DUTIABLE COMMODITIES REGULATIONS

DUTIABLE COMMODITIES REGULATIONS

DUTIABLE COMMODITIES REGULATIONS

ARRANGEMENT OF REGULATIONS

Regulation Page

PART 1

CITATION

1. Citation ..............................A 5

PART 1A

LICENSING
PROVISIONS

1A. Activities for which licence or permit required ~ AS

PART II

FEES

2. Fees ..................................A6

PART III

CARRIAGE OF GOODS

3. Application ...........................A6
4. (Repealed) ............................A 6

5. Packing of goods and quantities in which goods may be imported, exported

or moved ............................................................................. A 6
6. Marking containers ................... A 7
7. Ship and aircraft stores ............. A 8

8. Quantities of dutiable goods allowed in possession of passengers and crew A 8

9. Foreign landing certificate and receipt for stores to be delivered to

Commissioner ......................A 9

PART IV

DUTY
Payment of duty

10. when duty payable ...................A 9

11. Receipts ......................................................................... A10

Exemptions from duty

12. Exemptions ..........................A10

13. Forfeiture for breach of certain conditions A 12





Regulation................................ Page
Refund of duty
14. Occasion when importer entitled to refund of duty A 12

14A. Refund of duty where duty-paid goods used in manufacture of dutiable

goods .............................A 13

15. Refund of duty on goods supplied for consular etc. use ......... A 13

15A......................................Refund of duty on goods drawn as samples A 13

PART V

DRAWBACK

16. Rate of drawback ....................A 14
16A......................................Amount of drawback A 14
17. Calculation of drawback .............A 14

18. Conditions for payment of drawback
.................................................... A 14

19. Qualifications for drawback .........A 14
20. Conditions precedent to claims for drawback A 15
21. Drawback on stores, etc., for ships and aircraft A 16

PART VI

LICENCES AND
PERMITS

22. Applications for licences and permits ......... A 16

23. (Rep-led) ...........................A 17
24. Issue of export permits by special importers A 17

25. Surrender of permits ......................... A 17

26. Identification of licensees .........A 17
27. Bonds ...............................A 18
27A......................................Power to grant or renew licences for short periods A 18
27B......................................Exemptions from licensing and permit requirements A18

PART VII

MANUFACTUR
E
Factories

28. Interpretation
.................................................... A 19

29. Marking of factories ................A 19
30. Factory construction ................A 19
31. Unnecessary articles prohibited in factory A 19
32. Manufacture to be wholly within factory A 19
33. Storage .............................A 20
34. Manufacturers' books ................A 20
35. Returns .............................A 20
36. Factory to be deemed a licensed warehouse A 20





Regulation................................ Page

Breweries

37. Interpretation
..................................................... A 21

38. Construction ........................A 21
39. Business ............................A 21

40. Machinery, etc . ............................... A 22

41. Weights and measures
................................................................... A 22

Brewing

42-43...................................(Repealed) A 22
44. Brewing book .......................A 23
45. (Repealed) .........................A23

46. Removal of beer from brewery ............. ................... ---
A23
47. (Repealed) ...........................A 23

Accounting

48. Stock books ............................
...............................A23

49. Returns ............................A 24

Distilleries

50. Interpretation ............................... A 24

51. Marking of distilleries ............A 24
52. Construction of distilleries .......A 24
53. Locks and seats ....................A 25

54. Spirit store to be deemed a licensed warehouse ...................
...........................A25

55......................................Containers A 26
55A.....................................Declaration of normal charge A 26

56. Unauthorized person prohibited in spirit store .......................................
A 26
57. Restrictions on liquor and materials entering and leaving distilleries _. A
26

58. Fermentation .......................A 27

59. Liquor to be reduced to uniform strength and spirit receivers emptied when

account is taken .................A 28

60. Duty-paid liquor and denatured spirit to be removed from distillery A 28

61. Records to be kept by distiller ...........................................
A 28

62. Returns by distiller ...............A 28

PART VIII







SALE
Certificates of origin and standards of quality for liquors

63. Certificates of origin for imported liquors ...... ............. ......
.........................A 29
64. Restrictions on movement of certain liquors ....... A 29





Regulation................................ Page
65. Method of determining quality of liquors A 30
66. Standards of quality for certain liquors A 30
67. Marking of certain liquors ..........A 32
68-77.....................................(Repealed) A32

PART IX

STORAGE of DUTIABLE GOODS

78. Interpretation ......................A33
79. Application .........................A33
80. Marking of warehouses ...............A33
81. Construction of warehouses ..........A33
82. Lamps ...............................A 34
83. Accommodation for members of the Customs and Excise Service A 34
84. Facilities for examination, etc., of goods A 34
85. Hours of opening ....................A 34
86. Entry, etc., only with a member of the Customs and Excise Service A 34
87. No smoking, etc . ...................A35
88. Only dutiable goods to be stored ....A35
89. Goods to be admitted under permit ...A35

90. Goods from ship or aircraft to be admitted on request to general bonded

warehouse ...........................A35
91. Non-removal of dutiable goods .......A35
92. Classification of goods .............A36
93. Empty containers ....................A36
94. Opening containers ..................A 36
95. Sampling and other treatment of goods A 37
96. Goods to be removed only under permit A37
97. Minimum quantities for removal ......A37
98. Record of goods .....................A38
99. Deficiencies ........................A38
100......................................Returns to Commissioner A38
101......................................Charges A39
102......................................Attendance of member of Customs and Excise Service may be directed A39
103......................................Payment of fees for attendances A39
103A.....................................Fees for storage A39

PART X

PENALTIES

104......................................Penalties A 40

Schedule. Licences........................and fees
.............................................................................................. A 40





DUTIABLE COMMODITIES REGULATIONS
(Cap. 109, section 6)
[160ctoberl9631 L.N.120of1963

L.N. 110 of 1963- L.N. 6 of 1970,40 of 1974, L.N. 157 of 1974, L.N. 179 of 1976, L.N. 141 of
1977, L.N. 134 of 1978, L.N. 202 of 1980, L.N. 203 of 1980, L.N. 202 of 1981, L.N. 188 of
1982, L.N. 189 of 1982, L.N. 294 of 1982, L.N. 56 of 1983, L.N. 319 of 1983, L.N. 35 of
1984, L.N. 388 of 1984, 61 of 1984, 18 of 1985, 20 of 1985, 39 of 19 5, 44 of

1985 1985, L.N. 7 of 1987, R. Ed.

1987,16 of 1989,36 of 1989, L.N. 165 of 1989

PART 1

CITATION

1. citation

These regulations may be cited as the Dutiable Commodities Regulations.

PART 1A

LICENSING
PROVISIONS

1A. Activities for which licence or permit required

(1) The import or export of liquors, tobacco, concentrates, non-alcoholic
beverages or cosmetics and the export of hydrocarbon oil or methyl alcohol are
prohibited except on the authority of an import and export licence.

(2) The import of hydrocarbon oil or methyl alcohol is prohibited except on the
authority of an import and export licence or a special import licence.

(3) The brewing of beer is prohibited except on the authority of a brewery
licence.

(4) The manufacture of liquor otherwise than by brewing or distillation is
prohibited except on the authority of a manufacturer's licence, a brewery licence or a
distillery licence.

(5) The manufacture of tobacco, hydrocarbon oil, concentrates, nonalcoholic
beverages and cosmetics is prohibited except on the authority of a manufacturer's
licence.

(6) The sale of liquor

(a) at any premises for consumption on those premises; or

(b)at any place of public entertainment or public occasion for
consumption at that place,





is prohibited except on the authority of a liquor licence, a temporary liquor licence or
a canteen licence.

(7) The supply of liquor at any premises used by a club for the purposes of the
club is prohibited except on the authority of a club liquor licence.

(L.N. 165 of 1989)

PART 11

FEES

2. Fees

(1) The fees payable for the issue of a certificate and for the issue, transfer,
substitution, amendment and renewal of licences and permits are specified in the
Schedule.

(2) Where no fee is prescribed for the issue of a licence or permit, no fee shall
be payable for any transfer, substitution, amendment or renewal of such licence or
permit.

(3) The fee payable for a licence granted under regulation 27A for a period less
than 1 year shall be a proportion of the annual fee payable for such licence and for
this purpose a part of a month shall count as a whole month.

(4) (Repealed L.N. 165 of 1989)

(L.N. 6 of 1970; L.N. 7 of 1987)

PART III

CARRIAGE OF
GOODS

3. Application

This Part shall apply to goods for the import, export or carriage of which a
permit under the Ordinance is or may be required.

4. (Repealed L.N. 7 of 1987)

5.Packing of goods and quantities in which goods
may he imported, exported or moved

Except with the special permission of the Commissioner

(a)goods shall be imported, exported or moved only in securely closed
containers, in each of which there shall be not less than





(i) liquor, except as herein provided-
either .......................81
or Chinese type spirits in jars 181
or
(ii) tobacco-
cigarettes ...................2000
or cigars ....................200
or other manufactured tobacco 1.5 kg in
..............................weight
or unmanufactured tobacco ....15 kg in
..............................weight
or
(iii) hydrocarbon oil ........401.

