INTERIM AGREEMENT on trade and trade-related matters between the European Community, of

325 Pages·2007·1.47 MB·English

L 345/2 EN Official Journal of the European Union 28.12.2007
INTERIM AGREEMENT
on trade and trade-related matters between the European Community, of the one part, and the
Republic of Montenegro, of the other part
THEEUROPEANCOMMUNITY,
hereinafter referredtoas‘theCommunity’,
oftheonepart,and
THEREPUBLICOFMONTENEGRO,
hereinafter referredtoas‘Montenegro’,
oftheother part,
togetherreferredtoas‘theParties’,
WHEREAS:
(1) TheStabilisationandAssociationAgreementbetweentheEuropeanCommunitiesanditsMemberStates,
of the one part, and Montenegro, of the other part (hereinafter referred to as ‘the Stabilisation and
AssociationAgreement’ or‘theSAA’),wassignedinLuxembourgonthefifteenthdayofOctoberinthe
year 2007.
(2) The Stabilisation and Association Agreement is intended to establish a close and lasting relationship
based on reciprocity and mutual interest, which should allow Montenegro to further strengthen and
extend the already established relationship with the European Union.
(3) It is necessary to ensure the development of trade links by strengthening and widening the relations
established previously.
(4) To this end it is necessary to implement as speedily as possible, by means of an Interim Agreement
(hereinafterreferredtoas‘thisAgreement’),provisionsoftheStabilisationandAssociationAgreementon
trade and trade-related matters.
(5) Some of the provisions included in Protocol 4 on land transport to the Stabilisation and Association
Agreement,whicharerelatedtoroadtransittraffic,aredirectlylinkedtothefreemovementofgoodsand
should consequently be included in this Agreement.
(6) Intheabsenceofpre-existingcontractualstructuresthisAgreementestablishesanInterimCommitteefor
the implementation of this Agreement,
HAVEDECIDED to conclude this Agreement and to this end have designated as their plenipotentiaries:
THEEUROPEANCOMMUNITY:
Luís AMADO,
Minister for Foreign Affairs of the Portuguese Republic,
President-in-Office of the Council of the European Union
Olli REHN,
Member of the Commission of the European Communities (hereinafter referred to as ‘European
Commission’) with responsibility for Enlargement
28.12.2007 EN Official Journal of the European Union L 345/3
MONTENEGRO:
Željko ŠTURANOVIĆ,
Prime Minister
WHO, having exchanged their full powers, found in good and due form,
HAVEAGREEDASFOLLOWS:
TITLEI 3. For the purpose of this Agreement customs duties and
charges having equivalent effect to customs duties include any
duty or charge of any kind imposed in connection with the
GENERALPRINCIPLES importation or exportation of a good, including any form of
surtax or surcharge in connection with such importation or
exportation, but do not include any:
Article 1 (SAA Article 2)
(a) charges equivalent to an internal tax imposed consistently
Respect for the democratic principles and human rights as with the provisions of paragraph 2 of Article III of the
proclaimedintheUniversalDeclarationofHumanRightsandas GATT 1994;
defined in the Convention for the Protection of Human Rights
and Fundamental Freedoms, in the Helsinki Final Act and the
Charter of Paris for a New Europe, respect for international law
(b) antidumping or countervailing measures;
principles, including full cooperation with the International
CriminalTribunalfor theformerYugoslavia(ICTY),andtherule
oflawaswellastheprinciplesofmarketeconomyasreflectedin
(c) fees or charges commensurate with the costs of services
the Document of the CSCE Bonn Conference on Economic
rendered.
Cooperation, shall form the basis of the domestic and external
policies of the Parties and constitute essential elements of this
Agreement.
4. For each product, the basic duty to which the successive
tariffreductionssetoutinthisAgreementaretobeappliedshall
be:
Article 2 (SAA Article 9)
(a) the Community Common Customs Tariff, established
ThisAgreementshallbefullycompatiblewithandimplemented pursuant to Council Regulation (EEC) No 2658/87(1)
in a manner consistent with the relevant WTO provisions, in actually applied erga omnes on the day of the signature of
particularArticleXXIVof theGeneralAgreementonTariffsand this Agreement;
Trade 1994 (GATT 1994) and Article V of the General
Agreement onTrade in Services (GATS).
(b) the Montenegrin applied tariff(2).
TITLEII 5. If,afterthesignatureofthisAgreement,anytariffreduction
is applied on an erga omnes basis, in particular reductions
resulting:
FREEMOVEMENTOFGOODS
(a) from the tariff negotiations in the WTO or,
Article 3 (SAA Article 18)
(b) intheeventoftheaccessionofMontenegrototheWTOor,
1. TheCommunityandMontenegroshallgraduallyestablisha
bilateralfreetrade areaoveraperiod lastingamaximumof five
years starting from the entry into force of this Agreement in
(c) from subsequent reductions after the accession of Mon-
accordance with the provisions of this Agreement and in
tenegro to the WTO,
conformity with those of the GATT 1994 and the WTO. In so
doingtheyshalltakeintoaccountthespecificrequirementslaid
down hereinafter.
such reduced duties shall replace the basic duty referred to in
paragraph4asfromthedatewhensuchreductionsareapplied.
