24.3.75 OfficialJournaloftheEuropeanCommunities NoL75/41
AGREEMENT
betweentheEuropeanEconomicCommunityandtheRepublicofIndiaonthesupply
ofcommonwheatasfoodaid
THECOUNCILOFTHEEUROPEAN COMMUNITIES ,
oftheonepart,
THEGOVERNMENT OFTHEREPUBLICOFINDIA,
oftheotherpart,
HAVEDECIDEDtoconcludethisAgreement,andtothisendhavedesignatedastheir
Plenipotentiaries:
THECOUNCILOFTHEEUROPEAN COMMUNITIES :
THEGOVERNMENT OFTHEREPUBLIC OFINDIA:
WHOHAVEAGREEDASFOLLOWS :
ArticleI
Aspartofitsfood-aidprogramme (cereals)for1973/
74,theEuropeanEconomicCommunity,hereinafter
referredtoasthe'Community',shallsupplythe
RepublicofIndia,hereinafterreferredtoasthe
'countryofdestination',bywayofgift,with30000
metrictonsofcommonwheat.playoffaircompetition .Anyproblemsarisingin
thisconnectionshallbethesubjectofconsultations
underArticleVIII.
ArticleIV
Thecountryofdestinationundertakestousethe
productreceivedasaidforpurposeofconsumption
andtoapply,forthesaleoftheproductonits
market,thepricesnormallychargedonthatmarket
forproductsofcomparablequality.
Theproceedsofthissale,evaluatedonalumpsum
basisbyagreementbetweentheCommunityandthe
countryofdestinationshallbeenteredasrevenuein
thebudgetofthecentralgovernmentofthatcountry
andusedforthefinancingofdevelopmentprojects
whichshallbecommunicated bythecountryof
destinationandwhichshallnotgiverisetoany
observationsonthepartoftheCommunity .
ArticleV
TheContractingPartiesundertaketoimplementthis
Agreementinsuchawayastoavoidanyprejudice
tothenormalstructureofdomesticproductionandArticleII
Deliverieswillbemadeinbulkfobinaccordance
withthedetailedrulessetoutintheAnnexwhich
formsanintegralpartofthisAgreement .
ArticleIII
Thecountryofdestinationundertakestomakeall
necessaryarrangements forthetransportand
insuranceoftheproductfrompointofdeliveryto
placesofdestination .
Itundertakestoexercisethegreatestpossiblecareto
ensurethatthetenderingarrangements forthe
transportbyseashallnotbeprejudicialtothefree

NoL75/42 OfficialJournaloftheEuropeanCommunities 24.3.75
quantityoftheproductdischargedandany
observations astothequality;dateonwhich
dischargewascompleted;costsofseatransport
andofinsurancerelatingthereto;
2.everythreemonthsuntilthequantitiesreceived
asaidhavebeenfullyused:quantitiessold,how
theyhavebeensold,sellingprices;normalselling
costsonthemarketofthecountryofdestination;
insurancecostsand,whereappropriate,transport
costsfromtheportofdischargetotheplacesof
destination;
3.on15Januaryeveryyearuntilcompletionofthe
developmentprojects:progressachievedinthe
projectorprojects,with,anindicationofthetotal
amountoffinancingcarriedoutatthatstage.internationaltrade.Tothisendtheyshalltakeany
measuresrequiredtoensurethataidsuppliesarein
additionto,anddonotreplace,commercial
transactionswhichmightreasonablybeexpectedin
theabsenceofsuchsupplies.
ArticleVI
Thecountryofdestinationshalltakeallappropriate
measurestoprevent:
—there-exportoftheproductreceivedasaidand
ofproductsandby-productsresultingfromsuch
supplies;
—theexport,commerciallyorotherwise,withinsix
monthsofthelastdelivery,eitheroflocal
produceofthesamenatureasthatreceivedas
aidorofanyproductsorby-productsresulting
fromit.
ArticleVII
Thecountryofdestinationundertakestoinformthe
Communityofthemodeofimplementation ofthis
Agreement .Tothisenditshallprovidethe
CommissionoftheEuropeanCommunitieswiththe
followinginformation :
1.immediatelyafterthedischargeofeachcargo:
portanddateofarrivalofvessel;natureandArticleVIII
Attherequestofeitherofthem,theContracting
Partiesshallconsulteachotheronanyquestions
concerningtheimplementation ofthisAgreement.
ArticleIX
ThisAgreementshallbedrawnupinduplicatein
theDanish,Dutch,English,French,Germanand
Italianlanguages,eachofthesetextsbeingauthentic.
ANNEX
DELIVERYANDACCEPTANCE PROCEDURES
CHAPTER I
Generalprovisions
Article1
Deliveryshallbeeffectedandallriskshallpassfromthe
Communitytothecountryofdestinationatthemoment
atwhichthegoodsareputdownatthepointof
exportationnamedbytheCommissionoftheEuropean
Communitiesattheberthspecifiedbythecountryof
destinationoritsagentreferredtoinArticle3andunder
thetermsspecifiedinthisAnnex."Withoutprejudiceto
Articles8and9theCommunityshallbearallcostsprior
todeliveryandthecountryofdestinationallcostsafter(
delivery.Article2
Ondeliveryofthegoods,atoleranceof5%>lessthan
thequantitytobesuppliedinaccordancewithArticleI
oftheAgreementispermitted.
