21994A1231(24)
Europe Agreement establishing an association between the European
Communities and their Member States, of the one part, and the
Republic of Bulgaria, of the other part - Protocol 1 on textile and
clothing products - Protocol 2 on ECSC products - Protocol 3 on
trade between Bulgaria and the Community in processed agricultural
products not covered by Annex II to the EEC Treaty - Protocol 4
concerning the definition of the concept of originating products and
methods of administrative cooperation - Protocol 5 on specific
provisions relating to trade between Bulgaria, of the one part, and
Spain and Portugal, of the other part - Protocol 6 on mutual
assistance in customs matters - Protocol 7 on concessions with
annual limits - Protocol 8 on transboundary watercourses - Final Act
- Joint Declarations
Finnish special edition: Chapter 11 Volume 39 P. 0004
Swedish special edition: Chapter 11 Volume 39 P. 0004
Dates:
of document: 19/12/1994
of effect: 01/02/1995; Entry into force See Art 124
of signature: 08/03/1993; Brussels
end of validity: 99/99/9999; See Art. 121
Authentic language: The official languages ; Spanish ; Danish ;
German ; Greek ; English ; French ; Italian ; Dutch ; Portuguese ;
Other than Community language ; Bulgarian
Author:
EUROPEAN ECONOMIC COMMUNITY ; European Coal and Steel Community ;
European Atomic Energy Community ; The 12 Member States ; Belgium ;
Denmark ; Federal Republic of Germany ; Greece ; Spain ; France ;
Ireland ; Italy ; Luxembourg ; Netherlands ; Portugal ; United
Kingdom ; Bulgaria
Subject matter: External relations ; Association
Directory code: 11401030
EUROVOC descriptor: EC association agreement ; Bulgaria ; economic
cooperation ; trade cooperation ; European integration ; trade
agreement
Legal basis:
151K095................... Adoption
157A101-L2................ Adoption
192E228-P2F2.............. Adoption
192E228-P3L2.............. Adoption
192E238................... Adoption
Instruments cited:
157E042...................
157E043...................
157E085...................
157E086...................
157E092-P3LA..............
157E092...................
362R0026..................
475A3490..................
383R3420..................
389R3906..................
290A1023(02)..............
390D0233..................
390D0685..................
391R3687..................
293A0216(02)..............
Amendment to:
290A1023(02)...... Amendment..... Replacement from 01/02/1995
Amended by:
Completed by.. 294A0129(06)...... Completion from 01/02/1994
Amended by.... 294A0129(06)...... Amendment from 01/02/1994
Completed by.. 294A0517(05)...... DP31/12/93
Amended by.... 294A0712(01)...... Amendment from 01/07/1994
Corrected by.. 294A1231(24)R(01).
Completed by.. 294A1231(25)...... Completion
Completed by.. 294A1231(26)...... Completion
Completed by.. 294A1231(27)...... Completion
Completed by.. 294A1231(28)...... Completion
Completed by.. 294A1231(29)...... Completion
Completed by.. 294A1231(38)...... Completion from 01/01/1995
Amended by.... 294A1231(38)...... Amendment ANN.III from 01/01/1995
Amended by.... 294A1231(38)...... Amendment PROT 1 ART.2.1 from
01/01/1995
Amended by.... 294A1231(38)...... Replacement ART.10.3 from
01/01/1995
Adopted by.... 394D0908.......... DP19/12/94
Completed by.. 295A1230(02)......
Completed by.. 296A0426(01)...... Completion
Amended by.... 296A0426(01)...... Completion ART.11.3
Amended by.... 296A0426(01)...... Amendment PROT 1 ART.2.1
Amended by.... 297A0520(01)...... Completion from 31/12/1993
Amended by.... 297D0524(01)...... Replacement PROT 4 from 01/01/1997
Implemented by 298D0121(01)...... Implementation ART 64.1 PT I. from
07/10/1997
Implemented by 298D0121(01)...... Implementation ART 64.1 PT II.
from 07/10/1997
Implemented by 298D0121(01)...... Implementation PROT 2 ART 9.1 from
07/10/1997
Repealed by... 299A0429(01)...... Repeal ANN 10
Repealed by... 299A0429(01)...... Repeal ANN 13A
Repealed by... 299A0429(01)...... Repeal ANN 13B
Repealed by... 299A0429(01)...... Repeal ANN 14A
Repealed by... 299A0429(01)...... Repeal ANN 14B
Repealed by... 299A0429(01)...... Repeal ART.18
Repealed by... 299A0429(01)...... Repeal ART.21.4
Amended by.... 299A0429(01)...... Addition ANN 17
Amended by.... 299A0429(01)...... Replacement ANN 11A
Amended by.... 299A0429(01)...... Replacement ANN 11B
Amended by.... 299A0429(01)...... Replacement ANN 12A
Amended by.... 299A0429(01)...... Replacement ANN 12B
Amended by.... 299A0429(01)...... Replacement ART.19.2
Amended by.... 299A0429(01)...... Replacement ART.21.2
Amended by.... 299A0429(01)...... Replacement ART.21.3
Amended by.... 299A0429(01)...... Replacement ART.9.1
Amended by.... 299A0429(01)...... Replacement PROT 3 TXT
Amended by.... 299D0212(01)...... Completion PROT 4 ANN 1 from
01/01/1999
Amended by.... 299D0212(01)...... Completion PROT 4 ANN 2 from
01/01/1999
Amended by.... 299D0212(01)...... Addition PROT 4 ANN 5 from
01/01/1999
Amended by.... 299D0212(01)...... Amendment PROT 4 ART.13 from
01/01/1999
Amended by.... 299D0212(01)...... Amendment PROT 4 ART.14 from
01/01/1999
Amended by.... 299D0212(01)...... Amendment PROT 4 ART.15 from
01/01/1999
Amended by.... 299D0212(01)...... Amendment PROT 4 ART.17 from
01/01/1999
Amended by.... 299D0212(01)...... Amendment PROT 4 ART.21 from
01/01/1999
Amended by.... 299D0212(01)...... Amendment PROT 4 ART.26.1
Amended by.... 299D0212(01)...... Amendment PROT 4 ART.27 from
01/01/1999
Amended by.... 299D0212(01)...... Amendment PROT 4 ART.30 from
01/01/1999
Amended by.... 299D0212(01)...... Amendment PROT 4 ART.32 from
01/01/1999
Amended by.... 299D0212(01)...... Replacement DATE PROT 4 ART.15.6
Amended by.... 299D0212(01)...... Replacement PROT 4 ART.1.I from
01/01/1999
Amended by.... 299D0212(01)...... Replacement PROT 4 ART.12 from
01/01/1999
Amended by.... 299D0212(01)...... Replacement PROT 4 ART.3 from
01/01/1999
Amended by.... 299D0212(01)...... Replacement PROT 4 ART.4 from
01/01/1999
Amended by.... 200D0114(02)...... Amendment PROT 4 ANN 2 from
01/01/2000
Amended by.... 200D0114(02)...... Amendment PROT 4 ART.21 from
01/01/2000
Amended by.... 200D0114(02)...... Amendment PROT 4 ART.26 from
01/01/2000
Amended by.... 200D0114(02)...... Replacement PROT 4 ART.30 from
01/01/2000
Amended by.... 300R2290.......... Replacement ANN 10 from 20/10/2000
Amended by.... 201D0359.......... Amendment PROT4ART22 from
01/01/2001
Amended by.... 201D0359.......... Addition PROT4ART20BI from
01/01/2001
Amended by.... 201D0359.......... Extended validity PROT4ART15.6
till 31/12/2001
Amended by.... 201D0359.......... Replacement PROT4ART30 from
01/01/2001
Amended by.... 201D0359.......... Amendment PROT4ANN2 from
01/01/2001
Amended by.... 201D0359.......... Replacement PROT4ART1PTI from
01/01/2001
Amended by.... 201D0359.......... Replacement PROT4ART15.6 from
01/01/2001
Amended by.... 201D0359.......... Replacement PROT4ART7 from
01/01/2001
Implemented by 201D0620.......... Implementation ART 64.1 from
01/06/2001
Implemented by 201D0620.......... Implementation ART 64.2 from
01/06/2001
Implemented by 201D0620.......... Implementation PROT 2 ART 9.1 from
01/06/2001
Implemented by 201D0620.......... Implementation PROT 2 ART 9.2 from
01/06/2001
Amended by.... 203A0424(02)...... Amendment ANN 10 from 01/06/2003
Amended by.... 203A0424(02)...... Amendment ANN 11 from 01/06/2003
Amended by.... 203A0424(02)...... Addition PROT from 01/06/2003
Amended by.... 203D0049.......... Replacement PROT 3 ANN 1 from
01/09/2002
Amended by.... 203D0049.......... Replacement PROT 3 ANN 2 from
01/09/2002
Amended by.... 203D0528.......... Replacement PROT 4 from 01/01/2002
Affected by case:
A45P1........: Interpreted by.......................... 699J0235
A59P1........: Interpreted by.......................... 699J0235
Subsequent related instruments:
Relation...... 399Y0331(01)......
Amendment proposed by 501PC0368.........
Relation...... 202A1212(01)......
EUROPE AGREEMENT establishing an association between the European
Communities and their Member States, of the one part, and the
Republic of Bulgaria, of the other part
THE KINGDOM OF BELGIUM,
THE KINGDOM OF DENMARK,
THE FEDERAL REPUBLIC OF GERMANY,
THE HELLENIC REPUBLIC,
THE KINGDOM OF SPAIN,
THE FRENCH REPUBLIC,
IRELAND,
THE ITALIAN REPUBLIC,
THE GRAND DUCHY OF LUXEMBOURG,
THE KINGDOM OF THE NETHERLANDS,
THE PORTUGUESE REPUBLIC,
THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND,
Contracting Parties to the Treaty establishing the EUROPEAN ECONOMIC
COMMUNITY, the Treaty establishing the EUROPEAN COAL AND STEEL
COMMUNITY, and the Treaty establishing the EUROPEAN ATOMIC ENERGY
COMMUNITY, hereinafter referred to as 'Member States', and
The EUROPEAN ECONOMIC COMMUNITY, the EUROPEAN ATOMIC ENERGY
COMMUNITY and the EUROPEAN COAL AND STEEL COMMUNITY, hereinafter
referred to as 'the Community',
of the one part,
and THE REPUBLIC OF BULGARIA, hereinafter referred to as 'Bulgaria',
of the other part,
CONSIDERING the importance of the traditional links existing between
the Community, its Member States and Bulgaria and the common values
that they share,
RECOGNIZING that the Community and Bulgaria wish to strengthen these
links and to establish close and long lasting relations, based on
mutual interest and reciprocity, which would allow Bulgaria to take
part in the process of European integration, thus strengthening and
widening the relations established in the past notably by the
Agreement on Trade and Commercial and Economic Cooperation, signed
on 8 May 1990,
CONSIDERING the opportunities for a relationship of a new quality
offered by the emergence of a new democracy in Bulgaria,
CONSIDERING the commitment of the Community and its Member States
and of Bulgaria to strengthening the political and economic freedoms
which constitute the very basis of the association,
RECOGNIZING the fundamental character of the democratic changes in
Bulgaria, taking place in a peaceful manner and aimed at building a
new political and economic system, based on the rule of law and
human rights, political pluralism, and a pluralist multi-party
system involving free and democratic elections and the creation of
the legislative and economic conditions, necessary for the
development of a market economy, as well as the need to continue and
complete that process with the assistance of the Community,
CONSIDERING the firm commitment of the Community and its Member
States and of Bulgaria to the rule of law and human rights,
including those of persons belonging to minorities, and to the full
implementation of all other principles and provisons contained in
the Final Act of the Conference on Security and Cooperation in
Europe (CSCE), the concluding documents of Vienna and Madrid, the
Charter of Paris for a new Europe, as well as to the principles and
provisions of the European Energy Charter,
WILLING to promote improved contacts among their citizens as well as
the free flow of information and ideas, as agreed by the Parties in
the framework of the CSCE,
CONSCIOUS of the importance of this Agreement to establishing and
enhancing in Europe a system of stability based on cooperation, with
the Community as one of the cornerstones,
BELIEVING that a link should be made between full implementation of
association, on the one hand, and continuation of the actual
accomplishment of Bulgaria's political, economic and legal reforms
on the other hand, as well as the introduction of the factors
necessary for cooperation and the actual rapprochement between the
Parties' systems, notably in the light of the conclusions of the
CSCE Bonn Conference,
DESIROUS of establishing regular political dialogue on bilateral and
international issues of mutual interest to enhance and complete the
association,
TAKING ACCOUNT of the Community's willingness to provide decisive
support for the completion of the transition towards a market
economy in Bulgaria and to help Bulgaria cope with the economic and
social consequences of structural readjustment,
TAKING ACCOUNT furthermore of the Community's willingness to set up
instruments of cooperation and economic, technical and financial
assistance on a global and multiannual basis,
CONSIDERING the commitment of the Community and Bulgaria to free
trade, and in particular in respect of the General Agreement on
Tariffs and Trade principles,
BEARING in mind the economic and social disparities between the
Community and Bulgaria and thus recognizing that the objectives of
this association should be reached through appropriate provisions of
this Agreement,
CONVINCED that this Agreement will create a new climate for their
economic relations and in particular for the development of trade
and investment, instruments which are indispensable for economic
restructuring and technological modernization of the Bulgarian
economy,
DESIROUS of establishing cultural cooperation and developing
exchanges of information,
RECOGNIZING the fact that Bulgaria's ultimate objective is to become
a member of the Community, and that this association, in the view of
the Parties, will help Bulgaria to achieve this objective,
HAVE DECIDED to conclude this Agreement and to this end have
designated as their plenipotentiaries,
THE KINGDOM OF BELGIUM:
Robert URBAIN,
Minister for Foreign Trade and European Affairs;
THE KINGDOM OF DENMARK:
JŲrgen ŲSTRŲM MŲLLER,
State Secretary for Foreign Affairs;
THE FEDERAL REPUBLIC OF GERMANY:
Klaus KINKEL,
Federal Minister for Foreign Affairs;
THE HELLENIC REPUBLIC:
Michel PAPACONSTANTINOU,
Minister for Foreign Affairs;
THE KINGDOM OF SPAIN:
Javier SOLANA,
Minister for Foreign Affairs;
THE FRENCH REPUBLIC:
Elisabeth GUIGOU,
Minister responsible for European Affairs;
IRELAND:
Dick SPRING,
Minister for Foreign Affairs;
THE ITALIAN REPUBLIC:
Valdo SPINI,
State Secretary for Foreign Affairs;
THE GRAND DUCHY OF LUXEMBOURG:
Jacques POOS,
Minister for Foreign Affairs;
THE KINGDOM OF THE NETHERLANDS:
P. KOOIJMANS,
Minister for Foreign Affairs;
THE PORTUGUESE REPUBLIC:
J. M. DURAO BARROSO,
Minister for Foreign Affairs;
THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND:
Douglas HURD,
Secretary of State for Foreign and Commonwealth Affairs;
THE EUROPEAN ECONOMIC COMMUNITY, THE EUROPEAN ATOMIC ENERGY
COMMUNITY AND THE EUROPEAN COAL AND STEEL COMMUNITY:
Niels HELVEG PETERSEN,
Minister for Foreign Affairs of the Kingdom of Denmark,
President-in-Office of the Council of the European Communities;
Sir Leon BRITTAN,
Member of the Commission of the European Communities;
Hans VAN DEN BROEK,
Member of the Commission of the European Communities;
THE REPUBLIC OF BULGARIA:
Luben BEROV,
Prime Minister and Minister for Foreign Affairs;
WHO, having exchanged their full powers, formed in good and due
form,
HAVE AGREED AS FOLLOWS:
Article 1
1. An association is hereby established between the Community and
its Member States on the one part, and Bulgaria on the other part.
2. The objectives of this association are:
- to provide an appropriate framework for the political dialogue
between the Parties allowing the development of close political
relations,
- to establish gradually a free trade area between the Community and
Bulgaria covering substantially all trade between them,
- to promote the expansion of trade and the harmonious economic
relations between the Parties and so to foster the dynamic economic
development and prosperity in Bulgaria,
- to provide a basis for economic, financial, cultural and social
cooperation, as well as for the Community's assistance to Bulgaria,
- to support Bulgaria's efforts to develop its economy and to
complete the transition into a market economy,
- to provide an appropriate framework for the gradual integration of
Bulgaria into the Community. To this end new rules, policies and
practices will be established in compliance with market mechanisms,
and Bulgaria shall work towards fulfilling the necessary
requirements in this respect,
- to set up institutions suitable to make the association effective.
TITLE I POLITICAL DIALOGUE
Article 2
A regular political dialogue shall be established between the
Parties which they intend to develop and intensify. It shall
accompany and consolidate the rapprochement between the Community
and Bulgaria, support the political and economic changes underway in
that country and contribute to the establishment of new links of
solidarity and new forms of cooperation. The political dialogue and
cooperation, based on shared values and aspirations:
- will facilitate Bulgaria's full integration into the community of
democratic nations and progressive rapprochement with the Community.
The economic rapprochement provided for in this Agreement will lead
to greater political convergence,
- will bring about better mutual understanding and an increasing
convergence of positions on international issues, and in particular
on those matters likely to have substantial effects on one or the
other Party,
- will enable each Party to consider the position and interests of
the other in their respective decision-making process,
- will contribute to the rapprochement of the Parties' psotions on
security issues and will enhance security and stability in the whole
of Europe.
Article 3
1. Meetings as appropriate shall take place between the President of
the European Council and the President of the Commission of the
European Communities on one side and the President of the Republic
of Bulgaria on the other.
2. At ministerial level, political dialogue shall take place within
the Association Council. This shall have general responsibility for
all matters which the Parties might wish to put to it.
Article 4
Other procedures and mechanisms for political dialogue shall be set
up by the Parties, and in particular in the following forms:
- meetings at senior official level (political directors) between
officials of Bulgaria on the one hand, and the Presidency of the
Council of the European Communities and the Commission of the
European Communities, on the other,
- taking full advantage of all diplomatic channels between the
Parties, including appropriate contacts in the bilateral as well as
multilateral field, such as the UN, CSCE meetings and other
multilateral fora,
- including Bulgaria in the group of countries receiving regular
information on the issues dealt with by the European Political
Cooperation as well as exchanging information with a view to
achieving the objectives set out in Article 2,
- any other means which would contribute to consolidating,
developing and stepping up this dialogue.
Article 5
Political dialogue at parliamentary level shall take place within
the framework of the Parliamentary Association Committee.
TITLE II GENERAL PRINCIPLES
Article 6
Respect for the democratic principles and human rights established
by the Helsinki Final Act and the Charter of Paris for a New Europe
inspires the domestic and external policies of the Parties and
constitutes an essential element of the present association.
Article 7
1. The association includes a transitional period of a maximum
duration of 10 years divided into two successive stages, each in
principle lasting five years. The first stage shall begin when the
Agreement enters into force.
2. The Association Council, bearing in mind that the principles of
the market economy are essential to the present association, shall
proceed regularly to examine the application of the Agreement and
Bulgaria's accomplishment in the process leading to a market economy
system on the basis of the principles established in the preamble.
3. During the course of the 12 months preceding the expiration of
the first stage, the Association Council shall meet to decide the
transition to the second stage as well as on any possible changes to
be brought about as regards measures concerning the implementation
of the dispositions governing the second stage. In doing this, it
will take into account the results of the examination mentioned in
paragraph 2.
III.
TITLE III FREE MOVEMENT OF GOODS
Article 8
1. The Community and Bulgaria shall gradually establish a free trade
area in a transitional period lasting a maximum of 10 years starting
from the entry into force of this Agreement, in accordance with the
provisons of this Agreement and in conformity with those of the
General Agreement on Tariffs and Trade (GATT).
2. The combined nomenclature of goods shall be applied to the
classification of goods for imports into the Community. The
Bulgarian Customs Tariff shall be applied to the classification of
goods for imports into Bulgaria.
3. For each product, the basic duty to which the successive
reductions set out in this Agreement are to be applied shall be that
actually applied erga omnes on the day preceding the entry into
force of the Agreement.
4. If, after the entry into force of the Agreement, any tariff
reduction is applied on an erga omnes basis, in particular,
reductions resulting from the tariff agreement concluded as a result
of the GATT Uruguay Round, such reduced duties shall replace the
basic duties referred to in paragraph 3 as from that date when such
reductions are applied.
5. The Community and Bulgaria shall communicate to each other their
respective basic duties.
CHAPTER I Industrial products
Article 9
1. The provisions of this chapter shall apply to products
originating in the Community and in Bulgaria listed in Chapters 25
to 97 of the combined nomenclature and of the Bulgarian Customs
Tariff with the exception of the products listed in Annex I.
2. The provisions of Articles 10 to 14 included do not apply to
products mentioned in Articles 16 and 17.
Article 10
1. Customs duties on imports applicable in the Community to products
originating in Bulgaria other than those listed in Annexes IIa, IIb
and III shall be abolished on the entry into force of the Agreement.
2. Customs duties on imports applicable in the Community to products
originating in Bulgaria which are listed in Annex IIa shall be
progressively abolished in accordance with the following timetable:
- on the date of entry into force of the Agreement, each duty shall
be reduced to 50 % of the basic duty,
- one year after the date of entry into force of the Agreement, the
remaining duties shall be eliminated.
Customs duties on imports applicable in the Community to products
originating in Bulgaria listed in Annex IIb shall be progressively
reduced, from the date of entry into force of the Agreement, by
annual reductions of 20 % of the basic duty so as to arrive at total
abolition by the end of the fourth year after the date of entry into
force of the Agreement.
3. The products of Bulgarian origin listed in Annex III shall
benefit from a suspension of customs duties on imports within the
limits of annual Community tariff quotas or ceilings increasing
progressively in accordance with the conditons defined in that Annex
so as to arrive at a complete abolition of customs duties on imports
of the products concerned at the end of the fifth year at the
latest.
At the same time, the customs duties on imports to be applied to
import quantities when the quotas have been exhausted or when the
levying of customs duties has been reintroduced with respect to
products covered by a tariff ceiling, shall be progressively
dismantled from the entry into force of the Agreement by annual
reductions of 15 % of the basic duty. By the end of the fifth year,
remaining duties shall be abolished.
4. Quantitative restrictions on imports to the Community and
measures having an equivalent effect shall be abolished on the date
of entry into force of the Agreement with regard to the products
originating in Bulgaria.
Article 11
1. Customs duties on imports applicable in Bulgaria to products
originating in the Community which are listed in Annex IV shall be
abolished on the date of entry into force of the Agreement.
2. Customs duties on imports applicable in Bulgaria to products
originating in the Community which are listed in Annex V shall be
progressively reduced in accordance with the following timetable:
- one year after the entry into force of the Agreement, each duty
shall be reduced to 80 % of the basic duty,
- three years after the entry into force of the Agreement, each duty
shall be reduced to 40 % of the basic duty,
- five years after the entry into force of the Agreement, the
remaining duties shall be eliminated.
3. Customs duties on imports applicable in Bulgaria to products
originating in the Community which are listed in Annex VI shall be
progressively reduced in accordance with the following timetable:
- three years after the entry into force of the Agreement, each duty
shall be reduced to 80 % of the basic duty,
- five years after the entry into force of the Agreement, each duty
shall be reduced to 60 % of the basic duty,
- six years after the entry into force of the Agreement, each duty
shall be reduced to 45 % of the basic duty,
- seven years after the entry into force of the Agreement, each duty
shall be reduced to 30 % of the basic duty,
- eight years after the entry into force of the Agreement each duty
shall be reduced to 15 % of the basic duty,
- nine years after the entry into force of the Agreement, the
remaining duties shall be eliminated.
4. Quantitative restrictions on imports into Bulgaria of products
originating in the Community and measures having an equivalent
effect shall be abolished upon entry into force of the Agreement,
except for those listed in Annex VII which shall be abolished in
accordance with the timetable provided for in that Annex.
Article 12
The provisions concerning the abolition of customs duties on imports
shall also apply to customs duties of a fiscal nature.
Article 13
1. The Community shall abolish in its imports from Bulgaria any
charges having an effect equivalent to customs duties on imports
upon the entry into force of the Agreement.
2. Bulgaria shall abolish in its imports from the Community any
charges having an equivalent effect to customs duties on imports
upon entry into force of the Agreement, except for those listed in
Annex VIII, which shall be abolished in accordance with the
timetable provided in that Annex.
Article 14
1. The Community and Bulgaria shall progressively abolish between
them at the latest by the end of the fifth year after entry into
force of the Agreement any customs duties on exports and charges
having equivalent effect.
2. Quantitative restrictions on exports to Bulgaria and any measures
having equivalent effect shall be abolished by the Community on the
entry into force of the Agreement.
3. Quantitative restrictions on exports to the Community and any
measures having equivalent effect shall be abolished by Bulgaria
upon entry into force of the Agreement, with the exception of those
listed in Annex IX, which shall be abolished at the latest by the
end of the fifth year after the entry into force of the Agreement.
Article 15
Each Party declares its readiness to reduce its customs duties in
trade with the other Party more rapidly than is provided for in
Articles 10 and 11 of its general economic situation and the
situation of the economic sector concerned so permit.
The Association Council may make recommendations to this effect.
Article 16
Protocol 1 lays down the arrangements applicable to the textile
products referred to therein.
Article 17
Protocol 2 lays down the arrangements applicable to products covered
by the Treaty establishing the European Coal and Steel Community.
Article 18
1. The provisions of this chapter do not preclude the retention by
the Community of an agricultural component in the duties applicable
to products listed in Annex X in respect of products originating in
Bulgaria.
2. The provisions of this chapter do not preclude the introduction
of an agricultural component by Bulgaria in the duties applicable to
the products listed in Annex X in respect of products originating in
the Community.
CHAPTER II Agriculture
Article 19
1. The provisions of this chapter shall apply to agricultural
products originating in the Community and in Bulgaria.
2. The term 'agricultural products' means the products listed in
Chapters 1 to 24 of the combined nomenclature and of the Bulgarian
Customs Tariff and the products listed in Annex I, but excluding
fishery products as defined by Regulation (EEC) No 3687/91 on the
common organization of the market in fishery prducts.
Article 20
Protocol 3 lays down the trade arrangements for processed
agricultural products which are listed in such protocol.
Article 21
1. The Community shall abolish at the date of entry into force of
the Agreement the quantitative restrictions on imports of
agricultural products originating in Bulgaria maintained by virtue
of Council Regulation (EEC) No 3420/83 in the form existing on the
date of signature hereof.
2. The agricultural products originating in Bulgaria listed in Annex
XI shall benefit, upon the date of entry into force of the
Agreement, from the reduction of customs duties and levies within
the limits of Community quotas and upon the conditions provided in
the same Annex.
3. Agricultural products originating in the Community listed in
Annex XIIa shall be imported into Bulgaria free of quantitative
restrictions.
Agricultural products originating in the Community listed in Annex
XIIb shall be subject to the quantitative restrictions set out in
that Annex.
