THE EXECUTIVE ORDINANCE OF LAW ON EXPORT-IMPORT REGULATIONS

Having considered the proposal No. 100/64945 of 12.05.1994 (23.10.1373) made by the Ministry of Commerce, and on the strength of Article 23 of law on Export-Import Regulation enacted in 1993 (1372), the Council of Ministers approved at the meetings held on 26,29 March and 02.04.1993 (7,10 and 14.01.1372) the executive ordinance of the aforesaid law, and the table annexed thereto as follows:

Article 1

The Standing Committee for Export-Import Regulations consisting of the representatives of the Ministry of Commerce, Ministry of Industries, Ministry of Economic Affairs & Finance (the Customs Administration of the Islamic Republic of Iran), the Central Bank of the Islamic Republic of Iran, and Iran Chamber of Commerce, Industries & Mines, shall be responsible for drafting legal bills and the resolutions of the Council of Ministers, and the Economic Council, and of the Economic Commission of the Council of Ministers in the following areas:
1. Bills relating to the export and import regulations, and occasional bills required for the amendment and modification of law on Export-Import Regulations.

2. Bills for the abrogation of monopolies which impede the growth of production or trade.

3. The executive ordinance of Law on Export-Import Regulations, and occasional amendments and modifications thereto.

4. Amendments and modifications to the customs tariff schedules annexed to the Export-Import Regulations.

5. Formulation of resolutions of the Council of Ministers, of the Economic Council, and of the Economic Commission of the Counil of Ministers, in respect of Export-Import Regulation.

6. The Committee shall also consider, comments, and act on proposals relating to Export-Import Regulations. Note 1. The Committee under this Article shall be set up at the Ministry of Commerce, and chaired by the deputy Ministry of Commerce. The secretariat of the Committee shall be located at the said Ministry. Comments and recommendations of the Committee shall be communicated to the relevant authorities.
Not 2. In cases where other ministries are involved in the business of the Committee, Their representative shall be invited to attend the meeting, and be entitled to voting right.

Article 2*

Ministry and organizations empowered to approve the importation or exportation of certain goods, shall notify the Ministry of Commerce, by the 5th of Dec. (15th of Azar) each year, of their general approach in respect of importation or exportation of goods concerned to be enforced in the succeeding year. The aforesaid executive organs may advise the Ministry of Commerce of their additional comments up to 15th of Bahman (3rd of February). In exceptional cases where such a general approval cannot be granted, they are required to notify the Ministry of Commerce of the relevant reasons, as well as the criteria for the issuance of license.
Notes. In respect of goods not subject to a general approval-except for goods which are subject to the approval of the Ministry of Defence& Armed Forces Logistics-the Ministry of Commerce shall seed the opinion of the relevant ministry or organization. If the respective organ fails to respond to the request of the Ministry of Commerce within 15 days from the date of its receipt, the latter shall be authorized to issue an individual license.

Article 3*

Ministries and organizations who set standards or certify certain exports or imports before or after the goods are declared to the customs, shall inform importers, exporters, and the executive organizations about their requirements, specifications and name of the regulatory institute responsible for the enforcement of the said criteria, by publishing them in the press.
Note. It shall be the duty of the said ministries and organizations to draw up and announce a time frame for the inspections and tests that are to be carried out on the goods falling under their jurisdiction, with due regard to the provision of as fast and smooth a service as possible.


* As amended

Article 4

Ministries and organizations who are responsible for issuing human, animal, and plant health certificate, and for confirming the conformity of products to standards which are prerequisite for the importation, but not deemed as an import license, shall be required to take action to issue the relevant certificate, regardless of whether they approve or reject the importation or exportation of the goods being considered.

Article 5

Having regard to the provisions of Articles I and 8 of the Export-Import Law, hereinafter referred to as "the Law", the entry of all importable goods, except for the following cases, whether imported by the governmental or non-governmental sector, shall be subject to order registration and import licensing by the Ministry of Commerce, with due regard to the observance of other relevant conditions.
" Exceptional cases "
1. Goods required by the households residing in frontier zones, and their cooperative companies; and by sailors and vessel crew, as per and within the limits of the list set out in this ordinance. The Customs Administration shall be required to forward, at the end of each month, a statistical report of imports made under this paragraph to the Ministry of Commerce, according to the format drawn up by the Ministry.
2. Specific military goods as confirmed by the Minister of Defence & Armed Forces Logistics, as well as specific goods of the Atomic Energy Organization as confirmed by the Head of the Atomic Energy Organization.
3. Goods accompanying the incoming passengers within the limits laid down in this ordinance, and as per the list proclaimed by the Ministry of Commerce.
4. Goods imported through mail within such limits as may be specified in this ordinance.
5. Commercial and manufacturing samples within such limits as may be specified in this ordinance.

