WORLD TRADE G/TMB/N/252
18July1997
ORGANIZATION(97-2982)
Original: English Textiles Monitoring Body
AGREEMENT ONTEXTILES AND CLOTHING
Notification Under Article 2.17
EUROPEAN COMMUNITY
Administrative Arrangements withIndia
TheTextiles Monitoring Body hasreceived anotification from theEuropean Commission
pursuant toparagraph 17ofArticle 2.TheTMB iscirculating thisnotification toWTO Members
fortheirinformation.G/TMB/N/252
Page2
European Commission
Directorate-General
Brussels, 26September 1996
Dear Ambassador,
Iwould liketosubmit totheTextiles Monitoring Body theAdministrative Arrangements which
have been agreed between theEuropean Community andthePeople 'sRepublic ofBangladesh*,
Hong Kong, India**,theRepublic ofIndonesia, theRepublic ofKorea, Macau, theFederation of
Malaysia, Pakistan, Peru, theRepublic ofSingapore, SriLanka andtheKingdom ofThailand under
Article 2(17) oftheAgreement 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 Geneva 21
*Thisnotification waswithdrawn attherequest oftheEuropean Commission.
**ThisdocumentcontainstheAdministrativeArrangementsconcludedwithIndia.AdministrativeArrangements
concluded withtheother Members listed above willbecirculated asseparate documents.G/TMB/N/252
Page3
Brussels, 23September 1996
Dear Ambassador,
Theundersigned representatives oftheEuropean Community andIndia would liketonotify
totheTextiles Monitoring Body oftheAdministrative Arrangements which havebeenagreed between
theEuropean Community andIndia under Article 2(17) oftheAgreement onTextiles andClothing
(ATC) -thetextofwhich isattached.
Please accept, Ambassador, theassurance ofourhighest consideration.
(Signed) (Signed)
Representative ofIndia Representative ofthe
Mahesh Sachdev European Community
Mr.Enrico Grillo Pasquarelli
Ambassador Szepesi
Chairman
Textiles Monitoring Body
World Trade Organization
Centre William Rappard
RuedeLausanne 154
CH-1211 Geneva 21G/TMB/N/252
Page4
Provisions oftheAgreement between theEuropean Economic Community andtheRepublic
ofIndia ontrade intextile products, initialled inBrussels on31October 1986, asamended bythe
Agreement intheform ofanExchange ofLetters amending theAgreement between theEuropean
Economic Community andtheRepublic ofIndia ontrade intextile products, initialled inBrussels on
18December 1992, which willbenotified asadministrative arrangements under Article 2(17) ofthe
Uruguay Round Textiles Agreement.
Article Description
Section 1:Trade Arrangements
Article 2(3) Determination oforigin ofcovered products
Article 4 Reimports afterOPT
Article 5 Cottage industries
Article 6 Imports toECforre-export afterprocessing
Article 9,asamended Exchange ofstatistical information
Article 10 Amendments toclassification
Article 11 Circumvention
Article 12,asamended Regional concentration
Article 16(1), asamended Consultations
Protocol A,asamended Classification,
Origin,
Double checking,
Export certificates,
Certificates oforigin etc.,
Export certificates etc.,
Administrative cooperation,
Specimen ofexport licence (textiles) Form 5,
Specimen ofcertificate oforigin
Protocol B Cottage industry
Agreed Minute No.2(1992) Temporary specific management system
Agreed Minute No.3(1992) Regions withtraditionally small quotas
Agreed Minute No.4(1992) Regional concentration
Note Verbale (1992) Refers toAgreed Minute No.2(1992)G/TMB/N/252
Page5
ANNEX
Administrative Arrangements Between theEuropean Community andIndia
Thefollowing Annex reproduces infullforthebenefit ofMembers thetextsoftheprovisions
ofthebilateral agreement between theEuropean Economic Community andIndia, asamended, which
arereferred tobyreference toArticle numbers inthenotification oftheadministrative arrangements
totheTextiles Monitoring Body ("TMB") pursuant toparagraph 17ofArticle 2oftheAgreement
onTextiles andClothing ("ATC").
Where theprovisions referto"theAgreement" thereference istoaprovision ofthebilateral
agreement between theParties (andnottoarticles oftheATC).
Certain Articles referred tointhetextsdonotformpartoftheadministrative arrangements.
Theprovisions ofthese Articles haveeither beennotified totheTMB (e.g.thequantitative limits in
question andtherelevant flexibility provisions) orareprovisions which arenotintended toformpart
oftheadministrative arrangements. These provisions havebeenidentified bywayoffootnotes and
itshould therefore benoted thatthefootnotes areintended forexplanation anddonotform partof
theprovisions themselves.G/TMB/N/252
Page6
Article 2
3. Theorigin oftheproducts covered bythisAgreement shallbedetermined inaccordance with
therules inforce intheCommunity.
Anyamendment tothese rules oforigin shallbecommunicated toIndia andshallnothave
theeffect ofreducing anyquantitative limitestablished inAnnex II.1
Theprocedures forcontrol oftheorigin oftheproducts referred toabove arelaiddown in
Protocol A.
Article 4
IndiaandtheCommunity recognize thespecial anddifferential character ofreimports oftextile
products intotheCommunity afterprocessing inIndia.
Suchreimports maybeagreed outside thequantitative limits established under thisAgreement
provided thattheyareeffected inaccordance withtheregulations oneconomic outward processing
inforce intheCommunity.
Article 5
With reference toArticle 12(3) oftheGeneva Arrangement, thelimitations setoutinthis
Agreement willnotapply tohandloom fabrics ofthecottage industry, hand-made cottage industry
products made ofsuchhandloom fabrics andtraditional folklore handicraft textile products provided
thatthese products meettheconditions laiddown inProtocol B.