4. The Community and Bulgaria shall grant each other the concessions
referred to in Annexes XIII and XIV, on a harmonious and reciprocal
basis, in accordance with the conditions laid down therein.
5. Taking account of the volume of trade in agricultural products
between them, of their particular sensitivity, of the rules of the
Common Agricultural Policy of the Community, of the rules of the
agricultural policy in Bulgaria, of the role of agriculture in
Bulgaria's economy, and of the consequences of the multilateral
trade negotiations under the General Agreement on Tariffs and Trade,
the Community and Bulgaria shall examine in the Association Council,
product by product and on an orderly and reciprocal basis, the
possibilities of granting each other further concessions.
Article 22
Notwithstanding other provisons of this Agreement, and in particular
Article 31, if, given the particular sensitivity of the agricultural
markets, imports of products originating in one Party, which are the
subject of concessions granted in Article 21, cause serious
disturbance to the markets in the other Party, both Parties shall
enter into consultations immediately to find an appropriate
solution. Pending such a solution, the Party concerned may take the
measures it deems necessary.
CHAPTER III Fisheries
Article 23
The provisions of this chapter shall apply to fishery products
originating in the Community and in Bulgaria, which are covered by
Regulation (EEC) No 3687/91.
Article 24
The provisions of Article 21 (5) shall apply mutatis mutandis to
fishery products.
CHAPTER IV Common provisions
Article 25
The provisions of this chapter shall apply to trade in all products,
except where otherwise provided herein or in Protocols 1, 2 or 3.
Article 26
1. No new customs duties on imports or exports or charges having
equivalent effect shall be introduced, nor shall those already
applied be increased, in the trade between the Community and
Bulgaria from the date of entry into force of the Agreement.
2. No new quantitative restrictions on imports or exports or measure
having equivalent effect shall be introduced, nor shall those
existing be made more restrictive, in the trade between the
Community and Bulgaria from the date of entry into force of the
Agreement.
3. Without prejudice to the concessions granted under Article 21,
the provisions of paragraphs 1 and 2 of this Article shall not
restrict in any way the pursuance of the respective agricultural
policies of Bulgaria and the Community or the taking of any measures
under such policies.
Article 27
1. The two Parties shall refrain from any measure or practice of an
internal fiscal nature establishing, whether directly or indirectly,
discrimination between the products of one Party and like products
originating in the territory of the other Party.
2. Products exported to the territory of one of the two Parties may
not benefit from repayment of internal taxation in excess of the
amount of direct or indirect taxation imposed on them.
Article 28
1. This Agreement shall not preclude the maintenance or
establishment of customs unions, free trade areas or arrangements
for frontier trade except in so far as they alter the trade
arrangements provided for in this Agreement.
2. Consultations between the Parties shall take place within the
Association Council concerning agreements establishing such customs
unions or free trade areas and, where requested, on other major
issues related to their respective trade policies with third
countries. In particular in the event of a third country acceding to
the Community, such consultations shall take place so as to ensure
that account can be taken of the mutual interests of the Community
and Bulgaria stated in this Agreement.
Article 29
Exceptional measures of limited duration which derogate from the
provisions of Articles 11 and 26 (1) may be taken by Bulgaria in the
form of increased customs duties.
These measures may only concern infant industries, or certain
sectors undergoing restructuring or facing serious difficulties,
particularly where these difficulties produce important social
problems.
Customs duties on imports applicable in Bulgaria to products
originating in the Community introduced by these measures may not
exceed 25 % ad valorem and shall maintain an element of preference
for products originating in the Community. The total value of
imports of the products which are subject to these measures may not
exceed 15 % of total imports from the Community of industrial
products as defined in Chapter I, during the last year for which
statistics are available.
These measures shall be applied for a period not exceeding five
years, unless a longer duration is authorized by the Association
Council. They shall cease to apply at the latest at the expiration
of the transitional period.
No such measures can be introduced in respect of a product if more
than three years have elapsed since the elimination of all duties
and quantitative restrictions or charges or measures having an
equivalent effect concerning that product.
Bulgaria shall inform the Association Council of any exceptional
measures it intends to take and, at the request of the Community,
consultations shall be held in the Association Council on such
measures and the sectors to which they apply before they are applied. When taking such measures, Bulgaria shall provide the
Association Council with a schedule for the elimination of the
customs duties introduced under this Article. This schedule shall
provide for a phasing out of these duties starting at the latest two
years after their introduction at equal annual rates. The
Association Council may decide on a different schedule.
Article 30
If one of the Parties finds that dumping is taking place in trade
with the other Party within the meaning of Article VI of the General
Agreement on Tariffs and Trade, it may take appropriate measures
against this practice in accordance with the Agreement relating to
the application of Article VI of the General Agreement on Tariffs
and Trade, with related internal legislation and with the conditions
and procedures laid down in Article 34.
Article 31
Where any product is being imported in such increased quantities and
under such conditions as to cause, or threaten to cause:
- serious injury to domestic producers of like or directly
competitive products in the territory of one of the Parties, or
- serious disturbances in any sector of the economy or difficulties
which could bring about serious deterioration in the economic
situation of a region,
the Community or Bulgaria, whichever is concerned, may take
appropriate measures under the conditions and in accordance with the
procedures laid down in Article 34.
Article 32
Where compliance with the provisions of Articles 14 and 26 leads to:
(i) re-export towards a third country against which the exporting
Party maintains, for the product concerned, quantitative export
restrictions, export duties or measures having equivalent effect;
or
(ii) a serious shortage, or threat thereof, of a product essential
to the exporting Party,
and where the situations above referred to give rise, or are likely
to give rise, to major difficulties for the exporting Party, that
Party may take appropriate measures under the conditions and in
accordance with the procedures laid down in Article 34. The measures
shall be non-discriminatory and be eliminated when conditions no
longer justify their maintenance.
Article 33
The Member States and Bulgaria shall progressively adjust any State
monopolies of a commercial character so as to ensure that, by the
end of the fifth year following the entry into force of this
Agreement, no discrimination regarding the conditions under which
goods are procured and marketed exists between nationals of the
Member States and of Bulgaria. The Association Council will be
informed of the measures adopted to implement this objective.
Article 34
1. In the event of the Community or Bulgaria subjecting imports of
products liable to give rise to the difficulties referred to in
Article 31 to an administrative procedure having as its purpose the
rapid provision of information on the trend of trade flows, it shall
inform the other Party.
2. In the cases specified in Articles 30, 31 and 32, before taking
the measures provided for therein or, in cases to which paragraph 3
(d) applies, as soon as possible, the Community or Bulgaria, as the
case may be, shall supply the Association Council with all relevant
information, with a view to seeking a solution acceptable to the two
Parties.
In the selection of measures, priority must be given to those which
least disturb the functioning of this Agreement.
The safeguard measures shall be notified immediately to the
Association Council and shall be the subject of periodic
consulations within that body, particularly with a view to
establishing a timetable for their abolitions as soon as
circumstances permit.
3. For the implementation of paragraph 2, the following provisions
shall apply:
(a) As regards Article 31, the difficulties arising from the
situation referred to in that Article shall be referred for
examination to the Association Council, which may take any decision
needed to put an end to such difficulties.
If the Association Council or the exporting Party has not taken a
decision putting an end to the difficulties or no other satisfactory
solution has been reached within 30 days of the matter being
referred, the importing Party may adopt the appropriate measures to
remedy the problem. These measures must not exceed the scope of what
is necessary to remedy the difficulties which have arisen.
(b) As regards Article 30, the Association Council shall be informed
of the dumping case as soon as the authorities of the importing
Party have initiated an investigation. When no end has been put to
the dumping or no other satisfactory solution has been reached
within 30 days of the matter being referred to the Association
Council, the importing Party may adopt the appropriate measures.
(c) As regards Article 32, the difficulties arising from the
situations referred to in that Article shall be referred for
examination to the Association Council.
The Association Council may take any decision needed to put an end
to the difficulties. If it has not taken such a decision within 30
days of the matter being referred to it, the exporting Party may
apply appropriate measures on the exportation of the product
concerned.
(d) Where exceptional circumstances requiring immediate action make
prior information or examination, as the case may be, impossible,
the Community or Bulgaria, whichever is concerned, may, in the
situations specified in Articles 30, 31 and 32, apply forthwith the
precautionary and provisional measures strictly necessary to deal
with the situation, and the Association Council will be informed
immediately.
Article 35
Protocol 4 lays down rules of origin for the application of tariff
preferences foreseen in this Agreement.
Article 36
This Agreement shall not preclude prohibitions or restrictions on
imports, exports or goods in transit justified on grounds of public
morality, public policy or public security; the protection of health
and life of humans, animals or plants; the protection of the
exhaustible natural resources; the protection of national treasures
of artistic, historic or archaeological value or the protection of
intellectual, industrial and commercial property or rules relating
to gold and silver. Such prohibitions or restrictions shall not,
however, constitute a means of arbitrary discrimination or a
disguised restriction on trade between the Parties.
Article 37
Protocol 5 lays down the specific provisions to apply to trade
between Bulgaria of the one part and Spain and Portugal of the other
part.
TITLE IV MOVEMENT OF WORKERS, ESTABLISHMENT, SUPPLY OF SERVICES
CHAPTER I Movement of workers
Article 38
1. Subject to the conditions and modalities applicable in each
Member State:
- the treatment accorded to workers of Bulgarian nationality,
legally employed in the territory of a Member State shall be free
from any discrimination based on nationality, as regards working
conditions, remuneration or dismissal, as compared to its own
nationals,
- the legally resident spouse and children of a worker legally
employed in the territory of a Member State, with the exception of
seasonal workers and of workers coming under bilateral Agreements in
the sense of Article 42, unless otherwise provided by such
Agreements, shall have access to the labour market of that Member
State, during the period of that worker's authorized stay of
employment.
2. Bulgaria shall, subject to the conditions and modalities
applicable in that country, accord the treatment referred to in
paragraph 1 to workers who are nationals of a Member State and are
legally employed in its territory as well as to their spouse and
children who are legally resident in the said territory.
Article 39
1. With a view to coordinating social security systems for workers
of Bulgarian nationality, legally employed in the territory of a
Member State and for the members of their family, legally resident
there, and subject to the conditions and modalities applicable in
each Member State,
- all periods of insurance, employment or residence completed by
such workers in the various Member States shall be added together
for the purpose of pensions and annuities in respect of old age,
invalidity and death and for the purpose of medical care for such
workers and such family members,
- any pensions or annuities in respect of old age, death, industrial
accident or occupational disease, or of invalidity resulting
therefrom, with the exception of non-contributory benefits, shall be
freely transferable at the rate applied by virtue of the law of the
debtor Member State or States,
- the workers in question shall receive family allowances for the
members of their family as defined above.
2. Bulgaria shall accord to workers who are nationals of a Member
State and legally employed in its territory, and to members of their
families legally resident there, treatment similar to that specified
in the second and third indents of paragraph 1.
Article 40
1. The Association Council shall by decision adopt the appropriate
provisions to implement the objective set out in Article 39.
2. The Association Council shall by decision adopt detailed rules
for administrative cooperation providing the necessary management
and control guarantees for the application of the provisions
referred to in paragraph 1.
Article 41
The provisions adopted by the Association Council in accordance with
Article 40 shall not affect any rights or obligations arising from
bilateral Agreements linking Bulgaria and the Member States where
those Agreements provide for more favourable treatment of nationals
of Bulgaria or of the Member States.
Article 42
1. Taking into account the labour market situation in the Member
State, subject to its legislation and to the respect of rules in
force in that Member State in the area of mobility of workers,
- the existing facilities for access to employment for Bulgarian
workers accorded by Member States under bilateral Agreements ought
to be preserved and if possible improved,
- the other Member States shall consider favourably the possibility
of concluding similar Agreements.
2. The Association Council shall examine granting other improvements
including facilities of access for professional training, in
conformity with rules and procedures in force in the Member States,
and taking account of the labour market situation in the Member
States and in the Community.
Article 43
During the second stage referred to in Article 7, or earlier if so
decided, the Association Council shall examine further ways of
improving the movement of workers, taking into account inter alia
the social and economic situation in Bulgaria and the employment
situation in the Community. The Association Council shall make
recommendations to such end.
Article 44
In the interest of facilitating the restructuring of labour
resources resulting from the economic restructuring in Bulgaria, the
Community shall provide technical assistance for the establishment
of a suitable social security system in Bulgaria as set out in
Article 89.
CHAPTER II Establishment
Article 45
1. Each Member State shall grant, from entry into force of the
Agreement, for the establishment of Bulgarian companies and
nationals and for the operation of Bulgarian companies and nationals
established in its territory, a treatment no less favourable than
that accorded to its own companies and nationals, save for matters
referred to in Annex XVa.
2. Bulgaria shall
(i) grant, from entry into force of the Agreement, for the
establishment of Community companies and nationals a treatment no
less favourable than that accorded to its own companies and
nationals, save for the sectors and matters referred to in Annexes
XVb and XVc, where such treatment shall be granted at the latest by
the end of the transitional period referred to in Article 7;
(ii) grant, from entry into force of the Agreement, in the operation
of Community companies and nationals established in Bulgaria a
treatment no less favourable than that accorded to its own companies
and nationals.
3. The provisions contained in paragraph 2 of this Article shall not
apply to the matters listed in Annex XVd.
4. Bulgaria shall, during the transitional period referred to in
paragraph 2 (i), not adopt any new regulations or measures which
introduce discrimination as regards the establishment of Community
companies and nationals in its territory in comparison to its own
companies and nationals.
5. For the purposes of this Agreement
(a) 'establishment' shall mean
(i) as regards nationals, the right to take up and pursue economic
activities as self-employed persons and to set up and manage
undertakings, in particular companies, which they effectively
control. Self-employment and business undertakings by nationals
shall not extend to seeking or taking employment in the labour
market or confer a right of access to the labour market of the other
Party. The provisions of this chapter do not apply to those who are
not exclusively self-employed;
(ii) as regards companies, the right to take up and pursue economic
activities by means of the setting up and management of subsidiaries, branches and agencies;
(b) 'subsidiary' of a company shall mean a company which is
effectively controlled by the first company;
(c) 'economic activities' shall in particular include activities of
an industrial character, activities of a commercial character,
activities of craftsmen and activities of the professions.
6. The Association Council shall, during the transitional period
referred to in paragraph 2 (i), examine regularly the possibility of
accelerating the granting of national treatment in the sectors
referred to in Annexes XVb and XVc and the inclusion of areas or
matters listed in Annex XVd within the scope of application of the
provisions of paragraph 2 (i) of this Article. Amendments may be
made to these Annexes by decision of the Association Council.
Following the expiration of the transitional period referred to in
paragraph 2 (i), the Association Council may exceptionally, upon
request by Bulgaria, and if the necessity arises, decide to prolong
the duration of exclusion of certain areas or matters listed in
Annexes XVb and XVc for a limited period of time.
Article 46
1. Subject to the provisions of Article 45 with the exception of
financial services described in Annex XVb, each Party may regulate
the establishment and operation of companies and nationals on its
territory, in so far as these regulations do not discriminate
against companies and nationals of the other Party in comparison to
its own companies and nationals.
2. In respect of financial services, described in Annex XVb, this
Agreement does not prejudice the right of the Parties to adopt
measures necessry for the conduct of the Party's monetary policy, or
for prudential grounds in order to ensure the protection of
investors, depositors, policy holders, or persons to whom a
fiduciary duty is owed, or to ensure the integrity and stability of
the financial system. These measures shall not discriminate on
grounds of nationality against companies and nationals of the other
Party in comparison to its own companies and nationals.
Article 47
In order to make it easier for Community nationals and Bulgarian
nationals to take up and pursue regulated professional activities in
Bulgaria and the Community respectively, the Association Council
shall examine which steps are necessary to be taken to provide for
the mutual recognition of qualifications. It may take all necessary
measures to that end.
Article 48
The provisions of Article 46 do not preclude the application by a
Party of particular rules concerning the establishment and operation
in its territory of branches and agencies of companies of another
Party not incorporated in the territory of the first Party, which
are justified by legal or technical differences between such
branches and agencies as compared to branches and agencies of
companies incorporated in its territory, or, as regards financial
services, for prudential reasons. The difference in treatment shall
not go beyond what is strictly necessary as a result of such legal
or technical differences, or, as regards financial services,
described in Annex XVb, for prudential reasons.
Article 49
1. A 'Community company' and a 'Bulgarian company' respectively
shall, for the purpose of this Agreement, mean a company or a firm
set up in accordance with the laws of a Member State or of Bulgaria
respectively and having its registered office, central
administration, or principle place of business in the territory of
the Community or Bulgaria respectively. However, should the company
or firm, set up in accordance with the laws of a Member State or of
Bulgaria respectively, have only its registered office in the
territory of the Community or Bulgaria respectively, its operations
must possess a real and continuous link with the economy of one of
the Member States or Bulgaria respectively.
2. With regard to international maritime transport, a national or a
shipping company of the Member States or of Bulgaria, respectively
established outside the Community or Bulgaria respectively and
controlled by nationals of a Member State, or Bulgarian nationals
respectively, shall also be beneficiaries of the provisions of this
chapter and Chapter III of this title, if their vessels are
registered in that Member State or in Bulgaria respectively in
accordance with their respective legislations.
3. A 'Community national' and a 'Bulgarian national' respectively
shall, for the purpose of this Agreement, mean a natural person who
is a national of one of the Member States or of Bulgaria
respectively.
4. The provisions of this Agreement shall not prejudice the
application by each Party of any measure necessary to prevent the
circumvention of its measures concerning third country access to its
market, through the provisions of this Agreement.
Article 50
For the purpose of this Agreement 'financial services' shall mean
those activities described in Annex XVb. The Association Council may
extend or modify the scope of Annex XVb.
Article 51
During the first five years following the date of entry into force
of this Agreement, or for the sectors referred to in Annex XVb and
XVc during the transitional period referred to in Article 7,
Bulgaria may introduce measures which derogate from the provisions
of this chapter as regards the establishment of Community companies
and nationals if certain industries:
- are undergoing restructuring, or
- are facing serious difficulties, particularly where these entail
serious social problems in Bulgaria, or
- face the elimination or a drastic reduction of the total market
share held by Bulgarian companies or nationals in a given sector or
industry in Bulgaria, or
- are newly emerging industries in Bulgaria.
Such measures:
(i) shall cease to apply at the latest two years after the expiraton
of the fifth year following the date of entry into force of this
Agreement; and
(ii) shall be reasonable and necessary in order to remedy the
situation; and
(iii) shall only relate to establishments in Bulgaria to be created
after the entry into force of such measures and shall not introduce
discrimination concerning the operations of Community companies or
nationals already established in Bulgaria at the time of
introduction of a given measure compared to Bulgarian companies or
nationals.
The Association Council may exceptionally, upon request by Bulgaria,
and if the necessity arises, decide to prolong the period referred
to in indent (i) for a given sector for a limited period of time not
exceeding the duration of the transitional period referred to in
Article 7.
While devising and applying such measures, Bulgaria shall grant
whenever possible to Community companies and nationals a
preferential treatment, and in no case a treatment less favourable
than that accorded to companies or nationals from any third country.
Prior to the introduction of these measures, Bulgaria shall consult
the Association Council and shall not put them into effect before a
one month period following the notification to the Association
Council of the concrete measures to be introduced by Bulgaria,
except where the threat of irreparable damage requires the taking of
urgent measures in which case Bulgaria shall consult the Association
Council immediately after their introduction.
Upon the expiration of the fifth year following the entry into force
of the Agreement, or for the sectors referred to in Annexes XVb and
XVc upon expiration of the transitional period referred to in
Article 7, Bulgaria may introduce such measures only with the
authorization of the Association Council and under conditions
determined by the latter.
Article 52
1. The provisions of this chapter shall not apply to air transport
services, inland-waterways transport services and maritime cabotage
transport services.
2. The Association Council may make recommendations for improving
establishment and operations in the areas covered by paragraph 1.
Article 53
1. Notwithstanding the provisions of Chapter I of this title, the
beneficiaries of the rights of establishment granted by Bulgaria and
the Community respectively shall be entitled to employ, or have
employed by one of their subsidiaries, in accordance with the
legislation in force in the host country of establishment, in the
territory of Bulgaria and the Community respectively, employees who
are nationals of Community Member States and Bulgaria respectively,
provided that such employees are key personnel as defined in
paragraph 2, and that they are employed exclusively by such
beneficiaries or their subsidiaries. The residence and work permits
of such employees shall only cover the period of such employment.
2. Key personnel of the beneficiaries of the rights of
establishment, herein referred to as 'organization', are:
(a) senior employees of an organization who primarily direct the
management of the organization, receiving general supervision or
direction principally from the board of directors or shareholders of
the business, including:
- directing the organization or a department or sub-division of the
organization,
- supervising and controlling the work of other supervisory,
professional or managerial employees,
- having the authority personally to engage and dismiss or recommend
engaging, dismissing or other personnel actions.
(b) persons employed by an organization who possess high or
uncommon:
- qualifications referring to a type of work or trade requiring
specific technical knowledge,
- knowledge essential to the organization's service, research
equipment, techniques or management.
These may include, but are not limited to, members of accredited
professions.
Each such employee must have been employed by the organization
concerned for at least one year preceding the detachment by the
organization.
Article 54
1. The provisions of this chapter shall be applied subject to
limitations justified on grounds of public policy, public security
or public health.
2. They shall not apply to activities which in the territory of each
party are connected, even occasionally, with the exercise of
official authority.
Article 55
Companies which are controlled and exclusively owned jointly by
Bulgarian companies or nationals and Community companies or
nationals shall also be beneficiaries of the provisions of this
chapter and Chapter III of this title.
CHAPTER III Supply of services between the Community and Bulgaria
Article 56
1. The Parties undertake in accordance with the provisions of this
chapter to take the necessary steps to allow progressively the
supply of services by Community or Bulgarian companies or nationals
who are established in a Party other than that of the person for
whom the services are intended taking into account the development
of the services sectors in the Parties.
2. In step with the liberalization process mentioned in paragraph 1,
and subject to the provisions of Article 59 (1), the Parties shall
permit the temporary movement of natural persons providing the
service or who are employed by the service provider as key personnel
as defined in Article 53 (2), including natural persons who are
representatives of a Community or Bulgarian company or national and
are seeking temporary entry for the purpose of negotiating for the
sale of services or entering into Agreements to sell services for
that service provider, where those representatives will not be
engaged in making direct sales to the general public or in supplying
services themselves.
3. The Association Council shall take the measures necessary to
implement progressively the provisions of paragraph 1 of this
Article.
Article 57
With regard to supply of transport services between the Community
and Bulgaria, the following replaces the provisions of Article 56:
1. With regard to international maritime transport, the Parties
undertake to apply effectively the principle of unrestricted access
to the market and traffic on a commercial basis.
(a) The above provision does not prejudice the rights and
obligations under the United Nations Code of Conduct for Liner
Conferences, as applied by one or the other Contracting Party to
this Agreement.
Non-conference liners will be free to operate in competition with a
conference as long as they adhere to the principle of fair
competition on a commercial basis.
(b) The Parties affirm their commitment to a freely competitive
environment as being an essential feature of the dry and liquid bulk
trade.
2. In applying the principles of point 1, the Parties shall:
(a) not introduce cargo sharing clauses in future bilateral
agreements with third countries, other than in those exceptional
circumstances where liner shipping companies from one or other Party
to this Agreement would not otherwise have an effective opportunity
to ply for trade to and from the third country concerned;
(b) prohibit cargo sharing arrangements in future bilateral
agreements concerning dry and liquid bulk trade;
(c) abolish, upon entry into force of the Agreement, all unilateral
measures, administrative, technical and other obstacles which could
have restrictive or discriminatory effects on the free supply of
services in international maritime transport.
3. With a view to assuring a coordinated development and progressive
liberalization of transport between the Parties adapted to their
reciprocal commercial needs, the conditions of mutual market access
in air transport and in inland transport shall be dealt with by
special transport Agreements to be negotiated between the Parties
after the entry into force of the Agreement.
4. Prior to the conclusion of the Agreements referred to in
paragraph 3, the Parties shall not take any measures or actions
which are more restrictive or discriminatory as compared to the
situation existing on the day preceding the day of entry into force
of the Agreement.
5. During the transitional period, Bulgaria shall progressively
adapt its legislation including administrative, technical and other
rules to that of the Community legislation existing at any time in
the field of air and inland transport in so far as it serves
liberalization purposes and mutual access to markets of the Parties
and facilitates the movement of passengers and of goods.
6. In step with the common progress in the achievement of the
objectives of this chapter, the Association Council shall examine
ways of creating the conditions necessary for improving freedom to
provide air and inland transport services.
Article 58
The provisions of Article 54 shall apply to the matters covered by
this chapter.
CHAPTER IV General provisions
Article 59
1. For the purpose of Title IV, nothing in the Agreement shall
prevent the Parties from applying their laws and regulations
regarding entry and stay, work, labour conditions and establishment
of natural persons and supply of services, provided that, in so
doing, they do not apply them in a manner as to nullify or impair
the benefits accruing to any Party under the terms of a specific
provision of the Agreement. The above provision does not prejudice
the application of Article 54.
2. The provisions of Chapters II, III and IV of Title IV shall be
adjusted by decision of the Association Council in the light of the
result of the negotiations on services taking place in the Uruguay
Round and in particular to ensure that under any provision of this
Agreement a Party grants to the other Party a treatment no less
favourable than that accorded under the provisions of a future
General Agreement on Trade and Services (GATS).
Pending Bulgaria's accession to a future GATS Agreement, and without
prejudice to any decisions the Association Council may take,
(i) the Community shall grant to Bulgarian companies and nationals a
treatment no less favourable than that accorded under the provisions
of a future GATS Agreement to companies and nationals of other
members of that Agreement;
(ii) Bulgaria shall grant Community companies and nationals a
treatment no less favourable than that accorded by Bulgaria to
companies and nationals from any third country.
3. The exclusion of Community companies and nationals established in
Bulgaria in accordance with the provisions of Chapter II of Title IV
from public aid granted by Bulgaria in the areas of public education
services, health-related and social services and cultural services
shall, for the duration of the transitional period referred to in
Article 7, be deemed compatible with the provisions of Title IV and
with the competition rules referred to in Title V.
TITLE V PAYMENTS, CAPITAL, COMPETITION AND OTHER ECONOMIC
PROVISIONS, APPROXIMATION OF LAWS
CHAPTER I Current payments and movement of capital
Article 60
The Parties undertake to authorize, in freely convertible currency,
any payments on the current account of balance of payments to the
extent that the transactions underlying the payments concern
movements of goods, services, or persons between the Parties which
have been liberalized pursuant to this Agreement.
Article 61
1. With regard to transactions on the capital account of balance of
payments, from entry into force of the Agreement, the Member States
and Bulgaria respectively shall ensure the free movement of capital
relating to direct investments made in companies formed in
accordance with the laws of the host country and investments made in
accordance to the provisions of Chapter II of Title IV, and the
liquidation or repatriation of these investments and of any profit
stemming therefrom.
