COMMISSION STAFF WORKING DOCUMENT Individual information sheets on implementation of EU Trade Agreements Accompanying the document REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE COMMITTEE OF THE REGIONS on the Implementation and Enforcement of EU Trade Policy
Date: 2024-10-03
Institutions: Directorate-General for Trade and Economic Security, European Commission
Subjects: Dispute Settlement Body, common commercial policy, international trade, small and medium-sized enterprises, third country, trade agreement, trade agreement (EU), trade dispute, trade policy, trade restriction

EN 

  EN 

   EUROPEAN COMMISSION  Brussels, 3.10.2024  SWD(2024) 386 final  COMMISSION STAFF WORKING DOCUMENT Individual information sheets on implementation of EU Trade Agreements                       Accompanying the document REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE AND THE COMMITTEE OF THE REGIONS  on the Implementation and Enforcement of EU Trade Policy                                    {COM(2024) 385 final}  
 
 
Contents 
EU TRADE AGREEMENTS COVERED BY THIS STAFF WORKING DOCUMENT ....... 7 

EU TRADE AGREEMENTS COVERED BY THIS STAFF WORKING DOCUMENT ....... 8 

PART I:  

ASIA ..................................................................................................................... 9 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE FREE 
TRADE AGREEMENT BETWEEN THE EU AND VIETNAM ........................................... 10 

1.  THE AGREEMENTS ................................................................................................... 10 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 10 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE FREE 
TRADE AGREEMENT BETWEEN THE EU AND SINGAPORE ....................................... 14 

1.  THE AGREEMENTS ................................................................................................... 14 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 15 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ECONOMIC PARTNERSHIP AGREEMENT BETWEEN THE EU AND JAPAN ......... 17 

1.  THE AGREEMENT ..................................................................................................... 17 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 17 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-SOUTH 
KOREA FREE TRADE AGREEMENT ................................................................................. 20 

1.  THE AGREEMENT ..................................................................................................... 20 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 20 

3.  ACTIVITIES SUBJECT TO SPECIFIC MONITORING ............................................ 23 

PART II:  

THE AMERICAS .............................................................................................. 25 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-
CANADA COMPREHENSIVE ECONOMIC AND TRADE AGREEMENT (CETA) ........ 26 

1.  THE AGREEMENT ..................................................................................................... 26 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 27 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-
COLOMBIA/ECUADOR/PERU TRADE AGREEMENT ..................................................... 32 

1.  THE AGREEMENT ..................................................................................................... 32 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 33 

3. ACTIVITIES SUBJECT TO SPECIFIC MONITORING AND SPECIFIC AREAS OF 
IMPORTANCE .................................................................................................................... 40 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF PART IV OF THE 
ASSOCIATION AGREEMENT BETWEEN THE EU AND ITS MEMBER STATES AND 
CENTRAL AMERICA ............................................................................................................ 42 

1.  THE AGREEMENT ..................................................................................................... 42 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 43 

3.  ACTIVITIES SUBJECT TO SPECIFIC MONITORING AND SPECIFIC AREAS OF 
IMPORTANCE .................................................................................................................... 46 

1 

 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE TRADE 
PILLAR OF THE ASSOCIATION AGREEMENT BETWEEN THE EU AND CHILE ...... 48 

1.  THE AGREEMENT ..................................................................................................... 48 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 49 

3.  ACTIVITIES OF SPECIFIC MONITORING AND RELEVANCE IN 2023 ............. 51 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE TRADE 
PILLAR OF THE EU-MEXICO GLOBAL AGREEMENT ................................................... 53 

1.  THE AGREEMENT ..................................................................................................... 53 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 53 

PART III: EU NEIGHBOURING COUNTRIES .................................................................... 56 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE ECONOMIC 
PARTNERSHIP AGREEMENT BETWEEN THE EU AND ALGERIA .............................. 58 

1.  THE AGREEMENT ..................................................................................................... 58 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 58 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-EGYPT 
ASSOCIATION AGREEMENT .............................................................................................. 60 

1.  THE AGREEMENT ..................................................................................................... 60 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 61 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ASSOCIATION AGREEMENT BETWEEN THE EU AND LEBANON ............................. 63 

1.  THE AGREEMENT ..................................................................................................... 63 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 63 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE ECONOMIC 
PARTNERSHIP AGREEMENT BETWEEN THE EU AND JORDAN ................................ 65 

1.  THE AGREEMENT ..................................................................................................... 65 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 65 

3.  ACTIVITIES OF SPECIFIC INTEREST ..................................................................... 65 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE ECONOMIC 
PARTNERSHIP AGREEMENT BETWEEN THE EU AND MOROCCO ........................... 67 

1.  THE AGREEMENT ..................................................................................................... 67 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 68 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ASSOCIATION AGREEMENT BETWEEN THE EU AND TUNISIA ................................ 70 

1.  THE AGREEMENT ..................................................................................................... 70 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 70 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE INTERIM 
ASSOCIATION AGREEMENT BETWEEN THE EU AND PALESTINE .......................... 72 

1.  THE AGREEMENT ..................................................................................................... 72 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 72 

2 

 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE ECONOMIC 
PARTNERSHIP AGREEMENT BETWEEN THE EU AND ISRAEL ................................. 74 

1.  THE AGREEMENT ..................................................................................................... 74 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 75 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE DEEP AND 
COMPREHENSIVE FREE TRADE AREA BETWEEN THE EU AND UKRAINE ........... 77 

1.  THE AGREEMENT ..................................................................................................... 77 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 78 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE DEEP AND 
COMPREHENSIVE FREE TRADE AREA BETWEEN THE EU AND GEORGIA ........... 81 

1.  THE AGREEMENT ..................................................................................................... 81 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 82 

3.  MONITORING IN SPECIFIC AREAS ........................................................................ 84 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE DEEP AND 
COMPREHENSIVE FREE TRADE AREA BETWEEN THE EU AND MOLDOVA ......... 85 

1.  THE AGREEMENT ..................................................................................................... 85 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 86 

3.  MONITORING IN SPECIFIC AREAS ........................................................................ 88 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE TRADE PILLAR 
OF THE EU-KOSOVO* STABILISATION AND ASSOCIATION AGREEMENT .................. 90 

1.  THE AGREEMENT ..................................................................................................... 90 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 91 

ANNUAL INFORMATION SHEET ON IMPLEMENTATION OF THE TRADE PILLAR 
OF THE EU-SERBIA STABILISATION AND ASSOCIATION AGREEMENT ................ 92 

1.  THE AGREEMENT ..................................................................................................... 92 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 93 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE TRADE 
PILLAR OF THE EU-BOSNIA AND HERZEGOVINA STABILISATION AND 
ASSOCIATION AGREEMENT .............................................................................................. 94 

1.  THE AGREEMENT ..................................................................................................... 94 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 95 

ANNUAL INFORMATION SHEET ON IMPLEMENTATION OF THE TRADE PILLAR 
OF THE EU-MONTENEGRO STABILISATION AND ASSOCIATION AGREEMENT .. 96 

1.  THE AGREEMENT ..................................................................................................... 96 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 97 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE TRADE PILLAR 
OF THE EU-ALBANIA STABILISATION AND ASSOCIATION AGREEMENT ................... 98 

1.  THE AGREEMENT ..................................................................................................... 98 

2.  MAIN IMPLEMENTATION ISSUES ......................................................................... 99 

3 

 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE TRADE 
PILLAR OF THE STABILISATION AND ASSOCIATION AGREEMENT BETWEEN 
THE EU AND NORTH MACEDONIA ................................................................................ 100 

1.  THE AGREEMENT ................................................................................................... 100 

2.  MAIN IMPLEMENTATION ISSUES ....................................................................... 101 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-UNITED 
KINGDOM TRADE AND COOPERATION AGREEMENT .............................................. 103 

1.  THE AGREEMENT ................................................................................................... 103 

2.  MAIN IMPLEMENTATION ISSUES ....................................................................... 105 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-
SWITZERLAND TRADE AGREEMENT ........................................................................... 109 

1.  THE AGREEMENTS ................................................................................................. 109 

2.  MAIN IMPLEMENTATION ISSUES ....................................................................... 111 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-
NORWAY TRADE AGREEMENT ...................................................................................... 114 

1.  THE AGREEMENT ................................................................................................... 114 

2.  MAIN IMPLEMENTATION ISSUES ....................................................................... 115 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-
ICELAND TRADE AGREEMENT ...................................................................................... 116 

1.  THE AGREEMENT ................................................................................................... 116 

2.  MAIN IMPLEMENTATION ISSUES ....................................................................... 116 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE CUSTOMS 
UNION AND TRADE AGREEMENTS WITH TÜRKIYE ................................................. 117 

1.  THE AGREEMENT ................................................................................................... 117 

2.  MAIN IMPLEMENTATION ISSUES ....................................................................... 118 

PART IV: AFRICAN, CARIBBEAN AND PACIFIC COUNTRIES .................................. 121 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE ECONOMIC 
PARTNERSHIP AGREEMENT (EPA) BETWEEN THE EU AND GHANA .................... 122 

1.  THE AGREEMENT ................................................................................................... 122 

2.  MAIN IMPLEMENTATION ISSUES ....................................................................... 122 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE ECONOMIC 
PARTNERSHIP AGREEMENT (EPA) BETWEEN THE EU AND THE SOUTHERN 
AFRICAN DEVELOPMENT COMMUNITY (SADC) ....................................................... 127 

1.  THE AGREEMENT ................................................................................................... 127 

2.  MAIN IMPLEMENTATION ISSUES ....................................................................... 129 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE ECONOMIC 
PARTNERSHIP AGREEMENT (EPA) BETWEEN THE EU AND CÔTE D’IVOIRE ..... 132 

1.  THE AGREEMENT ................................................................................................... 132 

2.  MAIN IMPLEMENTATION ISSUES ....................................................................... 133 

4 

 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE ECONOMIC 
PARTNERSHIP AGREEMENT (EPA) BETWEEN THE EU AND CAMEROON ........... 136 

1.  THE AGREEMENT ................................................................................................... 136 

2.  MAIN IMPLEMENTATION ISSUES ....................................................................... 137 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE ECONOMIC 
PARTNERSHIP AGREEMENT (EPA) BETWEEN THE EU AND THE EASTERN AND 
SOUTHERN AFRICAN REGION (ESA) ............................................................................. 141 

1.  THE AGREEMENT ................................................................................................... 141 

2.  MAIN IMPLEMENTATION ISSUES ....................................................................... 142 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE ECONOMIC 
PARTNERSHIP AGREEMENT (EPA) BETWEEN THE EU AND CARIFORUM .......... 145 

1.  THE AGREEMENT ................................................................................................... 145 

2.   MAIN IMPLEMENTATION ISSUES ....................................................................... 146 

ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE ECONOMIC 
PARTNERSHIP AGREEMENT (EPA) BETWEEN THE EU AND PACIFIC STATES ... 150 

1.  THE AGREEMENT ................................................................................................... 150 

2.  MAIN IMPLEMENTATION ISSUES ....................................................................... 150 

5 

 
 
 
 
 
 
This Staff Working Document (SWD) contains additional information (country sheets) on 
39 individual EU trade agreements, complementing section II of the Report on Implementation 
and  Enforcement  of  EU  trade  policy1  (“the  report”),  called  “Making  full  use  of  the  EU’s 
bilateral trade agreements”.  

Its  annex  has  a  list  of  new  barriers  to  trade  recorded  and  barriers  resolved  in  2023, 
completing section IV of the report, called “Addressing barriers and finding solutions”.   

For the following information please consult the website of the Commission /DG TRADE: 

- Agendas and reports of meetings of the institutional bodies (FTA committees and working 
groups,  dialogues)  as  well  as  information  on  agenda  and  reports  of  civil  society  forum 
meetings2; 

- General statistics (regularly updated) on trade in goods and services and on foreign direct 
investment for all EU trading partner countries3; 
The Commission/DG TRADE’s Implementation & Enforcement webpage4 has the following 
information,  which  is  made  available  together  with  the  annual  report  and  staff  working 
document: 

- Statistics on trade in goods and services and on foreign direct investment between the EU 
and preferential trading partner countries (these are compiled for the annual report, based 
on Eurostat data for the EU27 as they stand in March 2024. NB: The latest statistics for trade 
in goods are for 2023, for trade in services and investment for 2022, except where indicated 
otherwise); 

- Tariff Rate Quotas (TRQs) for the EU and preferential partner countries’ fill rates in 2023; 

- Preference utilisation rates (PURs) on EU imports for partner countries as well as PURs on 
EU  exports  to  the  preferential  partners,  who  shared  the  information,  together  with  an 
explanation of the sources and methodology.  They are updated once a year, in  the  fall.  NB. 
Figures for preference use on EU imports and EU exports are based on different datasets from 
distinct  sources.  Preference  utilisation  rates  on  imports  use  Eurostat  figures  and  are 
harmonised.  Preference  utilisation  rates  on  EU  exports  use  data  submitted  by  EU  trading 
partners’  customs  authorities,  which  apply  different  methods  and  practices:  the  data  are 
therefore not harmonised and not comparable.   

1 Report from the Commission to the European Parliament, the Council, the European Economic and Social 
Committee and the Committee of the Regions on the Implementation and Enforcement of EU Trade Policy –  
COM(2024) 385: Contact support (europa.eu)  

2 https://policy.trade.ec.europa.eu/eu-trade-relationships-country-and-region/transparency-eu-trade-
negotiations_en  
3 https://ec.europa.eu/trade/policy/countries-and-regions/statistics/  
4 https://policy.trade.ec.europa.eu/enforcement-and-protection/implementing-and-enforcing-eu-trade-
agreements_en  

6 

 
 
 
 
 
 
 
EU TRADE AGREEMENTS COVERED BY THIS STAFF WORKING DOCUMENT 
(Agreement/date of application)5 

PART I: ASIA 

EU-Viet Nam Free Trade Agreement 
EU-Singapore Free Trade Agreement 
EU-Japan Economic Partnership Agreement 
EU-South Korea Free Trade Agreement 

1 August 2020 
21 September 2019 
1 February 2019 
1 July 2011 
PART II: THE AMERICAS 

EU-Canada Comprehensive Economic and 
Trade Agreement  
EU-Colombia-Peru-Ecuador Trade Agreement 

EU-Central America Association Agreement  

EU-Chile Association Agreement 
EU-Mexico Global Agreement 

21 September 2017 

1 March 2013 for Peru; 1 August 2013 
for Colombia; 1 January 2017 for 
Ecuador. 
1 August 2013: trade pillar applies with 
Honduras, Nicaragua and Panama; 1 
October 2013: Costa Rica and El 
Salvador; 1 December 2013: Guatemala. 
1 February 2003 
Applied for goods since 1 July 2000; 
applied for services since 1 March 2001. 

PART III: EU NEIGHBOURING COUNTRIES 
Mediterranean and Middle East countries - Free Trade Areas 

EU-Algeria  
EU-Egypt  
EU-Lebanon  
EU-Jordan  
EU-Morocco  
EU-Tunisia  
EU-Palestine6  
EU-Israel  

1 September 2005 
21 December 2003 
1 March 2003 
1 May 2002 
18 March 2000 
1 March 1998 
1 July 1997 
1 January 1996 

Eastern countries – Deep and Comprehensive Free Trade Areas 

EU-Ukraine  

EU-Georgia  

EU-Moldova 

1 January 2016, and entered into force on 
1 September 2017. 
1 September 2014, and entered into force 
on 1 July 2016. 
1 September 2014, and entered into force 
on 1 July 2016. 

5 For sake of consistency this report uses the short names for EU trading partners as listed in the inter-
institutional guide, available at https://publications.europa.eu/code/en/en-5000500.htm 
6 This designation shall not be construed as recognition of a State of Palestine and is without prejudice to the 
individual positions of Member States on this issue. 

7 

 
 
 
 
 
EU TRADE AGREEMENTS COVERED BY THIS STAFF WORKING DOCUMENT 
(Agreement /date of application) 

Western Balkans – Stabilisation and Association Agreements 

EU-Kosovo* 7 
EU-Serbia  

EU-Bosnia and Herzegovina  
EU-Montenegro 

EU-Albania  

EU-North Macedonia 

1 April 2016 
Interim Agreement on trade for Serbia: 1 
February 2009; for the EU: 8 December 
2009 
Interim Agreement on trade 1 July 2008  
Interim Agreement on trade1 January 
2008 
Interim Agreement on trade 1 December 
2006 
Interim Agreement on trade 1 June 2001 

Switzerland, Iceland, Norway, Türkiye, United Kingdom 

EU-Switzerland Free Trade Agreement 
EU-Iceland Free Trade Agreement 
EU-Norway Free Trade Agreement 
EU-Turkey Customs Union  

EU-United Kingdom Trade and 
Cooperation Agreement 

1 January 1973  
1 April 1973 
1 July 1973 
Association Agreement signed in 1963; 
final phase of the customs union 
completed on 1 January 1996 
1 January 2021 

PART IV: AFRICA, CARIBBEAN AND PACIFIC – Economic Partnership 
Agreements  

EU-Ghana (interim) 
EU-Southern African Development 
Community (SADC)  

EU-Côte d’Ivoire (interim) 
EU-Central Africa (Cameroon) 
EU-Eastern and Southern African States 
(interim) 

EU-Pacific countries (interim) 

EU-CARIFORUM 

15 December 2016 
10 October 2016 for Botswana, Eswatini, 
Lesotho, Namibia and South Africa; 4 
February 2018 for Mozambique. 
3 September 2016 
4 August 2014 for Cameroon 
14 May 2012 for Madagascar, Mauritius, 
Seychelles and Zimbabwe; for Comoros 
since 7 February 2019 
20 December 2009 for Papua New 
Guinea; 28 July 2014 for Fiji, 31 
December 2018 for Samoa and 17 May 
2020 for Solomon Islands.  
29 December 2008 for Antigua & 
Barbuda; Belize; Bahamas; Barbados; 
Dominica; Dominican Republic; Grenada; 
Guyana; Jamaica; St. Kitts & Nevis; Saint 
Lucia; St. Vincent & the Grenadines; 
Suriname; and Trinidad & Tobago. 

* This designation is without prejudice to positions on status and is in line with UNSCR 1244/1999 and the ICJ Opinion on 
the Kosovo declaration of independence.  

8 

 
 
 
 
 
 
PART I:  

ASIA 

9 

 
 
 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE FREE 
TRADE AGREEMENT BETWEEN THE EU AND VIETNAM  

1. 

THE AGREEMENTS 

The economic partnership between the EU and  Vietnam comprises two distinct agreements, 
namely a free trade agreement and an investment protection agreement. Negotiations began 
in 2012 and were finalized in December 2015 on a single text covering both agreements. In 
2018, the EU and Vietnam decided to split the initial single agreement into a trade agreement 
and an investment protection agreement, respectively.  

The EU-Vietnam Free Trade Agreement (EVFTA) was signed on 30 June 2019 and entered 
into force on 1 August 2020. It sets out the rules accompanying trade liberalization between the 
EU and Vietnam. The Agreement establishes a free trade area between the Union and Vietnam. 
Its objectives are to liberalize and facilitate trade and investment between the Parties under the 
Agreement,  in  a  manner  mindful  of  high  levels  of  environmental  and  labour  protection  and 
relevant internationally recognised standards and agreements. 

The  EU-Vietnam  Investment  Protection  Agreement  was  signed  on  30  June  2019.  The 
agreement, already ratified by Vietnam and by the European Parliament, will enter into force 
once ratified by all 27 EU Member States. The EU-Vietnam Investment Agreement sets out 
rules that give EU investors and their investments in Vietnam a high level of protection, while 
safeguarding EU governments' rights to pass new laws and update existing ones. It will replace 
and upgrade bilateral investment treaties that several Member States currently have in place 
with Vietnam. Once ratified, the Investment Protection Agreement will replace investor-to-state 
dispute settlement. 

Vietnam is an important regional economic actor and is part of a number of bilateral and major 
regional trade agreements, including the Comprehensive and Progressive Agreement for Trans-
Pacific Partnership (CPTPP) and the Regional Comprehensive Economic Partnership (RCEP).  

2. 

MAIN IMPLEMENTATION ISSUES 

2.1  Market Access: Progress and outstanding issues 

Since 1 August 2020, the EU and Vietnam have held regular informal meetings and convened 
the specialized committees and working groups established by the EVFTA.   

The EU project to improve the ability of EU Businesses (notably SMEs) to increase their 
trade and investment in Vietnam by providing practical information on how to make the most 
of the EVFTA has produced an online guide for EU SMEs on Vietnam trade and investment8. 

8 https://www.eu-vietnam-fta-sme-guide.eu/  

10 

 
 
 
 
 
The third Trade Commitee was held on 19 December 2023. On specific market access issues, 
progress was achieved in particular on the following: 

On SPS-related issues  

•  Vietnam  continued  to  speed  up  clearance  procedures  for  authorizing  imports  from 
approved EU Member States’ establishments (so called “pre-listing”). As a result, EU 
market access for animal products increased for various EU Member States.  

•  The Trade Committee decision to amend the protocol on rules of origin entered into 
force on 1 January 2024, after Vietnam internal procedures and decision making were 
concluded.   

Work continued with Vietnam on the following market access issues:  

• 

In relation to market access for EU pharmaceutical products the EU continued to work 
with  Vietnam  to  ensure  that  the  Pharma  Law,  which  Vietnam  is  in  the  process  of 
amending, will guarantee a non-discriminatory treatment and establish a practical and 
effective regulatory system for marketing authorizations.   

•  Work continued in 2023 to reduce the important backlog Vietnam has on EU Member 
States’  general  applications  for  exports  of  animal  and  plant  products  to  Vietnam, 
although procedures remain lengthy and the high number of unprocessed applications 
persists. Vietnam committed to address the EU concerns in specific technical meetings, 
the first of which took place on 19 April 2024.   

• 

• 

• 

In 2023, the Commission continued engaging with Vietnam in order to ensure no further 
delay in complying with its obligation to accord to remanufactured goods the same 
treatment as that accorded to new like goods.  

In  2023,  discussions  have  continued  with  the  aim  to  achieve  Vietnam’s  full 
implementation of the car annex to the EU-Vietnam Free Trade Agreement. In 2024, 
they were followed up with technical meetings on 12 January and 19 March as well as 
a Trade in Goods Committee on 19 July. 

In 2023, the EU also continued pursuing the aim of reviewing the list of geographical 
indications  according  to  the  provisions  of  the  FTA,  with  some  openness  shown  at 
political level in late 2023. In 2024, a follow-up took place in technical meetings on 12 
February, 19 March and in the IPR Working Group on 10-11 July. 

•  The EU continued to express concerns on the Special Consumption Tax for alcoholic 
beverages. Tax levels have remained high in the past years, disproportionaely affecting 

11 

 
 
 
 
 
 
 
 
 
 
imported  beverages,  and  are  deemed  to  be  further  increased  in  the  coming  months 
thereby providing further incentives for illicit production and trade. 

In the area of IPR, the effective enforcement of the 2022 Law on Intellectual Property remains 
an issue of concern, both as regards online and physical marketplaces. Vietnam's enforcement 
system  has  remained  highly  complex,  which  makes  it  challenging  for  rightholders  to  take 
effective and efficient action against IPR infringements. In particular, EU stakeholders raised 
ineffective  copyright  and  GI  rights  enforcement,  in  particular  in  the  online  environment, 
including as regards site-blocking. IPR owners typically rely on administrative remedies (with 
fines often too low to act as a deterrent) to address IPR infringement cases in Vietnam because 
of difficulties in filing civil or criminal cases with overwhelmed courts. Although rightholders 
recognise  that  Vietnam  has  stepped  up  its  efforts  in  border  enforcement  (increased  border 
actions and seizures and effective customs registration and recordal procedures), the level of 
customs detentions of infringing products remains relatively low. 

2.2 

Trade and sustainable development: Progress and outstanding issues  

On labour issues, Vietnam has ratified 25 ILO Conventions including nine out of the ten 
fundamental Conventions. By contrast, in 2023, Vietnam failed to meet its promise given to 
the European Parliament in the context of the EVFTA ratification - to ratify the last fundamental 
ILO convention, i.e. Convention Nr. 87 on the Freedom of Association and Protection of the 
Right to Organise. The EU has continued to encourage Vietnam to elaborate a plan outlining 
the concrete steps towards ratification and effective implementation of ILO Convention Nr. 87. 

At the third TSD Committee in November 2023, Vietnam reiterated its commitment to approve 
a Decree to allow the setting-up of independent trade unions, i.e., not associated with the 
authorities. The enactment of the Decree on workers representative organisations and collective 
bargaining  is  key  to  enabling  independent  workers  representative  organisations.  Important 
delays are expected on the Decree’s adoption due to the complexity to reach a consensus among 
stakeholders  in  Vietnam,  in  particular  with  business  representatives  and  Trade  Unions’ 
representatives. The adoption of the Decree is a crucial step towards the ratification by Vietnam 
of  ILO  Convention  Nr.  C  87,  but  also  regarding  the  effective  implementation  of  ILO 
Convention  Nr.  C  98. Ratification  of  ILO  Convention  Nr.  87  and  Vietnam’s  labour-related 
obligations in the EVFTA and commitments made in this regard – including to implement and 
promote these rights in practice – remain a top priority for the EU under the TSD chapter and 
this also in view of the formal complaint in relation to labour rights in Vietnam received by the 
Single Entry Point in April 2024.    

On the basis of relevant reports from the ILO supervisory committees and other sources, the 
EU continues to closely monitor developments in Vietnam regarding freedom of expression 
and assembly that are integral parts of freedom of association. 

Furthermore, the Commission continues raising with  Vietnam the issue of child labour and 
Vietnam’s commitment to eliminate it by 2025 in accordance with Sustainable Development 
Goal 8.7. The recent National Action Programme aims at a child labour rate of still more than 

12 

 
 
 
 
4 percent by 2030 after 5.4 percent in 2018. Vietnam’s National Programme of Action is now 
approved at national level and work is focusing on implementation at the regional level. Further 
decisions on tackling child labour are expected to be taken on the basis of the outcome of the 
3rd survey on child labour, which is planned for 2025.   

Further concerns relate to the capacity to carry out labour inspections in Vietnam (number and 
quality/training) as noted in the 2021 report of the ILO supervisory mechanism (Committee of 
Experts on the Application of Conventions and Recommendations) on ILO Convention 81.   

In 2023 Vietnam also expressed willingness to reinforce bilateral cooperation on climate and 
environmental policies as well as at international level (UNEA-6, CBD COP 16 and CITES). 
For example, Vietnam has been engaging in the circular economy model as pursued by the 
EU,  including  the  policies  and  technologies  leading  to  a  less  wasteful  and  more  efficient 
economy.  These  political  interests  can  trigger  systemic  changes  where  Vietnam  would  be 
diverting from a traditional, linear model into a more circular model of growth over time.  

The implementation of the TSD chapter and the EVFTA as a whole play an instrumental role 
in that context. In that respect, at the TSD Committee of November 2023, the EU and Vietnam 
agreed to hold intersessional meetings to complete the regular yearly TSD Committee. The first 
of such meeting took place in March 2024, dedicated to the enhancement of the funtioning of 
the TSD chapter of the FTA.   

Vietnam established a Domestic Advisory Group (DAG) in the autumn of 2021 and, following 
the second TSD committee meeting in October 2022, increased membership from three to six 
and  one  extra  member  joined  in  2022.  Vietnam  is  looking  at  the  possibility  to  increase  the 
number of members from seven to 15.  The Commission continues to encourage Vietnam to 
further  broaden  the  membership  of  its  DAG.  Once  the  national  Decree  on  workers 
representative organisations will be adopted (see also above), it is expected that the Vietnam 
DAG  would  include  independent  workers’  organisations.  In  this  process  the  complexity  to 
reach a consensus among stakeholders in Vietnam, in particular with business representatives 
and Trade Unions representatives, should be factored in.   

13 

 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE FREE 
TRADE AGREEMENT BETWEEN THE EU AND SINGAPORE 

1. 

THE AGREEMENTS 

The  economic  partnership  between  the  EU  and  Singapore  is  made  up  of  two  distinct 
agreements,  namely  a  free  trade  agreement  (EUSFTA)  and  an  investment  protection 
agreement.9  Negotiations  began  in  2009,  with  negotiations  for  the  trade  agreement  and  the 
investment protection agreement being completed in 2012 and 2017, respectively. The trade 
agreement entered into force on 21 November 2019, and the investment agreement will enter 
into force once ratified by all EU Member States. These are the first agreements on trade and 
investment the EU ever concluded with an ASEAN Member State.  

Singapore is an important regional economic actor, and is part of a number of major regional 
trade agreements, including the Comprehensive and Progressive Agreement for Trans-Pacific 
Partnership (CPTPP), the ASEAN Free Trade Area (AFTA) and the Regional Comprehensive 
Economic  Partnership  (RCEP).  Singapore’s  membership  of  ASEAN  also  gives  it  notable 
political as well as economic influence in the Southeast Asia region.  

Singapore is the EU’s largest trade and investment partner in Southeast Asia, ranking as 
the  EU’s  5th  largest  trade  partner  for  services  globally  (€77.5  billion)  and  6th  largest  FDI 
destination (€293 billion) in 2022.  

Singapore was the largest ASEAN destination for EU exports of goods in 2023: EU exports to 
Singapore  increased  by  1.2%  (from  €31.7  billion  in  2022  to  €32.1  billion  in  2023).  EU-
Singapore trade in goods slightly decreased by 0.2% in 2023 on a year-on-year basis.  

The EU-Singapore trade and investment agreements contribute to solidifying the EU’s presence 
in the region. The agreements offer new opportunities for EU companies to expand into other 
Southeast Asian markets, as they provide them with more opportunities and stronger protection 
to do business in Singapore, which is the central hub in Southeast Asia.  

In  February  2023,  the  EU  and  Singapore  signed  the  non-binding  EU-Singapore  Digital 
Partnership and adopted their first deliverable on Digital Trade Principles. In July 2023, the 
EU and Singapore launched the negotiations for a Digital Trade Agreement (DTA) setting out 
binding digital trade rules. These negotiations were concluded on 25 July 2024. Upon entry into 
force the DTA will complement the 2019 EUSFTA, connecting both economies further and 
benefiting businesses and consumers that want to engage in digital trade. 

9 The decision to “split” the agreement into a free trade agreement and an investment protection agreement was 
made following the Opinion 2/15 of the European Court of Justice on the allocation of competences between the 
European Union and the Member States. 

14 

 
 
 
 
 
 
 
2. 

MAIN IMPLEMENTATION ISSUES 

2.1  Market Access: Progress and outstanding issues 

During the fourth year of implementation of the EUSFTA, progress was made by Singapore in 
the implementation of its commitments within the Chapter on  Intellectual Property Rights 
(IPR).  The  first  EU-Singapore  IP  Dialogue  was  held  on  1  June  2023  to  review  the 
implementation of the IP chapter of the EUSFTA, including on Singapore’s commitments to 
provide  producers  of  phonograms  with  the  right  to  a  single  equitable  remuneration  if  a 
phonogram published for commercial purposes, or a reproduction of such phonogram is used 
for broadcasting by wireless means or for public performance. 

In  2023,  eight  additional  geographical  indications  (GIs)  were  successfully  registered  in 
Singapore, including the GIs Prosecco and Halloumi, bringing the total of registered GIs to 165, 
which will be reflected in a future amendment of the relevant GI annexes of the EUSFTA. 

Progress was also made in the area of customs: 

•  The EU and Singapore switched towards the ‘registered’ exporters’ system, benefitting 
in particular also EU exporters of beer, through the adoption of a Customs Committee 
Decision, which came into effect on 1 January 2023. 

•  Furthermore, the EU and Singapore engaged in an exchange on recent developments 
in  customs  policy  and  legislation  and  mutual  administrative  assistance  in  customs 
matters. In 2023, Singapore conducted a customs validation visit to the EU in view of 
concluding  a  Mutual  Recognition  Agreement  on  Authorised  Economic  Operators 
programmes. 

In the field of Sanitary and Phytosanitary Measures (SPS), the EU and Singapore held the 
4th EU-Singapore SPS Committee Meeting under the EUSFTA in October 2023 and advanced 
on SPS issues: 

•  Following a comprehensive audit to Spain in early 2023 by the Singapore Food Agency, 
Singapore upgraded the approval status for Spain under pre-listing conditions for 
eggs, pork, poultry and beef, and approved Spain for export of ovine meat and offal to 
Singapore. 

•  Singapore and the EU have also made progress on the born and raised attestation, in 
particular with Belgium, Poland and Spain, allowing meat products to be sourced from 
animals born and raised in EU Member States approved by Singapore. 

Singapore  applies  regionalisation  measures  for  African  Swine  Fever  (ASF)  and  Highly 
Pathogenic Avian Influenza (HPAI) with the majority of approved EU Member States, aligned 
with EU measures. In fact, after several years of ASF countrywide bans, exports of pork and 
pork products from Belgium, Germany, Hungary and Poland to Singapore have successfully 
resumed. 

15 

 
 
 
 
Following a recent outbreak of ASF in wild boar in Sweden, Singapore continues to allow 
imports  of  Swedish  pork  and  pork  products  after  modifying  the  health  certificate  in  an 
expeditious and trade-friendly manner. 

Singapore has also accepted imports of French poultry and poultry products, after France started 
a nation-wide vaccination against Highly Pathogenic Avian Influenza in ducks on 1 October 
2023. 

In October 2023, the EU and Singapore held the first meeting of the Committee on Trade in 
Services,  Investment  and  Government  Procurement  under  the  EUSFTA  to  review  the 
implementation of the chapters 8 (on Services, Establishment and Electronic Commerce) and 9 
(on  Government  Procurement)  of  the  EUSFTA.  Bilateral  trade  in  services  reached  a  record 
€77.5 billion in 2022, an increase of 33% on a year-on-year basis.  

2.2 

Trade and sustainable development: Progress and outstanding issues  

The second TSD Board meeting and Public Stakeholders’ Forum took place in Brussels in 
March 2023 (the second EU-Singapore TSD Board on 22 March and the second EU-Singapore 
Public Stakeholders forum on 23 March).  Discussions were held on a wide range of topics 
including  progress  towards  ratification  by  Singapore  of  three  outstanding  fundamental  ILO 
conventions.  

•  Most progress has been made on ILO Convention C105 (Abolition of Forced Labour), 
where  Singapore  has  amended  three  pieces  of  its  legislation  and  expressed  its 
commitment  to  amend  all  domestic  legislation  needed  to  fully  comply  with  the  ILO 
convention requirements.  

•  On ILO C111 concerning Discrimination in Respect of Employment and Occupation 
Singapore is taking steps to enact legislation to prohibit discrimination at the workplace.  

•  On  ILO  C87  on  Freedom  of  Association  and  Protection  of  the  Right  to  Organize, 
Singapore indicated that it fully complied with the principle already but currently did 
not intend to ratify the convention (for reasons going to the core of the socio-political 
system in Singapore).  

Continued and sustained efforts towards the ratification and effective implementation of all ILO 
fundamental Conventions remain a priority for the EU. The EU and Singapore further noted 
their shared commitment to the full and timely implementation of their respective commitments 
under the Paris Agreement and reviewed key domestic policies to support their achievement 
and economic growth. The next TSD Board and the Public Stakeholders Forum will take place 
most likely in the first quarter of 2025 in Singapore. 

16 

 
 
 
 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 

ECONOMIC PARTNERSHIP AGREEMENT BETWEEN THE EU AND 
JAPAN 

1. 

THE AGREEMENT 

The  EU-Japan  Economic  Partnership  Agreement  (“the  EU-Japan  EPA”;  hereinafter  “the 
Agreement”)  entered  into  force  on  1  February  2019.  It  is  one  of  the  most  ambitious  trade 
agreements concluded by the EU so far, providing for broad-based trade liberalisation coupled 
with rules and disciplines on aspects such as labour rights, environmental protection, antitrust, 
corporate governance and the commercial activities of state-owned enterprises, among other 
topics. The agreement thus pursues and develops the EU’s strive towards comprehensive trade 
agreements, and it provides a sound basis for the development of economic relations between 
the Parties.  

The agreement is particularly important for the EU agri-food sector, offering huge potential for 
increasing EU exports of a large number of products, such as wine, pork, beef, cheeses and 
processed agricultural products.  

The first five years  of  EPA implementation have been overall satisfactory. Bilateral  trade 
quickly recovered from the Covid-19 crisis and, in 2022, trade flows exceeded pre-pandemic 
levels.  

Between 2018 and 2023, EU exports of goods to Japan have grown by 11%, with a cumulative 
annual growth of 2%. Data for 2023 on bilateral trade in goods show a contraction of EU exports 
compared to the previous year, mainly due to exchange rate issues, reduction of EU exports of 
vaccines  to  Japan,  high  inflation  impacting  on  consumers’  purchasing  power,  or  increased 
prices due to falling supplies. Bilateral trade in services increased of 23% between 2018 and 
2022 and, in 2022, there was an increase of 13%, when compared to 2021.  

2. 

MAIN IMPLEMENTATION ISSUES 

2.1  Market Access: Progress and outstanding issues  

Progress was made in 2023 inter alia on the following issues:  

•  Japan  reviewed  its  tendering  guidelines  for  offshore  wind  power,  removing 
discriminatory requirements, allowing for the successful participation of EU industry to 
the second round of offshore wind tenders that were awarded in 2023. Moreover, the 
certification process for certain wind power equipments was simplified.  

17 

 
 
 
 
 
 
•  48 new geographical indications from Japan and the EU were added to the existing 

list annexed to the EPA. 

•  On  SPS,  following  the  commitments  taken  during  the  July  2023  EU-Japan  summit, 
Japan approved the pending market access applications for beef from Austria, Spain, 
Sweden and Germany and major progress was made on the mutual recognition project 
for Highly Pathogenic Avian Influenza (HPAI). 

The following outstanding issues remain: 

• 

In the area of public procurement, Japan failed to ensure the automatic and immediate 
publication  of  all  tenders  falling  under  the  EU-Japan  EPA  or  the  WTO  GPA  on  the 
single point of access (i.e. JETRO) – progress on government procurement thus remains 
limited. 

•  Japan’s  overly  complicated  and  lengthy  market  access  approval  procedures  for 
certain  EU  agri-food  products  (especially  for  fruits  and  vegetables)  continue  to 
hamper EU exports. In order to address this issue, the EU continued its engagement with 
Japan towards a simplification of the lengthy and duplicative assessments conducted for 
each EU Member State individually.  

•  The  utilisation  by  the  EU  of  TRQs  granted  by  Japan  showed  mixed  results 
according to the Fiscal Year 2022 figures (NB: latest figures available). Therefore, the 
Commission continues to monitor the fill rate and management of TRQs under the EPA. 

2.2 

Trade and sustainable development: Progress and outstanding issues  

ILO convention C105 on the Abolition of Forced Labour entered into force for Japan in July 
2023 following the subsequent amendments to domestic legislation. 

The Committee on Trade and Sustainable Development met on 28 February and 1 March 
202310. In addition to the adoption of a decision establishing the panel of TSD experts11, the 
EU side and Japan discussed the following issues concerning labour: 

•  EU  initiatives  in  the  area  of  Corporate  Social  Responsibility/Responsible  Business 

Conduct (CSR/RBC); 

•  Japan’s efforts on the ratification of the ILO C111 on discrimination in employment 
and occupation as well as the EU and Japan’s respective policies and approaches to the 
occupational safety and health.   

10 Agenda of the meeting: https://circabc.europa.eu/ui/group/09242a36-a438-40fd-a7af-
fe32e36cbd0e/library/a5b439ce-67b1-4bf7-b0b4-3671dd8a325d/details  
11 https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:22023D1124  

18 

 
 
 
 
 
 
 
 
 
 
 
 
In regard to environmental issues the following topics were raised: 

•  The EU Circular Economy package, as well as the proposal for a Revision of the Waste 
Shipment Regulation. Building on the recent collaboration in the area of plastics policy, 
the  EU  proposed  a  technical  dialogue  with  a  focus  on  product  requirements  for 
circularity by design. Building on  the update on the EU Forest Strategy, the EU and 
Japan are considering the possibility to hold a follow-up technical-level meeting on the 
EU proposal for a regulation to curb deforestation and forest degradation. 

•  The Parties also updated each other on the respective policy developments on climate 
change,  and  discussed  bilateral  cooperation  (the  Japan-EU  Green  Alliance12).  In 
relation  to  cooperation  in  multilateral  fora,  the  Parties  discussed  the  (plurilateral) 
Methane  and  Deforestation  Initiatives.  They  stressed  the  positive  contribution  that 
bilateral discussions on trade and climate can bring to the multilateral processes.  

During a high level mission under the Green Alliance in February 2024, the EU and Japan 
further explored cooperation in the fields of carbon pricing and modelling emissions, carbon 
capture, utilisation and storage. 

The Joint Dialogue with Civil Society was held on 11 April 2024 in Japan, ahead of the TSD 
Committee so it could inform the latter. The topics discussed at the Joint Dialogue included 
trade  and  environment,  namely  circular  economy  and  efforts  to  regulate  green  claims 
greenwashing. As regards labour, discussions included the latest developments on ratification 
of core ILO conventions and the forced labour regulation, as well as the issue of responsible 
business conduct/due diligence. A dedicated workshop on Human Rights and environmental 
due diligence took place the following day, bringing together experts from the OECD and civil 
society on both sides. In addition, the joint statement of the European Business Council in Japan 
(EBC)  and  the  Japan  Business  Council  in  Europe  (JBCE)  on  Sustainable  and  Responsible 
Supply Chains was presented and discussed.  

12 eu-japan-green-alliance-may-2021.pdf (europa.eu)  

19 

 
 
 
 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-
SOUTH KOREA FREE TRADE AGREEMENT 

1. 

THE AGREEMENT 

The Free Trade Agreement between the EU and its Member States and the Republic of South 
Korea (hereinafter to as “the EU-South Korea FTA”) has been provisionally applied since July 
2011. On 13 December 2015 it entered formally into force after ratification by the EU Member 
States. The Additional Protocol to the FTA to take into account the accession of Croatia to the 
EU has been provisionally  applied since 26 May 2014 and  formally  entered into force on 1 
January 2016. 

The EU-South Korea FTA is the first of a new generation of comprehensive trade agreements 
that apart from market opening commitments also offer a basis for regulatory co-operation in 
key sectors, as well as a substantial chapter on sustainable development with binding provisions 
upholding and promoting social and environmental standards. 

To complement the EU-South Korea FTA, the EU and South Korea have launched negotiations 
for a Digital Trade Agreement on 31 October 2023, building on the EU-South Korea Digital 
Trade Principles agreed in 2022. The two sides intend to agree on a set of ambitious, modern 
digital trade rules, building on and complementing the existing preferential trade framework. 

2. 

