Vehicles, petrol and gas, timber and timber machines, rice, steel, cement, printing products and minerals
- Document symbol
- G/LIC/N/3/LAO/1
- Original language
- English
- Published on
- 11/03/2014
Outline of Systems
Q1. Give a brief description of each licensing system as a whole and, with respect to each, reply to the following questions as relevant, placing all of the material with respect to a given system in sequence together, and using cross references as appropriate when elements which have already been described are also present in another system.
The import licensing system in Lao PDR is maintained generally under Decree No. 180/PM of 7 July 2009 "On Import Licensing Procedures" (Decree No. 180/PM), within the general principles set-out by Decree No. 114/GoL of 6 April 2011 "On Import and Export of Goods" (Decree No. 114/GoL).
Both automatic and non-automatic import licensing systems operate in Lao PDR. The Ministry of Industry and Commerce in close consultations with relevant ministries and state agencies defines the list of goods subject to automatic and non-automatic import licensing systems. This consultation mechanism is carried out based on general principles set-out by Decree No. 114/GoL. Defining and supervising the implementation of the policy for import licensing for each type of goods fall under the responsibility of the ministry supervising such goods. For example, the Ministry of Health defines and supervises the implementation of the policy for import licensing of medicines and food. In addition to supervising the implementation of the policy for import licensing, the Ministry of Industry and Commerce serves as the focal point to inform the public of the list of goods subject to import licensing requirements in order to facilitate international trade. The rules and regulations for import licensing procedures are administered in a transparent, fair
and impartial manner.
Purposes and Coverage of Licensing
Q2. Identify each licensing system maintained and state what products, appropriately grouped, are covered.
The list of goods subject to automatic licenses mentioned in Annex A of the Notification No.0076/MOIC.DIMEX, dated 13 January 2012 are the following:
1) Road vehicle, except road vehicle with three wheels;
2) Petrol and gas;
3) Logs, trunks, barks and transformed timber;
4) Unmilled rice, low standard rice, premium rice, semi-milled or fully milled rice whether filtering or not;
5) Steel bars and transformed steel;
6) Cement, mortar, concrete;
7) Printing product;
8) Mineral and Mineral products; and
9) Timber exploitation machines, logging machines, chain saw including parts and equipment thereof.
Q3. The system applies to goods originating in and coming from which countries?
The licensing regime applies to products originating in and coming from all countries.
Q4. Is the licensing intended to restrict the quantity or value of imports, and if not, what are its purposes? Have alternative methods of accomplishing the purposes been considered and if so which? Why have they not been adopted?
Automatic import licensing is applied for statistical and monitoring purposes. The licensing is not intended to restrict the quantity or value of imports.
Q5. Cite the law, regulation and/or administrative order under which the licensing is maintained. Is the licensing statutorily required? Does the legislation leave designation of products to be subjected to licensing to administrative discretion? Is it possible for the government (or the executive branch) to abolish the system without legislative approval?
Is the licensing statutorily required?
The licensing system is a statutory requirement of Decree No. 180/PM as implemented by relevant authorities of the Lao PDR.
Does the legislation leave designation of products to be subject to licensing to administrative discretion?
The legislation does not leave designation of products to be licensed to administrative discretion.
Is it possible for the government to abolish the system without legislative approval?
The licensing system may be abolished without legislative approval.
Procedures
Q6. For products under restriction as to the quantity or value of imports (whether applicable globally or to a limited number of countries or whether established bilaterally or unilaterally):
Q6.I. Is information published, and where, concerning allocation of quotas and formalities of filing applications for licences? If not, how is it brought to the attention of possible importers? Of governments and export promotion bodies of exporting countries and their trade representatives? Is the overall amount published? The amount allocated to goods from each country? The maximum amount allocated to each importer? How to request any exceptions or derogations from the licensing requirement?
Q6.II. How is the size of the quotas determined: on a yearly, six-monthly or quarterly basis? Are there cases where the size of quota is determined on a yearly basis but licences are issued for imports on a six-monthly or quarterly basis? In the latter case, is it necessary for importers to apply for fresh licence on a six-monthly or quarterly basis?
Q6.III. Are licences allotted for certain goods partly or only to domestic producers of like goods? What steps are taken to ensure that licences allocated are actually used for imports? Are unused allocations added to quotas for a succeeding period? Are the names of importers to whom licences have been allocated made known to governments and export promotion bodies of exporting countries upon request? If not, for what reason? (Indicate products to which replies relate.)
Q6.IV. From the time of announcing the opening of quotas, as indicated in I above, what is the period of time allowed for the submission of applications for licences?
Q6.V. What are the minimum and maximum lengths of time for processing applications?
Q6.VI. How much time remains, at a minimum, between the granting of licences and the date of opening of the period of importation?
Q6.VII. Is consideration of licence applications effected by a single administrative organ? Or must the application be passed on to other organs for visa, note or approval? If so, which? Does the importer have to approach more than one administrative organ?
Q6.VIII. If the demand for licences cannot be fully satisfied, on what basis is the allocation to applicants made? First come, first served? Past performance? Is there a maximum amount to be allocated per applicant and, if so, on what basis is it determined? What provision is made for new importers? Are applications examined simultaneously or on receipt?
