WORLD TRADE  
ORGANIZATION  G/VAL/N/2/ALB/1 
26 November 2007 
 (07-5220) 
Committee on Customs Valuation Original:   English 
  
 
INFORMATION ON IMPLEMENTATION AND ADMINISTRATION OF THE 
AGREEMENT ON CUSTOMS VALUATION 
 
Checklist of issues
 
 
ALBANIA 
 
  The following communication, dated 21 November 2007, is being circulated at the request of 
the delegation of Albania. 
 
_______________ 
 
1. Questions concerning Article 1: 
 
(a) Sales between related persons: 
(i) Are sales between related persons subject to special provisions? 
 Answer
:  
 Sales between related persons are  subject to special provisions, if there are enough reasons  
 that this relationship does influence the price. [according to: Custom Code, Article 34.2 a)]   
 (ii) Is the fact of inter company prices prima facie considered as grounds for regarding the 
respective prices as being influenced? 
 Answer
: 
 Inter company prices are considered as grounds  for regarding the respective prices as being 
influenced.  [according to: Custom Code, Article  34.2 and Implementing Provisions, 
Article 55.1, 55.2]   
 
(iii) What is the provision for giving the communi cation of the afore-mentioned grounds in writing 
if the importer so requests? (Article 1.2(a) )  
 Answer : 
 If, in the light of information provided by th e declarer or otherwise, the customs authorities 
have grounds for considering that the relationshi p influenced the price, they shall communicate 
their grounds to the declarer and he shall be given a reasonable opportunity to respond. If the declarer so requests, the communication of the grounds shall be notified in writing. [Custom 
Code, Article 34.2 a)]   
  G/VAL/N/2/ALB/1 
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  (iv) How has Article 1.2(b) been implemented?  
 Answer
: 
 In a sale between related persons, the tran saction value shall be accepted and the goods 
valued in accordance with paragraph 1 of article 34 (2.b),  wherever the declarer demonstrates 
that such value closely approximates to one of  the following occurring at or about the same 
time:  
• the transaction value in sales, between buyers  and sellers who are not related in any 
case, of identical or similar goods for export to the Republic of Albania; 
• the customs value of identical or simila r goods, as determined under Article 35 (2)(c) 
of the Albanian Customs Code;  
• the customs value of identical or simila r goods, as determined under Article 35 (2)(d) 
of the Albanian Customs Code.  
 
 In applying the foregoing criteria, due account shall be taken of demonstrated differences in 
commercial levels, quantity levels, the elements  enumerated in Article 37 of the Albanian 
Customs Code, and costs incurred by the seller in sales in which he and the buyer are not 
related and where such costs are not incurred by the seller in sales in which he and the buyer 
are related. [Custom Code, Article 34.2 b)]  
 
(b) Price of lost or damaged goods: 
 Are there any special provisions or practical arrangements concerning the valuation of lost or 
damaged goods?  
 Answer
:  
 Apportioning the price actually paid or payable shall also apply in the case of the loss of part 
of the consignment or when the goods being valu ed have been damaged before entry into free 
circulation.  [Implementing Provisions, Article 57.2]  
 
2. How has the provision of Article 4 to allo w the importer an option to reverse the order 
of application of Articles 5 and 6 been implemented? 
Answer : 
[Custom Code, Article 34.2 b)]  
Alternative methods  
 Where the customs value may not be determined  under Article 34, it is to be determined by 
proceeding sequentially through subp aragraphs (a), (b), (c) and (d) of paragraph 2 to the first 
subparagraph under which it ma y be determined, subject to the provi sions that the order of application 
of subparagraphs (c) and (d) shall be  reversed if the declarer so requ ests; it is only when such value 
may not be determined under a partic ular subparagraph that the provisi ons of the next subparagraph in 
a sequence established by virtue of  this paragraph may be applied. 
 
