COMMISSION STAFF WORKING DOCUMENT Accompanying the document Proposal for a COUNCIL DECISION on the position to be taken on behalf of the European Union in the International Sugar Council with respect to amending the International Sugar Agreement, 1992
Date: 2021-09-08
Institutions: Directorate-General for Agriculture and Rural Development, European Commission
Subjects: commodity agreement, international organisation, multilateral agreement, revision of an agreement, sugar

EN 

  EN 

   EUROPEAN COMMISSION  Brussels, 8.9.2021  SWD(2021) 235 final  COMMISSION STAFF WORKING DOCUMENT Accompanying the document Proposal for a COUNCIL DECISION on the position to be taken on behalf of the European Union in the International Sugar Council with respect to amending the International Sugar Agreement, 1992 {COM(2021) 537 final}  
 
 
International Sugar Agreement, 1992 including 
the amended articles 1, 23(1), 25, 32, 33 and 34 

1 

 
 
 
 
 
  International Sugar Organization    

 1 Canada Square 
  London E14 5AA  

Canary Wharf 

INTERNATIONAL SUGAR COUNCIL 

C(21)04 

(English only) 

28 June 2021 

International Sugar Agreement, 1992 - Articles for Reform 

In order to facilitate consultations with capitals and decision-making at the upcoming 59th 
Council  session  on  November  26,  2021,  the  Secretariat  has  prepared  a  revised  draft 
version(note)  of  the  1992  International  Sugar  Agreement  (ISA).    It  includes  the  amended 
articles  (1,  23(1),  25,  32,  33  and  34)  approved  by  Members  at  the  last  two  Council 
meetings (based on documents C(20)12 of 23 October 2020 and Memo(20)85 Updated of 
11  June  2021)  and  strives  to  provide  a  clear  idea  of  what  our  provisions  will  look  like 
when the reform process is completed. 

We  have  also  included  the  timetable  (C(21)02  (Revised)  of  28  June  2021)  that  was 
agreed upon which details the steps and actions that will be executed to advance with the 
changes.  Please take note that Council will approve by Special Vote to trigger the reform 
process under Art. 44 and the chronology to be followed. 

It  is  very  important  that  Members  fully  familiarize  themselves  with  the  content  of  the 
articles to be amended, the timing in which decisions have to be taken and the necessary 
consultations they must carry out to be well prepared for the above-mentioned 59th ISO 
Council session.  

Note: 

The  following  ‘technical’  adjustments  have  been  made  in  the  ISA  attached.    These  are  required  as  a 
consequence of the intention to have the revised ISA come into effect from 1 January 2024: 

 

 

 

 

article 25(3) - ‘2021’ amended to ‘2023’ because the vote calculation in 2023 should be the basis for 
determining the contributions payable by each Member in 2024. 
article 25(6) - ‘2021’ changed to ‘2022’ because the first calculation would be in 2023 and any changes 
to votes are limited by reference to the previous year which should be 2022.  
article 25(10) - ‘2021’ altered to ‘2024’ because that year’s budget would be the first one based on the 
new distribution of votes for 2023.   
annex  - ’Allocation of votes for the purposes of Article 25’  amended  to ‘Allocation of votes originally 
agreed in 1992’ as article 25 no longer makes any reference to the annex. 

_________________ 

2 

 
 
 
 
 
 
 
 
 
 
 
INTERNATIONAL SUGAR AGREEMENT, 1992 

CONTENTS 

Article 

Page 

1. 

Objectives.....1 

2. 

Definitions...2 

CHAPTER I.  Objectives 

CHAPTER II. DEFINITIONS 

CHAPTER III. INTERNATIONAL SUGAR ORGANIZATION 

Continuation, headquarters and structure of the International Sugar Organization.....3 
Membership of the Organization..............3 
Membership by intergovernmental organizations....3 
Privileges and immunities..................3 

CHAPTER IV. INTERNATIONAL SUGAR COUNCIL 

Composition of the International Sugar Council..5 
Powers and functions of the Council............5 
Chairman and Vice-Chairman of the Council....5 
Sessions of the Council................6 
Votes...6 
Voting procedure of the Council.........6 
Decisions of the Council........7 
Cooperation with other organizations....7 
Relationship with the Common Fund for commodities..........7 
Admission of observers...........7 
Quorum for the Council.........8 

CHAPTER V. ADMINISTRATIVE COMMITTEE 

Composition of the Administrative Committee........9 
Election to the Administrative Committee.......9 
Delegation of powers by the Council to the Administrative Committee..10 
Voting procedure and decisions of the Administrative Committee.....11 
Quorum for the Administrative Committee..........11  

3. 
4. 
5. 
6. 

7. 
8. 
9. 
10. 
11. 
12. 
13. 
14. 
15. 
16. 
17. 

18. 
19. 
20. 
21. 
22. 

CHAPTER VI. EXECUTIVE DIRECTOR AND STAFF 

23. 

Executive Director and staff...........................12 

CHAPTER VII.  FINANCE 

24. 
25. 
26. 
27. 

Expenses..................................................13 
Adoption of the administrative budget and contributions of Members....13 
Payment of contributions...............15 
Audit and publication of accounts..........15 

3 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Article    

Page 

CHAPTER VIII. GENERAL UNDERTAKINGS Of MEMBERS 

28. 
29. 
30. 
31. 

Undertakings by Members ...............16 
Labour standards ..............................16 
Environmental aspects .............................16 
Financial liability of Members ......................... 16 

CHAPTER IX. INFORMATION AND STUDIES 

32. 
33. 

Information and studies ...............17 
Market evaluation, consumption and statistics ......... 17 

CHAPTER X. RESEARCH AND DEVELOPMENT 

34. 

Research and development ......................18 

CHAPTER XI. PREPARATIONS FOR A NEW AGREEMENT 

35. 

Preparations for a new agreement ....................19 

CHAPTER XII. FINAL PROVISIONS 

36. 
37. 
38. 
39. 
40. 
41. 
42. 
43. 
44. 
45. 
46. 

Depositary .........................................20 
Signature.................................20 
Ratification, acceptance and approval......20 
Notification of provisional application.....20 
Entry into force...........................20 
Accession...................................21 
Withdrawal....................................21 
Settlement of accounts.....................21 
Amendment...................................22 
Duration, extension and termination......22 
Transitional measures.....................23 

Allocation of votes for the purposes of article 25.....24 

ANNEX 

4 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
page 1 

CHAPTER I.  OBJECTIVES 

 Article 1 
 Objectives 

The  objectives  of  the  International  Sugar  Agreement,  1992  (hereinafter  referred  to  as  this 
Agreement), in the light of the terms of resolution 93 (IV) adopted by the United Nations Conference 
on Trade and Development, are: 

(a)  To  ensure  enhanced  international  cooperation  in  connection  with  world  sugar  and 
sweeteners  matters  as  well  as  related  issues,  including  bioenergy  and  fuel  ethanol  production  from 
sugar crops; 

(b) To provide a forum for intergovernmental consultations on sugar and sweeteners markets 

as well as markets for sugar industry by-products as well sugar-crop based fuel ethanol; 

(c) To facilitate trade by collecting and providing information on the world sugar market and 

other sweeteners, as well as bioenergy and sugar-crop based fuel ethanol; 

(d) To encourage increased demand for sugar and sugar crops, particularly for non-food uses. 

