any special provisions contained therein:
\n
-the arrangements applied by Bulgaria in respect of the Community shall not give rise to any discrimination between the Member States, their nationals, or their companies or firms,
\n
-the arrangements applied by the Community in respect of Bulgaria shall not give rise to any discrimination between Bulgarian nationals or its companies or firms.
\n
2.The provisions of paragraph 1 are without prejudice to the right of the Parties to apply the relevant provisions of their fiscal legislation to tax payers who are not in identical situations as regards their place of residence.
\n
Article 117Products originating in Bulgaria shall not enjoy more favourable
\n
treatment when imported into the Community than that applied by Member States among themselves.
\n
The treatment granted to Bulgaria unter Title IV and Chapter I of
\n
Title V shall not be more favourable than that accorded by Member
\n
States among themselves.
\n
Article 1181. The Parties shall take any general or specific measures required
\n
to fulfil their obligations under the Agreement. They shall see to it that the objectives set out in the Agreement are attained.
\n
2.If either Party considers that the other Party has failed to fulfil an obligation under the Agreement, it may take appropriate measures. Before so doing, except in cases of special urgency, it shall supply the Association Council with all relevant information required for a thorough examination of the situation with a view to seeking a solution acceptable to the Parties.
\n
In the selection of measures, priority must be given to those which least disturb the functioning of the Agreement. These measures shall be notified immediately to the Association Council and shall be the subject of consultations within the Association Council if the other Party so requests.
\n
Article 119This Agreement shall not, until equivalent rights for individuals
\n
and economic operators have been achieved under this Agreement, affect rights assured to them through Agreements binding one or more Member States, on the one hand, and Bulgaria, on the other, except for sectors of Community competence and without prejudice to Member States' obligations resulting from this Agreement in sectors of their competence.
\n
Article 120Protocols 1, 2, 3, 4, 5, 6, 7 and 8, and Annexes I to XVI shall form
\n
an integral part of this Agreement.
\n
Article 121
\n
This Agreement is concluded for an unlimited period.
\n
Either Party may denounce this Agreement by notifying the other Party. This Agreement shall cease to apply six months after the date of such notification.
\n
Article 122This Agreement shall apply, on the one hand, to the territories in
\n
which the Treaties establishing the European Economic Community, the European Atomic Energy Community and the European Coal and Steel Community are applied and under the conditions laid down in those Treaties and, on the other hand, to the territory of the Republic of Bulgaria.
\n
Article 123
\n
This Agreement is drawn up in duplicate in the Danish, Dutch, English, French, German, Italian, Spanish, Greek, Portuguese and Bulgarian languages, each of these texts being equally authentic.
\n
Article 124This Agreement will be approved by the Parties in accordance with
\n
their own procedures.
\n
This Agreement shall enter into force on the first day of the second month following the date on which the Parties notify each other that the procedures referred to in the first paragraph have been completed.
\n
Upon its entry into force, the Agreement shall replace the Agreement between the European Economic Community, the European Atomic Energy Community and Bulgaria on trade and economic and commercial cooperation signed in Brussels on 8 May 1990.
\n
Article 1251. In the event that, pending the completion of the procedures
\n
necessary for the entry into force of this Agreement, the provisions of certain parts of this Agreement, in particular those relating to the movement of goods, are put into effect in 1993 by means of an Interim Agreement between the Community and Bulgaria, the Contracting Parties agree that, in such circumstances for the purposes of Title III, Articles 64 and 67 of this Agreement and Protocol 1, 2, 3, 4, 5, 6 and 7 hereto, the terms 'date of entry into force of the Agreement' shall mean
\n
-the date of entry into force of the Interim Agreement in relation to obligations taking effect on that date, and
\n
-1 January 1993 in relation to obligations taking effect after the date of entry into force by reference to the date of entry into force.
\n
2.In the case of entry into force after 1 January, the provisions of Protocol 7 shall apply.
\n
En fe de lo cual, los plenipotenciarios abajo firmantes suscriben el presente acuerdo.
\n
Til bekröftelse heraf har undertegnede befuldmögtigede underskrevet denne aftale.
\n
Zur Urkund dessen haben die unterzeichneten Bevollmōchtigten ihre Unterschriften unter dieses Abkommen gesetzt.
\n
ÅłĖ ĘčėĮųė÷ Įųż ńżųĮąęų, ˙ł įĘ˙óõóęńüüąż˙ł Ęū÷ęõž˙žėł˙ł ąųõėńż ĮłĖ įĘ˙óęńŠąĖ Į˙įĖ ėĮ÷ż Ęńę˙žėń ėįüŠųżčń.
\n
In witness whereof the undersigned Plenipotentiaries have signed this Agreement.
\n
En foi de quoi, les plłnipotentiaires soussignłs ont apposł leur signatures au bas du prłsent accord.
\n
In fede di che, i plenipotenziari sottoscritti hanno apposto le loro firme in calce al presente accordo.
\n
Ten blijke waarvan de ondergetekende gevolmachtigden hun handtekening onder deze Overeenkomst hebben gesteld.
\n
Em fł do que, os plenipotencińrios abaixo assinados apuseram as suas assinaturas no final do presente acordo Hecho en Udfördiget i Geschehen zu øółżõ ėĮłĖ Done at Fait š Fatto a Gedaan te Feito em Pour le Royaume de Belgique Voor het Koninkrijk Belgiū Põ Kongeriget Danmarks vegne FŽr die Bundesrepublik Deutschland Ćłń Į÷ż Åūū÷żłśČ Ä÷ü˙śęńĮčń Por el Reino de Espaęa Pour la Rłpublique fran÷aise Thar cheann Na hÉireann For Ireland Per la Repubblica italiana Pour le Grand-Duchł de Luxembourg Voor het Koninkrijk der Nederlanden Pela RepŪblica Portuguesa For the United Kingdom of Great Britain and Northern Ireland Por el Consejo y la Comisiėn de las Comunidades Europeas For Rõdet og Kommissionen for De Europöiske Föllesskaber FŽr den Rat und die Kommission der Europōischen Gemeinschaften Ćłń Į˙ Óįüņ˙žūł˙ śńł Į÷ż ÅĘłĮę˙ĘČ Įųż ÅįęųĘńŪśžż Ź˙łż˙ĮČĮųż For the Council and the Commission of the European Communities Pour le Conseil et la Commission des Communautłs europłennes Per il Consiglio e la Commissione delle Comunitš europee Voor de Raad en de Commissie van de Europese Gemeenschappen Pelo Conselho e Pela Comissóo das Comunidades Europeias ANNEX I List of products referred to in Articles 9 and 19 of the Agreement >TABLE POSITION> ANNEX IIa List of products referred to in the first subparagraph of Article 10
\n
(2)>TABLE POSITION> ANNEX IIb List of products referred to in the second subparagraph of Article 10 (2) >TABLE POSITION> ANNEX III List of products referred to in Article 10 (3) >TABLE POSITION> ANNEX IV List of products referred to in Article 11 (1) >TABLE POSITION> ANNEX V List of products referred to in Article 11 (2) >TABLE POSITION> ANNEX VI List of products referred to in Article 11 (3) >TABLE POSITION> ANNEX VII related to the provisions of Article 11 (4) Bulgaria shall abolish by the end of the transitional period at the latest the prohibition on imports of cars at least 10 years old or older, calculated from the date of the first registration falling under the following codes of the Bulgarian Customs Tariff:
\n
8703 21 10 8703 22 10 8703 23 10 8703 24 10 8703 31 10 8703 32 10 8703 33 10 8703 90 10 ANNEX VIII related to the provisions of Article 13 Bulgaria shall abolish on its imports from the Community charges having an effect equivalent to customs duties on imports in accordance with the following timetable:
\n
-five years after the entry into force of the Agreement at the latest the 10 % import tax on imports of cars of a cylinder capacity of 2 500 and more cm3 falling within the following codes of the Bulgarian Customs Tariff:
\n
8703 23 10 8703 24 10.
\n
The tax will be progressively phased out as follows:
\n
-one year after the date of the entry into force of the Agreement the tax shall be reduced to 8 %,
\n
-three years after the entry into force of the Agreement the tax shall be reduced to 4 %,
\n
-five years after the entry into force of the Agreement the remaining tax shall be eliminated;
\n
-five years after the entry into force of the Agreement at the latest the 5 % import tax on imports of perfumery and cosmetics falling within the following codes of the Bulgarian Customs Tariff:
\n
3304 3305 3306 3307
\n
-by January 1995 at the latest the 0,5 % customs clearance fee will be transformed to reflect only the services rendered for customs clearing.
\n
ANNEX IX related to the provisions of Article 14 (3) 1. Bulgaria shall abolish at the latest by the end of the fifth year after entry into force of the Agreement the non-automatic licensing on exports of products falling under the following codes of the Bulgarian Customs Tariff:
\n
Waste and scrap of ferrous metals 7204 10 00 7204 21 00 7204 29 00 7204 30 00 7204 41 00 7204 49 00 Waste and scrap of non-ferrous metals 7404 00 00 7503 00 00 7602 00 00 7802 00 00 7902 00 00 8002 00 00 Bulgaria reserves the right within the five-year period to replace the non-automatic licensing with an export tax which will be abolished in accordance with the provisions of Article 14 (1).
\n
2.Bulgaria shall replace not later that 1 January 1994 the export ceilings on raw hides of bovine, ovine and caprine animals and pig's skins falling under the following codes of the Bulgarian Customs Tariff:
\n
4101 4102 4103 10 00 4103 90 00 4107 by export taxes which will be eliminated at the latest by the end of the fifth year after entry into force of the Agreement in accordance with the provisions of Article 14 (1).
\n
ANNEX X Goods referred to in Article 18 >TABLE POSITION> ANNEX XIa List of products referred to in Article 21 (2) (1) The products listed in this Annex will be subject to a 50 % levy reduction >TABLE POSITION>
\n
(1)Notwithstanding the rules for interpretation of the combined nomenclature, the wording for the description of the products is to be considered as having no more than an indicative value, the preferential scheme being determined within the contex t of this Annex, by the coverage of the CN codes. Where ex CN codes are indicated, the preferential scheme is to be determined by application of the CN codes and corresponding description taken together.
\n
ANNEX XIb List of products referred to in Article 21 (2) (1) >TABLE POSITION> ANNEX XIIa List of products referred to in Article 21 (3) Bulgaria shall abolish from the entry into force of the Agreement the quantitative restrictions on imports originating in the Community of the following products: import quotas for the period 1 November to 31 May for: ex 0702 00 00 greenhouse tomatoes ex 0707 00 00 greenhouse cucumbers.
\n
ANNEX XIIb List of products referred to in Article 21 (3) Products originating in the Community for which Bulgaria shall issue import licences automatically up to the quantities indicated >TABLE POSITION> Further quantities of these products originating in the Community may be imported into Bulgaria within the limits of, and under the conditions applied to, the global Bulgarian quotas for the products in question.
\n
ANNEX XIIIa List of products referred to in Article 21 (4) (1) Imports into the Community of the following products originating in Bulgaria shall be subject to the concessions set out below: the quantities imported under the CN code referred to in this Annex with the exception of codes 0104 and 0204 will be subject to levy and duty reduction of 20 % in the first year, 40 % in the second year and 60 % in the successive years. >TABLE POSITION> ANNEX XIIIb List of products referred to in Article 21 (4) (1) Imports into the Community of the following products originating in Bulgaria shall be subject to the concessions set out below: >TABLE POSITION> Annex to Annexes XIb and XIIIb Minimum import price arrangement for certain soft fruit for processing 1. Minimum import prices are fixed for each marketing year for the following products: >TABLE POSITION> The minimum import prices are fixed by the Community in consultation with Bulgaria, taking into consideration the price evolution, imported quantities and market development in the Community.
\n
2.The minimum import prices shall be respected in accordance with the following criteria:
\n
-during each three-month period of the marketing year the average unit value for each product listed in paragraph 1, imported into the Community, shall not be lower than the minimum import price for that product,
\n
-during any two-week period the average unit value for each product listed in paragraph 1, imported into the Community, shall not be lower than 90 % of the minimum import price for that product, in so far as the quantities imported during this period are not less than 4 % of normal annual imports.
\n
3.In the event of failure to observe one of these criteria, the Community may introduce measures ensuring that the minimum import price is respected for each consignment of the product concerned imported from Bulgaria.
