RESTRICTEDWORLD TRADE
ORGANIZATIONWT/ACC/KHM/12
29 July 2002
(02-4181)
Working Party on the
Accession of CambodiaOriginal:  English
ACCESSION OF CAMBODIA
Additional Questions and Replies
The Government of the Kingdom of Cambodia has submitted the following replies to
questions raised with the request that it be circulated to members of the Working Party.
_______________
CONTENTS
II. ECONOMY, ECONOMIC POLI CIES AND FORE IGN T RADE ......................................1
1. Economy ..................................................................................................................... ...............1
(b) Current economi c situation................................................................................................. .....1
2. Economic policies........................................................................................................... ...........1
(d) Foreign and domestic investment policies ..............................................................................1
(f) Privat ization .............................................................................................................. ................4
III. FRAMEWORK FOR MA KING AND ENFORCING POLICIES AFFECTING
FOREIGN TRADE IN GOODS AND TRADE IN SERVICES ...........................................4
IV. POLICIES AFFECTIN G TRADE IN GOODS .....................................................................6
1. Import Regulation........................................................................................................... ..........6
(a) Registration requirements for engaging importing ...............................................................6
(b) Characteristics of  national tariff .......................................................................................... ...7
(c) Tariff quotas, ta riff exemptions........................................................................................... ....8
(e) Quantitative import restrictions, including prohibitions, quotas and licensing
systems ........................................................................................................................ ...............8
(h) Custom valuation ............................................................................................................ ..........9
(j) Pre- shipment  inspection .................................................................................................... ....12
(k) Application of internal taxes on imports ..............................................................................14
(l) Rules of  origin ............................................................................................................. ............18
(m,n,o) Anti-dumping, countervailing and safeguard regimes ........................................................18
2. Export Regulation............................................................................................................ .......19
(c) Quantitative export restrictions, including prohibitions, quotas and licensing
systems ........................................................................................................................ .............19WT/ACC/KHM/12
Page ii
(f) Export financing, subsidy and promotion policies...............................................................19
(h) Import duty drawback schemes ............................................................................................20
3. Internal Policy Affecting Foreign Trade in Goods ..............................................................20
(b) Technical regulations and standards, including measures taken at the border
with respect to imports ........................................................................................................ ...20
(c) Sanitary and phytosanitary measures, including measures taken with respect to
imports ........................................................................................................................ .............23
(e) State-tradi ng practices ..................................................................................................... ......25
(g) Free economic zones ......................................................................................................... ......27
(l) Government Procurement Practices .....................................................................................27
4. Policies Affecting Foreign Trad e in Agricultural Products ................................................27
(d) Export credits, export credit guar antees or insurance programmes .................................27
5. Policies Affecting Foreign Trade in other Sectors ...............................................................29
(a) Textile s Regime ............................................................................................................. ..........29
V. TRADE-RELATED INTELLEC TUAL PROP ERTY ........................................................30
1. General...................................................................................................................... ...............30
(c) Membership in international property conventions and regional or bilateral
agreements..................................................................................................................... ..........30
2. Substantive standards of protection, in cluding procedures for the acquisition
and maintenance of intelle ctual property rights ..................................................................31
(a) Copyrights and related rights, including rights of performers, producers of
phonograms and broadcasting organizations ......................................................................31
(e) Patents..................................................................................................................... .................31
(c) Geographical indications, incl uding appellations of origin.................................................33
(f) Plant variety protection.................................................................................................... ......33
(g) Layout designs of in tegrated circuits ....................................................................................33
(h) Requirements of undisclosed information, including trade secrets and test data.............334. Enforcement ................................................................................................................. ...........33WT/ACC/KHM/12
Page 1
II. ECONOMY, ECONOMIC POLICIES AND FOREIGN TRADE
1. Economy
(b) Current economic situation
Question 1
The response to question 2 of WT/ACC/KHM/6 indicates that nearly three-quarters of all tax
revenue (half of government revenue) is collected on imports. As imports do not constitute
three-quarter of Cambodia’s economic activity, this seems somewhat unbalanced, and would
appear to indicate that tax collections on domestic trade are not as complete as those on
imports.
What steps is Cambodia taking to increase tax collections on domestic goods and restore
balance to its taxation system?
Answer:
One third of border revenues come from the importation of petroleum products that are not produced
in Cambodia. Cambodia's taxation rules vary according to a particular taxpayer's "Regime". There are
three regimes of taxation, Real Regime, Simplified Regime and Estimated Regime. But the applicable
regimes are only Real Regime and Estimated Regime. All legal entities, and individual businesses that
have their annual turnover exceeds 500 million Riels in case of the supply of goods 250 million Rielsin case of the supply of services and 125 million Riels in case of taxable turnover resulting from the
government contracts, are subject to Real Regime Tax System
1. The smaller taxpayers that have their
annual turnover below the above threshold level are subject to Estimated Regime Tax system. The
VAT is applicable to Real Regime Taxpayers who are making supplies of goods or services, and the
import of goods into the Kingdom of Cambodia.
VAT is applied without discrimination between imported and locally produced goods. Please also see
replies to questions 38 and 39.
2. Economic policies
(d) Foreign and domestic investment policies
Question 2TRIMs and Export Subsidies.  Cambodia notes (replies 7, 8) that it is a least developed country
and that according to article 27.2 of the agree ment on subsidies and countervailing measures
(SCM) it is exempted from the paragraph 1(A)  of the Article 3 of the SCM (Prohibition of
subsidies contingent upon export performance). Notwithstanding the foregoing we seek
clarification of the response to question 7 which asked Cambodia to detail their export
subsidies. We seek clarification of the following:
Can Cambodia provide a copy of the appendix matrix of the sub-decree No. 88 outlining the
projects that get a corporate tax exemption of up to 8 years?
                                                     
1 Article 1 of the VAT Sub-decree No 114 ANKR BK dated 24 December 1999.WT/ACC/KHM/12
Page 2
Answer:
A copy of criteria matrix for investment incentives, which are appended to the Sub-Decree No. 88
(Schedule 3), have been already submitted to the WTO Secretariat for consultations. Please see
reference in the doc. WT/ACC/KHM/3/Add.3 dated 16 May 2001.
Question 3
Clarify how points 4 to 9 should be read: Does it mean that there are 100 per cent import duties
exemption on an export oriented project with a minimum of 80 per cent of the production
exported; Project located in a designated special promotion zone; The tourism industry; Labour
intensive industries; and Physical infrastructure and Energy industry.
Answer:
In accordance with Article 14 of the Law on Investment,  100 per cent import duties exemption (on
construction materials, means of production, equipment, intermediate goods, raw materials and spareparts) is given to: (1) investment projects that are export oriented with a minimum of 80 per cent of
the production exported; (2) projects located in a designated special promotion zone; (3) projects in
the tourism industry; (4) projects that are labour intensive, related to processing and agro-industries;
and (5) projects in physical infrastructure and energy industry.
Question 4
If this what is meant what does 100 per cent import duty exemption on the tourism industry.
Labour intensive industries and physical infrastructure and energy industries mean? Does it
mean exemption on capital equipment or imports relating to a project in these industries?
Answer:
For those activities, import duties exemption is given on imports of construction materials, means of
production, equipment, intermediate goods, raw materials and spare parts.
Question 5
What is meant by projects located in the special promotion zone. Can we have a copy of the
development priority list issued by the Council?
Answer:
Projects located in the special promotion zone refer to project located physically in zones to be
identified by the Government. Currently, the Government works on the draft law on export processing
zones. Potential areas identified for development of such zones include Sihanoukville seaport, Poipet,
Koh Kong, Pailin, and a few other along the Ca mbodia-Vietnam borders. Therefore, there is no
development priority list issued yet by the Council.
Question 6
What is meant by labour intensive industries, processing industries and agro-industry. Could
Cambodia provide examples?WT/ACC/KHM/12
Page 3
Answer:
In Cambodia, labour intensive industries are considered to include industries such as garment,
footwear, and toys factories. Processing industries and agro-industries include industries that process
or provide value-added processing like food canning, ed ible and industrial oils milling or refining, etc.
Question 7
What is meant by physical infrastructure and Energy Industries, Could Cambodia provide
examples?
Answer:
Examples of physical infrastructure and energy industries in Cambodia include road, bridge, airport,
seaport, power generation, water supply and sanitation, etc.
Question 8
In the response to Question 10 of WT/ACC/KH M/6 and in Annex I, Cambodia notes that
foreign investors cannot invest in alcohol production unless approval is received from relevant
Ministries.
Please provide a description of the approval pro cess and the criteria used to determine whether
or not approval will be granted.
Answer:
The approval process and the criteria for approval are the same as investments in other sectors not
subject to restrictions and are contained in the Sub-Decree No. 88 ANK-BK dated 29 December 1997
(a copy of which was submitted to the WTO Secretariat for consultations), Schedule 3 (Criteria
Matrix for Incentives and Chart of the approval process).   
Question 9
Annex I also indicates that foreign investment in rice milling is subject to local equity
participation.
Please describe the extent to which local equity participation is required.
Answer:
There is no specific local participation required by law. Local equity participation is open for
negotiation and mutual arrangement among and between the foreign and local investors.
Question 10
Annex I also indicates that investment in the livestock and forestry sectors are restricted to
foreign investors unless they partner with small-scale enterprises or a local partner.
Please provide a description of the criteria and the approval process that governs the conditions
of approving the partnership in both cases.WT/ACC/KHM/12
Page 4
Answer:
The criteria and the approval process are the same as other investments and are contained in the Sub-
Decree No. 88 ANK-BK dated 29 December 1997 (a copy of which was submitted to the WTO
Secretariat for consultations), Schedule 3 (Criteria Matrix for Incentives and Chart of the approval
process).
(f) Privatization
Question 11
The Agricultural Inputs Company whose main activities are the importation and sale of
fertilizer, insecticide and agricultural equipment (Page 46; Annex II, Table 2) is listed as one of
the enterprises, which is to be retained as a Stated-Owned Enterprise when privatization is
completed (Reply 12). Can Cambodia provide more details on the Company's Activities?
Answer:
The Agriculture Inputs Company was established by Anukret No12, dated 18 February 1999 as a
State- Owned Enterprise. The company is governed by a board of directors comprising of 5 directors
from Ministry of Agriculture Forestry and Fisheries, Ministry of Economy and Finance, and Ministry
of Commerce. Its activities include the following:
- Import, purchase, sale agricultural inputs such as fertilizers, pesticides, seeds, and other
equipment used as means of agricultural production.