For the purpose of this paragraph, these quantities may be
either in 1 container or in 2 or more containers completely
enclosed in a larger container: but containers which are merely
bound or fastened together shall be deemed to be separate
containers, and shall be entered as such in all permits and
shipping documents;

(b)identical goods shall be packed in equal quantities in identical
containers;

(e) different goods shall not be packed in the same container.

(L.N. 6 of 1970; L.N. 189 of 1982; L.N. 294 of 1982; L.N.
7 of 1987)

6. Marking containers

(1) Except with the special permission of the Commissioner, containers shall
bear legibly and permanently marked thereon

(a)a description of the contents (in the case of Chinese type spirit the
character `W (tsau)) at least 50 mm high; and

(b)if for export, adequate shipping marks, serial numbers and the words
'FOR EXPORT' (or, as the case may be, 'EXPORTED ON
DRAWBACK' or 'SHIVS STORES FOR or AIRLINE COMPANY
STORES FOR (specifying the name of the ship or airline company
concerned)) in letters not less than 25 mm high.

(2) There shall be a sufficient number of such markings on each container to
ensure that when containers are stacked one above another at least one set of
markings is plainly visible.

(3) This regulation shall not apply to transit cargo.

(L.N. 6 of 1970; L.N. 189 of 1982; L.N. 294 of 1982)





7. Ship and aircraft stores

The master or any person for the time being in charge of any ship or aircraft in
which there are stores to which the Ordinance applies shall

(a)immediately on receipt of such stores cause them to be kept under his
control; (L.N. 157 of 1974; L.N. 294 of 1982; L.N. 7 of 1987)

(b)maintain an accurate record of all such stores and upon receipt or
issue of any such stores forthwith make all necessary entries therein,
and where there is more than one place in which such stores are kept,
one record only shall be maintained which shall show the stocks in
each and all such places;

(c)supply or sell such stores only to members of the crew or to
passengers;

(d)not issue in any one day any greater quantity of such stores than is
sufficient for the use of members of the crew and passengers on that
day.

8. Quantities of dutiable goods allowed in

possession of passengers and crew

No passenger in or crew member of any ship or aircraft, while such ship or
aircraft is in Hong Kong, without the permission of the Commissioner, shall have in
his possession, custody or control on board such ship or aircraft any dutiable
liquor, tobacco or non-alcoholic beverages in excess of the quantities stated
hereunder--

(a) officers and passengers-

(i) liquors-
spirits or table wine 1 1, or beer or stout 4 1 and in addition
port or sherry or liqueur one-half litre; (L.N. 188 of 1982)
(ii) tobacco 250 g, or 50 cigars, or 200 cigarettes; (L.N. 189 of
1982)
(iii) non-alcoholic beverages 4 1:
(b) other crew members-
(i) tobacco 250 g, or 200 cigarettes;
(ii) non-alcoholic beverages 4 1:

Provided that quantities in excess of the above amounts which are the property
of any officer, crew member or passenger and are stored in the place provided for the
safe custody of stores under the provision of regulation 7 and are shown on the
record required by regulation 7 and are included in the Import and Export Statement
and in any application for ship's or aircraft's

+ U 11 11 ' A A shall 11 + 1, E 1,1 for forfeiture





9. Foreign landing certificate and receipt for
stores to he delivered to Commissioner

(1) Within a reasonable time after the export of goods, excluding goods
supplied as stores to aircraft or vessels replenishing such stores in Hong Kong,
of which the duty exceeds $500 the exporter shall, if the goods are dutiable
or exported on drawback, deliver to the Commissioner a certificate of the
authority at the place of destination that the goods have been duly landed
there: (20 of 1985 s. 13)
Provided that the Commissioner may require a certificate for any goods
exported whether or not the duty value exceeds $500. (L.N. 7 of 1987)
(2) When any goods, including stores, which are dutiable or exempted
from duty or exported on drawback are delivered under permit for export on
board any ship, aircraft, train or vehicle or to the Post Office, the exporter shall
forthwith furnish to the Commissioner endorsed on the permit-
(a)a certificate signed by a member of the Customs and Excise
Service that he has examined the goods; and
(b)a receipt for the goods signed by the master or the officer in
charge of the ship or the freight supervisor of the aircraft, or if
the goods are sent by post, by an officer of the Post Office; or in
other cases a certificate signed by a member of the Customs and
Excise Service that the goods have been so delivered.
(3) Every person requiring a permit to export any goods to which this
regulation applies may be required by the Commissioner to furnish a security,
with such cash or bond as he shall direct, for the due observance of this
regulation. (L.N. 7 of 1987)
(4) The Commissioner may relax all or any of the requirements of this
regulation as he may think fit in relation to any goods to which this Ordinance
applies.
(L.N. 294 of 1982)

PART IV

DUTY

Payment of duty

10. When duty payable

Duty shall be paid upon dutiable goods-
(a)if imported and not removed to a general bonded or licensed
warehouse, before the goods are removed from the ship, aircraft
or vehicle on which they were imported or, as the case may be,
from the railway premises;





(b)if grown, produced or manufactured in Hong Kong and not
removed to a general bonded or licensed warehouse, before the
goods are removed from the premises on which they were grown,
produced or manufactured;
(c) (Repealed 16 of 1989 s. 6)
(d)if in a general bonded or licensed warehouse and not removed
for export or to another general bonded or licensed warehouse,
before the goods are removed from the warehouse:
Provided that the Commissioner may-
(i)allow a reasonable time not exceeding 6 weeks, or such other
period as the Commissioner may allow after the duty
becomes payable, for payment of the duty; and
(ii) as a condition precedent to the granting of such time require
the person to whom the time is granted to furnish a security,
with such cash or bond as the Commissioner so requires, for
the payment of such duty.
(L.N. 294 of 1982; 20 of 1985 s. 13; L.N. 7 of 1987;
16 of 1989 s. 6)

11. Receipts

The officer to whom any duty is paid shall cause a receipt to be endorsed
on the appropriate Removal Permit for duty-paid goods.

Exemptions from duty

12. Exemptions

Subject to the performance of any obligation imposed by the Ordinance or
any regulations made thereunder, the following goods shall be exempt from
duty-
(a)stores, fuel and lubricants for ships of more than 60 tons net
register or for ocean-going tugs or for aircraft including aircraft
engaged in flight-testing of engines, in such quantities as the
Commissioner may determine, for use either outside Hong Kong
or partly inside and partly outside Hong Kong;
(b)hydrocarbon oil used for the bench testing of aircraft engines
which are to be installed in aircraft operating for the most part
outside Hong Kong;
(c) goods exported from Hong Kong;
(d) goods destroyed with the consent of the Commissioner;
(e)goods imported for their own use and in their baggage by
passengers or crew members of any ship, aircraft, train or vehicle
in such quantities as the Commissioner may determine;





(f) wine for the sacrament, if certified as such by the head of a
denomination of the Church;

(g)with the written approval of the Commissioner and subject to such
conditions as the Commissioner may impose, ethyl alcohol and methyl
alcohol for the use of any educational, scientific or charitable
institution approved by the Financial Secretary in that behalf, (L.N. 6
of 1970; L.N. 157 of 1974; L.N. 179 of 1976; L.N. 165 of 1989)

(h)goods which the Commissioner shall, in his discretion, deem to be
samples or advertising matter and shown to his satisfaction to be of
no commercial value and not intended for re-sale;

(i)goods which are shown to the satisfaction of the Commissioner to be
duty-paid goods which have been exported and subsequently re-
imported;

(j)goods which the Commissioner shall, in his discretion, consider to be
bona fide personal gifts sent to residents in Hong Kong and to be of
no commercial value and not intended for re-sale;

(k)goods in respect of which the duty is considered by the
Commissioner to be uneconomical to collect;

(1)goods which are shown to the satisfaction of the Commissioner to
have been donated to bona fide charitable organizations for
distribution within Hong Kong without payment for the goods;

(m)goods which are shown to the satisfaction of the Commissioner to be
for the use or consumption of any person who is entitled to be
accorded immunity or exemption from duty by operation of the
International Organizations and Diplomatic Privileges Ordinance (Cap.
190), the Chinese Visa Office (Privileges and Immunities) Ordinance
(Cap. 224), Privileges and Immunities (Joint Liaison Group and Land
Commission) Ordinance (Cap. 36), the Privileges and Immunities
(International Committee of the Red Cross) Ordinance (Cap. 402) or
the Consular Relations Ordinance (Cap. 259); (L.N. 157 of 1974; 61 of
1984 s. 5; 18 of 1985 s. 5; 44 of 1985 s. 7; 36 of 1989 s. 5)