2. The Combined Nomenclature shall be applied to the (1) CouncilRegulation(EEC)No2658/87(OJL256,7.9.1987,p.1).
classification of goods in trade between the Parties. (2) OfficialGazetteofMontenegroNo17/07.
L 345/4 EN Official Journal of the European Union 28.12.2007
6. The Community and Montenegro shall communicate to Article 7 (SAA Article 22)
eachother their respectivebasicdutiesandanychangesthereof.
Duties and restrictions on exports
1. TheCommunityandMontenegroshallabolishanycustoms
CHAPTERI
duties on exports and charges having equivalent effect in trade
between them upon the entry into force of this Agreement.
Industrial products
2. The Community and Montenegro shall abolish between
Article 4 (SAA Article 19)
themselvesanyquantitativerestrictionsonexportsandmeasures
having equivalent effect upon the entry into force of this
Definition Agreement.
1. The provisions of this Chapter shall apply to products
Article 8 (SAA Article 23)
originating in the Community or in Montenegro listed in
Chapters 25 to 97 of the Combined Nomenclature, with the
Faster reductions in customs duties
exception of the products listed in Annex I, paragraph I, (ii) of
the WTOAgreement on Agriculture.
Montenegrodeclaresitsreadinesstoreduceitscustomsdutiesin
trade with the Community more rapidly than is provided for in
Article6ifitsgeneraleconomicsituationandthesituationofthe
2. TradebetweenthePartiesinproductscoveredbytheTreaty
economic sector concerned so permit.
establishing the European Atomic Energy Community shall be
conducted in accordance with the provisions of that Treaty.
TheInterimCommitteeshallanalysethesituationinthisrespect
and make the relevant recommendations.
Article 5 (SAA Article 20)
CHAPTERII
Communityconcessions on industrial products
Agriculture and fisheries
1. CustomsdutiesonimportsintotheCommunityandcharges
having equivalent effect shall be abolished upon the entry into Article 9 (SAA Article 24)
force of this Agreement on industrial products originating in
Montenegro. Definition
1. The provisions of this Chapter shall apply to trade in
2. Quantitative restrictions on imports into the Community
agricultural and fishery products originating in the Community
and measures having equivalent effect shall be abolished upon
or in Montenegro.
the entry into force of this Agreement on industrial products
originating in Montenegro.
2. The term ‘agricultural and fishery product’ refers to the
products listed in Chapters 1 to 24 of the Combined
Article 6 (SAA Article 21) Nomenclature and the products listed in Annex I, para-
graph I, (ii) of the WTOAgreement on Agriculture.
Montenegrin concessions on industrial products
3. Thisdefinitionincludesfishandfisheryproductscoveredby
chapter3,headings1604and1605,andsub-headings051191,
1. Customs duties on imports into Montenegro of industrial
230120 and ex190220 (‘stuffed pasta containing more than
productsoriginatingintheCommunityotherthanthoselistedin
20% by weight of fish, crustaceans, molluscs or other aquatic
Annex I shall be abolished upon the entry into force of this
invertebrates’).
Agreement.
Article 10 (SAA Article 25)
2. Charges having equivalent effect to customs duties on
importsintoMontenegroshallbeabolishedupontheentryinto Processed agricultural products
forceofthisAgreementonindustrialproductsoriginatinginthe
Community.
Protocol 1 lays down the trade arrangements for processed
agricultural products which are listed therein.
3. Customs duties on imports into Montenegro of industrial
products originating in the Community which are listed in Article 11 (SAA Article 26)
Annex I shall be progressively reduced and abolished in
accordance with the timetable indicated in that Annex. Communityconcessions on imports of agricultural
products originating in Montenegro
4. Quantitative restrictions on imports into Montenegro of 1. From the date of entry into force of this Agreement, the
industrial productsoriginatingin the Communityandmeasures Community shall abolish all quantitative restrictions and
havingequivalenteffectshallbeabolisheduponthedateofentry measures having equivalent effect, on imports of agricultural
into force of this Agreement. products originating in Montenegro.
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2. From the date of entry into force of this Agreement, the measureshavingequivalenteffectonimportsoffishandfishery
Communityshallabolishthecustomsdutiesandchargeshaving products originating in Montenegro.
equivalenteffect,onimportsofagriculturalproductsoriginating
inMontenegroother thanthoseofheadings0102,0201,0202,
1701, 1702 and 2204 of the Combined Nomenclature.
2. FromtheentryintoforceofthisAgreementtheCommunity
shall eliminate all customs duties on fish and fishery products
For theproductscoveredbyChapters7and8of theCombined originating in Montenegro other than those listed in Annex IV.
