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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(73)2127Final
Brussels ,13December1973
RECOMMENDATION FORREGULATION (EEC)OFTESCOUNCIL
ontheconclusionofaCommercialCooperation Agreement'between
theEuropeanEconomicCommunityandtheRepublicofIndia
■andadoptingprovisionsforitsinplementation
(submittedtotheCouncilbytheCommission)
C0Ï:(73)2127filial

1/508/73-E
Recommendation from -the Commission tothe Council onthe
conclusion ofaCommercial Cooperation Agreement "between
the EEC and .India .
1.Atitsmeeting on3April 1973 the Council authorized the Commission toenter
into negotiations with India onaCommercial Cooperation Agreement andadopted
certain guide-lines forthese negotiations .Onthis basis four negotiating
sessions were held (April ,June ,September andOctober 1973 )between theCom­
mission andthe Indian delegation .
2.TheEnglish text oftheAgreement between theEuropean Economic Community and
India wasfinalised atthe last negotiating session held on30October 1973 ?
The Commission delegation was ledbyMr. W.Ernst ,Director-General forExter­
nalRelations ofthe Commission ,andtheIndian delegation byH.E. ,Mr. K.B.
Lall ,Ambassador Extraordinary andPlenipotentiary ,Head oftheIndian Mission
totheEuropean Communities .
3.Thenegotiated texts arethefollowing ?
-The Commercial Cooperation Agreement between theEuropean Economic Community
andtheRepublic ofIndia andthree annexes thereto ,including three Decla­
rations and oneexchange ofletters .-
TheEnglish texts ofthedocuments have already been made available torepre­
sentatives ofMember States inthe Article .113 Committee .
4.TheAgreement andannexes thereto aretheoutcome ofthenegotiations between
theIndian andCommunity delegation .They areconsistent with theguide-lines
adopted bythe Council atitsmeeting on3April 1973 .
•/•••

1/508/73-E
2.
.TheCommissionthereforeconsidersthatithascompletedthetaskentrusted
toitbytheCouncil,andrecommendsthattheCouncilinitiatetheproce­
dureforthesignatureand.conclusionoftheAgreementwithIndia.
5.Withaviewtotheconclusionandimplementation oftheAgreement,the
CommissionherewithtransmitstotheCouncils
-arecommendation foraregulation ontheconclusionoftheAgreement
andtheannexesthereto,v -'Vi:•>:aft'cA--'U-I-•"

1/508/73-E
RECOMMENDATION FORREGULATION(EEC)GFCCCITOTL-
ontheconclusionofaCommercialCooperation Agreementbetween
theEuropeanEconomicCommunityandtheRepublicofIndiaand
adoptingprovisionsforitsimplementation
THECOUNCILOFTHEEUROPEANCOMMUNITIES ,
HAVINGREGARDtotheTreatyestablishing theEuropeanEconomicCommunity,
andinparticularArticles113and114thereof°
HAVINGREGARDtotheRecommendation oftheCommission !
WHEREAStheCommercialCooperation AgreementnegotiatedbetweentheEuropean
EconomicCommunityandtheRepublicofIndiashouldbeconcluded ^
HASADOPTEDTHISREGULATIONS
Article1
TheCommercialCooperation AgreementbetweentheEuropeanEconomicCommunity
andtheJttepublicofIndia,thetextofwhich ,isannexedtothisRegulation,
shallbeconcludedonbehalfoftheCommunity.
Article2
ThePresidentoftheCouncilisherebyauthorizedtodesignatethepersons
empoweredtosigntheAgreementandtoconferonthemthepowersrequired
inordertobindtheCommunity.

I/508/73-E
2.
Article3
TheCommunityshallberepresented ontheJointCommissionprovidedforin
ArticleVIIoftheAgreement "bytheCommission ,assistedbyrepresentatives
oftheMemberStates.
Article4
ThisRegulationshallenterintoforceonthethirddayfollowingits
publicationintheOfficialJcbrnaloftheEuropeanCommunities .
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicable
inallMemberStates.
DoneatBrussels, FortheCouncil
ThePresident

I/508/73-E
COMMERCIAL COOPERATION AGREEMENT EETJiIEENTHEEUROPEAN ECONOMIC COMMUNITY
ANDTHEREPUBLIC OPINDIA.

