CELEX: 51976PC0309
Language: en
Date: 1976-06-24 00:00:00
Title: RECOMMENDATION FOR A COUNCIL REGULATION concluding an Agreement between the European Economic Community and the Republic of India on trade in coir products (submitted to the Council by the Commission)

ARCHIVES HISTORIQUES
DE LA COMMISSION
COLLECTION RELIEE DES
DOCUMENTS "COM"
COM (76) 309
Vol. 1976/0094
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In accordance with Council Regulation (EEC, Euratom) No 354/83 of 1 February 1983
concerning the opening to the public of the historical archives of the European Economic
Community and the European Atomic Energy Community (OJ L 43, 15.2.1983, p. 1), as
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In Übereinstimmung mit der Verordnung (EWG, Euratom) Nr. 354/83 des Rates vom 1.
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 ---pagebreak--- COMMISSION OF THE EUROPEAN COMMUNITIES
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          /                                                                I
                                         COM(76)309 final     -            -i
              *                          Brussels . 24 June 1976
                                                     . ,      '   :( ! '
                   RECOMMENDATION FOR A COUNCIL REGULATION
            concluding an Agreement between the European Economic
            Community and the Republic of India on trade in coir
                           t  i   products
                                              I           <
               ( submitted to the Council by the Commission )
 C0M(76 ) 309 final
 ---pagebreak---                            EXPLANATORY MEMORANDUM
1    Ity decision of 16 February 1976 the Council authorized the Commission to
open negotiations with India for the purpose of concluding an agreement on
trade in coir products#
2*   In accordance with that decision and in consultation with the Article 113
Committee the Commission conducted negotiations with India on 30 and 31 March
and on 6 April 1976#
3 . Following these negotiations a draft agreement was drawn up , comprising
the following main points1 :
     confirmation that the almost total freedom from import restrictions
     existing in the Community will be maintained ( quantitative restrictions
     still exist in one of the Member States );
     continuation of a programme to suspend progressively the CCT duty ,
     which the Community is implementing in the context of its offer
     regarding generalized tariff preferences for the product concerned
     ( the current 60$ reduction will be extended to 80$ on 1 July 1976
     and to 100$ on 1 January 1978 » while the full exemption from this
     duty already applying in the United Kingdom and Denmark will be
     maintained );
     assurances from India regarding the supply on non-discriminatory
     terms of the raw materials needed by the Community coir products
     industry ;
     definition of the Joint Cooperation Committee 's tasks , especially
     as regards the investigation of possibilities and the formulation
     of suggestions for cooperation on research and development on the
     production and uses of coir products .
After finding that the text of the draft agreement was in line with the
conclusions of the negotiations , the heads of the delegations initialled
it on 7 April 1976#
4 * The Commission considers that the draft agreement in question represents
a conclusion acceptable to the Community * It recommends to the Council
that it should conclude this agreement by adopting the regulation a draft
of which is annexed *
  An earlier agreement between the Community and India ( see 0J L 82 , 24 March 1974 )
  on the same products expired on 31 December 1 975 *
 ---pagebreak---                    RECOMMENDATION FOR A COUNCIL REFLATION
            concluding an Agreement "between the European Economic
        Community and the Republic of India on trade in coir products
THE COUNCIL OF THE EUROPEAN COMMISSION,
Having regard to the Treaty establishing the European Economic Community , •
and in particular Article 113 thereof ,
Having regard to the recommendation from the Commission ,
Whereas the Agreement on trade in coir products negotiated between the
European Economic Community and the Republic of India should be concluded ,
HAS ADOPTED THIS REGULATION :
                                 Article 1
The Agreement between the  European Economic Community and the Republic of
India on trade in coir products , the text of which is annexed hereto , is
hereby concluded on behalf of the Community .
                                 Article 2
The President of the Council shall give notification to the other Contracting
Party that the procedures required for the entry into force of the Agreement
have been completed on the part of the Community .
                               Article 3
This Regulation shall enter into force on the third day following its
publication in the Official Journal of the European Communities .
Done at Brussels .                                     For the Council
                                                       The President
 ---pagebreak---                            AGREEMENT
between the European Economic Community and the Republic of India on
                      trade in coir products
THE COUNCIL OF THE EUROPEAN COMMUNITIES ,
of the one part , and
THE GOVERNMENT OF THE REPUBLIC OF INDIA ,
of the other part ,
DESIROUS of ensuring an increasing use of coir products and the orderly
development of trade in these products between the European Economic
Community , hereinafter referred to as " the Community ", and the Republic
of India ,
NOTING the Joint Declaration of Intent on the development of trade
relations with Ceylon , India , Malaysia , Pakistan and Singapore , annexed
to the Final Act of the Treaty of Accession of the Kingdom of Denmark ,
Ireland , the Kingdom of Norway and the United Kingdom of Great Britain
and Nothern Ireland to the European Economic Community and the European
Atomic Energy Community ,
HAVING REGARD to the Commercial Cooperation Agreement between the
European Economio Community and India ,
CONSCIOUS of the provisions of the General Agreement on Tariffs and
Trade ,
HAVE DECIDED, in a spirit of mutual cooperation , to conclude this
Agreement t
 ---pagebreak---                                            - 2 -
                                         Article 1
             This Agreement shall apply to manufactured coir products , origina­
ting in and coning from India , as defined in Article 2 .
