In Moldova, companies will be able to use modernized, simplified and more flexible rules of origin of goods.
The Customs Service reported this, noting that a package of updated rules establishing a new standard for rules of origin will be applied between Moldova and its trading partners. This solution will enable the further development of integrated supply chains and international trade for the benefit of business and economic development. The Customs Service reported that within the framework of preferential trade relations between Moldova and the EU countries, the CEFTA (Central European Free Trade Agreement) countries and Turkey, the rules of origin stipulated by the Regional Convention on Pan-Euro-Mediterranean Preferential Rules of Origin (The Pan-Euro -Mediterranean - PEM), adopted in Brussels on December 9, 2009, to which Moldova joined in 2015. Discussions on the modernization of the named Convention began in 2012 in order to adapt the rules of origin to the constantly changing economic realities. Although the revised PEM Convention must be unanimously approved by the Joint Committee established by the Convention, several Contracting Parties have expressed reservations about its adoption. Thus, most of the contracting parties to the PEM Convention, including Moldova, decided in advance to apply the revised rules at the bilateral level. This interim solution will allow economic agents in Contracting States Parties that have agreed to apply the revised rules to take advantage of modernized, simplified and more flexible rules of origin. To this end, the protocols of origin contained in every bilateral free trade agreement signed by Moldova and various partners have been amended to include "Appendix A" which contains transitional rules of origin, without prejudice to the application of the current PEM rules of origin. Current PEM Contracting Parties that have expressed interest in applying the revised rules of origin on a transitional basis: EU, CEFTA countries, Georgia, Iceland, Israel, Jordan, Lebanon, Moldova, Norway, Switzerland, Turkey and Ukraine, and the European Secretariat of the Free Trade Association (EFTA ) and the Secretariat of the Central European Free Trade Agreement (CEFTA). According to the Moldovan Customs Service, the two sets of rules of origin will coexist between the contracting parties applying them. Economic operators will be able to choose between the current rules of origin under the PEM Convention and the transitional rules of origin. This selection will be considered for each consignment. The rules will apply provisionally pending unanimous adoption of the revised PEM Convention. The main amendments contained in the transitional rules of origin can be summarized as follows: regional cumulation by origin has become more flexible (introduction of “full” cumulation for most goods); the possibility of refunding duties on most products (the no draw-back rule is excluded, with a few exceptions); more flexible and easier processing or handling, lower thresholds for local value added, etc. Exporters who do not need to apply the transitional rules can apply the PEV rules of origin using appropriate proof of origin. Based on the information available, the European Commission will soon publish a matrix to show which countries are applying the transitional rules of origin and the date from which these rules may apply.// 16.11.2021 — InfoMarket.