MAIN IMPLEMENTATION ISSUES 

2.1  Market Access: Progress and outstanding issues 

The  13-year  old  EU-South  Korea  FTA  remains  a  solid  foundation  for  the  bilateral  trade 
relationship, supporting a robust increase in bilateral trade. Against this background both sides 
continued working constructively on the implementation of the agreement  with a number of 
FTA working groups and committees having taken place in 2023 and the first quarter of 2024. 
The 11th EU- South Korea Joint Trade Committee took place in October 2023.13 

Progress was made in implementing the EU–South Korea FTA in a number of areas during the 
reporting period, notably on SPS: 

• 

In  December  2023  the  South  Korean  National  Assembly  voted  in  favour  of  market 
access  applications  for  exports  of  beef14  from  Ireland  and  France.  In  May  and  June 
2024,  acknowledging  the  high  level  of  safety  ensured  by  the  EU's  harmonised  food 
safety control measures. the Republic of Korea officially opened market access for beef 

13 Joint minutes of the 11th EU-South Korea Trade Committee are available here: relations-negotiations-and-
agreements - Library (europa.eu)  
14 Beef exports from the EU have been banned for more than two decades on the grounds of outbreaks of Bovine 
Spongiforme Encephalopathy (BSE), with Denmark and the Netherlands having had their exports authorised 
again in 2019. 

20 

 
 
 
 
 
 
 
from  Ireland  and France, respectively  and  exports  can now resume. This follows the 
opening of the Korean market to EU beef from Denmark and the Netherlands in 2019.    

•  With regards to South Korea’s recognition of the EU’s regionalisation measures to 
control outbreaks of African swine fever and the highly pathogenic avian influenza in 
2022,  implementation  of  this  recognition  continued  with  Germany,  the  EU’s  main 
exporter of pork to South Korea, resuming its exports in October 2023. 

•  DG  TRADE,  DG  SANTE  and  the  South  Korean  Ministry  of  Food  and  Drug  Safety 
signed an Administrative Arrangement on cooperation on electronic SPS certification 
and on SPS certificates for exports from the EU. The conclusion of this arrangement 
will further facilitate trade of several processed agri-food products. 

Apart from SPS, progress was also made in the offshore wind energy sector. Following 
continuous  engagement  between  the  EU,  Member  States  and  South  Korea,  the  South 
Korean government abolished local content requirements in the offshore wind energy 
sector that had allowed for higher prices for those windfarms that had satisfied the condition 
of having minimally 50% domestic components. Meanwhile the EU continues to closely 
follow developments in the sector advocating for predictability and transparency of both 
permission process and auction rounds. 

In a number of areas the EU continued its engagement with South Korea during the reporting 
period: 

•  Postal  and  courier  services:  Negotiations  with  South  Korea  are  still  ongoing  with  a 
view to setting out the principles of the regulatory framework applicable to postal and 
courier services, as envisaged by Article 7.26 of the FTA between the EU and South 
Korea. EU suppliers will be able to benefit from legal certainty and transparency and 
operate in a fair postal and courier market. 

•  Electronics  annex:  The  EU  and  South  Korea  continued  technical  discussions  on 
potential updates to the EU-South Korea FTA annex dedicated to electronics in light of 
technical developments since the EU-South Korea FTA was negotiated. 

•  Technical  barriers  to  trade:  The  EU  facilitated  contacts  between  conformity 
assessment bodies (CABs) outside South Korea and South Korean laboratories in charge 
of conformity testing of infant clothing. Negotiations between CABs and South Korean 
laboratories are ongoing. Authorising CABs outside South Korea could reduce the costs 
and environmental footprint of trade in infant clothing.  

In 2023, the following outstanding issues remained: 

•  Sanitary and phyto-sanitary measures: South Korea does not provide market access 
for all EU beef, despite notable positive developments for some Member States in 2023 
(see above). Since South Korea closed its market to EU beef imports in the early 2000s 

21 

 
 
 
 
 
 
 
 
on the grounds of BSE outbreaks, only Denmark, the Netherlands, Ireland and France 
have  been  able  to  resume  exports.  Eight  other  Member  States  are  meanwhile  still 
waiting for the finalisation of the respective approval process.. 

•  With  regards  to  South  Korea’s  recognition  of  the  EU’s  regionalisation  measures  to 
control outbreaks of African swine fever and the highly pathogenic avian influenza, the 
EU  continues  to  closely  monitor  implementation  on  the  ground,  advocating  for  a 
‘prelisting’ procedure that would significantly facilitate the resumption of exports and 
do away with  a burdensom process  that requires  inspections  and replies to  extensive 
questionnaires on the part of each applicant EU establishment. 

2.2   Trade and sustainable development: Progress and outstanding issues  

The 9th TSD Committee met on 6 and 7 September 2023.15  

On the implementation of the Panel of Experts’ report of January 202116:  

•  South Korea reported on its continuous and sustained efforts to ratify ILO Convention 
on Abolition of Forced Labour (ILO C105), analysing the strategies followed by other 
countries and launching the review for the procedure to amend two pieces of legislation, 
which  allows  not  only  imprisonment  but  also  forced  labour  (i.e.,  sectorial  laws  with 
regard  to  seafarers  and  special  security  guards).  The  EU  continues  to  follow  the 
ratification process closely.  

•  The EU continued engagement with South Korea regarding freedom of association, 
monitoring  the  implementation  of  the  amendments  in  the  Korean  Trade  Union  Act 
required to conform with the Panel report. The matter was raised at the TSD Committee 
and at the Trade Committee. Similarly to the year before, discussions mainly revolved 
around the possibility for dismissed and unemployed workers to join trade unions, the 
eligibility of trade union officials, the access of self-employed workers to trade unions 
and  the  certification  procedure  for  trade  unions  in  South  Korea.  The  EU  and  South 
Korea hold different views on this matter, since South Korea considers that it has fully 
implemented the recommendations of the Panel Experts by revising the Trade Union 
and Labour Relations Adjustment Act (TULRAA), while the EU believes that practical 
implementation  is  uneven  and  continues  to  monitor  progress.  The  Parties  agreed  to 
continue discussions at any future occasion. 

•  The EU and South Korea also exchanged views on the functioning of the TSD chapter, 
recalling  the  addition  of  occupational  health  and  safety  to  the  list  of  fundamental 
principles and rights at work in the ILO Declaration and discussing the ways how to 

15 Joint minutes are available here: relations-negotiations-and-agreements - Library (europa.eu) 
16 This report as well as other relevant documents are available on the Commission’s webpage at 
https://ec.europa.eu/trade/policy/accessing-markets/dispute-settlement/bilateral-disputes/. 

22 

 
 
 
 
 
 
 
strenghten the participation and role of the Domestic Advisory Groups and civil society 
in the implementation of the TSD chapter.  

The ratification of the last pending fundamental ILO Convention on the Abolition of Forced 
Labour (ILO C105) by South Korea is still outstanding. This was discussed in detail at senior 
official level at the TSD Committee of September 2023. At the Trade Committee of October 
2023,  South  Korea’s  Trade  Minister  subsequently  confirmed  the  country’s  commitment  to 
continue efforts towards ratification (see also above). 

3. 

ACTIVITIES SUBJECT TO SPECIFIC MONITORING   

In line with Article 14 of the FTA Protocol on Rules of Origin, South Korea’s imports of key 
car  parts  and  electronics  from  its  most  important  suppliers  (outside  the  EU)  have  been 
monitored. Like in previous years, China and Japan continue to be amongst the largest car parts 
suppliers with Mexico now also becoming a main supplier. Japan still pays full duty on many 
car parts (within the Japan-RCEP, South Korea excludes from liberalisation some key car parts 
such as engines, lithium-ion batteries, and a large number of car parts under HS 8708), while 
China benefits from tariff reduction (the South Korea-China Free Trade Agreement liberalised 
many car parts, including lithium-ion batteries). 

The import pattern of reception/reproducing appartus for cars (HS 8522, 8527 and 8529) has 
not fundamentally changed since the EU-South Korea FTA has entered into force. 

South  Korea’s  imports  of  gasoline  engines  (HS  8407)  have  increased  sharply  in  2023,  with 
Mexico  being  the  main  supplier  (+586%),  but  over  the  same  period  the  EU’s  imports  of 
combustion gasoline cars did not increase to a comparable degree (+10%), reaching now EUR 
2.6 bn (source: ComExt). 

South Korea’s imports of diesel engines (HS 8408) have decreased (-24%) in 2023, including 
from its main supplier Japan (-20%). 

South  Korea’s  imports  of  parts  for  engines  (HS  8409)  and  parts  and  accessories  for  certain 
motor vehicles (HS 8708) were stable in 2023 compared to 2022. 

23 

2022 total import (1,000$)2023 total import (1,000$)1st202220232nd 20222023Electronic sectorHS 8522Parts and accessories for picturesand sound reproducing and recording apparatus2456420755China1932914847Japan17721771HS 8527Reception apparatus10810482323China5351350372Malaysia67615817HS 8529Parts for reception apparatus19632861923586China840559719767Vietnam638220737796Core car partsHS 8407Spark-ignition reciprocating or rotary internal combustion piston274297891639Mexico104558717593Japan6845566736HS 8408Diesel or semi-diesel engines784870593477Japan11697593950China8490593236HS 8409Parts of engines of 8407 or 840813408541351307China344706337423Japan176287176370HS 8708Parts and accessories for motor vehicles of headings 8701 to 870549739065066338China19466022208785Mexico451302492544HS 850760Lithium-ion accumulators56949288465963China53856718114048USA122896102493Source: KITA.org2023 main import sourcing (outside the EU) and evolution of imports (1,000$) 
 
 
 
In 2023, South Korea’s imports of lithium-ion batteries (HS 870560) have continued to steadily 
increase to $ 8.2 bn (+48.6 %), with China being by far the dominant supplier (China benefits 
from free access to the South Korean market through to the China-South Korea FTA). These 
imports exceed for the first time South Korea’s exports of lithium-ion batteries ($ 7.3 bn). In 
2023, South Korean exports of electric cars to the EU increased by 75%, amounting to EUR 
4.3 bn (source: ComExt). 

Based on these trade statistics, it is not possible to establish a link between the allowance of 
duty drawback and an increase in EU imports of cars from South Korea. 

24 

 
 
 
 
PART II:  

THE AMERICAS 

25 

 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-
CANADA COMPREHENSIVE ECONOMIC AND TRADE AGREEMENT (CETA) 

1. 

THE AGREEMENT 

The EU-Canada Comprehensive Economic and Trade Agreement (“CETA”), (hereinafter 
‘the Agreement’) has been provisionally applied since 21 September 2017. The agreement has 
been  ratified  by  17  Member  States  (Austria,  Croatia,  Czechia,  Denmark,  Estonia,  Finland, 
Germany,  Latvia,  Lithuania,  Luxembourg,  Malta,  the  Netherlands,  Portugal,  Romania, 
Slovakia, Spain, Sweden) with 10 Member States (Belgium, Bulgaria, Cyprus, France, Greece, 
Hungary, Ireland, Italy, Poland and Slovenia) still pending ratification.  

CETA  has  been  implemented  in  all  of  those  areas  that  are  provisionally  applied17.  The 
Agreement has an extensive governance/management structure with 19 dedicated committees 
and dialogues/fora reporting directly to the Joint Committee, which meets at ministerial level.18  

At the fourth meeting of the CETA Joint Committee on 9 February 2024 the Parties took 
note of the positive evolution of bilateral trade in goods having grown exponentially by more 
than  50  percent  since  its  provisional  application.  The  Parties  agreed  that  CETA  has  been 
effective in eliminating trade tariffs and barriers, fostering the free flow of goods, services, and 
investment between the EU and Canada. CETA has also been successful in fostering trade for 
small- and medium-sized enterprises (SMEs). Recent figures indicate that comparatively more 
new SMEs than large companies have started exporting to Canada from the EU under CETA: 
more  than  2,500  additional  European  SMEs  between  2016  and  2019.  CETA  also  plays  an 
important role for the resilience of supply chains through diversification. 

•  Progress was made in 2023 via agreement on an interpretation that clarifies elements 
of investment provisions under CETA, notably the terms “fair and equitable treatment”, 
“indirect expropriation” and “investment and climate change”. The agreement further 
clarifies that the Parties can regulate in the framework of climate, energy, and health 
policies to achieve legitimate public objectives.  

•  Progress  was  also  made  towards  the  adoption  of  supplemental  rules  on  expedited 
procedures for the resolution of investment disputes, in particular for natural persons 
and  SMEs  under  CETA  for  which  negotiations  at  technical  level  were  concluded 
beginning of 2024.  

In  2022,  the  EU  and  Canada  concluded  negotiations  of  a  Mutual  Recognition  Agreement 
(MRA)  concerning  the  professional  qualifications  of  architects19,  which,  once  formally 
adopted20 through the CETA Joint Committee, is expected to further boost trade in architectural 
services.  

17 https://data.consilium.europa.eu/doc/document/ST-10974-2016-INIT/en/pdf  
18 Reports of the Committees can be found here. 
19 eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=CELEX:52022PC0343  
20 The EU has finalised its internal procedures and hope to adopt the MRA in the Joint Committee with Canada 
once Canada has completed its internal procedures. This is expected to happen in 2024. 

26 

 
 
 
 
 
2. 

MAIN IMPLEMENTATION ISSUES 

2.1   Market Access: Progress and outstanding issues  

On  wines  and  spirits,  progress  was  made  in  removing  certain  discriminatory  measures 
maintained at federal and provincial level: 

•  There is an announced path towards compliance by provinces (Ontario, Quebec and Nova 
Scotia) to remove certain discriminatory measures on wines (by mid-2023, end 2023 and 
mid-2024  respectively),  which  the  Commission  continues  to  monitor  closely.21  The 
Commission engages in dialogue with the federal government and the provinces to address 
these issues, as most recently with Alberta and Ontario. Of particular concern to the EU 
are  the  1)  differential  taxes  and  mark-ups  giving  preference  to  local  producers,  and  2) 
measures that allow for direct delivery exclusively by local producers. These issues persist 
and have been repeatedly raised by the EU at the EU-Canada committee meetings, most 
recently at the meeting of the Committee on Wine and Spirits on 15 and 16 May 2024. 

•  Work on geographical indications (GIs) continues:  

o  A  new  regulatory  measure  in  Quebec  has  resolved  the  issue  of  unauthorised 
reference  to  the  geographical  indication  “Champagne”  in  alcoholic  beverages 
produced in Canada. Similar steps are currently ongoing also at the federal level. 

o  On 4 April 2024 the EU and Canada signed the amendment of the annexes of the 
2003 Agreement between the European Community and Canada on trade in Wines 
and  Spirits  Drinks,  incorporated  into  CETA,  notably  by  adding  23  EU  and  15 
Canadian GIs and 17 oenological practices to those annexes. 

On the CETA tariff-rate quota (TRQ) for cheese of all types granted by Canada to the EU, a 
96%  fill  rate  was  achieved.  Nevertheless,  as  the  fill  rate  is  not  the  only  objective,  the  EU 
continued  to  raise  its  concerns  with  the  administration  of  this  CETA  TRQ,  particularly  in 
relation  to  the  pooling  system  and  reported  high  transfer  rate  and  subsequent  transfer  costs 
which are passed on to  consumers. This reduces the competitiveness  of EU products on the 
Canadian market and the EU has called upon Canada to introduce improvements in the context 
of its comprehensive TRQ review, which has been delayed due to Canada’s disputes with the 
U.S. and New Zealand over the implementation of dairy TRQs under CUSMA (Canada-United 
States-Mexico Agreement) and the CPTPP (Comprehensive and Progressive Agreement fopr 
Trans-Pacific Partnership), respectively.  

21 Ontario harmonised the tax rates applicable to Ontario and non-Ontario wines sold in off-site winery retail 
stores on 1 July 2023. 

27 

 
 
 
 
 
 
 
 
 
 
 
Some  market  access  issues  continue  to  be  discussed  with  Canada,  notably  in  the  area  of 
Sanitary and Phytosanitary (SPS): 

•  21 EU Member States are recognised by Canada as pest free from the Asian and Citrus 
longhorned beetles in 2019. Canada does not recognise Finland and Austria who however 
have received a disease free status for these pests by the EU. The remaining four Member 
states Italy, France, Croatia and Germany part are recognised as pest free but Canada still 
needs to acknowledge this.  

•  The EU continues to discuss the possibility to export to Canada fresh tomato with vines, 

stems, and calyces as well as cherries from Spain.   

•  The  EU  has  continued  efforts  to  obtain  approval  of  exports  of  meat/poultry  from  EU 

Member States that are not yet approved by Canada for these products. 

•  Overall, the work on the harmonisation of EU export certificates continued, with priorities 
put forward by both sides. The priorities for the EU are processed meat sheep/goat meat 
and casings. 

The Commission conducted an audit in Canada in 2019 on bovine and pig meat and carried out 
a follow-up audit in 2022. The Commission closely follows developments in Canada to ensure 
that appropriate actions are taken by the Canadian authorities to address the recommendations 
made in those audit reports.  

There are concerns in the area of Intellectual property rights (IPR):  

•  On  geographical  indications  (GIs),  Canada  lacks  an  appropriate  administrative 
procedure for rightholders to enforce their rights. In the absence of such a procedure, 
litigation is the only effective route at rightholders’ disposal, with all the costs that this 
entails.  Other problems  relate to  the absence of a list of grandfathered prior users of 
certain names protected under CETA. The lack of direct  remedies for damage to the 
reputation/image of a GI makes it difficult for GI rightholders to enforce their rights. 
However,  a  number  of  EU  rightholders  have  successfully  enforced  their  rights  by 
sending Cease and Desist letters directly to companies alledged to be infringing their 
rights, as advised by the Canadian authorities. Canada has also informed the Canadian 
Provinces  of  EU  GI  rights  and  has  published  web  content  to  inform  Canadian 
stakeholders of their rights and obligations regarding GI enforcement in the Canadian 
market. 

•  Other areas of concern regard trademarks, where the Canadian Intellectual Property 
Office  can  take  more  than  three  years  to  process  applications,  as  well  as  on  border 
enforcement,  namely  the  significant  decrease  in  seizures  and  costly  and  burdensome 
detentions.  

28 

 
 
 
 
 
 
 
 
Canada introduced a new barrier in the automotive sector through its Select Luxury Items 
Tax Act in 2022 which was registerd by the EU as a trade barrier in 2023. The tax is on sales, 
for personal use, of cars and personal aircraft with a retail sales price over CAD 100,000, and 
boats, for personal use, over CAD 250,000. The tax would be calculated at the lesser of 20% of 
the value above the threshold (CAD 100,000 for cars and personal aircraft, CAD 250,000 for 
boats) or 10% of the full value of the luxury car, boat, or personal aircraft. 

•  The European Commission has commissioned an independent study to assess the impact 
of the tax on EU-originating cars, and the study shows that the tax’s impact on EU-
originating cars sold in Canada is disproportionately higher than its impact on Canadian-
origin cars sold in Canada.  

•  The  EU  has  called  on  Canada  to  ensure  a  level  playing  field,  especially  as  regards 
electric vehicles and to review this tax to ensure compliance with national treatment and 
most-favoured nation commitments under CETA. 

The Mutual Recognition of the Authorised Economic Operator Programme adopted by the 
CETA  Joint  Customs  Cooperation  Committee22  at  its  meeting  on  28  October  2022  (see 
Decision No 1/2022 of the European Union – Canada Joint Customs Cooperation Committee 
on  the  mutual  recognition  of  the  EU  and  Canadian  trade  partnership  programmes),  is  still 
pending  implementation  in  2023.  The  decision  marks  an  important  milestone  in  the 
implementation of the Agreement between the EU and Canada on customs cooperation with 
respect to matters related to supply-chain security (SCSA). It will improve supply chain security 
and further facilitate bilateral trade between Canada and the EU. 

Regaring public procurement, Canada has recently grouped all its procurement offers in one 
tool CanadaBuys.23 European companies can see if they are eligible to tender in Canada via the 
Access2Procurement portal in Access2Markets.24 CETA has opened very significant parts of 
Canada’s sub-central procurement (provinces and territories, municipalities), the healthcare 
system, education and academia to European companies. This is an important addition to the 
market access on the federal level. Research shows that for the EU the share of Government 
Procurement in bilateral exports to Canada is much higher than for the US or Japan. Companies 
who have recently won a contract in Canada are widely spread across Europe.  

The European Commission has started the process of an ex post evaluation of CETA. To this 
end,  an  independent  external  study  for  an  ex-post  evaluation  was  commissioned  which  will 
focus on the economic, social and environmental impact. Results are foreseen to be available 
in spring 2025. 25 

22 Report of the 5th JCCC meeting : https://circabc.europa.eu/ui/group/09242a36-a438-40fd-a7af-
fe32e36cbd0e/library/bf9cdc18-145e-48ee-a110-9a4921d1018e/details  
23 https://canadabuys.canada.ca/en  
24 https://trade.ec.europa.eu/access-to-markets/en/home  
25 Interested stakeholders can find more information at www.ceta-evaluation.eu.  

29 

 
 
 
 
 
 
 
2.2 

Trade and sustainable development: Progress and outstanding issues  

In  June  2021  at  the  EU-Canada  Summit,  EU  and  Canada  leaders  launched  a  series  of  joint 
events  to  promote  sustainability,  environmental  stewardship  and  climate  action  in 
agriculture,  within  the  framework  of  the  Agriculture  Dialogue  under  CETA,  notably  a 
workshop on the reduction of greenhouse gas (GHG) emissions in the livestock sector (March 
2022) and on organic production (June 2022). On 25 January 2023, a workshop on sustainable 
use of fertilisers took place and on 7 June 2023, a workshop on circular economy. 

At the fifth meeting of the CETA Trade and Sustainable Development Committee, which 
took  place on  27 April 2023 in  a hybrid format, the EU and Canada discussed a number of 
implementation issues, notably:  

• 

• 

In the area of trade and labour, the parties highlighted their joint priorities, including 
an  overview  of  their  respective  technical  assistance  projects  in  third  countries  to 
promote  and  protect  fundamental  labour  rights,  their  efforts  to  ratify  International 
Labour Organization (ILO) Conventions, particularly Occupational Safety and Health 
Conventions,  as  well  as  their  respective  policy  and  legislative  initiatives  to  combat 
forced  and  child  labour,  including  in  global  supply  chains.  Mindful  of  the  Domestic 
Advisory Groups working priorities, the Parties committed to reinforce coordination on 
cooperation  in  third  countries,  focusing  on  supply  chains  and  the  most  vulnerable 
groups. 

In the area of environment and climate action, the EU and Canada exchanged views 
on  topics  such  as  energy  transition,  biodiversity,  climate  adaptation  and  green 
technology. The Parties welcomed the successful agreement of the Kunming-Montreal 
Global Biodiversity Framework. Discussions also covered several ongoing cooperation 
initiatives  including  on  deforestation,  carbon  pricing  and  border  carbon  adjustments, 
biodiversity, plastic pollution and circular economy, and chemicals management. 

•  Furthermore,  on 

the 

implementation  of 

the  CETA  Trade  and  Gender 
Recommendation26,  parties  noted  good  progress,  in  line  with  the  Trade  and  Gender 
work plan, on exchanges and events aimed at sharing information on policies, laws and 
best  practices  on  a  range  of  issues,  notably  on  the  development  of  gender-relevant 
standards. On 19 March 2024, a workshop on Trade, Gender and SMEs was organised 
in the context of the 2024 Civil society Forum.  

•  On corporate social responsibility (CSR) and responsible business conduct (RBC), 
both Parties recognized that the relevant experts were in touch and are planning to share 
best practices, once the EU’s new RBC strategy is launched. 

•  EU’s ongoing work to explore implementing elements of the EU’s own TSD review can 
be  done  witing  the  existing  Agreement.  Those  elements  are  notably  on  occupational 

26 https://www.international.gc.ca/trade-commerce/trade-agreements-accords-commerciaux/agr-acc/ceta-
aecg/CETA_work_plan-AECG_plan_travail-2020-2021.aspx?lang=eng 

30 

 
 
 
safety and health, which aim to protect the labour force at their employment place and 
enhance interaction with domestic advisory groups.   

In line with previous CETA TSD Committee meetings, the Committee was joined by the Chairs 
of the Canadian and the EU Domestic Advisory Groups (DAGs) under CETA and welcomed 
their  feedback  and  suggestions  for  collaboration  under  the  CETA  TSD  chapter,  including  a 
request to have more informal interim discussions with the TSD co-chairs on related updates.  

The 6th CETA Civil Society Forum met on 18-19 March 2024 with participants from across 
the EU and Canada from business, social partners, environmental organizations and other civil 
society representatives. Thematic sessions explored the following topics: (i) Environment and 
Climate  Change;  (ii)  Enabling  Climate  and  Nature-positive  Outcomes;  (iii)  Canada-EU 
Cooperation on Labour; (iv) Business and Human Rights; (v) Trade, Gender and SMEs. 

31 

 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-
COLOMBIA/ECUADOR/PERU TRADE AGREEMENT 

1. 

THE AGREEMENT 

The Trade Agreement with Colombia and Peru (hereinafter the ‘Agreement’) has been 
provisionally applied with Peru since 1 March 2013 and with Colombia since 1 August 2013. 
Negotiations on a Protocol of Accession of Ecuador to the Agreement were concluded in 
July 2014 and the Protocol is being provisionally applied since 1 January 2017. Following 
Belgium’s ratification of the Agreement and Luxembourg’s ratification of the Accession 
Protocol of Ecuador in 2024, the EU will notify to the Andean partners the ratification of the 
Agreement by the EU. The agreement will enter fully into force on the first day of the month 
following notification.  

The Trade Agreement was also amended through the Protocol of Accession of Croatia to the 
EU. The Protocol entered into force with Peru on 1 May 2017. In 2023 Colombia’s Congress 
passed  the  necessary  law  for  the  entry  into  force  of  the  Protocol.  This  law  is  now  pending 
ratification by the Constitutional Court.   

The supervision and facilitation of the operation and further development of the Agreement – 
including the evaluation of results obtained from the application of the Agreement – is under 
the direct responsibility of the Trade Committee, which comprises representatives of the EU 
and representatives of each signatory Andean Country. The Committee also supervises the work 
of  all  specialised  bodies  (e.g.  the  Subcommittees)  established  under  the  Agreement.  The 
decisions  adopted  by  the  Committee  are  binding  upon  the  Parties,  which  are  to  take  all 
necessary  measures  to  implement  them.  The  Trade  Committee  is  scheduled  to  meet  at  least 
once a year. 

The  Agreement  has  helped  to  stabilitise  trade  despite  fluctuations  in  commodity  prices.  It 
constitutes a contributing factor supporting the diversification of the economy of the three EU 
trading partners and a good basis for cooperation. Fore more information, see in section 3.3 
below the main results of the recent ex-post evaluation of the Trade Agreement27.  

27 The full document is available here: https://policy.trade.ec.europa.eu/analysis-and-assessment/ex-post-
evaluations_en  

32 

 
 
 
 
 
 
 
2. 

MAIN IMPLEMENTATION ISSUES 

In  2023,  the  EU  and  the  Andean  partner  countries  continued  their  work  to  improve  the 
implementation of the Agreement, including through  cooperation supported by EU projects 
and seminars. Examples include the IP Key Latin America28 project in the area of intellectual 
property, the LCBA project29, the RBCLAC project30 implemented in partnership between 
the OECD, ILO and UN OHCHR, a number of seminars targeting specific concerns in the area 
of SPS and Trade and Sustainable Development (TSD).  

The 10th Trade Committee met in Bogota, Colombia, on November 17th 2023. The meetings 
of  the  eight  specialised  Subcommittees  took  place  in  hybrid  format  during  the  months  of 
October and November 2023. The next (11th) Trade Committee will be chaired by the EU. 

2.1  Market Access: Progress and outstanding issues 

Colombia 

In 2023, progress was made in particular in the area of beverages and food: 

•  The EU Delegation -in close coordination with Member States- succeded in mitigating a 
barrier regarding requirements on food sodium content and certification. Sodium limits for 
some relevant EU exports were increased, and certification was changed from third party 
certification to self-certification.  

•  The  EU  and  Colombia  agreed  on  a  harmonised  certificate  for  EU  exports  of  dairy 

products.  

In 2023, the EU Delegation worked hand in hand with Member States and EU companies to 
develop and present to the relevant Colombian authorities three EU industry Position Papers 
on Sustainable Mobility, Renewable Energy, and Food Industry.  

Lastly, on pharma, the  EU, together with  national  and other international  stakeholders, put 
pressure on the national institute for food and drug surveillance in Colombia (INVIMA) and 
the Colombian Ministry of Health to  reduce the  delays in  the approval  of pharma products, 
which  resulted  in  regulatory  changes  aimed  at  speeding  up  renewal  of  existing  marketing 
authorisations.  Additionally,  the  EU  launched  a  project  supported  by  the  programme  of  the 
European  Commission  for  Trade,  Private  Sector  Development  and  Engagement,  and 
Employability  (TPSDE  Facility)  to  carry  out  a  diagnosis  of  INVIMA’s  pharma  and  food 
supplements approval  procedures,  which should  serve  as  a stepping stone in  the EU’s work 
towards the further reduction of approval times.  

28 https://ipkey.eu/en/latin-america 
29 Low Carbon Business Action: https://latam.lowcarbonbusinessaction.com/ 
30 Responsible Business Conduct in Latin America and the Caribbean: https://mneguidelines.oecd.org/rbclac.htm 

33 

 
 
 
 
 
2023  also  saw  the  creation  of  the  Colombian  branch  of  the  Europe  Enterprise  Network 
(EEN). 

A number of other outstanding market access issues persist, including the following: 

•  EU exports of biological controllers are affected by Colombia’s norms and procedures, 
which do not appear fit to govern this type of products. This is especially the case for 
maximum residue limits (MRL) for pesticides, as biological controllers could replace 
chemical  pesticides.  The  EU  will  continue  to  monitor  Colombia’s  work  to  improve 
regulations and reduce red tape in this sector.  

•  Colombia also  needs  to conclude its investigation on the usurpation of Geographical 
Indications (GIs) of EU’s cheeses. The EU granted protection to one new Colombian 
Geographical  Indication  under  the  Agreement,  which  should  further  contribute  to 
develop Colombia’s value- added agricultural exports.  

WTO dispute on Colombian anti-dumping duties on frozen fries 

In regard to WTO Dispute DS 591 (Colombia-Frozen Fries from Belgium, Germany and the 
Netherlands) the Commission on 31 May launched compliance proceedings against Colombia 
after  the  country  has  failed  to  comply  with  the  MPIA’s  finding  of  December  2022  in  the 
Commission’s favour, concluding that Colombia’s anti-dumping measures imposed on frozen 
fries from Belgium, Germany and the Netherlands were in breach of WTO rules. 

Background: 

The EU successfully challenged Colombia’s anti-dumping measures against exports of frozen 
fries  from  Belgium,  Germany  and  the  Netherlands  at  the  WTO  (DS  591  Colombia  Frozen 
Fries). The final and binding award of the Appeal Arbitrators was issued to the parties on 13 
December 2022. On 10 March 2023, Colombia and the European Union informed the DSB that 
they  had  agreed  that  the  reasonable  period  of  time  for  Colombia  to  implement  the 
recommendations  of  the  arbitrators'  award  would  expire  on  5  November  2023.  At  the  DSB 
meeting of 18 December 2023, Colombia presented its Status Report under Article 21.6 of the 
Understanding  on  Rules  and  Procedures  Governing  the  Settlement  of  Disputes  (“DSU”) 
regarding the implementation of the Award of the Arbitrators in this dispute (WT/DS591/12) 
and  claimed  that  “it  has  fully  implemented  the  relevant  panel  and  arbitral  findings  and  has 
complied  with  its  WTO  obligations.”  However,  it  appears  that  Colombia’s  implementing 
measures  are  inconsistent  with  the  Anti-Dumping  Agreement.    On  31  May  2024,  the  EU 
launched  compliance  proceedings  against  Colombia  in  DS591  (Colombia-frozen  fries)  after 
Colombia  failed  to  comply  with  the  Multi-Party  Interim  Appeal  Arbitration  Agreement’s 
(MPIA’s) finding of December 2022. 

34 

 
 
 
 
 
 
 
 
Peru 

For Peru, the Agreement continues to promote diversification of Peruvian exports to the EU, 
i.e. promoting a gradual shift away from reliance on mineral products towards a range of higher 
value agricultural products. Between 2013 and 2023, Peruvian agri-exports to the EU grew in 
value by 128%. In 2013, agri-exports represented 27% of total Peruvian exports to the EU; in 
2023,  they  represented  45%.  The  EU  side  granted  protection  to  six  new  Peruvian 
Geographical  Indications  under  the  Agreement31,  which  should  further  contribute  develop 
Peru’s value-added agricultural exports. 

Progress was made by Peru in 2023 on: 

•  Technical Barriers to Trade, where Peru in July 2023, following consultations under 
the trade agreement with the EU and at the WTO, informed the EU and other WTO 
members that it had adapted its legislation to allow the use of adhesive labeling on 
food products indefinitely. This permanent solution brings relief for companies. Earlier 
temporary  permissions  were  not  sufficient  as  Peruvian  markets  would  stop  buying 
products with stickers several months before each deadline, causing significant losses 
for importers and producers, as well as disrupting trade flows and leading to shortages 
of the affected products. 

•  The cross-border provision of services, as Peru’s Fisheries Health Agency has finally 
accepted the request of an EU laboratory to act as an official testing entity and perform 
the analysis needed for the issuing of SPS certificates for exports of food and feed. This 
is the first of the kind authorization process in the framework of the FTA. 

A number of challenges persisted in 2023: 

•  Among others, Peru continues to grant a more favourable tax treatment to local Pisco 
to  the  detriment  of  EU  alcoholic  beverages.  Alcoholic  beverages  are  subject  to  the 
Impuesto  Selectivo  al  Consumo  or  ISC  (a  “vice  tax”)  according  to  their  degree  of 
alcohol except for Pisco, the national beverage, which has its own beneficial regime.  

•  Peru  has  yet  to  approve  harmonised  certificates  to  allow  prelisting  for  EU 
establishments of 1) meat products from pork, bovines and poultry; 2) bovine debones 
meat and 3) bovine deboned hams. According to Peru, the three certificates are awaiting 
the final publication by SENASA, the Animal Health Authority. Similar to Colombia, 
Peru’s lack of recognition of the regionalisation principle enshrined in the Agreement 
is of concern. In early 2022 Peru placed a ban on all imports of live pigs and pig meat 
from  Italy  due  to  a  limited,  and  subsequently  controlled,  outbreak  of  ASF  (African 
Swine Fever) found in wild boar in two regions in the north of the Italian territory. Peru 
did not duly notify this ban to Italy nor the EU and did not conduct an immediate risk 

31 Aceituna de Tacna, Cacao Amazonas Perú, Café Machu Picchu – Huadquiña, Café Villa Rica, Loche de 
Lambayeque, Maca Junín-Pasco. 

35 

 
 
 
 
 
 
 
analysis  to  justify  it.  Instead,  Peru  required  Italy  to  request  a  Communitarian  Risk 
Analysis (ARC) performed by Andean Community (when the normal procedure would 
be for Peru to request it). Peru refuses to lift the ban until the ARC is finished, even 
though the Andean Community does not impose a ban and leaves it up to the discretion 
of country states. Furthermore, the existing sanitary certificates for the importation of 
Italian pork products no longer appear in SENASA’s webpage. As of September 2023, 
there are 15 Member States struck by this ban: Germany, Belgium, Bulgaria, Croatia, 
Slovakia,  Estonia,  Greece,  Hungary,  Italy,  Latvia,  Lithuania,  Poland,  Czechia, 
Romania and Sweden.   

In the field of public procurement concerns remain regarding technical specifications 
in  public  tenders.  The  technical  specifications  are  tailored  to  US  standards,  thereby 
precluding  EU  companies  from  either  participating  or  from  being  selected;  or  the 
technical  specifications  granted  higher  scores  to  solutions  employing  specific  US 
standards, even if other standards could be proven equivalent (burden of proof on the 
tenderer), thus discriminating against EU suppliers. 

In  the  area  of  IPR,  there  is  the  issue  of  an  alleged  infringement  of  the  EU  GI 
“Bourgogne”  due  to  the  registration  of  trade  marks  (wine  labels)  bearing  the  name 
“Borgoña”. Some progress was also made in the effective enforcement of protection of 
an EU colour trademark.  

• 

• 

Ecuador 

In 2023, a number of market access barriers were successfully addressed with Ecuador.  

In August, Ecuador lifted its ban on Italian Parma and San Daniele ham, imposed in 2021 due 
to African Swine Fever (ASF) outbreaks. Trade has resumed, though other Italian processed 
meats,  such  as  “embutidos”  remain  banned  pending  an  ANDEAN-wide  risk  assessment.  In 
2023,  the  EU  granted  protection  to  three  Ecuadorian  Geographical  Indications  under  the 
Agreement (Café de Galapagos, Maní di Transkutukú, Pitahaya Amazónica de Palora), which 
should further contribute develop Ecuador’s value-added agricultural exports. 

In  September,  the  flower  industry  filed  a  complaint  about  lack  of  efficient  protection  and 
enforcement  of  Plant  Varieties  rights  (IPR).  EU  Delegation  advocacy  led  the  Ministry  of 
Finance agreeing to reduce licensing fees from USD 540 to USD 57, effective as of May 2024, 
and to increase its operational budget. However, improving enforcement against piracy remains 
unresolved. 

A number of challenges persist: 

•  Although  the  long-standing  barrier  regarding  the  disruptive  and  intransparent 
management  of  TRQs  granted  by  Ecuador  to  the  EU  and  of  products  under  non-
automatic licenses was finally solved in November 2022 (Decree 017/202), there are 

36 

 
 
 
 
 
 
 
 
 
still complaints by EU Member States that the (new) system lacks transparency in the 
granting of licences. Should the system not prove to be efficient by the end of 2024, the 
EU has the option to request the first come, first serve mechanism as provided for in the 
FTA.  

•  Regarding the protection of plant varieties, the Ecuadorian IP Code of 2016 contains 
a  number  of  provisions  that  raise  concerns.  In  addition,  registration  fees  for  new 
varieties  and  maintenance  fees  are  exorbitant  and  must  be  substantially  lowered  if 
Ecuador wants to attract new plant varieties. The competent authorities do not sanction 
farmers  that  cultivate,  sell  or  export  protected  plant  variety  or  pay  royalties  to  the 
rightholders. IP Key Latin America is launching a study over the issue with the approval 
of the government. This study will establish the importance of an effective protection 
of plant varieties (roses are the fourth export commodity from Ecuador to the EU).  

• 

• 

In relation to EU Geographical Indications (GIs), the usurpation of the EU GI “Feta” 
case remains outstanding since several years. 

In regard to  public procurement, the application of the  national  treatment  in  public 
procurement for products of EU origin is still an issue. EU companies complain about 
the difficulties to be treated as a local company to benefit from a preferential treatment. 
In addition,  there are other  concerns with  regards to  the long processes and constant 
changes of conditions for awards of contracts. 

2.2 

Trade and sustainable development: Progress and outstanding issues  

The  implementation  of  the  TSD  Chapter  was  reviewed  at  the  meeting  of  the  TSD 
Subcommittee held in October 2023, hosted by Colombia, where the Parties discussed recent 
policy developments related to labour and environment, TSD-related cooperation activities and 
relevant priorities.  

Regarding labour issues, the EU focusses on labour inspections, freedom of association and 
collective  bargaining,  child  labour,  social  dialogue  and  labour  informality.  Concerning 
environmental policies, priorities have expanded to include legislative developments in areas 
related  to  circular  economy,  biodiversity,  deforestation,  and  initiatives  to  address  global 
environmental challenges. 

•  Vis-à-vis Ecuador: 

o 

the  EU  side  welcomed  and  acknowledged  the  efforts  made  by  Ecuador 
through various public projects to improve the formal market entry of young 
people,  women,  adults  aged  45-64  and  to  reduce  informality.  The  EU  also 
recalled its strong interest in ensuring effective trade union freedom, and in 
eradicating forced labour, in particular in the agricultural and mining sectors, 
strengthening  labour  inspections  and  addressing  occupational,  security  and 

37 

 
 
 
 
 
 
 
health  issues  in  work  with  a  particular  focus  on  health  in  the  agricultural 
sector. The EU recalled its willingness to support social dialogue in Ecuador.  

o  In February 2023, Ecuador officially requested to become part of the Global 

Alliance on Circular Economy and Resource Efficiency, GACERE.  

o  In  November  2023,  the  Ministry  of  Labour  recognized  the  Board  of  the 
Trade Union Association of Agricultural and Peasant Banana Workers 
(“Asociación Sindical de Trabajadores Agrícolas y Campesinos” or ASTAC), 
allowing  it,  after  10  years,  to  operate  as  an  union.  This  followed  a  crucial 
meeting facilitated by the EU DEL between ASTAC and the Vice Minister of 
Labour.  In December 2023, the EU welcomed the official  recognition and 
registration of a sectorial trade union in the banana sector. However, the 
freedom of association is still a pending issue for other sectors and groups that 
are seeking such recognition.  

•  Vis-à-vis Colombia 

o  Fruitful  exchanges  continued  in  2023  on  labour,  notably  on  collective 
bargaining, subcontracting issues, administrative procedures, judicial redress 
and  the  employment  situation  in  the  mining  sector.  The  EU  welcomed  the 
ongoing Labour Reform, as well as Colombia’s work to address child labour. 
The  EU  confirmed  that  it  stands  ready  to  join  international  cooperation 
between the ILO, the OECD, Spain and Mexico, to support reform. The EU 
also  welcomed  the  Colombia’s  national  plan  aiming  to  strengthen  labour 
inspections.  

o  In  2023,  through  its  cooperation  projects,  the  EU  continued  to  support 
Colombia’s move towards a more sustainable and environmentally friendly 
economy,  including  a  pilot  project  on  sustainable  mining  in  the  poverty-
ridden  pacific  region  of  Colombia.  Furthermore,  Colombia  took  part  in  the 
EU’s regional programmes on the fight against Antimicrobial Resistance, the 
promotion of Responsible Business Conduct and the adoption of Low Carbon 
and Circular Economy business actions. 

•  Vis-à-vis Peru 

o  Exchanges touched upon various topics of concern in the area of labour, in 
particular the persistent challenges to the freedom of association, and the need 
to continue with domestic reforms to implement core ILO recommendations. 
The  EU  welcomed  the  successful  bilateral  talks  with  Peru  to  cooperate  on 
labour  issues  of  common  interest  such  as  on  strengthening  labour 
inspections, with a special focus in specific regions or sectors such as mining 

38 

 
 
 
 
 
 
 
and agriculture, freedom of association and collective bargaining in particular 
to include subcontracted workers, child labour and social dialogue.  

o  The  EU  is  developping  further  technical  support  to  the  Peruvian  Labour 
Ministry, in particular. Among the environmental topics, the EU stressed the 
need  to  continue  building  the  capacity  and  strengthen  the  systems  for 
environmental quality control.  

o  On TSD technical cooperation, the Commission in March 2024 published a 
list of cooperation activities agreed with Peru to ensure that labour rights 
are  respected  and  upheld  in  that  country  in  line  with  six  jointly-defined 
priorities. The cooperation activities will be implemented in the coming years 
and will be supported by an extensive EU technical and financial programme. 

