Automatic products

Member: 

Basic information

1

Outline of the system

Pursuant to Article 3 of Law No. 7(a) of 1991 regulating Colombia's foreign trade, goods are imported and exported in keeping with the principle of free international trade. This Law empowers the Higher Council for Foreign Trade to determine procedures and requirements for imports and exports.

There is a "free import" regime for imports, similar to an automatic licensing system, which in some cases requires import registration, and a "prior licensing" regime, equivalent to a non-automatic licensing system, under which authorization takes the form of an import licence. For most goods, no registration or import licence needs to be shown – there are no requirements other than the submission of a final import declaration to the customs authorities.

Decree No. 925 of 9 May 2013 sets out the provisions relating to applications for registration and import licensing.

2

Product coverage

Apart from goods classified under the prior licensing regime, imports to Colombia are free. Normally, the only requirement is that an import declaration be submitted to the customs authorities to bring the goods into Colombia. Import registration (known internationally as automatic licensing) with the Ministry of Trade, Industry and Tourism (MinCIT) is required for imports subject to prerequisites (requirement, permit or authorization) on the part of the competent authorities.

Chapter III of Decree No. 925 of 2013 stipulates that the MinCIT Directorate of Foreign Trade, acting through the entities making up its Single Window for Foreign Trade, is the authority responsible for examining and deciding on applications for import registration.

Nature of licensing

Automatic

3

If Automatic, administrative purpose

Non-Automatic

4

If Non-Automatic, description of the notified Non-Automatic Licensing regime

5

Products under restriction as to the quantity or value of imports

The processing of automatic licences does not restrict the quantity or value of imports. Its purpose is essentially to apply foreign trade policy, particularly aspects relating to customs, as well as health, security and environmental protection controls.

6

Questions for products under restriction as to the quantity or value of imports

According to Articles 24 and 25 of Decree No. 925 of 2013, an automatic licence (import registration) is required for goods subject to import quotas. It should be noted that various entities administer quotas in accordance with their respective spheres of competence: the Ministry of Trade, Industry and Tourism; the Ministry of Agriculture and Rural Development; and the National Tax and Customs Directorate.
In 2021, the Ministry of Trade, Industry and Tourism established a quota, valid for two years (2022–2023), for the importation of motor vehicles classified under tariff headings and subheadings 870120, 8702, 8703, 8704, 8705 and 8706. Annual portions are allotted under this quota, which is administered by the Directorate of Foreign Trade.
The National Tax and Customs Directorate administers quotas in accordance with Articles 218 to 223 of Resolution No. 46 of 2019, which implements Decree No. 1165 of 2 July 2019.
https://normograma.dian.gov.co/dian/compilacion/docs/resolucion_dian_004...
Information on the use of the quota (Article 223 of Resolution No. 46 of 2019) is available at: https://muisca.dian.gov.co/WebArancel/DefControlCupo.faces and: https://www.dian.gov.co/aduanas/Paginas/Consumo-de-Cupos-de-Vehiculos-Ac...
The Ministry of Agriculture and Rural Development is responsible for administering the tariff quotas established as part of Colombia's commitments under the Trade Agreements signed with its partners, including: Canada, the Northern Triangle countries (El Salvador, Guatemala and Honduras) and EFTA (Switzerland, Liechtenstein, Norway and Iceland), with whom tariff quotas have been established under the Agricultural Import Tariff Elimination Programme.
The products covered include pork, beans, beef (high- and standard-quality beef and other edible offal), cheese, other dog and cat food and other ethyl alcohol. Since the entry into force of these Agreements, the Ministry of Agriculture and Rural Development has implemented, administered and regulated these quotas through the issuance of regulatory resolutions.
The Resolutions are available on the website: https://www.minagricultura.gov.co/Normatividad/SitePages/buscador-genera...
Moreover, in accordance with Decree No. 2676 of 29 July 2011, partially amended by Decree No. 0015 of 10 January 2012, through which Colombia fulfils its commitments under the Amending Protocol to the Free Trade Treaty between the United Mexican States, the Republic of Colombia and the Republic of Venezuela, the quotas granted by Mexico to goods originating in Colombia are administered and regulated by the Ministry of Agriculture and Rural Development. Consequently, regulatory resolutions were issued on export quotas, with a "year" running from 2 August to the following 1 August.

