IT-Silkroad

[Consolidated Public Notice]

■ Outline

Consolidated public notice refers to the notice announced by the Minister of Knowledge Economy, by consolidating full ranges of requirements of import and export, prescribed in up to 60 related statutes other than the Foreign Trade Act.

The consolidated public notice was devised to help each subjects of trade easily check and utilize import/export requirements through the integration of requirements regulated by each ministries, given the circumstances that detailed restrictions on import/export are prescribed over 60 statutes, responsible administrative agencies can be different, and the contents are being changed noticeably.

Practical regulations are enforced by relevant statutes because consolidated public notice itself means integrating import/export requirements and corresponding items to each HS code.

■ Legal Basis, etc.

To fulfill the purpose of consolidated public notice, the Foreign Trade Act is regulating that the head of all administrative agencies are required to report to the Minister of Knowledge Economy prior to the enforcement of relevant regulations when they intend to modify or establish statutes related to requirements of import/export, and the Minister of Knowledge Economy is required to consolidate and notify newly modified and established regulations.

Items subject to the compliance of requirements of consolidated public notice are up to 7,000 items(HSK) for import, and up to 500 items(HSK) for export. That indicates that consolidated public notice is the foundation of import/export regulations in Korea.

■ The Meaning of Consolidated Public Notice in Trade with Korea

Consolidated public notice suggests requirements that the subject of import/export is required to abide by in accordance with related laws.

Extra cautions are needed because the failure to comply with these requirements is indicating the impossibility of import/export clearance as well as illegal behaviors.

■ The Confirmation of Requirements

☉ The Definition of Items Required for Requirements Confirmation

Items required for requirements confirmation refer to goods which are necessary for permit, recommendation, report, inspection, examination, approval of the method of testing, model recognition, etc. from the head of responsible agencies or related organizations.

☉ The Term of Validity for Requirements Confirmation

The license and recommendation letters issued by these organizations are collectively referred to as requirements confirmation. the validity period of the requirements certificate is valid for one year from the date of issuance, which is the period of validity of import and export of foreign trade law, unless otherwise specified in applicable laws and regulations.

☉ Required Documents for Application of Requirements Confirmation

Following documents are required to be submitted to requirements confirmation agency. Provided, that submission of electronic documents, in part or in whole, is possible and adding or omitting documents are possible as well.

ㅇ Three copies of applications of requirements confirmation of import/export or three copies of standard clearance schedule reports

ㅇ A copy of import contract or an offer sheet(for import)

ㅇ A copy of export letter of credit or an export contract(for export)

ㅇ A copy of import/export proxy contract(for entrusted import/export only)

ㅇ Requirements and procedures related documents, etc. prescribing statutes applied to relevant items and the method of import/export by items of such consolidated public notice

■ The System of Exemption from the Compliance of Requirements

Following categories are allowed for free import/export without complying with requirements and procedures prescribed in consolidated public notice.

ㅇ Imported materials for the obtaining of foreign currency

ㅇ Entrepot trade goods, imported goods foreign delivered, exported goods overseas transferred, articles for ship

ㅇ Items that are exempted from import / export approval under the Foreign Trade Act

ㅇ With respect to goods additionally prescribed in relevant statutes as the grounds of exemption from requirements confirmation, etc.

However, if the goods are subject to statutory regulations that are closely related to the safety and health of the population as follows: Exemption from requirements is not permitted.

ㅇ Act on the Management of Narcotic Drugs.

ㅇ Plant Protection Act

ㅇ Act on safety management of guns, swords, explosives, etc.

ㅇ Act on the transfer of waste and its treatment

ㅇ Act on the Regulation, etc. of Manufacture of Specified Substances for the Protection of the Ozone Layer

ㅇ Prevention of livestock epidemic

ㅇ Act on Wildlife Protection and Management

ㅇ Grain management method

ㅇ Pharmaceutical Only for misuse / abuse medicines designated by the Food and Drug Administration Director However, this is not the case when a prescription is submitted to the customs manager for self-treatment purpose)

ㅇ Chemicals Management Act

ㅇ Act on Registration and Evaluation of Chemical Substances

ㅇ Special Act on Imported Food Safety Management

ㅇ Electric Appliance Safety Management Act

ㅇ Aquatic Disease Control Act

ㅇ Act on the Conservation and Utilization of Biodiversity

ㅇ Waste management law

ㅇ Law Concerning the Recycling of Electric and Electronic Products and Automobiles

ㅇ Defense Business Act

ㅇ Special Act on Children's Product Safety

ㅇ Sanitation control method

■ The Structure of Regulations on Import and Export in Korea

The regulations on requirements of import and export consist of 1) The system of public notice for import/export, 2) The system of consolidated public notice, 3) The system of requirements confirmation of the head of a customshouse, 4) Control of strategic items, etc.

Almost all requirements on import and export can be confirmed and executed in ranges of above four systems, and effective confirmation of requirements is possible because all systems are related with HS code.

■ The Interrelation between Systems

In trade transaction with Korea, where relevant items are subject to above mentioned four systems or more than two requirements in the same system, traders have to satisfy all requirements of systems at the same time.

In other words, the permission on any requirement of a system doesn't mean permission on any other requirements of other systems.

■ The Coverage of TCS Program

Under CTS program, once users select items and the country of transaction, they can check automatically all requirements of every system, and detailed explanations related with entered information.

Accordingly, if simulation shows specific requirements concerning entered information, users have to pay attention to the compliance of requirements.

Please check detailed information in relevant sections and detail .