WORLD TRADE
ORGANIZATIONWT/REG126/1
24 August 2001
(01-4106)
Committee on Regional Trade Agreements Original:  English
FREE TRADE AGREEMENT BETWEEN THE EFTA STATES AND MEXICO
The following text reproduces the Agreement between the EFTA States and Mexico.*
_______________
FREE TRADE AGREEMENT BETWEEN THE EFTA STATES AND
THE UNITED MEXICAN STATES
PREAMBLE
The Republic of Iceland, the Principality of Liechtenstein, the Kingdom of Norway and the
Swiss Confederation  (hereinafter referred to collectively as the EFTA States)
and
The United Mexican States , (hereinafter referred to as Mexico) hereinafter referred to as the
Parties,
Considering  the important links existing between Mexico and the EFTA States, and
recognizing the common wish to strengthen these links, thus establishing close and lasting relations;
Desirous  to contribute to the harmonious development and expansion of world trade and
provide a catalyst to broader international and transatlantic co-operation;
Determined  to create an expanded and secure market for goods and services in their
territories;
Resolved  to ensure a stable and predictable environment for investment;
Intending  to enhance the competitiveness of their firms in global markets;
Aiming  to create new employment opportunities and improve working conditions and living
standards in their respective territories;
Determined  to ensure that the gains from trade liberalisation are not offset by the erection of
private, anti-competitive barriers;
                                                     
* The annexes thereto have been submitted to the S ecretariat for consultation by interested Members
(Office 3006).  The complete text of the Agreement in English, including annexes, is also available on the
Internet at the EFTA Homepage (http://www.secretariat.efta.int/library/legal/fta/mexico).WT/REG126/1
Page 2
Wishing  to establish a free trade area through the removal of trade barriers;
Convinced  that this Agreement will create conditions encouraging economic, trade and
investment relations between them;
Building  on their respective rights and obligations under the Marrakesh Agreement
Establishing the World Trade Organization (hereinafter referred to as “the WTO”) and other
multilateral and bilateral instruments of co-operation;
Resolved  to foster environmental protection and conservation, and to promote sustainable
development,
Have agreed , in pursuit of the above, to conclude this Free Trade Agreement.
I. GENERAL PROVISIONS
Article 1
Objectives
1. The EFTA States and Mexico hereby establish a Free Trade Area in accordance with the
provisions of this Agreement.
2. The objectives of this Agreement are:
(a) the progressive and reciprocal liberalisation of trade in goods, in conformity with
Article XXIV of the General Agreement on Tariffs and Trade (hereinafter referred toas “the GATT 1994”);
(b) to provide fair conditions of competition affecting trade between the Parties;(c) to open the government procurement markets of the Parties;(d) the liberalisation of trade in services, in conformity with Article V of the General
Agreement on Trade in Services (hereinafter referred to as “the GATS”);
(e) the progressive liberalisation of investment;(f) to ensure an adequate and effective protection of intellectual property rights, in
accordance with the highest international standards;  and
(g) to contribute in this way, by the removal of barriers to trade, to the harmonious
development and expansion of world trade.
Article 2
Geographical Scope
1. Without prejudice to Annex I, this Agreement shall apply:
(a) to the land territory, internal waters, and the territorial sea of a Party, and the
air-space above the territory in accordance with international law.WT/REG126/1
Page 3
(b) beyond the territorial sea , with respect to measures taken by a Party in the exercise of
its sovereign rights or jurisdiction in accordance with international law.
2. Annex II applies with respect to Norway.
Article 3
Trade and Economic Relations governed by this Agreement
1. The provisions of this Agreement apply to the trade and economic relations between, on the
one side, the individual EFTA States and, on the other side, Mexico, but not to the trade relationsbetween individual EFTA States, unless otherwise provided in this Agreement.
2. As a result of the customs union established by the Treaty of 29 March 1923 between
Switzerland and the Principality of Liechtenstein, Switzerland shall represent the Principality of
Liechtenstein in matters covered thereby.
II. TRADE IN GOODS
Article 4
Coverage
1. This Agreement applies to:
(a) products falling within Chapters 25 through 98 of the Harmonized Commodity
Description and Coding System (HS), except  for products listed in Annex I of the
WTO Agreement on Agriculture;  and
(b) fish and other marine products as provided for in Annex III, originating in an EFTA
State or Mexico.
2. Mexico and each individual EFTA State have concluded agreements on trade in agricultural
products on a bilateral basis. These agreements form part of the instruments establishing a free-trade
area between the EFTA States and Mexico.
Article 5
Rules of Origin and Administrative Co-operation
The provisions on rules of origin and administrative co-operation are set out in Annex I.
Article 6
Customs Duties
1. Upon entry into force of this Agreement, the EFTA States shall eliminate all customs duties
on imports of products originating in Mexico, except as provided for in Annex III and Annex IV.
2. Mexico shall eliminate all customs duties on imports of products originating in the
EFTA States in accordance with Annex III and Annex V.WT/REG126/1
Page 4
3. No new customs duties shall be introduced nor shall those already applied be increased in the
trade between the EFTA States and Mexico, as from the date of entry into force of this Agreement.
4. A customs duty includes any duty or charge of any kind imposed in connection with the
importation or exportation of a product, including any form of surtax or surcharge in connection with
such importation or exportation, but does not include any:
(a) charge equivalent to an internal tax imposed consistently with Article 8;(b) anti-dumping or countervailing duty;  or
(c) fee or other charge, provided that it is limited in amount to the approximate cost of
services rendered and does not represent an indirect protection for domestic products
or a taxation of imports or exports for fiscal purposes.
5. Upon entry into force of this Agreement, the Parties shall eliminate any fee or other charge
referred to in paragraph 4(c) which is applied on originating products on an ad valorem basis.
Article 7
Import and Export Restrictions
1. All import or export prohibitions or restrictions in trade between the EFTA States and
Mexico, other than customs duties and taxes, whether made effective through quotas, import or export
licenses or other measures, shall be eliminated upon the entry into force of this Agreement.  No new
such measures shall be introduced.
2. Paragraph 1 shall not apply to measures set out in Annex VI.
Article 8
National Treatment on Internal Taxation and Regulation
1. Products imported from another Party shall not be subject, either directly or indirectly, to
internal taxes or other internal charges of any kind in excess of those applied, directly or indirectly, to
like domestic products.  Moreover, the Parties shall not otherwise apply internal taxes or other internal
charges so as to afford protection to domestic production.1
2. Products imported from another Party shall be accorded treatment no less favourable than thataccorded to like domestic products in respect of all laws, regulations and requirements affecting their
internal sale, offering for sale, purchase, transportation, distribution or use.
3. The provisions of this Article shall not prevent the payment of subsidies exclusively to
domestic producers, including payments to domestic producers derived from the proceeds of internal
taxes or charges applied consistently with the provisions of this Article and subsidies effected through
governmental purchases of domestic products.
                                                     
1 A tax conforming to the requirements of the first sentence would be considered to be in consistent
with the provisions of the second sentence only in cases where competition was involved between, on the hand,a taxed product and, on the other hand, a directly competitive or substitutable product which was not similarlytaxed.WT/REG126/1
Page 5
4. The provisions of this Article shall not apply to laws, regulations, procedures or practices
governing public procurement, which shall be subject exclusively to the provisions of Chapter V.
5. Paragraphs 1 and 2 shall not apply to the measures set out in Annex VII until the date
mentioned in that Annex.
Article 9
Sanitary and Phytosanitary Measures
The rights and obligations of the Parties in respect of sanitary and phytosanitary measures
shall be governed by the WTO Agreement on the Application of Sanitary and Phytosanitary
Measures.
Article 10
Technical Regulations
1. The rights and obligations of the Parties in respect of technical regulations, standards and
conformity assessment shall be governed by the WTO Agreement on Technical Barriers to Trade.
2. The Parties shall strengthen their co-operation in the field of technical regulations, standards
and conformity assessment procedures. In particular they shall endeavour to facilitate the mutual
exchange of information and assistance in this field and co-operate during the development of
standards, technical regulations or conformity assessment procedures.
3. Without prejudice to paragraph 1, at the request of any Party, the Joint Committee shall hold
consultations where Mexico or an EFTA State cons iders that one or more EFTA States or Mexico,
respectively, have taken measures which have created or are likely to create an unjustified obstacle to
trade, with a view to finding a mutually acceptabl e solution in conformity with the WTO Agreement
on Technical Barriers to Trade.
Article 11
Subsidies
1. The rights and obligations of the Parties in respect of subsidies and countervailing measures
shall be governed by Articles VI and XVI of the GATT 1994 and the WTO Agreement on Subsidiesand Countervailing Measures.
2. The Parties shall ensure transparency of state aid measures by exchanging their most recent
notifications to the WTO pursuant to Article XVI:1 of the GATT 1994 and Article 25 of the
Agreement on Subsidies and Countervailing Measures.
3. After an EFTA State or Mexico, as the case may be, receives a properly documented
application and before initiation of an investigation under the provisions of the Agreement referred to
in paragraph 1, that Party shall notify in writing the Party whose goods are allegedly being subsidised
and allow for a two-day period for consultations with a view to finding a mutually acceptable
solution.  The outcome of the consultations shall be communicated to the other Parties.WT/REG126/1
Page 6
Article 12
State Trading Enterprises
The rights and obligations of the Parties in respect of state trading enterprises shall be
governed by Article XVII of the GATT 1994 and the Understanding on the Interpretation of
Article XVII of the GATT 1994.
Article 13
Anti-dumping
1. The rights and obligations of the Parties in respect of the application of anti-dumping
measures shall be governed by Article VI of the GATT 1994 and the Agreement on Implementation
of Article VI of the GATT 1994.