; •, I/508/73-E
l­
\
THECOUNCILOFTHEEUROPEANCOMMUNITIES ,fortheonepart,
THEGOVERNMENT OPINDIA,fortheotherpart,
HAVINGREGARDtothefriendlyrelationsandtraditionallinksbetweenIndiaand
theMemberStatesoftheCommunityandtheirmutualdesireto
consolidate andexpandtheircommercialandeconomicrelations,
INSPIRED bytheircommonwilltoconsolidate ,deepen,anddiversifytheir
economicandcommercialrelationstothefullextentoftheir~'
growingcapacitytomeeteachother'srequirements onthebasis'
ofcomparative advantageandmutualbenefit, „
CONSIDERING thattradeisnotanendinitselfbutmeansforachievingwider
economicandsocialobjectives ,
VIEWING moderncommercialpolicyasanimportantinstrumentforfurthering
international economiccooperation ,
DESIROUS ofmakingtheircontribution toanewphaseofinternational eco­
nomiccooperation commensurate withtheirrespective human,in­
tellectualandmaterialresources,
BELIEVING thatthetimeisopportunetogiveanewimpetustothemutual ■
relationship betweentheenlargedCommunityandIndia,
AFFIRMING theircommoncommitmenttothepromotionofinternational ;r;'-'*
economicrelationship foundedonfreedom,equality,justiceand ,
progress, .
HAVEDECIDEDtoconcludeaCommercialCooperation Agreementandtothisend
havedesignatedastheirplenipotentiaries ?
THECOUNCILOFTHEEUROPEAN COMMUNITIES ; ..,
THEGOVERNMENT OFTHEREPUBLICOFINDIA; ;'\
Who,havingexchangedtheirFullPowers,foundingoodanddueform;
HAVEAGREEDASFOLLOWS;CONSIDERING
VIEWING
DESIROUS
BELIEVING
AFFIRMING
HAVEDECIDED

1/508/73-E
2.
ARTICLE I
The "twoParties aredetermined ,todevelop their commercial exchanges onthe
basis ofcomparative advantage andmutual "benefit soastocontribute totheir
economic and social progress and tothe improvement ofthebalance oftheir
mutual trade atalevel ashigh aspossible .
ARTICLE II
The two Parties shall accord toeach other mtheir commercial relations most
favoured nation treatment inaccordance with theprovisions ofthe GATT .
ARTICLE III
ThetwoParties shall grant each other thehighest degree ofliberalization
ofimports andexports which they genrally apply tothird countries andunder­
take todiscuss inregard toproducts ofinterest toeither Party ways and
means ofproviding maximum facilities compatible with their respective policies
andobligations . ' '
ARTICLE IV
ThetwoParties shall undertake topromote tothehighest possible level the ,
development andthediversification ofCommunity 'simports ;from India and
India 'simports from theCommunity .Both Parties shall take allappropriate
steps toachieve these results ,including such particular measures which
arerelevant tothepattern andpotential oftheir commercial exchanges .
Further they agree tosupport theinstitutions which have been ormaybe
setupbythem toenhance contacts andcooperation between their economic
organizations .

