11

Knowledge Academy 2014

The Revised Kyoto The Revised Kyoto ConventionConventionBrussels (Belgium), 7 July 2014

Samson BilangnaTechnical Officer

Compliance and Facilitation DirectorateWorld Customs Organization (WCO)

2

Introduction to the RKCIntroduction to the RKC

HISTORYHISTORY

Adoption of Adoption of KC KC

Coming into Coming into force of KCforce of KC

18 May 73

18 May 73

Revision of KCRevision of KC

94 CPs have acceded 94 CPs have acceded to RKCto RKC

63 CPs

25 Sep 74

25 Sep 74 19941994

26 Jun 99

26 Jun 99Adoption of Adoption of

POAPOA

03 Dec 05

03 Dec 05

Coming into Coming into force of RKCforce of RKC

4040thth CP CP depositdeposit

03 Feb 06

03 Feb 06

40 CPs Accepted

POA

54 CPs Acceded to

RKC

6 CPs to KC have not 6 CPs to KC have not acceded to RKCacceded to RKC

4

REVISION -Decision (1)

Compile all core provisions and principles of general application in the Annexes of the current Kyoto Convention

Include these in a single Annex

Group similar core procedures and practices of general application into separate Chapters e.g. clearance formalities, security, appeals

Incorporate new concepts where necessary 4

5

Core provisions - provide the key to harmonize and simplify Customs procedures across administrations

Core provisions - placed in a single Annex that should be obligatory for accession

The provisions in an obligatory Annex should be totally binding, i.e. no reservations should be possible against their implementation

REVISION –Decision (2)

5

REVISED KYOTO CONVENTIONREVISED KYOTO CONVENTION

Protocol of Amendment adopted by Protocol of Amendment adopted by the the Council in June 1999 in Council in June 1999 in Brussels Brussels

The blueprint for modern, efficient and The blueprint for modern, efficient and effective Customs Procedures in the 21st effective Customs Procedures in the 21st

centurycentury

CurrentlyCurrently - total 94 Contracting Parties to RKC - total 94 Contracting Parties to RKC

(as of June 2014)(as of June 2014)

6

7

Structure of the RKC

Changes in the structure of the Convention

Creation of a General Annex which is- obligatory for accession

- allows no reservations against provisions in the Annex

10 Chapters (Specific Annexes) containing core Customs procedures and practices 7

8

General Annex

Consists of two types of provisions- Standards period for implementation 3 years- Transitional Standards period for implementation 5 years

Specific Annex

Consists of two types of provisions- Standards- Recommended Practices

Structure of the RKC

8

STRUCTURE OF REVISED STRUCTURE OF REVISED CONVENTIONCONVENTION

Body of the Body of the ConventionConvention

General General AnnexAnnex

Chapter Chapter 11

Chapter Chapter 22

Chapter 4 - Chapter 4 - 1010

Specific Specific Annex AAnnex A

Specific Specific Annex BAnnex B

Specific Specific Annexes D - Annexes D -

KK

Specific Specific Annex CAnnex C

ChapteChaptersrs

ChapteChaptersrs

ChapteChapterr

ChapteChaptersrs

Chapter Chapter 33

9

BODY OF THE BODY OF THE CONVENTIONCONVENTION

PREAMBLEPREAMBLE SCOPESCOPE STRUCTURESTRUCTURE ADMINISTRATIONADMINISTRATION RULES OF ACCESSIONRULES OF ACCESSION RULES FOR AMENDMENTRULES FOR AMENDMENT

10

CONDITIONS FOR CONDITIONS FOR ACCESSIONACCESSION

CONDITIONS FOR CONDITIONS FOR ACCESSIONACCESSION

Contracting Parties must acceptContracting Parties must accept

a)a) Body of the ConventionBody of the Convention

b)b) General AnnexGeneral Annex

Acceptance of Specific Annexes and/or Acceptance of Specific Annexes and/or Chapters therein optional and at Chapters therein optional and at Contracting Parties’ discretionContracting Parties’ discretion

11

RESERVATIONS TO RESERVATIONS TO PROVISIONS IN THE REVISED PROVISIONS IN THE REVISED

CONVENTIONCONVENTION

RESERVATIONS TO RESERVATIONS TO PROVISIONS IN THE REVISED PROVISIONS IN THE REVISED

CONVENTIONCONVENTION

No reservations permitted to StandardsNo reservations permitted to Standards

Reservations permitted to Reservations permitted to Recommended Practices in the Specific Recommended Practices in the Specific AnnexesAnnexes

