WORLD TRADE WT/REG33/1
30October 1997
ORGANIZATION(97-4764)
Original: English Committee onRegional Trade Agreements
FREE TRADE AGREEMENT BETWEEN
THE REPUBLIC OFSLOVENIA
AND
THE REPUBLIC OFBULGARIA
Thefollowing textreproduces theFreeTrade Agreement.1
________________
PREAMBLE
TheRepublic ofSlovenia andtheRepublic ofBulgaria (hereinafter called theParties),
Having regard totheDeclaration ofIntention between theGovernment oftheRepublic of
Slovenia andtheGovernment oftheRepublic ofBulgaria ontheliberalization ofthemutual trade
relations of20April 1994,
Recalling theirintention toparticipate actively intheprocess ofeconomic integration asan
important dimension ofthestability ontheEuropean continent andexpressing theirpreparedness to
co-operate inseeking ways andmeans tostrengthen thisprocess.
Reaffirming theirfirmcommitment totheprinciples ofamarket economy, which constitutes
thebasis fortheirrelations,
Recalling theirfirmcommitment totheFinalActoftheConference onSecurity andCooperation
inEurope, theParis Charter, andinparticular theprinciples contained inthefinaldocument ofthe
Bonn Conference onEconomic Co-operation inEurope,
Resolved tothisendtoeliminate progressively theobstacles tosubstantially alltheirmutual
trade, inaccordance withtheprovisions oftheGeneral Agreement onTariffs andTrade, 1994,
Firmly convinced thatthisAgreement willfoster theintensification ofmutually beneficial trade
relations among them andcontribute totheprocess ofintegration inEurope,
Considering thatnoprovision ofthisAgreement maybeinterpreted asexempting theParties
from theirobligations under other international agreements, especially theAgreement Establishing
theWorld Trade Organization,
Hereby agreed asfollows:
1TheAnnexes andProtocols thereto have been submitted totheSecretariat forconsultation byinterested
Members (Office 3006).WT/REG33/1
Page2
Article 1
Objectives
1. TheParties shall gradually establish afree-trade areainatransitional period ending on
1January2000atthelatestinaccordancewiththeprovisionsofthepresentAgreementandinconformity
withArticle XXIV oftheGeneral Agreement onTariffs andTrade 1994 andwithUnderstanding on
theInterpretation oftheArticle XXIV oftheGeneral Agreement onTariffs andTrade 1994.
2. Theobjectives ofthepresent Agreement are:
(i) topromotethroughtheexpansionoftrade,theharmoniousdevelopmentoftheeconomic
relations between theParties andthustofoster theadvance ofeconomic activity in
theParties, theimprovement ofliving andemployment conditions, andincreased
productivity andfinancial stability;
(ii) toprovide fairconditions ofcompetition fortrade between theParties; and
(iii) tocontribute inthisway, bytheremoval ofbarriers totrade, totheharmonious
development andexpansion ofworld trade.
CHAPTER I-INDUSTRIAL PRODUCTS
Article 2
Scope
Theprovisions ofthisChapter shallapply toindustrial products originating intheParties.
Theterm"industrial products" means forthepurpose ofthisAgreement theproducts falling within
Chapters 25to97oftheHarmonized Commodity Description andCoding System, withtheexception
oftheproducts listed inAnnex I.
Article 3
Customs Duties onImports
1. Nonewcustoms dutyonimports shallbeintroduced intrade between theParties.
2. Customs duties onimports shallbeabolished inaccordance withtheprovisions laiddown in
Protocol 1ofthisAgreement.
3. Thereduced duties calculated inaccordance withparagraph 2shallbeapplied rounded tothe
firstdecimal place.
