WORLD TRADE WT/REG32/1
12November 1997
ORGANIZATION(97-4939)
Original: English Committee onRegional Trade Agreements
INTERIM AGREEMENT BETWEEN THE EUROPEAN COMMUNITY
AND THE REPUBLIC OFSLOVENIA
Thefollowing textreproduces theInterim Agreement1between theEuropean Community and
theRepublic ofSlovenia.
________________
Interim Agreement onTrade andTrade-Related Matters between
theEuropean Community, theEuropean CoalandSteel Community
andtheEuropean Atomic Energy Community, oftheonepart,
andtheRepublic ofSlovenia oftheother part
TheEuropean Community, theEuropean CoalandSteelCommunity andtheEuropean Atomic
Energy Community, hereinafter referred toas"theCommunity",
oftheonepart,
andtheRepublic ofSlovenia, hereinafter referred toas"Slovenia",
oftheother part,
Whereas theEurope Agreement establishing anassociation between theEuropean Communities
andtheirMember States andSlovenia wassigned inLuxembourg on10June1996.
Whereas oneaimoftheEurope Agreement istoprovide anappropriate framework forpolitical
dialogue; whereas itistogovern commercial andeconomic relations between theParties andincludes
provisions relating tofinancial cooperation, assistance andpromotion ofcooperation inprevention of
illegal activities andcultural matters;
Whereas theEurope Agreement isintended toestablish close andlasting relations, based on
reciprocity, which should allow Slovenia totakepartintheprocess ofEuropean integration;
Whereas itisnecessary toensure thedevelopment oftradelinksbystrengthening andwidening
therelations established previously, notably bytheCooperation Agreement between theEuropean
Economic Community andtheRepublic ofSlovenia signed on5April 1993, which entered intoforce
on1September 1993;
1TheAnnexes andProtocols thereto have been submitted totheSecretariat forconsultation byinterested
Members (Office 3006).WT/REG32/1
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Whereas tothisenditisnecessary toimplement asspeedily aspossible, bymeans ofanInterim
Agreement, provisions oftheEurope Agreement ontrade andtrade related matters;
Whereas itisnecessary toensure thatpending theentry intoforce oftheEurope Agreement
andtheestablishment oftheAssociation Council, theCooperation Council setupbytheCooperation
Agreement canexercise thepowers assigned bytheEurope Agreement totheAssociation Council which
arenecessary inorder toimplement theInterim Agreement,
Have decided toconclude thisAgreement andtothisendhave designated astheir
plenipotentiaries,
TheEuropean Community:
TheEuropean CoalandSteel Community;
TheEuropean Atomic Energy Community;
TheRepublic ofSlovenia;
Who, having exchanged theirfullpowers, formed ingood anddueform,
Have agreed asfollows:
TITLE 1
General Principles
Article 1(Europe Agreement (EA) 2)
RespectforthedemocraticprinciplesandhumanrightsasproclaimedintheUniversalDeclaration
ofHuman rights andasdefined intheHelsinki Final ActandtheCharter ofParis foranewEurope,
aswellastheprinciples ofmarket economy asreflected intheDocument oftheCSCE Bonn Conference
onEconomic Cooperation, shallform thebasis ofthedomestic andexternal policies oftheParties
andconstitute essential elements ofthisAgreement.
TITLE II
FreeMovement ofGoods
Article 2(EA8)
1. TheCommunity andSlovenia shallgradually establish afree-trade areainatransitional period
lasting amaximum ofsixyears starting fromtheentry intoforce ofthisAgreement inaccordance with
theprovisions ofthisAgreement andinconformity withthose oftheGATT 1994 andtheWTO.
2. TheCombined Nomenclature ofgoods shallbeapplied totheclassification ofgoods intrade
between thetwoParties.
3. Foreachproduct thebasic dutytowhich thesuccessive reductions setoutinthisAgreement
aretobeapplied shallbethedutyactually applied ergaomnes on9June1996.WT/REG32/1
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4. If,afterentry intoforce ofthisAgreement, anytariff reduction isapplied onanergaomnes
basis, inparticular reductions resulting fromthetariff agreement concluded asaresult oftheGATT
Uruguay Round, suchreduced duties shallreplace thebasic dutyreferred toinparagraph 3asfrom
thedatewhen suchreductions areapplied.
5. TheCommunity andSlovenia shallcommunicate toeachother theirrespective basic duties.
CHAPTER I
Industrial Products
Article 3(EA9)
1. Theprovisions ofthisChapter shallapply toproducts originating intheCommunity orSlovenia
listed inChapters 25to97oftheCombined Nomenclature, withtheexception oftheproducts listed
inAnnex I.