Article 6
1. Imports intotheCommunity oftextile products covered bythisAgreement shallnotbesubject
tothequantitative limits established inAnnex II2,provided thattheyaredeclared tobeforre-export
outside theCommunity inthesamestateorafterprocessing, within theframework oftheadministrative
system ofcontrol which exists within theCommunity.
However, therelease forhome useofproducts imported under theconditions referred toabove
shallbesubject totheproduction ofanexport certificate issued bytheIndian authorities, andtoproof
oforigin inaccordance withtheprovisions ofProtocol A.
2. Where theCommunity authorities haveevidence thatimports oftextile products havebeen
setoffagainst aquantitative limit established under thisAgreement, butthattheproducts have
subsequently beenre-exported outside theCommunity, theauthorities concerned shallinform theIndian
authorities within fourweeks ofthequantities involved andauthorize imports ofidentical quantities
ofthesame products, which shallnotbesetoffagainst thequantitative limitestablished under this
Agreement forthecurrent orthefollowing year.
1These limits arethose notified bytheEuropean Community pursuant toArticle 2oftheATC.
2These limits arethose notified bytheEuropean Community pursuant toArticle 2oftheATC.G/TMB/N/252
Page7
Article 9
1. India shallsupply theCommunity withprecise statistical information onallexport certificates
issued bytheIndian authorities forallcategories oftextile products subject tothequantitative limits
established under thisAgreement aswellasonallcertificates issued bytheIndian authorities forall
products referred toinArticle 5andsubject totheprovisions ofProtocol B.
TheCommunity shalllikewise transmit totheIndian authorities precise statistical information
onimport authorizations ordocuments issued bytheCommunity authorities inrespect ofexport
certificates issued byIndia.
2. "Theinformation referred toinparagraph 1shall, forallcategories ofproducts, beforwarded
before theendofthemonth following themonth towhich thestatistics relate."
3. TheCommunity shallsupply totheIndian authorities import statistics forallproducts covered
bythesystem ofadministrative control referred toinArticle 8(2)3andforproducts covered by
Article 6(1).
4. Theinformation referred toinparagraph 3shall, forallcategories ofproducts, beforwarded
before theendofthethirdmonth following thequarter towhich thestatistics relate.
5. Should itbefound onanalysis oftheinformation exchanged thatthere aresignificant
discrepancies between thereturns forexports andthose forimports, consultations maybeinitiated
inaccordance withtheprocedure specified inArticle 16.
6. Forthepurpose ofapplying theprovisions ofArticle 74,theCommunity undertakes toprovide
theIndian authorities before 15April ofeachyearwiththepreceding year'sstatistics onimports of
alltextile products covered bythisAgreement, broken down bysupplying country andCommunity
member State.
7. India andtheCommunity willexchange totheextent possible available statistical information
ontrade intextile products.
Article 10
1. Should there bedivergent opinions between India andthecompetent Community authorities
atthepoint ofentry intotheCommunity ontheclassification ofproducts covered bythepresent
Agreement,classificationshallprovisionallybebasedonindicationsprovidedbytheCommunity,pending
consultations inaccordance withArticle 16withaviewtoreaching agreement ondefinitive classification
oftheproduct concerned.
2. Iftheabove provisional classification results inprovisional debit against aquantitative limit
foracategory ofproducts other thanthecategory indicated ontheexport documents issued bythe
competentIndianauthorities,theCommunityshallinformIndiaofsuchprovisionaldebitwithin30days.
3Thisprovision related toa"basket exit" mechanism.
4These provisions related toflexibilities andhave been notified bytheEuropean Community pursuant to
Article 2oftheATC.G/TMB/N/252
Page8
3. Theauthorities ofIndia shall beinformed ofanyamendment tothetariff andstatistical
nomenclatures inforce intheCommunity oranydecision, made inaccordance withtheprocedures
inforce intheCommunity, relating totheclassification ofproducts covered bythisAgreement.
Anyamendment tothetariff andstatistical nomenclatures inforce intheCommunity orany
decision which results inamodification oftheclassification ofproducts covered bythisAgreement
shallnothavetheeffect ofreducing anyquantitative limitestablished inAnnex II.5
Theprocedures fortheapplication ofthisparagraph aresetoutinProtocol A.
Article 11
1. IndiaandtheCommunity agree tocooperate fullyinpreventing thecircumvention ofthepresent
Agreement.
2. Where information available totheCommunity asaresult oftheinvestigations carried out
inaccordance withtheprocedures setoutinProtocol Aconstitutes evidence thatproducts ofIndian
origin subject toquantitative limits established under thisAgreement havebeentranshipped, re-routed
orotherwise imported intotheCommunity incircumvention ofthisAgreement, theCommunity may
request theopening ofconsultations inaccordance withtheprocedures described inArticle 16,with
aview toreaching agreement onanequivalent adjustment ofthecorresponding quantitative limits
established under theAgreement.
3. Pending theresult oftheconsultations referred toinparagraph 2,Indiashallasaprecautionary
measure, ifsorequested bytheCommunity, make thenecessary arrangements toensure thatadjustments
ofquantitative limits liable tobeagreed following theconsultations referred toinparagraph 2,may
becarried outforthequota yearinwhich therequest toopen consultations inaccordance with
paragraph 2wasmade, orforthefollowing yearifthequota forthecurrent yearisexhausted, where
clear evidence ofcircumvention isprovided.
4. Should theParties beunable inthecourse ofconsultations toreach asatisfactory solution within
theperiod specified inArticle 16oftheAgreement, theCommunity shallhavetheright, where clear
evidence ofcircumvention hasbeenprovided, todeduct fromthequantitative limits established under
thisAgreement amounts equivalent totheproducts ofIndian origin.
Article 12
"1. Thequantitative limits established under thisAgreement onimports intotheCommunity of
textile products ofIndian origin willnotbebroken down bytheCommunity intoregional shares.
