GENERAL AGREEMENT ON TARIFFS AND TRADE
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1 GENERAL AGREEMENT ON TARIFFS AND TRADE RESTRICTED COM.IIl/7/Rev.l 9 February i960 Limited Distribution Committee III ~ Expansion of Trade DOCUMENTATION FOR COMMODITY STUDIES Note by the Secretariat Tobacco This commodity schedule in summary form has been prepared by the secretariat for the information of Committee III on the basis of commodity information furnished by the contracting parties in response to the requests made in documents COM.IIl/l C0M.il/5i other information which is available to the secretariat. This will replace the earlier document COM.IIl/7»
2 C0lil.JII/7/Rev.l Page 2/3 E E C United States Germany France Italy Benelux (1) Duties are shown in page 4, COM. 11 /tj(b) (2) Duties collected on total Imports of unmanufactured tobacco in fiscal year 1953 (July June 1958) was million. This was equivalent to about 18? of the Import value of the tobacco. (3) The incidence for ad valorem purposes can readily be calculated from tiie tariff rates shown in the above document. (1 ) EEC countries. AOT's (2) Third countries (1) Unmanufactured: DM.162 per 100 net kgs. (2) Cigarettes: Dlii.7,500 per 100 nit kgs. (1) Unmanufactured: DM.180 per 100 net kgs. (GATT). Average Incidence (1958): ad valorem. (2) Cigarettes: DM.7,500 per 100 net kgs. Free (GATT) 1 Note: % 1855 ad val. rates «ill be Free Note: 92 18$ ad val. rates will be applied at the end of the first second applied at the end of the first second stages, respectively. stages, respectively. (The common external ta Mff for leaf tobacco (List F): M ad valo -em) Unmanufactured: Fl per 100 net kgs. (Netherls) B.ffs per 100 net kgs. (BLEU) Unmanufactured: Fl per 100 net kgs. (Netherls) B,frs.413 per 100 net-kgs. (BLEU) Average incidence : 6.8? ad valorem Note: Benelux duty will be increased at the end of each stage. (GATT) (1) Hone, except with USSR. (2) Application of restrictions: Individual authorization procedure. Restricted (under monopoly operation) Imports are under the control of State monopoly. Imports from Japan Chile are under licence. Netherls: Belqium: (1) Not applicable to unmanufactured tobacco Turnover equalization tax: h% but manufactured products are subject to Consumption tax: according to the product Revenue Internai Fiscal various internal taxes. (2) Aside from tariffs, all federal tobacco revenue is derived from internal revenue taxes on tobacco products - both domestic Imported. (levied on goods manufactured from Iraprrted tobacco) Netherls: (3) Internal revenue taxes on oroducts represent over 1% of total federal revenue. The monopoly is exercised by SEITA The Tobacco Monopoly covers all stages which takes over whole crop of marketing from the cultivation controls manufacture, domestic sale imports. The price is fixed by the Government. importation of raw tobacco to the distribution of tobacco products. Statistics (1956) show: Domestic pro duction of raw tobacco; 714,000 quintals import; 76,300 " export; 123,500 " Tobacco is eligible for export under Title 1 of PL 480 some quantities are being exported under this programme. Acreage controls arc in effect. Seing one of the six so-called basic crops, tobacco is subject to matory price supports. This concession is supplemented by a Note to the Schedule providing for the annual importation by the State Monopoly of 15,000 tons of leaf tobacco originating in countries outside French Union, further provision is made for this amount to be Increased in Belgium: Production subsidy on high grade tobacco is paid from Agricultural Fund. Amount of the subsidy In 1959 is Frs,10,000,000. Netherls: certain ci rcuestances.
