Schedule of Honduras to Annex 3.3

Honduras Tariff Schedule General Notes

Annex 3.3-HO Notes-1

 

GENERAL NOTES

TARIFF SCHEDULE OF THE REPUBLIC OF HONDURAS

 

1. The provisions of this Schedule are generally expressed in terms of the Arancel

Centroamericano de Importación, which includes the Sistema Arancelario Centroamericano

(“SAC”), and the interpretation of the provisions of this Schedule, including the product

coverage of tariff items of this Schedule, shall be governed by the General Notes, Section Notes,

and Chapter Notes of the Arancel Centroamericano de Importación.  To the extent that

provisions of this Schedule are identical to the corresponding provisions of the Arancel

Centroamericano de Importación, the provisions of this Schedule shall have the same meaning

as the corresponding provisions of the Arancel Centroamericano de Importación. 

 

2. The base rates of duty set out in this Schedule reflect the Arancel Centroamericano de

Importación MFN rates of duty in effect on December 10, 2003.

 

3. In addition to the staging categories listed in Annex 3.3, paragraph 1, this Schedule

contains staging categories M, N, O and P.

 

(a) Duties on originating goods provided for in the items in staging category M shall be

removed in ten stages.  On the date this Agreement enters into force, duties shall be

reduced by two percent, and by an additional two percent on January 1 of year two.  On

January 1 of year three duties shall be reduced by an additional eight percent of the base

rate, and by an additional eight percent of the base rate each year thereafter through year

six.  On January 1 of year seven, duties shall be reduced by an additional 16 percent of

the base rate, and by an additional 16 percent of the base rate each year thereafter through

year nine, and such goods shall be duty-free effective January 1 of year ten.

 

(b) Duties on originating goods provided for in the items in staging category N shall be

removed in 12 equal annual stages beginning on the date this Agreement enters into

force,, and such goods shall be duty-free, effective January 1 of year 12.

 

(c) Duties on originating goods provided for in the items in staging category O shall remain

at base rates for years one through six.  Beginning January 1 of year seven, duties shall be

reduced by eight percent of the base rate, and by an additional eight percent of the base

rate each year thereafter through year 11.  On January 1 of year 12, duties shall be

reduced by an additional 15 percent of the base rate, and by an additional 15 percent of

the base rate each year thereafter through year 14, and such goods shall be duty-free

effective January 1 of year 15.

 

(d) Duties on originating goods provided for in the items in staging category P shall remain

at base rates for years one through ten.  On January 1 of year 11, duties shall be reduced

by 8.25 percent of the base rate, and by an additional 8.25 percent of the base rate each

year thereafter through year 14.  On January 1 of year 15, duties shall be reduced by an

additional 16.75 percent of the base rate, and by an additional 16.75 percent of the base

rate each year thereafter through year 17, and such goods shall be duty-free effective

January 1 of year 18.

Annex 3.3-HO Notes-2

 

 

4. During the transition period, only a qualifying good is eligible for the in-quota tariff rate

for each such good specified in Appendix I; originating goods that are not qualifying goods shall

be subject to the over-quota tariff rate for the good specified in Appendix I.  For purposes of this

note, “qualifying good” means a good that satisfies the requirements of Chapter Four (Rules of

Origin and Origin Procedures), except that operations performed in or material obtained from a

Central American Party or the Dominican Republic shall be considered as if the operations were

performed in a non-Party and the material was obtained from a non-Party. 

 

5. Originating goods imported into Honduras shall not be subject to any duties applied

pursuant to Article 5 of the WTO Agreement on Agriculture.

 

6. With respect to goods provided for in heading 1701 and subheadings 0901.11, 0901.12,

0901.21, and 0901.22, the tariff commitments set out in this Schedule shall apply only to a

United States originating good.  For purposes of this note, a “United States originating good”

means a good that satisfies the requirements of Chapter Four (Rules of Origin and Origin

Procedures), except that operations performed in or material obtained from a Central American

Party or the Dominican Republic shall be considered as if the operations were performed in a

non-Party and the material was obtained from a non-Party.  In the event that Honduras provides

preferential tariff treatment to a good covered by this note under the legal instruments of Central

American integration or pursuant to an agreement with the Dominican Republic, this note shall

no longer apply to such good.

