WORLD TRADE G/TMB/N/251
18July1997
ORGANIZATION(97-2981)
Original: English Textiles Monitoring Body
AGREEMENT ONTEXTILES AND CLOTHING
Notification under Article 2.17
EUROPEAN COMMUNITY
Administrative Arrangements withHong Kong
TheTextiles Monitoring Body hasreceived anotification from theEuropean Commission
pursuant toparagraph 17ofArticle 2.TheTMB iscirculating thisnotification toWTO Members
fortheirinformation.G/TMB/N/251
Page2
European Commission
Directorate General 1
Brussels, 26September 1996
Dear Ambassador,
Iwould liketosubmit totheTextiles Monitoring Body theAdministrative Arrangements which
have been agreed between theEuropean Community andthePeople 'sRepublic ofBangladesh,1
Hong Kong,2India, theRepublic ofIndonesia, theRepublic ofKorea, Macau, theFederation of
Malaysia, Pakistan, Peru, theRepublic ofSingapore, SriLanka andtheKingdom ofThailand under
Article 2.17oftheAgreement onTextiles andClothing.
Ithasbeenagreed between theCommission andtheauthorities ofthecountries concerned that
these provisions should benotified jointly. Theoriginal textsofthese jointnotifications areattached.
Please accept, Ambassador, theassurance ofmyhighest consideration.
(signed) Enrico Grillo Pasquarelli
Ambassador Szepesi
Chairman
Textiles Monitoring Body
World Trade Organization
Centre William Rappard
RuedeLausanne 154
CH-1211 Genève 21
1Thisnotification waswithdrawn attherequest oftheEuropean Commission.
2Thisdocument contains theAdministrative Arrangements concluded withHong Kong. Administrative
Arrangements concluded withtheother Members listed above willbecirculated asseparate documents.G/TMB/N/251
Page3
European Commission
Directorate General 1
Brussels, 9July1996
Dear Ambassador,
Theundersigned representatives oftheEuropean Community andHong Kong would liketo
notify totheTextiles Monitoring Body oftheAdministrative Arrangements which havebeenagreed
between theEuropean Community andHong Kong under Article 2.17oftheAgreement onTextiles
andClothing (ATC) -thetextofwhich isattached.
Please accept, Ambassador, theassurance ofourhighest consideration.
Representative ofHong Kong Representative ofthe
totheEuropean Communities European Community
(signed) Mary Chow (signed) Enrico Grillo Pasquarelli
Ambassador Szepesi
Chairman
Textiles Monitoring Body
World Trade Organization
RuedeLausanne 154
CH-1211 Genève 21G/TMB/N/251
Page4
Article 1Classification System
Theclassification oftheproducts covered bythese administrative arrangements isbased on
thetariffandstatistical nomenclature oftheEuropean Community (theCommunity) (hereinafter called
the"Combined Nomenclature", orinabbreviated form "CN") andanyamendments thereof.
Article 2Determination ofOrigin ofCovered Products
Theorigin oftheproducts covered bythese administrative arrangements shallbedetermined
inaccordance withtherulesinforce intheCommunity andtheprocedures forcontrol oftheproducts
setoutinProtocol A.
Ifanyamendment ismade totherules oforigin, theCommunity shall, withtheagreement
ofHong Kong, takeappropriate measures toavoid anypossible consequent reduction ofHong Kong's
ability tousethequantitative limits established under Article 2oftheATC.
TheCommunity undertakes thatanyamendment made totherules oforigin shallcontinue
tobebased oncriteria notrequiring, inorder toconfer originating status, more extensive operations
thanthose constituting asingle complete process.
