Customs & Excise Department
Saint Lucia

Manufacturers Processes

Qualification for CARICOM Treatment

Step 1

You must determine the correct HS classification for the finish product manufactured.

Step 2

Having done this examine the List A in the Caricom Community Act to determine if the HS Classification is included there; If the item is included there the conditions in column 4 must be adhered to.

Where "ex" presides the HS classification only the items included in the description column are to be regarded as being in the list.

If the goods are not included in the List A the criterion to be adhered to is that of wholly produced or substantial transformation.

Goods Wholly Produced Within the Community

  1. The expression "wholly produced" when used with reference to goods means:
    1. Mineral products extracted fr om the ground within the Community;
    2. Vegetable products harvested within the Community;
    3. Live animals born and raised within the Community;
    4. Products obtained within the Community from live animals;
    5. Products obtained by hunting or fishing cond ucted within the Community;
    6. Marine products taken from the sea by a vessel of a Member State;
    7. Goods produced within the Community exclusively from one or both of the following--
      1. Goods referred to in sub - paragraphs (a) to (f) and (h) and (i) of this paragraph;
      2. Goods containing no materials imported from outside the Community or of undetermined origin, or containing those materials but which would not be regarded as such under paragraph 1 of Rule 3; and shall be taken to include--
    8. Used articles fit only for the recovery of materials provided that they have been collected from users within the Community;
    9. Scrap and waste resulting from manufacturing operations within the Community.
  2. Wherever in paragraph 1 of Article 84 of this Treaty goods are required to be wholly produced, the use of small quantities of preservatives, vitamins, colouring and similar materials imported from outside the Community or of undetermined origin shall not affect their eligibility for Community treatment as wh olly produced.

Application of the Criterion of Substantial Transformation

  1. Where materials containing any element imported from outside the Community meet the conditions specified in Article 84, those materials shall be regarded as containing no such e lement.
  2. For the purpose of Article 84--
    1. The value of any materials imported from outside the Community shall be the customs value determined for them by the Customs Authority in the Member State where they were used in a process of production, less the amount of any transport costs incurred in transit through other Member States;
    2. If the origin of any materials cannot be determined, such materials shall be deemed to have been imported from outside the Community;
    3. The export price of the goods s hall be the value accepted for this purpose by the Customs Authority in the Member State in which they were produced. It shall be based, mutatis mutandis, on the provision set out in sub - paragraph (a), but shall not include the amounts of transport and ins urance costs incurred after the exportation of the goods.
  3. In the application of the List the conditions to be complied with other than a percentage value - added condition applicable to any goods shall be fulfilled in respect of the whole of the goods, ex cluding any packing.
  4. The expressions appearing in the columns headed "conditions to be complied with" in the List and set out below shall be applied in the following manner:
    1. The combination of two or more elements; or
    2. Any modification of the structure of the molecule of a compound with the exception of i onisation and the addition or removal of water of crystallisation.