RESTRICTED
WORLD TRADE G/TMB/N/167
16July1996
ORGANIZATION(96-2755)
Original: English Textiles Monitoring Body
AGREEMENT ONTEXTILES AND CLOTHING
Notification under Article 2.17
Canada
Administrative Arrangements withthePhilippines
TheTextiles Monitoring Bodyhasreceived anotification fromCanada pursuant toparagraph 17
ofArticle 2.TheTMB iscirculating thisnotification toWTO Members fortheirinformation.G/TMB/N/167
Page2
ThePermanent Mission ofCanada totheUnited Nations
1rueduPré-de-la-Bichette
1202 Geneva
13March 1996
Ambassador András Szepesi
Chairman
Textiles Monitoring Body
World Trade Organization
Centre William Rappard
154RuedeLausanne
1211 Geneva
Dear Ambassador Szepesi,
Pursuant toArticle 2.17oftheAgreement onTextiles andClothing, Ihavethehonour tonotify
theAdministrative Arrangements thathave been concluded withthefollowing WTO Members:
Bangladesh,Brazil,CostaRica,Cuba,HongKong,Hungary,India,Indonesia,Korea,Lesotho,Macau,
Malaysia,Mauritius,Pakistan,Philippines,1Romania,SlovakRepublic,SriLanka,Swaziland,Thailand
andUruguay.
Yours sincerely,
(signed) JeanSaint-Jacques
Counsellor
1Thisdocument contains theAdministrative Arrangements withthePhilippines. Arrangements concluded
withtheother WTO Members mentioned above willbecirculated asseparate documents.G/TMB/N/167
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Memorandum ofUnderstanding Between theGovernment ofCanada and
theGovernment oftheRepublic ofthePhilippines Relating tothe
Export from thePhilippines ofCertain Textile Products toCanada
Introduction
1. ThisMemorandum ofUnderstanding (MOU) setsouttheadministrative arrangements thathave
beenagreed uponbetween theGovernments ofCanada andtheRepublic ofthePhilippines, pursuant
toArticle 2.17oftheMTN Agreement onTextiles andClothing (ATC) inorder toimplement the
textilesandclothingrestraintsbetweenCanadaandtheRepublicofthePhilippinestobenotifiedpursuant
toArticle 2.1oftheATC. These provisions willalsoapply withrespect toanyrestraint introduced
byCanada onimports oftextiles andclothing fromthePhilippines pursuant totheprovisions ofArticle 6
oftheATC.
Implementation
2. Inaccordance withtheprovisions ofArticle 4.1oftheATC, these arrangements shall be
implemented onthebasis oftheexport control system operated bytheGovernment oftheRepublic
ofthePhilippines. Exports ofthetextile products included intherestraints notified under Article 2.1
oftheATC shallbecovered byanoriginal "Export Licence" endorsed andissued bythecompetent
authorities ofthePhilippines totheeffect thatthegoods covered bytheexport licence havebeendebited
from theapplicable quantitative limit.
3. Forthepurpose ofimplementing these arrangements, thedateofexport fromthePhilippines
shallbeusedtodeterminetherestraintperiodinwhichanyshipmentsoftextileproductsshallbecounted.
4. TheGovernment oftheRepublic ofthePhilippines shallendeavour toensure thatexports to
Canada ofallrestrained textile products arespaced outasevenly aspossible during eachrestraint period,
dueaccount being taken ofseasonal factors andofnormal channels oftrade.
5. Export licences issued bytheGovernment oftheRepublic ofthePhilippines inrespect of
restrained textile products shallcontain thefollowing information:
(a) Country ofdestination;
(b) Country oforigin;
(c) Licence number andquota year;
(d) Importer 'sname andaddress;
(e) Exporter 'sname andaddress;
(f) ItemnumberanddescriptionofproductascontainedinthenotificationunderArticle2.1
oftheATC;
(g) Quantity expressed intheunitsdesignated foreachproduct inthenotification under
Article 2.1oftheATC. Ifmore thanonesetofmeasures isestablished, allshould
beindicated; where thequantity isexpressed other thanasdesignated, theequivalent
weight, unitsorm2should becalculated inaccordance withtheconversion factors set
outintherestraint notified under Article 2.1oftheATC;G/TMB/N/167
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(h) F.O.B. orC.I.F. value except fornon-commercial consignments;
(i) Certification bythecompetent authorities ofthePhilippines thatthequantity hasbeen
debited from theagreed restraint limitforexports toCanada.
6. Intheevent thatanyquantity covered byanexport licence isnotshipped, theGovernment
oftheRepublic ofthePhilippines shallnotify theGovernment ofCanada ofsuchquantity which may
becredited bytheGovernment oftheRepublic ofthePhilippines totheappropriate restraint limit.