Note 1. Goods donated according to the provisions of paragraph 9 of Article 37 of Customs Affairs Law shall be subject to the inspection of the Ministry of Commerce, only to ascertain their conformity to the relevant law, provided that they do not have a commercial attribute ( with the exception of goods donated by foreign governments, persons, and institutions as well as international organizations to foreign refugees and victims of unexpected disasters in Iran). However, in compliance with the provisions of the note of paragraph 20 of Article 37 of the aforesaid law, such goods shall not be subject to import licensing as provided for by the Government.

Note 2. Import licensing and order registration by the Ministry of Commerce shall be sufficient to clear the goods, without any need for a separate clearance permit from the same Ministry. However, requirements such as sanitary certificate from the Ministry of Health Treatment & Medical Education or the Veterinary Organization, phytosanitary certificate from the Plant Protection Organization, the standards certificate from the Institute of Standards & Industrial Research, etc. are legally compulsory, and not subject to the provisions of Note I of Article 8 of the Law. To endorse the product quality, such certification shall require the inspection of goods in the origin, or after they enter customs.

Note 3. In respect of goods imported by workers and Iranians employed in foreign countries, the procedure for order registration shall be specifically determined by consultation between the Ministry of Commerce and the Ministry of Labour & Social Affairs.

Article 6

In cases where mandatory product standards have been established for imports and proclaimed through the Ministry ofCommerce, as well as in the case of other standards and criteria provided for in Article 3 of this ordinance, importers shall be required to assert them in purchase contracts and import registration papers, and to instruct the supplier to ensure that goods dispatched comply with the prescribed standards. Moreover, importers must make payments conditional on inspection certificate testifying that goods conform to the standards and norms shown on the transaction documents. The Ministry of Commerce and the bank are required to refrain from statistical registration as well as issuance of import permit and order registration of those imported goods whose invoice and other order registration papers do not comply with the aforesaid standards and criteria as the case may require.

Article 7

Regulations and guidelines of the country's banking system concerning merchandise imports and exports, as well as regulations and guidelines of the High Council for Co-ordination of National Transportation, the High Council of Insurance, and conditions for issuing the certificates referred to in Article 6 above, which are issued by the - responsible ministries and organizations within the context of their functions and powers, and released through the Ministry of Commerce within three days, shall be a part of the merchandise import and export criteria, and must be mandatorily observed in respect of all importable and exportable goods.

Article 8

A. Legally prohibited goods are those the importation or exportation of which has been prohibited by laws.
B. Goods prohibited by the government include all items which have been proclaimed as non-permissible according to the table appendixed to the Export -Import Regulations, or other resolutions passed by the government.

Article 9

Any commercial transaction with the usurper regime of Qods is prohibited.

Article 10

For the purpose of Article 3 of the Law, the criteria for determining the commercial attribute of imports, and the manner in which
the Commercial Card is issued, extended, cancelled, or waived are declared as follows: I. Criteria for determining the commercial attribute of goods.
Goods which are imported or exported for sale at the discretion of the Customs Administration, shall be considered commercial irrespective of whether they are sold in the original form, or after havi,g undergone productive processing, separation and packaging.

Note. Following cases shall not be viewed as commercial:
(i)Commercial and production-related samples, and samples for inspection .nd testing in such quantity as can be reasonably regarded by Customs as a sample.
(ii) Machinery, equipment, components and parts required by the productive units who do not hold a commercial card but import by the approval of the Ministry of Commerce to meet their equirements as necessary.
(iii) Import and export of goods by executive organs who act in compliance with their duties, and for the purpose of achieving the objectives of their organization, and meeting their needs with the notification of the Ministry of Commerce. In specific cases which the Ministry of Commerce regards the imports as having commercial attribute, it will inform the Council ofMinisters accordingly.
(iv) Export of goods by novice exporters, for a maximum period of 6 months from the inception of their business, subject to licensing by the Ministry of Commerce .
(v) Appliances and supplies required by research, scientific, medical, educational, and laboratory units; catalogues, brochures, and booklets containing technical and commerc al specification of goods; technical blueprints; samples of no inherent value; and goods required by contracto s and consultants, at the discretion of the Ministry of Commerce.

2. The manner in which the Commercial Card shall be issued:
The Commercial Card shall be issued by the branches of the Iran Chamber of Commerce, Industries & Mines in Tehran or the provinces to the applicants who meet the following conditions. The d shall be valid for 5 years upon the approval of the Ministry of Commerce.

