The agreements include exchanging administrative assistance to fight evasion and the required information for post review.

Exchange of information on Customs duties on goods, commodities and vehicles exchange between Egypt and Russia.

Mutual data and information may be used in judicial procedures against violators.

Minister of Finance, Hany Kadry Dimian, confirmed that both Egyptian and Russian governments are keen on taking all the required procedures as soon as possible to facilitate the flow of two-way trade between Egypt and Russia; reaching to levels that correspond to political and economic relations many decades ago and meeting the aspirations of both brotherly people. He mentioned that both Egyptian and Russian Customs Authority approved 4 cooperation agreements and protocols, including general agreement of administrative cooperation to prevent customs violations from which a number of cooperation protocols are arisen; including cooperation in customs fee, post review and exchange required data and information.       

The above mentioned was after the meeting of Minister of Finance with Head of Federal Customs Service of Russia, Mr. Andrey Belyaninov, to discuss aspects of cooperation between both Egyptian and Russian Customs Authorities, the required procedures to support the two-way trade and the removal of non-customs obstacles faced by both parties.    

Head of Federal Customs Service of Russia, Mr. Andrey Belyaninov, mentioned that the objective of such agreements is to remove all obstacles and administrative procedures that face trade exchange between both countries, facilitate opening of Russian markets for different Egyptian products especially agricultural products. Also, he said that both parties have reached a comprehensive understanding for all the discussed issues and there will be mutual negotiations between experts from both countries to exchange information and strengthen electronic cooperation, facilitate information exchange in purpose of expanding trade and preventing harmful practices in the international trade between both countries.        

Minister of Finance said that the 4 agreements represent a significant step for removing administrative obstacles that face growth of the Egyptian exports in the mega Russian markets which can absorb more Egyptian goods and products and in different sectors; benefiting from willingness of both governments to enhance the relations of trade and investment cooperation between Egypt and Russia.

Concerning the most important features of such agreements, dr. Magdy Adbel Aziz revealed that data exchange protocol of customs fee estimates includes 10 articles; the most important of which, each party provides the information related to goods’ customs fee to simplify customs control executed by customs entities, also provides copies of customs declarations, invoices and goods’ documents upon request, in addition to provision of the required additional information to customs duty control. 

He added that the protocol stipulates that the related stakeholders shall emphasize implementation of the procedures concerned with prevention of unlawful activities and violations during customs duty control on goods transmitted through customs borders, also to ensure payment of customs duties, taxes, other imposed fees on exports and imports and to confirm accuracy of the information specified in declaration.       

Head of Egyptian Customs Authority added that the protocol also stipulates that both parties shall cooperate in control on customs duties during goods movement in order to increase the efficiency of the methods used in providing the credibility of data stated in the declaration, including experts training in framework of “capabilities” of both parties. In addition to exchange of seals sample and seals of customs entities in member states, when necessary. One of the most important articles is “confidentiality of the circulated data” which states that each party shall use the received information according to this protocol and only for the purposes of this protocol, whereas each party provides the same confidentiality for mutual information according to this protocol and as stipulated in both countries’ legislation.  

Regarding the protocol of the necessary information exchange for post review, Dr. Magdy Abdel Aziz clarified that such protocol targets establishment of efficient customs control on trade exchange movement through the correct estimation of customs duties, beside establishment of better conditions for two-way trade and anti-evasion of fees and taxes payment.

He said that both parties will help each other in specified fields, including prevention of illegal acts and violations to protect their respective states’ interests via customs control after releasing the goods transmitted between both parties’ territories, ensure the full payment of customs duties, also verify the information provided; as some procedures may be taken to verify such information or examine financial, commercial or banking records of transactions made between the seller and the manufacturer in the exporting country.   

For protocol purposes, both parties shall cooperatively study the practices related to customs duty control and goods classification control according to goods classification for foreign economy based on coding system and goods coordinated description of the World Customs Organization for further efficient verification of data stated in the declaration on goods and vehicles, namely via experts training and exchange of information about ways and methods of evading customs duties and mutually exchange seal samples. 

He also added that this protocol stipulates principal of confidentiality of information and data exchange; as it may be used, rather than for purposes of protocol, only with written consent of the other party. However the agreement stipulates that both parties may use the information and documents as evidence in litigation and in administrative procedures.

With regard to the mutual administrative assistance in customs issues and combat customs violations, dr. Magdy Abdel Aziz cleared that one of its most significant features is that each party shall provide administrative assistance to the other through their Customs Authorities according to the provisions set forth in this agreement for proper implementation of Customs Act, assist in accurate evaluation, collect customs duties, investigate customs violations and combat the same and secure supplies in framework of international trade supply chain. In addition to all assistance provided by any party under this agreement, according to the legislation of Customs Administration in the state where it is required from and in limits of Customs Administration jurisdiction and its available capabilities. Article III determines cooperation aspects; whereas each Customs Administration provides the other administration with the information that ensure the proper implementation of Customs Act, accurate evaluation and Customs duties collection. Also, each Customs Administration provides the other administration with information of new efficient methods to combat customs violations, trends, means, new ways of customs violations, techniques and ways of customs release and control and the information which contribute in ensuring submission of a correct declaration of customs value, country of origin and tariff codes, furthermore monitoring the payment of customs fees and other costs.