For the purposes of regulation 4 of these regulations,—

• (a) Except as provided in paragraph (b) of this regulation, the working hours of the Customs shall be from 8.00 am to 5.00 pm on Monday to Friday, inclusive:

• (b) The working hours of the Customs at a Customs airport shall be those determined from time to time in respect of that airport by the Chief Executive.

(1) Whenever, for the purpose of carrying out any provision of the Act, any Customs officer is required to attend at any time outside the working hours of the Customs, the person in charge of or owner of any craft (or the agent of such a person), or the importer, or exporter, or licensee of a Customs controlled area, or other person concerned, in respect of whom or in respect of whose business such attendance is, in the opinion of the Chief Executive, necessary, shall pay a charge calculated in accordance with the following rates in respect of that attendance:

• (a) For attendance on any day that is—

  • (i) A working day (except the day after New Year's Day, or the day on which the anniversary of the province is observed in any particular place); or

  • (ii) A Saturday,—

  $72.60 per hour or portion of an hour:

• (b) For attendance on any other day (including the day after New Year's Day or the day on which the anniversary of the province is observed in any particular place), $81.80 per hour or portion of an hour.

(2) The Chief Executive may exempt any person or class of persons from the requirement to pay a charge under subclause (1) of this regulation.

(3) A minimum charge of $245.40 shall be payable for the attendance of any officer on any day that is—

• (a) The day after New Year's day or the day on which the anniversary of the province is observed in any particular place; or

• (b) Not a working day; or

• (c) Not a Saturday.

(4) The charges prescribed by this regulation are inclusive of goods and services tax under the Goods and Services Tax Act 1985.

Where, in respect of any attendance for the purposes of the Act, any reasonable expenses are incurred or will be incurred by any Customs officer, the Chief Executive may require those expenses to be met by—

• (a) The person in charge of or owner of any craft, or an agent of such a person; or

• (b) The importer; or

• (c) The exporter; or

• (d) The licensee of a Customs controlled area; or

• (e) Any other person concerned,—

in respect of whom or in respect of whose business such attendance is, in the opinion of the Chief Executive, necessary.

Areas used for the following purposes are required pursuant to section 10(f) of the Act to be licensed as Customs controlled areas:

• (a) the storage, by or for 1 of the following, of wine manufactured in New Zealand, where that wine cannot be physically accommodated within the manufacturing area in which it was manufactured:—

  • (i) the manufacturer of the wine:

  • (ii) the first owner of the wine, if that person is not also the manufacturer of the wine:

• (b) The storage of imported goods, or goods manufactured in a manufacturing area, of a kind that are subject to duty, and on which such duty has not been paid, pending the sale of those goods to—

  • (i) Persons departing to or arriving from a country outside New Zealand; or

  • (ii) Persons exercising an entitlement to the supply of goods free of duty under the Act, or any other Act.

Any area within a person's private house or dwelling place that is used by that person to manufacture—

• (a) Tobacco that has been grown by that person on his or her own land, exclusively for his or her own personal use and not for sale to any other person:

• (b) Beer, wine, or spirits, exclusively for his or her own personal use and not for sale to any other person—

is exempt from the requirement under section 10 of the Act to be licensed as a Customs controlled area.

(1) An application for an area to be licensed as a Customs controlled area shall be in form 1 and shall contain the particulars specified in that form.

(2) The application shall be made at the office of the Customs that is nearest to the area in respect of which the licence is sought.

Every Customs controlled area licence granted under the Act shall be in form 2.

(1) The annual licence fee payable in respect of a Customs controlled area specified in Schedule 1 to these regulations shall be the amount specified in relation to that Customs controlled area in that Schedule.

(2) Subject to subclause (3) of this regulation, the annual licence fee shall be payable on the 1st day of July in any year.

(3) Where a licence is granted subject to the payment by the licensee of the prescribed annual licence fee, the prescribed annual licence fee, apportioned on a monthly basis for periods of less than 12 months, shall be paid within 5 working days after the date on which notice is given of the decision to grant the licence.

(4) In any circumstance where a licence for a Customs controlled area is revoked or surrendered under the Act, the whole or part of the annual licence fee may be refunded, remitted, or waived by the Chief Executive.

(5) Where alternative amounts are shown in Schedule 1 for a fee payable in respect of any Customs controlled area, the fee is the lower amount if the total gross revenues obtained by the licensee, in the most recently completed fiscal year, from the sale of dutiable goods held in the Customs controlled area or areas did not exceed $200,000; in all other cases the fee is the higher amount.

No charges shall be made by the licensee of a Customs controlled area for the reception or storage of imported goods in a Customs controlled area during the period of 24 hours (exclusive of any day that is not a working day) from the time the goods are received into that area.

Every application for an area to be licensed as a CASE—

• (a) must be in form 2A; and

• (b) must be made at the Customs office that is nearest to the area in respect of which the licence is sought.

Every CASE licence granted under the Act must be in form 2B.

(1) The notice required by section 21(1)(a) of the Act must contain the information in regulation 12A and—

• (a) if the craft to which it relates is carrying cargo, the information in regulation 12B(1); and

• (b) if the craft to which it relates is a ship or boat carrying cargo, the information in regulation 12B(2); and

• (c) if the craft to which it relates is an aircraft, the information in regulation 12C; and

• (d) if the craft to which it relates is a ship or a boat, the information in regulation 12D(1); and

• (e) if the craft to which it relates is a ship primarily involved in the transportation of passengers, the information in regulation 12D(2).

(2) In regulations 12C and 12D, status means, in relation to a person, that person's status in relation to a craft, for example, whether the person is a passenger on, or a crew member of, a craft.

The advance notice required by section 21(1)(a) of the Act must contain the following information:

• (a) the estimated date and time of arrival of the craft in New Zealand; and

• (b) the Customs place or other place at which the craft will arrive; and

• (c) the name of the person in charge of the craft; and

• (d) the name and contact details of the person providing the information.

(1) The advance notice required by section 21(1)(a) of the Act for all craft carrying cargo must contain the following information:

• (a) a statement as to whether the cargo on the craft is arriving by air or by sea; and

• (b) the name and voyage or flight number of the craft carrying the cargo; and

• (c) the names of the parties involved in the transporting of the cargo; and

• (d) details of the bill or airway bill issued in relation to the cargo; and

• (e) a description of the cargo's attributes; and

• (f) the place at which the cargo was first loaded for export, and if it was transhipped, the place or places at which it was transhipped; and

• (g) the place at which the cargo is to be discharged, and if it is to be delivered elsewhere, the place of delivery; and

• (h) the names and addresses of the consignors and consignees of the cargo, and any contact parties; and—

• (i) details of any packaging in which the cargo is packed; and

• (j) the number of inward cargo reports intended to be given, and the names of the persons who will be giving them.

(2) The advance notice required by section 21(1)(a) of the Act for all ships and boats carrying cargo must contain the following information:

• (a) details of the shipping containers in which the cargo is packed; and

• (b) the place at which each container was packed and its point of final delivery.

The advance notice required under section 21(1)(a) of the Act for all aircraft must contain the following information:

• (a) the type of aircraft; and

• (b) the aircraft's registration number; and

• (c) the aircraft's originating airport; and

• (d) the name of every airport at which the aircraft has landed between its originating airport and arrival at the Customs place or place of arrival; and

• (e) the name of every airport in New Zealand at which it intends to land; and

• (f) the status of each traveller, including passengers and crew members; and

• (g) the respective numbers of passengers and crew members on the aircraft; and

• (h) in respect of every passenger and crew member—

  • (i) the person's full name, date of birth, gender, and nationality; and

  • (ii) an indication of whether the person's travel document is a passport or certificate of identity, the number and expiry date of the passport or certificate of identity, the state or organisation that issued it, and the city in which it was issued; and

  • (iii) the airport at which the person embarked on the aircraft; and

  • (iv) whether the person is disembarking at the Customs place and, if not, the airport at which the person is expected to disembark; and—

• (i) the crew ranking or rating of every crew member on the aircraft; and

• (j) the Customs place or other place at which the aircraft is intended to depart from New Zealand, the aircraft's expected time of departure, and its intended place of overseas destination.

(1) The advance notice required under section 21(1)(a) of the Act for all ships and boats must contain the following information:

• (a) the type of ship or boat and its gross tonnage; and

• (b) the name and identity of the ship or boat, including its voyage number, International Maritime Organisation number, the country of registration, registration number if applicable, and its radio call sign; and

• (c) the name of the ship or boat's owner or charterer; and

• (d) details of the ship or boat's voyage, including the name of every port in New Zealand at which the ship or boat intends to call and the estimated date of arrival at each of those ports; and

• (e) the ship or boat's originating port; and

• (f) the next overseas port for which the ship or boat is destined; and

• (g) the respective numbers of passengers and crew members on board the ship or boat; and

• (h) the date and port at which the ship or boat's crew members signed on; and—

• (i) in respect of every passenger and crew member—

  • (i) the person's full name, date of birth, gender, and nationality, and status; and

  • (ii) the number of the person's passport or certificate of identity, the state or organisation that issued it, and the city in which it was issued; and

  • (iii) the port at which the person embarked on the ship or boat; and

  • (iv) whether the person is disembarking at the Customs place and, if not, the port or place at which the person is expected to disembark; and

• (j) the crew ranking or rating of every crew member on the ship or boat.

(2) The advance notice required under section 21(1)(a) of the Act for all ships primarily involved in the transportation of passengers (for example, a cruise ship) must contain information on the expected time and date of departure of the craft from the Customs place or other place of departure.

For the purposes of section 21(1)(a) of the Act, the period of advance notice required to be given is—

• (a) In the case of a ship, not less than 48 hours before the estimated time of arrival of the ship in New Zealand; and

• (b) In the case of an aircraft, not less than 2 hours before the estimated time of arrival of the aircraft in New Zealand.

(1) The following persons must pay an inward cargo transaction fee:

• (a) every person who gives the Customs advance notice of the matters in section 21(1)(a)(v) and (vi) of the Act (which relate to cargo for discharge within New Zealand (whether commercial or non-commercial) and commercial cargo not intended for discharge within New Zealand):

• (b) every person who lodges a document that the Chief Executive requires under regulation 26(2) when—

  • (i) that document relates to goods on a craft being imported by 1 or more importers; and

  • (ii) in relation to any 1 importer's goods, no duty is payable or the total duty payable is less than $50.

(2) The inward cargo transaction fee is,—

• (a) if the advance notice or document described in subclause (1) relates to cargo or goods carried on a ship or boat, $352; or

• (b) if the advance notice or document described in subclause (1) relates to cargo or goods carried on an air-craft, $30.

(3) The inward cargo transaction fee is payable to the Customs to assist in meeting costs and expenses incurred by the Customs in undertaking the following functions and duties relating to the importation of goods:

• (a) processing the information contained in an advance notice or document described in subclause (1):

• (b) identifying and assessing the nature of any risk associated with, or arising from, the cargo or goods to which an advance notice or document described in subclause (1) relates:

• (c) inspecting consignments identified under paragraph (b) as giving rise to risk.

