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20S1 IMKT - EIMJ - Bailey, A
20S1 IMKT - EIMJ - Bailey, A
REGISTRY DEPARTMENT
COURSEWORK ASSESSMENT
COVER SHEET
CAMPUS: MAIN: CASE OFFSITE:
Plagiarism
Plagiarism is the failure to properly acknowledge the use of another person’s work, or submitting
for assessment, material that is not a student’s own work. This is a form of academic misconduct
and is a serious offence which can lead to severe penalties, up to and including expulsion
(depending on the severity of the case). Please see your CASE student handbook for further
information.
Declaration of Authorship and authorization to verify that it is original:
I ALEX BAILEY certify that the attached work is my own and that all material which is not my own has
been appropriately cited and referenced.
Sign by student:
This Minor Assignment is submitted in partial fulfilment of the requirements for the
Course International Marketing (IMKT 4101); with regards to reading for the attainment of a
Foods)
Submitted by:
CWG # 1
Submitted to:
CWG # 1
This MINOR Assignment is submitted in partial fulfilment of the requirements for the
Course International Market (IMKT4101); with regards to reading for the attainment of a
Bachelor of Science (B.Sc.) Degree in Agriculture Production and Food System Management
Jamaica’s Historical Trade deficit review (All ASYCUA Commodities) ……....... 10 -12
Export procedures for clearance and shipping from Jamaican ports ……………………… 17- 19
Taxes duties and fees applied to exports and example computing associated costs ………
Import procedures for clearance and receiving at Jamaican ports ……………………....... 20 -21
Taxes duties and fees applied to imports and example computing associated costs …....... 23
SPECIFIC Commodities
1. Situational analysis
Export procedures for clearance and shipping from Jamaican ports ……………………… 24
Taxes duties and fees applied to exports and example computing associated costs ……… 24
Taxes duties and fees applied to imports and example computing associated costs …....... 24
References ………………………………………………………………………………... 25
List of Tables
PAGE #
TABLE 1 …………………………………………………………………... 10- 11
TABLE 2 …………………………………………………………………… 12- 13
TABLE 3 …………………………………………………………………… 14
TABLE 4 ……………………………………………………………………. 14
TABLE 5 ……………………………………………………………………. 15
TABLE 6 ……………………………………………………………………. 17 -19
Organization of the Document
This Document consist of Twelve (12) components of Import/ Export Manual included a General
Commodity follow up by a Specific commodity.
Starting of the Manual (Preambles) this includes executive summary, table of content and list of
tables.
Second Components (Jamaica’s trade measures and facilitation: requirements for export) Sub-
heading includes: Items require license for export, obtaining an export license, Exporting
procedures for clearance and shipping, taxes duties and fees applied to exports.
Third Components (Jamaica trade measures and facilitation: requirements for import) Sub-
heading includes: Items require license for import, obtaining an import license, Importing
procedures for clearance and shipping, taxes duties and fees applied to exports.
References: includes sources from which information was taken to complete this manual.
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1. Situation Analysis
a. Institutional Framework for Trade: Source from Jairzenho Bailey Class Handout
IMKT 20S1_W7C7CH13
The formulation and coordination of Jamaica’s foreign trade policy remains mainly under
the authority of MFAFT, which coordinates trade policy matters and is responsible for
bilateral, regional, and multilateral trade and investment negotiations. Other ministries
that are involved in trade-related activities and thus collaborate with MFAFT to design
and implement trade strategies and policies include but are not limited to the:
Ministries:
Ministry of Defense, Economic Growth and Job Creation
Ministry of Transport and Mining
Ministry of Tourism
Ministry of National Security
Ministry of Local Government and Community Development
Ministry of Labour and Social Security
Ministry of Justice
Ministry of Industry, Commerce, Agriculture and Fisheries
Ministry of Health
Ministry of Foreign Affairs and Foreign Trade
Ministry of Finance and the Public Service
Ministry of Entertainment, Sports, Culture and Gender Affairs
Ministry of Energy, Science and Technology
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FOREIGN TRADE POLICY1 Given the importance of trade to the Jamaican economy, the country’s
Foreign Trade Policy has been centered on maintaining and securing markets for its exports of goods
and services under the most favorable terms at the bilateral, regional and multilateral levels. From
1962 to 1994, the focus was on trade in goods and, within the General Agreement on Tariff and Trade
(GATT) and the United Conference on Trade and Development (UNCTAD), the emphasis was on
securing development-oriented non-reciprocal trading arrangements, such as the Generalized System
of Preferences (GSP). Within this period similar arrangements, such as the ACP/EC Lomé
Conventions, were secured with trading partners from developed countries. Jamaica also prioritized
regional integration through the Caribbean Community (CARICOM). Since 1994, with the adoption
of the WTO General Agreement on Trade in Services (GATS), trade has involved both goods and
services. Jamaica has maintained its emphasis on development in the WTO Doha Round negotiations
and in negotiations for a Free Trade Area of the Americas and the ACP (CARIFORUM)/EU regional
Economic Partnership Agreement (EPA). Jamaica also supported deepening of regional integration to
establish the CARICOM Single Market and Economy (CSME). This trade policy agenda has been
influenced by global trade and economic developments through the decades.
