ARCHIVES HISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(78)712
Vol.1978/0269

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COMMISSION OFTHE EUROPEAN COMMUNITIES
COM(78)712 final .
Brussels .12December 1978
Recommendation for a
COUNCIL DECISION
extending forthe year 1977 the Convention between the European
Economic Community and the United Nations Relief and Works Agency
forPalestine Refugees (UNRWA )
(submitted tothe Council bythe Commission )
\
(' ■!> ■ ■\/" ^ 1.! A/-V >
le-• . y
C0MC78 )712final. V tj. j

CONTENTS
I.Explanatory note
A:Introduction
B:Operation ofConvention during1975/76
C:Extension ofConvention for1977
1Tables
1.UNRWA:incomeandexpenditure :1971-1977
2.E.E.C.contributions 1971-1977
3.E.E.C.contributions underConvention
4.Supplementary feedingprogram :expenditure 1975/76
5.UNRWArequestfor1977
6.Requested cashcontribution to1977supplementary feedingprogram
IX.Financiat Annex
III,Proposed CouncilDecision •1■:.
Exchangeofletterscontinuing Convention for1977withcertain
amendments .

EXPLANATORY NOTE
INTRODUCTION
Purposeofcommunication ;
/I)This'communication proposestotheCounciltheextension,fortheyear
1977,oftheassistance givenbytheCommunity totheUnitedNations
ReliefandWoi-ksAgencyforPalestine Refugees CUNR-WA),underthe
multi-^annual :Convention alreadyconcluded withtheagency.
Relations betweerv UNRWAandE.E.C.
2)E.E.C.MemberStateshavebeenmajorcontributors toUNRWAsince
theagencywassetupin1949/50following thepartition ofPalestine ;
Theyhavealwaysbeenasagroupeitherthesecondlargest (afterU.S.A.)
orthelargestcontributor toitsfinances (SeeTable 1).Itshould
berecalledthatUNRWAdependswhollyonvoluntary contributions ,and
thattheseinmostrecentyearshavefallenshortofoperational expenses
3)TheCommunity assuchhascontributed toUNRWAsince1970/71,principally
bywayoffoodaid.Thisconsistsatpresentof:
a)theBasicRationsProgram (monthlyfreedistribution ,toall
eligible refugees ):wheatflour,butteroil andsugar,
together withaashcontribution todistribution costs;
b)theSuppler,;entary FeedingProgram (specialnutrition,limited
tovulnerable groups):wheatflour,rice,sugarand
skimmedmilkpowder,together withacashcontribution
intended tocoverthecostsofrunningtheprogram.
AsummaryofCommunity contributions toUNRWAsince1971isgiven
inTable2.
4)Asubstantial partoftheabovecontributions isthesubjectofthe
three-year Convention between UNRWAandE.E.C.,theremainder being
coveredbyannualexchanges oflettersundernormalfoodaidprocedures .
TheConvention provides for:
a)thesugarfortheBasicRationsProgram (alltheProgram's
requirements ),withacontribution todistribution costs;

b)thecommodities (listedabove)fortheSupplementary FeedingProgram,
withacontribution totherunningcosts.
DetailswillbefoundinTable3.
5)ThepresentConvention runsinprincipleforthreeyearsfromJuly1975,
butneedstobeextendedperiodically withinthosethreeyears;this
proposalisfortheextension forthecalendaryear1977.Aprevious
\-Convention ranfromJuly1972toJune1975.Itisgenerally recognized that
thepresentarrangements havebecomecomplicated ,andaproposalto
combineallE.E.C.contributions intoasingleConvention isunder
consideration .
OPERATION OFCONVENTION ,JULY1975-DECEMBER 1976
BasicRations Program :Sugarcontribution
6)FortheperiodJuly1975-December 1976,theE.E.C.shipped 6000t
sugarfor.useinthebasicrationsprogram.Innormalcircumstances ,
9000t.wouldhavebeenshipped anddistributed forthiseighteen month
period;howevernetrequirements werereducedinviewofsubstantial
shipments madeatthebeginning oftheperiodundertheagreement for
theprevious year.
7)Sugarrationsissuedtorefugeestotalled 8593t,some95%ofthe
quantity planned.Theshortfall waslargelytheresultofthecivil
warinLebanon,although UNRWAreportsthatitwaspossible inboth
zonestomaintainthebasicrationsprogramtoasurprising degree,
theaveragenumberofmonthlyrecipients inLebanonhavingfallenonly
to92300fromthenormaltotalofsome101000.The.rationwashowever
reducedfrom600gr.to500gr.owingtodisruption ofsupplies.In
theotherfourareas(Syria,Jordan,WestBank,Saza)distribution
proceeded normally.
8)Thecostofinlandtransport anddistribution isestimated at
S266500,orS31/tonaverage,theamountvaryingconsiderably from
areatoarea.TowardsthistheE.E.C.contributed attherateof
18,50UA/t,whichproduced# 23,12/t,orabout75%ofestimated costs.
Anincreaseissoughtfor1977.

