Proposal for a Council Decision on the provisional application of a bilateral agreement between the European Community and certain third countries (Armenia, Azerbaijan, Georgia, Kazakhstan, Moldova, Tajikistan, Turkmenistan and Uzbekistan) on trade in textile products
COMMISSION OF THE EUROPEAN COMMUNITIES Brussels, 16. 12. 1999 COM(1999) 701 final 1999/0279 (ACC) Proposal for a COUNCIL DECISION on the provisional application of a bilateral agreement between the European Community and certain third countries (Armenia, Azerbaijan, Georgia, Kazakhstan, Moldova, Tajikistan, Turkmenistan and Uzbekistan) on trade in textile products (presented by the Commission) EXPLANATORY MEMORANDUM In accordance with the Council negotiating directives of 12 July 1999, the Commission has negotiated agreements on the revision and an extension of the existing bilateral Agreement between the European Community and certain third countries (Armenia, Azerbaijan, Georgia, Kazakhstan, Moldova, Tajikistan, Turkmenistan and Uzbekistan) on trade in textile products. In the case of Armenia, Azerbaijan, Georgia, Kazakhstan, Moldova, Tajikistan and Turkmenistan these agreements provide for an extension of the present textiles agreements until 31 December 2002. Thereafter the agreements will be extended automatically for one year if neither party informs the other that it objects to an extension. For these countries the textile scope of textile products subject to the double-checking system is revised, taking into account the relevant trade flows. In the case of Uzbekistan the agreement is extended until 1. 1. 2004. The basket exit levels for textile category 1 products (cotton yarns) are revised in order to allow for a controlled development of trade in these products. Import ceilings for products of textile category 2 (cotton fabrics) are subject to yearly increases and should be abolished on 1. 1. 2004. Uzbekistan's tariffs for EC textile exports are bound at low rates and further reduced for certain floor covering, fabrics and made-up products. The Council is invited to approve on behalf of the Community this proposal for a Council Decision on the provisional application of the Agreements in the form of Exchanges of Letters amending the existing agreements between the European Community and the above- cited third countries on trade in textile and clothing products pending the formal conclusion of these Agreements on behalf of the Community. 2 1999/0279 (ACC) Proposal for a COUNCIL DECISION on the provisional application of a bilateral agreement between the European Community and certain third countries (Armenia, Azerbaijan, Georgia, Kazakhstan, Moldova, Tajikistan, Turkmenistan and Uzbekistan) on trade in textile products THE COUNCIL OF THE EUROPEAN UNION, Having regard to the Treaty establishing the European Community, and in particular Article 133 in conjunction with Article 300, paragraph 2, first sentence thereof, Having regard to the proposal from the Commission1, Whereas: (1) The Commission has negotiated on behalf of the Community bilateral agreements to revise and extend the existing bilateral agreement and protocols on trade in textile products with certain third countries (Armenia, Azerbaijan, Georgia, Kazakhstan, Moldova, Tajikistan, Turkmenistan and Uzbekistan); (2) These bilateral agreements should be applied on a provisional basis from 1. 1. 2000 subject to the reciprocal provisional application by the above-cited countries. HAS DECIDED AS FOLLOWS: Article 1 The bilateral agreements listed in the annex to this Decision shall be applied on a provisional basis from 1 January 2000, pending their formal conclusion, subject to reciprocal provisional application by the partner countries2. The texts of the Agreements are annexed to this Decision. 1 2 OJ C The date from which provisional application will become effective will be published in the Official Journal of the European Communities, C series. 3 Article 2 This Decision shall be published in the Official Journal of the European Communities. It shall enter into force the day after its publication in the Official Journal. Done at Brussels, For the Council The President 4 ANNEX AGREEMENT in the form of an Exchange of Letters between the European Community and the Republic of Armenia amending the Agreement between the European Economic Community and the Republic of Armenia on trade in textile products initialled at Brussels on 20 July 1993, as last amended by an Agreement in the form of an Exchange of Letters initialled on 16 January 1996 Letter from the Council of the European Union Sir, 1. I have the honour to refer to the Agreement between the European Economic Community and the Republic of Armenia on trade in textile products initialled on 20 July 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 16 January 1996 (hereafter referred to as the 'Agreement'). 2. In view of the expiry of the Agreement on 31 December 1999 and in accordance with Article 19 (4) of the Agreement, the European Community proposes to extend the duration of the Agreement, for a further period of at least three years, subject to the following amendments and conditions: 2. 1. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 2. The text of Article 19, paragraph 1, second and third sentences, of the Agreement shall be replaced by the following: 'It shall be applicable until 31 December 2002. Thereafter, the application of all of the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 2003, unless either Party notifies the other at least six months before 31 December 2002 that it does not agree with this extension. ' 2. 3. Textile categories 1, 2, 3, 4, 5, 6, 7 and 8 are exempted from the double-checking system referred to in Article 2 (3) of the Agreement and specified in Protocol A. If, in a given year, the levels of imports of products of these textile categories exceed the rates specified in Article 5(2) of the Agreement, the double-checking system will be automatically reintroduced for these categories. 3. Should the Republic of Armenia become a Member of the World Trade Organisation before the date of expiry of the Agreement, the provisions of Articles 2 (2) to (6), 3, 6, 7, 8, 9, 11 to 18, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3 and Agreed Minute No 4 shall continue to be applicable as administrative arrangements within the meaning of Article 2 (17) of the WTO Agreement on Textiles and Clothing. 5 4. I should be obliged if you could kindly confirm your Government's acceptance of the foregoing. Should this be the case, this letter together with its appendix and your letter of acceptance will constitute an Agreement in the form of an Exchange of Letters which shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 2000 on conditions of reciprocity. Please accept, Sir, the assurance of my highest consideration. For the Council of the European Union 6 Appendix 1 Annex I to the Agreement between the European Community and Armenia on trade in textile products initialled on 20 July 1993, containing the category and goods descriptions for textiles products, is replaced by Annex I to EC Regulation 3030/933. It is understood that, without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 3 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 7 EXCHANGE OF NOTES The Directorate General for Trade of the Commission of the European Union presents its compliments to the Mission of the Republic of Armenia and has the honour to refer to the Agreement between the European Community and the Republic of Armenia on Trade in Textile Products initialled on 20 July 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on … 1999. The Directorate General for Trade wishes to inform the Mission of the Republic of Armenia that, whilst awaiting the completion of the necessary procedures for the conclusion and coming into force of the Agreement in the form of an Exchange of Letters, the European Community is prepared to allow the provisions of the Agreement to apply de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notice is given. The Directorate General for Trade would be grateful if the Mission of the Republic of Armenia would confirm its agreement to the foregoing. The Directorate General for Trade of the Commission of the European Union avails itself of this opportunity to renew to the Ministry of Foreign Affairs of the Republic of Armenia the assurance of its highest consideration. 8 Letter from the Government of the Republic of Armenia Sir, I have the honour to acknowledge receipt of your letter of …. which reads as follows: "Sir, 1. I have the honour to refer to the Agreement between the European Economic Community and the Republic of Armenia on trade in textile products initialled on 20 July 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 18 January 1996 (hereafter referred to as the 'Agreement'). 2. In view of the expiry of the Agreement on 31 December 1999 and in accordance with Article 19 (4) of the Agreement, the European Community proposes to extend the duration of the Agreement, for a further period of at least three years, subject to the following amendments and conditions: 2. 1. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 2. The text of Article 19, paragraph 1, second and third sentences, of the Agreement shall be replaced by the following: 'It shall be applicable until 31 December 2002. Thereafter, the application of all of the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 2003, unless either Party notifies the other at least six months before 31 December 2002 that it does not agree with this extension. ` 2. 3. Textile categories 1, 2, 3, 4, 5, 6, 7 and 8 are exempted from the double-checking system referred to in Article 2 (3) of the Agreement and specified in Protocol A. If, in a given year, the levels of imports of products of these textile categories exceed the rates specified in Article 5(2) of the Agreement, the double-checking system will be automatically reintroduced for these categories. 3. Should the Republic of Armenia become a Member of the World Trade Organisation before the date of expiry of the Agreement, the provisions of Articles 2 (2) to (6), 3, 6, 7, 8, 9, 11 to 18, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3 and Agreed Minute No 4 shall continue to be applicable as administrative arrangements within the meaning of Article 2 (17) of the WTO Agreement on Textiles and Clothing. 4. I should be obliged if you could kindly confirm your Government's acceptance of the foregoing. Should this be the case, this letter together with its appendix and your letter of acceptance will constitute an Agreement in the form of an Exchange of Letters which shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 2000 on conditions of reciprocity. 