WORLD TRADE
ORGANIZATIONWT/REG131/1
30 April 2002
(02-2447)
Committee on Regional Trade Agreements Original:  English
FREE TRADE AGREEMENT BETWEEN SLOVENIA
AND BOSNIA AND HERZEGOVINA
The following text reproduces the Agreement between Slovenia and Bosnia and
Herzegovina.1
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FREE TRADE AGREEMENT BETWEEN
THE REPUBLIC OF SLOVENIA AND BOSNIA AND HERZEGOVINA
The Republic of Slovenia and Bosnia and Herzegovina (hereinafter "the Parties"),
Reaffirming  their firm commitment to pluralistic democracy based on the rule of law, human
rights and fundamental freedoms;
Recalling  their intention to participate actively in the process of economic integration in
Europe as an important dimension of the stability on the European continent and expressing their
preparedness to co-operate in seeking ways and means to strengthen this process;
Reaffirming their commitment to the principles of a market economy, which constitutes the
basis for their relations;
Considering  the importance of the links existing between the Parties, their desire to
strengthen those links and to further extend the relations established previously, in particular through
the Agreement on Economic Co-operation between the Republic of Slovenia and Bosnia and
Herzegovina signed on 7 November 1997, which entered into force on 22 November 1999;
Convinced  that this Agreement will create a new climate for economic relations between the
Parties and above all for the development of trade and investment;
Resolved  to eliminate progressively the obstacles to  substantially all their mutual trade, in
accordance with the provisions of the General Agreement on Tariffs and Trade 1994 (hereinafter
"GATT 1994") and the Agreement establishing the World Trade Organisation (hereinafter "WTO"),
Bosnia and Herzegovina having objective to become a member of the WTO;
Considering  that no provision of this Agreement may be interpreted as exempting the Parties
from their obligations under other international agreements;
                                                     
1 The Annexes and Protocols thereto have been submitted to the Secretariat for consultation by
interested Members (Office 1174).  They are also available at the following website address:
http://objave.uradni-list.si/bazeul/MP/2001/031/B/Priloge/RS_-2001-031-00090-MP~P001-0000.PDFWT/REG131/1
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Firmly convinced  that this Agreement will foster the intensification of mutually beneficial
trade relations between the Parties and contribute to the process of integration in Europe;
Have agreed as follows:
Article 1
Objectives
1. The Parties shall establish a free trade area on substantially all their bilateral trade in a transitional
period ending on 31 December 2004, in accordance with the provisions of this Agreement and in
conformity with Article XXIV of the GATT 1994 and the WTO.
2. The objectives of this Agreement are:
(a) to promote through the expansion of mutual trade the harmonious development of
economic relations between the Parties and thus to foster in the Parties the advance of
economic activity, the improvement of living and employment conditions, and
financial stability;
(b) to provide fair conditions of competition for trade between the Parties;(c) to contribute by the removal of barriers to trade, to the harmonious development and
expansion of world trade.
CHAPTER I
Product Coverage
Article 2
Scope
The provisions of this Chapter shall apply to products listed in Chapters 1 to 24 of the
Harmonized Commodity Description and Coding System (hereinafter referred to as "agricultural
products") and products listed in Chapters 25 to 97 of the Harmonized Commodity Description and
Coding System (hereinafter referred to as "industrial products) originating in the Parties.
Article 3
Basic duties
1. For each product the basic duty to which the successive reductions set out in this Agreement
are to be applied shall be the Most Favoured Nation rate of duty in force on 1 January 2002.
2. If, after 1 January 2002, any tariff reduction is applied on an erga omnes  basis, in particular
reductions resulting from the tariff negotiations in the WTO, such reduced duties shall replace the
basic duty referred to in paragraph 1 of this Article as from the date when such reductions are applied.
3. The reduced duties calculated in accordance with paragraph 2 of this Article shall be applied
rounded to the first decimal place.