3 C0l,i.lll/7/Rcv.l Page 4 TOBAuCO Revenue Duties United Kingdom Full Preferential Excise (p^r lb.) (per lb.) (per lb.) c d d " ' Unmanufactured tobacco: Unstripped (a) ^ T* 9" 9 in* 7I 9 in" c.t Unstrippcd (b) j {-. Stripped (a) l\ Û *. Stripped (b) l\ ,-. 0 (a) Containing 10 lbs. or more of moisture In every 100 lbs. weight thereof. (b) Containing, loss than 10 lbs. of moisture in every 100 lbs. weight r thereof. Tobacco: Unraanuf cursd: Turkish; Canada D, (cts. per lb.-)-.- n, TT,, Rates uatt status BP IJFÎI General BP UFN Unstsmmcd x x Stemmed X Other; Unstemmed x Stemmed X Switzerl Ran tobacco: Existing tariff: Frs per 100 kgs. (incidence 5.2? ?) New tariff: " Cigars unstemmed: \l{ 12$ 40 x Cigars stemmed: X (1) Imports from sterling area: 0GL (2) Imports from other sources: Subi cet to individual licunce. (3) Imports from outside the dollar area: Licences are granted freelj; (4) Dollar area: United Kingdom manufacturers are required to give written undertakinas Quanti tativo : annually to limit to a maximum of 61? the dollar area proportion of the flus-cured oriental leaf /in production for hone market to be economical in the use of other dollar area tobaccos, in the production for the home market in the use of all dollar area tobaccos in production for export. Subject to these conditions the Government is prepared each year to allocate to the trade sufficient dollars at least to buy the equivalent of the dollar area tobacco that is expected to be used in the year. Revenue Internal fiscal Revenue duty is charaed both on the produce on imported coeds manufactured from it. The ad valorem incidence (1957) of duty on unmanufactured, unstripped leaf tobacco containing not less than 10? of moisture is 1147? (ill!) 1118? (Preferential) respectively. Corresponding duties are charged on stripped tobacco 1 ccf, on tobacco containing less than 10? of moisture on goods derived from the loaf. Consumption op sales tax of 11?: Tobacco unnanuf:..cured - flue-cured - dark - oriental semi-oriental - other types Processing tax on raw tobacco which is manufactured into cigars, cigarettes oioe tobacco. (Sec C0B.III/B.9(a)) (Sec COIiUI 1/11.9(1)) ilonc ; ione (See COM. 11 /W.9(a) page 4) ith effect from 1 February 1960, control was removed from dollar imports of tobacco tobacco manufa-tures (other than ci r ars).
4 COM. I il/7/rev.l Pane 5.Svicden Norway Jaoan 1 Australia Tobacco, Including manufactured tobacco: Tariff preference: Ncne Free Tobacco: (Leaves without stem 70 ore per kg. (GATT) (Oth.r: 65 ore per kg. (GATT) 355? ad'valorer The rate of 355* is applied to tobacco Including ' cigarette leaf manufactured tobaccc imported by private individuals! iith the permissions from the Japan Monopoly Corporation. Tobacco lnaported by the Corporation is unconditionally exempt iron customs duty. Sa COM,11/14 (1) Imports from dollar area, OEEC countries, sterlinq area, Belgian, French, Italian, Portugese Dutch currency areas, Indonesia Sonalia: Free list (2) Imports from GATT countries npt falling under either of these free lists (Czechoslovakia, Brazil, Chile, Peru, Uruguay Jaoan): subject to licences formally restricted. (3) Czechoslovakia Japan: Govcrn fl d h\ trade : Unmanufactured tobaccc (used in "aking cigars, cigarettes tobacco) is licensed on an administrative (world) basis. Allocation is ^ade available in the light of overall sjpply/dem position in conjunction with BP considerations. Account is jle? taken of the seasonal nature of the it~n_ agreements. (4) Brazil, Chile, Peru Uruguay: Not regulated by trade agréèrent, but import are granted freely. licences Revenue. Internal Fiscal Nona Stamp Tax: Pine tobacco: 300? of the price on raw tobacco. Ciaarettes: apprnx. 