\n
ANNEX XIVa List of products referred to in Article 21 (4) (1) The quantities imported from the Community into Bulgaria under the tariff headings of the Bulgarian Customs Tariff referred to in this Annex will be subject to reduction of the applicable duty and of charges having an equivalent effect of: - 10 % in the first year, - 20 % in the second year, and - 30 % in the successive years. >TABLE POSITION>
\n
(1)Notwithstanding the rules for the interpretation of the Bulgarian Customs Tariff (BCT), the wording for the discription of the products is to be considered as having no more than an indicative value, the preferential scheme being determined, within the context of this Annex, by the coverage of the BCT codes. Where ex BCT codes are indicated, the preferential scheme is to be determined by application of the BCT codes and corresponding description taken together.
\n
ANNEX XIVb List of products referred to in Article 21 (4) (1) The quantities imported from the Community into Bulgaria under the tariff headings of the Bulgarian Customs Tariff referred to in this Annex will be subject to reduction of the applicable duty and of charges having an equivalent effect of: - 5 % in the first year, - 10 % in the second year, and - 15 % in the successive years. >TABLE POSITION>
\n
(1)Notwithstanding the rules for the interpretation of the Bulgarian Customs Tariff (BCT), the wording for the description of the products is to be considered as having no more than an indicative value, the preferential scheme being determined, within the context of this Annex, by the coverage of the BCT codes. Where ex BCT codes are indicated, the preferential is to be determined by application of the BCT codes and corresponding description taken together.
\n
ANNEX XVa Legal acts relating to real-estate property in frontier regions in accordance with legislation in force in certain Member States of the Community ANNEX XVb Financial services Definitions:
\n
A financial service is any service of a financial nature offered by a financial service provider of a party. Financial services include the following activities:
\n
A. All insurance and insurance-related services.
\n
1.Direct insurance (including co-insurance). (i) life; (ii) non-life.
\n
2.Reinsurance and retrocession.
\n
3.Insurance intermediation, such as brokerage and agency.
\n
4.Services auxiliary to insurance, such as consultancy, actuarial, risk assessment and claim settlement services.
\n
B. Banking and other financial services (excluding insurance).
\n
1.Acceptance of deposits and other repayable funds from the public.
\n
2.Lending of all types, including, inter alia, consumer credit, mortgage credit, factoring and financing of commercial transaction.
\n
3.Financial leasing.
\n
4.All payment and money transmission services, including credit charge and debit cards, travellers cheques and bankers drafts.
\n
5.Guarantees and commitments.
\n
6.Trading for own account of customers, whether on an exchange, in an over the counter market or otherwise, the following: (a) money market instruments (cheques, bills, certificates of deposits, etc.); (b) foreign exchange; (c) derivative products including, but not limited to, futures and options; (d) exchange rates and interest rate instruments, including products such as swaps, forward rate agreements, etc.; (e) transferable securities; (f) other negotiable instruments and financial assets, including bullion.
\n
7.Participation in issues of all kinds of securities, including underwriting and placement as agent (whether publicly or privately) and provision of services related to such issues.
\n
8.Money broking.
\n
9.Asset management, such as cash or portfolio management, all forms of collective investment management, pension fund management, custodial depository and trust services.
\n
10.Settlement and clearing services for financial assets, including securities, derivative products, and other negotiable instruments.
\n
11.Advisory intermediation and other auxiliary financial services on all the activities listed in Points 1 to 10, including credit reference and analysis, investment and portfolio research and advice, advice on acquisitions and on corporate restructuring and strategy.
\n
12.Provision and transfer of financial information, and financial data processing and related software by providers of other financial services.
\n
The following activities are excluded from the definition of financial services: (a) Activities carried out by central banks or by any other public institution in pursuit of monetary and exchange rate policies. (b) Activities conducted by central banks, government agencies or departments, or public institutions, for the account or with the guarantee of the government, except when those activities may be carried out by financial service providers in competition with such public entities. (c) Activities forming part of a statutory system of social security of public retirement plans, except when those activities may be carried out by financial service providers in competition with public entities or private institutions.
\n
ANNEX XVc Sectors to be excluded from national treatment for a certain period of time I. Acquisition of participation which ensures a majority in adopting decisions or blocks the adoption of decisions in companies engaged in the activities of manufacturing or trading with weapons, munitions or military equipment, banking and insurance, prospecting, development or extraction of natural resources from the territorial sea, continental shelf or the exclusive economic zone.
\n
II. Representation at court and legal services not including legal advice in business related matters.
\n
III. Arrangement of gambling games, lotteries, etc.
\n
ANNEX XVd Excluded sectors I. Acquisition of land.
\n
II. Acquisition of dwellings save for the case where construction rights have been performed or through a procedure established by law.
\n
III. Owning real estate property in certain geographic regions as foreseen in Article 5, paragraph 3.3 of the Bulgarian Law on the economic activity of foreign persons and on the protection of foreign investments.
\n
ANNEX XVI Intellecutal property 1. Paragraph 2 of Article 67 concerns the following multilateral conventions:
\n
-Protocol relating to the Madrid Agreement concerning the international registration of marks (Madrid 1989);
\n
-International Convention for the protection of performers, producers of phonograms and broadcasting organizations (Rome, 1961);
\n
2.The Association Council may decide that paragraph 2 of Article 67 shall apply to other present or future multilateral conventions, in particular the GATT-TRIPS (trade related intellectual property right) agreement.
\n
3.The Contracting Parties confirm the importance they attach to the obligations arising from the following multilateral conventions:
\n
-Berne Convention for the protection of literary and artistic works (Paris Act, 1971);
\n
-Paris Convention for the protection of industrial property (Stockholm Act, 1967 and amended in 1979);
\n
-Madrid Agreement concerning the international registration of marks (Stockholm Act, 1967 and amended in 1979);
\n
-Budapest Treaty on the international recognition of the deposit of micro-organisms for the purposes of patent procedures (1977, modified in 1980);
\n
-Patent Cooperation Treaty (Washington 1970, amended 1979 and modified in 1984).
\n
4.Before the end of the first stage, Bulgaria shall comply in its internal legislation with the substantial provisions of the Nice Agreement concerning the international classification of goods and services for the purposes of registration of marks (Geneva 1977, amended 1979).
\n
5.For the purposes of paragraph 3 of this Annex and the provisions of Article 76, paragraph 1 referring to intellectual property, Contracting Parties shall be Bulgaria, the European Economic Community and the Member States, each in as far as they are respectively competent for matters concerning industrial, intellectual and commercial property covered by these conventions or by Article 76, paragraph 1.
\n
6.The provisions of this Annex and of the provisions of Article 76, paragraph 1 referring to intellectual property are without prejudice to the competence of the European Economic Community and its Member States in matters of industrial, intellectual and commercial property.
\n
PROTOCOL 1 on textile and clothing products
\n
Article 1This Protocol applies to the textile and clothing products
\n
(hereinafter 'textile products') defined as follows:
\n
-for quantitative purposes, textile products are those listed in Annex I to the Bilateral Agreement between the Community and Bulgaria on trade in textile products initialled on 11 July 1986 and applied provisionally since 1 January 1987, as amended by the exchange of letters initialled in Brussels on 21 November 1991 and by the exchange of letters initialled in Brussels on 18 December 1992,
\n
-for tariff purposes, textile products are those in Section XI (Chapters 50 to 63) of the combined nomenclature of the Community, and of the Bulgarian Customs Tariff respectively.
\n
Article 21. Customs duties on imports applicable in the Community to textile
\n
products falling within Section XI (Chapters 50 to 63) of the combined nomenclature and originating in Bulgaria in accordance with Protocol 4 of the Agreement shall be reduced in order to arrive at their elimination at the end of a period of six years starting from the entry into force of the Agreement, as follows:
\n
-upon entry into force of the Agreement, to five-sevenths of the basic duty,
\n
-at the start of the third year, to four-sevenths of the basic duty,
\n
-at the start of the fourth year, to three-sevenths of the basic duty,
\n
-at the start of the fifth year, to two-sevenths of the basic duty,
\n
-at the start of the sixth year, to one-seventh of the basic duty,
\n
-at the start of the seventh year the remaining duties shall be eliminated.
\n
2.Customs duties on imports applicable in Bulgaria to textile products fallin within Section XI (Chapters 50 to 63) of the Bulgarian Customs Tariff and originating in the Community in accordance with Protocol 4 of the Agreement shall be progressively eliminated as provided for in Article 11 of the Agreement.
\n
3.The customs duties applicable to compensating poducts imported into the Community which originate in Bulgaria within the meaning of Protocol 4 of the Agreement, and which result from operations in Bulgaria in accordance with Council Regulation (EEC) No 636/82, shall be eliminated on the date of the entry into force of the Agreement.
\n
4.The provisions of Articles 12 and 13 of the Agreement shall apply to trade in textile products between the Parties.
\n
Article 31. From the date of the entry into force of the Agreement until the
\n
entry into force of the Protocol referred to in paragraph 2 below, the quantitative arrangements and other related issues regarding exports of textile products originating in Bulgaria to the Community shall continue to be governed by the Bilateral Agreement on trade in textile products between the Community and Bulgaria, initialled on 11 July 1986 and applied provisionally since 1 January 1987, as amended by the exchange of letters initialled in Brussels on 21 November 1991 and by the exchange of letters initialled in Brussels on 18 December 1992. The Parties agree to amend as necessary the aforementioned Bilateral Agreement on trade in textile products to take account of the Community's policy on textiles after 1 January 1993.
\n
The Parties agree that, as regards exports to the Community of textiles products originating in Bulgaria, Article 26 (2) and Article 31 of the Agreement shall not apply during the period of application of the aforementioned Bilateral Agreement on trade in textile products.
\n
2.Bulgaria and the Community hereby undertake to negotiate a new Protocol on quantitative arrangements and other related issues on their trade in textile products as soon as possible, taking into account the future regime governing international trade in textile products under discussion in the multilateral negotiations in Geneva. The modalities and period during which non-tariff barriers shall be eliminated will be determined in the new Protocol. The period shall be equal to half the integration period to be decided in the Uruguay Round negotiations starting from 1 January 1994 and it shall not be shorter than five years starting from 1 January 1993 or from the entry into force of the Agreement, if later. The new Protocol shall follow on the expiration of the agreement on textile products referred to in paragraph 1 above.
\n
3.Taking into account the development of textile trade between the Parties, the degree of access of textile exports originating in the Community to Bulgaria and the results of the multilateral trade negotiations of the Uruguay Round, provision will be made in the new Protocol for a substantial improvement of the regime applied to imports into the Community regarding import levels, growth rates, flexibility for quantitative limitations and elimination of certain quantitative limitations after a case-by-case examination.
\n
Notwithstanding Article 26 (2) and Article 31 of the Agreement, provision for a specific textiles safeguard mechanism shall also be made in the new Protocol. Such a mechanism shall not be globally more restrictive than the safeguard mechanism provided for in the textile Agreement referred to in paragraph 1 above.
\n
4.Quantitative restrictions and measures of equivalent effect on imports of Community textile products into Bulgaria shall be abolished over the same period as is envisaged for the elimination of quantitative restrictions and measures of equivalent effect on imports of Bulgarian textile products into the Community.
\n
Article 4From the entry into force of the Agreement, no new quantitative
\n
restrictions or measures having equivalent effect shall be imposed except as provided for under the Agreement and its Protocols. In no case shall non-tariff barriers be applied in trade in textile products between the Community and Bulgaria after the transitional period provided for in Article 7 of the Agreement.
\n
PROTOCOL 2 on ECSC products
\n
Article 1This Protocol applies to products listed in Annex I to this
\n
Protocol.
\n
CHAPTER I ECSC steel products
\n
Article 2Customs duties on imports applicable in the Community on ECSC steel
\n
products originating in Bulgaria shall be progressively abolished in accordance with the following timetable:
\n
1.each duty shall be reduced to 80 % of the basic duty on the date of entry into force of the Agreement;
\n
2.further reductions to 60, 40, 20 and 0 % of the basic duty shall be made at the beginning of the second, third, fourth and fifth years respectively after the entry into force of the Agreement.
\n
Article 31. Customs duties on imports applicable in Bulgaria to ECSC steel
\n
products originating in the Community which are listed in Annex II to this Protocol shall be abolished on the date of entry into force of the Agreement.
