WORLD TRADE  
ORGANIZATION  G/VAL/W/166 
13 November 2007 
 
 (07-4933) 
Committee on Customs Valuation Original:   English 
  
 
NOTIFICATIONS UNDER ARTICLE 22 OF THE CUSTOMS  
VALUATION AGREEMENT 
 
Questions from the United States regarding Egypt's Legislation 
 
 
 
 The following communication, dated 6 No vember 2007, has been received from the 
delegation of the United States.  It contains questi ons which were posed to the delegation of Egypt for 
the record of the meeting of the Committee on Customs Valuation held on 18 October 2007.    
 
_______________ 
  
 We have reviewed the provisions of the cu stoms valuation text notified by Egypt and 
circulated in G/VAL/N/1/EGY/1.  This document includes Articles 22 and 23 of Customs Law no. 95/2005 amending Customs Law No. 66 of the y ear 1963 (Customs Law) and Articles 14-35 of 
the Ministry of Finance Ministerial Decree no. 10 for year 2006 for the Promulgation of Executive 
Regulations Pursuant to Customs Law No. 66 for the year 1963 (Ministerial Decree).  
  We have also reviewed Egypt’s responses to the Checklist of Issues set forth in 
G/VAL/N/2/EGY/1.   
 
 Based on this review, we have the follo wing comments/questions regarding Egypt’s 
implementation of certain provisions of the Agr eement on Implementation of Article VII of the 
GATT 1994 (WTO Customs Valuation Agreement).  The United States would be grateful for 
responses to these questions (which would be pleased to  also provide in writing)  by the next meeting 
of the Committee. 
 
1. Articles 2 and 3, Transaction Value of Identical or Similar Goods 
 Definitions of “Identical Goods” and “Similar G oods” relevant to the application of Articles 2 
and 3 of the WTO Customs Valuation Agreement, are contained in Article 15 of the Agreement.  The 
Egyptian law does not appear to include any defini tions of these terms.  Are definitions included 
elsewhere?  
 
2. Article 8 Adjustments to Price Actually Paid or Payable  
 Article 8.1(b) provides for the addition of certain specified goods and services, apportioned 
as appropriate.  
  Although Article 14, Ministerial Decree, provid es for these additions, there is no reference to 
apportioning the value of these goods and services.   Is this provided for elsewhere?   
 G/VAL/W/166 
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  3. Article 11, Right of Appeal Without Penalty  
 Article 11 of the WTO Valuation Agreement requi res, among other things, that the legislation 
of each Member provide for the right of appeal, with out penalty, of a determ ination of customs value 
to a judicial authority.   
 Article 34 of the Ministerial Decree provides fo r the right of appeal to “the relevant post 
manager, general director or head of central dir ectorate before restoring to arbitration.”     
  Can an importer or other person liable for the payment of the duty appeal a customs value determination to a judicial authority?  If so, where in Egyptian law is this provided?    
 
4. Article 12, Publication 
 Article 12 of the WTO Valuation Agreement requi res that laws, regulations, judicial decisions 
and administrative rulings of general application giving effect to the Agreement be published in 
conformity with Article X of GATT 1994.   
 
 In Doc. G/VAL/N/2/EGY/1, Egypt states that th e judicial decisions and administrative rulings 
are not generally published.  Does Egypt publis h its laws, regulations, judicial decisions and 
administrative rulings of general application relate d to customs valuation?  If not, how does Egypt 
comply with its WTO commitments under GATT Article X and Article 14 of the Customs Valuation Agreement? 
 
5. Article 13, Release of Goods upon Sufficient Guarantee 
 Article 13 of the WTO Valuation Agreement requi res that if, in the course of determining the 
customs value of an imported good it becomes necessar y to delay the final determination of customs 
value, goods shall be released to the importer upo n provision of a sufficient guarantee.  Article 31, 
Ministerial Decree, states that goods “may” be releas ed at the importer’s request after submission of a 
financial guarantee.   What are the situations in which Egyptian Cu stoms requires the importer to submit a financial 
guarantee?  Are these situations limited to cases falling under Article 13, where there is a delay in the 
final determination of the customs value of the goods, or are there other situations in which a 
guarantee is required?  In cases falling under Article 13,  if the importer submits a financial guarantee, 
are there circumstances in which goods would not be released ? 
 
6. Article 14 Interpretative Notes 
 A review of the Customs Law and the Ministerial Decree indicates that Egypt has 
incorporated only a few of the Interpretative Notes.  Many important provisions, such as the use of 
Generally Accepted Accounting Principles (GAAP) (Gen eral Note), the definition of “price actually 
paid or payable” (Note to Article 1), the explanation regarding the circumstances of sale test set forth 
(Note to Article 1), the proper application of Artic les 5 and 6 (Notes to Articles 5 and 6), the proper 
application of the Article 8 adjustments, including  details about apportionmen t (Note to Article 8), 
have not been included.   
 
 Egypt states in G/VAL/N/2/EGY/1, paragraph 13, that:      no specific provision has been made regarding th e implementation of this article (i.e., Article 
14). However, it is a general understood concep t under the Egyptian constitution that all of 
the elements of the customs valuation agreement, having been ratified by the Peoples’  G/VAL/W/166 
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  Assembly in 1995 and the relevant Presidentia l Decree no. 72 for year 1995 published in the 
national gazette in 12/6/1995, tak es primacy over the national laws.  
  In view of the fact that the Interpretative Notes are integral to the proper implementation of 
the Agreement, the inclusion of some, and absence of other, interpretative notes in the Customs Law 
or the Ministerial Decree, regulations or elsewhere raises transparency concerns.  Does Egypt have 
any plans to incorporate them?     Used Cars:    
 Article 29 of the Ministerial Decree provides sp ecial rules for determining the value of used 
cars imported for personal or private use.  Does Egyp t determine the value of used cars based on the 
FOB value?  Is this value based on the price actually paid or payable by the buyer?  If not, how is it determined?  
 
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