2. Theprovisions ofArticles 4and8shallnotapply totextile products ortoproducts covered
bytheTreaty establishing theEuropean CoalandSteelCommunity, asspecified inArticles 10and11.
3. Trade between theParties inproducts covered bytheTreaty establishing theEuropean Atomic
Energy Community shallbeconducted inaccordance withtheprovisions ofthatTreaty.
Article 4(EA10)
1. Customs duties onimports intotheCommunity ofproducts originating inSlovenia other than
those listed inAnnex IIshallbeabolished upon theentry intoforce ofthisAgreement.
2. CustomsdutiesonimportsintotheCommunityofproductsofSlovenianoriginlistedinAnnexII
shallbesuspended within thelimits ofannual Community tariff ceilings increasing progressively in
accordance withtheconditions specified inthatAnnex withaviewtocomplete abolition ofcustoms
duties onimports oftheproducts concerned onthe1January 2000.
3. Quantitative restrictions onimports intotheCommunity andmeasures having equivalent effect
onimports intotheCommunity shallbeabolished onthedateofentry intoforce ofthisAgreement
withregard toproducts originating inSlovenia.
Article 5(EA11)
1. Customs duties onimports intoSlovenia ofgoods originating intheCommunity other than
those listed inAnnexes IIIandIVshallbeabolished upon theentry intoforce ofthisAgreement.
2. Customs duties onimports intoSlovenia ofproducts originating intheCommunity which are
listed inAnnex IIIshallbeprogressively reduced inaccordance withthefollowing timetable:
- onthe1January 1997 eachdutyshallbereduced to55percentofthebasic duty
- onthe1January 1998 eachdutyshallbereduced to30percentofthebasic duty
- onthe1January 1999 eachdutyshallbereduced to15percentofthebasic duty
- onthe1January 2000 theremaining duties shallbeabolished.WT/REG32/1
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3. Customs duties onimports intoSlovenia ofproducts originating intheCommunity which are
listed inAnnex IVshallbeprogressively reduced inaccordance withthefollowing timetable:
- onthe1January 1997 eachdutyshallbereduced to70percentofthebasic duty
- onthe1January 1998 eachdutyshallbereduced to45percentofthebasic duty
- onthe1January 1999 eachdutyshallbereduced to35percentofthebasic duty
- onthe1January 2000 eachdutyshallbereduced to20percentofthebasic duty
- onthe1January 2001 theremaining duties shallbeabolished.
4. Allquantitative restrictions onimports intoSlovenia ofgoods originating intheCommunity
andmeasures having equivalent effect shallbeabolished upontheentry intoforce ofthisAgreement.
Article 6(EA12)
Theprovisions concerning theabolition ofcustoms duties onimports shallalsoapply tocustoms
duties ofafiscal nature.
Article 7(EA13)
TheCommunity andSlovenia shallabolish upon theentry intoforce ofthisAgreement, in
trade between themselves, anycharges having aneffect equivalent tocustoms duties onimports.
Article 8(EA14)
1. TheCommunity shallabolish anycustoms duties onexports andcharges having equivalent
effect upon theentry intoforce ofthisAgreement.
Slovenia shallabolish customs duties onexports andcharges having equivalent effect upon
entry intoforce ofthisAgreement except fortheproducts listed inAnnex XIIwhere theabolition will
takeplace inaccordance withthetimetable setoutinthatAnnex.
2. TheCommunity andSlovenia shallabolish between themselves anyquantitative restrictions
onexports andmeasures having equivalent effect upon theentry intoforce ofthisAgreement.
Article 9(EA15)
Slovenia declares itsreadiness toreduce itscustoms duties intradewiththeCommunity more
rapidly thanisprovided forinArticle 5ifitsgeneral economic situation andthesituation oftheeconomic
sector concerned sopermit.
TheCommunity declares itsreadiness insimilar circumstances toincrease further ortoabolish
more speedily thetariff ceilings referred toinArticle 4(2).
TheCooperation Council shallmake recommendations tothiseffect.
Article 10(EA16)
Protocol 1laysdown thearrangements applicable tothetextile products referred totherein.WT/REG32/1
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Article 11(EA17)
Protocol 2laysdown thearrangements applicable toproducts covered bytheTreaty establishing
theEuropean CoalandSteel Community.
Article 12(EA18)
1. Theprovisions ofthisChapter shall notpreclude theretention bytheCommunity ofan
agricultural component intheduties applicable toproducts listed inAnnex Vinrespect ofproducts
originating inSlovenia.
