Rules of Origin

What’s new?

• 14 November 2022 – Calculation of national currencies
  • Calculation of national currencies for SACU-EFTA – SACU secretariat (2023)
  • Calculation of national currencies for SADC-EPA (2023)
  • Calculation of national currencies for SACUM – UK EPA (2023)
• 5 May 2022 – Customs and Excise Branch Contact details for Rules of Origin queries and general information

• 11 November 2021 – Update and state of play of the AfCFTA

  Preferential trade under the AfCFTA is not yet possible as the tariff schedules required are still being negotiated. Once an agreement is reached on the tariff schedules, they will be appended to Annex 1 to the AfCFTA for adoption by the AU Submit. See the letter to Trade.  

• 11 October 2021 – Calculation of national currencies for the various trade agreements

  • Calculation of national currencies for the SADC-EU-Economic partnership agreement (EPA)

  • Calculation of national currencies for the SACUM-UK-Economic partnership agreement (EPA)

  • Calculation of national currencies for the SACU-EFTA trade agreement

• 14 April 2021 – Implementation of paragraph 2.3(c)(A)(i) of the External Policy – Administration of Trade Agreements
  
  
• 12 March 2021 – AfCFTA registration process
  
  
• 9 October 2020 – Calculation of national currencies
  • Calculation of national currencies for SACU-EFTA Trade Agreement
  • Calculation of national currencies for SADC-EU-Economic Partnership Agreement (EPA)
    
    
• 14 April 2020 – Application of Origin proof requirement during the COVID-19 crisis under the SADC-EU-EPA
  
  South Africa and the European Commission has relaxed the requirement to insist on the presentation or submission of original certificates of origin to prove the originating status of goods at the time of clearance. Instead, copies or electronic versions of proof of origin will be accepted in an attempt to curb the spread of the COVID-19. In South Africa, the relaxation of the rules is subject to the submission of the original certificates within 12 months after being issued in the European Union (EU). While Article 26 to Protocol I of the SADC-EU Economic Partnership Agreement (EPA) requires the submission of an original proof of origin within ten (10) months, SARS will honour or accept copies or electronic versions of certificates of origin while awaiting the submission of the original versions within twelve (12) months after being issued in the EU.
  
  
• 22 November 2019 – Circulars of the National currencies for the SADC EPA and SACU EFTA Trade Agreements
  
  
• 17 April 2019 – Implementation of the Registered Exporter System (REX System) for the certification of goods exported under the Norwegian Generalized System of Preference (GSP)
  
  
• 23 May 2018 – Implementation of the Registered Exporter System (REX) for the certification of goods exported under the Norwegian Generalized System of Preference (GSP)
  
  
• 22 May 2018 – Electronic Data Exchange (EDI) submission of vouchers of correction and declaration of determination numbers and proofs of origin for refund purposes
  
  
• 01 December 2017 – Letter to external stakeholders – Calculation of national currencies for the SADC-EU-Economic Partnership Agreement
  
  
• 18 September 2017 – Letter to external stakeholders – Approved Exporter status in terms of the SADC-EU EPA and SACU-EFTA Trade agreements.

What are Rules of Origin?

Rules of Origin are the criteria that are used to define where a product was made. They are an essential part of international trade rules because of policies that “discriminate” between exporting countries.  

The origin of a product is used to determine the import duty payable and whether it is subject to an antidumping or countervailing duty. It is also used for the compilation of trade statistics and for “Made in …” Labels.  

In other words, the origin of a product is important because it will determine how it is treated at the border of an importing country and the origin may impact on the import duty payable and admissibility into the country.   

In addition, Rules of Origin may also determine whether goods are entitled to the payment of less or no Import duties. For this reason, there is a distinction between non-preferential and preferential Rules of Origin.  

The non-preferential rules are applied for “Most-favoured Nation” (MFN) trade purposes (i.e. where goods are subject to the general rates of duty) and the preferential rules of origin are applied in the case of Free Trade Agreements and other preferential duty schemes (e.g. agreements where countries have agreed to eliminate or reduce import duties on goods produced in each other’s territories).  

South Africa has signed a number of trade agreements with its trading partners in the past few years, including the TDCA, SADC, EFTA, SADC EPA and SACU MERCUSOR trade agreements. More information on these and other trade agreements can be found under Trade Agreements and Schedule 10.

Apart from trade agreements, South Africa also benefits from other international instruments or agreements, such as the African Growth and Opportunity Act (AGOA) and the different Generalized Systems of Preferences (GSPs), of which you will find more information under Other International Agreements.

For additional information, email rulesoforigin@sars.gov.za.