Note. All cooperative companies shall obtain their Commercial Cards exclusively from the Chamber of Cooperation of the Islamic Republic of Iran. 2.1. Iranian natural persons
2.1.1. To be passed 21 yearsofage.
2.1.2. To hold a certificate of completion of, or exemption from, the milita service for men.
2.1.3. To have a background of 3 years in commercial or productive ac ivities as confirmed by two persons holding Commercial Card, or to produce university education credent als, or to hold a production license issued by a ministry dealing with production affairs.
2: 1.4.To possess a placeofbusiness, whether owned or leased , suitablefi rtheparticular lineofactivity. 2.1.5. To hold legal books, and business registration form.
2.1.6. To maintain a checking account at one of the domestic banks.
2.1.7. Not to have an employment connection with the state ministries, or anizations. 2.1.8. Not to be an involuntary, or fraudulent banktrupt. 2.1.9. Not to have an effective penal conviction.
2.2. Non-lranian natural persons
2.2.1. To meet all conditions required from Iranian persons, excluding the certificate of completion of, or exemption from the military service.
2.2.2. To hold valid work and residence permits.
2.2.3. Reciprocal treatment of Iranians residing in the foreigner's country of allegiance. In particular cases where the issuance of a Commercial Card regardless of the reciprocity of the applicant's country of allegiance is deemed necessary by the Ministry of Commerce, the Ministry may authorize the Chamber to issue a Commercial Card to this category of applicants, without making it conditional on reciprocal treatment.
2.3. Juridical persons (whether incorporated and registered in Iran, or incorporated abroad and then registered in Iran).
2.3.1. The managing director and chairman of the board of directors of the company shall be required to satisfy the conditions set forth in paragraphs 2.1.1,2.1.2,2.1.7 ,2.1.8, 2.1.9,2.2.2 and 2.2.3.
2.3.2. The management of cooperative companies, state enterprises, and companies covered by the Industrial Protection Law shall not be subject to the limitations referred to in paragraph 2.1.7.
2.3.3. Managers of state enterprises, companies owned by the revolutionary organs, and those covered by the Industrial Protection Law who have been appointed by state organizations or the relevant organs, shall be exempted from producing the certificate referred to in paragraph 2.1.9.
2.3.4. The company must also satisfy the requirements set forth in paragraphs 2.1.4,2.1.5,2.1.6, and2.1.8.
3. How to extend a Commercial CardTo extend the validity of a Commercial Card, the holder, or his representative, shall be required to apply to the Chamber of Commerce, Industries & Mines, or of Cooperation as appropriate, submitting the following documentation:
3.1. A certificate from the relevant tax department showing that the holder has secured the approval regarding payment of the finalized tax liability for the most recent tax year.
3.2. In cases where the holder of the card is a juridical person, a notice published announcing changes, if any, in the company's management as well as other changes. The holder should then refer to the Ministry ofCommerce to have the extension approved. The card shall be valid as of the extension date.
4. Exemption from the Commercial Card
4.1. Cooperative companies formed by the inhabitants of frontier zones, in respect of imports required by households residing in frontier zones, as per the relevant list and within the limits specified therein regarding the number, quantity and value of such imports. Export of goods in return for imports.
4.2. Iranian sailors employed on vessels commuting between Iranian shores and other countries, in respect of imports required by their families, within the limits specified regarding the number, quantity and value.
4.3. Peddlers [hawkers], for the importation of importable goods required in their province, or the neighbouring provinces, provided that they hold a peddling card, and an import permit from their local Department of Commerce in the respective city or province.
4.4. Iranian workers employed abroad, provided that they hold an employment record from the Ministry of Labour & Social Affairs, as per the relevant list, and within the limits contained therein regarding the number, quantity and value of such imports.
4.5. Goods imported or exported not to be so Id, as confirmed by the Customs Administration.
5. Dispute settlement between the applicant of a Commercial Card and the Chamber of Commerce, Industries & Mines, or ofCooperation:
If any dispute arises between the applicant of a Commercial Card, and the Chamber of Commerce, Industries & Mines or of Cooperation, either one of the parties may refer it to the Ministry of Commerce for final decision, while stating the reasons in support of the claim.
6. If, after the issuance of the Commercial Card the Ministry of Commerce becomes aware, beyond doubt, that the holder failed to satisfy one or several of the conditions, or that he has been disqualified of one or more of the conditions since the issuance of the Card, it may directly act to cancel the Card, and notify the Chamber ofCommerce, Industries & Mines, or of Cooperation as relevant. However, if either one of the Chambers happens to learn of such a case, it must advise the Ministry ofCommerce to cancel the Card.