Article 3Double-checking
Hong Kong agrees torestrain itsexports totheCommunity oftheproducts described inthe
notification oftheCommunity totheTextiles Monitoring Body (TMB) under Article 2,paragraph 1,
oftheAgreement onTextiles andClothing (ATC) tothelimits setouttherein asincreased bythegrowth
ratesprovided under Article 2oftheATCandasmaybemodified bytheflexibility provisions notified
totheTMB under Article 2,paragraph 1,oftheATC, untilsuchtimeasthese products areintegrated
intoGATT 1994 under paragraphs 6,8,or9ofArticle 2oftheATC. Exports ofrestrained textile
products shallbesubject toadouble-checking system specified inProtocol A.
Article 4Re-imports afterOPT
Hong Kong andtheCommunity recognize thespecial anddifferential character ofre-imports
oftextileproductsintotheCommunityafterprocessinginHongKong.Suchre-importsmaybeprovided
foroutside thequantitative limits established under Article 2oftheATCprovided thattheyareeffected
inaccordance withtheregulations oneconomic outward processing inforce intheCommunity.
Article 5Imports toECforRe-export afterProcessing
1. Exports totheCommunity oftextile products covered bythese administrative arrangements
shallnotbesubject toquantitative limits established under Article 2oftheATC, provided thatthey
aredeclared tobeforre-export outside theCommunity inthesame stateorafterprocessing, within
theframework oftheadministrative system ofcontrol which exists within theCommunity. However,
therelease forhome usewithin theCommunity ofproducts imported under theconditions referred
toabove shallbesubject totheproduction ofanexport licence issued bytheHong Kong authorities
andtoproof oforigin, inaccordance withtheprovisions ofProtocol A.
2. Where thecompetent authorities intheCommunity haveevidence thatproducts exported from
Hong Kong andsetoffbyHong Kong against aquantitative limitestablished under Article 2ofthe
ATChavebeensubsequently re-exported outside theCommunity, theauthorities concerned shallnotify
Hong Kong ofthequantities involved. Upon receipt ofsuchnotification, Hong Kong mayauthorizeG/TMB/N/251
Page5
exports forthecurrent orthefollowing yearofidentical quantities ofproducts, within thesamecategory,
which shallnotbesetoffagainst thequantitative limits established under Article 2oftheATC.
Article 6Statistical Verification ofCarryover
Hong Kong shallprovide theCommunity withexport datashowing theamounts ofcarryover
available inanygiven year. Ifsubstantial statistical differences existbetween theexport datafrom
which theamount tobecarried overiscalculated andtheCommunity 'sdatatheCommunity may,
within thefirst120daysofthefollowing year, request consultations inaccordance withtheprocedures
referred toinArticle 12,paragraph 1ofthese administrative arrangements ontheamounts involved.
Anysuchrequest shallbeaccompanied byfullparticulars ofthealleged statistical differences. Where
sucharequest ismade, theportions carried overshallnotbeuseduntiltheparties havecompleted
consultations. Ifnosuchrequest ismade within a120-day period, theportion carried overshallbe
presumed tohavebeencalculated correctly.
Article 7Exchange ofStatistical Information
1. Hong Kong undertakes tosupply theCommunity withprecise statistical information onall
export licences issued bytheHong Kong authorities forallcategories oftextile products subject to
thequantitative limits established under Article 2oftheATC. Hong Kong shallsetoutinitsperiodical
statistical reports themaximum export levels foreachcategory subject toaquantitative limitestablished
under Article 2oftheATC andtherateofutilization ofthese levels.
2. TheCommunity shall likewise transmit totheHong Kong authorities precise statistical
information onimport documents issued bytheCommunity authorities inrespect ofexport licences
issued byHong Kong. Thisinformation shall, forallcategories ofproducts, betransmitted before
theendofthesecond month following thequarter towhich thestatistics relate.
3. Theinformation referred toinparagraph 1shall, forallcategories ofproducts, beforwarded
before theendofthemonth following themonth towhich thestatistics relate.
4. TheCommunityshalltransmittotheHongKongauthoritiesimportstatisticsforproductscovered
byArticle 5,paragraph 1ofthese administrative arrangements.
