21997A0716(01)

 

Euro-Mediterranean Interim Association Agreement on trade and

cooperation between the European Community, of the one part, and the

Palestine Liberation Organization (PLO) for the benefit of the

Palestinian Authority of the West Bank and the Gaza Strip, of the

other part - Protocol 1 on the arrangements applying to imports into

the Community of agricultural products originating in the West Bank

and the Gaza Strip - Protocol 2 on the arrangements applying to

imports into the West Bank and the Gaza Strip of agricultural

products originating in the Community - Protocol 3 concerning the

definition of the concept of 'originating products' and methods of

administrative cooperation - Final Act - Joint Declarations -

Declaration by the European Community

 

Official Journal L 187 , 16/07/1997 p. 0003 - 0135 

 

Dates:

OF DOCUMENT:   02/06/1997

OF EFFECT:   01/07/1997; ENTRY INTO FORCE SEE ART 75 AND OJ L

187/97 P. 136

OF SIGNATURE:   24/02/1997; BRUSSELS

OF END OF VALIDITY:   99/99/9999

 

Authentic language: THE OFFICIAL LANGUAGES ; GERMAN ; ENGLISH ;

DANISH ; SPANISH ; FINNISH ; FRENCH ; GREEK ; ITALIAN ; DUTCH ;

PORTUGUESE ; SWEDISH ; OTHER THAN COMMUNITY LANGUAGE ; ARABIC

Author:

EUROPEAN COMMUNITY

 

Subject matter: EXTERNAL RELATIONS ; ASSOCIATION ; COMMERCIAL POLICY

; DEVELOPMENT COOPERATION

Directory code: 11402000 ; 11704000

EUROVOC descriptor: association agreement ; cooperation agreement ;

trade agreement ; European Community ; EC interim agreement ; PLO

 

Legal basis:

192E113................... ADOPTION

192E130Y.................. ADOPTION

192E228-P2F1.............. ADOPTION

192E228-P3L2.............. ADOPTION

Instruments cited:

391R1911..................

192E042...................

192E043...................

362R0026..................

157EN02...................

279A0412(07)..............

294A1223(01)..............

Amended by:

ADOPTED-BY.... 397D0430..........

 

 

 

 

EURO-MEDITERRANEAN INTERIM ASSOCIATION AGREEMENT on trade and

cooperation between the European Community, of the one part, and the

Palestine Liberation Organization (PLO) for the benefit of the

Palestinian Authority of the West Bank and the Gaza Strip, of the

other part

The EUROPEAN COMMUNITY,

hereinafter referred to as 'the Community`,

of the one part,

and the PALESTINE LIBERATION ORGANIZATION (PLO) FOR THE BENEFIT OF

THE PALESTINIAN AUTHORITY OF THE WEST BANK AND THE GAZA STRIP,

hereinafter referred to as 'the Palestinian Authority`,

of the other part,

CONSIDERING the importance of the existing links between the

Community and the Palestinian people of the West Bank and the Gaza

Strip, and the common values that they share,

CONSIDERING that the Community and the PLO wish to strengthen those

links and to establish lasting relations based on partnership and

reciprocity,

CONSIDERING the importance which the Parties attach to the

principles of the United Nations Charter, particularly the

observance of human rights, democratic principles and political and

economic freedoms which form the very basis of their relations,

DESIROUS of strengthening the framework of relations between the

European Community and the Middle East, and of regional economic

integration of the Middle Eastern countries as an objective to be

achieved as soon as conditions permit,

CONSIDERING the difference in economic and social development

existing between the Parties and the need to intensify existing

efforts to promote economic and social development in the West Bank

and the Gaza Strip,

DESIROUS of establishing a cooperation, supported by a regular

dialogue, on economic, cultural, scientific and educational matters

with a view to improving mutual knowledge and understanding,

CONSIDERING the commitment of the Parties to free trade, and in

particular to compliance with the provisions of the General

Agreement on Tariffs and Trade of 1994,

DESIROUS of building on the existing autonomous trade arrangements

between the Parties and placing them on a contractual and reciprocal

basis,

CONVINCED of the need to promote the creation of a new climate for

their economic relations in order to improve the environment for

investment flows,

CONSIDERING the rights and obligations of the parties under the

international agreements which they have signed,

CONVINCED that the full participation of the Palestinian Authority

in the Euro-Mediterranean Partnership launched at the Barcelona

Conference is an important step in the normalization of relations

between the Parties, which should be reflected in an Agreement on an

interim basis at the present stage,

AWARE of the major political significance of the holding of

Palestinian elections on 20 January 1996 for the process leading to

a permanent settlement based on United Nations Security Council

Resolutions 242 and 338,

RECOGNIZING that this Agreement should be replaced by a

Euro-Mediterranean Association Agreement as soon as conditions

permit,

HAVE AGREED AS FOLLOWS:

 

 

Article 1

1. An Interim Association on Trade and Cooperation is hereby

established between the Community and the Palestinian Authority.

2. The objectives of this Agreement are:

- to provide an appropriate framework for a comprehensive dialogue,

allowing the development of close relations between the Parties,

- to establish the conditions for the progressive liberalization of

trade,

- to foster the development of balanced economic and social

relations between the Parties through dialogue and cooperation,

- to contribute to the social and economic development of the West

Bank and Gaza Strip,

- to encourage regional cooperation with a view to the consolidation

of peaceful coexistence and economic and political stability,

- to promote cooperation in other areas which are of reciprocal

interest.

 

Article 2

Relations between the Parties, as well as all the provisions of the

Agreement itself, shall be based on respect of democratic principles

and fundamental human rights as set out in the universal declaration

on human rights, which guides their internal and international

policy and constitutes an essential element of this Agreement.

 

TITLE I FREE MOVEMENT OF GOODS

 

BASIC PRINCIPLES

 

Article 3

The Community and the Palestinian Authority shall establish

progressively a free trade area over a transitional period, not

extending beyond 31 December 2001, according to the modalities set

out in this Title and in conformity with the provisions of the

General Agreement on Tariffs and Trade of 1994 and of the other

multilateral agreements on trade in goods annexed to the agreement

establishing the World Trade Organization (WTO), hereinafter

referred to as the GATT.

 

CHAPTER 1 INDUSTRIAL PRODUCTS

 

Article 4

The provisions of this Chapter shall apply to products originating

in the Community and in the West Bank and the Gaza Strip other than

those listed in Annex II to the Treaty establishing the European

Community.

 

Article 5

No new customs duty on imports, or any other charge having

equivalent effect, shall be introduced on trade between the

Community and the West Bank and Gaza Strip.

 

Article 6

Imports into the Community of products originating in the West Bank

and the Gaza Strip shall be allowed free of customs duties and of

any other charge having equivalent effect and free of quantitative

restrictions and of any other measure having equivalent effect.

 

Article 7

1. The provisions of this Chapter do not preclude the retention by

the Community of an agricultural component in respect of goods

originating in the West Bank and the Gaza Strip and listed in Annex

1.

The provisions of Chapter 2 applicable to agricultural products

shall apply mutatis mutandis to the agricultural component.

2. For the products listed in Annex 2 originating in the Community,

the Palestinian Authority may retain for the duration of the

Agreement customs duties on import and charges having equivalent

effect not higher than those in force on 1 July 1996.

3. The Joint Committee established under Article 63 may decide on

further concessions which the parties grant each other on a mutual

basis.

 

Article 8

1. Customs duties and charges having equivalent effect applicable on

import into the West Bank and the Gaza Strip of products originating

in the Community, other than those listed in Annexes 2 and 3, shall

be abolished when the Agreement enters into force.

2. From the entry into force of the Agreement, for the products

originating in the Community listed in Annex 3 imported into the

West Bank and the Gaza Strip, the Palestinian Authority may levy

fiscal charges not exceeding 25 % by value. These charges shall be

gradually abolished in accordance with the following schedule:

one year after the date of entry into force of this Agreement, each

charge shall be reduced to 90 % of the basic charge;

two years after the date of entry into force of this Agreement, each

charge shall be reduced to 80 % of the basic charge;

three years after the date of entry into force of this Agreement,

each charge shall be reduced to 70 % of the basic charge;

four years after the date of entry into force of this Agreement,

each charge shall be reduced to 60 % of the basic charge;

five years after the date of entry into force of this Agreement,

each remaining charge shall be abolished.

3. In the event of serious difficulties for a given product, the

schedule referred to in paragraph 2 may be reviewed by the Joint

Committee by common accord, on the understanding that it may not be

suspended beyond the maximum transitional period of five years. If

the Joint Committee has not taken a decision within 30 days of its

application to review the schedule, the Palestinian Authority may

suspend the schedule provisionally for a period which may not exceed

one year.

4. If the charge is reduced erga omnes, the reduced charge shall

replace the basic charge described in paragraph 2 from the date on

which the reduction is applied.

5. The Palestinian Authority shall notify the Community of its basic

duties and charges.

 

Article 9

The provisions concerning the abolition of customs duties on imports

shall also apply to customs duties of a fiscal nature.

 

Article 10

1. By way of derogation from Articles 5 and 8, the Palestinian

Authority may take exceptional measures of limited duration to

introduce, increase or re-introduce customs duties.

2. Such measures may only apply to infant industries and to sectors

undergoing restructuring or experiencing serious difficulties,

particularly where those difficulties entail severe social problems.

3. Customs duties on imports into the West Bank and the Gaza Strip

of products originating in the Community that are introduced by such

exceptional measures may not exceed 25 % by value, and must retain a

preferential margin for products originating in the Community. The

total value of imports of the products subjected to such measures

may not exceed 15 % of total imports of industrial products

originating in the Community during the last year for which

statistics are available.

4. Such measures shall be applied for no longer than five years,

except where a longer duration is authorized by the Joint Committee.

5. The Palestinian Authority shall inform the Joint Committee of any

exceptional measures it intends to adopt and, at the Community's

request, consultations shall be held on the measures and sectors

concerned before they are implemented. When adopting such measures,

the Palestinian Authority shall provide the Committee with a

schedule for the abolition of the customs duties introduced pursuant

to this Article. Such schedules shall provide for the phasing out of

the duties concerned by equal annual instalments, starting no later

than the end of the second year following their introduction. The

Joint Committee may decide on a different schedule.

 

CHAPTER 2 AGRICULTURAL AND FISHERY PRODUCTS

 

Article 11

The provisions of this Chapter shall apply to products originating

in the Community and the West Bank and the Gaza Strip and listed in

Annex II to the Treaty establishing the European Community.

 

Article 12

The Community and the Palestinian Authority shall progressively

establish a greater liberalization of their trade in agricultural

and fishery products of interest to both Parties.

 

Article 13

1. Agricultural products originating in the West Bank and the Gaza

Strip listed in Protocol 1 on importation into the Community shall

be subject to the arrangements set out in that Protocol.

2. Agricultural products originating in the Community listed in

Protocol 2 on importation into the West Bank and the Gaza Strip

shall be subject to the arrangements set out in that Protocol.

 

Article 14

1. From 1 January 1999, the Community and the Palestinian Authority

shall examine the situation in order to determine the measures to be

applied by the Community and the Palestinian Authority from 1

January 2000, in accordance with the objective set out in Article

12.

2. Without prejudice to paragraph 1 and taking account of the volume

of trade in agricultural products between the Parties and of the

particular sensitivity of such products, the Community and the

Palestinian Authority shall examine in the Joint Committee, product

by product and on an orderly and reciprocal basis, the possibility

of granting each other further concessions.

 

CHAPTER 3 COMMON PROVISIONS

 

Article 15

1. No new quantitative restriction on imports or measures having

equivalent effect shall be introduced in trade between the Community

and the West Bank and Gaza Strip.

2. Quantitative restrictions on imports and measures having

equivalent effect in trade between the Community and the West Bank

and Gaza Strip shall be abolished from the entry into force of this

Agreement.

3. The Community and the Palestinian Authority shall not apply to

exports between themselves either customs duties or charges having

equivalent effect, or quantitative restrictions or measures having

equivalent effect.

 

Article 16

1. Products originating in the West Bank and the Gaza Strip shall

not, on importation into the Community, be accorded a treatment more

favourable than that which the Member States apply among themselves.

2. Application of the provisions of this Agreement shall be without

prejudice to Council Regulation (EEC) No 1911/91 of 26 June 1991 on

the application of the provision of Community law to the Canary

Islands.

