Jordan WT/TPR/S/206/Rev.1 
 Page 23 
 
 
III. TRADE POLICIES AND PRACTICES BY MEASURE 
(1) INTRODUCTION  
1. Jordan has bound its MFN tariffs on all products ex cept electricity.  The simple average of its 
final bound tariff is 16.3%, with some tariff reduction commitments ending in 2010.  It has reduced its 
simple average applied MFN tariff rate from 14.7% in  2000 to 10.9% in 2008:  the average rates are 
17.1% for agricultural products (WTO definition) in 2008, and 9.9% for non-agricultural products.  
The applied MFN tariffs are generally within a range of 0-30%, with a peak of 180% on certain 
alcohol and alcoholic beverages.  Non- ad valorem  MFN customs duties are applied on seven 
agricultural tariff lines at the nine-digit level. 
2. Customs procedures have been computerized, using UNCTAD's Automated System for 
Customs Data (ASYCUDA).  An "importer card" is  required for all imports (even by importers not 
eligible for the card);  failure to present the card re sults in a 2.5% penalty.  Jordan has never applied 
anti-dumping measures, nor countervailing duties;  safeguard measures are in place on footwear and 
insecticides.  Technical regulations in place at the time of Jordan's accession to the WTO have been 
reviewed, by some replaced with voluntary standard s.  Jordan has been negotiating its accession to the 
Agreement on Government Procurement since 2003 and is in the process of amending its public 
procurement legislation. 
3. Export subsidies through income tax exemptions ar e to be phased out by 2015 at the latest.  
Exports are also promoted through free zones, a nd qualifying industrial zones, which allow designated 
industrial parks in Jordan to export duty-free and quo ta-free to the United States.  Jordan levies export 
duties on mining and quarrying products.  Prohibitions and controls are maintained on trade for TBT 
and SPS reasons, or under internationa l conventions to which Jordan is a signatory.  Jordan provides 
investment incentives through the Investment Promot ion Law and additional incentives in designated 
industrial estates, development areas and free z ones.  The Aqaba Special Economic Zone has 
free-zone status and an investment regime of its own;  it is governed by an authority with legal, 
regulatory, and administrative responsibilities within the zone. 
4. Jordan adopted a competition law in 2002.  Th e scope of price controls has been reduced 
since its accession to the WTO.  Products remaining under governmental price control include bread, fuel, and a range of services.  Jordan embarked on a privatization programme in the late 1990s;  the 
process has been concluded or is advanced in so me subsectors, notably telecommunications and air 
transport.  The Jordan Phosphate Mines Company and the Jordan Petroleum Refinery Company have 
been notified as state-trading enterp rises.  Jordan's intellectual property regime was reformed prior to 
accession and the Government has further strengthene d the protection and enforcement of intellectual 
property rights. 
(2) M
EASURES DIRECTLY AFFECTING IMPORTS  
(i) Registration and documentation 
5. Registered Jordanian companies, foreign compan ies registered in Jordan, and Jordanian sole 
proprietorships may import and export for commer cial purposes, provided they are registered as 
commercial importers/exporters with the Ministry of Industry and Trade with the stated objective 
"engaging in trade activities".  Otherwise they may import only for non-commercial purposes (own 
use).  A registered company's objectives can be  amended to include im portation and exportation.1  
                                                      
1 WTO document WT/ACC/JOR/25, 4 October 1999, page 3. WT/TPR/S/206/Rev.1 Trade Policy Review 
Page 24 
 
 
Jordanian companies engaging in importation and expor tation are subject to a foreign equity limit of 
50% (Table II.3). 
6. Registration in the Importers/Exporters Registry of the Ministry of Industry and Trade 
requires a municipal professional licence;  this is is sued to natural and legal persons registered in 
Jordan, who are members of the Chamber of Commer ce or Chamber of Industry, and whose premises 
have been inspected and approved by the local municipality.2 
7. Commercial import companies should hold a valid  importer card, which provides a special 
number and file that facilitates customs clearance.3  Goods may be imported for commercial purposes 
without an importer card;  however a penalty is pa yable equal to 2.5% of the value of the imported 
goods. 
8. Importer cards are issued by the Trade Director ate of the Ministry of Industry and Trade, 
within 30 minutes at no cost, upon presentation of th e certificate of registration from the Importers 
Registry. They are issued to registered Jordania n enterprises, foreign companies, and establishments 
(sole proprietorships), whose objectives are to carry out trading activities.   
9. Imports for non-commercial (own use) purposes by Jordanian or foreign companies are 
limited to items relevant to the realization of th e stated objectives of the entities concerned.  An 
importer card is required for imports by individual s, although such importers are not eligible for a 
card;  hence, they are always subject to the 2.5% penalty. 
10. For customs clearance, the principal documen ts required are the customs declaration, 
commercial invoice, bill of lading (or air waybill), certificate of origin, and packing list. Depending 
on the nature of the product, a technical conformi ty/health/veterinary certificate and/or an import 
permit or licence are required. 
(ii) Customs procedures 
11. There are 40 customs centres in Jordan divi ded into three categories (clearance centres, 
border centres, and post centres).  The services of a licensed customs clearance agent are required for 
all commercial imports.  Customs declarations are lodged electronically, and contact between brokers 
and the operational customs staff has been minimi zed.  Jordan has computerized almost all its 
customs centres, using UNCTAD's ASYCUDA (Automat ed System for Customs Data), with a risk-
based inspection system that categorizes shipments into  three levels of risk:  green (low risk), yellow 
(moderate risk), and red (high risk).  Goods assigned to the green channel are inspected for 
documentation, while goods in the yellow and red channels are also inspected for compliance with 
Jordan's requirements, including technical regula tions. The Jordanian Institution of Standards and 
Metrology (the national standardization body), th e Jordanian Food and Drug Administration, the 
Ministry and Agriculture, and other bodies are i nvolved in implementing Jordan's border inspection 
system (section (vii)). 
12. Imports of materials, equipment, and compone nts used in the production of exports for ISO 
9000 certified enterprises are clea red through the green channel.4  According to the authorities, release 
of goods via the green channel takes place without  delay, while clearance through the yellow and red 
channels take a maximum of 60 a nd 300 minutes, respectively, provid ed all required doc uments are in 
                                                      
2 WTO document WT/ACC/JOR/33, 3 December 1999, paragraph 47. 
3 Article 3A of the Import and Export Law No. 21 of 2001, as amended by Temporary Law No. 18 of 
2003. 
4 WTO document WT/ACC/JOR/33, 3 December 1999, paragraph 101. Jordan WT/TPR/S/206/Rev.1 
 Page 25 
 
 
order.  In 2007, 119,000 consignments (15% of th e total) were cleared through the green channel, 
336,000 through the yellow channel (41%) and 359,000 through the red channel (44%).5  In 2005, 
Jordan Customs launched a Golden List programme to further facilitate customs procedures.  The 
programme established a customs-business partners hip relying on post-clearance audit, offering 
expedited procedures to its members, such as re duced frequency of cargo inspections and pre-arrival 
clearance of shipments. 
13. Jordan's efforts to reform customs procedures were motivated by the Government's decision 
in 1998 to accelerate Jordan's accession to the WTO.  The foremost priority of customs reform was to 
implement WTO rules on customs valuation and rul es of origin, and on enforcement of intellectual 
property rights (section (4)(iv)).  Customs Law No. 20 of 1998, effective since 1 January 1999, 
contains provisions on customs valuation based on the WTO Agreement on the Implementation of 
Article VII of the GATT 1994.6  Articles 28-32 of the law deal primar ily with valuation matters.  It is 
stipulated that the transaction value shall be the basis for customs valuation purposes, and provision is 
made for alternative valuation methods if the cust oms value cannot be determined on the basis of the 
price actually paid or payable on the goods.  Acco rding to the authorities, reference prices (not 
published) are used as a last resort to provide guida nce when an importer fails to submit the required 
transaction value or the customs administration has r eason to doubt the accuracy of the declared price. 
14. Decisions by the Director General of the Cust oms Department concerning the value, origin, 
characteristics or tariff classification of goods can be contested before the Customs Court, with the 
possibility of appeal to the Customs Court of App eal.  In 2007, 586 cases c oncerning customs matters 
were settled in court.  According to the Wo rld Bank, Jordan is currently ranked 59th among 
178 economies in terms of the ease of trading across borders;  it was ranked 51st in 2007.7   
15. Jordan has no laws or regulations relating to pre-shipment inspection.8  However, from 2003  
Jordan operated the International Product Conform ity Certification Programme, called Daman, which 
was terminated in August 2007.9 
16. Jordan is a member of the World Customs Or ganization, and has ratified the United Nations 
Convention against Corruption (UNCAC). 
(iii) Rules of origin 
17. The legal framework for the application of non- preferential rules of origin is set out in 
Articles 24-26 of the 1998 Customs Law, as amended.10   The rules stipulate that, inter alia , goods 
must be wholly obtained in the exporting country, or  undergo substantial transf ormation that results in 
a change of the six-digit tariff classification of the goods, or contain at least 40% domestic content 
                                                      
5 Excluding shipments destined for the Aqaba Special Economic Zone. 
6 The Customs Law was last amended pursuant to Act No. 27 of 2000. 
 7 World Bank (2008). Doing Business:  Jordan . Viewed at: http://www.doingbusiness.org/ExploreEco 
nomies/?economyid=99. This analysis compares the costs and procedures involved in importing and exporting a 
standardized cargo of goods by ocean transport. 
8 WTO document G/PSI/N/1/Add.9, 21 March 2001. 
9 The programme was implemented by Bureau Veritas (Bivac) on behalf of the Jordanian Institution of 
Standards and Metrology.  Imported goods were tested and certified in the country of origin, while domestic 
products were tested and certified at  the site of manufacture. The product s subject to mandatory (pre-shipment) 
inspection under this programme were toys, electrical and electronic equipment, us ed vehicles, tyres, and 
personal safety devices. Food was included in the programme but was not subject to mandatory inspection.  See 
WTO documents G/TBT/N/JOR/1, 29 August 2003 and G/TBT/N/JOR/4, 17 March 2008. 
10 WTO document G/RO/N/30, 13 February 2001. WT/TPR/S/206/Rev.1 Trade Policy Review 
Page 26 
 
 
(Article 24).  A certificate of origin is requi red for imported products from all countries.  The 
certificate should be issued by an authorized body in the exporting country. 
18. Preferential rules of origin criteria under PAFTA are based on the principle of local Arab 
content, whereby the added value of any product must not be less than 40% of its value when 
produced in a member country.  These rules are provisional; specific rules of origin are under 
discussion within the Arab Social and Economic Council. 
19. Jordan's preferential rules of origin under th e FTA with the United States have three major 
components:  (i) the goods must be wholly obtained or produced, or substantially transformed in the 
territory of a party;  (ii) they must contain at l east 35% domestic content, i.e. no less than 35% of the 
customs value of the imported product must be attri buted to domestic origin materials and/or domestic 
direct costs of processing;  origin cumulation with  the other party is perm itted up to a ceiling of 15% 
of the customs value;  and (iii) the imported product must be shipped directly between parties, subject 
to specified exceptions.11 
20. A certificate of origin is not required, as the origin rules under the FTA with the United States 
are implemented through "self-certification" based on importer declaration.12  Special rules of origin 
apply to textiles and apparel. 
21. The rules of origin under the FTA with Singapore stipulate that:  (i) the good must be wholly 
obtained or produced in the territory of a party;  or (ii) there must be at least 35% local content of the 
customs value, with the possibility of bilateral origin cumulation;  and (iii) the good must be 
transported directly between parties.13  Textiles and apparel are subject to special rules of origin. 
22. The Pan-Euromed rules of origin are applie d to trade under the Jordan-EC Association 
Agreement, the Jordan-EFTA FTA, the Agadir Agreem ent, and Jordan-Israel Trade Agreement.  The 
Pan-Euromed protocol allows for diagonal cumulation of origin among member countries.14 
(iv) Tariffs and taxes 
(a) Tariff bindings 
23. Jordan bound its tariffs on all products with  the exception of electricity upon accession 
(Table III.1).  It has no tariff quota commitments in its schedule of concessions.15  The simple average 
of the final bound tariffs is 16.3%:  23.9% for agri cultural products (WTO definition), and 15.2% for 
non-agricultural products (Table III.1). A large por tion of the tariff commitments were to be 
implemented through staged reductions.  For some  tariff items, implementation of commitments is 
still under way and w ill end in 2010. 
                                                      
 11 Annex 2.2, paragraph 8 of the Jordan-US FTA. Viewed at: http://www.jor danusfta.com/documents/ 
rules.pdf. 
12 O'Shea and Rosenow (2001). 
13 See chapter 3 of the Jordan-Singapore FTA. Viewed at: www.jftp.gov.jo/pdf/Jordan%20Singapore% 
20FTA.pdf. 
14 The Pan-Euro-Med protocol of origin between Jordan and its Euromed partners entered into force as 
follows:  EC, 1 July 2006;  Agadir, 6 July 2006;  Israel, 9 July 2006;  and EFTA, 17 July 2007. 
15 Schedule CXLVIII - Hashemite Kingdom of Jordan. Jordan WT/TPR/S/206/Rev.1 
 Page 27 
 