5 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CHAPTER II.  DEFINITIONS 

 Article 2 
 Definitions 

For the purpose of this Agreement: 

page 2 

1 

2 

3. 

"Organization" means the International Sugar Organization referred to in article 3; 

"Council" means the lnternational Sugar Council referred to in article 3, paragraph 3; 

"Member" means a Party to this Agreement; 

4. 
"Special vote" means a vote requiring at least two thirds of the votes cast by Members present 
and  voting,  on  condition  that  these  votes  are cast  by  at  least  two  thirds  of  the  number  of  Members 
present and voting; 

5. 
"Simple majority vote" means a vote requiring more than half of the total votes of Members 
present and voting, on condition that these votes are cast by at least half of the number of Members 
present and voting; 

6. 

"Year" means the calendar year; 

"Sugar" means sugar in any of its recognized commercial Forms derived from sugar cane or 
7. 
sugar beet, including edible and fancy molasses, syrups and any other form of liquid sugar, but does 
not include final molasses or low-grade types of non-centrifugal sugar produced by primitive methods; 

"Entry into force" means the date on which this Agreement enters into force provisionally or 

8. 
definitively, as provided for in article 40: 

9. 
"Free market" means the total of net imports of the world market, except those resulting from 
the operation of special arrangements as defined in chapter IX of the International Sugar Agreement, 
1977; 

10. 
"World market" means the international sugar market and includes both sugar traded on the 
free market and sugar traded under special arrangements as defined in chapter IX of the International 
Sugar Agreement, 1977. 

6 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CHAPTER III. 

INTERNATIONAL SUGAR ORGANIZATION 

 Article 3 
 Continuation, headquarters and structure of the International Sugar Organization 

page 3 

The  lnternational  Sugar  Organization  established  under  the  International  Sugar  Agreement, 
1. 
1968, and maintained in existence under the International Sugar agreements, 1973, 1977, 1984 and 
1987,  shall  continue  in  being  for  the  purpose  of  administering  this  Agreement  and  supervising  its 
operation, with the membership, powers and functions set out in this Agreement. 

The  headquarters  of  the  Organization  shall  be  in  London,  unless  the  Council  decides 

2. 
otherwise by special vote. 

The  Organization  shall  function  through  the  lnternational  Sugar  Council,  its  Administrative 

3. 
Committee and its Executive Director and staff. 

Article 4 
Membership of the Organization 

Each Party to this Agreement shall be a Member of the Organization. 

Article 5 
Membership by intergovernmental organizations 

Any reference in this Agreement to a "Government" or "Governments" shall be construed as 
including  the  European  Economic  Community  and  any  other  intergovernmental  organization  having 
responsibilities in respect of the negotiation, conclusion and application of international agreements, in 
particular  commodity  agreements.  Accordingly,  any  reference  in  this  Agreement  to  signature, 
ratification, acceptance or approval, or to notification of provisional application or to accession shall, in 
the case of such intergovernmental organizations, be construed as including a reference to signature, 
ratification,  acceptance,  or  approval,  or  to  notification  of  provisional  application,  or  to  accession,  by 
such intergovernmental organizations. 

Article 6 
Privileges and immunities 

1. 

The Organization shall have international legal personality. 

The Organization shall have the capacity to contract, to acquire and dispose of movable and 

2. 
immovable property and to institute legal proceedings. 

3. 
The  status,  privileges  and  immunities  of  the  Organization  in  the  territory  of  the  United 
Kingdom shall continue to be governed by the Headquarters Agreement between the Government of 
the  United  Kingdom  of  Great  Britain  and  Northern  Ireland  and  the  lnternational  Sugar  Organization 
signed  at  London  on  29  May  1969,  with  such  amendments  as  may  be  necessary  for  the  proper 
functioning of this agreement. 

4. 
If the seat of the Organization is moved to a country which is a Member of the Organization, 
that Member shall, as soon as possible, conclude with the Organization a agreement to be approved 
by  the  Council  relating  to  the  status,  privileges  and  immunities  of  the  Organization,  of  its  Executive 
Director,  staff  and  exports  and  of  representatives  of  Membership  in  that  country  for  the  purpose  of 
exercising their functions.  

7 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Unless any other taxation arrangements are implemented under the agreement envisaged in 

5. 
paragraph 4 of this article and pending the conclusion of that agreement the new host Member shall; 

(a)  Grant  exemption  from  taxation  on  the  remuneration  paid  by  the  Organization  to  its 

employees, except that such exemption need not apply to its own nationals; and 

(b)  Grant  exemption  from  taxation  on  the  assets,  income  and  other  property  of  the 

Organization. 

6. 
If  the  seat  of  the  Organization  is  to  be  moved  to  a  country  which  is  not  a  Member  of  the 
Organization, the Council shall, before that move, obtain a written assurance from the Government of 
that country: 

(a)  That  it  shall,  as  soon  as  possible,  conclude  with  the  Organization  an  agreement  as 

described in paragraph 4 of this article; and 

(b) That, pending the conclusion of such an agreement, it shall grant the exemptions provided 

for in paragraph 5 of this article. 

7. 
The  Council  shall  endeavour  to  conclude  the  agreement  described  in  paragraph  4  of  this 
article with the Government of the country to which the seat of the Organization is to be moved before 
transferring the seat. 

8 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CHAPTER IV. 

INTERNATIONAL SUGAR COUNCIL 

Article 7 
Composition of  the International Sugar Council 

page 5 

The highest authority of the Organization shall be the International Sugar Council, which shall 

1. 
consist of all the Members of the Organization. 

2. 
Each Member shall have one representative in the Council, and if it so desires, one or more 
alternates.  Furthermore,  a  Member  may  appoint  one  or  more  advisers  to  its  representatives  or 
alternates. 

Article 8 
Powers and functions of the Council 

1. 
The Council shall exercise all such powers and perform or arrange for the performance of all 
such  functions  as  are  necessary  to  carry  out  the  provisions  of  this  Agreement  and  to  pursue  the 
liquidation  of  the  Stock  Financing  Fund  established  under  article  49  of  the  International  Sugar 
Agreement,  1977,  as  delegated  by  the  council  under  that  Agreement  to  the  Council  under  the 
lnternational  Sugar  Agreement,  1984,  and  the  International  Sugar  Agreement,  1987,  pursuant  to 
article 8, paragraph 1, of the latter. 

The council shall adopt, by special vote, such rules and regulations as are necessary to carry 
2. 
out the provisions of this Agreement and are consistent therewith, including rules of procedure for the 
Council  and  its committees,  and  the financial  and  staff regulations  of  the  Organization.  The Council 
may, in its rules of procedure, provide a procedure whereby it may, without meeting, decide specific 
questions. 