 

7. (a) Except as Honduras and the Dominican Republic may otherwise agree, the tariff

commitments set out in this Schedule shall not apply to an originating good

classified under subheading 0207.11, 0207.12, 0207.13, 0207.14, 0402.10,

0402.21, 0402.29, 0713.31, 0713.32, 0713.33, 1006.10, 1006.20, 1006.30,

1006.40, or 1101.00, heading 2203, 2207, or 2208, or subheading 2401.20,

2402.20 (only goods containing rubio), or 2403.10 that is imported directly from

the territory of the Dominican Republic.

 

(b) Honduras and the Dominican Republic shall conclude negotiations on the tariff

treatment to be applied to originating goods classified under subheadings 0703.10

and 0703.20, and headings 2710, except mineral solvents, 2712, 2713, except

subheading 2713.20, and 2715 that are imported directly into the territory of

Honduras from the territory of the Dominican Republic no later than the date that

is one year after the date on which this Agreement enters into force with respect

to Honduras and the Dominican Republic, and any agreed tariff treatment shall

form part of this Schedule.  During this one-year period, duties on such goods

shall remain at base rates.  At the expiration of the one-year period, if Honduras

and the Dominican Republic have not reached an agreement regarding the tariff

treatment of any such good, duties on the good shall remain at base rates for years

one through ten.  On January 1 of year 11, duties on the good shall be reduced by

eight percent of the base rate, and by an additional eight percent of the base rate

each year thereafter through year 15.  On January 1 of year 16, duties on the good

shall be reduced by an additional 12 percent of the base rate, and by an additional

Annex 3.3-HO Notes-3

 

12 percent of the base rate through year 19, and the good shall be duty-free

effective January 1 of year 20.

 

8. Honduras shall apply the following tariff treatment to originating goods classified under

tariff item 1507.90.00, 1508.90.00, 1509.90.00, 1510.00.00, 1511.90.90 (except palm stearin),

1512.19.00, 1512.29.00, 1513.19.00, 1513.29.00, 1514.19.00, 1514.99.00, 1515.19.00,

1515.29.00, 1515.30.00, 1515.40.00, 1515.50.00, 1515.90.10, 1515.90.20, 1515.90.90,

1516.10.00, 1516.20.10, 1516.20.90, 1517.10.00, 1517.90.10, 1517.90.20, 1517.90.90, or

1518.00.00 that are imported directly from the territory of the Dominican Republic:  Duties on

these goods shall remain at base rates for years one through five.  Beginning on January 1 of year

six, duties shall be reduced by eight percent of the base rate annually through year ten. 

Beginning on January 1 of year 11, duties shall be reduced by an additional 12 percent of the

base rate annually through year 14, and such goods shall be duty-free effective January 1 of year

15. 

 

9. For purposes of these General Notes, a good shall not be considered to be imported

directly from the territory of the Dominican Republic if the good:

 

(a) undergoes subsequent production or any other operation outside the territory of

the Dominican Republic, other than unloading, reloading, or any other operation

necessary to preserve the good in good condition or to transport the good to the

territory of Honduras; or

 

(b) does not remain under the control of customs authorities in the territory of the

United States or a non-Party.

 

Annex 3.3-HO Notes-4

 

Appendix I

 

Tariff-Rate Quotas

 

Notes

 

1. This Appendix contains modifications of the provisions of the Arancel Centroamericano

de Importación (“ACI”) as applied by Honduras.  Subject to note 4 of the General Notes of

Honduras, originating goods included in this Appendix are subject to the rates of duty set out in

this Appendix in lieu of the rates of duty set out in Chapters 1 through 97 of the ACI. 

Notwithstanding any tariff-rate quota provisions provided for elsewhere in the ACI, originating

goods shall be permitted entry into Honduras as provided in this Appendix.  Furthermore, any

quantity of goods imported from the United States under a tariff-rate quota provided in this

Appendix shall not be counted toward the in-quota amount of any tariff-rate quota provided for

such goods elsewhere in the ACI. 

 

2. Except as otherwise provided in this Appendix, for a period not greater than three years

from the date of entry into force of the Agreement, Honduras shall allocate the in-quota

quantities of each qualifying good on an objective basis consistent with Article 3.13.  Thereafter,

Honduras shall allocate the in-quota quantities of each qualifying good to persons based on the

proportion of the total quantity of the good that each person imported during a previous

representative period, while also allocating a reasonable proportion of the in-quota quantities to

new entrants, if any.  Honduras shall establish a mechanism for reallocating unused in-quota

quantities to interested persons.