\n
2.Customs duties on imports applicable in Bulgaria to ECSC steel products originating in the Community which are listed in Annex III to this Protocol shall be progressively reduced in accordance with the following timetable:
\n
-one year after the entry into force of the Agreement, each duty shall be reduced to 80 % of the basic duty,
\n
-three years after the entry into force of the Agreement, each duty shall be reduced to 40 % of the basic duty,
\n
-five years after the entry into force of the Agreement the remaining duties shall be eliminated.
\n
3.Customs duties on imports applicable in Bulgaria to ECSC steel products originating in the Community which are listed in Annex IV to this Protocol shall be progressively reduced in accordance with the following timetable:
\n
-three years after the entry into force of the Agreement, each duty shall be reduced to 80 % of the basic duty,
\n
-five years after the entry into force of the Agreement, each duty shall be reduced to 60 % of the basic duty,
\n
-six years after the entry into force of the Agreement, each duty shall be reduced to 45 % of the basic duty,
\n
-seven years after the entry into force of the Agreement, each duty shall be reduced to 30 % of the basic duty,
\n
-eight years after the entry into force of the Agreement, each duty shall be reduced to 15 % of the basic duty,
\n
-nine years after the entry into force of the Agreement the remaining duties shall be eliminated.
\n
Article 41. Quantitative restrictions and measures having equivalent effect
\n
on imports into the Community of ECSC steel products originating in Bulgaria shall be abolished on the date of the entry into force of the Agreement.
\n
2.Quantitative restrictions and measures of equivalent effect on imports into Bulgaria of ECSC steel products originating in the Community shall be abolished on the date of the entry into force of the Agreement.
\n
Article 5If, during a period equal to the derogation for subsidies pursuant
\n
to Article 9 (4) and given the particular sensitivity of the steel markets, imports of specific steel products originating in one Party cause or threaten to cause serious injury to domestic producers of like products or serious disturbances to the steel markets of the other Party, both Parties shall enter into consultations immediately to find an appropriate solution. Pending such a solution and notwithstanding other provisions of the Agreement and in particular Articles 31 and 34, when exceptional circumstances require immediate action, the importing Party may adopt forthwith quantitative or other solutions strictly necessary to deal with the situation, in accordance with its international and multilateral obligations.
\n
CHAPTER II ECSC coal products
\n
Article 6Customs duties on imports applicable in the Community on ECSC coal
\n
products originating in Bulgaria shall be progressively abolished in accordance with the following timetable:
\n
1.on 1 January 1994 each duty shall be reduced to 50 % of the basic duty;
\n
2.on 31 December 1995 the remaining duties shall be eliminated.
\n
Article 7Customs duties on imports applicable in Bulgaria to ECSC coal
\n
products originating in the Community shall be progressively abolished as provided for in Article 11 of the Agreement:
\n
-for products listed in Annex II to this Protocol customs duties shall be abolished on the date of entry into force of the Agreement,
\n
-for products listed in Annex IV to this Protocol customs duties shall be progressively reduced in accordance with Article 11 (3) of the Agreement.
\n
Article 81. Quantitative restrictions and measures having equivalent effect
\n
applicable in the Community to ECSC coal products originating in Bulgaria shall be abolished at the latest one year after the entry into force of the Agreement, with the exception of those concerning the products and the regions described in Annex V, which shall be abolished at the latest four years after the entry into force of the Agreement.
\n
2.Quantitative restrictions and measures having equivalent effect on imports applicable in Bulgaria to ECSC coal products originating in the Community shall be abolished upon entry into force of the Agreement.
\n
CHAPTER III Common provisions
\n
Article 91. The following are incompatible with the proper functioning of the
\n
Agreement, in so far as they may affect trade between the Community and Bulgaria: (i) all agreements of cooperative or concentrative nature between undertakings, decisions by associations of undertakings and concerted practices between undertakings which have as their object or effect the prevention, restriction or distortion of competition; (ii) abuse by one or more undertakings of a dominant position in the territories of the Community or of Bulgaria as a whole or in a substantial part thereof; (iii) public aid in any form whatsoever except derogations allowed pursuant to the ECSC Treaty.
\n
2.Any practices contrary to this Article should be assessed on the basis of criteria arising from the application of the rules of Articles 65 and 66 of the Treaty establishing the ECSC, of Articles 85 and 86 of the Treaty establishing the EEC and the rules on State aids, including the secondary legislation.
\n
3.The Association Council shall, within three years of the entry into force of the Agreement, adopt the necessary rules for the implementation of paragraphs 1 and 2.
\n
4.The Contracting Parties recognize that during the first five years after the entry into force of the Agreement, and by derogation from paragraph 1 (iii) of this Article, Bulgaria may exceptionally, as regards ECSC steel products, grant public aid for restructuring purposes, provided that:
\n
-it leads to the viability of the benefiting firms under normal market conditions at the end of the restructuring period,
\n
-the amount and intensity of such aid are strictly limited to what is absolutely necessary in order to restore such viability and are progressively reduced,
\n
-the restructuring programme is linked to a global rationalizing and reduction of overall production capacity in Bulgaria.
\n
5.Each Party shall ensure transparency in the area of public aid by a full and continuous exchange of information to the other Party, including amount, intensity and purpose of the aid and detailed restructuring plan.
\n
6.If the Community or Bulgaria considers that a particular practice is incompatible with the terms of paragraph 1 as amended by paragraph 4 of this Article, and
\n
-is not adequately dealt with under the implementing rules referred to in paragraph 3, or
\n
-in the absence of such rules and if such practice causes or threatens to cause prejudice to the interests of the other Party or material injury to its domestic industry, the affected Party may take appropriate measures if no solution is found within 30 days of the day the official request was introduced.
\n
In the case of practices incompatible with paragraph 1 (iii) of this Article, such appropriate measures may only cover measures adopted in conformity with the procedures and under the conditions laid down by the General Agreement on Tariffs and Trade and any other relevant instrument negotiated under its auspices which are applicable between the Parties.
\n
Article 10The provisions of Articles 12, 13 and 14 of the Agreement shall
\n
apply to trade between the partners in ECSC products.
\n
Article 11The Parties agree that one of the special bodies established by the
\n
Association Council shall be a Contact Group which will discuss the implementation of this Protocol.
\n
ANNEX I List of ECSC coal and steel products 2601 11 00 2601 12 00 2602 00 00 2619 00 10 2701 11 00 2701 11 90 2701 12 10 2701 12 90 2701 19 00 2701 20 00 2702 10 00 2702 20 00 2704 00 19 2704 00 30 7201 10 11 7201 10 19 7201 10 30 7201 10 90 7201 20 00 7201 30 10 7201 30 90 7201 40 00 7202 11 20 7202 11 80 7202 99 11 7203 10 00 7203 90 00 7204 10 00 7204 21 00 7204 29 00 7204 30 00 7204 41 10 7204 41 91 7204 41 99 7204 49 10 7204 49 30 7204 49 91 7204 49 99 7204 50 10 7204 50 90 7206 10 00 7206 90 00 7207 11 11 7207 11 19 7207 12 11 7207 12 19 7207 19 11 7207 19 15 7207 19 31 7207 20 11 7207 20 15 7207 20 17 7207 20 31 7207 20 33 7207 20 51 7207 20 55 7207 20 57 7207 20 71 7208 11 00 7208 12 10 7208 12 91 7208 12 95 7208 12 98 7208 13 10 7208 13 91 7208 13 95 7208 13 98 7208 14 10 7208 14 91 7208 14 99 7208 21 10 7208 21 90 7208 22 10 7208 22 91 7208 22 95 7208 22 98 7208 23 10 7208 23 91 7208 23 95 7208 23 98 7208 24 10 7208 24 91 7208 24 99 7208 31 00 7208 32 10 7208 32 30 7208 32 51 7208 32 59 7208 32 91 7208 32 99 7208 33 10 7208 33 91 7208 33 99 7208 34 10 7208 34 90 7208 35 10 7208 35 90 7208 41 00 7208 42 10 7208 42 30 7208 42 51 7208 42 59 7208 42 91 7208 42 99 7208 43 10 7208 43 91 7208 43 99 7208 44 10 7208 44 90 7208 45 10 7208 45 90 7208 90 10 7209 11 00 7209 12 10 7209 12 90 7209 13 10 7209 13 90 7209 14 10 7209 14 90 7209 21 00 7209 22 10 7209 22 90 7209 23 10 7209 23 90 7209 24 10 7209 24 91 7209 24 99 7209 31 00 7209 32 10 7209 32 90 7209 33 10 7209 33 90 7209 34 10 7209 34 90 7209 41 00 7209 42 10 7209 42 90 7209 43 10 7209 43 90 7209 44 10 7209 44 90 7209 90 10 7210 11 10 7210 12 11 7210 12 19 7210 20 10 7210 31 10 7210 39 10 7210 41 10 7210 49 10 7210 50 10 7210 60 11 7210 60 19 7210 70 31 7210 70 39 7210 90 31 7210 90 33 7210 90 35 7210 90 39 7210 90 90 7211 11 00 7211 12 10 7211 12 90 7211 19 10 7211 19 91 7211 19 99 7211 21 00 7211 22 10 7211 22 90 7211 29 10 7211 29 91 7211 29 99 7211 30 10 7211 41 10 7211 41 91 7211 49 10 7211 90 11 7212 10 10 7212 10 91 7212 21 00 7212 29 11 7212 30 11 7212 40 10 7212 40 91 7212 50 31 7212 50 51 7212 60 11 7212 60 91 7213 10 00 7213 20 00 7213 31 00 7213 39 00 7213 41 00 7213 49 00 7213 50 10 7213 50 90 7214 20 00 7214 30 00 7214 40 10 7214 40 91 7214 40 99 7214 50 10 7214 50 91 7214 50 99 7214 60 00 7215 90 10 7216 10 00 7216 21 00 7216 22 00 7216 31 11 7216 31 19 7216 31 91 7216 31 99 7216 32 11 7216 32 19 7216 32 91 7216 32 99 7216 33 10 7216 33 90 7216 40 10 7216 40 90 7216 50 10 7216 50 90 7216 90 10 7218 10 00 7218 90 11 7218 90 13 7218 90 15 7218 90 19 7218 90 50 7219 11 10 7219 11 90 7219 12 10 7219 12 90 7219 13 10 7219 13 90 7219 14 10 7219 14 90 7219 21 11 7219 21 19 7219 21 90 7219 22 10 7219 22 90 7219 23 10 7219 23 90 7219 24 10
\n
7219 24 90 7219 31 10 7219 31 90 7219 32 10 7219 32 90 7219 33 10 7219 33 90 7219 34 10 7219 34 90 7219 35 10 7219 35 90 7219 90 11 7219 90 19 7220 11 00 7220 12 00 7220 20 10 7220 90 11 7220 90 31 7221 00 10 7221 00 90 7222 10 11 7222 10 19 7222 10 51 7222 10 59 7222 10 99 7222 30 10 7222 40 11 7222 40 19 7222 40 30 7224 10 00 7224 90 01 7224 90 09 7224 90 15 7224 90 30 7225 10 10 7225 10 91 7225 10 99 7225 20 10 7225 20 30 7225 30 00 7225 40 10 7225 40 30 7225 40 50 7225 40 70 7225 40 90 7225 50 10 7225 50 90 7225 90 10 7226 10 10 7226 10 30 7226 20 10 7226 20 31 7226 20 51 7226 20 71 7226 91 10 7226 91 90 7226 92 10 7226 99 11 7226 99 31 7227 10 00 7227 20 00 7227 90 10 7227 90 30 7227 90 80 7228 10 10 7228 10 30 7228 20 11 7228 20 19 7228 20 30 7228 30 10 7228 30 30 7228 30 80 7228 60 10 7228 70 10 7228 70 31 7228 80 10 7228 80 90 7301 10 00 7302 10 31 7302 10 39 7302 10 90 7302 20 00 7302 40 10 7302 90 10 ANNEX II List of ECSC coal and steel products referred to in Article 3 (1) and Article 7 of Protocol 2 > TABLE POSITION> ANNEX III List of ECSC coal and steel products, referred to in Article 3 (2) of Protocol 2 >TABLE POSITION> ANNEX IV List of ECSC coal and steel products, referred to in Articles 3 (3) and 7 of Protocol 2 >TABLE POSITION> ANNEX V Products and regions referred to as exceptions in Article 8 of Protocol 2 Products 2601 11 00 2601 12 00 2602 00 00 2619 00 10 2701 11 00 2701 11 90 2701 12 10 2701 12 90 2701 19 00 2701 20 00 2702 10 00 2702 20 00 2704 00 19 2704 00 30 Regions All regions of:
\n
-the Federal Republic of Germany,
\n
-the Kingdom of Spain.
