RESTRICTEDWORLD TRADE
ORGANIZATIONWT/ACC/UKR/59/Add.3
18 August 1999
(99-3470)
Working Party on the
Accession of UkraineOriginal:  English
ACCESSION OF UKRAINE
Addendum
Additional Questions and Replies
The following additional information has been received from the Governmental Commission
on Ukraine's Accession to WTO in answer to Questions No.53 and No.55 of the additional questions
and replies document (WT/ACC/UKR/59/Add.2) and is produced hereunder.
_______________
Regulations on Defining Cost of Works on Certification of Goods and Services1. General Provisions
1.1. All the actually executed works on certification, except for those which are performed by the
state budget funds in accordance with the current legislation, are covered from the funds of
enterprises, organizations, citizens who file applications for the provision of the respective works,
based on their labor intensity and regardless of the decisions made on the basis of their results
[outcome].
1.2. The cost of the work involved in the process of certification shall not exceed 20 per cent of
the cost of the product.
1.3. Certification work performed for foreign clients shall be paid for in compliance with the
current legislation.
2. Calculation Of Cost For Work On Certification Of Goods And Services
2.1. The cost of the certification work on goods and services shall be calculated by the body
performing such work (certification body hereunder called “CB”) on the basis of measuring theamount of work required in terms of one person per day.
2.2. Composition of costs and procedures on calculating the prime cost of one normative day of
CB shall be defined in compliance with the Regulations on Planning, Accounting and Calculating
Prime Cost of Produce (Works, Services) in Industry, approved by the Resolution of the Cabinet ofMinisters of Ukraine of 26 April 1996, No.473.
2.3. In calculating the direct and indirect costs of certification work on goods and services the
following approach shall be used.
2.3.1. The direct costs shall include:WT/ACC/UKR/59/Add.3
Page 2
- Salary costs (principal and additional earnings);
- Contributions for social activities (state social insurance, state pension insurance, etc.);
- Depreciation of fixed assets used in the performance of certification work on goods and
services;
- Costs related to the purchase of materials, fuel, gas, energy, tools, devices, special purpose
cloths and footwear, special purpose food in the cases stipulated by the legislation;
- Costs of maintaining, current repairs, checkup and maintenance of  fixed assets used in the
performance of works on certification of goods and services;
- Fees for communication and security system services;
- Other expenses related to performance of works on certification of goods and services
(reports and registration of certification documents, access fees to Internet, leasing fee, etc.).
2.3.2. The indirect costs shall include general business expenses related to the general business
activities carried out by the CB divided in a way that they are proportionally allocated to the expenses
for paying salaries to the employees involved in work on certification of goods and services. The
indirect costs are calculated on the basis of the accounting data for the previous accounting year.
2.3.3. Business trip expenses, costs for purchasing services from third parties, transportation
services are directly included into the total cost of actually performed works if it is stipulated by the
conditions of an agreement on provision works on certification.
3. Defining Labor Intensivity Of Works On Certification Of Goods And Services
3.1. While conducting certification of goods (services) the following activities shall be paid for:
- Making decision on the application, including identification of certification scheme;
- Selection, identification of samples and their testing;- Evaluation of production process status (if it is stipulated by the certification scheme);
- Analysis of achieved results, and making decision to grant (or refuse) certificate of
conformity;
- Issuance of certificate of conformity, and entering into license agreement;
- Carrying out check-ups of certified products (if it is stipulated by the certification scheme);
- Conducting correcting and adjusting measures if there are any violations in the product
conformity with the established requirements and any incorrect usage of conformity marks;
- Provision of information on certification results.
3.2. Limiting norms on labor intensity and names of works conducted by CB while certifying
particular products are shown in Table 1.