Contracting Parties to review the Contracting Parties to review the reservations every 3 yearsreservations every 3 years

Inform the depositary if reservations Inform the depositary if reservations are to be continuedare to be continued

12

GENERAL ANNEXGENERAL ANNEXGENERAL ANNEXGENERAL ANNEX

Core provisions and definitions of Core provisions and definitions of general application to all Customs general application to all Customs proceduresprocedures

Core provisions of General Application Core provisions of General Application specified in 10 Chaptersspecified in 10 Chapters

Core provisions not repeated in the Core provisions not repeated in the Specific AnnexesSpecific Annexes

13

PROVISIONS IN THE PROVISIONS IN THE GENERAL ANNEXGENERAL ANNEX

PROVISIONS IN THE PROVISIONS IN THE GENERAL ANNEXGENERAL ANNEX

General Annex to contain only General Annex to contain only Standards some of which are Standards some of which are Transitional StandardsTransitional Standards

Rule on no reservations to Standards Rule on no reservations to Standards applies to both typesapplies to both types

Implementation period provided for all Implementation period provided for all Contracting Parties to both types of Contracting Parties to both types of provisionsprovisions

Transitional Standards have longer Transitional Standards have longer implementation period (60 months implementation period (60 months versus 36) versus 36)

14

SPECIFIC ANNEXESSPECIFIC ANNEXESSPECIFIC ANNEXESSPECIFIC ANNEXES Cover different aspects of Customs Cover different aspects of Customs

proceduresprocedures

Contain Chapters which deal with Contain Chapters which deal with specific proceduresspecific procedures

Acceptance of one or more of the Acceptance of one or more of the Specific Annexes/Chapter(s) optionalSpecific Annexes/Chapter(s) optional

Contain Standards and Recommended Contain Standards and Recommended PracticesPractices

Rule on no reservations to Standards Rule on no reservations to Standards appliesapplies

15

SPECIFIC ANNEXESSPECIFIC ANNEXESRESERVATIONSRESERVATIONS

SPECIFIC ANNEXESSPECIFIC ANNEXESRESERVATIONSRESERVATIONS

Reservations to Recommended Reservations to Recommended Practices to be notified to WCOPractices to be notified to WCO

Obligation to review reservationsObligation to review reservations

16

GUIDELINESGUIDELINESGUIDELINESGUIDELINES

All Annexes and Chapters to be All Annexes and Chapters to be accompanied by implementation accompanied by implementation Guidelines Guidelines

Guidelines to contain detailed Guidelines to contain detailed information on implementation of information on implementation of

- Provisions in the Annexes- Provisions in the Annexes - Simplified procedures- Simplified procedures - Best practices & methods of - Best practices & methods of

applicationapplication

Guidelines not a part of the legal textGuidelines not a part of the legal text

Guidelines to be reviewed and updated Guidelines to be reviewed and updated to reflect current practicesto reflect current practices

17

18

RKC BenefitsRKC Benefits

18

WCO Research PaperWCO Research Paper

19

Issued in 2010

Comprehensive explanation of RKC Benefits

WCO Public-site http://

www.wcoomd.org/en/topics/facilitation/instrument-and-tools/conventions/~/media/WCO/Public/Global/PDF/Topics/Facilitation/Instruments%20and%20Tools/Conventions/Kyoto%20Convention/BenefitsRKC.ashx

Benefits of RKC Benefits of RKC

20

Accession

Implementation

＆

RKC AccessionRKC Accession

Certification of Certification of international standards international standards implementationimplementation

Participation to future Participation to future standard settingstandard setting

Preparedness for the WTO Preparedness for the WTO TFA implementationTFA implementation

Advantage in CB activitiesAdvantage in CB activities21

RKC ImplementationRKC Implementation Faster release and lower Faster release and lower

trade coststrade costs Increased revenueIncreased revenue More FDI and economic More FDI and economic

competitivenesscompetitiveness Enhanced securityEnhanced security Establishment of sound base Establishment of sound base

for other international for other international instrumentsinstruments

22

23

RKC : Rights and RKC : Rights and ObligationsObligations

24

General PrinciplesGeneral Principles CP give a general undertaking to apply CP give a general undertaking to apply

