Annexure-III - Procedure regarding claim of preferential tariff treatment and certificate of origin of Goods. - Customs Tariff (Determination of Origin of Goods Under the Preferential Trade Agreement Between the Governments of the Republic of India and Malaysia) Rules, 2011

Annexure-III (see rule 14) Procedure regarding claim of preferential tariff treatment and certificate of origin of Goods 1. Issuing authorities.- (1) The certificate of origin shall be issued in the format provided in Annexure-IV to these rules, by authorities designated by the exporting Party and shall be referred to individually as Issuing Authority or collectively as Issuing Authorities . (2) Each Party shall provide, electronically or otherwise, original sets of specimen signatures and specimen of official seals used by their issuing authorities, including their names and addresses to the other Party and any subsequent change in names, addresses, specimen signatures or official seals shall be promptly informed to the other Party in the same manner. (3) For the purpose of determining originating status, an Issuing Authority shall have the right to call for any supporting documentary evidence or to carry out any check considered appropriate. Explanation.- For the purposes of sub-paragraph (1), the Ministry of Commerce and Industry, Government of India shall designate the Issuing Authority for the purposes of export of goods from India. 2. Application for certificate of origin.- (1) The exporter or the producer of the goods satisfying the criteria of preferential tariff treatment under these rules shall apply in writing to the relevant Issuing Authorities requesting for pre-exportation verification of the origin of the goods and the result of such verification, subject to review periodically or whenever appropriate, shall be accepted as the supporting evidence in verifying the origin of the said goods to be exported thereafter: Provided that the pre-exportation verification may not apply to the goods of which, by their nature, origin can be easily verified. (2) At the time of carrying out the formalities for exporting the goods under preferential tariff treatment, the exporter or producer or their authorised representative shall submit a written application to the relevant Issuing Authority for the issue of the certificate of origin together with appropriate supporting documents proving that the goods to be exported qualify for the issuance of a certificate of origin. 3. Pre-exportation examination.- (1) The Issuing Authority shall, to the best of their competence and ability, carry out proper examination upon each application for the certificate of origin to ensure the following, namely:- (a) the application and the certificate of origin are duly completed and signed by the exporter or producer or their authorised signatory; (b) the origin of the goods is in conformity with the rules; (c) the other statements of the certificate of origin correspond to supporting documentary evidence submitted; and, (d) the description, quantity and weight of goods, marks and number of packages, as specified, conform to the goods to be exported. 4. Format of certificate of origin.- (1) The certificate of origin shall be in a printed format on an ISO size paper or on any other medium, including electronic format and shall be completed in English in conformity with the specimen and the instructions contained therein as set out in the Annexure-IV attached to these rules. (2) No erasures or superimpositions shall be made on the certificate of origin and any alteration shall be made by striking out the error and making any addition required: Provided that such alterations shall be approved and certified by the officer authorised to sign the certificate of origin on behalf of the relevant Issuing Authority: Provided further that any unused spaces shall be crossed out to prevent any subsequent addition. (3) The certificate of origin shall comprise one original and one duplicate copy and each certificate of origin shall bear a reference number given separately by each place or office of issuance of a Party. 5. Issuance of certificate of origin.- (1) The Issuing Authority of the exporting Party shall issue the certificate of origin at the time of exportation, or within three working days from the date of shipment, if the goods to be exported can be considered originating in that Party in accordance with these rules: Provided that where a certificate of origin has not been issued at the time of exportation or within three working days from the date of shipment due to involuntary errors or omissions or other valid reasons, the certificate of origin may be issued retroactively but not later than nine months from the date of shipment. (2) The Issuing Authority of the exporting Party shall indicate in box 8 of the certificate of origin, the relevant criteria, mentioned in the rules, under which the goods qualify as originating. (3) The Issuing Authorities shall retain the duplicate copy and shall provide the original to the exporter who shall forward it to the importer for submission to the customs authority at the port or place of importation. (4) In the event of theft, loss or destruction of a certificate of origin, the exporter or producer or their authorised representative may apply in writing to the Issuing Authority which issued it, for the certified true copy of the original on the basis of the export documents in their possession and the copy so issued shall bear the endorsement CERTIFIED TRUE COPY in box 12 and bear the date of the original certificate of origin: Provided that the certified true copy of a certificate of origin shall be issued within the validity period of the original certificate of origin. 6. Presentation of certificate of origin.