UNMIK/PR/1114
PRISTINA - On 30 January, SRSG Harri Holkeri promulgated Regulation 2004/1 on the Customs Code of Kosovo.
The new Code will become effective on 1 March 2004 to allow for necessary administrative and operational arrangements for its implementation. It replaces the old Customs Code and related executive instrument that have been applicable in Kosovo to date.
The Code was developed and will be implemented in full conformity with the basic principles set out in UNSCR 1244 (1999). It was urgently needed to keep pace with the development of customs legislation and procedures in the region and in order to facilitate regional trade and harmonization of customs practices.
The Kosovo Customs Code is compliant with standards of the European Union. It is also compliant with rules and procedures of the World Customs Organisation. The Code contains provisions, which will enhance the economic development of Kosovo and facilitate the activity of importers. At the same time, it provides UNMIK Customs with more effective tools against fraud and smuggling.
- Business friendly parts of the Code include provisions for:
- bonded warehouses, enabling storage of goods under Customs supervision;
- regulated and monitored inward and outward process relief, in other words enabling individual companies to bring into Kosovo, without paying tax or duty, components for the production of goods destined for export;
- transit of goods under bank guarantee;
- and, should the Government wish to do so, the establishment of free zones for manufacture and export.
The Code also contains a number of provisions for relief from duty, all of which meet EU standards, including those for blind and disabled persons.
The Code creates a range of Customs enforcement actions and criminal offences. In parallel, a modern Customs tariff specific for Kosovo is being developed. This tariff will also be EU and WTO/GATT compliant, and will conform to the Brussels nomenclature. It will assist in the drawing up of interim free trade arrangements and any other trade related initiative the Government may propose.
This modern Code requires a number of Administrative Directions and Instructions for its effective implementation. These will be brought in on a priority basis over the next few weeks.