Nomenclature, for which the Common Customs Tariff provides ProductslistedinAnnexIVshallbesubjecttotheprovisionslaid
for the application of ad valour customs duties and a specific down therein.
customsduty,theeliminationappliesonlytotheadvalour part
of the duty.
Article 15 (SAA Article 30)
3. From the date of entry into force of this Agreement, the
Community shall fix the customs duties applicable to imports
intotheCommunityof ‘babybeef’productsdefinedinAnnexII Montenegrin concessions on fish and fishery products
andoriginatinginMontenegroat20%oftheadvalourdutyand
20%ofthespecificdutyaslaiddownintheCommonCustoms
Tariff, within the limit of an annual tariff quota of 800 tonnes 1. From the date of entry into force of this Agreement,
expressed in carcass weight. Montenegro shall abolish all quantitative restrictions and
measureshavingequivalenteffectonimportsoffishandfishery
products originating in the Community.
Article 12 (SAA Article 27)
Montenegrin concessions on agricultural products
2. From the entry into force of this Agreement, Montenegro
shall eliminate customs duties on fish and fishery products
1. From the date of entry into force of this Agreement,
originatingintheCommunityotherthanthoselistedinAnnexV.
Montenegro shall abolish all quantitative restrictions and
ProductslistedinAnnexVshallbesubjecttotheprovisionslaid
measures having equivalent effect, on imports of agricultural
down therein.
products originating in the Community.
2. From the date of entry into force of this Agreement,
Article 16 (SAA Article 31)
Montenegro shall:
Review clause
(a) abolishthecustomsdutiesapplicableonimportsofcertain
agricultural products originating in the Community, listed
in Annex III(a);
Takingaccountofthevolumeoftradeinagriculturalandfishery
products between the Parties, of their particular sensitivities, of
(b) reduce progressively the customs duties applicable on therulesoftheCommunitycommonpoliciesandofthepolicies
imports of certain agricultural products originating in the for agriculture and fisheries in Montenegro of the role of
Community, listed in Annex III(b) in accordance with the agriculture and fisheries in the economy of Montenegro, of the
timetable indicated for each product in that Annex; consequences of the multilateral trade negotiations in the
framework of the WTO as well as of the eventual accession of
MontenegrototheWTO,theCommunityandMontenegroshall
(c) reduceprogressivelythecustomsdutiesto50%applicable examineintheInterimCommittee,nolaterthan3yearsafterthe
on imports of certain agricultural products originating in entry into force of this Agreement, product by product and on
the Community, listed in Annex III(c) in accordance with anorderlyandappropriatereciprocalbasis,theopportunitiesfor
the timetable indicated for each product in that Annex. granting each other further concessions with a view to
implementing greater liberalisation of the trade in agricultural
and fishery products.
Article 13 (SAA Article 28)
Wine and Spirit drinks Protocol
Article 17 (SAA Article 32)
The arrangements applicable to the wine and spirit drinks
productsreferredtoinProtocol2arelaiddowninthatProtocol.
Safeguard clause concerning Agriculture and Fisheries
Article 14 (SAA Article 29)
Notwithstanding other provisions of this Agreement, and in
particular Article 26, given the particular sensitivity of the
Communityconcessions on fish and fishery products agricultural and fisheries markets, if imports of products
originating in one Party, which are the subject of concessions
1. From the date of entry into force of this Agreement, the granted pursuant to Articles 10, 11, 12, 13, 14, and 15, cause
Community shall abolish all quantitative restrictions and serious disturbance to the markets or to their domestic
L 345/6 EN Official Journal of the European Union 28.12.2007
regulatory mechanisms, in the other Party, both Parties shall CHAPTERIII
enter into consultations immediately to find an appropriate
solution. Pending such solution, the Party concerned may take Common provisions
the appropriate measures it deems necessary.
Article 19 (SAA Article 34)
Scope
Article 18 (SAA Article 33)
TheprovisionsofthisChaptershallapplytotradeinallproducts
Protection of geographical indications for agricultural and betweenthePartiesexceptwhereotherwiseprovidedhereinorin
fisheryproductsandfoodstuffsotherthanwineandspirits Protocol 1.
Article 20 (SAA Article 35)
1. Montenegro shall provide protection for the geographical
indications of the Community registered in the Community
underCouncilRegulation(EC)No510/2006of20March2006 Improved concessions
ontheprotectionofgeographicalindicationsanddesignationsof
origin for agricultural products and foodstuffs(1), in accordance TheprovisionsofthisTitleshallinnowayaffecttheapplication,
with the terms of this Article. Geographical indications of onaunilateralbasis,ofmorefavourablemeasuresbyanyof the
Montenegro shall be eligible for registration in the Community Parties.
under the conditions set out in that Regulation.