2. Theprovisions ofthisChapter shallnotpreclude theintroduction ofanagricultural component
bySlovenia intheduties applicable totheproducts listed inAnnex Vinrespect ofproducts originating
intheCommunity.
CHAPTER II
Agriculture
Article 13(EA19)
1. Theprovisions ofthisChapter shallapply toagricultural products originating intheCommunity
andSlovenia.
2. Theterm"agricultural products" means theproducts listed inChapters 1to24oftheCombined
Nomenclature andtheproducts listed inAnnex I,butexcluding fishery products asdefined by
Regulation (EEC) No.3759/92.
Article 14(EA20)
1. Protocol 3laysdown thetrade arrangements forprocessed agricultural products which are
listed intheProtocol.
2. Aseparate Agreement willbenegotiated forwineandspirits.
Article 15(EA21)
1. TheCommunity shallabolish onthedateofentry intoforce ofthisAgreement thequantitative
restrictions, andmeasures having equivalent effect, onimports ofagricultural products originating
inSlovenia.
2. From thedateofentry intoforce ofthisAgreement theCommunity shallapply toimports
intoitsmarket ofagricultural products originating inSlovenia theconcessions listed inAnnex VI.
3. Sloveniashallabolishquantitativerestrictions,andmeasureshavingequivalenteffect,onimports
ofagricultural products originating intheCommunity onthedateofentry intoforceofthisAgreement.
4. FromthedateofentryintoforceofthisAgreement,SloveniashallapplytoimportsintoSlovenia
ofproducts originating intheCommunity theconcessions listed inAnnex VII.WT/REG32/1
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5. Taking account ofthevolume oftrade inagricultural products between them, ofitsparticular
sensitivity, oftherules ofthecommon agricultural policy oftheCommunity, oftherules ofthe
agricultural policy ofSlovenia, andoftheconsequences ofthemultilateral trade negotiations under
theGATT 1994 andWTO, theCommunity andSlovenia shallexamine intheCooperation Council,
product-by-product andonanorderly andreciprocal basis, theopportunities forgranting eachother
further concessions.
Article 16(EA22)
Notwithstanding other provisions ofthisAgreement, andinparticular Article 25,if,given
theparticular sensitivity oftheagricultural markets, imports ofproducts originating inoneofthetwo
Parties, which arethesubject ofconcessions granted pursuant toArticle 15,cause serious disturbance
tothemarkets intheother Party, bothParties shallenter intoconsultations immediately tofindan
appropriate solution. Pending suchsolution, theParty concerned maytakethemeasures itdeems
necessary.
CHAPTER III
Fisheries
Article 17(EA23)
Theprovisions ofthisChapter shallapply tofishery products originating intheCommunity
andSlovenia which arecovered byRegulation (EEC) No.3759/92 onthecommon Organization of
themarket infishery andaquaculture products.
Article 18(EA24)
1. Thefishery products originating inSlovenia listed inAnnex VIIIa shallbesubject from the
dateofentry intoforce ofthisAgreement tothereduced customs duties provided forinthatAnnex.
Theprovisions ofArticles 15and16shallapply mutatis mutandis tofishery products.
2. Thefishery products originating intheCommunity listed inAnnex VIIIb shallbesubject from
thedateofentry intoforce ofthisAgreement tothereduced customs duties provided forinthatAnnex.
Theprovisions ofArticles 15and16shallapply mutatis mutandis tofishery products.
CHAPTER IV
Common Provisions
Article 19(EA25)
Theprovisions ofthisChapter shallapply totradeinallproducts between thetwoParties except
where otherwise provided herein orinProtocols 1,2and3.WT/REG32/1
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Article 20(EA26)
Standstill
1. Nonewcustoms duties onimports orexports orcharges having equivalent effect shallbe
introduced, norshallthose already applied beincreased, intradebetween theCommunity andSlovenia
from thedateofentry intoforce ofthisAgreement.
2. Nonewquantitative restriction onimports orexports ormeasure having equivalent effect shall
beintroduced, norshallthose existing bemade more restrictive, intradebetween theCommunity and
Slovenia from thedateofentry intoforce ofthisAgreement.
3. Without prejudice totheconcessions granted under Article 15,theprovisions ofparagraphs 1
and2ofthisArticle shallnotrestrict inanywaythepursuit oftherespective agricultural policies of
Slovenia andtheCommunity orthetaking ofanymeasures under those policies asfarastheimport
regime intheAnnexes VIandVIIisnotaffected.
