DR-CAFTA Implementation for El Salvador

Issue 512, March 9, 2006

Pursuant to a Presidential Proclamation issued 2/28/06, the U.S.- Dominican Republic- Central American Free Trade Agreement (DR-CAFTA) took effect for the country of El Salvador for goods entered, or withdrawn from warehouse, for consumption on or after March 1, 2006.

Detailed instructions and information on the implementation of the DR-CFTA can be found on the U.S. Customs and Border Protection (CBP) website at-

http://www.customs.gov/linkhandler/cgov/import/international_agreements/us_dominican.ctt/us_dominican.doc

Below are some highlighted pieces of information regarding this implementation:

While CPB is updating their systems, CPN states it will accept non-ABI claims for preferential treatment for originating goods of El Salvador under the DR-CAFTA

As a result of the implementation of DR-CAFTA for El Salvador, it is being removed from eligibility for participation in the Generalized System of Preferences (GSP), the Caribbean Basin Economic Recovery Act (CBERA), and the Caribbean basin Trade Partnership Act (CBTPA). No claims for preferential treatment under GSP, CBERA, or CBTPA will be accepted on goods entered, or withdrawn from warehouse, for consumption on or after March 1, 2006. Products of El Salvador will now only receive preferential treatment as provided for under the DR-CAFTA

Our Contributing writer Paul E. Vroman is our Customs Compliance Consultant. He is a Licensed Customs Broker and NCBFAA Certified Customs Specialist. He can be reached at paul.vroman@dhl.com