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More legislative acts are available from this sourceLaw of the Azerbaijan Republic
15/11/1995 Decree n. 247

Cabinet of Ministers of the Azerbaijan Republic
On liberalisation of foreign trade in the Azerbaijan Republic
DECREE No 247

According to Decree of the President of the Azerbaijan Republic No 125 dated 5 April, 1994 «On liberalisation of foreign trade in the Azerbaijan Republic», in order to further develop economic reforms, improvement of efficiency of foreign trade and economic relations, liberalisation of activity of physical persons and legal entities (residents) in sale of products abroad Cabinet of Ministers of the Azerbaijan Republic takes decision:

1) To take into account that beginning from 1st November, 1995 licensing and quoting export operations has been cancelled.

2) To approve Regulations on organisation of foreign trade in the Azerbaijan Republic (Supplement No 1).

3) State Commission on control over economic operations in the Azerbaijan Republic will be involved in only terms of payment and export prices for strategic commodities.

4) With the objective of export and import operations of Ministry of Foreign Economic Relations and custom authorities shall approve shortened list of documents required for application (Supplements 2, 3).

5) To approve list of specific commodities (works and services) which could be exported and imported by consent of the Cabinet of Ministers of the Azerbaijan Republic (Supplements 4, 5).

6) To take into account that ultimate term for consideration of agreements on export of strategic commodities by the State Commission on control over foreign-economic relations is one month, as per other commodities - ultimate term for consideration of agreements in the Ministry of Foreign Economic Relations - 15 days. If within specified term no negative estimate has been made as per specific agreement, such agreement will be automatically registered.

7) Every month, not later than on 15th day of the month following the report month State Custom Committee shall present information in an established form concerning all export-import operations to the Cabinet of Ministers of the Azerbaijan Republic, Ministry of Foreign Economic Relations, Main State Tax Inspection, State Committee on Statistics and to the National Bank of the Azerbaijan Republic.

8) Ministry of Economics, Ministry of Finances, Ministry of Foreign Economic Relations, Ministry of Materials Resources, Main State Tax Inspection together with National Bank within 15 days shall prepare and submit to the Cabinet of Ministers proposals concerning procedure of sale of domestic products at commodity exchanges of the Republic.

9) To regard Decree of the Cabinet of Ministers of the Azerbaijan Republic No 222 dated 2 June, 1994 «On organisation of foreign trade in the Azerbaijan Republic» null and void.

 Prime Minister
 F. Guliyev

APPROVED
By Decree of the Cabinet of Ministers of the Azerbaijan Republic
No 247 dated 15 November, 1995

Supplement No 1
 
 

REGULATIONS
on organisation of foreign trade in the Azerbaijan Republic

The present regulations in line with existing legislation determines procedure of organisation of foreign trade and implementation of export and import operations by all physical persons and legal entities irrespective of form of property (hereinafter - residents).

