19.12.83 Official Journal of the European Communities No C 341/33 
5.4. In scrutinizing pricing policy as a factor in 
business strategy, attention is unfortunately con­
fined to book-publishing and the motor vehicle 
industry. An in-depth study is required, with parti­
cular emphasis on the following sectors; insurance, 
pharmaceutical products, bank loan facilities avail­
able to businesses (interest rates and selection cri­
teria), energy and building materials. 
Economic background to competition policy 
6.1. The lowering of the common external tariff 
has significantly reduced customs barriers and 
opened up the Community to international competi­
tion. Seen from outside the Community, some 
national aids could be regarded as tantamount to 
dumping, especially as there can be no attempt at 
concealment, and information is freely available to 
non-member countries. 
6.2. Consequently, the Community has to compete 
with (a) high technology countries (United States, 
Japan) and (b) LDCs producing labour-intensive 
manufactures such as textiles and footwear. 
6.3. During its first twenty years, the EEC fol­
lowed the path of free trade in industry and 'plan­
ning' in agriculture (the CAP). Recent economic 
straits have prompted a shift in approach. If the Community is to be able to compete on interna­
tional markets, there is call for: 
— a common industrial policy or, failing that, a 
Community strategy reflecting changes in the 
international division of labour, 
— greater selectivity so as to channel a major share 
of aid into those sectors with greatest export 
potential, 
— possible implementation, if the interests of the 
Community's trade policy so demand, of the 
protection arrangements provided for in the 
Treaty of Rome, bearing in mind (a) sectors that 
are competitive on world markets, (b) new tech-
nolgies and (c) available funding. In particular, 
the new instrument finally proposed by the 
Commission to protect Europe against the 
unfair commercial practices of third countries 
should be approved as soon as possible and 
should be implemented with firmness and con­
sistency. These unfair practices are frequently 
the expression of protectionism and unilateral 
restrictions which are in contradiction and viol­
ation of Community and international agree­
ments. 
6.4. Further, the practical implementation by 
Member States of the recent Council Directive on 
technical standards and rules would seem to be a 
key factor in preventing distortion of competition 
within the Community. 
Done at Brussels, 29 September 1983. 
The Chairman 
of the Economic and Social Committee 
Fran<?ois CEYRAC 
Opinion on the proposal for a Council Decision adopting the first European strategic 
programme for research and development in information technologies (Esprit) 
The text referred to the Committee has been published in Official Journal of the Euro­
pean Communities No C 321 of 26 November 1983. 
A. LEGAL BASIS FOR THE OPINION 
On 17 June 1983 the Council referred the abovementioned proposal to the Economic 
and Social Committee in accordance with Article 198 of the Treaty establishing the 
European Economic Community. 
No C 341/34 Official Journal of the European Communities 19. 12. 83 
B. OPINION OF THE ECONOMIC AND SOCIAL COMMITTEE 
The Economic and Social Committee prepared its opinion on the above matter at its 
210th plenary session held in Brussels on 28 and 29 September 1983. 
The full text of the opinion is as follows: 
THE ECONOMIC AND SOCIAL COMMITTEE, 
Having regard to the Treaty establishing the Euro­
pean Economic Community, and in particular 
Article 198 thereof, 
Having regard to the request made by the Council 
of the European Communities on 24 June 1983 for 
an opinion on the proposal for a Council Decision 
adopting the first European strategic programme for 
research and development in information technolo­
gies (Esprit), 
Having regard to the decision taken by its Bureau 
on 5 July 1983, instructing the Section for Industry, 
Commerce, Crafts and Services to draw up an opi­
nion on the matter, 
Having regard to the opinion prepared by that Sec­
tion at its meeting on 7 September 1983. 
Having regard to the report submitted by the rappor­
teur, Mr Nierhaus, 
Having regard to the discussions at its meeting on 
29 September 1983 (210th plenary session of 28 and 
29 September 1983). 
HAS ADOPTED THE FOLLOWING OPINION 
with no votes against and one abstention: 
1. Introduction 
1.1. The Committee welcomes the Commission 
proposal for a Community programme for research 
and development in information technologies, with 
special emphasis on the following five areas: 
micro-electronics, computer-aided manufacture, 
software technology, advance information process­
ing and office automation. 
The Committee would observe that the conclusions 
of the European Councils of 21 and 22 March 1983 
and 17 and 19 June 1983 on information and com­
munication technologies also point in the same 
direction. 1.2. The present opinion also takes account of 
COM(82) 287 (Commission communication to the 
Council about Esprit) and COM(82) 486 and 737 
(Foundations for Esprit: Pilot Phase) ('). 
