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Questions free trade agrements with Ecuador

Here you will find the relevant documents and the most frequently asked questions about the free trade agreement (FTA) with Ecuador, which will come into force on November 1, 2020.

Quito - Capital of Ecuador

The Free Trade Agreement (FTA) with Ecuador covers numerous sectors. It will improve market access and legal certainty for the trade in goods (industrial and agricultural products), trade in services, investments and public procurement. It also includes provisions on the protection of intellectual property, the elimination of non-tariff barriers to trade, including sanitary and phytosanitary measures, competition, trade concessions and trade and sustainable development.

Will the preferential rates still be granted?

Once the Free Trade Agreement comes into force, Ecuador will no longer be granted tariff preferences under the Generalized System of Preferences for developing countries. These will be replaced by the agreed preferential rates.

Cumulation of origin

The EFTA-Ecuador agreement provides for cumulation for products originating in the EFTA countries and Ecuador. Cumulation can also be applied to primary materials originating in Colombia and Peru. These primary materials must be originating products under the respective agreement, processed or integrated into a product in the EFTA countries or in Ecuador; it is not possible to transfer origin in respect of goods originating in Colombia and Peru forwarded without being processed or integrated. Cumulation with primary materials originating in other countries is not permitted.

Non-alteration rule

This agreement provides for the non-alteration rule, i.e. the imported originating products must be the same as those exported from the contracting party. They must not have undergone any unauthorized working or processing during transport. The splitting of consignments in third countries is permitted.

Proof of origin from Switzerland

The declaration of origin can be issued by the exporter on the invoice regardless of the value of the goods. The declaration of origin must be made out in English or Spanish.

Reduction of tariffs on imports to Ecuador

The reduction of tariffs will be asymmetrical for most of the products listed in Chapters 25-97. While the EFTA countries will abolish their tariffs in one step when the agreement comes into force, the reduction/elimination of tariffs in Ecuador will take place gradually.

Transitional provisions

Originating products, which at the time of entry into force of the agreement are either in transit or in temporary storage in a customs warehouse or in a free zone, may nevertheless benefit from preferential treatment under the agreement. In these cases, it is possible to issue/complete a proof of origin (movement certificate EUR.1 or declaration of origin) in the exporting country until October 31, 2021. This certificate must be issued/completed after the agreement comes into force.

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