5. Theinformation referred toinparagraph 4shall, forallcategories ofproducts, betransmitted
before theendofthethirdmonth following thequarter towhich thestatistics relate.
6. Should itbefound onanalysis oftheinformation exchanged above thatthere aresignificant
discrepancies between thereturns forexports andthose forimports, consultations maybeinitiated
inaccordance withtheprocedure specified inArticle 12ofthese administrative arrangements. Any
suchconsultations shallberesolved onthebasis oftheagreed descriptions oftheproducts setoutin
thenotification under Article 2,paragraph 1,oftheATC.
Article 8Amendments toClassification
1. Theauthorities ofHong Kong shall beinformed ofanyamendment totheCombined
Nomenclature oranydecision, made inaccordance withtheprocedures inforce intheCommunity,
relating totheclassification ofproducts covered bythese administrative arrangements. Anysuch
amendment oranydecision which results inamodification oftheclassification ofproducts covered
bythese administrative arrangements shallnothavetheeffect ofreducing Hong Kong'sability touse
thequantitative limits established under Article 2oftheATC. Theprocedures fortheapplication of
thisparagraph aresetoutinProtocol A.G/TMB/N/251
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2. Incaseofdivergent opinions between Hong Kong andthecompetent Community authorities
atthepoint ofentry intotheCommunity ontheclassification ofproducts subject toquantitative limits
established under Article 2oftheATC, consultations inaccordance withArticle 12paragraph 1of
these administrative arrangements shallbeheldwithaviewtoreaching agreement ontheappropriate
classification oftheproducts concerned andtoresolving anydifficulties arising therefrom. Forthis
purpose, theauthorities ofHong Kong shallbeinformed bythecompetent authorities oftheCommunity
assoonasacaseofdivergent opinions ontheclassification ofproducts arises. Pending agreement
ontheappropriate classification andinorder toavoid disruption totrade, theproducts inquestion shall
beimported onthebasisoftheclassification indicated bythecompetent Community authorities atthe
point ofentry, inconformity withtheprovisions ofthese administrative arrangements.
Article 9Circumvention
1. Hong Kong andtheCommunity agree tocooperate fullyinpreventing thecircumvention of
these administrative arrangements bytransshipment, re-routing orwhatever other means.
2. TheCommunity andHong Kong notethewellestablished andclose cooperation which exists
between thetwoparties inpreventing anddealing withproblems relating tothecontravention through
circumvention oftheprovisions ofprevious Agreements between theCommunity andHong Kong,
and,inparticular, themutually satisfactory solutions which havebeenreached onequivalent debiting
ofthecorresponding quantitative limits.
3. Thetwoparties reaffirm theirwillingness tostrengthen thiscooperation inallitsaspects having
regard totheadministrative andtechnical procedures inforce intheCommunity andHong Kong for
theimplementation ofthese administrative arrangements.
4. Hong Kong confirms thatitsexport control system permits theprompt debiting ofcircumvented
amounts totheappropriate quantitative limits established under Article 2oftheATC andprevious
Agreements.
5. Where information available totheCommunity asaresult oftheinvestigation carried outin
accordance withtheprocedures setoutinProtocol Aconstitutes evidence thatproducts ofHong Kong
origin subject toquantitative limits established under Article 2oftheATC havebeentransshipped,
re-routed orotherwise imported intotheCommunity incircumvention ofthese administrative
arrangements,theCommunitymayrequesttheopeningofconsultationsinaccordancewiththeprocedures
described inArticle 12,paragraph 1ofthese administrative arrangements, withaview toreaching
agreement onanequivalent adjustment ofthecorresponding quantitative limits.
6. Should theParties beunable inthecourse oftheconsultations toreach asatisfactory solution
within theperiod specified inArticle 12,paragraph 1ofthese administrative arrangements, the
Community shallhavetheright, where clearevidence ofcircumvention hasbeenprovided, todeduct
from thequantitative limits amounts equivalent totheproducts ofHong Kong origin.
