PART ONE: GENERAL PART

Chapter I: Initial Provisions and Institutional Arrangements

Section I: Initial Provisions

Article I.01 Establishment of the Free Trade Area

The Parties, consistently with Article XXIV (Territorial Application – Frontier Traffic – Customs Unions and Free Trade Areas) of the General Agreement on Tariffs and Trade and its related Understanding of the Marrakesh Agreement establishing the World Trade Organization, hereby establish a free trade area.

Article I.02 Objectives

1. The objectives of this Agreement, as elaborated more specifically through its principles, rules and provisions, including national treatment, most-favored-nation treatment and transparency, as referred to in this Agreement, are to:

(a) establish and develop a free trade area in accordance with its provisions;

(b) stimulate trade expansion and diversification between the Parties;

(c) eliminate barriers to trade and facilitate the cross-border movement of goods and services between the territories of the Parties;

(d) promote conditions of fair competition in the free trade area;

(e) increase substantially investment opportunities in the territories of  the Parties;

(f) create effective procedures for the implementation and application of this Agreement, for its joint administration and for the resolution of disputes;

(g) promote regional integration in the Americas and contribute to the progressive elimination of barriers to trade and investment; and

(h) establish a framework for further bilateral, regional and multilateral cooperation to expand and enhance the benefits of this Agreement.

2. The Parties shall interpret and apply the provisions of this Agreement in a manner consistent with its objectives set out in paragraph 1 and in accordance with applicable rules of international law.

Article I.03 Relation to Other Agreements

1. The Parties affirm their existing rights and obligations with respect to each other under the Marrakesh Agreement establishing the World Trade Organization and other agreements to which such Parties are party.

2. In the event of any inconsistency between this Agreement and such other agreements, this Agreement shall prevail to the extent of the inconsistency, except as otherwise provided in this Agreement.

Article I.04 Observance of the Agreement

Each Party shall ensure, in conformity with its applicable law and constitutional provisions, compliance with the provisions of this Agreement in its territory.

Article I.05 Succession of Treaties

Any reference to any other international treaty or agreement shall be understood to be in the same terms as any successor treaty or agreement to which the Parties are party.

Section II: Institutional Arrangements

Article I.06 The Joint Council

1. The Parties hereby establish the Joint Council of Costa Rica and CARICOM comprising public officials of both Parties at the ministerial level, or their representatives.

2. The Joint Council (hereinafter referred to as " the Council") shall have the following functions:

(i) supervise the implementation and administration of the Agreement, its Annexes and Appendices and oversee their further elaboration;

(ii) instruct the Committees, Subcommittees and Working Groups identified in Article I.08 to carry out those functions assigned to them respectively and any other function pertaining to the objectives of this Agreement.

(iii) supervise the functions of the Free Trade Coordinators and consider the recommendations of the Free Trade Coordinators;

(iv) establish and supervise the work of all committees, subcommittees and working groups created in this Agreement;

(v) resolve any dispute which may arise out of the interpretation, execution or non-compliance of this Agreement, its Annexes and Appendices in accordance with its powers under Chapter XIII (Dispute Settlement);

(vi) establish and delegate responsibilities to ad hoc or standing committees, working groups or expert groups;

(vii) supervise the work of all ad hoc or standing committees, working groups and expert groups established under this Agreement, its Annexes and Appendices;

(viii) consult with governmental, inter-governmental and non-governmental entities as necessary;

(ix) keep this Agreement, its Annexes and Appendices under periodic review, evaluating the functioning of this Agreement and recommending measures it considers suitable to better achieve its objective;

(x) carry out any other functions which may be assigned to it by the Parties;

(xi) consider any other matter that may affect the operation of this Agreement, its Annexes and Appendices and take appropriate action.

3. The Council shall convene in ordinary session at least once a year and in extraordinary sessions on the request of either Party.

4. The meetings of the Council shall be chaired jointly by the Parties. All decisions shall be taken by consensus. The decisions of the Council shall have the status of recommendations to the Parties.

5. Meetings shall be held alternately in Costa Rica and in a Member State of CARICOM or such other place as may be agreed between Costa Rica and CARICOM.

6. The Agenda for each ordinary meeting of the Council shall be settled by the Parties in good time before each proposed meeting.

7. Each Party shall designate a representative to transmit and receive correspondence on its behalf.

8. The Council may modify in fulfillment of the objectives of this Agreement:

(a) the schedule of a Party contained in Annex III.04.2 (Tariff Elimination), with the purpose of adding one or more goods excluded in the Tariff Elimination Schedule;

(b) the phase-out periods established in Annex III.04.2 (Tariff Elimination), with the purpose of accelerating the tariff reduction;

(c) the rules of origin established in Annex IV.03 (Specific Rules of Origin); and

(d) the Uniform Regulations on Customs Procedures.