- (1) The original certificate of origin shall be submitted to the customs authority of the importing Party at the time of filing the import declaration for the goods covered under the said certificate. (2) In cases where the certificate of origin is not accepted by the customs authority of the importing Party, the customs authority may deny preferential tariff treatment on the imported goods and shall mark accordingly in box 4 of the certificate of origin and return the original certificate of origin to the Issuing Authority along with the notification of the grounds for denial of the preferential tariff treatment within a reasonable period, but not exceeding two months from the date of filing of import declaration. (3) On receipt of the notification from the customs authority of the importing Party as per sub-paragraph (2), the concerned Issuing Authority shall send detailed clarification addressing such grounds for denial of preferential tariff treatment, within two months from the receipt of such notification and on receipt of the clarification, the customs authority of the importing Party, on being satisfied with such clarification, shall reinstate the preferential tariff treatment. (4) The customs authority of the importing Party may suspend the provision of preferential tariff treatment on the imported goods in case of reasonable doubt as to the authenticity or accuracy of the certificate of origin and may request the Issuing Authority of the exporting Party to conduct a retroactive check prior to grant of preferential tariff treatment under this agreement. (5) The customs authority of the importing Party may request an importer for information or documents relating to the origin of imported goods in accordance with its domestic laws and regulations before requesting the retroactive check pursuant to sub-paragraph (4). (6) The customs authority of the importing Party shall in case of denial of preferential tariff treatment under sub-paragraph (2), or suspension under sub-paragraph (4), release the goods to the importer subject to any administrative measures deemed necessary: Provided that the goods shall not be released if they are held subject to import prohibition or restriction and if there is no suspicion of fraud. (7) Multiple items declared on single invoice and single certificate of origin shall be allowed, provided that each item qualifies as originating goods separately in its own right in accordance with these rules. 7. Validity of the certificate of origin.- (1) The validity of the certificate of origin shall be twelve months from the date of its issuance and the certificate of origin shall be submitted to the customs authority of the importing Party within its period of validity. (2) When the certificate of origin is submitted to the customs authority of the importing Party after the expiration of its period of validity, such certificate of origin is still to be accepted when failure to observe the time limit results from force majeure or other valid reasons beyond the control of the exporter: Provided that in all cases, the customs authority of the importing Party may accept such certificate of origin provided that the goods have been imported before the expiry of the validity period of the said certificate of origin. 8. Discrepancies in the certificate of origin.- (1) Where the origin of goods is not in doubt, the discovery of minor discrepancies between the statements made in the certificate of origin and those made in the documents submitted to the customs authority of the importing Party for the purpose of carrying out the formalities for importing the goods, shall not, ipso facto, invalidate the certificate of origin, if it does in fact correspond to the said goods. (2) For multiple goods declared under the same certificate of origin, a problem encountered with one of the goods listed shall not affect or delay the granting of preferential tariff treatment and customs clearance of the remaining goods listed in that certificate of origin. 9. Origin verification.- (1) The customs authority of the importing Party may request the Issuing Authority of the exporting Party to perform a retroactive check at random or when it has reasonable doubt as to the authenticity of the certificate of origin or as to the accuracy of the information regarding the true origin of the goods in question or of certain parts thereof. (2) The request for a retroactive check shall be accompanied with the relevant certificate of origin and shall specify the reasons and any additional information suggesting that the particulars given on the said certificate of origin may be inaccurate, unless the retroactive check is requested on a random basis. (3) The Issuing Authority of the exporting Party shall, on receipt of such request, conduct a retroactive check on the cost statement of the exporter or the producer based on the current cost and prices and shall send a reply to the customs authority of the importing Party within three months of the date of receipt of request. (4) The retroactive check process, including the actual process and the determination of whether the subject goods are originating or not, should be completed and the result should be communicated to the importer within six months of the date of presentation of the certificate of origin to the customs authority of the importing Party. 10. Verification visit.- (1) If the customs authority of the importing Party is not satisfied with the outcome of the retroactive check, it may, under exceptional circumstances, perform a verification visit, and for this purpose, it may deliver a written notification of its intention to conduct the said verification visit to the premises of the exporter or producer in the territory of the exporting Party. (2) The written notification mentioned in sub-paragraph (1), shall be delivered simultaneously to the importer, and, the producer or the exporter whose premises are to be visited, and to the following authorities, namely:- (a) the Issuing Authority of the exporting Party; and, (b) the customs authority or any other appropriate authority of the exporting Party. (3) The written notification mentioned in sub-paragraph (1), shall be comprehensive and shall include the following, namely:- (a) the name of the producer or the exporter whose premises are to be visited; (b) the proposed date of the verification visit; (c) the coverage, scope and purpose of the proposed verification visit; and, (d) the names and designation of the officials performing the verification visit. (4) The customs authority of the importing Party shall conduct the verification visit subject to receipt of the written consent of the producer or the exporter whose premises are to be visited: Provided that when the written consent of the producer or the exporter is not obtained within thirty days from the date of receipt of the written notification, the customs authority of the importing Party may deny preferential