CELEX: 21986A0717(02)
Language: en
Date: 1986-03-14 00:00:00
Title: International Wheat Agreement, 1986: Wheat Trade Convention, 1986

17 . 7 . 86                                  Official Journal of the European Communities                                   No L 195 / 5
                                                                PREAMBLE
               THE SIGNATORIES TO THIS AGREEMENT :
                Considering that the International Wheat Agreement, 1949 , was revised , renewed or extended on
                successive occasions leading to the conclusion of the International Wheat Agreement , 1971 ,
                Considering that the provisions of the International Wheat Agreement, 1971 , consisting of the Wheat
                Trade Convention , 1971 , on the one hand , and the Food Aid Convention , 1980, on the other , as
                extended by Protocol , will expire on 30 June 1986 , and that it is desirable to conclude an agreement
                for a new period ,
                HAVE AGREED ,
                that the International Wheat Agreement, 1971 , shall be updated and renamed the International
                Wheat Agreement, 1986 , which shall consist of two separate legal instruments :
                ( a) the Wheat Trade Convention , 1986 , and
                (b) the Food Aid Convention , 1986 ,
                and that each of these two Conventions, or either of them as appropriate, shall be submitted for
                signature and ratification , acceptance or approval , in conformity with their respective constitutional
                or institutional procedures , by the Governments concerned .
                                               WHEAT TRADE CONVENTION, 1986
                                                                    PART I
                                                                  GENERAL
                             Article 1                                    (e) to provide an appropriate framework for the possible
                                                                               negotiation of a new international agreement or
                                                                               convention with economic provisions .
                             Objectives
The objectives of this Convention are:
                                                                                                       Article 2
( a) to further international cooperation in all aspects of trade
     in wheat, and other grains, especially in so far as these                                        Definitions
     affect the wheat situation ;
                                                                           For the purposes of this Convention:
(b ) to promote the expansion of international trade in grains,
     and to secure the freest possible flow of this trade ,                1 . (a ) 'Council' means the International Wheat Council
     including the elimination of trade barriers and unfair and                     established by the International Wheat Agreement,
     discriminatory practices, in the interest of all members , in                  1949 , and continued in being by Article 9 ;
     particular developing members ;
                                                                               (b ) ( i) 'member' means a party to this Convention
(c) to contribute, to the fullest extent possible , to the stability                (ii ) 'exporting member' means a member so
     of international grain markets in the interests of all                               designated under Article 12 ;
     members, to enhance world food security, and to
     contribute to the development of countries whose                               (iii) 'importing member' means a member so
     economies are heavily dependent on commercial sales of                               designated under Article 12;
     grain;                                                                    (c) 'executive committee' means          the   committee
                                                                                    established under Article 15 ;
(d)to provide a forum for exchange of information and
     discussion of member's concerns regarding trade in                        (d) 'sub-committee on Market Conditions' means the
     grains; and                                                                    sub-committee established under Article 16 ;
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    (e) 'grain' or 'grains' means wheat, wheat flour , rye ,            ( c) developments concerning the improvement and
         barley , oats , maize , millet and sorghum , and such                expansion of trade , utilization , storage and
         other grains and products as the Council may                         transportation , especially in developing countries .
         decide :
                                                                        2.      To improve the collection and presentation of
    ( f) ( i ) 'purchase' means a purchase of grain for import,         information for those reports and studies referred to in
                or the quantity of grain so purchased , as the          paragraph 1 of this Article, to make it possible for more
                context requires;                                       members to participate directly in the work of the Council ,
         ( ii ) 'sale' means a sale of grain for export , or the        and to supplement the guidance already given by the Council
                quantity of such grain so sold , as the context         in the course of its sessions, there shall be established ?.
                                                                        sub-committee on Market Conditions with the functions
                requires ;
                                                                        specified in Article 16 .
         ( iii) where reference is made in this Convention to a
                purchase or sale, it shall be understood to refer
                not only to purchases or sales concluded between
                the Governments concerned, but also to                                              Article 4
                purchases or sales concluded between private
                traders , and to purchases or sales concluded
                between a private trader and the Government                          Consultations on market developments
                concerned ;
                                                                        1.      If the sub-committee on Market Conditions , in the
    (g) 'special vote' means a vote requiring at least two-thirds       course of its continuous review of the market under Article
         of the votes cast by the exporting members present and         16 , is of the opinion that developments in the international
         voting, and at least two-thirds of the votes cast by the       grain market seriously threaten to affect the interests of
         importing members present and voting, counted                  members , or if such developments are called to the
         separately;                                                    sub-committee's attention by the executive director on his
                                                                        own initiative or at the request of any member of the Council ,
    (h) 'crop year' means the period from 1 July to
                                                                        it shall immediately report the facts concerned to the
         30 June;
                                                                        Executive Committee. The sub-committee , in so informing
    (i) 'working day' means a working day at the                        the Executive Committee, shall give particular regard to
                                                                        those circumstances which threaten to affect the interests of
         headquarters of the Council .
