. /.RESTRICTEDWORLD TRADE
ORGANIZATIONGPA/W/281
24 October 2003
(03-5632)
Committee on Government Procurement Original:  English
QUESTIONS TO THE REPUBLIC OF KOREA RELATING TO THE PROPOSED
WITHDRAWAL OF KOREA TOBACCO & GINSENG CORPORATION
AND DAEHAN PRINTING AND PUBLISHING CO. LTD
Communication from the European Communities
The following communication, dated 23 October 2003, has been received from the Permanent
Delegation of the European Commission with the request that it be circulated to the Committee on
Government Procurement.
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The European Communities would appreciate the Republic of Korea's responses to the
following questions relating to its proposed wi thdrawal of Korea Tobacco & Ginseng Corporation
(KT&G) and Daehan Printing and Publishing Co. Ltd. (Daehan) from Annex 3 of Appendix I of the
Agreement on Government Procurement (GPA/W/250).
KT&G
1. Please indicate to what extent the Government  of Korea, other Korean public entities or
publicly-owned companies may, de jure or de facto, influence the appointment of the directors of
KT&G.
2. Please describe all financing, including grants, guarantees and loans, that KT&G may have
obtained from the Government of Korea, other Korean public entities or publicly-owned companies.
3. Please indicate to what extent the Government  of Korea, other Korean public entities or
publicly-owned companies may, de jure or de facto, influence management decisions of KT&G.
4. Please describe the main features of the laws, regulations and measures that apply specifically
to tobacco manufacturing companies.
5. Please provide the full text of Article 25 of the Tobacco Business Act and all measures giving
effect to this provision, and explain what can kind of assistance could be required.  Has this provisionever been used, and if so, please describe how and under which circumstances?
6. Please describe the conditions that apply for obtaining a licence to manufacture tobacco, the
customs tariffs that apply to the import of cigarettes and leaf tobacco, and the market shares of all
tobacco manufacturers.GPA/W/281
Page 2
Daehan
7. Please indicate if the Government of Korea, other Korean public agencies or publicly-owned
companies own or used to own shares in Daeh an.  If yes, please provide details on these
shareholdings, including the number of these shares, voting rights attached to these shares, andindicate when such shares were sold to private parties.
8. Please indicate to what extent the Government  of Korea, other Korean public entities or
publicly-owned companies may, de jure or de facto, influence the appointment of the directors of
Daehan.
9. Please describe all financing, including grants, guarantees and loans, that Daehan may have
obtained from the Government of Korea, other Korean public entities or publicly-owned companies.
10.  indicate to what extent the Government of Korea, other Korean public entities or
publicly-owned companies may, de jure or de facto, influence management decisions of Daehan.
11. Please describe and provide a copy of the Special Regulation of the Enforcement Decree of
the Act relating to Contracts to which the State is a party for specific procurement (Presidential
Decree 15187) and the Accounting Regulation for Go vernment Invested Enterprises (Minister of
Finance and Economy Decree 107).  Please indicate if there are other instruments that apply to
Daehan and not to other printing or publishing companies.
12. Please indicate if the Regulations referred to in question 11 are applicable to National
Textbook Ltd.
13. Please explain why the purchase of Nationa l Textbook Ltd. – a company not included in
Annex 3 of Appendix I - justifies the wi thdrawal of Daehan from this Annex 3.
14. Please set out on which markets Daehan and its subsidiaries, if any, operate, and indicate to
what extent these markets have been liberalized.  Please describe the structure of the Korean market
for textbooks.
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