9 Please accept, Sir, the assurance of my highest consideration. " I have the honour to confirm that my Government is in agreement with the content of your letter. Please accept, Sir, the assurance of my highest consideration. For the Government of the Republic of Armenia 10 Appendix 1 Annex I to the Agreement between the European Community and Armenia on trade in textile products initialled on 20 July 1993, containing the category and goods descriptions for textiles products, is replaced by Annex I to EC Regulation 3030/934. It is understood that without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 4 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 11 EXCHANGE OF NOTES The Mission of the Republic of Armenia presents its compliments to the Directorate General for Trade of the Commission of the European Union and has the honour to refer to the Note of the Directorate General (date of Note Verbale) regarding the Agreement on trade in textile products initialled on 20 July 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled … 1999. The Mission of the Republic of Armenia wishes to confirm to the Directorate General for Trade that, whilst awaiting the completion of the necessary procedures for the conclusion and coming into force of the Agreement in the form of an Exchange of Letters, the Government of the Republic of Armenia is prepared to allow the provisions of the Agreement to be applied de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notice is given. The Mission of the Republic of Armenia avails itself of this opportunity to renew to the Directorate General for Trade of the Commission of the European Union the assurance of its highest consideration. 12 AGREEMENT in the form of an Exchange of Letters between the European Community and the Republic of Azerbaijan amending the Agreement between the European Economic Community and the Republic of Azerbaijan on trade in textile products initialled at Brussels on 20 September 1993, as last amended by an Agreement in the form of an Exchange of Letters initialled on 18 December 1995 Letter from the Council of the European Union Sir, 1. I have the honour to refer to the Agreement between the European Economic Community and the Republic of Azerbaijan on trade in textile products initialled on 20 September 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 18 December 1995 (hereafter referred to as the 'Agreement`). 2. In view of the expiry of the Agreement on 31 December 1999 and in accordance with Article 20 (4) of the Agreement, the European Community proposes to extend the duration of the Agreement, for a further period of at least three years, subject to the following amendments and conditions: 2. 1. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 2. The text of Article 20, paragraph 1, second and third sentences, of the Agreement shall be replaced by the following: 'It shall be applicable until 31 December 2002. Thereafter, the application of all of the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 2003, unless either Party notifies the other at least six months before 31 December 2002 that it does not agree with this extension. ` 2. 3. Textile categories 1, 2, 3, 4, 5, 6, 7, 8, 12, 13, 20 and 136 are exempted from the double-checking system referred to in Article 2 (3) of the Agreement and specified in Protocol A. If, in a given year, the levels of imports of products of these textile categories exceed the rates specified in Article 5(2) of the Agreement, the double-checking system will be automatically reintroduced for these categories. 3. Should the Republic of Azerbaijan become a Member of the World Trade Organisation before the date of expiry of the Agreement, the provisions of Articles 2 (2) to (6), 3, 6, 7, 8, 9, 11 to 19, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3 and Agreed Minute No 4 shall continue to be applicable as administrative arrangements within the meaning of Article 2 (17) of the WTO Agreement on Textiles and Clothing. 4. I should be obliged if you could kindly confirm your Government's acceptance of the foregoing. Should this be the case, this letter together with its appendix and your letter of acceptance will constitute an Agreement in the form of an Exchange of Letters which 13 shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 2000 on conditions of reciprocity. Please accept, Sir, the assurance of my highest consideration. For the Council of the European Union 14 Appendix 1 Annex I to the Agreement between the European Community and Azerbaijan on trade in textile products initialled on 20 September 1993, containing the category and goods descriptions for textiles products, is replaced by Annex I to EC Regulation 3030/935. It is understood that, without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 5 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 15 EXCHANGE OF NOTES The Directorate General for Trade of the Commission of the European Union presents its compliments to the Mission of the Republic of Azerbaijan and has the honour to refer to the Agreement between the European Community and the Republic of Azerbaijan on Trade in Textile Products initialled on 20 September 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on … 1999. The Directorate General for Trade wishes to inform the Mission of the Republic of Azerbaijan that, whilst awaiting the completion of the necessary procedures for the conclusion and coming into force of the Agreement in the form of an Exchange of Letters, the European Community is prepared to allow the provisions of the Agreement to apply de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notice is given. The Directorate General for Trade would be grateful if the Mission of the Republic of Azerbaijan would confirm its agreement to the foregoing. The Directorate General for Trade of the Commission of the European Union avails itself of this opportunity to renew to the Ministry of Foreign Affairs of the Republic of Azerbaijan the assurance of its highest consideration. 16 Letter from the Government of the Republic of Azerbaijan Sir, I have the honour to acknowledge receipt of your letter of …. which reads as follows: "Sir, 1. I have the honour to refer to the Agreement between the European Economic Community and the Republic of Azerbaijan on trade in textile products initialled on 20 September 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 18 December 1995 (hereafter referred to as the 'Agreement'). 2. In view of the expiry of the Agreement on 31 December 1999 and in accordance with Article 20 (4) of the Agreement, the European Community proposes to extend the duration of the Agreement, for a further period of at least three years, subject to the following amendments and conditions: 2. 1. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 2. The text of Article 20, paragraph 1, second and third sentences, of the Agreement shall be replaced by the following: 'It shall be applicable until 31 December 2002. Thereafter, the application of all of the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 2003, unless either Party notifies the other at least six months before 31 December 2002 that it does not agree with this extension. ' 2. 3. Textile categories 1, 2, 3, 4, 5, 6, 7, 8, 12, 13, 20 and 136 are exempted from the double-checking system referred to in Article 2 (3) of the Agreement and specified in Protocol A. If, in a given year, the levels of imports of products of these textile categories exceed the rates specified in Article 5(2) of the Agreement, the double-checking system will be automatically reintroduced for these categories. 3. Should the Republic of Azerbaijan become a Member of the World Trade Organisation before the date of expiry of the Agreement, the provisions of Articles 2 (2) to (6), 3, 6, 7, 8, 9, 11 to 19, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3 and Agreed Minute No 4 shall continue to be applicable as administrative arrangements within the meaning of Article 2 (17) of the WTO Agreement on Textiles and Clothing. 4. I should be obliged if you could kindly confirm your Government's acceptance of the foregoing. Should this be the case, this letter together with its appendix and your letter of acceptance will constitute an Agreement in the form of an Exchange of Letters which shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 2000 on conditions of reciprocity. 17 Please accept, Sir, the assurance of my highest consideration. " I have the honour to confirm that my Government is in agreement with the content of your letter. Please accept, Sir, the assurance of my highest consideration. For the Government of the Republic of Azerbaijan 18 Appendix 1 Annex I to the Agreement between the European Community and Azerbaijan on trade in textile products initialled on 20 September 1993, containing the category and goods descriptions for textiles products, is replaced by Annex I to EC Regulation 3030/936. It is understood that without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 6 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 19 EXCHANGE OF NOTES The Mission of the Republic of Azerbaijan presents its compliments to the Directorate General for Trade of the Commission of the European Union and has the honour to refer to the Note of the Directorate General (date of Note Verbale) regarding the Agreement on trade in textile products initialled on 20 September 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled … 1999. The Mission of the Republic of Azerbaijan wishes to confirm to the Directorate General for Trade that, whilst awaiting the completion of the necessary procedures for the conclusion and coming into force of the Agreement in the form of an Exchange of Letters, the Government of the Republic of Azerbaijan is prepared to allow the provisions of the Agreement to be applied de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notice is given. The Mission of the Republic of Azerbaijan avails itself of this opportunity to renew to the Directorate General for Trade of the Commission of the European Union the assurance of its highest consideration. 20 AGREEMENT in the form of an Exchange of Letters between the European Community and Georgia amending the Agreement between the European Economic Community and the Republic of Georgia on trade in textile products initialled at Brussels on 17 November 1993, as last amended by an Agreement in the form of an Exchange of Letters initialled on 22 December 1995 Letter from the Council of the European Union Sir, 1. I have the honour to refer to the Agreement between the European Economic Community and Georgia on trade in textile products initialled on 17 November 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 22 December 1995 (hereafter referred to as the 'Agreement`). 