Article 21(EA27)
Prohibition ofFiscal Discrimination
1. TheParties shallrefrain fromanymeasure orpractice ofaninternal fiscal nature establishing,
whether directly orindirectly, discrimination between theproducts ofoneParty andlikeproducts
originating intheterritory oftheother Party.
2. Products exported totheterritory ofoneofthetwoParties, maynotbenefit fromrepayment
ofinternal indirect taxation inexcess oftheamount ofindirect taxation imposed onthem.
Article 22(EA28)
Customs Unions, Free-Trade Areas, Cross-Border Arrangements
1. ThisAgreementshallnotprecludethemaintenanceorestablishmentofcustomsunions,free-trade
areas orarrangements forfrontier trade except insofar astheyalterthetrade arrangements provided
forinthisAgreement. ThisAgreement shallinparticular notaffect theimplementation ofthespecific
arrangements governing themovement ofgoods laiddown infrontier agreements previously concluded
between oneormore Member States andtheSocialist Federal Republic ofYugoslavia andsucceeded
tobytheRepublic ofSlovenia.
2. Consultations between theParties shalltakeplace within theCooperation Council concerning
agreements establishing suchcustoms unions orfree-trade areas and,where requested, onother major
issues related totheirrespective trade policies towards thirdcountries. Inparticular intheevent of
athird country acceding totheCommunity, suchconsultations shalltakeplace soastoensure that
account istaken ofthemutual interests oftheCommunity andSlovenia stated inthisAgreement.
Article 23(EA29)
Exceptional Tariff Measures
Exceptional measures orlimited duration which derogate fromtheprovisions ofArticle 5and
Article 20(1) maybetaken bySlovenia intheform ofincreased customs duties.WT/REG32/1
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These measures mayonlyconcern infant industries, orcertain sectors undergoing restructuring
orfacing serious difficulties, particularly where these difficulties produce major social problems.
Customs duties introduced bythesemeasures onimports intoSlovenia ofproducts originating
intheCommunity maynotexceed 25percentadvalorem andmustmaintain anelement ofpreference
forproducts originating intheCommunity. Thetotalvalue ofimports oftheproducts which aresubject
tothesemeasures maynotexceed 15percentoftotalimports fromtheCommunity ofindustrial products
asdefined inChapter I,during thelastyearforwhich statistics areavailable.
Themeasures shallbeapplied foraperiod notexceeding fiveyears unless alonger duration
isauthorized bytheCooperation Council. They shallcease toapply atthelatest ontheexpiry ofthe
transitional period.
Nosuchmeasures maybeintroduced inrespect ofaproduct ifmore thanthree years have
elapsed since theelimination ofallduties andquantitative restrictions orcharges ormeasures having
equivalent effect concerning thatproduct.
Slovenia shallinform theCooperation Council ofanyexceptional measures itintends toadopt
and,attherequest oftheCommunity, consultations shallbeheldintheCooperation Council onsuch
measures andthesectors towhich theyapply before theyareputintoeffect. When adopting such
measures, Slovenia shallprovide theCooperation Council withaschedule fortheelimination ofthe
customs duties introduced under thisArticle. Thisschedule shallprovide foraphasing-out ofthese
duties atequal annual ratesstarting atthelatest twoyears aftertheirintroduction. TheCooperation
Council maydecide onadifferent schedule.
Article 24(EA30)
Dumping
IfoneoftheParties finds thatdumping istaking place intrade withtheother Party within
themeaning ofArticle VIoftheGATT 1994, itmaytakeappropriate measures against thispractice
inaccordance withtheAgreement onImplementation ofArticle VIoftheGATT 1994, itsownrelated
internal legislation andtheconditions andprocedures laiddown inArticle 28.
Article 25(EA31)
General Safeguard Clause
Where anyproduct isbeing imported insuchincreased quantities andunder suchconditions
astocause orthreaten tocause:
serious injury todomestic producers oflikeordirectly competing products inthe
territory ofoneofthecontracting Parties; or
serious disturbances inanysector oftheeconomy ordifficulties which could bring
about serious deterioration intheeconomic situation ofaregion,
theCommunityorSlovenia,whicheverisconcerned,maytakeappropriatemeasuresundertheconditions
andinaccordance withtheprocedures laiddown inArticle 28.WT/REG32/1
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Article 26(EA32)
Shortage Clause
Where compliance withArticles 8and20leads to:
re-export toathird country ofaproduct inrespect ofwhich theexporting Party
maintains quantitative export restrictions, export duties ormeasures orcharges having
equivalent effect, or
aserious shortage, orthreat thereof, ofaproduct essential totheexporting Party,
andwhere thesituation described above giverise,orarelikely togiverise,tomajor difficulties for
theexporting Party, thatParty maytakeappropriate measures under theconditions andinaccordance
withtheprocedures laiddown inArticle 28.Themeasures shallbenon-discriminatory andshallbe
abolished when conditions nolonger justify theirmaintenance.
