Required Report - public distribution

**Date:** 3/28/2006

**GAIN Report Number:** RO6006

RO6006

**Romania**

**Trade Policy Monitoring**

**Annual**

**2006**

**Approved by:**

![](media/image1.wmf)Brian Goggin

U.S. Embassy Bucharest

**Prepared by:**

Cristina Cionga

**Report Highlights:**

Although in 2005 growth rate halved compared to the previous year,
Romania is still one of the most dynamic European economies and the top
importer of US agricultural products in the region. Adoption and
implementation of EU measures will impact U.S. exports of meats
(poultry, pork) and biotechnology products to Romania.

Includes PSD Changes: No

Includes Trade Matrix: No

Annual Report

Sofia \[BU1\]

\[RO\]

Table of Contents

[**Executive Summary 3**](#executive-summary)

[OVERVIEW 3](#overview)

[Table 1. Romanian Agricultural and Food Trade, chapters 1-24 in the HS
4](#table-1.-romanian-agricultural-and-food-trade-chapters-1-24-in-the-hs)

[Table 2. Top Romanian Agricultural Imports, 2005
5](#table-2.-top-romanian-agricultural-imports-2005)

[Table 3. Top Romanian Agricultural Exports, 2005
5](#table-3.-top-romanian-agricultural-exports-2005)

[Table 4. Romania's Agricultural Trade by Region (million US\$)
6](#table-4.-romanias-agricultural-trade-by-region-million-us)

[AGREEMENT COMPLIANCE 7](#agreement-compliance)

[World Trade Organization 7](#world-trade-organization)

[Market Access 8](#market-access)

[Tariffs 8](#tariffs)

[Sanitary and Phytosanitary Measures
9](#sanitary-and-phytosanitary-measures)

[Biotech Policy 10](#biotech-policy)

[Export Subsidies 11](#export-subsidies)

[Domestic Support 11](#domestic-support)

[Table 5. Production Support for Crop Programs, 2006
13](#table-5.-production-support-for-crop-programs-2006)

[OTHER TRADE AGREEMENTS 14](#other-trade-agreements)

[The European Association Agreement
14](#the-european-association-agreement)

[Table 6. TRQs applied in 2006 for Primary Agricultural Imports
Originating from EU
16](#table-6.-trqs-applied-in-2006-for-primary-agricultural-imports-originating-from-eu)

[Table 7. TRQs applied in 2006 for Processed Agricultural Imports
Originating from EU
20](#table-7.-trqs-applied-in-2006-for-processed-agricultural-imports-originating-from-eu)

[TRADE RESTRICTIONS AND OPPORTUNITIES
21](#trade-restrictions-and-opportunities)

# Executive Summary

# OVERVIEW

![](media/image2.wmf)Over the last few years, Romania has achieved
important improvements in its

macroeconomic indicators, in a consistent effort of the government
authorities, as the country's EU integration is approaching. The economy
continued to grow in 2005, though the rate halved (4.1 percent compared
to 8.3 percent in 2004, see Figure 1), while end-of-period consumer
price index (CPI) inflation went down to 8.3 and is likely to hit 6.5
percent by year-end 2006 and then fall to 4 percent by the end of 2007.
Nonetheless, such projections may be affected by the high world oil and
natural gas prices and the periodic adjustment of administered prices
for a number of items (accounting for 23% of the CPI basket). The public
deficit (a major source of instability in the past) was reduced from 4%
of GDP in 2000 to an estimated 0.8% in 2005. There are indications that
Romanian economy is going to slightly accelerate its growth to 4.5% in
2006 and further to 5.2% in real terms, based on better performance
of investments and exports[^1]. With a GDP per capita of about US\$4,000
in 2005 (up from US\$1,585 in 1999), Romania is a middle-income country.
Some 25% of its population lives below the poverty line.[^2]

The national economy is quite diversified, with services being the most
important sector in terms of contribution to GDP (roughly 49 percent, up
from 45 percent a year earlier). Agriculture is a key sector,
contributing 13 percent to GDP (2004) and employing more than 30% of the
labour force. Nonetheless, unfavorable weather conditions slowed down
this sector's growth in 2005, year in which agriculture's value added
weight in total GDP decreased to 9 percent.

While an exchange rate-based monetary policy used from 1999 to reduce
inflation to a single digit, the central bank officially switched to an
inflation-targeting regime in July 2005; this has been an appealing
policy development to investors, who trusted the leu[^3] (that is, the
national currency)'s appreciation. From November 2004, Romania maintains
a managed floating exchange rate regime, while since mid-2005 the
country has taken further steps towards full capital-account
convertibility, in preparation for its EU accession. From 1 July 2005,
non-residents have no restrictions on operations in current and deposit
accounts. Consequently, Romania, which hopes to join the European
Community in 2007, has become a target for portfolio investors, drawn by
its still high interest rate (around 8.5 percent) and steadily
appreciating currency. Nonetheless, the stronger leu penalizes country's
export competitiveness: in 2005, Romania\'s trade deficit widened over
46 percent compared to the previous year. The Central Bank's
representatives have nonetheless expressed views that not only leu's
appreciation has led to lower exports, but also the ineluctable
structural changes (towards higher value-added products like machinery
and equipment[^4]) in country's export base themselves. Productivity
gains and prudent wage policies are needed thus to offset the impact of
the stronger domestic currency.

The current account deficit continued to soar in 2005, reaching an
estimated 8 percent of GDP, on the background of:

-   balance of payment deficit financing: FDI, transfers, portfolio
    investment, multilateral and commercial external lending;

-   growing imports and exports;

-   improved access to international capital markets -- interests on a
    downwards trend, increased maturities, debt diversification;

-   no significant increase in domestic and external debt levels;

-   National Bank reserves continue to consolidate.

Romania exports quite a diversified range of products, but obviously the
weight of manufactured goods has increased since 2000, while the shares
of food and mining products have declined. Traditional exports like
textiles and clothing products are also losing ground.

The trade deficit in agricultural and food products (HS chapters 1-24)
continued to deepen in 2005, reaching a new record at \$1.6 billion, 28
percent up from the previous year (Table 1), with the value of exports
covering just 33 percent of the total import value. This accelerated
increase in agricultural merchandise trade deficit has largely been the
result of the GDP growth rate, and the rapid expansion in imported meats
(swine, poultry), tobacco and cigarettes, sugar, various food
ingredients and preparations (Table 2).

### Table 1. Romanian Agricultural and Food Trade, chapters 1-24 in the HS

(million US\$, nominal prices)

  --------------------- ------ ------ ------ ------ ------ ------- ------- -------
                        1997          2000   2001   2002   2003    2004    2005

  Agri-food exports     594    ...    338    433    434    568     730     833
  (fob)                                                                    

  Agri-food imports     695           932    1206   1174   1738    2042    2513
  (cif)                                                                    

  Balance               -101          -594   -773   -740   -1170   -1312   -1680

  Exports as a          85            36     36     37     33      28      33
  percentage of imports                                                    
  --------------------- ------ ------ ------ ------ ------ ------- ------- -------

Source: Romanian Customs

### Table 2. Top Romanian Agricultural Imports, 2005 

  --------- ----------------------------------------- ------------ ------------
  **HSC**   **Product**                               **IMPORT**   

                                                      **Amount     **Value
                                                      (MT)**       (thou \$)**

  0203      Meat of swine, fresh, chilled or frozen   192,490      388,103.1

  2402      Cigarettes, cigars and other              10,677       223,490.5

  1701      Cane or beat sugar and chemically pure    540,402      139,690.5
            sucrose                                                

  0207      Poultry meat and offal                    160,076      131,432.3

  2106      Food preparations NESOI                   38,467       111,479.4

  0901      Coffee, whether or roasted or             43,242       86,688.7
            decaffeinated                                          

  2401      Raw tobacco                               20,930       77,318.4

  2309      Preparations used in animal feeding       122,060      72,267.0

  0803      Bananas, fresh or dehydrated              143,207      65,858.8

  0805      Citrus fruits, fresh or dehydrated        141,616      52,248.6

  0303      Fish, frozen, excluding fish fillets and  60,176       51,254.5
            other fish meat of heading 0304                        

  0202      Meat of bovine animals, frozen            24,191       48,548.8

  1905      Bread, pastry, other bakers' wares        18,464       44,287.9

  2208      Undenatured ethyl alcohol of an alcoholic 5,824        43,705.5
            strength by volume of less than 80%                    

  1511      Palm oil, whether or not refined          45,144       29,661.0

  0504      Guts, bladders and stomachs of animals    9,076        27,560.6

  1206      Sunflowerseed, whether or not broken      53,036       27,254.7

  1806      Chocolate and other                       10,150       26,797.1

  2005      Vegetables, processed or preserved, other 29,623       25,864.6
            than in vinegar, NESOI                                 

  2008      Fruits and other edible plant parts       20,856       25,467.9

  0209      Pig fat and poultry fat, fresh, chilled,  33,031.94    24,694.6
            frozen, salted, in brine, dried or smoked              

  2304      Soybean meal                              88,132.97    24,487.4

  1001      Wheat and meslin                          158,767.70   23,533.2

  0206      Edible offal fresh, chilled, frozen       31,526.52    23,079.1

  1006      Rice                                      79,729.10    22,352.9
  --------- ----------------------------------------- ------------ ------------

Source: Romanian Customs

Agricultural exports in 2005 continued the steady upward evolution begun
in 2000, registering a 14 percent growth, with most traded products in
live sheep (11 percent of the total), live bovine animals (9 percent),
corn (6 percent), oilseeds for crushing (6 percent), edible oil (6
percent), and barley (4 percent) (Table 3).