(n)light diesel oil to which a marker and a colouring substance have been
added in the manner and proportion specified by the Dutiable
Commodities (Marking and Colouring of Hydrocarbon Oil)
Regulations (Cap. 109 sub. leg.);

(o)with the approval of the Commissioner in writing and subject to such
conditions as he may impose, diesel oil used in the blending of fuel oil
in licensed depots;

(p)fuel in the fuel tanks of vehicles arriving from the People's Republic of
China;





(q)goods drawn as samples for analysis by the Government
Chemist.
(L.N. 294 of 1982; 20 of 1985 s. 13; L.N. 7 of 1987)

13. Forfeiture for breach of certain conditions

(1) Where under the provisions of the Ordinance or under any practice
whereby-
(a)goods chargeable with a duty are allowed to be delivered without
payment of that duty on condition that they will not be sold or
will be re-exported or upon any other like condition; or
(b)the amount of duty payable on any goods depends on their being
imported or released on any such condition,
any goods are allowed to be delivered without payment of duty or on payment
of duty calculated in accordance with that provision or practice, and the
condition is not observed, the goods shall, unless the non-observance was
sanctioned by the Commissioner, be liable to forfeiture. (L.N. 294 of 1982)
(2) The provisions of this regulation shall apply whether or not any
undertaking or security has been given for the observance of the condition or
for the payment of the duty payable apart therefrom, and the forfeiture of any
goods under this regulation shall not affect any liability of any person who has
given any such undertaking or security.
[cf. 1952 c. 44 s. 257 U.K.]

Refund of duty

14. Occasion when importer entitled to refund of duty

(1) A refund of duty may be granted by the Commissioner and subject to
such conditions as the Commissioner may prescribe in respect of duty-paid
goods exported from Hong Kong with the consent of the Commissioner:
Provided that the duty refunded in no case exceeds the duty which has
been paid on the goods.
(2) An importer shall be entitled to a refund of any duty paid on
the importation of goods where it is shown to the satisfaction of the
Commissioner-
(a)that the goods were imported in pursuance of a contract of sale,
and that the description, quality, state or condition of the goods
was not in accordance with the contract or that the goods were
damaged in transit; and





(b)that the importer, with the consent of the Commissioner, has
destroyed the goods unused or has returned them to persons outside
Hong Kong who supplied them.

(3) Nothing in this regulation shall be taken to confer exemption from duty or to
authorize a refund of duty upon goods imported on approval or on sale or return or
other similar terms. (L.N. 294 of 1982; L.N. 35 of 1984; 20 of 1985 s. 13; L.N. 7 of 1987)

used in manufacture of dutiable goods

A refund of duty may be granted by the Commissioner and subject to such
conditions as the Commissioner may prescribe in respect of duty-paid goods used in
the manufacture of any dutiable goods:

Provided that the duty refunded shall in no case exceed the duty paid on the
goods.

(L.N. 202 of 1980; L.N. 294 of 1982; L.N. 7 of 1987)

15. Refund of duty on goods supplied for consular etc. use

Any person who in the course of business has supplied duty-paid goods for
the use or consumption of a person who is entitled to be accorded immunity or
exemption from duty by operation of the International Organizations and Diplomatic
Privileges Ordinance (Cap. 190), the Chinese Visa Office (Privileges and Immunities)
Ordinance (Cap, 259), Privileges and Immunities (Joint Liaison Group and Land
Commission) Ordinance (Cap. 224), the Privileges and Immunities (International
Committee of the Red Cross) Ordinance (Cap. 402) or the Consular Relations
Ordinance (Cap. 36) shall, if he has complied with such terms and conditions as the
Commissioner may specify, either generally or in any particular case, be entitled to a
refund of the duty paid on those goods.

(L.N. 294 of 1982; 40 of 1974 s. 12; 61 of 1984 s. 5; 18 of 1985 s. 5; 44 of 1985 s. 7,-
36 of 1989 s. 5)

15A. Refund of duty on goods drawn as samples

The Commissioner may refund duty paid on any goods drawn as samples for
analysis by the Government Chemist:

Provided that the duty refunded shall in no case exceed the duty paid on the
goods.

(L.N. 7of 198 7)





PART V

DRAWBACK

16. Rate of drawback

The rate of drawback on duty-paid goods shall be equal to the rate of duty paid
on such goods.

16A. Amount of drawback

The amount of drawback payable on any goods shall in no case exceed the
duty paid thereon.

(L.N. 202 of 1980)

17. Calculation of drawback

Drawback shall be calculated to the nearest 100 ml or to the nearest 10 g, as the
case may be.

(L.N. 189 of 1982)

18. Conditions for payment of drawback

Drawback shall not be payable unless the goods in the manufacture or
preparation of which the duty-paid goods were used are

(a)alcoholic liquors, perfumed spirits, medicated spirits or toilet
preparations containing not less than 6% of alcohol by volume, at
20'C, in quantities of not less than 8 1 of each brand, mixture or
preparation; (L.N. 188 of 1982; L.N. 7 of 1987)

(b) beer, in quantities of not less than 25 1, (L.N. 202 of 1980)

(e) tobacco, in quantities of not less than-
(i) cigarettes ..................2000
(ii) cigars .....................200
(iii) other manufactured tobacco 1.5 kg;

(d)hydrocarbon oil in quantities of not less than 40 1 of each kind,
preparation or admixture. (L.N. 7 of 1987)

(L.N. 189 of 1982)

19. Qualifications for drawback

To qualify for drawback in respect of duty-paid goods a person shall

(a)be approved in that behalf as a fit person by the Commissioner who
shall have a discretion to give or withdraw such approval; (L.N. 7of
198 7)

(b)be the manufacturer of the goods in the manufacture or preparation
of which the duty-paid goods have been used;





(e) be the person who paid the duty on the goods;

(d)have duly completed and, within 7 working days or such longer period
as the Commissioner may in any case allow after the posting of the
goods or, as the case may be, the departure from Hong Kong of the
ship, vehicle, train or aircraft on which the goods were placed for
export or as stores, have delivered to the Commissioner such
particulars, declarations, as the Commissioner may require, in such
form as the Commissioner may specify. (20 of 1985 s. 13)

(L.N. 294 of 1982)

20. Conditions precedent to claims for drawback

Before drawback is claimed in respect of any goods the following conditions
shall be complied with to the satisfaction of the Commissioner

(1) the goods shall-

(a)in so far as they are manufactured in Hong Kong, be wholly
manufactured in the factory of the person claiming drawback;

(20 of 1985 s. 13)

(b)after manufacture, on 24 hours' written notice delivered to the
Commissioner be examined by, and weighed or measured and, if the
Commissioner so directs, packed in the presence of, a member of the
Customs and Excise Service;

(c)after the examination mentioned in paragraph (b), be certified by the
Government Chemist as to the quantity of dutiable goods contained in
the manufactured goods unless the Commissioner gives special
permission to the contrary;

(2) the containers shall-

(a)be secured with tape, wire or otherwise, and sealed in the presence of
a member of the Customs and Excise Service;

(b) (i) if for carriage as freight or stores, bear legibly and permanently
inscribed thereon adequate shipping marks, serial numbers, and
the words 'EXPORTED ON DRAWBACK' in letters not less
than 25 mm high, unless the Commissioner otherwise permits
under regulation 6(1); (L.N. 6 of 1970; L.N 189 of 1982)

(ii) if for carriage by post, be adequately addressed and labelled
'EXPORTED ON DRAWBACK';

(c)if the Commissioner so directs, be loaded in the presence of a member
of the Customs and Excise Service on the ship, aircraft or vehicle in
which they are exported.

(3) (Repealed L.N. 7of 1987)
(L.N. 294 of 1982)





21. Drawback on stores, etc., for ships and aircraft

(1) Drawback shall be paid on stores, fuel and lubricants for ships and ocean-
going tugs of more than 60 tons net register and for aircraft only in such quantities
as the Commissioner may determine, for use either outside Hong Kong or partly
inside and partly outside Hong Kong.

(2) Stores delivered to the aircraft dutiable goods bond at the Hong Kong
Airport shall, for the purposes of drawback, be deemed to have been exported.

(L.N. 294 of 1982; 20 of 1985 s. 13; L.N. 7 of 1987)

PART VI

LICENCES AND PERMITS

22. Applications for licences and permits

(1) Every person applying for a licence in respect of any premises shall furnish
to the Commissioner, or other officer authorized to grant the same

(a)the particulars specified in the application form, and such other
particulars as the officer may require;

(b) (Repealed L.N. 7of 1987)

(c)such particulars as the officer may require of any person other than
the applicant who may have charge of the premises;

(d)if the construction of the premises is subject to the officer's approval,
adequate plans signed by the applicant, showing clearly the whole of
the premises to be used in connection with his proposed business,
detailed drawings of all machinery installed or to be installed on the
premises and a description of the proposed use of all the machinery
and each portion of the premises; and

(e)if the premises are intended for manufacturing purposes, a complete
list of all apparatus to be used on the premises for the manufacture of
dutiable goods.