Sypplsrcentsry FeedingFrogram
9)DuringtheperiodunderreviewthecivilwarinLebanonseriously
''affectedthesmoothrunningoftheSupplementary FeedingProgram.
InLebanonitself,theprogram wasinterrupted inmanyareasfor
varyingperiodsandthreesupplementary feedingcentreswerelooted
orseriously damaged.Otherfieldssuffered fromlossofcontactwith
headquarters andfromshortages ofcommodities usuallysuppliedthrough
'Beirut.- '
t
10)Largelyasaresultofthewar,therewasveryconsiderable underspending
duringtheeighteen monthperiod,bothofcommodities andofcashdonated
bytheE.E.C.Thepositionissummarized inTable4,fromwhichit.will
beseentotalexpenditure amountedtoonlyS3986000insteadofaplanned
S5081000,adifference ofS1095.000.Thisfigurecanbeanalysed
asfollows :
Sx1000
Savingsonstaff :364
Savingsoncornedbeefpurchases :578
Othersavings :153
1095
11)Thesavingsonstaffariseessentially fortworeasons :
a)appromixately §214000fromsavinginwagerates,notablyincost
oflivingallowance,whereincreases werelessthanexpected.
Thiswasoffsettoan"extentbycertainincreases inthecostsof
temporary labour.
b)theremainder,§150000,fromplanned aridunplanned reductions
inthenumberofstaffemployed inthesupplementary feedingprogram.
12)Thesavingsoncornedbeefcanulsobeattributed totwocauses :
a)amarkedfalloccurred inthepriceofthecornedbeefboughtinFrance;
UNRWApaidanaverac^ofS1,18/kg.,comparedwiththeplannedcost
ofS2,06basedonthepricesandexchangeratesprevailing in
November 1974.Thisproduced asavinnof§360000;
b)dnly413twereboughtduringtheperiod,insteadofthe520tthat
hadbeenplannedoutcouldnothavebeenconsumedinviewofthesituation atthe ■ime.Thisproduced asavingofS^18U^0.
13)Themostimportan ....^rt.'^ersavingswereonpurchasesofotherfoodstuffs,
principally asaresultofreddedr^'jiremerts buts!-s0ofcertainfaUs
inunitprices.Thesesavingswereupon:
Toiiwtopaste(boughtinE.E.C.)&24000
Pulses ^53GOO
Freshfoods ®■50000 ,
m9*•

Γ '
!.. '/ -■ ί
> t
I 1
f
14)Afurther favourable difference arose ontheconversion into dollars
/ .'onthe EEC cash contribution of4212 000 UA.This wascalculated
I onthebasis ofUNRWA 'sestimated requirement for 1975/76of85081 514
(after negotiated reduction )using the IMF rate of^1,206349 as *-'■
requested bytheBudgetary Committee .Actual payment was made atthe r
:rate ruling during 1976 (81,25),resulting Inadifference ofsome' {
*8184000. "
».
£. ... ,, j;
15)Thesurplus over theeighteen month period should beviewed inthe
context ofoperating thesupplementary feeding program since 1972,
when the EECfirst started itssupport .During thefirst Convention
(7/72to6/75)expenditure wasgenerally covered bycontributions
except for 1973/74;over thethree years there was asmall surplus
of8390 000 onabudget of87,1million .Asregards 1977,estimates
made early in1978 show expenditure ofapproximately 83,0million ,
, ■ ν ·which isthe amount now being requested asEECcontribution
(CF.Part Cofthis communication ). •' - *
16)Thesavings of81095 000'were used forthepurchase offlour
forfree distribution torefugees under themonthly rations program .
Approximately 6640twere bought forthis purpose ,onthe market of
theCommunity ,atanaverage price of8165/t.This enabled theAgency ,|
toavoid afurther reduction inmonthly rations ,beyond that which had
already been imposed bythegeneral budget deficit forthe year .
17)Bearing inmind UNRWA' schronic financial problems andalso the 1
unprecedented difficulties overcome during theperiod 1975/76, t'
theCommission considers that noattempt should bemadetorecover 1 j;
,themoney underspent ontheprogram ,whether bydirect reimbursement - j'•
or.byreduction incontributions for 1977.Itistherefore proposed I"■■■
..;,thattheCouncil takenoteofthesituation ,,buttakenpfurther action . j"*•
".)
I
I
I
\
»
{
i
i