                                                                        members .
2 . Any reference in this Convention to a 'Government' or
    'Governments' shajl be construed as including a reference           2.      The executive committee shall meet within 1 0 working
    to the European Economic Community ( hereinafter                    days to review such developments and , if it deems it
    referred to as the EEC). Accordingly , any reference in this        appropriate, request the chairman of the Council to convene
    Convention to 'signature' or to the 'deposit of instruments         a session of the Council to consider the situation .
    of ratification , acceptance, or approval' or 'an instrument
    of accession' or 'a declaration of provisional application'
    by a Government shall , in the case of the EEC , be
    construed as including signature or declaration of                                              Article S
    provisional application on behalf of the EEC by its
    competent authority and the deposit of the instrument                       Commercial purchases and special transactions
    required by the institutional procedures of the EEC to be
    deposited for the conclusion of an international
    agreement .
                                                                        1.      A commercial purchase for the purposes of this
                                                                        Convention is a purchase as defined in Article 2 which
                                                                        conforms to the usual commercial practices in international
                                                                        trade and which does not include those transactions referred
                               Article 3                                to in paragraph 2 of this Article.
                   Information, reports and studies                     2.      A special transaction for the purposes of this
                                                                        Convention is one which includes features introduced by the
1.       To facilitate the achievement of the objectives in             Government of a member concerned which do not conform
Article 1 , make possible a fuller exchange of views at Council         to usual commercial practices. Special transactions include
sessions, and provide information on a continuing basis to              the following:
serve the general interest of members, arrangements shall be
made for regular reports and exchange of information , and              ( a) sales on credit in which , as a result of government
also special studies, as appropriate, covering grains , focusing             intervention , the interest rate, period of payment , or
                                                                             other related terms do not conform to the commercial
primarily upon the following:
                                                                             rates, periods or terms prevailing in the world market;
( a) supply, demand and market conditions ;
                                                                        (b ) sales in which the funds for the purchase of grain are
( b) developments in national policies and their effects on the              obtained under a loan from the Government of the
       international market ;                                                exporting member tied to the purchase of grain ;
 ---pagebreak--- 17 . 7 . 86                                Official Journal of the European Communities                                    No L 195 / 7
(c) sales for currency of the importing member which is not           requirement that a specified level of commercial imports of
     transferable or convertible into currency or goods for use       grains agreed with the recipient country be maintained on a
     in the exporting member;                                         global basis by that country . In establishing or adjusting this
                                                                      level , full regard shall be had to the commercial import levels
(d ) sales under trade agreements with special payments               in a representative period , to recent trends in utilization and
     arrangements which include clearing accounts for settling        imports , and to the economic circumstances of the recipient
     credit balances bilaterally through the exchange of goods ,      country , including , in particular , its balance-of-payments
                                                                      situation .
     except where the exporting member and the importing
     member concerned agree that the sale shall be regarded as
     commercial ;
                                                                      3.      Members , when engaging in concessional export
(e) barter transactions:                                              transactions , shall consult with exporting members whose
                                                                      commercial sales might be affected by such transactions to
     (i) which result from the intervention of governments            the maximum possible extent before such arrangements are
          where grain is exchanged at other than prevailing           concluded with recipient countries.
          world prices ; or
     (ii) which involve sponsorship under a government
          purchase programme, except where the purchase of            4.      The Secretariat shall periodically report to the Council
          grain results from a barter transaction in which the        on developments in concessional transactions in grains .
          country of final destination was not named in the
          original baiter contract;
( f) a gift of grain or a purchase of grain out of a monetary
     grant by the exporting member made for that specific
                                                                                                    Article 7
     purpose ;
(g) any other categories of transactions , as the Council may
     prescribe , that include features introduced by the                                    Reporting and recording
     Government of a member concerned which do not
     conform to usual commercial practices .
                                                                      1.      Members shall provide regular reports , and the
                                                                      Council shall maintain records for each crop year, showing
3.       Any question raised by the executive director or by any      separately commercial and special transactions , of all
member as to whether a transaction is a commercial purchase           shipments of grain by members and all imports of grain from
as defined in paragraph 1 of this Article or a special                non-members . The Council shall also maintain, to the extent
transaction as defined in paragraph 2 of this Article shall be        possible , records of all shipments between non-members.
decided by the Council.