Article 11

Goods which become prohibited in accordance with the table appendixed to this ordinance, or by specific government resolutions, as well as goods the entry condition of which becomes subject to more restriction, may be cleared according to regulation applicable before the prohibition or the change in entry condition, provided that they satisfy one of the following conditions:
1. The goods should have been existent at customs before becoming prohibited by the government or subject to the restricted entry condition. Such goods should have been duly entered in the customs books
2. The documentary credit for the goods must have been opened prior to becoming prohibited by the government or subject to restricted entry condition. Also, the bill of lading must have been issued prior to the expiry date of the credit.
3. The import order for the goods should have been registered at an authorized bank through documentary bill, and the acceptance by the importer written before the goods became prohibited, or subjected to restricted entry condition. In addition, the first bill of lading should have been issued prior to the expiry of the order registration. The goods should have been imported into the country within the time limits specified in paragraph 4 of this Article.
4. In the case of imports without transfer of foreign exchange (without the banking system being obligated to pay) which are licensed according to the regulations applicable prior to the prohibition or change in the entry condition, if the first bill of lading is issued prior to the prohibition or change in entry condition, and the goods are entered into the country, the following time limits shall apply:
(a) If shipped by air, within a maximum period of 20 days from issuance date of the first bill of lading.
(b) If shipped by sea, land, or combined sea and land, the time limit from issuance date of the first bill of lading shall be as follows:
(1) In the case of goods imported from the Persian Gulf Arab countries and emirates, and neighbouring countries, 20 days.
(2) In the case of goods imported from other countries by land 40 days, by sea or sea and land 55 days.
Note 1. In the case of goods falling into this Article, if an import license is obtained from the Ministry of Commerce before the effective date of prohibition or change in the entry condition, the bill of lading should be issued within the time limit specified in the license, and goods imported within the periods stipulated in paragraphs (a) and (b) above. Note 2. Exceptional cases shall be subject to the approval of the Committee referred to in Article 1.

Article 12

Shipment of the country's export goods by foreign means of transportation is permissible, and requires no license from the High Council for the Coordination of National Transportation, or the Ministry of Roads & Transportation.
Note. The Ministry of Roads & Transportation (the High Council for the Coordination of National Transportation) shall devise incentives, using economic methods, to encourage Iranian means of transportation to haul export goods.

Article 13

In compliance with the priority given to Iranian means of transportation (whether sea, air, road, or railway transport) for hauling imported goods, the High Council for the Coordination of National Transportation shall approve the relevant guidelines taking account of the following points, and shall communicate them to all concerned organs for enforcement:
1.To design appropriate procedures in order to reduce the administrative red tape, and employ economic means, with a view to attracting merchandise owners to make greater use of the Iranian fleet.
2. To provide facilities for the Iranian means of transportation.

Article 14

For the purpose of executing Article 7 of the Law on Export-ImportRegulations, it shall be the duty of the Ports and Shipping Organization, and the Civil Aviation Organization to allocate, in coordination with Customs Administration, specific premises for temporary storage of goods needed to repair and equip commercial marine and aircraft fleet. Once every three months, the Customs Administration shall convey to the Ministry of Commerce the list of goods which have been delivered to these premises.

Article 15

Citizens ofall border districts of the country's provinces, except those inhabiting in the central city of the border townships shall be subject to the border exchange facilities by obtaining a border exchange card.

Note I. The townships of Lamerd and Dashtistan, as well as the central districts of the provinces of Sistan & Baluchistan, Hurmuzgan, Bushehr, and Khuzistan are subject to this Article.

Note 2. The border exchange card shall be issued to the head of the household by the local Department of Commerce, or in its absence, by the local sub governorship. The card shall be issued in the month of Esfand of each year through the month of Farvardin in the following year, and be valid for a period of one year. The extension for a subsequent year of the border card shall be subject to the completion of formalities laid down in this Article.

Note 3. If the size of any family holding a border exchange card increases to more than 6 as a result of a new birth, the newly born shall not be subject to the facilities of the border exchange.

Article 16

Holders of the border exchange card may join the local cooperative company formed by frontier zone inhabitants, by submitting
their card to the said company. Upon the receipt of the cards, the cooperative company shall seal them on the place specified for the purpose. The company shall make a list of sealed cards, and have it certified by the local Department of Commerce, or the subgovernor's office. By producing the list, the cooperative company can conduct border transactions equivalent to the total quotas of its members, within the framework of the relevant regulations. Households whose cards have not been sealed by the cooperative company, or who decline to subscribe to the cooperative, or their place of residence lacks such a company, may individually conduct border exchange transactions within the bounds of their quotas, and without the right to deputize a proxy.

Note 1. The value ceiling of goods importable by households residing in border areas and their cooperative companies shall be three hundred million dollars ($ 300000000) on annual basis. The allocation of quotas out of this amount to individual provinces eligible for border exchange facilities, shall be made by the Committee indicated in Note 1 of Article 17 of this ordinance. .

Note 2. Similar to other juridical persons, cooperative companies of border inhabitants may engage in the exportation and importation of goods within the purview of general export-import regulations, and regardless of border exchange regulations. Trade activities indicated in this Note shall be in addition to the ceiling specified in Note 1 of this Article.

