Proposal for a Council Decision on the signing and the provisional application of a bilateral agreement in the form of an exchange of letters between the European Community and the Republic of Belarus amending the Agreement between the European Community and the Republic of Belarus on trade in textile products
Date: 2006-11-17
Institutions: European Commission
Subjects: Belarus, quantitative restriction, textile product, trade agreement (EU)

COMMISSION OF THE EUROPEAN COMMUNITIES 

Brussels, 17.11.2006 
COM(2006) 698 final 

2006/0230 (ACC) 

Proposal for a 

COUNCIL DECISION 

on the signing and the provisional application of a bilateral agreement in the form of an 
exchange of letters between the European Community and the Republic of Belarus 
amending the Agreement between the European Community and the Republic of 
Belarus on trade in textile products 

(presented by the Commission) 

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EXPLANATORY MEMORANDUM 

1)  CONTEXT OF THE PROPOSAL 

110 

•  Grounds for and objectives of the proposal 

The bilateral agreement on trade in textile products between the European Community 
and the Republic of Belarus will expire on 31 December 2006. The proposal provides 
for  an  extension  of  the  present  textiles  agreement  until  31  December  2007  and 
moderate adjustments in some quantitative limits. 

120 

•  General context 

The  bilateral  agreement  regulating  trade  in  textiles  with  the  Republic  of  Belarus  has 
been  in  place  since  1993  and  has  been  amended  on  several  occasions.  The  current 
version  of  this  agreement  includes  tariff  commitments  on  the  side  of  the  Republic  of 
Belarus (tariffs largely similar to EU levels) and a snapback clause in case of the non-
respect  of  those  tariff  levels.  Quantitative  restrictions  are  in  place  for  34  textiles  and 
clothing categories.  

In the absence of the proposed amendment, the Republic of Belarus would be free to 
increase  its  import  duties  and  introduce  other  import  restrictions,  to  the  detriment  of 
EU exports.  

•  Existing provisions in the area of the proposal 

OJ L 123, 17.5.1994, p. 1, OJ L 94, 26.4.1995, p. 44, OJ L 81, 30.3.1996, OJ L 336, 
29.12.1999, p. 26, OJ L 345, 31.12.2003, p. 150, OJ L 72, 18.3.2005, p. 18. 

•  Consistency with the other policies and objectives of the Union 

In  view  of  the  political  situation  prevailing  in  Belarus,  the  proposed  amendment  is 
restrictive.  In  2007  Belarus  would  be,  together  with  North  Korea,  Montenegro  and 
Kosovo,  the  only  country  subject  to  textile  quotas  with  the  EU.  (Agreed  levels  on 
certain  textiles  and  clothing  categories  exist  with  China  following  the  signing  of  a 
Memorandum of Understanding on 10 June 2005).  

2)  CONSULTATION OF INTERESTED PARTIES AND IMPACT ASSESSMENT 

•  Consultation of interested parties 

This  Decision  provides  for  the  signature  and  the  provisional  application  of  an 
international  trade  agreement  amending  an  agreement  that  otherwise  would  have 
expired. No formal consultation is necessary. 

130 

140 

219 

•  Collection and use of expertise 

229 

There was no need for external expertise. 

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230 

•  Impact assessment 

Impacts  have  been  assessed  in  the  course  of  the  negotiations  of  the  international 
agreement. 

It was therefore not necessary to conduct an impact assessment of this measure. 

3)  LEGAL ELEMENTS OF THE PROPOSAL 

305 

•  Summary of the proposed action 

The  proposal  provides  for  an  extension  of  the  present  textiles  agreement  until  31 
December 2007.  

There will be no particular negative effects or risks for developing countries. 

310 

329 

341 

342 

•  Legal basis 

Article 133 of the Treaty establishing the EC. 

•  Subsidiarity principle 

The proposal falls under the exclusive competence of the Community. The subsidiarity 
principle therefore does not apply. 

•  Choice of instruments 

Proposed instruments: decision. 

Other means would not be adequate for the following reason(s). 

There are no other means available for the signature and the provisional application of 
an international agreement. 

4)  BUDGETARY IMPLICATION 

409 

The proposal has no implication for the Community budget. 

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2006/0230 (ACC) 

Proposal for a 

COUNCIL DECISION 

on the signing and the provisional application of a bilateral agreement in the form of an 
exchange of letters between the European Community and the Republic of Belarus 
amending the Agreement between the European Community and the Republic of 
Belarus on trade in textile products 

THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular 
Article 133 in conjunction with Article 300(2), first sentence of the first subparagraph thereof, 

Having regard to the proposal from the Commission, 

Whereas: 

(1) 

(2) 

(3) 

The Commission has negotiated on behalf of the Community a bilateral agreement to 
extend for one year the existing bilateral agreement and protocols  on  trade in  textile 
products  with  the  Republic  of  Belarus,  with  some  adjustments  of  the  quantitative 
limits. 

Subject  to  its  possible  conclusion  at  a  later  date,  the  proposed  agreement  should  be 
signed on behalf of the Community. 