 

Pork

 

3. (a) The aggregate quantity of goods entered under the provisions listed in

subparagraph (c) shall be free of duty in any calendar year specified herein, and

shall not exceed the quantity specified below for the United States in each such

year:

 

Year Quantity

(Metric tons)

1 2,150

2 2,300

3 2,450

4 2,600

5 2,750

6 2,900

7 3,050

8 3,200

9 3,350

10 3,500

11 3,650

12 3,800

Annex 3.3-HO Notes-5

 

13 3,950

14 4,100

15 unlimited

 

 

(b) Duties on goods entered in aggregate quantities in excess of the quantities listed

in subparagraph (a) shall be removed in accordance with the provisions of staging

category O in paragraph 3(c) of the General Notes of Honduras to Annex 3.3.

 

(c) Subparagraphs (a) and (b) apply to the following SAC provisions:

02031100, 02031200, 02031900, 02032100, 02032200, and 02032900.

 

(d) In the event that an Export Trade Certificate (ETC) is approved pursuant to the

provisions of the Export Trading Company Act of 1982, 15 U.S.C. Sec. 4011-

4021 (2000), the allocations of the duty-free quantities under subparagraph (a)

that are established pursuant to the terms of the ETC shall be respected by

Honduras through the adoption or maintenance of appropriate procedures.  There

shall be no separate import licensing requirement for such access.  In the event

that an ETC is not approved, Honduras shall allocate the in-quota quantities

pursuant to paragraph 2. 

 

Chicken Leg Quarters

 

4. (a) The aggregate quantity of goods entered under the provisions listed in

subparagraph (c) shall be free of duty in any calendar year specified herein, and

shall not exceed the quantity specified below for the United States in each such

year:

 

Year Quantity 

(Metric tons)

1 0

2 0

3 534

4 1,069

5 1,603

6 2,138

7 2,672

8 3,206

9 3,741

10 4,275

11 4,810

12 5,344

13 To Be Determined

14 To Be Determined

15 To Be Determined

16 To Be Determined

Annex 3.3-HO Notes-6

 

17 To Be Determined

18 unlimited

 

(b) Duties on goods entered in aggregate quantities in excess of the quantities listed

in subparagraph (a) shall be removed in accordance with the provisions of staging

category P in paragraph 3(d) of the General Notes of Honduras to Annex 3.3. 

 

(c) Subparagraphs (a) and (b) apply to the following SAC provisions: 02071399B,

02071499B, and 16023200A.

 

(d) The aggregate quantity of goods entered under subparagraph (a) in years 13 to 17

shall be determined through consultations between the United States and

Honduras.  In the event that the United States and Honduras fail to reach an

agreement, the aggregate quantity of goods entered under subparagraph (a) in any

such year shall be equal to five percent of the national chicken production of

Honduras.

 

(e) If an Export Trade Certificate (“ETC”) is approved pursuant to the Export

Trading Company Act of 1982, 15 U.S.C. Sec. 4011-4021 (2000), and if

Honduras and the United States agree that the in-quota quantities should be

allocated pursuant to that ETC, Honduras shall adopt or maintain appropriate

procedures to allocate the in-quota quantities under subparagraph (a) pursuant to

the terms of the ETC.  There shall be no separate import licensing requirement for

quantities allocated pursuant to the ETC.  

 

(f) If Honduras and the United States do not agree that the in-quota quantities should

be allocated pursuant to the ETC, or the ETC is not approved, the in-quota

quantities shall be allocated pursuant to an open and public auction system, the

terms of which are to be established by mutual agreement of Honduras and the

United States.

 

Milk Powder

 

5. (a) The aggregate quantity of goods entered under the provisions listed in

subparagraph (c) shall be free of duty in any calendar year specified herein, and

shall not exceed the quantity specified below for the United States in each such

year:

 

Year Quantity

(Metric tons)

1 300

2 315

3 331

4 347

5 365

6 383

Annex 3.3-HO Notes-7

 

Year Quantity

(Metric tons)

7 402

8 422

9 443

10 465

11 489

12 513

13 539

14 566

15 594

16 624

17 655

18 688

19 722

20 unlimited

 

The quantities shall enter on a first-come, first-served basis.

 

(b) Duties on goods entered in aggregate quantities in excess of the quantities listed

in subparagraph (a) shall be removed in accordance with the provisions of staging

category F in Annex 3.3, paragraph 1(f).