2. In view of the expiry of the Agreement on 31 December 1999 and in accordance with Article 20 (4) of the Agreement, the European Community proposes to extend the duration of the Agreement, for a further period of at least three years, subject to the following amendments and conditions: 2. 1. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 2. The text of Article 20, paragraph 1, second and third sentences, of the Agreement shall be replaced by the following: 'It shall be applicable until 31 December 2002. Thereafter, the application of all of the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 2003, unless either Party notifies the other at least six months before 31 December 2002 that it does not agree with this extension. ` 2. 3. Textile categories 1, 2, 3, 4, 5, 6, 7 and 8 are exempted from the double-checking system referred to in Article 2 (3) of the Agreement and specified in Protocol A. If, in a given year, the levels of imports of products of these textile categories exceed the rates specified in Article 5(2) of the Agreement, the double-checking system will be automatically reintroduced for these categories. 3. Should Georgia become a Member of the World Trade Organisation before the date of expiry of the Agreement, the provisions of Articles 2 (2) to (6), 3, 6, 7, 8, 9, 11 to 19, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3 and Agreed Minute No 4 shall continue to be applicable as administrative arrangements within the meaning of Article 2 (17) of the WTO Agreement on Textiles and Clothing. 4. I should be obliged if you could kindly confirm your Government's acceptance of the foregoing. Should this be the case, this letter together with its appendix and your letter of acceptance will constitute an Agreement in the form of an Exchange of Letters which 21 shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 2000 on conditions of reciprocity. Please accept, Sir, the assurance of my highest consideration. For the Council of the European Union 22 Appendix 1 Annex I to the Agreement between the European Community and Georgia on trade in textile products initialled on 17 November 1993, containing the category and goods descriptions for textiles products, is replaced by Annex I to EC Regulation 3030/937. It is understood that, without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 7 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 23 Appendix 2 EXCHANGE OF NOTES The Directorate General for Trade of the Commission of the European Union presents its compliments to the Mission of Georgia and has the honour to refer to the Agreement between the European Community and Georgia on Trade in Textile Products initialled on 17 November 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on … 1999. The Directorate General for Trade wishes to inform the Mission of Georgia that, whilst awaiting the completion of the necessary procedures for the conclusion and coming into force of the Agreement in the form of an Exchange of Letters, the European Community is prepared to allow the provisions of to apply de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notice is given. the Agreement The Directorate General for Trade would be grateful if the Mission of Georgia would confirm its agreement to the foregoing. The Directorate General for Trade of the Commission of the European Union avails itself of this opportunity to renew to the Ministry of Foreign Affairs of Georgia the assurance of its highest consideration. 24 Letter from the Government of Georgia Sir, I have the honour to acknowledge receipt of your letter of …. which reads as follows: "Sir, 1. I have the honour to refer to the Agreement between the European Economic Community and Georgia on trade in textile products initialled on 17 November 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 22 December 1995 (hereafter referred to as the 'Agreement'). 2. In view of the expiry of the Agreement on 31 December 1999 and in accordance with Article 20 (4) of the Agreement, the European Community proposes to extend the duration of the Agreement, for a further period of at least three years, subject to the following amendments and conditions: 2. 1. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 2. The text of Article 20, paragraph 1, second and third sentences, of the Agreement shall be replaced by the following: 'It shall be applicable until 31 December 2002. Thereafter, the application of all of the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 2003, unless either Party notifies the other at least six months before 31 December 2002 that it does not agree with this extension. ' 2. 3. Textile categories 1, 2, 3, 4, 5, 6, 7 and 8 are exempted from the double-checking system referred to in Article 2 (3) of the Agreement and specified in Protocol A. If, in a given year, the levels of imports of products of these textile categories exceed the rates specified in Article 5(2) of the Agreement, the double-checking system will be automatically reintroduced for these categories. 3. Should Georgia become a Member of the World Trade Organisation before the date of expiry of the Agreement, the provisions of Articles 2 (2) to (6), 3, 6, 7, 8, 9, 11 to 19, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3 and Agreed Minute No 4 shall continue to be applicable as administrative arrangements within the meaning of Article 2 (17) of the WTO Agreement on Textiles and Clothing. 4. I should be obliged if you could kindly confirm your Government's acceptance of the foregoing. Should this be the case, this letter together with its appendix and your letter of acceptance will constitute an Agreement in the form of an Exchange of Letters which shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 2000 on conditions of reciprocity. 25 Please accept, Sir, the assurance of my highest consideration. " I have the honour to confirm that my Government is in agreement with the content of your letter. Please accept, Sir, the assurance of my highest consideration. For the Government of Georgia 26 Appendix 1 Annex I to the Agreement between the European Community and Georgia on trade in textile products initialled on 17 November 1993, containing the category and goods descriptions for textiles products, is replaced by Annex I to EC Regulation 3030/938. It is understood that without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 8 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 27 Appendix 2 EXCHANGE OF NOTES The Mission of Georgia presents its compliments to the Directorate General for Trade of the Commission of the European Union and has the honour to refer to the Note of the Directorate General (date of Note Verbale) regarding the Agreement on trade in textile products initialled on 17 November 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled … 1999. The Mission of Georgia wishes to confirm to the Directorate General for Trade that, whilst awaiting the completion of the necessary procedures for the conclusion and the coming into force of the Agreement Government of Georgia is prepared to allow the provisions of the Agreement to be applied de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notice is given. in the form of an Exchange of Letters, The Mission of Georgia avails itself of this opportunity to renew to the Directorate General for Trade of the Commission of the European Union the assurance of its highest consideration. 28 AGREEMENT in the form of an Exchange of Letters between the European Community and the Republic of Kazakhstan amending the Agreement between the European Economic Community and the Republic of Kazakhstan on trade in textile products initialled at Brussels on 15 October 1993, as last amended by an Agreement in the form of an Exchange of Letters initialled on 20 December 1995 Letter from the Council of the European Union Sir, 1. I have the honour to refer to the Agreement between the European Economic Community and the Republic of Kazakhstan on trade in textile products initialled on 15 October 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 20 December 1995 (hereafter referred to as the 'Agreement'). 2. In view of the expiry of the Agreement on 31 December 1999 and in accordance with Article 20 (4) of the Agreement, the European Community proposes to extend the duration of the Agreement, for a further period of at least three years, subject to the following amendments and conditions: 2. 1. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 2. The text of Article 20, paragraph 1, second and third sentences, of the Agreement shall be replaced by the following: 'It shall be applicable until 31 December 2002. Thereafter, the application of all of the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 2003, unless either Party notifies the other at least six months before 31 December 2002 that it does not agree with this extension. ' 2. 3. Textile categories 1, 3, 4, 5, 6, 7 and 8 are exempted from the double-checking system referred to in Article 2 (3) of the Agreement and specified in Protocol A. If, in a given year, the levels of imports of products of these textile categories exceed the rates specified in Article 5(2) of the Agreement, the double-checking system will be automatically reintroduced for these categories. 3. Should the Republic of Kazakhstan become a Member of the World Trade Organisation before the date of expiry of the Agreement, the provisions of Articles 2 (2) to (5), 3, 6, 7, 8, 9, 11 to 19, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3 and Agreed Minute No 4 shall continue to be applicable as administrative arrangements within the meaning of Article 2 (17) of the WTO Agreement on Textiles and Clothing. 