NoL38/2 OfficialJournaloftheEuropeanCommunities 12.2.75
AGREEMENT
betweentheEuropeanEconomicCommunityandtheRepublicofthePhilip­
pinesonthesupplyofskimmed-milk powderasfoodaid
THECOUNCILOFTHEEUROPEAN COMMUNITIES ,
oftheonepart,
THEGOVERNMENT OFTHEREPUBLICOFTHEPHILIPPINES ,
oftheotherpart,
HAVEDECIDEDtoconcludethisAgreement,andtothisendhavedesignatedastheirPlenipotenti­
aries:
THECOUNCILOFTHEEUROPEAN COMMUNITIES :
f
THEGOVERNMENT OFTHEREPUBLIC OFTHEPHILIPPINES :
andtoapply,forthesaleoftheproductonitsmarket,
thepricesnormallychargedonthatmarketfor
productsofcomparablequality.
Theproceedsfromthissaleshallbepaidintoa
specialaccountatthecentralbankofthatcountryand
allocatedtothefinancingofoneormoredevelop­
mentschemesinaccordancewiththeproceduretobe
agreedbetweentherecipientcountryandtheCommu­
nity.WHOHAVEAGREEDASFOLLOWS :
ArticleI
TheEuropeanEconomicCommunity ,hereinafter
referredtoasthe'Community',shallsupplytheRepu­
blicofthePhilippines ,hereinafterreferredtoasthe
'countryofdestination',bywayofgift,with100
metrictonsofskimmed-milk powderofwhichthe
qualityandpackagingconditionsaresetoutinAnnex
IwhichformsanintegralpartofthisAgreement .
ArticleII
Deliverieswillbemadeinaccordance withthe
detailedrulessetoutinAnnexIIwhichformsaninte­
gralpartofthisAgreement .
ArticleIII
Thecountryofdestinationundertakestomakeall
necessaryarrangements forthetransportandinsur­
anceoftheproductfrompointofdeliverytoplacesof
destination .
Itundertakestoexercisethegreatestpossiblecareto
ensurethatthetenderingarrangements forthetrans­
portbyseashallnotbeprejudicialtothefreeplayof
faircompetition .Anyproblemsarisinginthisconnec­
tionshallbethesubjectofconsultationsunderArticle
VIII.
ArticleIV
Thecountryofdestinationundertakestousethe
productreceivedasaidforpurposesofconsumptionArticleV
TheContractingPartiesundertaketoimplementthis
Agreementinsuchawayastoavoidanyprejudiceto
thenormalstructureofdomesticproductionandinter­
nationaltrade.Tothisendtheyshalltakeany
measuresrequiredtoensurethataidsuppliesarein
additionto,anddonotreplace,commercialtransac­
tionswhichmightreasonablybeexpectedinthe
absenceofsuchsupplies.
ArticleVI
Thecountryofdestinationshalltakeallappropriate
measurestoprevent:
—there-exportoftheproductreceivedasaidandof
productsresultingfromsuchsupplies;

12.2.75 OfficialJournaloftheEuropeanCommunities NoL38/3
—theexport,commercially orotherwise,withinsix
monthsofthelastdelivery,eitheroflocalproduce
ofthesamenatureasthatreceivedasaidorofany
productsresultingfromit.
ArticleVII
Thecountryofdestinationundertakestoinformthe
Communityofthemodeofimplementation ofthis
Agreement .TothisenditshallprovidetheCommis­
sionoftheEuropeanCommunitieswiththefollowing
information :
1.immediatelyafterthedischargeofeachcargo:port
anddateofarrivalofvessel;natureandquantityof
theproductdischargedandanyobservationsasto
thequality;dateonwhichdischargewas
completed ;costsofseatransportandofinsurance
relatingthereto;
2.everythreemonthsuntilthequantitiesreceivedas
aidhavebeenfullyused:quantitiessold,howthey
havebeensold,sellingprices;normalsellingcosts
onthemarketofthecountryofdestination ;insur­ancecostsand,whereappropriate ,transportcosts
fromtheportofdischargetotheplacesofdestina­
tion;
3.on15Januaryeveryyearuntilthespecialaccount
hasbeenfullyused:
(a)stateofthisaccount(depositsandwithdrawals)
on31Decemberoftheprecedingyear;
(b)progressachievedintheprojectorprojects,
withanindicationofthetotalamountof
financingcarriedoutatthatstage.
ArticleVIII
Attherequestofeitherofthem,theContracting
Partiesshallconsulteachotheronanyquestions
concerningtheimplementation ofthisAgreement .
