACV financially secure.  Subject to favour able market conditions, the privatization was 
expected to proceed shortly.   
[to be completed] 
[A revised offer on specific commitments  in services can be found in document 
WT/ACC/SPEC/CPV/3/Rev.4 of 25 June 2007.]   
VII. TRANSPARENCY 
- Publication of information on trade 262. The representative of Cape Verde said that in accordance with the Constitution, all laws and 
legal acts, rules, regulations and public notices fo r the purpose of enforcement were published in the 
Official Bulletin.  He confirmed that all normativ e acts, including SPS or TBT regulations, customs 
and judicial rulings of general application were al so published in the Official Bulletin.  The Official 
Bulletin was available for sale to the public.  The a nnual subscription charges for Series I, II and III of 
the Official Bulletin were CVE 8,386, 5,770 and 4,73 1 respectively, while individual copies were sold 
for CVE 15 per page.  Copies were also available at the National Archives and the National Library of 
Cape Verde.  He confirmed that the Official Bu lletin had been available electronically since 2007 WT/ACC/SPEC/CPV/5/Rev.2 
Page 76  
 
 through the National Press.  He requested financia l and technical assistance for the translation of all 
relevant legislation.  Users seeking to access the proposed website of Official Bulletins would be 
charged for the service.  The fee structure for this future service had not been established yet.  His 
Government would consider a proposal to use electr onic availability as a basis for a regulatory review 
mechanism that included publication for prior comment, thereby addressing the transparency 
requirements in the areas of TBT and SPS and providi ng Cape Verde with a valuable tool for good 
rule making.   
263. The representative of Cape Verde confirmed th at Cape Verde would, upon accession, fully 
and promptly implement Article X of the GATT 1994 and other transparency provisions in the WTO Agreements requiring notification and publication.  He further confirmed that no law, regulation, 
judicial decision, administrative rulings, or other measures of general application pertaining to or 
affecting trade in goods, services and TRIPS, would become effective prior to its publication.  The 
publication of such laws, regulati ons and other measures would incl ude the effective date of these 
measures and list the products and/or services affected  by the particular measure.  He stated further 
that Cape Verde intended to establish or designate  an official journal or web-site, published or 
updated on a regular basis and readily available to WTO Members, individuals and enterprises, 
dedicated to the publication of all regulations and other measures pertaining to or affecting trade in 
goods, services, and TRIPS prior to implementation,  and that Cape Verde intended to provide a 
reasonable period, e.g. no less than 30 days, for comme nt to the appropriate authorities of Cape Verde 
before such measures are implemented, except for those regulations and other measures of general 
application involving national emer gency or security, or for which the publication would impede law 
enforcement or be otherwise contrary to the public  interest or prejudice the commercial interests of 
particular enterprises, public or private.  Cape Verde intended to implement this facility as soon as 
possible, and within the timeframe of its other WT O commitments.  The Working Party took note of 
these commitments.   
- Notifications  
264. The representative of Cape Verde said that, at th e latest upon entry into force of the Protocol 
of Accession, Cape Verde would submit all in itial notifications required by any Agreement 
constituting part of the WTO Agreement.  Any re gulations subsequently enacted by Cape Verde 
which gave effect to the laws enacted to impl ement any Agreement constituting part of the WTO 
Agreement would also conform to the requirements of that Agreement.  The Working Party took note 
of these commitments.    WT/ACC/SPEC/CPV/5/Rev.2 
 Page 77 
 
 
 VIII. TRADE AGREEMENTS 
265. The representative of Cape Verde said that Cape Verde was a member of the Economic 
Community of West African States (ECOWAS).  The ECOWAS Treaty called for free trade, free 
movement of persons, right of residence and est ablishment, free movement of capital, and an 
Economic Union with a common currency for the EC OWAS Member States.  Cape Verde presently 
only provided for the free movement of persons among the ECOWAS Member States. 
266. All 15 ECOWAS Member States had agreed to  establish a Customs Union and adopt a 
common external tariff, which for the moment was under further study and had not yet been implemented.  In accordance with Article 35 of the revised ECOWAS Treaty, signed on 24 July 1993, the Customs Union among the Member-States was to have been established over a ten year period 
(i.e. by 1 January 2000).  Within the Customs Union, all duties and border charges were to be 
eliminated, and Member-States were accorded duty-fr ee treatment in each other's markets.  Non-tariff 
barriers such as quotas, quantitative restrictions and pr ohibitions were also to be removed.  A common 
external tariff was to be established which would be applied to imports from outside the Customs 
Union.  He provided a roadmap for implementing the common external tariff and for establishing the 
Customs Union.   
267. Unprocessed goods and traditional handicraft produ cts were covered by Article 36.2 of the 
revised ECOWAS treaty.  These goods were to be accorded duty and quota free treatment within the 
ECOWAS Community with immediate effect.  Howe ver, the ECOWAS Heads of State had deferred 
the implementation of this measure.   
268. Cape Verde had concluded a free trade agreement with a group of African 
Portuguese-speaking countries - Angola, Guinea Bissau , Mozambique and Sao Tome and Principe.  
This agreement had been signed on 30 March 1980.   Free trade among the parties had not yet been 
undertaken.  He provided a list of Cape Verde's Fo reign Trade Agreements in  Annex 8A of document 
WT/ACC/CPV/3.   
269. The representative of Cape Verde confirmed that Cape Verde would observe the provisions of 
the WTO Agreement, and the 1979 GATT Decision on "Differential and More Favourable Treatment, 
Reciprocity and Fuller Participation of Deve loping Countries" (Enabling Clause), including 
Article XXIV of the GATT 1994 and Article V of th e GATS in trade agreements to which it belongs, 
and would ensure that the provisions of these WTO Agreements for notification, consultation, and 
other requirements concerning free trade areas and cu stoms unions of which Cape Verde was, or may WT/ACC/SPEC/CPV/5/Rev.2 
Page 78  
 
 become, a member were met from the date of ac cession.  The Working Party took note of these 
commitments.   
CONCLUSIONS 
270. The Working Party took note of the explanations  and statements of Cape Verde concerning its 
foreign trade regime, as reflected in this Report.  The Working Party took note of the commitments 
given by Cape Verde in relation to certain speci fic matters which are reproduced in paragraphs 
[.........................................] of this  Report.  The Working Party took note that these commitments had 
been incorporated in paragraph 2 of the Prot ocol of Accession of Cape Verde to the WTO. 
271. Having carried out the examination of the foreign trade regime of Cape Verde and in the light 
of the explanations, commitments and concessions ma de by the representative of Cape Verde, the 
Working Party reached the conclusion that Cape  Verde be invited to accede to the Marrakesh 
Agreement Establishing the WTO under the provisions of  Article XII.  For this purpose, the Working 
Party has prepared the draft Decision and Protocol  of Accession reproduced in the Appendix to this 
Report, and takes note of Cape Verde's Sche dule of Concessions and Commitments on Goods 
(document WT/ACC/CPV/.../Add.1) and its Schedule of Specific Commitments on Services 
(document WT/ACC/CPV/.../Add.2) that are annexed to the draft Protocol.  It is proposed that these 
texts be adopted by the General Council when it adopts the Report.  When the Decision is adopted, 
the Protocol of Accession would be open for acceptance by Cape Verde which would become a Member thirty days after it accepts the said Protocol .  The Working Party agreed, therefore, that it had 
completed its work concerning the negotiations fo r the accession of Cape Verde to the Marrakesh 
Agreement Establishing the WTO.   
[to be completed] 
  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 79 
 
