ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(74)1708
Vol.1974/0272

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(74)1708final
Brussels,21October1974
RECOMMANDATION FORA
COUNCILDECISION
ontheconclusionofanagreementbetweentheEuropean
EconomicCommunityandtheRepublicofBoliviaforthe
supplyofsoftwheatasfoodaid
(submittedtotheCouncilbytheCommission)
C0M(74)1708final

THECOUNCIL OFTHEEUROPEAN COMMUNITIES ,
Having regard totheTreaty establishing theSuropean Eoonomic Community ,
andinparticular Articles 113 »114and228 ,thereof ;
Having regard totheRecommendation from theCommission j
Whereas theEuropean Economic Community hasdeposited aDeclaration for
provisional application ofthe1971 Food AidConvention ;whereas that
Convention has been applicable since 1July 1971 ?
Whereas the Republic ofBolivia on19February 1974
hasrequested food aid ;
Whereas inview ofthecereal supply situation inBolivia that country
should beaccorded ,bywayofgift ,5»000 tonnes ofsoft wheat under the
Community Food AidProgramme for1973/74J
DECIDES :
Article 1
Onbehalf oftheEuropean Economic Community anAgreement ,thetext whereof
isannexed hereto ,shall beconoluded between theEuropean Economic Community
andthe .Republic ofBolivia forsupply ofsoft wheat asfood aid .
Article 2
ThePresident oftheCouncil ishereby authorized todesignate those who
are tosign theAgreement and toconfer onthem therequisite powers to
bind theCommunity .
Ψ
Done atBrussels , 19
For the Council
The President

AGREERENT
BETWEEN THE EUROPEAN ECONOMIC COMMUNITY
AND THE REPUBLIC OFBOLIVIA ON
THE SUPPLY OFFOOD AID INTHE FORM OF
SOFT WHEAT .

THECOUNCILOFTHEEUROPEANCOMMUNITIES ,
oftheonepart,
THEGOVERNMENT OFTHEREPUBLIC OFBOLIVIA
oftheotherpart,
HAVEDECIDEDtoconcludethisAgreementandtothisendhave
designateastheirplenipotentiaries :
THECOUNCILOFTHEEUROPEAN COMMUNITIES :
THEGOVERNEMENT OFTHEREPUBLIC OFBOLIVIA:
WHOHAVEAGREEDASFOLLOWS:

ARTICLE I
TheEuropean Economic Community shall supply bywayofgift tothe
Republio ofBolivia (hereafter referred toas"therecipient country ")a
quantity of5*000 .tonnes ofsoft wheat under theCommunity 'sfood aid
programme incereals for1973/74*
/ •
ARTICLE II
Deliveries will bemade inbulk FOB inaccordance with the details laid
down intheAnnex which forms anintegral part ofthepresent Agreement .
ARTICLE III
Therecipient country undertakes tomake allnecessary arrangements for the
transport andinsurance oftheproducts from point ofdelivery toplaces
ofdestination .
Itundertakes toexercise thegreatest care toensure that thetendering
arrangements forseatransport donotprejudice thefree play offair ,
competition .Anyproblems aritiing inthis connection shall bethesubject
ofconsultations under Article VIII ofthepresent Agreement .
ARTICLE IV
Therecipient country undertakes touse theproduct received asaidfor
purposes ofconsumption andtoapply ,-forthesale oftheproduct onits
market ,theprices normally charged onthat market forproducts of '
comparable quality .Theproceeds from this sale shall bepaid into a
special account with theCentral Bank andallocated tothefinancing of
oneormore development projects under arrangements which have been
agreed inadvance between therecipient country ,andtheEuropean Economio
Community . •

ARTICLE V
TheContracting Parties undertake toimplement this Agreement insuch away
astoavoid anyprejudice tothenormal structure ofnational production
andinternational trade .Tothis endthey shall take anymeasures required
toensure that supplies asaidare inaddition toand donotreplace business
transactions which might reasonably beexpected intheabsence ofsuch supplie
Inparticular ,therecipient country undertakes toimport commercially from
whatever source between 1January and 31December 197^aminimum Quantity o
130.000 tonnes 0fsoft wheat oritsequivalent inflour ofsoft wheat .
ARTICLE VI
Therecipient country shall take all steps required toprevent :
(i)there-export oftheproduct received asaidandalso ofanyproduct ,*
andby-products resulting therefrom ;
(ii)theexport ,commercially orotherwise ,within aperiod ofsixmonths
commencing from thefinal delivery ,either ofanyproduct procured
locally ofthesame nature asthat received asaid ,orofanyproducts
andby-products resulting therefrom . '
ARTICLE VII
Therecipient country undertakes toinform theEuropean Economic Community
ofhow this Agreement isimplemented .Tothis end itshall provide the
Commission oftheEuropean Communities with thefollowing details :
(i)Immediately after theunloading ofeach cargo :ports anddates of
arrival ofvessel }nature ,quantity andanyobservations astothe
quality oftheproducts unloaded jdate onwhich unloading was
completed ;costs ofseatransport andofinsurance relating thereto }
(ii)Every three months until thequantities received asaidhave been
fully used :quantities sold ;manner ofsale ;actual selling prices ;
normal selling costs ontherecipient country 'smarket ;costs of
insurance (andoftransport ifapplicable )from theport ofunloading
totheplaces ofdestination ;

(iii)On15Januaryeveryyearuntilthespecialaccounthas"beenfully
expended:
a)Summaryoftheaccount(incomingsandoutgoings)to31December
ofthepreviousyear}
b)Stageofprogressoftheprojectorprojects,indicatingthe
totalresourcesexpendedtothatstage.
ARTICLEVIII
TheContractingPartiesshallattherequestofeitherconsulteachother
onanyquestionsconcerningtheimplementation ofthisAgreement.
ARTICLE IX
ThisAgreementisdrawnupinduplicateintheDanish,Dutch,English,
French,German,ItalianandSpanishlanguages,eachofthesetextshaving
equalforce.