### Table 3. Top Romanian Agricultural Exports, 2005 

+-----+----------------------------------------+----------+------------+
| *   | **Product**                            | **       |            |
| *HS |                                        | EXPORT** |            |
| C** |                                        |          |            |
+-----+----------------------------------------+----------+------------+
|     |                                        | **       | **Value    |
|     |                                        | Amount** | (thou      |
|     |                                        |          | \$)**      |
|     |                                        | **(MT)** |            |
+-----+----------------------------------------+----------+------------+
| 0   | Live sheep animals                     | 41,545.0 | 91,763.1   |
| 104 |                                        |          |            |
+-----+----------------------------------------+----------+------------+
| 0   | Live bovine animals                    | 35,355.1 | 73,860.1   |
| 102 |                                        |          |            |
+-----+----------------------------------------+----------+------------+
| 1   | Corn                                   | 4        | 55,310.5   |
| 005 |                                        | 30,282.8 |            |
+-----+----------------------------------------+----------+------------+
| 1   | Sunflowerseed, whether or not broken   | 1        | 55,106.7   |
| 206 |                                        | 88,439.3 |            |
+-----+----------------------------------------+----------+------------+
| 1   | Refined sunflowerseed oil              | 83,332.4 | 54,723.5   |
| 512 |                                        |          |            |
+-----+----------------------------------------+----------+------------+
| 1   | Barley                                 | 3        | 37,620.6   |
| 003 |                                        | 17,460.7 |            |
+-----+----------------------------------------+----------+------------+
| 0   | Other nuts, fresh or dried, whether or | 9,953.0  | 31,590.4   |
| 802 | not shelled or peeled                  |          |            |
+-----+----------------------------------------+----------+------------+
| 1   | Wheat and meslin                       | 2        | 30,232.9   |
| 001 |                                        | 58,836.3 |            |
+-----+----------------------------------------+----------+------------+
| 1   | Rapeseed whether or not broken         | 1        | 28,407.2   |
| 205 |                                        | 11,669.3 |            |
+-----+----------------------------------------+----------+------------+
| 0   | Other vegetables, fresh or chilled     | 3,836.3  | 25,114.6   |
| 709 |                                        |          |            |
+-----+----------------------------------------+----------+------------+
| 1   | Bread, pastry, other bakers' wares     | 12,271.1 | 24,450.1   |
| 905 |                                        |          |            |
+-----+----------------------------------------+----------+------------+
| 2   | Oilcake and other solid residues       | 2        | 23,940.7   |
| 306 |                                        | 60,024.3 |            |
+-----+----------------------------------------+----------+------------+
| 2   | Wine of fresh grapes, including        | 26,956.4 | 22,298.2   |
| 204 | fortified wines                        |          |            |
+-----+----------------------------------------+----------+------------+
| 2   | Fruit juices and vegetable juices,     | 32,836.4 | 21,699.3   |
| 009 | unfermented                            |          |            |
+-----+----------------------------------------+----------+------------+
| 1   | Other prepared or preserved meat, meat | 5,021.7  | 17,243.9   |
| 602 | offal or blood                         |          |            |
+-----+----------------------------------------+----------+------------+
| 0   | Vegetables (uncooked or cooked by      | 3,426.8  | 17,141.5   |
| 710 | steeming), frozen                      |          |            |
+-----+----------------------------------------+----------+------------+
| 0   | Cheeses and curd                       | 4,298.7  | 14,849.6   |
| 406 |                                        |          |            |
+-----+----------------------------------------+----------+------------+
| 0   | Natural honey                          | 6,631.6  | 12,525.1   |
| 409 |                                        |          |            |
+-----+----------------------------------------+----------+------------+
| 1   | Soybeans whether or not broken         | 49,780.2 | 12,453.2   |
| 201 |                                        |          |            |
+-----+----------------------------------------+----------+------------+
| 2   | Food preparations NESOI                | 7,260.9  | 10,044.4   |
| 106 |                                        |          |            |
+-----+----------------------------------------+----------+------------+
| 1   | Soybean oil, whether or not refined    | 17,081.4 | 9,543.8    |
| 507 |                                        |          |            |
+-----+----------------------------------------+----------+------------+
| 0   | Poultry meat and offal                 | 2,593.0  | 8,758.9    |
| 207 |                                        |          |            |
+-----+----------------------------------------+----------+------------+
| 0   | Dried vegetables, whole, cut, sliced,  | 369.7    | 8,372.0    |
| 712 | but not further prepared               |          |            |
+-----+----------------------------------------+----------+------------+
| 0   | Meat of sheep or goats fresh, chilled  | 1,586.1  | 7881.1     |
| 204 | or frozen                              |          |            |
+-----+----------------------------------------+----------+------------+
| 0   | Live horses and mule animals           | 5,711.7  | 7,795.0    |
| 101 |                                        |          |            |
+-----+----------------------------------------+----------+------------+

Source: Romanian Customs

About two thirds of Romania\'s agricultural exports go to the EC (Table
4); Italy is still the major single export market (16.5 percent of total
merchandise exports in 2005), followed by Spain (9.3 percent), Greece
(8.4 percent), and Germany (7.6 percent). The share exported to another
major partner, Turkey, rose to 8.4 percent from 6 percent in 2004. The
value of Romania\'s agricultural exports to the United States decreased
by 11 percent in 2005.

Total merchandise agricultural imports have increased constantly over
the last few years, reaching a peak of \$2,513 million in 2005 (up from
\$2,042 million in 2004), due to strong GDP growth. Swine meat
represented 15 percent of the total (compared to 11 percent in 2004);
the share of cigarettes and tobacco products made up about 12 percent,
while the share of sugar almost reached 6 percent. Other major imports
continued to be in 2005 poultry meat and various food ingredients.

### Table 4. Romania's Agricultural Trade by Region (million US\$)

  --------- --------- ------ ------ ------- --------- ------ ------ -------- ---------
            Exports                         Imports                          2005

            2002      2003   2004   2005    2002      2003   2004   2005     Balance

  EU        222       325    485    540     443       572    1044   1328.6   -788.6

  CEFTA     55        107    61     78      244       451    47     66.6     11.4

  USA       4         7      7      6.3     106       93     198    231.3    -225

  Moldova   17        17     20     20.8    29        39     29     39.4     -18.6

  Other     136       112    157    187.9   352       583    724    847.5    -659.6
  --------- --------- ------ ------ ------- --------- ------ ------ -------- ---------

Source: Romanian Customs

EU is the leading source of Romania's agri-food imports, accounting in
2005 for 53 percent of the total (pretty steady from 2004). By country,
Germany supplied 9.6 percent of the food merchandise imports, followed
by US (8.9 percent), Poland (5 percent), and respectively Italy and
Turkey (each with roughly 4 percent).

# AGREEMENT COMPLIANCE

Romania\'s membership in various arrangements makes its trade regime
quite complex.

Romania offers at least MFN treatment to all its trading partners. The
country is signatory to regional trade agreements, the most important
being the European Association Agreement. This became effective on
February 1, 1995, and, after by the two parties progressively
liberalizing trade until customs duties elimination, Romania is
currently aligning its preferential regime with that of the EC.

Romania has a trade agreement with the European Free-Trade Association
(EFTA): Switzerland, Iceland, Liechtenstein, Norway (being member from
1993).

From July 1997, Romania is a member of the Central European Free-Trade
Agreement (CEFTA); after May 2004, when the first wave of Central
European states officially joined the EU, only Bulgaria, Romania and
Croatia remained parties of the CEFTA Agreement.

Other agreements the country is part of are bilateral free-trade
agreements (BFTAs) with countries Israel, Moldova, Turkey Lithuania,
Albania, Bosnia-Herzegovina and Macedonia and the Black Sea Economic
Cooperation (BSEC). In addition, the Global System of Trade Preferences
for Developing Countries, with 42 developing and less developed
countries;

the Association Protocol signed between Romania and 16 developing
countries (P16); currently there are 13 members signatory to the
Protocol.

## 

## World Trade Organization

The WTO Agreement and the commitments envisaged by the European
Association Agreement are the main factors shaping up the Romanian
trading system. Currently, Romania continues to work with the EC on
bilateral concessions for agricultural products up to the point when the
country, after becoming a full EU member, will have to adopt the EU
trade regime and the CXT. Consequently, domestic legislation on the
import and export regimes, standards and technical regulations, public
procurement, competition policy, and intellectual property rights has
been amended to reflect both its EC and WTO commitments.

Romania became a member of the General Agreement on Tariffs and Trade
(GATT) in 1974, and was an original member of the WTO. As a developing
country, under the Uruguay Round it bound most of its tariff rates for
agricultural products at significant levels (on average, at 109
percent), which were gradually reduced by the end of 2004. In fact,
though, these binding tariffs have seldom operated, as applied rates
stood at much lower levels (currently averaging roughly 25 percent).
Romania also obtained "special and differential treatment" from the WTO
developed members and could adopt protectionist policies not only in
terms of tariffs, but also with regard to domestic support reduction.
The base period for reduction commitments was 1986-88, when Romania's
capacity to allocate significant funding for agricultural subsidies and
the domestic production were relatively high.

