m^I Co^fficiaiJournal of the European Cornrr^unities l^oC^BI 
1^ 
CC^lvIISSIC^ 
Proposal foraCouncil Decision on the association of the overseas countries and territories with 
the European Economic Connnunity 
I^art n Ceneral provisions of ^CC^CT^cooperation ^ 
I^art^: The areas of ^CCOCTcooperation D 
Title I: environment D 
Title II: Agricultural cooperation, food security and rural development B^ 
Title III: Uevelopment of fisheries 10 
Title IV: Cooperation in the field of commodities It 
TitleV: Industrial development, manufacturing and processing t^ 
Title VI: Mining development t^ 
Title VII: energy development ID 
Title VIII: enterprise development t^ 
Title IX: development of services t^ 
Chaptert:COhiectives and principles of cooperation t^ 
Chapters: Services that support economic development 1^ 
Chapter ^:Tourism ^0 
Chapter^:T^ransport, communications and informatics ^t 
Title X: Trade development ^ 
Title XI: Cultural and social cooperation ^ 
Title XII: regional cooperation ^ 
I^art^: The instruments of ^CCOCTcooperation ^ 
Title I: Trade cooperation ^ 
Chaptert:Ceneral trade arrangements ^ 
Chapters: Special undertakings on r^n ^ 
Chapter ^:Trade in services ^ 
Title II: Cooperation in the field of commodities ^0 
Chaptert:Stahilization of export earnings from agricultural commodities ^0 
Chapters: fining products: special financing facility ^Sysmin^ ^ 
l^oCh^B^ C^ffici^]ourn^ofu^eEurooe^nCor^r^u^iue^ in^t.^I 
Title III: Uevelopment finance cooperation ^ 
Chaptert:General provisions ^ 
^ectiont: Objectives ^ 
^ection^: principles ^ 
^ection^: Guidelines ^ 
^ection^t: ^cope of financing ^ 
^ection^: sectors of intervention ^ 
section D: ^ligihilit^ for financing ^0 
Chapters: financial cooperation ^0 
section!: financial resources ^0 
section ^: Terms and conditions of financing ^t 
^ection^: Co-financing ^ 
section ^A ^ticroprojects ^ 
^ection^: ^mergenc^ assistance ^ 
Chapters: Investment ^ 
section!: Investment promotion ^ 
^ection^: Investment financing ^D 
^ection^: Investment support ^D 
^ection^t: Current payments and capital movements ^ 
Chapter^t:Technical cooperation ^ 
Chapters: Implementation procedures ^0 
^ectiont: programming ^0 
section ^: project identifications preparation and appraisal ^t 
^ection^: financing proposal and decision ^ 
^ection^: financing agreement and cost overruns ^ 
^e^tion^: Competition and preferences ^ 
section D: Tax and customs arrangements ^ 
Chapters: management and executing agents ^ 
section!: Chief authorizing officer ^ 
section ^: I^ocal authorizing officer ^ 
section ^: The delegate ^0 
^ection^: I^avments and pacing agents Dt 
^ection^: monitoring and evaluation D^ 
Title IV: General provisions for the least-developed OCT ^ 
I^art ^: provisions relating to establishment and services D^ 
I^art ^: CommissionB^temher^tateBOCTpartnership ^ 
I^artD: I^inal provisions D^ 
Annexl — List of the OCT referred to in Articled ^ 
AnnexII^-Concemingthedefinitionoftheconcept of'originating products' andmethodsof 
administrative cooperation ^ 
Annex III — On safeguard measures ntt 
Annex IV — On rum t^ 
AnnexV — On movements of hazardous waste and radioactive waste t^t 
Annex VI — Commission declaration on Articled t^ 
11.4.91 Official Journal of the European Communities No C 95/3 
THE COUNCIL OF THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European 
Economic Community, and in particular Article 136 
thereof, 
Having regard to the internal Agreement on the 
financing and administration of Community aid signed 
in Brussels on 1990 (hereinafter referred to as 'the 
Internal Agreement'), 
Having regard to the draft Decision presented by the 
Commission, 
Having regard to the opinion of the European 
Parliament, 
Whereas the provisions applicable to the association of 
the overseas countries and territories (hereinafter 
referred to as 'the OCT') with the European Economic 
Community must be laid down for a further period; 
whereas these provisions apply to the territories for 
which the French Republic has responsibility, the 
countries and territories for which the United Kingdom 
has responsibility, the countries for which the Kingdom 
of the Netherlands has responsibility and, in part, to 
Greenland; 
Whereas these provisions form part of the European 
Economic Community's efforts to contribute towards 
international cooperation and to the solution of interna­
tional problems of an economic, social and cultural 
nature, in conformity with the aspirations of the interna­
tional community towards the establishment of a new, 
more just and more balanced economic order; whereas 
these efforts have led to the signing of the fourth 
ACP-EEC Convention in Lome on 15 December 1989, 
hereinafter referred to as 'the Convention'; whereas, in 
view of the many similarities between the OCT and 
many of the ACP States, and while respecting their 
differing status, the provisions for the OCT should be 
adopted for the same period as for the ACP States; 
Whereas the Community market has long been open to 
products originating in the OCT and in the ACP States; 
whereas these provisions should be maintained, no 
significant circumstance having arisen that warrants 
abandonment of this approach, and the OCT should be 
accorded greater flexibility as to the rules of origin; 
Whereas the OCT's development requirements and the 
promotion of their industrial development justify their 
retaining the possibility of levying customs duties and 
imposing quantitative restrictions and adopting, by way 
of derogation, legislation to assist the local population 
and local activities with a view to promoting or main­
taining local employment; Whereas special provisions should be adopted for rum, 
arrack and tafia; 
Whereas this Decision in no way prejudices the special 
arrangements established for the import of products 
originating in the OCT into Spain and Portugal set out 
in the Annex to Decision 86/47/EEC (l), as last 
amended by Decision 90/.. ./EEC (2); 
Whereas the Community's contribution towards solving 
the economic and social problems of the OCT and the 
ACP States encourages it to strengthen relations between 
the OCT and the ACP States in various areas of 
cooperation; 
Whereas some OCT are in the same geographical area 
as overseas departments and ACP States; whereas the 
development of different parts of the same geographical 
area, which have similar features and are subject to 
similar constraints, can be achieved notably through the 
implementation of joint regional projects, whatever the 
status of the entities under Community law, so 
permitting economies of scale and strengthening regional 
cooperation between the partners concerned; whereas 
the Community has already created the instruments, 
notably financial instruments, to implement this 
cooperation, in the case of the overseas departments by 
means of Regulation (EEC) No 2052/88 (3) on the tasks 
of the Structural Funds and the operations of the 
European Investment Bank (hereinafter referred to as 
'the Bank') subsequent texts and Decision 
89/687/EEC (4) establishing a 'Poseidom', and, in the 
case of the ACP States, by means of the Convention and 
the Internal Agreement; 
Whereas these neighbouring entities are traditionally 
confronted with similar problems, regardless of their 
differences in status; whereas regional cooperation 
tailored to local conditions requires more direct dialogue 
between the parties concerned; whereas encouragement 
should therefore be given to regional consultation 
procedures between overseas departments, OCT and 
ACP States, in close liaison with the Member States 
concerned in the case of overseas departments and the 
OCT; 
Whereas, during the negotiations on the Convention, the 
Community improved a number of the provisions 
concerning areas and instruments of cooperation with 
the ACP States; whereas provisions for the OCT should 
be improved on the same lines; 
(*) OJ No L 63, 5. 3. 1986, p. 95. 
O OJ No L ........ p. ... 
(J) OJ No L 185, 15. 7. 1988, p. 9. 
(4) OJ No L 399, 30. 12. 1989, p. 39. 
No C 95/4 Official Journal of the European Communities 11.4.91 
Whereas, in order to facilitate the implementation of this 
Decision in the future and to ensure that financial aid is 
distributed as fairly as possible, aid should be allocated 
among the territories for which the French Republic has 
responsibility, the countries for which the Kingdom of 
the Netherlands has responsibility and the countries and 
territories for which the United Kingdom has responsi­
bility; whereas lessons should be drawn from past 
experience and the programming and implementation 
procedures of development finance cooperation speeded 
up as much as possible; 
Whereas there is general recognition of the active 
participation of local authorities of both the Community 
regions and of non-member countries in the implemen­
tation of common policies br in relations with the 
Community; whereas the association with the OCT has 
no provision for such participation, apart from the 
implementation of development finance cooperation in 
some OCT or in a more general way in others; whereas 
the participation of elected representatives of the popu­
lation concerned should be stepped up, while respecting 
the constitutions of the Member States responsible for 
the OCT; whereas the principle of partnership between 
Chapter 1 
Objectives and principles of cooperation 
Article 1 
The aim of this Decision is to promote and accelerate 
the economic, cultural and social development and to 
strengthen the economic structures of the OCT listed in 
Annex I. 
Article 2 
The Community shall provide support for the OCFs 
efforts to achieve comprehensive development based on 
their cultural and social values, their human capacities, 
their natural resources and their economic potential in 
order to promote the OCFs social, cultural and 
economic progress and the well-being of their popu­
lations through the satisfaction of their basic needs, the 
recognition of the role of women and the enhancement 
of people's capacities, with respect for their dignity. 
Such development shall be based on a sustainable 
balance between economic objectives, the rational 
management of the environment and the enhancement of 
natural and human resources. the Commission, the Member State and the country or 
territory meets this double objective; 
Whereas various regulations adopted with a view to the 
completion of the single market are not applicable in the 
OCT but it may be advisable to examine ways of 
partially or totally extending them to the OCT, notably 
in the partnership framework; 
Whereas Article 362 of the Convention makes provision 
for a country or territory referred to in Part Four of the 
Treaty that becomes independent to accede to the 
Convention; whereas it is therefore necessary to make 
provision for possible amendment of this Decision; 
whereas Article 1 of the Internal Agreement provides 
that where a country or territory which has become 
independent accedes to the Convention, the financial aid 
allocated to the OCT from the European Development 
Fund shall, by decision of the Council, be reduced and 
the amounts allocated to the ACP States correspondingly 
increased, 
HAS DECIDED AS FOLLOWS: 
Article 3 
Cooperation shall be directed towards development 
centred on man, the main protagonist and beneficiary of 
development, which thus entails respect for and 
promotion of all human rights. Cooperation operations 
shall thus be conceived in accordance with the positive 
approach, where respect for human rights is recognized 
as a basic factor of real development and where 
cooperation is conceived as a contribution to the 
promotion of these rights. 
The role and potential of initiatives taken by individuals 
and groups shall also be recognized and fostered in 
order to achieve in practice real participation of the 
population in the development process. 
Article 4 
The Community and the OCT shall give special 
importance and high priority to regional cooperation and 
integration. In this context, the Community shall offer 
effective support for the OCT's efforts to organize them­
selves into regional groupings and to step up their 
cooperation at regional and inter-regional level with a 
view to promoting a more just and more balanced inter­
national economic order. PART 1 
GENERAL PROVISIONS OF EEC-OCT COOPERATION 
11. 4. 91 Official Journal of the European Communities No C 95/5 
Article 5 
The Community acknowledges the need to accord 
special treatment to the least-developed OCT and to 
take account of the specific difficulties confronting them. 
It shall pay special attention to improving the living 
conditions of the poorest sections of the population. 
Cooperation shall comprise, inter alia, special treatment 
when determining the volume of financial resources and 
the conditions attached thereto in order to enable the 
least-developed OCT to overcome structural and other 
obstacles to their development. 
Article 6 
Within the scope of their respective responsibilities, the 
authorities participating in the partnership framework 
referred to in Article 10 shall examine periodically the 
results of the implementation thereof and provide any 
necessary impetus and opinions for the attainment of its 
objectives. 
Any questions that might directly hamper the effective 
attainment of the objectives of this Decision may be 
raised in the context of this procedure. 
Chapter 2 
Decentralized cooperation and partnership 
Article 7 
In order to encourage all parties from the OCT and the 
Community which are in a position to contribute to the 
autonomous development of the OCT to put forward 
and implement initiatives, cooperation shall also support, 
within limits laid down by the relevant OCT authorities, 
development operations put forward by economic, social 
and cultural organizations in the framework of decen­
tralized cooperation, in particular where they combine 
the efforts and resources of organizations from the OCT 
and their counterparts from the Community. This form 
of cooperation shall be aimed in particular at making the 
capabilities, original operating methods and resources of 
such parties available to the development of the OCT. 
The parties referred to in this Article are decentralized 
public authorities, rural and village groupings, cooper­
atives, firms, trade unions, teaching and research centres, 
non-governmental development organizations, various 
associations and all groups and parties which are able 
and wish to make their own spontaneous and original 
contribution to the development of OCT. 
Article 8 
Cooperation shall encourage and support the initiatives 
of the OCT parties referred to in Article 7, provided they correspond with the priorities, guidelines and devel­
opment methods adopted by the relevant authorities of 
the OCT concerned. In this framework, cooperation 
shall support either the independent activities of OCT 
parties or the activities of OCT parties which are 
combined with support from similar parties from the 
Community which make their capabilities, experience, 
technological and organizational capacities or financial 
resources available to them. 
Cooperation shall encourage parties from the OCT and 
the Community to provide supplementary financial and 
technical resources for the development effort. 
Cooperation may provide decentralized cooperation 
operations with financial and/or technical support drawn 
from the resources provided for in this Decision under 
the conditions laid down in Article 9. 
This form of cooperation shall be organized in 
accordance with the role and the prerogatives of the 
public authorities of the OCT. 
Article 9 
Decentralized cooperation operations may be supported 
through the instruments of development finance 
cooperation, with the approval of the relevant authorities 
of the OCT concerned, preferably from the 
programming stage, of the principle of and the 
conditions for providing support for this form of 
cooperation. Such support shall be provided to the extent 
to which it is necessary for the successful implementation 
of the proposed operations provided the usefulness of the 
latter has been recognized and in accordance with the 
provisions for financial and technical cooperation. 
Projects under this form of cooperation may be linked, 
or not, with programmes in the focal sectors of the indi­
cative programmes, with priority for those linked to the 
focal sectors. 
Article 10 
With the aim of enabling the competent local authorities 
of the OCT to take greater part, in the framework of the 
respective constitutions of the Member States having 
responsibility for them, in giving effect to the principles 
of the EEC-OCT association, while respecting the 
powers of the respective central authorities of the 
Member States concerned, a consultation procedure 
based on the principle of partnership between the 
Commission, the Member State and the OCT is hereby 
set up. 
This partnership, the detailed provisions for which are 
set out in Articles 234 to 236 of this Decision, shall 
provide the opportunity for examining what has been 
achieved in the association and discussing any problems 
arising in relations between the OCT and the 
Community. 
No C 95/6 Official Journal oi the European Communities 11.4.91 
PART 2 
THE AREAS OF EEC-OCT COOPERATION 
TITLE I 
ENVIRONMENT Article 14 
Cooperation instruments appropriate to environmental 
needs shall be designed and implemented. 
Article 11 
In the framework of this Decision, the protection and 
the enhancement of the environment and natural 
resources, the halting of the deterioration of land and 
forests, the restoration of ecological balances, the preser­
vation of natural resources and their rational exploitation 
are basic objectives that the OCT concerned shall strive 
to achieve with Community support with a view to 
bringing an immediate improvement in the living 
conditions of their populations and to safeguarding those 
of future generations. 
Article 12 
The dimension of the environmental problem and of the 
means to be deployed mean that operations will have to 
be. carried out in the context of overall, long-term 
policies, drawn up and implemented by the relevant 
authorities of the OCT concerned at local, national, 
regional or international level with international support. 
To this end, the Community shall give priority to: Where necessary, both qualitative and quantitative 
criteria may be used. Jointly approved check-lists, 
adopted, where appropriate, in the course of the part­
nership consultations provided for in Articles 234 to 236, 
shall be used to help estimate the environmental viability 
of proposed operations, whatever their scale. Environ­
mental impact assessment shall be carried out as appro­
priate in the case of large-scale projects and those posing 
a significant threat to the environment and should, as a 
minimum: 
describe the measures planned to avoid or reduce any 
major adverse consequences and, where possible, to 
remedy any such consequences, 
provide the necessary information for identifying and 
evaluating the main effects the project is likely to 
have on the environment. 
For the proper integration of environmental consider­
ations, physical inventories, where possible translated 
into accounting terms, shall be drawn up. 
a preventive approach aimed at avoiding harmful 
effects on the environment as a result of any 
programme or operation, 
a systematic approach that will ensure ecological 
viability at all stages, from identification to 
implementation, 
a trans-sectoral approach that takes into account not 
only the direct but also the indirect consequences of 
the operations undertaken. 
Article 13 
The protection of the environment and natural resources 
requires a comprehensive approach embracing the social 
and cultural dimensions. 
In order to ensure that this specific dimension shall be 
taken into account, attention shall be given to incor­
porating suitable educational, training, information and 
research schemes in projects and programmes. The implementation of these instruments has to ensure 
that, should an adverse environmental impact be 
foreseen, the necessary corrective measures are 
formulated in the early stage of the preparation of the 
proposed project or programme so that it can go ahead 
in accordance with the planned timetable, though 
improved in terms of environmental and natural resource 
protection. 
Article 15 
The Community, desirous of bringing real protection 
and effective management to the environment and 
natural resources, considers that the areas of EEC-OCT 
cooperation covered in this part of this Decision must be 
systematically examined and appraised in this light. 
In this spirit the Community shall support efforts made 
by the relevant OCT authorities at local, national, 
regional and international level and also operations 
mounted by intergovernmental and non-governmental 
organizations in furtherance of local, national and inter­
governmental policies and priorities. 
11.4.91 Official Journal of the European Communities No C 95/7 
Article 16 Article 18 
1. The Community undertakes, for its part, to make 
every effort to ensure that international movements of 
hazardous waste and radioactive waste are generally 
controlled, and emphasizes the importance of efficient 
international cooperation in this area. 
With this in view, the Community shall prohibit all direct 
or indirect export of such waste to the OCT while at the 
same time the relevant authorities of the OCT shall 
prohibit the direct or indirect import into their territory 
of such waste from the Community or from any other 
country, without prejudice to specific international 
undertakings concerning these two areas that have been 
made or may be made in future in the competent inter­
national forums. The Community and the relevant authorities of the OCT 
recognize the value of exchanging views, using consul­
tation machinery provided for in this Decision, on major 
ecological hazards, whether on a planetary scale (such as 
the greenhouse effect, the deterioration of the ozone 
layer, tropical forests, and so on), or of a more specific 
scope resulting from the application of industrial tech­
nology. Such consultations may be requested by the 
Commission, a Member State or the relevant authorities 
of an overseas country or territory, in so far as these 
hazards may in practice affect a country or territory, and 
shall be aimed at assessing the scope for joint action to 
be undertaken within the terms of this Decision. If 
necessary, the consultations will also provide for an 
exchange of views prior to discussions conducted on 
these subjects in the appropriate international forums. 
These provisions shall not prevent a Member State to 
which an overseas country or territory has chosen to 
export waste for processing from returning the processed 
waste to the overseas country or territory of origin. 
The Community and, where necessary, the relevant 
authorities of the OCT, shall expedite adoption of the 
necessary internal legislation and administrative regu­
lations to implement this undertaking. 
2. The relevant authorities of the OCT undertake to 
monitor strictly the implementation of the prohibition 
measures referred to in the second subparagraph of 
paragraph 1. 
3. The term 'hazardous waste* within the meaning of 
this Article shall -cover categories of products listed in 
Annexes 1 and 2 to the Basle Convention or the Control 
of Transboundary Movements of Hazardous Wastes and 
their Disponal. 
As regards radioactive waste, the applicable definitions 
and thresholds shall be those which will be laid down in 
the framework of the IAEA. In the meantime, the said 
definitions and thresholds shall be those specified in 
Annex V. TITLE II 
AGRICULTURAL COOPERATION, FOOD SECURITY 
AND RURAL DEVELOPMENT 
Article 19 
Cooperation in the agricultural and rural sector, that is 
arable farming, livestock production, fisheries and 
forestry, shall be aimed, inter alia, at: 
continuously and systematically promoting viable and 
sustainable development based in particular on 
protection of the environment and the rational 
management of natural resources, 
supporting the OCT's efforts to increase their degree 
of self-sufficiency in food, in particular by streng­
thening their capacity to provide their populations 
with food of adequate quantity and quality and to 
ensure a satisfactory level of nutrition, 
reinforcing food security at local, regional and inter­
regional level by stimulating regional trade flows of 
food products and improving coordination of the 
food policies of the countries concerned, 
Article 17 
At the request of the relevant authorities of the OCT, 
the Community shall provide available technical infor­
mation on pesticides and other chemical products with a 
view to helping the OCT develop or reinforce a suitable 
and safe use of these products. 
Where necessary and in accordance with the provisions 
for development finance cooperation, technical assistance 
can be given in order to ensure conditions of safety at all 
stages, from production to disposal of such products. guaranteeing the rural population incomes that will 
significantly improve their standard of living, in order 
to be able to cover their essential needs in the areas 
of food, education, health and living conditions, 
encouraging the active participation of the rural 
population, both men and women, in their own 
development by organizing small farmers into associ­
ations and integrating producers, men and women, 
more effectively into national and international 
economic activity, 
No C 95/8 Official Journal of the European Communities 11. 4. 91 
— increasing the participation of women in their 
capacity as producers, notably by improving access to 
all factors of production (land, inputs, credit, 
extension services and training), 
— creating satisfactory living conditions and a satis­
factory life style in the rural environment, notably by 
developing social and cultural activities, 
— improving rural productivity, notably by transfers of 
appropriate technology and the rational exploitation 
of plant and animal resources, 
— reducing post-harvest losses, 
— reducing the workload of women by, inter alia, 
promoting suitable post-harvest and food-processing 
technologies, 
— diversifying job-creating rural activities and 
expanding activities that back up production, 
— improving production by on-the-spot processing of 
the products of arable and livestock farming, fisheries 
and forestry, 
— ensuring a better balance between food crops and 
export crops, 
— developing and strengthening agricultural research 
tailored to the natural and human environment of the 
country and the region and meeting extension service 
and food security requirements, 
— in the context of the above objectives, protecting the 
natural environment particularly through specific 
operations to protect and conserve ecosystems. 
Article 20 
1. Operations to attain the objectives referred to in 
Article 19 shall be as varied and practical as possible, at 
local, regional and inter-regional level. 
2. They shall be designed and deployed to implement 
the policies and strategies established by the relevant 
authorities of the OCT and respect their priorities. 
3. Support shall be provided for such policies and 
strategies in the context of agricultural cooperation in 
accordance with the provisions of this Decision. Article 21 
1. Development of production calls for a rational 
stepping-up of animal and crop production and involves: 
— improving farming methods for rain-fed crops while 
conserving soil fertility, 
— developing irrigated crops, inter alia, through 
different types of agricultural water schemes (village 
water engineering, regulation of watercourses and 
soil improvement) ensuring optimum use and thrifty 
management of water which can be mastered by 
farmers and by local communities; operations shall 
also consist in the rehabilitation of existing schemes; 
— improving and modernizing cultivation techniques 
and making better use of factors of production 
(improved varieties and breeds, agricultural 
equipment, fertilizers, plant treatment preparations), 
— in the sphere of livestock farming, improving animal 
feed (more effective management of pasture, 
increased fodder production, more new water-points 
and repair of existing ones) and animal health, 
including the development of the infrastructure 
required for that purpose, 
— better integration of arable and livestock farming, 
— in the sphere of fisheries, modernizing fish-farming 
and developing aquaculture. 
2. Other prerequisites for the development of 
production are: 
— the extension of secondary and tertiary back-up acti­
vities for agriculture, such as the manufacture, 
modernization and promotion of agricultural and 
rural equipment and other inputs and, where 
necessary, their importation, 
— the establishment or consolidation of agricultural 
savings and credit facilities adapted to local 
conditions in order to promote access to production 
factors for farmers, 
— the encouragement of all policies and incentives for 
producers which are appropriate to local conditions 
with a view to greater productivity and to improving 
farmers' incomes. 
11.4.91 Official Journal of the European Communities No C 95/9 
Article 22 
In order to ensure a return on output, agricultural 
cooperation shall contribute to: 
— adequate means of preservation and suitable storage 
facilities for producers, 
— effective control of disease, pests and other factors 
causing production losses, 
— basic marketing arrangements underpinned by 
suitable organization of producers, with the. 
necessary material and financial resources, and by 
adequate means of communication, 
— flexible operation of marketing channels, taking 
account of every form of public or private initiative, 
to enable local markets, areas of the country with 
shortfalls and urban markets to be supplied, in order 
to cut down dependence on outside sources, 
— facilities to prevent breaks in supplies (security 
storage) and guard against erratic price fluctuations 
(intervention storage), 
— processing, packaging and marketing of products, 
particularly by developing artisanal and agro-
industrial units, in order to adapt them to the trend 
of the market. 
Article 23 
Rural promotion measures shall involve: 
— the organization of producers within associations or 
communities in order to enable them to derive more 
benefit from joint contracts and investment and 
jointly owned equipment, 
— encouragement for the participation of women and 
for recognition of the active role they play as full 
partners in the rural production and economic devel­
opment processes, 
— the development of social and cultural activities (such 
as health, education and culture) essential for 
improving rural life styles, 
— suitable extension service to train all farmers, both 
men and women, 
— improvements in the training of instructors at all 
levels. Article 24 
Cooperation in agronomic and agrotechnical research 
shall contribute: 
— to the development, in the OCT, of local and 
regional research capacities suited to the local 
natural, social and economic conditions of crop and 
animal production, 
— in particular, to improving varieties and breeds, the 
nutritional quality of products and their packaging, 
and developing technology and processes accessible 
to the producers, 
— to better dissemination of the results of research 
undertaken in an overseas country or territory, an 
ACP or non-ACP State and applicable in other OCT 
or other ACP States, 
— to extension work in order to inform the greatest 
possible number of users of the results of such 
research, 
— to promoting increased coordination of research, 
particularly at regional and international levels and 
implementing appropriate operations to achieve these 
objectives. 
Article 25 
Agricultural cooperation schemes shall be carried out in 
accordance with the detailed provisions and procedures 
laid down for development finance cooperation and in 
this context they may also cover the following: 
1. under the heading of technical cooperation: 
— exchange of information between the Community, 
the OCT and the ACP States and between the 
OCT and the ACP States (on, for example, water 
use, intensive production techniques and the 
results of research), 
— exchange of experience between professionals 
working in such areas as credit and savings, 
cooperatives, mutual insurance, artisanal activities 
and small-scale industry in rural areas; 
2. under the heading of financial cooperation: 
— supply of factors of production, 
— support for market regulation bodies, on the basis 
of a coordinated approach to production and 
marketing problems, 
— participation in the constitution of funds for agri­
cultural credit facilities, 
No C 95/10 Official Journal of the European Communities 11.4.91 
— opening of credit lines for farmers, farmers' trade 
organizations, artisans, women's groupings and 
small-scale industrial operators in rural areas, 
geared to their activities (such as supplies, primary 
marketing and storage), and also for associations 
implementing campaigns on specific themes, 
— support for measures to combine industrial and 
trade skills in the OCT and the Community within 
artisanal or industrial units, for the manufacture 
of inputs and equipment and for such purposes as 
the maintenance, packaging, storage, transport 
and processing of products. 
Article 26 
1. Community measures aimed at food security in the 
OCT shall be conducted in the context of the food 
strategies or policies of the relevant authorities of the 
OCT concerned and of the development objectives 
which they lay down. 
They shall be implemented, in coordination with the 
instruments of this Decision, in the framework of 
Community policies and the measures resulting 
therefrom with due regard for the Community's interna­
tional commitments. 
2. In this context, multiannual indicative programming 
may be carried out with the relevant authorities of the 
OCT which so wish, so that their food supplies can be 
better predicted. 
Article 27 
With regard to available agricultural products, the 
Community undertakes to ensure that export refunds can 
be fixed further in advance for all OCT in respect of a 
range of products drawn up in the light of their food 
requirements. 
Advance fixing may be for one year and shall be applied 
each year for the duration of this Decision, it being 
understood that the level of the refund will be 
determined in accordance with the methods normally 
followed by the Commission. 
Article 28 
In implementing the provisions of this Title, special 
attention shall be paid to assisting and enabling the least-
developed OCT to utilize them fully. At the request of 
the relevant authorities of the OCT concerned, 
particular attention shall be paid to the specific diffi­
culties of these OCT in carrying out the policies or strategies established by the relevant authorities to 
strengthen their food self-sufficiency and food security. 
In this context, cooperation shall bear in particular on 
the productive sectors (including the supply of physical, 
technical and financial inputs), transport, marketing, 
packaging and the setting-up of storage infrastructure. 
Article 29 
At the request of their relevant authorities, the OCT may 
be eligible for the services of the Technical Centre for 
Agricultural and Rural Cooperation, the objectives and 
tasks of which are described in Article 53 of the 
Convention. 
Any costs resulting from services provided by the Centre 
for the benefit of the OCT which make use of them shall 
be financed from the funds provided for in Article 154 
for whichever of the three groups those OCT belong to. 
TITLE III 
DEVELOPMENT OF FISHERIES 
Article 30 
To encourage the development of the exploitation of the 
fishery resources of the OCT, all the mechanisms for 
assistance and cooperation provided for in this Decision, 
notably financial and technical assistance in accordance 
with the terms set out in Title III of Part 3, shall be 
applied to fisheries. 
The priority objectives of such cooperation shall be to: 
— improve knowledge of the fisheries environment and 
its resources, 
— increase the means of protecting fishery resources 
and monitoring their rational exploitation, 
— encourage the rational exploitation of the fishery 
resources of the OCT and the resources of high seas 
in which the OCT and the Community share 
interests, 
— increase the contribution of fisheries including aqua-
culture and non-industrial fishing, to rural devel­
opment, by giving importance to the role they play in 
strengthening food security, improving nutrition and 
the social and economic conditions of the 
communities concerned; this implies, inter alia, a 
recognition of and support for women's work at the 
post-harvest stage and in the marketing of fish, 
11.4.91 Official Journal of the European Communities No C 95/11 
— increase the contribution of fisheries to industrial 
development 1>y increasing catches, output, 
processing and exports. 
Article 31 
Assistance from the Community for fisheries devel­
opment shall include support in the following areas: 
(a) fisheries production, including the acquisition of 
boats, equipment and gear, the development of infra­
structure for rural fishing communities and the 
fishing industry and support for aquaculture projects, 
notably by providing specific lines of credit to appro­
priate OCT institutions for onlending to the 
operators concerned; 
(b) fisheries management and protection, including the 
assessment of fish stocks and of aquacultural 
potential, the improvement of environmental moni­
toring and control and the development of the 
capacity of the relevant authorities of the OCT to 
manage rationally the fishery resources in the 
exclusive economic zones of the OCT; 
(c) processing and marketing of fishery products, 
including the development of processing, collection, 
distribution and marketing facilities and operations; 
the reduction of post-harvest losses and the 
promotion of programmes to improve fish utilization 
and nutrition from fishery products; 
(d) the training of OCT nationals in all areas of 
fisheries, the development and strengthening of OCT 
research capabilities and the promotion of regional 
cooperation in fisheries management and devel­
opment. 
Article 32 
In implementing Articles 30 and 31, special care should 
be taken to enable the least-developed OCT to maximize 
their capabilities to manage their fishery resources. 
Article 33 
Conservation and the optimum use of the living 
resources of the sea shall be carried out through direct 
or regional cooperation or, where appropriate, through 
international organizations. TITLE IV 
COOPERATION IN THE FIELD OF COMMODITIES 
Article 34 
Cooperation with the OCT in the field of commodities 
shall take into account: 
— the fact that the economies of a large number of 
OCT are highly dependent on their exports of 
primary products, 
— the deteriorating situation of their exports in most 
cases, mainly as a result of the downward trend in 
world prices, 
— the structural nature of the difficulties in many 
commodity sectors both within the economies of the 
OCT and at international level. 
Article 35 
The main objectives of cooperation in the field of 
commodities are: 
— diversification, both horizontal and vertical, of the 
OCT economies, in particular through the devel­
opment of processing, marketing, distribution and 
transport (PMDT), and 
— improvement of the competitiveness of OCT 
commodities on world markets through the reorgan­
ization and rationalization of their production, 
marketing and distribution activities. 
All appropriate means should be deployed to enable 
them to go as far as possible in the attainment of these 
objectives; to that end coordinated use should be made 
of the range of instruments and resources of this 
Decision. 
Article 36 
Cooperation operations in the field of commodities shall 
be directed towards developing international, regional 
and local markets; they shall be carried out in 
accordance with the detailed rules and procedures laid 
down in this Decision, notably those relating to devel­
opment finance cooperation. In this context, they may 
also cover: 
1. the enhancement of human resources, including in 
particular: 
— training programmes and courses for operators in 
the sectors concerned, 
— support for local or regional schools and training 
institutes specializing in the sector; 
No C 95/12 Official Journal of the European Communities 11.4.91 
2. the fostering of investments by Community and OCT 
economic operators in the sector concerned, notably 
by means of: 
— information and awareness-raising campaigns 
directed at operators likely to invest in activities 
that diversify and add value to OCT commodities, 
— a more dynamic use of risk capital for firms 
wishing to invest in these PMDT activities, 
— utilization of the pertinent provisions on 
investment promotion, protection, financing and 
support; 
3. the development and improvement of the infra­
structure necessary for activities in the sector 
concerned, and notably transport and telecommuni­
cations networks. 
Article 37 
In pursuit of the objectives set out in Article 35, 
particular importance shall be attached to: 
— ensuring that market signals, whether local, regional 
or international, are duly taken into account, 
— taking account of the economic and social impact of 
the operations carried out, 
— ensuring greater consistency at regional and interna­
tional level between the strategies pursued by the 
various OCT concerned, 
— seeking an effective distribution of resources between 
the various activities and operators in the production 
sectors concerned. 
TITLE V 
INDUSTRIAL DEVELOPMENT, MANUFACTURING 
AND PROCESSING 
Article 38 
In order to facilitate the attainment of the industrial 
development objectives of the OCT, it is important to 
ensure that an integrated and sustainable development 
strategy, which links activities in different sectors to each 
other, is envolved. Thus sectoral strategies for agri­
cultural and rural development, manufacturing, mining, 
energy infrastructure and services should be designed in 
such a way as to foster interlinkages within and between economic sectors with a view to maximizing local value 
added and creating, where possible, an effective capacity 
to export manfactured products, while ensuring the 
protection of the environment and natural resources. 
These objective shall be pursued by implementing, in 
addition to the specific provisions on industrial 
cooperation, the provisions on trade promotion for OCT 
products and private investments. 
Article 39 
Industrial cooperation, as a key instrument for industrial 
development, shall have as its objectives: 
(a) the creation of the basis of an framework for 
effective cooperation between the Community and 
the OCT in the fields of manufacturing and 
processing, mineral resources development, energy 
resources development, transport and communi­
cations; 
(b) the promotion of conditions conducive to industrial 
enterprise development, and local and external 
investment; 
(c) improvement of capacity utilization and rehabili­
tation of existing industrial undertakings which are 
potentially viable, in order to restore the productive 
capacities of OCT economies; 
(d) fostering the creation of and participation in enter­
prises by OCT nationals, especially small and 
medium-sized enterprises that produce and/or use 
local inputs; promotion of new enterprises and 
strengthening of existing ones; 
(e) support for the establishment of new industries to 
supply the local market in a cost-effective manner 
and ensure the growth of the non-traditional export 
sector in order to increase earnings, provide 
employment opportunities and increase real incomes; 
(f) promoting increasingly close relations in the 
industrial field between the Community and the 
OCT, and in particular further encouraging the 
speedy establishment of EEC-OCT industrial joint 
ventures; 
(g) promoting business associations in the OCT as well 
as other institutions for industrial enterprise and 
business development. 
Article 40 
The Community \ shall assist the OCT in the 
improvement of their institutional framework, rein­
forcement of their financing institutions and the estab­
lishment, rehabilitation and improvement of 
11.4.91 Official Journal of the European Communities No C 95/13 
industry-related infrastructure. The Community shall 
equally assist the OCT in their efforts to integrate 
industrial structures at regional and inter-regional level. 
Article 41 
On the basis of a request from the relevant authorities of 
a country or territory, the Community shall provide the 
assistance required in the field of industrial training at all 
levels, bearing notably on the evaluation of industrial 
training needs and the establishment of corresponding 
programmes, the setting-up and operation of local or 
regional OCT industrial training establishments, training 
for OCT nationals in appropriate establishments, 
on-the-job training both in the Community and in the 
OCT and also cooperation between industrial training 
establishments in the Community and their counterparts 
in the OCT, and between the latter and those of other 
developing countries. 
Article 42 
In order to achieve the objectives of industrial devel­
opment, the Community shall assist in the establishment 
and expansion of all types of viable industry which have 
been identified by the relevant authorities of the OCT as 
important in terms of their industrialization objectives 
and priorities. 
In this context the following areas merit particular 
attention: 
(i) manufacturing and processing of primary products: 
(a) industries processing, on a local or regional 
basis, raw materials for export; 
(b) industries based on local needs and resources, 
focused on local and regional markets and 
mainly small and medium-sized markets; 
industries geared to the modernization of agri­
culture, the efficient processing of agricultural 
inputs and tools; 
(ii) engineering, metallurgical and chemical industries: 
(a) engineering enterprises for the production of 
tools and equipment primarily tailored to main­
taining existing plant and equipment in the 
OCT. These enterprises should, as a matter of 
priority, support the manufacturing and processing sector, the major export sectors, and 
small and medium-sized enterprises directed at 
satisfying basic needs; 
(b) metallurgical industries based on the mining 
products of the OCT, aimed at the secondary 
processing of mining products to supply OCT 
engineering and chemical industries; 
(c) chemical industries, particularly on a small and 
medium scale, aimed at the secondary 
processing of mineral products to supply the 
other branches of industry, and also the agri­
cultural and health sectors; 
(iii) industrial rehabilitation and capacity utilization: the 
restoration, upgrading, reorganization, restructuring 
and maintenance of existing potentially viable 
industrial capacities. Special emphasis should be put 
in this respect on industries with a low import 
content that provide up-stream and down-stream 
linkages and have a favourable effect on 
employment. Rehabilitation activities should be 
targeted at the creation of conditions necessary to 
make enterprises being rehabilitated self-sustaining. 
Article 43 
The Community shall assist the OCT to develop, during 
the period of application of this Decision, as a matter of 
priority, viable industries, as defined in Article 42, in 
accordance with the capacities and decisions of the 
relevant authorities of each country or territory and their 
respective endowments, taking into account the 
adjustment of industrial structures taking place in the 
OCT, the Community and throughout the world. 
Article 44 
The Community shall contribute in a spirit of mutual 
interest to the development of EEC-OCT, intra-OCT 
and OCT-ACP cooperation between enterprises by way 
of information and industrial promotion activities. 
The aim of such activities shall be to intensify the regular 
exchange of information, organize the contacts required 
in the industrial sphere between industrial policy-makers, 
promoters and economic operators from the Community, 
the OCT and the ACP States, carry out studies, notably 
feasibility studies, facilitate the establishment and 
operation of OCT industrial promotion bodies and foster 
No C 95/14 Official Journal of the European Communities 11. 4. 91 
joint investment, subcontracting arrangements and any 
other form of industrial cooperation between enterprises 
in the Member States of the Community, in the OCT 
and in the ACP States. 
Article 45 
The Community shall contribute to the establishment 
and development of small and medium-sized enterprises 
in the artisanal, commercial, service and industrial 
sectors in view of the essential role that these enterprises 
play in the modern and informal sectors in building up a 
diversified economic fabric and in the general devel­
opment of the OCT, and in view of the advantages they 
offer as regards the acquisition of skills, the integrated 
transfer and adaptation of appropriate technology and 
opportunities for taking the best advantage of local 
manpower. The Community shall also help with sectoral 
evaluation and the establishment of action programmes, 
with the setting-up of appropriate infrastructure, the 
establishment, strengthening and operation of institutions 
providing information, promotion, extension, training, 
credit or guarantee and transfer of technology facilities. 
The Community and the relevant authorities of the OCT 
shall encourage cooperation and contact between small 
and medium-sized enterprises in the Member States, the 
OCT an the ACP States. 
Article 46 
With a view to assisting the OCT to develop their tech­
nological base and indigenous capacity for scientific and 
technological development and facilitating the 
acquisition, transfer and adaption of technology on 
terms that will bring about the greatest possible benefits 
and minimize costs, the instruments of development 
finance cooperation may be used to contribute to: 
(a) the establishment and strengthening of 
industry-related scientific and technical infrastructure 
in the OCT; 
(b) the drawing-up and implementation of research and 
development programmes; 
(c) the identification and creation of opportunities for 
collaboration among research institutes, institutions 
of higher learning and enterprises of the OCT, the 
ACP States, the Community, the Member States and 
other countries; 
(d) the establishment and promotion of activities aimed 
at the consolidation of appropriate indigenous tech­
nology and the acquisition of relevant foreign tech­
nology, in particular that of other developing 
countries; (e) the identification, evaluation and acquisition of 
industrial technology, including the negotiation on 
favourable terms and conditions of foreign tech­
nology, patents and other industrial property, in 
particular through financing or through other 
suitable arrangements with firms and institutions 
within the Community; 
(f) providing advisory services for the preparation of 
regulations governing the transfer of technology and 
for the supply of available information, in particular 
on the terms and conditions of technology contracts, 
the types and sources of technology, and the 
experience of the OCT and other countries with the 
use of certain types of technology; 
(g) the promotion of technology cooperation between 
OCT and between them and the ACP States or other 
developing countries, including support to research 
and development units, in particular at regional level, 
in order to make the best use of any particularly 
appropriate scientific and technical facilities they 
may possess; 
(h) facilitating, wherever possible, access to and use of 
documentary and other data sources available in the 
Community. 
Article 47 
In order to enable the OCT to obtain full benefit from 
the trade arrangements and other provisions of this 
Decision, promotion schemes shall be undertaken for the 
marketing of OCT industrial products on both 
Community and other external markets, and also in 
order to stimulate and develop trade in industrial 
products among the OCT and between the OCT and 
ACP States. Such schemes shall cover market research, 
marketing and the quality and standardization of manu­
factured goods, in accordance with Articles 152 and 153 
and taking into account Articles 84 and 85. 
Article 48 
At the request of their relevant authorities, the OCT may 
be eligible for the services of the Centre for the Devel­
opment of Industry (CDI), the objectives and activities 
of which are described in Articles 89 and 90 respectively 
of the Convention, or those of the Euro Business Infor­
mation Centres set up under the Community's business 
promotion policy. 
Any costs resulting from services provided by the Centre 
or the Euro Business Information Centres for the benefit 
11. 4. 91 Official Journal of the European Communities No C 95/15 
of the OCT shall be financed from the funds provided 
for in Article 154 for whichever of the three groups 
those OCT belong to. 
Article 49 
1. In implementing this Title, the Community shall 
pay special attention to the specific needs and problems 
of the least-developed OCT in order to establish the 
basis for their industrialization (the formulation of 
industrial policies and strategies, economic infrastructure 
and industrial training), notably with a view to adding 
value to raw materials and other local resources in the 
following fields, in particular: 
— processing of raw materials, 
— development, transfer and adaptation of techno­
logies, 
— development and financing of schemes in favour of 
small and medium-sized enterprises, 
— development of industrial infrastructure and energy 
and mining resources, 
— adequate training in the scientific and technical areas, 
— production of equipment and inputs for the rural 
sector. 
Such operations may be implemented with assistance 
from the CDI or the Euro Business Information Centres. 
2. At the request of one or more of the least-
developed countries or territories, the CDI shall grant 
special assistance for identification of on-the-spot 
industrial promotion and development possibilities, 
notably in raw materials processing and the production 
of equipment and inputs for the rural sector. 
Article 50 
In order to implement industrial cooperation, the 
Community shall help carry out programmes, projects 
and operations submitted to it on the initiative or with 
the agreement of the relevant authorities of the OCT. To 
this end, it shall use all the means provided in this 
Decision, notably those at its disposal under devel­
opment finance cooperation and, in particular, those 
which are the responsibility of the Bank, without prejudice to operations to assist OCT in mobilizing 
finance from other sources. 
Industrial cooperation programmes, projects and oper­
ations which involve Community financing shall be 
implemented in conformity with Title III of Part 3 of 
this Decision, having regard to the particular charac­
teristics of aid operations in the industrial sector. 
TITLE VI 
MINING DEVELOPMENT 
Article 51 
The main objectives of mining development shall be to: 
— exploit all types of mineral resources in a way which 
ensures the profitability of mining operations in both 
export and local markets, while also meeting environ­
mental concerns, and 
— enhance the potential of human resources, 
with a view to promoting and expediting diversified 
economic and social development. 
