Fungible Materials Sample Clauses

Fungible Materials. 1. The determination of whether fungible materials are originating goods shall be made either by physical segregation of each of the materials, or through the use of an inventory management method recognised in the generally accepted accounting principles of the Party in which the production is performed or otherwise accepted by that Party. 2. The inventory management method used under paragraph 1 for a particular fungible material shall continue to be used for that material throughout the fiscal year.

Fungible Materials. 1. Where originating and non-originating fungible materials are used in the production of a good, the following methods shall be adopted in determining whether the materials used are originating: (a) physical separation of the materials; or (b) an inventory management method recognized in the generally accepted accounting principles of the exporting Party, provided that the inventory management method selected is used for at least 12 continuous months.

Fungible Materials. 1. For the purpose of establishing if a good is originating when in its manufacture are utilized originating and non-originating fungible materials, mixed or physically combined, the origin of such materials can be determined by any of the inventory management methods applicable in the Signatory Parties. 2. Where considerable cost or material difficulties arise in keeping separate stocks of originating and non-originating materials, which are identical and interchangeable, the Competent Authorities may, at the written request of those concerned, authorize the so-called “accounting segregation” method to be used for managing such stocks. 3. This method must be able to ensure that the number of goods obtained which could be considered as “originating” is the same as that which would have been obtained if there had been physical segregation of the stocks.

Fungible Materials. Where originating and non-originating fungible materials are used in the production of a good, the following methods shall be adopted in determining whether the materials used are originating: (a) physical separation of the materials; or (b) an inventory management method recognized in the generally accepted accounting principles of the exporting Party, and shall be used for at least one fiscal year.

Fungible Materials. 1. In determining whether a good is originating, any fungible material shall be distinguished by the physical separation of the goods; or by one of the inventory management methods recognized in the Generally Accepted Accounting Principles of the exporting Party. 2. The selected inventory management method shall be used continuously for that good or material throughout the entire fiscal year.

Fungible Materials. 1. Where identical and interchangeable originating and non-originating materials including materials of undetermined origin are used in the manufacture of a product, those materials shall be physically segregated, according to their origin, during storage. 2. A producer facing considerable costs or material difficulties in keeping separate stocks of identical and interchangeable originating and non-originating materials including materials of undetermined origin used in the manufacture of a product, may use the so-called “accounting segregation” method for managing stocks. 3. The accounting method shall be recorded, applied and maintained in accordance with generally accepted accounting principles applicable in the Party in which the product is manufactured. The method chosen must: (a) permit a clear distinction to be made between originating and non originating materials including materials of undetermined origin acquired and/or kept in stock; and (b) guarantee that no more products receive originating status than would be the case if the materials had been physically segregated. 4. The producer using this facilitation shall furnish a sworn declaration for the quantity of products considered as originating and keep all documentary evidence of origin of the materials. At the request of the competent authorities of the exporting Party, the producer shall provide satisfactory information on how the stocks have been managed. 5. The competent authority may require from its exporters that the application of the method for managing stocks as provided for in this Article will be subject to prior authorisation.

Fungible Materials. 1. Where originating and non-originating fungible materials are used in the working or processing of a product, the determination of whether the materials used are originating may be determined on the basis of an inventory management system. 2. For the purpose of paragraph 1, “fungible materials” means interchangeable materials that are of the same kind and commercial quality, which cannot be distinguished from one another once they are incorporated into the finished product.

Fungible Materials. 1. Where originating and non-originating fungible materials are used in the working or processing of a product, the determination of whether the materials used are originating may be determined on the basis of an inventory management system. 2. For the purpose of paragraph 1, "fungible materials" means interchangeable materials that are of the same kind and commercial quality, which cannot be distinguished from one another once they are incorporated into the finished product. 3. The inventory management system shall be based on generally accepted accounting principles applicable in the Party in which the product is manufactured and ensure that no more final products receive originating status than would have been the case if the materials had been physically segregated. A producer using such a system shall keep records of the operation of the system that are necessary to verify compliance with the provisions of this Chapter. 4. For the purpose of this Article, a Party may require an inventory management system in accordance with the legislation of that Party.

Fungible Materials. 1. Where identical and interchangeable originating and non-originating materials are used in the manufacture of a product, those materials shall be physically segregated, according to their origin, during storage. 2. A producer facing considerable costs or material difficulties in keeping separate stocks of identical and interchangeable originating and non-originating materials used in the manufacture of a product, may use the so-called “accounting segregation” method for managing stocks. 3. The accounting method shall be recorded, applied and maintained in accordance with Generally Accepted Accounting Principles applicable in the Party in which the product is manufactured. The method chosen shall: (a) permit a clear distinction to be made between originating and non- originating materials acquired and/or kept in stock; and (b) guarantee that no more products receive originating status than would be the case if the materials had been physically segregated.

Fungible Materials. 1. For the purpose of establishing if a product is originating when in its manufacture are utilized originating and non-originating fungible materials, mixed or physically combined, the origin of such materials can be determined by any of the inventory management methods applicable in the Signatory Party. 2. Where considerable cost or material difficulties arise in keeping separate stocks of originating and non-originating materials which are identical and interchangeable, the customs authorities may, at the written request of those concerned, authorise the so-called ʺaccounting segregationʺ method to be used for managing such stocks. 3. This method must be able to ensure that the number of products obtained which could be considered as ʺoriginatingʺ is the same as that which would have been obtained if there had been physical segregation of the stocks. 4. The customs authorities may grant such authorisation, subject to any conditions deemed appropriate. 5. This method is recorded and applied on the basis of the general accounting principles applicable in the country where the product was manufactured. 6. The beneficiary of this facilitation may issue or apply for proofs of origin, as the case may be, for the quantity of products which may be considered as originating. At the request of the customs authorities, the beneficiary shall provide a statement of how the quantities have been managed. 7. The customs authorities shall monitor the use made of the authorisation and may withdraw it at any time whenever the beneficiary makes improper use of the authorisation in any manner whatsoever or fails to fulfil any of the other conditions laid down in this Annex.