1985 Bilateral Agreement

1985 bilateral agreement

This is a bilateral agreement signed in July 1985 and ratified by the National Congress in 1987 and for the concretization of this agreement, a commission composed of representatives of both countries was created, which were responsible for the management of negotiations , which included an agreement of the regulation that would apply.

He entered into force in 2003 and its objective was to grant tariff preferences for some products and eliminate or reduce in others, non -tariff restrictions. In such a way that trade between the two countries could be strengthened.

Within the framework of the negotiations, aspects that allowed reducing the technical obstacles for trade between the two countries, such as the rules of origin and safeguard measures to the list of products that were established.

Due to its character of partial scope, this agreement as indicated, is limited only, to the free trade of the goods that were defined during the negotiation.

The products to be marketed on both roads were classified into 4 lists and they had to comply with the rules of origin of the signatory countries:

• List of double track products;
• List of products of the Dominican Republic included in a road;
• List of products of the Republic of Panama included in a road;
• List of products established in free zones.

The distribution of the products on the aforementioned lists, following fuel:

• 120 double track products;
• 24 products from a road from the Dominican Republic;
• 26 products from the Republic of Panama;
• 29 products made in free zones, for application or nationalization.

As we have already indicated, imports and exports must present the certificate of predetermined origin and the other documents required for the customs declaration, as they are:

• Commercial invoice;
• Packing list;
• Shipping or air guide knowledge;
• Phytosanitary or zoosanitary certificate.

Among the products allowed to export by the Dominican Republic, are: Galvanized wires, cement, grain cocoa, cornmeal, malt beer, iron, steel, plastic huacales and other rubles.

The products to import from Panama are: frozen steak, ethyl alcohol, door and their frames, medicines, dressing table, among others.

This treaty allowed the Dominican Republic, to export 103 tariff -free products to Panama, allowing 101 Panamanian tariff entry, with an additional list of manufactured products in the processing areas for export or free zones.

At the beginning of the negotiations, for the application of the regulation, the possibility in the future was left open, to include more products that benefit from free trade.

As we have already reiterated, in the negotiations it is clear that the application of the norm of origin in the products to be marketed, issued by the official institution responsible for each country, is clear that in the case of the Dominican Republic, it is the center of Export and Investment of the Dominican Republic (CEI-RD) and for Panama it is the Ministry of Commerce and Industries.