7. Deduction oftherelevant quantitative limits shall, asageneral rule,beimplemented inthe
following manner:
- wheretheevidenceprovidedclearlyestablishesthattheprovisionsoftheseadministrative
arrangements have been circumvented, Hong Kong shall, attherequest ofthe
Community, debitthecircumvented amounts totheappropriate quantitative limits for
theyearinwhich thecircumvention tookplace orforsubsequent years, thetiming
andapportioning ofsuchdebiting being decided inconsultation withtheCommunity,
toensure that,where appropriate, suchdebiting maybesatisfactorily implemented.G/TMB/N/251
Page7
8. Should theconsultation period provided forinArticle 12,paragraph 1ofthese administrative
arrangements beinsufficient tocomplete theexamination oftheevidence adduced theParties mayagree
toextend thatperiod.
Article 10Regional Concentration
1. Thequantitative limits established under Article 2oftheATConimports intotheCommunity
oftextile products ofHong Kong origin willnotbebroken down bytheCommunity intoregional shares.
2. Notwithstandingtheabove,forimperativetechnicaloradministrativereasonsortofindasolution
toeconomic problems resulting from regional concentration ofimports, orinorder tocombat
circumvention andfraud oftheprovisions ofthese administrative arrangements, theCommunity will
establish foralimited period oftimeaspecific management system inconformity withtheprinciples
oftheInternal Market. Should theCommunity haverecourse tothisprovision, thetextile products
covered bythecorresponding export licences canonlybeputintofreecirculation intheregion(s) of
theCommunity indicated inthose licences. Similarly, theproducts covered bytheimport licences
canonlybeputintofreecirculation intheregion(s) oftheCommunity indicated inthose licences.
Thisprovision wasinvoked bytheCommunity asfrom 1January 1993.
3. Theparties shallcooperate inorder toprevent sudden andprejudicial changes intraditional
trade flows resulting inregional concentration ofdirect imports intotheCommunity.
4. Hong Kong shallmonitor itsexports ofproducts under restraint intotheCommunity. Should
asudden andprejudicial change intraditional tradeflows arise, theCommunity willbeentitled torequest
consultations inorder tofindasatisfactory solution tothose problems. Such consultations must be
heldwithin fifteen working daysoftheirbeing requested bytheCommunity, andinaccordance with
Article 12,paragraph 1ofthese administrative arrangements. Hong Kong, from thedateofrequest
forandpendingtheconsultations,willnotissueexportlicencesthatwouldfurtheraggravatetheproblem.
5. However, iftheParties areunable toreach asatisfactory solution during theconsultations,
Hong Kong will,ifsorequested bytheCommunity, respect temporary export limits foroneormore
regions oftheCommunity. Insuchacase, these limits shallnotpreclude theimportation intothe
region(s) concerned ofproducts which wereshipped fromHong Kong onthebasis ofexport licences
obtained before thedateofformal notification toHong Kong bytheCommunity about theintroduction
oftheabove limits. TheCommunity shallinform Hong Kong ofthetechnical andadministrative
measures thatneedtobeintroduced bybothParties sothatimplementation isinconformity with
principles oftheInternal Market.
6. Hong Kong shallendeavour toensure thatexports oftextile products subject toquantitative
limits established under Article 2oftheATC intotheCommunity arespaced outasevenly aspossible
overtheyeardueaccount being taken inparticular ofseasonal factors.
7. Hong Kong shall endeavour nottodeprive certain regions oftheCommunity which have
traditionally hadrelatively small shares ofCommunity quotas ofimports ofproducts serving asinputs
fortheirprocessing industry. TheCommunity andHong Kong shallholdconsultations, should the
needarise, inorder toavert anyproblems which might occur inthisrespect.
