Feedback from the public

ESR

2.3.1.2. Official importers (who have the exclusive right to import certain goods or a franchise granted by the manufacturer or official distributor of such goods) have the opportunity to appeal the decision of the customs authority to determine the customs value or classification of goods imported by entities that do not have the status of official importers

Problem solving:

2.3.1. Insufficient transparency and effectiveness of customs authorities, excessive discretionary powers of customs officers

Deadlines for all measures within ESR

01.03.2023 - 28.02.2025

Implementation of SACP measures within ESR

Total number of measures – 5

1 1 3

Implemented In progress Not started

Implementation of SACP measures within the scope of the Problem by main main performers

Ministry of Finance of Ukraine

25%

State Customs Service of Ukraine

Summarized general information on Measures

№	Name of the measure	The main implementer	Co-implementors	Performance indicator	Monitoring results (latest)	Статус
1	2.3.1.2.1 Drafting and submitting to the Cabinet of Ministers of Ukraine a draft law proposing to amend the Customs Code of Ukraine, which would: 1) stipulate that the opinion of the right holder is sufficient to confirm a violation of intellectual property rights and draw up a report on the violation of customs rules involving the transportation of goods across the customs border of Ukraine in a manner that violates intellectual property rights; 2) expand the application of measures towards greater protection of intellectual property rights to instances of detection of goods suspected of being in violation of intellectual property rights, which are moved across the border bypassing customs control, are concealed from customs control by way of avoiding declaration, etc.; 3) impose harsher administrative penalties for moving goods across the customs border of Ukraine in a manner that violates intellectual property rights; 4) add the right holder to the list of parties participating in case proceedings involving violations of customs rules under Article 476 of the Customs Code of Ukraine.	Ministry of Finance of Ukraine	Державна митна служба України	The draft law has been submitted to the Parliament of Ukraine.	The measure was not implemented on time and in full	Implemented
2	2.3.1.2.2 Drafting an order on amendments to the Procedure for Applying Measures Towards Greater Protection of Intellectual Property Rights and Interaction of Customs Authorities with Right Holders, Declarants, and Other Stakeholders, approved by the order of the Ministry of Finance dated June 9, 2020, No. 281, and the Procedure for Registering Objects of Intellectual Property Rights Protected Under Law in the Customs Register, approved by the order of the Ministry of Finance dated May 30, 2021, No. 648, as amended by the order of the Ministry of Finance dated June 9, 2020, No. 282, according to which: 1) the specified normative legal acts have been aligned with the amendments to the Customs Code of Ukraine indicated in subclause 2.3.1.2.1; 2) the customs authority has the right to consult the right holder during the customs inspection of goods; 3) a procedure has been instituted for responding to recurrent cases where right holders—despite having confirmed the opinion of the customs authority that the goods are suspected of being in violation of intellectual property rights—refuse (do not intend to) apply the measures towards greater protection of intellectual property right with respect to such goods or resort to other remedies provided by law; 4) an exclusively electronic form of information exchange between the customs authorities and right holders has been introduced (submitting applications to the customs register of intellectual property rights, applying measures towards greater protection of intellectual property rights).	Ministry of Finance of Ukraine		The draft order on amendments has been drafted and publicized for a public discussion.		Not started
3	2.3.1.2.3 Holding a public discussion of the draft order indicated in subclause 2.3.1.2.2, and ensuring its revision (if needed), issuance, and submission for state registration	Ministry of Finance of Ukraine		The public discussion has been conducted and its results have been made public.		Not started
4	2.3.1.2.4 Supporting the state registration of the order indicated in subclause 2.3.1.2.2 and its official publication	Ministry of Finance of Ukraine	Міністерство юстиції України	State registration of the order has been completed.		Not started
5	2.3.1.2.5 Developing and putting into operation new software and IT complexes designed to: 1) ensure the traceability of actions involving the application of measures towards greater protection of intellectual property right on the part of both the customs authorities and the right holders; 2) accelerating interactions between the customs authorities and right holders by switching to information exchange in electronic form; 3) applying standardized approaches to documenting all actions and decisions involving the application of measures towards greater protection of intellectual property rights, expanding the list of information accumulated in the relevant software and IT complexes with a view to broadening the opportunities for analysis, reporting, and enhancing the risk management system; 4) creating additional sources of information to be used by the customs authorities while allying measures towards greater protection of intellectual property rights; 5) launching intelligent systems for analyzing the performance of the customs authorities in matters of fostering the protection of intellectual property rights and continued improvement of business processes.	State Customs Service of Ukraine		The software and IT complexes have been developed and put into operation.	There is progress in the implementation of the measure	In progress

Indicators of achievement of ESR

Total number of indicators – 4

Indicators fully achieved – 0

Partially achieved indicators – 0

Indicators with a score of 0% – 4

Summarized general information about Achievement Indicators

№	Indicators	Weight (%)
№	Indicators	Weight (%)	1	The average monthly number of suspensions of customs clearance of goods in respect of which the right holder confirmed the conclusion of the customs authority that the goods are suspected of infringement of intellectual property rights is more than 100 cases.	50%
2	The ratio of the total number of cases of application of the procedure of destruction of goods, change of labeling on goods and their packaging, the number of reports on the violation of customs rules, the number of court petitions seeking to ensure the protection of intellectual property rights, to the total number of suspensions of customs clearance of goods in respect of which the right holder has confirmed that the goods are suspected of infringement of intellectual property rights is more than 50 percent.	20%
3	New software and IT systems aimed at improving the protection of intellectual property rights have been developed and put into operation, namely: “Data exchange between customs authorities and right holders”, “Suspension of customs clearance of goods at the initiative of the customs authority”, “Measures towards greater protection of intellectual property rights”	20%
4	the results of the expert survey have demonstrated that: a) more than 75 percent of experts on customs policy evaluate the effectiveness of application of measures towards greater protection of intellectual property rights at customs offices as high or very high (10 percent); b) more than 50 percent of experts on customs policy evaluate the effectiveness of application of measures towards greater protection of intellectual property rights at customs offices as high or very high (7 percent); c) more than 25 percent of experts on customs policy evaluate the effectiveness of application of measures towards greater protection of intellectual property rights at customs offices as high or very high (4 percent).	10%

ESR