laws

The given law pertains to the amended controls for the exemption of industry inputs from customs taxes in the Gulf Cooperation Council (GCC) member states, specifically focusing on the country of Bahrain. The purpose of these controls is to encourage national industry in GCC states, in line with regional and international agreements, such as the WTO Agreement. The exemption of national industry inputs from customs taxes is expected to enhance competitiveness, promote national exports, attract foreign investments, and create more employment opportunities. The law states that the GCC Supreme Council, during its 22nd Session in Oman in December 2001, agreed to grant manufacturing plants in GCC states exemption from customs taxes on their imports of machinery, equipment, parts, raw materials, semi-manufactured materials, and packing materials for industrial purposes. This decision was made to support the growth and development of the industry sector in GCC states. The Financial & Economic Cooperation Committee (FECC), authorized by the Supreme Council, has the power to interpret and amend these controls. The FECC has amended the controls to align with the requirements of the GCC Customs Union and Common Market, as well as international and regional economic variables. The law defines key terms such as the Council (Cooperation Council for the Arab States of the Gulf), the Committee (GCC Industrial Cooperation Committee), the Competent Minister (Minister of Industry or authorized minister), and the Competent Authority (authority responsible for issuing industrial licenses). The exemption covers machinery, equipment, parts, raw materials, semi-manufactured materials, and packing materials necessary for immediate industrial production. The exemption remains valid as long as the plant is operational. The law outlines the conditions for the exemption of industry inputs and the procedures to be followed. These include submitting an application for exemption two weeks prior to the arrival of imports, providing necessary documents such as the Bill of Lading, Bank credit, and Certificate of Origin, and complying with the obligations set forth by the law. The law also includes general provisions and specifies the forms and records to be used. These include Form (A) for the application for exemption, Form (B) for the Certificate of Customs Exemption, Form (C) for recording machinery, equipment, and parts, and Form (D) for recording raw materials, semi-manufactured materials, and packing materials.