RESTRICTEDWORLD TRADE
ORGANIZATIONWT/ACC/ALB/39
5 July 1999
(99-2752)
Working Party on the
Accession of AlbaniaOriginal:  English
ACCESSION OF ALBANIA
Additional Questions and Replies
The following replies to questions raised by Members have been received from the Ministry
of Economic Co-operation and Trade of the Republic of Albania, with the request that they becirculated to Working Party members.
_______________
TABLE OF CONTENTS
Question Page
II. ECONOMY, ECONOMIC POLICES AND FOREIGN
TRADE
2. Economic Policies
(a) Main directions of ongoing economic policies 1 3
State ownership and privatization 4 6
(b) Monetary and fiscal policies 2 4
(d) Foreign and domestic investment policies 3 6
III. FRAMEWORK FOR MAKING AND ENFORCING
POLICIES AFFECTING FOREIGN TRADE IN GOODS AND
TRADE IN SERVICES
1. Power of the executive, legislative and judicial branches of
government5-6 12
3. Division of authority between central and sub-central
governments71 4
6. Description of judicial, arbitral  or administrative tribunals or
procedures, if any.81 5
IV. POLICIES AFFECTING TRADE IN GOODS
1. Import Regulation
(a) Registration requirements for engaging in importing 9 16(b) Characteristics of national tariff 10 17
(c) Tariff quotas, tariff exemptions 11 18
(d) Other duties and charges, specifying any charges for services
rendered12-14 18WT/ACC/ALB/39
Page 2
Question Page
(e) Quantitative import restrictions, including prohibitions, quotas
and licensing systems
(f) Import licensing procedures 15-20 23
(h) Customs valuation 21 31
(j) Pre-shipment inspection 22 33(k) Application of internal taxes on imports 23 33
(l) Rules of origin 24-25 35
(m-o) Anti-dumping and countervailing duty measures 26-27 36
2. Export Regulation
(c) Quantitative export restrictions 28 37
(f) Export financing, subsidy and promotion policies 29 38
3. Internal Policies Affecting Foreign Trade in Goods
(a) Industrial policy, including subsidy policies 30 38(b) Technical regulations and standards 31 39
(c) Sanitary and phytosanitary measures 32 42
(d) Trade-related investment measures 33 44
(e) State-trading practices 34 45
(f) Free zones 35 46(g) Free economic zones
(i) Mixing regulations 36 46
(j) Government-mandated counter-trade and barter 37 47
(l) Government procurement practices 38 47
4. Policies Affecting Foreign Trade in Agricultural Products
(e) Internal policies 39 48
V. TRADE-RELATED INTELLECTUAL PROPERTY REGIME
1. General
(d) Application of national and most-favoured-nation treatment to
foreign nationals40-45 49
2. Substantive Standards of Protection
(h) Requirements on undisclosed information, including trade
secrets and test data46-47 51
VII INSTITUTIONAL BASE FOR TRADE AND ECONOMIC
RELATIONS WITH THIRD COUNTRIES
1. Bilateral or plurilateral agreements relating to foreign trade in
goods and trade in services.48 53
2. Economic integration, customs union and free-trade area
agreements49 53WT/ACC/ALB/39
Page 3
II. ECONOMY, ECONOMIC POLICIES AND FOREIGN TRADE
2. Economic Policies(a) Main directions
Price Controls:
Question 1.We appreciate the information provided in WT/ACC/ALB/25 and 29 on Albania’s price
controls.
We would appreciate information from Albania on (a) the existing legal authority for the
application of price controls, (b) the circumstances under which Albania would contemplate
expanding the controls; and (c) the existence (or not) of legal authority to expand the range ofgoods covered to including products other than pharmaceuticals.
Under what circumstances does the Government  of Albania foresee the elimination of the
controls listed in WT/ACC/ALB/25 in the future?
We would like to see this information provided in the draft Working Party report.
Albania should also provide a list its current pr ice controls in the draft Working Party report,
by HS line item as appropriate, citi ng the reasons for their application
Reply:
There are no price controls for any goods.  For pharmaceutical products (medicine), the
government sets a reference price for each of those pharmaceutical products listed by the INN (see the
attachment for the list of 278 medicines on the INN list).  The reference price for each medicine is
computed as described in WT/ACC/ALB/25 (i.e., th e reference price = the lowest CIF import price +
a wholesale margin of 12 per cent + a retail margin of 27 per cent).  The reference price is the priceupon which the reimbursement to the retailer is based.  The consumer pays a co-payment, which is
some specified percentage of the reference price, and the State Health Care Insurance Institute pays
the remainder of the payment.  The reimbursement list and the lowest import price is published once a
year (prior to the end of the first quarter of the y ear) stating the percentage of the reference price the
consumer is to pay.  This list is disclosed to the consumer at all retail outlets.  The reference price andreimbursement scheme is based on the Law on "H ealth Insurance", Number 7870, dated 13 October
1994.  For medicines which have a higher price relative  to the reference price, the consumer must pay
the additional expense over the reference price.  Retail prices of these medicines on the INN list are
not directly affected.
For price controls on services listed in WT/ACC/ALB/25 (electricity, water, passenger
transport for railroad and urban bus transportation ) still exist.  For those sectors which will be
privatized, the electricity and water sectors, is it foreseen that the prices will be liberalized.
The following statements were requested for the Working Party report:The representative of Albania confirmed that prices for goods and services in every sector of
Albania were determined freely by market forces with the exception of those listed in the tables in
WT/ACC/ALB/25.  (See electronic attachment for INN list of pharmaceuticals and electricity, water,
rail and bus passenger transportation as listed in WT/ACC/ALB/25).WT/ACC/ALB/39
Page 4
The representative of Albania confirmed that prices for goods and services in Albania other
than for the items that will be listed in a tabulatio n were not subject to State control.  He confirmed
that Albania would apply its current state prices and any other state prices or price controls applied
from the date of accession in a WTO-consistent fashion, and would take account of the interests of
exporting WTO Members as provided for in Article  III.9 of the GATT 1994.  Albania would publish
any list of goods and services subject to State pricing or price controls in the Official Journal,including any changes in existing measures.  The Working Party took note of these commitments.
(b) Monetary and fiscal policy
Question 2.We suggest that section of the working party report include a discussion of Albania’s recent
policy goals and efforts and results in dealing with monetary variables, government revenue and
debt, and budget deficits.
Reply:
The main objective of the Bank of Albania is to achieve price stability and to maintain this
stability over time.  The monetary policy of the Bank of Albania is elaborated to serve the
achievement of price stability.  The proper monetary instruments are chosen for the same purpose.The Bank of Albania is committed to following a course of prudential and relatively strict monetary
policy, keeping the control over the growth of broad money.
The results of the monetary policy of the Bank of Albania are measured through the
realization of three quantitative monetary objectives which are mentioned below:
- maintaining a floor on net internationa l reserves of the Bank of Albania;
- maintaining a ceiling on the net domestic assets of the Bank of Albania; and
- maintaining a ceiling on the net credit of the banking system of the government.
To implement the monetary policy, Bank of Albania uses direct and indirect instruments. The
direct instruments which are used define the minimum level of interest rates for time deposits at thestate-owned banks and the limit of credit for the economy.  The indirect instruments which are used
are the percentage of refinancing and the rate of required reserves.  The Bank of Albania uses the
direct instruments more intensively than the indirect means.
In determining the interest rate for deposits, the Bank of Albania accounts for the rate of
growth in inflation to maintain stable real and pos itive interest rates to retain the public’s confidence
in the banking system.  The rate of growth in the money supply is a second instrument that is used to
determine the interest rates.
This is the framework of monetary policy that has been implemented in Albania since 1993
and it is foreseen to be implemented during three other future years. The policy and monetary
program are compiled in cooperation with IMF (i n the framework of ESAF 1 and 2 Agreements).
Results of Monetary Policy for 1998
The Bank of Albania’s main objective for 1998 was realized, even better than it was
forecasted. The annual level of inflation was 8.7 per cent compared with the 10 per cent level that was
anticipated.  (During 1997, the rate of inflation was 42.1 per cent.)WT/ACC/ALB/39
Page 5
The realization of the money supply objectives of the Bank of Albania was also at levels
better than those foreseen.  It was forecasted th at money growth would be 23 per cent at the end of
1998; however, the growth in money was only 20.7 per cent.   The net international reserves was
US$5 million US over the limit of the ceiling, providing a cover for the demand for imports.  (It was
foreseen that the level of reserves was to be 3.8 months of imports compared with 4.7 months of
imports.)   Net domestic assets of the Bank of Albania and net credit of the banking  system for thegovernment were realized at less than the ceiling.
The monetary program for 1999 was compiled in that manner to provide broad money growth
in accordance with the objective of inflation, which was foreseen to be 7 per cent on an annual level.
The level of inflation for the first five months of 1999 shows that in spite of the situation in the regionthe 7 per cent target will be realized.  This means that broad money growth will be increased about 15
per cent.
Fiscal policy:
Since 1998, the Albanian Government has implemented its macroeconomic stabilization
package.  The Government has used financial and economic measures respecting its fiscal targets,
reducing the domestically financed deficit through the combination of measures focused on an
increase of budget revenue and tightening the increase of primary expenditures.  All the domestic
fiscal efforts support the monetary policy objectives, reducing the rate of inflation to 8.7 per cent for1998 compared with 42 per cent in 1997.  This is because of a very large increase in private transfers
and the stabilization of the domestic currency.  The Government of Albania has guaranteed further
fiscal consolidation to keep its gr owth in inflation in line with its principle trading partners by 2001.
During the first 6 months of 1999, the government's fiscal deficit was stabile.  For the
remainder of 1999, the fiscal deficit, financed from domestic sources, will be reduced to 5.1 per cent
of GDP and 3 per cent of GDP by 2000, 1 per cent less than in 1998, and less than half of the level in
1997.  This reduction will support an increase of private sector credit and will facilitate an increase in
domestic savings.
The necessary measures to meet the deficit targets have been accomplished.  That is,
government revenue as a percentage of GDP is increased, primarily from tax revenue, as a result ofthe implementation of 10 per cent tax on earned interest income, receipts from excise taxes, the
solidarity tax (a supplementary income tax to finance the additional expenditures for public order after
the civil disorder of September 1998), tariff revenues, and improvements in anti-smuggling measures
at the border.  The general increase in revenue will be peak at 0.6 per cent of GDP.  From the
expenditure side, there will be savings in all areas of budget expenditures which serve as futuresources to finance the increase in operation and maintenance expenditures and government
investments as well.  To increase the expenditures in infrastructure, health, education, etc. above the
average levels and to reach fiscal consolidation, it is necessary to reduce tax rates and to broaden the
tax base.
The growth rate in GDP is forecasted to be 7.8 per cent in 1999.  The public sector
contribution to GDP will be reduced through pr ivatization and through the improvements due to
efficiencies of the government's public administration program through a reduction in the number of
employees in the public sector and increase of the salaries of technically skilled staff in the public
sector.  The GOA will implement a well functioning market for agricultural land by maintaining thefull productive capacity of the agricultural sector.
With regard to the foreign debt, the GOA has maintained its target.  At the end of 1998, the
medium and long-term foreign debt, including the arrears, is at 30 per cent of GDP.  In 1999, the
service of foreign debt is forecasted to be about US$26 million, or 8.5 per cent of exports on goodsWT/ACC/ALB/39
Page 6
and services and less than 1 per cent of GDP.  Albania has had very positive results in the payments of
arrears.  The GOA will continue its efforts to improve its relations with foreign creditors.  Albania
aims to terminate the bilateral agreements with Russi a and Italy for renegotiating the terms of its debt,
and it has begun the negotiations with other creditors to make payments of arrears at least in line with
competitive conditions with those of the Paris Club Convention.  Finally, the GOA aims to improve
the control over foreign debt and foreign aid, and to improve measures to utilize the sources of aidfunding.
(c) Foreign and domestic investment policies.
Question 3.The treatment of this issue in the factual summar y isn’t clear as to the sorts of controls and
requirements faced by importers and investors in  acquiring and repatriating foreign exchange.
We would appreciate a more detained and clearer treatment.
For example, WT/ACC/ALB/30 states: “There are no restrictions on the access to foreign
exchange to an amount of foreign exchange attrib utable to a foreign enterprise.  That is, there
are no provisions in the Law that restrict exchange  such that imports are, in effect, restricted.
Foreign exchange controls do not exist as a means to restrict or limit imports.”
We would like to see this sort of information refl ected in this section of the draft Working Party
report.
Reply:
In addition to what is stated in WT/ACC/ALB/30, Albania clarifies that its legislation does
not apply any restrictions on foreign exchange related to any type of investment, the quantity of an
investment, the amount of foreign currency that can be exchanged, and the ability of foreign investors
to repatriate their profits in foreign currencies or in Lek which are earned through their investment
(e.g., every type of investment including deposits) and/or the initial capital invested.
The following statement was requested for the draft Working Party report:There are no restrictions on the access to foreign exchange to an amount of foreign exchange
attributable to a foreign enterprise. That is, there are no provisions in the Law that restrict exchange
such that imports are, in effect, restricted. Foreign exchange controls do not exist as a means to
restrict or limit imports.
(f) Privatization policy
Question 4.
We thank Albania for the information provided to date on privatization.
The information on privatization of strategic industries provided in WT/ACC/ALB/28 is very
unclear, however.  There is no information on the type of firms or enterprises that have already
been privatized and how that was done.  And it appears that most privatization of “strategic”
enterprises will occur in the future.
It appears from this report that in certain areas,  there has not been even partial privatization of
State holdings and there is no indication that private institutions exist in parallel to provide
competition.  We believe that this is not a fu lly accurate picture of Albania’s privatization
program.WT/ACC/ALB/39
Page 7
Could Albania provide additional clarification on these points, including information on the
right of establishment of competing institutions, e.g., in the banking and telecommunications
sector.
What does “optimizing the number of the employees” mean, e.g., in the context of the four
restructured companies made from Albpetrol?
We need information on the “golden share” and other forms of government control that are
intended in these enterprises.
Albania stated in WT/ACC/ALB/28:
“The total number of State enterprises covered by the Central Agency for Restructuring and
Privatization has been 341 included about 70,000 obje cts to a total value of Leks 5 billion.  Only
300 objects have remained non privatized and it is  foreseen that all of them will be privatized
within the first 6 months of 1999.”
What is the difference between “objects” and enterprises?  What sort of firms and enterprises
in what sectors have been “privatized”, by what means, over what period of time, and what
state owned firms remain?
Albania stated in WT/ACC/ALB/28:“According to the Law “On Privatization of Co mmercial Enterprises Which Function in Non-
Strategic Sectors” the privatization of these enterprises will be made by auctions which will beorganized by the National Agency of Privatizatio n or by tender.  The privatization is open to
foreigners.
The total number of the subjects with State-owne d capitals is 469.  They are divided according
to the type of entity as follows:
- State enterprise for sales of assets             255
- State enterprises under the procedure of transformation  67
- Companies with 100 per cent State capitals  29
- Companies with State capital less than 100 per cent  15
- Joint venture companies 103
Last year, the procedure of transformation and privatization started of 332 objects with
different status of their activity and up to now are privatized 194 objects.
The documents of 91 objects are sent to National Agency of Privatization.  These objects will be
sold by auction.
During the year 1999 will continue the procedures of selling, privatization of State enterprises,
that represent 297 objects.
Privatization is an ongoing process.  So Alba nia will provide new data in the future months.”
We would like to see this information clarified and provided in a more usable fashion, so that
delegations can have some idea of the scope and progress of privatization.
The information in the table in WT/ACC/ALB/28 is unclear.  Albania should consult the tablesWT/ACC/ALB/39
Page 8
provided by Latvia, Kyrgyz Republic, and Estonia in developing the needed information on
progress in the privatization program for inclusion in the Working Party report.
In this regard, we propose that the following info rmation, at a minimum, be provided in such a
table, for each year for a recent representative period:
(a) the total number of state firms certified for privatization and the total number privatized
each year and the number left to be privatized;  (b) the kinds of firms that were privatized, e.g.,
services, agricultural, manufacturing, construction , initially that existing in each period; (c)
information on the size of firms privatized and the portion of output and trade represented by
privately owned firms;  (d) as necessary, information on state firms liquidated rather thanprivatized.