2. After an EFTA State or Mexico, as the case may be, receives a properly documented
application and before initiation of an investigation under the provisions of the Agreement referred to
in paragraph 1, that Party shall notify in writing the Party whose goods are allegedly being dumped
and allow for a two-day period for consultations with a view to finding a mutually acceptable
solution.  The outcome of the consultations shall be communicated to the other Parties.
Article 14
Safeguards
1. Where any product of a Party is being imported into the territory of the other Party in such
increased quantities and under such conditions as to cause or threaten to cause:
(a) serious injury to the domestic industry of like or directly competitive products in the
territory of the importing Party;  or
(b) serious disturbances in any sector of the economy or difficulties which could bring
about serious deterioration in the economic situation of a region of the importingParty,
the importing Party may take appropriate measures under the conditions and in accordance with the
procedures laid down in this Article.
2. Safeguard measures shall not exceed what is necessary to remedy the difficulties which have
arisen and should normally consist of the suspension of the further reduction of any applicable rate of
duty provided for under this Agreement for the product concerned or the increase of the rate of duty
for that product.
3. Such measures shall contain clear elements progressively leading to their elimination at the
end of the set period, at the latest. Measures shall not be taken for a period exceeding one year. In
very exceptional circumstances, measures may be taken up to a total maximum period of three years.
No safeguard measure shall be applied to the import of a product which has previously been subject to
such a measure for a period of, at least, three years since the expiry of the measure.
4. The Party intending to take safeguard measures under this Article shall offer the other Party
compensation in the form of substantially equivalent trade liberalisation in relation to the imports
from the latter.  The offer of liberalisation shall normally consist of concessions having substantiallyWT/REG126/1
Page 7
equivalent trade effects or concessions substantially equivalent to the value of the additional duties
expected to result from the safeguard measure.
5. The offer shall be made prior to the adoption of the safeguard measure and simultaneous ly
with the supply of information and referral to th e Joint Committee, as provided for in this Article.
Should the offer not be considered satisfactory by the Party against whose product the safeguard
measure is intended to be taken, both Parties may agr ee, in the consultations referred to in this Article,
on other means of trade compensation.
6. If the Parties concerned are unable to agree on compensation, the Party against whose product
the safeguard measure is taken may take compensatory tariff action having trade effects substantially
equivalent to the safeguard measure taken under this Article.  The Party taking compensatory tariffaction shall apply it, as a maximum, for the period necessary to achieve equivalent trade effects.
7. In the cases specified in this Article, before taking the measures provided for herein or, in the
cases to which paragraph 8(b) of this Article applies, as soon as possible, the EFTA State or Mexico,
as the case may be, shall supply the Joint Committ ee with all relevant information, with a view to
finding a solution mutually acceptable to the Parties.
8. For the implementation of the above paragraphs the following provisions shall apply:
(a) The Joint Committee shall examine the difficulties arising from the circumstances
referred to in this Article and may take any decisions needed to put an end to such
difficulties.
If the Joint Committee or the exporting Party has not taken a decision putting an end
to the difficulties or no other satisfactory solution has been reached within 30 days ofthe matter being referred to the Joint Co mmittee, the importing Party may adopt the
appropriate measures to remedy the problem, and, in the absence of mutually agreed
compensation, the Party against whose product the measure is taken may take
compensatory tariff action in accordance with  this Article.  Such compensatory tariff
action shall be immediately notified to the Joint Committee.  In the selection of
safeguard measures and compensatory tariff action, priority must be given to those
which least disturb the functioning of the arrangements in this Agreement.
(b) Where exceptional and critical circumstances requiring immediate action make prior
information or examination, as the case may be, impossible, the Party concerned may,
in the situations specified in this Article, apply forthwith precautionary measures
necessary to deal with the situation and shall inform the other Party immediatelythereof.
(c) The safeguard measures shall be notified immediately to the Joint Committee and
shall be the subject of periodic consultations within that body, particularly with a
view to establishing a timetable for their elimination as soon as circumstances permit.
9. In the event of an EFTA State or Mexico subjecting imports of products liable to give rise to
the difficulties referred to in this Article to an administrative procedure for the purpose of the rapid
provision of information on the trend of trade flows, it shall inform the other Party.WT/REG126/1
Page 8
Article 15
Shortage Clause
1. Where compliance with Article 6 or Article 7 leads to:
(a) a critical shortage, or threat thereof, of foodstuffs or other products essential to the
exporting Party;  or
(b) a shortage of essential quantities of domestic materials to a domestic processing
industry during periods when the domestic price of such materials is held below the
world price as part of a governmental stabilisation plan;  or
(c) re-export to a third country of a product against which the exporting Party maintains
export customs duties or export prohibitions or restrictions,
and where the situations referred to above give rise, or are likely to give rise to major difficulties for
the exporting Party, that Party may adopt export restrictions or export customs duties.
2. In the selection of measures, priority must be given to those which least disturb the
functioning of the arrangements in this Agreement.  Such measures shall not be applied in a manner
which would constitute a means of arbitrary or unjustifiable discrimination where the same conditionsprevail, or a disguised restriction on trade, and shall be eliminated when the conditions no longer
justify their maintenance.  In addition, the measures which may be adopted pursuant to paragraph 1(b)
of this Article shall not operate to increase the exports of or the protection afforded to the domestic
processing industry concerned, and shall not depart from the provisions of this Agreement relating to
non-discrimination.
3. Before taking the measures provided for in paragraph 1 of this Article or, as soon as possible
in cases to which paragraph 4 of this Article applies the EFTA State or Mexico, as the case may be,
shall supply the Joint Committee with all relevant information, with a view to finding a solution
mutually acceptable to the Parties.  The Partie s within the Joint Committee may agree on any means
needed to put an end to the difficulties.  If no agr eement is reached within 30 days of the matter being
referred to the Joint Committee, the exporting Party may apply measures under this Article on theexportation of the product concerned.
4. Where exceptional and critical circumstances requiring immediate action make prior
information or examination, as the case may be, impossible, the EFTA State or Mexico, whichever is
concerned, may apply forthwith the precautionary measures necessary to deal with the situation andshall inform the other Party immediately thereof.
5. Any measures applied pursuant to this Article shall be immediately notified to the Joint
Committee and shall be the subject of periodic consultations therein, particularly with a view to
establishing a timetable for their elimination as soon as circumstances permit.
Article 16
Balance-of-Payments Difficulties
1. The Parties shall endeavour to avoid the imposition of restrictive measures relating to imports
for balance-of-payments purposes.  In the event of their introduction, the Party having introduced
them shall present to the other Party, as soon as possible, a timetable for their removal.WT/REG126/1
Page 9
2. Where an EFTA State or Mexico is in serious balance of payments difficulties, or under
imminent threat thereof, the EFTA State or Mexico, as the case may be, may in accordance with the
conditions established under the GATT 1994, adopt restrictive measures relating to imports, which
shall be of limited duration and may not go beyond what is necessary to remedy the balance of
payments situation.  The EFTA State or Mexico, as the case may be, shall inform the other Partyforthwith.
Article 17
General Exceptions
Subject to the requirement that such measures are not applied in a manner which would
constitute a means of arbitrary or unjustifiable discrimination between Parties where the same
conditions prevail, or a disguised restriction on international trade, nothing in this Agreement shall be
construed to prevent the adoption or enforcement by any Party of measures:
(a) necessary to protect public morals;(b) necessary to protect human, animal or plant life or health;(c) relating to the importations or exportations of gold and silver;
(d) necessary to secure compliance with laws or regulations which are not inconsistent
with the provisions of this Agreement, including those relating to customs
enforcement, the protection of intellectual property rights, and the prevention of
deceptive practices;
(e) relating to the products of prison labour;
(f) imposed for the protections of national treasures of artistic, historic or archaeological
value;
(g) relating to the conservation of exhaustible natural resources if such measures are
made effective in conjunction with restrictions on domestic production orconsumption;
(h) undertaken in pursuance of obligations under any intergovernmental commodity
agreement which conforms to criteria submitted to the WTO and not disapproved by
it or which is itself so submitted and not so disapproved;
(i) involving restrictions on exports of domestic materials necessary to ensure essential
quantities of such materials to a domestic processing industry during periods when
the domestic price of such materials is held below the world price as part of a
governmental stabilization plan;  provided that such restrictions shall not operate toincrease the exports of or the protection afforded to such domestic industry, and shall
not depart from the provisions of this Agreement relating to non discrimination;
(j) essential to the acquisition or distribution of products in general or local short supply.
Provided that any such measures shall be consistent with the principle that all WTOmembers are entitled to an equitable share of the international supply of such
products, and that any such measures, which are inconsistent with the other
provisions of this Agreement shall be discontinued as soon as the conditions giving
rise to them have ceased to exist.WT/REG126/1
Page 10
Article 18
Security Exceptions
Nothing in this Agreement shall be construed:(a) to require any Party to furnish any information the disclosure of which it considers
contrary to its essential security interests;  or
(b) to prevent any Party from taking any action which it considers necessary for the
protections of its essential security interests;
(i) relating to fissionable materials or the materials from which they are derived;
(ii) relating to the traffic in arms, ammunition and implements of war and to such
traffic in other goods and materials as is carried on directly or indirectly for
the purpose of supplying a military establishment;
(iii) taken in time of war or other emergency in international relations;  or
(c) to prevent any Party from taking any action in pursuance of its obligations under the
United Nations Charter for the maintenance of international peace and security.
III. SERVICES AND INVESTMENT
S
ECTION I – TRADE IN SERVICES
Article 19
Coverage
1. For the purposes of this Section, trade in services is defined as the supply of a service:
(a) from the territory of a Party into the territory of another Party;(b) in the territory of a Party to the service consumer of another Party;(c) by a service supplier of a Party, through commercial presence in the territory of
another Party;
(d) by a service supplier of a Party, through presence of natural persons in the territory of
another Party.