This bilateral agreement should be applied on a provisional basis as of 1 January 2007, 
pending  the  completion  of  procedures  required  for  its  conclusion,  subject  to  the 
reciprocal provisional application by the Republic of Belarus, 

HAS DECIDED AS FOLLOWS:  

Article 1 

Subject  to  a  possible  conclusion  at  a  later  date,  the  President  of  the  Council  is  hereby 
authorised  to  designate  the  person(s)  empowered  to  sign  on  behalf  of  the  European 
Community  the  agreement  in  the  form  of  an  Exchange  of  Letters  between  the  European 
Community  and  the  Republic  of  Belarus  amending  the  Agreement  between  the  European 
Community  and  the  Republic  of  Belarus  on  trade  in  textile  products,  initialled  on  1  April 
1993, as last amended by an Agreement in the form of an Exchange of Letters initialled on 11 
November 2005. 

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Article 2 

The  annexed  agreement  in  the  form  of  an  Exchange  of  Letters  shall  be  applied  on  a 
provisional  basis,  pending  its  formal  conclusion  and  subject  to  reciprocal  provisional 
application of that agreement by the Republic of Belarus, from 1 January 2007. 

Article 3 

1. 

2. 

If  the  Republic  of  Belarus  fails  to  fulfil  its  obligations  under  paragraph  2.4  of  the 
annexed  agreement,  the  quota  for  2007  will  be  reduced  to  the  levels  applicable  in 
2006; 

The  decision  to  implement  paragraph  1  shall  be  taken  in  accordance  with  the 
procedures referred to in Article 17 of Council Regulation (EEC) No 3030/93 of 12 
October  1993  on  common  rules  for  imports  of  certain  textile  products  from  third 
countries1.  

This Decision shall be published in the Official Journal of the European Union. 

It shall enter into force the day after its publication in the Official Journal. 

Done at Brussels,  

For the Council 
The President 

1 

OJ L 275, 8.11.1993, p. 1. Regulation last amended by Commission Regulation (EC) No 35/2006 of 11 
January 2006 (OJ L 7, 12.1.2006, p. 8). 

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ANNEX  

AGREEMENT  in  the  form  of  an  Exchange  of  Letters  between  the  European 
Community  and  the  Republic  of  Belarus  amending  the  Agreement  between  the 
European Community and the Republic of Belarus on trade in textile products 

Letter from the Council of the European Union  

Sir, 

1. 

2. 

I have the honour to refer to the Agreement between the European Community and 
the Republic of Belarus on trade in textile products initialled on 1 April 1993, as last 
amended  and  extended  by  the  Agreement  in  the  form  of  an  Exchange  of  Letters 
initialled on 11 November 2005 (hereafter referred to as the 'Agreement'). 

In view of the expiry of the Agreement on 31 December 2006 and in accordance with 
Article  19(1)  of  the  Agreement,  the  European  Community  and  the  Republic  of 
Belarus  agree  to  extend  the  duration  of  the  Agreement,  for  a  further  period  of  one 
year, subject to the following amendments and conditions: 

2.1.  The text of Article 19(1) of the Agreement shall read as follows: 

'This Agreement shall enter into force on the first day of the month following 
the  date  on  which  the  Parties  notify  each  other  of  the  completion  of  the 
procedures necessary for that purpose. It shall be applicable until 31 December 
2007.' 

2.2.  Annex  II  which  sets  out  the  quantitative  restrictions  for  exports  from  the 
Republic of Belarus to the European Community is replaced by Appendix 1 to 
this letter. 

2.3.  The Annex to Protocol C which sets out the quantitative restrictions for exports 
from  the  Republic  of  Belarus  to  the  European  Community  after  OPT 
operations  in  the  Republic  of  Belarus  is  replaced  for  the  period  of  1  January 
2007 to 31 December 2007 by Appendix 2 to this letter. 

2.4.  Imports into Belarus of textile and clothing products of European Community 
origin shall be subject in 2007 to custom duties not exceeding those provided 
for  2003  in  Appendix  4  of  the  Agreement  in  the  form  of  an  Exchange  of 
Letters  between  the  European  Community  and  the  Republic  of  Belarus 
initialled on 11 November 1999. 

In the case of non-application of these rates the Community will have the right 
to  reintroduce  for  the  period  of  the  agreement  remaining  unexpired  on  a  pro 
rata basis the levels for quantitative restrictions applicable for 2006 as specified 
in the Exchange of Letters initialled on 11 November 2005. 

3. 

Should the Republic of Belarus become a Member of the World Trade Organisation 
(WTO) before the date of the expiry of the Agreement, the agreements and rules of 
the WTO shall be applied from the date of the Republic of Belarus’ accession to the 
WTO.  

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4. 

I should be obliged if you could kindly confirm the acceptance of your Government 
of the foregoing. Should this be the case, this agreement in the form of an Exchange 
of  Letters  shall  enter  into  force  on  the  first  day  of  the  month  following  the  day  on 
which the Parties have notified each other that the legal procedures necessary to this 
end have been completed. In the meantime, it shall be applied provisionally from 1 
January 2007 on the condition of reciprocity. 