(2) Every person applying for a permit shall produce to the Commissioner, or
other officer authorized to grant the same, any invoices, bills of lading, shipping
orders and other documents together with such copies thereof as the Commissioner
may require relating to the goods in respect of which the application is made, and
any such invoices, bills of lading, shipping orders and other such documents and
copies thereof may be retained by the Commissioner and disposed of as he may
think fit.

(3) Applications for licences and permits shall be submitted in such number of
copies as the Commissioner may determine. (L.N. 7 of 1987)

(4) Every application for a permit to export goods as ship's or aircraft's stores
shall be accompanied by such declaration by the master of the ship, or





by the person in charge of the aircraft as the Commissioner may require.

(L.N. 6 of 1970)

(5) Every permit to export goods as ship's or aircraft's stores shall be endorsed
by the master or other person in charge of the ship or aircraft that he has received
the stores applied for.

(6) Every written application for a licence or permit shall be signed by the
person requiring the same or by some person duly authorized by him. If the
application is made by a corporation or partnership it shall be endorsed with details
of the office held in the corporation or partnership by the person signing the
application on behalf of the corporation or partnership.

(7) (Repealed L.N. 7of 1987)

(L.N. 294 of 1982)

23. (Repealed L.N. 165 of 1989)

24. Issue of export permits by special importers

The Commissioner may authorize employees of a licensee holding a special
importer's licence for hydrocarbon oil to issue export permits for hydrocarbon oil
exported as ship's stores and permits authorizing the removal of hydrocarbon oil
from one licensed warehouse to another:

Provided that the Commissioner may, without assigning any reason, cancel any
authority given under this regulation.

(L.N. 294 of 1982; L.N. 7 of 1987)

25. Surrender of permits

Whenever the holder of a permit to do anything which may lawfully be done by
virtue of the terms of a permit issued under the provisions of the Ordinance and
regulations made thereunder, finds that he cannot avail himself thereof, he shall

(a)forthwith surrender the permit to the Commissioner or other officer
who granted it;

(b)until such surrender, keep the goods, wherever they may be, separate
and intact in their containers; and

(c)thereafter abide by such directions as the Commissioner may give for
the disposal of the goods.

(L.N. 294 of 1982)

26. Identification of licensees

Every person applying for a prescribed licence shall furnish to the
Commissioner 2 copies of the photograph of





(a) in the case of an application by an individual person, himself, and
(b) any other person for the time being in charge of the licensed
premises,

of a reasonable likeness to the satisfaction of the Commissioner and of a size not
greater than 50 mm by 50 ram and not less than 40 mm by 40 mm, and shall
personally sign an application for such licence.

(L.N. 294 of 1982; L.N. 189 of 1982; L.N. 7 of 1987)

27. Bonds

(1) An applicant for the issue of any licence or permit, in accordance with the
provisions of the Ordinance or any regulations made thereunder shall, as a condition
precedent to the issue thereof, furnish such security either in cash or by means of a
bond as the Commissioner may require to ensure- (L.N. 294 of 1982)

(a)the due observance of and compliance with the provisions of the
Ordinance and regulations made thereunder and the conditions of his
licence or permit;

(b) the payment of duty;

(e)the safe and secure keeping of all dutiable goods on his premises until
their lawful removal therefrom.

(2) Upon any failure to observe any obligation specified in subregulation (1) the
security furnished shall be forfeited to the Crown, without prejudice to any other
penalty which may be imposed. (L.N. 6 of 1970)

(3) Notwithstanding subregulation (2), the Governor in Council may entertain
and give effect to any moral claim in respect of any security so forfeited. (L.N. 7 of
1987)

27A. Power to grant or renew licences for short periods

Where it is proposed to grant or renew a licence to a person who is the holder
of some other licence, the first-mentioned licence may be granted or renewed for any
period less than 1 year in order that both licences shall expire on the same day.

(L.N. 6 of 1970)

27B. Exemptions from licensing and permit requirements

No licence or permit is required

(a)for goods imported by passengers or crew members in accordance
with regulation 12(e);

(b)for goods exported with the consent of the Commissioner by
passengers and crew members for their personal use outside Hong
Kong;





(c)for the export of duty-paid goods other than those exported on
drawback or refund of duty.

(L.N. 7of 1987)

PART VII

MANUFACTURE

Factories

28. Interpretation

In the following regulations relating to factories-
'factory' means any place or premises licensed for the manufacture of goods;

'goods' means dutiable or duty-paid goods of the class or description for the
manufacture of which a factory is licensed;

'manufacturer' includes the licensee and any person for the time being in charge of
a factory.

29. Marking of factories

There shall be legibly and permanently marked on the outside of every factory
in English and Chinese, in letters and characters at least 75 mm high, the words
'LICENSED FACTORY FOR (specifying the number of the factory and the nature of
the goods for which it is licensed).

(L.N. 189 of 1982)

30. Factory construction

Every factory shall be enclosed, constructed, maintained and cleansed to the
satisfaction of the Commissioner.

(L.N. 294 of 1982)

31. Unnecessary articles prohibited in factory

Except with the express permission of the Commissioner nothing but goods and
materials for manufacture shall be brought into a factory.

(L.N. 294 of 1982)

32. Manufacture to he wholly within factory

Goods shall be manufactured wholly within a factory and shall not be removed
therefrom until their manufacture is complete, and dutiable goods





shall not be removed therefrom except in accordance with a prescribed permit
or with the special permission of the Commissioner.
(L.N. 294 of 1982)

33. Storage

All goods in a factory shall be stored to the satisfaction of the
Commissioner and manufactured goods shall be stored apart from
unmanufactured goods and dutiable goods shall he stored apart from duty-paid
goods.
(L.N. 294 of 1982)

34. Manufacturers' books

In every factory the manufacturer shall, to the satisfaction of the
Commissioner, keep, and at least once in any day on which manufacturing is
carried on in that factory make due entry of the particulars prescribed in,
a stock book and a factory book which shall be in such form as the
Commissioner may specify.
(L.N. 294 of 1982; L.N. 7 of 1987)

35. Returns

(1) Every manufacturer shall at weekly or such other regular intervals
and on such days as the Commissioner may by notice in writing to that
manufacturer appoint either generally or in any particular case, deliver to the
Commissioner a return in such form as the Commissioner may specify of all
goods taken into or out of or manufactured in a factory.
(2) A return under subregulation (1) shall be delivered to the
Commissioner before noon on the day on which it is due, or if that day is a
general holiday, before noon on the next working day.
(L.N. 7of 1987)

36. Factory to he deemed a licensed warehouse

Without prejudice to the regulations in this Part, every factory where
dutiable goods are manufactured shall be deemed to be a licensed warehouse
for the purpose of any regulations relating to the storage of dutiable goods
manufactured or to be manufactured within Hong Kong.
(20 of 1985 s. 13)





Breweries

37. Interpretation

In the following regulations relating to breweries

'licensed premises' or 'premises' means any premises whereon any person is
licensed to keep a brewery and, where the context admits, includes any

premises in connection with the licensed premises or with the business

conducted thereon;

'licensee' includes the person for the time being having the control or management
of the business conducted upon the licensed premises;

(L.N. 202 of 1980)

'vessel' means any vessel used or intended to be used in connection with

brewing or making beer. (L.N. 202 of 1980; 16 of 1989 s. 7)

38. Construction

(1) The licensed premises shall be enclosed by walls or fences to the

satisfaction of the Commissioner.

(2) The door of each portion of the premises shall carry on the outside

thereof a permanent description in English and Chinese of the purpose for which
such portion is used which use shall be in accordance with the plans submitted to
the Commissioner together with the application upon which the licence appertaining
to the said premises was issued.

(3) No structural alteration of the premises, or change in the use to which

any portion of the premises is put, shall be made without the consent in writing of
the Commissioner.

(4) Every part of the premises shall be illuminated to the satisfaction of

the Commissioner.

(5) The premises shall at all times be kept in good and substantial repair

and in sanitary condition to the satisfaction of the Commissioner.

(6) (a)The licensee shall provide and maintain in the premises, to the
satisfaction of the Commissioner, office accommodation, with all
necessary furniture, writing materials, heating and cooling equipment,
cleaning and lighting, and lavatory accommodation, for the use of
members of the Customs and Excise Service on duty at the premises.
(L.N. 6 of 1970)

(b)No charge shall be levied for the facilities required by this paragraph.