2. TheParties shallcooperate inorder toprevent sudden andprejudicial changes intraditional
trade flows resulting inregional concentration ofdirect imports intotheCommunity.
3. Indiashallmonitor itsexports ofproducts under restraint orsurveillance intotheCommunity.
Should asudden andprejudicial change intraditional tradeflows arise, theCommunity willbeentitled
torequest consultations inorder tofindasatisfactory solution tothose problems. Suchconsultations
must beheldwithin 15working daysoftheirbeing requested bytheCommunity.
5These limits arethose notified bytheEuropean Community pursuant toArticle 2oftheATC.G/TMB/N/252
Page9
4. India shallendeavour toensure thatexports oftextile products subject toquantitative limits
intotheCommunity arespaced outasevenly aspossible overtheyeardueaccount being taken in
particular ofseasonal factors."
Article 16
"1. Savewhere itisotherwise provided forinthisAgreement, thespecial consultation procedures
referred tointhisAgreement shallbegoverned bythefollowing rules:
- Anyrequest forconsultations shallbenotified inwriting totheother party;
- therequest forconsultations shallbefollowed within areasonable period (andinany
casenotlaterthan15daysfollowing thenotification) byastatement setting outthe
reasons andcircumstances which, intheopinion oftherequesting Party, justify the
submission ofsucharequest;
- theParties shallenter intoconsultations within onemonth atthelatest ofnotification
oftherequest, withaviewtoreaching agreement oramutually acceptable conclusion
within onefurther month atthelatest.G/TMB/N/252
Page10
PROTOCOL A
TITLE I
Classification
Article 1
1. Thecompetent authorities oftheCommunity undertake toinform India ofanychanges inthe
tariff andstatistical nomenclatures before thedateoftheirentry intoeffect intheCommunity.
2. Thecompetent authorities oftheCommunity undertake toinform Indiaofanydecisions relating
totheclassification ofproducts subject totheAgreement within onemonth oftheiradoption atthe
latest. 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 totheAgreement, thecompetent authorities oftheCommunity shall
provide 30days'notice, fromthedateoftheCommunity 'scommunication, before thedecision isput
intoeffect. Products shipped before thedateofapplication ofthedecision shallremain subject tothe
earlier classification practice, provided thatthegoods inquestion arepresented forimportation into
theCommunity within 60daysofthatdate.
4. Where aCommunity decision onclassification resulting inachange ofclassification practice
orachange ofcategorization ofanyproduct subject totheAgreement affects acategory subject to
restraint, thetwoParties agree toenterintoconsultations inaccordance withtheprocedures described
inArticle 16(1) oftheAgreement withaviewtohonouring theobligation under thesecond subparagraph
ofArticle 10(3) oftheAgreement.
TITLE II
Origin
Article 2
1. Products originating inIndiaforexport totheCommunity inaccordance withthearrangements
established bythisAgreement shallbeaccompanied byacertificate ofIndian origin conforming to
themodel annexed tothisProtocol.
2. Thecertificate oforigin shallbeissued bythecompetent governmental authorities ofIndia
iftheproducts inquestion canbeconsidered products originating inthatcountry within themeaning
oftherelevant rules inforce intheCommunity.
3. However, theproducts inGroup IIImaybeimported intotheCommunity inaccordance with
thearrangements established bythisAgreement onproduction ofadeclaration bytheexporter onthe
invoice orother commercial document relating totheproducts totheeffect thattheproducts inquestion
originate inIndia within themeaning oftherelevant rules inforce intheCommunity.G/TMB/N/252
Page11
4. Thecertificate oforigin referred toinparagraph 1shallnotberequired forimport ofgoods
covered byacertificate oforigin Form AorForm APR completed inaccordance withtherelevant
Community rules inorder toqualify forgeneralized tariff preferences.
Article 3
Where different criteria fordetermining origin arelaiddown forproducts falling within the
same category, certificates ordeclarations oforigin willbring outthese criteria.
Article 4
Thediscovery ofslight discrepancies between thestatements made inthecertificate oforigin
andthose made inthedocuments produced tothecustoms office forthepurpose ofcarrying outthe
formalities forimporting theproduct shallnotipsofactodoubt uponthestatements inthecertificate.
TITLE III
Double-Checking System forCategories ofProducts With Quantitative Limits
Section I
Exportation
Article 5
Thecompetent authorities ofIndiashallissueanexport certificate inrespect ofallconsignments
from India oftextile products referred toinAnnex II6uptotherelevant quantitative limits asmay
bemodified byArticles 77,138and149oftheAgreement andoftextile products subject toanydefinitive
orprovisional quantitative limits established asaresult oftheapplication ofArticle 810oftheAgreement.
Article 6
"1. Theexport licence shallconform tothemodel annexed tothisProtocol anditshallbevalid
forexports throughout thecustoms territory towhich theTreaty establishing theEuropean Economic
Community isapplied. However, where theCommunity hasmade recourse totheprovisions of
Article 811inaccordance with theprovisions oftheAgreed Minute No.1,ortotheAgreed
Minute No.2,thetextile products covered bytheexport licences canonlybeputintofreecirculation
intheregion(s) oftheCommunity indicated inthose certificates."
6These limits arethose notified bytheEuropean Community pursuant toArticle 2oftheATC.
7TheseprovisionsrelatetoflexibilitiesandhavebeennotifiedbytheEuropeanCommunitypursuanttoArticle2
oftheATC.
8Thisprovision related toproratacalculations intheevent ofdenunciation oftheAgreement.
9Thisprovision concerned asystem ofregional shares.
10Thisprovision related toa"basket exit" mechanism.
11Thisprovision related toa"basket exit" mechanism.G/TMB/N/252
Page12
Itmustcertify interaliathatthequantity oftheproduct inquestion hasbeensetoffagainst
thequantitative limitprescribed forthecategory oftheproduct inquestion.