1/508/73-E
3.
ARTICLEY
ThetwoPartiesrecognizethatcooperation betweenorganizations concernedin
thefieldofexportsto,andinthefieldofeconomicrelationswith,third
countries,especiallydevelopingcountries,cancontributetothediversifi­
cationoftheirmutualcontactsandtoanexpansionofinternational trade.Ac­
cordinglytheyundertaketoexaminethepossibilities ofpromotingsuchcoope­
rationandtocreatefavourableconditionsforfurtheringit.
ARTICLEVI
ThetwoPartiesmaydevelopeconomiccooperation ,whenlinkedwithtrade,in
fieldsofmutualinteresttobothPartiesandinthelightofdevelopments
intheeconomicpoliciesoftheCor.rmrityendofIndia.
ARTICLEVII
ThereshallbesetupaJointCommissionforcommercialcooperation composed
ofrepresentatives oftheCommunityandrepresentatives ofIndia.TheJoint
Commissionshallmeetasoftenasnecessaryandatleastonceayearatan
agreeddateandplace.Extraordinary meetingsmaybeconvenedbyagreement
attherequestofeitherParty.TheJointCommission maysetupspecialized
sub-commissions toassistitintheperformance ofitstasks.
ARTICLEVIII
ItshallbethetaskoftheJointCommissiontoensuretheproperfunctioning
ofthisAgreement,todevisepracticalmeasurestoachieveitsgoalsandto
discussandpursueeffectively ,inthelightofitsprinciplesandobjectives ,
allmatterswhichmayariseinthecourseofitsimplementation .Itshallbe
incumbentuponittoexamineanydifficulties likelytohinderthedevelopment
anddiversification ofthecommercialexchangesbetweenthetwoPartiesand
torecommendpracticalmeasuresforactionbytheCommunityandIndia,as
appropriate .
ARTICLEVX
TheJointCommissionshallinparticularberequired:
a)toseekwaysandmeansofencouragingthedevelopmentofeconomicandcom­
mercialcooperation betweentheCommunityandIndia,insofarasthiswould
promotethedevelopment anddiversification oftradeandbringbenefitsto
bothParties;

1/508/73-E
4-
ID)tostudy and .devise ways andmeans toovercome trade barriers andinparti­
cular existing non-tariff andquasi-tariff barriers inthevarious sectors
oftrade ,taking into account therelevant work undertaken inthis field
'.byconcerned international organizations 5
c)toexamine andrecommend ways andmeans fortheprogressive adaptation of
their trade pattern andmarketing structures with aview topromoting the
evolution oftheir commercial and economic relations inaccordance with
their complementary possibilities ,aswell asthelong-term objectives of
theeconomies ofboth Parties ,soastorectify imbalances andavoid malad­
justments ;
d)tofacilitate exchanges ofinformation onallsubjects which maybear upon
cooperation possibilities inthe economic field andcreation offavourable
conditions for such cooperation onmutually advantageous bases between the
Community andIndia *
' ARTICLE X .
The contracting Parties agree that itshall equally bethetask ofthe Joint
Commission toensure theproper functioning ofthe sectoral agreements con­
cluded oryet tobeconcluded between the Community andIndia onjute ,coir
andcotton textiles andcottage industry goods (handicrafts andhandloom fa­
brics )andthat ,tothis end ,itshall exercise theresponsibilities entrusted
tothe joint commissions setupunder these agreements .
ARTICLE XI
The Joint Commission shall adopt itsownrules ofprocedure andprogramme of
work .
'ARTICLE XII
Theprovisions ofthis Agreement substitute those provisions ofagreements
concluded between Member States ofthe .Community andIndia totheextent to
which these areeither incompatible oridentical with them .

1/508/73-E
5.
ARTICLEXIII
TheAnnexesformanintegralpartofthisAgreement.
ARTICLEXIV
TheAgreementshallapplytotheterritories wheretheTreatyestablishing
theEuropeanEconomicCommunityapplies,ontheconditionsestablishedin
thisTreaty,andtotheterritoriestowhichtheconstitution oftheRepublic
ofIndiaapplies.
ARTICLE XV■
0.)ThisAgreementshallenterintoforceonthefirstdayofthemonthfol­
lowingthedateonwhichthePartieshavenotifiedeachotherofthecomple­
tionoftheproceduresnecessaryforthispurpose.Itisconcludedfora
periodoffiveyears.ItshallbeextendedfromyeartoyearifneitherParty
denouncesitsixmonthsbeforethedateofexpiry.
b)IfbothPartiesagree,modificationstothisAgreementmay,however,be
introducedatanytimetotakeaccountofemergingsituationsandevolving
policies.
ARTICLEXVI.:.
ThisAgreementisdrawnupintwocopiesintheDanish,Dutch,English,
Pb?ench,German,HindiandItalianlanguages,eachofthesetextsbeing
equallyauthentic.

