CHANGES MADE IN CUSTOMS PRACTICES AFTER COVID-19

Özgür KOÇAK
Legislation Expert

On December 31, 2019, the World Health Organization China Country Office reported pneumonia cases of unknown cause in the city of Wuhan, Hubei province of China, on December 31, 2019, and on January 5, 2020, a new coronavirus that had not been detected in humans before was identified. This disease, which was initially referred to as 2019-nCoV, was later named Covid-19, and after appearing in China, it affected the whole world in a short period of three months. According to World Health Organization (WHO) data; As of August 23, 2020, it is seen that the number of cases caused by Covid-19 worldwide has reached 23 million 57 thousand 288, and the number of deaths is 800 thousand 906. During the period from the Covid-19 case first seen in Turkey on March 11, 2020, to August 23, 2020; While the total number of cases is 257 thousand 32, the total number of deaths due to Covid-19 is stated as 6 thousand 102 [1]. In our article, the developments in customs practices after the COVID-19 Pandemic will be examined.

While an epidemic is defined as an infectious disease turning into an epidemic within a certain region, a pandemic is defined as an epidemic spreading beyond a certain region and starting to affect a large population and even the whole humanity [2]. Although pandemics have not been defined as comprehensively as they are today, they have affected societies from different angles throughout history. State governments have openly recognized the capacity of epidemics to spread internationally. The most well-known historical example of this situation is the declaration of quarantine in Venice in 1374 and the enactment of preventive measures. Ships arriving in Venice were not allowed to dock at the port for 40 days due to the plague quarantine [3]. Similar measures were taken over the following six centuries, and in 1969 a framework for Global Health Surveillance and Response was established with the adoption of the International Health Regulations. In line with this regulation, WHO has developed maritime and aviation regulations to implement the necessary hygiene and sanitation guidelines to ensure as little interference as possible in world trade, transportation and travel and to minimize the international spread of the disease.

On the other hand, a quarantine order that closes a port or city to foreign travelers or goods can be very costly to communities economically and create great hardship for individuals. For this reason, especially during the international medical conferences of the mid-nineteenth century, it seems that merchants were the biggest opponents of efforts to prevent or control any disease that could have the effect of hindering commercial enterprises and capital flows[4]. It can be said that this situation is also valid today.

While increased global trade certainly contributes to the spread of a pandemic, it can also create conditions that encourage a more effective response to a pandemic. This proposition has been confirmed once again with the regulations implemented in the field of foreign trade and customs in the past months.

In the face of the rapid spread of COVID-19, countries have had to take some measures regarding international trade.

Among the aims of the measures are;

-Facilitation of international trade,

-Preventing negative effects on economic activity and protecting human health,

-Reducing transactions that require contact between people within the scope of COVID-19 measures,

-Not delaying import procedures and facilitating the import of needed products during the COVID-19 epidemic period,

-Ensuring trade continuity and eliminating the problems encountered in delivering original documents to importers due to the measures implemented by the countries of origin, it seems to come to the fore.

When we look at the measures taken in this sense around the world, it is possible to come across similar examples from different geographies. The primary aim of the measures is to prevent physical contact; For this reason, it is observed that efforts are made to carry out transactions on electronic platforms as much as possible. Some examples regarding this issue are listed below;

• Within the framework of the negative effects of COVID-19 on the control systems of member states, especially regarding the import of "live animals, seed products", the European Union has temporarily suspended the physical/electronic submission of original official documents required for controls to the control authorities until 1 August 2020. It provided the flexibility of not demanding it [5].
• In Argentina, alternative methods have been determined to combat the problems experienced in submitting the originals of phytosanitary certificates required for export and import.
• Brazil has suspended the certification requirement for conformity assessment for 12 months.
• Ecuador has accepted electronic copies of phytosanitary certificates.
• Costa Rica has allowed the acceptance of copies of the certificates related to the conformity assessment required for import in cases where access to the original is not possible due to the extraordinary situation.
• It has established an electronic platform for the authenticity verification of Egyptian Phytosanitary certificates.
• Russia has allowed the acceptance of copies of the documents required for the import of products subject to veterinary inspection and phytosanitary control, provided that the originals of the documents required are confirmed by the addressee authority and the subsequent submission of the relevant originals is undertaken.
• Thailand has allowed the registration and certification procedures required for the production and import of dangerous goods to be transferred to the electronic environment [6].