Albania’s presentation on privatization in WT/ACC/ALB/28 and previous indicate that its
privatization program and other aspects of economic reform are ongoing.  We seek a
commitment from Albania in the Working Party report to report on its privatization program
until it is completed and on other aspects of its economic reform and restructuring program.
Reply:
According to the schedule on services, the right of establishment of competing banks is fully
liberal (none for mode 3).  For telecommunications for fixed telephony services, the liberalization of
the market will be 1 January 2003 and described in the schedule.  For GSM services, the market will
be liberalized by the end of 1999.  For all other telecommunication services, the market is fully
liberalized.  See the schedule on services for more detail.
Optimizing the number of employees at Albpetrol (the state-owned oil enterprise) means
reducing the total number of employees to a market-determined hiring level.
According to the Law on "Privatization Strategy of Sectors of Primary Importance", No.
8306, dated 14 March 1998, the participation with vouchers in the privatization of enterprises in the
primary sector is determined by a privatization formula, but in any case it will not be more than 20 per
cent of the accounted capital.
According to the Law on "Privatization Strategy of Sectors of Primary Importance", No.
8306, dated 14 March 1998, the state reserves the right to decide upon issues related to strategic and
public interest for the "golden share" but will not use this share to influence production or operational
decisions of the privatized firm.  The "golden share" can be limited in time, and will be part of thecontract with the investor.  The Government of Albania emphasizes that the golden share has not yet
applied in the privatization of any strategic enterprises.
The difference between objects and enterprises is as follows: an object is merely an asset of
an enterprise that is under the privatization program.   When an enterprise is sold through a liquidation
process or if the enterprise has been destroyed over time, then the privatization will be based on the
sale of assets rather than in its entirety of the enterprise.
Tables with privatization information are provid ed in the following pages.  In Table A, the
total number of state-owned enterprises certified for privatization and the total number of firmsprivatized, and left to be privatized is presented.  In Table B, production of goods and services in
value, by industry, by state-owned enterprises is presented.  In Table C, the contribution of state-
owned enterprises, by industry, to GDP as a percentage share is presented.
The following statement was requested for the draft Working Party report:WT/ACC/ALB/39
Page 9
The representative of Albania confirmed the readiness of Albania to ensure the transparency
of its ongoing privatization programme and to keep  WTO Members informed in its progress in the
reform of its transforming economic trade regime. He stated that its Government would provide
annual reports to WTO Members on developments in its programme of privatization as long as
privatization programme would be in existence along the lines of that provided to the Working Party.He also stated that his Government would provide annual reports on other issues related to its
economic reforms as relevant to its obligations under the WTO. The Working Party took notes of this
commitments.
Table A.  State-Owned Enterprises, by Sector, 1991 and 1998*
Number of Enterprises
Left to be Privatized
1991** 1998Deadline for privatization
or expected completion
Service and trade 623 48 End of 1999
Agriculture 365 93 End of 1999
Food processing 292 41 Second half of 1999
Construction and construction materials 247 31 Second half of 1999
Transportation 142 56 After 2000
Miscellaneous (pharmaceuticals, education) 107 49 Second half of 1999
Wood and paper 98 29 Second half of 1999
Handicraft production 89 10 Second half of 1999
Mechanic industry 85 31 Second half of 1999
Textiles and clothing 60 23 Second half of 1999
Tourism 44 1 Second half of 1999
Typography 29 4 Second half of 1999
Chemical and plastics industry 28 20 Second half of 1999
Metallurgic industry 14 5 Second half of 1999
Leather industry 12 4 Second half of 1999
Oil and gas 69 4 End of 2000
Mineral industry 66 17 First half of 1999
Energy 64 4 End of 2000
Telecommunications 2 2 End of 1999
Total 2,436 472
Notes:
* Data are not available for a year-by-year presentation.
** The data in 1991 have been aggregated in such a manner that they are consistent with those from
1998.  For example, the postal enterprise for each region was counted as a separate state-ownedenterprise in 1991; however, for the purposes of  privatization, the postal enterprise has been
converted into one in the 1998 data.
1. This table does not include enterprises owned by the Ministry of Defense.
2. Some of the enterprises have been entirely reconstructed and now belong to the strategic sector.
3. The privatization of the strategic sectors has not started yet and shall be performed.4. From the above tabled enterprises, about 40 are excluded from the process of privatization in
compliance with the request for order, health and other social enterprises.WT/ACC/ALB/39
Page 10
Table B.  Production of Goods and Services by State-Owned Enterprises, by Industry
1992 1993 1994 1995 1996 1997 1998
Million Leke
Production of Goods 14,852.9 21,268.2 20,693.8 25,728.7 27,864.3 24,112.3 24,142.8
Oil: Albpetroli 5,402.2 7,933.8 9,154.6 11,093.6 9,873.5 9,611.0 10,886.9
Electricity: KESH 2,116.9 2,870.5 2,885.1 4,433.3 11,231.0 8,648.1 7,753.1
Mining: 3,452.6 4,662.6 4,286.1 6,888.6 4,599.7 3,663.1 3,293.4
    Chromium: Albchromium 1,578.3 2,377.3 2,547.2 4,761.7 3,286.6 3,434.1 2,854.5
    Copper: Albcopper 1,342.8 1,660.4 1,199.4 1,642.6 972.4 112.9 296.7
    Coal 531.5 624.9 539.5 484.3 340.7 116.1 142.2
Other industries 3,881.2 5,801.3 4,368.0 3,313.2 2,160.1 2,190.1 2,209.4
    Metallurgy 342.8 685.8 858.2 974.5 1,079.2 1,111.9 1,119.3
    Mechanics 513.2 811.5 837.0 587.0 82.6 66.3 80.5
    Polygraphs 164.9 345.9 321.9 298.3 57.0 77.7 184.9
    Chemicals, glass, porcelain, rubber 645.1 1,085.4 820.0 495.4 407.3 320.7 207.6
    Textiles and clothes 1,390.1 1,739.0 758.7 303.5 297.8 301.5 315.3
    Leather and shoes 350.6 85.5 225.5 300.5 290.4
    Wood and paper products 521.2 811.3 280.0 465.2 10.7 11.5 11.4
    Arts and crafts 303.9 322.4 141.6 103.8
Production of Services 77.9 2,216.4 2,632.0 3,294.1 5,038.2 6,331.4 6,213.9
Postal enterprise 77.9 192.3 253.0 340.8 570.4 701.1 547.9
Telecommunications 2,024.1 2,379.0 2,953.3 4,192.8 4,932.3 4,661.1
Albanian Mobile (phone) Company 275.0 698.0 1,004.9
Gross Domestic Product 50697 125334 184393 229793 280998 341716 456766WT/ACC/ALB/39
Page 11Table C.  The Contribution to GDP by State-Owned Enterprises, by Industry
1992 1993 1994 1995 1996 1997 1998
Contribution by Sector: Percentage Share of GDP
Total Contribution in the Goods Sector 29.3 27.5 11.2 11.0 9.7 6.9 5.1
Oil: Albpetroli 10.7 6.3 5.0 4.8 3.5 2.8 2.4
Electricity: KESH 4.2 2.3 1.6 1.9 4.0 2.5 1.7
Total from mining industries: 6.8 3.7 2.3 3.0 .6 1.1 0.7
      Chromium: Albchromium 3.1 1.9 1.4 2.1 1.2 1.0 0.6
      Copper: Albcopper 2.6 1.3 0.7 0.7 0.3 0.0 0.1
      Coal 1.0 0.5 0.3 0.2 0.1 0.0 0.0
Total of other industries 7.6 4.6 2.3 1.3 0.6 0.5 0.3
      Metallurgy 0.7 0.5 0.5 0.4 0.4 0.3 0.2
      Mechanics 1.0 0.6 0.5 0.3 0.0 0.0 0.0
      Polygraphs 0.3 0.3 0.2 0.1 0.0 0.0 0.0
      Chemicals, glass, porcelain, rubber 1.3 0.9 0.4 0.2 0.1 0.1 0.0
      Textiles and clothes 2.7 1.4 0.4 0.1 0.1 0.1 0.1
      Leather and shoes
      Wood and paper products 1.0 0.6 0.2 0.2 0.0 0.0 0.0
      Arts and crafts 0.6 0.3 0.1 0.0 - - -
Contribution of Selected Services
Postal enterprise 0.2 0.2 0.l 0.1 0.2 0.2 0.1
Telecommunications - 1.6 1.3 1.3 1.5 1.4 1.0
Albanian Mobile (phone) Company 0.1 0.2 0.2WT/ACC/ALB/39
Page 12
III. FRAMEWORK FOR MAKI NG AND ENFORCING POLICIES AFFECTING
FOREIGN TRADE IN GOODS AND TRADE IN SERVICES
1. Power of  the Executive,  Legislative and Judicial Branches of GovernmentQuestion 5.Are borders controlled by federal authoritie s or are they controlled by sub-federal
organizations?  Please describe each of the border enforcement systems currently in place in
Albania.
Reply
Albanian borders are controlled by central customs authorities of the Albanian State.
(a) In Albania there is already a legal base that ensures a system of border measures for the
prohibition of counterfeit or pirated goods that infringe and violate intellectual property rights.  Thepreparation and drafting of this legal base has been completed aiming at an effective guarantee of the
enforcement of the intellectual property rights in  Albania in  compliance with the TRIPs agreement.
The law No. 8449, of 27 January 1999, “The Customs Code in the Republic of Albania”, in
Article 82, paragraph 4, gives to the customs authorities the competence to intervene, upon request of
an holder of an intellectual property right for stopping the free circulation, export, re-export and placeunder suspension measures goods recognized as counterfeit or pirated.
The procedures of this intervention of customs authorities are established in the Decision of
the Council of Ministers No. 205 dated 13 April 1999.  The implementing provisions on Customs
Code. The first part of this decision defines counterfeit and pirated goods according to Article 82 ofthe Customs Code.  Whereas Title 9 defines the procedures of action of customs authorities.
According to Point 119, the customs authorities take act ion after an application in written form of the
holder of the right, when the counterfeit or pirated goods are released for free circulation under a
transit procedure or a procedure with economic impact.
The application of the holder of the right shall be in written and contain a sufficiently detailed
description of the goods to enable the customs auth orities to recognize them, the length of the period
during which the customs officers are requested to take action and any other useful information to
identify the exporter and the importer.  The application shall be accompanied by proof that the
applicant is holder of a trade mark, production license, copyright etc.
The customs authorities examine the application notifying the applicant within 5 days
whether it has been taken into account.  When the application is accepted the decision of the General
Directorate shall be notified promptly to all customs offices.  This decision determines a period within
which the customs authorities may intervene.
The decision may foresee that the applicant shall forward a down payment, subject to
repayment of any excess amount, to cover any administrative charges occurred to the customs
administration for carrying out the services.  If the applicant shall not agree with the given amount,
the General Directorate shall review it.
Point 120 of the Decision of the Council of Ministers No. 205 defines the control procedures
of counterfeit and pirated goods according to the description of the rights’ holder and after continuos
counseling with him.WT/ACC/ALB/39
Page 13
When customs authorities prove that the controlled goods correspond to the description of the
applicant they suspend their release or seize the goods depending on the circumstances and visible
proof.  They have to notify the applicant immediately about the action taken. In accordance with the
legislation in force regarding the protection of professional, commercial and industrial secrecy, the
customs authorities notify the holder of the right of the name and address of the declarant, and if
known, the name of the consignee of the goods, with a view to allow the applicant to take the legal
action provided by the legislation in force in the field.
If the applicant requests to inspect the suspended or seized goods, the custom authorities
allow him to do so.
After notification of the decision of the Ge neral Customs Directorate for the suspension of
seizure of the goods, the holder of the right has the ri ght to appeal to the competent judicial bodies for
the damage incurred to him and to require compensation, but he has to notify the customs authorities
within 20 days.  If the holder of the rights does not notify the customs authorities in 20 days, they
suspend the decision for the suspension or seizure of the goods, and release these goods.
If the charges of the applicant are not proven, and damage has been incurred to the importer
or any third party as a result of the intervention of  the customs authorities, the applicant is responsible
and must compensate for the damage made.  The applicant must make a down payment for storing
expenses of the goods.
Question 6.
The responses in WT/ACC/ALB/29 did not address the following questions.  We seek more
specific responses.
Please indicate the status of WTO provisions in  Albanian law after ratification vis-a-vis laws
still in place in Albania that may not conform to these provisions.
- Specifically, how will the tariff and services commitments in Albania’s goods and
services market access schedules become the law of the land in Albania?
- In the absence of specific legislation, are WTO provisions self executing in Albania after
ratification, or does the ratification law directly implement their provisions?
- Will it be necessary to repeal conflicting law and regulation to enforce WTO provisions?
We seek a commitment in the protocol from Albania that, at the latest upon entry into force of
the Protocol of Accession, Albania would subm it all initial notifications required by any
Agreement constituting part of the WTO Agreement.
Reply:
According to Law 8417, dated 21 October 1998, "O n the Approval of the Constitution of the
Republic of Albania", membership of Albania in the WTO shall be ratified by a special law in the
Albanian parliament.  All WTO Agreements (including market access schedules for goods and
services) will be approved simultaneously with the ratification of the special law.  Specific legislation
that is in compliance with WTO provisions are pa ssed separately (from the special law) and will be
laws in full force at the time of accession.  The ratification of the special law will be passed according
to Articles 121 and 122 of the Constitution, Chapter II "International Agreement", the follow is stated:WT/ACC/ALB/39
Page 14
The ratification and denunciation of international agreements by the Republic of Albania is
done by law if they have to do with (a) membership of the Republic of Albania in international
organizations (Article 1212, 1/c) and (b) the undertaking of financial obligations by the Republic of
Albania (Article 121, 1/d).  According to Article 122 of the Constitution of Albania, Chapter II of
"International Agreements", an international agreemen t that has been ratified by law supercedes any
other Albanian law that is not compatible with the international agreement (Article 122/2).  The
norms issued by an international organization supercede Albanian law in case when Albania is a
signatory to the international agreement and has been ratified by the Republic of Albania for
participation in the organization (Article 122/3).  As a result, it will not be necessary to repeal
conflicting law and regulation to enforce WTO provisions.
The following statement was requested for the Working Party report:Albania commits that, at the latest, upon entry into force of the Protocol of Accession,
Albania will submit all the initial notifications required by any Agreement constituting part of the
WTO Agreement.
3. Division of Authority Between Central and Sub-Central  Form of  Government
Question 7.Albania’s reply to question no. 7 in WT/ACC/ALB/29 was not responsive.Does Albania have sub-central authorities, and if so, do they have the authority to enact
measures on issues subject to WTO Agreements, e.g., taxes, fees, and price controls applied to
imports, investment requirements, subsidies, etc.?
What authority is held by the Government of  Albania to override decisions by subcentral
authorities that conflict with WTO provisions .  How do traders secure central Government
action to enforce WTO provisions, e.g., will the Government act on its own capacity, or do
traders need to go through the courts or othe r enforcement mechanisms to secure action?
Reply
Albania does have sub-central authorities; however, these authorities cannot enact measures
on issues subject to WTO Agreements, e.g., taxes, fees, and price controls applied to imports,
investment requirements, subsidies or any other.
Sub-central authorities cannot enact measures on issues subject to WTO Agreements; hence,
there will not be cases where there are conflicts with the Government of Albania.
The following statement was requested for the Working Party report:The representative of Albania confirmed that sub-central entities had no autonomous
authority over issues of subsidies, taxation, trade policy or any other measures covered by WTO
provisions.  He confirmed that the provisions  of the WTO Agreement, including the Albanian
Protocol, shall be applied uniformly throughout its customs territory and other territories under its
control, including in regions engaging in border trade or frontier traffic, special economic zones, and
other areas where special regimes for tariffs, taxes and regulations are established.  He added thatwhen apprized of a situation where WTO provisions were not being applied or where applied in a
non-uniform manner, central authorities would act to enforce WTO provisions without requiring
affected parties to petition through the courts.  The Working Party took note of these commitments.WT/ACC/ALB/39
Page 15
6. Description of Judicial, Arbitral or Administrative Tribunals or
Question 8.The response to question 8 in WT/ACC/ALB/29 was not responsive.Please describe the administrative appeals process, e.g., within the customs service or Ministries
responsible for the administration of import measures, for customs and other issues covered by
WTO provisions.