P.EXTENSION OFCONVENTION FOR197?
Penodofextension
18)The.requestfromUNRWA(summarized inTable5)concerns ,thetwelve
monthsfromJanuarytoDecember1977.Thepreviousperiodlasted
eighteenmonths;thatwasatransitional arrangement intendedto
bringeachyearofoperatingtheConventionintolinewiththeE.E.C.
andU.N.accountingyear.Ithasnotbeenpossibletoprepareaproposal
|earlierbecauseofthedisruption causedbythecivilwar.
Detailsofrequestr-~~
19)UNRWArequeststhattheE.E.C.continuetocontribute
a)theannualrequirement ofsugar(6000t)forthebasicrations
program,togetherwithapaymenttowardsinternaltransport anddistribution costs;
b)commodities (flour,rice,sugar)requiredforthesupplementary *feedingprogram,togetherwithapaymenttowardsthecostof
purchasing ^othercommodities (mostlyinEurope)andthecosts
iofrunning „theprogram.
Therequestcanbeevaluatedati6395000(4724000JEUA),
ofwhich§3180000isincash,thebalancerepresenting theestimated
marketvalueofthecommodities donated ,andshippedbythef.E.C.
Basicrationsprogram (sugar)
20)Theannualrequirement ofsugarforthebasicrationsprogramis6000t,
whichitisproposedthe-Communityshouldcontinuetosupplyon
CIFtermsasbefore.Nodonationsofsugararereceivedfromelsewhere (1)
21)UNRWAhasalsorequested anincreaseinthecontribution towardsinland
transport anddistribution expenses,from§23,125/t(S138750)to
S38,667/t(S232000).ItisproposedthattheCouncilshouldagree'
toacontribution ofthirtydollars (approximately 22,16EUA).
whichisinlinewithasimilarcontribution alreadynegotiated bythe ;
Commission fornormal1977foodaiddeliveries ofcerealsandbuttercil
forthebasicrationsprogram. ..■j
•' .. ' ■ . ,' • !
■ ■ 'f
(1)Itshouldbenotedth&ttheCommunityinfactalreadydecidedtosupplythissugar,foraperiodof.threeyears,byCouncilRegulation 1034/76
of30April1976.197'isthesecondyearofthethree.ThisprovisionintheConvention istherefore amatterofform.

6.
Supplementary Feeding Program-commodities
22)Contributions requested inkindare:
,v-171trice;
-2.450twheatflour;
•~102t.sugar. •.
Theseareatthesameannuallevelasin,previousperiods.Theamounts
fallwithinallocations alreadydecidedinfavourofUNRWAunderthe
i1977cerealsfoodaidprogram (inthecaseofriceandwheatflour)/
)andundertheCouncildecisionof30-April1976(ir(thecaseofsugar)(1)
23)Norequestwasmadeforskimmedmilkpowderfor1977,althoughthe
supplementary feedingprogramhasanannualneedforthiscommodity .
Adequate stocksexistforthetimebeing,asaresultpartlyof
disruption oftheschoolmilkprogramduringtheLebanoncivilwar
andpartlyowingtosuspension oftheprogramincertainareasas
ananti-cholera measure.
Supplementary FeedingProgram-cash
' I
24)Thecontribution requested incashisnow93000000,adecrease
ofS337000fromtheamountrequested earlierin1977,following
reviewscarriedoutduringtheyear.
25)Asinprevious years,thecashcontribution isintendedtocover
thefollowing (cf.Table6):
a)Purchase ofpreserved foodstuffs -cornedbeef,tomatopaste,
pulses,andburghol,thefirsttwotobepurchased insidethe
.E.E.C. (Estimated cost:§482000);
b)Purchase ofotherfoods,supplies,premises,contractual services/
v andstaffcosts(thelastbeingthemajoritem).Theestimated
costis92550000,offsetbyacontribution of932000
recovered fromtheJordanGovernment .-
26)Thecontribution requested for1977compares with1976expenditure
of92838000,anincreaseof9162000,(5,7%)...TheIncreaseisdue(
essentially totwofactors :
a)ariseinstaffcostsoft251000,or14,7Z,UNRWAhavingbeen\
obligedtograntlargecost-of-livingincreases asaresultof
inflation inallareasofoperations ;'
b)increased costsoflocalpurchases,especially freshfoods
(21%increase),againasaresultoftheinflation thatwas
particularly markedinJordan,SyriaandLebanon.
1)Arrangements havealreadybeenmadeforshipment;thisprovision1sagain
amatterofform.