9. The modifications referred to in paragraph 8 shall be implemented by the Parties in conformity with Annex I.06.9.

Article I.07 The Free Trade Coordinators

1. The Parties hereby establish the Free Trade Coordinators, comprising the Ministry of Foreign Trade in the case of Costa Rica and the CARICOM Secretariat in the case of CARICOM, whose primary function shall be to monitor the implementation of this Agreement.

2. The Free Trade Coordinators (hereinafter called “the Coordinators”), shall:

(a) recommend to the Council the establishment of other committees, subcommittees and working groups as they consider necessary to assist the Council;

(b) follow up any decisions taken by the Council, where appropriate;

(c) submit and receive notifications pursuant to this Agreement, unless otherwise provided in this Agreement;

(d) consider any other matter that may affect the operation of this Agreement as mandated by the Council;

(e) arrange for administrative assistance to be provided to arbitration panels and to the work of the committees established under this Agreement;

(f) recommend to the Council the levels of remuneration and expenses that will be paid to the appointed panelists, experts, and their aides, in accordance with this agreement as set out in Annex I.07.2(f).

3. The Coordinators shall meet as often as required.

4. Each Party may request in writing at any time that a special meeting of the Coordinators be held. Such a meeting shall take place within thirty (30) days of receipt of the request.

Article I.08 Committees

1. There shall be the following Standing Committees which shall operate under the guidance of the Council:

(i) Committee on Market Access;

(ii) Committee on Trade in Services and Investment;

(iii) Committee on Anti-Competitive Business Practices;

(iv) Any other Committee which may be established by the Council pursuant to Article I.07.2(a).

2. Each Committee referred to in paragraph 1 shall, inter alia, have the following functions:

(i) monitor the implementation of the provisions of the Agreement, Annex or Appendix within its area of competence;

(ii) consider all matters relating to the subject area within its competence, including such matters as may be referred to it by the Parties;

(iii) consult on issues of mutual concern relating to its subject area which arise in international fora;

(iv) facilitate information exchange among the Parties;

(v) create working groups or convene expert panels on topics of mutual interest relating to its subject area;

(vi) any other function assigned to it by the Council.

3. Each Committee shall meet as may be agreed by its members and shall regulate its own proceedings.

 

Annex I.06.9

Implementation of the Modifications Approved by the Joint Council

The Parties shall implement the decisions of the Council to which Article I.06.9 refers, in accordance with the following procedures:

(a) in the case of Costa Rica, decisions of the Council shall be equivalent to the instrument referred to in Article 121.4 third paragraph of the Political Constitution of the Republic of Costa Rica; and

(b) in the case of CARICOM, in accordance with the necessary parliamentary approval.

Annex I.07.2(f)

Remuneration and Payment of Expenses

1. The Council Shall establish the levels of remuneration and expenses that will be paid to the panelists, experts and their aides.

2. The remuneration of panelists, experts and their aides, their travel and accommodation expenses, and all approved general expenses, shall be borne equally by the Parties, unless otherwise agreed by consensus by the Parties.

3. Each panelist, expert and their aides, shall keep a record and render a final account of their time and approved expenses, and they shall keep a record and render a final account of all approved general expenses.

Chapter II: General Definitions

Article II.01 Definitions of General Application

For the purposes of this Agreement, except otherwise specified:

citizen means, for each Party, a national of that Party as set out in Annex II.01;

Coordinators means the Free Trade Coordinators established by Article 1.07
(The Free Trade Coordinators);

Customs Valuation Agreement means the Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade of 1994, including its interpretative notes, which is part of the WTO Agreement;

days means calendar days, including weekends and holidays;

Dispute Settlement Understanding (DSU) means the Understanding on Rules and Procedures Governing the Settlement of Disputes, which is part of the WTO Agreement;

enterprise means any entity constituted or organized under applicable law, whether or not for profit, and whether privately owned or governmentally owned, including any corporation, trust, partnership, sole proprietorship, joint venture or other association;

exporting Party means the Party from whose territory a good or service is exported;

GATT 1994 means the General Agreement on Tariffs and Trade of 1994, which is part of the WTO Agreement;

Harmonized System means the Harmonized Commodity Description and Coding System, including the General Classification Rules and its explanatory notes;

Heading means a tariff classification code of the Harmonized System at the four-digit level;

Import Duty includes customs duty as defined in the national legislation of each Party and all other duties, taxes or charges that are collected on or in connection with the importation of goods, but does not include:

(a) charges equivalent to an internal tax imposed consistently with the relevant provisions of GATT 1994;

(b) any antidumping or countervailing duty that is applied pursuant to a Party’s domestic law;

(c) any fee or other charge in connection with importation commensurate with the cost of services rendered; and

(d) any premium offered or collected on an imported good arising out of any tendering system in respect of the administration of quantitative import restrictions, tariff rate quotas or tariff preference levels;

importing Party means the Party into whose territory a good or service is imported;

identical or similar goods means "identical goods" and "similar goods", respectively, as defined in the Customs Valuation Agreement;