Please indicate specifically how a trader can appe al an administrative decision to either a court
or other independent tribunal, i.e., does the appe al go to first or second degree courts?  If the
former, what courts?
Reply:
The Customs Code of the Republic of Alba nia, Law Number 8449, dated 27 January 1999,
Articles 19, 20 and  289, specifies the process of appeals.  The appeals process for the application of
customs rules apply to Articles 19, 20 of the Customs Code.  If a trader does not agree with a customs
administrative decision, he can appeal to the Chief of the Customs Office in the Field.  A subsequent
appeal can be made within 10 days from the day of notification to the General Directorate of
Customs.  The Director General shall take a decision within 20 days from the date the appeal wasreceived.  In the event the Director General of Customs does not reply within this term, the request
shall be presumed to have been accepted.  According to Article 289, which relates to verification of
customs valuations, if the Director General rejects the appeal, the trader can involve the juridical
organs.  The procedures are based on the relevant articles of the Civil Code of the Republic of Albania
and the relevant articles of the Code of Civil Procedures.  The complaint against an administrativedecision shall be made at the administrative sector in the Factual Court which is located at the place of
residence of one of the parties involved.  Parties have the right to appeal the administrative decision of
the Factual Court to the Appeals Court.  Such an appeal shall be reviewed by the administrative sector
of the Court of Appeals (Appellate Court).  Finally, the last appeal is to the High Court and its
decision is final and cannot be appealed.
If a trader does not agree with an administrative decision, then he has the right to appeal to the
head of the administrative office, and such an appeal  is considered to be the first appellate level.  If
the trader does not agree with decision of the head of the administrative office, he can take another
appeal to the General Director of the administrative body within the Ministry to file a second appeal.
A third appeal at the administrative level can be made with the Appellate Committee.  Furthermore,
the trader has the right to go to a tribunal which also has three levels.  The first level of appeals ismade at the Factual Court which are located in every district.  The second level is called the Appellate
Court and there are six such courts throughout the Republic. The last level is the High Court and its
decision is final and cannot be appealed.WT/ACC/ALB/39
Page 16
IV. POLICIES AFFECTING TRADE IN GOODS
1. Import Regulation(a) Registration requirements for engaging in importing
Question 9.The response to question 9 in WT/ACC/ALB/29 was not responsive.  ALB/35 refers to the need
for an “activity license” to import seeds and saplings.  We want information on all forms of
activity licensing in Albania, in particular where it is required for importation.
Does Albania license specific activities (e.g., to wholesale or import alcoholic beverages, to
distribute tobacco products, to import seeds and saplings)?
Does Albania have specific licensing requirements for firms or individuals to engage in
international trade?  If so, please list the activities covered.
How does an importer obtain an activity licence?  Is this a one-time licence?  What criteria are
used to issue this licence?
Can individuals who have not registered as companies with the Courts of first degree import?
Can individuals who have not registered with the Courts of first degree conduct domestic trade
activities?  If there is a difference in the answers to these questions, please explain why?
Please describe any activity licensing for im porters and how these requirements compare with
requirements applied for activities relating to similar domestic goods, and explain why there are
differences, if these occur.
We seek a confirmation from Albania in its Wo rking Party report and protocol that its activity
licensing regime and other provisions of law do not restrict trading rights
Reply:
There was some misunderstanding with regard to licensing activities in previous
documentation.  All importers must be registered with the Court of first degree and with the proper
Tax Office.  When a natural and juridical subject registers with the Tax Office, that subject is then
registered to engage in some trading activity(ies), i.e., import, export, transport, wholesaling and/or
other marketing activities.  This is what was refe rred to as an activity license in the previous
documentation.  The information presented in the updated Memorandum on Import Licensing andProhibitions on Importable Products should help to clarify this point.
Licensing for imports are required for arms and munitions (and parts or accessories thereof);
explosives, pyrotechnic products, matches, pyrophoric alloys; nuclear materials; non-dangerous
waste; narcotic drugs and psychotropic substances; pharmaceutical products; seeds and seedlings;pesticides, live animals and livestock products; fish and seafood products; eggs; wool; and leather.
The procedures are specified in the updated Memorandum on Import Licensing and Prohibitions on
Importable Products.  For all other agricultural commodities and industrial goods, the importer need
only register with the Court of first degree and with the proper Tax Office. It is during the registration
with the Tax Office that the importer is granted the right to engage in specific trading activities (e.g.,
import, export, transport, or other marketing activities).
The registration process (and the right to engage  in some trading activity) with the Tax Office
is a one-time process.  For those items listed in the previous paragraph, licensing is required each timeWT/ACC/ALB/39
Page 17
one imports (rather than multiple imports during the course of a specified period, e.g., one year).
These cases apply only to livestock and livestock products; pesticides; and fish and seafood products.
All subjects, persons or companies, must be registered with the Court of first degree to import
or engage in any trading or marketing activity, including domestic trade activities.
As stated previously, the activity license referr ed to in previous documentation is, in fact, a
part of the registration with the Tax Office which grants natural or juridical subjects the right to
engage in specific trading activi ties.  This applies to imported and domestic products, in exactly the
same manner.
Statement on the activity licensing regime and other provisions of law that do not restrict
trading rights.
The representative of Albania confirmed that the former state foreign trade monopoly had
been abolished and that no restrictions existed on the right of foreign and domestic individuals and
enterprises to import and export goods within Albani a's customs territory, with the exception that the
importation and exportation of goods under license could be undertaken only by registered firms, and
with the exception of a requirement to register for the right to engage in a trading activity listed in the
Tables in WT/ACC/ALB/35/Rev.1 (see updated Memorandum on Import Licensing and Prohibition
on Importable Products).  The importation or exportation of products covered by the requirement to
register for the right to engage in a trading activity  were subject only to requirements consistent with
the WTO Agreement. The requirement to register for the right to engage in a trading activity did not
restrict foreign participation as they applied equally to foreign and domestic businesses.  The
requirement to register for the right to engage in a trading activity were administered for the purposes
of filing with the authorities of the Tax Office.
The criteria for the right to engage in a trading act ivity are as follows: prior to applying for a license
to import products requiring licensing, a person or enterprise must be registered in the Court of first
degree to become a natural or juridical subject, and then must be registered with the Tax Office.  The
tax registration process registers the individual/firm as having the right to engage in specific trading
activity (i.e., import, export, transport, or other marketing activities).  They were published in the
Official Journal.  The criteria for engaging in import and export trade in the restricted sectors were
consistent with generally applicable restrictions placed on trade in similarly domestically producedgoods.  The availability to register for the right to engage in a trading activity was not restricted nor
was the licensing applied to restrict imports, production, wholesale or retail trade in any product.
The representative of Albania confirmed that from the date of accession Albania would ensure that its
laws and regulations relating to trade in goods and all fees, charges or taxes levied on such rightswould be in full conformity with its WTO obligations, including Articles VIII:1XI:1 and III:2 and 4 of
the GATT 1994 and that it would also implement such laws and regulations in full conformity with
these obligations.  The Working Party took note of this commitment.
(b) Characteristics of national tariff
Question 10.The response to question 10 in WT/ACC/ALB/29 was not responsive.
We asked for the current status of “special duties”.  In WT/ACC/ALB/23/Rev.1, Albania had
stated that it would be defining “special dutie s” in relation to AD/CVD legislation.  As of that
writing, Law No. 7609 "On Customs Tariffs" prov ided information on special customs duties,WT/ACC/ALB/39
Page 18
anti-dumping duties, and countervailing duties.  We sought Albania’s clarification on these
points.
We would appreciate a response to the question, i.e., what is the current status of “special
duties” in the Albanian trade regime?  Are they still authorized?  Are any in effect?  Will the
authority to apply them be repealed, e.g., in th e context of establishing WTO-consistent trade
remedy legislation?
Reply:
Article 28 of the Customs Code defines the elements constituting the tariffs.  Article 28, 3(f),
of the Customs Code specifies the other tariff measures provided for in the framework of Albaniantrade policy.  The Law on "Antidumping", No. 8466, dated 24 March 1999 specifies the conditions
upon which antidumping duties shall be levied and the computation of such duties.  A copy of the
Law on "Antidumping" has been sent to the Secretariat (WT/ACC/ALB/38)§
(c) Tariff quotas, tariff exemptions
Question 11.Albania states in the response to question 11 of WT/ACC/ALB/29, that since 1 January 1998 all
machinery and equipment imported as invest ments are not exempted from customs duties.
Has Law 8163 (7 November 1996) been repealed, or has the practice simply been allowed to
lapse?  Does Albania intend to resume such tariff exemptions, and if so, under what legal
authority?
Reply:
Albania has no tariff quotas.  With the adoption of the Customs Code on 15 May 1999, all
tariff exemptions are provided in Article 199 and explained in Article 477-560 of the Implementing
Provisions of the Customs Code.  The Customs Code (Title VI, Chapter 1, Article 199, paragraphs 1,
2) does outline the conditions for all relief from import duties.  Paragraph 3 states that relief from
import duties may be provided for as specified in bilateral or multilateral agreements in accordancewith the provisions of such agreements.
(d) Other duties and charges, specifying any charges for services rendered
Question 12.Please clarify the response to question 12 of WT/ACC/ALB/29Does Albania contend that it has no charges on imports of any kind other than tariffs and
domestic taxes?
Does Albania have any customs charges on imports or exports?  If so, please list them in the
Working Party report.
WT/ACC/ALB/10 summarizes the provisions of the law "On the tax system in the Republic of
Albania" adopted in 1992 and amended in 1993 and 1994.”  It states that the law and its
amendments establish national and local taxes and fees for a broad range of services and
activities, including fees for “harbour use”, “consular services”, and “document stamps”.WT/ACC/ALB/39
Page 19
Please list Albania’s fees for harbor use, for consular services, and for document stamps.  Are
any of these fees charged on the importation of goods or the processing of importation
documents?  If so, please indicate how and where these fees are charged and describe the
services rendered for the charge.  Are any of  these fees of an “ad valorem” nature?
Does Albania require authentication of  import/e xport documents by its consulates overseas?  If
so, does it charge for this service?
Reply:
Albania has no charges on imports of any kind other than tariffs and domestic taxes and
commits to having no such charges at the time of accession.
Albania has no customs charges on imports or exports other than tariffs and domestic taxes
and commits to having no such charges at the time of accession.
The following table lists the broad range of services and activities, including fees for harbour
use, consular services, etc. that were
For each net ton of
ships registerTotal for each ship
The type of taxes
Taxes in US Dollars
1. Harbour taxes on ships
A For ships that load and unload general
goods
B For ships that load and unload liquid
goods
C For freighters RO/RO and passenger
freighters
D For sportive ships, yachts
- up to 30 TRN
- from 31 up to 70 TRN0.4
0.60.35
15
30
2. Tax for the beacon
- for ships up to 200 TRN
- for ships from 201 up to 500 TRN
- for ships above 501 TRN0.10
20
50
3. Tax on the formalities carried out by the
health authorities, capiteniery and other
authorities- for ships up to 200 TRN
- for ships from 201 up to 500 TRN
- for ships from 501 up to 2000 TRN
- for ships from 2001 to 4000 TRN
- for ships above 40010.25
100
180
210
300
4. The ships that load water for export in places outside the harbour, pay harbour taxes total 300USUS$ for each supply.
5. Foreign ships pay the harbour taxes on hard currency, whereas the juridical and natural personsregistered in the Republic of Albania pay in hard currency or lek in the ratio with the income.
6. Harbour taxes are paid at the first entrance of any Albanian harbour, independent of whether the
ship will go for other commercial transactions in other Albanian harbours during the same cruise.
7. Taxes are not based on an ad valorem basis.WT/ACC/ALB/39
Page 20
The following table lists the taxes for consular services, including those charges by its
consulates overseas.
Taxes for Consular Services
Type of consular service taxes Fee in US$US or
Leke
1. Taxes for issuing of visas and other travel documents
a. For issuing travel passports
b. For issuing travel passports for diplomatic purposes
c. Extension of the passport term by diplomatic groups
d. For entrance concession
e. Entrance concession issued by diplomatic groups
f. Visa for foreignersg. Entrance in the territory of the Republic of Albania
    for foreigners who do not a visa2000 leke
US$100
US$30
200 leke
US$30
Reciprocity
Reciprocity
2. Taxes for issuing, verification and legalization of documents
a. Any type of certification issued by missions for Albanian citizens
b. Any kind of certification issued by the missions for foreign citizensc. Any type of attestation issued by the missions for Albanian citizens
d. Any type of attestation issued by missions for foreign citizens
e. Verification of documents by missions
f. Legalization of documents for Albanian citizens by the
    Ministry of Foreign Affairsg. Legalization of documents by missions for Albanian citizens
h. Legalization of documents for foreign citizensUS$30
Reciprocity
US$30
Reciprocity
US$10
200 leke
US$30
Reciprocity
3. Taxes for issuing and drafting of other notary acts and translation of
documents by the missions
a. Drafting of declarations, authorizations, wills, contracts,
    guarantees and special proxies by missions
b. Certification of duplicates and copies
c. Translation of documentsUS$20/page
US$20/page
US$10/page
Note: The term mission refers to diplomatic or consular missions outside the country.  The fee maybe paid also in the local currency according to the prevailing exchange rate.
Two statements for the Working Party report related to customs charges should read as
follows:
The representative of Albania confirmed that, from the date of accession, Albania would not
apply, introduce, or reintroduce customs or other fees for "services rendered" that were applied toimports on an ad valorem basis.  Fees applied for import processing or other purposes on imports
would be applied in conformity with WTO obligations, in particular Articles VIII and X of the
GATT 1994.  Information regarding the application and level of such fees, revenues collected and
their use, would be provided to WTO Members upon request.  The Working Party took note of these
commitments.WT/ACC/ALB/39
Page 21
The representative of Albania stated that Albania levied no duties and charges on imports
other than ordinary customs duties and charges for services rendered.  Any such charges applied to
imports after accession would be in accordance with WTO provisions.  He further confirmed that
Albania would not list any other charges in its Goods Market Access Schedule under Article II:1(b) or
GATT 1994, binding such charges at "zero".
Question 13.
To be in full compliance with TBT Agreement Albania is preparing a separate decree of the
government which in practice will adopt the Articles  2, 5, 6, 8 and  9, of the TBT, as they are.
The articles 3 and 7 are not included because in Albania the technical regulation are prepared
by ministries or central public institutions and not by local administration.  This draft isdistributed to different ministries and we think that it will be approved at the end of July.
Please note that in the Law on Standardizatio n, the translator forgot to translate the last
paragraph of the article 4.  This paragraph states:  The ministries and the other central public
institutions are responsible for the preparation and the implementation of technical regulations
in all fields for which there are responsible.
The decree - “Code of Good Practice for  th e Preparation, Adoption and Application of
Standards” is approved by the Council of Ministers (No. 242, dated 28 May 1999).  In practice it
will endorse the code as it is in the annex 3 of  TBT Agreement.
The decree – Criteria and Competencies Related to Standardization, Certification and
Accreditation - is dealing mainly with the three activities covered by the General Directorate of
Standardization.  The draft is distributed to different ministries for comments and we think it
will be approved by the end of June.
The decree – On Exchange of Information on St andards and Technical Regulation- is prepared
as draft.  This draft endorse the articles 10.1, 10.1.1, 10.1.2, 10.1.3. 10.1.4, 10.1.5, 10.1.6, 10.4,
10.7, 10.8, 10.9. 10.11, of the TBT Agreement.  The draft is distributed to different ministries for
comments and we think it will be approved by the end of June.
Reply
Explanation regarding the “experimental standard”.