 

Article 17

1. In the event of specific rules being introduced as a result of

the implementation of its agricultural policy or of any alteration

of the current rules or in the event of any alteration or extension

of the provisions relating to the implementation of its agricultural

policy, the Party concerned may amend the arrangements resulting

from the Agreement in respect of the products concerned.

2. In such cases the Party concerned shall inform the Joint

Committee. At the request of the other Party, the Joint Committee

shall meet to take due account of the interests of the other Party.

3. If the Community or the Palestinian Authority, in applying

paragraph 1, modifies the arrangements made by this Agreement for

agricultural products, they shall accord imports originating in the

other Party an advantage comparable to that provided for in this

Agreement.

4. The application of this Article may be the subject of

consultations in the Joint Committee.

 

Article 18

1. The 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 Parties may not

benefit from repayment of indirect internal taxation in excess of

the amount of indirect taxation imposed on them either directly or

indirectly.

 

Article 19

1. The Agreement shall not preclude the maintenance or establishment

of customs unions, free trade areas or arrangements for frontier

trade, except insofar as they alter the trade arrangements provided

for in this Agreement.

2. Consultation between the Parties shall take place within the

Joint Committee concerning agreements establishing customs unions or

free trade areas and, where requested, on other major issues related

to their respective trade policy with third countries. In

particular, in the event of a third country acceding to the European

Union, such consultation shall take place so as to ensure that

account can be taken of the mutual interests of this Parties.

 

Article 20

If one of the Parties finds that dumping is taking place in trade

with the other Party within the meaning of Article VI of GATT, it

may take appropriate measures against this practice in accordance

with the Agreement on implementation of Article VI of the GATT and

with its relevant internal legislation, under the conditions and in

accordance with the procedures laid down in Article 23 of this

Agreement.

 

Article 21

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 Party concerned may take appropriate measures under the

conditions and in accordance with the procedures laid down in

Article 23.

 

Article 22

Where compliance with the provisions of Article 15 (3) 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 referred to above 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 23. The measures

shall be non-discriminatory and be eliminated when conditions no

longer justify their maintenance.

 

Article 23

1. In the event of the Community or the Palestinian Authority

subjecting imports of products liable to give rise to the

difficulties referred to in Article 21 to an administrative

procedure, the purpose of which is to provide rapid information on

the trend of trade flows, it shall inform the other Party.

2. In the cases specified in Articles 20, 21 and 22, before taking

the measures provided for therein, or, as soon as possible in cases

to which paragraph 3 (d) of this Article applies, the Party in

question shall supply the Joint Committee 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 appropriate measures, priority must be given to

those which least disturb the functioning of the Agreement.

The safeguard measures shall be notified immediately to the Joint

Committee and shall be the subject of periodic consultations within

that Committee, particularly with a view to their abolition as soon

as circumstances permit.

3. For the implementation of paragraph 2, the following provisions

shall apply:

(a) As regards Article 20, the exporting Party 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 within the meaning of Article VI of GATT or no other

satisfactory solution has been reached within 30 days of the

notification being made, the importing Party may adopt the

appropriate measures.

(b) As regards Article 21, the difficulties arising from the

situation referred to in that Article shall be referred for

examination to the Joint Committee, which may take any decision

needed to put an end to such difficulties.

If the Joint Committee 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 shall not exceed the scope of

what is necessary to remedy the difficulties which have arisen.

(c) As regards Article 22, the difficulties arising from the

situations referred to in that Article shall be referred for

examination to the Joint Committee.

The Committee 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 Party concerned may, in the situations specified in Articles 20,

21 and 22 apply forthwith such precautionary measures as are

strictly necessary to remedy the situation, and shall inform the

other Party immediately.

 

Article 24

Nothing in this Agreement shall preclude prohibitions or

restrictions on imports, exports or goods in transit justified on

grounds of public morality, public policy or public security, of the

protection of health and life of humans, animals or plants, of the

protection of national treasures possessing artistic, historic or

archaeological value, of the protection of intellectual, industrial

and commercial property or of regulations concerning 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 25

The concept of 'originating products` for the application of the

provisions of the present Title and the methods of administrative

cooperation relating to them are set out in Protocol 3. The Joint

Committee may decide to make the necessary adaptations to this

Protocol with a view to the implementation of cumulation of origin

as agreed in the Declaration adopted at the Barcelona Conference.

 

Article 26

The combined nomenclature shall be used for the classification of

goods in the trade between the Parties.

 

TITLE II PAYMENTS, CAPITAL, COMPETITION, INTELLECTUAL PROPERTY AND

PUBLIC PROCUREMENT

 

CHAPTER 1 CURRENT PAYMENTS AND MOVEMENT OF CAPITAL

 

Article 27

Subject to the provisions of Article 29, the Parties undertake to

impose no restrictions on any current payments for current

transactions.

 

Article 28

1. With regard to transactions on the capital account of balance of

payments, the Parties undertake to impose no restrictions on the

movement of capital relating to direct investments in the West Bank

and Gaza Strip in companies formed in accordance with current laws,

nor on the liquidation and repatriation of the yield from such

investments, or any profit stemming therefrom.

2. The Parties shall consult each other with a view to facilitating

the movement of capital between the Community and the West Bank and

Gaza Strip.

 

Article 29

Where one or more Member States of the Community, or the Palestinian

Authority, is in serious balance of payments difficulties, or under

threat thereof, the Community or the Palestinian Authority, as the

case may be, may, in accordance with the conditions established

under the GATT and Articles VIII and XIV of the Articles of

Agreement of the International Monetary Fund, adopt restrictions on

current transactions which shall be of limited duration and may not

go beyond what is necessary to remedy the balance of payments

situation. The Community or the Palestinian Authority, as the case

may be, shall inform the other Party forthwith and shall submit to

it as soon as possible a timetable for the elimination of the

measures concerned.

 

CHAPTER 2 COMPETITION, INTELLECTUAL PROPERTY AND PUBLIC PROCUREMENT

 

Article 30

1. The following are incompatible with the proper functioning of the

Agreement, insofar as they may affect trade between the Community

and the Palestinian Authority:

(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 the West Bank and the Gaza Strip 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. The Parties shall, as appropriate, assess any practice contrary

to this Article on the basis of the criteria resulting from the

application of Community competition rules.

3. The Joint Committee shall, before 31 December 2001, adopt by

decision the necessary rules for the implementation of paragraphs 1

and 2.

Until these rules are adopted, the provisions of the Agreement on

Subsidies and Countervailing Measures shall be applied as the rules

for the implementation of paragraph 1 (iii) and the relevant parts

of paragraph 2.

4. As regards the implementation of paragraph 1 (iii), the Parties

recognize that the Palestinian Authority may wish to use, during the

period until 31 December 2001, public aid to undertakings as an

instrument to tackle its specific development problems.

5. 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.

6. With regard to products referred to in Title I, Chapter 2:

- paragraph 1 (iii) does not apply,

- any practices contrary to paragraph 1 (i) shall be assessed

according to the criteria established by the Community on the basis

of Articles 42 and 43 of the Treaty establishing the European

Community and in particular those established in Council Regulation

No 26/62.

7. If the Community or the Palestinian Authority considers that a

particular practice is incompatible with the terms of paragraph 1 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 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 Joint

Committee or after 30 working days following referral for such

consultation.

With reference to practices incompatible with paragraph 1 (iii) of

this Article, such appropriate measures, when the GATT is applicable

to them, may only be adopted in accordance with the procedures and

under the conditions laid down by GATT or by any other relevant

instrument negotiated under its auspices and applicable between the

Parties.

8. Notwithstanding any provisions to the contrary adopted in

accordance with paragraph 3, the Parties shall exchange information

taking into account the limitations imposed by the requirements of

professional and business secrecy.

 

Article 31

The Member States and the Palestinian Authority shall progressively

adjust, without prejudice to their commitments to the GATT where

appropriate, any State monopolies of a commercial character, so as

to ensure that, by 31 December 2001, no discrimination regarding the

conditions under which goods are procured and marketed exists

between nationals of the Member States and the Palestinian people of

the West Bank and Gaza Strip. The Joint Committee will be informed

about the measures adopted to implement this objective.

 

Article 32

With regard to public enterprises and enterprises to which special

or exclusive rights have been granted, the Joint Committee shall

ensure that by 31 December 2001 there is neither enacted nor

maintained any measure distorting trade between the Community and

the Palestinian Authority contrary to the Parties' interests. This

provision should not obstruct the performance in law or in fact of

the particular tasks assigned to those undertakings.

 

Article 33

1. The Parties shall grant and ensure adequate and effective

protection of intellectual, industrial and commercial property

rights in accordance with the highest international standards,

including effective means of enforcing such rights.

2. The implementation of this Article shall be regularly reviewed by

the Parties. If problems in the area of intellectual, industrial and

commercial property affecting trading conditions occur, urgent

consultations shall be undertaken within the framework of the Joint

Committee, at the request of either Party, with a view to reaching

mutually satisfactory solutions.

 

Article 34

1. The Parties agree on the objective of reciprocal and gradual

liberalization of public procurement contracts.

2. The Joint Committee shall take the necessary measures to

implement paragraph 1.

 

TITLE III ECONOMIC COOPERATION AND SOCIAL DEVELOPMENT

 

Article 35 Objectives

1. The Parties undertake to intensify economic cooperation in their

mutual interest and in accordance with the overall objectives of

this Agreement.

2. The aim of cooperation shall be to support the Palestinian

Authority's own efforts to achieve sustainable economic and social

development.

 

Article 36 Scope

1. Cooperation shall focus primarily on sectors suffering from

internal difficulties or affected by the overall process of

liberalization of the economy of the West Bank and the Gaza Strip,

and in particular by the liberalization of trade between the West

Bank and the Gaza Strip and the Community.

2. Similarly, cooperation shall focus on areas likely to bring the

economies of the Community and the West Bank and Gaza Strip closer

together, particularly those which will generate sustainable growth

and employment.

3. Cooperation shall encourage the implementation of measures

designed to develop intra-regional cooperation.

4. Conservation of the environment and ecological balance shall be

taken into account in the implementation of the various sectors of

economic cooperation to which it is relevant.

5. The Parties may agree to extend economic cooperation to other

sectors not covered by the provisions of this Title.

 

Article 37 Methods and modalities

Economic cooperation shall be implemented in particular by:

(a) a regular economic dialogue between the Parties, which covers

all areas of macro-economic policy and in particular budgetary

policy, the balance of payments and monetary policy;

(b) regular exchange of information and ideas in every sector of

cooperation including meetings of officials and experts;

(c) transfer of advice, expertise and training;

(d) implementation of joint actions such as seminars and workshops;

(e) technical, administrative and regulatory assistance;

(f) encouragement of joint ventures;

(g) dissemination of information on cooperation.

 

Article 38 Industrial cooperation

The main aim will be to:

- support the Palestinian Authority, in its efforts to modernize and

diversify industry and, in particular, to create an environment

favourable to private sector and industrial development,

- foster cooperation between the two Parties' economic operators,

- foster cooperation regarding industrial policy, competitiveness in

an open economy and the modernization and development of industry,

- support policies to diversify production and exports and external

outlets,

- promote research and development, innovation and technology

transfer as far as they benefit industry,

- develop and enhance the human resources required by industry,

- facilitate access to venture and risk financing facilities for the

benefit of Palestinian industry.

 

Article 39 Investment promotion and investment

The objective of cooperation will be the creation of a favourable

and stable environment for investment in the West Bank and Gaza

Strip.

Cooperation will take the form of promotion of investment. This will

entail the development of:

- harmonized and simplified administrative procedures,

- co-investment machinery, especially for small and medium-sized

enterprises (SMEs) of both Parties,

- information channels and means of identifying investment

opportunities,

- an environment conducive to investment in the West Bank and the

Gaza Strip.

Cooperation may also extend to the conception and implementation of

projects demonstrating the effective acquisition and use of basic

technologies, the use of standards, the development of human

resources (e.g. in technologies and management) and the creation of

jobs.

 

Article 40 Standardization and conformity assessment

The objective of cooperation will be to narrow the gap in standards

and certification.

In practical terms cooperation will take the form of:

- the promotion of the use of Community technical regulations and

European standards and conformity assessment procedures,

- raising the level of conformity assessment by Palestinian

certification and accreditation bodies,

- discussing mutual recognition arrangements, where appropriate,

- cooperating in the field of quality management,

- developing structures for the protection of intellectual,

individual and commercial property, for standardization and for

setting quality standards.

 

Article 41 Approximation of laws

The objective of cooperation will be to approximate Palestinian

Council legislation to that of the Community, in the areas covered

by the Agreement.