•  Regarding the environment, there is interest in exchanges on the European Green 
Deal and other EU climate policies. There is shared interest by all parties on issues 
like circular economy, deforestation and biodiversity. Efforts continue to strengthen 
the  institutional  setting  for  environmental  monitoring  and  the  enforcement  of 
environmental legislation. Peru also reported on advances in the area of air quality. 

•  The  EU  updated  on  the  EU  Deforestation-free  products  regulation32,  which 
entered  into  force  in  June  2023  and  sets  out  due  diligence  rules  for  operators  and 
traders  of  a  list  of  products,  without  discrimination.  The  EU  presented  detailed 
information on the products covered, the frequency of monitoring, the classification 
of countries according to the risk of deforestation, as well as the work it has advanced 
to establish guides, dialogues and projects to facilitate compliance. The EU confirmed 
its commitment to continue cooperation in this area with a more targeted technical 
meeting,  such  as  support  for  geolocation,  benchmarking  and  certification.  Two 
follow-up meetings have been organised on 27 October and 8 November 2023. The 
EU offered to join the multi-stakeholder platform on the protection and restoration of 
the world’s forests, or with existing projects such as Amazonia +, Euroclima + and 
Al Invest Verde. The EU also invited all parties to join the technical meeting in Peru 
on 8 November. 

•  The EU side provided information on the Carbon Border Adjustment Mechanism 
(CBAM), designed to ensure the EU can meet its climate targets for 2030 and 2050 
in a way that is not undermined by the risk of carbon leakage, while giving incentives 
to  our  partners  around  the  world  to  move  in  the  same  direction.  The  EU  side 
underlined  how  the  CBAM  does  not  preclude  progress  in  terms  of  international 
coordination  for  the  adoption  of  effective  measures  such  as  carbon  pricing,  and 
stressed that the main principles of the CBAM underline its compatibility with WTO 
rules. 

32 https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A32023R1115&qid=1687867231461  

39 

 
 
 
 
 
 
 
Regarding the above mentioned issues, the parties identified a number of areas for follow-up, 
and agreed to engage on a continuous basis via intersessional technical meetings. 

The  functioning  of  the  Domestic  Advisory  Groups  (DAGs)  also  gave  rise  to  intense 
exchanges, which confirmed the recognition that the role of civil society is a prominent one in 
the  implementation  of  the  TSD  provisions  of  the  agreement.  However,  in  order  to  further 
consolidate their work, the Andean DAGs have called for the creation of a secretariat to act as 
a coordinating body between the three countries, an option that the EU would consider. In that 
context,  the  EU  underscored  the  various  actions  highlighted  in  the  EU  TSD  review 
Communication  related  to  DAGs,  to  enhance  engagement  with  civil  society.  The  Parties 
agreed to cooperate more closely exchanging on the framework for civil society dialogue in 
their respective jurisdictions. In contrast to previous years, no joint declaration was released by 
the DAGs in 2023. At the same time, individual but mutually supported declarations by EU 
DAG, the Colombian DAG, the Ecuadorian DAG and the Peruvian shadow DAG at the Civil 
Society Forum can be seen as a step in the right direction. 

3. ACTIVITIES SUBJECT TO SPECIFIC MONITORING AND SPECIFIC AREAS 

OF IMPORTANCE  

3.1 

Banana imports from Colombia, Ecuador and Peru 

The  Trade  Agreement  provides  for  a  preferential  customs  duty  on  bananas  under  heading 
0803.00.19 (fresh bananas), progressively reduced since the date of provisional application of 
the Agreement until the year 2020 (following a schedule indicated in a tariff reduction table). 
Customs Tariffs have stabilised to 75 euros/tonne since 1 January 2020.  This treatment was 
linked to  a ‘stabilisation clause’ setting out  an annual  trigger volume for imports from  each 
Andean country during the transition period.  

Article 15 of Regulation (EU) No 19/201333 provided for the banana stabilisation mechanism 
(BSM). When the annual trigger volume of imports per country as set in the Agreement was 
met, the Commission examined the impact of these imports on the situation of the Union market 
for bananas to take a decision to either temporarily suspend the preferential customs duty or 
determine that such suspension was not appropriate. The stabilisation mechanism ended on 31 
December  2019.  In  this  context,  and  in  accordance  with  Articles  3  and  13  of  Regulation 
19/2013,  the  Commission  has  monitored  the  evolution  of  imports  of  fresh  bananas  from 
Colombia, Ecuador and  Peru. A  comprehensive  report  on the functioning of the EU banana 
market after the expiry of the BSM was presented by the Commission on 29 August 2022. This 
report confirms that EU trade policy struck the right balance between different objectives by 

33 Regulation (EU) No 19/2013 of the European Parliament and of the Council of 15 January 2013 implementing the bilateral 
safeguard clause and the stabilisation mechanism for bananas of the Trade Agreement between the European Union and its 
Member States, of the one part, and Colombia and Peru, of the other part as amended by Regulation (EU) 2017/540 of the 
European Parliament and of the Council of 15 March 2017. 

40 

 
 
 
 
 
respecting  the  EU’s  international  obligations,  maintaining  a  stable  relationship  with  all  EU 
trading partners and meeting the steadily increasing levels of EU consumption.  

2022/2023 imports of fresh bananas into the EU  

2022 Total 
imports  

2023 Total 
imports  

Variation 

(1.000 tonnes) 

(1.000 tonnes) 

2023 vs. 2022 

1 208 

1 426 

81 

2 715 

1 163 

1 592 

80 

2 835 

-3.7% 

+11.7% 

-1.5% 

+4.4%  

Country 

Colombia  

Ecuador  

Peru  

Total 

As the above table shows, in 2023 EU imports of fresh bananas from Colombia amounted to 1 
163 thousand tonnes, 3.7 % less than in previous year. Ecuador exported 1 592 thousand tonnes 
of fresh bananas to the EU a roughly 11.7 % more than the previous year. Peru exported 80 
thousand tonnes of fresh bananas to the EU a roughly 1.5% below to previous year.  

3.2   Ex post evaluation of the EU-Andean FTA 

The Commission’s Staff Working Document34 concluding the ex-post evaluation of the EU’s 
FTAs with the Andean partners (Colombia/Peru/Ecuador) was published in October 2023. 
Based on the findings of these ex-post evaluation and Staff Working Documents conclusions 
the EU will consider possibility of a targeted update of the  Agreement in line with its trade 
policy objectives, particularly in the area of trade and sustainable development.  

34 See DG TRADE website, ex-post evaluation page link: https://policy.trade.ec.europa.eu/analysis-and-
assessment/ex-post-evaluations_en  

41 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF PART IV OF 
THE ASSOCIATION AGREEMENT BETWEEN THE EU AND ITS MEMBER 
STATES AND CENTRAL AMERICA 

1. 

THE AGREEMENT 

The  Association  Agreement  between  the  EU  and  its  Member  States,  on  the  one  hand,  and 
Central  America,  on  the  other  (hereinafter  referred  to  as  the  "Association  Agreement")  was 
signed on 29 June 2012. 2023 marked the 11th Anniversary of its signature. The trade pillar 
(Part IV) of the Association Agreement (hereinafter referred to as the “Trade Agreement") has 
been provisionally applied for almost eleven years, i.e. since 1 August 2013 with Honduras, 
Nicaragua and Panama, since 1 October 2013 with Costa Rica and El Salvador, and since 1 
December  2013  with  Guatemala.  On 17  January  2024,  the  ratification  procedures  of  the 
association agreement by Member States were finalised. On 12 April 2024, the Council adopted 
a decision to conclude the agreement establishing an association between the European Union 
and its Member States, on the one hand, and Central America on the other.  The EU-Central 
America Association Agreement entered into full application on 1 May 2024. 

The  Trade  Agreement  is  in  a  process  of  amendment  through  the  signature  of  a  Protocol  of 
Croatia’s Accession to the Association Agreement. The Protocol was signed on 26 November 
2020, opening the way for a process of ratification by the parties. The EU ratified the Protocol 
in  July  2021,  and  Central  American  countries  are  also  advancing  well  in  this  process  (El 
Salvador, Guatemala and Nicaragua ratified the protocol in 2022).  

The Association Agreement with Central America is a regional agreement, characterised by 
its  comprehensive  nature  and  a  high  level  of  ambition.  During  the  eleven  years  of  its 
application, the Trade Agreement has worked well, it has contributed towards the stability and 
predictability of the trade and investment environment, thus promoting the expansion of export-
oriented trade, both in terms of operators and in terms of the number of products. Eleven years 
after its implementation, the Agreement still offers useful tools for trade and so is relevant in 
responding to the current needs and issues of both Parties. The Agreement has reached a certain 
level of maturity, the process of liberalisation has now largely been achieved, and dialogue is 
regular and active, rendering the Agreement fully relevant.  

The  Association  Committee  and 
implementation of the Agreement35. 

its  six  specialised  Subcommittees  oversee 

the 

35  The  Agreement  establishes  six  specialized  Subcommittees:  Market  Access;  Agriculture;  Customs,  Trade 
Facilitation and Rules of Origin; Technical Obstacles to Trade; Sanitary and Phytosanitary Measures; Government 
Procurement; Intellectual Property; and Trade and Sustainable Development.  

42 

 
 
 
 
 
 
 
2. 

MAIN IMPLEMENTATION ISSUES 

2.1    Market Access: Progress and outstanding issues 

2023,  more  generally,  saw  more  open  and  solution-oriented  discussions  with  Central 
American partners regarding concrete implementation gaps, challenges, and opportunities, in 
specific  countries/regions/sectors.  In  particular,  the  ex-post  evaluation  (Commission  staff 
working  document  published  in  June  2023)  helped  spark  constructive  exchanges.  The 
Association Committee met on 29 June 2023 at senior official level in El Salvador.  

In 2023, progress was registered including on the following issues:  

•  The  10%  tax  discrimination  applied  by  Costa  Rica  on  EU  imported  beers  was 
terminated with the entry into force of a law on 15 February 2023, putting an end to this 
longstanding barrier.   

•  On Sanitary and Phytosanitary Measures, Central American countries confirmed the 
application  of  the  regionalisation  principle.  Discussion  on  the  “born  and  raised” 
clauses in export certificates resulted in Costa Rica and Guatemala eliminating these 
clauses, but talks with the other Central American countries could not be concluded. 
Following  an  application  from  Costa  Rica  to  include  cassava  (yuca)  among  fresh 
vegetables to which additives can be used, the EU is in the process of evaluating the 
situation with EU Member States, according to the EU Regulation (EC) 1333/2008.  

•  On Public Procurement, the secretariat for economic integration in Central America 
(SIECA) reported on progress made on the functioning of a single point of access for 
procurement  notices  in  the  region,  where  Costa  Rica,  El  Salvador,  Guatemala  and 
Panama indicated they will link their national procurement portals to the single point of 
access.  The  portal  provides  information  about  the  value  of  public  tenders  in  Central 
American countries.  

The Commission continued to engage with Central America on the following issues: 

•  On Intellectual Property Rights, the Commission continued to engage with Central 
American authorities to enhance enforcement of all 116 EU GIs protected and to achieve 
effective protection of the term “Parmigiano Reggiano” in Guatemala. The Commission 
also engaged with Central American authorities on counterfeighting and application of 
trademark rights in the region. 

•  On Customs, Trade Facilitation and Rules of Origin, the parties updated each other 
on  relevant  developments  in  their  respective  customs  legislation  and  procedures. 
Discussing continued on how to improve the rules on direct transport.  

43 

 
 
 
 
 
 
 
 
 
The EU side continued to raise a number of outstanding issues with Central American partners:  

•  Discussions with Guatemala and El Salvador continued at the Association Committee 
to see how to replace the 15% tuna tolerance rule, which appeared to be inapplicable 
by a possible increase of non-originated tuna quota. Technical meetings continued in 
the fall of 2023 and January 2024 in view of finding a possible solution during the next 
trade association committee.  

• 

In  Panama,  several  Member  States’  export  applications  for  meat  products  are 
pending since 2016. Delays are also reported in export applications of several Member 
States and in the publication of prelisting of EU establishments habilitated to export 
animal products notably in Panama. The setting up of a new Food Safety Agency in 
Panama in October 2021 has increased the uncertainty on the administrative process to 
register or update pre-approval  of EU establishement.  Bilateral  meetings at  technical 
level were held in December 2023, to clarify administrative processes, and explore way 
forward concerning pending applications.  

The following other aspects were discussed by the parties over the reporting period: 

•  On Market Access for Goods, Central American partners raised the management of 
Tariff Rate Quotas that the EU is applying to Central American exports of sugar and 
rum.  

•  On Technical Barriers to Trade, in respect of Annex XX of the Agreement (requiring 
the adoptions of harmonised regional technical standards by Central America), those 
relating  to  pesticides  are  still  outstanding  due  to  lack  of  consensus  at  policy  level. 
Central America agreed to provide further details in writing on the state of play.  

2.2 

Trade and sustainable development: Progress and outstanding issues 

The  implementation  of  the  Trade  and  Sustainable  Development  (TSD)  Title  of  the 
Association Agreement continued in 2023 in line with the priority issues established for each 
partner country.  

The discussion at the TSD Board meeting- which took place on 26 and 27 June 2023 – was 
informed by an update on the EU trade and sustainable development policy related to the June 
2022  Communication  on  the  TSD  review.  The  Parties  noted  that  most  of  the  priorities  and 
actions resulting from that review are already being reflected in the work of the Board. The EU 
also  highlighted  the  importance  of  continuing  to  support  and  strengthen  the  work  with  the 
Domestic  Advisory  Groups  (DAGs),  including  exchanges  between  DAGs.  The  broader 
discussion at the TSD Board meeting continued to focus on the labour dimension of the TSD 
Title, where particular challenges exist in Central America. Preparatory bilateral meetings were 
held  between  the  Central  American  countries  and  the  EU,  with  the  objective  of  presenting 
progress,  challenges  and  issues  of  interest  related  to  the  implementation  of  the  labor 

44 

 
 
 
 
 
 
commitments. Priority issues discussed with all six partners included freedom of association 
and collective bargaining, social dialogue, child labour and forced labour.  The EU also 
reiterated  its  concerns,  notably  regarding  violence  against  trade  unionists  in  Guatemala  and 
Nicaragua, suggesting further bilateral exchanges on key labour issues.  

Initiatives in 2023 related to the implementation of the TSD chapter, featuring inter alia Costa 
Rica which informed about its recent accession to the Global Trade and Gender Arrangement 
(GTAGA).  

On  the  environment,  the  EU  and  Central  America  presented  their  recent  actions  and 
achievements,  notably  regarding  progress  made  in  the  implementation  of  Multilateral 
Environmental  Agreements  and  in  the  ecological  transition  through  circular  economy 
approaches. The EU stressed that the Mesoamerican forests play a vital role in the preservation 
of  land,  expressing  concerns  regarding  signs  of  deforestation.  At  the  request  of  Central 
America, the EU presented the EU Regulation on Deforestation-free Products and the Carbon 
Border Adjustment Mechanism. 

As  regards  cooperation  and  technical  assistance,  the  EU  provided  information  on  the 
EUROCLIMA+ Program, which aims to promote the climate agenda with a focus on sectors 
such as forests, energy, water, disaster risks, and human mobility. EUROCLIMA+ actions are 
implemented by the Program's executing agencies, and all Central American countries. Besides, 
a future regional projects to support the implementation of the EU Regulation on Deforestation-
Free  Products  was  presented:  The  Restorative  Production  and  Deforestation-Free  Supply 
Chains in the Five Great Forests of Mesoamerica project. Its objective is to implement joint 
measures between the public and private sectors to promote the restoration of forest landscapes 
and deforestation-free land use. As for the Deforestation-free coffee project, it was mentioned 
that it is an initiative to be executed in the six countries of the Central  American Economic 
Integration Subsystem. Expected project outcomes include strengthened regional institutional 
capacity for facilitating traceability and sustainability regulations in the coffee sector.   

The  Commission  continued  its  frequent  interactions  with  the  EU  DAG,  encouraging  DAG 
members to provide timely and substantiated input on labour or environmental challenges or 
implementation gaps in Central America. A joint declaration was submitted by the EU and 
Central  American  DAGs  with  recommendations  about  future  TSD  work  under  the 
Agreement. The Parties welcomed the joint work conducted by the DAGs and encouraged them 
to continue in this vein. In an effort to further deepen cooperation, the Commission invited the 
members of the EU DAG to a debrief meeting immediately after the end of the TSD Board 
meeting, before the Civil Society Dialogue Forum that took place on the following day.  

45 

 
 
 
 
 
 
3. 

ACTIVITIES SUBJECT TO SPECIFIC MONITORING AND SPECIFIC 

AREAS OF IMPORTANCE 

3.1 

Banana imports from Central America 

Since the entry into force of the agreement, the absolute volume (from 797.000 tonnes in 2012 
to 1.456.000 tonnes in 2019) as well as the market share of bananas (from 18,8% in 2012 to 
26,3% in 2019) imported from Central America to the EU has increased, thereby, contributing 
to diversify supply to the growing EU banana market.  

Article 15 of Regulation (EU) No 20/201336 (the ‘Regulation’) provides for the stabilisation 
mechanism for fresh bananas (HS code 08 03 90 10). This stabilisation mechanism ended by 
the end of 2019. In this context, and in accordance with Articles 3 and 13 of Regulation 19/2013, 
the Commission continues to monitor with particular attention the evolution of imports of fresh 
bananas from Central America. A comprehensive report on the functioning of the EU banana 
market after the expiry of the stabilisation mechanism was presented by the Commission on 29 
August  2022.  This  report  confirms  that  EU  trade  policy  struck  the  right  balance  between 
different  objectives  by  respecting  the  EU’s  international  obligations,  maintaining  a  stable 
relationship  with  all  EU  trading  partners  and  meeting  the  steadily  increasing  levels  of  EU 
consumption.  

Customs Tariffs have stabilised to 75 euros/ton since 1 January 2020. In 2023, EU imports of 
fresh  bananas  from  Central  America  -by  volume-  amounted  to  1,395  million  tons,  a  small 
increase of only 3% when compared to export volumes in 2022 (1,356 million). No issues on 
price fluctuations were reported in the EU market. 

2022/2023 imports of fresh bananas37 

Country 

2022 Total 
imports (tons) 

2023 Total imports 
(tons) 

Variation 2023 vs. 2022 

Costa Rica 

        1 056 623  

         1 041 089 

Panama 

           180 657  

           156 981 

Guatemala 

           172 539 

           213 749 

Total 

1 409 819 

1 411 819 

-1.5% 

-13.1% 

23.9% 

0.1% 

36 Regulation (EU) No 20/2013 of the European Parliament and of the Council of 15 January 2013 implementing the bilateral 
safeguard  clause  and  the  stabilisation  mechanism  for  bananas  of  the  Agreement  establishing  an  Association  between  the 
European Union and its Member States, on the one hand, and Central America on the other, of the other part as amended by 
Regulation (EU) 2017/540 of the European Parliament and of the Council of 15 March 2017.  

37 Statistics refer to the EU27   

46 

 
 
 
 
 
3.2 

Ex-post evaluation of the trade pillar of the EU-Central America Association 
Agreement 

An ex post evaluation  of the implementation  of the Trade Agreement between the EU  and 
Central America has been being carried out from December 2020 until September 2022. The 
Commission/DG  TRADE’s  assessment  was  included  in  a  Staff  working  document38, 
published on 20 June 2023.  

38 See DG TRADE website, ex-post evaluation page link: https://policy.trade.ec.europa.eu/analysis-and-
assessment/ex-post-evaluations_en  

47 

 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE TRADE 
PILLAR OF THE ASSOCIATION AGREEMENT BETWEEN THE EU AND CHILE 

1. 

THE AGREEMENT 

Trade  between  the  EU  and  Chile  currently  operates  under  the  framework  of  the  EU-Chile 
Association Agreement (hereinafter ‘the Agreement’), which includes a comprehensive Free 
Trade Agreement along with a political and a cooperation pillar. The Agreement entered into 
force  in  2003  and  was  the  first  EU  bilateral  agreement  subject  to  an  ex-post  evaluation, 
conducted in 2016.39 The Agreement has worked well overall, as illustrated by the doubling of 
bilateral trade since its entry into force. A Commission impact assessment carried out in 2017 
pointed at the need to modernise it, so as to adapt it to the new realities of global trade and 
investment, lifting it to the level of the more modern agreements that both the EU and Chile 
had  concluded  in  the  Americas  and  beyond,  notably  by  complementing  it  with  standard 
provisions enshrined in the latest version of deep and comprehensive trade agreements. 

On 9 December 2022 the EU and Chile reached the political conclusion of the modernisation 
of  the  existing  Agreement.  The  modernisation  foresees  two  parallel  legal  instruments:  the 
Advanced Framework Agreement, that includes a) the Political and Cooperation pillar and 
b)  the  Trade  and  Investment  pillar  (inclusive  of  investment  protection  provisions);  and  the 
Interim Trade Agreement (ITA) covering trade and investment liberalisation. The ITA will 
expire when the Advanced Framework Agreement enters into force.  

The  EU  and  Chile  signed  the  Advanced  Framework  Agreement  and  the  Interim  Trade 
Agreement  on  13  December  2023  and  the  European  Parliament  gave  its  consent  to  the  two 
Agreements on 29 February 2024. The Council of the EU adopted the Decisions to conclude 
the agreements on 18 March 2024. The ITA will come into force (and parts of the AFA into 
provisional  application)  on  the  1st  day  of  the  third  month  after  the  last  party  deposits  its 
instrument of ratification. Hence, the date of entry into force crucially depends only on Chile’s 
ratification process. The Agreements were submitted to Chile’s Congress on 29 May, which 
launched the ratification process. According to the tentative calendar of this process, Chile may 
ratify  before  the  end  of  the  year  and  the  Agreements  may  come  into  force/provisional 
application in early 2025. 

In addition to a further liberalisation of trade in agriculture under reorganised conditions, public 
procurement,  services  and  investment,  the  modernised  Agreement  includes  modernised 
rules of origin and customs and trade facilitation provisions, ambitious commitments on IPR 
(including the protection of EU Geographical Indications for foodstuff) and non-tariff barriers, 
state-of-the-art investment protection provisions (including an Investment Court System), and 
a  chapter  on  Trade  and  Sustainable  Development.  It  also  contains  strong  provisions  on 
sustainability and energy & raw materials, which will help contribute to the green transition, as 

39 https://trade.ec.europa.eu/doclib/docs/2012/august/tradoc_149881.pdf  

48 

 
 
 
 
 
well  as  an  ambitious  chapter  on  SMEs  and,  for  the  first  time  in  a  bilateral  EU  agreement, 
separate chapters on trade and gender and on sustainable food systems.  

2. 

MAIN IMPLEMENTATION ISSUES 

In 2023, the implementation of the current agreement in force took place smoothly. There were 
no new trade barriers or irritants. In the meanwhile, little progress was made on the existing 
longstanding  market  access  barriers  imposed  by  Chile,  although  it  is  expected  that  the  new 
agreement will help to address these, at least to some extent:  

•  Technical work continued on the implementation of the Action Plan agreed on the last 

Committee on SPS measures held in July 2022.  

•  Also, the EU-Chile wines and spirits agreement, whose lists of products were recently 
updated, and the EU Chile reciprocal agreement on mutual recognition of organic 
certifications of a number of food items continued to apply.  

• 

It  is  worth  noting  that  the  EU  exports  more  cheese  to  far-away  Chile  than  to 
neighbouring  Norway,  and  Chile  had  a  strong  participation  in  the  “EU  -  Latin 
America  and  the  Caribbean  Dialogue  on  Sustainable  Agriculture  and  Food 
Systems” held in Brussels in October 2023.   

•  The 2nd meeting of the Joint Management Committee of the EU-Chile Agreement on 

organic products was held on 26 April 2023. 

Throughout  2023,  the  EU  Delegation  had  contacts  with  the  Regulatory  Department  of  the 
Ministry  of  Foreign  Affairs,  covering  both  SPS  and  TBT  issues,  as  well  as  with  sectorial 
Ministries  on  some  of  the  outstanding  barriers  (e.g.  Ministry  of  Public  Works  on  public 
procurement). 

Once  the  Interim  Free  Trade  Agreement  will  start  to  apply,  the  trade  and  investment 
liberalisation provisions of the EU-Chile Advanced Framework Agreement are expected to 
contribute to solving some of the existing barriers, including in the following areas:  

IPR 

The  new  Agreement  will  lay  down  rules  on  the  protection  of  regulatory  data  related  to 
pharmaceutical and agro-chemical products. These rules feature a higher level of protection 
than  that  of  Article  39.3  of  the  TRIPS  Agreement  and  approximate  Chilean  law  to  the  EU 
standards. Consequently, the new Agreement aims to improve the level and term of protection 
of regulatory data and remove existing legal uncertainty about the scope and conditions for that 
protection. Moreover, the provisions on cooperation in the Agreement will give the EU another 
forum to discuss the identified issues bilaterally with Chile.  

49 

 
 
 
 
 
 
 
 
 
 
 
  
Another barrier in the IPR field that will be partially solved or at least alleviated concerns the 
enforcement of copyright and related rights in the internet to tackle online piracy. The new 
Agreement  aims  to  increase  the  standards  of  the  enforcement  measures  available  for  right 
holders in Chile, approximating them to those available in the EU. These standards include the 
rules on the legal protection of technological measures and of rights management information. 
They also include effective, proportionate and dissuasive enforcement remedies, including on 
the possibility of issue injunctions against third parties (intermediaries) whose services are used 
to  infringe  an  intellectual  property  right,  aimed  at  prohibiting  the  continuation  of  the 
infringement. 

Wine and spirits agreement (annex IV and V of the existing EU-Chile Agreement) 

On  9  March  2023,  the  modified  agreement  on  the  protection  of  terms  for  wines  and  spirits 
(annex IV and V of the current Agreement) came into effect. These updated agreements aim to 
enhance bilateral trade in these products and play a significant role in agricultural trade for both 
the EU and Chile, which are both major global wine exporters. By modernising the agreements, 
the list of protected terms has been updated and it becomes easier to revise them in the future 
to ensure they align with any changes in the protected conditions of wines, aromatised wines, 
and spirits in both Chile and the EU, including respective oenological practises. 

Public procurement 

In  the  area  of  public  procurement,  the  Interim  Free  Trade  Agreement  and  the  EU-Chile 
Advanced  Framework  Agreement,  will  establish  rules  aimed  at  more  transparency,  non-
discrimination  and  fairness  in  public  procurement  procedures,  and  an  increased  use  of 
electronic  procurement.  This  will  help  to  address  requirements  currently  imposed  by  Chile, 
mostly for tenders run by the Ministry of Public Works, on local presence and local experience. 
In  addition,  Chile  imposes  designs  and  technical  specifications  that  are  an  obstacle  for  EU 
companies,  especially  for  newcomers,  and  applies  excessively  short  deadlines  for  the 
submission of offers. The new Agreement will introduce further disciplines, notably with regard 
to the  use  of  objective  and  non-discriminatory  criteria  in  determining  the  conditions  for 
participation to tender procedures (including in relation to the criteria of experience in previous 
projects).  

TBT 

The provisions of TBT chapter of the Interim Trade Agreement and the EU-Chile Advanced 
Framework  Agreement  are  also  likely  to  mitigate  several  trade  barriers  that  EU  business 
continues to face in Chile:  

•  For example, imports of hygiene products and cosmetics from the EU presently suffer 
from  burdensome  administrative  procedures,  such  as  the  cost  experienced  by  EU 
industry for the registration of products and the short duration of the registration. The 
TBT  Chapter  of  the  modernised  Agreement  inter  alia  provides  for  the  selection  of 

50 

 
 
 
 
 
conformity assessment procedures proportionate to the risk of the products, disciplines 
on fees and cooperation on facilitation of acceptance of conformity assessment results.  

•  Furthermore, imports of EU electronic and fuel burning products are subject to a 
burdensome two-step certification procedure. Certificates or tests carried out in the 
origin country, although valid in Chile, must be completed with tests in Chile which 
increase  the  cost  for  importing  goods.  This  requirement  also  applies  for  products 
certified in their country of origin by internationally recognised laboratories and which 
are  based  on  international  standards,  except  if  a  bilateral  agreement  with  a  Chilean 
laboratory exists. The provisions on recognition of EU certificates in the TBT Chapter 
of the new Agreement will help to partially solve this issue.  

•  Another example where the TBT chapter of the new Agreement will help to solve the 
barrier is in the area of food safety, where Chile prohibits the use of potato starch in 
processed meat products. This practice does not appear to be in line with the CODEX 
Alimentarius, which allows for the utilisation of a certain percentage of potato starch in 
processed meat products. The barrier affects cold cut products and it is considered both 
by the EU and Chile as a technical regulation and not as a sanitary issue. The provision 
of  the  TBT  Chapter  of  the  new  Agreement  includes  the  CODEX  Alimentarius 
Commission into the list of organisations that develop relevant international standards.  

3. 

ACTIVITIES OF SPECIFIC MONITORING AND RELEVANCE IN 2023 

In 2023, monitoring activities continued to follow closely the procedure concerning requests 
for  registration  of  several  trademarks  that,  if  registered,  would  be  in  conflict  with 
Geographical Indications of EU cheeses and a meat product that Chile has agreed to protect 
under the Interim Trade Agreement/Advanced Framework Agreement.  

In the wind energy sector, the EU Delegation in Santiago de Chile continued its contacts with 
the relevant Chilean authorities on a problem raised by Member States: namely, delays caused 
by the need for police custody for the transport of oversized elements, such as wind energy 
blades. An inter-ministerial solution was found. A new regulation establishes that a third party 
may take charge of the custody, after the police had examined the case. The new regulation 
needs still to be implemented in practice.  

In 2023, several non-conventional renewable energy companies, exclusively solar and/or wind 
from several EU Member States continued to face financial difficulties. The EU Delegation in 
Santiago de Chile undertook several demarches, including on the occasion of high-level visits 
by the EU to Chile, and vice-versa. Meanwhile Chile has launched an energy transition bill, 
which includes norms on transmission, storage and some tariff revenues adjustments. The draft 
bill is still in legislative process. If the bill were to be approved, it would offer some relief as a 
solution avoiding massive bankruptcies needs to be found. At the same time the bill would also 

51 

 
 
 
 
 
 
 
 
ensure  Chile  continues  to  be  attractive  for  foreign  investors,  especially  in  the  sector  of 
renewable hydrogen.  

In 2023, through its regional cooperation programmes, the EU supported Chile’s move towards 
a  more  sustainable  and  environmentally  friendly  economy,  including  the  Mineral 
Development Platform on sustainable mining, the fight against Antimicrobial Resistance, the 
promotion  of  Responsible  Business  Conduct  and  the  adoption  of  Low  Carbon  and  Circular 
Economy business actions, all regional actions. 

A new Chile-only project, launched by the Commission in 202240, aimed at supporting fair 
and  sustainable  trade  between  the  EU  and  Chile,  was  successfully  implemented  in  2023.  It 
helped to highlight the role of trade to support environmental and social goals.  

In 2023, the EU Delegation in Santiago de Chile also undertook several demarches in relation 
to the increased difficulty in obtaining permits and overcoming red tape for investment.  

40 https://eurochile.cl/es/documents/proyecto-comercio-justo-y-sostenible-entre-la-union-europea-y-chile/  

52 

 
 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE TRADE 
PILLAR OF THE EU-MEXICO GLOBAL AGREEMENT 

1. 

THE AGREEMENT 

Mexico (after Brazil) is the EU’s second biggest trading partner in Latin America today, and 
was the first country in Latin America to sign an Economic Partnership, Political Coordination 
and Cooperation Agreement with the EU (‘Global Agreement’). The Global Agreement was 
signed in 1997 and its trade provisions were later developed into a comprehensive Free Trade 
Agreement that entered into force in March 2000 for goods and in February 2001 for services 
(hereinafter called ‘the FTA’)41.  

In order to  adapt  the Global  Agreement to  the new realities of global trade and investment, 
negotiations on a modernisation of the FTA were launched in 2016. On 21 April 2018, after 
nine rounds of negotiations, an ‘agreement in principle’ was reached on the trade part outlining 
the numerous improvements to the legal framework of EU-Mexico bilateral trade relations. On 
28 April 2020 the European Union and Mexico  agreed on the exact  scope of the reciprocal 
opening  of  public  procurement  markets  at  subcentral  level  and  ensuring  predictability  and 
transparency in public procurement processes. Discussions on a few outstanding issues have 
been ongoing since then.  

This modernisation will set a new and modern framework for EU-Mexico bilateral trade and 
investment relations on the basis of reciprocity and will promote new opportunities for business, 
while including strong and clear commitments on trade and sustainable development (TSD), 
which are missing in the current FTA.  

2. 

MAIN IMPLEMENTATION ISSUES 

In 2023, the parties continued to engage in discussions to address outstanding issues/trade 
barriers, such as in the area of Sanitary and Phitosanitary measures (SPS), Customs, Standards 
and Technical Regulations, Intellectual Property matters and Government Procurement. Many 
of these issues are expected to be addressed by the modernised FTA once it enters into force. 

In the area of SPS, the Parties continued to engage in technical discussions on the following 
outstanding issues affecting EU exports: 

•  Non application of “pre-listing” 42 for EU export of products of animal origin. The EU 
applies the prelisting principle to Mexico, however Mexico does not reprocicate and 
continues to inspect every meat establishment before granting any export approval.  

41 The trade pillar was expanded by two decisions of the Joint Council: Decision No 2/2000 of the EC-Mexico Joint Council 
of 23 March 2000 related to trade in goods and Decision No 2/2001 of the EU-Mexico Joint Council of 27 February 2001 on 
trade in services. 
42 To be authorised to export a certain commodity to the European Union, an exporting country should 
demonstrate that its controls meet the EU requirements. If the exporting country's competent authority sees that 
an establishment meets the relevant EU import conditions, it can place the establishment on a list (often termed a 
"pre-list") of exporting establishments that meet relevant EU conditions. 

53 

 
 
 
 
 
 
•  Non-recognition of the EU regionalization measures for African Swine Fever (ASF) 
and for Highly Pathogenic Avian Influenza (HPAI) in several Member States. 

•  Delaying market access applications for fruits and vegetables, and failure to process 

the pending applications from EU Member States to export pig meat and poultry meat. 

In addition, the EU raised two new concerns: 

•  The  requirement  of  post-mortem  veterinary  inspection  on  the  basis  of  the  Mexican 
norm from 1994. The EU indicated that the requirement does not appear to be in line 
with  the  FTA  nor  the  harmonised  certificate  from  2016.  Mexico  informed  of  its 
intention  to  update  the  1994  legislation,  but  meanwhile  the  1994  legislation  would 
apply; 

•  problems  encountered  by  operators  due  to  the  lack  of  acceptance  by  Mexico  of 
harmonised certificates using TRACES NT following the migration to the new system. 

Regarding technical barriers to trade, at the Special Committee on Standards and Technical 
Regulations the EU underlined its concerns about cumbersome compliance with certification 
requirements for EU parts and components causing delays in EU imports into Mexico. More 
specifically,  on    the  import  of  seat  belts  as  spare  parts,  the  EU  is  asking  Mexico  to  modify  
NOM-119-SCFI-2000 in order to accept UN type approval certificates as equivalent to Mexican 
certificates. The EU also requested an update on (i) draft Conformity Assessment Procedure of 
NOM-223, related to specifications and test methods for cheeses; (ii) labelling requirements for 
textiles and ceramics; and (iii) draft Mexican Official Standard PROY-NOM-241-SSA1-2018, 
related to Good manufacturing practices for medical devices. 

Regarding  government  procurement,  during  the  Special  Committee  on  Government 
Procurement, Mexico informed that as of 2023 it will end the agreement with UNOPS (United 
Nations Office for Project Services), in relation to medicines acquisition for the public health 
sector.  In the light  of previously  voiced concerns on the transparency requirements of those 
processes,  the  EU  side  will  be  following  this  development  closely  and  its  impact  on 
transparency in the Mexican pharmaceutical procurement market.  

The EU and Mexico continued their cooperation on intellectual property, in particular through 
the  Special  Committee  on  Intellectual  Property  Matters,  which  met  in  October  2022.  The 
meeting included a discussion on the state of play of intellectual property rights protection in 
Mexico, highlighting the reforms to the Copyright Law, the Civil Code and the new Federal 
Law for the Protection of Industrial Property (LFPPI), which fully implement the commitments 
made  by  Mexico  in  its  recent  trade  agreements.  The  EU  referred  to  the  persistent  concerns 
expressed  by  EU  companies  operating  in  Mexico  about  the  ineffective  enforcement  of 
intellectual  property  rights  in  the  country,  including  at  the  border  and  both  online  and  in 
physical marketplaces. These concerns, summarised in the 2023 Report on the protection and 
enforcement of intellectual property rights in third countries,43 have led EU stakeholders to call 

43 https://circabc.europa.eu/rest/download/7099aee0-c68f-42c5-ae30-5350a879a30e 

54 

 
 
 
 
 
 
for a national anti-piracy plan to address the main challenges posed by counterfeiting and piracy 
and to coordinate law enforcement actions at federal, state and local level.  

The  EU  and  Mexico  committed  to  using  technical  cooperation  as  a  tool  to  ensure  effective 
protection of intellectual property rights in accordance with the highest international standards, 
including effective means to enforce such rights. IP Key Latin America44 remained in 2022 
the  main  technical  cooperation  programme  on  intellectual  property  between  the  EU  and 
Mexico, featuring a number of activities aimed at addressing some of the identified challenges 
in the area of intellectual property (e.g. symposium for judges, seminar on border enforcement, 
conference on geographical indications, etc.).  

In the area of customs matters, both parties continued dialogue on Rules of Origin, Customs 
Cooperation and Trade Facilitation and Mutual Administrative Assistance. During the Special 
Committee  on  Customs  Cooperation,  the  EU  expressed  concerns  regarding  the  increase  in 
clearance times in a number of ports further to the setup of the new National Customs Agency. 

In the framework of the EU project on responsible business conduct45, Mexican authorities, 
private  business  and  stakeholders  continued  cooperation  activities  aimed  at  supporting 
responsible business conduct practices in line with the UN, ILO and OECD instruments. The 
project will feed into the implementation of the future TSD Chapter under the modernised EU-
Mexico Agreement, once it enters into force. 

44 Latin America | IPKEY 
45 The project is implemented together with the International Labour Organization (ILO), the Organization  for 
Economic Co-operation and Development (OECD), and the United Nations Office of the High Commissioner for 
Human Rights (OHCHR). 

55 

 
 
 
 
 
 
 
PART III: EU NEIGHBOURING COUNTRIES  

56 

 
 
 
 
 
 
 
 
 
 
Mediterranean and Middle East countries –  

Free Trade Areas 

57 

 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ECONOMIC PARTNERSHIP AGREEMENT BETWEEN THE EU AND ALGERIA 

1. 

THE AGREEMENT 

The EU and Algeria established a Free Trade Area (FTA) under the EU-Algeria Association 
Agreement, signed in 2002, which entered into force on 1 September 2005 (hereinafter called 
‘the Agreement’). The Agreement provides for a reciprocal liberalisation of trade in goods, with 
elements  of  asymmetry  in  favour  of Algeria,  such  as  a  12-years  transitional  period  for 
dismantling tariffs for industrial goods and a selective liberalisation on agriculture. In 2012, the 
EU and Algeria agreed to review the timetable for tariff dismantling set forth in the Agreement 
for  certain  products  (steel,  textile,  electronics,  and  automobiles),  extending  the  transitional 
period from 12 to 15 years.  

Market opening for agricultural products so far only concerns a limited number of tariff lines, 
which are subject to either full liberalisation, Tariff Rate Quotas (TRQ) or a reduction of Most 
Favoured Nation (MFN) rates respectively, for both Parties. The agreement does not include a 
specific  Dispute  Settlement  Protocol,  but only  general  provisions  on  dispute  settlement, 
allowing a Party to refer the matter to the EU-Algeria Association Council in accordance with 
Article 100 of the Association Agreement. This process has been initiated twice by the EU side, 
first in June 2020 and second in March 2024 (see further information in section 2 below).  

Algeria is a member of the Regional Convention on pan-Euro-Mediterranean preferential 
rules of origin, which it signed in 2012 and notified the EU of ratification on 27 January 2017.    

Algeria started  negotiating  its  accession  to  the  WTO  in  1987.  The  EU  continues  to 
support Algeria’s efforts but the negotiation process with the Accession Working Party remains 
stalled since 2014.   

2. 

MAIN IMPLEMENTATION ISSUES 

Dispute Settlement Procedures against Algeria: Several trade restrictive measures 

On 24 June 2020, the EU initiated a dispute settlement case against Algeria under the EU-
Algeria Association Agreement challenging five measures (illegal safeguard duties, import ban 
on cars, import licensing scheme, custom duties on 129 products and payment restrictions in 
the  maritime  transport  sector).  As  a  result  of  the  EU’s  efforts  to  find  a  negotiated  solution 
during consultations, three of the five measures challenged have been removed (customs duties, 
illegal  safeguard  duties,  and  payment  restrictions).  Nevertheless,  Algeria  has  kept  imposing 
new  trade  measures,  which  have  substantially  changed  the  trade  and  investment  regime  in 
Algeria to be more restrictive.  

On 14 June 2024, the EU launched another dispute settlement case against Algeria under the 
EU-Algeria  Association  Agreement  and requested consultations with  Algerian authorities to 
address  several  restrictions  imposed  on  EU  exports  and  investments,  including  an  import 

58 

 
 
 
 
  
 
 
licensing  system  with  the  effects  of  an  import  ban;  subsidies  contingent  on  the  use  of  local 
inputs for car manufacturing; a cap on foreign ownership for companies importing goods in 
Algeria  and  an  import  ban  for  ceramics  and  marble.  By  imposing  these  trade  restrictive 
measures  since 2021, Algeria in  the view of the  EU is  not  respecting its trade liberalisation 
commitments under the EU-Algeria Association Agreement.    

In addition, Algeria continues to apply sectoral and horizontal measures restricting trade 
and investment and, such as: 

•  EU companies experience non-acceptance of preferential origin statement in Algeria 

(EUR1 certificate). 

• 

In June 2022, Algeria blocked all trade with Spain, including imports of Spanish 
agricultural products. 

•  New halal measures entered into force in June 2023 without prior notice. The new halal 
certification  regime  is  restrictive  and  requires  a  certificate  for  each  consignment 
subject to an additional fee.   

59 

 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-
EGYPT ASSOCIATION AGREEMENT 

1. 

THE AGREEMENT 

The EU and Egypt established a free trade area (FTA) as part of the EU-Egypt Association 
Agreement (AA), signed in 2001 (hereinafter referred to as ‘the Agreement’).  The AA was 
signed on 25 June 2001 and entered into force on 1 July 2004.  It provides for the reciprocal 
liberalisation of trade in goods, with elements of asymmetry in favour of Egypt.  

In  October  2008,  the  EU  and  Egypt  signed  an  Agreement  providing  for  liberalisation  in 
agricultural, processed agricultural and fisheries goods, which entered into force on 1 June 
2010 and extended the list of agricultural products covered by the original Agreement.  

In  November  2010,  the  EU  and  Egypt  signed  a  Protocol  establishing  a  Dispute  Settlement 
Mechanism (DSM) for which Egypt’s ratification process is still pending. 