By experimental standards we mean a document prepared as a prospective standards for
provisional application in areas of technology where there is a high level of innovation or where anurgent need for guidance is felt, and where the safety of persons and goods is not involved.  The time
for its preparation is therefore reduced; once adopted this standards is subject to an experimental
period of up to three years, with a view to its transformation into a standard.
Explanation regarding “Code of Good Practice”Our Code of Good Practice is relevant only to  standards and not to conformity assessment
procedures. Those procedures are subject of the decree above mentioned at the statement.  This is not
the Albanian's Custom Code.
Regarding the “ notification, publication, and other internal procedures” we clarify that those
are included in the decree “ On Exchange of Information on Standards and Technical Regulation”WT/ACC/ALB/39
Page 22
Regarding the “notification of draft standards and provide an opportunity for public
comment” we clarify that they are part of our  Code of Good Practice for Standards mentioned in the
statement.  The code will be in operation 15 day after the publishing in the official journal of the
decree which endorsed it.
Regarding our statement for “…decision to accept the results of conformity assessment
procedures conducted by bodies in an exporting Member country; and relevant ministries will
implement a non discriminatory and cost-based fee structure” we clarify that those are included in the
decree of government which will adopt the articles 2,5,6,8 and 9 of the TBT Agreement.
Regarding the self-declaration (MSD) for regulated products we have included it in the decree
for Criteria and Competencies for Standardization, Certification and Accreditation, chapter II, point 9.
Question 14.
Regarding the Enquiry Point probably there is a misunderstanding.  In fact by the order of the
Prime Minister of Albania, No. 36, dated 06 May 1999, paragraph  7, it is officially  establishedthe enquiry point for TBT and SPS at the General Directorate for Standardization, addressed :
Rr.”Mine Peza”, Nr.143/3, Tirana, Albania, Tel. + 355 42 47176, Tel. & Fax. + 355 42 26255
,
Email: dsc@icc.al.eu.org.  We have notified  th e Secretariat for this decision and provide all
information’s.  It is the Information & Sale Center of this Directorate which act as the Enquiry
Point.  This point is operation al, in fact we have informed the secretariat before the Working
Party in January 1999.  It was the document WT/ACC/ALB/25. F. UPDATE ON TBT
COMPLIANCE.  In this document we stated  that “ an Information Center for Standards has
been created in compliance with the TBT Agreement’s call for an Enquiry Point.”  May be this
two years period is needed to be in full compli ance with TBT but we think that the assistance of
USA Dept. of Commerce for this purpose will short this period.
(e) Quantitative import restrictions, including prohibitions, quotas and licensing systems
Information is provided below on these issues.
Prohibitions on imports.  An updated Memorandum on Import Licensing and Prohibitions on
Importable Products was submitted in June.  The list includes dangerous waste (see complete list inWT/ACC/ALB/25, pages 6-7); military poisoning  substances, chemical weapons (and similar
substances); Narcotic drugs and psychotropic substances (see list in WT/ACC/ALB/25, pages 6-7)
and related drugs and substances listed in International Conventions; animal products of the infected
and penalized countries by the OIE; and pesticides not registered in the Albanian catalogue.
Prohibitions on animal products in countries with diseases are lifted when the OIE declares thecountry disease-free.  Pesticides can be registered in the Albanian catalogue and the process is
specified in the Memorandum on Import Licensing and Prohibitions on Importable Products.
Quotas.  There are no quotas of any types designed to restrict trade.
Licensing.  There are several categories of products that require licensing.  These are listed
and discussed in the Memorandum on Import Licensing and Prohibitions on Importable Products.
There are no efforts to restrict trade through the licensing system.  More detailed answers are provided
for the questions listed under section (f).WT/ACC/ALB/39
Page 23
(f) Licensing procedure
Question 15.Albania’s responses in WT/ACC/ALB/29 to the questions on its import licensing system were
not responsive, even when read in conjunction  with the other documentation in ALB/35, etc.
We have been forced to re-submit these question s, and we hope that Albania will endeavour to
address the concerns they identify.
Please indicate specifically how Albania’s regime for granting import permits and licenses
meets the requirements of the WTO Agreement on Import Licensing.  In those areas were
compliance is lacking, please indicate Albania’s plans for enacting these provisions in law or
regulation.
Albania provided comprehensive information on its import licensing regime in
WTO/ACC/ALB/35.  Article III paragraph 5f of the Import Licensing Agreement stipulates
that the time of approval permissible for non-automatic licenses is sixty days if all applicationsare considered simultaneously and thirty days if each application is considered on a first come,
first served basis.  Albania states that the time of approval for pesticides (HS 31) is sixty days.
Please confirm that all applications are cons idered for approval simultaneously and not on a
first come, first served basis.
Livestock
Question 16.
Section B of ALB/35 refers to “Licensing of the live stock products.”
Can Albania please clarify which livestock products  are subject to import licensing restrictions.
Are all products in HS Chapter 2 subject to licensing requirements, or just select items?  (Please
specify by line item)
Replies 15 and 16:
According to Albanian law, each ministry is au thorized to issue import licensing as it relates
to products under its jurisdiction; however, there is not a law that specifies the general requirements
for issuing a license.  According to the Customs C ode, Chapter 1, Article 83, Paragraphs (1) and (2)
mention import licensing.  Paragraph (1) and (2) read as follows:
Save in the cases when the Council of Ministers makes a decision otherwise provided, goods
may at any time and under the conditions laid dow n, be assigned any customs-approved treatment or
use irrespective of their nature or quantity, or their country of origin, or destination.
Paragraph 1 does not preclude the imposition of prohibitions, upon decision of the Council ofMinisters, or restriction justified on grounds of public morality, public policy or public security, the
protection of health and life of humans, animals or plants, the protection of national treasures
possessing artistic, historic or archaeological value or the protection of industrial and commercial
property.
The import licenses meet the requirements of the WTO Agreement on Import Licensing.  The
rules are neutral in application and are fair and equitable in administration; the rules and information
for the submission of applications are available 21 days prior to the effective date and anyone
registered with the Court and Tax Office is eligible; application forms and renewals are as simple asWT/ACC/ALB/39
Page 24
possible; applications are not refused for minor errors in documentation and no penalties greater than
necessary are imposed; licensed imports shall not be refused for minor variations in value, quantity or
weight; no foreign exchange constraints exist; and confidential information will not impede law
enforcement, be contrary to the public interest or  will prejudice the legitimate commercial interests of
an enterprise.  Albania is currently drafting a law or a decision of the Council of Ministers onAlbanian Import Licensing Procedures which will be in conformity with the WTO Agreement on
Import Licensing Procedures.
All applications for import licenses are granted once the criteria are met as outlined in the
licensing procedures reported in the Memorandum on Import Licensing and Prohibitions.  Therefore,
Albania does not have any issues with the allocation of licenses on a first come, first served basis.
All livestock products listed in HS Chapter 2 are subject to licensing requirements.  The
Memorandum on Import Licensing and Prohibitions lists all line items in chapter 2 and the process
applies identically for each product.
Medicines and Drugs
Question 17.
ALB/35 outlines licensing requirements for import s, and refers to registration and licensing
requirements for the importation of pharmaceuticals.
What are the substantive requirements for “registr ation” of a pharmaceutical?  On what basis
would such registration be refused?  What would be the procedures for appeal?
Is the issuance of the import ma rketing authorization automatic?  If so, please indicate the
timeframe within which it must be granted.
Are there substantive criteria that could be applied to deny the authorization to import?  If so,
i.e., that the licensing is non-automatic, please  describe in detail the criteria that the imported
medicines and drugs must meet to qualify for the license.
Does Albania have a similar registration and licen sing system in place for the sales of domestic
production of similar articles?  If so, please describe it.
To what extent are the requirements listed in WT/ACC/ALB/18 and WT/ACC/ALB/35 applied
to domestic production and marketing of similar goods and how is this done?
Annex II lists “Narcotic Drugs and Psychotropic Substances which Require Import Licensing
and Special Import Authorisation to be Imported into Albania.”
On what criteria are these licenses granted or denied?  Does Albania produce these substances
domestically?  If so, are similar permits required for domestic distribution and sale?
Reply:
The substantive requirements for the registration of medicaments as defined in the regulation
"On the Registration of Drugs in the Republic of Albania".  The process to register a medicament, therequirements which apply to natural and juridical subjects whether the product is produced in Albania
or abroad, includes the presentation of the Free Sale Certificate in the country of origin; a
confirmation that the drug is manufactured according to the Good Manufacturing Practices; the
presentation of chemical, pharmaceutical and biological documentation, stability test, toxicologicalWT/ACC/ALB/39
Page 25
and pharmacological and clinical documentation; and a quality control is performed by the National
Center of Drugs Control.  Every pharmaceutical manufacturer must present samples of the drugs that
its wants to register.  If any one of the documents is not presented or if the drug fails the quality
control, then the registration will be refused.  The regulation does not provide for an appeal process.
The import marketing authorization issued by the Ministry of Health only serves as a
document to check the quality and quantity of the medicine this is imported.  The import marketing
authorization is automatic and shall be issued in five working days. The details of the process and
specifics of the criteria for registration and an import license are reported in the Memorandum on
Import Licensing and Prohibitions.
There are no substantive criteria to deny authorization to import; only that the criteria spelt
out in the Memorandum on Import Licensing and Prohibitions on Importable Products are met
(registration with the Court and Tax Office, and be someone with a degree in pharmacy from the
Faculty of Natural Sciences or to have someone on the staff who is such a person).
Albania has a similar registration and licensing system in place for the sales of domestic
production of similar articles.  Prior to applying for a license to trade or market pharmaceutical
products, a person or enterprise must be registered in the Court of first degree to become a natural or
juridical subject, and then to be registered with the proper Tax Office.  The tax registration process
also registers the individual/firm as having the right to engage in specific trading activity (i.e., import,
export, transport, wholesale, retail or other marketing activities) for pharmaceutical products.
Having been registered with the Court and Tax Office, natural or juridical subjects can apply
for a license to engage in specific trading activity for pharmaceuticals products in Albania. To apply
for a license, natural or juridical subjects must have graduated with a degree in pharmacy from the
Faculty of Natural Sciences or have employed a person who is qualified as such.  At this point thesubject is prepared to present an application for a license at the Directory of Pharmaceutics in the
Ministry of Health.  The request for a license to engage in specific trading activity must include the
list of medicines to be traded, the international collective name (INN) and the commercial name, and
the quantities to be traded (only for purposes of statistical information).  Upon completion of this
procedure, the import marketing authorization issues (which only serves as a document to check the
quality and quantity of the medicine) by the Ministry of Health.  The import marketing authorization
is automatic and shall be issued in five working days.
The process to register a medicament, the requirements which apply to natural and juridical
subjects whether the product is produced in Albania or abroad, includes the presentation of the Free
Sale Certificate in the country of origin; a confirmation that the drug is manufactured according to the
Good Manufacturing Practices; the presentation of chemical, pharmaceutical and biologicaldocumentation, stability test, toxicological and pharmacological and clinical documentation; and a
quality control is performed by the National Center of Drugs Control.  Every pharmaceutical
manufacturer must present samples of the drugs that its wants to register.  If any one of the documents
is not presented or if the drug fails the quality control, then the registration will be refused.  The
regulation does not provide for an appeal process.  The regulation on registration is in force for allpharmaceutical manufacturers, domestic and foreigners. The same licencing and authorization is
required for Albanian manufacturers if they want to produce, import, export, retail, wholesale, or
other marketing activity.
The same licensing and authorization is required  for Albanian manufacturers if they want to
import narcotic and psychotropic raw materials for their production.  The law is in force for all
producers and importers.  Albania producers only three or four narcotic and psychotropic substances,
and the law on registration to engage in trade activity and in licensing treats Albanian manufacturers
identically to foreign manufacturers.WT/ACC/ALB/39
Page 26
Pesticides
Question 18.
Please answer for pesticides the same questions as asked above on medicines and drugs.
Reply:
The requirements for registering a pesticide with the ASCRP are the same for local and
foreign products and are based on the same criter ia as the EU's Directive No. 91/414 EEC dated
15 July 1991, Annex 2.  The requirements of this Directive were sanctioned by the Albanian
government in the Decision of the Council of Ministers No. 584, dated 6 December 1993.  Every year
the requests for registration of new pesticides are attached to the Ministry of Agriculture and Food'sspecial publication on the registered pesticides (Article 62 of the Decision of the Council of Ministers
No. 584, dated 06.12.1993).  (A copy of this list is attached to this document.)  Albania has a ten year
registration for each pesticide after evaluation from the Commission on Pesticides.  The criteria for a
pesticide to become registered are based on (1) biological and agronomic efficacy of the product, (2)
environmental impact, (3) impact on humans, and (4) veterinary evaluation.  The process takes about1 year if the product is new to the market and less than one year if the product is not new.  Renewal of
registration may be automatic if new information or scientific data continue to satisfy the above four
criterion.
There is no import authorization for a license from the Ministry of Agriculture and Food. If
the pesticide is registered with the Albanian State Commission for the Registration of Pesticides
(ASCRP), then an import license is issued by th e Directory of Plant Protection Services (DPSS) in
accordance with the Agreement on Import Licensing Procedures of GATT 1994.  The license is
issued within two months and specifies the time limit as required by the importer up to one year
maximum.
There is no substantive criteria because there is no import authorization for a license from the
Ministry of Agriculture and Food.
The registration and licensing criteria are similar for the sales of domestic production of
similar articles.  Prior to applying for a license to trade or market pesticides, a person or enterprise
must be registered in the Court of first degree to become either a natural or juridical subject, and thento be registered with the proper Tax Office.  The tax registration process also registers the
individual/firm as having the right to engage in specific trading activity (i.e., production, import,
export, transport or other marketing activities for pesticides).  In addition, the subject must be an
individual who has graduated from the Faculty of Agronomy or must employ such a person.  If a
pesticide is not registered in Albania, then the pesticide may not be traded or marketed.
The process to obtain the right to engage in a trading activity is the same for whichever
activity one is to undertake, e.g., domestic production, import, export, wholesale, retail and other
marketing activities.  The process applies to all subjects interested in conducting such
trading/marketing activities.
Seeds and Seedlings
Question 19.
Albania states that “if the requested varieties for import are not included in the respective
Albanian Catalogue, but from a country of  the European Union (EU), the importation may be
allowed, only after the approval of the Ministry of Agriculture and Food on the request of the
State Entity of Seeds and Seedlings (SESS).”WT/ACC/ALB/39
Page 27
The statement that “importation may be  allowed” implies that importation may also not be
allowed.
What conditions need to be met in order for s eeds to be imported?  When and on what basis
would importation not be allowed?  Why is the EU singled out for this special treatment?  What
would the status be for varieties originating in Asia or North America?
Could Albania provide more information about the criteria used to determine which seeds are
listed in the Official Catalogue of the Seeds Enti ty.  Are seed varieties from regions outside of
Europe, from North America or Asia for example, listed in the catalogue?
Why wouldn't new varieties of seeds and seedlings allowed to be imported?
Is it possible to register new seed varieties in the catalogue?  If so, please describe the process,
criteria, etc. , and specify which governmental body makes this determination?
This process appears to be inconsistent with GATT Article XI by effectively imposing a ban on
seeds and seedlings not listed in the catalogue. It also would constitute a form of non-automatic
licensing as described in Article 3 of the Agreement on Import Licensing Procedures.
We seek confirmation, based on a point-by-poi nt comparison of Albania’s regime with the
provisions on non-automatic licensing contained in the Agreement
Albania states that efforts are under way to make legislation governing import licencing of seeds
and seedlings more consistent with international regulations on production, registration and
trade.
What legislative changes are envisioned , and when might these be implemented?
Albania should establish a transparent licensing  system that identifies products covered,
reasons for restrictions and criteria for obtaining an import license.
We understand that Albania may have technical reasons for imposing these restrictions, the
technical requirements must be consistent with  WTO provisions, including the SPS Agreement.
Lacking justification consistent with requirements in the SPS Agreement, such as conducting an
appropriate risk assessment, demonstrating scient ific evidence, and ensuring that measures are
applied in a non-discriminatory manner, we do not believe that Albania’s current restrictions or
requirements of seeds and seedlings are justified.