The  Council  shall  keep  such  records  as  are  requited  to  perform  its  functions  under  this 

3. 
Agreement and such other records as it considers appropriate. 

The  Council  shall  publish  an  annual  report  and  such  other  information  as  it  considers 

4. 
appropriate. 

Article 9 
Chairman and Vice-Chairman of the Council 

For  each  year,  the  Council  shall  elect  from  among  the  delegations  a  Chairman  and  a  Vice 

1. 
Chairman, who may be re-elected and shall not be paid by the Organization. 

2. 
In  the  absence  of  the  Chairman,  the  duties  of  the  post  shall  be  carried  out  by  the 
Vice-Chairman.  ln  the  temporary  absence  of  both  the  Chairman  and  the  Vice-Chairman  or  the 
permanent absence of one or both, the council may elect from among the delegations new officers, 
temporary or permanent as appropriate. 

3. 
Neither  the  chairman  nor  any  other  officer  presiding  at  meetings  of  the  Council  shall  vote. 
They may, however, appoint another person to exercise the voting rights of the Member which they 
represent. 

9 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Article 10 
Sessions of the Council 

page 6 

As a general rule, the Council shall hold one regular session in each year. 

In addition, the Council shall meet in special session whenever it so decides or at the request 

1. 

2. 
of: 

(a) 

(b) 

Any five Members; 

Two  or  more  Members  holding  collectively  250  votes  or  more  under  article  11  as 

determined under article 25; or 

(c) 

The Administrative Committee. 

Notice of sessions shall be given to Members at least 30 calendar days in advance, except in 

3. 
case of emergency, when such notice shall be given at least 10 calendar days in advance. 

Sessions  shall  be  held  at  the  headquarters  of  the  Organization  unless  the  Council  decides 
4. 
otherwise  by  special  vote.  If  any  Member  invites  the  Council  to  meet  elsewhere  than  at  the 
headquarters  of  the  Organization,  and  the  Council  agrees  so  to  do,  that  Member  shall  pay  the 
additional costs involved. 

Article 11 
Votes 

For  the  purpose  of  voting  under  this  Agreement,  Members  shall  hold  a  total  of  2,000  votes 

1. 
distributed as determined under article 25. 

2. 
Whenever  a  Member  has  its  voting  rights  suspended  under  article  26,  paragraph  2.  of  this 
Agreement,  its  votes  shall  be  distributed  among  the  other  Members  according  to  their  shares  as 
determined  under  article  25. The  same  procedure  shall  apply  when  the  Member recovers  its  voting 
rights, the Member concerned being included in the distribution. 

Article 12 
Voting procedure of the Council 

Each  Member  shall  be  entitled  to  cast  the  number  of  votes  it  holds  under  article  11  as 

1. 
determined under article 25. It shall not be entitled to divide such votes. 

2. 
By  informing  the  Chairman  in  writing,  any  Member  may  authorize  any  other  Member  to 
represent its interests and to cast its votes at any meeting or meetings of the Council. A copy of such 
authorizations shall be examined by any credentials committee that may be set up under the rules of 
procedure of the Council. 

3. 
A Member authorized by another Member to cast the votes held by the authorizing Member 
under article 11 as determined under article 25 shall cast such votes as authorized and in accordance 
with paragraph 2 of this article. 

10 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
page 7 

Article 13 
Decisions of the council 

1. 
All  decisions  of  the  Council  shall  be  taken  and  all  recommendations  shall  be  made,  in 
principle. by consensus. ln the absence of consensus, decisions and recommendations shall be made 
by simple majority vote, unless this Agreement provides for a special vote. 

2. 
ln arriving at the number of votes necessary for any decision of the council, votes of Members 
abstaining  shall  not  be  reckoned  and  those  Members  shall  not  be  considered  as  'voting'  for  the 
purposes of article 2, definition 4 or definition 5, as the case may be. Where a Member avails itself of 
the provisions of article 12, and its votes are cast at a meeting of the Council, such Member shall, for 
the purposes of paragraph 1 of this article, be considered as present and voting. 

3. 

All decisions of the Council under this Agreement shall be binding upon Members. 

Article 14 
Cooperation with other organizations 

1. 
The  Council  shall  make  whatever  arrangements  are  appropriate  for  consultation  or 
cooperation  with  the  United  Nations  and  its  organs,  in  particular  the  United  Nations  Conference  on 
Trade and Development, and with the Food and Agriculture organization and such other specialized 
agencies of the United Nations and intergovernmental organizations as may be appropriate. 

The Council, bearing in mind the particular role of the United Nations Conference on Trade 
2. 
and  Development  in  international  commodity  trade,  shall  as  appropriate  keep  the  United  Nations 
Conference on Trade and Development informed of its activities and programmes of work. 

The Council may also make whatever arrangements are appropriate for maintaining effective 

3. 
contact with international organizations of sugar producers, traders and manufacturers. 

Article 15 
Relationship with the Common Fund for Commodities 

The  Organization  shall  take  full  advantage  of  the  facilities  of  the  Common  Fund  for 

1. 
Commodities. 

2. 
ln  respect  of  the  implementation  of  any  project  under  paragraph  1  of  this  article,  the 
Organization  shall  not  act  as  an  executing  agency,  nor  incur  any  financial  obligation  for  guarantees 
given  by  individual  Members  or  other  entities.  No  Member  shall  be  responsible  by  reason  of  its 
membership in the organization for any liability arising from borrowing or lending by any other Member 
or entity in connection with such projects. 

Article 16 
Admission of observers 

The  Organization  may  invite  any  non  member  State  to  attend  any  of  its  meetings  as  an 

1. 
observer. 

The Council may also invite any of the organizations referred to in article 14, paragraph 1, to 

2. 
attend any of its meetings as an observer. 

11 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Article 17 
Quorum for the Council 

page 8 

The quorum for any meeting of the Council shall be the presence of more than two thirds of all 
Members, the Members thus present holding at least two thirds of the total votes of all Members under 
article 11 as determined under article 25. If there is no quorum on the day appointed for the opening of 
any council session, or if in the course of any Council session there is no quorum at three successive 
meetings, the Council shall be convened seven days later; at that time, and throughout the remainder 
of that session, the quorum shall be the presence of more than half of all Members, the Members thus 
present representing more than half of the total votes of all Members under article 11 as determined 
under  article  25.  Representation  in  accordance  with  article  12,  paragraph  2,  shall  be  considered  as 
presence. 

12 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
page 9 

CHAPTER V.  ADMINISTRATIVE COMMITTEE 

Article 18 
Composition of the Administrative Committee 

1. 
The Administrative Committee shall consist of 18 members. Ten shall, in principle, be the 10 
largest  financial  contributing  Members  in  each  year,  and  8  members  shall  be  elected  from  the 
remaining Membership of the Council. 

