WORLD TRADE  
ORGANIZATION  WT/REG188/1 
18 February 2005 
 
 (05-0686) 
Committee on Regional Trade Agreements Original:   English 
  
 
FREE TRADE AGREEMENT BETWEEN MOLDOVA AND 
THE FORMER YUGOSLAV REPUBLIC OF MACEDONIA 
  
  The following communication, dated 14 January 2 005, is being circulated at the request of the 
Delegation of Moldova. 
 
_______________ 
 
 
FREE TRADE AGREEMENT BETWEEN THE GOVERNMENT OF THE REPUBLIC OF 
MOLDOVA AND THE GOVERNMENT OF THE REPUBLIC OF MACEDONIA
* 
 
PREAMBLE  
  The Government of the Republic of Moldova  and the Government of the Republic of 
Macedonia , hereinafter referred to as Contracting Parties,  
  Confirming their intention to participate actively in the process of regional economic 
integration in South Eastern Europe and in the process of European integration, expressing their 
preparedness to co-operate in seeking ways  and means to strengthen this process;  
 
 Admitting that Contracting Parties are willing to consolidate these relations and to establish 
strong and durable relationships of c ooperation and economic integration; 
  Reaffirming their commitment to pluralist democracy based on observance of the rules, rights 
and basic human liberties of the state governed by the rule of law; 
 
 Firmly convinced that this Agreement will promote intensification of mutually beneficial 
trade relations between them;   Resolved for this purpose to progressively eliminate the barriers in mutual trade in general, in 
conformity with the Agreement establishing th e World Trade Organization (hereinafter “WTO 
Agreements”).   Have agreed  as follows: 
 
                                                     
 
* The associated Annexes have been submitted to  the Secretariat for consultation by interested 
Members (office 1174). WT/REG188/1 
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 Article 1 
 
Objectives
 
 1. The Contracting Parties shall gradually establish a free trade area in a transitional period 
ending on 31 December 2008 in accordance with the pr ovisions of this Agreement and in conformity 
with the definition, set out in Article XXIV of the GATT 1994 and the WTO Agreements. 
2. The objectives of this Agreement are: 
(a) to promote cooperation through the expans ion of mutual trade, of harmonious 
development of economic relations between the Contracting Parties, improvement of 
living standards and conditions of work, ra ising productivity and enhancing financial 
stability; 
(b) to provide fair conditions for carrying out  loyal competition for trade between the 
Contracting Parties; 
(c) to gradually eliminate difficulties and restrictions on trade in goods; 
(d) to create conditions for further encouragemen t of investments, particularly for the 
development of joint investments in both countries; 
(e) to contribute in this way, by the removal of barriers to trade, to the harmonious 
development and expansion of world trade; 
(f) to promote trade and co-operation of the Contracting Parties on third countries’ 
market. 
 
CHAPTER I: INDUSTRIAL PRODUCTS 
 
Article 2 
 
Scope
 
 1. The provisions of this Chapter sh all apply to industrial products originating in the Contracting 
Parties. 
2. For the purpose of this Agreement, the term  “industrial products” means products, falling 
within Chapters 25 to 97 of the Harmonized Co mmodity Description and Coding System with the 
exception of the products listed in Annex I to this Agreement. 
Article 3 
 
Basic Duties
 
 
1. For the commercial exchange covered by this  Agreement, the Customs Tariffs of the 
Contracting Parties shall be applied to the classification of goods for imports into them.  
2. For each product the basic duty, to which the succe ssive reductions, set out in this Agreement, 
are to be applied, shall be the Most-Favoured-Nation duty, in force on the date of entry into force of 
this Agreement.   WT/REG188/1 
 Page 3 
 
