title: Recommendation for a Council Decision abrogating Decision 2005/182/EC on the existence of an excessive deficit in Slovakia

text:
   EN
EN    EN
 ---pagebreak---                  COMMISSION OF THE EUROPEAN COMMUNITIES
                                                 Brussels, 7.5.2008
                                                 SEC(2008) 572 final
                                 Recommendation for a
                                COUNCIL DECISION
   abrogating Decision 2005/182/EC on the existence of an excessive deficit in Slovakia
                             (presented by the Commission)
EN                                                                                EN
 ---pagebreak---                                     EXPLANATORY MEMORANDUM
   1.        BACKGROUND
   Article 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 3605/932,3,4.
   On 12 May 2004, the Commission initiated the EDP for Slovakia with the adoption of a report
   under Article 104(3), based on a general government deficit of 3.6% of GDP in 20035. On 5
   July 2004, the Council decided, on a recommendation from the Commission, that Slovakia
   was in excessive deficit according to Article 104(6)6. At the same time, and also based on a
   Commission recommendation, the Council addressed recommendations under Article 104(7)
   to Slovakia with a view to bringing the situation of an excessive government deficit to an end,
   by 2007 at the latest7.
   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 Slovakia can be found at:
           http://epp.eurostat.ec.europa.eu/portal/page?_pageid=2373,58110711&_dad=portal&_schema=portal.
   4
           Slovakia benefited from a transition period for implementing the Eurostat decision of 2 March 2004 on
           the classification of funded pension schemes and as a result notified deficit and debt figures without the
           net cost of its 2005 pension reform until April 2006 (Eurostat News Release No 117/2004 of 23
           September 2004 on the transition period to implement the decision in Eurostat News Release No
           30/2004 of 2 March 2004). As the different documents under the EDP, including in particular the
           Council recommendation under Article 104(7), took the implications of the March 2004 Eurostat
           decisions fully into account, all deficit and debt figures quoted in this document include the pension
           reform cost and are thus fully comparable.
   5
           SEC(2002) 131.
   6
           OJ L 62, 9.3.2005, p. 16.
   7
           All EDP-related documents for Slovakia can be found at the following website:
           http://ec.europa.eu/economy_finance/sg_pact_fiscal_policy/excessive_deficit9109_en.htm.
EN                                                        2                                                           EN
 ---pagebreak---    In its recommendation under Article 104(7), the Council recommended the Slovak authorities
   to "take action in a medium-term framework in order to achieve their objective of bringing the
   deficit below 3% of GDP in a credible and sustainable manner by 2007 at the latest, in
   accordance with the path for deficit reduction as specified in the Council Opinion of 5 July
   2004 on the convergence programme submitted in May 2004"; to "implement with vigour the
   measures envisaged in the May 2004 convergence programme, in particular those related to
   the proposed further health care reforms and further public sector rationalisation"; to
   "accelerate the fiscal adjustment if the implemented structural reforms result in higher growth
   than expected in the convergence programme of May 2004, in particular by dedicating any
   higher-than-budgeted revenues primarily to faster deficit reduction"; and to "take effective
   action by 5 November 2004 regarding the measures envisaged to achieve the 2005 deficit
   target".
   In addition, the Council invited the Slovak authorities to "strengthen the binding character of
   the three-year budgetary framework by introducing detailed medium-term expenditure
   ceilings to be adopted by parliament".
   Table 1: Adjustment endorsed by the Council on 5 July 2004
   % of GDP, unless indicated otherwise          2003      2004        2005        2006       2007
   General government balance                     -3.6     -4.0         -3.9       -3.9        -3.0
   p.m.: Real GDP growth (%)                       4.2      4.1          4.3        5.0        4.7
   Source: Council recommendation under Article 104(7) and Council opinion on the May 2004 convergence
   programme, both adopted on 5 July 2004
   On 22 December 2004, i.e. after the expiry of the deadline for taking action set in the Council
   recommendation, the Commission adopted a communication to the Council, which concluded
   that action taken until then by Slovakia was consistent with the Council recommendation and
   that no further steps under the EDP were necessary at that stage8. In its meeting of 18 January
   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 DEVELOPMENTS
   The data available in May 2004, when the Commission initiated the EDP for Slovakia,
   indicated that the 2003 deficit was at 3.6% of GDP and the deficit was expected to remain
   above the reference value in subsequent years. According to the data provided by the
   Commission (Eurostat) following the reporting by Slovakia before April 20089 the general
   government deficit remained below 3% of GDP in the years 2003-2005 due to a subsequent
   data revision (in the April 2007 notification) mainly resulting from a change in the
   accrualization method for tax revenue. The headline deficit increased to 3.6% of GDP in 2006
   (mostly due to a substantial increase in government consumption of 1% of GDP, the 2005
   8
            SEC(2004) 1630.
   9
            Eurostat News Release No 54 of 18 April 2008.
EN                                                      3                                              EN
 ---pagebreak---    pre-stocking with cigarettes in view of an imminent excise tax hike and increased pension
   reform costs) before falling to 2.2% of GDP in 200710.
   A pension reform was launched in 2005, affecting social contributions by redirecting 9% of
   gross wages to a funded (second) pension pillar. Due to widespread public interest in this
   pillar and a gradual transition, these revenue transfers are estimated to have increased from
   0.8% of GDP in 2005 to 1.2% and 1.3% of GDP in 2006 and 2007 respectively.
   Slovakia committed itself to gradually increase taxes on cigarettes up to the minimum levels
   required by the EU. As a result, taxes were increased in May 2004, January 2006 and January
   2008 and are planned to be raised again in December 2008. All increases so far were preceded
   by a sizeable pre-stocking with cigarettes at various stages of the distribution chain. This has
   led to shifts in tax revenue resulting in extra tax revenue of some 0.1%, 0.3% and 0.5% of
   GDP in 2003, 2005 and 2007 respectively followed by equivalent revenue shortfalls in the
   subsequent years. Moreover, Slovakia has claims on several foreign countries. In 2003, 2005
   and 2007 cancellations of some of these claims had a deficit-increasing effect of 0.4%, 0.9%
   and 0.1% of GDP respectively.
   Given the better-than-originally-estimated 2003 deficit, headline deficit developments were
   consistent with the deadline for correction of the excessive deficit set by the Council in its
   104(7) recommendation although the consolidation path was quite different. In particular, in
   2007 the headline deficit fell by almost 1½% of GDP to 2.2% of GDP. The fiscal
   consolidation has benefited from buoyant GDP, employment and revenue growth, allowing
   the expenditure-to-GDP ratio to fall faster than the revenue-to-GDP ratio. The fall in the
   expenditure-to-GDP ratio from 40.2% of GDP in 2003 to 36.9% of GDP in 2007 was also
   induced by expenditure restraint and expenditure reforms. These included restrictions on
   social and unemployment benefits, tightening of conditions for early retirement and a gradual
   increase in the pension retirement age. The creation of the National Motorway Company in
   2005 has enabled the government to partly finance motorway construction through private
   sector borrowing. On the revenue side, a comprehensive tax reform was introduced in 2004,
   shifting the weight from income to consumption taxation. Together with the 2005 pension
   reform it has contributed to a fall in the revenue-to-GDP ratio from 37.4% of GDP in 2003 to
   34.7% of GDP in 2007.
   10
           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, the revisions are usually relatively small
           and on average insignificantly different from zero. For Slovakia, in view of the distance between the
           currently reported deficit for 2007 and the deficit reference value, there is a low probability that
           potential future revisions in government accounts would raise the 2007 deficit ratio in excess of 3% of
           GDP. The fact that there are pending issues on the sectoral delimitation of general government in
           Slovakia (notably on the appropriate sectoral classification of health-care related units, such as hospitals
           and health-insurance companies in general government or the corporate sector) has not a significant
           impact on the upward and downard risks of deficit revisions in future. Though detailed data are not
           available, there are indications that the financial balance of the units that need to be re-classified inside
           government or outside government, to be in line with ESA95 rules, is very small. (See Eurostat findings
           of the dialogue visit to Slovakia on 10 and 11 March 2008:
           http://epp.eurostat.ec.europa.eu/portal/page?_pageid=2373,47631456&_dad=portal&_schema=PORTA
           L, available soon.)
