CELEX: 52004PC0796
Language: en
Date: 2004-12-09
Title: Proposal for a Council Decision on the position to be adopted by the European Community and its Member States within the Association Council established by the Euro-Mediterranean Agreement establishing an association between the European Communities and their Member States, of the one part, and the Hashemite Kingdom of Jordan, of the other part, with regard to the adoption of a Recommendation on the implementation of the EU-Jordan Action Plan

COMMISSION OF THE EUROPEAN COMMUNITIES
                                                     Brussels, 9.12.2004
                                                     COM(2004) 796 final
                                        Proposal for a
                                    COUNCIL DECISION
     on the position to be adopted by the European Community and its Member States
     within the Association Council established by the Euro-Mediterranean Agreement
     establishing an association between the European Communities and their Member
   States, of the one part, and the Hashemite Kingdom of Jordan, of the other part, with
   regard to the adoption of a Recommendation on the implementation of the EU-Jordan
                                         Action Plan
EN                                                                                       EN
 ---pagebreak---                              EXPLANATORY MEMORANDUM
The 2002 Copenhagen European Council, closing accession negotiations with ten new States,
recognised that enlargement presented an important opportunity to take forward relations with
neighbouring countries based on shared values, and stated that the Union remained
determined to avoid new dividing lines in Europe and to promote stability and prosperity
within and beyond the new borders of the Union.
The Commission Communication “Wider Europe - Neighbourhood: A New Framework for
Relations with our Eastern and Southern Neighbours” of March 20031 proposed the
establishment of Action Plans with partner countries. On 16 June 2003, the Council welcomed
this Communication and invited the Commission, with the contribution, where appropriate, of
the High Representative, to present proposals for Action Plans for all countries concerned as
appropriate, commencing with Ukraine, Moldova, and Southern Mediterranean partners with
Association Agreements.
On 14 June 2004, the Council welcomed the Commission Communication “European
Neighbourhood Policy – Strategy Paper”2. The Council also welcomed the Commission
proposal to pursue the European Neighbourhood Policy (ENP) through Action Plans to be
agreed jointly with the neighbouring countries concerned and invited the Commission to
propose such Action Plans. Action Plans should have a minimum duration of three years and
be subject to renewal by mutual consent. They should be based on common principles but be
differentiated, as appropriate, taking into account the specificities of each neighbour, its
national reform processes and its relations with the EU. Action Plans should be
comprehensive but at the same time identify clearly a limited number of key priorities and
offer real incentives for reform. Action Plans should also contribute, where possible, to
regional cooperation. The Council also defined how to advance and monitor implementation
of action plans.
The Commission, in close cooperation with the Presidency and the High Representative on
issues related to political cooperation and the CFSP, has held exploratory talks with Jordan
which have resulted in agreement on a draft Action Plan. It covers a timeframe of three to five
years. Its implementation will help fulfil the provisions in the Association Agreement and will
contribute to an increasingly close relationship with Jordan, involving a significant degree of
economic integration and a deepening of political co-operation. Implementation of the Action
Plan will significantly advance the approximation of Jordan’s legislation, norms and standards
to those of the European Union.
The Action Plan is a broad tool for economic and political co-operation, carrying to a further
stage the commitments and objectives contained in the Euro-Mediterranean Agreement.
In accordance with the Council Conclusions of 14 June 2004, stipulating that the Action Plans
will be approved by the Council and subsequently endorsed by the respective Association or
Co-operation Councils, the Commission attaches the text of a proposal for a Council Decision
on the position to be taken by the European Community and its Member States within the EU-
Jordan Association Council with regard to the adoption of a Recommendation on the
implementation of the Action Plan in annex.
1
        COM(2003)104
2
        COM(2004)373
                                                 2
 ---pagebreak--- The Commission therefore requests the Council to adopt the attached proposal for a Council
Decision.
                                          3
 ---pagebreak---                                           Proposal for a
                                    COUNCIL DECISION
    on the position to be adopted by the European Community and its Member States
    within the Association Council established by the Euro-Mediterranean Agreement
    establishing an association between the European Communities and their Member
  States, of the one part, and the Hashemite Kingdom of Jordan, of the other part, with
  regard to the adoption of a Recommendation on the implementation of the EU-Jordan
                                           Action Plan
THE COUNCIL OF THE EUROPEAN UNION,
Having regard to Article 2 (1) of the Council and Commission Decision 2002/357/EC, ECSC
of 26 March 2002 on the conclusion of a Euro-Mediterranean Agreement between the
European Communities and their Member States, of the one part, and the Hashemite Kingdom
of Jordan, of the other part;
Having regard to the Treaty on European Union, in particular Article 15 thereof;
Having regard to the proposal from the Commission;3
Whereas:
(1)     The Euro-Mediterranean Agreement establishing an association between the European
        Communities and their Member States, of the one part, and the Hashemite Kingdom of
        Jordan, of the other part, was signed on 24 November 1997 and entered into force on 1
        May 2002;
(2)     The Parties intend to agree on an EU-Jordan Action Plan, which will support the
        implementation of the Euro-Mediterranean Agreement through the elaboration and
        agreement of concrete steps towards attainment of its objectives.
HAS DECIDED AS FOLLOWS:
                                           Sole Article
The position to be adopted by the European Community and its Member States within the
Association Council established by the Euro-Mediterranean Agreement establishing an
association between the European Communities and their Member States, of the one part, and
the Hashemite Kingdom of Jordan, of the other part, with regard to the implementation of the
EU-Jordan Action Plan shall be based on the draft Recommendation of the Association
Council annexed to this Decision.
3
        OJ C […] […], p. […9
                                                4
 ---pagebreak--- Done at Brussels,
                  For the Council
                  The President
                    5
 ---pagebreak---                                              ANNEX
                                               draft
                                     RECOMMENDATION
                    on the implementation of the EU-Jordan Action Plan
The EU/Jordan Association Council,
Having regard to the Euro-Mediterranean Agreement establishing an association between the
European Communities and their Member States, of the one part, and the Hashemite Kingdom
of Jordan, of the other part, and in particular Article 91 thereof,
Whereas:
(1)    Article 91 of the Euro-Mediterranean Agreement gives the Association Council the
       power to make appropriate recommendations, for the purposes of attaining the
       objectives of the Agreement.