 

(c) Subparagraphs (a) and (b) apply to the following SAC provisions:

04021000, 04022111, 04022112, 04022121, 04022122, and 04022900.

 

Butter

 

6. (a) The aggregate quantity of goods entered under the provisions listed in

subparagraph (c) shall be free of duty in any calendar year specified herein, and

shall not exceed the quantity specified below for the United States in each such

year:

 

Year Quantity

(Metric tons)

1 100

2 105

3 110

4 116

5 122

6 128

7 134

8 141

9 148

10 155

Annex 3.3-HO Notes-8

 

Year Quantity

(Metric tons)

11 163

12 171

13 180

14 189

15 198

16 208

17 218

18 229

19 241

20 unlimited

 

The quantities shall enter on a first-come, first-served basis.

 

(b) Duties on goods entered in aggregate quantities in excess of the quantities listed

in subparagraph (a) shall be removed in accordance with the provisions of staging

category F in Annex 3.3, paragraph 1(f).

 

(c) Subparagraphs (a) and (b) apply to the following SAC provisions:

04051000, 04052000, and 04059090.

 

Cheese

 

7. (a) The aggregate quantity of goods entered under the provisions listed in

subparagraph (c) shall be free of duty in any calendar year specified herein, and

shall not exceed the quantity specified below for the United States in each such

year:

 

Year Quantity

(Metric tons)

1 410

2 431

3 452

4 475

5 498

6 523

7 549

8 577

9 606

10 636

11 668

12 701

13 736

14 773

Annex 3.3-HO Notes-9

 

15 812

16 852

17 895

18 940

19 987

20 unlimited

 

The quantities shall enter on a first-come, first-served basis.

 

(b) Duties on goods entered in aggregate quantities in excess of the quantities listed

in subparagraph (a) shall be removed in accordance with the provisions of staging

category F in Annex 3.3, paragraph 1(f).

 

(c) Subparagraphs (a) and (b) apply to the following SAC provisions:

04061000, 04062090, 04063000, 04069010, 04069020, and 04069090.

 

Ice Cream

 

8. (a) The aggregate quantity of goods entered under the provisions listed in

subparagraph (c) shall be free of duty in any calendar year specified herein, and

shall not exceed the quantity specified below for the United States in each such

year:

 

Year Quantity

(Metric tons) 

1 100

2 105

3 110

4 116

5 122

6 128

7 134

8 141

9 148

10 155

11 163

12 171

13 180

14 189

15 198

16 208

17 218

18 229

19 241

20 unlimited

Annex 3.3-HO Notes-10

 

 

The quantities shall enter on a first-come, first-served basis.

 

(b) Duties on goods entered in aggregate quantities in excess of the quantities listed

in subparagraph (a) shall be removed in accordance with the provisions of staging

category F in Annex 3.3, paragraph 1(f).

 

(c) Subparagraphs (a) and (b) apply to the following SAC provision: 21050000.

 

Other Dairy Products

 

9. (a) The aggregate quantity of goods entered under the provisions listed in

subparagraph (c) shall be free of duty in any calendar year specified herein, and

shall not exceed the quantity specified below for the United States in each such

year:

 

Year Quantity

(Metric tons)

1 140

2 147

3 154

4 162

5 170

6 179

7 188

8 197

9 207

10 217

11 228

12 239

13 251

14 264

15 277

16 291

17 306

18 321

19 337

20 unlimited

 

The quantities shall enter on a first-come, first-served basis.

 

(b) Duties on goods entered in aggregate quantities in excess of the quantities listed

in subparagraph (a) shall be removed in accordance with the provisions of staging

category F in Annex 3.3, paragraph 1(f).

 

(c) Subparagraphs (a) and (b) apply to the following SAC provision:

Annex 3.3-HO Notes-11

 

22029090 (milk-based drinks only).

 

Rough Rice

 

10. (a) Honduras may maintain and administer performance requirements existing on the

date of entry into force of this Agreement for rough rice provided that:

 

(i) the performance requirements are maintained at a level not to exceed the

total in-quota quantity specified for the good;

 

(ii) the performance requirements are administered so as not to impair the

orderly fill of the in-quota quantity; and

 

(iii) the performance requirements are eliminated when the over-quota duty

reaches zero.