Article 21 (SAA Article 36)
2. Montenegro shall prohibit any use in its territory of the Standstill
namesprotectedintheCommunityforcomparableproductsnot
complying with the geographical indication's specification. This 1. FromthedateofentryintoforceofthisAgreement,nonew
shallapplyevenwherethetruegeographicaloriginofthegoodis customs duties on imports or exports or charges having
indicated, the geographical indication in question is used in equivalent effect shall be introduced, nor shall those already
translation, the name is accompanied by terms such as ‘kind’, applied be increased, in trade between the Community and
‘type’,‘style’,‘imitation’,‘method’orotherexpressionsofthesort. Montenegro.
2. FromthedateofentryintoforceofthisAgreement,nonew
3. Montenegro shall refuse the registration of a trademark the quantitativerestrictiononimportsorexportsormeasurehaving
use of which corresponds to the situations referred to in equivalent effect shall be introduced, nor shall those existing be
paragraph 2. made more restrictive, in trade between the Community and
Montenegro.
4. Trademarks the use of which corresponds to the situations 3. Without prejudice to the concessions granted under
referred to in paragraph 2, which have been registered in Articles 11, 12, 13, 14 and 15, the provisions of paragraphs 1
Montenegro or established by use, shall no longer be used after and 2 of this Article shall not restrict in any way the pursuit of
1 January 2009. However, this shall not apply to trademarks the respective agricultural and fishery policies of Montenegro
registered in Montenegro and trademarks established by use and of the Community and the taking of any measures under
which are owned by nationals of third countries, provided they those policies insofar as the import regime in Annexes II-Vand
arenotofsuchanatureastodeceiveinanywaythepublicasto Protocol 1 is not affected.
the quality, the specification and the geographical origin of the
goods.
Article 22 (SAA Article 37)
Prohibition of fiscal discrimination
5. Any use of the geographical indications protected in
accordance with paragraph 1 as terms customary in common 1. The Community and Montenegro shall refrain from, and
language as the common name for such goods in Montenegro abolish where existing, any measure or practice of an internal
shall cease at the latest on 1 January 2009. fiscal nature establishing, whether directly or indirectly,
discrimination between the products of one Party and like
products originating in the territory of the other Party.
6. Montenegro shall ensure that goods exported from its
territory after 1 January 2009 do not infringe the provisions of 2. Productsexportedtotheterritoryofoneof thePartiesmay
this Article. notbenefitfromrepaymentofinternalindirecttaxationinexcess
of the amount of indirect taxation imposed on them.
7. Montenegro shall ensure the protection referred to in Article 23 (SAA Article 38)
paragraphs1to6onitsowninitiativeaswellasattherequestof
an interested party. Duties of a fiscal nature
(1) OJL93,31.3.2006,p.12.RegulationasamendedbyCommission The provisions concerning the abolition of customs duties on
Regulation(EC)No952/2007(OJL210,10.8.2007,p.26). imports shall also apply to customs duties of a fiscal nature.
28.12.2007 EN Official Journal of the European Union L 345/7
Article 24 (SAA Article 39) (b) serious disturbances in any sector of the economy or
difficultieswhichcouldbringaboutseriousdeteriorationin
the economic situation of a region of the importing Party,
Customs unions, free trade areas, cross-border
arrangements
1. This Agreement shall not preclude the maintenance or the importing Party may take appropriate bilateral safeguard
establishment of customs unions, free trade areas or arrange- measures under the conditions and in accordance with the
ments for frontier trade except insofar as they alter the trade procedures laid down in this Article.
arrangements provided for in this Agreement.
2. During the transitional periods specified in Article 3, this 3. Bilateral safeguard measures directed at imports from the
Agreement shall not affect the implementation of the specific other Party shall not exceed what is necessary to remedy the
preferential arrangements governing the movement of goods problems, as defined in paragraph 2, which have arisen as a
either laid down in frontier Agreements previously concluded result of application of this Agreement. The safeguard measure
betweenoneormoreMemberStatesandSerbiaandMontenegro adoptedshouldconsistofasuspensionintheincreaseor inthe
or resulting from the bilateral Agreements specified in Title III reduction of the margins of preferences provided for under this
concluded by Montenegro in order to promote regional trade. Agreement for the product concerned up to a maximum limit
corresponding to the basic duty referred to in Article 3
paragraph 4(a) and (b) and paragraph 5 for the same product.
3. ConsultationsbetweenthePartiesshalltakeplacewithinthe Suchmeasuresshallcontainclearelementsprogressivelyleading
Interim Committee concerning the Agreements described in totheireliminationattheendofthesetperiod,atthelatest,and
paragraphs1and2ofthisArticleand,whererequested,onother shall not be taken for a period exceeding twoyears.
major issues related to their respective trade policies towards
third countries. In particular in the event of a third country
acceding to the Union, such consultations shall take place so as
Inveryexceptionalcircumstances,measuresmaybeextendedfor
to ensure that account is taken of the mutual interests of the
a further period of maximum two years. No bilateral safeguard
Community and Montenegro stated in this Agreement.
measure shall be applied to the import of a product that has
previously been subject to such a measure for a period of, at
least, 4 years since the expiryof the measure.