(4) The inward cargo transaction fee is payable no later than the following date:

• (a) if, on the last day of the month in which an advance notice or document described in subclause (1) is given to the Customs (month A) the person required by subclause (1) to pay an inward cargo transaction fee has incurred a total of $50 or more in inward cargo transaction fees, export entry transaction fees, and outward cargo transaction fees, the 20th day of the month following month A:

• (b) if, on the last day of month A the person required by subclause (1) to pay an inward cargo transaction fee has incurred a total of less than $50 in inward cargo transaction fees, export entry transaction fees, and outward cargo transaction fees, the earlier of the 2 following dates:

  • (i) the 20th day of the month following the month in which the total of inward cargo transaction fees, export entry transaction fees, and outward cargo transaction fees incurred by the person becomes $50 or more:

  • (ii) the 20th day of the third month following month A.

(5) An inward cargo transaction fee is not payable, or if already paid must be refunded, if the advance notice or document to which it relates is cancelled with the permission of a Customs officer.

(6) The inward cargo transaction fee is inclusive of goods and services tax.

The time within which an inward report must be delivered under section 26(2)(a) of the Act is—

• (a) In the case of a ship, within 24 hours of arriving at a Customs place; and

• (b) In the case of an aircraft, within 1 hour of arriving at a Customs place.

A person who has arrived in New Zealand on a craft—

• (a) That has returned to New Zealand after a journey that did not extend beyond the exclusive economic zone; and

• (b) That did not meet during that journey with any other craft or persons entering the exclusive economic zone from a point outside New Zealand—

is exempted from the requirements of subsections (1) and (3) of section 28 of the Act, and section 29(1) of the Act.

Any craft that is to depart from New Zealand on a journey—

• (a) That is not intended to extend beyond the exclusive economic zone; and

• (b) That is not intended to include a meeting with any craft or persons entering the exclusive economic zone from a point outside New Zealand—

is exempt from the requirements of sections 33(2) and 37(1) of the Act.

Any person who is on, or about to embark onto, a craft described in regulation 16 of these regulations is exempt from the requirements of sections 30 and 32(1) of the Act.

An outward report must be delivered to the Customs under section 34(a) of the Act,—

• (a) in the case of a ship or boat, not less than 4 hours before the intended time of departure of the craft to which it relates; and

• (b) in the case of an aircraft, not less than 30 minutes before the intended time of departure of the craft to which it relates.

All classes of goods for use or for consumption on board a craft, whether brought in that craft to New Zealand or shipped in New Zealand, are deemed to be stores for the use of passengers and crew or the service of craft about to depart from a Customs place.

The conditions under which stores may be shipped free of duty, or under drawback of duty, are as follows:

• (a) The stores shall be, in the opinion of the Chief Executive, appropriate in amount for the service of the craft, or for the use or consumption of passengers and crew on that craft; and

• (b) The permission of the Chief Executive to ship such stores shall first be obtained by the person in charge of or the owner of the craft, or the agent thereof, and

• (c) The stores shall be entered for export; and

• (d) A receipt for all stores for craft received on board a craft shall be given by or on behalf of the person in charge of the craft, who shall, on demand, satisfy the Customs that specified stores have actually been shipped, or fitted into the craft; and

• (e) The stores shall be shipped—

  • (i) On craft about to depart (directly or otherwise) for any country outside New Zealand, or subject to the approval of the Chief Executive in each case, for any of the following places:

    • (A) The Antipodes Islands:

    • (B) The Auckland Islands:

    • (C) The Bounty Islands:

    • (D) Campbell Island:

    • (E) The Kermadec Islands:

    • (F) Antarctica; or

  • (ii) On the following craft, or classes of craft, departing from and returning to any port in New Zealand without going to any country outside New Zealand, namely—

    • (A) Warships:

    • (B) Seagoing vessels, not being warships, engaged solely under naval control in operations as may be approved by the Chief Executive:

    • (C) Fishing vessels, as may be approved by the Chief Executive.

(1) The conditions under which stores are subject to duty are as follows:

• (a) Where goods are entered as stores in accordance with regulation 19 of these regulations, but are not shipped on the designated craft or where no evidence of such shipment is produced to the satisfaction of the Chief Executive; or

• (b) Where stores, whether imported or shipped in New Zealand, are used or consumed in excess of the quantity approved by the Chief Executive for use on the craft while in New Zealand.

(2) Stores described in subclause (1) of this regulation shall be entered for home consumption and duty paid accordingly.

A person who is required to give the Customs access to information under section 38D or section 38E of the Act must provide the Customs with electronic access to the required information in a way that—

• (a) enables the Customs to access the information from within New Zealand without the need to make an inter-national connection; and

• (b) allows for a physical connection—

  • (i) with any Customs electronic system used for the purpose of viewing the required information; and

  • (ii) that enables the Customs to view the information directly from a location designated by the Customs for that purpose.

A person to whom section 95A of the Act applies must give the Customs electronic access to the records that he or she is required to keep under section 95 of the Act, in a way that—

• (a) enables the Customs to access the information from within New Zealand without the need to make an international connection; and

• (b) allows for a physical connection—

  • (i) with any Customs electronic system used for the purpose of viewing and using the required information; and

  • (ii) that enables the Customs to view and use the information directly from a location designated by the Customs for that purpose.

The time within which entry of goods to which section 39(1) of the Act applies must be made is—

• (a) In the case of goods imported by sea, not more than 5 days before the date on which the goods are to be imported but within 20 working days after the date of importation of the goods:

• (b) In the case of goods imported by air, not more than 1 day before the date on which the goods are to be imported but within 20 working days after the date of importation of the goods:

• (c) In the case of goods removed for home consumption from a Customs controlled area licensed for the purpose described in regulation 6(b) of these regulations, within 15 working days from the end of the month in which the goods were removed from the Customs controlled area:

• (d) In the case of goods entered by way of an Import Entry for Transportation in New Zealand or for Removal for Export as prescribed by the Chief Executive in rules made under section 288(1)(d) of the Act where a further entry is required by those rules, within 20 working days after the date on which the first entry was made in respect of those goods.

The period within which imported goods must be claimed for the purposes of section 39(4)(b) of the Act is 3 months after the date of their importation.

An entry of goods to which section 39(1) of the Act applies is deemed to have been made for the purposes of the Act,—

• (a) In the case of an entry made by means of an electronic message, on the date and at the time that the Customs computerised entry processing system generates a lodgement number in respect of the receipt of that message; and

• (b) In any other case, when the entry has been received by the Customs.

An entry of goods to which section 39(1) of the Act applies is deemed to have been passed in accordance with the Act,—

• (a) In the case of an entry for home consumption, when the Customs computerised entry processing system debits the importer's deferred payment account, or raises a cash account in respect of the duty payable; and

• (b) In the case of an entry of goods deemed to have been made in accordance with regulation 26 of these regulations, when entry is deemed to have been made according to that regulation; and

• (c) in any other case, when a delivery order message is generated by the Customs.

(1) The following persons must pay an import entry transaction fee of $24.75:

• (a) every person who makes an import entry under section 39(1) of the Act in relation to goods on which the total duty payable is $50 or more:

• (b) every person who lodges a document under regulation 25(i)(iii) in relation to goods on which the total duty payable is $50 or more:

• (c) every person who lodges a document that the Chief Executive requires under regulation 26(2) in relation to goods imported on the same craft for a single importer on which the total duty payable is $50 or more.

(2) The import entry transaction fee is payable to the Customs to assist in meeting costs and expenses incurred by the Customs in undertaking the following functions and duties relating to the importation of goods:

• (a) processing the information contained in an import entry or document described in subclause (1):

• (b) identifying and assessing the nature of any risk associated with, or arising from, the goods to which an import entry or document described in subclause (1) relates:

• (c) inspecting consignments identified under paragraph (b) as giving rise to risk.

(3) The import entry transaction fee is payable with the duty payable on the goods in relation to which the import entry or the document described in subclause (1) is made or lodged.

(4) Despite subclause (1), an import entry transaction fee is not payable if the import entry or document described in subclause (1) relates only to—

• (a) goods that the Chief Executive is satisfied, under section 116(1) of the Act, have been temporarily imported; or

• (b) goods conveyed, removed, or transhipped for export; or

• (c) goods subject to the control of the Customs that are to be transported from 1 Customs controlled area to another Customs controlled area for future Customs clearance; or

• (d) goods in relation to which an entry has already been made and the duty paid because an entry was made in respect of those goods when an earlier consignment was found to be short packed, short shipped, or short landed; or

• (e) goods in relation to which full details are not available in order to make a full or complete entry; or

• (f) goods that—

  • (i) are for the person's own personal, non-commercial use and not for resale; and

  • (ii) have a Customs value that, together with the Customs value of any other goods imported by or for the person on the same craft on which those goods arrived, or, in the case of a postal article, together with the Customs value of any other goods imported by or for the person in the same dispatch of mail, amounts to less than $1,000.

(5) An import entry transaction fee is not payable, or if already paid must be refunded, if—

• (a) the import entry to which it relates is cancelled under section 42 of the Act; or

• (b) the document described in subclause (1) to which it relates is withdrawn or cancelled with the permission of a Customs officer.

(6) The import entry transaction fee is inclusive of goods and services tax.

The following goods or classes of goods are exempt from the requirements of section 39(1) of the Act:

• (a) Any goods not unloaded in New Zealand that are destined for a point outside New Zealand:

• (b) Any craft, not being owned or registered in New Zealand, that arrives in New Zealand from a foreign port or airport as part of an international voyage and—

  • (i) During that voyage travels to one or more Customs places within New Zealand for a period no longer than 6 months before departing for a foreign port or airport; and

  • (ii) Is engaged in the movement of cargo between Customs places in New Zealand:

• (c) Any craft that arrives solely for repair during the course of an international voyage:

• (d) A military craft forming part of the armed services of any foreign country:

• (e) Any New Zealand owned or registered craft, not being imported as cargo, that has previously been entered for home consumption:

• (f) Any craft built in New Zealand, not being imported as cargo, that has not previously been entered for export:

• (g) Any stores to which regulation 18 of these regulations applies on the condition that they are declared on a stores list and on a further condition that the stores are kept in a secure area to the satisfaction of the Chief Executive:

• (h) The following goods subject to the condition that the importer enters into and complies with such convenants as may be required by the Chief Executive:

  • (i) Any bulk cargo containers and accessories therefor, including clip-on refrigerator units:

  • (ii) Any pallet that has a value of less than $100 and is imported laden; provided that the Chief Executive is satisfied that the pallet has not been imported for sale or re-use in New Zealand:

  • (iii) Any pallet that has a value of less than $100 and is imported unladen and any pallet (whether imported laden or unladen) that has a value of $100 or more being in either case a pallet that is imported temporarily and in respect of which a permit under section 47(1)(c) of the Act has been granted:

  • (iv) Any wagons, trolleys, and wheeled pallets especially designed for the handling of bulk cargo containers:

  • (v) Any lighters imported temporarily for the purpose of facilitating the loading and unloading of cargo:

  • (vi) Any spools, bobbins, and similar articles that are used to convey or transport imported goods, and that are to be returned to the supplier of those goods:

• (i) Any postal articles, on the condition that—

  • (i) The goods have been imported by a person other than in the course of a business activity carried on by that person; and

  • (ii) The goods are not subject to a licence or permit under any Act; and

  • (iii) The importer complies with any requirement of the Chief Executive for the lodgement of any document (not being an entry) in respect of those goods.