In the recent years, Romania's trade policy has been consistent with its
commitments to the World Trade Organization. Import and export flows do
not require excessive licensing and quantitative restrictions.
Administrative waivers were eliminated from 1997. Import licenses are
needed only for products that are covered by tariff rate quotas (TRQs)
as a result of the various trade agreements the country is party to.
TRQs within WTO have been hardly used since 1997, because Romania's
applied MFN import duty rates have been lower than the WTO in-quota
tariffs. There has not been any tariff-rate quota formally opened since
2003, because of the better market access provided in Romania's general
schedule.

Export licenses were discarded in 1997, with the exception of those for
commodities under the preferential quotas. However, Romania has on a few
occasions unilaterally resorted to temporary bans in case of domestic
shortages.

Romania regularly participates in the Doha round discussions following,
in general, the position of the EU. On agriculture, it is interested in
strengthening the rules on competition (i.e., export subsidies) and on
domestic support at farm level.

From 2005, the authorities took steps in transposing into national
legislation mechanisms specific to the EU trade system, as follows:

-   **Law 300/2005** on setting up an import and export certificate
    system for agricultural products (published in the Official Gazette
    on Oct. 27, 2005). The law transposes in a simplified manner
    Commission Regulation (EC) No 1291/2000 of 9 June 2000 laying down
    common detailed rules for the application of the system of import
    and export licences and advance fixing certificates for agricultural
    products.

-   **Law 299/2005** on setting up an import and export guarantee system
    for agricultural products (published in the Official Gazette on Oct.
    27, 2005). The Law transposes in a simplified manner Commission
    Regulation (EC) No 2220/1985 laying down common detailed rules for
    the application of the system of import and export licences and
    advance fixing certificates for agricultural products.

-   **Emergency Ordinance 161/2005** laying down amendments to art. 22
    of Law 299/2005 and to art. 33 of Law 300/2005 (published in the
    Official Gazette on 25 Nov. 2005)

Secondary legislation for the application of the two Laws:

-   **Government Decision 255/2005** laying down a list of products for
    which export and import certificates are to be issued as well as the
    value of the guarantees (published in the Official Gazette on 28
    Feb. 2006).

-   **Government Decision 1517/2005** for approving Methodological Norms
    for enforcement of Law 300/2005 (published in the Official Gazette
    on 27 Dec. 2005).

-   **Government Decision 191/2006** for approving Methodological Norms
    for enforcement of Law 299/2005 (published in the Official Gazette
    on 22 Feb 2006).

-   **Minister of Public Finance's Order 144/2006** providing the List
    of banks eligible to issue letters of guarantee in connection with
    art. 11 para (1) of Law 299/2005 (published in the Official Gazette
    on 6 Feb. 2006).

-   **Minister of Agriculture, Forests and Rural Development's Order
    150/2006** approving procedures for opening import quotas on
    specified swine meat and poultry meat products originated from EU,
    as well as for the management of these quotas within the period 1
    March - 31 December 2006 (published in the Official Gazette on 1
    March 2006)

## Market Access

### Tariffs 

In accordance with the URA provisions, Romania's high bound tariffs for
agricultural products were reduced by an average of 24% during the
ten-year implementation period (1995-2004). As already mentioned,
however, for all agri-food products, there are large differences between
bound and applied rates, as import tariffs have been lowered for most
agricultural products in several stages since 1997. Changes in the
Romanian import schedule are incorporated annually in GOR Decisions
usually adopted in December of the previous year and become effective as
of January 1. Nonetheless, the year 2006 brought a unique situation, the
authorities extending through mid-February the 2005 schedule. On
February 13, 2006, the GOR passed the regulation (Government Decision
200/2006) approving Romania's new import schedule (valid from February
16 through December 31), which incorporated changes of major importance
to US exporters (see RO6005), as it raised the tariff on frozen leg
quarters from 45 to 70 percent until August 15, 2005. Other than this,
no change in the MFN tariffs was passed, except for duty on swine liver
(HSC 0206 41), decreased to 10 percent in 2006 (from 20 percent in
2005).

Production-weighted current import tariffs currently average 25 percent,
with the highest rates being set at 45 percent on sensitive products
such as poultry, pork, beef and meat preparations, dairy products,
selected vegetables.

Duty rates on alcoholic beverages and cigarettes, though decreasing over
the past four years, are maintained at the substantial levels from 2005.
From 2003, as a result of domestic industry's lobby, taxes on refined
sugar are preserved at 90%, while raw sugar is taxed with 60%[^5].
Higher protection rates apply during the harvest season for selected
fresh fruits (apples: 100% customs duties) and vegetables (tomatoes:
90%).

Reductions are offered on a Most-Favored-Nation basis, i.e., to all WTO
members.

### Sanitary and Phytosanitary Measures

Romania is adopting the European legislation a very fast pace as the
European integration is approaching. Major part of the newly adopted
legislation has already been implemented. Legislation on food additives,
food flavors, pesticides and residues, food contaminants, organic
products and biotech products was amended during 2005.

Adoption and implementation of EU measures will have a severe impact on
U.S. exports of meats (poultry, beef) and biotechnology products to
Romania, but U.S. products continue to have market access in this
interim period.

Currently, due to the fact that the Romanian veterinary authorities
accepted the equivalence and regionalization principles, there are no
major SPS restrictions to US exporters. Meats (pork and poultry) can be
freely exported to Romania. In addition, other animal products such as
tripe, casings, genetics, petfood originating from US are accepted with
proper certification, including on specified risk materials (SRM) for
BSE.

The Veterinary Order no. 148/2005, in effect since January 2006,
regulates the activities of surveillance, prevention and control of
animal diseases, the ones transmissible to humans, animal protection and
environment protection. This regulation provides for each disease a set
of rules regarding surveillance, sample testing, risk areas, inspection
frequency. Sanitary and veterinary surveillance in farms, food
processing establishments, cold storages, and stores is also provided by
this regulation.

Other regulations refer to poultry meat, live animals protection, animal
by-products not intended for human consumption, biological reproduction
material, fishery products.

The phytosanitary legal framework has little changed over the last two
years. GOR Ordinance 136/2000 (approved through Law 214/2001) and GOR
Decision 1030/2001 (changed by GOR Decision 1619/2003) are the main
legal provisions in this field. The methodological norms of the latest
provide a full list of organisms considered harmful on the Romanian
territory and which are forbidden for importation. Also, agricultural
products contaminated with the specified organisms are forbidden for
importation.

Every year Ministry of Agriculture updates the Official Catalogue of
registered varieties of plants for cultivation in Romania (Order
727/2005), which includes all varieties tested by the State Institute
for Varieties Testing and Registration. The following set of information
is published for each variety: name, owner, registration year,
re-registration date (year) or de-listing date (year), comments. Crop,
vegetable and ornamental plant varieties are kept in the Official
catalogue for 10 years, and 15 years in case of fruit trees, vineyard
and ornamental shrubs. Two years before this period expires, a request
for re-registration along with the necessary seeds for testing should be
submitted to the appropriate authority.

U.S. suppliers is important to note that only plant varieties for
cultivation (seeds and propagating material) included in the Romanian
Official Register, or in the EU Official Catalogue or in the Official
Catalogue of one of the Member States will be accepted for importation
in Romania. The importer wishing to import one plant variety should
request an Import permit, along with documents proving that the plant
variety has been already registered/introduced in EU official plant
register or one of the Member States.

Order 257/2002 issued by Ministry of Agriculture regulates import of
seeds and propagating material for multiplication and cultivation.
Phyto-sanitary certificate issued by APHIS for certain plant species
listed in Annex 5 of GOR Decision 1030/2001 and the import approval are
the main documents necessary for importation.

The phytosanitary certificate, issued by USDA/APHIS, must accompany the
products imported from the United States, certifying that the product is
free of quarantine organisms.

### Biotech Policy 

In 2005, Romanian farmers planted 85,000 hectares of Round-up Ready
Soybeans and had excellent yields. For the first time since the
Revolution Romania became a net exporter of vegetable protein. The
adoption of GMO soybeans provided Romania with a unique opportunity to
produce an export crop and lower the cost of producing animal feed which
will be critical for pig and poultry producers to compete with more
heavily subsidized EU producers.

Romania had approved the cultivation of Round-up ready soybeans through
December 31, 2005. Seed companies submitted to the authorities the
dossier requesting the re-approval of the product for 2006, but have not
received a response yet. Nonetheless, there were indications from the
GOR (including via press releases) that Romania would approve
cultivation of GM Soybean in 2006.

The national biotech framework law (No. 214/2002) is harmonized with the
EU relevant legislation. Thus, bio-engineered crops are to be approved
for testing, consumption and commercialization prior to imports into
Romania.

In March 2006, via GOR Decision 173, in accordance with its EU accession
commitments, Romania adopted measures on traceability and labeling of
food products deriving from GMOs. (Regs 1829/03 and 1830/03). Thresholds
for labeling, as per current EU regulations, were in Romania set for
Romania as well at 0.9% for an adventitious presence of an authorized GM
in food or feed and, respectively, 0.5% for the accidental presence of
unauthorized, but scientifically acceptable GMOs. For the first time,
animal feed, if produced from GM crops, are required to be labeled.

The GOR has recently taken various measures to limit and control GMOs,
particularly in this pre-accession year. Among those, the decision to
introduce a discriminatory subsidization of conventional vs. transgenic
soybeans, the new requirement for a 15 km buffer zone between GMOs and
natural protected areas (as per Emergency Ordinance 195/2005), as well
as the provision for all farmers to seek approval for each individual
field to be planted to GM soybeans. Also, the GOR decided to officially
ban plantings of transgenic soybeans from 2007.

