Source: EURLEX
Language: en
Format: md

5 . 4 . 97 EN 1 Official Journal of the European Communities No C 107 / 7

COOPERATION AGREEMENT

between the European Community and the Kingdom of Cambodia

THE COUNCIL OF THE EUROPEAN UNION,

of the one part, and

THE ROYAL GOVERNMENT OF CAMBODIA,

of the other part,

hereinafter referred to as ' the Parties ',

WELCOMING the increase in trade and cooperation which has taken place between the European
Community, hereinafter referred to as ' the Community ', and the Kingdom of Cambodia, hereinafter
referred to as ' Cambodia ':

RECOGNIZING the excellent relations and ties of friendship and cooperation between the Community
and Cambodia ;

REAFFIRMING the importance of further strengthening ties between the Community and Cambodia ;

RECOGNIZING the importance the Parties attach to the principles of the United Nations Charter, to the
Universal Declaration of Human Rights, to the 1993 Vienna Declaration and the Plan of action of the
World Conference on Human Rights, to the 1995 Copenhagen Declaration on Social Development and
the associated plan of action, and to the 1995 Beijing Declaration and the plan of action of the fourth
World Conference on Women ;

RECOGNIZING the Parties ' common will to consolidate, deepen and diversify their relations in areas of
mutual interest on a footing of equality, non-discrimination, mutual benefit and reciprocity ;

RECOGNIZING the desire of the Parties to create favourable conditions for the development of trade
and investment between the Community and Cambodia, and the need to adhere to the principles of inter ­
national trade, the purpose of which is to promote trade liberalization in a stable, transparent and
non-discriminatory manner ;

CONSIDERING the need to support the current process of economic reform in order to guarantee
Cambodia 's transition to a market economy, with due regard for the importance of the social development
which should go hand in hand with economic development and the common commitment to respecting
social rights ;

CONSIDERING the need to support the Cambodian Government 's efforts to improve the living
conditions of the poorest and most disadvantaged sections of the population, with a special emphasis on
the status of women ;

CONSIDERING the importance accorded by the Parties to the protection of the environment at all levels
and to the sustainable management of natural resources, taking account of the links between the
environment and development ;

# No c io7 / 8 ren Official Journal of the European Communities 5 . 4 . 97

HAVE DECIDED TO CONCLUDE this Agreement and to this end have designated as their Plenipoten ­
tiaries :

THE COUNCIL OF THE EUROPEAN UNION :

President

Manuel MARIN
Vice-President of the Commission of the European Communities,

THE ROYAL GOVERNMENT OF CAMBODIA :

WHO, having exchanged their Full Powers, found in good and due form,

HAVE AGREED AS FOLLOWS :

Article 1 ( b ) to promote and intensify trade between the Parties,

Basis and to encourage the steady expansion of sustainable
economic cooperation, in accordance with the prin ­
ciples of equality and mutual advantage ;

Respect for the democratic principles and fundamental
human rights established by the Universal Declaration on
Human Rights inspires the internal and international
policies of the Community and of the Kingdom of
Cambodia and constitutes an essential element of this

Agreement .

( c ) to strengthen cooperation in fields closely related to

economic progress and benefiting both Parties ;

( d ) to contribute to Cambodia 's efforts to improve the

quality of life and standards of living of the poorest
Article 2 sections of its population, together with measures for
the country 's reconstruction ;

Objectives

The main objective of the Agreement is to provide a
framework for enhancing cooperation between the
Parties, within their respective areas of jurisdiction, with
the following aims :

( e ) to encourage job creation in both the Community

Agreement to a and Cambodia, with priority being accorded to
framework for enhancing cooperation between the programmes and operations which could have a
Parties, within their respective areas of jurisdiction, with favourable effect in this respect . The Parties shall
the following aims : also exchange views and information on their

respective initiatives in this field, step up and
diversify their economic links and establish
conditions conducive to job creation ;
( a ) to accord each other most-favoured-nation treatment

on trade in goods in all areas specifically covered by
the Agreement, save as regards advantages accorded
by either Party within the context of customs unions
or free-trade areas, trade arrangements with neigh ­
bouring countries or specific obligations under inter ­
national commodity agreements ;

( f ) to take the requisite measures to protect the
environment and manage natural resources
sustainably .