2. Each export certificate shallonlycover oneofthecategories ofproducts listed inAnnex II12
ofthisAgreement. Itmaybeusedforoneormore consignments oftheproducts inquestion.
3. Where theconversion rateprovided forinAnnex II13isapplied thefollowing notemust be
inserted inbox9oftheexport licence: "conversion rateforgarments ofacommercial sizenotexceeding
130cm.istobeapplied".
Article 7
Thecompetent Community authorities mustbenotified forthwith ofthewithdrawal oralteration
ofanyexport certificate already issued.
Article 8
1. Exports shallbesetoffagainst thequantitative limits established fortheyearinwhich shipment
ofthegoods hasbeeneffected, eveniftheexport certificate isissued aftersuchshipment.
2. Forthepurpose ofapplying paragraph 1,shipment ofthegoods isconsidered tohavetaken
place onthedateoftheirloading ontotheexporting aircraft, vehicle orvessel.
Article 9
Thepresentation ofanexport certificate, pursuant toArticle 11,shallbeeffected notlater
than31March oftheyearfollowing thatinwhich thegoods covered bythecertificate havebeenshipped.
Section II
Importation
Article 10
Importation intotheCommunity oftextile products subject toquantitative limits shallbesubject
tothepresentation ofanimport authorization ordocument.
Article 11
1. Thecompetent Community authorities shallissuetheimport authorization ordocument referred
toinArticle 10automatically within fiveworking daysofthepresentation bytheimporter oftheoriginal
ofthecorresponding export certificate.
"Theimport authorizations shallbevalidforsixmonths fromthedateoftheirissueforimports
throughout thecustoms territory towhich theTreaty establishing theEuropean Economic
Community isapplied. However, where theCommunity hasrecourse totheprovisions of
12These limits arethose notified bytheEuropean Community pursuant toArticle 2oftheATC.
13These limits arethose notified bytheEuropean Community pursuant toArticle 2oftheATC.G/TMB/N/252
Page13
Article 814inaccordance withtheprovisions oftheAgreed Minute No.1,ortotheAgreed
Minute No.2,theproducts covered bytheimport licences canonlybeputintofreecirculation
intheregion(s) oftheCommunity indicated inthose licences."
2. Thecompetent Community authorities shallcancel thealready issued import authorization or
document ifthecorresponding export certificate hasbeenwithdrawn.
However, ifthecompetent Community authorities arenotified about thewithdrawal, or
cancellation oftheexport certificate onlyaftertheproducts havebeenimported intotheCommunity,
thequantities involved shallbesetoffagainst thequantitative limitforthecategory andthequota year
inquestion.
Article 12
1. IfthecompetentCommunityauthoritiesfindthatthetotalquantitiescoveredbyexportcertificates
issued byIndiaforaparticular category inanyAgreement yearexceed thequantitative limitestablished
inAnnex IIforthatcategory, asmaybemodified byArticles 715,1316and1417oftheAgreement,
oranydefinitive orprovisional limitestablished under Article 818oftheAgreement, thesaidauthorities
maysuspend thefurther issue ofimport authorizations ordocuments. Inthisevent, thecompetent
Community authorities shallimmediately inform theauthorities ofIndia andthespecial consultation
procedure setoutinArticle 16oftheAgreement shallbeinitiated forthwith.
2. Exports ofproducts ofIndian origin subject toquantitative limits notcovered byIndian export
certificates issued inaccordance withtheprovisions ofthisProtocol mayberefused theissueofimport
authorizations ordocuments bythecompetent Community authorities.
However, iftheimport ofsuchproducts isallowed intotheCommunity bythecompetent
Community authorities, thequantities involved shallnotbesetoffagainst theappropriate quantitative
limits setoutinAnnex II19orestablished asaresult oftheapplication ofArticle 820oftheAgreement,
without theexpress agreement ofIndia, saveasprovided forinArticle 11oftheAgreement.
14Thisprovision isrelated toa"basket exit" mechanism.
15These provisions relate toflexibilities andhave been notified bytheEuropean Community pursuant to
Article 2oftheATC.
16Thisprovision related toproratacalculations intheevent ofdenunciation oftheAgreement.
17Thisprovision concerned asystem ofregional shares.
18Thisprovision related toa"basket exit" mechanism.
19These limits arethose notified bytheEuropean Community pursuant toArticle 2oftheATC.
20Thisprovision related toa"basket exit" mechanism.G/TMB/N/252
Page14
TITLE IV
Form andProduction ofExport Certificates and
Certificates ofOrigin, andCommon Provisions
Article 13
1. Theexport certificate andthecertificate oforigin maycomprise additional copies dulyindicated
assuch. They shallbemade outinEnglish orFrench. Iftheyarecompleted byhand, entries must
beinkandinblock capitals. Where theexport certificate andthecertificate oforigin areissued at
thesame time, thecertificate oforigin maybeacarbon copyoftheexport certificate.
These documents shallmeasure 210x297mm. Thepaper usedmustbewhite writing paper,
sized, notcontaining mechanical pulpandweighing notlessthan25g/m2.Eachpartshallhaveaprinted
guilloche-pattern background making anyfalsification bymechanical orchemical means apparent to
theeye.
Ifthedocuments haveseveral copies onlythetopcopywhich istheoriginal shallbeprinted
withtheguilloche-pattern background. Thiscopyshallbeclearly marked as"original" andtheother
copies as"copy". Onlytheoriginal shallbeaccepted bythecompetent authorities intheCommunity
asbeing valid forthepurposes ofexport totheCommunity inaccordance withthearrangements
established bythisAgreement.
2. Eachexportcertificateandcertificateoforiginshallbearaserialnumber,whetherornotprinted,
bywhich itcanbeidentified.