Notwithstanding the above provision, such free movement, liquidation
and repatriation shall be ensured by the end of the first stage
referred to in Article 7 for all investments linked to establishment
of Community nationals establishing in Bulgaria as self-employed
persons pursuant to Chapter II of Title IV.
2. Without prejudice to paragraph 1, the Member States, as from the
entry into force of the Agreement, and Bulgaria as from the end of
the fifth year following the entry into force of the Agreement,
shall not introduce any new foreign exchange restrictions on the
movement of capital and current payments connected therewith between
residents of the Community and Bulgaria and shall not make the
existing arrangements more restrictive.
3. The provisions of paragraphs 1 and 2 shall not prevent Bulgaria
from applying restrictions on outward investments by Bulgarian
nationals and companies. However, the liquidation or repatriation of
investments made in Bulgaria and of any profit stemming therefrom
shall not be affected.
4. Tthe Parties shall consult each other with a view to facilitating
the movement of capital between the Community and Bulgaria in order
to promote the objectives of this Agreement.
Article 62
1. During the five years following the date of entry into force of
the Agreement, the Parties shall take measures permitting the
creation of the necessary conditions for the further gradual
application of Community rules on the free movement of capital.
2. By the end of the fifth year from the entry into force of the
Agreement, the Association Council shall examine ways of enabling
Community rules on the movement of capital to be applied in full.
Article 63
With reference to the provisions of this chapter, and
notwithstanding the provisions of Article 65, until a full
convertibility of Bulgarian currency in the meaning of Article VIII
of the International Monetary Fund (IMF) is introduced, Bulgaria may
in exceptional circumstances apply exchange restrictions connected
with the granting or taking up of short and medium-term credits to
the extent that such restrictions are imposed on Bulgaria for the
granting of such credits and are permitted according to Bulgaria's
status under the IMF.
Bulgaria shall apply these restrictions in a non-discriminatory
manner. They shall be applied in such a manner as to cause the least
possible disruption to this Agreement. Bulgaria shall inform the
Association Council promptly of the introduction of such measures
and of any changes therein.
CHAPTER II Competition and other economic provisions
Article 64
1. The following are incompatible with the proper functioning of
this Agreement, in so far as they may affect trade between the
Community and Bulgaria:
(i) all Agreements between undertakings, decisions by associations
of undertakings and concerted practices between undertakings which
have as their object or effect the prevention, restriction or
distortion of competition;
(ii) abuse by one or more undertakings of a dominant position in the
territories of the Community or of Bulgaria as a whole or in a
substantial part thereof;
(iii) any public aid which distorts or threatens to distort
competition by favouring certain undertakings or the production of
certain goods.
2. Any practices contrary to this Article shall be assessed on the
basis of criteria arising from the application of the rules of
Articles 85, 86, and 92 of the Treaty establishing the European
Economic Community.
3. The Association Council shall, within three years of the entry
into force of the Agreement, adopt the necessary rules for the
implementation of paragraphs 1 and 2.
4. (a) For the purposes of applying the provision of paragraph 1,
point (iii), the Parties recognize that during the first five years
after the entry into force of the Agreement, any public aid granted
by Bulgaria shall be assessed taking into account the fact that
Bulgaria shall be regarded as an area identical to those areas of
the Community described in Article 92 (3) (a) of the Treaty
establishing the European Economic Community. The Association
Council shall, taking into account the economic situation of
Bulgaria, decide whether that period should be extended by further
periods of five years.
(b) Each Party shall ensure transparency in the area of public aid,
inter alia by reporting annually to the other Party on the total
amount and the distribution of the aid given and by providing, upon
request, information on aid schemes. Upon request by one Party, the
other Party shall provide information on particular individual cases
of public aid.
5. With regard to products referred to in Chapers II and III of
Title III:
- the provision of paragraph 1 (iii) does not apply,
- any practices contrary to paragraph 1 (i) should be assessed
according to the criteria established by the Community on the basis
of Articles 42 and 43 of the Treaty establishing the European
Economic Community and in particular of those established in Council
Regulation No 26/1962.
6. If the Community or Bulgaria considers that a particular practice
is incompatible with the terms of paragraph 1, and:
- is not adequately dealt with under the implementing rules referred
to in paragraph 3, or
- in the absence of such rules, and if such practice causes or
threatens to cause serious prejudice to the interest of the other
Party or material injury to its domestic industry, including its
services industry,
it may take appropriate measures after consultation within the
Association Council or after 30 working days following referral for
such consultation.
In the case of practices incompatible with paragraph 1 (iii) of this
Article, such appropriate measures may, where the General Agreement
on Tariffs and Trade applies thereto, only be adopted in conformity
with the procedures and under the conditions laid down by the
General Agreement on Tariffs and Trade and any other relevant
instrument negotiated under its auspices which are applicable
between the Parties.
7. Notwithstanding any provisions to the contrary adopted in
conformity with paragraph 3, the Parties shall exchange information
taking into account the limitations imposed by the requirements of
professional and business secrecy.
8. This Article shall not apply to the products covered by the
Treaty establishing the European Coal and Steel Community which are
the subject of Protocol 2.
Article 65
1. The Parties shall endeavour to avoid the imposition of
restrictive measures including measures relating to imports for
balance of payments purposes. In the event of their introduction,
the Party having introduced the same shall present to the other
Party a time schedule for their removal.
2. Where one or more Member States or Bulgaria is in serious balance
of payments difficulties, or under imminent threat thereof, the
Community or Bulgaria, as the case may be, may, in accordance with
the conditions established under the General Agreement on Tariffs
and Trade, adopt restrictive measures, including measures relating
to imports, which shall be of limited duration and may not go beyond
what is necessary to remedy the balance of payments situation. The
Community or Bulgaria, as the case may be, shall inform the other
Party forthwith.
3. Any restrictive measures shall not apply to transfers related to
investments and in particular to the repatriation of amounts
invested or reinvested and of any kind of revenues stemming
therefrom.
Article 66
With regard to public undertakings and undertakings to which special
or exclusive rights have been granted, the Association Council shall
ensure that, as from the third year from the date of entry into
force of the Agreement, the principles of the Treaty establishing
the European Economic Community, notably Article 90, and the
principles of the concluding document of the April 1990 Bonn meeting
of the Conference on Security and Cooperation in Europe (notably
entrepreneurs' freedom of decision) are upheld.
Article 67
1. Bulgaria shall continue to improve the protection of
intellectual, industrial and commercial property rights in order to
provide, by the end of the fifth year after the entry into force of
the Agreement, for a level of protection similar to that existing in
the Community, including comparable means of enforcing such rights.
2. Within the same time, Bulgaria shall apply to accede to the
Munich Convention on the Grant of European Patents of 5 October
1973. Bulgaria shall also accede to the other multilateral
convention(s) on intellectual, industrial and commercial property
rights (referred to in paragraph 1 of Annex XVI) to which Member
States are Parties, or which are de facto applied by Member States.
Article 68
1. The Parties consider the opening up of the award of public
contracts on the basis of the principles of non-discrimination and
reciprocity, in particular in the GATT context, to be a desirable
objective.
2. The Bulgarian companies as defined in Article 49 shall be granted
access to contract award procedures in the Community pursuant to
Community procurement rules under a treatment no less favourable
than that accorded to Community companies as of the entry into force
of the Agreement.
Community companies as defined in Article 49 shall be granted access
to contract award procedures in Bulgaria under a treatment no less
favourable than that accorded to Bulgarian companies at the latest
at the end of the transitional period referred to in Article 7.
Community companies established in Bulgaria under the provisions of
Chapter II of Title IV in the form of subsidiaries as described in
Article 45 and in the forms described in Article 55 shall have upon
entry into force of the Agreement access to contract award
procedures under a treatment no less favourable than that accorded
to Bulgarian companies. Community companies established in Bulgaria
in the form of branches and agencies as described in Article 45
shall be granted such treatment at the latest by the end of the
transitional period.
The Association Council shall periodically examine the possibility
for Bulgaria to introduce access to award procedures in Bulgaria for
all Community companies prior to the end of the transitional period.
3. As regards establishment, operations, supply of services between
the Community and Bulgaria, as well as employment and movement of
labour linked to the fulfilment of public contracts, the provisions
of Articles 38 to 59 are applicable.
CHAPTER III Approximation of laws
Article 69
The Parties recognize that an important condition for Bulgaria's
economic integration into the Community is the approximation of
Bulgaria's existing and future legislation to that of the Community.
Bulgaria shall endeavour to ensure that its legislation will be
gradually made compatible with that of the Community.
Article 70
The approximation of laws shall extend to the following areas in
particular: customs law, company law, banking law, company accounts
and taxes, intellectual property, protection of workers at the
workplace, financial services, rules on competition, protection of
health and life of humans, animals and plants, consumer protection,
indirect taxation, technical rules and standards, nuclear law and
regulation, transport and the environment.
Article 71
The Community shall provide Bulgaria with technical assistance for
the implementation of these measures, which may include inter alia:
- the exchange of experts,
- the provision of early information especially on relevant
legislation,
- organization of seminars,
- training activities,
- aid for the translation of Community legislation in the relevant
sectors.
TITLE VI ECONOMIC COOPERATION
Article 72
1. The Community and Bulgaria shall establish economic cooperation
aimed at contributing to Bulgaria's development and growth
potential. Such cooperation shall strengthen existing economic links
on the widest possible foundation, to the benefit of both Parties.
2. Policies and other measures will be designed to bring about
economic and social development of Bulgaria and will be guided by
the principle of sustainable development. These policies should
ensure that environmental considerations are also fully incorporated
from the outset and that they are linked to the requirements of
harmonious social development.
3. To this end, the cooperation should focus in particular on
policies and measures related to industry including investment,
agriculture and agro-industrial sector, energy, transport,
telecommunications, regional development and tourism.
4. Special attention shall be devoted to measures capable of
fostering cooperation between the countries of central and eastern
Europe with a view to a harmonious development of the region.
Article 73
Industrial cooperation
1. Cooperation shall seek to promote the following in particular:
- industrial cooperation between economic operators of both sides,
with the particular objective of strengthening the private sector,
- Community participation in Bulgaria's efforts in both public and
private sectors to modernize and restructure its industry, which
will effect the transition from a centrally planned system to a
market economy under conditions which ensure that the environment is
protected,
- the restructuring of individual sectors; in this context the
Association Council will examine in particular the problems
affecting the sector of coal and steel and the conversion of the
defence industry,
- the establishment of new undertakings in areas offering potential
for growth, particularly in branches of light industry, consumer
goods and market services,
- transfer of technology and know-how.
2. Industrial cooperation initiatives shall take into account
priorities determined by Bulgaria. The initiatives should seek in
particular to establish a suitable framework for undertakings, to
improve management know-how and to promote transparency as regards
markets and conditions for undertakings, and will include technical
assistance where appropriate.
Article 74
Investment promotion and protection
1. Cooperation shall aim at maintaining and, if necessary, improving
a legal framework and a favourable climate for private investment
and its protection, both domestic and foreign, which is essential to
economic and industrial reconstruction and development in Bulgaria.
The cooperation shall also aim to encourage and promote foreign
investment and privatization in Bulgaria.
2. The particular aims of cooperation shall be:
- the conclusion, where appropriate, by the Member States and
Bulgaria of agreements for the promotion and protection of
investment,
- the conclusion, where appropriate, of agreements between Member
States and Bulgaria to avoid double taxation,
- to implement suitable arrangements for the transfer of capital,
- to proceed with deregulation and to improve economic
infrastructure,
- to exchange information on investment opportunities in the form of
trade fairs, exhibitions, trade weeks and other events,
- to exchange information on laws, regulations and administrative
practices in the field of investment.
3. Bulgaria shall honour the rules on trade related aspects of
investment measures (TRIMs), once these have been adopted within the
GATT.
Article 75
Agro and industrial standards and conformity assessment
1. The Parties shall cooperate with the aim to reduce differences in
the fields of standardization and conformity assessment procedures.
2. To this end, the cooperation shall seek:
- to promote the use of Community technical regulations and European
standards and conformity assessment procedures,
- where appropriate, to conclude agreements on mutual recognition in
these fields,
- to encourage Bulgaria's active and regular participation in the
work of specialized organizations (CEN, Cenelec, ETSI, EOTC),
- to support Bulgaria in the European measurement and testing
programmes,
- to promote the exchange of technical and methodological
information in the field of quality control and production process.
3. The Community will provide Bulgaria with technical assistance
where appropriate.
Article 76
Cooperation in science and technology
1. The Parties shall promote cooperation in research and
technological development activities. They shall devote special
attention to the following:
- the exchange of information on each other's science and technology
policies,
- the organization of joint scientific meetings (seminars and
workshops),
- joint R& D activities aimed at encouraging scientific progress and
the transfer of technology and know-how,
- training activities and mobility programmes for researchers and
specialists from both sides,
- the development of an environment conducive to research and the
application of new technologies and adequate protection of
intellectual property of the results of research,
- participation of Bulgaria in the Community programmes in
accordance with paragraph 3.
Technical assistance shall be provided where appropriate.
3. Cooperation under the Community's framework programme in the
field of research and technological development shall be implemented
according to specific arrangements to be negotiated and concluded in
accordance with the legal procedures of each Party.
Article 77
Education and training
1. Cooperation shall aim at a harmonious development of human
resources and at raising the level of general education and
professional qualifications in Bulgaria, both in public and private
sectors, taking into consideration the priorities of Bulgaria.
Institutional frameworks and plans of cooperation will be
established (building on the European Training Foundation, when
established, and the Tempus programme). Participation of Bulgaria in
other Community programmes shall also be considered in this context.
2. The cooperation shall focus in particular on the following areas:
- reform of the education and training system in Bulgaria,
- initial training, in-service training and retraining, including
the training of public and private sector executives and senior
civil servants, particularly in priority areas to be determined,
- cooperation between universities, cooperation between universities
and firms, and mobility for teachers, students, administrators and
young people,
- promoting teaching in the field of European Studies within the
appropriate institutions,
- mutual recognition of periods of studies and diplomas,
- teaching Community languages and the Bulgarian language,
- training translators and interpreters and promoting the use of
Community linguistic norms and terminology.
Article 78
Agriculture and the agro-industrial sector
1. Cooperation in this area shall have as its aim the modernization,
restructuring and privatization of agriculture and the
agro-industrial sector in Bulgaria. It shall endeavour notably to:
- develop private farms and distribution channels, methods of
storage, marketing, management etc.,
- modernize the rural infrastructure (transport, water supply,
telecommunications),
- improve land-use planning, including construction and urban
planning,
- improve productivity and quality by using appropriate methods and
products; provide training and monitoring in the use of
anti-pollution methods connected with inputs,
- restructure, develop and modernize processing firms and their
marketing techniques,
- promote complementarity in agriculture,
- promote industrial cooperation in agriculture and the exchange of
know-how, particularly between the private sectors in the Community
and Bulgaria,
- develop cooperation on animal and plant health, agrifood health
(in particular ionization) including veterinary legislation and
inspection, vegetal and phytosanitary legislation with the aim of
bringing about gradual harmonization with Community standards
through assistance for training and the organization of checks,
- develop ecologically clean regions, technologies and crops,
- develop and promote effective cooperation on quality assurance
systems compatible with the Community models,
- promote integrated rural development in Bulgaria,
- exchange information in respect of agricultural policy and
legislation.
2. To these ends, technical assistance shall be provided by the
Community as appropriate.
Article 79
Energy
1. Within the framework of the principles of the market economy and
the European Energy Charter, the Parties shall cooperate to develop
the progressive integration of the energy markets in Europe.
2. Cooperation shall include among others technical assistance when
appropriate in the following areas:
- formulation and planning of energy policy, including its long-term
aspects,
- management and training for the energy sector,
- the promotion of energy saving and energy efficiency,
- the development of energy ressources,
- improvement of distribution as well as improvement and
diversification of supply,
- the environmental impact of energy production and consumption,
- the nuclear energy sector,
- opening up the energy market to a greater degree, including
facilitating transit of gas and electricity,
- the electricity and gas sectors, including the consideration of
the possibility of the interconnection of the supply networks,
- modernization of energy infrastructures,
- the formulation of framework conditions for cooperation between
undertakings in this sector,
- the transfer of technology and know-how.
Article 80
Nuclear safety
2. Cooperation shall mainly cover the following topics:
- improvement of the operational safety of Bulgarian nuclear power
plants,
- evaluation of the feasibility of backfitting the existing power
plant equipped with VVER-440 reactors,
- upgrading training of management and other personal of nuclear
installations,
- upgrading Bulgaria's laws and regulations on nuclear safety and
strengthening the supervisory authorities and their resources,
- nuclear safety, nuclear emergency preparedness and management,
- radiation protection, including environmental radiation
monitoring,
- fuel cycle problems and safeguarding of nuclear materials,
- radioactive waste management,
- decomissioning and dismantling of nuclear installations,
- decontamination.
3. Cooperation will include exchange of information and experience
and R& D activities in accordance with Article 76.
Article 81
Environment
1. The Parties shall develop and strengthen their cooperation on
environment and human health, which they have judged to be a
priority.
2. Cooperation shall concern:
- effective monitoring of pollution levels; systems of information
on the state of the environment,
- combating local, regional and transboundary air and water
pollution,
- sustainable, efficient and environmentally effective production
and use of energy; safety of industrial plants,
- the management of water resources for border waterways, including
transboundary waterways, in compliance with the principles of
international law and in particular in conformity with the
provisions of the Convention on the protection and use of
transboundary watercourses and international lakes,
- classification and safe handling of chemicals,
- water quality, particularly of transboundary waterways (including
the Danube and of the Black Sea),
- effective prevention and reduction of water pollution, especially
of sources of drinking water,
- waste reduction, recycling and safe disposal, implementation of
the Basle Convention,
- the environmental impact of agriculture; soil degradation,
salinity and acidification,
- the protection of forests and flora and fauna; restoring
ecological stability of the countryside,
- land-use planning, including construction and urban planning,
- coastal zone management,
- use of economic and fiscal instruments,
- global climate change and its prevention,
- environment education and awareness,
- implementation of regional international programmes, inter alia of
the Danube Basin and the Black Sea.
3. Cooperation shall take place notably through:
- exchange of information and experts, including information and
experts dealing with the transfer of clean technologies,
- training programmes,
- harmonization of laws (Community standards) regulations standards,
norms and methodology,
- cooperation at regional level, possibly including the
implementation of joint programmes at international level,
particularly as regards the management, the protection and quality
of the waters of transboundary waterways; cooperation within the
framework of the European Environment Agency once it comes into
existence,
- development of strategies, particularly with regard to global and
climatic issues,
- environmental impact studies,
- improvement of the environmental management, inter alia water
management.
4. Protocol 8 lays down the arrangements applicable to the
management, protection and quality of the waters of transboundary
waterways.
Article 82
Transport
1. The Parties shall develop and strengthen their cooperation so as
to enable Bulgaria to:
- restructure and modernize transport,
- improve the movement of passengers and goods and the access to the
transport market by removing administrative, technical and other
obstacles,
- facilitate Community transit through Bulgaria by road, rail,
inland waterway and combined transport,
- achieve operating standards comparable to those in the Community.
2. Cooperation shall include the following in particular:
- economic, legal and technical training programmes,
- the provision of technical assistance and advice, and exchange of
information.
3. Cooperation shall include the following priority areas:
- road transport, including the gradual easing of transit
conditions,
- the management of railways and airports, including cooperation
between the appropriate national authorities,
- the development of a road network and the modernization, on major
routes of common interest and trans-European links, of road, inland
waterway, railway, combined transport port and airport
infrastructure,
- land-use planning including construction and urban planning,
- the upgrading of technical equipment to meet Community standards,
particularly in the fields of road and rail transport, multimodal
transport and transhipment,
- the setting up of consistent transport policies compatible with
those applicable in the Community,
- the promotion of joint technological and research programmes in
accordance with Article 76.
Article 83
Telecommunications and postal services
1. The Parties shall expand and strengthen cooperation in this area,
and shall to this end initiate notably the following actions:
- exchange information on telecommunications and postal services
policies,
- exchange technical and other information and organize seminars,
workshops and conferences for experts of both sides,
- conduct training and advisory operations,
- carry out transfers of technology and know-how in all elements of
telecommunications and postal services,
- have the appropriate bodies from both sides carry out joint
projects,
- promote European standards, systems of certification and
regulatory approaches,
- promote new communications facilities, services and installations,
particularly those with commercial applications.
2. These activities shall focus on the following priority areas:
- development and application of a sectorial market policy in
telecommunications and postal services in Bulgaria, of legal and
regulatory acts and procedures,
- the modernization of Bulgaria's telecommunications network and its
integration into European and world networks,
- cooperation within the structures of European standardization,
- the integration of trans-European systems; the legal and
regulatory aspects of telecommunications,
- the management of telecommunications in the new economic
environment: organizational structures, strategy and planning,
purchasing principles.
Article 84
Banking, insurance and other financial services
1. The Parties shall cooperate with the aim of establishing and
developing a suitable framework for the encouragement of a banking,
insurance and financial services sector in Bulgaria.
2. Cooperation shall focus on:
- the improvement of efficient accounting and audit systems in
Bulgaria based on European Community standards,
- the strengthening and restructuring of the banking and financial
systems,
- the improvement and harmonization of supervision and regulation
system of banking and financial services,
- the preparation of glossaries of terminology,
- the exchange of information in particular in respect of proposed
legislation,
- the preparation and translation of Community and Bulgarian
legislation.
3. To this end, the cooperation shall include the provision of
technical assistance and training.
Article 85
Audit and financial control cooperation
1. The Parties shall cooperate with the aim of developing efficient
financial control and audit systems in the Bulgarian administration
following standard Community methods and proceedings.
2. Cooperation shall focus on:
- the exchange of relevant information on audit systems,
- the unification of audit documentation,
- training and advisors' operations.
3. To this end, technical assistance shall be provided by the
Community as appropriate.
Article 86
Monetary policy
At the request of the Bulgarian authorities, the Community shall
provide technical assistance designed to support the efforts of
Bulgaria towards the introduction of full convertibility of the leva
and the gradual approximation of its policies to those of the
European Monetary System. This will include informal exchange of
information concerning the principles and the functioning of the
European Monetary System.
Article 87
Money laundering
1. The Parties will establish a framework for cooperation aimed at
preventing the use of their financial systems for laundering of
proceeds from criminal activities in general and drug offences in
particular.
2. Cooperation in this area shall include administrative and
technical assistance with the purpose of establishing suitable
standards against money laundering equivalent to those adopted by
the Community and international fora in this field, including the
Financial Action Task Force (FATF).
Article 88
Regional development
1. The Parties shall strengthen cooperation between them on regional
development and land-use planning.
2. To this end, any of the following measures may be undertaken:
- the exchange of information by national, regional or local
authorities on regional and land-use planning policy, and, where
appropriate, the provision of assistance to Bulgaria for the
formulation of such policy,
- joint action by regional and local authorities in the area of
economic development,
- study of a joint approach for the development of regions situated
on Bulgaria's border with the Community,
- exchange visits to explore the opportunities for cooperation and
assistance,
- the exchange of civil servants or experts,
- the provision of technical assistance, with special emphasis on
the development of disadvantaged areas,
- the establishment of programmes for the exchange of information
and experience, by methods including seminars.
Article 89
Social cooperation
1. With regard to health and safety, the Parties shall develop
cooperation between them with the aim of improving the level of
protection of the health and safety of workers, taking as a
reference the level of protection existing in the Community.
Cooperation shall comprise the following in particular:
- the provision of technical assistance,
- the exchange of experts,
- cooperation between firms,
- information and administrative and other relevant assistance to
firms and training operations,
- cooperation in public health.
2. With regard to employment, cooperation between the Parties shall
focus notably on:
- the organization of the labour market,
- job-finding and careers advice services,
- the planning and the implementation of regional restructuring
programmes,
- the encouragement of local employment development.
Cooperation in this field shall be realized through actions such as
the performance of studies, provision of the services of experts and
information and training.
3. With regard to social security, cooperation between the Parties
shall seek to adapt the Bulgarian social security system to the new
economic and social situation, primarily by providing the services
of experts and information and training.
Article 90
Tourism
The Parties shall increase and develop cooperation between them,
which shall include:
- facilitating the tourist trade and, where appropriate, reducing
relevant formalities,
- assistance to Bulgaria for the privatization of the tourist sector
as well as for the working out of efficient state and company
policies for establishing optimal legal administrative and financial
mechanisms for its further development,
- increasing the flow of information through international networks,
data bases, etc.,
- transferring know-how through training, exchanges, seminars,
- studying the opportunities for joint operations (cross-border
projects, town-twinning, etc.),
- exchanging views and providing for appropriate exchanges of
information on major issues of mutual interest affecting the tourism
sector.
Article 91
Small and medium-sized enterprises
1. The Parties shall aim to develop and strengthen small and
medium-sized enterprises (SMEs), in particular in the private
sector, and cooperation between SMEs in the Community and Bulgaria.
2. They shall encourage the exchange of information and know-how in
the following areas:
- improving, where appropriate, the legal, administrative,
technical, tax and financial conditions for the setting-up and
expansion of SMEs and for cross-border cooperation,
- the provision of the specialized services required by SMEs
(management training, accounting, marketing, quality, control, etc.)
and the strengthening of agencies providing such services,
- the establishment of appropriate links with Community operators in
order to improve the flow of information to SMEs and promoting
cross-border cooperation (for example the business cooperation
network (BC-NET), Euro-info Centres, conferences, etc.).
3. Cooperation will include the supply of technical assistance in
particular for the establishment of appropriate institutional
support for SME's, at both national and regional level, regarding
financial, training, advisory, technological and marketing services.
Article 92
Information and the audiovisual sector
1. The Community and Bulgaria shall take appropriate steps to
stimulate the effective mutual exchange of information. Priority
shall be given to programmes aimed at providing the general public
with basic information about the Community and professional circles
in Bulgaria with more specialized information, including, where
possible, access to Community databases.
2. The Parties shall cooperate in the promotion of the audiovisual
industry in Europe. The audiovisual sector in Bulgaria could most
notably take part in activities set up by the Community in the
framework of the Media programme under procedures laid down by the
bodies responsible for managing each activity and in accordance with
the provisions of the Decision of the Council of the European
Communities of 21 December 1990, which established the programme.
The Community will encourage the Bulgarian audiovisual sector to
participate in the appropriate Eureka programmes.
The Parties shall coordinate and, where appropriate, harmonize their
policies regarding the regulation of cross-border broadcasting,
technical norms in the audiovisual field and the promotion of
European audiovisual technology.
Cooperation could include inter alia the exchange of programmes,
bursaries and facilities for the training of journalists and other
media professionals.
Article 93
Consumer protection
1. The Parties shall cooperate with the aim of achieving full
compatibility between the systems of consumer protection in Bulgaria
and the Community.