(2)    In terms of Article 101 of the Euro-Mediterranean Agreement, the Parties shall take
       any general or specific measures required to fulfil their obligations under the
       Agreement and shall see to it that the objectives set out in the Agreement are attained.
(3)    The Parties to the Euro-Mediterranean Agreement have agreed on the text of the EU-
       Jordan Action Plan.
(4)    The EU-Jordan Action Plan will support the implementation of the Euro-
       Mediterranean Agreement through the elaboration and agreement between the Parties
       of concrete steps which will provide practical guidance for such implementation.
(5)    The Action Plan serves the dual purpose of setting out concrete steps in bringing the
       fulfilment of the Parties’ obligations set out in the Euro-Mediterranean Agreement,
       and of providing a broader framework for further strengthening EU-Jordan relations to
       involve a significant measure of economic integration and a deepening of political
       cooperation, in accordance with the overall objectives of the Euro-Mediterranean
       Agreement.
HAS ADOPTED THE FOLLOWING RECOMMENDATION:
                                            Sole Article
The Association Council recommends that the Parties implement the EU-Jordan Action Plan
in annex, insofar as such implementation is directed towards attainment of the objectives of
the Euro-Mediterranean Agreement.
Done at [...]
For the Association Council
The President
                                                 6
 ---pagebreak---                                               ANNEX
                                 EU/JORDAN ACTION PLAN
1. Introduction
The enlargement of the European Union on 1 May 2004 has brought a historical shift for the
Union in political, geographic and economic terms. The EU and Jordan are now closer
together than ever before and, as near neighbours, will reinforce their political and economic
interdependence. Enlargement offers the opportunity for the EU and Jordan to develop an
increasingly close relationship, going beyond co-operation, to involve a significant measure of
economic integration and deepening of political co-operation. The European Union and
Jordan are determined to make use of this occasion to enhance their relations and to promote
stability, security and well-being. The approach is founded on partnership, joint ownership
and differentiation. It will contribute to the further development of our strategic partnership.
The European Neighbourhood Policy of the European Union sets ambitious objectives based
on commitments to shared values and effective implementation of political, economic, social
and institutional reforms.
Jordan is invited to enter into intensified political, security, economic and cultural relations,
and shared responsibility in conflict prevention and conflict resolution.
The level of ambition of the EU-Jordan relationship will depend on the degree of commitment
to common values as well as the capacity to implement jointly agreed priorities. The pace of
progress of the relationship will acknowledge fully the efforts and concrete achievements in
meeting those commitments.
The European Neighbourhood Policy is part of the European Union’s response to the
Government of Jordan’s political reform agenda as set out in the “National Plan for Political
Development”. This National Plan has been developed to progress with political reform
designed to consolidate democracy, accountability, transparency and justice in Jordan, and to
build a model for a modern, knowledge-based Islamic and Arab country. The European
Neighbourhood Policy also responds to the Government of Jordan’s National Social and
Economic Action Plan (2004-2006), which aims to develop a sustainable socio-economic
reform process.
This Action Plan is a first step in this process. It covers a timeframe of three to five years. Its
implementation will help fulfil the provisions in the Association Agreement (AA) and will
encourage and support Jordan’s national reform objectives and further integration into
European economic and social structures. Implementation of the Action Plan will
significantly advance the approximation of Jordanian legislation, norms and standards to
those of the European Union. It will also build solid foundations for further economic
integration based on the adoption and implementation of economic and trade-related rules and
regulations with the potential to enhance trade, investment and growth. It will furthermore
help to devise and implement policies and measures to promote economic growth,
employment and social cohesion, to reduce poverty and to protect the environment, thereby
contributing to the long-term objective of sustainable development.
Jordan and the EU will cooperate closely in implementing this Action Plan.
For the near future the AA remains a valid basis for EU-Jordan co-operation.
                                                  7
 ---pagebreak--- New Partnership Perspectives
The European Neighbourhood Policy opens New Partnership Perspectives:
• The perspective of moving beyond cooperation to a significant degree of economic
   integration, including through a stake in the EU’s Internal Market, and the possibility for
   Jordan to participate progressively in key aspects of EU policies and programmes.
• An upgrade in the scope and intensity of political cooperation.
• The opportunity for convergence of economic legislation, the opening of economies to
   each other, and the continued reduction of trade barriers which will stimulate investment
   and growth;
• Increased financial support: EU financial assistance for Jordan will be better targeted to
   support the actions identified in the present document, mainly to support the political
   reform and economic modernisation agenda of the Jordanian Government. The
   Commission is furthermore proposing a new European Neighbourhood and Partnership
   Instrument (ENPI) for this purpose, also covering the very important aspect of
   transnational cooperation. There will also be infrastructure investment support through the
   European Investment Bank;
• Possibilities of gradual opening of or reinforced co-operation in relevant Community
   programmes, promoting i.a. cultural, educational, environmental, technical and scientific
   links;
• Support including technical assistance and twinning to meet EU norms and standards and
   targeted support and advise for legislative approximation through mechanisms such as
   TAIEX;
• Deepening trade and economic relations, extending them progressively to cover agriculture
   and the service sector, and to provide the conditions for increasing investment and exports;
• Enhanced direct cooperation between administrations based on the bodies set up by the
   Association Agreement in particular institutionalised thematic sub-committees.
In light of the fulfilment of the objectives of this Action Plan and of the overall evolution of
EU–Jordan relations, consideration will be given to the possibility of a new contractual
relationship. The Commission has suggested that this could take the form of a European
Neighbourhood Agreement. The advisability of any new contractual arrangements will be
considered in due time.
Priorities for Action
This Action Plan sets out a comprehensive set of priorities in areas within the scope of the
Association Agreement. Among these priorities, all of which are important, particular
attention should be given to:
• Take forward a national dialogue on democracy and political life within the framework of
   the national political development plan.
                                                 8
 ---pagebreak--- • Continue to develop an independent and impartial judiciary. Further reinforcing of the
    administrative and judiciary capacity.
• Take steps to develop further the freedom of the media and freedom of expression
• Further promote equal treatment of women, by preparing a plan to increase women’s
    participation in political and economic life.
• Strengthen political dialogue and co-operation on issues of international and regional
    interest including the Middle East Peace Process and the fight against terrorism.
• Take measures to improve business conditions to enhance growth and increase investment
    in Jordan.