Article 27(EA33)
State Monopolies
TheMemberStatesandSloveniashallprogressivelyadjustanyStatemonopoliesofacommercial
character soastoensure that,bytheendofthefourth yearfollowing theentry intoforce ofthis
Agreement, nodiscrimination regarding theconditions under which goods areprocured andmarketed
exists between nationals oftheMember States andofSlovenia. TheCooperation Council willbe
informed about themeasures adopted toattain thisobjective.
Article 28(EA34)
Procedures
1. Intheevent oftheCommunity orSlovenia subjecting imports ofproducts liable togiverise
tothedifficulties referred toinArticle 25toanadministrative procedure having asitspurpose the
rapid provision ofinformation onthetrend oftrade flows, itshallinform theother Party.
2. Inthecases specified inArticles 24,25and26,before taking themeasures provided fortherein
or,incases towhich paragraph 3(d)applies, assoonaspossible, theCommunity orSlovenia, asthe
casemaybe,shallsupply theCooperation Council withallrelevant information, withaviewtoseeking
asolution acceptable tothetwoParties.
Intheselection ofmeasures, priority mustbegiven tothose which leastdisturb thefunctioning
ofthisAgreement.
Thesafeguard measures shallbenotified immediately totheCooperation Council andshall
bethesubject ofperiodic consultations within thatbody, notably withaviewtoestablishing atimetable
fortheirabolition assoonascircumstances permit.
3. Fortheimplementation ofparagraph 2,thefollowing provisions shallapply:
(a) Asregards Article 25,thedifficulties arising fromthesituation referred tointhatArticle
shallbereferred forexamination totheCooperation Council, which maytakeany
decision needed toputanendtosuchdifficulties.WT/REG32/1
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IftheCooperation Council ortheexporting Party hasnottaken adecision putting an
endtothedifficulties ornoother satisfactory solution hasbeenreached within thirty
daysofthematter being referred, theimporting Party mayadopt theappropriate
measures toremedy theproblem. These measures mustnotexceed thescope ofwhat
isnecessary toremedy thedifficulties which havearisen.
(b) Asregards Article 24,theCooperation Council shallbeinformed oftheinstance of
dumping assoonastheauthorities oftheimporting Party haveinitiated aninvestigation.
Where noendhasbeenputtothedumping within themeaning ofArticle VIofthe
GATT 1994 ornoother satisfactory solution hasbeenreached within thirty daysof
thematter being referred totheCooperation Council, theimporting Party mayadopt
theappropriate measures.
(c) Asregards Article 26,thedifficulties arising from thesituations referred tointhat
Article shallbereferred forexamination totheCooperation Council.
TheCooperation Council maytakeanydecision needed toputanendtothedifficulties.
Ifithasnottaken suchadecision within thirty daysofthematter being referred to
it,theexporting Party mayapply appropriate measures totheexport oftheproduct
concerned.
(d) Where exceptional circumstances requiring immediate action make prior information
orexamination, asthecasemaybe,impossible, theCommunity orSlovenia whichever
isconcerned may,inthesituations specified inArticles 24,25and26,apply forthwith
thesafeguard measures strictly necessary todealwiththesituation andinform the
Cooperation Council immediately.
Article 29(EA35)
Protocol 4laysdown rules oforigin fortheapplication oftariff preferences provided forin
thisAgreement.
Article 30(EA36)
Restrictions Authorized
ThisAgreement shallnotpreclude prohibitions orrestrictions onimports, exports orgoods
intransit justified ongrounds ofpublic morality, public policy orpublic security; theprotection of
health andlifeofhumans, animals orplants; theprotection ofexhaustible natural resources; the
protectionofnationaltreasuresofartistic,historicorarchaeologicalvalueortheprotectionofintellectual,
industrial andcommercial property, orrulesrelating togoldandsilver. Suchprohibitions orrestrictions
shallnot,however, constitute ameans ofarbitrary discrimination oradisguised restriction ontrade
between theParties.
Article 31(EA37)
Theapplication ofthisAgreement shall bewithout prejudice toCouncil Regulation
(EEC) No.1911/91 of26June1991 ontheapplication oftheprovisions ofCommunity lawtothe
Canary Islands.WT/REG32/1
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TITLE III
Payments, Competition andOther Economic Provisions
Article 32(EA62)
TheParties undertake toauthorize, infreely convertible currency, anypayments onthebalance
ofpayments current account totheextent thatthetransactions underlying thepayments concern
movements ofgoods, services orpersons between theParties which havebeenliberalized pursuant
tothisAgreement.