Article 4
Basic Duties
1. Foreachproduct thebasic dutytowhich thesuccessive reductions setoutinthisAgreement
aretobeapplied shallbethemost-favoured-nation rateofdutyinforce on1July1996.WT/REG33/1
Page3
2. If,afterentry intoforce oftheAgreement, anytariff reduction isapplied onanergaomnes
basis, suchreduced duties shallreplace thebasic duties referred toinparagraph 1asfrom thatdate
when suchreductions areapplied.
3. TheParties shallcommunicate toeachother theirrespective basicratesofduties inaccordance
withtheprovisions ofparagraph 2.
4. Thereduced duties calculated inaccordance withparagraph 2shallbeapplied rounded tothe
firstdecimal place.
Article 5
Charges Equivalent toDuties
1. Nonewcharge having aneffect equivalent toacustoms dutyonimports shallbeintroduced
intrade between theParties.
2. Allcharges having aneffect equivalent tocustoms duties onimports shallbeabolished onthe
dateoftheentry intoforce ofthisAgreement except asprovided forinAnnex II.
Article 6
Fiscal Duties
Theprovisions ofArticle 3shallalsoapply tocustoms duties ofafiscal nature.
Article 7
Customs Duties onExports andCharges having Equivalent Effect
1. Nonewcustoms dutyonexports orcharge having equivalent effect shallbeintroduced intrade
between theParties.
2. TheParties shallabolish between themondateofentryintoforceofthisAgreement, allcustoms
duties onexports andcharges having equivalent effect, except asprovided forinAnnexes IIIaandIIIb.
Article 8
Quantitative Restrictions onImports andMeasures having Equivalent Effect
1. Nonewquantitative restrictions onimports ormeasures having equivalent effect shall be
introduced intrade between theParties.
2. Allquantitative restrictions andmeasures having equivalent effect onimports ofproducts
originating intheParties shallbeabolished onthedateofentry intoforce ofthisAgreement.
Article 9
Quantitative Restrictions onExports andMeasures having Equivalent Effect
1. Nonewquantitative restrictions onexports ormeasures having equivalent effect shall be
introduced intrade between theParties.WT/REG33/1
Page4
2. Allquantitative restrictions andmeasures having equivalent effect onexports ofproducts
originating intheParties shallbeabolished onthedateoftheentry intoforce oftheAgreement, except
asprovided forinAnnex IV.
Article 10
Information Procedure onDraft Technical Regulations
1. TheParties shallcooperate andexchange information inthefieldofstandardisation, metrology,
conformity, assessment andaccreditation withtheaimofreducing technical barriers totrade.
2. Toeliminate technical barriers andeffectively implement thisAgreement, theParties mayon
thebasisherebyconcludeanarrangementformutualrecognitionoftestreports,certificatesofconformity
andother documents directly orindirectly related toconformity assessment ofproducts which arethe
subject ofthegoods exchange between theParties onthebasis ofregulation inforce intheimporting
state.
3. Aspecification ofconditions andmethods forconformity assessment shallbeprepared inmutual
agreement bythecompetent national authorities forthecarrying outofprocedures ofconformity
assessment onthebasis oftheregulations inforce intheexporting state.
4. ThePartiestotheAgreementcommitthemselvestonotifythetechnicalregulationsinaccordance
withtheprovisions oftheWTO Agreement onTechnical Barriers toTrade.
CHAPTER II-AGRICULTURAL PRODUCTS
Article 11
Scope
Theprovisions ofthisChapter shallapply toagricultural products originating intheParties.
Theterm"agricultural products" means forthepurpose ofthisAgreement theproducts falling within
Chapters 1to24oftheHarmonized Commodity Description andCoding System, including theproducts
listed inAnnex I.
Article 12
Exchange ofConcessions
1. TheParties grant eachother theconcessions, specified inProtocol 2inaccordance with
provisions ofthisChapter.