 
 ANNEX 
Laws, Regulations and Other Information Provi ded to the Working Party by Cape Verde  
− Resolution No. 67/V/97 of 31 December 1997; 
− Notice No. 4/98 of the Bank of Cape Verde; 
− Decree-Law No. 18/93 "On Banks" of 29 March 1993; 
− The Decree-Law of the Republic of Cape Verde No. 29/93 on "Exchange Regime" of 
24 May 1993; 
− The Law of the Republic of Cape Verde No. 89/IV/93 "On General Conditions for Making 
Foreign Investments" of 13 December 1993; 
− Regulatory Decree No. 1/94 "On Foreign Inv estment Authorization" of 3 January 1994; 
− Regulatory Decree No. 7/2004 "On Statutes of Cabo Verde Investments" of 11 October 2004; 
− Regulatory Decree No. 11/93 "On Investment Companies" of 16 July 1993; 
− The Legislative Decree of the Republic of Ca pe Verde No. 14/97 on "Evaluation of the 
Environmental Impact" of 1 July 1997; 
− The Decree-Law of the Republic of Cape Verde No. 52/2003 on "Goods and Services Price 
Regime" of 24 November 2003; 
− The Decree-Law of the Republic of Cape  Verde No. 2/2004 on "Price Regime" of 
19 January 2004; 
− The Law of the Republic of Cape Verde No. 88/V/98 "On Juridical Regime for Consumer 
Protection and Defence" of 31 December 1998; 
− Decree-Law No. 53/2003 "On Competition" of 24 November 2003; 
− Decree-Law No. 16/97 "On Administrative appeals" of 10 November 1997; 
− Decree-Law No. 18/97 "On Administrative Procedures" of 10 November 1997; 
− The Draft Decree-Law "On Mediation"; 
− The Draft Law "On Fiscal Legislation"; 
− The Draft Decree-Law "On Mediation Centres"; 
− The Draft Justification Note for the Arbitration Law; 
− The Draft Law "On Arbitration"; 
− The Draft Law "On Arbitration Centres"; 
− Law No. 76/VI/2005 "On Arbitration" of 16 August 2005; 
− Regulatory Decree No. 8/2005 "On Arbi tration Centres" of 10 October 2005; 
− Decree-Law No. 30/2005 "On Mediation Centres" of 9 May 2005; 
− Decree-Law No. 31/2005 "On Mediation" of 9 May 2005; 
− The Draft Justification Note on the Mediation Package; 
− Decree-Law No. 68/2005 "Juridical Regime of  the External Trade" of 31 October 2005; 
− The Revision Proposal of Decree-Law of the Republic of Cape Verde No. 5/99 "On the 
Commerce Juridical Regime" of 1 February 1999; 
− Decree-Law No. 3/2006 "Installation Conditio ns and Modification of the Commercial 
Establishment" of 16 January 2006; 
− The Resolution of the Republic of Cape Verde No. 31/86 "On Trade Licenses Fees" of 
6 September 1986;  
− The Decree-Law of the Republic of Cape Ve rde No. 31/86 on "Taxes and Emoluments of 
Commercial Licensing" of 6 September 1986; 
− Official determination of the Republic of Ca pe Verde No. 16/99 regarding the competence to 
grant, renew, refuse, suspend or revoke au thorisation for the exercise the wholesale and 
commercial agent activities of 3 January 2000; 
− The Decree-Law of the Republic of Cape Verde No. 3/93, on "Regulati on of Pharmaceuticals 
and Medications" of 2 February 1993; WT/ACC/SPEC/CPV/5/Rev.2 
Page 80  
 
 − The Decree-Law of the Republic of Cape Ve rde No. 3/98 on "Import Quota Regime" of 
1 February 1999; 
− The Ministerial Ordinance of the Republic of Ca pe Verde No. 2/99 on "Prior Registration" of 
8 February 1999; 
− The Ministerial Ordinance of the Republic of Cape Verde No. 3/2004 on "Foreign Trade 
Title" of 26 January 2004; 
− The Ministerial Ordinance of the Republic of Cape Verde No. 13/2004 on "Foreign Trade 
Titles" of 14 June 2004; 
− The Ministerial Ordinance of the Republic of  Cape Verde No. 4/2004 on "Registration and 
Licensing Procedures" of 26 January 2004; 
− The Decree-Law of the Republic of Cape Verd e No. 50/2003 on "Juridical Regime of the 
Commerce Sector" of 24 November 2003; 
− Draft Decree-Law "On Juridical Regime of Foreign Trade", amending Decree-Law 
No. 51/2003; 
− Decree-Law No. 59/99 "On Regulations on the Re gistration of Firms" of 27 September 1999; 
− Decree-Law No. 23/VI/2003 "Approving the ICE Regulation" of 14 July 2003; 
− The Ministerial Ordinance of the Republic of Cape Verde No. 6/2004 on "Liberalization of 
Wheat Flour" of 16 February 2004; 
− Road Map for the ECOWAS Common External Tariff/Customs Union: 
− Protocol "On Conditions Governing the A pplication of the Community Levy" of 
27 July 1996; 
− Law No. 14/VI/2002 "On Approval of the Ta x Reform System" of 19 September 2002; 
− Law No. 14/VI/2002 "On Tax on Expenses – VAT, Article 8:  Exemptions in the Internal 
Operations" of 19 December 2002; 
− Decree-Law No. 22/2003 "On VAT Regulation" of 14 July 2003; 
− The Decree-Law of the Republic of Cape Verde No. 2/2002, on "Reference Price and 
Minimum Price on Chicken Meat" of 12 August 2002; 
− The Draft Customs Code of the Republic of Cape Verde; 
− The Decree-Law of the Republic of Cape Verde No. 108/89 "On the Industrial Activity 
Statute" dated 30 December 1989; 
− The Law of the Republic of Cape Verde No. 92/IV/93 "On Regime of Incentives Applicable 
to the Export or Re-export of Goods and Services" dated 15 December 1993; 
− The Law of the Republic of Cape Verde No. 42/ IV/92 "On the Tourism Utility Statute" dated 
6 April 1992; 
− Draft Ordinance "On Notification Authority and Enquiry Point for SPS"; 
− The Decree-Law of the Republic of Cape Verd e No. 48/99 on "Free Commercial Zones" of 
2 August 1999; 
− The Law of the Republic of Cape Verde No. 83/V/98 "On the Commercial Franc Zones 
Regime" of 21 December 1998; 
− The Law of the Republic of Cape Verde No. 99/IV/93 "On Free Enterprise Law" of 
31 December 1993; 
− Draft of Legislation Pertaining to Livestock;  
− The Draft Industrial Property Code of Cape Verde; 
− The Draft Revision of the Law "On Copyrights" No. 101/III/90 of 27 December 1990; 
− Legislative Decree No. 9/95 of 27 October 1995; 
− Legislative Decree No. 12/97 of 9 June 1997; 
− Legislative Decree No. 5/95 of 27 June 1995; 
− The Draft Decree-Law "On Financial Management Companies"; 
− The Draft Law No. 43/III/88 of 27 December 1998; 
− The Draft Alteration on Law No. 43/III/88;  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 81 
 
 
 − Proposal to Alter Law No. 43/III/88 of 27 December 1988;. 
− Law No. 32/V/97 amending Law No. 43/III/88; 
− Law No. 55/VI/2004 "On Tourism Utility  Statute" of 10 January 2004; 
− Decree-Law No. 40/2004 "On Conferring to Cabo Verde Investments Tran sitory Powers to 
Manage, Administer and Supervise Inte gral Tourism Development Zones" of 
11 October 2004; 
− The Draft Alterations to the Law "On Complementary Services"; and 
− The Draft Law "On Financial Leasing Companies". 
 
