Tropical Oil Excluded from Kaliningrad Special Economic Zone

A Lastest News about Oleaginous Fruits (seeds, nuts and fruits used to make oil) in Russia

Posted on: 31 Mar 2012

The GOR expanded the list of agricultural goods excluded from the free trade regime applicable in the Kaliningrad Region.

THIS REPORT CONTAINS ASSESSMENTS OF COMMODITY AND TRADE ISSUES MADE BY USDA STAFF AND NOT NECESSARILY STATEMENTS OF OFFICIAL U.S. GOVERNMENT POLICY Voluntary Public - Date: 3/27/2012 GAIN Report Number: RS1218 Russian Federation Post: Moscow Tropical Oils Excluded from Kaliningrad Special Economic Zone Report Categories: Oilseeds and Products Policy and Program Announcements Approved By: Morgan Haas Prepared By: Staff Report Highlights: The GOR expanded the list of agricultural goods excluded from the free trade regime applicable in the Kaliningrad Region to include palm, coconut, palm kernel, and babasu oils and their fractions, animal or vegetable fats and oils and their fractions. The measure came into effect on March 22, 2012. General Information: On March 7, 2012, the GOR issued Decree No. 200 ?On Amendments to Decree of the Government of the Russian Federation of March 31, 2006, No. 186,? which expanded the list of agricultural goods excluded from the free trade regime applicable in the Kaliningrad Region to include palm, coconut, palm kernel, and babasu oils and their fractions, animal or vegetable fats and oils and their fractions. The measure came into effect on March 22, 2012. The Kaliningrad Special Economic Zones (SEZ) was established in 1996 by Federal Law No. 13-FZ of 1996. Following the adoption of a new basic law on SEZs in 2005, Federal Law No. 13-FZ of 1996 was replaced by Federal Law No. 16-FZ of 2006, ?On the Special Economic Zone of the Kaliningrad Region and on Amending some Legislative Acts of the Russian Federation.? Under Federal Law No. 16-FZ of 2006, the Kaliningrad SEZ was created until April 1, 2031, to operate according to the following rules: - foreign goods are imported to and used in the territory of the SEZ without payment of the customs duties and taxes and they are not subject to bans and other restrictions of an economic character (e.g., trade remedies); - goods imported by the residents of the Kaliningrad SEZ and then released for free circulation into the rest of the customs territory of the Russian Federation are subject to import duties, VAT, and excise taxes, and, if these goods were subject to bans and other restrictions of an economic character, these bans and restrictions will apply; - excisable goods are not eligible for the benefits of the Kaliningrad SEZ; - in addition, the GOR has the right to define other goods that cannot enjoy the free trade regime applicable in the Kaliningrad region. The current list of such goods is defined by the GOR Decree No. 186 of March 31, 2006 (as amended), with agricultural goods accounting for about 80% of the list. At the same time, Federal Law No. 16-FZ of 2006 provided a ten-year transition period, from the date of its entry into force on 1 April 2006, to all legal entities and individual entrepreneurs registered in the Kaliningrad region, which had been established and active under the previous Federal Law No. 13-FZ of 1996. During the transition period, these entities continue to enjoy the following exemption that was envisaged by Federal Law No. 13-FZ of 1996: - exemption from customs duties and taxes for goods imported under the free customs zone regime and then released for free circulation into the rest of the Russian Federation if such goods meet sufficient processing criteria (e.g. processing of goods resulted in a change of the HS code at a level of any of the first four digits, or value added of the processing operations accounted for not less than 30 percent of the cost of the goods.) After expiration of the above-mentioned ten-year transition period in 2016, the provisions of Federal Law No. 16-FZ of 2006, governing the free customs zone regime in the Kaliningrad SEZ, would apply without these reservations. An unofficial translation of Decree No. 200 of March 7, 2012, and the current list of all agricultural goods excluded