 

Article 42 Small and medium-sized enterprises

The objective of cooperation will be the creation of an environment

propitious to the development of SMEs on local and export markets

through, inter alia:

- promotion of contacts between enterprises, in particular through

recourse to the Community's networks and instruments for the

promotion of industrial cooperation and partnership,

- easier access to investment finance,

- information and support services,

- enhancement of human resources with the aim of stimulating

innovation and the setting-up of projects and business ventures.

 

Article 43 Financial services

The objective of cooperation will be the improvement and development

of financial services.

It will take the form of:

- encouraging the strengthening and restructuring of the Palestinian

financial sector,

- improving Palestinian accounting, supervisory and regulatory

systems of banking, insurance and other parts of the financial

sector.

 

Article 44 Agriculture and fisheries

The objective of cooperation under this heading will mainly be the

modernization and restructuring, where necessary, of agriculture and

fisheries.

This includes modernization of infrastructures and of equipment; the

development of packaging, storage and marketing techniques; and the

improvement of distribution channels.

It will be geared more especially to:

- the development of stable markets,

- support for policies to diversify production and exports and

external outlets,

- reduction of food dependency,

- promotion of environment-friendly agriculture and fisheries,

taking particular account of the need for conservation and rational

management of fisheries,

- closer relations on a voluntary basis between business groups and

organizations representing trades and professions,

- technical assistance and training,

- harmonization of phytosanitary and veterinary standards,

- integrated rural development including improvement of basic

services and the development of associated economic activities, and

- cooperation among rural regions and exchange of experience and

know-how concerning rural development.

 

Article 45 Social development

The Parties acknowledge the importance of social development which

should go hand-in-hand with any economic development. They give

particular priority to respect for basic social rights.

The Parties will give priority to measures aimed at:

- the promotion of the equality of women and a balanced

participation in the decision-making process in the economic and

social sphere, notably through education and the media,

- the development of family planning and the protection of mothers

and children,

- improving the social protection system,

- improving the response to health requirements,

- improving the living conditions in densely populated areas in

less-favoured regions,

- promoting respect for human rights and democracy, inter alia

through socio-professional dialogue.

 

Article 46 Transport

The objectives of cooperation will be:

- aid for restructuring and modernizing roads, ports and airports,

- improved passenger and freight services both at bilateral and

regional level, and

- the establishment and enforcement of operating standards

comparable to those prevailing in the Community.

The priority areas of cooperation will be:

- road transport including a gradual easing of transit requirements,

- management of railways, ports and airports including navigation

systems and cooperation between the relevant national bodies,

- modernization of road, rail, port and airport infrastructure on

major routes of common interest,

- trans-European links and routes of regional interest, and

- upgrading of technical equipment to bring it up to Community

standards for road/rail transport, container traffic and

transhipment.

 

Article 47 Information infrastructure and telecommunications

Cooperation shall aim at stimulating economic and social development

as well as developing an information society.

The priority areas of cooperation will be:

- to facilitate collaboration in the field of telecommunications

policy, network development and infrastructures for an information

society,

- to develop a dialogue on issues related to the information society

and to promote the exchange of information and the organization of

seminars and conferences in this area,

- to promote and implement joint projects aimed at the introduction

of new telecommunications services and applications related to the

information society,

- to allow for information exchange on standardization, conformance

testing, and certification in information and communications

technologies,

- interconnection and interoperability of networks and telematics

services.

 

Article 48 Energy

The objective of cooperation on energy will be to help the West Bank

and Gaza Strip acquire the technologies and infrastructures

essential to its development, particularly with a view to

facilitating links between its economy and that of the Community.

The priority areas of cooperation will be:

- the promotion of renewable energies,

- the promotion of energy-saving and energy efficiency,

- support to operations designed to facilitate the transit of gas,

oil and electricity, and applied research into data bank networks in

the economic and social sectors linking Community and Palestinian

operators in particular, and

- support for the modernization and development of energy networks

and for their link-up to Community networks.

 

Article 49 Scientific and technological cooperation

The Parties will endeavour to promote cooperation on scientific and

technological development.

The aim of cooperation shall be to:

(a) encourage the establishment of permanent links between the

Parties' scientific communities, notably by means of:

- providing Palestinian institutions with access to Community

research and technological development programmes in accordance with

Community rules governing non-Community countries' involvement in

such programmes,

- Palestinian participation in networks of decentralized

cooperation,

- promoting synergy in training and research;

(b) improve Palestinian research capabilities;

(c) stimulate technological innovation and the transfer of new

technology and know-how;

(d) encourage all activities aimed at establishing synergy at

regional level.

 

Article 50 Environment

The objectives of cooperation will be to prevent deterioration of

the environment, to control pollution, to protect human health and

to ensure the rational use of natural resources with a view to

promoting sustainable development.

It will place priority on matters relating to: desertification,

water resource management, salinization, the impact of agriculture

on soil and water quality, the appropriate use of energy, the impact

of industrial development in general and the safety of industrial

plant in particular, waste management, the integrated management of

sensitive areas, the quality of sea water and the control and

prevention of marine pollution, and environmental education and

awareness.

Cooperation shall be fostered by the use of advanced tools of

environmental management, environmental monitoring methods, and

surveillance, including the use of environmental information systems

(EIS) and environmental impact assessment (EIA).

 

Article 51 Tourism

Priorities for cooperation shall be:

- promoting investments in tourism,

- improving the knowledge of the tourist industry and ensuring

greater consistency of policies affecting tourism,

- promoting a good seasonal spread of tourism,

- promoting cooperation between regions and cities of neighbouring

countries,

- highlighting the importance of the cultural heritage for tourism,

- making tourism more competitive through support for increased

professionalism ensuring the balanced and sustainable development of

tourism.

 

Article 52 Customs cooperation

Customs cooperation is intended to ensure that the provisions on

trade are observed and to guarantee fair trading.

It could give rise to the following types of cooperation:

- various forms of exchange of information and training schemes,

- simplification of controls and procedures concerning the customs

clearance of goods,

- introduction of the single administrative document and a system to

link up the Community's and the Palestinian Authority's transit

arrangements, and

- technical assistance provided by experts from the Community.

Without prejudice to other forms of cooperation provided for in this

Agreement, the administrative authorities of the Parties will

provide each other with mutual assistance on customs matters.

 

Article 53 Cooperation on statistics

The main objective of cooperation in this domain should aim to

ensure the comparability and usefulness of statistics on foreign

trade, finance and balance of payments, population, migration,

transport and communications, and generally all the fields which are

covered by this Agreement and lend themselves to the establishment

of statistics.

 

Article 54 Cooperation on economic policy

Cooperation is aimed at:

- the exchange of information on the macro-economic situation and

prospects and development strategies,

- joint analysis of economic issues of mutual interest, and

- the encouragement of cooperation between economists and policy

makers in the West Bank and the Gaza Strip and in the Community.

 

Article 55 Regional cooperation

As part of the implementation of economic cooperation in the various

spheres, the Parties will encourage operations designed to develop

cooperation between the Palestinian Authority and other

Mediterranean partners, through technical support.

This cooperation will be an important element of the Community's

support for the development of the region as a whole.

Priority will be given to operations aimed at:

- promoting intra-regional trade,

- developing regional cooperation on the environment,

- encouraging the development of the communications infrastructure

required for the economic development of the region,

- strengthening the development of youth cooperation with

neighbouring countries.

In addition the Parties will strengthen cooperation between them on

regional development and land-use planning.

To this end the following measures may be taken:

- joint action by regional and local authorities in the area of

economic development, and

- the establishment of mechanisms for the exchange of information

and experience.

 

TITLE IV COOPERATION ON AUDIO-VISUAL AND CULTURAL MATTERS,

INFORMATION AND COMMUNICATION

 

Article 56

The Parties shall promote cooperation in the audio-visual sector to

their mutual benefit. The Parties shall seek ways of associating the

Palestinian Authority with Community initiatives in this sector,

thus enabling cooperation in areas such as co-production, training,

development and distribution.

 

Article 57

The Parties shall promote cultural cooperation. The area of

cooperation may include Community activities concerning, in

particular, translation, exchange of works of art and artists,

conservation and restoration of historic and cultural monuments and

sites, training of persons working in the cultural field, the

organization of European-oriented cultural events, raising mutual

awareness and contributing to the dissemination of information on

outstanding cultural events.

 

Article 58

The Parties will undertake to determine how to improve significantly

the education and vocational training situation. To this end, the

access of women to education, including technical courses, higher

education and vocational training, will receive special attention.

In order to develop the level of expertise of senior staff in the

public and private sectors, the Parties will step up their

cooperation on education and vocational training and cooperation

between universities and firms.

Preparing young people to become active citizens in democratic civil

society should be actively promoted. Youth cooperation, including

training of youth workers and youth leaders, youth exchanges and

voluntary service activities, could therefore be supported and

developed.

Special attention will be paid to operations and programmes which

will enable permanent links (MED-CAMPUS, for instance) to be

established between specialized bodies in the Community and in the

West Bank and Gaza Strip, such as will encourage the pooling and

exchange of experience and technical resources.

 

Article 59

The Parties shall promote activities of mutual interest in the field

of information and communication.

 

Article 60

Cooperation shall be implemented in particular through:

(a) a regular dialogue between the Parties;

(b) regular exchange of information and ideas in every sector of

cooperation including meetings of officials and experts;

(c) transfer of advice and experience and training of young

Palestinian graduates;

(d) implementation of joint actions such as seminars and workshops;

(e) technical, administrative and regulatory assistance;

(f) the dissemination of information on cooperation activities.

 

TITLE V FINANCIAL COOPERATION

Article 61

In order to achieve the objectives of this Agreement, a financial

cooperation package shall be made available to the Palestinian

Authority in accordance with the appropriate procedures and the

financial resources required.

These procedures shall be agreed by both Parties using the most

appropriate instruments after this Agreement has entered into force.

Financial cooperation shall focus on:

- responding to the economic repercussions for the West Bank and the

Gaza Strip of the gradual introduction of a free trade area, notably

by upgrading and restructuring industry,

- trade institutions which promote trading links with foreign

markets,

- accompanying measures for policies implemented in the social

sector,

- upgrading economic and social infrastructure,

- promoting private investment and job-creating activities in the

productive sectors,

- promoting reforms designed to modernize the economy,

- services,

- urban and rural development,

- the environment,

- the setting-up and improvement of institutions necessary for the

proper working of the Palestinian public administration and the

advancement of democracy and human rights.

 

Article 62

In order to ensure that a coordinated approach is adopted to any

exceptional macro-economic and financial problems that might arise

as a result of the implementation of this Agreement, the Parties

shall use the regular economic dialogue provided for in Title III to

give particular attention to monitoring trade and financial flows in

relations between them.

 

TITLE VI INSTITUTIONAL, GENERAL AND FINAL PROVISIONS

 

Article 63

1. A Joint Committee for European Community-Palestinian Authority

trade and cooperation, referred to in this Agreement as 'the Joint

Committee`, is hereby established. It shall have the power to take

decisions in the cases provided for in the Agreement as well as in

other cases necessary for the purpose of attaining the objectives

set out in the Agreement.

The decisions taken shall be binding on the Parties, which shall

take such measures as are required to implement them.

2. The Joint Committee may also formulate any resolutions,

recommendations or opinions which it considers desirable for the

attainment of the common objectives and the smooth functioning of

the Agreement.

3. The Joint Committee shall adopt its own rules of procedure.

 

Article 64

1. The Joint Committee shall be composed of representatives of the

Community and of the Palestinian Authority.

2. The Joint Committee shall act by mutual agreement between the

Community and the Palestinian Authority.

 

Article 65

1. The office of Chairman of the Joint Committee shall be held

alternately by the Community and the Palestinian Authority in

accordance with the conditions laid down in the rules of procedure.

2. The Joint Committee shall meet once a year and when circumstances

require, on the initiative of its Chairman.

 

Article 66

1. The Joint Committee may decide to set up any other committee that

can assist it in carrying out its duties.

2. The Joint Committee shall determine the composition and duties of

such committees and how they shall function.

 

Article 67

1. Either Party may refer to the Joint Committee any dispute

relating to the application or interpretation of this Agreement.

2. The Joint Committee may settle the dispute by means of a

decision.

3. Each Party shall be bound to take 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.

The Joint Committee 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 arbitrator.