EN                                                          4                                                            EN
 ---pagebreak---    The 2007 deficit outcome was below the official target of 2.9% of GDP set in the December
   2006 update of the convergence programme. The over-performance was mainly induced by
   higher-than-foreseen GDP and employment growth, lower-than-budgeted co-financing for the
   EU funds and a larger-than-expected pre-stocking with cigarettes at the end of 2007, triggered
   by a hike in the excise tax on tobacco in January 2008 and resulting in additional revenue of
   ½% of GDP compared to ¼% of GDP expected by the programme.
   Nevertheless, the cyclical upswing and growth dividends from structural reforms were not
   fully exploited for fiscal consolidation. As a result, the structural deficit (i.e. the cyclically-
   adjusted deficit net of one-off and other temporary measures) deteriorated from some 1½% of
   GDP in 2003 to around 3% of GDP in 2006 before improving to around 2½% of GDP by
   2007. However, the creation of the second funded pension pillar in 2005 has contributed to
   the structural deterioration11.
   3.        DEFICIT PROJECTIONS FOR 2008 AND BEYOND
   According to the Commission services’ spring 2008 forecast the headline deficit is expected
   to narrow further to 2.0% of GDP in 2008 before increasing to 2.3% of GDP in 2009 (under
   the customary "no-policy-change" assumption) against the background of markedly slowing
   but still robust GDP and decelerating employment growth. Revenue-increasing measures
   included in the 2008 budget such as a broadening of the corporate and personal income tax
   base and an increase in the maximum ceiling on social contributions are foreseen to generate
   additional revenue of around ¼% of GDP in 2008. The revenue shortfall induced by the 2007
   pre-stocking with cigarettes is likely to be broadly offset by a further hoarding of cigarettes
   motivated by a lower excise tax hike planned for the end of 2008. Moreover, a temporary
   opening up of the second pension pillar in the first half of 2008, allowing all current
   participants to leave and new participants to join, should result in an one-off revenue of
   around 0.1% of GDP as savings accumulated in previous years in the second pillar will be
   transferred to the pay-as-you-go pillar if participants decide to leave. On the expenditure side,
   farming subsidies are set to continue increasing substantially. The main reason for the 2009
   deterioration projected in the spring forecast is a likely revenue shortfall of some ½% of GDP
   due to aforementioned expected further substantial pre-stocking with cigarettes in 2008.
   While the forecast for 2008 is in line with the latest official target of 2% of GDP (set by the
   Ministry of Finance in February 2008 as a reaction to the February 2008 Council opinion on
   the November 2007 update of the convergence programme) the forecast for 2009 is
   significantly above the latest national target of 1.7% of GDP (set in April 2008 in the outline
   for the new budget proposal), which is not yet underpinned by explicit measures.
   11
           In accordance with Article 2(7) of Regulation (EC) No 1467/97, a decision to abrogate a decision on the
           existence of an excessive deficit should take into account the net cost of a pension reform introducing a
           multi-pillar system that includes a mandatory, fully funded pillar if the deficit has declined substantially
           and continuously and has reached a level that comes close to the reference value. Since the 2007 general
           government deficit was below the 3%-reference value there is no need to consider the application of this
           Article.
EN                                                         5                                                            EN
 ---pagebreak---    The structural deficit is expected to deteriorate from around 2½% to some 2¾% of GDP
   between 2007 and 2008 which is not in line with the Stability and Growth Pact, which
   specifies that, for euro-area and ERM II Member States, the annual improvement in the
   structural balance should be 0.5% of GDP as a benchmark and that the adjustment should be
   higher in good economic times. In 2009, under the customary no-policy-change assumption
   the structural deficit is foreseen to deteriorate further to some 3% of GDP mainly due to the
   cigarette pre-stocking related revenue shortfall.
   According to the February 2008 Council opinion12 on the November 2007 update of the
   convergence programme the budgetary stance in the programme seems insufficient to ensure
   that the medium-term objective (MTO) for Slovakia, set as a structural deficit of just below
   1% of GDP, is achieved by the end of the programme period (2010), as envisaged in the
   programme. Moreover, the Council concluded that the envisaged change in the structural
   balance for 2008 is not in line with the Pact and should be more ambitious.
   4.        DEBT DEVELOPMENTS AND PROJECTIONS
   The debt ratio decreased gradually from 42.4% of GDP in 2003 to 29.4% of GDP in 2007, i.e.
   well below the 60% of GDP reference value, mainly thanks to privatisation revenue.
   According to the Commission services’ spring 2008 forecast, gross public debt is expected to
   remain broadly stable over the forecast horizon (on a no-policy change basis).
   5.        CONCLUSIONS
   The data available in May 2004 indicated that the 2003 deficit was at 3.6% of GDP and the
   deficit was expected to remain above the reference value in subsequent years. According to
   the latest data, the general government deficit remained below 3% of GDP in the years 2003-
   2005 before increasing to 3.6% of GDP in 2006 mainly due to a substantial increase in
   government consumption. The headline deficit then fell to 2.2% of GDP in 2007. The
   structural balance, i.e. the cyclically-adjusted balance net of one-off and other temporary
   measures, deteriorated in 2006 by some 2% of GDP but improved again by around ½% of
   GDP in 2007. According to the Commission services’ spring 2008 forecast, the headline
   deficit is expected to narrow to 2.0% of GDP in 2008 and, on a no-policy change basis, to
   increase to 2.3% in 2009. 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 42.4% of GDP in 2003 to 29.4% in 2007, well
   below the 60% of GDP reference value. According to the Commission services’ spring 2008
   forecast, the debt ratio is expected to remain broadly stable over the forecast horizon (on a no-
   policy change basis).
   From an overall assessment, it follows that the excessive deficit situation in Slovakia has been
   corrected. Accordingly, the Commission recommends to the Council to abrogate its decision
   on the existence of an excessive deficit in Slovakia.
   12
           OJ C 49, 22.2.2008, p. 44.
EN                                                  6                                                EN
 ---pagebreak---    Table 2: Budgetary developments, 2003-2009
                                                   2003 2004 2005 2006 2007                  2008           2009
   % of GDP, unless indicated otherwise                                                COM CP(2) COM(3) CP(2)
                                                                                -2.3           -1.8
   General government balance                      -2.7 -2.4 -2.8 -3.6 -2.2             -2.0           -2.3
                                                                                (-2.0)         (-1.7)
   - Total revenues                                37.4 35.4 35.3 33.5 34.7 34.3                 33.0  33.8     31.8
   - Total expenditure                             40.2 37.8 38.1 37.2 36.9 36.3                 35.3  36.1     33.7
     Of which : - interest expenditure              2.5    2.2    1.7     1.5    1.4     1.4      1.4   1.4      1.5
                  - gross fixed capital formation 2.6      2.4    2.1     2.2    1.9     1.9      1.8   1.9      1.4
   Pension reform costs                             0.0    0.0    0.8     1.2    1.3     1.3      1.3   1.3      1.3
   Pre-stocking with cigarettes (net impact)        0.1 -0.1 0.3 -0.3 0.5               -0.1      n.a. -0.4      n.a.
   Primary balance                                 -0.2 -0.2 -1.1 -2.2 -0.8             -0.6     -0.9  -1.0     -0.3
   One-off and temporary measures                  -0.4 0.0 -0.9 0.0 -0.1                0.1      0.1   0.0      0.0
   Structural balance(1)                           -1.4 -1.4 -1.0 -3.1 -2.6             -2.8     -3.1  -3.1     -2.4
   Structural primary balance(1)                    1.1    0.8    0.8 -1.7 -1.2         -1.5     -1.7  -1.7     -0.9
   Government gross debt                           42.4 41.4 34.2 30.4 29.4 29.2                 30.8  29.7     30.5
   Pm        Real GDP growth (%)                    4.8    5.2    6.6     8.5 10.4       7.0      6.8   6.2      5.8
   Pm        Output gap                            -3.2 -3.4 -3.2 -1.6 1.9               2.7      2.3   2.5      2.1
   (1)
              Cyclically-adjusted (primary) 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.
   (3)
              No-policy change assumption.
