Legal Document

Ministry of Commerce

No. 136 MOC / SM 2006

Kingdom of Cambodia

Nation – Religion – King

Regulation (Prakas)

On

Necessary Measures for the Governance of Export under 

Trade Preferential Scheme

Senior Minister, Minister of Commerce

-     Have seen Constitution of the Kingdom of Cambodia;

-     Have  seen  Royal  Decree  No.  02/NS/94  dated  July  20  1994  on  the Organization and Function of the Council of Ministers;

-     Have seen Royal Decree No. NS/RKT/0704/124 dated July 15, 2004 on the Appointment of the Royal Government of Cambodia;

-     Have seen Royal Code No. NS/RKM/0196/16 dated January 24, 1996 on the Establishment of the Ministry of Commerce;

-     Have seen Sub-Decree No. 54 ANKR, dated September 22, 1997 on the Organization and Function of the Ministry of Commerce;

-     Referring to the necessity of the Ministry of Commerce,

Hereby Decides

Article 1: Every exporter who exports under the Most Favored Nations (MFN) and Generalized System of Preferences (GSP) Scheme has to fulfill procedure to apply for the Certificate of Origin and oblige to pay Export Management Fee (MEF) within 30 days after the exportation of goods.

Article 2: Inspection date of Customs and Camcontrol Officials certified on the Joint- Inspection Report shall be considered as the exporting date.

Article 3: Exporter of Set-garment products of 02 different categories has to pay haft of Export Management Fee for each category.

Article 4: In case of negligence or delay to apply for Certificate of Origin and to pay Export Management Fee over the fixed period as stipulated in Article 1, the exporter has to be fined 1% (one percent) per day on the value of required Export Management Fee.

Article 5: The exporter has to accept only one inspection of technical production per month in order to verify norm of production and deduct stock of materials based on each Certificate of Origin issued by the ministry. The verification of technical norm and the deduction of stock will not be allowed to carry over to next month for which it will cause confusion in the governance of stock and affect the implementation of Rule of Origin of the countries who grant trade preferential treatment to Cambodia.

Article 6: The implementation of sub-contracting production is permitted to all exporters by allowing the hiring of sub-contractor who has proper production permit and  abides  by  Labor  Law  of  the  Kingdom  of  Cambodia.  Every  time  of entering into sub-contracting for production, the exporter has to inform Trade Preferences Department and implement it in accordance with the instructed recommended form.

Article 7: In case of the exporter fails to fulfill obligations as stipulated in the above Articles 5 and 6, the Ministry of Commerce will suspense the issuance of Certificate of Origin to this exporter until the obligations in these two articles have been completely fulfilled.

Article 8: All Announcements and Regulations (Prakas) contradicted to the contents of this Prakas is considered null and void.

Article  9:  Director  of  the  Cabinet,  Director  General  of  Technical  Affairs,  Director General of Administrative and Finance, Director General of Inspection, Director of Camcontrol, Director of Trade Preferences Department, Director of Foreign   Trade   Department,   Director   of   ASEAN   &   International Organizations Department, Director of Administration Department, Director of Accounting and Finance Department have to effectively implement the contents of this Regulation (Prakas) from the date of 01st October, 2006 onward.