It is possible to multiply these examples. Similar measures have been implemented in Turkey since February 2020. The first thing in Turkey was to regulate the border gates; As of February 23, the border gates to Iran were closed; On March 1, Iraqi gates were closed to passenger entry and exit; Especially on the Iranian border, the railway option was tried to be used [7].

Especially for vehicle drivers at certain border gates, arrangements have been made to allow vehicles and drivers to enter the country by changing drivers and/or trailers/loads in an isolated area, or if this is not possible, after waiting for a 14-day quarantine period.

In addition to the measures taken at border gates, the main theme of the Ministry of Commerce on this issue has been "contactless foreign trade". In this context, efforts to expand the use of electronic platforms in customs transactions, especially documents, have been accelerated[8].

Regulations regarding origin declarations, which have become very important especially in recent years, have been simplified due to COVID-19. In parallel with the EU practice, documents that must be submitted to customs authorities, but whose original copies cannot be submitted due to current conditions, have been accepted as "documents that could not be issued during export"; It has been implemented that the original documents, which will be duly prepared by the authorities of the relevant countries, are subsequently submitted to the customs administrations and that no guarantee is received. The application was valid until June 30, 2020, and the documents in question regarding customs declarations were required to be submitted to the customs administrations by December 31, 2020. The presented copies of A.TR Movement Documents, proof of origin documents and certificates of origin issued only electronically by the administrations of all countries that are our preferred trading partners have been accepted by the customs administrations [9].

Fulfillment of obligations within the specified periods within the scope of various articles of the "Regulation on Facilitation of Customs Procedures" by companies that are in the application process for an Authorized Economic Operator Certificate or are certificate holders, has been suspended until further notice

Additional periods have been granted within the scope of the Inward Processing Regime.

In order to avoid causing grievance to the obliged parties, provincial administrations have been instructed not to impose fines for all transit time limit exceedances until further notice.

Whether the requests to benefit from the widespread simplified procedure with full declaration regarding certain goods used within the scope of combating the epidemic, especially hygienic gloves, serum sets, intravenous catheters, are from the goods specified in paragraphs (a) to (c) of Article 3 of the Customs General Communiqué No. 16. Regardless, the goods in question are allowed to benefit from pre-arrival customs clearance[10].

Within the scope of Temporary Import Regime, Processing Regime under Customs Control, Outward Processing Regime and Temporary Export procedures, the period for the goods whose regime expired on 01.02.2020 to remain under the regime to which they belong has been extended until 30.06.2020 without the need for a new application.

It has been reported that the expiry date for land vehicles with foreign license plates for personal use by those living abroad in Turkey has been extended until 30.06.2020, without the need to apply to the customs administration, for those whose stay in the country has expired or will expire after 01.02.2020[11].

From all these practices, it is understood that the Ministry of Commerce considers the COVID-19 pandemic as a "general epidemic disease" in accordance with paragraph (c) of Article 31/3 of the Customs Regulation and accepts it as a force majeure and unexpected event.

The periods specified in Article 31 of the Customs Regulation and the Customs Law No. 4458 cannot be extended or postponed unless there is a provision to the contrary. Within the scope of the relevant article, it is stated that in case of force majeure or any unexpected circumstances, the periods specified in the Customs Law will not apply until this reason is eliminated. At this point, in applications made outside the period specified in the Customs Law, if a document proving that force majeure and unexpected events have occurred within the period is submitted, the relevant customs administration will grant additional time for the documents submitted regarding force majeure and unexpected events [12].

It seems that we will experience the repercussions of the response to the COVID-19 pandemic for a long time, both in Turkey and at the global level. Undoubtedly, such periods also reveal differences in the approach to the problem of different segments of society.

