Category / COVID-19

by Mike Poverello

New Zealand and Singapore launch initiative to ensure free flow of essential goods

New Zealand and Singapore launched a new trade initiative to ensure supply chain connectivity and the removal of blockages to trade in a list of essential products that includes medicines, medical and surgical equipment.

“Ensuring countries have the most straightforward and cost effective access possible to the essential goods needed to respond to the Covid-19 pandemic is crucial,” Trade and Export Minister David Parker said. 

David Parker and Singapore Trade and Industry Minister Chan Chun Sing said: “This new initiative builds on the joint statement issued by Singapore and New Zealand last month, which has now been joined by seven other countries.

“The Declaration setting out the initiative includes a list of Covid-19 related products for which New Zealand and Singapore undertake to remove tariffs, not to impose export restrictions and to remove non-tariff barriers.  It also includes an undertaking to keep supply chains operating effectively for these products.”

There is increased global demand, in particular, for medical and hygiene products and some countries are restricting their exports of them. 

This is an “open plurilateral” initiative, so other countries can join at any point, and the two ministers said they encourage others to do so as soon as possible. 

“New Zealand and Singapore consider it crucial that during this pandemic, trade in vital goods such as medical supplies and food continues to flow freely.  We believe that global cooperation on trade can assist in dealing with this worldwide health crisis.”  

David Parker said nothing in the arrangement would prevent us ensuring we have sufficient medical equipment and supplies in New Zealand.

The Declaration includes a list of over 120 products, identified as being essential goods in combating the Covid-19 pandemic, for which participants undertake to remove tariffs. This list includes PPE equipment, medical equipment, nutritional products, medicines and hygiene supplies. The Declaration also calls for participants not to apply export restrictions on food and beverage products, and to facilitate trade in food and beverage.

Source: Beehive.gov.nz, 15 April 2020

by Mike Poverello

Update to SARS Customs requirements under COVID-19

Visit the SARS Customs & Excise Webpage for an update on Customs import and export requirements under COVID-19.

The update can be accessed at this link!

Source: SARS, 19 April 2020

by Mike Poverello

WTO – Trade in Medical Goods in the Context of Tackling COVID-19

This WTO study provides a comprehensive overview of trade and tariffs imposed on medical goods in general, many of which appear to be in severe shortage as a result of the current crisis. The purpose of this note is to provide factual information on how these goods are traded globally.

Download the Study here!

Source: WTO, 3 April, 2020

by Mike Poverello

PSCG – Comments and observations for Government and Business during COVID-19

The Chairperson of the WCO Private Sector Consultative Group (PSCG) submitted a paper to the WCO Secretary General outlining some observations, priorities and principles to be considered by the WCO and its Members during this unprecedented time of the COVID-19 pandemic.

These observations and recommendations are divided in four categories, namely (i) expediting the clearance of essential goods and key workers to support and maintain vital services; (ii) applying the “social distancing” principles to border processes; (iii) striving for efficiencies and simplification in all clearance procedures; and (iv) supporting business resumption and recovery.

“I greatly appreciate the useful contribution from the PSCG that merits serious consideration by Customs and other border agencies.  In these challenging times, it is critical that we work even harder together in the spirit of Customs-Business partnership”, said the WCO Secretary General Dr. Kunio Mikuriya.

The PSCG was established 15 years ago with the objective of informing and advising the WCO Secretary General, the Policy Commission and WCO Members on Customs and international trade matters from the private sector perspective. 

Over the past month, the PSCG, who represents a wide range of businesses and industry associations, have been holding virtual weekly meetings, with the WCO Secretary General, Deputy Secretary General and Council Chairperson in attendance. These meetings enable the Members of the group to provide status updates relevant to their respective industries, discuss the impact of the COVID-19 pandemic on international trade and the global economy, and table for discussion proposals for a course of action by the global Customs community. 

In the paper, the PSCG commends the WCO for reminding the global Customs community to apply internationally agreed procedures and processes to facilitate the cross-border movement of goods, conveyances and crew.  The Group also points out that the crisis has shed light on the sound work carried out by the WCO over recent years and has demonstrated the benefits and value of efficient Customs reform and modernization efforts, which the Organization has long been advocating.

