AGREEMENT

in the form of an Exchange of Letters between the European Economic Community and the Republic of Finland concerning trade in certain wines and spirituous beverages

A. Letter from the Community

Brussels, . . . . . .

Sir,

I have the honour to refer to the consultations held between the European Economic Community and the Republic of Finland concerning mutual trade in certain wines and spirituous beverages. In view of the common interest of the Community and Finland in promoting, within the meaning of Article 15 of the Agreement between the European Economic Community and the Republic of Finland signed on 5 October 1973, the development of trade in this sector, the two parties have agreed to apply the following with effect from 1 January 1987:

1. For the wines and spirituous beverages in bottles indicated below, the import duties are established at the following levels:

(a) on importation into Finland

- White wine in bottles, originating in the Community, falling within subheading 22.05 B I a) of the Finnish Customs Tariff

free

- Port, Madeira wine, sherry and muscatel wine from Setubal, in bottles, falling within subheading 22.05 B II a) of the Finnish Customs Tariff

free

- Scotch whisky and Irish whiskey, in bottles, falling within subheading 22.09 D I b) of the Finnish Customs Tariff

Fmk 1,5/l

- Cognac in bottles, falling within subheadings 22.09 D I b) of the Finnish Customs Tariff

Fmk 2,5/l

(b) on importation into the Community

- Vodka in bottles (1), falling within subheadings 22.09 C IV a) and 22.09 C V a) of the Common Customs Tariff of the Community, originating in Finland and accompanied by an approved certificate of authenticity

1 ECU per hl (2)

2. The Government of the Republic of Finland will ensure that:

- the published price levels made available to the public by Alko Ltd faithfully reflect any reduction of the cost of importation resulting from the concessions stated above,

- Alko Ltd will include in its product assortment and retail price-list certain brands of 'Weinbrand' originating in the Community.

3. Consultations will be held at the request of either party on any question relating to the operation of this Agreement.

The two parties may, by mutual consent, alter it by reference in particular to the development in trade of the products concerned.

This Agreement may be terminated by a year's notice in writing given by either party, subject to consultations as indicated above.

I should be obliged if you would confirm that your Government is in agreement with the above.

Please accept, Sir, the assurance of my highest consideration.

On behalf of

the Council of the European Communities

EWG:L383UMBE22.95

FF: 7UEN; SETUP: 01; Hoehe: 507 mm; 55 Zeilen; 3461 Zeichen;

Bediener: MARK Pr.: C;

Kunde: ................................

31. 12. 86

Official Journal of the European Communities

B. Letter from Finland

Brussels, . . . . . .

Sir,

I have the honour to acknowledge receipt of your letter of today's date which reads as follows:

'I have the honour to refer to the consultations held between the European Economic Community and the Republic of Finland concerning mutual trade in certain wines and spirituous beverages. In view of the common interest of the Community and Finland in promoting, within the meaning of Article 15 of the Agreement between the European Economic Community and the Republic of Finland signed on 5 October 1973, the development of trade in this sector, the two parties have agreed to apply the following with effect from 1 January 1987:

1. For the wines and spirituous beverages in bottles indicated below, the import duties are established at the following levels:

(a) on importation into Finland

- White wine in bottles, originating in the Community, falling within subheading 22.05 B I a) of the Finnish Customs Tariff

free

- Port, Madeira wine, sherry and muscatel wine from Setubal, in bottles, falling within subheading 22.05 B II a) of the Finnish Customs Tariff

free

- Scotch whisky and Irish whiskey, in bottles, falling within subheading 22.09 D I b) of the Finnish Customs Tariff

Fmk 1,5/l

- Cognac in bottles, falling within subheadings 22.09 D I b) of the Finnish Customs Tariff

Fmk 2,5/l

(b) on importation into the Community

- Vodka in bottles (1), falling within subheadings 22.09 C IV a) and 22.09 C V a) of the Common Customs Tariff of the Community, originating in Finland and accompanied by an approved certificate of authenticity

1 ECU per hl (2)

2. The Government of the Republic of Finland will ensure that:

- the published price levels made available to the public by Alko Ltd faithfully reflect any reduction of the cost of importation resulting from the concessions stated above,

- Alko Ltd will include in its product assortment and retail price-list certain brands of ''Weinbrand'' originating in the Community.

3. Consultations will be held at the request of either party on any question relating to the operation of this Agreement.

The two parties may, by mutual consent, alter it by reference in particular to the development in trade of the products concerned.

This Agreement may be terminated by a year's notice in writing given by either party, subject to consultations as indicated above.

I should be obliged if you would confirm that your Government is in agreement with the above.

(1) For the purposes of this Agreement, vodka is defined in the following manner: vodka originating in Finland, with an alcoholic strength of 60 % vol or less, obtained exclusively by distillation of a fermented mash of cereals, corresponding to the provisions applicable in the Community or its Member States.

(2) This concession will be fully applied by Spain and Portugal at the end of the period of transition provided for in the 1985 Act of Accession. During the period of transition, the application of tariff reductions by Spain and Portugal will not lead to more favourable treatment being granted to Finland than to the other Member States of the Community.'

I have the honour to confirm that, subject to ratification, my Government is in agreement with the contents of your letter.

Please accept, Sir, the assurance of my highest consideration.

For the Government of

the Republic of Finland

EWG:L383UMBE23.94

FF: 7UEN; SETUP: 01; Hoehe: 507 mm; 56 Zeilen; 3501 Zeichen;

Bediener: MARK Pr.: A;

Kunde: ................................

(1) For the purposes of this Agreement, vodka is defined in the following manner: vodka originating in Finland, with an alcoholic strength of 60 % vol or less, obtained exclusively by distillation of a fermented mash of cereals, corresponding to the provisions applicable in the Community or its Member States.

(2) This concession will be fully applied by Spain and Portugal at the end of the period of transition provided for in the 1985 Act of Accession. During the period of transition, the application of tariff reductions by Spain and Portugal will not lead to more favourable treatment being granted to Finland than to the other Member States of the Community.