2. 
If one or more of the 10 largest financial contributing Members in each year does not wish to 
be  automatically  appointed  to  the  Administrative  Committee,  the  shortfall  in  membership  shall  be 
made good by appointing the next largest financial contributing Member or Members willing to serve.  
When  those  10  members  of  the  Administrative  Committee  have  thus  been  appointed,  the  other  8 
members of the Committee shall be elected from the remaining Membership of the Council. 

The  election  of  the  additional  8  members  shall  take  place  each  Year  on  the  basis  of  votes 
3. 
under  article  11  as  determined  under  article  25.  The  Members  appointed  to  the  Administrative 
committee under the provisions of paragraphs 1 or 2 of this article shall not be entitled to vote in this 
election. 

No  Member  shall  be  eligible  to  sit  on  the  Administrative  Committee  unless  it  has  paid  its 

4. 
contributions in full in accordance with article 26. 

Each  member  of  the  Administrative  Committee  shall  appoint  one  representative  and  may 
5. 
appoint in addition one or more alternates and advisers. In addition, all Members of the Council shall 
be eligible to attend this Committee as observers and may be invited to speak. 

The Administrative Committee shall elect its Chairman and Vice-Chairman for each year. The 
6.  
Chairman shall not have the right to vote and may be re-elected. In the absence of the Chairman, the 
duties of the post shall be carried out by the Vice-Chairman. 

7. 

The Administrative Committee shall normally meet three times a year. 

8. 
The  Administrative  Committee  shall meet  at  the  headquarters  of the  Organization,  unless  it 
decides otherwise. If any Member invites the Administrative Committee to meet elsewhere than at the 
headquarters  of  the  Organization,  and  the  Administrative  Committee  agrees  so  to  do,  that  Member 
shall pay the additional costs involved. 

Article 19 
Election to the Administrative Committee 

1. 
The  Members  elected  from  among  the  largest  financial  contributing  Members  in  each  year 
under  the  procedure  in  paragraphs  1  or  2  of  article  18  shall  be  appointed  to  the  Administrative 
Committee. 

2. 
The election of the additional 8 members of the Administrative Committee shall take place in 
the  Council.  Each  Member  eligible  pursuant  to  the  provisions  of  article  18,  paragraphs  1,  2,  and  3, 
shall cast all the votes to which it is entitled under article 11 as determined under article 25 for a single 
candidate.  A Member may cast for another candidate any votes which it exercises pursuant to article 
12, paragraph 2.  The 8 candidates receiving the largest number of votes shall be elected. 

13 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 page 10 

3. 
If  a  member  of  the  Administrative  Committee  is  suspended  from  the  exercise  of  its  voting 
tights under any of the relevant provisions of this Agreement, each Member which has voted for it or 
assigned its votes to it in accordance with this article may, during such time as that suspension is in 
force. assign its votes to any other member of the Committee. 

4. 
If a Member appointed to the Committee under the provisions of paragraphs 1 or 2 of article 
18  ceases  to  be  a  Member  of  the  Organization,  it  shall  be  replaced  by  the  next  largest  financial 
contributing Member willing to serve and, if necessary, an election shall be held to select an additional 
elected member of the Committee.  If a Member elected to the Committee ceases to be a Member of 
the Organization, an election shall be held to replace that Member on the Committee. Any Member 
which  voted  for  or  assigned  its  votes  to  the  Member  which  has  ceased  to  be  a  Member  of  the 
Organization, and which does not vote for the Member elected to fill the vacancy on the committee, 
may assign its votes to another member of the Committee. 

5. 
ln  special  circumstances,  and  after  consultation  with  the  member  of  the  Administrative 
Committee for which it voted or to which it assigned its votes in accordance with the provisions of this 
article,  a  Member  may  withdraw  its  votes  from  that  member  for  the  remainder  of  the  year.  That 
Member may then assign these votes to another member of the Administrative Committee but may 
not withdraw these votes from that other member for the remainder of that year. The member of the 
Administrative  Committee  from  which  the  votes  have  been  withdrawn  shall  retain  its  seat  on  the 
Administrative Committee for the remainder of that year. Any action taken pursuant to the provisions of 
this  paragraph shall  become  effective  after  the chairman  of  the  Administrative  Committee  has  been 
informed in writing thereof. 

Article 20 
Delegation of powers by the Council to the  
Administrative Committee 

The Council may, by special vote, delegate to the Administrative Committee the exercise of 

1. 
any or all of its powers, other than the following: 

(a) Location of the headquarters of the Organization under article 3, paragraph 2; 

(b) Appointment of the Executive Director and any senior official under article 23; 

(c) Adoption of the administrative budget and assessment of contributions under article 25; 

(d)  Any  request  to  the  Secretary  General  of  the  United  Nations  Conference  on  Trade  and 

Development to convene a negotiating conference under article 35, paragraph 2; 

(e) 

Recommendation of an amendment under article 44; 

(f) 

Extension or termination of this Agreement under article 45. 

14 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
page 11 

Article 21 
Voting procedure and decisions of the Administrative Committee 

Each member of the Administrative Committee shall be entitled to cast the number of votes 

1. 
received by it under article 19, and cannot divide these votes. 

Any decision taken by the Administrative Committee shall require the same majority as that 

2. 
decision would require if taken by the Council and shall be reported to the Council. 

3. 
Any  Member  shall  have  the  right  of  appeal  to  the  Council,  under  such  conditions  as  the 
Council may prescribe in its rules of procedure, against any decision of the Administrative Committee. 

Article 22 
Quorum for the Administrative Committee 

The quorum for any meeting of the Administrative Committee shall be the presence of more 
than half of all members of the Committee, the members thus present representing at least two thirds 
of the total votes of all members of the Committee. 

15 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
page 12 

CHAPTER VI.  EXECUTIVE DIRECTOR AND STAFF 

Article 23 
Executive Director and staff 

1. 
The Council shall appoint the Executive Director by special vote for a period of four years. The 
appointment by the Council shall occur at least six months prior to the beginning of the tenure of the 
Executive  Director.  The  Council  may  reappoint  the  Executive  Director  by  special  vote  for  a  second 
period of four years. The Executive Director shall not be appointed for more than two terms. Specific 
terms of appointment of the Executive Director shall be decided by the Council. 

2. 
The Executive Director shall be the chief administrative officer of the Organization and shall 
be  responsible  for  the  performance  of  the  duties  devolving  upon  him  in  the  administration  of  this 
Agreement. 

The Council, after consulting the Executive Director, shall by special vote appoint any senior 

3. 
official on such terms as it shall determine. 

The  Executive  Director  shall  appoint  other  members  of  the  staff  in  accordance  with 

4. 
regulations and decisions of the Council. 

5. 
The  Council,  in  accordance  with  article  8,  shall  adopt  rules  and  regulations  embodying  the 
fundamental conditions of service and the basic rights, duties and obligations of all members of the 
Secretariat. 

Neither the Executive Director not any member of the staff shall have any financial interest in 

6. 
the sugar industry or sugar trade. 