X ,
7.
These two items arehowever heavily offset byafall inthecosts of
commodities purchased abroad ,inparticular corned beef purchased in
Europe .
27)Itshould beemphazised that theabove estimates of1977 supplementary
feeding program costs arestill provisional ,asaresult ofdisruptions
caused bytheaftermath oftheLebanese troubles andbytwomoves of
UNRWA 1shead office ;thefigures arethebest available atthetime
ofpreparing this document . It Is possible
that theCommission mayintroduce modifications during discussions in
the Council .
Budaet charae
28)Theestimated cost oftherequested contribution is4724000EUA.
This canbebroken down asfollows :
(EUA x1000 )
Cotrimodities Cash Total
-Basic rations program : *'
6000 tsugar tl703 ,133 1836
-Supplementary feeding program :
sugar ,flour ,rice 672 2888
'Purchase ofother commodities , 2216
andrunning costs
7Total 2375 2349 4724
Further details aregiven inTable 5.
29)Thecontribution ischargeable toChapters 92(Food Aid )and94
(Cooperation with developing countries )ofthe1977 budget .
Nonewexpenditure fortheCommunity arises since sufficient appropria­
tions already exist under theappropriate budget headings *Afinancial
annex isattached .
30)Since the cash contribution hasnotyetbeen paid orcommitted ,owing
tothedifficulty inestablishing requirements for1977 <Seeabove >,•
acarryover <r*th?appropriation under Article 9':S hs:»frsen made •C19~6~7'8 ).
A/9re

Actionproposed
31)TheCommission considers thattheCommunity shouldcontinueits
'i.supportforUNRWA,andshouldacceptthe/requestforthecontinuation
oftheConvention fortheyear1977.TheCommission therefore '
proposesthattheCounciltakethefollowing decisionofwhich
thetextisattachedinAnnex/:•" /
-Councildecision (EEC)concluding anagreement/intheform
ofanexchange ofletters,toextendfortheyear1977
theConvention between UNRWAandtheE.E.C.dated20July1976.

Table -) V (USDollars *1000)
UNRWA' :INCOME AND EXPENDITURE 1971 -1977
1971 1972 • 1973 1974r
'1975 1976 1977
(prov.)
INCOME.
ι
European Economic Communit )t
|-member states :B J .507 382 262 674 771 996 1110
! 5,3 I 715 914 890 1109 1186 1567 1800
3476 3430 4968 2963 3304 3312 3260
1445 1262 1269 1343 1295 1568 1320
Irl.; 6065 80 ! 100 81 89 100
I 188 198 160 148 200 200
L 4 ! 16 5 6 •144 54 10
N , 176 180 135 • 565 . 1562 1837 1940
UK 4512 4886 4960 4760 6809 6929 8500
11083r
I-11333 12729 11673 15300 16552 .18240
ICommunity j 240 2410 6891 24041 13771 14321 | 16570
ITotal EEC-9 i11323 13743 19620 35714 29071 30873 34810
!USA 22981 24376 23200 ! 28285 42055 38700 48700
;Ar#D states1677 2322
\
«9472069 3090 16234 14847 5830
|Other income 7942 17643 |18231 • ; 26218 30299 34640
TOTAL INCOME 47675 J49388 55269 85320 113578 114719 I 123980
33SS5SSSSSSSS tsss&ssssssasss :
ITOTAL EXPENDITURE 48432 52126 62532 88149 111809 114775 127460
SURPLUS /(DEFICIT )SSSSa.MvSaS
.(757), (2736 ) (7263 ) (2829 ) 1769 «500)-.
Source ;Principally UNRWA report ,sandestimates .