I. Kinds and procedure of export operations

1. Export of commodities purchased at commodity exchanges
1.1. Residents may sell commodities of own production at commodity exchanges. All commodities, irrespective of their kind may be sold and bought by residents at commodity exchanges and be exported.
1.2. To export commodities and products purchased at commodity exchanges, irrespective of their kind, certificates issued by the commodity exchange must be presented to the custom authorities.
2. Export on credit
2.1. Export on credit means operations on export of commodities when their cost is paid after the export of commodities (works, services) on specific terms and within specified period.
2.2. Export of commodities (works, services) on credit is carried out on consent of the Cabinet of Ministers of the Azerbaijan Republic, with registration (declaring) in custom bodies.
2.3. Export of strategic commodities on credit is not permitted.
3. Re-export
3.1. Re-export means repeated export of commodities of foreign origin abroad without their processing, after they have been delivered to the Republican custom territory.
3.2. In accordance with obligations under the intergovernmental agreements of the Azerbaijan Republic, whenever consent of authorised governmental bodies of the countries of destination concerning agreements on re-export operations is required, re-export of commodities is carried out with expertise and registration of agreements in the Ministry of Foreign Economic Relations and if it is not necessary - declaring them with custom authorities.
4. Export in the form of consignation
4.1. Export in the form of consignation is export of commodities if the sale is envisaged within specific term, outside the Republic, based on agreements concluded with foreign residents.
4.2. Term allotted for consignation trade is up to 180 days, beginning from the day of declaring the commodities with custom authorities. Money received from sale of commodities not later than 10 days after the sale of commodities shall be transferred to the exporter' bank account. If the commodities have not been sold within specified term they should be returned to the country within 30 days.
4.3. Export of commodities in the form of consignation shall be accomplished at consent of the Cabinet of Ministers with obligatory declaring with custom authorities.
4.4. If within the term specified in the paragraph 4.2 of the present Article the money have not been transferred and commodities have not been returned, cost of non-transferred money and non-returned commodities will be regarded as concealed profit, and residents-consignors will be responsible in accordance with existing legislation of the Azerbaijan Republic.
4.5. Export of strategic commodities in the form of consignation is not permitted.
5. Barter trade
5.1. Barter trade means exchange of commodities (works and services) on equivalent sum, without payment of cost.
5.2. Term of delivery and reception of commodities on equivalent sum in barter operations is established up to 90 days. If exchange of commodities on equivalent sum has not been completed within specified term, settlements will be done within 10 banking days, in a currency specified in the agreement.
5.3. Custom authorities send to authorised banks one copy for each of custom declarations for commodities shipped and delivered as per barter operations.
5.4. Agreements envisaging export of strategic commodities by means of barter by all residents are controlled by paragraph 3 of the Decree approving the present Regulations.
Export of other commodities by means of barter will be done by state enterprises after concluded agreements pass expertise and registration in the Ministry of Foreign Economic Relations, as per private residents - with declaring in custom bodies.
5.5. Whenever commodities on equivalent sum have not been delivered within the term specified in paragraph 2 of the present Article and mutual settlements have not been done, cost of non-delivered commodity will be regarded as concealed profit, and residents-exporters will be responsible in accordance with existing legislation of the Azerbaijan Republic.
6. Co-operative operations
6.1. Co-operative operations are operations on temporary export or import of semi-finished products and raw materials with one or another objective (processing, finishing, packaging, etc.).
6.2. Agreements concluded by all residents and envisaging export of strategic commodities by means of co-operative operations are subject to provisions of paragraph 3 of Decree approving the present Regulations.
Agreements envisaging export of other commodities will be implemented by state enterprises with registration in the Ministry of Foreign Economic Relations, as per private residents - declaring with custom bodies.
7. Based on compensation
7.1. To reimburse cost of equipment bought based on compensation principle, or cost of works on establishment of new production or reconstruction of exiting production, or services rendered with these objectives, commodities produced by said enterprises are exported with declaring in custom bodies.
7.2. Contracts envisaging export of strategic commodities based on compensation principle are subject to provisions of paragraph 3 of the Decree approving the present Regulations.
8. Temporary export
8.1. Implementation of services and work in foreign countries by residents of the Republic, export of commodities, machines and mechanisms for demonstration at exhibitions and fairs shall be done by permission of the Cabinet of Ministers of the Azerbaijan Republic, with obligatory declaring thereof with custom authorities.
8.2. Machines and mechanisms shipped for rendering services or implementation of works based on concluded agreements must be returned to the Azerbaijan Republic not later than 30 days after accomplishment of works (rendering services); said technical means might be sold in this countries by consent of the Cabinet of Ministers of the Azerbaijan Republic. Hard currency obtained as a result of sale must be transferred within 10 days to the authorised banks of resident in the Azerbaijan Republic.
8.3. Commodities shipped abroad for participation in international exhibitions and fairs should be returned to Azerbaijan Republic within 30 days after the end of exhibition or, according to Decrees of the Cabinet of Ministers of the Azerbaijan Republic concerning participation in said exhibitions and fairs, should be sold and resulted hard currency within 10 days transferred to the authorised banks of resident in the Azerbaijan Republic.
9. Frontier trade
9.1. Residents might carry out frontier trade in accordance with regulations approved by the cabinet of Ministers of the Azerbaijan Republic, in allotted zones.
9.2. Export of strategic commodities within the limits of frontier trade is not permitted.
10. Sale of commodities produced in the Republic abroad
10.1. Agreements envisaging sale of strategic commodities to foreign countries by all residents are governed by provisions of paragraph 3 of Decree approving the present Regulations.
10.2. Agreements concluded by state enterprises and envisaging sale of non-strategic commodities abroad, before commodity exchanges will begin functioning in full volume, as a temporary measures will be implemented with passing expertise and registration in the Ministry of Foreign Economic Relations, and agreements concluded by private residents - declaring in custom bodies.