 

Article 68

Nothing in the Agreement shall prevent a 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, munitions

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 69

In the fields covered by this Agreement and without prejudice to any

special provisions contained therein:

- the arrangements applied by the Palestinian Authority 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 the

Palestinian Authority shall not give rise to discrimination between

members of the Palestinian population, companies or firms of the

West Bank and Gaza Strip.

 

Article 70

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 Joint Committee 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 Joint Committee and shall be the

subject of consultations within the Joint Committee if the other

Party so requests.

 

Article 71

Annexes 1 to 3 and Protocols 1 to 3 shall form an integral part of

this Agreement.

Declarations shall appear in the Final Act, which shall form an

integral part of this Agreement.

 

Article 72

For the purpose of this Agreement the term 'Parties` shall mean the

PLO for the benefit of the Palestinian Authority and the Community,

which shall each act in accordance with their respective powers.

 

Article 73

This Agreement shall apply, on the one hand, to the territories in

which the Treaty establishing the European Community is applied and

under the conditions laid down in that Treaty and, on the other

hand, to the territory of the West Bank and the Gaza Strip.

 

Article 74

This Agreement, drawn up in duplicate in the Danish, Dutch, English,

Finnish, French, German, Greek, Italian, Portuguese, Spanish,

Swedish, and Arabic languages, each of these texts being equally

authentic, shall be deposited with the General Secretariat of the

Council of the European Union.

 

Article 75

1. 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 month

following the date on which the Parties notify each other that the

procedures referred to in the first paragraph have been completed.

2. No later than 4 May 1999 negotiations shall commence with a view

to concluding a Euro-Mediterranean Association Agreement. Until such

an Agreement is concluded, this Agreement shall remain in force,

subject to any amendments agreed between the Parties.

3. Each of the Parties may denounce this Agreement by notifying the

other Party. The Agreement shall cease to apply six months after the

date of such notification.

 

Hecho en Bruselas, el veinticuatro de febrero de mil novecientos

noventa y siete.

Udfördiget i Bruxelles den fireogtyvende februar nitten hundrede og

syv og halvfems.

Geschehen zu BrŽssel am vierundzwanzigsten Februar

neunzehnhundertsiebenundneunzig.

øółżõ ėĮłĖ ĀęįžąūūõĖ, ėĮłĖ õčś˙ėł ĮąėėõęłĖ Öõņę˙įńęč˙į ščūłń

õżżłńśŽėłń õżõżČżĮń õĘĮĄ.

Done at Brussels on the twenty-fourth day of February in the year

one thousand nine hundred and ninety-seven.

Fait š Bruxelles, le vingt-quatre fłvrier mil neuf cent

quatre-vingt-dix-sept.

Fatto a Bruxelles, addü ventiquattro febbraio

millenovecentonovantasette.

Gedaan te Brussel, de vierentwintigste februari negentienhonderd

zevenennegentig.

Feito em Bruxelas, em vinte e quatro de Fevereiro de mil novecentos

e noventa e sete.

Tehty Brysselissō kahdentenakymmenentenōneljōntenō pōivōnō

helmikuuta vuonna tuhatyhdeksōnsataayhdeksōnkymmentōseitsemōn.

Som skedde i Bryssel den tjugofjōrde februari nittonhundranittiosju.

>REFERENCE TO A GRAPHIC>

Por la Comunidad Europea

For Det Europöiske Föllesskab

FŽr die Europōische Gemeinschaft

Ćłń Į÷ż ÅįęųĘńŪśČ Ź˙łżŽĮ÷Įń

For the European Community

Pour la Communautł europłenne

Per la Comunitš europea

Voor de Europese Gemeenschap

Pela Comunidade Europeia

Euroopan yhteisŠn puolesta

Põ Europeiska gemenskapens vōgnar

>REFERENCE TO A GRAPHIC>

>REFERENCE TO A GRAPHIC>

 

 

 

ANNEX 1

>TABLE POSITION>

 

 

 

ANNEX 2

>TABLE POSITION>

 

 

 

ANNEX 3

>TABLE POSITION>

 

 

 

PROTOCOL 1 on the arrangements applying to imports into the

Community of agricultural products originating in the West Bank and

the Gaza Strip

 

Article 1

1. The products listed in the Annex, originating in the West Bank

and the Gaza Strip, shall be admitted for import into the Community

in accordance with the conditions set out below and in the Annex.

2. Import duties shall be either eliminated or reduced by the

percentage indicated in respect of each product in column A.

Where the Common Customs Tariff provides for the application of ad

valorem customs duties and a specific customs duty in respect of

certain products, the rates of reduction shown in column A and in

column C, as referred to in paragraph 3, shall apply only to the ad

valorem customs duty.

3. The customs duties shall be eliminated in respect of certain

products within the limits of the tariff quotas shown against them

in column B.

The Common Customs Tariff duties in respect of the quantities

imported in excess of the quotas shall be reduced by the percentage

indicated in column C.

4. The reference quantities fixed in respect of certain other

products exempt from customs duties are shown in column D.

Where imports of a product exceed the reference quantities, the

Community may, having regard to an annual review of trade flows

which it shall carry out, make the product concerned subject to a

Community tariff quota the volume of which shall be equal to the

reference quantity. In such a case, for quantities imported in

excess of the quota, the common customs tariff duty shall, according

to the product concerned, be applied in full or reduced, as

indicated in column C.

5. For some of the products other than those referred to in

paragraphs 3 and 4, the Community may fix a reference quantity as

provided for in paragraph 4 if, in the light of the annual review of

trade which it shall carry out, it establishes that the volume of

imports may cause difficulties on the Community market. If,

subsequently, the product is subject to a tariff quota under the

conditions set out in paragraph 4, the Common Customs Tariff duty

shall be applied in full or reduced, depending on the product

concerned, by the percentage shown in column C in respect of the

quantities imported in excess of the quota.

 

 

 

 

ANNEX TO PROTOCOL 1

>TABLE POSITION>

 

 

 

PROTOCOL 2 on the arrangements applying to imports into the West

Bank and the Gaza Strip of agricultural products originating in the

Community

1. The products listed in the Annex originating in the Community

shall be admitted for importation into the West Bank and the Gaza

strip according to the conditions contained herein and in the Annex.

2. Import duties on imports shall be either eliminated or reduced to

the level indicated in column 'A`, within the limit of the tariff

quota listed in column 'B`, and subject to the specific provisions

indicated in column 'C`.

3. For the quantities imported in excess of the tariff quotas, the

general customs duties applied to third countries will apply,

subject to the specific provisions indicated in column 'C`.

4. For cheese and curd, the tariff quota shall be increased from 1

January 1997 to 1 January 2000 on the basis of four equal

instalments, each corresponding to 10 % of this amount.

 

 

 

ANNEX TO PROTOCOL 2

>TABLE POSITION>

 

 

 

PROTOCOL 3 concerning the definition of the concept of 'originating

products` and methods of administrative cooperation

 

TABLE OF CONTENTS

TITLE I GENERAL PROVISIONS

Article 1 Definitions

TITLE II DEFINITION OF THE CONCEPT OF 'ORIGINATING PRODUCTS`

Article 2 General requirements

Article 3 Bilateral cumulation of origin

Article 4 Wholly obtained products

Article 5 Sufficiently worked or processed products

Article 6 Insufficient working or processing operations

Article 7 Unit of qualification

Article 8 Accessories, spare parts and tools

Article 9 Sets

Article 10 Neutral elements

TITLE III TERRITORIAL REQUIREMENTS

Article 11 Principle of territoriality

Article 12 Direct transport

Article 13 Exhibitions

TITLE IV DRAWBACK OR EXEMPTION

Article 14 Prohibition of drawback of, or exemption from, customs

duties

TITLE V PROOF OF ORIGIN

Article 15 General requirements

Article 16 Procedure for the issue of a movement certificate EUR.1

Article 17 Movement certificates EUR.1 issued retrospectively

Article 18 Issue of a duplicate movement certificate EUR.1

Article 19 Issue of movement certificates EUR.1 on the basis of a

proof of origin issued or made out previously

Article 20 Conditions for making out an invoice declaration

Article 21 Approved exporter

Article 22 Validity of proof of origin

Article 23 Submission of proof of origin

Article 24 Importation by instalments

Article 25 Exemptions from proof of origin

Article 26 Supporting documents

Article 27 Preservation of proof of origin and supporting documents

Article 28 Discrepancies and formal errors

Article 29 Amounts expressed in ecu

TITLE VI ARRANGEMENTS FOR ADMINISTRATIVE COOPERATION

Article 30 Mutual assistance

Article 31 Verification of proofs of origin

Article 32 Dispute settlement

Article 33 Penalties

Article 34 Free zones

TITLE VII CEUTA AND MELILLA

Article 35 Application of the Protocol

Article 36 Special conditions

TITLE VIII FINAL PROVISIONS

Article 37 Amendments to the Protocol

Article 38 Implementation of the Protocol

Article 39 Goods in transit or in storage

ANNEXES

Annex I Introductory notes to the list in Annex II

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

Annex III Movement certificate EUR.1 and application for a movement

certificate EUR.1

Annex IV Invoice declaration

 

TITLE I GENERAL PROVISIONS

 

Article 1 Definitions

For the purposes of this Protocol:

(a) 'manufacture` means any kind of working or processing including

assembly or specific operations;

(b) 'material` means any ingredient, raw material, component or

part, etc., used in the manufacture of the product;

(c) 'product` means the product being manufactured, even if it is

intended for later use in another manufacturing operation;

(d) 'goods` means both materials and products;

(e) 'customs value` means the value as determined in accordance with

the 1994 Agreement on implementation of Article VII of the General

Agreement on Tariffs and Trade (WTO Agreement on customs valuation);

 

(f) 'ex-works price` means the price paid for the product ex works

to the manufacturer in the Community or the West Bank and Gaza Strip

in whose undertaking the last working or processing is carried out,

provided the price includes the value of all the materials used,

minus any internal taxes which are, or may be, repaid when the

product obtained is exported;

(g) 'value of materials` means the customs value at the time of

importation of the non-originating materials used, or, if this is

not known and cannot be ascertained, the first ascertainable price

paid for the materials in the Community or the West Bank and Gaza

Strip;

(h) 'value of originating materials` means the value of such

materials as defined in subparagraph (g) applied mutatis mutandis;

(i) 'added value` shall be taken to be the ex-works price minus the

customs value of each of the products incorporated which did not

originate in the country in which those products were obtained;

(j) 'chapters` and 'headings` mean the chapters and the headings

(four-digit codes) used in the nomenclature which makes up the

Harmonized Community Description and Coding System, referred to in

this Protocol as 'the Harmonized System` or 'HS`;

(k) 'classified` refers to the classification of a product or

material under a particular heading;

(l) 'consignment` means products which are either sent

simultaneously from one exporter to one consignee or covered by a

single transport document covering their shipment from the exporter

to the consignee or, in the absence of such a document, by a single

invoice;

(m) 'territories` includes territorial waters.

 

TITLE II DEFINITION OF THE CONCEPT OF 'ORIGINATING PRODUCTS`

 

Article 2 General requirements

1. For the purpose of implementing this Agreement, the following

products shall be considered as originating in the Community:

(a) products wholly obtained in the Community within the meaning of

Article 4 of this Protocol;

(b) products obtained in the Community incorporating materials which

have not been wholly obtained there, provided that such materials

have undergone sufficient working or processing in the Community

within the meaning of Article 5 of this Protocol.

2. For the purpose of implementing this Agreement, the following

products shall be considered as originating in the West Bank and

Gaza Strip:

(a) products wholly obtained in the West Bank and Gaza Strip within

the meaning of Article 4 of this Protocol;

(b) products obtained in the West Bank and Gaza Strip incorporating

materials which have not been wholly obtained there, provided that

such materials have undergone sufficient working or processing in

the West Bank and Gaza Strip within the meaning of Article 5 of this

Protocol.

 

Article 3 Bilateral cumulation of origin

1. Materials originating in the Community shall be considered as

materials originating in the West Bank and Gaza Strip when

incorporated into a product obtained there. It shall not be

necessary that such materials have undergone sufficient working or

processing, provided they have undergone working or processing going

beyond that referred to in Article 6 (1) of this Protocol.

2. Materials originating in the West Bank and Gaza Strip shall be

considered as materials originating in the Community when

incorporated into a product obtained there. It shall not be

necessary that such materials have undergone sufficient working or

processing, provided they have undergone working or processing going

beyond that referred to in Article 6 (1) of this Protocol.