Article 33(EA65)
1. Thefollowing areincompatible withtheproper functioning ofthisAgreement, insofar asthey
mayaffect trade between theCommunity andSlovenia:
(i) allagreements between undertakings, decisions byassociations ofundertakings and
concerted practices between undertakings which have astheir object oreffect the
prevention, restriction ordistortion ofcompetition;
(ii) abuse byoneormore undertakings ofadominant position intheterritories ofthe
Community orofSlovenia asawhole orinasubstantial partthereof;
(iii) anypublic aidwhich distorts orthreatens todistort competition byfavouring certain
undertakings orcertain products.
2. Anypractices contrary tothisArticle shallbeassessed onthebasis ofcriteria arising from
theapplication oftherulesofArticles 85,86and92oftheTreaty establishing theEuropean Community.
3. TheCooperation Council shall, within three years oftheentry intoforce ofthisAgreement,
adopt thenecessary rulesfortheimplementation ofparagraphs 1and2.Until theimplementing rules
areadopted, practices incompatible withparagraph 1shallbedealtwithbytheParties ontheirrespective
territories according totheirrespective legislation. Thisshallbewithout prejudice toparagraph 6.
4. (a) Forthepurposes ofapplying theprovisions ofparagraph 1(iii), theParties recognize
thatduring thefirstfouryears aftertheentry intoforce ofthisAgreement, anypublic
aidgranted bySlovenia shallbeassessed taking intoaccount thefactthatSlovenia shall
beregarded asanareaidentical tothose areas oftheCommunity described in
Article 92(3)(a) oftheTreaty establishing theEuropean Community. TheCooperation
Council shall, taking intoaccount theeconomic situation ofSlovenia, decide whether
thatperiod should beextended byfurther periods offouryears.
(b) EachParty shallensure transparency intheareaofpublic aid,interalia,byreporting
annually totheother Party onthetotalamount andthedistribution oftheaidgiven
andbyproviding, upon request, information onaidschemes. Upon request byone
Party, theother Party shallprovide information onparticular individual cases ofpublic
aid.WT/REG32/1
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5. With regard toproducts referred toinChapters IIandIIIofTitleII:
- paragraph 1(iii) shallnotapply;
- anypractices contrary toparagraph 1(i)must beassessed according tothecriteria
established bytheCommunity onthebasis ofArticles 42and43oftheTreaty
establishing theEuropean Community andinparticular ofthose established inCouncil
Regulation No.26/1962.
6. IftheCommunity orSlovenia considers thataparticular practice isincompatible withtheterms
ofparagraph 1,and:
- isnotadequately dealtwithunder theimplementing rulesreferred toinparagraph 3;
or
- intheabsence ofsuchrules, andifsuchpractice causes orthreatens tocause serious
injury totheinterests oftheother Party ormaterial injury toitsdomestic industry,
including itsservices industry,
itmaytakeappropriatemeasuresafterconsultationwithintheCooperationCouncilorafterthirtyworking
daysfollowing referral forsuchconsultation.
Inthecaseofpractices incompatible withparagraph 1(iii), suchappropriate measures may,
where theWTO Agreement applies thereto, onlybeadopted inaccordance withtheprocedures and
under theconditions laiddown bythereby andanyotherrelevant instrument negotiated under itsauspices
which areapplicable between theParties.
7. Notwithstanding anyprovisions tothecontrary adopted inaccordance withparagraph 3,the
Parties shallexchange information taking intoaccount thelimitations imposed bytherequirements
ofprofessional andbusiness confidentiality.
8. ThisArticle shallnotapply totheproducts covered bytheTreaty establishing theEuropean
CoalandSteel Community which arethesubject ofProtocol 2.
Article 34(EA66)
1. TheParties shallendeavour wherever possible toavoid theimposition ofrestrictive measures,
including measures relating toimports forbalance ofpayments purposes. AParty adopting such
measures shallpresent assoonaspossible totheother Party atimetable fortheirremoval.
2. Where oneormore Member States oftheCommunity orSlovenia isinserious balance of
payments difficulties, orunder imminent threat thereof, theCommunity orSlovenia, asthecasemay
be,may, inaccordance withtheconditions established under theWTO Agreement, adopt restrictive
measures, including measures relating toimports, which shallbeoflimited duration andmaynotgo
beyond whatisstrictly necessary toremedy thebalance ofpayments situation. TheCommunity or
Slovenia, asthecasemaybe,shallinform theother Party forthwith.