4. I should be obliged if you could kindly confirm your Government's acceptance of the foregoing. Should this be the case, this letter together with its appendix and your letter of acceptance will constitute an Agreement in the form of an Exchange of Letters which 29 shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 2000 on conditions of reciprocity. Please accept, Sir, the assurance of my highest consideration. For the Council of the European Union 30 Appendix 1 Annex I to the Agreement between the European Community and Kazakhstan on trade in textile products initialled on 15 October 1993, containing the category and goods descriptions for textiles products, is replaced by Annex I to EC Regulation 3030/939. It is understood that, without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 9 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 31 Appendix 2 EXCHANGE OF NOTES The Directorate General for Trade of the Commission of the European Union presents its compliments to the Mission of the Republic of Kazakhstan and has the honour to refer to the Agreement between the European Community and the Republic of Kazakhstan on Trade in Textile Products initialled on 15 October 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on … 1999. The Directorate General for Trade wishes to inform the Mission of the Republic of Kazakhstan that, whilst awaiting the completion of the necessary procedures for the conclusion and coming into force of the Agreement in the form of an Exchange of Letters, the European Community is prepared to allow the provisions of the Agreement to apply de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notice is given. The Directorate General for Trade would be grateful if the Mission of the Republic of Kazakhstan would confirm its agreement to the foregoing. The Directorate General for Trade of the Commission of the European Union avails itself of this opportunity to renew to the Ministry of Foreign Affairs of the Republic of Kazakhstan the assurance of its highest consideration. 32 Letter from the Government of the Republic of Kazakhstan Sir, I have the honour to acknowledge receipt of your letter of …. which reads as follows: "Sir, 1. I have the honour to refer to the Agreement between the European Economic Community and the Republic of Kazakhstan on trade in textile products initialled on 15 October 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 20 December 1995 (hereafter referred to as the 'Agreement'). 2. In view of the expiry of the Agreement on 31 December 1999 and in accordance with Article 20 (4) of the Agreement, the European Community proposes to extend the duration of the Agreement, for a further period of at least three years, subject to the following amendments and conditions: 2. 1. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 2. The text of Article 20, paragraph 1, second and third sentences, of the Agreement shall be replaced by the following: 'It shall be applicable until 31 December 2002. Thereafter, the application of all of the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 2003, unless either Party notifies the other at least six months before 31 December 2002 that it does not agree with this extension. ' 2. 3. Textile categories 1, 3, 4, 5, 6, 7 and 8 are exempted from the double-checking system referred to in Article 2 (3) of the Agreement and specified in Protocol A. If, in a given year, the levels of imports of products of these textile categories exceed the rates specified in Article 5(2) of the Agreement, the double-checking system will be automatically reintroduced for these categories. 3. Should the Republic of Kazakhstan become a Member of the World Trade Organisation before the date of expiry of the Agreement, the provisions of Articles 2 (2) to (5), 3, 6, 7, 8, 9, 11 to 19, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3 and Agreed Minute No 4 shall continue to be applicable as administrative arrangements within the meaning of Article 2 (17) of the WTO Agreement on Textiles and Clothing. 4. I should be obliged if you could kindly confirm your Government's acceptance of the foregoing. Should this be the case, this letter together with its appendix and your letter of acceptance will constitute an Agreement in the form of an Exchange of Letters which shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 2000 on conditions of reciprocity. 33 Please accept, Sir, the assurance of my highest consideration. " I have the honour to confirm that my Government is in agreement with the content of your letter. Please accept, Sir, the assurance of my highest consideration. For the Government of the Republic of Kazakhstan 34 Appendix 1 Annex I to the Agreement between the European Community and Kazakhstan on trade in textile products initialled on 15 October 1993, containing the category and goods descriptions for textiles products, is replaced by Annex I to EC Regulation 3030/9310. It is understood that without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 10 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 35 Appendix 2 EXCHANGE OF NOTES The Mission of the Republic of Kazakhstan presents its compliments to the Directorate General for Trade of the Commission of the European Union and has the honour to refer to the Note of the Directorate General (date of Note Verbale) regarding the Agreement on trade in textile products initialled on 15 October 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on … 1999. The Mission of the Republic of Kazakhstan wishes to confirm to the Directorate General for Trade that, whilst awaiting the completion of the necessary procedures for the conclusion and coming into force of the Agreement in the form of an Exchange of Letters, the Government of the Republic of Kazakhstan is prepared to allow the provisions of the Agreement to be applied de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notice is given. The Mission of the Republic of Kazakhstan avails itself of this opportunity to renew to the Directorate General for Trade of the Commission of the European Union the assurance of its highest consideration. 36 AGREEMENT in the form of an Exchange of Letters between the European Community and the Republic of Moldova amending the Agreement between the European Economic Community and the Republic of Moldova on trade in textile products initialled at Brussels on 14 May 1993, as last amended by an Agreement in the form of an Exchange of Letters initialled on 15 December 1995 Letter from the Council of the European Union Sir, 1. I have the honour to refer to the Agreement between the European Economic Community and the Republic of Moldova on trade in textile products initialled on 14 May 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 15 December 1995 (hereafter referred to as the 'Agreement'). 2. In view of the expiry of the Agreement on 31 December 1999 and in accordance with Article 20 (4) of the Agreement, the European Community proposes to extend the duration of the Agreement, for a further period of at least three years, subject to the following amendments and conditions: 2. 1. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 2. The text of Article 20, paragraph 1, second and third sentences, of the Agreement shall be replaced by the following: 'It shall be applicable until 31 December 2002. Thereafter, the application of all of the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 2003, unless either Party notifies the other at least six months before 31 December 2002 that it does not agree with this extension. ` 2. 3. Textile categories 1, 9, 115, 117 and 118 are exempted from the double-checking system referred to in Article 2 (3) of the Agreement and specified in Protocol A. If, in a given year, the levels of imports of products of these textile categories exceed the rates specified in Article 5(2) of the Agreement, the double-checking system will be automatically reintroduced for these categories. 3. Should the Republic of Moldova become a Member of the World Trade Organisation before the date of expiry of the Agreement, the provisions of Articles 2 (2) to (6), 3, 6, 7, 8, 9, 11 to 19, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3 and Agreed Minute No 4 shall continue to be applicable as administrative arrangements within the meaning of Article 2 (17) of the WTO Agreement on Textiles and Clothing. 4. I should be obliged if you could kindly confirm your Government's acceptance of the foregoing. Should this be the case, this letter together with its appendix and your letter of acceptance will constitute an Agreement in the form of an Exchange of Letters which 37 shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 2000 on conditions of reciprocity. Please accept, Sir, the assurance of my highest consideration. For the Council of the European Union 38 Appendix 1 Annex I to the Agreement between the European Community and Moldova on trade in textile products initialled on 14 May 1993, containing the category and goods descriptions for textiles products, is replaced by Annex I to EC Regulation 3030/9311. It is understood that, without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 11 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 39 Appendix 2 EXCHANGE OF NOTES The Directorate General for Trade of the Commission of the European Union presents its compliments to the Mission of the Republic of Moldova and has the honour to refer to the Agreement between the European Community and the Republic of Moldova on Trade in Textile Products initialled on 14 May 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on … 1999. The Directorate General for Trade wishes to inform the Mission of the Republic of Moldova that, whilst awaiting the completion of the necessary procedures for the conclusion and coming into force of the Agreement in the form of an Exchange of Letters, the European Community is prepared to allow the provisions of the Agreement to apply de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notice is given. The Directorate General for Trade would be grateful if the Mission of the Republic of Moldova would confirm its agreement to the foregoing. The Directorate General for Trade of the Commission of the European Union avails itself of this opportunity to renew to the Ministry of Foreign Affairs of the Republic of Moldova the assurance of its highest consideration. 40 Letter from the Government of the Republic of Moldova Sir, I have the honour to acknowledge receipt of your letter of …. which reads as follows: "Sir, 1. I have the honour to refer to the Agreement between the European Economic Community and the Republic of Moldova on trade in textile products initialled on 14 May 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 15 December 1995 (hereafter referred to as the 'Agreement'). 2. In view of the expiry of the Agreement on 31 December 1999 and in accordance with Article 20 (4) of the Agreement, the European Community proposes to extend the duration of the Agreement, for a further period of at least three years, subject to the following amendments and conditions: 2. 1. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 2. The text of Article 20, paragraph 1, second and third sentences, of the Agreement shall be replaced by the following: 'It shall be applicable until 31 December 2002. Thereafter, the application of all of the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 2003, unless either Party notifies the other at least six months before 31 December 2002 that it does not agree with this extension. ` 2. 