- Warehousing and managing the distribution of donated fertilizers and agricultural inputs,
following the principles of guardian ministries, at appropriate service costs.
- Administering countrywide statistical data of export, import and distribution of agricultural
inputs.
- Participating in national and international training programs, workshop and conferences.
- Participating and coordinating in research to develop the application of agricultural inputs.
However, since the establishment of this company, there was no importation of agricultural inputs, but
in 2002 the government has plan to import fertil izers, DAP and UREA in the amount of 5,000 tonnes
and 10,000 tonnes, respectively. The imports of agricultural inputs have been done through privatecompanies.
III. FRAMEWORK FOR MA KING AND ENFORCING POLICIES AFFECTING
FOREIGN TRADE IN GOODS AND TRADE IN SERVICES
Question 12
(1) It is said that smuggling is rampant in  Cambodia from neighbour countries, especially
in the Cambodian motorcycle market. As a result, it is difficult for them to import and
sell the products with the required import duty paid because of the difference in pricewith smuggled products.
(2) In this connection, it is said that inappropriate implementation of laws and regulations
is one of the major reasons to promote such smuggling.
(3) We hope that Cambodia will uniformly and appropriately implement its laws and
regulation and strengthen its control of smuggling, with a view to establishing fair andimpartial foreign trade regime.WT/ACC/KHM/12
Page 5
(4) Furthermore, we hope that Cambodia will  strengthen its control importation and sales
of illegally copied products by developing the laws and regulations relating to
intellectual property rights, and by properly and steadily implementing them.  We also
very interested in the actual situation on  developing laws and regulations regarding
border measures.  Further information should be provided.
Answer:
(1) Cambodia has launched a major anti-smuggling initiative under the provisions of Government
Order No. 02 issued by the Council of Ministers on December 19, 2001.  This Government
Order directs the military, the police and local authorities to co-operate with and assist the
Customs and Excise Department in anti-smuggling operations.  An Inter-Ministerial
Commission has been set up under the direction of the Minister of Economy and Finance to
plan, co-ordinate, and to monitor this initiative.
(2) Steps are being taken through the Technical Co-operation Assistance Plan (TCAP) to
strengthen the capacity of the Customs and Excise Department and to improve its level of
integrity.  For instance, the new anti-smuggling initiative provides generous financial rewards
to Customs officials who participate in successful anti-smuggling operations. Under the
TCAP the enforcement strategy has been developed. Technical assistance is being sought toequip enforcement teams with appropriate tools and facilities.
(3) As noted above, with the support and technical assistance provided by the TCAP, the
Customs Reform and Modernization Program is addressing these issues.
(4) A new draft Law on Customs is under preparation and would be submitted to the Council of
Ministers (please see the revised document on the Agenda for Enacting Laws for WTOConformity).  This new law will link to the Intellectual Property rights legislation to provide
customs with the authority to enforce their provisions in terms of imported goods.
Question 13
Customs Administration and Valuation.  We note  Cambodia is in the process of formulating a
comprehensive Customs code and welcome the customs reform and modernization program(WT/ACC/KHM/6, ANNEX IV). We also note the undertaking (Replies 20, 45) to submit the
draft Customs code for review by the Working Pa rty. Can Cambodia indicate when the draft
code will be ready for circulation to Members?
Answer:
The draft Law on Customs will be submitted to members for review when completed.
Question 14
While it is pleasing to see Cambodia's prioritised Legislative implementation agenda
(WT/ACC/SPEC/KHM/3), it is of some concern that a very basic Legislative code for the
effective operation of the Legal and Judicial sy stem- The Civil procedure code - has been placed
so low on the Legislative agenda, particularly given that this law underpins the enforcement of
other laws. (According to the Legislative agenda th e Civil procedure code is not expected to go
before the Parliament until March 2004 and to be approved in December 2004). Cambodia isrequested to give this matter reconsideration and advise on intentions to expedite work in this
area.WT/ACC/KHM/12
Page 6
Answer:
The draft Civil Procedure Code is under advance stage of preparation and would be submitted to the
Council of Ministers soon, except for provisi ons for compulsory execution against immovable
properties and foreclosure of securities rights. The provisions on compulsory execution against
immovable properties and foreclosure of secur ities rights will be drafted in 2002-2003. For more
details, please see the revised document on the Agenda for Enacting Laws for WTO Conformity.
Cambodia has received technical assistance from JICA and has a dedicated team working on the draft
and consultation process. Cambodia appreciates the concern expressed, but nonetheless the process of
debates among various stakeholders of this fundamental legislation is time consuming and our human
resources in this complex legal field limited. Cambodia is committed to maintain the timetable and
believes that the substantive contents of this legislation should not be compromised.
Question 15
It will be critical for the efficiency of Cambod ia’s WTO accession that it provides relevant legal
texts as soon as possible.
We appreciate the laws supplied to date, and we l ook forward to receiving additional legislation,
in particular in the areas of transparency and due  process, trading rights, free or special trade
areas, TRIPS, the custom code, the new custom tariff, TBT/SPS, and import licensing.
Answer:
Cambodia will endeavour to submit additional legislation as it becomes available. For details, please
see the revised document on the Agenda for Enacting Laws for WTO Conformity.
IV. POLICIES AFFECTING TRADE IN GOODS
1. Import Regulation(a) Registration requirements for engaging importing
Question 16
The responses to questions 21-24 of WT/ACC/KHM/6  provide  information on the
requirements for a firm to amend its commercial registration by submitting an application to
the Ministry of Commerce to amend its Memorandum and Articles of Association to provide forimporting and exporting. It appears that registration with the Ministry of Commerce by foreign
company, to engage in import-export trade, req uires only that a company official appear in
person and deposit the required proper documentation (including photos) with the Ministry.
Is this correct? Under what circumstances  would this application be rejected?
Heading 3 – Registration to the Commercial Register – in Annex 7B of WT/ACC/KHM/2 states
that the Ministry Commerce shall enrol the comp any in the commercial register and notify the
applicant within one month from receiving such documents.
What process necessitates a delay of up to one month? How long does enrolment normally take?WT/ACC/KHM/12
Page 7
Answer:
It is correct. Application is rejected when it is submitted without the proper required documentation.
Since the submission of the WT/ACC/KHM/2, the enrolment procedures have been streamlined to
about 2 weeks.
Question 17
Annex I describes restrictions against foreign invest ors in the alcohol, rice milling, livestock and
forestry industries.
Are activity licenses or any or any other sort of  special permit required to engage in trade in
these products?
Answer:
No licenses are required for trade in the alcohol, rice milling, and livestock industries. In accordance
with Article 4 Chapter 2 of Sub- Decree No. 05 dated 07 February 2000 of the Royal Government of
Cambodia, only license on forestry concessionaires, whether domestic or foreign, is required in trade
in forestry products.
(b) Characteristics of national tariff
Question 18
We note that the updated 2001 Customs Tariff is to be submitted to Members and we look
forward to its circulation in electronic format, can Cambodia please provide a summary of the
changes and a list identifying Tariff items where the applied Tariff in 2001 is different from that
applied in 2000?
Answer:
The new tariff has been restructured from 12 to 4 bands. The new tariff restructure is shown in the
table below:
Structure of Cambodia’s Bound and Applied Rates for Part I (Agriculture) and Part II (others)
Bound Rate 7% 15% 30% 40% 50% 60% 90% 100%Total
Tariff
Lines
Number of Lines 620 1,797 1,886 2,058 66 238 54 104 6,823
0% 28 185 67 10 7 297
7% 592 657 1,058 403 46 2 2,758
15% 955 761 192 10 17 1 1,936Numberof TariffLines/Applied
Rates 35% 1,453 56 175 53 95 1,832
Source: Ministry of Economy and Finance of Cambodia
Question 19
Annex I of WT/ACC/KHM/6 indicates that Cambod ia’s tariff restructuring program provides
for “the reduction of the maximum customs tariff rate from 120 per cent to 35 per cent in
2000,” and that “the long-term goal is to have an unweighted tariff rate of less than 15 per cent
in the year 2002/2003.”WT/ACC/KHM/12
Page 8
Will Cambodia provide, in electronic format, a copy of the newly restructured applied tariffs?
How will Cambodia proceed to establish its “unw eighted tariff rate of less than 15 per cent in
the year 2002/2003,” e.g, will revised applied tariff schedules be established in December 2002
and 2003? What is the projected maximum rate for 2003?
Answer:
The newly restructured applied tariff has been submitted to the WTO Secretariat for consultations. By
selectively reducing tariff rates, in line with the PRGF, the target will be achieved by the end of 2002.
Every effort will be made to ensure the reductions are as much as possible revenue neutral.  There are
no plans to reduce the maximum rate below the current 35 per cent level.
(c) Tariff quotas, tariff exemptions
Question 20
The response to question 33 indicated at that Cambodia is still considering the possibility of
implementing TRQs.
We would like to emphasize that inclusion of tariff rate quotas would immensely complicate
Cambodia’s accession negotiations and would in volve complex administrative requirements for
establishing access conditions, TRQ allocation and TRQ administration.
Answer:
Cambodia takes note of the comments on the TRQ administration.
(e) Quantitative import restrictions, including prohibitions, quotas and licensing systems
Question 21
Licensing Procedure.  We note that Cambodia is updating the Questionnaire on import
licensing procedures (Replies 38 and 39). It will be important for the Working Party to have thisinformation as soon as possible. Can Cambodia indicate when this might be made available ?
Answer:
Cambodia is pleased to submit the revised import licensing questionnaire as a separate document of
the Working Party.
Question 22
We look forward to receiving Cambodia’s completed import licensing questionnaire and list of
items prohibited from importation.
Answer:
Please refer to the answer to question 21 and find the attached list of pesticides banned for use in the
Kingdom of Cambodia appears as Annex I.WT/ACC/KHM/12
Page 9
(h) Custom valuation
Question 23
We would like to know where Cambodia implements  laws and regulation relating to customs
valuation, and clarification in a uniform manner all over the regions in Cambodia.  We also
appreciate if Cambodia could provide further information on relevant laws and regulations.
Answer:
Other than for low value imports, customs valuati on decisions are made at Headquarters of Customs
and Excise Department.  This is to ensure consistency in the valuation of goods and to reduce customs
valuation fraud.  A Pre-shipment Inspection Servi ce is used for most imported goods with an FOB
value of US$4,000 and above.  While valuation provisions under the current legislation are not fully
WTO compliant, the new Law on Customs will meet the WTO Valuation Agreement requirements.
