RESTRICTEDWORLD TRADE
ORGANIZATIONG/VAL/W/59
10 February 2000
(00-0503)
Committee on Customs Valuation Original:  Spanish
COMMUNICATION FR OM NICARAGUA CONCE RNING ANNEX III,
PARAGRAPH 2, OF THE AGREEMENT ON IMPLEMENTATION
OF ARTICLE VII OF THE GENERAL AGREEMENT
ON TARIFFS AND TRADE 1994
The following communication, dated 8 February 2000, has been received from the Permanent
Mission of Nicaragua.
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I wish to inform you that Nicaragua has implemented a programme of modernization of its
customs system, launched with the passing of Law No. 265 "establishing the system of self-clearancefor imports, exports, and other customs regimes".  Furthermore, in the context of Central American
integration, a Protocol has been signed repealing the Brussels valuation legislation and adopting the
GATT Valuation Code, in order to fulfil the commitments entered into by each of the Central
American countries under the WTO.  In Nicaragua's case, the Protocol is in the process of being
approved by a bill which will be ratified by the National Assembly in order to apply the provisions ofthe Agreement on Implementation of Article VII of the General Agreement on Tariffs and
Trade 1994, as from 3 September 2000.  Action has likewise been taken to achieve total quality in the
customs service.
Nevertheless, due to special circumstances for some products, Nicaragua requests a
reservation to maintain its valuation on the basis of minimum reference prices for a further five-year
period, in accordance with Annex III, paragraph 2, of the WTO Agreement on Customs Valuation.
This request will be applicable to a small number of products determined on the grounds that
the declared value is lower than the reference valu e and, owing to the special characteristics of these
products, there is inadequate competition on the domestic market.
The products for which the establishment of minimum prices is requested are the following:
(a) Sugar falling under tariff heading 17.01;
(b) retreaded or used pneumatic tyres falling under tariff heading 40.12;
(c) worn clothing and worn textile articles, rags and worn-out articles, articles of textile
materials falling under tariff heading 63.09 and 63.10;
(d) used vehicles, tractors, bicycles and other land vehicles and parts and accessories
thereof, falling under Chapter 87.
The tariff headings correspond to the Harmonized Commodity Description and Coding
System Nomenclature.
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