 
 3. If after the date of application of this Ag reement, any tariff reduction is applied on an erga 
omnes  basis, in particular, reductions, resulting from the tariff agreement concluded as a result of the 
Uruguay Round of the GATT 1994, and the Agreem ent establishing the WTO, such reduced duties 
shall replace the basic duties referred to in Paragraph 2 of this Article as from that date when such reductions are applied. 
4. The reduced duties, calculated in accordance w ith Paragraph 2 of this Article, shall be 
rounded off to the second decimal place.  
5. The Contracting Parties shall mutually ex change information on their basic duties. 
Article 4 
 
Customs Duties On Imports
 
 1.  From the date of entry into force of this Agreement, no new customs duties on imports shall 
be introduced, nor shall those already applied be increased in trade between the Contracting Parties. 
2. Customs duties on imports applied by Contracti ng Parties shall be abolished on the date of 
entry into force of this Agreement, except for the pr oducts specified in Protocol I of this Agreement. 
Article 5 
 
Custom Duties On Export
 
 1. No new custom duties on exports shall be intr oduced in the trade between the Contracting 
Parties, as from the date of entry into force of this Agreement. 
2. On the date of entry into force of this Agre ement, the Contracting Parties shall abolish all 
custom duties on exports. 
Article 6 
 
Charges Equivalent To Duties
 
 1. No new charges, having equivalent effect to custom duties, on imports or exports shall be 
introduced in trade between the Contracting Parties as from the date of entr y into force of this 
Agreement.  
Republic of Macedonia will continue to  implement the charge of 0,1% ad valorem  for trade 
promotion fees ending to 31.12.2005.  
2. The Contracting Parties shall abolish all charges,  having equivalent effect to custom duties on 
imports or export on the date of entry into force of this Agreement. 
Article 7 
 
Fiscal Duties
 
  The provision of Article 6 shall also apply to custom duties of a fiscal nature.  WT/REG188/1 
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 Article 8 
 
Quantitative Restrictions On Imports And Measures Having Equivalent Effect
 
 1. No new quantitative restrictions on imports or measures having equivalent effect shall be 
introduced in trade between the Contracting Parties, on  the date of entry into force of this Agreement. 
2. All quantitative restrictions on imports and measures having equivalent effect shall be 
abolished on the date of entry into force of this Agreement. 
Article 9 
 
Quantitative Restrictions On Exports And Measures Having Equivalent Effect
 
 1. No new quantitative restrictions on exports or measures having equivalent effect shall be 
introduced in trade between the Contracting Parties on the date of entry into force of this Agreement. 
2. All quantitative restrictions on exports and me asures having equivalent effect shall be 
abolished on the date of entry into force of this Agreement. 
Article 10 
 
Technical Barriers To Trade
 
 1. The rights and obligations of the Contracting Parties relating to standards or technical 
regulations and related measures shall be gove rned in accordance with the WTO Agreement on 
Technical Barriers to Trade. 
2. The Contracting Parties shall co-operate a nd exchange information in the field of 
standardization, metrology, conformity assessment and accreditation, with the aim of eliminating 
technical barriers to trade. 
3. Each Contracting Party, upon a request of th e other Contracting Party, shall provide 
information on particular individual cases of standards, technical norms or related measures. 
4. Contracting Parties will enter, where appropriate , into negotiations for the conclusion of the 
Agreements on mutual recognition in the field of  conformity assessment, in the spirit of the 
recommendations of the WTO Agreement on Technical Barriers to Trade. 
 
CHAPTER II: AGRICULTURAL PRODUCTS 
 
Article 11 
 
Scope
 
 
1. The provisions of this Chapter shall apply to agricultural products originating in the 
Contracting Parties. 
2. For the purpose of this Agreement the term "a gricultural products" m eans the products falling 
within Chapters 1 to 24 of the Harmonized Co mmodity Description and Coding System and the 
products listed in Annex I to this Agreement.  WT/REG188/1 
 Page 5 
 
