Exchange of letters between the European Community and the Republic of Hungary on certain import arrangements for agricultural products
Date: 1998-10-20
Institutions: European Community, Hungary
Subjects: European Community, Hungary, agricultural product, import, import policy

11. 12. 98

EN

Official Journal of the European Communities

L 336/3

between the European Community and the Republic of Hungary on certain import
arrangements for agricultural products

EXCHANGE OF LETTERS

A. Letter from the Community

Brussels, 20 October 1998

Sir,

I have the honour to refer to the consultations that have taken place between the Government of
Hungary and the European Community concerning the Hungarian export subsidies for agricul-
tural products. Following the Hungarian request for a WTO waiver (as submitted to the WTO on
8 September 1997), under which it would be entitled to grant additional subsidies for agricultural
exports, and in order to address the question of the possible effect of the waiver on the
Community market, both parties have agreed to a fast track safeguard clause which reads as
follows:

In the event of serious disturbance of the Community market due to imports of products on
which export subsidies are granted by Hungary pursuant to the WTO waiver the parties shall
enter into immediate consultations to find an appropriate solution. In advance of such consulta-
tions and until such a solution is found, the European Community may take such action as it
deems necessary.

I should be obliged if you would confirm that your Government is in agreement with the
contents of this letter.

Please accept, Sir, the assurance of my highest consideration.

On behalf of the Council
of the European Union

L 336/4

EN

Official Journal of the European Communities

11. 12. 98

B. Letter from Hungary

Brussels, 20 October 1998

Sir,

I have the honour to acknowledge receipt of your letter of today’s date which reads as follows:

‘I have the honour to refer to the consultations that have taken place between the Govern-
ment of Hungary and the European Community concerning the Hungarian export subsidies
for agricultural products. Following the Hungarian request for a WTO waiver (as submitted to
the WTO on 8 September 1997), under which it would be entitled to grant additional
subsidies for agricultural exports, and in order to address the question of the possible effect of
the waiver on the Community market, both parties have agreed to a fast track safeguard clause
which reads as follows:

In the event of serious disturbance of the Community market due to imports of products on
which export subsidies are granted by Hungary pursuant to the WTO waiver the parties shall
enter into immediate consultations to find an appropriate solution. In advance of such
consultations and until such a solution is found, the European Community may take such
action as it deems necessary.

I should be obliged if you would confirm that your Government is in agreement with the
contents of this letter.'

I have the honour to confirm that my Government is in agreement with the contents of your
letter.

Please accept, Sir, the assurance of my highest consideration.

For the Government
of the Republic of Hungary