3. Anyrestrictive measures shallnotapply totransfers related toinvestment andinparticular
totherepatriation ofamounts invested orreinvested oranykindofrevenues stemming therefrom.WT/REG32/1
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Article 35(EA67)
Withregard topublic undertakings, andundertakings towhich special orexclusive rights have
beengranted, theCooperation Council shallensure thatasfrom thethirdyearfollowing thedateof
entry intoforce ofthisAgreement, theprinciples oftheTreaty establishing theEuropean Community,
inparticular Article 90thereof, andtheprinciples oftheconcluding document oftheApril 1990Bonn
meeting oftheConference onSecurity andCooperation inEurope, inparticular entrepreneurs 'freedom
ofdecision, areupheld.
Article 36(EA68)
1. Pursuant totheprovisions ofthisArticle andAnnex X,theParties confirm theimportance
thattheyattach toensure adequate andeffective protection andenforcement ofintellectual, industrial
andcommercial property rights.
2. Bytheendofthethirdyearaftertheentry intoforce ofthisagreement, andinanycasefrom
theentry intoforce oftheEurope Agreement, Slovenia shall protect intellectual, industrial and
commercial property rights atalevel ofprotection similar tothatprovided intheCommunity by
Community acts,inparticular theonesreferred toinAnnex X,including effective means ofenforcing
suchrights.
Article 37(EA94,2)
Mutual assistance between administrative authorities incustoms matters oftheParties shall
takeplace inaccordance withtheprovisions ofProtocol 5.
TITLE IV
Institutional, General andFinal Provisions
Article 38
TheCooperation Council setupbytheCooperation Agreement signed between theEuropean
Economic Community andSlovenia on5April 1993 shallperform theduties assigned toitbythis
Agreement.
Article 39(EA112)
TheCooperation Council shall, forthepurpose ofattaining theobjectives ofthisAgreement,
havethepower totakedecisions inthecases provided fortherein. Thedecisions taken shallbebinding
ontheParties, which shall takethemeasures necessary toimplement thedecisions taken. The
Cooperation Council mayalsomake appropriate recommendations.
Itshalldraw upitsdecisions andrecommendations byagreement between thetwoParties.
1. TheCooperation Council shallbeassisted intheperformance ofitsduties byaJointCommittee
composed ofrepresentatives oftheCommunity, ontheonehand, andofrepresentatives ofthe
Government ofSlovenia, ontheother, normally atsenior civilservant level.
Theduties oftheJointCommittee shallinclude thepreparation ofmeetings oftheCooperation
Council.WT/REG32/1
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2. TheCooperation Council maydelegate totheJointCommittee anyofitspowers. Inthisevent
theJointCommittee shalltakeitsdecisions inaccordance withtheconditions laiddown inparagraph
1ofthisArticle.
3. TheJointCommittee shall, asnecessary, adopt itsownrulesofprocedure. TheJointCommittee
shallmeetforthefirsttimewithin 3months aftertheentry intoforce oftheAgreement, thereafter
theCommittee willmeet onceayear. Special meetings maybeconvened bymutual agreement, at
therequest ofeither Party. TheJointCommittee shallbechaired alternatively byeachoftheParties.
Wherever possible, theagenda formeetings oftheJoint Committee shallbeagreed beforehand.
Article 40(EA113)
1. Each ofthetwoParties mayrefer totheCooperation Council anydispute relating tothe
application orinterpretation ofthisAgreement.
2. TheCooperation Council maysettle thedispute bymeans ofadecision.
3. EachParty shallbebound totakethemeasures involved incarrying outthedecision referred
toinparagraph 2.
4. Intheevent ofitnotbeing possible tosettle thedispute inaccordance withparagraph 2,either
Party maynotify theother oftheappointment ofanarbitrator; theother Party mustthenappoint a
second arbitrator within twomonths. Fortheapplication ofthisprocedure, theCommunity andthe
Member States shallbedeemed tobeoneparty tothedispute.
TheCooperation Council shallappoint athirdarbitrator.
Thearbitrators 'decisions shallbetaken bymajority vote.
EachPartytothedisputemusttakethestepsrequiredtoimplementthedecisionofthearbitrators.
Article 41(EA119)
Within thescope ofthisAgreement, eachParty undertakes toensure thatnatural andlegal
persons oftheother Party haveaccess freeofdiscrimination inrelation toitsownnationals tothe
competent courts andadministrative organs oftheParties todefend theirindividual rights andtheir
property rights, including those concerning intellectual, industrial andcommercial property.