2. This Section applies to trade in all services sectors with the exception of:
(a) air services, including domestic and international air transportation services, whether
scheduled or non-scheduled, and related services in support of air services, other
than:
(i) aircraft repair and maintenance services during which an aircraft is
withdrawn from service;WT/REG126/1
Page 11
(ii) the selling and marketing of air transport services;
(iii) computer reservation system (CRS) services.
3. Maritime transport and financial services shall be governed by the provisions of Sections II
and III, respectively, unless otherwise specified.
4. Nothing in this Section shall be constr ued to impose any obligation with respect to
government procurement.
5. Subsidies related to trade in services shall not be covered under this Section.  The Parties shall
pay particular attention to any disciplines agreed under the negotiations mandated by Article XV of
the GATS with a view to their incorporation into this Agreement.
6. This Section applies to measures taken by central, regional or local governments and
authorities as well as by non-governmental bodies in the exercise of powers delegated by central,
regional or local governments or authorities.
Article 20
Definitions
For purposes of this Section:
“commercial presenc e” means:
(i) as regards nationals, the right to set up and manage undertakings, which they
effectively control. This shall not extend to seeking or taking employment in the
labour market or confer a right of access to the labour market of another Party;2
(ii) as regards juridical persons, the right to take up and pursue the economic activities
covered by this Section by means of the setting up and management of subsidiaries,
branches or any other form of secondary establishment;3
“EFTA State juridical perso n” or “Mexican juridical perso n” means a juridical person set up in
accordance with the laws of an EFTA State or of Mexico, respectively, and having its registeredoffice, central administration, or principal place of business in the territory of an EFTA State or of
Mexico, respectively;
Should the juridical person have only its registered office or central administration in the territory of
an EFTA State or Mexico, respectively, it shall not be considered as an EFTA State or a Mexicanjuridical person, respectively, unless its operations possess a real and continuous link with the
economy of an EFTA State or Mexico, respectively;
“nationa l” means a natural person who is a national of one of the EFTA States or Mexico in
accordance with their respective legislations;
4
                                                     
2 The right to set up undertakings which they effectively control includes the right to acquire
controlling stakes in a company of a Party.
3 The setting up of secondary establishments includes the right to acquire controlling stakes in a
company of a Party.
4 National includes a permanent resident if he or she is treated as a national in accordance with the
legislation of such Party.WT/REG126/1
Page 12
“service supplie r” of a Party means any person of a Party that seeks to provide or provides a service;
“subsidiar y” means a juridical person that is effectively controlled by another juridical person.
“territor y” means the geographical area referred to in paragraph 1 of Article 2.
Article 21
Market Access
In those sectors and modes of supply which shall be liberalised pursuant to the decision
provided for in paragraph 3 of Article 24, no Party shall adopt or maintain:
(a) limitations on the number of service suppliers whether in the form of numerical
quotas, monopolies, exclusive service suppliers or the requirements of an economic
needs test;
(b) limitations on the total value of service transactions or assets in the form of numerical
quotas or the requirement of an economic needs test;
(c) limitations on the total number of service operations or on the total quantity of service
output expressed in the terms of designated numerical units in the form of quotas orthe requirement of an economic needs test;
(d) limitations on the total number of natural persons that may be employed in a
particular service sector or that a service supplier may employ and who are necessary
for, and directly related to, the supply of a specific service in the form of numericalquotas or a requirement of an economic needs test;
(e) limitations on the participation of foreign capital in terms of maximum percentage
limit on foreign shareholding or the total value of individual or aggregate foreign
investment;  and
(f) measures which require specific types of legal entities or joint ventures through
which a service supplier of another Party may supply a service.
Article 22
Most Favoured Nation Treatment
1. Subject to exceptions that may derive from harmonisation of regulations based on agreements
concluded by a Party with a third country providing for mutual recognition in accordance with
Article VII of the GATS, the EFTA States and Mexico shall accord to service suppliers of another
Party treatment no less favourable than that they accord to like service suppliers of any other country.
2. Treatment granted under other agreements concluded by one of the Parties with a third
country which have been notified under Article V of the GATS shall be excluded from this provision.
3. If a Party enters into an agreement of the type referred to in paragraph 2, it shall afford
adequate opportunity to the other Parties to negotiate the benefits granted therein.
4. The Parties agree to review the exclusion provided for in paragraph 2 with a view to its
deletion not later than three years after the entry into force of this Agreement.WT/REG126/1
Page 13
Article 23
National Treatment
1. Each Party shall, in accordance with Article 24, grant to service suppliers of another Party, in
respect of all measures affecting the supply of services, treatment no less favourable than that it
accords to its own like service suppliers.
2. A Party may meet the requirement of paragraph 1 by according to service suppliers of another
Party, either formally identical treatment or formally  different treatment to that it accords to its own
like service suppliers.
3. Formally identical or formally different treatm ent shall be considered to be less favourable if
it modifies the conditions of competition in favour of service suppliers of a Party compared to like
service suppliers of the other Party.
Article 24
Trade Liberalisation
1. As provided for in paragraphs 2 to 4, the Parties shall liberalise trade in services between
themselves, in conformity with Article V of the GATS.
2. From the entry into force of this Agreement, neither Party shall adopt new, or more,
discriminatory measures as regards services or service suppliers of another Party, in comparison with
the treatment accorded to its own like services or service suppliers.
3. No later than three years following the entr y into force of this Agreement, the Joint
Committee shall adopt a decision providing for the elimination of substantially all remaining
discrimination between the Parties in the sectors and modes of supply covered by this Section.  That
decision shall contain:
(a) a list of commitments establishing the level of liberalisation which the Parties agree
to grant each other at the end of a transitional period of ten years from the entry intoforce of this Agreement;
(b) a liberalisation calendar for each Party in order to reach, at the end of the ten-year
transitional period, the level of liberalisation described in paragraph (a).
4. Except as provided for in paragraph 2, Articles 21, 22 and 23 shall become applicable in
accordance with the calendar and subject to any reservations stipulated in the Parties’ lists of
commitments provided for in paragraph 3.
5. The Joint Committee may amend the liberalisation calendar and the list of commitments
established in accordance with paragraph 3, with a view to removing or adding exceptions.
Article 25
Right to Regulate
1. Each Party may regulate, and introduce new regulations, on the supply of services within its
territory in order to meet national policy objectives, in so far as regulations do not impair on any
rights and obligations arising under this Agreement.WT/REG126/1
Page 14
2. Each Party shall ensure that all measures of ge neral application affecting trade in services are
administered in a reasonable, objective and impartial manner.
Article 26
Mutual Recognition
1. In principle no later than three years following  the entry into force of this Agreement, the
Joint Committee shall establish the necessary steps fo r the negotiation of agreements providing for the
mutual recognition of requirements, qualifications, licenses and other regulations, for the purpose of
the fulfilment, in whole or in part, by service suppliers of the criteria applied by each Party for theauthorisation, licensing, operation and certification of service suppliers and, in particular, professional
services.
2. Any such agreement shall be in conformity w ith the relevant provisions of the WTO and, in
particular, Article VII of the GATS.
SECTION II – MARITIME TRANSPORT
Article 27
International Maritime Transport
1. This Section applies to international maritime transport, including door-to-door and
intermodal transport operations involving a sea- leg.
2. The definitions contained in Article 20 apply to this Section.5
3. In view of the existing levels of liberalisation between the Parties in international maritime
transport:
(a) the Parties shall continue to effectively apply the principle of unrestricted access to
the international maritime market and traffic on a commercial and non-discriminatory
basis;
(b) each Party shall continue to grant to ships operated by service suppliers of another
Party treatment no less favourable than that accorded to its own ships with regard to,inter alia, access to ports, use of infrastructure and auxiliary maritime services of the
ports, as well as related fees and charges, customs facilities and the assignment of
berths and facilities for loading and unloading.
4. Each Party shall permit to service suppliers of another Party to have a commercial presence in
its territory under conditions of establishment and operation no less favourable than those accorded to
its own service suppliers or those of any third country, whichever are the better, in conformity with
the applicable legislation and regulations in each Party.
                                                     
5 Notwithstanding Article 20, shipping companies es tablished outside the EFTA States or Mexico and
controlled by nationals of an EFTA State or Mexico, respec tively, shall also be beneficiaries of the provisions of
this Chapter, if their vessels are regi stered in accordance with their respective legislation, in that EFTA State or
in Mexico and carry the flag of an EFTA State or Mexico.WT/REG126/1
Page 15
5. Paragraph 4 shall become applicable in accordance with the calendar and subject to any
reservation stipulated in the Parties’ list of co mmitments provided for in paragraph 3 of Article 24.
SECTION III – F INANCIAL SERVICES
Article 28
Definitions
In accordance with the terms of the Annex on Financial Services to the GATS and the GATS
Understanding on Commitments in Financial Services, for the purposes of this Section:
“commercial presenc e” means a juridical entity within a Party’s territory that supplies financial
services and includes wholly or partly owned subsidiaries, joint ventures, partnerships, branches,
agencies, representative offices or other organisations through franchising operations.
“financial servic e” means any service of a financial nature offered by a financial service supplier of a
Party. Financial services comprise the following activities:
A. INSURANCE AND INSURANCE -RELATED SERVICES :
1. direct insurance (including co-insurance):
(a) life;(b) non-life;
2. reinsurance and retrocession;
3. insurance inter-mediation, such as brokerage and agency;  and4. services auxiliary to insurance, such as consultancy, actuarial, risk assessment and
claim settlement services.