 
 Article 12 
 
Basic Duties  
 1. For commercial exchanges covered by this Agreement, the Customs Tariffs of the 
Contracting Parties shall be based on classi fication of goods for imports into them. 
2. For each product the basic duty shall be the MFN dut y in force on the date of entry into force 
of this Agreement. 
3. If after the date of entry into force of this Agreement, any tariff reduction is applied on an 
erga omnes  basis, in particular, reductions resulting from the tariff agreement concluded as a result of 
the GATT Uruguay Round, such reduced duties shall replace the basic duties referred to in paragraph 
2 of this Article as from that date when such reductions are applied. 
4. The Contracting Parties shall mutually exch ange information for their basic duties. 
Article 13 
 
Customs Duties On Imports And Charges Having Equivalent Effect
 
   No new customs duties on imports, charges having an effect equivalent to customs duties and 
other import duties of a fiscal nature shall be intr oduced in trade with agricultural products between 
the Contracting Parties.  
Article 14 
 
Exchange Of Concessions
 
 1. The Contracting Parties shall grant each other the concessions specified in Protocol II, in 
accordance with the provisions of this Chap ter and those laid down in that Protocol. 
2. Taking into account: 
 - the role of agriculture in their economies, 
  - the development of trade in agricultura l products between the Contracting Parties, 
 
 - the particular sensitivity of the agricultural products, 
  - the rules of their agricultural policies,   - the results of the multilateral trade negotiations under WTO, 
  
the Contracting Parties shall examine the possib ilities of granting each other further concessions. 
 
Article 15 
 
Concessions And Agricultural Policies
 
 
1. Without prejudice to the concessions under Article 14 of this Agreement, the provisions of 
this Chapter shall not restrict in any way the pur suance of the respective ag ricultural policies of the WT/REG188/1 
Page 6  
 
 Contracting Parties or the application of any measures under such policies, including the 
implementation of the provisions of  the WTO Agreement on Agriculture. 
2. The Contracting Parties shall notify to the Joint Committee 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  either Contracting Party, prompt consultations 
within the Joint Committee shall be  held to examine the situation. 
Article 16 
 
Specific Safeguards
 
 
 Notwithstanding other provisions of this Agre ement, in particular Article 30 of this 
Agreement, given the particular sensitivity of th e agricultural products, if imports of products 
originating in one Contracting Party, which are s ubject of concessions, granted under this Agreement, 
cause serious disturbances to the market of the other Contracting Party, the Contracting Party 
concerned shall enter into prompt consultations to find an  appropriate solution. Pending such solution, 
the Contracting Party concerned may take appropriate measures it deems necessary.  
 
Article 17 
 
Sanitary And Phytosanitary Measures  
 
1. The Contracting Parties shall apply their nationa l regulations in veterinary, phytosanitary and 
sanitary matters, in particular in the exchange of  information on infectious and contagious diseases of 
domestic animals, quarantine diseases, plague diseases, and plant pests, in a way that complies to the 
WTO Agreement on the Application of Sanitary and Phytosanitary Measures. 
2. The Contracting Parties shall apply their regula tions in veterinary, phytosanitary and sanitary 
matters in a non-discriminatory way and shall not in troduce new measures that may have the effect of 
unduly obstructing trade. 
3. The Contracting Parties undertake the obligations to exchange information on the level of the 
sanitary and phytosanitary protection of  animals, plants and products.  
4. The sanitary and phytosanitary measures and f unctioning of veterinary services shall comply 
with the Code of the International Epizootic Office and other international conventions in this area to 
which the Contracting Parties are part of.  
 