 
Table III.1 
Structure of MFN tariffs, 2006-08  
(Per cent) 
  2006 2007 2008 U.Ra. 
1. Bound tariff lines (% of all tariff lines) 100.0 100.0 100.0 100.0 
2. Duty-free tariff lines (% of all tariff lines) 47.4 49.1 49.0 6.8 
3. Non- ad valorem tariffs (% of all tariff lines) 0.1 0.1 0.1 0.1 
4. Tariff quotas (% of all tariff lines) 0.0 0.0 0.0 0.0 
5. Non- ad valorem tariffs with no AVEs (% of all tariff lines) 0.1 0.1 0.1 0.1 
6. Simple average tariff rate 11.4 11.0 10.9 16.3 
 Agricultural products (WTO definition)b 17.7 17.5 17.1 23.9 
 Non-agricultural products (WTO definition)c 10.4 10.0 9.9 15.2 
 Agriculture, hunting, forestry and fishing (ISIC 1) 16.5 16.9 16.7 21.3 
 Mining and quarrying (ISIC 2) 7.9 7.3 7.3 15.6 
 Manufacturing (ISIC 3) 11.2 10.8 10.6 16.1 
7. Domestic tariff "spikes" (% of all tariff lines)d 0.5 0.5 0.5 0.5 
8. International tariff "peaks" (% of all tariff lines)e 36.1 35.9 35.7 47.0 
9. Overall standard deviation of  applied rates 15.1 14.8 14.7 14.9 
10. "Nuisance" applied rates (% of all tariff lines)f 0.1 0.0 0.0 0.0 
a Uruguay Round, based on 2002 tariff. 
b WTO Agreement on Agriculture definitions. 
c Excluding petroleum. 
d Domestic tariff spikes are defined as those exceeding three times the overall simple average applied rate (indicator 6). 
e International tariff peaks are defined as those exceeding 15%. 
f Nuisance rates are those greater than zero, but less than or equal to 2%. 
Source:  WTO Secretariat calculations, based on data provided by the Jordanian authorities. 
24. The final bound rates are generally within a ra nge of 0-30%, with some exceptions.  Almost 
half of the bindings are above 15% (international tariff "peaks").  The highest bound rates apply to certain alcohol and alcoholic beve rages (180-200%), and tobacco a nd tobacco products (150-200%).  
some agricultural products, including grapefruit, garlic, onions, potatoes, and peas are subject to bound rates of 50% in specific calendar months (seas onal tariffs).  The bound tariffs for nine lines, 
mostly agricultural products, are in terms of compound duties (Table III.2).  The imposition of 
ad valorem  tariffs on two of these lines (HS items 9 61310000 and 9613201 00) creates a certain risk 
concerning compliance by Jordan with its tariff binding commitments on these products. 
25. Other duties and charges are bound at zero. 
Table III.2 
Non- ad valorem  MFN tariffs, 2008  
Tariff line Product description Bindings Applied MFN tariffs 
2008 
010210000 Bovine animals: pure-bred breeding animals 5% +10 JD/head 5% + 10 JD/head 
010290000 Bovine animals: other 5%  +10 JD/head 5% +10 JD/head 
010410000 Sheep 5% +2 JD/head 5% + 2 JD/head 
010420000 Goats 5% +2 JD/head 5% + 2 JD/head 
080300100 Bananas  30% +250 JD/tonne 30% + 250 JD/tonne 
080610100 Grapes from 1 May to 31 October  40% +250 JD/tonne 30% + 250 JD/tonne 
080810100 Apples from 1 June to 31 Oct ober  30% +250 JD/tonne 30% + 250 JD/tonne 
961310000 Pocket lighters, gas fuelled, non-refillable 35% + 30 Fils/lighter 66% 
961320100 Lighters with plastic gas c ontainers 35% + 30 Fils/lighter 50% 
Note: 1,000 Fils = 1 Jordanian dinar. 
Source:  WTO CTS database. WT/TPR/S/206/Rev.1 Trade Policy Review 
Page 28 
 
 
(b) Applied MFN tariff 
26. Customs duties are assessed on the basis of the c. i.f. value of imports on the registration date 
of the customs valuation form.  Almost half of the 6,206 lines in Jordan's applied MFN tariff are duty-
free (in 2008), a far greater share than Jordan co mmitted to in its schedule of concessions (6.8%).  
Jordan applies no "nuisance" tariffs (i.e. rates between zero and 2%).  Applied MFN tariffs are 
generally within a range of 0-30%, with over one  third of lines carrying rates in excess of 15% 
(Charts III.1 and III.2 and Tables III.1 and AIII.1).  Nonetheless, higher tariff rates apply to certain 
alcohol and alcoholic beverages (up to 180%), tobacco and tobacco products (up to 100%), and 
lighters (50-66%).16  Overall, the simple average applied MFN tariff rate decreased from 14.7% in 
2000 to 10.9% in 2008. 
27. The simple average MFN tariff rate for agricu ltural products (WTO definition) is 17.1%, 
compared to 9.9% for non-agricultural products (WTO definition).  Using the ISIC definition, simple 
average applied MFN tariffs are highest in agriculture (16.7%)17, followed by the manufacturing 
sector (10.6%),  and mining and quarrying (7.3%) (Table III.1). 
28. The general structure of the applied MFN ta riffs in 2008 shows mixed escalation, negative 
from raw materials (12.2%) to se mi-processed goods (4.4%), and then  positive at the final stage of 
processing (14.4%) (Table III.3).  At a more disag gregated level, the applied MFN tariff shows 
positive tariff escalation for paper and printing pro ducts, for non-metallic mineral products and basic 
metal products and, to a certain degr ee, food and beverages (Chart III.3). 
29. Total revenues from taxes on trade amounted to JD 312.1 million in 2007, an increase of 42% 
compared with 2002 (Table III.4).  Jordan's duty co llection ratio has effectively been considerably 
lower than the average applied MFN tariff, which reflects, amongst other things, the impact of 
Jordan's FTAs and other tariff exemptions. 
Table III.3 
Summary analysis of the MFN tariff, 2008  
  Applied MFN rates 
Analysis No. of linesa No. of lines 
used Simple avg. 
tariff (%) Range tariff 
(%) Std-dev (%) CV   
Imports 2007b
(US$ million)
Total 6,206 6,205 10.9 0-180 14.7 1.3 13,531.1 
By WTO definitionc        
Agriculture 846 846 17.1 0-180 24.6 1.4 2,012.6 
  Live animals and products thereof 98 98 12.3 0-30 9.2 0.7 203.7 
  Dairy products 26 26 13.2 0-30 10.7 0.8 132.4 
  Coffee and  tea, cocoa, sugar, etc. 163 163 16.0 0-40 12.3 0.8 394.1 
  Cut flowers and plants 47 47 12.3 0-30 10.9 0.9 8.6 
  Fruit and vegetables 198 198 20.6 0-35 11.3 0.5 211.6 
  Grains 16 16 6.3 0-10 3.9 0.6 657.7 
  Oil seeds, fats, oils and their 
   products 100 100 10.7 0-30 13.2 1.2 210.7 
  Beverages and spirits 56 56 53.2 0-180 71.5 1.3 72.2 
  Tobacco 15 15 49.7 5-100 35.1 0.7 68.0 
  Other agricultural products 127 127 6.0 0-30 9.8 1.6 53.6 
Non-agriculture (excl. petroleum) 5,351 5,350 9.9 0-66 12.1 1.2 8,796.0 
Fish and fishery products 129 129 19.5 0-30 5.3 0.3 56.9 
Mineral products, precious stones and 
precious metals 388 388 14.6 0-30 12.9 0.9 800.8 
Metals 746 746 10.9 0-30 12.5 1.1 1,142.2 
      Table III.3 (cont'd) 
                                                      
16 HS 961310000 and 961320100. 
17 Including hunting, forestry and fishing. Jordan WT/TPR/S/206/Rev.1 
 Page 29 
 
 
  Applied MFN rates 
Analysis No. of linesa No. of lines 
used Simple avg. 
tariff (%) Range tariff 
(%) Std-dev (%) CV   
Imports 2007b
(US$ million)
Chemicals and photographic supplies 997 997 1.6 0-30 4.0 2.5 1,315.4 
Leather, rubber, footwear and travel 
goods 181 181 14.9 0-30 13.0 0.9 119.6 
Wood, pulp, paper and furniture 371 371 13.2 0-30 13.2 1.0 615.1 
Textiles and clothing 846 84 6 9.6 0-30 10. 9 1.1 1,006.3 
Transport equipment 192 192 10.3 0-30 11.7 1.1 1,091.5 
Non-electric machinery 661 661 7.2 0-30 11.5 1.6 1,194.2 
Electric machinery 339 339 12.4 0-30 13.5 1.1 1,177.3 
Non agricultural articles n.e.s. 501 500 17.0 0-66 13.3 0.8 276.7 
By ISIC sectord        
Agriculture, hunting, forestry and 
fishing 331 331 16.7 0-35 11.2 0.7 848.3 
Mining 103 103 7.3 0-30 12.0 1.6 2,473.4 
Manufacturing 5,772 5,771 10.6 0-180 14.8 1.4 10,002.9 
By stage of processing        
Raw materials 704 704 12.2 0-35 11.7 1.0 3,586.8 
Semi-processed products 2,011 2,011 4.4 0-30 8.9 2.0 2,797.4 
Fully-processed products 3,491 3,490 14.4 0-180 16.5 1.1 6,961.1 
a Total lines. Tariff rates are based on lines, since lines with no ad valorem  equivalents may be excluded.  
b The total of imports is higher than th e sum of sub-items as US$185.8 million are not classified in the Harmonized System. 
c Nine tariff lines on petroleum pr oducts are not taken into account. 
d International Standard Industrial Classification (Rev.2).   Electricity, gas and water are excluded (0 tariff line). 
Note: CV = coefficient of variation. 
Source : WTO Secretariat estimates, based on data provided by  the Jordanian authorities. Imports 2007 from UNSD, 
Comtrade database.  
 
(0.4) (0.0)(49.0)
(14.5)
(4.8)(31.2)
(0.1)
05001,0001,5002,0002,5003,0003,5004,000
0 >0-10 >10-20 >20-30 >30-40 >40-50 >500102030405060708090100
The figures in brackets correspond to the percentage of total lines.
WTO Secretariat calculations, based on data  provided by the Jordanian authorities.Chart III.1
Breakdown of applied MFN tariff rates, 2008
Number of tariff lines
Note:
Sourc e:Percentage
Number of lines 
Cumulated percentage (right-hand scale)
 
 WT/TPR/S/206/Rev.1 Trade Policy Review 
Page 30 
 
 
49.0
50.7
67.0
14.514.5
13.9
9.7
27.54.8
4.4
1.9
12.731.2
30.6
21.4
44.40.1
0.0
0.0
0.90.0
0.1
0.0
0.00.4
0.4
0.0
0.0
05001,0001,5002,0002,5003,0003,500
All products
Manufacturing
Mining
Agriculture
Duty free 0-10 10-20 20-30 30-40 40-50 >50Chart III.2
MFN tariff distribution by ISIC sectora, 2008
Number of lines
a
Source:Labels indicate share of total tariff lines, by sector.  
WTO Secretariat calculations, based on data provided by the Jordanian authorities. 
 
0.05.010.015.020.025.030.0Chart III.3
Tariff escalation by ISIC 2-digit industry, 2008
Sourc e: WTO Secretariat estimates, based on data  provided by the Jordanian authorities.All product s
Food,
beverage s
Textiles,
appare l
Wood product s
Paper, printin g
Chemicals ,
plastic s
Non-metalli c
minera l
product s
Basic meta l
product s
Fabricated meta l
product s
Othe r
manufacturin gNOT APPLICABLEAgricultur e
Minin gRaw materials Semi-processed Fully processed
NOT APPLICABLEPer cent
 
 Jordan WT/TPR/S/206/Rev.1 
 Page 31 
 
 
Table III.4 
Revenue from taxes on trade, 2002-07 
(JD million) 
 2002 2003 2004 2005 2006 2007 
Revenues from taxes on trade 219.8 209.4 266.9 304.9 315.6 312.1 
Import value (c.i.f.) 3,599.2 4,072.0 5,799.2 7,442.9 8,187.7 9,753.2 
Simple average applied MFN tariff (%) 14.3 13.0 12.9 11.7 11.4 11.0 
Revenues from taxes on trade/import value (%)a 6.1 5.1 4.6 4.1 3.9 3.2 
General sales tax revenues 510. 7 596.3 827.0 1,023.4 1,219.1 1,464.5 
Total tax revenues 1,000.3 1,083.2 1,428.8 1,765.8 2,133.5 2,472.1 
Total government revenues 1,644.1 1,675.6 2,147.2 2,561.8 3,164.5 3,628.1 
a Separate data are not available for revenue  from tariffs, nor for revenue from taxes on imports.  In principle, the ratios of 
"revenues from taxes on trade to import value" overestimate the duty collection ratios on imports.  
Source:  Central Bank of Jordan (2008), Annual Reports 2006 and 2007 , and WTO Secretariat. 
(c) Tariff preferences 
30. Since 1 January 2005, all goods from PAFTA members are free of customs duties and 
charges having similar effect.  Under the FTA with the United States (in force since 
17 December 2001), customs duties and charges having equivalent effect on all imports from the United States are subject to gradual reduction and elim ination over a transitional period of ten years.  
Depending on the product, a shorter transition period a pplies.  Tobacco is excluded from preferences.  
Under the FTA with the EC (in force since 1 Ma y 2002), Jordan's transitional period for the 
elimination of customs duties and charges having equi valent effect is 12 years for all non-agricultural 
goods, except specified  products.  For agricultural products, the transitional period ends in 2013, or 
earlier, depending on the product.  A number of agricu ltural products are excluded from preferential 
treatment. 
31. Under Jordan's FTA with the EFTA states (i n force since 1 September 2002), Jordan's 
transitional period for implementing the preferences ends  after 4 years for specified goods that are not 
competing with Jordanian products; for other goods, th e transition period is 12 years.  Goods, such as 
textiles, clothing and carpets, are excluded from preferences, while preferential treatment for agricultural products is subject to bilateral agreem ents between Jordan and individual EFTA states.  
Under the FTA with Singapore (in force since 22 August 2005), Jordan's transition period for 
implementing preferences ends after ten years (or ear lier, depending on the product).  Specified goods 
are excluded from, or subject to partial, reduction of customs duties. 
(d) Tariff exemptions  
32. Exemptions from import duties have been grante d by virtue of:  company-specific exemptions 
for state-owned enterprises and non-profit orga nizations;  the Free Zones Corporation Law 
(section (3)(v));  the Aqaba Special Economic Zone Authority Law;  the Investment Promotion Law 
(section (4)(i));  and the Development Areas Law (Section (4)(i)). 
33. At the time of Jordan's accession to the WTO,  ten company-specific arrangements for duty 
exemption remained in force;  the concessions we re granted by the Government at the time of 
establishment of the beneficiary companies.  While four of these arrangements have since expired, the 
following companies continue to benefit from import  duty exemptions:  Jordan Petroleum Refinery 
Company, Arab Bridge Maritime Company, Ar ab Potash Company, Jordanian Electric Power 
Company (JEPCO), Irbid District Electricity Company (IDECO), and the Arab Company for WT/TPR/S/206/Rev.1 Trade Policy Review 
Page 32 
 