Article 25 (SAA Article 40)
Dumping and subsidy
4. In the cases specified in this Article, before taking the
measures provided for therein or, in the cases to which
1. Noneof theprovisionsinthisAgreementshallpreventany
paragraph 5(b) of this Article applies, as soon as possible, the
of the Parties from taking trade defence action in accordance
Community on the one part or Montenegro on the other part,
with paragraph 2 of this Article and Article 26.
shallsupplytheInterimCommitteewithallrelevantinformation
requiredforathoroughexaminationofthesituation,withaview
to seeking a solution acceptable to the Parties concerned.
2. If one of the Parties finds that dumping and/or countervail
ablesubsidiationistakingplaceintradewiththeotherParty,that
Party may take appropriate measures against this practice in
accordance with the WTO Agreement on Implementation of
5. For theimplementationof theparagraphs1,2,3and4the
Article VI of the GATT 1994 or the WTO Agreement on
following provisions shall apply:
SubsidiesandCountervailingMeasuresandtherespectiverelated
internal legislation.
(a) The problems arising from the situation referred to in this
Article 26 (SAA Article 41) Articleshallbeimmediatelyreferredforexaminationtothe
Interim Committee, which may take any decisions needed
to put an end to such problems.
Safeguards clause
1. The provisions of Article XIX GATT 1994 and the WTO
Agreement on Safeguards are applicable between the parties. If the Interim Committee or the exporting Party has not
taken a decision putting an end to the problems, or no
othersatisfactorysolutionhasbeenreachedwithin30days
2. Notwithstanding paragraph 1 of this Article, where any of thematterbeing referred tothe InterimCommittee, the
product ofone Party is being imported into the territoryof the importing Party may adopt the appropriate measures to
other Party in such increased quantities and under such remedytheprobleminaccordancewiththisArticle.Inthe
conditions as to cause or threaten to cause: selection of safeguard measures, priority must be given to
those which least disturb the functioning of the arrange-
ments established in this Agreement. Safeguard measures
(a) serious injury to the domestic industry of like or directly appliedinaccordancewithArticleXIXGATT1994andthe
competitiveproductsintheterritoryoftheimportingParty WTO Agreement on Safeguards shall preserve the level/
or margin of preference granted under this Agreement.
L 345/8 EN Official Journal of the European Union 28.12.2007
(b) Where exceptional and critical circumstances requiring 4. Where exceptional and critical circumstances requiring
immediate action make prior information or examination, immediate action make prior information or examination, as
asthecasemaybe,impossible,thePartyconcernedmay,in thecasemaybe,impossible,theCommunityorMontenegromay
the situations specified in this Article, apply forthwith apply forthwith the precautionary measures necessary to deal
provisional measures necessary to deal with the situation with the situation and shall inform the other Party immediately
and shall inform the other Party immediately thereof. thereof.
5. Any measures applied pursuant to this Article shall be
The safeguard measures shall be notified immediately to the
immediately notified to the Interim Committee and shall be the
Interim Committee and shall be the subject of periodic
subject of periodic consultations within that body, particularly
consultations within that body, particularly with a view to
with a view to establishing a timetable for their elimination as
establishing a timetable for their abolition as soon as
soon as circumstances permit.
circumstances permit.
Article 28 (SAA Article 43)
6. In the event of the Community on the one part or
Montenegro on the other part subjecting imports of products
State monopolies
liabletogiverisetotheproblemsreferredtointhisArticletoan
administrative procedure having as its purpose the rapid
Withregardtoanystate monopoliesofacommercial character,
provision of information on the trend of trade flows, it shall
Montenegro shall ensure that, by the entry into force of this
inform the other Party.
Agreement, no discrimination regarding the conditions under
whichgoodsareprocuredandmarketedexistsbetweennationals
of the Member States of the European Union and Montenegro.
Article 27 (SAA Article 42)
Article 29 (SAA Article 44)
Shortage clause
Rules of origin
1. Wherecompliancewiththeprovisionsof thisTitleleadsto:
ExceptifotherwisestipulatedinthisAgreement,Protocol3lays
downtherulesoforiginfor theapplicationof theprovisionsof
(a) a critical shortage, or threat thereof, of foodstuffs or other
this Agreement.
products essential to the exporting Party; or
Article 30 (SAA Article 45)
(b) re-exporttoathirdcountryofaproductagainstwhichthe
exporting Party maintains quantitative export restrictions, Restrictions authorised
export duties or measures or charges having equivalent
effect, and where the situations referred to above give rise,
ThisAgreementshallnotprecludeprohibitionsorrestrictionson
or are likely to give rise to major difficulties for the
imports, exports or goods in transit justified on grounds of
exporting Party
public morality, public policy or public security; the protection
ofhealthandlifeofhumans,animalsorplants;theprotectionof
national treasures of artistic, historic or archaeological value or
that Party may take appropriate measures under the conditions
the protection of intellectual, industrial and commercial
andinaccordancewiththeprocedureslaiddowninthisArticle.
property, or rules relating to gold and silver. Such prohibitions
orrestrictionsshallnot,however,constituteameansofarbitrary
discrimination or a disguised restriction on trade between the
2. Intheselectionofmeasures,prioritymustbegiventothose Parties.
which least disturb the functioning of the arrangements in this
Agreement. Such measures shall not be applied in a manner
which would constitute a means of arbitrary or unjustifiable Article 31 (SAA Article 46)
discriminationwherethesameconditionsprevail,oradisguised
restrictionontradeandshallbeeliminatedwhentheconditions Failure to provide administrative cooperation
no longer justify their maintenance.