Article 11Non-discrimination inAllocation ofExport andImport Licenses
Hong Kong andtheCommunity undertake torefrain fromdiscrimination intheallocation of
export licences andimport documents respectively.G/TMB/N/251
Page8
Article 12Consultations
1. Save where itisotherwise provided forinthese administrative arrangements, thespecial
consultation procedures referred tointhese administrative arrangements shall begoverned bythe
following rules:
- anyrequest forconsultations shallbenotified inwriting totheother Party, together
withastatement setting outthereasons andcircumstances which, intheopinion of
therequesting Party, justify thesubmission ofsucharequest;
- theParties shallenter intoconsultations within 15daysatthelatest ofnotification of
therequest, withaviewtoreaching agreement oramutually acceptable conclusion
within afurther 15daysatthelatest.
2. Ifnecessary, attherequest ofeither oftheParties consultations shallbeheldonanyproblems
arising fromtheapplication ofthese administrative arrangements. Anyconsultations heldunder this
Article shallbeapproached bybothParties inaspirit ofcooperation andwithadesire toreconcile
thedifferences between them.G/TMB/N/251
Page9
PROTOCOL A
TITLE 1
CLASSIFICATION
Article 1
1. Thecompetent authorities oftheCommunity undertake toinform Hong Kong ofanychanges
intheCombined Nomenclature (CN) before thedateoftheirentry intoeffect intheCommunity.
2. Thecompetent authorities oftheCommunity undertake toinform Hong Kong ofanydecisions
relating totheclassification ofproducts subject totheseadministrative arrangements within onemonth
oftheiradoption atthelatest. Such communication shallinclude:
(a) adescription oftheproducts concerned;
(b) therelevant category andtherelated tariff andstatistical references;
(c) thereasons which haveledtothedecision.
3. Where adecision onclassification results inachange ofclassification practice orachange
ofcategory ofanyproduct subject tothese administrative arrangements, thecompetent authorities of
theCommunity shallprovide 30days'notice, fromthedateoftheCommunity 'scommunication, before
thedecision isputintoeffect. Products shipped before thedateofapplication ofthedecision shall
remain subject totheearlier classification practice, provided thatthegoods inquestion arepresented
forimportation intotheCommunity within 60daysofthatdate.
4. Where aCommunity decision onclassification resulting inachange ofclassification practice
orachange ofcategorization ofanyproduct subject tothese administrative arrangements affects a
category subject torestraint, theCommunity undertakes toenter intoconsultations without delay in
accordance with theprocedures described inparagraph 1ofArticle 12ofthese administrative
arrangements withaview toagreeing necessary adjustments totheappropriate quantitative limits
established under Article 2oftheATC andmitigating anydisruptive effects which might arisefrom
suchaCommunity decision.
TITLE II
ORIGIN
Article 2
1. Products originating inHong Kong forexport totheCommunity inaccordance withthe
arrangements established bythese administrative arrangements shallbeaccompanied byacertificate
ofHong Kong origin conforming tothemodel annexed tothisProtocol.
2. Thecertificate ofHong Kong origin shallbeissued bythecompetent governmental authorities
ofHong Kong iftheproducts inquestion canbeconsidered products originating inthatcountry within
themeaning oftherelevant rules inforce intheCommunity.G/TMB/N/251
Page10
3. Certificates ofHong Kong origin shallcontain afullanddetailed description ofthegoods.
Inparticular, certificates ofHong Kong origin shallindicate:
- inrespect ofclothing, shipments where thearticles inquestion areincomplete or
unfinished;
- inrespectoffabrics,includingknittedorcrochetedfabric,shipmentswheretheproducts
inquestion aredyed, printed orimpregnated orcoated;
- andinrespect ofproducts ofcategory 39,shipments where thearticles inquestion
areembroidered.
4. Thecertificate ofHong Kong origin referred toinparagraph 1shallnotberequired forimport
ofgoodscoveredbyacertificateoforiginFormAcompletedinaccordancewiththerelevantCommunity
rules inorder toqualify forgeneralized tariff preferences.