\n
PROTOCOL 3 on trade between Bulgaria and the Community in processed agricultural products not covered by Annex II to the EEC Treaty
\n
Article 11. The Community shall grant the tariff concessions referred to in
\n
Annex I for processed agricultural products originating in Bulgaria.
\n
In the case of the goods referred to in Annex II, however, reductions of the variable components shall be granted within the quantity limits established by the Community.
\n
2.During 1996, Bulgaria shall grant tariff concessions determined in accordance with this Protocol for the processed agricultural products referred to in Annex III.
\n
3.The Association Council may:
\n
-add to the list of processed agricultural products referred to in this Protocol,
\n
-increase the quantities of processed agricultural products eligible for the tariff concessions established by this Protocol.
\n
4.The Association Council may replace the concessions referred to in paragraph 1 with a system of compensatory amounts with no quantity limits, established on the basis of the differences found between the prices on the Community and Bulgarian markets of the agricultural products actually used to produce the processed agricultural products covered by this Protocol. The Association Council shall draw up a list of the products to which the compensatory amounts are applicable and a list of basic products. It shall adopt general implementing rules to that end.
\n
Article 2For the purposes of the Articles which follow, the definitions given
\n
below shall apply:
\n
-'goods': the processed agricultural products referred to in this Protocol,
\n
-'agricultural component of the levy or duty': the part of the levy or duty corresponding to the quantity of agricultural products incorporated into the processed product and deducted from the levy or duty applicable when such agricultural products are imported unprocessed,
\n
-'non-agricultural component of the levy or duty': the part of the levy or duty remaining when the agricultural component is deducted from the total levy or duty,
\n
-'basic products': the agricultural products considered as having been used in the production of goods within the meaning of Regulation (EEC) No 3033/80,
\n
-'base quantity': the quantity of a basic product calculated in the manner stipulated in Article 6 of Regulation (EEC) No 3033/80 and which is used to determine the variable component applicable to goods of a given type, in accordance with the terms of the same Regulation.
\n
Article 31. From the date this Agreement enters into force, the Community
\n
shall phase out the non-agricultural component of the duty in accordance with the timetable set out in Annex I. Where appropriate, there shall be no quantity limit.
\n
2.The Community applies to imports from Bulgaria an agricultural component calculated on the basis below: (a) for the goods for which Annex I stipulates a variable component (MOB), the latter shall be identical to that applying in the case of third countries; (b) for the goods for which Annex I stipulates a reduced variable component (MOBR), the level of the latter shall be calculated by reducing the base quantities of the basic products for which a levy reduction is granted by 20 % in 1993, 40 % in 1994 and 60 % from 1995. In the case of other basic products, the corresponding reductions, for the same years, shall be 10, 20 and 30 %.
\n
This reduction of the variable component shall be granted within the limits of the tariff quotas established in Annex II. For the quantities in excess of those quotas, the variable component applying to all third countries shall be restored.
\n
3.In accordance with the procedure described in Article 1 (3), the variable components of goods, which are or will be included in Annex I, shall be replaced by reduced variable components if they are applied and in conformity with paragraph 2, if those goods are added to Annex III.
\n
Article 41. Bulgaria shall reduce progressively its import duties on the
\n
goods listed in Annex III in accordance with a timetable established by the Association Council. Those reductions shall be initiated in 1996 and be completed by 1 January 2000.
\n
2.From the time at which the Agreement enters into force until 31 December 1996, Bulgaria shall apply to the goods referred to in Annex III the rates of duty in force on 28 February 1993. However, if reform of the Bulgarian agricultural policy causes the agricultural component of the duty to increase, Bulgaria shall inform the Association Council accordingly, which may agree to an increase in the rate of duty concerned which corresponds to the size of the agricultural component.
\n
3.The duties applicable from 1 January 2000 may not exceed the equivalence of the duties applicable to the agricultural products incorporated in those goods in respect of the quantities of those agricultural products needed for the processing of the goods.
\n
Article 5The reduction of the variable components referred to in Article 3
\n
shall apply only from 1 May 1993.
\n
ANNEX I Import duties applicable in the Community to goods originating in Bulgaria > TABLE POSITION> ANNEX II Quotas applicable to goods originating in Bulgaria on import into the Community >TABLE POSITION> ANNEX III 1302 12 00 1505 90 00 1518 00 39 1518 00 90 1519 11 00 1519 12 00 1519 19 10 1520 90 00 1704 10 11 1704 10 19 1704 10 91 1704 10 99 1805 00 00 1806 20 10 1806 31 00 1806 32 10 1806 32 90 1806 90 11 1806 90 19 1806 90 31 1806 90 39 1806 90 50 1806 90 60 1806 90 70 1806 90 90 1901 10 00 1901 90 90 1902 19 11 1902 19 90 1904 10 10 1904 10 30 1904 10 90 1905 30 11 1905 30 19 1905 30 30 1905 30 51 1905 30 59 1905 30 91 1905 30 99 1905 90 10 1905 90 20 1905 90 30 1905 90 40 1905 90 45 1905 90 55 1905 90 60 1905 90 90 2101 10 11 2101 10 99 2102 10 31 2102 10 39 2102 20 11 2102 20 19 2102 30 00 2103 20 00 2103 90 90 2105 00 10 2105 00 91 2105 00 99 2106 10 10 2106 10 90 2106 90 91 2106 90 99 2201 90 00 2202 90 10 2202 90 91 2202 90 95 2202 90 99 2203 00 10 2203 00 90 2205 10 10 2205 10 90 PROTOCOL 4 concerning the definition of the concept of originating products and methods of administrative cooperation
\n
TITLE I DEFINITION OF THE CONCEPT OF ORIGINATING PRODUCTS
\n
Article 1Origin Criteria
\n
For the purpose of implementing the Agreement, and without prejudice to the provisions of Article 2 of this Protocol, the following products shall be considered as:
\n
1.products originating in the Community: (a) products wholly obtained in the Community, within the meaning of Article 3; (b) products obtained in the Community in the manufacture of which products other than those referred to in (a) are used, provided that the said products have undergone sufficient working or processing within the meaning of Article 4;
\n
2.products originating in Bulgaria: (a) products wholly obtained in Bulgaria, within the meaning of Article 3; (b) products obtained in Bulgaria in the manufacture of which products other than those referred to in (a) are used, provided that the said products have undergone sufficient working or processing within the meaning of Article 4.
\n
Article 2Bilateral cumulation
\n
1.Notwithstanding Article 1 (1) (b), materials originating in Bulgaria within the meaning of this Protocol shall be considered as materials originating in the Community and it shall not be necessary that such materials have undergone sufficient working or processing there, provided, however, that they have undergone working or processing going beyond that described in Article 4 (3) of this Protocol.
\n
2.Notwithstanding Article 1 (2) (b), materials originating in the Community within the meaning of this Protocol shall be considered as originating in Bulgaria and it shall not be necessary that such materials have undergone sufficient working or processing there, provided, however, that they have undergone working or processing going beyond that described in Article 4 (3) of this Protocol.
\n
Article 3Wholly obtained products
\n
1.Within the meaning of Article 1 (1) (a) and (2) (a), the following shall be considered as wholly obtained either in the Community or in Bulgaria: (a) mineral products extracted from their soil or from their seabed; (b) vegetable products harvested there; (c) live animals born and raised there; (d) products from live animals raised there; (e) products obtained by hunting or fishing conducted there; (f) products of sea fishing and other products taken from the sea by their vessels; (g) products made aboard their factory ships exclusively from products referred to in subparagraph (f); (h) used articles collected there fit only for the recovery of raw materials; (i) waste and scrap resulting from manufacturing operations conducted there; (j) goods produced there exclusively from the products specified in subparagraphs (a) to (i).
\n
2.The term 'their vessels' in paragraph 1 (f) shall apply only to vessels:
\n
-which are registered or recorded in Bulgaria or in a Member State of the Community,
\n
-which sail under the flag of Bulgaria or of a Member State of the Community,
\n
-which are owned to an extent of at least 50 % by nationals of Bulgaria or of Member States of the Community, or by a company with its head office in one of these States or in Bulgaria, of which the manager or managers, chairman of the board of directors or the supervisory board, and the majority of the members of such boards are nationals of Bulgaria or of Member States of the Community and of which, in addition, in the case of partnerships or limited companies, at least half the capital belongs to these States, to Bulgaria, to their public bodies or to their nationals,
\n
-of which the master and officers are nationals of Bulgaria or of Member States of the Community,
\n
-of which at least 75 % of the crew are nationals of Bulgaria or of Member States of the Community.
\n
3.The terms 'Bulgaria' and 'the Community' shall also cover the territorial waters which surround Bulgaria and the Member States of the Community.
\n
Sea-going vessels, including factory ships on which the fish caught is worked or processed, shall be considered as part of the territory of the Community or of Bulgaria provided that they satisfy the conditions set out in paragraph 2.
\n
Article 4Sufficiently processed products
\n
1.For the purposes of Article 1, non-originating materials are considered to be sufficiently worked or processed when the product obtained is classified in a heading which is different from that in which all the non-originating materials used in its manufacture are classified, subject to paragraphs 2 and 3.
\n
The expressions 'chapters' and 'headings' used in this Protocol shall mean the chapters and the headings (four-digit codes) used in the nomenclature which makes up the Harmonized Commodity Description and Coding System (hereinafter referred to as the 'Harmonized System' or HS). The expression 'classified' shall refer to the classification of a product or material under a particular heading.
\n
2.For a product mentioned in columns 1 and 2 of the list in Annex II, the conditions set out in column 3 for the product concerned must be fulfilled instead of the rule in paragraph 1. (a) Where in the list in Annex II a percentage rule is applied in determining the originating status of a product obtained in the Community or in Bulgaria, the value added by the working or processing shall correspond to the ex works price of the product obtained, less the value of third-country materials imported into the Community or Bulgaria. (b) The term 'value' in the list in Annex II shall mean the customs value at the time of the import of the non-originating materials used or, if this is not known and cannot be ascertained, the first ascertainable price paid for these materials in the territory concerned.
\n
Where the value of the originating materials used needs to be established, the provisions of the above subparagraph shall be applied mutatis mutandis. (c) The term 'ex works price' in the list in Annex II shall mean the price paid for the product obtained to the manufacturer in whose undertaking the last working or processing is carried out, provided the price includes the value of all the materials used in manufacture, minus any internal taxes which are, or may be, repaid when the product obtained is exported. (d) 'Customs value' shall be understood as the value determined in accordance with the Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade, established in Geneva on 12 April 1979.
\n
3.For the purpose of implementing paragraphs 1 and 2, the following shall be considered as insufficient working or processing to confer the status of originating products, whether or not there is a change of heading: (a) operations to ensure the preservation of products in good condition during transport and storage (ventilation, spreading out, drying, chilling, placing in salt, sulphur dioxide or other aqueous solutions, removal of damaged parts, and like operations); (b) simple operations consisting of removal of dust, sifting or screening, sorting, classifying, matching (including the making-up of sets of articles), washing, painting, cutting up; (c) (i) changes of packaging and breaking up and assembly of consignments; (ii) simple placing in bottles, flasks, bags, cases, boxes, fixing on cards or boards etc., and all other simple packaging operations; (d) affixing marks, labels and other like distinguishing signs on products or their packaging; (e) simple mixing of products, whether or not of different kinds, where one or more components of the mixture do not meet the conditions laid down in this Protocol to enable them to be considered as originating either in the Community or in Bulgaria; (f) simple assembly of parts of articles to constitute a complete article; (g) a combination of two or more operations specified in subparagraphs (a) to (f); (h) slaughter of animals.
\n
Article 5Neutral elements
\n
In order to determine whether a product originates in the Community or in Bulgaria, it shall not be necessary to establish the origin of electrical power, fuel, plant and equipment and machines and tools used to obtain such product nor of materials which do not enter into their final composition.
