ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(74)1450
Vol.1974/0234

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(74 )1450 final
Brussels ,16September 1974
RECOMMENDATION FOR A
COUNCIL DECISION
ontheconclusion ofanagreement "between theEuropean
Economic Community and theRepublic ofPeru forthe
supply ofcereals asfood aid
(submitted totheCouncil bytheCommission )
COM(74 )1450 final

TIIE COUIICIir OFTHEEUROPEAN COI-KUNITIES ,
Having regard totheTreaty establishing theEuropean Economic Community 4
andinparticular Articles 113 »114and228 ,thereof }
\
Having regard totheRecommendation from theCommission ;
Whereas theEuropean Economic Community hasdeposited aDeclaration for
provisional application ofthe1971 Food AidConvention ;whereas that
Convention hasbeen applicable since 1July 1971 ;
Whereas the Republic ofPeru ,byitsletter of4June 1973
hasrequested food aid ;
Whereas inview ofthecereal supply situation inPeru that country
should beaccorded ,bywayofgift ,5000tonnes ofsoft wheat under the
Community Food AidProgramme for1973/74}
DECIDES t
Article J. ,
Onbehalf oftheEuropean Economic Comnunity anAgreement ,thetext whereof
isannexed hereto ,shall beconcluded between theEuropean Economic Community'
and theRepublic ofPeru forsupply ofsoft wheat asfood aid .
Article 2
ThePresident oftheCouncil ishereby authorized todesignate those v:ho
aretosign theAgreement andtoconfer onthem therequisite powers to
bind theCommunity . •'
Done atBrussels » 19
For the Council
The Président

\
AGREEMENT
BETWEEN ,THEEUROPEAN ECONOMIC COMMUNITY
ANDTIGSREPUBLIC OFPERUON
TOESUPPLYOFFOODAIDINrJHEFORMOF
CEREALS.

TinsCOUNCILOFTHEEUROPEANCCmiUNITIES ,
\
.-\
%
\oftheonepart,
THEGOVERIJiïENT OFTHEREPUBLIC OFPERU
»oftheotherpart,
HAVEDECIDEDtoconcludethiDAgreementandtothisendhave
designateastheirplenipotentiaries :
THE -COUNCILOFTHEEUROPEANCOMJUNITIES t
THEGOVERNMENT OFTHEREPUBLICOFPERU{
VIHOHAVEAGREEDASFOLLOVÎS S

\
ARTICLE I .
TheEuropean Economic Community shall supply bywayofgift tothe
Republic ofPeru (hereafter referred toas"therecipient country ")a
quantity of5000tonnes ofsoft wheat under theCommunity 'sfood aid
programme incereals for1973/74*
ARTICLE II
Deliveries will bemade inbulk FOB inaccordance with the details laid
dovm 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 arising inthis connection shall bethesubject
ofconsultations under Article VIII ofthepresent Agreement .
ARTICLE IV
Therecipient country undertakes touse theproduct received asaidfor
purposes ofconsumption and toapply ,for the sale 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 and theEuropean Economic
Community .

ARTICLE V
TheContractingPartiesundertaketoimplementthisAgreementinsuchaway
astoavoidanyprejudicetothenormalstructureofnationalproduction
andinternational trade.Tothisendtheyshalltakeanymeasuresrequired
toensurethatsuppliesasaidareinadditiontoanddonotreplacebusincfj
transactions whichmightreasonablybeexpectedintheabsenceofsuchsuppl
Inparticular ,therecipientcountryundertakestoimportcommercially from
whateversourcebetween1July1974and30June1975aminimumquanityof
646200tonnes ofsoftwheatoritsequivalentinflourofsoftwheat.
ARTICLEVI
Therecipientcountryshalltakeallstepsrequiredtoprevent:
(i)there-exportoftheproductreceivedasaidandalsoofanyproducts
andby-productsresultingtherefrom ;
(ii)theexport,commerciallyorotherwise,withinaperiodofsixr.ionths
commencingfromthefinaldelivery,eitherofanyproductprocured
locallyofthesamenatureasthatreceivedasaid,orofanyproducts
andby-productoresultingtherefrom.
ARTICLE .VII
(
TherecipientcountryundertakestoinformtheEuropeanEconomicCommunity
ofhowthisAgreementisimplemented .Tothisenditshallprovidethe
CommissionoftheEuropeanCommunities withthefollowingdetails:
(i)Immediatelyaftertheunloadingofeachcargo;ports.anddatesof
arrivalofvesseljnature,quantityandanyobservations astothe
qualityoftheproductsunloaded;dateonwhichunloading v/as
completed;costsofseatransportandofinsurancerelatingth.r^to;
(ii)Everythreemonthsuntilthequantitiesreceivedasaidhave7
fullyused:quantitiessold;mannerofsale;actualsellingprices;
normalsellingcostsontherecipientcountry'smarket;costsof
insuranceandoftransportifapplicable fromtheportofunloading
totheplacesofdestinations