1/508/73-E
ANNEXI
JOINTDECLARATION CONCERNING ART.7OPTHEAGREEMENT.
1.Thelevelofrepresentation fromthetwosidesintheJointCommissionshall
beashighasappropriate ,dependingupontheimportanceoftheagenda.
2.Therepresentatives ofbothPartiesintheJointCommissionwilltransmit
theagreedrecommendations totheirrespectiveauthoritiesforconsideration
andactionasspeedilyandeffectively aspossible.
IntheeventoftheJointCommissionbeingunabletoevolvearecommendation
onamatterconsideredbyeitherPartytobeurgentorimportant,itshall
submittheviewofthetwosidestotherespectiveauthoritiesforfurther
consideration .
3.TheJointCommissionshould,whilemakingproposalsandrecommendations ,have
dueregardtoIndia'sdevelopment plansandtotheprogressofeconomic,in­
dustrial,social,environmental andscientificpoliciesoftheCommunityas
wellastothelevelofeconomicdevelopment ofbothParties.
4.TheJointCommissionwouldexaminepossibilities ofandmakerecommendations ■'
for8xiefficientandcoherentutilization ofallavailableinstruments ,be­
sidesMENtariffsandGeneralizedPreferences ,topromotethetradeofitems
ofinteresttoIndia.
5.ThefirstmeetingoftheJointCommissionwouldtakeplaceassoonaspossible
aftertheenteringintoforceofthisAgreement.Theexactdate,venueand
agendawillbedecidedthroughdiplomaticchannels.
•/•••

1/508/73-E
ANNEXII
Brussels,
Sir,
Duringthediscussions whichledtotheconclusionthisdayofthe
CommercialCooperation Agreement "betweentheEECandtheRepublicofIndia,
theCommunitydeclaredthatitispreparedto"bindthetariffsuspensions
alreadyappliedautonomously inrespectoftheproductslistedbelowwhich
areofparticularinteresttoIndia.Theseconcessionsshallremain .val-idun­
tiltheyareconfirmedormodifiedunderGATT,withtheagreementof,"both.
Parties.
Listofproductsconcerned;
CCT: Binding )-,
•Deseription proposed%
No.
09.02 Teas
A.Inimmediatepackingsofanetcapacity
notexceeding 3kg 5
B.Other Free
09.04 Pepperofthegenus"Piper";pimentoofthegenus
"Capsicum"orthegenus"Pimenta"
A.Neithercrushednorground;
I.Peppers ,
a)fortheindustrialmanufactureofessential
oilsorresinoids Free
O9.O0 Nutmeg,maceandcardamoms;
B.Crushedorground;
III.cardamoms Jtee
41.02 Bovinecattleleather
(including "buffaloleather)andequineleather,
exceptleatherfallingwithinheadingnos.
41.06.41.07or41.08;
A.EastIndiakip,whole,whetherornottheheads
andlegshave"beenremoved,weighingeachnot
morethan4I5kgnet,notfurtherpreparedthan
---vegetable -tanned,whetheror-not-having -under-gone -
furtherpreservative treatmentwithoil.,but
obviouslyunsuitableforimmediate ,useinthe
manufacture ofleatherarticles Free
Weshouldbegrateful,ifyouwouldbekindenoughtoconfirm,on
behalfoftheRepublicofIndia,theabove-mentioned understanding .
Iavailngrself,Sir,ofthisopportunitytorenewtheassurances
ofmyhighestconsideration .
Mr.
HeadoftheIndiandelegation