Egypt also signed the Regional Convention on pan-Euro-Mediterranean preferential rules 
of  origin  on  9  October  2013  and  notified  it  on  23  April  2014.  The  main  objective  of  the 
Convention is to define common rules of origin in the PEM area. On 7 December 2023, the 
country voted in favour of the revision of this PEM Convention that modernises the rules of 
origin.  The revised Convention  will enter into force on 1 January 2025. 

In November 2011, the Commission received a Council mandate authorising it to negotiate a 
Deep and Comprehensive Free Trade Area (DCFTA) with Egypt. While interested in enhancing 
bilateral cooperation on trade and investment, Egypt has shown limited interest in a full-fledged 
DCFTA so far.  

Since  2020,  the  EU  and  Egypt  are  engaged  in  a  regular  trade  dialogue  on market  access 
challenges, focusing on enhancing the implementation of FTA commitments, elimination of 
trade irritants as well as improving transparency of the legal framework for business.  

In  March  2024  the  EU  and  Egypt  signed  a  Joint  Declaration  establishing  the  bilateral 
Strategic and Comprehensive Partnership. In this framework the EU and Egypt will enhance 
co-operation to fully implement and unleash the full potential of the bilateral Free Trade Area 
of the Association Agreement. The EU will also support Egypt's ongoing efforts to enhance its 
business  and investment environment  facilitating trade and investment  flows in  line with  its 
international obligations, in particular those in relation to the EU 

2023 continued to be a very challenging year for Egypt’s economy due to the macroeconomic 
effects caused by Russia’s war of aggression against Ukraine and the conflict in Gaza and Israel. 
Egypt continued to experience severe shortages of foreign currency making the importation of 
goods as well as the payment of dividends extremely difficult. In 2023, the Central Bank of 
Egypt  (CBE)  continued  its  exceptional  measures  of  allocating  foreign  exchange  reserves  to 
priority  imports  notably  food,  feed,  pharmaceuticals  and  industrial  inputs  albeit  all  these 
categories  still  experienced  delays  and  bottlenecks  at  customs  and  Egyptian  ports.  Other 
imports  –  e.g.  luxury  items  or  consumer  goods  such  as  motor  vehicles  –  show  significant 

60 

 
 
 
decreases.  Import  difficulties  continued  and  this  will  only  change  once  the  macroeconomic 
situation stabilises.  

2. 

MAIN IMPLEMENTATION ISSUES 

The  implementation  of  the  trade-related  provisions  of  the  Agreement  is  pursued  within  the 
framework  of  the  Association  Council,  the  Association  Committee,  and  the  various 
subcommitteesubcommittees,  including  the  SubcommitteeSubcommittee  on  Industry, 
Trade, Services and Investment. 

In  2023,  the  EU  and  Egypt  intensified  their  trade  dialogue  through  regular  technical 
consultations  to  further  remove  barriers  to  trade  affecting  businesses  and  investors,  thus 
building on progress achieved in 2022. While in 2023 there was no meeting of the EU-Egypt 
Subcommittee on Industry, Trade, Services and Investment (last one was on 18 October 
2022 in Cairo) various bilateral technical meetings on the implementation of the Agreement 
took  place.  Moreover,  the  Association  Committee  took  place  in  June  2023  (and  the 
Association  Council  in  January  2024).  The  meeting  focussed  on  discussing  trade  barriers 
currently affecting bilateral trade flows. Egypt confirmed its engagement to actively continue 
the  -  more  technical  -  trade  dialogues  in  parallel  to  the  Subcommittee  with  the  objective  of 
advancing the removal of outstanding trade irritants. 

(Partial) progress was achieved on a number of market access issues in 2023: 

•  The mandatory use of a Letter of Credit (L/C) as payment condition for almost all 

imports into the country was lifted as from 1 January 2023. 

•  The  Egyptian  authorities,  following  discussions  under  the  Association  Agreement, 
agreed to lift a 10% “development fee” from EU origin goods concerned. The import 
duties had been imposed by means of Regulation 31/2023 as part of a package of new 
taxes  affecting  several  products  of  EU  origin,  notably  fresh  and  dried  fruit.  The  fee 
discriminated  against  imported  fruits  and  did  not  apply  to  domestic  production  in 
contravention  of  the  Association  Agreement.  Given  the  urgency  of  this  matter,  the 
Commission services immediately engaged with the Egyptian authorities to address the 
concerns. The EU Delegation will continue to closely monitor the situation. 

•  The  EU  continues  to  monitor  the  functioning  of  the  registration  system  as  amended 
following  WTO  consultations  (WTO  dispute  against  Egypt:  DS609  –  Import 
Registration  Requirements),  which  now  seems  to  no  longer  pose  problems  to 
European exporters. 

•  Partial progress was achieved in 2023 on Egypt’s new halal certification requirements 
applying  since  October  2021.  Egypt  has  notified  the  new  Halal  standards  to  the 
WTO. Moreover, the supension of the application of the standard to dairy products was 
extended  several  times  and  most  recently  again  until  31st  December  2024.  Efforts  
continue to address remaining problems related to the new certification rules and the 
appointment  by  the  government  of  a  single  certifier  globally  (IS  EG  Halal).  In  this 
respect, Egypt accepted to allow other certifiers to certify exports of halal products to 
Egypt by publishing a Decree in December 2023 (GOVS Decree 1-2023) which opens 

61 

 
 
 
the  way  for  more  certifiers  to  register  themselves  with  the  Egyptian  authorities.  The 
Commission  will  monitor  its  application  to  ensure  that  more  than  one  certifiers  are 
available to European exporters. 

•  Regarding the taxation of cosmetics’ imports, Egypt acknowledged that taxing only 
imports  would  be  discriminatory  and  in  violation  of  the  EU-Egypt  Association 
Agreement.  While  the  discriminatory  fee  is  not  applied  in  practice,  Egypt  is  now 
reconsidering  the  way  forward,  e.g.,  extending  the  tax  to  also  include  domestic 
cosmetics or eliminating it all together.  

At the same time, a number of market access barriers continue to exist in Egypt and were 
subject to discussions in the relevant committees under the EU-Egypt Association Agreement:  

•  Blockages of EU shipments of certain goods (especially timber wood but also now of 
peat and peat moss) due to their allegedly excessive radioactivity levels – even though 
these levels  are well within the standard of the International  Atomic Energy Agency 
(IAEA). Technical discussions were held in December 2023 to clarify the situation. 

•  Egypt’s new measures (including field visits) for the import of seed potatoes notified 
to  the  WTO;  the  new  mechanism  might  have  an  effect  comparable  to  a  quantitative 
restriction. Technical discussions continued in 2023 (including a farm-to-fork workshop 
in Cairo in May 2023) to clarify the rules; in the meantime, Egypt has suspended the 
requirement for field visits in the EU exporting countries. 

62 

 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ASSOCIATION AGREEMENT BETWEEN THE EU AND LEBANON 

1. 

THE AGREEMENT 

The EU and Lebanon on 17 June 2002  signed  an Association Agreement46 creating a Free 
Trade Area (FTA). Its economic and trade provisions were provisionally applied as from 2003, 
based on an Interim Agreement, which entered into force on 1 March 2003. The Association 
Agreement (hereinafter referred to as ‘the Agreement’) entered into force on 1 April 2006. The 
Agreement  liberalised  two-way  trade  in  industrial  goods  with  an  asymmetrical  transition 
period of 12 years in favour of Lebanon. The phased-in liberalisation of industrial products by 
Lebanon started in 2008 and was completed in 2015.   

In regard to agri-food trade, the Agreement as of its provisional application,  granted tariff-
free  access  to  the  EU  market  for  most  Lebanese  agricultural  and  processed  agricultural 
products (i.e. 89% of products enter tariff and quota free), with only 27 agricultural products 
facing  a  specific  tariff  treatment,  mostly  Tariff  Rate  Quotas  (TRQs).  On  the  other  hand, 
agricultural liberalisation by Lebanon has been more limited.  

In  2010,  the  EU  and  Lebanon  signed  an  additional  protocol  on  a  Dispute  Settlement 
Mechanism, which entered into force on 1 September 2018.  

In  2014,  Lebanon  signed 
the  Regional  Convention  on  Pan-Euro-Mediterranean 
preferential rules of origin (PEM Convention). The country notified its ratification in October 
2017 and formally joined on 1 December 201747. On 7 December 2023, the country adopted 
the revision of this PEM Convention that modernises the rules of origin applicable in the PEM 
area. It will enter into force on 1 January 2025. 

Lebanon is still in the process of applying to join the WTO, which the EU continues to 
support, including by technical assistance, in light of the needs of the Lebanese government.  

2. 

MAIN IMPLEMENTATION ISSUES 

Additional custom duties raised in 2019 (and updated in October 2020) continued to be in 
place throughout 2022. They include a temporary additional duty of 3% on most imports and 
additional duties on imports of about 18 groups of products. Eight of them affect imports from 
the EU, with duties ranging  from  7% to  20%.  These trade barriers have  been raised several 
times at the highest level vis-à-vis the Lebanese authorities, as they do not appear to be in line 
with the Agreement, since they affect selected goods and differentiate between trading partners.  

The  national  budget  for  2022  included  the  extension  of  the  additional  3%  custom  duty 
introduced in  2019 for another 10 years, plus  a new 10% import duty  on products  having  a 

46  https://ec.europa.eu/world/agreements/downloadFile.do?fullText=yes&treatyTransId=3121 
47 For more information see https://ec.europa.eu/taxation_customs/business/calculation-customs-duties/rules-
origin/general-aspects-preferential-origin/arrangements-list/paneuromediterranean-cumulation-pem-
convention_en  

63 

 
 
 
 
 
 
 
 
 
 
locally produced substitute. The government has compiled a first list of products which could 
be produced in Lebanon and to which this additional 10% import duty would be applied. The 
government  has  signalled  that  it  is  currently  preparing  a  second  list  for  luxury  goods.  The 
government has been alerted of the possible infringement of the Association Agreement. 

However, since November 2022, without agreement on a new president, Lebanon has continued 
to  function  with  a  caretaker  government.  Mostly  for  this  reason,  and  despite  a  continuous 
deterioration of the economic situation in Lebanon, there have been no significant decisions 
concerning  trade,  and  little  dialogue  with  the  EU  on  trade  matters.  Neither  the 
SubcommitteeSubcommittee  on  “Industry,  Trade  and  Services,  Customs”  nor  the  EU-
Lebanon Joint Working Group on Trade and Investment met since December 2019.  

Discussions  continued  during  2023  about  the  possible  adoption  by  Lebanon  of  the  PEM 
transitional  Rules  of  Origin  (the  revised  rules  of  the  PEM  Convention,  applicable  on  a 
bilateral basis pending the adoption of the revised PEM Convention by all contracting parties). 
Lebanon finally referred the issue to its Ministry of Justice, who ruled that a specific law would 
need  to  be  adopted  by  Parliament  before  Lebanon  can  sign  these  rules,  which  is  likely  to 
provoke a considerable delay. 

64 

 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ECONOMIC PARTNERSHIP AGREEMENT BETWEEN THE EU AND JORDAN 

1. 

THE AGREEMENT 

The Association Agreement (hereinafter called ‘the Agreement’) creating a Free Trade Area 
between the EU and Jordan was signed in 1997 and entered into force in 2002. It liberalised 
two-way  trade  in  goods,  with  asymmetrical  transition  periods  in  favour  of  Jordan,  whereby 
Jordan phased in tariff reductions over a 12 year period. Tariff dismantling has been completed.  

The EU and Jordan upgraded the Agreement in 2006 concluding an additional Agreement on 
trade in agricultural and processed agricultural products. Today all Jordanian agricultural 
products can enter the EU duty free with the exception of virgin olive oil and cut flowers, which 
are under tariff rate quotas (TRQs), while agricultural liberalisation on the Jordanian side is 
substantial, but not complete. A Protocol establishing a bilateral Dispute Settlement Mechanism 
was added to the Agreement in 2011 but is not operational pending the establishment of the list 
of individuals to serve as arbitrators.  

Jordan is a member of the Regional Convention on pan-Euro-Mediterranean preferential 
rules of origin (PEM Convention). Jordan signed it in 2011 and notified its ratification in 2013. 
In 2016 the EU and Jordan agreed on a simplified Rules of Origin scheme, modified in 2018, 
granting Jordanians further flexibilities in  regard to  rules of origin linked to  employment of 
Syrian refugees and implementation of decent work standards. As of 1 September 2021, Jordan 
and the EU started to apply in parallel the PEM transitional rules of origin (the revised rules of 
the PEM Convention, applicable on a bilateral basis pending the adoption of the revised PEM 
Convention by all contracting parties).  

2. 

MAIN IMPLEMENTATION ISSUES  

The Subcommittee on trade, industry and services last met on 6 June 2023, after two years 
of break.  

Despite the break, the EU side had continued to raise outstanding issues in official meetings 
under the Agreement, including in written correspondence and technical meetings, notably the 
need  for  predictability  and 
legislative  and 
administrative measures, which may have an impact on trade. The EU side also reiterated the 
importance  for  EU  importers  that  import  requirements  and  enforcement  measures  are 
transparent and that  sufficient  time  is  granted to  producers, certifiers  and the administration 
itself to adapt to any new rules.   

information-sharing  regarding  the 

3. 

ACTIVITIES OF SPECIFIC INTEREST 

Under  the  simplified  Rules  of  Origin  initiative,  adopted  in  2016  and  amended  in  2018, 
Jordanian exporters of 52 product groups can benefit from the same rules of origin as those 

65 

 
 
 
 
 
applied by the EU in respect to the Least Developed Countries, provided that certain conditions 
are met as regards to employment of Syrian refugees. The situation in 2023 was as follows: 

•  According to the latest information, 17 companies have subscribed to the scheme and 
12 of them exported their products to the EU for a total value of about €164.52 million 
in  2021  (NB:  latest  figures  available),  specially  to  France,  Spain,  Cyprus,  Belgium, 
Hungary,  and  the  Netherlands.  Textile  and  garments  are  the  main  exports  to  the  EU 
under the scheme, because garment manufacturers are generally large producers, and 
such trade incentives have a large impact on their bottom-line profitability.  

•  Since the date of entry into force of the RoO scheme, 254.658 work permits have been 

issued to Syrian workers in different economic activities.  

•  Nevertheless, the simplified Rules of Origin scheme has not yet translated into further 
investments in the sectors benefiting, except for the textile and garment industry that 
benefits  from  an  established  infrastructure  and  networks  under  the  US-Jordan  FTA. 
Despite  the  fact  that  most  Jordanian  exporters  meet  the  conditions  for  preferential 
access,  there appear to  be challenges  on the supply  side, for Jordanian companies to 
respond  to  the  market  access  opportunities.  These  challenges  include  difficulties  in 
collecting the necessary market intelligence of the European export market and value 
chain,  the  lack  of  the  required  EU  quality  certifications,  the  limited  matchmaking 
opportunities with European buyers, the high transport costs and the difficulty of finding 
qualified Syrian workers in order to meet the employment requirements.  

In conclusion, it remains a challenge to advocate for employers to hire more Syrian workers on 
their production lines, or make necessary investments, when the benefits of the RoO are not 
fully  realized  nor  perceived.  Raising  awareness  about  the  scheme  remains  complicated,  and 
increased  coordination  is  still  needed  to  make  sure  that  relevant  reforms  are  in  place  to 
implement the decent work agenda in Jordan.  

The EU continues to support Jordan in its efforts to improve its export performances by 
boosting its general export capacity and competitiveness and achieving a closer integration 
into global value chains and to make better use of preferential access to the EU market. Trade-
for-Development  is  a  key  element  of  the  Partnership  Priorities  (2021-2027)48.  Through  its 
bilateral programming, the EU also supports private sector development, job creation and the 
business legislative framework and reforms. 

Furthermore, the EU continues working with the ILO and the Jordanian Government to ensure 
decent working conditions in companies exporting to the EU. 

48 https://data.consilium.europa.eu/doc/document/ST-3304-2022-ADD-1/en/pdf  

66 

 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ECONOMIC PARTNERSHIP AGREEMENT BETWEEN THE EU AND MOROCCO 

1. 

THE AGREEMENT 

The EU and Morocco established a Free Trade Area (FTA) as part of the EU-Morocco 
Association Agreement (the “Agreement”), signed in 1996, which entered into force on 1 
March 2000. While the EU liberalised trade in industrial products from the start, Morocco 
benefited from a transitional period of 12 years.  Since March 2012, trade in industrial 
products is now entirely liberalised, while market opening for agricultural products is also 
substantial.  

The EU and Morocco also signed an agreement on additional liberalisation of trade in 
agricultural products, processed agricultural products, fish and fisheries products, which 
entered into force in October 2012. A number of EU products remain subject to tariff rate 
quotas49 when exported to Morocco, while for the other products the full liberalisation was 
completed on 1st October 2020. Only a few Moroccan products are still subject to tariff rate 
quotas when imported into the EU. 

An amendment was introduced to Protocols 1 and 4 of the Association Agreement by exchange 
of letters between the EU and Morocco dated 25 October 2018 extending the tariff preferneces 
of  the  EU-Morocco  Agreement  to  goods  originating  in    Western  Sahara.50  The  amendment 
entered into force on 19 July 2019. 

Morocco  also  signed  the  Regional  Convention  on  pan-Euro-Mediterranean  preferential 
rules of origin (PEM Convention) on 18 April 2012 and ratified it in May 2019. The revised 
rules  of  the  Convention  were  adopted  by  unanimity  of  all  Contracting  Parties,  including 
Morocco, on 7 December 2023. The revised Convention will begin to apply as of 1 January 
2025.  

A  protocol  establishing  a  Dispute  Settlement  Mechanism  was  agreed  upon  by  the  EU  and 
Morocco and entered into force in 2012 but is not operational pending the establishment of the 
list of individuals to serve as arbitrators.  

Negotiations in view of an Agreement for the Protection of Geographical Indications (GIs) were 
concluded in 2015. Ratification by Morocco is still pending.  

Negotiations for a Deep and Comprehensive Free Trade Agreement started in 2013 and were 
put on hold at the request of Morocco. The Joint Statement of the EU–Morocco Association 
Council  of  June  2019  referred  to  the  aim  of  creating  an  area  of  economic  convergence  and 
social cohesion.  

49   Tariff rate quotas (TRQs) allow products imported within a certain quota to enter the European Union's 
market at a lower tariff rate than for quantities outside the quotas. They allow more variety to consumers whilst 
also encouraging non-EU countries to open up their markets to European goods. TRQs aim at mitigating impacts 
on sensitive sectors such as beef, rice or sugar. 
50 https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:22019A0206(01)  

67 

 
 
 
 
 
2. 

MAIN IMPLEMENTATION ISSUES  

Morocco  has  made  trade  -  and  exports  in  particular  –  an  essential  element  of  its  economic 
development.  It  progressively  integrated  global  value  chains,  notably  in  sectors  such  as 
automotive industry and aeronautics, and in particular with the European Union. In 2023, trade 
between Morocco and the EU grew to its highest level ever (with EU having a trade surplus) 
and Morocco is EU’s biggest trading partner in Africa.  The EU and Morocco in 2021 launched 
a Green Partnership, consolidating their cooperation on protecting the environment, conserving 
biodiversity and fighting climate change. 

Nevertheless, with its “Industrial Recovery Plan 2021- 2023", Morocco confirmed its focus on 
import substitution in its industrial and trade policies, aiming at reducing imports, while actively 
supporting domestic production. This takes the form of the pursuit of an active industrial policy 
via  an  “industrial  project  bank”,  aimed  at  supporting  projects  with  the  potential  of 
substituting imports with domestic products, the promotion of local integration through the 
investment charter, as well as mandatory domestic preferences in public procurement and 
the compulsory use of goods of Moroccan origin in public procurement for all goods. 

Meetings of the Subcommittee on trade, industry and services and the Subcommittee on 
internal  market  were  held  in  April  2023  after  a  two  years’  break  (the  previous  respective 
meetings had taken place in July 2020; the one before in December 2013).  

•  The  EU  raised  a  number  of  market  access  issues  vis-à-vis  Morocco,  including  the 
system  of  conformity  assessment  for  imported  products,  market  access  for 
pharmaceutical and cosmetic products, mandatory domestic preferences in public 
procurement in addition to long standing trade barriers. (NB: Morocco applies since 
2020 compulsory third party certification for compliance with Moroccan standards 
to a wide range of industrial products, with adverse effects for EU exports. Only five 
private  international  companies  are  designated  to  carry  out  the  checks  on  imported 
products subject to technical regulations. Conformity assessments need to be undertaken 
mostly in the country of origin of the goods, and for a more limited range of products 
upon their entry into Morocco. Domestic products are subject to a much lighter regime 
of  conformity  checks.  European  operators  have  reported  difficulties  with  the  new 
system mainly related to additional costs and delays and different interpretations of the 
applicable requirements by the conformity assessment companies). 

•  The EU also raised the issue of state aid/subsidy control rules, as foreseen by Article 
36  of  the  Association  Agreement.  It  was  agreed  to  organise  a  number  of  follow-up 
technical meetings. 

In 2023, a number of additional irritants surfaced:  

•  Morocco  suspended  the  accreditation  of  several  of  the  private  international 
companies designated to deliver conformity assessments for several months, creating 
additional difficulties, costs and delays for European exporters. These suspensions were 
however lifted again.   

•  While the 10-year safeguard measure on wire rods and reinforcing bars ceased to apply, 
Morocco extended the safeguard measures on hot rolled steel plates and welded steel 

68 

 
 
 
 
pipes. Those measures add to the ongoing ones on cold rolled steel sheets and plated or 
coated sheets and coated woord boards.  

•  The country also continued to apply anti-dumping duties on PVC, including from 

some EU companies. 

• 

 In February 2024, Morocco initiated a safeguard investigation on imports of coated 
wood fibre boards. 

European General Court ruling on Western Sahara & Sustainable Fisheries Agreement51 - 
state of play 

On 15 March 2024 the European Commission issued its fourth staff working document on 
the impact and benefits for the people of Western Sahara52 of extending tariff preferences 
provided under the EU-Morocco Association Agreement to products originating in  Western 
Sahara (covering 2022 data). The report finds that exports to the EU decreased  from EUR 
681  million  in  2021  to  EUR  590  in  2022,  while  the  implementation  of  the  agreement 
allowed local  producers  to  save EUR 44.4 million in  customs duties upon import of the 
goods  into  the  EU  in  2022.  Levels  of  local  employment  continue  to  show  a  trend  of 
moderate increase. This is due to the favourable economic conditions of Western Sahara 
including the granting of tariff preferences under the Agreement.   

Background: 

On 29 September 2021 the General Court of the EU annulled two Council decisions relating 
to international agreements with Morocco: 

• 

• 

the agreement between the EU and Morocco extending tariff  preferences to products 
originating in Western Sahara; 
the Sustainable Fisheries Partnership Agreement.  

The Council and the Commission both lodged appeals in December 2021. Pending a final 
judgement, the Court ruling allows for the effects of the Council decisions to be upheld, i.e. 
the agreements continue to apply between the Parties. 

51 https://curia.europa.eu/jcms/upload/docs/application/pdf/2021-09/cp210166en.pdf  

52 https://taxation-customs.ec.europa.eu/system/files/2023-03/TAXUD-2023-00033-00-00-EN-TRA-
00.DOCX.pdf  

69 

 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ASSOCIATION AGREEMENT BETWEEN THE EU AND TUNISIA 

1. 

THE AGREEMENT 

A Free Trade Area (FTA), as part of the EU-Tunisia Association Agreement hereinafter ‘the 
Agreement’),  was  signed  on  17  July  1995  and  entered  into  force  on  1  March  1998.  This 
provided for reciprocal liberalisation of trade in goods. Since the day of entry into force of the 
Agreement, Tunisia is free to export to the EU all industrial products covered by the Agreement 
tariff-free, while it benefited from a transitional period of 12 years for imports from the EU, 
which ended in 2010. The FTA thus established the principle of two-way trade free of any 
trade tariffs for industrial goods.  

As regards agricultural, agri-food and fisheries products, the FTA foresees liberalisation 
for  selected  products,  with  the  EU  granting  tariff-free  quotas  for  a  number  of  products. 
Contrary to other countries in the region (e.g. Morocco or Egypt), the EU and Tunisia have not 
yet negotiated an agricultural top-up and hence market access on both sides is more limited than 
is the case with most other Southern Mediterranean partners.  

The  EU  and  Tunisia  signed  a  bilateral  Protocol  in  2009  on  the  establishment  of  a  Dispute 
Settlement Mechanism (which entered into force in September 2011), however, it is not yet 
operational pending the establishment of the list of individuals to serve as arbitrators. 

Tunisia  also  signed  the  Regional  Convention  on  Pan-Euro-Mediterranean  preferential 
rules of origin on 16 January 2013. In December 2023, Tunisia voted in favour of the revised 
rules of the Pan- Euro- Mediterranean Convention on rules of origin, which will enter into force 
on 1 January 2025. In this context, a bilateral derogation on textiles was granted by the EU.  

While negotiations on a Deep and Comprehensive Free Trade Agreement (DCFTA or “Accord 
de libre échange complet et approfondi” ALECA in French) remain to be on hold the EU and 
Tunisia in July 2023 signed a memorandum of understanding suggesting that the parties will 
“implement measures to promote and enhance the modernisation of the framework for trade 
and investment relations between the European Union and Tunisia in order to improve market 
access  conditions”.  This  is  important  to  meet  common  challenges,  notably  in  the  field  of 
resilient value chains, climate change and quality job creation. 

Egypt is an observer in the CBAM Expert Group (since June 2024). Regular dialogues with 
industry  and  public  administrations  are  held  to  pave  the  way  towards  decarbonisation  of 
production and trade. 

2. 

MAIN IMPLEMENTATION ISSUES 

In  2023,  several  market  access  issues  remained  unresolved.  They  mainly  concern  the 
following type of restrictions: i) mandatory licences for import of certain products, which were 
subject  of  several  meetings  and  exchange  of  letters  with  Tunisian  authorities;  ii)  systematic 
technical  controls  on  imports  without  risk  analysis  and  technical  specifications  that  can 
impose  restrictive  conditions  on  the  product  and/or  the  importer;  iii)  burdensome  customs 

70 

 
 
 
 
 
 
  
 
 
measures  (such  as  the  request  for  an  export  declaration  or  a  free  sale  certificate  by  EU 
operators); iv) sectorial market access limitations on pharmaceuticals and tyres.  

A deficit can also be noted on Tunisia’s implementation of the state aid/subsidy control rules 
as foreseen by Article 36 of the Association Agreement, which are needed to secure a level 
playing field.  

Finally,  the  objective  of  liberalisation  of  public  procurement  set  in  Article  41  of  the 
Association Agreement has not been taken forward yet. By contrast, the decree-law 2022-68 of 
November 2022 increased the thresholds for local content requirement and national preference 
in public procurement.  

71 

 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
INTERIM ASSOCIATION AGREEMENT BETWEEN THE EU AND PALESTINE  

1. 

THE AGREEMENT 

The Interim Association Agreement creating a Free Trade Area (FTA) between the EU and 
Palestine53 (hereinafter called ‘the Interim  Association Agreement’) was signed in 1997 and 
entered  into  force  on  1  July  1997.  The  Interim  Agreement  liberalised  two-way  trade  in 
industrial goods by providing duty-free and quota-free access for industrial goods traded in 
both  directions,  with  some  limited  liberalisation  of  agricultural  products  by  both  parties. 
The latter was an asymmetrical liberalisation to the extent that the EU dismantled its tariffs on 
the first day of the agreement while Palestine had a phased reduction of tariffs.  

The  Association  Agreement  was  first  updated  in  2005  and  a  more  significant  update  was 
signed  in  2011  to  further  liberalise  trade  in  agricultural,  processed  agricultural  products 
(PAPs), fish and fishery products. The EU removed all tariffs and quotas on agricultural 
products and PAPs imported into the EU for a period of ten years, which is renewable. 
Palestine continues to maintain a number of tariffs and quotas on selected agricultural and PAP 
imports from the EU.  

Products from  Israeli settlements in Palestinian territory do not benefit from the preferential 
tariff  preferences  under  the  EU-Palestine  Interim  Association  Agreement  or  the  EU-Israel 
Association Agreement.  

Palestine is a member of the Regional Convention on pan-Euro-Mediterranean preferential 
rules of origin (PEM Convention), which it signed in 2013 and notified the EU of its ratification 
in 2014. The EU and Palestine began applying the Transitional rules of origin in parallel with 
the PEM Convention on 1 September 2021. In 2021, an amendment of Protocol 3 of the Interim 
Association Agreement was adopted concerning the definition of the concept of “originating 
products” and menthods of administrative cooperation, in order to introduce the modernised 
rules of the PEM Convention.  

2. 

MAIN IMPLEMENTATION ISSUES 

The Joint Economy Committee in charge of the follow-up of the Paris Protocol (agreement 
dealing with trade related issues under the Oslo Accord) has not met since 2009. The Palestinian 
Authority  undertook  efforts  with  limited  results  to  re-activate  the  committee,  pending  a 
positive response from the Israeli side.  

53 This designation shall not be construed as recognition of a State of Palestine and is without prejudice to the 
individual positions of the Member States on this issue. 

72 

 
 
 
 
 
 
 
 
 
 
 
 
The last meeting of the EU-Palestinian Subcommittee on Trade was held on 16 November 
2022  where  trade  relations  were  discussed  both  in  bilateral  and  regional  context,  notably 
focussing  on  how  the  EU  could  facilitate  trade  talks  between  Israel  and  the  Palestinian 
Authority, either in bilateral or trilateral format.  

The  Interim  Association  Agreement  is  far  from  reaching  its  full  potential,  hindered  by 
restrictions  imposed  by  the  Israeli  authorities.  Morever,  Palestinian  trade  also  faces 
competitiveness issues and has often difficulties in meeting the standards required on the EU 
market. 

The  EU  continues  to  support  the  expansion  of  Palestinian  trade  within  the  broader  Euro-
Mediterrenean region and remains committed to engage with both the Israeli and the Palestinian 
sides to improve the conditions of Palestinian trade. Some concrete progress was achieved with 
the introduction of a pilot project for containerised transport between the West Bank and Jordan 
via the Allenby bridge, a project that was supported by the EU Delegation in Jerusalem.   

73 

 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ECONOMIC PARTNERSHIP AGREEMENT BETWEEN THE EU AND ISRAEL 

1. 

THE AGREEMENT 

EU-Israel relations are governed by an Association Agreement (hereafter named “Agreement” 
or "AA") that has been provisionally applied since 1996 and fully entered into force in 2000. 
The  terms  of  the  Agreement  provided  for  full  elimination  of  customs  duties  applicable  to 
industrial  products  and  partial  liberalisation  for  agricultural  products  creating  a  Free  Trade 
Area  (FTA).  The  EU  and  Israel  had  already  had  an  FTA  from  1975,  eliminating  duties  on 
industrial products and over 80% of agricultural tariff lines. The AA improved the provisions 
on rules of origin and included a series of further reciprocal agricultural concessions. However, 
the FTA does not include commitments on services and investments, regulatory convergence 
or modern trade rules. Products produced in the Israeli settlements located within the territories 
brought under Israeli administration since June 1967 are not entitled to benefit from preferential 
tariff treatment under the EU-Israel Association Agreement. 

The EU and Israel subsequently upgraded the FTA by signing agreements, which further 
liberalised trade in agricultural products, notably in processed agricultural products and 
fish and fishery products. The first agreement was signed in 2003 and the second is in force 
since 2010. The latter further increased reciprocal market access in agro-food products and is 
based on the “negative list approach” (i.e. all agro-food trade is liberalised on both sides apart 
from a limited number of sensitive lines on either side). For the sensitive agricultural products 
such as fruit and vegetables, sugar, etc., market access on both sides is provided in the form of 
duty free quotas. Moreover, the EU maintains its entry price system, but with an ad valorem 
duty component set at 0%.  

Discussions for a Dispute settlement protocol under the FTA took place in December 2016 on 
the  occasion  of  the  EU-Israel  trade-subcommittee,  but  have  not  been  finalised.  There  are 
currently no discussions on resuming this process. 

Israel is a member of the Regional Convention on Pan-Euro-Mediterranean preferential 
rules of origin (PEM Convention), which it signed in 2013 and notified the EU of its ratification 
and entry into force in 2014. On 7 December 2023, Israel also voted in favour of the revision 
of the PEM Convention that modernises the rules of origin applicable in the PEM area.  The 
revised Convention will enter into force on 1 January 2025. 

In 1999, the EU and Israel signed a "Good Laboratory Practice" (GLP) agreement, ensuring 
the high quality, validity and reliability of health and environmental data generated during the 
testing  of  cosmetics,  industrial  chemicals,  pharmaceuticals,  food  additives,  animal  feed 
additives, pesticides by means of mutual recognition of OECD principles of good laboratory 
practice (GLP) and compliance monitoring programmes.  

The  EU  and  Israel  also  have  in  place  an  Agreement  on  Conformity  Assessment  and 
Acceptance  of  industrial  products  (ACAA)  on  pharmaceuticals,  in  force  since  January 

74 

 
 
 
 
2013,  which  facilitates  trade  on  both  sides,  as  it  recognises  each  partner’s  certification  of 
conformity of pharmaceutical products without the need for re-testing at import.  

2. 

MAIN IMPLEMENTATION ISSUES 

Following a break through in 2022 in the area of medical devices (i.e. Member States acceded 
in and post 2004 and Luxembourg are now “recognised” to qualify for fast-track authorisation 
procedure in  Israel),  a legislative amendment to  solve the issue is currently discussed in the 
Knesset. Since the adoption of the legislative amendment by the Knesset has been delayed , the 
government extended the ongoing pilot project until end of 2024 and will continue to do so 
until the new legislation is in place.  

No significant roll back of commitments in the FTA has been recorded; however there are a 
number of persistent trade irritants, among those:  

•  The lack of data protection for biological medicines; 

•  The rigid regime of kosher certification for imported meat. 

The last meeting of the EU-Israel subcommittee on industry, trade and services was held 
on  15  February  2023,  where  trade  relations  were  discussed  in  both  bilateral  and  regional 
context. The EU and Israel also exchanged views on existing trade irritants, as well as on some 
cross cutting issues, e.g. reduction of carbon emissions, and IPR.  

75 

 
 
 
 
 
 
Eastern countries – Deep and Comprehensive Free Trade 
Areas 

76 

 
 
 
 
 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE DEEP 
AND COMPREHENSIVE FREE TRADE AREA BETWEEN THE EU AND 
UKRAINE 

1. 

THE AGREEMENT 

The Deep and Comprehensive Free Trade Area (DCFTA) between the EU and Ukraine, the 
trade part of the Association Agreement54, provisionally entered into force on 1 January 2016 
while the full Association Agreement formally entered into force on 1 September 2017.  

This  information  sheet  constitutes  the  assessment  of  the  trade-liberalisation  measures  under 
Article 6 of Regulation (EU) 2023/1077.   

Following Russia’s unprovoked and unjustified war of aggression against Ukraine, the latter 
was granted EU candidate status in June 2022. In December 2023, the EU agreed to open 
accession negotiations with Ukraine.  

Furthermore, the EU adopted new autonomous trade measures (ATMs) on 30 May 202255 
temporarily suspending all duties and trade defence measures on imports from Ukraine.  

•  The  ATMs  were  extended  in  June  2023  for  another  year.56  Between  2  May  and  15 
September 2023 the Commission took exceptional and temporary preventive measures 
under the ATM regulation  on imports of wheat,  maize, rapeseed and sunflower seed 
from Ukraine. These temporary and targeted measures were adopted due to logistical 
bottlenecks  concerning  these  products  in  Bulgaria,  Hungary,  Poland,  Romania  and 
Slovakia  and  prevented  the  placing  on  the  market  of  these  products  in  those  five 
Member States while still allowing for transit.   

•  The latest renewal of the Autonomous Trade Measures57, which entered into force on 6 
June 2024 includes a strengthened safeguard mechanism that allows for quick remedial 
action to be taken in case of significant disruptions to the EU market or the markets of 
one or more Member States. In addition, an emergency brake applies to eggs, poultry, 
sugar, oats, maize, groats, and honey, which will be automatically triggered if import 

54 The EU-Ukraine Association Agreement was published in OJ L 161, 29.5.2014, p. 3–2137. https://eur-
lex.europa.eu/legal-content/EN/ALL/?uri=CELEX%3A22014A0529%2801%29  
55 Regulation(EU) 2022/870 of the European Parliament and of the Council of 30 May 2022 (OJ L 152 of 3.6.22, 
p. 103) 
56 Regulation (EU) 2023/1077 of the European Parliament and of the Council of 31 May 2023 on temporary 
trade-liberalisation measures supplementing trade concessions applicable to Ukrainian products under the 
Association Agreement between the European Union and the European Atomic Energy Community and their 
Member States, of the one part, and Ukraine, of the other part. 

57 See Commission Implementing Regulation (EU) 2024/1671 of 6 June 2024; Commission Regulation (EU) 
2024/1825 of 1 July 2024; Commission Regulation (EU) 2024/1827 of 1 July 2024; Commission Regulation 
(EU) 2024/1999 of 19 July 2024  

77 

 
 
 
 
 
 
 
 
volumes  reach  the  average  yearly  imports  recorded  between  1  July  2021  and  31 
December 2023.  

Since the entry into force in 2016 of the AA and its DCFTA, bilateral trade more than doubled 
and  surpassed  EUR  62  billion  in  2023.  EU-Ukraine  trade  maintains  high  volumes  despite 
Russia’s war of aggression against Ukraine and the EU remains an essential route for Ukraine 
exports, including to third countries with the help of EU Solidarity Lanes. Total bilateral trade 
was EUR 62bn in 2023, up from EUR 58bn in 2022 and EUR 52bn in 2021.  

EU’s most imported product categories from Ukraine by value are cereals (23% of total values 
of imports in Q1-Q3 2023), oils (9%), ores (9%), iron and steel (8%), oil seeds (7%), electrical 
machinery (7%) and wood products (6%). The EU is a crucial market for Ukrainian exports, 
supporting the Ukrainian economy. Ukraine is by now the third largest source of imports of 
agricultural  products  into  the  EU,  behind  Brazil  and  the  United  Kingdom  and  ahead  of  the 
United States. The EU’s most exported product categories to Ukraine are mineral fuels (17% 
of total values of exports in Q1-Q3 2023), motor vehicles (10%), machinery (9%), electrical 
machinery (9%), pharmaceutical products (4%), plastics (4%), arms and ammunitions (4%).  

A regular monitoring table on imports from Ukraine, and in particular under TRQs otherwise 
applicable under the DCFTA is available on DG TRADE’s website58. The monitoring shows 
considerable increases in 2023 of annual import quantities for some products such as poultry, 
eggs,  sugar  and  wheat.  These  increased  exports  have  a  positive  socio-economic  impact  on 
Ukraine.  The  impact  of  these  imports  on  the  Union  market  is  being  monitored  closely.  No 
adverse effects were observed on the EU market as a whole, but it is possible that Ukrainian 
imports can have adverse effects, which are more localised. Many stakeholders have brought 
to the attention of the Commission such possible impacts on local and regional markets, also 
having socio-economic impacts on the local farming communities.  

2. 

MAIN IMPLEMENTATION ISSUES 

2.1   Market access: Progress and outstanding issues  

Ukraine’s regulatory approximation to the EU acquis continued to progress well despite the 
difficult situation caused by Russia’s war of aggression against Ukraine.  

Overall implementation of the DCFTA was discussed during the 8th EU-Ukraine Association 
Committee in Trade Configuration (ACTC), held on  30 November 2023 in hybrid form (in 
Brussels and online).  

The  “Priority  Action  Plan  for  enhanced  implementation  of  the EU-Ukraine  DCFTA  in 
2023-2024”  served  as  a  roadmap  to  accelerate  and  monitor  the  full  implementation  of  the 
DCFTA,  and  with  a  view  to  facilitating  and  increasing  Ukraine’s  access  to  the  EU  internal 
market: 

58 EU trade relations with Ukraine (europa.eu) 

78 

 
 
 
 
•  Ukraine made solid progess towards an Agreement on Conformity Assessment and 
Acceptance of industrial products (ACAA). In a joint effort, the pre-assessment phase 
with eight expert missions was finalised. The EU has highlighted that progress is needed 
to implement all expert recommendations from the pre-assessment stage, including on 
market surveillance and metrology, as well as the need to suspend the moratorium on 
market surveillance and product safety inspections. 

•  The agreed list of rules applicable to Telecommunications Services (Appendix XVII-
3  to  the  Association  Agreement)  was  amended  in  April  2023  to  include  the  EU 
legislation relevant for roaming. When Ukraine will align to this legislation it will pave 
the way for Ukraine to join the EU’s Roam Like at Home Area. 

•  Progress was also made on a number of customs related59 issues, notably the decision 
of the customs subcommittee to adopt the transitional PanEuroMed rules of origin which 
will have concrete benefits for EU and Ukrainian exporters. Work also progressed on 
the approximation of the Ukrainian Customs Code to the EU customs acquis and on the 
Authorised Economic  Operators  (AEOs) programme implementation, with  a view  to 
negotiating a mutual recognition agreement in the years to come.  

• 

• 

In  regard  to  public  procurement,  the  EU  and  Ukraine  completed  the  process  of 
recognition  of  phases  1  and  2  of  the  public  procurement  roadmap  in  Annex  XXI-A, 
adopting  Decision  2/2023  and  Decision  3/2023  of  the  EU-Ukraine  Association 
Committee  in  Trade  Configuration  positively  assessing  Ukraine’s  implementation  of 
phases 1 and 2. 

In the area of SPS60, Ukraine continued to implement the SPS strategy, particularly as 
regards  animal  welfare,  which  is  of  particular  interest  for  stakeholders.  The  long-
standing issue of unified export certificates on mechanically separated poultry meat 
(MSM) for exports from all EU Member States to Ukraine was solved in the spring of 
2023, facilitating EU exports to Ukraine. 

Mutual engagement continued in the following areas:  

•  The 20th Intellectual Property Rights Dialogue (IPR) took place on 19 October 2023, 
taking  stock  of  Ukraine’s  progress  in  the  area,  notably  the  entry  into  force  of  the 
copyright law in January 2023 and the adoption of the Intellectual Property enforcement 
law in March 2023, as well as the institutional reform in the end of 2022. As regards 
Geographical Indications (GIs)61, cooperation continued in order to ensure alignment 
of Ukraine’s GI system with EU norms and standards.  

59 The 7th Customs Subcommittee took place on 28 November 2023.  
60 The 6th SPS Subcommittee took place on 29 November 2023. 
61 The 6th GI Subcommittee took place on 28 November 2023. 

79 

 
 
 
 
 
 
 
 
 
• 

In  the  field  of  competition  including  State  aid,  significant  progress  has  been  made 
during the last years to improve the Ukrainian legislation and enhance the powers and 
independence of Ukraine’s Antimonopoly Committee. However, the Law on State aid 
remains suspended during the martial law.  

