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Ministry of Trade and Industry Impo

Ministry of Trade and Industry Imposes Measures to Curb Imports
The Ministry of Trade and Industry issued two decrees regulating imports into the Egyptian market. The decrees manifest the Egyptian government’s effort to curb the importation of goods for trade purposes through subjecting them to further supervision and limitation. The first decree (No. 991 of 2015) added a number of goods to the list of products that may only be imported if certain specific conditions are satisfied. The second decree (No. 992 of 2005) initiates a special record/register for exporters to the Egyptian market and details the conditions that need to be fulfilled in order to be listed in such register.
Decree No. 991 of 2015
Article 1 of Decree No. 991 of 2015[1] introduced a number of new products to a list which stipulates special conditions for some products (contained in Serial (5) from Annex (3)) included in the Ministry of Foreign Trade and Industry Decree[2] concerning the issuance of the executive rules applying the Import/Export Law[3]. Importing the newly added products will now be restricted to the fulfillment of several conditions, which detailed below in the Ministry’s Decree No. 992 of 2015. Article 2 of the Decree penalizes relevant companies and entities with a temporary six months’ suspension of trade in case their examination certificate details are not in conformity with the authorities’ examination results. This suspension shall be permanent in case of recurrence.
Decree No. 992 of 2015
Decree No. 992 of 2015[4] initiated a record/register in the General Organization for Export and Import Control to register all factories qualified to export products into the Egyptian market. The Decree applies to nearly 23 product categories – covering most imported products including dairy, steel, household appliances and other products. The release of these products is banned in case they are imported for trade purposes without having the manufacturing plants registered in the applicable record mentioned above. Article 1 of the Decree mandates the minister in charge of foreign trade to list and delist relevant manufacturers, as well as to issue partial or complete waivers from the registration conditions listed above on a case by case basis. Article 2 of the Decree determines the registration conditions, which include filing an application by the manufacturer’s legal representative, the trademark owner or any of his authorized representatives supported by the following documents:  Manufacturer’s license copy  Certificate with manufacturer’s legal position and its products  Product’s trademark and the trademarks produced in accordance to the trademark owner’s license.  Certificate confirming the manufacturer’s conformity with the quality supervision systems and fulfillment of environmental and International Labor Organization standards. This certificate has to be issued from an entity accredited by the International Laboratory Accreditation Cooperation (ILAC) or a governmental or foreign entity approved by the minister in charge of foreign trade.  In case the applicant is the trademark owner, a statement mentioning the factories where products under the trademark are manufactured is necessary.  Acceptance of inspection and allowing the technical teams in confirming the fulfillment of environmental and work safety standards.
Commentary
The two decrees show that the Ministry of Trade and Industry is attempting to add some hurdles to importing goods and products. The decrees will help to curb random importation and ensure the validity of imported products through guaranteeing conformity with the quality and environmental standards. The decrees are also in line with the Egyptian government’s endeavour to reduce imports to cope with the sharp decline in foreign exchange reserves. [1] Ministry of Trade and Industry Decree No. 991 for the year 2015 concerning certain products imported under special conditions, Official Gazette, Issue 297 continued, 31 December 2015. [2]Ministry of Foreign Trade and Industry Decree No. 770 of 2005 concerning the issuance of the executive rules applying Law No. 118 of 1975 provisions regarding importation, exportation as well as systems of examination and supervision over imported and exported products, Official Gazette, Issue 234 continued (c), 13 October 2005. [3] Ministry of Industry and Foreign Trade Decree No. 961 of 2012, Official Gazette, Issue 273 continued (b), 3 December 2012. [4] Ministry of Trade and Industry Decree No. 992 for the year 2015 concerning rules governing the registration of plants qualified to export into the Egyptian market, Official Gazette, Issue 297 continued (a), 31 December 2015.
The Ministry of Trade and Industry issued two decrees regulating imports into the Egyptian market. The decrees manifest the Egyptian government’s effort to curb the importation of goods for trade purposes through subjecting them to further supervision and limitation. The first decree (No. 991 of 2015) added a number of goods to the list of products that may only be imported if certain specific conditions are satisfied. The second decree (No. 992 of 2005) initiates a special record/register for exporters to the Egyptian market and details the conditions that need to be fulfilled in order to be listed in such register.
Decree No. 991 of 2015
Article 1 of Decree No. 991 of 2015[1] introduced a number of new products to a list which stipulates special conditions for some products (contained in Serial (5) from Annex (3)) included in the Ministry of Foreign Trade and Industry Decree[2] concerning the issuance of the executive rules applying the Import/Export Law[3]. Importing the newly added products will now be restricted to the fulfillment of several conditions, which detailed below in the Ministry’s Decree No. 992 of 2015. Article 2 of the Decree penalizes relevant companies and entities with a temporary six months’ suspension of trade in case their examination certificate details are not in conformity with the authorities’ examination results. This suspension shall be permanent in case of recurrence.
Decree No. 992 of 2015
Decree No. 992 of 2015[4] initiated a record/register in the General Organization for Export and Import Control to register all factories qualified to export products into the Egyptian market. The Decree applies to nearly 23 product categories – covering most imported products including dairy, steel, household appliances and other products. The release of these products is banned in case they are imported for trade purposes without having the manufacturing plants registered in the applicable record mentioned above. Article 1 of the Decree mandates the minister in charge of foreign trade to list and delist relevant manufacturers, as well as to issue partial or complete waivers from the registration conditions listed above on a case by case basis. Article 2 of the Decree determines the registration conditions, which include filing an application by the manufacturer’s legal representative, the trademark owner or any of his authorized representatives supported by the following documents:  Manufacturer’s license copy  Certificate with manufacturer’s legal position and its products  Product’s trademark and the trademarks produced in accordance to the trademark owner’s license.  Certificate confirming the manufacturer’s conformity with the quality supervision systems and fulfillment of environmental and International Labor Organization standards. This certificate has to be issued from an entity accredited by the International Laboratory Accreditation Cooperation (ILAC) or a governmental or foreign entity approved by the minister in charge of foreign trade.  In case the applicant is the trademark owner, a statement mentioning the factories where products under the trademark are manufactured is necessary.  Acceptance of inspection and allowing the technical teams in confirming the fulfillment of environmental and work safety standards.
Commentary
The two decrees show that the Ministry of Trade and Industry is attempting to add some hurdles to importing goods and products. The decrees will help to curb random importation and ensure the validity of imported products through guaranteeing conformity with the quality and environmental standards. The decrees are also in line with the Egyptian government’s endeavour to reduce imports to cope with the sharp decline in foreign exchange reserves. [1] Ministry of Trade and Industry Decree No. 991 for the year 2015 concerning certain products imported under special conditions, Official Gazette, Issue 297 continued, 31 December 2015. [2]Ministry of Foreign Trade and Industry Decree No. 770 of 2005 concerning the issuance of the executive rules applying Law No. 118 of 1975 provisions regarding importation, exportation as well as systems of examination and supervision over imported and exported products, Official Gazette, Issue 234 continued (c), 13 October 2005. [3] Ministry of Industry and Foreign Trade Decree No. 961 of 2012, Official Gazette, Issue 273 continued (b), 3 December 2012. [4] Ministry of Trade and Industry Decree No. 992 for the year 2015 concerning rules governing the registration of plants qualified to export into the Egyptian market, Official Gazette, Issue 297 continued (a), 31 December 2015.