2. Taking account of:
- theroleofagriculture intheireconomies;
- thedevelopment oftrade inagricultural products between theParties;
- theparticular sensitivity oftheagricultural products;
- therules oftheiragricultural policies;
- therespecting provisions oftheAgreement Establishing theWorld Trade Organization,
theParties shallexamine thepossibilities ofgranting eachother further concessions.WT/REG33/1
Page5
Article 13
Concessions andAgricultural Policies
1. Without prejudice totheconcessions granted under Article 12,theprovisions ofthisChapter
shallnotrestrict inanywaythepursuance oftherespective agricultural policies oftheParties orthe
taking ofanymeasures under suchpolicies, including theimplementation oftherespective provisions
oftheAgreement Establishing theWorld Trade Organization.
2. TheParties shallnotify eachothers changes intheirrespective agricultural policies pursued
ormeasures applied which mayaffect theconditions ofagricultural trade among them asprovided
forinthisAgreement. Prompt consultations shallbeheld, upon request ofanyParty, toexamine the
situation.
Article 14
Specific Safeguards
Notwithstanding other provisions ofthisAgreement and,inparticular Article 27,if,given
theparticular sensitivity oftheagricultural markets, imports ofproducts originating inaParty, which
arethesubject toconcessions granted under thisAgreement, cause serious disturbance tothemarkets
oftheother Party, theParty concerned shallenterintoconsultations immediately tofindanappropriate
solution. Pending suchsolution, theParty concerned maytakemeasures itdeems necessary.
Article 15
Veterinary, Health andPhytosanitary Measures
TheParties shallapply theirregulations inveterinary, planthealth andhealth matters inanon-
discriminatoryfashionandshallnotintroduceanynewmeasuresthathavetheeffectofundulyobstructing
trade.
CHAPTER III-GENERAL PROVISIONS
Article 16
Rules ofOrigin andCooperation inCustoms Administration
1. Protocol 3laysdown therules oforigin andrelated methods ofadministrative cooperation.
2. TheParties shalltakeappropriate measures, including regular reviews bytheJointCommittee
andarrangements foradministrative cooperation, toensure thattheprovisions ofProtocol 3and
Articles 3to9,12,17and28oftheAgreement areeffectively andharmoniously applied, andtoreduce,
asfaraspossible theformalities imposed ontrade, andtoachieve mutually satisfactory solutions to
anydifficulties arising from theoperation ofthose provisions.
3. Themutual assistance between administrative authorities incustoms matters shalltakeplace
inaccordance withtheprovisions ofProtocol 4.WT/REG33/1
Page6
Article 17
Internal Taxation
1. TheParties shallrefrain fromanymeasure orpractice ofaninternal fiscal nature establishing,
whether directly orindirectly, discrimination between theproducts originating intheParties.
2. Products exported totheterritory ofoneoftheParties maynotbenefit from repayment of
internal taxation inexcess oftheamount ofdirect orindirect taxation imposed onthem.
Article 18
General Exceptions
ThisAgreement shallnotpreclude prohibitions orrestrictions onimports, exports orgoods
intransit justified onthegrounds ofpublic morality, public policy orpublic security; theprotection
ofhuman, animal orplantlifeorhealth; theprotection ofnational treasures possessing artistic, historic
orarchaeological value; protection ofintellectual property orrules relating togoldorsilver orthe
conservation ofexhaustible natural resources ifsuchmeasures aremade effective inconjunction with
restrictionsondomesticproductionorconsumption.Suchprohibitionsorrestrictionsshallnot,however,
constitute means ofarbitrary discrimination oradisguised restriction ontrade between theParties.
Article 19
Security Exceptions
Nothing inthisAgreement shallprevent aParty fromtaking anymeasure which itconsiders
necessary:
1. toprevent thedisclosure ofinformation contrary toitsessential security interests;
2. fortheprotection ofitsessential security interests orfortheimplementation ofinternational
obligations ornational policies;
(i) relating tothetraffic inarms, ammunition andtheimplements ofwar,provided that
suchmeasures donotimpair theconditions ofcompetition inrespect ofproducts not
intended forspecifically military purposes, andtosuchtraffic inother goods, materials
andservices asiscarried ondirectly orindirectly forthepurpose ofsupplying amilitary
establishment; or
(ii) relating tothenon-proliferation ofbiological andchemical weapons, nuclear weapons
orother nuclear explosive devices; or
(iii) taken intimeofwarorother serious international tension.