a. International (bilateral and Multilateral) trade agreement Source on Trade Board Ltd
MULTILATER TARDE AGREEMENT:
1.
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Trade in the WTO takes place in accordance with four key principles:
(1) Most Favored Nation (MFN), which requires that a Member accord the same level of
treatment (non-discrimination) to all other Members;
(2) National Treatment, which requires each Member to treat imports no less favorably than it
treats domestically produced goods.
(3) Transparency, which ensures that trade information is readily available, and
(4) Reciprocity, which requires that benefits accrue to all parties.
The schedules represent the commitment not to raise the applied tariffs above the MFN bound
rates. Some of the multilateral agreements governing trade in goods include:
The General Agreement on Tariffs and Trade (GATT) - establishes the rules related to
trade in goods; The Agreement on Agriculture which deals with market access, domestic
support, and export competition for agricultural products;
The Agreement on Sanitary and Phytosanitary Measures (SPS) which concerns the
application of food safety, animal and plant health measures by governments which may,
directly or indirectly, affect international trade;
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The Agreement on Technical Barriers to Trade (the TBT Agreement) which regulates a
country’s right to adopt technical regulations and standards, as long as they do not
constitute unnecessary barriers to trade;
The Agreement on Antidumping Practices which provides disciplines for the application
of anti-dumping measures in case dumped imports are causing or threatening to cause
material injury to the domestic industry of like products; and
The Agreement on Safeguards, which allows WTO members to restrict imports of a
product temporarily if the domestic industry is injured or threatened with injury caused
by a surge in imports.
The GSP is a system whereby developed countries grant preferential treatment to eligible
products imported from developing countries. The preference-granting country is also known as
the donor and the preference receiving country as the beneficiary. The GSP is an officially
agreed exception to the WTO MFN principle. The GSP was adopted at the second United
Nations Conference on Trade and Development (UNCTAD) in 1968 and granted a permanent
GATT MFN waiver in 1979 (Tokyo Round of Multilateral Trade Negotiations). The intent of the
GSP was to assist developing countries to further integrate into the global trading system by
offering access to developed markets on preferential duty terms The donor countries grant, not
necessarily duty-free access, but reduced duties i.e. lower than the MFN rates.
For Jamaica, which are the GSP Donor Countries? Australia Belarus Japan New Zealand
Norway Russian Federation Switzerland
for Caribbean Basin products until 30 September 2020. In 2012, 45.1 per cent of Jamaica’s
exports to the USA entered duty-free under CBERA. Whilst the duration of CBERA is
indefinite, as a non-reciprocal preferential trade arrangement, it is incompatible with WTO
rules on non-discrimination and, thus, requires a waiver from the WTO Most Favoured
Nation (non-discrimination) rule. The most recent MFN waiver expired in 2014. There has
been preliminary approval for a new waiver from the WTO up to 2019. Beneficiaries of
CBERA must also meet conditions established by the US Government.
Treaty of Chaguaramas establishing the CARICOM Single Market and Economy (CSME),
the regional arrangement was further deepened to facilitate the free movement of goods,
services, labour and capital, as well as the right to commercially establish businesses
throughout the Community. Currently, only the CARICOM Single Market is operational.
The Treaty also provides for the implementation of a common trade policy.