 The customs value determined under this Article shall be:  a) the transaction value of identical goods so ld for export to the Republic of Albania and 
exported at or about the same time as the goods being valued; 
 b) the transaction value of similar goods sold for export to the Republic of Albania and 
exported at or about the same time as the goods being valued;  G/VAL/N/2/ALB/1 
 Page 3 
 
 
   c) the value based on the unit price at whic h the imported goods for identical or similar 
imported goods are sold within the Republic of Albania in the greatest aggregate quantity to persons not related to the sellers; 
 d) the computed value, consisting of the sum of:   i) the cost or value of materials and fabrication or other processing employed in 
 producing the imported goods, 
  ii) an amount for profit and general expe nses equal to that usually reflected in 
 sales of goods of the same class or kind as the goods being valued which are  made by producers in the country of exportation for export to the Republic of  Albania, 
  iii) the cost or value of the items referred to in Article 37 (1)(e).   
 
[Implementing Provisions of  Customs Code, Article 62] 
62.1. In applying Article 35(2)(a) of the Code (the transaction value of identical goods), the 
customs value shall be determined by reference to the transaction value of identical goods in a sale at 
the same commercial level and in substantially th e same quantity as the goods being valued. Where no 
such sale is found, the transaction value of identical  goods sold at a different commercial level and/or 
in different quantities, adjusted to take account of differences attributable to  commercial level and/or 
to quantity, shall be used, provided that such adju stments can be made on the basis of demonstrated 
evidence which clearly establishes the reasonableness and accuracy of  the adjustment, whether the 
adjustment leads to an incr ease or a decrease in the value. 
62.2. Where the costs and charges referred to in Article 37(1)(e) of the Code are included in the 
transaction value, an adjustment shall be made to take account of significant differences in such costs 
and charges between the imported goods and the iden tical goods in question arising from differences 
in distances and modes of transport. 
62.3. If, in applying this Point, more than on e transaction value of identical goods is found, the 
lowest such value shall be used to dete rmine the customs value of the imported goods. 
62.4. In applying this Point, a transaction value for goods produced by a different person shall be 
taken into account only when no transaction value can be found under paragraph 1 for identical goods 
produced by the same person as the goods being valued. 
62.5. For the purposes of this Point, the tran saction value of identical imported goods means a 
customs value previously determined under Article  34 of the Code, adjusted as provided for in 
paragraphs 1 (b) and 2 of this Point. 
[Implementing Provisions of  Customs Code, Article 63] 
63.1. In applying Article 35(2)(b) of the Code (t he transaction value of similar goods), the customs 
value shall be determined by reference to the tran saction value of similar goods in a sale at the same 
commercial level and in substantially the same quantity as the goods being valued. Where no such 
sale is found, the transaction value of similar goods sold at a different commercial level and/or in 
different quantities, adjusted to take account of diffe rences attributable to commercial level and/or to 
quantity, shall be used, provided that such adjust ments can be made on the basis of demonstrated 
evidence which clearly establishes the reasonableness and accuracy of  the adjustment, whether the 
adjustment leads to an incr ease or a decrease in the value. 
63.2. Where the costs and charges referred to in Article 37(1)(e) of the Code are included in the 
transaction value, an adjustment shall be made to take account of significant differences in such costs G/VAL/N/2/ALB/1 
Page 4  
 