 WT/ACC/SPEC/CPV/5/Rev.2 
Page 82  
 
 Table 3:  Price Controls
 
HS Product Level of Application Type of 
control Observations 
CVE 48/kg wholesale, ex-
warehouse 1st 
CVE 54/kg Retail, at all islands 
CVE 35/kg wholesale, ex-
warehouse 10.06.30 
 
 Rice 
 
 
2nd 
CVE 38.5/kg Retail, at all islands Maximum 
CVE 55/Kg Wholesale, ex-warehouse 17.01.11 
17.01.12 
17.01.91 
17.01.99 Sugar 
(Granular) CVE 61.5/kg Retail, at all islands Maximum 
Wholesale, ex-warehouse: 
CVE 30/kg  1st 
Retail, at all islands: 
CVE 33/kg  
CVE 28/litre 
Wholesale, ex-warehouse: 
CVE 25/kg  10.05.90 Corn 
2nd 
 
 Retail, at all islands: 
CVE 28/kg  CVE 21/litre Maximum The prices of rice, granular 
sugar and maize have been 
liberalized through Ministerial Ordinance 
No. 12/2006 of 
13 June 2006 
Wholesale – CVE 36,000/Metric tonne 
Price ex-factory in Mindelo and at all ports 
of other islands. 
Resale, at all islands – CVE 2,035/bags of 50kg 1101.00 Wheat 
Flour 
CVE 46/Kg – Retail, at all islands Maximum 
1103.11. Wheat 
Bran CVE 15,000/Metric tonne 
Price Wholesale ex-factory. Maximum The prices of wheat flour 
and wheat bran have been 
liberalized through Ministerial Ordinance 
No. 12/2006 of 
13 June 2006 
CVE 90/Kg Wholesale - Price ex-factory; CVE 100/Kg Retail There are pieces of bread of: 
Weight Wholesale Retail 19.05.10 Bread and 
bakery 
500g 
250g 
100g CVE 45 
CVE 22 
CVE 9 CVE 50 
CVE 25 
CVE 10 Maximum The prices of bread and 
bakery goods have been liberalized through 
Ministerial Ordinance 
No. 35/2006 or 19 December 2006 
2710.00 Gas oil Retail at the fuel station – CVE 63/litre 
In bulk, ex-warehouse – CVE 62.5/litre Fixed 
prices 
2710.00. Gasoline Retail at the fuel station – CVE 110/litre 
In bulk, ex-warehouse – CVE 109.2/litre Fixed 
prices 
27.11.13 Butane 
Gas Bottle of 3kg = CVE 270 
Bottle of 6kg = CVE 570 
Bottle of 12.5kg = CVE 1,350 
Bottle of 55 kg = CVE 5,940 Fixed 
prices In force since 7 June 2004 
and replaced former prices 
enacted on 6 August 2003 which reduced prices on  
3 February 2003. 
2710.00. Kerosene In bulk, ex-warehouse – CVE 39/litre 
Retail – CVE 44/litre Fixed 
prices In force since 7 June 2004 
and replaced former prices 
enacted on 3 February 2003 
27.16.00 Electric 
power supply See Map Annexed to Council of Ministers 
Resolution No. 43/2002, of 30 December 2002 Fixed 
prices In force since 
1 January 2003 and replaced former prices 
enacted in 1985 
24. 03.10 Tobacco C ontract between the Government and the 
Cape Verdean Tobacco Company (SCT). Agreed 
prices However, no legal measure 
has been taken.  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 83 
 
 
 HS Product Level of Application Type of 
control Observations 
30.04.10-
90 Drugs Article 29 of Decree-Law No. 3/1993, of 
15  February 1993 Fixed 
prices However, no legal measure 
has been taken. 
22.01.10 Water Map annexed to resolution No. 43/2002 of 
30 December 2002 Fixed 
prices In force since 
1 January 2003 and 
replaced former prices 
enacted on 1998 
 Notes
:  
 - The wholesale prices include the price of the bags.  
- Rice and corn are classified according to their quality. 
- The prices of potato and onions are lib eralized in as much as they are not included in the legislation in 
effect. 
- The calculated prices listed are based on the effectiv e purchase price in the in ternational market plus 
international freight, insurance, customs duties and other charges (port fees, storage, etc.), the share of financial and investment costs and th e margin according to the market pr actice.  The internal structural 
costs (domestic transport costs and di stribution costs) are considered.  
- The requirement for importers of Corn, Rice, Sugar and Wheat flour (subject to maximum prices) to 
distribute 30 per cent of their importation in islands other than Santiago and S. Vincent was revoked by 
Decree-Law No. 29/2002 of 9 December 2002.  
- Notwithstanding the provisions of Decree-Law No. 52/2003 of 24 November 2003, Decree-Law 
No. 3/1993 of 15 February 1993 and Ministerial Ordinance No. 2/2004 of 19 January 2004, the prices 
of drugs and tobacco have been fi xed by their producers and importers. 
- The Government of Cape Verde after consultation with the Chambers of Commerce Upper Council 
(Conselho Superior das Câmaras de Comércio) estab lishes the prices on the basis of their agreed 
margins. 
- The prices listed above are generally  changed when international price changes have a negative impact 
on the companies' margin. WT/ACC/SPEC/CPV/5/Rev.2 
Page 84  
 
 Table 4(a):  Goods subject to comple te exemption or right to deduction
 
VAT Exemptions  
 Article Description Heading 
1.     Food Products – No. 28 of Article 9 
1.1 Meat and edible meat offal, from the following Tariff headings:  
1.1.1 of bovine animals, fresh, chilled,  frozen,  0201.10.00 to 0202.30.00 
1.1.2 of swine, fresh, chilled, frozen,  0203.11.00 to 0203.29.00 
1.1.3 of sheep and goats, fresh, chilled, frozen,  0204.10.00 to 0204.50.00 
1.1.4 of poultry (roosters, chickens, ducks, geese, turkeys, guineas, 
domestic species) 0207.11.00 to 0207.36.00 
1.1.5  pig fat free of lean meat, and poultry fat, not rendered or otherwise 
extracted fresh chilled frozen salted in brine dried or smoked 0209.00.00 
1.1.6 Meat and edible meat offal, salted, in brine, from swine and bovine 
animals 0210.11.00 to 0210.20.00 
1.2 Fish from the following Tariff headings:  
1.2.1 from the following fish, fresh, frozen or chilled, excluding fish 
fillets, livers, roes and semen 0302.31.00 to 0302.39.00 
1.2.1.1  Tunas and Bonito 0303.41.00 to 0303.49.00 
1.2.1.2 Herring 020340, 0303.50.00 
1.2.1.3 Mackerel (Scomber scombrus, Scomber australasicus,   0302.64.00 
 Scomber japonicus) 0303.74.00 
1.2.2.   Smoked fish, whether or not in fillets, excluding Pacific and Danube 
salmon 0305.42.00, 0305.49.00 
1.2.3 Fish, dried, whether or not salted but not smoked, excluding cod 0305.59.00 
1.2.4 Fish, salted but not dried or smoked, and fish in brine, excluding cod, 
and anchovies 0305.61.00, 0305.69.00 
1.3 Milk and dairy products and eggs from the following tariff headings:  
1.3.1 Milk and cream, not concentrated nor containing added sugar or 
other sweetening matter, in powder, granules or other solid forms 0401.10.00 to 0401.30.00 
1.3.2 Milk and cream, concentrated or containing added sugar of other 
sweetening matter 0402.10.10 to 0402.99.00 
1.3.3 Butter milk and curdled milk and cream, yogurt, kephir and other 
fermented or acidified milk and cr eam, whether or not concentrated 
or containing added sugar or other sweetening matter, or flavoured or containing added fruits or cocoa 0403.10.10 to 0403.90.00 
1.3.4 Butter and other fats derived from milk 0405.10.10 to 0405.90.10 
1.3.5 Cheese and curd 0406.10.10 to 0406.90.10 
1.3.6 Birds eggs, in shell, fresh, preserved or cooked, excluding eggs for 
hatching 0407.00.00.90 
1.4 Vegetables from the following tariff headings:  
1.4.1 Potatoes, fresh or chilled, excluding seed  0701.90.00 
1.4.2 Tomatoes, fresh or chilled  0702.00.00 
1.4.3 Onions and shallots, garlic, l eeks and other alliaceous vegetables 
fresh or chilled 0703.10.00 to 0703.90.00 
1.4.4 Cabbages, cauliflower, kohlrabi,  kale and similar edible brassicas, 
fresh or chilled 0704.10.00 to 0704.90.00 
1.4.5 Lettuce and chicory, fresh or chilled  0705.11.00 to 0705.29.00 
1.4.6 Carrots, turnips, salad beetroot, salsify, celeriac, radishes and similar 
edible roots, fresh or chilled. 0706.10.00 to 0706.90.00 
1.4.7 Cucumbers including gherkins, fresh or chilled.  0707.00.00 
1.4.8 Leguminous vegetables, shelled or unshelle d, fresh or chilled 0708 .10.00 to 0708.90.00 
1.4.9 Fruits of the genus Capsicum (peppers) or of the genus Pimenta 
(e.g. allspice) 0709.60.00  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 85 
 
