A4-0081/97

Resolution on the economic and commercial aspects of the Partnership and Cooperation Agreement between the European Communities and their Member States, of the one part, and the Republic of Georgia, of the other part

The European Parliament,

- having regard to the proposal for a Council and Commission Decision on the conclusion of a Partnership and Cooperation Agreement between the European Communities and their Member States, of the one part, and the Republic of Georgia, of the other part, which will replace the 1989 Trade and Cooperation Agreement with the USSR on which formal contractual relations are currently based,

- having regard to the fact that a Partnership and Cooperation Agreement between the EC and its Member States and Georgia was initialled on 15 December 1995 and signed on 22 April 1996.

- having regard to Rule 148 of its Rules of Procedure,

- having regard to the report of the Committee on External Economic Relations (A4-0081/97),

A. whereas close cultural and historical links have existed since ancient times between the Transcaucasian countries, particularly Georgia, and certain European countries,

B. whereas Georgia, which has borders with Russia and Turkey, forms part of a strategic area of major importance to the security of Europe as a whole,

C. whereas the various conflicts in the Transcaucasian region are undermining the economic and political stability in the respective countries,

D. having regard to the desire of Georgia and the other Transcaucasian states, members of the CIS, to come closer to Europe's political and security structures and to become progressively integrated into the open international system,

E. having regard to Georgia's efforts to develop a market economy, its commitment to liberalize trade and its intention to join the WTO,

1. Believes that it is urgent and essential that the European Union step up its presence in the Transcaucasian region, and contribute to the political stabilization and economic development of the region, and of Georgia in particular;

2. Notes that respect for democracy, the principles of international law and human rights and the principles of a free market economy is one of the essential elements of the Partnership and Cooperation Agreement, and is encouraged by the progress which has been made by Georgia in this regard; stresses, with interest, that the fact that the country has embarked on genuine economic reform, as attested to by the Commission, has made it possible to post some of the best economic results in the CIS;

3. Recalls, however, its resolution of 14 November 1996 on the death sentences or lengthy prison sentences called for in the case of Georgian parliamentarians and eminent persons involved in democracy ((OJ C 362, 2.12.1996, p. 263.)) and the letter by President Shevardnadze to the President of the European Parliament stating his hope that the de facto moratorium on capital punishment would continue

((Notice to Members, PE 219.899.))4. Notes the strategic importance of the Transcaucasian region in terms of its energy sector, and stresses the importance of the principle of equitable conditions of transit for exporting energy products, and the need for cooperation relating to investment projects in the sector, particularly as regards the construction and refurbishing of the means of transporting energy products, including oil and gas pipelines;

5. Considers that this Agreement will contribute to a positive climate for the development of trade and investment between the EU and the Republic of Georgia;

6. Notes that one of the main elements of the EU's policy of establishing a network of Partnership and Cooperation Agreements with the Transcaucasian states is the promotion of good relations, mutual confidence and regional cooperation amongst these countries;

7. Believes that the development of transport and communications both between Georgia and its neighbours and between Georgia and the European Union, like the energy sector, should be recognized as being of particular importance; calls on the Commission, therefore, in conjunction with the authorities of all the Transcaucasian countries, to investigate the areas which could benefit from such programmes and to report to Parliament on the results of the programmes;

8. Calls on the European Union and its Member States, through the framework of the CFSP, to adopt a more coordinated and active role in helping to solve the current political conflicts, in order to enhance the opportunities for cooperation and the promotion of prosperity and stability in the region provided by the Partnership and Cooperation Agreements;

9. Reaffirms that the basis for the solution of conflicts can only be respect for human and minority rights and the defence of the independence, sovereignty and territorial integrity of the States in the region; stresses that the Partnership and Cooperation Agreement with Georgia represents the EU's commitment to support Georgia's independence, sovereignty and territorial integrity;

10. Recalls its resolution of 14 November 1996 on the situation in Abkhazia ((OJ C 362, 2.12.1996, p. 264.)), which stressed 'that a final peaceful solution to the conflict in Abkhazia should be based on a comprehensive political settlement respecting the sovereignty and territorial integrity of Georgia within its internationally recognized borders¨ and called on the Commission and Council to 'strengthen TACIS and ECHO programmes in the region, and especially to strengthen the cooperation between ECHO and TACIS in order to build a bridge from short-term humanitarian relief to long-term sustainable development¨;

11. Draws attention to the difficult social situation in Georgia, characterized by high unemployment, a large number of refugees and the deteriorating conditions of educational and sanitary structures, and feels that these elements have to be taken into consideration in future TACIS action programmes;

12. Welcomes the structure set up by the Partnership and Cooperation Agreement in such key areas as democracy and human rights and cultural cooperation; points to the importance of cooperation in the field of prevention of illegal activities including corruption, illegal transactions in industrial waste, counterfeiting, money laundering, drugs traffic and illegal immigration;

13. Believes furthermore that Georgia's development is inextricably bound up with that of the other Transcaucasian states and the political stability of the region; attaches the greatest importance therefore to the implementation of transnational programmes and regional cooperation, in particular to the TRACECA programme in the transport sector;

14. Notes the establishment in June 1992 of the Black Sea Economic Cooperation Area with the objectives of creating a zone of peace and prosperity and promoting economic cooperation; welcomes the decision by the participants to establish a Bank for Black Sea Development and Trade to be based in Thessaloniki, and the agreement currently in the final stages of ratification;

15. Takes the view that, with the aim of combating Black Sea pollution, support must be given in the context of the Partnership and Cooperation Agreement to the Black Sea Strategic Action Plan signed by Bulgaria, Georgia, Romania, Russia, Turkey and Ukraine in 1996;

16. Considers that special financial assistance for macroeconomic stabilization should be made available by the Union (in cooperation with the international financial institutions);

17. Instructs its President to forward this resolution to the Commission and Council and to the government of the Republic of Georgia.