The PSCG paper will contribute to the agendas of the relevant WCO working bodies in the months to come.

Download the PSCG’s comments here!

Source: WCO, 16 April 2020

by Mike Poverello

Functional Guideline for Importing Critical Supplies and Essential Goods under Rebate Item 412.11

Business Unity South Africa has published a Standard Operating Procedure (SOP) to provide functional guidelines for businesses importing critical supplies and essential goods into South Africa under Rebate Item 412.11 and Schedule 1(8) of the Value Added Tax Act, and includes both imports of dutiable and duty-free goods.

Source: BUSA, 9 April 2020

by Mike Poverello

WCO issues 2nd Edition HS classification list for COVID-19 medical supplies

To respond to the unprecedented demand in medical supplies amid the current global COVID-19 pandemic around the world, and in order to help countries speed up the cross-border movement of these critical products,  the WCO and the World Health Organization (WHO) joined hands to strengthen their cooperation by establishing a coordinated approach in their response to the pandemic. 

As a result of this joint effort of the two organizations, the HS Classification Reference for COVID-19 Medical Supplies was updated, in a more structured and user-friendly format, to reflect more of the products that would be required in the professional opinion and experience of the WHO in public health. The first HS classification reference for COVID-19 medical supplies, published by the WCO at the dedicated section of its website two weeks ago, was an initial response of the Secretariat to help countries in their fight against the spread of COVID-19.  The initial list contained the classification of essential products needed such as COVID-19 diagnostic test kits and masks, certain protective personal equipment and medical devices such as ventilators and ECMO (extracorporeal membrane oxygenation), consumables and disinfectant products that may be used for the prevention and treatment of the disease.  The latest edition expands this list to cover a greater range of medical equipment and supplies that are required as critical items by the WHO, such as oxygen concentrators and sample collection sets.

The list of HS-coded medical supplies was widely appreciated by stakeholders and taken into consideration by governments when preparing their responses to secure and facilitate trade in these supplies. It serves as the basis for identifying the cross-border movement of the products needed during the pandemic, applying contingent tariff and non-tariff relief policies, monitoring and combating falsified supplies, and even for taking responsive actions to address shortages.

The updated list is provided as an indicative list with a view to facilitating the classification of COVID-19 medical supplies at the international level (6 digit of the HS). Economic operators are kindly advised to consult with the relevant Customs administrations in relation to classification at domestic levels (7 or more digits) or in the event of any discrepancy between their practices and this list. 

The Second Edition of the HS Classification reference list for COVID-19 medical supplies can be found in the WCO COVID-19 dedicated page.

Source: WCO, 9 April 2020

by Mike Poverello

COVID-19 Reference page for Customs and Trade users

A dedicated COVID-19 page has been added to this blog to provide Customs and Trade users a reference and insight into a variety of international and South African weblinks and documents concerning guidelines under COVID-19. This page will be updated regularly to include additional links and updates to any relevant document or website referenced. Please bookmark this page to be kept abreast of updates.

by Mike Poverello

INTERPOL issues international guidelines to support law enforcement response to COVID-19

LYON, France – INTERPOL has released international guidelines in order to enhance the safety and effectiveness of law enforcement and first responder support in the context of the COVID-19 pandemic.

Shaped in accordance with international best practices and the World Health Organization’s (WHO) recommendations, the guidelines provide information on how officers can protect themselves and their families, and outline the various roles carried out by law enforcement during a pandemic. These include:

  • border control and maintaining public order
  • assisting national health authorities in identifying cases and their origin
  • relaying public health measures to the population
  • securing deliveries of medical equipment or transfers of patients

The rapid spread of the virus worldwide, and uncertainties as to its evolution, demand a global response. Here, law enforcement plays a crucial role, by contributing to the effort to control the disease, promoting safer communities, and fighting criminals who see the outbreak as an opportunity to increase – or diversify – their activities.

Accordingly the guidelines warn of emerging crimes linked to pandemic, including intimidation and deliberate dissemination attempts, fraud or phishing, cybercrime, and counterfeiting.