2. To this end, cooperation shall comprise, within existing
possibilities:
- the exchange of information and experts,
- access to Community databases,
- training operations and technical assistance.
Article 94
Customs
1. The aim of cooperation shall be to guarantee compliance with all
the provisions scheduled for adoption in connection with trade and
to achieve the approximation of Bulgaria's customs system to that of
the Community, thus helping to ease the steps towards liberalization
planned under this Agreement.
2. Cooperation shall include the following in particular:
- the exchange of information,
- the development of appropriate infrastructure of crossing points
between the Parties,
- the introduction of the single administrative document and the
combined nomenclature by Bulgaria,
- the interconnection between the transit systems of the Community
and Bulgaria,
- the simplification of inspections and formalities in respect of
the carriage of goods,
- the organization of seminars and training periods,
- support in the introduction of modern customs information systems.
Technical assistance shall be provided where appropriate.
3. Without prejudice to further cooperation foreseen in this
Agreement, and in particular Article 97, the mutual assistance
between administrative authorities in customs matters of the Parties
shall take place in accordance with the provisions of Protocol 6.
Article 95
Statistical cooperation
1. Cooperation in this area shall have as its aim the development of
an efficient statistical system to provide, in a rapid and timely
fashion, the reliable statistics needed to support and monitor the
process of economic reform and contribute to the development of
private enterprise in Bulgaria.
2. The Parties shall cooperate in particular:
- to strengthen Bulgaria's statistical apparatus,
- to bring about harmonization with international (and particularly
Community) methods, standards and classifications,
- to provide the data needed to maintain and monitor economic
reform,
- to provide private-sector economic operators with the appropriate
macro-economic and micro-economic data,
- to guarantee the confidentiality of data,
- to exchange statistical information.
1. The Community and Bulgaria will facilitate the process of
economic reforms and integration by cooperating to improve
understanding of the fundamentals of their respective economies and
the devising and implementing of economic policy in market
economies.
2. To these ends the Community and Bulgaria will:
- exchange information on macro-economic performance and prospects
and on strategies for development
- analyse jointly economic issues of mutual interest, including the
framing of economic policy and the instruments for implementing it,
- through the programme of Action for Cooperation in Economics (ACE)
in particular, encourage extensive cooperation among economists and
managers in the Community and Bulgaria, in order to expedite the
transfer of know-how for the drafting of economic policies, and
provide for wide dissemination of the results of policy-relevant
research.
Article 97
Drugs
1. The cooperation is in particular aimed at increasing the
efficiency of policies and measures to counter the supply and
illicit traffic of narcotic drugs and psychotropic substances and to
reduce the abuse of these products.
2. The Parties shall agree on the necessary methods of cooperation
to attain these objectives, including the modalities of the
implementation of common actions. Their actions will be based on
consultation and close coordination over the objectives and the
policy measures in the fields targeted in paragraph 1.
3. Cooperation between the Parties will comprise technical and
administrative assistance which could deal in particular with the
following areas:
- the drafting and implementation of national legislation,
- the creation or strengthening of institutions and information
centres and of social and health centres,
- inreasing the efficiency of the institutions engaged in combating
illicit drug trafficking,
- the training of personnel and research,
- the prevention of diversion of precursors and other essential
chemicals used for the purpose of illicit manufacture of narcotic
drugs or psychotropic substances, by establishing suitable standards
equivalent to those adopted by the Community and relevant
international bodies, in particular the Chemical Action Task Force
(CATF).
The Parties may agree to include other areas.
TITLE VII CULTURAL COOPERATION
Article 98
Taking into account the Solemn Declaration on European Union, the
Parties undertake to promote, encourage and facilitate cultural
cooperation. Where appropriate, the Community's cultural cooperation
programmes or those of one or more Member States may be extended to
Bulgaria and further activities of interest to both sides developed.
This cooperation may notably cover:
- exchange of non-commercial works of art and artists,
- film production and film industry, taking into account the
cooperation in the audiovisual sector as envisaged in Article 92,
- translation of literary works,
- conservation and restoration of monuments and sites (architectural
and cultural heritage),
- training for those dealing with cultural affairs,
- the organization of European-oriented cultural events.
TITLE VIII FINANCIAL COOPERATION
Article 99
In order to achieve the objectives of this Agreement and in
accordance with Articles 100, 101, 103 and 104, without prejudice to
Article 102, Bulgaria shall benefit from temporary financial
assistance from the Community in the form of grants and loans,
including loans from the European Investment Bank according to the
provisions of Article 18 of the Statute of the Bank, to accelerate
the economic transformation of Bulgaria and to help Bulgaria to cope
with the economic and social consequences of structural
readjustment.
Article 100
This financial asssistance shall be covered:
- either within the framework of the Operation Phare foreseen in
Council Regulation (EEC) No 3906/89, as amended, on a multiannual
basis, or within a new financial multiannual framework established
by the Community following consultations with Bulgaria and taking
into account the considerations set out in Articles 103 and 104 of
this Agreement,
- by the loans provided by the European Investment Bank until the
expiry date of the availability thereof; following consultations
with Bulgaria the Community shall fix the maximum amount and period
of availablity of loans from the European Investment Bank for
Bulgaria for subsequent years.
Article 101
The objectives and the areas of the Community's financial assistance
shall be laid down in an indicative programme to be agreed between
the two Parties. The Parties shall inform the Association Council.
Article 102
1. The Community shall, in case of special need, taking into account
the G-24's guidelines for action and the availability of all
financial resources, on request by Bulgaria and in coordination with
international financial institutions, in the context of the G-24,
examine the possibility of granting temporary financial asssistance:
- to support measures with the aim to introduce and maintain the
convertibility of the Bulgarian currency,
- to support medium-term stabilization and structural adjustment
efforts, including balance of payments assistance.
2. This financial assistance is subject to Bulgaria's presentation
of IMF supported programmes in the context of the G-24, as
appropriate, for convertibility and/or for restructuring its
economy, to the Community's acceptance thereof, to Bulgaria's
continued adherence to these programmes and, as an ultimate
objective, to rapid transition to reliance on finance from private
sources.
3. The Association Council will be informed of the conditions under
which this assistance will be provided and of the respect of the
obligations undertaken by Bulgaria concerning such assistance.
Article 103
The Community financial assistance shall be evaluated in the light
of the needs which arise and of Bulgaria's development level, and
taking into account established priorities and the absorption
capacity of Bulgaria's economy, the ability to repay loans and
progress towards a market economy system and restructuring in
Bulgaria.
Article 104
In order to permit optimum use of the resources available, the
Parties shall ensure that Community contributions are made in close
coordination with those from other sources such as the Member
States, other countries, including the G-24, and international
financial institutions, such as the International Monetary Fund, the
International Bank for Reconstruction and Development and the
European Bank for Reconstruction and Development.
TITLE IX INSTITUTIONAL, GENERAL AND FINAL PROVISIONS
Article 105
An Association Council is hereby established which shall supervise
the implementation of this Agreement. It shall meet at ministerial
level once a year and when circumstances require. It shall examine
any major issues arising within the framework of the Agreement and
any other bilateral or international issues of mutual interest.
Article 106
1. The Association Council shall consist of the members of the
Council of the European Communities and members of the Commission of
the European Communities, on the one hand, and of members appointed
by the Government of Bulgaria, on the other.
2. Members of the Association Council may arrange to be represented,
in accordance with the conditions to be laid down in its rules of
procedure.
4. The Association Council shall be presided in turn by a member of
the Council of the European Communities and a member of the
Government of Bulgaria, in accordance with the provisions to be laid
down in its rules of procedure.
5. Where appropriate, the European Investment Bank will take part,
as an observer, in the work of the Association Council.
Article 107
The Association Council shall, for the purpose of attaining the
objectives of the Agreement, have the power to take decisions in the
cases provided for therein. The decisions taken shall be binding on
the Parties which shall take the measures necessary to implement the
decisions taken. The Association Council may also make appropriate
recommendations.
It shall draw up its decisions and recommendations by Agreement
between the two Parties.
Article 108
1. Each of the two Parties may refer to the Association Council any
dispute relating to the application or interpretation of this
Agreement.
3. Each Party shall be bound to take the measures involved in
carrying out the decision referred to in paragraph 2.
4. In the event of it not being possible to settle the dispute in
accordance with paragraph 2, either Party may notify the other of
the appointment of an arbitrator; the other Party must then appoint
a second arbitrator within two months. For the application of this
procedure, the Community and the Member States shall be deemed to be
one Party to the dispute.
The Association Council shall appoint a third arbitrator.
The arbitrators' decisions shall be taken by majority vote.
Each Party to the dispute must take the steps required to implement
the decision of the arbitrators.
Article 109
1. The Association Council shall be assisted in the performance of
its duties by an Association Committee composed of representatives
of the members of the Council of the European Communities and of
members of the Commission of the European Communities on the one
hand and of representatives of the Government of Bulgaria on the
other, normally at senior civil servant level.
In its rules of procedure the Association Council shall determine
the duties of the Association Committee, which shall include the
preparation of meetings of the Association Council and how the
Committee shall function.
2. The Association Council may delegate to the Association Committee
any of its powers. In this event the Association Committee shall
take its decisions in accordance with the conditions laid down in
Article 107.
Article 110
The Association Council may decide to set up any other special
committee or body that can assist it in carrying out its duties.
In its rules of procedure, the Association Council shall determine
the composition and duties of such committees or bodies and how they
shall function.
Article 111
An Association Parliamentary Committee is hereby established. It
shall be a forum for members of the Bulgarian Parliament and the
European Parliament to meet and exchange views. It shall meet at
intervals which it shall itself determine.
Article 112
1. The Association Parliamentary Committee shall consist of members
of the European Parliament, on the one hand, and of members of the
Bulgarian Parliament, on the other.
3. The Association Parliamentary Committee shall be presided in turn
by each the European Parliament and the Bulgarian Parliament, in
accordance with the provisions to be laid down in its rules of
procedure.
Article 113
The Association Parliamentary Committee may request relevant
information regarding the implementation of this Agreement from the
Association Council, which shall then supply the Committee with the
requested information.
The Association Parliamentary Committee shall be informed of the
decisions of the Association Council.
The Association Parliamentary Committee may make recommendations to
the Association Council.
Article 114
Within the scope of this Agreement, each Party undertakes to ensure
that natural and legal persons of the other Party have access free
of discrimination in relation to its own nationals to the competent
courts and administrative organs of the Parties to defend their
individual rights and their property rights, including those
concerning intellectual, industrial and commercial property.
Article 115
Nothing in this Agreement shall prevent a Contracting Party from
taking any measures:
(a) which it considers necessary to prevent the disclosure of
information contrary to its essential security interests;
(b) which relate to the production of, or trade in, arms ammunition
or war materials or to research, development or production
indispensable for defence purposes, provided that such measures do
not impair the conditions of competition in respect of products not
intended for specifically military purposes;
(c) which it considers essential to its own security in the event of
serious internal disturbances affecting the maintenance of law and
order, in time of war or serious international tension constituting
threat of war or in order to carry out obligations it has accepted
for the purpose of maintaining peace and international security.
Article 116
1. In the fields covered by this Agreement and without prejudice to
any special provisions contained therein:
- the arrangements applied by Bulgaria in respect of the Community
shall not give rise to any discrimination between the Member States,
their nationals, or their companies or firms,
- the arrangements applied by the Community in respect of Bulgaria
shall not give rise to any discrimination between Bulgarian
nationals or its companies or firms.
2. The provisions of paragraph 1 are without prejudice to the right
of the Parties to apply the relevant provisions of their fiscal
legislation to tax payers who are not in identical situations as
regards their place of residence.
Article 117
Products originating in Bulgaria shall not enjoy more favourable
treatment when imported into the Community than that applied by
Member States among themselves.
The treatment granted to Bulgaria unter Title IV and Chapter I of
Title V shall not be more favourable than that accorded by Member
States among themselves.
Article 118
1. The Parties shall take any general or specific measures required
to fulfil their obligations under the Agreement. They shall see to
it that the objectives set out in the Agreement are attained.
2. If either Party considers that the other Party has failed to
fulfil an obligation under the Agreement, it may take appropriate
measures. Before so doing, except in cases of special urgency, it
shall supply the Association Council with all relevant information
required for a thorough examination of the situation with a view to
seeking a solution acceptable to the Parties.
In the selection of measures, priority must be given to those which
least disturb the functioning of the Agreement. These measures shall
be notified immediately to the Association Council and shall be the
subject of consultations within the Association Council if the other
Party so requests.
Article 119
This Agreement shall not, until equivalent rights for individuals
and economic operators have been achieved under this Agreement,
affect rights assured to them through Agreements binding one or more
Member States, on the one hand, and Bulgaria, on the other, except
for sectors of Community competence and without prejudice to Member
States' obligations resulting from this Agreement in sectors of
their competence.
Article 120
Protocols 1, 2, 3, 4, 5, 6, 7 and 8, and Annexes I to XVI shall form
an integral part of this Agreement.
Article 121
This Agreement is concluded for an unlimited period.
Either Party may denounce this Agreement by notifying the other
Party. This Agreement shall cease to apply six months after the date
of such notification.
Article 122
This Agreement shall apply, on the one hand, to the territories in
which the Treaties establishing the European Economic Community, the
European Atomic Energy Community and the European Coal and Steel
Community are applied and under the conditions laid down in those
Treaties and, on the other hand, to the territory of the Republic of
Bulgaria.
Article 123
This Agreement is drawn up in duplicate in the Danish, Dutch,
English, French, German, Italian, Spanish, Greek, Portuguese and
Bulgarian languages, each of these texts being equally authentic.
Article 124
This Agreement will be approved by the Parties in accordance with
their own procedures.
This Agreement shall enter into force on the first day of the second
month following the date on which the Parties notify each other that
the procedures referred to in the first paragraph have been
completed.
Upon its entry into force, the Agreement shall replace the Agreement
between the European Economic Community, the European Atomic Energy
Community and Bulgaria on trade and economic and commercial
cooperation signed in Brussels on 8 May 1990.
Article 125
1. In the event that, pending the completion of the procedures
necessary for the entry into force of this Agreement, the provisions
of certain parts of this Agreement, in particular those relating to
the movement of goods, are put into effect in 1993 by means of an
Interim Agreement between the Community and Bulgaria, the
Contracting Parties agree that, in such circumstances for the
purposes of Title III, Articles 64 and 67 of this Agreement and
Protocol 1, 2, 3, 4, 5, 6 and 7 hereto, the terms 'date of entry
into force of the Agreement' shall mean
- the date of entry into force of the Interim Agreement in relation
to obligations taking effect on that date, and
- 1 January 1993 in relation to obligations taking effect after the
date of entry into force by reference to the date of entry into
force.
2. In the case of entry into force after 1 January, the provisions
of Protocol 7 shall apply.
En fe de lo cual, los plenipotenciarios abajo firmantes suscriben el
presente acuerdo.
Til bekröftelse heraf har undertegnede befuldmögtigede underskrevet
denne aftale.
Zur Urkund dessen haben die unterzeichneten Bevollmōchtigten ihre
Unterschriften unter dieses Abkommen gesetzt.
ÅłĖ ĘčėĮųė÷ Įųż ńżųĮąęų, ˙ł įĘ˙óõóęńüüąż˙ł Ęū÷ęõž˙žėł˙ł ąųõėńż ĮłĖ
įĘ˙óęńŠąĖ Į˙įĖ ėĮ÷ż Ęńę˙žėń ėįüŠųżčń.
In witness whereof the undersigned Plenipotentiaries have signed
this Agreement.
En foi de quoi, les plłnipotentiaires soussignłs ont apposł leur
signatures au bas du prłsent accord.
In fede di che, i plenipotenziari sottoscritti hanno apposto le loro
firme in calce al presente accordo.
Ten blijke waarvan de ondergetekende gevolmachtigden hun
handtekening onder deze Overeenkomst hebben gesteld.
Em fł do que, os plenipotencińrios abaixo assinados apuseram as suas
assinaturas no final do presente acordo
Hecho en
Udfördiget i
Geschehen zu
øółżõ ėĮłĖ
Done at
Fait š
Fatto a
Gedaan te
Feito em
Pour le Royaume de Belgique
Voor het Koninkrijk Belgiū
Põ Kongeriget Danmarks vegne
FŽr die Bundesrepublik Deutschland
Ćłń Į÷ż Åūū÷żłśČ Ä÷ü˙śęńĮčń
Por el Reino de Espaęa
Pour la Rłpublique fran÷aise
Thar cheann Na hÉireann
For Ireland
Per la Repubblica italiana
Pour le Grand-Duchł de Luxembourg
Voor het Koninkrijk der Nederlanden
Pela RepŪblica Portuguesa
For the United Kingdom of Great Britain and Northern Ireland
Por el Consejo y la Comisiėn de las Comunidades Europeas
For Rõdet og Kommissionen for De Europöiske Föllesskaber
FŽr den Rat und die Kommission der Europōischen Gemeinschaften
Ćłń Į˙ Óįüņ˙žūł˙ śńł Į÷ż ÅĘłĮę˙ĘČ Įųż ÅįęųĘńŪśžż Ź˙łż˙ĮČĮųż
For the Council and the Commission of the European Communities
Pour le Conseil et la Commission des Communautłs europłennes
Per il Consiglio e la Commissione delle Comunitš europee
Voor de Raad en de Commissie van de Europese Gemeenschappen
Pelo Conselho e Pela Comissóo das Comunidades Europeias
ANNEX I
List of products referred to in Articles 9 and 19 of the Agreement
>TABLE POSITION>
ANNEX IIa
List of products referred to in the first subparagraph of Article 10
(2)
>TABLE POSITION>
ANNEX IIb
List of products referred to in the second subparagraph of Article
10 (2)
>TABLE POSITION>
ANNEX III
List of products referred to in Article 10 (3)
>TABLE POSITION>
ANNEX IV
List of products referred to in Article 11 (1)
>TABLE POSITION>
ANNEX V
List of products referred to in Article 11 (2)
>TABLE POSITION>
ANNEX VI
List of products referred to in Article 11 (3)
>TABLE POSITION>
ANNEX VII related to the provisions of Article 11 (4)
Bulgaria shall abolish by the end of the transitional period at the
latest the prohibition on imports of cars at least 10 years old or
older, calculated from the date of the first registration falling
under the following codes of the Bulgarian Customs Tariff:
8703 21 10
8703 22 10
8703 23 10
8703 24 10
8703 31 10
8703 32 10
8703 33 10
8703 90 10
ANNEX VIII related to the provisions of Article 13
Bulgaria shall abolish on its imports from the Community charges
having an effect equivalent to customs duties on imports in
accordance with the following timetable:
- five years after the entry into force of the Agreement at the
latest the 10 % import tax on imports of cars of a cylinder capacity
of 2 500 and more cm3 falling within the following codes of the
Bulgarian Customs Tariff:
8703 23 10
8703 24 10.
The tax will be progressively phased out as follows:
- one year after the date of the entry into force of the Agreement
the tax shall be reduced to 8 %,
- three years after the entry into force of the Agreement the tax
shall be reduced to 4 %,
- five years after the entry into force of the Agreement the
remaining tax shall be eliminated;
- five years after the entry into force of the Agreement at the
latest the 5 % import tax on imports of perfumery and cosmetics
falling within the following codes of the Bulgarian Customs Tariff:
3304
3305
3306
3307
- by January 1995 at the latest the 0,5 % customs clearance fee will
be transformed to reflect only the services rendered for customs
clearing.
ANNEX IX related to the provisions of Article 14 (3)
1. Bulgaria shall abolish at the latest by the end of the fifth year
after entry into force of the Agreement the non-automatic licensing
on exports of products falling under the following codes of the
Bulgarian Customs Tariff:
Waste and scrap of ferrous metals
7204 10 00
7204 21 00
7204 29 00
7204 30 00
7204 41 00
7204 49 00
Waste and scrap of non-ferrous metals
7404 00 00
7503 00 00
7602 00 00
7802 00 00
7902 00 00
8002 00 00
Bulgaria reserves the right within the five-year period to replace
the non-automatic licensing with an export tax which will be
abolished in accordance with the provisions of Article 14 (1).
2. Bulgaria shall replace not later that 1 January 1994 the export
ceilings on raw hides of bovine, ovine and caprine animals and pig's
skins falling under the following codes of the Bulgarian Customs
Tariff:
4101
4102
4103 10 00
4103 90 00
4107
by export taxes which will be eliminated at the latest by the end of
the fifth year after entry into force of the Agreement in accordance
with the provisions of Article 14 (1).
ANNEX X
Goods referred to in Article 18
>TABLE POSITION>
ANNEX XIa
List of products referred to in Article 21 (2) (1)
The products listed in this Annex will be subject to a 50 % levy
reduction
>TABLE POSITION>
(1) Notwithstanding the rules for interpretation of the combined
nomenclature, the wording for the description of the products is to
be considered as having no more than an indicative value, the
preferential scheme being determined within the contex t of this
Annex, by the coverage of the CN codes. Where ex CN codes are
indicated, the preferential scheme is to be determined by
application of the CN codes and corresponding description taken
together.
ANNEX XIb
List of products referred to in Article 21 (2) (1)
>TABLE POSITION>
ANNEX XIIa
List of products referred to in Article 21 (3)
Bulgaria shall abolish from the entry into force of the Agreement
the quantitative restrictions on imports originating in the
Community of the following products:
import quotas for the period 1 November to 31 May for:
ex 0702 00 00 greenhouse tomatoes
ex 0707 00 00 greenhouse cucumbers.
ANNEX XIIb
List of products referred to in Article 21 (3)
Products originating in the Community for which Bulgaria shall issue
import licences automatically up to the quantities indicated
>TABLE POSITION>
Further quantities of these products originating in the Community
may be imported into Bulgaria within the limits of, and under the
conditions applied to, the global Bulgarian quotas for the products
in question.
ANNEX XIIIa
List of products referred to in Article 21 (4) (1)
Imports into the Community of the following products originating in
Bulgaria shall be subject to the concessions set out below:
the quantities imported under the CN code referred to in this Annex
with the exception of codes 0104 and 0204 will be subject to levy
and duty reduction of 20 % in the first year, 40 % in the second
year and 60 % in the successive years.
>TABLE POSITION>
ANNEX XIIIb
List of products referred to in Article 21 (4) (1)
Imports into the Community of the following products originating in
Bulgaria shall be subject to the concessions set out below:
>TABLE POSITION>
Annex to Annexes XIb and XIIIb
Minimum import price arrangement for certain soft fruit for
processing
1. Minimum import prices are fixed for each marketing year for the
following products:
>TABLE POSITION>
The minimum import prices are fixed by the Community in consultation
with Bulgaria, taking into consideration the price evolution,
imported quantities and market development in the Community.
2. The minimum import prices shall be respected in accordance with
the following criteria:
- during each three-month period of the marketing year the average
unit value for each product listed in paragraph 1, imported into the
Community, shall not be lower than the minimum import price for that
product,
- during any two-week period the average unit value for each product
listed in paragraph 1, imported into the Community, shall not be
lower than 90 % of the minimum import price for that product, in so
far as the quantities imported during this period are not less than
4 % of normal annual imports.
3. In the event of failure to observe one of these criteria, the
Community may introduce measures ensuring that the minimum import
price is respected for each consignment of the product concerned
imported from Bulgaria.
ANNEX XIVa
List of products referred to in Article 21 (4) (1)
The quantities imported from the Community into Bulgaria under the
tariff headings of the Bulgarian Customs Tariff referred to in this
Annex will be subject to reduction of the applicable duty and of
charges having an equivalent effect of: - 10 % in the first year, -
20 % in the second year, and - 30 % in the successive years. >TABLE
POSITION>
(1) Notwithstanding the rules for the interpretation of the
Bulgarian Customs Tariff (BCT), the wording for the discription of
the products is to be considered as having no more than an
indicative value, the preferential scheme being determined, within
the context of this Annex, by the coverage of the BCT codes. Where
ex BCT codes are indicated, the preferential scheme is to be
determined by application of the BCT codes and corresponding
description taken together.
ANNEX XIVb
List of products referred to in Article 21 (4) (1)
The quantities imported from the Community into Bulgaria under the
tariff headings of the Bulgarian Customs Tariff referred to in this
Annex will be subject to reduction of the applicable duty and of
charges having an equivalent effect of: - 5 % in the first year, -
10 % in the second year, and - 15 % in the successive years. >TABLE
POSITION>
(1) Notwithstanding the rules for the interpretation of the
Bulgarian Customs Tariff (BCT), the wording for the description of
the products is to be considered as having no more than an
indicative value, the preferential scheme being determined, within
the context of this Annex, by the coverage of the BCT codes. Where
ex BCT codes are indicated, the preferential is to be determined by
application of the BCT codes and corresponding description taken
together.
ANNEX XVa
Legal acts relating to real-estate property in frontier regions in
accordance with legislation in force in certain Member States of the
Community
ANNEX XVb
Financial services
Definitions:
A financial service is any service of a financial nature offered by
a financial service provider of a party. Financial services include
the following activities:
A. All insurance and insurance-related services.
4. Services auxiliary to insurance, such as consultancy, actuarial,
risk assessment and claim settlement services.
B. Banking and other financial services (excluding insurance).
2. Lending of all types, including, inter alia, consumer credit,
mortgage credit, factoring and financing of commercial transaction.
4. All payment and money transmission services, including credit
charge and debit cards, travellers cheques and bankers drafts.
6. Trading for own account of customers, whether on an exchange, in
an over the counter market or otherwise, the following:
(a) money market instruments (cheques, bills, certificates of
deposits, etc.);
(b) foreign exchange;
(c) derivative products including, but not limited to, futures and
options;
(d) exchange rates and interest rate instruments, including products
such as swaps, forward rate agreements, etc.;
(e) transferable securities;
(f) other negotiable instruments and financial assets, including
bullion.
7. Participation in issues of all kinds of securities, including
underwriting and placement as agent (whether publicly or privately)
and provision of services related to such issues.
9. Asset management, such as cash or portfolio management, all forms
of collective investment management, pension fund management,
custodial depository and trust services.
10. Settlement and clearing services for financial assets, including
securities, derivative products, and other negotiable instruments.
11. Advisory intermediation and other auxiliary financial services
on all the activities listed in Points 1 to 10, including credit
reference and analysis, investment and portfolio research and
advice, advice on acquisitions and on corporate restructuring and
strategy.
12. Provision and transfer of financial information, and financial
data processing and related software by providers of other financial
services.
The following activities are excluded from the definition of
financial services:
(a) Activities carried out by central banks or by any other public
institution in pursuit of monetary and exchange rate policies.
(b) Activities conducted by central banks, government agencies or
departments, or public institutions, for the account or with the
guarantee of the government, except when those activities may be
carried out by financial service providers in competition with such
public entities.
(c) Activities forming part of a statutory system of social security
of public retirement plans, except when those activities may be
carried out by financial service providers in competition with
public entities or private institutions.