2. Objectives 
2.1. There has been an exceptional surge in the 
development and diffusion of information technolo­
gies throughout the world, particularly in the last 
few years. This is a highly dynamic sector, which 
means that new research and development findings 
are being translated into marketable products more 
and more quickly, and these products in turn 
become technologically outdated just as fast if they 
do not undergo continuous development in the light 
of new research findings. 
At present, the United States and Japan are the 
leaders in this field, followed — at some distance — 
by the European Community. However, the latter 
will be able to maintain and improve its position 
only if exceptional efforts are made at national and 
Community level to press ahead with research and 
development, and to convert the findings into mar­
ketable products. 
The Committee expressly welcomes the Commis­
sion's plan and approves the present programme, 
especially as information technologies are crucial to 
economic and technological development as a 
whole. 
It is unanimously of the view that the development 
and application of information technologies must 
make a considerable contribution towards solving 
the economic and employment problems in the 
Member States. All industrial sectors are subject to 
the impact of information technologies. An example 
is the machine tool industry in the Community, 
which will only be able to keep its position as the 
world's largest producer of machine tools if it 
devises a positive strategy enabling it to keep pace 
with developments in electronics. 
(') Opinion adopted by the ESC in November 1982 (OJ 
No C 346, 31. 12. 1982, p. 13). 
19. 12. 83 Official Journal of the European Communities No C 341/35 
In approving the programme, the Committee is 
aware that the development of information technol­
ogy will have far-reaching effects on all areas of 
human life. There are considerable opportunities for 
economic and socio-cultural progress but also risks 
of undesirable political and economic develop­
ments. But the information technology sector will 
develop largely independently of the ranking of the 
European industry. The possibility of the European 
industry playing a greater part in shaping technolog­
ical developments does, however, in the Com­
mittee's view, provide a greater chance of reducing 
the risks and — by taking the effects into account at 
an early stage — ensuring that the applications of 
results are tailored to the particular needs of people 
in Europe with their specific cultural backgrounds. 
2.2. The Committee views the coordination and 
stimulation of research — as proposed in the Esprit 
programme — as a suitable first point of departure 
for Community promotion schemes, for the follow­
ing reasons: 
— it is in this sphere that the Community has the 
best prospects of catching up technologically 
with the USA and Japan in the longer term, 
— in the present circumstances competition within 
the Community will not be adversely affected 
by such promotion schemes; this will benefit 
and encourage cooperation between the firms 
concerned, 
— as a result, the development of a European stan­
dards system based on the Community's own 
technological research and development in this 
sphere will be stimulated, 
— individual firms and governments are incapable 
of raising the funds needed for the entire Esprit 
area of research and development; this can only 
be done jointly with the Community, particu­
larly as such research (which is not directly market-
related) entails heavy financial risks. 
Through the intended close cooperation, transcend­
ing national frontiers, between governments, indus­
try, higher education institutes and other research 
establishments, the trade unions and interested 
members of the general public, Esprit can help to 
attain the political objective of greater inter-
penetration of the Member States' economies. 
2.3. The Committee understands that, from the 
pilot phase onwards, forms of intra-European coop­
eration in the field of information technology 
between national authorities, research and develop­ment units in industry, institutes of higher education 
and scientific institutions will be developed, tested 
and ultimately consolidated in order to bring about 
a lasting improvement in the technological condi­
tions for Community competitiveness in the world 
economy. 
The Committee therefore welcomes the Commis­
sion's declaration that Esprit will be not just simply 
financial assistance for a research programme but a 
carefully and selectively oriented programme with 
specific goals to ensure effective, responsible and 
transparent implementation. 
Although no priorities are fixed within the Esprit 
research areas, special importance should be 
attached to research into technical alternatives, busi­
ness structure and organizational problems, and 
measures to improve skill levels. 
3. Implementation 
3.1. The ambitious targets which the Commission 
has set itself with Esprit require commensurate 
financial and manpower resources. The Committee 
notes that the 11 500 000 ECU allocated for 1983 for 
the pilot phase is merely a beginning. Given (i) the 
vast sums which the Americans and Japanese are 
pouring into the promotion and development of 
information technologies and (ii) the in some cases 
considerable aid programmes of Member State 
governments and firms, Esprit will require a compara­
ble outlay if it is to achieve the 'critical mass' 
required to initite real qualitative technological pro­
gress. 
The Committee feels that the 1 500 million ECU 
planned for the first phase of five years, 50 % of 
which is to be provided by the Community, repre­
sents the lower limit, given the ambitious goals of 
Esprit, namely 'the achievement of technological 
parity with, if not superiority over, international 
competitors within 10 years'. However, if resources 
are concentrated on work of a very advanced nature 
and a carefully selective approach is taken, as the 
Commission proposes, this can provide an apprecia­
ble thrust in the right direction and help instil new 
self-confidence in the European information tech­
nology industry. 