UWA :EEC CONTRIBUTIONS 1971 -1977
\
1971 1972 1973 1974 1975 1976 1977
(Drov .)TOTAL
COMMODITIES Cmtn )
Cereals : 4500 21945 20000 20000 25000 25000 35000 151445
Inform of:
Flour - '2980 11765 11184 13117 ..14241 . 17842 .. 25984 .97113
Rice 3240
i2412 150 I 171 85 171 6229
Skimmed milk powder 1100 1600 . 2000 700 5400 I
Butteroi I. 2000 I 2000 3000 3000 3200 13200
Sugar 61506062 j6094 615.3 6102 30561
I1 h--
Estîmated conxodity value <8000 )
«β–––––––––––––––––––––––––––––––– 240 J1441 4614 12479
!10334 10554 12596 52258 J
Cash contributions (S000) r
Basic rations 50 107 110 i 167 221 972 1627
Supplementary feeding J919 2170 2571 3270 3546 3000 15476 I
Education |8881 ! 8881 I
Total cashI
j969 . 2277 11562 3437 3767 3972 25984
Total conmodi ties dnd cash
($ooo)240 2410 6891 24041 13771 14321 16568 78242

NOTE:Evaluations arejbasedonUNRWA'syearlyestimates ofcommodityvalues.Theseareslightlylowerthan£€C~figures,
mainlyasaresultofUNRWA'spractice ofvaluingbutteroil intermsofvegetable oilreplaced.Therearealso
certaindifferences resulting fromtheyearbyyearallocation ofcontributions .Thecommodity quantities are
takenfromtheEECannualfoodaidprogrammes .

Table 3
EEC ,CONTRIBUTIONS UNDER CONVENTION
iConvention year 1972/73 1973/74 1974/75 1975/76 1977 (proposed )
jPeriod ofappLication July-June July-June July-June July-Dec .|Jan.-Dac . I
Durât ion 12months 12months 12months
' I18months 12months
|Contributions inkind(1)
I
9 Wheat flour 3070 t 1868 t 
2353 t 3675 t 2450 t
fHce 240t 122t 150t 256t
I171t
i Skimised milk powder 1100 t 1600 t 300t 2400 t
ISugar (supplementary feeding )
a150t 62t 94t 153t 102t
|Sugar (basic rations )6000 t(3) 6000 t 6000t J 6000 tI 6000t J
Value (estimated )(2> ,
I"1
2.534 Hua 3,273 Mua 3,362 Mua 4,530 Hua 2,375 Mua
I Contributions incash.I = I~ Π
Basic rations sugar 71 ! 71 111 133
SSupplementary feeding 1,610 1,610 ! 2,161 4,212 2,216
iFeeding centres 42•* --
Total contributions 4,257 Hua 4.954 Mua 5,605 Mua 2,853 Mua 4724 Mua
(1)Commodities foric part oftotal EECcontributions listed inTable 2
(2)Internai prices ,less restitutions ,plus seatransport
(3)Including 4C00talready decided before signature ofConvention

TATîUR4
SUPPLEIfFJNTARY FEEING PROGRAM :July1975-DgeCTber 1976
PLANNKD ANDACTUAL:CO!-^ODITT?S DISTRIBUTE AND^XPRNDITim 1?
A*COMMODITIES DISTRIBUTED (metrictons)
j
!Planned Antuai Varianno
I
Wheatflour 3675 3113 56?
RiceI256 232
Surar 153 ■ 137 16
Skimmedmilkpowder 2400 1153 1247
B.EXPENDITURE ' (USdollars21000)
Planned ActualΓ_
ι
Varinnr ^
(a)Purchases atroad '■
•Corned "beef(tJEC) 1067 489 578(1)
•Tomatopaste(EEO) 56 32 24
•Otherpurchases 248 157 81
1371 688 I
!•
(683
("b)Localwrnhacc -? 709 751 j
♦4a
(c)Staff2°"tr, j29111
2547 ! 164 i
MrtfwrLT–«r1iiiinffwuiuwwwji auwMnwJ
Totalexper.sea1508l
I 398gj1^95f