Article 3
Thediscovery ofslight discrepancies between thestatements made inthecertificate oforigin
andthose made inthedocuments produced tothecustoms office forthepurpose ofcarrying outthe
formalities forimporting theproduct shallnotipsofactocastdoubt uponthestatements inthecertificate.
TITLE III
DOUBLE-CHECKING SYSTEM
FOR CATEGORIES OFPRODUCTS
WITH QUANTITATIVE LIMITS
Section I
Exportation
Article 4
Thecompetent authorities ofHong Kong shall issue anexport licence inrespect ofall
consignmentsfromHongKongoftextileproductssubjecttoquantitativelimitsestablishedunderArticle2
oftheATC, uptotherelevant quantitative limits asincreased bythegrowth ratesprovided under
Article 2oftheATC andasmaybemodified bytheflexibility provisions notified totheTMB under
Article 2,paragraph 1,oftheATC, untilsuchtimeasthese products areintegrated intoGATT 1994
under paragraphs 6,8or9ofArticle 2oftheATC.
Article 5
1. Theexport licence shallconform tothemodel annexed tothisProtocol anditshallbevalid
forexports throughout thecustoms territory towhich theTreaty establishing theEuropean Community
isapplied.
2. Each export licence shallonlycover oneofthecategories ofproducts.G/TMB/N/251
Page11
Article 6
Thecompetent Community authorities mustbenotified forthwith ofthewithdrawal oralteration
ofanyexport licence already issued.
Article 7
1. Exports shallbesetoffagainst thequantitative limits established under Article 2oftheATC
fortheyearinwhich shipment ofthegoods hasbeeneffected, eveniftheexport licence isissued after
suchshipment.
2. Forthepurpose ofapplying paragraph 1,shipment ofthegoods isconsidered tohavetaken
place onthedateoftheirloading ontotheexporting aircraft, vehicle orvessel.
Article 8
Thepresentation ofanexport licence, inapplication ofArticle 10below, shallbeeffected not
laterthan31March oftheyearfollowing thatinwhich thegoods covered bytheexport licence have
beenshipped.
Section II
Importation
Article 9
Importation intotheCommunity oftextile products subject toquantitative limits established
under Article 2oftheATCshallbesubject tothepresentation ofanimport authorization ordocument.
Article 10
1. Thecompetent Community authorities shall issue suchimport authorization ordocument
automatically within fiveworking daysofthepresentation bytheimporter oftheoriginal ofthe
corresponding export licence. Theimport authorizations shallbevalid forsixmonths fromthedate
oftheirissueforimports throughout thecustoms territory towhich theTreaty establishing theEuropean
Community isapplied.
2. Thecompetent Community authorities shallcancel thealready issued import authorization or
document ifthecorresponding export licence hasbeen withdrawn. However, ifthecompetent
Community authorities havenotbeennotified ofthewithdrawal orcancellation oftheexport licence
untilaftertheproducts havebeenimported intotheCommunity, thequantities involved shallbeset
offagainst thequantitative limitestablished under Article 2oftheATC forthecategory andthequota
yearinquestion andHong Kong shallbeinformed assoonaspossible.
Article 11
1. Ifthecompetent Community authorities findthatthetotalquantities covered byexport licences
issued byHong Kong foraparticular category inanygiven yearexceed thequantitative limitestablished
under Article 2oftheATCforthatcategory asincreased bythegrowth ratesprovided under Article 2
oftheATC andasmaybemodified bytheflexibility provisions notified totheTMB under Article 2,
paragraph 1,oftheATC, untilsuchtimeasthese products areintegrated intoGATT 1994 under
paragraphs 6,8or9ofArticle 2oftheATC, thesaidauthorities maysuspend thefurther issue ofG/TMB/N/251
Page12
import authorizations ordocuments. Inthisevent, thecompetent Community authorities shall
immediately inform theauthorities ofHong Kong andthespecial consultation procedure setoutin
Article 12paragraph 1ofthese administrative arrangements shallinitiated forthwith.