1. ThePartiesagreethatadministrativecooperationisessential
for the implementation and the control of the preferential
3. Before taking the measures provided for in paragraph 1 or, treatment granted under this Title and underline their commit-
as soon as possible in cases to which paragraph 4 applies, the ment to combat irregularities and fraud in customs and related
CommunityorMontenegro,shallsupplytheInterimCommittee matters.
with all relevant information, with a view to seeking a solution
acceptable to the Parties. The Parties within the Interim
Committee may agree on any means needed to put an end to 2. WhereaPartyhasmadeafinding,onthebasisofobjective
thedifficulties.Ifnoagreementisreachedwithin30daysof the information, of a failure to provide administrative cooperation
matter being referred to the Interim Committee, the exporting and/or of irregularities or fraud under this Title, the Party
Partymayapplymeasuresunder thisArticleontheexportation concerned may temporarily suspend the relevant preferential
of the product concerned. treatmentofproduct(s)concernedinaccordancewiththisarticle.
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3. For the purpose of this Article a failure to provide Article 32 (SAA Article 47)
administrative cooperation shall mean, inter alia:
In case of error by the competent authorities in the proper
management of the preferential system at export, and in
(a) a repeated failure to respect the obligations to verify the
particular in the application of the provisions of Protocol 3 to
originating status of the product(s) concerned;
thepresentAgreementwherethiserrorleadstoconsequencesin
terms of import duties, the contracting Party facing such
consequences may request Interim Committee to examine the
(b) a repeated refusal or undue delay in carrying out and/or
possibilitiesofadoptingallappropriatemeasureswithaviewto
communicatingtheresultsofsubsequentverificationofthe
resolving the situation.
proof of origin;
Article 33 (SAA Article 48)
(c) arepeatedrefusalorunduedelayinobtainingauthorisation
to conduct administrative cooperation missions to verify
The application of this Agreement shall be without prejudice to
the authenticity of documents or accuracy of information
the application of the provisions of Community law to the
relevant to the granting of the preferential treatment in
Canary Islands.
question.
TITLEIII
ForthepurposeofthisArticleafindingofirregularitiesorfraud
maybemade,interalia,wherethereisarapidincrease,without
satisfactoryexplanation,inimportsofgoodsexceedingtheusual OTHERTRADEANDTRADE-RELATEDPROVISIONS
levelofproductionandexportcapacityoftheotherParty,which
is linked to objective information concerning irregularities or Article 34 (SAA Article 61(1))
fraud.
Transit traffic
4. The application of a temporary suspension shall be subject
Definitions (Protocol 4 SAA, Article 3(a) and (b))
to the following conditions:
For the purposes of this Agreement, the following definitions
(a) The Party which has made a finding, on the basis of shall apply:
objectiveinformation,ofafailuretoprovideadministrative
cooperation and/or of irregularities or fraud shall without
undue delay notify the Interim Committee of its finding (a) Community transit traffic: the carriage, by a carrier
together with the objective information and enter into established in the Community, of goods in transit through
consultationswithintheInterimCommittee,onthebasisof theterritoryofMontenegro‘enroute’toorfromaMember
allrelevantinformationandobjectivefindings,withaview State of the Community;
to reaching a solution acceptable to both Parties.
(b) Montenegrin transit traffic: the carriage, by a carrier
established in Montenegro, of goods in transit from
(b) Where the Parties have entered into consultations within
Montenegro through Community territory and destined
theInterimCommitteeasaboveandhavefailedtoagreeon
for a third country or of goods from a third country
an acceptable solution within 3 months following the
destined for Montenegro;
notification,the Partyconcerned may temporarily suspend
the relevant preferential treatment of the product(s)
concerned. A temporary suspension shall be notified to
General Provisions (Protocol 4 SAA, Article 11(2), (3) and (5))
the Interim Committee without undue delay.
