The Preshipment Inspection Agreement recognizes that GATT principles and obligations
apply to the activities of preshipment inspection agencies mandated by governments.
The obligations placed on governments which use preshipment inspections include
non-discrimination, transparency, protection of confidential business information,
avoiding unreasonable delay, the use of specific guidelines for conducting price
verification and avoiding conflicts of interest by the inspection agencies. The obligations
of exporting members towards countries using preshipment inspection include
non-discrimination in the application of domestic laws and regulations, prompt
publication of those laws and regulations and the provision of technical assistance
where requested.
The agreement establishes an independent review procedure. This is administered
jointly by the International Federation of Inspection Agencies (IFIA), representing
inspection agencies, and the International Chamber of Commerce (ICC), representing
exporters. Its purpose is to resolve disputes between an exporter and an
inspection agency.