   Sources: Commission services’ spring 2008 forecast (COM) and November 2007 update of the convergence
              programme (CP) (In brackets the latest national targets set in February and April 2008)
EN                                                          7                                                         EN
 ---pagebreak---                                            Recommendation for a
                                          COUNCIL DECISION
      abrogating Decision 2005/182/EC on the existence of an excessive deficit in Slovakia
   THE 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 2005/182/EC13, following a recommendation from the
           Commission in accordance with Article 104(6) of the Treaty, it was decided that an
           excessive deficit existed in Slovakia. The Council noted that the general government
           deficit was 3.6% of GDP in 2003, above the 3% of GDP Treaty reference value.
   (2)     On 5 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 procedure14, the Council made, based on a
           recommendation from the Commission, a recommendation addressed to Slovakia with
           a view to bringing the excessive deficit situation to an end by 2007 at the latest. The
           recommendation was made public.
   (3)     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.
   (4)     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
           Community15.
   13
           OJ L 62, 9.3.2005, p. 16.
   14
           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).
   15
           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).
EN                                                       8                                                   EN
 ---pagebreak---    (5) Based on data provided by the Commission (Eurostat) in accordance with Article
       8g(1) of Regulation (EC) No 3605/93 following the notification by Slovakia before 1
       April 2008 and on the Commission services’ spring 2008 forecast, the following
       conclusions are warranted:
        –     due to data revisions after the 2004 Council decision on the existence of an
              excessive deficit, the general government deficit remained below 3% of GDP
              in the years 2003-2005. After increasing to 3.6% of GDP in 2006 it was
              reduced to 2.2% of GDP in 2007, which is below the 3% of GDP deficit
              reference value. This compares with a target of 2.9% of GDP set in the
              December 2006 update of the convergence programme,
        –     the fiscal consolidation has benefited from buoyant GDP, employment and
              revenue growth, allowing the expenditure-to-GDP ratio to fall faster than the
              revenue-to-GDP ratio. The falling expenditure-to-GDP ratio was also induced
              by expenditure restraint and expenditure reforms such as substantial
              restrictions on social benefits. Nevertheless, the cyclical upswing and growth
              dividends from structural reforms were not fully exploited for fiscal
              consolidation. As a result, the structural deficit (i.e. the cyclically-adjusted
              balance net of one-off and other temporary measures) is estimated to have
              deteriorated from some 1½% of GDP in 2003 to around 3% of GDP in 2006
              before improving to around 2½% of GDP by 2007. However, part of the
              structural deterioration can be attributed to the introduction of the second
              funded pension pillar in 2005 with transfers to this pillar estimated to have
              increased from 0.8% of GDP in 2005 to 1.2% and 1.3% of GDP in 2006 and
              2007 respectively. In addition, increases in taxes on cigarettes preceded by
              sizeable pre-stocking with cigarettes at various stages of the distribution chain
              led to sizeable shifts in tax revenue resulting in extra tax revenue in 2003, 2005
              and 2007 followed by equivalent revenue shortfalls in the subsequent years,
        –     for 2008, the Commission services’ spring 2008 forecast projects the headline
              deficit to be reduced further, to 2.0% of GDP, driven mainly by continued
              strong growth prospects and some revenue-increasing measures such as a
              broadening of the corporate and personal income tax base and an increase in
              the maximum ceiling on social contributions. This is in line with the official
              deficit target of 2.0% of GDP set in February 2008. For 2009, the spring
              forecast projects, on a no-policy change basis, an increase in the deficit to 2.3%
              of GDP. 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 deteriorate by some ¼ percentage point of GDP in 2008 and, on a no-policy
              change basis, by around ¼ percentage points in 2009. This has to be seen
              against the need to make progress towards the medium-term objective (MTO)
              for the budgetary position, which for Slovakia is a structural deficit of just
              below 1% of GDP,
        –     government debt remains well below the 60% of GDP reference value. It
              declined from 42.4% of GDP in 2003 to 29.4% in 2007. According to the
              spring 2008 forecast, the debt ratio is projected to remain broadly stable over
              the forecast horizon (on a no-policy change basis).
EN                                              9                                                EN
 ---pagebreak---    (6)    In the view of the Council, the excessive deficit in Slovakia has been corrected and
          Decision 2005/182/EC should therefore be abrogated.
   HAS ADOPTED THIS DECISION:
                                             Article 1
   From an overall assessment it follows that the excessive deficit situation in Slovakia has been
   corrected.
                                             Article 2
   Decision 2005/182/EC is hereby abrogated.
                                             Article 3
   This Decision is addressed to the Slovak Republic.
   Done at Brussels,
                                               For the Council
                                               The President
EN                                               10                                                EN


RECOMMENDATION FOR A COUNCIL DECISION CONCERNING THE CONCLUSION OF AN ADDITIONAL PROTOCOL TO THE COOPERATION AGREEMENT BETWEEN THE EUROPEAN ECONOMIC COMMUNITY AND THE PEOPLE' S DEMOCRATIF REPUBLIC OF ALGERIA


title: RECOMMENDATION FOR A COUNCIL DECISION concluding the Agreement between the European Economic Community and the Office of the United Nations High Commissioner for Refugees on the supply of butteroil, and cereals as emergency food aid for the victims of the events in Cyprus (submitted to the Council by the Commission)

text:
ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (75) 277
Vol. 1975/0098
 ---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,
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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
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Februar 1983 über die Freigabe der historischen Archive der Europäischen
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 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
                                   COM(75 ) 277 final
                                   Brussels 12 June 1975
                        RECOMMENDATION
                    FOR A COUNCIL DECISION
         concluding the Agreement between the European :
         Economic Community and the Office of the United
         Nations High Commissioner for Refugees on the
         supply of butteroil , and cereals as emergency
         food aid for the victims of the    events in
         Cyprus
         ( submitted to the Council by the Commission )
C0M(75 ) 277 final
 ---pagebreak---                           - 2 -
 THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European
Economic . Community , and in particular Articles 113 , 114
and 228 thereof ;
Having regard to the Recommendation from the Commissionj
Whereas the European Economic Community has concluded the
Convention relating to food aid , 1971 J
Whereas the Office of the United Nations High Commissioner
for Refugees has made known the Cypriot refugees' requirements
in cereal products and whereas 5 000 metric tons of cereals ,
to be supplied in the form of 3 311 metric tons of wheat flour
should consequently be allocated to this body as emergency
food aid ;
Whereas the Council , in Regulation ( EEC ) No 875/75 of 18.3.1975
on the supply of butteroil decided to make available to the
Office of the United Nations High Commissioner for Refugees "
300 metric tons of butteroilj
HAD DECIDED AS F0LL0WS :
                           Article 1
An Agreement between the European Economic Community and the
Office of the United Nations High Commissioner for Refugees
on the supply of butteroil and cereals as food aid , the text
of which is annexed to this Decision , is hereby concluded on
behalf of the European Economic Community .
                           Articlè 2
The President of the Council is hereby authorized to designate
the persons empowered to sign the Agreement , and to confer on
them necessary powers to bind the Community .
                                  Done at Brus sels ,
                                  For the Council
                                  The Président
 ---pagebreak---                                     - .3 -
  ■                     '                    . : -       ;                 '
THE COUNCIL OP THE EUROPEAN CCMMUNPHES ,
of the on© part ,
                »»
THS OFFICE OF THE-. UNITED NATIONS HIGH COMMISSIONER FOR REFUGEES .
                     »;
of the other part.' t.
HAVE 3ECIIISD to conclude this Agreement and. to this end have designated as
their Plenipotentiaries s
THE COtfKUIL OF THE EUROPEAN CCMTONITDSS :
THE OFFICE OF THE UNITED NATIONS HIGH CCMMISSIOBER FOR REFUGEES !
KHO HAVE AGREED AS FOLLOWS !
                                           I
                                           J
 ---pagebreak---                  AGREERENT
      »
BETWEEN THE KFROFEAN ECONOMIC COMMUNITY AM) THE OFFICE
OF THE UNITED NATIONS HIC-H COMMISSIONER FOR REFUGEES ON
THE SUPPLY OF BUTTEROIL AND CEREALS AS EMERGENCY FOOD
AID FOR THE VICTIMS OF THE EVENTS IN CYPRUS .