 
  Article Description Heading 
1.4.10 Dried leguminous vegetables, shelled, whether or not skinned or 
split, excluding yellow peas. 0713.10.00 to 0713.90.00 
1.4.11 Cassava (manioc) 0714.10.00 
 sweet potatoes  0714.20.00 
 Yams 0714.90.10 
1.5 Fruits  
1.5.1 Fresh Bananas  0803.00.10  
  0803.00.20 
1.5.2 Guavas mangoes and mangosteens, fresh or dried  0804.50.10, 0804.50.90 
1.5.3 Citrus fruit, fresh or dried  0805.10.00 to 0805.90.00 
1.5.4 Grapes, fresh 0806.10.00 
1.5.5 Melons, watermelons and papayas (papaws) fresh.  0807.11.00 to 0807.20.00 
1.5.6 Apples, pears and quinces, fresh  0808.10.00, 0808.20.00 
1.5.7 Apricots, cherries, peaches, (including nectarines), plums and sloes, 
fresh 0809.10.00 to 0809.40.00 
1.5.8 Other fruit, fresh  
Strawberries  Raspberries, blackberries, mulb erries and loganberries  
Black, white or red currant,  including the "cassis" 
Cranberries, blueberries and other fruits  Kiwis 
Other fruit  
0810.10.00 0810.20.00 
0810.30.00 
0810.40.00 0810.50.00 
0810.90.00 
1.6 Cereals from the following tariff headings   
1.6.1 Wheat  1001.90.00 
1.6.2 Corn (maize), excluding seed and popcorn 1005.90.00 
1.6.3 Rice 1006.10.90 to 1006.40.00 
1.6.4 Cane or beet sugar and chemically pure sucrose, in solid form 1701.11.00 to 1701.99.90 
1.6.5 Ordinary bread 1905.90.00.91 
1.7 Fat or oil from the following tariff headings:  
1.7.1 Pig fat (including lard) 1501.00.00 
1.7.2 Soybean oil and its fractions, whether or not refined, but not 
chemically modified, excluding crude oil 1507.90.00 
1.7.3 Peanut oil and its fractions, whether or not refined, but not  1508.90.10 
 chemically modified, excl uding crude oil 1508.90.90 
1.7.4 Olive oil and its fractions, whether or not refine, but not chemically 
modified:  Virgin; other, packed fo r retail in pack containers of less 
than 5 litres. 1509.10.00 to 1509.90.90 
1.7.5 Sunflower-seed oil or safflower and its fractions whether or not 
refined but not chemically mo dified, excluding crude oil. 1512.19.00 
1.7.6 Margarine, excluding liquid margarine  1517.10.00 
2.     Goods from No. 15 of Article 9 
2.1 Printed books, brochures, leaflets and similar printed matter, whether 
or not in single sheets 4901.10.00 to 4901.99.90 
2.2 Newspapers, journals and periodicals, whether or not  4902.10.00  
 illustrated containing advertising material 4902.90.00 
2.3 Children's picture, drawing or colouring books 4903.00.00 
2.4 Music, printed or in manuscript, whet her or not bound or illustrated 4904.00.00 
2.5 Maps and hydrographic or similar charts of all kinds, including 
atlases, wall maps, topographical plans and globes printed 4905.10.00 to 4905.99.00 
3.     Goods from No. 29 of Article 9 
3.1 Provitamins and vitamins, natural or reproduced by synthesis 
(including natural concentrates, deri vatives thereof used primarily as 
vitamins, and intermixtures of the foregoing, whether or not in any solvent. 2396.10.00 to 2936.90.00 WT/ACC/SPEC/CPV/5/Rev.2 
Page 86  
 
  Article Description Heading 
3.2 Medicaments, including those for veterinary use, as well as patents 
and other pharmaceutical products fo r therapeutic or prophylactic 
uses 3001.10.00 to 3006.60.00 
3.3 X-Ray Film 3701.10.00 
3.4 Instruments and appliances used in medical, surgical, dental or 
veterinary sciences, including scintigraphic apparatus, other electro-
medical apparatus and sight testing instruments; parts and 
accessories thereof. 9018.11.00 
to 
9018.90.00 
3.5 Mechano-therapy appliances; massage apparatus; psychological 
aptitude-testing apparatus; ozone therapy, oxygen therapy, aerosol therapy, artificial respiration or  other therapeutic respiration 
apparatus. 9019.10.00 
to 9019.20.00 
3.6 Orthopaedic appliances, including crutches, surgical belts and 
trusses; artificial parts of the body; hearing aids and other appliances; which are worn or carried or implanted in the body to compensate for 
a defect or disability. 9021.11.00 
to 9021.90.00 
3.7 Apparatus based on the use of X-rays or alpha, beta or gamma 
radiation, whether or not for medical, surgical or veterinary uses, including radiography or radiotherapy apparatus, X-ray tubes and 
other X-ray generators, control panels and desks, screens, screens, 
examination or treatment tables, chairs and the like. 9022.12.00  
to 9022.90.00 
3.8 Thermometers and pyrometers not combined with other instruments 9021.11.00 to 9025.19.00 
4.     Goods from Nos. 32 and 33 of Article 9 
4.1 Eggs for hatching 0407.00.00 
4.2 Seed potatoes  0701.10.00 
4.3 Corn seed  1005.10.00 
4.4 Bulbs, tubers, tuberous roots, corms, crowns and rhizomes, dormant, 
in growth or in flower, chicory plants and roots 0601.10.00, 0601.20.00 
4.5 Other live plants (including their roots), cuttings and slips, 
mushroom spawn 0602.10.00 to 0602.90.00 
4.4 Vegetable seeds 1209.91.00 
4.7 Cereal straw and husks, unprepared, whether or not chopped ground, 
pressed or in the form of pellets 1213.00.00 
4.8 Rutabagas (swedes), mangolds, fodder roots, hay, alfalfa (lucerne) 
clover, sainfoin, forage kale, lupines, vetches and similar forage 
products, whether or not in the form of pellets  1214.10.00, 1214.90.00 
4.9 Flours, meals and pellets of fi sh or of crustaceans, molluscs and 
other aquatic invertebrates 2301.20.00 
4.10 Oil cake and other solid residues, whether or not ground or in the 
form of pellets, resulting from the extraction of vegetable oils 2304.00.00 to 2306.90.00 
4.11 Vegetable materials and vegetable waste, vegetable residues and by-
products, whether or not in the form of pellets, of a kind used in animal feeding Preparations of a kind used in an imal feeding, 
excluding dog and cat food 2308.10.00, 2308.90.00 
 