B. B
ANKING AND OTHER FINANCIAL SERVICES (EXCLUDING INSURANCE ):
1. acceptance of deposits and other repayable funds from the public;
2. lending of all types, including consumer credit, mortgage credit, factoring and
financing of commercial transaction;
3. financial leasing;4. all payment and money transmission services, including credit, charge and debit
cards, travellers cheques and bankers drafts;
5. guarantees and commitments;6. trading for own account or for account of customers, whether on an exchange, in an
over-the-counter market or otherwise, the following:
(a) money market instruments (including cheques, bills, certificates of deposits);WT/REG126/1
Page 16
(b) foreign exchange;
(c) derivative products including, but not limited to, futures and options;(d) exchange rate and interest rate instruments, including products such as swaps,
forward rate agreements;
(e) transferable securities;(f) other negotiable instruments and financial assets, including bullion;
7. participation in issues of all kinds of securities, including underwriting and placement
as agent (whether publicly or privately) and provision of services related to such
issues;
8. money broking;
9. asset management, such as cash or portfolio management, all forms of collective
investment management, pension fund management, custodial, depository and trust
services;
10. settlement and clearing services for financial assets, including securities, derivative
products, and other negotiable instruments;
11. provision and transfer of financial information, and financial data processing and
related software by suppliers of other financial services;
12. advisory, intermediation and other auxiliary financial services on all the activities
listed in subparagraphs (1) through (11), including credit reference and analysis,
investment and portfolio research and advice, advice on acquisitions and on corporate
restructuring and strategy;
“financial service supplie r” means any natural or juridical person of a Party authorised to supply
financial services.  The term “financial service supplier” does not include a public entity;
“new financial servic e” means a service of a financial nature, including services related to existing
and new products or the manner in which a product is delivered, that is not supplied by any financial
service supplier in the territory of a Party but which is supplied in the territory of another Party;
“public entit y” means:
1. a government, a central bank or a monetary authority, of a Party, or an entity owned
or controlled by a Party, that is principally engaged in carrying out governmental
functions or activities for governmental purposes, not including an entity principallyengaged in supplying financial services on commercial terms;  or
2. a private entity, performing functions normally performed by a central bank or
monetary authority, when exercising those functions.WT/REG126/1
Page 17
Article 29
Establishment of Financial Service Suppliers
1. Each Party shall allow the financial service suppliers of another Party to establish, including
through the acquisition of existing enterprises, a commercial presence in its territory.
2. Each Party may require a financial service supplier of another Party to incorporate under its
own law or impose terms and conditions on establishment that are consistent with the other provisions
of this Section.
3. No Party may adopt new measures as regards to the establishment and operation of financial
service suppliers of another Party, which are more discriminatory than those applied on the date of
entry into force of this Agreement.
4. No Party shall maintain or adopt the following measures:
(a) limitations on the number of financial service suppliers whether in the form of
numerical quotas, monopolies, exclusive financial service suppliers or the
requirements of an economic needs test;
(b) limitations on the total value of financial service transactions or assets in the form of
numerical quotas or the requirement of an economic test;
(c) limitations on the total number of service operations or on the total quantity of service
output expressed in the terms of designated numerical units in the form of quotas or
the requirement of an economic needs test;
(d) limitations on the total number of natural persons that may be employed in a
particular financial service sector or that a financial service supplier may employ and
who are necessary for, and directly related to, the supply of a specific financial
service in the form of numerical quotas or a requirement of an economic needs test;
and
(e) limitations on the participation of foreign capital in the terms of maximum percentage
limit on foreign shareholding or the total value of individual or aggregate foreign
investment.
Article 30
Cross-Border Provision of Financial Services
1. Each party shall allow the cross-border provision of financial services.
2. No Party may adopt new measures as regards the cross-border provision of financial services
by financial service suppliers of another Party, which are more discriminatory as compared to those
applied on the date of entry into force of this Agreement.
3. Without prejudice to other means of prudential regulation of the cross-border provision of
financial services, a Party may require the registration of cross-border financial service suppliers of
another Party.WT/REG126/1
Page 18
4. Each Party shall permit persons located in its territory to purchase financial services from
financial service suppliers of another Party located in the territory of that other Party. This obligation
does not require a Party to permit such suppliers to do business or carry on commercial operations, or
to solicit, market or advertise their activities in its territory. Each Party may define the meaning of
“doing business”, “carry on commercial operations”, “solicit”, “market” and “advertise” for purposesof this obligation.
Article 31
National Treatment
1. Each Party shall grant to financial service suppliers of the other Parties, including those
already established in its territory on the date of en try into force of this Agreement, treatment no less
favourable than that it accords to its own like financial service suppliers with respect to the
establishment, acquisition, expansion, management, conduct, operation and sale or other disposition
of commercial operations of financial service suppliers in its territory.
2. Where a Party permits the cross-border provision of a financial service it shall accord to the
financial service suppliers of the other Party treatment no less favourable than that it accords to its
own like financial service suppliers with respect to the provision of such a service.
3. A Party’s treatment of financial service suppliers of another Party, whether different or
identical to that accorded to its own like financial service suppliers, is consistent with paragraph 1 if
the treatment affords equal competitive opportunities.
4. A Party's treatment affords equal competitive opportunities if it does not modify the
conditions of competition in favour of its own financial service suppliers as compared to like financialservice suppliers of any other Party.
5. Differences in market share, profitability or size do not in themselves establish a denial
regarding equal competitive opportunities, but such differences may be used as evidence regarding
whether a Party’s treatment affords equal competitive opportunities.
Article 32
Most Favoured Nation Treatment
1. Each Party shall accord to financial service suppliers of another Party treatment no less
favourable than it accords to the like financial service suppliers of another Party or a non-Party.
2. Treatment granted under other agreements concluded by one of the Parties with a third
country which have been notified under Article V of the GATS shall be excluded from this provision.
3. If a Party enters into an agreement of the type referred to in paragraph 2, it shall afford
adequate opportunity to the other Parties to negotiate the benefits granted therein.
4. The Parties agree to review the exclusion provided for in paragraph 2 with a view to its
deletion not later than three years after the entry into force of this Agreement.WT/REG126/1
Page 19
Article 33
Key Personnel
1. No Party may require a financial service supplier of another Party to engage individuals of
any particular nationality as senior managerial or other key personnel.
2. No Party may require that more than a simple majority of the board of directors of a financial
service supplier of another Party be composed of nationals of the Party, persons residing in the
territory of the Party, or a combination thereof.
Article 34
Commitments
1. Nothing in this Section shall be construed to prevent a Party from applying:
(a) any existing measure inconsistent with Articles 29 to 33 which is listed in
Annex VIII;  or
(b) an amendment to any discriminatory measure referred to in Annex VIII in
subparagraph (a) to the extent that the amendment does not increase the inconsistencyof the measure with Article 29 to 33, as it existed immediately before the amendment.
2. The measures listed in Annex VIII as well as in paragraph 2 of Article 29 shall be reviewed
by the Sub-Committee on Financial Services established under Article 40, with a view to proposing to
the Joint Committee their modification, suspension or elimination.
3. No later than three years following the entr y into force of this Agreement, the Joint
Committee shall adopt a decision providing for the elimination of substantially all remaining
discrimination. That decision shall contain a list of commitments establishing the level of
liberalisation which the Parties agree to grant each other.
Article 35
Right to Regulate
1. Each Party may regulate, and introduce new regulations, on the supply of financial services
within their territory in order to meet national polic y objectives, in so far as regulations do not impair
on any rights and obligations arising under this Agreement.
2. Each Party shall ensure that all measures of ge neral application affecting trade in services are
administered in a reasonable, objective and impartial manner.
Article 36
Prudential Carve-Out
1. Nothing in this Section shall be construed to prevent a Party from adopting or maintaining
reasonable measures for prudential reasons, such as:WT/REG126/1
Page 20
(a) the protection of investors, depositors, policy- holders, policy-claimants, persons to
whom a fiduciary duty is owed by a financial service supplier, or any similar financial
market participants; or
(b) the maintenance of the safety, soundness, integrity or financial responsibility of
financial service suppliers;  or
(c) ensuring the integrity and stability of a Party's financial system.
2. These measures shall not be more burdensome than necessary to achieve their aim, and shall
not discriminate against financial service suppliers of another Party in comparison to its own like
financial service suppliers.
3. Nothing in this Section shall be construed to require a Party to disclose information relating to
the affairs and accounts of individual consumers or any confidential or proprietary information in the
possession of public entities.
Article 37
Effective and Transparent Regulation
1. Each Party shall make its best endeavours to pr ovide in advance to all interested persons any
measure of general application that the Party proposes to adopt in order to allow an opportunity for
such persons to comment on the measure. Such measure shall be provided:
(a) by means of an official publication;  or
(b) in other written or electronic form.
2. Each Party's appropriate financial authorities shall make available to interested persons its
requirements for completing applications relating to the supply of financial services.
3. On the request of an applicant, the appropriat e financial authorities shall inform the applicant
of the status of its application. If such authorities require additional information from the applicant,they shall notify the applicant without undue delay.
4. Each Party shall make its best endeavours to ensure that the Basle Committee’s “Core
Principles for Effective Banking Supervision”, the standards and principles of the International
Association of Insurance Supervisors and the Inte rnational Organisation of Securities Commissions’
“Objectives and Principles of Securities Regulation” are implemented and applied in its territory.
Article 38
New Financial Services
Each Party shall permit a financial service supplier of another Party to provide any new
financial service of a type similar to those services that the Party permits its own financial service
suppliers to provide under its domestic law in like circumstances.  A Party may determine the juridical
form through which the service may be provided and may require authorisation for the provision of
the service.  Where such authorisation is required, a decision shall be made within a reasonable time
and the authorisation may only be refused for prudential reasons.WT/REG126/1
Page 21
Article 39
Data Processing
1. Each Party shall permit a financial service supplier of another Party to transfer information in
electronic or other form, into and out of its territory, for data processing where such processing is
required in the ordinary course of business of such financial service supplier.