(1) The following goods or classes of goods shall be deemed to have been entered under section 39(1) of the Act:

• (a) Goods that are temporarily imported into New Zealand under the authority of a Carnet de passages en douane for temporary admission issued pursuant to the Customs Convention on the ATA carnet for temporary admission, on presentation of the carnet:

• (b) Goods being the personal baggage or household or other effects belonging to and accompanying passengers, or crew, in any craft, and not being motor vehicles or craft of any kind and not being dutiable goods imported for the purpose of sale, exchange, or as trade samples but including any such goods that are not required to be declared on any of forms 3, 3A, 4, 4A, 5, 5A, 6, or 7, when—

  • (i) A declaration in either form 3, 3A, 4, 4A, 5, 5A, 6, or 7, as appropriate, is presented to a Customs officer; or

  • (ii) The goods are lawfully removed from a Customs controlled area:

• (c) Goods the total value of which is less than $1,000 where those goods are the only goods imported by the importer in any one craft or, in the case of postal articles, in any one mail when application is made by the importer for their delivery.

(2) Notwithstanding paragraph (c) of subclause (1) of this regulation, where the Chief Executive requires any document to be lodged with the Customs in respect of any goods referred to in that paragraph (c), the goods will not be deemed to be entered until the document has been lodged and accepted by the Chief Executive.

Where, in respect of an entry required by section 39(1) of the Act, the volume of the alcohol in any beverage is required to be shown, the person making the entry shall specify the volume of alcohol in accordance with the alcohol strength stated by the manufacturer in the invoice, or on the label of the product concerned.

The time within which entry of goods to which section 49(1) of the Act applies must be made is not less than 48 hours before the goods are shipped for export.

(1) Every person who makes an export entry under section 49(1) of the Act must,—

• (a) if the entry relates to goods being entered for export under a Customs-approved secure exports scheme, pay an export entry transaction fee of $10; or

• (b) in any other case, pay an export entry transaction fee of $14.25.

(2) The export entry transaction fee is payable to the Customs to assist in meeting costs and expenses incurred by the Customs in undertaking the following functions and duties relating to the exportation of goods:

• (a) processing the information contained in an export entry:

• (b) identifying and assessing the nature of any risk associated with, or arising from, the goods to which an export entry relates:

• (c) inspecting consignments identified under paragraph (b) as giving rise to risk.

(3) The export entry transaction fee is payable no later than the following date:

• (a) if, on the last day of the month in which an export entry is made (month A) the person required by subclause (1) to pay an export entry transaction fee has incurred a total of $50 or more in export entry transaction fees, inward cargo transaction fees, and outward cargo transaction fees, the 20th day of the month following month A:

• (b) if, on the last day of month A the person required by subclause (1) to pay an export entry transaction fee has incurred a total of less than $50 in export entry transaction fees, inward cargo transaction fees, and outward cargo transaction fees, the earlier of the 2 following dates:

  • (i) the 20th day of the month following the month in which the total of export entry transaction fees, inward cargo transaction fees, and outward cargo transaction fees incurred by the person becomes $50 or more:

  • (ii) the 20th day of the third month following month A.

(4) An export entry transaction fee is not payable, or if already paid must be refunded, if the export entry to which it relates is cancelled under section 42 of the Act.

(5) The export entry transaction fee is inclusive of goods and services tax.

An entry of goods for export under section 49(1) of the Act is deemed to have been passed for the purposes of the Act when a delivery order message is generated by the Customs in respect of that entry.

(1) The following goods or classes of goods are exempt from the requirements of section 49(1) of the Act:

• (a) Bona fide gifts to persons resident outside New Zealand:

• (b) Trade samples supplied without charge to persons resident outside New Zealand:

• (c) Passenger's baggage and effects except—

  • (i) Goods sold from a Customs controlled area licensed for the purpose described in section 10(b) of the Act, or in regulation 6(b) of these regulations; or

  • (ii) Goods subject to a claim for a drawback of duty:

• (d) Goods exported by diplomatic missions:

• (e) Film and video tape exported for use overseas and return to New Zealand:

• (f) Commercial documents and newspapers:

• (g) Ships and aircraft leaving New Zealand under their own power, other than those departing for sale overseas:

• (h) Goods sent by parcel post for repair and return:

• (i) Goods of a type normally used for commercial or business purposes, such as laptops (including palmtop and notebook) computers and peripheral equipment (eg, portable printers), portable typewriters, cellular telephones, video and other photographic equipment carried by a passenger leaving New Zealand:

• (j) Any goods having an FOB value not exceeding $1,000 and not being—

  • (i) Goods sold from a Customs controlled area licensed for the purpose described in section 10(b) of the Act, or in regulation 6(b) of these regulations; or

  • (ii) Goods subject to a claim for a drawback of duty.

(2) Any goods to which subclause (1) of this regulation applies shall be deemed to have been entered when the bill of lading or air consignment note or air waybill, as the case may be, is presented to a Customs officer, or accepted for posting by New Zealand Post Limited.

(1) Every person who delivers a document of the kind referred to in subclause (2) to the Customs must pay an outward cargo transaction fee specified in subclause (3).

(2) The document is—

• (a) a document that—

  • (i) the Chief Executive requires to support an out-ward report under section 34(a) of the Act; and

  • (ii) relates to cargo on the craft in respect of which the outward report is made; or

• (b) a document of the kind referred to in regulation 29(2) that is presented to a Customs officer for the purpose of obtaining permission for the goods described in that document to be loaded for export.

(3) The outward cargo transaction fee is,—

• (a) if a document described in subclause (2) relates to cargo carried on a ship or boat, $22.50; or

• (b) if a document described in subclause (2) relates to cargo carried on an aircraft, $7.50.

(4) The outward cargo transaction fee is payable to the Customs to assist in meeting costs and expenses incurred by the Customs in undertaking the following functions and duties relating to the exportation of goods:

• (a) processing the information contained in a document described in subclause (2):

• (b) identifying and assessing the nature of any risk associated with, or arising from, the cargo to which a document described in subclause (2) relates:

• (c) inspecting consignments identified under paragraph (b) as giving rise to risk.

(5) The outward cargo transaction fee is payable no later than the following date:

• (a) if, on the last day of the month in which a document described in subclause (2) is delivered to the Customs (month A) the person required by subclause (1) to pay an outward cargo transaction fee has incurred a total of $50 or more in outward cargo transaction fees, inward cargo transaction fees, and export entry transaction fees, the 20th day of the month following month A:

• (b) if, on the last day of month A the person required by subclause (1) to pay an outward transaction fee has incurred a total of less than $50 in outward cargo transaction fees, inward cargo transaction fees, and export entry transaction fees, the earlier of the 2 following dates:

  • (i) the 20th day of the month following the month in which the total of outward cargo transaction fees, inward cargo transaction fees, and export entry transaction fees incurred by the person becomes $50 or more:

  • (ii) the 20th day of the third month following month A.

(6) An outward cargo transaction fee is not payable, or if already paid must be refunded, if the document to which it relates is cancelled with the permission of a Customs officer.

(7) The outward cargo transaction fee is inclusive of goods and services tax.

The determinations of the fair rates of exchange of foreign currency made by the Chief Executive pursuant to section 62 of the Act shall be notified in a New Zealand Customs Service publication.

The warrant for compulsory acquisition of goods under section 63(2) of the Act shall be in form 8.

In regulations 32 to 39G, unless the context otherwise requires,—

(1) For the purposes of the Act and the Tariff Act 1988, goods imported from Australia are taken to be the produce or manufacture of Australia if they fall into 1 or more classes specified in subclause (2).

(2) The classes of goods are—

• (a) goods that are wholly obtained in the territory of either or both parties:

• (b) goods that are entirely produced in the territory of either or both parties exclusively from originating materials:

• (c) goods that are entirely produced in the territory of either or both parties and meet the requirements specified in Schedule 7 (which imposes change in tariff classifications and, in some cases, regional value content requirements for goods produced from non-originating materials):

• (d) goods that are wholly manufactured in the territory of either or both parties from 1 or more of the following:

  • (i) unmanufactured raw products:

  • (ii) materials wholly manufactured in the territory of either or both parties:

  • (iii) materials that have been imported (from a place outside the territories of the parties), and that the Chief Executive has determined, for the purposes of Article 3(1)(c)(ii)(III) of ANZCERTA, to be manufactured raw materials:

• (e) goods imported from Australia before 1 January 2012 that meet the following conditions:

  • (i) the last process in the manufacture of the goods was performed in Australia; and

  • (ii) the regional value content of the goods is not less than 50% based on the factory cost method:

• (f) goods that are taken to be originating goods under any of regulations 34 to 39C.

(3) Originating materials from the territory of a party that are used or consumed in the production of goods in the territory of the other party are deemed to originate in the territory of the other party.

(1) Goods are not originating goods if, while outside the territories of the parties, they undergo any production or other operation.

(2) Subclause (1) does not apply to operations that consist merely of 1 or more of the following:

• (a) unloading, reloading, and storing:

• (b) repacking:

• (c) relabelling:

• (d) any other operation necessary to preserve the goods concerned in good condition or to transport them to the territory of a party.

Goods partly produced from non-originating materials are taken to be originating goods, even though they do not satisfy a change in tariff classification required by Schedule 7, if—

• (a) the value of all non-originating materials used or consumed in the production of the goods does not exceed 10% of the adjusted value of the good; and

• (b) the goods meet all other applicable criteria of regulations 33 to 39C.

(1) In any case where Schedule 7 requires the regional value content of specified goods to be calculated by the build-down method, the value of that content is calculated as follows:

where—

• RVC is the regional value content, expressed as a percentage

• AV is the adjusted value

• VNM is the value of non-originating materials (not including materials that are self-produced) that are acquired and used or consumed by the producer in the production of the goods.

(2) In any case where Schedule 7 requires the regional value content of specified goods to be calculated by the build-up method, the value of that content is calculated as follows:

where—

• RVC is the regional value content, expressed as a percentage

• AV is the adjusted value

• VOM is the value of originating materials that are acquired or self-produced, and used or consumed by the producer in the production of the goods.

(3) In any case where Schedule 7 requires the regional value content of specified goods to be calculated by the factory cost method or for the purposes of calculating the regional value content of goods by that method under regulation 33(2)(c) or 33(2)(f)(ii), the value of that content is calculated as follows:

where—

• RVC is the regional value content, expressed as a percentage

• QE is the qualifying expenditure on the goods

• FC is the factory cost of producing the goods.

(1) This regulation applies in cases where these regulations require a regional value content of at least 50% based on the factory cost method.

(2) The Chief Executive may state in writing that the Chief Executive is satisfied that the following circumstances exist:

• (a) the regional value content of particular goods from Australia is 48% or more, but less than 50%; and

• (b) the regional value content of those goods would be at least 50% if an unforeseen circumstance had not occurred; and

• (c) the situation caused by the unforeseen circumstance is unlikely to continue.

(3) When the Chief Executive makes a statement under subclause (2), the following goods are deemed to have a regional value content of at least 50%:

• (a) the goods in respect of which the statement was made:

• (b) any similar goods in a subsequent shipment that are also affected by the unforeseen circumstance described under subclause (2)(b).

(4) The Chief Executive may at any time amend or revoke any statement made under subclause (2) to reflect changed circumstances.