4.12 Preparations of the type utilized in animal  feed, except dogs and cats 2309.90.10, 2309.90.90 
4.13 Salt tablets for use in animal feed 2501.00.30 
4.14 Mineral or chemical fertilizer s  3101.00.00 to 3105.90.00 
4.15 Insecticides, fungicides, herbicides, anti-sprouting products and plant 
growth regulators 3808.10.10 to 3808.30.00 
4.16 spades, shovels, mattocks, picks,  hoes, forks and rakes: axes, bill 
hooks and similar hewi ng tools; secateurs a nd pruners and other 
hand tools of a kind used for agriculture and horticulture or forestry 8201.10.00 to 8201.90.00 
4.17 Liquid elevators  8413.82.00 
4.18 Agricultural, horticultural or forestry machinery for soil preparation 
or cultivation; Lawn or sports ground rollers  8432.10.00 to 8432.90.00  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 87 
 
 
  Article Description Heading 
4.19 Harvesting or threshing machinery including straw or fodder balers;  
Grass or hay mowers; 8433.11.00 to 8433.59.00 
8433.90.00 
4.20 Poultry incubators and brooders 8436.21.00 
4.21 Tractors 8701.10.00 to 8701.90.00 
4.22 Live animals - horses, asses, mules and hinnies, bovine, swine, sheep 
and goats, chickens, ducks, geese,  turkeys and guineas of domestic 
species. 0101.11.00 to 0105.99.00 
5.     Goods from No. 35 of Article  9 
5.1 Fish netting and fishing nets 5608.90.10 
5.2 Fishing rods 9507.10.00 
5.3 Hooks, whether or not in terminals 9507.20.00 
5.4 Fishing spools 9507.30.00 
5.5 Other fishing articles 9507.90.00 WT/ACC/SPEC/CPV/5/Rev.2 
Page 88  
 
 Table 4(b):  Exemptions listed in Article 8 of VAT Law
 
Exemptions in the Internal Operations  
 The transmission of goods and rendering ser vices, internally, are exempt from VAT, 
whenever such exemption is justified for technical reasons and reasons of ec onomic or social policy, 
namely: 
a) The transmissions of goods and rendering of servi ces performed in the ambit of agricultural, 
forestry, livestock and fishing activities; 
b) The rendering of services and the closely connect ed transmission of goods performed in the 
exercise of medical and sanitary activities, edu cational and professional training, protection to 
infancy, youth and old age, social security and assistance, habitually pursued by public 
entities or organisms without...; 
c) The services provided that consist in classrooms mi nistered on a personal basis, at the level of 
pre-school basic education, secondary school, technical professional, medium or higher education; 
d) The services provided by non-profit organizations, that explore establishments or installations 
destined for the practice of sports, recreationa l and physical education activities, to persons 
that practice these activities; 
e) The services provided and the transmissions of goods connected to them, performed by 
collective persons under public law and non-pr ofit organizations pertaining to congresses, 
colloquium, conferences, seminars, courses and analogous manifestations of a scientific, 
cultural, educational or technical nature; 
f) The services provided to the respective promoter s by professionals of the respective area, for 
the execution of theatrical spectacles, choreogr aphy, musical spectacles, circus, sports and 
others, film production, music editing a nd other sports of sound and image; 
g) The face value transmission of postal stamps in circulation or of stamped amounts, as well as 
their respective sales commission; 
h) The services provided and the transmission of  connected goods, performed by the public 
postal services, except for telecommunications. 
i) The transmissions of copyright and the authori zation for the utilization of intellectual work, 
defined in Law No. 101/III/90, of 29 December, Copyright Law, when performed by the authors themselves, their heirs or legator; 
j) The transmission done by the artists themselves, their heirs or legatos, of objects of their 
authorship, under the conditions and limits fixed in the VAT Regulation. 
k) The transmission of newspapers, magazines and bo oks considered of a cultural, educational, 
technical or recreational nature; 
l) Lending of personnel by religious or philosophical  institutions to perform exempt activities or 
for spiritual assistance purposes; 
m) Rendering services performed in the collective in terest of their associates, by non-profit 
organizations, as long as these organization pursue objectives of a political, syndical, religious, humanitarian, patriotic, philanthropic, recreational, sports, cultural, civic or of 
representation of economic interests and the so le counterpart is the quota established under 
the terms of the respective statutes; 
n) The transmissions of goods and the renderi ng of services performed by entities whose 
habitual activities are exempt, during occasional de monstrations destined to raise funds for 
their exclusive profit, in a maximum number to be fixed annually in the VAT Regulation and on the condition that the exemption does not provoke competition distortions; 
o) The exploration of gambling, under the terms for eseen in the appropriate legislation, as well 
as the respective commissions; 
p) The transmission of staple goods, to be defined specifically in the VAT Regulation;  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 89 
 
 
 q) The transmission of drugs, including those des tined for veterinary application, as well as 
pharmaceutical specialties and other pharmaceutic al products destined exclusively for 
therapeutic or prophylactic purposes; 
r) The transmission of goods and equipment, of seeds, reproductive species, fertilizers, 
pesticides, herbicides, fungicides and simila rs, as well as nets, hooks and other fishing 
apparatus, also to be enumerated specifically in the VAT Regulation; 
s) The transmission of immovables subject to th e Single Tax on Patrimony, under the terms of 
the respective regulation; 
t) The rental of immovables, including, however, in  the latter, the situations in which the same 
are included in commercial, industrial or service rendering services; 
u) Service rendering performed by funeral or cremation enterprises, as well as the transmission 
of accessory goods to those same services; 
v) The public service of garbage removal; 
w) The transmission of goods affected exclusivel y to an exempt activity and that when the 
respective acquisition or affectation was not the object of a deduction law; and 
x) The activities of the public radio and television companies that are not of a commercial 
character. 
 
 WT/ACC/SPEC/CPV/5/Rev.2 
Page 90  
 
 Table 5: Special Tax on Consumption (STC)
 
 
 (Articles 24 and 29 of the Law of Taxes on Expenses) 
 
HS Code Description Rates 
(per cent) 
1604.30.00.00 Caviar and caviar substitutes: 10 
2203.00.10.00 and 
2203.00.90.00 Bottled in recipients of a capacity not exceeding 50 cl  
 - Others 30 
2204 - Wine of fresh grapes, including fortified wines; grape must other than 
that of heading 2009:  
2204.10.00   - Sparkling wine 30 
2204.21.00.90  
2204.29.00.90   - In containers holding 2 litres or less: 
  - Others  20 
20 
2205 Vermouth and other wine of fresh grapes flavored with plants or aromatic 
substances:  
2205.10.00.00   - In containers holding 2 litres or less: 30 
2205.90.00.00   - Others  30 
2206 Other fermented beverages (for example, cider, perry, mead); mixtures of 
fermented beverages and mixtures of fermented beverages and non-
alcoholic beverages, not else where specified or included:  
2206.00.10.00 - Beer excluding the one made of malt 30 
2206.00.90.00 -  Others 30 
2208 Undenatured ethyl alcohol of an alcoholic strength by volume of less than 
80% vol.; spirits, liqueurs and other spirituous beverages:  
2208.20.00.00  - Spirits obtained by distilling grape wine or grape marc (grape brandy): 30 
2208.30.00.00   - Whiskies:      30 
2208.40.00.00   - Rum and tafia: 30 
2208.50.00.00   - Gin and Geneva 30 
2208.60.00.00   -  Vodka  30 
2208.70.00.00   - Liqueurs and cordials 30 
2208.90.00.90   - Other 30 
2402 Cigars, cheroots, cigarillos and ci garettes, of tobacco or of tobacco 
substitutes:  
2402.10.00.00  - Tobacco, not stemmed / stripped: 10 
2402.20.00.00 - Tobacco, partly or wholly stemmed/stripped 10 
2402.90.00.00 - Tobacco refuse: 10 
2403 Other manufactured tobacco and manufactured tobacco substitutes; 
"homogenized" or "reconstituted" tob acco; tobacco extracts and essences:   
2403.10.00.00 Smoking tobacco, whether or not containing tobacco substitutes in any 
proportion: 10 
2710 Petroleum oils and oils obtained from bituminous minerals, other than 
crude; preparations not elsewhere sp ecified or included, containing by 
weight 70% or more of Petroleum oils or of oils obtained from bituminous 
minerals, these oils being the basic co nstituents of the preparations; waste 
oils:  
2710.00.21.00  -  Lubricating oils 10 
2710.00.29.00  - Others 10 
2710.00.32.00  - Gasoline:  10 
2710.00.33.00  - Gasoline 10 
2710.00.39.00  - Others 10 
2710.00.51.00  - Diesel 10 
3303 Perfumes and toilet waters:  
3303.00.10.00  - - - Floral or flower waters 10 
3303.00.20.00  - - - Floral or flower waters not containing alcohol 10 
3303.00.90.00  - - - Others 10  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 91 
 