•  As regards the wood export ban, a long-standing trade irritant on which the EU had 
initiated  bilateral  dispute  settlement  in  2019,  a  panel  published  its  final  ruling  in 
December  2020  and  found  Ukraine’s  2015  temporary  export  ban  incompatible  with 
Article 35 of the Association Agreement. In this context Ukraine referred to ongoing 
legislative work on this issue. 

2.2 

Trade and sustainable development: Progress and outstanding issues  

In the context of the above mentioned Priority Action Plan, the 6th Ukraine – EU Trade and 
Sustainable  Development  Subcommittee  was  held  on  9  March  2023  via  videoconference 
Brussels-Kyiv. Ukraine noted that the impact of Russia’s war of aggression has made Trade 
and  Sustainable  Development  areas  even  more  pressing,  for  example  as  regards  energy 
efficiency  and  forestry.  The  EU  provided  an  update  on  trade  and  sustainable  development 
policy, following its June 2022 TSD Communication. The subcommittee noted the importance 
of civil society participation and the contribution of the EU and Ukrainian Domestic Advisory 
Groups.  

•  Regarding  labour  matters  the  EU  highlighted  the  importance  of  upholding  labour 
rights, even in times of war. Regarding the modernisation of labour relations, the Parties 
agreed  on  the  importance  of  ensuring  alignment  with  the  applicable  EU  acquis  and 
international labour standards, including in the draft laws on labour and on occupational 
health and safety. The need to ensure full compliance with ILO Conventions on labour 
inspections was also discussed. Moreover, the Parties agreed on the need to improve 
social dialogue and on the importance of ensuring compliance with international labour 
standards on freedom of association and collective bargaining.  

•  The EU reaffirmed its support to Ukraine in facing the substantial environmental and 
climate impact of Russia’s war of aggression against Ukraine. The Parties discussed 
how  the  environment  is  a  major  victim  of  the  aggression  and  that  mapping 
environmental  damage  will  be  necessary  for  the  reconstruction.  The  Parties  updated 
each  other  on  European  Green  Deal  initiatives  and  on  Ukraine’s  efforts  to  reduce 
emissions and its work on framework legislation for environmental protection.  

On  14  March  2023,  the  parties  debriefed  the  Civil  Society  Forum  on  the  issues  discussed 
during the last meeting of the TSD Subcommittee.  

80 

 
 
 
 
 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE DEEP 
AND COMPREHENSIVE FREE TRADE AREA BETWEEN THE EU AND 
GEORGIA 

1. 

THE AGREEMENT 

The Deep and Comprehensive Free Trade Area (DCFTA) of the EU-Georgia Association 
Agreement62 (AA) entered into force on 1 July 2016, after having been applied on a provisional 
basis  since  1  September  2014.63  This  information  sheet  constitutes  the  fifth  report  on  the 
implementation  of  the  EU-Georgia  DCFTA,  in  line  with  the  reporting  requirements  of  the 
Regulation implementing the anti-circumvention mechanism provided for in the EU-Georgia 
Association Agreement.64  

Following Russia’s unprovoked and unjustified war of agression against Ukraine, Georgia was 
granted EU candidate status in December 2023, on the understanding that Georgia takes the 
relevant steps as set out in a Commission recommendation. 

The  Government  of  Georgia  adopted  in  December  2020  its  third  Action  Plan  for  the 
implementation  of  the  DCFTA  2021-202365.  This  report  outlines  the  priorities  of  the 
Association Agenda in different sectors (including for example Technical Barriers to Trade, 
SPS  measures,  customs  or  IPR)  and  the  planned  activities  related  to  each  priority  with 
indicators, responsible implementing institutions and timeframe for implementation.   

Georgia is a member of the Convention on pan-Euro-Mediterranean preferential rules of 
origin  (“PEM  Convention”)  and  applies  the  transitional  set  of  rules  of  origin  applicable 
alongside the rules of the PEM Convention on a bilateral basis with the EU since 1 September 
2021.  On  7  December  2023,  the  country  adopted  the  revision  of  this  PEM  Convention  that 
modernises the rules of origin applicable in the PEM area. It will enter into force on 1 January 
2025. 

Georgia officially became a Contracting Party to the Energy Community Treaty on 1 July 
2017. 

62 The EU-Georgia Association Agreement was published in OJ L 261, 30.08.2014. http://eur-
lex.europa.eu/legal-content/EN/TXT/PDF/?uri=OJ:L:2014:261:FULL&from=EN  
63 When it comes to DCFTA application to breakaway regions Abkhazia and South-Ossetia, the EU gives its full 
support to Georgia's territorial integrity. However, in accordance with Article 429 (Territorial application) of the 
Association Agreement, conditions enabling effective implementation of the DCFTA, and notably de facto 
government control over those territories, would need to be created in either Abkhazia or South Ossetia for the 
DCFTA to apply to those regions, which is not the case at present. 
64 Regulation (EU) 2016/401 of the European Parliament and of the Council of 9 March 2016 implementing the 
anti-circumvention mechanism provided for in the Association Agreement between the European Union and the 
European Atomic Energy Community and their Member States, of the one part, and Georgia, of the other part 
(OJ L 77/2016). According to its Article 4, the Commission shall submit an annual report on implementation of 
this Regulation and Title IV (DCFTA) of the Association Agreement. The report shall, inter alia, include 
information about the application of the anti-circumvention mechanism and set out a summary of the statistics 
and the evolution of trade with Georgia. 
65 DCFTA AP 2021-2023 ENG.pdf 

81 

 
 
 
 
 
 
2. 

MAIN IMPLEMENTATION ISSUES 

2.1   Market Access: Progress and outstanding issues 

The  10th  Association  Committee  in  Trade  Configuration  was  held  in  Tbilisi  on  12-13 
December 2023. 

In 2023 Georgia made progress in several areas of legal approximation: 

• 

• 

• 

• 

• 

In  the  area  of  SPS  legal  approximation  is  in  good  track,  however  on  the  process  of 
allowing for exports of queen bees and aquaculture to the EU, no further updates have 
been received. 

in  2020,  continues 

In the area of technical barriers to trade, the new Market Surveillance Agency (MSA), 
established 
institutional  development  and  has  started 
implementation of market surveillance activities regarding the technical regulations 
adopted in line with DCFTA approximation process. To support the legal approximation 
process  of  Georgia,  the  National  Agency  of  Standards  and  Metrology  of  Georgia 
(GEOSTM) strives to ensure the adoption of EU harmonised standards according to the 
DFCTA. This work has contributed to GEOSTM becoming an affiliate member to CEN 
(Commission  for  European  Normalisation)  /  CENELEC  (European  Committee  for 
Electrotechnical  Standardisation)  on  24  November  2022  and  is  working  towards 
increasing its alignment rate.  

In  the  area  of  IPR,  the  Georgian  Government  continued  its  efforts  to  reform  the 
intellectual property protection and enforcement system, especially concernning the 
patent law, the law on appellations of origin and GIs, the law of trademarks and the law 
on copyright.  

In the area of energy policy, Georgia, since joining the Energy Community in 2017, is 
approximating its energy acquis according to the Energy Community work programme. 
Georgia  continues  to  develop  the  related  framework,  methodologies  and  regulations 
relating  to  the  implementation  of  the  Energy  Efficiency  Law,  Law  on  Energy 
Performance of Buildings and Law on Energy Labelling.  

In  the  area  of  customs  and  trade  facilitation,  there  is  good  cooperation  with  well-
advanced  implementation  of  the  customs  code  and  electronic  systems,  including  the 
New Computerised Transit System (NCTS). The system is one of the main conditions 
for the accession of the country to the Common Transit Convention, which is expected 
on  1st  December  2024.  Georgia  is  also  continuing  its  approximation  of  its  customs 
legislation to the EU acquis. Georgia is working on the development for the national 
programme of Authorised Economic Operators (AEO) and addittional companies have 
joined  the  programme  in  2023.  Georgia  was  one  of  the  first  countries  where  the 
modernised  transitional  Pan-Euro-Med  Rules  of  Origin  were  applicable  from  1 

82 

 
 
 
 
  
 
 
September  2021.  Georgia  and  EU  signed  the  Agreement  on  the  accession  to  the  EU 
customs and Fiscalis programmes in 2022.  

• 

In the area of  services, the approximation in  the context of the DCFTA experienced 
some  delays.  On  postal  services,  Georgia  has  been  notified  of  new  EU  acts  adopted 
since  2013,  however  progress  on  alignment  has  been  slow.  With  regard  to 
telecommunication services, the first steps to amend Annex XV-B have been initiated, 
notably to include the roaming acquis. Once amended, work towards the transposition 
in the Georgian legislation will start.  

2.2   Trade and sustainable development: Progress and outstanding issues 

Issues related to TSD were also discussed during the 10th Association Committee in Trade 
Configuration  in  December  2023  following  up  on  the  7th  TSD  Subcommittee  under  the 
DCFTA in December 2022 by video conference.  

Georgia provided on up-date on the status of the actions foreseen in its action plan for the 
period 2021-202366, showing progress in the implementation of the TSD chapter commitments.  

In regards to environment protection related commitments: 

•  Georgia  adopted  the  National  Climate  Change  Strategy  2030  and  its  Action  Plan 
2021-2023,  that  identifies  measures  and  actions  that  support  the  development  of  the 
Georgian economy and infrastructure in a way which sets Georgia on a pathway to meet 
its  international  obligations  and  national  ambitions  for  climate  change  mitigation. 
Georgia is party to the Montreal Protocol on substances that deplete the ozone layer and 
the parliament ratified the Kigali amendment to the Montreal protocol in June 2023. 

•  Georgia is in the process of adopting the Law on Biodiversity, in line with CITES and 
respective  EU  directives  with  a  draft  having  been  endorsed  by  the  government  in 
December 2023.  

•  Several  decrees  regarding  forest  management,  record  keeping  and  monitoring 
were  adopted,  for  example  the  “The  list  of  Forest  Forming  Wood  Species”,  “The 
Criteria and Indicators of Sustainable Forest Management” and the new national forest 
programme.  

•  Georgia  submitted  its  long-term  low  emission  development  strategy  and  is 

preparing to send its 5th National Communication to the UNFCCC.    

66 https://circabc.europa.eu/ui/group/09242a36-a438-40fd-a7af-fe32e36cbd0e/library/e0de67a3-2fd4-44ad-972b-
daf8b0901035?p=1&n=10&sort=modified_DESC  

83 

 
 
 
 
 
 
 
 
 
 
 
With regard to labour issues: 

•  Georgia  continued   strengthening  the  labour  inspections  system,  through  new 

recruitments, training and capacity building.  

•  The  Parties  also  discussed  measures  to  ensure  health  and  safety  at  work  and  the 
importance  to  ensure  effective  social  dialogue  and  the  promotion  of  collective 
bargaining.  

•  The  EU  encouraged  Georgia  to  pursue  efforts  to  complete  alignment  of  the  legal 
framework  to  ILO  fundamental  Conventions  100  (Equal  Remuneration)  and  111 
(Non-discrimination). 

3. 

MONITORING IN SPECIFIC AREAS  

An anti-circumvention mechanism applies to several agricultural goods i.e. beef, pork, sheep 
and poultry meat, dairy products, eggs and albumins, mushrooms, cereals, malt, starches and 
sugars as well as to processed agricultural products such as sweetcorn, processed sugars and 
cereals and cigarettes. For none of the products under the anti-circumvention mechanism the 
respective trigger levels were exceeded in 2023, due to the low trade levels for those products 
in the analysed period. 

84 

 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE DEEP 
AND COMPREHENSIVE FREE TRADE AREA BETWEEN THE EU AND 
MOLDOVA 

1. 

THE AGREEMENT 

The Deep and Comprehensive Free Trade Area (DCFTA) between the EU and Moldova is 
the  main  economic  pillar  of  the  Association  Agreement  (AA)  and  has  been  provisionally 
applied  since  1  September  2014  (it  fully  entered  into  force  on  1  July  2016).  The  DCFTA 
comprises two main components: trade liberalisation (in the form of a Free Trade Agreement) 
and regulatory approximation to the EU acquis.  

The  DCFTA  applies  to  the  entire  territory  of  the  Republic  of  Moldova  (i.e.  including 
Transnistria) since 1 January 2016, as per Decision No 1/2015 of the EU-Republic of Moldova 
Association  Council.  The  EU  monitors  the  implementation  of  these  arrangements  and  its 
adherence  by  both  Chisinau  and  Tiraspol  on  a  yearly  basis,  and  progress  is  assessed  in  the 
framework of the annual Association Committee in Trade Configuration.  

Moldova is a member of the Convention on pan-Euro-Mediterranean preferential rules of 
origin  (“PEM  Convention”)  and  applies  the  transitional  set  of  rules  of  origin  applicable 
alongside the rules of the PEM Convention on a bilateral basis with the EU since 16 November 
2021.  On  7  December  2023,  the  country  adopted  the  revision  of  this  PEM  Convention  that 
modernises the rules of origin applicable in the PEM area. It will enter into force on 1 January 
2025. 

This  information  sheet  constitutes  the  report  on  the  implementation  of  the  EU-Moldova 
DCFTA,  in  line  with  the  reporting  requirements  of  the  Regulation  implementing  the  anti-
circumvention mechanism provided for in the EU-Moldova Association  Agreement.67 It also 
constitutes  the  assessment  of  the  implementation  of  the  trade-liberalisation  measures  as  per 
article 6 of Regulation (EU) 2023/152468. 

Following  Russia’s  unprovoked  and  unjustified  war  of  agression  against  Ukraine,  Moldova 
was granted EU candidate status in June 2022 and in December 2023 the EU agreed to open 
accession negotiations with Moldova.  

Furthermore,  the  EU  adopted  autonomous  trade  measures  (ATMs)  on  18  July  2022  to 
temporarily increase the size of the tariff-rate quotas (TRQs) for seven agricultural products69 

67 Regulation (EU) 2016/400 of the European Parliament and of the Council of 9 March 2016 implementing the 
anti-circumvention mechanism provided for in the Association Agreement between the European Union and the 
European Atomic Energy Community and their Member States, of the one part, and Moldova, of the other part 
(OJ  L 77/53  of  23.3.2016).  According  to  its  Article  14,  the  Commission  shall  submit  an  annual  report  on 
implementation of this Regulation and Title V (DCFTA) of the Association Agreement. The report shall, inter alia, 
include  information  about  the  application  of  the  anti-circumvention  mechanism  and  set  out  a  summary  of  the 
statistics and the evolution of trade with Moldova. 
68 Regulation (EU) 2023/1524 of the European Parliament and of the Council of 20 July 2023 on temporary trade 
liberalisation measures supplementing trade concessions applicable to products from the Republic of Moldova 
under the Association Agreement between the European Union and the European Atomic Energy Community and 
their Member States, of the one part, and Ukraine, of the other part ( OJ L 185, 24.7.2023, p. 1–6) 
69 Plums, cherries, apples, table grapes, grape juice, tomatoes, and garlic. 

85 

 
 
 
for a period of one year.  These ATMs were extended for another year on 20 July 2023 and 
enhanced to suspend temporarily all outstanding tariffs (TRQs and the entry price system) under 
the DCFTA. All other Moldovan exports to the EU are already tariff and quota free. By the end 
of 2023,  exports  of three of the products  covered by the  ATMs  (tomatoes, garlic and grape 
juice)  remained  at  zero;  but  exports  of  plums,  cherries,  apples  and  grapes  increased, 
demonstrating the economic value of the ATMs for Moldova, although in absolute terms the 
volumes exported by Moldova remained limited, except for plums70.  

The social impact of the trade-liberalisation measures in the EU and Moldova can be assessed 
to be very modest, considering the relatively limited scope and volumes of additional exports 
they have generated. Politically, on the other hand, the ATMs have been important for Moldova 
to  demonstrate  to  its  population  the  value  of  its  European  choice,  and  support  its  gradual 
integration into the EU internal market.  

2. 

MAIN IMPLEMENTATION ISSUES 

2.1.   Market Access: Progress and outstanding issues  

In 2023, the EU and Moldova agreed a Priority Action Plan (PAP) which identifies immediate 
actions  that  can  be  undertaken  in  the  period  up  to  the  end  of  2024  to  accelerate  the 
implementation of the DCFTA and enhance access to the EU internal market.  

Moldova has made some progress in the regulatory approximation process in different fields of 
the EU acquis, especially on TBT, SPS, customs and telecom services. Such approximation 
needs to be accompanied by effective enforcement by independent and transparent institutions, 
which is challenging in some areas, as well as by the necessary secondary legislation.  

In  2023,  Moldova  took  further  steps  to  approximate  its  legislation  to  the  EU  acquis  and 
comply with the commitments under the DCFTA. 

Implementation  of  the  DCFTA  was  discussed  during  the  10th  EU-Moldova  Association 
Committee in Trade Configuration (ACTC),  which was  held  in  Chisinau on 5-6 October 
2023, noting progress made on several issues: 

•  As  regards  TBT,  Moldova  reported  steps  towards  a  possible  future  Agreement  on 
Conformity Assessment and Acceptance of Industrial Products (ACAA) in the field of 
electrical  and  electronic  equipment  and  electromagnetic  compatibility  (EMC).  A 
preliminary legal  assessment began  in  2023, to  be followed by  an  assessment of the 
quality infrastructure.  

• 

In the area of  SPS, Moldova continued its approximation to  the EU acquis. The EU 
authorised imports of table eggs and processed poultry meat from Moldova at the start 
of 2023 and further work is ongoing to import fresh poultry meat in the near future. 

70 In 2023, Moldova exported 60 000 tonnes of plums to the EU, 2 800 tonnes of fresh cherries, 13 000 tonnes of 
apples, and 33 000 tonnes of grapes.  

86 

 
 
 
 
 
 
• 

• 

In  regards  to  public  procurement,  Moldova  has  adopted  legislation  on  low  value 
procurement, which is a welcome step forward, although the thresholds for direct award 
are  high.  The  law  on  public-private  partnerships  (PPPs)  is  not  aligned  with  the  EU 
acquis.  On  the  other  hand,  there  is  ongoing  effort  for  further  alignment  of  the 
concessions’  legislation  with  the  EU  concessions’  Directive.  On  e-procurement, 
following concerns raised by the EU, Moldova is planning to redesign the whole system.  

In the area of customs, Moldova’s new Customs Code, based on the Union Customs 
Code,  entered  into  force  on  1  January  2024.  Effective  implementation,  notably  in 
Moldova’s Free Economic Zones (FEZ), will be important. The EU’s aligned customs 
code has not been fully implemented yet in FEZs despite Moldova’s commitment to full 
alignment by 1st September 2024 under the EU-Moldova Association Agreement. While 
the  FEZ  law  has  been  amended  to  align  with  the  new  customs  code  it  still  does  not 
provide for an effective implementation starting in September 2024. Moldova needs to 
make progress on the deployment of the New Computerised Transit System phase 5 in 
order to be able to join the Common Transit Convention by Q2 2025. It should be noted 
that Moldova has played a positive role in assuring that the Ukraine-Moldova-Romania 
green lane is functioning.   

•  On Telecommunications Services, substantial progress has been made to align with the 
EU telecoms aquis. In particular, good progress has been made on roaming: a voluntary 
roaming agreement between operators came into force on 1 January 2024 and the first 
step has been taken towards a long-term solution with the ACTC Decision to update the 
telecoms annex of the DCFTA to include the roaming acquis. Several actions still need 
to be undertaken by Moldova in order to make progress on the mutual recognition of 
electronic identities and electronic signatures.  

•  On postal services: Moldova has made good progress regarding alignment with the EU 
Regulation on cross-border parcel delivery services and the postal and courier services 
annex of the DCFTA has been updated by an ACTC Decision to include the latest EU 
acquis.   

Limited progress was made by Moldova on IPR since plans to align with the EU acquis on 
trademarks have been announced. However, enforcement of the new Law on Copyright and 
Related  Rights  has  raised  some  concerns  regarding  insufficient  remuneration  for  holders  of 
copyrights  and  related  rights  under  the  newly  accredited  Collective  Rights  Management 
Organisations in Moldova. 

2.2   Trade and Sustainable Development: Progress and outstanding issues   

As it embarks on the accession process, Moldova will use the DCFTA implementation to build 
administrative capacity and reform its legal framework on sustainability.  

87 

 
 
 
 
 
 
 
In  the  meeting  of  the  TSD  Subcommittee  on  16  March  2023  three  environment-related 
topics were discussed: deforestation, management of waste and decarbonization. In addition, 
the  subcommittee  considered  the  essential  role  of  labour  inspections  for  the  effective 
implementation of labour rights and decent working conditions, tackling undeclared work, and 
ensuring a competitive business environment:  

As regards labour matters, the EU welcomed progress on the labour inspections system since 
the previous TSD Subcommittee, and stressed the importance of continuing to strengthen it in 
line  with  the  requirements  of  applicable  ILO  Conventions.  The  parties  also  agreed  on  the 
importance of duly involving and consulting social partners  in the development of labour 
legislation  and  of  strengthening  occupational  health  and  safety.  Moreover,  the  discussion 
underlined  the  need  to  pursue  efforts  to  combat  child  labour  as  well  as  informal  and 
undeclared work. 

Engagement  with  civil  society  took  place  before  and  after  the  TSD  committee.  The  joint 
statement by the DAGs inter alia drew attention to the need of speeding up the adoption of a 
policy document in the field of occupational safety and health and occupational diseases, in 
accordance  with  international  commitments  and  to  aligning  national  legislation  with  ILO 
conventions No 81 and No 129 on labour inspections to further boost the status and capacity of 
the State Labour Inspectorate. In addition the statement emphasized the importance of a revision 
of land management and the water directive and the importance of a precise and unambiguous 
forest policy.  

In  February  2024,  Moldova  provided  up-dates  on  a  number  of  measures  related  to  the 
environment, such as the approval of the eco-labelling regulation and the management of end-
of-life vehicles regulation, ongoing work on the draft Climate action law, the new forest Code 
and  the  measurement,  reporting  and  verification  (MRV)  regulation.  On  labour,  Moldova 
reported, among others, about its work on policy and legislative initiatives in the area of health 
and safety at work, legal amendments of July 2023 to encourage social dialogue, and progress 
in the fight against child labour.     

3. 

MONITORING IN SPECIFIC AREAS  

An anti-circumvention mechanism applies to several agricultural goods (inlcuding pig and 
poultry meat, dairy products, eggs, sugar and some cereals such as wheat, barley and maize) as 
well  as  to  processed  agricultural  products  such  as  sweet  corn,  processed  sugars,  dairy  and 
cereals  and  cigarettes.  In  2023,  Moldova  exceeded  the  thresholds  for  wheat  (188%)  and 
processed  cereals  (148%)  and  the  thresholds  for  maize  and  sweet  corn  exceeded  80%,  but 
provided satisfactory explanations for the respective levels. 

88 

 
 
 
 
 
Western Balkans – Stabilisation and Association 
Agreements 

89 

 
 
 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE TRADE 
PILLAR OF THE EU-KOSOVO* STABILISATION AND ASSOCIATION 
AGREEMENT 

1. 

THE AGREEMENT 

The EU and Kosovo signed a Stabilisation and Association Agreement (SAA) on 27 October 
2015. The SAA is the prime instrument of the EU’s overall policy towards the Western Balkan 
countries’  Stabilisation  and  Association  process.  Kosovo  submitted  an  application  for  EU 
membership in December 2022.  

The SAA - including the trade-related part - entered into force on 1 April 2016 and foresees:  

−  Upgrading the existing trade relations by gradual establishment of a free trade area over 

a period lasting a maximum of 10 years.  

−  Almost unrestricted market access to the EU for goods produced in Kosovo: upon entry 
into  force  of  the  SAA,  the  EU  has  abolished  all  customs  duties  that  had  applied  to 
Kosovo, with the exception of a few product lines in the agricultural sector, which are 
subject to specific duties or tariff-quotas. NB: Kosovo has abolished the customs duties 
on a number of tariff lines (industrial, agricultural and fishery products), while for the 
rest it will reduce the duties progressively over 10 years.  

−  Kosovo’s commitment to ensure the gradual approximation of its laws with the EU 
acquis  in  a  number  of  important  areas,  such  as  public  procurement,  standardisation, 
consumer  protection,  working  conditions  and  equal  opportunities.  The  SAA  also 
provides for a gradual liberalisation in the areas of rights of establishment, supply of 
services  and  movement  of  capital  and  it  includes  provisions  on  competition  matters, 
state aid, and intellectual property rights. 

The EU and Kosovo are applying the rules of origin of the PEM Convention since 1 April 
2016.  Since  15  October  2022  the  EU  and  Kosovo  are  applying  on  bilateral  basis  the 
Transitional rules of origin in parallel with those of the PEM Convention. On 7 December 
2023, the country adopted the revision of this PEM Convention that modernises the rules of 
origin applicable in the PEM area. It will enter into force on 1 January 2025. 

Kosovo continues to benefit from Autonomous Trade Measures (ATMs) introduced under 
Regulation 2020/217271, which provides additional market access for certain fruits, vegetables 
and wines, thereby allowing nearly all Kosovan exports to enter the EU without customs duties 
or limits on quantities. The current ATM Regulation is due to expire at the end of December 
2025. 

71 Regulation (EU) 2020/2172 of the European Parliament and of the Council of 16 December 2020 amending 
Council Regulation (EC) No 1215/2009 introducing exceptional trade measures for countries and territories 
participating in or linked to the European Union’s Stabilisation and Association process 

90 

 
 
 
 
 
 
 
 
 
The Commission was informed in November 2019 of Kosovo’s plans to submit an application 
for WTO observer status. 

2. 

MAIN IMPLEMENTATION ISSUES 

Implementation of the SAA is progressing and has yet to reap its full benefits. Administrative 
capacity  and  the  weak  level  of  cooperation  and  coordination  among  institutions  remain  a 
challenge. 

In 2023, progress was made in the implementation of the SAA’s trade related commitments in 
the vehicles’ sector, where Kosovo adopted the general administrative procedure related 
to  the  implementation  of  the  amendments  made  to  the  Law  on  Vehicles.  All  additional 
homologation  requirements  for  imported  used  vehicles  have  therefore  now  been  lifted,  thus 
resulting in the recognition by Kosovo of all new vehicles with EU conformity certificates as 
well as all used cars allowed for traffic in the EU. 

The lack of legislation on losses of petroleum (through evaporation) during transportation 
is a longstanding concern among EU investors, as such losses are not deducted by Kosovo’s 
authorities and thus not taken into account when they calculate customs duties and taxes.  

In June 2023, Kosovo’s Ministry for Internal Affairs (MoI) issued a “temporary operational 
security measure” blocking the entry into Kosovo of Serbian goods and postal parcels. This 
measure appears not to be in line with Kosovo’s commitments under the Central European Free 
Trade Agreement (CEFTA) and goes against the spirit of the SAA. The measure was imposed 
by Kosovo following the arrest of three Kosovo Police officers by the Serbian authorities in 
mid-June 2023. The ban continues to apply to finished products, but excludes raw materials, 
semi-finished products, mineral fertilizers, animal feed, machinery, and equipment. 

91 

 
 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON IMPLEMENTATION OF THE TRADE 
PILLAR OF THE EU-SERBIA STABILISATION AND ASSOCIATION 
AGREEMENT 

1. 

THE AGREEMENT 

The EU and Serbia signed a  Stabilisation and Association Agreement (SAA) on 29 April 
2008. The SAA is the prime instrument of the EU’s overall policy towards the Western Balkan 
partners’ Stabilisation and Association process.  

The SAA entered into force in its entirety on 1 September 2013, whereas the trade-related 
part of the SAA entered into force -through an Interim Agreement- on 1st February 2009 for 
Serbia, and on 8 December 2009 for the EU. This Agreement established a free-trade area over 
a transitional period of six years.  

•  The  SAA  covers  products  in  all  Chapters  of  the  Harmonised  System.  Only  a  few 
exceptions, concerning a limited number of agricultural and fishery products were not 
fully liberalised and are still subject to preferential quantitative concessions (Tariff Rate 
Quotas).   

•  The SAA also includes provisions concerning competition and state aid, investment and 
related  payments,  a  high  level  of  protection  of  intellectual  property  rights  and 
strengthened  co-operation  in  customs  matters  as  well  as  in  social  and  labour  market 
policies.  Since  the  entry  into  force  of  the  full  SAA  in  2013,  a  number  of  additional 
disciplines have been implemented concerning legislative approximation in many areas 
including standardisation, as well as provisions regarding services and establishment. 

Under  Stabilisation  and  Association  process,  Western  Balkan  partners  are  granted  a  clear 
perspective  to  become  EU  Member  States.  Since  the  opening  of  Serbia’s  accession 
negotiations in January 2014, 22 out of 35 chapters have been opened, including chapter 30 
on external relations which covers with the Common Commercial Policy, all chapters in cluster 
1  on  the  fundamentals  and  all  chapters  in  cluster  4  on  the  Green  agenda  and  sustainable 
connectivity.  Chapters  25  (Science  and  research)  and  26  (Education  and  culture)  have 
provisionally been closed. In June 2021, Serbia accepted the revised enlargement methodology. 
The overall pace of negotiations will continue to depend, in particular, on the pace of rule of 
law reforms and on the normalisation of Serbia’s relations with Kosovo.   

Serbia  benefits  from  Autonomous  Trade  Measures  (ATMs)  introduced  under  Regulation 
2020/217272, which provides additional market access for certain fruits, vegetables and wines, 
thereby allowing nearly all Serbian exports to enter the EU without customs duties or limits on 
quantities. The current ATM Regulation is due to expire at the end of December 2025. 

The  EU  and  Serbia  are  applying  the  PEM  Convention  since    1  February  2015  and  the 
transitional rules as of 6 December 2021. 

72 Regulation (EU) 2020/2172 of the European Parliament and of the Council of 16 December 2020 amending 
Council Regulation (EC) No 1215/2009 introducing exceptional trade measures for countries and territories 
participating in or linked to the European Union’s Stabilisation and Association process 

92 

 
 
 
 
 
 
Serbia  started  negotiating  its  accession  to  the  WTO  in  2004.  The  EU  continues  to  support 
Serbia’s efforts but the negotiation process has been stalled for several years. 

2. 

MAIN IMPLEMENTATION ISSUES 

Serbia has generally made  good progress in  implementing the trade provisions of the SAA 
since  its  entry  into  force.  However,  Serbia  has  a  tendency  to  introduce  ad  hoc  temporary 
measures without prior consultations with the Commission, contrary to what is stipulated by 
the SAA. A number of  trade restrictions were introduced in the course of 2022 on products 
in the agricultural and energy sectors in non-respect of the provisions of the SAA, some of 
which remained in force in 2023:  

•  export ban on milk and butter products (from September 2022 until 31 January 

2023);  

•  export ban on certain raw wood products (from 26 May 2022 until 31 October 

2022, and from 5 November 2022 until 31 January 2023);  

•  export  quotas  for  different  types  of  raw  wood  (from  5  August  2022  until  28 

February 2023);  

•  export  restrictions  on  wood  pellets  (from  1  December  2022  until  31  January 

2023);  

•  export ban on Eurodiesel EN 590 (from 30 June 2022 until 31 March2023); and 
export ban on natural gas (from 17 October 2022 until 28 February 2023). 

In addition, Serbia in 2023 continued to manage wine quotas in line with its changes adopted 
in December 2020 and in December 2022, respectively. The new system changed the previous 
allocation principle (i.e. first come/first served system) into a system where the import quota is 
allocated over 4 quarters and the allocation per trader is restricted to 15% of the available quota 
in each of the first three quarters. The new system risks harming market access by EU exporters 
and imposing additional costs, and continues to monitor the situation.  

In addition, new irritants surfaced in 2023 and early 2024: 

•  changes to the import duties envisaged in the SAA applying to a large number of milk 

and dairy products (from February 2023 until 31 October 2023);  

•  amendments to further increase the level of special import duties for certain groups of 
dairy products, mainly milk and sour cream, yoghurt and related products, whey and 
butter (from July 2023 until 31 October 2023); 

•  quantitative import restrictions on sunflower oil and margarine and an import ban on 

wood pellets. 

Serbia continued to raise concerns regarding the impact of the EU’s steel safeguard measures.  

93 

 
 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE TRADE 
PILLAR OF THE EU-BOSNIA AND HERZEGOVINA STABILISATION AND 
ASSOCIATION AGREEMENT 

1. 

THE AGREEMENT 

The  Stabilisation  and  Association  Agreement  (SAA)  between  the  EU  and  Bosnia  and 
Herzegovina signed a on 16 June 2008 and entered into force on 1st June 2015. The SAA is the 
the legal basis for relations with the country within the Stabilisation and Association process. 
The European Councilgranted the status of EU candidate country to Bosnia and Herzegovina 
on 15 December 2022, and on 21 March 2024 decided to open EU accession negotiations with 
Bosnia and Herzegovina.  

The trade-related part of the SAA entered into force already through an Interim Agreement on 
1st July 2008. This Agreement established a free-trade area over a transitional period of five 
years. The Agreement covers products in all Chapters of the Harmonised System. Regarding 
agricultural  products,  the  agreement  is  largely  asymmetrical.  EU  agricultural  imports  from 
Bosnia and Herzegovina are almost completely liberalised (with very few exceptions). On the 
other hand, EU agricultural exports to Bosnia and Herzegovina remain subject to tariffs and 
tariff rate quotas (TRQs).  

The Agreement also includes provisions concerning competition and state aid, investment and 
related payments, a high level of protection of intellectual property rights and strengthened co-
operation in customs matters. Since the entry into force of the SAA on 1 June 2015, a number 
of  additional  disciplines  have  been 
implemented  concerning,  notably,  government 
procurement,  legislative  approximation  in  many  areas  including  standardisation,  as  well  as 
provisions regarding services and establishment. 

Bosnia  and  Herzegovina  benefits  from  Autonomous  Trade  Measures  (ATMs)  introduced 
under  Regulation  2020/217273,  which  provide  additional  market  access  for  certain  fruits, 
vegetables and wines, thereby allowing nearly all products from Bosnia and Herzegovina to 
enter the EU without customs duties or limits on quantities. The current ATM Regulation is due 
to expire at the end of December 2025. 

The EU and Bosnia and Herzegovina apply the PEM Convention since 9 December 2016 and 
the Transitional rules as of 11 December 2023. 

Bosnia  and  Herzegovina  started  negotiating  its  accession  to  the  WTO  in  1999.  The  EU 
continues  to  support  Bosnia  and  Herzegovina’s  efforts  to  conclude  WTO  accession 
negotiations.  

73 Regulation (EU) 2020/2172 of the European Parliament and of the Council of 16 December 2020 amending 
Council Regulation (EC) No 1215/2009 introducing exceptional trade measures for countries and territories 
participating in or linked to the European Union’s Stabilisation and Association process 

94 

 
 
 
 
 
 
 
 
2. 

MAIN IMPLEMENTATION ISSUES 

Bosnia and Herzegovina has made reasonable progress in implementing the SAA provisions 
since their entry into force.  

In  June  2022,  Bosnia  and  Herzegovina  introduced  a  3-month  export  ban  for  certain  wood 
products,  without  sufficient  justifications  nor  notifying  or  consulting  the  Commission  in 
advance  as  required  under  the  SAA.  This  was  again  prolonged  in  May  2023.  The  measure 
expired on 31 July 2023, following a series of consultation meetings with the authorities. 

At the same time, Bosnia and Herzegovina’s excise duties on beer remains a long-standing 
trade irritant. Since 2014 the law allows reduced excise duties (0.20 BAM) for breweries with 
a production of less than 400,000 hl (average past 3 years).74 Since 2018, the country’s biggest 
brewery, BanjaLucka Pivara, is also charged the normal excise rate (0.25 convertible mark) – 
however, all other breweries in Bosnia and Herzegovina benefit from the reduced rate. 

This point has been on the agenda of every SA subcommittee on trade, most recently in 2023, 
when the authorities mentioned  plans to lower the threshold to 90.000 hl, (which would comply 
with the EU acquis).   

Another trade irritant was introduced in 2022 with the removal of various medicines produced 
by EU companies from the official lists of medicines, which can be prescribed and dispensed 
by  health  insurance  funds  in  certain  cantons.  This  is  openly  presented  in  Bosnia  and 
Herzegovina as support for local producers and is a discrimination against EU producers, in 
breach  of  the  SAA.  The  European  Commission  has  written  to  the  authorities  asking  for  the 
measure to be removed and repeatedly raised the issue at the trade subcommittee in 2022 and 
2023.  The  issue  was  also  addressed  at  the  last  SA  subcommittee  on  internal  market  and 
competition, where the authorities announced that each canton concerned was in the process of 
adopting  new  lists  to  include  EU  medicines  and  therefore  remove  the  discrimination.  The 
Commission will continue to monitor the situation and follow up, as necessary. 

74 The EU also allows reduced excise duties for small brewers under EU Directive 92/83/EEC but the ceiling is 
only 200,000 hl/year.   

95 

 
 
 
 
 
ANNUAL INFORMATION SHEET ON IMPLEMENTATION OF THE TRADE 
PILLAR OF THE EU-MONTENEGRO STABILISATION AND ASSOCIATION 
AGREEMENT 

1. 

THE AGREEMENT 

The  EU  and  Montenegro  signed  a  Stabilisation  and  Association  Agreement  (SAA) on  15 
October 2007. The SAA is the prime instrument of the EU’s overall policy towards the Western 
Balkans’ Stabilisation and Association process.  

The SAA entered into force on 1 May 2010, although the trade-related part of the SAA already 
entered into force through an Interim Agreement on 1 January 2008. The SAA established a 
free-trade area over a transitional period of five years. From the date of the Interim Agreement, 
the EU granted permanent liberalisation of 97.3% of tariff lines, representing almost duty free 
treatment  to  all imports  from  Montenegro. By 2013, Montenegro had liberalised 95% of its 
tariff lines,  representing  99% of EU imports during the three years preceding  the entry into 
force of the agreement. The SAA covers products in all Chapters of the Harmonised System. 
Only a few agricultural and fishery products are not fully liberalised and subject to preferential 
quantitative concessions (TRQs).   

The SAA also includes provisions concerning competition and state aid, investment and related 
payments,  a  high  level  of  protection  of  intellectual  property  rights  and  strengthened  co-
operation in customs matters. Since the entry into force of the full SAA in 2013, a number of 
additional disciplines have been implemented concerning legislative approximation in  many 
areas including standardisation, as well as provisions regarding services and establishment. 
Under Stabilisation and Association process, all Western Balkan countries are granted a clear 
perspective to become EU Member States.  

Accession negotiations with Montenegro were opened in June 2012. To date, 33 negotiating 
chapters  have  been  opened,  of  which  three  have  been  provisionally  closed,  including  the 
Chapter on External Relations (Common Commercial Policy). Overall progress in the accession 
negotiations depends on progress in the area of rule of law, in line with the requirements set out 
in  the  Negotiating  Framework  as  well  as  the  revised  methodology  formally  accepted  by 
Montenegro  at  the  Intergovernmental  Conference  held  on  22  June  2021.  Progress  towards 
meeting the interim benchmarks set in the rule of law Chapters 23 and 24 will be key to achieve 
further progress  in  the negotiations overall. No further chapters will be provisionally  closed 
before this milestone is reached.  

Montenegro  benefits  from  Autonomous  Trade  Measures  (ATMs)  introduced  under 
Regulation 2020/217275, which provide additional market access for certain fruits, vegetables 
and wines, thereby allowing nearly all Montenegrin exports to enter the EU without customs 
duties  or  limits  on  quantities.  The  current  ATM  Regulation  is  due  to  expire  at  the  end  of 
December 2025. 

75 Regulation (EU) 2020/2172 of the European Parliament and of the Council of 16 December 2020 amending 
Council Regulation (EC) No 1215/2009 introducing exceptional trade measures for countries and territories 
participating in or linked to the European Union’s Stabilisation and Association process 

96 

 
 
 
 
The EU and Montenegro are applying the PEM Convention since 1 February 2015 and the 
transitional rules as of 9 February 2022. 

Montenegro has been a member of the WTO since 29 April 2012. 

2. 

MAIN IMPLEMENTATION ISSUES 

Montenegro continues to make good progress in implementing the SAA since its entry into 
force. There are no significant trade barriers.  

97 

 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE TRADE 
PILLAR OF THE EU-ALBANIA STABILISATION AND ASSOCIATION 
AGREEMENT 

1. 

THE AGREEMENT 

The EU and Albania signed a Stabilisation and Association Agreement (SAA) on 12 June 
2006. The SAA constitutes the framework of relations between the European Union and the 
Western Balkan countries for the implementation of the Stabilisation and Association Process. 
This process is the European Union's policy towards the Western Balkans, established with the 
aim of eventual EU membership. On 19 July 2022, EU accession negotiations officially began 
with Albania. The first step in the accession negotiations process, the analytical examination 
of  the  EU  acquis  or  the  ‘screening’,  was  launched  on  the  same  date  and  has  progressed 
smoothly. 

The full SAA entered into force on 1 April 2009, although the trade-related part of the SAA 
already  entered  into  force  through  an  Interim  Agreement  on  1  December  2006.  The  SAA 
established a free-trade area over a transitional period of ten years. As regards the EU, in 2006, 
98.7% of its tariff lines were already duty-free, representing 100% of the value of imports from 
Albania. By 2010, Albania had liberalised 92.7% of its tariff lines for imports from the EU.  

•  The  SAA  covers  products  in  all  Chapters  of  the  Harmonised  System.  Regarding 
agricultural products, the agreement is largely asymmetrical. EU agricultural imports 
from  Albania  are  almost  completely  liberalised  (with  very  few  exceptions).  In  this 
regard, Albania expressed during the last Subcommittee meetings on Agriculture and 
Fisheries their wish to improve their existing market access under the SAA for certain 
fish and fishery products tariff rate quotas (TRQs). On the other hand, EU agricultural 
exports  to  Albania  remain  subject  to  tariffs  and  TRQs.  On  the  other  hand,  EU 
agricultural exports to Albania remain subject to tariffs and TRQs.  

•  The  SAA  also  includes  provisions  concerning  competition  matters,  investment  and 
related  payments,  a  high  level  of  protection  of  intellectual  property  rights  and 
strengthened co-operation in customs matters. Since the entry into force of the full SAA 
on 1 April 2009, a number of additional disciplines have been implemented concerning, 
notably, government procurement, legislative approximation in many areas including 
standardisation, as well as provisions regarding services and establishment. 

The  SAA  and  its  Interim  Agreement,  applied  since  2006,  have  allowed  progressive  trade 
liberalisation and mutual duty-free access for most goods.  

Since  2000  Albania  has  also  been  benefiting  from  the  ‘Autonomous  Trade  Measures’ 
introduced under Regulation 2020/217276, which provide additional market access for certain 
fruits,  vegetables  and  wines,  thereby  allowing  nearly  all  Albanian  exports  to  enter  the  EU 

76 Regulation (EU) 2020/2172 of the European Parliament and of the Council of 16 December 2020 amending 
Council Regulation (EC) No 1215/2009 introducing exceptional trade measures for countries and territories 
participating in or linked to the European Union’s Stabilisation and Association process. 

98 

 
 
 
 
 
 
without customs duties or limits on quantities. The current ATM Regulation is due to expire at 
the end of December 2025. 