 
Manufacturing White Cement.  The eligible products  must be used by the exempted companies for 
production and operations purposes.18 
34. Charitable organizations are registered with the Ministry of Industry and Trade, and are 
exempt from payment of customs duties on certain imports, upon certification by the Ministry of 
Social Development that the goods are for charitable purposes.  Exemptions from customs duties on 
certain imports are also granted to charitable orga nizations upon approval by the Ministry of Finance. 
(e) Other duties, levies, and charges 
Other border charges 
35. An import processing fee is levied at the rate of 0.2% of the transaction value, with a 
minimum of JD 10 and maximum of JD 250 per declar ation.  Transit fees are JD 20 per transaction;  
re-export fees are JD 15 per transaction.  Acco rding to the Customs Law, these fees (services 
allowances) are to be paid to "eligible officers" in  a manner determined by the Minister of Finance; 
the remaining sum is deposited in a special fund for the Customs Department, to be used for 
improving customs houses, establishing housing compounds  and housing loans for customs officials, 
as well as improving their living, sport, cultu ral, and social standards (Article 161D). 
Internal taxes  
36. Jordan applies a general sales tax (GST) and a Special Tax to imported and locally-produced 
goods.19  Internal taxes apply equally to the duty-in clusive customs value of imported goods, and to 
the sale price of locally-produced goods. 
37. The standard GST rate is 16%;  reduced rates of  zero or 4% are applied to specified products.  
Revenues from GST amounted to nearly JD 1.5 billion in 2007, a large proportion of the 
Government's tax, and total revenues ( 59% and 40%, respectively) (Table III.4). 
38. Special taxes are levied on certain types of cement, cars, tobacco and tobacco products, 
alcoholic beverages, and mobile ph one and radio subscription services. 
(v) Import prohibitions, restrictions, and licensing 
39. Jordan's regime with respect to import prohibi tions, restrictions and licensing is governed by 
Import and Export Law No. 21 of 2001, as am ended by Temporary Law No. 18 of 2003.20  T h e  
system of "prior approval" that was in place at th e time of accession has been replaced by an import 
licensing regime.  The law does not apply to the Aq aba Special Economic Zone and the free zones. 
40. The law authorizes the Council of Ministers to  issue decisions for the prohibition or the 
complete or partial restriction of imports of an y good, taking into account Jordan’s international 
commitments.  Banned goods must be re-exporte d to the country of origin (Table III.5).  
                                                      
18 WTO document WT/ACC/JOR/33, 3 December 1999, paragraph 61. 
19 Articles 4 and 6 of the General Sales Tax Law No. 6 of 1994. 
20WTO documents G/LIC/N/1/JOR/2, 12 September 2001;  and G/LIC/N/1/JOR/2/Add.1, 
3 September 2003.   Jordan WT/TPR/S/206/Rev.1 
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Table III.5 
Goods subject to import prohibition, 2008 
Products 
Plastic waste 
Passenger cars, using other than benzene as fuela 
Dumpers designed for off-highway use 
Khat 
Coral and similar materials 
Chromium 
Fireworks (certain kinds) 
Toy guns with bead bullets, la ser pens and laser medals 
Holy water (Baptism water) 
Additional installations on cars, in cluding calling devices and flashers 
Photo blocker spray 
Alarm systems and high-light devices for cars, except when impor ted for the Ministry of Health , Armed forces, General Intellige nce 
Department of Jordan, Public Security Dir ectorate, the Jordanian Civil Defense, and Jordan Customs, and ambulances for private hospitals 
a The ban is to remain in pl ace until Jordan's refinery is modernized to pr oduce diesel fuel with lower sulphur content. 
Source: Information provided by the Jordanian authorities. 
41. Import licences are issued by the Ministry of Industry and Trade, as well as other ministries 
and governmental entities.  The issuing authority retains the right to cancel an import licence and 
refund the fees under certain conditions or in emerge ncy situations, for example in case of a disease 
outbreak in the exporting country (Article 10 of the Import and Export Law).  Cancellation of a 
licence may be appealed before the High Court of Justice. 
42. According to the authorities, automatic licensing is applied for administrative and statistical 
purposes.  However, the requirement was lifted in April 2005 on biscuits, mineral water, table salt, 
rice, wheat and other wheat products, sugar, barley, corn and cigarettes.21  In line with Jordan's 
commitments in its Protocol of Accession, imports of milk powder for industrial use are now subject 
to automatic licensing.22  Automatic licences are issued within  seven working days after submission 
of all relevant documentation. 
43. Non-automatic licences are used for the protecti on of health, safety, the environment, national 
security, public order and morals, a nd the conservation of natural resources.  They may also be issued 
for goods subject to quantitative restrictions;  no quantitative restrictions are currently in place.  Non-
automatic licences are issued within  15 working days of submission of documents.  The licensee has 
the right to import the quantity specified in the licence during the period of its validity. 
(vi) Contingency measures 
44. National Production Protection Law No. 21, a dopted in 2004 covers safeguards, anti-
dumping, and countervailing duties, and re places all previous trade remedy laws.23  The relevant trade 
remedy regulations, which remain in force, are the Regulation on Safegua rd of National Production 
No. 55 of 2000, and the Anti-dumping and Anti-Subsidies Regulation No. 26 of 2003.  Jordan's legislation on trade remedies is br oadly aligned with WTO provisions. 
45. According to its Protocol of Accession, Jordan does not have the right to invoke the Special 
Agricultural Safeguard (Article 5 of the Agreement on Agriculture). 
                                                     
 
21 WTO document G/LIC/N/2/JOR/2, 10 June 2005. 
22 WTO document WT/ACC/JOR/33, 3 December 1999, paragraph 88.   
23 Notified in WTO document G/ADP/N/1/JOR/3, 13 January 2005.  Law No. 21 of 2004 replaced 
Temporary Law No. 50 of 2002 and cancelled National Production Protection Law No. 4 of 1998. WT/TPR/S/206/Rev.1 Trade Policy Review 
Page 34 
 
 
46. Petitions for trade remedy measures may be  submitted by domestic producers or their 
representatives, or in the case of agricultural products, by the Ministry of Agricu lture (Article 5 of the 
National Production Protection Law).  The National Pr oduction Protection Directorate of the Ministry 
of Industry and Trade may also initiate an inv estigation pursuant to Article 7 of the law.  
Investigations may be terminated or provisional measures may be imposed;  final measures are 
subject to approval by the Council of Ministers and can be appealed to the High Court of Justice. 
47. To date, Jordan has not taken any counterva iling or anti-dumping actions.  In 2006, an anti-
dumping petition on imports of ceramic tiles from Egypt was withdrawn at the request of the petitioner.
24 
48. A number of safeguard petitions have been subm itted, including two involving ceramic tiles.  
Six files were closed without imposition of a safeguard measure25, and one case concerning ceramic 
tiles was withdrawn at the request of the petitioners .  In six cases, safeguard measures were imposed, 
four of which have since been phased out (Table III. 6).  Jordan held consulta tions with Turkey under 
the provisions of Article 12.3 of the Agreement on Safeguards prior to taking safeguard actions on 
pasta, and ceramic sinks and sanitary ware.26  Safeguard measures remain in force on insecticides and 
on footwear.  All safeguards have been implemented in the form of specific and digressive tariff 
surcharges. 
Table III.6 
Safeguard measures, 2000-08  
Product Type of definitive measure Initiation date Duration of measure 
Biscuits Specific surcharge 01/09/2001 3 years (terminated) 
Magnetic tapes Specific surcharge 01/05/2002 3 years (terminated) 
Ceramic sinks and sanitary ware Specifi c surcharge 25/02/2003 3 years (terminated)  
Pasta Specific surcharge 25/02/2003 3 years (terminated)  
Insecticides Specific surcharge 16/10/2005 3 years 
Footwear Specific surcharge 19/02/2007 3 years 
Source:  WTO documents, G/SG-series. 
(vii) Standards and other technical requirements 
49. Jordan is a member of the International Or ganization for Standardization (ISO), the Codex 
Alimentarius Commission, the World Organisation for Animal Health (OIE), the World Health 
Organization (WHO), the International Plant Protec tion Convention (IPPC), the International Atomic 
Energy Agency (IAEA), the Institute of Refrigera tion (IOR), the International Organization of Legal 
Metrology (OIML), and the Rotterdam Convention on the Prior Informed Consent Procedure for 
Certain Hazardous Chemicals and Pes ticides in International Trade. 
(a) Technical barriers to trade (TBT) 
50. The Jordanian Institution for Standards and Metr ology (JISM) is the national standardization 
body and acts as the TBT enquiry point.  The JISM was established in 1995 pursuant to Standards and 
Metrology Law No. 15 of 1994.  This law was replaced by Standards and Metrology Law No. 22 of 2000 to comply with the requirements of the TBT Agreement.
27  While the JISM is the only body 
                                                      
24 WTO document G/ADP/N/153/JOR, 19 January 2007. 
25 Aerated water, ceramic tiles, chocolate, fl at cooking appliances w ith ovens, and electric 
accumulators. 
26 WTO document G/C/29, 4 June 2003. 
27 A comprehensive notification by Jordan on implem entation of the TBT Agr eement is contained in 
WTO document G/TBT/2/Add.61, 18 October 2000.  See also WTO document  G/TBT/GEN/39/Rev.2, 
7 March 2008. Jordan WT/TPR/S/206/Rev.1 
 Page 35 
 
 
authorized to issue national standards and technical regulations, technical regulations are also issued 
by other governmental bodies in their areas of responsibility (Ministry of Environment, 
Telecommunications Regulatory Commission, Ministry of Health, etc.). 
51. The main TBT-related functions of the JISM in clude:  preparation, adoption, and application 
of standards and technical regulations with regard to all services and products (with the exception of 
pharmaceutical products, medicines, veterinary medi cines, sera, and vaccines);  establishment and 
implementation of a national system of measuremen t;  granting of conformity certificates, including 
the Jordanian Quality Mark;  dissemination of information on approved st andards and technical 
regulations issued by the JISM and other organi zations;  cooperation and c oordination with regional 
and international organizations and bodies working in  standardization, metrology, quality, conformity 
assessment, and accreditation; and accreditation of testing and calibration of laboratories and certification bodies.
28 
52. The current Standards and Metrology Law is under review with the intention of incorporating 
provisions for market surveillance, to ensure compliance with product safety requirements (Draft 
Standards, Metrology, and Product Sa fety Law).  It is envisaged to gradually reduce the JISM's border 
inspections on industrial products and replace them with a system of "proactive" surveillance on the 
domestic market. 
53. The JISM is one of the agencies responsible  for implementing Jordan's risk-based border 
inspection system.  At Customs, samples are take n from the imported goods to carry out the required 
inspection;  the samples are sent for testing, if necessary.  The JISM also visits local factories to take 
samples.  In case of non-compliance of test results with Jordanian technical regulations, the importer 
may have the goods re-tested, re-export, or destroye d.  The JISM inspection fee is JD 20 (JD 10 for 
customs transactions of less than JD 1,000).  Sa mpling procedures for food items are developed by the 
Jordan Food and Drug Administration (JFDA).  The JISM has undertaken seizures of counterfeit 
goods (in relation to trademarks), in the domestic market (section (4)(iv)(i)). 
54. At the time of Jordan's accession to the WT O, over 1,000 mandatory standards remained in 
force.29  These have all been reviewed and some re placed by voluntary standards to conform with 
Article 2 of the TBT Agreement.  The progr amme of conversion was completed in 2002. 
55. The JISM accepted the TBT Code of Good Pr actice for the Preparation, Adoption and 
Application of Standards in April 2000.30  Standards and technical regulations, or amendments 
thereto, may be proposed by any interested part y, including industries, traders, government bodies, 
market surveillance authorities, conformity assessment  bodies, or the consumer protection association.  
They are prepared by technical committees compri sing experts from interested bodies in Jordan and 
are open for comment for a period of sixty days, before being submitted for approval by the JISM 
Board of Directors.  They are made effective by  legal instruments that indicate whether they are 
compulsory or voluntary.  The JISM's work plan on draft standards and procedures for assessment of 
conformity is announced online.31  The titles of national standards, technical regulations, and 
instructions on conformity assessment procedures are published in the Official Gazette , while the texts 
are available upon request from the Information Center/TBT Enquiry Point.32 
                                                      
28 Jordanian Institution for Standards and Metrol ogy (JISM) online information.  Viewed at: 
http://www.jism.gov.jo/. 
29 WTO document WT/ACC/JOR/33, 3 December 1999, paragraph 137.   
30 WTO document G/TBT/CS/N/120, 7 August 2000. 
31 JISM online information.  Viewed at:  http://www.jism.gov.jo/. 
32 WTO document G/TBT/2/Add.61, 18 October 2000. WT/TPR/S/206/Rev.1 Trade Policy Review 
Page 36 
 
 
56. To date, the JISM has published 706 technical re gulations.  It has also published more than 
1,350 voluntary standards dealing with rules, guidelin es or characteristics of products or their related 
production methods and management systems, in addition to packaging, marking, and labelling 
requirements;  these include testing methods fo r various products.  Th e main products/product 
categories covered by technical regulations are:  c onstruction products, paints ,  paper and paper board, 
plastics, glass, ceramics, metals, minerals, petrol eum products and petrochemi cals, chemicals, wood, 
food and feedstuffs, agricultural products, textiles,  clothes, leather products, vehicles, information 
technology products, electrical and electronic produc ts, telecommunication and audio-video products, 
health care products, mechanical tools, pipeline co mponents, energy systems, measuring equipment, 
and packaging materials. 
57. Jordan is in the process of adap ting six new technical regulations from relevant EC Directives 
within the framework of the Jordan-EC Associa tion Agreement.  The draft regulations concern 
general product safety, low voltage, toys, gas appliances, pressure equipment, and measuring 
equipment. 
58. The Jordanian accreditation system of c onformity assessment bodies operates under the 
umbrella of the JISM. The system is designed to fulfil the requirements of the ISO/IEC 17011 
standard for accreditation bodies.33  Implementation of this ISO standa rd would also pave the way for 
negotiation of mutual recognition agreements w ith foreign accreditation bodies.  Currently, only 
testing and calibration laboratories, and medical laboratories are being accredited.34  An independent 
accreditation body is to be established according to the draft accreditation law under consideration;  
and the scope of accreditation is to be expande d to include inspection and certification bodies.  
Pending the conclusion of mutual recognition agreem ents, all imports, including those accompanied 
by valid technical certificates of conformity issu ed by foreign bodies in exporting countries, are 
subject to the risk-based system of inspection. 
59. The Jordan Quality Mark is a voluntary certificat e issued by the Certification Department of 
the JISM.35  The objectives of the certificate are to enha nce consumer confidence that the certified 
products fulfil quality re quirements, and to help  open new export markets.36  The programme covers, 
inter alia , foodstuffs, chemicals, soap, detergents, cosm etics, paints and va rnishes, adhesives, 
pesticides, fertilizers, petroleum products, electri cal and electronic appliances, batteries, cables, 
telecommunication equipment, and construction materials. 
60. The Royal Crown logo is a mark for olive oil.  To this end, a conformity certificate is granted 
by the Certification Department requiring compliance with the Jordanian standard for olive oil, which 
is harmonized with that of the International Olive Oil Council. 
61. To date, the JISM has issued three technical re gulations with respect to labelling requirements 
(general standard for labelling of pre-packaged foods; labelling of industr ial products; labelling of 
chemical products).  In addition, it has issued over ten voluntary standards concerning labelling and 
packaging of various goods. 
                                                      