II. Regulations on carrying out import operations
11. Import at the expense of state budget and credits
11.1. Agreements on import operations financed at the expense of state budget and foreign credits secured by the government are implemented after passing the expertise in the Ministry of Foreign Economic relations and approval by the Cabinet of Ministers of the Azerbaijan Republic.
11.2. Implementation of import operations at the expense of state resources shall be done on tender basis, choosing the most profitable proposal from at least three foreign companies.
12. Import based on deliveries of raw materials of the client
12.1. Import of raw material of the client based on concluded contracts is carried out with declaring in custom bodies.
12.2. Non-strategic commodities produced by processing raw materials delivered by the client may be exported with declaring in custom bodies, strategic commodities produced by processing raw materials of the client and being final product may be exported outside the Azerbaijan Republic for their sale abroad after respective import contracts pass expertise and registration in the Ministry of Foreign Economic Relations.
13. Import in the form of consignation
13.1. Import of the commodities in the form of consignation under agreements concluded with foreign companies will be done with declaring in custom bodies. In said contracts prices for commodities and terms of payment should be specified.
13.2. Residents importing commodities in the form of consignation may make settlements with consignors by way of purchase of hard currency at exchanges, and commodities at commodity exchanges and other economic subjects on cash (manats) obtained from sale of said commodities.
14. Import at the expense of residents' own resources
14.1. Agreements on import operations concluded by residents at the expense of their own resources (excluding commodities specified in Supplements 4, 5) shall be implemented with declaring in custom bodies.
14.2. Import of commodities listed in Supplement 4 and 5 (including consignation import) shall be done by approval of the Cabinet of Ministers of the Azerbaijan Republic, with declaring in custom bodies.

III. Export-import of commodities based on intergovernmental agreements
Export-import operations envisaged by intergovernmental agreements shall be done in accordance with decrees and orders of the Cabinet of Ministers of the Azerbaijan Republic, with declaring in custom bodies.

IV. Procedure of settlements in foreign trade Settlements in foreign trade shall be done as follows:
15. Settlements in export
15.1. Export on commodities (works and services) is carried out only by way of in advance payment or by opening irrevocable letter of credit.
15.2. State Custom Committee of the Azerbaijan Republic issues permit for export from the Republic of commodities sold by residents only if authorised bank confirmed (by seal or stamp) payment of their cost or opening of letter of credit.
15.3. As an exception the Cabinet of Ministers may permit payment of cost of commodity shipped by the Republican organisation with creditor debt to the organisation-buyer, only on a currency specified in the agreement.
16. Settlements in import
16.1. State enterprises are not allowed to pay in advance cost of commodities bought in foreign countries and services from this countries. In such operations letters of credits are used. With import operations advance payment may be done in exceptional cases, by permission of the Cabinet of Ministers of the Azerbaijan Republic.
16.2. Maximum term of delivery to the Republic of commodities paid for in advance, by permission of the Cabinet of Ministers of the Azerbaijan Republic is 30 days.
16.3. Control over fulfilment of said regulations is delegated to National Bank and respective authorised banks.

V. Responsibility for violations of provisions of the present Regulations
All residents irrespective of form of property are responsible for violation of provisions of the present Regulations in accordance with legislation of the Azerbaijan Republic.

 APPROVED
by Decree of the Cabinet of Ministers of the Azerbaijan Republic
No 247 dated 15 November, 1995
Supplement No 2

LIST
of documents to be submitted to the Ministry of Foreign Economic Relations for carrying out export-import operations

Concerning export operations:
1) Agreement concluded between the resident of the Azerbaijan Republic and foreign party.
2) Agreement about export of commodity concluded between the enterprise-producer and exporter (if other company than the enterprise-producer is exporting).
3) Reference substantiating export price.
4) Certificate of origin for commodities delivered from outside the Azerbaijan Republic.
5) When exporting commodities listed in Supplement No 4 - permit of the Cabinet of Ministers of the Azerbaijan Republic is needed, as per commodities listed in Supplement No 5 - consent of respective governmental bodies.
Concerning import operations:
1) Agreement concluded between the resident of the Azerbaijan Republic and foreign party.
2) Information about source of financing of the operation.
3) When importing commodities listed in Supplement No 4 - permit of the Cabinet of Ministers of the Azerbaijan Republic is needed, as per commodities listed in Supplement No 5 - consent of respective governmental bodies.
4) Reference substantiating export price.
Note: Residents are responsible for trustworthiness of submitted documents and accuracy of data therein.

