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Wt/Tpr/S/304 RESTRICTED WT/TPR/S/304 17 September 2014 (14-5196) Page: 1/106 Trade Policy Review Body TRADE POLICY REVIEW REPORT BY THE SECRETARIAT MAURITIUS This report, prepared for the fourth Trade Policy Review of Mauritius, has been drawn up by the WTO Secretariat on its own responsibility. The Secretariat has, as required by the Agreement establishing the Trade Policy Review Mechanism (Annex 3 of the Marrakesh Agreement Establishing the World Trade Organization), sought clarification from Mauritius on its trade policies and practices. Any technical questions arising from this report may be addressed to Jacques Degbelo (tel: 022 739 5583); Katie Waters (tel: 022 739 5067); and Michael Kolie (tel: 022 739 5931). Document WT/TPR/G/304 contains the policy statement submitted by Mauritius. Note: This report is subject to restricted circulation and press embargo until the end of the first session of the meeting of the Trade Policy Review Body on Mauritius. This report was drafted in English. WT/TPR/S/304 • Mauritius - 2 - CONTENTS SUMMARY ........................................................................................................................ 7 1 ECONOMIC ENVIRONMENT ........................................................................................ 11 1.1 Main Features of the Economy .................................................................................... 11 1.2 Recent Economic Developments.................................................................................. 11 1.3 Trade Performance ................................................................................................... 16 1.4 Foreign Direct Investment ......................................................................................... 19 2 TRADE AND INVESTMENT REGIMES ........................................................................... 22 2.1 General Framework .................................................................................................. 22 2.2 Trade Agreements and Arrangements .......................................................................... 23 2.2.1 WTO .................................................................................................................... 23 2.2.2 Regional Trade Agreements (RTAs) .......................................................................... 23 2.2.2.1 RTA developments since 2008 ............................................................................... 25 2.2.2.1.1 Mauritius-Turkey RTA ........................................................................................ 26 2.2.2.2 Interim Economic Partnership Agreement (IEPA) with the European Union................... 26 2.2.2.3 RTAs with other African countries .......................................................................... 26 2.2.3 Preferential Trade Agreements ................................................................................. 28 2.2.3.1 Generalized System of Preferences (GSP) ............................................................... 28 2.2.3.2 African Growth and Opportunity Act (AGOA) ........................................................... 28 2.2.4 Other regional cooperation schemes and agreements .................................................. 29 2.3 Investment Regime .................................................................................................. 30 2.3.1 General framework ................................................................................................ 30 2.3.2 Recent reforms ...................................................................................................... 32 3 TRADE POLICIES AND PRACTICES BY MEASURE ........................................................ 33 3.1 Measures Directly Affecting Imports ............................................................................ 33 3.1.1 Customs procedures and valuation ........................................................................... 33 3.1.2 Rules of origin ....................................................................................................... 35 3.1.3 Tariffs and other duties and taxes ............................................................................ 35 3.1.3.1 General features ................................................................................................. 35 3.1.3.2 MFN applied tariffs .............................................................................................. 36 3.1.3.3 Bindings ............................................................................................................ 40 3.1.3.4 Tariff preferences ................................................................................................ 40 3.1.3.5 Tariff exemptions and concessions ......................................................................... 40 3.1.3.6 VAT .................................................................................................................. 41 3.1.3.7 Excise duties ...................................................................................................... 42 3.1.3.8 Other taxes ........................................................................................................ 43 3.1.4 Import prohibitions, restrictions, and licensing ........................................................... 43 3.1.5 Anti-dumping, countervailing, and safeguard measures ............................................... 44 3.1.6 Standards and other technical requirements .............................................................. 44 3.1.6.1 Standards .......................................................................................................... 44 WT/TPR/S/304 • Mauritius - 3 - 3.1.6.2 Technical regulations ........................................................................................... 45 3.1.6.3 Accreditation, conformity assessment, and marking ................................................. 46 3.1.6.4 Other ................................................................................................................ 46 3.1.7 Sanitary and phytosanitary requirements .................................................................. 47 3.1.7.1 Plants and plant products ..................................................................................... 47 3.1.7.2 Live animals ....................................................................................................... 48 3.1.7.3 Food ................................................................................................................. 48 3.2 Measures Directly Affecting Exports ............................................................................. 48 3.2.1 Registration and documentation ............................................................................... 48 3.2.2 Export taxes, charges, and levies ............................................................................. 48 3.2.3 Export prohibitions, restrictions, and licensing ............................................................ 48 3.2.4 Export subsidies, and duty and tax concessions .......................................................... 50 3.2.4.1 Freeport scheme ................................................................................................. 50 3.2.4.2 Freight rebate scheme ......................................................................................... 51 3.2.4.3 Other schemes ................................................................................................... 51 3.2.5 Export promotion and marketing .............................................................................. 51 3.2.6 Export finance and insurance ................................................................................... 52 3.3 Measures Affecting Production and Trade ..................................................................... 52 3.3.1 Government procurement ....................................................................................... 52 3.3.2 Incentives ............................................................................................................ 55 3.3.3 State trading, state-owned enterprises, and privatization............................................. 57 3.3.4 Competition policy and price controls ........................................................................ 59 3.3.4.1 Competition policy .............................................................................................. 59 3.3.4.2 Price controls ..................................................................................................... 61 3.3.4.2.1 Maximum wholesale and retail price scheme ........................................................ 61 3.3.4.2.2 Maximum mark-up scheme ................................................................................ 61 3.3.4.2.3 Maximum recommended retail price scheme ........................................................ 62 3.3.5 Intellectual Property Rights (IPRs) ............................................................................ 62 4 TRADE POLICIES BY SECTOR ..................................................................................... 65 4.1 Agriculture, Forestry and Fisheries .............................................................................. 65 4.1.1 Agriculture ............................................................................................................ 65 4.1.1.1 Overview ..........................................................................................................
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