ArticleIX
ThisAgreementshallbedrawnupinduplicateinthe
Danish,Dutch,English,French,GermanandItalian
languages,eachofthesetextsbeingauthentic.

NoL38/4 OfficialJournaloftheEuropeanCommunities 12.2.75
ANNEXI
SKIMMED-MILK POWDER
QUALITYANDCONDITIONS OFPACKAGING
I.Qualityrequirements
(a)fatcontent:
(b)watercontent:
(c)totalacidity(lacticacid):
(d)testforneutralizingagents:
(e)permittedadditives :
(f)testforphosphatasis :
(g)solubility :
(h)degreeofpurity:
(i)germcontent:
(k)strengthofcolonbacillus:
(1)flavourandsmell:
(m)appearance :notexceeding 1-5%;
notexceeding4-0%;
notexceeding0-15%(18°Dornic);
negative;
none;
negative;
notexceeding0-5ml(notlessthan99%);
notlessthandiscB(15-0mg);
notexceeding50000/g;
negativein01g;
fresh;
whiteorslightlyyellowish,absenceof
impuritiesandcolouredparticles.
II.Packing
(a)containing25kgnetweight;
(b)composition :
(aa)four'Kraft'paperbagsofastrengthrepresentingatleast70g/m2;
oneintercalatedbagoftar-linedpaper'ofastrengthrepresentingatleast140g/m2;
onepolyethyleneinnerbagatleast0-06mmthick,weldedordouble-bound ;
or
(bb)onebagofclubpack-poly-duplo-paper ofastrengthrepresentingatleast50/20/50g/m2;
two'Kraft'paperbagsofastrengthrepresentingatleast70/75g/m2;
onepolyethyleneinnerbagatleast0.10mmthick,weldedordouble-bound ;
or
(cc)one'Kraft'paperbagofastrengthrepresentingatleast70g/m2;
one'Kraft'paperbagwithapolyethylenelayerofastrengthrepresentingatleast80g+
15g/m2;
three'Kraft'paperbagsofastrengthrepresentingatleast70g/m2;
onepolyethyleneinnerbagatleast0-06mmthick,weldedordouble-bound ;
(c)markingonthepacking(inEnglish):
SKIMMED-MILK POWDER—GIFTOFTHEEUROPEAN ECONOMIC COMMUNITY
TOTHEREPUBLIC OFTHEPHILIPPINES .

12.2.75 OfficialJournaloftheEuropeanCommunities NoL38/5
ANNEXII
DELIVERYANDACCEPTANCE PROCEDURES
providedforinArticle6,theagentsoftheCommunityand
ofthecountryofdestinationmay,withoutprejudiceto
Article4,agreepnanewdateandanewtimelimitforthe
deliveryofallthegoodsoroftheundeliveredpartthereof.
CHAPTERIII
ObligationsofthecountryofdestinationCHAPTER I
Generalprovisions
Article1
Deliveryshallbeeffectedandallriskshallpassfromthe
Communitytothecountryofdestinationatthemomentat
whichthegoodsareputdownatthepointofexportation
namedbytheCommissionoftheEuropeanCommunities at
theberthspecifiedbythecountryofdestinationoritsagent
referredtoinArticle2andunderthetermsspecifiedinthis
Annex.WithoutprejudicetoArticles7and8theCommu­
nityshallbearallcostspriortodeliveryandthecountryof
destinationallcostsafterdelivery.
Article2
Forthepurposeofimplementing theprovisionsofthis
AnnextheCommunityshallappoint—ifnecessaryforeach
consignment—anagentwhosenameandaddressitshall
makeknowntothecountryofdestinationimmediately
followinghisappointment .Foreachportofshipmentthe
countryofdestinationshallappointanagentwhosename
andaddressitshallmakeknowntotheCommunitywithall
dispatchandifpossiblebeforetheappointmentoftheagent
oftheCommunity .
Article3
Beforeimplementing theprocedureforappointingtheagent
oftheCommunityreferredtoinArticle2,theCommission
oftheEuropeanCommunitiesandthecountryofdestination
shallestablishbyjointagreementtheperiodduringwhich
deliverymustbegin.Article6
AftercontactingtheCommunity ,thecountryofdestination
shallprocure,totransportallthequantitiesprovidedforin
ArticleIoftheAgreement,oneormorevesselsofdimen­
sionscorresponding tothenormalcapacityoftheportof
shipment ;thesevesselsmustbereadyforloadingonadate
fallingwithintheperiodreferredtoinArticle3.