Question 24
Throughout the responses in section (h) of WT/ACC/KHM/6, Cambodia states that it will seek a
transitional period to bring its customs administ ration and valuation rules into compliance with
the Valuation Agreement.
While we agree that some aspects of the Agreement may be implemented over time, Cambodia
should be move to adopt the Valuation Agreement without delay in as many areas as possibleduring the accession period.
There are critical provisions, central to the issue of market access and the maintenance of a
stable, predictable trade regime that we believe should be in place at the time of Cambodia’s
accession to the WTO.
Answer:
Cambodia currently applies minimum values to sensitive products to provide consistency of treatment
and to deter valuation fraud.  We recognize that this practice is not fully in compliance with the
Agreement. However, we will require a transitional period for application of the valuation provisions
in order to protect the revenue.  Moving to transaction value at the time of joining the WTO would
place the revenue at grave risk.  The challenges faced in implementing the provisions include the lowlevel of voluntary compliance by importers, lack of sound transparent accounting systems, and limited
capacity of the Customs and Excise Department to  administer transaction valuation provisions. We
will need time to educate importers in the new va luation provisions and in the requirements for
customs record keeping and accounting systems.  Considerable time will be required as well to
develop our internal administrative procedures such as a post clearance audit program, and to educate
staff.
As part of its WTO Customs Valuation Agreem ent Implementation Action Plan, the Customs and
Excise Department will be seeking technical assistance in preparing its transition plan. Please refer to
the Action Plan, which is submitted as a separate document of the Working Party. In particular, the
transitional period will only be sought for the application of the hierarchy of valuation techniques, and
not for the other provisions of the Valuation Agreement. Matters relating to transparency,
confidentiality, appeal rights, sureties for the release of merchandise and the adoption of theInterpretative Notes will be implemented at the time of accession. In addition, the new Law on
Customs will be fully compliant with the WTO Agreement.WT/ACC/KHM/12
Page 10
In the Action Plan, we propose to phase out the use of minimum values and to introduce transaction
value based on the transition strategy over a five-year period, in accordance with Annex III of the
Agreement.  It should be noted that this is a preliminary strategy, which is subject to the availability
of technical assistance.
Question 25
For example, the response to question 50 states that “for the purpose of customs valuation of
imported goods valued under the PSI threshold of  US$4,000, Cambodia uses data on reference
prices provided by the PSI firm.” This is a practice strictly prohibited by the valuation
Agreement.
Cambodia should eliminate the use of referen ce prices (as documented in the responses to
questions 42 and 43 of WT/ACC/KHM/6) prior to date of accession.
Answer:
Cambodia uses the reference database only as a guide for appraising valuation declarations.  We
believe the use of such a reference base is an appropriate tool for assisting in the appraisal of the value
of imported goods in accordance with the Customs Valuation Agreement.  The valuation reference
database will not be used to establish actual transaction values, but will be used as a reference for
establishing the reasonableness of values and for risk assessment purposes, in compliance with theAgreement.
Question 26
The response to question 20 states that Cambodia will submit its Customs Code to the Working
Party for review as soon as possible. Cambodia also states that the draft Customs Code will
implement the provisions of the Valuation Agree ment regarding valuation hierarchy, prohibited
basis of appraisement, confidentiality and transp arency, sureties for the release of merchandise,
and the adoption of the Interpretative Notes.
We do not believe that we can agree to transitions in these critical areas until we have a better
idea of the regulations that Cambodia is p repared to adopt to ensure implementation.
We recommend again that Cambodia share the text  of this law with interested delegations very
soon to assist in ensuring that the law eventually enacted is consistent with the Valuation
Agreement.
We also suggest that Cambodia complete th e Customs Valuation questionnaire based on the
draft Customs Code and other relevant legislation.
Answer:
Cambodia will only be seeking a transition period for the application of the valuation hierarchy.  We
intend to implement all other requirements at the time of accession .  The draft Law on Customs will
be provided following its submission to the Council of Ministers.   Please also refer to the Action Plan
submitted.
Question 27
We will be prepared to consider Cambodia's request for a transition period but would hope that
the length and breadth of coverage of the transition period would be limited.  Accordingly, weWT/ACC/KHM/12
Page 11
look forward to Cambodia providing a timetabl e detailing the steps it will take to ensure
effective transparent and fair administration of its laws in accordance with its future obligations
under the Agreement on implementation of Article VII of GATT 1994.
Answer:
Please see answer to question 24.
Question 28
The response to question 53 appears to indicate that Cambodia does not fully implement the
transparency and due process provisions of the Customs Valuation Agreement. The information
provided in Annex 4 of WT/ACC/KHM/2, that ch anges to legislation and regulations are
notified through the media and provided only to the 30-50 largest importers, appears to
contradict the assurance in the response Ca mbodia regularly publishes in the Royal
Government Official Gazette all changes of le gislation and regulations in a transparent and
non-discriminatory manner.
Please clarify this apparent contradiction and clearly describe Cambodia’s current law and
practice in terms of the publication of laws and regulation that effect trade.
Please indicate the composition and method of selection of the Working Committee which
receive from importer on decisions by the PSI fi rms. Is the PSI firm currently required to give
its initial rulings on valuation to imports in writing upon request? Will Cambodia’s PSI firm be
bound by the provisions of the Customs Code when it is enacted?
Answer:
Article 93 of its Constitution provides in effect that laws are to be published in the Official Gazette
and brought to the knowledge and attention of the population. Such laws and regulations are required
to be published as a matter of a legal requirement befo re they enter into force. For the last 2 years, the
Office of the Council of Ministers has resumed the publication and dissemination of the Official
Gazette on a regular basis. While the Customs and Excise Department may provide the legislation and
regulations to 30-50 largest importers  for the purpose of facilitation to ensure that they are fully up-
to-date on these legal developments, these texts are nonetheless published in the Official Gazette forthe general public on a non-discriminatory and transparent basis.
The new Law on Customs will receive extensive publicity through seminars, publications, and other
information sources such as the Departmental Web page.
The PSI Dispute Settlement Working Group member ship includes the Deputy Director of the
Customs and Excise Department (Chair), senior representatives from SGS, and other senior CED
officials. The members were appointed by a Prakas issued by the Minister of Economy and Finance.
The PSI firm issues its valuation decisions throug h a Clean Report of Findings to the importer. The
PSI firm will be bound by the provisions of the new Law on Customs.
Question 29
We note that WT/ACC/KHM/10 states that Cambodia’s draft Customs Code, which is intended
to implement various aspects of Cambodia’s WTO obligations under the GATT 1994 and the
WTO Agreements on Customs Valuation and Rules of origin, was under review by the Ministryof Economy and Finance at the end of 2001. Submission the Council of Ministers is expected inWT/ACC/KHM/12
Page 12
March 2002 and to the Parliament in December 2002, with a projected enactment date of July
2003.
Could  Cambodia give us an update on this schedule?
Will Cambodia begin to establish the institutions required under the law and train its customs
personnel to implement it prior to final enactment?
Does the text of the Code include the Int erpretative Notes to the Customs Valuation
Agreement?
What sort of regulations will be necessary to  fully implement the Code? Are these currently
under development?
Answer:
It is expected that the draft law will be submitted to the Council of Ministers very soon. The projected
enactment date of this Law by the National Assembly is July 2003.
With the assistance of the New Zealand Customs Service, the Customs and Excise Department will be
developing a comprehensive plan to implement th e WTO Valuation Agreement, including training of
staff and the trade, implementing institutional reforms and specific programs such as a post clearance
audit program.
The regulations will be developed once drafting of the Law is completed. Please also refer to the
Action Plan submitted
Question 30
We understand that Sub-Decree number 64, issu ed in mid-2001, contains measures to
rationalise the presence of Government Agencies  at border checkpoints. Can Cambodia provide
a read-out on the progress in implementing Sub-Decree 64 at all border checkpoints? What
further measures will be undertaken to streamline Customs operations generally?
Answer:
Overall, Sub-Decree 64 is being implemented successfully at border checkpoints. The Customs
Department and CAMCONTROL, Ministry of Comm erce, are taking the lead position in the
clearance process, while other governmental agencies are removing from routine involvement inclearance operations. Joint Committees were established with clear mandate and responsibilities in all
border checkpoints.
The Customs Department is reviewing all customs’ clearance procedures and processes with a view to
simplification and modernization, and the application of risk management techniques. In addition,
there are plans to automate the customs clearance pr ocesses that will lead to further efficiency gains.
The new Law on Customs will provide the legislative basis for this initiative.
(j) Pre- shipment inspection
Question 31
Can Cambodia provide details, including any le gislation and/or administrative regulations of
their PSI regime?WT/ACC/KHM/12
Page 13
Answer:
A copy of Prakas No 599 SHV.PRK dated August  31, 2000 on “The Implementation of Pre-shipment
Inspection Services” is being submitted along with the relevant regulations.
Question 32
We understand a dispute settlement mechanism under the PSI system was introduced for
importers on 2001. We welcome this move and would be interested in information on its
caseload and Cambodia's view on its effectiveness in resolving PSI problems.
Answer:
The Dispute Settlement Working Group has been operating since early 2001.  No formal cases have
been brought to the Working Group for resolution by importers, but specific matters are regularly
discussed and resolved by the Group.  Importers tend to raise their concerns with either the
Department or the PSI company who then bring the matter to the Group for resolution.  Steps will betaken to encourage importers to make formal representation of any complaints or disputes to the
Working Group.
Question 33
Cambodia states that it will use the services  of a Pre-shipment Inspection firm and that
pursuant to contract with that firm, the prov isions of the WTO Agreement on Pre-shipment
Inspection will apply.
We note that use of PSI firms does not reliev e Cambodia, or the firms, from the obligation to
observe other WTO provisions as well, e .g. the GATT 1994 and the WTO Agreements on
Customs Valuation, Rules of origin, Import Licensing Procedures, Technical Barriers to Trade
and Sanitary and Phytosanitary Measures.
In reviewing  Cambodia’s Customs Reform Program, we note that Cambodia intends to expand
use of the SGS valuation database. While such databases can be used in risk management
system, they should not be used to establish ac tual transaction values. To use such systems in
this manner is a violation of the Customs Valuation Agreement.
Answer:
As noted earlier, the current PSI contract states th at the firm shall perform its services in compliance
with the provisions of the WTO Agreement on Pre-shipment Inspection.  The valuation reference
database will be not used to establish actual transaction values but will be used as a reference for
establishing the reasonableness of values and for risk assessment purposes, in compliance with the
Customs Valuation Agreement.