1/508/73-E
ANNEXII
Brussels.
Sir,
Ihavethehonour "toacknowledgereceiptofyourletterof
whichreadsasfollows ?
"Duringthediscussions whichledtotheconclusionthisdayofthe
CommercialCooperation AgreementbetweentheEECandtheRepublicofIndia,the
Communitydeclaredthatitispreparedto"bindthetariffsuspensionsalready
appliedautonomously inrespectoftheproductslistedbelowwhichareofparti­
cularinteresttoIndia.Theseconcessionsshallremainvaliduntiltheyarecon­
firmedormodifiedunderGATT,withtheagreementofbothParties.
Listofproductsconcerned;
GCT-- --............... ...... Binding
Heading Description proposed%
Ko.
09-.02-Teas ---––-–
A.Inimmediatepackingsofanetcapacitynot
exceeding 3kg 5
B.Other Free
09.04Pepperofthegenus"Piper";pimentoofthegenus
"Capsicum"orthegenus"Pimenta"
A.Neithercrushednorground;
I.Pepper;
a)fortheindustrialmanufactureofessential
oilsorresinoids Free
O9.O0 Nutmeg,maceandcardamoms;
B.Crushedorground;
III.Cardamoms Free
41.02 Bovinecattleleather
(includingbuffaloleather)andecruineleather,except
leatherfallingwithinheadingnos.41.06,41.07or
41.08;
A.EastIndiakip,whole,whetherornottheheads
andlegshavebeenremoved,weighingeachnot
morethan4»5kgnet,notfurtherpreparedthan
vegetabletanned,whetherornothavingundergone
furtherpreservative treatmentwithoil,but
obviouslyunsuitableforimmediateuseinthe
manufacture ofleatherarticles Free
Weshouldbegrateful,ifyouwouldbekindenoughtoconfirm,on
behalfoftheRepublicofIndia,theabove-mentioned understanding ."
.©nbehalf-oftheRepublic'ofIndiai.I-have4r-fche>honotr *to.confirmrthe
above-mentioned understanding .
Iavailmyself,Sir,ofthisopportunitytorenewtheassurancesof
myhighestconsideration .
Mr.
HeadoftheCommunitydelegation

1/508/73-E
ANNEX III
DECLARATION OPTEE COMJIOTITY CONCERNING
•TARIFF ADJUSTMENTS
TheCommunity confirms that theGeneralized Scheme ofPreferences (G.S.P. )
which wasautonomously put into force bytheEEC on1July 1971 onthe "basis
ofresolutions of19^9 »No.21(II)ofthesecond conference ofUNCTAD in­
cludes products forwhich inthecourse ofthenegotiation oftheCommercial
Cooperation Agreement ,signed this day ,total tariff suspensions were re­
quested "byIndia .
The Community isprepared ,inthe course ofitsendeavours toimprove the
system ofGeneralized Preferences ,totake into account the interest of
India intheextension andstrengthening ofitstrade relations with the
Community .
The Community isalso prepared toexamine inthe Joint Commission thepossi­
bilities forfurther tariff adjustments topromote thedevelopment oftrade
between India andthe Community .
The Community understands ,that India will also beprepared todiscuss in
theJoint Commission theCommunity 'sproposals ,ifany ,inregard totariff
adjustments byIndia bearing onthedevelopment oftrade between thetwo
Parties ,taking into consideration India 'sdevelopment needs .

1/508/73-E
AENEX III
DECLARATION OPINDIA CONCERNING TARIFF ADJUSTMENTS
India understands that the Community isprepared ,inthecourse ofits
endeavours toimprove the system ofGeneralized Preferences ,totake into
account the interest ofIndia intheextension andstrengthening ofits
trade relations with the Community .Inthis connection ,India will identify
forconsideration bytheCommunity the areas inwhich Community 's1974
GSPScheme canheimproved ,more especially inthecontext oftheprovi­
sions ofthe Joint Declaration ofIntent .
India further understands that theCommunity isalso prepared toexamine in
the Joint Commission thepossibilities offurther tariff adjustments to
promote thedevelopment oftrade between India andthe Community .
Inthis connection India will notify totheCommunity the list ofthepro­
ducts inrespect oftvhich total tariff suspension isdesired forbeing
examined inthe first meeting ofthe Joint Commission .
India will also beprepared todiscuss inthe Joint Commission the
Community 'sproposals ,ifany ,inregard totariff adjustments byIndia
bearing onthedevelopment oftrade between thetwoParties ,taking into
consideration India 'sdevelopment needs .