(L.N. 294 of 1982)

39. Business

Except with the consent in writing of the Commissioner, no business other

than the licensee's business of brewing or making beer shall be carried on within





the premises and no intoxicating liquors other than beer brewed or made on the
premises shall be brought upon or stored in the premises.
(L.N. 294 of 1982)

40. Machinery, etc.

(1) All machinery, apparatus, utensils, vessels or receptacles used in the
brewing or making, maturing or storing of beer shall be of a type, design or
capacity, as the case may be, approved by the Commissioner and shall, unless
he shall otherwise authorize, be so placed or fixed as to admit of the contents
being readily and accurately ascertained by gauge or measure and shall not be
altered in structure, shape, position or capacity, as the case may be, without the
consent in writing of the Commissioner.
(2) The name of every utensil, vessel or receptacle according to the
purpose for which it is intended shall be legibly painted, and kept so painted,
upon some conspicuous part of every utensil, vessel or receptacle used for the
brewing or making or maturing of beer and the normal full capacity thereof
shall be painted thereon in like manner. If more than one utensil, vessel or
receptacle is used for the same purpose, each shall be distinguished by a serial
number.
(3) All vessels or receptacles, other than bottles and cans, used for the
storage of beer shall have their normal full capacity clearly marked upon them.
(4) All machinery, apparatus, utensils, vessels or receptacles of every kind
shall be kept in a clean and sanitary condition to the satisfaction of the
Commissioner.
(L.N. 294 of 1982)

41. Weights and measures

The licensee shall provide and maintain upon the premises, and permit any
and every member of the Customs and Excise Service to use, sufficient and just
beams, scales or weighing machines and standard weights, gauges and measures
(including glass measures graduated in millilitres for the determination of the
contents of bottles, and also a cask or vessel capable of containing the contents
of the largest cask or container intended to be sent out from the brewery)
and other necessary and reasonable appliances to the satisfaction of the
Commissioner.
(L.N. 189 of 1982; L.N. 294 of 1982)

Brewing

42-43.(Repealed 16 of 1989 s. 8)





44. Brewing book

The licensee shall keep on the licensed premises, open at all times for
inspection, a brewing book, in such form as the Commissioner may specify, in which
he shall

(a)keep or cause to be kept a proper account of the licensee's business of
brewing or making beer; and

(b)enter or cause to be entered such particulars in relation to that
business as the Commissioner may specify.

(L.N. 294 of 1982; 16 of 1989 s. 9)

45. (Repealed 16 of 1989 s. 10)

46. Removal of beer from brewery

(1) Beer shall not be removed from the licensed premises unless it is
accompanied by a voucher or invoice in a form approved by the Commissioner. (L.N.
157 of 1974; L.N. 7 of 1987,- L.N. 165 of 1989)

(2) Beer shall not be removed from the licensed premises until its manufacture is
fully completed. (L.N. 202 of 1980)

47. (Repealed L.N. 202 of 1980)

Accounting

48. Stock books

Every licensee shall keep on the licensed premises stock books in English, in a
form approved by the Commissioner, and as soon as is reasonably possible and in
any event not later than the end of the day in which the need for an entry under
paragraphs (a), (aa), (b) and (c) arose, shall enter or cause to be entered therein
under the appropriate date

(a)the quantity of grain, molasses, sugar or other fermentable material
received on the premises, and the weight of any such material issued
for each brewing for the making of mash and wort;

(aa) the quantity of beer manufactured; (16 of 1989s.11)

(b) the manner in which all beer manufactured is disposed of, and

(c) the quantity of beer removed from the premises.

(L.N. 294 of 1982; 16 of 1989 s. 11)





49. Returns

The licensee shall furnish to the Commissioner on each successive Monday (or
if Monday is a general holiday, on the next working day) a return, in such form, and
containing such particulars in relation to the licensee's business of brewing or
making beer, as the Commissioner may specify.

(L.N. 294 of 1982; 16 of 1989 s. 12)

Distilleries

50. Interpretation

In the following regulations relating to distilleries-

'distiller' includes the licensee and any person for the time being in charge of a
distillery.

51. Marking of distilleries

There shall be legibly and permanently marked on the outside of every
distillery, in English and Chinese in letters and characters at least 75 mm high, the
words 'LICENSED DISTILLERY NO (specifying the number of the distillery).

(L.N. 189 of 1982)

52. Construction of distilleries

Every distillery shall be enclosed by walls or fences and every part thereof and
every fixture therein or thereon constructed and maintained in good and substantial
repair and in sanitary condition, to the satisfaction of the Commissioner, and in
particular

(a)access to the distillery may be obtained only from a street or road to
which the public has access;

(b)the distillery shall be illuminated and ventilated to the satisfaction of
the Commissioner;

(c)necessary precautions to prevent the outbreak of fire shall be taken
in the distillery and such fire extinguishers and other fire fighting
appliances as the Commissioner may require shall be provided;

(d)in the distillery there shall be one or more stores (hereinafter called
spirit stores) for the collection and storage of all dutiable liquor;

(e)the stills shall be of a type approved by the Commissioner and shall
be so arranged, and the stills and the spirit stores so





constructed, that all spirit produced in the distillery must pass
from every still either directly into a spirit store or first into a
locked receiver and then into a spirit store, but in either case so
that no access can be had to the spirit except by a member of the
Customs and Excise Service, the spirit receiver shall have no
outlet except through a cock fitted with a lock affixed and sealed
by a member of the Customs and Excise Service;
no alterations or repairs, and no change in the use to which any
part of the premises is put, shall be made without the consent of
the Commissioner;
(g)the distiller shall provide and maintain, to the satisfaction of the
Commissioner, clean office accommodation and all necessary
furniture, writing materials, heating and cooling equipment,
lighting, and lavatory accommodation, for the use of members of
the Customs and Excise Service on duty at the premises and no
charge shall be levied for the facilities required by this paragraph.
(L.N. 7 of 1987)
(L.N. 294 of 1982)

53. Locks and seals

The Commissioner may cause locks or seals or both locks and seals to be
affixed to any spirit store, still, spirit pipe, fermenting vessel, condenser or, if he
deems it necessary, to any other utensil or place.
(L.N. 7of 198 7)

54. Spirit store to he deemed a licensed warehouse

Without prejudice to this Part, every spirit store shall be deemed to be a
licensed warehouse for the purpose of any regulations relating to the storage of
dutiable goods, except that-
(a) no separate licence shall be necessary for the store;
(b)on the outside of the store, instead of the words 'LICENSED
WAREHOUSE', there shall be legibly and permanently marked
in English and Chinese the words 'SPIRIT STORE';
(c)no liquor shall be removed from a spirit store except under and in
accordance with a prescribed permit;
(d)no permit shall be necessary for the removal of liquor from one
spirit store to another in the same distillery;
(e)without the express permission of the Commissioner no liquor
shall be taken into a spirit store in any distillery except liquor
distilled in that distillery.(L.N. 294 of 1982)





55. Containers

(1) All containers and utensils for distillation and storage of liquor shall
be kept clean to the satisfaction of the Commissioner.
(2) All containers of Chinese type spirits despatched from any distillery
shall have legibly painted thereon in Chinese characters the word 'M' (tsau)
and the name of the distillery.
(3) Every container for fermented or fermenting materials shall be of a
size approved by the Commissioner and shall have the normal charge, and a
serial number plainly and permanently marked thereon in English and Chinese;
no such container shall be filled with material for fermentation weighing more
or less than the normal charge. (L.N. 6 of 1970)
(4) Every container used for storing spirit in a spirit store shall be of a size
approved by the Commissioner and shall have the maximum capacity in litres
and a serial number plainly marked thereon in English and Chinese. It shall be
fitted or provided with an accurate gauge showing the quantity of spirit in the
container. (L.N. 189 of 1982; L.N. 7 of 1987)
(5) Every container in a spirit store shall be kept securely covered so as to
prevent evaporation.
(L.N. 294 of 1982)

55A. Declaration of normal charge

(1) Every distiller shall declare in writing to the Commissioner the normal
charge employed in his distillery for fermentation.
(2) Except with the permission of the Commissioner, no distiller shall
alter the normal charge declared in accordance with subregulation (1).
(3) In this regulation and in regulation 55 'normal charge' means the
usual quantity of raw materials placed in a receptacle for fermentation as part
of the process of distillation.
(L.N. 7 of 1987)

56. Unauthorized person prohibited in spirit store

No person shall, unless accompanied by a member of the Customs and
Excise Service, enter or be in any spirit store.
(L.N. 7 of 1987)

57. Restrictions on liquor and materials
entering and leaving distilleries

(1) Except with the permission of the Commissioner, no person shall take
into or store in any place within the distillery any liquor not produced in the





distillery or goods other than materials for the fermentation and distillation of liquor
and apparatus used in the distillery for the purpose of the fermentation and
distillation of liquor.

(2) No fermenting material shall be removed from a distillery.

(3) No fermented material shall be removed from a distillery unless all alcohol
contained therein has been removed therefrom by distillation.