Thisnumber fortheexport certificate shallbestandardized andcomposed ofthefollowing
elements:
- Twoletters identifying India asfollows: IN,
"- 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.seven for1987;
- atwo-digit number running consecutively from01to99identifying theissuing office
inIndia;G/TMB/N/252
Page15
"- afive-digit number running consecutively from00001 to99999 allocated totheintended
member State ofcustoms clearance."
Article 14
Theexport certificate andcertificate oforigin maybeissued aftertheshipment oftheproducts
towhich theyrelate. Insuchcases theyshallbeareither theendorsement "délivré aposteriori" or
theendorsement "issued retrospectively".
Article 15
1. Intheevent oftheft, lossordestruction ofanexport certificate oracertificate oforigin, the
exporter mayapply tothecompetent governmental authority which issued thedocument foraduplicate
tobemade outonthebasis oftheexport documents inhispossession. Theduplicate ofanysuch
certificate soissued shallbeartheendorsement "duplicata".
2. Theduplicate must bearthedateoftheoriginal export certificate orcertificate oforigin.
TITLE V
Administrative Cooperation
Article 16
TheCommunity andIndia shallcooperate closely toimplement theAgreement. Tothisend,
contacts andexchanges ofviews (including ontechnical matters) shallbefacilitated bybothParties,
inparticular toestablish theauthenticity andaccuracy ofdocumentation required under theprovisions
oftheAgreement.
Article 17
India shallsendtheCommission oftheEuropean Communities thenames andaddresses of
thegovernmentalauthoritiescompetentfortheissueandverificationofexportcertificatesandcertificates
oforigin together withspecimens ofthestamps usedbythese authorities. India shallalsonotify the
Commission ofanychange inthisinformation.
Article 18
1. Subsequent verification ofdocumentation required under theAgreement shallbecarried out
atrandom, orwhenever thecompetent authorities ofeither Party havereasonable doubt astothe
authenticity oraccuracy ofsuchdocumentation.
2. Insuchcases thecompetent authorities shallmake available relevant documentation oracopy
thereof tothecompetent governmental authority oftheother Party, giving thereasons ofform or
substance foranenquiry. Iftheinvoice hasbeensubmitted, suchinvoice oracopythereof shallbe
attached totherelevant document(s) oritscopy. Theauthorities shallalsoforward anyinformation
thathasbeenobtained suggesting thattheparticulars given onthesaiddocumentation areinaccurate.
3. Theresults ofthesubsequent verifications carried outinaccordance withparagraphs 1and
2shallbecommunicated tothecompetent authorities oftheother Party within three months atthe
latest together withanyother pertinent information.G/TMB/N/252
Page16
Should suchverifications reveal systematic irregularities intheuseofdeclarations oforigin,
theCommunity maysubject imports oftheproducts inquestion totheprovisions ofArticle 2(1)of
thisProtocol.
4. Forthepurpose ofsubsequent verification ofcertificates oforigin, copies ofthecertificates
aswellasanyexport documents referring tothem shallbekeptforaperiod ofatleasttwoyears by
thecompetent governmental authority inIndia.
5. Recourse totherandom verification procedure specified inthisArticle mustnotconstitute an
obstacle totherelease forhome useoftheproducts inquestion.
Article 19
1. Where theverification procedure referred toinArticle 18orwhere information available to
theCommunity ortoIndiaindicates thattheprovisions ofthisAgreement arebeing contravened, both
Parties shallcooperate closely andwithappropriate urgency toprevent suchcontravention.
2. Tothisendappropriate enquiries shallbecarried out,ifnecessary, concerning operations which
areorappear tobeincontravention oftheAgreement. Theresults ofthese enquiries shall be
communicated together withother pertinent information.
3. Subject toagreement between theCommunity andIndia, officials designated bytheCommunity
maycooperate withtheauthorities designated byIndia intheenquiries referred toinparagraph 2.
4. Pursuant tothecooperation referred toparagraph 1,India andtheCommunity shallexchange
anyinformation considered byeither party tobeofuseinpreventing thecontravention oftheprovisions
oftheAgreement. These exchanges mayinclude information ontextile production inIndia andon
trade intextile products ofakindcovered bythisAgreement between India andother countries,
particularly where theCommunity hasreasonable grounds toconsider thattheproducts inquestion
maybeintransit across theterritory ofIndia prior totheirimportation intotheCommunity. This
information mayinclude attherequest oftheCommunity copies ofallrelevant documentation.
5. Where itisestablished thattheprovisions ofthisAgreement havebeencontravened, India
andtheCommunity mayagree totakesuchmeasures asarenecessary toprevent arecurrence ofsuch
contravention.G/TMB/N/252
Page17
ANNEX TOPROTOCOL A,ARTICLE 2(1) Appendix III
1.Exporter (name, fulladdress, country)
Exportateur (nom, adresse complète, pays)ORIGINAL 2.No.
3.Quota year
Année contingentaire4.Category number
Numéro decategorie
5.Consignee (name, fulladdress, country)
Destinataire (nom, adresse complète, pays)CERTIFICATE OFORIGIN
(Textile products)
______________________________
CERTIFICAT D'ORIGINE
(Produits textiles)
6.Country oforigin
Paysd'origine7.Country ofdestination
Paysdedestination
8.Place anddateofshipment -Means oftransport
Lieuetdated'embarquement -Moyen detransport9.Supplementary details
Données supplémentaires
10.Marks andnumbers -Number andkindofpackages -DESCRIPTION OFGOODS
Marques etnuméros -Nombre etnature descolis-DESIGNATION DESMARCHANDISES11.Quantity1
Quantité112.F.o.b. value2
Valeur f.o.b.2
13.CERTIFICATION BYTHE COMPETENT AUTHORITY/VISA DEL'AUTORITE COMPETENTE
I,theundersigned, certify thatthegoods described above originated inthecountry shown inboxNo.6,inaccordance withthe
provisions inforce intheEuropean Community.