Note 3. The Ministry of Cooperation shall be required to supervise border cooperative companies in such a manner that their activities do not obstruct productive employment in the relevant provinces.

Note 4. Under the guidance and supervision of the Ministry of Cooperation, and with due regard to Article 25 of the law concerning the cooperative sector of the Islamic Republic of Iran's economy, a part of the profits derived from the export-import activities of border cooperative companies shall be invested to create and develop units that generate jobs in the geographical bounds of the localities where these companies are based.

Article 17*

Holders of the border exchange card, or their cooperative company are authorized to export all permissible goods, and those allowed for export under a "general approval", up to an annual value ceiling of Rls. 1000,000 (one million) per person, with due regard to other regulations. In return, they may import permissible goods up to the same ceiling, without licenses provided for in the tables of the Export- Import Regulations.

Note 1. The list containing types and quantity of goods importable by border inhabitants, and the amount of customs exemptions, and their subsequent changes, shall be prepared by a committee set up under the supervision of the Ministry of Commerce, and made up of the Ministry of Cooperation and Ministry of Interior. The list shall be promulgated after being approved by the majority of Ministers who are members of the Economic Commission of the Council of Ministers, with due regard to Article 19 of the internal by-laws of the aforesaid Council.

Note 2. Exchange security in respect of exports made by holders of the border exchange card, or their cooperative company shall be deposited with customs. Deadline for the entry of imports shall be 8 months from the date the exchange security has been deposited. In cases where the imports are not entered within the prescribed period of time, the Customs Administration shall be required to notify the Central Bank of the Islamic Republic of Iran, of the non- fulfillment of the obligation, with a view to taking legal action.

Note 3. The exchange of goods by holders of the border exchange card, or their cooperative company shall be subject to the following conditions:
1. Goods imported should not be manufactured or produced in countries with which transaction is prohibited.
2. The exportation and importation of all goods shall be subject to the observance of human, animal, and plant health regulations, as well as those concerning the atomic energy.
* As amended.


List of goods importable by holders of the border exchange card, or the cooperative companies of border inhabitants, the entry conditions and the amount of customs exemption, subject of Note 1 of Article 17 above (the resolution N 0. 71704 / T 20525 K dated 03.03.98 (11.12.77) passed by the Council of Ministers).
1. Rice, 50 kg per person/year, with full exemption from customs duty and commercial benefit tax.
2. Edible vegetable oil (solid and liquid), with due attention to the consumption deadline and the relevant quality standard, 15 kg per person/year, with 50% exemption from customs duty and commercial benefit tax.
3. Sugar (lump and granulated), totally 20 kg, per person/year, with 50% exemption from customs duty and commercial benefit tax.
4. Tamarind, 5 kg per person/year, for eligible coastal localities only, with 50% exemption from customs duty and commercial benefit tax.
5. Spices (including turmeric, black paper, ginger, cardamom, clove, and cinnamon), totally 3 kg per person/year, with 50% exemption from customs duty and commercial benefit tax.
6. Manual, and fully industrial sewing machine, one piece per 50 persons/year, with 50% exemption from customs duty and commercial benefit tax.
7. Tea flask, one per 5 persons/year, with 30% exemption from customs duty and commercial benefit tax,
8. Glass for tea flask, one piece per 5 persons/year, with 30% exemption from customs duty and commercial benefit tax.
9. Mantle lantern, one per 5 persons/year, with 20% exemption from customs duty and commercial benefit tax.
10. Wind-proof lantern, one per 5 persons/year, with 50% exemption from customs duty and commercial benefit tax.
11. Squared wood for eligible coastal localities only, without any restrictions.
12. Teak wood for launch building, without any restriction.
13. Engines, or parts thereof, used for freight and fishing boats or launches, without any restrictions.
14. Special nails used for launch building, without any restriction.
15. Carpentery equipment and tools, or parts thereof, used for launch building, without any restriction.
16. Shark oil for use in launches, without any restrictions.
17. Yarn for weaving fishing net, for annual consumption of persons engaged in fishing.
18. Loom for weaving fishing net, for annual consumption of fishermen.
19. Gregor wire for building fishing cages, without any restriction.
20. Fishing hooks for annual consumption of fishermen, with due regard to the criteria of the Fisheries Organization.
21. Electricity generators up to 20 kW, one generator per 20 persons/year, with 25% exemption form customs duty and commercial benefit tax.
22. Environment-friendly compressors for refrigerator and cooler, 1 piece per 10 persons/year, with 30% exemption from customs duty and commercial benefit tax.
23.Agricultural machinery, without any restriction.
24. Water desalination units, without any restriction.
25. Agricultural water motors (without pump ), or detached parts thereof, without any restriction.
26. Spare parts for agricultural machinery, without any restriction.
27.Air conditioners, for the Southern provinces, and Lamerd in Fars province only, 1 unit per household/year, with 30% exemption from customs duty and commercial benefit tax.
28.Various kinds of seeds of tomato, eggplant, cucumber, onion, cabbage, and pepper, without any restriction.
29.Various kinds of plant pesticides, approved by the Plant Protection Organization, without any restriction.
30. Wool shearing machines, without any restriction.
31. Board of yew wood, without restriction.
32. Various kinds of tailors' scissors, pruning shears and wool shears without any restriction.
33. Mowing yarn, without any restriction.
34.Parts for light- and heavy-dutyvehicles and road building machinery (other than parts for Paykan), without any restriction.
35.Cutting tools without any restriction.
36. Jute fabric, l00 metres per household/year.
37. Kitchen knives, 6 pieces per household/year.
38. Hand-operated and electric shaving machines, one piece per household/year.
39. Turkmen scarves, 3 pieces per household/year.
40. Powder for photocopying machines, without any restriction.
41. Raw cow hide, without any restriction.
42. Desk-model calculators, one per household/year.
43. Compasses and surveying levels, without any restriction.
44. Unwrought glass for spectacles, one piece per household/year.
45. Spectacle frames, one piece per household.
46. Various kinds of black seamless pipe, without any restriction.