CHAPTER III: GENERAL PROVISIONS 
 
Article 18 
 
Internal Taxation  
 1. The Contracting Parties shall refrain from any meas ure or practice of an internal fiscal nature 
establishing, whether directly or indirectly, discr imination against the products originating in the 
Contracting Parties.  
2. Republic of Macedonia will apply national treatme nt on internal taxation on tobacco after 
31.12.2005 and tobacco pr oducts after 31.12.2007.  WT/REG188/1 
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 3. Products exported to the territory of one of  the Contracting Party may not benefit from 
repayment of internal taxation in excess of the amount of indirect taxation imposed on them. 
Article 19 
 
Rules Of Origin And Co-Operation In Customs Administration  
  
1. Protocol A to this Agreement (hereinafter refe rred to as “Protocol A”) la ys down the rules of 
origin and related methods of administrative co-operation. 
2. The Contracting 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 A and Articles 3 to 9, 14, 18 and 31 of  this Agreement are effectively and harmoniously 
applied, and to reduce, as far as po ssible, the formalities imposed on trade, and to achieve mutually 
satisfactory solutions to any difficulties arising from the operation of those provisions. 
3. The Contracting Parties shall conclude separate Agreement for co-operation between their 
Customs Administration, as soon as possible. 
Article 20 
 
General Exceptions  
 1. The provisions of this Agreement shall not pr eclude prohibitions or restrictions on import, 
export, or goods in transit justif ied on grounds of public morality, pub lic policy or public security; the 
protection of health and life of humans, animals or plants as well as environment protection; 
protection of national treasures possessing artistic, histor ical or archaeological value; the protection of 
intellectual property or rules, relating to gold or silver or the conservation of exhaustible natural 
resources, if such measures are made effectiv e in conjunction with restrictions on domestic 
consumption or production. 
2. Such prohibitions or restrictions shall not , however, constitute a means of arbitrary 
discrimination or disguised restriction on trade between the Contracting Parties. 
Article 21 
 
Security Exceptions
 
 
 Nothing in this Agreement shall prevent a Contracting Party from taking any appropriate 
measures which it considers necessary:  
(a) to prevent the disclosure of information c ontrary to its essential security interests; 
(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, ammun ition and implements of war, provided 
that such measures do not impair the c onditions of competition in respect of 
products not 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 WT/REG188/1 
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 (ii) relating to the non-proliferation of biological and chemical weapons, nuclear 
weapons or other nuclear explosive devices; or 
(iii) in time of war or other serious international tension. 
Article 22 
 
State Monopoly
 
 
1. The Contracting 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 conditio ns under which goods are procured and marketed 
exists between natural and legal persons of the Contracting Parti es. The Contracting Parties shall 
inform each other about the measures adopted to implement this objective. 
2. The provisions of this Article shall apply to anybody through which the competent authorities 
of the Contracting Parties, in law or in fact, eith er directly or indirectly supervise, determine or 
appreciably influence imports or exports betwee n the Contracting Parties. These provisions shall 
likewise apply to monopolies delegated by the State to other bodies. 
Article 23 
 
Payments  
 1. Payments in freely convertible currencies rela ting to trade in goods between the Contracting 
Parties and the transfer of such payments to the territory of the Contracting Party where the creditor 
resides shall be free from any restrictions. 
2. The Contracting 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, or in finance in 
which person residing in one of the Contracting Parties participates.  
Article 24 
 
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 Contracting Parties: 
(a) all agreements between undertakings, decisi ons 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 
Contracting Parties, as a whole or in substantial part thereof.  
2. The provisions of the paragraph 1 (a) and (b) of this Article shall apply to the activities of all 
undertakings including public undertakings and under takings to which the Contracting Parties grant 
special or exclusive rights. Undertakings entruste d with the operation of services of general economic 
interest or having the character of a revenue prod ucing monopoly, shall be subject to provision of 
paragraph 1 a) and (b) of this Article insofar as the application of these provisions does not obstruct 
the performance, in law or in fact, of th e particular public tasks assigned to them.  WT/REG188/1 
 Page 9 
 