ANNEX XVc
Sectors to be excluded from national treatment for a certain period
of time
I. Acquisition of participation which ensures a majority in adopting
decisions or blocks the adoption of decisions in companies engaged
in the activities of manufacturing or trading with weapons,
munitions or military equipment, banking and insurance, prospecting,
development or extraction of natural resources from the territorial
sea, continental shelf or the exclusive economic zone.
II. Representation at court and legal services not including legal
advice in business related matters.
III. Arrangement of gambling games, lotteries, etc.
ANNEX XVd
Excluded sectors
I. Acquisition of land.
II. Acquisition of dwellings save for the case where construction
rights have been performed or through a procedure established by
law.
III. Owning real estate property in certain geographic regions as
foreseen in Article 5, paragraph 3.3 of the Bulgarian Law on the
economic activity of foreign persons and on the protection of
foreign investments.
ANNEX XVI
Intellecutal property
1. Paragraph 2 of Article 67 concerns the following multilateral
conventions:
- Protocol relating to the Madrid Agreement concerning the
international registration of marks (Madrid 1989);
- International Convention for the protection of performers,
producers of phonograms and broadcasting organizations (Rome, 1961);
2. The Association Council may decide that paragraph 2 of Article 67
shall apply to other present or future multilateral conventions, in
particular the GATT-TRIPS (trade related intellectual property
right) agreement.
3. The Contracting Parties confirm the importance they attach to the
obligations arising from the following multilateral conventions:
- Berne Convention for the protection of literary and artistic works
(Paris Act, 1971);
- Paris Convention for the protection of industrial property
(Stockholm Act, 1967 and amended in 1979);
- Madrid Agreement concerning the international registration of
marks (Stockholm Act, 1967 and amended in 1979);
- Budapest Treaty on the international recognition of the deposit of
micro-organisms for the purposes of patent procedures (1977,
modified in 1980);
- Patent Cooperation Treaty (Washington 1970, amended 1979 and
modified in 1984).
4. Before the end of the first stage, Bulgaria shall comply in its
internal legislation with the substantial provisions of the Nice
Agreement concerning the international classification of goods and
services for the purposes of registration of marks (Geneva 1977,
amended 1979).
5. For the purposes of paragraph 3 of this Annex and the provisions
of Article 76, paragraph 1 referring to intellectual property,
Contracting Parties shall be Bulgaria, the European Economic
Community and the Member States, each in as far as they are
respectively competent for matters concerning industrial,
intellectual and commercial property covered by these conventions or
by Article 76, paragraph 1.
6. The provisions of this Annex and of the provisions of Article 76,
paragraph 1 referring to intellectual property are without prejudice
to the competence of the European Economic Community and its Member
States in matters of industrial, intellectual and commercial
property.
PROTOCOL 1 on textile and clothing products
Article 1
This Protocol applies to the textile and clothing products
(hereinafter 'textile products') defined as follows:
- for quantitative purposes, textile products are those listed in
Annex I to the Bilateral Agreement between the Community and
Bulgaria on trade in textile products initialled on 11 July 1986 and
applied provisionally since 1 January 1987, as amended by the
exchange of letters initialled in Brussels on 21 November 1991 and
by the exchange of letters initialled in Brussels on 18 December
1992,
- for tariff purposes, textile products are those in Section XI
(Chapters 50 to 63) of the combined nomenclature of the Community,
and of the Bulgarian Customs Tariff respectively.
Article 2
1. Customs duties on imports applicable in the Community to textile
products falling within Section XI (Chapters 50 to 63) of the
combined nomenclature and originating in Bulgaria in accordance with
Protocol 4 of the Agreement shall be reduced in order to arrive at
their elimination at the end of a period of six years starting from
the entry into force of the Agreement, as follows:
- upon entry into force of the Agreement, to five-sevenths of the
basic duty,
- at the start of the third year, to four-sevenths of the basic
duty,
- at the start of the fourth year, to three-sevenths of the basic
duty,
- at the start of the fifth year, to two-sevenths of the basic duty,
- at the start of the sixth year, to one-seventh of the basic duty,
- at the start of the seventh year the remaining duties shall be
eliminated.
2. Customs duties on imports applicable in Bulgaria to textile
products fallin within Section XI (Chapters 50 to 63) of the
Bulgarian Customs Tariff and originating in the Community in
accordance with Protocol 4 of the Agreement shall be progressively
eliminated as provided for in Article 11 of the Agreement.
3. The customs duties applicable to compensating poducts imported
into the Community which originate in Bulgaria within the meaning of
Protocol 4 of the Agreement, and which result from operations in
Bulgaria in accordance with Council Regulation (EEC) No 636/82,
shall be eliminated on the date of the entry into force of the
Agreement.
4. The provisions of Articles 12 and 13 of the Agreement shall apply
to trade in textile products between the Parties.
Article 3
1. From the date of the entry into force of the Agreement until the
entry into force of the Protocol referred to in paragraph 2 below,
the quantitative arrangements and other related issues regarding
exports of textile products originating in Bulgaria to the Community
shall continue to be governed by the Bilateral Agreement on trade in
textile products between the Community and Bulgaria, initialled on
11 July 1986 and applied provisionally since 1 January 1987, as
amended by the exchange of letters initialled in Brussels on 21
November 1991 and by the exchange of letters initialled in Brussels
on 18 December 1992. The Parties agree to amend as necessary the
aforementioned Bilateral Agreement on trade in textile products to
take account of the Community's policy on textiles after 1 January
1993.
The Parties agree that, as regards exports to the Community of
textiles products originating in Bulgaria, Article 26 (2) and
Article 31 of the Agreement shall not apply during the period of
application of the aforementioned Bilateral Agreement on trade in
textile products.
2. Bulgaria and the Community hereby undertake to negotiate a new
Protocol on quantitative arrangements and other related issues on
their trade in textile products as soon as possible, taking into
account the future regime governing international trade in textile
products under discussion in the multilateral negotiations in
Geneva. The modalities and period during which non-tariff barriers
shall be eliminated will be determined in the new Protocol. The
period shall be equal to half the integration period to be decided
in the Uruguay Round negotiations starting from 1 January 1994 and
it shall not be shorter than five years starting from 1 January 1993
or from the entry into force of the Agreement, if later. The new
Protocol shall follow on the expiration of the agreement on textile
products referred to in paragraph 1 above.
3. Taking into account the development of textile trade between the
Parties, the degree of access of textile exports originating in the
Community to Bulgaria and the results of the multilateral trade
negotiations of the Uruguay Round, provision will be made in the new
Protocol for a substantial improvement of the regime applied to
imports into the Community regarding import levels, growth rates,
flexibility for quantitative limitations and elimination of certain
quantitative limitations after a case-by-case examination.
Notwithstanding Article 26 (2) and Article 31 of the Agreement,
provision for a specific textiles safeguard mechanism shall also be
made in the new Protocol. Such a mechanism shall not be globally
more restrictive than the safeguard mechanism provided for in the
textile Agreement referred to in paragraph 1 above.
4. Quantitative restrictions and measures of equivalent effect on
imports of Community textile products into Bulgaria shall be
abolished over the same period as is envisaged for the elimination
of quantitative restrictions and measures of equivalent effect on
imports of Bulgarian textile products into the Community.
Article 4
From the entry into force of the Agreement, no new quantitative
restrictions or measures having equivalent effect shall be imposed
except as provided for under the Agreement and its Protocols. In no
case shall non-tariff barriers be applied in trade in textile
products between the Community and Bulgaria after the transitional
period provided for in Article 7 of the Agreement.
PROTOCOL 2 on ECSC products
Article 1
This Protocol applies to products listed in Annex I to this
Protocol.
CHAPTER I ECSC steel products
Article 2
Customs duties on imports applicable in the Community on ECSC steel
products originating in Bulgaria shall be progressively abolished in
accordance with the following timetable:
1. each duty shall be reduced to 80 % of the basic duty on the date
of entry into force of the Agreement;
2. further reductions to 60, 40, 20 and 0 % of the basic duty shall
be made at the beginning of the second, third, fourth and fifth
years respectively after the entry into force of the Agreement.
Article 3
1. Customs duties on imports applicable in Bulgaria to ECSC steel
products originating in the Community which are listed in Annex II
to this Protocol shall be abolished on the date of entry into force
of the Agreement.
2. Customs duties on imports applicable in Bulgaria to ECSC steel
products originating in the Community which are listed in Annex III
to this Protocol shall be progressively reduced in accordance with
the following timetable:
- one year after the entry into force of the Agreement, each duty
shall be reduced to 80 % of the basic duty,
- three years after the entry into force of the Agreement, each duty
shall be reduced to 40 % of the basic duty,
- five years after the entry into force of the Agreement the
remaining duties shall be eliminated.
3. Customs duties on imports applicable in Bulgaria to ECSC steel
products originating in the Community which are listed in Annex IV
to this Protocol shall be progressively reduced in accordance with
the following timetable:
- three years after the entry into force of the Agreement, each duty
shall be reduced to 80 % of the basic duty,
- five years after the entry into force of the Agreement, each duty
shall be reduced to 60 % of the basic duty,
- six years after the entry into force of the Agreement, each duty
shall be reduced to 45 % of the basic duty,
- seven years after the entry into force of the Agreement, each duty
shall be reduced to 30 % of the basic duty,
- eight years after the entry into force of the Agreement, each duty
shall be reduced to 15 % of the basic duty,
- nine years after the entry into force of the Agreement the
remaining duties shall be eliminated.
Article 4
1. Quantitative restrictions and measures having equivalent effect
on imports into the Community of ECSC steel products originating in
Bulgaria shall be abolished on the date of the entry into force of
the Agreement.
2. Quantitative restrictions and measures of equivalent effect on
imports into Bulgaria of ECSC steel products originating in the
Community shall be abolished on the date of the entry into force of
the Agreement.
Article 5
If, during a period equal to the derogation for subsidies pursuant
to Article 9 (4) and given the particular sensitivity of the steel
markets, imports of specific steel products originating in one Party
cause or threaten to cause serious injury to domestic producers of
like products or serious disturbances to the steel markets of the
other Party, both Parties shall enter into consultations immediately
to find an appropriate solution. Pending such a solution and
notwithstanding other provisions of the Agreement and in particular
Articles 31 and 34, when exceptional circumstances require immediate
action, the importing Party may adopt forthwith quantitative or
other solutions strictly necessary to deal with the situation, in
accordance with its international and multilateral obligations.
CHAPTER II ECSC coal products
Article 6
Customs duties on imports applicable in the Community on ECSC coal
products originating in Bulgaria shall be progressively abolished in
accordance with the following timetable:
2. on 31 December 1995 the remaining duties shall be eliminated.
Article 7
Customs duties on imports applicable in Bulgaria to ECSC coal
products originating in the Community shall be progressively
abolished as provided for in Article 11 of the Agreement:
- for products listed in Annex II to this Protocol customs duties
shall be abolished on the date of entry into force of the Agreement,
- for products listed in Annex IV to this Protocol customs duties
shall be progressively reduced in accordance with Article 11 (3) of
the Agreement.
Article 8
1. Quantitative restrictions and measures having equivalent effect
applicable in the Community to ECSC coal products originating in
Bulgaria shall be abolished at the latest one year after the entry
into force of the Agreement, with the exception of those concerning
the products and the regions described in Annex V, which shall be
abolished at the latest four years after the entry into force of the
Agreement.
2. Quantitative restrictions and measures having equivalent effect
on imports applicable in Bulgaria to ECSC coal products originating
in the Community shall be abolished upon entry into force of the
Agreement.
CHAPTER III Common provisions
Article 9
1. The following are incompatible with the proper functioning of the
Agreement, in so far as they may affect trade between the Community
and Bulgaria:
(i) all agreements of cooperative or concentrative nature between
undertakings, decisions by associations of undertakings and
concerted practices between undertakings which have as their object
or effect the prevention, restriction or distortion of competition;
(ii) abuse by one or more undertakings of a dominant position in the
territories of the Community or of Bulgaria as a whole or in a
substantial part thereof;
(iii) public aid in any form whatsoever except derogations allowed
pursuant to the ECSC Treaty.
2. Any practices contrary to this Article should be assessed on the
basis of criteria arising from the application of the rules of
Articles 65 and 66 of the Treaty establishing the ECSC, of Articles
85 and 86 of the Treaty establishing the EEC and the rules on State
aids, including the secondary legislation.
3. The Association Council shall, within three years of the entry
into force of the Agreement, adopt the necessary rules for the
implementation of paragraphs 1 and 2.
4. The Contracting Parties recognize that during the first five
years after the entry into force of the Agreement, and by derogation
from paragraph 1 (iii) of this Article, Bulgaria may exceptionally,
as regards ECSC steel products, grant public aid for restructuring
purposes, provided that:
- it leads to the viability of the benefiting firms under normal
market conditions at the end of the restructuring period,
- the amount and intensity of such aid are strictly limited to what
is absolutely necessary in order to restore such viability and are
progressively reduced,
- the restructuring programme is linked to a global rationalizing
and reduction of overall production capacity in Bulgaria.
5. Each Party shall ensure transparency in the area of public aid by
a full and continuous exchange of information to the other Party,
including amount, intensity and purpose of the aid and detailed
restructuring plan.
6. If the Community or Bulgaria considers that a particular practice
is incompatible with the terms of paragraph 1 as amended by
paragraph 4 of this Article, and
- is not adequately dealt with under the implementing rules referred
to in paragraph 3, or
- in the absence of such rules and if such practice causes or
threatens to cause prejudice to the interests of the other Party or
material injury to its domestic industry,
the affected Party may take appropriate measures if no solution is
found within 30 days of the day the official request was introduced.
In the case of practices incompatible with paragraph 1 (iii) of this
Article, such appropriate measures may only cover measures adopted
in conformity with the procedures and under the conditions laid down
by the General Agreement on Tariffs and Trade and any other relevant
instrument negotiated under its auspices which are applicable
between the Parties.
Article 10
The provisions of Articles 12, 13 and 14 of the Agreement shall
apply to trade between the partners in ECSC products.
Article 11
The Parties agree that one of the special bodies established by the
Association Council shall be a Contact Group which will discuss the
implementation of this Protocol.
ANNEX I
List of ECSC coal and steel products
2601 11 00
2601 12 00
2602 00 00
2619 00 10
2701 11 00
2701 11 90
2701 12 10
2701 12 90
2701 19 00
2701 20 00
2702 10 00
2702 20 00
2704 00 19
2704 00 30
7201 10 11
7201 10 19
7201 10 30
7201 10 90
7201 20 00
7201 30 10
7201 30 90
7201 40 00
7202 11 20
7202 11 80
7202 99 11
7203 10 00
7203 90 00
7204 10 00
7204 21 00
7204 29 00
7204 30 00
7204 41 10
7204 41 91
7204 41 99
7204 49 10
7204 49 30
7204 49 91
7204 49 99
7204 50 10
7204 50 90
7206 10 00
7206 90 00
7207 11 11
7207 11 19
7207 12 11
7207 12 19
7207 19 11
7207 19 15
7207 19 31
7207 20 11
7207 20 15
7207 20 17
7207 20 31
7207 20 33
7207 20 51
7207 20 55
7207 20 57
7207 20 71
7208 11 00
7208 12 10
7208 12 91
7208 12 95
7208 12 98
7208 13 10
7208 13 91
7208 13 95
7208 13 98
7208 14 10
7208 14 91
7208 14 99
7208 21 10
7208 21 90
7208 22 10
7208 22 91
7208 22 95
7208 22 98
7208 23 10
7208 23 91
7208 23 95
7208 23 98
7208 24 10
7208 24 91
7208 24 99
7208 31 00
7208 32 10
7208 32 30
7208 32 51
7208 32 59
7208 32 91
7208 32 99
7208 33 10
7208 33 91
7208 33 99
7208 34 10
7208 34 90
7208 35 10
7208 35 90
7208 41 00
7208 42 10
7208 42 30
7208 42 51
7208 42 59
7208 42 91
7208 42 99
7208 43 10
7208 43 91
7208 43 99
7208 44 10
7208 44 90
7208 45 10
7208 45 90
7208 90 10
7209 11 00
7209 12 10
7209 12 90
7209 13 10
7209 13 90
7209 14 10
7209 14 90
7209 21 00
7209 22 10
7209 22 90
7209 23 10
7209 23 90
7209 24 10
7209 24 91
7209 24 99
7209 31 00
7209 32 10
7209 32 90
7209 33 10
7209 33 90
7209 34 10
7209 34 90
7209 41 00
7209 42 10
7209 42 90
7209 43 10
7209 43 90
7209 44 10
7209 44 90
7209 90 10
7210 11 10
7210 12 11
7210 12 19
7210 20 10
7210 31 10
7210 39 10
7210 41 10
7210 49 10
7210 50 10
7210 60 11
7210 60 19
7210 70 31
7210 70 39
7210 90 31
7210 90 33
7210 90 35
7210 90 39
7210 90 90
7211 11 00
7211 12 10
7211 12 90
7211 19 10
7211 19 91
7211 19 99
7211 21 00
7211 22 10
7211 22 90
7211 29 10
7211 29 91
7211 29 99
7211 30 10
7211 41 10
7211 41 91
7211 49 10
7211 90 11
7212 10 10
7212 10 91
7212 21 00
7212 29 11
7212 30 11
7212 40 10
7212 40 91
7212 50 31
7212 50 51
7212 60 11
7212 60 91
7213 10 00
7213 20 00
7213 31 00
7213 39 00
7213 41 00
7213 49 00
7213 50 10
7213 50 90
7214 20 00
7214 30 00
7214 40 10
7214 40 91
7214 40 99
7214 50 10
7214 50 91
7214 50 99
7214 60 00
7215 90 10
7216 10 00
7216 21 00
7216 22 00
7216 31 11
7216 31 19
7216 31 91
7216 31 99
7216 32 11
7216 32 19
7216 32 91
7216 32 99
7216 33 10
7216 33 90
7216 40 10
7216 40 90
7216 50 10
7216 50 90
7216 90 10
7218 10 00
7218 90 11
7218 90 13
7218 90 15
7218 90 19
7218 90 50
7219 11 10
7219 11 90
7219 12 10
7219 12 90
7219 13 10
7219 13 90
7219 14 10
7219 14 90
7219 21 11
7219 21 19
7219 21 90
7219 22 10
7219 22 90
7219 23 10
7219 23 90
7219 24 10
7219 24 90
7219 31 10
7219 31 90
7219 32 10
7219 32 90
7219 33 10
7219 33 90
7219 34 10
7219 34 90
7219 35 10
7219 35 90
7219 90 11
7219 90 19
7220 11 00
7220 12 00
7220 20 10
7220 90 11
7220 90 31
7221 00 10
7221 00 90
7222 10 11
7222 10 19
7222 10 51
7222 10 59
7222 10 99
7222 30 10
7222 40 11
7222 40 19
7222 40 30
7224 10 00
7224 90 01
7224 90 09
7224 90 15
7224 90 30
7225 10 10
7225 10 91
7225 10 99
7225 20 10
7225 20 30
7225 30 00
7225 40 10
7225 40 30
7225 40 50
7225 40 70
7225 40 90
7225 50 10
7225 50 90
7225 90 10
7226 10 10
7226 10 30
7226 20 10
7226 20 31
7226 20 51
7226 20 71
7226 91 10
7226 91 90
7226 92 10
7226 99 11
7226 99 31
7227 10 00
7227 20 00
7227 90 10
7227 90 30
7227 90 80
7228 10 10
7228 10 30
7228 20 11
7228 20 19
7228 20 30
7228 30 10
7228 30 30
7228 30 80
7228 60 10
7228 70 10
7228 70 31
7228 80 10
7228 80 90
7301 10 00
7302 10 31
7302 10 39
7302 10 90
7302 20 00
7302 40 10
7302 90 10
ANNEX II
List of ECSC coal and steel products referred to in Article 3 (1)
and Article 7 of Protocol 2
>
TABLE POSITION>
ANNEX III
List of ECSC coal and steel products, referred to in Article 3 (2)
of Protocol 2
>TABLE POSITION>
ANNEX IV
List of ECSC coal and steel products, referred to in Articles 3 (3)
and 7 of Protocol 2
>TABLE POSITION>
ANNEX V
Products and regions referred to as exceptions in Article 8 of
Protocol 2
Products
2601 11 00
2601 12 00
2602 00 00
2619 00 10
2701 11 00
2701 11 90
2701 12 10
2701 12 90
2701 19 00
2701 20 00
2702 10 00
2702 20 00
2704 00 19
2704 00 30
Regions
All regions of:
- the Federal Republic of Germany,
- the Kingdom of Spain.
PROTOCOL 3 on trade between Bulgaria and the Community in processed
agricultural products not covered by Annex II to the EEC Treaty
Article 1
1. The Community shall grant the tariff concessions referred to in
Annex I for processed agricultural products originating in Bulgaria.
In the case of the goods referred to in Annex II, however,
reductions of the variable components shall be granted within the
quantity limits established by the Community.
2. During 1996, Bulgaria shall grant tariff concessions determined
in accordance with this Protocol for the processed agricultural
products referred to in Annex III.
3. The Association Council may:
- add to the list of processed agricultural products referred to in
this Protocol,
- increase the quantities of processed agricultural products
eligible for the tariff concessions established by this Protocol.
4. The Association Council may replace the concessions referred to
in paragraph 1 with a system of compensatory amounts with no
quantity limits, established on the basis of the differences found
between the prices on the Community and Bulgarian markets of the
agricultural products actually used to produce the processed
agricultural products covered by this Protocol. The Association
Council shall draw up a list of the products to which the
compensatory amounts are applicable and a list of basic products. It
shall adopt general implementing rules to that end.
Article 2
For the purposes of the Articles which follow, the definitions given
below shall apply:
- 'goods': the processed agricultural products referred to in this
Protocol,
- 'agricultural component of the levy or duty': the part of the levy
or duty corresponding to the quantity of agricultural products
incorporated into the processed product and deducted from the levy
or duty applicable when such agricultural products are imported
unprocessed,
- 'non-agricultural component of the levy or duty': the part of the
levy or duty remaining when the agricultural component is deducted
from the total levy or duty,
- 'basic products': the agricultural products considered as having
been used in the production of goods within the meaning of
Regulation (EEC) No 3033/80,
- 'base quantity': the quantity of a basic product calculated in the
manner stipulated in Article 6 of Regulation (EEC) No 3033/80 and
which is used to determine the variable component applicable to
goods of a given type, in accordance with the terms of the same
Regulation.
Article 3
1. From the date this Agreement enters into force, the Community
shall phase out the non-agricultural component of the duty in
accordance with the timetable set out in Annex I. Where appropriate,
there shall be no quantity limit.
2. The Community applies to imports from Bulgaria an agricultural
component calculated on the basis below:
(a) for the goods for which Annex I stipulates a variable component
(MOB), the latter shall be identical to that applying in the case of
third countries;
(b) for the goods for which Annex I stipulates a reduced variable
component (MOBR), the level of the latter shall be calculated by
reducing the base quantities of the basic products for which a levy
reduction is granted by 20 % in 1993, 40 % in 1994 and 60 % from
1995. In the case of other basic products, the corresponding
reductions, for the same years, shall be 10, 20 and 30 %.
This reduction of the variable component shall be granted within the
limits of the tariff quotas established in Annex II. For the
quantities in excess of those quotas, the variable component
applying to all third countries shall be restored.
3. In accordance with the procedure described in Article 1 (3), the
variable components of goods, which are or will be included in Annex
I, shall be replaced by reduced variable components if they are
applied and in conformity with paragraph 2, if those goods are added
to Annex III.
Article 4
1. Bulgaria shall reduce progressively its import duties on the
goods listed in Annex III in accordance with a timetable established
by the Association Council. Those reductions shall be initiated in
1996 and be completed by 1 January 2000.
2. From the time at which the Agreement enters into force until 31
December 1996, Bulgaria shall apply to the goods referred to in
Annex III the rates of duty in force on 28 February 1993. However,
if reform of the Bulgarian agricultural policy causes the
agricultural component of the duty to increase, Bulgaria shall
inform the Association Council accordingly, which may agree to an
increase in the rate of duty concerned which corresponds to the size
of the agricultural component.
3. The duties applicable from 1 January 2000 may not exceed the
equivalence of the duties applicable to the agricultural products
incorporated in those goods in respect of the quantities of those
agricultural products needed for the processing of the goods.
Article 5
The reduction of the variable components referred to in Article 3
shall apply only from 1 May 1993.
ANNEX I
Import duties applicable in the Community to goods originating in
Bulgaria
>
TABLE POSITION>
ANNEX II
Quotas applicable to goods originating in Bulgaria on import into
the Community
>TABLE POSITION>
ANNEX III
1302 12 00
1505 90 00
1518 00 39
1518 00 90
1519 11 00
1519 12 00
1519 19 10
1520 90 00
1704 10 11
1704 10 19
1704 10 91
1704 10 99
1805 00 00
1806 20 10
1806 31 00
1806 32 10
1806 32 90
1806 90 11
1806 90 19
1806 90 31
1806 90 39
1806 90 50
1806 90 60
1806 90 70
1806 90 90
1901 10 00
1901 90 90
1902 19 11
1902 19 90
1904 10 10
1904 10 30
1904 10 90
1905 30 11
1905 30 19
1905 30 30
1905 30 51
1905 30 59
1905 30 91
1905 30 99
1905 90 10
1905 90 20
1905 90 30
1905 90 40
1905 90 45
1905 90 55
1905 90 60
1905 90 90
2101 10 11
2101 10 99
2102 10 31
2102 10 39
2102 20 11
2102 20 19
2102 30 00
2103 20 00
2103 90 90
2105 00 10
2105 00 91
2105 00 99
2106 10 10
2106 10 90
2106 90 91
2106 90 99
2201 90 00
2202 90 10
2202 90 91
2202 90 95
2202 90 99
2203 00 10
2203 00 90
2205 10 10
2205 10 90
PROTOCOL 4 concerning the definition of the concept of originating
products and methods of administrative cooperation
TITLE I DEFINITION OF THE CONCEPT OF ORIGINATING PRODUCTS
Article 1
Origin Criteria
For the purpose of implementing the Agreement, and without prejudice
to the provisions of Article 2 of this Protocol, the following
products shall be considered as:
1. products originating in the Community:
(a) products wholly obtained in the Community, within the meaning of
Article 3;
(b) products obtained in the Community in the manufacture of which
products other than those referred to in (a) are used, provided that
the said products have undergone sufficient working or processing
within the meaning of Article 4;
2. products originating in Bulgaria:
(a) products wholly obtained in Bulgaria, within the meaning of
Article 3;
(b) products obtained in Bulgaria in the manufacture of which
products other than those referred to in (a) are used, provided that
the said products have undergone sufficient working or processing
within the meaning of Article 4.
Article 2
Bilateral cumulation
1. Notwithstanding Article 1 (1) (b), materials originating in
Bulgaria within the meaning of this Protocol shall be considered as
materials originating in the Community and it shall not be necessary
that such materials have undergone sufficient working or processing
there, provided, however, that they have undergone working or
processing going beyond that described in Article 4 (3) of this
Protocol.