Question 34
The response to question 57 indicates that Cambod ia will establish a customs fee structure for
its PSI firm consistent with Article VIII “upon the expiration of the PSI contract”.
WT/ACC/KHM/3 indicates that the contract was established in August 2000, and that it will
expire in two years. Can Cambodia commit to revise its PSI fee structure by August 2002?WT/ACC/KHM/12
Page 14
Answer:
If the existing PSI contract is renewed beyond 31October 2002, which is the actual termination date of
the existing contract, the PSI fee structure will be reviewed to ensure that the fees are limited to the
approximate cost of services rendered.
Question 35
PSI firms that provide customs services mandatory for importation and exportation should
operate in a manner consistent with WTO require ments. If this is not the case, then Members
do not receive the benefit of WTO protections for their exports.
Please confirm that Cambodia will assure that its PSI firm, from the date of accession, is bound
by the same obligations that apply to Cambodia in the WTO, and in particular by the provisions
of these Agreements.
Answer:
PSI services will be carried out in a manner consistent with Cambodia’s WTO obligations.
(k) Application of internal taxes on imports
Question 36
Since special tax rates, which is one of the Camb odian internal taxes, has risen at the same time
of Cambodian tariff reduction last year, there has been some products whose sales price hassharply increased, for example, automobiles.  We would like to seek clarification regarding
current situation in this regard, and especially  how Cambodia make its tax regime consistent
with the national treatment obligation of GATT Ar ticle III.  We also hope that Cambodia will
provide more detail information on its laws relating its tax regimes.
Answer:
As part of the tariff restructuring implemented in July 2001, the maximum rate of duty was reduced to
35 per cent from 120 per cent and the number of tariff bands was reduced from 12 to 4 in accordance
with the recommendations by the IMF.  Excise taxes were raised on some items to offset the reduction
in customs duty rates to keep the changes revenue neutra l.  As a result of the tariff restructuring, there
was a slight increase in the overall tax on certain imported cars. However, there is no automobilemanufacturing industry in Cambodia.  The overall tax burden remained virtually the same on all other
products.
Question 37
Reply 62 advised that steps were being undertaken to extend the 3 percent tax applied solely to
imported alcohol and tobacco to like domestic goods from 1 January 2002. Can Cambodia
confirm that the tax has been brought into conformity with GATT Article III?
Answer:
3 per cent tax on alcohol and tobacco has been extended to domestically produced products since the
beginning of 2002. Cambodia confirms that the tax has been brought into the conformity with GATT
Article III.WT/ACC/KHM/12
Page 15
Question 38
The VAT system was introduced in 1999 for some 1,000 large enterprises in Phnom Penh and
broadened to include five other provinces (Rep ly 64). Can Cambodia submit an action plan
detailing the time frames for extending the VAT System to the remaining provinces and
bringing it into conformity with the National Treatment Provisions of the WTO Agreements?
Answer:
Small taxpayers (estimated taxpayers) or remaining provinces with annual turnover below the
threshold are not required to pay VAT, but they are subject to pay a 2 per cent turnover tax. The
rationale behind the small taxpayers scheme is that the VAT system involves an increase of
administration costs and compliance costs for the taxpayers, while the revenue collections may be
smaller than the costs for small taxpayers. We do not have an action plan or timeframe for extending
the VAT system to the remaining provinces yet.
Question 39
Cambodia should respond substantively to our questions concerning its VAT tax application. In
question 61 of WT/ACC/KHM/6, we asked “Please provide specific and detailed responses to
question 89 of WT/ACC/KHM/3. Question 89 asked, “Please describe in detail the regime for
VAT currently applied in Cambodia including wheth er it is applied equally to imports from all
third countries. Are VAT exemptions applied with  full respect for the national treatment and
MFN principle?”.
We seek Cambodia’s description, for the record, in  accession documents, of the provisions of its
VAT regime, as requested above. Please include a list of all VAT exemptions.
We are not prepared to agree that Cambodia’s  regime is consistent with WTO without this
information, in the Working Party record.
We urge Cambodia to provide this information.
Answer:
VAT was introduced on 1 January 1999 on 1,000 large and medium taxpayers (Real Regime). The
number of VAT taxpayers has increased rapidly to approximately 2,900 taxpayers in 2002. Thisincrease was the result of broadening the VAT base in other 5 provinces and the inclusion of new
taxpayers in Phnom Penh capital in 2001 as well as an increase of business activities resulting from
economic growth. In 2002, an additional 5 provinces were added as a result of existing taxpayers
generating annual turnover over the threshold limit.
VAT Rate:
A 10 per cent single rate applies for domestic and importation (National treatment). There has never
been a different VAT rate on imports depending on the country of origin of the imports. Export ofgoods and services and international transports are subject to a 0 per cent (Zero) rate.
Thus, there are two rates of VAT
2:
                                                     
2 Article 64 of the Law on Taxation promulgated by Royal Kram No. KSRKM 0297/03 dated
24 February 1999.WT/ACC/KHM/12
Page 16
- 0 per cent, this rate applies only to goods exported from the Kingdom of Cambodia and
services consumed outside Cambodia. Exports are defined as including international
transportation of passengers and goods.
- 10 per cent, this standard rate applies to all supplies other than exports and non-taxable
supplies.
The supplies of goods or services by Estimated Regime Taxpayers are subject to the Turnover Tax at
a single rate of 2 per cent3.
The Farmers selling their own farming products are not subject to any taxes. But the enterprises
selling the products purchased from the farmers are subject to VAT or Turnover Tax according to the
turnover threshold level. The turnover realized by the farmer is not exceeding 10 million Riels per
year.
Criteria for Real Regime System:
The VAT applies only on taxpayers in the Real Regime falling under the following criteria:
- Any corporation, investment enterprise, importer and exporter;
- Other enterprise that has, within 3 consecutive calendar months, a taxable turnover exceeding
125 million Riel for the supply of goods, 60 million Riel for the supply of services, and 30
million Riel for a government contract value; or alternatively an annual turnover of 500million Riels for supply of goods, 250 million for supply of services, and 125 million Riels
for government contract value;
- Others may register voluntarily if they deem to be in their best interest.
Non-taxable Supplies (exemption from VAT)
- Public postal services;
- Hospital, clinic, medical, and dental services and the sale of medical and dental goods
incidental to the performance of such services;
- Service of transport of passengers by wholly state owned public transportation system;
- Insurance services;
- Primary financial services;
- Imports of articles for personal use those are exempt from customs duties;
- Non-profit activities in the public interest;
- Imports or the purchases of goods for use in the exercise of their official function of foreign
diplomatic and consular missions, international organizations and agencies of technical
cooperation of other governments.
In addition, the VAT exemption covers imports and supply of:
1. All kind of fertilizer for use in the agriculture;
2. All kind of plant seeds;
3. Parts of cut branches of tree for growing;
4. Animal medicines for the health and prevent the animals from diseases;
5. Animal foods and additional animal foods including vitamins;
6. Animal breeding stock including wild animal;
7. Small tractors and their spare parts for family use;
8. Animal foods grinding machines;
                                                     
3 Article 645 of the Law on Taxation promulgated by Royal Kram No. KSRKM 0297/03 dated
24 February 1999.WT/ACC/KHM/12
Page 17
9. Equipment for growing seeds and hatching eggs;
10. Pump of the pumping machine.
This exemption has been made through Prakas No 303 MEF.TD dated 23 June 2001. This  exemption
decreases the Tax Department revenue (Local Supply) for around 1 Billion riels per year. The money
forgone from VAT exemption on imported goods can be seen from the table below:
Money forgone from VAT Exemption in 2001:
July 2001*  412,160,126 Riel
August 2001 477,807,894 Riel
September 2001 332,984,723 Riel
October 2001 357,088,072 Riel
November 2001 230,653,405 Riel
December 2001 247,828,146 Riel
Total 2,058,522,366 Riel
* July 2001 is the beginning date of the implementation of VAT Exemption
Money forgone from VAT Exemption in the first five months of 2002
January 2002 191,488,028 Riel
February 2002 193,147,049 Riel
March 2002 308,349,322 Riel
April 2002 277,714,884 Riel
May 2002 581,999,637 Riel
Total 1,552,699,520 Riel
Source: Ministry of Economy and Finance, Cambodia
TAXABLE VALUE  OF VAT:
- Import = CIF + Customs duty + Excise tax if any.
- Supply of Goods or Services = the price of goods or services that the supplier charges  the
customers.
- The making of a gift or a sale at a lower price at a fair market value.
As to the application of VAT exemptions to imports and locally produced agricultural products,
Cambodia is reviewing this issue and will provide a full answer at a later stage.
Question 40
The response to question 62 indicates that by January 2002. Cambodia expected to have
extended its 3 percent tax on alcohol and tobacco to domestic products as well as to imports.
Has this occurred? If not, when will Cambodia bring this discriminatory tad into conformity
with Article III of the GATT?
Answer:
The 3 per cent tax on alcohol and tobacco has been extended to domestic products since the beginning
of 2002. Cambodia has already brought the 3 per cen t tax on alcohol and tobacco in the conformity
with Article III of the GATT.WT/ACC/KHM/12
Page 18
Question 41
The response to question 63 indicate that Cambodia does not levy VAT on domestically
produced raw agricultural products but does co llect the tax on similar imported goods, except
for a specific list.
This is a violation of Article II. Cambodia should  either equalize the tax or remove it from all
similar imported products.
Answer:
Cambodia takes note of the view expressed and would consider this issue as the accession
negotiations proceed. Please also see reply to question 39.
(l) Rules of origin
Question 42
WT/ACC/HM/10 states that Cambodia intend to implement is new Customs Code in July 2002,
and that a law on rules of Origin will be drafted by the Ministry of Commerce with the
expectation that it will go to the Parliament in April 2005.
We thank Cambodia for its assurances  in the response to question 65 of WT/ACC/KHM/6 that
it will sign its law and regulation on rules of origin with the provision of the WTO Agreement
and that these laws will be drafted or amended to incorporate the requirements of Article 2(h)and Annex II paragraph 5(d),i.e. that for non-preferential rules of  origin respectively, the
customs authority will provide upon the request of  an export and outline the terms under which
it will be provided and that any request for su ch and assessment would be accepted even before
trade in the goods concerned begin.