 
 HS Code Description Rates 
(per cent) 
3304 Beauty or make-up preparations an d preparations for the care of the skin 
(other than medicaments), including sunscreen or sun tan preparations; 
manicure or pedicure preparations:  
3304.10.00.00  - Lip make-up preparations 10 
3304.20.00.00  - Eye make-up preparations 10 
3304.30.00.00  - Manicure or pedicure preparations 10 
  - Others:  
3304.91.00.00  - - Powders, whether or not compressed  10 
3304.99.00.00  - - Others  10 
3604 Fireworks, signaling flares, rain rockets, fog signals and other pyrotechnic 
articles:  
3604.10.00.00  - Fireworks (display):  10 
3604.90.00.00  - Others  10 
4302 Tanned or dressed fur skins (inclu ding heads, tails, paws and other pieces 
or cuttings), unassembled, or assembled  (without the addition of other 
materials) other than those of heading 4303:  
4302.11.00.00  - - Of mink 10 
4302.12.00.00  - - Of rabbit or hare  10 
4302.13.00.00  - - Of lamb, the following: As trakhan, Broadtail, Caracul, Persian and 
similar lamb, Indian Chinese, Mongolian or Tibetan lamb 10 
4302.19.00.00  - - Others 10 
4302.20.00.00  - Heads, tails, paws and other pieces or cuttings, not assembled 10 
4302.30.00.00  - Whole sk ins and pieces or cuttings  thereof, assembled 10 
4303 Articles of apparel, clothing acce ssories and other articles of fur skin:  
4303.10.00.00  - Artic les of apparel and clothing accessories 10 
4303.90.00.00  - Others 10 
4304.00.00.00  Artificial fur and articles thereof 10 
7101 Pearls, natural or cultured, whether or not worked or grated but not strung, 
mounted or set; pearls natural or cultured, temporarily string for convenience of transport  
7101.10.00.00  - Natural pearls  10 
7101.21.00.00 - - Unworked 10 
7101.22.00.00 - - Worked 10 
7102 Diamonds, whether or not worked, but not mounted or set:  
7102.10.00.00  - Unsorted  10 
7102.31.00.00  - - Unworked or simply sawn, cleaved or bruted  10 
7102.39.00.00  - - Other  10 
7103 Precious stones (other than diamonds) and semiprecious stones whether or 
not worked or grated but not strung, mounted or set; ungraded precious 
stones (other than diamonds and semiprecious stones temporarily strung for convenience of transport:  
7103.10.00.00 - Unworked or simply sawn or roughly shaped.  10 
7103.91.00.00 Ruby, sapphire and emerald 10 
7103.99.00.00  - - Other  10 
7104 Synthetic or reconstructed precious or semi-precious stones, whether or 
not worked or grated but not strung, mounted or set; ungraded synthetic or 
reconstructed precious or semiprecious stones, temporarily strung for 
convenience of transport:   
7104.20.00.00  - Other, unworked or simply sawn or roughly shaped 10 
7104.90.00.00  - Other 10 
7113 Articles of jewelry and parts thereo f, of precious metal or of metal clad 
with precious metal  
7113.11.00.00  - - Of silver, whether or not plated or clad with other precious metals 10 WT/ACC/SPEC/CPV/5/Rev.2 
Page 92  
 
 HS Code Description Rates 
(per cent) 
7113.19.00.00  - - Of other precious metals whether or not plated or clad with precious 
metal 10 
7113.20.00.00  - Of base metal clad with precious metal 10 
7114 Articles of goldsmith's or silversmith's wares and parts thereof, of 
precious metal or metal clad with precious metal:  
7114.11.00.00  - - Of silver, whether or not plated or clad with other precious metal: 10 
7114.19.00.00  - - Of other precious metals whether or not plated or clad with precious 
metal 10 
7114.20.00.00  - Of base metal clad with precious metal 10 
7115 Other articles of precious metal or of metal clad with precious metal  
7115.90.00.00 - Artifacts for technical or laboratory use 10 
7116 Articles of natural or cultured pearls, precious or semiprecious stones 
(natural, synthetic or reconstructed):  
7116.10.00.00  - Of natural or cultured pearls  10 
7116.20.00.00  - Of precious or semiprecious stones (natural, synthetic or reconstructed) 10 
7117 Imitation jewelry  
7117.11.00.00  - - Cuff links and studs  10 
7117.19.00.00  - - Other  10 
7117.90.00.00  - Other  10 
Ex-87 Automobiles used to transport persons and merchandise up to 5 tons, 
used, of the headings 8702, 8703, 8704.21.20.11 to 8704.21.20.29 and 8704.31.20.11 to 8704.31.20.29:  
  - Up to four years old  0 
  - Up to six years old:  30 
  - Up to ten years old 60 
  - With more than ten years old:  150 
 Road tractors for semi-trailers, track- laying tractors, and other tractors, 
except pedestrian controlled tractors an d automobiles for the transport of 
merchandise with capacity greater than  5 tons, used, from the headings 
8701.20.00 to 8710.90.00 and 8704.22.20.11 to 8704.22.20.19, 8704.23.20.11 to 8704.23.20.19, 8704.32.20.11 to 8732.20.19, 
8704.90.00.11 to 8704.90.00.19:   
  - Up to four years old  0 
  - Up to six years old:  10 
  - Up to ten years old 20 
  - With more than ten years old:  60 
8903 Yachts and other vessels for pleasure or sports; row boats and canoes  
8903.91.00.00  - Sail boats with or without auxiliary motors 10 
8903.91.00.90  - Sail boats with motors 10 
8903.92.00.00  - Motor boats other than outboard motorboats  10 
9303 Other firearms and similar devices  which operate by the firing of an 
explosive charge (for example, sporting shotguns and rifles, muzzle 
loaded firearms Very pistols and other devices designed to project only signal flares, pistols and revolvers for firing blank ammunition, captive 
bolt humane killers, line-throwing guns):   
9303.10.00.00  - Muzzle loading firearms  10 
9303.20.00.00  - Other sporting, hunting or target shooting shot-guns, including 
combination short-gun rifles 10 
9303.30.00.00  - Other sporting, hunting or target-shooting rifles 10 
9303.90.00.00  - Other 10 
9304.00.00.00 Other firearms (for example: ri fles, carbines, and pistols, spring loaded, of 
air compression or of gas, "matr acas") except those of heading 9307 10  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 93 
 
 
 HS Code Description Rates 
(per cent) 
9701 Paintings, drawings and pastels, executed entirely by hand, other than 
drawing of heading 4906 and other than hand-painted or hand decorated 
manufactured articles; collages and similar decorative plaques; all the 
foregoing, framed or not framed:  
9701.10.00.00  - Paintings, drawings and pastels 10 
9701.90.00.00  - Other 10 
9702.00.00.00 Original engravings, prints  and lithographs, framed and not framed. 10 
9703.00.00.00 Original sculpture and statuary, in any material 10 
9706.00.00.00 Antiquities of an ag e exceeding one hundred years. 10 
 
