ARCHIVES HISTORIQUES
DELACOMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (79)552
Vol.1979/0190

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(79)552 final
Brussels-22October1979
Recommendation fora
COUNCILDECISION
onthesignature andconclusionofthe
International OliveOilAgreement-1979
(submittedtotheCouncilbytheCommission )
■ "\
;-r
xv,'J?j
CVjI7Y>v,^y
_/ν/
C0M(79)552final

Explanatory Memor yidui "
1.The-tex.t ofthe 1979 International Olive Oil Agreement wasestablished by
the United Nations Conference onOlive Oil,which was held inGeneva from
20to30March 1979 and atwhich the Commission ^assisted bytheArticle 113
Committee ,negotiated onthe basis ofthedirectives (1)approved bythe
Council on19March 1979 .
(2), .The negotiated text conforms inevery respect with tnese directives .
t _
2.The Agreement isduetoenter into force on 1January 1980 for aperiod of
five years . _
3.Itisopen for signature inMadrid ,with the Government ofSpain ,the deposi­
tary ,from 1July to16November 1979 inclusive .
Ifsuch signature issubject toratification ,acceptance orapproval ,the
appropriate instrument should bedeposited with thedepositary not later than
31December 1979 or,ifthis isnot possible ,adeclaration ofprovisional ap­
plication should bedeposited before that date . *
^4.Theold Agreement ,which iscurrently inforce >was conceived in1963,before
acommon market organisation forolive oil had been established .Itwas formu­
lated interms which specifically envisaged the separate participation ofindi­
vidual Member States ofthe Community and provided only for the eventual possi­
bility ofmembership bythe Community assuch .Forthe purposes ofthis possi­
bility the Agreement provided for the Community'svoting rights anditsobli­
gations tocontribute tothe administrative budget ofthe Olive Oil Council to
bederived from the aggregate ofthe voting rights andfinancial obligations
ofthose' ofits Member States who became Contracting Parties .Inall circumstan­
ces,the Community was excluded from participation inthat part ofthe Agreement
relating tothe Publicity Fund .
5.Incontrast ,the new Agreement reflects the fact that its content iswholly
within the scope ofthe common commercial policy and,since the product in
question issubject toacommon market organisation ,also within that ofthe
common agricultural policy .Itistherefore Expressed interms ofmembership
ofthe whole Agreement bythe Community asawhole ;the votes Which areattri­
buted toeach member ofthe Agreement for the purposes ofdecisions bythe Inter
national Olive Oil Council areattributed directly tothieCommunity and not to
its Member States ;and the financial obligations arising out ofthe Agreement
! .1
(1)See Annex toReport No5543 /79ofthe Permanent Representatives Committee
dated 14March 1979 . ....
(2)Aresume oftheprovisions oftheAgreement isattached atAnnex I.

areplaced directly onthe Community assuch .Inthese circumstances itis
clear that theAgreement should besigned andconcluded bytheCommunity >
alone .
.Financial implications
6.TheCommunity contribution totheadministrative budget oftheInternational
Olive OilCouncil will continue tobepaid asin1978 and1979 from the Com­
munity Budget (Item 2981 )andwill beofthesame order ofmagnitude ;the Com
munity contribution tothePublicity Fund,which isanewelement ,will be fi­
nanced inaccordance with therules laid down inArticle 11(3 )ofCouncil
Regulation No136/66/EECof22September 1966 (1),asamended byCouncil Regu
lation (EEC)No1562/78of29June 1978 (2).
This contribution will beoftheorder ofUSD 100 000.
Recommendati on
The Council isrequested
-todecide infavour of=thesignature ofthe 1979 International Olive Oil
Agreement by16November 1979 atthelatest ;
=theconclusion ofthe Agreement by31December 1979
atthelatest ; \
todesignate theperson empowered tosign andconclude theAgreement .
Thedraft legal text is'attached atAnnex II. '
Thetext oftheInternational Olive OilAgreement ,1979 isattached atAnnex III.
(1)0JNo172,30.9.1966 .
(2)0JNo L171,28.6.1978 .

Annex I
International Olive Oi LAgreement 1979
Résumé ofprovisions
1.The Agreement provides anadministrative framework for international
cooperation inolive oil matters through : '
(a)acontinuing review of)the world market forolive oil andtable
olives ;
(b)the promotion oftechnical improvements inolive oil production ;
(c)thedefinition and respect ofolive oil quality standards ;
- ■(d)the constitution and operation ofa.Publicity Fund topromote market
-outlets for olive oil.
2.Itcontains noprovisions relating toprice levels orstocks .Forthis rea­
son,itwill not qualify forparticipation inthe Common Fund first window .
Thepossibility ofbenefit from the second window ofthe Common Fund remains
open for examination and recommendation bythe International Olive Oil
Council (see para 4below ). -
3.The Community figures inthe Agreement asasingle entity ,with the dual
status ofmainly producing member and mainly importing member .
4.The governing body ofthe Agreement isthe International Olive Oil Council .
Council decisions will require afour-fifths majority ofvotes cast aswell
asamajority ofmembers voting .The Community will have one-third ofthe
votes inthe Council ;therefore ,while itcannot .impose adecision inits
own favour ,itcan never have adecision forced upon it.
x'. ( ' . •
5.All the expences ofthe Agreement ,except the Publicity Fund,are financed
-through members' contri butions tothe Council administrative budget .(Community
contribution ofthe order of300 000 dollars US).
6.The Publicity .Fund isfinanced bycontribution 'sfrom producer members only
(Community contribution ofthe order of100 000dollars US,equal toone-third
oftotal contributions ).Decisions regarding expenditure from the Fund are
taken bymajority vote ofcontributing members ,each member having votes pro­
portionate toitsfinancial contribution .Majority vote isdefined inthe same
way asfor votes inthefull Council .(See para 4above )

>
Annex II
Recommendation for aCouncil Decision onthe signature and
conclusion oftheInternational Olive Oil Agreement ,1979
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
Having regard tothe Treaty establishing the European Economic Community ,
and inparticular Article 113 thereof .
Having regard tothe Recommendation from the Commission ,
Whereas the International Olive Oil Agreement ,1979 isconcerned ingeneral
with the promotion ofinternational cooperation and contributes tothe attainment
ofthe objectives ofthe Community commercial and common agricultural policy ,
HAS DECIDED AS FOLLOWS :
Article 1
The International Olive Oil Agreement ,1979,ishereby approved inthe name ofthe
Community .
\
The text ofthe Agreement isannexed tothis Decision *
Article 2
The President ofthe Council ishereby authorised todesignate the person
empowered tosign the International Olive OiLAgreement ,1979,inorder to .
bind the Community .
Article 3
This Decision ispublished intheOfficial Journal ofthe European Communities ,v
Done atBrussels , For the Council

AWNJbXix
ν
INTERNATIONAL OLIVEOILAGREEMENT,1979

CONTENTSpage 1
PREAMBLE
CHAPTER I-GENERAL OBJECTIVES . ~
Article 1
CHAPTER II-MEMBERS
Article 2
CHAPTER III -DEFINITIONS
Article 3
CHAPTER IV-GENERAL OBLIGATIONS
Article 4
Article 5
Article 6 1
Article 7
CHAPTER V-TECHNICAL MEASURES -
Article 8
,Article 9
CBATTER VI-DESIGNATIONS AND DEFINITIONS OFOLIVE OILS AND OLIVE-RESIDUE OILS
INDICATIONS OF SOURCE AND APPELLATIONS OF ORIGIN
Artide 10
Artide 11
Artide 12
Artide 13
Artide 14
CHAPTER VII -WORLD PUBLICITY TO PROMOTE OLIVE OIL CONSUMPTION
Publicity campaigns
Article 15
Article 16
Article 17
Publicity Fund
Article 18
Article 19'
Article 20

page 11
CHAPTER VIII -ECONOMIC MEASURES
 '
Article 21
Article 22 .\
Article 23 -
CHAPTER IX-OTHER PRODUCTS OFTHE OLIVE TREE
Article 24
Article 25
Article 26
CHAPTER X-ADMINI STRATI ON
»
International Olive Oli Council
Artide 27
 