Article 52 
At the request of the relevant authorities of one or more 
of the OCT, the Community shall carry out technical 
assistance or training avtivities to strengthen their 
scientific and technical capacity in the field of geology 
and mining in order that they may derive greater benefit 
from available know-how and direct their exploration 
and prospecting programmes accordingly. 
Article 53 
Having regard to local, national and external economic 
considerations and with a view to diversification, the 
Community shall cooperate, as appropriate, through its 
technical and financial assistance programmes with the 
OCT in their prospecting and exploration efforts at all 
stages, both onshore and on the continental shelf as 
defined in international law. 
Where appropriate, the Community shall also give its 
technical and financial assistance to the establishment of 
local, national or regional exploration funds in the OCT. 
No C 95/16 Official Journal of the European Communities 11. 4. 91 
Article 54 
With the aim of supporting efforts to exploit the OCT's 
mining resources, the Community shall contribute 
towards the support of projects to rehabilitate, maintain, 
rationalize and modernize economically viable 
production units in order to make them more opera­
tional and more competitive. 
It shall also contribute to the identification, drawing-up 
and implementation of new viable projects to an extent 
compatible with investment and management capacities 
as well as market trends, taking particular account to the 
financing of feasibility and pre-investment studies. 
Particular attention shall be accorded to: 
— operations to enhance the role of small and 
medium-scale projects, so promoting local mining 
enterprises with particular emphasis on minerals for 
industry and agriculture, destined notably for the 
local or regional markets, and also new products, 
and 
— operations to protect the environment. 
Cooperation shall also support the efforts of the relevant 
authorities of the OCT to: 
— build up supporting infrastructure, 
— take measures to ensure that mining development 
makes the greatest possible contribution to the 
producer countries' social and economic devel­
opment, such measures including the optimal use of 
mining revenue and the integration of mining devel­
opment into industrial development and into an 
appropriate policy of land use planning, 
— encourage investment, 
— promote regional cooperation. 
Article 55 
In order to contribute to the objectives set out above, the 
Community shall be prepared to give its technical and 
financial assistance to help with the exploitation of the 
OCT's mining protential in accordance with the 
procedures appropriate to each of the instruments at its 
disposal and according to the provisions of this Decision. 
In the sphere of research and investment, preparatory to 
the launching of mining projects, the Community may 
give assistance in the form of risk capital, possibly in 
conjunction with contributions of capital from the OCT 
concerned and other sources of financing, in accordance 
with the procedures laid down in Article 156. The resources referred to in jthese provisions may be 
supplemented, for projects of mutual interest, by: 
(a) other Community financial and technical resources; 
(b) action aimed at the mobilization of public and 
private capital, including co-financing. 
Article 56 
The Bank may, in accordance with its Statute, commit its 
own resources on a case-by-case basis beyond the 
amount fixed in Article 154 for mining investment 
projects recognized by the relevant authorities of the 
country or territory concerned and by the Community as 
being of mutual interest. 
TITLE VII 
ENERGY DEVELOPMENT 
Article 57 
In view of the seriousness of the energy situation in the 
majority of the OCT, owing partly to the crisis caused in 
many countries by dependence on imported petroleum 
products, and in view of the effects the use of fossil fuels 
have on the climate, there should be cooperation in this 
area with a view to finding solutions to their energy 
problems. 
Particular emphasis shall be placed on energy 
programming, operations for saving and making efficient 
use of energy, reconnaissance of energy potential and 
the economically and technically appropriate promotion 
of new and renewable sources of energy. 
Article 58 
Cooperation in the field of energy shall promote the 
development of the OCT's conventional and 
non-conventional energy potential and their self-suffi­
ciency. 
The main objectives of energy development shall be to: 
(a) promote economic and social development by 
exploiting and developing local and regional energy 
resources in an appropriate manner from the 
technical, economic and environmental viewpoints; 
(b) make energy production and use more efficient and, 
where the potential exists, increase energy self-suffi­
ciency; 
11.4.91 Official Journal of the European Communities No C 95/17 
(c) encourage increased use of alternative, new and 
renewable energy sources; 
(d) improve living conditions in urban, outlying and 
rural areas and propose solutions to these areas' 
energy problems that are appropriate to local needs 
and resources. 
Article 59 
In order to attain the abovementioned objectives, energy 
cooperation schemes may, at the request of the relevant 
authorities of one or more of the OCT concerned, be 
focused on: 
(a) collection, analysis and dissemination of relevant 
information; 
(b) strengthening the OCT's management and control of 
their energy resources in line with their development 
objectives in order to enable them to appraise energy 
demand and supply options and to achieve strategic 
energy planning, inter alia, by supporting energy 
programming and providing technical assistance for 
departments responsible for the planning and 
execution of energy policies: 
(c) analysing the energy implications of development 
projects and programming, taking account of the 
energy savings required and of opportunities for 
primary source substitution; in this context, oper­
ations shall be designed to increase the role played 
by new and renewable resources, particularly in rural 
areas, through programmes and projects tailored to 
local needs and resources; 
(d) implementing suitable programmes involving small 
and medium-sized energy development projects; 
(e) enhancing investment potential for the exploration 
and development of local and regional energy 
sources and also the development of sites of excep­
tional energy produciton permitting the estab­
lishment of energy-intensive industry; 
(f) promoting research, adaptation and dissemination of 
appropriate technology as well as the training needed 
to meet energy-related manpower needs in the 
energy sector; 
(g) stepping up the OCT's research and development 
activities, particularly as regards the development of 
new and renewable sources of energy; 
(h) upgrading the basic infrastructure necessary for the 
production, transmission and distribution of energy 
with particular emphasis on rural electrification; (i) encouraging cooperation among OCT and between 
the OCT and ACP States in the energy sector, 
notably cooperation between the OCT, ACP States 
and other neighbouring States receiving Community 
aid. 
Article 60 
The objectives referred to above may be pursued with 
the financial and technical assistance of the Community 
to help with the exploitation of the OCT's energy 
potential in accordance with the procedures laid down 
for each of the instruments at the Community's disposal 
and according to the provisions of this Decision. 
In the sphere of research and investment preparatory to 
the launching of energy projects, the Community may 
give assistance in the form of risk capital, possibly in 
conjunction with contributions of capital from the 
Member States and the OCT concerned and other 
sources of financing, in accordance with the procedures 
laid down in Article 156. 
The resources referred to in these provisions may be 
supplemented, for projects of mutual interest, by: 
(a) other Community financial and technical resources; 
(b) action aimed at the mobilization of public and 
private capital, including co-financing. 
Article 61 
The Bank may, in accordance with its Statue, commit its 
own resources on a case-by-case basis beyond the 
amount fixed in Article 154 for energy investment 
projects recognized by the relevant authorities of the 
country or territory concerned and by the Community as 
being of mutual interest. 
TITLE VIII 
ENTERPRISE DEVELOPMENT 
Article 62 
1. The Community stresses that: 
(i) enterprises constitute one of the main instruments 
for achieving the objectives of strengthening the 
economic fabric, encouraging inter-sectoral in­
tegration and increasing employment, incomes and 
the level of skills; 
No C 95/18 Official Journal of the European Communities 11.4.91 
(ii) present efforts by the relevant authorities of the 
OCT to restructure their economies should be 
complemented by efforts to strengthen and enlarge 
their productive base. The enterprise sector should 
play an important part in the OCFs strategies to 
revive growth; 
(iii) a stable and propitious environment should be 
created together with an effective national and local 
financial sector with a view to reinvigorating the 
enterprise sector in the OCT and to encouraging 
European investment; 
(iv) the private sector needs to be made more dynamic 
and play a greater role, in particular through small 
and medium-sized enterprises, which are better 
suited to conditions prevailing in the OCT 
economies. Micro-firms and crafts should equally be 
encouraged and supported; 
(v) private foreign investors complying with the 
objectives and priorities of the association should be 
encouraged to participate in the development efforts 
of the OCT. Fair and equitable treatment should be 
accorded to such investment as well as a propitious, 
secure and predictable investment climate; 
(vi) the fostering of entrepreneurship in the OCT is 
crucial for unlocking the OCT'S considerable 
potential. 
2. Efforts should be made to channel an increased 
porportion of the Decisions's financial resources 
available under the Decision towards the encouragement 
of entrepreneurship and investment and to directly 
productive activities. 
Article 63 
In pursuit of the abovementioned objectives, the full 
range of instruments provided for by this Decision, 
including technical assistance, should be deployed in the 
following areas with a view to sustaining private-sector 
development: 
(a) support for the improvement of the legal and fiscal 
framework for business, and development of a 
greater role for professional organizations and 
chambers of commerce in the process of enterprise 
development; 
(b) direct assistance for the creation and the devel­
opment of business (specialized business start-up 
services; assistance for the redeployment of ex-public 
sector employees; assistance for technology-transfers 
and development; management services and market 
research); (c) the development of services in support of the 
business sector so as to provide enterprises with 
advisory services in the legal, technical and mana­
gerial fields; 
(d) specific programmes for training and developing the 
capacity of individual entrepreneurs, particularly in 
the small-scale and informal sectors. 
Article 64 
In order to support the development of savings and local 
financial sectors, the following areas of action merit 
special attention: 
(a) assistance for the mobilization of local savings and 
the development of financial intermediaries; 
(b) technical assistance for the restructuring and reform 
of financial institutions. 
Article 65 
With a view to assisting enterprise development in the 
OCT, the Community shall provide technical and 
financial assistance, subject to the conditions laid down 
in Title III of Part 3. 
TITLE IX 
DEVELOPMENT OF SERVICES 
Chapter 1 
Objectives and principles of cooperation 
Article 66 
1. Services are important for the formulation of devel­
opment policies, and cooperation in this sphere needs to 
be stepped up. 
2. The Community shall support the efforts of the 
relevant authorities of the OCT to increase their 
domestic capacity to provide services with a view to 
improving the working of their economies, relieving 
balance of payment constraints and stimulating the 
process of regional integration. 
3. The object is to ensure that the OCT derive 
maximum benefit from the provisions of this Decision, at 
local and regional leval, and to enable them to: 
— participate under the most favourable conditions in 
Community, local, regional and international markets 
by diversifying the range and increasing the value 
and volume of OCT trade in goods and services, 
11.4.91 Official Journal of the European Communities No C 95/19 
increase their' collective capacity by means of greater 
economic integration and consolidation of functional 
cooperation or cooperation on specific themes, 
stimulate enterprise development, notably by 
encouraging EEC-OCT investment in services, with a 
view to creating employment, generating and distri­
buting' revenue and facilitating the transfer and adap­
tation of technology to specific OCT needs, 
derive maximum benefit from local or regional 
tourism and improve their participation . in world 
tourism, 
set up the transport and communications networks 
and informatics and telematics systems needed for 
their development, 
step up vocational training activities and transfer 
know-how in view of the determining role of human 
resources in the development of services. Article 68 
In the field of the development of services, particular 
attention shall be given to the specific needs and 
economic situations of the least-developed OCT. 
Chapter 2 
Services that support economic development 
Article 69 
In pursuit of cooperation objectives in this sector, 
cooperation shall concern marketed services, without, 
however, this leading to neglect of certain parastatal 
services required to improve the economic environment, 
such as customs computerization, by giving priority to 
the the following services: 
— services that support foreign trade, 
4. In pursuit of these aims, recourse shall be had, in 
addition to the specific provisions on services, to those 
on trade, trade promotion, industrial development, 
investment and education and training. — services required by the business sector, 
— services that support regional integration. 
Article 67 
1. In view of the wide range of services and their 
unequal contribution to development, and with a view to 
maximizing the impact of Community aid on the devel­
opment of OCT, particular attention shall be paid to 
services necessary for their economies in the following 
areas: Article 70 
To help restore the OCT's external competitiveness, 
cooperation in the field of services shall give priority to 
services that support external trade, the scope of which is 
as follows: 
— services that support economic development, 
— tourism, 
transport, communications and information tech­
nology. 
2. In order to implement cooperation in services, the 
Community shall help carry out programmes, projects 
and operations sumbitted to it on the initiative, or with 
the agreement, of the relevant authorities of the OCT. 
To this end, it shall use all the means provided for in this 
Decision, notably those at its disposal under devel­
opment finance cooperation, including those which are 
the responsibility of the Bank. (i) the creation of appropriate infrastructure for trade, 
in particular through operations to improve external 
trade statistics, automation of customs procedures, 
port and airport management and the establishment 
of closer links between the various protagonists in 
trade, including exporters, trade financing bodies, 
customs and central banks; 
(ii) the promotion of specially trade-oriented services 
such as trade promotion measures that are also 
applicable to services; 
(iii) the development of other external trade-linked 
services such as trade financing and clearing and 
payment facilities, and access to information 
networks. 
No C 95/20 Official Journal of the European Communities 11. 4. 91 
Article 71 
To foster a strengthening of the economic fabric of the 
OCT, taking account of the provisions on enterprise 
development, particular attention shall be paid do the 
following areas: 
(i) business advisory services to improve the running of 
undertakings, notably by facilitating access to 
services in the fields of management, accountancy, 
information technology, legal advice, tax 
consultancy and finance; 
(ii) the setting-up of adequate, appropriate and flexible 
business financing facilities to stimulate the growth 
or setting-up of undertakings in the field of services; 
(iii) strengthening the OCT's capacity in financial 
services and technical assistance for developing 
insurance and credit institutions in the field of trade 
development and promotion. 
Article 72 
To underpin economic integration designed to create 
viable economies, and in view of the provisions on 
regional cooperation, particular attention shall be given 
to the following areas: 
(i) services to support trade in goods between OCT 
and between OCT and ACP States through trade 
measures such as market studies; 
(ii) services required for the expansion of trade in 
services between OCT, and between OCT and ACP 
States, with a view to enhancing their complemen­
tarity, notably by extending traditional trade 
promotion measures, adapted where necessary to 
the services sector; 
(iii) the creation of regional centres of services aimed at 
supporting specific economic sectors or jointly 
implemented sectoral policies, notably through the 
development of modern communications and infor­
mation networks and computerized data banks. 
Chapter 3 
Tourism 
Article 73 
In view of the real importance of the tourist industry for 
the OCT, measures and operations to develop and 
support tourism shall be implemented. These measures 
shall be implemented at all levels, from the identification 
of the tourist product to the marketing and promotion 
stage. The aim shall be to support the efforts of the relevant 
authorities of the OCT to derive maximum benefit from 
local, regional and international tourism in view of 
tourism's impact on economic development and to 
stimulate private financial flows from the Community 
and other sources into the development of tourism in the 
OCT. Particular attention shall be given to the need to 
integrate tourism into the social, cultural and economic 
life of the people. 
Article 74 
Specific tourism development measures shall be aimed at 
the definition, adaptation and development of appro­
priate policies at local, regional, subregional and inter­
national levels. Tourism development programmes and 
projects shall be based on these policies on the basis of 
the following four components: 
(a) human resources and institutional development, inter 
alia: 
— professional management development in specific 
skills and continuous training at appropriate 
levels in the private and public sectors to ensure 
adequate planning and development, 
— establishment and strengthening of tourism 
promotion centres, 
— education and training for specific segments of 
the population and public/private organizations 
active in the tourism sector, including personnel 
involved in sectors that support tourism, 
— intra-OCT and OCT-ACP cooperation and 
exchanges in the fields of training, technical 
assistance and the development of institutions; 
(b) product development, inter alia: 
— identification of the tourism product, devel­
opment of non-traditional and new tourism 
products, adaptation of existing products 
including the preservation and development of 
cultural heritage, ecological and environmental 
aspects, management, protection and conser­
vation of flora and fauna, historical, social and 
other natural assets, development of ancillary 
services, 
11. 4. 91 Official Journal of the European Communities No C 95/21 
promotion of private investment in the OCFs 
tourist industries, including the creation of joint 
ventures, 
provision of technical assistance for the hotel 
industry, 
production of crafts of a cultural nature for the 
tourist market; 
(c) market development, inter alia: 
assistance for the definition and execution of 
objectives and market development plans at local, 
subregional, regional and international levels, 
provision of support for OCT's efforts to gain 
access to services for the tourist industry such as 
central reservation systems and air traffic control 
and security systems, 2. Cooperation in the area of communications shall be 
aimed at the development of postal services and telecom­
munications, including radiocommunications and infor­
matics. 
3. Cooperation in these areas shall be directed 
particularly towards the following, objectives: 
(a) the creation of conditions fostering the movement of 
goods, services and persons at local, regional and 
international level; 
(b) the provision, rehabilitation, maintenance and 
efficient operation of cost-effective systems serving 
the requirements of social and economic devel­
opment and adjusted to the needs of users and to the 
overall economic situation of the OCT concerned; 
(c) greater complementarity of transport and communi­
cations systems at local, regional and international 
level; 
provision of marketing and promotional measures 
and materials in the framework of integrated 
market development plans and programmes and 
with a view to improved market penetration, 
aimed at the main generators of tourism flows in 
traditional and non-traditional markets as well as 
specific activities such as participation at 
specialized trade events, such as fairs, production 
of quality literature, films and marketing aids; 
(d) research and information, inter alia: 
— improving tourism information and collecting, 
analysing, disseminating and utilizing statistical 
data, 
— assessment of the socio-economic impact of 
tourism on the economies of the OCT with 
particular emphasis on the development of 
linkages to other sectors in the OCT and the 
surrounding regions, such as food production, 
construction, technology and management. 
Chapter 4 
Transport, communications and informatics 
Article 75 
1. Cooperation in the area of transport shall be aimed 
at the development of road transport, railways, port 
installations and shipping, transport by domestic 
waterways and air transport. (d) the harmonization of the local systems installed in 
the OCT, while facilitating their adjustment to tech­
nological progress; 
(e) the reduction of barriers to cross-border transport 
and communications, in terms of legislation, regu­
lations and administrative procedures. 
Article 76 
1. In all cooperation projects and programmes in the 
fields concerned, efforts shall be made to ensure an 
appropriate transfer of technology and know-how. 
2. Particular attention shall be given to training OCT 
nationals in the planning, management, maintenance and 
operation of transport and communications systems. 
Article 77 
1. Air transport is important in forging closer 
economic, cultural and social links among the OCT, 
between them and the ACP States and also between 
them and the Community, in improving the communi­
cations of isolated or not easily accessible regions and in 
developing tourism. 
2. The objective of cooperation in this field shall be to 
promote the harmonious development of local and 
regional OCT air transport networks and the moderni­
zation of local fleets of aircraft in line with technical 
progress, the implementation of the international Civil 
Aviation Organization (ICAO) air navigation plan, the 
improvement of reception infrastructure and the 
No C 95/22 Official Journal of the European Communities 11. 4. 91 
application of international operating standards, the 
development and improvement of aircraft maintenance 
centres, the provision of training and the development of 
modern airport security systems. 
Article 78 
1. Shipping services are one of the forces behind 
economic development and promotion of trade between 
the OCT and the Community. 
2. The objective of cooperation in this field shall be to 
ensure harmonious development of efficient and reliable 
shipping services on economically satisfactory terms by 
facilitating the active participation of all parties 
according to the principle of unrestricted access to the 
trade on a commercial basis. 
Article 79 
In the framework of financial and technical assistance 
for shipping, special attention shall be given to: 
— effective development of efficient and reliable 
shipping services in the OCT, notably the gearing of 
port infrastructure to meet traffic requirements and 
the maintenance of port equipment, 
— maintenance or acquisition of handling equipment 
and watercraft and their modernization in line with 
technical progress, 
— development of inter-regional shipping with a view to 
encouraging intra-OCT and OCT—ACP cooperation 
and improvements in the functioning of the OCT's 
shipping, 
— technology transfer including multimodal transport 
and containerization for the promotion of joint 
ventures, 
— setting-up of appropriate legislative and adminis­
trative infrastructure and the improvement of port 
management, notably through vocational training, 
— development of inter-island shipping services and 
connecting infrastructure and increased cooperation 
with economic operators. 
Article 80 
Particular importance shall be attached to the promotion 
of shipping safety and the security of crews, and to the 
prevention of pollution. Article 81 
1. In the field of cooperation on communications, 
particular attention shall be paid to technological devel­
opment in supporting the OCT's efforts to establish and 
develop effective systems. This includes studies and 
programmes concerning satellite communication, where 
this is justified by operational considerations, in 
particular at regional and subregional level. Cooperation 
shall also cover means of observation of the earth by 
satellite for meteorology and remote sensing purposes, 
notably their use in connection with all forms of 
pollution, the management of natural resources, agri­
culture and mining in particular, and land use planning. 
2. Particular importance shall be attached to telecom­
munications in rural areas, in order to stimulate their 
economic and social development. 
Article 82 
The aim of cooperation in the field of information tech­
nology shall be the building-up of the OCT's infor­
mation technology and telematics capacity by offering 
countries which wish to give high priority to this sector 
support for their efforts to acquire and install infor­
mation technology systems; the development of efficient 
telematic networks, including international financial 
information; the production, in time, of computer 
components and software in the OCT; their participation 
in international activities in the field of data processing 
and the publication of books and reviews. 
Article 83 
Cooperation activities in the transport and com­
munications fields shall be carried out in accordance 
with the provisions and procedures laid down in Title III 
of Part 3. 
TITLE X 
TRADE DEVELOPMENT 
Article 84 
With a view to attaining the objectives set out in Article 
100, the Community shall implement measures for the 
development of trade at all stages up to final distribution 
of the product. 
The object is to ensure that the OCT derive the 
maximum benefit from the provisions of this Decision in 
the fields of trade, agricultural and industrial 
11. 4. 91 Official Journal of the European Communities No C 95/23 
cooperation and may participate under the most 
favourable conditions in Community, domestic, subre-
gional, regional and international markets by diversifying 
the range and increasing the value and the volume of the 
OCT's trade in goods and services. 
Article 85 
1. In promoting the development of trade and 
services, in addition to development of trade between the 
OCT and the Community, particular attention shall be 
given to operations designed to increase the OCTs self-
reliance, to developing intra-OCT, OCT—ACP and 
international trade and to improving regional 
cooperation in trade and services. 
2. Operations shall be undertaken at the request of 
the relevant authorities of the OCT, particularly in the 
following areas: 
— the establishment of coherent trade strategies, 
— development of human resources and professional 
skills in the field of trade and services, 
— the establishment, adaptation and strengthening of 
organizations in the OCT dealing with the devel­
opment of trade and services, particular attention 
being paid to the special needs of organizations in 
the least-developed OCT, 
— support for the OCT's efforts to develop and 
improve the quality of their products, adapt them to 
market requirements and diversify their outlets, 
— market development measures, including increasing 
contacts and exchange of information between 
economic operators in the OCT, the Member States 
of the Community and third countries, 
— support for the OCT in the application of modern 
marketing techniques in production-oriented sectors 
and programmes in areas such as rural development 
and agriculture, 
— support for the OCT's efforts to develop and 
improve support service infrastructure, including 
transport and storage facilities, in order to ensure 
effective distribution of goods and services and 
enhance the flow of exports from the OCT, — support for the OCT in developing their internal 
capacities, information systems and awareness of the 
role and importance of trade in economic devel­
opment, 
— support for small and medium-sized enterprises in 
identifying and developing products, market outlets 
and joint marketing ventures. 
3. With a view to expediting procedures, financing 
decisions may deal with multiannual programmes in 
accordance with the provisions of Article 196 on 
implementation procedures. 
4. Support for the OCT's participation in trade fairs, 
exhibitions and trade missions should be provided only 
where such events form an integral part of overall trade 
development programmes. 
5. Participation of the least-developed OCT in various 
trade activities shall be encouraged by special provisions, 
inter alia, the payment of travel expenses of personnel 
and costs of transporting exhibits on the occasion of 
their participation in local, regional and third-country 
fairs, exhibitions or trade missions, including the cost of 
the temporary construction and/or renting of exhibition 
booths and stalls. Special assistance shall be provided to 
the least-developed OCT for the preparation and/or 
purchase of promotional material. 
Article 86 
Within the framework of the instruments provided for in 
this Decision and in accordance with the provisions for 
development finance cooperation, assistance for the 
development of trade and services shall include technical 
assistance for the establishment and development of 
insurance and credit institutions in connection with trade 
development. 
Article 87 
In addition to the appropriations which, within the 
framework of the indicative programmes referred to in 
Article 187, may be allocated by each country or 
territory to the financing of operations to develop the 
fields referred to in Titles IX and X of Part 2, the 
contribution of the Community to the financing of such 
operations, where they are of a regional nature, may 
amount, within the framework of the regional 
cooperation programmes referred to in Article 90, to the 
amount provided for in Article 154 of this Decision. 
No C 95/24 Official Journal of the European Communities 11. 4. 91 
TITLE XI 
CULTURAL AND SOCIAL COOPERATION 
Article 88 
Cooperation shall contribute to the self-reliant devel­
opment of the OCT, a process centred on man himself 
and rooted in each people's culture. The human and 
cultural dimension must embrace all areas and be 
reflected in all development projects and programmes. 
Cooperation shall back up the policies and measures 
adopted by the relevant authorities of the OCT to 
enhance their human resources, increase their own 
creative capacities and promote their cultural identities. 
It shall foster participation by the population in the 
process of development. 
In particular such cooperation shall be carried out by: 
— taking into account the cultural and social dimension, 
— promoting cultural identities and inter-cultural 
dialogue, notably in connection with the safe­
guarding of the cultural heritage, the production and 
dissemination of cultural products, cultural events, 
and information and communications, 
— implementing operations to enhance human 
resources, particularly with regard to education and 
training, scientific and technical cooperation, the role 
of women in development, health and nutrition, and 
population and demography. 
Article 89 
Cultural and social cooperation operations shall be 
carried out in accordance with the procedures laid down 
in Title III of Part 3. 
TITLE XII 
REGIONAL COOPERATION 
Article 90 
1. The Community shall support the efforts of the 
relevant authorities of the OCT through regional 
cooperation and integration to promote long-term 
collective and self-reliant, self-sustained and integrated 
social, cultural and economic development and greater 
regional self-sufficiency. In so doing, it shall take account of the particular legal 
systems of the OCT concerned. 
2. Community support shall be given within the 
framework of the major regional cooperation and inte­
gration objectives which the OCT have set or will set for 
themselves at regional, inter-regional and international 
level. 
3. In order to promote and strengthen the OCT's 
collective capabilities, the Community shall provide 
effective aid enabling them to strengthen regional 
economic integration and consolidate the cooperation of 
a functional type or on specific themes referred to in 
Articles 92 and 93. 
4. While taking account of local circumstances, 
regional cooperation shall transcend the concepts of 
geographical location. It shall also cover intra-OCT 
regional cooperation. 
It shall include regional cooperation between OCT, ACP 
States and overseas departments, in accordance with 
Article 98. The funding to cover the participation of 
ACP States and the overseas departments shall be 
additional to funds allocated to the OCT under the 
Decision. 
Article 91 
1. Regional cooperation shall cover operations agreed 
on between: 
— two or more or all OCT, 
— one or more of the OCT and one or more neigh­
bouring countries, ACP or non-ACP, 
— one or more of the OCT and one or more ACP 
States or overseas departments, 
— two or more regional bodies of which OCT are 
members, 
— one or more of the OCT and regional bodies of 
which OCT, ACP States or overseas departments are 
members. 
2. Regional cooperation may also cover projects and 
programmes agreed upon by two or more OCT and one 
or more neighbouring developing States, ACP or 
non-ACP, and, when special circumstances so warrant, 
between one country or territory and one or more 
non-neighbouring developing States, ACP or non-ACP. 
11.4.91 Official Journal of the European Communities No C 95/25 
Article 92 
1. In the context of regional cooperation particular 
attention shall be paid to: 
(a) evaluation and utilization of existing and potential 
dynamic complementarities in all relevant sectors; 
(b) maximization of the use of human resources in the 
OCT as well as the optimum and judicious 
exploration, conservation, processing and exploi­
tation of OCT natural resources; 
(c) promotion of scientific and technical cooperation 
among the OCT or between OCT and ACP States, 
including support for intra-OCT and intra-ACP 
technical assistance programmes as provided for in 
Article 181 (e) of the Decision; 
(d) acceleration of economic diversification in order to 
stimulate complementarity in production and intensi­
fication of cooperation and development within and 
between OCT regions, and also between the latter, 
ACP States and overseas departments; 
(e) promotion of food security; 
(f) strengthening a network of relations between indi­
vidual countries or territories or between groups of 
countries or territorities which have common charac­
teristics, affinities and problems in order to solve 
such problems; 
(g) fullest use of economies of scale wherever a regional 
solution is more efficient than a local solution; 
(h) expansion of the OCT's markets by promoting trade 
among OCT and between the OCT, ACP States and 
neighbouring third countries or overseas 
departments; 
(i) integration of the OCT's markets by liberalizing 
intra-OCT and OCT-ACP trade and eliminating 
tariff, non-tariff, monetary and administrative 
barriers. 
2. Particular stress shall be put on the promotion and 
strengthening of regional economic integration. 
Article 93 
Having regard to Article 92, the scope of regional 
cooperation shall include the following: 
(a) agriculture and rural development, notably food 
self-sufficiency and food security; (b) health programmes, including education, training, 
research and information related to primary health 
care and control of major diseases, including animal 
diseases; 
(c) evaluation, development, exploitation and preser­
vation of fishery and marine resources, including 
scientific and technical cooperation with a view to 
the surveillance of exclusive economic zones; 
(d) preservation and improvement of the environment, 
especially through programmes to combat desertifi­
cation, erosion, deforestation, coastal deterioration, 
the consequences of large-scale marine pollution, 
including large accidental discharges of petroleum 
or other pollutants with a view to ensuring rational 
and ecologically balanced development; 
(e) industrialization, including the setting-up of 
regional and inter-regional production and 
marketing enterprises; 
(f) exploitation of natural resources, notably the 
production and distribution of energy; 
(g) transport and communications, namely air and sea 
transport, inland waterways, postal services and tele­
communications ; 
(h) development and expansion of trade; 
(i) support for the setting-up or strengthening of 
regional payment mechanisms including clearing and 
financing facilities for trade; 
(j) assistance to help the OCT combat drug trafficking 
at regional and inter-regional levels; 
(k) assistance for action programmes undertaken by 
OCT and OCT-ACP and ACP-EEC trade and 
business organizations with the aim of improving the 
production and marketing of products on external 
markets; 
(1) education and training, research, science and tech­
nology, informatics, management, information and 
communication, the establishment and strengthening 
of training and research institutions and technical 
bodies responsible for technology exchanges and 
cooperation among universities; 
(m) other services, including tourism; 
(n) cultural and social cooperation activities, including 
support for action programmes implemented by 
OCT at regional level with a view to enhancing the 
No C 95/26 Official Journal of the European Communities 11. 4. 91 
status of women, improving their living conditions, 
expanding their economic and social role and 
promoting their full participation in the economic, 
cultural and social development process. 
Article 94 
1. Regional organizations duly mandated by the 
relevant authorities of the OCT or by them and the ACP 
States concerned must play an important part in the 
design and implementation of regional programmes. (a) the operation strengthens cooperation between the 
OCT and, where relevant, the ACP States concerned 
at the level of their authorities, institutions or enter­
prises, or through regional bodies or by removing 
obstacles, whether financial or in the form of regu­
lations; 
(b) two or more OCT and, where relevant, ACP States 
have entered into mutual commitments in respect of 
an operation, notably as regards the distribution of 
facilities, investment and the running thereof. 
2. They may take part in the programming exercise 
and in the implementation and management of regional 
programmes and projects. 
3. Where an operation is financed by the Community 
through a regional cooperation body, the financing 
terms applicable to the final beneficiaries shall be agreed 
between the Community and that body in agreement 
with the country or territory or countries or territories 
and, where relevant, the ACP State or States concerned. 
Article 95 
A regional operation is one which helps directly to solve 
a development problem common to two or more 
countries or territories through joint schemes or coor­
dinated schemes and which meets at least one of the 
following criteria: 
(a) because of its nature or physical characteristics, it 
necessarily extends beyond the frontiers of a country 
or territory and cannot be carried out by a single 
country or territory nor be divided up into local 
operations to be undertaken by each country or 
territory on its own account; 
(b) the regional formula makes it possible to achieve 
significant economies of scale in relation to local and 
national operations; 
(c) the operation is the regional or inter-regional 
expression of a sectoral or a global strategy; 
(d) the accompanying costs and benefits are unequally 
shared out among the beneficiary countries, terri­
tories and States. 
Article 96 
The Community's contribution under regional 
cooperation shall, in respect of operations which could 
be undertaken partly at local level, be determined on the 
basis of the following factors: Article 97 
1. The requests for financing from funds earmarked 
for regional cooperation shall be governed by the 
following general procedures: 
(a) requests for financing shall be presented by each of 
the OCT participating in a regional operation; 
(b) wherever an operation of regional cooperation is 
such as to be of interest to other OCT or ACP 
States, the Commission shall, in agreement with the 
authorities making the application, inform them or, 
if need be, all the OCT or ACP States. The OCT 
interested shall then confirm whether they intend to 
participate. 
Notwithstanding this procedure, the Commission 
shall examine without delay any request for 
financing as long as it has been presented by at least 
two OCT or at least one OCT and one ACP State. 
The financing decision shall be taken after the auth­
orities consulted have communicated their intention; 
(c) where a single country or territory is associated with 
ACP States or non-ACP countries, as provided for in 
Article 94, its request alone shall suffice; 
(d) regional cooperation bodies may present requests for 
the financing of one or more specific regional 
cooperation schemes on behalf of their OCT 
members, and with their explicit agreement; 
(e) each request for regional cooperation funding must 
include, where necessary, proposals concerning: 
(i) the ownership of the goods and services to be 
financed as part of the operation, and the 
division of responsibilities for operation and 
maintenance; 
(ii) the choice of the regional authorizing officer 
and relevant authorities of the country or 
territory, State or body authorized to sign the 
financing agreement on behalf of all the partici-
tP49t Officiai]ournaiofthe European Communities NoC^B^ 
pating OCT and^ where relevant ACP States 
and participating bodies^ 
^. The indicative programme for each region may lay 
down appropriate arrangements for the submission of 
requests. 
o5 The country or territory^ countries or territories^ 
ACP State or States or regional bodies participating ina 
regional operation with third countries as provided for in 
Articled may request the Community tofinance that 
part of the operation for which they are responsible ora 
part in proportion tothebenefits they derivefrom the 
operation. 
t. Inordertoimproveregionalcooperation^encour 
agement shall be given for consultations between the 
relevant authorities of different States^ notably ACP 
States^ OCT and the overseas departments of the 
geographical areainquestion^ in liaison with the anthD 
orities of the member States responsible for the OCT 
and overseas departments. 
^. regional cooperation in the field of trade may take 
the form of regional trade agreements^ in accordance 
withtheTreatyandthe Convention. 
T^An^^O^^^ATI^^ 
Chapter I 
Oe^e^d^adea^^i^e^e^^ 
n In the field of trade cooperations the object of this 
fOecision is to promote trade between the OCTand the 
Community^taking account of their respectivelevels of 
development^andalsobetweentheOCTthemselves, 
^. In the pursuit of this objectives particular regard 
shall behadtosecuringeffectiveadditionaladvantages 
for the OCT^s trade with the Community and to 
improving the conditions of access for their products to 
the market in order to accelerate the growth of their 
tradeand^ inparticnlar^oftheflowof their exports to 
theCommnnity andtoensureabetterbalanceintrade 
betweenthe parties concerned. ^5 InadministeringtheEuropean L^evelopmentRund 
and the Structural Runds^ and in accordance with the 
rules on eligibility for the respective funds^ the 
CommissionwillensurethattheOCT^EfoR^overseas 
departments ^Structural Runds^ and ACRStates ^RfoR^ 
may receive financing from Community funds for 
regional projects or programmes carried out jointly by 
OCT^ overseasdepartments and ACRStates within the 
same geographicalarea subject tothe following^ 
— the joint regional project or programme must comply 
withthe provisions on objectives^ scope and rules of 
procedure laid down in the relevant Articles of the 
Convention and of this L^ecision^ 
— the rules of procedure for financing projects and 
programmes shall be those governing the Community 
fund in question. 
The Commissionshallassumeresponsibility forcoordP 
nation in the period between the financing and the 
implementationof the project or programme. 
Ror the purposes set out in thisTitle^ the amount of the 
Community^ financial assistance is provided for in 
Article t^4 of this Precision. 
o5 Tothis end^the parties concerned shallapply the 
provisions of this Title and the other appropriate 
measures underTitle III of this Part and under Rart^of 
this Precision. 
L Products originating in the OCTshall be imported 
into the Community free of customs duties and charges 
having equivalent effect. 
^. ^ Products originating in the OCT^ 
— listed in Anne^ II to theTreaty where they 
come under a common organization of the 
market within the meaning of Article 40 of the 
Treaty^or PAIoT^ 
THE INSTRUMENTS OEEECOCT COOPERATION 
No C 95/28 Official Journal of the European Communities 11.4.91 
— subject, on import into the Community, to 
specific rules introduced as a result of the 
implementation of the common agricultural 
policy, 
shall be imported into the Community, notwith­
standing the general arrangements applied in 
respect of third countries, in accordance with the 
following provisions: 
(i) those products shall be imported free of 
customs duties for which Community 
provisions in force at the time of import do 
not provide, apart from customs duties, for 
the application of any measure relating to 
their import; 
(ii) for products other than those referred to 
under (i), the Community shall take the 
necessary measures to ensure more favourable 
treatment than that granted to third countries 
benefiting from the most-favoured-nation 
clause for the same products; 
(b) if, during the application of this Decision, the 
relevant authorities of the OCT request that new 
lines of agricultural production or agricultural 
products which are not the subject of specific 
arrangements when this Decision enters into force 
should benefit from such arrangements, the 
Commission shall submit a proposal, if necessary, 
to the Council; introduced as a result of the implementation 
of the common agricultural policy, it shall 
reserve the right to adapt the import treatment 
for those products originating in the OCT. In 
such cases, the provisions of subparagraph (a) 
shall be applicable, 
modifies the common organization of the 
market in a particular product or the specific 
rules introduced as a result of the implemen­
tation of the common agricultural policy, it 
shall reserve the right to modify the 
arrangements laid down for products orig­
inating in the OCT. In such cases the 
Community shall undertake to ensure that 
products originating in the OCT continue to 
enjoy an advantage comparable to that 
previously enjoyed in relation to products 
originating in third countries benefiting from 
the most-favoured-nation clause. 
Article 102 
1. The Community shall not apply to imports of 
products originating in the OCT any quantitative 
restrictions or measures having equivalent effect. 
2. However, paragraph 1 shall apply without 
prejudice to the import arrangements for the products 
referred to in the first indent of Article 101 (2) (a). 
(c) notwithstanding the above, the Council shall, in 
the context of the special relations and special 
nature of cooperation between the Community 
and the OCT, examine on a case-by-case basis 
the requests of the relevant authorities of the 
OCT for preferential access for their agricultural 
products to the Community market and, acting by 
a qualified majority on a proposal from the 
Commission, shall notify its decision on these 
reasoned requests if possible within four months, 
and in any case not more than six months after 
the date of their submission. 
Under subparagraph (a) (ii), the Council, acting 
by a qualified majority on a proposal from the 
Commission, shall take its decisions with 
particular reference to concessions granted to 
developing third countries. It shall take account'of 
the possibilities offered by the off-season market; 
(d) the arrangements referred to in subparagraph (a) 
shall enter into force at the same time as this 
Decision and shall remain applicable for its 
duration. 
However, if during the application of this 
Decision, the Community: 
— subjects one or more products to common 
organization of the market or to specific rules Article 103 
1. Article 102 shall not preclude prohibitions or 
restrictions on imports, exports or goods in transit 
justified on grounds of public morality or public policy, 
the protection of health and life of humans, animals and 
plants, the protection of national treasures possessing 
artistic, historic or archaeological value or the protection 
of industrial and commercial property. 
2. Such prohibitions or restrictions shall in no case 
constitute a means of arbitrary discrimination or a 
disguised restriction of trade generally. 
3. Provisions on the movement of hazardous and 
radioactive waste are set out in Title I of Part 2. 
Article 104 
This Decision shall be without prejudice to the treatment 
that the Community reserves for certain products under 
international agreements on those products to which the 
Community is a signatory. 
Article 105 
This Decision shall apply to Greenland, subject to the 
specific provisions set out in the Protocol on special 
11. 4. 91 Official Journal of the European Communities No C 95/29 
arrangements for Greenland, annexed to the Treaty 
amending, with regard to Greenland, the Treaties estab­
lishing the European Communities ('). 
Article 106 
1. In view of the present development needs of the 
OCT, the relevant authorities of the OCT may retain or 
introduce, in respect of imports of products originating 
in the Community or in other OCT, such customs duties 
or quantitative restrictions as they consider necessary. 
2. (a) The trade arrangements applied to the 
Community by the OCT may not give rise to any 
discrimination between Member States nor be less 
favourable than most-favoured-nation treatment. 
(b) Notwithstanding specific provisions of this 
Decision, the Community shall not discriminate 
between OCT in the field of trade. 
(c) The provisions of (a) shall not preclude a country 
or territory from granting certain other OCT or 
other developing countries more favourable 
treatment than that accorded to the Community. 
Article 107 
Denmark, France, the Netherlands and the United 
Kingdom shall communicate to the Commission, within 
a period of three months following the entry into force 
of this Decision, the customs tariffs and lists of quanti­
tative restrictions retained by the OCT with which they 
have special relations. 
The Member States concerned shall also communicate to 
the Commission any subsequent amendments to such 
measures as and when they are adopted. 
Article 108 
1. For the purposes of implementing this Chapter, the 
concept of originating products and the methods of 
administrative cooperation relating thereto are laid down 
in Annex II. 
2. The Council, acting unanimously on a proposal 
from the Commission, shall adopt any amendment to 
Annex II. 
3. If, for any product, the concept of originating 
product has not been defined pursuant to paragraph 1 or 
(') OJ No L 29, 1. 2. 1985, p. 1. paragraph 2, the Community and the relevant authorities 
of the OCT shall continue to apply their own rules. 
Article 109 
1. If, as a result of the application of this Decision, 
serious disturbances occur in a sector of the economy of 
the Community or one or more of its Member States, or 
their external financial stability is jeopardized, or if diffi­
culties arise which may result in a deterioration in a 
sector of the Community's activity or in a region of the 
Community, the Commission may, in accordance with 
the procedure specified in Annex III, take, or authorize 
the Member State concerned to take, the necessary 
safeguard measures. 
2. For the purpose of implementing paragraph 1, 
priority shall be given to such measures as would least 
disturb the functioning of the association and the 
Community. These measures shall not exceed the limits 
of what is strictly necessary to remedy the difficulties 
that have arisen. 
Article 110 
When safeguard measures are taken, modified or 
removed, particular attention shall be paid to the 
interests of the least-developed OCT. 
Chapter 2 
Special undertakings on rum 
Article 111 
Until the entry into force of a common organization of 
the market in spirits and notwithstanding Article 101 (1), 
entry into the Community of products falling within CN 
codes 2208 40 10, 2208 40 90, 2208 90 11 and 2208 90 19 
— rum, taffia and arrack — originating in the OCT shall 
be governed by Annex IV. 
Article 112 
This Chapter and Annex IV shall not apply to relations 
between the OCT and the French overseas departments. 
Chapter 3 
Trade in services 
Article 113 
1. Trade in services is important for the development 
of the OCT's economies on account of the increasing 
role of services in international trade and their 
considerable growth potential. 
No C 95/30 Official Journal of the European Communities 11. 4. 91 
2. The long-term aim in this area is a progressive 
liberalization of trade in services, with due respect for 
the OCT's local policy objectives, and taking due 
account of the level of development of the OCT. 
3. It will be opportune and necessary to develop 
cooperation in this sector when the outcome of current 
multilateral trade negotiations is known. 
4. Therefore, amendments or additions to this 
Decision may be adopted by the Council, acting by a 
qualified majority on a proposal from the Commission, 
to take account, and to take advantage, of the outcome 
of the multilateral trade negotiations within GATT. 
TITLE II 
COOPERATION IN THE FIELD OF COMMODITIES 
Chapter 1 
Stabilization of export earnings from agricultural 
commodities (Stabex) 
Article 114 
1. With the aim of remedying the harmful effects of 
the instability of export earnings and to help the OCT 
overcome one of the main obstacles to the stability, 
profitability and sustained growth of their economies, to 
support their development efforts and to enable them in 
this way to ensure economic and social progress for their 
peoples by helping to safeguard their purchasing power,. 
a system shall be operated to guarantee the stabilization 
of export earnings derived from the OCTs exports to 
the Community or other destinations as defined in 
Article 117, of products on which their economies are 
dependent and which are affected by fluctuations in 
price or quantity or both these factors. 