1. The Parties hereby agree to grant unrestricted access to
(c) Temporary suspensions under this Article shall be limited Community transit traffic through Montenegro and to Mon-
to that necessary to protect the financial interests of the tenegrintransit traffic through theCommunity with effect from
Party concerned. They shall not exceed a period of six the date of entry into force of this Agreement.
months, which may be renewed. Temporary suspensions
shall be notified immediately after their adoption to the
Interim Committee. They shall be subject to periodic 2. If,asaresultoftherightsgrantedunderparagraph1,transit
consultations within the Interim Committee in particular traffic by Community hauliers increases to such a degree as to
with a view to their termination as soon as the conditions cause or threaten to cause serious harm to road infrastructure
for their application are no longer given. and/ortrafficfluidityontheaxesdefinedintheMemorandumof
Understanding for developing a core transport infrastructure
network for South East Europe which was signed by ministers
5. At the same time as the notification to the Interim from the region, and the European Commission, in June 2004,
Committee under paragraph 4(a) of this Article, the Party and under the same circumstances problems arise on Commu-
concerned should publish a notice to importers in its Official nityterritoryclosetothebordersofMontenegro,themattershall
Journal.Thenoticetoimportersshouldindicatefor theproduct be submitted to the Interim Committee in accordance with
concerned that there is a finding, on the basis of objective Article 45 of this Agreement. The Parties may propose
information, of a failure to provide administrative cooperation exceptional temporary, non-discriminatory measures as are
and/or of irregularities or fraud. necessary to limit or mitigate such harm.
L 345/10 EN Official Journal of the European Union 28.12.2007
3. The Parties shall refrain from taking any unilateral action Article 37 (SAA Article 71)
that might lead to discrimination between Community carriers
or vehicles and carriers or vehicles from Montenegro. Each
The provisions of this Agreement shall not prejudice the
Contracting Party shall take all steps necessary to facilitate road
application by either Partyof any measure necessary to prevent
transport to or through the territory of the other Contracting
the circumvention of its measures concerning third-country
Party.
access to its market through the provisions of this Agreement.
Simplification of formalities (Protocol 4 SAA, Article 19(1)
Article 38 (SAA Article 73)
and (3))
Competition and other economic provisions
1. The Parties agree to simplify the flow of goods by rail and
road, whether bilateral or in transit. 1. Thefollowingareincompatiblewiththeproperfunctioning
of this Agreement, insofar as they may affect trade between the
Community and Montenegro:
2. ThePartiesagree,totheextentnecessary,totakejointaction
on, and to encourage, the adoption of further simplification
measures. (i) allAgreementsbetweenundertakings,decisionsbyassocia-
tions of undertakings and concerted practices between
undertakings which have as their object or effect the
prevention, restriction or distortion of competition;
Implementation (Protocol 4 SAA, Article 21(1) and (2)(d))
(ii) abusebyoneormoreundertakingsofadominantposition
Cooperation between the Parties shall be carried out within the
in the territories of the Community or Montenegro as a
frameworkofaspecialsub-committeetotheInterimCommittee
whole or in a substantial part thereof;
in accordance with Article 46 of this Agreement. It shall, in
particular, coordinate the monitoring, forecasting and other
statistical work relating to international transport and in
(iii) any State aid which distorts or threatens to distort
particular transit traffic.
competition by favouring certain undertakings or certain
products.
Article 35 (SAA Article 62)
2. Any practices contrary to this Article shall be assessed on
ThePartiesundertaketoauthorise,infreelyconvertiblecurrency, the basis of criteria arising from the application of the
in accordance with the provisions of Article VIII of the Articles competition rules applicable in the Community, in particular
of the Agreement of the International Monetary Fund, any from Articles 81, 82, 86 and 87 of the Treaty establishing the
payments and transfers on the current account of balance of EuropeanCommunity(hereinafterreferredtoas‘ECTreaty’)and
payments between the Community and Montenegro. interpretative instruments adopted by the Community institu-
tions.
Article 36 (SAA Article 69)
3. The Parties shall ensure that an operationally independent
authority is entrusted with the powers necessary for the full
1. The Parties shall endeavour wherever possible to avoid the application of paragraph 1(i) and (ii) of this Article, regarding
impositionofrestrictivemeasures,includingmeasuresrelatingto private and public undertakings and undertakings to which
imports, for balance of payments purposes. A Party adopting special rights have been granted.
suchmeasuresshallpresentassoonaspossibletotheotherParty
a timetable for their removal.
4. Montenegro shall establish an operationally independent
authority which is entrusted with the powers necessary for the
2. Where one or more Member States or Montenegro is in fullapplicationofparagraph1(iii)withinoneyearfromthedate
serious balance of payments difficulties, or under imminent of entry intoforce of this Agreement. This authority shall have,
threat thereof, the Community or Montenegro, as the case may inter alia, the powers to authorise State aid schemes and
be,may,inaccordancewiththeconditionsestablishedunderthe individual aid grants in conformity with paragraph 2, as well as
WTOAgreement,adoptrestrictivemeasures,includingmeasures the powers to order the recovery of State aid that has been
relating to imports, whichshall be of limitedduration and may unlawfully granted.
notgobeyondwhatisstrictlynecessarytoremedythebalanceof
paymentssituation.TheCommunityorMontenegro,asthecase
may be, shall inform the other Party forthwith. 5. The Communityon one side and Montenegro on the other
side shall ensure transparency in the area of State aid, interalia,
by providing to the other Parties a regular annual report, or
3. Any restrictive measures shall not apply to transfers related equivalent, following the methodology and the presentation of
to investment and in particular to the repatriation of amounts theCommunitysurveyonStateaid.UponrequestbyoneParty,
invested or reinvested or any kind of revenues stemming theotherPartyshallprovideinformationonparticularindividual
therefrom. cases of public aid.