• Enhance Jordan’s export potential by: further liberalisation of trade, in goods and
    agriculture, simplifying and upgrading customs legislation and procedures, improving
    industrial standards and modernisation of the sanitary and phytosanitary systems.
• Take steps to prepare for a progressive liberalisation of trade in services.
• Effective management of migratory flows and facilitation of movement of persons in
    conformity with the acquis, in particular examine the scope for visa facilitation for short
    stay for some categories of persons to be defined jointly.
• Implement the Jordanian Sustainable Development Strategy, and implement the
    government’s strategy to reduce poverty
• Develop the transport, energy and information society sectors and networks through sector
    liberalisation, investment in infrastructures and interconnection with EU networks.
• Strengthen co-operation on science and technology
Progress in meeting these priorities will be jointly monitored in sub-committees established
by the Association Agreement. On this basis, the EU, together with Jordan, will review the
content of the Action Plan and decide on its adaptation and renewal. After three years,
decisions by Jordan and the EU may be taken on the next step in the development of bilateral
relations, including the possibility of new contractual links. This could take the form of a
European Neighbourhood Agreement whose scope will be defined in the light of progress in
meeting the priorities set out in the Action Plan.
2. Actions
2.1. Enhanced Political dialogue and reform
Democracy and rule of law
(1)      Promote the stability and effectiveness of institutions strengthening democracy and the
         rule of law including good governance and transparency
          – Establish a political dialogue between the European Parliament and the Jordanian
              Parliament.
                                                  9
 ---pagebreak---        – Support ongoing efforts to improve good governance and transparency (Jordan
          First Program and new reform agenda of the Government) in line with UN
          Conventions to which Jordan is party.
Medium Term
       – Promote national dialogue on democracy, political life and relevant issues
       – Reform of the political parties law and the elections law.
       – Implement Government plans for preparing a comprehensive national programme
          for public sector reform.
(2)  Further enhancement of the independence and impartiality of the judiciary, upgrade
     its quality and strengthen its administrative capacity
       – Implement the Judicial Upgrading Strategy 2004-2006, simplify judicial
          procedures and improve the speed and efficiency of decisions.
       – Strengthen the capacity and efficiency of the justice administration, including
          adequate training of judges.
Human rights and fundamental freedoms
(3)  Support the freedom of the media and strengthening freedom of expression
       – Intensify on-going efforts to promote freedom of expression and independence of
          the media
       – Strengthen the Higher Media Council
       – Develop training programs and institutions for media professionals
       – Promote role of the private sector in the media
(4)  Promote Freedom of association and Development of Civil Society
       – Implement the government’s plans for development of civil society
Medium Term
       – Reform legislation on associations.
(5)  Ensure respect of human rights and fundamental freedoms in line with Jordan’s
     international commitments
       – Effective implementation of core UN Conventions to which Jordan is party.
       – Strengthen the capacity and effectiveness of the National Commission for Human
          Rights
       – Establish a dialogue for co-operation on Human Rights and Democratisation in
          the framework of the Association Committee
                                             10
 ---pagebreak---        – Enhance protection of children’s rights and eliminate child labour.
       – Ensure effective application of existing legislation against ill treatment.
(6)   Promote Equal Treatment of women
       – Incorporate into national legislation international Conventions to which Jordan is
          party concerning women’s rights, including implementation of measures
          strengthening punishment of crimes.
       – Exchange information and develop reliable statistics on these matters.
Medium Term
       – Increase the participation of women in economic and political life by developing
          and implementing a plan to increase the proportion of women in the labour force
          and in the political decision making process.
(7)   Promotion of fundamental social rights and core labour standards
       – Develop a dialogue on the fundamental social rights and labour rules to identify
          potential measures in this field.
Medium Term
       – Implement the relevant International Labour Conventions to which Jordan is
          party.
       – Ensure adherence and effective implementation of relevant Jordan’s commitments
          to the core labour standards contained in the 1998 ILO Declaration on
          Fundamental Principles and Rights at Work and related core ILO Conventions.
Co-operation on foreign and security policy
(8)   Strengthen the Political dialogue and co-operation on foreign and security policy
       – Develop an enhanced political dialogue and regular exchange of information on
          Common Foreign Security and Defence Policy (CFSP) and European Security and
          Defence Policy (ESDP).
       – Work with the EU to make multilateral institutions and conventions more
          effective, so as to reinforce global governance, strengthen coordination in
          combating security threats and address related development issues.
Regional and international issues, conflict prevention and crisis management.
(9)   Strengthen dialogue and co-operation on regional and international issues, conflict
      prevention and crisis management and addressing common security threats
       – Establish contact points and carry out exchanges of information on ESDP matters
          with the Secretariat of the Council and the Commission.
       – Further develop co-operation with Jordan in the context of the Middle East Peace
          Process, Iraq and other regional initiatives.
                                             11
 ---pagebreak---       – Actively promote the conclusion of the Euro-Mediterranean Peace and Stability
         Charter
      – Contribute to UN efforts to resolve regional conflicts and promote effective
         multilateralism.
Medium Term
      – Explore the possibility of participation in training activities on conflict prevention,
         crisis and natural disaster management as well as in civil and military peace–
         keeping exercises and operations in co-operation with the EU.
(10) Further develop co-operation in addressing common security threats, including non-
     proliferation of weapons of mass destruction and illegal arms exports
      – Cooperate on non-proliferation of weapons o mass destruction, their means of
         delivery and ballistic missiles, including through implementing UNSC resolution
         1540/04, ensuring full compliance with and national implementation of existing
         international obligations and promoting the accession to and implementation of
         other relevant international instruments and export control regimes.
      – Further develop co-operation in the prevention of and fight against the illicit
         trafficking of materials that are used in the manufacture of WMD.
      – Co-operate on developing effective systems of national export control, controlling
         export and transit of WMD related goods, including WMD end-use control on
         dual use of goods and technologies, and effective sanctions for breaches of export
         controls.
      – Apply the risk – based customs control ensuring safety and security of goods
         imported, exported or in transit, and explore possible definitions of standards for
         certification of operator (exporters and transporters) intervening in commercial
         exchanges.
      – Improve overall co-ordination in the non-proliferation area and examine specific
         threats related to WMD which undermine regional security and the scope of co-
         operation in addressing them.