7. Except asprovided forinparagraphs 8to11below (Swing andCarryover/Carry Forward),
theGovernment oftheRepublic ofthePhilippines shallrestrain itsexports toCanada ofthetextile
products notified pursuant toArticle 2.1oftheATCtothelimits notified under Article 2.1oftheATC,
asmodified bytheprovisions ofArticles 2.7,2.8,2.13and2.14oftheATC. Pursuant toArticle 4.1
oftheATC, itisunderstood thattheGovernment ofCanada shallnotbeobliged toaccept shipments
inexcess oftherestraint levels notified under Article 2.1oftheATC, asmodified bytheprovisions
ofArticles 2.7,2.8,2.13and2.14oftheATC.
Swing
8. Subject tothespecific limitations contained intherestraint notification under Article 2.1of
theATC, andfollowing notification totheappropriate Canadian authorities, theGovernment ofthe
Republic ofthePhilippines mayexceed thespecified annual quantitative limituptothepercentage
specified intherestraint notification under Article 2.1oftheATC, provided thatanequivalent amount
isdeducted from anyother restraint level. When anyrestraint limitisexceeded bytheapplication
ofswing, theGovernment oftheRepublic ofthePhilippines shallsoindicate insubsequent monthly
statistical reports.
9. Forthepurpose ofimplementing theswing provisions inparagraph 8,theconversion factors
specified intherestraint notification under Article 2.1oftheATC shallapply.
Carryover/Carry Forward
10. Following notification totheGovernment ofCanada ofthequantities involved, portions of
anyquantitative limitwhich arenotusedduring theannual restraint period maybecarried overand
added tothecorresponding quantitative limitforthefollowing annual restraint period. Therestraint
limitforanysuchrestraint period shallbeincreased within thepercentage limits specified intherestraint
notification under Article 2.1oftheATC.
11. Following notification totheGovernment ofCanada ofthequantities involved, anyrestraint
limitmaybeincreasedwithinthepercentagelimitsspecifiedintherestraintnotificationunderArticle2.1
oftheATC byaquantity advanced from thecorresponding restraint limitforthefollowing annual
restraint period. Therestraint limitforanysuchfollowing restraint period shallbereduced byaquantity
equal tothequantity soadvanced.
Exchange ofStatistics
12. TheGovernment oftheRepublic ofthePhilippines shallprovide theGovernment ofCanada
withmonthly statistical reports relating toexports ofrestrained textile products, licensed forexport
toCanada anddebited fromthequantitative limits foreachrestraint period. These statistics shallinclude
thefollowing information:
(a) Itemnumber anddescription;G/TMB/N/167
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(b) Original andadjusted restraint limits fortherestraint period;
(c) Total quantity issued fortherestraint period todate;
(d) Notification ofanyutilization ofswing, carryover orcarry forward provisions and
thequantities involved asprovided forinparagraphs 8to11above.
Thisinformation should beprovided assoonaspossible following theendofeachmonth.
13. TheGovernment ofCanada shallprovide theGovernment oftheRepublic ofthePhilippines
withmonthlystatisticalreportsrelatingtoimportpermitsissuedforimportsoriginatinginthePhilippines
oftextile products listed inAnnex I.
14. BothGovernmentsreservetherighttorequestadditionalstatisticsasmaybereasonablyrequired,
including statistics relating totheexport orimport ofproducts notcontained inthenotification, under
Article 2.1oftheATC, ofCanada 'srestraints onimports from thePhilippines.
Re-exports
15. TheGovernment ofCanada shall, sofaraspossible, inform theGovernment oftheRepublic
ofthePhilippines when imports intoCanada ofrestrained textile products aresubsequently re-exported
fromCanada. Where suchre-exports haveoriginally beendebited bytheGovernment oftheRepublic
ofthePhilippines from quantitative limits, theGovernment oftheRepublic ofthePhilippines may
thencredit backthequantity involved totheappropriate quantitative limits.
Consultations
16. Pursuant toArticle 8.4oftheATC, theGovernment oftheRepublic ofthePhilippines and
theGovernment ofCanada express theirwillingness toconsult, onrequest, onanymatter arising from
theimplementation oroperation oftheATC orofthisMOU oronanymatter germane thereto.