See Answers 6.1-6.11

7

The system applies to products originating from which country?

Automatic licensing applies to all countries. The automatic licensing requirement (import registration) depends on whether the goods to be imported are subject to requirements, permits or prior authorizations on the part of other control bodies (environmental, sanitary, phytosanitary, animal health, etc.).

8

Expected duration of licensing procedure

Eligibility of applicants

12

Is there a system of registration of persons or firms permitted to engage in importation?

13

What persons or firms are eligible to apply for a licence?

Any natural or legal person in the private or even the public sector may apply for import registration, either directly or through a customs agency or a duly accredited special representative.

14

Is there a registration fee?

15

Is there a published list of authorized importers?

Contact point for information on eligibility

16

Ministry/Authority

Ministerio de Comercio, Industria y Turismo (MinCIT) – Dirección de Comercio Exterior (Ministry of Commerce, Industry and Tourism (MinCIT) – Foreign Trade Directorate)

17

Address

Calle 28 No. 13 A – 15 Piso 16

18

Telephone

(+57) 1 606-7676

19

Fax

(+57) 1 606-7521

22

Contact officer

Mr. Luis Fernando Fuentes

Submission of an application

23

Administrative body(ies) for submission of an application

Ministerio de Comercio, Industria y Turismo – Comité de Importaciones (Ministry of Commerce, Industry and Tourism – Imports Committee)

Documentation requirements

24

What information is required in applications?

Applications for import registration must be submitted electronically to the MinCIT Directorate of Foreign Trade. Electronic applications are submitted through the VUCE, which was created by Decree No. 4149 of 10 December 2004. The computer software designed for that purpose enables the user to send applications to the entities responsible for granting permits, authorizations and prior approval for the importation of goods where required before they are examined by the entities making up the VUCE at the MinCIT Directorate of Foreign Trade. The relevant instructions can be accessed in the guides by clicking the help button on the VUCE website (http://www.vuce.gov.co).

25

What documents is the importer required to supply with the application?

Applications for import registration (automatic licences) must be accompanied by the documents attesting to the specific conditions of each operation; for example, where the product being imported is subject to a technical regulation, it must be accompanied by certificates of conformity attesting to its compliance with the relevant requirements. For non-refundable operations, it is no longer necessary to indicate the reason why they are non-refundable or to provide the VUCE with any documentation justifying the non-refund, without prejudice to any verification or exchange control carried out by the competent authority (see section 1.4 of Circular No. 023 of 2018, available at http://www.vuce.gov.co).

Users are informed by circular and news published on the website http://www.vuce.gov.co of the documents to be appended to import applications, without prejudice to the provision in Article 5 of Decree No. 925 of 2013 authorizing requests that the importer supply any additional information needed to assess the application.

Window of submission of an application

26

How far in advance of importation must application for a licence be made?

Applications for import registration or automatic licences must be processed by the VUCE before the import declaration is submitted, since they constitute a supporting document that must be appended to the declaration (Article 556 of Decree No. 1165 of 2019). Insofar as is possible, the importer should submit this document before the goods arrive in the country.

27

Are there any limitations as to the period of the year during which application for licence can be made? If so, explain

There are no limitations as to the time of year when applications for import registration may be made.

Issuing the license

28

Can a licence be granted immediately on request?

If goods arrive at a port without an import registration, the importer may apply for one (automatic licence) from the entities making up the VUCE in the MinCIT Directorate of Foreign Trade, on the importer's own account and under the importer's own responsibility. Once the import registration has been obtained, the goods must be cleared within one month of their arrival (Article 10 of Decree No. 2557 of 2007 amended Article 115 of the Customs Statute (Decree No. 2685 of 1999). Otherwise, the importer must opt for reshipment, abandonment or legalization, as provided in the customs legislation (Decree No. 1165 of 2019).

29

Can licences be obtained within a shorter time-limit or for goods arriving at the port without a licence

However, there is no regulation to prevent the application from being approved if the import is permissible, even if the goods are in Colombia.

30

Which administrative body is responsible for approving application of licences?

