title: Recommandation for a Council Decision on the conclusion of an agreement between the European Economic Community and the United Nations Relief and Works Agency for Palestine Refugees on the supply of cereals as food aid (submitted to the Council by the Commission)

text:
ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (74) 1479
Vol. 1974/0238
 ---pagebreak--- Disclaimer
Conformément au règlement (CEE, Euratom) n° 354/83 du Conseil du 1er février 1983
concernant l'ouverture au public des archives historiques de la Communauté économique
européenne et de la Communauté européenne de l'énergie atomique (JO L 43 du 15.2.1983,
p. 1), tel que modifié par le règlement (CE, Euratom) n° 1700/2003 du 22 septembre 2003
(JO L 243 du 27.9.2003, p. 1), ce dossier est ouvert au public. Le cas échéant, les documents
classifiés présents dans ce dossier ont été déclassifiés conformément à l'article 5 dudit
règlement.
In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983
concerning the opening to the public of the historical archives of the European Economic
Community and the European Atomic Energy Community (OJ L 43, 15.2.1983, p. 1), as
amended by Regulation (EC, Euratom) No 1700/2003 of 22 September 2003 (OJ L 243,
27.9.2003, p. 1), this file is open to the public. Where necessary, classified documents in this
file have been declassified in conformity with Article 5 of the aforementioned regulation.
In Übereinstimmung mit der Verordnung (EWG, Euratom) Nr. 354/83 des Rates vom 1.
Februar 1983 über die Freigabe der historischen Archive der Europäischen
Wirtschaftsgemeinschaft und der Europäischen Atomgemeinschaft (ABI. L 43 vom 15.2.1983,
S. 1), geändert durch die Verordnung (EG, Euratom) Nr. 1700/2003 vom 22. September 2003
(ABI. L 243 vom 27.9.2003, S. 1), ist diese Datei der Öffentlichkeit zugänglich. Soweit
erforderlich, wurden die Verschlusssachen in dieser Datei in Übereinstimmung mit Artikel 5
der genannten Verordnung freigegeben.
 ---pagebreak---   COMMISSION OF THE EUROPEAN COMMUNITIES
                                                       COM(74)1479 final
                                                       Brussels , 19 September 1974
                              Recommandation
                                    for a
                            Council   Decision
 on the conclusion of an agreement "between the European Economic Community
             and the United Nations Relief and Works Agency
      for Palestine Refugees on the supply of cereals as food aid
              ( submitted to the Council by the Commission)
COM(74) 1479 final
 ---pagebreak---   Tiili COU;: CIL OP 5.ÏIE EUROPEATT CO^UIJITIES .
  Having regard to the Treaty establishing; "the European Economic
  Community , in particular Articles 1 1 3 f 1M            228 thereof ;
 Having regard to the Recommendation of the Commission ;
 Whereas the European Economio Community has concluded the second Convention
 relating to food aid^"^
 Mi era as the United Nations Relief and Works Agency for Palestine
 Refugees in the Hear East has me.de known its requirements in cereal
 products for the refugees and whereas that Agency should accordingly
 be supplied with a quantity of food equivalent to lo 254 "tonnes
 of cereals in the form of 10 764 tonnes               0 f flour of soft wheat .
IIAS MÏCI3BD :                                     • '
                                      Article 1
                                      *
  On behalf of the European Economic Community , an agreement , the te::t
  of which is annexed to this decision , shall be concluded betv:een the
  European Economic Community and the United ITations Relief and Works
  Agency for Palestine refugees on the supply of cereals as food aid .
                                      Article 2
  The President of the Council is hereby authorised to designate the
  persons empowered to sign the agreement and to confer on them "the
  powers required in order to bind the Community .          «
                                                 Done at Brussels , •
                                                 For the Council
                                                 The President
 ^O.J. L 219 of 9 .8.I974, p. 19
 ---pagebreak---                               ACREEÊiENT
           BliWlEN TilE EUKOPFAH ECONOMIC COIHiUlTITY
                               A1JD THE
UIJITTJI) 1TATI01IS RELIEF A13D WORKS AGENCY FOR PALES THIS REFUGItfS
               ON Tiffl SUPPLY OF CEREALS AS FOOD AID
 ---pagebreak---  Tirs COIUCIL ov AIRN EUROPFAIT COMIUIRMES ,
                                                        on the one h and .
THE UNITED NATIONS RELIEF AND WORKS AGENCY FOR PALESTINE REFUGEES ,
IIEREIrtAFTiiiR CALLED UiJRWA , .                       on ihc other hrJid ,
HAVE DECIDED "to conclude this Agreement end to this end have designated
as their plenipotentiaries :
THE COUNCIL OP TH3 MJR0PEA1T COIMflTISS :    ;
KIE COVERllIIFSJT OP THE
WHO HAVE AGREED AS FOLLOWS :
 ---pagebreak---                                 auticlf; i
Under its c-creal food aid programme for 197 3/ 74 , the European Economic
 Concnuni ty shall supply a consignment of 16.254 metric tons of cereals
in the form of. 10.764 tonnes of flour of soft wheat as a gift to UKKV.'A
hereinafter called 'The recipient ".
                                ARTICLE II
Deliveries shall "be made cif to Lebanese ports of unloading or cif to
Israeli ports of unloading in new jute . sacks of a net capacity of
50 kilograms ."                                                   •     .
                                ARTICLE III
The obligations and responsibilities of the European Economic Community
and of the recipient , in particular as regards delivery and acceptance
are defined in the Annex , which forms an integral part of this Agreerne
                                ARTICLE IV
The recipient undertakes to make all the necessary arrangements for th
transport and insurance of the products supplied,' from the ports of
unloading to the places of destination .
                                ARTICLE V
The recipient undertakes to distribute free of charge the products
received as aid to the Palestinian refugees for consumption .
                                ARTICLE VI
Ufte recipient undertakes to inforra the European Economic Corimunity of
the circumstances surrounding the implementation of this Agreement .
For this purpose it shall communicate to the Commission of the
European Communities the following information :
 ---pagebreak--- b'very three months until the deliveries received have been exhausted ,
a report on their distribution shoeing the number of beneficiaries ,
the quantities distributed , the localities , rate and manner of
distribution .
        /
                             ARTICLE VII
At the recruest of either Party , the Contracting Parties shall consult
each other on all matters relating to the application of this Agreement .
                             ARTICLE VIII
This Agreement is 'drawn up in two copies in the Danish , Dutch , English ,
French , German and Italian languages , these texts being equally authentic .
 ---pagebreak---           Aïîrosx )»:niîP5D TO IJÎ ARTICÏ>3S III OP 'rtilS AOrœEUT
                                  Article 1
Delivery shall Tc completed and the rinks shall pass from the
European Economic Community to the recipient at the time when the
goods are landed on the quay or , where applicable , when they are
transferred to a floating grain silo , or to a barge , if this last
method is employed .
The recipient shall bear' all costs incurred after delivery , including
the costs of toJking delivery of the goods .                              .
Any demurrage at the port of unloading for delays for which the
recipient is responsible shall be met by it .          The rates and methods
of collection as defined in the contract between the Community 's agent
referred to in Article 5 and the transport "agent must have been
previously agreed upon between the Community 's agent and the recipient 's
receiving agent referred to in Article 5 «                             ... ■
                                  Article 2
As soon as possible after the goods have been loaded on board , the
European Economic Community shall notify the recipient of the name of
the ship , the loading date , the quantity and quality of the goods as
established at the time of loading , the port of unloading and the daily
unloading rate in that port .
                                  Article 3
The European Economic Community shall inform the recipient of the
expected date of arrival of the ship at the port of unloading at least
ten clear days before that date .
The European Economic Community snail procure the insertion in the
charter party of a clause whereby the ship 's master shall ir.form the
recipient of the probable date of arrival at the port at least
seventy two hours in advance .
 ---pagebreak---                               Article 4
Upoiv delivery n margin of up to - 57J below the quantity laid down in
Article. I of the Agreement shall' be tolerated .
                              Article 5
The European Economic Community shall appoint an a^cnt to implement
the provisions of this Anne>: and shall in good time forward the
latter' s name and address to the recipient .
The recipient shall appoint a receiving agent in each port of
unloading and shall forward the latter' s name and address to the
European Economic Community prior to the implementation of the
Agreement .
                              Article 6
Upon delivery of the goods , the recipient country shall hand to the
agent of the EEC a certificate of acceptance stating the port of shipment ,
date of acceptance , the nature and quantity of the goods accepted and
including any comments on the quality of the goods and send a copy thereof
to the Commission of the European Communities .


