ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(75)291
Vol.1975/0104

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COMMISSION OFTHE EUROPEAN COMMUNITIES
COM(75)291 final .
Brussels ,12june 1975
RECOMMENDATION FOR ADECISION "OFTHE COUNCIL
ontheconclusion oftheAgreement "between the
European Economic Community andtheRepublic
ofIndia ,concerning cane sugar
(submitted totheCouncil bytheCommission )
COMC75 )291 final .

EXPLANATORY N.T :KORANDUH
1. IntheJoint Declaration ofIntent ,appended totheFinal Actof
theTreaty ofAccession ,onthedevelopment oftra.de relations with Ceylon ,
India ,Malaysia ,Pakistan a.ndSingapore ,itwasstated that thesettlement
ofthequestion ofexports ofsugar from India totheCommunity after the
expiry oftheCommonwealth Sugar Agreement on31December 1974 involved
taking into account oftheprovisions which might beadopted asregards -imports
ofsugar from theindependent Commonv;ealth countries listed inProtocol No.?2,
1.e .those Commonwealth countries which arenowsignatories totheACP/EEC
Convention ofLom^.
2. Theprovisions adopted ,inrespect ofcane sugar originating intheAfrican ,
Caribbean andPacific States which aresignatories tothesaid Convention
arecontained inProtocol No.3appended totheConvention .
3. On17December 1974 "theCouncil approved adirective foranagreement
tobenegotiated with India .This laid down ■that these negotiations should
beconducted having full regard tothose then inprogress with theACPStates
andwould concern amaximum annual eruantity ofP.'j.OOO metric tons (1)ofcane
sugar which theCommunity would guarantee topurchase atagiven price .The
agreement was tobeforanindefinite period ,butcould ,after aperiod of
five years ,bedenounced byeither party subject totwoyears' notice .
4. Adraft agreement wasconveyed totheIndian authorities atthebeginning
of1975 -This isidentical insubstance with thetext oftheProtocol onsugar
appended totheLome Convention ,though itdoes contain purely formal adaptations
tothe case ofIndia .
The oornpetent department was informed atthe endofKay 1975 that the
Government ofIndia wasprepared tosubsoribe totheconditions proposed bythe
Community .After some hesitation ontheIndian side ,theeruantity ofsugar
tobedelivered byIndia fortheperiod ending 31Juiyi 1975 (cf.Article 3»3of
theAgreement )wasfinally settled at22.000 metric tons .
Thetwosides arenowagreed onthetext appended herewith .
(T)This quantity isthesame asIndia 'squota intheformer Commonwealth
Sugar Agreement .

-2-
5.Inordertoenablethepartiestoimplementtheclauseondeliveries
tobemadeduringtheperiodending31)Jul^js19T5»itisstipulatedthatthe
Agreementshallenterintoforceonthedateofsignature.Itappearsabsolutely -
essentialthereforethatit-shouldbesignedwiththeminimumofdelayand,for
thispurpose,everyeffortshouldbemadetoacceleratetotheutmostthe
proceduresforexamination andapprovaloftheproposedtext.Considering ,
however,thatitcloselyfollowsthatoftheProtocolonSugarappendedtothe
LomeConvention,basically,thepresenttextshouldposenoproblems.
/'

RECOXMEND ATIONFOR ADECISION
/ OFTHECOUNCIL .
conclusion oftheAgreement "between theEuropean
Economic Community and theRepublic ofIndia
concerning cane sugar
THECOUNCIL OFTHEEUROPEAN COMMUNITIES ,
Having regard totheTreaty establishing theEuropean Economic Community ,
and inparticular Article 113thereof ;
Having regard totheRecommendation from theCommission ;
Whereas theACP/EECConvention ofLome wassigned on28February 1975 ?whereas
theProtocol onACPcane sugar forms anintegral part oftheaforesaid Convention
whereas ,pending theentry into force oftheConvention ,theCommunity andthe
ACPStates named intheProtocol have pledged themselves ,bymeans ofagreements
intheform ofexchanges ofletters dated 28February 1975 f"toapply asfrom the
same date thearrangements laid down intheaforesaid Protocol ;
Whereas ,intheJoint Declaration ofIntent onthedevelopment oftrade relations
with Ceylon ,India ,Malaysia ,Pakistan andSingapore ,appended totheFinal Act
oftheTreaty concerning theaccession oftheKingdbm ofDenmark ,Ireland ,
theKingdom ofNorway andtheUnited Kingdom ofGreat Britain andNorthern
Ireland totheEuropean Economic Community andtotheEuropean Atomic Energy
Community ,itisstated that thequestion ofexports ofsugar from India tothe
Community after theexpiry oftheCommonwealth Sugar Agreement on31December
1974 must besettled bytheCommunity taking account inparticular ofthe
provisions which maybeadopted asregards imports ofsugar from theindependent
Commonwealth countries listed inProtocol No22onrelations between theEuropean
Economic Community andtheAssociated Afrioan andMalagasy States andalso the
independent developing Commonwealth countries situated inAfrica ,theIndian
Ocean ,thePacifio Ocean andtheCaribbean ;