Jesoussigné certifie quelesmarchandises désignées ci-dessus sontoriginaires dupaysfigurant danslacase6,conformément
auxdispositions envigeur danslaCommunauté européenne.
14.Competent authority (name, fulladdress, country)
Autorité compétente (nom, adresse complète, pays) At/A .................................. On/le .............................
(Signature) (Stamp -Cachet)
1Show theweight (kg.) andalsoquantity intheunitprescribed forcategory where other thannetweight/Indiquer lepoids netenkilogrammes ainsique
laquantité dansl'unité prévue pourlacatégorie sicetteunité n'estpaslepoids net.
2Inthecurrency ofthesalecontract/Dans lamonnaie ducontrat devente.G/TMB/N/252
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ANNEX TOPROTOCOL A,ARTICLE 7(1) Appendix IV
1.Exporter (name, fulladdress, country)
Exportateur (nom, adresse complète, pays)ORIGINAL 2.No.
3.Quota year
Année contingentaire4.Category number
Numéro decatégorie
5.Consignee (name, fulladdress, country)
Destinataire (nom, adresse complète, pays)EXPORT LICENCE
(Textile products)
______________________________
LICENCE D'EXPORTATION
(Produits textiles)
6.Country oforigin
Paysd'origine7.Country ofdestination
Paysdedestination
8.Place anddateofshipment -Means oftransport
Lieuetdated'embarquement -Moyen detransport9.Supplementary details
Données supplémentaires
10.Marks andnumbers -Number andkindofpackages -DESCRIPTION OFGOODS
Marques etnuméros -Nombre etnature descolis-DESIGNATION DESMARCHANDISES11.Quantity1
Quantité112F.o.b. value2
Valeur f.o.b.2
13.CERTIFICATION BYTHE COMPETENT AUTHORITY/VISA DEL'AUTORITE COMPETENTE
I,theundersigned, certify thatthegoods described above havebeencharged against thequantitative limitestablished forthe
yearshown inboxNo.3inrespect ofthecategory shown inboxNo.4bytheprovisions regulating trade intextile products
withtheEuropean Community.
Jesoussigné certifie quelesmarchandises désignées ci-dessus ontétéimputées surlalimite quantitative fixée pourl'année
indiquée danslacase3pourlacatégorie désignée danslacase4danslecadre desdispositions régissant leséchanges de
produits textiles aveclaCommunauté européenne.
14.Competent authority (name, fulladdress, country)
Autorité compétente (nom, adresse complète, pays) At/A .................................. On/le .............................
(Signature) (Stamp -Cachet)
1Show theweight (kg.) andalsoquantity intheunitprescribed forcategory where other thannetweight/Indiquer lepoids netenkilogrammes ainsique
laquantité dansl'unité prévue pourlacatégorie sicetteunité n'estpaslepoids net.
2Inthecurrency ofthesalecontract/Dans lamonnaie ducontrat devente.G/TMB/N/252
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PROTOCOL B
1. Theexemption provided forinArticle 5oftheAgreement inrespect ofcottage industry products
shallapply onlytothefollowing products:
(a) Fabrics woven onhand- orfoot-operated looms inthecottage industry ofIndia;
(b) hand-made textile products made inthecottage industry ofIndia fromfabrics referred
toin(a)above;
(c) hand-made garments made inthecottage industry ofIndia from fabrics referred to
in(a);
(d) traditional folklore textile products ofIndia made inthecottage industry ofIndia as
defined inthelistagreed between bothParties andannexed tothisProtocol.
2. Exemption shall begranted onlyforproducts accompanied byacertificate issued bythe
competent Indian authorities inaccordance withthespecimen annexed tothisProtocol. Suchcertificates
shallstatetheground onwhich exemption isbased. Certificates covering theproducts referred to
inparagraph (d)shallbearaconspicuous stamp "FOLKLORE".
3. Theprovisions ofTitleIVandVofProtocol Ashallapply "mutatis mutandis "totheproducts
referred toinparagraph 1ofthisProtocol.
4. Theapplication oftheprovisions ofArticle 5oftheAgreement withrespect totheproducts
referred toinparagraph 1(c)ofthisProtocol issubject tothearrangements setoutinAgreed
Minute No.7.G/TMB/N/252
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AGREED LIST OFTRADITIONAL FOLKLORE HANDICRAFT PRODUCTS ININDIA
Indian items aretraditional folklore handicraft textile products, uniquely andhistorically Indian,
made inthecottage industry. They cover theproducts enumerated below (clothes andclothing
accessories, decorative furnishings) andsuchother items asmaybeagreed upon from timetotime.
I.Clothes andClothing Accessories
Allthegarments andaccessories listed below areuniquely andhistorically Indian traditional
folklore textile products onaccount oftheirsimilarity inshape anddesign withthose ofclothes and
accessories traditionally worn inIndia.
Theproducts listed below must havethefollowing characteristics:
- They areproduced incottage industry units;
- theydonotinclude zipfasteners;
- theyareornamented inthecharacteristic Indian folkstyles, using anyoneormore
ofthefollowing methods: thegarments called Churidar Pyjama, Salwar andGararra
neednotbeornamented;
- hand-painting orhand-printing orhand-decoration, orhandicraft batik orhandicraft
tieanddyeorkalamkari;
- embroidery orcrocheted ornamentation;
- appliqué work ofsequins, glassorwooden beads, shells, mirrors orornamental motifs
oftextile;
- extra-weft orextra-warp ornamentation.