With police routinely running into dangerous situations to protect their communities, the guidelines are intended to be considered by law enforcement agencies as part of a response strategy to the outbreak in line with recommendations by national public health authorities. Their purpose is to supplement rather than replace national guidelines.

All measures taken by national law enforcement authorities should therefore conform with the applicable national legislation and international obligations.

INTERPOL Secretary General Jürgen Stock said all levels of law enforcement were being mobilized during this sensitive time.

“I have been speaking with police chiefs around the world who, along with their officers, are facing enormous pressure because of COVID-19,” said Secretary General Stock.

“To help them in their work, these guidelines outline both the current and emerging crime threats linked to this pandemic as well as advice on how officers should protect themselves, and the communities they serve.

“We are in this together, and INTERPOL will continue to provide whatever assistance our 194 member countries need,” added the INTERPOL Chief.

INTERPOLʼs secure global communications network I-24/7 ensures vital policing information continues to get where it is needed.

Its specialist crime units will share the latest trends and threats related to COVID-19, with its Command and Coordination Centre ensuring calls for assistance are answered.

Source: Interpol, 26 March 2020

by Mike Poverello

WCO-WTO join forces to minimise disruptions to cross-border trade in goods

The heads of the World Customs Organization (WCO) and the World Trade Organization (WTO) issued a joint statement on 6 April pledging to work together to facilitate trade in essential goods such as medical supplies, food, and energy.

WCO Secretary General Dr. Kunio Mikuriya and WTO Director-General Roberto Azevêdo said the two organizations would work closely together to minimize disruption to cross-border trade in goods – in particular those essential to combat the COVID-19 pandemic – while safeguarding public health.

They also pledged to establish a coordinated approach to support initiatives that facilitate cross-border trade so that essential goods can quickly reach those most in need, including in least developed and land-locked countries. WCO and WTO members have already been invited to increase transparency by sharing information on new trade and trade-related measures introduced in response to the COVID-19 pandemic.

“As COVID-19 continues to spread globally and governments consider new measures to protect the health and well-being of their citizens, we urge Members to ensure that any new border action is targeted, proportionate, transparent and non-discriminatory,” they declared.

The text of the joint statement is below.

WCO-WTO Joint Statement on COVID-19 related trade measures

The COVID-19 pandemic, while above all a public health crisis, presents the world with unprecedented social and economic challenges.  Emergency measures needed to curb the spread of the disease have unintended impacts on the world economy and trade, including the global supply chains that produce and distribute essential goods such as medical supplies, food, and energy.

To support the ongoing efforts to mitigate the social and economic effects of the pandemic, we, the Secretariats of the World Customs Organization (WCO) and the World Trade Organization (WTO), agree to work closely together to minimize disruption to cross-border trade in goods – in particular those essential to combat COVID-19 – while safeguarding public health. We commit to provide appropriate support to all relevant stakeholders. 

Within our respective mandates, we have already invited Members to increase transparency by sharing information on new trade and trade-related measures introduced in response to the COVID-19 pandemic. To the extent appropriate, we are making such information publicly available through our respective websites.  

We are also willing to establish a coordinated approach in support of initiatives that facilitate cross-border trade in goods, in particular those key to combat COVID-19. This would allow that essential goods can quickly reach those most in need, including in least developed and land-locked countries.

As COVID-19 continues to spread globally and governments consider new measures to protect the health and well-being of their citizens, we urge Members to ensure that any new border action is targeted, proportionate, transparent and non-discriminatory – as agreed by G20 leaders. We stress that these measures should be temporary, and we encourage Members to rescind them once they are no longer needed, especially if they restrict trade. We welcome initiatives to facilitate and simplify cross-border procedures and urge our Members to prioritize those for exporting and importing essential goods. 

As the pandemic evolves, we will continue to further explore ways to coordinate the efforts of the two organizations in response to the COVID-19 pandemic aimed at keeping trade flows open for the safety of populations around the world and a strong recovery of the global economy.

Source: WCO webpage, 6 April 2020