  and charges between the imported goods and the sim ilar goods in question arising from differences in 
distances and modes of transport. 
63.3. If, in applying this Point, more than one transaction value of similar goods is found, the 
lowest such value shall be used to dete rmine the customs value for the imported goods. 
63.4. In applying this Point, a transaction value for goods produced by a different person shall be 
taken into account only when no transaction valu e can be found under paragr aph 1 for similar goods 
produced by the same person as the goods being valued. 
63.5. For the purposes of this Point, the tran saction value of similar imported goods means a 
customs value previously determined under Article  34 of the Code, adjusted as provided for in 
paragraphs 1 (b) and 2 of this Article. 
[Implementing Provisions of  Customs Code, Article 64] 
64.1. a)  If the imported goods or identical or similar imported goods are sold in the Republic 
of Albania in the condition as imported, the cu stoms value of imported goods, determined in 
accordance with Article 35(2)(c) of the Code, sh all be based on the unit price at which the 
imported goods or identical or similar imported goods are so sold in the greatest aggregate 
quantity, at or about the time of the importati on of the goods being valued, to persons who are 
not related to the persons from whom they buy such goods, subject to deductions for the 
following: 
i)  either the commissions usually paid or agreed to be paid or the additions usually 
made for profit and general expenses (including the direct and indirect costs of marketing the goods in question) in connec tion with sales in the Republic of Albania 
of imported goods of the same class or kind; 
ii)  the usual costs of transport and insura nce and associated costs incurred within the 
  Republic of Albania; 
iii)  the import duties and other charges payable in Albania by reason of the importation 
  or sale of the goods. 
b) If neither the imported goods nor identical goods nor similar imported goods are sold at or 
about the time of importation of the goods bei ng valued, the customs value of imported goods 
determined under this Point shall, subject othe rwise to the provisions of paragraph 1(a), be 
based on the unit price at which the imported goods or identical or similar imported goods are sold in the country in the condition as imported at  the earliest date after the importation of the 
goods being valued but before the expirati on of 90 days after such importation. 
64.2. If neither the imported goods nor identical nor  similar goods are sold in the country in the 
condition as imported, then, if the importer so requ ests, the customs value sh all be based on the unit 
price at which the imported goods, after further processing, are sold in the greatest aggregate quantity to persons in the country who are not related to  the persons from whom they buy such goods, due 
allowance being made for the value added by such  processing and the deductions provided for in 
paragraph 1(a). 
64.3. For the purposes of this Point, the unit price at which imported goods are sold in the greatest 
aggregate quantity is the price at which the greatest nu mber of units is sold in sales to persons who are 
not related to the persons from whom they buy such goods at the first commercial level after 
importation at which such sales take place.  G/VAL/N/2/ALB/1 
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  64.4. Any sale in the country to a person who supplies directly or indirectly free of charge or at 
reduced cost for use in connection with the pr oduction and sale for export of the imported goods any 
of the elements specified in Article 37(1)(b) of the Code should not be taken into account in 
establishing the unit price for the purposes of this Point.  
64.5. For the purposes of paragraph 1(b), the “earliest date”  shall be the date by which sales of the 
imported goods or of identical or similar importe d goods are made in sufficient quantity to establish 
the unit price.  
[Implementing Provisions of  Customs Code, Article 65] 
 65.1. In applying Article 35 (2)(d) of the Code (computed value), the customs authorities may not 
require or compel any person not resident in the Re public of Albania to produce for examination, or to 
allow access to, any account or other record for th e purposes of determining this value. However, 
information supplied by the producer of the goods for the purposes of determining the customs value 
under this Point may be verified in a foreign country  by the customs authoriti es with the agreement of 
the producer and provided that such authorities give sufficient advance notice to the authorities of the 
country in question and the latter do not object to the investigation.  65.2. The cost or value of materials and fabrication referred to in the first indent of Article 35 (2)(d) 
of the Code shall include the cost of elements speci fied in Article 37 (1)(a)(ii) and (iii) of the Code. 
 
65.3. It shall also include the value, duly apporti oned, of any product or service specified in Article 
37 (1)(b) of the Code which has been supplied directly  or indirectly by the buyer for use in connection 
with the production of the imported goods. The value of the elements specified in Article 37 (1)(b)(iv) 
of the Code which are undertaken in the Republic of Albania shall be included only to the extent that 
such elements are charged to the producer. 
 65.4. Where information other than that supplied by  or on behalf of the producer is used for the 
purposes of determining a computed value, the cust oms authorities shall inform the declarer, if the 
latter so requests, of the source of such informati on, the data used and the calculations based on such 
data, subject to Article 25 of the Code. 
 
65.5. The “general expenses”  referred to in the second indent of Article 35 (2)(d) of the Code, 
cover the direct and indirect costs of produc ing and selling the goods for export which are not 
included under the first indent of Article 35 (2)(d) of the Code.  3. How has Article 5.2 been implemented? 
Answer
:  
[Implementing Provisions of Customs Code, Article 64 b)] 
 
 If neither the imported goods nor identical goods nor similar imported goods are sold at or 
about the time of importation of the goods bein g valued, the customs value of imported goods 
determined under this Point shall, subject otherwise to  the provisions of paragraph 1 (a), be based on 
the unit price at which the imported goods or iden tical or similar imported goods are sold in the 
country in the condition as imported at the earliest  date after the importation of the goods being 
valued but before the expiration of 90 days after such importation. ¨  [Implementing Provisions of Customs Code, Article 65.1] 
 
 In applying Article 35 (2)(d) of the Code (computed value), the customs authorities may not 
require or compel any person not resident in the Re public of Albania to produce for examination, or to G/VAL/N/2/ALB/1 
Page 6  
 
  allow access to, any account or other record for th e purposes of determining this value. However, 
information supplied by the producer of the goods for the purposes of determining the customs value 
under this Point may be verified in a foreign country  by the customs authoriti es with the agreement of 
the producer and provided that such authorities give sufficient advance notice to the authorities of the 
country in question and the latter do not object to the investigation.  
 