Whereas theAgreement oncane sugar negotiated "between theEuropean Economic
Community andtheRepublic ofIndia should therefore beconcluded ,
HAS DECIDED ASFQLLOWS :
Article 1
TheAgreement "between "theEuropean Economic Community andtheRepublic
ofIndia concerning cane sugar ishereby concluded onbehalf oftheCommunity
Thetext oftheAgreement isappended hereto .
Article 2
ThePresident oftheCouncil ishereby authorized todesignate the
person empowered tosign theAgreement andtoconfer upon himthepowers
required inorder tobind theCommunity .
Done atBrussels ,this
For the Council
The Président

AGREEMENT
"betweentheEuropeanEconomicCommunityand
theRepublicofIndiaconcerningcanesugar

THE COUNCIL OPTHEEUROPEAN COMMUNITIES
ofthe onepart ,and
THEGOVERNMENT OPTHEREPUBLIC OPINDIA ,
oftheother part ,.
DESIROUS ofensuring themaintenance onasound andequitable basis of
theexisting trade insugar "between theRepublic ofIndia andtheEuropean
Economic Community ,hereinafter referred toas"theCommunity ",.
NOTING theJoint Declaration ofIntent onthedevelopment oftrade relations
with Ceylon ,India ,Malaysia ,Pakistan andSingapore ,annexed totheFinal
ActoftheTreaty ofAccession oftheKingdom ofDenmark ,Ireland,' the "•
f
Kingdom ofNorway andtheUnited Kingdom ofGreat Britain andNorthern
Ireland totheEuropean Economic Community andtheEuropean Atomic Energy
Community ,andinparticular its"provisions regarding exports ofsugar
from India totheCommunity ,
HAVING REGARD totheCommercial Cooperation Agreement between theEuropean
Economio Community andtheRepublic ofIndia ,
HAVE DECIDED ,inaspirit ofmutual cooperation ,toconclude this Agreement !

Article 1
1. TheCommunity undertakes foranindefinite period •'
topurchase andimport ,atguaranteed prices ,aspecific quantity ofoane
sugar ,raworwhite ,which originates inIndia andwhich that country
undertakes todeliver toit.
!
2. Theimplementation ofthis Agreement iscarried outwithin theframe­
work ofthemanagement ofthecommon organisation ofthesugar market andin
acccordance with theCommunity 'sexisting rules oforigin adapted forIndia .
Article 2
1. Without prejudice toArticle 7»nochange inthe
fprovisions ofthis Agreement mayenter into force until aperiod offive
years haselapsed from thedate onwhich theAgreement enters into force .
Thereafter ,such changes asmay "beagreed upon will come into force ata
/
time tobeagreed .
2. Theconditions forimplementing theguarantee referred toinArticle 1j
shall "bere-examined before theendoftheseventh year oftheir application , j
'1
Article 3
'
>, i
1. Thequantity ofcane sugar referred tomArticle 1,expressed in
metrio tons ofwhite sugar ,hereinafter referred toas"agreed quantity ",
fordelivery ineach delivery period ,commencing 1August 1975 »referred
toinArticle 4>shall "be25.000 .
I
2. Subject toArticle 7»"this quantity cannot "be
reduced without theconsent oftheGovernment ofIndia .
3. Nevertheless ,inrespect oftheperiod upto32)Julco 1975 "tk®
agreed quantity ,expressed inmetrio tons of .white sugar ,shall be22.000 .