The MinCIT Directorate of Foreign Trade, through the entities making up the VUCE, is the authority responsible for examining and deciding on applications for import registration.

31

Must the applications be passed on to other organs for visa, note or approval?

The entities forming part of the VUCE must issue an authorization (sanitary, environmental, national security, etc.) within their respective spheres of competence within one working day of receiving the application, provided that the applicant has met all the relevant requirements. The MinCIT must then decide, within one working day, on applications accompanied by all the approvals delivered by the VUCE entities.

The requirements, permits and authorizations are specified in Article 25 of Decree No. 925 of 2013 and in particular in Circular No. 018 of 3 September 2020, as amended by Circular No.022 of 2022, and its 26 annexes
The Circular and the annexes thereto are available at: https://www.mincit.gov.co/normatividad/circulares/2022

32

Are there any other conditions attached to the issue of a licence?

No, there are no conditions attached to the issue of a licence.

Fees and other administrative charges

33

Is there any licensing fee or administrative charge?

Yes

34

What is the amount of the fee or charge?

A fee of approximately USD 6.40 is charged for electronic import registrations.

35

Is there any deposit or advance payment required associated with the issue of licences?

The issuing of registrations is not subject to any deposit or advance payment.

36

Amount or rate?

37

Is it refundable?

38

What is the period of retention?

39

What is the purpose of this requirement?

Refusal of an application

40

Under what circumstances may an application for a licence be refused other than failure to meet the ordinary criteria?

Import registrations may be refused if the legal requirements for their authorization are not met or if the data supplied by the importer are unclear or incorrect.

41

Are the reasons for any refusal given to applicants?

Applicants are always informed of the reason for the refusal.

42

Have applicants a right of appeal in the event of refusal to issue a licence?

Since refusals are administrative acts, appeals against such decisions must be lodged through legal channels.

43

If so, to what bodies and under what procedures?

Importation

44

Are there any limitations as to the period of year during which importation may be made?

45

What documents are required upon actual importation?

The documents required upon actual importation are set out in Article 556 of Decree No. 1165 of 2019 (Customs Regime), as amended by Decree No.360 of 2021, and its Implementing Order No. 46 of 2019 of the National Tax and Customs Directorate (DIAN), and include: import registration or licence, where applicable; commercial invoice, where applicable; transport document; packing list, where applicable; certificate of origin or certificate of health, where applicable; documents required by special provisions; power of attorney, where there is no customs endorsement and the import declaration is submitted through a customs agency or a representative; Andean Value Declaration and supporting documents, where applicable; sales contract or document attesting that foreign products subject to consumption tax are destined for third countries, where applicable, in accordance with Article 18 of Law No. 677 of 2001, as amended by Article 1 of Law No. 1087 of 2006; and import declaration.

46

Are there any other administrative procedures, apart from import licensing and similar administrative procedures, required prior to importation?

No.

Conditions of licensing

47

What is the period of validity of a licence? Can the validity be extended? How?

The period of validity of automatic import licences is established in Decree No. 925 of 2013. At present, it extends for six months from the date of approval of the registration. Import licences for capital goods on the special list issued by the Higher Council for Foreign Trade are valid for 12 months starting automatically on the date of approval of the registration.

Automatic licences or registrations may be used throughout the period of their validity, regardless of any change in the import regime, for part or all of the goods covered.

Automatic licences or import registrations may be extended for three months, provided that the conditions and requirements in the original registration are met and there has been no change of regime for any of the goods covered.

In duly evidenced cases, a second and final extension may be granted for another three months and, in the case of capital goods, further extensions may be granted for successive periods of up to three months each, without exceeding 12 months.

For functional units, indefinite extensions may be granted for successive periods of up to three months each.

48

Is there any penalty for the non-utilization of a licence or a portion of a licence?

There is no penalty for the non-utilization of an automatic licence or import registration, or a portion thereof.

49

Are licences transferable between importers? If so, are any limitations or conditions attached to such transfer?

Automatic licences or import registrations may be modified if there is a change of importer, provided that they have not been used with the customs authority. In such cases the relevant application must be signed by both the assignor and the assignee.