Table 1
Names and Limiting Norms of Labor Intensity of Works
Which Are Performed by CB while Certifying Particular Products
and Are Paid for by Client
Name of Works Limiting Norms of Labor Intensity,
Person per Day
Making decision on the application, including
identification of certification scheme
Receiving, checking and registering the application 0.4
Reviewing documents attached to the application 1.5
Preliminary familiarization with the status of productionWT/ACC/UKR/59/Add.3
Page 3
Name of Works Limiting Norms of Labor Intensity,
Person per Day
process of products under certification 2.0
Defining the certification scheme 0.4
Defining works’ co-executors 1.0
Preparing decision on the application 1.0
Selection, identification of products’ samples and their
testingSelection and identification of products’ samples 1.0
Their testing Payment is made on the basis of
agreement on labor intensity according
to testing program (with commercialviability level in costs’ calculations not
exceeding 20% of prime cost)
Analysis of tests’ minutes [protocols] 1.0
Evaluation of production process status (if it is stipulated
by the certification scheme)
Production process monitoringLabor intensity norms are defined
according to Table 3 with a 0.5
coefficient
Production process attestation Labor intensity norms are defined
according to Table 4
Quality system’s certification Labor intensity norms are defined
according to Table 3
Quality system’s evaluation Labor intensity norms are defined
according to Table 3 with a 0.8coefficient
Analysis of achieved results, and making decision on
granting (or refusal to grant) certificate on conformity
1.0
Issuance of certificate on conformity, and entering intolicense agreement 1.0
Carrying out check-ups of certified productsDrafting check-ups’ program 1.5
Performance of one check-up, including analysis of dataon the quality of certified goods 4.0
Conducting correcting and adjusting measures if there areany violations in products’ conformity with the set
requirements and any incorrect usage of conformity mark
Discontinuation of validity of certificate on conformityand validity of license agreement
0.4
Informing interested parties to certification about such
discontinuation 1.0
Defining deadlines for implementation of adjustingmeasures 1.0
Control over client’s implementation of adjustingmeasures 2.0
Defining new marking for the purposes of telling apartgoods before and after implementation of adjusting
measures 1.0
Informing interested parties to certification aboutimplementation of adjusting measures 0.4WT/ACC/UKR/59/Add.3
Page 4
Name of Works Limiting Norms of Labor Intensity,
Person per Day
Abolishing validity of certificate on conformity and
breaking licensed agreement if the client fails to
implement adjusting measures 0.4
3.2.1. The list of works performed while carrying out certification of a particular product shall be
defined in compliance with the selected certification scheme.
3.2.2. The payment for issuing certificate on conformity, certification on acceptance of foreign
certificate on conformity, attestation of production process, attachments is calculated as 0.1 I min; and
for the copies of these documents this amount will be 0.1 C I min, where C stands for the number of
copies of certificate on conformity; I min stands for the minimum non-taxable income of citizens set by
the current legislation. Apart from that the value of falsification-proof blank forms shall also be paid
for.
3.3. Limiting norms of labor intensity and composition of works performed by CB while
rendering certificate services are shown in Table 2.
Table 2
Names and Limiting Norms of Labor Intensity of Works
Which Are Performed by CB while Certifying Services
and Are Paid for by Client
Name of Works Limiting Norms of Labor Intensity,
Person per Day
Making decision on the application, including
identification of certification scheme
Receiving, checking and registering the application 0.4
Reviewing documents attached to the application 1.5
Preliminary familiarization with the status of production
process of products under certification 1.0
Defining the certification scheme 0.4
Preparing decision on the application 1.0
Conducting service’s testing
Sample testing of service’s results 1.0
Assessment of provider’s skills 0.5
Service provision’s assessment 0.5
Quality system’s certification Labor intensity norms are defined
according to Table 3
Quality system’s evaluation Labor intensity norms are defined
according to Table 3 with a 0.8
coefficient
Production process (enterprise) attestation Labor intensity norms are defined
according to Table 4
Analysis of achieved results, and making decision ongranting (or refusal to grant) certificate on conformity
1.0WT/ACC/UKR/59/Add.3
Page 5
Name of Works Limiting Norms of Labor Intensity,
Person per Day
Issuance of certificate on conformity, and entering into
license agreement 0.5
Carrying out check-ups of certified servicesSelecting check-ups’ program 1.0
Performance of one check-up, including analysis of data
on the quality of certified service 2.0
3.3.1. The list of works performed while carrying out certification of a particular service shall bedefined in compliance with the selected certification scheme.
3.3.2. The payment for issuing certificate on conformity, attachments to it is calculated as 0.1 I
min;
and for the copies of these documents this amount will be 0.1 C I min, where C stands for the number of
copies of certificate on conformity; I min stands for the minimum non-taxable income of citizens set by
the current legislation. Apart from that the value of falsification-proof blank forms shall also be paid
for.
3.3.3. If need be, CB provides consulting services to a client within the scope of its authority which
are paid for under the following scheme: 1 hour [costs] not more than 0.4 I min, where I min stands for the
minimum non-taxable income of citizens set by the current legislation.
3.4. Limiting norms of aggregated labor intensity of works performed by the CB while certifying
quality systems during certification of goods and services depending on the quality system’s modeland number of enterprise’s employees are shown in Table 3.