7. 
Neither the Executive Director nor any member of the staff shall seek or receive instructions 
regarding their duties under this Agreement From any  Member or from any authority external to the 
Organization. They shall refrain from any action which might reflect on their position as international 
officials responsible only to the Organization. Each Member shall respect the exclusively international 
character of the responsibilities of the Executive Director and staff and shall not seek to influence them 
in the discharge of their responsibilities. 

16 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
page 13 

CHAPTER VI.  FINANCE 

Article 24 
Expenses 

1. 
The  expenses  of  delegations  to  the  Council,  the  Administrative  Committee  or  any  of  the 
committees  of  the  Council  or  of  the  Administrative  Committee  shall  be  met  by  the  Members 
concerned. 

2. 
The  expenses  necessary  for  the  administration  of  this  Agreement  shall  be  met  by  annual 
contributions from Members, assessed in accordance with article 25. If, however, a Member requests 
special services, the Council may require that Member to pay for them. 

3. 

Appropriate accounts shall be kept for the administration of this Agreement. 

Article 25 
Adoption of the administrative budget and contributions of Members 

1. 

For the purpose of this article Members shall hold 2000 votes. 

(a) Each Member shall hold a number of votes, which shall be determined in accordance with 

2. 
paragraph 3 below. 

(b) 

No Member shall hold fewer than 6 votes. 

(c)  There  shall  be  no  fractional  votes.  Rounding  shall  be  permitted  in  the  process  of 

calculation and to ensure that the full number of votes is allocated. 

3. 
Votes  shall  be  determined  on  an  annual  basis  according  to  the  following  procedure:  Each 
year  from  2023,  at  the  time  of  the  publication  of  the  Sugar  Year  Book  by  the  lnternational  Sugar 
Organization, the number of votes for each Member shall be calculated on the basis of the following 
indicators and their relative weighing: 

  20 per cent of votes based on that Member's pro-rata share of Total Members exports, plus 
  20 per cent of votes based on that Member's pro-rata share of Total Members imports, plus 
  20 per cent of votes based on that Member's pro-rata share of Total Members production, plus 
  20 per cent of votes based on that Member's pro-rata share of Total Members consumption, plus 
  20  per  cent  of  votes  based  on  that  Member's  pro-rata  share  of  Total  Members  Ability  to  Pay 
Factor  (APF).  The  APF  equals  the  latest  published  assessments  for  the  apportionment  of  the 
expenses of the United Nations. 

The number of votes of each Member shall be calculated, for each of the indicators above, using the 
average of that indicator for the 5 last years published in the most recent edition of the Organization's 
Sugar Year Book. The share of each Member in the total of all Members’ for the indicators mentioned 
above shall be calculated by the Executive Director. All the above data will be distributed to Members 
at the time that the calculations are made. 

4. 
In  the  event  of  the  accession  of  a  Member  or  Members  after  the  entry  into  force  of  this 
Agreement, their votes shall be determined according to the calculation key under paragraphs 2 and 3 
above.  The  votes  of  existing  Members  shall  be  re-calculated  accordingly  so  that  the  total  of  votes 
remains at 2000. 

5. 
In the event of the withdrawal of a Member or Members, the votes of the withdrawing Member 
or Members shall be redistributed to the remaining Members based on the recalculated shares of the 
4 indicators of the Members so that the total of the votes of all Members remains at 2000. 

17 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
6. 

Transitional arrangement: 

(a) 
and voting situation in the year 2022 will be taken as a base. 

For the purpose of establishing a starting point for calculating adjustments, the Membership 

(b) During the first 5 years of the transition period the number of votes of each Member cannot 
be more than 15% higher or lower than those agreed for the previous year, and, in the second 5 years 
of the transition period the number of votes of each Member cannot be more than 20% higher or lower 
than those agreed for the previous year. Except if, in accordance with the provisions of paragraph 2(c), 
rounding means that the number of votes allocated to a Member exceed the agreed percentages, this 
shall be permitted. 

(c)  For  the  purpose  of  establishing  the  contribution  per  vote,  votes  not  taken  up  due  to  the 
application  of  paragraph  6  (b)  above  shall  not  be  redistributed  to  other  Members.  Hence,  the 
contribution  per  vote  will  be  determined  on  the  basis  of  the  re-calculated  number  of  overall  votes, 
provided that these will not exceed 2000 votes. 

(d) The transitional arrangement will be completed within 10 years. 

The provisions of article 26, paragraph 2, relating to the suspension of voting rights for non-

7. 
fulfilment of obligations, shall not apply to this article. 

8. 
During the second half of each year, the Council shall adopt the administrative budget of the 
Organization for the following year and shall determine the per vote contribution of Members required 
to meet that budget, after taking into account the provisions of paragraph 6 of this article. 

The  contribution  of  each  Member  to  the  administrative  budget  shall  be  calculated  by 

9. 
multiplying the per vote contribution by the number of votes held by it under this article, as follows: 

(a) For those which are Members at the time of the final adoption of the administrative budget, 

the number of votes which they then hold; and 

(b)  For  those  which  become  Members  after  the  adoption  of  the  administrative  budget,  the 
number of votes which they receive at the time of taking up membership, adjusted in proportion to the 
remainder of the period covered by the budget or budgets; assessments made upon other Members 
shall not be altered. 

The Council may, by special vote, take such measure as it might deem appropriate in order to 
10. 
mitigate the effects on Members' contributions resulting from a possibly limited membership at the time 
of  the  adoption  of  the  administrative  budget  for  2024  or  from  any  major  decrease  of  membership 
thereafter. 

18 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
page 15 

Article 26 
Payment of contributions 

1. 
Members  shall  pay  their  contributions  to  the  administrative  budget  for  each  year  in 
accordance with their respective constitutional procedures. Contributions to the administrative budget 
for each year shall be payable in freely convertible currencies and shall become due on the first day of 
that year; contributions of Members in respect of the year in which they join the Organization shall be 
due on the date on which they become Members. 

2. 
If, at the end of four months following the date on which its contribution is due in accordance 
with  paragraph  1  of  this  article,  a  Member  has  not  paid  its  full  contribution  Lo  the  administrative 
budget, the Executive Director shall request the Member to make payment as quickly as possible. If, at 
the expiration of two months after the request of the Executive Director, the Member has still not paid 
its contribution, its voting rights in the Council and in the Administrative Committee shall be suspended 
until such time as it has made full payment of the contribution. 

3. 
The Council may decide, by special vote, that a Member with two years contributions unpaid 
shall cease to enjoy the rights of membership and/or cease to be assessed for budgetary purposes. It 
shall remain liable to meet any other of its financial obligations under this Agreement. By payment of 
the  arrears  the  Member  will  regain  the  rights  of  membership.  Any  payments  made  by  Members  in 
arrears will be credited first to those arrears, rather than to current contributions. 

Article 27 
Audit and publication of accounts 

As soon as possible after the close of each year, the financial statements of the Organization 
for that year, certified by an independent auditor, shall be presented to the Council for approval and 
publication.  