Answer:
Provisions for the administration of origin provisions will be included in the Law on Customs. We
also would like to update that the implementation of the new customs Law is expected as from mid-
2003. Please see the revised document on the Agenda for Enacting Laws for WTO Conformity.
(m,n,o) Anti-dumping, countervailing and safeguard regimes
Question 43We welcome Cambodia's commitment (Reply 67 ) not to apply safeguard, anti-dumping or
countervailing measures without first notifying to the WTO Legislation covering such measures
consistent with the WTO Agreement. Accordin g to Cambodia's Legislation implementation
agenda the law on anti-dumping and on countervailing measures and the law on safeguard
measures are not expected to be approved until the second half of 2004. We look forward to the
draft Legislation being submitted for review by the Working Party.
Answer:
Cambodia is currently considering this issue and also expects technical assistance from Australia (as
pledged) in the drafting of the above 2 laws.WT/ACC/KHM/12
Page 19
Question 44
According to WT/ACC/KHM /10, Cambodia doesn’t expect to have laws on trade remedies
consistent with WTO provision and 2004 at the earliest. In question 66, we sought Cambodia’s
commitment in the Protocol of Accession that it would not apply safeguard, antidumping or
countervailing measures without first notifying to the WTO legislation covering such measures
consistent with WTO Agreements.
While we appreciate the assurances that Ca mbodia will apply safeguard, antidumping or
countervailing measures consistent with WTO Agreements, including their procedural aspects,
when it becomes a WTO member, we renew our request, in anticipation that Cambodia will
accede prior to the development of the appropriate legislation.
Answer:
Cambodia takes note of the comments. Please see also reply to question 43 above.
2. Export Regulation
(c) Quantitative export restrictions, including prohibitions, quotas and licensing systems
Question 45
We remain concerned that Cambodia’s restrictions  on exports of rice and forestry products are
not consistent with Article XI of the GATT.
We would appreciate more information on the conditions under which these restrictions are
applied related directly to the GATT and WTO justification for their application.
Answer:
Cambodia has lifted restrictions on rice exports on 26 July 2001 with Prakas-Announcement No. 2290
MoC/M 2001 of the Ministry of Commerce. Restrictions on forestry products are imposed for purelyconservation reasons in accordance with Article XX(g) of GATT 1994. In the purpose of
environmental protection and forestry conservation, the Royal Government of Cambodia issued a
Governmental Prakas on Management Measures to Eliminate the Forestry Anarchy No. 01 PROK
dated January 25, 1999 and Sub-Decree on Forestry Concession Management No. 05 dated 07
February 2000.
(f) Export financing, subsidy and promotion policies
Question 46
Notwithstanding Cambodia’s invocation of the exemption under Article 27 2(a) of the WTO
Agreement on exportation.
Please provide information concerning all meas ures under the Law on Investment that are
contingent on exportation.
Please describe these measures in detail a nd provide the laws that authorize the measures
(legislation –Implementation Agenda. Age nda for enacting Laws for WTO/Conformity)WT/ACC/KHM/12
Page 20
Answer:
There are no other measures not already mentioned in WT/ACC/KHM/2, 3, and 6. Please also see
replies to questions 3 and 74.
Question 47
The response to question 7 in WT/ACC/KHM/6 states that eligible projects approved by
Council for the Development of Cambodia (CDC), receive the incentives spelled out in Art. 14
on the Law on Investment, including full exemption from import duties for materials, means of
production, equipment, intermediate goods, raw materials and spare parts used by an export-
oriented project with a minimum of 80 per cent of its production exported. It also indicates
similar benefits for projects located in a designated Special Promotion Zone (SPZ) listed in a
development priority list issued by the CDC. Esta blishment in the Zone is open only to export
oriented industries.
Are these benefits granted by the CDC under contract  with specific firms, or are they available
upon request by any firm meeting the criteria on an ongoing basis?
Answer:
These benefits are granted by the CDC upon request by any firm meeting the criteria on an ongoing
basis.
(h) Import duty drawback schemes
Question 48
In response to question 87 of WT/ACC/KHM/6 Cambodia notes that it is considering duty
drawback schemes in order to facilitate trade and promote the development of SMEs.
When does Cambodia expect to implement such a program? We seek a description of
Cambodia's plan for these schemes as soon as  possible, and a commitment to observe the
guidelines for such schemes, as laid out in Annex II of the WTO Agreement on Subsidies and
Countervailing Measures.
Answer:
 While no decision has been reached on the implementation of a drawback scheme, consideration is
being given to implementing such a scheme for small and medium sized enterprises to encourage their
development.  Assurance is given that any drawback scheme implemented will be in conformity with
Annex II of the Agreement on Subsidies and Countervailing Measures. Cambodia is seeking technical
assistance on the drafting of the drawback scheme. Please also see reply to question 74.
3. Internal Policy Affecting Foreign Trade in Goods
(b) Technical regulations and standards, including measures taken at the border with
respect to imports
Question 49
We support the request in question 72 of WT/ACC/KHM/6 for Cambodia to provide detailed
information about the legislative and administ rative arrangements to be put in place to
implement the TBT Agreement, including arrang ements for the development of standards andWT/ACC/KHM/12
Page 21
technical regulations, conformity assessment procedures, and participation in the work of
international standards setting bodies (or the application of internationally agreed standards
where appropriate).
Answer:
In order to comply with the requirements of the TBT Agreement, Cambodia will adopt a Law on
Industrial Standards of Cambodia. The draft Law is being drafted by the Ministry of Industry, Mines
and Energy, then the draft will be discussed and finalized by the Industrial Standards Technical
Committee and submitted to the Council of Ministers for approval. Its adoption by the National
Assembly is expected in 2003.  A TBT Action Plan is also submitted as a separate document of the
Working Party. In the Action Plan Cambodia seeks technical assistance to finalize the draft and to
ensure that its provisions fully meets all the requirements laid out under the TBT Agreement.
Question 50
We have a number of questions on the checklist of requirements relating to TBT Agreement
(WT/ACC/KHM/8). In particular we would appreciate an explanation of the content of the
draft law on industrial standards referred to in item 1 as well as advice on the timing for
drafting an passage of this law, a copy of the draft law will need to be made available to the
Working Party.
Answer:
See reply to question 49.
Question 51
We also note the statement in item 2 of WT/ACC/KHM/8 regarding Cambodia's proposal to
endeavour to implement the TBT Agreement fully upon accession. It will be important to ensurethat Cambodia puts in place all necessary legisl ative and administrative arrangements to ensure
implementation upon accession. We also recomm end Cambodia identify and provide to the
Working Party any technical assistance requirement s in this process. Under item 4(E) of the
checklist we note that periods of 45 days for new drafts and 30 days for amended drafts
Standards are envisaged in the Sub-Decree to the law on standards.  We point out the
Agreement reached in the TBT Committee to provide a minimum of 60 days for comment in
both instances.
Answer:
See reply to the question 49 and TBT Action Plan. Cambodia takes note of the need to revise the
comment periods of 45 days for new drafts and 30 days for amended drafts Standards to 60 days in
both instances.
Question 52
With regard to items 5 (D and F), we note Camb odia's intention to reference the Standards and
Conformity Assessment arrangements under the ASEAN Framework Agreement on Mutual
recognition arrangements in the proposed in the Sub-Decree, we would appreciate advice on the
nature of the ASEAN Framework Agreement. We  would emphasise the need to ensure that
Standards and Conformity Assessment Arrangements should be based on internationallyagreed, rather than regionally agreed Standard s, does Cambodia intend to extend these
Arrangements to all WTO Members?WT/ACC/KHM/12
Page 22
Answer:
Cambodia's reference to the Standards and Conf ormity Assessment arrangements under the ASEAN
Framework Agreement on Mutual recognition arrangements only reflects Cambodia ongoing
activities as required under the AS EAN initiatives. In developing national Standards and Conformity
Assessment Arrangements Cambodia will base them on internationally agreed Standards and allArrangements will be extended to all WTO Members. To clarify this answer, please see the paragraph
5 of the Article 3 of the ASEAN Framework Agreement on Mutual Recognition Arrangements edited
in December 1998 (see attachment).
Question 53
After reviewing the documents provided for Ca mbodia's WTO Accession concerning technical
barriers to trade, we cannot make any substant ive TBT comments without a copy of the Draft
Law on the Cambodian National Standards Institute, reference in WT/ACC/KHM/2.
When will Cambodia make a copy available to the Working Party?
Answer:
Cambodia has retitled the draft Law on the Cambodian National Standards Institute to the draft Law
on Industrial Standards of Cambodia. Please see the answers to questions 49 and 50 and refer to the
relevant parts of TBT Action Plan, in which Cambodia seeks technical assistance to finalize the draftand to ensure that its provisions fully meets all the requirement laid out under the TBT Agreement.
Question 54
In the checklist in WT/ACC/KHM/8, Cambodia makes reference to the Law of Industrial
Standards, aimed at compliance with the WTO TBT Agreement. However, it is not expected
that this legislation will be enacted until 2003.
When will Cambodia provide a draft Law of Industrial Standards for review?
Answer:
See reply to the question 53.
Question 55
Concerning the response to question 71, it a ppears to indicate that a Mutual Recognition
Agreement is necessary for the acceptance of an equivalent certificate. This is not consistent
with the TBT Agreement, which requires the establishment of nondiscriminatory conformity
assessment procedures that will allow for the acceptance of equivalent certification. How does
Cambodia intend to remedy this situation?
Answer:
Please see the relevant parts of Cambodia’s submission in document WT/ACC/KHM/8. Cambodia
welcomes and accepts any equivalent certificate from third country certification bodies as long asthose certification bodies or testing laboratories are accredited at least by national accreditation body
of the countries concerned.WT/ACC/KHM/12
Page 23
(c) Sanitary and phytosanitary measures, including measures taken with respect to imports
Question 56
In the Checklist of requirements relating to the Agreement on SPS Measure
(WT/ACC/KHM/9), Cambodia refers to Sub-Decrees on Quarantine and Sanitary inspection of
animal and animal products, which are currently being drafted, and are due to be finalised in2003, according to the document, Cambodia's obligations under the SPS Agreement will be
addressed in the new Legislation.
It would be useful if more details on the draft Legislation could be made available to members
so that they can make an assessment of its conformity with the SPS Agreement .
In particular we seek more information on how the Legislation will address Cambodia's
implementation of annexes B and C of the SPS Agreement.