Table 3
Limiting Norms of Labor Capacity of Works Paid for by Client
During Certification of Quality System Performed within the
Framework of Certification of Goods and Services
Number of employeesLimiting Norms of Labor Intensity
Person per day
(First difficulty group of goods)
At the enterprise, person Quality System’s Model
DSTU ISO9001-95DSTU ISO
9002-95DSTU ISO
9003-95
Up to 100 15.0 10.0 10.0
From 101 to 1000 28.0 23.0 16.0
From 1001 to 5000 53.0 43.0 21.0
From 5001 to 10000 68.0 58.0 28.0
Over 10000 78.0 68.0 38.0
3.4.1. In order to set the limiting norms of labor intensity during certification of quality systems for
second and third difficulty groups the coefficients 1.5 and 2.0 are applied to the limiting norms stated
in Table 3, respectively. See Table 6 for goods difficulty groups.
3.5. Limiting norms of aggregated labor intensity of works performed by the CB during attestation
of production process under certification of goods (services) depending on the difficulty [level of]goods and production processes are shown in Table 4.WT/ACC/UKR/59/Add.3
Page 6
Table 4
Limiting Norms of Labor Intensity of CB Works Paid for by Client
During Attestation of Production Process Conducted within the
Framework of Certification of Goods and Services
Production DifficultyLimiting Norms of Labor Intensity
Person per day
Group according to Goods Difficulty Group according to Table 6
Table 5 1 2 3
1 27.0 30.0 35.0
2 35.0 39.0 51.0
3 45.0 52.0 55.0
4 53.0 55.0 66.0
Table 5
Production Process Difficulty Groups
Production Process Difficulty GroupAverage number of technological operations
during manufacturing of goods (provision of
services)
1
2
3
4Up to 200
From 201 to 2000
From 2001 to 5000
Over 5000
Table 6
Goods Difficulty Groups
Goods Difficulty Group Types of goods
1 Materials (metals, alloys, construction materials, etc.)
Fuel
Oil chemistry, textiles and leather products
Carcass elements and devices’ detailsFoodstuff raw materials
2 General purpose machine-building items
Tools
Electric and radio elements
Furniture
Cloths
Footwear
Foodstuff
3 Machines, equipment
Transportation means
Automation equipment, devices
Radio and electric appliances
Computation equipment
Electric devices and machinesMedical equipmentWT/ACC/UKR/59/Add.3
Page 7
3.6. While conducting mandatory certification of consignment of goods imported to Ukraine the
works actually performed by the CB depending on the composition and contents of documents
submitted by the declaring importer are subject to be paid for.
3.6.1. The names and limiting norms of labor intensity of works on accepting foreign certificates on
conformity while importing consignments of goods to Ukraine are shown in Table 7.
Table 7
Names and Limiting Norms of Labor Intensity of Works on
Mandatory Certification of Consignments of Goods
Imported to Ukraine
Names of Works Limiting Norms of Labor Intensity,
person per day
Checking foreign certificate (sign) of conformity against
samples 0.1
Checking legal authority to use  certificate (sign) ofconformity for the consignment of goods to be imported 0.75
Analysis of documents attesting to safety of goods 1.25
Conducting tests Payment is made on the basis of
agreement on labor intensity in
accordance with testing program
9with commercial viability level notexceeding 20% of prime cost)
Analysis of received results and decision-making ongranting (refusal to grant) certification on accepting foreign
certificate on conformity 0.5
3.6.2. The names and limiting norms of payment for works which can be used during provision of
works on accepting foreign certificates on conformity for goods imported to Ukraine are shown inTable 8.
Table 8
Names and Limiting Norms of Payment for Works Performed
During Mandatory Certification of Imported Goods, and
Registration of Certificate on Conformity
Name of Works Measure Units Payment Norms
Preparing notes (conclusions) for customs
control bodiesHour 4I min
Translating and confirming authenticity of
translation of documents attesting to goods’
safetyPrinted page 8I min
3.6.3. I min stands for the minimum non-taxable income of citizens set by the current legislation.WT/ACC/UKR/59/Add.3
Page 8
Draft Law of Ukraine "On Responsibilities of Suppliers for Manufacturing and Selling Poor
Quality and Hazardous Produce."
This law sets forth the scope of responsibility vested on the goods suppliers for manufacturing
and selling poor quality and hazardous produce.