Q6.IX. In the case of bilateral quotas or export restraint arrangements where export permits are issued by exporting countries, are import licences also required? If so, are licences issued automatically?
Q6.X. In cases where imports are allowed on the basis of export permits only, how is the importing country informed of the effect given by the exporting countries to the understanding between the two countries?
Q6.XI. Are there products for which licences are issued on condition that goods should be exported and not sold in the domestic market?
Q7. Where there is no quantitative limit on importation of a product or on imports from a particular country:
Q7.a. How far in advance of importation must application for a licence be made? Can licences be obtained within a shorter time-limit or for goods arriving at the port without a licence (for example, owing to inadvertency)?
How far in advance of importation must application for a licence be made?
In accordance with Article 2.2(a)(ii) of WTO Agreement on Import Licensing Procedures, an application for a licence may be submitted on any working day prior to the customs clearance as defined by Article 6.2 of the Decree No. 180/PM.
Can licences be obtained within a shorter time-limit or for goods arriving at the port without a licence
Properly submitted applications shall be approved immediately on receipt, to the extent administratively feasible, but within a maximum of 10 working days.
Q7.b. Can a licence be granted immediately on request?
A licence can be granted immediately on request, to the extent administratively feasible.
Q7.c. Are there any limitations as to the period of the year during which application for licence and/or importation may be made? If so, explain.
There are no limitations as to the period of the year during which application for licence and/or importation may be made.
Q7.d. Is consideration of licence applications effected by a single administrative organ? Or must the application be passed on to other organs for visa, note or approval? If so, which? Does the importer have to approach more than one administrative organ?
Consideration of licence applications is effected by a single administrative body.
Q8. Under what circumstances may an application for a licence be refused other than failure to meet the ordinary criteria? Are the reasons for any refusal given to the applicant? Have applicants a right of appeal in the event of refusal to issue a licence and, if so, to what bodies and under what procedures?
Under what circumstances may an application for a licence be refused other than failure to meet the ordinary criteria?
Beyond the failure of an applicant to meet standard criteria, a request for import licence may be refused by the relevant authority.
Are the reasons for any refusal given to applicants?
The reasons for refusal of issuing a licence are provided in writing to the applicant.
Have applicants a right of appeal in the event of refusal to issue a licence?
Yes.
If so, to what bodies and under what procedures?
The applicants have the right to appeal against such a refusal in front of the higher authority and/or to seek recourse to the court of the Lao PDR in accordance with the Law No.7/NA of 9 November 2005 "On Handling Petition" to reverse such a refusal.
Eligibility of Importers to Apply for Licence
Q9. Are all persons, firms and institutions eligible to apply for licences: (If not, is there a system of registration of persons or firms permitted to engage in importation? What persons or firms are eligible? Is there a registration fee? Is there a published list of authorized importers?) a) under restrictive licensing systems? b) under non-restrictive systems?
All individuals, entities and organizations are eligible to apply for a licence as long as they meet the specific requirements.
Documentational and Other Requirements for Application for Licence
Q10. What information is required in applications? Submit a sample form. What documents is the importer required to supply with the application?
What information is required in applications?
The application for a licence contains the general information regarding the applicant (name, address, contact details) and product in question (quantity, value, country of origin, point of importation).
What documents is the importer required to supply with the application?
The following documents have to be annexed to the application for a licence:
- Copy of valid enterprise registration certificate or concession certificate (for applicants domiciled in Lao PDR);
- Copy of valid business registration certificate issued by the competent authority of the relevant country (for applicants residing outside of Lao PDR); or
- Copy of Valid ID card or Passport.
Q11. What documents are required upon actual importation?
At the time of actual importation, the import licence must be presented to the customs at the port where the entry takes place.
Q12. Is there any licensing fee or administrative charge? If so, what is the amount of the fee or charge?
Please refer to Presidential Decree No. 003/PPO of 26 December 2012 "On Fees and Service Charges".
Q13. Is there any deposit or advance payment requirement associated with the issue of licences? If so, state the amount or rate, whether it is refundable, the period of retention and the purpose of the requirement.
No deposit or advance payment is required in connection with the issue of licenses.
Conditions of Licensing
Q14. What is the period of validity of a licence? Can the validity of a licence be extended? How?
An import licence is valid for one year and can be extended not exceeding three months.
Q15. Is there any penalty for the non-utilization of a licence or a portion of a licence?
There is no penalty for the non-utilization or a portion of a licence.
Q16. Are licences transferable between importers? If so, are any limitations or conditions attached to such transfer?
Import licence is not transferable.
Q17. Are any other conditions attached to the issue of a licence? a) for products subject to quantitative restriction? b) for products not subject to quantitative restriction?
There are no other conditions attached to the issue of a licence.
Other Procedural Requirements
Q18. Are there any other administrative procedures, apart from import licensing and similar administrative procedures, required prior to importation?
There are no other administrative procedures required prior to importation.
Q19. Is foreign exchange automatically provided by the banking authorities for goods to be imported? Is a licence required as a condition to obtaining foreign exchange? Is foreign exchange always available to cover licences issued? What formalities must be fulfilled for obtaining the foreign exchange?
Foreign exchange is provided for goods to be imported as agreed between commercial banks and importers.