2. In order to attain these objectives, transfers shall be 
devoted, in accordance with a framework of mutual obli­
gations to be agreed between the relevant authorities of 
the country or territory concerned and the Commission 
in each case, either to the sector, interpreted in the 
widest possible sense, that recorded the loss of export 
earnings and be used there for the benefit of economic 
operators adversely affected by this loss, or, where 
appropriate, to diversification, either for use in other 
appropriate productive sectors, in principle agricultural, 
or for the processing of agricultural products. Article in 
1. The following products shall be covered: 
1. 
2. 
3. 
4. 
5. 
6. 
7. 
8. 
9. 
M. 
11. 
12. 
13. 
14. 
15. 
16. 
17. 
18. 
19. 
20. 
21. 
22. 
23. 
24. 
25. 
26. 
27. 
28. 
29. 
30. 
31. 
32. 
33. 
34. 
35. Groundnuts in shell or shelled 
Groundnut oil 
Cocoa beans 
Cocoa husks, shells and skins and 
other waste 
Cocoa paste * 
Cocoa butter 
Cocoa powder 
Raw or roasted coffee 
Extracts, essences and concentrates 
of coffee 
Cotton not carded or combed 
Cotton linters 
Coconuts 
Copra 
Coconut oil 
Palm oil 
Palm kernel oil 
Palm nuts and kernels 
Raw hides and skins 
Leather of bovine animals 
Sheep and lamb skin leather 
Goat and kid skin leather 
Wood in the rough and squared 
wood 
Sawn wood 
Fresh bananas 
Dried bananas 
Tea 
Raw sisal 
Vanilla 
Cloves 
Wool not carded or combed 
Fine animal hair of Angora goat — 
Mohair 
Gum arabic 
Pyrethrum; saps and extracts of 
pyrethrum 
Essential oils 
Sesame seed CN code 
1202 
1508 
1801 
1802 
1803 
1804 
1805 
0901 11 to 0901 22 
2101 10 11 and 
2101 10 19 
5201 
1404 20 
0801 10 
1203 1 
1513 11 and 
1513 19 
1511 
1513 21 and 
1513 29 
1207 10 
4101 10 to 4101 30, 
4102 and 4103 10 
4104 10 to 4104 29, 
4104 31 11, 
4104 31 19, 
4104 31 30 and 
4104 39 10 
4105 
4106 
4403 
4407 
0803 00 10 
0803 00 90 
0902 
5304 10 
0905 
0907 
5101 
5102 10 50 
1301 20 00 
121190 10 and 
1302 14 
3301 11 to 330129 
1207 40 
11.4.91 Official Journal of the European Communities No C 95/31 
36. Cashew nuts 
37. Pepper 
38. Shrimps and and kernels 
prawns 
39. Squid, octopus and cuttlefish 
40. Cotton seed 
41. Oil cake 
42. Rubber 
43. Peas 
44. Beans 
45. Lentils 
46. Nutmeg and 
47. Shea nuts 
48. Shea nut oil 
49. Mangoes mace CN code 
0801 30 
0904 
0306 13 and 
0306 23 
0307 41, 0307 49, 
0307 51 and 
0307 59 
1207 20 
2305, 2306 10, 
2306 50, 2306 60 
and 2306 90 93 
4001 
0708 10, 0713 10 
and 0713 20 
0708 20, 0713 31 to 
0713 39 and ex 
0713 90 
0713 40 
0908 10 and 
0908 20 
1207 92 
ex 1515 90 40 to ex 
1515 90 99 
ex 0804 50 
2. In all cases of application of the system, the 
Commission shall, in the interests of the country or 
territory concerned, consider as products within the 
meaning of this Chapter: 
(a) each product listed in paragraph 1; 
(b) products groups 1 and 2, 3 to 7, 8 and 9, 10 and 11, 
12 to 14, 15 to 17, 18 to 21, 22 and 23, 24 and 25, 
47 and 48. 
Article 116 
If, 12 months after the entry into force of this Decision, 
one or more products not contained in the list in Article 
115 but upon which the economies of one or more of the 
OCT depend to a considerable extent are affected by 
sharp fluctuations, the Council, acting on a proposal 
from the Commission, may decide,* not more than six 
months after the presentation of a request by the relevant 
authorities of the country or territory concerned, to 
include the said product or products in the list, taking 
account of factors such as employment, deterioration of 
the terms of trade between the Community and the 
country or territory concerned, the level of development 
of the country or territory concerned and the conditions 
which characterize products originating in the 
Community. 
Article 117 
The system shall apply to earnings from exports by each 
country or territory to the Community of each product 
referred to in Article 115 (2). Article 118 
For the purposes stipulated in Article 114 and for the 
period laid down in Article 154, the amount provided for 
in paragraph 1 (a) (iii) of that Article shall be allocated 
to the system. This amount shall cover all commitments 
under the system. It shall be managed by the 
Commission. 
Article 119 
1. The overall amount referred to in Article 118 shall 
be divided into a number of equal annual instalments 
corresponding to the number of years of application of 
Article 154. 
2. Whatever balance remains at the end of each year 
of application of Article 154 except the last shall be 
carried forward automatically to the following year. 
Article 120 
The resources available for each year of application are 
made up of the sum of the following: 
1. the annual instalment, plus any amounts available or 
less any amounts used under Article 121 (1); 
2. the sums carried forward under Article 119 (2). 
Article 121 
1. If the total amount of the transfer bases in a year of 
application, calculated in accordance with Article 124, 
and where appropriate reduced in accordance with 
Articles 128 to 130, exceeds the amount of resources 
available in the system for that year, advance use shall be 
made automatically, for each year except the last, of a 
maximum of 25 °/o of the following year's instalment. 
2. If, after the operation referred to in paragraph 1, 
the amount of resources available is still less than the 
total amount of the transfer bases referred to in 
paragraph 1 for the same year of application, the amount 
of each transfer basis shall be reduced by 10 % of that 
amount. 
3. If, after the reduction referred to in paragraph 2, 
the total amount of the transfers so calculated is less 
than the amount of resources available, the remainder 
shall be shared among all the transfers in proportion to 
the amounts by which each transfer was reduced. 
4. If, after the reduction referred to in paragraph 2, 
the total amount of the transfers which may give rise to a 
payment exceeds the amount of available resources, the 
Council, having evaluated the situation on the basis of a 
Commission report on the probable development of the 
system, shall examine the steps to be taken to remedy 
that situation, within the terms of this Decision. 
No C 95/32 Official Journal of the European Communities 11.4.91 
Article 122 
In the case of any balance remaining from the overall 
amount referred to in Article 118 after the expiry of the 
last year of administration of the system in the period 
laid down in Article 154, 
(a) the amounts resulting from the application of the 
percentages referred to in Article 124 (3) and (4) 
shall be repaid to each country or territory in 
proportion to the deduction or deductions made in 
application of those provisions; 
(b) if any balance remains after the application of (a), 
the Council shall decide, on a proposal from the 
Commission, on its use. 
Article 123 
1. The system shall apply to the earnings from exports 
by a country or territory of the products referred to in 
Article 115 (2) if, during the year preceding the year of 
application, earnings from the export of each product to 
all destinations, re-exports excluded, represented at least 
5 % of its total earnings from exports of all goods. The 
percentage shall be 4 % in the case of sisal. 
2. Where, following a natural disaster, a substantial 
fall in production of the product in question is recorded 
during the year preceding the year of application, the 
percentage referred to in paragraph 1 shall be calculated 
on the basis of the average export earnings from that 
product during the three years preceding the year of the 
disaster. 
A substantial fall in production shall be taken to mean at 
least 50 % of the average production during the three 
years preceding the year of the disaster. 
Article 124 
1. In order to implement the system, a reference level 
and a transfer basis shall be calculated for each country 
or territory and for exports of each product referred to 
in Article 115 (1) to the Community. 
2. The reference level shall be constituted by the 
average of export earnings during the period of the six 
calendar years preceding each year of application less the 
two years with the highest and lowest figures. 
3. The transfer basis shall be constituted by the 
difference between the reference level and actual 
earnings in the calendar year of application, reduced by 
an amount corresponding to 4,5 °/o of the reference level. 
4. The reductions referred to in paragraph 3 shall not 
apply if the difference between the reference level and 
actual earnings is less than ECU 1 million. In no case shall the reduction of the difference between 
the reference level and actual earnings be greater than 
30 %. 
5. The amount of the transfer shall be the transfer 
basis after application, where relevant, of Articles 128 to 
130 and 121. 
Article 125 
1. In order to ensure that the system functions effi­
ciently and rapidly, statistical cooperation shall be 
instituted between the relevant authorities of each 
country or territory and the Commission. 
2. For the first year of application, the OCT shall 
notify the Commission of: 
(a) the value of their exports of all goods to all desti­
nations for the year preceding the year of 
application; 
(b) the volume of marketed production of the product 
or products in question during the reference period 
and in the year of application; 
(c) the volume and the value of exports of the product 
or products in question to all destinations in the 
reference period and in the year of application; 
(d) the volume and the value of exports of the product 
or products in question to the Community during the 
reference period and in the year of application. 
3. In subsequent years of administration of the system, 
the statistical requirements referred to above shall refer 
only to the year not covered by the information provided 
in the previous year. 
4. This information must be sent to the Commission 
not later than 31 March in the year following that of 
application. Failure to do so shall result in the country or 
territory concerned losing ajl transfer rights in relation to 
the product or products in question for the relevant year 
of application. 
Article 126 
1. The system shall be implemented in respect of the 
products listed in Article 115 where they are: 
(a) released for home use in the Community; or 
(b) brought into the Community under the inward 
processing arrangements in order to be processed. 
2. The statistics to be used to carry out the calcu­
lations referred to in Article 124 shall be those calculated 
and published by the Statistical Office of the European 
Communities. 
11.4.91 Official Journal of the European Communities No C 95/33 
Article 127 
No transfer shall take place if it emerges from the exam­
ination of the dossier to be undertaken by the 
Commission in conjunction with the relevant authorities 
•of the country or territory concerned that the fall in 
earnings from exports to the Community is the result of 
measures or policies involving discrimination detrimental 
to the Community. 
Article 128 
The trasfer basis shall be reduced in due proportion to 
the fall in earnings from exports to the Community of 
the product in question if, after joint examination by the 
Commission and the relevant authorities of the country 
or territory concerned, it appears that such a drop is the 
consequence of trade policy measures taken by the 
country or territory or through its economic operators 
with the aim of restricting supply; such reduction may 
entail the annulment of the transfer basis. 
Article 129 
Should examination of the trend of the exports of the 
country or territory to all destinations, of production of 
the product in question in the country or territory 
concerned and demand in the Community reveal 
significant changes, consultations shall take place 
between the Commission and the relevant authorities of 
that country or territory to determine whether the 
transfer basis is to be maintained or reduced, and, if so, 
to what extent. 
Article 130 
In no case shall any transfer basis for a given product be 
greater than the corresponding amount calculated on the 
basis of the exports of the country or territory concerned 
to all destinations. 
Article 131 
1. The Commission shall adopt a transfer decision on 
completion of the examination carried out in conjunction 
with the relevant authorities of the country or territory; 
this examination shall bear on the statistical data and the 
calculation of the transfer basis which may give rise to a 
payment. 
2. For each transfer a transfer agreement shall be 
concluded between the Commission and the relevant 
authorities of the country or territory concerned. 
Article 132 
1. Provided that the relevant authorities of the 
country or territory concerned have sent all the 
necessary statistical information by 31 March in the year 
following that of application, in accordance with Article 
125 (4), the Commission shall notify each country or 
territory not later than the 30 April following of its situation in respect of each of the products listed in 
Article 115 (2) exported by that country or territory 
during that year. 
2. The relevant authorities of the country or territory 
concerned and the Commision shall take all possible 
steps to ensure that the procedures referred to in Articles 
127 to 129 are concluded not later than 30 June of the 
year in question. After this period has elapsed, the 
Commission shall notify the relevant authorities of the 
country or territory of the amount of the transfer 
resulting from appraisal of the dossier. 
3. Not later than 31 July of the year in question the 
Commission shall take decisions concerning all transfers, 
except for those i where consultations have not been 
concluded. 
Article 133 
1. Where application of Articles 123 and 124 gives rise 
to a transfer basis, the relevant authorities of the country 
or territory concerned shall, in the month following 
receipt of the notification referred to in Article 132 (1), 
send the Commission a substantial analysis of the sector 
recording the loss of earnings, the causes of the loss, the 
policies pursued by the authorities and the projects, 
programmes and operations to which they undertake to 
allocate the resources in accordance with the objectives 
set out in Article 114 (2). 
2. Should the relevant authorities of the recipient 
country or territory intend, as provided for in Article 114 
(2), to allocate the funds to a sector other than that 
where the loss has occurred, they shall communicate to 
the Commission the reasons for this allocation. 
3. Projects, programmes or operations to which the 
relevant authorities of the recipient country or territory 
undertake to allocate the transferred resources shall be 
examined jointly by the Commission and the said auth­
orities. 
Article 134 
When agreement is reached on the use of resources, the 
relevant authorities of the country or territory and the 
Commission shall sign a protocol setting up a framework 
of mutual obligations stipulating how the funds are to be 
used at the various stages of the operations agreed on. 
Article 135 
1. The transfer shall be made in ecus upon signature 
of the transfer agreement referred to in Article 131 (2) 
into an interest-bearing account, for which presentation 
of two signatures, of the relevant authorities of the 
country or territory and the Commission, shall be 
required. Any interest shall be credited to this account. 
No C 95/34 Official Journal of the European Communities 11.4.91 
2. The funds in the account referred to in paragraph 1 
shall be mobilized as the operations specified in the 
protocol on the use of the funds are implemented, on 
condition that the provisions of Article 136 have been 
complied with. 
3. The procedures laid down in paragraph 2 shall be 
applicable by analogy to any counterpart funds 
generated. 
Article 136 
1. Within 12 months of the mobilization of resources 
the relevant authorities of the recipient country or 
territory shall send the Commission a report on the use 
which they have made of the funds transferred. 
2. Should the report referred to in paragraph 1 not be 
presented within the time limit set or should it call for 
comment, the Commission shall send a request for 
substantiation to the relevant authorities of the country 
or territory concerned, which shall be obliged to reply 
thereto within two months. 
3. Once the deadline referred to in paragraph 2 has 
expired, the Commission may, having referred the matter 
to the Council and having duly informed the relevant 
authorities of the country or territory concerned, three 
months after completion of this procedure, suspend 
application of decisions on subsequent transfers until the 
required information has been provided. 
The relevant authorities of the country or territory 
concerned shall be notified of this measure immediately. 
Chapter 2 
Mining products: Special financing facility (Sysmin) 
Article 137 
1. A special financing facility shall be set up for those 
OCT whose mining sectors occupy an important place in 
their economies and are facing difficulties that are 
already perceived or foreseeable in the near future. 
2. Its aims are to contribute towards establishing a 
more solid and wider basis for the development of the 
OCT while supporting the relevant authorities' efforts: 
— to safeguard their mining production and export 
sectors by remedial or preventive action designed to 
alleviate the serious consequences for their economies 
of the loss of viability as a result of a decline in their 
production or export capacity and/or export earnings 
in the mining products sector following major tech­
nological or economic changes or temporary or unforeseeable disruptions beyond the control of the 
country or territory concerned and of the enterprise 
managing the sector concerned. Particular attention 
shall be paid to adjusting the competitive situation of 
enterprises to changes in market conditions, or 
— for OCT heavily dependent on exports of one mining 
product, to diversify and broaden the bases of their 
economic growth, notably by helping them to 
complete development projects and programmes 
under way where these are seriously jeopardized 
owing to substantial falls in export earnings from that 
product. 
3. In pursuing these objectives, this support: 
— will be adapted to the economic restructuring needs 
of the country or territory concerned, 
— will take into account at the time of its formulation 
and implementation the mutual interests of the OCT 
and the Member States. 
Article 138 
1. The special financing facility provided for in Article 
137 shall be aimed at OCT which export to the 
Community and which, during at least two of the four 
years preceding that of the request for aid, have derived 
either: 
(a) 15 % or more of their export earnings from one of 
the following products: copper (including cobalt), 
phosphates, manganese, bauxite and alumina, tin, 
iron ore, whether or not in agglomerate form, 
uranium; or 
(b) 20 % or more of their export earnings from all 
mining products (excluding precious minerals other 
than gold, oil and gas). 
However, for least-developed OCT, the figure stipulated 
in (a) shall be 10 % and the figure stipulated in (b) shall 
be 12 %. 
For the calculation of the thresholds referred to in (a) 
and (b) earnings shall not include those from mining 
products not covered by the system. 
2. Recourse to the special financing facility shall be 
possible where, in the light of the aims referred to above: 
11.4.91 Official Journal of the European Communities No C 95/35 
(a) it is perceived or expected that the viability of one or 
more enterprises in the mining sector has been or is 
about to be seriously affected following temporary 
or unforeseeable difficulties — whether technical, 
economic or political — beyond the control of the 
country or territory or undertaking concerned, and 
where such damage to viability leads to or may lead 
to a significant fall in revenue for the country or 
territory concerned — assessed in particular on the 
basis of a drop in production or export capacities of 
the product in question of around 10 % — and/or a 
deterioration in its external trade balance. 
Foreseeable damage to viability shall be charac­
terized by the onset of deterioration of the means of 
production and its impact on the economy of the 
country or territory; or 
(b) in cases under paragraph 1 (a), it is perceived that a 
substantial fall in export earnings from the mining 
product concerned, in relation to the average for the 
two years before that of the request, is seriously 
jeopardizing the completion of development projects 
and programmes under way. To be taken into 
consideration, such a fall in earnings must: 
— be caused by technical, economic or political 
difficulties and not artificially provoked, directly 
or indirecdy, by policies and measures of the 
relevant authorities of the country or territory or 
the economic operators concerned, 
— result in a corresponding fall in total export 
earnings of approximately 10 % at least in the 
year before that of the request. 
The said difficulties shall refer to disruptions such as 
accidents, serious technical incidents, serious internal or 
external political events, major technological and 
economic changes or major changes in trade relations 
with the Community. 
3. The relevant authorities of a country or territory 
may request financial aid under the special financing 
facility where the conditions set out in paragraphs 1 and 
2 are met. 
Article 139 
1. The aid referred to in Article 138 shall be used in 
pursuit of the aims of the facility as set out in Article 137 
(2). 
— Where maintenance or return to viability of the 
mining enterprise or enterprises affected is deemed 
possible and appropriate, the aid shall be used to 
finance projects or programmes, including the 
financial restructuring of the enterprise or enterprises concerned, with a view to maintaining, re-estab­
lishing or rationalizing at a viable level the 
production and export capacity concerned. 
— Where it is not thought possible to maintain or 
restore viability, the aid shall be used to broaden the 
bases of economic growth through the financing of 
viable horizontal or vertical conversion or diversifi­
cation projects or programmes. 
— By common agreement, the aim of diversification 
may also be pursued where the economy is 
dependent on the mining product in question to a 
significant degree, even where viability can be 
re-established. 
— Where Article 138 (2) (b) is applicable, the objective 
of diversification shall be pursued through financial 
assistance to aid the completion of development 
projects and programmes under way outside the 
mining sector which are in jeopardy. 
2. Any decision to allocate funds to projects or 
programmes shall take due account of economic interests 
and the social implications of such aid in the country or 
territory concerned and in the Community and will be 
adapted to the economic restructuring needs of that 
country or territory. 
In the case of requests presented under Article 138 (1) 
(b), the Community and the relevant authorities of the 
country or territory concerned shall jointly and systemati­
cally seek to establish the scope and the terms of any aid 
accorded in such a way that such aid does not injure 
competing Community mining production. 
The consideration and appraisal of these factors shall be 
part of the analysis referred to in Article 140 (2). 
3. Special attention shall be accorded to: 
— processing and transport operations, notably at 
regional level, and the proper integration of the 
mining sector in the overall economic and social 
development of the country or territory, 
— preventive operations to minimize any disruptive 
effects by adapting technology, improving the 
No C 95/36 Official Journal of the European Communities 11. 4. 91 
technical and managerial skills of local staff and 
adapting the skills of local staff to enterprise 
management techniques, 
— stepping up the OCT's scientific and technical 
capacity for the production of new materials. 
Article 140 
1. The request for aid must include information on 
the nature of the problems encountered, the perceived or 
expected consequences of the disruption both at local 
level and at the level of the mining enterprise or enter­
prises affected and indications in the form of an identifi­
cation sheet on the measures or actions undertaken or 
desired to remedy them. 
The request shall be made as soon as these consequences 
are identified and within a period not exceeding 12 
months. 
2. Prior to any Community decision a technical, 
economic and financial analysis shall be made systemati­
cally of the mining sector concerned in order to assess 
both the eligibility of the request and the project or 
programme to be undertaken to utilize the aid. That 
analysis, which shall be very detailed, shall, in order to 
identify the operation, take particular account of world 
market prospects and, without prejudice to the first 
paragraph of Article 139 (2), the situation of the 
Community market in the products concerned. It shall 
also include an analysis of the possible implications of 
such an operation for the competing mining products of 
Member States and the possible implications of its 
non-implementation for the country or territory 
concerned. Its objective shall be to ascertain: 
— whether the viability of the means of production 
concerned has been or is likely to be damaged and 
whether that viability can be restored, or whether 
recourse to diversification measures is more appro­
priate, or 
— whether the fall in export earnings referred to in 
Article 138 (2) (b) seriously jeopardizes the 
implementation of development projects and 
programmes under way. 
The analysis shall be carried out in accordance with the 
procedures for financial and technical cooperation. It 
shall require the close cooperation of the relevant auth­
orities of the country or territory and the economic 
operators concerned. 
3. A single decision shall be taken on eligibility and 
the financing proposal. The necessary steps will be taken to expedite appraisal of 
requests so that the appropriate action may be taken 
swiftly. 
Article 141 
1. If necessary, technical assistance for setting up and 
supervising the project may be financed under the special 
financing facility provided for in Article 142. 
2. The procedures applicable to such assistance and 
the detailed rules for its implementation shall be those 
laid down for development finance cooperation. 
Article 142 
1. For the purposes specified in Article 137 and for 
the period laid down in Article 154, the Community shall 
allocate the overall amount provided for in paragraph 1 
(a) (iv) of that Article to cover all its commitments under 
this special financing facility. The amount allocated to 
the facility shall be managed by the Commission. 
2. Before expiry of the period laid down in Article 
154, the Council shall decide, on a proposal from the 
Commission, on the allocation of any balances remaining 
from the overall amount. 
3. The amount of the aid provided for in Article 138 
shall be determined by the Commission in the light of 
the funds available under the special financing facility, 
the nature of the relevant projects and programmes, the 
possibilities for co-financing and the relative importance 
of the mining industry concerned for the economy of the 
country or territory. 
4. Aid accorded to a country or territory under the 
special financing facility may be on-lent to the final 
borrower on different financial terms which shall be 
established in the financing decision and shall result from 
an analysis of the aid project conducted on the basis of 
the usual economic and financial criteria for the type of 
project planned. 
5. The analysis referred to in Article 140 shall be 
financed from resources of the facility. 
6. In exceptional circumstances arising out of an 
emergency, confirmation and proof of which will have to 
be provided initially by the analysis, a country or 
territory which so requests may be granted an advance 
by way of partial pre-financing of the project or 
programme which it precedes. 
11. 4. 91 Official Journal of the European Communities No C 95/37 
Title III 
DEVELOPMENT FINANCE COOPERATION 
Chapter 1 
General provisions 
Section 1 
Objectives 
Article 143 
The objectives of development finance cooperation shall 
be, through the provision of adequate financial resources 
and appropriate technical assistance, to: 
(a) support and promote the efforts of the OCT to 
achieve long-term, self-determined, self-reliant and 
self-sustained integrated social, cultural and 
economic development, on the basis of mutual 
interest and in a spirit of interdependence; 
(b) help raise the standard of living and improve the 
well-being of the peoples of the OCT; 
(c) promote measures likely to mobilize the capacity for 
initiative of communities and the participation of 
those concerned in the design and implementation of 
development projects; 
(d) contribute to the fullest participation of the popu­
lation in the benefits of development; 
(e) contribute to the development of the capacity of the 
OCT to innovate, adapt and transform technology; 
(f) contribute to optimal and judicious exploration, 
conservation, processing, working and exploitation 
of the OCT's natural resources in order to enhance 
the efforts of the OCT to industrialize and to 
achieve economic diversification; 
(g) provide support for and promote the optimal devel­
opment of human resources in the OCT; 
(h) facilitate an increase in the financial flows to the 
OCT which are responsive to the evolving needs of 
the OCT and support the efforts of the OCT to 
harmonize international cooperation for their devel­
opment through co-financing of operations with 
other financing agencies or third parties; 
(i) seek new approaches to direct private investment 
promotion in the OCT; support the development of 
a healthy, prosperous and dynamic OCT private 
sector and encourage local, national and foreign 
private investment flows into the productive sectors 
in the OCT; 
(j) encourage intra-OCT and OCT-ACP cooperation 
and regional cooperation among them; (k) permit the establishment of more balanced economic 
and social relations and better understanding 
between the OCT, ACP States, Member States of 
the Community and the rest of the world, with a 
view to achieving a new international economic 
order; 
(1) enable the OCT faced with serious economic and 
social difficulties of an exceptional nature resulting 
from natural disasters or extraordinary circumstances 
having comparable effects to benefit from emergency 
assistance; 
(m) help the least-developed OCT to overcome the 
specific obstacles which hamper their development 
efforts. f 
Section 2 
Principles 
Article 144 
Development finance cooperation shall: 
(a) be implemented on the basis of and be consistent 
with the development objectives, strategies and 
priorities established by the relevant authorities of 
the OCT, at local and regional levels, with due 
regard to their respective geographical, social and 
cultural characteristics, as well as their specific 
potential; 
(b) be provided on highly concessional terms; 
(c) ensure that resource flows are accorded on a more 
predictable and continuous basis; 
(d) ensure participation by the OCT in the management 
and utilization of financial resources and ensure 
effective decentralization of decision-making powers; 
e) strengthen and utilize, as much as possible, the 
OCT's human resources and existing administrative 
structures; 
(f) be flexible and appropriate to the situation in each 
country or territory as well as adapted to the specific 
nature of the project or programme concerned; 
(g) be carried out with a minimum of administrative 
formalities using simple and rational procedures so 
that projects and programmes may be implemented 
rapidly and efficiently; 
No C 95/38 Official Journal of the European Communities 11. 4. 91 
(h) ensure that technical assistance is provided only upon 
the request of the relevant authorities of the country 
or territory concerned and is of the stipulated 
quality, relevant, cost-effective and includes 
arrangements for rapid and effective training of local 
replacement personnel. 
Section 3 
Guidelines 
Article 145 
1. Operations financed under this Decision shall be 
implemented by the relevant authorities of the OCT and 
the Community in close cooperation, the concept of 
equality between the partners being recognized. 
2. The relevant authorities of the OCT shall be 
responsible for: 
(a) defining the objectives and priorities on which the 
indicative programmes are based; 
(b) choosing projects and programmes; 
(c) preparing and presenting the dossiers of projects and 
programmes; 
(d) preparing, negotiating and concluding contracts; 
(e) implementing and managing projects and 
programmes; 
(f) maintaining projects and programmes. 
3. The relevant authorities of the OCT and the 
Community shall be jointly responsible for: 
(a) establishing, where necessary, guidelines for devel­
opment finance cooperation in the framework of the 
partnership referred to in Part 5; 
(b) adopting the indicative programmes; 
(c) appraising projects and programmes; 
(d) ensuring equality of conditions for participation in 
invitations to tender and contracts; 
(e) monitoring and evaluating the effects and results of 
projects and programmes; (f) ensuring the proper, prompt and efficient execution 
of projects and programmes. 
4. The Community shall be responsible for taking 
financing decisions on projects and programmes. 
Article 146 
Unless otherwise provided in the Decision, all decisions 
requiring the approval of a party to the association shall 
be approved, or be deemed approved, within 60 days of 
notification by the other party. 
Section 4 
Scope of financing 
Article 147 
Within the framework of the Decision, development 
finance cooperation shall cover: 
(a) capital projects and programmes; 
(b) rehabilitation of projects and programmes; 
c) sectoral-type programmes; 
(d) technical cooperation programmes; 
(e) deployment of flexible resources in support of the 
efforts of grassroots communities; 
(f) recurrent costs (including current administrative, 
operating, and maintenance costs, both local and 
foreign) of new, on-going and completed projects 
and programmes; 
(g) on a case-by-case basis, supplementary expenses 
borne by the OCT arising out of, and strictly 
relating to, the administration and the supervision of 
projects and programmes financed by the European 
Development Fund, hereinafter referred to as 'the 
Fund'; 
(h) credit lines, and support of regional payment mech­
anisms and export credit operations in the OCT; 
(i) equity participation; 
(j) a combination of all or some of the above 
components integrated into sectoral development 
programmes. 
Article 148 
Sectoral import programmes shall be provided, upon 
request, from the resources of the indicative programme 
to support the measures taken by the relevant authorities 
of the country or territory concerned in the sector or 
sectors for which the assistance is requested in 
accordance with Article 187. The purpose of import 
programmes is to contribute to the optimal functioning 
11.4.91 Official Journal of the European Communities No C 95/39 
of the productive sectors of the economy, to assist in the 
expansion of production and export capacity, to facilitate 
the transfer or development of technology and to help 
meet basic human needs. Import programmes may 
include the financing of inputs to the productive system 
such as capital and intermediate goods, raw materials, 
spare parts, fertilizers, insecticides and supplies to 
improve health and education services and standards. 
Article 149 
Counterpart funds generated from various Community 
instruments shall, except where otherwise provided for, 
be used in a targeted way for the financing of local 
expenditure under: 
(a) Fund projects and programmes within the indicative 
programme; 
(b) other agreed projects and programmes; 
(c) specific budget headings under public expenditure 
programmes of the OCT such as those relating to 
health, education, training, job creation and 
protection of the environment. 
Article 150 
1. Recurrent cost financing (to cover current adminis­
trative, maintenance and operating expenses) may be 
granted to a country or territory in order to ensure that 
full use is made of investments which are of special 
importance for the economic and social development of 
the country or territory concerned and the running of 
which temporarily constitutes a burden for the country 
or territory or other eligible beneficiaries. Such support 
may, for new, ongoing or past projects and programmes, 
cover current administrative, maintenance and operating 
expenses such as: 
(a) expenditure incurred in the start-up period, for 
setting up, launching and operating the capital 
projects or programmes in question; 
(b) the cost of operating, maintaining and/or managing 
capital projects and programmes implemented 
earlier. 
2. Special treatment shall be accorded to the financing 
of recurrent costs in the least-developed OCT. 
Article 151 
The funds provided under the Decision may be used to 
cover the total costs of both the local and foreign expen­
diture of projects and programmes. Section 5 
Sectors of intervention 
Article 152 
1. Within the framework of the priorities established 
by the relevant authorities of the OCT concerned at 
local, national and regional level, support may be given 
to projects and programmes in every sector or area 
referred to in this Decision and may, inter alia, be in: 
(a) agricultural and rural development, and in particular 
food self-sufficiency and food security programmes; 
(b) industrialization, artisanal activities, energy, mining 
and tourism; 
(c) economic and social infrastructure; 
(d) structural improvement of the productive sectors of 
the economy; 
(e) preservation and protection of the environment; 
(f) prospecting for, exploration and exploitation of, 
natural resources; 
(g) education and training programmes, basic and 
applied scientific research and technology, techno­
logical adaptation or innovation and the transfer of 
technology; 
(h) industrial promotion and information; 
(i) marketing and trade promotion; 
(j) promotion, development and reinforcement of small 
and medium-sized local, national and regional enter­
prises; 
(k) support for local, national and regional development 
banks and financial institutions, and for clearing and 
payment institutions which are designed to promote 
regional trade; 
(1) microprojects for grassroots development; 
(m) transport and communications, including promotion 
of sea and air transport; 
(n) fisheries development; 
(o) development and optimal utilization of human 
resources, special account being taken of the role of 
women in development; 
(p) improvement of social and cultural infrastructure and 
services including health, housing, water supply etc.; 
No C 95/40 Official Journal of the European Communities 11. 4. 91 
(q) assisting OCT, OCT-ACP and OCT-ACP-EEC 
professional and business organizations with the aim 
of improving production and marketing of products 
on external markets; 
(r) investment promotion and support measures; 
(s) support for development operations put forward by 
economic, cultural, social and educational organiz­
ations in the framework of decentralized 
cooperation, in particular where they combine the 
efforts and resources of OCT organizations and of 
their Community counterparts. 
2. The projects and programmes may also concern 
operations on specific themes, such as: 
(a) protection of natural resources; 
(b) disaster prevention and preparedness, including 
prediction and early-warning systems, with a view to 
reducing the consequences of disasters; 
(c) control of endemic human diseases and epidemics; 
(d) hygiene and primary health care; 
(e) control of endemic livestock diseases; 
(f) measures to save energy; 
(g) long-term operations, in general, which extend 
beyond any specific time-scale. 
Section 6 
Eligibility for financing 
Article 153 
1. The following entities or bodies shall be eligible for 
financial support provided under this Decision: 
(a) OCT, except Greenland; 
(b) regional or inter-state bodies to which one or more 
OCT belong and which are authorized by their 
relevant authorities; 
(c) joint bodies set up by the Community and the OCT 
to pursue certain specific objectives. 
2. Subject to the agreement of the relevant authorities 
of the country/countries or territory/territories 
concerned, the following shall also be eligible for 
financial support: 
(a) local, national and/or regional public or semi-public 
agencies, departments or local authorities of the 
OCT and in particular their financial institutions and 
development banks; 
(b) companies and firms of the OCT; (c) enterprises of a Community Member State to enable 
them, in addition to their own contribution, to 
undertake productive projects in the territory of a 
country or territory; 
(d) OCT or Community financial intermediaries 
providing financing to small and medium-sized 
enterprises, as well as financial institutions promoting 
and financing private investments in the OCT; 
(e) groups of producers who are nationals of the OCT; 
(f) award holders and trainees; 
(g) OCT as well as Community local communities, 
cooperatives, trade unions, non-governmental organ­
izations, and teaching and research institutions to 
enable them to undertake economic, cultural, social 
and educational projects and programmes in the 
OCT in the context of decentralized cooperation. 
Chapter 2 
Financial cooperation 
Section 1 
Financial resources 
Article 154 
1. For the purposes set out in Title III, Chapter 1, and 
for a period of five years commencing on 1 March 1990, 
the overall amount of the Community's financial 
assistance shall be ECU 165 million. 
This amount shall comprise: 
(a) ECU 140 million from the Fund, allocated as 
follows: 
(i) for the purposes set out in Articles 143, 144 and 
147, ECU 106,5 million in the form of grants; 
(ii) for the purposes set out in Articles 143, 144 and 
147, ECU 25 million in the form of risk capital; 
(iii) for the purposes set out in Articles 114 to 136,. 
ECU 6 million in the form of grants under the 
Stabex facility; 
(iv) for the purposes set out in Articles 137 to 142, 
ECU 2,5 million in the form of grants under the 
Sysmin facility; 
It.^t Crucial ]oumalo^ the 
^b^or the purposes set out in Articles t^,t^ and 1^, 
EC^Cl^^ million f^rom the Bank in the termor loans 
f^rom o^n resources in accordance ^vith the terms 
and conditions provided ^or by its statute. These 
loans shall be subject to the provisions or Articlel^^ 
on interest rate subsidies. 
^. The amount referred to in paragrapht^^shall 
be allocated as f^ollo^s^ 
^ ECU ^D,^ million to finance projects and 
programmes,^vhich shall be broken do^vn as ^ollo^vs^ 
ri^nited Kingdom OCT^ECU...millions 
^ErenchCCT^EC^U...millions 
^LoutchCoCT^ECU...millions 
^ ECU ... million to nuance regional projects and 
programmes in the CCT, including regional 
programmes to develop trade and services under 
Articled 
^ ECllDmillionto^inancetheinterest rate subsidies 
referred to in Article 1^ 
^ a special allocation or EoeU^million,o^hich^ 
ri^ ECU ^ million^oremergency aid asprovided 
^or in Article t^^and 
^ EC^U 1 million to aidrefugees, returnees and 
displaced persons as provided ^or in Article t^^ 
riii^ should the appropriations provided ^or under 
one of^ the Articles referred to above be 
exhausted before the expiry o^ this Precision, 
transf^ersmay be made f^romthe appropriations 
provided ^or in the other Articled 
^ on the expiry of^this decision, appropriations 
not committed ^emergency assistanceor aid 
^or refugees, returnees and displaced persons 
shall be returned to the Eund for the purpose of^ 
financing other operations coming within the 
scope of^ development finance cooperation, 
unless the Council decides other^ise^ 
^ should all the special appropriations be used 
before the e^piryo^thisL^ecision,the Council 
shall adopt, on a proposal from the 
Commission,appropriate measures to deal ^dth 
the situations referred to in Articles 1^ and 
^. ^fhe Bank shall administer loans from its o^n 
resources, including interest rate subsidies, and risk 
capital. All other financial resources provided ^or in this 
L^ecisionshallbeadministered by the commission. 
^. Eurtheramountsof^ Community financing shallbe 
adoptedf^or the second nve^year period coveredby this 
LOecision. European Communities l^oC^B^l 
action ^ 
1. Projects or programmesmaybehnancedby grant 
or by risk capital f^romtheEund,or by loans f^romthe 
Bank^so^n resources, or jointly by t^vo or more of^ these 
means o^ financing. 
^. The methods o^ financing f^or each project or 
programme shall be determined jointly by the relevant 
authorities of thecountry or territory or countries and 
territories concerned and the Community by reference 
to^ 
^ thelevelofdevelopment,the geographical situation 
and economic and financial circumstances of^these 
OCT^ 
^ the nature of^ the project or programme, its likely 
economic and financial return as v^ell as its social 
and cultural impacts and 
^ in the case o^ loans, factors guaranteeing their 
servicing. 
^. financial assistance may be made available to or 
through the OCT concerned or, subject to their 
agreement, either through eligible financial institutions 
or directly to any other eligible benenciary^ 
^. ^here financial assistance is granted to the final 
recipient through an intermediary^ 
^ the terms on ^hich the assistance may be made 
available by the intermediary to the final recipient 
shall be laid do^vn in the financing agreement or 
loan contracts and 
^ any financial beneht accruing to the intermediary 
fromthetransactionshall be used^ordevelopment 
purposes, on the terms laid do^n in the financing 
agreement or the loan contract, after taking into 
account administrative costs,e^changeandflnancial 
risks, and the cost or technical assistance given to the 
f^inal recipient. 
L Risk capital may be provided inthe^ormof^ loans 
or equity participation. 
^ In the case oilcans, it may be provided mainly in the 
formoL 
ri^ subordinated loans,^hich shall be redeemed and 
in respect o^hich interest, if^any,shall be paid 
only aRer other claims have been settled^ 
No C 95/42 Official Journal of the European Communities 11. 4. 91 
(ii) conditional loans, the servicing and/or the 
duration of which shall be linked to the 
fulfilment of certain conditions with regard to 
the performance of the project financed such as 
profit or target output. The specific terms shall 
be laid down when the loan is made. 
(b) In the case of equity participation, it may be 
provided to acquire temporary minority holdings on 
behalf of the Community in the capital of OCT 
enterprises or institutions financing development 
projects in the OCT or of OCT financial institutions 
promoting and financing private investment in the 
OCT. Such holdings shall be transferred to 
inhabitants or institutions of the OCT or as 
otherwise agreed with the relevant authorities of the 
country or territory concerned, once the conditions 
specified for the purpose are met. 
(c) The terms of risk capital operations shall depend on 
the characteristics of each project or programme 
financed and shall in general be more favourable 
than those of subsidized loans. In the case of loans 
the interest rate shall not, in any case, exceed 3 °/o. 
2. In order to minimize the effects of exchange rate 
fluctuations, the problem of exchange rate risk shall be 
dealt with in the following way: 
(a) in the case of risk capital operations designed to 
strengthen an enterprise's own funds, the exchange 
rate risk shall as a general rule be borne by the 
Community; 
(b) in the case of risk capital financing for investment by 
private sector firms and small and medium-sized 
enterprises, hereinafter referred to as 'SMEs', the 
exchange rate risk shall be shared by the 
Community, on the one hand, and by the other 
parties involved, on the other. On average, the 
foreign exchange risk shall be shared equally. 
Article 157 
Loans from the Bank's own resources shall be granted on 
the following terms and conditions: 
(a) the rate of interest before subsidy shall be the rate 
applied by the Bank for the currencies, duration and 
repayment conditions adopted for the loan on the 
day of signature of the contract; 
(b) this rate shall be reduced by means of a 4 % subsidy. 
The rate of subsidy shall be automatically adjusted 
so that the interest rate borne by the borrower will 
be neither less than 3 % nor more than 6 % for a 
loan contracted at the reference rate. The reference 
rate adopted for calculating the adjustment in the 
rate of subsidy shall be the rate for the ECU applied 
by the Bank for a loan with the same conditions as 
to duration and repayment on the day of signature 
of the contract; (c) the amount of the interest rate subsidy calculated in 
terms of its value at the times of disbursement of the 
loan shall be charged against the amount of grants 
and paid direct to the Bank; 
(d) the duration of loans made by the Bank from its own 
resources shall be governed by terms stipulated on 
the basis of the economic and financial charac­
teristics of the project, but may not exceed 25 years. 
These loans shall normally comprise a period of 
grace fixed by reference to the construction period 
and the cash flow needed for the project. 
Article 158 
The Bank shall: 
(a) contribute, through the resources it manages, to the 
economic and industrial development of the OCT 
and on a regional scale; and to this end, finance in 
the first place, productive projects and programmes 
in industry, agro-industry, tourism, mining and 
energy and in transport and telecommunications 
linked to these sectors. These sectoral priorities shall 
not exclude the possibility of the Bank's financing, 
from its own resources, productive projects and 
programmes in other sectors, including commercial 
. agriculture; 
(b) establish close cooperation links with local and 
regional development banks and with banking and 
financial institutions of the OCT; 
(c) in consultation with the relevant authorities of the 
country or territory concerned, adapt the 
arrangements and procedures for implementing 
development finance cooperation, as set out in this 
Decision, if necessary, to take account of the nature 
of the projects and programmes and to act in 
accordance with the objectives of this Decision, 
within the framework of the procedures laid down 
by its statute. 
Article 159 
The relevant authorities of the OCT concerned shall, in 
respect of loans granted or equity participation under the 
Decision, and in respect of which they have given their 
written approval: 
(a) grant exemption from all national or local taxes, 
fiscal charges on interest, commissions and amorti­
zation of loans due in accordance with the law or 
laws of the country or territory concerned; 
(b) place at the disposal of the beneficiaries the currency 
necessary for the payment of interest, commission 
and the amortization of loans due under financing 
contracts granted for the implementation of projects 
and programmes on their territories; 
11. 4. 91 Official Journal of the European Communities No C 95/43 
(c) make available to the Bank, the foreign currency 
necessary for the transfer of all sums received by it in 
national currency at the exchange rate applicable 
between the ECU, or other currencies of transfer, 
and the national currency at the date of the transfer, 
which represent the net revenue and proceeds from 
transactions involving the acquisition by the 
Community of holdings in the capital of companies 
or firms. 
Article 160 
Special treatment shall be accorded to the least-
developed OCT when determining the volume of the 
financial resources which such OCT may expect from 
the Community for the purpose of their indicative 
programmes. These financial resources shall be combined 
with more favourable terms of financing, having regard 
to the economic situation and the nature of the needs 
specific to each country or territory. They shall consist 
essentially of grants, and, in appropriate cases, of risk 
capital or loans from the Bank, having regard in 
particular to the criteria laid down in Article 155 (2). 
Section 3 
Co-financing 
Article 161 
1. The financial resources provided for in this 
Decision may be applied, at the request of the relevant 
authorities of the OCT, to co-financing (undertaken in 
particular with development agencies and institutions, 
Community Member States, OCT, ACP States, third 
countries or international or private financial institutions, 
firms, or export credit agencies). 
2. Special consideration shall be given to the possi­
bility of co-financing in the following cases, among 
others: 
(a) large-scale projects which cannot be financed exclu­
sively by any one source of financing alone; 
(b) projects in which Community participation, and an 
input of its project expertise, might facilitate the 
participation of other additional sources of finance; 
(c) projects which may benefit from a blend of conces­
sionary and non-concessionary financing; 
(d) projects which may be broken down into subprojects 
which could be eligible for financing from different 
sources; 
(e) projects for which a diversification of financing may 
lead to an advantageous solution from the point of 
view of the financing and investment costs and of 
other aspects of the implementation of the said 
projects; (f) projects of a regional or inter-regional nature. 