General provisions
Article 1
Delivery shall beeffected andrisks shall pass form theEuropean Economic
Community ,hereinafter referred toastheEEC ,totherecipient country at
themoment atwhich thegoods areputdown atthepoint ofexportation
named bytheCommission oftheEuropean Communities attheberth specified
bytherecipient country oritsagent referred toinArticle 3s-ndunder the
terms specified inthefollowing articles .Without prejudice toArticles 8and
9theEECshall bear allcosts uptodelivery andtherecipient country those
beyond delivery .
Article 2
Ondelivery atolerance of5%less than thequantity oftheproduct tobe
supplied inaccordance with article IoftheAgreement shall beadmissible .
Article 3
TheEEC shall appoint anagent toimplement theprovisions ofthepresent
Annex –orforeach consignment –whose name andaddress itshall make
known totherecipient country immediately following hisappointment .
Therecipient country shall appoint anagent intheport orports ofship­
ment ,whose name andaddress itshall make known totheEEC with all
despatch andifpossible before theappointment ofagent oftheEEC .
Article 4
Before implementing theprocedures forappointing theagent oftheEEC
referred toinArticle 3»theCommission oftheEuropean Communities and
therecipient country shall jointly establish theperiod during which
delivery must begin .
Obligations oftheEuropean Economic Community
Article 5
Should theEECnotbeinaposition tocarry outdelivery onthedate and
(ifapplicable )ontheschedule asprovided inArticle 7»allcosts
arising for therecipient country -forexample demurrage void freight
anddead freight -shall beborne bytheEEC .

Thecharges andthoarrangements relating todemurrage laid down inthe
contract "between therecipient country andthecarrier must have been
agreed inadvance bytherecipient country andtheagent oftheEEC .
Theother costs referred tointhefirst paragraph shall only "berefunded
"bytheEECifthey have been paid bytherecipient country with theapproval
ofthe EEC .
Article 6
Should itprove impossible fortheEECtosupply allorpart ofthegoods
onthedate andwithin thetirae-liraits provided forinArticle 7and -without
prejudice totheprovisions ofArticle 5»&'newdate andanewtime-limit
shall beagreed between theagents oftheEECandoftherecipient country
forthedelivery ofallthegoods orofthoundelivered part thereof .
Obligations ofthe recipient country
Article 7
After contacting thoEEC ,therecipient country uhall procure oneormore
vessels totransport allthequantities provided forinArticle 1ofthe
Agreement ,ofdimensions corresponding tothenormal capacity oftheport of
shipment ;these vessels must beready forloading onadate falling within
I
theperiod referred toinArticle 4*
Theagent oftherecipient country shall inform theEECofthis date
immedately onlearning it,andalso that forcommencement ofdelivery ,
ifpossible twenty days inadvance andinanycase tendays before thedate
forcommencement ofdelivery .
Heshall establish with theagent oftheEECtheschedule towhich delivery
rshall take place .
Article 8
Should therecipient country beunable tobegin loading onthedate provided
forinArticle 7»paragraph 1,theagent oftherecipient country shall
inform theagent oftheEECwithout delay .

Inthis event anewdate forthecommencement ofdelivery and (ifapplicable )
anew schedule could "beagreed "between theagents oftheEECandofthe
recipient country .Thecosts arising from this delay shall inallcases
except force majeure beborne bytherecipient country .
Should thenewdate provided forinparagraph 2bemore than 30clear days
after thedate forloading provided forinArticle 7»paragraph 1,theEEC
maydispose ofthegoods without prejudice toitscommitment under Article 1
ofthis Agreement .
Article 9
Ifthequantity made available forloading onavessel cannot beput on
board initsentirety ,therecipient country shall inform theEECassoon
aspossible andnolater than fifteen clear days after loading hasbeen
completed whether itintends toaccept ortorenounce thebalance .
Intheformer case theprovisions ofArticle b,paragraphs 2and 3,shall
apply tothebalance ,i-fdelivery hasnotyet taken place .
Inthelatter case theEECmay consider that ithasdischarged itscommitment
totherecipient country under Article 1ofthis Agreement and shall bear
thecosts resulting from such renunciation .
Inanyevent after theexpiry ofaninterval offifteen clear days and in
theabsence ofanynotice onthepart oftherecipient country ,therenun­
ciation shall bedeemed tohave taken place .
Article 10
Upon delivery ofthegoods ,therecipient country shall hand tothe
agent oftheEECacertificate ofacceptance stating theport ofshipment ,
!
date ofacceptance ,thenature andquantity ofthegoods accepted and \
including anycomments onthequality ofthegoods ,andsend acopy thereof
totheCommission oftheEuropean Communities . ;