The  EU  and  Albania  are  applying  the  PEM  Convention  since  01.05.2015  and  the 
Transitional rules as of 01.09.2021. 

Albania has been a member of the WTO since 8 September 2000. 

2. 

MAIN IMPLEMENTATION ISSUES 

Albania continues to make good progress in implementing the SAA provisions since their entry 
into force.  

There are no significant trade barriers. However, it has been established that Rakia produced 
in Albania is subject to a rate of excise which is less than 25% of the rate applied to all other 
spirituous beverages, including EU imports.  The Commission will address this issue with the 
Albanian authorities in the context of the accession negotiations and in the annual subcommittee 
on Trade, Industry, Customs and Taxation. 

More information is also still needed regarding an economic cooperation agreement concluded 
between  Albania  and  the  United  Arab  Emirates,    which  seems  to  exempt  certain  strategic 
projects from all public procurement and competition rules, including a project to develop the 
Durres  port.  This  would  need  to  be  clarified  in  case  future  investments  would  require  EU 
funding under the Western Balkans Investment Platform (WBIF) of the EU’s Economic and 
Investment  Plan  for  the  Western  Balkan  countries.  Albania  has  given  the  Commission 
assurances that the projects and procedures included in the Agreement with the United Arab 
Emirates will be in line with the obligations of the SAA. However, Albania has failed to explain 
how Article 6 of the Agreement will be applied in practice, and how compatibility with Article 
74 of the SAA will be ensured. 

In the area of procurement an potentially problematic amendment introduced in February 2024 
to  the  Public  Procurement  Law  creates  the  possibility  of  concluding  direct  agreements  in  a 
number of areas following a decision of the Council of Ministers, for a 3-year period raises. 
Another recent amendment in the area of concessions provides for the retroactive application 
of changed guarantee requirements to already launched procedures, an issue whichis going to 
be followed-up.    

99 

 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE TRADE 
PILLAR OF THE STABILISATION AND ASSOCIATION AGREEMENT BETWEEN 
THE EU AND NORTH MACEDONIA 

1. 

THE AGREEMENT 

The EU and North Macedonia signed a Stabilisation and Association Agreement (SAA) on 
9 April 2001. The SAA constitutes the framework of relations between the European Union 
and the Western Balkan countries for the implementation of the Stabilisation and Association 
Process. This process is the European Union's policy towards the Western Balkans, established 
with  the  aim  of  eventual  EU  membership.  On  19  July  2022,  EU  accession  negotiations 
officially began with North Macedonia. The first step in the accession negotiations process, 
the analytical examination of the EU acquis or the ‘screening’, was launched on the same date 
and has progressed smoothly.   

The SAA entered into force on 1 April 2004, although the trade-related part of the SAA already 
entered into force through an Interim Agreement on 1 June 2001. Trade liberalisation between 
the  EU  and  North  Macedonia  was  completed  over  a  period  of  ten  years.  The  SAA  covers 
products in all Chapters of the Harmonised System.   

•  Regarding agricultural products, the agreement is largely asymmetrical. EU agricultural 
imports  from  North  Macedonia  are  almost  completely  liberalised  (with  very  few 
exceptions).  On  the  other  hand,  EU  agricultural  exports  to  North  Macedonia  remain 
subject to tariffs and Tariff Rate Quotas (TRQs).  

•  The  SAA  also  includes  provisions  concerning  competition  matters,  investment  and 
related  payments,  a  high  level  of  protection  of  intellectual  property  rights  and 
strengthened co-operation in customs matters. Since the full entry into force of the SAA, 
a  number  of  additional  disciplines  have  been  implemented  concerning,  notably, 
government  procurement, 
including 
in  many  areas 
legislative  approximation 
standardisation, as well as provisions regarding services and establishment. 

North  Macedonia  benefits  from  Autonomous  Trade  Measures  (ATMs)  introduced  under 
Regulation 2020/217277, which provide additional market access for certain fruits, vegetables 
and wines, thereby allowing nearly all exports from North Macedonia to enter the EU without 
customs duties or limits on quantities. The current ATM Regulation is due to expire at the end 
of December 2025. 

The EU and North Macedonia are applying the PEM Convention since 1 May 2015 and the 
Transitional rules as of 9 September 2021. 

North Macedonia has been a member of the WTO since 4 April 2003. 

77 Regulation (EU) 2020/2172 of the European Parliament and of the Council of 16 December 2020 amending 
Council Regulation (EC) No 1215/2009 introducing exceptional trade measures for countries and territories 
participating in or linked to the European Union’s Stabilisation and Association process. 

100 

 
 
 
 
 
 
 
2. 

MAIN IMPLEMENTATION ISSUES 

North Macedonia has made good progress in implementing the SAA since its entry into force. 
There were no trade restricting measures in place in 2023. 

101 

 
 
 
 
 
 
 
 
 
United Kingdom, Switzerland, Norway, Türkiye 

102 

 
 
 
 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-
UNITED KINGDOM TRADE AND COOPERATION AGREEMENT 

1. 

THE AGREEMENT 

The EU-United Kingdom Trade and Cooperation Agreement (“TCA”) concluded between 
the EU and the United Kingdom sets out preferential arrangements in areas such as trade in 
goods and services, digital trade, intellectual property, public procurement,  air transport and 
aviation safety,  road transport, energy, fisheries, social security coordination, law enforcement 
and judicial cooperation in criminal matters, thematic cooperation and participation in Union 
programmes.  It  is  underpinned  by  provisions  ensuring  a  level  playing  field  and  sustainable 
development (LPFS) as well as respect for fundamental rights. 

The TCA was signed on 30 December 2020, was applied provisionally as of 1 January 2021 
and entered into force on 1 May 2021. The Commission presented a third annual report on the 
implementation and application of the TCA on 21 March 2024.78 The Parties continued to meet 
in the joint bodies established by the TCA to supervise and facilitate its implementation. The 
Commission  published  the  agendas  and  the  minutes  of  the  Trade  Specialised  Committee 
meetings and the Trade Partnership Committee79.   

The main benefits of the trade part of the agreement can be summarised as follows: 

Goods: 

•  Zero tariffs or quotas on goods, as long as the rules of origin are met. 
•  Traders can self-certify the origin of goods and enjoy full bilateral cumulation, while 

cumulation with products originating in third countries is not allowed. 

•  Mutual recognition of trusted traders programmes ensures lighter customs formalities 

and smoother flow of goods. 

•  Common definition of international standards and possibility to self-declare conformity 

of low-risk products to facilitate for producers to export to both markets. 

Services: 

While the TCA framework for services is significantly below the freedoms of establishment or 
to provide services within the single market, the TCA does include ambitious commitments to 
the benefit of the EU in trade in services and investment, for example: 

78 See third implementation report on the EU- United Kingdom-TCA; published on 21.3.2024 COM(2024) 127 
final; EU-UK Trade and Cooperation Agreement annual report 2023 - European Commission (europa.eu) 
79 https://commission.europa.eu/strategy-and-policy/relations-non-eu-countries/relations-united-kingdom/eu-uk-
trade-and-cooperation-agreement/meetings-eu-uk-partnership-council-and-specialised-committees-under-trade-
and-cooperation-agreement_en  

103 

 
 
 
 
 
 
 
 
 
•  Comprehensive coverage: all modes of services supply and investment, in almost all 

economic sectors; 

•  Market  access  on  services  and  investment  beyond  the  level  achieved  in  other  trade 

agreements; 

•  Specific  regulatory  provisions  for  a  number  of  services  sectors,  such  as  for  example 
delivery  services,  telecommunications  services,  international  maritime  transport 
services,  and  for  the  first  time,  a  regulatory  chapter  on  legal  services  resulting  in  a 
clearer presentation of our existing commitments; 
•  Best practice rules on licensing and qualifications; 
•  A  mechanism  to  agree  on  arrangements  for  the  mutual  recognition  of  professional 

qualifications; 

•  Rules  on  temporary  stay  of  persons  for  business  purposes,  in  line  with  the  highest 

standards of EU services agreements.  

Intellectual property 

There are commitments going beyond multilateral treaties in the area of IPR covering a wide 
range of various types of IPRs, including copyright and related rights, trade marks, designs, 
plant  varieties,  trade  secrets,  etc.  The  chapter  also  contains  strong  civil,  administrative  and 
border enforcement provisions. 

Public procurement 

The TCA incorporates the WTO’s Agreement on Public Procurement (GPA) rules and includes 
additional market access, beyond the GPA commitments, including privately-owned procuring 
entities with  monopoly rights in  all utility  sectors, procuring entities operating gas and heat 
networks, as well as some additional services. EU-owned companies established in the United 
Kingdom cannot be discriminated, even for small procurement (national treatment below the 
GPA threshold). The agreement also incorporates additional public procurement standards (e.g. 
enhanced use of electronic means, acceptance of self-declarations, sustainable procurement and 
single portal for all tenders). 

Level playing field and sustainable development: 

Given their geographic proximity and close economic ties, as well as the scope and the depth 
of the TCA, the EU and the United Kingdom agreed to robust commitments to ensure a level 
playing field and to contribute to sustainable development. 

More specifically, these provisions mean that: 

•  The high levels of protection applicable at the end of the transitional period in the areas 
of  labour  and  social  standards,  environment,  and  climate  cannot  be  lowered  by  the 
Parties in a manner affecting trade or investment. 

•  Commitments  to  address  anti-competitive  practices  or  dicriminatory  and  abusive 

behaviour by state-owned enterprises. 

•  Robust and comprehensive rules to prevent and address distortions created by subsidies.  
•  Specific  standards  and  rules  in  the  area  of  direct  taxation  as  well  as  a  joint  political 

declaration to counter tax avoidance and to harmful tax regimes and practices. 

104 

 
 
 
 
•  A wide-ranging set of commitments building on the EU's most ambitious precedents 

ensure that trade supports sustainable development. 

The enforcement of the level playing field provisions in the TCA is based on the following 
mechanisms mainly: 

•  Effective  implementation  domestically,  including  regarding  the  implementation  of 
subsidy  principles,  the  creation  of  an  independent  subsidy  control  authority  and  the 
control  of  their  legality  by  courts;  as  well  as  appropriate  administrative  and  judicial 
proceedings in the areas related to labour and social standards, environment and climate;  
•  Appropriate and effective governance and dispute settlement mechanisms for solving 
disputes  between  the  EU  and  the  United  Kingdom,  including  through  the  horizontal 
dispute settlement mechanism or tailored panel of experts; 

•  Unilateral  remedial  measures  to  react  quickly  to  trade/investment  distoring  subsidies 
and the possibility to apply unilateral rebalancing measures in the case of significant 
divergences in the areas of labour and social, environment or climate protection, or of 
subsidy control. 

2. 

MAIN IMPLEMENTATION ISSUES 

2.1   Market access: Progress and outstanding issues 

The consequences of the United Kingdom’s decision to leave the EU Customs Union and Single 
Market inevitably created barriers to trade that did not exist before. 

In  2023,  the  Commission  continued  to  monitor  the  implementation  of  the  United 
Kingdom’s  commitments  across  the  entire  agreement,  with  a  particular  focus  on  matters 
related  to  level  playing  field  and  sustainable  development,  notably  as  regards  United 
Kingdom’s  new  subsidy  control  framework,  developments  related  to  the  environment, 
including  the  chemical  sector,  labour  enforcement  in  the  United  Kingdom,  the  United 
Kingdom’s Emission Trade Scheme, as well as freeports. 

Among others, the Commission also continued to monitor the implementation by the United 
Kingdom  of  its  new  Border  Target  Operating  Model  published  in  August  202380.  The 
responsibility for implementing the Border Target Operating Model and electronic certification 
for imports into Great Britain lies with the United Kingdom and the Commission is helping EU 
stakeholders to prepare for the new import requirements. The EU side has repeatedly raised the 
issue  of  delays  in  introducing  electronic  certification  by  the  United  Kingdom  in  various 
meetings  of  the  Trade  Specialised  Committees  and  proposed  interim  solutions  to  ease  the 
burden  on  EU  exporters  to  the  United  Kingdom.  At  the  Trade  Specialised  Committee  on 

80 https://www.gov.uk/government/publications/the-border-target-operating-model-august-2023 

105 

 
 
 
 
 
 
Technical Barriers to Trade (which met on 18th October 2023) the parties agreed to close the 
review exercise under Article 7 of Annex 15 of the TCA.        

Progress was also made on a limited number of issues flagged by stakeholders in the area of 
trade in goods, related to import requirements that  will affect a  wide range of EU  exports, 
notably on conformity assessment (certificates and labelling requirements) and rules of origin 
for batteries and E-vehicles:  

•  On  24  January  2024,  the  United  Kingdom  announced  that  it  intends  to  legislate  to 
recognise the CE marking indefinitely for an additional range of product regulations. 
This will include the 18 regulations previously announced as well as three additional 
regulations: Ecodesign for Energy-Related Products 2010 Regulations, the Explosives 
Regulations 2014, and the Restriction of the Use of Certain Hazardous Substances in 
Electrical and Electronic Equipment Regulations 2012. 

• 

In  December  the  EU-UK  Partnership  Council  adopted  a  Decision  to  extend  the 
existing rules of origin for electric vehicles and batteries for three years, i.e., until 
31  December  2026.  The  latter  had  been  designed  in  2020  to  provide  incentives  for 
investment  in  the  EU's  battery  manufacturing  capacity.  However,  unforeseen 
circumstances–  including  the  consequences  of  Russia's  aggression  against  Ukraine, 
COVID-19 impact on supply chains, and increased competition from new international 
subsidy support schemes – had led to a situation where the scaling-up of the European 
battery  ecosystem  has  been  slower  than  initially  anticipated.  In  view  of  these 
circumstances, and considering the concerns raised by the European automotive, battery 
and chemical industries as well as trade unions, the existing rules had to be extended. 
This is a one-off extension that cannot be prolonged and in parallel, the EU is stepping 
up its efforts to support the production and development of more batteries in the EU. 
This includes the recently announced funding mechanism of up to €3 billion to boost 
the EU's battery manufacturing industry. 

In  the  area  of  services,  investment  and  digital  trade,  implementation  continues  to  be 
overall smooth. At the Trade Specialised Committee on 9 October 202381:  

•  The  review  concerning  the  implementation  of  the  cross-border  dataflows 

provision was completed (Article 201).  

•  The Commission/DG TRADE once again raised the issue of the United Kingdom’s 
Sponsorship Scheme. The EU considers the scheme problematic for the EU service 
suppliers, covered by the Mode 4 commitments. In concrete terms, the EU expressed 
its concern that the United Kingdom’s sponsorship system is a strong disincentive 
for UK companies when considering the hiring of EU services suppliers to provide 

81 dc828808-85b3-44c9-adbd-2f9667dbe931_en (europa.eu) 

106 

 
 
 
 
 
 
 
contracted  services  in  the  United  Kingdom.  DG  TRADE  continues  to  follow  the 
issue closely.  

2.2   Level  playing  field  and  Trade  and  Sustainable  Development:  Progress  and 

outstanding issues 

The third meeting of the Trade Specialised Committee on Level Playing Field for Open and 
Fair Competition and Sustainable Development took place on 4 October 2023, discussing 
inter  alia  issues  related  to  subsidy  control,  competition,  labour  and  social  standards, 
environment and climate and other instruments for trade and sustainable development.  

On subsidy control, the United Kingdom adopted the Subsidy Control Act 2022, which entered 
into  force  in  January  2023,  and  which  constitutes  the  main  legal  framework  of  the  subsidy 
control  system  of the United Kingdom.  The EU is  closely following  the enforcement  of the 
United Kingdom’s subsidy control regime and whether it will deliver an effective system of 
subsidy control as required by the EU-United Kingdom TCA.  

United Kingdom Freeports and Investment Zones remain areas of interest but also concern 
for  the  EU,  due  to  their  potential  effect  on  trade  or  investment.  At  the  Trade  Specialised 
Committee, the EU noted that there would still be issues of the United Kingdom’s Freeports 
policy that remained unclear, notably as regards the impact on trade and investment, the scrutiny 
of the subsidy measures granted to Freeports by the Subsidy Advice Unit and the application 
of cumulation rules.  

Another area of interest remains the United Kingdom’s system of carbon pricing, in concrete 
terms,  the  United  Kingdom’s  Emissions  Trading  System  (ETS).  The  Union  is  following 
closely any possible divergences between the EU and the United Kingdom’s Emission Trading 
systems, as well as any impact on the price of the United Kingdom’s ETS allowances. During 
the Trade Specialised Committee, the EU expressed concerns about the United Kingdom’s ETS 
reform of July 2023 and the significant drop in prices of the United Kingdom’s ETS allowances.  

In the area of labour and social standards, EU stakeholders raised concerns on the Strikes 
(Minimum  Services  Levels)  Act  2023.  The  Act  allows  employers  to  issue  ‘work  notices’ 
which specify the minimum services levels required and to be followed by trade unions. The 
Act  empowers  the  Secretary  of  State  to  make  regulations  setting  out  the  minimum  services 
levels required in six specified sectors during strikes: health services; fire and rescue services; 
education  services;  transport  services;  decommissioning  of  nuclear  installations  and 
management of radioactive waste and spent fuel; and border security.  

•  During the Trade Specialised Committee, the EU expressed concerns on the compliance 
of the Strikes (Minimum Service Levels) Act 2023 with the labour commitments of the 
EU-UK TCA, as regards compliance with Article 387 TCA and Article 399 TCA.  

107 

 
 
 
 
 
 
 
 
 
•  The Strikes (Minimum Services Levels) Act was also raised by the EU DAG for the 
EU-United  Kingdom  TCA,  which  claimed  that  the  measure  is  not  compliant  with 
Articles 387 TCA and Article 399 TCA. This point was raised by the Union in the Trade 
Specialised  Committee  on  Level  Playing  Field  for  Open  and  Fair  Competition  and 
Sustainable Development based on the EU DAG’s concerns.  

Regarding the environment, more specifically in the area of chemicals’ regulation, the UK is 
implementing  its  own  UK  REACH.  This  issue  was  raised  during  the  Trade  Specialised 
Committee and in the Trade Partnership Committee where the Union noted divergences on the 
timeline and implementation of UK REACH as compared to EU REACH.  

The  EU  DAG  for  the  EU-United  Kingdom  TCA  is  providing  advice  on  the  whole  of  the 
agreement. The DAG is also being consulted on inputs for the Trade Specialised Committees 
Agenda. Four meetings tool place in 2023 where members discussed, inter alia, issues relating 
to the implementation of the goods, services and level playing field chapters of the EU-United 
Kingdom TCA.  

108 

 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-
SWITZERLAND TRADE AGREEMENT 

1. 

THE AGREEMENTS 

The EU-Swiss trade relations are among the deepest worldwide outside the context of a customs 
union/internal market. For Switzerland, the EU is by far the most important trading partner. For 
the EU, Switzerland is the fourth overall trading partner, number three for services trade. 

The cornerstone of EU-Swiss trade relations is the EU-Switzerland Free Trade Agreement 
(hereinafter,  the  “FTA”)  that  entered  into  force  on  1  January  197382,  the  oldest  trade 
agreement signed by the EU.  

Given that the Principality of Liechtenstein83  and Switzerland constitute a Customs Union 
and the fact that the Principality of Liechtenstein expressed the desire for all the provisions of 
the EU-Swiss Free Trade Agreement to apply to it, an additional agreement84 was adopted to 
extend the full validity of the EU-Swiss FTA to the Principality of Liechtenstein.    

The  FTA  concerns  goods  but  lacks  provisions  on  services,  investment,  intellectual  property 
rights  (IPR),  government  procurement  or  social  and  environmental  values.  No  dispute 
settlement  mechanism  is  foreseen  beyond  the  regular  annual  dialogue  in  Joint  Committee 
meetings. Since 1999, the EU and Switzerland concluded a number of additional agreements 
which are relevant from a trade perspective:  

− 

− 

− 

− 

− 

The  Free  Movement  of  Persons  Agreement85  allows  for  the  provision  of  services, 
limited  in  time,  through  natural  persons  posted  in  Switzerland  as  well  as  for  the 
establishment of self-employed persons: 
The  Mutual  Recognition  Agreement  in  relation  to  conformity  assessment86  ensures 
that,  in  20  regulated  sectors,  the  conformity  assessment  provided  by  one  party  is 
recognised by the other, which facilitates trade between the parties.   
The Public Procurement Agreement87 builds on the WTO Government Procurement 
Agreement. 
The Agreement on trade in agricultural products88 includes sanitary and phytosanitary 
rules, as well as tariffs and tariff rate quotas for agricultural products, except for cheese 
that is fully liberalised.  
A protocol on processed agricultural products (protocol 2), which was added to the 
Free  Trade  Agreement  in  2004.  It  includes  a  mechanism  whereby  in  practice 

82 https://eur-lex.europa.eu/legal-content/en/ALL/?uri=OJ:L:1972:300:TOC  
83 Liechtenstein’s trade relationship with the EU is further enhanced through its EEA membership and access to 
the EU single market.    
84 https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A21972A0722%2804%29  
85 https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A22002A0430%2801%29  
86 http://trade.ec.europa.eu/doclib/docs/2013/december/tradoc_152006.pdf  
87 https://eur-lex.europa.eu/legal-content/EN/ALL/?uri=CELEX:22002A0430(06)  
88 https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=uriserv:OJ.L_.2002.114.01.0132.01.ENG 

109 

 
 
 
 
 
Switzerland receives compensation for the very  significant  price differential  of basic 
agricultural  products  –  which  serve  as  inputs  to  processed  agricultural  products  – 
between the EU and Switzerland. 

− 

The Agreement on Customs facilitation and security (as modified in 2021).89 

The current legal arrangements governing trade relations between the EU and Switzerland, the 
EU’s fourth largest trading partner world-wide do not live up to the standards governing modern 
and  comprehensive  trade  agreements  concluded  by  the  EU  and  Switzerland/EFTA, 
respectively. A modernisation of the FTA is therefore needed to unlock the potential for further 
bilateral trade. 

Between  2014  and  2018,  both  parties  negotiated  an  Institutional  Framework  Agreement 
(IFA)  to  streamline  the  operation  of  5  of  the  7  existing  bilateral  agreements  between 
Switzerland  and  the  EU,  covering:  the  Agreement  on  the  Free  Movement  of  Persons;  the 
Agreement  on  Air  Transport;  the  Land  Transport;  the  Agreement  on  Trade  in  Agricultural 
Products  and  the  Mutual  Recognition  Agreement.  However,  on  26  May  2021,  the  Federal 
Council took the decision to unilaterally terminate the negotiations. 

Following the Swiss Federal Council’s announcement in February 2022 of its approach for 
negotiations with the EU, the two sides engaged in exploratory talks. In December 2023 the 
EU  and  Switzerland  reached  a  Common  Understanding,  which  sets  out  a  broad  and 
balanced package of measures that will support the modernisation and further development of 
bilateral  relations  between  the  EU  and  Switzerland.  The  elements  set  out  in  the  Common 
Understanding ensure the protection of the rights of EU citizens in Switzerland as well as fair 
competition between EU and Swiss companies operating in the same markets.  

The package includes: 

• 

Institutional solutions necessary for the smooth functioning of the existing and future 
internal market related agreements (including the Mutual Recognition Agreement) in 
which  Switzerland  participates,  including  dynamic  alignment,  uniform  interpretation 
and application and dispute settlement with a role for the Court of Justice; 

•  State aid to ensure a level playing field; 
•  A way forward on the free movement of persons and posting of workers. It identifies 
ways  to  protect  the  rights  of  EU  citizens  and  workers,  including  by  ensuring  non-
discrimination between citizens of different Member States; 

•  An agreement that would form the basis for Switzerland's regular contribution to social 

and economic cohesion in the EU; 

•  An  agreement  that  would  provide  for  the  association  of  Switzerland  to  Union 
programmes, including Horizon Europe. The Common Understanding also provides a 
way forward for transitional arrangements that would enable Swiss entities to apply for 
grants under some Union research programmes before the negotiations are concluded 
on the understanding that the association process will be completed swiftly; 

89 EUR-Lex - 02009A0731(01)-20210315 - EN - EUR-Lex (europa.eu)  

110 

 
 
 
 
•  Provisions for the relaunch of negotiations on agreements on electricity, food safety and 

health; 

•  Practical ways forward (modus vivendi) for EU-Swiss bilateral relations for the duration 

of the negotiations. 

Negotiations on the package started in March 2024. While the negotiations will not include the 
modernisation of the 1972 FTA, the Council considers that, in case Switzerland expresses an 
interest in enlarging the agreed scope, it would be in the interest of the EU to cover other areas, 
such as scoping, modernisation and evolution of the EU-Switzerland Free Trade Agreement of 
1972. 

The EU-Switzerland Customs Security Agreement of 2009 was amended on 12 March 2021. 
The  agreement  was  updated  to  maintain  a  high  level  of  security  and  safety  at  the  external 
borders  and  to  keep  the  equivalence  of  the  customs  security  measures  in  trade  with  third 
countries. The amended agreement reflect key developments of the EU legislation relevant to 
the  risk  management  and  security,  mainly  as  regards  the  deployment  of  the  Import  Control 
System 2 (ICS2) of the EU. ICS2 is an essential EU instrument for managing entry security and 
safety border controls in the customs field, supporting the EU’s customs pre-arrival security 
and safety programme. It enables Member States’ Customs to better assess risks on the basis of 
common  information  and  thus  better  protect  the  EU  and  its  citizens  against  hazardous  or 
dangerous imports and from illegal trade. 

The EU and Switzerland are applying the PEM Convention since 1 February 2016 and the 
Transitional rules as of 1 September 2021. 

2. 

MAIN IMPLEMENTATION ISSUES  

The  70th  meeting  of  the  EU-Switzerland  Joint  Committee  under  the  FTA  took  place  in 
Brussels on 23 November 2023. Both sides discussed issues related to inter alia market access, 
processed  agricultural  products,  relations  with  main  trading  partners,  as  well  as  continued 
cooperation in the fields of intellectual property and customs.    

In 2023, some progress was made on implementation, notably on:  

•  Adapting the reference prices of basic agricultural products needed in the context of 
the price compensation mechanism for processed agricultural products (protocol 2 to 
the FTA) with the entry into force of the adaptation of Protocol 2 on 1 July 2023.    

•  The  conclusion  of  the  technical  work  on  the  shared  methodology  for  the 
calculations  of  reference  prices,  which  will  facilitate  work  on  annual  adjustments. 
However, the EU remains dissatisfied with the unbalanced nature of Protocol 2 which 
was negotiated many years ago and should in its view be modernised. 

111 

 
 
 
 
 
 
 
 
 
 
By  contrast,  a  number  of  implementation  issues  notably  in  the  agricultural  sector,  the 
services sector and state aid remain problematic and some remaining issues regarding public 
procurement are to be followed up. 

Concerns remaining in the area of public procurement  

•  Following the January 2021 revision of the Federal Law on Public Procurement (LMP), 
EU Member States complain about a lack of transparency in the terms and conditions 
of the contract award procedures. The new provisions introduce the obligation for the 
contracting  authority  to  examine  tenders  on  the  basis  of  economic,  ecological  and 
socially sustainable award criteria and give priority to the "most advantageous" tender 
instead of the "most economically advantageous", contrary to what was the case before. 
EU  business  representatives  acknowledge  the  importance  of  ecological  and  socially 
sustainable  award  criteria  noting  that  these  should  not  be  used  as  a  pretext  to 
unjustifiably discriminate against European market players.  

•  The revised Federal Act for Public Procurement also introduced a price level clause 
(“Preisniveauklausel”) to take into account the different price levels in the countries in 
which the service is provided. A price level calculator was set up to support the new 
criteria. Five cantons have included such provision into cantonal law. Even though this 
clause has so far not been used, the EU raised the issue during the annual joint committee 
meeting under the Public Procurement Agreement on 5 July 2022 and on 29 June 2023. 
The Swiss delegation stated that the application of the criterion will be in compliance 
with  the  international  commitments  of  Switzerland  and  that  it  is  expected  that  this 
criterion will not be used for procurement covered under the GPA and the EU-CH Public 
Procurement  Agreement.  The  issues  need  to  be  followed-up  at  federal  and  cantonal 
level. 

Concerns remaining in the area of agriculture: 

•  One of the market access barriers in agriculture for EU companies is the certification 
of organic food in  Switzerland.  There exists only one certification body  for organic 
food in Switzerland, which is currently the private organization Biosuisse, whose label 
(the "Biosuisse Bud") is highly recognized by consumers. However, the awarding of the 
Biosuisse label lacks transparency in many respects, so that, even when equivalent, few 
EU  products  meet  the  required  conditions  to  acquire  the  label.  In  addition,  the  strict 
content requirements  of  the Biosuisse label  for  food products  mean that  suppliers of 
organic  raw  materials  from  the  EU  are  indirectly  disadvantaged  compared  to  Swiss 
suppliers.   

•  The EU addressed these issues at the last Joint Committee meeting under the Agreement 
on Trade in Agricultural Products on 24 November 2023, when Switzerland was asked 
to provide information on whether Biosuisse is aligned with the Code of Good Practice 

112 

 
 
 
 
 
 
 
for the Preparation, Adoption and Application of Standards set out in Annex 3 to the 
WTO TBT Agreement.   

Remaining issues in the services sector 

•  The  so-called  “flanking  measures”  that  the  Swiss  put  in  place  to  accompany  the 
implementation  of  the  EU-Switzerland  Free  Movement  of  Persons  Agreement 
(FMOPA)90 are a long-standing trade issue, as the EU considers them burdensome and 
disproportionate and incompatible with the FMOPA. For example, Switzerland imposes 
obligations on EU businesses, who want to supply a service in Switzerland, including 
an  8-days  pre-announcement  obligation,  a  deposit  requirement  and  an  obligation  to 
contribute to control costs. 

•  Solutions have been discussed in the exploratory talks and will be taken forward in the 

upcoming negotiations to be launched in 2024.   

The lack of a level playing field as regards state aid persists: 

•  The FTA does contain state aid rules but these are not respected by Switzerland. The 
other existing agreements between the EU and Switzerland (with the exception of the 
Air Transport Agreement) do not include effective state aid rules.  

• 

In  the  upcoming  negotiations,  provisions  on  State  aid  are  to  be  included  in  existing 
agreements on air and land transport, in the electricity agreement as well as in future 
agreements related to the internal market.  

90 https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A22002A0430%2801%29 

113 

 
 
 
 
 
 
 
 
  
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-
NORWAY TRADE AGREEMENT 

1. 

THE AGREEMENT 

The Free Trade Agreement (FTA) between Norway and the EU entered into force on 1 July 
1973. It applies to goods only and is one of the oldest trade agreements signed by the EU.  

Although  still  in  force,  it  has  been  superseded  in  many  respects  by  the  Agreement  on  the 
European  Economic  Area  (EEA),  which  entered  into  force  on  1  January  1994  and  brings 
together the EU Member States and the three EEA EFTA States — Iceland, Liechtenstein and 
Norway — in the internal market. The EEA Agreement ensures the free movement of goods, 
services, capital and persons between Norway and the EU and is the backbone of EU-Norway 
cooperation. Members of the EEA fully apply the whole acquis communautaire related to the 
"four  freedoms"  through  dynamic  incorporation  of  the  relevant  legislative  acts  into  the 
Protocols and Annexes of the EEA Agreement via Joint Committee Decisions. 

The  EEA  Agreement  does  not  cover  the  common  agricultural  and  fisheries  policies,  which 
means that agricultural and fisheries products are not in free circulation between the EU and 
Norway. Preferential  trade in  agricultural  products  between the EU and  Norway is  ruled by 
Article 19 of the EEA Agreement and provides duty free access for 36 tariff lines and a number 
of tariff rate quotas. Processed agricultural products are covered by a dedicated protocol to the 
EEA Agreement but are also not in free circulation.  

Negotiations on a limited number of tariff-rate quotas for exports of fisheries products from 
Norway  to  the  EU  started  in  summer  2022  in  conjunction  with  negotiations  on  Norway’s 
financial contribution to economic and social cohesion in the EEA (“financial mechanism”).The 
negotiations were concluded in November 2023, with a small increase in real terms of the 
financial contribution and a near status quo in quantities in terms of access for Norwegian 
fisheries products. 

The EEA Agreement encloses the rules of the PEM Convention since 19 May 2016. The EEA 
Agreement was updated with the application of the Transitional rules as of 1 September 2021 

The EU-Norway Customs Security Agreement of 2009 ensures that Norway applies the same 
security and safety measures that are in force in the EU. Hence, trade between these countries 
and  the  EU  is  exempt  from  the  requirement  to  lodge  entry  and  exit  summary  declarations. 
Norway also applies equivalent standards for the Authorised Economic Operators, including 
security and safety standards and facilitation measures in respect of security-related customs 
controls. On 15 March 2021, the agreement was amended to maintain a high level of security 
and safety at the external borders and to keep the equivalence of the customs security measures 
in  trade  with  third  countries.  The  amended  agreement  reflects  key  developments  of  the  EU 
legislation relevant to the risk management and security, mainly as regards the deployment of 
the Import Control System 2 (ICS2) of the EU, and thus better protects the EU and its citizens 
against hazardous or dangerous imports and from illegal trade. 

114 

 
 
 
 
 
 
2. 

MAIN IMPLEMENTATION ISSUES 

The  main  implementation  issues  continue  to  be processed  agricultural  products  (PAPs)  and 
geographical indications (GIs): EU exports of processed agricultural  products91 remain 
below  their  potential  due  to  high  customs  tariffs  and  this  has  been  a  long-standing  trade 
barrier.  

2023  has  not  seen  any  progress  on  liberalisation  of  trade  in  processed  agricultural 
products  within  the  framework  of  Article  2  (2)  and  Article  6  of  Protocol  3  to  the  EEA 
Agreement, and therefore high customs tariffs on those products remain the main long standing 
trade barrier. Despite Norway’s commitment in the 2019 Joint Working Group on processed 
agricultural  products  to  consult  with  relevant  authorities  on  the  possibility  to  resume  these 
negotiations, there has been no positive development in this area. 

•  On the contrary, Norway decided to switch the method of calculation of import duties 
from  a  specific  duty  to  ad  valorem  basis  for  five  categories  of  vegetables  (iceberg 
lettuce,  celeriac,  salad  beetroot,  swedes,  and  potatoes).  This  primarily  affects  EU 
exporters, who are by a large extent the main suppliers of the Norwegian market.  

•  A new issue has emerged for Lithuanian Dziugas cheese. Dziugas faces an MFN import 
tariff  of  277%  whereas  similar  cheeses  of  other  EU  Member  States,  the  UK,  and 
Switzerland origin (for example Grana Padano, Parmigiano Reggiano, Appenzeller) are 
subject to a preferential duty rate (27.15 NOK/kg). 

•  As regards processed agricultural products, Norway has repeatedly expressed its wish 
to  keep  Protocol  3  unchanged  and  has  been  unwilling  to  make  any  commitments 
towards further liberalization, because of the perceived positive results of the Protocol 
for Norway. 

Negotiations on Geographical Indications launched in 2013 between the EU and Norway still 
remain suspended (since April 2016). The Council of the European Union in its Conclusions 
of  June  2022  called  again  on  Norway  to  “resume  the  negotiations  on  the  protection  of 
geographical indications, which is an important element of international trade in agricultural 
products and foodstuffs”.  

91 Trade in processed agricultural products is regulated by Protocol 3 to the EEA agreement and to a certain 
extent by Protocol 2 to the 1973 FTA. Protocol 3 of the EEA foresees the possibility to levy customs duties 
based on the cost of the basic agricultural products in the EU and in Norway. 

115 

 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE EU-
ICELAND TRADE AGREEMENT 

1. 

THE AGREEMENT 

The Free Trade Agreement (FTA) between Iceland and the EU entered into force on 1 April 
1973. It applies to goods only and is one of the oldest trade agreements signed by the EU.  

Although  still  in  force,  it  has  been  superseded  in  many  respects  by  the  Agreement  on  the 
European  Economic  Area  (EEA),  which  entered  into  force  on  1  January  1994  and  brings 
together the EU Member States and the three EEA EFTA States — Iceland, Liechtenstein and 
Norway — in the internal market. The EEA Agreement ensures the free movement of goods, 
services, capital and persons between Iceland and the EU and is the backbone of EU-Iceland 
cooperation. Members of the EEA fully apply the whole acquis communautaire related to the 
"four  freedoms"  through  dynamic  incorporation  of  the  relevant  legislative  acts  into  the 
Protocols and Annexes of the EEA Agreement via Joint Committee Decisions. 

The  EEA  Agreement  does  not  cover  the  common  agricultural  and  fisheries  policies,  which 
means that agricultural and fisheries products are not in free circulation between the EU and 
Iceland.  Preferential  trade  in  agricultural  products  between  the  EU  and  Iceland  is  ruled  by 
bilateral  agreements  taken  within  the  framework  of  Article  19  of  the  EEA  Agreement. 
Processed agricultural products are covered by protocol 3 to the EEA Agreement but are also 
not in free circulation.  

Negotiations on a limited number of tariff-rate quotas for exports of fisheries products 
from Iceland to the EU started in summer 2022 in conjunction with negotiations on Icelands’s 
financial contribution to economic and social cohesion in the EEA (“financial mechanism”). 
This  reflects  the  practice  of  past  cycles  of  the  financial  mechanism.  Negotiations  ended  in 
November 2023 with a small increase in real terms of the financial contribution and an 
increase for in duty foregone for Icelandic export of fishery products. 

The EU and Iceland are applying the PEM Convention since 1 May 2015 and the Transitional 
rules as of 1 September 2021. 

2. 

MAIN IMPLEMENTATION ISSUES 

The main implementation issue is processed agricultural products (PAPs) and high customs 
tariffs.  

2023  has  not  seen  any  progress  on  liberalisation  of  trade  in  processed  agricultural  products 
within the framework of Article 2 (2) and Article 6 of Protocol 3 to the EEA Agreement, and 
therefore high customs tariffs on those products remain the main long standing trade barrier.  

116 

 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
CUSTOMS UNION AND TRADE AGREEMENTS WITH TÜRKIYE 

1. 

THE AGREEMENT  

In 1963 the European Economic Community (i.e. the EU’s predecessor) and Türkiye signed an 
Association  Agreement  (the  ‘Ankara  Agreement’),  in  which  both  parties  agreed  to 
progressively establish a Customs Union over a period of several years. An Additional Protocol 
was signed in November 1970, setting out a timetable for the abolition of tariffs and quotas on 
industrial  goods circulating  between the parties.  The final phase of the Customs Union was 
completed on 1 January 1996, with the implementation of the EU-Türkiye Association Council 
Decision No 1/95, which is currently in force.92 

The Customs Union ensures the free movement of all industrial goods and certain processed 
agricultural products between the EU and Türkiye. It also requires Türkiye to align with the 
EU’s Common Customs Tariff, commercial policy, competition policy and intellectual property 
rights, as well as with the EU’s technical legislation related to the scope of the Customs Union.  

In  addition,  the  EU  and  Türkiye  concluded  two  further  bilateral  preferential  trade 
agreements: The Agreement between the European Coal and Steel Community (ECSC) and 
Türkiye on trade in products covered by the Treaty establishing the ECSC established a Free 
trade agreement for coal, iron and steel products in 1996, along with relevant competition 
rules. Association Council Decision No 1/98 (amended by Decision No 2/2006) provides for 
preferential concessions on trade in certain agricultural and fishery products. 

Following  the  adoption  of  the  revised  PEM  Convention,  on  7  December  2023,  a  technical 
update  of  the  Customs  Union  bridging  legislation  (Decision  No  1/2006)  will  be  required  to 
align it to the new rules of origin applicable as of 1 January 2025.  

Building  on  previous  European  Council  Conclusions,  upon  the  invitation  by  the  European 
Council  in  June  2023,  the  High  Representative  and  the  Commission  in  November  2023 
published  a  communication  on  the  “State  of  Play  of  EU-Türkiye  Political,  Economic,  and 
Trade Relations”. The communication made the following recommendations regarding EU-
Türkiye trade relations:  

•  Resume discussions on the draft negotiating framework for the modernisation of the 
EU-Türkiye Customs Union, as proposed by the Commission93, on the understanding 
that Türkiye keeps addressing the circumvention of EU restrictive measures against 
Russia via its territory rapidly and efficiently and continues to resolve trade irritants.  

92 http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=CELEX:21996D0213(01):EN:HTML  
93 On 21 December 2016, the European Commission adopted a Recommendation for a Council Decision 
authorising the opening of negotiations with Türkiye on an Agreement on the extension of the scope of the 
bilateral preferential trade relationship and on the modernisation of the Customs Union. However, in the context 
of the deteriorating EU-Türkiye relationship the Council discontinued its deliberations in 2017. 

117 

 
 
 
 
• 

In particular, Türkiye should  implement  effective measures to  stop  the  re-export of 
Common High Priority (“battlefield”) items.  

•  On  this  basis,  and  in  a  broader  environment  conducive  to  the  resumption  of  Cyprus 
settlement talks, the Council should adopt the negotiating directives and authorise 
the Commission to open negotiations for the modernisation of the Customs Union.  

•  Set  up  a  new  High-level  Dialogue  on  Trade,  with  the  aim  to  tackle  the  remaining 

bilateral trade irritants and discuss further areas of cooperation.  

The April 2024 European Council took note of the Joint Communication and held a strategic 
debate on EU-Türkiye relations94. 

2. 

MAIN IMPLEMENTATION ISSUES  

Following  the  March  2021  European  Council  Members’  invitation95,  reiterated  by  the  June 
2021 European Council, the European Commission intensified talks with Türkiye to address 
difficulties  in  the  implementation  of  the  Customs  Union,  including  ensuring  its  effective 
application to all Member States.  

Since early 2022, there has been constructive engagement by Türkiye resulting in a decrease 
in registered trade barriers from 26 in early 2021 to 15 currently. Progress has also been 
made in addressing several of the remaining barriers. 

•  Specifically,  in  2023,  the  significant  barrier  on  the  Localisation  and  Prioritisation 
Measures  for  pharmaceuticals  was  resolved.  In  addition,  Türkiye  phased  out  the 
discriminatory  treatment  of  EU  tractors  and  resolved  the  remaining  barriers  on 
cosmetics by eliminating the discrimination between the EU and Turkish operators.  

• 

• 

In April 2024 the burdensome pre-conditions for export registration of copper scrap 
were removed. 

In addition, the Commission was able to remove from its market access database the 
following  obsolete  barriers:  Vehicle  Emergency  Calls  System;  COVID-19  export 
authorisation requirements on PPEs, their materials, and disinfectants; Furniture, New 
Labelling Requirements as well as certain market access issues for alcoholic beverages.  

During the EU-Türkiye High-Level Trade Working Group meeting, chaired by Director-
General  for  Trade  of  the  European  Commission  and  Deputy  Trade  Minister  for  Türkiye,  in 
October 2023, Türkiye committed to deploy further efforts towards the removal of another five 
trade barriers – the EU priority issues. During the second meeting of the High-Level Trade 
Working  Group  in  February  2024  progress  in  addressing  the  five  priority  barriers  was 
reviewed: 

94 https://www.consilium.europa.eu/media/m5jlwe0p/euco-conclusions-20240417-18-en.pdf  
95 See statement of the members of the European Council of 25 March, stressing the need to implement the 
current Customs Union to all Member States: https://www.consilium.europa.eu/media/48976/250321-vtc-
euco-statement-en.pdf  

118 

 
 
 
 
 
 
 
1.  Resolved:  Burdensome  pre-conditions  for  export  registration  of  copper  scrap  have 

been removed. 