Article 20
State Monopolies
1. TheParties shalladjust progressively anyStatemonopoly ofacommercial character soasto
ensure thatby1July1999nodiscrimination regarding theconditions under which goods areprocured
andmarketed exists between nationals oftheParties.WT/REG33/1
Page7
2. Theprovisions ofthisArticle shallapply toanybodythrough which thecompetent authorities
oftheParties, inlaworinfact,either directly orindirectly supervise, determine orappreciably influence
imports orexports between theParties. These provisions shalllikewise apply tomonopolies delegated
byaParty toother bodies.
Article 21
Payments
1. Payments infreely convertible currencies relating totrade ingoods between theParties and
thetransfer ofsuchpayments totheterritory oftheParty tothisAgreement, where thecreditor resides
shallbefreefrom anyrestrictions.
2. ThePartiesshallrefrainfromanyexchangeoradministrativerestrictionsonthegrant,repayment
oracceptance ofshort andmedium termcredits totrade ingoods inwhich aresident participates.
3. Notwithstanding theprovisions ofparagraph 2,untilArticle VIIIoftheArticles ofAgreement
oftheInternational Monetary Fund becomes applicable forsome oftheParties, theParties reserve
therighttoapply exchange restrictions onthegrant oracceptance ofshort andmedium termcredits
related totrade ingoods totheextent permitted according totheirstatus under theIMF, provided that
these restrictions areapplied inanon-discriminatory manner asregards theorigin oftheproducts and
thattheyarenotapplied onlytospecific products orkindofproducts. Therestrictions shallbeof
limited duration andshallbeeliminated when conditions nolonger justify theirmaintenance. Theparties
shallinform theother Party promptly oftheintroduction ofsuchmeasures andofanychanges therein.
Article 22
Rules ofCompetition Concerning Undertakings
1. Thefollowing areincompatible withtheproper functioning ofthisAgreement insofar asthey
mayaffect trade between theParties:
(a) allagreements between undertakings, decisions byassociations ofundertakings and
concerted practices between undertakings which have astheir object oreffect the
prevention, restriction ordistortion ofcompetition;
(b) abuse byoneormoreundertakings ofadominant position intheterritories oftheParties
asawhole orinasubstantial partthereof.
2. Theprovisions ofparagraph 1shallapply totheactivities ofallundertakings including public
undertakings andundertakings towhich theParties grant special orexclusive rights. Undertakings
entrusted withtheoperation ofservices ofgeneral economic interest orhaving thecharacter ofarevenue-
producing monopoly, shallbesubject toprovisions ofparagraph 1insofar astheapplication ofthese
provisions doesnotobstruct theperformance, inlaworfact,oftheparticular public tasks assigned
tothem.
3. With regard toproducts referred toinChapter IItheprovisions stipulated inparagraph 1(a)
shallnotapply tosuchagreements, decisions andpractices which form anintegral partofanational
market organization.
4. IfaParty considers thatagiven practice isincompatible withparagraphs 1,2and3ofthis
Article andifsuchpractice causes orthreatens tocause serious prejudice totheinterest ofthatPartyWT/REG33/1
Page8
ormaterial injury toitsdomestic industry, itmaytakeappropriate measures under theconditions and
inaccordance withtheprocedure laiddown inArticle 31.
Article 23
State Aid
1. Anyaidgranted byaStatebeing aParty tothisAgreement orthrough Stateresources inany
formwhatsoever which distorts orthreatens todistort competition byfavouring certain undertakings
ortheproduction ofcertain goods shall, insofar asitmayaffect trade between theParties, be
incompatible withtheproper functioning ofthisAgreement.