700? of the price on raw tobacco, Ilote: The volume, of revenue is apprcx.335 million which amounted to 5? of the total revenue Tobacco Monopoly, operated by the Japan Monopoly Corporation, covers production, distribution, sale Import, no customs duty or internal fiscal charges are lev id upon tobacco. Excise duty (per It.) (1) Tobacco: 6/lldr- 31/l0d. (2) Clqars: 22/5d.-23/5d. (3) Ciaarettes: 3l/7d.-31/10d. (4) Si.uff: 4/~d. Saks tax: Exempt monopolies State monopoly for tobacco: No special control the Imports when imported by the monopoly. of (1) Tobacco is imported exclusively by the J.oan Monopoly Corporation or those who are consislgned to Import for the Corporation, (il) (a) leaf tobacco of foreign origin wiiich cannot be substituted by domestic products is Imported for special use. (b) no imports arc treated in a discrirlnatcry manner. lone Percentage guota: Manufacturers who use in cigarettes cut tobacco a minimum specified percentage of domestic tobacco leaf are entitled to pay a concessional rate of Import duty on the imported leaf. The percentage of domestic leaf which must be used by manufacturers, as a condition of paying the concessional rate of import duty, are currently 22 for cigarette manufacture 23? for tobacco manufacture. From 1 July I960 the percentage Bill be Î respectively. (See COM.11/2 (q)
5 COM.III/7/Rov.l Page 6 New Zeal Denmark Finl Austria British... P 7 ' iiifn General C 11 \ Tobacco unmanufactured to be manufactured into Tobacco, unmanufactured: Incidence: ore oer kq. (GATT) Tobacco: 45: (13.5?) or 13: (54.52) Unmanufactured tobacco: Sch.1,500 Incidence: 34IJ cigarettes, tobacco or snuff: 3/9d, 3/9d. 3/9d. + ~- Tobacco, unmanufactured to be manufactured into < 66 *> surtax (no Inports) cigars: Free Free* Free Note,: inports by the monopoly are exempt from duty * Only the "margin of preference" is bound Tobacco, unmanufactured: restricted (applications for import licences are considered individually) Note : See MGT(59)35 Tobacco, unmanufactured: liberalized Note: Reference is made to the report prepared for the GATT consultations of 9 inarch 1959 in pursuance r f Article Xll. i.one See l:igt(59)65 See sccticn "Stat-. Trading " Revemœ Internal Fiscal (1) Internal fiscal charges: Hone (2) No distinction between revenue protective duties is made. Tax on manufactured tobacco: Cigarettes = Sre each. Smoking tobacco, cut plug, granulated tobacco, etc. = Kr. per kg. Smoking tobacco, fine-cut = Kr.45-6C per kg. Quids snuff = 17 or 32? of retail price, the tax included. Cigars, cheroots cigarillos: A. acods the weight of which exceeds 3g. each - 1. Wholesale value, including tax, not exceeding 74 ere each - 16 ore each. 2. Wholesale value, including tax, exceeding 74 ore each - 16 ore or 74 ore 50? of the îmount by which the wholesale value exceeds 74 ore. B. Goods the weight cf which is 3g. each or loss - 40? of the wholesale value, including tax, with a mini HUT; of lu ore each a maximum of 16 Ere each. Note: No revenue er Internal fiscal charges are levied on unmanufactured tobaccr. (1) Turnover tax Tobacco: Exempt (2) Consumption tax. Tax on tobacco. The basic tax is collected in accordance with the law of 9 December 1933 (No.382/38); the other t^xes in accordance with the law of 2 September 1957 (No.296/57) on the retail price of the products as follows: Cigarettes: With cardboard xubc 46? Cigarette paper already rolled, in Bcjond the basic tax mentioned above a furthur tax is collected in accordance with n Decree of the Council of Ministers (26 February 1959). The basic t\ax additional tax constitute about 70? of the retail price of tobacco. (1) Fiscal duties are levied on xebacco; besides, on tobacco is levied the monopoly charge (Sch.40 per kg.). All products inoorted (including tobacco) are subject to turnover countervail inn tax except products on Free List 1. (2) The rate of the turnover countervailing tax, in general Is 5.25* of the purchase price. iione iillxinq regulations: Under the Tobacco Growino Industry Regulations 1945, manufacturers are required to use overall in their nanufacuring processes in New Zeal 302 of New Zeal grown leaf during each year. See C0i;i.lll/?