## Export Subsidies

Within URA, Romania obtained non-zero commitments on export subsidies
for most agricultural commodities: live animals, meats, cereals,
oilseeds, sugar, dairy products. Starting from the reference level of
support within the period 1986-1989, the value of export subsidies (in
constant 1986-89 prices) was to be reduced by 24 per cent and the
quantity of subsidised exports by 14 per cent during the ten-year
implementation period.

Nonetheless, such export incentives were only seldom used.

The legal basis for the current policy is provided by GOR Decision
1518/2002. Although this regulation leaves room for quite a variety of
products eligible for export rebates, in fact in 2005 the only amount
budgeted for this purpose was roughly \$222,000, corresponding to 8,080
HL (that is, \$27.5/HL). This was to cover (as per Ministerial Order
755/2005) controlled origin wine exports to any destination except the
European Union. Rebates were claimed for just 1,910 HL.

GOR Decision 11/2006 (published in the Official Gazette no. 36 from 16
January 2006) includes amendments and additions to GD 1518/2002.
According to the 2006 budgetary allocation at the disposal of the
Ministry of Agriculture, Forestry and Rural Development, 14 million RON
can be used for export refunds for meat products, cereals and wine. So
far (as per Ministerial Order 75 from February 2006), another 8,080 HL
of wine are eligible for export subsidies, at RON 90/HL (that is,
\$31/HL at the current exchange rate).

## 

## 

## Domestic Support

Benefiting from its developing country status (the *de minimis* clause),
Romania can provide trade-distorting support up 10 percent of the value
of output of each product.

Final figures for FY2005 (Jan-December) show that the total
appropriation at the disposal of the Ministry of Agriculture, Forests
and Rural Development stood at RON 2,339.9 million (\$802 million)[^6],
of which roughly 12,000 billion in measures exempted from the reduction
commitment ("green-box" type measures). These covered the main
agricultural products: wheat, milk, corn, sunflower and rapeseed,
soybeans, sugar beet, flax and hemp, potatoes, vegetables, fruits,
fodder, live bovine animals, live swine and live poultry.

The Ministry of Agriculture's budget for 2006 is RON 2,860 million
(equiv. of approx. \$1,000 million at the current exchange rate).

"The Farmer" program is a new support measure to provide co-financing to
SAPARD funds and takes 25% of Ministry of Agriculture's total budget.
This basically represents support for investments and the program was
budgeted with 700 million RON, of which 450 million for the livestock
sector and the balance for the crop sector.

Another "green box" measure is supporting land reclamation activities,
maintenance and repairs of irrigation systems and modernization of
pumping stations. For this purpose, the budgetary outlay stands at 220
million RON (8 percent of total budget).

Forestry will be getting a similar support of 250 million RON,
especially for reforestation programs and erosion control.

An early retirement scheme has been also developed and budgeted in
FY2006, to promote agricultural land consolidation: for a life annuity
from 50 to 100 euros per hectare the elderly can give their lands to
young farmers (either by selling or leasing them out). Total budget
allocated for this year is 56 million RON. Another 47 million lei are
allocated for the introduction of an unified agricultural and forestry
land registration (cadastre) system.

The appropriation for institutional support consolidation stands at 500
million old RON.

Most support measures are handled by the Paying and Intervention Agency.
In addition, the national SAPARD agency was turned in March 2006 into a
Paying Agency for Rural Development and Fisheries, in preparation for
the future structural funding.

One main change is the shift to direct support per cultivated areas and
animal head. A total of 630 million lei were budgeted for both livestock
and crops sector. These measures are considered transitory to the EU
direct payment system, while most schemes from the previous years were
discontinued.

In the crop sector, wheat, corn and sunflower are not any longer
eligible for explicit budgetary support, while production subsidies are
mainly directed to industrial crops, sugar beet production and tobacco
(see Table 5). For "market price support measures", 110 million RON were
allocated. This includes the introduction of a grain market intervention
system.

Most of livestock production subsidies are provided per head of animal
and can be described as "green box-type". Eligible are dairy cows,
sheep, and fish and the subsidy is especially meant to increase
livestock number and improve husbandry practices. Market price support
is budgeted for hogs and broilers delivered to processors.

Dairy cows will be subject of a payment per head ranging from RON
500-700/head, as follows: 200 RON/head within the initial 60 days from
giving birth if calf resulted through artificial insemination, 100
RON/head if the cow had been conventionally inseminated by a certified
bull; 300 RON/head for all cows which are registered with the Official
Performance Control Office, 100 RON/head for cows registered with the
genealogic register, 200 RON/head for cows ecologically certified, 200
RON/head after 6 month age of a calf resulted through artificial
insemination, 100 RON/head for a calf resulted through conventionally
insemination.

Sheep production will receive support for the first time. The condition
is that the animal is to be held by the owner for at least six months
and have farms of at least 50 sheep. Subsidies range from 20 RON/head of
sheep to 50 RON/head of male.

Support measures for swine and poultry sectors qualify as market
distorting-type. Hog subsidies of 120 RON/head will be provided for
animals of 90 kilos weight from E class in accordance to EUROP carcass
classification system. Similarly, hogs from U class will get a 100
RON/head, 140 RON/head will be provided to hogs ecologically certified,
50 RON/head will be given for piglet production.

Poultry producers are eligible for subsidies from 1.4 RON/head if
broilers delivered to slaughterhouses weigh at least 1.75 KG LWE.

Honey producers will receive a direct payment provided that their
production is of minimum 10 kilograms. Subsidies range between 20
RON/bee family elite to 30 RON/bee family for organic honey.

Starting 2007 only farmers whose land is recorded in the national
Register Book are eligible for subsidies. It is estimated that over 1.5
million farms will be eligible for further subsidies from 2007. The
registration of these farms is still ongoing and is due to be completed
by the end of this calendar year.

### Table 5. Production Support for Crop Programs, 2006

  ------------------- --------- ------------ ---------- --------- ------------- ------------
  Product             Unit      Support per  Of which:            Total support Hectares
                      measure   unit                                            estimated to
                                                                                receive
                                                                                subsidies

                                RON          Vouchers   Cash      Thou lei      
                                                        payment   (RON)         

  Non-GM soybean      Ha        500          250        250       17,500        35,000

  Technical plants    Ha        900          450        450       1,800         2,000

  Rice                Ha        1500         750        750       9,000         6,000

  Medical and         Ha        1110         555        555       6,660         6,000
  Aromatic Plants                                                               

  Hops                Ha        1441         721        720       722           501

  Fruit tree          Ha        400          400                  40,000        100,000
  plantations                                                                   

  Vineyards           Ha        200          200                  20,000        100,000

  Sugar beat          Ha        1.5          750        750       44,250        29,500,000

  Field vegetables    Ha        400          200        200       20,000        50,000

  Greenhouse          Ha        4            2          2         10,000        2,500,000
  vegetables                                                                    

  Greenhouses         Ton       500                     500       22,500        45,000

  Mushrooms           Ton       500                     500       2,500         5,000

  Authorization of    Ha        10                      10        160           16,000
  vineyards of known                                                            
  origin                                                                        

  Certification and   Liter     0.12                    0,12      9,600          
  marking of quality                                                            
  of wine of known                                                              
  origin                                                                        

  Processing of       Ton       311.5                   311,5     300            
  textile fibers                                                                

  Tomatoes for        Ton       125                     125       3,125         25,000
  processing                                                                    

  Peaches for         Ton       170                     170       570           3,353
  processing                                                                    

  Other fruits and    Ton       150                     5.4       5,400         36,000
  vegetables for                                                                
  industrialization                                                             

  Tobacco             Ton       1876                    1876      23,100        12,313

  Support to producer                                   3         3,000          
  groups for fruit                                                              
  and vegetable                                                                 
  production                                                                    

  Certified organic   Ha        728                     728       11,650        16,003
  crops                                                                         

  **Total**                                                       **251,837**    
  ------------------- --------- ------------ ---------- --------- ------------- ------------

Source: Ministry of Agriculture, Forestry and Rural Development

# OTHER TRADE AGREEMENTS

## The European Association Agreement

The EU Association Agreement was Romania's first major step towards the
European membership. Ratified in 1995, it provides that both partners
are committed to reciprocally make concessions for industrial products
so that by the end of the transitional period (i.e., in 2002) all
tariffs and quotas would be eliminated. This is not the case of
agricultural products, acknowledged as very sensitive and for which the
most important provisions concern import quotas with reduced levies and
preferential tariff rates.

The EU phased out more rapidly its trade barriers, granting concessions
in either unlimited volumes or within TRQs for agricultural products
imported from Romania.

Similarly, Romania granted two types of preferences to the EU:

-   reduced tariffs for some products, either in unlimited quantities

-   tariff bindings for processed agricultural commodities

These initial concessions were subject to subsequent renegotiations over
the last years. The results of these negotiations were grouped under the
"double zero" and the "double profit" agreements.

A new phase of bilateral liberalization of the agricultural trade regime
was concluded between the Government of Romania and the European Union
in May 2005 and promulgated by the Romanian Parliament in July in the
form of an Additional Protocol to the "European" Association Agreement.
This Protocol is seen as a further and necessary step prior to Romania's
2007 or 2008 full EU membership and assessed to give the trade flows
between Romania and EU-25 a new boost.

Romania is currently in full process of adopting the common market
mechanisms, although a tight budget makes authorities concerned about
how domestic exporters will be able to use the new trade concessions. EU
domestic support and export refund practices, combined with a lack of
competitiveness of the local producers themselves, resulted, for
Romania, in increasing agricultural trade deficits since 1995, when the
European Agreement was ratified by the two parties.