Functions oftheCouncil .
Article 28
Arficle 29
Composition ofthe Council
Article 30
Meetings oftheCouncil
Article 31
Article 32
Article 33
Article 34
Decisions ofthe Council
Article 35 -1
Secretariat
''Article 36
CHAPTER XI-PRIVILEGES AND IMMUNITIES
Article 37
CHAPTER XII -FINANCIAL PROVISIONS »
Article 38 -
\
CHAPTER XIII -CO-OPERATION WITH OTHER ORGANIZATIONS AND ADMISSION OFOBSERVERS
Article 39

CHARTER XIV -DISPUTES AND COMPLAINTS
Article 40
 
CHAPTER XV-PINAL PROVISIONS
Participation inthe Agreement
Article 41
Signature
Artide 42
Ratification .acceptance orapprovai
Article 43
Accession
Article 44
Notification ofprovisional application
Article 45
Entry into force
Article 46
Amendment
Article 47
Withdrawal
Article 48 •
Duration ,prolongation ,extension orrenewal ,and expiry
Article 49
Authon t.iotoyto
Article 50

pago 1
UTTERMATI OFAL OLIVE OILAGREEMENT ,-1979
PREAMBLE
Bearing inmind that the olive trees
–isaplant notonly indispensable forthemaintenance andconservation of
soils ,"butonewhich makes itpossible todevelop land that will notyield other
crops andwhich ,even under non-intensive farming conditions ,which account
fortheessential part ofpresent production ,responds favourably toany
improvement incultivation , -
-isaperennial fruit tree that with appropriate -techniques ,which should
beavailable toolive-growing countries andparticularly todeveloping olive -
growing countries ,permits areturn onwhat isinvested initscultivation ,
Emphasizin gthat itscultivation governs theexistence andlevel ofliving
ofmillions offamilies which arewholly dependent onthemeasures taken to
maintain andexpand the ..consumption ofitsproducts ,both in'theproducing
countries themselves andinnon-producing consumer countries ,
Mindful that olive oilforms anessential basic commodity intheregions
where olive-growing isestablished ,
Bearing inmind that the essential .feature ofthe olive oilmarket lies in'
irregular harvests andintheirregularity with which supplies reach themarket ,
andthat this results influctuations intheralue ofproduction ,instability of
prices andexport earnings ,andconsiderable differences inproducers' incomes .
Bearing inmind that these circumstances give rise tospecial difficulties
which mayseriously harm theinterests ofproducers andconsumers andjeopardize
general policies ofeconomic expansion incountries intheregions where olive -
growing isestablished

page 2
Emphasizin ginthis connexion themajor importance oftheproducts in
question fortheeconomies ofmany countries ,particularly developing olive -
growing countries ,
Ilindful that themeasures tobotaken inthelight ofthevery particular
characteristics ofolive-growing and theolive oilmarket transcend thenational
sphere ,andthat international action isessential ,
Considerin gtheInternational Olive OilAgreement ,1963 ,asextended and
amended bythesuccessive Protocols of30March 19^7 ,7March 1969 ,^3March
1973 and 7April 1978 ,including theamendments which entered into force on
1November 1971 byvirtue oftheprovisions ofarticle 38oftheAgreement (all
ofwhich instruments are hereinafter referred toas"the International Olive
OilAgreement ,1963"),
Considering that inprinciple that Agreement will expire on31December
1979 ,
Being oftheview that isisessential tocontinue anddevelop thework
undertaken within theframework ofthat Agreement ,andthat iisdesirable to
conclude anewagreement ,
The Parties tothis Agreement have agreed asfollows ?

page 3
-CHAPTER I
GENERAL OBJECTIVES
Article 1
Theobjectives ofthis Agreement ,which take account oftheprovisions of
resolution 93(iv)oftheUnited Nations Conference onTrade andDevelopment ,
are asfollows !
(a)Tofoster international co-operation onproblems relating totheworld
olive oileconomy ingeneral ;
(b)Tofoster research anddevelopment andtheelaboration ofallpossible
means ofapplying techniques relevant totheproblems facing olive oiland the
olive oilsector generally inthefields ofproduction andprocessing ,and
conducive tothemodernization ofolivo husbandry and theolive oil industry ,
through technical andscientific planning ,with aview toencouraging the
transfer oftechnology ,improving olive husbandry andthequality oftheproducts
obtained therefrom andreducing their cost ofproduction ,thus improving the
position ofolive oilinthetotal market foredible fluid vegetable oils ;
(c)Tofacilitate thestudy andapplication ofmeasures forexpanding the
international olive oiltrade ,inorder toincrease xheresources which producer
countries ,andespecially developing producer countries ,derive from their
exports euid toenable their economic growth and social development tobe
hastened ,while taking consumer interests into account ;
(d)Tofacilitate thestudy andapplication ofmeasures forbalacing
production andconsumption through theintroduction oftheappropriate arrangements
including arrangements toexpand consumption ; '

page 4
(e)Tolessen thedrawbacks associated with fluctuations inthesupplies
available onthemarket ,inorder inparticulars
(i)toprevent excessive fluctuations inprices ,which must beatlevels
that areremunerative and just toproducers andequitable to
.consumers 5
(ii)tocreate conditions which allow production ,consumption and
international trade toexpand harmoniously ,having regard tothe
ways inwhich they arc interrelated •
(f)Toforestall and ,where appropriate ,combat anypractices ofunfair
competition intheinternational olive oiltrade andensure thedelivery of
merchandise which complies fully with theterms ofthecontracts that are
concluded ;
(g)Tofoster theco-ordination ofproduction policies andmarketing
policies forolive oilandtheorganization oftheolive oilmarket ;
(h)Toimprove market access andreliability ofsupply ,market structures ,
andmarketing ,distribution andtransport systems ;
(i)Toimprove procedures forinformation andconsultation inorder ,
among other things ,toenhance thetransparency oftheolive oilmarket ;
(j)Tostudy andfacilitate theapplication ofthenecessary measures for
other products oftheolive tree ;
(k)Tostudy thesituation oftheolive oilindustry asfarasthe
environment isconcerned and ,where appropriate ,recommend suitable action in
conformity with therecommendations oftheUnited Nations Conference ontheHuman
Environment ,1972 toabate anynuisances ;
(l)Tocontinue andextend thework done under theprevious International
Olive OilAgreements .

page 5
CHAPTER II -
HEUBERS
i Article 2
Each Contracting Party shall constitute asingle Member ofthe Council .
CHAPTER III
DEFINITIONS
Article 3
1,For the purposes ofthis Agreement ;
(a)'•Council "means theInternational Olive OilCouncil referred toin
article 27?
(b)"olive crop year "means theperiod from 1November ofoach year to
31October ofthefollowing year ; 1
(c)"mainly producing Member "moans aMember '.hose production ofolive oil
intheolive crop years 1972/73-1977 /78inclusive exceeded -itsimports for
thecalendar years 1973 to1978 inclusive ?
(d)"mainly importing Member "means aMember whose production ofolive oil
intheolive crop years 1972/73-1977 /78inclusive wasless thanitsimports for
thecalendar years 1973 to1978 inclusive ,orforwhich noproduction ofolive
oil was recorded during those crop years ?
(e)"Member "means aContracting Party tothis Agreement .