2. Theprovisions ofparagraph 1shallnotapply toproducts referred toinChapter II.
3. TheJointCommittee shall, atthelatest by1January 1998, adopt thecriteria onthebasis of
which thepractices contrary toparagraph 1shall beassessed, aswell astherules fortheir
implementation.
4. TheParties shallensure transparency intheareaofstateaid,interalia,byreporting annually
toeachother onthetotalamount andthedistribution oftheaidgiven andbyproviding totheother
Party, upon request, information onaidschemes andonparticular individual cases ofState aid.
5. IfaParty considers thataparticular practice, including thatinagriculture:
- iscompatible withtheterms ofparagraph 1,andisnotadequately dealtwithunder
theimplementing rules referred toinparagraph 3,or
- intheabsence ofsuchrules, andifsuchpractice causes orthreatens tocause serious
prejudice totheinterest ofthatParty ormaterial injury toitsdomestic industry,
itmaytakeappropriate measures under theconditions of,andinaccordance with, theprovisions
laiddown inArticle 31.
6. Such appropriate measures mayonlybetaken inconformity withtheprocedures andunder
theconditions oftheAgreement Establishing theWorld Trade Organization andanyother relevant
instrument negotiated under itsauspices which areapplicable between theParties.
Article 24
Government Procurement
1. TheParties consider theliberalization oftheirrespective government procurement markets
asanobjective ofthisAgreement.
2. TheParties shallprogressively develop theirrespective regulations forgovernment procurement
withaviewtogrant suppliers oftheother Parties bytheendof1999 atthelatest, access tocontract
aware procedures ontheirrespective government procurement markets according totheprovisions
oftheWorld Trade Organization Agreement onGovernment Procurement.
3. TheJointCommittee shallexamine developments related totheachievement oftheobjectives
ofthisArticle andmayrecommend practical modalities ofimplementing theprovisions ofparagraph 2
soastoensure freeaccess, transparency andfullbalance ofrights andobligations.WT/REG33/1
Page9
4. During theexamination referred toinparagraph 3,theJointCommittee mayconsider, especially
inthelightofdevelopmentsinthisareaininternationalrelations,thepossibilityofextendingthecoverage
and/or thedegree ofthemarket opening provided forinparagraph 2.
Article 25
Protection ofIntellectual Property
1. TheParties shall grant andensure theprotection ofintellectual property rights onanon-
discriminatory basis, including measures forgranting andenforcing suchrights. Theprotection shall
begraduallyimprovedonalevelcorrespondingtothesubstantivestandardsofthemultilateralagreements
which arespecified inAnnex Vbefore 1July1999.
2. Forthepurpose ofthisAgreement "intellectual property protection" includes inparticular
protection ofcopyright, comprising computer programmes anddatabases, andneighbouring rights,
trade marks, geographical indictions, industrial designs, patents, topographies ofintegrated circuits,
aswellasundisclosed information onknow-how.
3. TheParties shallco-operate inmatters ofintellectual property. They shallhold, uponrequest
ofanyParty, expert consultations onthese matters, inparticular onactivities, relating totheexisting
ortofuture international conventions onharmonization, administration andenforcement ofintellectual
property andonactivities ininternational organizations, suchastheAgreement Establishing theWorld
Trade Organization, World Intellectual Property Organization, aswellasrelations ofParties withthird
countries onmatters concerning intellectual property.
Article 26
Dumping
IfaParty finds thatdumping within themeaning ofArticle VIoftheGeneral Agreement on
Tariffs andTrade 1994andtheAgreements onImplementation ofArticle VIofGATT 1994istaking
place intrade relations governed bythisAgreement, itmaytakeappropriate measures against that
practice inaccordance withArticle VIoftheGeneral Agreement onTariffs andTrade 1994 andthe
Agreements onImplementation ofArticle VIoftheGATT 1994, under theconditions andinaccordance
withtheprocedure laiddown inArticle 31.