The May 2005 Additional Protocol to the European Agreement entered into
effect on August 1, 2005, provides two types of lists of products for
which the two parties reached consensus in improving market access:

1)  A list of products for which trade will be fully liberalized. Among
    the products originated from EU that will be applied zero customs
    duties when imported into Romania there are:

live dairy cows both for reproduction and dairy purposes,

swine animals both for breeding and production,

live chickens, meat of wild boar, meat of sheep or goats,

beef liver and offal (HSCs 0206 1091, 0206 1099, 0206 2100, 0206 2200,
0206 2999)[^7],

swine liver, fresh or frozen (0206 3000 and 0206 4100),

pig fat dried or smoked (0209 0019 and 0209 0030),

meat and edible meat offal salted, in brine, dried or smoked (including
swine liver and offal: 0210 9941, 0210 9949, bovine offal 0210 9959,
geese liver),

bee honey (0409 0000),

various vegetables,

fresh of frozen,

coconuts, other nuts,

fresh or dried (0802),

various fruits (bananas (0803),

tropical fruits (0804),

citrus fruits (0805),

fresh grapes for wine,

raisins (0806 20), pears and quinces, cherries, plums, raspberries,
currants),

coffee (0901),

seasonings and aromatic plants,

starches,

peanuts (1202),

sunflowerseed for sowing,

hop cones (1210),

other pig fat (including lard) and poultry fat (1501 00),

other fats of bovine and sheep animals (1502 00),

fats of fish,

crude and refined soybean oil for technical use (1507 1010 and 1507
9010),

peanut oil, olive oil, sunflowerseed oil for technical use, rapeseed
oil,

homogenized preparations of liver (1602 2011, 1602 2019),

other prepared meat of swine (1602 4190, 1602 4290, 1602 4990),

maple sugar and syrup (1702 20), other sugars, including pure lactose,
maltose, glucose and fructose (1702 1900, 1702 30, 1702 9060, 1702 9071,
1702 9075, 1702 9079, 1702 9080, 1702 9099, 1703),

vegetables preserved by vinegar, other than by vinegar or by sugar,

peanuts and peanut butter (2008 11),

roasted almonds & pistachio (2008 1913 and 2008 1993), nut and dry fruit
mixtures, pineapple and pineapple juice, citrus and tropical fruit
juice,

grape must (2204 30),

fermented beverages (cider, perry, mead: 2206 00),

residues of cereals (2302),

residues of starch manufacture (2303),

oilcakes (soybean 2304 00, peanut 2305 00, other 2306),

preparations for animal feeding (2309 90),

albumins,

flax and hamp.

2)  A list of products for which increased in-tariff quotas apply from
    August 1, 2005. Ministerial Orders 745 and 746 of the Ministry of
    Economy and Trade lay down the TRQs for products originated from EU
    that will apply from January 1- December 31, 2006 (Tables 6 and 7).