Article 18

In order to benefit from privileges provided for under Article 10 of the law, the crew members and sailors of vessels commuting between the shores of the Islamic Republic of Iran and other countries must hold a valid identification card issued by the Ports & Shipping Organization. Those crew members and sailors holding such a card, shall be entitled to the same privileges that are extended to the cooperative companies of frontier zone inhabitants, or to the households residing in these zones, and may import and clear in proportion to the number of their dependants such goods as are importable by the said companies and households, while benefiting from the facilities foreseen in this respect, and with due regard to the relevant conditions.
Note. Every foregoing crew member and sailor while benefiting from the afore-mentioned privileges, may import goods twice a year , each time as much as Rls 500 000, from the list of importable items by the border inhabitants and clear them making use of the facilities foreseen in this respect .

Article 19

Persons who have resided in the frontier districts of the country for three consecutive years, and qualify for the requirements set forth in Article 211 of the Civil Code in respect of dealing in the purchase and sale of goods, may obtain a peddling card and engage in border exchange activities within the framework of the regulations laid down in Article 20 herein.
Note. The peddling card shall be issued by the local Department of Commerce and be valid for one year from the date ofissuance.

Article 20

During the one-year validity period of the peddling card, the holders may export, without deputing a proxy, permissible goods, or those authorized for export under a "general approval", to the country or countries neighbouring their place of abode, with due regard to the relevant regulations. In return for goods so exported, they may import and clear for their own use, permissible or conditional goods from the same countries, or from Free Trade- Industrial Zones or Special Protected Zones by obtaining necessary license as set forth in the tables annexed to the Export-Import Regulations. Such imports shall be subject to the payment of customs duty and commercial benefit tax. The list of goods importable in this manner shall be prepared and promulgated by the Ministry of Commerce.