Answer:
Cambodia is providing the draft Sub-Decree on Plant Quarantine and Animal Quarantine. It will be
emphasized that for a least developed country like Cambodia the implementation of SPS measures
during the transition period would also depend on th e immediate availability of financial and expert
support from WTO Members and relevant international organizations. Implementing measures would
involve, among other activities, collection, translation into Khmer language and analysis of therelevant international practices, customization to the international practice of new sanitary, veterinary
and phytosanitary regulations, upgrade of technological resources for sanitary, veterinary and
phytosanitary institutions (laboratories), and training for sanitary/phytosanitary officers.
Question 57
Cambodia is seeking a five-year transition period to implement the SPS Agreement. The
checklist details the type of technical assistan ce Cambodia would like to receive from donor
countries in order to make their SPS regime WTO-Consistent.
Answer:
See reply to question 56.
Question 58
Could Cambodia provide a more detailed program of planned reforms to its SPS regime prior
to accession and during any transition period?
Answer:
Please refer to replies to questions 56 and 57. See also SPS Action Plan as a separate document of the
Working Party.
Question 59
In reviewing WT/ACC/KHM/9, it would appear that Cambodia is moving in the right direction
in its efforts to implement the WTO Agreement on SPS, but that it still has a way to go to
accomplish this.  Concerning item 1 of WT/ACC/KHM/9, please provide a copy of the "new
draft of Sub-Decrees" on quarantine and sanitary inspection of animal and animal products.WT/ACC/KHM/12
Page 24
Answer:
Please refer to reply to question 56.
Question 60
Concerning item 2 and 3 (a) of WT/ACC/KHM/9:
WT/ACC/KHM/10 indicates that the regulations to establish an Inquiry Point for SPS and TBT
were adopted by the Council of Ministers in December 2001. Can Cambodia confirm that? If so,
when will the inquiry point be functioning?
Is Cambodia in the process of developing legislation that will identify the authority responsible
for making notifications to the WTO, and ensu re the transparency functions of the SPS and
TBT Agreements? If so, when will this legislation likely be completed?
Answer:
Cambodia drafted a Sub-decree to establish separate Inquiry Points for SPS, TBT, Services, and Legal
Compliance to the WTO Agreements. Cambodia seeks technical assistance to operationalize them as
soon as the assistance is received. These points will be responsible for making notifications to the
WTO, and also ensure the transparency functions of the SPS and TBT and GATS Agreements.
Question 61
Concerning item 3 (b), (c), and (d) of WT/ACC/KHM/9, please provide a copy of the "new draft
of Sub-Decrees" relating to this points. Please explain what is meant by "these sub-decrees will
contain provisions on these matters".
Answer:
The Government has prepared a new draft consolidated Sub-Decree on Plant Quarantine and Animal
Quarantine which take into account basic provisi ons of the SPS Agreement. Its submission to the
Council of Ministers for approval is expected in July 2002. What is meant by "these sub-decrees will
contain provisions on these matters": Cambodia meant that these sub-decrees will include provisions
relating to transparency; notification and access to documentation which involve the following: (1)
establish guidance or law requiring publication of proposed measures at an early stage for comment;
(2) provision in law or administrative procedure to provide copies of proposed measures to WTOMembers; and (3) require in law or administrative procedure, a reasonable period of time for comment
from Members and the public, and establishment of a process to take comments into account without
discrimination.
Question 62
Concerning item 5 of WT/ACC/KHM/9:
It is possible for Cambodia to commit to using the appropriate international standards during
the five year before which the provisions of the SPS Agreement are applied?
Please outline the steps Cambodia plans to take  to adopt the standard s outlined in the three
international standard setting bodies (CODEX, IPPC, OIE).WT/ACC/KHM/12
Page 25
Answer:
Cambodia plans to gradually use the appropriate international standards during the five-year period
after its WTO accession before the provisions of the SPS Agreement are applied.
Cambodia will need to first adopt the Law on National Industrial Standards which provides the legal
framework for adopting the standards outlined in the three international standard setting bodies
(CODEX, IPPC, OIE).
(e) State-trading practices
Question 63
We note that the Green Trade Company which is involved in the buying and selling of rice and
manages Cambodia's national reserve may receive  government funding (Reply 77 and table 2 of
annex II). Can Cambodia provide details of this Government Funding?  What roles does the
Green Trade Company have in rice exports?
Answer:
Annual budget (in 1998-2000) of 1,000,000,000 Riels is allocated by Ministry of Commerce to Green
Trade Company (GTC) to buy rice for food security purposes. Before 26 July 2001, the GTC
performed a special advisory role in the issuance of export licenses for rice. In particular, upon request
of the Ministry of Commerce, the GTC provided its recommendations with regard to the marketsituation, supply and demand fluctuations, prices. In accordance with the Prakas of the Ministry of
Commerce, No. 2290 MoC/M 2001 dated 26 July 2001, export licensing of rice was lifted. Since then
the GTC had no role in exports of rice, and its activities are concentrating only on distribution and
domestic trade.
Question 64
Can Cambodia confirm that the operations of the enterprises which are to be retained as SOEs,
including the Green Trade Company and the Ag ricultural Inputs Company (Reply 12) are
consistent which the provisions of GATT Article XVII and that no new special privileges will be
accorded to these and other entities in terms of Article XVII ?
Answer:
Cambodia confirms that the operations of the Green Trade Company and the Agriculture Inputs
Company are consistent with provisions of GATT Article XVII and no new special privileges will be
accorded to these and other entities in terms of Article XVII.
Question 65
In response to question 11 and questions 77 and 78 of WT/ACC/KHM /6, Cambodia indicates
that it has made progress privatizing state-owned enterprises.
Cambodia must list and describe the scope of business and its remaining state-owned
enterprises, whether or not it believes they constitute state trading enterprises within the
meaning of GATT Article XVII and th e Understanding on GATT Article XVII.
Answer:
The answer will be provided later upon its completion.WT/ACC/KHM/12
Page 26
Question 66
In response to Question 81 a nd in Annex II of WT/ACC/KHM /6, Cambodia states that the
Agricultural Inputs Company will be kept as a state-owned enterprise and that discussions are
taking place regarding the status of state owned enterprises in the rubber sector.
(1) Please provide a description of the Agricultural Inputs Company’s role in the
production, marketing and /or trading of fertilizers, insecticide and agricultural
equipment.
(2) Please provide an update on the status of the discussions regarding state-owned
enterprises in the rubber sector.
Answer:
(1) please refer to reply to question 11.
(2) Sub-Decrees were approved on 15 March 1 999 to transform the seven state-owned estates
into public enterprises with economic purpose under the Government's Law on Public
Enterprises. Under these sub-decrees, the state still retains the shares of these estates but
allows their Board of Directors to have full autonomy in their day-to-day operations, financial
transactions and management. The Government is currently assessing the value of each the
state-owned enterprises in the rubber sector.
Question 67
As noted in the response to question 82 (see also response to question 77), Cambodia states that
the Green Trade Company manages Cambodia’s national rice reserve and may receive funding
from the government.
Please describe under what circumstances the Greed Trade Company receives government
funding. Please describe the role of the Green Trade in the production, marketing and /or
trading of rice.
Answer:
Green Trade Company receives funding from the Government to purchase rice during national
emergency such as drought or flood and to distribute them to national disaster victims.
Question 68
The trade statistics for Cambodia’s import and export of rice presented in Question 84 of
WT/ACC/KHM /6 were very helpful.
Could Cambodia please clarify its response to Question 85, where it was asked if any of
Cambodia’ state-owned agricultural enterpri ses are involved in the production and
importation/exportation of rice?
Answer:
There are no such SOEs in Cambodia.WT/ACC/KHM/12
Page 27
(g) Free economic zones
Question 69
WT/ACC/KHM/10 indicates that a new Law on Export Processing Zones (EPZs) has been
drafted and that submission to Council of Mi nisters is expected in March 2002 and to the
Parliament in July 2002.
Please describe the provisions of this law and provide a copy for Working Party review.
Answer:
Cambodia is pleased to provide the draft Law on Export Processing Zones to the Working Party. The
draft has been renamed draft Law on Industrial Zones.
(l) Government Procurement Practices
Question 70
We would encourage Cambodia to ensure tran sparency in their Government Procurement
Practices and Policy. We would also encourage Cambodia to consider the work being
undertaken in the WTO Working Group on tran sparency in government procurement and how
their current policies and practices might acco mmodate any future WTO rules on transparency
in government procurement.
Answer:
Cambodia as an LDC has no intent to join the Government Procurement Agreement. Nonetheless
Cambodia takes note of this Member's comment.
4. Policies Affecting Foreign Trade in Agricultural Products
(d) Export credits, export credit gu arantees or insurance programmes
Question 71With respect to the response to question 90 on export subsidies:
While Article 9.4 of the Agreement on Agriculture exempts developing countries from
undertaking export subsidy commitments during the implementation period, this exemption
existed only during the implementation period.
Since the implementation period ended in 2002, Ca mbodia would not in any case be eligible to
introduce export subsidies.
Answer:
Cambodia understands that Least-Developed Countries under the Agreement on Agriculture are not
required to undertake any commitments on export subsidies and as such Cambodia reserves its rights
as LDC to introduce export subsidies in the future.  Furthermore, as we understand, the
implementation period for developing countries is 10 years (i.e. until the end of 2004) and may be
addressed  in the current WTO negotiations on agriculture.WT/ACC/KHM/12
Page 28
Question 72
In WT/ACC/KHM /3, Cambodia states that it has investment subsidies, which are generally
available to the agriculture sector.
Please provide further details on these investme nt subsidies. Please explain whether there are
any other sectors that receive similar investment subsidies.
Answer:
Please see replies to questions 3, 4 and 74.
Question 73
Cambodia has noted in WT/ACC/KHM /3, a few agriculture tax exemption programs such as
the Decoupled Income Support and VAT Exemption.
Please provide a list of all tax exemption programs and include the amount of government
revenue foregone in a recent representative period.
Answer:
Please see reply to question 39.
Question 74
The response to Question 7 of WT/ACC/KHM /6 notes that "agro-industry" is eligible for
subsidies contingent upon export performance.
Could Cambodia clarify what is meant by "agro-industry" in this regard? Does "agro-
industry" produce agricultural products subject to the Agreement on Agriculture?
Please explain how these subsidies are consiste nt with provisions on agricultural export
subsidies in that Agreement.