### Table 6. TRQs applied in 2006 for Primary Agricultural Imports Originating from EU 

+---+--------+----------------+----------+----------+-------+--------+
|   | HSC    | Product        | TRQ      | Date of  | I     | U      |
|   |        |                | (MT),    | opening  | mport | nitary |
|   |        |                |          |          | duty  | allo   |
|   |        |                | if not   | (d       | (%)   | cation |
|   |        |                | o        | d.mm.yy) |       | (MT if |
|   |        |                | therwise |          |       | not    |
|   |        |                | s        |          |       | oth    |
|   |        |                | pecified |          |       | erwise |
|   |        |                |          |          |       | spec   |
|   |        |                |          |          |       | ified) |
+===+========+================+==========+==========+=======+========+
| 1 | 0102   | Cows and       | 15,000   | 03       | 15    | 150    |
| \ | 90 51  | heifers        | heads    | .01.2006 |       | heads  |
| . |        | weighing more  |          |          |       |        |
|   | 0102   | than 300 kg    |          |          |       |        |
|   | 90 59  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 0102   |                |          |          |       |        |
|   | 90 61  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 0102   |                |          |          |       |        |
|   | 90 71  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 2 | 0103   | Live swine     | 14,000   | 03       |       | 150    |
| \ | 92 19  | animals        |          | .01.2006 |       |        |
| . |        | weighing more  |          |          | 15    |        |
|   |        | than 50 kg     |          |          |       |        |
|   |        | (except for    | 1,000    |          |       | 60     |
|   |        | breeding sows  | heads    | 03       |       | heads  |
|   |        | weighing more  |          | .07.2006 |       |        |
|   |        | than 180 kg    |          |          |       |        |
|   |        | and for        |          |          |       |        |
|   |        | purebred       |          |          |       |        |
|   |        | breeding       |          |          |       |        |
|   |        | animals)       |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 3 | 0201   | Meat of bovine | 4,000    | 03       | exe   | 20     |
| \ |        | animals,       |          | .01.2006 | mpted |        |
| . | 0202   | fresh, chilled |          |          |       |        |
|   |        | or frozen      |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 4 | 0203   | Swine meat,    | 23,000   | 03       | exe   | 40     |
| \ | 22     | fresh, chilled |          | .01.2006 | mpted |        |
| . |        | or frozen.     |          |          |       |        |
|   | 0203   |                |          |          |       |        |
|   | 29     |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 0210   |                |          |          |       |        |
|   | 11     |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 0210   |                |          |          |       |        |
|   | 12     |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 0210   |                |          |          |       |        |
|   | 19     |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 5 | 0206   | Fresh or       | 100      | 03       | exe   | 1      |
| \ | 10 95  | chilled edible |          | .01.2006 | mpted |        |
| . |        | offal of       |          |          |       |        |
|   |        | bovine         |          |          |       |        |
|   |        | animals, other |          |          |       |        |
|   |        |                |          |          |       |        |
|   |        | Frozen edible  |          |          |       |        |
|   | 0206   | offal of       |          |          |       |        |
|   | 29 91  | bovine         |          |          |       |        |
|   |        | animals, other |          |          |       |        |
|   |        |                |          |          |       |        |
|   |        | Meat of bovine |          |          |       |        |
|   |        | animals        |          |          |       |        |
|   |        | salted, dried  |          |          |       |        |
|   | 0210   | or smoked      |          |          |       |        |
|   | 20     |                |          |          |       |        |
|   |        | Edible offal   |          |          |       |        |
|   |        | of bovine      |          |          |       |        |
|   |        | animals, other |          |          |       |        |
|   | 0210   |                |          |          |       |        |
|   | 99 51  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 6 | 0207   | Meat and       | 9,000    |          | exe   |        |
| \ |        | edible offal,  | o/w:     |          | mpted |        |
| . |        | of the poultry |          | 03       |       |        |
|   |        | of heading     | 4,500    | .01.2006 |       |        |
|   |        | 0105, fresh,   | Sem, I   |          |       |        |
|   |        | chilled or     |          |          |       |        |
|   |        | frozen         | o/w:     |          |       | 20     |
|   |        |                |          |          |       |        |
|   |        |                | 1,000    |          |       | 20     |
|   |        |                | new      |          |       |        |
|   |        |                | i        |          |       |        |
|   |        |                | mporters | 03       |       |        |
|   |        |                |          | .07.2006 |       |        |
|   |        |                | 3,500    |          |       |        |
|   |        |                | tra      |          |       | 20     |
|   |        |                | ditional |          |       |        |
|   |        |                | i        |          |       | 20     |
|   |        |                | mporters |          |       |        |
|   |        |                |          |          |       |        |
|   |        |                | 4,500    |          |       |        |
|   |        |                | Sem, II, |          |       |        |
|   |        |                | o/w      |          |       |        |
|   |        |                |          |          |       |        |
|   |        |                | 500 new  |          |       |        |
|   |        |                |          |          |       |        |
|   |        |                | 4,000    |          |       |        |
|   |        |                | tra      |          |       |        |
|   |        |                | ditional |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 7 | 0402   | Milk and sour  | 1,500    | 03       | exe   | 20     |
| \ | 10 19  | cream, in      |          | .01.2006 | mpted |        |
| . |        | powder or      |          |          |       |        |
|   | 0402   | other solid    |          |          |       |        |
|   | 21 11  | forms          |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 0402   |                |          |          |       |        |
|   | 21 19  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 0402   |                |          |          |       |        |
|   | 21 91  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 8 | 0403   | Yogurt, plain, | 1,000    | 03       | exe   | 20     |
| \ | 10 11  | no sugar or    |          | .01.2006 | mpted |        |
| . | to     | cocoa added    |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 0403   | Other, plain,  |          |          |       |        |
|   | 10 39  | no fruit or    |          |          |       |        |
|   |        | cocoa added    |          |          |       |        |
|   | 0403   |                |          |          |       |        |
|   | 90 11  |                |          |          |       |        |
|   | to     |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 0403   |                |          |          |       |        |
|   | 90 69  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 9 | 0405   | Butter and     | 1,900    |          | exe   |        |
| \ | 10     | other fats     | o/w:     |          | mpted |        |
| . |        | derived from   |          | 03       |       | 20     |
|   | 0405   | milk           | 950      | .01.2006 |       |        |
|   | 90     |                | Sem,I    |          |       | 20     |
|   |        |                |          | 03       |       |        |
|   |        |                | 950      | .07.2006 |       |        |
|   |        |                | Sem,II   |          |       |        |
|   |        |                |          |          |       |        |
|   |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 0406   | Cheese and     | 3,000    |          | exe   |        |
| 0 |        | curd           | o/w:     |          | mpted |        |
| \ |        |                |          | 03       |       | 20     |
| . |        |                | 1,400    | .01.2006 |       |        |
|   |        |                | Sem,I    |          |       | 20     |
|   |        |                |          | 03       |       |        |
|   |        |                | 1,600    | .07.2006 |       |        |
|   |        |                | Sem,II   |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 0407   | Birds' eggs    | 2,000    | 03       | exe   | 15     |
| 1 | 00 11  | for hatching   |          | .01.2006 | mpted |        |
| a |        |                |          |          |       |        |
|   | 0407   |                |          |          |       |        |
|   | 00 19  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 0407   | Other          | 330      | 03       | exe   | 15     |
| 1 | 00 30  |                |          | .01.2006 | mpted |        |
| b |        | Birds' eggs    |          |          |       |        |
|   | 0408   | not in shell   |          |          |       |        |
|   | 11 80  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 0408   |                |          |          |       |        |
|   | 19 81  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 0408   |                |          |          |       |        |
|   | 19 89  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 0408   |                |          |          |       |        |
|   | 91 80  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 0408   |                |          |          |       |        |
|   | 99 80  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 0701   | Potatoes,      | 20,000   | 03       | exe   | 60     |
| 2 | 90 10  | fresh or       |          | .01.2006 | mpted |        |
| \ |        | chilled, other |          |          |       |        |
| . | 0701   | than for       |          |          |       |        |
|   | 90 50  | sowing or for  |          |          |       |        |
|   |        | starch         |          |          |       |        |
|   | 0701   | production     |          |          |       |        |
|   | 90 90  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 07 02  | Tomatoes       | 300      | 03       | exe   | 10     |
| 3 | 00 00  |                |          | .01.2006 | mpted |        |
| \ |        |                |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 0703   | Onion, chilled | 5,000    | 03       | exe   | 20     |
| 4 | 10 19  | or fresh (not  |          | .01.2006 | mpted |        |
| \ |        | for sowing)    |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 0706   | Carrots and    | 1,000    | 03       | exe   | 10     |
| 5 | 10 00  | turnips, fresh |          | .01.2006 | mpted |        |
| \ |        | or chilled     |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 0706   | Celery, fresh  | 250      | 03       | exe   | 5      |
| 6 | 90 10  | or chilled     |          | .01.2006 | mpted |        |
| \ |        |                |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 0707   | Cucumbers,     | 200      | 03       | exe   | 5      |
| 7 | 00 05  | fresh or       |          | .01.2006 | mpted |        |
| \ |        | chilled        |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 0709   | *              | 300      | 03       | exe   | 5      |
| 8 | 51 00  | Agaricus*-type |          | .01.2006 | mpted |        |
| \ |        | mushrooms,     |          |          |       |        |
| . |        | fresh or       |          |          |       |        |
|   |        | chilled        |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 0808   | Fresh apples   | 500      | 03       | exe   | 5      |
| 9 | 10 80  | (except for    |          | .01.2006 | mpted |        |
| \ |        | the ones for   |          |          |       |        |
| . |        | cider, in      |          |          |       |        |
|   |        | bulk, from     |          |          |       |        |
|   |        | Sept 16 to     |          |          |       |        |
|   |        | December 15    |          |          |       |        |
|   |        | and Golden     |          |          |       |        |
|   |        | Deliciuos and  |          |          |       |        |
|   |        | Granny Smith   |          |          |       |        |
|   |        | varieties)     |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 2 | 0809   | Fresh apricots | 200      | 03       | exe   | 5      |
| 0 | 10 00  |                |          | .01.2006 | mpted |        |
| \ |        |                |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 2 | ex     | Wheat and      | 125,000  | 03       | exe   | 2000   |
| 1 | 1001   | meslin, except |          | .01.2006 | mpted |        |
| \ |        | for durum      |          |          |       |        |
| . |        | wheat for      |          |          |       |        |
|   |        | sowing         |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 2 | 1002   | Rye            | 30,000   | 03       | exe   | 500    |
| 2 | 00 00  |                |          | .01.2006 | mpted |        |
| \ |        |                |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 2 | 1003   | Barley         | 57,000   | 03       | exe   | 200    |
| 3 | 00     |                |          | .01.2006 | mpted |        |
| \ |        | Barley flour   |          |          |       |        |
| . | 1102   |                |          |          |       |        |
|   | 90 10  | Barley groats  |          |          |       |        |
|   |        | and meal       |          |          |       |        |
|   | 1103   |                |          |          |       |        |
|   | 19 30  | Barley pellets |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1103   |                |          |          |       |        |
|   | 20 20  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 2 | 1004   | Oats           | 7,000    | 03       | exe   | 200    |
| 4 | 00 00  |                |          | .01.2006 | mpted |        |
| \ |        | Oats flour     |          |          |       |        |
| . | 1102   |                |          |          |       |        |
|   | 90 30  | Oats groats    |          |          |       |        |
|   |        | and meal       |          |          |       |        |
|   | 1103   |                |          |          |       |        |
|   | 19 40  | Oats pellets   |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1103   |                |          |          |       |        |
|   | 20 30  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 2 | 1005   | Corn for       | 3,700    | 03       | exe   | 100    |
| 5 | 10     | sowing         |          | .01.2006 | mpted |        |
| \ |        |                |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 2 | 1005   | Corn, other    | 49,000   | 03       | exe   | 1000   |
| 6 | 90 00  | than for       |          | .01.2006 | mpted |        |
