Aug 30, 2012

ASEAN - Asean to fully implement self-certification system by 2015

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SIEM REAP: THE Association of South-East Asian Nations (Asean) will fully implement a uniform self-certification scheme by 2015.

The self-certification system allows certified exporters to issue invoice declarations on their own without having to apply for the preferential certificate of origin form from the respective International Trade and Industry Ministry (Miti).

For Malaysia, Miti is the only authorised body to certify preferential certificates of origin for various bilateral and regional free trade agreements signed by Malaysia. With self- certification, the procedures and bureaucracy will be reduced.

This process is trade facilitative and save cost and time.

The first pilot self-certification scheme has been implemented since November 2010. Four Asean member states namely Malaysia, Singapore, Thailand and Brunei are participating in the scheme.

International Trade and Industry Minister Datuk Seri Mustapa Mohamed said the pilot scheme has been extended to end of 2015.

As such Miti will also extend the tenure of the existing 82 certified exporters until December 2015. Miti will also approve additional certified exporters.

"This will be a way forward to enhance speedier movement of goods within the region," Mustapa told Business Times at the sidelines of the 44th Asean Economic Ministers-Asean Free Trade Council meeting in Siem Reap, Cambodia, yesterday.

He said Miti will enhance outreach programmes for the private sector to better understand the rules of origin for preferential trade and the benefits of the various free trade agreements.

The certified exporters are in the following sectors - electrical and electronics, chemicals, plastics, apparels, paper and printing, rubber products and automotive products firms.

They are selected after full verification by Miti and the Customs Department.

This is part of the trade facilitation programme to reduce barriers as well as promote intra-Asean trade.

The Asean economic ministers agreed that by 2015, the self-certification scheme should be implemented by all of Asean's 10-member countries.

Beginning 2016, all 10 countries will apply for the Asean wide self-certification scheme, while the conventional system will still be in place for some time to facilitate new exporters and small and medium enterprises (SMEs) who are not familiar with the rules of origin.

During the meeting, a second separate pilot project on self- certification was also signed, involving another three member states - the Philippines, Indonesia and Laos.

The remaining member nations - Cambodia, Myanmar and Vietnam - prefer to embark on more capacity-building initiatives and to see the benefits of the scheme before coming on board.

Meanwhile, on non-tariff measures, Malaysia once again reiterated that there needs to be a definite mechanism to address complaints from the private sector on the problems faced by them within the region.

There is an agreement now among ministers that any new non-tariff measures introduced by member countries deemed to have an impact on trade will have to be notified to the Asean Secretariat and other member countries in accordance with the notification procedures in the Asean Trade in Goods Agreement.

This has to be enforced.



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