3.2. The Committee is pleased that encouragement 
is to be given to intersting small, individual projects 
(Type B), as well as to complex strategic projects in 
No C 341/36 Official Journal of the European Communities 19. 12. 83 
which above all big industry will be involved 
(Type A). Type B projects are particularly suitable 
for participation by medium-sized firms, universities 
and other research institutions, as well as indivi­
duals. 
In this connection, account should be taken of the 
desirability of giving medium-sized firms involved 
in projects a higher percentage of aid in special 
cases. 
3.3. The Committee trusts that the Commission 
agrees with it that only long-term funding — 
extending over at least 10 years — until the objec­
tives of Esprit are attained will bring about the 
desired success and enable the financial risks for the 
firms and research institutions concerned to be 
assessed. 
It therefore expressly supports the programme's ini­
tial timescale of five years. It assumes that in due 
course the Council will extend the programe for a 
further five years, as provided for in Article 6 of the 
proposal for a Council decision. 
The Committee hopes that the aims of the Esprit 
projects will not be jeopardized by the excessively 
tight appropriations for research and development 
in the EC's annual budgets. 
3.4. To secure the programme's ultimate success, 
the Committee believes that it is vital for all indivi­
dual Esprit projects to be linked and geared to one 
strategic objective. In particular the pilot projects 
should be integrated in this process as far as possi­
ble. It should be remembered that such opportuni­
ties for cooperation and coordination between the 
EC Member States are a suitable means of compen­
sating for the innovation lead enjoyed by the USA 
and Japan. The requisite coordinating bodies, infor­
mation systems and long-term planning machinery 
should be set up where they do not already exist. 
Above all, an attempt must be made to achieve 
coordination with projects sponsored by national 
governments and other national research and 
development projects, in order to ensure more effec­
tive, concerted deployment of resources. Appro­
priate cooperation between research and develop­
ment in industry and institutes of higher education 
and scientific institutions must also be promoted 
under the project. This cooperation should embrace 
ergonomics and the social sciences. 
The Committee therefore supports the planned con­
sultation and coordination machinery, especially the management and coordination committee and the 
planned consultations with industry. The planned 
scientific advisory bodies should have specialists in 
ergonomics and the social sciences among their 
members. 
The Committee thinks that the planned project 
management is essential, in terms of both structure 
and number of staff to ensure that the individual 
Esprit projects are coordinated effectively and that 
the current state of work is constantly evident. 
3.5. The Committee notes that the projects spon­
sored will focus on Community-based forms and 
scientific institutions. One possible threat to the 
objective of closing the technological gap with the 
USA and Japan is that through EC-based branch 
establishments of international corporations the 
results of research might find their way to competi­
tors outside the EC before the products are ready for 
marketing. The firms involved in Esprit projects 
should be given priority when it comes to exploiting 
the research findings. 
3.6. It is appropriate that Esprit should be con­
cerned with several major areas of application of 
information technology, such as computer-aided 
manufacture, information processing, office auto­
mation, etc. Although one can agree that the main 
aim of Esprit must be the development of the Euro­
pean hardware and software industry, the success of 
the programme will not be a certainty unless those 
firms and institutions which will subsequently apply 
the technology are also involved in the programme's 
development. The Committee therefore recom­
mends that every effort be made to ensure the direct 
participation of appliers of the technology (e.g. 
manufacturers of office equipment and fittings) in 
the research projects. 
4. Special problems 
4.1. Information technologies are not merely of 
key importance for the economy. They will have 
far-reaching social repercussions and a lasting 
impact on the living conditions of the individual 
and society at large by increasing productivity not 
just in industry but in the entire system (application 
of information technologies in the health and social 
services, in public administration, in education and 
training, etc.). Their beneficial and adverse effects 
on employment, the labour market as a whole (in 
terms of both quality and quantity), and the educa-
19. 12. 83 Official Journal of the European Communities No C 341/37 
tion system, are already apparent. Research and 
development in this sphere should thus not only be 
geared to economic and technological objectives, 
but should also take into account the social implica­
tions as regards both objectives and repercussions. 
4.2. The Committee assumes that the Commission 
intends to ensure that research and development 
projects are not viewed and appraised purely in 
economic and technological terms. This would 
provide an opportunity, in close conjunction with 
specific technological developments, to give policy­
makers indications at an early stage concerning 
necessary changes in the general social environment 
with particular reference to policies on the labour 
market and education and training. Otherwise there 
would be a danger that the social implications of 
highly specialized research and development find­
ings might not be recognized until it was too late, 
with conflict as a result. 