(5) For the purposes of subclause (3), similar goods, in relation to goods in a particular shipment, means goods that—

• (a) are contained in another shipment that is imported by the same importer from the same manufacturer; and

• (b) contain the same materials and undergo the same process or processes of manufacture as the goods in the first-mentioned shipment.

(1) For the purpose of calculating the regional value content of goods in accordance with regulations 33 to 37 and Schedule 7, the value of materials used or consumed in the production of the goods is as follows:

• (a) for materials that the producer of the goods imports—

  • (i) into Australia, the value of the materials as calculated under the Customs Act 1901 (Australia):

  • (ii) into New Zealand, the adjusted value of the materials:

• (b) for materials acquired in the territory where the goods are produced, the cost of acquisition and the cost of transporting the materials to the producer of the goods if that cost is not included in the cost of acquisition:

• (c) for materials that are self-produced, the sum of all expenses incurred in the production of the materials, including general expenses, and an amount for profit equivalent to the profit added in the normal course of trade.

(2) The value of originating materials obtained under subclause (1) may be adjusted by adding to that value any of the following items if they have not been included under that subclause:

• (a) the costs of freight, insurance, packing, and all other costs incurred in transporting the materials within or between the territories of the parties to the location of the producer:

• (b) duties, taxes, and customs brokerage fees on the materials paid in the territory of either or both parties, other than duties and taxes that are waived, refunded, refundable, or otherwise recoverable, including credit against duty or tax paid or payable:

• (c) the cost of waste and spoilage resulting from the use of the materials in the production of the goods, less the value of renewable scrap or by-products.

(3) The value of non-originating materials obtained under subclause (1) may be adjusted by subtracting from that value any of the following items if they have been included under that subclause:

• (a) the costs of freight, insurance, packing, and all other costs incurred in transporting the materials within or between the territories of the parties to the location of the producer:

• (b) duties, taxes, and customs brokerage fees on the materials paid in the territory of either or both parties, other than duties and taxes that are waived, refunded, refundable, or otherwise recoverable, including credit against duty or tax paid or payable:

• (c) the cost of waste and spoilage resulting from the use of the materials in the production of the goods, less the value of renewable scrap or by-products:

• (d) the cost of processing incurred in the territory of a party in the production of the non-originating materials:

• (e) the cost of any originating materials used or consumed in the production of the non-originating materials in the territory of a party.

(1) Accessories, spare parts, or tools delivered with originating goods that form part of the standard accessories, spare parts, or tools for those goods must be treated as originating goods and must be disregarded in determining whether all the non-originating materials used in the production of the originating goods undergo any applicable change in tariff classification, if—

• (a) the accessories, spare parts, or tools are not invoiced separately from the originating goods; and

• (b) the quantities and value of the accessories, spare parts, or tools are customary for the originating goods; and

• (c) in any case where the goods are subject to a regional value content requirement, the value of the accessories, spare parts, or tools is taken into account as originating or non-originating materials, as the case may be, in calculating the regional value content of the goods.

(2) Subclause (1) does not apply if the accessories, spare parts, or tools have been added solely for the purpose of artificially raising the regional value content of the goods.

(1) The determination of whether fungible goods or materials are originating goods is made—

• (a) by physical separation of each of the goods or materials; or

• (b) through the use of any inventory management method, such as averaging, last in and first out, or first in and first out, as recognised in generally accepted accounting principles.

(2) An inventory management method selected under subclause (1)(b) for particular fungible goods or materials must continue to be used for those fungible goods or materials throughout the fiscal year of the producer that selected the inventory management method.

(1) Packaging materials and containers in which goods are packaged for retail sale, if classified with those goods, are not included in determining whether non-originating materials used or consumed in the production of those goods have undergone the applicable change in tariff classification as set out in Schedule 7.

(2) If goods described in subclause (1) are subject to a regional value content requirement, the value of the packaging materials and containers used for retail sale are taken into account as originating or non-originating, as the case may be, in calculating the regional value content.

(3) Packaging materials and containers for shipment in which goods are packed exclusively for transport are not included in determining the origin of the goods.

(1) Indirect materials are deemed originating materials without regard to where they are produced, and their value is determined by their cost recorded in the accounting records of the producer of the goods.

(2) Subclause (1) does not apply if an importer of goods has elected that the origin of the goods be assessed by the method referred to in regulation 33(2)(f).

(1) An importer may claim preferential treatment for goods from Australia on the basis of a declaration of the exporter of the goods.

(2) The Chief Executive may require an importer to submit a declaration, or to arrange for the exporter to submit a declaration, that gives the reasons why the goods qualify as originating goods, including any relevant information about costs and production.

(3) The declaration may be provided in electronic form.

(1) This regulation applies to each of the following persons:

• (a) an importer of goods in respect of which a claim for preferential treatment is made in New Zealand:

• (b) an exporter in New Zealand of goods in respect of which a claim for preferential treatment is made in Australia:

• (c) a producer or principal manufacturer in New Zealand who produces or manufactures goods for export to Australia in respect of which a claim for preferential treatment may be made in Australia.

(2) A person to whom this regulation applies must keep a record of all transactions relating to the importation, exportation, or production of the goods to show that the goods qualify for preferential treatment.

(3) The record must be maintained for at least 5 years after the date of importation or exportation, as the case may be.

To determine whether goods imported into New Zealand from Australia qualify as originating goods, the Chief Executive may verify any claims made for tariff preference by taking any 1 or more of the following actions:

• (a) requesting relevant information from any or all of the following:

  • (i) the importer:

  • (ii) the exporter, producer, or principal manufacturer in Australia:

• (b) requesting the importer to arrange for the exporter, producer, or principal manufacturer to provide information directly to the Customs:

• (c) requiring a declaration to be provided under regulation 39D:

• (d) requesting the customs administration of Australia to visit the premises of the exporter, producer, or principal manufacturer in Australia, in accordance with any procedures jointly adopted by the parties for the review of the records and the observation of the facilities of exporters, producers, or principal manufacturers.

(1) If the Chief Executive is satisfied, under regulation 39D or 39F, that goods are originating goods, the Chief Executive must grant the claim for preferential treatment for the goods.

(2) Preferential treatment may be denied if the importer fails to comply with a requirement imposed by or under these regulations.

(3) If preferential treatment is denied, the Customs must give a written explanation for the decision to the person who made the claim for preferential treatment.

(1) The following classes of goods are deemed, for the purposes of the Act and the Tariff Act 1988, to be the produce or manufacture of Canada, namely—

• (a) Goods wholly the produce of Canada:

• (b) Goods manufactured in Canada, subject to the following conditions:

  • (i) That the process last performed in the manufacture of the goods was performed in Canada; and

  • (ii) That in respect of the goods, the expenditure—

    • (A) In material that is of Canadian origin, or of New Zealand origin, or of Canadian and New Zealand origin; or

    • (B) In other items of factory or works cost (as defined in this regulation) incurred in Canada, or in New Zealand, or in Canada and New Zealand; or

    • (C) Partly in such material and partly in such other items as aforesaid,—

    is not less than half of the factory or works cost of the goods in their finished state.

  Provided that with respect to specific goods, the Chief Executive may determine that the expenditure shall be less than half of the factory or works cost of the goods in their finished state.

(2) Subclause (1) of this regulation applies only in respect of goods exported directly from Canada to New Zealand, without entering the commerce of another country after shipment from Canada and before importation into New Zealand unless the Chief Executive otherwise permits and subject to such conditions as the Chief Executive in any case approves.

(3) For the purposes of this regulation, the factory or works cost of any article shall be the sum of the following items:

• (a) Cost of materials as received into factory, excluding customs duty or excise duty or other duties paid or payable in respect of those materials:

• (b) Manufacturing wages:

• (c) Factory overhead expenses, namely—

  • (i) All expenses directly or indirectly connected with manufacture, for example, rent, rates, and taxes in respect of factory:

  • (ii) Motive power, gas, fuel, water, lighting, and heating of factory:

  • (iii) Expenses of factory supervision, for example, wages and salaries of manager, supervisor, timekeepers, and guards:

  • (iv) Repairs, renewals, and depreciation of plant, machinery, and tools:

  • (v) Interest on capital outlay on plant, machinery, tools, and factory buildings:

  • (vi) Royalties payable in respect of patented machines or processes used in the manufacture of the goods:

• (d) Cost of containers other than the outside package.

(4) In calculating the factory or works cost in subclause (3) if this regulation, and in calculating the expenditure in any item of factory or works cost, none of the following items shall be included or considered:

• (a) Manufacturer's profit, or the profit or remuneration of any trader, agent, broker, or other person dealing in the article in its finished condition:

• (b) Royalties payable in respect of the finished goods:

• (c) The cost of outside packages or any cost of packing the goods into them:

• (d) Administrative and general office expenses:

• (e) Any cost of conveying, insuring, or shipping the goods after their manufacture:

• (f) Any other charges incurred after the completion of the manufacture of the goods.

(1) The following classes of goods are deemed, for the purposes of the Act and the Tariff Act 1988, to be the produce or manufacture of Malaysia, namely—

• (a) Goods wholly the produce of Malaysia:

• (b) Goods wholly manufactured in Malaysia from unmanufactured raw matenals:

• (c) Goods partly manufactured in Malaysia, subject to the following conditions:

  • (i) That the process last performed in the manufacture of the goods was performed in Malaysia; and

  • (ii) That in respect of the goods, the expenditure—

    • (A) In material that is of Malaysian origin; or

    • (B) In other items of factory or works cost (as defined in this regulation) incurred in Malaysia, or

    • (C) Partly in such material and partly in such other items as aforesaid,—

    is not less than half of the factory or works cost of the goods in their finished state.

(2) Subclause (1) of this regulation applies only in respect of goods exported directly from Malaysia to New Zealand, without entering the commerce of another country after shipment from Malaysia and before importation into New Zealand unless the Chief Executive otherwise permits and subject to such conditions as the Chief Executive in any case approves.

(3) For the purposes of this regulation, the factory or works cost of any article shall be the sum of the following items:

• (a) Cost of materials as received into factory, excluding customs duty or excise duty or other duties paid or payable in respect of those materials:

• (b) Manufacturing wages:

• (c) Factory overhead expenses, namely—

  • (i) All expenses directly or indirectly connected with manufacture, for example, rent, rates, and taxes in respect of factory:

  • (ii) Motive power, gas, fuel, water, lighting, and heating of factory:

  • (iii) Expenses of factory supervision, for example, wages and salaries of manager, supervisor, timekeepers, and guards:

  • (iv) Repairs, renewals, and depreciation of plant, machinery, and tools:

  • (v) Interest on capital outlay on plant, machinery, tools, and factory buildings:

  • (vi) Royalties payable in respect of patented machines or processes used in the manufacture of the goods:

• (d) Cost of containers other than the outside package.

(4) In calculating the factory or works cost in subclause (3) of this regulation, and in calculating the expenditure in any item of factory or works cost, none of the following items shall be included or considered:

• (a) Manufacturer's profit, or the profit or remuneration of any trader, agent, broker, or other person dealing in the article in its finished condition:

• (b) Royalties payable in respect of the finished goods:

• (c) The cost of outside packages or any cost of packing the goods into them:

• (d) Administrative and general office expenses:

• (e) Any cost of conveying, insuring, or shipping the goods after their manufacture:

• (f) Any other charges incurred after the completion of the manufacture of the goods.