5 . 4 . 97 EN Official Journal of the European Communities No C 107 / 9

Article 3

Development cooperation

The Community recognizes Cambodia 's need for devel ­
opment assistance and is prepared to step up its co ­
operation in order to contribute to Cambodia 's own
efforts to achieve sustainable economic development and
the social progress of its people through concrete
projects and programmes in accordance with the
priorities set out in Council Regulation ( EEC ) No
443 / 92 .

In accordance with the abovementioned Regulation on
cooperation with the Asian and Latin American ( ALA )
countries, assistance will be targeted mainly on the reha ­
bilitation and reconstruction of the country and on the
poorest sections of the population . In cooperation,
priority will be given to schemes aimed at alleviating
poverty, and in particular those likely to create jobs,
foster development at grassroots level and promote the
role of women in development . The Parties will also
encourage the adoption of appropriate measures to
prevent and combat AIDS and take steps to increase
grassroots development and education on AIDS and the
operational capacity of the health services .

Cooperation between the Parties will also address the
problem of drugs to encourage and enhance training,
education, health care and the rehabilitation of addicts .

The Parties acknowledge the importance of human
resources development, social development, the
improvement of living and working conditions, the
development of skills and the protection of the most
vulnerable sections of the population . Human resources

and social development must be an integral part of
economic and development cooperation . Appropriate
consideration shall therefore be given to training
objectives addressing institutional needs and specific
vocational training activities aimed at enhancing the
skills of the local work force .

In view of its major contribution to mine-clearance
programmes in Cambodia, the Community will, in its
future commitments, continue to concentrate on
mutually agreed priorities to ensure that assistance is
effective and lasting .

Community cooperation in all areas will be concentrated
on mutually agreed priorities to ensure that assistance is
effective and lasting . Development cooperation activities
shall be compatible with the development strategies
pursued under the auspices of the World Bank and IMF .

Article 4

Trade cooperation

1 . The Parties confirm their determination :

( a ) to take all appropriate measures to create favourable

conditions for trade between them ;

( b ) to do their utmost to improve the structure of their

trade in order to diversify it further ;

( c ) to work towards the elimination of barriers to trade,

and towards measures to improve transparency, in
particular through the removal at an appropriate
time of non-tariff barriers, in accordance with work
undertaken in this connection by other international
bodies while ensuring that personal data are suitably
protected .

2 . In their trade relations, the Parties shall accord
each other most-favoured-nation treatment in all matters

regarding :

( a ) customs duties and charges of all kinds, including

the procedures for their collection ;

( b ) the regulations, procedures and formalities governing

customs clearance, transit, warehousing and trans ­
shipment ;

( c ) taxes and other internal charges levied directly or

indirectly on imports or exports ;

( d ) administrative formalities for the issue of import or

export licences .

3 . Within the areas of their respective areas of juris ­
diction, the Parties shall :

( a ) seek ways of establishing cooperation in the field of

maritime transport leading to market access on a
commercial and non-discriminatory basis, taking into
account the work done in this connection by other
international bodies (');

( b ) improve customs cooperation between their
respective authorities, especially with regard to
vocational training, the simplification and harmon ­
ization of custom procedures and administrative
assistance in the matter of customs fraud ;

(') Maritime transport would be the subject of an Exchange of

Letters annexed to the Agreement, referring to the provision
of maritime transport services based on the principle of free
and fair competition .

No C 107 / 10 EN Official Journal of the European Communities 5 . 4 . 97

( c ) exchange information on mutually advantageous
opportunities and cooperate on tourism and stat ­
istical matters .

4 . Paragraphs 2 and 3 ( a ) shall not apply to :

( a ) advantages accorded by either Party to States which

are fellow members of a customs union or free trade

area ;

( b ) advantages accorded by either Party to neighbouring

countries with a view to facilitating border trade ;

( c ) measures which either Party may take in order to

meet its obligations under international commodity

agreements .

5 . Cambodia shall improve conditions for the
adequate and effective protection and enforcement of
intellectual, industrial and commercial property rights in
conformity with the highest international standards . To
this end, Cambodia shall accede to the relevant inter ­
national conventions on intellectual, industrial and
commercial property (*) to which it is not yet a party . In
order to enable Cambodia to fulfil the abovementioned
obligations, technical assistance could be envisaged .

