Trade Law Daily is a Warren News publication.

USTR Lists Benin as Eligible for AGOA Textile Benefits

The Office of the U.S. Trade Representative (USTR) has issued a notice announcing its determination that Benin (1) has adopted an effective visa system and related procedures to prevent unlawful transshipment and the use of counterfeit documents in connection with shipments of textile and apparel articles, and (2) has implemented and follows, or is making substantial progress toward implementing and following, the customs procedures required by the African Growth and Opportunity Act (AGOA). This determination is effective January 28, 2004.

Sign up for a free preview to unlock the rest of this article

Timely, relevant coverage of court proceedings and agency rulings involving tariffs, classification, valuation, origin and antidumping and countervailing duties. Each day, Trade Law Daily subscribers receive a daily headline email, in-depth PDF edition and access to all relevant documents via our trade law source document library and website.

As a result, imports of eligible textile articles from Benin qualify for AGOA duty-free treatment, effective for articles entered, or withdrawn from warehouse, for consumption on or after January 28, 2004.

(Importers claiming such preferential treatment should also ensure that such entries meet the applicable AGOA visa requirements.)

Since Benin is a lesser-developed AGOA beneficiary country, it is eligible for HTS 9819.11.12 (AGOA visa grouping 5) duty-free treatment for certain apparel assembled from "third country" fabric.

(Imports under HTS 9819.11.09 (AGOA visa grouping 4) and HTS 9819.11.12 (AGOA visa grouping 5) are subject to the AGOA tariff preference level (TPL)).

The USTR's notice also amends HTS Chapter 98, Subchapter II, U.S. Note 7(a) and HTS Chapter 98, Subchapter XIX, U.S. Note 1. to reflect the USTR's determination that Benin is eligible for AGOA textile benefits.

CBP Must Issue Instructions Before Ports Will Accept Duty-Free or TPL Claims

Although the USTR has designated Benin as eligible for AGOA textile benefits effective as of January 28, 2004, U.S. Customs and Border Protection (CBP) has previously stated that it cannot accept (a) duty-free textile claims for Benin until CBP Headquarters has issued country-specific (i.e., Benin-specific) visa instructions to the ports, or (b) duty-free claims utilizing the AGOA TPL (for Benin, under HTS 9819.11.09 and 9819.11.12) until CBP Headquarters has issued TPL-specific instructions to the ports.

Sources have stated that CBP Headquarters usually issues these instructions to the ports sometime after the Federal Register publication of the USTR listing. In addition, the ports often get these instructions days before they are made publicly available via administrative messages and/or posting to CBP's Web site.

Benin joins Botswana, Cameroon, Cape Verde, Cote d'Ivoire, Ethiopia, Ghana, Kenya, Lesotho, Madagascar, Malawi, Mali, Mauritius, Mozambique, Namibia, Niger, Rwanda, South Africa, Senegal, Swaziland, Tanzania, Uganda and Zambia as AGOA beneficiary countries that have been determined to be eligible for AGOA textile benefits.

USTR contact - Patrick Coleman (202) 395-9514

USTR notice (FR Pub 01/28/04) available at http://a257.g.akamaitech.net/7/257/2422/14mar20010800/edocket.access.gpo.gov/2004/pdf/04-1746.pdf