Reply:
Prior to applying for a license to import seeds and seedlings, a person or enterprise must be
registered in the Court of first degree to become a na tural or juridical subject, and then to be registered
with the proper Tax Office.  The tax registration process also registers the individual/firm as having
the right to engage in specific trading activity (i.e., import, export, transport or other marketing
activities for seeds and seedlings).
Having been registered with the Court and Tax Office, natural or juridical subjects can apply
for a license to import seeds and seedlings into Albania. To apply for a license, natural or juridical
subjects must have graduated from the Faculty  of Agronomy or have employed a person who is
qualified as such.  At this point the importer is prepared to present an application for a license at the
State Entity for Seeds and Seedlings in the Ministry of Agriculture and Food.  To obtain the license,WT/ACC/ALB/39
Page 28
an importer must supply the required technical info rmation of the seeds: technical data of the seeds
contingent, the name of the seed, the origin, and the quantity and the quality of the seed.  The license
is valid for one year and is renewable each year. The license is issued based on the regulation of the
Law "On Seeds and Seedlings" No. 7659, dated 12 January 1993.
Only seeds registered in the official catalogue of the State Entity of Seeds and Seedlings and
that satisfy Albanian standards are permitted to be imported to Albania.  The criteria for registering a
seed is to pass the Albanian standards, in additio n to two international test standards: (1) the DHS
(distinguishing, homogeneity and stability) test and (2) a test of the agronomic and technological
value (Value for Cultivation and Use).  The procedures of registration are identical for Albanian and
foreign subjects.  All criteria are the same as for international standards.  Testing for seeds can take
one to two years.
The EU was singled out as an example of seeds being imported under emergency
circumstances; however, seeds have been imported during emergency situations and under normal
circumstances from all over the world including the Americas and Asia.  During the occasions when
seeds are imported under emergency circumstances, a proposal from the State Entity for Seeds andSeedlings (with the approval of the Ministry of Agriculture and Food) is required.  Under regular
circumstances, seeds and seedlings which are not registered in the Albanian Catalogue may be
registered, on the condition that they are compatible with the climatic and soil conditions of Albania.
Registration is applied without any discrimination of different countries.
New varieties of seeds or seedlings would not be allowed to be imported only to protect the
environment, protection of safety/health of humans, animals and plants, and to adhere to the
requirements of international organizations to which Albania is a signatory.  For seeds to be listed in
the Official Catalogue, the only requirement is that seeds be registered according to the registration
process described above (complying with national st andards and the two international tests).  Seeds
from all over the world have been registered in the Official Catalogue by the Commission of
Registration, Ministry of Agriculture and Food.
It is possible to register new seed varieties in the catalogue.  New seeds need to be registered
as previously described.  The registration of new seeds is not in place to serve as a ban on imports but
as a means to ensure the quality and efficacy of the seeds.
There is neither an inconsistency with GATT Article XI nor with Article 3 of the Agreement
on Import Licensing Procedures in the importation of seeds.  The registration process applies to all
seeds regardless of origin.
The Ministry of Agriculture and Food is taking legislative efforts to simplify the licensing
process and to speed the process of issuing a license.  Licenses in this Ministry will be issued one time
a year for a one-year period.  The time to issue a license will be reduced from 60 days to 30 days.
Albania has provided an updated version of a Memorandum on Import Licensing and
Prohibitions on Importable Products to report its licensing system which explains the procedures andcriteria to obtain a license and the justifications for the restrictions.  Although each ministry is
responsible for the procedure to issue import licenses, the ministries follow a parallel process in their
procedures.
Albania's technical reasons for the restrictions are spelt out clearly in the Memorandum on
Import Licensing and Prohibitions on Importable Products and they are consistent with WTO
provisions, including SPS.  There was some misunderstanding from Albania's previous
documentation that led members to conclude that there is some inconsistent measures or practices.  AWT/ACC/ALB/39
Page 29
law or decision of the Council of Ministries will ensure that future licensing procedures comply with
the Agreement on Import Licensing Procedures.
Live Animals
Question 20.
Albania states that the Ministry of Agriculture and Food is in charge of organizing the licensing
procedures for imports and exports of live animals and for imports of seeds and seedlings.
Is the licensing on live animals statistical or restrictive licensing?
(WT/ACC/ALB/23/Rev.1, Question 21) Albania states that “by decision of the Central
Commission of Improvement of Race (CCIR) the applicants are given the requested
“permission” on the base of which the Albanian  Veterinary Service issues the license for
import/export of the requested materials.”
What are the technical criteria for receiving the “permission” granted by CIOR necessary to
receive an import or export license for live animals?  Are there any quantitative criteria?
If “permission” is denied how may applicants appeal the decision?
Please indicate how the regulations associated with receiving the “per mission” and the license
are consistent with the provisions of the WTO Agreement on Import Licensing Procedures?
Please indicate how the criteria for receiving th e “permission” are consistent with the provisions
of the WTO Agreement on Sanitary and Phytosanitary Measures.
WT/ACC/ALB/35 indicates that Albania intends to eliminate import prohibitions and licensing
restrictions inconsistent with WTO provisions.
Reply:
The licensing for live animals is for statistical purposes, but also to supervise the import of
live animals and products, to protect the integrity of breeding stocks, the protection of the
environment, and to protect the health and safety of humans and animals.  There are also cases where
Albania must adhere to the requirements of international organizations to which Albania is a
signatory.  License are not in place to restrict trade or to limit the inflow of imports.
Prior to applying for a license to import livestock, a person or enterprise must be registered in
the Court of first degree to become a natural or juri dical subject, and then to be registered with the
proper Tax Office.  The tax registration process also registers the individual/firm as having the right to
engage in specific trading activity (i.e., import, e xport, transport or other marketing activities related
to livestock or livestock products).  Once the individual/firm is so registered, then the next step is togo to the Ministry of Agriculture and Food, Directory of the Albanian Veterinary Service, to receive a
license (i.e., to receive "permission" as is stated the Law No. 7074, dated 23 February 1993).  The
license must be issued to all juridical and natural subjects, local and foreign, who are registered to
import livestock or livestock products and who present the Certificate of the Origin and the Certificate
of Sanitation.  Licenses are valid for up to two months time and specify the quantity to be imported(only as a means for data collecting and statistical information).  Each time livestock or livestock
products are to be imported, the importer must go the Ministry of Agriculture and Food to receive a
new license.  Imported live animals are subject to quarantine conditions which are in conformity with
the IOE.WT/ACC/ALB/39
Page 30
For importing livestock for breeding purposes which are not already registered as a breed in
Albania, in addition to the above criteria, the importer must have another document from the Central
Commission of the Improvement of  Breeds (CCIB), Ministry of Ag riculture and Food, which will
allow the animals to enter Albania.  The CCIB takes into consideration the regional policy of breedsin Albania as well as the program of genetic impr ovement of such breeds.  The CCIB allows or does
not allow a certain breed based on the breed's characteristics and their ability to adapt to local
conditions.  In cases where the CCIB refuses the request to import, the importer has the right to appeal
the decision in the court of first degree.  In the case of a registered and known breed in Albania, a
document from the CCIB is not necessary.
By 31 December 1999, a list of countries which are allowed to export livestock and livestock
products to Albania will be reported based on the IOE's disease-free list.  All information will be sent
to the Veterinary Inspector at the customs.  The Certificate of Origin and the Certificate of Sanitation
will still be required to be presented; however, the importer will not have to receive a license each
time the livestock or product is to enter the country within the duration of the license's validity.  These
changes will be reflected in the amendment to Law No. 7074, dated 23 February 1993 which areforeseen to be passed into law by the end of the year.
A license must be issued to all juridical and natural subjects, local and foreign, who are
registered to import livestock or livestock products and who present the Certificate of the Origin and
the Certificate of Sanitation.  A license (permission) is denied only when one fails to register with theCourt and Tax Office and fail to complete the application process described above.  If a trader does
not agree with an administrative decision, then he has the right to appeal to the head of the
administrative office, and such an appeal is considered to be the first appellate level.  If the trader
does not agree with decision of the head of the administrative office, he can take another appeal to the
General Director of the administrative body within the Ministry to file a second appeal.  A thirdappeal at the administrative level can be made with the Minister of Agriculture.  Furthermore, the
trader has the right to go to a tribunal which also has three levels.  The first level of appeals is made at
the Factual Court which are located in every district.  The second level is called the Appellate Court
and there are six such courts throughout the Republic. The last level is the High Court and its decision
is final and cannot be appealed.
The licensing procedure and criteria are spelt out in the Memorandum on Import Licensing
and Prohibitions on Importable Products.  The licensing procedure is fully compatible with the WTO
Agreement on Import Licensing Procedures.  The rules are neutral in application and are fair and
equitable in administration; the rules and information for the submission of applications are available
21 days prior to the effective date and anyone registered with the Court and Tax Office is eligible;
application forms and renewals are as simple as possible; applications are not refused for minor errorsin documentation and no penalties greater than necessary are imposed; licensed imports shall not be
refused for minor variations in value, quantity or weight; no foreign exchange constraints exist; and
confidential information will not impede law enforcem ent, be contrary to the public interest or will
prejudice the legitimate commercial interests of an enterprise.  Albania is currently drafting a law or a
decision of the Council of Ministers on Albanian Import Licensing Procedures which will be inconformity with the WTO Agreement on Import Licensing Procedures.
The licensing procedure and criteria are spelt out in the Memorandum on Import Licensing
and Prohibitions on Importable Products.   The licensing procedure is fully compatible with the WTO
SPS Agreement. Albania is currently drafting a law or an amendment to the Law on State SanitaryInspectorate which will ensure that all licensing in the future will meet the standstill condition;
provide for transparency; that only apply measures or inspections to protect human, animal or plant
health subject to scientific criteria, that follow international measures; that provide for equivalence;WT/ACC/ALB/39
Page 31
that provides for risk assessment based on science; and that provides for considerations of regional
conditions.  The current licensing system for livestock and livestock products meet these criteria.
The following text was requested for the Working Party report:
The representative of Albania confirmed that, from the date of accession, Albania would not
introduce, re-introduce or apply quantitative restrictions on imports, or other non-tariff measures such
as licensing, quotas, prohibitions, bans and other rest rictions having equivalent effect that could not be
justified under the provisions of the WTO Agreement.  If balance-of-payment measures were ever
necessary in the future, Albania would impose them in a manner consistent with the relevant WTO
provisions, including Article XII of the GATT 1994 and the Understanding on Balance-of-Payments
Provisions of the GATT 1994.  The Working Party took note of these commitments.
(h) Customs valuation
Question 21.
WT/ACC/ALB/33 states that the Law on the "Customs Procedures Code” is in preparation.
Has this draft law gone to parliament yet?  Can Albania provide a copy for Working Party
review?
We note that Chapter 3 of Title II of the Customs Code contains Albania’s customs valuation
provisions.
Please provide for Working Party review any additional legislation, e.g., the Implementing
Provisions of the Code or other regulations, in place dealing with Customs Valuation issues.
We would also appreciate clarification of due process and the right of appeal within the
Customs  department and to an independent tribunal concerning disputes on valuation.  Do the
procedures for appeal outlined in Articles 19, 20 and 289 of the Customs Code apply?  Please
outline the appeals process and include this description in the Working Party report.
We note that Article 36:1 of the Code provides that where the customs value of imported goods
may not be determined under Articles 34 or 35, it  shall be determined on the basis of data
available in the Republic of Albania, using reas onable means, in accordance with the WTO
Customs Valuation Agreement, Article VII of the GATT, or other dispositions of the Code.
Since the provisions of the Agreement on Customs Valuation supercede those of Article VII of
the GATT, why is it listed?
Article 14 of the WTO Customs Valuation Agreement stipulates that the Interpretive Notes of
the Agreement form an integral part of it and th at the Articles of the Agreement are to be read
in conjunction with these Notes.
Has Albania established in law or regulation the Interpretive Notes of the WTO Customs
Valuation Agreement?  If so, please provide the legal citation and text.  If not, please indicate
when this will be done.
We note that Article 39 of the Customs Code stat es that “specific rules to determine the customs
value of carrier media for use in data processi ng equipment and bearing data or instructions
are laid down in the Implementing Provisions of this Code.”WT/ACC/ALB/39
Page 32
We would like to see these provisions.
Albania has stated its intention of bringing its customs valuation regime into line with the WTO
Customs Valuation Agreement, and we commend its efforts to date in this regard.  In order to
conclude our review, we seek comment on these additional points.
Reply:
The "Customs Procedures Code" referred to in WT/ACC/ALB/33 has been replaced with the
approval of the Decision of the Council of Mini sters, "Implementing Procedures of the Customs
Code", No. 205, dated 13 April 1999.  A copy of the "Implementing Procedures of the Customs Code"
is submitted to the WTO Secretariat for review with this document.
Albania is sending the Implemen ting Provisions of the Code.
The appeals for process for the application of customs rules apply to Articles 19, 20 of the
Customs Code.   If a trader does not agree with a customs administrative decision, he can appeal tothe Chief of the Customs Office in the Field.  A subsequent appeal can be made within 10 days from
the day of notification to the General Directorate of Customs.  The Director General shall take a
decision within 20 days from the date the appeal was received.  In the event the Director General of
Customs does not reply within this term, the request shall be presumed to have been accepted.
According to Article 289, if the Director General rejects the appeal, the trader can involve the
juridical organs.  The procedures are based on the relevant articles of the Civil Code of the Republic
of Albania and the relevant articles of the Code of Civil Procedures.  The complaint against an
administrative decision shall be made at the administrative sector in the Factual Court which is
located at the place of residence of one of the parties involved.  Parties have the right to appeal the
administrative decision of the Factual Court to the Appeals Court.  Such an appeal shall be reviewedby the administrative sector of the Court of Appeals (Appellate Court).  Finally, the last appeal is to
the High Court and its decision is final and cannot be appealed.
The provisions of the Agreement on the Customs Valuation are enforced from 15 May 1999
and are those used to determine the value of imported goods when they cannot be determined under
Articles 34 or 35.  Albania appreciates and agrees with the comment that the provisions of the
Agreement on Customs Valuation supercede those of Article VII of the GATT 1994.
Albania is committed to the Interpretive Notes of the Customs Valuation Agreement in Annex
6 of the Implementing Provisions of the Customs Code as of 15 May 1999. Albania is sending all the
Annexes of the Implementing Provisions of the Customs Code.
The provisions as related to specific rules to determine customs value of carrier media for use
in data processing equipment and bearing data or instructions are laid down in the Article 39 of the
Customs Code and in Article 79 of the Implem enting Provisions of the Customs Code.  The
Implementing Provisions are being sent to Geneva.
The following confirmation was requested for the Working Party report:
The representative of Albania confirmed that, from the date of accession, Albania would
apply fully the WTO provisions concerning customs valuation, including in addition to the Agreement
on the Implementation of Article VII of the GATT 1994, the Interpretive Notes to that Agreement,and the provisions for the Valuation of Carrier Media Bearing Software for Data Processing
Equipment.  In accordance with these latter provisions, only the cost of the carrier medium itself
would be account for in the customs value.  He added that, as an international agreement, theWT/ACC/ALB/39
Page 33
provisions of the WTO Agreement on the Implem entation of Article VII of the GATT 1994 would
supersede domestic law upon accession.  The Working Party took note of these commitments.
(j) Pre-shipment inspection
Question 22.
Please confirm whether Albania at present uses the services of a preshipment inspection firm.
If so, please describe what services are provided, whether or not they are mandatory, and how
the Government of Albania contracts for their services and disciplines their activities.  What is
the cost structure for traders making use of any mandated PSI services?
If not, please indicate if Albania has any near-term plans to do so.
Reply:
Albania does not use the services of a pre-shipment inspection firm, but according to the Law
on the Customs Code, Number 8449, dated 27 January 1999, there are provisions in Article 11(4) in
the last sentence.  The last sentence of Paragraph 4 reads as follows: With a view to more efficient
controls, customs authorities may sign agreements with Albanian or foreign, public or private
organizations, for exchanging information in this field.
According to the Law on the Customs Code, Number 8449, dated 27 January 1999, there are
provisions in Article 11(4) in the last sentence.
