EN
Logo
Logo
New

Preferential origin of goods

Published:
Subscribe news

Preferential origin is the origin status of goods that allows reduced import duties to be applied upon importation, where provided for in preferential trade agreements concluded by the European Union or in unilateral duty preference schemes applied by the EU, such as the Generalised Scheme of Preferences (GSP).

Such goods may be imported at:

  • a reduced duty rate, or
  • a 0% duty rate

Preferential origin is not granted automatically – it applies only where the goods meet the established rules of origin and their origin is properly proven.

When preferential import duties apply

Preferential duties may apply if all of the following conditions are met:

  • the preferences must be clearly set out in a preferential trade agreement concluded by the EU or in other EU legislation
  • a document proving the preferential origin of the goods, issued in the exporting country, must be presented
  • the goods must be transported directly from the country in which the preferential origin document was issued or made out

Where a specific EU agreement allows reliance on importer's knowledge of the origin of the goods, no origin document needs to be presented, but the importer must hold evidence supporting the preferential origin of the goods.

Ways of proving preferential origin

To confirm the preferential origin of goods, proof of origin documents issued or made out in the exporting country must be presented. These may be:

  • EUR.1 movement certificate
  • Invoice declaration (origin declaration) made out by an approved exporter or any exporter
  • Statement on the origin of goods made out by a registered or non-registered exporter in the REX system
  • Importer’s knowledge on the origin of goods (where provided for in a specific EU preferential agreement)

EUR.1 movement certificate

The EUR.1 movement certificate confirms the preferential origin of goods under bilateral or regional trade agreements concluded by the EU. The certificate is completed by the exporter and endorsed by the territorial customs office.

Invoice declarations made out by an approved exporter

If the value of originating products exported does not exceed EUR 6,000, the invoice declaration (origin declaration) may be made out by any exporter.

If the value of the consignment exceeds EUR 6,000, the invoice declaration (origin declaration) may be made out only by an approved exporter.

An approved exporter is an exporter who has been authorised by the customs authorities of a Member State to make out invoice declarations (origin declarations) regardless of the value of the goods.

In Lithuania, approved exporter status is granted by the customs authorities. It may be obtained by a person established in the Republic of Lithuania, in accordance with the procedures laid down in legal acts.

In such cases:

  • a separate invoice declaration (origin declaration) must be made out for each consignment of goods;
  • the invoice declaration (origin declaration) must be completed in accordance with the conditions laid down in the relevant EU preferential trade agreement.

The official text of the declaration is laid down in the relevant EU preferential trade agreement.

When completing the invoice declaration, the customs authorisation No. field must contain the approved exporter authorisation number.

 

Completing the customs declaration when applying a preferential duty rate

When completing a customs declaration in order to apply a preferential duty rate, the following data elements must be correctly filled in:

  1. "Preference" (14 11 000 000) This field requires the code applicable to the specific tariff measures related to the preferential duty rate.
  2. "Country of preferential origin" (16 09 000 000) This field contains the country code of the preferential origin of the goods. The code is selected in accordance with Commission Implementing Regulation (EU) 2020/1470 of 12 October 2020, which sets out the nomenclature of countries and territories.
  3. "Additional document" (12 03 000 000) This data element contains information on the documents supporting the application of preferential origin:
    • "Registration number" (12 03 001 000) – the number of the preferential origin document. Where applicable, the valid registered exporter or approved exporter code must also be entered. Where the preferential duty rate is applied on the basis of importer's knowledge, no preferential origin document number needs to be entered.
    • "Type" (12 03 002 000) – the relevant four-digit document (record) code.
    • "Date of validity" (12 03 011 000) – the date on which the preferential origin document was made out or issued. This field is completed only where the "Registration number" field contains the registered exporter number.

Legal basis

 

This website uses cookies

We use cookies to enhance your browsing experience, serve personalized content, and analyze our traffic. By clicking 'Accept', you consent to our use of cookies.