Page:Agreement relating to Malaysia (1963).djvu/229



2. (3) The Board shall sit in public to receive evidence except where the Board deems it necessary to receive evidence in camera. Within six months after their receipt the Federal Government shall publish the reports and recommendations of the Board other than those of which publication is not in the public interest.

3. (1) For the purposes of this Agreement a protective duty shall be defined as a duty which is levied in respect of a class of goods or products which are or are to be produced, manufactured, assembled or prepared and used or consumed in the Federation in significant quantities, or which are used or consumed in the production, manufacture, assembly or preparation in the Federation of goods or products of such a class or which are of a description providing a substitute for or alternative to goods or products of such a class. All other duties shall be defined as revenue duties. A duty shall be regarded as imposed in Singapore, if it is imposed on goods imported into Singapore for use or consumption there and not otherwise.

3. (2) Except in cases where it deems preventive action to be urgently necessary, the Federal Government shall not in Singapore make any class of goods or products subject to a protective duty or vary any protective duty before receiving the advice of the Tariff Advisory Board. In cases where a duty has been imposed or varied without prior reference to the Tariff Advisory Board, the Federal Government shall seek the advice of the Board thereon as soon as practicable thereafter.

3. (3) For a period of 5 years from Malaysia Day the Singapore Government shall have the right to require a delay not exceeding 12 months in the imposition in Singapore of any protective duty on the grounds that the duty would significantly prejudice the entrepot trade. In any enquiry by the Tariff Advisory Board on a proposal to impose such a duty, the Singapore Government shall inform the Board of any item on which it may wish, in the interests of the entrepot trade, to avail itself of this option. In regard to such items, the Tariff Advisory Board shall consider the possibility of anticipatory action in Singapore and shall, if necessary, include in its recommendations proposals to prevent such action. During the period of delay, the Singapore Government shall not grant any licence, concession or inducement to any industry which may be affected by the proposed protective duty without the concurrence of the Federal Government. 3. (4) The Tariff Advisory Board shall be required within six months after Malaysia Day to make its first report as to what protective duties should be imposed. For this purpose it shall consider any proposals made to it by the Federal Government or a State Government.

4. (1) In formulating its policy relating to the harmonisation of revenue Revenue duties, the Federal Government shall pay due regard to any representations made by the Singapore Government on the economic, financial and social implications of such harmonisation.

4. (2) Revenue duties in force in Singapore on 1st July, 1963, and the corresponding duties in force in the Federation of Malaya shall be harmonised as soon as practicable.