Answer:
Agro-Industry is a sub-sector that processes materials of agricultural origin. In accordance with the
Sub-Decree No. 88 ANK-BK dated 29 December 1997 (a copy of which was submitted to the WTO
Secretariat for consultations), First Schedule (“Part A: List of investment sectors to which incentives
shall apply”), agro-industry (or manufacture and processing of food and related products) include:
1. Beverages. 2. Fats and oils. 3. Sugar confectionery. 4. Meat products. 5. Dairy products.
6. Preserved fruits and vegetables. 7. Grain mill products. 8. Bakery products. 9. Animal feed
products.
- 100 per cent exemption of import duties under the Investment Law (Article 14) on
construction materials, means of production, equipment, intermediate goods, raw materials
and spare parts used by the local and foreign investment projects in the agro-industry (as well
as in other sectors) is linked to export performance (i.e. minimum of 80 per cent of production
is exported). Investment projects below 80 per cent export performance threshold enjoy such
incentive only in the first year of production. A copy of the Investment Law was submitted to
the WTO Secretariat for consultations.WT/ACC/KHM/12
Page 29
- The above investment incentives (resulting in the revenue foregone by the government) may
represent export subsidies in accordance with the Article 9:1(f) of the Agreement on
Agriculture with regard to construction materials, equipment and spare parts. However,
Cambodia as a least-developed country (LDC) should have the flexibility in this area. In
particular, Cambodia should not be required to undertake reduction commitments as providedfor in the Article 15:2 of the Agreement on Agriculture. On the other hand, investment
incentives with regard to intermediate goods and raw materials can be considered as inputs
consumed in the production process, as defined in the Annex II of the Agreement on
Subsidies. A remission of import charges on these inputs should not be regarded as subsidy.
Because Cambodia is an LDC, it is not yet able to manage a properly functioning duty
drawback scheme. This exemption is in actual practice in Cambodia a close approximation to
a drawback scheme.
- As to the non-agricultural sectors, which may enjoy the same investment incentives,
Cambodia considers that the provisions of the Agreement on Subsidies and Countervailing
Measures in favour of LDCs should apply, in particular the Article 27.2.
5. Policies Affecting Foreign Trade in other Sectors
(a) Textiles RegimeQuestion 75
Concerning the regulation of trade in certain textile and clothing products under bilateral
agreements:
When Cambodia becomes a WTO Member, the prov isions of the Agreement on Textiles and
Clothing will become relevant. We intend that our current bilateral quotas on imports from
Cambodia of textiles and clothing products will become the starting point for the further
liberalization provided for under the terms of that Agreement.
This has been standard practice in other WTO accession, e.g.; Bulgaria and Oman.
In order to ensure an orderly transfer to this new status, and to guarantee the benefits of ATC
trade liberalization for Cambodian exports, we suggest that commitment language be developedfor the draft Working Party report that contains the following positions:
"… that the quantitative restrictions on  imports maintained by WTO members on
textiles and clothing products originating in Cambodia that were in force on the date
prior to the date of accession of Cambodia to  the WTO should be notified to the Textiles
Monitoring Body (TMB) by the Members maintaining such restrictions and would be
applied for the purposes of Article 2 of the Agreement on Textiles and Clothing. Thus,
for the purposes of Cambodia's accession to the WTO, the phrase "day prior to the dateof entry into force of the WTO Agreement: contained in Article 2.1 of the Agreement on
Textiles and Clothing shall be deemed to refer to the day prior to the date of accession of
Cambodia to the WTO. To these base levels the increase in growth rates provided for in
Article 2.13 and 2.14 of the Agreement on Textiles and Clothing shall be applied, as
appropriate, on the Agreement on Textiles and Clothing from the date of Cambodia'saccession."WT/ACC/KHM/12
Page 30
Answer:
Cambodia takes note of this request and would like to seek some clarifications in the course of
negotiations over the draft Working Party report.
V. TRADE-RELATED INTELLECTUAL PROPERTY
1. GeneralQuestion 76
WT/ACC/KHM /10 indicates that the Ministry of Justice is drafting a new Civil Code with a
view to submitting it to the Parliament in October 2004.
Will it contain any provisions related to intellectual property protection? If so, will these be of a
very general nature, or will they attempt to duplicate the provisions of Cambodia's IPR Laws?
We urge Cambodia not to include parallel provisions on IPR in its Civil Code, as this will
undermine its IPR regime.
Answer:
The new Civil Code will not contain provisions specifically indicating intellectual property protection
and as such will not duplicate the provisions of Cambodia's specific IPR Laws, which are now being
drafted separately under different scheme. Cambodia has no intention to include any parallel
provisions on IPR in the Civil Code. The related provisions will be (1) a provision of recognition ofcontrollable intangibles for which provisions for movables shall apply mutatis mutandis except as
otherwise provided by any specific laws, and (2) the general provisions of torts which will apply in
case of intellectual property infringement.  Please refer to Legislation Action Plan.
(c) Membership in international property conventions and regional or bilateral agreements
Question 77Please list all IPR international organizations th at Cambodia is a party to, or plans to join.
Answer:
Membership of Cambodia in international property conventions and regional or bilateral agreements:
- Cambodian became a member of WIPO on 25 July 1995.
- Became a member of the Paris Convention on 22 September 1998.
- Entered into the ASEAN Framework Agreem ent on Intellectual Property Cooperation on
04 April 1999.
- Preparing to become a member of Bern Conventions after the adoption of Law on Copyright
& Related Rights.
- Preparing to become a member of Patent Cooperation Treaty after the adoption of Law on
Patent, Utility Model Certificate, and Industrial Design.WT/ACC/KHM/12
Page 31
2. Substantive standards of protection, incl uding procedures for the acquisition and
maintenance of intellectual property rights
(a) Copyrights and related rights, including rights of performers, producers of phonograms
and broadcasting organizations
Question 78We thank Cambodia for providing a copy of its draft Law on Copyrights and Related Rights, in
WT/ACC/KHM/5, for Working Party review.
We have provided detail commitments and some questions on the draft, and we hope that these
help Cambodia in its efforts to establish a TRIPS-consistent regime in IPR, in particular in the
critical area of Copyrights.
Answer:
We take note the comments made by this Member on Cambodia's draft Law on Copyrights and
Related Rights and will examine those comments carefully before we can incorporate those comments
in our draft Law. Please refer to the Plan of Action on Intellectual Property Rights as a separate
document of the Working Party.
Question 79
We note that in WT/ACC/KHM /10, Cambodia reports that at the end of 2001, its draft Law on
Copyrights and Related Rights was under preparation in the Ministry of Culture and Fine Arts,
and that its submission to the Council of Mi nisters is expected in March 2002 and to the
Parliament in June 2002, with a projected date of enactment in November 2002.
Could Cambodia provide a status report on the progress of this legislation?
What steps in Cambodia taking to develop the necessary additional laws to enforce this Law
when it is enacted? What types of technical as sistance would Cambodia need to fully implement
this law upon accession?
Answer:   
Please see the Plan of Action on Intellectual Property Rights for the status report on the development
of Law on Copyright and Related Rights
(e) Patents
Question 80
We thank Cambodia for providing a copy of its draft Law on Protection of Patent, Utility
Models, and Industrial Designs, in WT/ACC/KHM/5, for Working Party review.
We have provided detailed comments and some questions on the draft, and we hope that these
help Cambodia in its efforts to establish a TRIPS-consistent regime in IPR, in particular in the
critical area of Patents and Industrial Designs.WT/ACC/KHM/12
Page 32
Answer:
We take note of the comments made on Cambodia's draft Laws in the area of Patents and Industrial
Design and will examine those comments carefully before we can incorporate them in our draft Laws.
Question 81
WT/ACC/KHM/10 indicates that the Law on Trademarks and Acts of Unfair Competition,
awaiting ratification by the Parliament in De cember 2001, should have been enacted in January
2002. In addition, the Law on Protection of Patent, Utility Models, and Industrial Designs, sent
to the Parliament in October 2001 is  slated for enactment in July 2002.
Are these plans on track? Will Cambodia be able to enforce these laws from the date of
enactment, or are there other legal or operati onal requirements for full implementation? Will
Cambodia provide copies of these final laws for Working Party review?
Answer:
Yes, these plans are on track. For progressive information, Cambodia wishes to inform the member
states that, Law on Marks, Trade Names and Acts of Unfair Competition has already been adopted by
the National Assembly on 06 December 2001, ratified by the Senate on 08 January 2002, and
promulgated by the King on 07 February 2002.
Further, the draft Law on Patent, Utility Model Certificates and Industrial Design also has been
adopted by the Council of Ministers on 12 October 2001. Please refer to Plan of Action on Intellectual
Property Rights.
After those IP laws have been enacted, Cambodia will be able to enforce them from the due date of
their enactment even though, we still need to have  Sub-Decrees to ensure their full implementation.
Cambodia is happy to provide the copies of those final laws to the member states for review.
Question 82
We note that Cambodia did not complete the checklist in WT/ACC/KHM/7 for the Law on
Copyrights and Related Rights.
Why is this information excluded? Could Camb odia complete the checklist for Copyrights
based on its new law?
Answer:
The reason why Cambodia didn't include in the checklist in document WT/ACC/KHM/7  the Law on
Copyrights & Related Rights, is mentioned in the initial page of that document. It is simple that by the
time that checklist has been completed, Cambodia was still reviewing its draft law on Copyrights &
Related Rights. Cambodia has now revised WT/A CC/KHM/7 to include the draft Copyright law.
Please refer to Plan of Action on Intellectual Property Rights.WT/ACC/KHM/12
Page 33
(c) Geographical indications, including appellations of origin
(f) Plant variety protection
(g) Layout designs of integrated circuits
(h) Requirements of undisclosed information, including trade secrets and test data
Question 83WT/ACC/KHM/10 reports that at the end of last year, Cambodia had requested technical
assistance to prepare draft Laws on Geographical  Indications Including Appellation of Origin;
on Layout Designs of Integrated Circuits, on Protection of Undisclosed Information; and on
Plant Variety Protection.
Has this technical assistance co mmenced? On what basis were the projected dates of submission
to the Council of Ministers determined?
Why will it take so long to enact the Law on Protection of Undisclosed Information?Under what circumstances could the IPR protection provided by these laws be implemented in
Cambodia on a more rapid schedule, e.g.; in advance of the dates October 2003-November 2004
projected in WT/ACC/KHM/10.