4. The Parties shall communicate to each other their respective basic duties.WT/REG131/1
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Article 4
Customs duties on imports, charges having equivalent effect
and import duties of a fiscal nature
1. The Parties shall not introduce new customs duties on imports, charges having an effect
equivalent to customs duties on imports and import duties of a fiscal nature in trade between them.
2. Customs duties on imports applicable in the Republic of Slovenia to products originating in
Bosnia and Herzegovina shall be abolished on 1 January 2002.
3. Customs duties on imports, charges having equivalent effect and import duties of a fiscal
nature applicable in Bosnia and Herzegovina on 1 January 2002 to products originating in the
Republic of Slovenia shall be progressively reduced in accordance with the following timetable:
- on 1 January 2002 - to 70% of their value,
- on 1 January 2003 - to 50% of their value,- on 1 January 2004 - to 30% of their value,
- on 1 January 2005 - the remaining duties shall be abolished.
Article 5
Customs duties on exports, charges having equivalent effect
and export duties of a fiscal nature
1. The Parties shall not introduce new customs duties on exports, charges having equivalent
effect and export duties of a fiscal nature in trade between them.
2. The Parties shall abolish all customs duties on exports, charges having equivalent effect and
export duties of a fiscal nature on 1 January 2002.
Article 6
Quantitative restrictions and measures having equivalent effect
1. The Parties shall not introduce new quantitative restrictions on imports and exports or
measures having equivalent effect in trade between them.
2. All quantitative restrictions on imports and exports and measures having equivalent effect
shall be abolished on 1 January 2002.
Article 7
Elimination of technical barriers to trade
1. The rights and obligations of the Parties relating to technical regulations or standards and
related measures shall be governed by the WTO Agreement on Technical Barriers to Trade.
2. The Parties shall co-operate and exchange information in the field of conformity assessment,
standardisation, metrology and accreditation with the aim of reducing and/or eliminating technical
barriers to trade.WT/REG131/1
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3. Each Party, upon request of the other Party, shall provide information on particular individual
cases of technical norms, standards and related measures.
4. To eliminate technical barriers and effectively implement this Agreement, the Parties shall
conclude an agreement on mutual recognition of test reports, certificates of conformity and otherdocuments directly or indirectly related to conformity assessment of the products which are the
subject of trade between the Parties.
Article 8
Agricultural policy
1. Without prejudice to the concessions granted under Article 4 of this Agreement, the
provisions of this Chapter shall not restrict in any way the pursuance of the respective agricultural
policies of the Parties or the taking of any measures under such policies, including the implementation
of the results of the Uruguay Round agreements.
2. The Parties shall notify to the Joint Comm ittee changes in their respective agricultural
policies pursued or measures applied which may affect the conditions of trade in agricultural products
between them. On the request of a Party, prompt consultations shall be held to examine the situation.
Article 9
Specific safeguards
Notwithstanding other provisions of this Agreement, and in particular Article 22, given the
particular sensitivity of the agricultural market, if imports of products originating in one of the Parties,which are the subject of concessions granted under this Agreement cause serious disturbance to the
market or to its domestic regulatory mechanisms in the other Party, both Parties shall enter into
consultations immediately to find an appropriate solution. Pending such solution, the Party concerned
may take appropriate measures it deems necessary.
Article 10
Sanitary and phytosanitary measures
1. The Parties shall apply their regulations in veterinary, phytosanitary and sanitary matters, in
particular in the exchange of information on infectious animal diseases, quarantine diseases, plant
pests and weed, taking into account the WTO Agreement on the Application of Sanitary andPhytosanitary Measures.
2. The Parties shall apply their regulations in veterinary, phytosanitary and sanitary matters in a
non-discriminatory fashion and shall not introduce any new measures that have the effect of unduly
obstructing trade.
3. The measures related to the veterinary and sanitary control between the Parties shall be
adjusted to the relevant legislation of the European Union (hereinafter "EU").