6 . Within their respective areas of jurisdiction and in
so far as their rules and regulations permit, the Parties
shall agree to consult each other on all questions,
problems, or disputes which may arise in connection with
trade .

Article 5

Environmental cooperation

The Parties recognize that the only way to improve
environmental protection is to introduce appropriate
environmental legislation, implement it effectively and
integrate it into other policy areas .

The main objective of environmental cooperation is to

enhance the prospects of sustainable economic growth
and social development by placing a high priority on
respect for the natural environment including :

( a ) the drafting of an effective environment policy
involving appropriate legislative measures and the
resources needed to implement it . Proper implemen ­
tation of these measures will be essential in helping
put an end to illegal logging activities . Such a policy

( ) See Annex I.

will also encompass training, capacity building and

the transfer of appropriate environmental tech ­
nology ;

( b ) cooperation in the development of sustainable and

non-polluting energy sources, as well as solutions to
urban and industrial pollution problems ;

( c ) refraining from activities harmful to the environment

( especially in regions with fragile ecosystems ), while
developing tourism as a sustainable source of

revenue ;

( d ) environmental impact assessment, which is a vital
element in the preparation and implementation of
any reconstruction or development project ;

( e ) close cooperation to achieve the objectives of
environmental agreements to which both Parties are
signatories ;

( f ) particular priority and initiatives for the conservation

of existing primary forests and for the sustainable
development of new forest resources .

Article 6

Economic cooperation

Within the limits of their respective areas of jurisdiction

and the financial resources available, the Parties
undertake to foster economic cooperation to their
mutual advantage . This cooperation will be aimed at :

( a ) developing the economic environment in Cambodia

by facilitating access to Community know-how and
technology ;

( b ) facilitating contacts between economic operators and

taking other measures to promote trade ;

( c ) encouraging, in accordance with their legislation,
rules and policies, public   - and private-sector
investment programmes in order to strengthen
economic cooperation, including cooperation
between enterprises, technology transfers, licences
and subcontracting ;

( d ) facilitating the exchange of information and the
adoption of initiatives, fostering cooperation on
enterprise policy, particularly with regard to
improving the business environment and encouraging
closer contacts ;

( e ) reinforcing mutual understanding of the Parties '
respective economic environments as a basis for
effective cooperation .

5 . 4 . 97 I EN I Official Journal of the European Communities No C 107 / 11

In the above fields the principal objectives shall be :

— to assist Cambodia in its efforts to restructure its
economy by creating the conditions for a suitable
economic environment and business climate,

— to encourage synergies between the Parties '
respective economic sectors, and in particular their
private sectors,

— within the Parties ' respective areas of jurisdiction,

and in accordance with their legislation, rules and
policies, to establish a climate conducive to private
investment by improving conditions for the transfer
of capital and, where appropriate, by supporting the
conclusion of agreements between the Member States
of the Community and Cambodia on the promotion
and protection of investment .

The Parties will together determine, to their mutual
advantage, the areas and priorities for economic co ­
operation programmes and activities .

Article 7

Agriculture

The Parties undertake, in a spirit of understanding, to
cooperate in the agricultural sector and examine :

( a ) the scope for developing trade in agricultural
products ;

( b ) sanitary, phytosanitary and environmental measures,

and the results thereof, along with assistance to
avoid obstacles to trade, taking into account the
Parties ' legislation ;

( c ) the possibility of assisting the Government of
Cambodia in its efforts to diversify agricultural

exports .

Article 8

Article 9

Regional cooperation

Cooperation between the Parties may extend to activities
under cooperation or integration agreements with other
countries of the same region, provided the said activities
are compatible with those agreements .

Without excluding any area, special consideration may
be given to the following activities :

( a ) technical assistance ( services of outside consultants,

training of technical staff in certain practical aspects
of integration );

( b ) promotion of intraregional trade ;

( c ) support for regional institutions, projects and
initiatives for which regional organizations bear
responsibility ;

( d ) studies concerning regional links, transport and
communications .

Article 10

Science and technology

The Parties, according to their respective policies, their
mutual interest and within their respective areas of juris ­
diction, may promote scientific and technological co ­
operation .

Cooperation will involve :

— the exchange of information and experience at
regional ( Europe-south-east Asia ) level, especially on
the implementation of policies and programmes,

— the promotion of lasting ties between the Parties '

scientific communities,

— the stepping up of activities aimed at promoting inno ­

vation in industry, including technology transfers .