                                                                      2 . Members shall provide , as far as possible , such
                                                                      information as the Council may require concerning their
                                                                      grain supply and demand , and report promptly all changes in
                                                                      their national grain policies .
                             Article 6
                                                                      3.      For the purposes of this Article:
         Guidelines relating to concessional transactions
                                                                      (a) members shall send to the executive director such
 1.      Members undertake to conduct any concessional                      information concerning the quantities of grain involved
transactions in grains in such a way as to avoid harmful                    in commercial sales and purchases and special
interference with normal patterns of production and                         transactions as the Council within its competence may
international commercial trade .                                            require , including:
                                                                            (i) in relation to special transactions , such details of the
                                                                                 transactions as will enable them to be classified in
2.       To this end both supplying and recipient members shall
undertake appropriate measures to ensure that concessional                       accordance with Article 5 ;
transactions arie additional to commercial sales which could
                                                                            (ii) such information as may be available as to the type,
reasonably be anticipated in the absence of such transactions,                   class , grade and quality of the grains concerned ;
and would increase consumption or stocks in the recipient
country. Such measures shall, for countries which are
 members of FAO , be consistent with the FAO principles of            (b) any member, when exporting grain, shall send to the
 surplus disposal and guiding lines and the consultative                    executive director such information relating to their
obligations of FAO members, and may include the                             export prices as the Council may require;
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( c) the Council shall obtain regular information on                 repeatedly and unreasonably fails to make reports as
     currently prevailing grain transportation costs , and           required by this Article , the executive committee shall
     members shall report such supplementary information             arrange consultations with that member to remedy the
     as the Council may require.                                     situation .
4.     In the case of any grain which reaches the country of
final destination after resale in , passage through , or                                         Article 8
transhipment from the ports of, a country other than that in
which it originated , members shall to the maximum extent                                Disputes and complaints
possible make available such information as will enable the           1.     Any dispute concerning the interpretation or
shipment to be entered in the records as a shipment between          application of this Convention which is not settled by
the country of origin and the country of final destination . In      negotiation shall , at the request of any member which is a
the case of a resale, the provisions of this paragraph shall         party to the dispute , be referred to the Council for
apply if the grain originated in the country of origin during        decision .
the same crop year.
                                                                     2.      Any member which considers that its interests as a
5.     The Council shall make rules of procedure for the             party to this Convention have been seriously prejudiced by
reports and records referred to in this Article. Those rules         actions of any one or more members affecting the operation
shall prescribe the frequency and the manner in which those          of this Convention may bring the matter before the Council .
reports shall be made and shall prescribe the duties of              In such a case , the Council shall immediately consult with the
members with regard thereto . The Council shall also make            members concerned in order to resolve the matter . If the
provision for the amendment of any records or statements             matter is not resolved through such consultations , the
kept by it, including provision for the settlement of any            Council shall consider the matter further and may make
dispute arising in connection therewith . If any member              recommendations to the members concerned .
                                                               PART II
                                                          ADMINISTRATION
                            Article 9                                4.      The Council may, by special vote, delegate to any of its
                                                                     committees, or to the executive director, the exercise of
                  Constitution of the Council                        powers or functions other than the following:
1.     The International Wheat Council , established by the          ( a) decisions on matters under Article 8 ;
International Wheat Agreement, 1949 , shall continue in
being for the purpose of administering this Convention with          (b ) review, under Article 1 1 , of the votes of members listed
the membership , powers and functions provided in this                     in the Annex;
Convention .
                                                                     (c) determination of exporting and importing members and
2.     Members may be represented at Council meetings by                   distribution of their votes under Article 12 ;
delegates, alternates and advisers.
                                                                      (d) location of the seat of the Council under paragraph 1 of
3.     The Council shall elect a chairman and a vice-chairman              Article 13 ;                                 '
who shall hold office for one crop year. The chairman shall
have no vote and the vice-chairman shall have no vote while           (e) appointment of the executive director, under paragraph
acting as chairman.                                                        2 of Article 17 ;
                                                                      (f) adoption of the budget and assessment of members'
                           Article 10                                      contributions under Article 21 ;
             Powers and functions of the Council                      (g) suspension of the voting rights of a member under
                                                                           paragraph 6 of Article 21 ;
1.     The Council shall establish its rules of procedure .
                                                                      (h ) any request to the Secretary-General of Unctad to
2.     The Council shall keep such records as are required by              convene a negotiating conference under Article 22 ;
the terms of this Convention and may keep such other
records as it considers desirable .                                   (i) exclusion of a member from the Council under
                                                                           Article 30 ;
3.     In order to enable the Council to discharge its functions
under this Convention , the Council may request , and                 (j ) recommendation of an amendment under Article 32 ;
members undertake to supply, subject to the provisions of
paragraph 2 of Article 7 , such statistics and information as         (k) extension or termination of this Convention under
are necessary for this purpose.                                            Article 33 .