Joint Council means the Joint Council of Costa Rica and CARICOM established by Article I.06 (The Joint Council);

less developed countries of CARICOM means Antigua and Barbuda, Belize, Dominica, Grenada, Saint Lucia, St. Kitts and Nevis, St. Vincent and the Grenadines;

measure includes any law, regulation, procedure, administrative requirement or practice;

national means a natural person who has the nationality or citizenship of a Party in accordance with its legislation. It is understood that the term equally applies to a natural person who, in accordance with that Party’s legislation, has the status of permanent resident in its territory;

originating good means a good complying with the rules of origin established in Chapter IV (Rules of Origin);

Party means any State with respect to which this Agreement has entered into force in accordance with Article XIX.03 (Entry into Force) and Article XIX.04 (Provisional Application);

person means a natural person or legal person;

subheading means a tariff classification code of the Harmonized System at the six-digit level;

Tariff Elimination Schedule means the schedule referred to in the Annexes on Tariff Elimination Schedule to Chapter III (National Treatment and Market Access of Goods);

territory means, for each Party, the territory of that Party as set out in Annex II.01; and

WTO Agreement means the Marrakesh Agreement Establishing the World Trade Organization, done on April 15, 1994, or any successor Agreement to which both Parties are party.

Annex II.01

Specific Definitions

For the purposes of this Agreement, unless otherwise specified:

Citizen means:

(a) with respect to Costa Rica:

(i) Costa Ricans by birth, according to Article 13 of the Political Constitution of the Republic of Costa Rica;

(ii) Costa Ricans by naturalization, according to Article 14 of the Political Constitution of the Republic of Costa Rica;

(b) with respect to CARICOM:

(i) persons deriving their status as citizens of Member States of CARICOM from the law enforced in individual Member States of CARICOM;

(ii) persons having a connection with the Member States of CARICOM of a kind which entitles them to be regarded as belonging to or, if it be so expressed, as being natives or residents of those States for the purposes of the laws thereof relating to immigration;

territory means:

(a) with respect to Costa Rica, the territory, air space and maritime areas, including the seabed and subsoil adjacent to the outer limit of the territorial sea, over which it exercises, in accordance with international law and its domestic law, sovereign rights with respect to the natural resources of such areas; and

(b) for each Member State of CARICOM its territory, air space as well as its maritime areas, including the seabed and subsoil adjacent to the outer limit of the territorial sea, over which that State exercises, in accordance with international law, jurisdiction and sovereign rights for the purpose of exploration and exploitation of the natural resources of such areas.

PART TWO: TRADE IN GOODS

Chapter III: National Treatment and Access of Goods to the Market

Article III.01 Definitions

For purposes of this chapter:

agricultural goods means the products listed in Annex 1 (Product Coverage) of the WTO Agreement on Agriculture with any subsequent changes agreed in the WTO to be automatically effective for this Agreement;

advertising films means recorded visual media, with or without soundtracks,  consisting essentially of images showing the nature or operation of goods or services offered for sale or lease by a person established or resident in the territory of either Party, provided that the films are of a kind suitable for exhibition to  prospective customers but not for broadcast to the general public, and provided that they are imported in packets each of which contains no more than one copy of each film and that do not form part of a larger consignment;

commercial samples of negligible value means commercial samples having a value, individually or in the aggregate as shipped, of not more than one (1) U.S. dollar, or the equivalent amount in the currency of the other Party, or so marked, torn, perforated or otherwise treated that they are unsuitable for sale or for use except as commercial samples;

consumed means:

(a) actually consumed; or

(b) further processed or manufactured so as to result in a substantial change in value, form or use of the good or in the production of another good;

duty-free means free of customs duties;

export subsidies means subsidies contingent upon export performance including the export subsidies listed in Article 9 (Export Subsidy Commitments) of the WTO Agreement on Agriculture; any subsequent changes agreed to in the WTO would be automatically incorporated into this Agreement;

goods imported for sports purposes means sports requisites for use in sports contests, demonstrations or training in the territory of the Party into whose territory such goods are imported;

goods intended for display or demonstration includes their component parts, ancillary apparatus and accessories;

printed advertising materials means the brochures, pamphlets, leaflets, trade catalogues, yearbooks published by trade associations, tourist promotional materials and posters, that are used to promote, publicise or advertise a good or service, are essentially intended to advertise a good or service, and are supplied free of charge, classified in Chapter 49 of the Harmonised System; and

repair or alteration does not include an operation or process that either destroys the essential characteristics of a good or creates a new or commercially different good.

Article III.02 Scope of Application

This chapter shall apply to the trade in goods between the Parties.

SECTION I: National Treatment

Article III.03 National Treatment

1. Each Party shall accord national treatment to the goods of the other Party, in accordance with Article III (National Treatment on Internal Taxation and Regulation) of the GATT 1994, including its interpretative notes. To this end, Article III (National Treatment on Internal Taxation and Regulation) of the GATT 1994, including its interpretative notes and any other equivalent provision of a successor agreement to which both Parties are party, are incorporated into and made part of this Agreement.