 

Article 4 Wholly obtained products

1. The following shall be considered as wholly obtained in the

Community or the West Bank and Gaza Strip:

(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

outside the territorial waters of the Community or the West Bank and

Gaza Strip 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, including used tyres fit only for retreading or for use

as waste;

(i) waste and scrap resulting from manufacturing operations

conducted there;

(j) products extracted from marine soil or subsoil outside their

territorial waters provided that they have sole rights to work that

soil or subsoil;

(k) goods produced there exclusively from the products specified in

subparagraphs (a) to (j).

2. The terms 'their vessels` and 'their factory ships` in paragraph

1 (f) and (g) shall apply only to vessels and factory ships:

(a) which are registered or recorded in an EC Member State or in the

West Bank and Gaza Strip;

(b) which sail under the flag of an EC Member State or of the West

Bank and Gaza Strip;

(c) which are owned to an extent of at least 50 % by nationals of EC

Member States or of the West Bank and Gaza Strip, or by a company

with its head office in one of these States, 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 EC Member States or of the West Bank and Gaza Strip and of which,

in addition, in the case of partnerships or limited companies, at

least half the capital belongs to those States or to public bodies

or nationals of the said States;

(d) of which the master and officers are nationals of EC Member

States or of the West Bank and Gaza Strip; and

(e) of which at least 75 % of the crew are nationals of EC Member

States or of the West Bank and Gaza Strip.

 

Article 5 Sufficiently worked or processed products

1. For the purposes of Article 2, products which are not wholly

obtained are considered to be sufficiently worked or processed when

the conditions set out in the list in Annex II are fulfilled.

The conditions referred to above indicate, for all products covered

by this Agreement, the working or processing which must be carried

out on non-originating materials used in manufacturing and apply

only in relation to such materials. Accordingly, it follows that if

a product, which has acquired originating status by fulfilling the

conditions set out in the list is used in the manufacture of another

product, the conditions applicable to the product in which it is

incorporated do not apply to it, and no account shall be taken of

the non-originating materials which may have been used in its

manufacture.

2. Notwithstanding paragraph 1, non-originating materials which,

according to the conditions set out in the list, should not be used

in the manufacture of a product may nevertheless be used, provided

that:

(a) their total value does not exceed 10 % of the ex-works price of

the product;

(b) any of the percentages given in the list for the maximum value

of non-originating materials are not exceeded through the

application of this paragraph.

This paragraph shall not apply to products falling within Chapters

50 to 63 of the Harmonized System.

3. Paragraphs 1 and 2 shall apply except as provided in Article 6.

 

Article 6 Insufficient working or processing operations

1. Without prejudice to paragraph 2, the following operations shall

be considered as insufficient working or processing to confer the

status of originating products, whether or not the requirements of

Article 5 are satisfied:

(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

packages;

(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 mixtures do not meet the

conditions laid down in this Protocol to enable them to be

considered as originating in the Community or the West Bank and Gaza

Strip;

(f) simple assembly of parts to constitute a complete product;

(g) a combination of two or more operations specified in

subparagraphs (a) to (f);

(h) slaughter of animals.

2. All the operations carried out in either the Community or the

West Bank and Gaza Strip on a given product shall be considered

together when determining whether the working or processing

undergone by that product is to be regarded as insufficient within

the meaning of paragraph 1.

 

Article 7 Unit of qualification

1. The unit of qualification for the application of the provisions

of this Protocol shall be the particular product which is considered

as the basic unit when determining classification using the

nomenclature of the Harmonized System.

Accordingly, it follows that:

(a) 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;

(b) 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 provisions of

this Protocol.

2. Where, under General Rule 5 of the Harmonized System, packaging

is included with the product for classification purposes, it shall

be included for the purposes of determining origin.

 

Article 8 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 which are not

separately invoiced, shall be regarded as one with the piece of

equipment, machine, apparatus or vehicle in question.

 

Article 9 Sets

Sets, as defined in General Rule 3 of the Harmonized System, shall

be regarded as originating when all component products are

originating. Nevertheless, when a set is composed of originating and

non-originating products, the set as a whole shall be regarded as

originating, provided that the value of the non-originating products

does not exceed 15 % of the ex-works price of the set.

 

Article 10 Neutral elements

In order to determine whether a product originates, it shall not be

necessary to determine the origin of the following which might be

used in its manufacture:

(a) energy and fuel;

(b) plant and equipment;

(c) machines and tools;

(d) goods which do not enter and which are not intended to enter

into the final composition of the product.

 

TITLE III TERRITORIAL REQUIREMENTS

 

Article 11 Principle of territoriality

1. The conditions set out in Title II relative to the acquisition of

originating status must be fulfilled without interruption in the

Community or the West Bank and Gaza Strip.

2. If originating goods exported from the Community or the West Bank

and Gaza Strip to another country are returned, they must be

considered as non-originating, unless it can be demonstrated to the

satisfaction of the customs authorities that:

(a) the goods returned are the same goods as those exported; and

(b) they have not undergone any operation beyond that necessary to

preserve them in good condition while in that country or while being

exported.

 

Article 12 Direct transport

1. The preferential treatment provided for under the Agreement

applies only to products, satisfying the requirements of this

Protocol, which are transported directly between the Community and

the West Bank and Gaza Strip. However, products constituting one

single consignment may be transported through other territories

with, should the occasion arise, transhipment or temporary

warehousing in such territories, provided that they remain under the

surveillance of the customs authorities in the country of transit or

warehousing and do not undergo operations other than unloading,

reloading or any operation designed to preserve them in good

condition.

Originating products may be transported by pipeline across territory

other than that of the Community or the West Bank and Gaza Strip.

2. Evidence that the conditions set out in paragraph 1 have been

fulfilled shall be supplied to the customs authorities of the

importing country by the production of:

(a) a single transport document covering the passage from the

exporting country through the country of transit; or

(b) a certificate issued by the customs authorities of the country

of transit:

(i) giving an exact description of the products;

(ii) stating the dates of unloading and reloading of the products

and, where applicable, the names of the ships, or the other means of

transport used; and

(iii) certifying the conditions under which the products remained in

the transit country; or

(c) failing these, any substantiating documents.

 

Article 13 Exhibitions

1. Originating products, sent for exhibition in another country and

sold after the exhibition for importation in the Community or the

West Bank and Gaza Strip shall benefit on importation from the

provisions of the Agreement provided it is shown to the satisfaction

of the customs authorities that:

(a) an exporter has consigned these products from the Community or

the West Bank and Gaza Strip 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 a person in the Community or the West Bank and Gaza

Strip;

(c) the products have been consigned during the exhibition or

immediately thereafter in the state in which they were sent for

exhibition; and

(d) the products have not, since they were consigned for exhibition,

been used for any purpose other than demonstration at the

exhibition.

2. A proof of origin must be issued or made out in accordance with

the provisions of Title V and submitted to the customs authorities

of the importing country in the normal manner. The name and address

of the exhibition must be indicated thereon. Where necessary,

additional documentary evidence of 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.

 

TITLE IV DRAWBACK OR EXEMPTION

 

Article 14 Prohibition of drawback of, or exemption from, customs

duties

1. Non-originating materials used in the manufacture of products

originating in the Community or in the West Bank and Gaza Strip for

which a proof of origin is issued or made out in accordance with the

provisions of Title V shall not be subject in the Community or the

West Bank and Gaza Strip to drawback of, or exemption from, customs

duties of whatever kind.

2. The prohibition in paragraph 1 shall apply to any arrangement for

refund, remission or non-payment, partial or complete, of customs

duties or charges having an equivalent effect, applicable in the

Community or the West Bank and Gaza Strip to materials used in the

manufacture, where such refund, remission or non-payment applies,

expressly or in effect, when products obtained from the said

materials are exported and not when they are retained for home use

there.

3. The exporter of products covered by a proof of origin shall be

prepared to submit at any time, upon request from the customs

authorities, all appropriate documents proving that no drawback has

been obtained in respect of the non-originating materials used in

the manufacture of the products concerned and that all customs

duties or charges having equivalent effect applicable to such

materials have actually been paid.

4. The provisions of paragraphs 1 to 3 shall also apply in respect

of packaging within the meaning of Article 7 (2), accessories, spare

parts and tools within the meaning of Article 8 and products in a

set within the meaning of Article 9 when such items are

non-originating.

5. The provisions of paragraphs 1 to 4 shall apply only in respect

of materials which are of the kind to which the Agreement applies.

Furthermore, they shall not preclude the application of an export

refund system for agricultural products, applicable upon export in

accordance with the provisions of the Agreement.

6. The provisions of this Article shall apply from 1 January 2000

and may be reviewed by common accord.

 

TITLE V PROOF OF ORIGIN

 

Article 15 General requirements

1. Products originating in the Community shall, on importation into

the West Bank and Gaza Strip and products originating in the West

Bank and Gaza Strip shall, on importation into the Community benefit

from this Agreement upon submission of either:

(a) a movement certificate EUR.1, a specimen of which appears in

Annex III; or

(b) in the cases specified in Article 20 (1), a declaration, the

text of which appears in Annex IV, given by the exporter on an

invoice, a delivery note or any other commercial document which

describes the products concerned in sufficient detail to enable them

to be identified (hereinafter referred to as the 'invoice

declaration`).

2. Notwithstanding paragraph 1, originating products within the

meaning of this Protocol shall, in the cases specified in Article

25, benefit from this Agreement without it being necessary to submit

any of the documents referred to above.

 

Article 16 Procedure for the issue of a movement certificate EUR.1

1. A movement certificate EUR.1 shall be issued by the customs

authorities of the exporting country on application having been made

in writing by the exporter or, under the exporter's responsibility,

by his authorized representative.

2. For this purpose, the exporter or his authorized representative

shall fill out both the movement certificate EUR.1 and the

application form, specimens of which appear in Annex III. These

forms shall be completed in one of the languages in which this

Agreement is drawn up and in accordance with the provisions of the

domestic law of the exporting country. If they are handwritten, they

shall be completed in ink in printed characters. The description of

the products must be given in the box reserved for this purpose

without leaving any blank lines. Where the box is not completely

filled, a horizontal line must be drawn below the last line of the

description, the empty space being crossed through.

3. The exporter applying for the issue of a movement certificate

EUR.1 shall be prepared to submit at any time, at the request of the

customs authorities of the exporting country where the movement

certificate EUR.1 is issued, all appropriate documents proving the

originating status of the products concerned as well as the

fulfilment of the other requirements of this Protocol.

4. A movement certificate EUR.1 shall be issued by the customs

authorities of an EC Member State or the West Bank and Gaza Strip if

the products concerned can be considered as products originating in

the Community, the West Bank and Gaza Strip or in one of the other

countries referred to in Article 4 and fulfil the other requirements

of this Protocol.

5. The issuing customs authorities shall take any steps necessary to

verify the originating status of the products and the fulfilment of

the other requirements of this Protocol. For this purpose, they

shall have the right to call for any evidence and to carry out any

inspection of the exporter's accounts or any other check considered

appropriate. The issuing customs authorities shall also ensure that

the forms referred to in paragraph 2 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.

6. The date of issue of the movement certificate EUR.1 shall be

indicated in Box 11 of the certificate.

7. A movement certificate EUR.1 shall be issued by the customs

authorities and made available to the exporter as soon as actual

exportation has been effected or ensured.

 

Article 17 Movement certificates EUR.1 issued retrospectively

1. Notwithstanding Article 16 (7), a movement certificate EUR.1 may

exceptionally be issued after exportation of the products to which

it relates if:

(a) it was not issued at the time of exportation because of errors

or involuntary omissions or special circumstances; or

(b) it is demonstrated to the satisfaction of the customs

authorities that a movement certificate EUR.1 was issued but was not

accepted at importation for technical reasons.

2. For the implementation of paragraph 1, the exporter must indicate

in his application the place and date of exportation of the products

to which the movement certificate EUR.1 relates, and state the

reasons for his request.

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.

4. Movement certificates EUR.1 issued retrospectively must be

endorsed with one of the following phrases:

'NACHTRÄGLICH AUSGESTELLT`, 'DELIVRE A POSTERIORI`, 'RILASCIATO A

POSTERIORI`, 'AFGEGEVEN A POSTERIORI`, 'ISSUED RETROSPECTIVELY`,

'UDSTEDT EFTERFŲLGENDE`, 'ÅŹÄĻČÅĶ ÅŹ ŌŁĶ ÕÓŌÅŃŁĶ`, 'EXPEDIDO A

POSTERIORI`, 'EMITIDO A POSTERIORI`, 'ANNETTU JÄLKIKÄTEEN`,

'UTFÄRDAT I EFTERHAND`, '>REFERENCE TO A GRAPHIC>

`.