from the free trade regime applicable in the Kaliningrad Region follows. Decree No. 200 of March 7, 2012 On Amendments to the Decree of the Government of the Russian Federation No. 186 of March 31, 2006 The Government of the Russian Federation decrees the following: To approve the attached amendments to the Decree of the Government of the Russian Federation No. 186 of March 31, 2006, ?On the List of Goods Prohibited for Placement under Customs Regime of a Free Customs Zone, Applicable in the Kaliningrad Region? (Corpus of legislative acts of the Russian Federation, 2006, No. 15, article 1618; No. 50, article 5341; 2009, No. 35, article 4251; 2010, No. 12, article 1339; No. 52, article 7080; 2012, No. 7, article 877). Chairman of the Government of the Russian Federation V. Putin Approved by Decree of the Government of the Russian Federation No. 200 of March 7, 2012 Amendments that are introduced to Decree of the Government of the Russian Federation No. 186 of March 31, 2006 1. In the name and paragraph 1 the words ?customs regime of a free customs zone, applicable? shall be replaced with the words ?the customs procedure of a free customs zone, applicable?. 2. The list of goods prohibited for placement under customs regime of a free customs zone, applicable in the Kaliningrad Region, approved by the stated decree: a) in the name the words ?customs regime of a free customs zone, applicable? shall be replaced with the words ?the customs procedure of a free customs zone, applicable?; b) after the subheading: ? -- Rice 1103 20 500 0 ? add headings as follows: ? Palm oil and its fractions, whether or not refined but not chemically modified: 1511 Coconut oil (copra), palm kernel or babassu oil and their fractions, whether or not refined but 1513 not chemically modified: Animal or vegetable fats and oils and their fractions, partly or wholly hydrogenated, inter- 1516 esterified, re-esterified or elaidinised, whether or not refined, but not further prepared: ?; c) in the heading on margarine; edible mixtures or preparations of animal or vegetable fats or oils or of fractions of different fats or oils of this chapter, other than edible fats or oils or their fractions of heading 1516: in the column ?CU HS Code? the code ?1517? shall be added; subheading ? -- Margarine, excluding liquid margarine 1517 10 ? shall be deleted; g) in the footnote, the words ?customs regime? shall be replaced with the words ?customs procedure? Approved by Decree of the Government of the Russian Federation No. 186 of March 31, 2006 LIST of agricultural goods prohibited for placement under the customs regime of a free customs zone, applicable in the Kaliningrad Region (as amended through March 22, 2012) Name of position * HS code Live bovine animals, 0102 except for: - pure-bred breeding animals 0102 10 --- not exceeding 80 kg 0102 90 050 0 Live swine, 0103 except for: - pure-bred breeding animals 0103 10 000 0 -- weighing less than 50 kg 0103 91 Live poultry, that is to say, 0105 domestic hens (Gallus domesticus), ducks, geese, turkeys and guinea fowl except for: -- domestic hens (Gallus domesticus) 0105 11 -- turkey 0105 12 000 0 -- other 0105 19 Meat of bovine animals, fresh or chilled, 0201 except for: - boneless 0201 30 000 Meat of bovine animals, frozen, 0202 except for: - boneless 0202 30 Pork, fresh, chilled or frozen, 0203 except for: ----- boneless 0203 29 550 Meat and edible offal of poultry of heading 0105, fresh, chilled or frozen: - domestic hens (Gallus domesticus): -- not cut in pieces, fresh or chilled 0207 11 -- not cut in pieces, frozen 0207 12 -- cuts and offal, fresh or chilled 0207 13 -- cuts and offal, frozen: ----- halves or quarters 0207 14 200 ----- legs and cuts thereof 0207 14 600 ---- livers 0207 14 910 ---- other 0207 14 990 Milk and cream, not concentrated nor containing added sugar 0401 or other sweetening matter, except for: --- other 0401 30 990 0 Buttermilk, curdled milk and cream, yogurt, kefir and 0403 other fermented or acidified milk and cream, whether or not concentrated or containing added sugar or other sweetening matter or flavored or containing added fruit, nuts or cocoa, --- other 0401 30 990 0 except for: - yogurt 0403 10 Butter and other fats and oils derived from milk, dairy spreads: - butter 0405 10 Cheese and curd, 0406 except for: - Processed cheese, not grated or powdered 0406 30 - blue cheese 0406 40 - other cheeses 0406 90 Birds' eggs, in shell, fresh, preserved or cooked: -- other 0407 00 300 0 Potatoes, fresh or chilled: - other 0701 90 Onions, shallots, garlic, leeks and other alliaceous vegetables, fresh or chilled: --- other 0703 10 190 0 - garlic 0703 20 000 0 Cabbages, cauliflowers, kohlrabi, colewort and similar edible brassicas, fresh or chilled: --- cabbage 0704 90 100 1 Carrots, turnips, salad beetroot, salsify, celeriac, radishes and similar edible roots, fresh or chilled: -- carrots 0706 10 000 1 --- beetroot 0706 90 900 1 Cucumbers and gherkins, fresh or chilled: -- from 16 May to 30 September 0707 00 050 4 Other vegetables, fresh or chilled: -- mushrooms of the genus Agaricus 0709 51 000 0 -- other 0709 90 900 0 Wheat and meslin, except for: 1001 --- wheat and meslin seed 1001 90 910 0 Rye, other than seed from 1002 00 000 0 Barley: - other 1003 00 900 0 Oats, except seed from 1004 00 000 0 Wheat or meslin flour 1101 00 Flour from grains other cereals except wheat or meslin: - rye flour 1102 10 000 0 Cereal groats, meal and pellets: -- of wheat 1103 11 -- of other cereals, 1103 19 except for: --- of oats 1103 19 400 0 --- of rice 1103 19 500 0 ---- of sorghum 1103 19 900 1 - pellets, 1103 20 except for: -- of oats 1103 20 300 0 -- of corn 1103 20 400 0 -- of rice 1103 20 500 0 Palm oil and its fractions, whether or not refined but not chemically modified: 1511 Coconut oil (copra), palm kernel or babassu oil and their fractions, whether or not 1513 refined but not chemically modified: Animal or vegetable fats and oils and their fractions, partly or wholly hydrogenated, 1516 inter-esterified, re-esterified or elaidinised, whether or not refined, but not further prepared: Margarine, edible mixtures or preparations of animal or vegetable fats or oils or of 1517 fractions of different fats or oils of this chapter, other than edible fats or oils or their fractions of heading 1516 Sausages and similar products of meat, meat offal or blood; food preparations based 1601 00 thereon Prepared or preserved meat, meat offal or blood other: -- of domestic hens (Gallus domesticus) 1602 32 -- other 1602 39 -- hams and cuts thereof 1602 41 -- shoulders and cuts thereof 1602 42 -- other, including mixtures 1602 49 - meat of bovine animals 1602 50 Prepared or preserved fish; caviar and caviar substitutes prepared from fish eggs: ---- other 1604 13 190 0 --- other 1604 13 900 0 ----- other 1604 14 180 0 ---- other 1604 15 190 0 ------ other 1604 19 989 0 Sugar confectionery (including white chocolate), not containing cocoa: ---- Toffees, caramels and similar sweets 1704 90 750 0 Pasta, whether or not cooked, stuffed (with meat or other substances) or otherwise prepared, such as spaghetti, macaroni, noodles, lasagne, gnocchi, ravioli, cannelloni, couscous, whether or not prepared: -- other 1902 19 Bread, pastry, cakes, biscuits and other bakers' wares, whether or not containing cocoa, communion wafers, empty cachets of a kind suitable for pharmaceutical use, sealing wafers, rice paper and similar products: --- Bread, not containing added honey, eggs, cheese or fruit, and containing by weight in the dry matter less than 5% of sugars and not more than 5% of fat 1905 90 300 0 Food preparations not elsewhere specified or included: ---- other 2106 90 980 9 Waters, including natural or artificial mineral waters and aerated waters, not containing added sugar or other sweetening matter nor flavored, ice and snow: --- non-aerated 2201 10 110 0 --- other 2201 10 190 0 * To determine the goods included in this list, Russian HS code of goods shall be used, the name of the goods is given only for convenience. This note does not apply to cases, for which it is established that the prohibition for placement under the customs procedure of a free customs zone does not apply to all goods classified in the specified code, and that one should also be guided by the name of the goods. End unofficial translation
Posted: 31 March 2012