                                         Article 2
             The Community shall , autonomously and as part of its offer
relating to the granting of generalised tariff preference , apply to manu­
 factured coir products originating in and coming from India , the duties
of the Common Customs Tariff suspended in accordance with the rates and
timetable indicated below :
 ,.1 . IV. ! ! "I I I
        CCT                                                        Kate of reduction
                                  Description
    heading                                                        to be apulied
        No
                                                                   1.7.76    1.1.78
    58.02             Other carpets , carpeting , rugs , mats
                                 and matting , and " Kelem ",
                      " Schumacks " and "Karamanie " rugs
                      and the like ( made up or not ) :
                      A. Carpets , carpeting , rugs , mats
                           and matting :
                      ex . I. Coir mats and matting , and            80 %       100 %
                              tufted carpets , carpeting and
                              rugs
                                         Article 3
             The Community shall not subject imports of the products referred to in
Article 2 , originating in and coming from India , to new quantitative
restrictions . The Contracting Parties agree to take all necessary            '
steps to . enable the opportunities to import under exf sting quantitative
restrictions to be fully used .
                                                                          /.
 ---pagebreak---                                 - 3 -
                              Article '+
      The Republic of India and the Community shall exchange all
necessary information relating to trade in coir products between the
Contracting Parties .
                              Article 5
      The implementation of this Agreement shall not disrupt the normal
pattern of trade between India and the Community for the products
concerned .
      If one of the Parties informs       the other that abnormal difficulties
have arisen in connection with the use of normal pattern of trade , then the
Contracting Parties shall consult each other on measures necessary to re­
medy the situation .
                              Article 6
      Subject to the policies of the Government of the Republic of India
relating to, the regulation of its exports according to its production
situation and the external demand for the said products , the
Republic of India undertakes to take all necessary steps to ensure that the
needs of the Community market and industries are met in a non- discri­
minatory manner *
                              Article 7
      A Joint Cooperation Committee shall be set up and entrusted with
the following tasks :
      - to   examine any problem which may arises as a result    of
        the implementation of this Agreement , including the question of
        appropriate solutions to problems arising out of current quantita­
        tive restrictions s
 ---pagebreak---                            - 4 -
– to investigate possibilities of , and formulate suggestions for , coope­
   ration in regard to t
         – existing production methods ,
         – research into and development of , new techniques of preparing
           and processing coir and manufacturing coir goods
   in order to expand the end uses of coir*
– to develop contacts between representatives of the trade and industry
   in coir of both India and the Community and facilitate the setting up
   of joint projects and programmes mutually agreed upon by both Parties .
2*      The Joint Cooperation Committee shall consist of representatives
of the Republic of India and of the Community*
3*      The Joint Cooperation Committee shall be convened upon the request
of either Contracting Party and in any case at least once a year*
                                   Article 8
       This Agreement shall enter into force on the first day of the month
following the date on which the Contracting Parties have notified each other
of the completion of the procedures necessary for this purpose * Subject to any
such amendments as may be mutually agreed during its period of validity , the
Agreement shall be valid until 31 December 1979 *
                                   Article 9
The Annexes constitute an integral part of this Agreement *
                                   Article 10
       This Agreement has -been drawn up in two oopies , in the Danish, Dutch ,
English, French, German , Italian and Hindi languages , each text being
authentic *
Done at a ***************
 ---pagebreak---                  DECLARATION OF_THE _ COMMUN ITï
        The European Economic Community notes that the Government of
 the Republic of India levies a tax , at a rate of 15% ad valorem , on
 its exports of coir yarn .    It considers that this tax , the incidence
of which has been calculated at 6% of the sale price of coir products ,
 constitutes a disadvantage for the coir industry of its Member States .
       Taking account of the programme for the progressive suspension
of duties under the Common Customs Tariff applied by the Community as
part of its offer relating to the granting of generalized tariff
preferences , set out in Article 2 of the Agreement , the Community
reserves the right both to evaluate the practical effects of this tax
on the coir industry of the Member States and , in any case before the
start of the last phase of suspension of duties under the Common Customs
Tariff , to seek an examination of the situation on the Community market
for coir products by the Joint Cooperation Committee , set up under
Article 7 of th «* Agreement .
 ---pagebreak---                        JOINT DECLARATION
1,          The Contracting Parties .undertakes to make a special effort
to fulfill the tasks set out in Article ^ of the Agreement . To this
end they will endeavour to    provide   annual round-table discussions
between the industrial t commercial and research interests on "bath
sides , and they undertake to examine the possibility of supporting
any programmes or projects recommended as a result of such
discussions which are likely to be of mutual benefit to these interests .
2»          The Contracting Parties will keep under review the develop­
 ment   of fiscal policies and their impact on the possibilities for
the increased use of coir products , the orderly development of .
trade and possibilities of cooperation , having due regard to the
needs and development   programmes of the Republic of India in the
coir sector and to the prospects of the coir industries in the
Member States of the Community*