(1) For the purposes of this regulation, the expression Group I means the United Kingdom of Great Britain and Northern Ireland, the Isle of Man, and the Channel Islands.

(2) The following classes of goods are deemed, for the purposes of the Act and the Tariff Act 1988, to be the produce or the manufacture of the countries included in Group I namely—

• (a) Goods wholly the produce of one or more of the countries included in Group I:

• (b) Goods wholly manufactured in one or more of the countries included in Group I from unmanufactured raw materials:

• (c) Goods partly manufactured in one or more of the countries included in Group I subject to the following conditions:

  • (i) That the process last performed in the manufacture of the goods was performed in a country included in Group I; and

  • (ii) That in respect of the goods, the expenditure—

    • (A) In material that is the origin of one or more countries included in Group I; or

    • (B) In other items of factory or works cost (as defined in this regulation) incurred in one or more countries included in Group I; or

    • (C) Partly in such material and partly in such other items as aforesaid,—

    is not less than half of the factory or works cost of the goods in their finished state.

(3) Subclause (1) of this regulation applies only in respect of goods exported directly from a country in Group I to New Zealand, without entering the commerce of another country (other than a country also listed in Group I) after shipment from that country and before importation into New Zealand unless the Chief Executive otherwise permits and subject to such conditions as the Chief Executive in any case approves.

(4) For the purposes of this regulation, the factory or works cost of any article shall be the sum of the following items:

• (a) Cost of materials as received into factory, excluding customs duty or excise duty or other duties paid or payable in respect of those materials:

• (b) Manufacturing wages:

• (c) Factory overhead expenses, namely—

  • (i) All expenses directly or indirectly connected with manufacture, for example, rent, rates, and taxes in respect of factory:

  • (ii) Motive power, gas, fuel, water, lighting, and heating of factory:

  • (iii) Expenses of factory supervision, for example, wages and salaries of manager, supervisor, timekeepers, and guards:

  • (iv) Repairs, renewals, and depreciation of plant, machinery, and tools:

  • (v) Interest on capital outlay on plant, machinery, tools, and factory buildings:

  • (vi) Royalties payable in respect of patented machines or processes used in the manufacture of the goods:

• (d) Cost of containers other than the outside package.

(5) In calculating the factory or works cost in subclause (4) of this regulation, and in calculating the expenditure in any item of factory or works cost, none of the following items shall be included or considered:

• (a) Manufacturer's profit, or the profit or remuneration of any trader, agent, broker, or other person dealing in the article in its finished condition:

• (b) Royalties payable in respect of the finished goods:

• (c) The cost of outside packages or any cost of packing the goods into them:

• (d) Administrative and general office expenses:

• (e) Any cost of conveying, insuring, or shipping the goods after their manufacture:

• (f) Any other charges incurred after the completion of the manufacture of the goods.

(1) For the purposes of this regulation, Group II means the group of countries consisting of the countries declared to be less developed countries for the purposes of the Tariff Act 1988.

(2) The following classes of goods are deemed, for the purposes of the Act and the Tariff Act 1988, to be the produce or manufacture of the countries included in Group II, namely—

• (a) The following goods wholly obtained in any of the countries included in Group II:

  • (i) Mineral products extracted from its soil or from its sea bed:

  • (ii) Vegetable products harvested there:

  • (iii) Live animals born and raised there:

  • (iv) Products obtained there from live animals:

  • (v) Products obtained by hunting or fishing conducted there:

  • (vi) Products of sea fishing and other products taken from the sea by its vessels:

  • (vii) Products made on board its factory ships exclusively from the products referred to in subparagraph (vi) of this paragraph:

  • (viii) Used articles collected there fit only for the recovery of raw materials:

  • (ix) Waste and scrap resulting from manufacturing operations conducted there:

  • (x) Products obtained there exclusively from products specified in subparagraphs (i) to (ix) of this paragraph:

• (b) Goods partly manufactured in the countries included in Group II subject to the following conditions:

  • (i) That the process last performed in the manufacture of the goods was performed in a country included in Group II; and

  • (ii) That in respect of the goods, the expenditure—

    • (A) In material that is the origin of one or more countries included in Group II or of New Zealand; or

    • (B) In other items of factory or works cost (as defined in this regulation) incurred in one or more countries included in Group II or in New Zealand; or

    • (C) Partly in such material and partly in such other items as aforesaid,—

    is not less than half of the factory or works cost of the goods in their finished state.

(3) Subclause (2) of this regulation applies only in respect of goods exported directly from a country in Group II to New Zealand, without entering the commerce of another country (other than a country also listed in Group II) after shipment from that country and before importation into New Zealand, unless the Chief Executive otherwise permits and subject to such conditions as he or she in any case approves.

(4) For the purposes of this regulation, the factory or works cost of any article shall be the sum of the following items:

• (a) Cost of materials as received into factory, excluding customs duty or excise duty or other duties paid or payable in respect of those materials:

• (b) Manufacturing wages:

• (c) Factory overhead expenses, namely—

  • (i) All expenses directly or indirectly connected with manufacture, for example, rent, rates, and taxes in respect of factory:

  • (ii) Motive power, gas, fuel, water, lighting, and heating of factory:

  • (iii) Expenses of factory supervision, for example, wages and salaries of manager, supervisor, timekeepers, and guards:

  • (iv) Repairs, renewals, and depreciation of plant, machinery, and tools:

  • (v) Interest on capital outlay on plant, machinery, tools, and factory buildings:

  • (vi) Royalties payable in respect of patented machines or processes used in the manufacture of the goods:

• (d) Cost of containers other than the outside package.

(5) In calculating the factory or works cost in subclause (4) of this regulation, and in calculating the expenditure in any item of factory or works cost, none of the following items shall be included or considered:

• (a) Manufacturer's profit, or the profit or remuneration of any trader, agent, broker, or other person dealing in the article in its finished condition:

• (b) Royalties payable in respect of the finished goods:

• (c) The cost of outside packages or any cost of packing the goods into them:

• (d) Administrative and general office expenses:

• (e) Any cost of conveying, insuring, or shipping the goods after their manufacture:

• (f) Any other charges incurred after the completion of the manufacture of the goods.

(1) For the purposes of this regulation, Group III means the group of countries consisting of the countries declared to be least developed countries for the purposes of the Tariff Act 1988.

(2) The following classes of goods are deemed, for the purposes of the Act and the Tariff Act 1988, to be the produce or manufacture of the countries included in Group III:

• (a) the following goods wholly obtained in any of the countries included in Group III:

  • (i) mineral products extracted from its soil or from its sea bed:

  • (ii) vegetable products harvested there:

  • (iii) live animals born and raised there:

  • (iv) products obtained there from live animals:

  • (v) products obtained by hunting or fishing conducted there:

  • (vi) products of sea fishing and other products taken from the sea by its vessels:

  • (vii) products made on board its factory ships exclusively from the products referred to in subparagraph (vi):

  • (viii) used articles collected there that are fit only for the recovery of raw materials:

  • (ix) waste and scrap resulting from manufacturing operations conducted there:

  • (x) products obtained there exclusively from products specified in subparagraphs (i) to (ix):

• (b) goods partly manufactured in the countries included in Group III, subject to the following conditions:

  • (i) that the process last performed in the manufacture of the goods was performed in a country included in Group III; and

  • (ii) that, in respect of the goods, the expenditure for the following is not less than half of the factory or works cost of the goods in their finished state:

    • (A) expenditure in material that is the origin of 1 or more countries included in Group III or of New Zealand; or

    • (B) expenditure in other items of factory or works cost (as defined in this regulation) incurred in 1 or more countries included in Group III or in New Zealand; or

    • (C) expenditure partly in any material referred to in subsubparagraph (A) and partly in any other items referred to in subsubparagraph (B).

(3) Subclause (2) applies only to goods exported directly from a country in Group III to New Zealand without entering the commerce of another country (other than a country also included in Group III) after shipment from that country and before importation into New Zealand, unless the Chief Executive otherwise permits and subject to any conditions that he or she in any case approves.

(4) For the purposes of this regulation, the factory or works cost of any article must be the sum of the following items:

• (a) the cost of materials as received into the factory, excluding customs duty or excise duty or other duties paid or payable for those materials:

• (b) manufacturing wages:

• (c) the following factory overhead expenses:

  • (i) all expenses directly or indirectly connected with manufacture, for example, rent, rates, and taxes for the factory:

  • (ii) motive power, gas, fuel, water, lighting, and heating:

  • (iii) expenses of supervision, for example, wages and salaries of managers, supervisors, timekeepers, and guards:

  • (iv) repairs, renewals, and depreciation of plant, machinery, and tools:

  • (v) interest on capital outlay on plant, machinery, tools, and factory buildings:

  • (vi) royalties payable for patented machines or processes used in the manufacture of the goods:

• (d) the cost of containers other than the outside package.

(5) In calculating the factory or works cost in subclause (4), and in calculating the expenditure in any item of factory or works cost, none of the following items must be included or considered:

• (a) manufacturer's profit, or the profit or remuneration of any trader, agent, broker, or other person dealing in the article in its finished condition:

• (b) royalties payable for the finished goods:

• (c) the cost of outside packages or any cost of packing the goods into them:

• (d) administrative and general office expenses:

• (e) any cost of conveying, insuring, or shipping the goods after their manufacture:

• (f) any other charges incurred after the completion of the manufacture of the goods.

In regulations 45 to 51 of these regulations, unless the context otherwise requires,—

(1) The following classes of goods are deemed, for the purposes of the Act and the Tariff Act 1988, to be the produce or manufacture of Forum Island Countries, namely—

• (a) The following goods wholly obtained in any of the Forum Island Countries:

  • (i) Mineral products extracted from its soil or from its seabed:

  • (ii) Vegetable products harvested there:

  • (iii) Live animals born and raised there:

  • (iv) Products obtained there from live animals:

  • (v) Products obtained by hunting or fishing conducted there:

  • (vi) Products of sea fishing and other products taken from the sea by its vessels:

  • (vii) Products made on board its factory ships exclusively from the products referred to in subparagraph (vi) of this paragraph:

  • (viii) Used articles collected there fit only for the recovery of raw materials:

  • (ix) Waste and scrap resulting from manufacturing operations conducted there:

  • (x) Products obtained there exclusively from products specified in subparagraphs (i) to (ix) of this paragraph:

• (b) Goods partly manufactured in any Forum Island Country, subject to the following conditions:

  • (i) That the last process in the manufacture of the goods was performed in a Forum Island Country; and

  • (ii) That, in respect of the goods, and subject to regulations 47 to 50 of these regulations, the expenditure by the manufacturer—

    • (A) On labour and factory overheads (as defined in regulation 46 of these regulations) incurred in a Forum island Country, or in New Zealand, or in a Forum Island Country and New Zealand; or

    • (B) On qualifying materials (as defined in regulation 47 of these regulations), or

    • (C) On qualifying inner containers (as defined in regulation 48 of these regulations); or

    • (D) Partly on such materials and partly on such other items of factory or works cost (including inner containers) as aforesaid,—

    is not less than 50 percent of the factory or works cost of the goods in their finished state.