      – Promote the relevant provisions on the political and security partnership of the
         Barcelona Declaration with the objective to pursue a mutually and effectively
         veritable Middle East zone free of weapons of mass destruction.
(11) Combating terrorism
      – Strengthen EU-Jordan co-operation on the fight against and prevention of
         terrorism
      – Co-operate to reinforce the role of the UN in the multilateral fight against
         terrorism, including through full implementation of UNSC Resolutions 1373/01
         and 1267/99, and implementation and enforcement of the UN Convention for the
         Suppression of the Financing of Terrorism;
      – Ensure respect of human rights in the fight against terrorism.
                                             12
 ---pagebreak--- 2.2. Economic and Social Reform and development
Monetary, exchange rate and fiscal policies
(12)   Consolidate progress in macro-economic stabilisation and growth policies.
         – Pursue the implementation of a national macroeconomic stabilisation programme,
            taking into account the regional situation, with the aim to consolidate the
            achievements in the areas of price stability, lowering public debt and fiscal
            stability.
         – Continue improving public finance management and transparency; continue the
            policies for achieving a sustainable fiscal and pension system.
         – Increase efficiency of the public sector in line with the Government programme of
            reform.
Functioning of Market Economy
(13)   Continue progress in the establishment of fully functioning market economy through
       structural reforms.
         – Continue progress with the privatisation program.
         – Strengthening banking regulation and supervision.
         – Review structural economic reforms and monitor EU-Jordan co-operation within
            the framework of the economic dialogue of the Association Agreement.
(14)   Promote investment in Jordan
         – Develop a strategy to promote domestic investment and attract foreign investment
            to Jordan, including regulatory simplification, administrative facilitation, training
            of operators, and extension of commercial representations within the EU.
         – Develop a business-to-business dialogue and contacts between investment
            promotion agencies to identify investment opportunities and obstacles.
Social situation employment and poverty reduction
(15)   Enhance Social Development and co-operation
         – Implement the strategy of social development and poverty reduction in
            accordance with the socio-economic transformation plan
         – Develop and implement market driven strategies for addressing the problem of
            unemployment.
         – Engage in a dialogue on employment and social issues with a view to identify
            potential measures in this field.
                                               13
 ---pagebreak--- Regional Development
(16)   Strengthening socio-economic cohesion of Jordan regions
        – Strengthen the regional development management structures. Implement the
           decentralisation of programme of services delivery and management at
           governorates level.
        – Support the reduction of regional disparities in social and economic development,
           in particular in rural areas in accordance with the Jordanian programme of rural
           and regional development.
Sustainable Development
(17)   Promotion of sustainable development
        – Carry out a gap analysis of the existing Jordanian Sustainable Development
           Strategy ( Agenda 21)
        – Prioritise actions contained in the strategy already as well as those resulting from
           the gap analysis
Medium-term:
        – Implement priority actions of the Strategy as defined within the short term.
2.3. Trade related issues, market and regulatory reform
2.3.1. Movement of goods
Trade Relations
(18)   Liberalisation of trade in goods.
        – Develop a joint monitoring system of the tariff-dismantling schedule for industrial
           goods.
        – Elimination of non tariff barriers.
        – Examine the possibility for further liberalisation of trade in agricultural products.
           Identify areas with export potential to the EU.
        – Staff training and capacity building in the Ministry of Trade and Industry on
           international trade relations.
        – Work towards the conclusion of free trade agreements with other countries in the
           region.
(19)   Enhancing Jordan’s Export Potential
        – Develop and implement a national strategy for exports promotion including
           training of operators and developing business to business marketing networks.
                                              14
 ---pagebreak--- Medium Term:
       – With a view to increasing transparency for economic operators elaborate rules of
          procedure for dispute settlement for the existing Association Agreement.
Customs
(20)  Improve functioning of customs service and simplification and modernisation of
      customs procedures
       – Further harmonisation and simplification of customs legislation, code and
          procedures in accordance with Palermo recommendations.
       – Strengthen co-operation with other agencies working at the border.
       – Conclude and implement the new protocol on Pan Euro-mediterranean origin
          cumulation.
       – Strengthen administrative co-operation to combat irregularities and fraud in
          customs and related matters.
       – Develop EU-Jordan co-operation with regard to risk based customs control
          ensuring safety and security of goods imported, exported or in transit, and define
          standards for certification of operators (exporters and transporters) intervening in
          commercial exchanges.
Medium-term:
       – Further convergence of customs related legislation
       – Strengthen customs laboratory expertise
       – Adopt and implement a Customs Ethics Policy
Technical regulations, standards and conformity assessment procedures (EU
harmonised areas)
(21)  Facilitate market access of industrial products.
       – Implement the Palermo Action Plan for the Free Movement of Industrial Products
          approved by the July 2003 Euro-Mediterranean Conference of Trade Ministers.
       – Establish a list of priority sectors for Jordan to participate in the internal market.
       – Adapt the Jordanian institutions in charge of implementing product legislation and
          train the various stakeholders.
       – Raise the awareness of economic operators.
Medium Term
       – Harmonise and implement the relevant legislative framework with the acquis
          communautaire, including the legislation on liability for defective products and
                                               15
 ---pagebreak---            general product safety; harmonise national standards with European and
           international standards for industrial products.
         – Strengthen the institutions in charge of standardisation, accreditation, conformity
           assessment, metrology and market surveillance; integrate them to the extent
           possible within European and international structures.
         – Simplify procedures to avoid multiple testing requirements.
         – Negotiate an Agreement on Conformity Assessment and Acceptance of Industrial
           Products.
Restrictions and streamlined administration (EU non-harmonised areas)
(22)   Facilitate the movement of goods and improve administrative co-operation.
         – Ensure that interested Jordanian private sector associations, representing the
           majority of private sector operating in Jordan in accordance with national laws
           and regulations, are given an opportunity to comment on new draft legislation.
         – Ensure that interested parties are given an opportunity to identify problems related
           to movement of goods.
Medium Term
         – Analyse legislation and administrative procedures with a view to identifying and
           progressively removing discrimination against imported products.
         – Ensure that there is a central administrative unit responsible for implementation of
           movement of goods. This could also be a contact point to improve information
           flows and co-operation between the EU and Jordan and provide information to
           operators.