 

(b) The aggregate quantity of goods entered under the provisions listed in

subparagraph (d) shall be free of duty in any calendar year specified herein, and

shall not exceed the quantity specified below for the United States in each such

year:

 

Year Quantity

(Metric tons)

1 91,800

2 93,600

3 95,400

4 97,200

5 99,000

6 100,800

7 102,600

8 104,400

9 106,200

10 108,000

11 109,800

12 111,600

13 113,400

14 115,200

15 117,000

16 118,800

17 120,600

18 unlimited

 

Honduras shall allocate the in-quota quantities that are subject to performance

requirements to persons that satisfy those requirements.

 

Annex 3.3-HO Notes-12

 

(c) Duties on goods entered in aggregate quantities in excess of the quantities listed

in subparagraph (a) shall be removed in accordance with the provisions of staging

category P in paragraph 3(d) of the General Notes of Honduras to Annex 3.3.

 

(d) Subparagraphs (a), (b) and (c) apply to the following SAC provision: 10061090.

 

Milled Rice

 

11. (a) The aggregate quantity of goods entered under the provisions listed in

subparagraph (c) shall be free of duty in any calendar year specified herein, and

shall not exceed the quantity specified below for the United States in each such

year:

 

Year Quantity

(Metric tons)

1 8,925

2 9,350

3 9,775

4 10,200

5 10,625

6 11,050

7 11,475

8 11,900

9 12,325

10 12,750

11 13,175

12 13,600

13 14,025

14 14,450

15 14,875

16 15,300

17 15,725

18 unlimited

 

 

(b) Duties on goods entered in aggregate quantities in excess of the quantities listed

in subparagraph (a) shall be removed in accordance with the provisions of staging

category P in paragraph 3(d) of the General Notes of Honduras to Annex 3.3.

 

(c) Subparagraphs (a) and (b) apply to the following SAC provisions:

10062000, 10063010, 10063090 and 10064000.

 

Yellow Corn

 

12. (a) The aggregate quantity of goods entered under the provisions listed in

subparagraph (c) shall be free of duty in any calendar year specified herein, and

Annex 3.3-HO Notes-13

 

shall not exceed the quantity specified below for the United States in each such

year:

 

Year Quantity

(Metric tons)

1 190,509

2 199,581

3 208,653

4 217,724

5 226,796

6 235,868

7 244,940

8 254,012

9 263,084

10 272,156

11 281,227

12 290,299

13 299,371

14 308,443

15 unlimited

 

 

Honduras shall allocate the in-quota quantities to persons based on the proportion

of the total quantity of imports of the good that each person imported during a

previous representative period, while also allocating a reasonable proportion of

the in-quota quantities to new entrants, if any.  Honduras shall establish, on entry

into force of this Agreement, a mechanism for reallocating unused in-quota

quantities to interested persons.

 

(b) Duties on goods entered in aggregate quantities in excess of the quantities listed

in subparagraph (a) shall be removed in accordance with the provisions of staging

category E in Annex 3.3, paragraph 1(e).

 

(c) Subparagraphs (a) and (b) apply to the following SAC provision: 10059020.

 

White Corn

 

13. (a) The aggregate quantity of goods entered under the provisions listed in

subparagraph (c) shall be free of duty in any calendar year specified herein, and

shall not exceed the quantity specified below for the United States in each such

year:

 

Annex 3.3-HO Notes-14

 

Year Quantity

(Metric tons)

1 23,460

2 23,920

3 24,380

4 24,840

5 25,300

6 25,760

7 26,220

8 26,680

9 27,140

10 27,600

11 28,060

12 28,520

13 28,980

14 29,440

15 29,900

16 30,360

17 30,820

18 31,280

19 31,740

20 32,200

 

After year 20, the in-quota quantity grows at 460 MT per year.

 

Honduras shall allocate the in-quota quantities to persons based on the proportion

of the total quantity of imports of the good that each person imported during a

previous representative period, while also allocating a reasonable proportion of

the in-quota quantities to new entrants, if any.  Honduras shall establish, on entry

into force of this Agreement, a mechanism for reallocating unused in-quota

quantities to interested persons.

 

(b) Duties on goods entered in aggregate quantities in excess of the quantities listed

in subparagraph (a) shall be removed in accordance with the provisions of staging

category H in Annex 3.3, paragraph 1(h).

 

(c) Subparagraphs (a) and (b) apply to the following SAC provision: 10059030.

 

 

 

Honduras Tariff Schedule

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