(2) Notwithstanding paragraph (b) of subclause (1) of this regulation,—

• (a) With respect to any specific goods (being goods referred to in paragraph (b) of subclause (1)), the Chief Executive may determine that the expenditure referred to in that paragraph shall be less than 50 percent of the factory or works cost of the goods in their finished state:

• (b) With respect to any goods (being goods referred to in that paragraph (b)) that are classified in the Tariff under the following Tariff headings, Tariff sub-headings, or Tariff items, namely,—

  • (i) 3926.20.22, 3926.20.31, 3926.20.41, 3926.20.61:

  • (ii) 4015.90,00:

  • (iii) 4203.10, 4303.10.09:

  • (iv) 61.01, 61.02, 61.03, 61.04, 61.05, 61.06, 61.07, 61.08, 61.09, 61.10, 61.11, 61.12, 61.13, 61.14, 61.15:

  • (v) 62.01, 62.02, 62.03, 62.04, 62.05, 62.06, 62.07, 62.08, 62.09, 62.10, 62.11, 62.12,—

  the reference in that provision to 50 percent shall be read as a reference to 45 percent.

(3) Where—

• (a) A qualifying material is an unmanufactured raw product of Australia (within the meaning of regulation 32 of these regulations); or

• (b) A qualifying material is wholly manufactured in Australia from unmanufactured raw products of Australia or New Zealand (within the meaning of regulation 35 of these regulations); or

• (c) The last process in the manufacture of a qualifying material occurred in Australia and regulation 35(c)(i) of these regulations applies to that material,—

then, unless the Chief Executive in any particular case permits otherwise, in addition to the requirements of subclauses (1)(b)(ii) and (2)(b) of this regulation, not less than 25 percent of the factory and works cost of the goods in their finished state shall comprise—

• (d) Labour and factory overheads incurred in a Forum Island Country; or

• (e) Qualifying materials referred to in subparagraph (iii) or (vi) of regulation 47(a) of these regulations; or

• (f) Qualifying inner containers referred to in regulation 48 of these regulations where the last process of manufacture occurs in a Forum Island Country; or

• (g) Partly such materials and partly such other items of factory or works cost (including inner containers) specified in paragraph (d), (e), or (f) of this subclause.

(4) Subclause (1) of this regulation applies to goods exported from a Forum Island Country, whether directly or indirectly, and whether or not the goods have entered the commerce of another country after shipment from a Forum Island Country and before importation into New Zealand.

(5) Where any goods referred to in subclause (1)(a) of this regulation are wholly obtained from a particular Forum Island Country, any inner containers in which the goods are packed shall be regarded as having the same origin as the goods they contain.

(1) For the purposes of regulation 45 of these regulations, the factory or works cost of any goods shall be the sum of the following items:

• (a) Subject to regulation 50 of these regulations, the cost to the manufacturer of bringing materials into the factory or works, including any freight and similar costs, but excluding customs duty or excise duty or other duties paid or payable in respect of those materials:

• (b) Labour costs, namely—

  • (i) Manufacturing wages and benefits; and

  • (ii) Other factory or works labour costs incurred in connection with any of the following:

    • (A) The management of the process of manufacturing:

    • (B) The receipt of materials:

    • (C) The storage of materials:

    • (D) Supervision:

    • (E) Training:

    • (F) Quality control:

    • (G) The packing of goods into inner containers:

    • (H) The handling and storage of the goods within the factory:

• (c) Factory overhead expenses, being costs incurred in connection with any of the following:

  • (i) Inspecting and testing materials and the goods:

  • (ii) Insuring real property, plant, equipment, and materials used in the production of the goods, insuring work in progress and finished goods, liability insurance, accident compensation, and insurance against consequential loss from accident to plant and equipment:

  • (iii) Dies, moulds, tooling, and the depreciation, maintenance, and repair of plant and equipment, without regard to whether such items originate in a Forum Island Country or New Zealand:

  • (iv) Interest payments for plant, equipment, and wages:

  • (v) Research, development, design, and engineering:

  • (vi) Rent, leasing costs, mortgage interest, depreciation on buildings, maintenance, repair, rates, and taxes in respect of real property used in the production of the goods:

  • (vii) Leasing of plant and equipment, without regard to whether such items originate in a Forum Island Country or New Zealand:

  • (viii) Materials and supplies, not being directly incorporated in the manufactured goods, including (without limitation) energy, fuel, water, lighting, lubricants, and rags, without regard to whether such items originate in a Forum Island Country or New Zealand:

  • (ix) Storage of the goods at the factory:

  • (x) Royalties or licences in respect of patented machines or processes used in the manufacture of the goods, or in respect of the right to manufacture the goods:

  • (xi) Subscriptions to standards institutions, and industry and research associations:

  • (xii) Factory security, the provision of medical care, cleaning services, cleaning materials and equipment, training materials, the disposal of non-recyclable waste, safety and protective clothing and equipment, and the subsidisation of a factory cafeteria to the extent not covered by returns:

  • (xiii) Computer facilities allocated to the process of the manufacture of the goods:

  • (xiv) Contracting out of part of the manufacturing process within a Forum Island Country or New Zealand:

  • (xv) Employee transport, factory vehicle expenses, and any tax in the nature of a fringe benefits tax payable on a cost specified in this paragraph or paragraph (b) of this subclause:

• (d) The costs of inner containers.

(2) In calculating the factory or works cost under subclause (1) of this regulation and in calculating the expenditure on any item of factory or works cost, none of the following items shall be included or considered, except to the extent that they are specified in subclause (1) of this regulation:

• (a) Costs relating to the general expense of doing business, including (without limitation) the cost of providing executive, financial, sales, advertising, marketing, accounting and legal services, or insurance:

• (b) Costs for telephone, mail, and other means of communication:

• (c) The cost of shipping containers or any cost of packing the goods into them:

• (d) The cost of conveying, insuring, or shipping the goods after their manufacture is completed:

• (e) Royalty payments related to a licensing agreement to distribute or sell the goods:

• (f) Rent, mortgage interest, depreciation on buildings, property insurance premiums, maintenance, repair, taxes, or rates in respect of real property used by personnel charged with administrative functions:

• (g) International travel expenses, including fares and accommodation:

• (h) Manufacturer's profit, or the profit or remuneration of any trader, agent, broker, or other person dealing in the goods after their manufacture:

• (i) Any other costs and expenses incurred after the completion of the manufacture of the goods.

(3) In calculating any item of cost included in subclause (1) of this regulation, a cost incurred by the manufacturer of the goods shall be included once only in the calculation of the factory or works cost.

(4) Depreciation of plant, equipment, and buildings shall be calculated in accordance with generally accepted accounting principles, as applied by the manufacturer.

For the purposes of regulation 45(1)(b)(ii)(B) of these regulations,—

• (a) A material is a qualifying material if—

  • (i) It is an unmanufactured raw product of Australia or New Zealand; or

  • (ii) It is wholly manufactured in Australia or New Zealand, or in Australia and New Zealand, from unmanufactured raw products of Australia or New Zealand; or

  • (iii) It is wholly obtained in a Forum Island Country and is a material referred to in regulation 45(1)(a) of these regulations; or

  • (iv) It is a qualifying material as defined in regulation 35 of these regulations and meets the 50 percent threshold requirement specified in regulation 33(1)(c) of these regulations; or

  • (v) It is a qualifying material as defined in regulation 35 of these regulations and the last process in the manufacture of the material occurred in New Zealand, but the material does not meet the 50 percent threshold requirement specified in regulation 33(1)(c) of these regulations; or

  • (vi) The last process in the manufacture of the material occurred in a Forum Island Country:

• (b) The total expenditure by the manufacturer on the materials referred to in any of subparagraphs (i), (ii), (iii), or (iv) of paragraph (a) of this regulation shall be treated as expenditure on qualifying materials:

• (c) The total expenditure by the manufacturer on the materials referred to in subparagraph (v) of paragraph (a) of this regulation shall be treated as expenditure on qualifying materials under regulation 35(c)(ii) of these regulations.

• (d) The total expenditure by the manufacturer on the materials referred to in subparagraph (vi) of paragraph (a) of this regulation shall be treated as expenditure on qualifying materials in the following manner:

  • (i) Where the material would qualify in its own right under regulation 45(1)(b)(ii) of these regulations if it were to be imported into New Zealand from a Forum Island Country, then 100 percent of the expenditure on that material shall be treated as expenditure on qualifying materials:

  • (ii) Where the material would not qualify in its own right under regulation 45(1)(b)(ii) of these regulations if it were to be imported into New Zealand from a Forum Island Country, then the percentage of the expenditure on that material that may be treated as expenditure on qualifying materials shall be equal to the percentage of qualifying area content in the factory or works cost of that material.

For the purposes of regulation 45(1)(b)(ii)(C) of these regulations, a container is a qualifying inner container if—

• (a) The last process in the manufacture of the container occurred in a Forum Island Country or New Zealand; and

• (b) It contains not less than 50 percent qualifying area content.

For the purposes of regulation 45(1)(b)(ii)(B) of these regulations,—

• (a) Expenditure on waste and scrap resulting from manufacturing or processing operations conducted in a Forum Island Country or Australia or New Zealand; and

• (b) Expenditure on used articles collected in a Forum Island Country or Australia or New Zealand, and fit only for the recovery of raw materials; and

• (c) Expenditure on raw materials recovered from the waste, scrap, or used articles specified in paragraph (a) or paragraph (b) of this regulation,—

shall be treated as if it were expenditure on materials wholly obtained in a Forum Island Country.

(1) For the purposes of regulation 46 of these regulations, where any material has been supplied free of charge or at a reduced cost, the amount to be determined as expenditure on that material shall be determined—

• (a) In accordance with clause 3(1)(a)(iii) of Schedule 2 to the Act; and

• (b) By adding thereto the costs of freight, insurance, packing, and all other costs incurred in transporting the materials into the factory or works, whether or not those costs have been incurred by the manufacturer.

(2) For the purposes of subclause (1) of this regulation, where the person supplying the material is not the buyer of the goods in their finished state,—

• (a) The supply shall be treated as if it were a supply by such a buyer; and

• (b) The provisions of subclause (1) of this regulation shall apply to that supply accordingly; and

• (c) Where the Chief Executive is satisfied that the circumstances of any particular case so require, the Chief Executive may apply those provisions to any earlier supply of any material on a free of charge or reduced cost basis.

(3) Where the Chief Executive is satisfied that materials have been added or attached to the goods solely for the purpose of artificially raising the qualifying area content of the goods, the Chief Executive may exclude expenditure on those materials from the calculation of factory or works cost under regulation 46 of these regulations.

(4) If the Chief Executive is satisfied that the cost to the manufacturer of materials exceeds the normal market value of the materials, the Chief Executive may exclude from the calculation of the factory or works cost under regulation 46 of these regulations the amount determined by the Chief Executive to be the excess.

(1) If the Chief Executive is satisfied, in relation to any goods, that—

• (a) The qualifying area content of goods in a shipment of such goods that are claimed to originate in a Forum Island Country is 48 percent or more but less than 50 percent of the total factory or works cost of those goods; and

• (b) The qualifying area content of those goods would be at least 50 percent of the total factory or works cost of those goods if an unforeseen circumstance had not occurred; and

• (c) The situation caused by the unforeseen circumstance is unlikely to continue,—

the Chief Executive may make a determination in writing to that effect and specify the period in respect of which the determination shall apply.