19 

 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
CHAPTER VIII.  GENERAL UNDERTAKINGS OF MEMBERS 

Article 28 
Undertakings by Members 

Members undertake to adopt such measures as are necessary to  enable them to fulfil their 
obligations under this Agreement and fully to cooperate with one another in securing the attainment of 
the objectives of this Agreement. 

page 16 

Article 29 
Labour standards 

Members  shall  ensure  that  fair  labour  standards  are  maintained  in  their  respective  sugar 
industries and, as far as possible, shall endeavour to improve the standard of living of agricultural and 
industrial workers in the various branches of sugar production and of growers of sugar cane and sugar 
beet. 

Article 30 
Environmental aspects 

Members  shall  give  due  consideration  to  environmental  aspects  in  all  stages  of  sugar 

production. 

Article 31 
Financial liability of Members 

Each  Member's  financial  liability  to  the  Organization  and  to  other  Members  is  limited  to  the 
extent of its obligations concerning contributions to the administrative budgets adopted by the Council 
under this Agreement. 

20 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
page 17 

CHAPTER IX. 

INFORMATION AND STUDIES 

Article 32 
Information and studies 

1. 
The  Organization  shall  act  as  a  centre  for  the  collection  and  publication  of  statistical 
information and studies on world production, prices, exports and imports, consumption and stocks of 
sugar products, as well as taxes on sugar products. 

2. 
Members  undertake  to  supply  within  the  time  which  may  be  prescribed  in  the  rules  of 
procedure all available statistics and information as may be identified in those rules as necessary to 
enable  the  Organization  to  discharge  its  functions  under  this  agreement.  Should  this  become 
necessary, the Organization shall use such relevant information as may be available to it from other 
sources.  No  information  shall  be  published  by  the  Organization  which  might  serve  to  identify  the 
operations of persons or companies producing, processing or marketing sugar products. 

Article 33 
Market evaluation, consumption and statistics 

The Council shall establish a Committee on Sugar Products Market Evaluation, Consumption 

1. 
and Statistics, composed of all Members, under the Chairmanship of the Executive Director. 

2. 
The Committee shall keep under continuous review matters relating to the world economy of 
sugar  products  and  shall  apprise  Members  of  the  outcome  of  its  deliberations,  for  which  purpose  it 
shall  hold  meetings,  normally  twice  a  year.  ln  its  review.  the  Committee  shall  take  account  of  all 
relevant information gathered by the Organization pursuant to article 32. 

3. 

The Committee shall undertake work in the following areas: 

(a) preparation of sugar product statistics and statistical analysis of sugar product production, 

consumption, stocks, international trade and prices; 

(b)  Analysis  of  market  behaviour  and  factors  which  affect  it,  with  special  reference  to 

participation of developing countries in world trade; 

(c)  Analysis  of  demand  for  sugar  products,  including  the  effects  of  the  use  of  any  form  of 
natural  and  artificial  substitutes  for  sugar  products  on  world  trade  in,  and  consumption  of,  sugar 
products; 

(d) 

Other issues as approved by the Council. 

Each  year  the  Council  shall  consider  a  draft  forward  work  programme,  with  estimated 

4. 
resource requirements, prepared by the Executive Director. 

21 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
page 18 

CHAPTER X.  RESEARCH AND DEVELOPMENT 

Article 34 
Research and development 

ln order to achieve the objectives set out in article 1, the Council may assist both in scientific 
research  and  development  in  sugar  product  economies  and  in  the  dissemination  of  the  results 
obtained  in  this  field.  To  this  end,  the  Council  may  cooperate  with  international  organizations  and 
research institutions on condition that no additional financial obligations are incurred by the Council. 

22 

 
 
 
 
 
 
 
 
 
 
 
 
page 19 

CHAPTER XI.  PREPARATIONS FOR A NEW AGREEMENT 

Article 35 
Preparations for a new agreement 

1. 
The  Council  may  study  the  feasibility  of  negotiating  a  new  international  sugar  agreement, 
including a possible agreement with economic provisions, and report to the Members and make such 
recommendations as it seems appropriate. 

The Council may, as soon as it considers appropriate, request the Secretary-General of the 

2. 
United Nations Conference on Trade and Development to convene a negotiating conference. 

23 

 
 
 
 
 
 
 
 
 
 
 
CHAPTER XII.  FINAL PROVISIONS 

Article 36 
Depositary 

The Secretary-General of the United Nations is hereby  designated as the depositary of this 

page 20 

Agreement. 

Article 37 
Signature 

This Agreement shall be open for signature at the United Nations Headquarters from 1 May 

until 31 December 1992 by any Government invited to the United Nations Sugar Conference, 1992. 

Article 38 
Ratification, acceptance and approval 

This  Agreement  shall  be  subject  to  ratification,  acceptance  or  approval  by  the  signatory 

1. 
Governments in accordance with their respective constitutional procedures. 

2. 
Instruments of ratification, acceptance or approval shall be deposited with the depositary not 
later  than  31  December  1992.  The  council  may,  however,  grant  extensions  of  time  to  signatory 
Governments which are unable to deposit their instruments by that date. 

Article 39 
Notification of provisional application 

1. 
A  signatory  Government  which  intends  to  ratify,  accept  or  approve  this  Agreement  or  a 
Government  for  which  the  Council  has  established  conditions  for  accession  but  which  has  not  yet 
been  able  to  deposit  its  instrument  may,  at  any  time,  notify  the  depositary  that  it  will  apply  this 
Agreement provisionally either when it enters into force in accordance with article 40 or, if it is already 
in force, at a specified date. 

2. 
A  Government  which  has  notified  under  paragraph  1  of  this  article  that  it  will  apply  this 
Agreement either when it enters into force or, if it is already in force, at a specified date shall, from that 
time,  be  a  provisional  Member  until  it  deposits  its  instrument  of  ratification,  acceptance,  approval  or 
accession and thus becomes a Member. 

Article 40 
Entry into force  

1. 
This Agreement shall enter into force definitively on 1 January 1993, or on any date thereafter 
if, by that date instalments of ratification, acceptance, approval or accession have been deposited on 
behalf of Governments holding 60 per cent of the votes in accordance with the distribution established 
in the annex to this Agreement. 

2. 
If,  by  1  January  1993,  this  Agreement  has  not  entered  into  force  in  accordance  with 
paragraph 1 of this article, it shall enter into force provisionally if by that date instruments of ratification, 
acceptance  or  approval  or  notifications  of  provisional  application  have  been  deposited  on  behalf  of 
Governments satisfying the percentage requirements of paragraph 1 of this article. 

24 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
page 21 

3. 
If,  by  1  January  1993,  the  required  percentages  for  entry  into  force  of  this  Agreement  in 
accordance with paragraph 1 or paragraph 2 of this article are not met, the Secretary-General of the 
United Nations shall invite the Governments on whose behalf instruments of ratification, acceptance or 
approval  or  notifications  of  provisional  application  have  been  deposited  to  decide  whether  this 
Agreement shall enter into force definitively or provisionally among themselves, in whole or in part, on 
such date as they may determine. If this Agreement has entered into force provisionally in accordance 
with this paragraph, it shall subsequently enter into force definitively upon fulfilment of the conditions 
set out in paragraph 1 of this article without the necessity of a further decision. 

