4%& 
tiiwx COMMISSION OF THE EUROPEAN COMMUNITIES 
COM(92) 118 final 
Brussels, 26 March 1992 
Proposal for a 
COUNCIL DECISION 
ON THE CONCLUSION OF THE AGREEMENT 
IN THE FORM OF AN EXCHANGE OF LETTERS AMENDING THE AGREEMENT BETWEEN THE 
EUROPEAN ECONOMIC COMMUNITY AND THE FEDERATIVE REPUBLIC 
OF BRAZIL ON TRADE IN TEXTILE PRODUCTS 
(presented by the Commission) 
EXPLANATORY MEMORANDUM < 
1. The Council Decision of 14 May 1991 authorized the Commission to 
negotiate both the renewal of bilateral textile agreements for 12 months 
(1992) and the protocol extending the MFA for a period of 17 months from 
1 August 1991 to 31 December 1992. 
2. The Council Decision of 21 September 1991 approved the Decision 
concluding the Protocol maintaining the MFA in force until 
31 December 1992 adopted by the Textiles Committee on 31 July 1991. 
The Commission has negotiated and initialled the renewal of identical 
bilateral textiles agreements with all the non-Community countries for 
one year. The Council decided on 19 December 1991 to conclude the 
agreements that had already been initialled. 
3. On 20 December 1991 the Commission initialled an Agreement in the form 
of an Exchange of Letters with Brazil, which accepted only a three-month 
extension (1 January-31 March 1992). The quotas agreed have been 
adjusted pro rata temporis. This agreement was applied provisionally 
from 1 January 1992 by the Council Decision of 10 February 1992. 
4. As a result of the subsequent consultations held on 26 and 27 February, 
a new Agreement in the form of an Exchange of Letters, replacing the 
Exchange of Letters of 20 December and extending the existing Agreement 
from 1 January 1992 until 31 December 1992 has been initialled. 
S Consequently, it is proposed that the Council approve on behalf of the 
Community the draft Decision concerning the conclusion of the Agreement 
in the form of an Exchange of Letters extending for 1992 the Agreement 
between the European Economic Community and the Federative Republic of 
Brazil. 
3 
PROPOSAL FOR A COUNCIL DECISION ON THE CONCLUSION 
OF THE AGREEMENT IN THE FORM OF AN EXCHANGE OF LETTERS AMENDING 
THE AGREEMENT BETWEEN THE EUROPEAN ECONOMIC COMMUNITY 
AND THE FEDERATIVE REPUBLIC OF BRAZIL ON TRADE IN TEXTILE PRODUCTS 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Economic Community, 
and in particular Article 113 thereof, 
Having regard to the proposal from the Commission, 
Whereas the Commission has negotiated on behalf of the Community an 
Agreement in the form of an Exchange of Letters amending the Agreement 
between the European Economic Community and the Federative Republic of 
Brazil on trade in textile products for twelve months (1 January to 
31 December 1992); 
Whereas the two parties have agreed that this Agreement should replace the 
Agreement in the form of an Exchange of Letters initialled on 
20 December 1992 and implemented on 10 February 1992 by the Council on a 
provisional basis for three months (1 January to 31 March 1992)1; 
Whereas this Agreement should be approved, 
HAS DECIDED AS FOLLOWS: 
Article 1 
1. The Agreement in the form of an Exchange of Letters amending the 
Agreement between the European Economic Community and the Federative 
Republic of Brazil on trade in textile products is approved on behalf of 
the Community. 
The text of the Agreement in the form of an Exchange of Letters is 
attached to this Decision. 
2. The President of the Council is hereby authorized to designate the 
persons empowered to sign the Agreement referred to in paragraph 1 in 
order to bind the Community. 
1 Council Decision 92/114/EEC of 10 February 1992, OJ No L 43, 19.2.1992, 
p. 25. 
1 
Art icie 2 
1. This Decision shall enter into force on the third day following its 
publication in the official journal of the European Communities. It 
shall apply from 1 January 1992. 
2. Council Decision 92/114/EEC of 10 February 1992 is hereby repealed when 
this Decision enters into force. 