Article 42(EA120)
Nothing inthisAgreement shallprevent aParty from taking anymeasures:
(a) which itconsiders necessary toprevent thedisclosure ofinformation contrary toits
essential security interests;
(b) which relate totheproduction of,ortrade in,arms, munitions orwarmaterials or
toresearch, development orproduction indispensable fordefence purposes, provided
thatsuchmeasures donotimpair theconditions ofcompetition inrespect ofproducts
notintended forspecifically military purposes;
(c) which itconsiders essential toitsownsecurity intheevent ofserious internal
disturbances affecting themaintenance oflawandorder, intimeofwarorseriousWT/REG32/1
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international tension constituting threat ofwarorinorder tocarry outobligations it
hasaccepted forthepurpose ofmaintaining peace andinternational security.
Article 43(EA121)
1. InthefieldscoveredbythisAgreementandwithoutprejudicetoanyspecialprovisionscontained
therein:
- thearrangements applied bySlovenia inrespect oftheCommunity shallnotgiverise
toanydiscrimination between theMember States, theirnationals, ortheircompanies
orfirms;
- thearrangements applied bytheCommunity inrespect ofSlovenia shallnotgiverise
toanydiscrimination between Slovenian nationals oritscompanies orfirms.
2. Theprovisions ofparagraph 1shallbewithout prejudice totherightoftheParties toapply
therelevant provisions oftheirfiscal legislation totaxpayers whoarenotinidentical situations asregards
theirplace ofresidence.
Article 44(EA122)
Products originating inSlovenia shallnotreceive more favourable treatment when imported
intotheCommunity thanthatapplied byMember States among themselves.
Article 45(EA123)
1. TheParties shalltakeanygeneral orspecific measures required tofulfiltheirobligations under
thisAgreement. They shallseetoitthattheobjectives setoutinthisAgreement areattained.
2. Ifeither Party considers thattheother Party hasfailed tofulfil anobligation under this
Agreement, itmaytakeappropriate measures. Before sodoing, except incases ofspecial urgency,
itshallsupply theCooperation Council withallrelevant information required forathorough examination
ofthesituation withaviewtoseeking asolution acceptable totheParties.
Intheselection ofmeasures, priority mustbegiven tothose which leastdisturb thefunctioning
ofthisAgreement. These measures shallbenotified immediately totheCooperation Council andshall
bethesubject ofconsultations within theCooperation Council iftheother Party sorequests.
Article 46(EA126)
Protocols 1,2,3,4,5and6andAnnexes ItoVIIIb, XetXIIshallform anintegral partof
thisAgreement.
Article 47(EA127)
ThisAgreement shallbeapplicable untiltheentry intoforce oftheEurope Agreement signed
inLuxembourg on10June1996.
Either Party maydenounce thisAgreement bynotifying theother Party. ThisAgreement shall
cease toapply sixmonths afterthedateofsuchnotification.WT/REG32/1
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Article 48(EA129)
ThisAgreement shallapply, ontheonehand, totheterritories inwhich theTreaties establishing
theEuropean Community, theEuropean Atomic Energy Community, andtheEuropean CoalandSteel
Community areapplied andunder theconditions laiddown inthose Treaties, andtotheterritory of
Slovenia ontheother.
Article 49(EA130)
ThisAgreement isdrawn upinduplicate intheDanish, Dutch, English, Finnish, French,
German, Greek, Italian, Portuguese, Spanish, Swedish andSlovenian languages, eachofthese texts
being equally authentic.
Article 50(EA131)
ThisAgreement shallbeapproved bytheParties inaccordance withtheirownprocedures.
ThisAgreement shallenter intoforce onthefirstdayofthesecond month following thedate
onwhich theParties notify eachother thattheprocedures referred tohavebeencompleted.
Upon itsentryintoforce, Articles 14to34oftheCooperation Agreement between theEuropean
Economic Community andtheRepublic ofSlovenia signed inLuxembourg on5April 1993 shallbe
suspended.
Article 51(EA132)
1. Intheevent thatthisAgreement enters intoforce onorafter1January 1997, forthepurposes
ofTitleIIIandProtocols 1to6ofthisAgreement, theterm"date ofentry intoforce ofthisAgreement"
shallmean:
- thedateofentry intoforce oftheInterim Agreement inrelation toobligations taking
effect onthatdate, and
- 1January oftheyearofentry intoforce inrelation toobligations taking effect after
thedateofentry intoforce byreference tothedateofentry intoforce.
2. Inthecaseofentry intoforce after1January inanyyear, theprovisions ofProtocol 6shall
apply.