 
 3. With regard to products referred to in Chapter II the provisions stipulated in paragraph 1 (a) 
of this Article shall not apply to such agreements, decisions and practices which form an integral part 
of a national market organization. 
4. If a Contracting Party considers that a certain pr actice is incompatible with paragraph 1, 2 and 
3 of this Article, and if such a practice causes or th reatens to cause serious prejudice to the interests of 
that Contracting Party or material injury to its domestic industry, it may ta ke appropriate measures 
under the conditions and in accordance with the procedur es laid dawn in Article 27 of this Agreement. 
Article 25 
 
State Aid  
 
1. Any aid granted by State being Contracting 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 ma y affect trade between 
the Contracting Parties, be incompatible with  the proper functioning of this Agreement. 
2. For agricultural products the provision of paragra ph 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 Contracting Parties shall ensure tran sparency 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 Contracting Party, upon request, information on aid schemes and on 
particular individual cases of state aid.  
5. If Contracting Party considers that a particular practice:  
− is incompatible with the provisions of paragr aph 1 of this Article, and is not adequately 
dealt with under the implementing rules referre d to in paragraph 3 of this Article, or 
 
− in the absence of rules, referred to in paragr aph 3 of this Article, causes or threatens to 
cause serious prejudice to the interest of that Contracting Party or material injury to its domestic industry,  
 
it may take appropriate measures against this pr actice, under the conditions and in accordance with 
the procedures laid down in Article 27 of this Agreement.  
 6. Such appropriate measures may be only taken in conformity with the procedures and under 
conditions laid dawn by the GATT 1994 and the WTO Agreements, and any other relevant 
instruments negotiated under their auspices, which are applicable between the Contracting Parties. 
Article 26 
 
Public Procurement
 
 1. The Contracting Parties consider the liberalization of their respective public procurement 
markets as an objective of this Agreement. WT/REG188/1 
Page 10  
 
 2. The Contracting Parties shall progressively adjust  their rules, conditions and practices with a 
view to grant suppliers of the other Contracting Part y, mutual access to contract award procedures on 
their public procurement markets. 
3. The Joint Committee shall examine developments related to the achievement of the objectives 
of this Article, and may recommend practical modalit ies of implementing the provisions of paragraph 
2 of this Article so as to ensure free access, tr ansparency and mutual opening of their respective 
public procurement markets in the Contracting Parties. 
4. The Contracting Parties shall endeavour to accede to the relevant Agreements on public 
procurements negotiated under the ausp ices of the GATT 1994 and WTO Agreements. 
Article 27 
 
Procedure For The Application Of Safeguard Measures
 
 1. Before initiating the procedure for the appli cation of safeguard measures set out in the 
following paragraphs of this Article , the Contracting Parties shall endeavour to solve any differences 
between them through direct consultations. 
2. In the event of either Contracting Party subjec ting imports of products liable to give rise to 
the situation referred to in Article 30 of this Ag reement to an administrative procedure having as its 
purpose the rapid provision of information on trade flows, it shall inform the other Contracting Party. 
3. (a) With regard to Articles 29, 30 and 32 of  this Agreement, the Joint Committee shall 
 examine the case or the situation and may ta ke any decision needed to put end to the 
difficulties notified by the Contracting Party c oncerned. In the case of absence of such 
decision within 30 days from the date of  the matter being referred to the Joint 
Committee, the Contracting Party concerned may adopt the necessary measures in order to remedy the situation. 
(b) As regards Article 20 of this Agreement, the Contracting Party concerned may take 
appropriate measures after the consultations have been concluded or a period of three 
months has elapsed from the date of first written notifications to the other Contracting Party. 
(c) With regard to Articles 24 and 25 of this Agreement, the Contracting Party concerned 
shall give the Joint Committee all the assist ance required in order to examine the case 
and, where appropriate, eliminate the practice objected to. If the Contracting 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 agr eement within thirty 
working days of the matter being referred to  it, the Contracting Party concerned may 
adopt the appropriate measures to deal w ith the difficulties resulting from the practice 
in question. 
4. The safeguard measures taken sh all be immediately notified to the other Contracting Party. 
They will be restricted with regard to their extent and to their duration 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 measures which will least 
disturb the functioning of this Agreement.  WT/REG188/1 
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 5. The safeguard measures taken shall be the object  of periodic consultations within the Joint 
Committee with a view of their relaxation as soon as  possible, or abolition when conditions no longer 
justify their maintenance. 
6. When exceptional circumstances requiring immediate action make prior examination 
impossible, the Contracting Party concerned may,  in the cases of Articles 29, 30 and 32 of this 
Agreement, apply forthwith the provisional measur es strictly necessary to remedy the respective 
situation. The measures taken shall be notified to  the other Contracting Party, without delay and 
consultations between the Contrac ting Parties shall take place as soon as possible within the Joint 
Committee. 
7. Without prejudice to paragraph 6 of this Ar ticle, a Contracting Party, which considers 
resorting to safeguard measures, shall promptly no tify in writing the other Contracting Party thereof 
and supply all relevant informati on. Consultations between the Cont racting Parties shall take place 
without delay within the Joint Committee with a view to finding a solution acceptable to both Contracting Parties. 
Article 28 
 