RECOMMENDATION FOR A COUNCIL DECISION ON THE ACCESSION OF THE COMMUNITY TO THE CUSTOMS CONVENTION ON CONTAINERS, 1972


RECOMMENDATION FOR A COUNCIL DECISION CONCERNING THE NEGOCIATION BY THE EUROPEAN ECONOMIC COMMUNITY OF ITS ACCESSION TO THE CONVENTION FOR THE PREVENTION OF MARINE POLLUTION BY DUMPING FROM SHIPS AND AIRCRAFT, SIGNED AT OSLO ON 15 FEBRUARY 1972


title: RECOMMENDATION FOR A DECISION BY THE COUNCIL AND THE REPRESENTATIVES OP THE GOVERNMENTS OF THE MEMBER STATES MEETING WITHIN THE COUNCIL ON OPENING NEGOTIATIONS WITH THE AAMS AND THE COUNTRIES LISTED IN ANNEX VI TO THE ACT OF ACCESSION (submitted to the Council by the Commission)

text:
ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (73) 957
Vol. 1973/0179
 ---pagebreak--- Disclaimer
Conformément au règlement (CEE, Euratom) n° 354/83 du Conseil du 1er février 1983
concernant l'ouverture au public des archives historiques de la Communauté économique
européenne et de la Communauté européenne de l'énergie atomique (JO L 43 du 15.2.1983,
p. 1), tel que modifié par le règlement (CE, Euratom) n° 1700/2003 du 22 septembre 2003
(JO L 243 du 27.9.2003, p. 1), ce dossier est ouvert au public. Le cas échéant, les documents
classifiés présents dans ce dossier ont été déclassifiés conformément à l'article 5 dudit
règlement.
In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983
concerning the opening to the public of the historical archives of the European Economic
Community and the European Atomic Energy Community (OJ L 43, 15.2.1983, p. 1), as
amended by Regulation (EC, Euratom) No 1700/2003 of 22 September 2003 (OJ L 243,
27.9.2003, p. 1), this file is open to the public. Where necessary, classified documents in this
file have been declassified in conformity with Article 5 of the aforementioned regulation.
In Übereinstimmung mit der Verordnung (EWG, Euratom) Nr. 354/83 des Rates vom 1.
Februar 1983 über die Freigabe der historischen Archive der Europäischen
Wirtschaftsgemeinschaft und der Europäischen Atomgemeinschaft (ABI. L 43 vom 15.2.1983,
S. 1), geändert durch die Verordnung (EG, Euratom) Nr. 1700/2003 vom 22. September 2003
(ABI. L 243 vom 27.9.2003, S. 1), ist diese Datei der Öffentlichkeit zugänglich. Soweit
erforderlich, wurden die Verschlusssachen in dieser Datei in Übereinstimmung mit Artikel 5
der genannten Verordnung freigegeben.
 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                                         COM(73)957 final
                                                         Brussels . 14 June 1973
                       RECOMMENDATION FOP 'A DECISION
        BY THE COUNCIL AND THE REPRESENTATIVES OP THE GOVERNMENTS
        OP THE MEMBER STATES MEETING WITHIN THE COUNCIL ON OPENING
          NEGOTIATIONS WITH THE AAMS AND THE COUNTRIES LISTED
                   IN ANNEX VI TO THE ACT OP ACCESSION
                ( submitted to the Council by the Commission)
COM(73 ) 957 final
 ---pagebreak---                                                        VIIl/6 27/7 3-E
                       REG OMMENDATI ON FOR A DECISION
 BY THE COUNCIL AND THE REPRESENTATIVES OP THE GOVERNMENTS OF THE MEMBER
 STATES MEETING WITHIN THE COUNCIL ON OPENING NEGOTIATIONS WITH THE AAMS
       AND THE COUNTRIES LISTED IN ANNEX VI TO THE ACT OF ACCESSION
THE COUNCIL OF THE EUROPEAN COMMUNITIES AND THE REPRESENTATIVES OF THE
GOVERNMENTS OF THE MEMBER STATES MEETING WITHIN THE COUNCIL ,      ■
Having regard to the Treaty establishing the European Economic Community ,
and in particular Article 238 thereof ;
Having regard to the recommendation of the Commission ;
Whereas , ,in view of the provisions of Article 62 of the Convention of
Association signed at Yaounde on 29 July 1969^\ of Article 36 of the
Agreement of Association signed at Arusha on 24 September 1969 ^^ and of
Protocol No 22 of the Act relating to the conditions of Accession and
                              (2
Adjustments to the Treaties      , negotiations should be opened with the
countries concerned ;
Whereas although the said Protocol No 22 lays down three formulas whereby
the countries listed in Annex VI of the Act of Accession may arrange their
relations with the Community , negotiations should , however , be opened with
a view to concluding one or , possibly , several conventions setting out as
fully as possible the association relations ;
DECIDES AS FOLLOWS :
^ 'OJ No L 282, 23 December 197O.
^OJ Special Edition, 27 March 1972.
 ---pagebreak---                                    - 2 -                  VIII/627/73-E
                                 Article 1
The Commission is hereby authorized to open negotiations with the Associated
African and Malagasy States and the States listed in Annex VI of the Act of
Accession .
                                 Article 2
The aim of these negotiations will "be to establish the most complete
association possible between the abovementioned countries and the Community
as from 1 February 1975 *
   ,                             Article 3
The Commission shall conduct these negotiations m consultation with the
representatives of the Member States within the framework of the directives
appearing in the annex hereto and subject to any subsequent directives .
 ---pagebreak---                                                           VIIl/627/73-E
                                                          AMEX
          ' '                   DIRECTIVES ^
  1.    Trade .
        1.1   Tariff and quota arrangements
              1.1.1 Concerning the Community
 The tariff system to be applied to Community imports from the Associated
 States will "be exemption from customs duties and taxes having equivalent
 effect , these arrangements to apply as from the time the Convention of
 Association enters into force .    The same arrangements will he applied in
 relation to quantitative restrictions and measures having equivalent effect .
 As regards the products on the list in Annex II to the EEC Treaty and
 covered by a common market organization and of products subject , on import
 into the Community , to specific rules and regulations as a consequence of
 the implementation of the common agricultural policy , these will benefit
 from special arrangements which will be more favourable than those applying
to non-member countries and will be worked out product by product while the
Convention remains in force .
The problems relating to excise duties on tropical products as well as those
connected with the protection of designations of origin of food products of
interest to the Associated States will also have to be examined .
              1.1.2 Concerning the Associated States
Each State will , as a general rule, be required , during implementation of
the Convention , to retain or gradually introduce tariff exemption and abolish
quantitative restrictions and charges of equivalent effect on imports from
the Community . However , each Associated State will be allowed to retain or
introduce customs duties and taxes having equivalent effect provided they
correspond with the needs of its development or are intended to contribute
to its budget .
The Associated States will be required to undertake not to discriminate
between Member States and to apply the most-favoured-nation clause to the
Community , except in their relations with other developing countries .
                                                                           ./•
^ 'These directives concern a model of association which shall be as complete
     as possible taking into account both the provisions of Article 62 of the •
     Yaounde Convention with a view to the renewal of the latter , and the
     provisions of Protocol 22 . If negotiations for agreements on other bases
     were requested of the Community , these would have to be the subject of
     appropriate directives .
 ---pagebreak---                                                              VIIl/6 27/ 73-3
                                      – 2–                   Α "Η "Χ
 Finally , the Community will moke clear during tne negotiations that it is
 not asking its partners for the benefit of any form of preferential treatment ,  -
 since the commercial autonomy of the parties implied in the free-trade system
 allows any associated country which so desires to extend to non-member
 countries the treatment granted      the Community .
       1.2  Stabilization of export earnings
For certain commodities the negotiations will aim at setting up machinery for
 stabilizing the earnings which those countries mentioned in Protocol No 22 derive
from exports to the Community of commodities on which their economy depends to
a considerable extent and which are subject to wide fluctuations due to price
or quantity variations .
Stabilization would be achieved by transferring an amount of funds equal to
the difference between a reference value for exports to the Community and
the real value of these export earnings calculated annually ; as a general
rule such transfers will consist of refundable credits .
The use of the transfers will be governed on a contractual basis so that
they do not contribute to rendering the structure of production too inflexible .
The ways in which this machinery will be applied will be negotiated on the
basis of individual products between the Commission and the countries
concerned ; special additional details, including the quantitative aspects of
the problem, would have to be specified for sugar .
                                             1
2.     Financial and technical   cooperation
       2.1  The general scheme for interventions in the setting of financial
and technical cooperation    to aid the economic and social development of the
associated countries will be drawn up by the responsible authorities in the
Associated States .   These interventions – programmed by mutual agreement - will be
carried out within the framework of a permanent dialogue between the
Associated States and the Community .
    The Council has not yet stated its attitude to the proposals put forward
    by the Commission on the inclusion of the SDF in its budget and its
    financing by the Community ? s own resources . A positive decision will
    necessitate discussion of this matter with, the Community 's partners , so
    that it's implications in the field of financial and technical cooperation
    may be examined .
 ---pagebreak---                                                             VIIl/627/73-E
                                        - 3 -               AMHDC
         2.2   Cooperation will concern the financing of projects and programmes
 submitted by the Associated States or "by regional or interstate bodies to
which Associated States belong within the setting of development plans and
 consisting of :
         (i ) Investments in the fields of rural development , industrialization
              and economic and social infrastructure ;
      ( ii ) Technical cooperation activities , particularly as regards training;
    ( iii )   Information and industrial promotion activities ;
      ( iv) Marketing and sales promotion activities ;
        (v)   Specific activities to benefit small–scale local undertakings and
              limited primary development activities , especially in rural areas ;
      (vi ) Exceptional aids to Associated States "which have suffered as a
              result of natural disasters seriously affecting their economic
              potential .
These methods of intervention will , as far as necessary , be applied
jointly in the context of integrated projects and programmes .
        2.3   In the implementation of this cooperation special attention will
be paid to :
        ( i ) The exigencies of regional cooperation among the Associated States
              and between them and their neighbours ;
      ( ii )  The special needs of the least developed Associated States ;
    ( iii )   The seriousness of employment problems in the countries concerned .
Special importance will be attached to the need to train personnel and cadres
of the associated countries in order to increase the latter 's own administrative
and development potential .
 ---pagebreak---                                                               VIII/627/73-E
                                         – A –                AMEX
         2.4   The 'beneficiaries of such cooperation may include :
         (i ) The Associated States ;
       ( ii ) The economic development todies in.these countries , especially
               development hanks ;
     ( iii ) The regional or interstate bodies to which Associated States belong;
       ( iv) Producer groupings ;
         (v) Industrial and commercial undertakings , in accordance with the
               particular conditions to he specified .
         2.5   The preparation and implementation of these projects will be the
responsibility of the Associated States .       Particular attention will be given
to :
         ( i ) Proper progress and speed in the elaboration and implementation of
               the projects ;
       ( ii )  Suitability of the technical assistance supplied .
         2.6   The projects and programmes will be implemented in whatever way is
 economically the most advantageous and ensures equality of conditions of
competition among all natural and legal persons in the Member States and
Associated States .      However , a price preference will be given to suppliers
in the associated countries .
         2.7   The projects and programmes financed within the framework of this
cooperation must be viable in their own right or their operation and
maintenance must be guaranteed by the Associated States or recipient
bodies . However , in certain cases to be specified , programmes prolonging
cooperation may be initiated so as to ensure that full use is made of the
investments carried out , provided these are of special importance
for economic and social development and temporarily impose an excessive
burden on the State .
        2.8 The financing terms of the projects will be adapted to the economic
situations in the various associated countries , account . also being taken of
the nature of the projects and programmes financed .                             ,
Cooperation will be financed by the European Development Fund mainly by
grants , the remainder being financed out of loans on special terms , contributions
to the formation of risk capital , or by ordinary loans from the European
Investment Bank f s own assets , possibly accompanied by interest subsidies .
                                                                            ./•
 ---pagebreak---                                                                                1
                                                             VIIl/6 27/73-E
                                      - 5 -     " –          AMEX
     2.9 The amount of funds to "be made available for financial and technical
cooperation will be determined during the negotiations .
It will be fixed in such ^a way as
     (i)   at least to maintain - in real terms – whatever advantages have
           already accrued to the African and Malagasy countries already
           associated ;
   ( ii ) to ensure similar treatment for all countries whether earlier or
           only recently associated .
3.     Cooperation in other areas
       3*1    Rules on establishment and supply of services
The rules on establishment and supply of services will be aimed at seeing
that the following principles are applied by the Associated States :
     ( i ) Hbn-discrimination in the system applied both among
           nationals and among firms of the Mdnber States ;
   ( ii ) Most-favoured-nation treatment .
 These principles could be accompanied by a reciprocity clause .
       3.2    Rules and regulations concerning external payments and capital
            ■ movements
Provisions should :                       ■
     (i)   Include an undertaking by the parties to authorize payments which
           are the corollary either of the free movement of goods provided for
           by the Association or of the provisions relating to financial and
           technical cooperation ;
 ---pagebreak---                                                                VIIl/6 27/7 3-E
                                        ;
                                          - 6 -                AMEX
         (ii ) Ensure non-discriminatory treatment "between Member States as
               regards their investments and capital movements and the current
               payments associated therewith ;
       ( iii ) Guarantee mo st-favour ed-nat ion treatment for Member States (with
               an exception in favour of regional cooperation).
   4.     The Institutions
   In view of its contractual nature , the Association requires Institutions
   whose members are on an equal footing.
   The composition, powers and operation of these Institutions will be determined
   in the light of how the negotiations proceed and of experience acquired –
_ particularly as regards the Association Council and Committee and the
   Parliamentary Conference and Committee of the Association - so that they may
   be adapted to the administrative and guidance requirements of an enlarged
   and renewed Association .                     .     .
   5.     General and final provisions
   The term of validity of the Association should be fixed at five years . ■
 , The form of Association corresponding to these directives will , in principle ,
   have to be governed by a convention between all the parties concerned .
   However , the possibility remains open that , in this Association framework , •
   several conventions may be concluded to meet the particular situations of
   certain groups of countries concerned .