4. How has Article 6.2 been implemented? 
Answer
:  
[Implementing Provisions of Cust oms Code, Article 65.1]     
  
65.1. In applying Article 35 (2)(d) of the Code (computed value), the customs authorities may not 
require or compel any person not resident in the Re public of Albania to produce for examination, or to 
allow access to, any account or other record for th e purposes of determining this value. However, 
information supplied by the producer of the goods for the purposes of determining the customs value 
under this Point may be verified in a foreign country  by the customs authoriti es with the agreement of 
the producer and provided that such authorities give sufficient advance notice to the authorities of the 
country in question and the latter do not object to the investigation.  
5. Questions concerning Article 7: 
(a) What provisions have been made for making va lue determinations pursuant to Article 7? 
 Answer
:  
 [Custom Code, Article 36)] 
 
 1.  Where the customs value of imported goods may not be determined under Articles 34 
or 35, it shall be determined on the basis of data available in the Republic of Albania, using 
reasonable means, in accordance with: 
  
 a) the Agreement for the application of Artic le VII of the General Agreement on Tariffs   
  and Trade;  b) Article VII of the General Agreement on Tariffs and Trade; 
 c) dispositions of this Chapter.  
 2.  When the paragraph 1 is applied, th e customs value can not be determined on the 
basis of the following:  
   a) the selling price in the Republic of Al bania of goods produced in the Republic of 
 Albania; 
 b) a system which provides for the acceptan ce for customs purposes of the higher of two 
 alternative values; 
 c) the price of goods on the domestic market of the country of exportation;  d) the cost of production, other than comp uted values which have been determined for 
 identical or similar goods in accordance with Article 35 (2)(d); 
 e) prices for export to another country; 
 f) minimum customs values; or 
 g) arbitrary or fictitious values.   G/VAL/N/2/ALB/1 
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  (b) What is the provision for informing the impor ter of the customs value determined under 
Article 7? 
 Answer : 
 [Implementing Provisions of  Customs Code, Article 81] 
 
 81.1.  The customs authorities must  not determine the customs value of imported goods on 
the basis of the transaction value method if, in accordance with the procedure set out in 
paragraph 2, they are not satisfied, on the basi s of reasonable doubts, that the declared value 
represents the total amount paid or payable as referred to in Article 34 of the Code. 
 
 81.2.  Where the customs authorities have th e doubts described in paragraph 1 they may ask 
for additional information in accordance para graph 3. If those doubts continue, the customs 
authorities must, before reaching a final decisi on, notify the person concerned, in writing if 
requested, of the grounds for those doubts and pr ovide him with a reasonable opportunity to 
respond. A final decision and the grounds theref ore shall be communicated in writing to the 
person concerned. 
 
 [Custom Code, Article 18.3] 
 
 Decisions taken and notified to the appli cant by the customs authorities in writing which 
either reject requests or are detrimental to th e persons to whom they are addressed, shall set 
out the grounds on which they are based. They shall refer to the right of appeal provided for 
in article 19 and 20 of this Code. 
 (c) Are the prohibitions found in Article 7.2 delineated? 
 Answer
:  
 [Custom Code, Article 36.2] 
 
 No customs value shall be determined under th e provisions of this Article on the basis of:  
  (a) the selling price in the country of im portation of goods produced in such country;  
 (b) a system which provides for the acceptan ce for customs purposes of the higher of two 
alternative values;  
 (c) the price of goods on the domestic ma rket of the country of exportation;  
 (d) the cost of production other than comput ed values which have been determined for 
identical or similar goods in accordance  with the provisions of Article 6;  
 (e) the price of the goods for export to a coun try other than the country of importation;  
 (f) minimum customs values;  or  
 (g) arbitrary or fi ctitious values.  
               