5. The endorsement referred to in paragraph 4 shall be inserted in

the 'Remarks` box of the movement certificate EUR.1.

 

Article 18 Issue of a duplicate movement certificate EUR.1

1. In the event of theft, loss or destruction of a movement

certificate EUR.1, the exporter may apply 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`,

'ĮĶŌÉĆŃĮÖĻ`, 'DUPLICADO`, 'SEGUNDA VIA`, 'KAKSOISKAPPALE`,

'>REFERENCE TO A GRAPHIC>

`.

3. The endorsement referred to in paragraph 2 shall be inserted in

the 'Remarks` box of the duplicate 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 19 Issue of movement certificates EUR.1 on the basis of a

proof of origin issued or made out previously

When originating products are placed under the control of a customs

office in the Community or the West Bank and Gaza Strip, it shall be

possible to replace the original proof of origin by one or more

movement certificates EUR.1 for the purpose of sending all or some

of these products elsewhere within the Community or the West Bank

and Gaza Strip. The replacement movement certificate(s) EUR.1 shall

be issued by the customs office under whose control the products are

placed.

 

Article 20 Conditions for making out an invoice declaration

1. An invoice declaration as referred to in Article 15 (1) (b) may

be made out:

(a) by an approved exporter within the meaning of Article 21, or

(b) by any exporter for any consignment consisting of one or more

packages containing originating products whose total value does not

exceed ECU 6 000.

2. An invoice declaration may be made out if the products concerned

can be considered as products originating in the Community, the West

Bank and Gaza Strip or in one of the other countries referred to in

Article 4 and fulfil the other requirements of this Protocol.

3. The exporter making out an invoice declaration shall be prepared

to submit at any time, at the request of the customs authorities of

the exporting country, all appropriate documents proving the

originating status of the products concerned as well as the

fulfilment of the other requirements of this Protocol.

4. An invoice declaration shall be made out by the exporter by

typing, stamping or printing on the invoice, the delivery note or

another commercial document, the declaration, the text of which

appears in Annex IV, using one of the linguistic versions set out in

that Annex and in accordance with the provisions of the domestic law

of the exporting country. If the declaration is handwritten, it

shall be written in ink in printed characters.

5. Invoice declarations shall bear the original signature of the

exporter in manuscript. However, an approved exporter within the

meaning of Article 21 shall not be required to sign such

declarations provided that he gives the customs authorities of the

exporting country a written undertaking that he accepts full

responsibility for any invoice declaration which identifies him as

if it had been signed in manuscript by him.

6. An invoice declaration may be made out by the exporter when the

products to which it relates are exported, or after exportation on

condition that it is presented in the importing country no longer

than two years after the importation of the products to which it

relates.

 

Article 21 Approved exporter

1. The customs authorities of the exporting country may authorize

any exporter who makes frequent shipments of products under this

Agreement to make out invoice declarations irrespective of the value

of the products concerned. An exporter seeking such authorization

must offer to the satisfaction of the customs authorities all

guarantees necessary to verify the originating status of the

products as well as the fulfilment of the other requirements of this

Protocol.

2. The customs authorities may grant the status of approved exporter

subject to any conditions which they consider appropriate.

3. The customs authorities shall grant to the approved exporter a

customs authorization number which shall appear on the invoice

declaration.

4. The customs authorities shall monitor the use of the

authorization by the approved exporter.

5. The customs authorities may withdraw the authorization at any

time. They shall do so where the approved exporter no longer offers

the guarantees referred to in paragraph 1, does not fulfil the

conditions referred to in paragraph 2 or otherwise makes an

incorrect use of the authorization.

 

Article 22 Validity of proof of origin

1. A proof of origin shall be valid for four months from the date of

issue in the exporting country, and must be submitted within the

said period to the customs authorities of the importing country.

2. Proofs of origin which are submitted to the customs authorities

of the importing country after the final date for presentation

specified in paragraph 1 may be accepted for the purpose of applying

preferential treatment, where the failure to submit these documents

by the final date set is due to exceptional circumstances.

3. In other cases of belated presentation, the customs authorities

of the importing country may accept the proofs of origin where the

products have been submitted before the said final date.

 

Article 23 Submission of proof of origin

Proofs of origin shall be submitted to the customs authorities of

the importing country in accordance with the procedures applicable

in that country. The said authorities may require a translation of a

proof of origin and 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 24 Importation by instalments

Where, at the request of the importer and on the conditions laid

down by the customs authorities of the importing country, dismantled

or non-assembled products within the meaning of General Rule 2 (a)

of the Harmonized System falling within Sections XVI and XVII or

heading Nos 7308 and 9406 of the Harmonized System are imported by

instalments, a single proof of origin for such products shall be

submitted to the customs authorities upon importation of the first

instalment.

 

Article 25 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 submission of

a proof of origin, provided that such products are not imported by

way of trade and have been declared as meeting the requirements of

this Protocol and where there is no doubt as to the veracity of such

a declaration. In the case of products sent by post, this

declaration can be made on the customs declaration C2/CP3 or on a

sheet of paper annexed to that document.

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.

3. Furthermore, the total value of these products shall not exceed

ECU 500 in the case of small packages or ECU 1 200 in the case of

products forming part of travellers' personal luggage.

 

Article 26 Supporting documents

The documents referred to in Articles 16 (3) and 20 (3), used for

the purpose of proving that products covered by a movement

certificate EUR.1 or an invoice declaration can be considered as

products originating in the Community, or in the West Bank and Gaza

Strip and fulfil the other requirements of this Protocol, may

consist inter alia of the following:

(a) direct evidence of the processes carried out by the exporter or

supplier to obtain the goods concerned, contained for example in his

accounts or internal bookkeeping;

(b) documents proving the originating status of materials used,

issued or made out in the Community or the West Bank and Gaza Strip

where these documents are used in accordance with domestic law;

(c) documents proving the working or processing of materials in the

Community or the West Bank and Gaza Strip, issued or made out in the

Community or the West Bank and Gaza Strip, where these documents are

used in accordance with domestic law;

(d) movement certificates EUR.1 or invoice declarations proving the

originating status of materials used, issued or made out in the

Community or the West Bank and Gaza Strip in accordance with this

Protocol.

 

Article 27 Preservation of proof of origin and supporting documents

1. The exporter applying for the issue of a movement certificate

EUR.1 shall keep for at least three years the documents referred to

in Article 16 (3).

2. The exporter making out an invoice declaration shall keep for at

least three years a copy of this invoice declaration as well as the

documents referred to in Article 20 (3).

3. The customs authorities of the exporting country issuing a

movement certificate EUR.1 shall keep for at least three years the

application form referred to in Article 16 (2).

4. The customs authorities of the importing country shall keep for

at least three years the movement certificates EUR.1 and the invoice

declarations submitted to them.

 

Article 28 Discrepancies and formal errors

1. The discovery of slight discrepancies between the statements made

in the proof of origin 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 proof of

origin null and void if it is duly established that this document

does correspond to the products submitted.

2. Obvious formal errors such as typing errors on a proof of origin

should not cause this document to be rejected if these errors are

not such as to create doubts concerning the correctness of the

statements made in this document.

 

Article 29 Amounts expressed in ecu

1. Amounts in the national currency of the exporting country

equivalent to the amounts expressed in ecu shall be fixed by the

exporting country and communicated to the importing countries

through the European Commission.

2. When the amounts exceed the corresponding amounts fixed by the

importing country, the latter shall accept them if the products are

invoiced in the currency of the exporting country. When the products

are invoiced in the currency of another EC Member State, the

importing country shall recognize the amount notified by the country

concerned.

3. The amounts to be used in any given national currency shall be

the equivalent in that national currency of the amounts expressed in

ecu as at the first working day in October 1996.

4. The amounts expressed in ecu and their equivalents in the

currencies of the EC Member States and the West Bank and Gaza Strip

shall be reviewed by the Joint Committee at the request of the

Community or the Palestinian Authority. When carrying out this

review, the Joint Committee shall ensure that there will be no

decrease in the amounts to be used in any national currency and

shall furthermore consider the desirability of preserving the

effects of the limits concerned in real terms. For this purpose, it

may decide to modify the amounts expressed in ecu.

 

TITLE VI ARRANGEMENTS FOR ADMINISTRATIVE COOPERATION

 

Article 30 Mutual assistance

1. The customs authorities of the EC Member States and of the West

Bank and Gaza Strip shall provide each other, through the European

Commission, with specimen impressions of stamps used in their

customs offices for the issue of movement certificates EUR.1 and

with the addresses of the customs authorities responsible for

verifying those certificates and invoice declarations.

2. In order to ensure the proper application of this Protocol, the

Community and the Palestinian Authority shall assist each other,

through the competent customs administrations, in checking the

authenticity of the movement certificates EUR.1 or the invoice

declarations and the correctness of the information given in these

documents.

 

Article 31 Verification of proofs of origin

1. Subsequent verifications of proofs of origin shall be carried out

at random or whenever the customs authorities of the importing

country have reasonable doubts as to the authenticity of such

documents, the originating status of the products concerned or the

fulfilment of the other requirements of this Protocol.

2. For the purposes of implementing the provisions of paragraph 1,

the customs authorities of the importing country shall return the

movement certificate EUR.1 and the invoice, if it has been

submitted, the invoice declaration, or a copy of these documents, to

the customs authorities of the exporting country giving, where

appropriate, the reasons for the enquiry. Any documents and

information obtained suggesting that the information given on the

proof of origin is incorrect shall be forwarded in support of the

request for verification.

3. The verification shall be carried out by the customs authorities

of the exporting country. For this purpose, they shall have the

right to call for any evidence and to carry out any inspection of

the exporter's accounts or any other check considered appropriate.

4. If the customs authorities of the importing country decide to

suspend the granting of preferential treatment to the products

concerned while awaiting the results of the verification, release of

the products shall be offered to the importer subject to any

precautionary measures judged necessary.

5. The customs authorities requesting the verification shall be

informed of the results of this verification as soon as possible.

These results must indicate clearly whether the documents are

authentic and whether the products concerned can be considered as

products originating in the Community or the West Bank and Gaza

Strip, and fulfil the other requirements of this Protocol.

6. 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 customs authorities shall, except in exceptional

circumstances, refuse entitlement to the preferences.

 

Article 32 Dispute settlement

Where disputes arise in relation to the verification procedures of

Article 31 which cannot be settled between the customs authorities

requesting a verification and the customs authorities responsible

for carrying out this verification or where they raise a question as

to the interpretation of this Protocol, they shall be submitted to

the Joint Committee.

In all cases the settlement of disputes between the importer and the

customs authorities of the importing country shall be under the

legislation of the said country.

 

Article 33 Penalties

Penalties shall be imposed on any person who draws up, or causes to

be drawn up, a document which contains incorrect information for the

purpose of obtaining a preferential treatment for products.

 

Article 34 Free zones

1. The Community and the Palestinian Authority shall take all

necessary steps to ensure that products traded under cover of a

proof of origin which in the course of transport use a free zone

situated in their territory, are not substituted by other goods and

do not undergo handling other than normal operations designed to

prevent their deterioration.

2. By means of an exemption to the provisions contained in paragraph

1, when products originating in the Community or the West Bank and

Gaza Strip are imported into a free zone under cover of a proof of

origin and undergo treatment or processing, the authorities

concerned shall issue a new EUR.1 certificate at the exporter's

request, if the treatment or processing undergone is in conformity

with the provisions of this Protocol.

 

TITLE VII CEUTA AND MELILLA

 

Article 35 Application of the Protocol

1. The term 'Community` used in Article 2 does not cover Ceuta and

Melilla.

2. Products originating in the West Bank and Gaza Strip, when

imported into Ceuta or Melilla, shall enjoy in all respects the same

customs regime as that which is applied to products originating in

the customs territory of the Community under Protocol 2 of the Act

of Accession of the Kingdom of Spain and the Portuguese Republic to

the European Communities. The Palestinian Authority shall grant to

imports of products covered by the Agreement and originating in

Ceuta and Melilla the same customs regime as that which is granted

to products imported from and originating in the Community.

3. For the purpose of the application of paragraph 2 concerning

products originating in Ceuta and Melilla, this Protocol shall apply

mutatis mutandis subject to the special conditions set out in

Article 36.