 ---pagebreak--- 17 . 7 . 86                                Official Journal of the European Communities                                     No L 195 / 9
The Council may at any time revoke such delegation by a               members and which members shall be importing members
majority of the votes cast.                                           for the purposes of the Convention . In so deciding, the
                                                                      Council shall take account of the wheat trading patterns of
5.      Any decision made under any powers or functions               those members and of their own views .
delegated by the Council in accordance with paragraph 4 of
this Article shall be subject to review by the Council at the         2.     As soon as the Council has determined which members
request of any member made within a period which the                  shall be exporting and which shall be importing members
Council shall prescribe. Any decision in respect of which no          under this Convention , the exporting members , on the basis
request for review has been made within the prescribed                of their votes under Article 1 1 , shall divide their votes among
period shall be binding on all members .                              them as they shall decide , subject to the conditions laid down
                                                                      in paragraph 3 of this Article , and the importing members
6.      In addition to the powers and functions specified in this     shall similarly divide their votes .
Convention the Council shall have such other powers and
perform such other functions as are necessary to carry out the        3.     For the purposes of the allocation of votes under
terms of this Convention .                                            paragraph 2 of this Article , the exporting members shall
                                                                      together hold 1 000 votes , and the importing members shall
                                                                      together hold 1 000 votes . No member shall hold more than
                                                                      333 votes as an exporting member or more than 333 votes as
                            Article 11                                an importing member. There shall be no fractional votes .
    Votes for entry into force and budgetary procedures               4.     The lists of exporting and importing members shall be
                                                                      reviewed by the Council , in the light of changing patterns in
1.      For the purposes of the entry into force of this              their wheat trade, after a period of three years following the
Convention under paragraph 1 of Article 28 , the votes of             entry into force of the Convention . They shall also be
each Government shall be as set out in the Annex .                    reviewed whenever the Convention is extended under
                                                                      paragraph 2 of Article 33 .
2.      For the purposes of the assessment of financial
contributions under Article 21 , the votes of members shall           5.     At the request of any member, the Council may, at the
be based on those set out in the Annex subject to the                 beginning of any crop year, agree by special vote to the
following:                                                            transfer of that member from the list of exporting members to
                                                                      the list of importing members , or from the list of importing
(a) upon the entry into force of the Convention , the Council         members to the list of exporting members , as appropriate .
     shall redistribute the votes in the Annex among the
     Governments which have deposited instruments of
     ratification, acceptance, approval or accession to the           6.     The distribution of the votes of exporting and
     Convention , or declarations of provisional application          importing members shall be reviewed by the Council
     of it, in proportion to the number of votes held by each         whenever the lists of the exporting and importing members
     of them in the Annex;                                            are changed under paragraph 4 or 5 of this Article. Any
                                                                      redistribution of votes under this paragraph shall be subject
(b) after the Convention has entered into force, whenever             to the conditions set out in paragraph 3 of this Article .
     any Government becomes, or ceases to be , a party to this
     Convention , the Council shall redistribute the votes of         7.     Whenever any Government becomes , or ceases to be, a
     the other members in proportion to the number of votes           party to this Convention, the Council shall redistribute the
     held by each member listed in the Annex;                         votes of the other exporting or importing members , as
                                                                      appropriate , in proportion to the number of votes held by
(c) three years after the entry into force of this Convention,        each member, subject to the conditions set out in paragraph 3
     and whenever the Convention is extended under                    of this Article .
     paragraph 2 of Article 33 , the Council shall review and
     may adjust the votes of members listed in the Annex .
                                                                      8.     Any exporting member may authorize any other
                                                                      exporting member, and any importing member may
3.      For all other purposes regarding the administration of        authorize any other importing member , to represent its
the Convention, the votes to be exercised by members shall            interests and to exercise its votes at any meeting or meetings
be as determined under Article 12 .
                                                                      of the Council . Satisfactory evidence of such authorization
                                                                      shall be submitted to the Council .