(L.N. 7of 1987)

58. Fermentation

(1) Except with the special permission of the Commissioner, all material put on
to ferment shall be distilled immediately upon the expiration of the periods set out in
the following table

TABLE

TIME WITHIN WHICH MATERIAL IS TO BE
FERMENTED

Sugar or molasses or an
admixture of both Millet Rice
4 days 10 days 21 days

(2) Time shall commence to run-

(a)in the case of sugar or molasses or an admixture of sugar and
molasses, from the first mixing of the sugar or molasses or the
admixture with mother mash or other ferment approved by the
Commissioner;

(b)in the case of rice, from noon on the day on which the steamed rice is
mixed with yeast; and

(c)in the case of millet, from the first mixing of millet with yeast cake.

(3) No methods of accelerating fermentation shall be employed without the
prior consent of the Commissioner.

(4) In the case of the manufacture of Chinese type spirits from the fermented
mash of rice, the distiller shall declare to the Commissioner the type of yeast, method
of fermentation and raw materials used and shall enter that method, raw materials
and yeast in the record prescribed by regulation 6 1 (1).

(5) The distiller shall report to the Commissioner any change in the type of
yeast, raw materials or method of fermentation used as soon as practicable
thereafter.

(L.N. 6 of 1970; L.N. 294 of 1982; L.N. 7 of 1987)





59. Liquor to he reduced to uniform strength and spirit

receivers emptied when account is taken

(1) Before an account is taken by a member of the Customs and Excise Service
of any liquor in a distillery, the liquor shall, if the Commissioner so directs, be
reduced to a uniform strength prescribed by him as a strength at which liquor of that
type is by trade usage commonly produced or sold. (L.N. 294 of 1982)

(2) At or immediately after the taking of such account spirit receivers shall be
emptied.

60. Duty-paid liquor and denatured spirit

to he removed from distillery

(1) After duty is assessed on any liquor, such liquor shall forthwith be removed
from the spirit store and from the distillery.

(2) After any liquor has been denatured, the denatured spirit shall, unless the
Commissioner otherwise permits, be removed from the distillery immediately after the
Government Chemist has certified that the liquor is not in his opinion liable to duty.
(L.N. 7 of 1987)

61. Records to he kept by distiller

(1) In addition to any record which he is required to keep under any regulations
relating to the storage of dutiable goods, every distiller shall, whenever any
materials for the distillation of liquor are taken into or out of a distillery or are used or
dealt with in any manner whatever therein, forthwith make such entries in respect
thereof as the Commissioner shall specify in a book which shall be kept in the
distillery. The form of such book may be prescribed by the Commissioner. (L.N. 294
of 1982)

(2) Every distiller shall keep a record of the name and address of each person
employed by him in a distillery, the number of his identity card and particulars of the
commencement of, absence from, return to and termination of his employment, and
shall also keep a photograph of each such person. (L.N. 6 of 1970)

62. Returns by distiller

Every distiller shall furnish to the Commissioner once in every week or, on such
day as may be appointed by the Commissioner, in the case of any particular distiller
or generally, a return, in such form as the Commissioner may specify, showing

(a)the balance of dutiable liquor brought forward from the previous
week;





(b) the balance of raw materials brought forward from the previous
week;
(c) the quantity of liquor produced;
(d) the quantity of liquor denatured;
(e) the quantity of liquor on which duty has been paid;
(f) the intake of raw materials;
(g) the quantity of raw materials used;
(h) the balance of raw materials remaining in stock; and
(i) the balance of dutiable liquor remaining in stock.

(L.N. 7 of 1987)

PART VIII

SALE

Certificates of origin and standards of quality for liquors

63. Certificates of origin for imported liquors

(1) The Commissioner may require any imported intoxicating liquor for which a
standard of quantity is prescribed, except Chinese type spirits, to be accompanied
by a certificate (hereinafter in these regulations called a certificate of origin) from the
place where the liquor was made certifying the type, nature and quality of that
liquor. (L.N. 294 of 1982; L.N. 7 of 1987)

(2) Certificates of origin for brandy, whisky and rum shall contain such
analytical and other particulars as will enable the liquor to be readily identified.

(3) In these regulations, 'certificate of origin' includes any certificate, in
whatever form, which satisfies the above definition, and includes a certificate of age.

64. Restrictions on movement of certain liquors

If any intoxicating liquor

(a)is not accompanied by the certificate of origin required by regulation
63; or

(b)is found on analysis to differ materially in nature or qualify from that
specified in the certificate of origin; or

(c)is not of the standard of quality, if any, prescribed by these
regulations for that type of liquor,

a permit shall not be issued for the removal of the liquor from the place where it may
be, except





(i) to a ship, or from one ship to another, for export; or

(ii) to a general bonded or licensed warehouse, or from one such
warehouse to another; or

(iii)to any other place, if the liquor is for the private consumption of the
importer, but only in such quantities as the Commissioner may
determine; or

(iv)from a general bonded or licensed warehouse, after the liquor has, to
the satisfaction of the Commissioner, been manufactured; or

(v) from a general bonded or licensed warehouse, after the liquor, not
being brandy or whisky, has, to the satisfaction of the
Commissioner, been repacked or relabelled; or

(vi) for the removal of the liquor that would, but for the fact that it
contains an alcoholic strength of less than 40% by volume at 20'C, be
of the standard of quality prescribed by these regulations for brandy
if the Commissioner is of the opinion that that liquor is a very old
liqueur brandy.

(L.N. 7 of 1987)

65. Method of determining quality of liquors

(1) The quality of any liquor shall be determined by the Government Chemist as
follows

(a) in the case of Chinese type spirits, upon analysis;

(b) in the case of other liquor, in his discretion-

(i) upon analysis; or (ii) upon a certificate of origin required by
regulation 63; or (iii) upon both such analysis and such
certificate.

(2) The higher alcohols in spirit shall be determined by such method of analysis
as the Government Chemist thinks fit. (L.N. 157 of 1974)

66. Standards of quality for certain liquors

The following standards of quality are prescribed

(a)for all intoxicating liquors, every such liquor shall possess the aroma
and flavour natural to liquor of its type;

(b) for spirits-

(i) all spirits shall contain such proportions, if any, of volatile
acidity, aldehydes, furfural, esters and higher alcohols as are
natural to spirits of their type;

(E) brandy: the spirit obtained by the distillation of wine of grapes in
the manufacture of which no additional sugar has been added, or
a mixture of such spirits, that has been aged in wood for at least
3 years and contains an alcoholic strength of not less than 40%
by volume at 20'C;





cognac: brandy made in the Cognac region of France from
grapes grown therein;

(iii) whisky: the spirit obtained by distillation from a mash of cereal
grains saccharified by the diastase of malt or other natural
enzyme and fermented by the action of yeast, with or without
the addition of flavouring or caramel, that has been aged in
wood for at least 3 years and contains an alcoholic strength of
not less than 42% by volume at 20'C;

(iv) rum: the spirit distilled direct from fermented sugar cane
products, with or without caramel, that may be flavoured with
fruit or other botanical substances or flavouring, in such a
manner that the distillate possesses the taste, aroma and
characteristics generally attributed to rum and contains an
alcoholic strength of not less than 42% by volume at 20'C,
and also includes mixtures solely of such distillates;

grain spirit, with or over juniper berries, with or without other
aromatic botanical substances, with or without sugar, and with
an alcoholic strength of not less than 40% by volume at 20'C;

potatoes that, after reduction of strength, has been so distilled
or treated with charcoal or other processes so as to be without
distinctive character, aroma, taste, or colour, and with an
alcoholic strength of not less than 40% by volume at 20'C;

(v)Chinese type spirit: intoxicating liquors obtained by the
distillation of the fermented mash of rice, molasses, sugar, millet
or an admixture of molasses and sugar up to and including a
strength of alcohol by volume at 20'C of 58% for spirit made
from rice, molasses or sugar or both, and 70% for spirit made
from millet

rice spirit-Liu Pun
Sheung Ching

Sam Ching or Sei
Ching

molasses or sugar spirit or spirit made from an admixture of
molasses and sugar

To Liu Pun

To Sheung Ching (+-%A),
To Sam Ching or
To Sei Ching





millet spirit-Mow Toi Ko Leung (AR), Sai Fung Tai Kook
(;M) or Fan Chow ~).

If for sale, its strength in alcohol by volume at 20'C

shall not be less than-
(i) Liu Pun or To Liu Pun ...........22%.
(ii) Sheung Ching or To Sheung Ching 27%.
(iii) Sam Ching or To Sam Ching .....36%.
(iv) Sei Ching or To Sei Ching ......48%.
(v) Mow Toi, Ko Leung or Tai Kook ...50%.
(vi) Sai Fung or Fan Chow ...........60%.
(c) for wines-

(i) port: the fermented expressed juice of grapes grown in the Alto
Douro district in the north-east of Portugal, shipped from
Oporto, and wine of similar characteristics from other countries
or districts, which contains not less than 15% of alcohol by
volume at 20'C;

Port shall be free from added colouring matter and
preservatives other than alcohol and shall contain not less than
15% of alcohol by volume at 20'C

(ii)sherry: the fermented expressed juice of the grape, the produce of
Jerez (or Xeres) de la Frontera, shipped from Cadiz in Spain, and
wine of similar characteristics from other countries or districts
which contains not less than 15% of alcohol by volume at 20'C;

Sherry shall be free from added colouring matter and
preservatives other than alcohol and shall contain not less than
15% of alcohol by volume at 20'C

(L.N. 6 of 1970; L.N. 188 of 1982; L.N. 7 of 1987)

67. Marking of certain liquors

The name of the place of origin of port not produced in the Alto Douro district
in Portugal, or sherry not produced in Jerez de la Frontera in Spain, shall be clearly
marked on every container thereof.