3. Textile categories 1, 9, 115, 117 and 118 are exempted from the double-checking system referred to in Article 2 (3) of the Agreement and specified in Protocol A. If, in a given year, the levels of imports of products of these textile categories exceed the rates specified in Article 5(2) of the Agreement, the double-checking system will be automatically reintroduced for these categories. 3. Should the Republic of Moldova become a Member of the World Trade Organisation before the date of expiry of the Agreement, the provisions of Articles 2 (2) to (6), 3, 6, 7, 8, 9, 11 to 19, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3 and Agreed Minute No 4 shall continue to be applicable as administrative arrangements within the meaning of Article 2 (17) of the WTO Agreement on Textiles and Clothing. 4. I should be obliged if you could kindly confirm your Government's acceptance of the foregoing. Should this be the case, this letter together with its appendix and your letter of acceptance will constitute an Agreement in the form of an Exchange of Letters which shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 2000 on conditions of reciprocity. 41 Please accept, Sir, the assurance of my highest consideration. " I have the honour to confirm that my Government is in agreement with the content of your letter. Please accept, Sir, the assurance of my highest consideration. For the Government of the Republic of Moldova 42 Appendix 1 Annex I to the Agreement between the European Community and Moldova on trade in textile products initialled on 14 May 1993, containing the category and goods descriptions for textiles products, is replaced by Annex I to EC Regulation 3030/9312. It is understood that without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 12 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 43 Appendix 2 EXCHANGE OF NOTES The Mission of the Republic of Moldova presents its compliments to the Directorate General for Trade of the Commission of the European Union and has the honour to refer to the Note of the Directorate General (date of Note Verbale) regarding the Agreement on trade in textile products initialled on 14 May 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled … 1999. The Mission of the Republic of Moldova wishes to confirm to the Directorate General for Trade that, whilst awaiting the completion of the necessary procedures for the conclusion and coming into force of the Agreement in the form of an Exchange of Letters, the Government of the Republic of Moldova is prepared to allow the provisions of the Agreement to be applied de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notice is given. The Mission of the Republic of Moldova avails itself of this opportunity to renew to the Directorate General for Trade of the Commission of the European Union the assurance of its highest consideration. 44 AGREEMENT IN THE FORM OF AN EXCHANGE OF LETTERS between the European Community and the Republic of Tajikistan amending the Agreement between the European Economic Community and the Republic of Tajikistan on trade in textile products initialled at Brussels on 16 July 1993, as last amended by initialled on form of an Exchange the Agreement 22 November 1995 of Letters in the Letter from the Council of the European Union Sir, 1. I have the honour to refer to the Agreement between the European Economic Community and the Republic of Tajikistan on trade in textile products initialled on 16 July 1993 (hereafter referred to as the 'Agreement'). 2. In view of the expiry of the Agreement on 31 December 1999 and in accordance with Article 20 (4) of the Agreement, the European Community proposes to extend the duration of the Agreement, for a further period of at least three years, subject to the following amendments and conditions: 2. 1. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 2. The text of Article 20, paragraph 1, second and third sentences, of the Agreement shall be replaced by the following: 'It shall be applicable until 31 December 2002. Thereafter, the application of all of the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 2003, unless either Party notifies the other at least six months before 31 December 2002 that it does not agree with this extension. ' 2. 3. Textile categories 3, 4, 5 and 7 are exempted from the double-checking system referred to in Article 2 (3) of the Agreement and specified in Protocol A. If, in a given year, the levels of imports of products of these textile categories exceed the rates specified in Article 5(2) of the Agreement, the double-checking system will be automatically reintroduced for these categories. 3. Should the Republic of Tajikistan become a Member of the World Trade Organisation before the date of expiry of the Agreement, the provisions of Articles 2 (2) to (6), 3, 6, 7, 8, 9, 11 to 19, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3 and Agreed Minute No 4 shall continue to be applicable as administrative arrangements within the meaning of Article 2 (17) of the WTO Agreement on Textiles and Clothing. 4. I should be obliged if you could kindly confirm your Government's acceptance of the foregoing. Should this be the case, this letter together with its appendix and your letter of acceptance will constitute an Agreement in the form of an Exchange of Letters which shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been 45 completed. In the meantime, it shall be applied provisionally from 1 January 2000 on conditions of reciprocity. Please accept, Sir, the assurance of my highest consideration. For the Council of the European Union 46 Appendix 1 Annex I to the Agreement between the European Community and Tajikistan on trade in textile products initialled on 8 June 1993, containing the category and goods descriptions for textiles products, is replaced by Annex I to EC Regulation 3030/9313. It is understood that, without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 13 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 47 EXCHANGE OF NOTES The Directorate General for Trade of the Commission of the European Union presents its compliments to the Ministry of Foreign Affairs of the Republic of Tajikistan and has the honour to refer to the Agreement between the European Community and the Republic of Tajikistan on Trade in Textile Products initialled on 8 June 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 27 October 1999. The Directorate General for Trade wishes to inform the Ministry of Foreign Affairs of Tajikistan that, whilst awaiting the completion of the necessary procedures for the conclusion and coming into force of the Agreement in the form of an Exchange of Letters, the European Community is prepared to allow the provisions of the Agreement to apply de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notice is given. The Directorate General for Trade would be grateful if the Ministry of Foreign Affairs of the Republic of Tajikistan would confirm the agreement of the Republic of Tajikistan with the foregoing. The Directorate General for Trade of the Commission of the European Union avails itself of this opportunity to renew to the Ministry of Foreign Affairs of the Republic of Tajikistan the assurance of its highest consideration. 48 Letter from the Government of the Republic of Tajikistan Sir, I have the honour to acknowledge receipt of your letter of …. which reads as follows: "Sir, 1. I have the honour to refer to the Agreement between the European Economic Community and the Republic of Tajikistan on trade in textile products initialled on 16 July 1993 (hereafter referred to as the 'Agreement'). 2. In view of the expiry of the Agreement on 31 December 1999 and in accordance with Article 20 (4) of the Agreement the European Community proposes to maintain in force the Agreement, for a further period of at least three years, subject to the following amendments and conditions: 2. 1. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 2. The text of Article 20, paragraph 1, second and third sentences, of the Agreement shall be replaced by the following: 'It shall be applicable until 31 December 2002. Thereafter, the application of all of the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 2003, unless either Party notifies the other at least six months before 31 December 2002 that it does not agree with this extension. ' 2. 3. Textile categories 3, 4, 5 and 7 are exempted from the double-checking system referred to in Article 2 (3) of the Agreement and specified in Protocol A. If, in a given year, the levels of imports of products of these textile categories exceed the rates the double-checking system will be specified in Article 5(2) of the Agreement, automatically reintroduced for these categories. 3. Should the Republic of Tajikistan become a Member of the World Trade Organisation before the date of expiry of the Agreement, the provisions of Articles 2 (2) to (6), 3, 6, 7, 8, 9, 11 to 19, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3 and Agreed Minute No 4 shall continue to be applicable as administrative arrangements within the meaning of Article 2 (17) of the WTO Agreement on Textiles and Clothing. 4. I should be obliged if you could kindly confirm your Government's acceptance of the foregoing. Should this be the case, this letter together with its appendix and your letter of acceptance will constitute an Agreement in the form of an Exchange of Letters which shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 2000 on conditions of reciprocity. Please accept, Sir, the assurance of my highest consideration. " 49 I have the honour to confirm that my Government is in agreement with the content of your letter. Please accept, Sir, the assurance of my highest consideration. For the Government of the Republic of Tajikistan 50 Appendix 1 Annex I to the Agreement between the European Community and Tajikistan on trade in textile products initialled on 8 June 1993, containing the category and goods descriptions for textiles products, is replaced by Annex I to EC Regulation 3030/9314. It is understood that without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 14 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 51 EXCHANGE OF NOTES The Ministry of Foreign Affairs of the Republic of Tajikistan presents its compliments to the Directorate General for Trade of the Commission of the European Union and has the honour to refer to the Note of the Directorate General (date of Note Verbale) regarding the Agreement on trade in textile products initialled on 8 June 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 27 October 1999. The Ministry of Foreign Affairs of the Republic of Tajikistan wishes to confirm to the Directorate General for Trade that, whilst awaiting the completion of the necessary procedures for the conclusion and coming into force of the Agreement in the form of an Exchange of Letters, the Government of the Republic of Tajikistan is prepared to allow the provisions of the Agreement to be applied de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notice is given. The Ministry of Foreign Affairs of the Republic of Tajikistan avails itself of this opportunity to renew to the Directorate General for Trade of the Commission of the European Union the assurance of its highest consideration. 