  WT/ACC/SPEC/CPV/5/Rev.2 
Page 94  
 
 Table 8: Goods subject to non-automatic licensing
 
HS Code Description 
01.01 a 01.06 Live animals 
02.01 a 02.10 Meats and edible offals 
03.01 a 03.07 Fish and crustaceous, molluscs and other aquatic invertebrates  
04.01 Milk and cream, not concentrated nor containing added sugar or other sweetening matter 
04.03 Buttermilk, curdled milk and cream, yogurt, kephir and other fermented or acidified milk 
and cream, whether or not concentrated or containing added sugar or other sweetening 
matter or flavoured or containing added fruit, nuts or cocoa 
04.04 Whey, whether or not concentrated or containing added sugar or other sweetening 
matter; products consisting of natural milk constituents, whether or not containing added sugar or other sweetening matter, no t elsewhere specified or included 
04.05 Butter and other fats and oils derived from milk; dairy spreads 
04.06 Cheese and curd 
04.07 Birds' eggs, in shell, fresh, preserved or cooked 
04.08 Birds' eggs, not in shell, and egg yolks, fresh, dried, cooked by steaming or by boiling in 
water, molded, frozen or otherwise preserved, whether or not containing added sugar or 
other sweetening matter 
0409.00.00 Natural honey 
0410.00.00 Edible products of animal origin, not elsewhere specified or included  
0504.00.00 Guts, bladders and stomachs of animal s (other than fish), whole and pieces thereof, 
fresh, chilled, frozen, salted, in brine, dried or smoked 
05.11 Animal products not elsewhere specified or included; dead animals of chapter 1 or 3, 
unfit for human consumption 
06.01 a 06.04 Live plants or flower producing products 
07.01 Potatoes, fresh or chilled  
0702.00.00 Tomatoes, fresh or chilled 
07.03 Onions, shallots, garlic, leeks and ot her alliaceous vegetables, fresh or chilled 
07.04 Cabbages, cauliflower, kohlrabi, kale an d similar edible brassicas, fresh or chilled 
07.05 Lettuce (Lactuca sativa) and chicory (Cichorium spp.), fresh or chilled 
07.06 Carrots, turnips, salad beets (salad beetroot ), salsify, celeriac, radishes and similar edible 
roots, fresh or chilled 
0707.00.00 Cucumbers, including gherkins, fresh or chilled 
07.08 Leguminous vegetables, shelle d or unshelled, fresh or chilled 
07.09 Other vegetables, fresh or chilled 
07.13 Dried leguminous vegetables, shelle d, whether or not skinned or split  
07.14 Cassava (manioc), arrowroot, salep, Jerusalem artichokes, sweet potatoes and similar 
roots and tubers with high starch or inulin c ontent fresh, chilled, frozen or dried, whether 
or not sliced or in the form of pellets; sago pith 
08.01 Coconuts, Brazil nuts and cashew nuts, fresh or dried, whether or not shelled or peeled 
08.02 Other nuts, fresh or dried, whether or not shelled or peeled 
08.03 Bananas and plantains, fresh or dried 
08.04 Dates, figs, pineapples, avocados, guavas, mangoes and mangosteens, fresh or dried 
08.05 Citrus fruits, fresh or dried 
08.06 Grapes, fresh or dried 
08.07 Melons (including watermelons) and papayas (papaws),  fresh 
08.08 Apples, pears and quinces, fresh 
08.09 Apricots, cherries, peaches (including nectarines), plums (including prune plums) and 
sloes, fresh 
08.10 Other fruit, fresh 
08.13 Fruit, dried, other than that of headings 0801 to 0806; mixtures of nuts or dried fruits of 
this chapter 
09.01 Coffee, whether or not roasted or d ecaffeinated; coffee  husks and skins; coffee 
substitutes containing coffee in any proportion 
10.01 a 10.08 Cereals  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 95 
 
 
 HS Code Description 
12.01 a 12.14 Seeds and oleaginous fruits, whether or not broken, grains, seeds and diverse fruits, 
industrial or medicinal plants, cereal straw and husks, similar forage products, whether 
or not in the form of pellets 
14.01 Vegetable materials of a kind used primarily for plaiting (for example, bamboos, rattans, 
reeds, rushes, osier, raffia,  cleaned, bleach ed or dyed cereal straw, and lime bark) 
1501.00.00 Pig fat (including lard) and poultry fat, other than that of  heading 0209 or 1503 
15.03 a 15.18 Animal or vegetable oils (destined for human alimentary needs) 
16.01 Sausages and similar products, of meat, meat offal or blood; food preparations based on 
these products 
16.02 Other prepared or preserved meat, meat offal or blood 
1901.10.00 Preparations for infant use, put up for retail sale: Containing over 10% by weight of milk 
solids 
2207.10.10 Un-denatured ethyl alcohol of an alcoholic strength by volume of 80% vol. or higher for 
pharmaceutical purposes 
23.09 Preparations of a kind used in animal feeding 
2501.00.20 Salt destined for human alimentary needs 
30.01 a 30.06 Pharmaceutical products 
31.01 a 31.05 Fertilizers 
3601.00.00 Explosive powders 
36.02 Explosive preparations, except explosive powders 
38.08 Insecticides, rodenticides, fungicides, herbicides, anti-sprouting products and plant 
growth regulators, disinfectants and similar products, put up in forms or packings for 
retail sale or as preparations or articles (for example, sulphur treated bands, wicks and 
candles, and flypapers) 
40.14 Baby bottles, nipples and tits of rubber, vulcanized not hardened 
41.01 Raw hides and skins of bovine (including buffalo) or equine animals (fresh, or salted, 
dried, limed, pickled or otherwise preserved, but not tanned, parchment dressed or 
further prepared), whether or not dehaired or split 
41.02 Raw skins of sheep or lambs (fresh, or salted, dried, limed, pickled or otherwise 
preserved, but not tanned, parchment dressed or further prepared), whether or not with 
wool on or split, other than those excluded by note 1(c) to this chapter 
41.03 Other raw hides and skins (fresh, or salted, dried, limed, pickled or otherwise preserved, 
but not tanned, parchment dressed or further pr epared), whether or not dehaired or split, 
other than those excluded by note 1(b) or 1(c) to this chapter 
7013.39.00 Baby bottles, of glass 
93.01 a 93.07 Weapons and muniti ons, parts and accessories thereof 
 
 WT/ACC/SPEC/CPV/5/Rev.2 
Page 96  
 
  
Table 11:  Registration and renewal fees
 
 
Description Fee applied 
since 1940 Revised fee 
(CVE) 
Patents 
Request  30$00 12,000 
Annuities 50$00 * 2,500 
Surcharge for payment within 60 days 25$00 * 4,000 
Addition 50$00 2,400 
Annotation of transmission or exploration licence 100$00 6,000 
Revalidation 150$00 * 7,000 
Deposit of utility models 
Request 20$00 10,000 
First five years 40$00 2,500 
Second five-year period 80$00 3,000 
Third five-year period 160$00 4,000 
Fourth five-year period 320$00 4,000 
Fifth and subsequent five-year periods 640$00 4,000 
Annotations of transmission or Licenses for utility models 
Within the first five-year period 75$00 6,500 
Within the second five-year period 150$00 6,500 
Within the third five-year period 300$00 6,500 
Within the fourth five-year period 600$00 6,500 
Within the fifth five-year period 1,200$00 6,500 
Surcharge for renewal within sixty days - 50 per cent the respectvie five-year fee. 
Deposit of models or industrial drawings 
Request                                                                              20$00 8,000 
Initial five-year period, per class 30$00 2,000 
Renewals 50$00 2,500 
Annotation of transmission or licence 50$00 6,500 
Surcharge for renewals within 60 days 15$00 3,000 
Revalidations 90$00 6,000 
National registration of marks 
Request                                                                              50$00 6,500 
Registration per class and for each  five products 100$00 7,000 
Renewals 200$00 4,200 
Annotations of transmission or modification of the owner's identity 200$00 6,500 
Surcharge for renewal within 60 days 50$00 5,000 
Revalidations 300$00 8,000 
Series of marks 
Request 50$00 2,000 
Registration 150$00 6,000 
Renewals 300$00 8,000 
Annotation of transmissions 350$00 8,500 
Surcharge 75$00 3,000 
Revalidations 450$00 9,500 
Marks of artifices 
Request (per class) 10$00 4,500 
Registrations and renewals 20$00 5,000 
Revalidations 60$00 6,500 
International registration of marks 
Registration 250$00 8,000 
Annotations of transmissions 200$00 7,000  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 97 
 