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

For the Council of the European Union 

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Appendix 1 

Annex II  

Belarus 

Category 

unit 

Quota as from 
1 January 2007

Group IA 

Group IB 

Group IIA 

Group IIB 

1 

2 

3 

4 

5 

6 

7 

8 

9 

20 

22 

23 

39 

12 

13 

15 

16 

21 

24 

tonnes 

tonnes 

tonnes 

T pieces 

T pieces 

T pieces 

T pieces 

T pieces 

tonnes 

tonnes 

tonnes 

tonnes 

tonnes 

T pairs 

T pieces 

T pieces 

T pieces 

T pieces 

T pieces 

1 585 

6 600 

242 

1 839 

1 105 

1 705 

1 377 

1160 

363 

329 

524 

255 

241 

5 959 

2 651 

1 726 

186 

930 

844 

  26/27 

T pieces 

1 117 

29 

73 

83 

33 

36 

37 

50 

67 

74 

90 

115 

117 

118 

T pieces 

T pieces 

tonnes 

tonnes 

tonnes 

tonnes 

tonnes 

tonnes 

T pieces 

tonnes 

tonnes 

tonnes 

tonnes 

468 

329 

184 

387 

1 309 

463 

207 

356 

377 

208 

114 

2 310 

471 

Group IIIA 

Group IIIB 

Group IV 

T pieces: thousand of pieces 

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Appendix 2 

Annex to Protocol C 

Category 

Unit 

As from
1 January 
2007 

4 

5 

6 

7 

8 

12 

13 

15 

16 

21 

24 

1 000 pieces 

5 399 

1 000 pieces 

7 526 

1 000 pieces 

10 037 

1 000 pieces 

7 534 

1 000 pieces 

2 565 

1 000 pieces 

5 072 

1 000 pieces 

795 

1 000 pieces 

4 400 

1 000 pieces 

896 

1 000 pieces 

2 927 

1 000 pieces 

754 

26/27 

1 000 pieces 

3 668 

29 

73 

83 

74 

1 000 pieces 

1 487 

1 000 pieces 

5 700 

Tonnes 

757 

1 000 pieces 

994 

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Letter from the Government of the Republic of Belarus  

Sir, 

I  have  the  honour  to  acknowledge  receipt  of  your  letter  of  …..  which  reads  as  follows: 

“ Sir, 

1. 

2. 

I have the honour to refer to the Agreement between the European Community and 
the Republic of Belarus on trade in textile products initialled on 1 April 1993, as last 
amended  and  extended  by  the  Agreement  in  the  form  of  an  Exchange  of  Letters 
initialled on 11 November 2005 (hereafter referred to as the 'Agreement'). 

In view of the expiry of the Agreement on 31 December 2006 and in accordance with 
Article  19(1)  of  the  Agreement,  the  European  Community  and  the  Republic  of 
Belarus  agree  to  extend  the  duration  of  the  Agreement,  for  a  further  period  of  one 
year, subject to the following amendments and conditions: 

2.1.  The text of Article 19(1) of the Agreement shall read as follows: 

'This Agreement shall enter into force on the first day of the month following 
the  date  on  which  the  Parties  notify  each  other  of  the  completion  of  the 
procedures necessary for that purpose. It shall be applicable until 31 December 
2007.' 

2.2.  Annex  II  which  sets  out  the  quantitative  restrictions  for  exports  from  the 
Republic of Belarus to the European Community is replaced by Appendix 1 to 
this letter. 

2.3.  The Annex to Protocol C which sets out the quantitative restrictions for exports 
from  the  Republic  of  Belarus  to  the  European  Community  after  OPT 
operations  in  the  Republic  of  Belarus  is  replaced  for  the  period  of  1  January 
2007 to 31 December 2007 by Appendix 2 to this letter. 

2.4.  Imports into Belarus of textile and clothing products of European Community 
origin shall be subject in 2007 to custom duties not exceeding those provided 
for  2003  in  Appendix  4  of  the  Agreement  in  the  form  of  an  Exchange  of 
Letters  between  the  European  Community  and  the  Republic  of  Belarus 
initialled on 11 November 1999. 

In the case of non-application of these rates the Community will have the right 
to  reintroduce  for  the  period  of  the  agreement  remaining  unexpired  on  a  pro 
rata basis the levels for quantitative restrictions applicable for 2006 as specified 
in the Exchange of Letters initialled on 11 November 2005. 

3. 

Should the Republic of Belarus become a Member of the World Trade Organisation 
(WTO) before the date of the expiry of the Agreement, the agreements and rules of 
the WTO shall be applied from the date of the Republic of Belarus’ accession to the 
WTO.  

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4. 

I should be obliged if you could kindly confirm the acceptance of your Government 
of the foregoing. Should this be the case, this agreement in the form of an Exchange 
of  Letters  shall  enter  into  force  on  the  first  day  of  the  month  following  the  day  on 
which the Parties have notified each other that the legal procedures necessary to this 
end have been completed. In the meantime, it shall be applied provisionally from 1 
January 2007 on the condition of reciprocity. 

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

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

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

For the Government of the Republic of Belarus 

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