Article 21

Iranian workers and nationals employed abroad who hold an employment certificate from the Labour Attache of the Islamic Republic of Iran in the country of their residence, or the Ministry of Labour & Social Affairs may import and clear industrial machinery, tools and primary materials with the exception of items contained in the following list, up to an annual value ceiling ofRls. twenty million (20,000,000), by securing a permit from the Labour Attache, or the Ministry of Labour & Social Affairs. These goods may be imported through all ports in the country, or through Free Trade-Industrial Zones, or Especial Protected Customs Zones, subject to the payment of the applicable customs duty and commercial benefit tax. Such imports may benefit from commercial benefit tax exemption of 40% in the case of machinery and 20% in the case of primary materials, and imported without remittance abroad of foreign exchange, presentation of Commercial Card, or import licensing set forth in the tables appendixed to the Export-lmport Regulations, with due regard to other relevant regulations.
Presentation of the employment certificate and permit from the Labour Attache, or the Ministry of Labour & Social Affairs shall be sufficient for the clearance, and the presence in person of the holder of the said certificate shall not be necessarily required.
Note 1. Iranian workers and nationals employed abroad who are covered by this Article may deputize the cooperative company of workers employed abroad or in its absence, other persons to carry out the importation on their behalf.
Note 2. Goods imported by the aforesaid workers and Iranian employed abroad, through other ports of entry, or in excess of the ceiling specified in this Article, shall be subject to the general regulations of the country.
Machinery, tools and primary materials unauthorized for importation by Iranian workers employed abroad:
1. Sheet-fedprintingmachine
2. Printing machines forplastics
3. Automatic-cream machines
4. Gold-foil printing machines for binding
5. Balancing machines, repair shop type
6. Multitillers
7. Rototillers
8. Heat exchanger
9. Electric sewing machine, domestic type
10. Machines for making wooden doors
11. Wood turning machines
12. Miniloaders
13. Ditchers
14. Steam boilers, cast-iron boilers, heat exchangers, etc.
15. Drier for cereals, forage, and vegetables (stationary and mobile)
16. Slaughterhouse machinery for livestock and poultry
17. Machinery and equipment for preparing livestock and poultry feed
18. Poultry incubators and equipment
19. Forage harvesting machinery, including choppers, balers and mowers
20. Self-propelled forage choppers
21. Shakers, sorting an(l packaging equipment for fruits
22. Processing machines of various types
23. Motorpumps and electropumps of various types
24. Air compressors and vacuum pumps of various types
25. Pumps of various types
26. Viscometer
27. Autoclaves ofvarious types
28. Percussion and hydraulic presses; shears and guillotines of various types
29. Briquetting presses; pipe and bar benders and shears for bars
30. Leather dressing and finishing machinery
31. Sandblasting and shotblasting machines
32. Sausage stuffmgmachinery
33. Industrial laundry machines of various types
34. Shrinkwrap equipment
35. Three-phase electromotors up to 30 hp
36. Dyeing equipment for cloth and yarn
37. Carpet producing machine
38. Cloth weaving machine, except for airjet and waterjettypes
39. Various kinds of electromotors gearbox single and variable-spead
40. Truck-mounted cranes of various types
41. Industrial and constructional escalators and elevators of various types
42. Mobile cranes, less than 30 tonnes
43. Flour and cereals processing machinery
44. Freon compressors
45. Stone cutting machines
46. Seed planters and row seeders of various types
47. Rakes and cultivators
48. Sprayers of various. types, (motorized knapsack, wheel-barrow, hand-borrow and tractor-mounted).
49. Furrowers
50. Potato planters and harvesters
51. Pistachio nut processing machines
52. Dikers
53. Trailorsof various kinds
54. Flame torches
55. Disks ofvarious types
56. Levelers
57. Post hole diggers
58. Threshers of various types
59. Rice polishing equipment
60. Universal lathes ofvarious types
61. Plate grinders
62. Ripsaw
63. Various kinds of universal milling machines, horizontal or vertical
64. Radial drilling machines
65. Column-type drilling machines
66. Bench grinders, flat grinders and grinding wheels
67. Open-end and ring wrenches
68. Pliers, needle-nose pliers, phasemetres, screwdrivers, locking plier wrenches, and adjustable wrenches of various kinds
69. All kinds of faucets and fixtures
70. Various kinds of non-electrical lift trucks
71. Plastic injection machines ofvarious kinds
72. Single-phase electromotors up to 4kw
73. Various kinds of tractors between 50 and 100hp
74. Ploughs, including one-way and two-wayploughs
75. Radioactive materials

Article 22*

A frontier marketplace is an enclosed area located in the zero point of the border, and adjoins a customshouse authorized to carry out clearance formalities. The location of a marketplace may also be specified according to a memorandum of understanding concluded between the Islamic Republic of Iran and the neighbouring countries. In these marketplaces, citizens of the both sides of the frontier may offer to sell their products, with due regard to the observance of the Export-Import Regulations and criteria set forth in this Article as follows:
1. To establish customs at the entrance and exist of the marketplace is a necessary requirement. The customs shall be responsible for enforcing the Export-Import Regulations in the marketplace.
2. Export of goods from border marketplaces may be effected through an exchange obligation signed by the exporter and confirmed by the authority in charge of the marketplace, and shall require no foreign exchange obligation.
3. The entry into and clearance from border marketplaces, of goods may be effected by producing a sale invoice issued by the stands of the neighbouring country's marketplace, and shall not require other documents such as proforma invoice and bill of lading. Statistical registration at each marketplace shall be carried out by the representative of the Ministry of Commerce.
4. In cases where the goods imported into marketplaces are not supplied by the opposite marketplace, and a sale invoice cannot be produced, the price of imported goods shall be determined by the Customs Administration.
5. Trading quotas as well as their changes, and the list of goods exchangeable at each marketplace shall be prepared and promulgated by the Ministry of Commerce, taking account of the extent of activities, capabilities and needs of the border provinces, understandings concluded with the neighbouring country, and the Export- Import Regulations.
6. The importation through border marketplaces of permissible goods using exchange deposit certificate under regulations relating to imports against exchange deposit certificate shall be permitted in addition to the ceiling set for marketplaces.
7. Regulations on "Imports prior to Exports" are repealed for application at the border marketplaces.
8. All natural persons residing in frontier zones as well as legal persons operating in the said zones shall be allowed to operate in the border marketplaces.
9. Trading at the marketplaces shall take permissible effect upon the establishment of the officers of the Ministry of Commerce, Ministry of Interior, Customs, and the law enforcement authorities, and the precise application of regulations relating to the kind and quantity of goods imported and exported, and the recovering of the government's rights.
10. All those authorized to carry out transactions at border marketplaces may in return for the exportation of goods to neighbouring country or countries, import and clear those items which importable through all ports of entry and Free Trade-Industrial Zones having paid their commercial benefit tax and the related customs duties. The issued documents which at certified at border customs are valid for the fulfilment of foreign exchange obligations, made at the time of exportation from border marketplaces. The Customs Administration of the Islamic Republic of Iran is required to provide the necessary facilities for the fulfilment of foreign exchange obligation made at the time of exportation from border marketplaces, in all border customshouses as well as Free Trade -Industrial zones in such a way that re-shipment of goods do not occur.
* As amended