tariff treatment to the goods referred to in the said certificate of origin that would have been subject to the verification visit: Provided further that, the Issuing Authority of the exporting Party may postpone the proposed verification visit and notify the customs authority of the importing Party of such intention within fifteen days from the date of receipt of the notification: Provided further that, notwithstanding any postponement, the verification visit shall be carried out within sixty days from the date of receipt of the written notification, or such longer period as the Parties may agree. (5) Subsequent to the verification visit or when the consent for the verification visit is not obtained, the customs authority of the importing Party shall provide the concerned producer or exporter and the Issuing Authority of the exporting Party with a written determination of whether or not the subject goods qualify as originating goods and any suspended preferential tariff treatment may be reinstated upon determination that the goods qualify as originating goods under the rules. (6) The concerned producer or the exporter shall be allowed thirty days from the date of receipt of the written determination to provide in writing, comments or additional information, regarding the eligibility of the goods for preferential tariff treatment and if on receipt of the comments of the producer or the exporter, the customs authority of the importing Party maintains the view that the goods are non-originating, it shall communicate the final written determination to the Issuing Authority within thirty days of the date of receipt of the comments or the additional information from the producer or the exporter and the importer. (7) The verification visit process, including the actual visit and the determination of whether the subject goods are originating or not, shall be carried out and its results communicated to the Issuing Authority within a maximum period of six months from the date when the verification visit was conducted. 11. Record keeping requirements.- (1) The application for certificate of origin and all documents related to such application shall be retained by the Issuing Authorities for not less than five years from the date of issue. (2) Information relating to the validity of the certificate of origin shall be furnished by the Issuing Authorities upon request of the customs authority of the importing Party. (3) A copy of the certificate of origin and all relevant documents shall be retained by the importer, exporter or producer for not less than five years from the date of issue, in any medium that allows for prompt retrieval, including, but not limited to, digital, electronic, optical, magnetic or hard copy. (4) The importer, exporter or producer shall make the documents available for inspection by an officer of the relevant customs authority or the relevant Issuing Authority and shall provide facilities for inspection thereof. 12. Change of destination of the goods.- (1) When destination of all or part of the goods exported to a specified port of the importing Party is changed, before their arrival in the importing Party, the exporter or producer shall apply in writing to the Issuing Authority of the exporting Party, accompanied with the issued certificate of origin, for issuance of new certificate of origin for all or such part of the goods. (2) When destination of all or part of the goods exported to a specified port of the importing Party is changed, after their arrival in the importing Party, the customs authority of the importing Party shall, on the basis of a written application of the importer, endorse the certificate of origin to this effect for all or such part of the goods and the original returned to the importer. 13. Documentation in case of direct consignment.- For the purpose of availing preferential tariff treatment on the imported goods, when transportation of the said goods is effected through the territory of one or more non-Parties in terms of clause (b) of rule 9 these rules, the following documents shall be produced to the customs authority of the importing Party, namely:- (a) a through bill of lading issued in the exporting Party; (b) a certificate of origin issued by the relevant Issuing Authority of the exporting Party; (c) a copy of the original commercial invoice in respect of the goods; and, (d) any other documents as evidence that the requirements of clause (b) of rule 9 of these rules have been complied with. 14. Preferential treatment in case of exhibition etc.- (1) Goods sent from an exporting Party for exhibition in another Party and sold during or after the exhibition in the Party shall benefit from the preferential tariff treatment under this agreement on the condition that the goods meet the origin requirements of these rules: Provided that the customs authority of the importing Party is satisfied that,- (a) the exporter has dispatched the said goods from the territory of the exporting Party to the territory of the importing Party where the exhibition is held and has exhibited them there; (b) the exporter has sold or transferred the goods to a consignee in the importing Party; and, (c) the goods have been consigned during the exhibition or immediately thereafter in the state in which they were sent for exhibition. (2) For the purposes of implementing the sub-paragraph (1), the certificate of origin must be produced to the customs authority of the importing Party and the name and address of the exhibition must be indicated in the certificate of origin issued by the relevant Issuing Authority. (3) Sub-paragraph (1) shall apply to any exhibition, fair or similar show or display in the venue where the goods remain under customs control during these events. 15. Third party invoicing.- The customs authority of the importing Party shall accept certificate of origin of the originating goods where the sales invoice is issued either by a business entity located in a non-Party or by an exporter for the account of the said business entity, provided that the goods meets the requirements of these rules. 16. Action against fraudulent acts.- When it is suspected that fraudulent acts in connection with the certificate of origin have been committed, the Parties shall cooperate in the action to be taken in the territory of the respective Party against the persons involved.