\n
Article 6Accessories, spare parts and tools
\n
Accessories, spare parts and tools dispatched with a piece of equipment, machine, apparatus or vehicle which are part of the normal equipment and included in the price thereof or are not separately invoiced are regarded as one with the piece of equipment, machine, apparatus or vehicle in question.
\n
Article 7Sets
\n
Sets, as defined in General Rule 3 of the Harmonized System, shall be regarded as originating when all component articles are originating products. Nevertheless, when a set is composed of originating and non-originating articles, the set as a whole shall be regarded as originating provided that the value of the non-originating articles does not exceed 15 % of ex works price of the set.
\n
Article 8Direct transport
\n
1.The preferential treatment provided for under this Agreement applies only to products or materials which are transported between the territories of the Community and of Bulgaria without entering any other territory. However, goods originating in Bulgaria or in the Community and constituting one single consignment which is not split up may be transported through territory other than that of the Community or Bulgaria, with, should the occasion arise, transhipment or temporary warehousing in such territory, provided that the goods have remained under the surveillance of the customs authorities in the country of transit or of warehousing and that they have not undergone operations other than unloading, reloading or any operation designed to preserve them in good condition.
\n
2.Evidence that the conditions referred to in paragraph 1 have been fulfilled shall be supplied to the responsible customs authorities by the production of: (a) a single transport document issued in the exporting country covering the passage through the country of transit; (b) or a certificate issued by the customs authorities of the country of transit:
\n
-giving an exact description of the goods,
\n
-stating the dates of unloading and reloading of the goods or of the embarkation or disembarkation, identifying the ships or other means of transport used, and
\n
-certifying the conditions under which the goods remained in the transit country; (c) or failing these, any substantiating documents.
\n
Article 9Territorial requirement
\n
The conditions set out in this Title relative to the acquisition of originating status must be fulfilled without interruption in the Community or in Bulgaria except as provided for in Article 2.
\n
If originating products exported from the Community or Bulgaria to another country are returned, except in so far as provided for in Article 2, they must be considered as non-originating unless it can be demonstrated to the satisfaction of the customs authorities that:
\n
-the goods returned are the same goods as those exported, and
\n
-they have not undergone any operation beyond that necessary to preserve them in good condition while in that country.
\n
TITLE II PROOF OF ORIGIN
\n
Article 10Movement certificate EUR.1
\n
Evidence of originating status of products, within the meaning of this Protocol, shall be given by a movement certificate EUR.1, a specimen of which appears in Annex III to this Protocol.
\n
Article 11Normal procedure for the issue of certificates
\n
1.A movement certificate EUR.1 shall be issued only on application having been made in writing by the exporter or, under the exporter's responsibility, by his authorized representative. Such application shall be made on a form, a specimen of which appears in Annex III to this Protocol, which shall be completed in accordance with this Protocol.
\n
Applications for movement certificates EUR.1 must be preserved for at least two years by the customs authorities of the exporting State.
\n
2.The exporter or his representative shall submit with his request any appropriate supporting document proving that the products to be exported are such as to qualify for the issue of a movement certificate EUR.1.
\n
He shall undertake to submit, at the request of the appropriate authorities, any supplementary evidence they may require for the purpose of establishing the correctness of the originating status of the products eligible for preferential treatment and shall undertake to agree to any inspection of his accounts and to any check on the processes of the obtaining of the above products carried out by the said authorities.
\n
Exporters must keep for at least two years the supporting documents referred to in this paragraph.
\n
3.A movement certificate EUR.1 may be issued only where it can serve as the documentary evidence required for the purpose of implementing the agreement.
\n
4.The movement certificate EUR.1 shall be issued by the customs authorities of a Member State of the European Economic Community if the goods to be exported can be considered as products originating in the Community within the meaning of Article 1 (1) of this Protocol. The movement certificate EUR.1 shall be issued by the customs authorities of Bulgaria if the goods to be exported can be considered as products originating in Bulgaria within the meaning of Article 1 (2) of this Protocol.
\n
5.Where the cumulation provisions of Article 2 are applied, the customs authorities of the Member States of the Community or of Bulgaria may issue movement certificates EUR.1 under the conditions laid down in this Protocol if the goods to be exported can be considered as products originating in the Community or Bulgaria within the meaning of this Protocol and provided that the goods covered by the movement certificates EUR.1 are in the Community or in Bulgaria.
\n
In these cases, the movement certificates EUR.1 shall be issued subject to the presentation of the proof of origin previously issued or made out. This proof of origin must be kept for at least two years by the customs authorities of the exporting State.
\n
6.Since the movement certificate EUR.1 constitutes the documentary evidence for the application of the preferential tariff arrangements laid down in the Agreement, it shall be the responsibility of the customs authorities of the exporting country to take any steps necessary to verify the origin of the goods and to check the other statements on the certificate.
\n
7.For the purpose of verifying whether the conditions for issuing EUR.1 certificates have been met, the customs authorities shall have the right to call for any documentary evidence or to carry out any check which they consider appropriate.
\n
8.It shall be the responsibility of the customs authorities of the exporting State to ensure that the forms referred to in paragraph 1 are duly completed. In particular, they shall check whether the space reserved for the description of the products has been completed in such a manner as to exclude all possibility of fraudulent additions. To this end, the description of the products must be indicated without leaving any blank lines. Where the space is not completely filled a horizontal line must be drawn below the last line of the description, the empty space being crossed through.
\n
9.The date of issue of the movement certificate must be indicated in the part of the certificate reserved for the customs authorities.
\n
10.A movement certificate EUR.1 shall be issued by the customs authorities of the exporting State when the products to which it relates are exported. It shall be made available to the exporter as soon as actual export has been effected or ensured.
\n
Article 12Long-term certificates EUR.1
\n
1.Notwithstanding the provisions of Article 11 (10), a movement certificate EUR.1 may be issued by the customs authorities of the exporting State when only part of the products to which it relates are exported, in the case of a certificate covering a series of exportations of the same products from the same exporter to the same importer, over a maximum period of one year from the date of issue, hereinafter referred to as an 'LT certificate'.
\n
2.LT certificates shall be issued, in accordance with the provisions of Article 11, at the discretion of the customs authorities of the exporting State and according to their own judgment of the need for this procedure, only where the originating status of the goods to be exported is expected to remain unchanged for the period of validity of the LT certificate. If any goods are no longer covered by the LT certificate, the exporter shall immediately inform the customs authorities who issued the certificate.
\n
3.Where the LT certificate procedure applies, the customs authorities of the exporting State may prescribe the use of EUR.1 certificates bearing a distinctive sign by which they may be identified.
\n
4.Box 11 'Customs endorsement' of the EUR.1 certificate must be endorsed as usual by the customs authorities of the exporting State.
\n
5.One of the following phrases shall be entered in box 7 of the EUR.1 certificate: 'CERTIFICADO LT VĮLIDO HASTA EL . . .' 'LT-CERTIFICAT GYLDIGT INDTIL . . .' 'LT-CERTIFICATE GĄLTIG BIS . . .' 'ŠÉÓŌĻŠĻÉĒŌÉŹĻ LT ÉÓ×ÕĻĶ ĢÅ×ŃÉ . . .' 'LT -CERTIFICATE VALID UNTIL . . .' 'CERTIFICAT LT VALABLE JUSQU'AU . . .' 'CERTIFICATO LT VALIDO FINO AL . . .' 'LT-CERTIFICAAT GELDIG TOT EN MET . . .' 'LT-CERTIFICADO VALIDO ATÉ . . .' 'LT-CERTIFICAT VALIDEN DO . . .' (date indicated in Arabic numerals).
\n
6.Reference is not required in box 8 and box 9 of the LT certificate to the marks and numbers and number and kind of packages and the gross weight (kg) or other measures (litres, m3, etc.). Box 8 msut, however, contain a description and designation of the goods which is sufficiently precise to allow for their identification.
\n
7.Notwithstanding Article 17, the LT certificate must be submitted to the customs office of import at or before the first importation of any goods to which it relates. When the importer carries out the customs clearance at several customs offices in the State of importation, the customs authorities may require him to produce a copy of the LT certificate to all of those offices.
\n
8.Where an LT certificate has been submitted to the customs authorities, the evidence of the originating status of the imported goods shall, during the validity of the LT certificate, be given by invoices which satisfy the following conditions: (a) when an invoice includes both goods originating in the Community or Bulgaria and non-originating goods, the exporter shall distinguish clearly between these two categories; (b) the exporter shall state on each invoice the number of the LT certificate which covers the goods and the date of expiry of the certificate and the names of the country or countries in which the goods originate.
\n
The statement on the invoice made by the exporter of the number of the LT certificate with the indication of the country of origin shall constitute a declaration that the goods fulfil the conditions laid down in this Protocol for the acquisition of preferential origin status in trade between the Community and Bulgaria.
\n
The customs authorities of the exporting State may require that the entries which, under the above provisions, must appear on the invoice, be supported by the manuscript signature followed by the name of the signatory in clear script; (c) the description and the designation of the goods on the invoice shall be in sufficient detail to show clearly that the goods are also listed on the LT certificate to which the invoice refers; (d) the invoices can be made out only for the goods exported during the period of validity of the relevant LT certificate. They may however be produced at the customs office of importation within four months of their being made out by the exporter.
\n
9.In the framework of the LT certificate procedure, invoices which satisfy the conditions of this Article may be made out and/or transmitted using telecommunications or electronic data-processing methods. Such invoices shall be accepted by the customs of the importing State as evidence of the originating status of the goods imported in accordance with the procedures laid down by the customs authorities there.
\n
10.Should the customs authorities of the exporting State identify that a certificate and/or invoice issued under the provisions of this Article is invalid in relation to any goods supplied, they shall immediately notify the customs authorities of the importing State of the facts.
\n
11.The provisions of this Article shall not prejudice application of the rules of the Community, the Member States and Bulgaria on customs formalities and the use of customs documents.
\n
Article 13Issue of EUR.1 retrospectively
\n
1.In exceptional circumstances a movement certificate EUR.1 may also be issued after export of the products to which it relates if it was not issued at the time of export because of errors or involuntary omissions or special circumstances.
\n
2.For the implementation of paragraph 1, the exporter must in the written application:
\n
-indicate the place and date of export of the products to which the certificate relates,
\n
-certify that no movement certificate EUR.1 was issued at the time of export of the products in question, and state the reasons.
\n
3.The customs authorities may issue a movement certificate EUR.1 retrospectively only after verifying that the information supplied in the exporter's application agrees with that in the corresponding file.
\n
Certificates issued retrospectively must be endorsed with one of the following phrases: 'NACHTRÄGLICH AUSGESTELLT', 'DÉLIVRÉ A POSTERIORI', 'RILASCIATO A POSTERIORI', 'AFGEGEVEN A POSTERIORI', 'ISSUED RETROSPECTIVELY', 'UDSTEDT EFTERFŲLGENDE', 'ÅŹÄĻČÅĶ ÅŹ ŌŁĶ ÕÓŌÅŃŁĶ', 'EXPEDIDO A POSTERIORI', 'EMITIDO A POSTERIORI', 'ISADEN A POSTERIORI'.
\n
4.The endorsement referred to in paragraph 3 shall be inserted in the 'Remarks' box on the movement certificate EUR.1.
\n
Article 14Issue of a duplicate EUR.1
\n
1.In the event of the theft, loss or destruction of a movement certificate EUR.1, the exporter may apply in writing to the customs authorities which issued it for a duplicate made out on the basis of the export documents in their possession.
\n
2.The duplicate issued in this way must be endorsed with one of the following words: 'DUPLIKAT', 'DUPLICATA', 'DUPLICATO', 'DUPLICAAT', 'DUPLICATE', 'DUPLIKAT', 'ĮĶŌÉĆŃĮÖĻ', 'DUPLICADO', 'SEGUNDA VĶA', 'DUBLICAT'.
\n
3.The endorsement referred to in paragraph 2 shall be inserted in the 'Remarks' box on the movement certificate EUR.1.
\n
4.The duplicate, which must bear the date of issue of the original movement certificate EUR.1, shall take effect as from that date.
\n
Article 15Simplified procedure for the issue of certificates
\n
1.By way of derogation from Articles 11, 12 and 14 of this Protocol, a simplified procedure for the issue of EUR.1 movement certificates can be used in accordance with the following provisions.