(1)ofwhich p360000duetoreduced price ,$218000due "toreduced
quantities#
(2)inaddition tofavourable varvdance onexchange of$I84000,the
,EECcash grant of4,212 Muahaving produoed S5265000.
/

UNRWA REQUEST FOR1977
COMMODITIES (1)USgx1000
I*Basicrations program
6000tsugar 2305
2.Supplementary feedingprogram
171trice
2450twheatflour
102tsugar
CASH910
3215
1.Basicrationsprogram
Inlandtransport anddistribution costs(3) 180
2.Supplementary feedingprogram
a)Purchases abroad 351tcornedbeef)
28ttomatopaste)
188tpuises )
141tburghol )
b)Otherexpenses
c)Costsrecovered fromJordan
TOTAL482
2550
(32)
3180
6395
(1)Evaluation atestimated worldpricesdelivered portofunload
<2)Assuming 1EUA=§1,35363 (11-1978)
(3)Assuming S30pertonne.

■t . ■
•»' ' ■■
! ' ■ _.
• Table 6
* ■
REQUESTED CASH CONTRIBUTION TO 1977
SUPPLEMENTARY FEEDING PROGRAM
I. ––––––
ZIIKHot
Hoal
SΚΐΐΐε
ΡΓΟ£Γα·Χ3ί
*OVaer
Baticna
SAdain#
*Total
S
JUPurees ?oft
a)Comed bcof –fcoi
oeal euality
t>)Comod fceof -protoin
•uppltfaont rvialitr
c)Toaato past*
d)Puloes
•)Bar^holl
164,100
.25,200
89,000
30,700m
am173,000164,100
173,000
25,200
89,0'JO
30,700
Tot*l "A" 309,000 173,000 482,000
B,1.Otfrpr nurciLQQod foou
eur>pltor .t
a)L0c.1l purchao®3 (in
particular franhfruits andYorotaMao )
b)Vitamino408,000
12,000m m
8.000<03,000
20,OCO
I
2*Othor pudt)11o8 I 46,000 17,000 1,000 1.000
I65,000
3#Preratrcnl
a)Rentai®
b)n.iintcnonôd
o)Utllitlos and
clo3nlng8,000
17.000
8,0005.COO
5,coo
3,000113,000
22,000 ,
11,000
4«ContrActual corvi oaa >
Principally bakiag o*
bro.:d "■ 53,000m m 58,000
5»Stnff coatot
Ci)Eusunoratioû
b)Travol coata and
clothinr1,330,000
10,COO380,000
4,000.223,000
6.0001,933,000
20.000
Total -3" l,357,OCO 414.COO 9,000 230,000 2,550,00
C.Costa roeovarod froa
Jordan Govcmsont (32.CC0 )(32,000 ;
HT?TOTAL|2,174,000
.... .J. 1J. --_I .414,000 182,000 23C.CCO 3,000,000 •

FINANCIAL ANNEX
RELEVANT BUDGET HEADIN6S
1977BUDGET
*Item9201:"Foodaidincereals-1977Program'
•Item9221:"Foodaid(sugar)-1977Program"
.Article940:"Expenditure resulting fromConvention between
EECandUNRWA"
DESCRIPTION ANDPURPOSE OFOPERATION
Continuation for1977ofConvention between EECandUNRWAgranting
contributions incommodities andincashforuseinUNRWA'sfeeding
programsforPalestine refugees.
LEGALBASIS
a)Cereals :Councildecisionof8February1977onthe1977EECfoodaid
programincereals.
b)Sugar :Councilregulation (EEC)1034/76of30April1976onthe
supplyofwhitesugartoUNRWAasfoodaid.
c)Convention :Councildecisionof20July1976onconclusion ofthe
Convention betweentheEECandUNRWAconcerning aidto
refugeesincountries oftheNearEast.