 ---pagebreak--- Under the 1974/75 f^od     d prcfirarrjts , tr ? '^xTopa^ Economic Community Hereinafter
referred to as the " Comrsunity^ she-". '. sir.-r.y c?,a a £'ift to the Crf3.cc ~i" " sr.9 United
Nations High Ccramiesioaer for Refuges *, hereinafter referred to 53 the ^reoiri-artf
body" 300 metric tons of buttereil and 5 000 metric tona of cereals , to b ?
supplied in the form of 3-3X1 m&tcic tons of vheat flour in cotton sacks cf »«t
weight of 50 kg eachc
The Quality requirement e and packaging conditions for tha butt crci 1 are set out in
Annex II which forms ai integral part of this Agrweisant .
                                    /JFTTJjE II
Delivaries shall be made in accordance with the provisions of grrsx 11 ? s^ush
forms aii. integral part of tula Agrsacionto
                                     ARTICLE III
The recipient body undertakes to make all nec-essaay arrangements for the
transportation and the insurance cf the products from the point of delivery
to the places of destination.        It undertakes to exercise the greatest possible
care to ensure that the tendering arrangements for the transport by sea are not
prejudicial to the free play of fair competition .              The recipient body reserves
the right to transport the products supplied as aid free of charge if means of
transportation are made available io it without charge#
Any problems arising in this connection shall "be the subject of consultations
under Article \rI of this Agreement ,
                                     ASTTCIJB JY
The recipient body undertakes to use the products received as aid for purposes
of consumption and to distribute the® free of charge to the victims of the recent
events in Cyprus 0
 ---pagebreak---                                  ARTICLE V
The recipient "body undertakes to inform the European Economic Community as
to how this Agreement is being implemented .    To this end , it shall provide
the Commission of the European Communities with the following informations
-  immediately after discharge of each cargo : ports and dates of arrival
   of the vessel ; nature , quantity and any comments on the quality of the
   products discharged ;  date on which discharge was completed ;
~  one month after completion of the delivery , then every three months
   until the quantities received as aid have been fully used :    quantities
   distributed , number and description of the beileficiaries , places , timetable
   and method of destribution .
                                ARTICLE VI
At the request of either of them , the Contracting Parties shall consult each
other on any questions concerning implementation of this Agreement#
                              ARTICLE VII
This Agreement is drawn up in duplicate in the Danish , Dutch , English , French ,
German and Italian languages , all of these texts being equally authentic *
 ---pagebreak---    I r.    Quality
( )        Characteristics of the product i
Concentrate of milk fats rith a pure fat content of not less than 99«S/oe
( E)       Standard composition
(Analysis carried out daring manufacture and packaging )
– Moisture content and non-fat components of the milks not exceeding 0>2fo
–       Fats s    not less than 99*w°
~ Free fatty acids :          not exceeding 0.5% ( expressed in oleic acid )
- Peroxide index per kg ;          not more than one unit ( in mi 1 1 i-e quival ent a of
        active oxygen per kg)
–       Taste :    fresh
–       bine 11 :  no snella foreign to butterei !»
II®        Packaging :
 ( a)      5 kg métal tins – 4 tins per box
 ... .. ..               ..      .A .      _ .
 ( by      Marking on the outside!*, in English as follows :
                                    Y
                                     1.
                                      V
5UTTER0IL                               \\
           J                               \
GIFT FROM THE EUROPEAN ECOEOMIC v CCMU]JTTy
TO THE OFFICE OF THE UUITED NATIONS HIGH COMMISSIONER FOR REFUGEES
                      >
FOR FREE DISTRIBUTION" TO THE PEOPLE OF CYPRUS
                     i
 ---pagebreak---                 ■             General Provisions                       I     .\
                                 Article 1
Delivery shall "be complete and risks shall pass from the European Economic
Community, "hereinafter referred to as the EEC , to the recipient body once
the goods are deposited at the point of exportation designated "by the -
Commission of the European Communities , at the place indicated by the
recipient body .or its authorized agent referred to in Article 2 , subject
to the conditions referred to in the following articles .    Without
prejudice to Articles ^ and 8 , the costs incurred up to and including
delivery shall be borne by the Community and by the recipient body after this
delivery.
                                 Article 2
To implement the provisions of this Annex , the Community shall appoint – if
necessary for each lot - an authorized agent whose name and address shall
be made known to the recipient body as soon as he is appointed . The
recipient body shall appoint in the port or ports of shipment an authorized
agent whose name and address it shall make known to the Community as soon
as possible and if possible before the appointment of the Community 's
authorized agent .
                                 Article 3
Prior to the implementation of the procedures to appoint the Community 's
authorized agent referred to in Article 2 , the Commission of the European
Communities and the recipient body shall jointly fix the period during
which the delivery is to begin .
                II . Obligations of the European Economic Community
                                 Article 4
Where the Community is not in a position to carry out the delivery on the date
and , where appropriate , at the rate provided for in Article 6 , any costs
incurred as a result by the recipient body, for example demurrage , forfeit
freight or dead freight shall be borne by the Community.
The demurrage rates and detailed arrangemnts relating thereto laid down in
the contracts concluded between the recipient body and the carrier must have
been previously agreed upon between the recipient body and the authorized agent
 ---pagebreak--- of the Community. The other oosts referred to in the first paragraph shall
only be refunded by the Community if they have been paid by the recipient body
with the agreement of the Community.
                                 Article 5
Should it prove impossible for the Community to supply all or part of the
goods on the date and within    the time limit provided for in Article 6 ,
without prejudice to the provisions of Article 4t the authorized agents of the
Community and the recipient body shall agree on a new date and a new time
limit for delivery of the total consignment or that part of it which has not
been delivered .
                     III . Obligations of the recipient body
                                 Article 6
After contacting the Community, the recipient body shall procure * for the
transportation of all the quantities provided for in Article 1 of the
Agreement , one or several vessels of dimensions corresponding to the normal
loading potential of the port of shipment , which must be ready for loading
on a date falling within the period referred to in Article 3 *
As soon as he knows this date and the date on which delivery is due to begin ,
the authorized agent of the recipient body shall notify the Community of
them , if possible 20 days and in any case 10 clear days before the date on
which delivery is due to begin .
He shall fix with the authorized agent of the Community the rate at which
deliveries shall be carried out .
                                 Article 7
Should the recipient body not be in a position to" begin loading on the
date provided for in the first paragraph of Article 6 , its authorized
agent shall immediately inform the authorized agent of the Community .
In that event , a new date for commencement of deliveries and , where appropriate ,
a new rate may be agreed upon between the Community 's authorized agent and
that of the recipient body. Whatever the circumstances , the costs attributable
to this delay shall, except in cases of force ma.ieure . be borne by the
recipient body.
 ---pagebreak---                                    Article 8
 Where the quantity scheduled for loading on a vessel cannot be taken on
 "beard in its entirety , the recipient body shall inform the Community as soon
 as possible and 'in any event not later than 15 clear days after loading
 is completed , whether it intends to taJce or forgo the balance e
 In the first case , the second and third paragraphs of Article 7 shall be
 applicable to this balance if it has not already been delivered .
 In the second case , the Community may consider that it has discharged its
 commitment to the recipient body under Article 1 of the Agreement and
 it shall bear the costs resulting from non-acceptance of the balances
In ajny event , if the recipient body has not informed the Community of its
 intentions after the period of 15 clear days has expired , it shall be
considered to have foregone the balance .
On delivery of the goods , the recipient body shall give the authorized agent of the
Community    a certificate confirming delivery , indicating the port of shipment ,
the date of taking delivery , and the nature , quantity and any comments on
the quality of the goods received , and shall address a copy of this certificate
to the Commission of the European Communities .