Sanitary and phytosanitary issues
(23)   Increase food safety for Jordanian and European consumers. Reforms and
       modernisation of the sanitary and phytosanitary sectors
         – Continue work towards full implementation of the WTO agreement on the
           application of the Sanitary and Phytosanitary measures and active participation in
           relevant international bodies (OIE, IPPC, Codex Alimentarius).
         – Draw up a list of measures for gradual legislative approximation towards the
           principles of the EU legislation: sanitary and phytosanitary, food and animal
           traceability and hygiene. First step towards the setting up of an animal
           identification and traceability system.
         – Develop a food policy and an action plan
         – Strengthen regulation to prevent the placing on the market of unauthorized
           substances, including plant protection products and ensure the monitoring of
           residues of these substances in live animals, animal products and plant products
           for food and feed.
                                               16
 ---pagebreak---          – Explore the possible reorganisation of the Jordan food safety control system under
            a unique Food Safety authority and the development of an official risk assessment
            and management structures and inspection services. Strengthening of the general
            sanitary and phytosanitary controls. Work towards the interconnection of the
            national rapid verification/action system for dangerous goods with the Rapid Alert
            System for Food and Feed.
         – Take steps to increase participation of stakeholders in the Jordan food policy
            formulation and enforcement.
Medium Term
         – Increase convergence with EU food safety principles and general foodstuff
            labelling requirements; examine potential for progressive abolition of pre-market
            approval systems for food products.
2.3.2. Right of establishment, Company law and services.
Establishment and company law
(24)    Remove obstacles to the establishment and operation of companies.
a) Operation of Companies
         – Establish a suitable environment for companies.
         – Co-operate to facilitate foreign investment
b) Establishment
         – Co-operate to facilitate the establishment of companies.
         – Without prejudice of annex VI of the agreement ensure reciprocal national
            treatment for EU and Jordanian subsidiaries, companies or branches.
c) Company law:
         – Work towards convergence with key principles of international and EU rules and
            standards including the establishment of a public register of undertakings, a
            national gazette for the publication of companies data and ensure control of the
            incorporation of a company or the compatibility of certain acts in accordance with
            national laws and regulations.
         – Efficient implementation of a code on corporate governance
Medium Term:
         – Establish a high-quality audit profession.
                                                17
 ---pagebreak--- Services
(25)   Gradual abolition of restrictions on supply of services
         – Establish the Euromed framework protocol to enable the possibility of open
           bilateral negotiations.
         – Develop a strategy to enhance the competitiveness of the Jordanian services sector
           including regulatory simplification and administrative facilitation for both
           Jordanian and EU sectors.
         – Support Jordan to prepare for future liberalisation of trade in services in selected
           sectors in accordance with Government Policies. Jordan to proceed with
           consultations with its private economic operators to identify sectors for potential
           co-operation.
         – Explore possibilities of facilitating the supply of services including by the
           development of the necessary administrative structures and the removal of
           identified barriers.
(26)   Development of financial services.
         – Enhancement of a prudential regulatory framework for financial services.
         – Set up and train independent authorities to ensure effective supervision
2.3.3 Movement of capital and current payments
(27)   Further development of capital markets. Liberalisation of Payments, Capital
       Movements
         – Review current legislation to assess the need for further liberalisation of
           movement of capitals and to guarantee the free transaction movement of capitals
           relating in particular to direct investment and the protection of foreign investment.
Medium term:
         – Complete liberalisation of capital movements
2.3.4 Movement of persons including workers and social security co-ordination
(28)   Facilitate the movement and integration of workers.
         – Equality of treatment of Jordanian and Community workers nationals who are
           legally residing and working in the territory of the Community or Jordan,
           elimination of discrimination.
         – Coordination of social security schemes.
                                                18
 ---pagebreak--- 2.3.5. Regional co-operation
(29)    Support the development of policies promoting regional integration.
          – Develop south-south trade and regional co-operation initiatives including support
             for the implementation of the Agadir agreement, and promote trade and
             investment among the regional partners.
          – Continue work carried out in the development of other regional trade promotion
             initiatives including the work carried out by the trilateral working group on the
             Qualified Industrial Zones.
          – Promote the development of regional projects in the environment, energy,
             telecommunications and transport.
2.3.6. Other key areas
Taxation
(30)    Further Development of the tax system and its institutions
          – Further reform of the tax system and work to increase its compatibility with WTO
             norms.
          – Strengthening of the Tax Administration. Develop a comprehensive Strategy for
             the Tax Administration
Medium Term
          – Complete the network of bilateral agreements between Jordan and EU Member
             States on avoidance of double taxation.
          – Gradual approximation of the national tax legislation with the principles/structure
             of the EU acquis. Depending on the level of Jordan’s access to the Internal
             Market, adoption of and compliance with the principles of the Code of Conduct
             for Business Taxation
Competition policy and State Aid
(31)    Develop the conditions to enable competition between the EU and Jordan companies
        and among Jordanian companies. Establish implementing rules on competition,
        including in particular a consultation mechanism.
          – Adopt an Association Council Decision on implementing rules on competition.
(32)    Development of the mechanisms to monitor state aid grants
          – Establish a binding, uniform definition of State aid which is compatible with that
             of the EU and a national mechanism for collecting information on state aid.
          – Exchange with the EU of an annual report on the total amount and distribution of
             state aid, as foreseen by Article 53 of the Association Agreement.
                                                 19
 ---pagebreak--- (33)    Develop legislation and an anti trust control regime compatible with that of the EU.
         – Strengthen the Competition Directorate of the Ministry of Industry and Trade and
            other concerned institutions.
         – Assess the effectiveness of the current legislative framework, and of its
            implementation.
         – Take further steps to increase public awareness of the competition rules and
            policy.
         – Ensure the right of appeal to an independent court against decisions on anti-trust
            in accordance with national laws and regulations.
(34)    Ensure non-discrimination on the part of state monopolies of a commercial character.
         – Exchange of information, insofar as this does not prejudice national security, on
            state monopolies and public enterprises which have been granted special rights.
For any sectors which should participate in the internal market, Jordan would have to put
into place a State aids control regime and legislation compatible with that of the EU
including:
Medium Term:
         – Prohibition of state aid which distort trade between the EU and Jordan.
         – A system of prohibition and ex-ante control of state aid.