2. Notwithstanding Article 1 (2) (b), materials originating in the
Community within the meaning of this Protocol shall be considered as
originating in Bulgaria and it shall not be necessary that such
materials have undergone sufficient working or processing there,
provided, however, that they have undergone working or processing
going beyond that described in Article 4 (3) of this Protocol.
Article 3
Wholly obtained products
1. Within the meaning of Article 1 (1) (a) and (2) (a), the
following shall be considered as wholly obtained either in the
Community or in Bulgaria:
(a) mineral products extracted from their soil or from their seabed;
(b) vegetable products harvested there;
(c) live animals born and raised there;
(d) products from live animals raised there;
(e) products obtained by hunting or fishing conducted there;
(f) products of sea fishing and other products taken from the sea by
their vessels;
(g) products made aboard their factory ships exclusively from
products referred to in subparagraph (f);
(h) used articles collected there fit only for the recovery of raw
materials;
(i) waste and scrap resulting from manufacturing operations
conducted there;
(j) goods produced there exclusively from the products specified in
subparagraphs (a) to (i).
2. The term 'their vessels' in paragraph 1 (f) shall apply only to
vessels:
- which are registered or recorded in Bulgaria or in a Member State
of the Community,
- which sail under the flag of Bulgaria or of a Member State of the
Community,
- which are owned to an extent of at least 50 % by nationals of
Bulgaria or of Member States of the Community, or by a company with
its head office in one of these States or in Bulgaria, of which the
manager or managers, chairman of the board of directors or the
supervisory board, and the majority of the members of such boards
are nationals of Bulgaria or of Member States of the Community and
of which, in addition, in the case of partnerships or limited
companies, at least half the capital belongs to these States, to
Bulgaria, to their public bodies or to their nationals,
- of which the master and officers are nationals of Bulgaria or of
Member States of the Community,
- of which at least 75 % of the crew are nationals of Bulgaria or of
Member States of the Community.
3. The terms 'Bulgaria' and 'the Community' shall also cover the
territorial waters which surround Bulgaria and the Member States of
the Community.
Sea-going vessels, including factory ships on which the fish caught
is worked or processed, shall be considered as part of the territory
of the Community or of Bulgaria provided that they satisfy the
conditions set out in paragraph 2.
Article 4
Sufficiently processed products
1. For the purposes of Article 1, non-originating materials are
considered to be sufficiently worked or processed when the product
obtained is classified in a heading which is different from that in
which all the non-originating materials used in its manufacture are
classified, subject to paragraphs 2 and 3.
The expressions 'chapters' and 'headings' used in this Protocol
shall mean the chapters and the headings (four-digit codes) used in
the nomenclature which makes up the Harmonized Commodity Description
and Coding System (hereinafter referred to as the 'Harmonized
System' or HS). The expression 'classified' shall refer to the
classification of a product or material under a particular heading.
2. For a product mentioned in columns 1 and 2 of the list in Annex
II, the conditions set out in column 3 for the product concerned
must be fulfilled instead of the rule in paragraph 1.
(a) Where in the list in Annex II a percentage rule is applied in
determining the originating status of a product obtained in the
Community or in Bulgaria, the value added by the working or
processing shall correspond to the ex works price of the product
obtained, less the value of third-country materials imported into
the Community or Bulgaria.
(b) The term 'value' in the list in Annex II shall mean the customs
value at the time of the import of the non-originating materials
used or, if this is not known and cannot be ascertained, the first
ascertainable price paid for these materials in the territory
concerned.
Where the value of the originating materials used needs to be
established, the provisions of the above subparagraph shall be
applied mutatis mutandis.
(c) The term 'ex works price' in the list in Annex II shall mean the
price paid for the product obtained to the manufacturer in whose
undertaking the last working or processing is carried out, provided
the price includes the value of all the materials used in
manufacture, minus any internal taxes which are, or may be, repaid
when the product obtained is exported.
(d) 'Customs value' shall be understood as the value determined in
accordance with the Agreement on Implementation of Article VII of
the General Agreement on Tariffs and Trade, established in Geneva on
12 April 1979.
3. For the purpose of implementing paragraphs 1 and 2, the following
shall be considered as insufficient working or processing to confer
the status of originating products, whether or not there is a change
of heading:
(a) operations to ensure the preservation of products in good
condition during transport and storage (ventilation, spreading out,
drying, chilling, placing in salt, sulphur dioxide or other aqueous
solutions, removal of damaged parts, and like operations);
(b) simple operations consisting of removal of dust, sifting or
screening, sorting, classifying, matching (including the making-up
of sets of articles), washing, painting, cutting up;
(c) (i) changes of packaging and breaking up and assembly of
consignments;
(ii) simple placing in bottles, flasks, bags, cases, boxes, fixing
on cards or boards etc., and all other simple packaging operations;
(d) affixing marks, labels and other like distinguishing signs on
products or their packaging;
(e) simple mixing of products, whether or not of different kinds,
where one or more components of the mixture do not meet the
conditions laid down in this Protocol to enable them to be
considered as originating either in the Community or in Bulgaria;
(f) simple assembly of parts of articles to constitute a complete
article;
(g) a combination of two or more operations specified in
subparagraphs (a) to (f);
(h) slaughter of animals.
Article 5
Neutral elements
In order to determine whether a product originates in the Community
or in Bulgaria, it shall not be necessary to establish the origin of
electrical power, fuel, plant and equipment and machines and tools
used to obtain such product nor of materials which do not enter into
their final composition.
Article 6
Accessories, spare parts and tools
Accessories, spare parts and tools dispatched with a piece of
equipment, machine, apparatus or vehicle which are part of the
normal equipment and included in the price thereof or are not
separately invoiced are regarded as one with the piece of equipment,
machine, apparatus or vehicle in question.
Article 7
Sets
Sets, as defined in General Rule 3 of the Harmonized System, shall
be regarded as originating when all component articles are
originating products. Nevertheless, when a set is composed of
originating and non-originating articles, the set as a whole shall
be regarded as originating provided that the value of the
non-originating articles does not exceed 15 % of ex works price of
the set.
Article 8
Direct transport
1. The preferential treatment provided for under this Agreement
applies only to products or materials which are transported between
the territories of the Community and of Bulgaria without entering
any other territory. However, goods originating in Bulgaria or in
the Community and constituting one single consignment which is not
split up may be transported through territory other than that of the
Community or Bulgaria, with, should the occasion arise, transhipment
or temporary warehousing in such territory, provided that the goods
have remained under the surveillance of the customs authorities in
the country of transit or of warehousing and that they have not
undergone operations other than unloading, reloading or any
operation designed to preserve them in good condition.
2. Evidence that the conditions referred to in paragraph 1 have been
fulfilled shall be supplied to the responsible customs authorities
by the production of:
(a) a single transport document issued in the exporting country
covering the passage through the country of transit;
(b) or a certificate issued by the customs authorities of the
country of transit:
- giving an exact description of the goods,
- stating the dates of unloading and reloading of the goods or of
the embarkation or disembarkation, identifying the ships or other
means of transport used, and
- certifying the conditions under which the goods remained in the
transit country;
(c) or failing these, any substantiating documents.
Article 9
Territorial requirement
The conditions set out in this Title relative to the acquisition of
originating status must be fulfilled without interruption in the
Community or in Bulgaria except as provided for in Article 2.
If originating products exported from the Community or Bulgaria to
another country are returned, except in so far as provided for in
Article 2, they must be considered as non-originating unless it can
be demonstrated to the satisfaction of the customs authorities that:
- the goods returned are the same goods as those exported, and
- they have not undergone any operation beyond that necessary to
preserve them in good condition while in that country.
TITLE II PROOF OF ORIGIN
Article 10
Movement certificate EUR.1
Evidence of originating status of products, within the meaning of
this Protocol, shall be given by a movement certificate EUR.1, a
specimen of which appears in Annex III to this Protocol.
Article 11
Normal procedure for the issue of certificates
1. A movement certificate EUR.1 shall be issued only on application
having been made in writing by the exporter or, under the exporter's
responsibility, by his authorized representative. Such application
shall be made on a form, a specimen of which appears in Annex III to
this Protocol, which shall be completed in accordance with this
Protocol.
Applications for movement certificates EUR.1 must be preserved for
at least two years by the customs authorities of the exporting
State.
2. The exporter or his representative shall submit with his request
any appropriate supporting document proving that the products to be
exported are such as to qualify for the issue of a movement
certificate EUR.1.
He shall undertake to submit, at the request of the appropriate
authorities, any supplementary evidence they may require for the
purpose of establishing the correctness of the originating status of
the products eligible for preferential treatment and shall undertake
to agree to any inspection of his accounts and to any check on the
processes of the obtaining of the above products carried out by the
said authorities.
Exporters must keep for at least two years the supporting documents
referred to in this paragraph.
3. A movement certificate EUR.1 may be issued only where it can
serve as the documentary evidence required for the purpose of
implementing the agreement.
4. The movement certificate EUR.1 shall be issued by the customs
authorities of a Member State of the European Economic Community if
the goods to be exported can be considered as products originating
in the Community within the meaning of Article 1 (1) of this
Protocol. The movement certificate EUR.1 shall be issued by the
customs authorities of Bulgaria if the goods to be exported can be
considered as products originating in Bulgaria within the meaning of
Article 1 (2) of this Protocol.
5. Where the cumulation provisions of Article 2 are applied, the
customs authorities of the Member States of the Community or of
Bulgaria may issue movement certificates EUR.1 under the conditions
laid down in this Protocol if the goods to be exported can be
considered as products originating in the Community or Bulgaria
within the meaning of this Protocol and provided that the goods
covered by the movement certificates EUR.1 are in the Community or
in Bulgaria.
In these cases, the movement certificates EUR.1 shall be issued
subject to the presentation of the proof of origin previously issued
or made out. This proof of origin must be kept for at least two
years by the customs authorities of the exporting State.
6. Since the movement certificate EUR.1 constitutes the documentary
evidence for the application of the preferential tariff arrangements
laid down in the Agreement, it shall be the responsibility of the
customs authorities of the exporting country to take any steps
necessary to verify the origin of the goods and to check the other
statements on the certificate.
7. For the purpose of verifying whether the conditions for issuing
EUR.1 certificates have been met, the customs authorities shall have
the right to call for any documentary evidence or to carry out any
check which they consider appropriate.
8. It shall be the responsibility of the customs authorities of the
exporting State to ensure that the forms referred to in paragraph 1
are duly completed. In particular, they shall check whether the
space reserved for the description of the products has been
completed in such a manner as to exclude all possibility of
fraudulent additions. To this end, the description of the products
must be indicated without leaving any blank lines. Where the space
is not completely filled a horizontal line must be drawn below the
last line of the description, the empty space being crossed through.
9. The date of issue of the movement certificate must be indicated
in the part of the certificate reserved for the customs authorities.
10. A movement certificate EUR.1 shall be issued by the customs
authorities of the exporting State when the products to which it
relates are exported. It shall be made available to the exporter as
soon as actual export has been effected or ensured.
Article 12
Long-term certificates EUR.1
1. Notwithstanding the provisions of Article 11 (10), a movement
certificate EUR.1 may be issued by the customs authorities of the
exporting State when only part of the products to which it relates
are exported, in the case of a certificate covering a series of
exportations of the same products from the same exporter to the same
importer, over a maximum period of one year from the date of issue,
hereinafter referred to as an 'LT certificate'.
2. LT certificates shall be issued, in accordance with the
provisions of Article 11, at the discretion of the customs
authorities of the exporting State and according to their own
judgment of the need for this procedure, only where the originating
status of the goods to be exported is expected to remain unchanged
for the period of validity of the LT certificate. If any goods are
no longer covered by the LT certificate, the exporter shall
immediately inform the customs authorities who issued the
certificate.
3. Where the LT certificate procedure applies, the customs
authorities of the exporting State may prescribe the use of EUR.1
certificates bearing a distinctive sign by which they may be
identified.
4. Box 11 'Customs endorsement' of the EUR.1 certificate must be
endorsed as usual by the customs authorities of the exporting State.
5. One of the following phrases shall be entered in box 7 of the
EUR.1 certificate:
'CERTIFICADO LT VĮLIDO HASTA EL . . .'
'LT-CERTIFICAT GYLDIGT INDTIL . . .'
'LT-CERTIFICATE GĄLTIG BIS . . .'
'ŠÉÓŌĻŠĻÉĒŌÉŹĻ LT ÉÓ×ÕĻĶ ĢÅ×ŃÉ . . .'
'LT -CERTIFICATE VALID UNTIL . . .'
'CERTIFICAT LT VALABLE JUSQU'AU . . .'
'CERTIFICATO LT VALIDO FINO AL . . .'
'LT-CERTIFICAAT GELDIG TOT EN MET . . .'
'LT-CERTIFICADO VALIDO ATÉ . . .'
'LT-CERTIFICAT VALIDEN DO . . .'
(date indicated in Arabic numerals).
6. Reference is not required in box 8 and box 9 of the LT
certificate to the marks and numbers and number and kind of packages
and the gross weight (kg) or other measures (litres, m3, etc.). Box
8 msut, however, contain a description and designation of the goods
which is sufficiently precise to allow for their identification.
7. Notwithstanding Article 17, the LT certificate must be submitted
to the customs office of import at or before the first importation
of any goods to which it relates. When the importer carries out the
customs clearance at several customs offices in the State of
importation, the customs authorities may require him to produce a
copy of the LT certificate to all of those offices.
8. Where an LT certificate has been submitted to the customs
authorities, the evidence of the originating status of the imported
goods shall, during the validity of the LT certificate, be given by
invoices which satisfy the following conditions:
(a) when an invoice includes both goods originating in the Community
or Bulgaria and non-originating goods, the exporter shall
distinguish clearly between these two categories;
(b) the exporter shall state on each invoice the number of the LT
certificate which covers the goods and the date of expiry of the
certificate and the names of the country or countries in which the
goods originate.
The statement on the invoice made by the exporter of the number of
the LT certificate with the indication of the country of origin
shall constitute a declaration that the goods fulfil the conditions
laid down in this Protocol for the acquisition of preferential
origin status in trade between the Community and Bulgaria.
The customs authorities of the exporting State may require that the
entries which, under the above provisions, must appear on the
invoice, be supported by the manuscript signature followed by the
name of the signatory in clear script;
(c) the description and the designation of the goods on the invoice
shall be in sufficient detail to show clearly that the goods are
also listed on the LT certificate to which the invoice refers;
(d) the invoices can be made out only for the goods exported during
the period of validity of the relevant LT certificate. They may
however be produced at the customs office of importation within four
months of their being made out by the exporter.
9. In the framework of the LT certificate procedure, invoices which
satisfy the conditions of this Article may be made out and/or
transmitted using telecommunications or electronic data-processing
methods. Such invoices shall be accepted by the customs of the
importing State as evidence of the originating status of the goods
imported in accordance with the procedures laid down by the customs
authorities there.
10. Should the customs authorities of the exporting State identify
that a certificate and/or invoice issued under the provisions of
this Article is invalid in relation to any goods supplied, they
shall immediately notify the customs authorities of the importing
State of the facts.
11. The provisions of this Article shall not prejudice application
of the rules of the Community, the Member States and Bulgaria on
customs formalities and the use of customs documents.
Article 13
Issue of EUR.1 retrospectively
1. In exceptional circumstances a movement certificate EUR.1 may
also be issued after export of the products to which it relates if
it was not issued at the time of export because of errors or
involuntary omissions or special circumstances.
2. For the implementation of paragraph 1, the exporter must in the
written application:
- indicate the place and date of export of the products to which the
certificate relates,
- certify that no movement certificate EUR.1 was issued at the time
of export of the products in question, and state the reasons.
3. The customs authorities may issue a movement certificate EUR.1
retrospectively only after verifying that the information supplied
in the exporter's application agrees with that in the corresponding
file.
Certificates issued retrospectively must be endorsed with one of the
following phrases:
'NACHTRÄGLICH AUSGESTELLT', 'DÉLIVRÉ A POSTERIORI', 'RILASCIATO A
POSTERIORI', 'AFGEGEVEN A POSTERIORI', 'ISSUED RETROSPECTIVELY',
'UDSTEDT EFTERFŲLGENDE', 'ÅŹÄĻČÅĶ ÅŹ ŌŁĶ ÕÓŌÅŃŁĶ', 'EXPEDIDO A
POSTERIORI', 'EMITIDO A POSTERIORI', 'ISADEN A POSTERIORI'.
4. The endorsement referred to in paragraph 3 shall be inserted in
the 'Remarks' box on the movement certificate EUR.1.
Article 14
Issue of a duplicate EUR.1
1. In the event of the theft, loss or destruction of a movement
certificate EUR.1, the exporter may apply in writing to the customs
authorities which issued it for a duplicate made out on the basis of
the export documents in their possession.
2. The duplicate issued in this way must be endorsed with one of the
following words:
'DUPLIKAT', 'DUPLICATA', 'DUPLICATO', 'DUPLICAAT', 'DUPLICATE',
'DUPLIKAT', 'ĮĶŌÉĆŃĮÖĻ', 'DUPLICADO', 'SEGUNDA VĶA', 'DUBLICAT'.
3. The endorsement referred to in paragraph 2 shall be inserted in
the 'Remarks' box on the movement certificate EUR.1.
4. The duplicate, which must bear the date of issue of the original
movement certificate EUR.1, shall take effect as from that date.
Article 15
Simplified procedure for the issue of certificates
1. By way of derogation from Articles 11, 12 and 14 of this
Protocol, a simplified procedure for the issue of EUR.1 movement
certificates can be used in accordance with the following
provisions.
2. The customs authorities in the exporting State may authorize any
exporter, hereinafter referred to as 'approved exporter', making
frequent shipments for which EUR.1 movement certificates may be
issued and who offers, to the satisfaction of the competent
authorities, all guarantees necessary to verify the originating
status of the products, not to submit to the customs office of the
exporting State at the time of export either the goods or the
application for an EUR.1 certificate relating to those goods, for
the purpose of obtaining an EUR.1 certificate under the conditions
laid down in Article 11 of this Protocol.
3. The authorization referred to in paragraph 2 shall stipulate, at
the choice of the competent authorities, that box 11 'Customs
endorsement' of the EUR.1 movement certificate must:
(a) either be endorsed beforehand with the stamp of the competent
customs office of the exporting State and the signature, which may
be a facsimile, of an official of that office; or
(b) be endorsed by the approved exporter with a special stamp which
has been approved by the customs authorities of the exporting State
and corresponds to the specimen given in Annex V of this Protocol.
Such stamp may be pre-printed on the forms.
4. In the cases referred to in paragraphs 3 (a), one of the
following phrases shall be entered in box 7 'Remarks' of the EUR.1
movement certificate:
'PROCEDIMIENTO SIMPLIFICADO', 'FORENKLET PROCEDURE', 'VEREINFACHTES
VERFAHREN', 'ĮŠĖĻÕÓŌÅÕĢÅĶĒ ÄÉĮÄÉŹĮÓÉĮ', 'SIMPLIFIED PROCEDURE',
'PROCÉDURE SIMPLIFIÉE', 'PROCEDURA SEMPLIFICATA', 'VEREENVOUDIGDE
PROCEDURE', 'PROCEDIMENTO SIMPLIFICADO', 'OPROSTENA PROCEDURA'.
5. Box 11 'Customs endorsement' of the EUR.1 certificate shall be
completed if necessary by the approved exporter.
6. The approved exporter shall, if necessary, indicate in box 13
'Request for verification' of the EUR.1 certificate the name and
address of the authority competent to verify such certificate.
7. Where the simplified procedure is applied, the customs
authorities of the exporting State may prescribe the use of EUR.1
certificates bearing a distinctive sign by which they may be
identified.
8. In the authorization referred to in paragraph 2 the competent
authorities shall specify in particular:
(a) the conditions under which the applications for EUR.1
certificates are to be made;
(b) the conditions under which these applications are to be kept for
at least two years;
(c) in the cases referred to in paragraph 3 (b) the authority
competent to carry out the subsequent verification referred to in
Article 27 of this Protocol.
9. The customs authorities of the exporting State may declare
certain categories of goods ineligible for the special treatment
provided for in paragraph 2.
10. The customs authorities shall refuse the authorization referred
to in paragraph 2 to exporters who do not offer all the guarantees
which they consider necessary. The competent authorities may
withdraw the authorization at any time. They must do so where the
approved exporter no longer satisfies the conditions or no longer
offers these guarantees.
11. The approved exporter may be required to inform the competent
authorities, in accordance with the rules which they lay down, of
the goods to be dispatched by him, so that such authorities may make
any verification they think necessary before the departure of the
goods.
12. The customs authorities of the exporting State may carry out any
check on approved exporters which they consider necessary. Such
exporters must allow this to be done.
13. The provisions of this Article shall be without prejudice to the
application of the rules of the Community, the Member States and
Bulgaria concerning customs formalities and the use of customs
documents.
Article 16
Replacement of certificates
1. It shall at any time be possible to replace one or more movement
certificates EUR. 1 by one or more other certificates provided that
this is done by the customs office or other competent authorities
responsible for controlling the goods.
2. When products which originate in the Community or in Bulgaria and
are imported into a free zone under cover of an EUR.1 certificate
undergo treatment or processing, the authorities concerned must
issue a new EUR.1 certificate at the exporter's request if the
treatment of processing undergone is in conformity with the
provisions of this Protocol.
3. The replacement certificate shall be regarded as a definite
movement certificate EUR.1 for the purposes of the application of
this Protocol, including the provisions of this Article.
4. The replacement certificate shall be issued on the basis of a
written request from the re-exporter, after the authorities
concerned have verified the information supplied in the applicant's
request. The date and serial number of the original movement
certificate EUR.1 shall be given in box 7.
Article 17
Validity of certificates
1. A movement certificate EUR.1 must be submitted, within four
months of the date of issue by the customs authorities of the
exporting State, to the customs office of the importing State where
the products are entered.
2. Movement certificates EUR.1 which are submitted to the customs
authorities of the importing State after the final date of
presentation specified in paragraph 1 may be accepted for the
purpose of applying preferential treatment, where the failure to
submit the certificates by the final date set is due to reasons of
force majeure or exceptional circumstances.
3. In other cases of belated presentation, the customs authorities
of the importing State may accept the certificates where the
products have been submitted to them before the said final date.
Article 18
Exhibitions
1. Products sent from the Community or Bulgaria for exhibition in a
country other than Bulgaria or a Member State of the Community and
sold after the exhibition for importation into Bulgaria or the
Community shall benefit on importation from the provisions of the
Agreement on condition that the products meet the requirements of
this Protocol entitling them to be recognized as originating in the
Community or in Bulgaria and provided that it is shown to the
satisfaction of the customs authorities that:
(a) an exporter has consigned these products from the Community or
Bulgaria to the country in which the exhibition is held and has
exhibited them there;
(b) the products have been sold or otherwise disposed of by that
exporter to someone in the Community or Bulgaria;
(c) the products have been consigned during the exhibition or
immediately thereafter to the Community or Bulgaria in the state in
which they were sent for exhibition;
(d) the products have not, since they were consigned for exhibition,
been used for any purpose other than demonstration at the
exhibition.
2. A movement certificate EUR.1 must be produced to the customs
authorities in the normal manner. The name and address of the
exhibition must be indicated thereon. Where necessary, additional
documentary evidence of the nature of the products and the
conditions under which they have been exhibited may be required.
3. Paragraph 1 shall apply to any trade, industrial, agricultural or
crafts exhibition, fair or similar public show or display which is
not organized for private purposes in shops or business premises
with a view to the sale of foreign products, and during which the
products remain under customs control.
Article 19
Submission of certificates
Movement certificates EUR.1 shall be submitted to the customs
authorities in the importing State in accordance with the procedures
laid down by that State. The said authorities may require a
translation of a certificate. They may also require the import
declaration to be accompanied by a statement from the importer to
the effect that the products meet the conditions required for the
implementation of the Agreement.
Article 20
Importation by instalments
Without prejudice to Article 4 (3) of this Protocol, where, at the
request of the person declaring the goods at the customs, a
dismantled or non-assembled article falling within Chapter 84 or 85
of the Harmonized System is imported by instalments on the
conditions laid down by the competent authorities, it shall be
considered to be a single article and a movement certificate may be
submitted for the whole article upon import of the first instalment.
Article 21
Preservation of certificates
Movement certificates EUR.1 shall be preserved by the customs
authorities of the importing State in accordance with the rules in
force in that State.
Article 22
Form EUR.2
1. Notwithstanding Article 10, the evidence of originating status,
within the meaning of this Protocol, for consignments containing
only originating products and whose value does not exceed ECU 5 110
per consignment, may be provided by a form EUR.2, a specimen of
which appears in Annex IV to this Protocol.
2. The form EUR.2 shall be completed and signed by the exporter or,
under the exporter's responsibility, by his authorized
representative in accordance with this Protocol.
4. The exporter who applied for the form EUR.2 shall submit at the
request of the customs authorities of the exporting State all
supporting documents concerning the use of this form.
5. Articles 17, 19 und 21 shall apply mutatis mutandis to form
EUR.2.
Article 23
Discrepancies
The discovery of slight discrepancies between the statements made in
the movement certificate EUR.1 or in the form EUR.2 and those made
in the documents submitted to the customs office for the purpose of
carrying out the formalities for importing the products shall not
ipso facto render the document null and void if it is duly
established that it corresponds to the products submitted.
Article 24
Exemptions from proof of origin
1. Products sent as small packages from private persons to private
persons or forming part of travellers' personal luggage shall be
admitted as originating products without requiring the production of
a movement certificate EUR.1 or the completion of form EUR.2,
provided that such products are not imported by way of trade and
have been declared as meeting the conditions required for the
application of the agreement, and where there is no doubt as to the
veracity of such declaration.
2. Imports which are occasional and consist solely of products for
the personal use of the recipients or travellers or their families
shall not be considered as imports by way of trade if it is evident
from the nature and quantity of the products that no commercial
purpose is in view.
Furthermore, the total value of these products must not exceed ECU
365 in the case of small packages or ECU 1 025 in the case of the
contents of travellers' personal luggage.
Article 25
Amounts expressed in ecu
1. Amounts in the national currency of the exporting State
equivalent to the amounts expressed in ecu shall be fixed by the
exporting State and communicated to the other Parties to this
Agreement. When the amounts are more than the corresponding amounts
fixed by the importing State, the latter shall accept them if the
goods are invoiced in the currency of the exporting State or of
another of the countries mentioned in Article 2 of this Protocol.
If the goods are invoiced in the currency of another Member State of
the Community, the importing State shall recognize the amount
notified by the country concerned.
2. Up to and including 30 April 1993, the ecu to be used in any
given national currency shall be the equivalent in that national
currency of the ecu as at 3 October 1990. For each successive period
of two years, it shall be the equivalent in that national currency
of the ecu as at the first working day in October in the year
immediately preceding that two-year period.