RECOMMENDATION FOR A COUNCIL DECISION AUTHORIZING THE COMMISSION TO NEGOTIATE AN AGREEMENT FOR THE IMPLEMENTATION FOR A CONCERTED ACTION PROJECT ON SHORE BASED MARITIME NAVIGATION AID SYSTEMS BETWEEN THE COMMUNITY AND NON-MEMBER STATES PARTICIPATING IN EUROPEAN COOPERATION IN THE FIELD OF SCIENTIFIC AND TECHNICAL RESEARCH ( COST )


title: Recommendation for a Council Decision giving notice to Germany, in accordance with Article 104(9) of the EC Treaty, to take measures for the deficit reduction judged necessary in order to remedy the situation of excessive deficit

text: ---pagebreak---  ---pagebreak---  ---pagebreak---  ---pagebreak---  ---pagebreak---  ---pagebreak---  ---pagebreak---  ---pagebreak---


title: RECOMMENDATION FOR A COUNCIL DECISION CONCERNING THE CONCLUSION OF AN AGREEMENT IN THE FORM OF EXCHANGES OF CONFIDENTIAL LETTERS BETWEEN THE EUROPEAN ECONOMIC COMMUNITY AND THE PEOPLE'S REPUBLIC OF BANGLADESH ON TRADE IN JUTE PRODUCTS AND OF THE DECLARATIONS ATTACHED THERETO (presented by the Commission to the Council)

text:
ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (80) 401
Vol. 1980/0141
 ---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---                                                               COM(80)401 final
   COMMISSION                                                 Brussels . 18th July 1980
      OF THE
ROPEAN COMMUNITIES                                            FOR OFFICIAL USE ONLY
  General Secretariat
                              RECOMMENDATION FOR A COUNCIL DECISION
                      CONCERNING THE CONCLUSION OF AN AGREEMENT IN THE FORM
                        OF EXCHANGES OF CONFIDENTIAL LETTERS BETWEEN THE
                               EUROPEAN ECONOMIC 'COMMUNITY AND THE
                        PEOPLE 'S REPUBLIC OF BANGLADESH ON TRADE IN JUTE      ■
                      PRODUCTS AND OF THE DECLARATIONS ATTACHED THERETO
                          ( presented by the Commission to the Council )
   C0M(80 ) 401 final
 ---pagebreak---                               EXPLANATORY - MEMORANDUM
 1.      By a decision of 23 November 1979 the Cduncil authorized the Commission
 to open negotiations with Bangladesh for the conclusion of an Agreement on
 trade in jute products .    Pursuant to this decision and in consultation with th
Article 113 Committee , the Commission held negotiations with Bangladesh in
November 1979 and January 1980 .                                                ;  ■
 Following these negotiations , a draft Agreement was drawn up and initialled '
on 26 March 1980 .     The Commission considers that this draft Agreement , which
has been aoproved by the Article 113 Committee , constitutes an acceptable
outcome for the Community .
2.       The Commission has submitted to the Council'a recommendation for a '
Council Regulation concluding that . Agreement ( 1 ).   Exchanges of letters
of a confidential nature as well . as the Confidential Agreed Minutes of the
" 'egotiations form nart of that Agreement .
In view of the special nature of these texts , it is propose^ that they be
approved by a separate act .
                               . f                  1                            '
The Commission thus recommends that the Council adopt for       that purpose
the annexed draft decision .
   Doc .  COM
 ---pagebreak---                              COUNCIL   DECISION
    concerning the conclusion of an Agreement in the form of Exchanges of Confidential
    letters between the European Economic Community and the People 's Republic of
  ■ Bangladesh on trade in jute products and of the declarations attached thereto
                                                 \                      '
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
Having regard to the Treaty establishing the European Economic Community , and
in particular Article 113 thereof-
Having regard to the Recommendation from the Commission ,
                                        1                             '   ,
Whereas the Agreement in the form of Exchanges of Confidential Letters between
the Eurooean Economic Community and the People 's Republic of Bangladesh on
trade in jute products and the declarations attached thereto should be approved ,
                                      \
HAS   DECIDED AS  FOLLOWS :
                 •          Article 1       . -.  . „
       The Agreement in the form of Exchanges         of Confidential Letters between the
European Economic Community and the People 's Republic of Bangladesh on trade
in jute products and the declarations attached thereto are hereby approved on
behalf of the Community .
       The text of the Agreement and declarations are annexed to this Decision .
                            Article 2
       The President of the Council shall notify the other Contracting Party
of the completion of the procedures required for the entry into force of the
Agreement .                                                                 ,
        ! .
Done at Brussels ,                                              For the Council
                                                                The President
 ---pagebreak--- •         ^ ■% '    > "r *
                                                                                €xcnange of letters No 1
                I                ' \      *
       Mr. Chairman ,
    *             Concluding the negotiations conducted between the Government of the People 's
  CfiepufcTl i c of Bangladesh and the European Economic Community whic h have led , th is day ,
   ,? to the signing "of the-Agreement concerning t rade~in jute products , I have the honour ,
       with" reference to Article 3 of the Agreement , to confirm that the quantitative                                                                                ^
     ^restrictions in force in France for products of Categories 1 - 2- 3 wilT be applied i n '
       the period of t h e^agr e e menT~~a1TT h e~Te ve                                                     "rid"i cat ecT b e I owf                      '                       '~
     ■   *'^,'1     If K I . JJJ        i                 ^-1 »*–•                     -'.'V 1      ~            •' 1                      -  I- . .        '[   . T1 ^
                                                                      1980                       1981 - ;                1982                 . 1983 ( metric tons )
       Fabrics ( 1 )                   V"/'                      ,      ADO                       432                     466                      504 ,                  ^
       Sacks and bags ( 2 )                                          5.100                     5.610                  6.171                     6.788              .
   I              Th e competent authorities in the Communi ty wi 1 1 , endeavour„to_ „open,_:as_soon_.as_-
  l possTBle in each cal endar year^jthe_ import possibil itie s fo r products originating                                                                                :
  /IrTand coming from Bangladesh , and wilt inform the Bangladesh authorities when ,                                                                                ■
   ] such possibilïtïês fi ave been opëriëd .                                                                                (
                If additional demand should arise, the Community will not object to these
       limits being increased on the understanding that the additional quantities .
       shall be determined on the basis of mutual agreement between both Parties .
                The quantitative restrictions confirmed by this letter will be eliminated
    . as from 1 January 1984 .                                                                                v
                I should be grateful if you would kindly confirm your agreement to the
       contents of this letter .                                          ,,                                                                           (
                Please accept , Mr. Chairman, the assurance j Of my highest consideration ^
                  MMI Sfc                      CCT                       Stitittictl
                      * - de                 reference                  lubdivtuon                                    Description of ftoodt .        (
                                       57.10                                                Woven fabrics of jute or of other textile bast fibre»
                                                                                of heading No 57.03 i '                                            '
                                       A                                                     . Of a width of not more than 150 cm and weighing per
                                                                                r«
                                                                                square metre :    ·
                                     -X
                                          1.1                                                    Less than 310 g ;
                  < M 0-21                          . . .              d                           Unbleached                                            . . ¿          .
                  57.10-29                                             b                           Other                                           .......
                                          II              ■' I                                   Not less thart 310 g but not more than 500 g :
                  5*10-31                                              a     -                      Unbleached         .                                                    j
                                                                       b
                                                               /
                  57.10-39
                  57.10-50                III                                  í                  More than 500 g                               7 . . . ι .
                                                        I
                                                                                »
                                                                                Footnote 2 overleaf                                1
                                                ·. . ' ■ 1         '
 ---pagebreak--- NIMEXE    CCT
Code      R-eferencé                              Description of goods
          62.03             Sacks and bags , of a kind used for the packing of goods :
          A                  Of jute or of other textile bast fibres of heading
                             No . 57.03 :
            II            i  Other than used :
                          »
 62.03-13      a         t       Of fabric weighing less than 310 g / m2
 62.03-15      b   ' !           Of fabric weighing not; less than 310 g / m2 but not more
                     • I          than 500 g / m2
■62.03-17      c       i'        Of fabric weighing more . than 500 g / m2
                                      á . -- -    -     -                    ....  ^
                                                                 1
                                                                   • •                     \
                                    /
                                                                           /
                                                                                k
 ---pagebreak---     Mr. Chairman ,                                                                   1
                         . .                   «
                                                                                ,          . ■   ■                 .            •     "   "<
             I have the honour to acknowledge receipt of your letter of today , worded
    as fol lows                                                                 ,
            " Concluding the negotiations conducted between the Government of the People'
    Republic of Bangladesh and the European Economic Community which have led , this
. day, to the signing of the Agreement concerning trade in jute products , I have the
    honour , with reference to Article 3 of the Agreement , to confirm t)lat the quanti
  tative restrictions in force in France for products of C ate gor i es 1 - 2- 3 wi 1 1 be
    applied in the period of the agreement at the levels indicated below :.