Done at Brussels, For the Council 
The President 
^ 
AGREEMENT 
in the form of Exchange of Letters amending the 
Agreement between the European Economic Community and 
the Federative Republic of Brazil on trade in textile products 
£ 
AGREEMENT 
in the form of Exchange of Letters amending the 
Agreement between the European Economic Community and 
the Federative Republic of Brazil on trade in textile products 
Letter Number One 
Sir, 
1. I have the honour to refer to the consultations held on 26 and 27 
February 1992 between our respective delegations for the purpose of 
amending the Agreement on trade in textile products between the 
European Economic Community and the Federative Republic of Brazil, 
initialled on 12 September 1986 and applied since 1 January 1987, as 
extended by the Exchange of Letters initialed on 20 December 1991. 
2. As a result of these consultations, both parties agreed to further 
amend Article 17, paragraph 1 of the above Agreement so as to extend 
the period of application of all the provisions of the Agreement until 
31 December 1992. Consequently, the parties also agreed to amend Annex 
II of the Agreement for the January - December period 1992 as regards 
the quantitative limits for exports from the Federative Republic of 
Brazil to the Community of the textile products referred thereto. The 
modified Annex II is appended to this letter (Appendix 1). 
3. The parties also agreed that as regards Article 13, paragraph 3, 
of the Agreement, the percentage of inter-regional transfers for the 
year 1992 is fixed at 40%. 
•? k 
- 2 -
It is understood that i f as a result of the application of the 
above percentage serious difficulties, following significant changes in 
the pattern of trade, occur in certain regions of the Community, both 
parties shall hold consultations without delay with a view to reviewing 
the situation. 
4. Both parties agreed that this extension of the Agreement enters 
into force on 1 January 1992 , shall remain in force until 31 
December 1992 and shall replace the Exchange of Letters of 20 December 
1991. The parties agreed that this Agreement is applied provisionally 
from 1 January 1992. 
5. I should be obliged if you would kindly confirm the acceptance of 
your Government to the foregoing. 
6. Please accept, Sir, the assurance of my highest consideration. 
For the CounciI 
of the European Communities 
< Ul 
13 & 
APPENDIX 1 
ANNEX I I 
COMMUNITY QUANTITATIVE LIMITS 
CATEGORY UNIT 1/1/92-31/12/92 
1 T 35.140 
2 T 21.975 
2a) T 4.593 
3 T 2.086 
6<1) LOOOpieces 2.974 
9 T 6.153 
20 T 3.817 
39 T 2.960 
46 T 17.151 
REGIONAL LIMITS 
1000 pieces F 463 
I 5.110 
UK 3.285 
1000 pieces ES 380 
PT 63 
(1) For the purpose of setting off exports against the agreed limits a 
conversion rate of 5 garments (other than babies'garments) of a 
maximum commercial size of 130 cm, for 3 garments whose commercial 
size exceeds 130 cm may be applied for up to 5% of the quantitative 
I i mi t s. -^ / 
1% 
3 
AGREEMENT 
in the form of Exchange of Letters amending the 
Agreement between the European Economic Community and 
the Federative Republic of Brazil on trade in textile products 
Letter Number Two 
Sir, 
I have the honour to acknowledge receipt of your letter of 27 
February 1992 , which reads as follows : 
"1. I have the honour to refer to the consultations held on 26 and 27 
February 1992 between our respective delegations for the purpose of 
amending the Agreement on trade in textile products between the 
European Economic Community and the Federative Republic of Brazil 
initialled on 12 September 1986 and applied since 1 January 1987, as 
extended by the Exchange of Letters initialed on 20 December 1991. 
2. As a result of these consultations, both parties agreed to further 
amend Article 17, paragraph 1 of the above Agreement so as to extend 
the period of application of all the provisions of the Agreement until 
31 December 1992. Consequently, the parties also agreed to amend Annex 
II of the Agreement for the January-December period as regards the 
quantitative limits for exports from the Federative Republic of Brazil 
to the Community of the textile products referred thereto. The 
modified Annex II is appended to this letter (Appendix 1). 