RECOMMENDATION FOR A COUNCIL DECISION ON THE CONCLUSION OF THE AGREEMENT ON CERTAIN HORTICULTURAL PRODUCTS BETWEEN THE EUROPEAN ECONOMIC COMMUNITY AND FINLAND NEGOTIATED UNDER ARTICLE 28 OF THE GATT


Avis juridique important

|

52004SC1067

Recommendation for a Council Decision authorising the Commission to negotiate the conditions for Community accession to the United Nations Economic Commission for Europe (UN-ECE) Agreement concerning the Adoption of Uniform Conditions for Periodical Technical Inspections of Wheeled Vehicles and the Reciprocal Recognition of Such Inspections (Done at Vienna on 13 November 1997) {SEC(2004)1056}  /* SEC/2004/1067 final */

Recommendation for a COUNCIL DECISION authorising the Commission to negotiate the conditions for Community accession to the United Nations Economic Commission for Europe (UN-ECE) Agreement concerning the Adoption of Uniform Conditions for Periodical Technical Inspections of Wheeled Vehicles and the Reciprocal Recognition of Such Inspections (Done at Vienna on 13 November 1997) {SEC(2004)1056}(presented by the Commission)1. Background The UN-ECE 1958 Agreement on the technical requirements of wheeled vehicles, to which the Community acceded on 24 March 1998, was designed to develop uniform technical prescriptions for the construction and type-approval of new vehicles. The UN-ECE 1997 Vehicle Inspection Agreement objective is to establish Rules for periodical technical inspections of wheeled vehicles registered or taken into service in the territory of the Agreement's Contracting Parties. The Vehicle Inspection Agreement areas of competence are all the subject of Community action. They fall within the scope of Council Directive 96/96/EC on the approximation of the laws of the Member States relating to roadworthiness tests for motor vehicles and their trailers, as amended by Directive 2001/11/EC (testing of commercial vehicles speed limitation device) and Directive 2003/27/EC (testing of exhaust emissions from motor vehicles). These directives specify minimum requirements and some Member States go beyond these. Seven States have so far acceded to the Vehicle Inspection Agreement: Estonia, the Netherlands, Finland, Hungary, Romania, the Russian Federation and Bulgaria. Article 4 of the 1997 agreement provides that accession to the Vehicle Inspection Agreement is open to Regional Economic Integration Organisations, to which its Member States have transferred powers in the fields covered by the Agreement, including the power to make binding decisions on their Member States, an explicit reference to the Community. All other things being equal, accession of the EU to the Vehicle Inspection Agreement will give the Community 25 votes out of a total of 28. 2. Exercise of powers in the domain of vehicle inspection for roadworthiness The 1997 Vehicle Inspection Agreement falls within the remit of UN-ECE Working Party 29, a subsidiary body of the UN-ECE Inland Transport Committee, which is also in charge of managing the 1958 Agreement on the Construction of Vehicles. 3. Negotiation Some clauses of the Vehicle Inspection Agreement need adaptation or clarification in order to comply with European legislation. Most importantly two aspects need to be adapted or clarified: Article 1 and Article 12 should be amended in order to clarify the concept of reciprocal recognition of roadworthiness certification so as to limit its scope to providing free movement to vehicles across the EU territory. The Vehicle Inspection Agreement should not enable a vehicle to be granted a roadworthiness certificate other than in the Contracting Party where it is registered unless there is a bilateral agreement between the Contracting Parties where the vehicle is registered and where it is tested. There are also detailed technical points in the Agreement's Rule No. 1 that would need to be changed, i.e. deletion of the test requirements concerning air conditioning and refrigeration systems, at least until such time that acceptable testing methods can be developed and approved.In fact some of the modifications required to make the Vehicle Inspection Agreement fully compliant with the European legislation are already in the process of being implemented. During the negotiations and at the accession, the Commission will declare that it will not apply the clauses of the Agreement which are not fully compliant with the European legislation (see negotiating directives in Annex). Where necessary, minor modifications can be done after the Community's accession to the Agreement. The votes the Community will command within WP.29 will put it in a position to strongly influence the future developments. It is essential that the Community accedes to the Vehicle Inspection Agreement in order to ensure coherence from a Community perspective between roadworthiness testing standards and type approval, both within the remit of UN-ECE WP.29. In light of the above, the Commission recommends to the Council that it authorises the Commission:- to negotiate an agreement for the Community's accession to the Vehicle Inspection Agreement as soon as possible;- to conduct the negotiations in consultation with a special advisory committee designated by the Council, in conformity with the negotiating directives in the annex.ANNEX  Negotiating directives1. The objective of the negotiations is to enable the European Community to accede to the UN-ECE Vehicle Inspection Agreement as soon as possible. 2. During the negotiations, the Commission must in particular: - ensure that, in areas where competence lies with the Community, the Community will vote with the number of votes of its Member States being members of the Economic Commission for Europe, in application of Article 4(1) of the Vehicle Inspection Agreement; - declare in accordance with Article 2(4) of the Vehicle Inspection Agreement that the Community will not apply - the provision of Article 1 relative to the reciprocal recognition (the term used in Community law is mutual recognition) of the inspections carried out by its Member States; - Article 12 of the Vehicle Inspection Agreement on the bilateral agreement as a prior condition to technical inspections carried out by technical inspection bodies on behalf of an other Member State; and - Rule No. 1 on the uniform proc-visions for periodical technical inspections of wheeled vehicles with regard to the protection of the environment;as long as they are not fully compliant with the Community legislation.- stipulate that the Community reserves the right to declare at any time, in conformity with Article 2(2) of the Vehicle Inspection Agreement, that it will not apply (a) certain Rule(s) annexed to this Agreement; - declare that it does not consider itself bound by Article (8) of the Vehicle Inspection Agreement relative to the arbitration of disputes between two or more Contracting Parties.


