“TOM LANTOS BLOCK BURMESE JADE ACT OF 2008”
U.S. CUSTOMS ISSUES AMENDED IMPLEMENTATION RULES JANUARY 16, 2009

 New York City — January 23, 2009 — In September 2008, The Tom Lantos Block Burmese JADE Act of 2008 became law. On January 16, 2009, Customs issued updated regulations addressing “Conditions for Importation” of Burmese and Non-Burmese rubies and jadeite in order to implement the relevant portion of the legislation.  The Act specifies that all rubies and jadeite originally from Burma (also known as Myanmar) or jewelry containing these gemstones cannot enter this country even if they had been substantially transformed elsewhere.    Exceptions apply only to Burmese rubies and jadeite that were present in the US prior to September 27, 2008, and items imported for personal use.   

The Burma Task Force, comprised of Jewelers Vigilance Committee (JVC), the American Gem Trade Association (AGTA) and Jewelers of America (JA), has released guidance on the steps importers and exporters must follow to import non-Burmese rubies and jadeite.  

View the memo: Burma Task Force – JVC, AGTA, JA Summary of Updated Regulations, Tom Lantos JADE ACT January 2009

Importer Obligations - Under the new regulations, importers continue to be required to certify that their rubies and jadeite were not mined or extracted from Burma.  The importer certification is created through the use of new Harmonized Tariff Codes. 

In addition, exporters are obligated to assure that Burmese rubies and jadeite are not intermingled with non-Burmese origin rubies and jadeite.  Importers are required to secure a written certification from the exporter stating that the rubies and jadeite were not mined or extracted from Burma.  The exporter must also provide “verifiable evidence” that tracks (if exporting rough) the rough from mine to place of first export, (if exporting polished loose gems) from mine to place of final finishing, and for finished jewelry, from mine to place of final finishing of the article of jewelry. 

Exceptions to these provisions include re-importation of rubies and jadeite (or jewelry containing the same) that were in the US prior to September 27, 2008 (if re-imported by the same entity or person who exported them originally from the US, as long as they have not been advanced in value) and those imported for personal use.

Recordkeeping Obligations - Importers of non-Burmese rubies and jadeite must maintain records for five years pertaining to each transaction in covered articles.  These records include complete information regarding purchase, manufacture or shipment of covered articles and the exporter’s certification.  Importers are required to produce such records upon request by CBP.  This includes maintaining the exporter certification and the statement regarding verifiable evidence indicating the source of rough, polished or finished jewelry, depending on which was imported. 

“Verifiable Evidence” could be an exporter’s warranty stating the country of origin of the covered articles, the place in which they were polished and the place where they were manufactured into jewelry.  Such a warranty should also include a statement that the exporter has available records which corroborate the statement in the warranty.  

“Responsible Employee of the Exporter” - Importers and exporters are required to name on the invoice a responsible employee of the exporter who has or can obtain knowledge of the transactions.  The information that this employee should have access to includes: the verifiable evidence of the source and movement of the covered articles. 

Commented Cecilia L. Gardner, JVC’s president, CEO and general counsel: “We look forward to assisting the trade to fully comply with the previsions of this law.”

Said Douglas Hucker, American Gem Trade Association (AGTA), CEO:  “The guidance created by the Burma Task Force reflects the culmination of a tremendous amount of work and cooperation between jewelry industry representatives and the U.S. government. It will certainly help to clear up a lot of the anxiety we had about complying with the Act.”

We look forward to introducing this guidance at the AGTA GemFair in Tucson. AGTA is eager to communicate this important information to our members and to help them to be in compliance with this important legislation.”

According to Matthew A. Runci, JA President and CEO: “Jewelers of America welcomes the government’s amended Burmese gem regulations, which further clarify importers’ obligations, and place new responsibilities on exporters. We will ensure that our members are fully aware of the new requirements.”

JVC, AGTA and JA will present “Burma and Beyond -- Operating Your Business in Today’s New Regulatory Environment” – at the AGTA GemFair in Tucson on February 7.    This seminar can help importers and exporters avoid interruptions in international business and will ensure they understand their legal obligations in this seemingly complex area.   An international trade specialist from U.S. Customs and Border Protection will be on-hand to answer questions, and helpful written materials will be available.

The AGTA GemFair seminar is will take place in the Mohave Room at 11:00 a.m. Registration  is not required but space is limited.   Contact Adam Graham, AGTA, adam@agta.org or Amy Greenbaum, JVC, amy@jvclegal.org with questions.

Visit JVC’s web site, www.jvclegal.org, for an explanation of the January 16 regulations and other important legal compliance information, products and services.

 

Jewelers Vigilance Committee, founded in 1917, is a not-for-profit legal trade association fulfilling its mission to maintain the jewelry industry’s highest ethical standards. JVC offers dispute mediation and arbitration services for trade and consumers, compliance monitoring and precious metals testing, among many other services. JVC, long considered the industry’s guardian of ethics and integrity, is a resource for the entire jewelry industry and its customers as well as an industry representative before government agencies, media and adjunct fields. For more information visit: www.jvclegal.org.

The AGTA is an Association of natural colored gemstone and cultured pearl industry professionals, dedicated to promoting the natural colored gemstone trade.  The Association pursues this mission through the combined use of educational programs, industry events and publicity to both the trade and consumer. We are The Authority in Color. www.agta.org

 

Jewelers of America is the national trade association for businesses serving the fine jewelry retail marketplace, representing 11,000 member stores. Jewelers of America's primary purpose is to improve consumer confidence in the jewelry industry by: serving as a forum for discussion and analysis of issues; playing a leadership role in public, government and industry affairs; advocating professionalism, including high ethical, social and environmental standards; and facilitating members' access to education. For more information about Jewelers of America, visit www.jewelers.org.

Additional Guidance for Export and Re-Import

of Burmese Rubies Already In the US Prior To the Ban

When the dealer returns to the US, the dealer should have the Certificate of Registration for the articles exported from the US, along with any sales receipts for items sold.  The export and re-import must be by the same person or entity, and the articles cannot have been “advanced in value.”  This means that the rubies or jadeite exported and re-imported cannot have been cut, polished or set into jewelry. 

For Additional Guidance:
http://www.cbp.gov/xp/cgov/trade/trade_programs/entry_summary/laws/public_law/burmese_articles.xml