VI.  Trade Regulations and Standards

 Tariffs and Import Taxes

 In August 1991, import tariffs were streamlined.  The
 previously cumbersome system (including over 80 rates with
 specific tariffs) was replaced by 10 ad valorem rates
 ranging from 5% to 50%. In addition to these duties,
 importers have to pay a fixed 7% for general emoluments and
 a consumption tax on goods of non-priority, ranging from 5%
 to 20%.


 Customs Valuation
 Customs Valuation is made in accordance with the definition
 of Brussels' Convention.


 Import Licenses

 With the recent publication of a negative list comprised of
 goods considered strategic (food items, i.e.. corn, rice
 and sugar; petroleum products; arms or munitions; etc.),
 90% Of imports have been liberalized.  For liberalized
 products, the prior import license has been replaced by a
 simple declaration of importation.


 Export Controls

 Given the significant structural deficit of the trade
 balance, there are no controls on exports.  On the
 contrary, a new law passed in 1993 provides a variety of
 incentives to exports.

 Documentation

 1)  Commercial invoice - two copies

 2)  pro forma invoice - may be required by the importer to
     obtain an import license.

 3)  Bill of lading/air waybill

 4)  Insurance Certificate - it is required that transport
     insurance on imports be placed with the state insurance
     company whenever goods are under the ownership of a
     Capeverdean national.

 5)  Import license - six copies of the import license for
     controlled goods; four copies of the declaration of
     importation for liberalized goods.

 6)  Phytosanitary certificate and its copy.

 Temporary Entry

 Temporary entry is authorized for cooperation projects,
 diplomatic missions and to temporary foreign workers.


 Import Restrictions

 Narcotics are prohibited from being imported into Cape
 Verde. Pharmaceuticals may only be imported by public
 institutions.


 Free Trade Zones/ Warehouses

 A decree law in may 1989 created the legal basis for a free
 trade zone.  Entrepot activities can be undertaken, such as
 the storage of goods without payment of duties, with
 storage periods ranging up to four years.  Recently, a new
 law established the system of free enterprises (single-
 factory free zones) for 100 percent exporters.

 Membership in Free Trade Arrangements.
 Cape Verde is a member of the Economic Community of West
 African States (ECOWAS).