ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(79)673
Vol.1979/0229

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(79)673 final
Brussels,22November1979
Proposalfora
COUNCILDECISION
concerningthemaintenanceuntil31December1979of
certainfishingrightsofCommunityfishermenin
.-f"the .territorialwatersofYugoslavia
/Ν/es
!-f V
.P--..^
(submittedtotheCouncilbytheCommission)
C0M(79)673final

EXPLANATORY MEMORANDUM
Under theAgreement signed between Yugoslavia andItaly on15June 1973 ,
fishermen whoareItalian nationals were authorized tofish incertain
areas ofYugoslav territorial waterfe ,subject tofinancial counter -
concessions from theItalian State .TheAgreement expired on31December
1976 . ..
Toensure that Italian fishermen could continue tofish inYugoslav .waters ,
theCouncil authorized Italy "byitsDecision of13December 1976 ,toagree
with Yugoslavia onaninterpretion whereby thesaid Agreement could be
renewed until afisheries agreement wasconcluded between theCommunity
andYugoslavia oruntil 31December 1977 atthe .latest .
Following that decision theCommission hasonseveral occasions in1977
and 1978 invited theYugoslav authorities tonegotiate anagreement with -
theCommunity .Asthere wasnoresponse from theYugoslav ,authori ties ,
theCouncil ,byitsDecisions of20December 1977 f21 -June 1978 ,19December
1978 ,authorized Italy torenew thearrangements agreed with Yugoslavia
in1977 .ineach case for sixmonths .
*
When adopting itsdecision of20December 1977 »"theCouncil agreed upon
theprinciple that "theamount tobepaid forfishing rights would be
advanced byItaly andrepaid afterwards bytheCommunity upto220.000 u.a .
(that ishalf theamount paid byItaly in1977 >lass thepart covered by
reasonable fees which would beborne bythevessel owners andwhich would
beintheorder of20$ofthetotal cost)". ^
Inadopting theabovementioned decision of19December 1978 theCouncil *■
recorded thefollowing statement intheminutes :
#
"In "theevent "that ,after thenegotiations ,thesumof228million lire
(equivalent to202.411 EUAattherate of1June 1979 )should prove
insufficient ,theCouncil agrees toreexamine theproblem oftheCommunity
contribution .n
A
Inadopting thedecision of25June 1979 "th0Council recorded this same
statement intheminutes ,aswell asthefollowing statement :
"Intheevent that Yugoslavia ,while accepting acarry-over ofpresent
arrangements based onthe1973Agreement ?inaddition unilaterally imposes
somenewtechnical provisions ,theCouncil agrees toreexamine .thesituation
assoon aspossible ".

-2-
6.Byletter on4October 1979 "thePermanent Representation ofItaly -
informed theCommission oftheoutcome oftalks which took place "between
theItalian andYugoslav Governments during August andSeptember 1979 con­
cerning th.econtinuation ofthearrangements forseen under the1973
Agreement .Asummary ofthis letter ,which has "been distributed atthe
External Fisheries Policy Group bytheItalian representative ,.isattached .
Itemerges from this letter that theYugoslav Government has said that it
isprepared toestablish onaninterim basis until 31December 1979 similar
arrangements tothose laid down intheexpired Agreement -forfishing by
Italian vessels inYugoslav waters .Inexchange theYugoslav Government
.■requests thepayment byItaly ofasumwhich forthewhole of1979 would
amount toabout 800million lire .This sumis40%greater than thesum
of570million lire laid down in'the1973 Agreement .
TheItalian Government hasreserved itsfinal acceptance oftheconclusions
ofitstalks with theYugoslav Government pending theoutcome ofthe
examination which the Council wishes tomake ofthe matter .
7.Inthe ^same letter of4October ,theItalian authorities suggest that ,in
^ •order toavoid aretroactive increase intheamount payable bytheItalian
fishermen concerned for 1979 *"theamount belimited tothe sumwhich they
previously hadtopay ,that is,totwenty percent oftheformer amount
of570million lire (i.e. 114million lire ).TheCommunity therefore
should take over the entire increase forseen inthe financial compensations ..
8.TheCommission ,while nothaving participated inthediscussions in
question ,considers itappropriate toapprove thearrangements described
inthe abovementioned Italian note .
9.TheCommission considers ,however ,that iftheeconomic profit resulting
from thefishing rights inquestion justifies theincrease incompensation
negotiated bytheItalian Government ,itisonly fair that thefishermen
concerned assume the same share ashasbeen fixed for theprevious years ,
that is,20%.
Itisnotonaccount oftheCommunity that theestablishment ofcompensation
forthecurrent year hasonly taken place inthemonth ofSeptember .The
Commission does notseehowthis fact could justify anincrease inthe
share ofthecosts assumed bytheCommunity .

-3-
In"thelightof-theCouncilstatementsreferred,tounderpoints4and
5,andtakingaccountofthefactthatthearrangementsinquestion
onlyoonoernalimitedperiod,theCommissionconsidersthatfor1979
theCommunityshouldassumeresponsibility forthesamepercentageof
thecompensationasthatdecidedforthepreviousyears-thatis,80$>.
10.ForthereasonsgivenabovetheCommission recommendsthattheCouncil
adoptthedecisionthedraftofwhichisattachedasanannex.