3. Co-financing may be in the form of joint or parallel 
financing. Preference will be given in each case to the 
solution which is more suitable from the point of view of 
cost-effectiveness. 
4. With the agreement of the parties concerned: 
(a) measures shall be taken to coordinate and harmonize 
operations of the Community and those of other 
co-financing bodies, in order to minimize the 
number of procedures to be undertaken by the 
relevant authorities of the OCT and to render those 
procedures more flexible, notably as regards: 
(i) the needs of other co-financing bodies and reci­
pients; 
(ii) the choice of projects to be co-financed and the 
arrangements for carrying them out; 
(iii) the harmonization of works, supply and services 
contracts rules and procedures; 
(iv) the payment terms; 
(v) the rules of eligibility and competition; 
(vi) the margin of preference granted to OCT enter­
prises; 
(b) the process of consultation and coordination with 
other donors and co-financiers should be streng­
thened and developed, where possible, through the 
establishment of co-financing framework 
agreements, and co-financing policies and 
procedures should be reviewed to ensure effec­
tiveness and the best terms possible; 
(c) the Community may provide the other co-financing 
bodies with administrative help or may act as a lead 
or coordinating agency for projects part-financed by 
it in order to facilitate the implementation of 
co-financed projects or programmes. 
Section 4 
Microprojects 
Article 162 
1. In order to respond to the development needs of 
local communities, the Fund shall, at the request of the 
relevant authorities of the country or territory 
concerned, participate in the financing of microprojects 
at local level which: 
(a) have an economic and social impact on the life of 
the people, 
No C 95/44 Official Journal of the European Communities 11. 4. 91 
(b) meet a demonstrated and observed priority need, and 
(c) will be undertaken at the initiative and with the 
active participation of the local community which 
will benefit therefrom. 
2. Contributions for microprojects shall be made: 
(a) by the local community concerned, in kind or in the 
form of services or cash and adapted to its capacity 
to contribute; 
(b) by the Fund, in which case the contribution shall not 
normally exceed three-quarters of the total cost of 
each project and may not exceed ECU 300 000; 
(c) exceptionally, by the country or territory concerned, 
either in the form of a financial contribution or 
through the use of public equipment or the supply of 
services. 
3. The amounts representing the Fund's contribution 
shall be drawn from the grant allocation of the national 
indicative programme. 
4. Special priority shall be accorded to the preparation 
and implementation of microprojects in the least-
developed OCT. 
Article 163 
With the agreement of the relevant authorities of the 
OCT concerned, at the request of the local communities 
concerned in the OCT and in accordance with the 
provisions on multiannual microproject programmes in 
Article 196, OCT and Community non-profit-making 
organizations may, in addition to the possibilities of 
co-financing, coordinate, supervise or implement indi­
vidual microprojects and/or multiannual microproject 
programmes. 
Section 5 
Emergency assistance 
Article 164 
1. Emergency assistance shall be accorded to OCT 
faced with serious economic and social difficulties of an 
exceptional nature resulting from natural disasters or 
extraordinary circumstances having comparable effects. 
The assistance, which is intended to make, by the most 
suitable means, a real contribution to remedying the 
immediate difficulties: 
(a) shall be sufficiently flexible to take any form adapted 
to the circumstances, including the supply of a wide 
range of relief goods and services and/or the distri­
bution of cash to victims; (b) may also cover the financing of immediate measures 
to make damaged structures and equipment opera­
tional again and to ensure minimum viability; 
(c) shall be non-reimbursable and made available quickly 
and easily. 
2. The Community shall take adequate steps to 
facilitate speedy action which is required to meet the 
immediate needs for which emergency assistance is 
intended. To this end: 
(a) funds provided under emergency assistance must be 
fully committed and disbursed and action completed 
within 180 days of the establishment of the 
implementation arrangements unless otherwise 
stipulated by common agreement; 
(b) where the funds made available have not all been 
fully disbursed within the time limit set, or such 
other agreed time limit as referred to in paragraph 
(a), the balance shall be paid back into the special 
appropriation referred to in Article 154 (2) (d); 
(c) the detailed rules for the allocation and implemen­
tation of emergency assistance shall be the subject of 
emergency and flexible procedures; 
(d) funds may be used for the retroactive financing of 
immediate relief measures undertaken by the OCT 
themselves. 
Article 165 
1. Assistance may be granted to OCT taking in 
refugees or returnees to meet acute needs not covered by 
emergency assistance, and to implement in the longer 
term projects and action programmes aimed at self-suffi­
ciency and the integration or reintegration of such 
people. 
2. Similar assistance, as set out in paragraph 1, may be 
envisaged to help with the voluntary integration or rein­
tegration of persons who have had to leave their homes 
as a result of conflicts or natural disasters. In 
implementing this provision account shall be taken of all 
the factors leading to the displacement in question, 
including the wishes of the population concerned and the 
responsibilities of the government in meeting the needs 
of its own people. 
3< Underlining the developmental nature of the 
assistance granted under this Article, assistance may be 
combined with the indicative programme funds of the 
country or territory concerned. 
11. 4. 91 Official Journal of the European Communities No C 95/45 
4. Such assistance shall be administered and 
implemented under procedures permitting flexibility and 
rapid action. Special attention shall be paid to the most 
effective manner of providing such assistance to the 
population concerned. Conditions for payment and 
implementation shall be laid down case by case. The 
assistance may be implemented, if the relevant authorities 
of the country or territory so agree, in conjunction with 
specialized organizations, including those of the United 
Nations, or by the Commission direct. 
Article 166 
Emergency assistance contracts shall be awarded on the 
basis of the relevant rules provided for in Chapter 5, 
Section 5. 
Article 167 
Post-emergency action, aimed at physical and social 
rehabilitation necessary as a result of natural disasters or 
extraordinary circumstances having comparable effects, 
may be undertaken with Community assistance under 
this Decision. Post-emergency needs may be covered by 
other resources, in particular the counterpart funds 
generated by Community instruments, the special appro­
priation for refugees, returnees, and displaced persons, 
the indicative programmes of the OCT or a combination 
of these different elements. 
These needs may also be covered, subject to the 
provisions of Article 154 (2) (d), by the unexpended 
balance of the special appropriation for emergency 
assistance remaining upon expiry of this Decision. 
Chapter 3 
Investment 
Section 1 
Investment promotion 
Article 168 
The relevant authorities of the OCT and the 
Community, recognizing the importance of private 
investment in the promotion of their development 
cooperation and acknowledging the need to take steps to 
promote such investment, shall: 
(a) implement measures to encourage participation in 
their development efforts by private investors who 
comply with the objectives and priorities of 
EEC-OCT development cooperation and with the 
appropriate laws and regulations; (b) accord fair and equitable treatment to such investors; 
(c) take measures and actions which help to create and 
maintain a predictable and secure investment climate 
as well as enter into negotiations on agreements 
which will improve such a climate; 
(d) promote effective cooperation amongst OCT 
economic operators and between them and those of 
the Community in order to increase the flow of 
capital, management skills, technology and other 
forms of know-how; 
(e) facilitate a greater and more stable flow of resources 
from the Community private sector to the OCT by 
contributing to the removal of obstacles which 
impede the OCT's access to international capital 
markets, and in particular within the Community; 
(f) create an environment which encourages the devel­
opment of financial institutions and the mobilization 
of resources which are essential to capital formation 
and the growth of entrepreneurship; 
(g) promote the development of enterprises by taking 
such steps as are necessary to improve the business 
environment and, in particular, foster a legal, admin­
istrative and incentive framework which is conducive 
to the emergence and development of dynamic 
private sector enterprises including grassroots oper­
ations; 
(h) strengthen the capacity of local institutions in the 
OCT to provide the range of services which can 
encourage greater local participation in business 
activity. 
Article 169 
In order to encourage private investment flows and the 
development of enterprises, efforts should be made under \ 
the Decision, in cooperation with other interested 
bodies, to: 
(a) support efforts aimed at promoting European private 
investment in the OCT by organizing discussions 
between any interested country or territory and 
potential investors on the legal and financial 
framework that the OCT might offer to investors; 
(b) encourage the flow of information on investment 
opportunities by organizing investment promotion 
meetings, providing periodic information on existing 
financial or other specialized institutions, their 
facilities and conditions and encouraging the estab­
lishment of focal points for such meetings; 
No C 95/46 Official Journal of the European Communities 11. 4. 91 
(c) encourage the dissemination of information on the 
nature and availability of investment guarantees and 
insurance mechanisms to facilitate investment in the 
OCT; 
(d) provide assistance to SMEs in the OCT in drawing 
up and obtaining equity and loan financing on 
optimal terms and conditions; 
(e) explore ways and means of overcoming or reducing 
the host country risk for individual investment 
projects which could contribute to economic 
progress; 
(f) provide financial and technical assistance to the 
OCT in: 
(i) creating or strengthening their capacity to 
improve the quality of feasibility studies and the 
preparation of projects in order that appropriate 
economic and financial conclusions might be 
drawn; 
(ii) producing integrated project management mech­
anisms covering the entire project development 
cycle within the framework of the development 
programme of the country or territory. 
Section 2 
Investment financing 
Article 170 
1. With a view to assisting the implementation of 
directly productive investment, both public and private, 
contributing to the economic and industrial development 
of the OCT, the Community shall provide financial 
assistance, subject to the provisions laid down in Chapter 
2 of this Title, in the form of risk capital and/or loans 
from the Bank's own resources. This financial assistance 
may be used, inter alia, for: 
(a) increasing, directly or indirectly, the own resources 
of public, semi-public or private enterprises of the 
OCT and providing financing in the form of loans 
for investment in such enterprises; 
(b) supporting productive investment projects and 
programmes identified and promoted by the Centre 
for the Development of Industry and the Technical 
Centre for Agricultural and Rural Cooperation; 
(c) financing schemes in favour of SMEs. 
2. In order to achieve the objectives set out in 
paragraph 1, a significant part of risk capital shall be 
devoted to supporting private sector investment. Article 171 
In addition to the resources provided for above, the 
relevant authorities of the country or territory or 
countries or territories may use the resources of the indi­
cative or regional programme, inter alia, for: 
(a) financing schemes in favour of SMEs; 
(b) encouraging the setting-up or the strengthening of 
local or regional financial institutions in order to 
enable them effectively to support private sector 
needs; 
(c) appropriate and effective support for export 
promotion; 
(d) providing general or specific technical cooperation to 
cater for private sector needs. 
Article 172 
The financing of directly productive projects may 
concern new investment as well as the rehabilitation or 
utilization of existing capacity. 
Article 173 
Where the financing is undertaken through an 
on-lending body, it shall be the responsibility of that 
body to select and appraise individual projects and to 
administer the funds placed at its disposal in accordance 
with the provisions of this Decision and by mutual 
agreement between the relevant authorities of the OCT 
and the Community. 
Section 3 
Investment support 
Article 174 
In order to attain effectively the various objectives of the 
Decision in respect of private investment promotion and 
to achieve a multiplyer effect, the Bank and/or the 
Commission shall contribute: 
(a) financial assistance, including equity holdings; 
(b) technical assistance; 
(c) advisory services; 
(d) information and coordination services. 
11. 4. 91 Official Journal of the European Communities No C 95/47 
Article 175 Article 176 
1. The Bank shall utilize risk capital resources to 
supplement the activities aimed at promoting and 
providing support for the private sectors in the OCT. To 
this end, risk capital may be used to: 
(a) provide direct loans for the investment in public, 
semi-public and private enterprises, including SMEs, 
of the OCT; 
(b) increase the own resources, or resources treated as 
such, of public, semi-public or private enterprises 
through direct holdings in the name of the 
Community; 
(c) take shares, with the agreement of the relevant auth­
orities of the OCT concerned, in the capital of 
financial institutions promoting private investment in 
OCT; 
(d) provide finance for OCT financial institutions or, 
with the agreement of the relevant authorities of the 
country or territory concerned, for OCT and/or 
Community promoters wishing to invest, in addition 
to their own contribution, in EEC-OCT joint 
ventures in order to reinforce the own resources of 
OCT enterprises; 
(e) with the agreement of the relevant authorities of the 
country or territory or countries or territories 
concerned, assist financial intermediaries of the OCT 
or the Community involved in financing SME in the 
OCT to: 
(i) acquire shareholdings in SME of the OCT; 
(ii) finance shareholdings in SME of the OCT by 
OCT private investors and/or Community 
promoters in accordance with subparagraph (d); 
(iii) on-lend in order to finance investment in SMEs 
of the OCT; 
(f) assist with the restructuring or recapitalization of 
financial institutions of the OCT; 
(g) finance specific studies, research or investment for 
the preparation and identification of projects; 
provide assistance, including training, management 
and investment-related services, to enterprises in the 
context of the Bank's operations during the 
pre-investment period or for rehabilitation purposes 
and, where appropriate, contribute to the start-up 
costs, including investment guarantee and insurance 
premiums, necessary to ensure that the investment 
decision is taken. The relevant authorities of the OCT may, to encourage 
the promotion and development of their respective 
private sectors, use the resources of the indicative 
programme for: 
(a) supporting the development of enterprises, by 
providing training, assistance in financial 
management and project preparation, specialized 
business start-up services and development and 
management services, and by encouraging tech­
nology transfers; 
(b) providing appropriate and effective support for 
investment promotion, including the provision of 
assistance to promoters; 
(c) supp&rting the setting-up or the strengthening of 
local or regional financial institutions in the OCT to 
finance export operations; 
(d) financing imports of intermediate materials needed 
for the export industries of a country or territory 
which so requests; 
(e) credit lines for SME; 
(f) providing appropriate and effective support for 
export promotion; 
(g) supporting the improvement of the investment 
climate including the legal and fiscal framework for 
business, and the development of services in support 
of the enterprise sector so as to provide enterprises 
with advisory services in the legal, technical and 
managerial fields; 
(h) providing technical cooperation to reinforce the acti­
vities of bodies in the OCT working for the devel­
opment of SMEs; 
(i) implementing appropriate programmes for vocational 
training and developing the capacity of individual 
entrepreneuers, particularly in the small-scale and 
informal sectors; 
(j) providing assistance for the mobilization of local 
savings, development of financial intermediaries and 
of new financial instruments, rationalization of 
enterprise promotion policies and encouragement of 
foreign investment; 
(k) financing ventures undertaken by cooperatives or 
local communities in the OCT and the creation or 
strengthening of guarantee funds for SME. 
2. Where appropriate, loans to finance investment, 
both directly or indirectly, as well as of sectoral support 
programmes, shall be provided from the Bank's ow*i 
resources. Article 177 
In order to mobilize external investment resources, both 
private and public, particular efforts should be made to 
exploit the possibilities of co-financing or attracting 
No C 95/48 Official Journal of the European Communities 11.4.91 
parallel financing for the various projects or 
programmes. 
Article 178 
In assisting the efforts of the relevant authorities of the 
OCT to invest in PMDT, in accordance with Title II, 
particular attention shall be paid to supporting optimal 
use of existing capacity of the country or territory 
concerned and the needs for rehabilitation. 
Article 179 
In order to support the promotion of investment in the 
OCT and with due regard to the complementary of their 
roles, the Commission and the Bank shall closely coor­
dinate their activities in this field. Chapter 4 
Technical cooperation 
Article 181 
Technical cooperation shall assist the OCT in the devel­
opment of their local and regional manpower resources 
and the sustained development of their institutions, and 
contribute to the achievement of project and programme 
goals. To this end: 
(a) support through the provision of technical assistance 
shall be made available only at the request of the 
relevant authorities of the country or territory or 
countries or territories concerned; 
The Commission and the Bank shall, with the assistance 
of Member States and the OCT, ensure effective coordi­
nation at the operational level among all parties involved 
in supporting investment in the OCT. (b) technical cooperation shall be cost-effective and 
relevant to the need for which it is intended, and 
also facilitate the transfer of know-how and increase 
local and regional capabilities; 
Section 4 
Current payments and capital movements 
Article 180 
1. With regard to capital movements linked with 
investment and to current payments, the relevant auth­
orities of the OCT and the Member States of the 
Communities shall refrain from action in the field of 
foreign exchange transactions which would be incom­
patible with their obligations under this Decision 
resulting from the provisions on trade in goods and 
services, establishment and industrial cooperation. These 
obligations shall not, however, prevent the adoption of 
the necessary protection measures should they be 
justified by reasons relating to serious economic diffi­
culties or severe balance-of-payments problems. 
2. In respect of foreign exchange transactions linked 
with investment and current payments, the OCT, on the 
one hand, and the Member States, on the other, shall 
avoid, as far as possible, taking discriminatory measures 
vis-d-vis each other or according more favourable 
treatment to third States, taking full account of the 
evolving nature of the international monetary system, the 
existence of specific monetary arrangements and 
balance-of-payments problems. 
In the event of such measures or treatment becoming 
unavoidable, they shall be maintained or introduced in 
accordance with accepted international monetary rules 
and every effort shall be made to minimize any adverse 
effects on the parties affected. (c) efforts shall be made to encourage the participation 
of OCT experts, consultancy firms, educational and 
research institutions in contracts financed by the 
Fund and to make greater use of OCT manpower 
through the secondment of OCT local officials as 
consultants to an institution in their own country or 
territory or a neighbouring country or territory, or 
to a regional organization; 
(d) the OCT may, on a local or regional basis, use the 
instruments and resources of development finance 
cooperation to develop knowledge of local and 
regional manpower constraints and potential, 
establish a register of OCT experts, consultants and 
consultancy firms suitable for employment on Fund 
projects and programmes, and identify ways of 
employing qualified local and regional personnel on 
Fund projects; 
(e) technical assistance between the OCT and between 
the OCT and ACP States shall be supported through 
the instruments of development finance cooperation 
in order to enable the OCT to exchange with each 
other and with the ACP States technical assistance 
and management experts; 
(f) action programmes for long-term institution building 
and staff development shall be an integral part of 
project and programme planning, account being 
taken of the necessary financial requirements; 
(g) with a view to reversing the brain drain from the 
OCT, the Community shall assist the relevant auth­
orities of the OCT which so request in facilitating 
11. 4. 91 Official Journal of 
the return of qualified OCT inhabitants resident in 
developed countries through appropriate resettlement 
incentives; 
(h) project and programme appraisal shall take due 
account of local human resources constraints and 
ensure a strategy favourable to the promotion of 
such resources; 
(i) technical assistance personnel shall be qualified for 
the specific tasks as defined in the request from the 
country or territory or countries or territories and 
shall be integrated within the beneficiary OCT 
* institution; 
(j) the effective training of local personnel shall be part 
of the assignment of technical assistance personnel in 
order to phase out technical assistance and to use 
exclusively and permanently local personnel for staff 
projects; 
(k) cooperation shall include arrangements to enhance 
the capacity of the OCT to build up their own 
expertise and improve the technical skills of their 
own consultants, consulting companies or firms; 
(1) special attention should be given to the development 
of the OCT's capacities in project and programme 
planning, implementation and evaluation. 
Article 182 
1. Technical cooperation may be of a general or 
specific nature. 
2. Technical cooperation of a general nature shall 
include, inter alia: 
(a) development studies, studies on prospects and 
resources for economic development and diversifi­
cation in the OCT, and on problems of interest to 
the OCT as a whole or to any group of OCT; 
(b) sectoral or product studies; 
(c) the provision of experts, advisers, technicians and 
instructors for specific assignments and for limited 
periods; 
(d) the supply of teaching, experimental, research and 
demonstration equipment; 
(e) general information and documentation, including 
statistics, to promote the development of the OCT 
and achieve the aims of cooperation; European Communities No C 95/49 
(f) exchanges of executive and specialized staff, 
students, research workers, motivators and heads of 
social or cultural groups or associations; 
(g) the granting of study or training awards, particularly 
to persons already in employment and requiring 
further training; 
(h) the organization of seminars or sessions for training, 
further training and information; 
(i) the setting-up or strengthening of information and 
documentation instruments, particularly for 
exchanges of know-how, methods and experience 
between the OCT and between them and the ACP 
States and the Community; 
(j) cooperation between or twinning of institutions of 
the OCT, the ACP States and the Community, 
particularly universities and other training and 
research establishments; 
(k) support for significant cultural events. 
3. Technical cooperation related to specific operations 
shall include, inter alia: 
(a) technical, economic, statistical, financial and 
commercial studies, and research and surveys 
required to prepare projects or programmes, 
including those concerning investment; 
(b) preparation of projects and programmes; 
(c) execution and supervision of projects and 
programmes; 
(d) implementation of temporary measures required for 
the establishment, launching, operation and main­
tenance of a specific project; 
(e) monitoring and evaluation of operations; 
(f) integrated training, information and research 
programmes. 
Article 183 
The Community shall take practical measures to increase 
and improve the information placed at the disposal of 
the relevant authorities of the OCT concerning the avai­
lability and qualifications of relevant consultants. 
No C 95/50 Official Journal of the European Communities 11. 4. 91 
Article 184 
1. The choice of whether to use the services of 
consultancy companies or firms or individual experts 
shall depend on the nature of the problems and the scale 
and complexity of the technical means and management 
resources required as well as the comparative cost of the 
two solutions. In addition, measures shall be taken to 
ensure that recruiters can distinguish clearly between 
different levels of competence and experience on an 
international level. The choice of contractors and their 
staff shall be governed by the following criteria: 
(a) professional skills (technical and training ability) and 
human qualities; 
(b) respect for the cultural values and the political and 
administrative circumstances of the country or 
territory or countries or territories concerned; 
(c) knowledge of the language necessary for the 
execution of the contract; 
(d) practical experience of problems of the type to be 
dealt with; 
(e) cost. 
2. The recruitment of technical cooperation staff, the 
establishment of the aims and functions and the duration 
of their missions, their remuneration and the ways in 
which they contribute to the development of the OCT to 
which they are assigned, must conform to the principles 
of technical cooperation policy laid down in Article 181. 
The procedures to be applied in this context must ensure 
objectivity in terms of the choice and quality of the 
services provided. The following principles shall 
therefore apply: 
(a) recruitment shall be carried out by the OCT 
institutions that will use the technical assistance in 
accordance with the relevant provisions on compe­
tition and preference; 
(b) efforts shall be made to facilitate direct contact 
between the candidate and the future user of the 
technical assistance; 
(c) the use of alternative technical assistance delivery 
systems should be encouraged through the use of 
volunteers, non-governmental organizations, retired 
executives and twinning arrangements; 
(d) when considering a request for technical assistance, 
the relevant authorities of the country or territory 
and the Commission delegation shall compare the 
costs and benefits of different ways of transferring 
technology and increasing capabilities; 
(e) the tender dossier shall require each tenderer to 
indicate in his tender what methods he intends to adopt and what staff he intends to employ and the 
strategy for promoting OCT local and/or regional 
capabilities once the contract is put into effect; 
(f) the Community shall provide the relevant authorities 
of the recipient OCT with detailed information on 
the full cost of technical assistance in order to enable 
the OCT to negotiate the contracts in a cost-
effective manner. 
Article 185 
In order to enhance the OCT's capacity to build up their 
technical skills and improve the know-how of their 
consultants, cooperation partnership arrangements 
between consultancy firms, consulting engineers, experts 
and institutions of the Member States and of the OCT 
shall be encouraged. To this end, every effort shall be 
made to: 
(a) encourage, by means of joint ventures, subcon­
tracting or the use of experts who are nationals of 
the OCT in teams employed by consultancy firms, 
consulting engineers or institutions in the Member 
States; 
(b) inform tenderers in the tender dossier of the 
selection criteria and preferences provided for in the 
Decision, particularly those relating to the encour­
agement of the use of OCT human resources. 
Article 186 
1. Subject to the provision of this Chapter, the award 
of service contracts and the rules of competition and 
preference shall be in accordance with Section 5 of 
Chapter 5. 
2. Technical cooperation shall provide support for 
educational and training operations and multiannual 
training programmes, including awards, as referred to in 
Title XI. 
Chapter 5 
Implementation procedures 
Section 1 
Programming 
Article 187 
1. At the beginning of the period covered by the 
Decision the authorities of France, the Netherlands and 
the United Kingdom shall give the Commission as soon 
as possible a clear indication of the total programmable 
financial resources to be allocated for a period of five 
years to each country or territory for which they are 
tt^t CfficiaiJoumaiofthe European Communities l^oC^B^ 
responsible^ these Member states shall also notify the 
relevant authorities of the CCTconcernedat the same 
time. 
^. In establishing these financial allocations the 
Member states shall take particular account of the needs 
oftheleastdevelopedCOC^T. 
^. The commission shall promtly examine whether 
the breakdown notifiedcorresponds to the objectives of 
this Decision and may,wherenecessary,ask the Member 
^tate to adjust its allocation if these objectivesare not 
complied with.In any event,the procedure should pref^ 
erably be concluded within nomore than DO days. 
^. As soon as the financial allocation for each country 
or territory is known, the relevant authorities of each 
country or territory shall draw up and submit to the 
C^ommunityadraft indicative programme on the basis of 
and consistent with the development objectives and 
priorities of that country or territory. The draft indP 
cative programme shallcontain^ 
^ the priority development objectives of the country or 
territory concerned at local and regional levels 
d^ the focal sector or sectors for which support is 
considered the most appropriated 
^ the most appropriate measures and operations for 
attaining the objectives in the focal sector or sectors^ 
^if possible, specific, clearly identified projects and 
programmes, and especially those which constitutea 
follow-up to existing projects and programmes^ 
^ any proposals for regional projects and programmes. 
n rUie draft indicative programme shall be the subject 
of an exchange of views between the relevant authorities 
of the country or territory concerned and the 
Community,due regard being given to the local needs of 
the countryorterritory^ the indicative programme shall 
then be adopted by agreement betweenthe Community 
and the relevant authorities of the country or territory 
concerned on the basis of the draft indicative programme 
proposed bythoseauthorities.The indicative programme 
should preferably be adopted within no more than si^ 
months after the end of the period laid down in Article 
t^C^ 
^. It shall specify, ^^r^^. 
^ the focal sector or sectors in which the Community^ 
support will be given and the resources to be 
deployed for that purposed d^ the measures and actions necessary to achieve the 
objectives for the sectors agreed upon^ 
^ the timetable of commitments and measures to be 
taken^ 
^h the reserve set aside for insurance against possible 
claims, and to cover cost increases and continD 
gencies^ 
^ the projects and programmes outside the focal sector 
or sectors as well as the proposals for regional 
projects and programmes. 
^. The indicative programme shall be sufficiently 
flexible to ensure that operations arekept constantly in 
line with objectives andto take account of any changes 
occurring in the economic situation, priorities and 
objectivesof the country or territory. Itmayberevised 
attherequestoftherelevant authorities of the country 
or territory concerned. 
The Community and the relevant authorities of the C^oCT 
shall take all necessary measures to ensure that the indi 
cativeprogrammes are adopted in the shortestpossible 
time, preferably withinayear of the entry into force of 
thisDecision. 
t. The indicative programme shall establish the overall 
amounts of programmable assistance which may be 
placed at the disposal of each country or territory. 
Programmable aid is made up only of the grants referred 
to in Article t^^^. 
^. Any balance remaining from the Rund that has not 
beencommittedordisbursedby the en^of theperiod 
laid down in Article t^ shall be utilized until it has been 
exhausted, in accordance with the same conditions as 
thoselaiddowninthisDecision. 
o5 A comparative account of commitments and 
payments shall be drawn up each year by the local authD 
orizingofficerandtheC^ommissiondelegate,whoshall 
takethenecessary steps to ensure that the timetableof 
commitments agreed at the time of programming is 
adhered to and determine the causes of delays recorded 
in their execution so that the necessary remedial 
measures can be proposed. 
^ectio^ ^ 
^j^^^t^a^D^^^arat^a^a^^al 
The identification and preparation of projects and 
programmes shall be the responsibility of the relevant 
No C 95/52 Official Journal of the European Communities 11.4.91 
authorities of the country or territory concerned or any 
other eligible beneficiary. 
Article 192 
Project or programme dossiers prepared and submitted 
for financing must contain all information necessary for 
the appraisal of the projects or programmes or, where 
such projects and programmes have not been completely 
defined, provide the broad outlines necessary for their 
appraisal. Such dossiers shall be officially transmitted to 
the Community by the relevant authorities of the OCT 
or the other beneficiaries in accordance with this 
Decision. In the case of beneficiaries other than OCT, 
the express agreement of the relevant authorities of the 
country or territory concerned shall be required. 
Article 193 
1. The appraisal of projects and programmes shall be 
undertaken jointly by the relevant authorities of the 
country or territory or countries or territories and the 
Community. In order to expedite the procedure, the 
Commission shall give the necessary powers to its 
Delegate to undertake this joint appraisal; if the country 
or territory is in an area where the Commission has not 
appointed a delegate, the appraisal shall be carried out 
by the Commission and the authorities of the Member 
State responsible for the country or territory, which shall 
ensure liaison with the relevant authorities of the country 
or territory concerned. 
2. Project and programme appraisal shall take into 
account the specific characteristics and constraints of 
each country or territory as well as the following factors: 
(a) effectiveness and viability of the operations requested 
and the returns thereon, if possible on the basis of a 
cost-benefit analysis, possible variants being 
examined; 
(b) cultural, social, gender and environmental aspects, 
both direct and indirect, and impact on the popu­
lation; 
(c) availability of local manpower and other resources 
necessary to implement, operate and maintain the 
projects and programmes; 
(d) training and institutional development necessary to 
achieve project or programme goals; 
(e) burden of recurrent cost on the recipient; 
(f) local commitments and efforts; (g) experience gained from operations of the same kind; 
(h) results of studies already undertaken on similar 
projects or programmes in order to expedite 
implementation and minimize costs. 
3. The specific difficulties and constraints of the least-
developed OCT which affect the effectiveness, viability 
and economic return of projects and programmes shall 
be taken into account when the said projects and 
programmes are appraised. 
Section 3 
Financing proposal and decision 
Article 194 
1. The conclusions of the appraisal shall be 
summarized by the delegate, except in the case referred 
to in Article 193, in a financing proposal in close colla­
boration with the local authorizing officer. 
2. The financing proposal shall contain an advance 
timetable for the technical and financial implementation 
of the project or programme, and shall deal with the 
duration of the different phases of implementation. 
3. The financing proposal shall: 
(a) take into account the comments of the relevant auth­
orities of the country or territory or countries or 
territories concerned; 
(b) be forwarded by the delegate simultaneously to the 
relevant authorities of the country or territory or 
countries or territories concerned and the 
Commission. 
4. The Commission shall finalize the financing 
proposal and forward it, with or without amendment, to 
the Community's decision-making body. The relevant 
authorities of the country or territory or countries or 
territories concerned shall be given an opportunity to 
comment on any amendment of substance which the 
Commission intends to make to the document; these 
comments shall be reflected in the amended financing 
proposal. 
Article 195 
Subject to Article 194 (4), the Community's 
decision-making body shall communicate its decision 
within 120 days from the date of forwarding by the 
delegate referred to in Article 194 (3) (b) or, in cases 
where no delegate has been appointed, as referred to in 
Article 193, by the authorities of the Member State 
responsible for the country or territory in question. 
11^1 COfficialJournalofthe European Communities l^oC^B^ 
1. ^ithaview to expediting procedures and b^rwav 
of derogation from the provisions set out in Articles!^ 
and 1^, financing decisions ma^ deal with multiannual 
programmes where the financing concerns^ 
^ trainings 
d^ microprojects^ 
^ trade promotions 
^ sets of operations of a limited scale in a specific 
sectors 
^ technical cooperation. 
^. In these cases, the relevant authorities of the 
country or territory concerned mav submit to the 
delegateamultiannual programme setting out the broad 
outlines, the tvpes of operations envisaged and the 
financialcommitment proposed. 
^. The financing decision on each multiannual 
programme shall be taken b^ the chief authorizing 
officer.The letter fromthechiefauthorizingofficer to 
the local authorizing officer notifying such decision shall 
constitute the financing agreement within the meaning of 
Article 1^. 
^ithintheframeworkof multiannualprogrammesthus 
adopted, the local authorizing officer shall implement 
each individual action in accordance with the relevant 
provisions of the decision and the terms of the financing 
agreement referredtoabove. 
At the end of each vear, the local authorizing officer, in 
consultation withthe delegate, shall forwardareport to 
the Commission on the implementation of the 
programmes. 
A^C^^^ 
1. For anv project or programme financed bvagrant 
from the Fund,afinancing agreement shall be drawn up 
betweentheCommissionandtherelevant authorities of 
the country or territory or countries or territories 
concerned within DO da^s of the decision of the 
Community's decisionmaking bodv. 
^. fhe agreement shall specifv in particular the details 
of the Fund's financial commitment, the financing 
arrangements and terms and the general and specific provisions relating to the project or programme 
concerned and shall also incorporate the advance 
timetable for the technical implementation of the project 
or programme contained in thefinancing proposal. 
o5 Financing agreements for all projects and 
programmes shall make adequate provision for approprP 
ations to cover cost increasesandcontingencies. 
^. Cmce the financing agreement has been signed, 
disbursements shall be made in accordance with the 
financing plan laiddowntherein. 
^. Anv unexpended balance left upon closure of the 
accounts of projects and programmes shall accrue to the 
countrvorterritorvconcernedandshallbesospecified 
inthe Fund's books. It ma^ be used inthe manner laid 
downinthisOecisionforthefinancingof projectsand 
programmes. 
eO^r^^rr^^ 
L COnceit appears that cost overruns beyond the limit 
set in the financing agreement are likervto occur, the 
local authorizing officer shall, through the delegate, 
notifv the chief authorizingofficer accordingly, as well 
as of the measures which the local authorizing officer 
intends to take in order to cover such cost overruns over 
the allocated appropriations, either bv reducing the scale 
of the project or programme or bv calling on local or 
other nonDCommunitv resources. 
^. If it is decided bv agreement withthe Community 
nottoscaledowntheproject or programme or if itis 
not possible to cover them brother resources, then such 
overrunsmavbe^ 
^ covered b^ an^ unexpended balance left upon 
closureof projectsandprogrammesfrom indicative 
programmes which has not been reallocated up to 
^O^of the financial commitment for the project or 
programme concerned^ or 
d^ financed b^ the indicative programme. 
t. In order to ensure earlv project start-up, avoid gaps 
between sequential projects and prevent delavs, the 
No C 95/54 Official Journal of the European Communities 11.4.91 
relevant authorities of the OCT, in agreement with the 
Commission, may, on completion of project appraisal 
and before the financing decision is taken: 
(i) issue invitations to tender for all types of contracts, 
with a suspension clause; 
(ii) pre-finance, for a limited amount, activities linked to 
preliminary and seasonal work, orders for equipment 
with long delivery lead times as well as some 
ongoing operations. Such expenditures must satisfy 
the procedures provided for in the Decision. 
2. These provisions shall be without prejudice to the 
powers of the Community's decision-making body. 
3. Expenditure made by a country or territory 
pursuant to this Article shall be retroactively financed 
under the project or programme, once the financing 
agreement is signed. 
Section 5 
Competition and preferences 
Eligibility 
Article 200 
Save where a derogation is granted in accordance with 
Article 202: 
(a) participation in invitations to tender and the award 
of the contracts financed by the Fund shall be open 
on equal terms to: 
(i) natural persons, companies or firms or public or 
semi-public agencies of the OCT, the ACP 
States and Community States; 
(ii) cooperative societies and other legal persons 
governed by public or private law, save for those 
which are non-profit-making, of the 
Community, the OCT and/or the ACP States; 
(iii) joint ventures or groupings of OCT, ACP 
and/or Community companies or firms; 
(b) supplies must originate in the Community, the OCT 
and/or the ACP States. Participation on equal terms 
Article 201 
The relevant authorities of the OCT and the 
Commission shall take the necessary measures to ensure 
the widest possible participation on equal terms in invi­
tations to tender for works, supply and service contracts, 
including, as appropriate, measures to: 
(a) ensure publication of invitations to tender in the 
Official Journal of the European Communities, the 
official journals of the OCT and ACP States and any 
other appropriate information media; 
(b) eliminate discriminatory practices or technical speci­
fications which might stand in the way of widespread 
participation on equal terms; 
(c) encourage cooperation between the companies and 
firms of the Member States, the OCT and the ACP 
States; 
(d) ensure that all the selection criteria are specified in 
the tender dossier; and 
(e) ensure that the tender selected conforms to the 
requirements of the tender dossier and meets the 
selection criteria stated therein. 
Derogations 
Article 202 
1. In order to ensure the optimum cost-effectiveness 
of the system, natural or legal persons from non-ACP 
developing countries may be authorized to participate in 
contracts financed by the Community at the request of 
the relevant authorities of the OCT concerned. These 
authorities shall, on each occasion, provide the delegate 
with the information needed for the Community to 
decide on such derogations, particular attention being 
given to: 
(a) the geographical location of the country or territory 
concerned; 
(b) the competitiveness of contractors, suppliers and 
consultants from the Community, the OCT and the 
ACP States; 
(c) the need to avoid excessive increases in the cost of 
performance of the contract; 
(d) transport difficulties or delays due to delivery times 
or other similar problems; 
(e) technology that is the most appropriate and best 
suited to local conditions. 
11.4.91 Official Journal of the European Communities No C 95/55 
2. Participation by third countries in contracts 
financed by the Community may also be authorized: 
(a) where the Community participates in the financing 
of regional or inter-regional schemes involving such 
countries; 
(b) where projects and programmes are co-financed; 
(c) in the case of emergency assistance. 
3. In exceptional cases and in agreement with the 
Commission, consultancy firms or experts of third 
countries may participate in service contracts. 
Competition 
Article 203 
Save as provided for in Article 208, works and supply 
contracts financed from the Fund shall be concluded 
following an open invitation to tender and service 
contracts shall be concluded following a restricted invi­
tation to tender. 
Article 204 
1. The relevant authorities of the country or territory 
or countries or territories may, in accordance with the 
provisions of paragraphs 2, 3 and 4 and of Article 205 
and in agreement with the Commission: 
(a) place contracts after restricted invitations to tender 
following, where applicable, calls for pre-qualifi-
cation; 
(b) conclude contracts by direct agreement; 
(c) perform contracts through public or semi-public 
departments of the OCT. 
2. Restricted invitations to tender may be used: 
(a) where the urgency of the situation is established or 
where the nature, or certain particular characteristics 
of the contracts so warrant; 
(b) for projects or programmes of a highly specialized 
nature; 
(c) for large-scale contracts after pre-qualification. 
3. Direct agreement contracts may be awarded in the 
following cases: 
(a) small-scale operations, urgent situations or 
short-term technical cooperation schemes; 
(b) emergency assistance; (c) operations assigned to individual experts; 
(d) operations which are complementary to or necessary 
for the completion of others already in hand; 
(e) where the performance of the contract is exclusively 
reserved for holders of patents or licences to use, 
process or import the articles concerned; 
(f) following an unsuccessful invitation to tender. 
4. The following procedure shall apply for restricted 
invitations to tender and direct agreement contracts: 
(a) in the case of works and supply contracts, a short list 
of prospective tenderers shall be drawn up by the 
relevant authorities of the country or territory or 
countries or territories concerned in agreement with 
the delegate following, where applicable, a call for 
pre-qualification; 
(b) in the case of service contracts, the short list of pro­
spective tenderers shall be drawn up by the relevant 
authorities of the OCT in agreement with the 
Commission on the basis of the proposals of the 
relevant authorities of the country or territory or 
countries or territories concerned and the proposals 
submitted by the Commission; 
(c) in direct agreement contracts, the relevant authorities 
of the country or territory shall enter freely into such 
discussions as they may consider appropriate with 
prospective tenderers they have short-listed in 
accordance with the paragraphs above and award the 
contract to the tenderers they have selected. 
Direct labour 
Article 205 
1. Contracts shall be performed by direct labour 
through public or semi-public agencies or departments of 
the country or territory or countries or territories 
concerned, where the country or territory concerned has 
the qualified management staff available in its 
departments, in case of emergency assistance, service 
contracts and all other operations the estimated cost of 
which is less than ECU 5 million. 
2. The Community shall contribute to the costs of the 
department involved by providing the equipment and/or 
materials that it lacks and/or resources to allow it to 
acquire additional staff required in the form of experts 
from within the country or territory concerned or other 
OCT or ACP States. The Community contribution shall 
cover only costs incurred by supplementary measures and 
No C 95/56 Official Journal of the European Communities 11.4.91 
temporary expenditure relating to execution strictly 
confined to the requirements of the project in question. 
Emergency assistance contracts 
Article 206 
Contracts under emergency assistance shall be 
undertaken in such a way as to reflect the urgency of the 
situation. To this end, for all operations relating to 
emergency assistance, the relevant authorities of the 
country or territory may, in agreement with the delegate, 
authorize: 
(a) the conclusion of contracts by direct agreement; 
(b) the performance of contracts by direct labour; 
(c) implementation through specialized agencies; 
(d) direct implementation by the Commission. 
Accelerated procedure 
Article 207 
1. With the aim of ensuring the rapid and effective 
implementation of projects and programmes, an accel­
erated tendering procedure shall be used except as 
otherwise indicated by the relevant authorities of the 
country or territory concerned or the Commission by 
way of a proposal for the agreement of the relevant 
authorities of the country or territory concerned. The 
accelerated procedure for issuing invitations to tender 
shall involve shorter time limits for tendering and the call 
for tender shall be confined to the country or territory 
concerned and the neighbouring OCT or ACP States, in 
accordance with the rules in force in the country or 
territory concerned. The accelerated procedure shall 
apply in the following cases: 
(a) works contracts, the estimated cost of which is less 
than ECU 5 million; 
(b) emergency assistance, irrespective of the value of the 
contract. 
2. By way of derogation, a local authorizing officer, 
in agreement with the delegate, may procure supplies 
and/or services for a limited amount where they are 
available in the OCT concerned or in neighbouring 
OCT or ACP States. 
Article 208 
In order to speed up the procedure, the relevant auth­
orities of the OCT may request the Commission to negotiate, draw up and conclude service contracts on 
their behalf directly or through its relevant agency. 
Preferences 
Article 209 
Measures shall be taken to encourage the widest partici­
pation of natural and legal persons of the OCT in the 
performance of contracts financed by the Fund in order 
to permit the optimization of the physical and human 
resources of those countries and territories. To this end: 
(a) for works contracts of a value of less than 
ECU 5 million, tenderers of the OCT, provided that 
at least one quarter of the capital stock and 
management staff originates from one or more 
OCT, shall be accorded a 10 % price preference 
where tenders of an equivalent economic and 
technical quality are compared; 
(b) for supply contracts, irrespective of the value of the 
supplies, tenderers of the OCT who offer supplies of 
at least 50 % in contract value of OCT origin, shall 
be accorded a 15 % price preference where tenders 
of equivalent economic and technical quality are 
compared; 
(c) in respect of service contracts, given the required 
competence, preference shall be given to experts, 
institutions or consultancy companies or firms of the 
OCT where tenders of equivalent economic and 
technical quality are compared; 
(d) where subcontracting is envisaged, preference shall 
be given by the successful tenderer to natural 
persons, companies and firms of the OCT capable of 
performing the contract required on similar terms; 
(e) the relevent authorities of the country or territory 
may, in the invitation to tender, propose to the pros­
pective tenderers the assistance of other OCT or 
ACP companies or firms or national experts or 
consultants selected by mutual agreement. This 
cooperation may take the form either of a joint 
venture, or of a subcontract or of on-the-job training 
of trainees. 
Selection 
Article 210 
1. The relevant authorities of the country or territory 
shall award the contract to the tenderer: 
(a) whose tender satisfies the requirements laid down in 
the tender dossier; 
11. 4. 91 Official Journal of the European Communities No C 95/57 
(b) who, in the case of a works or supply contract, has 
offered the most advantageous tender as assessed, 
inter alia, on the basis of: 
(i) the price and the operating and maintenance 
costs; 
(ii) the qualifications of, and the guarantees offered 
by the tenderers, as well as the technical 
qualities of the tender, including the offer of an 
after-sales service in the country or territory; 
(iii) the nature of the contract, the conditions and 
the time limit for its execution, and the adap­
tation to local conditions; 
(c) who, in the case of a service contract, offers the 
most advantageous tender taking into account, inter 
alia, the price, the technical value of the tender, the 
organization and the methods proposed for the 
provision of the services, as well as the competence, 
independence and availability of the personnel 
proposed. 
