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REPORT TO CONTRIBUTE
ITC EXPERT MEETING
28-29 March 2007 NEW DELHI
Rules of Origin
Cambodia had not yet established regulations on rules of origin and intended to introduce
preferential rules of origin as required by its membership in ASEAN. But Cambodia was requested
by the Members of WTO that the Cambodia’ s law and regulations on rules of origin would be in
conformity with the provision of WTO Agreement on Rule of Origin and would incorporate the
requirements of Article 2(h) and Annex II, paragraph 3(d), i.e., that for non-preferential and
preferential rule of origin, the customs authority would provide upon the request of an exporter,
importer or any person with a justifiable cause an assessment of the origin of the import and outline
the terms under which it would be provided, and that any request for such an assessment would be
accepted even before trade in the goods concerned began.
Until now, importers were required by the Government of Cambodia to indicate a product’s
origin in the import declaration for non-preferential trade. The requirement was applied for
statistical purposes only. However, Cambodia intended to comply fully with the provisions of the
WTO Agreement on Rules of Origin in the application of preferential and non-preferential rules of
origin and would be to do so after enactment of the new Customs Law and its implementing
regulations. In particular, the requirements of Article 2(h) and Annex II, paragraph 3(d) of the
Agreement would be established in Cambodia’s Law on Customs from the date of its promulgation,
or if necessary, by government degree.
C. Investments in Cambodia
Investment Climates
F. Conclusion
Economic integration has been increasing, and the process is irreversible. It is difficult to
conclude a priori that integration is either good or bad for Cambodia. Much will depend on how
adroitly the process is managed. In any case, economic integration will definitely have both positive
and negative impacts. The positive impacts will have to be maximized, and the negative impacts
will have to be well managed if Cambodia is to benefit unequivocally from integration. The
government needs to maintain macroeconomic stability so as to create the proper conditions for
investment and savings, to push for outward-oriented policies to promote efficiency through
increased trade and investment, to promote structural reform to encourage domestic competition,
and to create strong institutions to foster good governance.