                            Article 12                                9.     If at any meeting of the Council a member is not
                                                                      represented by an accredited delegate and has not authorized
                                                                      another member to exercise its votes in accordance with
Determination of exporting and importing members and                  paragraph 8 of this Article , or if at the date of any meeting
                    distribution of their votes
                                                                      any member has forfeited , has been deprived of, or has
                                                                      recovered its votes under any provisions of this Convention ,
 1.     At the first session held under this Convention, the          the total votes to be exercised by the exporting members at
Council shall establish which members shall be exporting              that meeting shall be adjusted to a figure equal to the total of
 ---pagebreak--- No L 195 / 10                               Official Journal of the European Communities                                    17 . 7 . 86
votes to be exercised at that meeting by the importing                 members . The Council shall appoint the chairman of the
members and redistributed among exporting members in                   executive committee and may appoint a vice-chairman .
proportion to their votes .
                                                                       2.     The executive committee shall be responsible to and
                                                                       work under the general direction of the Council . It shall have
                                                                       such powers and functions as are expressly assigned to it
                                                                       under this Convention and such other powers and functions
                            Article 13                                 as the Council may delegate to it under paragraph 4 of
                                                                       Article 10 .
                  Seat, sessions and quorum                            3.     The exporting members on the executive committee
                                                                       shall have the same total number of votes as the importing
1.     The seat of the Council shall be in London unless the           members. The votes of the exporting members on the
Council decides otherwise .                                            executive committee shall be divided among them as they
                                                                       shall decide, provided that no such exporting member shall
                                                                       have more than 40 % of the total votes of those exporting
2.     The Council shall meet at least once during each half of        members. The votes of the importing members on the
each crop year and at such other times as the chairman may             executive committee shall be divided among them as they
decide , or as otherwise required by this Convention .                 shall decide, provided that no such importing member shall
                                                                       have more than 40 % of the total votes of those importing
                                                                       members .
3.     The chairman shall convene a session of the Council if
so requested by ( a) five members or (b ) one or more members          4.     The Council shall prescribe rules of procedure
holding a total of not less than 1 0 per cent of the total votes or    regarding voting in the executive committee and may make
(c) the executive committee.                                           such other provision regarding rules of procedure in the
                                                                       executive committee as it thinks fit . A decision of the
4.     The presence of delegates with a majority of the votes          executive committee shall require the same majority of votes
held by the exporting members and a majority of the votes              as this Convention prescribes for the Council when making a
                                                                       decision on a similar matter .
held by the importing members prior to any adjustment of
votes under paragraph 9 of Article 12 shall be necessary to
constitute a quorum at any meeting of the Council .                    5.     Any member of the Council which is not a member of
                                                                       the executive committee may participate, without voting,
                                                                       in the discussion of any question before the executive
                                                                       committee whenever the latter considers that the interests of
                                                                       that member are affected .
                            Article 14
                                                                                                Article 16
                             Decisions
                                                                                    Sub-committee on Market Conditions
1.     Except where otherwise specified in this Convention,
decisions of the Council shall be by a majority of the votes           1.     The     executive  committee     shall    establish     a
cast by the exporting members and a majority of the votes              sub-committee on Market Conditions consisting of
cast by the importing members, counted separately.                     representatives of not more than six exporting and six
                                                                       importing members. The chairman of the sub-committee
                                                                       shall be appointed by the executive committee .
2.     Without prejudice to the complete liberty of action of
any member in the determination and administration of its              2.     The sub-committee shall keep under continuous
agricultural and price policies, each member undertakes to             review, and report to members on , all matters affecting the
accept as binding all decisions of the Council under the               world grain economy. The sub-committee shall take
provisions of this Convention.                                         account, in its review, of relevant information supplied by
                                                                       any member of the Council .
                                                                       3.     The sub-committee shall supplement the guidance
                                                                       given by the Council to assist the Secretariat in carrying out
                            Article IS
                                                                       the work envisaged in Article 3 .
                      Executive committee                              4.     The sub-committee shall make special efforts to
                                                                       involve other members of the Council in its discussion of
                                                                       questions that direcdy affect their interests , such as their
1.     The Council shall establish an executive committee              national grain policies , or particularly in the case of
consisting of not more than six exporting members elected              developing countries, their import requirements. Any
annually by the exporting members and not more than eight              member of the Council which is not a member of the
importing members elected annually by the importing                    sub-committee may attend its meetings as an observer.
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5.      The sub-committee shall advise in accordance with the         laid down by the United Nations through its appropriate
relevant Articles of the Convention and on any matters which          organs or by its specialized agencies regarding
the Council or the executive committee may refer to it.               intergovernmental commodity agreements , the inconsistency
                                                                      shall be deemed to be a circumstance affecting adversely the
                                                                      operation of this Convention and the procedure prescribed in
                                                                      Article 32 shall be applied .
                             Article 17
                            Secretariat
                                                                                                    Article 20
1.      The Council shall have a Secretariat consisting of an
executive director, who shall be its chief administrative                                  Privileges and immunities
officer, and such staff as may be required for the work of the
Council and its committees .
