Mongolia has a free trade regime no quotas or onerous licensing requirements.
- WTO member since 1997 substantially liberalized its trade regime
- Import and export activities are regulated by the Customs Law of 2008
- Japan-Mongolia Economic Partnership Agreement of 2016
IMPORT PROHIBITIONS, RESTRICTIONS, AND LICENSING
Under the Customs Law of Mongolia, the importation of goods into Mongolia is not subject to restrictions, except for import licensing which applies to few products. Importers must register with the tax authorities; registration with the General Authority State Registration /GASR/ is also required for the purposes of customs clearance.
Import licenses are required for imports of certain products, including:
- Human blood and organs;
- Explosives and guns etc.
Import licenses for restricted products are issued by the respective government ministries, such as:
- Ministry of Environment and Tourism
- Ministry of Education, Culture Science and Sport
- Ministry of Food, Agriculture and Light industry
- Ministry of Health
- Ministry of Justice and Home Affairs
- Ministry of Mining and Heavy Industry
- Ministry of Labor and Social Welfare
- Ministry of Defense
Customs duty means an amount of tax levied on, collected from or paid for goods entering or leaving Mongolia. The Customs duties have the following types:
- Ad valorem;
- Combination of the two above;
- Any of the first two above which entails higher amount of duty.
Most of the imported goods in Mongolia are subject to 5% ad valorem
Customs duty while some others are subject to seasonal duties.
Certain goods for export are subject to specific Customs duties. Any person (physical or legal) engaged in foreign trade is liable to pay
Customs duties as well as some other taxes and fees upon importation or exportation of goods.
CUSTOMS DUTIES INCENTIVES
- Appliances for special use by the disabled and artificial organs and accompanying spare parts;
- Goods for humanitarian assistance and grants;
- Currencies and Mongolian national bank-notes ordered and printed;
- Travelers’ personal effects;
- Blood, blood- products, tissues and body organs for medical purposes;
- Gas fuel, designated containers, equipment, special machinery,facilities and equipment;
- Imported logs, beam wood lengthwise sawn wood and seeds,seeding and saplings of such trees and bushes which are not subject to prohibition;
- Civil aviation aircrafts and accompanying spare parts;
- Goods for official use by foreign diplomatic missions, consulates, the
United Nations and its specialized agencies;
- Personal items for use by the head of the foreign diplomatic missions,diplomatic, technical and service staff and their family
- Special purpose vehicle equipped with sliding truck, platform and lifting for disabled people on wheelchair or such a vehicle for drive by people with disabilities operated only manually and manufactured with all options as above, once per person;
- Other goods as stipulated in law or international treaty;
- Raw materials and reagent substances that not produces in the country, needed to produce new products in the foreign and domestic market by innovation projects;
- International postal parcel with a value of not exceeding 10 times the amount of minimum monthly wage, containing not more than two pieces of every similar item and addressed to an individual person;
- Special purpose machinery mechanical appliances, equipment, accessories, raw items, materials chemicals substances, explosives and spare parts imported by contractors or subcontractors during the entire period of exploration and within the first five years of extraction with an intention to use activities associated with crude oil and non-traditional crude oil resources.
- Reports on crude oil and non-traditional crude oil resources, samples and crude oil;
- Renewable energy research and production equipment, its appliances and spare parts;
- Equipment and devices for use in sports;
DOCUMENTATION AND PROCEDURES
In order to facilitate the trade process “one-stop” services are provided at the major customs points of the country. These services are intended to make it possible to complete all the necessary customs documentation and clearance procedures in a single location.
Customs clearance for export and import consists of the following steps:
- Preparing and providing customs document for declaration of goods.
- Customs inspection of customs documents.
- Inspection of the goods and means of transport.
- Levying customs duties and other taxes and payments thereto.
- Granting permission and releasing goods to cross customs border.