 

Article 36 Special conditions

1. Providing they have been transported directly in accordance with

the provisions of Article 12, 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 5 of this Protocol; or that

(ii) those products are originating in the West Bank and Gaza Strip

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 6 (1).

(2) products originating in the West Bank and Gaza Strip:

(a) products wholly obtained in the West Bank and Gaza Strip;

(b) products obtained in the West Bank and Gaza Strip, 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 5 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 6 (1).

2. Ceuta and Melilla shall be considered as a single territory.

3. The exporter or his authorized representative shall enter 'The

West Bank and Gaza Strip` and 'Ceuta and Melilla` in Box 2 of

movement certificates EUR.1 or on invoice declarations. In addition,

in the case of products originating in Ceuta and Melilla, this shall

be indicated in Box 4 of movement certificates EUR.1 or on invoice

declarations.

4. The Spanish customs authorities shall be responsible for the

application of this Protocol in Ceuta and Melilla.

 

TITLE VIII FINAL PROVISIONS

 

Article 37 Amendments to the Protocol

The Joint Committee may decide to amend the provisions of this

Protocol.

 

Article 38 Implementation of the Protocol

The Community and the Palestinian Authority shall each take the

steps necessary to implement this Protocol.

 

Article 39 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 the West Bank and Gaza Strip or, 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, of 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

 

INTRODUCTORY NOTES TO THE LIST IN ANNEX II

 

Note 1:

The list sets out the conditions required for all products to be

considered as sufficiently worked or processed within the meaning of

Article 5 of the Protocol.

 

 

Note 2:

2.1. 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 columns 3 or 4. Where, in some cases, the entry in the first

column is preceded by an 'ex`, this signifies that the rules in

columns 3 or 4 apply only to the part of that heading as described

in column 2.

2.2. 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 rules in

columns 3 or 4 apply 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.

2.3. 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

rules in columns 3 or 4.

2.4. Where, for an entry in the first two columns, a rule is

specified in both columns 3 and 4, the exporter may opt, as an

alternative, to apply either the rule set out in column 3 or that

set out in column 4. If no origin rule is given in column 4, the

rule set out in column 3 has to be applied.

 

 

Note 3:

3.1. The provisions of Article 5 of the Protocol concerning products

having acquired originating status which are used in the manufacture

of other products apply regardless of whether this status has been

acquired inside the factory where these products are used or in

another factory in the Community or in the West Bank and Gaza Strip.

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 per cent of the ex-works price, is made from 'other

alloy steel roughly shaped by forging` of heading No ex 7224.

If this forging has been forged in the Community from a

non-originating ingot, it has already acquired originating status by

virtue of the rule for heading No ex 7224 in the list. The forging

can then count as originating in the value calculation for the

engine regardless of whether it was produced in the same factory or

in another factory in the Community. The value of the

non-originating ingot is thus not taken into account when adding up

the value of the non-originating materials used.

3.2. 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 originating status.

Thus if a rule provides 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.

3.3. Without prejudice to Note 3.2 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. 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.

Example:

The rule for fabrics of heading Nos 5208 to 5212 provides 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; it is possible to use one or the other or both.

3.5. Where 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. (See also Note 6.2 below

in relation to textiles).

Example:

The rule for prepared foods of heading No 1904 which specifically

excludes the use of cereals and their derivatives does not prevent

the use of mineral salts, chemicals and other additives which are

not products from cereals.

However, this does not apply to products which, although they cannot

be manufactured from the particular materials specified in the list,

can be produced from a material of the same nature at an earlier

stage of manufacture.

Example:

In the case of an article of apparel of ex Chapter 62 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.

3.6. Where, in a rule in the list, two percentages are given for the

maximum value of non-originating materials that can be used, then

these percentages may not be added together. In other words, 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 4:

4.1. The term 'natural fibres` is used in the list to refer to

fibres other than artificial or synthetic fibres. It is restricted

to the stages before spinning takes place, including waste, and,

unless otherwise specified, includes fibres that have been carded,

combed or otherwise processed but not spun.

4.2. 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 the other vegetable fibres of

heading Nos 5301 to 5305.

4.3. 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.

4.4. The term 'man-made staple fibres` is used in the list to refer

to synthetic or artificial filament tow, staple fibres or waste, of

heading Nos 5501 to 5507.

 

 

Note 5:

5.1. Where for a given product in the list a reference is made to

this note, the conditions set out in column 3 shall not be applied

to any basic textile materials, used in the manufacture of this

product, which, taken together, represent 10 per cent or less of the

total weight of all the basic textile materials used. (See also

Notes 5.3 and 5.4 below).

5.2. However, the tolerance mentioned in Note 5.1 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 of polypropylene,

- synthetic man-made staple fibres of polyester,

- synthetic man-made staple fibres of polyamide,

- synthetic man-made staple fibres of polyacrylonitrile,

- synthetic man-made staple fibres of polyimide,

- synthetic man-made staple fibres of polytetrafluoroethylene,

- synthetic man-made staple fibres of polyphenylene sulphide,

- synthetic man-made staple fibres of polyvinyl chloride,

- other synthetic man-made staple fibres,

- artificial man-made staple fibres of viscose,

- other artificial man-made staple fibres,

- yarn made of polyurethane segmented with flexible segments of

polyether whether or not gimped,

- yarn made of polyurethane segmented with flexible segments of

polyester whether or not gimped,

- products of heading No 5605 (metallized yarn) 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 a transparent or coloured

adhesive between two layers of plastic film,

- other products of heading No 5605.

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 per cent

of the yarn.

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 provided their total weight does

not exceed 10 per cent of the weight of the fabric.

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.

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.

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 does not exceed 10 per cent of the

weight of the textile materials of 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.

5.3. In the case of products incorporating 'yarn made of

polyurethane segmented with flexible segments of polyether whether

or not gimped` this tolerance is 20 per cent in respect of this

yarn.

5.4. In the case of products 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 layers of plastic

film`, this tolerance is 30 per cent in respect of this strip.

 

 

Note 6:

6.1. 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 product

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 per cent of the ex-works price of the product.

6.2. Without prejudice to Note 6.3, materials which are not

classified within Chapters 50 to 63 may be used freely in the

manufacture of textile products, whether or not they contain

textiles.

Example:

If a rule in the list provides that for a particular textile item,

such as trousers, yarn must be used, this does not prevent the use

of metal items, such as buttons, because buttons are not classified

within Chapters 50 to 63. For the same reason, it does not prevent

the use of slide-fasteners even though slide-fasteners normally

contain textiles.

6.3. Where a percentage rules applies, the value of materials which

are not classified within Chapters 50 to 63 must be taken into

account when calculating the value of the non-originating materials

incorporated.

 

 

Note 7:

7.1. For the purposes of heading Nos ex 2707, 2713 to 2715, ex 2901,

ex 2902 and ex 3403, the 'specific processes` are the following:

(a) vacuum distillation;

(b) redistillation by a very thorough fractionation process (1);

(c) cracking;

(d) reforming;

(e) extraction by means of selective solvents;

(f) the process comprising all the following operations: processing

with concentrated sulphuric acid, oleum or sulphuric anhydride;

neutralization with alkaline agents; decolorization and purification

with naturally active earth, activated earth, activated charcoal or

bauxite;

(g) polymerization;

(h) alkylation;

(i) isomerization.

7.2. For the purposes of heading Nos 2710, 2711 and 2712, the

'specific processes` are the following:

(a) vacuum distillation;

(b) redistillation by a very thorough fractionation process (2);

(c) cracking;

(d) reforming;

(e) extraction by means of selective solvents;

(f) the process comprising all the following operations: processing

with concentrated sulphuric acid, oleum or sulphuric anhydride;

neutralization with alkaline agents; decolorization and purification

with naturally active earth, activated earth, activated charcoal or

bauxite;

(g) polymerization;

(h) alkylation;

(ij) isomerization;

(k) in respect of heavy oils falling within heading No ex 2710 only,

desulphurization with hydrogen resulting in a reduction of at least

85 per cent of the sulphur content of the products processed (ASTM D

1266-59 T method);

(l) in respect of products falling within heading No 2710 only,

deparaffining by a process other than filtering;

(m) in respect of heavy oils falling within heading No ex 2710 only,

treatment with hydrogen at a pressure of more than 20 bar and a

temperature of more than 250 °C with the use of a catalyst, other

than to effect desulphurization, when the hydrogen constitutes an

active element in a chemical reaction. The further treatment with

hydrogen of lubricating oils of heading No ex 2710 (e.g.

hydrofinishing or decolorization) in order, more especially, to

improve colour or stability shall not, however, be deemed to be a

specific process;

(n) in respect of fuel oils falling within heading No ex 2710 only,

atmospheric distillation, on condition that less than 30 per cent of

these products distil, by volume, including losses, at 300 °C by the

ASTM D 86 method;

(o) in respect of heavy oils other than gas oils and fuel oils

falling within heading No ex 2710 only, treatment by means of a

high-frequency electrical brush-discharge.

7.3. For the purposes of heading Nos ex 2707, 2713 to 2715, ex 2901,

ex 2902 and ex 3403, simple operations such as cleaning, decanting,

desalting, water separation, filtering, colouring, marking,

obtaining a sulphur content as a result of mixing products with

different sulphur contents, any combination of these operations or

like operations do not confer origin.

 

(1) See Additional Explanatory Note 4 (b) to Chapter 27 of the

Combined Nomenclature.

(2) See Additional Explanatory Note 4 (b) to Chapter 27 of the

Combined Nomenclature.

 

 

 

 

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

 

The products mentioned in the list may not all be covered by the

Agreement. It is therefore necessary to consult the other parts of

the Agreement

>TABLE POSITION>

 

 

 

ANNEX III

 

MOVEMENT CERTIFICATE EUR.1 AND APPLICATION FOR A MOVEMENT

CERTIFICATE EUR.1

 

Printing instructions

1. Each form 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/m². It shall have a printed green

guilloche pattern background making any falsification by mechanical

or chemical means apparent to the eye.

2. The competent authorities of the Member States of the Community

and of the West Bank and Gaza Strip 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.

>REFERENCE TO A GRAPHIC>

>REFERENCE TO A GRAPHIC>

>REFERENCE TO A GRAPHIC>

>REFERENCE TO A GRAPHIC>

 

 

 

ANNEX IV

 

INVOICE DECLARATION

>START OF GRAPHIC>

The invoice declaration, the text of which is given below, must be

made out in accordance with the footnotes. However, the footnotes do

not have to be reproduced.

English version

The exporter of the products covered by this document (customs

authorization No . . . (1)) declares that, except where otherwise

clearly indicated, these products are of . . . preferential origin

(2).

Spanish version

El exportador de los productos incluidos en el presente documento

(autorizaciėn aduanera no . . . (1)) declara que, salvo indicaciėn

en sentido contrario, estos productos gozan de un origen

preferencial . . . (2).

Danish version

EksportŲren af varer, der er omfattet af nörvörende dokument,

(toldmyndighedernes tilladelse nr. . . . (1)), erklörer, at varerne,

medmindre andet tydeligt er angivet, har pröferenceoprindelse i . .

. (2).

German version

Der AusfŽhrer (Ermōchtigter AusfŽhrer; Bewilligungs-Nr. . . . (1)),

der Waren, auf die sich dieses Handelspapier bezieht, erklōrt, dač

diese Waren, soweit nicht anders angegeben, prōferenzbegŽnstigte . .

. Ursprungswaren sind (2).

Greek version

Ļ õžńóųóąńĖ Įųż Ęę˙ŪŽżĮųż Ę˙į śńūžĘĮ˙żĮńł ńĘŽ Į˙ Ęńꎿ ąóóęńŠ˙

(Ąōõłń Įõūųżõč˙į įĘ' ńęłų. . . . (1)) dhl´vnei ėti, ektėw eńn

dhl´vnetai saf´vw ńllvw, ta pro˙ėnta aztń eżnai protimhsiak´hw

katagvg´hw . . . (2).

French version

L'exportateur des produits couverts par le prłsent document

(autorisation douaniųre no . . . (1)), dłclare que, sauf indication

claire du contraire, ces produits ont l'origine prłfłrentielle . . .

(2).

Italian version

L'esportatore delle merci contemplate nel presente documento

(autorizzazione doganale n. . . . (1)) dichiara che, salvo

indicazione contraria, le merci sono di origine preferenziale . . .

(2).