6. How have the options found in Article 8.2 been handled?  In the case of f.o.b. 
application, are ex-factor y prices also accepted? 
Answer
: 
[Custom Code, Article 37 e)] 
Elements to be added 
 
 In determining the customs value under Article 34, there shall be added to the price actually 
paid or payable for the imported goods: 
 G/VAL/N/2/ALB/1 
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  c) to the place of introduction into the cust oms territory of the Republic of Albania: 
  (i)  the cost of transport and insurance of the imported goods, and   (ii)  loading and handling charges associated with the transport of the imported    goods  -    In case of fob application ex-factory prices are also accepted.  
 
7. Where is the rate of exchange published, as required by Article 9.1? 
Answer
: 
[Custom Code, Article 40.3]  
  When there is a need to determine the custom s value of imported goods and it is expressed in 
a currency other than Albanian Lek, the following procedure shall be used:  a) New exchange rates shall be determined each month, with the exception mentioned in 
paragraph 3(d); 
b) Exchange rates shall be valid from the 6 of a month to the 5 of the following month; 
c) The rate of exchange to be used shall be the exchange rate published by the Bank of Albania 
on the last working day of the month before  the period mentioned in paragraph 3(b); 
d) Where a rate of exchange published by the Ba nk of Albania differs by 5% or more from the 
rate  decided in accordance with paragraph 3(c)  for use in accordance with paragraph 3(b), it 
shall  replace the latter rate  and enter into use from the second working day following its 
publication as the rate to be used for the appli cation of Article 27 for the rest of that period. 
 
8. What steps have been taken to ensure confidentiality, as required by Article 10? 
Answer
: 
[Custom Code, Article 25] 
Confidentiality of information 
 
 All information which is by nature confidentia l or which is provided on a confidential basis 
shall be covered by the obligation of professional secr ecy. It shall not be disclosed by the customs 
authorities without the express permission of the pe rson concerned or authority providing it. The 
communication of information shall be permitted where the customs authorities may be obliged or 
authorized to do so in the context of judicial proceedings  according to the provisions in force, 
particularly in respect of data protection.   
9. Questions concerning Article 11: 
(a) What rights of appeal are open to the importer or any other person? 
 Answer
: 
[Custom Code, Article 18.3] 
 
 Decisions taken and notified to the appli cant by the customs authorities in writing which 
either reject requests or are detrimental to th e persons to whom they are addressed, shall set 
out the grounds on which they are based. They shall refer to the right of appeal provided for 
in article 19 and 20 of this Code. 
 
[Custom Code, Article 289.2] 
 
 The person concerned may lodge a justified appeal against the decision of the customs 
authorities referred to in paragraph 1, to the Di rector General of Customs within 5 days from  G/VAL/N/2/ALB/1 
 Page 9 
 
 
  the date of notification. If the person con cerned does not pay the amount mentioned in 
paragraph 1, and does not lodge an appeal to the Director General, the customs authorities 
take all the measures to proceed with collec tion of the amount of the customs debt and the 
fine, according to the provisions provided for in Article 245 of this Code. 
 
[Custom Code, Article 289.4]  
 The Director General shall take a decision within 30 days from the date the appeal was 
received. The Director General notifies the decision to the interested person and the competent customs authority. 
 
(b) How is he to be informed of his right to further appeal?  
 Answer
: 
 [Custom Code, Article 18.3] 
 
 Decisions taken and notified to the appli cant by the customs authorities in writing which 
either reject requests or are detrimental to th e persons to whom they are addressed, shall set 
out the grounds on which they are based. They shall refer to the right of appeal provided for in article 19 and 20 of this Code. 
 
[Custom Code, Article 289.5]  
 
 When the appeal is rejected, the appellant sha ll pay the rest of the fine, 60%, and may appeal 
against the definitive decision of the Director Ge neral at the juridical authorities within 30 
days from the date of the notification of the rej ection of the appeal by the customs authorities.  
 
10. Provide information on the publication, as required by Article 12, of: 
(a)   
(i) the relevant national laws; 
(ii) the regulations concerning the ap plication of the Agreement; 
(iii) the judicial decision and administrative rulings of general application relating to the 
Agreement;  
(iv) general or specific laws being referred to in the rules of implementation or application. 
 