The Committee expects the Commission to bear this 
in mind, especially when forming advisory and con­
sultation bodies. 
4.3. The Committee recognizes the danger of train­
ing failing to keep pace as regards both quantity 
and, more particularly, quality, with the rapid pro­
gress in advanced technologies. Thus the strategic 
programme should, as far as possible, promote the 
scientific training of the workforce of the future. In 
addition to industrial research, institutes of higher 
education and scientific institutions should there­
fore be involved in the projects. 
This aspect should form a further criterion for 
assessing projects and possibly justifying a higher 
percentage of aid. 
4.4. Certain technological developments will 
almost inevitably lead to changes in the skills 
required of the labour force. For instance, develop­
ments in software engineering will affect demand 
for programmers in qualitative and quantitative 
terms. Office automation will also bring changes in 
office work, with even more far-reaching implica-
Done at Brussels, 29 September 1983. tions. The Committee considers that the strategic 
programme should provide for the investigation of 
these repercussions, in addition to technological 
research and development. 
If these repercussions are taken into account at the 
start of development work, especially as regards office 
systems and computer integrated manufacturing, 
(which are areas of greater practical relevance) there 
could be less danger of spending a lot of money 
developing products that will be unable to establish 
themselves on the market for social reasons. The 
Committee agrees completely here with the Com­
mission that 'it would not make sense to start inten­
sive research and development on man-machine 
interfacing without also studying its impact on the 
individual (e.g. education, self-respect of the human 
being), on the professional environment (e.g. num­
ber of jobs, quality of work), and on society (e.g. 
impacts on the educational system and on the 
democratic process).' (COM(83) 258 final, Appen­
dix, page 36, point 27.4.4.) 
4.5. The areas of the Esprit programme which are 
of greater practical relevance — manufacturing 
techniques and office automation — will in parti­
cular have a direct impact on the volume and struc­
ture of imployment. The Committee would therefore 
urge that representatives of employers and trade 
unions be involved at an early stage in the working-
out of individual projects and the evaluation of the 
results, so that not only the technological aspects 
but also the effects on the labour force can be inves­
tigated and appraised. 
In this way, any social conflict due to the introduc­
tion of new technologies could be alleviated by 
timely action by the 'social partners'. 
4.6. To sum up, the Committee considers that the 
Esprit programme, with its impact on future econo­
mic structure and Community competitiveness, is 
among the most important of the EC's research and 
development projects. It assumes that a start will be 
made upon the main phase at the beginning of 1984 
at the latest. 
The Chairman 
of the Economic and Social Committee 
Fran<?ois CEYRAC 
No C 341/38 Official Journal of the European Communities 19. 12. 83 
APPENDIX 
to the opinion of the Economic and Social Committee 
Rejected amendment 
The following amendment, which was based on the Section opinion and tabled in accordance 
with the Rules of Procedure, was rejected by the Committee at the plenary session : 
Page 12, point 4.5 
Add the following to the last paragraph: 
'Account should also be taken of the interests of users and suppliers, particularly as regards 
computer software.' 
Voting 
For: 24, against: 35, abstentions: 11. 
Opinion on the proposal for a Council Regulation on the formation of rates for the 
carriage of goods by road between Member States 
The text referred to the Committee has been published in Official Journal of the Euro­
pean Communities No C 265 of 9 October 1982, page 5. 
A. LEGAL BASIS FOR THE OPINION 
On 5 October 1982 the Council referred the abovementioned proposal to the Econo­
mic and Social Committee in accordance with Article (75) of the Treaty establishing 
the European Economic Community. 
B. OPINION OF THE ECONOMIC AND SOCIAL COMMITTEE 
The Economic and Social Committee prepared its opinion on the above matter at its 
210th plenary session held in Brussels on 28 and 29 September 1983. 
The full text of the opinion is as follows: 
THE ECONOMIC AND SOCIAL COMMITTEE, 
Having regard to the Treaty establishing the Euro­
pean Economic Community, and in particular 
Article 75 thereof, 
Having regard to the decision taken by the Council 
on 5 October 1982 to ask the Committee for an 
opinion on the abovementioned draft Regulation ('), 
(•) OJ No C 265, 9. 10. 1983, p. 5. Having regard to the decision taken by its Bureau 
on 13 October 1982 to instruct the Section for Trans­
port and Communications to prepare a report and 
an opinion on the matter in accordance with 
Article 22 of the Committee's Rules of Procedure, 
Having regard to the opinion adopted by the Sec­
tion for Transport and Communications at its 151st 
meeting held on 14 September 1983, 
Having regard to the report submitted by the rappor­
teur, Mr Bos,