4. The Parties shall exchange the information on sanitary and phytosanitary protection of
animals, plants and products.WT/REG131/1
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CHAPTER II
General provisions
Article 11
Rules of origin and co-operation in customs administration
1. The Parties agree to apply the harmonized European preferential rules of origin in the mutual
trade including all existing and further amendments thereto.
2. Protocol 1 to this Agreement (hereinafter "Protocol 1") lays down the rules of origin and
related methods of administrative co-operation.
3. The Parties shall take appropriate measures, including regular reviews by the Joint Committee
and arrangements for administrative co-operation, to ensure that the provisions of Protocol 1 and
Articles 3 to 8, 12, 22, 23 and 24 of this Agreement are effectively and harmoniously applied, and toreduce, as far as possible, the formalities imposed on trade, and to achieve mutually satisfactory
solutions to any difficulties arising from the operation of those provisions.
Article 12
Internal taxation
1. The Parties shall refrain from any measure or practice of an internal fiscal nature establishing,
whether directly or indirectly, discrimination between the products originating in the Parties.
2. Products exported to the territory of one of the Parties may not benefit from repayment of
internal taxation in excess of the amount of direct or indirect taxation imposed on them.
Article 13
General exceptions
This Agreement shall not preclude prohibitions or restrictions on imports, exports or goods in
transit justified on grounds of public morality, public policy or public security; the protection of
health and life of humans, animals or plants; the protection of national treasures of artistic, historic or
archaeological value; the protection of intellectual property; the rules relating to gold and silver, or the
protection of environment or the conservation of exha ustible natural resources, if such measures are
made effective in conjunction with restrictions on domestic production or consumption. Such
prohibitions or restrictions shall not, however, constitute a  means of arbitrary discrimination or a
disguised restriction on trade between the Parties.
Article 14
Security exceptions
Nothing in this Agreement shall prevent a Party from taking any appropriate measure which it
considers necessary:
(a) to prevent the disclosure of information contrary to its essential security interests;WT/REG131/1
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(b) for the protection of its essential security interests or for the implementation of
international obligations or national policies:
(i) relating to the traffic in arms, ammunition and implements of war, provided
that such measures do not impair the conditions of competition in respect of productsnot intended for specifically military purposes, and to such traffic in other goods,
materials and services as is carried on directly or indirectly for the purpose of
supplying a military establishment; or
(ii) relating to the non proliferation of biological and chemical weapons, nuclear
weapons or other nuclear explosive devices; or
(iii) taken in time of war or other serious international tension.
Article 15
State monopolies
1. The Parties shall adjust progressively any State monopoly of a commercial character so as to
ensure that by the end of the transitional period laid down in Article 1 of this Agreement, no
discrimination regarding the conditions under which goods are procured and marketed exists between
nationals of the Parties. The Parties shall inform each other about the measures adopted to implementthis objective.
2. The provisions of this Article shall apply to any body through which the competent
authorities of the Parties, in law or in fact, either directly or indirectly supervise, determine or
appreciably influence imports or exports between the Parties. These provisions shall likewise apply tomonopolies delegated by the State to other bodies.
Article 16
Payments
1. Payments in freely convertible currencies relating to trade in goods between the Parties and
the transfer of such payments to the territory of the Party where the creditor resides shall be free from
any restrictions.
2. The Parties shall refrain from any exchange or administrative restrictions on the grant,
repayment or acceptance of short and medium term credits to trade in goods in which a resident of aParty participates.
3. Notwithstanding the provisions of paragraph 2 of this Article, any measures concerning
current payments connected with the movement of goods shall be in conformity with the conditions
laid down under Article VIII of the Agreement of the International Monetary Fund and shall beapplied on a non-discriminatory basis.