(b) Is the publication of further rules anticipated?  Which topics would they cover? 
 Before entering into force, laws and governme nt decisions in relation to the implementation 
of customs valuation are published in the Offici al Journal of the Republic of Albania. Other 
rules and administrative decisions are published in  the web site of the General Directory of 
Customs, before entering into force and at the time of entering into force.  
 
11. Questions concerning Article 13: 
(a) How is the obligation of Article 13 (last sen tence) being dealt with in the respective 
legislation? G/VAL/N/2/ALB/1 
Page 10  
 
   Answer
:  
If, in the course of determining the customs value of imported goods, it becomes necessary to 
delay the final determination of such cust oms value, the importer of the goods shall 
nevertheless be able to withdraw them fro m customs if, where so required, the importer 
provides sufficient guarantee in the form of a surety, a deposit or some other appropriate 
instrument, covering the ultimate payment of  customs duties for which the goods may be 
liable.   
 
(b) Have additional explana tions been laid down? 
 Answer : 
Manual No 6, of 08/10/1999 of General Directorate of Customs, and decree of Minister of 
Finance No 3612, of 21/07/1999 "On guarantee maintenance". 
 
12. Questions concerning Article 16: 
(a) Does the respective national legislation contai n a provision requiring customs authorities to 
give an explanation in writing as to how the customs value was determined? 
 Answer : 
[Custom Code, Article 18.3] 
 
 Decisions taken and notified to the appli cant by the customs authorities in writing which 
either reject requests or are detrimental to th e persons to whom they are addressed, shall set 
out the grounds on which they are based. They shall refer to the right of appeal provided for 
in article 19 and 20 of this Code. 
 
 [Implementing Provisions of Customs Code, Article 81.2] 
   Where the customs authorities have the doubts described in paragraph 1 they may ask for 
additional information in accordance paragra ph 3. If those doubts continue, the customs 
authorities must, before reaching a final decisi on, notify the person concerned, in writing if 
requested, of the grounds for those doubts and pr ovide him with a reasonable opportunity to 
respond. A final decision and the grounds theref ore shall be communicated in writing to the 
person concerned. 
 
(b) Are there any further regulations concerning an above-mentioned request? 
 Answer
:  
 
Other Regulations: Decree No 1 of 27/01/2006 "On customs value analysis" where the importer with his request, 
should be notified in written form.  
 
13. How have the Interpretative Notes of the Agreement been included? 
Answer
:  
All the Interpretative Notes of the Agreement ar e included in a separate annex of the Customs 
Code.  
  G/VAL/N/2/ALB/1 
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  14. How have the provisions of the Decision on the Treatment of Interest Charges in the 
Customs Value of Imported Goods been implemented? 
Answer :  
[Custom Code, Article 38 c)] 
 
 Provided that they are shown separately from the price actually paid or payable for the 
imported goods, the following shall not be included in the customs value:  
 a) charges for interest under a financing arrangement entered into by the buyer and 
relating to the purchase of imported goods, irrespective of whether the finance is provided by the seller or another person, pr ovided that the financing arrangement has 
been made in writing and where required, the buyer may demonstrate that: 
  i. such goods are actually sold at the pr ice declared as the price actually paid or 
   payable, and 
ii. the claimed rate of interest does not  exceed the level for such transactions 
prevailing in the country, where, and at the time when, the finance was 
provided;  
 
15. For those countries applying paragraph 2 of the Decision on the Valuation of Carrier 
Media Bearing Software for Data Processing E quipment, how have the provisions of this 
paragraph been implemented? 
Answer
:  
[Custom Code, Article 39] Customs value of information carrier media  
 Specific rules to determine the customs value of carrier media for use in data processing 
equipment and bearing data or instructions are laid  down in the Implementing Provisions of this Code. 
 
[Implementing  Provisions of  Customs Code, Article 79] 
 
 Notwithstanding Articles 34 to 38 of the Code , in determining the customs value of imported 
carrier media bearing data or instructions for use in  data processing equipment, only the cost or value 
of the carrier medium itself shall be taken into account. The customs value of imported carrier media 
bearing data or instructions shall not, therefore, incl ude the cost or value of the data or instructions, 
provided that such cost or value is distinguished from the cost or value of the carrier medium in 
question. 
__________