No. Name Description
1 KURTA Aloose, almost straight-cut shirtortunic-like garment,
reaching tothehips, mid-thighs, knees orankles with
quarter, halforfull-length narrow orloose sleeves,
withorwithout buttons (notplain)
2 PHERRON Ashort orfull-length, extremely loose-fitting dress
withlong, loose sleeves, without buttons, embroidered,
ornamented orprinted
3 CHOLA Afull-length, loose fitting dress-like garment with
sleeves, mainly forindoor wear
4 CHURIDAR PYJAMA Trousers, loose atwaist (with drawstring orhooks)
tapering toanarrow fitattheankle
5 SALWAR Loose-fitting trousers, legseither straight orbaggy with
extra fullness atthethighsG/TMB/N/252
Page21
No. Name Description
6 GARARRA Loose-fitting trousers withfrills orflaring below the
knee
7 TAMBA Loose-fitting trousers with typical Indian hand
ornamentation
8 LUNGI Alongcylindrical garment worn asawrap around the
lower halfofthebody
9 ANGHARKA Afull-length, light-weight coat-like garment closing in
front withadecorative cordorribbon, withsleeves
10 BAGAL BANDINI Aknee-length orfull-length jacket orcoat-like garment
closing atthesidewithstrings, withhalfsleeves or
without sleeves
11 ABA Afull-length dress withclose-fitting bodice, long, wide
skirt, withsleeves
12 BURKA Afull-length cape-like garment, covering thewearer 's
head andbody, withaperture foreyescovered with
gauze orlace
13 JAWAHAR JACKET Aloose-fitting jacket orwaistcoat worn overakurta,
withorwithout buttons
14 CHOLI Ashort bodice withorwithout sleeves crocheted or
woven
15 GHAGRA LAHNGA Anankle-length, very wide skirt withdrawstring or
hooks atwaist
16 PAVADAI Asetmade ofafullorankle-length skirtandabodice
17 DUPATTA Avery light woven scarf about 120x80cm.worn
withkurta andchuridar
18 ODHANI Acloth about 2x1m.withmuch ornamentation
19 PATKA Alongstole, non-printed, ornamented withartwork
20 GULU BAND Neckband withtraditional artwork
21 KAMAR BAND Decorated waistband andtextile belt
22 BAZU BAND Decorative armband
23 MATHAPATI Decorative forehead band
24 SAFA Headwear made upoftraditional printed orembroidery
work
25 TORAN Atextile article, traditionally used todecorate
doorpost, embroidered orwithappliqué work infolk
motifsG/TMB/N/252
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No. Name Description
26 TOMBAI Cylindrical hanging with appliqué work ofhand-
printed, hand-painted orhand-embroidered fabrics,
traditionally hung from ceilings orindoorways
27 SHAMIANA Canopy orawning withappliqué work ofsquares or
triangles incontrasting colours, used asaceiling
decoration
28 KALAMKARI Wall-hangings with mythological scenes depicted by
hand-painting orhand-printing using wax
29 TEMPLE HANGINGS Hand-painted orhand-printed hangings withtraditional
mythological orreligious motifs
30 CHAKLA Embroidered wall-hangings, with orwithout mirror
work, depicting folkmotifs
31 BATIK WALL PIECES Wall hangings ofcotton, withdesigns created bythe
traditional handicraft batik process (hand-waxing,
dyeing andboiling being repeated foreachcolour)
32 CHAHDANI POSH Adecorative cover forateapot orcoffee-pot
33 TAKIAGILAF Acushion cover decorated withIndian motifs
34 PHULKARI Decorative embroidered cloth withclose darning stitch
employed with strands ofuntwisted silktomake
flower-like embroideries
35 GODDIPOSH Decorative version ofthebedspread, sometimes quilted
36 HAND-KNOTTED
CARPETSHaving woollen orcotton warp andweftandawoollen
knotted pile,ofwhich eachknotorloopismade by
hand andjoins twowarp threads. After eachrowof
knots iscompleted, aweftthread ispassed through the
warp. Thepileissubsequently shorn byhand togive
thecarpet thedesired thickness. Thetraditional
patterns usedarecommon toIndia andneighbouring
regions ofsouth andcentral Asia, andusually consist
ofstylized floral, animal andgeometrical motifs, in
either asingle design orrepeated several times within
aborder. Carpets with traditional pictorial designs
(e.g.court, hunting, polo, jungle scenes, etc.), modern
designs withIndian motifs fromancient monuments and
murals, andcarpets inasingle colour, without pattern,
arealsoproduced byhandinIndia
37 HANDWOVEN CARPETS Ofthe"Kelem", "Schumak" and"Karamanie" types
38 GABBA Floor-coverings produced byhand-embroidery orby
appliqué work onabaseconsisting ofwoven wool, felt
orjute,withorwithout acotton backingG/TMB/N/252
Page23
No. Name Description
39 NAMDAS Afloor covering withfelted woollen surface withor
without traditional embroideries invarious shapes and
sizesG/TMB/N/252
Page24
ANNEX TOPROTOCOL B Appendix V
1.Exporter (name, fulladdress, country)
Exportateur (nom, adresse complète, pays)ORIGINAL 2.No.