StandardStandard Transitional StandardTransitional Standard Recommended PracticeRecommended Practice

CP have the right to apply all CP have the right to apply all prohibitions and restrictions deriving prohibitions and restrictions deriving from their national legislation e.g. from their national legislation e.g. public morality or order, public security, public morality or order, public security, public health, public health, protection of patents, trademarks and protection of patents, trademarks and copyrightscopyrights those imposed on economic or any other those imposed on economic or any other groundsgrounds

(Article 2 & 3)(Article 2 & 3)

CP remain entirely free to grant CP remain entirely free to grant greater facilities greater facilities

25

Acceptance of ProvisionsAcceptance of Provisions

General Annex - Obligatory to accept all General Annex - Obligatory to accept all provisions provisions

Specific Annex – Free to accept only a Specific Annex – Free to accept only a limited number of SAs or Chapters limited number of SAs or Chapters therein.therein.

CP accepting SAs or Chapter(s) therein CP accepting SAs or Chapter(s) therein shall be bound by all the Standards and shall be bound by all the Standards and Recommended Practices Recommended Practices unlessunless it it enters reservation against RPenters reservation against RP

CP may withdraw reservation, in whole CP may withdraw reservation, in whole or in part, at any time. or in part, at any time.

(Article 12)(Article 12)

26

Implementation of Implementation of provisionsprovisions

Standards: Standards: 3636 months (GA & SAs) months (GA & SAs) Transitional Standards: Transitional Standards: 60 60 months (GA)months (GA) Recommended Practices (SAs) : Recommended Practices (SAs) : 3636

months unless reservation enteredmonths unless reservation entered

When period mentioned in above is When period mentioned in above is insufficient for CP to implement insufficient for CP to implement provisions of GA, CP may request provisions of GA, CP may request management Committee to extend that management Committee to extend that period.period.

Management Committee may grant such Management Committee may grant such extension (no more than on year)extension (no more than on year)

(Article 13)(Article 13)

27

Management of ConventionManagement of Convention CPs shall be members of the CPs shall be members of the

Management CommitteeManagement Committee and have the and have the right to voteright to vote

Management Committee Management Committee shall recommend amendments to Body, GA, shall recommend amendments to Body, GA,

SA or incorporation of new chapters to the SA or incorporation of new chapters to the GA and new SAsGA and new SAs

may decide to amend Recommended may decide to amend Recommended Practices or to incorporate new RPs to the Practices or to incorporate new RPs to the SAsSAs

shall consider implementation of provisions shall consider implementation of provisions of RKCof RKC

shall review and update the Guidelinesshall review and update the Guidelines shall consider any other issue of relevance to shall consider any other issue of relevance to

the RKCthe RKC

(Article 6)(Article 6)

28

Amendments to the Amendments to the ConventionConvention

Article 15 provides for amendment Article 15 provides for amendment procedures to the Body, GA and SAs as procedures to the Body, GA and SAs as well as incorporation of new Chapters well as incorporation of new Chapters in the GA.in the GA.

New SA and New Chapters in SAs are New SA and New Chapters in SAs are recommended under Article 6 and recommended under Article 6 and enter into force under Article 18.enter into force under Article 18.

Article 16 provides for simplified Article 16 provides for simplified procedures that Management procedures that Management Committee is empowered to decide Committee is empowered to decide amendments to Recommended amendments to Recommended Practices and the incorporation of new Practices and the incorporation of new RPs. RPs.

29

List of NotificationsList of Notifications Acceptance of SAs or Chapters (Article 8 Acceptance of SAs or Chapters (Article 8

para 3&4)para 3&4) Denunciation of the Convention (Article Denunciation of the Convention (Article

17 para 2)17 para 2) Withdrawal of acceptance of the GA Withdrawal of acceptance of the GA

(Article 17 para 5)(Article 17 para 5) Withdrawal of acceptance of SAs or Withdrawal of acceptance of SAs or

Chapters (Article 17 para 4)Chapters (Article 17 para 4) Reservation on Recommended Practices Reservation on Recommended Practices