(k) Application of internal taxes on imports
Excise taxQuestion 23.Albania reports that from January 1999 it has elim inated the discrimination  in excise tax rates
between foreign and Albanian products, according the Law on “Excise Tax” No. 8348 dated28 December 1998.  Albania does not, however, report the new rates.
Are the old rates still in force?  When will the new rates come into effect?  On what basis will
“categories” of products be constructed?
We urge Albania to become familiar with WTO and GATT dispute settlement panel reports
that address the issue of discrimination in the application of differential excise tax rates based
on distinctions within product groupings.
We note that Albania states that its excise taxes are applied to the duty-paid value of imports
and the retail value of domestic goods.
Please confirm that VAT is not/not part of the valuation base for imports.We seek commitment from Albania that from the date of accession, Albania will apply its
domestic taxes, including VAT and excise taxes and any others discussed in the Working Party
report, in strict compliance with Article III of the GATT 1994.WT/ACC/ALB/39
Page 34
Reply:
Albania did submit the new excise rates with the Law on "Excise Taxes", Number 8437,
dated 28 December 1998 (effective on 1 January 1999).  That information was provide in
WT/ACC/ALB/29, page 16.  However, there is draf t legislation entitled "Some Changes to the Law
Number 8437, dated 28 December 1998" which has passed the Council of Ministers and is before
Parliament for its approval expected by the end of June 1999.  The new rates proposed in the pending
draft legislation are provided in the table below:
Albania's Proposed Excise Tax Ra tes at the Time of Accession
Harmonized
System CodeDescription of Item Rate of
Excise (
per
cent)Tax per Unit
Chapter 24 Tobacco and Manufactured Tobacco Substitutes
24.03 Tobacco for consumption 60
24.02 Cigarettes 11 lek/pack
24.02.10.00 Cigars 2240 lek/kg
Chapter 22 Beverages, Sprits and Vinegar
22.03.00 Beer 50
wine with a value up to 300 lek/liter 50 lek/liter
wine with a value more than 300 lek/liter 150 lek/liter
22.08 Whiskeys, brandies, and similar distilled alcohol, including Raki (grappa)
with a value up to 400 lek/liter 80 lek/liter
with a value more than 400 lek/liter 400 lek/liter
22.09, 22.02 Non-alcoholic beverages 5
22.01 Bottled natural mineral waters 5
Chapter 9 Coffee, Tea, Mate, and Spices
09.01 Coffee 20
Chapter 27 Mineral Fuels, Mineral Oils and Products of their Distillation
27.10 Petroleum sub-products
Gasoline up to 89.9 octane 77
Gasoline more than 90.0 octane 90
Unleaded gasoline 90
Gasoil 50
Kerosine 80
Motor oil 50
Lubricating oils 50
Other oils 5
Other products such as bituminous oil, solvents, etc. 20
All other petroleum sub-products* 90
Chapter 40 Rubber and Articles Thereof
40.11 New pneumatic tires of rubberWT/ACC/ALB/39
Page 35
Of a kind used on motor cars (including station
wagons) 4000 lek/tire
Of a kind used on buses and trucks 3000 lek/tire
Other 2000 lek/tire
Chapter 33 Essential Oils and Resinoids; Perfumery, Cosmetic or Toilet Preparation
33.03.00.10 Perfumes 50
33.03.00.90 Deodorants 50
Notes:*Liquid gas for household use is exempt from excise taxes.
Through the proposed changes in the law, Albania has taken into account WTO and GATT
principles related to discrimination in the application of differential excise tax rates based on
distinctions within the product groupings.  It is now evident that Albania has included Raki, its
national spirit, in the alcoholic beverage group and is listed as separate.  This is a technical
improvement in the law.  For cigarettes, by including all types in one category, Albania has alsocomplied with WTO and GATT principles.  Another draft law which has passed the Council of
Ministers, "Changes in the Law on Tariffs in the Republic of Albania", states that the applied tariff
rate on tobacco is to change from 20 per cent to 10 per cent as a means to increase the volume of legal
tobacco products.
(l)     Rules of origin
Question 24.Articles 31 and 32 of the Customs Code states that the procedures for determining the rules of
origin for non-preferential and preferential trade, respectively, are contained in the
Implementing Provisions of the Code .
Have these implementing provisions been enacted yet?  If so, please provide for Working Party
review the parts dealing with cust oms valuation, rules of origin, customs fees, and other customs
procedures covered by WTO Agreements, e.g., Ar ticles V, VII, VIII, and X of the GATT, and
the Agreements on Customs Valuation, Rules of Origin, and Pre-shipment Inspection.
Do these implementing provisions  incorporate, for both non-preferential and preferential rules
of origin, the requirements of Article 2(h) and Annex II, paragraph 3(d) respectively, whichrequire provision upon request of an assessment of the origin of the import and outline the
terms under which it will be provided?   If not, will Albania enact such requirements in
regulation or law prior to accession?
Reply:
The Implementing Provisions of the Customs Code dealing with customs valuation
(Articles 54-81); rules of origin for non-preferentia l trade (Articles 44-46 and Annex 3); and rules of
origin for preferential trade (Articles 47-53 and Annex 4) have been enacted and are being sent to the
Secretariat.
Albania commits to implementing the provisions for both non-preferential and preferential
rules of origin in compliance with the requirements of Article 2(h) and Annex II, Paragraph 3(d) at the
time of accession.
The following text was requested for the Working Party report:WT/ACC/ALB/39
Page 36
The representative of Albania stated that Chapter 2 of Title II of the Customs Code, as
elaborated by the Implementing Provisions of that Code, established Albania's rules of origin, and he
confirmed that from the date of accession Albania preferential and non-preferential rules of origin
would comply fully with the WTO Agreement on Rules of Origin, and that the requirements ofArticle 2(h) and Annex II, Paragraph 3(d) of the Agreement, which require provision upon request of
an assessment of the origin of the import and outline the terms under which it will be provided, would
be established in Albania's legal framework prior to accessions.  The Working Party took note of this
commitment.
Value-added tax
Question 25.
The answer to question 29 is unresponsive.Could Albania provide information as to what is included in the taxable value of domestically
produced goods in respect of value-added tax?
Reply:
Albania confirms that the VAT is the final tax applied to imports.  The VAT includes the
following: [good's value + customs tariff + excise tax].  The excise tax is applied to the goods's value
+ customs tariff; thus, the VAT is computed as follows:
VAT import = [(good's value + customs tariff) + (good's value + customs tariff)*(excise rate)] *  per
cent of the VAT.
Albania confirms that the value taxed by the VAT of locally produced goods includes the
value of goods plus any other obligations such as taxes, tariffs, etc. (established by law) with the
exception of the VAT, which is applied on the taxed value of the good.
The following statement was requested for the Working Party report:Albania commits that at the time of accession, Albania will apply its domestic taxes,
including the VAT and excise taxes and any others discussed in the Working Party report, in strict
compliance with Article III of the GATT 1994.
(m) Anti-dumping régime
Question 26.
What is the status of Law 7609 “On Customs Tariffs” which provided for “special” customs
duties, anti-dumping duties, and countervailing duties?
What is the status of the new Antidumping Law.  Please provide a copy.
Reply:
Law 7609, dated 22 September 1992, "On Customs Tariffs" was repealed with the passing of
the Customs Code (Article 297), No. 8449, dated 27 January 1999.  The Customs Code does not
provide for antidumping or countervailing duties.WT/ACC/ALB/39
Page 37
Anti-dumping is covered under Law 8466, 24 March 1999, "On Antidumping".  A copy of the
Law has been sent to the WTO Secretariat (WT/ACC/ALB/38).
(n) Countervailing duty régime
(o) Safeguard régime
Question 27.Please provide the texts of Albania’s draft  laws establishing the authority to apply
countervailing duties and safeguards.
Reply:
Albania has suspended the drafting of a countervailing duty law.  This law will be drafted
after accession and will be made available for comments by Member countries at that time.
Albania has suspended the drafting of a safeguards law.  This law will be drafted after
accession and will be made available for comments by Member countries at that time.
2. Export Regulation
(c) Quantitative export restrictions, including prohibitions, quotas and licensing systemsQuestion 28.In WT/ACC/ALB/34, Albania has indicated that it is in the process of removing most of its
export prohibitions prior to accession.
Please confirm that Albania’s remaining quantitative export prohibitions include, hides and
skins; waste and scrap of iron, steel, and copper; preparation of fish products, crustaceans,
molluscs, etc; and Residues and waste from prepared animal food
Please confirm the timeframe with in which these restrictions will be liberalized.  Does Albania
plan to replace these measures with WTO-consistent forms of regulation?
We seek a listing of Albania’s remaining export  controls in the Working Party report, by HS
item number and indicating the purposes of th e restriction.  We also seek a commitment from
Albania in the Working Party report and protoc ol of accession confirming any remaining
export control requirements in place upon the date  of accession would be fully consistent with
WTO provisions, including those contained in Articles XI, XVII, XX and XXI of the
GATT 1994.
Reply:
Albania confirms that the remaining quantitative export prohibitions include hides, skins and
leather; and waste and scrap of iron, steel, and copper.  The export prohibition on preparation of fish
products, crustaceans, molluscs, etc. is due to the International Organization for Epizootics listing of
Albania on countries with diseases from List A.  The ban is not a unilateral measure taken by the
Government of Albania.  The explanation has been  reported in the Memorandum of Restrictions and
Prohibitions for Exportable Products.  The same explanation applies to the prohibition related to the
residue and waste from prepared animal food.WT/ACC/ALB/39
Page 38
Albania confirms that the export prohibitions on hides, skins and unprocessed leather; and
waste and scrap of iron, steel, and copper will be lifted by the end of September 1999.
The following statement was requested for the Working Party report:
Albania confirms that the following products will be subject to export licensing: 93.01 - 93.07
(arms and munitions, parts and accessories thereof); 36.01 - 36.06.90.90 (explosives, pyrotechic
products, matches, pyrophoric alloys); 97.01 - 97.06 (modern works of arts).  The export licensing
regime for the abovementioned goods is in place  for the following purposes, respectively: that
licensing will be required to ad here to international commitments related to non-proliferation, mass
destruction and production of technologies thereof; to prevent trade of said products to hostile nations
subjected to international bans; to protect the cultural integrity and heritage of the Republic.  Albaniaconfirms that at the time of accession any remaining export control requirements in place will be fully
consistent with WTO provisions, including those co ntained in Articles XI, XVII, XX and XXI of the
GATT 1994.
(f) Export financing, subsidy and promotion policies
Export subsidies
Question 29.
In light of Albania’s statements on the issue of export subsidies, we propose the following:
The representative of Albania stated that from the date of accession Albania would not
maintain any subsidies, including export subsidies, which met a definition of a prohibited
subsidy within the meaning of Article 3 of the Agreement on Subsidies and Countervailing
Measures, and would not introduce such prohibited subsidies from the day of accession.  The
Working Party took note of this commitment.
Reply:
Albania does not have any export financing, subsidy or promotion policies.
The following statement for the Working Party report was requested:
The representative of Albania stated that from the date of accession Albania would not
maintain any subsidies, including export subsidies, which met a definition of prohibited subsidy
within the meaning of Article 3 of the Agreement on Subsidies and Countervailing Measures, andwould not introduce such prohibited subsidies from the day of accession.  The Working Party took
note of this commitment.
3. Internal Policies Affecting Foreign Trade in Goods
(a) Industrial policy, including subsidies
Question 30.Albania has stated that it does not at present provide any subsidies prohibited by WTO
Agreements.
Can Albania confirm that any subsidy programmes provided by its Government after accession
will be administered in line with the Agreement on Subsidies and Countervailing Measures andWT/ACC/ALB/39
Page 39
that all necessary information on notifiable programmes would be notified to the Committee on
Subsidies and Countervailing Measures in accordance with Article 25 of the Agreement upon
entry into force of Albania’s Protocol of Accession?
Reply:
Albania confirms that any subsidy programmes provided by the Government after accession
will be administered in line with the Agreement on Subsidies and Countervailing Measures and that
all necessary information on notifiable programmes will be notified to the Committee on Subsidies
and Countervailing Measures in accordance with Article 25 of the Agreement upon entry into force of
Albania's Protocol of Accession.
(b) Technical regulations and standards, including measures taken at the border with respect
to imports
Question 31.
We note that Albania’s new Law on Standardization addresses standards and technical
regulations in a generally straightforward manner.
Many of the important specific provisions re lated to Albania’s compliance with the TBT
Agreement will be contained in three government decrees which have yet to be completed orshared with the Working Party.
In addition, some aspects of the Law are very general, and do not explicitly mandate the
provisions of the TBT Agreement that Albani a has stated in ALB/32 that they cover.
ALB/32 states that “the Decree on Competencies on Conformity Assessment Procedures will
define the publications where notices of proposed technical regulations and conformity
assessment procedures will appear,” and the issue of publication for prior comment.  It also
states that the Decree will provide for the cons ideration of equivalent technical regulations of
other Members.  Two other decrees needed fo r full implementation are the decree on “the
adoption of the Code of Good Practice for Adoption and Application of Standards” and the
decree “on the exchange of information on  standards and technical regulations.”
Without these decrees, we cannot determine Alba nia’s level of compliance with the Agreement.
Could Albania indicate when the Decrees will be issued and when it will provide copies of them
for Working Party review?
Albania notes that Article 4 of the Law on Sta ndardization covers points 5A, 5B, 6A, 6B, and 6C
of the chart in ALB/32 and parts of  Articles 2, 3,  5, and 7, and Annex 3 (D, E, and F) Article
8.1, of the WTO TBT Agreement.
Article 4 does not seem to directly mandate the measures covered by that part of the TBT
Agreement.  Are there other decrees, regulations, or implementing provisions in Albanian law
that explicitly provide for this treatment?
Can Albania please define what is meant by “experimental standard” in Article 4?
In point 6D of ALB/32, Albania states that a "Code" provides for a nondiscriminatory fee
structureWT/ACC/ALB/39
Page 40
Is this the “code of good practice” or Albania’s Customs Code? (Please note:  the Code of Good
Practice is relevant only to standards, NOT to conformity assessment End note).
ALB/32 states that “Relevant ministries (Ministr y of Agriculture and Food, Ministry of Health,
Ministry of Labour and Immigration, Ministry of Public Works and Transportation, Ministryof Education and Science) are at present the responsible authorities responsible for notification,
publications and other internal procedures to ensure that transparency  obligations are met on
an ongoing basis.”
This does not indicate that Albania has established in law or regulation the requirements for
“notification, publication, and other internal procedures,” e.g., publication prior to enactment
for public comment, that would implement the provisions of the WTO TBT Agreement.
What steps is Albania taking to actually implement these provisions?  Please cite the provision
of Albanian law that addresses these issues.
ALB/32 states that “with regard to standards, the adopted code, letter "J", will be published by
the National Standards Body and will provide notification of draft standards and provide an
opportunity for public comment.”
What provision of law establishes this req uirement?  When will it be in operation?
ALB/32 states that “relevant ministries can take the decision to accept the results of conformity
assessment procedures conducted by bodies in an exporting Member country; and relevant
ministries will implement a non-discriminatory and a cost-based fee structure.”
Please describe how this works in practice and how Albania will ensure that the Ministries meet
the requirements of the WTO TBT Agreement in this regard?
Please describe the appeals process available to traders whose imports are blocked on the basis
of standards or on  sanitary or phytosanitary grounds and indicate the provision of law that
provides for this process.
Finally, we note that Albania’s Law on Stan dardization does not recognize manufacturer
self-declaration (MSD) for regulated products.
How does Albania intend to move towards this means of certification for low risk products in
the future?
The response to question 9 in WT/ACC/ALB/29 appears to state that Albania wants two years
after accession to implement enquiry points on TBT and SPS.  In addition, ALB/31 and ALB/32
both state that “Based on Article No. 15 of the law (i.e., the Law on Standardization), we need
about 2 years to implement the setting up of” Albania’s enquiry point for SPS and TBT.
Is this a correct reading of this response?