\n
2.The customs authorities in the exporting State may authorize any exporter, hereinafter referred to as 'approved exporter', making frequent shipments for which EUR.1 movement certificates may be issued and who offers, to the satisfaction of the competent authorities, all guarantees necessary to verify the originating status of the products, not to submit to the customs office of the exporting State at the time of export either the goods or the application for an EUR.1 certificate relating to those goods, for the purpose of obtaining an EUR.1 certificate under the conditions laid down in Article 11 of this Protocol.
\n
3.The authorization referred to in paragraph 2 shall stipulate, at the choice of the competent authorities, that box 11 'Customs endorsement' of the EUR.1 movement certificate must: (a) either be endorsed beforehand with the stamp of the competent customs office of the exporting State and the signature, which may be a facsimile, of an official of that office; or (b) be endorsed by the approved exporter with a special stamp which has been approved by the customs authorities of the exporting State and corresponds to the specimen given in Annex V of this Protocol.
\n
Such stamp may be pre-printed on the forms.
\n
4.In the cases referred to in paragraphs 3 (a), one of the following phrases shall be entered in box 7 'Remarks' of the EUR.1 movement certificate: 'PROCEDIMIENTO SIMPLIFICADO', 'FORENKLET PROCEDURE', 'VEREINFACHTES VERFAHREN', 'ĮŠĖĻÕÓŌÅÕĢÅĶĒ ÄÉĮÄÉŹĮÓÉĮ', 'SIMPLIFIED PROCEDURE', 'PROCÉDURE SIMPLIFIÉE', 'PROCEDURA SEMPLIFICATA', 'VEREENVOUDIGDE PROCEDURE', 'PROCEDIMENTO SIMPLIFICADO', 'OPROSTENA PROCEDURA'.
\n
5.Box 11 'Customs endorsement' of the EUR.1 certificate shall be completed if necessary by the approved exporter.
\n
6.The approved exporter shall, if necessary, indicate in box 13 'Request for verification' of the EUR.1 certificate the name and address of the authority competent to verify such certificate.
\n
7.Where the simplified procedure is applied, the customs authorities of the exporting State may prescribe the use of EUR.1 certificates bearing a distinctive sign by which they may be identified.
\n
8.In the authorization referred to in paragraph 2 the competent authorities shall specify in particular: (a) the conditions under which the applications for EUR.1 certificates are to be made; (b) the conditions under which these applications are to be kept for at least two years; (c) in the cases referred to in paragraph 3 (b) the authority competent to carry out the subsequent verification referred to in Article 27 of this Protocol.
\n
9.The customs authorities of the exporting State may declare certain categories of goods ineligible for the special treatment provided for in paragraph 2.
\n
10.The customs authorities shall refuse the authorization referred to in paragraph 2 to exporters who do not offer all the guarantees which they consider necessary. The competent authorities may withdraw the authorization at any time. They must do so where the approved exporter no longer satisfies the conditions or no longer offers these guarantees.
\n
11.The approved exporter may be required to inform the competent authorities, in accordance with the rules which they lay down, of the goods to be dispatched by him, so that such authorities may make any verification they think necessary before the departure of the goods.
\n
12.The customs authorities of the exporting State may carry out any check on approved exporters which they consider necessary. Such exporters must allow this to be done.
\n
13.The provisions of this Article shall be without prejudice to the application of the rules of the Community, the Member States and Bulgaria concerning customs formalities and the use of customs documents.
\n
Article 16Replacement of certificates
\n
1.It shall at any time be possible to replace one or more movement certificates EUR. 1 by one or more other certificates provided that this is done by the customs office or other competent authorities responsible for controlling the goods.
\n
2.When products which originate in the Community or in Bulgaria and are imported into a free zone under cover of an EUR.1 certificate undergo treatment or processing, the authorities concerned must issue a new EUR.1 certificate at the exporter's request if the treatment of processing undergone is in conformity with the provisions of this Protocol.
\n
3.The replacement certificate shall be regarded as a definite movement certificate EUR.1 for the purposes of the application of this Protocol, including the provisions of this Article.
\n
4.The replacement certificate shall be issued on the basis of a written request from the re-exporter, after the authorities concerned have verified the information supplied in the applicant's request. The date and serial number of the original movement certificate EUR.1 shall be given in box 7.
\n
Article 17Validity of certificates
\n
1.A movement certificate EUR.1 must be submitted, within four months of the date of issue by the customs authorities of the exporting State, to the customs office of the importing State where the products are entered.
\n
2.Movement certificates EUR.1 which are submitted to the customs authorities of the importing State after the final date of presentation specified in paragraph 1 may be accepted for the purpose of applying preferential treatment, where the failure to submit the certificates by the final date set is due to reasons of force majeure or exceptional circumstances.
\n
3.In other cases of belated presentation, the customs authorities of the importing State may accept the certificates where the products have been submitted to them before the said final date.
\n
Article 18Exhibitions
\n
1.Products sent from the Community or Bulgaria for exhibition in a country other than Bulgaria or a Member State of the Community and sold after the exhibition for importation into Bulgaria or the Community shall benefit on importation from the provisions of the Agreement on condition that the products meet the requirements of this Protocol entitling them to be recognized as originating in the Community or in Bulgaria and provided that it is shown to the satisfaction of the customs authorities that: (a) an exporter has consigned these products from the Community or Bulgaria to the country in which the exhibition is held and has exhibited them there; (b) the products have been sold or otherwise disposed of by that exporter to someone in the Community or Bulgaria; (c) the products have been consigned during the exhibition or immediately thereafter to the Community or Bulgaria in the state in which they were sent for exhibition; (d) the products have not, since they were consigned for exhibition, been used for any purpose other than demonstration at the exhibition.
\n
2.A movement certificate EUR.1 must be produced to the customs authorities in the normal manner. The name and address of the exhibition must be indicated thereon. Where necessary, additional documentary evidence of the nature of the products and the conditions under which they have been exhibited may be required.
\n
3.Paragraph 1 shall apply to any trade, industrial, agricultural or crafts exhibition, fair or similar public show or display which is not organized for private purposes in shops or business premises with a view to the sale of foreign products, and during which the products remain under customs control.
\n
Article 19Submission of certificates
\n
Movement certificates EUR.1 shall be submitted to the customs authorities in the importing State in accordance with the procedures laid down by that State. The said authorities may require a translation of a certificate. They may also require the import declaration to be accompanied by a statement from the importer to the effect that the products meet the conditions required for the implementation of the Agreement.
\n
Article 20Importation by instalments
\n
Without prejudice to Article 4 (3) of this Protocol, where, at the request of the person declaring the goods at the customs, a dismantled or non-assembled article falling within Chapter 84 or 85 of the Harmonized System is imported by instalments on the conditions laid down by the competent authorities, it shall be considered to be a single article and a movement certificate may be submitted for the whole article upon import of the first instalment.
\n
Article 21Preservation of certificates
\n
Movement certificates EUR.1 shall be preserved by the customs authorities of the importing State in accordance with the rules in force in that State.
\n
Article 22Form EUR.2
\n
1.Notwithstanding Article 10, the evidence of originating status, within the meaning of this Protocol, for consignments containing only originating products and whose value does not exceed ECU 5 110 per consignment, may be provided by a form EUR.2, a specimen of which appears in Annex IV to this Protocol.
\n
2.The form EUR.2 shall be completed and signed by the exporter or, under the exporter's responsibility, by his authorized representative in accordance with this Protocol.
\n
3.A form EUR.2 shall be completed for each consignment.
\n
4.The exporter who applied for the form EUR.2 shall submit at the request of the customs authorities of the exporting State all supporting documents concerning the use of this form.
\n
5.Articles 17, 19 und 21 shall apply mutatis mutandis to form EUR.2.
\n
Article 23Discrepancies
\n
The discovery of slight discrepancies between the statements made in the movement certificate EUR.1 or in the form EUR.2 and those made in the documents submitted to the customs office for the purpose of carrying out the formalities for importing the products shall not ipso facto render the document null and void if it is duly established that it corresponds to the products submitted.
\n
Article 24Exemptions from proof of origin
\n
1.Products sent as small packages from private persons to private persons or forming part of travellers' personal luggage shall be admitted as originating products without requiring the production of a movement certificate EUR.1 or the completion of form EUR.2, provided that such products are not imported by way of trade and have been declared as meeting the conditions required for the application of the agreement, and where there is no doubt as to the veracity of such declaration.
\n
2.Imports which are occasional and consist solely of products for the personal use of the recipients or travellers or their families shall not be considered as imports by way of trade if it is evident from the nature and quantity of the products that no commercial purpose is in view.
\n
Furthermore, the total value of these products must not exceed ECU 365 in the case of small packages or ECU 1 025 in the case of the contents of travellers' personal luggage.
\n
Article 25Amounts expressed in ecu
\n
1.Amounts in the national currency of the exporting State equivalent to the amounts expressed in ecu shall be fixed by the exporting State and communicated to the other Parties to this Agreement. When the amounts are more than the corresponding amounts fixed by the importing State, the latter shall accept them if the goods are invoiced in the currency of the exporting State or of another of the countries mentioned in Article 2 of this Protocol.
\n
If the goods are invoiced in the currency of another Member State of the Community, the importing State shall recognize the amount notified by the country concerned.
\n
2.Up to and including 30 April 1993, the ecu to be used in any given national currency shall be the equivalent in that national currency of the ecu as at 3 October 1990. For each successive period of two years, it shall be the equivalent in that national currency of the ecu as at the first working day in October in the year immediately preceding that two-year period.
\n
TITLE III ARRANGEMENTS FOR ADMINISTRATIVE COOPERATION
\n
Article 26Communication of stamps and addresses
\n
The customs authorities of the Member States and of Bulgaria shall provide each other, through the Commission of the European Communities, with specimen impressions of stamps used in their customs offices for the issue of EUR.1 certificates and with the addresses of the customs authorities responsible for issuing movement certificates EUR.1 and for verifying those certificates and forms EUR.2.
\n
Article 27Verification of movement certificates EUR.1 and of forms EUR.2
\n
1.Subsequent verification of movement certificates EUR.1 and of forms EUR.2 shall be carried out at random or whenever the customs authorities of the importing State have reasonable doubts as to the authenticity of the document or the accuracy of the information regarding the true origin of the products in question.
\n
2.For the purpose of the subsequent verification of movement certificates EUR.1, the customs authorities of the exporting State must keep copies of the certificates, as well as any export documents referring to them, for at least two years.
\n
3.In order to ensure the proper application of this Protocol, Bulgaria and the Member States of the Community shall assist each other, through their respective customs administrations, in checking the authenticity of movement certificates EUR.1, including those issued pursuant to Article 11 (5), and the forms EUR.2 and the accuracy of the information concerning the actual origin of the products concerned.
\n
4.For the purpose of implementing paragraph 1, the customs authorities of the importing State shall return the movement certificate EUR.1 or form EUR.2, or a photocopy thereof, to the customs authorities of the exporting State, giving, where appropriate, the reasons of form or substance for an enquiry.
\n
The relevant commercial documents, or a copy thereof, shall be attached to the certificate EUR.1 or form EUR. 2 and the customs authorities shall forward any information that has been obtained suggesting that the particulars given on the said certificate or the said form are inaccurate.
\n
5.If the customs authorities of the importing State decide to suspend execution of the provisions of the Agreement while awaiting the results of the verification, they shall offer to release the products to the importer subject to any precautionary measures judged necessary.
\n
6.The customs authorities of the importing State shall be informed of the results of the verification as soon as possible. These results must be such as to make it possible to determine whether the disputed movement certificate EUR.1 or form EUR.2 apply to the products in question and whether those products can, in fact, qualify for the application of the preferential arrangements.
\n
If in cases of reasonable doubt there is no reply within 10 months of the date of the verification request, or if the reply does not contain sufficient information to determine the authenticity of the document in question or the real origin of the products, the requesting authorities shall refuse, except in the case of force majeure or exceptional circumstances, any benefit from the preferential treatment laid down in the Agreement.
\n
7.Disputes which cannot be settled between the customs authorities of the importing State and those of the exporting State, or which raise a question as to the interpretation of this Protocol, shall be submitted to the Customs Cooperation Committee.
\n
8.In all cases the settlement of disputes between the importer and the customs authorities of the importing State shall be under the legislation of the said State.