Important legal notice

|

52007SC0620

Recommendation for a Council Decision abrogating Decision 2004/917/EC on the existence of an excessive deficit in Greece  /* SEC/2007/0620 final */

	[pic] | COMMISSION OF THE EUROPEAN COMMUNITIES |Brussels, 16.5.2007SEC(2007) 620 finalRecommendation for aCOUNCIL DECISIONabrogating Decision 2004/917/EC on the existence of an excessive deficit in Greece(presented by the Commission)EXPLANATORY MEMORANDUM1. BACKGROUNDArticle 104 of the Treaty establishes that Member States should avoid excessive deficits and lays down a procedure for their identification and correction. The excessive deficit procedure (EDP) is further specified in Council Regulation (EC) No 1467/97 on “speeding up and clarifying the implementation of the excessive deficit procedure”[1], which is part of the Stability and Growth Pact. According to Article 104(2) of the Treaty, the Commission has to monitor compliance with budgetary discipline on the basis of two criteria, namely: (a) whether the planned or actual government deficit exceeds the reference value of 3% of GDP (unless either the deficit ratio has declined substantially and continuously and reached a level that comes close to the reference value; or, alternatively, the excess over the reference value is only exceptional and temporary and the ratio remains close to the reference value); and (b) whether government debt exceeds the reference value of 60% of GDP (unless the debt ratio is sufficiently diminishing and approaching the reference value at a satisfactory pace).In accordance with the Protocol on the excessive deficit procedure annexed to the Treaty, the Commission provides the data for the implementation of the EDP. As part of the application of this Protocol, Member States have to notify data on government deficits and debt and other associated variables twice a year, namely before 1 April and before 1 October, in accordance with Article 4 of Council Regulation (EC) No 3605/93[2],[3].On 19 May 2004, the Commission initiated the EDP for Greece with the adoption of a report under Article 104(3), based on a general government deficit of 3.2% of GDP and government debt of 103% of GDP in 2003[4]. On 5 July 2004, the Council decided, on a recommendation from the Commission, that Greece was in excessive deficit according to Article 104(6)[5]. At the same time, and also based on a Commission recommendation, the Council addressed recommendations[6] under Article 104(7) to Greece with a view to bringing the situation of an excessive government deficit to an end, by 2005 at the latest. On 18 January 2005, the Council decided according to Article 104(8) and on the basis of a Commission recommendation that no effective action had been taken in response to the recommendation addressed under Article 104(7) within the specified period[7]. On 17 February 2005, the Council decided, on a recommendation from the Commission in accordance with Article 104(9)[8], to give notice to Greece to take measures for the deficit reduction judged necessary to bring the situation of an excessive government deficit to an end and extended the deadline for the correction, by one year, to 2006.In its decision under Article 104(9), the Council decided that ‘Greece shall put an end to the present excessive deficit situation as rapidly as possible and at the latest by 2006, through: (i) a rigorous implementation of the 2005 budget as approved by its Parliament, and (ii) implementing the 2006 adjustment measures of a permanent nature leading to a correction in the deficit of at least 0.6 percentage point of GDP’. The Council also required Greece to further pursue the efforts to ‘identify and control factors other than net borrowing, which contribute to the change in debt levels, with a view to ensuring that the government gross debt ratio diminishes sufficiently and approaches the reference value at a satisfactory pace in line with the correction of the excessive deficit’ and ‘to improve the collection and processing of general government data’ . The Council required Greece to submit by the deadline of 21 March 2005 a report outlining the decision taken to respect its recommendations and further regular progress reports thereafter.In addition, the Council urged ‘Greece to take the necessary measures to ensure that budgetary consolidation towards the medium term position of government finances close to balance or in surplus is sustained through a reduction in the cyclically-adjusted deficit by at least 0.5% of GDP per year after the excessive deficit has been corrected’ .Table 1: Adjustment endorsed by the Council on 17 February 2005% of GDP, unless indicated otherwise | 2004 | 2005 | 2006 |General government balance change in cyclically-adjusted balance change in structural balance Government gross debt p.m.: Real GDP growth (%) | -5.5 ca. 112 3.8 | -3.6 +1.7 ca. 112 3.3 | deficit <3 +0.6 at least ca. 110 3.3 |Note : Structural balance = cyclically-adjusted balance excluding one-off and other temporary measures.Source : Council notice under Article 104(9) to Greece, quoting the Commission services’ autumn 2004 forecast.On 6 April 2005, on the basis of the revised update of the Greek stability programme of March 2005 together with the Greek authorities' public commitment of 29 March to reach a deficit below 3% of GDP in the 2006 draft budget, which were considered as the implementation report required in the Council Decision, the Commission adopted a Communication to the Council[9], concluding that the decisions taken until then by Greece was consistent with the Council Decision and that no further steps under the EDP were necessary at that stage. In its meeting of 12 April 2005, the Council concurred with this assessment.According to Article 104(12), a Council Decision on the existence of an excessive deficit is to be abrogated, on the basis of a Commission Recommendation, when the excessive deficit in the Member State concerned has, in the view of the Council, been corrected.2. RECENT DEFICIT DEVELOPMENTSBased on actual data provided by the Commission (Eurostat) following the reporting by Greece in April 2007 in accordance with Council Regulation (EC) No 3605/93[10] and on the Commission services’ spring 2007 forecast, the nominal general government deficit in 2006 was 2.6% of GDP[11]. The deficit figure includes 0.6% of GDP temporary revenues, namely payments and deferred payments by banks in exchange of the assumption by social security of pension commitments. This outcome is in line with the Council Decision under Article 104(9) regarding the reduction of the nominal deficit below the 3% reference value by 2006 and is identical to the target in the December 2005 update of the Greek stability programme.The main measures implemented in 2006 were, on the revenue side, fighting against tax evasion, a reform in property taxation and a rise in excise taxes on fuel and tobacco. A number of additional revenue enhancing measures have also been implemented during the second half of the year in order to safeguard the execution of 2006 budget, namely: an increase in the rate of income tax pre-payment for enterprises and banks, further increases of the excise tax on fuel and tobacco and an increase in the tax duty imposed on mobile connection bills. On the expenditure side, the main measures were a restraining of both the wage bill and operational expenditures, a new framework for Public Enterprises and Entities (DEKO) aiming to rationalise public spending and increase the efficiency of resource allocation, and a new legislation regarding Public Private Partnership which facilitated investment in small as well as large scale infrastructure projects without putting pressure on the Budget. The 0.4% of GDP temporary revenues initially budgeted were considered as deficit reducing. However, they turned out to be inconsistent with ESA95 and were not considered in deficit data reported in April 2007 by Eurostat. This should have increased the deficit outcome by the same amount. However, lower temporary revenues have been fully compensated by an upward revision of swaps[12],[13].Revenues and expenditure contributed to the nominal adjustment of almost 3 percentage points of GDP compared to the 2005 deficit of 5½% in almost equal shares. Expressed in terms of the GDP, total revenues increased by 1½ percentage points, with indirect taxes accounting for ½% of GDP. The remaining 1 percentage point is accounted for increases in social contributions and other revenues, including capital transfers (EU transfers). Total expenditure was reduced by 1¼ percentage points of GDP, mainly driven by reductions in primary expenditure (by ½% of GDP) and in interest expenditure (¼% of GDP). Capital expenditures were also reduced by around ½ percentage point of GDP. The structural balance (i.e. the cyclically-adjusted-balance net of one-offs and other temporary measures) improved by 2¼ percentage points of GDP, in line with the Council Decision.Overall, the 2006 deficit is 3½ percentage points of GDP lower than in 2003, the year that was the basis for opening the EDP, and 5¼ percentage points of GDP lower than in 2004, the year in which the deficit reached a peak of 7.9% of GDP. The corresponding improvements in the primary balance were 2¾ and almost 4½ percentage points of GDP respectively. In spite of the fiscal adjustment over this period, real GDP growth was robust. Measured by the estimated change in the structural balance, the improvement in the government balance implied a fiscal effort of 4½ percentage points of GDP between 2004 and 2006. Excluding the impact of the declining interest burden, the fiscal effort falls to 3¾ percentage points of GDP. These figures are well above the adjustment recommended in the Council Decision under Article 104(9), which is warranted in view of the upward revision of the deficit series since the Council decision was adopted.Deficit ratios are usually revised – upwards or downwards – after the publication of the first outcome in the spring notification. For the EU Member States as a whole, revisions are normal, usually relatively small and on average insignificantly different from zero. In the case of Greece, the sizeable revisions in government accounts since 2004 (see box), which