                                                                      1.       The Council shall have legal personality. It shall in
                                                                      particular have the capacity to contract, acquire and dispose
2.      The Council shall appoint the executive director who          of movable and immovable property and to institute legal
shall be responsible for the performance of the duties
                                                                      proceedings .
devolving upon the Secretariat in the administration of this
Convention and for the performance of such other duties as
are assigned to him by the Council and its committees.                2.       The status , privileges and immunities of the Council in
                                                                      the territory of the United Kingdom shall continue to be
3.      The staff shall be appointed by the executive director in     governed by the Headquarters Agreement between the
accordance with regulations established by the Council .              Government of the United Kingdom of Great Britain and
                                                                      Northern Ireland and the International Wheat Council
                                                                      signed at London on 28 November 1968 .
4.      It shall be a condition of employment of the executive
director and of the staff that they do not hold or shall cease to
hold financial interest in the grain trade and that they shall        3.       The Agreement referred to in paragraph 2 of this
not seek or receive instructions regarding their duties under         Article shall be independent of the present Convention. It
this Convention from any Government or from any other                 shall however terminate :
authority external to the Council .
                                                                      (a) by agreement between the Government of the United
                                                                            Kingdom of Great Britain and Northern Ireland and the
                                                                            Council , or
                             Article 18
                                                                      ( b ) in the event of the seat of the Council being moved from
                      Admission of observers                                the United Kingdom , or
                                                                      (c) in the event of the Council ceasing to exist.
The Council may invite any non-member State, and any
intergovernmental organization, to attend any of its meetings
as an observer .                                                      4.       In the event of the seat of the Council being moved
                                                                      from the United Kingdom , the Government of the member in
                                                                      which the seat of the Council is situated shall conclude with
                                                                      the Council an international agreement relating to the status ,
                             Article 19                               privileges and immunities of the Council , its executive
                                                                      director, its staff and representatives of members at meetings
  Cooperation with other intergovernmental organizations              convened by the Council .
1.      The Council may make whatever arrangements are
appropriate for consultation or cooperation with the United
                                                                                                    Article 21
Nations and its organs, in particular the United Nations
Conference on Trade and Development, and with the Food
and Agriculture Organization and such other specialized                                              Finance
agencies of the United Nations and intergovernmental
organizations as may appropriate .                                     1.      The expenses of delegations to the Council and of
                                                                      representatives on its committees and sub-committees shall
2.      The Council , bearing in mind the particular role of the      be met by their respective Governments. The other expenses
 United Nations Conference on Trade and Development in                necessary for the administration of this Convention shall be
international commodity trade , will , as it considers                met by annual contributions from all members . The
 appropriate , keep the United Nations Conference on Trade            contribution of each member for each crop year shall be in
 and Development informed of its acitivities and programmes           the proportion which the number of its votes in the Annex
of work .                                                             bears to the total of the votes of members in the Annex , as
                                                                      adjusted under paragraph 2 of Article 11 to reflect the
 3.     If the Council finds that any terms of this Convention        membership of the Convention at the time when the budget
 are materially inconsistent with such requirements as may be         for that crop year is adopted.
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2.     At its first session after this Convention comes into           7.     A member whose voting rights have been suspended
force , the Council shall approve its budget for the crop year         under paragraph 6 of this Article shall not be deprived of any
ending 30 June 1987 , and assess the contribution to be paid           of its other rights or relieved of any of its obligations under
by each member.                                                        this Convention , unless the Council so decides by special
                                                                       vote . It shall remain liable to pay its contribution and to meet
3.     The Council shall , at a session during the second half of      any other of its financial obligations under this
                                                                       Convention .
each crop year , approve its budget for the following crop year
and assess the contribution to be paid by each member for
that crop year.                                                        8.      The Council shall , each crop year , publish an audited
                                                                       statement of its receipts and expenditures in the previous
                                                                       crop year .
4.     The initial contribution of any member acceding to this
Convention under paragraph 1 of Article 27 shall be assessed           9.      The Council shall , prior to its dissolution , provide for
by the Council on the basis of the votes to be distributed to it       the settlement of its liabilities and the disposal of its records
under paragraph 2 ( b) of Article 1 1 and the period remaining         and assets .
in the current crop year, but the assessments made upon
other members for the current crop year shall not be
altered .
                                                                                                    Article 22
5.     Contributions shall be payable immediately upon                                        Economic provisions
assessment .
