INTERNATIONAL CONVENTION

of June 14, 1983

About harmonized commodity description and coding system

Preamble

Contracting parties of this Convention drafted under the direction of Customs Cooperation Council

wishing to promote international trade,

wishing to simplify collection, comparison and the analysis of the statistical data in particular relating to international trade

wishing to reduce the expenses caused by the repeated description, classification and coding of goods upon their transition from one classification system to another in the course of international trade and to promote standardization of the foreign trade documentation and transfer of statistical data,

in view of that changes in the production technology of goods and structure of international trade cause need of entering of essential changes into the Convention on the Nomenclature for classification of goods for customs tariffs signed in Brussels on December 15, 1950

considering also that the extent of disaggregation required by the governments and business circles for use in the customs and statistical purposes was beyond what is provided by the Nomenclature attached to the above-mentioned Convention

recognizing importance of exact and comparable data for conducting the international trade negotiations,

considering that it is reasonable to use the Harmonized system for transit fares and statistics of cargo transportation different types of transport,

considering that the Harmonized system is intended for perhaps wider use in other commodity descriptions and coding systems,

in view of that the Harmonized system is designed to promote establishment of perhaps closer interrelation between foreign trade statistics and statistics of production,

considering that between the Harmonized system and the Standard International Trade Classification (SITC) of the United Nations the close interrelation shall be kept,

including desirable satisfaction of the requirements stated above by means of application combined tarifno - the statistical nomenclature suitable for use by the interested participants connected with international trade

recognizing importance of accounting in the Harmonized system of changes in the production technology of goods or structure of international trade,

in view of the work done in this area by the Committee on the Harmonized system created by Customs Cooperation Council

considering that as the Convention on the Nomenclature stated above was the effective tool for achievement of some of these purposes, the best means for achievement of desirable results is the conclusion of the new international convention,

agreed as follows:

Article 1
Determinations

For the purpose of this Convention:

a) "Harmonized commodity description and coding system", the hereinafter referred to as "The harmonized system", means the Nomenclature including goods items, subline items and digital codes relating to them, notes to Sections, groups and subline items and also the Basic rules of interpretation of the Harmonized system given in Appendix to this Convention;

b) "it is customs - the tariff nomenclature" means the nomenclature accepted according to the legislation of the Contracting Party for collection of customs duties in case of commodity importation;

c) "statistical nomenclatures" mean the commodity nomenclatures accepted by the Contracting Party for collection of statistical data about import and commodity exportation;

d) "combined tarifno - the statistical nomenclature" means the nomenclature combining is customs - tariff and to use statistical nomenclatures which according to the legislation the Contracting Party requires when declaring imported goods;

e) "The convention on creation of Council" means the Convention on creation of Customs Cooperation Council signed in Brussels on December 15, 1950;

f) "Council" means the Customs Cooperation Council mentioned in Item (e) of this Article;

g) "Secretary general" means the Secretary general of Council;

h) "ratification" means actually ratification, acceptance or approval.

Article 2
Appendix

Appendix to this Convention is its integral part, and any reference to this Convention equally means also the reference to this appendix.

Article 3
Obligations of Contracting Parties

1. Taking into account the exceptions listed in Article 4:

a) each Contracting Party of this Convention shall, except as specified applications of provisions of the subitem (c) this Item that it is customs - tariff and statistical nomenclatures will correspond to the Harmonized system from the moment of the introduction of this Convention in force in relation to this Contracting Party. Thereby it shall in relation to the it is customs - tariff and to statistical nomenclatures:

i) use all goods items and subline items of the Harmonized system, and also the digital codes relating to them without any amendments or changes;

ii) apply the basic rules of interpretation of the Harmonized system, and also all notes to Sections, groups, goods items and subline items and not to change contents of Sections, groups, goods items or subline items of the Harmonized system;

iii) observe the procedure for coding accepted in the Harmonized system;

b) each Contracting Party will also publish the statistical data on import and commodity exportation according to six-digit code of the Harmonized system or, at the request of the Contracting Party, at deeper level of classification if restriction of such publications is not caused by particular cases as, for example, preserving trade secret or not causing damage to interests of state security;

c) nothing in this Article obliges the Contracting Party to use subline items of the Harmonized system in the is customs - the tariff nomenclature provided that its combined tarifno - the statistical nomenclature conforms to the requirements specified in subitems (a) (i), (and) (ii) and (and) (iii).

2. According to requirements of the subitem (a) of Item 1 of this Article each Contracting Party can make to the text such changes which she will consider necessary in order that provisions of the Harmonized system were enshrined in its national legal system.

3. Nothing in this Article prohibits to the Contracting Party to create in the is customs - tariff or statistical nomenclatures subsections for deeper classification of goods, than in the Harmonized system provided that any such subsections will be added and coded over the six-digit digital code given in Appendix to this Convention.

Article 4
Partial application by developing countries

1. Any Contracting Party which is developing country can delay application of some or all subline items of the Harmonized system for such period which can be required by her, considering structure of its foreign trade or potential of its management system.

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