CERTIFICATE OF ORIGIN
A) WHAT IS THE CERTIFICATE OF ORIGIN
Certificate of Origin is a specific form identifying the goods originating in a particular country based on a declaration made by the Exporter. Country of Origin signifies the country in which the goods have been produced or manufactured.
The issuance and acceptance of the Certificate of Origin is governed by the International Committee on the Simplification and Harmonization of Customs Procedures.
In determining the origin of goods, two different basic criteria are used:-
- The "wholly produced" criterion where only one country enters into consideration which essentially applies to natural products (e.g. rubber, palm oil, cocoa)
- "substantial transformation" where two or more countries are involved in the production of the goods. (this refers to manufactured goods. The "substantial transformation" interpreted as a substantial change in the customs tariff code numbers used at the time of import and that on export).
B) WHY IS CERTIFICATE OF ORIGIN NECESSARY
- To establish in the importing country the right of the goods to enter the country
- To establish that goods did not originate from a country against which the importing country has imposed trade restrictions.
- To comply with the requirements of the importer or the importer’s bank
- To enable the importer to establish a claim for the payment of duties and taxes at a potential rate where applicable.
- To effect quotas or quantitative restrictions
- To assess actual price of the goods.
C) THE ISSUANCE OF CERTIFICATE OF ORIGIN
The issuing of the Certificate of Origin (COs) is one of the essential services provided by the Kuala Lumpur & Selangor Indian Chamber of Commerce & Industry which has been issuing COs for a number of years.
The Chamber is authorized by the Malaysian Government to authenticate the Certificate of Origin and other related commercial documents in respect of exports and re-exports from Malaysia. The Chamber however does not have authority to authenticate the following types of Certificates of Origin and the applications for such Certificate should be made to the following:-
- Generalised System of Preference (GSP) Ministry of International Trade and Industry.
- ASEAN Preferential Trading Arrangement (PTA) Ministry of International Trade and Industry.
- Certificate of Origin for textile to the EEC countries. Ministry of International Trade and Industry.
- Certificate of Origin for the export of raw rubber – Malaysian Rubber Board.
- Certificate of Origin in respect of exports from a second to a third country.
D) PROCEDURES FOR THE APPLICATION FOR THE CERTIFICATE OF ORIGIN
Purchase of Certificate of Origin Forms
The Standard Certificate of Origin Form can be purchased from the Chamber the cost being as follows:-
Members - RM 2.00 per sheets
Fees for Authentication of Documents
The fees charges by the Chamber for the authentication of documents are as follows:-
Members - RM10.00 per authentication
COMPLETING THE CERTIFICATE OF ORIGIN
Support document required for the Chamber
Export of Goods of Malaysian Origin
- Commercial invoice
- Export declaration
- Bill of Lading / Airway Bill
- Export License, Permit etc, if applicable
- Any other document deemed necessary such as manufacturers invoice
Re export of goods (other than those of Malaysian origin are):
- As for Export and
- Import Declaration (Form C1) used at the time of the relevant import.
LETTER OF INDEMNITY
A letter of Indemnity on a standard format (as per specimen provided by the Chamber) When required has to be produced on the respective company’s letterhead.
If the Chambers endorsement is also required on other support documents such as shipping certificates and manifests, a letter of Indemnity from the company issuing that document will also have to be produced.
Every Letter of Indemnity must bear a RM3.00 Revenue (Hasil) stamp.
- A Letter of Indemnity is required for shipments via Johor Bahru by road and rail for each movement
- A continuing Letter of indemnity is required for shipments from a Malaysian airport or seaport valid for a year and renewable on 1 January of each year.
A Certificate of Origin must be above suspicion. In this respect and in order to verify the exporter’s claim, the Chamber reserves the right to call for any other supporting documentary evidence or to carry out checks considered necessary or appropriate.
RETENTION OF DOCUMENT
All application for certificate of origin and other documents for endorsement by the Chamber should produce an additional copy for the Chamber’s retention.
Under the International Convention on the Simplification and Harmonization of Customs Procedures (18.5.73) these copies of documents endorsed are required to be retained by the Chamber for a period of 2 years.
HOURS OF AUTHENTICATING DOCUMENTS
Monday to Friday 9.30am- 5.30 pm.
Further information on the Certificate of Origin can be obtained by contacting:-
Kuala Lumpur & Selangor Indian Chamber of Commerce & Industry
116, 2nd Floor, Jalan Tuanku Abdul Rahman
50100 Kuala Lumpur.
Tel: 03-26931033Fax: 03-26911670
Email: firstname.lastname@example.org / email@example.com