Member countries have agreed on a Protocol that will amend the Agreement establishing the ASEAN-Australia-New Zealand Free Trade Area (AANZFTA) to make it more business-friendly, transparent and improve administrative efficiency.
The First Protocol does not change preferential access under the Agreement but removes some unnecessary information requirements in the certification of origin.
In particular, the certificate will no longer require the free on board (FOB) value of the consignment to appear unless origin qualification is based on the regional value content of the good.
Further information on the Protocol changes is in the Guide for business: using the First Protocol which includes the ‘Transitional guidelines for completing the information on the origin conferring criterion on the certificate of origin (CoO) form of the AANZFTA’.
The First Protocol will enter into force for New Zealand and nine of the 12 AANZFTA Parties on 1 October 2015; and the remaining two Parties (Cambodia and Indonesia) are targeting implementation on 1 January 2016.
The ten Parties who are implementing the First Protocol on 1 October 2015 have advised they will accept either the original certificate of origin or the version changed by the Protocol up to 31 March 2016. From 1 April 2016, these 10 Parties will accept only the revised certificates. Cambodia and Indonesia advise they are unable to accept revised certificates ahead of their expected implementation of the First Protocol.
Until all 12 AANZFTA Parties implement the First Protocol, New Zealand certifiers will continue issuing certificates in the original format and under the original arrangements (inclusive of the FOB value). This will minimise the costs to traders in developing a short-term, duplicate certificate of origin issuing system and reduce the prospect of trade disruption due to the wrong format being issued.
By 1 April 2016, all origin-certified exports from New Zealand to AANZFTA Parties will need to be certified under the revised approach. This will require New Zealand Issuing Bodies to make changes to their electronic application, consideration and certificate issuing systems to take account of the minor changes in certificate data and format requirements.
New Zealand exporters under AANZFTA should approach their chosen Issuing Body for more information on the changes and arrangements ahead of full implementation by 1 April 2016.
Click here for further information on the AANZFTA.