Article 4 - ;
1. Intheperiod from 1,August 1975 "to30June 197"inclusive and .there­
after in each twelve-month period ,from 1July to30June inclusive ,
hereinafter referred toasthe "delivery period ",India undertakes todeliver
-thequantity referred toinArticle 3(0 .,subject always toanyadjustments
resulting from theapplication ofArticle 7«Asimilar undertaking shall '
apply equally tothequantity referred toinArticle 3(3)inrespect of
theperiod upto3l>Jul$ !1975 »which shall also "beregarded asadelivery
period . !
2. Thequantity to "bedelivered upto3DJuly !1975 *referred toin
»
Article 3(3).shall include supply enroute from port ofshipment ..
. ' ' ' I
3. Deliveries ofIndian cane sugar inanydelivery period may .. ...
benefit from theguaranteed prices applicable inthesubsecruent delivery ,j
period . , ■ ': ... ...... . I
■ !
1
Article 5 !■
■/ !
1. White orrawcane sugar shall bemarketed ontheCommunity market
atprioes freely negotiated "between buyers andsellers .
2. TheCommunity shall notintervene ifandwhen aMember State
allows selling prioes within itsborders toexceed theCommunity ^
threshold prioe .
3. TheCommunity undertakes topurchase ,attheguaranteed prioe ,
quantities ofwhite orrawsugar ,within theagreed quantity ,whioh
cannot bemarketed intheCommunity ataprioe equivalent toorinexcess
oftheguaranteed prioe .
4* Theguaranteed price ,expressed inunits ofacoount ,shall refer
tounpacked sugar ,CIFEuropean ports oftheCommunity ,andshall befixed
inrespect ofstandard quality sugar .Itshall benegotiated annually ,
within theprice range obtaining intheCommunity ,taking into acoount all
relevant economic factors ,andshall bedeoided atthelatest by1May
immediately preceding thedelivery period towhioh itwill apply .

-4-
5.For"theperiodfrom 1975"to30June197"
theguaranteedpricesshallheasfollows:
(a)forrawsugar s25.53unitsofaccountper
100kilogrammes .
(h)forwhitesugar :31.72unitsofaccountper
100kilogrammes .
Artide6
Purchaseattheguaranteedprice,referredtoinArticle5\3)
shallheassuredthroughthemediumoftheintervention agenciesorof
otheragents,,appointedbytheCommunity.
Article7
1.If,duringanydeliveryperiod,Indiafailstodelivertheagreed
quantityinfullforreasonsofforcemajeure',theCommissionofthe
EuropeanCommunitiesshall,attherequestofIndia,allowthenecessary
additionalperiodfordelivery.
2.If,duringanydeliveryperiod,Indiafailstodelivertheagreed
quantityinfullforreasonsotherthanforcemajeure,thatquantity
shallhereducedinrespectofeachsubsequentdeliveryperiod "bythe
undeliveredquantity.
Article8
1.AttherequestofIndia,oroftheCommunity,
consultations relatingtoallmeasuresnecessaryfortheapplication
ofthisAgreementshalltakeplacewithinaJointCommitteeherebyestablished
TheCommitteeshallbecomposedofrepresentatives oftheContractingParties.
2.TheperiodicalreviewsprovidedforunderthisAgreementshall
takeplacewithintheagreedinstitutional framework.
•♦•/t••

Article9
ThisAgreementshallapplytotheterritories wheretne
Treatyestablishing theEuropeanEconomicCommunityapplies,onthe
conditionsestablishedinthesaidTreaty,andtotheterritoriesto
whichtheConstitution oftheRepublicofIndiaapplies.
Article10
ThisAgreementshallenterintoforceon •
Article11
AfteraperiodoffiveyearsfromthedateonwhiohtheAgree­
mententersintoforce,itmaybedenouncedbytheCommunity,orIndia,■'
aftergivingtotheotherPartytwoyearsnoticeinwritingtothateffeot
Article12
ThisAgreementisdrawnupintwocopiesintheDanish,Dutch,
English,French,GermanandItalianlanguageseachofthesetexts"being
equallyauthentic.'