2.  Elimination of export taxes on hides, skins, and wet-blue leather. State-of-play: the 
relevant  Turkish  authorities  have  been  consulting  their  domestic  stakeholders  on  the 
lifting of the measure (requires the Presidential decree preceded by a consultation). 

3.  Opening and transparent administration of the preferential quotas for live bovine and 
beef meat for EU operators. State-of-play: Türkiye has unblocked the imports of EU 
beef  on  preferential  terms  at  the  beginning  of  2024.  The  Commission  monitors  the 
implementation, including the transparency aspect.  

4.  Determining  the  priority  issues  to  be  addressed  regarding  conformity  assessment 
procedures and the implementation of the risk based TAREKS system. Developing a 
Roadmap to systematically address possible difficulties faced by EU operators. State-
of-play: The Roadmap was developed, and its initial milestones were achieved.  

5.  Work on a prioritised list of EU products that can be exempted from the scope of import 
surveillance  regime  and  to  explore  alternative  ways  to  solve  specific  problems 
encountered by EU companies. State-of-play: The list has been forwarded to Türkiye, 
and the exchange is ongoing.  

The High- Level Dialogue on July 8, 2024, led by Executive Vice-President and Commissioner 
for Trade Valdis Dombrovskis and the Minister of Trade of Türkiye Ömar Bolat reviewed the 
progress  in  removing the barriers, identified new priority barriers and  mapped out  the pbath 
onfor  their  resolution.  The  new  priority  bariers  are:  Import  licenses  for  retreaded  tyres, 
surveillance by registation of textiles and Spirit Banderols96. 

The  Commission  continues  raising  the  need  to  resolve  the  remaining  barriers  in  bilateral 
meetings and at the Customs Union Joint Committee:  

•  Resource Utilization Support Fund;  
•  Remaining Barriers on Pharmaceutical Products Artificial Exchange Rate and the non-

recognition of the EU’s GMP;  

•  Additional Duties and GSP liabilities;  
•  Government procurement (Domestic preferences, off-sets);  
•  Local content requirements in Renewable Energy;  
•  Deficient IPR enforcement;  
• 

Import regime regarding the agricultural component of sweetcorn.  

The  non-discriminatory  implementation  of  the  Additional  Protocol  to  the  Association 
Agreement towards all Member States including the Republic of Cyprus also remains a critical 
difficulty in the implementation of the Customs Union. 

96 Türkiye claims to have resolved the spirits banderols barrier. The Commission is in the process of consulting 
this with the stakeholders. 

119 

 
 
 
 
 
 
 
 
 
WTO case against Türkiye on pharmaceutical products (DS583) 

In 2019 the EU initiated WTO dispute settlement against Türkiye: the panel was composed 
on 17 March 2020. 

The  Panel’s  ruling  of  28  April  2022  upheld  all  of  the  EU’s  claims  against  Türkiye.  In 
particular, the Panel ruled that Türkiye cannot require foreign producers of pharmaceutical 
products to move their production to the country in order for those pharmaceuticals to be 
eligible for reimbursement by social security schemes in Türkiye.  

Türkiye appealed the panel’s ruling on 25 April 2022. The appeal arbitration proceedings 
pursuant to Article 25 of the DSU were based on an ad hoc appeal arbitration agreement 
between the EU and Türkiye.  

In July 2022, the Award of Arbitrators was made public and marked a clear win for the EU. 
The  appeal  arbitrators  confirmed  the  Panel’s  ruling  and  that  Türkiye  must  remove  its 
discriminatory  practices  (localisation  and  prioritisation  measures)  in  the  pharmaceutical 
sector. 

In  August  2022,  Türkiye  stated  its  intention  to  implement  the  recommendations  of  the 
Award of the Arbitrators and requested a reasonable period of time to do so. In January 
2023,  the  EU  and  Türkiye  agreed  that  the  reasonable  period  of  time  for  Türkiye  to 
implement the recommendations of the Award of the Arbitrators would expire on 25 April 
2023. 

Türkiye  published  its  Status  Report  on  implementation  on  28  April  2023.  Türkiye  also 
communicated three other amendments to the Status Report, the latest on 21 July 2023. The 
WTO  dispute  has  been  successful  in  reversing  Türkiye’s  policies  of  localisation  and 
prioritisation of pharmaceutical products. Nevertheless, the EU is continuing to monitor the 
situation. 

120 

 
 
 
 
 
PART IV: AFRICAN, CARIBBEAN AND PACIFIC COUNTRIES  

121 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ECONOMIC PARTNERSHIP AGREEMENT (EPA) BETWEEN THE EU AND 
GHANA 

1. 

THE AGREEMENT  

Pending  an  Economic  Partnership  Agreement  (EPA)  with  the  West  African  region,  Ghana 
concluded a stepping stone EPA or interim EPA (iEPA) with the EU in December 2007.97 
The EPA was signed on 28 July 2016 and entered into provisional application on 15 December 
2016. The EU-Ghana interim EPA will be replaced by the regional EU-West Africa EPA once 
the latter enters into force.98 By the end of 2023, all EU Member States and 15 out of 16 West 
African countries have signed the regional EPA; Nigeria’s signature is still outstanding. 

The  EPA  immediately  offers  to  Ghana  duty  free  and  quota  free  access  to  the  EU  market, 
whereas Ghana opens only partially to EU imports, over transitioning periods. Ghana’s HS2017 
updated market access offer foresees that 78% of tariff lines will be progressively liberalised 
over the period 2020-2029. The next tariff dismantlement is due on 1 January 2024 and it will 
cover machinery and appliances products. 

2. 

MAIN IMPLEMENTATION ISSUES  

2.1   Market access: Progress and outstanding issues  

The 5th meeting of the Ghana-EU EPA Committee was held on 15 and 16 November 2023, 
in Brussels, bringing together the Parties’ Senior Officials who took stock of progress on the 
implementation of the EPA and discussed the perspectives to upgrade their trade and investment 
relations.99 

The  Parties  welcomed  the  progress  made  on  EPA  implementation.  Between  2016  and  2022 
total trade flows increased by 44% (from EUR 4.3 to 6.2 billion). During the same period EU 
companies invested around EUR 1 billion in Ghana.  

The  Parties  expressed  interest  in  further  upgrading  their  relationship  in  the  areas  of 
investment  facilitation  and  sustainable  development.  In  particular  the  Parties  discussed  the 
possibility to engage in the negotiations on a Sustainable Investment Facilitation Agreement 
(SIFA),  which  could  complement  the  EPA  (as  a  separate  agreement)  and  help  improve  the 
transparency and predictability of investment  measures, simplify procedures, and strengthen 
public-private dialogue. The SIFA would also be an opportunity to formalise the joint efforts 

97 The official name of the Agreement ("stepping-stone Agreement") reflects the fact that the initial and ultimate 
objective for economic partnership in West Africa is a comprehensive, regional Agreement. It is also called 
"interim EPA". 
98 The regional Economic Partnership Agreement was signed in December 2014 by the European Union and 13 
West African Countries. In 2018, Gambia and Mauretania signed the Agreement, which means that only 
Nigeria’s signature is still missing. The Agreement will enter into provisional application when the 16 West 
African Countries sign it and 2/3 (11 out of 16) of these countries ratify it.  
99 https://circabc.europa.eu/ui/group/09242a36-a438-40fd-a7af-fe32e36cbd0e/library/4c011c8e-152f-4add-8e19-
86411bf3de07/details  

122 

 
 
 
 
 
 
in  the  field  of  sustainable  cocoa,  by  integrating  into  the  agreement  the  important  elements 
covering  economic,  environmental  and  social  aspects  of  the  cocoa  production.  Further 
exchanges on a scoping paper are ongoing. 

At the Ghana-EU EPA Committee, the EU and Ghana  also  exchanged  views on the latest 
policy developments concerning various trade-related issues, including Trade and Sustainable 
Development  (TSD),  trade  in  services,  investment,  and  digital  trade.  They  also  exchanged 
views on the status of the African Continental Free Trade Area (AfCFTA) and its negotiation, 
ratification  and  implementation,  along  with  discussions  on  e-commerce  and  critical  raw 
materials. The EU announced the organisation of the EU-Ghana Business Forum and ongoing 
work on investment mapping. The Parties also reviewed support measures under EU financial 
instruments  and  discussed  dispute  settlement  procedures  under  the  EPA.  Ghana  provided 
updates on compliance with EU requirements for honey and the registration of Geographical 
Indications. The EU provided updates on the regional EPA and Parties exchanged information 
on  market  access  schedule  implementation  and  on  progress  made  on  the  monitoring  and 
evaluation report of the Agreement. They also discussed the Samoa Agreement that replaces 
the Cotonou Agreement as framework for the relations between the EU and the Organisation 
of  African,  Caribbean  and  Pacific  States-OACPS),  and  preparations  for  the  13th  WTO 
Ministerial Conference (MC13).   

The third Special Committee on Customs and Trade facilitation took place on 22 February 
2024 where parties  discussed recent  developments  on customs legislation, customs reforms, 
and procedures; it also addressed issues on Rules of Origin and exchanged contact point for 
mutual administrative assistance. 

The EU and Ghana agreed to hold the next EU-Ghana EPA Committee meeting in Accra in 
2024. 

2.2 

Trade and sustainable development  

The iEPA with Ghana does not include a TSD chapter. Nevertheless, sustainability issues were 
also part of the recent EPA Commitees, including the meeting in 2023 with a dedicated session 
on sustainable cocoa and exchanges on policy developments related to TSD.  

The Samoa Agreement that replaced the Cotonou Agreement as the framework for the EU 
relationshp with the ACP countries includes robust commitments on TSD. It also creates the 
basis for further colaboration on these issues.  

The Sustainable Cocoa Initiative 

In 2023 the EU and Ghana continued a dialogue on sustainability of the cocoa supply chain 
and  worked  on  the  implementation  of  the  Roadmap  for  sustainable  cocoa  adopted  by 
stakeholders in 2022. In this context, a dedicated Focus Group on Traceability and Standards 

123 

 
 
 
 
 
 
 
met three times during 2023 (in March, July and October) and discussed traceability systems in 
Ghana,  Côte  d’Ivoire  and  Cameroon,  the  African  Regional  Standard  for  sustainable  cocoa 
(ARS-1000)  and  state  of  play  of  the  implementation  of  the  EU  Deforestation-free  Products 
Regulation. 
On 22 April 2024, at the World Cocoa Conference in Brussels, a high level event will take place 
to take stock of progress made with the implementation of the Roadmap. 

In  2023  the  joint  priority  of  the  parties  was  to  continue  support  activities  by  the  four 
implementing partners of the Sustainable Cocoa Programme (i.e. GIZ, FAO, European Forest 
Insitute and JRC), managed by Brussels. The Ghana Cocoa Board (COCOBOD) requests for 
support are well targeted and focus on traceability, which the sector will need in light of EU 
legislation on sustainability (i.e the Deforestation-free Products Regulation100, which entered in 
force on 23 June 2023 and the incoming EU Corporate Sustainable Due Diligence Directive101), 
in  particular  due-diligence  requirements.  Among  other  activities,  the  EU  assisted  the 
COCOBOD with the piloting and roll-out of some elements of its Cocoa Management System, 
with the development of a deforestation risk monitoring system and land-use mapping. 

The Sustainable Cocoa Initiative - Background 

Ghana, Côte d'Ivoire and Cameroon together account for 62% of extra-EU imports of cocoa 

and  cocoa  preparations  in  2022,  for  a  value  of  EUR  7.4  billion  in  2022.  The  cocoa  trade 

represents 12% of EU27 total imports from Cameroon, 44% of EU27 total imports from Ghana 

and 65% of EU27 total imports from Côte d'Ivoire. While cocoa beans are duty-free on a MFN 

basis, exports of processed cocoa (butter, paste and powder) benefit from EPA preferences. All 

three countries take advantage of the quota free-duty free regime of the interim EPA for cocoa 

and  its  transformed  products  since  48%  for  Ghana,  33%  for  Côte  d'Ivoire  and  35%  for 

Cameroon of the exported cocoa to EU consists of processed products.  

In September 2020, the European Commission launched a Sustainable Cocoa Initiative with 

a focus on Côte d’Ivoire, Ghana and Cameroon. The objective of the multi-stakeholder dialogue 

is to foster progress in the elimination of child labour in cocoa supply chains, enhancing the 

protection  of  forests  in  cocoa-producing  regions,  and  ensuring  a  living  income  for  cocoa 

farmers. The dialogue brings together key stakeholders from the cocoa value chain including 

government  representatives  from  the  producing  countries,  EU  Member  States,  European 

100 https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32023R1115  
101 https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:52022PC0071  

124 

 
 
 
 
 
Parliament,  EU  chocolate  business  representatives,  retailers,  farmers,  and  non-governmental 

organisations.  

The “Cocoa Talks” have allowed for meaningful exchanges on sustainable cocoa production 

and trade, between stakeholders – the EU, Côte d'Ivoire, Ghana, the chocolate industry, cocoa 

traders, farmers organizations, and civil society. 

In  2023  the  parties  continued  a  dialogue  on  sustainability  of  the  cocoa  value  chain  and 

focused on the implementation of a Roadmap for sustainable cocoa that includes concrete 

time-bound actions to improve the sustainability of the cocoa supply chain in West Africa.102 

2.3 Technical assistance and cooperation  

‘Compete  Ghana’103,  which  has  been  supporting 

The  programme 
the  EPA 
implementation between the EU and Ghana between 2020 and 2024, was completed in early 
2024.  It  helped to improve Ghana’s  economic  governance and business  environment  and to 
maximise the benfits of the EPA for Ghana. The programme, funded under the 11th European 
Development Fund (EDF), has been providing technical assistance to the Ministry of Trade and 
Industry (MoTI) in the following areas:  

•  Capacity building to help Ghana comply with the commitments of the EU-Ghana EPA; 
•  Support in setting up the institutional framework (e.g. EPA committees); 
•  Support in monitoring and evaluating the impact of the EPA implementation with the 

involvement of the private sector; 

•  Capacity  building  to  raise  awareness  of  the  EU  Ghana  EPA  and  its  advantages, 
including through a dialogue between the public and the private sector and with civil 
society. 

More specifically, the Compete Ghana programme with the support of three Key Experts and a 
Team of Non-Key Experts has strengthened Ghana’s administrative capacities in the setup of 
an EPA Secretariat and in the implementation of the Accompanying Measures Strategy.  

102 EU, Côte d’Ivoire, Ghana and the cocoa sector endorse an Alliance on Sustainable Cocoa (europa.eu) 
103 Budget of €4,1 million The project did not target any particular sector but rather focuses on building up Ghana’s 
capacity to implement the EPA and to engage on EPA-related matters, on improving competitiveness at firm level 
and on mainstream regional policies in favor of industrial competitiveness.   

125 

 
 
 
 
 
 
 
The possibility of having a second phase of the programme was explored at the EPA Committee 
in Brussels in November 2023.  

126 

 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ECONOMIC PARTNERSHIP AGREEMENT (EPA) BETWEEN THE EU AND THE 
SOUTHERN AFRICAN DEVELOPMENT COMMUNITY (SADC) 

1. 

THE AGREEMENT 

The EU-SADC  Economic Partnership Agreement (EPA), between the  EU and six  countries 
from the Southern African Development Community (SADC): Botswana, Eswatini, Lesotho, 
Mozambique,  Namibia  and  South  Africa,  was  signed  on  10  June  2016.  It  entered  into 
provisional  application  on  10  October  2016  for  all  Parties  to  the  Agreement,  except  for 
Mozambique,  for  which  it  entered  into  provisional  application  on  4  February  2018.  2023 
marked the seventh year of provisional application of the Agreement for all its Parties, the 
fifth for Mozambique.   

On 26 July 2022, the EU-SADC EPA Joint Council adopted Decision No 2/2022 approving 
the  launching  of  accession  negotiations  with  Angola.  Formal  negotiations  for  Angola’s 
accession to the EPA are expected to be launched as soon as Angola is ready. 

Since the day of application of the EPA, all SADC EPA States -except for South Africa- receive 
duty free and quota free treatment for all their goods (except arms and ammunition) imported 
into the EU. South Africa receives such treatment for 94.4% of tariff lines for its exports to the 
EU and an additional 3.2% of tariff lines benefit from reduced tariffs or from preferential tariff 
rate quotas. The Southern African Customs Union (SACU), comprising Botswana, Eswatini, 
Lesotho, Namibia and South Africa, grants duty free and quota free treatment to 84.9% of tariff 
lines for products exported by the EU to the region. An additional 12.9% of EU exports benefit 
from  partial  liberalisation  (reduced  tariffs  or  tariff  rate  quotas).  Mozambique  (a  Least 
Developed Country and not a member of SACU) liberalises a smaller percentage of exports 
from the EU. The final wave of liberalisation will take place in 2025 (for Mozambique in 2028). 

On  Rules  of  Origin,  SACU  States  (i.e.,  Botswana,  Eswatini,  Lesotho,  Namibia  and  South 
Africa)  have  fulfilled  the  requirements  to  apply  diagonal  cumulation,  and  since  1  June 
2023  may  apply  diagonal  cumulation  with  all  SADC  EPA  States  and  with  certain  ACP 
countries signatories of the ACP Joint Undertaking for the purpose of implementing provisions 
of cumulation in the EPAs.  

The EU-SADC EPA is the first and only regional EPA in Africa to be fully operational (all 
partners are implementing the tariff cuts foreseen by the EPA). Since the 2019 meeting of the 
EU-SADC  EPA  Joint  Council,  the  institutional  framework  of  the  EPA  is  fully  in  place  and 
operational,  and  committees  established  under  the  EPA  meet  annually.  The  Agricultural 
Partnership is in the process of finalising its operational rules.  

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As from 1 January 2019, all SADC EPA States apply the reduction in EPA customs duties 
for goods coming from the EU. Between 2022 and 2024, Mozambique104 further advanced 
with its EPA-related tariff liberalisation commitments. The final wave of liberalisation will take 
place in 2025 (2028 for Mozambique).  

In February 2024, the 10th EU – SADC Trade and Development Committee endorsed its first 
EPA joint monitoring report.105 The report was published in March 2024. The Parties agreed 
to start discussing the list of indicators and the timeline for the second EPA joint monitoring 
report in the coming months. 

In addition, the Commission in the beginning of 2023 launched an independent EPA ex-post 
evaluation study by an external contractor. Its outcomes (draft final report published in March 
2024106 and final report expected in the fourth quarter of 2024) will feed into the joint review 
process.107 TSD has been an important element of the evaluation, in particular how to make 
better use of the provisions related to the dialogue on TSD, which appears to be underutilised.  

Outside the scope of the EU-SADC EPA, the EU and Namibia signed on 8 November 2022 a 
Memorandum  of  Understanding  (MoU)  establishing  a  strategic  partnership  on 
sustainable raw materials value chains and renewable hydrogen. At the Global Gateway 
Forum in October 2023 the EU and Namibia officially launched a Roadmap for 2023-25. While 
the MoU sets the vision, defines the areas of cooperation and provides a political framework 
for the enhanced cooperation, the Roadmap represents the actions to advance the goals of the 
Partnership. The Roadmap is a living document with regular updates to reflect progress made, 
and new opportunities will be identified in the course of its implementation. To be noted that 
recent  statements  concerning  minerals  export  bans  risk  impacting  negatively  Namibia’s 
investment attractiveness on the mineral sector. 

In  addition,  the  Sustainable  Investment  Facilitation  Agreement  (SIFA)  with  Angola 
(candidate to join the EPA in the coming years) was adopted in the plenary of the European 
Parliament in February 2024. This was followed by Council adoption on 4 March. The EU 
then  notified  Angola  on  5  March  2024  that  its  internal  procedures  had  been  completed,  and 
Angola will do the same following a Presidential Decree paving the way for its entry into force 
(expected in September 2024). The EU-Angola SIFA is the first agreement of this kind, which 
will make it easier to attract and expand investments while integrating environment and labour 
rights commitments. This agreement will help boost sustainable investment, and the EU will 
provide technical support to put the agreement into practice. Pursuing such agreements is part 
of the broader EU strategy to step up engagement with African countries, with the goal to unlock 
economic  potential,  foster  economic  diversification,  and  promote  inclusive  and  sustainable 
growth. 

104 The other SADC EPA States already migrated to the Harmonized System nomenclature in 2021. 
105 The monitoring report is based on statistics mostly and responds to a set of indicators to measure EPA 
performance.  
106  https://circabc.europa.eu/ui/group/09242a36-a438-40fd-a7af-fe32e36cbd0e/library/1c07ec29-14ef-
4458-b89f-1fe2dcec04c5/details?download=true 
107 The joint review is based on a discussion among the parties on the functioning and impact of the EPA across 
different areas. 

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2. 

MAIN IMPLEMENTATION ISSUES 

In  February  2024,  the  meeting  of  the  Trade  and  Development  Committee  (TDC)  and 
committees established by the EPA took place. The TDC addressed several outstanding issues, 
in particular the following:  

• 

• 

• 

the update of the list of Arbitrators to be appointed under the EU-SADC EPA dispute 
settlement mechanism; 
the interpretation of Articles 33 and 35 of the EPA on the applicability of multilateral 
and agricultural safeguards;  
the need for progress in the involvement of non-State actors in the monitoring of the 
EPA  implementation;  and  the  way  ahead,  in  terms  of  scope  and  objectives,  in  the 
process of review of the EPA.  

Trade irritants (see further below) were raised on several occasions, both in the above meetings 
and in bilateral contacts – the EU and South Africa also held a dedicated meeting on market 
access on the margins of the TDC. 

2.1  Market access: Progress and outstanding issues  

Trade  defence  remains  an  area  of  concern,  especially  concerning  South  Africa  acting  on 
behalf of SACU countries: 

• 

In the course of 2023, all SACU countries kept in place anti-dumping duties on frozen 
chicken  from  Denmark,  Ireland,  Poland  and  Spain  imposed  on  1  August  2022  and 
definitive  measures  on  frozen  potato  chips  from  Belgium,  Germany  and  the 
Netherlands imposed on 17 May 2023 for a duration of 5 years.  

•  On 29 January 2024, after carrying out a review (during which the EU submitted written 
comments  and  participated  in  an  oral  hearing),  SACU’s  International  Trade 
Administration  Commission  (ITAC)  decided  to  create  a  temporary  rebate  of 
ordinary customs duties (not applicable to anti-dumping duties) on imports of frozen 
poultry meat (with and without bone). The EU was advocating for termination, or at 
the  very  least  suspension,  of  anti-dumping  duties  in  view  of  shortages  on  the  local 
market. The rebate of ordinary customs duties does not benefit EU exporters, as poultry 
is liberalised under the EPA.  

Another  area  with  important  trade  barriers  continues  to  be  SPS,  where  following  avian 
influenza outbreaks in several Member States during 2022, South Africa’s lack of recognition 
of regionalisation  brought  EU’s exports to  South Africa to  a complete standstill. The same 
applies for EU exports of pork meat from Member States affected by African Swine Fever. As 
regards the recognition of the disease-free status (once outbreaks are stamped out) following 
self-declaration to the World Organisation for Animal Health (OIE), in 2023 South Africa re-
opened market access for poultry from Spain, Ireland and the Netherlands. However, there are 
significant delays for authorisation of imports of other meat products from the EU (not affected 
by  avian  influenza  African  swine  fever  or  Foot-and-Mouth  Disease),  as  well  as  requests  on 
genetic material and some fruits.  

129 

 
 
 
Other areas of concern include: 

•  public procurement, with South Africa applying extensive local content requirements 
in public tenders as well as in private contracts with State Owned Enterprises; 
local content and local ownership requirements in place in Botswana; 
import restrictions for agricultural commodities which are widespread in the region, 
with variable economic impact for EU exports;  

• 
• 

•  bans on exports of scrap metal applied by South Africa and Botswana. 

The Special Committee for Customs and Trade Facilitation (SCCTF) took place ahead of 
the  TDC  Committee  and  discussed  recent  developments  on  customs  legislation,  customs 
reforms, and procedures; it also addressed issues on Rules of Origin, in particular the update of 
Annex II and Annex II(a) of Protocol I to the 2022 version of the WCO Harmonized System, 
the state of play of the implementation of diagonal cumulation by SADC EPA States and the 
interest to discuss the possibility to use self-certification as only proof of origin within the EPA, 
as a customs and trade facilitation measure.  

The Agricultural  Partnership  discussed operational  rules and areas of cooperation and the 
recent developments in the agricultural policies.  

The EU and South Africa in their bilateral Special Committee on Geographical Indications 
(GI) and trade in wines and spirits discussed updates in the respective GI legislation and on 
the protection of specific GIs (Greek Feta, Karoo Lamb, Cognac/Brandy de Jerez), and also 
followed up on their longstanding discussion on authorised oenological practices and protection 
of EU “traditional terms”. 

2.2 

Trade and sustainable development  

The  EU-SADC  EPA  includes  a  chapter  on  cooperation  on  Trade  and  Sustainable 
Development.  

At  the  meeting  of  the  Trade  and  Development  Committee  (TDC)  of  February  2024 
discussions focussed on trade and environment and climate change related issues. SADC EPA 
States also reiterated their concerns about the impact that EU’s Green Deal related initiatives 
could have on their exports to the EU. South Africa’s steel industry is expected to be impacted 
by the EU’s Carbon Border Adjustement Mechanism (CBAM), while Mozambique expects an 
impact on its leading sector exporting to the EU, aluminium.  

Apart from the EU-SADC EPA, the Samoa Agreement (that replaced the Cotonou Agreement 
as the framework for the EU relationshp with ACP countries) includes robust commitments on 
trade and sustainable development, also creating a basis for further colaboration on these issues.  

2.3 

Technical assistance and cooperation  

In  the  course  of  2023,  the  EU  continued  engaging  with  the  SADC  EPA  States,  offering 
technical assistance to help improve the implementation of the EU-SADC EPA. Support is 

130 

 
 
 
 
oriented  towards  the  resolution  of  issues  in  the  interest  of  the  EU  side  and  the  better 
implementation of the EPA in favour of SADC EPA States and includes the following: 

-  EPA implementation support programmes worth EUR 6 million each in Botswana, 
Namibia, Eswatini, Lesotho and Mozambique; and EUR 10 million in South Africa. In 
the latter country, this support programme aims to unlock challenges related to quality 
infrastructure  and  technical  capacity  in  agricultural  value  chains  and  to  increase 
response to opportunities under the EPA by emerging exporters of agricultural products 
and those with recognised GIs.  

-  The Trade Facilitation Programme, a EUR 15 million regional programme, aims to 
increase  intra-regional  trade  by  strenghtening  capacities  for  streamlining  border 
processes and monitoring and resolving non-tariffs and technical barriers to trade; and 
by promoting the implementation of the EU-SADC EPA. The programme is supposed 
to end in 2024, but SADC asked for a one year prolongation (untill March 2025), which 
is in the process of being assessed. 

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ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ECONOMIC PARTNERSHIP AGREEMENT (EPA) BETWEEN THE EU AND CÔTE 
D’IVOIRE 

1. 

THE AGREEMENT 

Pending  an  Economic  Partnership  Agreement  (EPA)  with  the  West  African  region,  Côte 
d’Ivoire concluded a stepping stone or interim EPA (iEPA) with the EU in December 2007.108 
The interim EPA was signed on 26 November 2008 and entered into provisional application on 
3 September 2016. The EU-Côte d’Ivoire interim EPA will be replaced by the regional EU-
West Africa EPA once the latter enters into force.109 By the end of 2023, 15 out of 16 West 
African countries had signed the regional EPA, with only Nigeria’s signature still outstanding.  

The EPA immediately offers to Côte d’Ivoire duty free and quota free access to the EU market, 
whereas  Côte  d'Ivoire  opens  only  partially  to  EU  imports,  over  transitioning  periods.  Côte 
d'Ivoire is  the  first country in West Africa that started liberalising its market for trade 
with the EU and applying reciprocity to the market access enjoyed in the EU. The liberalisation 
of  the  first  1115  products  was  applied  from  1  January  2019.  The  second  round  of  tariff 
liberalisation  took  effect  on  1  January  2021,  and  covered  another  1190  products.  The 
liberalisation process of 88% of tariff lines will be completed by 1 January 2029. Côte d’Ivoire’s 
HS2017  updated  market  access  offer  and  schedule  is  published  on  Directorate-General  for 
Trade website.110  

In  2023,  EU  companies  continued  to  benefit  from  the  first  and  second  rounds  of  tariff 
liberalisation of products with significant EU exports, such as medicines (mixed or unmixed 
products for therapeutic or prophylactic purposes), light oils and preparations of petroleum or 
bituminous minerals with specific characteristics, fertilisers, category of aeroplanes and other 
powered  aircraft,  vaccines  (human  and  veterinary  medicine),  road  tractors  for  semi-trailers, 
printed books, laboratory reagents. 

Besides, in 2023, Côte d’Ivoire finalised the transposition of its market offer in HS2022 
(pending publication). 

The  third  tariff  dismantlement  will  be  implemented  in  the  course  of  2024,  and  it  covers 
mainly  machinery,  electronics,  and  electrical  equipment,  optical,  photographic, 

108 The official name of the agreement ("stepping-stone agreement") reflects the fact that the initial and ultimate 
objective for economic partnership in West Africa is a comprehensive, regional agreement. It is also called 
"interim EPA".  
109 The Economic Partnership Agreement was signed in December 2014 by the European Union and 13 West 
African Countries. In 2018, the Gambia and Mauretania signed the Agreement, to date only Nigeria is yet to sign 
the EPA. The Agreement will enter into provisional application when all the 16 West African Countries sign it 
and 2/3 (11 out of 16) of these countries ratify it.  
110 https://circabc.europa.eu/ui/group/09242a36-a438-40fd-a7af-fe32e36cbd0e/library/d0c1c2fc-efe7-4dfb-8101-
70af86417152/details  

132 

 
 
 
 
 
 
 
cinematographic,  measuring,  checking,  precision,  medical  or  surgical  instruments  and 
apparatus, plastic and rubber products.  

The 6th EPA Committee was held on 12 and 13 October 2023, in Abidjan, Côte d’Ivoire.111 
The  Parties  discussed  ways  to  reinforce  trade  relations  and  exchanged  views  on  the  recent 
policy developments on services, investment (liberalisation and facilitation) and e-commerce. 
The parties explored the possibility to engage in the negotiations of a Sustainable Investment 
Facilitation Agreement (SIFA). They also exchanged on the perspectives and options forward 
on the regional EPA between the EU and West Africa. Besides, the Parties discussed further 
the EPA implementation and support measures. The 2nd meeting of the Special Committe on 
Customs  and  Trade  Facilitation  (SCCTF)  took  place  on  12  October  and  discussed  customs 
specific issues related to the implementation of the EPA. The parties agreed on the text of the 
rules of procedure applicable to the special committee. The meeting of the SCCTF was preceded 
by  a  two-day  capacity-building  for  the  Ivorians  customs  on  rules  of  origin.  The  capacity 
building was highly appreciated by the Ivorian side.   

2. 

MAIN IMPLEMENTATION ISSUES 

2.1  Market access: Progress and outstanding issues  

Some outstanding trade barriers continue to exist between the EU and Côte d’Ivoire, such as 
tax discrimination on imported spirits.  

•  For  several  years  Côte  d'Ivoire  has  maintained  discriminatory  taxation  on  imported 
spirits,  which  are  subject  to  an  excise  tax  of  25%  or  higher  applied  to  locally 
manufactured beverages.  

•  The EU considers this regime discriminatory and has raised the topic three times within 
the  WTO’s  Agriculture  committee  (in  November  2020,  in  March  2022  and  in  June 
2023), asking for justifications, which Côte d’Ivoire has yet to provide. The question 
has also been raised in the two most recent EPA Committees. 

2.2  

 Trade and sustainable development  

The interim EPA with Côte d’Ivoire does not include a dedicated chapter on TSD. Nevertheless, 
sustainability issues were also part of the recent EPA Commitees, including the meeting in 2023 
with a dedicated session on sustainable cocoa and exchanges on policy developments related to 
trade and sustainable development.  

The Samoa Agreement that replaced the Cotonou Agreement as the framework for the EU 
relationshp with ACP countries includes robust commitments on TSD. They also create a basis 
for further colaboration on these issues.  

111 https://circabc.europa.eu/ui/group/09242a36-a438-40fd-a7af-fe32e36cbd0e/library/5714c6b1-a7b9-42c7-
a73a-f5e5e5fa159a/details  

133 

 
 
 
 
 
 
 
 
The Sustainable Cocoa Initiative 

In 2023, the EU and Côte d’Ivoire continued their work on the implementation of the Roadmap 
for  Sustainable  Cocoa  adopted  by  stakeholders  in  2022.  The  dedicated  Focus  Group  on 
Traceability and Standards met in March, July and October. It discussed traceability systems in 
Ghana, Côte d’Ivoire and Cameroon and the African Regional Standard for sustainable cocoa 
the  EU 
(ARS-1000).  The  Commission/DG  ENV  provided  presentations  concerning 
Deforestation-free Products Regulation. 112 

In  2023  the  joint  priority  of  the  Parties  was  to  continue  support  activities  by  the  four 
implementing partners of the Sustainable Cocoa Programme (i.e. GIZ, FAO, European Forest 
Insitute and JRC). The  request  for support by the  Conseil Café’ Cacao  (CCC, Côte d’Ivoire 
cocoa and coffee regulatory board) is well targeted and focus on traceability, which the sector 
will  need  in  light  of  EU  legislation  on  sustainability  (i.e  the  Deforestation-free  products 
Regulation113,  which  entered  in  force  on  23  June  2023  and  the  incoming  EU  Corporate 
Sustainable  Due  Diligence  Directive114), 
their  respective  due-diligence 
requirements. Among other activities, the EU assisted the CCC with putting in place a national 
traceability system for cocoa beans, the availability of robust reference data for the management 
of deforestation risk (including the production of a national reference land-use map for 2020) 
and capacity-building for cooperatives.  

in  particular 

On 22 April 2024, at the World Cocoa Conference in Brussels, a high level event was organised 
to take stock of progress made with the implementation of the Roadmap. 

2.3 Technical assistance and cooperation  

The EU budget for 2021-2027 together with EU Member States' resources, continues to support 
Côte  d'Ivoire  in  implementing  the  iEPA,  notably  through  Team  Europe  Initiatives,  mainly 
through a package of EUR 450 million (EUR 113 million from the EU) to finance programmes 
in  Côte  d’Ivoire  alone.  The  projects  target  the  sustainability  of  the  cocoa  sector  and  other 
agricultural value chains, with a main component being the fight against deforestation and the 
preservation of biodiversity.  

EU projects managed by the EU Delegation in Côte d'Ivoire, in close liaison with business 
stakeholders,  continue  to  make  an  important  contribution  towards  improving  business 
climate and addressing key impediments in important sectors of the economy (hence advancing 
the implementation and effectiveness of the EPA): 

•  PAPED (Programme d’appui à l’APE) is a direct support to EPA implementation and aims 
to  facilitate  the  transition  from  a  customs-based  taxation  system  towards  one  based  on 
domestic taxation. For this purpose, during 2023, PAPE has trained Tax Authority Agents 

112 For more background information on the Sustainable Cocoa Initiative please see the dedicated box under the 
EU-Ghana EPA section. 
113 https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32023R1115  
114 https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:52022PC0071  

134 

 
 
  
 
 
 
in  efficient  tax  exemption  practices  and  conducted  an  assessment  on  the  socioeconomic 
impact of tax and customs exemptions. In addition, PAPE has reached out to several private 
business  and  public  administration  to  incentivise  them  in  using  the  EPA  by  raising 
awareness and offer trainings on the procedures in place to benefit from it.  

•  The  regional  PACIR  (Programme  d’appui  au  Commerce  et  à  l’Intégration  régionale) 
supports  private  sector  development.  In  2023,  five  of  its  seven  components  were 
accomplished.  Results  delivered  include  Eurocham’s  White  Paper  on  investment  and 
business climate, assistance to businesses to access to financing and bank credits, awareness 
raised  among  private  business  on  Corporate  Social  Responsibility  (CSR),  trainings 
addressing businesses in international trade rules and practices and the organisation of an 
EU-West  Africa  Business  Forum.  Two  components  are  still  ongoing.  So  far,  they  have 
delivered  trainings  to  businesses  on  improved  production  and  business  administration 
practices, raised awareness among informal businesses on the benefits of joining the formal 
sector and trained private and public sector stakeholders on the new national labelling policy 
for cassava flour (attiéké). 

135 

 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ECONOMIC PARTNERSHIP AGREEMENT (EPA) BETWEEN THE EU AND 
CAMEROON 

1. 

THE AGREEMENT 

On 15 January 2009, Cameroon and the EU signed a stepping-stone Economic Partnership 
Agreement (EPA) or interim EPA (iEPA). The European Parliament approved this agreement 
on 13 June 2013 and the Parliament of Cameroon ratified it on 22 July 2014. On 4 August 2014, 
the agreement entered into provisional application. Being a regional agreement, the EPA is open 
to the accession of other Central African countries.  

The iEPA immediately provides Cameroon with duty-free quota-free access to the EU market 
for  all  products  originating  from  Cameroon.  This  benefits,  among  others,  exports  of 
Cameroonian  bananas,  aluminium,  processed  cocoa  products,  plywood  and  other  fresh  and 
transformed agricultural products.  

For its part, Cameroon is opening its market to EU imports gradually, over transitioning periods. 
Cameroon will progressively reduce its tariffs on 80% of EU imports to reach 0% by 2029. 
This targeted elimination of import tariffs will help Cameroon’s local producers to develop their 
production and become more competitive, and indirectly, it will benefit local consumers.  

To ensure the protection of certain sensitive agricultural markets and industries, but also to 
maintain  fiscal  revenues,  the  EPA  allows  Cameroon  to  maintain  tariffs  on  20%  of  goods 
originating from the EU (such as meat, wines and spirits, malt, milk products, flour, fruit and 
vegetables, wood and wood products, used clothes and textiles, paintings, and used tyres). 

The first joint monitoring report of the EPA, covering the years 2014-2019, was adopted in 
2021 and is publicly available.115 The second report is set to become available in 2024.  

Further progress was made in 2023, on Cameroon’s tariff dismantling under the EPA, which 
continues to be on track.116 It started in August 2016 for products listed in group 1 (1727 tariff 
lines), in  2017 for  group 2  (985 tariff  lines),  and in  2021 for  group 3.  The two  first  groups 
mainly  consist  of  essential  items  that  are  often  used  as  inputs  for  industrial  processes  in 
Cameroon or consumer products that are not found on the local market, such as medicines and 
medical  equipment,  industrial  and  agricultural  inputs,  machines,  chemicals,  spare  parts  for 
vehicles, computers, and paper. The third group includes a number of products, such as cars, 
on  which  Cameroon  and  the  Central  African  region  have  traditionally  charged  the  highest 
duties.  

As of August 2023, import duties for all products of group 1 and 2 are now fully removed and 
tariffs on products of group 3 are reduced by 40%. The Market Access Offer has been updated 

115 https://circabc.europa.eu/ui/group/09242a36-a438-40fd-a7af-fe32e36cbd0e/library/f27fa117-7fdd-46ad-bb54-
79b621d899c6/details  
116 Following a temporary unilateral suspension of EPA dismantlement by Cameroon in the wake of COVID-19 
outbreak in 2020, the process returned to its initial schedule with a tariff cut in January 2021 and August 2021.  

136 

 
 
 
 
 
to reflect the latest international customs nomenclature HS2022 and is available on DG TRADE 
website.117 Cameroon and the EU are actively monitoring the effects of the agreement.  

Awareness  raising  around  the  EPA  and  the  improvement  of  the  business  environment  in 
Cameroon, including conditions for foreign direct investment, are key for the EPA to deliver 
its full benefits. For that reason, in 2023 the EU has been intensifying its communication and 
outreach efforts and the EU and its Member States have also been supporting the creation of 
a European Business Organization (EBO). The organization received an authorization of the 
government  of  Cameroon  to  operate  under  Cameroonian  law  in  February  2023.  Once  fully 
operational, the EBO Cameroon is expected to contribute to attracting foreign investment and 
fostering a private-public dialogue in Cameroon to the benefit of all market operators.  

2. 

MAIN IMPLEMENTATION ISSUES  

2.1   Market access: Progress and outstanding issues  

The 7th EPA Committee was held on 5-6 July June 2023 in Yaoundé, Cameroon. 118 During 
that meeting, the parties discussed the following topics among others:  

•  Specific fiscal measures (excise duties as well as a range of new export taxes) adopted 
by Cameroon on imported products, since 2020, in contradiction to EPA commitments, 
that are affecting trade and are imposed every year on an increasing number of products. 
The  EU  side  called  on  the  Cameroonian  side  to  repeal  these  measures  as  rapidly  as 
possible.  Both  sides  agreed  to  reinforce  their  administrative  cooperation  on  customs 
issues and to set up a subcommittee to deal with these questions. 

•  With regard to the protocol on rules of origin both sides agreed to speed up their internal 

procedures to ensure the protocol would be adopted as rapidly as possible. 

•  With regard to the study on the net fiscal impact of the EPA, both sides agreed to finalize 

it rapidly, notwithstanding disagreements on the methodology.    

•  The Committee exchanged views on the issues covered by the rendez-vous clauses in 
the EPA (e.g., trade in services and sustainable development), and agreed to organize 
technical information sessions on these matters. 

•  Both  sides  also  discussed  financial  support  for  EPA  implementation  and  decided  to 
create a subcommittee on agricultural and rural development, in view of stepping up its 
dialogue on trade in agri-food products. 

117 https://circabc.europa.eu/ui/group/09242a36-a438-40fd-a7af-fe32e36cbd0e/library/31a1603d-10ee-4c44-
85e8-50c6d166e848/details  
118  https://circabc.europa.eu/ui/group/09242a36-a438-40fd-a7af-fe32e36cbd0e/library/53b015da-ac93-42f2-
9d1f-6f6f81d44389/details  

137 

 
 
 
 
 
 
 
 
 
 
2.2   Trade and sustainable development  

The EPA with Cameroon does not currently include a dedicated chapter on trade and sustainable 
development.  

The  Parties  continue  to  cooperate  on  matters  related  to  trade  and  sustainable  development 
through  different  channels.  For  instance,  Cameroon  is  party  to  a  Voluntary  Partnership 
Agreement, which is a key component of the EU Forest Law Enforcement, Governance and 
Trade (FLEGT) Action Plan119.  

The Samoa Agreement that replaced the Cotonou Agreement as the framework for the EU 
relationshp  with  ACP  countries  includes  robust  commitments  on  trade  and  sustainable 
development, also creating a basis for further collaboration on these issues.  