         – A procedure between the EU and Jordan, to settle cases that distort competition.
Intellectual and industrial property
(35)    Enhance protection of industrial and intellectual property rights
         – Strengthen the Trade’s Industrial Property Protection Directorate in the Ministry
            of Trade and Industry.
         – Reduce circulation and trafficking of counterfeit/pirated goods in specifically
            targeted sectors.
Medium Term:
         – Accede to the main international agreements - including the conventions (and
            timeframe) provided for by the Association Agreement - and apply international
            standards. Explore the possibility of applying key elements from the EU acquis,
            which are not covered by relevant international standards
         – Establish a dialogue with organisations of rights holders and users of IP
         – Explore the possibility of enhanced interaction with other Euromed partners -
            further legal/administrative improvements and co-ordination, membership of
            additional relevant conventions etc.
                                               20
 ---pagebreak--- Statistics
(36)    Adoption of statistical methods compatible with European standards in relevant
        statistical areas and advance the institution building of the Jordanian Statistical
        System
          – Elaborate a short and middle term development strategy for harmonisation with
             European standards in the relevant statistical areas.
          – Ensure that legislation on official statistics is based on the fundamental UN
             principles.
          – First steps to develop economic and social statistics in conformity with EU
             standards.
          – Continue the work on sustainable development indicators.
Public procurement
(37)    Develop conditions for open and competitive award of contracts.
          – Improve the functioning of the current system through increased transparency,
             information and training.
          – Improve information and awareness among contracting authorities and the
             business community about public procurement procedures.
          – Strengthen the Jordanian Public Procurement and Supplies Departments of the
             Ministry of Public Works and the Ministry of Finance.
          – Build capacity for e-procurement.
Medium Term:
          – Harmonise procurement related regulations.
          – Convergence with and implementation of key acquis principles e.g. transparency,
             non-discrimination, competition and access to legal recourse.
          – Explore opportunities for increased opening of the public procurement markets
             within the Euromed region.
Enterprise policy
(38)    Improve the conditions for enterprise development
          – Modernise and improve the competitiveness of Jordanian industry including
             through the development of a Jordanian strategy for Industrial modernisation and
             competitiveness.
          – Improve business conditions including through the adoption and implementation
             of the Euro-Mediterranean Charter for Enterprise.
                                              21
 ---pagebreak---         – Work towards implementation of the October 2003 strategy of the Euro-
           Mediterranean Working Party on Industrial Co-operation.
        – Create a dialogue between business, administrations and academic institutions for
           the identification of priority actions for business improvement and the exchange
           of best practice.
Medium Term
        – Reinforce the role of enterprises and their representative organisations in the
           preparation of legislative and regulatory measures.
Public Internal Financial Control and related issues
(39)   Develop the conditions for good financial management, accountability and control
        – Take first steps to develop independent internal audit systems for national budget
           in line with EU and international norms and standards.
        – Strengthen and build the capacity of the Jordanian Audit Bureau in line with EU
           and international norms and standards.
        – Start work to develop administrative capacity to prevent irregularities affecting
           national and international funds.
        – Ensure effective co-operation with the relevant EU Institutions
2.4. Co-operation in Justice and Home Affairs
Migration issues (legal and illegal migration, readmission, visa, asylum)
(40)   Management of migratory flows and prevention of illegal migration
        – Dialogue on asylum issues.
        – Exchange of information on migration issues (entry and stay, integration) and
           illegal migration
        – Discussion on the possibility of co-operation on transit migration.
(41)   Start and develop dialogue in visa issues
        – Develop visa co-operation, including the possible adaptation of visa systems, the
           visa and travel documents issuing procedure including their security
        – In order to facilitate the circulation of persons, examine within the context of
           existing structures, de possibilities of facilitation visa issuing (simplified and
           accelerated procedures in conformity with the acquis)
                                               22
 ---pagebreak--- Border management
(42)   Development of an efficient border management
        – Exchange of information and practices on EU standards concerning border
           management
        – Develop regional co-operation between relevant law enforcement bodies
Fight against organised crime
(43)   Ratification and implementation of international instruments
        – Ratification and implementation of the United Nation Convention against
           Transnational Organised Crime. Signature and ratification of the Protocols on
           smuggling migrants, trafficking in persons and illicit manufacturing and
           trafficking of firearms.
        – Develop legislation following relevant international standards and international
           conventions.
        – Exchange information on the methods to fight against trafficking of persons, and
           smuggling of illegal migrants, including the position of victims
        – Exchange of information on the fight against Cybercrime
        – Develop effective law enforcement agencies for the fight against organised crime.
Drugs
(44)   Reinforce the fight against drugs
        – Exchange information on the implementation of the 1988 UN Convention on
           Illicit Traffic of Narcotic and Psychotropic Substances, including on reinforcing
           and/or harmonising national legislation
        – Exchange information on international co-operation in the fight against drugs
        – Start dialogue on regional co-operation including on training of relevant
           authorities
        – Prevention of the diversion of precursors and other essential substances to the
           production of illicit narcotic drugs equivalent to those adopted by the Chemical
           Action Task Force ( CATF).
Money laundering, financial and economic crime
(45)   Develop co-operation in the fight against money laundering
        – Exchange information and dialogue on the basic requirements in accordance with
           relevant international standards and international conventions. Start developing
           the legislative framework based on these standards.
                                              23
 ---pagebreak---         – Co-operation between Jordanian Law enforcement agencies and international
           organisations as well as with corresponding services of EU Member states
        – Exchange of information and dialogue concerning the institutional framework to
           support the fight against money laundering, financial and economic crime. Police
           and judicial co-operation
(46)   Develop co-operation between Jordan and EU Member States judicial and law
       enforcement authorities
        – Implement relevant international conventions and, where already ratified, start
           developing national legislation for their implementation
        – Exchange of information between EU, EU Member states and Jordanian law
           enforcement agencies, including on matters related to the International Criminal
           Court.
        – Co-operation in the field of police training between Jordanian and European
           police academies and colleges, as well as with CEPOL
        – Explore the possibilities for co-operation between Jordan and EUROPOL
           (European Police Office).
(47)   Develop adequate correctional centres (prisons) conditions
        – Exchange of information between the EU and Jordan on correctional centres
           (prisons) including classification systems for prisoners, vocational training
           programmes and reintegration into society
        – Develop a national programme to implement improvements in correctional centre
           (prisons) conditions, including the enhancement of detention facilities having
           regard to the protection of fundamental human rights.