Note 1. The list of border marketplaces is as follows:

Note 2. Proposals for the creation of new joint marketplaces shall require, apart from the existing conditions, the
provision of resources needed for customs facilities to be put in place at the site of the joint marketplace.
Note 3. All similar activities, such as security marketplaces or those under any other name and title shall be subject to the regulations and criteria set forth in this Article in terms of the volume and the method of merchandise exchange, and the kind of goods traded.

Note 3. The list of border marketplaces is as follows:

N       No.  Name of the                 Location                       Province                      The neighbouring                            Marketplace                                                                                                country

1    Tamarchin                  Piranshahr                    w. Azerbaijan                           Iraq   

2    Qasemrash                   Sardasht                       W. Azerbaijan                         Iraq

3    Sanam Bulaghi              Poldasht                       W. Azerbaijan                         Nakhjevan

4    Sarisu                           Sarisu border                w. Azerbaijan                           Turkey

5    Razi                              Razi border                  w. Azerbaijan                           Turkey

6    Sero                             Sero border                  W. Azerbaijan                          Turkey            

7    Oshnavieh                    Oshnavieh                    W. Azerbaijan                          Iraq

8    Julfa                             Julfa border                  E. Azerbaijan                            Nakhjevan

9    Nurduz                         Julfa                             E. Azerbaijan                            Armenia

10 Siranband                     Baneh                           Kurdistan                                 Iraq

11 Bashmag                      Marivan                        Kurdistan                                 Iraq

12 Saif                              Saggez                         Kurdistan                                 Iraq

13 Shushmi                        Paveh                           Kermanshah                             Iraq

14 Sheikh Saleh                 Javanroud                     Kermanshah                             Iraq

15 Parviz khan                   Qasr Shirin                   Kermanshah                             Iraq

16  Khosravi                     Khosravi border           Kermanshah                             Iraq

17 Bushehr Trade Center   Bushehr                       Bushehr                                   Qatar

18  Milak                           Zabol                           Sistan & Baluchistan                 Afghanistan

19 Mirjaveh                       Mirjaveh                       Sistan & Baluchistan                 Pakistan

20  Kuhak                          Saravan                        Sistan & Baluchistan                 Pakistan

21 Pishin                           Iranshahr                     Sistan & Baluchistan                 Pakistan

22  Dogharoun                   Dogharoun border        Khorasan                                 Afghanistan

23 Bajgiran                        Bajgiran border            Khorasan                                 Turkmenistan

24 Mil 73                          Birjand                         Khorasan                                 Afghanistan

25 Dokuhaneh                   Nehbandan                   Khorasan                                 Afghanistan

26 Yazdan                         Yazdan                         Khorasan                                 Afghanistan

27  Pole                            Inchebouroun               Golistan                                    Turkmenistan

28 Astara                          Astara                          Guilan                                       Azerbaijan Rep.

29 Bilehsavar                     Bilehsavar                     Ardebil                                     Azerbaijan Rep.

30  Parsabad                      Parsabad                      Ardebil                                     Azerbaijan Rep.

31  Guermi                         Guermi                         Ardebil                                     Azerbaijan Rep.

32 Bandar Jask                 Bandar Jask                 Hormouzgan                     Neighbouring cuntries

33  Hormouz                      Hormouz                      Island                               Neighbouring countries

34  Tiab Area                     Tiab                             Hormouzgan                      Neighbouring countries

35  Bandar Kong                Bandar                         Kong                                Neighbouring countries

36 Mehran                        Mehran                        l1am                                                     Iraq

37  Abadan                        Abadan                        Khouzestan                                          -

38  Khoramshahr               Khoramshahr                Khouzestan                                          -

39 Mil 75                          Birjand                         Khorasan                                 Afghanistan

40  Tileh                             Sarpol Zahab                Kermanshah                             Iraq

41  Kangan                        Kangan                        Bushehr                                    Neighbouring Countries

42  Genaveh                       Genaveh                       Bushehr                                    Neighbouing Countries

43  Pesabandar                  Pesabandar port           Sistan and Baluchistan               Pakistan