were made following reservations expressed by Eurostat on data reported, were the outcome of measures taken to improve the collection and processing of government finance statistics, as required by the Council Recommendation of 5 July 2004 and the Decision of 17 February 2005. Those measures led Eurostat to validate the Greek government deficit and debt figures reported in October 2006 and April 2007. Although one cannot exclude future revisions in the Greek government deficit, given the distance between the currently reported deficit and the deficit reference value, there is a relatively low probability that any future revision of government accounts raises the 2006 deficit ratio in excess of 3% of GDP. Such a probability will be even lower, in case the revised GDP series reported by Greece in October 2006 and April 2007 are validated by Eurostat later in the year.3. DEFICIT PROJECTIONS FOR 2007 AND BEYONDAccording to the Commission services’ spring 2007 forecast, the general government deficit for 2007 is projected to be 2.4% of GDP[14] with real GDP growing at 3¾%. This includes additional expenditure-saving measures of a permanent nature amounting to about ¼% of GDP as well as additional one-off revenues of the same amount, both as announced by the Minister of Finance by the cut-off date of the Commission services spring 2007 forecast[15]. According to the December 2006 update of the stability programme of Greece, the official deficit objective for 2007 was also 2.4% of GDP. However, this official deficit did not include the above mentioned measures. In total, one-off revenues included in the spring forecast for 2007 amount to about ½% of GDP, compared to none in the stability programme. Without one-offs, the 2007 deficit according to the spring forecast would still be below the reference value, at 2.9% of GDP. In 2008, using a no-policy change scenario, the deficit would slightly increase to 2¾% of GDP, but without any further recourse to one-offs. The deficit projections point to a credible and sustainable correction of the excessive deficit.In spite of the additional permanent and one-off measures announced in April, the spring forecast deficit projection for 2007 is identical to, rather than better than, the stability programme target. In particular, the impact of these new measures is projected to be offset by (i) more cautious growth assumptions in the spring forecast and (ii) the fact that the permanent measures in the stability programme are, in the view of the Commission, insufficient to fully compensate for the decline in one-off revenues from 0.6% of GDP in 2006 to (excluding the ones announced in April) ½% in 2007.The main measures foreseen in the 2007 budget are, on the revenue side, a reform in personal income taxation and a further rise in excise taxes on fuel in 2007, while the authorities remain committed to intensify their fight against tax evasion. On the expenditure side, the annual growth of primary expenditures is projected to fall short of that of nominal GDP and, along with a further reduction in interest costs, should lead to a decline in total expenditures as a percentage of GDP. The reduction will be facilitated by slower growth in the total public wage bill (approx. 25% of total primary expenditure), which according to the budget will not exceed 6%, as well as significant cutbacks in intermediate government expenditure (mainly administrative cost and procurement).The deficit projection for 2007 would represent a reduction in nominal terms of ¼ percentage point of GDP compared to 2006. This adjustment is expected to be almost fully attributed to the permanent measures announced by the cut-off date of the Commission services spring 2007 forecast. Total revenues are projected to decline by less than ¼ percentage point; higher indirect taxes would only partly compensate for reductions in revenues from takeovers of pension funds, and to a lesser extent, in direct tax revenues, which reflect the implemented personal income tax cuts. Total expenditures are projected to decrease by ½ percentage point of GDP, mainly driven by lower interest expenditure, public consumption and gross fixed capital formation. The structural improvement would be of around ¼% of GDP, and situate the structural deficit at around 3¾% in 2007.According to the Commission services’ spring 2007 forecast, the pace of adjustment in 2007 is below the 0.5% of GDP minimum improvement in structural terms specified in the Council decision under Article 104(9) for the period beyond the correction and not in line with the Stability and Growth Pact. In its opinion on the December 2006 update of the stability programme[16], the Council noted that the programme did not envisage to achieve the medium-term objective (MTO) for the budgetary position (for Greece, a balanced position in structural terms) within the programme period (ending in 2009)[17]. It added that, in the years following the correction of the excessive deficit, the pace of the adjustment towards the MTO implied by the programme should be strengthened, especially after 2007, to be in line with the Stability and Growth Pact.4. DEBT DEVELOPMENTS AND PROJECTIONSIn the period 2003-2006, developments in the gross debt ratio have not fully reflected the developments in the general government balance and the overall performance of the economy. In a context of strong nominal GDP growth (of more than 7½% per year on average, thus outpacing the EU average for a number of years), of falling interest expenditure and improving primary balances, the debt ratio has been reduced by only 3¾ percentage points between 2003 and 2006.Nominal GDP growth was the main driver of the debt reduction, which more than compensated the debt-increasing effect of interest expenditure. The combined effect of nominal GDP growth and interest expenditure ("snow-ball" effect) contributed to reduction in the debt by 8¾ percentage points of GDP. The primary balance contributed to an increase in the debt until 2005 (by 3 percentage points of GDP), while in 2006 and for the first time since 2003, it turned to a surplus that contributed to reduce the debt ratio by around 2 points.However, significant debt-increasing stock-flow adjustments (SFA) of around 4¼ percentage points in total between 2004 and 2006 hampered a faster pace of debt reduction, in spite of privatisation proceeds amounting to 1½% of GDP. Anyhow, the SFA in the last number of years has been much smaller than a few years ago. Moreover, there is now much more detailed information on each component of the SFA and smaller statistical discrepancies which contribute to increase the robustness of the reported data. In 2004, the debt-increasing stock-flow adjustment of 1% of GDP was mainly due to the accumulation of central government’s deposits in banks; in 2005 the debt issuance in excess of the deficit was mainly in relation to the settlement of healthcare expenditure in arrears. In 2006, the SFA of 2.3% of GDP stems notably from a further accumulation of deposits with banks (0.6% of GDP), the fact that a large part of revenue in relation to the above mentioned transfer of pension commitments to social security has not yet been cashed in (0.5% of GDP)[18], pending payments by the EU budget (0.6% of GDP), payments in relation to the purchase of military equipment that will add to the deficit upon delivery (0.4% of GDP), sales of equity (-1.4% of GDP), statistical discrepancies (0.6% of GDP), as well as a number of other minor variables[19].The December 2006 update of the stability programme of Greece targets a progressive and significant acceleration in the reduction of the debt-to-GDP ratio starting from 2006, by 12¾ percentage points until 2009. The combined effect of increasing primary surpluses (by 7¼ percentage points) and a debt-reducing "snow-ball" effect (of a similar amount, thanks to strong nominal GDP growth), would be the main driving forces. The update also projects a significant reduction of debt-increasing stock-flow adjustments, which would amount to 1¾ percentage points of GDP for 2007-2009. In its opinion on the programme, the Council noted that the evolution of the debt ratio after 2007 might be less favourable than projected in the programme given the favourable growth projections and the risks to the deficit targets. It added that the debt ratio nevertheless seemed to be sufficiently diminishing towards the reference value over the programme period.According to the Commission services' spring 2007 forecast, the pace of debt reduction would be slightly slower than in the stability programme, to reach around 97½% in 2008, on a no-policy change scenario. In view of these debt trends, the debt ratio seems to be sufficiently diminishing towards the reference value.5. CONSIDERATIONS ON THE STATISTICAL ROBUSTNESS OF GREEK DATAAccording to the Council Recommendation of 5 July 2004 and Decision of 17 February 2005, Greece should “improve the collection and processing of general government data”.The National Statistical Service of Greece (NSSG) took a number of measures to improve the quality of the deficit and debt data reported to the Commission. This included notably a new survey to collect data from social security, local government and central government bodies other than the State with a quarterly frequency in a timely manner; the previous survey was annual and results were often available after two to three years. Moreover results from the financial part of that survey were systematically compared with available data on banking statistics collected by the Bank of Greece. The NSSG also made a more detailed analysis of capital injections into public enterprises to correctly book them in the deficit or as financial transactions, in line with the Eurostat criteria. The recording of healthcare expenditure was shifted to accruals, rather than cash as previously. Military expenditure, transfers from the EU budget, taxes and intra-government transfers were also areas for which the NSSG changed its recording procedure in line with Eurostat suggestions. Moreover, several other technical recommendations by Eurostat - listed in the report of the methodological visits - were put in place by the Greek statistical authorities. These improvements