 APPROVED
by Decree of the Cabinet of Ministers of the Azerbaijan Republic
No 247 dated 15 November, 1995
Supplement No 3

LIST
of documents to be submitted to Custom bodies for carrying out export-import operations
Concerning export operations: 

1) Document confirming activity of economic subject as of legal entity.
2) Code of legal entity assigned by the State Committee of Statistics.
3) Concluded agreement (contract).
4) Certificate of origin of exported commodity.
5) Documents of authorised bank confirming advance payment of cost of exported commodity or opening of letter of credit.
6) When exporting commodities listed in Supplement No 4 - permit of the Cabinet of Ministers of the Azerbaijan Republic is needed, as per commodities listed in Supplement No 5 - consent of respective governmental bodies.
Concerning import operations:
1) Documents confirming activity of economic subject as of legal entity.
2) Custom declaration.
3) Invoice - document indicating cost of imported commodity.
4) When importing commodities listed in Supplement No 4 - permit of the Cabinet of Ministers of the Azerbaijan Republic is needed, as per commodities listed in Supplement No 5 - consent of respective governmental bodies.
5) Road-transport documents.
6) Certificate of origin of imported commodity.
7) Quality Certificate.
Note. After presentation of necessary documents on export and import operations custom authorities must register said documents and within 24 hours to provide passing of commodities.
 APPROVED
by Decree of the Cabinet of Ministers of the Azerbaijan Republic No
247 dated 15 November, 1995
Supplement No 4
 
 

LIST
of commodities that may be exported and imported by permit of the Cabinet of Ministers of the Azerbaijan Republic

Name of commodity Code according to nomenclature of foreign-economic activity (N-FEA)
Arms and military technique, spare parts necessary for their production 8710, 8802, (excluding 11100, 8802, 121000, 8802, 20100, 8802, 30100, 8802, 40100); 8803, (excluding 8803, 10100, 8803, 20100, 8803, 30100, 8803, 90910); 3906, 00100, 9301 9302, 9305, (pertains only to military weapons); 9306, (excluding 9306, 10000, 9306, 29100, 9306, 30910, 9306, 30930); 9013, 10100, 9013, 20000, 9013, 80000, 9014 (pertains only to commodities of military character); 5826 (only of military character)
Gun powder, explosives, blasting supplies and pyrotechnic materials 3601 (excluding gun powder for hunting guns); 3602 - 3604
Nuclear materials, technologies, equipment and units, special non-nuclear materials including radioactive sources 2612, 2844, 2845, 8401
Narcotics and psychotropic substances, poisons,  Some kinds of scientific-technical products and technologies, materials and equipment used for armament and development of military technique, 
Note. In order to protect and preserve valuable kinds of trees in the Azerbaijan Republic export of timber of the following kinds of trees is not permitted (walnut tree, chestnut tree, lime-tree, oak, beech) and articles made thereof.
 APPROVED
by Decree of the Cabinet of Ministers of the Azerbaijan Republic
No 247 dated 15 November, 1995 
Supplement No 5

LIST
of commodities that may be exported and imported by permit of respective state bodies

Name of commodity Code N-FEA State body whose consent is required

EXPORT
Wild animals, wild plants and bones of animals found during excavations  State Committee of the Azerbaijan Republic on ecology and use of nature
Raw materials produced from wild animals and wild plants for production of medicines  State Committee of the Azerbaijan Republic on ecology and use of nature, Ministry of health of the Azerbaijan Republic, involved ministries and agencies of the Azerbaijan Republic
Information about sources of thermal energy and deposits of mineral raw materials located onshore and within the limits of offshore economic zone on the territory of the Azerbaijan Republic and similar information concerning villages  State Committee of the Azerbaijan Republic on geology and mineral resources, Ministry of economics, State Committee on statistics
Inventions, «know-how» and results of scientific researches  Academy of Sciences of the Azerbaijan Republic, State Committee of science and technique
Noble metals, precious stones and jewellery 7101-7118 State Concern «Azergyzyl»
Raw leather* 4101-4111 State Concern «Tovary dlya naroda»
Articles of arts, collector' pieces, antiques 9701-9706 Ministry of Culture of the Azerbaijan Republic
Caviar 1604 30 100 State Concern «Azerbalyg»

IMPORT
Chemicals for protection of plants 3803 Ministry of agriculture of the Azerbaijan Republic
Medicinal preparations and accessories 30 group 9018-9022 Ministry of health of the Azerbaijan Republic
Carrying out works, rendering services on the territory of the Azerbaijan Republic 
construction works carried out by foreign companies  State Committee on construction and architecture, State Committee on ecology and use of nature
use, leasing of foreign transport means  Azerbaijan State Railroad, Caspian steamship company, State Concern «Azerbaijan Hava Yollari», State Concern «Azeravtonagliyat»
rendering international post services, international communications  Ministry of communications of the Azerbaijan Republic

1. Exporter intending to sell commodity in foreign countries submits his official commercial proposal concerning said commodity to State Concern «Tovary dlya naroda»/«Consumer goods» (with indication of prices, terms of payment and shipment)
2. If Concern is satisfied with commercial proposal, it buys commodity based on agreement.
3. If, due to some reason, Concern refuses to accept commodity within 5 days, exporter is free to sell it. In such case selling price of the exporter shall not be less than the price which was submitted to Concern.