52 AGREEMENT in the form of an Exchange of Letters between the European Community and Turkmenistan amending the Agreement between the European Economic Community and Turkmenistan on trade in textile products initialled at Brussels on 18 October 1993, as last amended by an Agreement in the form of an Exchange of Letters initialled on 25 January 1996 Letter from the Council of the European Union Sir, 1. I have the honour to refer to the Agreement between the European Economic Community and Turkmenistan on trade in textile products initialled on 18 October 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 25 January 1996 (hereafter referred to as the 'Agreement'). 2. In view of the expiry of the Agreement on 31 December 1999 and in accordance with Article 20 (4) of the Agreement, the European Community proposes to extend the duration of the Agreement, for a further period of at least three years, subject to the following amendments and conditions: 2. 1. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 2. The text of Article 20, paragraph 1, second and third sentences, of the Agreement shall be replaced by the following: 'It shall be applicable until 31 December 2002. Thereafter, the application of all of the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 2003, unless either Party notifies the other at least six months before 31 December 2002 that it does not agree with this extension. ' 2. 3. Textile categories 2, 3, 4, 5, 6, 7 and 8 are exempted from the double-checking system referred to in Article 2 (3) of the Agreement and specified in Protocol A. If, in a given year, the levels of imports of products of these textile categories exceed the rates specified in Article 5(2) of the Agreement, the double-checking system will be automatically reintroduced for these categories. 3. Should Turkmenistan become a Member of the World Trade Organisation before the date of expiry of the Agreement, the provisions of Articles 2 (2) to (6), 3, 6, 7, 8, 9, 11 to 19, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3 and Agreed Minute No 4 shall continue to be applicable as administrative arrangements within the meaning of Article 2 (17) of the WTO Agreement on Textiles and Clothing. 4. I should be obliged if you could kindly confirm your Government's acceptance of the foregoing. Should this be the case, this letter together with its appendix and your letter of acceptance will constitute an Agreement in the form of an Exchange of Letters which 53 shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 2000 on conditions of reciprocity. Please accept, Sir, the assurance of my highest consideration. For the Council of the European Union 54 Appendix 1 Annex I to the Agreement between the European Community and Turkmenistan on trade in textile products initialled on 18 October 1993, containing the category and goods descriptions for textiles products, is replaced by Annex I to EC Regulation 3030/9315. It is understood that, without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 15 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 55 Appendix 2 EXCHANGE OF NOTES The Directorate General for Trade of the Commission of the European Union presents its compliments to the Mission of Turkmenistan and has the honour to refer to the Agreement between the European Community and Turkmenistan on Trade in Textile Products initialled on 18 October 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on … 1999. The Directorate General for Trade wishes to inform the Mission of Turkmenistan that, whilst awaiting the completion of the necessary procedures for the conclusion and coming into force of the Agreement in the form of an Exchange of Letters, the European Community is prepared to allow the provisions of the Agreement to apply de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notice is given. The Directorate General for Trade would be grateful if the Mission of Turkmenistan would confirm its agreement to the foregoing. The Directorate General for Trade of the Commission of the European Union avails itself of this opportunity to renew to the Ministry of Foreign Affairs of Turkmenistan the assurance of its highest consideration. 56 Letter from the Government of Turkmenistan Sir, I have the honour to acknowledge receipt of your letter of …. which reads as follows: "Sir, 1. I have the honour to refer to the Agreement between the European Economic Community and Turkmenistan on trade in textile products initialled on 18 October 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 25 January 1996 (hereafter referred to as the 'Agreement'). 2. In view of the expiry of the Agreement on 31 December 1999 and in accordance with Article 20 (4) of the Agreement, the European Community proposes to extend the duration of the Agreement, for a further period of at least three years, subject to the following amendments and conditions: 2. 1. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 2. The text of Article 20, paragraph 1, second and third sentences, of the Agreement shall be replaced by the following: 'It shall be applicable until 31 December 2002. Thereafter, the application of all of the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 2003, unless either Party notifies the other at least six months before 31 December 2002 that it does not agree with this extension. ' 2. 3. Textile categories 2, 3, 4, 5, 6, 7 and 8 are exempted from the double-checking system referred to in Article 2 (3) of the Agreement and specified in Protocol A. If, in a given year, the levels of imports of products of these textile categories exceed the rates specified in Article 5(2) of the Agreement, the double-checking system will be automatically reintroduced for these categories. 3. Should Turkmenistan become a Member of the World Trade Organisation before the date of expiry of the Agreement, the provisions of Articles 2 (2) to (6), 3, 6, 7, 8, 9, 11 to 19, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3 and Agreed Minute No 4 shall continue to be applicable as administrative arrangements within the meaning of Article 2 (17) of the WTO Agreement on Textiles and Clothing. 4. I should be obliged if you could kindly confirm your Government's acceptance of the foregoing. Should this be the case, this letter together with its appendix and your letter of acceptance will constitute an Agreement in the form of an Exchange of Letters which shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 2000 on conditions of reciprocity. 57 Please accept, Sir, the assurance of my highest consideration. " I have the honour to confirm that my Government is in agreement with the content of your letter. Please accept, Sir, the assurance of my highest consideration. For the Government of Turkmenistan 58 Appendix 1 Annex I to the Agreement between the European Community and Turkmenistan on trade in textile products initialled on 18 October 1993, containing the category and goods descriptions for textiles products, is replaced by Annex I to EC Regulation 3030/9316. It is understood that without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 16 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 59 Appendix 2 EXCHANGE OF NOTES The Mission of Turkmenistan presents its compliments to the Directorate General for Trade of the Commission of the European Union and has the honour to refer to the Note of the Directorate General (date of Note Verbale) regarding the Agreement on trade in textile products initialled on 18 October 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled … 1999. The Mission of Turkmenistan wishes to confirm to the Directorate General for Trade that, whilst awaiting the completion of the necessary procedures for the conclusion and the coming into force of the Agreement Government of Turkmenistan is prepared to allow the provisions of the Agreement to be applied de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notice is given. in the form of an Exchange of Letters, The Mission of Turkmenistan avails itself of this opportunity to renew to the Directorate General for Trade of the Commission of the European Union the assurance of its highest consideration. 60 Agreement in the form of an Exchange of Letters between the European Community and the Republic of Uzbekistan amending the Agreement between the European Economic Community and the Republic of Uzbekistan on Trade in Textile Products initialled on 8 June 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 4 December 1995 Letter from the Council of the European Union Sir, 1. I have the honour to refer to the negotiations held on 14 and 15 September 1999 between our respective Delegations with a view to renew the Agreement between the European Community and the Republic of Uzbekistan on trade in textile products initialled on 8 June 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 4 December 1995. 2. As a result of these negotiations, both Parties agreed to amend the following provisions of the Agreement: 2. 1. The second and third sentence of Article 20, paragraph 1, are replaced by the following text: 'It shall be applicable until 31 December 2004. ' 2. 2. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 3 Annex II which sets out the quantitative restrictions for exports from the Republic of Uzbekistan to the European Community is replaced by Appendix 2 to this letter. 2. 4 Annex III which sets out the products without quantitative limits subject to the double-checking system referred to in Article 2 (3) of the Agreement is replaced by Appendix 3 to this letter. 2. 5 Article 5 Paragraph 2 is replaced by the following text: ' 2. Where the Community finds, under the system of administrative control set up, that the level of imports of products in a given category not listed in Annex II originating in Uzbekistan exceeds, in relation to the preceding year's total imports into the Community from all sources of products in that category, the following rates: – – – – 0,35 % for categories of products in Group I, except category 1, for category 1 the levels referred to in paragraph 5. 