2. As far as the transfer of personal data is concerned, each Party shall adopt adequate
safeguards to the protection of privacy and fundamental rights, and freedom of individuals.  To that
end, the Parties agree to co-operate in order to improve the level of protection, in accordance with
standards adopted by relevant international organisations.
3. Nothing in this Article restricts the right of a Party to protect personal data, personal privacy
and the confidentiality of individual records and accounts so long as such right is not used to
circumvent the provisions of this Agreement.
Article 40
Sub-Committee on Financial Services
1. A Sub-Committee on Financial Services is hereby established.  The Sub-Committee shall
comprise representatives of the Parties.  The principal representative of each Party shall be an official
of the Party's authorities responsible for financial services set out in Annex IX.
2. The functions of the Sub-Committee are set out at Annex X to this Agreement.
Article 41
Consultations
1. A Party may request consultations with another Party regarding any matter arising under this
Section. The other Party shall give sympathetic consideration to the request.  The Parties shall report
the results of their consultations to the Sub-Committee on Financial Services at its annual meeting.
2. Consultations under this Article shall include officials of the authorities specified in
Annex IX.
3. Nothing in this Article shall be construed to require financial authorities participating in
consultations to disclose information or take any action that would interfere with individual
regulatory, supervisory, administrative or enforcement matters.
4. Where a competent authority of a Party requires information for supervisory purposes
concerning a financial service supplier in another Party's territory, it may approach the competentauthorities in the other Party's territory to seek the information.
Article 42
Dispute Settlement
Arbitrators appointed in accordance with Chapte r VIII for disputes on prudential issues and
other financial matters shall have the necessary expertise relevant to the specific financial serviceWT/REG126/1
Page 22
under dispute, as well as expertise or experience in financial services law or practice, which may
include the regulation of financial institutions.
Article 43
Specific Exceptions
1. Nothing in Sections I, II and III of this Chapter shall be construed to prevent a Party,
including its public entities, from exclusively conducting or providing in its territory activities or
services forming part of a public retirement plan or statutory system of social security, except when
those activities may be carried out on a commercial basis.
2. Nothing in this Section applies to activities conducted by a central bank or monetary authority
or by any other public entity in pursuit of monetary or exchange rate policies.
3. Nothing in this Section shall be construed to  prevent a Party, including its public entities,
from exclusively conducting or providing in its terr itory activities or services for the account or with
the guarantee or using the financial resources of the Party, or its public entities.
SECTION IV – GENERAL EXCEPTIONS
Article 44
Exceptions
1. The provisions of Sections I, II and III are subject to the exceptions contained in this Article.2. Subject to the requirement that such measures are not applied in a manner which would
constitute a means of arbitrary or unjustifiable discrimination between countries where like conditions
prevail, or a disguised restriction on trade in services, nothing in Sections I, II and III shall be
construed to prevent the adoption or enforcement by any Party of measures:
(a) necessary to protect public morals or to maintain public order and public security;(b) necessary to protect human, animal or plant life or health;(c) necessary to secure compliance with laws or regulations which are not inconsistent
with the provisions of Sections I, II and III including those relating to:
(i) the prevention of deceptive and fraudulent practices or to deal with the effects
of a default on services contracts;
(ii) the protection of the privacy of individuals in relation to the processing and
dissemination of personal data and the protection of confidentiality ofindividual records and accounts;
(iii) safety.
(d) inconsistent with Articles 22 and 32 provided that the difference in treatment is the
result of an agreement on the avoidance of double taxation or provisions on theWT/REG126/1
Page 23
avoidance on double taxation in any other international agreement or arrangement by
which a Party is bound, or domestic fiscal legislation;6
(e) aimed at preventing the avoidance or evasion of taxes pursuant to the tax provisions
of the agreements to avoid double taxation or other tax arrangements, or domesticfiscal legislation;
(f) distinguishing, in the application of the relevant provisions of their fiscal legislation,
between taxpayers who are not in the same situation, in particular with regard to their
place of residence, or with regard to the place where their capital is invested.
7
3. The provisions of Sections I, II and III shall not apply to the Parties’ respective social security
systems or to activities in the territory of each Pa rty, which are connected, even occasionally, with the
exercise of official authority, except when those activities may be carried out on a commercial basis.
4. Nothing in Sections I, II and III shall prevent a Party from applying its laws, regulations and
requirements regarding entry and stay, work, labour conditions, and establishment of natural persons8
provided that, in so doing, it does not apply them in a manner as to nullify or impair the benefits
accruing to another Party under the terms of a sp ecific provision of Se ctions I, II and III.
SECTION V -  INVESTMENT
Article 45
Definitions
For the purpose of this Section, investment made in accordance with the laws and regulations
of the Parties means direct investment, which is defined as investment for the purpose of establishing
lasting economic relations with an undertaking such as, in particular, investments which give the
possibility of exercising an effective influence on the management thereof.9
Article 46
Transfers
1. The EFTA States and Mexico shall with respect to investments in their territories by investors
of another Party guarantee the right of free transfer, into and out of their territories, including initial
plus any additional capital, returns, payments under contract, royalties and fees, proceeds from thesale or liquidation of all or any part of an investment.
2. Transfers shall be made at the market rate of exchange prevailing on the date of transfer.
                                                     
6 The provision is without prejudice to rights and obligations arising under any double taxation
agreements between the Parties.
7 The provision is without prejudice to rights and obligations arising under any double taxation
agreements between the Parties.
8 In particular, a Party may require that natural persons must possess the necessary academic
qualifications and/or professional experience specified in the territory where the service is supplied, for the
sector of activity concerned.
9 Direct Investment embraces operations carried out in the country concerned by non-residents and
operations abroad by residents by means of:  1) creation or extension of a wholly-owned enterprise, subsidiaryor branch, acquisition of full ownership of an existing enterprise;  2) participation in a new or existing
enterprise;  3) a loan of five years or longer.WT/REG126/1
Page 24
3. Notwithstanding paragraphs 1 and 2, a Party may delay or prevent a transfer through the
equitable, non-discriminatory and good faith application of measures:
(a) taken to protect the rights of creditors in case of bankruptcy, insolvency or other legal
actions;
(b) relating to or ensuring compliance with the laws and regulations:
(i) on the issuing, trading and dealing in securities, futures and derivatives,
(ii) concerning reports or records of transfers;  or
(c) in connection with criminal offences and orders or judgements in administrative and
adjudicatory proceedings.
Article 47
Investment Promotion between the Parties
The EFTA States and Mexico shall aim to promote an attractive and stable environment for
reciprocal investment. Such promotion should take the form, in particular, of:
(a) mechanisms for information about and identification and dissemination of investment
legislation and opportunities;
(b) development of a legal framework favourable to investment on both sides,
particularly through the conclusion by the EFTA States and Mexico of bilateral
agreements promoting and protecting in vestment and preventing double taxation;
(c) development of uniform and simplified administrative procedures;  and
(d) development of mechanisms for joint invest ments, in particular with the small and
medium enterprises of both Parties.
Article 48
International Commitments on Investment
1. The EFTA States and Mexico recall their international commitments with regard to
investment, and especially, where applicable, the OECD Codes of Liberalisation and OECD National
Treatment Instrument.
2. The provisions of this Agreement shall be without prejudice to the rights and obligations
under any bilateral investment treaty concluded by the Parties to this Agreement.
Article 49
Review Clause
With the objective of progressively liberalising investment, the EFTA States and Mexico
affirm their commitment to review, not later than  three years after the entry into force of this
Agreement, the investment legal framework, the investment climate and the flow of investment
between their territories, consistent with their co mmitments in international investment agreements.WT/REG126/1
Page 25
SECTION VI – BALANCE -OF-PAYMENTS DIFFICULTIES
Article 50
Balance-of-Payments Difficulties
1. Where an EFTA State or Mexico is in serious balance of payments difficulties, or under
imminent threat thereof, the EFTA State concerned, or Mexico, as the case may be, may adopt
restrictive measures with regard to transfers and payments relating to services and investment. Such
measures shall be equitable, non-discriminatory, in good faith, of limited duration and may not go
beyond what is necessary to remedy the balance-of-payments situation.
2. The EFTA State concerned, or Mexico, as the case may be, shall inform the other Party
forthwith and present, as soon as possible, a timetable for their removal.  Such measures shall be
taken in accordance with other international obligations of the Party concerned, including those under
the WTO Agreement and the Articles of the Agreement of the International Monetary Fund.
IV. COMPETITION
Article 51
Objective and General Principles
1. The Parties agree that anti-competitive business conduct can hinder the fulfilment of the
objectives of this Agreement. Accordingly, each Party shall adopt or maintain measures to proscribe
such conduct and take appropriate action with respect thereto.
2. The Parties undertake to apply their respective competition laws so as to avoid that the
benefits of this Agreement may be undermined or nullified by anti-competitive business conduct. The
Parties shall give particular attention to anti-competitive agreements, abuse of market power and
anti-competitive mergers and acquisitions in accordance with their respective competition laws.
3. The competition laws for each Party are listed in Annex XI.
Article 52
Co-operation
1. The Parties recognise the importance of co-operation on issues concerning competition law
enforcement policy, such as notification, consultation and exchange of information related to the
enforcement of their competition laws and policies.
2. A Party shall notify the other Party of competition enforcement activities that may affect
important interests of that other Party .  Such activities may include investigations that involve:
anti-competitive business conduct , remedies and seeking of information in the territory of the other
Party, as well as mergers and acquisitions in which a party to the transaction is a company of a Party
controlling a company established in the territory of the other Party .  Notifications shall be
sufficiently detailed to enable the notified Party to make an initial evaluation of the effect of the
enforcement activity within its territory.