Members of the CSME are: Antigua and Barbuda Barbados Belize Dominica Grenada
Guyana Haiti Jamaica St. Kitts and Nevis Saint Lucia St. Vincent and the Grenadines
Suriname
(EPA) The CF/EU EPA is a region-to-region trade and development agreement. Jamaica
signed the EPA on 15 October 2008, and the agreement has been provisionally applied since
29 December 2008. However, Jamaica has not yet formally ratified it. Jamaica began
implementing the phased reduction of duties on goods imported from the EU as of 1 January
2011. The application and scope of the EPA are more comprehensive compared to previous
trade agreements. It covers trade in goods and services as well as trade-related measures,
such as government procurement, competition policy, intellectual property, environment,
social issues and protection of personal data.
Goods coverage: The EPA provides for immediate duty-free, quota free access to the EU
market for the export of goods, excluding arms and munitions, as well as out-of-quota sugar
exports, with the latter’s full liberalization expected in 2015. It also allows for trade in
services according to the schedules of commitments of participating countries.
Jamaica and Venezuela signed the Petro Caribe Bilateral Agreement on 23rd August 2005, to
facilitate energy security and the promotion of economic and social development. The
agreement contains a trade compensation mechanism which enables Jamaica to export goods
and services to Venezuela under special terms, conditions and procedures.
This is a Partial Scope Agreement, which was signed on 24 July 1994 and entered into force
on 1 June 1995. The Agreement provides for the More Developed Countries (MDCs) of
CARICOM, such as Barbados, Guyana, Jamaica and Trinidad and Tobago, to introduce a
Programme to eliminate or reduce tariffs on an agreed list of products of export interest to
Colombia, commencing at the beginning of the fourth year (1999) after the entry into force of
the Agreement. CARICOM Less Developed Countries, such as the OECS and Belize, are not
required to grant tariff concessions (reduce duties) on imports from Colombia. This
Agreement has not been very active and is also focused on the trade in goods, while
providing a framework for future collaboration among contracting parties in the areas of
services and investment.
Goods coverage: The coverage for goods varies. All exports from Jamaica to Costa Rica
are immediately liberalized, except for a select list of excluded items (see Product Index).
Certain items benefit from phased reduction of duties on a tariff line specific basis, in
some cases over a period of one year.
This Partial Scope Agreement was signed on 13 October 1992, and entered into force on
1 January 2000. It is primarily focused on the trade in goods, but provides a framework
for the parties to work together for the promotion of services and investment, and double
taxation agreements. Under this Agreement, specified goods originating in all signatory
CARICOM Member States are eligible for one-way duty-free access to the Venezuelan
market. In this regard, the Agreement does not make a distinction between CARICOM
MDCs and LDCs. The Agreement, however, has been fairly dormant as there have been
varied technical problems affecting its implementation.
This Free Trade Agreement was signed on the 22nd of August 1998 and provisionally
entered into force in December 2001, following the signing of the Framework
Agreement, together with the Protocol implementing the Agreement on 28th April, 2000.
The FTA is based on reciprocity with the five More Developed Countries of CARICOM
(MDCs), which includes Jamaica. Jamaica is now applying the Agreement.
Goods coverage: The Protocol provides for duty-free trade for about ninety percent of
the goods traded between n the Dominican Republic and Jamaica. For those products not
eligible for duty free treatment, the Protocol provides for phased reduction of duties by
2004, and the Most Favorable Nation Treatment for the remainder. Essentially, therefore,
all goods can be imported into the DR duty free or benefit from the phased reduction of
tariffs to zero, with the exception of certain goods for which MFN duties will apply.
Some special agricultural products will also have their MFN tariffs re-imposed during
pre-specified months of each year (seasonal application). CARICOM products covered
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by the Region’s Oils and Fats Agreement will continue to be protected and will not be
subject to free trade.