Article 17
Rules of competition concerning undertakings
1. The following are incompatible with the proper functioning of this Agreement insofar as they
may affect trade between the Parties:WT/REG131/1
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(a) all agreements between undertakings, decisions by associations of undertakings and
concerted practices between undertakings which have as their object or effect the
prevention, restriction or distortion of competition;
(b) abuse by one or more undertakings of a dominant position in the territories of the
Parties as a whole or in a substantial part thereof.
2. The provisions of paragraph 1 of this Article shall apply to the activities of all undertakings
including public undertakings and undertakings to which the Parties grant special or exclusive rights.
Undertakings entrusted with the operation of services of general economic interest or having the
character of a revenue-producing monopoly, shall be subject to provisions of paragraph 1 of this
Article insofar as the application of these provisions does not obstruct the performance, in law or infact, of the particular public tasks assigned to them.
3. With regard to agricultural products the provisions of paragraph 1 a. of this Article shall not
apply to such agreements, decisions and practices which form an integral part of a national market
organisation.
4. If a Party considers that a given practice is incompatible with paragraphs 1, 2 and 3 of this
Article and if such practice causes or threatens to cause serious prejudice to the interest of that Party
or material injury to its domestic industry, it may take appropriate measures under the conditions and
in accordance with the procedure laid down in Article 26 of this Agreement.
Article 18
State aid
1. Any aid granted by a State being Party to this Agreement or through State resources in any
form whatsoever which distorts or threatens to distort competition by favouring certain undertakings
or the production of certain goods shall, insofar as it may affect trade between the Parties, be
incompatible with the proper functioning of this Agreement.
2. For agricultural products the provisions of paragraph 1 of this Article shall comply with the
relevant WTO Agreements.
3. The Joint Committee shall, within three years from the entry into force of this Agreement,
adopt the criteria on the basis of which the practices contrary to paragraph 1 of this Article shall be
assessed, as well as the rules for their implementation.
4. The Parties shall ensure transparency in the area of state aid, inter alia  by reporting annually
to the Joint Committee on the total amount and the distribution of the aid given and by providing to
the other Party, upon request, information on aid schemes and on particular individual cases of state
aid.
5. If a Party considers that a particular practice:
- is incompatible with the terms of paragraph 1 of this Article, and is not adequately
dealt with under the implementing rules referred to in paragraph 3 of this Article, or
- in the absence of rules, referred to in paragraph 3 of this Article, causes or threatens
to cause serious prejudice to the interest of that Party or material injury to its
domestic industry,WT/REG131/1
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it may take appropriate measures under the conditions of and in accordance with the provisions laid
down in Article 26 of this Agreement.
6. Such appropriate measures may only be taken in conformity with the procedures and under
the conditions laid down by the GATT 1994 and the WTO, and any other relevant instrumentsnegotiated under their auspices, which are applicable between the Parties concerned.
Article 19
Public procurement
1. The Parties consider the liberalization of their respective public procurement markets as an
objective of this Agreement.
2. The Parties shall progressively adjust their respective rules, conditions and practices with a
view to grant suppliers of the other Party access to contract award procedures on their respective
public procurement markets.
3. The Joint Committee shall examine developments related to the achievement of the objectives
of this Article and may recommend practical modalities of implementing the provisions of paragraph
2 of this Article so as to ensure free access, transparency and mutual opening of their respective
public procurement markets.
4. The Parties shall endeavour to accede to the relevant Agreements negotiated under the
auspices of the GATT 1994 and the WTO.
Article 20
Protection of intellectual property
1. The Parties shall in accordance with their national legislation grant and ensure protection of
intellectual property rights (industrial property rights and protection of copyright and related rights) to
the nationals, companies and institutions of the other Party as well as to their legal successors under
the same conditions applicable for the domestic nationals, companies and institutions.
2. In addition, the Parties agree to respect mutually in accordance with their national legislation
the intellectual property rights (industrial property rights and protection of copyright and related
rights) of their nationals, companies and institutions  in accordance with the standards of protection,
which shall not be lower than that arising from the Bern Convention, Rome Convention and ParisConvention.