| \ |        | sowing         |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 2 | 1006   | Rice           | 10,000   | 03       | exe   | 200    |
| 7 |        |                |          | .01.2006 | mpted |        |
| \ | 1102   | Rice flour     |          |          |       |        |
| . | 30 00  |                |          |          |       |        |
|   |        | Rice groats    |          |          |       |        |
|   | 1103   | and meal       |          |          |       |        |
|   | 19 50  |                |          |          |       |        |
|   |        | Rice pellets   |          |          |       |        |
|   | 1103   |                |          |          |       |        |
|   | 20 50  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 2 | 1101   | Wheat and      | 3,000    | 03       | exe   | 50     |
| 8 | 00     | meslin flour   |          | .01.2006 | mpted |        |
| \ |        |                |          |          |       |        |
| . | 1103   | Wheat groats   |          |          |       |        |
|   | 11     | and meal       |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1103   | Wheat pellets  |          |          |       |        |
|   | 20 60  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
|   |        |                | 80,000   | 03       | 15    | 50     |
|   |        |                |          | .01.2006 |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 2 | 1105   | Potato flour   | 100      | 03       | exe   | 5      |
| 9 |        | and meal       |          | .01.2006 | mpted |        |
| \ |        |                |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 3 | 1107   | Malt           | 31,100   | 03       | exe   | 1000   |
| 0 |        |                |          | .01.2006 | mpted |        |
| \ |        |                |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 3 | 1507   | Crude soybean  | 2,500    | 03       | exe   | 20     |
| 1 | 10 90  | oil            |          | .01.2006 | mpted |        |
| \ |        |                |          |          |       |        |
| . | 1507   | Other soybean  |          |          |       |        |
|   | 90 90  | oil            |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 3 | 1517   | Margarine with | 1,000    | 03       | exe   | 20     |
| 2 | 10 90  | less than 10%  |          | .01.2006 | mpted |        |
| \ |        | fat content    |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 3 | 1601   | Sausages       | 1,125    | 03       | exe   | 10     |
| 3 | 00 10  | prepared of    |          | .01.2006 | mpted |        |
| \ |        | liver and      |          |          |       |        |
| . |        | similar        |          |          |       |        |
|   |        | products       |          |          |       |        |
|   |        |                |          |          |       |        |
|   |        | Sausages not   |          |          |       |        |
|   | 1601   | made of meat,  |          |          |       |        |
|   | 00 91  | offal and      |          |          |       |        |
|   |        | blood (except  |          |          |       |        |
|   |        | for liver)     |          |          |       |        |
|   |        |                |          |          |       |        |
|   |        | Sausages and   |          |          |       |        |
|   |        | similar        |          |          |       |        |
|   | 1601   | products, of   |          |          |       |        |
|   | 00 99  | meat, offal    |          |          |       |        |
|   |        | (other than    |          |          |       |        |
|   |        | liver) or      |          |          |       |        |
|   |        | blood          |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 3 | 1602   | Homogenized    | 1,250    | 03       | 15    | 10     |
| 4 | 10 00  | preparations   |          | .01.2006 |       |        |
| \ |        | of meat, offal |          |          |       |        |
| . |        | or blood, in   |          |          |       |        |
|   |        | packs under    |          |          |       |        |
|   |        | 250 grams      |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 3 | 1602   | Poultry meat,  | 1,200    | 03       | exe   | 20     |
| 5 | 31 la  | prepared or    |          | .01.2006 | mpted |        |
| \ | 1602   | preserved      |          |          |       |        |
| . | 39     |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 3 | 1602   | Ham & cuts     | 2,125    | 03       | exe   | 20     |
| 6 | 41 10  | thereof, of    |          | .01.2006 | mpted |        |
| \ |        | swine animals  |          |          |       |        |
| . | 1602   |                |          |          |       |        |
|   | 42 10  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1602   |                |          |          |       |        |
|   | 49 11  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1602   |                |          |          |       |        |
|   | 49 13  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1602   |                |          |          |       |        |
|   | 49 15  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1602   |                |          |          |       |        |
|   | 49 30  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1602   |                |          |          |       |        |
|   | 49 50  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 3 | 1602   | Prepared meat  | 500      | 03       | exe   | 10     |
| 7 | 50     | of bovine      |          | .01.2006 | mpted |        |
| \ |        | animals        |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 3 | 1701   | Cane sugar,    | 20,000   |          | exe   |        |
| 8 | 11     | raw            | o/w :    |          | mpted |        |
| \ |        |                |          |          |       | 100    |
| . | 1701   | Beet sugar,    | 7,000    |          |       |        |
|   | 12     | raw            | new      |          |       | 200    |
|   |        |                | i        |          |       |        |
|   | 1701   | Other sugar    | mporters | 03       |       |        |
|   | 91     |                |          | .01.2006 |       |        |
|   |        | White sugar or | 13,000   |          |       |        |
|   | 1701   | other sugar,   | tra      |          |       |        |
|   | 99     | not containing | ditional |          |       |        |
|   |        | flavorings or  |          |          |       |        |
|   |        | coloring       |          |          |       |        |
|   |        | matter         |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
|   |        |                | 15,000   |          | 18,8  | 200    |
|   |        |                | tra      |          |       |        |
|   |        |                | ditional |          |       |        |
|   |        |                |          |          |       |        |
|   |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 3 | 2001   | Cucumbers      | 2,000    | 03       | exe   | 10     |
| 9 | 10 00  | including      |          | .01.2006 | mpted |        |
| \ |        | gherkins,      |          |          |       |        |
| . | 2001   | preserved by   |          |          |       |        |
|   | 90 70  | vinegar        |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2001   |                |          |          |       |        |
|   | 90 93  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2001   |                |          |          |       |        |
|   | 90 99  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 4 | 2002   | Tomatoes,      | 2,000    | 03       | exe   | 10     |
| 0 |        | preserved,     |          | .01.2006 | mpted |        |
| \ |        | other than by  |          |          |       |        |
| . |        | vinegar        |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 4 | 2005   | Potatoes,      | 250      | 03       | exe   | 10     |
| 1 | 20 20  | preserved,     |          | .01.2006 | mpted |        |
| \ |        | other than by  |          |          |       |        |
| . | 2005   | vinegar,       |          |          |       |        |
|   | 20 80  | non-frozen,    |          |          |       |        |
|   |        | other that of  |          |          |       |        |
|   |        | heading 2006   |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 4 | 2005   | Peas,          | 1,200    | 03       | exe   | 10     |
| 2 | 40 00  | preserved,     |          | .01.2006 | mpted |        |
| \ |        | other than by  |          |          |       |        |
| . |        | vinegar,       |          |          |       |        |
|   |        | non-frozen,    |          |          |       |        |
|   |        | other that of  |          |          |       |        |
|   |        | heading 2006   |          |          |       |        |
|   |        |                |          |          |       |        |
|   |        | Beans          |          |          |       |        |
|   | 2005   |                |          |          |       |        |
|   | 51 00  | Other          |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2005   |                |          |          |       |        |
|   | 59 00  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 4 | 2005   | Olives,        | 5,000    | 03       | exe   | 60     |
| 3 | 70     | preserved      |          | .01.2006 | mpted |        |
| \ |        |                |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 4 | 2007   | Jams, fruit    | 500      | 03       | exe   | 10     |
| 4 | 10 10  | jellies,       |          | .01.2006 | mpted |        |
| \ |        | marmalades     |          |          |       |        |
| . | 2007   |                |          |          |       |        |
|   | 10 99  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2007   |                |          |          |       |        |
|   | 99 10  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2007   |                |          |          |       |        |
|   | 99 20  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2007   |                |          |          |       |        |
|   | 99 31  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2007   |                |          |          |       |        |
|   | 99 33  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2007   |                |          |          |       |        |
|   | 99 39  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2007   |                |          |          |       |        |
|   | 99 55  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2007   |                |          |          |       |        |
|   | 99 57  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2007   |                |          |          |       |        |
|   | 99 91  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2007   |                |          |          |       |        |
|   | 99 98  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 4 | 2009   | Tomato juice   | 100      | 03       | exe   | 5      |
| 5 | 50 10  |                |          | .01.2006 | mpted |        |
| \ |        |                |          |          |       |        |
| . | 2009   |                |          |          |       |        |
|   | 50 90  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 4 | 2009   | Grape juice    | 1,000    | 03       | exe   | 20     |
| 6 | 61     | (including     |          | .01.2006 | mpted |        |
| \ | 2009   | must), with or |          |          |       |        |
| . | 69     | without added  |          |          |       |        |
|   |        | sugar          |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 4 | 2009   | Pear juice,    | 300      | 03       | exe   | 20     |
| 7 | 80 11  | with or        |          | .01.2006 | mpted |        |
| \ |        | without added  |          |          |       |        |
| . | 2009   | sugar          |          |          |       |        |
|   | 80 19  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 80 35  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 80 38  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 80 50  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 80 61  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 80 63  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 80 69  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 80 71  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 80 79  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 80 86  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 80 89  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 80 95  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 80 96  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 80 99  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 90 11  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 90 19  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 90 21  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 90 29  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 90 31  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 90 39  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 90 51  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 90 59  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 90 94  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 90 96  |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2009   |                |          |          |       |        |
|   | 90 98  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 4 | 2209   | Vinegar (of    | 1,000    | 03       |       | 20     |
| 8 | 00 11  | wine), bottled |          | .01.2006 |       |        |
| \ |        | in less than 2 |          |          | exe   |        |
| . |        | liters         |          |          | mpted |        |
|   |        |                | 100      |          |       | 5      |
|   | 2209   | Vinegar (of    |          | 03       |       |        |
|   | 00 19  | wine), bottled |          | .07.2006 |       |        |
|   |        | in more than 2 |          |          |       |        |
|   |        | liters         |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 2209   | Vinegar (other |          |          |       |        |
|   | 00 91  | than of wine), |          |          |       |        |
|   |        | bottled in     |          |          |       |        |
|   |        | less than 2    |          |          |       |        |
|   |        | liters         |          |          |       |        |
|   |        |                |          |          |       |        |
|   |        | Vinegar (other |          |          |       |        |
|   |        | than of wine), |          |          |       |        |
|   |        | bottled in     |          |          |       |        |
|   | 2209   | more than 2 l  |          |          |       |        |
|   | 00 99  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 4 | 2309   | Dog or cat     | 11,000   | 03       | exe   | 100    |
| 9 | 10     | food           |          | .01.2006 | mpted |        |
| \ |        |                |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 5 | 2401   | Raw tobacco    | 3,200    | 03       | exe   | 62,5   |
| 0 | cu     |                |          | .01.2006 | mpted |        |
| \ | ex     |                |          |          |       |        |
| . | cepţia |                |          |          |       |        |
|   | 2401   |                |          |          |       |        |
|   | 30 00  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 5 | ex     | Tobacco stems  | 500      | 03       | exe   | 10     |
| 1 |        |                |          | .01.2006 | mpted |        |
| \ | 2401   |                |          |          |       |        |
| . | 30 00  |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+