/'•/ 
^ o 
3. The parties also agreed that as regards Article 13, paragraph 3, 
of the Agreement, the percentage of inter-regional transfers for the 
year 1992 is fixed at 40%. 
It is understood that if as a result of the application of the 
above percentage serious difficulties, following significant changes in 
the pattern of trade, occur in certain regions of the Community, both 
parties shall hold consultations without delay with a view to reviewing 
the situation. 
4. Both parties agreed that this extension of the Agreement enters 
into force on 1 January 1992, shall remain in force until 31 December 
1992 and shall replace the Exchange of Letters of 20 December 1991. 
The parties agreed that this Agreement is applied provisionally from 1 
January 1992. 
5. I should be obliged if you would kindly confirm the acceptance of 
your Government to the foregoing." 
I have the honour to confirm that 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 Federative Republic of Brazil 
/" t\ 
V k\ 
\{,x-
ANNEX I I 
COMMUNITY QUANTITATIVE LIMITS ^ 
APPENDIX 1 
CATEGORY UNIT 1/1/92-31/12/92 
1 
2 
2a) 
3 
6(D 
9 
20 
39 
46 T 
T 
T 
T 
1.OOOpieces 
T 
T 
T 
T 35.140 
21.975 
4.593 
2.086 
2.974 
6.153 
3.817 
2.960 
17.151 
REGIONAL LIMITS 
13 1000 pieces F 463 
I 5.110 
UK 3.285 
1000 pieces ES 380 
PT 63 
(1) For the purpose of setting off exports against the agreed limits a 
conversion rate of 5 garments (other than babies'garments) of a 
maximum commercial size of 130 cm, for 3 garments whose commercial 
size exceeds 130 cm may be applied for up to 5% of the quantitative 
I im i t:; . 
'<, 
EXCHANGE OF NOTES 
The Directorate General for External Relations of the Commission of 
the European Communities presents its compliments to the Mission of the 
Federative Republic of Brazil with the European Communities and has 
the honour to refer to the Agreement in textile products negotiated 
between the Federative Republic of Brazil and the Community, 
initialled on 12 September 1986 and applied since 1 January 1987, as 
extended by the exchange of letters initialled on 27 February 1991.. 
The Directorate General wishes to inform the Mission that whilst 
awaiting the completion of the necessary procedures for the conclusion 
and the coming into force of the extended Agreement, the Community is 
prepared to allow the provisions of the Agreement to apply de facto 
from 1 January 1992. This is on the understanding that either party 
may at any time terminate this de facto application of the extended 
Agreement provided that 60 days' notice is given. 
The Directorate General for External Relations would be grateful if 
the Mission would confirm its agreement to the foregoing. 
The Directorate General for External Relations avails itself of 
this opportunity to renew to the Mission of the Federative Republic of 
Brazil to the European Communities the assurance of its highest 
considerat ion. 
\M 
Is 
EXCHANGE OF NOTES 
The Mission of the Federative Republic of Brazil to the European 
Communities presents its compliments to the Directorate General for 
External Relations of the Commission of the European Communities and 
has the honour to refer to the Directorate General's Note of 
regarding the Agreement in textile products negotiated between the 
Federative Republic of Brazil and the Community, initialled on 12 
September 1986 and applied since 1 January 1987, as extended by the 
exchange of letters initialled on 27 February 1991, 
The Mission wishes to confirm to the Directorate General that 
whilst awaiting the completion of the necessary procedures for the 
conclusion and the coming into force of the extended Agreement, the 
Government of the Federative Republic of Brazil is prepared to allow 
the provisions of the extended Agreement to apply de facto from 1 
January 1992.This is on the understanding that either party may at any 
time terminate this de facto application of the extended Agreement 
provided that 60 days' notice is given. 
The Mission of the Federative Republic of Brazil to the European 
Communities avails itself of this opportunity to renew to the 
Directorate General for External Relations the assurance of his highest 
considerat ion. 

ISSN 0254-1475 
COM (92) 118 final 
DOCUMENTS 
EN n 
•%j? 
Catalogue number: CB-CO-92-129-EN-C 
ISBN 92-77-42368-4 
Office for Official Publications of the European Communities 
Lr2985 Luxembourg