Singapore - Jordan Free Trade Agreement (SJFTA)

Course summary Singapore - Jordan Free Trade Agreement (SJFTA)

Singapore Free Trade Agreements (FTAs)

The Singapore-Jordan Free Trade Agreement (SJFTA) and the Singapore-Jordan Bilateral Investment Treaty (BIT) came into force on 22 August 2005.

The FTA paves the way for the removal of tariffs on 100% of Singapore goods, currently exported to Jordan, within ten years from entry into force. Currently, 48% of Singapore goods enter Jordan duty-free. As a result of tariff elimination under the SJFTA, an additional 44.6% of Singapore goods will enjoy an immediate cost advantage over other countries without an FTA with Jordan. The remaining 7.4% of Singapore goods will reap the benefit of the FTA six years after the FTA comes into effect.

The tariff concessions will assist Singapore exporters with interest in Jordan as it covers all sectors of goods comprehensively, ranging from distinctively Singapore products such as instant noodles, three-in-one coffee mixes and orchids, to chemicals and electrical products such as electric irons.

The Singapore - Jordan Free Trade Agreement (SJFTA) Rules of Origin (ROO) were negotiated to make implementation simple for the exporters from both countries. All products, with the exception of textile and apparel goods, need only fulfill a general rule of origin of a relatively low threshold of 35% local content. For textile and apparel goods, specific process rules apply.

For the Singapore - Jordan Free Trade Agreement (SJFTA), an originating good means a good which fulfils Article 3.12 and any of the following:

(a) wholly obtained in the territory of a Party;
(b) produced entirely in the territory of one or both of the Parties; or
(c) for goods:
(i) other than goods subject to Article 3.3, fulfils a minimum of a local value content of 35%, calculated using the following method:

                                          LVC = (AV - VNM x 100) / AV
Where:
- "LVC" is the local value content, expressed as a percentage;
- "AV" is the appraised value; and
- "VNM" is the value of non-originating materials that are acquired and used by the producer in the production of the good.

Singapore - Jordan Free Trade Agreement (SJFTA)
 

Spanish: Negocios en Singapur Asia

 Educational level: Continuing education / Executive education programs.