 
 Description Fee applied 
since 1940 Revised fee 
(CVE) 
Registration of awards 
Request 50$00 5,000 
Registration 50$00 6,000 
Annotations of transmissions 40$00 4,000 
Registration of names and insignias 
Request 100$00 4,000 
Registration 200$00 17,500 
Annotation of transmission 200$00 8,000 
Surtax for payment within 60 days 100$00 20,000 
Revalidations 600$00 25,000 
Registration of denominations of origin 
Request 50$00 4,500 
Registration 100$00 7,500 
Other taxes 
Certificates of patent, deposit or registration 50$00 3,000 
Titles 10$00 2,500 
Search: 
- For each year 
 - Of non-computerized elements  - Of computerized elements 
- Minimum  
4$00 
10$00  
 
8,000 1,500 
1,500 
Certificates or photocopies: 
- For each  
6$00  
1,500 
Acceptance of requests: - For each request  
5$00  
500 
Annotation of modification of name, firm, commercial denomination or other elements of the identification of the owner  
- Name of insignia of establishment 
- Other categories  
  
200$00 
100$00  
  
2,500 
2,500 
Publications - Per request 
- Reivindications (per word) 
- Engravings (per line)  
5$00 
10$00 
1$00  
3,000 
50 
500 
 
 WT/ACC/SPEC/CPV/5/Rev.2 
Page 98  
 
 [DRAFT DECISION 
ACCESSION OF THE REPUBLIC OF CAPE VERDE 
Decision of […] 
 The General Council, 
 Having regard to  paragraph 2 of Article X II and paragraph 1 of Article IX of the Marrakesh 
Agreement Establishing the World Trade Organizati on (the "WTO Agreement"), and the Decision-
Making Procedures under Articles IX and XII of th e WTO Agreement agreed by the General Council 
(WT/L/93), 
 Conducting  the functions of the Ministerial Confer ence in the interval between meetings 
pursuant to paragraph 2 of Article IV of the WTO Agreement, 
 Taking note of the application of the Republic of Cape Verde for accession to WTO 
Agreement dated 3 November 1999, 
 Noting  the results of the negotiations directed toward the establishment of the terms of 
accession of the Republic of Cape Verde to the WT O Agreement and having prepared a Protocol on 
the Accession of the Republic of Cape Verde, 
 Decides  as follows: 
1. The Republic of Cape Verde may accede to the WTO Agreement on the terms and conditions 
set out in the Protocol annexed to this Decision. 
 
_______________ 
    WT/ACC/SPEC/CPV/5/Rev.2 
 Page 99 
 
 
 DRAFT PROTOCOL 
ON THE ACCESSION OF THE REPUBLIC OF CAPE VERDE 
Preamble  
 The World Trade Organization (hereinafter referred to as the "WTO"), pursuant to the approval 
of the General Council of the WTO accorded under Article XII of the Marrakesh Agreement 
Establishing the World Trade Organi zation (hereinafter referred to as the "WTO Agreement"), and the 
Republic of Cape Verde,  
 Taking note  of the Report of the Working Party on the Accession of the Republic of 
Cape Verde to the WTO Agreement reproduced in do cument WT/ACC/CPV/.., dated ....... (hereinafter 
referred to as the "Working Party Report"), 
 Having regard  to the results of the negotiations on the accession of the Republic of Cape Verde 
to the WTO Agreement,  
 Agree  as follows: 
PART I -  GENERAL 
1. Upon entry into force of this Protocol pursuant to paragraph 8, the Re public of Cape Verde 
accedes to the WTO Agreement pursuant to Articl e XII of that Agreement and thereby becomes a 
Member of the WTO.  
2. The WTO Agreement to which the Republic of Cape Verde accedes shall be the WTO 
Agreement, including the Explanatory Notes to that Agreement, as rectified,  amended or otherwise 
modified by such legal inst ruments as may have entered into force be fore the date of entry into force of 
this Protocol.  This Protocol, which shall include th e commitments referred to in paragraph ... of the 
Working Party Report, shall be an integral part of the WTO Agreement. 
3. Except as otherwise provided fo r in paragraph ... of the Working Party Report, those obligations 
in the Multilateral Trade Agreements annexed to the WTO Agreement that are to be implemented over a 
period of time starting with the entry into force of that Agreement shall be implemented by the Republic 
of Cape Verde as if it had accepted that Agr eement on the date of its entry into force. 
4. The Republic of Cape Verde may maintain a measure inconsistent with paragraph 1 of 
Article II of the GATS provided that such a measure was recorded in the list of Article II Exemptions annexed to this Protocol and meets the conditions of the Annex to the GATS on Article II Exemptions. 
PART II - SCHEDULES 
5. The Schedules reproduced in Annex I to th is Protocol shall become the Schedule of 
Concessions and Commitm ents annexed to the General Agr eement on Tariffs and Trade 1994 
(hereinafter referred to as the "GATT 1994") and the Schedule of Specific Co mmitments annexed to the 
General Agreement on Trade in Services (hereinafter referred to as "GATS") relating to the Republic of 
Cape Verde.  The staging of the concessions a nd commitments listed in the Schedules shall be 
implemented as specified in the releva nt parts of the respective Schedules. WT/ACC/SPEC/CPV/5/Rev.2 
Page 100  
 
 6. For the purpose of the reference in paragraph 6(a)  of Article II of the GATT 1994 to the date of 
that Agreement, the applicable date in respect of the Schedules of Conc essions and Commitments 
annexed to this Protocol shall be the date  of entry into force of this Protocol. 
PART III - FINAL PROVISIONS 
7. This Protocol shall be open for acceptance, by signature or otherwise, by the Republic of 
Cape Verde until .................. 
8. This Protocol shall enter into force on the thirtieth day following the day upon which it shall 
have been accepted by the Republic of Cape Verde.  
9. This Protocol shall be deposited with the Director-General of the WTO.  The Director-General 
of the WTO shall promptly furnish a certified copy of this Protocol and a notification of acceptance by 
the Republic of Cape Verde thereto pursuant to paragraph 9 to each Member of the WTO and to the Republic of Cape Verde.   
 This Protocol shall be register ed in accordance with the provisi ons of Article 102 of the Charter 
of the United Nations.   
 Done at Geneva this [.......] day of [........................................] in a single copy in the English, 
French and Spanish languages, each text being authentic, except that a Schedule annexed hereto may specify that it is authentic in only one of these languages. 
_______________  WT/ACC/SPEC/CPV/5/Rev.2 
 Page 101 
 
 
 ANNEX I 
SCHEDULE ... – THE REPUBLIC OF CAPE VERDE 
Authentic only in the English language. 
(Circulated in document WT/ACC/CPV/../Add.1) 
_______________ 
SCHEDULE OF SPECIFIC COMMITMENTS ON SERVICES 
LIST OF ARTICLE II EXEMPTIONS 
Authentic only in the English language. 
(Circulated in document WT/ACC/CPV/../Add.2) 
_______________  
] 
 
 
__________