India–MERCOSUR: Electronic Certificates of Origin

Why in News?

India and MERCOSUR signed the First Additional Protocol to facilitate electronic Certificates of Origin (CoO).

• Electronic CoOs will have the same legal validity and value as paper certificates.
• The arrangement provides preferential tariff concessions on 450 tariff lines for India and 452 tariff lines for MERCOSUR.

Certificate of Origin (CoO)

• A CoO certifies the country of origin of a product.
• It is used by importers to claim preferential tariff concessions under a trade agreement.
• The protocol facilitates the shift from paper-based to electronic certification.

MERCOSUR

• MERCOSUR (Southern Common Market and a regional trade bloc)
• Established through the Treaty of Asunción (1991).

• Protocol of Ouro Preto (1994) established its institutional framework.
• Full Members –
  • Argentina
  • Brazil
  • Paraguay
  • Uruguay
  • Bolivia
• Note – Venezuela has been suspended since 2016.
• Associate Members – Chile, Colombia, Ecuador, Guyana, Panama, Peru and Suriname.

Quick facts

• MERCOSUR countries and associated members are associated with several important geographical features:
• Amazon River – world's largest river by discharge.
• Amazon Rainforest – world's largest tropical rainforest.
• Andes – world's longest continental mountain range.
• Aconcagua – highest peak of the Andes, in Argentina.
• Angel Falls – world's highest uninterrupted waterfall, in Venezuela.
• Atacama Desert – one of the driest places on Earth, in Chile.
• Lake Titicaca – high-altitude navigable lake on the Peru–Bolivia border.
• La Paz, Bolivia – one of the world's highest national capitals.

Reference

The New Indian Express| India–MERCOSUR: Electronic Certificates of Origin