At  the  7th  EPA  Committee  the  EU  informed  about  the  upcoming  EU  requirements  on 
company  due  diligence  and  deforestation  prevention,  and  the  EPA  Committee  took  the 
decision to operationalise the EPA subcommittee on agriculture and rural development to step-
up  the  dialogue  related  to  trade  in  agri-food  products.  Exchanges  took  place  on  the  EU 
Deforestation-  free  Products  Regulation  and  the  role  of  the  Sustainable  Cocoa  Initiative  in 
facilitating compliance with the forthcoming EU legislation.  

The Sustainable Cocoa Initiative 

The EU and Cameroon are also engaged in a dialogue on sustainable cocoa.120  

Cameroon joined the Sustainable Cocoa Initiative in 2021 (initially as an observer, now as a 
full member) and conducted a parallel dialogue at national level to discuss a number of topics 
that are key to making the Cameroonian cocoa production more sustainable. Those included 
sustainable prices, traceability, forest management, child labour and standards. The last out of 
six technical meetings within the formal dialogue took place in March 2023. To take stock of 
the local cocoa dialogue, 12 actions on cocoa were agreed in June 2023. Some of them have 
already started to be rolled out with the EU’s support of EUR 2,5 million. These actions include, 
inter  alia:  the  mapping  of  cocoa  fields  and  their  impact  on  forests,  development  of  the 
“Technical Directive” designed to translate ARSO 1000 at national level, registration of cocoa 
producers  and  geo-referencing  of  cocoa  parcels,  training  and  communication  activities  on 
sustainability issues in the cocoa sector,  study on the living income gap of cocoa producing 
households,  development  of  a  customizable  digital  traceability  solution  for  SMEs  and 
preparation of the relevant national databases. 

In 2023 the EU and Cameroon continued their dialogue on sustainability of the cocoa supply 
chain and worked on the implementation of the Roadmap on Sustainable Cocoa adopted 

119 https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A52003DC0251  
120 With 6% of the global cocoa market, Cameroon is currently the 4th most important cocoa producer in the 
world and cocoa represents 12% to the country’s overall exports. 

138 

 
 
 
 
 
 
by stakeholders in 2022. In this context, a dedicated Focus Group on Traceability and Standards 
met three times during 2023 (in March, July and October) and discussed traceability systems in 
Ghana,  Côte  d’Ivoire  and  Cameroon,  the  African  Regional  Standard  for  sustainable  cocoa 
(ARS-1000) and state of play of the implementation of the EU Deforestation Regulation. 

On  22  April  2024,  the  World  Cocoa  Conference  took  place  in  Brussels  to  take  stock  of 
progress made with the implementation of the Roadmap. 121 

Further work is ongoing to ensure Cameroon’s preparedness in the wake of the new EU anti-
deforestation requirements, including in the context of the 12 action points on cocoa and in the 
framework of the Sustainable Cocoa Initiative. In 2023 the joint priority of the parties was to 
continue support activities in Cameroon by the four implementing partners of the Sustainable 
Cocoa Programme (i.e. GIZ, FAO, European Forest Institute and JRC), managed by Brussels. 
Technical assistance focused on traceability, to help the Cameroonian cocoa sector to prepare 
for and meet the requirements of EU regulation adopted in the context of the Green Deal (e.g., 
the Deforestation-free Products Regulation122, which entered in force on 23 June 2023 and the 
incoming EU Corporate Sustainable Due Diligence Directive123).  

2.3   Technical assistance and cooperation  

The EPA’s accompanying measures are also an important factor to help Cameroon and its 
companies to make better use of the Agreement. This is being achieved through the deployment 
of technical assistance and financial support, including the following: 

•  EU technical assistance to evaluate the fiscal impact of the Agreement for Cameroon 
and to reform the Cameroonian fiscal system in a way to compensate for the loss of 
customs revenues; 

•  EU-funded EPA accompanying measures to support the local private sector, for instance 
as regards the adaptation of their capacity to develop solid business plans and increase 
their competitiveness (e.g., through the €10 Million EU programme Dispositif d’Appui 
à la Competitivité du Cameroun); 

•  Activities  by  the  European  Investment  Bank (EIB)  increasing  the  capacity  of  local 
commercial banks (e.g., a EUR 54 million credit line to increase access to finance for 
local business); 

•  EU programmes supporting  the adaptation  of local  producers to  the EU sanitary and 
phytosanitary  standards  (e.g.,  the  EU-financed  COLEAD  Fit-4-Market+  programme 
and an FAO-implemented Fish4ACP programme); 

121 For more background information on the Sustainable Cocoa Initiative please see the dedicated box under the 
EU-Ghana EPA section. 
122 https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32023R1115  
123 https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:52022PC0071  

139 

 
 
 
 
 
 
 
 
 
•  EU  and  Member  States’  programmes  supporting  the  development  of  sustainable 
production capacities of Cameroon’s agri-food and timber sectors (including through 
programmes, implemented by GIZ, such as ABC PADER, Green Innovation Centers 
Pro-CISA, Forest and Environment Project- ProFE);  

•  The EU programme to support regional integration and investment in Central Africa (fr. 

PAIRIAC) includes EPA-dedicated funds. 

The  EU  is  also  actively  supporting  trade  infrastructures.  For  example,  the  construction  of 
bridges on Cross River with Nigeria and Logone with Chad are nearing completion and will 
facilitate regional trade.  

140 

 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ECONOMIC PARTNERSHIP AGREEMENT (EPA) BETWEEN THE EU AND THE 
EASTERN AND SOUTHERN AFRICAN REGION (ESA) 

1. 

THE AGREEMENT 

Pending a comprehensive Economic Partnership Agreement (EPA) with the full Eastern and 
Southern  African  (ESA)  region,  an  interim  EPA  (iEPA)  was  signed  in  2009  by  four  ESA 
countries  (Madagascar,  Mauritius,  Seychelles  and  Zimbabwe).  This  iEPA  is  provisionally 
applied since 14 May 2012 by the EU and four EPA partners, while Comoros signed in 2017, 
ratified it in December 2018 and implements it since Feburary 2019. These five countries are 
referred to as “ESA5”. Comoros, Zimbabwe and Seychelles have also ratified the EPA, while 
Mauritius and Madagascar provisionally apply it. Zambia had also initialled the iEPA and may 
decide to sign it in the near future. The agreement remains also open to other ESA countries. 

The iEPA immeditely offers duty-free and quota-free access to the EU market to ESA signatory 
countries, while providing for a gradual opening of ESA markets to EU imports, which can be 
done gradually according to transitioning periods. 

Parties undertook further steps towards the development of a common methodology aimed at 
finalising a monitoring and evaluation framework for the iEPA, and consulted stakeholders 
from the public and private sector. This is an important step to define a joint understanding of 
progress made implementing the iEPA and to identify remaining challenges in order to be able 
to address them adequately. 

Negotiations  for  the  deepening  of  the  Agreement  progressed  in  2023  and  will  continue  in 
2024.124 Since the beginning of this process, thirteen negotiation rounds took place, eight of 
them by video conference due the Covid-19 pandemic. In 2023, two negotiating rounds took 
place  and the thirteenth  round took  place in  March 2024. Once  negotiated, the modernised 
Economic  Partnership  Agreement  will  include  the  following:  modernised  rules  of  origin; 
provisions  on  customs  and  trade  facilitation;  sanitary  and  phytosanitary  measures;  technical 
barriers to trade; trade in services, investment liberalisation and digital trade; transparency in 
public procurement; intellectual property rights; trade and competition; trade and sustainable 
development;  partnership  in  agriculture;  fisheries  and  aquaculture;  dispute  avoidance  and 
settlement; institutional structure; and economic and development cooperation.  

A sustainability impact assessment125 looking into the impact of the new agreement has been 
conducted in parallel to the negotiations, with public consultations.  

124 In 2017, the then-four ESA partners (ESA4) implementing the Agreement requested to deepen it beyond trade 
in goods, in accordance with the ‘rendezvous clause’ embedded in the Agreement. In May 2019, the EU and 
ESA5 Countries (Madagascar, Mauritius, Seychelles, Zimbabwe and Comoros) agreed on a joint scoping paper 
that paved the way for the official launch of the negotiations in October 2019. 
125 https://policy.trade.ec.europa.eu/analysis-and-assessment/sustainability-impact-assessments_en  

141 

 
 
 
 
2. 

MAIN IMPLEMENTATION ISSUES  

2.1   Market access: Progress and outstanding issues  

The interim EPA offers duty-free, quota-free access for all imports from the ESA EPA States 
to the EU since 1 January 2008. The five ESA EPA States are in the process of opening their 
markets  to  EU  imports  in  line  with  the  individual  tariff  schedules  of  each  ESA  EPA  State 
annexed to the interim EPA.126  

The implementation of tariff dismantling schedules, initially foreseen to start in 2012 (for 
ESA4), was completed by Seychelles, Mauritius and Zimbabwe on 1 January 2022 and by 
Madagascar on 1 January 2023, when the percentage of tariff lines fully liberalised for products 
originating in the EU reached 97.5% in Seychelles, 96.2% in Mauritius, 87% in Zimbabwe and 
86%  for  Madagascar.  Tariff  commitments  implementation  encountered  some  difficulties  in 
Comoros. A catch-up scenario was however agreed, and Comoros will complete its market 
access liberalisation schedule in the course of 2024, i.e., to reach the target of liberalising around 
80% of their trade. The country needed two additional years (2024 instead of 2022) as it joined 
this agreement much later (in 2019) than the other four ESA partners.127    

In the context of rules of origin implementation, Madagascar, since 1st January 2023, and 
Seychelles since 1st July 2023 have ceased to issue movement certificates EUR.1 and are now 
using self-certification by exporters registered in the EU’s REX system. Mauritius submitted 
a fifth consecutive request for derogation from the rules of origin for the importation into the 
EU  of  salted  snoek  manufactured  from  non-originating  Barracouta.  The  EU,  through  the 
Commission Decision C(2023)7383 of 3rd November 2023, refused to grant the derogation. 

The last EPA Committee was held in October 2022 and the next one is expected in the second 
quarter  of  2024,  where  discussions  will  focus  on  agreeing  on  a  monitoring  and  evaluation 
framework for the EPA, issues relating to both the current and the future deepened EPA and 
other issues of particular interest for ESA5 partners. 

In 2023, parties undertook further steps towards the development of a common methodology 
aimed at finalising a monitoring and evaluation framework for the iEPA, and consulted 
stakeholders  from  the  public  and  private  sector.  This  is  an  important  step  to  define  a  joint 
understanding of progress made implementing the iEPA and to identify remaining challenges 
in order to be able to address them adequately. 

Dialogue with partner countries and EU development cooperation assistance are key elements 
to support the implementation of the EPA. 

In 2023, the EU Delegations in the region maintained a close dialogue with government and 
private sector on economic matters, including on trade policy. In particular, missions to ESA5 

126 The ESA countries were not in a position to table a common regional market access offer and each country 
presented an individual offer based on its specificities. 
127 More details can be found here: http://trade.ec.europa.eu/doclib/docs/2012/march/tradoc_149213.pdf  

142 

 
 
 
 
 
 
 
 
countries allowed deepening the dialogue with authorities and private sector while also liaising 
with EU Member States on the ground. Other examples are:  

- 

- 

- 

- 

- 

- 

at ESA5 level, Market Access Team meetings in 2023, comprising EU Member States 
representatives and EU Business associations, were organised by the EU Delegation in 
Mauritius to exchange information on trade policy and enquire on trade barriers.  
In Comoros, the EU Delegation contributed substantially to strengthening the public 
private dialogue. Besides, the EU organized seminars on AfCFTA for the public and 
private sector. Dialogue  continued with  the Ministry for Economy,  especially  on the 
tariff dismantling schedule and the relevant transposition of the tariff codes that was 
completed end-2023.  
In Madagascar, the EU Delegation continued its close dialogue with both the private 
sector and the public authorities, in the framework of the CLIM-INVEST cooperation 
programme,  with  a  focus  on  optimising  the  public-private  dialogue  and  the  role  of 
digitalisation in the strengthening of the business environment.  
In  Mauritius,  a  general  diagnostic  of  export  bottlenecks  for  SMEs  and  a  related 
training  needs  analysis  was  carried  with  a  view  to  provide  support  to  individual 
companies. 
In  Seychelles,  the  EU  participated  in  an  event  to  showcase  the  incubators 
achievements,  in  the  validation  workshop  on  the  Seychelles  National  Action 
Programme  on  Investment  and  in  the  launch  of  the  digitalized  Port  Management 
System.   
In Zimbabwe, the Zimbabwe International Trade Fair 2023 was an occasion to highlight 
the benefits and opportunities offered by the iEPA and discuss the EU Deforestation-
free products Regulation. Discussions continue between DG SANTE and the National 
Plant Protection Organisation of Zimbabwe in view of resuming the export of citrus.  

2.2 

Trade and sustainable development  

The iEPA does not include a dedicated chapter on trade and sustainable development. However, 
in the course of the ongoing negotiations to deepen the Agreement, the Parties are committed 
to an ambitious Trade and Sustainable Development chapter, in line with EU trade policy. 

The  Samoa  Agreement  that  replaced  the  Cotonou  Agreement  as  the  framework  for  the  EU 
relationshp  with  ACP  countries  includes  robust  commitments  on  trade  and  sustainable 
development. They also create a basis for further colaboration on these issues.  

2.3   Technical assistance and cooperation 

In 2023 several EU development cooperation programmes linked to the EPA continued their 
activitites. These programmes aim to facilitate tax and customs reforms, improve the business 
environment and improve ESA States’ competitiveness: 

143 

 
 
 
 
 
 
 
•  The  Fit  For  Market+  (FFM+)  provides  support  to  the  horticultural  sector  in  ACP 
countries,  including  ESA5,  and  aims  to  maintain  and  improve  access  to  domestic, 
regional  and  international  markets  and  enhances  support  capacities  of  competent 
authorities. 

•  The 11th European Development Fund (2014-2020), whose related projects are still 
ongoing, earmarked EUR 10 million for each of the four initial signatory countries and 
EUR 6 million for Comoros to help them implement the iEPA.  

•  The  APILE  project128  in  Comoros  aims  at  improving  private  sector  competitiveness, 
stengthening the business environment and structuring the public-private dialogue. 
The  PAGF  project129  in  Comoros  aims  at  enlarging  the  fiscal  basis  in  order  to 
compensate  for  customs  revenues  loss  due  to  Comoros  Tariff  liberalisation  in  the 
context of the iEPA.  

•  Technical assistance to Mauritius planned in 2024 to implement a GI framework as well 
as  technical  support  to  the  Mauritius  Intellectual  Property  Office  and  private  sector 
associations. 

•  The  PADEIR  programme  in  Madagascar,130  focuses  on  facilitating  exports  and 
strengthening the competitiveness of the information, communications and technology 
(ICT), tourism, agribusiness (organic products) and textile sectors.  

•  The  EU  assisted  the  Seychelles  in  developing  a  standardisation  strategy  to  improve 
transparency and openness in the standardisation processes. Besides, the creation of a 
private  sector-led  business  incubator  facilitated  the  emergence  and  growth  of 
businesses. 

• 

In  November  2023  Zimbabwe  came  to  the  end  of  implementation  of  the  EPA 
implementation programme, which in 2023 focused on trade facilitation projects (e.g. 
improving border traffic management systems).  

128 APILE Project - Support to Industrialisation and Free Trade 
129 PAGF Project - Support Programme for Finances Management 
130 PADEIR Project - Support Programme for Development of Exports and Regional Integration 

144 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ECONOMIC PARTNERSHIP AGREEMENT (EPA) BETWEEN THE EU AND 
CARIFORUM 

1. 

THE AGREEMENT 

The  Economic  Partnership  Agreement  (EPA)  between  the  EU  and  CARIFORUM  (“the 
Agreement”) is a regional trade and development Agreement between the EU and its Member 
States and 15 Caribbean countries. It entered into provisional application on 29 December 2008. 
By the end of 2023, the Agreement was provisionally applied by the EU and its Member States 
and by 14 Caribbean States131 while 26 EU Member States and 10 Caribbean States had ratified 
the EPA.132 

The Agreement includes provisions on trade in goods, trade in services, competition, innovation 
and  intellectual  property  rights,  government  procurement  and  an  important  development 
component with the EU commitment towards fostering long-term sustainable economic growth 
in the Caribbean.133 The EPA also has a number of specialized committees on agriculture and 
fisheries and customs and trade facilitation, the Services Committee set up officially in April 
2024. 

In general, the EPA has an asymmetric character. While the EU immeditely offers duty-free 
and quota-free access to its market, the CARIFORUM partners have up to 25 years (until 2033) 
to complete import tariff cuts. They have excluded from these cuts around 17% of goods and 
services, which they consider sensitive.134 The list includes fresh fruits and vegetables, most 
alcoholic beverages, some garments, a number of processed agricultural products, fish, meat, 
chemicals  and  furniture.  Overall,  only  25%  of  CARIFORUM's  agricultural  and  fisheries 
products have been covered by liberalisation under the EPA.    

In 2023, CARIFORUM partners progressed with the implementation of their market access 
schedules  for  goods.  Currently  six  CARIFORUM  States135  report  to  complete  a  timely 
implementation of the full schedule of tariff liberalisation under EPA.  

The  EU  is  currently  engaged  with  CARIFORUM  in  the  second  five  years’  Joint  Review 
process of the EPA. The Review process should identify the key implementation challenges 
and provide joint conclusions and recommendations on the impact and future functioning of the 
EPA for the consideration of the next Joint Council.   

131 Antigua and Barbuda, Bahamas, Barbados, Belize, Dominica, Dominican Republic, Grenada, Guyana, 
Jamaica, St. Kitts and Nevis, Saint Lucia, St. Vincent and the Grenadines, Suriname, and Trinidad and Tobago. 
Haiti still needs to ratify the Agreement in parliament before applying it, due to domestic legal requirements. 
132  On the Cariforum side, the ratification is pending by the Bahamas, Haiti, Jamaica, Suriname and Trinidad 
and Tobago; on the EU side, the agreement has not been ratified by Hungary only. 
133 More information: Access2Markets The EU-CARIFORUM Economic Partnership Agreement (europa.eu)  
134 The Cariforum states submitted individual market access schedules and not one single regional offer. Hence 
figures and information provided here are an average over all 14 market access schedules.  
135 The Bahamas, Belize, the Dominican Republic, Guyana, Jamaica and Saint Lucia. 

145 

 
 
 
 
 
 
 
 
On the institutional side, the 7th Meeting of the Consultative Committee took place in Brussels 
in November 2023 focusing strongly on the green dimension.136 The meeting of the Trade and 
Development Committee took place on 24 and 25 of April 2024 and the EU-CARIFORUM 
Joint Council in the second part of 2024. The Special Committee on Customs Cooperation and 
Trade Facilitation and the Special Committee on Agriculture and Fisheries did not meet during 
2023.  

For the Dominican Republic, informal bilateral discussions (“mesa del comercio” or “trade 
table”)  are  regularily  held  with  the  EU  on  all  aspects  of  the  trade  dimension,  including  EU 
Green Deal legislation and support for its implementation.137  

2.   MAIN IMPLEMENTATION ISSUES  

2.1   Market access: Progress and outstanding issues 

The currently ongoing implementation initiatives with the CARIFORUM Region under the 
EPA include: 

• 

timely  implementaton  of  tariff  cuts  by  all  CARIFORUM  States  and  support  to  the 
implementation of the regulatory commitments under EPA; 

•  EU efforts to increase EPA utilization rates, transparency of applicable EPA rates and 
support to finalize the Harmonised System (HS) transposition (from 2002 to the 2022 
HS  nomenclature)  of  the  market  access  offers  by  CARIFORUM,  based  on  technical 
assistance offered by the EU. So far, HS transposition has been successfully finalised 
only by Dominican Republic;  

•  ongoing efforts to create the annual Joint Monitoring Mechanism as mandated by 
EPA – with a first pilot report to be avaialble early in 2024 based on the jointly available 
data; 

•  on-going negotiations on Geographical Indications (GIs);  

•  review of the Rules of the Origin, in standstill since 2021;  

•  establishment of a Special Committee on Services; 

• 

increasing awarness and trasparency in the area of TBT and SPS; 

136 Cariforum-EU Consultative Committee | EESC (europa.eu)  
137 Recent EU legislation such as the Regulation on Deforestation-free products directly affect Dominican 
Republic’s traditional agricultural exports such as organic products, cocoa and coffee. 

146 

 
 
 
 
 
 
 
 
 
 
 
 
•  support  to  Intellectual  Property  Rights  (IPR)  enforcement  and  capacity  based  on 

cooperation tools. 

The Dominican Republic is the most dynamic and economically the second most important 
partner in CARIFORUM considering total merchandise trade.138 It is also the most advanced 
in terms of EPA implementation and EPA performance.   

There  are  some  market  access  barriers  to  solve  by  Dominican  Republic,  namely  a 
discriminatory application of the VAT tax (ITBIS) on some imported food products (notably 
cheese, ham and canned vegetables). This issue was raised by the EU side in the relevant WTO 
Committees,  such  as  the  Market  Access  Committee  and  also  under  the  WTO  Trade  Policy 
Review of the Dominican Republic in early 2023. There were concerns over the implementation 
of the fiscal control and traceability system for alcoholic beverages and tobacco (TRAFICO); 
however  following  interventions  by  the  EU  and  Member  States,  Dominican  Republic  may 
consider  abandoning  the  TRAFICO  system  for  imported  drinks.  The  application  of  a  law 
requiring a local representation of foreign brands also persists as a problem.139  

With regards rules of origin, an implementation issue remains open with Jamaica, which is not 
accepting invoice declarations made out by EU approved exporters, thus limiting the choice of 
EU exporters on the proof of origin. 

2.2 

Trade and sustainable development 

The  EU-CARIFORUM  EPA  is  the  first  EU  trade  agreement  with  specific  chapters  on 
sustainable development and social aspects (Chapters IV and V), which generally reaffirm 
the  Parties’  commitment  to  existing  international  conventions  and  agreements  to  conserve, 
protect and improve the natural environment, respect core labour standards, and to prioritise 
sustainable development.  These commitments are further strengthened by a  reference to  the 
Samoa  Agreement  that  replaced  the  Cotonou  Agreement  as  the  framework  for  the  EU 
relationshp with ACP countries, which includes robust commitments on trade and sustainable 
development.  

In  addition,  in  2023,  EU  cooperation  funds  (see  also  further  below)  continued  to  support 
CARIFORUM states in implementing programmes related to sustainability, including with the 
Euroclima  Programme  which  allowed  for  discussions  at  country  level  to  identify  concrete 
actions to be implemented, including in the area of climate adaptation, biodiversity and circular 
economy.  Work  has  continued  in  Barbados,  Dominica,  Grenada,  St.  Vincent  and  the 
Grenadines in the field of renewable energy and improvement of energy efficiency. EU funds 
have also been geared towards water and solid waste management. 

138 The Dominican Republic accounts for 25.4% EU’s trade with CARIFORUM. Its exports to the EU have 
increased steadily by more than 152% since the start of implementation in 2008 and bilateral trade has 
augmented 226% as a whole based on Eurostat data. Bilateral trade in 2023 reached to EUR 4,081 billion. 
139 Access2Markets Barrier: Dealer Protection Law - discrimination (europa.eu). 

147 

 
 
 
 
 
 
 
 
2.3   Technical assistance and cooperation, promotion activities 

While  CARIFORUM  States  are  facing  important  capacity  constraints,  some  progress  was 
achieved  in  2023,  notably  on  IPR  legislative  frameworks,  TBT  -  especially  conformity 
assessment  and  standards  setting-,  as  well  as  the  transparency  of  public  procurement 
procedures. The EU development cooperation and support programmes  played a key role in 
achieving these positive results. 

Regional  integration  and  support  to  improve  the  business  climate  remain  important 
challenges and objectives for joint implementation work.  

The  findings  of  the  10-year  Evaluation  Study140of  the  EU-CARIFORUM  EPA  and 
discussions  held  under  the  Review  process  led  to  the  identification  of  key  implementation 
gaps and cooperation needs and capacity constraints that should be further supported under 
the cooperation tools.  

With regard to TBT, in  2023 the EU provided support to  activities fostering new quality in 
several  products’  value  chains  (i.e.  calibration  of  two  regional  laboratories,  accreditation  of 
conformity assessment bodies, certification of private sector entities in quality management, or 
the issuance new regional standards).  

The EU also supported the implementation capacity of CARIFORUM States on IPR and GIs 
commitments under the CARIPI project implemented together with EUIPO.   

In 2023 the Commission engaged in activities to raise awareness, provide business oriented 
information about the EPA, as well as to support business-to-business links, in particular under 
the two tailored Policy Support Facility projects designed by DG TRADE together with 
the EU Delegations in the region. 

•  The EU Delegation in Barbados together with DG TRADE implemented a regional 
FPI  project  aimed  at  raising  EU  business  awareness.  The  project  included  the 
organisation of six sectoral business webinars and sectoral reports and brochures around 
specific trade and investment opportunities under the CARIFORUM EPA141.   

•  The EU Delegation in the Dominican Republic in 2023 implemented a FPI-financed 
project to improve preference utilisation rates (PUR) by EU exporters. Moreover, since 
2017, the Delegation organises the EPA Awards Event each year aimed at promotion 
of business opportunities under the EPA to European or Dominican companies for the 

140 Final report: https://trade.ec.europa.eu/doclib/docs/2021/january/tradoc_159352.pdf 
141 The results can be found on DG Trade website in the form of 6 sectoral reports and information brochures 
under:  EU trade relations with Caribbean countries (europa.eu) 

148 

 
 
 
 
 
 
 
 
best  trade  performance  under  EPA.  Its  6th  edition  took  place  in  December  2023  and 
included an EPA prize category for fair trade.142  

•  With  regard  to  business  support  and  awareness  building,  the  EU  Delegation  in 
Barbados continued to provide support to CARIFORUM exporters, business operators 
(especially  MSMEs)  and  other  stakeholders  by  raising  awareness  about  EU  rules  on 
imports and EPA provisions with companies, Business Support Organisations, export 
agencies and local authorities by direct engagement in Investments and Business Fora 
and support to workshops regionally. 

142 Video summary of the EPA awards event: https://www.youtube.com/watch?v=sjeK6d0-9fs 
https://www.youtube.com/watch?v=sjeK6d0-9fs https://www.youtube.com/watch?v=sjeK6d0-9fs 
https://www.youtube.com/watch?v=sjeK6d0-9fs  

149 

 
 
 
 
 
 
 
 
ANNUAL INFORMATION SHEET ON THE IMPLEMENTATION OF THE 
ECONOMIC PARTNERSHIP AGREEMENT (EPA) BETWEEN THE EU AND 
PACIFIC STATES 

1.  THE AGREEMENT 

The EU is implementing an “interim”143 Economic Partnership Agreement (EPA or iEPA) 
with  Papua  New  Guinea  since  December  2009,  with  Fiji  since  July  2014  (i.e.  the  original 
signatories),  and  with  Samoa  and  Solomon  Islands  since  December  2018  and  May  2020, 
respectively, following their accession to the Agreement. In 2023 accession talks progressed 
with Niue, Tonga and Tuvalu, while three more talks continue (Federated States of Micronesia, 
Timor-Leste, Vanuatu). Originally the EPA was supposed to be replaced by a comprehensive 
regional  EPA  with  all  Pacific  States144,  however  the  negotiations  were  put  on  hold  in  2016 
mainly due to lack of progress and the withdrawal of Papua New Guinea from the negotiations. 
Currently,  the  preferred  way  forward  is  the  geographical  widening  of  the  iEPA  and  later, 
increasing its scope. 

The iEPA only covers trade in goods; it provides for rules of origin for processed fisheries 
products (mainly tuna), which are not provided for in any other EPA – the so-called “global 
sourcing” provision, which is intended to boost development in the region. This allows -upon 
notification- that fish brought on-shore by foreign vessels and further processed in a Pacific 
EPA country can be exported to the EU duty-free and quota-free, regardless of where the fish 
was caught. This significant concession by the EU has boosted investments in the tuna cooking 
and canning industry, creating tens of thousands of new jobs in Papua New Guinea (since 2009) 
and Solomon Islands (since 2020). 

2. 

MAIN IMPLEMENTATION ISSUES  

2.1. Market access: progress and outstanding issues 

In 2023, all exports from Papua New Guinea, Fiji, Samoa and Solomon Islands continued to 
enter the EU market duty-free and quota-free on a permanent basis.  

On the implementation of the tariff liberalisation under the interim EPA, taking full account 
of differences in development levels and sensitive sectors, Papua New Guinea has liberalised 
88% of imports from the EU since 2008, Fiji undertook to liberalise 87% over 15 years, Samoa 
will liberalise 80% over 20 years and Solomon Islands will liberalise 83.5% over 18 years. 
The  9th  EU-Pacific  Trade  Committee  under  the  EU-Pacific  interim  Economic  Partnership 
(iEPA) took place from 6-7 February 2024, in Apia, Samoa, bringing together Senior Officials 

143 The title "interim" has lost much of its meaning, as this EPA is being transformed into a definitive one, with 
more  and  more  countries  in  the  region  choosing  to  accede  to  it  rather  than  seeking  to  continue  the  regional 
negotiations as a block for a "full" EPA with all the 14 countries in the region. 

144 Regional negotiations involved 14 Island States: Fiji, PNG, Samoa, Solomon Islands, Tonga, Vanuatu (all 6 
currently WTO members), Cooks Islands, Kiribati, Marshall Islands, Federated States of Micronesia, Nauru, Niue, 
Palau and Tuvalu (all 8 are neither WTO members nor observers). To note: Timor-Leste is part of the Small 
Pacific Islands group of ACP States, signatory to the Cotonou Agreement, but was not part of the regional EPA 
negotiations as it is not a member of the Pacific Islands Forum with which negotiations were carried out. 

150 

 
 
 
 
 
from  Fiji,  Papua  New  Guinea,  Samoa,  Solomon  Islands  and  the  EU  (the  Parties  to  the 
Agreement). 145 Owing to their notification of intent to accede to the iEPA, six Pacific States 
(namely Tuvalu, Niue, Tonga, Timor-Leste, Vanuatu and the Federated States of Micronesia) 
were invited to participate in the Committee meeting as observers.  

During this EPA Committee, the Parties reviewed the following issues:  

• 

the state of play of the ongoing study on trade in services and investment facilitation;  

• 

recent developments in bilateral trade in agriculture;  

•  update to the Pacific Regional Kava Development Strategy (endorsed by the Pacific 
ACP Trade Ministers in October 2023), which inter alia seeks to improve the capacity 
to access the EU market and to promote Kava as geographical indication.  

The  EU  and  the  Pacific  EPA  partners  also  agreed  on  the  mechanism  of  a  Joint  iEPA 
Monitoring and Evaluation (M&E), which aims inter alia to involve civil society in the M&E 
of  iEPA  implementation,  including  the  achievement  of  trade  and  sustainable  development 
objectives.  The  Parties  agreed  to  prepare  the  first  draft  Joint  Monitoring  Report  for 
consideration at the next Trade Committee in 2025. 

In relation to institutional matters, the Parties endorsed the Proposal for a Trade Committee 
Decision amending the Agreement to take account of the accession of the six acceding Pacific 
States. Parties also exchanged views on:  

•  ways  of  operationalising  the  Rules  of  Procedure  (RoP)  of  the  Trade  Committee 

taking account of the accessions;  

• 

the  draft  Decisions  for  the  RoP  of  the  Dispute  Settlement  and  Code  of  Conduct  for 
Arbitrators  and  Mediators  and  the  nomination  of  individuals  with  the  view  to 
establishing a list of Arbitrators under the iEPA; 

• 

the  adoption  of  the  iEPA  Decision  concerning  technical  amendments  to  Protocol 
II146. 

Concerning broader issues, the Parties underscored the importance of the Samoa Agreement, 
under which they have committed to support the implementation and functioning of the existing 
iEPA and underlined the importance of the rules-based multilateral trading system and the need 
to collaborate to ensure a successful WTO MC13.  

Finally,  each  Pacific  iEPA  Party  presented  its  National  iEPA  Implementation  Plan  of 
Actions.  

145 https://circabc.europa.eu/ui/group/09242a36-a438-40fd-a7af-fe32e36cbd0e/library/4796576b-3289-4def-
b5d4-8cd9ed15f8ee/details  
146 Protocol II concerns the definition of the concept of "originating products" and methods of administrative 
cooperation between the Parties. 

151 

 
 
 
 
 
 
 
 
2.2   Trade and sustainable development  

The  Pacific  EPA  does  not  include  a  chapter  on  trade  and  sustainable  development  (TSD). 
Nevertheless,  the EU and the Pacific States are  cooperating in  the framework of the Samoa 
Agreement, which replaced the Cotonou Agreement as the framework for the EU relationship 
with ACP countries. The Samoa Agreement includes robust commitments on TSD which also 
create a basis for further colaboration on these issues. 

The importance of the Samoa Agreement for trade and sustainability matters was reiterated by 
the Parties in the context of the Trade Committee of 6-7 February 2024, where the Parties also 
decided  to  discontinue  the  work  on  the  Joint  Declaration  on  TSD,  as  its  content  has  been 
superseded by the provisions on TSD in the Samoa Agreement. These TSD provisions of the 
Samoa Agreement will guide the implementation of the iEPA, so that trade can play its role as 
a positive force for a green and just transition, with climate change being a matter of highest 
priority for the region.  

2.3   Technical assistance and cooperation  

Development cooperation is crucial in order to assist the Pacific States to meet some specific 
EPA implementation needs and to improve their capacity to export. The EU continued to play 
an active role to support trade relations with the Pacific, particularly through four combined 
trade-related  assistance  actions  funded  under  the  Pacific  Regional  Integration  Support 
Programme (PRISE) and the Pacific-EU Marine Partnership Programme (PEUMP). Through 
these actions147 implemented by international (UNCTAD) and regional organisations (Pacific 
Islands  Forum  Secretariat,  Secretariat  of  the  Pacific  Community,  Forum  Fisheries  Agency), 
Pacific States benefited from complementary activities supporting the implementation of the 
EPA and new accessions to it and better awareness of EU preferential trade schemes and market 
access requirements. Assistance (which may be extended until 2026) included the following 
amonst others in helping the Pacific countries: 

- 

- 

- 

to  formulate  and  implement  national  EPA  implementation  plans  (Fiji,  Papua  New 
Guinea,  Samoa,  Solomon  Islands)  and  accession  proposals  (Timor-Leste,  Tonga  and 
Tuvalu); 

to address sanitary and phyto-sanitary requirements (e.g. coconut, coffee, kava and 
turmeric value chains); 

to  harmonise  customs  operations  at  regional  and  national  levels  (ASYCUDA  and 
single windows), and idenfity non-tariff measures (TRAINS portal); 

- 

to implement the EPA and WTO trade facilitation commitments. 

147 Namely: SPIRIT-Strengthening Pacific Intra-Regional and International Trade; SAFE-Safe Agriculture Trade 
Facilitation in the Pacific; IMPACT-Improving Pacific Islands Customs and Trade; and PEUMP SFM-
Sustainable Fisheman engagement). 

152 

 
 
 
 
 
 
 
 
 
Annex 

New barriers registered in 2023 

Nr  A2M ID  Title 
1 
2 
3 
4 
5 

17722 
17502 
17662 
17542 
17602 

6 

17562 

7 
8 
9 
10 

17762 
17742 
17702 
17642 

11 

17442 

12 

17462 

13 

17982 

14 

17582 

15 

17622 

Country  
Algeria 
Cameroon 
Canada 

Colombia 

Colombia 

Non-acceptance of preferential origin statement 
Cameroon import and export taxes 
Luxury Tax on vehicles, boats and aircraft 
Export restrictions for artificial graphite products by China  China 
Excessive  delays  in  the  registration  of  pharmaceutical 
products by INVIMA 
lack  of  application  of  the  regionalisation  principle  for 
Avian influenza 
Temporary restriction of import of certain medicines 
Standards and labelling programme for tyres 
EUR.1 certificate requirement for exports to Jordan 
Revision  of  the  Regulations  on  Alcoholic  Beverages  in 
Malaysia 
Import  and  commercialisation  prohibition  of  heated 
tobacco products 
Requirement  to  sign  and  stamp  origin  declarations  by 
customs authorities  
Export  ban  on  Norwegian  Atlantic  farmed  salmon 
(production grade) 
Ban of EU live horses due to surra (Trypanosoma evansi 
(Surra) detection 
Trade  restrictions  due 
regionalisation measures  

to  non-recognition  of  EUs 

Gabon 
India 
Jordan 
Malaysia 

Mexico 

Morocco 

Norway 

Taiwan 

16 

17482  Mandatory licences for import of certain products 

Tunisia 

Sector 
Horizontal  
Horizontal  
 Automotive 
Mining 
Pharmaceuticals 

Agriculture 
Fisheries 
Pharmaceuticals 
Automotive 
Horizontal  
Wines & Spirits 

Other Industries 

Horizontal  

Agriculture 
Fisheries 

Fisheries 
Horizontal  

Agriculture 
Fisheries 

and 

and 

and 

and 

South Africa  Agriculture 

Barriers resolved (fully/partially/temporarily) in 2023 

Nr  A2M ID  Title 

Country 

Sector 

Progress 

1 

2 

3 

4 

5 

12700 

Non-automatic import licences 

Argentina 

Other Industries 

Resolved 

14523 

Backlog of market access applications 

Australia 

Agriculture and 
Fisheries 

Partially 
resolved 

15522 

Registration and listing of establishments 
exporting food and drink products to China 
(Decree 248) 

China 

Agriculture and 
Fisheries 

Resolved 

10789 

Longstanding and unjustified import ban on EU 
Bovine products thereof due to BSE. 

China 

Agriculture and 
Fisheries 

Partially 
resolved 

17942 

cost of plant risk assessment and verifications 

Colombia 

Agriculture and 
Fisheries 

Resolved 

153 

 
 
 
 
6 

17202 

lack of progress on export applications of fresh 
animal products, certificates and on the 
registration of list of pre-approved establishments 
(Pre-listing) 

Costa Rica 

Agriculture and 
Fisheries 

Partially 
resolved 

7 

8 

9 

10 

11 

16222 

taxation on imported beer 

Costa Rica  Wines & Spirits 

Resolved 

17382 

backlog of applications of plant products 

Ecuador 

17522 

Regionalization (lack of), country-wide bans 
imposed by Ecuador 

Ecuador 

Agriculture and 
Fisheries 

Agriculture and 
Fisheries 

Resolved 

Resolved 

15796 

Several measures on imports related to Covid-19 

Egypt 

Horizontal 

Resolved 

10709 

Restrictions on imports of plants and plant 
products (alternatives to methyl bromide) - Slow 
and uncertain pre-shipments' process 

India 

Agriculture and 
Fisheries 

Partially 
resolved 

12 

16144 

Quality Control orders in the automotive sector 
(wheel rims, safety glass, two-wheeler helmets 
and Brake linings) 

India 

Automotive 

13 

13542 

Fees for desk evaluation and audit in relation to 
Member States export applications 

Indonesia 

14 

15324  Member States applications on beef and ban due 

Japan 

to Bovine Spongiform Encephalopathy (BSE) 

Agriculture and 
Fisheries 

Agriculture and 
Fisheries 

15 

16382 

Japanese regulations related to off-shore wind 
power market 

Japan 

Services 

Partially 
resolved 

Resolved 

Partially 
resolved 

Partially 
resolved 

16 

15882  Mandatory vehicle homologation 

17 

14530 

African Swine Fever: Country-wide ban on pigs 
and pig meat 

Kosovo 
(under 
UNSCR 
1244) 

Malaysia 

18 

14303 

Lack of regionalisation related to avian influenza  Malaysia 

Automotive 

Resolved 

Agriculture and 
Fisheries 

Agriculture and 
Fisheries 

Partially 
resolved 

Partially 
resolved 

19 

20 

16662 

Amendments to the Domestic Trade Law 

Moldova 

Horizontal 

Resolved 

10282 

Prohibition of foreign exchange for some sectors 

Nigeria 

Horizontal 

Resolved 

21 

17242 

Import restrictions for olive oil 

22 

15482 

lack of progress on export applications of fresh 
animal products and on the registration of list of 
pre-approved establishments 

Oman 

Panama 

Agriculture and 
Fisheries 

Resolved 

Agriculture and 
Fisheries 

Partially 
resolved 

23 

17902 

Delays in accepting certificates 

Panama 

Agriculture and 
Fisheries 

Partially 
resolved 

154 

 
 
24 

11411 

Consular stamping requirements 

Paraguay 

Horizontal 

Resolved 

25 

15962 

Health Warning System Labelling 

26 

18042 

Undue delays on approval of certificates and 
prelisting for genetic material (bovine semen) 

27 

14402 

Ban on imports of pigs and pork products from 
several EU Member States due to African Swine 
Fever and poultry and poultry products due to 
Highly pathogenic avian influenza 

28 

17763 

Import ban on the EU due Bovine Spongiform 
Encephalopathy on imports of bovine, ovine and 
caprine products 

Peru 

Peru 

Agriculture and 
Fisheries 

Agriculture and 
Fisheries 

Resolved 

Resolved 

Philippines 

Agriculture and 
Fisheries 

Partially 
resolved 

Saudi Arabia  Agriculture and 

Resolved 

Fisheries 

29 

11840 

IPR-Deficient Neighbouring rights for performers 
and phonogram producers 

Singapore 

Services 

30 

13022 

SPS measures following avian influenza outbreaks 
in the EU 

South Africa  Agriculture and 

Fisheries 

Partially 
resolved 

Partially 
resolved 

31 

17582 

Ban of EU live horses due to surra (Trypanosoma 
evansi (Surra) detection 

South Africa  Agriculture and 

Resolved 

Fisheries 

32 

12740 

Non- recognition of EU 's regionalisation 
measures implemented due to African Swine 
Fever and Avian Influenza 

South Korea  Agriculture and 

Fisheries 

33 

10761 

Slow procedures on applications to allow import 
of animal and plant products. 

South Korea  Agriculture and 

Fisheries 

34 

10760 

Import ban due to Bovine Spongiform 
Encephalopathy (BSE) 

South Korea  Agriculture and 

35 

11600 

Cumbersome and undue delays of import 
application procedures 

Thailand 

Fisheries 

Agriculture and 
Fisheries 

Partially 
resolved 

Partially 
resolved 

Partially 
resolved 

Partially 
resolved 

36 

12902 

Discriminatory treatment between Turkish and 
EU-produced of tractors 

Turkey 

Automotive 

Resolved 

37 

38 

14822 

Amendments to the Cosmetic legislation 

Turkey 

Cosmetics 

Resolved 

17422 

Slaughtering conditions for animals according to 
Islamic rules 

United Arab 
Emirates 

Agriculture and 
Fisheries 

Resolved 

39 

10783 

Slow procedures on applications to allow import 
plants and plant products. 

United 
States of 
America 

Agriculture and 
Fisheries 

Partially 
resolved 

40 

13922 

Pharmaceuticals - registration of drugs and 
procurement rules 

Vietnam 

Pharmaceuticals 

Partially 
resolved 

41 

12168 

Pharmaceuticals: Trading Rights & Data 
Exclusivity 

Vietnam 

Pharmaceuticals 

Resolved 

155 

 
 
156