4. 
For  a  Government  on  whose  behalf  an  instrument  of  ratification,  acceptance,  approval  or 
accession  or  a  notification  of  provisional  application  is  deposited  after  the  entry  into  force  of  this 
Agreement in accordance with paragraph 1, 2 or 3 of this article, the instrument or notification shall 
take  effect  on  the  date  of  deposit  and,  with  regard  to  notification  of  provisional  application.  in 
accordance with the provisions of article 39, paragraph 1. 

Article 41 
Accession 

This Agreement shall be open to accession by the Governments of all states upon conditions 
established by the council. Upon accession, the State concerned shall be deemed to be listed in the 
annex to this Agreement, together with its votes as laid down in the conditions of accession. 
Accession  shall  be  effected  by  the  deposit  of  an  instrument  of  accession  with  the  depositary.  
Instruments of accession shall state that the Government accepts all the conditions established by the 
Council. 

Article 42 
Withdrawal 

1. 
Any Member may withdraw from this Agreement at any time after the entry into force of this 
Agreement by giving written notice of withdrawal to the depositary. The Member shall simultaneously 
inform in writing the Council of the action it has taken. 

Withdrawal under this article shall be effective 30 days after the receipt of the notice by the 

2. 
depositary. 

Article 43 
Settlement of accounts 

1. 
The  Council  shall  determine  any  settlement  of  accounts  which  it  finds  equitable  with  a 
Member  which  has  withdrawn  From  this  Agreement  or  has  otherwise  ceased  to  be  Party  to  this 
Agreement. The Organization shall retain any amounts already paid by such Member. Such Member 
shall be bound to pay any amounts due from it to the Organization. 

2. 
Upon  termination  of  this  Agreement,  any  Member  referred  to  in  paragraph  1  of  this  article 
shall  not  be  entitled  to  any  share  of  the  proceeds  of  the  liquidation  or  the  other  assets  of  the 
Organization; nor shall it be burdened with any part of the deficit, if any, of the Organization. 

25 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
page 22 

Article 44 
Amendment 

1. 
The  Council  may,  by  special  vote,  recommend  to  the  Members  an  amendment  of  this 
Agreement.  The  Council  may  fix  a  time  after  which  each  Member  shall  notify  the  depositary  of  its 
acceptance of the amendment. The amendment shall become effective 100 days after the depositary 
has received notifications of acceptance from Members holding at least two thirds of the total votes of 
all Members under article 11 as determined under article 25, or on such later date as the Council may 
have determined by special vote. The Council may fix a time within which each Member shall notify 
the depositary of its acceptance of the amendment and, if the amendment has not become effective 
by  such  time,  it  shall  be  considered  withdrawn.  The  Council  shall  provide  the  depositary  with  the 
information necessary to determine whether the notifications of acceptance received are sufficient to 
make the amendment effective. 

2. 
Any  Member  on  behalf  of  which  notification  of  acceptance  of  an  amendment  has  not  been 
made  by  the  date  on  which  such  amendment  becomes  effective  shall,  as  of  that date,  cease  to  be 
Party to this Agreement, unless such Member has satisfied the Council that acceptance could not be 
secured in time owing to difficulties in completing its constitutional procedures and the Council decides 
to extend for such Member the period fixed for acceptance. Such Member shall not be bound by the 
amendment before it has notified its acceptance thereof. 

Article 45 
Duration, extension and termination 

This  Agreement  shall  remain  in  force  until  31  December  1995,  unless  extended  under 

1. 
paragraph 2 of this article or terminated earlier under paragraph 3 of this article. 

The  Council  may,  by  special  vote,  extend  this  Agreement  beyond  31  December  1995  for 
2. 
successive periods, not exceeding two years on each occasion. Any Member which does not accept 
any such extension of this Agreement shall so inform the Council in writing and shall cease to be a 
Party to this Agreement from the beginning of the period of extension. 

The Council may at any time decide, by special vote, to terminate this Agreement with effect 

3. 
From such date and subject to such conditions as it may determine. 

Upon termination of this Agreement, the Organization shall continue in being for such time as 
4. 
may be requited to carry out its liquidation and shall have such powers and exercise such functions as 
may be necessary for that purpose. 

The Council shall notify the depositary of any action taken under paragraph 2 or paragraph 3 

5. 
of this article. 

26 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
page 23 

Article 46 
Transitional measures 

1. 
Where  in  accordance  with  the  International  Sugar  Agreement,  1987,  the  consequences  of 
anything  done,  to  be  done  or  omitted  to  be  done  would,  for  the  purposes  of  the  operation  of  that 
Agreement, have taken effect in a subsequent year, those consequences shall have the same effect 
under  this  Agreement  as  if  the  provisions  of  the  1987  Agreement  had  continued  in  effect  for  those 
purposes. 

2. 
The administrative budget of the Organization for 1993 shall be provisionally approved by the 
Council under the International Sugar Agreement, 1987, at its last regular session in 1992. subject to 
final approval by the Council under this Agreement at its first session in 1993. 

IN WlTNESS WHEREOF  the  undersigned,  being  duly  authorized  thereto,  have  affixed  their 

signatures under this Agreement on the dates indicated. 

DONE at Geneva, this twentieth day of March, one thousand nine hundred and  ninety two. 
The texts of this Agreement in the Arabic, Chinese, English, French, Russian and Spanish languages 
shall be equally authentic. 

27 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 page 24 

Allocation of votes originally agreed in 1992 

ANNEX 

Algeria   
Argentina 
Australia 
Austria   
Barbados 
Belarus  
Belize 
Bolivia   
Brazil 
Bulgaria  
Cameroon 
Colombia 
Congo*/  
Costa Rica*/ 
Cote d'Ivoire 
Cuba 
Dominican Republic 
Ecuador 
Egypt 
El Salvador  
EEC 
Fiji 
Finland   
Ghana   
Guatemala 
Guyana  
Honduras*/ 
Hungary 
India 

38 
22 
117 
14 
6 
11 
6 
6 
94 
18 
6 
18 
6 
6 
6 
151 
23 
6 
37 
6 
332 
12 
16 
6 
16 
6 
6 
9 
38 

Indonesia 
Jamaica 
Japan 
Madagascar 
Malawi   
Mauritius 
Mexico   
Morocco 
Nicaragua 
Norway  
Panama*/ 
Papua New Guinea*/ 
Peru 
Philippines 
Republic of Korea 
Romania 
Russian Federation 
South Africa 
Swaziland 
Sweden  
Switzerland 
Thailand 
Turkey   
Uganda  
United Republic of Tanzania 
United States of America  
Uruguay 
Zimbabwe 

18 
6 
176 
6 
6 
15 
49 
14 
6 
19 
6 
6 
9 
12 
59 
18 
135 
46 
13 
15 
18 
85 
21 
6 
6 
178 
6 
8 