2. Where two tenders are acknowledged to be equi­
valent on the basis of the criteria stated above, pref­
erence shall be given: 
(a) to the tenderer of a country or territory or an ACP 
State; or 
(b) if no such tender is forthcoming, to the tenderer 
who: 
(i) permits the best possible use of the physical and 
human resources of the OCT; 
(ii) offers the greatest subcontracting possibilities to 
OCT companies, firms or natural persons; or 
(iii) represents a consortium of natural persons, 
companies or firms from the OCT, ACP States 
and the Community. 
General regulations 
Article 211 
The award of contracts financed from the resources of 
the Fund shall be governed by this Decision and the 
general regulations which shall be adopted, on a 
proposal by the Commission, by decision of the Council. 
General conditions 
Article 212 
Performance of works, supply and service contracts 
financed from the resources of the Fund shall be 
governed by: 
(a) the general conditions applicable to contracts 
financed by the Fund which shall be adopted, on a 
proposal from the Commission, by decision of the 
Council; or (b) in the case of co-financed projects and programmes 
or the granting of derogations to third parties or 
accelerated procedures or other appropriate cases, 
such other general conditions as may be agreed by 
the relevant authorities of the country or territory 
concerned and the Community, i.e.: 
(i) the general conditions prescribed by the national 
legislation of the country or territory concerned 
or its established practices regarding inter­
national contracts; or 
(ii) any other international general conditions for 
contracts. 
Settlement of disputes 
Article 213 
Any dispute arising between the authorities of a country 
or territory and a contractor, supplier or provider of 
services during the performance of a contract financed 
by the Fund shall: 
(a) in the case of a local contract, be settled in 
accordance with the legislation of the country or 
territory concerned, and 
(b) in the case of a transnational contract, be settled by 
arbitration in accordance with the procedural rules 
to be adopted by the Council on a proposal from the 
Commission. 
Section 6 
Tax and customs arrangements 
Article 214 
The OCT shall apply to contracts financed by the 
Community tax and customs arrangements no less 
favourable than those applied by them to the most-
favoured States or international development organiz­
ations with which they have relations. For the purpose of 
determining the most-favoured-nation treatment, 
account shall not be taken of arrangements applied by 
the relevant authorities of the country or territory 
concerned to other developing countries. 
Article 215 
Subject to Article 214 above, the following shall apply to 
contracts financed by the Community: 
(a) the contract shall not be subject in the beneficiary 
country or territory to stamp or registration duties or 
to fiscal charges having equivalent effect, whether 
such charges already exist or are to be instituted in 
No C 95/58 Official Journal of the European Communities 11. 4. 91 
the future; however, such contracts shall be 
registered in accordance with the laws in force in the 
country or territory and a fee corresponding to the 
service rendered may be charged for it; 2. Tax arrangements affecting Commission delegates 
and delegation officials are dealt with in Article 222 of 
this Decision. 
(b) profits and/or income arising from the performance 
of contracts shall be taxable according to the internal 
fiscal arrangements of the country or territory 
concerned, provided that the natural or legal persons 
who realize such profit and/or income have a 
permanent place of business in that country or 
territory, or that the performance of the contract 
takes longer than six months; 
(c) enterprises which must import equipment in order to 
carry out works contracts shall, if they so request, 
benefit from the system of temporary admission as 
laid down by the legislation of the beneficiary 
country or territory in respect of the said equipment; 
(d) professional equipment necessary for carrying out 
tasks defined in a service contract shall be tempo­
rarily admitted into the beneficiary country or 
territory in accordance with the legislation of that 
country or territory free of fiscal, import and 
customs duties and of other charges having equi­
valent effect where these duties and charges do not 
constitute remuneration for services rendered; 
(e) imports under supply contracts shall be admitted into 
the beneficiary country or territory without customs 
duties, import duties, taxes or fiscal charges having 
equivalent effect. The contract for supplies orig­
inating in the country or territory concerned shall be 
concluded on the basis of the ex-works price of the 
supplies, to which may be added such internal fiscal 
charges as may be applicable to those supplies in the 
country or territory; 
(f) fuels, lubricants and hydrocarbon binders and, in 
general, all materials used in the performance of 
works contracts shall be deemed to have been 
purchased on the local market and shall be subject to 
fiscal rules applicable under the legislation in force in 
the beneficiary country or territory; 
(g) personal and household effects imported for use by 
natural persons, other than those recruited locally, 
engaged in carrying out tasks defined in a service 
contract and members of their families, shall be 
exempt from customs or import duties, taxes and 
other fiscal charges having equivalent effect, within 
the limits of the legislation in force in the beneficiary 
country or territory. 
Article 216 
1. Any matter not covered by Articles 214 and 215 
shall remain subject to the legislation of the country or 
territory concerned. Chapter 6 
Management and executing agents 
Section 1 
Chief authorizing officer 
Article 217 
1. The Commission shall appoint the chief authorizing 
officer of the Fund, who shall be responsible for 
managing the resources of the Fund. 
2. The chief authorizing officer shall: 
(a) commit, clear and authorize expenditure and keep 
accounts of commitments and authorizations; 
(b) ensure that financing decisions are carried out; 
(c) in close cooperation with the local authorizing 
officer make commitment decisions and financial 
arrangements that prove necessary to ensure proper 
execution of approved operations from the economic 
and technical viewpoints; 
(d) approve the tender dossier before invitations to 
tender are issued, subject to the powers exercised by 
the delegate pursuant to Article 223; 
(e) ensure publication in reasonable time of invitations 
to tender in accordance with Article 201; 
(f) approve the proposal for the placing of the contract, 
subject to the powers exercised by the delegate 
pursuant to Article 223. 
3. The chief authorizing officer shall, at the end of 
each year, make available a detailed balance sheet of the 
Fund showing balances of contributions paid into the 
Fund by the Member States, global disbursements in 
respect of each financing heading including regional 
cooperation, emergency assistance, Stabex and Sysmin. 
11.4.91 Official Journal of the European Communities No C 95/59 
Section 2 
Local authorizing officer 
Article 218 
1. The relevant authorities of each country or 
territory shall appoint a local authorizing officer to 
represent them in all operations financed from the 
resources of the Fund managed by the Commission. The 
local authorizing officer shall also be kept informed of 
operations financed from the resources managed by the 
Bank. 
2. The local authorizing officer may delegate some of 
these functions and shall inform the chief authorizing 
officer of any such delegation. 
Article 219 
1. The local authorizing officer shall: 
(a) in close cooperation with the Commission delegate, 
be responsible for the preparation, submission and 
appraisal of projects and programme; 
(b) in close cooperation with the delegate, issue invi­
tations to tender, receive tenders, preside over the 
examination of tenders, establish the results of this 
examination, sign contracts and riders thereto, and 
approve expenditure; 
(c) submit, before issuing invitations to tender, the invi­
tation to tender dossier to the delegate, who shall 
give his agreement within the time limit set in Article 
223; 
(d) complete the evaluation of tenders within the tender 
validity period, taking into consideration the period 
required for the approval of contracts; 
(e) transmit the result of the examination of the tenders 
and a proposal for award of the contract to the 
delegate who shall, within 30 days or such other time 
limit as set out in Article 223, give his approval; 
(f) clear and authorize expenditure within the limits of 
the funds assigned to him; 
(g) during the execution operations, make any adap­
tation arrangements necessary to ensure the proper 
execution of approved projects or programmes from 
the economic and technical viewpoint. 2. The local authorizing officer shall, during the 
execution of operations and subject to the requirement 
to inform the delegate, decide on: 
(a) technical adjustments and alterations in matters of 
detail, so long as they do not affect the technical 
solution adopted and remain within the limits of the 
reserve for adjustments; 
(b) alterations to estimates during execution; 
(c) transfers from item to item within estimates; 
(d) changes of site for multiple-unit projects or 
programmes where justified on technical, economic 
or social grounds; 
(e) imposition or remission of penalties for delay; 
(f) acts discharging guarantors; 
(g) purchase of goods, irrespective of their origin, on the 
local market; 
(h) use of construction equipment and machinery not 
originating in the Member States, the OCT or the 
ACP States provided there is no production of 
comparable equipment and machinery in the 
Member States, the OCT or the ACP States; 
(i) subcontracting; 
(j) final acceptance, provided that the delegate is 
present at provisional acceptance, endorses the 
corresponding minutes and, where appropriate, is 
present at the final acceptance, in particular where 
the extent of the reservations recorded at the 
provisional acceptance necessitates major additional 
work; 
(k) hiring of consultants and other technical assistance 
experts. 
Article 220 
All documents and proposals submitted by the local 
authorizing officer to the Commission or the 
Commission delegate for agreement or approval in 
accordance with this Decision shall be approved or 
deemed to be approved within the time limits laid down 
by this Decision, or within 30 days, where no time limit 
is stated in the Decision. 
Article 221 
At the end of each year, the local authorizing officer 
shall prepare a report on the operations covered by the 
indicative programme or regional programmes in that 
country or territory. The report shall include, inter alia: 
No C 95/60 Official Journal of the European Communities 11. 4. 91 
(a) the report referred to in Article 190 relating to 
commitments, disbursements and the implementation 
timetable for the indicative programme and a 
progress report on projects and programmes; 
(b) commitments, disbursements, implementation time­
table and progress on regional projects and pro­
grammes in that country or territory; 
(c) in consultation with the Commission delegate, the 
report referred to in Article 196 relating to multi-
annual programmes; 
(d) an assessment of the financial and technical 
cooperation operations in the country or territory, 
including regional programmes. 
A copy of the report shall be submitted to the delegate 
not later than 90 days after the end of the year under 
review. 
Section 3 
The delegate 
Article 222 
1. The Commission shall be represented in the OCT, 
or in each regional grouping which expressly so requests, 
by a delegate. 
2. In the case of a country or territory that is in a 
region where the Commission has not appointed a 
delegate, the authorities of the Member State responsible 
for the country or territory shall provide liaison between 
the Commission and the relevant authorities of that 
country or territory. 
3. The Commission delegate and officials of the dele­
gations, excluding locally hired staff, shall be exempt 
from all taxes levied in the country or territory where 
they are posted. 
Staff covered by this paragraph shall also be covered by 
Article 215 (g). 
Article 223 
The delegate shall have the necessary instructions and 
delegated powers to facilitate and expedite the pre­
paration, appraisal and execution of projects and 
programmes and shall be provided with the necessary 
back-up support to do so. To this end, and in close 
cooperation with the local authorizing officer, the 
delegate shall: (a) at the request of the relevant authorities of the 
country or territory concerned, participate and give 
assistance in the preparation of projects and 
programmes and in negotiating technical assistance 
contracts; 
(b) participate in appraising projects and programmes, 
preparing tender dossiers, and seeking ways to 
simplify project and programme appraisal and 
implementation procedures; 
(c) prepare financing proposals; 
(d) for accelerated procedures, direct agreement 
contracts, and contracts for emergency assistance, 
approve, before the local authorizing officer issues 
them, the invitation to tender dossier within 30 days 
of its submission to him by the local authorizing 
officer; 
(e) for all cases other than those mentioned in (d), 
transmit the invitation to tender dossier to the chief 
authorizing officer for approval within 30 days of its 
submission to the delegate by the local authorizing 
officer; 
(f) be present at the opening of tenders, and receive 
copies of them and of the results of their exam­
ination; 
(g) approve within 30 days the local authorizing officer's 
proposal for the placing of the contract for all: 
(i) direct agreement contracts; 
(ii) service contracts; 
(iii) contracts relating to emergency assistance; and 
(iv) contracts by accelerated procedure, works 
contracts worth less than ECU 5 million and 
supply contracts worth less than ECU 1 million; 
(h) approve within 30 days the local authorizing officer's 
proposal for the placing of the contract not covered 
by paragraph (g) wherever the following conditions 
are fulfilled: the tender selected is the lowest of 
those conforming to the requirements of the tender 
dossier, meets all the selection criteria stated therein 
and does not exceed the sum earmarked for the 
contract; 
(i) where the conditions set out in paragraph (h) are not 
fulfilled, forward the proposal for the placing of the 
contract to the chief authorizing officer, who shall 
11. 4. 91 Official Journal of the European Communities No C 95/61 
decide thereon within 60 days of receipt by the 
delegate. Where the price of the selected tender 
exceeds the sum earmarked for the contract, the 
chief authorizing officer shall, upon giving approval 
to the award, make the necessary financial 
commitment; 
(j) endorse direct labour contracts and estimates, riders 
thereto, and payment authorizations issued by the 
local authorizing officer; 
(k) ensure that the projects and programmes financed 
from the resources of the Fund managed by the 
Commission are properly executed from the financial 
and technical viewpoints; 
(1) cooperate with the local authorities of the country or 
territory where he represents the Commission in 
evaluating operations regularly; 
(m) maintain close and continuous contact with the local 
authorizing officer for the purpose of analysing and 
remedying specific problems encountered in the 
implementation of development finance cooperation; 
(n) in particular, make regular checks to see that oper­
ations are proceeding in accordance with the 
schedule laid down in the advance timetable in the 
financing decision; 
(o) communicate to the relevant authorities of the 
country or territory all information and relevant 
documents on the procedures for implementing 
development finance cooperation especially as 
regards appraisal criteria and tender evaluation 
criteria; 
(p) on a regular basis inform the local authorities of 
Community activities which may directly concern 
cooperation between the Community and the OCT. 
Article 224 
At the end of each year, the delegate shall prepare a 
report on the implementation of the indicative 
programme and regional programmes in particular as it 
relates to operations of the Fund managed by the 
Commission, and covering, inter alia: 
(a) the amount of the indicative programme, 
commitments, disbursements and the timetable for 
the implementation of the indicative programme and 
regional programmes; 
(b) a progress report on projects and programmes; (c) an assessment of the operations of the Fund in the 
country or territory and regional programmes. 
A copy of the report shall be submitted simultaneously to 
the relevant authorities of the country or territory 
concerned and the Community. 
Section 4 
Payments and paying agents 
Article 225 
1. For the purpose of effecting payments in the local 
currencies of the OCT, accounts denominated in the 
currencies of one of the Member States or in ecus shall 
be opened in each country or territory in the name of 
the Commission with a national public or semi-public 
financial institution, chosen by agreement between the 
relevant authorities of the country or territory and the 
Commission. This institution shall exercise the functions 
of paying agent. 
2. The accounts referred to above shall be replenished 
by the Commission in the currency of one of the 
Member States or in ecus, based on estimates of future 
cash requirements, which shall be made sufficiently in 
advance to avoid need for pre-financing by the OCT and 
to prevent delayed disbursements. 
3. The paying agent shall receive no remuneration for 
its services, and no interest shall be payable by it on 
deposited funds. 
4. For the purpose of effecting payments in ecus, 
accounts denominated in ecus shall be opened in the 
name of the Commission with financing institutions in 
the Member States. These institutions shall exercise the 
functions of paying agents in Europe. Payments from 
these accounts, which shall be executed on the 
instruction of the Commission or by the delegate acting 
on its behalf, may be made in respect of expenditure 
authorized by the local authorizing officer or by the 
chief authorizing officer with the prior authorization of 
the local authorizing officer. 
5. Within the limits of the funds available in the 
accounts, the paying agents shall make disbursements 
authorized by the local authorizing officer or, as appro­
priate, the chief authorizing officer, after verifying that 
the supporting documents provided are substantially 
correct and in order, and that the discharge given for 
payment is valid. 
6. The procedures for clearance, authorization and 
payment of expenditure shall be completed within a 
period of 90 days from the date on which the payment 
No C 95/62 Official Journal of the European Communities 11. 4. 91 
becomes due. The local authorizing officer shall process 
and deliver the payment authorization to the delegate 
not later than 45 days before the due date. 
7. Claims for delayed payments shall be borne by the 
relevant authorities of the country or territory or 
countries or territories concerned, and by the 
Commission from its own resources, for that part of the 
delay for which each party is responsible, in accordance 
with paragraph 6. 
8. The paying agents, the local authorizing officer, 
the delegate and the responsible Commission 
departments shall remain financially liable until the 
Commission gives final clearance for the operations for 
the execution of which they are responsible. 
Section 5 
Monitoring and evaluation 
Article 226 
The objective of monitoring and evaluation shall consist 
in the external assessment of development operations 
(preparation, implementation and subsequent operation) 
with a view to improving the development effectiveness 
of ongoing and future operations. This work shall be 
done jointly by the OCT and the Community. 
Article 227 
1. More specifically, this work will notably serve the 
following purposes: 
(a) provide regular, joint and independent monitoring 
and evaluation of the Fund's operations and ac­
tivities; 
(b) organize the joint monitoring and evaluation of 
ongoing and completed operations, and compare the 
results of operations with their objectives. Adminis­
tration, functioning and maintenance of operations 
should systematically be reviewed; 
(c) account to the Council for the outcome of the 
evaluation work and feed that experience back into 
the design and execution of future operations; 
(d) ensure that the comments of the relevant authorities 
of the OCT are sought on all monitoring and 
evaluation reports, and further ensure, in all cases, 
that the OCT experts participate directly in the 
monitoring, evaluation and preparation of the 
reports; 
(e) ensure that the OCT and the Community regularly 
programme evaluation work; (f) synthesize results of monitoring and evaluation by 
sector, instrument, theme, country or territory and 
region. To this end: 
(i) reports on the results of monitoring and 
evaluation shall be drawn up and published at 
agreed intervals; 
(ii) an annual review of operations performance 
results shall be prepared; 
(g) ensure the adequate operational feed-back of moni­
toring and evaluation results into development policy 
and practice, by devising effective feed-back mech­
anisms, organizing seminars and workshops and 
producing and distributing concise documentation 
highlighting the most important findings, conclusions 
and recommendations and, through a process of 
discussion and follow-up with policy and Operating 
staff, bring that experience to bear on the design and 
execution of future operations and help to re-orient 
them; 
(h) identify and disseminate lessons that can contribute 
to improvements in the design and implementation of 
future operations; 
(i) collect and exploit relevant information available 
with local and international development coop­
eration organizations. 
2. Areas of work to be covered will notably include 
the following: 
(a) development sectors; 
(b) development instruments and themes; 
(c) local and regional reviews; 
(d) individual development operations. 
Article 228 
In order to ensure its practical relevance to the objectives 
of the Decision and to improve the exchange of infor­
mation, the Commission shall: 
(a) maintain close contact with evaluation units in the 
OCT and in the Community, as, well as with the 
local authorizing officers, Commission delegations 
and other interested services in the OCT local 
administrations and regional organizations; 
11.4.91 Official Journal of the European Communities No C 95/63 
(b) assist the OCT in initiating or strengthening moni­
toring and evaluation capacities, through consul­
tation or through courses on monitoring and 
evaluation. 
TITLE IV 
GENERAL PROVISIONS FOR THE LEAST-DEVELOPED 
OCT 
Article 229 
Special attention shall be paid to the least-developed 
OCT and their specific needs and problems in order to 
enable them to take full advantage of the opportunities 
offered by the Decision and help them overcome the 
serious social and economic difficulties which hamper 
their development. 
Independently of the measures provided for in the 
different chapters of the Decision, special attention shall 
be paid in respect of the least-developed OCT to: 
— the strengthening of regional cooperation; 
— transport and communications infrastructure; 
— the efficient exploitation of marine resources and the 
marketing of products so produced; 
— the implementation of food strategies and integrated 
development programmes. 
Article 230 
1. The following shall be considered least-developed 
OCT for the purposes of this Decision: 
— Anguilla, 
— Mayotte, 
— Montserrat, 
— Turks and Caicos Islands, 
— Wallis and Futuna Islands. 
2. The list of OCT in paragraph 1 may be amended 
by decision of the Council, on a proposal from the 
Commission, where the economic situation of a country 
or territory undergoes a significant and lasting change, 
either so as to necessitate its inclusion in the category of 
least-developed OCT or so that its inclusion in that 
category is no longer warranted. Article 231 
The provisions laid down pursuant to Article 229 in 
respect of the least-developed OCT are contained in the 
following Articles: 
1. Objectives 
Article 5 
2. Agricultural cooperation, food security and rural development 
Article 28 
3. Development of fisheries 
Article 32 
4. Industrial cooperation 
Article 49 
5. Development of services 
Article 68 
6. Trade development 
Article 85 (5) 
7. Safeguard measures — trade cooperation 
Article 110 
8. Sysmin 
Article 138 (1) 
9. Development finance cooperation 
Article 143 (m) 
10. Recurrent cost financing 
Article 150 (2) 
11. Allocation of resources 
Article 160 
12. Microprojects 
Article 162 (4) 
13. Programming 
Article 187 (2) 
14. Appraisal of projects 
Article 193 (3) 
15. Annex on the rules of origin 
Article 30 (3) and (5) 
No C 95/64 Official Journal of the European Communities 11. 4. 91 
PART 4 
PROVISIONS RELATING TO ESTABLISHMENT AND SERVICES 
Article 232 
As regards the arrangements applicable to establishment 
and provision of services, the relevant authorities of the 
OCT shall treat nationals and companies or enterprises 
of Member States on a non-discriminatory basis. 
(a) The authorities of a country or territory may, 
however, adopt regulations to aid the local popu­
lation and local activities in derogation from the 
rules normally applicable to nationals, companies or 
enterprises of all Member States as long as such 
derogations are confined to sensitive sectors of the 
country or territory's economy and are intended to 
promote or support local employment. 
The sectors concerned, and the duration of dero­
gation and other related procedures, shall be estab­
lished for the country or territory concerned, after 
consultation, where necessary, in the framework of 
the partnership provisions of Articles 234 to 236, by 
decision of the Council, acting by a qualified 
majority on a proposal from the Commission. 
(b) However, if, for a given activity, a Member State is 
unable to provide similar treatment for nationals or 
companies or enterprises of the Kingdom of 
Denmark, the French Republic, the Kingdom of the 
Netherlands or the United Kingdom, established in a 
country or territory, or for companies or enterprises 
subject to the laws of the country or territory 
concerned and established therein, the relevant auth­
orities of that country or territory shall not be bound 
to accord such treatment. 
Article 233 
For the purposes of this Decision 'companies or enter­
prises' means companies or enterprises constituted under civil or commercial law, including public or other 
companies, cooperative societies and any other legal 
person or association governed by public or private law, 
save for those which are non-profit-making. 
'Companies or enterprises of Member States' means 
companies or enterprises formed in accordance with the 
laws of a Member State whose registered office, central 
administration or principal place of business is in a 
Member State; however, a company or enterprise having 
only its registered office in a Member State must be 
engaged in an activity which has an actual and 
continuous link with the economy of that Member State. 
'Companies or enterprises of the Kingdom of Denmark, 
the French Republic, the Kingdom of the Netherlands or 
the United Kingdom established in a country or 
territory' means companies or enterprises formed in 
accordance with Danish, French, Dutch or United 
Kingdom law, as the case may be, whose registered 
office, central administration or principal place of 
business is in that country or territory; however, a 
company or enterprise having only its registered office in 
a country or territory must be engaged in an activity 
which has an actual and continuous link with the 
economy of that country or territory. 
'Companies or enterprises subject to the laws of the 
country or territory concerned and established therein' 
means companies or enterprises formed in accordance 
with the law applicable in a given country or territory 
whose registered office, central administration or 
principal place of business is in that country or territory; 
however, a company or enterprise having only its 
registered office in a country or territory must be 
engaged in an activity which has an actual and 
continuous link with the economy of that country or 
territory. 
11.4.91 Official Journal of the European Communities No C 95/65 
PART 5 
COMMISSION/MEMBER STATE/OCT PARTNERSHIP 
Article 234 
Community action shall be based as far as possible on 
close consultation between the Commission, the Member 
State responsible for a country or territory and the local 
authorities of that country or territory. 
This consultation shall hereinafter be referred to as 'part­
nership'. 
Article 235 
1. Partnership shall cover the programming, prep­
aration, financing, monitoring and evaluation of oper­
ations carried out by the Community under this 
Decision, and any problem arising in relations between 
the OCT and the Community. 
2. To this end, working parties on association with 
the OCT, of an advisory nature and made up of the 
three partners referred to in Article 234, may be set up 
either on the basis of geographical area or by group of 
OCT under the responsibility of a single Member State, 
notably at the request of the OCT concerned. These 
working parties shall be set up: 
— on an ad hoc basis to deal with specific problems, or — on a permanent basis for the period remaining of the 
life of this Decision; in this case they shall meet at 
least once a year to examine progress in 
implementing this Decision or deal with other 
matters arising under paragraph 1. 
3. The Commission shall chair the working parties. A 
representative of the Bank shall be present at meetings 
when matters concerning it are on the agenda. 
The general expenses of these meetings and the expenses 
incurred by OCT representatives in attending meetings 
shall be borne by the relevant authorities of the OCT. 
Article 236 
1. Other OCT shall be notified by the Commission of 
recommendations made by a working party. 
2. The opinions of working parties shall be duly taken 
into account by the Commission, notably in its role of 
administrator of the Fund. Where relevant, they shall 
form the basis of proposals from the Commission to the 
Council with a view to bringing into force, under Article 
136 of the Treaty, new provisions concerning the 
application of the association of the OCT with the 
Community, with particular regard to the effects on the 
OCT of the completion of the single market. 
PART 6 
FINAL PROVISONS 
Article 237 
Subject to the special provisions regarding relations 
between the OCT and the French overseas departments 
provided for herein, this Decision shall apply, on the one 
hand, to the territories in which the Treaty establishing 
the European Economic Community is applied and 
under the conditions laid down in that Treaty and, on 
the other, to the territories of the OCT. 
Article 238 
1. The OCT to which this Decision applies are listed 
in Annex I. 2. The Council, acting unanimously on a proposal 
from the Commission, may amend or supplement the 
said Annex. 
Article 239 
If a country or territory becomes independent: 
(a) the arrangements provided for in this Decision may 
continue to apply provisionally to that country or 
territory under conditions laid down by the Council; 
(b) the Council, acting unanimously on a proposal from 
the Commission, shall decide on any necessary 
adjustments to this Decision, in particular to the 
amounts specified in Article 154. 
No C 95/66 Official Journal of the European Communities 11. 4. 91 
Article 240 
1. This Decision shall be applicable for a period of 10 
years from 1 March 1990. 
2. Before the end of the first five years, the Council, 
acting unanimously on a proposal from the Commission, 
shall, in addition to the financial assistance referred to in 
Article 154 (I), establish: 
(a) where necessary, any amendments to provisions 
following notification to the Commission by the 
relevant authorities of the OCT not later than 10 
months before expiry of this five-year period; 
(b) where necessary, any amendments proposed by the 
Commission in the light of its own experience or as a 
result of amendments under negotiation between the 
Community and the ACP States; 
(c) any transitional measures necessary as a result of the 
amendments made under subparagraphs (a) and (b) 
until their entry into force. 3. Before the date on which this Decision expires, the 
Council, acting unanimously on a proposal from the 
Commission, shall establish the provisions to be laid 
down for the subsequent application of the principles set 
out in Articles 131 to 135 of the Treaty. 
It shall adopt any transitional measures that may be 
necessary until the entry into force of the new decision. 
Article 241 
This Decision shall enter into force on the day following 
its publication in the Official Journal of the European 
Communities, or on 1 March 1991, whichever is the 
earlier. 
Should it enter into force before 1 March 1991, Council 
Decision 90/146/EEC (*) shall be repealed on the date 
on which this Decision enters into force. 
Article 242 
This Decision shall be published in the Official Journal of 
the European Communities. 
O OJ No L 84, 30. 3. 1990, p. 108. 
11. 4. 91 Official Journal of the European Communities No C 95/67 
Annex J 
List of the OCT referred to in Article 1 
(This list does not prejudge the status of these countries and territories, or future changes in their status.) 
1. Country having special relations with the Kingdom of Denmark: Greenland. 
2. Overseas territories of the French Republic: 
— New Caledonia and Dependencies, 
— French Polynesia, 
— French Southern and Antarctic Territories, 
— Wallis and Futuna Islands. 
3. Territorial collectivities of the French Republic: 
— Mayotte, 
— Saint Pierre and Miquelon. 
4. Overseas countries of the Kingdom of the Netherlands: 
— Aruba, 
— Netherlands Antilles: 
— Bonaire, 
— Curacao, 
— Saba, 
— Saint Eustatius, 
— Saint Martin. 
5. Overseas countries and territories of the United Kingdom of Great Britain and Northern Ireland: 
— Anguilla, 
— Cayman Islands, 
— Falkland Islands, 
— South Sandwich Islands and Dependencies, 
— Montserrat, 
— Pitcairn, 
— Saint Helena and Dependencies, 
— British Antarctic Territory, 
— British Indian Ocean Territory, 
— Turks and Caicos Islands, 
— British Virgin Islands. 
No C 95/68 Official Journal of the European Communities 11.4.91 
Annex II 
concerning the definition of the concept of 'originating products' and methods of administrative 
cooperation 
TITLE I 
DEFINITION OF THE CONCEPT OF ORIGINATING 
PRODUCTS 
Article 1 
Origin criteria 
For the purpose of implementing the trade cooperation 
provisions of the Decision, a product shall be considered 
to be originating in the OCT, the Community or the 
ACP States if it has been either wholly obtained or suffi­
ciently worked or processed there. which sail under the flag of a Member State, of an 
ACP State, or of a country or territory, 
which are 50 % owned by Member State, ACP or 
OCT nationals or a company with its head office in 
one of these States or OCT, of which the manager or 
managers, chairman of the board of directors or the 
supervisory board, and the majority of the members 
of such boards, are Member State, ACP or OCT 
nationals and of which, in addition in the case of 
partnerships or limited companies, at least half the 
capital belongs to Member States or ACP States, or 
to public bodies or nationals of such States or of a 
country or territory, 
Article 2 
Wholly obtained products 
1. The following shall be considered as wholly 
obtained in the OCT, the Community or the ACP 
States: 
(a) mineral products extracted from their soil or from 
their seabed; 
(b) vegetable products harvested therein; 
(c) live animals born and raised therein; 
(d) products from live animals raised therein; 
(e) products obtained by hunting or fishing conducted 
therein; 
(f) products of sea fishing and other products taken 
from the sea by their vessels; 
(g) products made aboard their factory ships exclusively 
from products referred to in subparagraph (f); 
(h) used articles collected there fit only for the recovery 
of raw materials; 
(i) waste and scrap resulting from manufacturing oper­
ations conducted therein; 
(j) goods produced there exclusively from the products 
specified in subparagraphs (a) to (i). 
2. The term 'their vessels' in paragraph 1 (f) shall 
apply only to vessels: 
— which are registered or recorded in a Member State, 
in an ACP State, or in a country or territory, of which at least 50 % of the crew, master and 
officers included, are Member State, ACP or OCT 
nationals. 
3. Nothwithstanding the provisions of paragraph 2, 
where a country or territory offers the Community the 
opportunity to negotiate a fisheries agreement and the 
Community does not accept this offer, the country or 
territory concerned may charter or lease third country 
vessels to undertake fisheries activities in its exclusive 
economic zone and request that such vessels be treated 
as 'its vessels' under the provisions of this Article. 
The Community shall recognize vessels chartered or 
leased by the country or territory as vessels of that 
country or territory under the following conditions: 
that the Community has not availed itself of the 
opportunity to negotiate a fisheries agreement with 
the country or territory concerned, 
that at least 50 % of the crew, master and officers 
included, are Member State, ACP or OCT nationals, 
that the charter or lease contract has been accepted 
by the Commission as providing adequate oppor­
tunities for developing the capacity of the country or 
territory to fish on its own account and in particular 
as conferring on the country or territory the res­
ponsibility for the nautical and commercial 
management of the vessel placed at its disposal for a 
significant period of time. 
4. The terms 'ACP State', 'the Community' and 
'OCT' shall also cover their territorial waters. 
11. 4. 91 Official Journal of the European Communities No C 95/69 
Sea-going vessels, including factory ships, on which the 
fish caught is worked or processed shall be considered as 
part of the territory of the ACP States, the Community 
or the OCT to which they belong, provided that they 
satisfy the conditions set out in paragraph 2. 
Article 3 
Sufficiently processed products 
1. For the purposes of Article 1, non-originating 
materials are considered to be sufficiently worked or 
processed when the product obtained is classified in a 
heading which is different from those in which all the 
non-originating materials used in its manufacture are 
classified, subject to paragraphs 2 and 3. 
The expressions 'chapters' and 'headings' used in this 
Annex shall mean the chapters and headings (four-digit 
codes) used in the Nomenclature which makes up the 
Harmonized Commodity Description and Coding 
System (hereinafter referred to as the 'Harmonized 
System'). 
The expression 'classified' shall refer to the classification 
of a product or material under a particular heading. 
2. For a product mentioned in columns 1 and 2 of the 
list in Annex 2, the conditions set out in column 3 for 
the product concerned must be fulfilled instead of the 
rule in paragraph 1. 
(a) Where in the list in Annex 2 a percentage rule is 
applied in determining the originating status of a 
product obtained in a country or territory, the value 
added by the working or processing shall correspond 
to the ex-works price of the product obtained, less 
the customs value of third-country materials 
imported into the Community, the ACP States or the 
OCT. 
(b) The term 'value' in the list in Annex 2 shall mean the 
customs value at the time of the import of the 
non-originating materials used or, if this is not 
known and cannot be ascertained, the first ascer­
tainable price paid for the materials in the territory 
concerned. 
Where the value of the originating materials used 
needs to be established, the provisions of the 
preceding subparagraph shall be applied mutatis 
mutandis. 
(c) The term 'ex-works price' in the list in Annex 2 shall 
mean the price paid for the product obtained to the 
manufacturer in whose undertaking the last working 
or processing is carried out, provided the price 
includes the value of all the materials used in manu­
facture, minus any internal taxes which are, or may 
be, repaid when the product obtained is exported. (d) 'Customs value' shall be understood as meaning the 
value established in accordance with the Agreement 
on the implementation of Article VII of the General 
Agreement on Tariffs and Trade (GATT), concluded 
in Geneva on 12 April 1979. 
3. For the purpose of implementing paragraphs 1 and 
2 the following shall be considered as insufficient 
working or processing to confer the status of originating 
products, whether or not there is a change of heading: 
(a) operations to ensure the preservation of products in 
good condition during transport and storage 
(ventilation, spreading out, drying, chilling, placing 
in salt, sulphur dioxide or other aqueous solutions, 
removal of damaged parts, and like operations); 
(b) simple operations consisting of removal of dust, 
sifting or screening, sorting, classifying, matching 
(including the making-up of sets of articles, washing, 
painting, cutting-up); 
(c) (i) changes of packaging and breaking up and 
assembly of consignments; 
(ii) simple placing in botdes, flasks, bags, cases, 
boxes, fixing on cards or boards etc., and all 
other simple packaging operations; 
(d) affixing marks, labels and other like distinguishing 
signs on products or their packaging; 
(e) (i) simple mixing of products of the same kind 
where one or more components of the mixture 
do not meet the conditions laid down in this 
Annex to enable them to be considered as orig­
inating in an ACP State, in the Community or in 
a country or territory; 
(ii) simple mixing of products of different kinds 
unless one or more components of the mixture 
meet the conditions laid down in this Annex to 
enable them to be considered as originating in an 
ACP State, the Community, or a country or 
territory and provided that such components 
contribute to the determination of the essential 
characteristics of the finished product; 
(f) simple assembly of parts of articles to constitute a 
complete article; 
(g) a combination of two or more operations specified in 
subparagraphs (a) to (f); 
(h) slaughter of animals. 
No C 95/70 Official Journal of the European Communities 11.4.91 
Article 4 
Neutral elements 
In order to determine whether goods originate in an 
ACP State, the Community or one of the OCT, it shall 
not be necessary to establish whether the electrical 
power, fuel, plant and equipment and machines and tools 
used to obtain such goods or whether any materials or 
products used in the course of production which do not 
enter and which were not intended to enter into the final 
composition of the goods originate in third countries or 
not. 
Article 5 
Value tolerance 
Notwithstanding the provisions of Article 3 (1) and (2), 
non-originating materials may be used in the manu­
facture of a given product, provided their total value 
does not exceed 10 °/o of the ex-works price of the final 
product and subject to the conditions laid down in Note 
4.4 in Annex 1. 
Article 6 
Cumulation 
1. For the purpose of implementing this Title, the 
OCT shall be considered as being one territory. 
2. When products wholly obtained in the Community 
or in the ACP States undergo working or processing in 
the OCT, they shall be considered as having been wholly 
obtained in the OCT. 
3. Working and processing carried out in the 
Community or in the ACP States shall be considered as 
having been carried out in the OCT when the materials 
undergo working or processing in the OCT. 
4. Paragraphs 2 and 3 apply to any working or 
processing carried out in the OCT, including the oper­
ations listed in Article 3 (3). 
Article 7 
Allocation of origin 
Originating products made up of materials wholly 
obtained or sufficiently processed in two or more OCT 
shall be considered as products originating in the country 
or territory where the last working or processing took 
place, provided this working or processing exceeded the 
insufficient operations listed in Article 3 (3) or a combi­
nation thereof. Article 8 
Accessories, spare parts and tools 
Accessories, spare parts and tools dispatched with a piece 
of equipment, machine, apparatus or vehicle which are 
part of the normal equipment and included in the price 
thereof or are not separately invoiced are regarded as 
one with the piece of equipment, machine, apparatus or 
vehicle in question. 
Article 9 
Sets 
Sets, as defined in General Rule 3 of the Harmonized 
System, shall be regarded as originating when all 
component articles are originating products. Never­
theless, when a set is composed of originating and 
non-originating articles, the set as a whole shall be 
regarded as originating provided that the value of the 
non-originating articles does not exceed 15 % of 
ex-works price of the set. 
Article 10 
Direct transport 
1. The preferential treatment provided for under the 
trade cooperation provisions of the Decision applies only 
to products or materials which are transported between 
the territory of the ACP States, of the Community or of 
the OCT without entering any other territory. However, 
goods constituting one single consignment may be trans­
ported through territory other than that of the ACP 
States, the Community or the OCT, with, should the 
occasion arise, transhipment or temporary warehousing 
in such territory, provided that the goods have remained 
under the surveillance of the customs authorities in the 
country of transit or of warehousing and that they have 
not undergone operations other than unloading, 
reloading or any operation designed to preserve them in 
good condition. 
2. Evidence that the conditions referred to in 
paragraph 1 have been fulfilled shall be supplied to the 
responsible customs authorities by the production of: 
(a) a through bill of lading issued in the exporting 
beneficiary country covering the passage through the 
country of transit; or 
(b) a certificate issued by the customs authorities of the 
country of transit: 
— giving an exact description of the goods, 
— stating the dates of unloading and reloading of 
the goods or of their embarkation or disem­
barkation, identifying the ships used, 
11. 4. 91 Official Journal of the European Communities No C 95/71 
— certifying the conditions under which the goods 
remained in the transit country; 
(c) or failing these, any substantiating documents. 
Article 11 
Territorial requirement 
The conditions set out in this Title relative to the 
acquisition of originating status must be fulfilled without 
interruption in the Community, the ACP States or the 
OCT. 
If originating goods exported from the Community, the 
ACP States or the OCT to another county are returned, 
they must be considered as non-originating unless it can 
be demonstrated to the satisfaction of the customs auth­
orities that: 
— the goods returned are the same goods as those 
exported, and 
— they have not undergone any operation beyond that 
necessary to preserve them in good condition while 
in that country or while being exported. 
TITLE II 
PROOF OF ORIGIN 
Article 12 
Movement certificate EUR. 1 
1. Evidence of originating status of products, within 
the meaning of this Annex, shall be given by a movement 
certificate EUR. 1, a specimen of which appears in 
Annex 4 to this Annex. 
2. A movement certificate EUR. 1 may be issued only 
where it can serve as the documentary evidence required 
for the purpose of implementing the Decision. 
3. A movement certificate EUR. 1 shall be issued only 
on application having been made in writing by the 
exporter or, on his responsibility, by his authorized 
representative. Such application shall be made on a form, 
a specimen of which appears in Annex 4 to this Annex, 
which shall be completed in accordance with this Annex. 
4. Applications for movement certificates EUR. 1 must 
be preserved for at least three years by customs auth­
orities of the exporting country. 5. The exporter or his representative shall submit with 
his request any appropriate supporting document proving 
that the products to be exported are such as to qualify 
for the issue of a movement certificate EUR. 1. 
He shall undertake to submit at the request of the 
relevant authorities, any supplementary evidence they 
may require for the purpose of establishing the 
correctness of the originating status of the goods eligible 
for preferential treatment and shall undertake to agree to 
any inspection of his accounts and to any check on the 
processes of the obtaining of the above goods. 
Exporters are required to keep the supporting documents 
referred to in this paragraph for at least two years. 
6. The movement certificate EUR. 1 shall be issued by 
the customs authorities of the exporting country or 
territory, if the goods can be considered 'originating 
products' within the meaning of this Annex. 
7. For the purpose of verifying whether the conditions 
stated in paragraph 6 have been met, the customs auth­
orities shall have the right to call for any documentary 
evidence or to carry out any check which they consider 
appropriate. 
8. It shall be the responsibility of the customs auth­
orities of the exporting State to ensure that the forms 
referred to in paragraph 1 are duly completed. In 
particular, they shall check whether the space reserved 
for the description of the products has been completed in 
such a manner as to exclude all possibility of fraudulent 
additions. To this end, the description of the products 
must be indicated without leaving any blank lines. Where 
the space is not completely filled a horizontal line must 
be drawn below the last line of the description, the 
empty space being crossed through. 
9. The date of issue of the movement certificate must 
be indicated in the part of the certificate reserved for the 
customs authorities. 
10. A movement certificate EUR. 1 shall be issued by 
the customs authorities of the exporting country or 
territory when the products to which it relates are 
exported. It shall be made available to the exporter as 
soon as actual export has been effected or ensured. 
Article 13 
Issue of certificate EUR. 1 retrospectively 
1. In exceptional circumstances a movement certificate 
EUR. 1 may also be issued after export of the products 
to which it relates if it was not issued at the time of 
export because of errors or involuntary omissions or 
special circumstances. 
2. For the implementation of paragraph 1, the 
exporter must in the application: 
No C 95/72 Official Journal of the European Communities 11. 4. 91 
— indicate the place and date of export of the products 
to which the certificate relates, 
— certify that no movement certificate EUR. 1 was 
issued at the time of export of the products in 
question, and state the reasons. 
3. The customs authorities may issue a movement 
certificate EUR. 1 retrospectively only after verifying 
that the information supplied in the exporter's 
application agrees with that in the corresponding file. 
Certificates issued retrospectively must be endorsed with 
one of the following phrases: 'EXPEDIDO A 
POSTERIORI', 'UDSTED EFTERF0LGENDE', 
'NACHTRAGLICH AUSGESTELLT', 'EKA08EN EK 
TQN YSTEPQN', 'ISSUED RETROSPECTIVELY', 
'DELIVRE A POSTERIORI', 'RILASCIATO A 
POSTERIORI', 'AFGEGEVEN A POSTERIORI', 
'EMITIDO A POSTERIORI'. 
Article 14 
Issue of a duplicate certificate EUR. 1 
In the event of the theft, loss or destruction of a 
movement certificate EUR. 1, the exporter may apply to 
the customs authorities which issued it for a duplicate 
made out on the basis of the export documents in their 
possession. 
The duplicate issued in this way must be endorsed with 
one of the following words: 'DUPLICADO', 
'DUPLIKAT', 'DUPLIKAT', 'ANTirPAOK)', 
'DUPLICATE', 'DUPLICATE, 'DUPLICATO', 
'DUPLICAAT', 'SEGUNDA VIA'. 
Article 15 
Replacement of certificates 
It shall at any time be possible to replace one or more 
movement certificates EUR. 1 by one or more other 
movement certificates EUR. 1 provided that this is done 
at the customs office where the goods are located. 
Article 16 
Validity of movement certificates EUR. 1 
1. A movement certificate EUR. 1 must be submitted, 
within 10 months of the date of issue by the customs 
authorities of the exporting country or territory, to the 
customs authorities of the importing State where the 
products are entered. 
2. A movement certificate EUR. 1 which is submitted 
to the customs authorities of the importing State after the final date of presentation specified in paragraph 1 
may be accepted for the purpose of applying preferential 
treatment, where the failure to submit the certificate by 
the final date set is due to reasons of force majeure or 
exceptional circumstances. 
3. In other cases of belated presentation, the customs 
authorities of the importing State may accept the 
certificates where the products have been submitted to 
them before the said final date. 
Article 17 
Transit procedure 
When the products enter an ACP State or OCT other 
than the country of origin, a further period of validity of 
10 months shall commence on the date on which the 
customs authorities in the country of transit enter the 
following in box 7 of the certificate EUR. 1: 
— the word 'transit', 
— the name of the country of transit, 
— the official stamp, a specimen of which has been 
made available to the Commission, in conformity 
with Article 25, 
— the date of the endorsements. 