3. If a Party considers that an anti-competitive business conduct carried out within the territory
of the other Party has an appreciable adverse effect within its territory, it may request that the otherWT/REG126/1
Page 26
Party initiate appropriate enforcement activities.   T he request shall be as specific as possible about
the nature of the anti-competitive business conduct and its effect within the territory of the requesting
Party, and shall include an offer of such further information and other cooperation as the requesting
Party is able to provide.
4. The requested Party shall carefully consider wh ether to initiate enforcement activities, or to
expand ongoing enforcement activities, with respect to the anti-competitive business conduct
identified in the request.  The requested Party shall advise the requesting Party of the outcome of the
enforcement activities and, to the extent possible, of significant interim developments.
Article 53
Confidentiality
Nothing in this Chapter shall require a Party to  provide information when this is contrary to
its laws, including those regarding disclosure of information, confidentiality or business secrecy.
Article 54
Sub-Committee on Competition
The Joint Committee may, if the need arises, establish a Sub-Committee on competition.
Article 55
Consultations
A Party may request consultations regarding any matter related to this Chapter.  The request
for consultations shall indicate the reasons for the request and whether any procedural time limit or
other constraints require that consultations be expedited.  Upon request of a Party, consultations shall
promptly be held with a view to reaching a conclusi on consistent with the objectives set forth in this
Chapter.  Any Party may request that consultations continue within the Joint Committee in order to
obtain its recommendations in relation thereto.
V. GOVERNMENT PROCUREMENT
Article 56
Coverage
1. This Chapter applies to any law, regulation, procedure or practice regarding any procurement:
(a) by entities set out in Annex XII;
(b) of goods in accordance with Annex XIII, services in accordance with Annex XIV, or
construction services in accordance with Annex XV;  and
(c)  where the value of the contract to be awarded is estimated to be equal to or greater
than a threshold as set out in Annex XVI.
2. Paragraph 1 is subject to the provisions set out in Annex XVII.WT/REG126/1
Page 27
3. Subject to paragraph 4, where a contract to be awarded by an entity is not covered by this
Chapter, this Chapter shall not be construed to cover any good or service component of that contract.
4. No Party may prepare, design or otherwise structure any procurement contract in
order to avoid the obligations of this Chapter.
5. Procurement includes procurement by such methods as purchase, lease or rental, with or
without an option to buy.10
Article 57
National Treatment and Non-Discrimination
1. With respect to all laws, regulations, procedures and practices regarding government
procurement covered by this Chapter, each Party shall provide immediately and unconditionally to the
products, services and suppliers of the other Party treatment no less favourable than that accorded to
domestic products, services and suppliers.
2.  With respect to all laws, regulations, procedures and practices regarding government
procurement covered by this Chapter, each Party shall ensure:
(a) that its entities do not treat a locally-established supplier less favourably than another
locally-established supplier on the basis of the degree of foreign affiliation to, or
ownership by, a person of the other Party;  and
(b) that its entities do not discriminate against locally- established suppliers on the basis
of the country of production of the good or service being supplied, provided that thecountry of production is the other Party.
3. The provisions of paragraphs 1 and 2 shall not apply to customs duties and charges of any
kind imposed on, or in connection with, importation, the method of levying such duties and charges,
other import regulations and formalities, and measures affecting trade in services other than laws,
regulations, procedures and practices regarding government procurement covered by this Chapter.
Article 58
Rules of Origin
No Party may apply rules of origin to goods imported from the other Party for purposes of
government procurement covered by this Chapter that are different from, or inconsistent with, the
rules of origin which that Party applies in the normal course of trade.
                                                     
10 Procurement does not include:  (a) non-contractual agreements or any form of government
assistance, including cooperative agreements, grants, loans, equity infusions, guarantees, fiscal incentives, andgovernment provision of goods and services to persons or states and municipal governments;  and (b) theacquisition of fiscal agency or depository services, liqui dation and management services for regulated financial
institutions and sale and distribution services for government debt.WT/REG126/1
Page 28
Article 59
Denial of Benefits
Subject to prior notification and consultation, a Party may deny the benefits of this Chapter to
a service supplier of the other Party, where the Party establishes that the service is being provided by
an enterprise that is owned or controlled by persons of a non-Party and that has no substantial
business activities in the territory of either Party.
Article 60
Prohibition of Offsets
Each Party shall ensure that its entities do not, in the qualification and selection of suppliers,
goods or services, or in the evaluation of bids or the award of contracts, consider, seek or impose
offsets.  For purposes of this Article, offsets means conditions imposed or considered by an entity
prior to, or in the course of, its procurement process that encourage local development or improve itsParty’s balance of payments accounts, by means of requirements of local content, licensing of
technology, investment, counter-trade or similar requirements.
Article 61
Procurement Procedures and Other Provisions
1. Mexico shall apply the rules and procedures specified in Part A of Annex XVIII and the
EFTA States shall apply the rules and procedures specified in Part B of Annex XVIII.  Both sets of
rules and procedures are considered to provide equivalent treatment.
2. The rules and procedures specified in Annex XVIII may only be modified by the Party
concerned in order to reflect amendments to the corresponding provisions of the North American
Free-Trade Agreement (hereinafter NAFTA) and the WTO Agreement on Government Procurement
(hereinafter GPA), respectively, provided that the rules and procedures applied by that Party, as
modified, continue to afford equivalent treatment.
3. The Party concerned shall notify the other Party of any modification to the rules and
procedures specified in Annex XVIII no later than 30 days prior to their date of entry into force, and
shall bear the burden of proving that the rules and procedures, as modified, continue to afford
equivalent treatment.
4. Where a Party considers that such a modification affects access to the other Party’s
procurement market considerably, it can request consultations.  If no satisfactory solution can be
found the Party may have recourse to dispute settlement procedures under Chapter VIII, with a view
to maintaining an equivalent level of access to the other Party’s procurement market.
5. No entity of a Party may make it a condition for the qualification of suppliers and for the
awarding of a contract that the supplier has previously been awarded one or more contracts by an
entity of that Party or that the supplier has prior work experience in the territory of that Party.WT/REG126/1
Page 29
Article 62
Bid Challenge
1. In the event of a complaint by a supplier that there has been a breach of this Chapter in the
context of a procurement, each Party shall encourage the supplier to seek resolution of its complaint in
consultation with the procuring entity.  In such in stances the procuring entity shall accord impartial
and timely consideration to any such complaint, in a manner that is not prejudicial to obtaining
corrective measures under the challenge system.
2. Each Party shall provide non-discriminatory, timely, transparent and effective procedures
enabling suppliers to challenge alleged breaches of this Chapter arising in the context of procurementsin which they have, or have had, an interest.
3. Each Party shall provide its challenge procedures in writing and make them generally
available.
4. Each Party shall ensure that documentation relating to all aspects of the process concerning
procurements covered by this Chapter shall be retained for three years.
5. The interested supplier may be required to initiate a challenge procedure and notify the
procuring entity within specified time- limits from  the time when the basis of the complaint is known
or reasonably should have been known, but in no ca se within a period of less than 10 days from that
time.
6. A Party may require under its legislation that a challenge procedure be initiated only after the
notice of procurement has been published or, where a notice is not published, after tenderdocumentation has been made available.  Where a Party imposes such a requirement, the 10-day
period described in paragraph 5 shall begin no earlier than the date that the notice is published or the
tender documentation is made available.  Nothing in this provision precludes the right of interested
suppliers to judicial review.
7. Challenges shall be heard by an impartial and independent reviewing authority with no
interest in the outcome of the procurement and the members of which are secure from externalinfluence during the term of appointment.  A reviewing authority which is not a court shall either be
subject to judicial review or shall have procedures which provide that:
(a) participants can be heard before an opinion is given or a decision is reached;.
(b) participants can be represented and accompanied;
(c) participants shall have access to all proceedings;(d) proceedings can take place in public;(e) opinions or decisions are given in writing with a statement describing the basis for the
opinions or decisions;
(f) witnesses can be presented;  and(g) documents are disclosed to the reviewing authority.WT/REG126/1
Page 30
8. Challenge procedures shall provide for:
(a) rapid interim measures to correct breaches of this Chapter and to preserve
commercial opportunities.  Such action may result in suspension of the procurement
process.  However, procedures may provide that overriding adverse consequences forthe interests concerned, including the public interest, may be taken into account in
deciding whether such measures should be applied. In such circumstances, just cause
for not acting shall be provided in writing;
(b) where appropriate, correction of the breach of this Chapter or compensation for the
loss or damages suffered, which may be limited to costs for tender preparation or
protest.
9. With a view to the preservation of the commercial and other interests involved, the challenge
procedure shall normally be completed in a timely fashion.
Article 63
Provision of Information
1. Each Party shall promptly publish any law, regulation, precedential judicial decision,
administrative ruling of general application and any procedure regarding government procurementcovered by this Chapter in the appropriate publications referred to in Annex XIX.
2. Each Party shall designate upon entry into force of this Agreement one or more contact
points to:
(a) facilitate communication between the Parties;
(b) answer all reasonable inquiries from the other Party to provide relevant information
on matters covered by this Chapter;  and
(c) on request of a supplier of a Party, provide in writing within a reasonable time period
a reasoned answer to the supplier and the other Party as to whether a specific entity iscovered by this Chapter.
3. A Party may seek such additional information on the award of the contract as may be
necessary to determine whether the procurement was made fairly and impartially, in particular with
respect to unsuccessful tenders.  To this end, the Party of the procuring entity shall provideinformation on the characteristics and relative advantages of the winning tender and the contract price.
