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Posted Wed, 24 May 2023 11:06:18 GMT by HazSeeds
Hi all We regularly import seed from the EU (France and the Netherlands) that is of EU or Chilean origin. The UK has an agreement with the EU and Chile that 0% duty should apply to such goods. Our supplier uses their REX number and a preferential statement for the goods of EU origin but there are unsure whether they can use the same REX number for the Chilean goods. Does anyone know what they should do in the case of Chilean goods? Do they need a different REX number, or is it impossible to claim preferential origin on these goods? Any help would be appreciated. Thanks in advance.
Posted Wed, 24 May 2023 13:25:42 GMT by HMRC Admin 10
Hi
I would advise contacting the Customs and International trade helpline on 0300 322 9434 with your query.
Thankyou.
Posted Wed, 24 May 2023 14:15:08 GMT by Sunil Makim
Using the Commodity code in the trade tariff @gov.uk add Import from Chile , then all duties preferences conditions of statement will be visible and you can choose to use 0 % duty if available
Posted Wed, 24 May 2023 15:33:27 GMT by L M
Preferential treatment can be claimed only once, so if the seeds have been cleared into free circulation in the EU, the EU-Chile FTA preference would already have been claimed. However, if the exporter is in possession of an EU-endorsed CHED (health document), then once these products cleared in the EU for the EU market, they become a product of EU origin (country that endorsed the CHED). The goods can then enter the UK at any port of entry. If the Chilean seeds arrive from the EU to GB under transit, then they should be treated as originating in Chile, claiming Chile-UK FTA preference and entering the UK via a respective Border Control Post. You can contact DDC.PortHealth@dover.gov.uk for further information, as they are likely to be the respective BCP in this case.
Posted Wed, 24 May 2023 15:48:59 GMT by HazSeeds
Thanks for all your replies - much appreciated. L M - Very interesting to hear that if our supplier has an EU-endorsed CHED then the seed can be said to be of EU origin. This could save us a lot of duty as they also supply seed to us that originates in countries that we don't (as of yet) have an FTA. I will ask if they have one. Thanks again.
Posted Wed, 24 May 2023 16:53:09 GMT by Customs oldtimer
Hi LM I am also curious how a CHED could work with preferential origin. My understanding of the trade agreements products such as seeds are wholly produced in a country and cannot change their origin if they remain as seeds. Hi HazSeeds Although you are correct that both the UK and EU have trade agreements with each other and Chile they are distinctly different agreements and are not interchangeable. The UK Chile agreement has a direct transport rule meaning products must be transported directly from Chile to the UK. You would be expected to have a through bill of transport . The proof of origin issued by the exporter in Chile would be an EUR1 or a statement of origin issued by an approved exporter (not aREX number which is only used for EU originating goods.) the certification must clearly state for trade with the UK. There is no provision in any of the UK agreements for preferential certification by an EU exporter of anything other than EU preferential origin goods. So it is impossible to claim preferential duty for goods imported into the EU under an EU agreement then transported to the UK.
Posted Thu, 25 May 2023 08:28:24 GMT by HazSeeds
Thanks for the clarification Customs oldtimer. It's a pity that as most of the value of the seed is added in the EU by the processing/grading/treatment etc of the seed, but it still can't be claimed to be of EU origin as the commodity code heading hasn't change - or at least that is how I understand it.

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