Cooperation may involve :
Energy

The Parties recognize the vital importance of the energy

sector for economic and social development, and are
prepared to step up cooperation by means of dialogue in
the field of energy policy . This dialogue will take due
account of the main objective, namely to ensure the
sustainable development of Cambodia 's energy resources .

— the joint implementation of regional ( Europe ­
south-east Asia ) research projects in areas of mutual
interest, facilitating, where appropriate, the active
involvement of enterprises,

— the exchange of scientists to promote the preparation

of research projects and high-level training,

No C 107 / 12 fENl Official Journal of the European Communities 5 . 4 . 97

— joint scientific meetings to foster exchanges of
information and interaction and to identify areas for
joint research,

— the dissemination of results and the development of

links between the public and private sectors,

— evaluation of the activities concerned .

The Parties ' higher education institutions, research
centres and industries will play an appropriate part in
this cooperation .

Article 11

Chemical drug precursors and money laundering

Within their respective areas of jurisdiction and the legis ­

lation applicable, and taking into account work done by
the relevant international bodies, the Parties agree to
cooperate in order to prevent the diversion of chemical
drug precursors, and agree on the need to do all in their
power to prevent money laundering .

The Parties will also consider special measures against
the cultivation, production and trafficking of drugs,
narcotics and psychotropic substances, and measures to
prevent and reduce drug abuse .

This cooperation may include :

— measures to promote other forms of economic devel ­

opment,

— the exchange of relevant information, subject to
personal data being duly protected .

Article 12

Physical infrastructure

The Parties recognize that the present state of
Cambodia 's physical infrastructure constitutes a serious
constraint to private investment and to economic devel ­
opment in general . The Parties therefore agree to
encourage specific programmes for the rehabilitation,
reconstruction and development of Cambodia 's infra ­
structure, including transport .

Article 13

Information, communication and culture

The Parties, within their respective areas of jurisdiction,

and in the light of their policies and mutual interests, will
cooperate in the fields of information, communication
and culture to improve mutual understanding and
strengthen existing ties between them . In view of the
importance of the ancient Khmer civilization and its
heritage, appropriate support may also be provided for
the promotion of new initiatives in the following areas :

( a ) preparatory studies and technical assistance for the

conservation of the cultural heritage, notably for the
purposes of tourism ;

( b ) cooperation in the field of the media and audio ­

visual documentation ;

( c ) the organization of events and exchanges to improve

cultural understanding .

The Parties recognize the importance of cooperation in
the fields of telecommunications, the information society
and multimedia . Such cooperation may include the
exchange of information on the Parties ' respective regu ­
lations and policies for telecommunication, mobile
communications, including the promotion of global navi ­
gation satellite systems ( GNSS ), the information society,
multimedia telecommunications technologies, networks
and telematic applications ( e.g. transport, health,
education and environment ).

Article 14

Institutional aspects

1 . The Parties agree to establish a Joint Committee,
whose tasks are :

( a ) to ensure the smooth working and proper application

of the Agreement and of the dialogue between the
Parties ;

( b ) to make suitable recommendations for promoting the

objectives of the Agreement ;

( c ) to establish priorities for potential operations in
pursuit of the Agreement 's objectives .

2 . The Joint Committee shall be composed of
representatives of sufficient seniority of both Parties . It
shall normally meet every other year, alternately in
Phnom Penh and in Brussels, on a date fixed by mutual
agreement . Extraordinary meetings may also be
convened by agreement between the Parties .

5 . 4 . 97 rENl Official Journal of the European Communities No C 107 / 13

3 . The Joint Committee may set up specialized
sub-groups to assist it in the performance of its tasks and
to coordinate the formulation and implementation of
projects and programmes under the Agreement .

4 . The agenda for meetings of the Joint Committee
shall be determined by agreement between the Parties .

5 . The Parties agree that it shall also be the task of
the Joint Committee to ensure the proper functioning of
any sectoral agreements concluded, or which may be
concluded, between the Community and Cambodia .

6 . The organizational structures and the rules of
procedure of the Joint Committee shall be determined
and agreed upon by the Parties .

Article 15

Future developments

1 . The Parties may, by mutual consent and within
their respective areas of jurisdiction, extend this
Agreement to expand cooperation and add to it by
means of agreements on specific sectors or activities .

