Value basis for the issue and acceptance of invoice declarations or invoice declarations EUR-MED made out by any exporter

The ex-works price may be used as the value basis for deciding when an invoice declaration or an invoice declaration EUR-MED can be used instead of a movement certificate EUR. 1 or EUR-MED in reference to the value limit laid down in Article 22.1 (b). If the ex-works price is used as the value basis, the importing country shall accept invoice declarations or invoice declarations EUR-MED made out by reference to that.

In cases where there is no ex-works price owing to the fact that the consignment is supplied free of charge, the customs value established by the authorities of the country of importation shall be considered as the basis for the value limit.

COMMENTS:

Even though all consignments claiming preferential treatment must be accompanied by a proof of origin, it is possible to have a proof of origin other than an EUR.1 or EUR-MED in certain circumstances.

As an alternative to having an EUR.1 or EUR-MED certificate issued for every consignment an invoice declaration or an invoice declaration EUR-MED can be made out either by (1) an approved exporter for any consignment, regardless of its value, or (2) by any exporter for consignments, the total value of which does not exceed 6,000 euros. In determining the value

EUR-MED, reference should be made to the "ex-works price" as defined in Article 1(f) and to the Explanatory Note to that Article.

The purpose of this Article is to simplify the procedure for manufacturers who regularly export their produce to partner countries within the zone by not requiring them to have to apply to the customs authorities for an EUR.1 or EUR-MED for each consignment. However, before being allowed to issue invoice declarations or invoice declarations EUR-MED the approved exporter must satisfy certain rules and conditions laid down by the customs authorities of his country. Article 23 deals with that aspect of the system.

Whether or not a consignment can benefit from the concession for consignments of 6,000 euros or less will be determined by reference to the currency in which the invoice is drawn up.

When the invoice is drawn up in a currency other than the euro the exchange rate for that currency shall serve as the reference point for determining whether or not the consignment qualifies for the concession. Please refer to the explanation to Article 31 given in this Handbook.

With regard to the invoice declaration or invoice declaration EUR-MED itself, the text approved exporters must use is the following:

"The exporter of the products covered by this document (customs authorisation No...) declares that, except where otherwise clearly indicated, these products are of ... preferential origin".

or

"The exporter of the products covered by this document (customs authorisation No...) declares that, except where otherwise clearly indicated, these products are of ... preferential origin.

- cumulation applied with ……..(name of the country/countries)

- no cumulation applied "

In Annex IVa or Annex IVb to each Protocol the above text is reproduced in all Community working languages as well as the language of the country party to that Protocol. However in Appendix 3 to this Handbook you will find the text in all the working languages of the Community and all the official languages of the partner countries operating the pan-Euro-Mediterranean cumulation system of origin.

The text must be in any one of the working languages of the Community or any one of the other languages indicated in the Agreement of your trading partner. Therefore, please always check Annex IVa or Annex IVb of the Protocol to the relevant agreement in order to verify which languages are valid. However in case an invoice declaration EUR-MED is issued, the statements 'Cumulation applied with…' and 'No cumulation applied' – likewise for the certificates of origin – must remain in English

Another obligation of an exporter making out invoice declarations or invoice declarations EUR-MED is to provide the customs of the exporting country, when asked to do so, with all the supporting documentation proving the origin he has declared to be true. As in all cases concerning origin, the customs must be able to satisfy themselves that the declared origin is in fact correct.

The declaration itself has to be made out in the manner laid down in Article 22(6). Failure to do so will lead to difficulties and very likely non-acceptance of the declaration.

QUESTION:

1. HOW SHOULD AN INVOICE DECLARATION OR AN INVOICE DECLARATION EUR-MED BE COMPLETED?

When completing an invoice declaration or an invoice declaration EUR-MED the following points should be borne in mind:

a) The wording of the declaration must conform to the wording set out in Annex IVa or Annex IVb to the Protocol;

b) For consignments comprising goods originating in more than one country of the pan-Euro-Mediterranean cumulation zone, the names or official abbreviations of the countries concerned, or a reference to a specific indication in the invoice must be entered in the wording of the invoice declaration or the invoice declarations EUR-MED. (See the answer to Question 3 in the explanation to Article 17 and the Explanatory Note to the same Article for a list of the abbreviations);

c) The name or official abbreviation for every country concerned should be entered on the invoice for each item listed;

d) Declarations may be made on photocopies of invoices provided they bear the signature of the exporter, just as required on the original invoices. Approved exporters who are authorised not to sign original invoice declarations or invoice declarations EUR-MED need not sign such declarations made on photocopied invoices;

e) An invoice declaration or an invoice declaration EUR-MED may be made out on the reverse side of an invoice;

f) An invoice declaration or an invoice declaration EUR-MED may be made on a separate sheet of the invoice provided that the sheet is obviously part of the invoice;

g) If an importer makes out the invoice declaration or the invoice declaration EUR-MED on a label that is subsequently attached to the invoice there should be no doubt that the label has been affixed by the exporter and his stamp or signature should cover both the label and the invoice;

h) An invoice declaration or an invoice declaration EUR-MED given on a delivery note or other commercial document must identify the exporter.

i) In case of an invoice declaration EUR-MED the necessary statement: 'Cumulation applied with …. (name of the country/countries)' or 'No cumulation applied' has to be made.

2. WHEN SHOULD I MAKE OUT AN INVOICE DECLARATION AND WHEN AN INVOICE DECLARATION EUR-MED?

See Question 4 to art. 17 in this Guide.

In cases when the product obtained its originating status on the basis of cumulation, the names of the countries from which materials originated have to be listed in the text of the declaration.

In cases when the originating product is wholly obtained or when non-originating materials used in the manufacturing were sufficiently processed, the line 'Cumulation applied with' should be deleted and 'Cumulation not applied' should remain.

Endorsements 'Cumulation applied with …' and 'No cumulation applied' must be made in English.

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Article 23