2. The provisions of paragraph 1 regarding national treatment shall mean, in relation to a Party, including its departments, municipalities or provinces, a treatment no less favourable than the most favourable treatment accorded by that Party, including its departments, municipalities or provinces, to any, directly competitive or substitutable goods of domestic origin.

SECTION II: Tariffs

Article III.04 Tariff Elimination

1. Except as otherwise provided in this Agreement, neither Party may increase any existing customs duty, or adopt a new customs duty, on an originating good.

2. Except as otherwise provided in this Agreement, each Party shall progressively eliminate its customs duties on originating goods in accordance with the Tariff Elimination Schedule established in Annex III.04.2.

3. Upon the request of any Party, the Parties shall consult to consider the possibility of accelerating the elimination of customs duties set out in Annex III.04.2 or incorporating into one Party’s Tariff Elimination Schedule goods not subject to the elimination schedule. An agreement between the Parties to accelerate the elimination of a customs duty on a good or to include a good in a Party’s elimination schedule shall supersede any duty rate or staging category determined pursuant to their Schedules for such good when approved by each such Party in accordance with its applicable legal procedures.

4. The agreement adopted based on paragraph 3, regarding the accelerated elimination of a customs duty for an originating good, shall prevail over any customs duty or tariff elimination schedule set out in the Annexes to this Article.

5. Notwithstanding paragraphs 1 and 2, any Party may maintain or increase a customs duty as authorised by the Dispute Settlement Understanding of the WTO, or any other agreement under the WTO Agreement.

6. Originating goods produced in free trade zones in the territory of a Party shall be subject to the most favoured nation treatment (MFN tariff) when imported into the territory of the other Party, except for the products included in Annex III.04.6, which shall benefit from the Tariff Elimination Schedule.

7. The Parties agree that, from the date of entry into force of this Agreement, and in accordance with the functions assigned to the Joint Council in Article I.06.8(a), upon request of either Party, the Joint Council may meet with the purpose of including other goods into Annex III.04.6.

Article III.05 Temporary Admission of Goods

1. Each Party shall grant temporary duty-free admission for:

(a) professional equipment necessary for carrying out the business activity, trade or profession of a business person who qualifies for temporary entry pursuant to Chapter XI (Temporary Entry);

(b) equipment for the press or for sound or television broadcasting and cinematographic equipment;

(c) goods imported for sports purposes and goods intended for display or demonstration; and

(d) commercial samples and advertising films;

imported from the territory of the other Party regardless of their origin and regardless of whether like, directly competitive or substitutable goods are available in the territory of the Party.

2. Except as otherwise provided in this Agreement, neither Party may condition the temporary duty-free admission of a good referred to in paragraph 1(a), (b) or (c), other than to require that such good:

(a) be imported by a national or resident of the other Party who seeks temporary entry;

(b) be used solely by or under the personal supervision of such person in the exercise of the business activity, trade or profession of that person;

(c) not be sold or leased while in its territory;

(d) be accompanied by a bond in an amount no greater than hundred and ten percent (110%) of the charges that would otherwise be owed on entry or final importation, or by another form of security, releasable on exportation of the good;

(e) be capable of identification when exported;

(f) be exported on the departure of that person or within such other period of time as is reasonably related to the purpose of the temporary admission; and

(g) be imported in no greater quantity than is reasonable for its intended use.

3. Except as otherwise provided in this Agreement, neither Party may condition the temporary duty-free admission of a good referred to in paragraph 1(d), other than to require that such good:

(a) be imported solely for the solicitation of orders for goods, or services provided from the territory, of the other Party or non-Party;

(b) not be sold, leased or put to any use other than exhibition or demonstration while in its territory;

(c) be capable of identification when exported;

(d) be exported within such period as is reasonably related to the purpose of the temporary admission; and

(e) be imported in no greater quantity than is reasonable for its intended use.

4. When a good is temporarily admitted duty-free under paragraph 1 and does not fulfill all the required conditions set out in paragraphs 2 and 3, the importing Party may impose:

(a) the customs duty and any other charge on the good that would be owed on entry or final importation of such good; and

(b) any criminal, civil or administrative sanction that the circumstances determine.

5. Subject to Chapters IX (Services) and X (Investment):

(a) each Party shall allow a container used in international traffic that enters its territory from the territory of the other Party to exit its territory on any route that is reasonably related to the economic and prompt departure of such container;

(b) neither Party may require any bond or impose any penalty or charge solely by reason of any difference between the port of entry and the port of departure of a container;

(c) neither Party may condition the release of any obligation, including any bond, that it imposes in respect of the entry of a container into its territory on its exit through any particular port of departure; and

(d) neither Party may require that the carrier bringing a container from the territory of the other Party into its territory be the carrier that takes such container to the territory of the other Party.