Combating terrorism
(48)   Strengthening cooperation to combat terrorism
        – Develop cooperation to strengthen the fight against the financing of terrorism in
           line with the standards laid down in the FATF recommendations on terrorism
           financing.
        – Develop cooperation between law enforcement agencies to combat terrorism.
        – Develop judicial cooperation in the context of combating terrorism.
2.5. Transport, energy, information society and environment
Transport
(49)   Implement the National Transport Policy
        – Further develop the National Transport Policy to include the development of all
           transport modes
                                              24
 ---pagebreak---        – Strengthen and if necessary establish the administrative structures to prepare
           specific plans for priority sectors.
       – Strengthen and if necessary develop the necessary independent regulatory
           authorities.
       – Develop an infrastructure policy in order to identify the priority infrastructure
           projects in various sectors as well as addressing financing issues.
Regional element:
       – Participate in the planning and identification of priority regional infrastructure
           projects and the interconnection of this network with the trans-European transport
           network.
       – Participate in the development of Global Navigation Satellite Systems in the
           Mediterranean region and in the new MEDA regional project on satellite
           navigation.
       – Adopt border crossing facilitation actions that aim to improve the functioning of
           the transport network in order to increase the fluidity of the transport flows
           between Jordan, regional partners and the EU.
Medium Term:
       – Participate in the development of Global Navigation Satellite Systems in the
           Mediterranean region.
       – Implementation of a license regime both for passenger and freight operations with
           a view to ensuring level playing field in particular in the freight sector .
       – Strengthening of bodies to enforce standards in the field of social legislation and
           technical requirements with international conventions and EU standards in the
           area of dangerous goods and driving times.
       – Undertake work towards further approximation of legislative and regulatory
           frameworks with European and International standards.
(50)  Implement selected measures and reforms in the aviation sector
       – Implementation of the existing national aviation policy and further reinforce
           administrative capacity (including a separation of regulatory and operational
           functions of the CAA).
       – Continue with the sector reform and gradual market liberalization. Address issues
           of private investments in airport infrastructures and the opening of the market for
           ground handling services.
       – Prepare for negotiations on a comprehensive aviation agreement with the EU.
           Revise bilateral aviation agreements concluded with Member States with a view
           to include the Community designation clause. Explore possibilities for
           involvement in the Single European Sky.
                                                25
 ---pagebreak---        – Co-operation on aviation security matters (common rules to combat international
           terrorism).
       – Improve the management, control and safety of air traffic.
Medium Term:
       – Develop industrial and research co-operation with the EU in the aviation sector.
(51)  Implement selected measures and reforms in the maritime sector
       – Implement the National Maritime Policy for the development of the sector.
       – Strengthen the institutional structures in maritime administration in terms of ship
           inspectors and associated support personnel.
       – Strengthen cooperation in the field of maritime security in order to fight terrorism
           within the framework of SOLAS/ISPS provisions.
       – Implement relevant international conventions.
       – Continue with the reform of the port sector (separation of operational and
           commercial functions).
Medium Term:
       – Introduce stringent maritime safety provisions with a view to exploring the
           possibilities of cooperating in EMSA activities. Continue to approximate the
           Jordanian maritime legislation to international and EU standards. Effectively
           enforce maritime safety standards and effective enforcement in the areas of Port
           State Control and Flag State implementation.
Regional element:
       – Take part in regional co-operation regarding maritime policy, ports and short sea
           shipping.
       – Develop co-operation with EU and Mediterranean partners in the framework of
           the International Maritime Organisation and promote the participation in the new
           regional project on maritime safety (SAFEMED).
Energy
(52)  Take steps to adopt an updated overall energy policy converging towards EU energy
      policy objectives.
       – Update and take steps to adopt, by the appropriate instance, the current energy
           policy document.
       – Gradual harmonisation of the Jordanian statistical and data registration systems in
           the energy sector with EU standards.
       – Modernise and develop the Nuclear Energy Commission.
                                             26
 ---pagebreak---         – Strengthen and develop the capacity of the Natural Resources Authority.
Medium term
        – Implementation of an updated overall energy policy converging towards EU
           energy policy objectives.
        – Further develop EU-Jordan energy policy dialogue and cooperation.
(53)   Gradual convergence towards the principles of the EU internal electricity and gas
       markets.
        – Establish a list of measures for gradual convergence towards the principles of the
           EU internal electricity and gas markets.
        – Cooperate, in the context of the Declaration of Intent of 2 December 2003 on the
           Euro-Mashrek cooperation in the field of natural gas.
        – Effective electricity price developments towards the elimination of distortions.
        – Develop the Electricity Regulatory Commission towards an energy sector
           regulator independent from market operators.
        – Further advance in restructuring/privatising the electricity sector.
Medium term
        – Implement measures for gradual convergence towards the principles of the EU
           internal electricity and gas markets, complete electricity sector reform and
           continue the Euro-Mashrek gas cooperation.
(54)   Progress on energy networks.
Short and medium term
        – Reduce electricity network losses.
        – Further development of regional energy infrastructures including the submarine
           electricity cable with Egypt, the electricity interconnection with Syria and the gas
           pipeline towards Syria.
        – Improve safety and security of energy infrastructure
        – Develop interconnections on oil, gas and electricity with the neighbouring
           countries
(55)   Progress on energy efficiency and the use of renewable energy sources.
        – Take steps to adopt an Action Plan for improving energy efficiency and enhancing
           the use of renewable energy.
        – Reinforce the institutions dealing with energy efficiency and renewable energy
           sources.
                                              27
 ---pagebreak--- Medium term
        – Pursue measures in energy efficiency and renewable energy sources.
        – Progress to reach Jordan's target to ensure that 5 % of the country's energy needs
           are covered by the year 2015 by renewable energy sources in the medium term.
Information Society
(56)  Progress in the development and use of Information Society applications
        – Elaborate a national policy on the development of the sector including regulatory,
           economic, technological and social aspects, including advanced services
        – Take steps to liberalise the market for fixed voice telephony.
        – Work towards developing a harmonized regulatory framework including
           licensing, access and interconnection, numbering, Universal Service and users
           rights, privacy protection and data security, cost-orientation of tariffs.