page 6
2.Any reference inthis Agreement toa"Government "or"Governments "shall be
construed asincluding areference totheEuropean Economic Community (hereinafter
referred toas"theEEC")oranyintergovernmental organization having
responsibilities inrespect ofthenegotiation ,conclusion andapplication of
international commodity agreements .Accordingly ,anyreference inthis "Agreement •
to"signature "ortothe"deposit ofinstruments ofratification ,acceptance or
approval "or"aninstrument ofaccession'' ortoa"notification ofprovisional
application "byaGovernment shall ,inthecase oftheEEC ,beconstrued as
including signature ornotification ofprovisional application onbehalf ofthe
EECbyitscompetent authority ,andthedeposit oftheinstrument required bythe
institutional procedures oftheEEC tobedeposited for theconclusion ofan
international agreement .Itshall also ,inthecase ofanintergovernmental
organization having responsibilities inrespect ofthenegotiation ,conclusion
andapplication ofinternational commodity agreements ,beconstrued asincluding
signature ornotification ofprovisional application onbehalf' ofthe inter­
governmental organization concerned byitscompetent authority ,and thedeposit
oftheinstrument required byitsinstitutional procedures for theconclusion
ofaninternational agreement .
3.Notwithstanding theprovisions ofparagraph 1(c)and (d)ofthis article ,
theEEC shall beconsidered both asa"mainly producing Member "and asa
"mainly importing Ilember ".
4.Ifanintergovernmental organization other than theEEChaving responsibili­
ties inrespect ofthenegotiation ,conclusion andapplication ofinternational
commodity agreements contemplates becoming aContracting Party ,themodalities
ofitsparticipation inthis Agreement shall bedecided byagreement between the
Council and that intergovernmental organization before commencement ofthe
procedure which theorganization has tofollow tobecome aContracting Party .
CHAPTER IV
GENERAL OBLIGATIONS
_Articl _e__4
TheMembers undertake nottoadopt anymeasure that conflicts with their
obligations under this Agreement and itfith thegeneral objectives setforth in
article 1.

pago 7
:Articig5
Both the .producing and .Consuming Ilembors undertake toadopt allappropriate
measures tofacilitate trade ,encourage olive oilconsumption andensure the
proper development oftheinternational olive oiltrade .Tothat end ,they
undertake toconform totheprinciples ,rules andguidelines they have approved
inthecompetent international forums .They also undertake toadopt measures to
encourage the sale ofolivo oil atprices which arecompetitive attheconsumer
level ,including measures fordetermining assistance andnarrowing theprice
differential between olive oilandother edible vegetable oils ,inorder to
encourage olive oilconsumption .
Article 6
TheMembers declare that ,morder toraise thelevel ofliving oftheir
populations ,they will endeavour tomaintain fair standards inworking conditions
throughout theolive-growing andolivo oilindustry andactivities deriving from .
it.
Article 7
The Members undertake tomake available and furnish tothe Council all
thestatistics ,data' anddocumentation which itneeds todischarge itsfunctions
under this Agreement ,and inparticular anyinformation itrequires inorder to
establish theolivo oilbalance a^idacquire aknowledge ofMembers' national ,
olivo oilpolicies . .

pago 8
CHAPTER V
.TECHNICAL MEASURES
^rticlG_8
1.Inorder toachieve thegeneral objectives setforth inarticle 1with
regard totechnical improvements inolive cultivation .andoilextraction ,the
Council shall foster andpromote related activities andprogrammes ..
2.Itshall inparticular :
(a')collect technical information andcirculate ittoallMembers ;
(b)promote' action toco-ordinate technical improvement activities among
Members ,including action within theframework ofinterregional or
regional planning ;
(c)assist national planning relating totechnical improvements inolive
cultivation andoilextraction .andtoresearch ,research application ,
dissemination ofknow-hox *,experimentation anddemonstration ,in
particular inthedeveloping olive-growing countries ;
(d)undertake thenecessary studies ontheeconomic returns which canbe
expected from theapplication ofresearch ;
(e)foster appropriate action totrain high-level andspecialized staff ;
(f)convene orfoster theholding ofinternational meetings ;
(g)encourage thetransfer oftechnology todeveloping olive-growing
countries from countries highly advanced inolive cultivation andoil
extraction techniques ;
(h)promote bilateral ormultilateral co-operation which canassist the
Council inachieving theobjectives ofthis Agreement .

pago 9
Article 9
1.TheCouncil shall ,insupport ofmeasures toimprove olive cultivation and
oilextraction techniques ,include initsadministrative budget aspecial sectior
ofa .maximum annual amount of100,000 United States dollars -anysums notused
under this section inany financial year may becarried over tosubsequent
financial years butmay innocircumstances betransferred toother sections ..f
theadministrative budget .
2.TheCouncil will inaddition ,aspart ofthedevelopment ofinternational
co-operation ,endeavour toprocure such essential financial and/or'technical .
assistance asmaybeobtainable froiji thecompetent international -,regional or
national organizations ,whether financial orofsome other kind ,
3.Theprovisions ofparagraph 1ofthis article will beapplicable ,asthe
case maybe,with theinternational financial assistance given toactivities or
projects submitted totheCouncil forimprovements inolive cultivation andoil'
extraction techniques . :
CHAPTER VI ; j
-DESIGNATIONS AND DEFINITIONS OFOLIVE OILS AND OLIVE-RESIDUE OILS .
. .INDICATIONS OFSOURCE AND APPELLATIONS "OFORIGIN • • .
Article 10
1.Thedesignation "olive oil"shall berestricted tooilobtained solely fror
•theolive ,totheexclusion ofoilobtained bysolvent orre-esterification
processes andanymixture with oils ofother kinds .
2.TheMembers undertake tosuppress inboth internal andinternational trade ,
with theleast possible delay andatthelatest before theexpiry of -this
Agreement ,anyuseofthedesignation "olive oil"alone orincombination with
other words which isnot inconformity with this article .
3..Innocase shall thedesignation "olive oil"beused' alone torefer tooliv .
residue oils .

pago 10
Article 11
1.Thedesignations ofolive oils andolive-residue oils ofthedifferent
qualities aregiven below with thedefinition corresponding toeach designation ;
A. Virgin olive oil ;oilwhich isobtained from the fruit ofthe olive .tree
solely bymechanical orother physical means under conditions ,andparticularly
thermal conditions ,that donotlead todeterioration oftheoil ,andwhich has
notundergone anytreatment other than washing ,decantation ,centrifugation and
filtration ,totheexclusion ofoilobtained bysolvent orre-ester ification
processes andanymixture with oils ofother kinds .Virgin olive oilshall be
classified anddesignated asfollows ?
(a)Virgin olive oil-^fitforconsumption asitis;
(i)Virgin olive oilextra ;virgin olive oilofabsolutely perfect
•flavour having amaximum acidity ,interms ofoleic acid ,of
1gram per 100grams *
(ii)Virgin olive oilfinesvirgin olive oilcomplying with the
conditions for virgin olive oilextra ,except asregards acidity ,
which interms ofoleic acid shall notexceed 1.5grams per 100
grams •
(iii)Virgin olive oilsemi-fine (orvirgin olive oilordinary );virgin
olive oilofgood flavour having amaximum acidity ,interms of
oleic acid ,of3grams per100grams with amargin oftolerance of
10percent oftheacidity indicated .
yItshall bepermissible tousetheterm "natural "foranyvirgin olive
oilwhich isfit forconsumption asitis.

page 11
Virgin olive oilnotfitforconsumption asitiss
Virgin olive oillampanto (lamp oil)?off-flavour olive oilorolivo
oilhaving anacidity ,interms ofoleic ~acid ,ofmore than 3.3grams
'per 100grams .
B. Refined olive oil soilobtained byrefining virgin olive oil .
C. Olive oilorpure olive oil;oilconsisting ofablend ofvirgin olive oil
andrefined olive oil . ' „.
D. Olive-rasidue oil ;crude oilobtained bytreating olive 'residues with
solvent andintended forsubsequent refining forhuman consumption ,orfor
technical use .Olive-residue oil shall beclassified anddesignated asfollows !
(a)Refined olive-residue oil ;oilintended forfood useandobtained by '
refining crude olive -residue oil.(Notes Blends ofrefined olive -
residue oilandvirgin olive ,oil-habitually destined forinternal
consumption incertain producing countries -shall bedesignated
"refined olive-residue oilandolive oil".These blends shall not ,under
anycircumstances ,betermed simply "olive oil",anditshall be
obligatory for thepackagings tobear ,thewords "refined olive-residue
♦oilandolive oil".)
-(b)Olive-residue oilfortechnical use ;allother crude olive-residue oils .
TheCouncil shall undertake andsubmit ,before theendofthesecond .
year following theentry into force ofthis Agreement ,acomprehensive
study ofthemarket forolive-residue oil ,including blends ofolive -
residue oil .andolive oil ,with special reference totherepercussions
ofthemarketing ofthese products ontheolive oileconomy asawhole .
2.Each oftheabove designations for thevarious qualities ofolive oiland
olive-residue oilshall comply with quality criteria laid down inconformity with
therecommendations made under article 28,paragraph 2inregard tostandards
forthephysical andchemical characteristics ofolive oilandolive-residue oil .