Article III.06 Duty-Free Entry of Certain Commercial Samples and Printed Advertising Materials

Each Party shall grant duty-free entry to commercial samples of negligible value and to printed advertising materials imported from the territory of another Party, regardless of their origin, but may require that:

(a) such samples be imported solely for the solicitation of orders for goods or services provided from the territory of the other Party or non-Party; or

(b) such advertising materials be imported in packets each of which contains no more than one copy of each such material and that neither such materials nor packets form part of a larger consignment.

Article III.07 Goods Re-Entered after Repair, Renovation or Improvement

Where a non-originating good is exported by a Party to the territory of the other Party for repair, renovation or improvement, that good on its re-entry shall be granted treatment as an originating good if the value of the non-originating materials used in the repair, renovation or improvement did not exceed sixty five percent (65%) of the cost of repair, renovation or improvement. This treatment is subject to the condition that the essential character of the good is not altered.

The temporary admission of a good exported by a Party to the territory of the other Party for repair, renovation or improvement shall be allowed without the payment of customs duty for that period of time as stated in the national law of that Party.

Article III.08 Customs Valuation

The Customs Valuation Agreement and any successor agreement shall govern the customs valuation rules applied by the Parties to their reciprocal trade.

SECTION III: Non-Tariff Measures

Article III.09 Import and Export Restrictions

1. Subject to this Article and the Parties’ rights set out in Article XX (General

Exceptions) and Article XXI (Security Exceptions) of the GATT 1994, the Parties shall eliminate immediately all non-tariff barriers upon entry into force of this Agreement.

2. Except where otherwise provided in this Agreement, the Parties undertake not to apply restrictions with respect to trade under this Agreement.

3. The Parties affirm that the GATT 1994 rights and obligations prohibit, in any circumstances in which any form of restriction is prohibited, export price requirements and, except as permitted in the enforcement of countervailing and antidumping orders and undertakings, import price requirements.

4. Where one of the Parties maintains a prohibition or restriction on the importation or exportation of goods originating in the other Party, that Party shall establish that the measure is compatible with this Agreement or the WTO Agreement as the case may require.

5. The Parties agree not to introduce any new prohibition or restriction on the importation or exportation of goods originating in the other Party, after the entry into force of this Agreement.

Article III.10 Customs User Fees

Customs User Fees shall be applied according to the internal legislation of each Party.

Article III.11 Consular Fees

Upon entry into force of this Agreement, no Party shall require consular fees or duties, nor shall require consular formalities for originating goods of the other Party.

Article III.12 Marks of Origin

The Parties confirm their rights and obligations under Article IX (Marks of origin) of the GATT 1994 and any successor agreement.

Article III.13 Support, Internal Aid and Subsidies to Exports

The Parties hereby reaffirm their rights and obligations derived from the relevant WTO Agreements in all that pertains to support, internal aid, and subsidies to exports.

Article III.14 Export Competition and Domestic Support for Agricultural Goods

1. To the extent possible, the Parties share the objective of the progressive reduction and elimination of all forms of trade distorting export competition measures on agricultural goods and shall pursue expansion in the scope of coverage of disciplines in this area.

2. The Parties share, to the extent possible, the objective of achieving the maximum possible reduction or elimination of domestic support measures that distort production and trade of agricultural goods.

3. To the extent possible, the Parties agree to cooperate within the Agriculture Negotiations in the WTO to achieve the effective implementation of Special and Differential Treatment Provisions for developing countries and a review of the criteria for the “green box” category to ensure that it does not distort production and trade.

Article III.15 Export Taxes

Except as set out in Annex III.15 neither Party may adopt or maintain any duty, tax or other charge on the export of any good to the territory of the other Party.

Article III.16 Safeguard Measures

1. The Parties reaffirm their rights and obligations under Article XIX (Emergency Action on Imports of Particular Products) of the GATT 1994, the WTO Agreement on Safeguards, and any other successor agreement.

2. The Parties shall, within one (1) year of the entry into force of this Agreement, meet to review this Article.

Article III.17 Consultations and Committee on Market Access

1. The Parties hereby establish a Committee on Market Access, comprising representatives of each Party.

2. The Committee on Market Access shall meet periodically, and at any other time on the request of either Party or the Council, to ensure the effective implementation and administration of Chapter III (National Treatment and Access of Goods to the Market), Chapter IV (Rules of Origin), Chapter V (Customs Procedures), Chapter VII (Sanitary and Phytosanitary Measures), Chapter VIII (Technical Barriers to Trade) and any Uniform Regulations. In this regard, the Committee on Market Access shall:

(a) monitor the implementation and administration by the Parties of Chapter III (National Treatment and Access of Goods to the Market), Chapter IV (Rules of Origin), Chapter V (Customs Procedures), Chapter VII (Sanitary and Phytosanitary Measures), Chapter VIII (Technical Barriers to Trade) and any Uniform Regulations to ensure their uniform interpretation;