Intellectual Property Rights
 
 1. The Contracting Parties shall grant and ensu re adequate, effective and non discriminatory 
protection of intellectual propert y rights, including effective measures for enforcing such rights 
against infringement, and particularly against count erfeiting and piracy. The protection of intellectual 
property rights shall be improved to a level corre sponding to the substantive standards of the 
multilateral agreements which are specified  in the Annex II to this Agreement. 
2. For the purposes of this Agreement, the term, intellectual property rights,, refers to all 
categories of intellectual property such as; copyri ghts and neighbouring rights, computer programs, 
data bases, trademarks for good and services, geogr aphical indications, industrial designs, patents, 
new varieties of plants, topographies of integrat ed circuits, as well as undisclosed information 
including know-how. 
3. The Contracting Parties shall co-operate in in tellectual property rights protection matters, and 
at the request of any Contracting Pa rty, they shall hold consultations on expert level, in particular, 
with respect to activities relating the existing or to futures international convention on the 
harmonisation, administration and vindication of intellectual property rights and on activities in 
international organisation, such as to WTO, Worl d Intellectual Property Organisation, as well as 
concerning the relations of the Contracting Par ties with third countries on matter concerning the 
intellectual property rights. 
Article 29 
 
Dumping
 
  If one of the Contracting Parties finds that dum ping, in within the meaning of Article VI of 
GATT 1994, is taking place in the trade relations govern ed by this Agreement, it may take appropriate 
measures against those practices under the conditions  and in accordance with the WTO Agreement on 
Implementation of Article VI of the GATT 1994 a nd under the conditions and procedure laid down in 
Article 27 of this Agreement.  
 WT/REG188/1 
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 Article 30 
 
General Safeguards
 
  Where any product is being imported in such  increased quantities and under conditions as to 
cause, or threaten to cause: 
 
(a) serious injuries to domestic producers of like or directly competitive products in the 
territory of the importing Contracting Party, or 
(b) serious disturbances in any related sector of the economy or difficulties which could 
bring serious deterioration in the economic situation of a certain region, 
the Contracting Party concerned may take a ppropriate measures under the conditions and in 
accordance with the procedures laid down in Article 27 of this Agreement. 
 