page 12
3.Thedesignations prescribed inparagraph 1ofthis article shall becompulsor
ininternational trade and shall beused foreach quality cfolive oiland
olive-residue oil ;they shall appear inclearly legible characters anall
packagings .
4.Inthematter ofquality criteria ,asindioated inarticle 28,paragraph 2,
theCouncil will determine uniform standards applicable totheinternational
trade .Until these standards aredetermined ,reference shall bemade tothe
standards customarily used inthat trade ,andinparticular tosuch standards ■
asarerecommended bytheCouncil within theframework ofitsactivities .
Article 12
1,"TheMembers undertake toadopt attheearliest possible date ,andatthe
latest before theexpiry ofthis Agreement ,allnecessary measures intheform
prescribed bytheir respective legislations toensure theapplication ofthe
principles andprovisions setforth inarticles 11and 13,andwill endeavour
toapply them intheir internal trade .
2.They undertake inparticular toprohibit andrepress theuse intheir
territories ,forpurposes ofinternational trade ,ofsuch indications ofsource ,
appellations oforigin anddesignations ofolive oilandolive-residue oilas
conflict with those principles .This undertaking shall apply toallinscriptions
placed onpackagings ,invoices ,consignment notes andcommercial documents or
used inadvertising ,andtotrade marks yregistered .names andillustrations
connected with theinternational marketing ofolive oilandolive-residue oil ,
insofar assuch inscriptions might constitute false statements orgive rise to
confusion astotheorigin ,source orquality cftheolive oilorolive-residue
oil concerned .
Article 13
1.Indications ofsource ,when given ,mayonly beapplied tovirgin olive oil
produced andoriginating exclusively inthecountry ,region orlocality mentione
Appellations oforigin ,when given ,may'only beapplied tovirgin olive oilextr
produced andoriginating exclusively inthecountry ,region orlocality mentione
Moreover ,indications ofsource andappellations oforigin maynotbeused excer
inconformity with theconditions prescribed bythelawofthecountry of
origin .

PCvro 13
2.Blends cfvirgin olive oilandrefined olive oilmayconstitute types whoso
characteristics may hedetermined byagreement between buyers and sellers .
Whatever their origin ,those mayonly boar theindication ofsource ofthe
'exporting country .Nevertheless ,when theoilhasbeen packed andexported by
thecountry supplying thevirgin olive oilextra used intheblend ,itmaybe
identified "bytheappellation oforigin ofthat virgin olive oil ,Where use 13
made ofthegeneric designation "Riviera ",well known intheinternational olive
oiltrade asablend ofvirgin olive oilextra andrefined olive oil ,this
designation shall inevery case befollowed bytheword "type ".Theword "type "
must appear onallpackagings inprinted characters ofthesame size and
appearance astheword "Riviera ".
Article 14
1..Any dispute concerning indications ofsource andappellations oforigin
which arises from theinterpretation oftheprovisions .of-thepresent chapter
orfrom difficulties ofapplication shall ,ifthedispute hasnotbeen settled
bydirect negotiation ,beexamined bytheCouncil .
20TheCouncil shall endeavour toreconcile thedispute ,after seeking .the
opinion ofanadvisory panel asprovided forinarticle 40,.paragraph 1and
after consultation with theWorld Intellectual Property Organization ,the
International Federation ofOlive Growers andacompetent professional
organization ofamainly importing Member ,andifnecessary with the
International Chamber ofCommerce and thespecialized international institutions
foranalytical chamistry •ifthis isunsuccessful ,andafter every mean 'shas
been employed toreach agreement ,theMembers concerned shall have theright
ofrecourse inthe final instance tothe International Court ofJustice .

page 14
CHAPTER VII
WORLD PUBLICITY TOPROMOTE OLIVH OIL CONSUMPTION
Publ icity campaigns
Article ^1J?
1.The Members contributing tothePublicity Fund referred toinparagraph 3
ofthis article undertake toconduct general olive oilpublicity activities
jointly ,with aview tomaintaining andincreasing world olive oilconsumption ,
onthebasis oftheuse ofthedesignation "olive oil"asdefined inarticle 10.
2.These activities shall take theform ofeducational andadvertising campaigns
anddeal with theorganoleptic andchemical characteristics ofolive oil ,and
ifnecessary with itsnutritive ,therapeutic andether properties ,butthey
shall notbeconcerned with anyindication ofquality ,origin orsource .
3.The resources ofthePublicity Fund shall beused inthe light ofthe
following criteria :
(a)thevolume ofconsumption ,with aview tomaintaining andifpossible
expanding existing outlets «
(b)thecreation ofnewoutlets forolive oil ;
»
(c)thereturn obtainable ontheadvertising expenditure .
Article 16
The general and specific publicity campaigns tobeundertaken under article
15shall bedecided onbytheCouncil inthelight oftheresources made available
toitforthepurpose and ofthefollowing considerations ;
(a)priority shall begiven toaction inthemainly consuming countries
and incountries inwhich theconsumption ofolive cil islikely to
increase | '
(b)consultations with appropriate organizations andinstitutions .

pane 15
Article 17
The Council shall administer thefunds allocated for joint publicity purposes .
Itshall prepare anannual estimate ofreceipts andexpenditure relating to
this publicity asanannex toitsbudget .
Pabl icii^r Fond
Article J8_
1.Themainly producing Members undertake ,toplace atthedisposal ofthe
Council foreach Calendar year ,forjoint publicity purposes ,asumofmoney
equivalent to300,000 United States dollars andpayable inthat currency .The
Council maynevertheless decide what proportion ofitscontribution each Member
maybepermitted topay inother freely convertible currencies .Theabove sum
of-$300,000' maybeincreased bytheCouncil ,butnotinexcess of$500,000 ,
oncondition ,ontheonehand ,that noMember 's'contribution maybeincreased
-without that Member 'sconsent and ,ontheother ,that ,anyalteration
occurring inthis connexion inthecoefficients referred toinparagraph 3ofthis
article shall require aunanimous decision ofthemainly producing Members .The
above sumof$300,000 maybereduced iftheaggregate production oftheMembers -
represents less than 80percent ofthevrorld production ofolive oilinthe
reference period contemplated inarticle 3,paragraph 1(c)and(d ).Inthis
case ,thesumofZ300,000 shall bereduced ,toanamount proportionate tothe
share ofworld production represented bytheaggregate production ofthemainly
producing Members . ' .
2.Mainly importing Members maypaycontributions tothePublicity Fund by
special agreement with theCouncil .These contributions shall bpadded tothe
moneys constituting theFund ,asdetermined bytheapplication ofparagraph 1of
this article .
3.Subject totheprovisions ofparagraph 4ofthis article ,themainly
producing Members shall -contribute tothePublicity Fund inproportion totheir
importance intheworld olive oileconomy ,inaccordance with acoefficient
determined foreach ofthem onthebasis oftheaverage production andaverage
net exports orimports ofolive oil ofeach oftheMembers intheolive crop
years andCalendar years specified inarticle 3,paragraph 1(c)and (d),inthe
proportion of20per cent forproduction and 80percent fornetexports or
imports .

