EC proposes simplifying origin rules

March 24, 2005, as reported by The European Commission has suggested that simplifying the EU rules of origin will boost trade.

The rules of origin, which establish what country an imported product originated from, are ‘too complex’ the EC wrote in a green paper.

This is specially the case with food, where a manufactured product may contain ingredients from many countries and be packaged and prepared in different states.

The paper said the Commission favored a “value added test”, where a manufactured product would be considered from the country of processing “if the value added…amounts at least to a certain threshold” set as a percentage of net production costs.