SADC Origin Criteria
For the purpose of implementing this the SADC Rules of Origin, goods shall be accepted as originating in a Member State if:
- They are consigned directly from a member state to a consignee in another member state and:
- They have been wholly produced in any member state as provided for in rule 4 of this annex; or
- They have been obtained in any member state incorporating materials which have not been wholly produced there, provided that such materials have undergone sufficient working or processing in any member State within the meaning of paragraph 2 of this Rule.
Wholly Produced Criterion- Rule 4
Wholly produced goods are those that contain no element of non-originating materials in them. The list below shows examples as per Rule 4 of the SADC ROO:
- Mineral products extracted from the ground or seabed of a Member State;
- Vegetable products harvested in a Member State;
- Live animals born and raised in a Member State;
- Used articles collected in a Member State fit only for the recovery of raw materials;
- Products produced in a Member State exclusively from one or both of wholly produced raw materials or materials containing no element imported from outside the Member States or of undetermined origin.
- In determining the place of production of marine, river, or lake products and goods in relation to a Member State, a vessel of a Member State shall be regarded as part of the territory of that Member State.
- In determining the place from which goods originated, marine, river or lake products taken from the sea, river or lake or goods produced in a vessel of a Member State at sea or on a river or lake shall be regarded as having their origin in the territory of a Member State and have been brought directly to the territory of the Member State.
Vessel of a Member State
- A vessel shall be regarded as a vessel of a Member State if it is registered in a Member State and satisfies one of the following conditions:
- The vessel sails under the flag of a Member State;
- At least 75% of the officers and crew of the vessel are nationals of a Member State;
- At least the majority control and equity holding in respect of the vessel are held by nationals of a Member State or institution, agency, enterprise or corporation of the Government of such Member State.
Value Tolerance
In the application of the Appendix I where non-originating materials which, according to the conditions set out in the list the Appendix I, should not be used in the manufacture of a product may nevertheless be used, provided that:
- their total value does not exceed 15% of the ex-works price of the product; and
- any of the percentages given in the list for the maximum value of non-originating materials are not exceeded through the application of this sub-paragraph.
- The application of the provisions above on Tolerance shall not apply to products falling within HS chapters 50 to 63, 87 and 98.
Processes Not Conferring Origin- Annex I Rule 3
- Rule 3 contains a list of operations and processes, which shall be considered as insufficient to support a claim that goods made from non-originating materials even though the working carried out may seem to satisfy the criteria .
- The list includes the following examples:
- Packing, packaging and other preparations or processes for shipping and for sales or preservation in good condition;
- Mere dilution, blending and other types of mixing;
- Simple assembly or combining operations;
- Slaughter of Animals;
- Any process or work in respect of which it may be demonstrated, on the basis of the preponderance of evidence, that the sole objective was to circumvent the rules.
- A combination of two or more insufficient working or processing operations does not confer origin, regardless of whether the product-specific rules of origin have been satisfied or not.
- All the operations carried out in the Member States on a given product shall be considered together when determining whether they are to be regarded as insufficient within the meaning of this Rule.
Unit of Qualification- Rule 5
Each item in a consignment shall be considered separately. However, the interpretative rules of the Harmonised System shall apply in the case of sets, tools parts and accessories.
- In addition, goods shall be treated as a single article if they are so treated for purposes of assessing Customs duties on like articles by the importing Member State.
- An un-assembled or dis-assembled article which is imported in more than one consignment because it is not feasible for transport or production reasons to import it in a single consignment, shall be treated as one article.
Separation of Materials- Rule 6
- Where it would be impracticable for the producers to physically separate materials of similar character but different origin used in the production of goods, such separation may be replaced by an appropriate accounting system which ensures that no more goods are deemed to originate in the Member State than would have been the case if the producer had been able to physically separate the materials.
Treatment of Mixtures- Rule 7
- Where it would be impracticable for the producers to physically separate materials of similar character but different origin used in the production of goods, such separation may be replaced by an appropriate accounting system which ensures that no more goods are deemed to originate in the Member State than would have been the case if the producer had been able to physically separate the materials.
Treatment of Packing- Rule 8
- A Member State treats the origin of the goods separately from the origin of the packing when assessing customs duties, may also, in respect of its imports cosigned from another Member State, determine separately the origin of such packing.
- Otherwise packing shall be considered as forming a whole with the goods and no part of any packing required for their transport or storage shall be considered as having been imported from outside the Member States when determining the origin of the goods as a whole.
Documentary Evidence- Rule 9
- The claim that goods shall be accepted as originating from a Member State in accordance with the provision of SADC Rules of Origin shall be supported by a certificate given by the exporter or their authorized representative in the form prescribed in Appendix II of the Rules.
- Certificate of Origin duly signed by the exporter and authenticated with a seal and signature by the designated authorities of the country of export:
(i) giving an exact description of the products;
(ii) origin criteria
(iii) consignee and consignor
- Where the exporter of goods is not the producer, the producer of the goods shall, in respect of goods intended for export, furnish the exporter with a written declaration in conformity with Appendix III of the Rules to the effect that the goods qualify as originating in the Member State.
- An importing Member State may in exceptional circumstances and notwithstanding the presentation of a certificate issued in accordance with the provisions of these Rules, require, in case of doubt, further verification of the information contained in the certificate.
- The importing Member State shall not prevent the importer from taking delivery of goods solely on the grounds that it requires further evidence, but may require security for any duty or other charge which may be payable: provided that where goods are subject to any prohibitions, the conditions for delivery under security shall not apply.
- Copies of certificates of origin and other relevant documentary evidence shall be preserved by the appropriate authorities of the Member States for at least five years.
Infringement and Penalties- Rule 10
- Any Member State to which an untrue claim is made in respect of the origin of goods shall immediately bring the issue to the attention of the exporting Member State from which the untrue claim is made, in accordance with the provisions on mutual assistance and co-operation in customs.
- Continued infringement by a Member State of the provisions of this Annex may be dealt with in accordance with the provisions of Annex VI of the Protocol.