REGULATIONS ON ENTREPOT TRADE IN THE
RASON ECONOMIC AND TRADE ZON
Adopted by Decision No. 62 of the Cabinet on October 27, 2000
Chapter 1. General
Article 1. These regulations are formulated to establish an
order related to entrepot trade in the Rason economic and trade zone and to
expand and develop external economic relations with different countries of the
Article 2. Entrepot trade is a type of trade whereby goods
are brought in from a country and the same foreign goods are taken out again
to another country either as they are or after being repackaged or undergoing
Article 3. Trading companies of the DPRK may conduct entrepot
trade in the Rason economic and trade zone (hereinafter called the Zone).
Foreign-invested enterprises established in the Zone may also conduct entrepot
trade with the approval of the central trade guidance organ.
Trading companies of the DPRK and foreign-invested enterprises established in
the Zone that intend to be engaged in entrepot trade in the Zone (hereinafter
called the entrepot trader) shall make customs registration with the customs
office of the Zone.
Article 4. The entrepot trader conducting legal entrepot trading
activities in the Zone shall be protected by the law of the DPRK.
The entrepot trader shall strictly observe the relevant laws and regulations
of the DPRK.
Article 5. The Rason City People’s Committee (hereinafter called
the Zone Administration) shall guide entrepot trade activities in the Zone under
the unified supervision and guidance of the central trade guidance organ.
Article 6. These regulations shall be applicable to the entrepot
traders in the Zone.
Chapter 2. Bringing In and Taking Out of Entrepot Trade Goods
Article 7. Entrepot trade goods may be brought into or taken
out of the Zone without the trader having to obtain an export/import licence
and an approval of price as well as to submit such goods to quality inspection
by the relevant organs of the DPRK.
Where necessary, the entrepot trader may request the relevant quarantine or
inspection organ to quarantine or inspect entrepot trade goods and be issued
relevant documents of quarantine or inspection.
Where necessary, a relevant quarantine or inspection organ may quarantine or
inspect entrepot trade goods without any request being made to it to do so.
Article 8. Where entrepot trade goods are to be brought in
or taken out, a document declaring export/import shall be submitted to the Zone
Administration and, upon its agreement being granted, to the customs office
of the Zone.
Article 9. No entrepot trade goods taken out of the Zone shall
bear the certificate of origin or a trademark of the DPRK.
Article 10. No entrepot trade goods which are detrimental to
the national security or harmful to the life and health of people or to the
growth of animals and plants shall be brought into the Zone.
Article 11. Entrepot trade goods shall be brought into or taken
out of the Zone only through a designated route.
Article 12. Entrepot trade goods shall be exempted from customs
Chapter 3. Storage and Repackaging of Entrepot Trade Goods
Article 13. Entrepot trade goods shall be stored only in places
with storage facilities such as warehouses and open storage yards, as approved
by the customs office.
Article 14. The entrepot trader shall pay fees for the storage
of entrepot trade goods.
Article 15. Entrepot trade goods may be sorted, repackaged,
or undergo some processing to the extent that their properties are not changed.
Article 16. Where entrepot trade goods are to be processed
a little or repackaged, a declaration shall be submitted to the Zone Administration
and the customs office stating the names of the goods, the content and period
of processing or repackaging and so on.
Article 17. Processing or repackaging of entrepot trade goods
may be performed directly by the entrepot trader or be entrusted to an enterprise
in the Zone under the supervision of the customs office.
Chapter 4. Supervision and Control
Article 18. The Zone Administration and the customs office
of the Zone shall exercise supervision and control over entrepot trade activities.
Article 19. In case of violation of these Regulations, sanctions
shall be imposed such as fine, confiscation of the entrepot trade goods or suspension
of the entrepot trade business depending on the degree of violation and, in
case of a grave violation, criminal punishment shall be applied.
Article 20. In case of a grievance in connection with entrepot
trade activities, a complaint or petition may be submitted.
A complaint or petition shall be settled within 30 days from its receipt.