Article 27
General Safeguards
Where anyproduct isbeing imported insuchincreased quantities andunder suchobligations
astocause orthreaten tocause:
(a) serious injury todomestic producers oflikeordirectly competitive products inthe
territory oftheimporting Party; or
(b) serious disturbances inanyrelated sector oftheeconomy ordifficulties which could
bring about serious deterioration intheeconomic situation ofaregion,
theParty concerned maytakeappropriate measures under theconditions andinaccordance withthe
procedure laiddown inArticle 31.WT/REG33/1
Page10
Article 28
Structural Adjustment
1. Exceptional measures oflimited duration which derogate fromtheprovisions ofArticle 3may
betaken byanyoftheParties intheform ofincreased custom duties.
2. These measures mayonlyconcern infant industries, orcertain sectors undergoing restructuring
orfacing serious difficulties, particularly where these difficulties produce important social problems.
3. Customs duties onimports applicable intheParty concerned toproducts originating inthe
other Party introduced bythese measures maynotexceed 25percentadvalorem andshallmaintain
anelement ofpreference forproducts originating intheother Party. Thetotalvalue ofimports of
theproduct which aresubject tothesemeasures maynotexceed 15percentoftotalimports ofindustrial
products from theother Party asdefined inChapter Iduring thelastyearforwhich statistics are
available.
4. These measures shallbeapplied foraperiod notexceeding fiveyears unless alonger duration
isauthorized bytheJointCommittee. They shallcease toapply by31December 2001 atthelatest.
5. Nosuchmeasures canbeintroduced inrespect ofaproduct ifmore thanthree years elapsed
sincetheeliminationofalldutiesandquantitativerestrictionsorchargesormeasureshavinganequivalent
effect concerning thatproduct.
6. TheParty concerned shallinform theother Party ofanyexceptional measures itintends to
takeand,attherequest oftheother Party, consultations shallbeheldwithin theJointCommittee on
suchmeasures andthesectors towhich theyapply prior totheirintroduction. When taking such
measures theParty concerned shallprovide theJoint Committee withacalendar fortheelimination
ofthecustoms duties introduced under thisArticle. Thiscalendar shallprovide foraphasing outof
these duties starting atthelatest twoyears aftertheirintroduction, atequal annual rates. TheJoint
Committee maydecide onadifferent schedule.
Article 29
Re-Export andSerious Shortage
Where compliance withtheprovisions ofArticles 7and9leads to:
(a) re-export towards athirdcountry against which theexporting Party maintains forthe
productconcerningquantitativeexportrestrictions,exportdutiesormeasuresorcharges
having equivalent effect; or
(b) aserious shortage, orthreat thereof, ofaproduct essential totheexporting Party,
andwhere thesituations referred toabove given riseorarelikely togiverisetomajor difficulties for
theexporting Party, thatParty maytakeappropriate measures under theconditions andinaccordance
withtheprocedures laiddown inArticle 31.WT/REG33/1
Page11
Article 30
Fulfilment ofObligations
1. TheParties shalltakeanygeneral orspecific measures required tofulfiltheirobligations under
thisAgreement. They shallensure toitthattheobjectives setoutinthisAgreement areachieved.
2. IfaParty considers thattheother Party hasfailed tofulfilanobligation under thisAgreement,
theParty concerned maytakeappropriate measures under theconditions andinaccordance withthe
procedure laiddown inArticle 31.
Article 31
Procedure fortheApplication ofSafeguard Measures
1. Before initiating theprocedure fortheapplication ofsafeguard measures setoutinthefollowing
paragraphs ofthepresent Article, theParties shallendeavour tosolve anydifferences between them
through direct consultations.
2. Intheevent ofaParty subjecting imports ofproducts liable togiverisetothesituation referred
toinArticle 27toanadministrative procedure having asitspurpose therapid provision ofinformation
onthetrend oftrade flows, itshallinform theother Party.