led to a significant reduction in statistical discrepancies for years 2002-2005. As a result, on 23 October 2006, Eurostat withdrew its reservation on the quality of government deficit and debt figures reported by Greece and validated those figures. This validation was confirmed in April 2007. Although unexplained discrepancies still remain, they are considerably lower than in the past.Box: Revisions of the Greek fiscal accounts since 2004In September 2004, two months after the Council had decided that an excessive deficit existed in Greece, the Greek authorities presented in a new notification revised data which indicated that the government deficit had been in excess of 3% of GDP since 2000. In particular, the 2000-2003 deficits were revised upwards by more than two percentage points of GDP each year (see table). The debt figures were also revised upwards by more than 7 percentage points of GDP. The figures planned for 2004 implied an upwards revision of the deficit and debt figures by 2.3% and 14% of GDP respectively[20].This data revision was carried out on the basis of new information provided by the Greek authorities, at the request of Eurostat, for the period 2000-2003, and rested on a more faithful application of the ESA95 accounting framework. After scrutinising the reported data, Eurostat validated the new 2000-2003 figures on 23 September 2004[21].The notification of March 2005 further revised the data, especially the deficits for 2002-2003. The main reasons were (i) the fact that the healthcare expenditure pending of payment had not been properly booked when expenditure was incurred and (ii) the downward revisions of the social security surpluses by 0.1% in 2002 and 0.2% in 2003. The debt figures for the years 2002 and 2003 were also slightly revised downwards, mainly due to the reclassification of a mutual fund in the social security sector. Eurostat did not validate the data reported in March 2005, September 2005 and April 2006, in spite of successive revisions of reported deficit and debt data[22].From 29 May to 2 June and 27 to 29 September 2006, Eurostat carried out a methodological visit[23] to Greece. The visit led to an agreement between Eurostat and the Greek authorities, clarifying the pending issues mentioned in the Eurostat News Releases of 26 September 2005 and 24 April 2006, concerning the recording of transactions with the EU budget, the accounts of social security and the amounts of other receivables and payables for the years 2002-2005. On 29 September 2006, Eurostat agreed with the Greek authorities a reduction of surpluses of other central government bodies and social security funds (corrections for transfers received from the ordinary budget in 2002-2005, and change in data sources in 2005). The revisions amounted to ¾ percentage points of GDP in 2004 and 2005. In particular, the downward revision of social security surpluses represented around ¼% of GDP per year. As a result, deficit and debt data were further revised; Eurostat withdrew its reservations on the Greek government deficit and debt and validated the reported data[24].The notification of April 2007 further revised upwards the deficit in 2004 and especially 2005. The increase in 2004 was mainly due to new information on the time of recording of transfers with the EU budget in part compensated by an upward revision in tax receivables. The increase in 2005 was mainly due to a reduction of the surpluses of other central government bodies.[pic]6. CONCLUSIONSThe general government deficit decreased from a peak of 7.9% of GDP in 2004 to 2.6% in 2006, below the 3% of GDP reference value. The measures underlying the deficit reduction over this period are mainly of a permanent nature, although there was recourse to one-offs in 2006 amounting to 0.6% of GDP. The structural balance, i.e. the cyclically-adjusted balance net of one-off and other temporary measures, improved by 4½% of GDP in 2006 compared to 2004, more than recommended by the Council, which is warranted in view of the upward revision of the Greek deficit series since the Council adopted its recommendations. According to the Commission services’ spring 2007 forecast, the headline deficit is expected to narrow to 2.4% of GDP in 2007 (still including one-off measures of 0.5% of GDP, without which the deficit would nonetheless still be below 3%) and, on a no-policy change basis, slightly increase to 2.7% of GDP in 2008, but without recourse to one-off measures and entailing a further marginal improvement in the structural balance. This indicates that the deficit has been brought below the 3% of GDP ceiling in a credible and sustainable manner.General government gross debt declined from 108½% of GDP in 2004 to 104½% in 2006 and, according to the Commission services’ spring 2007 forecast, is expected to fall further to around 97½% of GDP by 2008 (on a no-policy change basis). The debt ratio can be considered as sufficiently diminishing towards the 60% of GDP reference value.The Greek statistical authorities improved their procedures, which led to a significant reduction in the statistical discrepancies and an overall higher quality of the data. As a result, Eurostat withdrew its reservations on the quality of the actual reported data.From an overall assessment, it follows that the excessive deficit situation in Greece has been corrected. Accordingly, the Commission recommends to the Council to abrogate its decision on the existence of an excessive deficit in Greece.Table 3: Budgetary developments, 2003-2008General government balance | -6.2 | -7.9 | -5.5 | -2.6 | -2.4 | -2.4 | -2.7 | -1.8 |- Total revenues | 43.0 | 42.1 | 41.6 | 43.2 | 43.0 | 43.2 | 42.5 | 43.6 |- Total expenditure | 49.5 | 49.8 | 47.3 | 46.1 | 45.5 | 45.6 | 45.3 | 45.4 |Of which : | - interest expenditure | 5.5 | 5.5 | 4.9 | 4.6 | 4.4 | 4.4 | 4.2 | 4.2 |- gross fixed capital formation | 4.0 | 4.2 | 3.5 | 3.6 | 3.5 | 3.5 | 3.5 | 3.5 |Primary balance | -0.7 | -2.4 | -0.6 | 2.0 | 2.0 | 2.0 | 1.5 | 2.4 |One-off and temporary measures | 0.0 | 0.0 | 0.0 | 0.6 | 0.5 | 0.0 | 0.0 | 0.0 |Structural balance(1) | -6.5 | -8.5 | -6.1 | -3.9 | -3.6 | -2.8 | -3.5 | -2.3 |Structural primary balance(1) | -1.0 | -3.0 | -1.2 | 0.7 | 0.8 | 1.6 | 0.7 | 1.9 |Government gross debt(4) | 107.8 | 108.5 | 107.5 | 104.6 | 100.9 | 100.1 | 97.6 | 95.9 |Change in debt ratio (a) = (b) + (c) + (d) | -2.9 | 0.7 | -1 | -2.9 | -3.7 | -4.0 | -3.3 | -4.2 |Contributions: | - primary balance (b) | 0.7 | 2.4 | 0.6 | -2.0 | -2.0 | -2.0 | -1.5 | -2.4 |- “snow-ball” effect (c) | -3.1 | -2.8 | -2.7 | -3.2 | -2.4 | - | -2.6 | - |- stock-flow adjustment (d) | -0.5 | 1.0 | 1.1 | 2.3 | 0.7 | 0.6 | 0.7 | 0.6 |Pm Real GDP growth (%) | 4.8 | 4.7 | 3.7 | 4.3 | 3.7 | 3.9 | 3.7 | 4.0 |Pm Output gap | 0.6 | 1.5 | 1.4 | 1.7 | 1.5 | 0.9 | 1.6 | 1.1 |(1) Cyclically-adjusted balance excluding one-off and temporary measures. (2) Cyclically-adjusted and structural balances and output gaps according to the programme as calculated by Commission services on the basis of the information in the programme. For 2007, the programme did not include one-off measures amounting to ¼ percentage points of GDP and permanent measures also amounting to ¼ percentage points of GDP announced in April 2007. Total revenues and total expenditures have been adjusted according to the ESA95 harmonized definitions. (3) No-policy change assumption. (4) The change in the gross debt ratio can be decomposed as follows: [pic] where t is a time subscript; D, PD, Y and SF are the stock of government debt, the primary deficit, nominal GDP and the stock-flow adjustment respectively, and i and y represent the average cost of debt and nominal GDP growth. The term in parentheses represents the “snow-ball” effect. Sources: Commission services’ spring 2007 forecast (COM) and December 2006 update of the stability programme. |Recommendation for aCOUNCIL DECISIONabrogating Decision 2004/917/EC on the existence of an excessive deficit in GreeceTHE COUNCIL OF THE EUROPEAN UNION,Having regard to the Treaty establishing the European Community, and in particular Article 104(12) thereof,Having regard to the recommendation from the Commission,Whereas:(1) By Council Decision 2004/917/EC[25], following a recommendation from the Commission in accordance with Article 104(6) of the Treaty, it was decided that an excessive deficit existed in Greece. The Council noted that the general government deficit was 3.2% of GDP in 2003, above the 3% of GDP Treaty reference value, while general government gross debt stood at 103% of GDP, well above the 60 % of GDP Treaty reference value[26].(2) On 6 July 2004, in accordance with Article 104(7) of the Treaty and Article 3(4) of Council Regulation (EC) No 1467/97 of 7 July 1997 on speeding up and clarifying the implementation of the excessive deficit procedure[27], the Council made, based on a recommendation from the Commission, a recommendation addressed to Greece with a view to bringing the excessive deficit situation to an end by 2005 at the latest. The recommendation was made public.(3) On 19 January 2005, in accordance with Article 104(8), the Council decided, based on a recommendation from the Commission, that Greece has not taken effective action in response to the Council Recommendation under Article 104(7)[28]. On 17 February 2005, the Council decided[29], based on a recommendation from the Commission, to give notice to Greece in accordance with Article 104(9) to take measures for the deficit reduction judged necessary in order to remedy the situation of excessive deficit and extended the deadline for the correction by one year, to 2006.(4) In accordance with Article 104(12) of the Treaty, a Council Decision on the existence of an excessive deficit is to be abrogated when the excessive deficit in the Member State concerned has, in the view of the Council, been corrected.(5) In accordance with the Protocol on the excessive deficit procedure annexed to the Treaty, the Commission provides the data for the implementation of the procedure. As part of the application of this Protocol, Member States are to notify data on government deficits and debt and other associated variables twice a year, namely before 1 April and before 1 October, in accordance with Article 4 of Council Regulation (EC) No 3605/93 of 22 November 1993 on the application of the Protocol on the excessive deficit procedure annexed to the Treaty establishing the European Community[30].