CSMS Message: 02-001163

DATE: 09/06/2002
TO: DIRECTORS, FIELD OPERATIONS

FROM: EXECUTIVE DIRECTOR, TRADE COMPLIANCE AND FACILITATION
OFFICE OF FIELD OPERATIONS

SUBJECT: TBT-02-031 CAPE VERDE TEXTILE VISA ARRANGEMENT FOR
CLAIMS UNDER THE AFRICAN GROWTH AND OPPORTUNITY ACT
(AGOA)

REF: TBT-01-008 AGOA IMPLEMENTATION INSTRUCTIONS

BACKGROUND:
THE TRADE AND DEVELOPMENT ACT OF 2000 ("THE ACT"), WHICH WAS SIGNED
INTO LAW ON MAY 18, 2000, AUTHORIZED A NEW TRADE AND INVESTMENT POLICY
FOR SUB-SAHARAN AFRICA. THE PRESIDENT IS AUTHORIZED TO DESIGNATE A
SUB-SAHARAN AFRICAN COUNTRY AS AN ELIGIBLE BENEFICIARY COUNTRY
BASED ON SEVERAL CRITERIA ESTABLISHED IN THE ACT. THE CRITERIA
INCLUDES THAT THE SUB-SAHARAN AFRICAN COUNTRY HAS ADOPTED AN
EFFECTIVE VISA SYSTEM AND HAS IMPLEMENTED AND FOLLOWS, OR IS
MAKING SUBSTANTIAL PROGRESS TOWARD IMPLEMENTING AND FOLLOWING,
CERTAIN CUSTOMS PROCEDURES THAT ASSIST THE U.S. CUSTOMS SERVICE
IN VERIFYING THE ORIGIN OF THE PRODUCTS. PER A SEPTEMBER 5, 2002,
FEDERAL REGISTER NOTICE (67 FR 56865), THE UNITED STATES TRADE
REPRESENTATIVE (USTR) HAS NOTIFIED U.S. CUSTOMS THAT CAPE VERDE
HAS MET THE ABOVE REQUIREMENTS. QUALIFYING MERCHANDISE ENTERED,
OR WITHDRAWN FROM WAREHOUSE, FOR CONSUMPTION ON OR AFTER AUGUST 28,
2002, MAY BE CLAIMED FOR PREFERENTIAL TARIFF TREATMENT DESCRIBED
IN SECTION 112(A) OF THE ACT IF ALL REQUIREMENTS HAVE BEEN MET.

PER A JANUARY 25, 2001, FEDERAL REGISTER NOTICE (66 FR 7837),
THE PRESIDENT DELEGATED USTR THE AUTHORITY TO DIRECT THE U.S. CUSTOMS
SERVICE TO ENSURE THAT TEXTILE AND APPAREL ARTICLES DESCRIBED IN
SECTION 112 OF THE ACT ARE ENTERED, OR WITHDRAWN FROM WAREHOUSE, FOR
CONSUMPTION ACCOMPANIED BY AN APPROPRIATE EXPORT VISA WHEN
PREFERENTIAL TARIFF TREATMENT IS CLAIMED WITH RESPECT TO SUCH
ARTICLES.

IMPORTERS CLAIMING PREFERENTIAL TARIFF TREATMENT UNDER AGOA FOR
ENTRIES OF TEXTILE AND APPAREL ARTICLES SHOULD ENSURE THAT THOSE
ENTRIES MEET THE FOLLOWING VISA REQUIREMENTS:

THE GOVERNMENT OF CAPE VERDE SHALL ISSUE A VISA FOR EACH SHIPMENT
OF TEXTILES OR APPAREL ARTICLES, REGARDLESS OF VALUE, AS IDENTIFIED
IN GROUPINGS 1 TO 9 AND EXPORTED TO THE UNITED STATES. THE VISA
SHALL BE PRESENTED TO THE U.S. CUSTOMS SERVICE AT TIME OF ENTRY, OR
WITHDRAWAL FROM WAREHOUSE, FOR CONSUMPTION INTO THE CUSTOMS TERRITORY
OF THE UNITED STATES, IF PREFERENTIAL TARIFF TREATMENT IS CLAIMED.