Article 18 
Exhibitions 
1. Products sent from a country or territory for 
exhibition in a country other than an ACP State, a 
Member State or a country or territory and sold after 
the exhibition for importation into the Community shall 
benefit on importation from the provisions of the 
Decision on condition that the products meet the 
requirements of this Annex entitling them to be 
recognized as originating in a country or territory and 
provided that it is shown to the satisfaction of the 
customs authorities of the importing State that: 
(a) an exporter has consigned these products from a 
country or territory to the country in which the 
exhibition is held and has exhibited them there; 
(b) the products have been sold or otherwise disposed of 
by that exporter to someone in the Community; 
(c) the products have been consigned during the 
exhibition or immediately thereafter to the 
Community in the state in which they were sent for 
exhibition; 
(d) the products have not, since they were consigned for 
exhibition, been used for any purpose other than 
demonstration at the exhibiton. 
11.4.91 Official Journal of the European Communities No C 95/73 
2. A movement certificate EUR. 1 must be produced 
to the customs authorities in the normal manner. The 
name and address of the exhibition must be indicated 
thereon. Where necessary, additional documentary 
evidence of the nature of the products and the conditions 
under which they have been exhibited may be required. 
3. Paragraph 1 shall apply to any trade, industrial, 
agricultural or crafts exhibition, fair or similar public 
show or display which is not organized for private 
purposes in shops or business premises with a view to the 
sale of foreign products, and during which the products 
remain under customs control. 
Article 19 
Submission of certificates 
Movement certificates EUR. 1 shall be submitted to 
customs authorities in the importing State, in accordance 
with the procedure laid down by that State. The said 
authorities may require a translation of a certificate. 
They may also require the import declaration to be 
accompanied by a statement from the importer to the 
effect that the products meet the conditions required for 
the implementation of the Decision. 
Article 20 
Importation by instalments 
Where, at the request of the person declaring the goods 
at the customs, a dismantled or non-assembled article 
falling within Chapter 84 or 85 of the Harmonized 
System is imported by instalments on the conditions laid 
down by the competent authorities, it shall be considered 
to be a single article and a movement certificate may be 
submitted for the whole article upon import of the first 
instalment. 
Article 21 
Form EUR. 2 
1. Notwithstanding Article 12 the evidence of orig­
inating status, within the meaning of this Annex, of 
products which form the subject of postal consignments 
(including parcels), provided that they consist only of 
originating products and that the value does not exceed 
ECU 2 820 per consignment, is given by a form EUR. 2, 
of which a specimen appears in Annex 5 to this Annex, 
which shall be completed by the exporter. 
2. Up to and including 30 April 1991 the ecu to be 
used in any given national currency of a Member State 
of the Community shall be the equivalent in that national 
currency of the ecu as at 1 October 1988. For each 
successive period of two years it shall be the equivalent 
in that national currency of the ecu as at the first 
working day in October in the year immediately 
preceding that two-year period. 3. Revised amounts replacing the amounts expressed 
in ecus above and in Article 22 (2) may be introduced by 
the Community at the beginning of any successive 
two-year period if necessary. These amounts shall be, in 
any event, such as to ensure that the value of the limits 
as expressed in the currency of any Member State shall 
not decline. 
4. If the products are invoiced in the currency of 
another Member State of the Community, the importing 
State shall recognize the amount notified by the State 
concerned. 
5. A form EUR. 2 shall be completed for each postal 
consignment. After completing and signing the form, the 
exporter shall, in the case of consignments by parcel 
post, attach the form to the dispatch note. In the case of 
consignment by letter post, the exporter shall insert the 
form inside the package. 
6. These provisions do not exempt exporters from 
complying with any other formalities required by 
customs or postal regulations. 
Article 22 
Exemptions from proof of origin 
1. Products sent as small packages to private persons 
or forming part of travellers' personal luggage shall be 
admitted as originating products without requiring the 
production of a movement certificate EUR. 1 or the 
completion of form EUR. 2, provided that such products 
are not imported by way of trade and have been declared 
as meeting the conditions required for the application of 
these provisions, and where there is no doubt as to the 
veracity of such declaration. 
2. Imports which are occasional and consist solely of 
products for the personal , use of the recipients or 
travellers or their families shall not be considered as 
imports by way of trade if it is evident from the nature 
and quantity of the products that no commercial purpose 
is in view. 
Furthermore, the total value of these products must not 
exceed ECU 200 in the case of small packages or 
ECU 565 in the case of the contents of travellers' 
personal luggage. 
Article 23 
Information procedure for cumulation purposes 
1. When Article 6 is applied, for the issue of a 
movement certificate EUR. 1, the competent customs 
No C 95/74 Official Journal of the European Communities 11. 4. 91 
office in the country or territory requested to issue the 
certificate for products in the manufacture of which 
materials coming from other OCT, the Community or 
the ACP States are used, shall take into consideration 
the declaration, a specimen of which appears in Annex 
6.A or B, given by the exporter in the State or country or 
territory from which it came, either on the commercial 
invoice applicable to these materials, or on a supporting 
document to that invoice. 
2. A separate supplier's declaration shall be given by 
the supplier for each consignment of materials on the 
commercial invoice related to that shipment or in an 
annex to that invoice, or on a delivery note or other 
commercial document related to that shipment which 
describes the materials concerned in sufficient detail to 
enable them to be identified. 
3. For materials having obtained preferential orig­
inating status, the suppliers' declarations shall be given in 
the form prescribed in Annex 6.A. 
4. For materials which have undergone working or 
processing in the ACP States, the OCT or the 
Community without having obtained preferential orig­
inating status, the suppliers' declarations shall be given in 
the form prescribed in Annex 6.B. 
5. The supplier's declaration may be made out on a 
pre-printed form. 
6. The suppliers' declarations shall be signed in manu­
script. However, where the invoice and the supplier's 
declaration are established using electronic data-
processing methods, the supplier's declaration need not 
be signed in manuscript provided the responsible official 
in the supplying company is identified to the satisfaction 
of the customs authorities in the State where the 
suppliers' declarations are established. The said customs 
authorities may lay down conditions for the implemen­
tation of this paragraph. 
7. Suppliers' declarations made and information 
certificates issued in accordance with Articles 20 and 21 
of Annex II to Decision 86/283/EEC (') before the date 
of entry into force of this Decision remain valid. 
Article 24 
Discrepancies 
The discovery of slight discrepancies between the 
statements made in the movement certificate EUR. 1, in 
the form EUR. 2 or in the layout of the supplier's 
declaration referred to in Article 23 and those made in 
the documents submitted to the customs office for 
the purpose of carrying out the formalities for 
(') OJ No L 175, 1. 7. 1986. importing the materials shall not ipso facto render the 
document null and void if it is duly established that the 
movement certificate EUR. 1, the form EUR. 2 or the 
suppliers' declaration does correspond to the goods 
submitted. 
TITLE III 
METHODS OF ADMINISTRATIVE COOPERATION 
Article 25 
Communication of stamps 
Specimens of the stamps used together with the 
addresses of the customs authorities competent to issue 
movement certificates EUR. 1 and carry out the 
subsequent verification of movement certificates EUR. 1 
and forms EUR. 2 must be sent to the Commission. 
Movement certificates EUR. 1 and forms EUR. 2 shall be 
accepted for the purpose of applying preferential 
treatment from the date the information is received by 
the Commission. 
The Commission shall send this information to the 
customs authorities of the Member States. 
Movement certificates EUR. 1 and forms EUR. 2 
presented to the customs authorities of the importing 
State before this date shall be accepted in conformity 
with the Community legislation. 
Article 26 
Verification of movement certificates EUR. 1 and of 
forms EUR. 2 
1. Subsequent verification of movement certificates 
EUR. 1 and of forms EUR. 2 shall be carried out at 
random or whenever the customs authorities of the 
importing State have reasonable doubts as to the authen­
ticity of the document or the accuracy of the information 
regarding the true origin of the products in question. 
2. In order to ensure the proper application of this 
Annex, the Member States, the OCT and the ACP States 
shall assist each other, through their respective customs 
administrations, in checking the authenticity of 
movement certificates EUR. 1 and the accuracy of the 
information concerning the actual origin of the products 
concerned and the declarations by exporters on forms 
EUR. 2 and the authenticity and accuracy of the infor­
mation certificates referred to in Article 27 (2). 
11.4.91 Official Journal of the European Communities No C 95/75 
The authorities consulted shall furnish the relevant infor­
mation concerning the conditions under which the 
product has been made, indicating especially the 
conditions in which the rules of origin have been 
respected in the various ACP States, Member States or 
OCT concerned. 
3. If the customs authorities of the importing State 
decide to suspend execution of the provisions of the 
Decision while awaiting the results of the verification, 
they shall offer to release the products to the importer 
subject to any precautionary measures judged necessary. 
4. For the purpose of implementing paragraph 1, the 
customs authorities of the importing country or territory 
shall return the movement certificate EUR. 1 or form 
EUR. 2, or a photocopy thereof, to the customs auth­
orities of the exporting country or territory, giving, 
where appropriate, the reasons of form or substance for 
an inquiry. The relevant commercial documents, or a 
copy thereof, shall be attached to the certificate EUR. 1 
or form EUR. 2 and the customs authorities shall 
forward any information that has been obtained 
suggesting that the particulars given on the said 
certificate or the said form are inaccurate. 
5. The customs authorities of the importing State shall 
be informed of the results of the verification within six 
months. These results must be such as to make it possible 
to determine whether the disputed movement certificate 
EUR. 1 or form EUR. 2 applied to the products actually 
exported, and whether these products can, in fact, 
qualify for the application of the preferential 
arrangements. 
6. Where the verification procedure or any other 
available information appears to indicate that the 
provisions of this Annex are being contravened, the 
country or territory on its own initiative or at the request 
of the Community shall carry out appropriate enquiries 
or arrange for such enquiries to be carried out with due 
urgency to,identify and prevent such contraventions. The 
Commission may participate in the enquiries. 
Where the verification procedure or any other available 
information appears to indicate that the provisions of this 
Annex are being contravened, the products would be 
accepted as originating products under this Annex only 
after the completion of such aspects of administrative 
cooperation set down in the Annex which may have been 
activated. 
7. Disputes which cannot be settled between the 
customs authorities of the importing State and those of 
the exporting country or territory, or those which raise a 
question as to the interpretation of this Annex, shall be submitted to the Committee on Origin set up by Council 
Regulation (EEC) No 802/68 0). 
8. In all cases, the settlement of disputes between the 
importer and the customs authorities of the importing 
State shall be under the legislation of the said State. 
Article 27 
Verification of suppliers' declarations 
1. Verification of suppliers' declarations may be 
carried out at random or whenever the customs auth­
orities of the importing State have reasonable doubts as 
to the authenticity of the document or the accuracy or 
completeness of the information concerning the true 
origin of the materials in question. 
2. The customs authorities to which a supplier's 
declaration is submitted may request the customs auth­
orities of the State where the declaration was made to 
issue an information certificate, a specimen of which 
appears in Annex 7 to this Annex. Alternatively, the 
customs authorities to which a supplier's declaration is 
submitted may request the exporter to produce an infor­
mation certificate issued by the customs authorities of 
the State where the declaration was made. 
A copy of the information certificate shall be preserved 
by the office which has issued it for at least two years. 
3. The requesting customs authorities shall be 
informed of the results of the verification as soon as 
possible. The results must be such as to indicate posi­
tively whether the declaration concerning the status of 
the materials is correct. 
4. For the purpose of verification, suppliers shall keep 
for not less than two years a copy of the document 
containing the declaration together with all necessary 
evidence showing the true status of the materials. 
5. The customs authorities in the State where the 
supplier's declaration is established shall have the right to 
call for any evidence or to carry out any check which 
they consider appropriate in order to verify the 
correctness of any supplier's declaration. 
6. Any movement certificate EUR. 1 or form EUR. 2 
issued or made out on the basis of an incorrect supplier's 
declaration shall be considered null and void. 
7. The procedure laid down in Article 26 (7) shall 
apply in case of any disputes concerning suppliers' 
declarations or information certificates. 
(') OJ No L 148, 28. 6. 1968, p. 1. 
No C 95/76 Official Journal of the European Communities 11.4.91 
Article 28 
Penalties 
Penalties shall be imposed on any person who, in order 
to enable products to be accepted as eligible for pref­
erential treatment, draws up or causes to be drawn up 
either a document which contains incorrect particulars 
for the purpose of obtaining a movement certificate 
EUR. 1 or a form EUR. 2 containing incorrect 
particulars. 
Article 29 
Free zones 
The Member States and the responsible authorities of the 
OCT shall take all necessary steps to ensure that goods 
traded under cover of a movement certificate EUR. 1 or 
of a supplier's declaration and which in the course of 
transport use a free zone situated in their territory are 
not replaced by other goods and that they do not 
undergo handling other than operations designed to 
preserve them in good condition. 
Article 30 
Derogations 
1. Derogations from this Annex may be adopted 
where the development of existing industries or the 
creation of new industries justifies them. 
The Member State or, where appropriate, the relevant 
authorities of the country or territory concerned shall 
notify the Community of its request for a derogation 
together with the reasons for the request in accordance 
with paragraph 2. 
The Community shall respond positively to all requests 
which are duly justified in conformity with this Article 
and which cannot cause serious injury to an established 
Community industry. 
2. In order to facilitate the examination of requests 
for derogations, the Member State or country or 
territory making the request shall, by means of the form 
given in Annex 9 to this Annex, furnish in support of its 
request the fullest possible information covering in 
particular the points listed below: 
— description of the finished product, 
— nature and quantity of materials originating in a third 
country, 
— nature and quantity of materials originating in ACP 
States, the Community or the OCT, or which have 
been processed there, 
— manufacturing processes, — value added, 
— number of employees in the enterprise concerned, 
— anticipated volume of exports to the Community, 
— other possible sources of supply for raw materials, 
— reasons for the duration requested in the light of 
efforts made to find new sources of supply, 
— other observations. 
The same rules shall apply to any requests for extension. 
The form may be amended in accordance with the 
procedure set out in Article 14 (2) and (3) of Regulation 
(EEC) No 802/68. 
3. The examination of requests shall in particular take 
into account: 
(a) the level of development or the geographical 
situation of the country or territory concerned; 
(b) cases where the application of the existing rules of 
origin would significantly affect the ability of an 
existing industry in a country or territory to continue 
its exports to the Community, with particular 
reference to cases where this could lead to cessation 
of its activities; 
(c) specific cases where it can be clearly demonstrated 
that significant investment in an industry could be 
deterred by the rules of origin and where a dero­
gation favouring the realization of the investment 
programme would enable these rules to be satisfied 
by stages. 
4. In every case an examination shall be made to 
ascertain whether the rules relating to cumulation of 
origin do not provide a solution to the problem. 
5. In addition when a request for derogation concerns 
a least-developed country or territory, its examination 
shall be carried out with a favourable bias having 
particular regard to: 
(a) the economic and social impact of the decision to be 
taken especially in respect of employment; 
(b) the need to apply the derogation for a period taking 
into account the particular situation of the country 
or territory concerned and its difficulties. 
11. 4. 91 Official Journal of the European Communities No C 95/77 
6. In the examination of requests, special account shall 
be taken, case by case, of the possibility of conferring 
originating status on products which include in their 
composition materials originating in neighbouring 
developing countries or least-developed countries, 
provided that satisfactory administrative cooperation can 
be established. (b) If a decision is not taken within the time limit 
referred to in subparagraph (a), the request shall 
be considered as accepted. 
9. (a) The derogation shall usually be valid for a period 
of five years. 
7. (a) Without prejudice to paragraphs 1 to 6, the dero­
gation shall be granted where the value added to 
the non-originating products used in the country 
or territory concerned is at least 45 % of the 
value of the finished product, provided that the 
derogation is not such as to cause serious injury 
to an economic sector of the Community or of 
one or more Member States. 
(b) Notwithstanding the provisions of subparagraph 
(a), the derogation shall be granted automatically 
when it concerns non-sensitive materials or 
products covered by the generalized system of 
preferences (GSP) applied by the Community at 
the time of the request. 
For any other product the decision on whether to 
grant a derogation will be taken with due regard 
for the degree of sensitivity for the Community of 
the materials or products in question, requests for 
derogations being given sympathetic consideration 
when they concern a total annual quantity not 
exceeding 1 % in value of average Community 
imports of the materials or products in question 
over the last three years for which statistics are 
available at the time of the request. Any request 
for a derogation must also propose solutions that 
will avoid the need for such a derogation in 
future. 
(c) The provisions of subparagraph (b) shall not 
apply in cases where the operations carried out in 
the country or territory concern only the working 
or processing referred to in Article 3 (3). 
8. (a) The Council and the Commission shall take all 
the necessary measures to ensure that a decision is 
taken promptly and in any case not later than 60 
working days after receipt of the request by the 
chairman of the Committee on Origin. In this 
context, Decision ../.. ./EEC (') shall apply 
mutatis mutandis to the OCT. 
(') See COM(90) 280 final of 22 June 1990. (b) The derogation decision may provide for renewals 
without a new decision being necessary, provided 
that the Member State or country or territory 
concerned submits, three months before the end 
of each period, proof that it is still unable to meet 
the conditions of this Annex which have been 
derogated from. 
If any objection is made to the extension, the 
Committee shall examine it as soon as possible 
and decide whether to prolong the derogation. 
The Committee shall proceed as provided for in 
paragraph 8. All necessary measures shall be taken 
to avoid interruptions in the application of the 
derogation. 
10. Should a derogation granted in accordance with 
paragraph 7 (b) cause serious disturbance in sectors of 
activity in some regions of the Community, it shall be 
re-examined in accordance with the procedure set out in 
Article 14 (2) and (3) of Regulation (EEC) No 802/68, 
without prejudice to the emergency measures that the 
Commission is authorized to take. 
Following this examination, the decision may be 
amended or revoked. 
TITLE IV 
CANARY ISLANDS, CEUTA AND MELILLA 
Article 31 
Special conditions 
1. For the application of the provisions of Decision 
86/47/EEC on trade between the OCT and the Canary 
Islands, Ceuta and Melilla, as last extended by Decision 
90/.. ./EEC, this Annex shall apply mutatis mutandis 
subject to the particular conditions set out in paragraphs 
2 to 8 of this Article. 
2. The term 'Community' used in this Annex shall not 
cover the Canary Islands, Ceuta or Melilla. The term 
'products originating in the Community' shall not cover 
products originating in the Canary Islands, Ceuta and 
Melilla. 
No C 95/78 Official Journal of the European Communities 11.4.91 
3. The following provisions shall apply instead of 
Article 6 (2) and (3) and references to those Articles shall 
apply mutatis mutandis to this Article. 
4. Where products wholly obtained in the Canary 
Islands, Ceuta, Melilla, the ACP States or the 
Community undergo working and processing in the 
OCT, they shall be considered as having been wholly 
obtained in the OCT. 
5. Working or processing carried out in the Canary 
Islands, Ceuta, Melilla, the ACP States or the 
Community shall be considered as having been carried 
out in the OCT, when materials undergo further 
working or processing in the OCT. 
6. Where products wholly obtained in the ACP States, 
the OCT or the Community undergo working or 
processing in the Canary Islands, Ceuta or Melilla, they 
shall be considered as having been wholly obtained in the 
Canary Islands, Ceuta or Melilla. 
7. Working or processing carried out in the ACP 
States, the OCT or the Community shall be considered 
as having been carried out in the Canary Islands, Ceuta 
or Melilla when materials undergo further working or 
processing in the Canary Islands, Ceuta or Melilla. 
8. The Canary Islands, Ceuta and Melilla shall be 
considered as a single territory. TITLE V 
FINAL PROVISIONS 
Article 32 
Petroleum products 
The products set out in Annex 8 shall be temporarily 
excluded from the scope of this Annex. Nevertheless, the 
arrangements regarding administrative cooperation shall 
apply, mutatis mutandis, to these products. 
Article 33 
Revision of rules of origin 
The Council shall examine whenever necessary or 
whenever the relevant authorities of the Community or a 
country or territory so request, the application of the 
provisions of this Annex and their economic effects with 
a view to making any necessary amendments or adap­
tations. 
The Council shall take into account among other 
elements the effects on the rules of origin of techno­
logical developments. 
The decisions taken shall be implemented as soon as 
possible. 
Article 34 
Annexes 
The Annexes to this Annex shall form an integral part 
thereof. 
11. 4. 91 Official Journal of the European Communities No C 95/79 
Annex 1 to Annex II 
NOTES 
Foreword 
These notes shall apply where appropriate to all products manufactured using non-originating materials 
even if they are not subject to specific conditions contained in the list in Annex 2 but are subject instead to 
the change of heading rule set out in Article 3 (1). 
Note 1: 
1.1. The first two columns in the list describe the product obtained. The first column gives the heading 
number or chapter number used in the harmonized system and the second column gives the 
description of goods used in that system for that heading or chapter. For each entry in the first two 
columns a rule is specified in column 3. Where, in some cases, the entry in the first column is preceded 
by an 'ex', this signifies that the rule in column 3 applies only to the part of that heading or chapter as 
described in column 2. 
1.2. Where several heading numbers are grouped together in column 1 or a chapter number is given and 
the description of products in column 2 is therefore given in general terms, the adjacent rule in 
column 3 applies to all products which, under the harmonized system, are classified in headings of the 
chapter or in any of the headings grouped together in column 1. 
1.3. Where there are different rules in the list applying to different products within a heading, each indent 
contains the description of that part of the heading covered by the adjacent rule in column 3. 
Note 2: 
2.1. The term 'manufacture' covers any kind of working or processing including 'assembly' or specific 
operations. However, see Note 3.5 hereafter. 
2.2. The term 'material' covers any 'ingredient', 'raw material', 'component' or 'part', etc., used in the 
manufacture of the product. 
2.3. The term 'product' refers to the product being manufactured, even if it is intended for later use in 
another manufacturing operation. 
2.4. The term 'goods' covers both 'materials' and 'products'. 
Note 3: 
3.1. In the case of any heading not in the list or any part of a heading that is not in the list, the 'change of 
heading' rule set out in Article 3 (1) applies. If a 'change of heading' condition applies to any entry in 
the list, then it is contained in the rule in column 3. 
3.2. The working or processing required by a rule in column 3 has to be carried out only in relation to the 
non-originating materials used. The restrictions contained in a rule in column 3 likewise apply only to 
the non-originating materials used. 
3.3. Where a rule states that 'materials of any heading' may be used, materials of the same heading as the 
product may also be used, subject, however, to any specific limitations which may also be contained in 
the rule. However, the expression 'manufacture from materials of any heading, including other 
materials of heading No ...' means that only materials classified in the same heading as the product of 
a different description than that of the product as given in column 2 of the list may be used. 
No C 95/80 Official Journal of the European Communities 11. 4. 91 
3.4. If a product made from non-originating materials which has acquired originating status during manu­
facture by virtue of the change of heading rule or its own list rule is used as a material in the process 
of manufacture of another product, then the rule applicable to the product in which it is incorporated 
does not apply to it. 
For example, an engine of heading No 8407, for which the rule states that the value of the 
non-originating materials which may be incorporated may not exceed 40 % of the ex-works price, is 
made from 'other alloy steel roughly shaped by forging' of heading No 7224. 
If this forging has been forged in the country concerned from a non-originating ingot then the forging 
has already acquired origin by virtue of the rule for heading No ex 7224 in the list. It can then count 
as originating in the value calculation for the engine regardless of whether it was produced in the 
same factory or another. The value of the non-originating ingot is thus not taken into account when 
adding up the value of the non-originating materials used. 
3.5. Even if the change of heading rule or the other rules contained in the list are satisfied, a product shall 
not acquire originating status if the processing carried out, taken as a whole, is insufficient within the 
meaning of Article 3 (3). 
3.6. The unit of qualification for the application of the origin rules shall be the particular product which is 
considered as the basic unit when determining classification using the nomenclature of the harmonized 
system. In the case of sets of products which are classified by virtue of rule 3 of the general rules for 
the interpretation of the harmonized system, the unit of qualification shall be determined in respect of 
each item in the set in the case of headings Nos 6308, 8206 and 9605. 
Accordingly, it follows that: 
— when a product composed of a group or assembly of articles is classified under the terms of the 
harmonized system in a single heading, the whole constitutes the unit of qualification, 
— when a consignment consists of a number of identical products classified under the same heading 
of the harmonized system, each product must be taken individually when applying the origin rules, 
— where, under general rule 5 of the harmonized system, packing is included with the product for 
classification purposes, it shall be included for the purposes of determining origin. 
Note 4: 
4.1. The rule in the list represents the minimum amount of working or processing required and the 
carrying out of more working or processing also confers originating status; conversely, the carrying 
out of less working or processing cannot confer origin. Thus if a rule says that non-originating 
material at a certain level of manufacture may be used, the use of such material at an earlier stage of 
manufacture is allowed and the use of of such material at a later stage is not. 
4.2. When a rule in the list specifies that a product may be manufactured from more than one material, 
this means that any one or more materials may be used. It does not require that all be used. 
For example, the rule for fabrics says that natural fibres may be used and that chemical materials, 
among other materials, may also be used. This does not mean that both have to be used; one can use 
one or the other or both. 
If, however, a restriction applies to one material and other restrictions apply to other materials in the 
same rule, then the restrictions only apply to the materials actually used. 
11.4.91 Official Journal of the European Communities No C 95/81 
For example, the rule for sewing machines specifies that both the thread tension mechanism used and 
the zigzag mechanism used must originate; these two restrictions only apply if the mechanisms 
concerned are actually incorporated into the sewing machine. 
4.3. When a rule in the list specifies that a product must be manufactured from a particular material, the 
condition obviously does not prevent the use of other materials which, because of their inherent 
nature, cannot satisfy the rule. 
For example, the rule for heading No 1904 which specifically excludes the use of cereals or their 
derivatives does not prevent the use of mineral salts, chemicals and other additives which are not 
produced from cereals. 
For example, in the case of an article made from non-woven materials, if the use of only non-orig­
inating yarn is allowed for this class of article, it is not possible to start from non-woven cloth — even 
if non-woven cloths cannot normally be made from yarn. In such cases, the starting material would 
normally be at the stage before yarn — that is the fibre stage. 
See also Note 7.3 in relation to textiles. 
4.4. If in a rule in the list two or more percentages are given for the maximum value of non-originating 
materials that can be used, then these percentages may not be added together. The maximum value of 
all the non-originating materials used may never exceed the highest of the percentages given. 
Furthermore, the individual percentages must not be exceeded in relation to the particular materials 
they apply to. 
This note also applies to the value tolerance provided for in Article 5. 
Note 5: 
5.1. The term 'natural fibres' is used in the list to refer to fibres other than artificial or synthetic fibres and 
is restricted to the stages before spinning takes place, including waste, and, unless otherwise specified, 
the term 'natural fibres' includes fibres that have been carded, combed or otherwise processed but not 
spun. 
5.2. The term 'natural fibres' includes horsehair of heading No 0503, silk of heading Nos 5002 and 5003 
as well as the wool fibres, fine or coarse animal hair of heading Nos 5101 to 5105, the cotton fibres of 
heading Nos 5201 to 5203 and the other vegetable fibres of heading Nos 5301 to 5305. 
5.3. The terms 'textile pulp', 'chemical materials' and 'paper-making materials' are used in the list to 
describe the materials not classified in chapters 50 to 63, which can be used to manufacture artificial, 
synthetic or paper fibres or yarns. 
5.4. The term 'man-made staple fibres' is used in the list to refer to synthetic or artificial filament tow, 
staple fibres or waste, of heading Nos 5501 to 5507. 
Note 6: 
6.1. In the case of the products classified in those headings in the list to which a reference is made to this 
Note, the conditions set out in column 3 of the list shall not be applied to any basic textile materials 
used in their manufacture which, taken together, represent 10 % or less of the total weight of all the 
basic textile materials used (but see also Notes 6.3 and 6.4 hereafter). 
No C 95/82 Official Journal of the European Communities 11.4.91 
6.2. However, this tolerance may only be applied to mixed products which have been made from two or 
more basic textile materials. 
The following are the basic textile materials: 
— silk, 
— wool, 
— coarse animal hair, 
— fine animal hair, 
— horsehair, 
— cotton, 
— paper-making materials and paper, 
— flax, 
— true hemp, 
— jute and other textile bast fibres, 
— sisal and other textile fibres of the genus Agave, 
— coconut, abaca, ramie and other vegetable textile fibres, 
— synthetic man-made filaments, 
— artificial man-made filaments, 
— synthetic man-made staple fibres, 
— artificial man-made staple fibres. 
For example, a yarn of heading No 5205 made from cotton fibres of heading No 5203 and synthetic 
staple fibres of heading No 5506 is a mixed yarn. Therefore, synthetic staple fibres that do not satisfy 
the origin rules (which require manufacture from chemical materials or textile pulp) may be used up to 
a weight of 10 % of the yarn. 
For example, a woollen fabric of heading No 5112 made from woollen yarn of heading No 5107 and 
yarn of synthetic staple fibres of heading No 5509 is a mixed fabric. Therefore, synthetic yarn that 
does not satisfy the origin rules (which require manufacture from chemical materials or textile pulp), 
or woollen yarn that does not satisfy the origin rules (which require manufacture from natural fibres 
not carded or combed or otherwise prepared for spinning), or a combination of the two may be used 
up to a weight of 10 % of the fabric. 
For example, tufted textile fabric of heading No 5802 made from cotton yarn of heading No 5205 and 
cotton fabric of heading No 5210 is only a mixed product if the cotton fabric is itself a mixed fabric 
being made from yarns classified in two separate headings or if the cotton yarns used are themselves 
mixtures. 
For example, if the tufted textile fabric concerned had been made from cotton yarn of heading No 
5205 and synthetic fabric of heading No 5407, then, obviously, the yarns used are two separate basic 
textile materials and the tufted textile fabric is accordingly a mixed product. 
For example, a carpet with tufts made both from artificial yarns and tufts made from cotton yarns and 
with a jute backing is a mixed product because three textile materials are used. Any non-originating 
materials that are at a later stage of manufacture than the rule allows may be used, provided their total 
weight taken together does not exceed 10 % of the weight of the carpet. Thus, both the jute backing, 
the artificial yarns and/or the cotton yarns could be imported at that stage of manufacture, provided 
the weight conditions are met. 
6.3. In the case of fabrics incorporating 'yarn made of polyurethane segmented with flexible segments of 
polyether whether or not gimped' this tolerance is 20 % in respect of this yarn. 
6.4. In the case of fabrics incorporating strip consisting of a core of aluminium foil or of a core of plastic 
film whether or not coated with aluminium powder, of a width not exceeding 5 mm, sandwiched by 
means of an adhesive between two films of plastic film, this tolerance is 30 % in respect of this strip. 
11. 4. 91 Official Journal of the European Communities No C 95/83 
Note 7: 
7.1. In the case of those textile products which are marked in the list by a footnote referring to this 
introductory note, textile trimmings and accessories which do not satisfy the rule set out in the list in 
column 3 for the made up products concerned may be used provided that their weight does not exceed 
10 % of the total weight of all the textile materials incorporated. 
Textile trimmings and accessories are those classified in Chapters 50 to 63. Linings and interlinings are 
* not to be regarded as trimmings or accessories. 
7.2. Any non-textile trimmings and accessories or other materials used which contain textiles do not have 
to satisfy the conditions set out in column 3 even though they fall outside the scope of Note 4.3. 
7.3. In accordance with Note 4.3, any non-originating non-textile trimmings and accessories or other 
product, which do not contain any textiles, may, anyway, be used freely where they cannot be made 
from the materials listed in column 3. 
For example, if a rule in the list says that for a particular textile item, such as a blouse, yarn must be 
used, this does not prevent the use of metal items, such as buttons, because they cannot be made from 
textile materials. 
7.4. Where a percentage rule applies, the value of trimmings and accessories must be taken into account 
when calculating the value of the non-originaung materials incorporated. 
No C 95/84 Official Journal of the European Communities 11. 4. 91 
Annex 2 to Annex II 
LIST OF WORKING OR PROCESSING REQUIRED TO BE CARRIED OUT ON NON-
ORIGINATING MATERIALS IN ORDER THAT THE PRODUCT MANUFACTURED CAN 
OBTAIN ORIGINATING STATUS 
HS heading No 
(1) 
0201 
0202 
0206 
0210 
0302 to 
0305 
0402, 
0404 to 
0406 
0403 
0408 Description of product 
(2) 
Meat of bovine animals, fresh or chilled 
Meat of bovine animals, frozen 
Edible offal of bovine animals, swine, sheep, goats, 
horses, asses, mules or hinnies, fresh, chilled or 
frozen 
Meat and edible meat offal, salted, in brine, dried 
or smoked; edible flours and meals of meat or meat 
offal 
Fish, other than live fish 
Dairy products 
Buttermilk, curdled milk and cream, yogurt, kephir 
and other fermented or acidified milk and cream, 
whether or not concentrated or containing added 
sugar or other sweetening matter or flavoured-or 
containing added fruit or cocoa 
Birds' eggs, not in shell and egg yolks, fresh, dried, 
cooked, by steaming or by boiling in water, 
moulded, frozen or otherwise preserved, whether or 
not containing added sugar or other sweetening 
matter Working or processing carried out on non-originating 
materials that confers originating status 
(3) 
Manufacture from materials of any heading except 
meat of bovine animals, frozen of heading No 0202 
Manufacture from materials of any heading except 
meat of bovine animals, fresh or chilled of heading No 
0201 
Manufacture from materials of any heading except 
carcases of heading Nos 0201 to 0205 
Manufacture from materials of any heading except 
meat and offal of heading Nos 0201 to 0206 and 0208 
or poultry liver of heading No 0207 
Manufacture in which all the materials of Chapter 3 
used must already be originating 
Manufacture from materials of any heading except 
milk or cream of heading No 0401 or 0402 
Manufacture in which: 
— all the materials of Chapter 4 used must already be 
originating, 
— any fruit juice (except those of pineapple, lime or 
grapefruit) of heading No 2009 used must be orig­
inating, and 
— the value of any materials of Chapter 17 used does 
not exceed 30 % of the ex-works price of the 
product 
Manufacture from materials of any heading except 
birds' eggs of heading No 0407 
11.4.91 Official Journal of the European Communities No C 95/85 
(1) 
ex 0502 
ex 0506 
0710 to 
0713 
ex 0710 
ex 0711 
0811 
0812 
0813 
0814 
ex Chapter 11 
ex 1106 
1301 (2) 
Prepared pigs', hogs' or boars' bristles and hair 
Bones and horn-cores unworked 
Edible vegetables, frozen or dried, provisionally 
preserved except for heading Nos ex 0710 and ex 
0711 
Sweet corn (uncooked or cooked by steaming or 
boiling in water), frozen 
Sweet corn, provisionally preserved 
Fruit and nuts, uncooked or cooked by steaming or 
boiling in water, frozen, whether or not containing 
added sugar or other sweetening matter: 
— Containing added sugar 
— Other 
Fruit and nuts provisionally preserved (for example, 
by sulphur dioxide gas, in brine, in sulphur water 
or in other preservative solutions), but unsuitable in 
that state for immediate consumption 
Fruit, dried, other than that of heading Nos 0801 
to 0806; mixtures of nuts or dried fruits of this 
chapter 
Peel of citrus fruit or melons (including water­
melons), fresh, frozen, dried or provisionally 
preserved in brine, in sulphur water or in other 
preservative solutions 
Products of the milling industry; malt, starches; 
inulin; whest gluten, except for heading No ex 
1106 
Flour and meal of the dried, shelled leguminous 
vegetables of heading No 0713 
Lac; natural gums, resins, gum-resins and balsams (3) 
Cleaning, disinfecting, sorting and straightening of 
bristles and hair 
Manufacture in which all the materials of Chapter 2 
used must already be originating 
Manufacture in which all the vegetable materials used 
must already be originating 
Manufacture from fresh or chilled sweet corn 
Manufacture from fresh or chilled sweet corn 
Manufacture in which the value of any materials of 
Chapter 17 used does not exceed 30 % of the value of 
the ex-works price of the product 
Manufacture in which all the fruit or nuts used must 
already be originating 
Manufacture in which all the fruit or nuts used must 
already be originating 
Manufacture in which all the fruit or nuts used must 
already be originating 
Manufacture in which all the fruit or nuts used must 
already be originating 
Manufacture in which all the cereals, edible vegetables, 
roots and tubers of heading No 0714 or fruit used 
must already be originating 
Drying and milling of leguminous vegetables of 
heading No 0708 
Manufacture in which the value of any materials of 
heading No 1301 used may not exceed 50 °/o of the ex-
works price of the product 
No C 95/86 Official Journal of the European Communities 11.4.91 
(1) 
1501 
1502 
1504 
ex 1505 
1506 
ex 1507 to 
1515 
ex 1516 (2) 
Lard; other pig fat and poultry fat, rendered, 
whether or not pressed or solvent-extracted: 
— Fats from bones or waste 
— Other 
Fats of bovine animals, sheep or goats, raw or 
rendered, whether or not pressed or solvent-
extracted: 
— Fats from bones or waste 
— Other 
Fats and oils and their fractions, of fish or marine 
mammals, whether or not refined, but not 
chemically modified: 
— Solid fractions of fish oils and fats and oils of 
marine mammals 
— Other 
Refined lanolin 
Other animal fats and oils and their fractions, 
whether or not refined, but not chemically 
modified: 
— Solid fractions 
— Other 
Fixed vegetable oils and their fractions, whether or 
not refined, but not chemically modified: 
— Solid fractions, except for that of Jojoba oil 
— Other, except for: 
— Tung oil; myrtle wax and Japan wax 
— Those for technical or industrial uses other 
than the manufacture of foodstuffs for 
human Consumption 
Animal or vegetable fats and oils and their 
fractions, re-esterified, whether or not refined but 
not further prepared <3> 
Manufacture from materials of any heading except 
those of heading Nos 0203, 0206 or 0207 or bones of 
heading No 0506 
Manufacture from meat or edible offal of swine of 
heading Nos 0203 or 0206 or of meat and edible offal 
of poultry of heading No 0207 
/ 
Manufacture from materials of any heading except 
those of heading Nos 0201, 0202, 0204 or 0206 or 
bones of heading No 0506 
Manufacture in which all the animal materials of 
Chapter 2 used must already be originating 
Manufacture from materials of any heading including 
other materials of heading No 1504 
Manufacture in which all the animal materials of 
Chapters 2 and 3 used must already be originating 
Manufacture from crude wool grease of heading No 
1505 
Manufacture from materials of any heading including 
other materials of heading No 1506 
Manufacture in which all the animal materials of 
Chapter 2 used must already be originating 
Manufacture from other materials of heading Nos 
1507 to 1515 
Manufacture in which all the vegetable materials used 
must already be originating 
11.4.91 Official Journal of the European Communities No C 95/87 
(1) 
ex 1517 
ex 1519 
1601 
1602 
1603 
1604 
1605 
ex 1701 
1702 
ex 1703 
1704 
1806 (2) 
Edible liquid mixtures of vegetable oils of heading 
Nos 1507 to 1515 
Industrial fatty alcohols having the character of 
artificial waxes 
Sausages and similar products, of meat, meat offal 
or blood; food preparations based on these 
products 
Other prepared or preserved meat, meat offal or 
blood 
Extracts and juices of meat, fish or crustaceans, 
molluscs or other aquatic invertebrates 
Prepared or preserved fish; caviar and caviar 
substitutes prepared from fish eggs 
Crustaceans, molluscs and other aquatic inverte­
brates, prepared or preserved 
Cane or beet sugar and chemically pure sucrose, in 
solid form, flavoured or coloured 
Other sugars, including chemically pure lactose, 
maltose, glucose and fructose, in solid form; sugar 
syrups not containing added flavouring or 
colouring matter; artificial honey, whether or not 
mixed with natural honey; caramel: 
— Chemically pure maltose and fructose 
— Other sugars in solid form, flavoured or 
coloured 
— Other 
Molasses resulting from the extraction or refining 
of sugar, flavoured or coloured 
Sugar confectionery (including white chocolate), 
not containing cocos 
Chocolate and other food preparations containing 
cocoa (3) 
Manufacture in which all the vegetable materials used 
must already be originating 
Manufacture from materials of any heading including 
fatty acids of heading No 1519 
Manufacture from animals of Chapter 1 
Manufacture from animals of Chapter 1 
Manufacture from animals of Chapter 1. However, all 
fish, crustaceans, molluscs or other aquatic inverte­
brates used must already be originating 
Manufacture in which all the fish or fish eggs used 
must already be originating 
Manufacture in which all the crustaceans, molluscs or 
other aquatic invertebrates used must already be orig­
inating 
Manufacture in which the value of any materials of 
Chapter 17 used does not exceed 30 % of the ex works 
price of the product 
Manufacture from materials of any heading including 
other materials of heading No 1702 
Manufacture in which the value of any materials of 
Chapter 17 used does not exceed 30 % of the ex works 
price of the product 
Manufacture in which all the materials used must 
already be originating 
Manufacture in which the value of any materials of 
Chapter 17 used does not exceed 30 % of the ex works 
price of the product 
Manufacture in which all the materials used are 
classified in a heading other than that of the product, 
provided the value of any other materials of Chapter 
17 used does not exceed 30 % of the ex works price of 
the product 
Manufacture in which all the materials used are 
classified in a heading other than that of the product, 
provided the value of any materials of Chapter 17 used 
does not exceed 30 % of the ex works price of the 
product 
No C 95/88 Official Journal of the European Communities 11.4.91 
(1) (2) (3) 
1901 
1902 
1903 
1904 
1905 Malt extract; food preparations of flour, meal, 
starch or malt extract, not containing cocoa powder 
or containing cocoa powder in a proportion by 
weight of less than 50 °/o, not elsewhere specified 
or included; food preparations of goods of heading 
Nos 0401 to 0404, not containing cocoa powder or 
containing cocoa powder in a proportion by weight 
of less than 10 %, not elsewhere specified or 
included: 
— Malt extract 
— Other 
Pasta, whether or not cooked or stuffed (with meat 
or other substances) or otherwise prepared, such as 
spaghetti, macaroni, noodles, lasagne, gnocchi, 
ravioli, cannelloni; couscous, whether or not 
prepared 
Tapioca and substitutes therefor prepared from 
starch, in the form of flakes, grains, pearls, sittings 
or in similar forms 
Prepared foods obtained by the swelling or roasting 
of cereals or cereal products (for example, corn 
flakes); cereals, other than maize (corn), in grain 
form, pre-cooked or otherwise prepared: 
— Not containing cocoa 
— Containing cocoa 
Bread, pastry, cakes, biscuits and other bakers' 
wares, whether or not containing cocoa; 
communion wafers, empty cachets of a kind 
suitable for pharmaceutical use, sealing wafers, rice 
paper and similar products Manufacture from cereals of Chapter 10 
Manufacture in which all the materials used are 
classified in a heading other than that of the product, 
provided the value of any materials of Chapter 17 used 
does not exceed 30 % of the ex works price of the 
product 
Manufacture in which all the cereals (except durum 
wheat), meat, meat offal, fish, crustaceans or molluscs 
used must already be originating 
Manufacture from materials of any heading except 
potato starch of heading No 1108 
Manufacture in which: 
— all the cereals and flour (except maize of the 
species Xea indurate and durum wheat and their 
derivatives) used must be. wholly obtained, and 
— the value of any materials of Chapter 17 used does 
not exceed 30 % of the ex works price of the 
product 
Manufacture from materials not classified in heading 
No 1806, provided the value of any materials of 
Chapter 17 used does not exceed 30 % of the ex works 
price of the product 
Manufacture from materials of any heading, except 
those of Chapter 11 
2001 
2002 
2003 
2004 and 
2005 Vegetables, fruit nuts and other edible parts of 
plants, prepared or preserved by vinegar or acetic 
acid 
Tomatoes prepared or preserved otherwise than by 
vinegar or acetic acid 
Mushrooms and truffles, prepared or preserved 
otherwise than by vinegar or acetic acid 
Other vegetables prepared or preserved otherwise 
than by vinegar or acetic acid, frozen or not frozen Manufacture in which all the fruit, nuts or vegetables 
used must already be originating 
Manufacture in which all the tomatoes used must 
already be originating 
Manufacture in which all the mushrooms or truffles 
used must already be originating 
Manufacture in which all the vegetables used must 
already be originating 
11. 4. 91 Official Journal of the European Communities No C 95/89 
(i) 
2006 
2007 
2008 
ex 2009 (2) 
Fruit, nuts, fruit-peel and other parts of plants, 
preserved by sugar (drained, glace or crystallized) 
Jams, fruit jellies, marmalades, fruit or nut puree 
and fruit or nut pastes, being cooked preparations, 
whether or not containing added sugar or other 
sweetening matter 
Fruit, nuts and other edible parts of plants 
otherwise prepared or preserved, whether or not 
containing added sugar or other sweetening matter 
or spirit, not elsewhere specified or included: 
— Fruit and nuts cooked otherwise than by 
steaming or boiling in water, not containing 
added sugar, frozen 
— Nuts, not containing added sugar or spirits 
Other 
Fruit juices (including grape must), unfermented 
and not containing added spirit, whether or not 
containing added sugar or other sweetening matter (3) 
Manufacture in which the value of any materials of 
Chapter 17 used does not exceed 30 % of the ex works 
price of the product 
Manufacture in which the value of any materials of 
Chapter 17 used must not exceed 30 % of the ex 
works price of the product 
Manufacture in which all the fruit and nuts used must 
already be originating 
Manufacture in which the value of the originating nuts 
and oil seeds of heading Nos 0801, 0802 and 1202 to 
1207 used exceeds 60 % of the ex works price of the 
product 
Manufacture in which all the materials used are 
classified in a heading other than that of the product, 
provided the value of any materials of Chapter 17 used 
does not exceed 30 °/o of the ex works price of the 
product 
Manufacture in which all the materials used are 
classified in a heading other than that of the product, 
provided the value of any materials of Chapter 17 used 
does not exceed 30 % of the ex works price of the 
product 
ex 2101 
ex 2103 
ex 2104 
ex 2106 Roasted chicory and extracts, essences and concen­
trates thereof 
Sauces and preparations therefor; mixed 
condiments and mixed seasonings 
— Prepared mustard 
— Soups and broths and preparations therefor 
— Homogenized composite food preparations 
Sugar syrups, flavoured or coloured Manufacture in which all the chicory used must 
already be originating 
Manufacture in which all the materials used are 
classified in a heading other than that of the product. 