Article 1 Definition of Terms
The wording of this Law uses the following terms in the following meaning:
- Goods supplier shall be understood as a subject of business and entrepreneurial activities (an
enterprise, establishment, organization belonging to both non-residents and citizens) thatmanufactures produce, markets it on the territory of Ukraine, or takes part in the produce’s marketing;
- Taking part in the produce’s marketing shall be understood as purchasing products marketed
by other supplier and its further selling or transferring to be sold to other suppliers, as well as to
business operators in the sphere of trade, public catering, and to other business operators who wouldsell it to the end customer;
- Produce shall be understood as any products (goods) manufactured locally or imported on the
customs territory of Ukraine, to be consumed or used for manufacturing of other produce, including
semi-finished goods and raw materials, as well as materials used for manufacturing, storing,transportation, selling, packaging, and labeling;
- Poor quality produce shall be understood as a produce that fails to correspond to the
requirements set forth by the currently valid Ukraine’s normative documents for different types of
goods;
- Conformation of produce’s conformity shall be understood as a procedure aimed at
conforming on the basis of documents the conformity of goods with the requirements set forth by the
currently valid Ukraine’s normative documents for different types of goods, information on produce
provided if the produce is being marketed;
- Declaration on conformity shall be understood as a document of set format which
acknowledges the fact that the supplier declared th e produce’s conformity with the requirements set
forth by the currently valid Ukraine’s normative documents for different types of goods, information
on produce provided if the produce is being marketed, as well as that he/ she took a responsibility for
the produce’s conformity with the requirements stated in the declaration;
- Hazardous produce shall be understood as a produce that fails to conform with the mandatory
safety requirements set forth by the currently valid Ukraine’s normative documents, and constitutes
threat to the people’s life and health, property and environment;
- Produce’s marketing shall be understood as manufacturing and importing on the customs
territory of Ukraine products to be sold directly or indirectly on the territory of Ukraine;
- Produce’s turnover shall be understood as produc e’s circulation by way of transferring its
titles from the moment when it’s been marketed until it’s been consumed, used or withdrawn from
circulation;
- Produce’s withdrawal from circulation shall be understood as an actual discontinuation of
produce’s turnover on the basis of the decision made by a supplier or authorized executive bodies
within the scope of their authority;WT/ACC/UKR/59/Add.3
Page 9
- Falsified declaration on conformity shall be understood as a declaration where any or some
items are falsified;
- Certificate on conformity shall be understood as a document granted by the body authorized
by the State Committee of Ukraine on Standardization, Metrology and certification in compliance
with the rules on state certification which acknowledges the fact that the produce is duly identified
and conforms with the currently valid Ukraine’s normative documents.
Article 2 Purview of This Law
The purview of this Law encompasses goods suppliers, except for those trade and public
catering operators who sell goods to the end consumers.
The purview of this Law does not encompass persons who manufacture and taking part in the
turnover of military and industrial complex’s produce, nuclear materials, special fission materials,
other products in the sphere of nuclear energy use; medicines, narcotic substances, psychotropicagents, their analogues and precursors,  as well as those persons who are involved in international
transfer of goods which are subject to state export control.
Article 3 International Treaties of Ukraine
In case if the international treaties of Ukraine whose validity is approved by the Verkhovna
Rada of Ukraine provide for the rules other than th ose which are stipulated by this law, then the
international treaties’ rules are to be applied.
Article 4 Responsibility for Marketing Poor Quality and Hazardous Produce and Taking
Part in Its Turnover
The supplier who markets poor quality and hazardous goods or takes part in its turnover is
fined for:
- Marketing poor quality goods in the amount of up to 25 per cent of sold goods’ value;
- Taking part in poor quality goods’ turnover in the amount of up to 20 per cent of sold goods’
value;
- Marketing hazardous goods in the amount of up to 100 per cent of sold goods’ value;
- Taking part in hazardous goods’ turnover in the amount of up to 75 per cent of sold goods’
value.
Article 5 Responsibility for Harm Caused to Individuals or Trades and Businesses as a
Result of Their Using Poor Quality and Hazardous Produce
The harm caused to an individual or a legal entity [trade or business], to their property as a
result of their using or consuming poor quality and hazardous produce is to be fully reimbursed by the
supplier of this produce in compliance with the procedures set by the legislation.
In cases when the harm was caused as a result of their using or consuming poor quality and
hazardous produce marketed by a number of suppliers, then those suppliers bear joint responsibility
for the caused harm.WT/ACC/UKR/59/Add.3
Page 10
Article 6 Confirmation of Produce’s Conformity with the Requirements of Normative
Documents
The produce’s conformity with the requirements provided for in the normative documents
which set forth the requirements to respective types of products, other information on produce to beprovided if the produce is been marketed should be confirmed by way of declaring the produce’s
conformity by the supplier. It is not allowed to market the produce without having a declaration on
conformity.