TITLE III ARRANGEMENTS FOR ADMINISTRATIVE COOPERATION
Article 26
Communication of stamps and addresses
The customs authorities of the Member States and of Bulgaria shall
provide each other, through the Commission of the European
Communities, with specimen impressions of stamps used in their
customs offices for the issue of EUR.1 certificates and with the
addresses of the customs authorities responsible for issuing
movement certificates EUR.1 and for verifying those certificates and
forms EUR.2.
Article 27
Verification of movement certificates EUR.1 and of forms EUR.2
1. Subsequent verification of movement certificates EUR.1 and of
forms EUR.2 shall be carried out at random or whenever the customs
authorities of the importing State have reasonable doubts as to the
authenticity of the document or the accuracy of the information
regarding the true origin of the products in question.
2. For the purpose of the subsequent verification of movement
certificates EUR.1, the customs authorities of the exporting State
must keep copies of the certificates, as well as any export
documents referring to them, for at least two years.
3. In order to ensure the proper application of this Protocol,
Bulgaria and the Member States of the Community shall assist each
other, through their respective customs administrations, in checking
the authenticity of movement certificates EUR.1, including those
issued pursuant to Article 11 (5), and the forms EUR.2 and the
accuracy of the information concerning the actual origin of the
products concerned.
4. For the purpose of implementing paragraph 1, the customs
authorities of the importing State shall return the movement
certificate EUR.1 or form EUR.2, or a photocopy thereof, to the
customs authorities of the exporting State, giving, where
appropriate, the reasons of form or substance for an enquiry.
The relevant commercial documents, or a copy thereof, shall be
attached to the certificate EUR.1 or form EUR. 2 and the customs
authorities shall forward any information that has been obtained
suggesting that the particulars given on the said certificate or the
said form are inaccurate.
5. If the customs authorities of the importing State decide to
suspend execution of the provisions of the Agreement while awaiting
the results of the verification, they shall offer to release the
products to the importer subject to any precautionary measures
judged necessary.
6. The customs authorities of the importing State shall be informed
of the results of the verification as soon as possible. These
results must be such as to make it possible to determine whether the
disputed movement certificate EUR.1 or form EUR.2 apply to the
products in question and whether those products can, in fact,
qualify for the application of the preferential arrangements.
If in cases of reasonable doubt there is no reply within 10 months
of the date of the verification request, or if the reply does not
contain sufficient information to determine the authenticity of the
document in question or the real origin of the products, the
requesting authorities shall refuse, except in the case of force
majeure or exceptional circumstances, any benefit from the
preferential treatment laid down in the Agreement.
7. Disputes which cannot be settled between the customs authorities
of the importing State and those of the exporting State, or which
raise a question as to the interpretation of this Protocol, shall be
submitted to the Customs Cooperation Committee.
8. In all cases the settlement of disputes between the importer and
the customs authorities of the importing State shall be under the
legislation of the said State.
9. Where the verification procedure or any other available
information appears to indicate that the provisions of this Protocol
are being contravened, the Community or Bulgaria shall in its own
initiative or at the request of the other Party carry out
appropriate enquiries or arrange for such enquiries to be carried
out with due urgency to identify and prevent such contraventions,
and for this purpose the Community or Bulgaria may invite the
participation of the other Party in these enquiries.
10. Where the verification procedure or any other available
information appears to indicate that the provisions of this Protocol
are being contravened, the products would be accepted as originating
products under this Protocol only after completion of such aspects
of administrative cooperation set down in this Protocol which may
have been activated, including in particular the verification
procedure.
Likewise, products would be refused treatment as originating
products under this Protocol only after the completion of the
verification procedure.
Article 28
Penalties
Penalties shall be imposed on any person who draws up, or causes to
be drawn up, a document which contains incorrect particulars for the
purpose of obtaining preferential treatment for products.
Article 29
Free zones
The Member States and Bulgaria shall take all necessary steps to
ensure that products traded under cover of a movement certificate
EUR.1, which in the course of transport use a free zone situated in
their territory, are not substituted by other goods and that they do
not undergo handling other than normal operations designed to
prevent their deterioration.
TITLE IV CEUTA AND MELILLA
Article 30
Application of the Protocol
1. The term 'Community' used in this Protocol does not cover Ceuta
or Melilla. The term 'products originating in the Community' does
not cover products originating in these zones.
2. This Protocol shall apply mutatis mutandis to products
originating in Ceuta and Melilla, subject to particular conditions
set out in Article 31.
Article 31
Special conditions
1. The following provisions shall apply instead of Article 1 and
references to that Article shall apply mutatis mutandis to this
Article.
2. Providing they have been transported directly in accordance with
the provisions of Article 8, the following shall be considered as:
1. products originating in Ceuta and Melilla:
(a) products wholly obtained in Ceuta and Melilla;
(b) products obtained in Ceuta and Melilla in the manufacture of
which products other than those referred to in (a) are used,
provided that:
(i) the said products have undergone sufficient working or
processing within the meaning of Article 4 of this Protocol; or that
(ii) those products are originating in Bulgaria or the Community
within the meaning of this Protocol, provided that they have been
submitted to working or processing which goes beyond the
insufficient working or processing referred to in Article 4 (3);
2. products originating in Bulgaria:
(a) products wholly obtained in Bulgaria;
(b) products obtained in Bulgaria in the manufacture of which
products other than those referred to in (a) are used, provided
that:
(i) the said products have undergone sufficient working or
processing within the meaning of Article 4 of this Protocol; or that
(ii) those products are originating in Ceuta and Melilla or the
Community within the meaning of this Protocol, provided that they
have been submitted to working or processing which goes beyond the
insufficient working or processing referred to in Article 4 (3).
4. The exporter or his authorized representative shall enter
'Bulgaria' and 'Ceuta and Melilla' in box 2 of movement certificates
EUR.1. In addition, in the case of products originating in Ceuta and
Melilla, this shall be indicated in box 4 of movement certificates
EUR.1.
5. The Spanish customs authorities shall be responsible for the
application of this Protocol in Ceuta and Melilla.
TITLE V FINAL PROVISIONS
Article 32
Amendments to the Protocol
The Association Council shall examine at two-yearly intervals, or
whenever Bulgaria or the Community so request, the application of
the provisions of this Protocol, with a view to making any necessary
amendments or adaptations.
Such examination shall take into account in particular the
participation of the Contracting Parties in free trade zones or
customs unions with third countries.
Article 33
Customs cooperation committee
1. A customs cooperation committee shall be set up, charged with
carrying out administrative cooperation with a view to the correct
and uniform application of this Protocol and with carrying out any
other task in the customs field which may be entrusted to it.
2. The committee shall be composed, on the one hand, of experts of
the Member States and of officials of the departments of the
Commission of the European Communities who are responsible for
customs questions and, on the other hand, of experts nominated by
Bulgaria.
Article 34
Petroleum products
The products set out in Annex VI shall be temporarily excluded from
the scope of this Protocol. Nevertheless, the arrangements regarding
administrative cooperation shall apply, mutatis mutandis, to these
products.
Article 35
Annexes
The Annexes to this Protocol shall form an integral part thereof.
Article 36
Implementation of the Protocol
The Community and Bulgaria shall each take the steps necessary to
implement this Protocol.
Article 37
Goods in transit or storage
The provisions of the Agreement may be applied to goods which comply
with the provisions of this Protocol and which on the date of entry
into force of the Agreement are either in transit or are in the
Community or in Bulgaria in temporary storage in bonded warehouses
or in free zones, subject to the submission to the customs
authorities of the importing State, within four months of that date,
or a certificate EUR.1 endorsed retrospectively by the competent
authorities of the exporting State together with the documents
showing that the goods have been transported directly.
ANNEX I
NOTES
Foreword
These notes shall apply, where appropriate, to all manufactured
products using non-originating materials, even if they are not
subject to specific conditions contained in the list in Annex II but
are subject instead to the change of heading rule set out in Article
4 (1).
Note 1
1.1. The first two columns in the list describe the product
obtained. The first column gives the heading number or chapter
number used in the Harmonized System and the second column gives the
description of goods used in that system for that heading or
chapter. For each entry in the first two columns a rule is specified
in column 3. Where, in some cases, the entry in the first column is
preceded by an 'ex', this signifies that the rule in column 3 or 4
applies only to the part of that heading or chapter as described in
column 2.
1.2. Where several heading numbers are grouped together in column 1
or a chapter number is given and the description of products in
column 2 is therefore given in general terms, the adjacent rule in
column 3 applies to all products which, under the Harmonized System,
are classified in headings of the chapter or in any of the headings
grouped together in column 1.
1.3. Where there are different rules in the list applying to
different products within a heading, each indent contains the
description of that part of the heading covered by the adjacent rule
in column 3.
Note 2
2.1. The term 'manufacture' covers any kind of working or processing
including 'assembly' or specific operations. However, see Note 3.5
below.
2.2. The term 'material' covers any ingredient, raw material,
component or part, etc., used in the manufacture of the product.
2.2. The term 'product' refers to the product being manufactured,
even if it is intended for later use in another manufacturing
operation.
3.1. In the case of any heading not in the list or any part of a
heading that is not in the list, the 'change of heading' rule set
out in Article 4 (1) applies. If a 'change of heading' condition
applies to any entry in the list, then it is contained in the rule
in column 3.
3.2. The working or processing required by a rule in column 3 has to
be carried out only in relation to the non-originating materials
used. The restrictions contained in a rule in column 3 likewise
apply only to the non-originating materials used.
3.3. Where a rule states that 'materials of any heading' may be
used, materials of the same heading as the product may also be used,
subject, however, to any specific limitations which may also be
contained in the rule. However, the expression 'manufacture from
materials of any heading, including other materials of heading No .
. .' means that only materials classified in the same heading as the
product of a different description than that of the product as given
in column 2 of the list may be used.
3.4. If a product made from non-originating materials which has
acquired originating status during manufacture by virtue of the
change of heading rule or its own list rule is used as a material in
the process of manufacture of another product, then the rules
applicable to the product in which it is incorporated does not apply
to it.
For example:
An engine of heading No 8407, for which the rule states that the
value of the non-originating materials which may be incorporated may
not exceed 40 % of the ex works price, is made from 'other alloy
steel roughly shaped by forging' of heading No 7224.
If this forging has been forged in the country concerned from a
non-originating ingot then the forging has already acquired origin
by virtue of the rule for heading No ex 7224 in the list. It can
then count as originating in the value calculation for the engine
regardless of whether it was produced in the same factory or
another. The value of the non-originating ingot is thus not taken
into account when adding up the value of the non-originating
materials used.
3.5. Even if the change of heading rule or the other rules contained
in the list are satisfied, a product shall not acquire originating
status if the processing carried out, taken as a whole, is
insufficient within the meaning of Article 4 (3).
3.6. The unit of qualification for the application of the origin
rules shall be the particular product which is considered as the
basic unit when determining classification using the nomenclature of
the Harmonized System. In the case of sets of products which are
classified by virtue of General Rule 3 for the interpretation of the
Harmonized System, the unit of qualification shall be determined in
respect of each item in the set: this provision is equally
applicable to sets of heading Nos 6308, 8206 and 9605.
Accordingly, it follows that:
- when a product composed of a group or assembly of articles is
classified under the terms of the Harmonized System in a single
heading, the whole constitutes the unit of qualification,
- when a consignment consists of a number of identical products
classified under the same heading of the Harmonized System, each
product must be taken individually when applying the origin rules,
- where, under General Rule 5 of the Harmonized System, packing is
included with the product for classification purposes, it shall be
included for the purposes of determining origin.
Note 4
4.1. The rule in the list represents the minimum amount of working
or processing required and the carrying out of more working or
processing also confers originating status; conversely, the carrying
out of less working or processing cannot confer origin. Thus if a
rule says that non-originating material at a certain level of
manufacture may be used, the use of such material at an earlier
stage of manufacture is allowed and the use of such material at a
later stage is not.
4.2. When a rule in the list specifies that a product may be
manufactured from more than one material, this means that any one or
more materials may be used. It does not require that all be used.
For example:
The rule for fabrics says that natural fibres may be used and that
chemical materials, among other materials, may also be used. This
does not mean that both have to be used; one can use one or the
other or both.
If, however, a restriction applies to one material and other
restrictions apply to other materials in the same rule, then the
restrictions only apply to the materials actually used.
For example:
The rule for sewing machines specifies that both the thread tension
mechanism used and the zigzag mechanism used must originate; these
two restrictions only apply if the mechanisms concerned are actually
incorporated into the sewing machine.
4.3. When a rule in the list specifies that a product must be
manufactured from a particular material, the condition obviously
does not prevent the use of other materials which, because of their
inherent nature, cannot satisfy the rule.
For example:
The rule for heading No 1904 which specifically excludes the use of
cereals or their derivatives does not prevent the use of mineral
salts, chemicals and other additives which are not produced from
cereals.
For example:
In the case of an article made from non-woven materials, if the use
of only non-originating yarn is allowed for this class of article,
it is not possible to start from non-woven cloth - even if non-woven
cloths cannot normally be made from yarn. In such cases, the
starting material would normally be at the stage before yarn - that
is the fibre stage.
See also Note 7.3 in relation to textiles.
4.4. If in a rule in the list two or more percentages are given for
the maximum value of non-originating materials that can be used,
then these percentages may not be added together. The maximum value
of all the non-originating materials used may never exceed the
highest of the percentages given. Furthermore, the individual
percentages must not be exceeded in relation to the particular
materials they apply to.
Note 5
5.1. The term 'natural fibres' is used in the list to refer to
fibres other than artificial or synthetic fibres and is restricted
to the stages before spinning takes place, including waste, and,
unless otherwise specified, the term 'natural fibres' includes
fibres that have been carded, combed or otherwise processed but not
spun.
5.2. The term 'natural fibres' includes horsehair of heading No
0503, silk of heading Nos 5002 and 5003 as well as the wool fibres,
fine or coarse animal hair of heading Nos 5101 to 5105, the cotton
fibres of heading Nos 5201 to 5203 and other vegetable fibres of
heading Nos 5301 to 5305.
5.3. The terms 'textile pulp', 'chemical materials' and
'paper-making materials' are used in the list to describe the
materials not classified in Chapters 50 to 63, which can be used to
manufacture artificial, synthetic or paper fibres or yarns.
5.4. The term 'man-made staple fibres' is used in the list to refer
to synthetic or artificial filament tow, staple fibres or waste, of
headings Nos 5501 to 5507.
Note 6
6.1. In the case of the products classified within those headings in
the list to which a reference is made to this Note, the conditions
set out in column 3 of the list shall not be applied to any basic
textile materials used in their manufacture which, taken together,
represent 10 % or less of the total weight of all the basic textile
materials used (but see also Notes 6.3 and 6.4).
6.2. However, this tolerance may only be applied to mixed products
which have been made from two or more basic textile materials.
The following are the basic textile materials:
- silk,
- wool,
- coarse animal hair,
- fine animal hair,
- horsehair,
- cotton,
- paper-making materials and paper,
- flax,
- true hemp,
- jute and other textile bast fibres,
- sisal and other textile fibres of the genus Agave,
- coconut, abaca, ramie and other vegetable textile fibres,
- synthetic man-made filaments,
- artificial man-made filaments,
- synthetic man-made staple fibres,
- artificial man-made staple fibres.
For example:
A yarn of heading No 5205 made from cotton fibres of heading No 5203
and synthetic staple fibres of heading No 5506 is a mixed yarn.
Therefore, non-originating synthetic staple fibres that do not
satisfy the origin rules (which require manufacture from chemical
materials or textile pulp) may be used up to a weight of 10 % of the
yarn.
For example:
A woollen fabric of heading No 5112 made from woollen yarn of
heading No 5107 and synthetic yarn of staple fibres of heading No
5509 is a mixed fabric. Therefore synthetic yarn which does not
satisfy the origin rules (which require manufacture from chemical
materials or textile pulp) or woollen yarn that does not satisfy the
origin rules (which require manufacture from natural fibres, not
carded or combed or otherwise prepared for spinning) or a
combination of the two may be used up to a weight of 10 % of the
fabric.
For example:
Tufted textile fabric of heading No 5802 made from cotton yarn of
heading No 5205 and cotton fabric of heading No 5210 is only a mixed
product if the cotton fabric is itself a mixed fabric being made
from yarns classified in two separate headings or if the cotton
yarns used are themselves mixtures.
For example:
If the tufted textile fabric concerned had been made from cotton
yarn of heading No 5205 and synthetic fabric of heading No 5407,
then, obviously, the yarns used are two separate basic textile
materials and the tufted textile fabric is accordingly a mixed
product.
For example:
A carpet with tufts made from both artificial yarns and cotton yarns
and with a jute backing is a mixed product because three basic
textile materials are used. Thus, any non-originating materials that
are at a later stage of manufacture than the rule allows may be
used, provided their total weight taken together does not exceed 10
% of the weight of the textile materials in the carpet. Thus, both
the jute backing and/or the artificial yarns could be imported at
that stage of manufacture, provided the weight conditions are met.
6.3. In the case of fabrics incorporating 'yarn made of polyurethane
segmented with flexible segments of polyether whether or not gimped'
this tolerance is 20 % in respect of this yarn.
6.4. In the case of fabrics incorporating strip consisting of a core
of aluminium foil or of a core of plastic film whether or not coated
with aluminium powder, of a width not exceeding 5 mm, sandwiched by
means of an adhesive between two films of plastic film, this
tolerance is 30 % in respect of this strip.
Note 7
7.1. In the case of those textile products which are marked in the
list by a footnote referring to this note, textile materials with
the exception of linings and interlinings which do not satisfy the
rule set out in the list in column 3 for the made-up products
concerned may be used provided that they are classified in a heading
other than that of the product and that their value does not exceed
8 % of the ex works price of the product.
7.2. Any non-textile trimmings and accessories or other materials
used which contain textiles do not have to satisfy the conditions
set out in column 3 even though they fall outside the scope of Note
7.3. In accordance with Note 4.3, any non-originating non-textile
trimmings and accessories or other product, which do not contain any
textiles, may, anyway, be used freely where they cannot be made from
the materials listed in column 3.
For example:
If a rule in the list says that for a particular textile item, such
as a blouse, yarn must be used, this does not prevent the use of
metal items, such as buttons, because they cannot be made from
textile materials.
7.4. Where a percentage rule applies, the value of trimmings and
accessories must be taken into account when calculating the value of
the non-originating materials incorporated.
ANNEX II
LIST OF WORKING OR PROCESSING REQUIRED TO BE CARRIED OUT ON
NON-ORIGINATING MATERIALS IN ORDER THAT THE PRODUCT MANUFACTURED CAN
OBTAIN ORIGINATING STATUS
>TABLE POSITION>
ANNEX III
MOVEMENT CERTIFICATES EUR.1
1. Movement certificates EUR.1 shall be made out on the form of
which a specimen appears in this Annex. This form shall be printed
in one or more of the languages in which the Agreement is drawn up.
Certificates shall be made out in one of these languages and in
accordance with the provisions of the domestic law of the exporting
State. If they are handwritten, they shall be completed in ink and
in capital letters.
2. Each certificate shall measure 210 × 297 mm; a tolerance of up to
minus 5 mm or plus 8 mm in the length may be allowed. The paper used
must be white, sized for writing, not containing mechanical pulp and
weighing not less than 25 g/m2t shall have a printed green guilloche
pattern background making any falsification by mechanical or
chemical means apparent to the eye.
3. The competent authorities of the Member States of the Community
and of Bulgaria may reserve the right to print the certificates
themselves or may have them printed by approved printers. In the
latter case each certificate must include a reference to such
approval. Each certificate must bear the name and address of the
printer or a mark by which the printer can be identified. It shall
also bear a serial number, either printed or not, by which it can be
identified.
ANNEX IV
FORM EUR.2
1. Form EUR.2 shall be made out on the form of which a specimen
appears in this Annex. This form shall be printed in one or more of
the languages in which the Agreement is drawn up. Forms shall be
made out in one of these languages and in accordance with the
provisions of the domestic law of the exporting State. If they are
handwritten, they shall be completed in ink and in capital letters.
2. Each form EUR.2 shall measure 210 × 148 mm; a maximum tolerance
of up to minus 5 mm or plus 8 mm in the length may be allowed. The
paper used must be white, sized for writing, not containing
mechanical pulp and weighing not less than 64 g/m2.
3. The competent authorities of the Member States of the Community
and of Bulgaria may reserve the right to print the forms themselves
or may have them printed by approved printers. In the latter case
each form must include a reference to such approval. Each form must
bear the name and address of the printer or a mark by which the
printer can be identified. It shall also bear a serial number,
either printed or not, by which it can be identified.
ANNEX V
Specimen impression of the stamp mentioned in Article 15 (3) (b)
>START OF GRAPHIC>
(1) Initials or coat of arms of the exporting State.
(2) Such information as is necessary for the identification of the
approved exporter.
>END OF GRAPHIC>
ANNEX VI
LIST OF PRODUCTS REFERRED TO IN ARTICLE 34 WHICH ARE TEMPORARILY
EXCLUDED FROM THE SCOPE OF THIS PROTOCOL
>TABLE POSITION>
PROTOCOL 5
CHAPTER I Specific provisions relating to trade between Spain and
Bulgaria
Article 1
The provisions of the Agreement relating to trade in Title III shall
be amended as follows in order to take account of the measures and
undertakings listed in the Act of Accession of the Kingdom of Spain
to the European Communities (hereinafter called 'the Act of
Accession').
Article 2
Under the Act of Accession, Spain shall not grant to products
originating in Bulgaria more favourable treatment than it provides
for imports originating or in free circulation in other Member
States.
Article 3
1. Duties applied by the Kingdom of Spain to agricultural products
as defined in Article 19 of the Agreement originating in Bulgaria
and listed in Annexes XI and XIII of the Agreement shall be
progressively aligned with those applied by the Community of Ten in
accordance with the procedure and timetables set out in Articles 75
(2) and (3) of the Act of Accession.
2. Levies applied by the Kingdom of Spain to agricultural products
referred to in Article 21 (2) of the Agreement originating in
Bulgaria and listed in Annex XI, and to the agricultural component
of products referred to in Protocol 3 originating in Bulgaria, will
be the levies applied each year by the Community of Ten adjusted by
the accession compensatory amounts as set out in the Act of
Accession.
Article 4
The implementation by Spain of the undertakings covered by Article
10 (4) of the Agreement shall take place at the time set for the
remaining Member States always provided that Bulgaria has been
removed from the scope of Regulations (EEC) No 1765/82 and (EEC) No
3420/83 on import arrangements for products originating in
State-trading countries.
Article 5
Quantitative restrictions may be applied to imports into Spain of
products originating in Bulgaria until 31 December 1995 in respect
of the products listed in Annex A.
Article 6
Application of the provisions of this Protocol shall be without
prejudice to Council Regulation (EEC) No 1911/91 of 26 June 1991 on
the application of the provisions of Community law to the Canary
Islands or Council Decision 91/314/EEC of 26 June 1991 setting up a
programme of options specific to the remote and insular nature of
the Canary Islands (Poseican).
CHAPTER II Specific provisions relating to trade between Portugal
and Bulgaria
Article 7
The provisions of the Agreement relating to trade in Title III shall
be amended as follows in order to take account of the measures and
undertakings listed in the Act of Accession of the Portuguese
Republic to the European Communities (hereinafter called 'the Act of
Accession').
Article 8
Under the Act of Accession Portugal shall not grant Bulgaria more
favourable treatment than is provided for imports originating in
other Member States.
Article 9
1. The duties applicable by the Portuguese Republic to industrial
products originating in Bulgaria and referred to in Article 4 of the
Agreement and in Protocols 1 and 2 and to the non-agricultural
components of products included in Protocol 3 shall be phased out
according to the procedure and timetables set forth in this Article.
2. Tariff dismantling shall take as its basic starting point the
duties actually applied by the Portuguese Republic in its trade with
the Community of Ten on 1 January 1985; from the entry into force of
the Agreement, duties shall be aligned on those applied by the
Community of Ten.
However, for products referred to in Annex XXXI of the Act of
Accession tariff dismantling shall be carried out according to the
same timetable and start from the duties actually applied by the
Portuguese Republic in its trade with third countries on 1 January
1. The duties applied by the Portuguese Republic to agricultural
products as defined in Article 19 of the Agreement originating in
Bulgaria and listed in Annexes XII and XIII of the Agreement shall
be progressively aligned with those applied by the Community of Ten
in accordance with the procedure and timetables set out below in
this Article.
2. For agricultural products other than those referred to in
paragraph 3 of this Article the Portuguese Republic shall reduce its
tariffs from those actually applied by it in its trade with third
countries on 1 January 1985. Each year the difference between those
and those applied by the Community of Ten shall be reduced in
accordance with the following timetable:
- from entry into force of the Agreement, the difference shall be
reduced to 27,2 % of the original difference,
- on 1 January 1994, the difference shall be reduced to 18,1 % of
the original difference,
- on 1 January 1995, the difference shall be reduced to 9 % of the
original difference,
- from 1 January 1996, the Portuguese Republic shall apply the same
duties as the Community of Ten.
3. The Portuguese Republic shall apply a duty to the agricultural
products referred to in Regulations (EEC) No 136/66, (EEC) No
804/68, (EEC) No 805/68, (EEC) No 1035/72, (EEC) No 2727/75, (EEC)
No 2759/75, (EEC) No 2771/75, (EEC) No 2777/75, (EEC) No 1418/76 and
(EEC) No 822/87, which reduces the difference between the duty
actually applied on 31 December 1990 and the preferential duty in
accordance with the following timetable:- from the entry into force of the Agreement, the difference shall
be reduced to 49,9 % of the initial difference,
- on 1 January 1994, the difference shall be reduced to 33,2 % of
the initial difference,
- on 1 January 1995, the difference shall be reduced to 16,5 % of
the initial difference.
Portugal shall apply preferential rates in full from 1 January 1996.
Article 11
The implementation by Portugal of the undertakings covered by
Article 10 (4) of the European Agreement shall take place at the
time set for the remaining Member States always provided that
Bulgaria has been removed from the scope of Regulations (EEC) No
1765/82 and (EEC) No 3420/83 on import arrangements for products
originating in State-trading countries.
Article 12
Quantitative restrictions may be applied to imports into Portugal of
products originating in Bulgaria until 31 December 1995 in respect
of the products listed in Annex B.
ANNEX A
>TABLE POSITION>
ANNEX B
0103 10 00
0103 91 10
0103 92 11
0103 92 19
0701 10 00
0701 90 10
0701 90 51
0701 90 59
0803 00 10
0803 00 90
0804 30 00
2204 21 10
2204 21 21
2204 21 23
2204 21 25
2204 21 29
2204 21 31
2204 21 33
2204 21 35
2204 29 10
2204 29 21
2204 29 23
2204 29 25
2204 29 29
2204 29 31
2204 29 33
2204 29 35
2204 29 39
PROTOCOL 6 on mutual assistance in customs matters
Article 1
DefinitionsFor the purposes of this Protocol:
(a) customs legislation: shall mean provisions applicable in the
territories of the Contracting Parties governing the import, export,
transit of goods and their placing under any other customs
procedure, including measures of prohibition, restriction and
control adopted by the said Parties;
(b) customs duties: shall mean all duties, taxes, fees or/and other
charges which are levied and collected in the territories of the
Contracting Parties, in application of customs legislation, but not
including fees and charges which are limited in amount to the
approximate costs of services rendered;
(c) applicant authority: shall mean a competent administrative
authority which has been appointed by a Contracting Party for this
purpose and which makes a request for assistance in customs matters;
(d) requested authority: shall mean a competent administrative
authority which has been appointed by a Contracting Party for this
purpose and which receives a request for assistance in customs
matters;
(e) contravention: shall mean any violation of the customs
legislation as well as any attempted violation of such legislation.