pago 16
4.Inthecase oftheEEC ,notexports orimports ofolive oilinthecalendar
years specified inarticle 3,paragraph 1(c)and (d)shall hedetermined after
deduction ofintra -EEC trade .
5.Contributions tothePublicity Fund shall bepayable forthewhole ofa
calendar year .Theannual contribution ofeach mainly producing Member shall
become payable forthefirst time vihen itbecomes aMember provisionally or
definitively ,andsubsequently on 1January each year .
o.Theprovisions ofarticle 38,paragraph 5shall apply asregards the
collection ofcontributions tothePublicity Fund andintheevent ofdelay in
their payment .
7.Ontheexpiry ofthis Agreement ,andunless itisprolonged ,extended or
renewed ,anyfunds notused forpublicity shall berepaid totheMembers
proportionately totheir total contributions forpublicity during theperiods
ofvalidity oftheInternational Agreement onOlive Oil ,1956 ,theInternational
Olive OilAgreement ,1963 andthis Agreement .
8.(a)Inregard toalldecisions relating topublicity ,eachmainly producing
IIember shall have anumber ofvotes proportionate toitscontribution tothe
Publicity Fund under this article .Any fraction ofavote resulting from the
application ofthecoefficient determined under paragraph 3ofthis article
shall becounted asawhole vote .
(b)When ,under paragraph 2ofthis article ,aMember concludes aspecial
agreement with theCouncil topayacontribution tothePublicity Fund ,it
shall acquire anumber ofvotes proportionate toitscontribution ,oncondition
that theagreement inquestion covers theperiod which istoelapse before this
Agreement expires .
(c)Decisions relating topublicity shall betaken byamajority offour
fifths ofthevotes cast bytheMembers contributing tothePublicity Fund ,
which shall include thevotes ofamajority oftheMembers socontribu ting that
are entitled tovote .
Article
The technical execution ofpublicity campaigns may beentrusted bythe
Council tospecialized bodies ofitsownchoice which arerepresentative ofthe
olive-growing andolive oilindustries ,including theInternational Federation
ofOlive Growers .

page 17
Article 20
TheCouncil mayreceive donations from Governments orfrom other sources for
thejoint publicity inquestion .Such occasional resources shall beadded tothe
moneys constituting thePublicity Fund ,asdetermined bytheapplication of
article 18.
CHAPTER VIII
ECQMOIIIC MEASURES .
■ ' Article 21
1.Within theframework ofthegeneral objectives setforth xnarticle 1,and
with aview tocontributing towards thenormalization ofthe -olive oilmarket
andcorrecting anyimbalance between international supply anddemand due to
irregularity ofharvests ortoother factors ,theCouncil shall ,atthe
beginning ofeach olive crop year make adetailed examination of .olive pil
balances andanover-all estimate ofolive oilsupplies and requirements ,onthe
basis oftheinformation furnished byeach member tinder article 7andany
information communicated totheCouncil byGovernments .ofStates notparties to
this Agreement butinterested intheinternational olive oiltrade ,andany
other relevant statistical material available totheCouncil . '.
2.Notlater than 31 ,Mayeach year theCouncil shall ,taking into "account
alltheinformation available toitonthat date ,c.ake afurther examination of
themarket situation andafurther over-all estimate ofolive oilsupplies and
requirements ,andmaypropose totheMembers such measures asitconsiders
desirable .
3.AnEconomic Committoo shall bosetupandmoot atregular intervals to
exchange viewpoints ontheworld situation inthoolive oilmarket ,with the-
aimoffinding solutions toproblems liable todisrupt theinternational olive
oil trade . . .~
Article 22
1.TheCouncil shall undertake studies with aview tomaking recommendations
totheliembers that aredesigned' toachieve abalance between production and
consumption ,and ,more generally ,normalization ofthoolive oilmarket over
thelong term through theapplication ofappropriate measures ,including
measures toencourage thosale ofolive oilatprices which arecompetitive at
theconsumer level ,soastonatvrow theprice differential between olive oil
andother edible vegetable oils particularly through thegranting ofassistance .

page 18
2,With aview tosuch normalization ,theCouncil shall also provide suitable
solutions totheproblems which may arise asregards theevolution ofthe
international olive oilmarket ,through appropriate modalities ,account being
taken ofmarket imbalances resulting from fluctuations inproduction orfrom
other causes .
Article 23
When theCommon Fund which isenvisaged inresolution 93(IV)ofthe
United Nations Conference onTrade andDevelopment ,andwhose fundamental elements
arcidentified inresolution 1(ill)adopted on19March 1979 ty" United
Uations Negotiating Conference onaCommon Fund ,becomes operational under the
Integrated Programme forCommodities ,theCouncil shall ,inthelight ofthose
resolutions ,consider measures through which itmight take full advantage of
anyfinancial arrangements available under thesaid Fund ,andmaymake
appropriate recommendations onthematter .
0HATTER IX
OTHER PRODUCTS OFTHE OLIVE TREE
Article 24
1.Within theframework ofthegeneral objectives setforth inarticle 1,the
Council shall request theclose co-operation ofall itsMembers inthe
communication ofthenecessary statistical information ontable olives and
other products oftheolive tree .
2# TheCouncil shall atthebeginning ofeach olive crop year itiake adetailed
examination ofquantitative andqualitative table olive balances ,015thebasis
oftheabove information andanyinformation transmitted toitbyGovernments
ofStates notp&rties tothis Agreement butinterested intheinternational trade
intable olives ,andanyother statistical material available totheCouncil on
thesubject .
3.Notlater than 31Hayeach year the'Council shall ,taking account ofall
theinformation available toitonthat date ,make afurther examination ofthe
market situation andanover-all estimate oftable olive supplies andrequirements
andmaypropose totheMembers such measures asitconsiders desirable .

pago 19
Article 2J?_*■
The Council will pursue the appropriate studies concerning !
(a)theadoption anduseofaninternational standard contract fortable
olive transactionsj - •
(b)arrangements with regard toconciliation andinternational arbitration
for anydisputes relating tointernational table olive transactions ;
(c)the'adoption ofuniform qualitative standards fortable olives­
(d)thebiological value oftable olives ,with particular reference to
their specific qualities and properties .
Article 26
1. The Council shall promote such market surveys asarc thought conducive to
stimulating the growth oftable olive consumption .Itwill submit them tothe
Members for the purposes which they consider appropriate .
2.Inthis connexion ,theCouncil will endeavour toobtain forall Members ,or
forthose ofitsMembers asmayrequire it,such assi .banco ofvarious kinds ,
including financial assistance ,asinternational orother competent bodies may
grant .
CHATTER X
AHmiISTIUTIGl !
International Olive Oil Council
Articio2J
ThoInternational Olive Oil Council shall administer this Agreement .

page 20
Functipns ofthe Council
Article 28
1.Within theframework ofitsfunctions ofadministration under this Agreement
the Council shall ;
(a)exercise allsuch powers andperform orcause tobeperformed allsuch
functions asarenecessary forexecuting theexpress provisions ofthis
Agreement andgenerally administering it­
(b)promote allactivities conducive totheharmonious expansion ofthe
world olive oileconomy byevery means andencouragement initspower in
thefields ofproduction ,consumption andinternational trade ,having
regard totheways inwhich they are interrelated .
/
2.TheCouncil shall examine ways andmeans ofensuring theexpansion of
international trade andanincrease inolive -oilconsumption .Inparticular ,it
shall make appropriate recommendations totheMembers concerning :
(a)theadoption anduseofastandard international contract for
transactions inolive oilandolive-residue oil 5
(b)theconstitution andfunctioning ofaninternational conciliation and
arbitration office todeal with anydisputes relating totransactions in
olive oilandolive-residue oilj
(c)theestablishment ofuniform standards forthephysical andchemical
characteristics ofolive oilandolive-residue oil 5
(d)theestablishment ofuniform methods ofanalysis .
3.TheCouncil shall take allappropriate measures tobring about the
preparation ofacode ofstandard fair trade practices fortheinternational trad
inolive oilandolive-residue oil ,irlth particular reference tomargins of
tolerance .
4.TheCouncil shall take anymeasures itconsiders useful forthesuppression
ofunfair competition attheinternational level ,including such competition by
States which arenotparties tothis Agreement orbypersons whoarenationals of
such States .

