FREE TRADE AREA

“Rules of origin” (ROO) are the criteria used to define where a product was made. They are an essential part of trade rules because a number of policies discriminate between exporting countries: quotas, preferential tariffs, anti-dumping actions, countervailing duty (charged to counter export subsidies), and more.  This is complicated by globalization and the way a product can be processed in several countries before it is ready for the market.
 
There is wide variation in the practice of governments with regard to the rules of origin. While the requirement of substantial transformation is universally recognized, some governments apply the criterion of change of tariff classification, others the ad valorem percentage criterion and yet others the criterion of manufacturing or processing operation. In a globalizing world it has become even more important that a degree of harmonization is achieved in these practices in implementing such a requirement.
 
The Certificate of Origin Form FTA is issued for the goods eligible for import preferential tariff under FTA schemes. In the meantime, Thailand has already implemented 15 FTAs, namely