GENERAL HEADQUARTERS
SUPREME COMMANDER FOR THE ALLIED POWERS

APO 500
19 November 1948

AG 091.31 (9 Aug 48) ESS/FTC
(SCAPIN - 1926/1)

MEMORANDUM FOR	Japanese Government
SUBJECT	Return from Abroad of Commercial Quantities of Manufactured Articles for Repair and Return to Owner

1. References:
a. Memorandum for Japanese Government from General Headquarters, Supreme Commander for the Allied Powers, AG 091.311 (2 Aug 47) ESS/FI, SCAPIN 1756, 2 August 1947, subject: Customs Inspection of International Parcel Post, Samples and Small Packets;
b. Letter to Ministry of Finance from General Headquarters, Supreme Commander for the Allied Powers, Economic and Scientific Section; 091.311 (17 Sep 47) ESS/FI, 17 September 1947, subject: Customs Inspection of International Mail Classification, Samples, Small Packets and Parcel Post Relief Packages;
c. Memorandum for Japanese Government from General Headquarters, Supreme Commander for the Allied Powers, AG 311.1 (28 May 48) CCS, SCAPIN 1900, 28 May 1948, subject: International Postal Service, as amended;
d. Memorandum for Japanese Government from General Headquarters, Supreme Commander for the Allied Powers, AG 091.31 (9 Aug 48) ESS/FTC, SCAPIN 1926, 9 August 1948, subject: Export Trade.
2. Letter to Ministry of Finance from General Headquarters, Supreme Commander for the Allied Powers, Economic and Scientific Section, 091.311 (29 Jul 48) ESS/FIN, 29 July 1948, subject: Import and Export License Requirements Covering International Mail Classification, Small Packets, is amended insofar as it conflicts with the provisions of this memorandum.
3. Commercial quantities of Japanese manufactured articles sold in a buyer-supplier transaction may be returned to Japan for repair after firm agreement has been reached between buyer and seller as to shipping and insurance expenses to and from Japan, and insurance while in Japan, provided the seller sends the buyer a certified or photostatic copy of an import license validated by the Supreme Commander for the Allied Powers, to be used by the buyer
a. For inclosure in the package, and
b. For reference in marking the import license number on the outside of the package, together with the words, "Import License Inclosed".
4. The Japanese Customs will require from the seller the deposit of security while the articles are in Japan, corresponding to the amount of duty which would be required for a normal import.
5. The buyer should be advised before making a return.
a. To arrange with his own customs authorities so that duties levied on return of the item to his country will be on the charge for repair or new parts only;
b. That for parcel post packages
(1) Registration is possible, but due to lack of an exchange rate, payment of indemnity is not possible;
(2) Prohibited articles are listed in Article 17 of the Universal Postal Union Parcel Post Agreement;
(3) Weight limit will be according to the Universal Postal Union Parcel Post Agreement and/or applicable bilateral agreements, but not exceeding twenty-two (22) pounds per parcel.
6. When the repair has been accomplished, an export license is required for the return to owner.
7. Charges for the repair, if any, must be covered by a new export contract approved by the Supreme Commander for the Allied Powers.
8. If no charges are made for the repair, the exporter will state on the "Application for Cargo Shipment" that the articles were paid for under pevious export license #__________, and indicate the liability for transportation and insurance expenses agreed on. The exporter's bank will certify to the correctness of the statement.
9. Application for both import license and export license will be made by letter accompanied by copies of all papers which relate to the original export of goods, as well as copies of correspondence between buyer and seller which relate to negotiation for the repair.
10. When the seller has been the Japanese Government, the same procedures govern.

FOR THE SUPREME COMMANDER:

/s/ A. J. Rehe
for /t/ R. M. LEVY,
Colonel, A.G.D.,
Adjutant General