(f) (1) Import of unmanufactured tobacco without special licence of the monopoly authority (Federal Ministry af r inance) la prohibited; such licences arc not issued. (2) Unmanufactured tobacco is imported only by the monopoly administration. Such inports are exempt from duty turnover countervailing tax as well as from monopoly charge anc no import licence is required. 'lone i._
6 COM.IIl/7/Rev.l Page 7 rolacco per lb. (Inciaence ) 137;' Rhodesia iiyasal îh-mc South AfriCu Brazil A 1 1 JSL 7/-d. 5/-d. 5/-d. 5/-d. Icte: There is no preference which discriminates against M FN suppliers. Manufactured p. r lb Clqars : Ciqarettcs: ii ii Other œ.nut : L u re d tobacco end snuff: 9s. 3d. (] />) 2.-s. -d. (7.25 ;) 1.1%. 6d. (2.77 :,) 1.10s.-d. (4.15 2) Clo-rs cigarillos: (GATT) Cigarettes: in addi Lion per 50 cigarettes Mi ni IP-inn Intermediate hjaxjjuj c. s. d, s, d. s. d. (per lb.) , lj o 0. 3 Snuff: Tobacco, manufactured: Tobacco, unmanufactured*: *Dutics temporarily suspended.,1 Unrconufactured: In leaves; 60» Stems other tobacco waste; 60? '"rapper tobacco for cigars: 307) Clears, cheroots, ciqarettcs other manufactured tobacco: 150» Extracts, essences other products, tobacco: 60? containing t.one Japan: Specific licences. Cellar ere":: Individual licences. USSR, other c-skrn European countries, French. Sor.al i 1..Lchnon, Sudan Syria: Quota licences. Israel United Arab Republic: Bilateral arrangements. Other non-dollar countries: (See COM.Ill/a.9(c)) Foreign currency for imoorts is offered at public auctions. These products are classified in the "special" category. Revenue.There are nc fiscal dutks or charges levied on Internal Fiscalunnanufactured ;aljur tobacco. (1) iio Internal fiscal charges. (2) Import duties are levied for revenue purposes. Non^ Tcbacco fertilizer tobacco fertilizer ] 4,000) trans; ort subsidy: 5 per ten on (estimated amount of subsidy in Identified flue-cured tobacco subsidy: Varies with auction prices (estimated amount of subsidy in ; 15,000(). lone Tobacco Board fixes the minimum soiling prices of manufactures inncses levies tc build up a r-scrva fund. From this fund the Central Cc-rperatlve Tcbacco Company is compensated for any short fall on the prices of leaf exported. Special railage rates art Set up for loaf tobacco exported. Hone!
7 Czechoslovakia Belgian Congo Rua-Urundi Raw tobacco Autonomous Conventional Import duties: 302 Tapi ff s Kcs. 1,000* per 100 kgs. *Custcias duty is not levied pursuant, to a temporary suspension Tariff preference: nil Export duties: Ex. of customs duties under Section 2 of the Government Decree No.59/1954 Collection of Laws of 17 December (1) Imports are not subject to any licence proceedings or Import restrictions; only barters require special permit from Ministry of Foreign Trade. (2) The planned impart ( export) is managed independently by the Czechoslovak foreign trade corporations sliich on the basis of commercial considerations choose the market on which they purchase (or sell) their goods. No payment permit is required for imports ( exports). i (1) There are no legal provisions or regulations imposing quantitative restrictions on imports of products originating from number countries of the GATT. (2) flith regard to Japan, the reservation provided as per Article 35 will continue to apply as long as no bilateral agreement has been concluded. (3) With one of the member countries our trade relations are governed by a bilateral agreement based on quotas. See COM. 111/11) Revenue Internai Fiscal Import duties arc levied for fiscal purposes See COM. II1/11 L/784/Add.l
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