(6) Based on data provided by the Commission (Eurostat) in accordance with Article 8g(1) of Regulation (EC) No 3605/93 following the notification by Greece on 1 April 2007 and on the Commission services’ spring 2007 forecast, the following conclusions are warranted:-  the general government deficit was reduced from 7.9% of GDP[31] in 2004 to 2.6% of GDP in 2006, which is below the 3% of GDP deficit reference value. This is identical to the target set in the December 2005 update of the stability programme;-  revenues and expenditure contributed to the nominal adjustment of almost 3 percentage points of GDP compared to the 2005 deficit of 5½% in almost equal shares. Expressed in terms of the GDP, total revenues increased by 1½ percentage points of GDP, with indirect taxes accounting for ½ percentage point of GDP. The remaining 1 percentage point is accounted by increases in social contributions and other revenues, including capital transfers (EU transfers). Total expenditure was reduced by 1¼ percentage points of GDP, mainly driven by reductions in primary expenditure (by ½% of GDP) and in interest expenditure (¼% of GDP). Capital expenditures were also reduced by around ½ percentage point of GDP. One-off revenues amounted to 0.6% of GDP. The improvement in the structural balance (i.e. the cyclically-adjusted balance net of one-off and other temporary measures) is estimated at 2¼% of GDP in 2006;-  for 2007, the Commission services’ spring 2007 forecast projects the deficit to be reduced further, to 2.4% of GDP. This is in line with the official deficit target of 2.4% of GDP set in the December 2006 update of the stability programme. However, the Commission services’ forecast includes additional one-off revenues amounting ¼% of GDP, as well as permanent expenditure-saving measures amounting to about ¼% of GDP, both as announced by the cut-off date of the Commission services spring 2007 forecast and thus not reflected in the December 2006 official target. In spite of this, the spring forecast deficit projection for 2007 is not better than the target as the impact of these new measures is offset by (i) more cautious growth assumptions and (ii) the fact that the permanent measures planned for 2007 would not, in the view of the Commission, fully replace the decline in one-off revenues. Without one-offs, the deficit would still be below the reference value, at 2.9% of GDP. For 2008, the spring forecast projects, on a no-policy change basis, a deficit of 2.7% of GDP (no one-offs are included for 2008). This indicates that the deficit has been brought below the 3% of GDP ceiling in a credible and sustainable manner. The structural balance is projected to improve in 2007 by around ¼ of a percentage point of GDP and, on a no-policy change basis, by a marginal amount in 2008. This has to be seen against the need to make progress towards the medium-term objective (MTO) for the budgetary position, which for Greece is a balanced position in structural terms;-  government debt declined from 108½% of GDP in 2004 to 104½% in 2006. According to the spring 2007 forecast, the debt ratio is projected to fall further to around 97½% by end-2008, still well above the 60% of GDP reference value. The debt ratio can be considered as sufficiently diminishing towards the 60% of GDP reference value.(7) The Greek statistical authorities improved their procedures, which led to a significant reduction in the statistical discrepancies and an overall higher quality of the data. As a result, Eurostat withdrew its reservations on the quality of the actual reported data.(8) In the view of the Council, the excessive deficit in Greece has been corrected and Decision 2004/917/EC should therefore be abrogated.HAS ADOPTED THIS DECISION:Article 1From an overall assessment it follows that the excessive deficit situation in Greece has been corrected.Article 2Decision 2004/917/EC is hereby abrogated.Article 3This Decision is addressed to the Hellenic Republic.Done at Brussels,For the CouncilThe President [1] OJ L 209, 2.8.1997, p. 6. Regulation as amended by Regulation (EC) No 1056/2005 (OJ L 174, 7.7.2005, p. 5).[2] OJ L 332, 31.12.1993, p. 7. Regulation as last amended by Regulation (EC) No 2103/2005 (OJ L 337, 22.12.2005, p. 1).[3] The most recent notification of Greece can be found at:http://epp.eurostat.ec.europa.eu/portal/page?_pageid=2373,58110711&_dad=portal&_schema=portal.[4] SEC(2004) 623. Figures on general government deficit and general government gross debt for 2003 were revised on several occasions (see box). According to the most recent data, the deficit and debt in 2003 represented 6.2% of GDP and 107.8% of GDP respectively.[5] OJ L 389, 30.12.2004, p. 25.[6] All EDP-related documents for Greece can be found at the following website: http://ec.europa.eu/economy_finance/about/activities/sgp/edp_list_en.htm.[7] OJ L 107, 28.4.2005, p. 24.[8] OJ L 153, 16.6.2005, p. 29.[9] SEC(2005) 443.[10] Eurostat News Release No 55/2007 of 23 April 2007.[11] GDP in this document refers to the unrevised GDP series provided by the Greek authorities as an annex to the EDP notification of April 2007 and not to the "revised" GDP data reported by the Greek authorities in October 2006, which could lead to an upward revision of nominal GDP by around 26% per year since 2000. Given the magnitude and complexity of the revision, it is still subject to examination by Eurostat.[12] In ESA95, swaps are contractual arrangements between two parties who agree to exchange, over time and according to predetermined rules, streams of payment of the same amount of indebtedness. The most prevalent varieties are interest rate swaps, foreign exchange swaps and currency swaps (also named cross-currency interest swaps). None of the resulting payments is considered as property income and all settlements are to be recorded in the financial account.[13] According to Regulation (EC) No 2558/2001 (OJ L 344, 28.12.2001, p. 1), which amended ESA95, swap-related flows are financial transactions and, therefore, excluded from the calculation of the government deficits. However, according to the same regulation, for the specific purpose of the excessive deficit procedure, those flows are still booked as interest. In the case of Greece, swap-related flows have contributed to reduce the 2006 government deficit that is relevant for the excessive deficit procedure by 0.29% of GDP.[14] In September 2006 the Greek authorities notified a 26% upward revision of nominal GDP figures. This revision could mean that the denominator effect of a higher GDP could reduce the deficit just below 2%. However, according to preliminary estimates, the concomitant revision of the gross national income could lead to a permanent increase of Greece's contribution to the EU budget of less than ¼% of GDP, as well as to a one-off payment of arrears on such a contribution of about ¾% of GDP, which could accrue to the 2007 balance. This could result in a deficit close to, but below, 3% of GDP. However, it should be underlined that these estimates are based solely on Greece's notification. In October 2006 the GNI committee suspended its opinion on the revised figures submitted by Greece and will give its opinion later in 2007 once Eurostat's thorough analysis of the Greek data has been completed. Only after that can the Commission determine the retained level of GDP and the actual consequences with regard to Greece's contribution to the EU budget.[15] These measures were ratified in the EDP report of 30 April 2007 submitted by Greece in compliance with the Council Recommendation under Article 104(9).[16] OJ C 70, 27.3.2007, p. 9.[17] The Greek Minister of Finance publicly announced on 24 April that the Greek government had decided to shift the deadline to achieve a MTO of a budget in balance or in surplus from 2012 to 2010, thus two years earlier than planned in the December 2006 Update of the Greek Stability and Growth Program. This engagement was ratified in the in the EDP report of 30 April 2007 submitted by Greece in compliance with the Council Recommendation under Article 104(9).[18] This amount is to be paid in ten annual instalments.[19] See Eurostat note on “Stock-flow adjustment (SFA) for the Member States, the euro area and the EU-27 for the period 2003-2006, as reported in the April 2007 EDP notification”, available at:http://epp.eurostat.ec.europa.eu/cache/ITY_PUBLIC/STOCK_FLOW_2007/EN/STOCK_FLOW_2007-EN.PDF.[20] See also European Commission, Public Finances in EMU – 2005, European Economy No 3, in particular Box I.1 thereof.[21] Eurostat News Release No 117/2004.[22] Eurostat News Releases No 39/2005, 120/2005 and 48/2006.[23] Methodological visits were established by Articles 8d and 8e of Council Regulation (EC) No 3605/93. These visits “are designed to monitor the processes and the government accounts which justify the reported actual data and to draw detailed conclusions as to the quality of reported data”; they take place “in cases where substantial risks or potential problems with the quality of the data are identified, especially as they relate to the methods, concepts and classification applied to the data, which Member States are obliged to report”. The report of the methodological visit is available athttp://epp.eurostat.ec.europa.eu/portal/page?_pageid=2373,47631456&_dad=portal&_schema=portal.[24] Eurostat News Release No 139/2006.[25] OJ L 389, 30.12.2004, p. 25.[26] Figures on general government deficit and general government gross debt for 2003 were revised on several occasions. According to the most recent data, the deficit and debt represented 6.2% of GDP and 107.8% of GDP respectively.[27] OJ L 209, 2.8.1997, p. 6. Regulation as amended by Regulation (EC) No 1056/2005 (OJ L 174, 7.7.2005, p. 5).[28] OJ L 107, 28.4.2005, p. 24.[29] OJ L 153, 16.6.2005, p. 29.[30] OJ L 332, 31.12.1993, p. 7. Regulation as last amended by Regulation (EC) No 2103/2005 (OJ L 337, 22.12.2005, p. 1).[31] GDP in this decision refers to the unrevised GDP series and not to the "revised" GDP data reported by the Greek authorities in October 2006 and April 2007.