Proposal foraCouncil Decision concerning the
maintenance until *31December 1979 ofcertain fishing .
rights ofCommunity fishermen intheterritorial waters
ofYugoslavia . •
THECOUNCIL OPTHEEUROPEAN COMMUNITIES ,
Having regard totheTreaty establishing theEuropean Economic Community ,
andinparticular Article 10.3thereof ,
Having regard totheproposal from theCommission , , - ;
Whereas byits .Resolution of3November 1976 theCouncil agreed upon the
need toensure ,through appropriate .Community agreements ,thesecuring and
maintenance offishing rights forCommunity fishermen inthewaters of *
non-member countries ;
Whereas byitsDecisions of19December 1978 a*id25June 1979 "theCouncil
authorized theRepublic ofItaly toagree with theSocialist Federal .Republic
ofYugoslavia upon theprovisional .maintenance until 30June 1979 and '
31December 1979 ofthefishing arrangements laid down inthefisheries
Agreement between Italy andYugoslavia of1973 which expired in197^5
Whereas theYugoslav Government wasunable toacceot aprolongation
without change ofthearrangements laid down intheexpired Agreement ,but
hasoffered theItalian Government theprovisional maintenance until
31December 1979 ofcertain ofthe fishing rights provided forunder theAgreement
inreturn forthepayment byItaly offinancial compensation ;
Whereas Italy hasreserved itsfinal acceptance ofthese proposals pending
theoutcome ofanexamination ofthem bytheCouncil ;
' i »•
Whereas theCouncil agreed ,when adopting theabovementioned decisions ,to
reimburse Italy forpart oftheamount which itmust payasfinancial
compensation forfishing rights granted byYugoslavia ;
HAS DECIDED ASFOLLOWS :

-2-
Article 1
TheRepublicofItalyisherebyauthorizedtoagreewiththeSocialist
FederalRepublicofYugoslavia upontheprovisional maintenanceuntil
31December1979ofcertainofthe-fishingrightsestablished underthe
AgreementonfisheriesbetweenItalyandYugoslaviaof15June1973in
certainareasofYugoslavterritorial watersinreturnforthepayment
offinancialcompensation theformofwhichissetoutinaNoteVerbale,
adraftofwhichappearsintheAnnextothepresentDecision.
Artiele2
TheamountpaidbytheRepublicofItalyasfinancialcompensation under
Article 1shallbereimbursed bytheCommunity,subjecttoamaximumof
640millionlire.
DoneatBrussels, FortheCouncil
ThePresident

DRAFT NOTE VERBALE
from theItalian Government totheYugoslav Government
.£TheItalian Embassy J.hasthehonour torefer totheNoteVerbale dated .
18September 1979 from theMinistry ofForeign Affairs oftheSocialist
Federal Republic of .Yugoslavia totheItalian Embassy inBelgrade which -
£reads asfollows :
"TheFederal Secretariat forForeign Affairs oftheSocialist Federal Republic
ofYugoslavia presents itscompliments totheEmbassy oftheItalian Republic
andwith reference tothe conversations between theItalian andYugoslav
'delegations concerning theincrease intheamount tobepaid forfishing by
Italian fishermen inYugoslav waters (Antivari ,Pelagosa ,Isola Grossa )inthe
year 1979 *inconformity with theletter oftheFederal Secretary forForeign
-Affairs of3August has the honoiH' togive thefollowing information :
Duringthetalks ofthetwodelegations heldfrom13to15September 11979itwas-
agreed that theItalian side would paytotheYugoslav side asumof .800
> . . .
million Italian lire forfishing byItalian fishermen intheareas ofAntivari ,
Pelagosa ,Isola Grossa fortheyear 1979 *Th®payment will bemade before ^1
December 1979 into theexternal account inconvertible lire oftheNational
Bank ofYugoslavia attheBanco dfItalia ,Rome ,infavour oftheGovernment
oftheSocialist Federal Republic ofYugoslavia .
TheFederal secretariat forForeign Affairs takes this opportunity torenew ?
totheEmbassy oftheItalian Republic theexpression ofitshighest consideration .
\ - ,
Belgrade ,18September 1979*" ^
TheEmbassyJhasthehonour toinform the^MinistryJ
that theItalian Government hasbeen authorized bythecompetent bodies of
theEuropean Economic Community ,towhich Italyjias .transferred itspowers
ofnegotiation concerning fishing rights with third countries ,to
paythesumof800million lireinexchange forthemaintenance during the
year 1979ofthefishing rights forItalian fishermen intheareas referred
tointheNote Verbale cited above .
(Habitual close )

ANNEX
FINANCIAL IMPLICATIONS
UnderthetermsofArticle17ofthefisheriesagreementsignedin1973
"betweenYugoslaviaandItaly,thisMemberStatehadtopayLit570million
peryear'inreturnforthefishingrightsgrantedin1976toItalian
fishermeninYugoslavterritorial waters,'Thesameamountwasretained
forthetwoyears1977and1978duringwhichthearrangements forseen
undertheAgreementwereprolonged.
Thearrangements underthepresentdecisionprovideforthepayment "by
Italyofasumof800millionlireasfinancialcompensation .The
CommissionproposesthattheCommunitycontribution tothisfinancial
compensationin1979fixedat640millionlire(approximately 559*000EUA
attherateof1.11.79)* -
TheBudgetfor1979containsaheadingcoveringthisexpenditure :
Article890,Reimbursements inrespectofcertainfinancialobligations
relatingtofishingintheAdriatic,withatokenentry.Acreditof
thetransferofthisamounttoChapter89"TakingoverbytheCommunity
ofcertainfinancialobligations connectedwithagreementsonfishing
rightsinthewatersofothercountries"hasalreadybeenapproved.The
creditscoveredbythistransfercanthereforebeused.