2. Exports ofrestrained textile products ofHong Kong origin notcovered byHong Kong export
licences issued inaccordance withtheprovisions ofthisProtocol mayberefused theissue ofimport
authorizations ordocuments bythecompetent Community authorities. However, iftheimport ofsuch
productsisallowedintotheCommunitybythecompetentCommunityauthorities,thequantitiesinvolved
shallnotbesetoffagainst theappropriate quantitative limits established under Article 2oftheATC,
without theexpress agreement ofHong Kong.
TITLE IV
FORM AND PRODUCTION OFEXPORT CERTIFICATES
AND CERTIFICATES OFORIGIN, AND COMMON PROVISIONS
Article 12
1. Theexport licence andthecertificate oforigin ofHong Kong maycomprise additional copies
dulyindicated assuch. They shallbemade outinEnglish orFrench. Iftheyarecompleted byhand,
entries mustbeininkandinprinted script. These documents shallmeasure 210x297mm. Thepaper
usedmustbewriting paper weighing notlessthan25g/m2.Onlytheoriginal, clearly marked "original"
shallbeaccepted bythecompetent authorities oftheCommunity asbeing valid forthepurposes of
export totheCommunity inaccordance withthearrangements established bythese administrative
arrangements.
2. Each export licence andcertificate ofHong Kong origin shallbearaserial number, whether
ornotprinted, bywhich itcanbeidentified. Thenumber fortheexport licence shallbestandardized
andcomposed ofthefollowing elements:
- twoletters identifying Hong Kong asfollows: HK
- twoletters identifying theintended Member State ofcustoms clearance asfollows:
AT = Austria
BL = Benelux
DE = Federal Republic ofGermany
DK = Denmark
EL = Greece
ES = Spain
FI = Finland
FR = France
GB = United Kingdom
IE = Ireland
IT = Italy
PT = Portugal
SE = Sweden
- aone-digit number identifying quota year, corresponding tothelastfigure inyear,
e.g.7for1987
- twospaces identifying theparticular issuing office concerned inHong KongG/TMB/N/251
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- afive-digit number running consequently from00001 to99999 allocated totheintended
Member State ofcustoms clearance.
Article 13
Theexport licence andcertificate oforigin maybeissued aftertheshipment oftheproducts
towhich theyrelate. Insuchcases theyshallbeareither theendorsement "délivré aposteriori" or
theendorsement "issued retrospectively".
Article 14
1. Intheevent oftheft, lossordestruction ofanexport licence oracertificate oforigin, theexporter
mayapply tothecompetent governmental authority which issued thedocument foraduplicate tobe
made outonthebasisoftheexport documents inhispossession. Theduplicate ofanysuchcertificate
orlicence soissued shallbeartheendorsement "duplicata".
2. Theduplicate must bearthedateoftheoriginal export licence orcertificate oforigin.
TITLE V
ADMINISTRATIVE COOPERATION
Article 15
TheCommunity andHong Kong shallcooperate closely toimplement theprovisions ofthese
administrative arrangements. Tothisend,contacts andexchanges ofviews (including ontechnical
matters) shallbefacilitated bybothparties, inparticular toestablish theauthenticity andaccuracy of
documentation required under theprovisions ofthese administrative arrangements.
Article 16
Hong Kong shallsendtotheCommission oftheEuropean Community thenames andaddresses
ofthegovernmental authorities competent fortheissueandverification ofexport licences andcertificates
oforigin together withspecimens ofthestamps usedbytheseauthorities. Hong Kong shallalsonotify
theCommission ofanychange inthisinformation.
Article 17
1. Verification ofcertificates ofHong Kong origin orexport licences shallbecarried outatrandom
bytheHong Kong authorities.