Where release of this information would prejudice competition in future tenders, the information shall
not be released by the requesting Party, except after consultation with, and agreement of, the Party
that provided the information.
4. Upon request, each Party shall provide to the other Party information available to that Party
and its entities concerning covered procurement of its entities and the individual contracts awarded by
its entities.
5.  No Party may disclose confidential informa tion the disclosure of which would prejudice the
legitimate commercial interests of a particular person or might prejudice fair competition between
suppliers, without the formal authorisation of the person that provided the information to that Party.WT/REG126/1
Page 31
6. Nothing in this Chapter shall be construed as requiring any Party to disclose confidential
information, the disclosure of which would impede law enforcement or otherwise be contrary to the
public interest.
7. Each Party shall collect and exchange on an annual basis statistics on its procurements
covered by this Chapter.11  Such reports shall comply with the requirements of Annex XX.
Article 64
Technical Co-operation
1. The Parties shall co-operate to increase the understanding of their respective government
procurement systems, with a view to maximising the access to government procurement opportunities
for the suppliers of both Parties.
2. Each Party shall take reasonable measures to provide to the other Party and to the suppliers of
the other Party, on a cost recovery basis, information concerning training and orientation programsregarding its government procurement system.
Article 65
Exceptions
1. Nothing in this Chapter shall be construed to prevent any Party from taking any action or not
disclosing any information which it considers necessary for the protection of its essential security
interests relating to the procurement of arms, am munition or war materials, or to procurement
indispensable for national security or for national defense purposes.
2. Provided that such measures are not applied in a manner that would constitute a means of
arbitrary or unjustifiable discrimination between Parties where the same conditions prevail or a
disguised restriction on trade between the Parties, nothing in this Chapter shall be construed to
prevent any Party from adopting or maintaining measures:
(a) necessary to protect public morals, order or safety;(b) necessary to protect human, animal or plant life or health;(c) necessary to protect intellectual property;  or
(d) relating to goods or services of handicapped persons, of philanthropic institutions or
of prison labor.
Article 66
Privatisation of Entities
1. Where a Party wishes to withdraw an entity from Section 2 of Annex XII.A or XII.B, as
appropriate, on the grounds that government control over it has been effectively eliminated, that Party
shall notify the other Party.12
                                                     
11 The first exchange of information under paragraph 7 of Article 63 (Provision of Information) will
take place two years after the entry into force of this Agreement. In the meantime, the Parties will communicate
to each other all available and comparable relevant data on a reciprocal basis.WT/REG126/1
Page 32
2. Where a Party objects to the withdrawal on the grounds that the entity remains subject to
government control, the Parties will enter into consultations to restore the balance of their offers. If no
satisfactory solution can be reached, the claiming Party may have recourse to dispute settlement
procedures under Chapter VIII.
Article 67
Further Negotiations
In the case that the EFTA States or Mexico offer, after the entry into force of this Agreement,
a GPA or NAFTA Party, respectively, additional advantages with regard to the access to theirrespective procurement markets beyond what has been agreed under this Chapter, they shall agree to
enter into negotiations with the other Party with a view to extending these advantages to the other
Party on a reciprocal basis.
Article 68
Other Provisions
1. The Joint Committee may adopt appropriate measures to enhance the conditions for effective
access to a Party’s covered procurement or, as the case may be, adjust a Party’s coverage so that suchconditions for effective access are maintained on an equitable basis.
2. The EFTA States shall provide to Mexico, at the entry into force of this Agreement, an
indicative list of 40 public authorities or public undertakings covered by Annex XII.B.2.  The entities
contained in this list shall be representative of the coverage offered under that Section in terms ofgeographical location and sectorial distribution.
VI. INTELLECTUAL PROPERTY
Article 69
Protection of Intellectual Property
1. The Parties shall grant and ensure adequate, effective and non-discriminatory protection of
intellectual property rights, and provide for measures for the enforcement of such rights against
infringement, counterfeiting and piracy, in accordance with the provisions of this Article and
Annex XXI.
2. The Parties shall accord to each others’ nationals treatment not less favourable than that they
accord to their own nationals. Exemptions from this obligation shall be in accordance with the
substantive provisions of Article 3 of the Agreement on Trade-Related Aspects of Intellectual
Property Rights (hereinafter referred to as the TRIPS Agreement).
                                                                                                                                                                    
12 Where both Parties have adopted rules that allow a covered entity to derogate from procurement
procedures if such entity intends to purchase exclusively to enable it to provide goods or services where othermarket participants are free to offer the same goods or services in the same geographical area and undersubstantially the same conditions, the Parties shall review the wording of this provision accordingly.  In caseArticle XXIV:6(b) of the GPA or Article 1023 of NAFTA is amended, the Parties shall review the wording ofthis provision accordingly.  The amended provision of the GPA or NAFTA shall not apply between the Parties
until it has been incorporated in  accordance with this paragraph.WT/REG126/1
Page 33
3. The Parties shall grant to each others’ nationals treatment not less favourable than that
accorded to nationals of any other State.  Exempti ons from this obligation shall be in accordance with
the substantive provisions of the TRIPS Agreement, in particular Articles 4 and 5 thereof.
4. Upon request of any Party, the Joint Committee shall hold consultations on issues concerning
the protection of intellectual property rights, with a view to reaching mutually satisfactory solutions to
difficulties that may arise in this context.  For the purposes of this paragraph, “protection” shall
include matters affecting the availability, acquisition, scope, maintenance and enforcement of
intellectual property rights as well as those matters affecting the use of intellectual property rights.
VII. INSTITUTIONAL PROVISIONS
Article 70
The Joint Committee
1. The Parties hereby establish the EFTA-Mexico Joint Committee comprising of
representatives of each Party.
2. The Joint Committee shall:
(a) supervise the implementation of this Agreement;
(b) keep under review the possibility of further removal of barriers to trade and other
restrictive regulations of commerce between the EFTA States and Mexico;
(c) oversee the further elaboration of this Agreement;
(d) supervise the work of all sub-committees and working groups established under this
Agreement;
(e) endeavour to resolve disputes that may arise regarding the interpretation or
application of this Agreement,  and
(f) consider any other matter that may affect the operation of this Agreement.
3. The Joint Committee may decide to set up such sub-committees and working groups as it
considers necessary to assist it in accomplishing its tasks.  Except where specifically provided for inthis Agreement, the sub-committees and working groups shall work under a mandate established by
the Joint Committee.
4. The Joint Committee may take decisions as provided in this Agreement.  On other matters the
Joint Committee may make recommendations.
5. The Joint Committee shall take decisions by consensus.6. The Joint Committee shall normally convene once a year in a regular meeting.  The regular
meetings of the Joint Committee shall be chaired jointly by one of the EFTA Parties and Mexico.  TheJoint Committee shall establish its rules of procedure.WT/REG126/1
Page 34
7. Each Party may request at any time, through a notice in writing to the other Parties, that a
special meeting of the Joint Committee be held. Su ch a meeting shall take place within 30 days of
receipt of the request, unless the Parties agree otherwis e.
8. The Joint Committee may decide to amend the Annexes and the Appendices to this
Agreement.  Subject to paragraph 9, it may set a date for the entry into force of such decisions.
9. If a representative of a Party in the Joint Committee has accepted a decision subject to the
fulfilment of constitutional requirements, the deci sion shall enter into force on the date that the last
Party notifies that its internal requirements have been fulfilled, unless the decision itself specifies a
later date.  The Joint Committee may decide that the decision shall enter into force for those Parties
that have fulfilled their internal requirements, provid ed that Mexico is one of those Parties.  A Party
may apply a decision of the Joint Committee provisionally until such decision enters into force,
subject to its constitutional requirements.
VIII.  DISPUTE SETTLEMENT
Article 71
Scope
1. The provisions of this Chapter shall apply to  any matter arising from this Agreement, unless
otherwise specified in this Agreement.
2. The provisions on arbitration shall not apply to Articles 9 to 13, 16, 26, 48, 50, 51 to 55
and 69.
Article 72
Consultations
1. The Parties shall at all times endeavour to agree on the interpretation and application of this
Agreement, and shall make every attempt through co-operation and consultations to arrive at a
mutually satisfactory resolution of any matter that might affect its operation.
2. Mexico may request in writing consultations with any other Party, and any EFTA State may
request in writing consultations with Mexico, regarding any actual or proposed measure or any other
matter that it considers might affect the operation of this Agreement.  The Party requesting
consultations shall at the same time notify the other Parties in writing thereof and supply all relevantinformation.
3. If any of the Parties so requests within 10 days from the receipt of the notification referred to
in paragraph 2, the consultations shall take place in the Joint Committee, with a view to finding an
acceptable solution.
4. Consultations shall commence within 30 days fr om the date of receipt of the request for
consultations.WT/REG126/1
Page 35
Article 73
Establishment of an Arbitration Panel
1. In case a Party considers that a measure applied by another Party violates the Agreement and
the matter has not been resolved within 45 days after consultations have been held pursuant to
Article 72, such matter may be referred to arbitration by one or more Parties to the dispute by means
of a written notification addressed to the Party complained against.  A copy of this notification shall
be communicated to all Parties to this Agreem ent so that each may determine whether it has a
substantial interest in the matter.  Where more than  one Party requests the submission to an arbitration
panel of a dispute with the same Party relating to the same question a single arbitration panel should
be established to consider such disputes whenever feasible.
2. A Party to this Agreement which is not a Party to the dispute, on delivery of a written notice
to the disputing Parties, shall be entitled to make  written submissions to the arbitration panel, receive
written submissions of the disputing Parties, attend all hearings and make oral submissions.
Article 74
Appointment of Arbitrators
1. The arbitration panel shall comprise three members, unless the Parties to the dispute decide
otherwise.