                                                                  1980                               1981                     1982                1983 ( metric tons )
                                                                  "-     " '                     ■ "       ' "                                                f
    Fabrics ( 1 )                                                  ' 400                            . 432          *            466        '         504 .
                                                                   ,                              •                            '                                       "
    Sacks and bags ( 2 )                                        5.100                           5.610                «     6.171                  6.788
>.r         The competent authorities in the Community will endeavour to open , as soon a
   possible in e ach calendar year , the import possibi Ijt ies for produ cts originating
\ in and coming from Banglade sh , and wi I ^in_form the Bangladesh authorities when _
    ^ uch possibilities have been opened.'
                       i■'                       f. - '                                  7                    .             r~r~'     '        ''                  '     ' *~r _ '\
             If additional demand should arise , the Community will not object to these
     limits being increased on the understanding that the additional quantities
    shaUl be determined on the basis of mutual agreement between both Parties .
                                                               -•                                        .  .                                      '    , '                        ' *
             The quantitative restrictions confirmed by this letter will be eliminated
    as f rom 1 January 1984 .                                               j
             I should be grateful if you would kindly confirm your agreement to the                                                                                ,
    contents of this letter .                                         "
              I have the honour to confirm my agreementjto the contents of                                                                                ; '
   that letter .
            Please accept , Mr. Chairman , the' assurance of my highest consideration .
       ( 1 ).
               MMFXt                      C CT                         Siatiuictl
                 t(xl<               (tienne*                         lubditriiioa                                         Dnrrtprian of (oodt
                                                                                \
                                                                                ■    ' ■     J
                             57.10                           .                                 Woven fabric* of jute or of other textile bau fibre*
                                                                                of heading No 57.03 :
                             A                   ■     -·                   1
                                                                                Of a widi h of not more than 150 cm and weighing per
                                                       I
             "*        '        ,' '                   ; 1                                      tquare metre :
                               1 ■                      .               :     ·        '
                                                                                , Lesi than 3 It) g : *
              S7.10-21                                               a                                  Unbleached ,,,,,,,,
              57.10-29                                               b                     '            Oliifr                    . . . .                            ' .
                                                                                »
                               II                                                                    Not less than 310 g bur not more than 500 g : ,
              J7.I0-ÎI                 •     ·
                                                                                Unbleached          * » » » · « · .· · » « » ¿             · *
              57.10-39                   . '/ ·      '     x         * /;                               Other é * » ·,· ,* è t · * · ι « i ι' « 4 . » i
               S7.10-50        m ;                                        '       i,'· ■"    '       More than 500 g . . · , ♦ . / , # . ♦ » Υ. ,
                                                                                Footnote 2 overleaf
 ---pagebreak--- (2)
NIMEXE     CCT
Code       Reference                            DPSC R iption of goo ds
           62 « 03       Sacks Tncfbags , ofTTind used for the packing of goods :
           A              Of jute or of other textile best fibres of heading
                          No .  57.03 :
             II        '  Other than used :
  62.03-13                     Of fabric weighing Less than 310 g / m2
                a    I         Of fabric weighing not less than 310 g / m2 but not more
  62.03-15      b    !
                                than 500 g / m2
 •62.03-17      c    i         Of fabric weighing more , than 500 g / m2
                             i
 ---pagebreak---     Mr. Chairman , •
                                                  <                                 '            v-
           Concluding the negotiations conducted between the Government of the People 's "
    Republic of Bangladesh and the European Economic Community whi ch have led , this
    day^to the signing of the Agreement concerning \ _ trade in jute products , I
    have the honour , with reference to Article 3 of the Agreement , to confirm that
    the quantitative restrictions in force in the Federal Republic of Germany for r
   products of Categories 2 and 3 C1 ) will be applied in the period of the Agreement
    at the levels indicated below t                 '
                                                       1981         1982       1983 ( metric tons )
         Fabrics                       1.950           2.145      • 2.360      2.595
 '        Th e c ompetent auth orit ies in the Community will endeavour to open , as soon as              ?
f possible in each c al endar year , the import pos sib iliti es fo r products or iginating             f~ ■
( in and coming from Bangladesh , and will inform the Bangladesh authorities when                      ~V
 v such possibilities have been opened . '                     ~~                               ------
          If additional demand should arise , the Community will not object to
   these limits being increased on the understanding that the additional quantities
   shall be determined on the basis of mutual agreement between both Parties .
          The quantitative restrictions , confirmed by this* letter will be eliminated .
   as fromy          Ja nuary 1984 .                      '/                 ,
          I should be grateful if you would kindly confirm your agreement to the              .
   contents of this letter .         ■, _                             '
          Please accept , Mr. Chairman , the assurance of my highest consideration . .
   (1)
     NIMEXE           .CCT
     Code   '          Reference                             Description of goods
                       57.10   ,          Woven fabrics of jute or of other textile bast fibres
                                          of heading No . 57.03 :
                       A '                Of a width of not more than .150 cm and weighing per
                                          square metre :
                         I                 ' Less than 310 g :                    '   !
    57.10-21               a                  Unbleached
      \
                        II                   Not less than 310 g but not more than 500 g :
    57.10-31                                  Unbleached *
 ---pagebreak---      Mrv Chairman ,                      .             s                                                 •' .         ■ • ■
              I have the honour to acknowledge receipt of your letter of today - worded
                  i              •  '                                   '                            1
     as fol lows :
           " Concluding the negotiations conducted between the Government of the People 's
    Republic of Bangladesh and the European Economic Community which have led , this
    day, to the signing of the Agreement concerning                                      / trade in jute products , I
    have the honour , with reference to Article 3 of the Agreement , to confirm that
    the quantitative restrictions in force' in the<Federal Republic of Germany for
    products of Categories 2 and 3 < 1 ) will be applied in the period of the Agreement
    at the levels Indicated below : ■                                            v ..
               '          '                           1980                ' 1981             1982          1983 ( metric tons )
            Fabrics                             -     1.950       .         2.145            2.360          2.595
                                                                                /
              The competent authorities in the Community wil l endeavour to open ^ as soon as
•'".possible in each calendar year , the import possibilities .for; products originating '
 A in v and coming from Bangladesh , and will inform the Bangladesh authorities when such ..
I possibil it ies   '
                                have beenopened .                _  '~r
                                                                               ••      .       } '*    ~      "' rr             ■v
        1    if additional demand should arise , the Community will not object to .
    these limits being increased on the understanding that the additional quantities
    shall be determined on the basis of mutual agreement between both Parties .                                               ,
          ■ The quantitative restrictions confirmed by this letter will be eliminated '
    as from 1 January 1984 .                          •"    '' .
             I should be grateful 1f you would kindly confirm your agreement to the
    contents of this letter .                       "             '                               •'                '
             I have the hono ur to confirm my agreemen t t o the contents of this                                                  / .
    'letter.'         >• , '                      •                                                                         •
           , Please accept ,. Mr. Chairman , the assurance of my highest consideration .
                         '· ' V       '·   '
    (1)
     NIMEXE                        CCT
     Code                          Reference                                        Description of goods
                                   57.10                 Woven fabrics of jute or of other textile bast fibres
                                                         of heading No . 57.03 :
                          ΛvA                            Of a width of not more than 150 cm and weighing per ,
                                                         square metre :              .                     ^'
                                       I                     Less than 310 g :                                           '      •
     57.10-21                                ,a            - Unbleached
                                       II                    Not less than 310 g but not more than 500 g :
     57.10-31 ;                               a                Unbleached
 ---pagebreak---      Mr. Chairman ,
              Concluding'the negotiations conducted between the Government of the People 's
     Republic of Bangladesh and the European Economic Community which have led ,
     this day, to the signing of the Agreement concerning , trade in jute products , I
     have the honour with reference to Article 3 of the Agreement , to confirm that the
   quant i tat i ve rest ri ct ions in force ,in the United Kingd&m for products of Categories
     1 -2-3 ( 1 ) will be applied in the period of the Agreement at the level indicated
     below :                                                                        <
                                       1980        1 981     1982     1983 ( metric tons )
                Fabrics aid sacks       160         176      194        213
                  ô f which sarlîs
                  not more than                               61       . 67               ;   .