APPROPRIATIONS
4.1Calculation ofcosts
a)Item9201-Cereals
2450tflour(équivalent 3252tcereals)
EUA/t
Internal price
Restitution267
106
Restitution
Transport94El'A
654000
259000
161 395000
Transport50 123000
211 518000
171trice(equivalent 441tcereals)
EUA/tEUA
Internal price :775 : 133000
16000
-Total681 117000
508000
731 125000
643000
b)*tem_9221__-__Sugar
-6102twhitesugar
Internalprice
Restitution
TransportEUA/t
424
190
234
50
284EUA
2588000'
1160000
1728000
305000
1732f:'C0
-Cashcontribution
Inlandtransportanddistribution forbasicrationsprogram
.-zr\/+ -:133000EUA6000tatS30Vt
Total1865000EUA

c)Article 940 -Convention
Contribution §3million (see text )
Conversion toEUA atassumed rate 81,35363 (11-1978 )
2216 000 EUA
d)Total appropriation 4724 000 EUA.
4.cIncidence ofcosts
a)Theoperation does not imply additional expenses beyond those
appropriations already inthe 1977 budget .
b)The commodities have already been delivered (onthe basis of
Council decisions fixing food aid programs )and have been charged
tothe 1977 budget appropri ations for food aidinsugar andin
cereals .The cash contributions have not been paid ;
acarryover ofthe 1977 budget appropriation was agreed on19June 1978
5.CONTROL OFEXPENDITURE
Financial regulation of21December 1977 applicable togeneral budget of
the Communities .

COUNCIL DECISION
*extending fortheyear1977theConvention between
theEuropean Economic Community andtheUnitedNations
.ReliefandWorksAgencyforPalestine Refugees
(UNRWA).
THECOUNCIL OFTHEEUROPEAN COMMUNITIES
HavingregardtotheTreatyestablishing theEuropean Economic Community
andinparticular Article 113;
Havingregardtotherecommendation fromtheCommission ; ' -
Whereas on20July1976theCommunity concluded aConvention withUNRWA
concerning aidto refugees inthecountries oftheNearEast
duringtheperiodJuly1975toDecember 1976(1);
WhereasunderArticle 10theConvention maybeextended "forsubsequent
periodswithorwithout amendment byagreement betweenthetwoparties
until30June1978;
WhereastheConvention should,subject -tocertainamendments "beextendedfor-the
year1977inorderthattheaidoftheCommunity can"begrantedInacomprehensive
andcontinuous fashion,
(1)0J..L.2.03,29.7.1976,p.40

HASDECIDED ASFOLLOWS :
!
Article 1
Theexchange oflettersconcerning theextension until30June1977
oftheConvention concluded on20July1976betweentheEuropean Economic
Community andtheUnitedNationsReliefandWorksAgencyforPalestine Re­
fugees(lETT.vA)concerning aidtorefugeesincountries oftheHearEastis
herebyapproved on"behalfoftheCommunities .
Thetextofthesaidexchange oflettersisannexedtothisDecision .
Article 2
ThePresident oftheCouncilisauthorized todesignate thepersons
empowered tosigntheexchange oflettersandtoconferonthemthenecessary
powerstobindtheCommunity .
Doneat ........
FortheCouncil,
ThePresident

EXCHANGE OFLETTERS
(a)LetterfromEECtoUNRWA
Withreference totheConvention concluded on20July1976
betweentheEuropean Economic Community andtheUnitedNationsReliefand
WorksAgency,forPalestine Refugees concerning aidtorefugees inthe'
countries oftheNearEast,theCommunity proposesthatinaccordance with
Article 10theConvention beextended fortheyear1977,subjecttothe-
following amendments :
(i)Fortheyear1977thecontribution mentioned inArticle 4
Paragraph 2shallbethirty USDollarspermetricton.
(ii)Thefollowing textisjoinedtotheAnnexoftheConvention

SUPPLEMENTARY FEEDING PROGRAM
Second period ofConvention (Calendar year 1977 )
'1.Contributions inkind
Wheat flour 2450 metric tc
Milled rice 171 metric to
White sugar 102 metric tc
2.Contributions incash
3000 000 USdollars
Corned beef approximately 350 metric tons
Tomato paste approximately 28metric tons
The Community would beobliged iftheAgency would signify whether
itisinagreement with this proposal .2450 metric tons
171 metric tons
102 metric tons
3.Foodstuffs tobepurchased inthe Community
Corned beef approximately
Tomato paste approximately

(b)ReplyfromUNRWAtoEEC
TheAgencyacknowledges receiptoftheCommunity'sletter
dated andreadingasfollows :
(TextofEEClettertoUNRWA) ^
TheAgencywishestoconfirmitsagreement totheabove.