Melilla International Trade and Customs Regulations
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Melilla in International Trade: A Special Territory
In the treaty of accession of Spain to the European Union, it was agreed to exclude Ceuta and Melilla from the standard customs territory. Both cities operate under a special tax regime, characterized by a differentiated indirect tax known as IPSI (Tax on Production and Imports Services).
Melilla functions as a "Territory Franco," which implies the following benefits:
- Exemption from VAT.
- Exemption from customs duties and other community rights upon product entry.
- Non-implementation of import quotas.
Additionally, for industrial production manufactured in Melilla, products may acquire "Melilla origin" status under specific Rules of Origin, allowing for free circulation within the EU customs territory... Continue reading "Melilla International Trade and Customs Regulations" »