Foreign Exchange

50

Is foreign exchange automatically provided by the banking authorities for goods to be imported?

The MinCIT is not responsible for establishing the availability of foreign exchange for payment of imports.

51

Is a licence required as a condition to obtaining foreign exchange?

52

Is foreign exchange always available to cover licences issued?

There is currently complete availability of foreign exchange to cover the value of imports.

53

What formalities must be fulfilled for obtaining the foreign exchange?

The following questions are only for products under restriction as to the quantity or value of imports (whether applicable globally or to a limited number of countries or whether established bilaterally or unilaterally)

6.1

Where is information on allocation and formalities for licences published? Is the overall amount published? The amount allocated to goods from each country? The maximum amount allocated to each importer? How to request any exceptions or derogations from the licensing requirement?

Information relating to quotas, and how to apply for them, formalities for the filing of licence and registration applications, exceptions and derogations is published in the Official Journal and/or on the official websites of the competent entities.

6.2

Is the size of the quota determined: on yearly, six-monthly or quarterly basis? Are there cases where the size of quota is determined on a yearly basis but licences are issued for imports on a six-monthly or quarterly basis? In the latter case, is it necessary for importers to apply for a fresh licence on a six-monthly or quarterly basis?

Quotas are determined annually. Import licences and registrations are issued for six months and may be extended for an additional three-month period.

6.3

Are licences allocated for certain goods partly or only to domestic producers of like goods? What steps are taken to ensure that licences allocated are actually used for imports? Are unused allocations added to quotas for a succeeding period? Are names of importers to whom licences have been allocated made known to governments and export promotion bodies of exporting countries upon request? If not, for what reason? (Indicate products to which replies relate)

Licences and registrations are generally allotted to importers regardless of whether they are producers of like products. The regulations provide that licensees and registration holders may use a specific percentage of the amounts allocated by the licences issued and surrender unused amounts, which are reallocated to other eligible importers. Unused allocations are not added to quotas for the following year.

The list of importers to whom quotas have been granted is published on the websites of the competent entity and the Single Window for Foreign Trade.

6.4

From the time of announcing the opening of quotas, as indicated in I above, what is the period of time allowed for the submission of applications for licences?

The deadline for the submission of licence applications is normally 30 days from the time of opening of the quota.

6.5

What are the minimum and maximum lengths of time for processing applications?

Licence and registration applications are processed in two days.

6.6

How much time remains, at a minimum, between the granting of licences and the date of opening of the period of importation?

The import period runs from the date on which the quota is allocated to the quota closing date, depending on the provisions established for each quota.

6.7

Is consideration of licence applications effected by a single administrative organ? Or must the application be passed on to other organs for visa, note or approval? If so, which? Does the importer have to approach more than one administrative organ?

Once the relevant authorizations and permits have been granted by the competent authorities, licence applications and registration applications are examined by a single administrative body under the responsibility of the Ministry of Trade, Industry and Tourism (MinCIT).

6.8

If the demand for licences cannot be fully satisfied, on what basis is the allocation to applicants made? First come, first served? Past performance? Is there a maximum amount to be allocated per applicant and if so, on what basis is it determined? What provision is made for new importers? Are applications examined simultaneously or on receipt?

Import quotas tend to be allocated mainly on the basis of the quantity (in tonnes) of past imports by traditional importers, which are allotted a major portion of the quota, the remainder being allocated to new importers. It should be noted that there is a separate administration system for each quota, with specific rules for each case.
In view of the above, applications for quota allocation are examined simultaneously and, if they are approved, the respective portions are allotted. Subsequently, applications for licences or registrations are submitted and examined on a first come, first served basis.

6.9

In the case of bilateral quotas or export restraint arrangements where export permits are issued by exporting countries, are import licences also required? If so, are licences issued automatically?

There are no bilateral quotas or export restraint arrangements.

6.10

In cases where imports are allocated on the basis of export permits only, how is the importing country informed of the effect given by the exporting countries to the understanding between the two countries?

Export permits from exporting countries are not required.

6.11

Are there products for which licences are issued on condition that goods should be exported and not sold in the domestic market?

Licences are not issued on the condition that the goods should be exported and not sold on the domestic market.