\n
9.Where the verification procedure or any other available information appears to indicate that the provisions of this Protocol are being contravened, the Community or Bulgaria shall in its own initiative or at the request of the other Party carry out appropriate enquiries or arrange for such enquiries to be carried out with due urgency to identify and prevent such contraventions, and for this purpose the Community or Bulgaria may invite the participation of the other Party in these enquiries.
\n
10.Where the verification procedure or any other available information appears to indicate that the provisions of this Protocol are being contravened, the products would be accepted as originating products under this Protocol only after completion of such aspects of administrative cooperation set down in this Protocol which may have been activated, including in particular the verification procedure.
\n
Likewise, products would be refused treatment as originating products under this Protocol only after the completion of the verification procedure.
\n
Article 28Penalties
\n
Penalties shall be imposed on any person who draws up, or causes to be drawn up, a document which contains incorrect particulars for the purpose of obtaining preferential treatment for products.
\n
Article 29Free zones
\n
The Member States and Bulgaria shall take all necessary steps to ensure that products traded under cover of a movement certificate EUR.1, which in the course of transport use a free zone situated in their territory, are not substituted by other goods and that they do not undergo handling other than normal operations designed to prevent their deterioration.
\n
TITLE IV CEUTA AND MELILLA
\n
Article 30Application of the Protocol
\n
1.The term 'Community' used in this Protocol does not cover Ceuta or Melilla. The term 'products originating in the Community' does not cover products originating in these zones.
\n
2.This Protocol shall apply mutatis mutandis to products originating in Ceuta and Melilla, subject to particular conditions set out in Article 31.
\n
Article 31Special conditions
\n
1.The following provisions shall apply instead of Article 1 and references to that Article shall apply mutatis mutandis to this Article.
\n
2.Providing they have been transported directly in accordance with the provisions of Article 8, the following shall be considered as:
\n
1.products originating in Ceuta and Melilla: (a) products wholly obtained in Ceuta and Melilla; (b) products obtained in Ceuta and Melilla in the manufacture of which products other than those referred to in (a) are used, provided that: (i) the said products have undergone sufficient working or processing within the meaning of Article 4 of this Protocol; or that (ii) those products are originating in Bulgaria or the Community within the meaning of this Protocol, provided that they have been submitted to working or processing which goes beyond the insufficient working or processing referred to in Article 4 (3);
\n
2.products originating in Bulgaria: (a) products wholly obtained in Bulgaria; (b) products obtained in Bulgaria in the manufacture of which products other than those referred to in (a) are used, provided that: (i) the said products have undergone sufficient working or processing within the meaning of Article 4 of this Protocol; or that (ii) those products are originating in Ceuta and Melilla or the Community within the meaning of this Protocol, provided that they have been submitted to working or processing which goes beyond the insufficient working or processing referred to in Article 4 (3).
\n
3.Ceuta and Melilla shall be considered as a single territory.
\n
4.The exporter or his authorized representative shall enter 'Bulgaria' and 'Ceuta and Melilla' in box 2 of movement certificates EUR.1. In addition, in the case of products originating in Ceuta and Melilla, this shall be indicated in box 4 of movement certificates EUR.1.
\n
5.The Spanish customs authorities shall be responsible for the application of this Protocol in Ceuta and Melilla.
\n
TITLE V FINAL PROVISIONS
\n
Article 32Amendments to the Protocol
\n
The Association Council shall examine at two-yearly intervals, or whenever Bulgaria or the Community so request, the application of the provisions of this Protocol, with a view to making any necessary amendments or adaptations.
\n
Such examination shall take into account in particular the participation of the Contracting Parties in free trade zones or customs unions with third countries.
\n
Article 33Customs cooperation committee
\n
1.A customs cooperation committee shall be set up, charged with carrying out administrative cooperation with a view to the correct and uniform application of this Protocol and with carrying out any other task in the customs field which may be entrusted to it.
\n
2.The committee shall be composed, on the one hand, of experts of the Member States and of officials of the departments of the Commission of the European Communities who are responsible for customs questions and, on the other hand, of experts nominated by Bulgaria.
\n
Article 34Petroleum products
\n
The products set out in Annex VI shall be temporarily excluded from the scope of this Protocol. Nevertheless, the arrangements regarding administrative cooperation shall apply, mutatis mutandis, to these products.
\n
Article 35Annexes
\n
The Annexes to this Protocol shall form an integral part thereof.
\n
Article 36Implementation of the Protocol
\n
The Community and Bulgaria shall each take the steps necessary to implement this Protocol.
\n
Article 37Goods in transit or storage
\n
The provisions of the Agreement may be applied to goods which comply with the provisions of this Protocol and which on the date of entry into force of the Agreement are either in transit or are in the Community or in Bulgaria in temporary storage in bonded warehouses or in free zones, subject to the submission to the customs authorities of the importing State, within four months of that date, or a certificate EUR.1 endorsed retrospectively by the competent authorities of the exporting State together with the documents showing that the goods have been transported directly.
\n
ANNEX I NOTES Foreword These notes shall apply, where appropriate, to all manufactured products using non-originating materials, even if they are not subject to specific conditions contained in the list in Annex II but are subject instead to the change of heading rule set out in Article 4 (1).
\n
Note 1 1.1. The first two columns in the list describe the product obtained. The first column gives the heading number or chapter number used in the Harmonized System and the second column gives the description of goods used in that system for that heading or chapter. For each entry in the first two columns a rule is specified in column 3. Where, in some cases, the entry in the first column is preceded by an 'ex', this signifies that the rule in column 3 or 4 applies only to the part of that heading or chapter as described in column 2.
\n
1.2. Where several heading numbers are grouped together in column 1 or a chapter number is given and the description of products in column 2 is therefore given in general terms, the adjacent rule in column 3 applies to all products which, under the Harmonized System, are classified in headings of the chapter or in any of the headings grouped together in column 1.
\n
1.3. Where there are different rules in the list applying to different products within a heading, each indent contains the description of that part of the heading covered by the adjacent rule in column 3.
\n
Note 2 2.1. The term 'manufacture' covers any kind of working or processing including 'assembly' or specific operations. However, see Note 3.5 below.
\n
2.2. The term 'material' covers any ingredient, raw material, component or part, etc., used in the manufacture of the product.
\n
2.2. The term 'product' refers to the product being manufactured, even if it is intended for later use in another manufacturing operation.
\n
2.3. The term 'goods' covers both materials and products.
\n
Note 3 3.1. In the case of any heading not in the list or any part of a heading that is not in the list, the 'change of heading' rule set out in Article 4 (1) applies. If a 'change of heading' condition applies to any entry in the list, then it is contained in the rule in column 3.
\n
3.2. The working or processing required by a rule in column 3 has to be carried out only in relation to the non-originating materials used. The restrictions contained in a rule in column 3 likewise apply only to the non-originating materials used.
\n
3.3. Where a rule states that 'materials of any heading' may be used, materials of the same heading as the product may also be used, subject, however, to any specific limitations which may also be contained in the rule. However, the expression 'manufacture from materials of any heading, including other materials of heading No . . .' means that only materials classified in the same heading as the product of a different description than that of the product as given in column 2 of the list may be used.
\n
3.4. If a product made from non-originating materials which has acquired originating status during manufacture by virtue of the change of heading rule or its own list rule is used as a material in the process of manufacture of another product, then the rules applicable to the product in which it is incorporated does not apply to it.
\n
For example:
\n
An engine of heading No 8407, for which the rule states that the value of the non-originating materials which may be incorporated may not exceed 40 % of the ex works price, is made from 'other alloy steel roughly shaped by forging' of heading No 7224.
\n
If this forging has been forged in the country concerned from a non-originating ingot then the forging has already acquired origin by virtue of the rule for heading No ex 7224 in the list. It can then count as originating in the value calculation for the engine regardless of whether it was produced in the same factory or another. The value of the non-originating ingot is thus not taken into account when adding up the value of the non-originating materials used.
\n
3.5. Even if the change of heading rule or the other rules contained in the list are satisfied, a product shall not acquire originating status if the processing carried out, taken as a whole, is insufficient within the meaning of Article 4 (3).
\n
3.6. The unit of qualification for the application of the origin rules shall be the particular product which is considered as the basic unit when determining classification using the nomenclature of the Harmonized System. In the case of sets of products which are classified by virtue of General Rule 3 for the interpretation of the Harmonized System, the unit of qualification shall be determined in respect of each item in the set: this provision is equally applicable to sets of heading Nos 6308, 8206 and 9605.
\n
Accordingly, it follows that:
\n
-when a product composed of a group or assembly of articles is classified under the terms of the Harmonized System in a single heading, the whole constitutes the unit of qualification,
\n
-when a consignment consists of a number of identical products classified under the same heading of the Harmonized System, each product must be taken individually when applying the origin rules,
\n
-where, under General Rule 5 of the Harmonized System, packing is included with the product for classification purposes, it shall be included for the purposes of determining origin.
\n
Note 4 4.1. The rule in the list represents the minimum amount of working or processing required and the carrying out of more working or processing also confers originating status; conversely, the carrying out of less working or processing cannot confer origin. Thus if a rule says that non-originating material at a certain level of manufacture may be used, the use of such material at an earlier stage of manufacture is allowed and the use of such material at a later stage is not.
\n
4.2. When a rule in the list specifies that a product may be manufactured from more than one material, this means that any one or more materials may be used. It does not require that all be used.
\n
For example:
\n
The rule for fabrics says that natural fibres may be used and that chemical materials, among other materials, may also be used. This does not mean that both have to be used; one can use one or the other or both.
\n
If, however, a restriction applies to one material and other restrictions apply to other materials in the same rule, then the restrictions only apply to the materials actually used.
\n
For example:
\n
The rule for sewing machines specifies that both the thread tension mechanism used and the zigzag mechanism used must originate; these two restrictions only apply if the mechanisms concerned are actually incorporated into the sewing machine.
\n
4.3. When a rule in the list specifies that a product must be manufactured from a particular material, the condition obviously does not prevent the use of other materials which, because of their inherent nature, cannot satisfy the rule.
\n
For example:
\n
The rule for heading No 1904 which specifically excludes the use of cereals or their derivatives does not prevent the use of mineral salts, chemicals and other additives which are not produced from cereals.
\n
For example:
\n
In the case of an article made from non-woven materials, if the use of only non-originating yarn is allowed for this class of article, it is not possible to start from non-woven cloth - even if non-woven cloths cannot normally be made from yarn. In such cases, the starting material would normally be at the stage before yarn - that is the fibre stage.
\n
See also Note 7.3 in relation to textiles.
\n
4.4. If in a rule in the list two or more percentages are given for the maximum value of non-originating materials that can be used, then these percentages may not be added together. The maximum value of all the non-originating materials used may never exceed the highest of the percentages given. Furthermore, the individual percentages must not be exceeded in relation to the particular materials they apply to.
\n
Note 5 5.1. The term 'natural fibres' is used in the list to refer to fibres other than artificial or synthetic fibres and is restricted to the stages before spinning takes place, including waste, and, unless otherwise specified, the term 'natural fibres' includes fibres that have been carded, combed or otherwise processed but not spun.
\n
5.2. The term 'natural fibres' includes horsehair of heading No 0503, silk of heading Nos 5002 and 5003 as well as the wool fibres, fine or coarse animal hair of heading Nos 5101 to 5105, the cotton fibres of heading Nos 5201 to 5203 and other vegetable fibres of heading Nos 5301 to 5305.
\n
5.3. The terms 'textile pulp', 'chemical materials' and 'paper-making materials' are used in the list to describe the materials not classified in Chapters 50 to 63, which can be used to manufacture artificial, synthetic or paper fibres or yarns.
\n
5.4. The term 'man-made staple fibres' is used in the list to refer to synthetic or artificial filament tow, staple fibres or waste, of headings Nos 5501 to 5507.
\n
Note 6 6.1. In the case of the products classified within those headings in the list to which a reference is made to this Note, the conditions set out in column 3 of the list shall not be applied to any basic textile materials used in their manufacture which, taken together, represent 10 % or less of the total weight of all the basic textile materials used (but see also Notes 6.3 and 6.4).
\n
6.2. However, this tolerance may only be applied to mixed products which have been made from two or more basic textile materials.