However, mustard flour or meal or prepared mustard 
may be used 
Manufacture from mustard flour or meal 
Manufacture from materials of any heading, except 
prepared or preserved vegetables of heading Nos 2002 
to 2005 
The rule for the heading in which the product would 
be classified in bulk shall apply 
Manufacture in which the value of any materials of 
Chapter 17 used must not exceed 30 % of the ex 
works price of the product 
2201 Waters, including natural or artificial mineral 
waters and aerated waters, not containing added 
sugar or other sweetening matter nor flavoured; ice 
and snow Manufacture in which all the water used must already 
be originating 
No C 95/90 Official Journal of the European Communities 11. 4. 91 
(1) 
2202 
ex 2204 
2205 
ex 2207, 
ex 2208 and 
ex 2209 
ex 2208 
ex 2303 
ex 2306 
2309 
2402 
ex 2403 
ex 2504 
ex 2515 
ex 2516 
ex 2518 (2) 
Waters, including mineral waters and aerated 
waters, containing added sugar or other sweetening 
matter or flavoured, and other non-alcoholic 
beverages, not including fruit or vegetable juices of 
heading No 2009 
Wine of fresh grapes, including fortified wines, and 
grape must with the addition of alcohol 
The following, containing grape materials: 
Vermouth and other wine of fresh grapes flavoured 
with plants or aromatic substances; ethyl alcohol 
and other spirits, denatured or not; spirits, liqueurs 
and other spirituous beverages; compound alcoholic 
preparations of a kind used for the manufacture of 
beverages; vinegar 
Whiskies of an alcoholic strength by volume of less 
than 50 % vol. 
Residues from the manufacture of starch from 
maize (excluding concentrated steeping liquors), of 
a protein content, calculated on the dry product, 
exceeding 40 % by weight 
Oil cake and other solid residues resulting from the 
extraction of olive oil, containing more than 3 % of 
olive oil 
Preparations of a kind used in animal feeding 
Cigars, cheroots, cigarillos and cigarettes, of 
tobacco or of tobacco substitutes 
Smoking tobacco 
Natural crystalline graphite, with enriched carbon 
content, purified and ground 
Marble, merely cut by sawing or otherwise into 
blocks or slabs of a rectangular (including square) 
shape, of a thickness not exceeding 25 cm 
Granite porphyry, basalt, sandstone and other 
monumental and building stones, merely cut by 
sawing or otherwise, into blocks or slabs of a 
rectangular (including square) shape, of a thickness 
not exceeding 25 cm 
Calcined dolomite (3) 
Manufacture in which all the materials used are 
classified in a heading other than that of the product, 
provided the value of any materials of Chapter 17 used 
does not exceed 30 % of the ex works price of the 
product and any fruit juice used (except for pineapple, 
lime and grapefruit juices) must already be originating 
Manufacture from other grape must 
Manufacture from materials of any heading, except 
grapes or any material derived from grapes 
Manufacture in which the value of any cereal based 
spirits used does not exceed 15 % of the ex works 
price of the product 
Manufacture in which all the maize used must already 
be originating 
Manufacture in which all the olives used must already 
be originating 
Manufacture in which all the cereals, sugar or 
molasses, must or milk used must already be orig­
inating 
Manufacture in which at least 70 % by weight of the 
unmanufactured tobacco or tobacco refuse of heading 
No 2401 used must already be originating 
Manufacture in which at least 70 % by weight of the 
unmanufactured tobacco or tobacco refuse of heading 
No 2401 used must already be originating 
Enriching of the carbon content, purifying and 
grinding of crude crystalline graphite 
Cutting, by sawing or otherwise, of marble (even if 
already sawn) of a thickness exceeding 25 cm 
Cutting, by sawing or otherwise, of stones (even if 
already sawn) of a thickness exceeding 25 cm 
Calcination of dolomite not calcined 
11.4.91 Official Journal of the European Communities No C 95/91 
(1) 
ex 2519 
ex 2520 
ex 2524 
ex 2525 
ex 2530 
ex 2707 
2709 
to 
2715 
ex Chapter 28 
ex 2811 
ex 2833 
ex Chapter 29 
ex 2901 
ex 2902 
ex 2905 
2915 
ex 2932 (2) 
Crushed natural magnesium carbonate (magnesite), 
in hermetically sealed containers, and magnesium 
oxide, whether or not pure, other than fused 
magnesia or dead-burned (sintered) magnesia 
Plasters specially prepared for dentistry 
Natural asbestos fibres 
Mica powder 
Earth colours, calcined or powdered 
Oils in which the weight of the aromatic consti­
tuents exceeds that of the non-aromatic consti­
tuents, being oils similar to mineral oils obtained by 
distillation of high temperature coal tar, of which 
more than 65 % by volume distils at a temperature 
of up to 250 ° C (including mixtures of petroleum 
spirit and benzole), for use as power or heating 
fuels 
Mineral oils and products of their distillation; bitu­
minous substances; mineral waxes 
Inorganic chemicals; organic or inorganic 
compounds of precious metals, of rare earth metals, 
of radioactive elements or of isotopes; except for 
heading Nos ex 2811 and ex 2833 for which the 
rules are set out below 
Sulphur trioxide 
Aluminium sulphate 
Organic chemicals, except for heading Nos ex 
2901, ex 2902, ex 2905, 2915, ex 2932, 2933 and 
2934, for which the position is set out below 
Acyclic hydrocarbons for use as power or heating 
fuels 
Cyclanes and cyclenes (other than azulenes), 
benzene, toluene, xylenes, for use as power or 
heating fuels 
Metal alcoholates of alcohols of this heading and 
of ethanol or glycerol 
Saturated acyclic monocarboxylic acids and their 
anhydrides, halides, peroxides and peroxyacids; 
their halogenated, sulphonated, nitrated or 
nitrosated derivatives 
— Internal ethers and their halogenated, 
sulphonated, nitrated or nitrosated derivates (3) 
Manufacture in which all the materials used are 
classified in a heading other than that of the product. 
However, natural magnesium carbonate (magnesite) 
may be used 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
Manufacture from asbestos concentrate 
Grinding of mica or mica waste 
Calcination or grinding of earth colours 
These are Annex 8 products 
These are Annex 8 products 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product. However, materials classified within the same 
heading may be used provided their value does not 
exceed 20 % of the ex works price of the product 
Manufacture from sulphur dioxide 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product. However, materials classified within the same 
heading may be used provided their value does not 
exceed 20 % of the ex works price of the product 
These are Annex 8 products 
These are Annex 8 products 
Manufacture from materials of any heading, including 
other materials of heading No 2905. However, metal 
alcoholates of this heading may be used, provided their 
value does not exceed 20 % of the ex works price of 
the product 
Manufacture from materials of any heading. However, 
the value of all the materials of heading Nos 2915 and 
2916 used may not exceed 20 % of the ex works price 
of the product 
Manufacture from materials of any heading. However, 
the value of all the materials of heading No 2909 used 
may not exceed 20 % of the ex works price of the 
product 
No C 95/92 Official Journal of the European Communities 11.4.91 
(0 
ex 2932 
(cont'd) 
2933 
2934 (2) 
Cyclic acetals and internal hemiacetals and their 
halogenated, sulphonated, nitrated or nitrosated 
derivates 
Heterocyclic compounds with nitrogen hetero-
atom(s) only; nucleic acids and their salts 
Other heterocyclic compounds (3) 
Manufacture from materials of any heading 
Manufacture from materials of any heading. However, 
the value of all the materials of heading Nos 2932 and 
2933 used may not exceed 20 % of the ex works price 
of the product 
Manufactured from materials of any heading. 
However, the value of all the materials of heading Nos 
2932, 2933 and 2934 used may not exceed 20 % of the 
ex works price of the product 
ex Chapter 30 
3002 Pharmaceutical products, except for heading Nos 
3002, 3003 and 3004, for which the rules are set 
out below 
Human blood; animal blood prepared for thera­
peutic, prophylactic or diagnostic uses; antisera and 
other blood fractions; vaccines, toxins, cultures of 
micro-organisms (excluding yeasts) and similar 
products: 
— Products consisting of two or more constituents 
which have been mixed together for therapeutic 
or prophylactic uses or unmixed products for 
these uses, put up in measured doses or in forms 
or packings for retail sale 
— Other: 
— Human blood 
Animal blood prepared for therapeutic or 
prophylactic uses 
Blood fractions other than antisera, haemo­
globin and serum globulin 
Haemoglobin, blood globulin and serum 
globulin 
— Other which all the materials used are 
a heading other than that of the Manufacture in 
classified within 
product. However, materials classified within the same 
heading may be used provided their value does not 
exceed 20 % of the ex works price of the product 
Manufacture from materials of any heading, including 
other materials of heading No 3002. The materials of 
this description may also be used, provided their value 
does not exceed 20 % of the ex works price of the 
product 
Manufacture from materials of any heading, including 
other materials of heading No 3002. The materials of 
this description may also be used, provided their value 
does not exceed 20 % of the ex works price of the 
product 
Manufacture from materials of any heading, including 
other materials of heading No 3002. The materials of 
this description may also be used, provided their value 
does not exceed 20 % of the ex works price of the 
product 
Manufacture from materials of any heading, including 
other materials of heading No 3002. The materials of 
this description may also be used, provided their value 
does not exceed 20 % of the ex works price of the 
product 
Manufacture from materials of any heading, including 
other materials of heading No 3002. The materials of 
this description may also be used, provided their value 
does not exceed 20 % of the ex works price of the 
product 
Manufacture from materials of any heading, including 
other materials of heading No 3002. The materials of 
this description may also be used, provided their value 
does not exceed 20 % of the ex works price of the 
product 
11. 4. 91 Official Journal of the European Communities No C 95/93 
(1) 
3003 
and 
3004 
ex Chapter 31 
ex 3103 
ex 3105 
ex Chapter 32 
ex 3201 
3205 
ex Chapter 33 
3301 (2) 
Medicaments (excluding goods of heading Nos 
3002, 3005 or 3006) 
Fertilizers except for heading Nos ex 3103 and ex 
3105, for which the rules are set out below 
Crushed and powdered calcined natural aluminium 
calcium phosphates 
Mineral or chemical fertilizers containing two or 
three of the fertilizing elements nitrogen, phos­
phorus and potassium; other fertilizers; goods of 
this chapter, in tablets or similar forms or in 
packages of a gross weight not exceeding 10 kg, 
except for: 
— Sodium nitrate 
— Calcium cyanamide 
— Potassium sulphate 
— Magnesium potassium sulphate 
Tanning or dyeing extracts; tannins and their deri­
vatives; dyes, pigments and other colouring matter; 
paints and varnishes; putty and other mastics; inks; 
except for heading Nos ex 3201 and 3205, for 
which the rules are set out below 
Tannins and their salts, ethers, esters and other 
derivatives 
Colour lakes; preparations as specified in note 3 to 
this chapter based on colour lakes (') 
Essential oils and resinoids; perfumery, cosmetic or 
toilet preparations; except for heading No 3301, 
for which the rule is set out below 
Essential oils (terpeneless or not), including 
concretes and absolutes; resinoids; concentrates of 
essential oils in fats, in fixed oils, in waxes or the 
like, obtained by enfleurage or maceration; terpenic 
by-products of the deterpenation of essential oils; 
aqueous distillates ana aqueous solutions of 
essential oils (3) 
Manufacture in which: 
— all the materials used are classified within a heading 
other than that of the product. However, materials 
of heading No 3003 or 3004 may be used provided 
their value, taken together, does not exceed 20 % 
of the ex works price of the product, and 
— the value of all the materials used does not exceed 
50 % of the ex works price of the product 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product. However, materials classified within the same 
heading may be used provided their value does not 
exceed 20 °/o of the ex works price of the product 
Crushing and powdering of calcined natural aluminium 
calcium phosphates 
Manufacture in which: 
— all the materials used are classified within a heading 
other than that of the product. However, materials 
classified within the same heading may be used 
provided their value does not exceed 20 % of the 
ex works price of the product, and 
— the value of all the materials used does not exceed 
50 % of the ex works price of the product 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product. However, materials classified within the same 
heading may be used provided their value does not 
exceed 20 °/o of the ex works price of the product 
Manufacture from tanning extracts of vegetable origin 
Manufacture from materials of any heading, except 
heading Nos 3202 and 3204 provided the value of any 
materials classified in heading No 3205 does not 
exceed 20 % of the ex works price of the product 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product. However, materials classified within the same 
heading may be used provided their value does not 
exceed 20 % of the ex works price of the product 
Manufacture from materials of any heading, including 
materials of a different 'group' (2) within this heading. 
However, materials of the same group may be used, 
provided their value does not exceed 20 % of the ex 
works price of the product 
(') Note 3 to Chapter 32 says that these preparations are those of a kind used for colouring any material or used as ingredients in the manufacturing of 
colouring preparations, provided they are not classified within another heading in Chapter 32. 
(') A 'group' is regarded as any part of the heading separated from the rest by a semi-colon. 
No C 95/94 Official Journal of the European Communities 11.4.91 
(1) 
ex Chapter 34 
ex 3403 
ex 3404 
ex Chapter 35 
3505 
ex 3507 
Chapter 36 
ex Chapter 37 (2) 
Soap, organic surface-active agents, washing prepa­
rations, lubricating preparations, artificial waxes, 
prepared waxes, polishing or scouring preparations, 
candles and similar articles, modelling pastes, 
'dental waxes' and dental preparations with a basis 
of plaster; except for heading Nos ex 3403 and 
3404, for which the position is set out below 
Lubricating preparations containing petroleum oils 
or oils obtained from bituminous minerals, 
provided they represent less than 70 % by weight 
Artificial waxes and prepared waxes: 
— With a basis of paraffin, petroleum waxes, 
waxes obtained from bituminous minerals, slack 
wax or scale wax 
— Other 
Albuminoidai substances; modified starches; glues; 
enzymes; except for heading Nos 3505 and ex 3507 
for which the rules are set out below 
Dextrins and other modified starches (for example, 
pregelatinized or esterified starches); glues based 
on starches, or on dextrins or other modified 
starches: 
— Starch ethers and esters 
— Other 
Prepared enzymes not elsewhere specified or 
included 
Explosives; pyrotechnic products; matches; pyro-
phoric alloys; certain combustible preparations 
Photographic or cinematographic goods; except for 
heading Nos 3701, 3702 and 3704 for which the 
rules are set out below (3) 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product. However, materials classified within the same 
heading may be used provided their value does not 
exceed 20 % of the ex works price of the product 
These are Annex 8 products 
These are Annex 8 products 
Manufacture from materials of any heading, except: 
— hydrogenated oils having the character of waxes of 
heading No 1516 
— fatty acids not chemically defined or industrial fatty 
alcohols having the character of waxes of heading 
No 1519 
— materials of heading No 3404. 
However, these materials may be used provided their 
value does not exceed 20 % of the ex works price of 
the product 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product. However, materials classified within the same 
heading may be used provided their value does not 
exceed 20 % of the ex works price of the product 
Manufacture from materials of any heading, including 
other materials of heading No 3505 
Manufacture from materials of any heading, except 
those of heading No 1108 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product. However, materials classified within the same 
heading may be used provided their value does not 
exceed 20 % of the ex works price of the product 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product. However, materials classified within the same 
heading may be used provided their value does not 
exceed 20 % of the ex works price of the product 
11.4.91 Official Journal of the European Communities No C 95/95 
(2) 
Photographic plates and film in the flat, sensitized, 
unexposed, of any material other than paper, 
paperboard or textiles; instant print film in the flat, 
sensitized, unexposed, whether or not in packs 
Photographic film in rolls, sensitized, unexposed, of 
any material other than paper, paperboard or 
textiles; instant print film in rolls, sensitized, 
unexposed 
Photographic plates, film, paper, paperboard and 
textiles, exposed but not developed (3) 
Manufacture in which all the materials used are 
classified in a heading other than heading No 3702 
Manufacture in which all the materials used are 
classified within a heading other than heading No 3701 
or 3702 
Manufacture in which all the materials used are 
classified within a heading other than heading Nos 
3701 to 3704 
ex Chapter 38 Miscellaneous chemical products; except for 
heading Nos ex 3801, ex 3803, ex 3805, ex 3806, 
ex 3807, 3808 to 3814, 3818 to 3820, 3822 and 
3823 for which the rules are set out below: 
Colloidal graphite in suspension in oil and semi-
colloidal graphite; carbonaceous pastes for elec­
trodes 
Graphite in paste form, being a mixture of more 
than 30 % by weight of graphite with mineral 
oils 
Refined tall oil 
Spirits of sulphate turpentine, purified 
Ester gums 
Wood pitch (wood tar pitch) 
Miscellaneous chemical products: 
— Prepared additives for lubricating oil, 
containing petroleum oils or oils obtained from 
bituminous minerals, of heading No 3811 
The following of heading No 3823: 
— Prepared binders for foundry moulds or 
cores based on natural resinous products 
— Naphthenic acids, their water insoluble salts 
and their esters 
— Sorbitol other than that of heading No 2905 
— Petroleum sulphonates, excluding petroleum 
sulphonates of alkali metals, of ammonium 
or of ethanolamines; thiophenated sulphonic 
acids of oils obtained from bituminous 
minerals, and their salts 
— Ion exchangers 
— Getters for vacuum tubes 
— Alkaline iron oxide for the purification of 
gas Manufacture in which all the materials used are 
classified within a heading other than that of the 
Eroduct. However, materials classified within the same 
eading may be used provided their value does not 
exceed 20 °/o of the ex works price of the product 
Manufacture in which the value of all the materials 
used does not exceed 50 °/o of the ex works price of 
the product 
Manufacture from materials of any heading. However, 
the value of the materials of heading No 3403 used 
must not exceed 20 % of the ex works price of the 
product 
Refining of crude tall oil 
Purification by distillation or refining of raw spirits of 
sulphate turpentine 
Manufacture from resin acids 
Distillation of wood tar 
These are Annex 8 products 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product. However, materials classified within the same 
heading may be used provided their value does not 
exceed 20 % of the ex works price of the product 
No C 95/96 Official Journal of the European Communities 11.4.91 
(1) 
3808 
to 
3814 
3818 
to 3820 
3822 
and 
3823 
(cont'd) 
3901 
to 
3915 
3916 
to 
3921 
3922 
to 
3926 
ex 4001 
4005 
4012 
ex 4017 (2) 
— Ammoniacal gas liquors and spent oxide 
produced in coal gas purification 
— Sulphonaphthenic acids, their water 
insoluble salts and their esters 
— Fusel oil and Dippel's oil 
— Mixtures of salts having different anions 
— Copying pastes with a basis of gelatin, 
whether or not on a paper or textile backing 
— Other 
Plastics in primary forms, waste, parings and scrap, 
of plastic: 
— Addition homopolymerization products 
— Other 
Semi-manufactures of plastics: 
— Flat products, further worked than only 
surface-worked or cut into forms other than 
rectangles; other products, further worked than 
only surface-worked 
— Other: 
— Addition homopolymerization products 
— Other 
Articles of plastic 
Laminated slabs of crepe rubber for shoes 
Compounded rubber, unvulcanized, in primary 
forms or in plates, sheets or strip 
Retreaded or used pneumatic tyres of rubber; solid 
or cushion tyres, interchangeable tyre treads and 
tyre flaps of rubber 
Articles of hard rubber (3) 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
Manufacture in which: 
— the value of all the materials used does not exceed 
50 % of the ex works price of the product, and 
— the value of any materials of Chapter 39 used does 
not exceed 20 % of the ex works price of the 
product (') 
Manufacturing in which the value of the materials of 
Chapter 39 used does not exceed 20 °/o of the ex works 
price of the product (') 
Manufacture in which the value of any materials of 
Chapter 39 used does not exceed 50 % of the ex works 
price of the product 
Manufacture in which: 
— the value of all the materials used does not exceed 
50 % of the ex works price of the product, and 
— the value of any materials of Chapter 39 used does 
not exceed 20 % of the ex works price of the 
product (') 
Manufacture in which the value of any materials of 
Chapter 39 used does not exceed 20 % of the ex 
works price of the product (') 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
Lamination of sheets of natural rubber 
Manufacture in which the value of all the materials 
used, except natural rubber, does not exceed 50 % of 
the ex works price of the product 
Manufacture from materials of any heading, except 
those of heading Nos 4011 or 4012 
Manufacture from hard rubber 
(') In the case of products composed of materials classified within both heading Nos 3901 to 3906, on the one hand, and within heading Nos 3907 to 
3911, on the other hand, this restriction only applies to that group of materials which predominates by weight in the product. 
11.4.91 Official Journal of the European Communities1 No C 95/97 
(i) 
ex 4102 
4104 
to 
4107 
4109 (2) 
Raw skins of sheep or lambs, without wool on 
Leather, without hair or wool other than leather of 
heading No 4108 or 4109 
Patent leather and patent laminated leather; 
metallized leather (3) 
Removal of wool from sheep or lamb skins, with wool 
on 
Retanning of pre-tanned leather 
or 
Manufacture in which all the materials used are 
classified in a heading other than that of the product 
Manufacture from leather of heading Nos 4104 to 
4107 provided its value does not exceed 50 % of the ex 
works price of the product 
ex 4302 
4303 Tanned or dressed furskins, assembled: 
— Plates, crosses and similar forms 
— Other 
Articles of apparel, clothing accessories and other 
articles of furskin Bleaching or dyeing, in addition to cutting and 
assembly of non-assembled tanned or dressed furskins 
Manufacture from non-assembled, tanned or dressed 
furskins 
Manufacture from non-assembled, tanned or dressed 
furskins, of heading No 4302 
ex 4403 
ex 4407 
ex 4408 
ex 4409 
ex 4410 
to 
ex 4413 
ex 4415 
ex 4416 
ex 4418 
ex 4421 Wood roughly squared 
Wood sawn or chipped lengthwise, sliced or peeled, 
of a thickness exceeding 6 mm, planed, sanded or 
finger-jointed 
Veneer sheets and sheets for plywood, of a 
thickness not exceeding 6 mm, spliced, and other 
wood sawn lengthwise, sliced or peeled, of a 
thickness not exceeding 6 mm, planed, sanded or 
finger-jointed 
— Wood (including strips and friezes for parquet 
flooring, not assembled) continuously shaped 
(tongued, grooved, rebated, chamfered, 
V-jointed, beaded, moulded, rounded or the 
like) along any of its edges or faces, sanded or 
finger-jointed 
— Beadings and mouldings 
Beadings and mouldings, including moulded 
skirting and other moulded boards 
Packing cases, boxes, crates, drums and similar 
packings, of wood 
Casks, barrels, vats, tubs and other coopers' 
products and parts thereof, of wood 
— Builders' joinery and carpentry of wood 
— Beadings and mouldings 
Match splints; wooden pegs or pins for footwear Manufacture from wood in the rough, whether or not 
stripped of its bark or merely roughed down 
Planing, sanding or finger-jointing 
Splicing, planing, sanding or finger-jointing 
Sanding or finger-jointing 
Beading or moulding 
Beading or moulding 
Manufacture from boards not cut to size 
Manufacture from riven staves, not further worked 
than sawn on the two principal surfaces 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product. However, cellular wood panels, shingles and 
shales may be used 
Beading or moulding 
Manufacture from wood of any heading except drawn 
wood of heading No 4409 
No C 95/98 Official Journal of the European Communities 11.4.91 
(1) 
4503 
ex 4811 
4816 
4817 
ex 4818 
ex 4819 
ex 4820 
ex 4823 
4909 
4910 
ex 5003 
5501 
to 
5507 
ex Chapter 50 
to 
Chapter 55 (2) 
Articles of natural cork 
Paper and paperboard, ruled, lined or squared only 
Carbon paper, self->copy paper and other copying 
or transfer papers (other than those of heading No 
4809), duplicator stencils and offset plates, of 
paper, whether or not put up in boxes 
Envelopes, letter cards, plain postcards and corre­
spondence cards, of paper or paperboard; boxes, 
pouches, wallets and writing compendiums, of 
paper or paperboard, containing an assortment of 
paper stationery 
Toilet paper 
Cartons, boxes, cases, bags and other packing 
containers, of paper, paperboard, cellulose wadding 
or webs of cellulose fibres 
Letter pads 
Other paper, paperboard, cellulose wadding and 
webs of cellulose fibres, cut to size or shape 
Printed or illustrated postcards; printed cards 
bearing personal greetings, messages or 
announcements, whether or not illustrated, with or 
without envelopes or trimmings 
Calendars of any kind, printed, including calendar 
blocks: 
— Calenders of the 'perpetual' type or with 
replaceable blocks mounted on bases other than 
paper or paperboard 
— Other 
Silk waste (including cocoons unsuitable for 
reeling, yarn waste and garnetted stock), carded or 
combed 
Man-made staple fibres 
Yarn, monofilament and thread (3) 
Manufacture from cork of heading No 4501 
Manufacture from paper-making materials of Chapter 
47 
Manufacture from paper-making materials of Chapter 
47 
Manufacture in which: 
— all the materials used are classified within a heading 
other than that of the product, and 
— the value of all the materials used does not exceed 
50 % of the ex works price of the product 
Manufacture from paper-making materials of Chapter 
47 
Manufacture in which: 
— all the materials used are classified within a heading 
other than that of the product, and 
— the value of all the materials used does not exceed 
50 % of the ex works price of the product 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
Manufacture from paper-making materials of Chapter 
47 
Manufacture from materials not classified within 
heading No 4909 or 4911 
Manufacture in which: 
— all the materials used are classified within a heading 
other than that of the product, and 
— the value of all the materials used does not exceed 
50 % of the ex works price of the product 
Manufacture from materials not classified within 
heading No 4909 or 4911 
Carding or combing of silk waste 
Manufacture from chemical materials or textile pulp 
Manufacture from ('): 
— natural fibres not carded or combed or otherwise 
processed for spinning, 
— chemical materials or textile pulp, or 
— paper-making materials 
(') For special conditions relating to products made of a mixture of textile materials, see Introductory Note 6. 
11. 4. 91 Official Journal of the European Communities No C 95/99 
(1) 
ex Chapter 50 
to 
Chapter 55 
(cont'd) 
ex Chapter 56 
5602 
5604 (2) 
Woven fabrics: 
— Incorporating rubber thread 
— Other 
Wadding, felt and non-wovens; special yarns, twine 
cordage, ropes and cables and articles thereof 
except for heading Nos 5602, 5604, 5605 and 5606, 
for which the rules are set out below 
Felt, whether or not impregnated, coated, covered 
or laminated: 
— Needleloom felt 
— Other 
Rubber thread and cord, textile covered; textile 
yarn, and strip and the like of heading No 5404 or 
5405, impregnated, coated, covered or sheathed 
with rubber or plastics: 
— Rubber thread and cord, textile covered (3) 
Manufacture from single yarn (') 
Manufacture from ('): 
— coir yarn, 
— natural fibres, 
— man-made staple fibres not carded or combed or 
otherwise processed for spinning, 
— chemical materials or textile pulp, or 
— paper 
or 
Printing accompanied by at least two preparatory or 
finishing operations (such as scouring, bleaching, 
mercerizing, heat setting, raising, calendering, shrink 
resistance processing, permanent finishing, decatizing, 
impregnating, mending and burling) where the value of 
the unprinted fabric used does not exceed 47,5 % of 
the ex works price of the product 
Manufacture from (l): 
— coir yarn, 
— natural fibres, 
— chemical materials or textile pulp, or 
— paper-making materials 
Manufacture from ('): 
— natural fibres, 
— chemical materials or textile pulp 
However: 
— polypropylene filament of heading No 5402, 
— polypropylene fibres of heading No 5503 or 5506, 
or 
— polypropylene filament tow of heading No 5501, of 
which the denomination in all cases of a single 
filament or fibre is less than 9 decitex may be used 
provided that their value does not exceed 40 % of 
the ex works price of the product 
Manufacture from ('): 
— natural fibres, 
— man-made staple fibres made from casein, or 
— chemical materials or textile pulp 
Manufacture from rubber thread or cord, not textile 
covered 
(') For special conditions relating to products made of a mixture of textile materials, see Introductory Note 6. 
No C 95/100 Official Journal of the European Communities 11. 4. 91 
(1) 
5604 
(cont'd) 
5605 
5606 
Chapter 57 (2) 
— Other 
Metallized yarn, whether or not gimped, being 
textile yarn, or strip or the like of heading No 5404 
or 5405, combined with metal in the form of 
thread, strip or powder or covered with metal 
Gimped yarn, and strip and the like of heading No 
5404 or 5405, pimped (other then those of heading 
No 5605 and gimped horsehair yarn); chenille yarn 
(including flock chenille yam); loop wale-yarn 
Carpets and other textile floor coverings: 
— Of needleloom felt 
— Of other felt 
— Other (3) 
Manufacture from (l): 
— natural fibres not carded or combed or otherwise 
processed for spinning, 
— chemical materials or textile pulp, or 
— paper-making materials 
Manufacture from ('): 
— natural fibres, 
— man-made staple fibres not carded or combed or 
otherwise processed for spinning, 
— chemical materials or textile pulp, or 
— paper-making materials 
Manufacture from ('): 
— natural fibres, 
— man-made staple fibres not carded or combed or 
otherwise processed for spinning, 
— chemical materials or textile pulp, or 
— paper-making materials 
Manufacture from ('): 
— natural fibres, or 
— chemical materials or textile pulp. 
However: 
— polypropylene filament of heading No 5402, 
— polypropylene fibres of heading No 5503 or 5506, 
or 
— polypropylene filament tow of heading No 5501 of 
which the denomination in all cases of a single 
filament or fibre is less than 9 decitex may be used 
provided that their value does not exceea 40 % of 
the ex works price of the product 
Manufacture from ('): 
— natural fibres not carded or combed or otherwise 
processed for spinning, or 
— chemical materials or textile pulp 
Manufacture from O: 
— coir yarn, 
— synthetic or artificial filament yarn, 
— natural fibres, or 
— man-made staple fibres not carded or combed or 
otherwise processed for spinning 
(') For special conditions relating to products made of a mixture of textile materials, see Introductory Note 6. 
11. 4. 91 Official Journal of the European Communities No C 95/101 
(2) 
Special woven fabrics; tufted textile fabrics; lace; 
tapestries; trimmings, embroidery, except for 
heading Nos 5805 and 5810; the rule for heading 
No 5810 is set out below: 
— Combined with rubber thread 
— Other 
Embroidery in the piece, in strips or in motifs (3) 
Manufacture from single yarn (') 
Manufacture from ('): 
— natural fibres, 
— man-made staple fibres not carded or combed or 
otherwise processed for spinning, or 
— chemical materials or textile pulp 
or 
Printing accompanied by at least a finishing operations 
(such as scouring, bleaching, mercerizing, neat setting, 
raising, calendering, shrink, resistance processing, 
permanent finishing, decatizing, impregnating, 
mending and burling) where the value of the unprinted 
fabric used does not exceed 47,5 % of the ex works 
price of the product 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
Textile fabrics coated with gum or amylaceous 
substances, of a kind used for the outer covers of 
books or the like; tracing cloth; prepared painting 
canvas; buckram and sinular stiffened textile fabrics 
of a kind used for hat foundations 
Tyre cord fabric of high tenacity yarn of nylon or 
other polyamides, polyesters or viscose rayon: 
— Containing not more than 90 % by weight of 
textile materials 
— Other 
Textile fabrics impregnated, coated, covered or 
laminated with plastics, other than those of heading 
No 5902 
Linoleum, whether or not cut to shape; floor 
coverings consisting of a coating or covering 
applied on a textile packing, whether or not cut to 
shape 
Textile wall coverings: 
— Impregnated, coated, covered or laminated with 
rubber, plastics or other materials Manufacture from yarn 
Manufacture from yarn 
Manufacture from chemical materials or textile pulp 
Manufacture from yarn 
Manufacture from yarn (') 
Manufacture from yarn 
(') For special conditions relating to products made of a mixture of textile materials, see Introductory Note 6. 
No C 95/102 Official Journal of the European Communities 11. 4. 91 
(2) 
— Other 
Rubberized textile fabrics, other than those of 
heading No 5902: 
— Knitted or crocheted fabrics 
— Other fabrics made of synthetic filament yarn, 
containing more than 90 % by weight of textile 
materials 
— Other 
Textile fabrics otherwise impregnated, coated or 
covered; painted canvas being theatrical scenery, 
studio backcloths or the like 
Incandescent gas mantles, impregnated 
Textile articles of a kind suitable for industrial use: 
— Polishing discs or rings other than of felt of 
heading No 5911 
— Other (3) 
Manufacture from (l): 
— coir yarn, 
— natural fibres, 
— man-made staple fibres not carded or combed or 
otherwise processed for spinning, or 
— chemical materials or textile pulp 
or 
Printing accompanied by at least finishing operation 
(such as scouring, bleaching, mercerizing, heat setting, 
raising, calendering, shrink resistance processing, 
permanent finishing, decatizing, impregnating, 
mending and burling) where the value of the unprinted 
fabric used does not exceed 47,5 % of the ex works 
price of the product 
Manufacture from ('): 
— natural fibres, 
— man-made staple fibres not carded or combed or 
otherwise processed for spinning, or 
— chemical materials or textile pulp 
Manufacture from chemical materials 
Manufacture from yarn 
Manufacture from yarn 
Manufacture from tubular knitted gas mantle fabric 
Manufacture from yarn or waste fabrics or rags of 
heading No 6310 
Manufacture from ('): 
— coir yarn, 
— natural fibres, 
— man-made staple fibres not carded or combed or 
otherwise processed for spinning, or 
— chemical materials or textile pulp 
Knitted or crocheted fabrics Manufacture from (*): 
— natural fibres, 
— man-made staple fibres not carded or combed or 
otherwise processed for spinning, or 
— chemical materials or textile pulp 
(') For special conditions relating to products made of a mixture of textile materials, see Introductory Note 6. 
11. 4. 91 Official Journal of the European Communities No C 95/103 
(1) 
Chapter 61 
ex Chapter 62 
ex 6202 
ex 6204 
ex 6206 
ex 6209 
and 
ex 6217 
ex 6210 
ex 6216 
and 
ex 6217 
6213 
and 
6214 
6301 
to 
6304 (2) 
Articles of apparel and clothing accessories, knitted 
or crocheted: 
— Obtained by sewing together or otherwise 
assembling, two or more pieces of knitted or 
crocheted fabric which have been either cut to 
form or obtained directly to form 
— Other 
Articles of apparel and clothing accessories, not 
knitted or crocheted, except for heading Nos ex 
6202, ex 6204, ex 6206, ex 6209, ex 6210, 6213, 
6214, ex 6216 and ex 6217 for which the rules are 
set out below 
Women's, girls' and babies' clothing and 'other 
made-up clothing accessories', embroidered 
Fire-resistant equipment of fabric covered with foil 
of aluminized polyester 
Handkerchiefs, shawls, scarves, mufflers, mantillas, 
veils and the like: 
— Embroidered 
— Other 
Blankets, travelling rugs, bed linen etc.; curtains, 
etc.; other furnishing articles: 
— Of felt, of non-wovens 
— Other: 
— Embroidered 
— Other (3) 
Manufacture from yarn (') 
Manufacture from (2): 
— natural fibres, 
— man-made staple fibres not carded or combed or 
otherwise processed for spinning, or 
— chemical materials or textile pulp 
Manufacture from yarn (') 
Manufacture from yarn (') 
or 
Manufacture from unembroidered fabric provided the 
value of the unembroidered fabric used does not 
exceed 40 % of the ex works price of the product (') 
Manufacture from yarn (l) 
or 
Manufacture from uncoated fabric provided the value 
of the uncoated fabric used does not exceed 40 % of 
the ex works price of the product (') 
Manufacture from unbleached single yarn (') (2) 
or 
Manufacture from unembroidered fabric provided the 
value of the unembroidered fabric used does not 
exceed 40 % of the ex works price of the product (') 
Manufacture from unbleached single yarn (') (2) 
Manufacture from (2): 
— natural fibres, or 
— chemical materials or textile pulp 
Manufacture from unbleached single yarn (2) 
or 
Manufacture from unembroidered fabric (other than 
knitted or crocheted) provided the value of the unem­
broidered fabric used does not exceed 40 % of the ex 
works price of the product 
Manufacture from unbleached single yarn (2) 
(') See Introductory Note 7 for the treatment of textile trimmings and accessories. 
(') For special conditions relating to products made of a mixture of textile materials, see Introductory Note 6. 
No C 95/104 Official Journal of the European Communities 11.4.91 
(1) 
6305 
6306 
ex 6307 
6308 
6401 
to 
6405 
6503 
6505 
6601 
ex 6803 
ex 6812 
ex 6814 
7006 (2) 
Sacks and bags, of a kind used for the packing of 
goods 
Tarpaulins, sails for boats, sailboards or landcraft, 
awnings, sunblinds, tents and camping goods: 
— Of non-wovens 
— Other 
Other made-up articles, including dress patterns 
Sets consisting of woven fabric and yarn, whether 
or not with accessories, for making up into rugs, 
tapestries, embroidered table cloths or serviettes or 
similar textile articles, put up in packings for retail 
sale 
Footwear 
Felt hats and other felt headgear, made from the 
hat bodies, hoods or plateaux of heading No 6501, 
whether or not lined or trimmed 
Hats and other headgear, knitted or crocheted, or 
made up from lace, felt or other textile fabric, in 
the piece (but not in strips), whether or not lined or 
trimmed; hair-nets of any material, whether or not 
lined or trimmed 
Umbrellas and sun umbrellas (including 
walking-stick umbrellas, garden umbrellas and 
similar umbrellas) 
Articles of slate or of agglomerated slate 
Articles of asbestos or of mixtures with a basis of 
asbestos Or with a basis of asbestos and magnesium 
carbonate 
Articles of mica; including agglomerated or recon­
stituted mica on a support of paper, paperboard or 
other materials 
Glass of heading No 7003, 7004 or 7005, bent, 
edge-worked, engraved, drilled, enamelled or 
otherwise worked, but not framed or fitted with 
other materials (3) 
Manufacture from ('): 
— natural fibres, 
— man-made staple fibres not carded or combed or 
otherwise processed for spinning, or 
— chemical materials or textile pulp 
Manufacture from ('): 
— natural fibres, or 
—• chemical materials or textile pulp 
Manufacture from unbleached single yarn 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Each item in the set must satisfy the rule which would 
apply to it if it were not included in the set. However, 
non-originating articles may be incorporated provided 
their total value does not exceed 15 % of the ex works 
price of the set 
Manufacture from materials of any heading except for 
assemblies of uppers affixed to inner soles or to other 
sole components of heading No 6406 
Manufacture from yarn or textile fibres (2) 
Manufacture from yarn or textile fibres (2) 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
Manufacture from worked slate 
Manufacture from fabricated asbestos fibres or from 
mixtures with a basis of asbestos or with a basis of 
asbestos and magnesium carbonate 
Manufacture from worked mica (including agglom­
erated or reconstituted mica) 
Manufacture from materials of heading No 7001 
(') For special conditions relating to products made of a mixture of textile materials, see Introductory Note 6. 
(J) See Introductory Note 7 for the treatment of textile trimmings and accessories. 
11. 4. 91 Official Journal of the European Communities No C 95/105 
(2) 
Safety glass, consisting of toughened (tempered) or 
laminated glass 
Multiple-walled insulating units of glass 
Glass mirrors, whether or not framed, including 
rear-view mirrors 
Carboys, bottles, flasks, jars, pots, phials, ampoules 
and other containers, of glass, of a kind used for 
the conveyance or packing of goods; preserving jars 
of glass; stoppers, lids and other closures, of glass 
Glassware of a kind used for table, kitchen, toilet, 
office, indoor decoration or similar purposes (other 
than that of heading No 7010 or 7018) 
Articles (other than yarn) of glass fibres (3) 
Manufacture from materials of heading No 7001 
Manufacture from materials of heading No 7001 
Manufacture from materials of heading No 7001 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product 
or 
Cutting of glassware, provided the value of the uncut 
glassware does not exceed 50 % of the ex works price 
of the product 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product 
and 
Cutting of glassware, provided the value of the uncut 
glassware does not exceed 50 % of the ex works price 
of the product 
Hand-decoration (with the exception of silk screen 
printing) of hand-blown glassware, provided the value 
of the hand-blown glassware does not exceed 50 % of 
the ex works price of the product 
Manufacture from: 
— uncoloured slivers, rovings, yarn or chopped 
strands, or 
— glass wool 
Worked precious or semi-precious stones (natural, 
synthetic or reconstructed) 
Precious metals: 
— Unwrought 
— Semi-manufactured or in powder form (AH) 
Metals clad with precious metals, semi-manu­
factured 
Articles of natural or cultured pearls, precious or 
semi-precious stones (natural, synthetic or recon­
structed) 
Imitation jewellery Manufacture from unworked precious or semi-precious 
stones 
Manufacture from materials not classified in heading 
No 7106, 7108 or 7110 
Electrolytic, thermal or chemical separation of precious 
metals of heading No 7106, 7108 or 7110 
or 
Alloying of precious metals of heading No 7106, 7108 
or 7110 with each other or with base metals 
Manufacture from unwrought precious metals 
Manufacture from metals clad with precious metals, 
unwrought 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product 
or 
Manufacture from base metal parts, not plated or 
covered with precious metals, provided the value of all 
• the materials used does not exceed 50 % of the ex 
works price of the product 
No C 95/106 Official Journal of the European Communities 11. 4. 91 
(1) 
7207 
7208 
to 
7216 
7217 
ex 7218 
7219 
to 
7222 
7223 
ex 7224 
7225 
to 
7117 
7228 
7229 
ex 7301 
7302 
7304 
7305 
and 
7306 
7308 
ex 7315 
ex 7322 (2) 
Semi-finished products of iron or non-alloy steel 
Flat-rolled products, bars and rods, angles, shapes 
and sections of iron or non-alloy steel 
Wire of iron or non-alloy steel 
Semi-finished products, flat-rolled products, bars 
and rods, angles, shapes and sections of stainless 
steel 
Wire of stainless steel 
Semi-finished products, flat-rolled products, bars 
and rods, in irregularly wound coils, of other alloy 
steel 
Other bars and rods of other alloy steel; angles, 
shapes and sections, of other alloy steel; hollow . 
drill bars and rods, of alloy or non-alloy steel 
Wire of other alloy steel 
Sheet piling 
Railway or tramway track construction material of 
iron or steel, the following: rails, check-rails and 
rack rails, switch blades, crossing frogs, point rods 
and other crossing pieces, sleepers (cross-ties), fish­
plates, chairs, chair wedges, sole plates (base 
plates), rail clips, bedplates, ties and other material 
specialized for jointing or fixing rails 
Tubes, pipes and hollow profiles, of iron (other 
than cast iron) or steel 
Structures (excluding prefabricated buildings of 
heading No 9406) and parts of structures (for 
example, bridges and bridge-sections, lock-gates, 
towers, lattice masts, roofs, roofing frameworks, 
doors and windows and their frames and thresholds 
for doors, shutters, balustrades, pillars and 
columns), of iron or steel; plates, rods, angles, 
shapes, sections, tubes and the like, prepared for 
use in structures, of iron or steel 
Skid-chains 
Radiators for central heating, not electrically 
heated (3) 
Manufacture from materials of heading No 7201, 
7202, 7203, 7204 or 7205 
Manufacture from ingots or other primary forms of 
heading No 7206 
Manufacture from semi-finished materials of heading 
No 7207 
Manufacture from ingots or other primary forms of 
heading No 7218 
Manufacture from semi-finished materials of heading 
No 7218 
Manufacture from ingots or other primary forms of 
heading No 7224 
Manufacture from ingots or other primary forms of 
heading No 7206, 7218 or 7224 
Manufacture from semi-finished materials of heading 
No 7224 
Manufacture from materials of heading No 7203 
Manufacture from materials of heading No 7206 
Manufacture from materials of heading No 7206, 
7207, 7218 or 7224 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product. However, welded angles, shapes and sections 
of heading No 7301 may not r>e used 
Manufacture in which the value of all the materials of 
heading No 7315 used does not exceed 50 % of the ex 
works price of the product 
Manufacture in which the value of all the materials of 
heading No 7322 used does not exceed 5 % of the ex 
works price of the product 
11. 4. 91 Official Journal of the European Communities No C 95/107 
(1) 
ex Chapter 74 
ex 7403 
ex Chapter 75 
ex Chapter 76 
ex 7601 
ex Chapter 78 
7801 
ex Chapter 79 
7901 (2) 
Copper and articles thereof, except for heading 
Nos 7401 to 7405; the rule for heading No ex 7403 
is set out below 
Copper alloys, unwrought 
Nickel and articles thereof, except for heading Nos 
7501 to 7503 
Aluminium and articles thereof, except for heading 
Nos 7601 and 7602; the rule for heading No ex 
7601 is set out below 
— Aluminium alloys 
— 'Super-pure' aluminium (ISO No Al 99.99) 
Lead and articles thereof, except for heading Nos 
7801 and 7802; the rule for heading No 7801 is set 
out below 
Unwrought lead: 
— Refined lead 
— Other 
Zinc and articles thereof, except for heading Nos 
7901 and 7902; the rule for heading No 7901 is set 
out below 
Unwrought zinc (3) 
Manufacture in which: 
— all the materials used are classified within a heading 
other than that of the product, and 
— the value of all the materials used does not exceed 
50 % of the ex works price of the product 
Manufacture from refined copper, unwrought, or 
waste and scrap 
Manufacture in which: 
— all the materials used are classified within a heading 
other than that of the product, and 
— the value of all the materials used does not exceed 
50 % of the ex works price of the product 
Manufacture in which 
— all the materials used are classified within a heading 
other than that of the product, and 
— the value of all the materials used does not exceed 
50 % of the ex works price of the product 
Manufacture from aluminium, not alloyed, or waste 
and scrap 
Manufacture from aluminium, not alloyed (ISO No Al 
99,8) 
Manufacture in which: 
— all the materials used are classified within a heading 
other than that of the product, and 
— the value of all the materials used does not exceed 
50 % of the ex works price of the product 
Manufacture from 'bullion' or 'work' lead 
Manufacture in which all the materials used are 
classified in a heading other than that of the product. 