title: RECOMMENDATION FOR A COUNCIL DECISION on the conclusion of an Agreement between the European Economic Community and the Republic of Lebanon for the supply of butteroil as food aid (submitted to the Council by the Commission)

text:
ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (74) 2270
Vol. 1974/0385
 ---pagebreak--- Disclaimer
Conformément au règlement (CEE, Euratom) n° 354/83 du Conseil du 1er février 1983
concernant l'ouverture au public des archives historiques de la Communauté économique
européenne et de la Communauté européenne de l'énergie atomique (JO L 43 du 15.2.1983,
p. 1), tel que modifié par le règlement (CE, Euratom) n° 1700/2003 du 22 septembre 2003
(JO L 243 du 27.9.2003, p. 1), ce dossier est ouvert au public. Le cas échéant, les documents
classifiés présents dans ce dossier ont été déclassifiés conformément à l'article 5 dudit
règlement.
In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983
concerning the opening to the public of the historical archives of the European Economic
Community and the European Atomic Energy Community (OJ L 43, 15.2.1983, p. 1), as
amended by Regulation (EC, Euratom) No 1700/2003 of 22 September 2003 (OJ L 243,
27.9.2003, p. 1), this file is open to the public. Where necessary, classified documents in this
file have been declassified in conformity with Article 5 of the aforementioned regulation.
In Übereinstimmung mit der Verordnung (EWG, Euratom) Nr. 354/83 des Rates vom 1.
Februar 1983 über die Freigabe der historischen Archive der Europäischen
Wirtschaftsgemeinschaft und der Europäischen Atomgemeinschaft (ABI. L 43 vom 15.2.1983,
S. 1), geändert durch die Verordnung (EG, Euratom) Nr. 1700/2003 vom 22. September 2003
(ABI. L 243 vom 27.9.2003, S. 1), ist diese Datei der Öffentlichkeit zugänglich. Soweit
erforderlich, wurden die Verschlusssachen in dieser Datei in Übereinstimmung mit Artikel 5
der genannten Verordnung freigegeben.
 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                                    COM(74)2270 final
                                                    Brussels , 9 January 1975
                 RECOMMENDATION FOR A COUNCIL DECISION
             on the conclusion of an Agreement between the
                  European Economic Community and the
      Republic of Lebanon for the supply of "butteroil as food aid
             ( submitted to the Council by the Commission)
 C0M(74) 2270 final
 ---pagebreak---    THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
  Having regard to the Treaty establishing the European Economic Community
  and in particular Articles 113 f 114 and 228 thereof^
'.Having' regard to the proposal from the Commission }
  »
 Whereas the Council in Regulation (EEC ) no . 530/74 of 4.3.1974        °n the
  supply of butteroil as food aid decided to make    250 metric ..tons of
 butteroil available to the Republic of Lebanon.
 HAS DECIDED :
                                Article  1
 An Agreement between the European Economio Community and the Republic' of Lebanon
 for the supply of butteroil as food aid is hereby oonoluded on behalf of
 the European Economic Community. The text of the Agreement is annexed to
 this Deoision .
               •»
                                Article  2
 The President of the Council is authorized to designate the persons
 empowered to sign the Agreement and to confer on them the powers required
 in order to bind the Community .
Done at Brussels ,
                                                          »       '
                                                For the Council
                                                 The Président
 ---pagebreak---           AGREEMECT
BETNEEN THE EUROPEAN ECONOMIC COKiïUNITY
  AND ; THE REPUBLIC OP LEBANON  . . .
ON THE SUPPLY OP FOOD AID IN THE FORM OF
             BUTTEROIL
 ---pagebreak--- THE COUNCIL OF THE EUROPEAN COMMUNITIES .
                                              of the 0x16 part ,
                                           »■
                                         i ..
THE GOVERNMENT OP . THE REPUBLIC OP LEBANON
                                              of the'other part .
HAVE DECIDED to concluded this Agreement and to this end have
designated as their plenipotentiaries
                                                                 i
THE COUNCIL OP THE EUROPEAN COMMUNITIES :                '•
                              H
THE GOVERNMENT OP   THE REPUBLIC OP LEBANON
WHO HAVE AGREED AS FOLLOWS :
 ---pagebreak---                         •         ARTICLE I
                    •                  ......
 The European Economio Community shall supply "by way of gift to the
the Republic of Lebanon t ( hereafter referred to as "the reoipient
 oountry ")> a quantity of 250 metric tons of butteroil .
                                                          • ;
 Til© quality and packaging conditions are specified in Annex I which forms an
'integral part of the present Agreement .
                                                                »
                                                     »
                                  ARTICLE II
Deliveries shall "be effected under the arrangements provided in Annex II vhich'
       *
forms an integral part of the present Agreement .-
     •                                                                 » •
                                                 "I
                                  ARTICLE III
The recipient country undertakes to make all necessary arrangements for the .
transport and insurance of the products from point of delivery to places of
destination .
It undertakes ., to exercise the greatest care to ensure that the tendering arran
gements for sea transport do not prejudice the free play of fair competition .
Any problems arising in this connection shall be the subject of consultations
tinder Article VIII' of the present Agreement .
               \   •
   *     '                        ARTICLE TV
The recipient country undertakes to use the product received as aid for pur
poses of consumption and to distribute it free to the refugee population.
 ---pagebreak---                         .    .        . ARTICLE V
  The Contracting Parties undertake to implement this Agreement in such a way
  as to avoid any prejudice to the normal structure of national production
  and international trade . To this end they shall take any measures required
  to ensure that exxpplies as aid are in addition to and do . not replace "business
  transactions which " might reasonably "be expected in the absence of such supplies .
                                                                                /
             ' \                                                        *
                                        ARTICLE VI
  The recipient country shall take all steps required to 'prevent :              ^
  ( i ) the re-export of the product received as aid and also of any products
         resulting therefrom ;                                     *
  ( ii ) the export , commercially , or otherwise , within a period of six months
                               .                        i
           commencing from the final delivery, either of any product procured
           locally of the same nature as that received as aid , or of any products
       ; resulting therefrom .
                                        ARTICLE VII
 The recipient country undertakes to inform the European Economic Community
  of how this Agreement is implemented . To this end it shall provide the
 Commission of the European Communities with the following details :
  (i) Immediately after the unloading of each cargo ": ports and dates of
          arrival of vessel ; nature , quantity and any observations as to the
       . quality of the products unloaded; date on which unloading was completed ;
         costs of sea transport and of insurance relating thereto ;
• ( ii ) Every three months until the quantities received as aid have been fully '
           used : quantities distributed ; number and nature of "benefioiaries ; places ,
       ... rates and method of distribution .
                                           ;
 ---pagebreak---                                   ARTICLE VIII
  The Contracting Parties shall at "the request of either consult each other
, on any questions concerning the implementation of this Agreement .
                    ,                                                    «
                          •                                                  }
                                ' AIÎTICIE IX
  This Agreement is drawn up in duplicate m the Danish , Dutch , English , French ,
  German and Italian languages , each of' these texts havityj equal force .
 ---pagebreak---                                                                           ANHEX I
                                    BUTTEROIL '                         '
I-. QUALITY
    1 / \                                     '     •              ' •.
      (A) Product characteristics î
             Concentrated milk fats containing not less than $$*o% of pure fats ;
       %                              •
      (B) Standard composition :
             (Analysis made at time of manufacture and packing) • *•
             - Moisture and n'on-fat milk substance s-not more than 0.2>
             - Pats - not less than
             - Free fatty acids - not more than 0.5$ ( exprossed as oleic acid)
             - Peroxide level/kg - not more than 1 unit (in milli-equivalents of
               active oxygen per kg)
         * - Taste - pure
             - Smell - absence of smell extraneous to butteroil
                                                      i
   \                     .                  •
II. CONDITION OP PACKAGING                                  ' •
     . a) Metal cans of 20 kg - 1 can per carton.
  • b) Marked the , 'packaging in . frenoh :
'            BUTTEROIL                                   '•
             GIFT OF THE EUROPEAN ECONOMIC COMMUNITY
             TO THE REPUBLIC OF LEBANON
           . FOR FREE DISTRIBUTION
 ---pagebreak---                                                                           AMEX II
                                    General      provisions
                                          •" -Article 1
.          \
    ^Delivery shall be effected and risks shall pass from the . European Economic
     Community, hereinafter referred to as the EEC , to the recipient country at
     the moment at which the goods' are put down at the point of exportation
    named "by the Commission of the European Communities at the "berth specified
    by the recipient country or its agent referred to in Article 2 and under the
                                                                        I
  . terms specified in the following articles . Without prejudice to Artioles 7 and
  _8_the EEC shall bear all costs up to delivery and the recipient country those
    beyond suoh delivery .              •                 . .
                                            Article 2
    The EEC shall appoint an agent to implement the provisions of the present
    Annex- or for each consignment- whose name and address it Bhall make known
    to .the recipient country immediately following his appointment .
   The recipient country shall appoint an agent in the port or ports of shipment
    \ihosQ name and address it shall make known to the EEC with all despatch and
    if possible before the appointment of agent of the EEC .               %
                                           Article 3
   Before implementing the procedures for appointing the agent of the EEC
   referred to in Article 2 , the Commission of the European Communities and
   •the recipient country shall jointly establish the period during which deli
   very must begin,                                        '          •
                                      «                       >
                              Obligations of the European Economic Community
                                           Article ■ ■4I.       ' • «
   Should the EEC not be in a position to carry out delivery on the date ,
             ' (**" applicable ) on the schedule as provided in Article 6 , all oosts
   arising fo? the recipient country- for example demurrage void freight and
  dead freight- shall be borne by the EE1
 ---pagebreak---   The charges and the arrangements relating to demurrage laid down in the
                    •                                         *
   contract "between the recipient country and the carrier must have "bee1! agreed
- In -advance "by -the recipient country and the agent of the EEC .
                                            ■             • •    •
    \             .               « •             .                 »
  The other costs referred to in the first paragraph shall only "be refunded
  "by the EEC if they have "been paid "by the recipient country with the approval
   of the EEC . ■
                                              • •                :
                          . .         Article 5
   Should it prove impossible for the EEC to supply all or part of the goods
   on the date and within the time-limits provided for in Article 6 and without
  prejudice to the provisions of Article 4 » a new date and a new time-limit
  shall "be agreed "between the agents of the EEC and of the recipient country
  for the delivery of all the goods or of the undelivered part thereof .
                           0'bli nations of the rectf.nient country
       '                                                                    *   «
                                      Article 6         '             %
  After contacting the EEC , the recipient country shall- procure one or more vesselo
  to transport all the quantities provided for in Article 1 of the Agreement , of
  dimensions corresponding to the normal capacity of the port of shipment {• these
  vessels must "be ready for loading on a date falling within the period referred
  to in Article 3 .
  The agent of the recipient country shall inform the EEC of this date
  immediately on learning it, and also that for commencement of delivery,
  if possible twenty days in advance and in any case ten days before the date
  for commencement of delivery.
                                          r
  He shall establish with the agent 'of the EEC the sohedule on whioh delivery
  shall take place .
 ---pagebreak---   Should the recipient country "be unable to "begin loading on the date provided
  for in Article 6 , paragraph 1 , the agent of the recipient country shall in
  form the agent of the EEC without delay.
  In this event a new date for the commencement of delivery and(if applicable) a nev
' schedule    could be agreed between the agents of the EEC " and of the recipient
  country. The costs arising from this delay shall in all cases except force
  majeure be borne by the recipient country.
  Should the new date provided for in paragraph 2 be more than 30 clear days
  after the date for loading provided for' in Article 6 , 'paragraph 1 , the EEC
  mayc-dispose of the goods without ' prejudice to its commitment under Article 1
  of this Agreement .                                            '
    • t
                               Article 8
  If the quantity made available for loading on a vessel- cannot be put on
  board in its entirety , the recipient country shall inform the EEC as soon
  as possible and no\ later than fifteen clear days after loading has been
  completed whether it intends to accept or to renounce the balance .
                                                  i
  In the former case the provisions of Article 7 ». paragraphs 2~and 3 » shall
  apply to the balance , if delivery has not yet taken place .
 In the latter case the EEC may consider that it has discharged its commitment
 to the recipient country under Article 1 of this Agreement and shall bear
 the oosts resulting from such renunciation.
 In any event after the expiry of an interval of fifteen clear days and in
 the absence of any notice on the part of the reoipient country, the renun-
 olation shall be deemed to have taken place .
                   0
                         <                                • *        »
                                Article 9
                                K<<
Upon delivery of the goods , the recipient country shall hand to the agent of
                                             >
 the EEC a certificate of acceptance stating the port of shipment , date of
 acceptance , the nature ,          ' and quantity of the goods accepted and including
any comments on the quality of the goods aJfid send a copy thereof to the Commission
 of the European Communities .


RECOMMENDATION FOR A COUNCIL DECISION CONCERNING THE RECIPROCAL OBLIGATIONS OF EXPORT CREDIT INSURANCE ORGANIZATIONS OF THE MEMBER STATES ACTING ON BEHALF OF THE STATE OR WITH ITS SUPPORT, OR OF PUBLIC DEPARTMENTS ACTING IN PLACE OF SUCH ORGANIZATIONS, IN THE CASE OF JOINT GUARANTEES FOR A CONTRACT INVOLVING ONE OR MORE SUBCONTRACTS IN ONE OR MORE MEMBER STATES OF THE EUROPEAN COMMUNITIES