Article 31 
 
Structural Adjustment
 
 1. Exceptional measures of limited duration, deroga ting from the provisions of Article 4 of this 
Agreement, may be taken by any of the Contracti ng Party in the form of increased customs duties. 
2. These measures may only concern infant i ndustries, or certain sectors undergoing 
restructuring or facing serious difficulties, particularly where these difficulties produce important 
social problems. 
3. Customs duties on imports applicable in one of  the Contracting Party concerned to products 
originating in the other Contracti ng Party introduced in accordance with  the paragraphs 1 and 2 of this 
Article may not exceed 25% ad valorem  and shall maintain an element of preference in custom duties 
originating in the other Contracting Party. The tota l value of imports of the products which are subject 
to these measures may not exceed 15% of the total imports of industrial products from the other Contracting Party during the last year for which statistic data are available. 
4. These measures shall be applied for a period th at will not exceeding five successive years, 
unless a longer duration is authorized by the Joint Committee. 
5. No such measures can be in introduced in respect  to a product, if more than three years have 
elapsed since the removal of all customs duties and quantitative restrictions or measures having 
equivalent effect concerning that product. 
6. The Contracting Party concerned shall inform the other Contracting Party of any exceptional 
measure it intends to take and, at the request of the other Contracting Party, consultations shall be held 
within the Joint Committee regarding such measure s and sectors to which they apply, even before 
they are put into force. When ta king such measures, the Contracting Party concerned shall provide the 
Joint Committee a schedule for the elimination of cu stoms duties introduced under this Article. This 
schedule shall provide for a phasing out of these duti es starting at the latest two years after their 
introduction, at equal annual rates. The Join t Committee may decide on a different schedule.  WT/REG188/1 
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 Article 32 
 
Re-Export And Serious Shortage  
  Where the compliance with the provisions of Ar ticle 5 and 9 of this Agreements related to: 
 
(a) re-export towards a third country, agains t which the exporting Contracting Party 
maintains for the product concerned quantita tive export restrictions, export duties, or 
measures or charges having equivalent effect; or 
(b) a serious shortage, or a threat thereof, of a product essential to the exporting 
Contracting Party,  
and where the situation referred to above gives rise or  is likely to give rise to major difficulties for the 
exporting Contracting Party, that Contracting Party may take appropriate measures under the 
conditions and in accordance with the procedure laid  down in Article 27 of this Agreement. The 
measures shall be non-discriminatory and be elim inated when conditions no longer justify their 
maintenance.  
 
Article 33 
 
Balance-Of-Payments Difficulties
 
 
1. The Contracting Parties shall endeavour to avoid the imposition of restrictive measures 
including measures relating to imports for balance-of-payments difficulties. 
2. Where a Contracting Party is in serious bala nce-of-payments difficulti es, or under imminent 
threat thereof, the Contracting Party concer ned may adopt, in accordance with the conditions 
established by GATT 1994 and WTO Agreements, may a dopt trade restrictive measures, 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 a ttenuated, as the balance-of-payments conditions 
improve, and they shall be eliminated when condi tions no longer justify their maintenance. The 
Contracting Party concerned shall inform other C ontracting Party and the Joint Committee forthwith 
their introduction and, whenever practicable , of a time schedule for their removal.  
Article 34 
 
The Joint Committee  
 1. The Contracting Parties agree to establis h a Joint Committee composed of their 
representatives. 
2. The implementation of this Agreement shall be  supervised and administrated by the Joint 
Committee.  
3. For the purpose of the proper implementation of this Agreement, the Contracting Parties shall 
exchange information and, at the request of any C ontracting Party shall hold consultations within the 
Joint Committee.  
4. The Joint Committee shall keep under review the possibility of further removal of the 
obstacles to trade between the Contracting Parties.  WT/REG188/1 
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 5. The Joint Committee may take deci sions in the cases provide for in this Agreement. On other 
matters the Joint Committee may take recommendations. 
Article 35 
 
Procedures Of The Joint Committee
 
 
1. For the proper implementation of this Agreemen t, the Joint Committee shall meet whenever 
necessary but at least once a year. Either Contr acting Party may request a meeting to be held. 
2. The Joint Committee shall take decisi ons and recommendations by consensus. 
3. If a representative in the Joint Committee of Contracting Party to this Agreement has 
accepted a decision subject to the fulfilment of inte rnal legal requirements, the decision shall enter 
into force, if no later date is contained therein,  on the day of the receipt of the written notification 
about the fulfilment of such requirements. 
4.  For the purpose of this Agreement, the Joint Committee shall adopt its rules of procedure. 
5. The Joint Committee may decide to set-up su ch sub-committee and working groups as it 
considers necessary to assist it in accomplishing its tasks. 
Article 36 
 