(2) Where the Chief Executive makes a determination under subclause (1) of this regulation, regulation 45(1)(b) of these regulations shall apply to all goods in respect of which that determination has been made,—

• (a) For the purpose of the shipment of goods that is affected by the unforeseen circumstance; and

• (b) For the purpose of any subsequent shipment of similar goods that is so affected during the period determined for the purpose by the Chief Executive,—

as if the reference in regulation 45(1)(b) of these regulations to 50 percent were a reference to 48 percent.

(3) The Chief Executive may at any time amend or revoke any determination made under subclause (1) of this regulation to reflect changed circumstances.

(4) For the purposes of subclause (2) of this regulation, the term similar goods, in relation to goods in a particular shipment, means goods that—

• (a) Are contained in another shipment that is imported by the same importer from the same manufacturer; and

• (b) Contain the same materials and undergo the same process or processes of manufacture as the goods in the first-mentioned shipment.

In regulations 51B to 51E, unless the context otherwise requires,—

(1) The following classes of goods are, for the purposes of the Act and the Tariff Act 1988, the produce or manufacture of Singapore, namely—

• (a) goods that are wholly produced or obtained in Singapore and are specified products of that country:

• (b) goods partly manufactured in Singapore, subject to the conditions in subclauses (2) and (3).

(2) For the purposes of subclause (1)(b), the conditions are that the last process of manufacture of the goods was performed in Singapore and either—

• (a) that, in respect of the goods and subject to regulations 51D and 51E, the expenditure on 1 or more of the following items is not less than 40% of the factory or works cost of the goods in their finished state:

  • (i) qualifying materials (as defined in regulation 51D); or

  • (ii) labour and overheads (as defined in regulation 51C(1)) incurred in either Singapore or New Zealand or both; or

  • (iii) partly on those qualifying materials and partly on labour and overheads incurred in either Singapore or New Zealand or both; or

• (b) that, in respect of goods that do not contain any qualifying area content and for which quality control checking and testing procedures performed in Singapore are the last process of manufacture, the expenditure on those procedures is not less than 50% of the factory or works cost of the goods calculated after completion of the process of manufacture.

(3) In relation to goods that contain some qualifying area content, and for which quality control checking and testing procedures performed in Singapore are the last process of manufacture, expenditure on those procedures may only be included in the calculation under subclause (2)(a) if that expenditure is not less than 8% of the factory or works cost of the goods calculated after completion of the process of manufacture.

(4) Subclause (1) applies only to—

• (a) goods exported directly from Singapore to New Zealand without entering the commerce of another country; and

• (b) goods that, after being exported from Singapore and before importation into New Zealand, enter the commerce of Australia only for the purposes of unloading and reloading.

(5) For the purposes of subclause (1)(a), packing materials (including labels) and packing containers in which the goods are packed must be disregarded when determining whether or not the goods are wholly produced or obtained in Singapore.

(1) For the purposes of subclauses (2) and (3) of regulation 51B, the factory or works cost of any goods is the sum of the following items:

• (a) subject to regulation 51E, the actual cost to the manufacturer of bringing materials into the factory or works,—

  • (i) including any freight costs; but

  • (ii) excluding customs duty or excise duty or other duties paid or payable in respect of those materials:

• (b) labour costs incurred in connection with the manufacturing process, namely—

  • (i) salaries and wages; and

  • (ii) benefits, including productivity bonuses, company vehicles, employers' Central Provident Fund contributions, accident insurance or compensation, and dental and medical benefits; and

  • (iii) other factory or works labour costs incurred in connection with the manufacturing process, including—

    • (A) Skills Development Fund contributions:

    • (B) Foreign Worker levies:

    • (C) Workmen's Compensation Scheme contributions:

    • (D) the management of the process of manufacturing:

    • (E) the receipt of materials:

    • (F) the handling and storage of materials and the goods within the factory or works:

    • (G) supervision:

    • (H) training:

    • (I) quality control:

    • (J) the packing of the goods into containers (including inner containers, and shipping and airfreight containers) within the factory or works:

• (c) factory overhead expenses, being any of the following costs incurred in connection with the manufacturing process:

  • (i) inspecting and testing materials and the goods:

  • (ii) insuring real property, plant, equipment, and materials used in the production of the goods, insuring work in progress and finished goods, liability insurance, accident compensation, and insurance against consequential loss from accident to plant and equipment:

  • (iii) dies, moulds, tooling, and the depreciation, maintenance, and repair of plant and equipment, whether or not those items originate in Singapore or New Zealand:

  • (iv) interest payments for plant and equipment:

  • (v) research, development, design, and engineering:

  • (vi) rent, leasing, mortgage interest, depreciation on buildings, maintenance, repair, rates, and taxes in respect of real property used in the production of the goods:

  • (vii) leasing of plant and equipment, whether or not those items originate in Singapore or New Zealand:

  • (viii) materials and supplies not being directly incorporated into the manufactured goods, including energy, fuel, water, lighting, lubricants, and rags, whether or not those items originate in Singapore or New Zealand:

  • (ix) storage of materials and the goods at the factory or works:

  • (x) royalties or licences in respect of patented machines or processes used in the manufacture of the goods, or in respect of the right to manufacture the goods:

  • (xi) subscriptions to standards institutions, and industry and research associations:

  • (xii) factory security, the provision of medical care (including the provision of first-aid kits and medical supplies), cleaning services, cleaning materials and equipment, training materials, disposal of waste, safety and protective clothing and equipment, and the subsidisation of a factory cafeteria to the extent not covered by returns:

  • (xiii) computer facilities allocated to the process of manufacture of the goods:

  • (xiv) contracting out of part of the manufacturing process in Singapore or New Zealand:

  • (xv) employee transport, factory vehicle expenses, and any tax in the nature of a fringe benefits tax payable on a cost specified in this paragraph or paragraph (b).

(2) In calculating the expenditure on an item of factory or works cost, none of the following may be included, except to the extent that they are specified in subclause (1):

• (a) costs relating to the general expense of doing business, including the cost of providing executive, financial, sales, advertising, marketing, accounting, and legal services, or insurance:

• (b) costs for telephone, mail, and other means of communication:

• (c) the cost of shipping and airfreight containers:

• (d) the cost of conveying, insuring, or shipping the goods after their manufacture is completed:

• (e) royalty payments relating to a licensing agreement to distribute or sell the goods:

• (f) rent, mortgage interest, depreciation on buildings, property insurance premiums, maintenance, repair, taxes, or rates in respect of real property used by personnel charged with administrative functions:

• (g) international travel expenses, including fares and accommodation:

• (h) manufacturer's profits, or the profit or remuneration of any trader, agent, broker, or other person dealing in the goods after their manufacture:

• (i) any other costs or expenses incurred after the completion of the manufacture of the goods.

(3) In calculating any item of cost included in subclause (1), a cost incurred by the manufacturer of the goods must be included once only in the calculation of the factory or works cost.

(4) Depreciation of plant, equipment, and buildings must be calculated in accordance with generally accepted accounting principles, as applied by the manufacturer.

(1) For the purposes of regulation 51B(2)(a), a material is a qualifying material if—

• (a) it is wholly produced or obtained in Singapore or New Zealand and is a specified product; or

• (b) it contains both—

  • (i) qualifying area content of Singapore or New Zealand (or both); and

  • (ii) content imported from any other country.

(2) The total expenditure by the manufacturer on the materials referred to in subclause (1)(a) must be treated as expenditure on qualifying materials.

(3) Expenditure by the manufacturer on the materials referred to in subclause (1)(b) must be treated as expenditure on qualifying materials in the following manner:

• (a) 100% of the expenditure on that material must be treated as expenditure on qualifying materials if—

  • (i) the material has or is deemed to have no less than 40% qualifying area content of Singapore or New Zealand (or both); and

  • (ii) the last process of manufacture of the material takes lace in Singapore or New Zealand:

• (b) if the material has less than 40% qualifying area content of Singapore or New Zealand (or both), then the percentage of the expenditure on that material that may be treated as expenditure on qualifying materials is equal to the percentage of qualifying area content in the factory or works cost of that material:

• (c) the cost of that material to the factory or works (excluding the cost of any material or processes not incurred in Singapore or New Zealand) must be treated as expenditure on qualifying materials if—

  • (i) the material has or is deemed to have no less than 40% qualifying area content of Singapore or New Zealand (or both); and

  • (ii) the last process of manufacture of the material does not take place in Singapore or New Zealand; and

  • (iii) the material is subsequently received or acquired by a factory in Singapore.

(1) For the purposes of regulation 51C, if a material has been supplied free of charge or at a reduced cost,—

• (a) the amount to be determined as expenditure on that material must be determined—

  • (i) in accordance with clause 3(1)(a)(iii) of Schedule 2 of the Act; and

  • (ii) by adding to the amount referred to in subparagraph (i) the costs of freight, insurance, packing, and all other costs incurred in transporting the materials into the factory or works, whether or not those costs have been incurred by the manufacturer:

• (b) the materials must be treated as if they had been purchased by the manufacturer.

(2) If the Chief Executive is satisfied that the circumstances of a particular case so require, the Chief Executive may treat an earlier supply of material free of charge or at a reduced cost as if the materials had been purchased by the manufacturer.

(3) The Chief Executive may exclude expenditure on any materials from the calculation of factory or works cost under regulation 51C if the Chief Executive is satisfied that the materials have been added or attached to the goods solely for the purpose of artificially raising the qualifying area content of the goods.

(4) If the Chief Executive is satisfied that the cost to the manufacturer of materials exceeds the normal market value of the materials, the Chief Executive may exclude from the calculation of the factory or works cost under regulation 51C the amount determined by the Chief Executive to be the excess.

In regulations 51G to 51M, unless the context otherwise requires,—

(1) Particular goods are deemed for the purposes of the Act and the Tariff Act 1988 to originate in Thailand if the goods—

• (a) are goods wholly obtained in New Zealand or Thailand; or

• (b) are goods that—

  • (i) satisfy the requirements of Schedule 3 as a result of processes performed entirely in New Zealand or Thailand, or both; and

  • (ii) did not enter the commerce of another country after export from Thailand and before import into New Zealand, unless the Chief Executive otherwise permits subject to conditions approved by the Chief Executive either generally or in a particular case.

(2) Originating materials of New Zealand, used in the production of particular goods in Thailand, are deemed to originate in Thailand.

(3) Particular goods that do not satisfy a change in tariff classification required in accordance with Schedule 3 are originating goods if—

• (a) the value of non-originating materials used in their production does not exceed 10% of the FOB value of the goods; and

• (b) the goods meet all other applicable criteria of these regulations.

(4) Except where goods are subject to a regional value content as required by Schedule 3, goods produced by minimal operations or processes must not be treated as originating goods even where those minimal operations or processes meet the change of tariff classification requirements specified in that schedule.

(1) Accessories, spare parts, or tools delivered with originating goods that form part of the standard accessories, spare parts, or tools for those goods must be treated as originating goods and must be disregarded in determining whether or not all the non-originating materials used in the production of the originating goods undergo the applicable change in tariff classification, if—

• (a) the accessories, spare parts, or tools are not invoiced separately from the originating goods; and

• (b) the quantities and value of the accessories, spare parts, or tools are customary for the originating goods; and

• (c) in any case where the goods are subject to a regional value content requirement, the value of the accessories, spare parts, or tools is taken into consideration as originating or non-originating materials, as the case may be, in calculating the regional value content of the goods.