33 ISO online information. Viewed at:  www.iso.o rg/iso/iso_catalogue/catalog ue_ics/catalogue_detail_ 
ics.htm?csnumber=29332&ICS1=03&ICS2=120&ICS3=20. 
34 Thirty-one public and private laboratories have been accredited against the requirements of ISO/IEC 
17025 and ISO 15189. 
35 Instructions of the Quality Mark for Industry No. 4 of  2007, issued pursuant to Article No. 20 of the 
Law of Standards and Metrology No. 22 of 2000. 
36 Certification requires, amongst other things, that the quality management system of the applicant 
conform to the ISO 9001 standard and the ISO 22000 standard for food, and pass the on-site technical assessment. Jordan WT/TPR/S/206/Rev.1 
 Page 37 
 
 
(b) Sanitary and phytosanitary (SPS) measures  
62. The Jordan Food and Drug Administration (JFD A) was established in 2003 to act as  
regulator for the safety and quality of food and drugs.37  The JFDA's supervisory and inspection 
functions are provided for by Food Control Law No. 79 of 2001 and Drug and Pharmacy Law No. 80 
of 2001.  A new food law is under consideration.  The Ministry of Agriculture is the sole authority 
responsible for SPS measures to protect animal and pl ant health against pests and diseases (Article 5.1 
of the Law on Agriculture No. 44 of 2002).  In add ition, it is responsible for technical regulations 
concerning veterinary medicines, vaccines, pesticid es, and fertilizers.  The Ministry also acts as the 
SPS enquiry point. 
63. The JFDA has applied a risk-based system for in spection of imported food consignments at 
Aqaba port since 2002, and at the Amman Customs Center since 2004 (section (ii)).  All food consignments must be accompanied by health certif icates.  In addition to documentary check, each 
shipment of high-risk food items (Table AIII.2) is subject to physical inspection, sampling and 
laboratory testing.  For medium-risk food, 50% of  consignments are subject to documentary check, 
25% to documentary check and physical inspect ion, and 25% to documentary check, physical 
inspection, and sampling and laboratory testing.  For low-risk food, 90% of the consignments are 
subject to documentary check, and 10% to documentary check, sampling and testing. 
64. The JFDA's inspections of food establishments in  the domestic market are also based on risk 
analysis.  Food establishments categorized as carryin g a high health risk receive four inspections each 
year (medium-risk establishments, two and low-risk, one).
38 
65. Prior to accession, Jordan's shelf-life require ments for food were a frequent cause of 
complaints.39  The JISM has since issued a technical regulation, according to which producers are 
responsible for the shelf-life of their products.40  The expiry date is expressed in terms of "use before", 
or "best before".  Foodstuffs must arrive at Custom s before their expiry date, to be released to the 
domestic market.41  Imported canned food and preserved food must  be labelled in Arabic with the date 
of manufacture or expiry, and be covered by a certif icate stating that the food items are sold in the 
country of origin as fit for human consumption.  Shipments must also be accompanied by a certified 
laboratory analysis of the contents of the imported articles.42 
66. Imports (and exports) of agricultural products  and inputs are prohibited unless accompanied 
by a veterinary certificate issued in the country of  origin (Article 9.2 of the Law on Agriculture).  
Imports of live animals or their products are s ubject to quarantine procedures.  Exceptions from 
quarantine requirements can be granted for shipme nts from exporting countries, or regions thereof, 
with disease-free status according to OIE.  In this regard, the Law on Agriculture provides that subject 
to mutual recognition agreements, Jordan will recognize equivalent SPS measures in the exporting 
countries (Article 51).  Jordan has mutual rec ognition agreements with respect to quarantine 
                                                      
37 In addition, the JFDA's supervisory role covers: infant milk formula, food supplements, medicinal 
plants, natural products, disinfect ants and detergents, medical equi pment and supplies, pharmaceutical 
preparations containing vitamins and minerals, cosmetic preparations and any other substances related to 
treatment or cure of human beings. 
38 The JFDA, with the assistance from the European Communities and the Danish Food and Veterinary 
Administration, has issued an Inspection Ma nual which is used by all inspectors.  
39 WTO document WT/ACC/JOR/33, 3 December 1999, paragraph 142. 
40 Technical regulation No. 288 of 2004, based on the relevant Codex Alimentarius standard. 
41 The requirements for frozen food are contained in Technical Regulation No. 1685 of 2005, based on 
the Codex Alimentarius standard CAC/RCP/8. 
42 Don and Bradstreet (2006), p. 777. WT/TPR/S/206/Rev.1 Trade Policy Review 
Page 38 
 
 
procedures for live animals with, inter alia , Australia, New Zealand, Kuwait, Syria, Lebanon, Egypt, 
Algeria, Morocco, Sudan, and Yemen. 
67. Halal Islamic procedures are required for meat products (Chapter IV(2)(iii)(b)). 
68. In 2005, Jordan adopted instructions on the treatment of wood packaging material in 
international trade, based on International St andard of Phytosanitary Measures (ISPM) No. 15.43  All 
wood packaging material entering Jordan, or in tran sit through Jordan, must be treated and certified 
under ISPM No. 15 by the national plant protection organization (NPPO) in the exporting country or 
by Jordan's NPPO (Ministry of Agriculture). 
69. Jordan has made 18 notifications to the SPS Committee.  Most are ex-post emergency 
notifications concerning animal health, notably to pr event an outbreak of Avian Influenza.  Jordan's 
latest SPS notifications concern a ban on imports of live animals and their products from Turkey, 
Djibouti, Ethiopia, and Russia due to foot-and-mouth disease.44  Jordan has also imposed a ban on 
imports of live birds and poultry meat and products from all countries affected by Avian Influenza.  
The ban was subsequently lifted for poultry meat and products that are fully cooked or heat-treated.45  
To date, no specific trade concerns have been ra ised in the SPS Committee with regard to Jordan. 
70. If there are no international standards, or proposed SPS measures do not comply with the 
international standards but the trade effects of the measures are expected to be significant, an 
announcement is made in two local newspapers at an early stage of their preparation, and WTO 
Members are notified (Article 6.9 of the Law on Agriculture).  Comments are taken into account 
when adopting SPS measures.  SPS measures may be  adopted without prior notification only in 
emergency cases.  All SPS measures, except emergency measures, are published immediately after 
adoption in the Official Gazette .  New or amended SPS measures enter into force not less than 45 days 
after the date of publication (Article 6.10). 
(viii) Government procurement 
71. In July 2000, Jordan applied for accession to the plurilateral Agreement on Government 
Procurement (GPA).46  It is one of the few developing Members negotiating accession to this 
Agreement.  New procurement legislation to bri ng the regime into compliance with the GPA is 
awaiting approval by Cabinet.  Jordan does not have any trade agreements with other countries 
covering public procurement. 
72. According to the authorities, the draft procur ement legislation is aimed at:  harmonizing 
procurement procedures in all ministries, governme nt agencies, and institutions;  harmonizing 
procurement procedures pertaining to public  works, goods and services;  strengthening 
decentralization;  separating the regulatory activ ities from operational activities through establishment 
of the Higher Procurement Commission (Regulatory Commission);  enhancing transparency, efficiency, fairness, equal opportunities, and competitiveness;  introducing new methods of 
procurement, such as two-stage tendering, procur ement on the basis of quality and price, and 
procurement on the basis of quality only;  classifyin g suppliers, engineering consultants, and service 
providers;  strengthening capacity-building in pr ocuring entities;  introducing bonds to replace 
                                                     
 
43 Directive No. (Z/4) of 2005 "Instructions on Treatment of Wood Packaging Materials Used in 
Preparation of Consignments" (WTO document G/SPS/N/JOR/14, 12 January 2006).   
44 WTO document G/SPS/N/JOR/15, 24 January 2006. 
45 WTO documents G/SPS/N/JOR/16, 24 April 2006 and G/SPS/N/JOR/17, 20 June 2006. 
46 WTO document GPA/38, 19 July 2000.   Jordan WT/TPR/S/206/Rev.1 
 Page 39 
 
 
guarantees;  introducing mechanisms for remedies,  complaints, and dispute resolution;  and 
introducing e-procurement.   
73. The government procurement regime , as it stands, rests on a wide body of legislation.  The 
main legislation comprises Government Works By-Law No. 71 of 1986 and Supplies Act No. 32 of 
1993.  The two central government entities impl ementing these regulations are the Government 
Tenders Directorate of the Ministry of Public  Works and Housing, a nd the General Supplies 
Department of the Ministry of Finance.47 
74. Sub-central government entities have their own special procurement legislation.  The main 
sub-central entities in Jordan are the municipa lities and the rural councils.  Procurement by 
municipalities and rural councils is governed by Ad ministration of Rural Councils' Law No. 5 of 1924 
and Municipalities and Rural Council Supplies and Works Regulation No. 55 of 1989.  The Greater 
Amman Municipality has its own supplies and public works regulations.  Moreover, some 
government departments and corporations have speci al procurement legislation.  For example, the 
Joint Procurement Department of the Ministry of H ealth is responsible for the procurement of drugs 
and medical devices.  The Aqaba Special Economic  Zone has its own procurement regulations. 
Public works and engineering services 
75. The Government Tenders Directorate (GTD) is responsible for the procurement of public 
works and engineering services (Table III.7).  To participate in government works and engineering 
(technical) services tenders that are funded under the General Budget, local contractors must be 
"classified" and local consultants must be "qua lified" by the GTD.  Foreign contractors and 
consultants are not required to be classified or qu alified.  For all tenders, the GTD usually conducts a 
pre-qualification for the purpose of pre-selecting fore ign contractors and consultants.  It maintains 
lists of classified local contractors and qualified local  consultants.  The execution of public works and 
technical services is restricted to Jordanian cont ractors and consultants, provided they meet the 
required conditions.  Direct bids by foreigners are permitted in some cases, for example in donor-
financed projects (Article 6d of the Government  Works By-Law of 1986).  Foreign bidders are 
required to indicate their Jordanian partner or representative or submit their licence obtained in 
Jordan. 
Table III.7 
Government procurement of construction works, 2000-06  
(JD million) 
Year Government procurement expenditure (construction 
works) through the Central Tenders Committee at 
GTD Total government procurement 
expenditure (construction works) 
2000 101 167 
2001 171 257 
2002 161 191 
2003 147 194 
2004 144 190.5 
2005 114 154 
2006 248 272 
Source: Information provided by the Jordanian authorities. 
76. The main procurement method is open tenderi ng for public works and technical services  
exceeding a threshold value of JD 5,000.  Selec tive tendering by special invitation may be used, 
provided there are a minimum of three offers.  Dir ect awards through negotiations with one contractor 
are permitted under exceptional or urgent circumstan ces;  in cases where the prices are fixed by the 
                                                      
47 WTO document GPA/W/124, 5 December 2000. WT/TPR/S/206/Rev.1 Trade Policy Review 
Page 40 
 
 
authorities, and other circumstances specified in Article 20 of the Government Works By-Law of 
1986. 
77. The Central Tenders Committee is responsible for procurement above JD 500,000 for public 
works and above JD 30,000 for technical servi ces;  Departments Tenders Committee, up to 
JD 500,000 for public works, and up to JD 30,000 fo r technical services;  Local Tenders Committee, 
up to JD 200,000 for public works, and up to JD 10, 000 for technical services; Governorate Tenders 
Committee, up to JD 100,000 for public works only;   Sub-Tenders Committee, up to JD 10,000 for 
public works only;  and Special Tenders Committee (no threshold). 
78. Tender awards are announced on the notice board at the GTD and on its website.48  There are 
no preference margins for public works and engineering services.  Contract award decisions are 
administrative;  an aggrieved party must exhaust all administrative challenge procedures recourse 
before seeking at the High Court of Justice.  G overnment Works Tenders Instructions No. 71 of 1987 
do not provide for any challenge procedures, nor do they prohibit such challenges.  In practice, an 
unsuccessful tenderer may challenge an award decisi on in the period between the issuance of the 
decision and the certification of the decision.49 
Supplies 
79. The General Supplies Department (GSD) is r esponsible for procuring goods and services 
(Table III.8). Foreign suppliers may participate in  GSD tenders through local presence, i.e. local 
agents or regional offices, or an established Jordan ian company.  Qualification procedures are set out 
in the tender document, and the central procuring en tity (GSD) maintains a list of potential suppliers. 
Table III.8 
Government procurement of supplies through the Gen eral Supplies Department of the Ministry of Finance , 2002-07  
(JD million) 
 2002 2003 2004 2005 2006 2007 
Pharmaceuticals and medical supplies 31,201 35,891 44,491 41,409 44,136 46,734 
Electronic and medical equipment 6,801 5,791 6,701 17,226 5,748 13,144 
Office supplies and regular contracts 26,801 17,101 16,701 23,973 25,780 18,445 
Mechanical supplies 6,201 6,201 7,401 5,056 8,767 13,181 
Total 71,004 64,984 75,294 87,664 84,431 91,504 
Source:  Information provided by the Jordanian authorities.  
80. In government supplies tenders, local products  currently benefit from a price preference 
margin of 15% over imported products. 
81. The main procurement method is open tendering fo r contracts exceeding a threshold value of 
JD 5,000.  Selective tendering may be  applied, for example, in emerge ncy situations or when there are 
three or less potential suppliers.  Direct purchases, through negotiation with suppliers, are permitted in 
certain specified cases, for exampl e, when the price of the supp lies is fixed by the authorities 
(Article 15 of Supplies Act No. 32 of 1993). 
82. Tender awards are posted on the notice board of  the GSD and participants are notified by 
telephone.  The announcement of the winning bid allo ws four days for objections;  the tenders 
                                                      