Answer:
The ability of Cambodia to draft laws in these areas, and the time frame required for the preparation
of the drafts depends entirely on the availability of technical assistance. Cambodia has received some
indications that technical assistance might be available with regard to geographical indications, but no
assistance has yet begun. Cambodia has received no indications that assistance might be forthcoming
in the other areas. Cambodia’s assessment of the schedule that would be possible if technical
assistance was provided. Please refer to the Plan of Action on Intellectual Property Rights.
4. Enforcement
Question 84
The response to question 97 in WT/ACC/KHM/6 and the checklist in WT/ACC/KHM/7 appear
to indicate that Cambodia envisions no separate provisions in its customs code or its criminal
and civil laws to provide for the enforcement of intellectual property protection.
Please indicate how Cambodia plans to prov ide civil judicial procedures and remedies,
provisional measures; administrative procedures and remedies; border measures; and criminal
procedures to implement the enforcement provisions of the WTO Agreement on TRIPS.
Answer:
The Civil Procedure Code will contain procedure to  obtain a civil judgment, execution procedure, and
procedure for provisional measures.  The Law Concerning Marks, Trade Names and Acts of Unfair
Competition also include provisions for remedies and provisional measures for the protection ofintellectual properties. (See, for example, the Law on Marks, Trade Names and Acts of Unfair
Competition, Chapters 8, 9 and 15). We also expect other specific laws relating to intellectual
property rights currently under the process of drafting by other Ministries may provide more specificWT/ACC/KHM/12
Page 34
provisions for remedies and provisional measures fo r protection of intellectual property rights. Please
refer to the Legislation Action Plan.
Border control measures as called for in Part III Section 4 of TRIPS will be included in the draft Law
on Customs currently being drafted and are also contained in Chapter 10 of the Law on Marks, Trade
Names and Acts of Unfair Competition. Please refer to the Legislation Action Plan.
Question 85
According to document WT/ACC/KHM/3, the government of Cambodia does not intend to
prepare a special Sub-Decree to address the amount of damages to be calculated in the case of
intellectual property infringement. Instead, such  damages will be calculated on a case-by-case
basis as the court warrants.
Please let us know in the absence of such a decree what specific factors the court uses to
determine damages?
Answer:
We understand your concern expressed in the question.  However, the damages in case of intellectual
property infringement should be calculated based on  the precedents and good judgment of the judges.
Intellectual property infringement cases appeared in the court of Cambodia have been very limited,
and the specific factors the court should use to determine damages are currently studied and discussedamong judges and relevant authorities.
For past normal practice, damages caused by the infringement of IPR are calculated on a case-by-case
basis. The court takes into consideration on two factors to calculate damages – value/cost of lost
benefits caused by infringed acts, and duration of infringement. The damages will be bigger or greater
if the infringed acts have been committed in longer period.
Question 86
Concerning TRIPS Article 47, do judicial and administrative officials have the authority to
order infringers to provide right holders with information on third parties involved in the
production and distribution of infringing goods and services and their channels of distribution?
Under what circumstances is  this authority exercised?
Answer:
The draft Civil Code and Civil Procedure Code do not include such provisions which provides judicial
and administrative officials the authority to orde r infringers to provide right holders with such
information.  An investigating judge has the authority  to order infringers to provide such information
to the court, not to the right holder, in connect ion with the criminal procedure relating to the
infringement.
While Cambodia's Law on Marks, Trade Name and Acts of Unfair Competition, and the draft Law on
Patents, Utility Model Certificates and Industrial Designs don't provide any specific provisions related
to this kind of authorization, but in normal practices, the court and administrative officials are able to
acquire all kinds of information related to the IPR infringement. Thus, it also includes information on
third parties' involvement. This authorization can be exercised in any circumstances of normal court
procedures.WT/ACC/KHM/12
Page 35
Question 87
Concerning TRIPS Article 52, please explain what evidence constitutes prima facie
infringement for purposes of this article.
Answer:
In general, any evidence that indicates that an infringement probably has occurred or is occurring
would be considered sufficient to trigger provis ional measures. Please see the specific language
defining prima facie  evidence in Article 30.a of the Law on Marks, Trade Names and Unfair
Competition. Evidence constitutes prima facie  evidence of infringement if there are reasonable
grounds for believing that the goods in question infringe IP rights.
Question 88
Concerning TRIPS Article 43.1, please describe the mechanisms for identifying and protecting
confidential information in civil judicial and administrative intellectual property infringement
cases.
Answer:
In civil judicial proceedings, the draft Civil Procedure Code Article 115 Paragraph 2 provides that the
oral argument can be closed from the public if it is provided by the specific laws, and viewing the
case record can be limited according to the draft Civil Procedure Code Article 258.
Article 42 of the Trademarks law, and Article 128 of the draft Patents Law stipulate the protection of
Confidential Information supplied to the author ities in connection with civil judicial and
administrative procedures.
Question 89
Concerning TRIPS Article 43.2, in the situation in which a party to a proceeding voluntarily
and without good reason refuses to provide access to necessary information or otherwise
significantly impedes a procedure relating to an  enforcement action, what authority does the
judge in Cambodia have the rectify the situation?
Answer:
The draft Civil Procedure Code Article 152 provides that the court may order the holder of a
document to produce such document to the court, and the draft Civil Procedure Code Article 153
Paragraph 1 provides that when a party fails to comply with such order to produce documents, the
court may deem the other party's allegations regarding the content of such documents to be true.  In
case that the third party fails to comply with such order, the third party will be imposed a civil fine
(Article 154).WT/ACC/KHM/12
Page 36
ANNEX 1
LIST OF PESTICIDES BANNED TO USE IN THE KINGDOM OF CAMBODIA
No. COMMON NAMESFAMILYToxicity
Classifi-
cation by
WHOTRADE NAMES
I. INSECTICIDES
1 Aldicarb CA Ia
2 Aldrine O Aldrex
Aldrite
3 BHC/HCH, Lindane OC II Gamma-BHC
Gamma-HCH
4 Calcium asenate AS Ib Spra-cal
5 Camphenchlor(Toxaphene,
Polychlorcamphene)O Alltox
Camphopene
Toxakil
6 Chlordane OC II Mablet 90S
Sake Te-V88
7 Chlordimeform O Acoron
Fundex
Octachlor
8 Chlorfenvinphos/CVP OP Ib Apachlor
Birlane
9 Chlormephos OP Ia
10 Cyanthoate/Tartan O
11 Cyhexatin OT III Acarstin
Metaran
Triran
12 DDT OC II Anofex
DDT
13 Demefox O
14 Demephion-o-and-s O
15 Demeton-S-methyl OP Ib
16 Dieldrin O Dieldrite
Dieldrex
17 Disulfoton/Ethylthiodemeton OP Ia Bay
Sovirex
18 DNOC NP Ib Elgetol
Nitrador
19 Eldrine/Endrine/nendrine O Agrine
Endrotox
20 EPN OP Ia EPN
21 Ethoprop/Ethoprophos OP Ia Prophos
Jolt
22 Fensulfothion O Dasanit
23 Fonofos OP Ia Dyfonate 4 EC
24 Heptachlor OC II Drimex
Heptamul
Heptox
25 Isodrin(Isomer of Aldrine) OWT/ACC/KHM/12
Page 37
No. COMMON NAMESFAMILYToxicity
Classifi-
cation by
WHOTRADE NAMES
26 Isoxathion OP Ib Karphos
27 Lead asenate AS Ib
28 Leptophos O Abar
Fosvel
MBCP
29 Mephospholan O Cytrolane
30 Mercaptophos O Systox
31 Methamidophos OP Ib Filitox50EC, 600DD, 70 SC
Morri
Ovansu
Vindo
Giant
Monitor50EC, 50SC,70DD
Thom 50EC
Marathon
U-T 70
32 Methomyl CA Ib Lannat
33 Methidathion OP Ib Supracide
34 Methyl parathion/parathion ethyl OP Ia Folidol
Metaphos 40ND
Methylparathion
Pamakon
Parathet
Ankun-V
Validol-V
Elxydol-D
Treetox
Folez-folez
Foxintol
Suthom-M
35 Mevinphos OP Ia Phosdrin
Phoskin
Fitor
Bosdin
Famoso 240
Kvinphos 24
Lockphos
Mevinphos24DD
Sudrin
X-phos
36 Monocrotophos OP Ib Azodrin 50DD,
50 SCW
Apadrin
Tanchodrin
Worldcron
Monocrotophos
37 Oxamyl CA Ib Vydate
38 Phorate OP Ia Agrimet
Timet
39 Pentachlorophenol / PCP OC Ib PentacanWT/ACC/KHM/12
Page 38
No. COMMON NAMESFAMILYToxicity
Classifi-
cation by
WHOTRADE NAMES
Penchlorol
Pentwar
40 Phosphamidon OP Ia Dimecron
Phos-sul
41 Phosfolan O Cyolan
Cylan
42 Prothoate O Fostion
43 Schradan O Sytam
44 Terphene polychlorinate II Strabane
polychlorinate of camphene
45 TEPP O Kilmite 40
Tetron
46 Triazophos OP Ib
II. Rodenticides
47 Antu O Krysid
48 Scilliroside O Red squill
Dethdiet
Rodine
49 Talinum compound
III. HERBICIDES
50 2,4,5-T O Brochtox
Decamine
Veon
Weedar
51 Dinoseb/Dinoseb acetate,amine O Arenit
Ivosit
IV. FUNGICIDE
53 Asenic compound (AS)
54 Captafol OC Ia Difolatal
Difolatan
Merpafol
Sannspor
Folcid
55 Captan Phtgalimide
DerivativeUn Foipet
Captagil
Merpan
Captafor
Captan
56 Edifenphos OP Ib Agrosan
Hisan
57 Hexachlorobenzene OC Ia Anticaric
HCB
Termid
58 Mercury Compound ( Hg )
59 Selenium Compound ( Se )
60 Sodium Compound
V.  FUMIGANTS
62 1,1,2,2-Tetrachloroethan Org GASPAWT/ACC/KHM/12
Page 39
No. COMMON NAMESFAMILYToxicity
Classifi-
cation by
WHOTRADE NAMES
63 Ethylene Oxide Org
64 Dibromochloropropane OC Nemagon
Nemafum
65 Ethylene dibromide Org Agrogas
Bromofume
Edesol
Dibrome
66 Ethylene dichloride Org
Note:
AS Arsenic Compound
CA CarbamateCO Coumarin derivateInorg   Inorganic compoundNP Nitrophenol  derivate
O Obsolete
OC Organochlorine compoundOP Organophosphorus compoundOT Organotin compoundOrg Organic compound
__________