Theagentofthecountryofdestinationshallinformthe
Communityofthisdateandofthedateforcommencement
ofdeliveryassoonasheknowsthem,ifpossible20clear
daysinadvanceandinanycase10cleardaysbeforethedate
forcommencement ofdelivery.
HeshallestablishwiththeagentoftheCommunitythesche­
duleaccordingtowhichdeliveryshalltakeplace.
Article7
Wherethecountryofdestinationisunabletobeginloading
onthedateprovidedforinthefirstparagraphofArticle6,
theagentofthecountryofdestinationshallinformtheagent
oftheCommunitywithoutdelay.
InthiseventtheagentsoftheCommunityandofthe
countryofdestinationmayagreeonanewdateforthe
commencement ofdeliveryand,ifapplicable,anewsche­
dule.Saveincasesofforcemajeure,thecostsarisingfrom
thedelayinloadingshallbebornebythecountryofdestina­
tion.
Schouldthenewdateprovidedforinthesecondparagraph
bemorethan30cleardaysafterthedateforloading
providedforinthefirstparagraphofArticle6,theCommu­
nitymaydisposeofthegoodswithoutprejudicetoits
commitmentunderArticleIofthisAgreement .CHAPTER II
ObligationsoftheCommunity
Article4
WheretheCommunity isnotinapositiontocarryout
deliveryonthedate,andifapplicable,accordingtothesche­
dulelaiddowninArticle6,allcostsarisingforthecountry
ofdestination—forexample,demurrage,voidfreightand
deadfreight—shallbebornebytheCommunity .
Thechargesandthearrangementsrelatingtodemurragelaid
downinthecontractconcludedbetweenthecountryofdesti­
nationandthecarriermusthavepreviouslybeenagreedby
thecountryofdestinationandtheagentoftheCommunity .
Theothercostsreferredtointhefirstparagraphshallbe
refundedbytheCommunityonlyiftheyhavebeenpaidby
thecountryofdestinationwiththeapprovaloftheCommu­
nity.
Article5
WhereitisimpossiblefortheCommunitytosupplyallor
partofthegoodsonthedateandwithinthetimelimitsArticle8
Wherethequantityintendedforloadingonavesselcannot
beloadedonboardinitsentirety,thecountryofdestination
shallinformtheCommunity assoonaspossible,andno
laterthan15cleardaysafterloadinghasbeencompleted,
whetheritintendstoacceptortorenouncethebalance.
IntheformercasethesecondandthirdparagraphsofArticle
7shallapplytothebalance,ifdeliveryhasnotyettaken
place.

NoL38/6 OfficialJournaloftheEuropeanCommunities 12.2.75
InthelattercasetheCommunitymayconsiderthatithas
dischargeditscommitment tothecountryofdestination
underArticleIofthisAgreementandshallbearthecosts
resultingfromrenunciation .
Inanyevent,afteranintervalof15cleardaysandinthe
absenceofanynoticeonthepartofthecountryofdestina­
tion,renunciationshallbedeemedtohavetakenplace.Article9
Upondeliveryofthegoods,thecountryofdestinationshall
handovertotheauthorizedagentoftheCommunityacertifi­
cateofacceptancewhichshallsetouttheportofshipment,
dateofacceptanceandthenatureandquantityofthegoods
accepted,togetherwithanycommentsonthequalityofthe
goods.AcopyofthecertificateshallbesenttotheCommis­
sionoftheEuropeanCommunities .
InformationonthesigningoftheAgreementbetweentheEuropeanEconomic
CommunityandtheRepublicofthePhilippinesonthesupplyoffoodaid
TheAgreementbetweentheEuropeanEconomicCommunityandthePhilippinesonthe
supplyofskimmed-milk powderasfoodaid,whichtheCouncildecidedtoconcludeon
17December1974,wassignedinBrusselson18December1974,onbehalfofthe
CounciloftheEuropeanCommunities by:
MrEtienneBurindesRoziers,AmbassadorExtraordinaryandPlenipotentiary ,Chairman
ofthePermanentRepresentatives Committee,and
MrHans-BroderKrohn,Director-General forDevelopment andCooperationatthe
CommissionoftheEuropeanCommunities ,
onbehalfoftheGovernmentoftheRepublicofthePhilippinesby:
MrCarlosA.Faustino,AmbassadorExtraordinaryandPlenipotentiary ,HeadofthePhilip­
pinesMissiontotheEuropeanEconomicCommunity .