        – Implement Government’s plan for the promotion of the Information Society and
           implement the e-Transaction law as well as the current plans on e-Government, e-
           Commerce and e-Finance.
        – EU support, including training and cooperation in regional eStrategies.
        – Encourage broadband development in order to increase internet penetration.
Environment
(57)  Take steps to ensure that conditions for good environmental governance are set and
      start implementing them
        – Enhance administrative structures and procedures to ensure strategic and financial
           planning as well as implementation, including strengthening of the Ministry of
           Environment.
        – Review the National Environment Action Plan NEAP.
        – Complete the adoption of the Environment Protection Law; take steps to Adopt
           by-laws on environment
        – Implement priority actions of the National Environmental Education, Awareness
           and Communication Strategy.
Medium-term:
        – Prepare a state-of-the environment report by the end of 2006, drawing on from
           support and experience by UNEP and European Environment Agency, where
           appropriate;
                                              28
 ---pagebreak--- (58)   Take active action for prevention of deterioration of the environment, protection of
       human health, and achievement of rational use of natural resources, in line with the
       commitments of the Johannesburg summit
Medium term:
        – Seek incentives to promote environmentally sound production patterns within
           Jordanian industries.
        – Take steps towards adoption of specific programmes/plans on selected priority
           sectors
(59)   Enhance co-operation on environmental issues
        – Identify possibilities for enhanced regional co-operation, in particular in relation
           to water issues
        – Possible participation in selected European Environment Agency (EEA) activities
        – Work towards the implementation of the provisions under the Kyoto Protocol and
           the UN Framework Convention on Climate Change.
Medium term
        – Implement provisions under the Kyoto Protocol and the UN Framework
           Convention on Climate Change
Science and technology, research and development
(60)   Accelerate the integration of Jordan into the European Research Area and the
       Community Framework Programme
        – Complete negotiations and start implementation of the Science and Technology
           agreement.
        – Put into place and reinforce mutual information systems
        – Put into place the network of national contact points for the 6th Framework
           programme and connect the RDT-I operators
        – Organise the EU-Jordanian co-operation in RDT-I
        – Strengthen the Higher Council for Science and Technology and the Higher
           Committee for Scientific Research.
        – Develop a sound policy for Scientific Research and Development
        – To facilitate Jordan’s participation in the 6th Community R&D Framework
           Programmes and in other EU scientific activities.
                                             29
 ---pagebreak--- (61)   Develop the scientific and technological capacity with a focus on the use of RTD
       results by the industrial and SME sector
         – Reinforce the human resources, as well as the material and institutional means to
           improve the capacities of the RTD-I operators.
         – Organise a concerted interaction between the scientific actors and the end users
           (industry, SME), public-private
(62)   Promote the integration of Jordan into scientific high-level exchanges
         – Reinforce Jordan’s participation in the international Marie Curie scholarships;
           foresee appropriate mechanisms for return
         – Reinforce the exchange of personal in the joint projects and promote the
           participation of Jordanian scientists in international scientific debates
2.6. People-to-people contacts
Education, training and youth
(63)   Reform and upgrade the education and training systems and work; within the
       framework of the Jordanian national programme, towards convergence with EU
       standards and practice.
         – Develop and implement a vocational training programme
         – Reform the education system according to the Jordanian national programme.
           Work towards to enhancing the quality and the capacity of institutions and
           organisations involved in the quality assurance of education and training provision
           Address accreditation and licensing procedures;
         – Take steps to increase the involvement of civil society stakeholders and social
           partners in higher education and VET reform;
         – Encourage the participation in the Erasmus Mundus programme.
         – Foster the development of human resources and human capital, and promote the
           reform of higher education through the TEMPUS III programme.
         – Aim at the reform of higher education in line with the principles of Bologna
           process.
(64)   Enhance co-operation in the field of education, training and youth
         – Establish a policy dialogue between EU and Jordanian authorities in the field of
           education and training
         – Explore the possibility of extending co-operation in the areas of school education,
           vocational education and training through the possible extension of the TEMPUS
           programme.
         – Increase links among Jordanian educational institutions and with the EU
                                               30
 ---pagebreak---           – Enhance youth exchanges and co-operation in the field of non-formal education
             and intercultural dialogue
Culture and audio-visual issues
(65)    Enhance cultural co-operation
          – Enhance Jordan’s participation in the relevant EC cultural co-operation
             programmes.
(66)    Create conditions for an environment favouring co-operation and circulation of
        cultural and audio-visual goods and services
          – Work towards the development of a transparent, efficient and predictable
             regulatory system including through the establishment of an independent
             regulatory authority in the audio-visual sector
Public health
(67)    Increase the level of health security, health information and knowledge
          – Exchange of information and know-how on health indicators and data collection
          – Invite relevant Jordanian authorities as observers in the meetings of the Network
             of Competent Authorities
          – Develop the Technical and administrative conditions to integrate Jordan in the EU
             public health information and knowledge system
(68)    Communicable Disease Surveillance            and    Health  Security  (Epidemiological
        Surveillance and Control)
          – Participation in Communicable Disease Networks and dedicated surveillance
             networks
          – Develop adequate laboratories networking
3. Monitoring
The Action Plans will be submitted for formal adoption to the EU-Jordan Association
Council. The Action Plans will guide the work between the EU and Jordan. Should the need
arise, on the EU side, for specific measures necessitating legally binding decisions, the
Commission will recommend to the Council the adoption of the necessary negotiating
directives.
The joint bodies established under the Association Agreement will advance and monitor the
implementation of the Action Plan on the basis of regular reports on its implementation.
A first review of the implementation of the Action Plan will be undertaken within two years
of its adoption.
The Action Plan can be regularly amended and/or updated to reflect progress in addressing
the priorities.
                                                31
 ---pagebreak--- Glossaire
CAA:      Civil Aviation Authority
CEPOL:    European Police College
EMSA:     European Maritime Safety Agency
FATF:     Financial Action Task Force on Money Laundering
IP:       Intellectual Property
IPPC:     International Plant Protection Convention
ILO:      International Labour Organisation
NEAP:     National Environment Action Plan
OIE:      Organisation Mondiale de la Santé Animale
TAIEX:    Technical Assistance Information Exchange
UNEP:     United Nations Environment Programme
                                          32