Cambodia
Key documents required for timber legality and trade of Cambodia
The following information on key documents is applicable to current situation of timber trade in Cambodia, which mostly concerns private forest plantations and the operation of mills that supply processed products for the local and international market. Timber and wood production from natural forest are general prohibited and illegal, except from some activities such as economic land concession, hydro power projects, and mining areas. The following key documents are based on the guidelines issued by the Forestry Administration.
Documents at company level
| Key document | Explanation | Validity | Legal authority | Relevant section of the EUTR | |
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| Legal registration |
Proclamation on establishment of the company |
A company needs to register through approval processes with the government to receive a proclamation from the Ministry of Agriculture, Forestry and Fisheries as a legal company. |
1 year (can be extended) |
Ministry of Agriculture, Forestry and Fisheries through the Forestry Administration |
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Land certificate or renting agreement of the land |
The company needs to register its land property to secure a long-term value chain of its products and avoid any land depute. |
Ministry of Land Management, Urban Planning and Construction |
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Agreement with the local Forestry Administration |
The agreement is between company owner and local Forestry Administration. It ensures that the company is operated following the laws and regulations in Cambodia, in particular the use of legal sources of forest products and by-products, and the avoidance of any waste affected to people living nearby and the public, and so on. |
Based on negotiation |
Local Forestry Administration |
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Agreement on supply of forest products and by-products |
Agreement between the company and supplier which is legalized by lawyer to ensure that the sources of the supply are legal. |
Based on negotiation |
Lawyer |
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Issuance letter |
Issuance letter is required to receive the acceptance from several families who live close to the company. |
Valid until termination of the company |
Commune Council in commune where company is located |
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| Tax, fees and royalties |
Administration fee |
Administration fee is 1.000.000 Riel (around 250USD) applied during the processes to get approval on the establishment of the company. |
1 year |
Forestry Administration |
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Patent tax certificate |
All business activities are required to register and pay for patent tax based on a self-assessment regime of taxation. The company may need to pay 1.200.000 Riel or 300 USD. |
1 year |
General Department of Taxation |
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Tax |
Prior to export, the company needs to pay for tax of about 22% covering customs duty, VAT and export tax. |
General Department of Customs |
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Free on Board (FOB) |
1% of the value of the exported products will be applied in prior to export the products. |
Forestry Administration |
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| Processing |
Export quota |
Prior to export, the company is required to request a quota to the government-based evaluation report of the Ministry of Agriculture, Forestry and Fisheries. The quota describes annual amount allowed to export and sources of the products. |
1 year |
Royal Government of Cambodia / Ministry of Agriculture, Forestry and Fisheries |
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Input and output Book |
The book that the mill owner should record all input and output products in their mills. |
Forestry Administration Division |
Documents at Forest Management Unit level
| Key document | Explanation | Validity | Legal authority | Relevant section of the EUTR | |
|---|---|---|---|---|---|
| Forest use rights |
Certificate of registration |
The certificate is to certify the ownership of forest area or plantation as a private forest to ensure legal management of the private forest. |
Unlimited |
Forestry Administration |
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| Forest management |
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There are no requirements for the management of private forests after registration. |
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| Timber harvesting permits and activities |
License Permit |
License Permit is an official document that summarizes the quantity with volume and classes of timber and states about the name of company and location being harvested. |
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Forestry Administration |
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Log Book A |
This book is provided by local Forestry Administration to private forest owner to record the quantity and quality of forest products and by-products that are harvested their areas. |
No limited |
Forestry Administration Division |
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| Environmental and social |
N/A |
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| Forest Tax, fees and Royalties |
Royalties |
Royalties fee is free for production from private forest based on forestry law 2002. |
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Forest tax |
Management of private forest is free of charge |
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Documents at product level (Chain of Custody)
| Key document | Explanation | Validity | Legal authority | Relevant section of the EUTR | |
|---|---|---|---|---|---|
| National traceability system |
N/A |
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N/A |
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Export license |
Export licence describes specification, amount, and value of the products. It also states the origin of the products, shipping port and destination. |
Normally 2 months |
Ministry of Commerce together with the Forestry Administration |
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PC-1 |
A transport permit used for transport forest products and by-products from the harvest area to the mill |
3 days (or longer based on the distance) |
Forestry Administration Division |
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PC-2 |
A transport permit used for transport forest products or processed forest products from the mill to domestic market or other destination. |
3 days (or longer based on the distance) |
Forestry Administration Division |
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PC-IMEX |
A transport permit to transport forest products and by-products for export. It is an important document for the custom clearance before shipping the products. |
3 days (or longer based on the distance) |
Forestry Administration |
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Commercial invoice |
The document from the company or exporter to describe the value of its products. It is required when applying for export license and custom clearance |
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Packing list |
The document is prepared by the company or exporter. It is required when applying for export license and custom clearance |
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Export Permit |
A permit required for timber trade and custom clearance. |
1 month |
General Department of Customs and Exercise |