Dutch version

De exporteur van de goederen waarop dit document van toepassing is

(douanevergunning nr. . . . (1)), verklaart dat, behoudens

uitdrukkelijke andersluidende vermelding, deze goederen van

preferentiūle . . . oorsprong zijn (2).

Portuguese version

O abaixo assinado, exportador dos produtos cobertos pelo presente

documento (autoriza÷óo aduaneira no. . . . (1)), declara que, salvo

expressamente indicado em contrńrio, estes produtos sóo de origem

preferencial . . . (2).

(1) When the invoice declaration is made out by an approved exporter

within the meaning of Article 21 of the Protocol, the authorization

number of the approved exporter must be entered in this space. When

the invoice declaration is not made out by an approved exporter, the

words in brackets shall be omitted or the space left blank.(2)

Origin of products to be indicated. When the invoice declaration

relates in whole or in part, to products originating in Ceuta and

Melilla within the meaning of Article 36 of the Protocol, the

exporter must clearly indicate them in the document on which the

declaration is made out by means of the symbol 'CM'.Finnish version

Tōssō asiakirjassa mainittujen tuotteiden viejō (tullin lupan:o . .

. (1)) ilmoittaa, ettō nōmō tuotteet ovat, ellei toisin ole selvōsti

merkitty, etuuskohteluun oikeutettuja . . . alkuperōtuotteita (2).

Swedish version

ExportŠren av de varor som omfattas av detta dokument

(tullmyndighetens tillstõnd nr. . . . (1)) fŠrsōkrar att dessa

varor, om inte annat tydligt markerats, har fŠrmõnsberōttigande . .

. ursprung (2).

(1) When the invoice declaration is made out by an approved exporter

within the meaning of Article 21 of the Protocol, the authorization

number of the approved exporter must be entered in this space. When

the invoice declaration is not made out by an approved exporter, the

words in brackets shall be omitted or the space left blank.(2)

Origin of products to be indicated. When the invoice declaration

relates in whole or in part, to products originating in Ceuta and

Melilla within the meaning of Article 36 of the Protocol, the

exporter must clearly indicate them in the document on which the

declaration is made out by means of the symbol 'CM'.>END OF GRAPHIC>

 

Arabic version

REFERENCE TO A GRAPHIC>

>START OF GRAPHIC>

. (3)

(Place and date)

. (4)

(Signature of the exporter; in addition the name of the person

signing the declaration has to be indicated in clear script)

(3) These indications may be omitted if the information is contained

on the document itself.(4) See Article 20 (5) of the Protocol. In

cases where the exporter is not required to sign, the exemption of

signature also implies the exemption of the name of the

signatory.>END OF GRAPHIC>

 

 

 

FINAL ACT

The plenipotentiaries of

the EUROPEAN COMMUNITY,

hereinafter referred to as 'the Community`,

of the one part, and

the plenipotentiaries of

the PALESTINE LIBERATION ORGANIZATION (PLO) FOR THE BENEFIT OF THE

PALESTINIAN AUTHORITY OF THE WEST BANK AND THE GAZA STRIP,

hereinafter referred to as 'the Palestinian Authority`,

of the other part,

meeting at Brussels on 24 February 1997 for the signature of the

Euro-Mediterranean Interim Association Agreement on trade and

cooperation between the European Community, of the one part and the

Palestine Liberation Organization (PLO) for the benefit of the

Palestinian Authority of the West Bank and the Gaza Strip, of the

other part, hereinafter referred to as 'Euro-Mediterranean Interim

Association Agreement` have adopted the following texts:

the Euro-Mediterranean Interim Association Agreement, the Annexes

thereto and the following Protocols:

Protocol 1 on the arrangements applying to imports into the

Community of agricultural products originating in the West Bank and

the Gaza Strip,

Protocol 2 on the arrangements applying to imports into the West

Bank and the Gaza Strip of agricultural products originating in the

Community,

Protocol 3 concerning the definition of the concept of 'originating

products` and methods of administrative cooperation.

The plenipotentiaries of the Community and the plenipotentiaries of

the Palestinian Authority have adopted the texts of the Declarations

listed below and annexed to this Final Act:

Joint Declaration on intellectual, industrial and commercial

property (Article 33 of the Agreement),

Joint Declaration on Article 55 of the Agreement,

Joint Declaration on Article 58 of the Agreement,

Joint Declaration on decentralized cooperation,

Joint Declaration on Article 67 of the Agreement,

Joint Declaration on Article 70 of the Agreement,

Joint Declaration on data protection,

Joint Declaration on a programme of support for Palestinian

industry,

and, as regards Protocol 3 concerning the definition of the concept

of 'originating products` and methods of administrative cooperation,

the following Joint Declarations:

1. Joint Declaration concerning the Principality of Andorra;

2. Joint Declaration concerning the Republic of San Marino.

The plenipotentiaries of the Community and the plenipotentiaries of

the Palestinian Authority have also taken note of the Agreement in

the form of an exchange of letters mentioned below and attached to

this Final Act:

Agreement in the form of an exchange of letters between the

Community and the Palestinian Authority relating to Article 1 of

Protocol 1 and concerning imports into the Community of fresh cut

flowers and flower buds falling within subheading 0603 10 of the

Common Customs Tariff.

The plenipotentiaries of the Palestinian Authority have taken note

of the Declaration by the European Community mentioned below and

annexed to this Final Act:

Declaration on cumulation of origin.

Hecho en Bruselas, el veinticuatro de febrero de mil novecientos

noventa y siete.

Udfördiget i Bruxelles den fireogtyvende februar nitten hundrede og

syv og halvfems.

Geschehen zu BrŽssel am vierundzwanzigsten Februar

neunzehnhundertsiebenundneunzig.

øółżõ ėĮłĖ ĀęįžąūūõĖ, ėĮłĖ õčś˙ėł ĮąėėõęłĖ Öõņę˙įńęč˙į ščūłń

õżżłńśŽėłń õżõżČżĮń õĘĮĄ.

Done at Brussels on the twenty-fourth day of February in the year

one thousand nine hundred and ninety-seven.

Fait š Bruxelles, le vingt-quatre fłvrier mil neuf cent

quatre-vingt-dix-sept.

Fatto a Bruxelles, addü ventiquattro febbraio

millenovecentonovantasette.

Gedaan te Brussel, de vierentwintigste februari negentienhonderd

zevenennegentig.

Feito em Bruxelas, em vinte e quatro de Fevereiro de mil novecentos

e noventa e sete.

Tehty Brysselissō kahdentenakymmenentenōneljōntenō pōivōnō

helmikuuta vuonna tuhatyhdeksōnsataayhdeksōnkymmentōseitsemōn.

Som skedde i Bryssel den tjugofjōrde februari nittonhundranittiosju.

>REFERENCE TO A GRAPHIC>

Por la Comunidad Europea

For Det Europöiske Föllesskab

FŽr die Europōische Gemeinschaft

Ćłń Į÷ż ÅįęųĘńŪśČ Ź˙łżŽĮ÷Įń

For the European Community

Pour la Communautł europłenne

Per la Comunitš europea

Voor de Europese Gemeenschap

Pela Comunidade Europeia

Euroopan yhteisŠn puolesta

Põ Europeiska gemenskapens vōgnar

>REFERENCE TO A GRAPHIC>

>REFERENCE TO A GRAPHIC>

 

 

 

 

JOINT DECLARATIONS Joint Declaration on intellectual, industrial and

commercial property (Article 33 of the Agreement)

For the purpose of the Agreement, intellectual, industrial and

commercial property includes in particular copyright, including the

copyright in computer programmes, and neighbouring rights, patents,

industrial designs, geographical indications, including appellations

of origin, trademarks and service marks, topographies of integrated

circuits, as well as protection against unfair competition as

referred to in Article 10a of the Paris Convention for the

Protection of Industrial Property (Stockholm Act, 1967) and

protection of undisclosed information on 'know-how`.

 

 

 

Joint Declaration on Article 55 of the Agreement

The Parties reaffirm their commitment to the Middle East Peace

Process and their belief that peace should be consolidated through

regional cooperation. The Community is prepared to support joint

development projects submitted by the Palestinian Authority and

other regional parties, subject to relevant Community technical and

budgetary procedures.

The Parties reaffirm that the Agreement forms part of the process

launched at the Barcelona Conference of 27 November 1995 and that

the bilateral cooperation between the European Community and the

Palestinian Authority is complementary to the regional cooperation

taking place in the context of the Euro-Mediterranean Partnership.

 

 

 

Joint Declaration on Article 58 of the Agreement

The Parties agree that access to employment will not be included in

the framework of youth exchange programmes.

 

 

 

Joint Declaration on decentralized cooperation

The Parties reaffirm the importance they attach to decentralized

cooperation programmes as a means of encouraging exchanges of

experience and transfer of knowledge in the Mediterranean region and

between the European Community and its Mediterranean partners.

 

 

 

Joint Declaration on Article 67 of the Agreement

When the arbitration procedure is applied, the Parties will

endeavour to ensure that the Joint Committee appoints a third

arbitrator within two months of the appointment of the second

arbitrator.

 

 

 

Joint Declaration on Article 70 of the Agreement

1. The Parties agree, for the purposes of the interpretation and the

application of the Agreement, that the cases of special urgency

referred to in Article 70 of the Agreement mean cases of substantial

violation of the Agreement by one of the two Parties. A substantial

violation of the Agreement consists of:

- the rejection of the Agreement when such rejection is not

authorized by the general rules of international law,

- the violation of the essential elements of the Agreement set out

in Article 2 thereof.

2. The Parties agree that the appropriate measures referred to in

Article 70 are measures taken in accordance with international law.

If one Party takes a measure in a case of special urgency in

application of Article 70 the other Party may invoke the dispute

settlement procedure.

 

 

 

Joint Declaration on data protection

The Parties agree that the protection of data will be guaranteed in

all areas where the exchange of personal data is envisaged.

 

 

 

Joint Declaration on a programme of support for Palestinian industry

 

The Parties agree that a programme of support will be put at the

disposal of Palestinian industry, designed to nurture and develop

the capacity of the Palestinian industrial sector.

The Community extends access to start-up funding and to capital to

Palestinian businesses in the West Bank and the Gaza Strip. This

includes the European Community Investment Partners programme

(ECIP), which provides assistance for business start-up costs, such

as feasibility studies and technical assistance, and in some cases,

access to funding for joint ventures. Loan funding, particularly for

small and medium-sized enterprises, through a revolving fund

administered by the Palestinian Development Fund, is also available

on the basis of grants provided by the Community. The European

Investment Bank extends loan funding and risk capital to Palestinian

business through local banks.

The Community has established the Centre for Private Development in

the West Bank and the Gaza Strip, in order to provide support,

training and advice to Palestinian industry, in business start-up

and planning, business management, strategy and marketing.

The Community recognizes that Palestinian industry must seek markets

abroad. The present Agreement therefore permits duty-free access of

Palestinian industrial products to European Community markets. The

Palestinian Enterprise Centre, and, within it, the Euro-Info Centre,

are therefore available to promote and facilitate contacts and joint

ventures between European and Palestinian industry, through

partnership events (the Euro-Partenariat, Med-Partenariat and

Med-Enterprise schemes) and a variety of other means (such as the BC

Net and BRE networks), which from time to time become available.

The Community also recognizes that Palestinian industry has suffered

from a lack of basic economic infrastructure. Noting that, in the

context of the assistance provided by the Community for the

development of the West Bank and the Gaza Strip, part of this

assistance may be provided in support of Palestinian industry, the

Community will consider requests from the Palestinian Authority that

a proportion of these funds, as grants or loans, may be devoted to

the rehabilitation of vital economic infrastructures.

In the framework of the economic cooperation provided for under the

current Agreement, the two Parties will have regular exchanges of

views in order to establish how the range of support mechanisms

described in this Declaration, as well as any others which may

become available, may most effectively be combined to provide the

most appropriate support to Palestinian industry.

 

 

 

Joint Declaration concerning the Principality of Andorra

1. Products originating in the Principality of Andorra falling

within Chapters 25 to 97 of the Harmonized System shall be accepted

by the Palestinian Authority as originating in the Community within

the meaning of this Agreement.

2. Protocol 3 shall apply mutatis mutandis for the purpose of

defining the originating status of the abovementioned products.

 

 

 

Joint Declaration concerning the Republic of San Marino

1. Products originating in the Republic of San Marino shall be

accepted by the Palestinian Authority as originating in the

Community within the meaning of this Agreement.

2. Protocol 3 shall apply mutatis mutandis for the purpose of

defining the originating status of the abovementioned products.