\
(iii)On15Januaryeveryyearuntilthespecialaccounthasbeenfully
expended:
a)Summary .oftheaccount(incomingsandoutgoings)to31December
ofthepreviousyear}
b)Stageofprogressoxtheprojectorprojects,indicatingthe
totalresourcesexpendedtothatstage.
ARTICLEVIII
TheContractingPartiesshallattherequestofeitherconsulteachother
onanyquestionsconcerningtheimplementation ofthisAgreement.
ARTICIB IX
ThisAgreementisdrawnupindxiplicateintheDanish,Dutch,English,
French,German,ItalianandSpanishlanguageseachofthesetextshaving
equalforce} '

ANITEX I
General provisions
Article 1
1 '
V
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 3andunder the
terms specified inthefollowing articles .Without prejudice toArticles 8and
'9theEECshall bear allcosts uptO(delivery andtherecipient country those
beyond delivery *
I ' 'Article 2 . . .
Ondelivery atolerance of5f'less than thequantity oftheproduct tobe
supplied inaccordance with article IoftheAgreement fehall beadmissible *
\
1\ . '
ê
Article 3
TheEECshall appoint anagent toimplement theprovisions ofthepresent
Annex –orforeach consignment -whose name andaddress itshall make
known totherecipient country immediately follotring hisappointment .
Therecipient country shall appoint anagent intheport oi4ports ofship­
ment ,whose name andaddress itshall make knoVnl totheEECWith all
despatch andifpossible before theappointment ofagfent 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 inArtiole 7»allcosts
»
arising fortherecipient country *•foi*example demurrage Void freight
anddead freight -shall beborne bytheEEC*

Thecharges and .thearrangements relating todemurrage laid down inthe
contract between therecipient country and thecarrier 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 fortheEEC tosupply allorpart ofthegoods
onthedate andwithin thetime-limits provided for inArticle 7andwithout
prejudice totheprovisions ofArticle 5»anewdate andanew tims-lirr.it
shall beagreed between theagents oftheEECandoftherecipient country
forthedelivery ofallthegoods oroftheUndelivered part thereof .
Obligations ofthe récipient country
»■
Article 7
After contacting theEEC ,therecipient country shall procure oneorir.ore
vessels totransport all thequantities provided for inArticle 1ofthe
Agreement ,ofdimensions corresponding tothenormal capacity oftheport of
shipment ;these vessels must beready forloading onadate falling within
theperiod referred toinArticle 4»
Theagent oftherecipient country shall inform theEECofthis date
immedately onlearning it,andalso that jforcommencement ofdelivery ,
ifpossible twenty days inadvance andinanycase tendays before thedate
forcommencement ofdelivery *
•Heshall establish with theagent oftheEEC theschedule towhich delivery
shall take place .
Article 8
Should therecipient country beunable tobegin loading onthedate provided
forinArticle 7»paragraph 1,theagent oftherecipient country shall
inform theagent oftheEECwithout delay *

\
Inthiseventanewdateforthecommencementofdeliveryand(ifapplicable)
anewschedulecould "beagreedbetweentheagentsoftheEECandofthe
recipientcountry.Thecostsarisingfromthisdelayshallinallcases
exceptforcemajeurebebornebytherecipientcountry.
Shouldthenewdateprovidedforinparagraph 2bemorethan30cleardays
afterthedateforloadingprovidedforinArticle7»paragraph 1,theEEC
maydisposeofthegoodswithoutprejudicetoitscommitmentunderArticle1
ofthisAgreement.
Article 9
Ifthequantitymadeavailableforloadingonavesselcannotbeputon
boardinitsentirety,therecipientcountryshallinformtheEECassoon
aspossibleandnolaterthanfifteencleardaysafterloadinghasbeen
completedwhetheritintendstoacceptortorenouncethebalance.
Intheformercanetheprovisions ,ofArticle8,paragraphs 2and3ishall
applytothebalance,ifdeliveryhasnotyettakenplace.
InthelattercasetheEECmayconsiderthatithasdischargeditscc;.i:r.it:r.ent
totherecipientcountryunderArticle1ofthisAgreementandshallbear
thecostsresultingfromsuchrenunciation .
Inanyeventaftertheexpiryofanintervaloffifteencleardaysandin
theabsenceofanynoticeonthepartoftherecipientcountry,therenun­
ciationshallbedeemedtohavetakenplace.
Article10
Upondeliveryofthegoods,therecipientcountryshallhandtothe
agentoftheEECacertificateofacceptancestatingtheportofshipment,
dateofacceptance ,thenatureandquantityofthegoodsacceptedand
includinganycommentsonthequalityofthegoods,andsendacopythereof
totheCommissionoftheEuropeanCommunities *