(Article 12 para 2, Article 16 para 2)(Article 12 para 2, Article 16 para 2) Withdrawal of reservation on RPs (Article Withdrawal of reservation on RPs (Article

12 para 2)12 para 2) Differences between national legislation Differences between national legislation

and RPs (Article 12 para 2)and RPs (Article 12 para 2) Results of the examination of the Results of the examination of the

possibility of withdrawing any possibility of withdrawing any reservation to RPs (Article 12 para 3)reservation to RPs (Article 12 para 3)

etcetc

30

RKC AccessionRKC Accession

31

Legal RequirementLegal Requirement

Member of WCO/UN/Others Deposit an instrument of

accession Specify SA you accept Signify your intention to be

bound by GA Declare the territories the

accession applies Notify any reservation if this is

the case

32

Two different processesTwo different processes

Domestic readiness

Improvements

in legislation, organization, and operations in order to meet the obligations in the convention

Foreign affairs work

International act

of consent to be bound by the Convention by particular action, notably, ratification, acceptance, approval or accession and notification to the depository

33

4 Major Stages to accede to 4 Major Stages to accede to RKCRKC

(Typical case)(Typical case)Stage A : Commitment to

Accede RKC & Gap-AnalysisStage B : Communication among

Stake holdersStage C : Legal (Parliament)

WorksStage D : Official Diplomatic

Works

34

Stage A : Commitment to Accede Stage A : Commitment to Accede

RKCRKC

& Gap Analysis & Gap Analysis

35

Customs/Parent

Ministry

Ministry of Foreign Affairs

Other ministries

and stakeholders

Government legal

department

Parliament

Stakeholders

Stage B : Communication among

Stakeholders

36

Stage C : Legal worksStage C : Legal works

Official Translation ? Formulation of reform package? Reform of the legislations,

regulations, Customs instructions and/or organization?

Implementation plan?

37

Stage D : Formal Diplomatic Stage D : Formal Diplomatic WorksWorks

President/ Prime

Minister/Foreign Affairs

MinisterEmbassy in

Belgium

WCO Secretary General: Depository

Other Contracting Parties

Circular

Instrument of accession

Note Verbal

38

Overall Accession ProcessOverall Accession ProcessCustoms/

Parent Ministry

Ministry of Foreign Affairs

Other ministries and stakeholders

Government legal

department

ParliamentPresident/ Prime

Minister/Foreign Affairs

Minister

Stakeholders

Embassy in Belgium

WCO SG: Depository

Instrument of

accession

Instrument of

accession and

Note Verbal

Other Contracting Parties

Circular

Membres OMD (179)Membres OMD (179)

*: Signé sous réserve de ratification (pas encore)

ChiliIslandeMexique

UERoumanie

1974 Kyoto (64)

UE (28+1)

OCDE (31)

Kyoto Kyoto Révisée (94)Révisée (94)

GrèceHongrieIrlandeItalieLuxembourgPays-BasPologne

BulgarieChypre

AustralieCanadaCorée

PakistanRwandaSénégalSerbieSri LankaVietnamZimbabweZambie

Afrique (4)BurundiCamerounGambieRép. dém. Congo*

Europe (1)Israël

Autres non-PCs

JaponNZNorvègeSuisse

AllemagneAutricheBelgiqueDanemarkEspagneFinlandeFrance Portugal

Rep.Tchèq. RUSlovaquieSuède

MozambiqueNamibiePapouasie Nvle GuinéePhilippinesQatarRépublique DominicaineRussieSoudanSwazilandTogoUkraineYémen

Turquie Etats-Unis

EstonieMalte

CroatieLettonieLituanieSlovénie

IranFiji GabonJordanieKazakhstanMadagascarMaliMauriceMongolieMonténégro

AlbanieArménieAzerbaidjanBelarusBahreïnBangladeshCambodgeCap-Vert Egypte EAU

Afrique du sud AlgérieArabie saouditeBotswanaChineCôte d’IvoireCubaIndeKenyaLesothoMacédoineMalawiMalaisieMarocNigeriaOuganda

40

Thank you for your kind attention

For more information, please visitthe WCO Web site: www.wcoomd.org

WCO, Brussels

« Copyright © 2014 World Customs Organization. All rights reserved. Requests and inquiries concerning translation, reproduction and adaptation rights should be addressed to copyright@wcoomd.org ».