                                                                       In order to assure supplies of wheat and other grains to
6.     If, at the end of six months following the date on which        importing members and markets for wheat and other grains
its contribution is due in accordance with paragraph 5 of this         to exporting members at equitable and stable prices , the
Article , a member has not paid its full contribution , the            Council shall at an appropriate time examine the possibility
executive director shall request the member to make payment            of the negotiation of a new international agreement or
as quickly as possible. If, at the expiration of six months after      convention with economic provisions. When it is judged that
the request of the executive director, the member has still not        such a negotiation could be successfully concluded, the
paid its contribution, its voting rights in the Council and in         Council shall request the Secretary-General of the United
the executive committee shall be suspended until such time as          Nations Conference on Trade and Development to convene a
it has made full payment of the contribution .                         negotiating conference.
                                                                PART III
                                                          FINAL PROVISIONS
                             Article 23                                                             Article 25
                             Depositary                                                Ratification, acceptance, approval
1.      The Secretary-General of the United Nations is hereby          1.      This Convention shall be subject to ratification ,
designated as the depositary of this Convention .                      acceptance or approval by each signatory Government in
                                                                       accordance with its respective constitutional procedures .
2.      The depositary shall notify all signatory and acceding
Governments of eadi signature , ratification , acceptance,             2.      Instruments of ratification, acceptance or approval
approval , provisional application of, and accession to , this         shall be deposited with the depositary not later than 30 June
Convention , as well as each notification and notice received           1986 . The Council may , however, grant one or more
under Articles 29 and 32 .                                             extensions of time to any signatory Government which is
                                                                       unable to deposit its instrument by that date. The Council
                                                                       shall inform the depositary of all such extensions of time.
                             Article 24
                              Signature                                                           - Article 26
This Convention shall be open for signature at United                                        Provisional application
 Nations headquarters from 1 May 1986 until and including
 30 June 1986 by the Governments listed in the Annex and               Any signatory Government and any other Government
 any Government member of the United Nations Conference                eligible to sign this Convention, or whose application for
 on Trade and Development.                                              accession is approved by the Council, may deposit with the
 ---pagebreak---  17 . 7 . 86                               Official Journal of the European Communities                                 No L 195 / 13
depositary a declaration of provisional application . Any             but shall not thereby be released from any obligations under
Government depositing such a declaration shall                        this Convention which have not been discharged by the end
provisionally apply this Convention and be provisionally              of that crop year. The member shall simultaneously inform
regarded as a party thereto .                                         the Council of the action it has taken .
                           Article 27                                                               Article 30
                           Accession                                                                Exclusion
1.       Any Government listed in the Annex and any                   If the Council finds that any member is in breach of its
Government member of the United Nations Conference on                 obligations under this Convention and decides further that
Trade and Development may accede to the present                       such breach significantly impairs the operation of this
Convention until and including 30 June 1986 , except that             Convention, it may, by special vote, exclude such member
the Council may grant one or more extensions of time to any           from the Council . The Council shall immediately notify the
Government which has not deposited its instrument by that             depositary of any such decision . 90 days after the date of the
date .                                                                Council's decision , that member shall cease to be a member
                                                                      of the Council .
2.      This Convention shall be open for accession after
30 June 1986 by the Governments of all States upon such
conditions as the Council considers appropriate. Accession                                         Article 31
shall be effected by the deposit of an instrument of accession
with the depositary. Such instruments of accession shall state
                                                                                            Settlement of accounts
that the Government accepts all the conditions established by
the Council .
                                                                      1.     The Council shall determine any settlement of
3.      Where, for the purposes of the operation of this              accounts which it finds equitable with a member which has
                                                                      withdrawn from this Convention or which has been excluded
Convention, reference is made to members listed in the
Annex, any member the Government of which has acceded to              from the Council , or has otherwise ceased to be a party to this
this Convention on conditions prescribed by the Council in            Convention . The Council shall retain any amounts already
accordance with this Article shall be deemed to be listed in the      paid by such member. Such member shall be bound to pay
Annex .                                                               any amounts due from it to the Council .
                                                                      2.     Upon termination of this Convention, any member
                                                                      referred to in paragraph 1 of this Article shall not be entitled
                           Article 28                                 to any share of the proceeds of the liquidation or the other
                                                                      assets of the Council ; nor shall it be burdened with any part
                       Entry into force                               of the deficit , if any , of the Council .
1.      This Convention shall enter into force on 1 July 1986 if
instruments of ratification , acceptance , approval or                                             Article 32
accession , or declarations of provisional application have
been deposited not later than 30 June 1986 on behalf of
                                                                                                  Amendment
Governments holding, at least, 60 % of votes set out in the
Annex .