2bis, 1,2 % for categories of products in Group II, 4 % for categories of products in Groups III, IV and V, 61 it may request the opening of consultations in accordance with the procedure described in Article 15 of this Agreement, with a view to reaching agreement on an appropriate restraint level for the products in such category. ' 2. 6 A new Article 5. 2bis is inserted after Article 5. 2: '2bis. a) b) c) Uzbekistan will monitor the levels, as well as average prices, of exports into the EC of products of category 1, with a view to keeping them within the following targets as a share of total EC imports in such category: In the year 2000: 6%, in 2001: 7. 2%, in 2002: 8. 4%, in 2003: 9. 6% and in 2004: 10. 8%. The EC and Uzbekistan will consult whenever it appears that the targets are exceeded or are likely to be exceeded, as well as when average prices of exports from Uzbekistan are significantly below average prices of total imports of category 1 into the EC. The provisions on price monitoring as under Paragraph 2bis a) will be applicable to imports of category 2 from Uzbekistan as from 1. 1. 2004. ' 2. 7 For the purpose of facilitating the exchange of information on licenses for textile products under quota or under surveillance, an electronic link between the competent authorities of Uzbekistan and the SIGL system (système integré de gestion de licenses) will be established. the World Trade 3. Should the Republic of Uzbekistan become a Member of Organisation before the date of expiry of the Agreement, this Agreement and its annexes will be applied and notified to the World Trade Organisation as an Administrative Arrangement, and its provisions will be applied within the framework of the Agreements and rules of the World Trade Organisation. 4. The Agreed Minute set out in Appendix 3 to this letter shall form an integral part of the Agreement. 5. I should be obliged if you could kindly confirm the acceptance of your Government of the foregoing. Should this be the case, this Agreement in the form of an Exchange of Letters shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end it shall be applied provisionally from have been completed. 1 January 2000 on the condition of reciprocity to be specified in an Exchange of Notes (Appendix 5). In the meantime, Please accept, Sir, the assurance of my highest consideration. For the Council of the European Union 62 Appendix 1 Annex I to the Agreement between the European Community and Uzbekistan on trade in textile products including initialled on 8 June 1993 is replaced by Annex I to EC Regulation 3030/9317. It is understood that without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 17 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 63 Appendix 2 ANNEX II (The full product descriptions of the categories listed in this Annex are to be found in Annex I to the Agreement) Community Quantitative Limits (1000 tonnes) Categories Unit 2000 2001 2002 2003 2004 2 tonnes 8. 9 11. 5 13. 5 16. 5 free of which 2a tonnes 0. 89 1. 15 1. 35 1. 65 free 64 Appendix 3 ANNEX III (Products without quantitative limits subject to the double-checking system referred to in Article 2 (3) of the Agreement) 1 3 4 5 6 7 8 26 65 Appendix 4 AGREED MINUTE In the context of the Agreement between the European Community and the Republic of initialled in Brussels on 15 Uzbekistan on trade in textile and clothing products, September 1999, the Republic of Uzbekistan confirmed that the tariff rates presently applied for textiles and clothing products originating from the European Community are the rates contained in Annex 1 to this Agreed Minute. Both Parties agreed that these tariff rates shall not be exceeded for the duration of the Agreement. Concerning customs duties applicable to imports into the Republic of Uzbekistan of products covered by the Harmonised System codes 57, 58 and 63, the Community's proposal for their progressive alignment within the period of duration of the Agreement towards the customs duties applicable to imports of the same products into the Community was accepted by the Republic of Uzbekistan. The Republic of Uzbekistan agreed to reduce the rates according to the schedule contained in Annex 2 to this Agreed Minute. In the case of disagreement on the application of the provisions of the two foregoing paragraphs, the Community and the Republic of Uzbekistan will immediately start consultations in accordance with Article 15 paragraph of the Agreement with the aim to ensure the fulfilment of commitments undertaken by the parties. Should the disagreement persist after these consultations, the Community will have the right to reintroduce for the period of the agreement remaining unexpired on a pro rata basis the levels for quantitative restrictions for categories 2 and 2a applicable in 1999 as specified in the Exchange of Letters initialled on 4 December 1995. For category 1 the Community may reintroduce the basket exit limit of 0,35%. Both parties also agreed that the Republic of Uzbekistan will ensure that the supply to the Community industry of cotton and other raw textile materials, as well as of other textile products shall be made at conditions not less favourable than to users of other developed countries under normal market conditions. Brussels,. 1999. For the Government of the For the Council of the European Union Republic of Uzbekistan 66 ANNEX 1 to Agreed Minute Maximum rates of customs duties applicable to textiles products imported into the Republic of Uzbekistan from the European Community Chapter HS Codes Rates 50 50 50 50 50 50 50 51 51 51 51 51 51 51 51 51 51 51 51 51 52 52 52 52 52 52 52 52 52 52 52 52 53 53 53 53 53 53 53 53 53 53 5001 5002 5003 5004 5005 5006 5007 5101 5102 5103 5104 5105 5106 5107 5108 5109 5110 5111 5112 5113 5201 5202 5203 5204 5205 5206 5207 5208 5209 5210 5211 5212 5301 5302 5303 5204 5205 5206 5207 5208 5209 5210 67 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% Chapter 53 HS Codes 5211 Rates 0% 54 54 54 54 54 54 54 54 55 55 55 55 55 55 55 55 55 55 55 55 55 55 55 55 56 56 56 56 56 56 56 56 56 57 57 57 57 57 58 58 58 58 58 58 58 58 5401 5402 5403 5404 5405 5406 5407 5408 5501 5502 5503 5504 5505 5506 5507 5508 5509 5510 5511 5512 5513 5514 5515 5516 5601 5602 5603 5604 5605 5606 5607 5608 5609 5701 5702 5703 5704 5705 5801 5802 5803 5804 5805 5806 5807 5808 68 0% 0% 0% 0% 0% 0% 10% 10% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 10% 10% 10% 10% 0% 0% 0% 0% 0% 0% 0% 0% 0% (1) (1) (1) (1) (1) 15% (2) 0% 0% 0% 0% 0% 0% 0% Chapter 58 58 58 HS Codes 5809 5810 5811 Rates 0% 0% 0% 59 59 59 59 59 59 59 59 59 59 59 60 60 61 61 61 61 61 61 61 61 61 61 61 61 61 61 61 61 61 62 62 62 62 62 62 62 62 62 62 62 62 62 62 62 62 5901 5902 5903 5904 5905 5906 5907 5908 5909 5910 5911 6001 6002 6101 6102 6103 6104 6105 6106 6107 6108 6109 6110 6111 6112 6113 6114 6115 6116 6117 6201 6202 6203 6204 6205 6206 6207 6208 6209 6210 6211 6212 6213 6214 6215 6216 69 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 5% 5% 5% 5% 5% 5% 5% 5% 5% 5% 0% 5% 5% 5% 0% 5% 5% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% Chapter 62 HS Codes 6217 63 63 63 63 63 63 63 63 63 63 63 6301 6301 20 6302 6303 6304 6305 6306 6307 6308 6309 6310 Rates 0% 0% 10% 20% (3) 0% 0% 0% 0% 0% 0% 5% 0% (1) Rates in 1999: for carpets - 50%, for other textile floor coverings - 10%. Rates for carpets will be reduced starting in the year 2000 in accordance with the schedule specified in Annex 2 to the Agreed Minute. (2) Rates for products of HS 5801 will be reduced starting in the year 2000 in accordance with the schedule specified in Annex 2 to the Agreed Minute. (3) Rates for products of HS 6302 will be reduced starting in the year 2000 in accordance with the schedule specified in Annex 2 to the Agreed Minute. 70 ANNEX 2 to Agreed Minute Schedule for alignment of Uzbekistan's tariff rates for products of chapters 57, 58 and 63 of the HS code Reduction of tariffs of products of chapter HS 57 year 1999 2000 2001 2002 2003 2004 perc. 50% 30% 30% 30% 30% 30% Reduction of tariffs of products of HS 5801 year 1999 2000 2001 2002 2003 2004 perc. 15% 12% 10% 8% 8% 8% Reduction of tariffs of products of HS 6302 year 1999 2000 2001 2002 2003 2004 perc. 20% 20% 18% 17% 15% 15% 71 Appendix 5 EXCHANGE OF NOTES The Trade Directorate General of the European Commission presents its compliments to the Mission of the Republic of Uzbekistan to the European Union and has the honour to to the Agreement between the European Community and the Republic of refer Uzbekistan on Trade in Textile Products initialled on 8 June 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on …. The Directorate General for Trade wishes to inform the Mission of Uzbekistan that whilst awaiting the completion of the necessary procedures for the conclusion an coming into force of the Agreement in the form of an Exchange of Letters, the European Community is prepared to allow the provision of the Agreement to apply de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notices is given. The Directorate General would be grateful if the Mission of the Republic of Uzbekistan would confirm its authorities' agreement with the foregoing. The Directorate General for Trade of the European Commission avails itself of this opportunity to renew to the Mission of the Republic of Uzbekistan the assurance of its highest consideration. 72 Letter from the Government of the Republic of Uzbekistan Sir, I have the honour to acknowledge receipt of your letter of …. which reads as follows: "Sir, 1. I have the honour to refer to the negotiations held on 14 and 15 September 1999 between our respective Delegations with a view to renew the Agreement between the European Community and the Republic of Uzbekistan on trade in textile products initialled on 8 June 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 4 December 1995. 2. As a result of these negotiations, both Parties agreed to amend the following provisions of the Agreement: 2. 1. The second and third sentence of Article 20, paragraph 1, are replaced by the following text: 'It shall be applicable until 31 December 2004. ' 2. 2. Annex I which sets out the products referred to in Article 1 of the Agreement is replaced by Appendix 1 to this letter. 2. 3 Annex II which sets out the quantitative restrictions for exports from the Republic of Uzbekistan to the European Community is replaced by Appendix 2 to this letter. 