68-77.(Repealed L.N. 165 of 1989)





PART IX

STORAGE OF DUTIABLE
GOODS

78. Interpretation

In this Part, 'warehouse-keeper' includes the licensee and any person for the
time being in charge of a warehouse.

79. Application

This Part shall apply to general bonded warehouses, licensed warehouses and
any premises deemed to be licensed warehouses under the provisions of any other
Part, except as may be provided in that Part.

80. Marking of warehouses

There shall be legibly and permanently marked on the outside of every
warehouse in English and Chinese in letters and characters at least 75 mm high, the
words 'GENERAL BONDED WAREHOUSE FOR or 'LICENSED WAREHOUSE
FOR (as the case may be) (specifying the number of the warehouse and the nature of
the goods for which it is licensed).

(L.N. 189 of 1982)

81. Construction of warehouses

Every warehouse and every part thereof and every fixture therein or thereon
shall be constructed and maintained in good and substantial repair and sanitary
condition to the satisfaction of the Commissioner, and in particular

(a)the warehouse shall be illuminated and ventilated to the satisfaction
of the Commissioner;

(b) the windows shall be suitably secured; (L.N. 6 of 1970)

(c)the warehouse shall be so constructed, and the door shall have such
fastenings capable of being fitted with locks affixed and sealed by a
member of the Customs and Excise Service, that when such locks are
fitted no person except a member of the Customs and Excise Service
can have any access to the warehouse;

(d) the Commissioner may cause locks to be fitted to any warehouse;

(e)no alterations or repairs shall be made without the consent of the
Commissioner.

(L.N. 294 of 1982)





82. Lamps

The type of lamps used in a warehouse shall be of a type and standard
approved by the Commissioner.

(L.N. 294 of 1982)

83. Accommodation for members of

the Customs and Excise Service

(1) When required so to do by the Commissioner, the warehouse-keeper shall
provide and maintain in the premises to the satisfaction of the Commissioner, office
and lavatory accommodation, with heating and cooling equipment, lighting, furniture
and writing materials, for the use of the members of the Customs and Excise Service
on duty at the warehouse. (L.N. 6 of 1970)

(2) No charge shall be levied for any facilities required by the Commissioner
under this regulation.

(L.N. 294 of 1982)

84. Facilities for examination, etc., of goods

Every warehouse-keeper, to the satisfaction of the Commissioner, shall provide
and maintain, in a suitable place in the warehouse

(a)adequate receptacles, accurate measures, beams and scales or
weighing machines, for examining, testing, sampling, bottling,
blending, mixing, denaturing, repacking, grading, reconditioning and
otherwise treating dutiable goods; and

(b) adequate receptacles for refuse.

(L.N. 294 of 1982)

85. Hours of opening

(1) Warehouses shall be opened between 8.30 a.m. and 4.30 p.m. on weekdays
other than Saturdays or public holidays, and between 8.30 a.m. and 1 p.m. on
Saturdays. (L.N. 7 of 1987)

(2) At other times warehouses may be opened with the written permission of
the Commissioner. (L.N. 294 of 1982)

86. Entry, etc., only with a member of

the Customs and Excise Service

Except with the permission of the Commissioner, no person shall, unless
accompanied by a member of the Customs and Excise Service, enter or be in any
warehouse.

(L.N. 294 of 1982)





87. No smoking, etc.

No person shall smoke or use naked lights or matches in any warehouse.

88. Only dutiable goods to be stored

Except with the special permission of the Commissioner nothing other than
dutiable goods shall be stored in a warehouse.

(L.N. 294 of 1982)

89. Goods to be admitted under permit

The keeper of any general bonded warehouse shall admit any dutiable goods
into his warehouse at the request of any holder of a permit in that behalf.

90.Goods from ship or aircraft to be admitted
on request to general bonded warehouse

At the request of the master of any ship lying in the harbour of Victoria or of the
person in charge of any aircraft at the Hong Kong Airport or of the owners,
charterers or agents of any such ship or aircraft, the keeper of any general bonded
warehouse shall forthwith remove from the ship or aircraft into his warehouse any
dutiable goods specified in the request, unless the warehouse is not licensed for
such goods or there is no accommodation for the goods in the warehouse.

91. Non-removal of dutiable goods

(1) Where

(a)any dutiable goods have been left for a period of 3 years in a general
bonded or licensed warehouse; and

(b)the owner of the goods fails to remove them or to make an
application to the Commissioner to have such goods re-entered in the
warehouse records,

the Commissioner may cause a notice in accordance with subregulation (2) to be
served on the owner or, if the owner is unknown, to be published in the Gazette.

(2) The notice shall contain-

(a) a description (including the marks) of the dutiable goods;

(b) the name of the owner of the goods, if known; and

(c)the date on which the goods were received into the general bonded
or licensed warehouse,

and shall state that on a date specified therein, being a date not less than 3 months
after the service of the notice or the publication thereof in the Gazette,





the goods will be offered for sale by public auction unless they are previously
removed by the owner or re-entered in the warehouse records.
(3) Where the dutiable goods to which a notice under subregulation (2)
relates are not removed from the warehouse or re-entered in the warehouse
records before the date specified for the sale thereof, the Commissioner may sell
the goods by public auction.
(4) On the sale by auction of any goods as aforesaid there shall be
deducted from the proceeds of sale, after payment of any necessary expenses
connected with the sale thereof, any duties and any other fee or charges payable
to the Crown or to the keeper of the warehouse wherein such goods had been
stored prior to the sale in respect of such goods, and the surplus (if any) after
such payments have been made shall be placed on deposit in the Treasury and,
if not claimed by the owner of the goods within 12 months thereafter, such
amount shall be forfeited to the Crown.
(5) Should any goods as aforesaid be unsaleable or should their condition
or value be such that the proceeds of sale would not, in the opinion of the
Commissioner, pay the necessary expenses of sale by public auction such goods
may be destroyed, and no person shall have any claim against any Government
officer or against the Crown for the goods destroyed or for the destruction of
such goods.
(L.N. 6 of 1970; L.N. 294 of 1982)

92. Classification of goods

Dutiable goods may be divided into such classes as a warehouse-keeper,
with the approval of the Commissioner, may determine, having regard to the
rules of the Fire Insurance Association of Hong Kong in so far as they are
compatible with the law relating to dangerous goods.
(L.N. 294 of 1982)

93. Empty containers

Subject to regulation 88, empty or damaged containers shall be kept in a
locked compartment apart from dutiable goods or as the Commissioner may in
any case specially direct.
(L.N. 294 of 1982; L.N. 7 of 1987)

94. Opening containers

No container of dutiable goods shall be opened except under the
supervision of a member of the Customs and Excise Service unless the
Commissioner gives permission to the contrary in any particular case.
(L.N. 294 of 1982)





95. Sampling and other treatment of goods

(1) Subject to the provisions of regulation 94 and after due notice, samples of
dutiable goods may be taken and dutiable goods may be repacked, bottled, blended,
denatured or treated in any other manner whatever as the Commissioner may permit,
in a warehouse.

(2) Notice may be given to the Commissioner in office hours on any working
day before that on which the operation begins, and shall specify

(a) the nature of the operation;

(b) the name and the number (if any) of the warehouse; and (e)
the day and time when the operation is to begin.

(3) No person shall begin or perform any such operation or any part thereof
except under the supervision of a member of the Customs and Excise Service, unless
the Commissioner gives special permission to the contrary.

(4) Dutiable goods shall not be repacked in containers in less quantities than
those specified in regulation 97.

(5) Containers, if any, which are deficient in content shall be filled from others in
the same ownership.

(6) Unless the Commissioner otherwise directs, samples shall not be removed
from a warehouse until duty has been paid thereon.

(L.N. 294 of 1982)

96. Goods to be removed only under permit

No goods shall be removed from a warehouse except under permit or with the
written authority of the Commissioner.

(L.N. 6 of 1970; L.N. 294 of 1982)

97. Minimum quantities for removal

The minimum amount of any one kind, brand, preparation or admixture of
dutiable goods which may be removed in any one consignment from a warehouse,
except as samples or with the special permission of the Commis

sioner, shall be-
(a) Liquor ...........................81
(b) Tobacco-
(i) cigarettes .......................2000
(ii) cigars ..........................200
(iii) other manufactured tobacco .....1.5 kg
(iv) unmanufactured tobacco ..........15 kg
(c) Hydrocarbon oil ..................401

(L.N. 189 of 1982; L.N. 294 of 1982; L.N. 7 of 1987)





98. Record of goods

(1) Whenever any goods are taken into or out of a warehouses or are treated in
any manner, the warehouses-keeper shall forthwith make such entries in respect
thereof as the Commissioner may require in a stock account or record in such form
as may be approved by the Commissoner.