Article3
Forthepurposeofimplementingtheprovisionsofthis
AnnextheCommunityshallappoint—ifnecessaryfor
eachconsignment—anagentwhosenameandaddressit
shallmakeknowntothecountryofdestination
immediatelyfollowinghisappointment .Foreachportof
shipmentthecountryofdestinationshallappointan
agentwhosenameandaddressitshallmakeknownto
theCommunitywithalldispatchandifpossiblebefore
theappointmentoftheagentoftheCommunity.

NoL75/4324.3.75 OfficialJournaloftheEuropeanCommunities
Article4
Beforeimplementingtheprocedureforappointingthe
agentoftheCommunityreferredtoinArticle3,the
CommissionoftheEuropeanCommunitiesandthe
countryofdestinationshallestablishbyjointagreement
theperiodduringwhichdeliverymustbegin.
CHAPTERII
ObligationsoftheCommunity
Article5
WheretheCommunityisnotinapositiontocarryout
deliveryonthedate,andifapplicable,accordingtothe
schedulelaiddowninArticle7,allcostsarisingforthe
countryofdestination—forexample,demurrage,void
freightanddeadfreight—shallbebornebythe
Community .
Thechargesandthearrangementsrelatingtodemurrage
laiddowninthecontractconcludedbetweenthecountry
ofdestinationandthecarriermusthavepreviouslybeen
agreedbythecountryofdestinationandtheagentofthe
Community .
Theothercostsreferredtointhefirstparagraphshallbe
refundedbytheCommunityonlyiftheyhavebeenpaid
bythecountryofdestinationwiththeapprovalofthe
Community.
Article6
WhereitisimpossiblefortheCommunitytosupplyall
orpartofthegoodsonthedateandwithinthetime
limitsprovidedforinArticle7,theagentsofthe
Communityandofthecountryofdestinationmay,
withoutprejudicetoArticled,agreeonanewdateanda
newtimelimitforthedeliveryofallthegoodsorofthe
undeliveredpartthereof.commencement ofdeliveryassoonasheknowsthem,if
possible20cleardaysinadvanceandinanycase10
cleardaysbeforethedateforcommencement ofdelivery.
HeshallestablishwiththeagentoftheCommunitythe
scheduleaccordingtowhichdeliveryshalltakeplace.
Article8
Wherethecountryofdestinationisunabletobegin
loadingonthedateprovidedforinthefirstparagraphof
Article7,theagentofthecountryofdestinationshall
informtheagentoftheCommunitywithoutdelay.
InthiseventtheagentsoftheCommunityandofthe
countryofdestinationmayagreeonanewdateforthe
commencement ofdeliveryand,ifapplicable,anew
schedule.Saveincasesofforcemajeure,thecostsarising
fromthedelayinloadingshallbebornebythecountry
ofdestination.
Shouldthenewdateprovidedforinthesecond
paragraphbemorethan30cleardaysafterthedatefor
loadingprovidedforinthefirstparagraphofArticle7,
theCommunitymaydisposeofthegoodswithout
prejudicetoitscommitmentunderArticleIofthis
Agreement .
Article9
Wherethequantityintendedforloadingonavessel
cannotbeloadedonboardinitsentirety,thecountryof
destinationshallinformtheCommunityassoonas
possible,andnolaterthan15cleardaysafterloading
hasbeencompleted,whetheritintendstoacceptorto
renouncethebalance.
Intheformercasethesecondandthirdparagraphsof
Article8shallapplytothebalance,ifdeliveryhasnot
yettakenplace.
InthelattercasetheCommunitymayconsiderthatithas
dischargeditscommitmenttothecountryofdestination
underArticleIofthisAgreementandshallbearthecosts
resultingfromrenunciation .
Inanyevent,afteranintervalof15cleardaysandinthe
absenceofanynoticeonthepartofthecountryof
destination,renunciationshallbedeemedtohavetaken
place.
Article10
Upondeliveryofthegoods,thecountryofdestination
shallhandovertotheauthorizedagentofthe
Communityacertificateofacceptancewhichshallset
outtheportofshipment,dateofacceptanceandthe
natureandquantityofthegoodsaccepted,togetherwith
anycommentsonthequalityofthegoods.Acopyofthe
certificateshallbesenttotheCommission ofthe
EuropeanCommunities .CHAPTERIII
Obligationsofthecountryofdestination
Article7
AftercontactingtheCommunity,thecountryof
destinationshallprocure,totransportallthequantities
providedforinArticleIoftheAgreement,oneormore
vesselsofdimensionscorresponding tothenormal
capacityoftheportofshipment;thesevesselsmustbe
readyforloadingonadatefallingwithintheperiod
referredtoinArticle4.
Theagentofthecountryofdestinationshallinformthe
Communityofthisdateandofthedatefor