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b. Jamaica’s Historical Trade deficit review (All ASYCUA Commodities) Source on Statistical Institute of Jamaica
TABLE 1: SHOWING EXPORTATION OF COMMODITIES BY JAMAICA WITHIN THE PAST YEARS
Agricultural imports
Imports (c.i.f.) 1/ 10,556 11,423 8 112,889 115,171 2
Imports (customs value) 10,079 10,918 8 107,753 109,980 2
Customs value
Live animals 180 263 46 2,045 2,253 10
Red meats & products 700 751 7 7,379 7,653 4
Beef & veal 479 493 3 4,798 5,021 5
Pork 117 133 14 1,348 1,245 -8
Dairy products 277 286 3 2,430 2,624 8
Cheese 145 140 -4 1,045 1,113 7
Grains & feeds 1,221 1,359 11 11,315 11,650 3
Grain products 895 981 10 7,666 8,268 8
Oilseeds & products 641 727 14 7,826 7,127 -9
Vegetable oils 484 552 14 6,017 5,329 -11
Fruits & preparations 1,231 1,320 7 14,628 15,318 5
Fruits, fresh or frozen 962 1,053 9 11,887 12,733 7
Fruits, prepared or preserved 268 268 0 2,742 2,585 -6
Fruit juices 170 154 -10 1,824 1,769 -3
Vegetables & preparations 1,090 1,266 16 11,915 12,480 5
Vegetables, fresh or frozen 792 931 18 8,808 9,382 7
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B. Jamaica’s Historical Trade deficit review (Specific Commodities) Source on Agri- Exchange
TABLE 4: SHOWING JAMAICA TRADE REVENUE FROM 2013-2017
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The export process begins with applying to JAMPRO to become a registered exporter.
Registration is required to be issued a certificate of origin by the Trade Board and also export
clearance for any cargo by Jamaica Customs. A company, business or individual can register as
an exporter.
Issuing import and export licences for specific items that may impact negatively on the
environmental, social and economic conditions of the country, in a manner consistent with
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international obligations under the World Trade Organization (WTO) Agreement for import
licensing
Issuing certificates of origin for Jamaican products exported under the various
preferential trade agreements
Monitoring imports and exports of specified commodities, as required by the Ministry of
Industry, Investment and Commerce
Being the catalyst to facilitate commerce through interface with a wide range of
organizations including embassies, ministries and agencies of Government, and private
sector organizations
There are two types of export licences granted by Trade Board Ltd.
1. Open Export Permits are valid for three (3) months to one (1) year and issued to exporters of
Ores, Sugar and Petroleum Products
2. General Export Permits are issued for the remaining items and valid for three (3) months only
except for scrap metal that is valid for only one (1) month.
1. Collect Tally Sheet and Dispatch Form from airline and complete both
2. Prepare Export Entry (Form C82). Affix $5 worth of stamps to the Entry
3. Submit forms in 1 and 2 above to the Customs Officer for processing
4. Proceed to cashier for payment of Processing Fee
5. Return Export Entry to Customs Officer and collect customer’s copies of Export Entry,
Tally sheet and Dispatch Form
6. Exporter takes goods to airlines warehouse for weighing, security checks and payment of
airline fees
BY SEA
4. Submit items 1 to 3 to the Customs Officer for processing, along with permits (if
necessary)
5. Proceed to Cashier for payment of Processing Fee
NB The exporter must register with JAMPRO if personal items are being exported on a
regular basis.
The services of a licensed Customs Broker can be procured, if the exporter is unfamiliar with
the export process.
d. Taxes Duties and Fees Applied to export and example computing Associated Costs
3.Jamaica’s Trade Measures and Facilitation: Requirement for Imports
a. Items requiring License for Import Source on (Trade Board Ltd)
TABLE 6: SHOWING ITEMS REQUIRE LICENSE BEFORE IMPORT
Chapter 4 (Milk and HS Code Description Additional Document
other Concentrated
Products)
04.02 Milk and cream: concentrated
or containing added sugar or
other sweetening matter.
040210 In powder granules or the
solid forms. Of fat content
(not exceeding 1.5%)
040220 In powder, granules or other
solid forms. Of a fat content
(exceeding 1.5%)
Chapter 12 (plants) 12.11 Plants and parts of plants Reference to be made
(include seeds and fruits) of a to the Ministry of
kind used only in perfumery. Agriculture
In pharmacy or for
insecticidal fungicidal or
similar purposes, fresh or
dried. Whether or not cut,
crushed or powdered.
1211009 Other plant part for perfume Drug permit to be
and pharmaceutical purposes, obtained from the
eg., cannabis and cocoa leaf. Ministry of Health.
Chapter 13 (plant 13.01 Lac: Natural gums, resins,
extracts) gum resins and balsam Drug permit to be
obtained from the
Ministry of Health
(MNS)
In fact, import licensing is one Agreement under the World Trade Organization (WTO)
Multilateral Agreement on Trade in Goods. The work of the company is therefore conducted in
keeping with international trade rules.
Our responsibility is therefore to inform the consumer on the provisions of all policies relating to
import/export licensing, and having done so through regular notices to importers, enforce the
relevant provisions of the Act where breaches are committed. We also provide an advisory role
to the Minister on formulation of policy issues relevant to our operations.