(2) Subclause (1) does not apply where the accessories, spare parts, or tools have been added solely for the purpose of artificially raising the regional value content of the goods.

(1) The determination of whether fungible goods or materials are originating goods is made—

• (a) by physical separation of each of the goods or materials; or

• (b) through the use of any inventory management method, such as averaging, last-in and first-out, or first-in and first-out, as recognised or otherwise generally accepted in the generally accepted accounting principles of Thailand.

(2) An inventory management method selected under subclause (1)(b) for particular fungible goods or materials must continue to be used for those fungible goods or materials throughout the fiscal year of the producer that selected the inventory management method.

(1) Packaging materials and containers in which goods are packaged for retail sale, if classified with those goods, are not included in determining whether non-originating materials used in the production of those goods have undergone the applicable change in tariff classification as set out in Schedule 3.

(2) if goods described in subclause (1) are subject to a regional value content requirement, the value of the packaging materials and containers used for retail sale will be counted as originating or non-originating, as the case may be, in calculating a regional value content.

(3) Packaging materials and containers for shipment in which goods are packaged for transport are not included in determining the origin of the good.

An indirect material is deemed an originating material without regard to where it is produced, and its value is determined by its cost recorded in the accounting records of the producer of the goods.

(1) Subject to subclauses (2) and (3), where Schedule 3 specifies that goods are required to have a regional value content, the value of that content is calculated as follows:

where—

• RVC is the regional value content expressed as a percentage

• FOB is the FOB value of the goods

• VNM (value of non-originating materials) is the CIF value of non-originating materials

(2) If the FOB or CIF values do not exist or cannot be determined in accordance with clause 2 of Schedule 2 of the Act, the values are determined in accordance with the subsequent clauses to that schedule.

(3) For the purposes of calculating the regional value content, a calculation averaged over the producer's fiscal year may be used.

(1) The Customs may require a declaration of origin for goods for which preferential tariff treatment is claimed, from—

• (a) the exporter of the goods; or

• (b) the producer of the goods; or

• (c) any other competent person, or public or private body, in relation to the goods.

(2) The declaration must describe the goods, and must specify that those goods—

• (a) are the origin of Thailand; and

• (b) meet the terms of Article 4.2.1 of the New Zealand-Thailand Closer Economic Partnership Agreement.

In regulations 51N to 51Y, unless the context otherwise requires,—

(1) Particular goods are deemed for the purposes of any claim for preferential tariff treatment to originate in the territory of a party if the goods—

• (a) are wholly obtained in the territory of a party; or

• (b) are produced solely in the territory of 1 or more parties exclusively from materials that originate, or are by these regulations deemed to originate, from 1 or more of the parties; or

• (c) are produced in the territory of 1 or more parties using non-originating materials if—

  • (i) the non-originating materials satisfy the requirements of Schedule 5 or any other requirement of these regulations; and

  • (ii) the goods meet all other applicable provisions of these regulations.

(2) Materials that originate from the territory of any of the parties and are used in the production of particular goods in the territory of any other party are deemed to originate in the territory of the other party.

(3) Particular goods that do not satisfy a change in tariff classification required by Schedule 5 are originating goods if—

• (a) the value of non-originating materials used in their production does not exceed 10% of the transaction value of the goods calculated in accordance with regulation 51P; and

• (b) the goods meet all other applicable criteria of these regulations.

(4) Except where goods are subject to a regional value content as required by Schedule 5, goods produced by minimal operations or processes must not be treated as originating goods even where those minimal operations or processes meet the change of tariff classification requirement specified in that schedule.

(1) Subject to subclauses (2) and (3), where Schedule 5 specifies that goods are required to have a regional value content, the value of that content is calculated as follows:

where—

(2) If the TV or VNM values do not exist or cannot be determined in accordance with clause 2 or clause 3 of Schedule 2 of the Act, the values are determined in accordance with clauses 3 to 8 of that schedule.

(3) For the purposes of the calculation required by subclause (1), the value of non-originating materials must not be included if—

• (a) those non-originating materials were used in the territory of a party to produce materials; and

• (b) those materials were then used to produce the goods to which the calculation relates.

(4) When the producer of goods does not export the goods directly, the value must be adjusted up to the point at which the purchaser received the goods within the territory of the party where the producer is located.

(5) For the purposes of the calculation required by subclause (1), in any case where the producer of goods who is in the territory of a party acquires non-originating materials in that territory, the value of the materials must not include freight, insurance, packing costs, or any other costs incurred in transporting the materials from the supplier's warehouse to the producer's location.

(1) Accessories, spare parts, or tools delivered with originating goods that form part of the standard accessories, spare parts, or tools for those goods must be treated as originating goods and must be disregarded in determining whether or not all the non-originating materials used in the production of the originating goods undergo the applicable change in tariff classification, if—

• (a) the accessories, spare parts, or tools are classified with, and not invoiced separately from, the originating goods; and

• (b) the quantities and value of the accessories, spare parts, or tools are normal for the originating goods; and

• (c) in any case where the goods are subject to a regional value content requirement, the value of the accessories, spare parts, or tools is taken into consideration as originating or non-originating materials, as the case may be, in calculating the regional value content of the goods.

(2) Subclause (1) does not apply where the accessories, spare parts, or tools have been added solely for the purpose of artificially raising the regional value content of the goods.

(1) Packaging materials and containers in which goods are packaged for retail sale, if classified with those goods, are not included in determining whether non-originating materials used in the production of those goods have undergone the applicable change in tariff classification as set out in Schedule 5.

(2) If goods described in subclause (1) are subject to a regional value content requirement, the value of the packaging materials and containers used for retail sale are taken into consideration as originating or non-originating, as the case may be, in calculating the regional value content.

(3) Packaging materials and containers for shipment in which goods are packed exclusively for transport are not included in determining the origin of the goods.

An indirect material is deemed an originating material without regard to where it is produced, and its value is determined by its cost recorded in the accounting records of the producer of the goods.

Regulations 51O to 51S apply only in respect of goods transported directly between the parties, without entering the commerce of a non-party, unless the chief executive otherwise permits subject to conditions approved by the chief executive either generally or in a particular case.

(1) Goods are considered to be originating goods if they—

• (a) include materials that were exported from a party to a non-party for processing and were subsequently reimported to the party; and

• (b) meet the requirements set out in subclause (2).

(2) The requirements are that—

• (a) the goods are of a kind referred to in the tariff subheadings specified in Schedule 6; and

• (b) the total value of non-originating materials of the goods, calculated in accordance with subclause (3), does not exceed 55% of their value; and

• (c) the materials that were exported from the party were wholly obtained or produced in the territory of the party or underwent, before being exported, processes of production or operation that went beyond minimal processes or operations; and

• (d) the same producer produced the goods and the exported materials; and

• (e) the reimported goods have been obtained through processes of production or operations of the exported materials; and

• (f) the last process of manufacture of the goods was—

  • (i) performed in the territory of the party; and

  • (ii) the activity by which the goods were transformed into new goods different from the component parts or materials.

(3) For the purposes of subclause (2)(b), the total value of non-originating materials is—

• (a) the value of any non-originating materials added in the territory of the party; plus

• (b) the value of any other added materials; plus

• (c) all other costs accumulated outside the territory of the party, including transportation costs.

(4) This regulation prevails over regulation 51O and the product-specific requirements set out in Schedule 5.

Where an exporter in New Zealand becomes aware that the exporter has provided an erroneous or false declaration or certificate or other evidence to support a claim for preference in the territory of an other party, the exporter must give notice to the following, as soon as practicable, of any change that would affect the accuracy or validity of the declaration, certificate, or evidence:

• (a) the Customs; and

• (b) the customs administration of the importing party; and

• (c) the importer.

(1) Exporters, importers, and producers must keep a record of all transactions relating to the exportation or importation of goods for which a claim for preferential tariff treatment is made to show that the goods qualify for preferential tariff treatment.

(2) The record must be maintained for a period of not less than 3 years after the date of exportation or importation, as the case may be.

(1) To determine whether goods imported into New Zealand from another party qualify as originating goods, the Customs may verify any claims made for tariff preference by—

• (a) requesting relevant information from the exporter, importer, or producer:

• (b) requesting the customs administration of the exporting party to verify the origin of the goods:

• (c) undertaking any other procedure that the Customs and the customs administration of the exporting party agree.

(2) If the origin of goods cannot be determined in accordance with subclause (1), the Customs may request, through the customs administration of the exporting party, to visit the premises of the exporter or producer in the territory of the exporting party to—

• (a) review any records that are relevant to origin of the goods; and

• (b) observe the facilities used in the production of the goods.

(3) The Customs must specify a period of 60 days from the date the written question or request is sent to the exporter or producer in which to respond.

(4) The Customs may extend the period of 60 days specified under subclause (3) by a maximum of 30 days.

(1) If the Customs is satisfied that the goods are originating goods under regulation 51X, it must permit preferential access for the goods.

(2) Preferential tariff treatment may be denied if—

• (a) the goods do not, or did not, meet the requirements of these regulations:

• (b) the exporter or producer fails to respond fully to requests made by the Customs within the period specified under regulation 51X(3) or (4):

• (c) the requested customs administration is for any reason unable to comply with a request from the Customs to verify the origin of goods and advises the Customs of its inability or fails to respond to a request within 90 days:

• (d) the exporter or producer does not agree to a visit by the Customs within 30 days of receiving the request.

(3) If preferential tariff treatment is denied, the Customs must give a written explanation for the decision to the exporter, importer, or producer, as the case may be.

(4) Where verifications by the Customs indicate a pattern of conduct by an exporter or producer of false or unsupported representations that goods imported into New Zealand qualify as an originating good, the Customs may withhold preferential tariff treatment to identical goods exported or produced by the exporter or producer until the Customs are satisfied that the exporter or producer is no longer making false or unsupported representations as to origin.

The time within which goods to which section 70 of the Act applies must be entered is—

• (a) Except in the case of goods to which paragraph (b) or paragraph (c) of this regulation applies, 15 working days from the end of the month in which the goods were removed from the Customs controlled area:

• (b) In the case of alcoholic products specified in items 99.10 to 99.50 of Part A of Schedule 3 to the Act,—

  • (i) That are removed from a manufacturing area; and

  • (ii) Where the total excise duty liability of the licensee in the period 1 July to 30 June in any one year is estimated by the licensee to be $5,000 or less,—

  by the 15th working day of July in each year in respect of goods removed during the most recent 12-month period from 1 July to 30 June:

• (c) In the case of alcoholic products specified in items 99.10 to 99.50 of Part A of Schedule 3 to the Act,—

  • (i) That are removed from a manufacturing area; and

  • (ii) Where the total excise duty liability of the licensee in the period 1 July to 30 June in any one year is estimated by the licensee to be more than $5,000 but less than $10,000,—

  by the 15th working day of July in each year in respect of goods removed during the most recent 6-month period from 1 January to 30 June and by the 15th working day of January in each year in respect of goods removed during the most recent 6-month period from 1 July to 31 December.