(2) Every warehouse-keeper shall, if requested by a member of the Customs and
Excise Service, produce the stock account or record referred to in subregulation (1)
for examination and shall provide him with copies of that stock account or record or
with any other relevant information which the member deems necessary.

(3) Except with the permission of the Commissioner, every warehousekeeper
shall retain the stock account or record referred to in subregulation (1) in the
warehouse for a period of 12 months.

(L.N. 7 of 1987)

99. Deficiencies

(1) Whenever any deficiency, from whatever cause, occurs or is found in
dutiable goods stored in a warehouse the keeper thereof shall forthwith duly enter
the same in the stock account or record required to be kept by regulation 98 and
shall within 24 hours report such deficiency to the Commissioner.

(2) In the case of a warehouse for hydrocarbon oil the keeper shall report the
deficiency referred to in subregulation (1) in the return required to be furnished by
regulation 100(2).

(L.N. 294 of 1982; L.N. 7 of 1987)

100. Returns to Commissioner

(1) The keeper of a general bonded warehouse shall daily, and of a licensed
warehouse weekly, or in either case at such other regular intervals and on such days
as the Commissioner may appoint, deliver returns to the Commissioner to his
satisfaction and in such form as he may prescribe of all dutiable goods taken into or
out of the warehouse, all such operations as are set out in regulation 95, and such
other relevant particulars as the Commissioner may require; returns shall be
delivered before noon on the day on which they are due, or if that day is a general
holiday, on the next working day.

(2) The keeper of a warehouse for hydrocarbon oil shall furnish to the
Commissioner on the first working day of each month or such other day as the
Commissioner may appoint, a return, in such form as the Commissioner may specify,
showing

(a)a balance of stock account of all types of hydrocarbon oil brought
forward;

(b) quantities of oil received into the warehouse;





(c)details of operation, production, treatment and use of oil in the
warehouses;
(d) quantities of oil delivered or taken for use on payment of duty;
(e) quantities of oil delivered without payment of duty;
(f) quantities of oil removed to approved premises;
(g) quantities of oil exported;
(h) quantities of oil delivered as stores; and
(i)a balance of stock account of all types of hydrocarbon oil carried
forward.
(3) For the purpose of this regulation a separate return is required in
relation to each warehouse.
(L.N. 294 of 1987; L.N. 7 of 1987)

101. Charges
Charges by warehouse-keepers for storing or moving dutiable goods shall
not exceed such as the Commissioner may approve.
(L.N. 294 of 1982)

102. Attendance of member of Customs and
Excise Service may be directed

The Commissioner may, to such extent as he considers necessary for the
due protection of the revenue, direct that a member or members of the Customs
and Excise Service be in attendance-
(a) at any warehouse;
(b)during the removal of goods to which this Ordinance applies
from one place to another.
(L.N. 157 of 1974; L.N. 294 of 1982)

103. Payment of fees for attendances

The fees prescribed in Part VII of the Schedule for attendances by
members of the Customs and Excise Service shall be payable by the person in
possession or control of the goods to which this Ordinance applies, but the
Commissioner may waive payment of the fees in such cases or classes of cases as
he thinks fit.
(L.N. 157 of 1974; L.N. 294 of 1982; L.N. 7 of 1987)

103A. Fees for storage

The fees payable for storage by the Customs and Excise Department with
the permission of the Commissioner of goods to which these regulations apply
are specified in the Schedule.
(L.N. 7 of 1987)





PART X

PENALTIES

104. Penalties

(1) Except as otherwise expressly provided in the Ordinance, any person who
acts in contravention of regulations 5, 10, 20, 31, 32, 35, 39, 40, 41, 44, 46, 47, 49, 52,
54, 55A, 58, 61, 63, 66, 67, 84, 94, 95, 96, 97, 98 and 99 shall be guilty of an offence and
shall on summary conviction, in addition to any forfeiture under these regulations,
be liable- (L.N. 6 of 1970; L.N. 7 of 1987,. 16 of 1989 s. 13; L.N. 165 of 1989)

(a)for the first offence, to a fine of $50,000 and to imprisonment for 12
months;

(b)for every subsequent offence, to a fine of $100,000 and to
imprisonment for 2 years.

(2) Any person who acts in contravention of regulations 6, 7, 8, 9, 25, 26, 29, 30,
33, 34, 38, 48, 51, 55, 56, 57, 59, 60, 62, 80, 81, 82, 83, 85, 86, 87, 88, 89, 90, 93, 100, 101
and 103 shall be guilty of an offence and shall on summary conviction, in addition to
any forfeiture under these regulations, be liable to a fine of $50,000 and to
imprisonment for 12 months. (L.N. 165 of 1989)

(3) In any case where a magistrate is of the opinion that an offence was
committed with intent to avoid payment of duty he may in addition to any fine
prescribed by this regulation inflict a fine not exceeding 10 times the amount of duty
payable on the goods in respect of which the offence was committed.

SCHEDULE[regs. 2, 103 & 103A]
LICENCES AND FEES
PART 1
GENERAL
Item Licence or permit Fee
1 . General bonded warehouse licence 10

2. Warehouse licence in respect of one or more of the following-

liquors, tobacco, hydrocarbon oil, methyl alcohol, non-alcoholic

beverages, concentrates and cosmetics---
(a) in conjunction with a licence to manufacture one or more

of the commodities concerned ....1,000
(b) in other cases ..............2,000

3. Import and export licence (for one or more of the following)---

liquors, tobacco, hydrocarbon oil, methyl alcohol, non-alcoholic

beverages, concentrates and cosmetics-





Item Licence or permit Fee

(a) except as in (b) .............500
(b) to persons licensed only to import for their own use or where
the duty value of a single shipment is less than 52,000 10% of the
..................................duty on the
..................................goods
imported
..................................with a
..................................minimum
fee of
..................................$2.

4. Special import licence (to keepers of licensed warehouses capable of

storing not less than 500 kilolitres of hydrocarbon oil) 1,000

PART II
LIQUORS
Item Licence or permit Fee
1 Manufacturers licence 200

2. Distillery licence .........- ....1,000

3. Still licence (available only to an educational, scientific or charitable

institution approved by the Financial Secretary) Free
4. Brewery licence ..................2,000

5. Canteen licence .......- .........10
6. Temporary liquor licence ........................................... 100
per diem

PART 111
TOBACCO
item Licence or permit Fee
1 Manufacturer's licence for Chinese prepared tobacco 500

2. Manufacturer's licence for other tobacco ................ 1,000

PART IV
HYDROCARBON OIL
Item Licence or permit Fee
1 Manufacturer's licence 10,000
PART V
NON-ALCOHOLIC BEvERAGEs AND CONCENTRATES
Item Licence or permit Fee
1. Manufacturer's licence 1,000





PART VI
COSMETICS
Item Licence or permit Fee
1 Manufacturer's licence 1,000
PART VII
MISCELLANEOUS
Item Service Fee
1. For every transfer of or substitution or amendment in any licence, not

otherwise specified, except a transfer from one person to another 5

2. For every transfer of any licence from one person to another, not

otherwise specified .............10

3. For every certificate of the Government Chemist that any spirits or

methyl alcohol are denatured ....5
.................................or
.................................one-twentieth
.................................of the duty,
.................................which would
.................................have been
.................................payable on the
.................................spirits or
.................................methyl alcohol
.................................had such spirits
.................................or methyl
.................................alcohol not
.................................been
.................................denatured,
.................................whichever is the
.................................greater.

4. For every landing certificate, certificate of shortages or breakages of

cargo found damaged or short in bond, endorsement, certificate of

accuracy or copy of or extract from official records, any other
certificates on which statistics or any official signature has been given in
connection with the importation, drawback, duty collection, shortage

or exportation of any goods to which this Ordinance applies 15

5. For storage of goods to which this Ordinance applies by the Customs

and Excise Department with the permission of the Commissioner 1 per package
.................................(irrespective of
.................................size) per day or
.................................part of a day,
.................................after the first 48
.................................hours.

6. For any attendance of a member of the Customs and Excise Service-

(a) at a warehouse or any other place; or

(b) during the removal of goods to which this Ordinance applies
from one place to another-

...............Per artPer Amour
............... Per Month
............... Day
Inspector ..... 130 910 19,800
Chief Customs Officer 110 770 16,800






Senior Customs Officer 90 630 13,100
Customs Officer 60 4208,500
............... (L.N. 165 of 1989)

https://oelawhk.lib.hku.hk/items/show/2482

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