48 GTD online information.  Viewed at:  http://www.gtd.gov.jo/english.php. 
49 WTO document GPA/W/124, 5 December 2000 , pp. 40-41.  Jordan WT/TPR/S/206/Rev.1 
 Page 41 
 
 
committee considers objections and issues its decisi on.  A bidder may seek redress against contract 
award decisions through national courts. 
(ix) Other measures 
83. Jordan notified the WTO in 2004 that it did not maintain trade-related investment measures 
(TRIMs).50 
84. According to the authorities, Jordan applies no trade sanctions, except those endorsed by the 
United Nations Security Council or other regional orga nizations of which it is a member.  No official 
countertrade agreements designed to influence the quantity or value of goods and services exported to 
Jordan are in force, and the authorities are not aw are of the existence of such arrangements between 
Jordanian and foreign companies.  Jordan has not  maintained any measures for balance-of-payment 
purposes. 
(3) MEASURES DIRECTLY AFFECTING EXPORTS  
(i) Registration and documentation 
85. A certificate of registration is required for enterprises engaging in exportation;  the certificate 
is issued by the Exporters Registry at the Ministry of Industry and Trade.51  Registration involves 
presentation of the professional licence, which is issued to natural and legal persons who are 
registered in Jordan are members of the Chambe r of Commerce or Chamber of Industry, and whose 
premises have been inspected and a pproved by the local municipality. 
86. Exports from Jordan must be accompanied by:  a customs declaration, commercial invoice, 
bill of lading, certificate of origin, packing list, a nd technical conformity/health/veterinary certificate.  
Certificates of origin ar e issued to registered companies by the Jordan Chamber of Industry, and 
examined and authenticated by the Industrial Devel opment Directorate at the Ministry of Industry and 
Trade. For agricultural products, certificates of orig in are issued by Jordan  Chamber of Commerce.  
Provision is made in the Import and Export Law fo r "exporter cards", but in practice these are not 
required for exportation. 
87. According to the World Bank, document prepar ation for exports of a standardized cargo for 
ocean transport takes 12 days, plus 2 days for customs clearance and technical control.52 
(ii) Export taxes, charges, and levies 
88. Mining and quarrying products are subject to export fees, which are collected by the Natural 
Resources Authority (Table III.9).53  In 2006, these fees generate d tax revenues of JD 0.4 million.54   
89. An export duty of JD 30 per tonne is collected  by the Customs authorities on exports of scrap 
and waste of iron, brass, and aluminium, to secure the needs of the domestic industry. 
                                                      
50 WTO document G/TRIMS/N/2/Rev.11/Add.3, 4 May 2004. 
51 WTO document WT/ACC/JOR/33, 3 December 1999, paragraph 108. 
52 World Bank (2008). 
53 WTO document WT/ACC/JOR/33, 3 December 1999, paragraph 111. 
54 Natural Resources Authority (2007a), p. 30. WT/TPR/S/206/Rev.1 Trade Policy Review 
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Table III.9 
Export fees on mining and quarrying products, 2008  
(JD per tonne) 
Product Rate 
Raw material 
Crushed stones 0.3 
Silica sand (class sand) 2.0 
Blocks (marble, basalt) 2.5 
Conglomerate 3.0 
Blocks (granite, travertine) 3.0 
Small items of marble 1.0 
Crushed basalt 0.3 
Trepoly, feldspar gypsum 0.5 
Crushed marble and granite 0.5 
Swelih sandstone 0.3 
Clay, kaolin, bentonite 0.1 
Dead Sea mud (packages of more than 2 kg) 50.0 
Manufactured products 
Marble, basalt 2.5 
Granite, conglomerate 3.0 
Travertine 3.0 
Building stones 2.0 
Tuff, pozzolana, zeolite 1.0 
Dead Sea mud (packages of less than 2 kg) 25.0 
Source: Information provided by the Jordanian authorities. 
90. The Ministry of Agriculture collects fees on exported agricultural products (Table III.10).  
These charges relate to services rendered, such  as quarantine, fumigation, and inspection. 
Table III.10 
Export fees on agricultural products, 2008 
Type of fee Amount  
Fumigation of consignments 2,000f/tonne 
Inspection and checking 5-400f/tonne 
Inspection of live animals:  
 Bovines, camels and pigs 250 f/head 
 Horses 250 f/head 
 Sheep, goats and deer 50 f/head 
 Cats, dogs and wild animals 100 f/head 
 Birds 5-20 f/bird 
Quarantine  
 Bovines, camels and pigs 400 f/head 
 Horses 400 f/head 
 Sheep, goats and deer 100 f/head 
 Cats, dogs and wild animals 200 f/head 
 Birds 5-20 f/bird 
Animal watering  
 Camels, horses, bovines and big animals 150 f/head/day 
 Sheep, goats and small animals 15 f/head/day 
Disinfection fees:  
 Ships transporting less than 1,000 head JD 4 
 Ships transporting 1,000-10,000 head JD 8 
 Ships transporting.  10,000-30,000 head JD 12 
 Ships transporting.  30,000-50,000 head JD 18 
 Ships transporting more than 50,000 head JD 24 
 Any other vehicles JD 0.5 each 
Note: 1 Jordanian dinar = 1,000 fils (f). 
Source: Information provided by the Jordanian authorities. 
(iii) Export prohibitions, restrictions, and licensing 
91. Export prohibitions, restrictions, and licensing are regulated through Import and Export Law 
No. 21 of 2001, as amended by Temporary Law No . 18 of 2003.  Automatic licensing applies to, inter Jordan WT/TPR/S/206/Rev.1 
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alia, wheat and other wheat-based products (including macaroni and vermicelli) to ensure that the 
consumer subsidies granted on these products are reimbursed by exporters when the products are 
exported (Table III.11).  Jordan is introducing n on-automatic licensing to dual-use products (the 
goods covered by the dual-use export contro l system of the European Communities). 
Table III.11 
Goods subject to automatic export licensing  , 2008 
Wheat flour and other wheat products (semolina, bran, broken wheat) 
Macaroni and vermicelli 
Marble slabs 
Broken marble Mineral ores 
Argillaceous material extracted from the Dead Sea
 
Source: Information provided by the Jordanian authorities. 
(iv) Export subsidies, finance,  insurance, and assistance 
92. When Jordan joined the WTO, two of its expor t subsidies met the definition of a prohibited 
subsidy under Article 3 of the SCM Agreement.  Accordingly, Jordan made a commitment in its 
Protocol of Accession to terminate these export subsidies by 31 December 2002.55 
93. The first measure, the Discount Facility, was an  export promotion facility operated by the 
Central Bank since 1980.  The Central Bank refina nced export credits charging interest rates at 
2 percentage points below the prevailing discount rat es.  In May 2003, Jordan notified the WTO that 
the Discount Facility had been eliminated.56 
94. The other export subsidy involves exemption from income tax on profits generated from 
exports.57 Following a request by Jordan, the SCM Co mmittee granted an extension of the measure 
until 31 December 2007, subject to annual review, standstill, and other provisions.58  In a General 
Council decision of 27 July 2007, which covers commi tments for the elimination of export subsidies 
of a number of Members, Jordan was granted a final extension of the export subsidy until  
31 December 2015.  The extension is again cond itional on annual approval by the SCM Committee, 
standstill, and other provisions .  Jordan is required to, inter alia , notify each beneficiary of the 
programme in 2008-09 that no export subs idies will be granted beyond the end of 2015.59 
95. According to the authorities, the main rationa le for introducing the export subsidy programme 
was to counter the negative effects of the 1991 Gulf  War, notably the loss of Jordan's main trading 
partner Iraq.60  Accordingly, the Government decided in  1993 to provide incentives to producers to 
diversify exports and develop non-traditional market s.  Profits earned on exports of phosphates and 
potash, i.e. "traditional" export products, were excluded from the scope of the measure, as were 
exports to countries with whom Jordan maintains trade protocols.61 
                                                      
55 WTO document WT/ACC/JOR/33, 3 December 1999, paragraph 126. 
56 WTO document G/SCM/N/95/JOR, 15 May 2003. 
57 The subsidy programme is referred to as the "Par tial or total exemption from income tax for profits 
on certain exports" pursuant to Article 3(c) of Income Tax Law No. 25 of 2001, amending Income Tax Law No. 25 of 1985.   
58 WTO document G/SCM/79, 11 December 2002. 
59 WTO document WT/L/691, 27 July 2007. 
60 Before the second war in Iraq in 2003, Jordan imported most of its oil from Iraq at preferential 
prices.  After the war, Jordan had to purchase oil from ot her sources at world prices.  The significant increase in 
world prices of petroleum led to a surge in production costs, particularly in 2004-05. 
61 WTO document WT/ACC/JOR/33, 3 December 1999, paragraph 121. WT/TPR/S/206/Rev.1 Trade Policy Review 
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96. The value of the export subsidy (income tax exemption) declined from US$8.9 million in 
2001 to US$1.1 million in 2005, and then increased to US$32.2 million in 2006 (Table III.12).  Textiles, products of the chemical and allied indus tries (including pharmaceuticals and fertilizers), 
jewellery, and metals received most of the export subsidies in 2006.
62  The share of exports benefiting 
from the export subsidy in Jordan's total merc handise exports increased significantly in 2006. 
Table III.12 
Export subsidies in the form of income tax exemptions on export profits, 2001-06 
(US$ million) 
 Income tax 
exemptions  
(export subsidy) Total exports 
benefiting from the 
export subsidy  
(1) Total export value 
 
(2) Coverage of the 
measure in % 
(1)/(2) 
2001 8.9 593.6 1,700 33.9 
2002 7.8 522.2 2,200 22.7 
2003 8.3 552.4 3,000 17.4 
2004 1.2 76.7 3,950 0.9 
2005 1.1 70.8 4,300 0.6 
2006 32.2 2,148.0 4,800 43.8 
Source:  WTO documents G/SCM/N/155/ JOR, 17 July 2007, and G/ SCM/N/99/JOR, 30 July 2003. 
97. Jordan maintains a temporary admission schem e under which enterprises manufacturing for 
export are granted duty exemptions for direct imports as well as for imports from the free zones.63  A 
duty drawback scheme allows refunds of import du ties paid on raw materials used in the production 
of exports.64  Reimbursement of the duties takes about 30 days. 
98. The mandate of Jordan Enterprise Developm ent Corporation (JE) includes promoting 
Jordanian exports and enhancing their competitiveness in the global market.65   JE is an autonomous 
non-profit corporation owned by the Ministry of Industry and Trade;  its Board of Directors (composed of public and private sector repre sentatives) is chaired by the Minister.  Its 
export-promotion activities cover electronic promotion (Global Trade Point Network
66), participation 
in international shows and trade fairs, market r esearch and analysis, and industrial studies (see also 
Chapter IV(2)(iii)).  The corporation also offers its  services to exporters as local agent for the export 
finance and guarantee schemes of the Islamic Deve lopment Bank (IDB), the Export Credit Guarantee 
Scheme of the Inter-Arab Investment Guarantee Corporation, and the Jordan Loan Guarantee 
Corporation.67 
(v) Free zones, special economic zones,  and qualifying industrial zones 
(a) Free zones 
99. The legal framework for Jordan 's free zones is the Free Zones Corporation (FZC) Law No. 32 
of 1984 and the Free Zones Corporation Investment Regulation No. 43 of 1987 (and their respective 
                                                      
62 WTO document G/SCM/N/155/JOR, 17 July 2007. 
63 Temporary Admission for Manufacture and Exportation Purposes, Instructions No. 2 of 2003.  
Viewed at: http://www.customs.gov.jo/CustomsDyna mic/Public_News/Ins_inst ructions.aspx?lang=3. 
64 Refunding of Customs Duties and Taxes levied on some Imported Goods used in Manufacturing 
National Products upon Exportation thereof. Viewed at: http://www.cus toms.gov.jo/CustomsDynamic/Public_ 
News/Ins_instructions.aspx?lang=3.paragraph119. 
65 The JE was established in 2003 as the legal successor of the Jordan Export Development and 
Commercial Centers Corporation. 
66 Amman Trade Point online information.  View ed at: http://www.atp.jedco.gov.jo/about.html. 
67 Jordan Enterprise Development Corporation online information.  Viewed at: 
http://www.jedco.gov.jo/services.html#. Jordan WT/TPR/S/206/Rev.1 
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amendments).  The  Free Zones Corporation is a governmental body with financial and administrative 
independence, and is managed by a Board of Directors under the chairmanship of the Minister of Finance.  The Corporation's mandate is to establis h, administer, and develop Jordan's public and 
private free zones, which are aimed at promoting tr ansit trade and export-oriented industries, and are 
open to local and foreign investors.  Investments in  the free zones are required to meet one of several 
broad criteria, including the introduction of new technology, use of local raw materials and manufactured parts, improvement of labour skills, and import substitution (Article 13B of the FZC 
Law). 
100. Under Article 13D, investments in industrial, commercial, and services projects established in 
the free zones enjoy:  (i) exemption from income taxes of the project's profits on goods exported 
outside the Kingdom, transit trade, and sales or transfers of goods within the free zone; profits from sales of goods on the domestic market are excluded fro m the exemption;  (ii) exemption from income 
and social services taxes on salaries to non-Jordanian employees;  (iii)  exemption from customs duties and other taxes and fees (except service and re ntal charges) for goods imported into or exported 
from the free zone;  (iv) exemption from licensi ng fees and urban property taxes for construction 
projects; and  (v) exemption from customs duties on goods produced in the free zone and offered for 
sale in the domestic market:  the exemption is lim ited to the cost of materials and manufacturing 
expenses, provided this value is approved by the Free Zone Committee . 
101. The Aqaba Special Economic Zone is Jordan's largest free zone, and has a distinct legal 
status.  Jordan also has five public free zones (Z arqa, Sahab near Amman, Queen Alia International 
Airport, Al-Karak, and Al-Karama), and 24 privat e free zones managed by the private sector under 
the supervision of the Free Zones Corporation;  several of the private free zones are not yet 
operational.  Two zones (Sahab and Al-Karak) are located within industrial estates managed by the 
Jordan Industrial Estates Corporation (section (4)(i)).  According to the authorit ies, real estate in the 
private free zones can be purchased regardless of the investor's nationality, while land in the public 
free zones may only be leased. 
102. In terms of economic importance, Jordan's pub lic free zones are pre dominately commercial 
free zones serving the transit trade and the local ma rket.  During 2000-07, the share of local sales in 
total exports by the free zones (i.e. the total value of outgoing goods) was in the range of 17% to 42%.  
The trade balance was negative in 2006-07 (Table III.13).  The total workforce in the public and 
private free zones was 20,106 in 2006.  Accordin g to the authorities, the Free Zones Corporation 
made a surplus of JD 7.9 million in 2005.  It also  transferred JD 10 million to the Treasury in 2006, 
and JD 11 million in 2007. 
103. Normal customs formalities, tariffs, and tax es are applied on goods imported from the free 
zones. The Free Zone Corporation issues certificat es of origin for exports of goods processed or 
produced in the free zones, with a local content of at least 40%.  According to the Authorities, the free 
zones are fenced off, patrolled, and equipped with a security system to prevent smuggling. 
Table III.13 
Free zones exports and imports, 2002-07  
(JD million) 
 2002 2003 2004 2005 2006 2007 
Exports       
Domestic market  331.3 286.2 555.3 737.3 877.7 866.0 
International 787.9 1,368.6 1,860.5 1,434.7 1,472.0 1,798.8 
Total  1,119.3 1,654.9 2,415.8 2,172.0 2,349.7 2,664.8 
Imports 518.1 858.5 1,254.0 1,020.0 2,967.6 3,602.1 
Source:  Information provided by the Jordanian authorities. WT/TPR/S/206/Rev.1 Trade Policy Review 
Page 46 
 