2 . Within the framework of this Agreement, either
Party may put forward suggestions for expanding the
scope of the cooperation, taking into account the
experience gained in its application .

the performance of their duties . The detailed provisions
will be set out in a separate Exchange of Letters .

Article 18

Territorial application

This Agreement shall apply, on the one hand, to the
territories to which the Treaty establishing the European
Community applies and under the conditions laid down
in the Treaty and, on the other, to the territory of
Cambodia .

Article 19

Non-execution of the Agreement

If either Party considers that the other Party has failed
to fulfil an obligation under this Agreement, it may take
appropriate measures . Before so doing, except in cases of
special urgency, it shall supply the Joint Committee with
all relevant information required for a thorough exam ­
ination of the situation with a view to seeking a solution
acceptable to the Parties .

In the selection of measures, priority must be given to
those which least disturb the functioning of this
Agreement . These measures shall be notified immediately
to the Joint Committee and shall be the subject of
consultations within the Joint Committee if the other
Party so requests .

Article 20

Article 16

Annexes

Other agreements

The Annexes to this Agreement shall form an integral
Without prejudice to the relevant provisions of the part thereof .
Treaties establishing the European Communities, neither
this Agreement nor any action taken thereunder shall in
any way affect the powers of the Member States of the
European Union to undertake bilateral activities with Article 21
Cambodia in the framework of economic cooperation or
to conclude, where appropriate, new economic co ­ Entry into force and renewal
operation agreements with Cambodia .

Article 21

Entry into force and renewal

Article 17

Facilities

To facilitate cooperation under this Agreement, the
Cambodian authorities will grant to Community officials
and experts the guarantees and facilities necessary for

1 . This Agreement shall enter into force on the first
day of the month following the date on which the
Parties notify each other of the completion of the
procedures necessary for this purpose .

2 . This Agreement is concluded for a period of five
years . It shall be renewed automatically from year to
year unless one of the Parties denounces it six months
before its expiry date .

No C 107 / 14 ΓΕΝΙ Official Journal of the European Communities 5 . 4 . 97

Article 22 Done in Brussels, on the seventh day of November in the
Authentic texts year one thousand nine hundred and ninety-six .

This Agreement is drawn up in duplicate in the Danish,
Dutch, English, Finnish, French, German, Greek, Italian,
Portuguese, Spanish, Swedish and Khmer languages,
each text being equally authentic .

ANNEX I

The Council of the European Union

The Royal Government of Cambodia

The Commission of the European Communities

Declaration on Article 19 — Non-execution of the Agreement

( a ) The Parties agree, for the purposes of the interpretation and practical application of this Agreement,

that the term ' cases of special urgency ' in Article 19 of the Agreement means a case of the material
breach of the Agreement by one of the Parties . A material breach of the Agreement consists in :

— repudiation of the Agreement not sanctioned by the general rules of international law,

— violation of essential elements of the Agreement set out in Article 1 .

( b ) The Parties agree that the ' appropriate measures ' referred to in Article 19 are measures taken in

accordance with international law . If a Party takes a measure in a case of special urgency as provided
for pursuant to Article 19, the other Party may avail itself of the procedure relating to settlement of
disputes .

ANNEX II

Joint Declaration on intellectual, industrial and commercial property

The Parties agree for the purposes of this Agreement that ' intellectual, industrial and commercial property '
includes in particular protection of copyright and related rights, patents, industrial designs, software,
brands and trade marks, topographies of integrated circuits, geographical indications, as well as protection
against unfair competition and the protection of undisclosed information .

5 . 4 . 97 EN Official Journal of the European Communities No C 107 / 15

Joint Declaration on the readmission of citizens

The European Community recalls the importance that its Member States attach to the establishment of
effective cooperation with third countries in order to facilitate the readmission by the latter of its nationals
unlawfully residing on the territory of a Member State .

The Kingdom of Cambodia undertakes to finalize readmission agreements with those Member States of
the European Union which request it .

Draft Exchange of Letters on maritime transport

Sir,

I have the honour to confirm the following :

' With regard to the barriers to trade which may arise for the European Community and its Member States
or the Kingdom of Cambodia as a result of the operation of shipping, it has been agreed that mutually
satisfactory solutions should be sought with due regard for the principle of free and fair competition on a
commercial and non-discriminatory basis .'

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