Strategic Trade Controls Circular No. 4/2008

Application for Delivery Verification Certificate (DVC)

This circular informs the trade of the application procedures for Delivery Verification Certificate, and supersedes the previous Strategic Trade Controls Circular No. 10/2004.

The Strategic Trade Control System

2.The legal basis for strategic trade control in Hong Kong is the Import and Export Ordinance, Chapter 60 of the Laws of Hong Kong ("the Ordinance"). The Ordinance requires strategic commodities to be covered by import/export licences issued by the Trade and Industry Department ("TID") before they are imported into/exported from Hong Kong. Under the Ordinance, no person shall import or export strategic commodities, i.e. any article specified in the four Schedules to the Import and Export (Strategic Commodities) Regulations (Cap. 60 sub. leg. G) unless there is a valid licence issued by the Director-General of Trade and Industry.

What is an DVC?

3. For the purpose of ascertaining the actual destination of specific types of strategic commodities exported, Hong Kong importers may be asked by overseas exporters (who, in turn, are required by the concerned exporting licensing authorities) to obtain a Delivery Verification Certificate ("DVC") from the Hong Kong authorities as evidence that a certain consignment of strategic commodities has arrived in Hong Kong. DVCs for strategic commodities are issued by TID upon the request of Hong Kong importers. Traders, however, need not apply for DVCs unless they are so requested by overseas exporters.

How to apply for an DVC?

(A) Paper Applications

4. Applications for DVC should be made on a designated form SC011 (or Form TID 85) (at Annex A). This form is free of charge and available at the Customer Service Counter of the Strategic Trade Controls Branch at Room 516B on 5/F, Trade and Industry Department Tower, 700 Nathan Road, Kowloon. It can also be downloaded from the Strategic Commodities Control System Website ("SC Website") at http://www.stc.tid.gov.hk. Specimen of a completed DVC application form is at Annex B.

5. To support a DVC application, applicants should provide, in addition to the application forms, a copy of each of the following supporting documents relating to the consignment in question to the Customer Service Counter of the Strategic Trade Controls Branch:

(a) bill of lading/master air waybill;

(b) commercial invoice; and

(c) Hong Kong import licence.

A numbered receipt will be issued for each DVC application.

(B) Electronic Applications

6. Companies can also apply for DVCs electronically for import licences obtained previously through E-Applications. The E-Application for DVC can be made through companies' E-Accounts in the SC Website under the programme of "Apply for Delivery Verification Certificate" provided at the E-Application menu (at http://www.stc.tid.gov.hk > Login Your E-Account > E-Applications > Delivery Verification Certificate (under Part (II) Licence-related Application) > Apply for Delivery Verification Certificate). E-Applicants should download and complete the DVC Application Form SC011 and then scan and upload the duly completed form and the documents in paragraph 5(a) and (b) above. Alternatively, these documents can be sent to the Strategic Trade Controls Branch of TID by fax (fax no.: 2396 3070 or 3525 1526) or in person. As for all E-Applications, E-Applicant should follow the instructions to print out by themselves the numbered receipts for future collection of the approved DVCs.

7. Applicants are reminded that the original signed copy of the DVC Application Form must be provided to TID in all circumstances. Thus, after making the E-Application, applicants should ensure the delivery of the original signed DVC Application Form to TID as soon as possible. TID will withhold approval and issuance of DVC unless and until the original form is received.

8. To use and make E-Applications, companies are required to complete a special registration with TID in advance. Details of the special registration and other requirements for the use of E-Applications can be found in the SC Website by selecting E-Accounts for Applications > Open an E-Account (at http://www.stc.tid.gov.hk/english/eaccount/how_open.html).

Issue of DVC

9. Unless there are complications, DVC applications are normally approved within 15 working days after receipt. A processing fee of HK$235 will be charged for the issue of a DVC. Before collection, applicants are advised to check with the Strategic Trade Controls Branch (telephone no.: 2398 5575) whether the application concerned has been approved and ready for collection. If so, the applicant must pay the fee in cash or through Easy Pay System (EPS) at the Collection Office of TID at Room 104, 1/F, Trade and Industry Department Tower. By showing the payment receipt and the numbered receipt (i.e. the receipt of application mentioned in paragraphs 5 and 6 above), the applicant can collect the relevant approved DVC from the Customer Service Counter of the Strategic Trade Controls Branch. Please note that TID will retain the numbered receipt after issuance of DVC. The payment receipt, however, will be returned to the applicant after verification. Specimen of an approved DVC is at Annex C.

Warning

10. Applicant is required to declare on the DVC application that the consignment in question has actually arrived in Hong Kong and that details of the consignment given are true and correct. In this connection, applicants are reminded that provision of false or misleading information is an offence under the Import and Export Ordinance and that offenders are liable to prosecution and/or administrative actions.

Enquiries

11. Enquiries on the content of this circular and other licensing matters can be made to the Strategic Trade Controls Branch at Room 516B, 5/F, Trade and Industry Department Tower, 700 Nathan Road, Kowloon (telephone no.: 2398 5575; email: stc@tid.gov.hk).

Strategic Trade Controls Branch
Trade and Industry Department