 
(b) Aqaba Special Economic Zone 
104. The Aqaba Special Economic Zone was launched in 2001 as a duty-free, low-tax, 
development zone, to serve as a model for sust ainable development and to position Jordan as a 
leading business hub and tourism destination in th e region.  The zone spreads over 375 square 
kilometres and Jordan's entire coast line of 27 km .  The Aqaba Special Economic Zone Authority 
(ASEZA) was established under the Aqaba Special Economic Zone Authority Law of 2000 as the 
statutory institution empowered with regulatory, administrative, fiscal, and economic responsibility within the zone. 
105. The ASEZA operates as a decentralized, au tonomous legal entity outside Jordan.  
Nonetheless, the zone is subject to Jordanian legi slation, although the provisions of the ASEZA Law 
prevail to the extent of a conflic t (Article 6 of the ASEZA Law).  Goods originating in the Aqaba 
Special Economic Zone and shipped to the custom s territory of Jordan, are subject to the MFN 
regime, and to the rules of origin stipulated in the Customs Law. 
106. One of the primary strategic goals of the ASEZA is to attract domestic and foreign investment 
from the private sector.  The original objectiv e of attracting US$6 billion by 2020 was accomplished 
in 2006.
68  The ASEZA Law provides a number of privile ges and incentives for companies registered 
in the economic zone, including:  (i) exemption from customs duties, other taxes and duties on 
imports, and general sales tax or similar taxes;  ( ii) exemption from social services tax, and land and 
building taxes;  and  (iii) flat income tax of 5%, subject to further tax exemptions for capital profits.  
Banks, financial services companies, (re)insurance  companies and land transport companies are 
subject to applicable national taxes. 
107. There are no foreign equity restrictions on investments;  land can be leased or purchased, and 
up to 70% of the workforce in each project may be foreigners. 
108. The Aqaba Development Corporation was establis hed in 2004 as the investment arm of the 
ASEZA and is responsible for developing assets, infrastructure, and utilities within the economic 
zone, including the port of Aqaba and the city's inte rnational airport.  The backbone of the zone is 
services, notably tourism, trade, and logistics servic es; its industrial base is small.  The volume of 
transit trade has been relatively small, accounti ng for around 5% of total cargo handling in recent 
years. 
(c) Qualifying industrial zones 
109. In 1996, the U.S. Congress launched the Qualifying Industrial Zone (QIZ) initiative to 
support the peace process in the Middle East.  QIZs  are designated industrial parks in Jordan and 
Israel from which goods can be exported duty-free a nd quota-free to the United States.  The QIZ rules 
require local content of at least 35%, of which a mi nimum of 11.7% must be Jordanian and 8% Israeli 
(7% for high-tech products).  The remaining 15.3% ma y come from either a Jordanian QIZ,  Israel, 
the West Bank and the Gaza Strip, or the Un ited States (a maximum of 15% U.S. content).69  The QIZ 
initiative has no expiry date and thus does not  require renewal by the U.S. Congress. 
110. Any private or public industrial area in Jordan is eligible to apply for QIZ status.  Decisions 
regarding applications are made by the Prime Minister, upon recommendation by the Ministry of Industry and Trade, while final approval rests wi th the United States Trad e Representative;  the 
process takes 8-12 months.  Manufacturers are re quired to submit a Qualifying Product Request 
                                                     
 
68 Aqaba Special Economic Zone (2007), p. 20. 
69 American Chamber of Co mmerce in Jordan (2005). Jordan WT/TPR/S/206/Rev.1 
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(QPR) for approval by the Ministry of Industry and Tr ade.  According to the authorities, 13 industrial 
parks in Jordan have been approved as QIZs by the United States.70   
111. The QIZ initiative has proved to be particular ly attractive for the Jordanian textile and 
clothing industry (Chapter IV(4)(ii)(b)).  It h as also helped Jordan to progress from regional to 
international trade and, in 2003, the United States beca me Jordan's first export destination.  Jordan's 
total merchandise exports to the United States increased from US$72.8 million in 2000 to US$1,267 million in 2005, of which 41% and 75%, respectively, were exports from QIZs.
71  Clothing 
and apparel accounted for 85% of Jordan's total merchandise exports to the United States in 2005. 
(4) MEASURES AFFECTING PRODUCTION AND TRADE  
(i) Incentives 
112. Jordan's investment incentives are based on Investment Promotion Law No. 16 of 1995 and 
its amendments in 2000.  The law has general app lication, including in the free zones, the Aqaba 
Special Economic Zone, QIZs, industrial estates, and development areas. 
113. Under the Investment Promotion Law, Jordan is divided into zones A, B, and C.  Investments 
in zone C, the least developed area, receive the hi ghest level of exemptions from income and social 
services taxes (75%).  All agricultural, maritime tr ansport, and railway investments are classified as 
Zone C, irrespective of location.  QIZs are designated as zone B, with 50% exemptions, unless their location is in zone C.  Investments along the shor es of the Dead Sea and 5km inland are classified as 
zone A for the hotel subsector, with 25% exemp tions.  The three-zone classification scheme does not 
apply to nature reserves and environmental protection areas, which are granted special 
consideration.
72  The exemptions may rise to 100% in certai n areas, subject to approval by the Council 
of Ministers.73  The exemption period is ten years but can be extended. 
114. The following components of investments are ex empt from customs duties, sales tax, and 
other fees and charges, with the exception of munici pal fees and taxes (Article s 2 and 6):  imports of 
fixed assets (for 3 years)74;  imports of spare parts up to 15% of the import value of the fixed assets 
(for 10 years);  and fixed assets needed for expans ion, provided this results in an increase in 
production of at least 25%. 
115. Projects in the following sectors and sub-sector s are eligible for the exemptions under the 
Investment and Promotion Law:  agriculture; call centers; conventions and exhibition centers; 
hospitals; hotels; leisure and recreational compounds;  industry; maritime transport; railways; pipeline 
transportation;  and distribution services for water, gas, and petroleum derivatives. Projects in the 
hotel and hospital subsectors are granted these ex emptions once every seven years for purchases of 
furniture and supplies for renewal purposes (Article 8). 
                                                      
70 The Gateway QIZ on the northern Jordan-Israel bord er; Al-Tajamouat Industrial Estate in Amman;  
Ad-Dulayl Industrial Park near Zarka;  Kerak Industrial Estate;  Aqaba Industrial Estate;  Jordan Cyber City in 
Irbid;  Al-Qastal Industrial Zone in Amman;  the Mushatta International Complex in Amman;  El-Zai 
Readywear Manufacturing Co. in Zarqa;   Al-Hassan Industrial Estate in Irbid; Hillwood Hashemite University; 
Al-Hallabat Industrial Park;  and the Resources Company for Development and Investment (Al-Mawared). 
71 Cassing and Salmeh (2006), p. 25. 
72 Regulation of the Investment Areas and Sectors (No. 2 of 1996), issued pursuant to Article 4 of the 
Investment Promotion Law. 
73 WTO document WT/ACC/JOR/33, 3 December 1999, paragraph 20. 
74 The exemptions also cover any increase in the value of the fixed assets resulting from price 
increases, freight charges or changes in exchange rates. WT/TPR/S/206/Rev.1 Trade Policy Review 
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Industrial estates 
116. The Jordan Industrial Estates Corporation (J IEC), a semi-governmental corporation, was 
established under Jordan Industrial Estates Corporat ion Law No. 59 of 1985 with the objective of  
establishing and managing industrial estates.  JIEC owns, manages, and provides the basic 
infrastructure and services for:  Abdullah II Ibn Al-H ussein Industrial Estate in Sahab (near Amman);  
Al-Hassan Industrial Estate in Irbid;  Al-Hussein Bi n Abdullah II Industrial Estate in Al-Karak;  and 
Aqaba International Industrial Estate .  The Industrial Estates of Sahab and Al-Karak are also declared 
as public free zones.  The industrial estates in Irbid  and in Aqaba located w ithin the Aqaba Special 
Economic Zone, enjoy QIZ status.  The five JIEC -managed industrial estates comprised 461 factories 
with a workforce of close to 41,000 in 2006, a nd contributed JD 725.6 million (24.8%) to Jordan's 
total merchandise exports.75 
117. Industrial projects that are established within or  relocated to industrial estates managed by 
JIEC are granted the following exemptions, which are additional to the incentives provided under the 
Investment Promotion Law76:  exemption from income and social services tax for two years;  
exemption from buildings and land taxes;  and ex emption from or reduction of most municipality 
fees. 
118. There are a number of private industrial parks that are not under JIEC management;  some 
have been designated as QIZs (section (3)(v)).77 
Development areas 
119. A new Development Areas Law, passed in 2008, formalized two royal development 
initiatives, one in Mafraq, the other in Irbid.  Both projects aim to create an investment and regulatory 
framework similar to the Aqaba Special Economic Zone. 
120. The King Hussein Bin Talal Development Area in Mafraq, located 60 km northeast of 
Amman, is managed and developed by  the Mafraq Development Corporation.78  Four subsectors have 
been targeted for investment:  food processing, te xtiles and furniture, chem icals (perfumes, essential 
oils, household chemicals, etc.), and electrical m achinery.  Plans for infrastructure development 
include the conversion of the nearby King Hussei n Airbase for civilian and commercial use, and  
establishment of bonded transport roads that connect w ith ports, airports, and other free zones.  It is 
also envisaged to route the North-South railway  network through Mafraq (Chapter (IV)(5)(iv)(c)). 
121. The Irbid Development Area is managed by the Northern Development Corporation, which is 
seeking to attract investment in the information t echnology and the medical sciences subsectors.  This 
development initiative is seeking to, inter alia , capitalize on the human resources from nearby 
universities (Jordan University for Science and T echnology, the Yarmouk University, and the Irbid 
Private University). 
                                                      
75 Jordan Industrial Estates Corporation (2007), p. 25.  
76 Jordan Industrial Estates Corporation (2007), p. 11.  
77 Ad-Dulayl Industrial Park and Al-Tajamouat Industrial Park near Amman; Cyber City Park near the 
University of Science and Technology at Irbid; Al-Zay Readywear Al-Ruseifa; Al-Mushatta Qualifying 
Industrial Estate; Al-Qastal Industrial  Park near Queen Alia International Airport; the Jordan Gateway project; 
Al-Hallabat Industrial Park;  and the Resources Company for Development and Investment at Al-Muwaqar.  
Jordan Investment Board online information. Viewed at: http://www.jordaninvestment.com/pages.php?menu_id 
=212&local_type=0&local_id=&l ocal_details=&local_details1= &localsite_branchname=JIB. 
78 Viewed at: http://www.kinghusseinzone.com. Jordan WT/TPR/S/206/Rev.1 
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122. The Development Areas Law provides exemption from import duties on all materials, 
instruments, machines etc., to be used for th e establishment, construc tion, and equipment of 
enterprises;  exemption from sales tax on goods brought  into or sold within the development area for 
use in economic activities;  5% income tax on  all taxable income from activities within the 
development area, and exemption from dividends ta x on all income accrued within the development 
area (banks, financial services companies, (re)insurance companies, and land transport companies are subject to applicable national taxes);  and exem ption from social services tax on all income accrued 
within the development area or outside Jordan. 
(ii) Competition and pricing policies  
123. Jordan is the first Arab country in the Middle East with competition legislation. A provisional 
Anti-Trust Law (No. 49) entered into force in 2002, and in 2004, Jordan enacted its present competition legislation, Competition Law No. 33 of 2004.
79  According to the authorities, the 
Competition Law is in line with international commitments, including the EC-Jordan Association 
Agreement and the Pan Arab Free Trade Ag reement (Arab Competition Regulations). 
124. The Law established a Competition Directorate in the Ministry of Industry and Trade.  The 
Directorate is responsible for enforcing the law,  and investigating competition-related cases while 
promoting a competition culture.  The law also established a Committee for Competition Matters, an advisory body chaired by the Minister of Industr y and Trade, with officials from the Insurance 
Commission, the Telecommunications Regulatory Commission, the  Public Transport Regulatory Commission, the Jordan Chambers  of Commerce and Industry, the Jordan Consumer Protection 
Society, and other experts.  The Committee san ctions general competition policy and reviews 
provisions in laws relating to competition. 
125. The Law prohibits anti-competitive practices that result in price fixing, controlling quantities 
of production or service delivery, market sharing, setting barriers to entry, and collusion in bids and 
tenders.  Enterprises with dominant positions in th e market are prohibited from abusing their position.  
Abuses of dominant position consist of practices to  prevent, limit or weaken competition through 
price fixing, barriers to entry, discrimination be tween customers, attempts to monopolize resources, 
etc.  Any exemption made to the provisions of th e Competition Law are subject to review within six 
months. 
126. The Minister of Industry and Trade must approve any transaction that results in "economic 
concentration", that is the merger or acquisition of  an enterprise and that results in a market share 
exceeding 40%.  Approvals by the Minister for me rgers and acquisitions must be made within 100 
days after the Competition Directorate issues a notice that the application is complete.  According to 
Instruction No. 2 of 2006, the Directorate must  issue the Application Completion Notice within 
60 days starting on the date of submission of the application.  Appeals against failure to grant 
approval are made to the Supreme Court of  Justice. 
127. Under the Competition Law, any competent court of first instance has jurisdiction to hear 
cases related to its violations.  In addition, sp ecialized and trained judges may be appointed;  
14 judges have been nominated to specialize in comp etition cases.  To date, three cases were filed at 
the Court of First Instance.  The fines for viol ations of the Competition Law range from JD 200 to 
JD 50,000.  The abuse of a dominant position and other anti-competitive practices in the domestic market (including price fixing, market sharing, coll usion in bids or tenders, setting barriers to market 
entry) are subject to fines ranging from 1% to 5% of the sales or services revenues of the violator, or 
JD 1,000 to JD 50,000, if the value of the sales or revenues is not specified. 
                                                     