CERTIFICATE inregard toHANDLOOMS, TEXTILE
HANDICRAFTS andTRADITIONAL TEXTILE PRODUCTS,
OFTHE COTTAGE INDUSTRY, issued inconformity withand
under theconditions regulating trade intextile products withthe
European Community
_______________________
CERTIFICAT relatif auxTISSUE, TISSÉS SUR MÉTIERS À
MAIN, auxPRODUITS TEXTILES FAITS ÀLAMAIN, etaux
PRODUITSTEXTILESRELEVANTDUFOLKLORE
TRADITIONNEL, DEFABRICATION ARTISANALE, délivré
enconformité avecetsouslesconditions régissant leséchanges de
produits textiles aveclaCommunauté européenne3Consignee (name, fulladdress, country)
Destinataire (nom, adresse complète, pays)4.Country oforigin
Paysd'origine5.Country ofdestination
Paysdedestination
6.Place anddateofshipment -Means oftransport
Lieuetdated'embarquement -Moyen detransport7.Supplementary details
Données supplémentaires
8.Marks andnumbers -Number andkindofpackages -DESCRIPTION OFGOODS
Marques etnuméros -Nombre etnature descolis-DESIGNATION DESMARCHANDISES9.Quantity
Quantité10.F.o.b. value1
Valeur f.o.b.1
11.CERTIFICATION BYTHE COMPETENT AUTHORITY/VISA DEL'AUTORITE COMPETENTE
I,theundersigned, certify thattheconsignment described above includes onlythefollowing textile products ofthecottage
industry ofthecountry shown inboxNo.4:
(a)fabrics woven onlooms operated solely byhand orfoot(handlooms)2;
(b)garments orother textile articles obtained manually from thefabrics described under (a)andsewn solely byhand without
theaidofanymachine (handicrafts)2;
(c)traditional folklore handicraft textile products made byhand, asdefined inthelistagreed between theEuropean Community
andthecountry shown inboxNo.4.
Jesoussigné certifie quel'envoi décrit ci-dessus conient exclusivement lesproduits textiles suivants relevant delafabrication
artisanale dupaysfigurant danslacase4:
a)tissus tissés surdesmétiers actionnés àlamain ouaupied(handlooms)2;
b)vètements ouautres articles textiles obtenus manuellement àpartir detissus décrits sousa)etcousus uniquement àlamain
sansl'aided'unemachine (handicrafts)2;
c)produits textiles relevant dufolklore traditionnel fabriqués àlamain, comme définis danslalisteconvenue entre la
Communauté européenne etlepaysindiqué danslacase4.
12Competent authority (name, fulladdress, country)
Autorité compétente (nom, adresse complète, pays) At/A .................................. On/le .............................
(Signature) (Stamp -Cachet)
1Inthecurrency ofthesalecontract/Dans lamonnaie ducontrat devente.
2Delete asappropriate/Biffer la(les)mention(s) inutile(s).G/TMB/N/252
Page25
AGREED MINUTE NO.2
Notwithstanding Article 12,paragraph 1ofthisAgreement, forimperative technical or
administrative reasons ortofindasolution toeconomic problems resulting fromregional concentration
ofimports, orinorder tocombat circumvention andfraud oftheprovisions ofthisAgreement, the
Community willestablish foralimited period oftimeaspecific management system inconformity
withtheprinciples oftheInternal Market.
However, iftheParties areunable toreach asatisfactory solution during theconsultations
provided forinArticle 12,paragraph 3,Indiaundertakes, ifsorequested bytheCommunity, torespect
temporary export limits foroneormore ofitsregions oftheCommunity. Insuchacase,these limits
shallnotpreclude theimportation intotheregion(s) concerned ofproducts which wereshipped from
India onthebasis ofexport certificates obtained before thedateofformal notification toIndia bythe
Community about theintroduction oftheabove limits.
TheCommunity shallinform Indiaofthetechnical andadministrative measures, suchasdefined
intheattached Note Verbale, thatneedtobeintroduced bybothParties inorder toimplement the
above paragraphs inconformity withtheprinciples oftheInternal Market.
FortheGovernment ofthe FortheCouncil ofthe
Republic ofIndia European Economic CommunityG/TMB/N/252
Page26
AGREED MINUTE NO.3
Inthecontext oftheAgreement between theEuropean Economic Community andtheRepublic
ofIndia ontrade intextiles andclothing products, initialled inBrussels on18December 1992, the
Parties agreed thatIndia shallendeavour nottodeprive certain regions oftheCommunity which have
traditionally hadrelatively small shares ofCommunity quotas ofimports ofproducts serving asinputs
fortheirprocessing industry.
TheCommunity andIndia further agreed toholdconsultations, should theneedarise, inorder
toavert anyproblems which might occur inthisrespect.
TheParties agreed thatthisAgreed Minute replaces thecorresponding Exchange ofLetters
oftheAgreement onthissubject.
FortheGovernment ofthe FortheCouncil ofthe
Republic ofIndia European Economic CommunityG/TMB/N/252
Page27
AGREED MINUTE NO.4
Inthecontext oftheAgreement between theEuropean Economic Community andtheRepublic
ofIndia ontrade intextiles andclothing products, applied since 1January 1987, asextended bythe
Exchange ofLetters initialled on15December 1991andfurther extended bytheExchange ofLetters
initialled on18December 1992, India agreed that,from thedateofrequest forandpending the
consultations referred toinArticle 12,paragraph 3,itshallcooperate bynotissuing export certificates
thatwould further aggravate theproblems resulting fromtheregional concentration ofdirect imports
intotheCommunity.
FortheGovernment ofthe FortheCouncil ofthe
Republic ofIndia European Economic CommunityG/TMB/N/252
Page28
NOTE VERBALE
TheDirectorate-GeneralforExternalRelationsoftheCommissionoftheEuropeanCommunities
presents itscompliments totheMission oftheRepublic ofIndia totheEuropean Communities and
hasthehonour torefertotheAgreement ontextile products negotiated between theRepublic ofIndia
andtheCommunity applied since 1January 1987, asextended bytheExchange ofLetters initialled
on16December 1991 andasfurther extended bytheExchange ofLetters of18December 1992.
TheDirectorate-General wishes toinform theMission oftheRepublic ofIndia thatthe
Community hasdecided toapply, starting from1January 1993, theprovisions ofparagraph 1ofAgreed
Minute No.2totheExchange ofLetters initialled on18December 1992. Consequently, the
corresponding provisions ofArticles 6and11ofProtocol AtotheAgreement shallalsobeapplied
asoftheabove date.
TheDirectorate-General forExternal Relations avails itself ofthisopportunity torenew to
theMission oftheRepublic ofIndia totheEuropean Communities theassurance ofitshighest
consideration.