(signed) (signed)
FortheGovernment ofCanada FortheGovernment oftheRepublic
ofthePhilippines
Manila
23November 1995G/TMB/N/167
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ANNEX I-RESTRAINT LEVELS
PHILIPPINES
GROUP I
/CIA/CJ
Agreement
Item No/CO/CIB/CJ
Product Coverage/CIC/CJ
/n1/n9/n9/n5
Restraint
Level /CINMB/CJ/CID/CJ
Growth/CIE/CJ
Swing/CIF/CJ
Carryover/CP
Carry ForwardCombined
Flexibility
/CIE/CJ /CG /CIF/CJ/CIG/CJ
Conversion
Factor
/CIm/n2/CPunit/CJ Category Short Description
/n1a /n1/CO/n1
/n1/CO/n2Coats/DL
Jackets/n8/n9/n5/CM/n5/n0/n9 /n6/CO/n9/n6/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n3/CO/n2
/n1b
/CINote /n1/CJ
/CINote /n1/CJ/n1/CO/n1
/n1/CO/n2/CN of which/DK
Coats/CM MBWG/DL
Jackets/CM MBWG/n7/n5/n2/CM/n9/n6/n5 /n6/CO/n9/n6/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n3/CO/n2
/n2 /n2/CO/n0 Winter outerwear /n1/n7/n3/CM/n0/n5/n2 /n6/CO/n9/n6/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n3/CO/n2
/n2a
/n2/CO/n1/CN of which/CM
Winter outerwear/CM MBWG /n1/n5/n9/CM/n1/n8/n5 /n6/CO/n9/n6/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n3/CO/n2
/n3/CP/n4 /n3/CO/n0
/n4/CO/n0Male casual /CG fine wear/DL
Female casual /CG fine
wear/n1/CM/n4/n4/n0/CM/n8/n7/n8 /n6/CO/n9/n6/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n1/CO/n9
/n3/CP/n4a
/CINote /n1/CJ
/CINote /n1/CJ/n3/CO/n1
/n3/CO/n3/CN of which/DK
Suits/CM MB/DL
Jackets /CG blazers/CM MB/n6/n7/CM/n0/n0/n3 /n6/CO/n9/n6/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n1/CO/n9
/n3/CP/n4b
/CINote /n1/CJ
/CINote /n1/CJ/n3/CO/n2
/n4/CO/n0/CN of which/DK
Ensembles/CM MB/DL
Female casual /CG fine
wear/CM WG/n8/n7/n5/CM/n4/n5/n8 /n6/CO/n9/n6/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n1/CO/n9
/n5 /n5/CO/n0 Trousers/CM overalls /CG
shorts/n1/CM/n4/n5/n7/CM/n5/n2/n8 /n6/CO/n9/n6/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n1/CO/n9
/n5a
/CINote /n1/CJ
/CINote /n1/CJ/n5/CO/n1
/n5/CO/n2
/n5/CO/n4
/n5/CO/n5/CN of which/DK
Trousers/CM MB/DL
Trousers/CM WG/DL
Overalls /CG coveralls/CM
MBWG/DL
Shorts/CM MBWG/n1/CM/n2/n0/n1/CM/n3/n8/n2 /n6/CO/n9/n6/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n1/CO/n9
/n6 /n6/CO/n0 Tailored collar shirts/CM
MBC/n4/n9/n8/CM/n3/n3/n6 /n6/CO/n9/n6/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n1/CO/n9
/n7/CP/n8a /n7/CO/n0
/n8/CO/n1
/n8/CO/n2
/n8/CO/n3Woven shirts/CM blouses /CG
similar articles/DL
k/CPc Shirts/CM blouses /CG
similar articles/DL
T/CNshirts/DL
Sweatshirts/n1/CM/n6/n7/n7/CM/n5/n8/n8 /n6/CO/n9/n6/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n1/CO/n7
/n8a /n8/CO/n4 Athletic wear /n2/n1/n9/CM/n9/n6/n8 /n6/CO/n9/n6/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n1/CO/n7
/n9 /n9/CO/n0 Underwear /n1/CM/n0/n7/n3/CM/n6/n1/n8 /n6/CO/n9/n6/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n0/CO/n5
/n1/n1a /n1/n1/CO/n1
/n1/n1/CO/n2Sweaters/CM MB/DL
Sweaters/CM WG/n1/CM/n4/n8/n8/CM/n6/n5/n7 /n5/CO/n8/CF /n7/CF /n1/n0/CF/CI/n5/CF/CJ /CN /n1/CO/n2
/n1/n1b /n1/n1/CO/n3 Sweaters/CM C /n1/n4/n2/CM/n2/n5/n0 /n5/CO/n8/CF /n7/CF /n1/n0/CF/CI/n5/CF/CJ /CN /n1/CO/n2
/n1/n2 /n1/n2/CO/n0 Swimwear /n9/n4/n3/CM/n9/n7/n5 /n6/CO/n9/n6/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n1/CO/n3
Note /n1/DK HS codes for C are excluded/COG/TMB/N/167
Page7
/CIA/CJ
Agreement
Item No/CO/CIB/CJ
Product Coverage/CIC/CJ
/n1/n9/n9/n5
Restraint
Level /CINMB/CJ/CID/CJ
Growth/CIE/CJ
Swing/CIF/CJ
Carryover/CP
Carry ForwardCombined
Flexibility
/CIE/CJ /CG /CIF/CJ/CIG/CJ
Conversion
Factor
/CIm/n2/CPunit/CJ Category Short Description
/n1/n4
/CINote /n2/CJ/n1/n4/CO/n0 Babies /CH garments /n7/CM/n1/n6/n4/CM/n8/n5/n8 /n9/CO/n2/n8/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n1/CO/n0
/n1/n4a
/n1/n4/CO/n1/CN of which/CM
Coats/CM jackets /CG rainwear /n1/n3/n4/CM/n7/n0/n6 /n9/CO/n2/n8/CF /n7/CF /n1/n1/CF/CI/n6/CF/CJ /CN /n1/CO/n0
Note /n2/DK Excludes category /n1/n4/CO/n6/CO