                                                                      1.     The Council may by special vote recommend to
2.       If this Convention does not enter into force in              members      an    amendment        of  this Convention .   The
accordance with paragraph 1 of this Article , the                     amendment shall become effective 100 days after the
Governments which have deposited instruments of                       depositary has received notifications of acceptance from
ratification , acceptance, approval or accession , or                 exporting members which hold two-thirds of the votes of the
declafations of provisional application may decide by mutual          exporting members and by importing members which hold
consent that it shall enter into force between themselves , or        two-thirds of the votes of the importing members , or on such
may take whatever action they consider the situation                  later date as the Council may have determined by special
requires.                                                             vote. The Council may fix a time within which each member
                                                                      shall notify the depositary of its acceptance of the
                                                                      amendment and , if the amendment has not become effective
                                                                      by such time , it shall be considered withdrawn. The Council
                           Article 29                                 shall provide the depositary with the information necessary
                                                                      to determine whether the notifications of acceptance received
                          Withdrawal                                  are sufficient to make the amendment effective .
Any member may withdraw from this Convention at the end               2.     Any member on behalf of which notification of
of any crop year by giving written notice of withdrawal to the        acceptance of an amendment has not been made by the date
depositary at least 90 days prior to the end of that crop year,       on which such amendment becomes effective shall as of that
 ---pagebreak--- No L 195 / 14                           Official Journal of the European Communities                                  17 . 7 . 86
date cease to be a party to this Convention , unless such          does not accept such extension of this Convention shall so
member has satisfied the Council that acceptance could not         inform the Council and shall cease to be a party to this
be secured in time owing to difficulties in completing its         Convention from the beginning of the period of
constitutional procedures and the Council decides to extend        extension .
for such member the period fixed for acceptance. Such
member shall not be bound by the amendment before it has           3.    The Council may at any time decide , by special vote , to
                                                                   terminate this Convention with effect from such date and
notified its acceptance thereof.
                                                                   subject to such conditions as it may determine .
                                                                   4.     Upon termination of this Convention, the Council
                           Article 33                              shall continue in being for such time as may be required to
                                                                   carry out its liquidation and shall have such powers and
                                                                   exercise such functions as may be necessary for that
             Duration, extension and termination
                                                                   purpose .
1.     This Convention shall remain in force until 30 June         5.     The Council shall notify the depositary of any action
1991 , unless extended under paragraph 2 of this Article , or      taken under paragraph 2 or 3 of this Article .
terminated earlier under paragraph 3 of this Article , or
replaced before that date by a new agreement or convention
                                                                                            Article 34
negotiated under Article 22 .
                                                                             Relationship of preamble to Convention
2.     The Council may , by special vote , extend this
Convention beyond 30 June 1991 for successive periods not          This Convention includes the preamble to the International
exceeding two years on each occasion . Any member which            Wheat Agreement , 1986 .
               In witness whereof the undersigned , having been duly authorized to this effect by their respective
               Governments , have signed this Convention on the dates appearing opposite their signatures.
               Done at London, this fourteenth day of March, One Thousand, Nine Hundred and Eighty-Six, the
               texts of this Convention in the English , French , Russian and Spanish languages being equally
               authentic .
 ---pagebreak--- 17 . 7 . 86                          Official Journal of the European Communities                      No L 195 / 15
                                                         ANNEX
                                      VOTES OF MEMBERS UNDER ARTICLE 11
         Algeria                                      14           Lebanon                                  10
         Argentina                                    88           Libyan Arab Jamahiriya                    5
         Australia                                   129           Malta                                     2
         Austria                                       1           Mauritius                                 2
         Barbados                                      1           Morocco                                  10
         Bolivia                                       5           Nigeria                                   8
         Brazil                                       70           Norway                                   15
         Canada                                      286           Pakistan                                 18
         Costa Rica                                .   3           Panama                                    2
         Cuba                                          2           Peru                                     19
                                                                   Saudi Arabia                             12
         Dominican Republic                            1
         Ecuador                                       3           South Africa                             11
                                                                   Sweden                                   10
         Egypt (Arab Republic of)                     71
         El Salvador                                   2           Switzerland                              18
         European Economic Community                 424           Syrian Arab Republic                      5
         Finland                                       2           Trinidad and Tobago                       4
         Ghana                                         2           Tunisia                                   5
         Guatemala                                     3           Turkey                                    4
         India                                        39           Union of Soviet Socialist Republics     129
         Iran                                          2           United States of America                311
                                                       5           Vatican City                              1
         Iraq
         Israel                                        5           Venezuela                                30
                                                     185           Yemen Arab Republic                       2
         Japan
         Kenya                                         4
                                                                                                         2 000
         Korea , Republic of                          20