2. 4 Annex III which sets out the products without quantitative limits subject to the double-checking system referred to in Article 2 (3) of the Agreement is replaced by Appendix 3 to this letter. 2. 5 Article 5 Paragraph 2 is replaced by the following text: ' 2. Where the Community finds, under the system of administrative control set up, that the level of imports of products in a given category not listed in Annex II originating in Uzbekistan exceeds, in relation to the preceding year's total imports into the Community from all sources of products in that category, the following rates: – – – – 0,35 % for categories of products in Group I, except category 1, for category 1 the levels referred to in paragraph 5. 2bis, 1,2 % for categories of products in Group II, 4 % for categories of products in Groups III, IV and V, it may request the opening of consultations in accordance with the procedure described in Article 15 of this Agreement, with a view to reaching agreement on an appropriate restraint level for the products in such category. ' 73 2. 6. A new Article 5. 2bis is inserted after Article 5. 2: '2bis. a) b) c) Uzbekistan will monitor the levels, as well as average prices, of exports into the EC of products of category 1, with a view to keeping them within the following targets as a share of total EC imports in such category: In the year 2000: 6%, in 2001: 7. 2%, in 2002: 8. 4%, in 2003: 9. 6% and in 2004: 10. 8%. The EC and Uzbekistan will consult whenever it appears that the targets are exceeded or are likely to be exceeded, as well as when average prices of exports from Uzbekistan are significantly below average prices of total imports of category 1 into the EC. The provisions on price monitoring as under Paragraph 2bis a) will be applicable to imports of category 2 from Uzbekistan as from 1. 1. 2004. ' 2. 7 For the purpose of facilitating the exchange of information on licenses for textile products under quota or under surveillance, an electronic link between the competent authorities of Uzbekistan and the SIGL system (système integré de gestion de licenses) will be established. the World Trade 3. Should the Republic of Uzbekistan become a Member of Organisation before the date of expiry of the Agreement, this Agreement and its annexes will be applied and notified to the World Trade Organisation as an Administrative Arrangement, and its provisions will be applied within the framework of the Agreements and rules of the World Trade Organisation. 4. The Agreed Minute set out in Appendix 3 to this letter shall form an integral part of the Agreement. 5. I should be obliged if you could kindly confirm the acceptance of your Government of the foregoing. Should this be the case, this Agreement in the form of an Exchange of Letters shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 2000 on the condition of reciprocity to be specified in an Exchange of Notes (Appendix 5). Please accept, Sir, the assurance of my highest consideration. " I have the honour to confirm that my Government is in agreement with the content of your letter. Please accept, Sir, the assurance of my highest consideration. For the Government of the Republic of Uzbekistan 74 Appendix 1 Annex I to the Agreement between the European Community and Uzbekistan on trade in textile products including initialled on 8 June 1993 is replaced by Annex I to EC Regulation 3030/9318. It is understood that without prejudice to the rules for the interpretation of the combined nomenclature, the wording of the description of goods is considered to be of indicative value only, since the products covered by each category are determined, within that Annex by CN codes. Where there is an 'ex' symbol in front of a CN code, the products covered in each category are determined by the scope of the CN code and by that of the corresponding description. 18 In 1999 this Annex was published in EC Official Journal No. L134 of 28. 5. 1999. 75 Appendix 2 ANNEX II (The full product descriptions of the categories listed in this Annex are to be found in Annex I to the Agreement) Community Quantitative Limits (1000 tonnes) Categories Unit 2000 2001 2002 2003 2004 2 tonnes 8. 9 11. 5 13. 5 16. 5 free of which 2a tonnes 0. 89 1. 15 1. 35 1. 65 free 76 Appendix 3 ANNEX III (Products without quantitative limits subject to the double-checking system referred to in Article 2 (3) of the Agreement) 1 3 4 5 6 7 8 26 77 Appendix 4 AGREED MINUTE In the context of the Agreement between the European Community and the Republic of initialled in Brussels on 15 Uzbekistan on trade in textile and clothing products, September 1999, the Republic of Uzbekistan confirmed that the tariff rates presently applied for textiles and clothing products originating from the European Community are the rates contained in Annex 1 to this Agreed Minute. Both Parties agreed that these tariff rates shall not be exceeded for the duration of the Agreement. Concerning customs duties applicable to imports into the Republic of Uzbekistan of products covered by the Harmonised System codes 57, 58 and 63, the Community's proposal for their progressive alignment within the period of duration of the Agreement towards the customs duties applicable to imports of the same products into the Community was accepted by the Republic of Uzbekistan. The Republic of Uzbekistan agreed to reduce the rates according to the schedule contained in Annex 2 to this Agreed Minute. In the case of disagreement on the application of the provisions of the two foregoing paragraphs, the Community and the Republic of Uzbekistan will immediately start consultations in accordance with Article 15 paragraph of the Agreement with the aim to ensure the fulfilment of commitments undertaken by the parties. Should the disagreement persist after these consultations the Community will have the right to reintroduce for the period of the agreement remaining unexpired on a pro rata basis the levels for quantitative restrictions for categories 2 and 2a applicable in 1999 as specified in the Exchange of Letters initialled on 4 December 1995. For category 1 the Community may reintroduce the basket exit limit of 0,35%. Both parties also agreed that the Republic of Uzbekistan will ensure that the supply to the Community industry of cotton and other raw textile materials, as well as of other textile products shall be made at conditions not less favourable than to users of other developed countries under normal market conditions. Brussels,. 1999. For the Government of the For the Council of the European Union Republic of Uzbekistan 78 ANNEX 1 to Agreed Minute Maximum rates of customs duties applicable to textiles products imported into the Republic of Uzbekistan from the European Community Chapter HS Codes Rates 50 50 50 50 50 50 50 51 51 51 51 51 51 51 51 51 51 51 51 51 52 52 52 52 52 52 52 52 52 52 52 52 53 53 53 53 53 53 5001 5002 5003 5004 5005 5006 5007 5101 5102 5103 5104 5105 5106 5107 5108 5109 5110 5111 5112 5113 5201 5202 5203 5204 5205 5206 5207 5208 5209 5210 5211 5212 5301 5302 5303 5204 5205 5206 79 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% Chapter 53 53 53 53 53 HS Codes 5207 5208 5209 5210 5211 54 54 54 54 54 54 54 54 55 55 55 55 55 55 55 55 55 55 55 55 55 55 55 55 56 56 56 56 56 56 56 56 56 57 57 57 57 57 5401 5402 5403 5404 5405 5406 5407 5408 5501 5502 5503 5504 5505 5506 5507 5508 5509 5510 5511 5512 5513 5514 5515 5516 5601 5602 5603 5604 5605 5606 5607 5608 5609 5701 5702 5703 5704 5705 80 Rates 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 10% 10% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 10% 10% 10% 10% 0% 0% 0% 0% 0% 0% 0% 0% 0% (1) (1) (1) (1) (1) Chapter HS Codes 58 58 58 58 58 58 58 58 58 58 58 59 59 59 59 59 59 59 59 59 59 59 60 60 61 61 61 61 61 61 61 61 61 61 61 61 61 61 61 61 61 62 62 5801 5802 5803 5804 5805 5806 5807 5808 5809 5810 5811 5901 5902 5903 5904 5905 5906 5907 5908 5909 5910 5911 6001 6002 6101 6102 6103 6104 6105 6106 6107 6108 6109 6110 6111 6112 6113 6114 6115 6116 6117 6201 6202 81 Rates 15% (2) 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 5% 5% 5% 5% 5% 5% 5% 5% 5% 5% 0% 5% 5% 5% 0% 5% 5% 0% 0% Chapter 62 62 62 62 62 62 62 62 62 62 62 62 62 62 62 63 63 63 63 63 63 63 63 63 63 63 HS Codes 6203 6204 6205 6206 6207 6208 6209 6210 6211 6212 6213 6214 6215 6216 6217 6301 6301 20 6302 6303 6304 6305 6306 6307 6308 6309 6310 Rates 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 10% 20% (3) 0% 0% 0% 0% 0% 0% 5% 0% (1) Rates in 1999: for carpets - 50%, for other textile floor coverings - 10%. Rates for carpets will be reduced starting in the year 2000 in accordance with the schedule specified in Annex 2 to the Agreed Minute. (2) Rates for products of HS 5801 will be reduced starting in the year 2000 in accordance with the schedule specified in Annex 2 to the Agreed Minute. (3) Rates for products of HS 6302 will be reduced starting in the year 2000 in accordance with the schedule specified in Annex 2 to the Agreed Minute. 82 ANNEX 2 to Agreed Minute Schedule for alignment of Uzbekistan's tariff rates for products of chapters 57, 58 and 63 of the HS code Reduction of tariffs of products of chapter HS 57 year 1999 2000 2001 2002 2003 2004 perc. 50% 30% 30% 30% 30% 30% Reduction of tariffs of products of HS 5801 year 1999 2000 2001 2002 2003 2004 perc. 15% 12% 10% 8% 8% 8% Reduction of tariffs of products of HS 6302 year 1999 2000 2001 2002 2003 2004 perc. 20% 20% 18% 17% 15% 15% 83 Appendix 5 EXCHANGE OF NOTES The Mission of the Republic of Uzbekistan to the European Union presents its compliments to the Directorate General for Trade of the European Commission and has the honour to refer to the Note of the Directorate General (date of Note Verbale) regarding the Agreement on trade in textile products initialled on 8 June 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on …. The Mission of the Republic of Uzbekistan wishes to confirm to the Directorate General that whilst awaiting the completion of the necessary procedures for the conclusion and the coming into force of the Agreement Government of the Republic of Uzbekistan is prepared to allow the provisions of the Agreement to be applied de facto from 1 January 2000. This is on the understanding that either Party may at any time terminate this de facto application of the Agreement in the form of an Exchange of Letters provided that four months notices is given. in the form of an Exchange of Letters, The Mission of the Republic of Uzbekistan to the European Union avails itself of this opportunity to renew to the Directorate General for Trade of the European Commission the assurance of its highest consideration. 84