However, waste and scrap of heading No 7802 may 
not be used 
Manufacture in which: 
— all the materials used are classified in a heading 
other than that of the product, and 
— the value of all the materials used does not exceed 
50 % of the ex works price of the product 
Manufacture in which all the materials used are 
classified in a heading other than that of the product. 
However, waste and scrap of heading No 7902 may 
not be used 
No C 95/108 Official Journal of the European Communities 11. 4. 91 
(2) 
Tin and articles thereof, except for heading Nos 
8001, 8002 and 8007; the rule for heading No 8001 
is set out below 
Unwrought tin (3) 
Manufacture in which: 
all the materials used are classified in a heading 
other than that of the product, and 
the value of all the materials used does not exceed 
50 % of the ex works price of the product 
Manufacture in which all the materials used are 
classified in a heading other than that of the product. 
However, waste and scrap of heading No 8002 may 
not be used 
Other base metals, wrought; articles thereof Manufacture in which the value of all the materials 
classified in the same heading as the products used 
does not exceed 50 % of the ex works price of the 
product 
Tools of two or more of the heading Nos 8202 to 
8205, put up in sets for retail sale 
Interchangeable tools for hand tools, whether or 
not power-operated, or for machine-tools (for 
example, for pressing, stamping, punching, tapping, 
threading, drilling, boring, broaching, milling, 
turning or screwdriving), including dies for drawing 
or extruding metal, and rock-drilling or earth-
boring tools 
Knives and cutting blades, for machines or for 
mechanical appliances 
Knives with cutting blades, serrated or not 
(including pruning knives), other than knives of 
heading No 8208 
Other articles of cutlery (for example, hair clippers, 
butcher's or kitchen cleavers, choppers and mincing 
knives, paper knives); manicure or pedicure sets 
and instruments (including nail files) 
Spoons, forks, ladles, skimmers, cake-servers, fish-
knives, butter-knives, sugar tongs and similar 
kitchen or tableware Manufacture in which all the materials used are 
classified in a heading other than heading Nos 8202 to 
8205. However, tools of heading Nos 8202 to 8205 
may be incorporated into the set provided their value 
does not exceed 15 % of the ex works price of the set 
Manufacture in which: 
— all the materials used are classified in a heading 
other than that of the product, and 
— the value of all the materials used does not exceed 
40 % of the ex works price of the product 
Manufacture in which: 
— all the materials used are classified in a heading 
other than that of the product, and 
— the value of all the materials used does not exceed 
40 % of the ex works price of the product 
Manufacture in which all the materials used are 
classified in a heading other than that of the product. 
However, knife blades and handles of base metal may 
be used 
Manufacture in which all the materials used are 
classified in a heading other than that of the product. 
However, handles of base metal may be used 
Manufacture in which all the materials used are 
classified in a heading other than that of the product. 
However, handles of base metal may be used 
11. 4. 91 Official Journal of the European Communities No C 95/109 
(2) 
Statuettes and other ornaments, of base metal (3) 
Manufacture in which all the materials used are 
classified in a heading other than that of the product. 
However, the other materials of heading No 8306 may 
be used provided their value does not exceed 30 % of 
the ex works price of the product 
Nuclear reactors, boilers, machinery and mechan­
ical appliances; parts thereof; except for those 
falling within the following headings or parts of 
headings for which the rules are set out below: 
8402, 8403, ex 8404, 8406 to 8409, 8411, 8412, ex 
8413, ex 8414, 8415, 8418, ex 8419, 8420, 8423, 
8425 to 8430, ex 8431, 8439, 8441, 8444 to 8447, 
ex 8448, 8452, 8456 to 8466, 8469 to 8472, 8480, 
8482, 8484 and 8485 
Central heating boilers, other than those of heading 
No 8402, ana auxiliary plant for central heating 
boilers 
Steam turbines and other vapour turbines 
Spark-ignition reciprocating or rotary internal 
combustion piston engines 
Compression-ignition internal combustion piston 
engines (diesel or semi-diesel engines) 
Parts suitable for use solely or principally with the 
engines of heading No 8407 or 8408 
Other engines and motors 
Air conditioning machines, comprising a motor-
driven fan and elements for changing the 
temperature and humidity, including those 
machines in which the humidity cannot be 
seperately regulated 
Refrigerators, freezers and other refrigerating or 
freezing equipment, electric or other heat pumps 
other than air conditioning machines of heading 
No 8415 Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 10 % of the ex 
works price of the product 
Manufacture in which all the materials used are 
classified in a heading other than heading No 8403 or 
8404. However, materials which are classified in 
heading No 8403 or 8404 may be used provided their 
value, taken together, does not exceed 10 % of the ex 
works price of the product 
Manufacture in which the value of all the materials 
used does not exceed 40 °/o of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 10 % of the ex 
works price of the product, and 
— where the value of all the non-originating materials 
used does not exceed the value of the originating 
materials used 
No C 95/110 Official Journal of the European Communities 11. 4. 91 
(1) 
ex 8419 
8420 
8425 
to 
8428 
8429 
8430 
ex 8431 (2) 
Machines for the wood, paper pulp and paper 
board industries 
Calendering or other rolling machines, other than 
for metals or glass, and cylinders therefor 
Lifting, handling, loading or unloading machinery 
Self-propelled bulldozers, angledozers, graders, 
levellers, scrapers, mechanical shovels, excavators, 
shovel loaders, temping machines and road rollers: 
— Road rollers 
— Other 
Other moving, grading, levelling, scraping, exca­
vating, temping, compacting, extracting or boring 
machinery, for earth, minerals or ores; pile-drivers 
and pile-extractors; snow-ploughs and snow-
blowers 
Parts for road rollers (3) 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 25 % of the ex 
works price of the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 25 % of the ex 
works price of the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified in heading No 8431 are only used up to a 
value of 10 % of the ex works price of the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the value of the 
materials classified within heading No 8431 are 
only used up to a value of 10 % of the ex works 
price of the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the value of the 
materials classified within heading No 8431 are 
only used up to value of 10 % of the ex works 
price of the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
11. 4. 91 Official Journal of the European Communities No C 95/111 
(2) 
Machinery for making pulp of fibrous cellulosic 
material or for making or finishing paper or 
paperboard 
Other machinery for making up paper pulp, paper 
or paperboard, including cutting machines of all 
kinds 
Machines of these headings for use in the textile 
industry 
Auxiliary machinery for use with machines for 
heading Nos 8444 and 8445 
Sewing machines, other than book sewing machines 
of heading No 8440; furniture, bases and covers 
specially designed for sewing machines; sewing 
machine needles: 
— Sewing machines (lock stitch only) with heads 
of a weight not exceeding 16 kg without motor 
or 17 kg with motor 
Other 
Machine-tools and machines and their parts and 
accessories of heading Nos 8456 to 8466 
Office machines (for example, typewriters, calcu­
lating machines, automatic data-processing 
machines, duplicating machines, stapling machines) 
Moulding boxes for metal foundry; mould bases; 
moulding patterns; moulds for metal (other than 
ingot moulds), metal carbides, glass, mineral 
materials, rubber or plastics 
Gaskets and similar joints of metal sheeting 
combined with other material or of two or more 
layers of metal; sets or assortments of gaskets and 
similar joints, dissimilar in composition, put up in 
pouches, envelopes or similar packings (3) 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 25 % of the ex 
works price of the product 
Manufacture: 
— in which the value of all the, materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 25 % of the ex 
works price of the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
— where the value of all of the non-originating 
materials used in assembling the head (without 
motor) does not exceed the value of the originating 
materials used, and 
— the thread tension, crochet and zigzag mechanisms 
used are already originating 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 °/o of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
No C 95/112 Official Journal of the European Communities 11.4.91 
(i) 
8485 (2) 
Machinery parts, not containing electrical 
connectors, insulators, coils, contacts or other elec­
trical features, not specified or included elsewhere 
in this chapter (3) 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
ex Chapter 85 
8501 
8502 
ex 8522 
8523 
8524 Electrical machinery and equipment and parts 
thereof; sound recorders and reproducers, tele­
vision image and sound recorders and reproducers 
and parts and accessories of such articles; except 
for those falling within the following headings or 
parts of headings for which the rules are set out 
below: 
8501, 8502, ex 8522, 8523 to 8529, 8535 to 8537, 
8542, 8544 to 8548 
Electric motors and generators (excluding generat­
ing sets) 
Electric generating sets and rotary converters 
Parts and accessories of cinematographic sound 
recorders or reproducers for film of 16 mm or 
Prepared unrecorded media for sound recording or 
similar recording of other phenomena, other than 
products of Chapter 37 
Records, tapes and other recorded media for sound 
or other similarly recorded phenomena, including 
matrices and masters for the production of records, 
but excluding products of Chapter 37: 
— Matrices and masters for the production of 
records 
— Other Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 10 % of the ex 
works price of the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where? within the above limit, the materials 
classified within heading No 8503 are only used up 
to a value of 10 % or the ex works price of the 
product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within heading No 8501 or 8503, taken 
together, are only used up to a value of 5 % of the 
ex works price or the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within heading No 8523 are only used up 
to a value of 10 % or the ex works price of the 
product 
11.^1 OfficialJoumalofthe European Communities ^oC^BM^ 
(^ 
Transmission apparatus for radiotelephone radios 
tele^raph^ radiobroadcasting or televisions 
whether or not incorporating reception apparatus 
or sound recording or reproducing apparatus^ tele^ 
visioncameras 
^.adar apparatus^ radio navigational aid apparatus 
andradioremotecontrolapparatus 
deception apparatus for radiotelephone radios 
tele^raphv or radiobroadcasting whether or not 
comhined^ in the same housing with sound re^ 
cording or reproducing apparatus ora^lock 
Televisionreceivers ^includin^videomonitorsand 
videoprojectors^whetherornotcomhined^inthe 
same housing with radiobroadcast receivers or 
sound or video recording or reproducing apparatus 
^artssuitahle for use solely or principally with the 
apparatus of heading l^ost^^ to 8^ 
electrical apparatus for switching or protecting 
electrical circuits^or for making connections to or 
in electrical circuits 
13oards^ panels ^includin^ numerical control panels^ 
consoles^ desks^cahinets and other hases^ equipped 
with two or more apparatus of heading r^o^^ or 
^^ for electric control or the distribution of elec^ 
tricirv^in^ludin^ those incorporating instruments or 
apparatus of Chapter ^ other than switching 
apparatus of heading l^o^t^ 
tOiodes^ transistors and similar semiconductor 
devices^ex^ept wafers not ^et cut into chips ^ 
Manufacture in which the value of all the materials 
useddoes notexceed 40^ of the ex works price of 
the product 
Manufactured 
— in whi^h the value of all the materials used does not 
exceed 40 ^o of the ex works pri^e of the product, 
and 
— where the value of all the nonori^inatin^ materials 
used does notexceed the valueof the originating 
materials used^ and 
Manufactured 
— in which the value of all the materials used does not 
exceed 40^0 of the ex works price of the produ^t^ 
and 
— where the value of all the non^ori^inatin^ materials 
useddoes notex^eedthevalueof theori^inatin^ 
materials used 
Manufactured 
— in which the value of all the materials used does not 
exceed 40^oof the ex works price of the product, 
and 
— where the value of all the nonDori^inatin^ materials 
used doesnotexceed thevalueof the originating 
materials used 
Manufactured 
— in whi^h the value of all the materials used does not 
exceed40^oof the ex works price of the products 
and 
— where the value of all the nonDori^inatin^ materials 
used does notexceed the valueof the originating 
materials used 
Manufactured 
— in which the value of all the materials used does not 
exceed 40^of the ex works price of the products 
and 
— where^ within the ahove limits the materials 
classified within heading ^o^^ are onhB used up 
to a value of tO^Bo of the ex works price of the 
product 
Manufactured 
— in which the value of all the materials used does not 
exceed 40 ^o of the ex works price of the produce 
and 
— where^ within the ahove limits the materials 
classified within heading ^lo^^ are onl^ used up 
to avalue of tO^Bo of the ex works price of the 
product 
Manufactured 
— in which the value of all the materials used does not 
exceed 40 ^o of the ex works price of the products 
and 
— where^ within the ahove limits the materials 
^lassifiedwithinthesameheadin^as the products 
are onlv used up to a value of tO^i of the ex 
works price of the product 
No C 95/114 Official Journal of the European Communities 11. 4. 91 
(i) 
8542 
8544 
8545 
8546 
8547 
8548 (2) 
Electronic integrated circuits and microassemblies 
Insulated (including enamelled or anodized) wire, 
cable (including co-axial cable) and other insulated 
electric conductors, whether or not fitted with 
connectors; optical fibre cables, made up of 
individually sheathed fibres, whether or not 
assembled with electric conductors or fitted with 
connectors 
Carbon electrodes, carbon brushes, lamp carbons, 
battery carbons and other articles of graphite or 
other carbon, with or without metal, of a kind used 
for electrical purposes 
Electrical insulators of any material 
Insulating fittings for electrical machines, appliances 
or equipment, being fittings wholly of insulating 
material apart from any minor components of metal 
(for example, threaded sockets) incorporated 
during moulding solely for purposes of assembly 
other than insulators or heading No 8546; electrical 
conduit tubing and joints therefor, of base metal 
lined with insulating material 
Electrical parts of machinery or apparatus, not 
specified or included elsewhere in this chapter (3) 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within heading No 8541 or 8542, taken 
together, are only used up to a value of 10 % of 
the ex works price of the product 
Manufacture in which the value of all the materials 
used does not exceed 40 °/o of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
8601 
to 
8607 
8608 
8609 Railway or tramway locomotives, rolling-stock and 
parts thereof 
Railway or tramway track fixtures and fittings; 
mechanical (including electromechanical) 
signalling, safety or traffic control equipment for 
railways, tramways, roads, inland waterways, 
parking facilities, port installations or airfields; 
parts of the foregoing 
Containers (including containers for die transport 
of fluids) specially designed and equipped for 
carriage by one or more modes of transport Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 10 % of the ex 
works price of the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
ex Chapter 87 
8709 Vehicles other than railway or tramway 
rolling-stock and parts and accessories thereof; 
except for those falling within the following 
headings or parts of headings for which the rules 
are set out below: 
8709 to 8711, ex 8712, 8715 and 8716 
Works trucks, self-propelled, not fitted with lifting 
or handling equipment, of the type used in 
factories, warehouses, dock areas or airports for 
short distance transport of goods; tractors of the 
type used on railway station platforms; parts of the 
foregoing vehicles Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 10 % of the ex 
works price of the product 
11.4.91 Official Journal of the European Communities No C 95/115 
(2) 
Tanks and other armoured fighting vehicles, 
motorized, whether or not fitted with weapons, and 
parts of such vehicles 
Motorcycles (including mopeds) and cycles fitted 
with an auxiliary motor, with or without side-cars; 
side-cars 
Bicycles without ball bearings 
Baby carriages and parts thereof 
Trailers and semi-trailers; other vehicles, not 
mechanically propelled; parts thereof (3) 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 10 % of the ex 
works price of the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where the value of all the non-originating materials 
used does not exceed the value of the originating 
materials used 
Manufacture from 
heading No 8714 
Manufacture: materials not classified within 
— in which the value of all the materials used does not 
exceed 40 °/o of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 10 % of the ex 
works price of the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 °/o of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 10 % of the ex 
works price of the product 
Parts of goods of heading No 8801 or 8802 
Parachutes (including dirigible parachutes) and 
rotochutes; parts thereof and accessories thereto: 
— Rotochutes 
— Other 
Aircraft launching gear; deck-arrestor or similar 
gear; ground flying trainers; parts of the foregoing 
articles Manufacture in which the value of all the materials of 
heading No 8803 used does not exceed 5 % of the ex 
works price of the product 
Manufacture from materials of any heading including 
other materials of heading No 8804 
Manufacture in which the value of all the materials of 
heading No 8804 used does not exceed 10 % of the ex 
works price of the product 
Manufacture in which the value of all the materials of 
heading No 8805 used does not exceed 5 % of the ex 
works price of the product 
Ships, boats and floating structures Manufacture in which all the materials used are 
classified within a heading other than that of the 
product. However, hulls of neading No 8906 may not 
be used 
Optical, photographic, cinematographic, measuring, 
checking, precision, medical or surgical instruments 
and apparatus; parts and accessories thereof; except 
for those falling within the following headings or 
parts of headings for which the rules are set out 
below: 
9001, 9002, 9004, ex 9006, ex 9014, 9015 to ex 
9018 and 9024 to 9033 Manufacture: 
— in which the value of all the materials used does not 
exceed 40 °/p of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 10 % of the ex 
works price of the product 
No C 95/116 Official Journal of the European Communities 11.4.91 
(2) 
Optical fibres and optical fibre bundles; optical 
fibre cables other than those of heading No 8544; 
sheets and plates of polarizing material; lenses 
(including contact lenses), prisms, mirrors and 
other optical elements, of any material, unmounted, 
other than such elements of glass not optically 
worked 
Lenses, prisms, mirrors and other optical elements, 
of any material, mounted, being parts of or fittings 
for instruments or apparatus, other than such el­
ements of glass not optically worked 
Spectacles, goggles and the 
protective or other like, corrective, 
Photographic (other than cinematographic) 
cameras, other than the following: 
— Cameras of a kind used for preparing printing 
plates or cylinders 
— Cameras of a kind used for recording 
documents on microfilm, microfiche or other 
microforms 
— Cameras specially designed for underwater use, 
for aerial survey or for medical or surgical 
examination of internal organs; comparison 
cameras for forensic or criminological purposes 
— Instant print cameras 
— Other cameras: 
— With a through-the-lens vicwfinder (single 
lens reflex (SLR)), for roll film or a width 
not exceeding 35 mm 
— Other, for roll film of a width less than 
35 mm 
— Other, for roll film of a width of 35 mm 
Other navigational instruments and appliances 
Surveying (including photogrammetrical surveying), 
hydrographic, oceanographic, hydrological, meteo­
rological or geophysical instruments and appliances, 
excluding compasses; rangefinders 
Balances of a sensitivity of 5 eg or better, with or 
without weights 
Drawing, marking-out or mathematical calculating 
instruments (for example, drafting machines, panto­
graphs, protractors, drawing sets, slide rules, disc 
calculators); instruments for measuring length, for 
use in the hand (for example, measuring rods and 
tapes, micrometers, callipers), not specified or 
included elsewhere in this chapter 
Dentists' chairs incorporating dental appliances or 
dentists' spittoons 
Machines and appliances for testing the hardness, 
strength, compressibility, elasticity or other mech­
anical properties of materials (for example, metals, 
wood, textiles, paper, plastics) (3) 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 45 % of the ex-works price of the product, 
and 
— where, within the above limit, the materials 
classified in the same heading as the.product are 
only used up to a value of 10 % of the ex-works 
price of the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture from materials of any heading, including 
other materials of heading No 9018 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
11. 4. 91 Official Journal of the European Communities No C 95/117 
(2) 
Hydrometers and similar floating instruments, ther­
mometers, pyrometers, barometers, hygrometers 
and psychrometers, recording or not, and any 
combination of these instruments 
Instruments and apparatus for measuring or 
checking the flow, level, pressure or other variables 
of liquids or gases (for example, flow meters, level 
gauges, manometers, heat meters), excluding 
instruments and apparatus of heading No 9014, 
9015, 9028 or 9032 
Instruments and apparatus for physical or chemical 
analysis (for example, polarimeters, refractometers, 
spectrometers, gas or smoke analysis apparatus); 
instruments and apparatus for measuring or 
checking viscosity, porosity, expansion, surface 
tension or the like; instruments and apparatus 
for measuring or checking quantities of heat, sound 
or light (including exposure meters); microtomes 
Gas, liquid or electricity supply or production 
meters, including calibrating meters therefor: 
Revolution counters, production counters, 
taximeters, mileometers, pedometers and the like; 
speed indicators and tachometers, other than those 
of heading No 9014 or 9015; stroboscopes 
Oscilloscopes, spectrum analysers and other 
instruments and apparatus for measuring or 
checking electrical quantities, excluding meters of 
heading No 9028; instruments and apparatus for 
measuring or detecting alpha, beta, gamma, X-ray, 
cosmic or other ionizing radiations 
Measuring or checking instruments, appliances and 
machines, not specified or included elsewhere in 
this chapter; profile projectors 
Automatic regulating or controlling instruments 
and apparatus 
Parts and accessories (not specified or included 
elsewhere in this chapter) for machines, appliances, 
instruments or apparatus of Chapter 90 (3) 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 °/o of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Clocks and watches and parts thereof; except for 
those falling under the following headings for 
which the rules are set out below: 
9101 to 9105 and 9110 to 9113 
Watches and clocks 
Complete watch or clock movements, unassembled 
or partly assembled (movement sets); incomplete 
watch or clock movements, assembled; rough 
watch or clock movements Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 45 % of the ex-works price of 
the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within heading No 9114 are only used up 
to a value of 10 % of the ex works price of the 
product 
No C 95/118 Official Journal of the European Communities 11. 4. 91 
(1) 
9111 
9112 
9113 
Chapter 92 
Chapter 93 
ex 9401 
and 
ex 9403 
9405 
9406 (2) 
Watch cases and parts thereof 
Clock cases and cases of a similar type for other 
goods of this chapter, and parts thereof 
Watch straps, watch bands and watch bracelets, 
and parts thereof: 
— Of base metal, whether or not plated, or clad 
with precious metal 
— Other 
Musical instruments; parts and accessories of such 
articles 
Arms and ammunitions; parts and accessories 
thereof 
Base metal furniture, incorporating unstuffed 
cotton cloth of a weight of 300 g/m1 or less 
Lamps and lighting fittings including searchlights 
and spotlights and parts thereof, not elsewhere 
specified or included; illuminated signs, illuminated 
name-plates and the like, having a permanently 
fixed light source, and parts thereof not elsewhere 
specified or included 
Prefabricated buildings (3) 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 10 % of the ex 
works price of the product 
Manufacture: 
— in which the value of all the materials used does not 
exceed 40 % of the ex works price of the product, 
and 
— where, within the above limit, the materials 
classified within the same heading as the product 
are only used up to a value of 10 % of the ex 
works price of the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 40 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
Manufacture in which all the materials used are 
classified within a heading other than that of the 
product 
or 
Manufacture from cotton cloth already made up in a 
form ready for use of heading No 9401 or 9403, 
provided: 
— its value does not exceed 25 % of the ex works 
price of the product, and 
— all the other materials used are already originating 
and are classified within a heading other than 
heading No 9401 or 9403 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
11.4.91 Official Journal of the European Communities No C 95/119 
(2) 
Other toys; reduced-size ('scale') models and 
similar recreational models, working or not; 
puzzles of all kinds 
Finished golf club heads 
Fishing rods, fish-hooks and other line fishing 
tackle; fish landing nets, butterfly nets and similar 
nets; decoy 'birds' (other than those of heading No 
9208 or 9707) and similar hunting or shooting 
requisites: 
— Mounted fish hooks with artificial bait; 
mounted fishing lines including casts (3) 
Manufacture in which: 
— all the materials used are classified within a heading 
other than that of the product, and 
— provided the value of all the materials used does 
not exceed 50 % of the ex works price of the 
product 
Manufacture from roughly shaped blocks 
Manufacture in which all the materials used are 
classified in a heading other than that of the product. 
However, materials classified in the same heading may 
be used provided their value does not exceed 25 % of 
the ex works price of the product 
Articles of animal, vegetable or mineral carving 
materials 
Brooms and brushes, (except for besoms and the 
like and brushes made from marten or squirrel 
hair), hand-operated mechanical floor sweepers, 
not motorized, paint pads and rollers, squeegees 
and mops 
Travel sets for personal toilet, sewing or shoe or 
clothes cleaning 
Buttons, press-fasteners, snap-fasteners and press-
studs, button moulds and other parts of these 
articles; button blanks 
Ball point pens; felt tipped and other porous-tipped 
pens and markers; fountain pens, stylograph pens 
and other pens; duplicating stylos; propelling or 
sliding pencils; pen-holders, pencil-holders and 
similar holders; parts (including caps and clips) of 
the foregoing articles, other than those of heading 
No 9609: 
— Fountain pens, stylograph pens and other pens 
with nibs Manufacture from 'worked' carving materials of the 
same heading 
Manufacture in which the value of all the materials 
used does not exceed 50 % of the ex works price of 
the product 
Each item in the set must satisfy the rule which would 
apply to it if it were not included in the set. However, 
non-originating articles may be incorporated, provided 
their total value does not exceed 15 % of the ex works 
price of the set 
Manufacture in which: 
— all the materials used are classified within a heading' 
other than that of the product, and 
— the value of all the materials used does not exceed 
50 % of the ex works price of the product 
Manufacture in which all the materials used are 
classified in a heading other than that of the product. 
However, nibs or nib points may be used and the other 
materials classified within the same heading may also 
be used provided their value does not exceed 10 % of 
the ex works price of the product 
No C 95/120 Official Journal of the European Communities 11. 4. 91 
(1) 
9612 
ex 9614 (2) 
Typewriter or similar ribbons, inked or otherwise 
prepared for giving impressions, whether or not on 
spools or in cartridges; ink-pads, whether or not 
inked, with or without boxes 
Smoking pipes or pipe bowls (3) 
Manufacture in which 
— all the materials used are classified within a heading 
other than that of the product, and 
— the value of all the materials used does not exceed 
50 % of the ex works price of the product 
Manufacture from roughly shaped blocks 
11.4.91 Official Journal of the European Communities No C 95/121 
Annex 3 to Annex II 
The term 'ACP States' in this Annex refers to the following States which are signatories to the fourth 
ACP-EEC Convention signed in Lom6 on 15 December 1989. This shall be without prejudice to any 
amendments to the list. 
Angola 
Antigua and Barbuda 
Bahamas 
Barbados 
Belize 
Benin 
Botswana 
Burkina Faso 
Burundi 
Cameroon 
Cape Verde 
Central African Republic 
Chad 
Comoros 
Congo 
Cote d'lvoire 
Djibouti 
Dominica 
Dominican Republic 
Equatorial Guinea 
Ethiopia 
Fiji 
Gabon 
Gambia 
Ghana 
Grenada 
Guinea 
Guinea-Bissau 
Guyana 
Haiti 
Jamaica 
Kenya 
Kiribati 
Lesotho Liberia 
Madagascar 
Malawi 
Mali 
Mauritania 
Mauritius 
Mozambique 
Niger 
Nigeria 
Papua New Guinea 
Rwanda 
Saint Kitts and Nevis 
Saint Lucia 
Saint Vincent and the Grenadines 
Sao Tomfe and Principe 
Senegal 
Seychelles 
Sierra Leone 
Solomon Islands 
Somalia 
Sudan 
Suriname 
Swaziland 
Tanzania 
Togo 
Tonga 
Trinidad and Tobago 
Tuvalu 
Uganda 
Vanuatu 
Western Samoa 
Zaire 
Zambia 
Zimbabwe 
No C 95/122 Official Journal of the European Communities 11. 4. 91 
Annex 4 to Annex II 
FORM FOR MOVEMENT CERTIFICATES 
1. Movement certificates EUR. 1 shall be made out on the form of which a specimen appears in this 
Annex. This form shall be printed in one or more of the official languages of the Community. 
Certificates shall be made out in one of these languages and in accordance with the provisions of the 
domestic law of the exporting State or OCT; if they are handwritten, they shall be completed in ink and 
in capital letters. 
2. Each certificate shall measure 210 x 297 mm, a tolerance of up to plus 8 mm or minus 5 mm in the 
length may be allowed. The paper used must be white, sized for writing, not containing mechanical pulp 
and weighing not less than 65 g/m2. It shall have a printed green guilloche pattern background making 
any falsification by mechanical or chemical means apparent to the eye. 
3. The exporting States and the competent authorities of the exporting OCT may reserve the right to print 
the certificates themselves or may have them printed by approved printers. In the latter case each 
certificate must include a reference to such approval. Each certificate must bear the name and address of 
the printer or a mark by which the printer can be identified. It shall also bear a serial number, either 
printed or not, by which it can be identified. 
4. Forms of the kind given in Annex 5 to Annex II to Decision 86/283/EEC may continue to be used until 
stocks are exhausted or until 31 December 1992 at the latest. 
11. 4. 91 Official Journal of the European Communities No C 95/127 
Annex 5 to Annex II 
FORM EUR. 2 
1. Form EUR. 2, a specimen of which appears in this Annex, shall be completed by the exporter. It shall be 
made out in one of the official languages of the Community and in accordance with the provisions of 
the domestic law of the exporting OCT. If it is handwritten it must be completed in ink in capital 
letters. 
2. Form EUR. 2 shall consist of a single sheet measuring 210 x 148 mm. The paper used shall be white, 
sized for writing, not containing mechanical pulp and weighing not less than 65 g/m2. 
3. The States and the responsible authorities of the exporting OCT may reserve the right to print the 
forms themselves or may have them printed by printers they have approved. In the latter case each form 
must include a reference to such approval. In addition, each form shall bear the distinctive sign 
attributed to the approved printer and a serial number, either printed or not, by which it can be iden­
tified. 
4. Forms of the kind given in Annex 6 to Annex II to Decision 86/283/EEC may continue to be used until 
stocks are exhausted or until 31 December 1992 at the latest. 
11. 4. 91 Official Journal of the European Communities No C 95/131 
Annex 6 A to Annex II 
DECLARATION FOR PRODUCTS HAVING PREFERENTIAL ORIGIN STATUS 
I, the undersigned, declare that the goods listed on this invoice (') 
were produced in . (2) 
and satisfy the rules of origin governing preferential trade between the ACP States and the 
European Community. 
I undertake to make available to the customs authorities, if required, evidence in support of this 
declaration. 
o (4) 
o 
Note: 
The text inside the box, suitably completed in conformity with the footnotes below, constitutes a suppliers' 
declaration. The footnotes do not have to be reproduced. 
(') — If only some of the goods listed on the invoice are concerned they should be clearly indicated or marked and this 
marking entered on the declaration as follows: ' listed on this invoice and marked were 
{•reduced '. 
f a document other than the invoice or an annex to the invoice is used (see Article 3), the name of the document 
concerned shall be mentioned instead of the word 'invoke'. 
(*) The Community, Member State, ACP State or OCT. Where an ACP State or OCT is given, a reference must also be 
made to the Community customs office holding any EUR. l(s) or EUR. 2(s) concerned, giving the No of the 
certificate(s) or form(s) concerned and, if possible, the relevant customs entry No involved. 
(') Place and date. 
(4) Name and function in company. 
(') Signature. 
No C 95/132 Official Journal of the European Communities 11.4.91 
Annex 6 B to Annex II 
DECLARATION FOR PRODUCTS NOT HAVING PREFERENTIAL ORIGIN STATUS 
I, the undersigned, declare that the goods listed on this invoice (') were 
produced in (2) and incorporate the following components or materials 
which do not have Community origin for preferential trade: 
o o o 
(*) 
I undertake to make available to the customs authorities, if required, evidence in support of this 
declaration. 
O (') 
C) 
Note: 
The text inside the box, suitably completed in conformity with the footnotes below, constitutes a suppliers' 
declaration. The footnotes do not have to be reproduced. 
(') —- If only some of the goods listed on the invoice are concerned they should be clearly indicated or marked and this 
marking entered on the declaration as follows:' listed on this invoice and marked were produced 
— If a document other than the invoice or an annex to the invoice is used (see Article 3), the name of the document 
concerned shall be mentioned instead of the word 'invoice'. 
(') The Community, Member State, ACP State or OCT. 
(') Description is to be given in all cases. The description must be adequate and should be sufficiently detailed to allow the 
tariff classification or the goods concerned to be determined. 
(4) Customs values to be given only if required. 
(s) Country of origin to be given only if required. The origin to be given must be a preferential origin, all other origins to 
be given as 'third country'. 
(') 'and have undergone the following processing in (the Community) (Member State) (ACP State) (OCT) ,' to be 
added with a description of the processing carried out if this information is required. 
(') Place and date. 
(') Name and function in company. 
(') Signature. 
11.4.91 Official Journal of the European Communities No C 95/133 
Annex 7 to Annex II 
INFORMATION CERTIFICATE 
1. The form of information certificate given in this Annex shall be used and be printed in one or more of 
the official languages of the Community and in accordance with the provisions of the domestic law of 
the exporting State. Information certificates shall be completed in one of those languages; if they are 
handwritten, they shall be completed in ink in capital letters. The shall bear a serial number, whether or 
not printed, by which they can be identified. 
2. The information certificate shall measure 210 x 297 mm, a tolerance of up to plus 8 mm or minus 5 mm 
in the length may be allowed. The paper must be white, sized for writing, not containing mechanical 
pulp and weighing not less than 60 g/m2. 
3. The national administrations may reserve the right to print the forms themselves or may have them 
printed by printers approved by them. In the latter case, each form must include a reference to such 
approval. The forms shall bear the name and address of the printer or a mark by which the printer can 
be identified. 
11. 4. 91 Official Journal of the European Communities No C 95/137 
Annex 8 to Annex II 
LIST OF PRODUCTS REFERRED TO IN ARTICLE J3 WHICH ARE TEMPORARILY 
EXCLUDED FROM THE SCOPE OF THIS ANNEX 
HS heading No 
ex 
ex 
ex 
ex 
ex 
ex 2707 
2709 to 2715 
2901 
2902 
3403 
3404 
3811 Description of product 
Oils in which the weight of the aromatic constituents exceeds that of the 
non-aromatic constituents, being oils similar to mineral oils obtained by distil­
lation of high temperature coal tar, of which more than 65 % by volume distills at 
a temperature of up to 250 °C (including mixtures of petroleum spirit and 
benzole), for use as power of heating fuels 
Mineral oils and products of their distillation; bituminous substances; mineral 
waxes 
Acylic hydrocarbon for use as power or heating fuels 
Cyclanes and cyclenes (other than azuienes), benzene, toluene, xylenes, for use as 
power or heating fuels 
Lubricating preparations containing petroleum' oils or oils obtained from bitumi­
nous minerals, provided they represent less than 70 % by weight 
Artificial waxes and prepared waxes with a basis of paraffin, petroleum waxes, 
waxes obtained from bituminous minerals, slack wax or scale wax 
Prepared additives for lubricating oil, containing petroleum oils or oils obtained 
from bituminous minerals 
No C 95/140 Official Journal of the European Communities 11. 4. 91 
NOTES 
1. If the boxes in the form are not sufficient to contain all relevant information, additional pages may be 
attached to the form. In this case, the mention 'see Annex' shall be entered in the box concerned. 
2. If possible, samples or other illustrative material (pictures, designs, catalogues, etc.) of the final 
product and of the materials should accompany the form. 
3. A form shall be completed for each product covered by the request. 
Boxes 3, 4, 5, 7: 'third country' meaning any country which is not an ACP or Community State or 
OCT. 
Box 12: If third country materials have been worked or processed in the Community or in 
the OCT without obtaining origin, before being further processed in the ACP State 
requesting the derogation, indicate the working or processing carried out in the 
Community or OCT. 
Box 13: The dates to be indicated are the initial and final one of the period in which EUR. 1 
certificates may be issued under the derogation. 
Box 18: Indicate either the percentage of added value in respect of the ex-works price of 
the product or the monetary amount of added value for unit of product. 
Box 19: If alternative sources of materials exist, indicate here what they are and, if 
possible, the reasons of cost or other why they are not used. 
Box 20: Indicate possible further investments or suppliers differentiation which make the 
derogation necessary for only a limited period of time. 
11. 4. 91 Official Journal of the European Communities No C 95/141 
ANNEX III 
On safeguard measures 
The provisions of Article 109 of the Decision shall be implemented as follows: 
Article 1 
1. If a Member State asks the Commission for application of safeguard measures in 
accordance with Article 109 of the Decision and the Commission decides not to apply them, 
the Commission shall inform the Council, the Member States an4 the relevant authorities of 
the OCT accordingly within three working days. 
Any Member State may refer the Commission's decision to the Council within 10 working days 
of its notification. 
The Council, acting by a qualified majority, may adopt a different decision within 21 working 
days. 
2. Where the Commission, at the request of a Member State or on its own initiative, decides 
that the safeguard measures provided for in Article 109 of the Decision should be applied, it 
shall consult a committee made up of representatives of the Member States and chaired by a 
Commission representative. 
3. Following consultation with the committee referred to in paragraph 2, the Commission 
may take appropriate measures to implement Article 109 of the Decision. 
4. The Council, the Member States and the relevant authorities of the OCT shall be notified 
immediately of the decision referred to in paragraph 3. 
It shall be immediately applicable. 
5. Any Member State may refer the Commission's decision referred to in paragraph 3 to the 
Council within 10 working days of receiving notification of the decision. 
6. Should the Commission fail to adopt a decision within 21 working days, any Member 
State that has brought the matter before the Commission in accordance with paragraph 2 may 
refer it to the Council. 
7. In the cases referred to in paragraphs 5 and 6, the Council, acting by a qualified majority, 
may adopt a different decision within 21 working days. 
Article 2 
1. The Commission may take, or authorize a Member State to take, immediate safeguard 
measures. 
2. If the Commission receives a request from a Member State, it shall take a decision 
thereon within three working days of receipt of the request. 
It shall notify the Council, the Member States and the relevant authorities of the OCT of its 
decision. 
No C 95/142 Official Journal of the European Communities 11. 4. 91 
3. Any Member State may refer the Commission's decision to the Council in accordance 
with the procedure set out in Article 1 (5). 
The procedure provided for in Article 1 (7) shall be applicable. 
Article 3 
This Annex shall not preclude application of the Regulations establishing a common organ­
ization of agricultural markets, or Community or national administrative provisions derived 
therefrom or the specific rules adopted under Article 235 of the Treaty for processed agri­
cultural products, but shall be complementary to them. 
11491 OfficialJoumalofthe European Communities l^oC9^B14^ 
Until the entry into force ofacommon organization of the market in spirits, products of Cl^ 
codes 2208 40 10, 2208 4090, 2208 9011 and 2208 9019 originating in the OCTshall he 
imported exempt from duty in accordance ^ith the provisions belo^v. 
Blr^2 
^ Byderogationfrom Article 101 ^ of thisDecision, theCouncil, acting by aqualified 
majority onaproposal from the Commission, shall each year, until^lDecemberl995,fi^ 
the quantities ^hich may be imported exempt from customs duties. 
These quantities shall be established as follo^s^ 
— until^l December 199^, on the basis of the largest annual quantities imported from the 
OCT into the Community in the last threeyears for^hich statistics are available, 
increased, in the period unni^l December 1992, by an annual growth rate of 2^ ^o. 
The Council, acting unanimously onaproposal from the Commission, may each year 
increase or reduce the growth rate laid do^rn above in the light of Community 
consumptionandproductionanddevelopmentsintradeflo^s^ithintheCommunity 
and between the Community,theOCTand the ACR states. 
The volumeof the annual quantity shall in nocasebe less than 1^000 hi of pure 
alcohol 
— Tor 1994 and 199^, the volume of the total quota shall in each case be equal to that of 
the previous year increased byl^40 hi of pure alcohol. 
^ Ror the arrangements applicable from 199^, the Council, acting byaqualified majority on 
aproposal from the Commission, shall establish, beforelRebruary 199^, on the basis ofa 
report that the Commission ^ill send to the Council before 1 Rebruary 1994, the 
arrangements for the projected abolition of the Community tariff quota, taking into 
account the situation and prospects on the Community rum market and of the exports of 
the OCT andACR states 
The products referred toinArticlelshall be placed under Community surveillance according 
to detailed arrangements to be laid do^rn by the Council ^rhen it adopts the measures provided 
forinArticle2^. 
At the request of the relevant authorities of the OCTand pursuant to the provisions of Part ^, 
Titlel,Chapter2of theDecision,theCommunityshallassisttheOCTinpromotingand 
expanding their salesof rum ontraditionaland nonDtraditionalmarketsof theCommunity. 
No C 95/144 Official Journal of the European Communities 11.4.91 
ANNEX V 
On movements of hazardous waste and radioactive waste 
Keenly aware of the specific risks attaching to radioactive waste, the Member States and the 
relevant authorities of the OCT will refrain from any practice of discharging such waste which 
would encroach upon the sovereignty of States or threaten the environment or public health in 
other countries. They attach the greatest importance to developing international cooperation to 
protect the environment and public health against such risks. They accordingly affirm their 
determination to play an active part in the work being done in the IAEA to produce an inter­
nationally approved code of good practice. 
Until such time as a more precise definition is formulated in that framework, the term 'radio­
active waste' will be taken to mean any material for which no further use is envisaged and 
which contains or is contaminated by radionuclides of which the levels of radioactivity or the 
concentrations exceed the limits which the Community has set itself for protecting its own 
population in Article 4 (a) and (b) of Directive 80/836/Euratom, as last amended by Directive 
84/467/Euratom. As regards levels of radioactivity, these limits range from 5 x 10} becquerel 
for nuclides of very high radiotoxicity to 5 x 10* becquerel for those of low radiotoxicity. As 
regards concentrations, these limits are 100 Bq.g-1 and 500 Bq.g-1 for solid natural radioactive 
substances. 
ANNEX VI 
Commission declaration on Article 14 
(to be added to the Council minutes) 
In its role of administrator of development finance cooperation, notably the EDF, the 
Commission undertakes to carry out an environmental impact study complying with the 
minimum requirements set out in the second paragraph of Article 14 for all large-scale projects 
and those posing a serious risk for the environment. 
It will also seek the opinion of the authorities responsible for the environment in the country or 
territory concerned, which shall be responsible for sounding out public opinion.