Purpose of C/O
I/ Purpose of C/O1:
- To establish measures and tools of trade policy itself;
- To determine whether the imported product enjoys most favored nation (MFN) or other preferential treatment;
- The purpose of a country’s trade statistics;
- Applying regulations on sticking requirements, marks for goods; and
- Used for government purchases.
II/ THE ROLE OF ROO2:
The basic role of the Rules of Origin is to determine the country of origin of a particular good. Legal or administrative requirements are required to be complied with when goods are traded on the international market. This is necessary for the implementation of various trade policy instruments such as the imposition of import tariffs, quota allocations or trade statistics.
The first step is to sort the goods and determine the value of the goods, the next step and finally the identification of the country of origin of a particular product. Classification of goods and valuation are very important in customs clearance work, but these are basic tools for defining the country of origin of goods in the sense that rules of origin are Specific rules apply to a particular product in relation to specific HS codes and, if the rules of origin apply at value added, the customs value of the constituents of the product should be determined.
1 According to WTO
2 According to WCO