 
79 Ministry of Industry and Trade (2005), p. 11. WT/TPR/S/206/Rev.1 Trade Policy Review 
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128. Most cases addressed by the Competition Directorat e have been lodged by private institutions 
(Table III.14).  The Directorate's work has also i nvolved studies on the impact of the reduction of 
customs duties (rice, livestock and iron), and on competition matters in the telecommunications subsector (Chapter IV(3)(a)). 
Table III.14 
Cases studied by the Competition Directorate, 2003-08 
Type of cases Number 
Complaints 48 
Economic concentration applications 4 
Economic concentration consultations 4 
Monitoring economic concentration operations 23 
Exemptions applications 4 
Consultations 28 
Investigations and studies 33 
Source: Information provided by the Jordanian authorities. 
129. The Judicial Institute under the Ministry of Ju stice is the official institution responsible for 
judicial education and training in Jordan.80  The institute has organized several training courses for 
judges and public prosecutors on competition matters .  Jordan has also received technical assistance 
under the Euro-Jordanian Action for the Development of Enterprise (EJADA).  Assistance has been 
aimed at training lawyers, judges, and other prof essionals, targeting the business community through 
competition law awareness campaigns, and educati ng the staff of the Competition Directorate on 
international experiences related to the enforcement of competition laws. 
130. The Competition Law provides for the free determination of prices of goods and services by 
market forces, with the exception of  the prices of "essential commodities"  (Article 3).  Price controls 
may be applied temporarily, by a resolution of the Council of Ministers, in exceptional circumstances, 
e.g. emergencies or natural disaster, but must be reviewed after six months. 
131. Prices controls on essential commodities may be applied pursuant to Industry and Trade Law 
No. 18 of 1998, and other applicable laws.  Essen tial commodities, as determined by the Council of 
Ministers, currently cover:  wheat, flour, bran, barl ey, bread, corn, rice, sugar, milk, red meat, olive 
oil, cement, crude oil and oil pr oducts, and steel for construction.81  Jordan has removed the price 
controls on fresh milk and cement that were  in place at the time of accession (Table III.15).82   
132. The tariffs/fees for a number of services are subject to price control, including certain 
telecommunications services, insurance services, postal services, and passenger transport services. 
Table III.15 
Goods subject to price controls, 2008 
HS Code Product description Status 
Price control 
ex 1001 Wheat, seed of a kind used for sowing Price fixed pursuant to Resolution of the Prime Minister 
No. 63-11-1-20173, 28 November 2007 
ex 1003.00 Barley, seed of a kind used for sowing Pr ice fixed pursuant to the resolution of the Prime 
Minister No. 63-11-1-20173, 28 November 2007  
1001.10, ex 1001.90 Wheat Price fixed by Ministry of Industry and Trade pursuant 
to Law No. 18 of 1998 
1101.00 Flour Price fixed by Ministry of Industry and Trade pursuant 
to Law No. 18 of 1998 
  Table III.15 (cont'd) 
                                                      
80 Viewed at: http://eng.moj.gov.jo/Judicial Institute/Briefing/tabid/83/Default.aspx. 
81 Prime Minister Resolutions No. 17-11-2-3061, 18 April 1999;  No. 17-2-7185, 12 June 2002;  and 
No. 17-11-2-4728, 18 February 2004. 
82 WTO document WT/ACC/JOR/33, 3 December 1999, Table 1. Jordan WT/TPR/S/206/Rev.1 
 Page 51 
 
 
HS Code Product description Status 
ex 1905.90 Bread – Arabic, Tanouri, Taboun, 
Armenian, and Baladi Price fixed by Ministry of Industry and Trade pursuant 
to Law No. 18 of 1998 
ex 2302 Bran Price fixed by Ministry of Industry and Trade pursuant 
to Law No. 18 of 1998 
ex 2711.13 
ex 2710.00 
ex 2710.00 ex 2710.00 
ex 2710.00 
ex 2710.00 2710.004 2710.005 
ex 2714.90 
ex 2714.90 ex 2710.00 Liquid gas butane 
Leaded  (gasoline)  
Super  (gasoline) Unleaded  (gasoline) 
Jet fuel (airplane fuel) 
Kerosene Diesel Fuel oil 
Asphalt, w/o containers 
Asphalt, in containers Diesel for ships Prices are fixed on monthly basis (for a two-year 
transition period) by the Ministry of Industry and Trade 
in consultation with stakeholders 
 
 
   
ex 2201.90 Water Price fixed by the Ministry of Water and Irrigation 
2716.00 Electrical energy Price fixed pursuant to Electricity Law No. 64 of 2002 
ex 3002, ex 3003, and ex 3004 Pharmaceuticals for human us e Price fixed pursuant to Drug and Pharmacy Law No. 80 
of 2001 
ex 3002, ex 3003, and ex 3004 Pharmaceuticals for veterinary use Price fixed pursuant to Agriculture Law No. 44 of 2002 
and the instructions No. 33 of 2003 
Source: Information provided by the Jordanian authorities. 
(iii) State-trading, state-owned enterprises, and privatization 
133. The Government has largely withdrawn from the business of importing food products, except 
for barley and wheat (including wheat flour an d bran).  These products were designated as essential 
commodities, of which the government is the so le importer because their consumption is highly 
subsidized (Box IV.1).  Imports are executed by private traders under the direction of the Trade 
Directorate at the Ministry of Industry and Trade.83 
134. Jordan has notified the WTO of two state-tr ading enterprises with special or exclusive 
privileges (Table III.16).  The excl usive trading rights in the petroleum subsector granted to the 
Jordan Petroleum Refinery Company expired in 2008, but the Government has signed an Interim 
Service Agreement with the refinery (Chapter IV(4)(ii)(a)). 
135. Jordan embarked on an ambitious privatiza tion programme in the late 1990s with the 
objective of expanding private sector participati on in the economy, stimulating the market economy, 
and enhancing competitiveness.84  This initiative followed financial losses by the public sector, which 
in the transport and water subsectors alone am ounted to more than 20% of the GDP in 1998.85 
136. The Privatization Law No. 25 of 2000 provid es the legal and institutional framework for 
privatization.  It established a Privatization Council,  chaired by the Prime Minister and comprising the 
Ministers of Finance, Industry and Trade, Planning , and Justice; the Governor of the Central Bank;  
the Chairman of the Executive Priv atization Commission;  and specialized experts.  The Council is 
the policy maker and governing body to approve pr ivatization policy and transactions. The Executive 
Privatization Commission, a financially and admini stratively independent entity, is responsible for 
implementing  privatization transactions. 
                                                      
83 Ministry of Industry and Trade online information.  Viewed at: http://www.mit.gov.jo/Default.aspx? 
tabid=366. 
84 Executive Privatization Commission online informa tion. Viewed at: http://www.epc.gov.jo/programs 
.html. 
85 Executive Privatization Commissi on online information.  Viewed at: http://www.epc.gov.jo/success 
_story.html. WT/TPR/S/206/Rev.1 Trade Policy Review 
Page 52 
 
 
Table III.16 
State-trading enterprises, 2008 
Name Nature of exclusivity Legal basis Duration 
Jordan Phosphate Mines 
Co. Ltd. (JPMC) Exclusive mining rights over phosphates for 
four different mines in Jordan: Hasa, Rusaifa, Wadi Al-Abyad and  Shaidiah. 
Mining rights are subject to re-negotiation 
and renewal once they expire. Although there are no legal restrictions for anyone exporting phosphate, de facto, JPMC 
does not sell phosphate to private traders for 
export purposes.  
Exclusive rights to import, store and sell 
explosive materials used for mining and quarrying purposes. Law No. 12 on Natural 
Resources of 1968 (mining rights No.1 and No. 2)  
 
   
 
 
Instructions of Prime 
Minister 29 May 1979 Exclusive right for mining 
(and de facto exports) of phosphate expired in 1998 for 
Hasa, Rusaif, and Wadi Al-
Abyad;  expiry for  Shaidiah in 2017  
 
  
Indefinite for import and sale 
of explosive materials 
Jordan Petroleum 
Refinery Co. Exclusive rights to establish and invest in 
facilities for refining and processing 
petroleum and hydrocarbon products and derivatives; to store and distribute these 
products; and to own and lease land.  
Exclusive rights to import oil and hydrocarbon products for local use.   Concession Law No. 19 of 
1958 Expiry:  2008 
Source:  WTO document G/STR/N/ 9/JOR, 28 July 2003. 
137. The National Privatization Strategy of 1999 is aimed at raising efficiency and productivity; 
increasing private investment in the economy; developing a domestic capital market; attracting local 
and foreign investments, technology, and know-how ; and reducing the Govern ment's debt burden.  
Jordan's privatization approach varies according to the specifics of the enterprise or service to be 
privatized.  The methods used include capital sa les, concession agreements, lease contracts, 
management contracts, franchising,  and other modes for infrastructure projects.86 
138. Several privatization transactions have been comp leted, including restructuring, or partial sale 
of state-owned enterprises.  The State has maintain ed a minority stake in th ree major enterprises: the 
Arab Potash Company, Jordan Phosphate Mines Company, and Royal Jordanian Airlines Company 
(Table III.17).  Total privatization proceeds amount to over US$2.2 billion.  Under the Privatization 
Law (Article 13), all privatization proceeds are to be deposited in the Privatization Proceeds Fund and 
used for: settlement and purchase of government debt  to benefit from deductions on these debts or to 
settle such debts through debt-swap deals;  inv estments in financial assets;  financing economic 
activities and new infrastructure;  re-qualifying an d training of employees of divested government-
owned enterprises;  subscription with the Social Security Corporation;  and as revenues for the 
Treasury. 
                                                      
86 Other modes include: build-operate-transfer (BOT) under which the private sector designs, finances, 
builds, and operates the facility for the duration of the contract, at the end of which, ownership reverts to the 
Government;  build-transfer-operate (BTO) under which the private sector designs,  finances and builds the 
facility, then transfers it to the Government while retaining the right to operate it for a specified period;  build-own-operate (BOO) under which the private sector designs, finances, builds the facility, retains ownership and 
operates it; and build-operate-own-transfer (BOOT) under which the private sector builds the project, owns it 
for a specified period, operates  it, then transfers it to th e public sector. Viewed at: 
http://www.epc.gov.jo/types.html. Jordan WT/TPR/S/206/Rev.1 
 Page 53 
 
 
Table III.17 
Completed privatizations, June 2008  
Enterprise  Activities  Completion date  Comment  
Public Transport/Amman Passenger transport 1999 Concession 
Water Authority of Jordan Water 1999 Management contract 
Airport Duty Free Shops Air transport 2000 Concession for 12 years 
Jordan Flight Catering Ltd. Air transport 2001 Total sale 
Jordan Cement Factories Co mpany Cement 2002 Total sale 
Arab Potash Company Mining 2003 Sa le of 26% of the share capital 
Agricultural Manufacturing and Processing 
Company Agriculture 2005 Total sale   
Jordan Phosphate Mines Company Ltd. Mining 2006 Sale of 40% of the share capital 
Central Electricity Generating Company Electri city 2007 Sale of 60% of the share capital 
Royal Jordanian Airlines Company Air transport 2007 Sale of  71% of the share capital 
Jordan Telecommunications Company Telecommunications 2008 Total sale  
Electricity Distribution Company (EDCO) Electricity .. Total sale  
Irbid District Electricity Company (IDECO) Electricity ..  Sale of 55.4% of state-owned 
capital 
Civil Aviation Authority Air transport ..  Restructuring 
Queen Noor Civil Aviation Technical College Air transport ..  Total sale  
Jordan Aircraft Maintenan ce Company Air transport ..  Total sale  
Jordan Airline Training and Simulations Air transport ..  Total sale 
Jordan Airmotive Limited Company (JALCo) Air transport ..  Total Sale   
Royal Jordanian Air Academy Air transport ..  Total sale 
Mai’in Spa Complex Tourism ..  Lease and investment 
Assamra Water Treatment Plant  Water ..  BOT 
Aqaba Container Terminal Maritime transport services ..  Joint-venture 
Light Railway (Amman-Zarqa) Rail transport ..  BOT 
Expansion of Queen Alia International Airport Air transport ..  BOT 
Jordan Investment Company Portfolio Investment portfolio .. Sale of state-owned capital in 50 
companies 
.. Not available. 
Source:  Information provided by the Jordanian authorities.  
139. Jordan's privatization programme has attracted over US$1 billion in investments, particularly 
in the telecommunications, tourism, water, and transport subsectors.87  The World Bank considers 
Jordan's privatization programme as "one of the, if not the most, successful programmes in the Middle 
East region".88 
                                                      
87 Executive Privatization Commission online information.  Viewed at: http://www.epc.gov.jo/ 
transactions.html. 
88 Executive Privatization Commissi on online information. Viewed a t: http://www.epc.g ov.jo/success_ 
story.html. WT/TPR/S/206/Rev.1 Trade Policy Review 
Page 54 
 