The global spread of the disease naturally reduces trade in affected regions. Therefore, governments are forced to try to balance two contradictory goals: to prevent infectious diseases from crossing their borders and at the same time minimize the economic effects of disease-related restrictions on travel and trade. The most important factor that distinguishes the COVID-19 pandemic from other historical examples is that the disease has spread rapidly on a global scale and has commercially paralyzed almost all countries, regardless of their level of development. As humanity, it has been our common expectation that the drugs to fight the pandemic will become effective and the COVID-19 vaccine will be produced at a globally usable level as soon as possible.

[1] Coronavirus disease (COVID-19) Weekly Epidemiological Update, https://www.who.int/docs/default-source/coronaviruse/situation-reports/20200824-weekly-epi-update.pdf?sfvrsn=806986d1_4

[2] https://www.merriam-webster.com/dictionary/pandemic

[3

[4] Stern AM, Markel H. International efforts to control infectious diseases, 1851 to the present. Journal of the American Medical Association. 2004;292(12):1474–1479.

[5] G/SPS/N/EU/380 - WTO Documents Online

[6] https://covid19.ticaret.gov.tr/data/5e98a7ec13b8767bd0f19492/COVID-19_DTO_Bildirimleri.pdf

[7] https://ticaret.gov.tr/haberler/irak-ile-ticaret-temassiz-surdurululmuş

[8] l

[9] https://covid19.ticaret.gov.tr/gumruk/duyuru/covid-19-mense-uygulamalari

[10] General Directorate of Customs, letter dated 20.03.2020 and numbered 53406947 on Coronavirus Measures Full Declaration, Common Simplified Procedure and Pre-Arrival Customs Clearance

[11].https://ggm.ticaret.gov.tr/duyurular/gumruk-islemlerde-sure-asimlarina-iliskin-duyuru.

[12] Customs Regulation, https://www.mevzuat.gov.tr/mevzuat?MevzuatNo=13472&MevzuatTur=7&MevzuatTertip=5

SOURCE:

Customs Law No. 4458

Customs Regulation

Import Regime Decision and its annex notifications

Export Regime Decision and additional communiqués

News and articles on various web portals

QUESTIONS AND ANSWERS

Question 1. Why is COVID-19 called a pandemic?

Answer: "Pandemic" is defined in the literature as an epidemic that spreads beyond a certain region and begins to affect a large population and even all of humanity. For this reason, the COVID-19 outbreak has been called a “pandemic”.

Question 2. What are the general objectives of the measures taken in the field of foreign trade against the COVID-19 pandemic?

Answer: The general objectives of the measures taken in the field of foreign trade against the COVID-19 pandemic are to facilitate international trade, prevent negative effects on economic activity, protect human health, reduce transactions requiring contact between people within the scope of COVID-19 measures, not delay import transactions during the COVID-19 epidemic period. and facilitating the import of needed products, ensuring trade continuity, and eliminating the problems experienced in delivering original documents to importers due to the measures implemented by the countries of origin.

Question 3. In what ways have global supply chains been negatively affected by the COVID-19 pandemic?

Answer: In global goods traffic, serious problems have been experienced in mandatory contact points such as contact with goods, contact with documents, contact with employees; Closing the border gates of countries to foreign traffic has had a significant negative impact on global trade.

Question 4. What regulations have been made by the Ministry of Commerce in terms of declaration and submission of documents of origin after COVID-19?

Answer: With the amendment made to the Customs Regulation, origin documents that must be submitted to the customs administrations, but whose original copies cannot be submitted due to current conditions, have been accepted as "documents that could not be issued during export"; The practice of establishing a process by submitting the original documents of origin, which will be duly issued later by the authorities of the relevant countries, to the customs administrations and not taking any guarantee has been implemented. The application was valid until June 30, 2020, and the documents regarding customs declarations were required to be submitted to the customs administrations by December 31, 2020.

Question 5. Which two contradictory decisions do governments have to make together in the fight against the pandemic?

Answer: At the global level, governments strive to both prevent infectious diseases from crossing their borders and minimize the economic impacts of disease-related restrictions on travel and trade.