(b) at the request of either Party, review any proposed modification of or addition to Chapter III (National Treatment and Access of Goods to the Market), Chapter IV (Rules of Origin), Chapter V (Customs Procedures), Chapter VII (Sanitary and Phytosanitary Measures), Chapter VIII (Technical Barriers to Trade) or any Uniform Regulations;

(c) recommend to the Council any modification of or addition to Chapter III (National Treatment and Access of Goods to the Market), Chapter IV (Rules of Origin), Chapter V (Customs Procedures), Chapter VII (Sanitary and Phytosanitary Measures), Chapter VIII (Technical Barriers to Trade) or any Uniform Regulations and to any other provision of this Agreement as may be required to conform with any change to the Harmonized System; and (d) consider any other matter relating to the implementation and administration by the Parties of Chapter III (National Treatment and Access of Goods to the Market), Chapter IV (Rules of Origin), Chapter V (Customs Procedures), Chapter VII (Sanitary and Phytosanitary Measures), Chapter VIII (Technical Barriers to Trade) and any Uniform Regulations referred to it by a Party; and (e) recommend to the Council the establishment of subcommittees or technical groups, where appropriate.

3. Each Party shall to the greatest extent practicable, take all necessary measures to implement any modification of or addition to Chapter III (National Treatment and Access of Goods to the Market), Chapter IV (Rules of Origin), Chapter V (Customs Procedures), Chapter VII (Sanitary and Phytosanitary Measures), Chapter VIII (Technical Barriers to Trade) and any Uniform Regulations within one hundred and eighty (180) days after the Council agrees on such modification or addition, or in such time as the relevant amendment to the legislation may be enacted.

4. The Parties shall convene on the request of either Party a meeting of their officials responsible for customs, immigration, inspection of food and agricultural products, border inspection facilities, and regulation of transportation for the purpose of addressing issues related to movement of goods through the Parties' ports of entry.

5. Nothing in Chapter III (National Treatment and Access of Goods to the Market) shall be construed to prevent a Party from issuing a determination of origin or an advance ruling relating to a matter under consideration by the Committee on Market Access or from taking such other action as it considers necessary, pending a resolution of the matter under this Agreement.

ANNEX III.04.2

Costa Rica – CARICOM

Tariff Elimination Schedule

Article 01 General principles

1. All the legal provisions of this Agreement shall be applicable to the contents of this Annex.

2. The Parties agree that the products not included in this Annex will benefit from free trade immediately upon the entry into force of this Agreement.

3. Costa Rica will grant immediate free access, unilaterally, to all originating goods from the LDC members of CARICOM, except for products included in Tables B.1 and B.2 (Excluded Products), and for goods comprised in Tables E.1 and E.2

4. The less developed countries (LDC) members of CARICOM shall not be required to grant preferential treatment to originating goods from Costa Rica. Notwithstanding, should any of the LDC members of CARICOM grant preferential treatment to originating goods from a country not Party to this Agreement, such treatment shall be granted immediately to Costa Rica.

5. The Parties agree that from the date of entry into force of this Agreement and in accordance with the functions assigned to the Joint Council in Article 1.06.2, upon request of either of the Parties, the Joint Council may meet with the purpose of improving market access conditions for goods from both Parties.

6. For the purposes of reciprocal trade between Costa Rica and the Member States of CARICOM, the Most Favoured Nation (MFN) tariff rate applicable by the Parties by January 01, 2003 is bound for products listed in this Annex.

7. The Parties agree that there will be a special and differentiated treatment for Oils, Fats, and Soaps, in accordance with the provisions of the present Annex.

Article 02 Tariff Elimination Schedule

A. Special treatment for selected agricultural products
The Parties agree that upon entry into force of this Agreement, the products included in Tables A.1 and A.2 will be subject to the Most Favoured Nation (MFN) applied  tariff during the months specified. Where a period is not indicated, the tariff line is subject to free trade.

 

Table A.1
Treatment of selected agricultural products imported into CARICOM from

Costa Rica as provided for in Article 02 of Annex III.04.2

  Table A.2

Treatment of selected agricultural products imported into Costa Rica from
CARICOM MDCs as provided for in

Article 02 of Annex III.04.2

B. Excluded products

Goods included in Tables B.1 and B.2 shall be excluded from the Tariff Elimination Schedule, meaning the Parties shall apply the MFN tariff upon those goods classified in such tariff items.