28.12.2007 EN Official Journal of the European Union L 345/11
6. Montenegroshallestablishacomprehensiveinventoryofaid Special rights of public undertakings during the transitional
schemes instituted before the establishment of the authority period shall not include the possibility to impose quantitative
referredtoinparagraph4andshallalignsuchaidschemeswith restrictions or measures having an equivalent effect on imports
thecriteriareferredtoinparagraph2withinaperiodofnomore from the Community into Montenegro.
than 4 years from the entry into force of this Agreement.
Article 40 (SAA Article 75)
7. (a)For the purposes of applying the provisions of para-
graph 1(iii), the Parties recognise that during the first five
Intellectual, industrial and commercial property
years after the entry into force of this Agreement, any
publicaidgrantedbyMontenegroshallbeassessedtaking
intoaccountthefactthatMontenegroshallberegardedas 1. Pursuanttotheprovisionsof thisArticleandAnnexVI,the
an area identical to those areas of the Community Parties confirm the importance that they attach to ensuring
described in Article 87(3)(a) of the EC Treaty. adequateandeffectiveprotectionandenforcementofintellectual,
industrial and commercial property rights.
(b) Within four years from the entry into force of this
Agreement, Montenegro shall submit to the European 2. From entry into force of this Agreement, the Parties shall
Commission its GDP per capita figures harmonised at grant to each others companies and nationals, in respect of the
NUTSIIlevel.Theauthorityreferredtoinparagraph4and recognition and protection of intellectual, industrial and
the European Commission shall then jointly evaluate the commercial property, treatment no less favourable than that
eligibility of the regions of Montenegro as well as the granted by them to any third country under bilateral
maximum aid intensities in relation thereto in order to Agreements.
drawuptheregionalaidmaponthebasisof therelevant
Community guidelines.
3. Montenegro shall take the necessary measures in order to
guarantee no later than five years after entry into force of this
8. As appropriate,Protocol4establishes the rules onstate aid Agreement a level of protection of intellectual, industrial and
inthesteelindustry.Thisprotocolestablishestherulesapplicable commercial property rights similar to that existing in the
in the event restructuring aid is granted to the steel industry. It Community, including effective means of enforcing such rights.
would stress the exceptional character of such aid and the fact
that the aid would be limited in time and would be linked to
capacity reductions within the framework of feasibility pro- 4. Montenegroundertakestoaccede,withintheperiodreferred
grammes. above, to the multilateral conventions on intellectual, industrial
and commercial property rights referred to in Annex VI. The
Interim Committee may decide to oblige Montenegro to accede
9. Withregardto productsreferred toinChapterII ofTitle II:
to specific multilateral Conventions in this area.
(a) paragraph 1(iii) shall not apply;
5. If problems in the area of intellectual, industrial and
commercial property affecting trading conditions occur, they
(b) any practices contrary to paragraph 1(i) shall be assessed shall be referred urgently to the Interim Committee, at the
according tothe criteria established bythe Communityon request of either Party, with a view to reaching mutually
thebasisofArticles36and37oftheECTreatyandspecific satisfactory solutions.
Community instruments adopted on this basis.
Article 41 (SAA Article 76)
10. If one of the Parties considers that a particular practice is
incompatible with the terms of paragraph 1, it may take
Public procurement
appropriate measures after consultation within the Interim
Committee or after 30 working days following referral for such
consultation. 1. The Community and Montenegro consider the opening-up
of the award of public contracts on the basis of non-
discrimination and reciprocity, following in particular the
Nothing in this Article shall prejudice or affect in any way the WTO rules, to be a desirable objective.
taking, by the Community or Montenegro, of countervailing
measures in accordance with the GATT 1994 and the WTO
Agreement on Subsidies and Countervailing Measures and the 2. Montenegrin companies, whether established or not in the
respective related internal legislation. Community, shall be granted access to contract award
proceduresintheCommunitypursuanttoCommunityprocure-
mentrulesundertreatmentnolessfavourablethanthataccorded
Article 39 (SAA Article 74)
to Community companies as from the entry into force of this
Agreement.
Public undertakings
Bytheendofthethirdyearfollowingtheentryintoforceofthis Theaboveprovisionsshallalsoapplytocontractsintheutilities
Agreement, Montenegro shall apply to public undertakings and sector once the government of Montenegro has adopted the
undertakings to which special and exclusive rights have been legislation introducing the Community rules in this area. The
granted the principles set out in the EC Treaty, with particular CommunityshallexamineperiodicallywhetherMontenegrohas
reference to Article 86. indeed introduced such legislation.