pago 21
5.TheCouncil mayalso undertake studies ontheactivities mentioned in
paragraph 1(b)-cfthis article .Itisfurthermore authorized toundertake or
arrange fortheundertaking ofother work ,including thecollection ofdetailed
information onspecial assistance indifferent forms totheolive-growing and
olive oilindustries ,soastoenable ittoformulate anyrecommendations and
suggestions itmayconsider appropriate forachieving thegeneral objectives sot
forth inarticlo 1.Anysuch studies andwcrk shall ,inparticular ,cover as
many countries orgroups ofcountries aspossible and take into account the
general social and economic conditions cfthecountries concerned .
6,TheCouncil shall establish procedures under which theMembers shall inform
itoftheconclusions they reach after considering therecommendations and
suggestions mentioned inthis articlo 'or'arising .from theapplication ofthis
Agreement . . .' > .
Article 29
1.The Council shall draw uprules ofproceciure consistent with theprovisions
ofthis Agreement .Itshall keep uptodate such records asitrequires to
perform itsfunctions under this Agreement andsuch other records asit
considers desirable .Intheevent ofinconsistency between therules ofprocedure
itadopts andtheprovisions ofthis Agreement ,theAgreement shall prevail .
2.TheCouncil shall draw up,prepare andpublish such reports ,studies ,charts
surveys orother documents asitconsiders useful and r:cessary . • s .
3.TheCouncil shall ,atleast once ayear ,publish report onitsactivities
andontheoperation ofthis Agreement .
4.TheCouncil mayappoint such special committees asitdeems useful for
anointing .itinthoexorcise ofitsfunctions undor thi3 Agreement .
5.ThoCouncil shall exercise allother functions that arcnecessary forthe
execution oftheprovisions ofthis Agreement .
Composition oftheCouncil
Article 30
1.Naoh Mombor nhall hnvo thoright tovote .Itshall have thoright tobo
roprouontod onthoCouncil byadologate andmnyappoint alternates .Thedologato
andalternates may boaccompanied atthomeetings ofthoCouncil byasmany
advisers aseach Member deems necessary .

page 22
2.TheCouncil shall elect ,from among thedelegations oftheMembers ,a
chairman who shall nothave theright tovote andwho shall hold offico forone
olive crop year .Intheevent oftheChairman being avoting delegate ,his
right tovote shall beexercised byanother member ofhisdelegation .TheChairman
shall receive noremuneration .
3.TheCouncil shall also elect adeputy chairman from among thedelegations
oftheI-lembers .Intheevent oftheDeputy Chairman being avoting delegate ,ho
shall have theright tovote except when acting asChairman ,inwhich case he
shall transfer hisright tovote toanother member ofhisdelegation .Hoshall .
hold office for oneolive crop year and shall receive noremuneration .
Meetings oftheCouncil
Article 31
1.The seat ofthe Council shall beatMadrid unless the Council decides
otherwise .Itshall hold itssessions there unless itdecides exceptionally to
hold aparticular session elsewhere .IfaMember invites theCouncil tomeet
elsewhor than atitsscat andtheCouncil agrees todoso,that Member shall bear
theextra expenditure which this entails forthebudget oftheCouncil .
2. 'TheCouncil shall meet atleast twice ayear,' having regard inparticular
totheprovisions ofarticle 21.
3.TheCouncil maybeconvened atanytime atthediscretion ofitsChairman .
TheChairman shall also convene theCouncil ifthis issorequested ;
(a)byfive Members ;
(b)byoneormore Members holding atleast 10percent ofthetotal votes .
4.Notice ofthesessions provided forinparagraph 2ofthis article shall be
given atleast 30days before thedate ofthefirst meeting ofeach such session .
ITotice ofthesession provided forinparagraph 3ofthis article shall begiven
atleast 15days before thedate ofthefirst meeting ofeach such session .

pago 23
Article 32
1.Thoquorum required forevery meeting oftheCouncil shall "bothepresence
oftherepresentative ofamajority oftheMembers holding atleast twothirds
ofthe total votes .
2.Ifthis quorum docs notexist ,themeeting shall bopostponed for24hours and
thequorum required shall bothepresence oftherepresentatives ofamajority
oftheMembers holding atleast 50percent of .thototal votes .
Article 33
TheCouncil may take decisions byanexchange of -correspondence between tho
Chairman andtheMembers without holding ameeting ,provided that nomember
objects .Any such decision shall becommunicated asquickly aspossible toall
the .Members and boentered intherecqrd .ofthofollowing meeting oftheCouncil .
Article 34
1.The number ofvotes allotted toeach Member shall bedetermined for the
duration ofthis Agreement bytheformula n=p+i+5,butitmaynotexceed
450 . '
Inthis formula :
-nshall bothenumber ofvotes allotted to "theMember •
-pshall bethoaverage annual olive oilproduction inthousands ofmetric
tons inthoolive' crop years 1972/73-1977/78,anyfraction of1,000
metric tons above awhole number being disregarded ;
-ishall betheaverage annual net imports ofolive oil inthousands of
metric tons inthecalendar years 1973 to1978 ,anyfraction of
1,000metric tons above awhole number being disregarded ;
-5shall bethebasic number ofvotes allotted toeach Member ineach
-group ofMembers .

pago 24
2. Notwithstanding theprovisions ofparagraph 1ofthis article ,since the
"ESC isconsidered under article 3,paragraph 3asboth amainly producing Member
andamainly importing Member ,thenumber ofvotes allotted toitineach group
ofMembeis shall bedetermined asfollows ;
-firstly ,asamainly producing Member ,bytheformula n-p+5;.
-secondly ,asamainly importing Member ,bytheformula n=i+5,ibeing
calculated after deducting intra-EEC trade ;
butthenumber ofvotes allotted totheEEC ineither group ofMembers maynot
exceed 450 »
Decisions ofthe Council
Article 3,5
1.Unless otherwise provided inthis Agreement ,andsubject toanyarrangements
under article 47,paragraph 5,decisions oftheCouncil shall betaken bya .
majority offour fifths ofthevotes cast ,including thevotes ofamajority of
theMembers having theright tovote .The votes ofabstaining Members shall not
becounted .
2.AnyMember mayauthorize thevoting delegate ofanother Member torepresent
itsinterests and toexercise itsright tovote atoneormore meetings ofthe
Council .Evidence ofsuch authorisation acceptable totheCouncil shall bo
submitted tothe Council .
3.Thevoting delegate ofaMember maynot ,inaddition tothepowers andtho ■
right tovote held bythat Member ,represent thointerests andexercise the
right tovote ofmore than oneother Member .

page 25
Sccrotariat ;
Article 36 "■
1.TheCouncil shall have asecretariat composed of ' torand such staff
asarerequired for the %\rork oftheCouncil and itsconunittces .TheCouncil
shall appoint theDirector anddetermine hisfunctions .The staff shall be
appointed inaccordance with regulations which areestablished by^thoCouncil
and take account oftheregulations applicable tothestaffs ofsimilar
intergovernmental organizations 5members ofthestaff shall nothold anyoffice
outside theorganization oraccept anyother employment#
2.Itshall beacondition ofemployment oftheDirector andthestaff ofthe
secretariat that they donotpossess orshall cease topossess anydirect or
indirect commercial orfinancial interest inany ofthevarious sectors of'tho -
olive-growing andolive oilindustry . ,
3.The functions ofthe Director -and ofthemembers ofthe secretariat shall
beexclusively international .Inthedischarge oftheir duties ,they shall not
seek orreceive instructions from anyGovernment orfrom .anyauthority other
than theorganization .They shall refrain from anyaction incompatible with
their position asinternational officials .
4«TheMembers shall respect theinternational character oftheresponsibilities
ofthe members ofthe secretariat and shall not scoktcinfluence them inthe
discharge oftheir duties .
CHAPTER XI
PRIVILEGES AUD IMMUNITIES
Article 37
1.Intheterritory ofeach Member ,andinsofarasthat Member 'slegislation
allows ,thoCouncil shall have thelegal capacity necessary fortheperformance
ofthefunctions conferred upon itbythis Agreement .