A SHIPMENT SHALL BE VISAED BY THE STAMPING OF THE ORIGINAL
CIRCULAR VISA, IN BLUE INK ONLY, ON THE FRONT OF THE ORIGINAL
COMMERCIAL INVOICE. THE ORIGINAL VISA SHALL NOT BE STAMPED ON
DUPLICATE COPIES OF THE INVOICE. THE ORIGINAL INVOICE WITH THE
ORIGINAL VISA STAMP WILL BE REQUIRED TO ENTER THE SHIPMENT INTO
THE UNITED STATES IF CLAIMING THE PREFERENTIAL TARIFF TREATMENT.
DUPLICATES OF THE INVOICE AND OR VISA MAY NOT BE USED FOR THIS
PURPOSE.

EACH VISA STAMP MUST INCLUDE THE FOLLOWING INFORMATION:

VISA NUMBER: THE VISA STAMP SHALL BE IN THE STANDARD NINE DIGIT-LETTER
FORMAT BEGINNING WITH ONE NUMERIC DIGIT FOR THE DESIGNATED GROUPING
(1 TO 9), AS DEFINED BELOW, FOLLOWED BY THE TWO-CHARACTER ALPHA
CODE SPECIFIED BY THE INTERNATIONAL ORGANIZATION FOR
STANDARDIZATION (ISO), FOLLOWED BY A SIX-DIGIT NUMERICAL SERIAL
NUMBER IDENTIFYING THE SHIPMENT, E.G., 1CV512345.

GROUPING 1: APPAREL ARTICLES ASSEMBLED IN ONE OR MORE BENEFICIARY
SUB-SAHARAN AFRICAN COUNTRIES FROM FABRICS WHOLLY FORMED AND CUT IN
THE UNITED STATES FROM YARN WHOLLY FORMED IN THE UNITED STATES.

GROUPING 2: APPAREL ARTICLES ASSEMBLED IN ONE OR MORE BENEFICIARY
SUB-SAHARAN AFRICAN COUNTRIES FROM FABRICS WHOLLY FORMED AND CUT
IN THE UNITED STATES FROM YARNS WHOLLY FORMED IN THE UNITED
STATES IF, AFTER SUCH ASSEMBLY, THE ARTICLES WOULD HAVE
QUALIFIED FOR ENTRY UNDER 9802.00.80 OF THE HARMONIZED TARIFF
SCHEDULE OF THE UNITED STATES (HTSUS), BUT FOR
THE FACT THAT THE ARTICLES WERE EMBROIDERED OR SUBJECT TO
STONE-WASHING, ENZYME-WASHING, ACID WASHING, PERMA-PRESSING,
OVEN BAKING, BLEACHING, GARMENT-DYEING, SCREEN PRINTING, OR
OTHER SIMILAR PROCESSES.

GROUPING 3: APPAREL ARTICLES CUT IN ONE OR MORE BENEFICIARY
SUB-SAHARAN AFRICAN COUNTRIES FROM FABRIC WHOLLY FORMED IN THE
UNITED STATES FROM YARNS WHOLLY FORMED IN THE UNITED STATES IF
SUCH ARTICLES ARE ASSEMBLED IN ONE OR MORE BENEFICIARY
SUB-SAHARAN AFRICAN COUNTRIES WITH THREAD FORMED IN THE UNITED
STATES.

GROUPING 4: APPAREL ARTICLES WHOLLY ASSEMBLED IN ONE OR MORE
BENEFICIARY SUB-SAHARAN AFRICAN COUNTRIES FROM FABRIC WHOLLY
FORMED IN ONE OR MORE BENEFICIARY SUB-SAHARAN AFRICAN COUNTRIES
FROM YARNS ORIGINATING EITHER IN THE UNITED STATES OR ONE OR MORE
BENEFICIARY SUB-SAHARAN AFRICAN COUNTRIES.