2. Thecompetent Community authorities mayrequest subsequent verification ofcertificates of
Hong Kong origin orexport licences atrandom orwhenever theyhavereasonable doubt astothe
authenticity ofsuchcertificates orlicences orastotheaccuracy oftheinformation regarding theproducts
inquestion. Insuchcases thecompetent authorities intheCommunity shallreturn thecertificate of
Hong Kong origin orexport licence, oracopythereof totheHong Kong authorities, giving, where
appropriate, thereasons foranenquiry. Iftheinvoice hasbeensubmitted, suchinvoice shallbeattached
tothecertificate orlicence oritscopy. Theauthorities shallalsoforward anyinformation thathas
beenobtained suggesting thattheparticulars given onthesaidcertificate orlicence areinaccurate.
3. Should theresults oftherandom verification referred toinparagraph 1above reveal serious
contravention oftheprovisions ofthese administrative arrangements, theHong Kong authorities shallG/TMB/N/251
Page14
notify thecompetent Community authorities oftheresults. Where thecompetent Community authorities
have requested verification under paragraph 2above, theresults ofsuch verification shall be
communicatedtothecompetentCommunityauthoritieswithinthreemonthsatthelatest.Theinformation
communicated shallindicate whether thedisputed certificate orlicence applies tothegoods actually
exported andwhether thesegoods areeligible forexport inaccordance withthearrangements established
bythese administrative arrangements. Where thecompetent Community authorities sorequest, the
information communicated shallalsoinclude copies ofsuchother available documentation asmay
facilitate thefulldetermination ofthefactsand,inparticular, thetrueorigin ofthegoods.
4. Forthepurpose ofsubsequent verification ofcertificates ofHong Kong origin andexport
licences, copies ofthese together withrelevant supporting documentation required tobelodged with
theHong Kong authorities fortheissue ofsuchcertificates orlicences shallbekeptforaperiod of
atleasttwoyears bytheHong Kong authorities.
Article 18
1. Where theverification procedure referred toinArticle 17above orwhere information available
totheCommunity ortoHong Kong indicates orappears toindicate thattheprovisions ofthese
administrative arrangements arebeing contravened, bothparties shall cooperate closely andwith
appropriate urgency toprevent suchcontravention.
2. Tothisend,Hong Kong shall, onitsowninitiative orattherequest oftheCommunity, carry
outappropriate enquiries orarrange forsuchenquiries tobecarried outconcerning operations which
areorappeartobeincontraventionoftheseadministrativearrangements.HongKongshallcommunicate
theresults ofthese enquiries totheCommunity together withsuchother available information asmay
facilitate thedetermination ofthetrueorigin ofthegoods.
3. Byagreement between theCommunity andHong Kong, officials designated bytheCommunity
maybepresent attheenquiries referred toinparagraph 2.
4. Inpursuance ofthecooperation referred toinparagraph 1,Hong Kong andtheCommunity
shallexchange anyinformation considered byeither party tobeofuseinpreventing thecontravention
oftheprovisions ofthese administrative arrangements. These exchanges mayinclude information on
textileproductioninHongKongandontradeintextileproductsofakindcoveredbytheseadministrative
arrangementsbetweenHongKongandothercountries,particularlywheretheCommunityhasreasonable
grounds toconsider thattheproducts inquestion maybeintransit across theterritory ofHong Kong
prior totheirimportation intotheCommunity. Thisinformation shallinclude attherequest ofthe
Community copies ofallrelevant documentation. Hong Kong willprovide suchinformation asis
available andinaccordance withHong Kong law.
5. TheCommunity shallwhere appropriate attherequest ofHong Kong cooperate jointly with
Hong Kong incases ofcircumvention which affect Hong Kong, inconformity withprocedures inforce
intheCommunity.
6. Whereitisestablishedtothesatisfactionofbothpartiesthattheprovisionsoftheseadministrative
arrangements havebeencontravened, Hong Kong andtheCommunity agree totakeallreasonable
measures toprevent arecurrence ofsuchcontravention.