As for certain types of products, apart from d eclaring the conformity in compliance with the
legislation the procedure on produce’s certification granted by the certification body accredited and
authorized under the set procedures shall be also applied.
The procedures on confirming authenticity of the declaration on conformity with the help of
certificate on conformity for certain types of products, the form of declaration on conformity, the
procedures of filling it in and registration shall be approved by the Cabinet of Ministers of Ukraine.
Article 7 Responsibility for Selling products without Declaration, as well as Having
Falsified Declaration on Conformity
The supplier is fined in the cases of:
- Selling products without having declaration on conformity in the amount of up to 25 per cent
of sold goods’ value;
- Selling products with a falsified declaration on conformity in the amount of up to 50 per cent
of sold goods’ value.
Article 8 Officials and Their Authority
The authority to impose fines as stipulated by this Law is vested to the officials from state
bodies on supervision over goods’ quality, compliance with standards, norms and rules, [in particular]
chief state inspector of Ukraine responsible for state supervision over goods’ quality, compliance with
standards, norms and rules, his/ her deputies, chief state inspector of the Autonomous Republic ofCrimea, chief state inspectors in oblasts, cities, their deputies, and state inspectors responsible for
state supervision over goods’ quality, compliance with standards, norms and rules (hereunder shall be
called as state inspectors).
State inspectors in accordance with the their terms of reference shall:
- Check whether suppliers possess documents confirming the produce’s conformity;- Check produce’s conformity with records stated in the declaration on conformity or certificate
on conformity;
- Process materials on imposing fines on suppliers of poor quality (hazardous) products in the
cases stipulated by this Law;
- Select samples of products from suppliers to check them for their conformity with standards,
norms and rules.
The value of those samples of products which became unserviceable as a result of [such]
tests, as well as the cost for conducting tests are covered by the products’ supplier.WT/ACC/UKR/59/Add.3
Page 11
State inspectors shall have the right to:
Issue resolutions on recognizing declaration on conformity to be invalid, or on recognizing
certificate on conformity to be invalid, if it wa s acknowledged that the produce fails to conform with
the records stated in the declaration or certificate;
Issue mandatory performance write-ups on correcting violations of stipulated quality and
safety requirements to standards, norms and rules, and on withdrawal from circulation of poor quality
and hazardous goods, as well as products without declaration or certificate on conformity, or with a
falsified declaration on conformity.
Other [types of] authority of state inspectors is provided for in the Decree of the Cabinet of
Ministers of Ukraine “On State Supervision over Compliance with Standards, Norms and Rules, and
Responsibility for Their Violation”.
Officials from other specially authorized executive bodies conduct state control and
supervision over products’ quality and safety within the scope of their authority in compliance withthe legislation.
Article 9 Decisions [Made] in Cases on Suppliers’ Violation of Products’ Quality and
Safety Requirements
Decisions of respective state inspectors on imposing fines shall be performed mandatory by
supplier; they are made on the grounds of supervision results’ document [act], and are issued in the
form of a resolution made in three copies: one copy is left with the supplier, the second one is left
with the body which conducted the supervision, and the third one is submitted to the local state tax
service office at the business location of the supplier for fine payment follow-up.
The fine shall be paid by the supplier within a month after the date when in it was imposed. If
the fine is not paid within the set time frame, it shall be collected by the court of law.
The amount of the paid fine shall be allotted the following way: 70 per cent are transferred to
the state budget, and 30 per cent go to the local budgets.
The decision on imposing fine on the supplier can be appealed under the procedures provided
for by the legislation.
Article 10 Final Provisions
1. This law comes into force as of the day of its publishing.
2. This law’s validity shall not be applied on suppliers of the products marketed prior to this law
coming into force.
3. Normative and legal acts approved prior to this  law coming into force shall be applied to the
extent when they do not contradict this Law.
4. The Cabinet of Ministers of Ukraine shall:
- In a month time submit to the Verkhovna Rada of Ukraine proposals as to amending Laws of
Ukraine based on the provisions of this Law;
- Harmonize its normative and legal acts with this Law;WT/ACC/UKR/59/Add.3
Page 12
- Insure that ministries and other central executive agencies review and abolish their normative
and legal acts which contradict this Law.
__________