In keeping with the mandate of the Government, the company has formulated and implemented a
Guarantee of Service to our stakeholders. The management and staff are committed to providing
our customers with timely information on policy issues and changes in the services we provide.
We would certainly appreciate your suggestions on how we can improve these services or
provide other services to you, our valued customers.
c. Import Procedure for Clearance and shipping from Jamaican Ports (Source on JCA
Website)
The clearance process:
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Collect shipping documents from local agent and pay relevant fees.
A Customs Broker or authorized agent will prepare the commercial entry and submit to
the Entry Processing Unit of the JCA.
The importer/agent will proceed to the Customs Cashier and pay the relevant fees after
the entry is passed by Customs.
Proceed to the port or warehouse and pay the relevant local handling charges and storage
fee if applicable.
The warehouse operator will locate the goods and place them in the examination area.
A Customs Officer will be assigned to examine the shipment against the documents
presented by the importer/agent. If there are no discrepancies, a Customs Release will be
generated.
A gate pass will be issued to the importer/agent by the port operator.
Listed below are the steps necessary for the exportation of Personal Items
BY AIR
1. Collect Tally Sheet and Dispatch Form from airline and complete both
2. Prepare Export Entry (Form C82). Affix $5 worth of stamps to the Entry
3. Submit forms in 1 and 2 above to the Customs Officer for processing
4. Proceed to cashier for payment of Processing Fee
5. Return Export Entry to Customs Officer and collect customer’s copies of Export Entry,
Tally sheet and Dispatch Form
6. Exporter takes goods to airlines warehouse for weighing, security checks and payment of
airline fees
BY SEA
d. Taxes Duties and Fees Applied to import and example computing Associated Costs
Cost, Insurance and Freight (CIF)
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Cost: This is the total cost of the goods abroad including ex-factory price, commission, mark-up
and inland freight but excluding sales tax and interest. The cost of the goods is sometimes
expressed as FOB (Free on Board) or FOA (Free on Air)
Insurance: This is the insurance charge which is payable to transport the goods to Jamaica in
order to ensure that some compensation will be available to you in the event of the loss or
damage of the goods.
If you have not paid any insurance charges when freighting your goods to Jamaica, an insurance
charge is still applicable for valuation purposes. For goods arriving by sea, the insurance charge
is 1.5% of the total Cost and Freight (c. & f.), that is, if the goods cost US$100 and the freight
charge is US$50, then C&F would be US$100 + US$50 = US$150. 1.5% of US$150, i.e. 150 x
3/200 = US$2.25.
Total c.i.f. therefore is $100 + $50 + $2.25 = US$152.25.
For shipments arriving by air the insurance applicable is 1% of the total Cost and Freight. The
insurance rate of 1.5% is applicable to marine cargo.
Freight: This is the amount of money paid or payable to the shipping agent or the airlines for the
goods to be shipped or transported to Jamaica, including inland freight, packaging and handling
charges.
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Specific Commodities
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1. SITUATIONAL ANALYSIS
a. Items Requiring License for Export: Not Listed for Ayscuda Chapter
c. Export Procedures for Clearance and Shipping from Jamaican Ports: Refer to Page 15- 16
d. Taxes Duties and Fees Applied to Exports and Example Computing Associated Costs: Refer
to Page 19- 20
c. Import Procedures for Clearance and Receiving at Jamaican Ports: Refer to Page 18 - 19
d. Taxes Duties and Fees Applied to Imports and Example Computing Associated Costs: Refer
to Page 19- 20
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References
Agri Exchange. (2020, November 24). Statistics & Analysis. Retrieved from
http://agriexchange.apeda.gov.in/
Bailey, J. (2020, September 14). International Marketing (IMKT
20S1_W7C7CH13_U6C_IGEILRIITSTAMEPFIM). pp. 4-5.
JCA. (2020, November 21). Jamaica Custom Agency. Retrieved from
https://www.jacustoms.gov.jm/
Ltd, T. B. (2020, November 23). Jamaica Trade Information Portal. Retrieved from
https://www.tradeboard.gov.jm/tblweb/
STATIN. (1984, April 9). Statstical Institute of Jamaica . Retrieved from
https://dogoodjamaica.org/organization-search/item/statistical_institute_of_jamaica/
USDA. (2020, November 24). U.S Department of Agriculture. Retrieved from
https://www.usda.gov/