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THE TIR CONVENTION THE ONLY GLOBAL CUSTOMS TRANSIT SYSTEM United Nations Economic Commission for Europe (UNECE) Transport Division Border Crossing Facilitation Section. General principles of transit. Movement of goods under Customs control

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The tir convention the only global customs transit system

THE TIR CONVENTION

THE ONLY GLOBAL CUSTOMS TRANSIT SYSTEM

United Nations Economic Commission for Europe

(UNECE)

Transport Division

Border Crossing Facilitation Section

Regional TIR seminar


General principles of transit
General principles of transit

  • Movement of goods under Customs control

  • Without payment of duties and taxes in exchange for the deposit of a guarantee

  • Additional requirements such as use of Customs seals, time limits and security measures, based on risk assessment

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The tir convention the only global customs transit system

  • National transit

  • Bilateral or multilateral transit

    • Closed system between two or more countries

    • Usually based on Customs union

    • Recognition of freedom of transit, Article V GATT

  • Global transit

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The tir convention the only global customs transit system

TIR Convention

Background & characteristics

  • History:

    • First Convention 1959, revision 1975

    • From 6 countries to 68 countries (Operational: 56)

    • During the last 15 years: 24 new Contracting Parties

  • Objective:

    • Facilitation

    • revenue protection + Customs checks

  • Only global transit procedure

  • Intermodal (trucks and containers)

  • Public/Private Partnership

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The tir convention the only global customs transit system

Contracting Party where Convention is applied (2008)

Contracting Party where Convention is not applied (2008)

Potential Contracting Party

Geographical scope

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The tir convention the only global customs transit system

THE TIR CUSTOMS TRANSIT PROCEDURE

Number of TIR Carnets issued

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The tir convention the only global customs transit system

ADVANTAGES

Customs Authorities

  • No physical inspection of goods in transit (in principle)

  • No national guarantee system

  • No national Customs documentation and control system

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The tir convention the only global customs transit system

ADVANTAGES

Transport/Trade Industry

  • Minimum of procedures at border crossings

  • No restriction in the modes of transport used

  • Significant reduction of transport costs (reduced export and import costs)

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The tir convention the only global customs transit system

THE TIR CUSTOMS TRANSIT PROCEDURE

The five pillars of the TIR System

TIR Convention, 1975

5 pillars of the TIR system

Secure vehicles

or containers

International

guarantee

Mutual recognition

of Customs

control

Controlled

access

Document

(TIR Carnet)

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Administrative structure

TIR Convention

ADMINISTRATIVE STRUCTURE

TIR Administrative Committee

UNECE

Working Party

WP.30

International

organization

IRU

TIR Executive Board

TIR Secretary

TIR secretariat

Country A Country B Country C

National association

National association

National association

Government

Government

Government

United Nations

Private Sector

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The tir convention the only global customs transit system

TIR Administrative Committee

Mandate

  • Highest organ of the TIR Convention

  • All Contracting States are represented and have one vote each

  • Only Contracting States are allowed to decide and vote

  • Meets (at present) twice a year in Geneva (Switzerland)

  • English, French and Russian are working languages (at present)

  • Composition, functions and rules of Administrative Committee are provided in Annex 8 of TIR Convention

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The tir convention the only global customs transit system

TIR Administrative Committee

  • Considers and adopts amendments to the Convention (legal provisions and Explanatory Notes thereto)

  • Decides on comments (interpretation) of the Convention

  • Monitors the application of the Convention in Contracting States

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The tir convention the only global customs transit system

TIR Administrative Committee (cont’d)

  • Supervises the activities of the TIR Executive Board (TIRExB)

  • Elects members of the TIRExB and decides on its annual budget

  • Authorizes an international organization to take on the responsibility for the organization and functioning of an international guarantee system and to print and distribute TIR Carnets (Article 6.2bis)

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The tir convention the only global customs transit system

TIR Executive Board

Mandate

  • Subsidiary body of TIR Administrative Committee

  • Fulfils the tasks entrusted to it by the Convention (Annex 8) and by the Administrative Committee based on its Terms of Reference

  • Composed of 9 members (experts) elected by Administrative Committee

  • Members have 2 years terms of office

  • Meets as often as required (also by correspondence)

  • Decides on and regularly reviews its priorities of work

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The tir convention the only global customs transit system

TIR Executive Board (TIRExB)

  • Supervises the application of the Convention world-wide

  • Supervises the operation of the international TIR guarantee system

  • Supervises the printing and distribution of TIR Carnets

  • Coordinates exchange of intelligence among Contracting States

Regional TIR seminar


The tir convention the only global customs transit system

TIR Executive Board (TIRExB) (cont’d)

  • Fosters exchange of information between Governments and IRU

  • Facilitates settlement of disputes

  • Supports training of Customs personnel

  • Maintains central information/data records (on guarantee and national contracts, authorized operators, etc.)

  • Monitors the price of TIR Carnets

Regional TIR seminar


The tir convention the only global customs transit system

TIR Executive Board (TIRExB)

Secretariat

  • TIR Secretary (executes decisions of TIRExB)

  • Assisted by a TIR secretariat

    Financing

  • Work of TIRExB members is financed by their respective governments

  • Most operational costs are financed by an amount per TIR Carnet (2009: US$ 0,50 per TIR Carnet)

  • Other costs are financed by UN Regular Budget

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The tir convention the only global customs transit system

UNECE WP. 30

(Working Party on Customs Questions affecting Transport)

Mandate

  • Governmental organ of UNECE and other interested United Nations Member States and interested international organizations

  • Consultative body for large number of multilateral treaties of the United Nations

  • Decisions are usually taken by consensus

  • Meets usually three times a year in Geneva

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The tir convention the only global customs transit system

UNECE Working Party (WP.30)

(Working Party on Customs Questions affecting Transport)

Activities

  • Prepares amendments, interpretations, best practices for UN treaties relating to border crossing facilitation, particularly Customs issues

  • Prepares the decisions of the TIR Administrative Committee

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The tir convention the only global customs transit system

UNECE TIR SECRETARIAT

Transport Division

8-14, Avenue de PaixCH-1211 Geneva 10Switzerland

Phone: +41 22 917 15 31

Fax: +41 22 917 06 14

Email address: tirexb@unece.org http://tir.unece.org

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