WT/REG337/M/1  
 
16 April 2014  
(14-2386)  Page: 1/2  
Committee on Regional Trade Agreements 
Seventy-second Session of the CRTA    
 
 ENLARGEMENT OF THE EUROPEAN UNION TO 28 MEMBER STATES - ACCESSION OF 
CROATIA, GOODS AND SERVICES 
NOTE ON THE MEETING OF 8 APRIL 2014 
Chairman: Ambassador Francisco Lima Mena (El Salvador) 
1.1.  The 72nd Session of the Committee on Regional Trad e Agreements (hereinafter 'CRTA' or the 
'Committee') was convened in Airgram WTO/AIR/4252/Rev.1 dated 28 March 2014. 
1.2.  Under Agenda Item B.VII of the session , the CRTA considered the Enlargement of the 
European Union to 28 member States - Accession of Croatia, (hereinafter "the Agreement"). 
1.3.  The Chairman said that the Agreement had entered into force on 1 July 2013. It had been 
notified to the WTO by the European Union on 25 April 2013 under Article XXIV:7(a) of the 
GATT 1994 and the Understanding on the Interpretation of Article XXIV of GATT 1994 as an 
Agreement establishing a customs union (document WT/REG337/N/1) and under GATS 
Article V:7(a) as an Agreement providing for the liberalization of trade in services within the 
meaning of Article V of the GATS (document S/C/ N/693). The text of the Agreement was available, 
together with its Annexes, on the Parties' official websites. The Factual Presentation on the goods 
and services aspects (document WT/REG337/1) had been prepared by the Secretariat on its own 
responsibility in full consultation with the Parties, in accordance with paragraph 7(b) of the Transparency Mechanism for Regional Trade Agr eements (document WT/L/671). Written questions 
and replies on this Agreement had been distributed in document WT/REG337/3 dated 21 March 
2014. The document containing the results of the general incidence calculation had been distributed as document WT/REG337/2. A list of RTAs no longer in force as a result of Croatia's 
accession to the EU had been distributed in document WT/REG/GEN/N/6. He proposed to organize 
the consideration of the Agreement by first asking  the Parties and then other Members to give any 
general comments and then turn to the specifics of the Agreement, using the Factual Presentation, 
document WT/REG337/1 to guide the debate. Th ey would then go through the questions and 
replies and general incidence documents. 
1.4.  The representative of the European Union clarified that her statement was made also on 
behalf of Croatia which was now an EU Member State. Her delegation welcomed the CRTA's 
consideration of the EU 28 - Accession of Croati a and hoped that such a review would serve to 
better understand the key features of the EU's late st enlargement. She thanked the Secretariat for 
its work in preparing the Factual Presentation and the delegations of Canada and the Separate 
Customs Territory of Taiwan, Penghu, Kinmen, and Matsu for showing interest in the Agreement 
by asking written questions in advance. She wanted to take the opportunity to introduce the main elements of the Act of Accession and the advant ages that could be derived from them by WTO  
Members. The Treaty of Accession with Croatia se t out the conditions of admission of Croatia to 
the EU; it had been signed on 9 December 2011 and had entered into force on 1 July 2013.  
1.5.  Croatia's accession negotiations were opened in October 2005 and involved 35 negotiation 
chapters that were closed on 30 June 2011. The conditions of Croatia's admission to the EU 
extended far beyond trade: they comprised the fo ur freedoms (free movement of goods, persons, 
services and capital) - which represented the core  economic pillar of European integration - and 
other issues such as competition law, the judici ary and fundamental rights and justice, freedom 
and security, taxation, social policy and employ ment, SMEs policies, environment and consumer 
health protection, telecommunications and inform ation technologies, regional policy, amongst 
others.  WT/REG337/M/1 
 
- 2 - 
 
  1.6.  Overall, the Enlargement had not affected EU  trade policy and could be seen as an extension 
of the territorial scope of EU policies to an additional Member State. Croatia's accession process had entailed enormous efforts by Croatia in order to adopt the EU's acquis communitaire , 
implement reforms of an economic and administrative nature, and substantially strengthen its 
judicial system. Through the Accession Treaty, Croatia had also acceded to the Treaty on the 
European Union and the Treaty of the Functioning of the European Union. Consequently, Croatia had fully adopted the EU common commercial policy, including the Generalised System of 
Preferences as well as all bilateral and plurilateral  preferential agreements that the EU had in force 
with third countries. It was worth emphasising that the EU had successfully concluded negotiations and signed the protocols that took into account Croatia's EU accession. Although this process was still open, the EU was confident that it would be soon concluded.  
1.7.  With reference to the common external tari ff, Croatia's previous schedule of concessions had 
been withdrawn on 1 July 2013 and the EU had enga ged in negotiations pursuant to Article XXIV:6 
of the GATT 1994. As regards goods aspects, 12 WTO Members had submitted claims within the 
90 day period following the EU notification circulat ed by the WTO on 15 April, and two other claims 
thereafter. In October 2013 and in February 2014,  the EU had held rounds of meetings involving 
the WTO members having submitted timely clai ms. In those meetings it had addressed the 
consolidation of agricultural TRQs and, where just ified, possible ad-hoc compensations beyond that 
consolidation. As a result, the EU expected to negotiate agreements with Argentina, Australia, 
Brazil, China, Ecuador, New Zealand and Uruguay. Talks with interested Members were still ongoing.  
1.8.  As regards trade in services, the Enlargement extended the right to establish and to supply 
services to all sectors of activity unless otherwise specified. Accordingly, the full range of service sectors and all modes of supply were liberalized with some limited exceptions. In GATS terms, the 
Act of Accession had complete sectoral coverage and it provided for the elimination of all 
discrimination. Accordingly, the EU consider ed that the Act of Accession fully met WTO 
requirements, notably those under Article XXIV of GATT 1994 and Article V of the GATS.  
1.9.  She thanked Members for their interest and questions to which her delegation had provided 
written replies. She would endeavour to clarify further issues if needed, and to answer oral questions Members wished to raise during the meetin g. She looked forward to a fruitful discussion.  
1.10.  The representative of Uruguay said that with regard to the issue of compensation for 
enlargement of the EU to include Croatia, meetin gs had taken place with the EU delegation in 
order to move forward in seeking compensation for access to the European market for certain products. The EU had made a proposal for consolidation of TRQs that had been submitted to her 
authorities. Uruguay, under Article XXIV:6 of th e  G A T T ,  w o u l d  l i k e  t h i s  p r o c e s s  t o  l e a d  t o  
compensation due to the loss of preference s as a result of the EU's enlargement. 
1.11.  The representative of the United States thanked the Parties and the Secretariat for the 
materials provided. His delegation had no additional questions. 1.12.  The representative of Canada joined other Members in thanking the Parties for their 
responses which were still being reviewed. His delegation would be in touch regarding any follow 
up questions. 
1.13.  The Chairman said that the considerat ion of the Goods and Services Aspects of the 
Enlargement of the European Union to 28 member States - Accession of Croatia had allowed the 
Committee to clarify a number of questions and the oral discussion of this RTA could be concluded 
in accordance with paragraph 11 of the Transpar ency Mechanism. If any delegations wished to as k 
follow up questions they were invited to forwar d submissions in writing to the Secretariat by 
14 April 2014 and Parties were asked to submit replies in writing by no later than 28 April 2014. In 
accordance with paragraph 13 of the Transparency Mechanism all written submissions, as well as 
minutes of this meeting would be circulated promptly, in all WTO official languages, and would be made available on the WTO website.  
1.14.  The Committee took note of the comments made. 
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