Table B.1
CARICOM List

Table B.2
Costa Rican List

Tariff line HS 2002	Description
02031100	In carcasses and half-carcasses
02031900	Others
02032100	In carcasses and half-carcasses
02071100	Not cut in pieces, fresh or chilled
02071200	Not cut in pieces, frozen
02071391	Breasts
02071399	Others
02071491	Breasts
02071499	Others
0210	Meat and edible meat offal, salted, in brine, dried or smoked; edible flours and meals of meat or meat offal (except 021011 and 021019)
0302	Fish, fresh or chilled, excluding fish fillets and other fish meat of heading No. 03.04
0303	Fish, frozen, excluding fish fillets and other fish meat of heading No. 03.04
0304	Fish fillets and other fish meat (whether or not minced), fresh, chilled or frozen
0306	Crustaceans, whether in shell or not, live, fresh, chilled, frozen, dried, salted or in brine; crustaceans, in shell, cooked by steaming or by boiling in water, whether or not chilled, frozen, dried, salted or in brine; flours, meals, and pellets fo crustaceans, fit for human consumption
0401	Milk and cream, not concentrated nor containing added sugar or other sweetening matter
0402	Milk and cream, concentrated or containing added sugar or other sweetening matter
04070090	Others (only fresh eggs)
06022090	Other (only citrus plants)
Ex 07131000	Blackeye peas
0713.31	Beans of the species Vigna mungo (L) Hepper or Vigna radiata (L) Wilczek
0713.32	Small red (Adzuki) beans (phaseolus or Vigna angularis)
0713.33	Kidney beans, including white pea beans (phaseolus vulgaris)
0713.39	Others
07149010	Dasheen (Colocasia esculenta)
08030011	Fresh
08030020	Plantains (Musa acuminata var. Plantain)
08043000	Pineapples
0805	Citrus fruit, fresh or dried
0901	Coffee, whether or not roasted or decaffeinated; coffee husks and skins; coffee substitutes containing coffee in any proportion
1006	Rice
1602.41	Hams and cuts thereof
1602.42	Shoulders and cuts thereof
1701	Cane or beet sugar and chemically pure sucrose, in solid form
170310	Cane molasses
1806	Chocolate and other food preparations containing cocoa
19021100	Containing eggs
19022000	Stuffed pasta, whether or not cooked or otherwise prepared
19023000	Other pasta
19024000	Couscous
Ex 20089900	Others (only banana and plantains chips)
20091100	Frozen
20091200	Not frozen, of a Brix value not exceeding 20
20091910	Concentrated
20091990	Others
20092100	Of a Brix value not exceeding 20
20092910	Concentrated
20092990	Others
20093100	Of a Brix value not exceeding 20
20093900	Others
20094100	Of a Brix value not exceeding 20
20094900	Others
20098020	Passion fruit (Passiflora spp.) juice
20098040	Tamarind juice, concentrated
EX 20098090	Others (other tamarind juice)
Ex 20099000	Mixtures of juice (only those containing citrus, pineapple, passion fruit or tamarind juice)
Ex 21039000	Others (only pepper sauce)
2201	Waters, including natural or artificial mineral waters and aerated, not containing added sugar or other sweetening matter nor flavoured; ice and snow
EX2202	Waters, including mineral waters, containing added sugar or other sweetening matter or flavored (except aerated beverages), excluding aerated water
2203	Beer made from malt
220840	Rum and tafia
24022000	Cigarettes containing tobacco
Ex 24029000	Others (only cigarettes)
2403	Other manufactured tobacco and manufactured tobacco substitutes; "homogenised or reconstituted" tobacco; tobacco extracts and essences
25010020	Table salt
25010090	Other
25231000	Cement clinkers
25232100	White cement, whether or not artificially coloured
25232900	Others
2904	Sulfonated, nitrated or nitrosated derivatives of hydrocarbons, whether or not halogenated
3208	Paints and varnishes based on synthetic polymers or chemically modified natural polymers, dispersed or dissolved in a nonaqueous medium; solutions as defined in note 4 to this chapter
3209	Paints and varnishes based on synthetic polymers or chemically modified natural polymers, dispersed or dissolved in an aqueous medium:
3210	Other paints and varnishes; prepared water pigments of a kind used for finishing leather
33011100	Of bergamot
33011200	Of orange
33011300	Of lemon
33011400	Of lime
33011900	Other
Ex 33012900	Other (only essential oil of bay)
Ex 33061000	Toothpaste
3402	Organic surface-active agents (other than soap); surface-active preparations, washing preparations (including auxiliary washing preparations) and cleaning preparations, whether or not containing soap, other than those of heading 3401
Ex 34060000	Candles (only candles of paraffin wax and other decorative candles)
3808.40	Disinfectants
42032910	Industrial gloves
4205	Other articles of leather or of composition leather
48181000	Toilet paper
48182000	Handkerchiefs, cleansing or facial tissues and towels
48183000	Tablecloths and serviettes
48184090	Other
70109011	Not exceeding 4 L
70109019	Others
70109021	Cylindrical amber containers, with a mouthpiece equal or less than 32mm, used for pharmaceuticals
70109029	Others
70109031	Not cylinder shape, of a capacity equal or less than 180 ml and a mouthpiece equal or less than 15 mm
70109032	Cylindrical amber containers, with a mouthpiece equal or less than 32mm, used for pharmaceuticals
7010903761010	Doors, windows their frames and thresholds for doors
Ex 84191900	Other (only solar water heaters)
Ex 85445910	Wire and cable of copper (only plastic insulated copper conductor exceeding 0.5 mm2 )
Ex 85445990	Other (only plastic insulated copper conductor exceeding 0.5 mm2 )
Ex 85446000	Other electric conductors, for a voltage exceeding 1,000 V (only those exceeding 0,52)
9401	Seats (other than those of heading No. 9402.00), whether or not convertible into beds, and parts thereof
940330	Wooden furniture of a kind used in offices
940340	Wooden furniture of a kind used in the kitchen
940350	Wooden furniture of a kind used in the bedroom
Ex 94036000	Other wooden furniture (except those of a kind used in schools, churches and laboratories)
94038000	Furniture of other materials, including cane, osier, bamboo or similarmaterials
940390	Parts, of furniture9 Others040 Tamarind juice, concentrated02032900 Others