 
(iv) Intellectual property rights 
(a) Overview 
140. Jordan changed its intellectual property laws prior to its accession to the WTO to conform 
with the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS Agreement).  
The Jordanian pharmaceutical industry, in particular , is said to have benefited from strengthened 
intellectual property rights (Chapter IV(4)(ii)(c)).89 
141. The Industrial Property Protection Directorate has the supervisory role for all matters related 
to the registration of trade marks, patents, industria l designs and models, and integrated circuits.  The 
Department of National Library is the administrator of copyrighted works;  it is responsible for the 
enforcement of copyrights.  The Ministry of Agricu lture has the supervisory role for the registration 
of plant varieties.  The Jordanian Institution fo r Standards and Metrology (JISM) has ex-officio 
authority to investigate matters related to intell ectual property infringements, to impound counterfeit 
merchandise, and to file cases with the prosecutor.   Jordan Customs and the Police Department also 
have responsibility for the enforcemen t of intellectual property rights. 
142. Organizational changes have recently been made  to further enhance the intellectual property 
framework.  The Cabinet decided in July 2006 to establish an autonomous body for intellectual 
property rights, the National Institution for the Nationa l Intellectual Property Rights.  The Ministry of 
Industry and Trade is in the process of defining the structure and functions of the new institution 
which aims to:  enhance protection of intellectua l property rights through empowering the body with 
ex-officio authority;  unify the efforts of the vari ous entities dealing with the protection of intellectual 
property rights;  amend and draft laws and regula tions to ensure coherence with international 
standards on intellectual property rights;  and coordi nate with public and pr ivate entities, and raise 
awareness on intellectual property rights. 
143. Jordan's principal intellectual property laws and regulations comprise:  the Patents of 
Invention Law No. 32 of 1999, as amended by Tem porary Law No. 71 of  2001 and Patents Law No. 
28 of 2007;  Patent Regulation No. 97 of 2001;  In dustrial Designs and Models Law No. 14 of 2000;  
Protection of Integrated Circuits Designs Law No. 10 of 2000; Copyright Law No. 22 of year 1992, as 
amended by Law No. 9 of 2005;  Trademarks Law No. 33 of 1952, as amended by Law No. 25 of 1957, Law No. 34 of 1999, Law No. 29 of 2007 and Law No. 15 of 2008;  Trademark Regulation No. 37 of 2000;  Geographic Indications Law No. 8 of 2000;  Unfair Competition and Trade Secrets Law 
No. 15 of 2000;  Protection of New Varieties of Plants Law No. 24 of 2000;  and Article 41 of 
Customs Law No. 20, as amended in 2000. 
144. Jordan has been a member of the Paris Convention for the Protection of Industrial Property 
since 1972.  It is in the process of acceding to th e Patent Cooperation Treaty and the Protocol relating 
to the Madrid Agreement concerning the Internatio nal Registration of Marks, and has amended its 
patent law and its trade-marks laws to comply w ith the treaty and the protocol. Jordan has also 
submitted an application to join the Budapest Tr eaty on the International Recognition of the Deposit 
of Micro-organisms for the Purposes of Patent Proc edure.  Since 2004, Jordan has been party to the 
1991 Act of the UPOV Convention for the Protection of  New Varieties of Plants.  Jordan became a 
Contracting Party to the Berne Convention for th e Protection of Literary and Artistic Works in 
July 1999.  In 2004, it also became party to the WIPO Copyright Treaty, and the WIPO Performances 
and Phonograms Treaty.  Jordan is in the process  of acceding to the  treaties on the International 
(Nice) Classification of Goods and Services for the Purposes of the Registration of Marks, and on the 
International Classification of the Figurative Elem ents of Marks under the Vienna Agreement. 
                                                     
 
89 Holden (2006). Jordan WT/TPR/S/206/Rev.1 
 Page 55 
 
 
(b) Patents 
145. Patents are protected under the Patents of Invention Law No. 32 of 1999, as amended by 
Temporary Law No. 71 of 2001 and the Patents Law No. 28 of 2007.  The provisions of the law are also applicable to patents granted under the Patent s of Invention and Industrial Design Law No. 22 of 
1953, which was repealed.   
146. In 2000-07, 385 patents were granted in Jordan (Table III.18).  Foreign-owned patents have 
been issued mainly for pharmaceu ticals, chemicals, solar energy, construction materials, and 
machinery;  while patents issued to Jordanian nati onals were mostly related to public safety, solar 
energy, electrical equipment, chemicals, and mining. 
Table III.18 
Patents granted, 2000-07  
 Applications Patents granted  
Year National International National International Total patents granted 
2000 71 127 12 59 71 
2001 52 147 .. .. .. 
2002 21 117 13 16 29 
2003 25 157 8 39 47 
2004 42 141 4 56 60 
2005 49 169 9 46 55 
2006 75 428 10 50 60 
2007 59 507 23 40 63 
Total 394 1,793 79 306 385 
.. Not available. 
Source: Ministry of Trade and Industry of Jordan. 
147. Patents are registered with the Registrar of Patents and Trademarks, which is part of the 
Ministry of Trade and Industry.  The term of pate nt protection is 20 years from the date of filing the 
application, and is not renewable.  Protection is provided to processes as well as to end-products.  The 
exclusions from patentability are in line with the provisions of the TRIPS Agreement.90  P l a n t  
varieties are protected under Plant Varieties Law No. 24 of 2000. 
148. Compulsory licences (on a non-exclusive basis) can be issued by the Minister of Industry and 
Trade if:  (i) the use of the patent is deemed ne cessary for national defence or emergency or for a non-
commercial public good;  (ii) the patent has not been  worked for three years after its grant or four 
years after its filing date, whichever is later (i mport of the patented product is considered as 
exploitation of the patent);  (iii) the patent is used to  hinder fair competition;  or (iv) there is a need to 
export to countries suffering from epidemic diseases and emergency.  The applicant must have made 
efforts to obtain a licence from the patentee under re asonable remuneration.  The licence may only be 
granted to fulfil the demands of the domestic market .  No compulsory licence has been granted so far 
in Jordan. 
149. Under Article 37 of the Law, parallel imports ar e not allowed, but the patent proprietor must 
notify the Customs Department  of Jordan accordingly. 
150. Article 21(c) of the patent law provides for the following exceptions to the rights of a patent 
holder:  (i) the use of the patent for research  and development purposes;  (ii) submission of 
applications to obtain marketing approval for a pr oduct before the expiry of the patent (Bolar 
exception);  and (iii) compulsory licences  (see Chapter IV(4)(ii)(c)). 
                                                      
90 Discoveries, scientific theories, or mathemati cal methods are also excl uded from patentability. WT/TPR/S/206/Rev.1 Trade Policy Review 
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(c) Industrial designs 
151. Industrial designs are protected by the Industria l Designs and Models Law No. 14 of 2000. 
The Industrial Designs and Models Register is main tained by the Registrar of Industrial Designs and 
Models at the Ministry of Industry and Trade.  A design registration is valid for 15 years and is not 
renewable. 
152. Jordan is not a member of the Locarno Agreemen t Establishing an International Classification 
of Industrial Design.  Designs can be registered  under 32 classes, based on the materials the goods 
were made from, according to Industrial Designs and Models Regulation No. 52 of 2002.  A design 
can be registered for more than one class, but a separate application is required for each class. 
153. Article 4 of the Industrial Designs and Models  Law prohibits the registration of industrial 
designs that are dictated by technical or functi onal considerations.  However, the Registrar is 
authorized to make a decision in this regard based on a recommendation by a technical committee 
established for this purpose. 
154. The owner/licensee of the registered design/mode l has the right to prevent third parties from 
making, importing or selling products bearing a design/ model that is a copy or substantially a copy. 
(d) Layout-designs (topographies) of integrated circuits 
155. Layout-designs of integrated circuits are pr otected under the Law for the Protection of  
Integrated Circuits Designs No. 10 of 2000.  A Regist er of Integrated Circuits Designs is maintained 
in the Ministry of Industry and Trade, by the Regist rar of Integrated Circuits Designs.  To date, no 
application for the registration of a layout-design of an integrated circuit has been received. 
156. The proprietor of the layout-design has the right to prevent third parties from reproducing, 
importing, selling or distributing products of the prot ected layout-design.  Protection is for ten years 
from the date of first commercial exploitation anywhe re in the world and may not exceed fifteen years 
from the date of inventing the design. 
157. The Minister of Industry and Trade may issue a licence, subject to fair compensation of the 
proprietor, to exploit the layout-design if it is considered necessary for national security, emergency 
cases, for public non-commercial use, or when the proprietor is deemed to  be obstructing fair 
competition. 
(e) Copyright and related rights 
158. Copyright and related rights are protected under Copyright Law No. 22 of 1992 as last 
amended by Law No. 9 of 2005.91  The Department of the National Library under the Ministry of 
Culture is responsible for enforcement of the law. 
159. Protection is accorded to original works of art, science, and literature, including works 
expressed in writing, sound, drawing, photography , and motion, 3-D works and computer software. 
The amended laws incorporate a wider definition fo r computer programs to include software written 
in the source or machine language.  The law also  gives Jordanian citizens the right to obtain a non-
exclusive licence from the Minister of Culture to tran slate foreign works into Arabic after three years 
of first publication, subject to fair compensation of th e author.  In this regard, Jordan is making use of 
                                                      
91 Copyright Law No. 22 of 1992 was amended by Law No. 14 of 1998, Law No. 29 of 1999, Amended 
Law No. 52 of 2001,  Law No. 8 of 2005, and Law No. 9 of 2005. Jordan WT/TPR/S/206/Rev.1 
 Page 57 
 
 
the appendix to the Basel Convention as notified to WI PO in 2004.  Copyrighted material is protected 
for the life of the author plus 50 years.  Works of applied art are protected for 25 years, while 
protection for photographic works has been extended to 50 years. 
160. The Ministry of Culture may publish (on payment of fair compensation) a copyrighted work 
if the author or her/his heirs have not done so with in six months of being informed to do so in writing 
on the condition that this publication is for the public  interest.  This provision has not been applied in 
practice. 
(f) Trade marks 
161. Trade marks are protected under the amended Trademarks Law No. 34 of 1999, in 
conjunction with the Law No. 33 of 1952. 
162. Jordan applies a special classification for goods and services, which is consistent with the 
Nice Agreement.  According to the authorities, the Trademark Registrar resorts to the Nice 
Classification (9th edition) in case of any disagreement. 
163. A Register of Trademarks is maintained by the Registrar at the Ministry of Industry and 
Trade.  The law has been amended, whereby fa ilure to deposit the licence agreement will not 
prejudice the parties' rights (Trademark Law No. 29 of 2007).  Jordan recognizes service marks;  all 
provisions in the law that are applicable to goods ar e also applicable in the use of a trade mark to 
distinguish services.  The law also recognizes "fam ous trademarks", whose reputation has transcended 
their country of origin and that are well known am ong Jordanian consumers.  Such marks can be the 
subject of infringement action even if they  are not officially registered in Jordan. 
164. Trade marks are registered for ten years and may be renewed indefinitely for ten-year periods.  
Trade marks may be cancelled if they are not u sed for a continuous period of three years. 
165. The trade marks law also permits the assignment or mortgaging of a trade mark without the 
transfer of ownership of the business concerned.  Licensing procedures that were not part of the 
earlier law are now incorporated in the new trade marks law. 
166. The law gives priority right for foreign nationals to apply for trade mark registration in Jordan 
if the applicant's home country has a bilateral agreement with Jordan or is a member of an 
international convention guaranteeing reciprocal rights. 
(g) Geographical indications 
167. Geographical indications are protected under Ge ographical Indications Law No. 8 of 2000.  
Trade marks that consist of geographical indications ma y be rejected by the registrar of trade marks.  
A trade mark identical to a geographical indica tion but which was in use prior to the granting 
protection to the geographical indication are not deemed to violate these provisions. 
(h) Protection of undisclosed information 
168. Undisclosed information is protected under the Unfair Competition and Trade Secrets Law 
No. 15 of 2000. 
169. Misuse of trade secrets can arise from breach of contract, breach of trusted secrecy of 
information, or wilful acquisition of such secrets by third parties.  The use of reverse engineering to 
acquire trade secrets is not considered as a dishonest commercial practice. WT/TPR/S/206/Rev.1 Trade Policy Review 
Page 58 
 
 
170. The law provides for data exclusivity for five  years from the date of obtaining marketing 
approval for pharmaceuticals or pesticides. 
(i) Enforcement 
171. Customs Law No. 20 of 1998 prohibits importati on of goods violating intellectual property 
laws.  Imports of goods that carry marks, names or signs suggesting that they are locally produced are 
also prohibited. 
172. Penalties for violation of copyright comprise a fine ranging from JD 1,000 to JD 6,000 and 
imprisonment for up to three years.  Primary r esponsibility for control concerning counterfeiting and 
other copyright infringements lies with Customs and the Jordan Institution for Standards and 
Metrology.  Since 2000, the Copyright Office, which is staffed with 8 officers, has taken legal action 
against almost 2,000 copyright violations, of whic h 357 occurred in 2007.  In 90% of the cases, the 
office acted in its ex-officio en forcement capacity under Article 36 of the Copyright Law.  In 
September 2007, a Jordanian court sentenced a man to three months in prison, the first time anyone in 
the country had been jailed for software piracy.92 
173. Criminal penalties for patent violations are pr ovided for under the patent law; they include 
imprisonment of up to one year and fines of up to JD 3,000.  Enforcement procedures may also 
involve the precautionary seizure of products alleged to  be infringing or likely to infringe the patent.  
The law also provides for the confiscation and destru ction of products and materials used in making 
the product that infringes a patent. 
174. Under the laws on industrial desi gns and models, protection of in tegrated circuits designs, and 
geographical indications, the competent court may order, inter alia , the precautionary seizure, 
confiscation or destruction of the infringing products. 
175. Criminal penalties for infringement of a regist ered trade mark have been strengthened to: 
imprisonment for a minimum of three-months and up to  one year, or a fine of a minimum of JD 100, 
up to JD 3,000.  Infringing goods, packaging, wrapping s, and advertising material may be confiscated 
under a court order. 
                                                      
92 Jordan Times , "Computer system builder to do jail time for software piracy", 18 September 2007.