page 26
2.TheGovernment oftheState ini-fhich theseat oftheCouncil ispituated
shall ,insofarasthat State 'slegislation allows ,exempt thefunds ofthe
Council and thesalaries paid bytheCouncil toitsstaff from taxation .
3.TheCouncil ,theDirector andthestaff ofthesecretariat shall enjoy the
privileges ,immunities andfacilities setoutinthoHeadquarters Agreement .
between theCouncil and thoGovernment oftheState inwhich tho seat ofthe
Council issituated .
4.TheCouncil mayconclude ;with oneormore Members agreements tobeapproved
bytheCouncil concerning theprivileges andimmunities required toensure tho
proper application ofthis -Agreement .
CHAPTER XII '
FINANCIAL PROVISIONS
Article 38
1«Except fortheexpenses oftheChairman ,which shall beborne bytheCouncil ,
thoexpenses ofdelegations totheCouncil shall bemetby .theMembers concerned .
Thecontribution ofeach Member tothoadministrative budget foreach calendar
year shall beproportionate tothenumber ofvotes which that Member possesses when
thebudget forthoyear inquestion isapproved .
2,.Atitsfirst session thtjCouncil ap,advriiniBtrrvtiva for
thefirst calendar year andassess thecontribution tobepaid byeach Member .
Each year thereafter ,atthoautumn session ,theCouncil shall approve its
administrative budget forthefollowing calendar year andassess thecontribution
tobepaid byeach Member forthecalendar year inquestion .
I
3.The initial contribution ofanyMember which becomes aParty tothis
Agreement after its 'entry into force shall beassessed bytheCouncil onthe
basis ofthenumber ofvotes allotted tothat Member andoftheunexpired portion
oftheyear inquestion ,buttheassessments mado upon theother Members forthat
calendar year shall notbealtered .
4.Thocontributions provided forinthis article shall become payable upon their
approval bytheCouncil forthecalendar year forwhich they areassossod .They
shall bedetermined inUnited States dollars andbepayable inthat currency
orintheequivalent amount ofanother freely convertible currency .

pago 27
5. .IfaMember docs notpay itscontribution totheadministrative budget in
full within thesixmonths commencing atthebeginning cfthefinancial year ,
theDirector shall request ittomake payment asquickly aspossible .Ifthe
Member inquestion does notsettle itscontribution within thethroe months
following theendofthat six-month period ,itsrights tovote atCouncil sessions
andmeetings ofcommittees and tohold elective office intheCouncil and its
-committees shall besuspended until itscontribution hasbeen paid infull .It
shall nothowever ,unless theCouncil sodecides byvote ,bedeprived ofany
ofitsother rights or .bereleased from anyofitsobligations under this
Agreement .Itmaynotberelieved byvote from itsfinancial obligations under
theAgreement .
6.AnyMember whoso participation inthis Agreement ceases through its
withdrawal orexclusion orforanyother reason during theperiod ofvalidity ■
oftheAgreement shall make thepayments ,-which itisdue tomake tothe
Council ,andshall perform alltheundertakings which itentered into before
thedate onwhich thecessation ofitsparticipation inthis Agreement took
effect .Nosuch Member mayclaim any share intheproceeds ofliquidation of
theassets oftheCouncil upon theexpiry oftheAgreement * -
7.After thespring session theCouncil shall publish acertified statement
ofitsreceipts andexpenditure intheprevious calendar year .
8.TheCouncil shall ,ifdissolved ,first take thenecessary stops tosettle
itsliabilities ,toplace itsrecords insafe keeping andtodispose ofany
balance standing toitscredit atthedate ofexpiry ofthis Agreement .
CHATTER XIII
CO-OPERATION WITH OTHER ORGANIZATIONS AND ADMISSION OFOBSERVERS
Article 39
1.TheCouncil maymake ,anyarrangements that arcappropriate forconsultation '
orco-operation with theUnited Nations anditsorgans ,inparticular theUnited
Nations Conference onTrade andDevelopment (UNCTAD ),with theFood and
Agriculture Organization oftheUnited Nations (FAO)andwith other specialized
agencies' oftheUnited Nations andintergovernmental organizations where
necessary .Itmayalso make whatever arrangements itconsiders suitable for
co-operating with governmental andnon-governmental organizations andagencies .
Itmayinaddition invite anyorganization referred tointhis article to ,
attend anyofitsmeetings asanobserver .

pago 28
2.Inview oftheparticular role oftJNCTAD ininternational commodity trade ,
theCouncil shall keep USTCTAD suitably informed ofitsactivities andprogrammes
ofwork .The same shall apply asregards FAO ."
3.TheCouncil mayalso invite anymember oftheUnited Nations orofanyof
itsspecialized agencies oroftheInternational Atomic Energy Agency that is
notaparty to-this Agreement toattend anyofitsmeetings asanobserver.' .
CHAPTER XIV
DISPUTES AND C(MPLAIMTS
Article 40
1.Anydispute which concerns theinterpretation orapplication ofthis
Agreement ,other than adispute under article 14,andwhich isnotsettled by '
negotiation shall ,attherequest ofanyMember which isaparty tothedisputo ,
bereferred totheCouncil fordecision after ithassought an "opinion ,where
appropriate ,from anadvisory panel ,thecomposition ofwhich shall belaid
down intheCouncil 'srules ofprocedure .
2.Asubstantiated opinion bytheadvisory panel shall besubmitted tothc _
Council ,which shall inallcircumstances settle thedisputo after considering
all the relevant facts .
3.Anycomplaint that aMember hasfailed tofulfil itsobligations under this
Agreement shall ,attherequest oftheMember making thecomplaint ,bereferred
totheCouncil ,which shall take adecision onthematter after consulting the
Members concerned and ,where appropriate ,seeking anopinion from theadvisory
panel referred toinparagraph 1ofthis article .
4.AMember may ,byvote oftheCouncil ,befound inbreach ofthis Agreement .
5.IftheCouncil finds that aMember hascommitted abreach ofthis Agreement ,
itmayeither impose sanctions onthat Member ,ranging from asimple warning
tothesuspension oftheMember 'sright tovote until ithasmet itsobligations ,
orexclude theMember from participation intheAgreement .

page 29
ciiArrcn xv
FINAL PROVISIONS
■Participation inthe_Agreement
Artie 1e_41
1.TheGovernment ofanyState invited totheUnited Nations Conference on
Olive Oil ,1979 maybecome aParty tothis Agreement inaccordance ^with its
constitutional orinstitutional procedures s :
'(a)"bysigning it-or '
"(b)"byratifying ,accepting orapproving it,after having signed itsubject
toratification ,acceptance orapproval ;or
* «
(c)byacceding toit.
2.Every signatory Government shall onsigning this Agreement state whether ,
according toitsconsitutional orinstitutional procedures ,itssignature isor
isnotsubject toratification ,acceptance orapproval ..
Signa ture '
Article 42
This Agreement shall beopen forsignature atMadrid with theGovernment
ofSpain (hereinafter referred toas"thedepositary ")from 1July 1979until
andincluding 16November 1979 *
• -Ratification .acceptance orapprovai
Article 43
1.Ifratification ,acceptance orapproval isrequired ,thecorresponding
instrument shall bedeposited with thedepositary notlater than 31December
1979 »buttheCouncil maygrant anextension orextensions ofthis time-limit to
anysignatory Government which hasnotdeposited theinstrument inquestion by
that date *
/
2.Ratification ,acceptance orapproval shall take effect from thedate on
which theinstrument inquestion isdeposited oronwhich this Agreement enters
into force ,whichever isthelater .

page 30
x\ccossion
Article 44
1.TheGovernment ofanynon-signatory State mayaccede tothis Agreement .
2.xlccession shall beeffected "bythe -deposit ofaninstrument ofaccossion
with thedepositary and shall tako offoct from thedato onwhich ouch instrument
isdeposited oron.vhioh this Agreement enters into foroo ,whichever isthe
later .
3.Anynon-signatory Government entitled toaccedo tothis Agreement under
isaragmph 1efthis tuPtiele mftynotify thedepositary that ittuitlortnkoo to
comply asrapidly aspossible with .theconstitutional orinstitutional
procedures required for itsaccession tothis Agreement .
notification ofprovisional application
Article 4e)
1,Anysignatory Government whoso signature issubject toratification ,
acceptance orapproval oranynon-signatory Government which hasmade a
notification under paragraph 3ofarticle 44mayatanytime notify the
depositary that itwill apply this Agreement provisionally either when it
enteres into force tinder article 46or,ifitisalready inforce ,onadate
specified inthenotification .If'nodate isspecified inthenotification of
provisional application ,such notification shall take effect from thedate on
which itismade oronwhich this Agreement enters into force ,whichever is
the later .
2.During theentire period' forwhich this Agreement isinforce either
provisionally ordefinitively ,asignatory Government oranon-signatory Government
which hasmade anotification under paragraph 1ofthis article shall bea
provisional Member ,with alltherights andobligations ofaMember ,until the
date onwhich itsinstrument ofratification :,acceptance ,approval or
accession isdeposited .