C. Products subject to tariff elimination schedules

The MFN tariff applicable on January 1^st 2003 for originating goods in the tariff  items included in Tables C.1 and C.2 shall be eliminated in four (4) equal annual stages, starting on the date of entry into force of the Agreement, and continuing the phase out on January 1^st of each following year, to be determined as follow:

 

i)	Date of entry into force	1/4
ii)	January 1, 2005	2/4
iii)	January 1, 2006	3/4
iv)	January 1, 2007	4/4

Table C.1
CARICOM List

Tariff Line	Description
0210191	Pigtails
0210191	Other meat nes salted or in brine
0810903	Passion fruit
1601003	Salami sausages
1801	Cocoa beans, whole or broken, raw or roasted
EX 2007 2007919 2007992 2007993 2007995 2007999	Jams, fruit jellies, marmalades
210310	Soya sauce
2103201	Tomato ketchup
2103202	Other tomato sauces
283322	Sulphates of aluminium
3303	Perfumes and toilet waters
Ex 392310	Boxes
Ex 392321	Sacks and bags of polymers of ethylene
Ex 392329	Sacks and bags of other plastics
Ex 392390	Trays and cups
Ex 3924	Tableware of plastics
4407	Wood sawn or chipped lengthwise, sliced or peeled, whether or not planed, sanded or finger-jointed of a thickness exceeding 6 mm
4409	continuously shaped (tongued, grooved, rebated, chamfered, v-jointed, beaded, moulded, rounded, or the like) along any of its edges or faces, whether or not planed, sanded or finger-jointed)
44121	Plywood consisting solely of sheets of wood, each ply not exceeding 6 mm in thickness
441299	Other
4420	Wood marquetry and inlaid wood; caskets and cases for jewellery or cutlery, and similar articles, of wood; statuettes and other ornaments, of wood; wooden articles of furniture not falling in Chapter 94
Ex 4819	Crates and boxes of paper or paperboard
6402	Other footwear with outer soles and uppers of rubber or plastics
640520	Other footwear with uppers of textiles materials
9405	Lamps and light fittings including searchlights and spotlights and parts thereof, not elsewhere specified or included; illuminated signs, illuminated name plates and the like, having a permanently fixed light source, and parts thereof not elsewhere specified or included
9603	Brooms, brushes (including brushes constituting parts of machines, appliances or vehicles) hand operated mechanical floor sweepers, not motorised, mops and feather dusters; prepared knots and tufts for broom or brush-making; paint pads and rollers; squeegees (other than roller squeegees)

 

Table C.2
Costa Rican List

 

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Tariff line HS 2002	Description
Ex 02101900	Others (including pigtails)
08109030	Passion fruit (Passiflora edulis var flavicarpa)
16010010	Of bovine
16010030	Of swine
16010080	Other (only salami sausages)
16010090	Mixtures (only those containing salami)
1801	Cocoa beans, whole or broken, raw or roasted
Ex 200791 Ex 200799	Only jams, fruit jellies and marmalades
210310	Soya sauce
210320	Tomato ketchup and other tomato sauces
28332200	Of aluminium
3303	Perfumes and toilet waters
Ex 392310	Boxes
Ex 392321	Of polymers of ethylene (excluding cones)
Ex 392329	Of other plastics (excluding cones)
Ex 39239090	Others (trays and cups)
392410	Tableware and kitchenware
4407	Wood sawn or chipped lengthwise, sliced or peeled, whether or not planed, sanded or end-jointed, of a thickness exceeding 6 mm
4409	Wood (including strips and friezes for parquet flooring, not assembled) continuously shaped (tongued, grooved, rebated, chamfered, V-jointed, beaded, molded, rounded or the like) along any of its edges, ends or faces, whether or not planed, sanded or end-jointed
44121	Plywood consisting solely of sheets of wood each ply not exceeding 6 mm in thickness
441299	Other 4420 Wood marquetry and inlaid wood; caskets and cases for jewelry or cutlery and similar articles, of wood; statuettes and other ornaments, of wood; wooden articles of furniture not falling within chapter 94
Ex 4819	Only crates and boxes of paper or paperboard
6402	Other footwear with outer soles and uppers of rubber or plastics