Article 2
Scope
1. The Contracting Parties shall assist each other, in the manner
and under the conditions laid down in this Protocol, in ensuring
that customs legislation is correctly applied, in particular by the
prevention, detection and investigation of contraventions of this
legislation.
2. Assistance in customs matters, as provided for in this Protocol,
applies to any administrative authority of the Contracting Parties
which is competent for the application of this Protocol. It shall
not prejudice the rules governing mutual assistance in criminal
matters. Nor shall it cover information obtained under powers
exercised at the request of the judicial authority, unless those
authorities so agree.
Article 3
Assistance on request
1. At the request of the applicant authority, the requested
authority shall furnish it with all relevant information to enable
it to ensure that customs legislation is correctly applied,
including information regarding operations noted or planned which
contravene or would contravene such legislation.
2. At the request of the applicant authority, the requested
authority shall inform it whether goods exported from the territory
of one of the Contracting Parties have been properly imported into
the territory of the other Party, specifying, where appropriate, the
customs procedure applied to the goods.
3. At the request of the applicant authority, the requested
authority shall take the necessary steps to ensure that a
surveillance is kept on:
(a) natural or legal persons of whom there are reasonable grounds
for believing that they are contravening or have contravened customs
legislation;
(b) movement of goods notified as possibly giving rise to
substantial contraventions of customs legislation;
(c) means of transport for which there are reasonable grounds for
believing that they have been, are or may be used in the
contravening of customs legislation.
Article 4
Spontaneous assistance
The Contracting Parties shall within their competences provide each
other with assistance if they consider that to be necessary for the
correct application of customs legislation, particularly when they
obtain information pertaining to:
- operations which have contravened, contravene or would contravene
such legislation and which may be of interest to other Contracting
Parties,
- new means or methods employed in realizing such operations,
- goods known to be subject to substantial contravention of customs
legislation on import, export, transit or any other customs
procedure.
Article 5
Delivery/Notification
At the request of the applicant authority, the requested authority
shall in accordance with its legislation take all necessary measures
in order:
- to deliver all documents,
- to notify all decisions,
falling within the scope of this Protocol to an addressee, residing
or established in its territory. In such a case Article 6 (3) is
applicable.
Article 6
Form and substance of requests for assistance
1. Requests pursuant to the present Protocol shall be made in
writing. Documents necessary for the execution of such requests
shall accompany the request. When required because of the urgency of
the situation, oral requests may be accepted, but must be confirmed
in writing immediately.
2. Requests pursuant to paragraph 1 of this Article shall include
the following information:
(a) the applicant authority making the request;
(b) the measure requested;
(c) the object of and the reason for the request;
(d) the laws, rules, and other legal elements involved;
(e) indications as exact and comprehensive as possible on the
natural or legal persons being the target of the investigations;
(f) a summary of the relevant facts, except in cases provided for in
Article 5.
3. Requests shall be submitted in an official language of the
requested authority or in a language acceptable to such authority.
4. If a request does not meet the formal requirements, its
correction or completion may be demanded; the ordering of
precautionary measures may, however, take place.
Article 7
Execution of requests
1. In order to comply with a request for assistance, the requested
authority or, when the latter cannot act on its own, the
administrative department to which the request has been addressed by
this authority, shall proceed, within its competence and available
resources, as though it were acting on its own account or at the
request of other authorities of that same Contracting Party, by
supplying information already possessed, by carrying out appropriate
enquiries or by arranging for them to be carried out.
2. Requests for assistance will be executed in accordance with the
laws, rules, and other legal instruments of the requested
Contracting Party.
3. Duly authorized officials of a Contracting Party may, with the
agreement of the other Contracting Party involved and within the
conditions laid down by the latter, obtain from the offices of the
requested authority or other authority for which the requested
authority is responsible, information relating to the contravention
of customs legislation which the applicant authority needs for the
purposes of this Protocol.
4. Officials of a Contracting Party may, with the agreement of the
other Contracting Party, be present at enquiries carried out in the
latter's territory.
Article 8
Form in which information is to be communicated
1. The requested authority shall communicate results of enquiries to
the applicant authority in the form of documents, certified copies
of documents, reports and the like.
2. The documents provided for in paragraph 1 may be replaced by
computerized information produced in any form for the same purpose.
Article 9
Exceptions to the obligation to provide assistance
1. The Contracting Parties may refuse to give assistance as provided
for in this Protocol, where to do so would:
(a) be likely to prejudice sovereignty, public policy (l'ordre
public), security or other essential interests; or
(b) involve currency or tax regulations other than regulations
concerning customs duties; or
(c) violate an industrial, commercial or professional secret.
2. Where the applicant authority asks for assistance which it would
itself be unable to provide if so asked, it shall draw attention to
that fact in its request. It shall then be left to the requested
authority to decide how to respond to such a request.
3. If assistance is withheld or denied, the decision and the reasons
therefor must be notified to the applicant authority without delay.
Article 10
Obligation to observe confidentiality
1. Any information communicated in whatsoever form pursuant to this
Protocol shall be of a confidential nature. It shall be covered by
the obligation of official secrecy and shall enjoy the protection
extended under the relevant laws applicable in the Contracting Party
which received it and the corresponding provisions applying to the
Community authorities.
2. Nominative data shall not be transmitted whenever there are
reasonable grounds to believe that the transfer or the use made of
the data transmitted would be contrary to the basic legal principles
of one of the Parties, and, in particular, if the person concerned
would suffer undue disadvantages. Upon request, the receiving Party
shall inform the furnishing Party of the use made of the information
supplied and of the results achieved.
3. Nominative data may only be transmitted to customs authorities
and, in the case of need for prosecution purposes, to public
prosecution and judicial authorities. Other persons or authorities
may obtain such information only upon previous authorization by the
furnishing authority.
4. The furnishing Party shall verify the accuracy of the information
to be transferred. Whenever it appears that the information supplied
was inaccurate or to be deleted, the receiving Party shall be
notified without delay. The latter shall be obliged to carry out the
correction or deletion.
5. Without prejudice to cases of prevailing public interest, the
person concerned may obtain, upon request, information on the data
stores and the purpose of this storage.
Article 11
Use of information
1. Information obtained shall be used solely for the purposes of
this Protocol and may be used within each Contracting Party for
other purposes only with the prior written consent of the
administrative authority which furnished the information and shall
be subject to any restrictions laid down by that authority. These
provisions are not applicable to information concerning offences
relating to narcotic drugs and psychotropic substances. Such
information may be communicated to other authorities directly
involved in the combating of illicit drug traffic, within the limits
of Article 2.
2. Paragraph 1 shall not impede the use of information in any
judicial or administrative proceedings subsequently instituted for
failure to comply with customs legislation.
3. The Contracting Parties may, in their records of evidence,
reports and testimonies and in proceedings and charges brought
before the courts, use as evidence information obtained and
documents consulted in accordance with the provisions of this
Protocol.
Article 12
Experts and witnesses
An official of a requested authority may be authorized to appear,
within the limitations of the authorization granted, as expert or
witness in judicial or administrative proceedings regarding the
matters covered by this Protocol in the jurisdiction of another
Contracting Party, and produce such objects, documents or
authenticated copies thereof, as may be needed for the proceedings.
The request for an appearance must indicate specifically on what
matter and by virtue of what title or qualification the official
will be questioned.
Article 13
Assistance expenses
The Contracting Parties shall waive all claims on each other for the
reimbursement of expenses incurred pursuant to this Protocol,
except, as appropriate, for expenses to experts and witnesses and to
interpreters and translators who are not dependent upon public
services.
Article 14
Implementation
1. The management of this Protocol shall be entrusted to the central
customs authorities of Bulgaria on the one hand, and the competent
services of the Commission and, where appropriate, the customs
authorities of the Community Member States on the other. They shall
decide on all practical measures and arrangements necessary for its
application, taking into consideration rules in the field of data
protection. They may recommend to the competent bodies amendments
which they consider should be made to this Protocol.
2. The Contracting Parties shall consult each other and subsequently
keep each other informed of the detailed rules of implementation
which are adopted in accordance with the provisions of this Article.
Article 15
Complementarity
1. This Protocol shall complement and not impede application of any
agreements on mutual assistance which have been concluded or may be
concluded between individual or several Community Member States and
Bulgaria. Nor shall it preclude more extensive mutual assistance
granted under such agreements.
2. Without prejudice to Article 11, these agreements do not
prejudice Community provisions governing the communication between
the competent services of the Commission and the customs authorities
of the Member States of any information obtained in customs matters
which could be of Community interest.
PROTOCOL 7 on concessions with annual limits
The Parties agree that if the Agreement comes into force after 1
January in any year, any concession given within the limits of
annual quantities will be adjusted pro rata with the exception of
those Community concessions contained in Annexes III and XI.
In respect of Annexes III and XI, products for which import
certificates have been issued under the EEC Council Regulations
applying generalized tariff preferences between 1 January and the
entry into force of the Agreement will be counted against the tariff
quota or tariff ceiling quantities contained in such Annexes.
PROTOCOL 8 on transboundary watercourses
The Contracting Parties,
recalling the principles governing in particular:
- the Convention on the protection and use of transboundary
watercourses and international lakes,
- the Convention on environmental impact assessment in a
transboundary context,
- the Convention on transboundary effects of industrial accidents,
- the Ramsar Convention;
Whereas Article 81 of the Agreement, which deals with environmental
cooperation, provides the framework on which the Parties'
initiatives in the field of cooperation across borders may be
developed further by means of programmes of common interest;
Whereas management of the water of transboundary rivers is one of
the areas of cooperation listed in Article 81 of the Agreement;
Have agreed in the common interest of the Parties to set up with the
financial assistance of the Community under the relevant provisions
of Title VIII of the Agreement a system to monitor the quality and
the quantity of water in their cross-boundary rivers with a view to:
- reducing the pollution level of the water of transboundary rivers
to an adequate extent ensuring the ecologically sound use in the
economy and endeavour to prevent all other forms of pollution of
such water, and in particular pollution resulting from possible
accidents,
- establishing an early warning system to cope with floods or
dangerous levels of water pollution in such rivers,
- promoting with joint efforts the combat against soil erosion due
to transboundary watercourses,
- promoting rational use of water resources from transboundary
rivers in conformity with the provisions of the Convention on the
protection and use of transboundary watercourses and international
lakes,
- promoting the effective protection of flora and fauna at the
estuary of the transboundary rivers on their respective territories.
FINAL ACT
The plenipotentiaries of:
the KINGDOM OF BELGIUM,
the KINGDOM OF DENMARK,
the FEDERAL REPUBLIC OF GERMANY,
the HELLENIC REPUBLIC,
the KINGDOM OF SPAIN,
the FRENCH REPUBLIC,
IRELAND,
the ITALIAN REPUBLIC,
the GRAND DUCHY OF LUXEMBOURG,
the KINGDOM OF THE NETHERLANDS,
the PORTUGUESE REPUBLIC,
the UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND,
Contracting Parties to the Treaty establishing the EUROPEAN ECONOMIC
COMMUNITY, the Treaty establishing the EUROPEAN COAL AND STEEL
COMMUNITY and the Treaty establishing the EUROPEAN ATOMIC ENERGY
COMMUNITY, hereinafter referred to as 'the Member States', and of
the EUROPEAN ECONOMIC COMMUNITY, the EUROPEAN ATOMIC ENERGY
COMMUNITY and the EUROPEAN COAL AND STEEL COMMUNITY, hereinafter
referred to as 'the Community',
of the one part, and the plenipotentiaries of the REPUBLIC OF
BULGARIA, hereinafter referred to as 'Bulgaria',
of the other part,
meeting at Brussels on the eighth day of March in the year one
thousand nine hundred and ninety-three for the signature of the
Europe Agreement establishing an association between the European
Communities and their Member States, of the one part, and Bulgaria,
of the other part, hereinafter referred to as the 'Europe
Agreement', have adopted the following texts:
the Europe Agreement and the following Protocols:
Protocol 1 on textile and clothing products
Protocol 2 on products covered by the Treaty establishing the
European Coal and Steel Community (ECSC)
Protocol 3 on trade between Bulgaria and the Community in processed
agricultural products not covered by Annex II to the EEC Treaty
Protocol 4 concerning the definition of the concept of 'originating
products' and methods of administrative cooperation
Protocol 5 on specific provisions relating to trade between Bulgaria
and Spain and Portugal
Protocol 6 on mutual assistance in customs matters
Protocol 7 on concessions with annual limits
Protocol 8 on transboundary watercourses.
The plenipotentiaries of the Member States and of the Community and
the plenipotentiaries of Bulgaria have adopted the texts of the
Joint Declarations listed below and annexed to this Final Act:
Joint Declaration on Article 8 (3) of the Agreement
Joint Declaration on Article 8 (4) of the Agreement
Joint Declaration on Article 10 (3) of the Agreement
Joint Declaration on Article 21 (4) of the Agreement
Joint Declaration on Article 21 (4) of the Agreement
Joint Declaration on Article 38 (1) of the Agreement
Joint Declaration on Article 38 of the Agreement
Joint Declaration on Article 39 of the Agreement
Joint Declaration on Chapter II of Title IV of the Agreement
Joint Declaration on Chapter II of Title IV of the Agreement
Joint Declaration on Article 45 (2) of the Agreement
Joint Declaration on Article 57 (3) of the Agreement
Joint Declaration on Article 59 of the Agreement
Joint Declaration on Article 60 of the Agreement
Joint Declaration on Article 64 of the Agreement
Joint Declaration on Article 67 of the Agreement
Joint Declaration on Article 110 of the Agreement
Joint Declaration on Protocol 1 to the Agreement
Joint Declaration on Articles 5 and 9 (4) of Protocol 2 to the
Agreement
Joint Declaration on Protocol 4 to the Agreement
Joint Declaration on Article 5 of Protocol 6 to the Agreement
Joint Declaration on Protocol 8 to the Agreement.
The plenipotentiaries of the Member States and of the Community and
the plenipotentiaries of Bulgaria have also taken note of the
following exchanges of letters annexed to this Final Act:
Agreement in the form of an exchange of letters between the European
Community and Bulgaria concerning transit
Agreement in the form of an exchange of letters between the European
Community and Bulgaria concerning inland transport infrastructure
Agreement in the form of an exchange of letters between the European
Community and Bulgaria concerning certain arrangements for live
bovine animals
Agreement in the form of an exchange of letters between the European
Economic Community and Bulgaria concerning certain provisions
applying to pigs and poultry
Agreement in the form of an exchange of letters between the European
Economic Community and Bulgaria concerning the recognition of
regionalization of African swine fever in the Kingdom of Spain.
The plenipotentiaries of Bulgaria have taken note of the
Declarations listed below and annexed to this Final Act:
Community Declaration on Article 21 (4) of the Agreement
Community Declaration on Article 21 (4) of the Agreement
Community Declaration on Article 2 (3) of Protocol 1 to the
Agreement
Community Declaration on Article 9 (1) (iii) and (4) of Protocol 2
to the Agreement
Community Declaration on Article 9 (4) of Protocol 2 to the
Agreement.
The plenipotentiaries of the Member States and of the Community have
taken note of the Declarations listed below and annexed to this
Final Act:
Declaration by Bulgaria concerning Article 14 (3) of the Agreement
Declaration by Bulgaria concerning Article 21 (3) of the Agreement
Declaration by Bulgaria concerning Article 45 (3) in connection with
Annex XVd to the Agreement
Declaration by Bulgaria concerning Article 59 of the Agreement
Declaration by Bulgaria concerning Article 67 of the Agreement
Declaration by Bulgaria concerning Protocol 2 to the Agreement
Declaration by Bulgaria concerning Protocol 3 to the Agreement.
Done at Brussels on the eighth day of March in the year one thousand
nine hundred and ninety-three
Pour le Royaume de Belgique
Voor het Koninkrijk Belgiū
Põ Kongeriget Danmarks vegne
FŽr die Bundesrepublik Deutschland
Ćłń Į÷ż Åūū÷żłśČ Ä÷ü˙śęńĮčń
Por el Reino de Espaęa
Pour la Rłpublique fran÷aise
Thar cheann Na hÉireann
For Ireland
Per la Repubblica italiana
Pour le Grand-Duchł de Luxembourg
Voor het Koninkrijk der Nederlanden
Pela RepŪblica Portuguesa
For the United Kingdom of Great Britain and Northern Ireland
Por el Consejo y la Comisiėn de las Comunidades Europeas
For Rõdet og Kommissionen for De Europöiske Föllesskaber
FŽr den Rat und die Kommission der Europōischen Gemeinschaften
Ćłń Į˙ Óįüņ˙žūł˙ śńł Į÷ż ÅĘłĮę˙ĘČ Įųż ÅįęųĘńŪśžż Ź˙łż˙ĮČĮųż
For the Council and the Commission of the European Communities
Pour le Conseil et la Commission des Communautłs europłennes
Per il Consiglio e la Commissione delle Comunitš europee
Voor de Raad en de Commissie van de Europese Gemeenschappen
Pelo Conselho e Pela Comissóo das Comunidades Europeias
JOINT DECLARATIONS
1. Article 8 (3)
The Parties declare that the expression 'duties actually applied'
means as regards Bulgaria the MFN rate of duty applied (customs
duties and in the case of products listed in Annex VIII charges
having an equivalent effect to customs duties) and as regards the
Community the duties listed in the customs tariff (autonomous,
conventional, as well as the 'permanent' tariff suspensions and
quotas that are shown therein). Where, however, temporary duty
suspensions are applied by reason of a specific purpose, or for
specific quantities or consignments, such suspensions shall not be
considered as 'duties actually applied'. The Parties shall inform
each other on the day preceding the date of entry into force of the
Agreement of the list of products subject to such temporary duty
suspensions.
2. Article 8 (4)
The Community and Bulgaria confirm that where a reduction of duties
is effected by way of a suspension of duties made for a particular
period of time, such reduced duties shall replace the basic duties
only for the period of such suspension, and that whenever a partial
suspension of duties is made, the preferential margin between the
Parties will be preserved.
3. Article 10 (3), second paragraph
The Parties declare that the reduced duties calculated in accordance
with the provisions of this Agreement, are to be rounded off to the
first decimal place of rounding up, when the second decimal place is
5, 6, 7, 8 or 9, and rounding down, when it is 0, 1, 2, 3 or 4.
4. Article 21 (4)
The Community and Bulgaria, pending the conclusion of the Uruguay
Round negotiations in the framework of the General Agreement on
Tariffs and Trade and extending for one year the 1990 Agreement,
agree to enter into negotiations during the second half of 1993 to
reach a mutually agreeable solution on the extension of the 1990
Agreement on sheep and sheepmeat especially on:
- the respect of the sensitive periods,
- the suspension of the duty,
- the price surveillance procedure.
5. Article 21 (4)
The Community and Bulgaria agree to negotiate in the interest of
concluding:
- an Agreement between the Republic of Bulgaria and the European
Economic Community on the reciprocal protection of the names of
wines and control of wine,
- an Agreement regarding the establishment of reciprocal tariff
concessions for wines providing that these observe the Community's
and Bulgaria's import regulations, particularly in the area of
oenological practices and certificates.
Both Parties shall make best efforts to ensure that these Agreements
enter into force at the same time as the Interim Agreement.
6. Article 38 (1)
It is understood that the concept 'conditions and modalities
applicable in each Member State' includes Community rules where
appropriate.
7. Article 38
It is understood that the notion 'children' is defined in accordance
with national legislation of the host country concerned.
8. Article 39
It is understood that the notion 'members of their family' is
defined in accordance with the national legislation of the host
country concerned.
9. Chapter II of Title IV
Without prejudice to the provisions of Chapter II of Title IV, the
Parties agree that treatment of the nationals or companies of one
Party shall be considered to be less favourable than that accorded
to those of the other Party if such treatment is either formally or
de facto less favourable than the treatment accorded to those of the
other Party.
10. Chapter II of Title IV
It is understood that 'branches' and 'agencies' as referred to in
Chapter II of Title IV are not legal persons and do not imply
'commercial representation' as referred to in Article 4 of the
Bulgarian Law of 1992 on the economic activity of foreign persons
and on the protection of foreign investments.
11. Article 45 (2) (ii)
The Parties agree that the provisions of Article 45 (2) (ii) do not
affect the application of Bulgarian legislation as listed in Annex
XVc concerning the acquisition by a Community company or national of
majority participation in existing companies in the areas listed in
this Annex, whether or not the Community company or national is
already established in the territory of Bulgaria.
12. Article 57 (3)
The Parties declare that the Agreements referred to in Article 57
(3) should aim at the highest possible extension of the transport
regulations and policies applicable in the Community and in the
Member States to the relation between the Community and Bulgaria in
the field of transport.
13. Article 59
The sole fact of requiring a visa for natural persons of certain
Parties and not for those of others shall not be regarded as
nullifying or impairing benefits under a specific commitment.
14. Article 60
Whenever the Association Council is called upon to take measures for
further liberalization in the areas of services or persons, it shall
also determine for which transactions related to such measures
payments are to be authorized in freely convertible currency.
15. Article 64
The Parties shall not make an improper use of provisions on
professional secrecy to prevent the disclosure of information in the
field of competition.
16. Article 67
The Parties agree that for the purpose of this Association Agreement
'intellectual, industrial and commercial property' is to be given a
similar meaning as in Article 36 of the EEC Treaty and includes in
particular protection of copyright and neighbouring rights, patents,
industrial designs, trade marks and service marks, topographies of
integrated circuits, software, geographical indications as well as
protection against unfair competition and protection of undisclosed
information on know-how.
17. Article 110
The Parties agree that the Association Council, in accordance with
Article 110 of the Agreement, will examine the creation of a
consultative mechanism composed of members of the Economic and
Social Committee of the Community and the corresponding partners of
Bulgaria.
18. Protocol 1 to the Agreement
The Parties confirm their intention to start negotiating the new
Protocol on quantitative arrangements provided for in Article 3 (2)
of Protocol 1 before the end of 1992.
19. Articles 5 and 9 (4) of Protocol 2 to the Agreement
The Community and Bulgaria declare that Articles 5 and 9 (4) of
Protocol 2 cannot be considered as a precedent in Bulgaria's
negotiations for accession to the General Agreement on Tariffs and
Trade or to the Multilateral Trade Organization which could emerge
from the Uruguay Round negotiations.
20. Protocol 4 to the Agreement
The Community and Bulgaria confirm their readiness to consider at a
later stage in the Association Council the possibility of regional
cumulation which Poland, Hungary and Czechoslovakia, and with
Romania, in the light of progress made in fulfilling the appropriate
technical and administrative conditions.
21. Article 5 of Protocol 6 to the Agreement
The Contracting Parties stress that the reference which is made in
Article 5 of Protocol 6 to their own legislation may cover, where
appropriate, an international commitment they could have contracted,
such as the Convention on the service abroad of judicial and
extrajudicial documents in civil or commercial matters, concluded in
The Hague on 15 November 1965.
22. Protocol 8 to the Agreement
It is understood that the assistance from the Community for the
implementation of Protocol 8 shall be without prejudice to the
overall financial assistance provided for under Title VIII.
UNILATERAL DECLARATIONS BY THE COMMUNITY
1. Article 21 (4)
The Community declares its agreement to maintain, for a further
five-year period and under the same conditions, the preferential
regime for certain cheeses set out in Regulation (EEC) No 1767/82.
2. Article 21 (4)
In order to allow the Bulgarian industry to adapt to the
requirements of Regulation (EEC) No 690/92, the Community accepts a
transitional period of 18 months. During that period sheep cheeses
originating in Bulgaria and imported into the Community shall be
accepted with a content of cows' milk of up to 3 %.
3. Article 2 (3) of Protocol 1 to the Agreement
The Community confirms that the treatment given to Bulgaria under
the provisions of Article 2 (3) of Protocol 1 is the same in its
substance as that given in the Protocols agreed with Poland, Hungary
and the CSFR, and that in principle any future amendment of Council
Regulation (EEC) No 636/82 shall apply in a uniform way to each of
the five countries of central and eastern Europe.
4. Articles 9 (1) (iii) and 9 (4) of Protocol 2 to the Agreement
The Community confirms its understanding that the references to
public aids in Articles 9 (1) (iii) and 9 (4) imply the exclusion of
transport subsidies acting as direct or indirect subsidies to the
steel industry.
5. Article 9 (4) of Protocol 2 to the Agreement
It is understood that the possibility of an exceptional extension of
the five-year period is strictly limited to the particular case of
Bulgaria and does not impair the position of the Community in
relation to other cases nor prejudge international commitments. The
possible derogation foreseen in paragraph 4 takes into account the
particular difficulties of Bulgaria in restructuring the steel
sector and the fact that this process has been launched very
recently.
UNILATERAL DECLARATIONS BY BULGARIA
1. Article 14 (3)
In conformity with Article 26 (1), Bulgaria confirms that the export
taxes mentioned in Annex IX, should they be introduced, shall not
have a more restrictive effect than the system of non-automatic
licences and export ceilings.
2. Article 21 (3)
Bulgaria will make every endeavour to increase the quantities of
tobacco covered by quantitative restrictions foreseen in Annex XIIb
in parallel with the negotiations in the wine sector.
3. Article 45 (3) in connection with Annex XVd
The prohibition on acquisition of land does not affect the
possibility for acquisition of ownership title on a building erected
on that land. The landowner can, according to the Bulgarian Property
Act, grant to a third person the right to erect a building on his
land and that third person becomes the owner of the building. The
landowner can transfer, separately from the land, the ownership on
an already existing building.
4. Article 59
Bulgaria undertakes to negotiate actively its accession to the GATT
and to the other agreements embodied in the Multilateral Trade
Organization which will emerge from the Uruguay Round negotiations,
within a time frame compatible with the progressive implementation
of the Association.
5. Article 67
Bulgaria confirms that under its new patent law, a treatment no less
favourable than that accorded to any third country under any
bilateral agreement, including that between Bulgaria and the United
States of America signed in April 1991, shall be granted to
Community Member States' nationals, in particular in the field of
transitional patent protection.
6. Letter from the Bulgarian Government to the Community
The Government of Bulgaria declares that it will not invoke the
provisions of Protocol 2 on ECSC products, in particular Article 9,
so as not to call into question the compatibility with this Protocol
of the agreements made by the Community coal industry with the
electricity companies and the steel industry to secure the sale of
Community coal.