Custom Unions, Free Trade Areas And Frontier Trade  
 1. The provisions of this Agreement apply to a ll trade relationships between the Contracting 
Parties. 
2. This Agreement shall not prevent the mainte nance or establishment of customs unions, free-
trade zones, economic unions or arrangements for frontier trade to the extent that these do not 
negatively affect the trade regime between the Cont racting Parties and in particular the provisions 
concerning rules of origin provided for by this Agreement.  
3. Upon request the Contracting Parties shall info rm each other of any agreements establishing 
custom unions or free trade areas concluded with other countries. 
Article 37 
 
Fulfilment Of Obligations
 
 
1. The Contracting Parties shall take all necessar y measures to ensure the achievement of the 
objective of this Agreement and the fulfilment of their obligations under this Agreement. 
2. If either Contracting Party considers that the other Contracting Party has failed to fulfil an 
obligation under this Agreement, the Contracting Pa rty concerned may take th e appropriate measures 
under the conditions and in accordance with the procedur e laid down in Article 27 of this Agreement.  WT/REG188/1 
 Page 15 
 
 
 Article 38 
 
Evolutionary Clause  
 1. Where either Contracting Party considers that it would be useful in the interest of the 
economies of the Contracting Parties to develop the relations established by this Agreement by 
extending them to fields not covered thereby, it shall submit a reasoned request to the other 
Contracting Party. The Contracting Parties may inst ruct the Joint Committee to  examine this request 
and, where appropriate, to make recommendations to  them, particularly with a view to opening 
negotiations. 
2. Agreements resulting from the pro cedure referred to in paragraph 1 of this Article will be 
subject to ratification of approval by the Contrac ting Parties to this Agreement in accordance with 
their internal legal procedures. 
Article 39 
 
Annexes And Protocols
 
  Annexes and Protocols of this Agreement are an integral part of it.   
Article 40 
 
Amendments
 
  Amendments to this Agreement, including Anne xes and Protocol, may be proposed by either 
Contracting Party and shall enter into force on the date of receipt of the last notification, through 
diplomatic channels, confirming that all internal le gal procedures required by either Contracting Party 
for their entry into force have been fulfilled.  
Article 41 
 
Validity And Termination
 
 
1. This Agreement is concluded for an indefinite period of time. 
2. Each Contracting Party may denounce this Ag reement through diplom atic channels by a 
written notification to the other C ontracting Party. In such case the Agreement shall be denounced on 
the first day of the six month after the date when the other Contracting Party has received the written 
notification. 
3. The Contracting Parties agreed that in case of accession of one of the Contracting Parties to 
the European Union, the Agreement will be termin ated without successive compensation for the other 
Contracting Party, on the day before the date of accession to the EU, and in accordance with the 
procedure laid down in para graph 2 of this Article. WT/REG188/1 
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 Article 42 
 
Entry Into Force
 
  This Agreement shall enter into force on the first day of the month following the date when 
the Contracting Parties have notified each other th rough diplomatic channels that their respective 
internal requirements for the entry into for ce of this Agreement have been fulfilled. 
    IN WITNESS WHEREOF the undersigned plenipot entiaries, being duly authorised thereto, 
have signed the present Agreement. 
  DONE in Scopje, on 28 of January 2004 in two original copies, each in Moldavian, Macedonian and English language each being equally authentic. In case of different interpretation of 
the provisions of this Agreement, the English text shall prevail. 
 
 
FOR THE GOVERNMENT OF FOR THE GOVERNMENT OF THE REPUBLIC OF MOLDOVA THE REPUBLIC OF MACEDONIA 
 
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