Article 15 of the Law on Standardization states:“Albanian standards in power ma y retain their status until three years following the enactment
of this Law.  The DSP shall state the names and numbers of compulsory Albanian standards
within the period determined in fi rst paragraph of this  Article.”WT/ACC/ALB/39
Page 41
Article 15 of the Standardization Law does not appear to have anything to do with setting up
enquiry points.   
In addition, ALB/32 states that “Albania will ha ve two Contact Points for information, one for
standards at the National Standards Body and on e for Technical Regulations in the Ministry of
Economic Co-operation and Trade”.  Is it Albania’s intend to delay the implementation of these
contact points for two years as well?
We are not prepared to approve Albania’s accession without confirmation that Albania’s
enquiry points for SPS and TBT are operational.  Albania should establish its enquiry points for
TBT and SPS immediately, notifying their addresses and other materials as provided for in the
Agreements.
Reply:
Albania, to be in full compliance with the TBT Agreement, is preparing a separate decree of
the government which in practice will adopt Articles  2, 5, 6, 8 and 9, of the TBT Agreement.
Articles 3 and 7 are not included because in Albania the technical regulation are prepared byministries or central public institutions and not by local administration.  This draft was distributed to
different ministries and approval is expected at the end of July.
In the Law on Standardization submitted to the WTO Secretariat, the translator forgot to
translate the last paragraph of the Article 4.  This paragraph states that ministries and the other centralpublic institutions are responsible for the preparation and the implementation of technical regulations
in all fields for which they are responsible.
The decree, "Code of Good Practice for the Preparation, Adoption and Application of
Standards" was approved by the Council of Ministers (No. 242, dated 28 May 1999). In practice itwill endorse the code as it is in the annex 3 of   TBT Agreement.  The decree, "Criteria and
Competencies Related to Standardization, Certification and Accreditation",  mainly deals with the
three activities covered by the General Directorate of Standardization. The draft is distributed to
different ministries for comments and is expected to be approved  by the end of June.  The decree,
"On Exchange of Information on Standards and Technical Regulations", is prepared in draft form.
This draft endorses the articles 10.1, 10.1.1, 10.1.2, 10.1.3. 10.1.4, 10.1.5, 10.1.6, 10.4, 10.7, 10.8,
10.9. 10.11, of the TBT Agreement.  The draft was distributed to different ministries for commentsand is expected to be approved by the end of June.  Each of these decrees have been submitted to the
WTO Secretariat (WT/ACC/ALB/38).
By experimental standards, Albania means a document prepared  as a prospective standards
for provisional application in areas of technology where there is a high level of innovation or wherean urgent need for guidance is felt, and where the safety of persons and goods is not involved.  The
time for its preparation is therefore reduced; once adopted this standards is subject to an experimental
period of up to three years, with a view to its transformation into a standard.
The Albanian Code of Good Practice is relevant only to standards and not to conformity
assessment procedures.  Those procedures are a subject of the abovementioned decree.  This is not the
part of Albanian's Custom Code.
The following statement was requested for the Working Party report:
Albania has provided for the "notification, publication, and other internal procedures", e.g.,
publication prior to enactment for public comment, that would implement the provisions of the
WTO's TBT Agreement.  This is included in the decree "On Exchange of Information on Standards
and Technical Regulation".WT/ACC/ALB/39
Page 42
Regarding the "notification of draft standards and provide an opportunity for public
comment" Albania states that they are part of the Code of Good Practice for Standards mentioned in
the statement.  The code will be in operation 15 day after the decision of the Council of Ministers
endorses it an is published in the Official Journal.
Concerning the statement for the "  … decision to accept the results of conformity assessment
procedures conducted by bodies in an exporting Member country; and relevant ministries  will
implement a non-discriminatory and cost-based fee structure", Albania states that those are included
in the decree of government which will adopt the articles 2,5,6,8 and 9 of the TBT Agreement.
Regarding self-declaration (MSD), for regulated products Albania has included it in the
decree for Criteria and Competencies for Standardization, Certification and Accreditation, chapter II,
point 9.
Albania will implement its inquiry points on TBT and SPS at the time of accession.  By an
order of the Prime Minister of Albania, No. 36, dated 06.05.1999, paragraph 7, it is officially
established that the enquiry point for TBT and SPS is  at the General Directorate for Standardization,
addressed : Rr.”Mine Peza”, Nr.143/3, Tirana, Albania, Tel. + 355 42 47176, Tel. & Fax. + 355 42
26255, E-mail: dsc@icc.al.eu.org .  Albania has notified the WTO Secretariat of this decision and
provided all the relevant information.  The Information & Sale Center of this Directorate will act as
the enquiry point.  This point is operational, and we have informed the Secretariat before Albania'sthird Working Party in January 1999.  It was the document WT/ACC/ALB/25 (F. UPDATE ON TBT
COMPLIANCE).  In this document we stated  th at "an information center for standards has been
created in compliance with the TBT Agreement’s call for an enquiry point".  Albania commits to fully
operational inquiry points for TBT and SPS at the time of accession and not two years after accession.
(c) Sanitary and phytosanitary measures, including measures taken with respect to  imports
Question 32.ALB/31 appears to contend that Albania can meet the provisions of the WTO SPS Agreement,
based on the provisions of the  "The Law on State Sanitary Inspectorate", No. 7643, dated
2 December 1992.
Please describe how SPS measures provided for in that Law will meet WTO requirements
regarding transparency, notification and access to documentation.  Specifically, please addressthe following:
- Identification of authority responsible for making notifications to the WTO and
ensuring transparency obligations  are met on an ongoing basis;
- Establishment of guidance or law requiring publication of proposed measures at an
early stage for comment;
- Provision in law or administrative procedure to provide copies of proposed measures to
WTO Members; and
- Requirement in law or administrative procedure, of a reasonable period of time for
comment from Members and the public, and establishment of a process to take comments into
account without discrimination.WT/ACC/ALB/39
Page 43
Please provide more details on how the law referenced in section 1 satisfies requirements under
the WTO for standstill.
Could Albania supply a copy of this law for Working Party review?
We are not prepared to agree that Albania meets SPS requirements until we have reviewed this
law and any regulations relevant to its op eration in the context of WTO provisions.
Our objective is to confirm that Albania will  apply all obligations under the WTO Agreements
on Sanitary and Phytosanitary Measures and Technical Barriers to Trade from the date of
accession.   We appreciate the efforts made to date by Albania in this regard.  We look forward
to reviewing the additional information offered  by Albania and recently requested to complete
our review and assessment.
Reply:
The Ministry of Agriculture and Food and the Ministry of Health are the authorities
responsible for making notification and ensuring transparency obligations regarding SPS measures to
the Directory of Standardization, and it is the Directory of Standardization which is the authority
responsible to making the notifications to the WTO to ensure transparency obligations are met on an
ongoing basis.  The address, phone and fax numbe rs, and e-mail address are provided in the updated
Memorandum on Compliance with the SPS.
 The Law on the "State Sanitary Inspectorate" is either to be amended or another law will be
drafted to include a provision that requires publication of proposed measures at an early stage for
comment.  The changes to the law will be made  for Albania to be in compliance with the SPS
Agreement at the time of accession.  When the draft is drawn, Albania will submit the legislation tothe WTO Secretariat for review.
The Law on the "State Sanitary Inspectorate" is either to be amended or another law will be
drafted to include a provision that specifies that copies of proposed measures will be provided to
WTO Members.  The changes to the law will be made for Albania to be in compliance with the SPS
Agreement at the time of accession.  When the draft is drawn, Albania will submit the legislation to
the WTO Secretariat for review.
The Law on the "State Sanitary Inspectorate" is either to be amended or another law will be
drafted to include a provision that specifies that will permit a reasonable period of time for comments
from Members and the public, and the establishment of a process to take comments into account
without discrimination.  The changes to the law will be made for Albania to be in compliance with theSPS Agreement at the time of accession.  When the draft is drawn, Albania wi ll submit the legislation
to the WTO Secretariat for review.
The Law on the "State Sanitary Inspectorate" is either to be amended or another law will be
drafted to include a provision that specifies that the law will satisfy the WTO requirement forstandstill.
Albania will be sending the Law on the "State Sanitary Inspectorate" to the WTO Secretariat.Albania commits to be in full compliance with the SPS and TBT at the time of accession.WT/ACC/ALB/39
Page 44
(d) Trade-related investment practices
Question 33.We asked that the following statements be refle cted in the draft of the Working Party report:
Albania confirms that there are no local content requirements imposed on foreign or domestic
firms to purchase or use products of Albanian origin or from any Albanian source, nor does
Albania require that a firm's, foreign or domestic, purchases or use of imported products be
limited to an amount related to the volume or value of the local products it exports.  The
commitments in the Memorandum on TRIMs (WT/ACC/ALB/30) apply in the case of Albanian
firms as well.
Albania confirms that there are no provisions that restrict imports, by foreign or Albanian
firms, to an amount related to the quantity or value of the product exported; there are no
export performance requirements of any sort for foreign or Albanian firms; and there are no
trade-balancing requirements in the Law, neither in its intention nor in practice, which apply inthe case of a foreign or Albanian firm.
WT/ACC/ALB/30 states that there are no local content requirements “imposed upon foreign
firms to purchase or use products of Albanian  origin or from any Albanian source,” nor
required that “ its purchases or use of imported products be limited to an amount related to thevolume or value of the local products it exports.”
Are there any such requirements for Albanian firms?ALB/30 also states that there “are no provisions that restrict imports to an amount related to
the quantity or value of the product exported”;  that there “are no export performance
requirements of any sort”; and that “there is no trade-balancing requirement in the Law,
neither in its intention nor in practice.”
We would like to see this information reflected in the draft Working Party report.
Reply:
The following statements were requested for the draft of the Working Party report:
Albania confirms that there are no local content requirements imposed on foreign or domestic
firms to purchase or use products of Albanian orig in or from any Albanian source, nor does Albania
require that a firm's, foreign or domestic, purchases or use of imported products be limited to an
amount related to the volume or value of the local products it exports.  The commitments in the
Memorandum on TRIMs (WT/ACC/ALB/30) apply in  the case of Albanian firms as well.
Albania confirms that there are no provisions that restrict imports, by foreign or Albanian
firms, to an amount related to the quantity or value of the product exported; there are no export
performance requirements of any sort for foreign or Albanian firms; and there are no trade-balancing
requirements in the Law, neither in its intention nor in practice, which apply in the case of a foreign or
Albanian firm.WT/ACC/ALB/39
Page 45
(e) State-trading practices
Question 34.Please describe the activities in international trade and domestic trade and distribution of the
“strategic” state trading firms Agroeksport, Industrialimpeks, Arteksportimport,
Makinaipmpeks, Albkoopi.  What products do th ey trade and on whose behalf, i.e., are their
trading activities principally on behalf of the output of other state-owned firms?  What non-
state owned competition exists to import and export similar products?  How would a private
firm go about trading in the good s now traded by these firms?
Why aren’t these firms state trading enterprise s within the meaning of Article XVII of the
GATT?
How did the 1991 Law on State Enterprises essent ially eliminate “state trading enterprises?”
We seek confirmation from Albania in the Work ing Party report and protocol of accession that
after accession to the WTO Albania would observe the provisions of Article XVII of the
GATT 1994, the WTO Understanding on that Article, and Article VIII of the GATS regarding
State trading, in particular abiding by the prov isions for notification, non-discrimination, and
the application of commercial considerations fo r trade transactions for any firms covered by
these provisions.
Reply:
Albania would like to clarify some issues related to state-trading enterprises.  All five state-
trading enterprises are non-strategic.  Two of the enterprises (Albcoop and Makinaimpeks) are nolonger in operation, but the property and assets have been assessed and are scheduled to be privatized
as entire firms.  After privatization, the firms are free to change structurally or to determine their
trading activities.  Albcoop imported different types of consumer items including food and non-food
products for wholesaling and retailing in Albania.  Makinaimpeks imported machinery parts and
industrial mechanical parts.  After privatization their activities will be determined by the owners.
The three other enterprises (Arteksportimport, Agroeksport, Industrialimpeks) are
stockholding enterprises presently entirely state-owned.  In the second half of 1999, according to the
privatization program, the shares of these enterprises will sold to the private sector and the
government will only maintain a minority share. E ach enterprise has as a main activity the import of
bulk agricultural commodities and food products (e.g., sugar, rice, wheat) and engage in wholesaling
activities for these commodities and products.  These enterprises operate under the same conditions asthe private firms with which they compete, without subsidies or preferential treatment (i.e.,
nondiscrimination) from the government.  Moreover, the government does not determine the business
decisions of the managers, i.e., no price-setting, quotas, etc.
Albania confirms that these enterprises make purchases or sales solely in accordance with
commercial consideration, including price, quality, availability and marketability, transportation and
other conditions of purchase or sale.  Albania affords adequate opportunity for enterprises in other
countries to compete for participation in such purc hases and sales.  Albania commits to privatizing
these enterprises by the time of accession.
Albanian Law on "Stockholding Tr ading Companies", Number 7638, dated
19 November 1992, defines the that such enterprises operate under the same conditions as private
enterprises. This law outlines the conditions specified in the previous paragraph.WT/ACC/ALB/39
Page 46
The following statement was requested for the Working Party report:
Albania confirms that after accession to the WTO it will observe the provisions of Article
XVII of the GATT 1994, the WTO Understanding on that Article, and Article VIII of the GATS
regarding state trading, in particular abiding by the provisions for notification, non-discrimination,and the application of commercial considerations for trade transactions for any firms covered by these
provisions.
(f) Free zones
(g) Free economic zones
Question 35.The response to question in WT/ACC/ALB/29 stated that the new draft law on free zones
provided that these entities are not considered to  be outside of Albania’s customs territory, and
therefore goods exiting the zone to the rest of Albania are not considered as imported goods
If goods entering the zones are exempted from normal tariffs and taxes can subsequently enter
the rest of Albania after processing without being subject to normal tax and trade measures,
wouldn’t that constitute discriminatory treatment vis-a-vis other imports?
Reply:
In the draft law “On Free Zones”, Article No. 2 (definitions) a free zone is defined as a
circulated and protected area of land, buildings and entities of trade, services and manufacturing
activities, that is considered part of the Republic of Albania’s customs territory.  In Article 21 (The
exit of goods from the free zone) of the abovementioned draft law it is stated that:
Goods from the free zone that enter into any other part of Albanian customs territory and that
do not have a transit destination to another country can enter into circulation into any other part of the
Republic of Albania’s customs territory after imposing of all import duties.  In general, the taxes are
applied on the total value of the goods, except in the cases when the goods are transformed through
value-added activity, i.e., processing with component s from the domestic market within the free zone.
The value of those components is deducted from the total value of the final product for the purpose ofthe customs duties.
Free zones are not considered outside of Albanian customs territory (according to Customs
Code), and the goods that exit from a free zone to the domestic market are subjected to the normal
taxes and trade measures.  Hence, there is no discrimination in the treatment of these goods relative toother imports.
(i) Mixing regulations
Question 36.Please confirm that Albania has no law or regulation requiring use of domestic and imported
goods in certain proportions or any other sort  of mixing regulations applied to imports.
Reply:
Albania confirms that it has no law or regulation requiring the use of domestic and imported
goods in certain proportions or any other sort of mixing regulations applied to imports.WT/ACC/ALB/39
Page 47
(j) Government-mandated counter-trade and barter
Question 37.In the response to question 58 of WT/ACC/ALB/29, Albania confirmed that it maintains no
government mandated counter trade or barter.
We would like to see this reflected in the Working Party report.Please indicate if non-mandated barter trade is permitted under Albanian law?  If so, are
duties, taxes, and other restrictions and requirements applied to imports and exports conducted
as barter or countertrade?
Reply:
Albania confirms that there are no government-mandated counter-trade and/or barter
arrangements.
Although Albania does not have any provisions  in its Customs Code or any other law
regarding non-mandated barter, it is allowed.  However, imports and exports conducted as barter or
countertrade cannot benefit from exemptions of duties, taxes, and other restrictions and requirements
that apply under the trade regime.