GROUPING 5: APPAREL ARTICLES WHOLLY ASSEMBLED IN ONE OR MORE
LESSER DEVELOPED BENEFICIARY SUB-SAHARAN AFRICAN COUNTRIES
REGARDLESS OF THE COUNTRY OF ORIGIN OF THE FABRIC USED TO MAKE
SUCH ARTICLES.

GROUPING 6: SWEATERS IN CHIEF WEIGHT OF CASHMERE, KNIT-TO-SHAPE
IN ONE OR MORE BENEFICIARY SUB-SAHARAN AFRICAN COUNTRIES AND
CLASSIFIABLE UNDER SUBHEADING 6110.10 OF THE HTSUS.

GROUPING 7: SWEATERS, 50 PERCENT OR MORE BY WEIGHT OF WOOL
MEASURING 18.5 MICRONS IN DIAMETER OR FINER, KNIT-TO-SHAPE IN
ONE OR MORE BENEFICIARY SUB-SAHARAN AFRICAN COUNTRIES.

GROUPING 8: APPAREL ARTICLES WHOLLY ASSEMBLED IN ONE OR MORE
BENEFICIARY SUB-SAHARAN AFRICAN COUNTRIES FROM FABRIC OR YARN NOT
FORMED IN THE UNITED STATES OR ANY BENEFICIARY SUB-SAHARAN AFRICAN
COUNTRY, IF (1) APPAREL ARTICLES OF SUCH FABRICS OR YARNS WOULD BE
ELIGIBLE FOR PREFERENTIAL TREATMENT, WITHOUT REGARD TO THE SOURCE
OF THE FABRIC OR YARN, UNDER ANNEX 401 TO THE NORTH AMERICAN FREE
TRADE AGREEMENT, OR (2) THE PRESIDENT PROCLAIMS THAT APPAREL
ARTICLES OF SUCH FABRIC OR YARN MAY BE ACCORDED PREFERENTIAL TARIFF
TREATMENT UNDER AGOA.

GROUPING 9: HANDMADE, HANDLOOMED, OR FOLKLORE ARTICLES
(QUALIFYING ARTICLES WILL BE DETERMINED FOLLOWING BILATERAL
CONSULTATIONS).

THE DATE OF ISSUANCE: THE DATE OF ISSUANCE SHALL BE THE DAY,
MONTH AND YEAR ON WHICH THE VISA WAS SIGNED BY AN AUTHORIZED
GOVERNMENT OFFICIAL.

AUTHORIZED SIGNATURE: THE ORIGINAL SIGNATURE OF AN AUTHORIZED
OFFICIAL OF CAPE VERDE OR HIS DESIGNATE.

THE CORRECT GROUPING, THE QUANTITY, AND UNIT OF QUANTITY IN THE
SHIPMENT SHALL BE PROVIDED WITHIN THE VISA STAMP, E.G.,
"GROUPING 5 - 510 DZ." QUANTITIES MUST BE STATED IN WHOLE
NUMBERS. DECIMALS OR FRACTIONS WILL NOT BE ACCEPTED.

FOR GROUPINGS 1 TO 8, THE QUANTITY SHOWN ON THE VISA FOR ALL
WEARING APPAREL WILL BE REPORTED IN DOZENS, EXCEPT FOR:

1. MEN'S, BOYS', WOMEN'S OR GIRL'S SUITS, WHICH WILL
BE REPORTED IN NUMBER

2. PANTY HOSE, TIGHTS, STOCKINGS, SOCKS, OTHER
HOSIERY, GLOVES, MITTENS AND MITTS WILL BE REPORTED IN
DOZEN PAIRS

IF THERE ARE ITEMS IN THE SAME GROUPING THAT ARE MIXED SUCH AS
SUITS (WHICH REQUIRE NUMBER) AND PANTS (WHICH REQUIRE DOZEN) OR
SHIRTS AND PANTS (WHICH BOTH REQUIRE DOZEN), THEN A SEPARATE
QUANTITY WILL BE SHOWN FOR EACH OF THE ITEMS. FOR EXAMPLE, A
VISA FOR GROUPING 1 COULD INDICATE 105 SUITS WITH 10 DOZEN
SHIRTS OR 10 DOZEN SHIRTS AND 12 DOZEN PANTS.