3. Without prejudice toparagraph 7ofthepresent Article, aParty which considers resorting to
safeguard measures shallpromptly notify theother Party thereof andsupply allrelevant information.
Consultations between theParties shalltakeplace without delay withaviewtofinding asolution.
4. (a) With regard toArticles 26,27and29,theJoint Committee shallexamine thecase
orsituation andmaytakeanydecision needed toputanendtothedifficulties notified
bytheParty concerned. Inthecaseoftheabsence ofsuchdecision within thirty days
ofthematter being referred totheJoint Committee, theParty concerned mayadopt
themeasures necessary inorder toremedy thesituation.
(b) With regard toArticle 30,theParty concerned maytakeappropriate measures after
theconsultations havebeenconcluded orafteraperiod ofthree months haselapsed
from thedateofthefirstnotification totheother Party.
(c) Withregard toArticles 22and23,theParty concerned shallgivetheJointCommittee
alltheassistance required inorder toexamine thecaseand,where appropriate, eliminate
thepractice objected to.IftheParty inquestion failstoputanendtothepractice
objected towithin theperiod fixed bytheJointCommittee oriftheJointCommittee
failstoreach anagreement within thirty working daysofthematter being referred
toit,theParty concerned mayadopt theappropriate measures todealwiththe
difficulties resulting from thepractice inquestion.
5. Thesafeguard measures taken shallbenotified immediately totheother Party. They shall
berestricted withregard totheirextent andtheirduration towhatisstrictly necessary inorder torectify
thesituation giving risetotheirapplication andshallnobeinexcess oftheinjury caused bythepractice
orthedifficulty inquestion. Priority shallbegiven tosuchmeasures aswillleastdisturb thefunctioning
ofthisAgreement.WT/REG33/1
Page12
6. Thesafeguard measures taken shallbethesubject ofperiodic consultations within theJoint
Committee withaviewtotheirrelaxation assoonaspossible, orabolition when conditions nolonger
justify theirmaintenance.
7. Whereexceptionalcircumstancesrequiringimmediateactionmakepriorexaminationimpossible,
theParty concerned may,inthecasesofArticles 26,27and29,apply forthwith theprovisional measures
strictly necessary toremedy thesituation. Themeasures shallbenotified without delay andconsultations
between theParties shalltakeplace assoonaspossible within theJoint Committee.
Article 32
Balance ofPayments Difficulties
1. TheParties shallendeavour toavoid theimposition ofrestrictive measures including measures
relating toimports forbalance ofpayments purposes.
2. Where oneoftheParties isinserious balance ofpayments difficulties, orunder imminent threat
thereof, theParty concerned may,inaccordance withtherelevant provisions oftheGeneral Agreement
onTariffs andTrade 1994, adopt restrictive measures, including measures related toimports, which
shallbeoflimited duration andmaynotgobeyond whatisnecessary toremedy thebalance ofpayments
situation. Themeasures shallbeprogressively relaxed asbalance ofpayments conditions improve
andtheyshallbeeliminated when conditions nolonger justify theirmaintenance. TheParty concerned
shallinform theotherParty forthwith oftheirintroduction and,whenever practicable, ofatimeschedule
fortheirremoval.
Article 33
Evolutionary Clause
1. Where aParty considers thatitwould beuseful intheinterests oftheeconomies oftheParties
todevelopanddeepentherelationsestablishedbythisAgreementbyextendingthemtofieldsnotcovered
thereby, itshall submit areasoned request totheother Party. TheParties mayinstruct theJoint
Committee toexamine sucharequest and,where appropriate, tomake recommendations, particularly
withaviewtoopening negotiations.
2. Agreements resulting fromtheprocedure referred toinparagraph 1willbesubject toratification
orapproval bytheParties inaccordance withtheirnational procedures.