Article 21
Dumping
If a Party finds that dumping within the mean ing of Article VI of the GATT 1994 is taking
place in trade relations governed by this Agreement, it may take appropriate measures against that
practice in accordance with the WTO Agreement on Implementation of Article VI of the GATT 1994
under the conditions and in accordance with the procedure laid down in Article 26 of this Agreement.WT/REG131/1
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Article 22
General safeguards
Where any product is being imported in such increased quantities and under such conditions
as to cause or threaten to cause:
(a) serious injury to domestic producers of like or directly competitive products in the
territory of the importing Party, or
(b) serious disturbances in any related sector of the economy or difficulties which could
bring about serious deterioration in the economic situation of a region,
the Party concerned may take appropriate measures under the conditions and in accordance with the
procedure laid down in Article 26 of this Agreement.
Article 23
Structural adjustment
1. Exceptional measures of limited duration which derogate from the provisions of Article 4 of
this Agreement, may be taken for industrial products by any of the Parties in the form of increasedcustoms duties.
2. These measures may only concern infant industries, or certain sectors undergoing
restructuring or facing serious difficulties, particularly where these difficulties produce important
social problems.
3. Customs duties on imports applicable in the Party concerned to products originating in the
other Party introduced in accordance with paragraphs 1 and 2 of this Article may not exceed 25 % ad
valorem and shall maintain an element of preferen ce in customs duties for products originating in the
other  Party. The total value of imports of the products which are subject to these measures may not
exceed 15 % of total imports of industrial products fr om the other Party as defined in Chapter I of this
Agreement, during the last year for which statistics are available.
4. These measures shall be applied for a period not exceeding the transitional period determined
in paragraph 1 of Article 1 of this Agreement.
5. The Party concerned shall inform the other Party of any exceptional measures it intends to
take and, at the request of the other Party, consul tations shall be held immediately within the Joint
Committee on such measures and the sectors to which they apply prior to their introduction. When
taking such measures the Party concerned shall provide the Joint Committee with a schedule for the
elimination   of the customs duties introduced under this Article. This schedule shall provide for a
phasing out of these duties starting at the latest two years after their introduction, at equal annualrates. The Joint Committee may decide on a different schedule.WT/REG131/1
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Article 24
Re-export and serious shortage
Where compliance with the provisions of Articles 5 and 6 of this Agreement leads to:(a) re-export towards a third country against which the exporting Party maintains for the
product concerned quantitative export restrictions, export duties or measures or
charges having equivalent effect; or
(b) a serious shortage, or threat thereof, of a product essential to the exporting Party;
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 take appropriate measures under the conditions and in accordance
with the procedures laid down in Article 26 of this Agreement.
Article 25
Fulfilment of obligations
1. The Parties shall take any measures required to fulfil their obligations under this Agreement.
They shall ensure that the objectives set out in this Agreement are attained.
2. If a Party considers that the other Party has failed to fulfil an obligation under this Agreement,
the Party concerned may take appropriate measures under the conditions and in accordance with the
procedure laid down in Article 26 of this Agreement.
Article 26
Procedure for the application of safeguard measures
1. Before initiating the procedure for the application of safeguard measures set out in the
following paragraphs, the Parties shall endeavour to solve any differences between them through
direct consultations.
2. In the event of a Party subjecting imports of products liable to give rise to the situation
referred to in Article 22 of this Agreement to an administrative procedure having as its purpose the
rapid provision of information on the trade flows, it shall inform the other Party.
3. Without prejudice to paragraph 7 of this Article, a Party which considers resorting to
safeguard measures shall promptly notify the other Party thereof and supply all relevant information.
Consultations between the Parties shall take pla ce without delay within the Joint Committee with a
view to finding a solution acceptable to the Parties.