(l) Government procurement practices, including general legal regime and procedures for
tendering, dealing with tenders and award of contracts
Question 38.In response to question 59 of WT/ACC/ALB/29, Albania confirmed its intent to join the
Agreement on Government Procurement.  In li ght of this, we suggest that a commitment be
included in Albania’s Working Party report and pr otocol of accession along the following lines:
The representative of Albania confirmed that , upon accession to the WTO, Albania would
initiate negotiations for membership in the Agreement on Government Procurement by tablingan entity offer.  He also confirmed that, if the results of the negotiations were satisfactory to the
interests of Albania and the other members of the Agreement, Albania would complete
negotiations for membership in the Agreemen t by 31 December 2000.  The Working Party took
note of these commitments.
Reply:
Government procurement practices, including general legal regime and procedures for
tendering, dealing with tenders and award of contracts
The Government of Albania is submitting a Memorandum on the Compliance with the
Agreement on Government Procurement to the WTO Secretariat (WT/ACC/ALB/42).
The following statement was requested for the Working Party report and protocol of
accession:
The representative of Albania confirmed that, upon accession to the WTO, Albania would
initiate negotiations for membership in the Ag reement on Government Procurement by tabling an
entity offer.  He also confirmed that if the results of the negotiations were satisfactory to the interestWT/ACC/ALB/39
Page 48
of Albania and the other members of the Agreem ent, Albania would complete negotiations for
membership in the Agreement by 31 December 2000. The Working Party took note of these
commitments.
4. Policies Affecting Foreign Trade in Agricultural Products
(e) Internal policiesQuestion 39.We appreciate the hard work that Albania put into preparing WT/ACC/SPEC/ALB/4 on its
agricultural trade and subsidy regimes.  It is  a very complete and thorough submission.
For the purposes of accession, Albania should prepare tables on domestic support and export
subsidies using the WTO Secretariat technical memo WT/ACC/4.  Acceding countries are not
required to submit documentation using the formats presented in G/AG/2, upon which
WT/ACC/SPEC/ALB/4 appears to be based (although its good practice for when Albania is amember of the WTO and participating in the Committee on Agriculture!).
We encourage Albania to undertake commitments based on its current use of measures
consistent with “green box” (Annex 2) criteria and non-application of export subsidies.
Our comments will focus on the tables contained in WT/ACC/4, namely supporting tables DS:1
through DS:9, and supporting table ES:1.
First, Albania should present data for a recent  base period, normally the most recent three
years, for which complete and final data are available.  Since 1998 just ended, we wonder if thedata reported for 1998 are final data or projections?  If the data for 1998 are not final, it would
be better if Albania presented data for 1995-97, or 1994-96 if 1997 data are not yet available.
For each table, please present data for each  of the three years, not just the average.
Second, we have some specific questions relating to the measures Albania lists in supporting
table DS:1 (measures exempt from reduction–“g reen box”).  Generally speaking, it would be
useful to have a 1-3 sentence description of each  of the measures listed in this table and how
they meet Annex 2 criteria (this information can be inserted next to the program name or added
as a footnote at the end of the table).
Expenditures relating to fisheries (e.g., fish breeding and stock rehabilitation) should not be
included, since the Agricultural Agreement does not cover fish and fish products (see Annex 1 to
the Agreement).
Expenditures relating to upkeep of buildings a nd other administrative costs, unless directly
related to the provision of a specific service, should also be omitted.  For example, restoration of
public administration buildings, listed und er “other,” does not need to be included.
Please provide more detail on the measures listed under “infrastructural services.”
Expenditures to subsidize the costs of inputs (such as water) are not allowed (see para. 2(g) of
Annex 2).
Please provide more information on direct payments made as part of the “agribusiness-
processing development” program (structural adjustment through investment aids) and
environmental protection and conservation programs (payments under environmental
programs), with reference to the specific criteria in paras. 11 and 12.WT/ACC/ALB/39
Page 49
Third, we note that in supporting table DS:2 Albania notes that it does not provide generally
available input subsidies, except those from “medium term (3-5 years) international projects.
Although there are no expenditures listed, Albani a should be aware that it does not need to
include programs that are funded by international projects in its domestic support submission.
Lastly, a comment concerning support for flour for making bread, which Albania notes in
supporting table DS:4 was phased out in 1996.  Based on information presented in
WT/ACC/SPEC/ALB/1/Add.1 and WT/ACC/ALB/23/Rev.1, it appears that this measure
functioned as a price control on flour rather than market price support for grain producers.
Annex 3 to the Agreement on Agriculture specifies that the Aggregate Measurement of Support
(AMS) be calculated as close as practicable to the first point of sale of the basic agricultural
product concerned, meaning that support to processors would not be included in the AMS,
except to the extent that it benefits the primary producer.
If Albania set an applied administered price fo r wheat or other grains, or provided any other
product-specific subsidy, then this support  should be captured in Albania’s AMS.
Based on the information provided, it does not a ppear that the price control on flour for bread
would fit this description.
Reply:
Please refer to the changes in the updated Agricultural Schedule and the accompanying
Memorandum  on the Responses to the Questions Related to Policies Affecting Foreign Trade inAgricultural Products (Guide to the Revisions to  the Agricultural Schedu le) (WT/ACC/ALB/4/Rev.2)
V.     TRADE RELATED ASPECTS OF INTELLECTUAL PROPERTY REGIME
1. General(d) Application of national and most favoured nation treatment to foreign nationalsQuestion 40.When will Albania provide most favoured nation  treatment (Art. 4 of the TRIPs Agreement)?
Reply
There are no restrictions in Albania’s laws related to intellectual property rights for providing
MFN treatment.  Thus, Albania already provides and commits to provide MFN treatment at the time
of accession in WTO.
Question 41.
Reference is made to the Law on “Some Changes in the Law of Industrial Property” and it
appears that this is intended to address some of the deficiencies identified   in ALB/36.  Has this
draft law gone to parliament yet?  Can we see a copy?
We would also like to see the draft amendments on border measures noted in the chart in the
chart in WT/ACC/ALB/36.WT/ACC/ALB/39
Page 50
Reply
The Law on “Some Changes in the Law of Industrial Property” has passed in the Parliament
on 22 April 1999.  The number assigned is 8477.  A copy is available in the Secretariat (AccessionsDivision, Room 1126) for consultation (WT/ACC/ALB/38)
In the “Implementing Provisions of Customs C ode”, approved by the decision of the Council
of Ministers No.205 on 13 April 1999, Title 9 (“Coun terfeited goods and pirated goods”), points 118-
120 deal with  the system of  enforcement at the borders.  A copy is available in the Secretariat
(Accessions Division, Room 1126) for consultation (WT/ACC/ALB/38)
Question 42.
Why does Art. 2(2) of the Law on Industrial Property provide national treatment only on the
basis of international treaties and conventions to which Albania is a Party or on the basis of
reciprocity?
Reply
According to Article 100 of the Law on Industrial Property, which stipulates: “If an
international agreement to which the Republic of Albania is a party provides rights other than, ordifferent from those laid down by this Law, the provisions of the international agreement shall be
applicable”, at the time of its accession to WTO, Albania shall accord to the nationals of other
Members treatment no less favourable than that it accords to its own nationals. (Art. 3 of the TRIPs
agreement)
In addition, in Article 18 of the new Law on “Some changes and Supplements on the law
No. 7819, 27 April 1994, of Industrial Property”, promulgated on 22 April 1999, it is stated :
“Nationals of non-Member countries domiciled or that have real and effective industrial or
commercial establishments in a Member country shall be treated as nationals of a Member country”.
Question 43.
We remain interested in receiving copies of Albania’s latest copyright laws - Law No. 7564 of
19 May 1992 on Copyright and Law No 7932 of 19 April 1995 amending Law No. 7564.
Reply
The Law No 7932 of 19 April 1995 will be submitted.
Question 44.
We would like an update on remaining legal instruments under development :Has the draft Law on the “Protection of Topograp hies of Integrated Circuits” been transmitted
for parliamentary action yet?  May we review a copy?
Reply
The Law on the “Protection of Topographies of Integrated Circuits” has been promulgated on
13 May 1999.  It is assigned the number 8488.  A copy is available in the Secretariat (Accessions
Division, Room 1126) for consultation (WT/ACC/ALB/38)WT/ACC/ALB/39
Page 51
Question 45.
ALB/33 notes that “The Right on Information”  and the Law on “Protection of Personal Data”
are in development.  Have they gone to the parlia ment for action yet?  May we have a copy for
review?
Reply
The Law on “The Right to Information over the Official Documents” and the Law on
“Protection of Personal Data” have not gone to the Parliament yet.  They are expected to be passed
during the next three months.
2. Substantive standards of protection, incl uding procedures for the acquisition and
maintenance of intellectual property rights
(h) Requirements on undisclosed information, including trade secrets and test dataQuestion 46.For which time period does Albania protect data submitted to obtain marketing approval for
pharmaceuticals?
Reply
In the Regulation of the Commission of the Verification of Manufacturing Conditions on
Pharmaceuticals, the time period during which Albania protects data submitted to obtain marketingapproval for pharmaceuticals, in not defined.  These data are deposited in the National Center of
Drugs Control of Albania.
Article 39.3 of the TRIPs agreement which deals with that question does not mention any
time period either.
Question 47.
In the response to the final question in WT/ACC/ALB/8/Add.9, Albania states that “there is no
one system of enforcement at the borders in Albania.”
Are borders controlled by federal authorit ies or are they controlled by subfederal
organizations?  Please describe each of the border enforcement systems currently in place in
Albania.
We appreciate Albania’s completion of the char t on TRIPS Compliance.  It demonstrates how
far along Albania is in implementing the WTO TRIPS Agreement.  We would like an update onthe remaining legal instruments under development.
Has the draft Law on the "Protection of Topographies of Integrated Circuits" been transmitted
for parliamentary action yet?  May we review a copy?
WT/ACC/ALB/33 notes that the Law on "The Right of Information” and Law on “Protection of
Personal Data" are in development.  Have they  gone to the parliament for action yet May we
have a copy for review?WT/ACC/ALB/39
Page 52
Reference is made to the Law on "Some Changes in the Law of Industrial Property" and it
appears that this is intended to address some of the deficiencies identified in WT/ACC/ALB/36.
Has this draft law gone to parliament yet?  Can we see a copy?  We would also like to see the
draft amendments on border measures noted in the chart in WT/ACC/ALB/36.
We remain interested in receiving copies of Albania’s latest copyright laws - Law No.7564 of
19 May 1992 on Copyright  and Law No.7932 of 19 April 1995 amending Law No.7564).
We will have further comments later.
Reply:
Albanian borders are controlled by the central customs authorities of the Albanian State. In
Albania there is already a legal base that ensures a system of border measures for the prohibition of
counterfeit or pirated goods that infringe and violate intellectual property rights. The preparation and
drafting of this legal base has been completed and aimed at an effective guarantee of the enforcement
of intellectual property rights in Albania in  compliance with the TRIPs agreement.
Law on "The Customs Code in the Republic of Albania", No. 8449, dated 27 January 1999,
Article 82, Paragraph 4, gives the customs authorities the competence to intervene, upon request of an
holder of an intellectual property right  for stopping the free circulation, export, re-export and place
under suspension measures goods recognized as counterfeit or pirated.  The procedures of thisintervention of customs authorities are established in the Decision of the Council of Ministers No. 205
dated 13 April 1999, entitled "The Implementing Provisions on Customs Code".  The first part of this
decision defines counterfeit and pirated goods according to Article 82 of the Customs Code. Title 9
defines the procedures of action of customs authorities.  According to Point 119, the customs
authorities take action after an application in writ ten form of the holder of the right, when the
counterfeit or pirated goods are released for free circulation under a transit procedure or a procedure
with economic impact.
The application of the holder of the right shall be in written and contain a sufficiently detailed
description of the goods to enable the customs auth orities to recognize them, the length of the period
during which the customs officers are requested to take action and any other useful information to
identify the exporter and the importer. The application shall be accompanied by proof that theapplicant is holder of a trade mark, production license, copyright etc.  The customs authorities
examine the application, notifying the applicant within five days whether it has been taken into
account.  When the application is accepted the decision of the General Directorate shall be notified
promptly to all customs offices. This decision determines a period within which the customs
authorities may intervene.  The decision may fore see that the applicant shall forward a down payment,
subject to repayment of any excess amount, to cover any administrative charges occurred to the
customs administration for carrying out the services. If the applicant shall not agree with the given
amount, the General Directorate shall review it.
Point 120 of the Decision of the Council of Ministers No. 205 defines the control procedures
of counterfeit and pirated goods according to the description of the rights’ holder and after continuos
counseling with him.  When customs authorities prove that the controlled goods correspond to the
description of the applicant they suspend their release or seize the goods depending on the
circumstances and visible proof. They have to noti fy the applicant immediately about the action taken.
In accordance with the legislation in force regarding the protection of professional, commercial andindustrial secrecy, the customs authorities notify the holder of the right of the name and address of the
declarant, and if known, the name of the consignee of the goods, with a view to allow the applicant to
take the legal action provided by the legislation in force in the field.WT/ACC/ALB/39
Page 53
If the applicant requests to inspect the suspended or seized goods, the custom authorities
allow him to do so.  After notification of the de cision of the General Customs Directorate for the
suspension of seizure of the goods, the holder of the right has the right to appeal to the competent
judicial bodies for the damage incurred to him and to require compensation, but he has to notify the
customs authorities within 20 days. If the holder of the rights does not notify the customs authoritiesin 20 days, they suspend the decision for the suspension or seizure of the goods, and release these
goods.  If the charges of the applicant are not proven, and damage has been incurred to the importer or
any third party as a result of the intervention of the customs authorities, the applicant is responsible
and must compensate for the damage made. The applicant must make a down payment for storing
expenses of the goods.
The Law on the "Protection of Topographies of Integrated Circuits" has been promulgated on
13 May 1999.  It is assigned the number 8488. A copy has been sent to Washington and to the WTO
Secretariat.
 The Law on "The Right to Information over the Official Documents" and the Law on
"Protection of Personal Data" have not gone to the Parliament yet.  They are expected to be passedduring the next three months.
The Law on "Some Changes in the Law of Industrial Property"  has passed Parliament on 22
April 1999 and the assigned number is 8477.
In the "Implementing Provisions of Customs Code", approved by the decision of the Council
of Ministers, No. 205 on 13 April 1999, Title 9 (" Counterfeited Goods and Pirated Goods"), points
118-120 deal with  the system of  enforcement at the borders.
Copy of this Law will be submitted.
VII. INSTITUTIONAL BASE FOR TRADE AND ECONOMIC RELATIONS WITH THIRD
COUNTRIES
1. Bilateral or Plurilateral Agreements Relating to Foreign Trade in Goods and Trade in
Services
Question 48.
We continue to seek a commitment from Albania that it will join the WTO Agreement on Trade
in Civil Aircraft upon accession and eliminate tariffs on imports of civil aircraft and parts.
Reply:
Albania commits that at the time of accession its imports on civil aircraft and parts will be
zero.  Furthermore, Albania will be in conformity with the Agreement on Trade in Civil Aircraft and
will be ready to sign the Agreement at the time of accession.
2.      Economic Integration:  Customs Union and Free Trade Area Agreements
Question 49.
WT/ACC/ALB/4 stated that “There are no cases where Albania's trade agreement partners
receive preferential treatment compared to other countries.”
Is that still the case?  Does Albania contemplate concluding any such agreements?WT/ACC/ALB/39
Page 54
Could Albania please provide information on any preferential trade agreements covering
services issues it has or is in the process of negotiating?
Reply:
Albania confirms that there are no cases where Albania' trade agreement give its partners
preferential treatment in goods.  Albania does not  contemplate concluding any such agreements.
In the updated schedule on services, Albania notes that it has bilateral agreements related to
air transport services which are MFN exemptions.  The list of countries is provided in the schedule.
The following statement was requested for incorporation in the Working Party report:
The representative of Albania stated that his Government would observe the provisions of the
WTO including Article XXIV of the GATT 1994 and Article V of the GATS in its trade agreements
from the date of accession, and would ensure that the provisions of these WTO Agreements fornotification, consultation and other requirements concerning preferential trading systems, free trade
areas and customs unions of which Albania became a member would be met.  The Working Party
took note of these commitments.
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