### Table 7. TRQs applied in 2006 for Processed Agricultural Imports Originating from EU

+---+--------+----------------+----------+----------+-------+--------+
|   | HSC    | Product        | TRQ      | Date of  | I     | U      |
|   |        |                | (MT),    | opening  | mport | nitary |
|   |        |                |          |          | duty  | allo   |
|   |        |                | if not   | (d       | (%)   | cation |
|   |        |                | o        | d.mm.yy) |       | (MT if |
|   |        |                | therwise |          |       | not    |
|   |        |                | s        |          |       | oth    |
|   |        |                | pecified |          |       | erwise |
|   |        |                |          |          |       | spec   |
|   |        |                |          |          |       | ified) |
+===+========+================+==========+==========+=======+========+
| 1 | 1806   | Chocolate and  | 2,200    | 03       | 0     | 10     |
| \ | 3210   | other food     |          | .01.2006 |       |        |
| . |        | products       |          |          |       |        |
|   | 1806   | containing     |          |          |       |        |
|   | 9019   | cocoa          |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1806   |                |          |          |       |        |
|   | 9031   |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1806   |                |          |          |       |        |
|   | 9039   |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1806   |                |          |          |       |        |
|   | 9050   |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1806   |                |          |          |       |        |
|   | 9060   |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 2 | 1806   | Chocolate and  | 240      | 03       | 0     | 2      |
| \ | 9070   | other food     |          | .01.2006 |       |        |
| . |        | products       |          |          |       |        |
|   | 1806   | containing     |          |          |       |        |
|   | 9090   | cocoa          |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 3 | 1901   | Mixes and      | 200      | 03       | 0     | 2      |
| \ | 2000   | doughs for the |          | .01.2006 |       |        |
| . |        | preparation of |          |          |       |        |
|   |        | bakers' wares  |          |          |       |        |
|   |        | of heading     |          |          |       |        |
|   |        | 1905           |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 4 | 1904   | Prepared foods | 220      | 03       | 0     | 2      |
| \ | 10 10  | obtained by    |          | .01.2006 |       |        |
| . |        | the swelling   |          |          |       |        |
|   | 1904   | or roasting of |          |          |       |        |
|   | 20 91  | cereals        |          |          |       |        |
|   |        |                |          |          |       |        |
|   |        | Prepared foods |          |          |       |        |
|   |        | from unroasted |          |          |       |        |
|   |        | cereal flakes  |          |          |       |        |
|   |        | or mixtures    |          |          |       |        |
|   |        | and roasted    |          |          |       |        |
|   |        | corn flakes    |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 5 | 1905   | Bread, pastry, | 5,000    | 03       | 0     | 10     |
| \ | 2010   | cakes,         |          | .01.2006 |       |        |
| . |        | biscuits and   |          |          |       |        |
|   | 1905   | other bakers'  |          |          |       |        |
|   | 2030   | wares, whether |          |          |       |        |
|   |        | or not         |          |          |       |        |
|   | 1905   | containing     |          |          |       |        |
|   | 3111   | cocoa          |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1905   |                |          |          |       |        |
|   | 3119   |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1905   |                |          |          |       |        |
|   | 3191   |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1905   |                |          |          |       |        |
|   | 3199   |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1905   |                |          |          |       |        |
|   | 32     |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1905   |                |          |          |       |        |
|   | 9045   |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 1905   |                |          |          |       |        |
|   | 9055   |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 19     |                |          |          |       |        |
|   | 059060 |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 19     |                |          |          |       |        |
|   | 059090 |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 6 | 2004   | Potatoes       | 180      |  03      | 0     |  2     |
| \ | 1091   | prepared or    |          | .01.2006 |       |        |
| . |        | preserved      |          |          |       |        |
|   | 2005   | otherwise than |          |          |       |        |
|   | 2010   | by vinegar,    |          |          |       |        |
|   |        | frozen. Other  |          |          |       |        |
|   |        | than products  |          |          |       |        |
|   |        | of heading     |          |          |       |        |
|   |        | 2006           |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 7 | 2102   | Prepared       | 60       | 03       | 0     | 1      |
| \ | 3000   | baking         |          | .01.2006 |       |        |
| . |        |                |          |          |       |        |
|   |        | Powders        |          |          |       |        |
|   |        |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 8 | 2105   | Ice-cream      | 160      | 03       | 0     | 1      |
| \ | 0010   |                |          | .01.2006 |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 9 | 2202   | Waters,        | 5,000    | 03       | 0     | 20     |
| \ |        | including      |          | .01.2006 |       |        |
| . |        |                |          |          |       |        |
|   |        | mineral and    |          |          |       |        |
|   |        | aerated        |          |          |       |        |
|   |        | waters,        |          |          |       |        |
|   |        | containing     |          |          |       |        |
|   |        | added sugar    |          |          |       |        |
|   |        | and other      |          |          |       |        |
|   |        | sweeteners     |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 2203   | Bear made from | 15,600   | 03       | 0     | 100    |
| 0 | 00     | malt           | HL       | .01.2006 |       |        |
| \ |        |                |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | ex     | Wine of fresh  | 60,000   | 03       | 0     | 500    |
| 1 | 2204   | grapes         | HL       | .01.2006 |       |        |
| \ | 10     |                |          |          |       |        |
| . |        |                |          |          |       |        |
|   | 220421 |                |          |          |       |        |
|   |        |                |          |          |       |        |
|   | 220429 |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 2205   | Vermouth and   | 1,200 HL | 03       | 50%   | 20     |
| 2 |        | other wine of  |          | .01.2006 | of    |        |
| \ |        | fresh grapes   |          |          | MFN   |        |
| . |        |                |          |          | duty  |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 2208   | Spirits        | 2,000    | 03       | 50%   | 20     |
| 3 | 20     | obtained by    |          | .01.2006 | of    |        |
| \ |        | distilling     |          |          | MFN   |        |
| . |        | grape wine or  |          |          | duty  |        |
|   |        | grape marc     |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 2208   | Whisky         | 6,500 HL | 03       | 17.5% | 20     |
| 4 | 30     |                |          | .01.2006 |       |        |
| \ |        |                |          |          |       |        |
| . |        |                |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 2208   | Rum and tafia  | 100 HL   | 03       | 50%   | 1      |
| 5 | 40     |                |          | .01.2006 | of    |        |
| \ |        |                |          |          | MFN   |        |
| . |        |                |          |          | duty  |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 2208   | Gin and        | 100 HL   | 03       | 50%   | 1      |
| 6 | 50     | juniper        |          | .01.2006 | of    |        |
| \ |        | distilled      |          |          | MFN   |        |
| . |        |                |          |          | duty  |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 2208   | Vodka          | 200 HL   | 03       | 50%   | 1      |
| 7 | 60     |                |          | .01.2006 | of    |        |
| \ |        |                |          |          | MFN   |        |
| . |        |                |          |          | duty  |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | 2208   | Liqueurs       | 150 HL   | 03       | 50%   | 1      |
| 8 | 70     |                |          | .01.2006 | of    |        |
| \ |        |                |          |          | MFN   |        |
| . |        |                |          |          | duty  |        |
+---+--------+----------------+----------+----------+-------+--------+
| 1 | ex     | Other (not     | 800 HL   | 03       | 50%   | 10     |
| 9 | 2208   | including 2208 |          | .01.2006 | of    |        |
| \ | 90     | 9033 2208      |          |          | MFN   |        |
| . |        | 9038, 2208     |          |          | duty  |        |
|   |        | 9048, 2208     |          |          |       |        |
|   |        | 9071, 2208     |          |          |       |        |
|   |        | 9091 and 2208  |          |          |       |        |
|   |        | 9099)          |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+
| 2 | 2403   | Other          | 135      | 03       | 30%   | 5      |
| 0 |        | manufactured   |          | .01.2006 |       |        |
| \ |        | tobacco and    |          |          |       |        |
| . |        | substitutes,   |          |          |       |        |
|   |        | processed;     |          |          |       |        |
|   |        | "homogenized"  |          |          |       |        |
|   |        | tobacco,       |          |          |       |        |
|   |        | extracts       |          |          |       |        |
+---+--------+----------------+----------+----------+-------+--------+

# 

# 

# 

# TRADE RESTRICTIONS AND OPPORTUNITIES

Another significant surge from the previous year's level of \$197
million, the total value of U.S. agri-food exports to Romania reached
\$231 million at the end of 2006. Top exports were, as already
traditionally: frozen poultry meat (27 percent of the total), swine meat
(25 percent, or, in absolute figures \$57 million, a notable boost from
\$14 million in 2004), cigarettes and tobacco (25 percent), food
preparations and ingredients (6 percent), sunflowerseed (3 percent),
animal casings and beef tripe (2 percent).

With prices that competitively stabilized, US were able to conserve
their position of top supplier of poultry meat to Romania, making up for
roughly 50 percent of country's imports of this product. Nonetheless,
according to Romania's new import schedule (valid from February 16
through December 31, 2006), tariff rates for two poultry products,
defined by the codes 0207 1420: chicken halves and quarters, and 0207
1460: chicken leg halves and quarters, were temporarily increased for 6
months (February 16 -- August 15) to 70 percent (from 45 percent in
2005). The Romanian authorities justified this radical action by the
special situation triggered on the domestic market by the highly
pathogenic Avian Influenza outbreaks (see RO6005).

For the past two years, US has also consolidated its position on the
Romanian hog meat market: in 2005, 25,655 MT of swine meat (out of
imports totaling 192,490 MT) were originated from US. Despite the
pressure exerted by hog growers, for swine meat the same trade regime
from 2005 was extended into 2006, including a number of positions (cuts
for processing) exempted from taxes (on an MFN basis). Domestic supply
of quality swine meat for processing is very limited, with livestock
numbers and overall meat production down in 2005. Duty on swine liver
(HSC 0206 41) was decreased to 10 percent in 2006 (from 20 percent in
2006).

The waiver on import duties is expected to continue expanding
opportunities for U.S. frozen pork cuts and offalls. This figure more
than tripled from 2004 (when US shipped 7,200 MT). Other major suppliers
were Germany, Canada, France, Spain. The duty-free quota granted by
Romania to EU under the Association Agreement is 23,000 MT per year.

High valued processed products are also boosting in tandem with average
income of Romanian consumers. Products with good perspective on the
Romanian market remain distilled spirits (bourbon whiskey), nuts
(almonds), and snack foods. For beef tripe and natural casings, US
continue to be country's top supplier.

Free Trade arrangements (especially with EU) result in customs duty
differentials for many U.S. products, which lately deepened as Romania
gets closer to EU accession and has to gradually adopt the CXT. US
exporters have voiced concerns about these tariff differentials,
including exporters of distilled spirits, wheat, animal feed
supplements, wine, etc. Moreover, US exports of meat and biotechnology
products can be severely impacted in the second half of the year if
Romania decides to implement the EU sanitary and phytosanitary prior to
accession.

Romania shipped to U.S. in 2005 a total value of \$6.3 million (slightly
less than in 2004) in agricultural and food products, mainly wines (30
percent), cheeses (27 percent), semi-canned fruits, food preparations
and ingredients, mineral water.

[^1]: The Economist Intelligence Unit, March 2006: "All macro-economic
    indicators suggest that the current consumption boom relying on
    imports is not sustainable.\" 

[^2]: World Bank (2004).

[^3]: The Leu and was redenominated as of 1 July 2005, the Leu dropping
    four zeros. One new Leu (RON) is equivalent to 10,000 old Lei (ROL).
    The redenomination of the Leu is intended to, *inter alia*, simplify
    monetary transactions, mark the end of the inflationary cycle and
    the start of price stability, and facilitate the future conversion
    to the euro. Holders of ROL will be able to exchange them for RON at
    banks until 2009 (Economist Intelligence Unit, 2005).

[^4]: Vice-governor Cristian Popa (March 2006).

[^5]: A preferential duty of 45% for sugar is granted to the 42 trading
    partners signatory to the Global System of Preferences.

[^6]: At the annual average exchange rate of 29,1 RON for 1 US\$.

[^7]: Exempted from customs duties only if does not benefit from export
    subsidies at origin.