2. In the written notification pursuant to Article 73 of this Agreement, the Party or the Parties
referring the dispute to arbitration shall designate one member of the arbitration panel, who may be a
national of such Party or Parties.
3. Within 15 days from the receipt of the notification referred to in paragraph 2, the Party or the
Parties to which it was addressed shall, in turn, designate one member, who may be a national of such
Party or Parties.
4. Within 30 days from the receipt of the notification referred to in paragraph 2, the Parties to
the dispute shall agree on the designation of the third member.  The third member shall not be anational of any Party, nor permanently reside in the territory of any Party.  The member thus
appointed shall be the President of the arbitration panel.
5. If all three members have not been designated or appointed within 30 days from the receipt of
the notification referred to in paragraph 2, the necessary designations shall be made, at request of anyParty to the dispute, by the Director-General of the WTO within a further 30 days.
6. The date of establishment of the arbitration panel shall be the date on which the chair is
appointed.
Article 75
Panel Reports
1. The arbitration panel should, as a general rule, submit an initial report containing its findings
and conclusions to the Parties to the dispute not later than three months from the date of establishment
of the arbitration panel.  In no case should it do so later than five months from this date.  Any Party to
the dispute may submit written comments to the arbitration panel on its initial report within 15 days of
presentation of the report.WT/REG126/1
Page 36
2. The arbitration panel shall present to the Parties to the dispute a final report within 30 days of
presentation of the initial report.  A copy of the final report shall be communicated to the Parties to
this Agreement.
3. In cases of urgency, including those involving perishable goods, the arbitration panel shall
make every effort to issue its final report within three months from the date of establishment of the
arbitration panel.  In no case should it do so later than four months.  The arbitration panel may give a
preliminary ruling on whether a case is urgent.
4. All decisions of the arbitration panel, including the adoption of the final report and of any
preliminary ruling, shall be taken by majority vote, each arbitrator having one vote.
5. A complaining Party may withdraw its complain t at any time before the final report has been
issued. Such withdrawal is without prejudice to its right to introduce a new complaint regarding the
same issue at a later point in time.
Article 76
Implementation of Panel Reports
1. The final report shall be final and binding on the Parties to the dispute.  Each Party to the
dispute shall be bound to take the measures involved in carrying out the final report referred to in
Article 75.
2. The Party or Parties concerned shall inform the other Party or Parties to the dispute within
30 days after the final report has been issued of its intentions in respect of its implementation.
3. The Parties to the dispute shall endeavour to agree on the specific measures that are required
for implementing the final report.
4. The Party or Parties concerned shall promptly comply with the final report.  If it is
impracticable to comply immediately, the Parties to the dispute shall endeavour to agree on a
reasonable period of time to do so.  In the absence of such agreement, any Party to the dispute mayrequest the original arbitration panel to determine the length of the reasonable period of time, in light
of the particular circumstances of the case.  The ruling of the arbitration panel shall be given within
15 days from that request.
5. The Party or Parties concerned shall notify to the other Party or Parties to the dispute the
measures adopted in order to implement the final report before the expiry of the reasonable period of
time determined in accordance with paragraph 4.  Upon that notification, any Party to the dispute may
request the original arbitration panel to rule on the conformity of those measures with the final report.
The ruling of the arbitration panel shall be given within 60 days from that request.
6. If the Party or Parties concerned fails to notify the implementing measures before the expiry
of the reasonable period of time determined in accordance with paragraph 4, or if the arbitration panel
rules that the implementing measures notified by the Party or Parties concerned are inconsistent with
the final report, such Party or Parties shall, if so requested by the complaining Party or Parties, enter
into consultations with a view to agree on a mutu ally acceptable compensation.  If no such agreement
has been reached within 20 days from the request, the complaining Party or Parties shall be entitled to
suspend only the application of benefits granted under this Agreement equivalent to those affected by
the measure found to violate this Agreement.WT/REG126/1
Page 37
7. In considering what benefits to suspend, the complaining Party or Parties should first seek to
suspend benefits in the same sector or sectors as that affected by the measure that the panel has found
to violate this Agreement.  The complaining Party or Parties that consider it is not practicable or
effective to suspend benefits in the same sector or sectors may suspend benefits in other sectors.
8. The complaining Party or Parties shall notify the other Party or Parties of the benefits which it
intends to suspend no later than 60 days before the date on which the suspension is due to take effect.
Within 15 days from that notification, any of the Parties to the dispute may request the original
arbitration panel to rule on whether the benefits which the complaining Party or Parties intend to
suspend are equivalent to those affected by the measure found to violate this Agreement, and whether
the proposed suspension is in accordance with paragraphs 6 and 7.  The ruling of the arbitration panel
shall be given within 45 days from that request. Benefits shall not be suspended until the arbitrationpanel has issued its ruling.
9. The suspension of benefits shall be temporary and shall only be applied by the complaining
Party or Parties until the measure found to violate this Agreement has been withdrawn or amended so
as to bring it into conformity with this Agreem ent, or the Parties to the dispute have reached
agreement on a resolution of the dispute.
10. At the request of any of the Parties to the dispute, the original arbitration panel shall rule on
the conformity with the final report of any implementing measures adopted after the suspension of
benefits and, in light of such ruling, whether the suspension of benefits should be terminated or
modified. T he ruling of the arbitration panel shall be given within 30 days from the date of thatrequest.
11. The rulings provided for in paragraphs 4, 5, 8 and 10 shall be binding.
Article 77
Choice of Forum
1. Subject to paragraph 2, any dispute regarding any matter arising under both this Agreement
and the WTO Agreement, any agreement negotiated thereunder, or any successor agreement, may be
settled in either forum at the discretion of the complaining Party.
2. Before an EFTA State initiates a dispute settlement proceeding against Mexico or Mexico
initiates a dispute settlement proceeding agains t any EFTA State in the WTO on grounds that are
substantially equivalent to those available to the Party concerned under this Agreement, that Party
shall notify the other Parties of its intention.  If another Party wishes also to have recourse to dispute
settlement procedures as a complainant under this Agreement regarding the same matter, it shallinform promptly the notifying Party and those Parties shall consult with a view to agreement on a
single forum.  If those Parties cannot agree, the dispute shall be settled under this Agreement.
3. Once dispute settlement procedures have been initiated under this Agreement pursuant to
Article 73 or dispute settlement proceedings have been initiated under the WTO Agreement, theforum selected shall be used to the exclusion of the other.
4. For the purposes of this Article, dispute settlement proceedings under the WTO Agreement
are deemed to be initiated by a Party’s request for the establishment of a panel, such as under
Article 6 of the Dispute Settlement Understanding.WT/REG126/1
Page 38
Article 78
General Provisions
1. Any time period mentioned in this Chapter may be extended by mutual agreement of the
Parties to the dispute.
2. Unless the Parties to the dispute otherwise agree, the arbitration panel proceedings shall be
conducted in accordance with the Model Rules of Procedure which shall be adopted at the first
meeting of the Joint Committee.
IX. FINAL CLAUSES
Article 79
Transparency
1. The Parties shall publish their laws, or otherwise make publicly available their laws,
regulations, procedures and administrative rulings and judicial decisions of general application as well
as the international agreements which may affect the operation of the Agreement.
2. The Parties shall promptly respond to specific questions and provide, upon request,
information to each other on matters referred to in paragraph 1.
Article 80
Annexes
The Annexes and Appendices thereto constitute an integral part of this Agreement.
Article 81
Amendments
1. Amendments to this Agreement shall after ap proval by the Joint Committee be submitted to
the Parties for ratification, acceptance or approval, subject to each Parties constitutional requirements.
2. Unless the Joint Committee decides otherwise, the amendments shall enter into force on the
first day of the third month following the deposit of the last instrument of ratification, acceptance orapproval.
3. The text of the amendments as well as the instruments of ratification, acceptance or approval
shall be deposited with the Depositary.
Article 82
Additional Parties
Any State may, upon invitation by the Joint Committee, become a Party to this Agreement.
The terms and conditions of the participation by the additional Party shall be the subject of an
agreement between the Parties and the invited State.WT/REG126/1
Page 39
Article 83
Withdrawal and Termination
1. Any Party to this Agreement may withdraw therefrom by means of a written notification to
the Depositary.  The withdrawal shall take effect on the first day of the sixth month after the date on
which the notification was received by the Depositary.
2. If one of the EFTA States withdraws from this Agreement, a meeting of the remaining Parties
shall be convened to discuss the issue of the continued existence of this Agreement.
Article 84
Entry into Force
1. This Agreement is subject to ratification, acceptance or approval.  The instruments of
ratification, acceptance or approval shall be deposited with the Depositary.
2. This Agreement shall enter into force on 1 July 2001 in relation to those Signatory States
which by then have deposited their instruments of ratification or acceptance with the Depositary,
provided that Mexico is among the States that have deposited their instruments of ratification or
acceptance.
3. In relation to a Signatory State depositing its instrument of ratification or acceptance after
1 July 2001, this Agreement shall enter into force on the first day of the third month following the
deposit of its instrument, provided that in relation to  Mexico this Agreement enters into force at the
latest on the same date.
4. Any Party may, if its constitutional requirements permit, apply this Agreement provisionally
during an initial period starting on 1 July 2001. Provisional application of this Agreement shall be
notified to the Depositary.
Article 85
Depositary
The Government of Norway shall act as Depositary.
IN WITNESS WHEREOF the undersigned, being duly authorised thereto, have signed this
Agreement.
DONE at Mexico City, this 27th day of November 2000, in two original copies in the English
and the Spanish languages, both texts being equally authentic.  In case of conflict the English version
shall prevail.  One original for each language shall be deposited with the Government of Norway.
__________