This Partial Scope Agreement was signed on 13 October 1992, and entered into force on 1 January 2000. It is primarily focused on the trade in goods, but provides a framework for the parties to work together for the promotion of services and investment, and double taxation agreements. Under this Agreement, specified goods originating in all signatory CARICOM Member States are eligible for one-way duty-free access to the Venezuelan market. In this regard, the Agreement does not make a distinction between CARICOM MDCs and LDCs.

The Agreement, however, has been fairly dormant as there have been varied technical problems affecting its implementation.

Goods coverage: A number of goods is allowed to enter Venezuela duty free. The Trade Board has not received any applications for certificates of origin. This preferential access, however, is not extended to a range of products. Specifically, Annex I of the Agreement identifies those products from CARICOM which are eligible for immediate dutyfree access into Venezuela. Annex II outlines the list of products subject to a phased reduction of duties according to the timelines specified in the Agreement. Annex III then outlines those products to which the MFN rate of duty will be applied.

Rules of Origin/cumulation: These provisions are set out in Annex IV of the Agreement and its two Appendices. It should be noted that all products extracted, harvested, gathered or born in the territory or territorial waters and exclusive economic zones (EEZ) of the Parties are eligible for preferential access to Venezuela. Products extracted beyond territorial waters and EEZs by ships, which are legally established in a member’s territory, or represent items produced exclusively from material from any CARICOM country are considered originating goods. Other manufactured items resulting from the substantial transformation of materials obtained from third countries, as well as assembled items involving substantial transformation of inputs from Venezuela and third countries, that do not exceed 50% of the f.o.b export value of such products, are also to be considered as originating goods. Similar treatment is further extended to items that fall under HS Chapters 61, 62 and 63, and which are produced using inputs from CARICOM member countries and materials from third countries that do not exceed 40% of the f.o.b value of such products. The production of items under HS Chapter 64 using materials from third countries that do not fall under Chapter 64, and that do not exceed 40% of the f.o.b export value of such products, are also allowed into Venezuela under the same preferential access conditions

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