page 31
Entry înto force v
Article 46
1."This Agreement shall enter into force definitively on 1January 1980 ,oron
anydate within the 12months thereafter ,between theGovernments which have signed
itand ,•whore their constitutional orinstitutional procedures sorequire ,have
ratified ,accepted orapproved it,orhave acceded toit,ifthese Governments
include those -ofsixcountries together .accounting foratleast 60percent of
world olive oilproduction inthereference period stipulated inarticle 3,
paragraph 1.(c)and (cl).Ifthis Agreement hasnotentered into force 'definitively
inaccordance with theabove conditions ,itshall enter into force definitively
atanytime after itsprovisional entry into force atwhich therequirements of
thepresent paragraph astonumber ofGovernments andpercentage ofworld olive
oilproduction aremetbythedeposit ofinstrunents ofratification ,acceptance ,
approval oraccession .
2.This Agreement shall enter into force -provisionally on1January I98O ,or
onanydate within the 12months thereafter ,between theGovernments which havo'
signed itand ,where their constitutional orinstitutional procedures sorequire ,
have ratified ,accepted orapproved it,orhave acceded toitornotified that
they will apply itprovisionally ,ifthose Governments include those ofsix
countries together accounting foratleast 60percent ofworld olive oil
production inthereference period stipulated inarticle 3,paragraph 1(c)and
(d). .
3.Ifon 1January 1980 this Agreement hasnotentered into force either
provisionally ordefinitively inaccordance with paragraphs 1and 2ofthis .
article ,but ha.sreceived thenumber ofsignatures required forittoenter
into force after ratification ,acceptance orapproval ,theInternational Olive
OilAgreement ,1963 shall continue inforce beyond 1January 1980 until the
date ofthoprovisional ordefinitive entry into force ofthis Agreement ,but
theperiod ofsuch prolongation shall notexceed 12months .
4.Ifon 1January I98O this Agreement hasnotreceived thonumber ofsignatures
required forittoenter into force after ratification ,acceptance orapproval ,
orifon31December 1980 ithasnotentered into force either provisionally
ordefinitively inaccordance with paragraphs 1and 2ofthis article ,the
Governments which have signed it.and ,where their constitutional orinstitutional
procedures sorequire ,have ratified ,accepted orapproved it,oracceded toit
ornotified that they will apply itprovisionally ,maydecide bymutual
agreement that this Agreement shall enter into force inwhole orinpart with regard
tothemselves ,ormaytake whatever other decision they consider thocircumstances
require . 1

page32
Anen cjncnt
Article 47
1.TheCouncil mayrecommend totheMembers anamendment tothis Agreement .
2.TheCouncil shall prescribe theperiod within which each 11ember shall notify
thedepositary whether ornot itaccepts theamendment .
3.If,onthedate onxAich theperiod prescribed under paragraph 2ofthis
article expires ,theamendment hasbeen accepted byMembers xtfhich together hold
atleast four fifths ofthe total number ofvotes ofthe -Members' having the
right tovote andinclude atleast three quarters oftheMembers ,itshall enter
into force onthat date oronsuch later date asthe Council shall determine .If
not ,itshall bedeemed withdrawn .
4.AnyMember ontirhose behalf nonotification ofacceptance ofanamendment
hasbeen made bythedate onwhich theamendment takes effect shall cease from
that date toparticipate inthis Agreement ,unless such Member satisfies the
Council that itwasunable tohave theamendment accepted intime owing to
difficulties incompleting itsconstitutional orinstitutional procedures ,andthe
Council decides toextend theperiod ofacceptance forthat Member .TheMember
inquestion shall notbebound bytheamendment until ithasnotified the
depositary cfitsacceptance oftheamendment .
5.AnyMember which ,during theperiod ofvalidity ofthis Agreement ,bocomes
aState member oftheEEC orofanyother intergovernmental organization referred
toinarticle 3,paragraph 2shall sonotify theCouncil assoon asthedecision
onthematter hasbeen taken ,andinanyevent before thedate onwhich its
membership oftheEEC orintergovernmental organization inquestion takes
effect .TheCouncil shall examine thequestion atitsearliest succeeding session
inorder tonegotiate with that Member and theEEC orintergovernmental
organization inquestion such appropriate adjustments asmayensuo therefrom *as
regards theprovisions ofarticle 18,paragraphs 3,4and8(c),article 34and
article 35,paragraph 1.TheCouncil mayinsuch acase recommend anamendment
pursuant totheprovisions ofthis article .

page 33
i
(
Withdrawal
Article 48
1.IfanyMember considers that itsinterests areprejudiced ,either pythe
fact that asignatory Government whose signature issubject toratification ,
acceptance orapproval andwhich hasnotmade anotification ofprovisional
application ofthis Agreement fails todeposit itsinstrument ofratification ,
acceptance orapproval .,orelse bytheoperation oftheAgreement ,itshall so
inform the Council which shall consider thematter atits first session
following thenotification ofthematter by-"theMember inquestion .If,after
theCouncil hasexamined thematter ,theMember concerned continues toconsidor
that itsinterests areprejudiced ,itmaywithdraw from this Agreement by
giving written notice ofwithdrawal tothodepositary .
2.Notwithstanding theprovisions ofparagraph 1ofthis article ,anyMember
maywithdraw from this Agreement atanytime after theAgreement hasentered
into force bygiving written notice ofwithdrawal tothedepositary .
3.Withdrawal under this article shall take effect attheendofthecalendar
year inwhich thenotification ismade tothedepositary .
Duration ,prolongation ,extension orrenewal ,and expiry
Article 49
1.This Agreement shall remain inforce until 31December 1984 unless itis
prolonged orextended pursuant toparagraphs 2or4ofthis article .
2.Before theendof1984 theCouncil may ,byunanimous decision ofthe
Members ,prolong this Agreement foraperiod notexceeding twocalendar years .
Such prolongation shall benotified bytheCouncil tothedepositary ,andby
thedepositary tothoSecretary-General oftheUnited Nations .
3.Before theexpiry ofthis Agreement onthedate provided forinparagraph
1ofthis article or,ifthoAgreement isprolonged ,onthedate 'resulting from
theprovisions' ofparagraph 2ofthis article ,theCouncil shall ,atsuch time
asitsees fit ,make itsrecommendations totheMembers with regard tothe
extension orrenewal oftheAgreement .

pa^c 34
4.If,before theexpiry ofthis Agreement ,anewagreement oraprotocol for
theextension ofthis Agreoir.ont has "boon negotiated ,and that newagreement or
protocol hasreceived thenumber ofsignatures required for ittoenter into force
upon deposit oftheinstruments ofratification ,acceptance orapproval ,orthe
requisite number ofnotifications ofprovisional application ,and ifthat nevj -
agreement orprotocol hasnotentered into force provisionally ordefinitively ,
this Agreement shall remain inforce beyond itsexpiry date until thenew
agreement orprotocol enters into force ,buttheperiod ofsuch prolongation shall
not exceed 12months .
5.On'theexpiry cfthis Agreement andunless itisprolonged ,extended or
renewed ,theoperations forwhich theCouncil isresponsible andthefunds it
administers shall beliquidated onterms tobeestablished bytheCouncil ,
having regard totheprovisions ofthin Agreement .For thepurposes ofthe
application ofthese provisions andother conditions concerning liquidation ,
theCouncil shall continue inbeing aslong asrequired andexercise thepowers
.andfunctions given itunder this Agreement tothefull extent necessary for
completing itstasks ;
Authentic texts
Article 3_Q
Thetexts ofthis Agreement intheArabic ,English ,French ,Italian and
Spanish languages shall allbeequally authentic ;theoriginals shall be
deposited with theGovernment ofSpain .
DTWITNESS HHEREOF theundersigned ,having been duly authorized tothis
effect bytheir respective Governments ,have signed this Agreement onthedates
appearing opposite their signatures ,
DONE atGeneva ,onthethirtieth dayofMarch onethousand nine hundred
andseventy-nine .