Total 

2000 

*/ Not participating in the United Nations Sugar Conference, 1992, but 
the 
country is a Member of the International Sugar  Organization established by the International Sugar 
Agreement, 1987. 

because 

included 

28 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Timetable laying down the deadlines 
for the different stages of the 
procedure set out in Article 44 of the 
International Sugar Agreement 

29 

 
 
 
  International Sugar Organization    

 1 Canada Square 
  London E14 5AA  

Canary Wharf 

INTERNATIONAL SUGAR COUNCIL 

C(21)02 

(Revised) 
(English only) 
28 June 2021 

NEGOTIATIONS FOR A PARTIAL REVIEW OF ISA, 1992 

At the special Administrative Committee meeting of 4 May 2021, it was agreed that the 
draft  implementation  calendar  in  Document  C(21)02  of  20  April  2021  was  acceptable  in 
principle  and  that  final  consideration  would  be  given  at  the  next  Administrative 
Committee on 17 June 2021, in order to refer it to Council at its 18 June 2021 meeting.     

Previously,  at  their  meeting  of  27  November  2020  Council  decided  (ISC-Decisions-57 
no.12): 

“to approve the text of the amendments on the proposed reforms of Articles 1, 25, 32, 33 
and 34 of the International Sugar Agreement, 1992 contained in document C(20)12 of 23 
October 2020.” 

Council also decided at their meeting of 18 June 2021 (ISC-Decisions-58 no.5): 

“to include the Brazilian proposal in the package of reforms to be subject to the article 44 
process, using the revised wording specified in MEMO(20)85 Updated on 11 June 2021, 
as read by the Executive Director. 

The timetables as per document C(19)07 have been revised (Appendix I) to try to reflect 
Members’ concerns regarding the time required to complete their individual constitutional 
processes. 

Members  have  already  agreed  that  any  reform  of  the  existing  agreement  (ISA,  1992) 
would be enacted under article 44.  It should be noted that a decision whether to extend 
the current agreement is required before 31 December 2021.   

Article  44  of  the  ISA  1992  (Appendix  II)  permits  amendments  to  be  made  to  the 
Agreement  and  specifies  the  requirements  for  such  an  amendment  to  be  incorporated 
into ISA 1992.  However, the Agreement does not specify the procedures to be followed 
to table the amendment and there is no process defined within the Administrative Rules, 
so the following timeline is proposed for Members’ approval. 

30 

 
 
 
 
 
APPENDIX I – Article 44 process 

Activity 

Forum/Timeline 

a.  Circulate communications received from EU and Brazil which relate 

ISO Secretariat 

to additional draft proposed amendments 

b.  Circulate revised draft timetable for the negotiating process 

ISO Secretariat 

c.  Review potential additional draft proposed amendments and revised 
draft timetable for the negotiating process, and to agree to circulate 
this to Members 

Special Administrative 
Committee 

d.  Circulate potential additional proposed amendments and revised 

ISO Secretariat 

draft timetable for the negotiating process to Members 

e.  Members to approve potential additional proposed amendments 

Council  

and revised timetable for the negotiating process 

f.  Members to approve an extension to ISA, 1992 (to be confirmed 26 November 2021) 

g.  Members to conduct consultations with their capitals 

h.  Members to conduct Special Vote to initiate Article 44 process in 

Council  

accordance with this timetable 

i.  Members to fix a time after which each Member shall notify the 

depositary of its acceptance of the amendments (e.g. 365 days –to 
be agreed by Council) 

The following activities depend on a positive vote accepting amendment 

Dates  
6 Apr 2021 
completed 

20 Apr 2021 
completed 

4 May 2021 
completed 

7 May 2021 
completed 

18 Jun 2021 
completed 

completed 

by Nov 2021 

26 Nov 2021 

j.  Members to obtain approval for the amendments in accordance 

with their constitutional procedures 

k.  Members to provide depositary notification of acceptance of the 

amendments 

Up to 365 days after 
Council meeting 

Within 180 days after 
obtaining approval 

25 Nov 2022 

30 Jun 2023 

A.  The following steps depend on receiving sufficient notifications 

l.  The amendments become effective – only if the depositary has 

received notifications of acceptance from Members holding at least 
two thirds of the total votes 

m. Members on behalf of whom notification of acceptance of the 

amendments has not been made shall cease to be Parties to this 
Agreement 

At least 100 days (1),(2) 
after Depositary 
notified 
At least 100 days (1),(2) 
after Depositary 
notified 

n.  Members to approve revised distribution of votes and ISO Budget 

Council 

for 2024 and an extension to ISA, 1992 

o.  Revised ISA, 1992 plus changes to Membership, votes and 

contributions come into effect 

B.  The following steps occur if insufficient notifications received 

p.  Amendments do NOT become effective, and ISA 1992 remains 

unchanged – only if the depositary has received notifications of 
acceptance from Members holding less than two thirds of the total 
votes 

At least 100 days (1)  
after Depositary 
notified 

31 Oct 2023 

31 Oct 2023 

1 Dec 2023 

1 Jan 2024 

31 Oct 2023 

Notes: 
1. 
2. 

this deadline may be extended by Council in a Special Vote. 
for practical purposes it is recommended that the amendments would come into effect on 1 January 2024 having 
been ratified before the Council meeting of November 2023 at which the 2024 Budget would be approved.  
Changes to Membership, votes and contributions would also come into effect on 1 January 2024. 

31 

 
 
 
 
 
 
 
 
 
APPENDIX II – Article 44 wording 

The wording of Article 44 of ISA 1992 is reproduced below. 

Article 44 - Amendment 

1. 

2. 

The Council may, by special vote, recommend to the Members an amendment of this 
Agreement. The Council may fix a time after which each Member shall notify the 
depositary of its acceptance of the amendment. The amendment shall become effective 
100 days after the depositary has received notifications of acceptance from Members 
holding at least two thirds of the total votes of all Members under article 11 as 
determined under article 25, or on such later date as the Council may have determined 
by special vote. The Council may fix a time within which each Member shall notify the 
depositary of its acceptance of the amendment and, if the amendment has not become 
effective by such time, it shall be considered withdrawn. The Council shall provide the 
depositary with the information necessary to determine whether the notifications of 
acceptance received are sufficient to make the amendment effective. 
Any Member on behalf of which notification of acceptance of an amendment has not 
been made by the date on which such amendment becomes effective shall, as of that 
date, cease to be Party to this Agreement, unless such Member has satisfied the Council 
that acceptance could not be secured in time owing to difficulties in completing its 
constitutional procedures and the Council decides to extend for such Member the period 
fixed for acceptance. Such Member shall not be bound by the amendment before it has 
notified its acceptance thereof. 

Article 2 - Definitions 

For the purpose of this Agreement: 

4. 

"Special vote" means a vote requiring at least two thirds of the votes cast by Members 
present and voting, on condition that these votes are cast by at least two thirds of the 
number of Members present and voting. 

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