4. (a) With regard to Articles 21, 22 and 24 of this Agreement, the Joint Committee shall
examine the case or the situation and may take any decision needed to put an end to
the difficulties notified by the Party concerned. In the case of the absence of such
decision within thirty days of the matter being referred to the Joint Committee, the
Party concerned may adopt the measures necessary in order to remedy the situation.
(b) As regards Article 25 of this Agreement, the Party concerned may take appropriate
measures after the consultations have been concluded or a period of three months has
elapsed from the date of the notification to the other Party.WT/REG131/1
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(c) With regard to Articles 17 and 18 of this Agreement, the Party concerned shall give
the Joint Committee all the assistance required in order to examine the case and,
where appropriate, eliminate the practice objected to. If the Party in question fails to
put an end to the practice objected to within the period fixed by the Joint Committee,or if the Joint Committee fails to reach an agreement within thirty working days of the
matter being referred to it, the Party concerned may adopt the appropriate measures to
deal with the difficulties resulting from the practice in question.
5. The safeguard measures taken shall be immediately notified to the other Party. They shall be
limited with regard to their extent and to their duratio n to what is strictly necessary in order to rectify
the situation giving rise to their application and shall not be in excess of the injury caused by the
practice or the difficulty in question. Priority shall be given to such measures which will least disturb
the functioning of this Agreement.
6. The safeguard measures taken shall be the subject of periodic consultations within the Joint
Committee with a view to their relaxation as soon as  possible, or abolition when conditions no longer
justify their maintenance.
7. Where exceptional circumstances requiring immediate action make prior examination
impossible, the Party concerned may, in the cases of Articles 21, 22 and 24 of this Agreement, apply
forthwith the provisional measures strictly necessary to remedy the situation. The measures takenshall be notified without delay and consultations between the Parties shall take place as soon as
possible within the Joint Committee.
Article 27
Balance of payments difficulties
1. The Parties shall endeavour to avoid the imposition of restrictive measures including
measures relating to imports for balance of payments difficulties.
2. Where one of the Parties is in serious balance of payments difficulties, or under imminent
threat thereof, the Party concerned may, in accordance with the conditions established under theGATT 1994 and the WTO, adopt restrictive measures, including measures related to imports, which
shall be of limited duration and may not go beyond what is necessary to remedy the balance of
payments situation. The measures shall be progressively relaxed as balance of payments conditions
improve and they shall be eliminated when conditio ns no longer justify their maintenance. The Party
concerned shall inform the other Party forthwith of their introduction and, whenever practicable, of atime schedule for their removal.
Article 28
Evolutionary clause
1. Where a Party considers that it would be useful in the interests of the economies of the Parties
to develop and deepen the relations established by this Agreement by extending them to fields not
covered thereby, it shall submit a reasoned reques t to the other Party. The Joint Committee may
examine such request and, where appropriate, may make recommendations, particularly with a viewto opening negotiations.
2. Agreements resulting from the procedure referred to in paragraph 1 of this Article will be
subject to ratification by the Parties in accordance with their internal legislation.WT/REG131/1
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Article 29
Joint Committee
1. A Joint Committee is hereby established and shall be composed of the representatives of the
Parties.
2. The implementation of this Agreement shall be supervised and administered by the Joint
Committee.
3. For the purpose of the proper implementation of this Agreement, the Parties shall exchange
information and, at the request of a Party, shall hold consultations within the Joint Committee. The
Joint Committee shall keep under review the possibility of further removal of the obstacles to trade
between the Parties.
4. The Joint Committee may take decisions in th e cases provided for in this Agreement. On
other matters the Joint Committee may make recommendations.
Article 30
Procedures of the Joint Committee
1. For the proper implementation of this Agreement the Joint Committee shall meet whenever
necessary but at least once a year. Each Party may request that a meeting be held.