FOR GROUPING 9, THE QUANTITY SHOWN ON THE VISA WILL BE THE
NORMAL REPORTING QUANTITY FOR THE TYPE OF IMPORTED MERCHANDISE.
FOR EXAMPLE, IF RUGS OR HAND LOOMED FABRIC WERE IMPORTED, THE
REPORTED QUANTITY WILL BE IN SQUARE METERS; IF BEDSPREADS,
TOWELS OR OTHER HOUSEHOLD FURNISHINGS ARE IMPORTED, THE REPORTED
QUANTITY WILL BE IN KILOS; AND IF IT IS WEARING APPAREL, IT WILL
BE REPORTED AS IN GROUPINGS 1 TO 8.

IF THE QUANTITY INDICATED ON THE VISA IS LESS THAN THAT OF THE
SHIPMENT, ONLY THE QUANTITY SHOWN ON THE VISA IS ELIGIBLE FOR
PREFERENTIAL TARIFF TREATMENT.

IF THE QUANTITY INDICATED ON THE VISA IS MORE THAN THAT OF THE
SHIPMENT, ONLY THE QUANTITY OF THE SHIPMENT IS ELIGIBLE FOR
PREFERENTIAL TARIFF TREATMENT. ANY OVERAGE CANNOT BE APPLIED TO
ANY OTHER SHIPMENT.

THE VISA WILL NOT BE ACCEPTED AND PREFERENTIAL TARIFF TREATMENT
WILL NOT BE PERMITTED IF THE VISA NUMBER, DATE OF ISSUANCE,
AUTHORIZED SIGNATURE, CORRECT GROUPING, QUANTITY OR UNIT OF
QUANTITY ARE MISSING, INCORRECT, ILLEGIBLE OR HAVE BEEN CROSSED
OUT OR ALTERED IN ANY WAY.

IF THE VISA IS NOT ACCEPTABLE, A NEW VISA MUST BE OBTAINED FROM
AN AUTHORIZED OFFICIAL OF CAPE VERDE, OR ITS DESIGNATE BEFORE
PREFERENTIAL TARIFF TREATMENT CAN BE CLAIMED. WAIVERS ARE NOT
PERMITTED.

IF THE VISAED INVOICE IS DEEMED INVALID, THE U.S. CUSTOMS
SERVICE WILL NOT RETURN THE ORIGINAL DOCUMENT AFTER ENTRY, BUT
WILL PROVIDE A CERTIFIED COPY OF THAT VISAED INVOICE FOR USE IN
OBTAINING A NEW CORRECT ORIGINAL VISAED INVOICE.

ACTION:

PLEASE AMEND U.S. NOTE 7(A) TO SUBCHAPTER II OF CHAPTER 98 OF
THE HTSUS AND U.S. NOTE 1 TO SUBCHAPTER XIX OF CHAPTER 98 OF THE
HTSUS BY INSERTING "CAPE VERDE" IN ALPHABETICAL SEQUENCE IN THE
LIST OF COUNTRIES.

EFFECTIVE AUGUST 28, 2002, A VALID VISA, AS DESCRIBED ABOVE,
MUST ACCOMPANY ALL CLAIMS FOR AGOA PREFERENTIAL TARIFF TREATMENT
FROM CAPE VERDE.

PLEASE PASS THIS MEMORANDUM TO PORT DIRECTORS, ASSISTANT PORT
DIRECTORS, IMPORT SPECIALISTS, INSPECTORS, ENTRY SPECIALISTS,
BROKERS AND IMPORTERS.

INFORMATION:

IF YOU HAVE ANY QUESTIONS CONCERNING THE VISA ARRANGEMENT,
PLEASE CALL SUSAN THOMAS, AT (202) 927-3719 OR ROBERT ABELS, AT
(202) 927-1959.

\S\ RICHARD CRICHTON FOR
ELIZABETH G. DURANT