               The competent authorities in the. Community will endeavour to open the
    import possibilities as soon as possible in each calendar year, and will
    inform the Bangladesh authorities when such possibilities have been opened.
               If additional demand should arise, the , Community will not object to
    this limit being increased on the understanding ' that the! additional quantities
    shall be determined on the basis of mutual agreement between both Parties . ■ . - '
              The quantitative restrictions confirmed by this letter will be eliminated
   as from ,1 January 1984 .
              I should be grateful if you would kindly confirm your agreement to
  the contents of this letter .                            ,                                *
              Please accept > Mr.' Chairman, the assurances of my highest consideration.
        t -                   • 1
   (1)                        ~
       ( a ) Woven fabrics falling withjn tariff heading No . 75.10 wholly or mainly
              . of jute or any weight or weave exceeding 46 centimetres in width up
            .? to and ihcluding 150 Centimetres in width other than those common sacking
                and plaih weave fabrics not more than 150 centimetres in width as defined
                 in the U.K. notice to importers .                              ^
v      (b)      New Sacks and bags and woolpacks , falling within tariff heading No . 62.03
                wholly or , mainly of jute other than heavy bags and woolpacks as defined
                in the U.K. notice to importers .
 ---pagebreak--- Mr. Chairman ,
         I have the honour to acknowledge recept of your letter of today , worded
as fol lows :                                   .      v              .   .    . •   .
        "Concluding the negotiations conducted between the Government of the People 's
 Republic of Bangladesh and the European Economic Community which have led ,,
 this day, to the signing of the Agreement concerning                trade in jute products , I
 have the honour with reference to Article 3 of the Agreement , to confirm that the
quantitative restrictions in force in the United Kingdom for products of Categories
 1 - 2 - 3 ( 1 ) will be applied in the period of the Agreement at the level indicated
 below :
                                .  1980
                                   1980            11 981
                                                      981    1982       1983 ( metric tons )
            Fabrics
            Fahnc6 and sacks        160              176  *   194        213
             of which sacks
                                     50                55      61 .         67
             not more than
           The competent authorities in the Community will endeavour to open the
 import possibilities as soon as possible in each calendar year , and will
 inform the Bangladesh authorities when such possibilities have been opened .
           Jf additional demand should arise , the Community wilt not object to
 this limit being increased on the understanding • that the additional quantities
 shall be determined on the basis of mutual agreement between both Parties .
           The quantitative restrictions confirmed by this letter will be eliminated
 as from 1 January 1984 .
                       "                     ^                                     "     i   *
           I should be grateful if you would kindly confirm your agreement to
the contents of this letter .
           I have_ the_ honour_ to__con.fi rm my_ agreement to the contents
of that      letter .
    ,    Please accept , Mr. Chairman , the assurance of my highest consideration .
 (1)
      ( a)   Woven fabrics falling within tariff heading No . 75.10 wholly or mainly
             of jute or any weight or weave exceeding 46 centimetres in width up
              to and including 150 centimetres in width other than those common sacking
              and plain weave fabrics not more than 150 centimetres in width as defined
              in the U.K. notice to importers ,
      ( b)   New sacks and bags and woolpacks , falling within tariff heading No . 62.03
              wholly or mainly of jute other than heavy bags and woolpacks as defined
              in the U.K. notice to importers .
 ---pagebreak---                                                                                Co'nf idential Letter No 2
           COMMISSION
                                                                                Brussels
            ' OF THE
EUROPEAN COMMUNITIES
       Directorate-General for
        . External Relations
                E 2
                Your Excellency ,
                       During the final phase of the negotiations between the European
                Economic Community and the People 's Republic of Bangladesh for the
                conclusion of an Agreement on trade in jute products , the Chairman
               of the Community delegation made the following point :
                       With regard to imports of jute yarn ( Category 6 ) from Bangladesh
               on to the market of the United Kingdom and , with reference to the
               provisions of Article 5 of the aforementioned agreement , the Community
               indicates that , should it request a consultation in relation to exports
               of jute yarn on to" the United Kingdom market and in a case where the
              provisions of paragraph 2 of the aforementioned Article 5 should be applied ,
               the annual quantity will be fixed at a level which will be in any case
              not lower than 2,600 'torts ..
                      Please accept , Your Excellency , the assurance of my highest .
              consideration .
                                                                              Chairman of the Community Delegation
              His Excellency ,
              Mr. Salahuddin AHMED                      ;
              Head of the Delegation of
              the People 's Republic of Bangladesh
Provliiona! addr*f«.' Rue dé la Loi 200, B - 1049 B'utieli – Téléphoné 735 00 40 / 73580 40 – Télégraphie address: "COMEUR Brussels" –
                                                          Tale*: " 21877COMEU B "
 ---pagebreak---                                                                                Confidential letter No 1
                                                      \                  *  ;                ■         ■                   '
          COMMISSION
              OF 'THE'                                               .             ... Brussels
EUROPEAN COMMUNITIES
     Directorate-General for
          External Relations
        ,    E 2
                       Your Excellency ,                .
                           During the final phase of the negotiations between the European
                       Economic Community and the People 's Republic of Bangladesh for the
                                  \             ■                                         »
                       conclusion of an Agreement on trade in jute products , the Chairman
                   • of the Community Delegation made the following point :■
                           With regard to imports of jute yarn ( Category 6 ) from Bangladesh
                     , on to the market of Benelux and with reference to the provisions of
                      Article 5 of the aforementioned agreement , the Community indicates
                       that , should it request a consultation in relation to exports of jute
                       yarn on to the Benelux market and in a case where the provisions of
                       paragraph 2 of the aforemehtioned Article 5 should be applied , the annual
                       quantity will' be fixed at the level of 7,500 Tonnes .
                           Please' accept , Your Excellency , the assurance of my highest
                       consideration .
                                                                                Chairman of the Community Delegation
 His Excellency
 Mr . Salahuddin AHMED
 Head of the Delegation of the
 People 's Republic of Bangladesh
 Provljlonal addreti : Ru « tìa la i_o ! 200, B-1C49 Bruttali - Telee-iona 73S 00 40 / 73500 40 - TelsflrapWc addr»$i : "COMEUfl Brussole
        /                                                   Tftlaxi " 21877COMEU B "
 ---pagebreak---                                   MINUTES OF THE NEGOTIATIONS
                                                                              •• i ; •
                                                                 Brussels ,
         During the final phase of the negotiations between the European
Economic Community and the People 's Republic of Bangladesh for the conclusion
of an Agreement on trade in jute products , the two Delegations made the
following points :                                                     '
(1)        The Head of tfie Bangladesh Delegation emphasized the vital importance
           of exports of jute products for the economy of his country and recalled
           that these exports were the source of major foreign currency earnings ,            !
        ; for Bangladesh . He therefore urged the Community to make special efforts
          'to take account of this situation .                            -       „
     \·                   '        -· '   ·,  '·  '     '   ' ■ ■ "                    ;        V
(2)       The Head of the Delegation of the Community explained that it was
           for this reason that the Community had given special consideration            <
          to the needs and requirements of Bangladesh . It was in this spirit
          that the Community , as a unilateral special measure, undertook to
          accord to Bangladesh :
         I.     The possibility of a' transfer from Category 4 to Category" 7 and ■
                vice versa       of 30% instead of 20% as laid down in Article 6 ,
                pa rag rag h 1 ;
         II . , The possibility of a carry-over of 20% instead of 10% as . laid down
                 in Article 6 , paragraph 2 ;
         III .  The possibility for the total flexibility provisions to be 30% instead
                of 20% as laid down in Article 6 , paragraph 4 . -
For the Government of the People 's                                      For the Council of the
    Republic of Bangladesh                                               European Communities


title: RECOMMENDATION FOR A COUNCIL DECISION on the conclusion of an agreement between the European Economic Community and the Islamic Republic of Mauritania for 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) 1818
Vol. 1974/0286
 ---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)1818 final
                                                         Brussels , 11 November 1974
                              RECOMMENDATION FOR A
                                COUNCIL DECISION
                                                                            \
  on the conclusion of an agreement between the European Economic Community
and the Islamic Republic of Mauritania   for the supply of cereals as food aid
                     ?