2. The Joint Committee shall act by consensus.3. If the representative of a Party in the Joint Committee has accepted, under reservation, a
decision subject to the fulfilment of internal lega l requirements, the decision shall enter into force, if
no later date is contained therein, on the date of the receipt of a written notification as to the fulfilment
of such requirements.
4. For the purpose of this Agreement the Joint Committee shall adopt its rules of procedure
which shall inter alia  contain provisions for conveying meeting and for the designation of the Chair
person and his/her term of office.
5. The Joint Committee may decide to set up such subcommittees and working groups as it
considers necessary to assist it in accomplishing its tasks.
Article 31
Services and investments
1. The Parties recognise the growing importance of certain areas, such as  services and
investments. In their efforts to gradually develop and broaden their co-operation, in particular in the
context of the European integration, they will co-operate with the aim of achieving a progressive
liberalisation and mutual opening of markets for investments and trade in services, taking into account
relevant provisions of the General Agreement on Trade in Services.
2. The Parties shall examine within the Joint Comm ittee the possibilities to extend their relations
to the fields of foreign direct investment and trade in services by separate agreements.WT/REG131/1
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Article 32
Customs unions, free trade areas and frontier trade
This Agreement shall not prevent the maintenance or establishment of customs unions, free
trade areas or arrangements for frontier trade to the extent that these do not negatively affect the trade
regime of the Parties and in particular the provisions concerning rules of origin provided for by this
Agreement.
Article 33
Annexes, protocols and amendments
1. Record of understanding and Protocol 1 to this Agreement are an integral part of it. The Joint
Committee may decide to amend them in accordance with the provisions of paragraph 3 of Article 30
of this Agreement.
2. Amendments to this Agreement other than those decided upon in accordance with paragraph
4 of Article 29 of this Agreement, and which are approved by the Joint Committee, shall be submitted
to the other Party for acceptance and shall enter into force if accepted by both Parties.
Article 34
Entry into force
This Agreement shall enter into force on the first day of the month following the date when
the Parties have notified each other through diplomatic channels that their respective internalrequirements for the entry into force of this Agreement have been fulfilled.
Article 35
Provisional application
This Agreement shall be applied provisionally from 1 January 2002.
Article 36
Validity and denouncement
1. This Agreement is concluded for an indefinite period of time.2. Each Party may denounce it through diplomatic channels by a written notification to the other
Party. In such case the Agreement shall be terminated on the first day of the seventh month after the
date on which the other Party received the notification.
3. The Parties agreed, that in case of accession of one of the Parties to the EU, the Agreement
will be terminated without any compensations for the other Party, on the day before the date of the
accession to the EU, and in accordance with the procedure laid down in paragraph 2 of this Article.WT/REG131/1
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IN WITNESS WHEREOF the undersigned plenipotentiaries, being duly authorized thereto,
have signed this Agreement.
Done at Zenica this 3 day of October 2001 in two originals in English language.
For the Republic of Slovenia For Bosnia and Herzegovina
Tea Petrin, (s) Azra Hadžiahmetovi ć, (s)WT/REG131/1
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Record Of Understanding
1. Customs duties referred to in paragraph 2 of Article 4 of this Agreement concerning
agricultural products include ad valorem  and specific customs duties.
2. The Parties agreed that inclusion of charges having equivalent effect into customs duties
referred to paragraph 3 of Article 4 of this Agreement shall not be regarded as an increase of customs
duties.
3. The Parties agreed to conclude separate agreements on co-operation in the field of veterinary
and phytosanitary matters within reasonable period of time.
4. In case of the termination of the Agreement by one of the Parties on the grounds of the
accession to the EU referred to paragraph 3 of Article 36 of this Agreement the termination shall take
effect one day before the date of the accession of the respective Party to the EU. The Parties
understand that the Agreement shall be denounced at least six months before the date of the accession
of the respective Party to the EU. The other Party shall renounce any compensation vis-à-vis  the
enlarged EU or vis-à-vis  the Party withdrawing from the Agreement.
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