Laws of the People's Republic of China

No. 53

In accordance with the Interim Measures for the Administration of Import Tariff Quotas of Agricultural Products, the Announcement of the Redistribution of Import Tariff Quotas of Agricultural Products in 2006 is hereby formulated and promulgated. The National Development and Reform Commission,

the Ministry of Commerce

August 14, 2006

Announcement of the Redistribution of Import Tariff Quotas of Agricultural Products in 2006

In accordance with the Interim Measures for the Administration of Import Tariff Quotas of Agricultural Products(Decree No. 4, 2003 of the Ministry of Commerce and the National Development and Reform Commission, hereinafter referred to as "the Interim Measures"), the Announcement No. 58,2005 of the National Development and Reform Commission concerning the Amount, the Application Condition and the Distribution Condition of the Quotas of Cotton Import (hereinafter referred to as "the Principle of Distribution") and the Announcement No.64, 2005 of the Ministry of Commerce concerning the Detailed Rules for the Application and Distribution of Sugar Import Quotas in 2006(hereinafter referred to as the Detailed Rules for Distribution", the relevant particulars about the redistribution of quotas of import tariff quotas of agricultural products in 2006 are hereby announced as follows:

1.

Where an ultimate user having the import tariff quotas of wheat, corn, paddy, rice, sugar, and cotton does not conclude the import contract about all the quotas amount, or presumably has no means to deliver it by the end of this year although they have concluded the import contract, it shall return its uncompleted or the impossibility-to-complete part of the tariff quotas to the development and reform commission, the department of commerce/ the department of foreign trade and economic cooperation of the local province/autonomous region/municipality directly under the Central Government/ city specifically designated in the state plan prior to September 15. The National Development and Reform Commission and the Ministry of Commerce will redistribute the returned quotas amount. With regard to the quotas having not been fully used by the ultimate users prior to September 15, the National Development and Reform Commission and the Ministry of Commerce shall deduct the corresponding part when distributing the import tariff quotas of the agricultural products in 2007.

2.

The ultimate users having obtained and completely used the import tariff quotas of the commodities in 2006 as listed in Article 1 herein as well as the new users according with the application conditions as listed in the Distribution Principle and the Detailed Rules for Distribution and yet having not applied for the import tariff quotas in 2006 on the occasion of distribution at the onset of the year may apply for the redistribution of import tariff quotas of agricultural products to the local province/autonomous region/ municipality directly under the Central Government/cities specifically designated in the state plan.

3.

The applicant shall, from September 1 to September 15, submit the tariff quotas redistribution in written form to the local province/autonomous region/municipality directly under the Central Government/city specifically designated in the state plan. The application form shall be filled in accordance with relevant provisions of the appendix (Application Form of the Redistribution of Import Tariff Quotas of Agricultural Products in 2006).

4.

The development and reform authorities, the departments of commerce in all provinces/autonomous regions, municipalities directly under the Central Government and cities specifically designated in the state plan, after having initially audited the application of the applicant, apply the application meeting the application requirement via the computer administration system of import tariff quotas of agricultural products on September 1 and submit it to the National Development and Reform Commission in written form after having summarized the applications chronically prior to September 20.

5.

The National Development and Reform Commission and the Ministry of Commerce shall redistribute the quotas returned by the users in line with the application order on the internet and shall inform the ultimate users of the result of redistributions of the tariff quotas prior to October 1.

Where the total amount hereof in the application meeting the conditions is less than that of the tariff quotas redistribution, the application requirement of every applicant may be met; where it is larger than the that of the tariff quotas redistribution, the tariff quotas shall be distributed in the order of arrival under the Principle of Distribution and the Detailed Rules for Distribution.

6.

The other particulars such as the effective period of the redistribution of tariff quotas shall be enforced under the Interim Measures, the Principle of Distribution and the Detailed Rules for Distribution.

7.

The redistribution of import tariff quotas such as wheat, corn, paddy, rice and cotton shall be organized and enforced by the National Development and Reform Commission, the Ministry of Commerce, as well as the development and reform authorities in all provinces (autonomous regions, municipalities directly under the Central Government, and cities specifically designated in the state plan.

Appendix: Application Form of the Redistribution of Import Tariff Quotas of Agricultural Products in 2006 (omitted)