                 ( submitted to the Council by the Commission)
C0M(74) 1818 final
 ---pagebreak---                                    - 1 -
                                                      *
 THE COUNCIL OF THE EUROPEAN COIMJNITIES ,
 Having regard to "the Treaty establishing the European Eoonomic Community,
 and in particular Articles 113 , 114 and 228 thereof ;
 Having regard to the Recommendation from the Commission ;
Whereas the European Economic Community has concluded the second . Convention
 relating to food aid^
Whereas the Islamic Republic of Mauritania, "by its letter of 12.12 . 1973
has requested food aid ;
Whereas in view of the cereal supply situation in the Islamic Republic of
Mauritania , that country should be accorded , by way of gift , 10 000 metric tons
of cereals in the form of 8 000 metric tons of soft wheat and 2 000 metric tons
of maize under the Community Food Aid Programme for 1973/74 .
DECIDES ;
                                    Article 1
On behalf of the European Economic Community an Agreement , the text whereof
is annexed hereto , shall be concluded between the European Economic Community
and the Islamic Republic of Mauritania for the supply of soft wheat and maize
as food aid .
                                    Article 2
The President of the Council is hereby authorized to designate those who
are to sign the Agreement and to confer on them the requisite powers to bind
the Community .
Done at Brussels , 11 November 1974                         For the Council
                                                             The President
 ^'OJ No L 219 of 9.8.1974, p. 19
 ---pagebreak---                 ACftEEMENT
EETUEEIï THE EUROPEAN EC01T0MIC COMMUNITT
AUD THE ISLAMIC REPUBLIC OF MAURITANIA
CONCERNING THE SUPPLY AS POOD AID OF
 CEREALS .
 ---pagebreak--- THE COUNCIL OF THE EOROPEAK COMMUNITIES .
                                                         on the one hand ,
THE GOVERNMENT OP THE ISLAMIC REPUBLIC OP MAURITANIA ' .
                                                         on the other hand ,
HAVE DECIDED to conclude this Agreement and to this end have designated .
as their plenipotentiaries :
THE COUNCIL OP THE EUROPEAN COMMUNITIES :
THE GOVERMENT OP THE ISLAMIC REPUBLIC OP MAURITANIA :
WHO HAVE AGREED AS FOLLOWS :
 ---pagebreak---                                     Article I
As a part of its Pood Aid Programme (Cereals) for 1973 /74 » 'the European
Economic Community shall supply, by way of gift , the Islamic Republic of Mauritania ,
hereinafter referred as the "recipient country", with 10 000 metric tons of cereals
in the form of 8 000- metric tons of soft wheat and 2 000 metric tons of maize .
                                    Arti cío II                           .
                                                                                ■ S\
 Deliveries will "be made in new jute sacks of a net weight of 50 kg each, cif
 ports of unloading in the recipient country*
                                 Artic l e III                              •     .     r :
The obligations Mid mesponsibilitien of the European .Economic Comriunity and
             *                             /
of the recipient country relating to delivery and the taking of delivery are
defined in the .Annex, which forms an integral part of this Agreement .
                                                                                •  ■     i
                                                                                i
           ■                                                                                t
                        I
                                 Article
                                 m m
                                              17
                                             T. –^
                                                    '                                        !i
The recipient country undertakes to make all necessary arrangements lor the
transport and insurance of the product from the CIP-stage to places
of destination .
                                                   ...                                      {
                                 Article V
                                                                 /
The recipient country undertakes to use the product received as aid for
purposes of consumption and' to distribute it to people in need free of charge .
 ---pagebreak---                                        - 3 -
                                    Article VI
   The European Economic Community shall grant the recipient country funds to
   cover the costs incurred by that country for the transport of the delivered
   products from the cif-stage to places of destination .
   These funds shall amount to '50    units of account per metric ton of delivered
   product .
   The Community undertakes to pay this as soon as possible after receipt "by
                                             /
   the Commission of the information required in Article 6 of the annex .
                                    Article VII
The Contracting Parties undertake to implement this Agreement in such a way
       Л                        А
as to avoid any prejudice to the normal structure of domestic production and
international trade . To this end they shall take any measures required to
ensure that aid supplies are in addition to , and do not replace "business
transactions which night reasonably be expected in the absence of such supplies .
                                    Article VIII
The recipient country shall take any measures required to prevent :
(i ) The re-export of the products received as aid and of products and by
       products resulting from such supplies j
(ii ) The export , commercially or otherwise, within six months of the last
       delivery, either of the products obtained locally and of the same nature,
       as- the products received as aid or of any products or by-products resul
      ting from it .
 ---pagebreak---                                Article   IX
The recipient country undertakes to inform the European Economic Community
how this Agreement is being implemented . To this end it shall provide the
Commission of the European Communities every three months until the quantities
received as aid have been fully used with the following information : reports
indicating in particular number and nature of the beneficiaries , the quantities
distributed , places and manner of distribution .
                               Article  X
The recipient country shall take all appropriate steps to enable those persons
duly authorized by the European Economic Community to make on the spot obser
vations of the operations connected with the implementation of the Agreement .
           \                       '
                               Article   XI
         .}
                                     <
At the request of either party , the contracting parties shall consult one .
another on all questions concerning the application of this Agreement . •
       , 1
                               Article  XII
Tms Agreement is drawn up m two copies m the Danish , Dutch , English , French ,
German and Italian languages , these texts being equally authentic .
 ---pagebreak---                   AOTJEX TO ARTICLE III OP THE ACÏÏïï^TMEÏÏT
                                  Article 1
 Delivery shall "be completed and the risks shall pass from the European
 Economic Community to the recipient country as soon as the goods are actually
 taken in charge in the ship 's hold at the port of unloading.
 The recipient country shall bear     all costs subsequent to delivery of the
 goods , including the costs of unloading ("breaking, hulk , hoisting, taking
 delivery, for example ) as well as any lighterage costs .
 Any demurrage costs or dispatch money at the port of unloading shall j as the
 case may he , "be borne by or paid to the recipient country . The rates and
 conditions of payment applying to any contract "between the Community agent
referred to in Article 5 and the carrier must have "been previously agreed
"between that agent and the recipient country 1 s agent referred to in Article 5
                                 Article 2
The European Economic Community shall forward to the recipient country ,
as soon as possible after the goods have been shipped , a notice giving the
name of the ship, the date of loading , the quantity and quality of the goods
on loading and the port of unloading .
                                 Article 3
The European Economic Community shall inform the recipient country of the
ship's presumed date of arrival at the port of unloading at least ten clear
days before that date .
The European Economic Community shall cause to be inserted in the charter-
party an undertaking by the captain to give to the reoipient country at
least 72 hours * notice of the probable date of the ship 's arrival in the port
 ---pagebreak---                                      - 2 -
                                                     9
                                    Article 4
On delivery of the goods , a "tolerance of 5   less than the quantity to be
 supplied in accordance with Article I of the Agreement is permitted.
                                    Article 5
The European Economic Community shall appoint an agent to implement the
provisions of this Annei , and shall in good time ~ forward the latter * s
name and address "to the recipient country.
The recipient country shall appoint an agent in each port of unloading ,
and shall forward the latter * s name and address to the European Economic
Community prior to implementation of the Agreement .
                                » ^
                                    Article 6                  ■ '
      ' *
On delivery of the goods the country of destination shall hand to the authorized
agent of the European Economic Community a taking-over certificate , stating the
place and date of taking over , the nature and the quantity as well as contigent
observations about the quality of these goods and shall send a copy thereof to
the Commission of the European Community .


RECOMMENDATION FOR A COUNCIL DECISION AUTHORIZING THE COMMISSION TO NEGOTIATE WITH THE EFTA COUNTRIES IN THE FORM OF AN EXCHANGE OF LETTERS A SIMPLIFICATION AND HARMONIZATION OF THE CUMULATION OF ORIGIN SYSTEM, THE ELIMINATION OF OUTDATED TRANSITIONAL PROVISIONS CONCERNING ORIGIN AND THE EXTENSION OF THE POWERS OF THE JOINT COMMITTEES TO MAKE ALTERATIONS TO THE PROTOCOLS NO 3 ANNEXED TO THE AGREEMENTS BETWEEN THE EUROPEAN ECONOMIC COMMUNITY AND THE EFTA COUNTRIES