Article 34
TheJoint Committee
1. TheJoint Committee ishereby established andshall consist ofmembers appointed bythe
Government oftheRepublic ofSlovenia, ontheonehand, andofmembers appointed bytheGovernment
oftheRepublic ofBulgaria, ontheother hand.
2. Theimplementation ofthisAgreement shall besupervised andadministered bytheJoint
Committee.
3. Forthepurpose oftheproper implementation oftheAgreement, theParties shallexchange
information and,attherequest ofanyParty, shallholdconsultations within theJointCommittee. TheWT/REG33/1
Page13
Committee shallkeepunder review thepossibility offurther removal oftheobstacles totradebetween
theParties.
4. TheJointCommittee maytakedecisions inthecases provided forinthisAgreement. Onother
matters theCommittee maymake recommendations.
Article 35
Procedures oftheJoint Committee
1. Fortheproper implementation ofthisAgreement theJoint Committee shallmeetwhenever
necessary butatleastonceayear. Each Party mayrequest thatameeting beheld.
2. TheJoint Committee shallactbycommon agreement.
3. Ifarepresentative intheJointCommittee ofaParty tothisAgreement hasaccepted adecision
subject tothefulfilment ofinternal legalrequirements, thedecision shallenter intoforce, ifnolater
dateiscontained therein, onthedaythelifting ofthereservation isnotified.
4. Forthepurpose ofthisAgreement theJointCommittee shalladopt itsrulesofprocedure which
shall, interalia,contain provisions forconvening meetings andforthedesignation oftheChairman
andhistermofoffice.
5. TheJoint Committee maydecide tosetupsuchsub-committees andworking groups asit
considers necessary toassist itinaccomplishing itstasks.
Article 36
Trade Relations Governed bythisandother Agreements
1. ThisAgreement shallapply totraderelations between theRepublic ofSlovenia andtheRepublic
ofBulgaria.
2. ThisAgreement shallnotprevent themaintenance orestablishment ofcustoms unions, free
trade areas orarrangements forfrontier tradetotheextent thatthese donotnegatively affect thetrade
regime andinparticular theprovisions concerning rules oforigin provided forinthisAgreement.
Article 37
Annexes, Protocols andAmendments
1. Annexes andProtocols tothisAgreement areanintegral partofit.
2. TheJoint Committee maydecide toamend theAnnexes andProtocols. Inthiscasethe
amendments shallenterintoforce onthedateofareceipt ofthelatter diplomatic noteconfirming that
allinternal procedures, required bythenational legislation ofeachParty fortheentry intoforce of
these amendments, havebeen completed.WT/REG33/1
Page14
Article 38
Territorial Application
ThisAgreement shallapply totheterritories oftheParties totheAgreement.
Article 39
Amendments
Amendments tothisAgreement other thanthose referred toinparagraph 2ofArticle 37shall
enter intoforce onthedateofareceipt ofthelatter diplomatic noteconfirming thatallprocedures
required bythenational legislation ofeachParty forentry intoforce oftheamendments havebeen
completed.
Article 40
Entry intoForce
1. ThisAgreement shallenterintoforce onthefirstdayofthemonth following thedateonwhich
theParties havenotified eachother through diplomatic channels thattheirinternal legalrequirements
fortheentry intoforce ofthisAgreement havebeenfulfilled.
2. ThisAgreement shallbeapplied provisionally from 1January 1997.
Article 41
Validity andTermination
Each Party mayterminate thisAgreement byawritten notification totheother Party. The
termination shalltakeeffect onthefirstdayoftheseventh month following thedateonwhich the
notification wasreceived bytheother Party.
INWITNESS WHEREOF theundersigned plenipotentiaries, being dulyauthorized thereto, havesigned
thepresent Agreement.
Done at this dayof intwooriginals intheEnglish Language.
FortheRepublic ofSlovenia FortheRepublicofBulgaria