Tobacco, alcohol products and undenatured ethyl alcohol
- Document symbol
- G/LIC/N/3/TPKM/14
- Original language
- English
- Published on
- 11/12/2023
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 tobacco/alcohol importer permit licensing system and the issuance of documents of approval or evidencing the purpose of purchase are regulated by "The Tobacco and Alcohol Administration Act" and "The Regulations Governing Undenatured Ethyl Alcohol", in which the importer permit licensing system is administered by the Ministry of Finance (hereinafter the "MOF"). For importation of undenatured ethyl alcohol to be used for industrial purposes excluding alcohol manufacturing and pharmaceutical manufacturing, the documents of approval or evidencing the purpose of purchase issued by the Industrial Development Bureau, Ministry of Economic Affairs are required; for the manufacture of alcoholic beverages, the documents of approval or evidencing the purpose of purchase issued by the Ministry of Finance are required; for use by the military authority, military schools, or military hospitals, the documents of approval or evidencing the purpose of purchase issued by the Ministry of National Defense are required; for the manufacture of medicated alcohol, the documents of approval or evidencing the purpose of purchase issued by the Ministry of Health and Welfare are required; for medical purposes, the documents evidencing the commencement of business issued by the competent health authority are required; for testing purposes, the documents of approval or evidencing the purpose of purchase issued by the competent authorities for the testing products are required; for experimental research by schools, the documents of approval or evidencing the purpose of purchase issued by the Ministry of Education are required; for experimental research by the Academia Sinica, the documents of approval or evidencing the purpose of purchase issued by the Academia Sinica are required; for energy purposes, the documents of approval or evidencing the purpose of purchase issued by the Bureau of Energy, Ministry of Economic Affairs are required. For importation of dehydrated alcohol with alcoholic strength over 99.5% and unit volume no more than five liters to be used for medication, inspection and experimental research, a photocopy of import license permit of undenatured ethyl alcohol issued by the Ministry of Finance is required.
Purposes and Coverage of Licensing
Q2. Identify each licensing system maintained and state what products, appropriately grouped, are covered.
The system covers tobacco, alcohol, and undenatured ethyl alcohol, as identified by the C.C.C. Code: 2103.90.90.10, 2103.90.90.20, 2203~2208 (with the exception of 2207.10.10 and 2207.20), 2402~2403 (with the exception of 2403.91.00 and 2403.99.10). The system is subject to non-automatic licencing.
Q3. The system applies to goods originating in and coming from which countries?
The system applies to goods originating in or 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?
The system is intended to ensure the sound management of imports pursuant to the above-mentioned acts and regulations.
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?
The acts, regulations and application procedures in relation to this system are available at the website of the National Treasury Administration, Ministry of Finance (http://www.nta.gov.tw/). The Tobacco and Alcohol Administration Act; Enforcement Rules of the Tobacco and Alcohol Administration Act; Regulations Governing Undenatured Ethyl Alcohol. Repeal of the system does not require legislative action.
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)?
Although there is no provision governing how long in advance of importation application must be made for a permit licence, a licence may be issued within 7 to 15 working days from the date of application according to the nature of the documentation required to process the application.
Q7.b. Can a licence be granted immediately on request?
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.
May be submitted on any working day.
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 permit applications is effected by the central competent authority MOF. However, import approvals or documents of evidencing the purpose of purchase are granted by the other relevant competent authorities for importation of undenatured ethyl alcohol not to be used in the manufacture or testing of alcoholic beverages.
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?
None. The reasons for any refusal are given to the applicant electronically. In the event of refusal, by law, the applicant has a right to appeal by following the procedures provided by the law.
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?
Importers subject to the administrative rules and verification of correct usage, are eligible to apply for licence permits.
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?
(a)For a permit licence to import tobacco/alcohol: Applicants are required to submit their applications with declarations and identifications of the responsible persons. For applicants intending to import undenatured ethyl alcohol, a plan of importing undenatured ethyl alcohol is required in addition.
(b) For approvals to import undenatured ethyl alcohol:
(1) MOF approval:
For purposes of processing or repackaging and sale in the manufacture of alcoholic beverages: applicants are required to submit their applications, supplementary explanation statements, and usage-assurance statements with the following documents: a photocopy of the identification of the responsible person, a certificate of safety issued by the competent Fire Agency, and a written authorization from the original producer for repackaging operation. In the case that the importation of undenatured ethyl alcohol is made by an importer based on a contract for commission with an alcohol producer for processing or for repackaging and sale, the above-mentioned documents as well as the contract of commission are required.
(2) For undenatured ethyl alcohol not to be used in the manufacture of alcoholic beverages: applicants are required to submit their applications to the other relevant competent authorities.
Q11. What documents are required upon actual importation?
Upon importation, an importer is required to submit the following documents:
(a) For tobacco and alcohol products and undenatured ethyl alcohol for manufacturing alcoholic beverages: a photocopy of the tobacco/alcohol importer licence is required. When an importer imports undenatured ethyl alcohol, an import approval issued by the authorities as in Item 10(b)(1) is required.
(b) For importation of alcohol products, undenatured ethyl alcohol for producing alcoholic beverages or tobacco products to be repackaged, a certificate of origin is required.
(c) Undenatured ethyl alcohol not for producing alcoholic beverages: approvals to be issued by the other relevant competent authorities.
Q12. Is there any licensing fee or administrative charge? If so, what is the amount of the fee or charge?
Yes there are fees. Examination fee (NTD2,000), license fee (NTD2, 000) and annual licence fee (NTD6,000, in proportion to the number of months of business operation for the first year) are charged for the tobacco alcohol importer license permit. There is no other administrative fee for application of documents of approval or evidencing the purpose of purchase in importing undenatured ethyl alcohol.
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.
There is no deposit or advance payment requirement associated with the issuance of licences or import approval.
Conditions of Licensing
Q14. What is the period of validity of a licence? Can the validity of a licence be extended? How?
A tobacco/alcohol importer license permit is valid without due time. However, the licence permit will be revoked if the importer has not paid the annual license fee or has not operated its tobacco or alcohol import business for a period of two successive years. An approval to import undenatured ethyl alcohol for purposes of processing or repackaging and sale in the manufacture of alcoholic beverages is valid for six months. Other documents of approval or evidencing the purpose of purchase in importing undenatured ethyl alcohol not for the above-mentioned purposes are subject to the requirements of the other competent authorities.
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 of import licence permits or documents of approval or evidencing the purpose of purchase of undenatured ethyl alcohol.
Q16. Are licences transferable between importers? If so, are any limitations or conditions attached to such transfer?
Import licence permits and documents of approval or evidencing the purpose of purchase of undenatured ethyl alcohol are non-transferable between importers.
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 issuance of import licence permits or documents of approval or evidencing the purpose of purchase of undenatured ethyl alcohol.
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, apart from the above-mentioned procedures.
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 automatically provided by the banking authorities for goods to be imported.