\n
The following are the basic textile materials:
\n
-silk,
\n
-wool,
\n
-coarse animal hair,
\n
-fine animal hair,
\n
-horsehair,
\n
-cotton,
\n
-paper-making materials and paper,
\n
-flax,
\n
-true hemp,
\n
-jute and other textile bast fibres,
\n
-sisal and other textile fibres of the genus Agave,
\n
-coconut, abaca, ramie and other vegetable textile fibres,
\n
-synthetic man-made filaments,
\n
-artificial man-made filaments,
\n
-synthetic man-made staple fibres,
\n
-artificial man-made staple fibres.
\n
For example:
\n
A yarn of heading No 5205 made from cotton fibres of heading No 5203 and synthetic staple fibres of heading No 5506 is a mixed yarn.
\n
Therefore, non-originating synthetic staple fibres that do not satisfy the origin rules (which require manufacture from chemical materials or textile pulp) may be used up to a weight of 10 % of the yarn.
\n
For example:
\n
A woollen fabric of heading No 5112 made from woollen yarn of heading No 5107 and synthetic yarn of staple fibres of heading No 5509 is a mixed fabric. Therefore synthetic yarn which does not satisfy the origin rules (which require manufacture from chemical materials or textile pulp) or woollen yarn that does not satisfy the origin rules (which require manufacture from natural fibres, not carded or combed or otherwise prepared for spinning) or a combination of the two may be used up to a weight of 10 % of the fabric.
\n
For example:
\n
Tufted textile fabric of heading No 5802 made from cotton yarn of heading No 5205 and cotton fabric of heading No 5210 is only a mixed product if the cotton fabric is itself a mixed fabric being made from yarns classified in two separate headings or if the cotton yarns used are themselves mixtures.
\n
For example:
\n
If the tufted textile fabric concerned had been made from cotton yarn of heading No 5205 and synthetic fabric of heading No 5407, then, obviously, the yarns used are two separate basic textile materials and the tufted textile fabric is accordingly a mixed product.
\n
For example:
\n
A carpet with tufts made from both artificial yarns and cotton yarns and with a jute backing is a mixed product because three basic textile materials are used. Thus, any non-originating materials that are at a later stage of manufacture than the rule allows may be used, provided their total weight taken together does not exceed 10 % of the weight of the textile materials in the carpet. Thus, both the jute backing and/or the artificial yarns could be imported at that stage of manufacture, provided the weight conditions are met.
\n
6.3. In the case of fabrics incorporating 'yarn made of polyurethane segmented with flexible segments of polyether whether or not gimped' this tolerance is 20 % in respect of this yarn.
\n
6.4. In the case of fabrics incorporating strip consisting of a core of aluminium foil or of a core of plastic film whether or not coated with aluminium powder, of a width not exceeding 5 mm, sandwiched by means of an adhesive between two films of plastic film, this tolerance is 30 % in respect of this strip.
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Note 7 7.1. In the case of those textile products which are marked in the list by a footnote referring to this note, textile materials with the exception of linings and interlinings which do not satisfy the rule set out in the list in column 3 for the made-up products concerned may be used provided that they are classified in a heading other than that of the product and that their value does not exceed 8 % of the ex works price of the product.
\n
7.2. Any non-textile trimmings and accessories or other materials used which contain textiles do not have to satisfy the conditions set out in column 3 even though they fall outside the scope of Note 4.3.
\n
7.3. In accordance with Note 4.3, any non-originating non-textile trimmings and accessories or other product, which do not contain any textiles, may, anyway, be used freely where they cannot be made from the materials listed in column 3.
\n
For example:
\n
If a rule in the list says that for a particular textile item, such as a blouse, yarn must be used, this does not prevent the use of metal items, such as buttons, because they cannot be made from textile materials.
\n
7.4. Where a percentage rule applies, the value of trimmings and accessories must be taken into account when calculating the value of the non-originating materials incorporated.
\n
ANNEX II LIST OF WORKING OR PROCESSING REQUIRED TO BE CARRIED OUT ON NON-ORIGINATING MATERIALS IN ORDER THAT THE PRODUCT MANUFACTURED CAN OBTAIN ORIGINATING STATUS >TABLE POSITION> ANNEX III MOVEMENT CERTIFICATES EUR.1 1. Movement certificates EUR.1 shall be made out on the form of which a specimen appears in this Annex. This form shall be printed in one or more of the languages in which the Agreement is drawn up.
\n
Certificates shall be made out in one of these languages and in accordance with the provisions of the domestic law of the exporting State. If they are handwritten, they shall be completed in ink and in capital letters.
\n
2.Each certificate shall measure 210 × 297 mm; a tolerance of up to minus 5 mm or plus 8 mm in the length may be allowed. The paper used must be white, sized for writing, not containing mechanical pulp and weighing not less than 25 g/m2t shall have a printed green guilloche pattern background making any falsification by mechanical or chemical means apparent to the eye.
\n
3.The competent authorities of the Member States of the Community and of Bulgaria may reserve the right to print the certificates themselves or may have them printed by approved printers. In the latter case each certificate must include a reference to such approval. Each certificate must bear the name and address of the printer or a mark by which the printer can be identified. It shall also bear a serial number, either printed or not, by which it can be identified.
\n
ANNEX IV FORM EUR.2 1. Form EUR.2 shall be made out on the form of which a specimen appears in this Annex. This form shall be printed in one or more of the languages in which the Agreement is drawn up. Forms shall be made out in one of these languages and in accordance with the provisions of the domestic law of the exporting State. If they are handwritten, they shall be completed in ink and in capital letters.
\n
2.Each form EUR.2 shall measure 210 × 148 mm; a maximum tolerance of up to minus 5 mm or plus 8 mm in the length may be allowed. The paper used must be white, sized for writing, not containing mechanical pulp and weighing not less than 64 g/m2.
\n
3.The competent authorities of the Member States of the Community and of Bulgaria may reserve the right to print the forms themselves or may have them printed by approved printers. In the latter case each form must include a reference to such approval. Each form must bear the name and address of the printer or a mark by which the printer can be identified. It shall also bear a serial number, either printed or not, by which it can be identified.
\n
ANNEX V Specimen impression of the stamp mentioned in Article 15 (3) (b) >START OF GRAPHIC>
\n
(1)Initials or coat of arms of the exporting State.
\n
(2)Such information as is necessary for the identification of the approved exporter. >END OF GRAPHIC> ANNEX VI LIST OF PRODUCTS REFERRED TO IN ARTICLE 34 WHICH ARE TEMPORARILY EXCLUDED FROM THE SCOPE OF THIS PROTOCOL >TABLE POSITION> PROTOCOL 5
\n
CHAPTER I Specific provisions relating to trade between Spain and
\n
Bulgaria
\n
Article 1The provisions of the Agreement relating to trade in Title III shall
\n
be amended as follows in order to take account of the measures and undertakings listed in the Act of Accession of the Kingdom of Spain to the European Communities (hereinafter called 'the Act of Accession').
\n
Article 2Under the Act of Accession, Spain shall not grant to products
\n
originating in Bulgaria more favourable treatment than it provides for imports originating or in free circulation in other Member States.
\n
Article 31. Duties applied by the Kingdom of Spain to agricultural products
\n
as defined in Article 19 of the Agreement originating in Bulgaria and listed in Annexes XI and XIII of the Agreement shall be progressively aligned with those applied by the Community of Ten in accordance with the procedure and timetables set out in Articles 75
\n
(2)and (3) of the Act of Accession.
\n
2.Levies applied by the Kingdom of Spain to agricultural products referred to in Article 21 (2) of the Agreement originating in Bulgaria and listed in Annex XI, and to the agricultural component of products referred to in Protocol 3 originating in Bulgaria, will be the levies applied each year by the Community of Ten adjusted by the accession compensatory amounts as set out in the Act of Accession.
\n
Article 4The implementation by Spain of the undertakings covered by Article
\n
10 (4) of the Agreement shall take place at the time set for the remaining Member States always provided that Bulgaria has been removed from the scope of Regulations (EEC) No 1765/82 and (EEC) No 3420/83 on import arrangements for products originating in State-trading countries.
\n
Article 5Quantitative restrictions may be applied to imports into Spain of
\n
products originating in Bulgaria until 31 December 1995 in respect of the products listed in Annex A.
\n
Article 6Application of the provisions of this Protocol shall be without
\n
prejudice to Council Regulation (EEC) No 1911/91 of 26 June 1991 on the application of the provisions of Community law to the Canary Islands or Council Decision 91/314/EEC of 26 June 1991 setting up a programme of options specific to the remote and insular nature of the Canary Islands (Poseican).
\n
CHAPTER II Specific provisions relating to trade between Portugal
\n
and Bulgaria
\n
Article 7The provisions of the Agreement relating to trade in Title III shall
\n
be amended as follows in order to take account of the measures and undertakings listed in the Act of Accession of the Portuguese Republic to the European Communities (hereinafter called 'the Act of Accession').
\n
Article 8Under the Act of Accession Portugal shall not grant Bulgaria more
\n
favourable treatment than is provided for imports originating in other Member States.
\n
Article 91. The duties applicable by the Portuguese Republic to industrial
\n
products originating in Bulgaria and referred to in Article 4 of the Agreement and in Protocols 1 and 2 and to the non-agricultural components of products included in Protocol 3 shall be phased out according to the procedure and timetables set forth in this Article.
\n
2.Tariff dismantling shall take as its basic starting point the duties actually applied by the Portuguese Republic in its trade with the Community of Ten on 1 January 1985; from the entry into force of the Agreement, duties shall be aligned on those applied by the Community of Ten.
\n
However, for products referred to in Annex XXXI of the Act of Accession tariff dismantling shall be carried out according to the same timetable and start from the duties actually applied by the Portuguese Republic in its trade with third countries on 1 January 1985.
\n
Article 101. The duties applied by the Portuguese Republic to agricultural
\n
products as defined in Article 19 of the Agreement originating in Bulgaria and listed in Annexes XII and XIII of the Agreement shall be progressively aligned with those applied by the Community of Ten in accordance with the procedure and timetables set out below in this Article.
\n
2.For agricultural products other than those referred to in paragraph 3 of this Article the Portuguese Republic shall reduce its tariffs from those actually applied by it in its trade with third countries on 1 January 1985. Each year the difference between those and those applied by the Community of Ten shall be reduced in accordance with the following timetable:
\n
-from entry into force of the Agreement, the difference shall be reduced to 27,2 % of the original difference,
\n
-on 1 January 1994, the difference shall be reduced to 18,1 % of the original difference,
\n
-on 1 January 1995, the difference shall be reduced to 9 % of the original difference,
\n
-from 1 January 1996, the Portuguese Republic shall apply the same duties as the Community of Ten.
\n
3.The Portuguese Republic shall apply a duty to the agricultural products referred to in Regulations (EEC) No 136/66, (EEC) No 804/68, (EEC) No 805/68, (EEC) No 1035/72, (EEC) No 2727/75, (EEC) No 2759/75, (EEC) No 2771/75, (EEC) No 2777/75, (EEC) No 1418/76 and (EEC) No 822/87, which reduces the difference between the duty actually applied on 31 December 1990 and the preferential duty in accordance with the following timetable:- from the entry into force of the Agreement, the difference shall be reduced to 49,9 % of the initial difference,
\n
-on 1 January 1994, the difference shall be reduced to 33,2 % of the initial difference,
\n
-on 1 January 1995, the difference shall be reduced to 16,5 % of the initial difference.
\n
Portugal shall apply preferential rates in full from 1 January 1996.
\n
Article 11The implementation by Portugal of the undertakings covered by
\n
Article 10 (4) of the European Agreement shall take place at the time set for the remaining Member States always provided that Bulgaria has been removed from the scope of Regulations (EEC) No 1765/82 and (EEC) No 3420/83 on import arrangements for products originating in State-trading countries.
\n
Article 12Quantitative restrictions may be applied to imports into Portugal of
\n
products originating in Bulgaria until 31 December 1995 in respect of the products listed in Annex B.
\n
ANNEX A >TABLE POSITION> ANNEX B 0103 10 00 0103 91 10 0103 92 11 0103 92 19 0701 10 00 0701 90 10 0701 90 51 0701 90 59 0803 00 10 0803 00 90 0804 30 00 2204 21 10 2204 21 21 2204 21 23 2204 21 25 2204 21 29 2204 21 31 2204 21 33 2204 21 35 2204 29 10 2204 29 21 2204 29 23 2204 29 25 2204 29 29 2204 29 31 2204 29 33 2204 29 35 2204 29 39 PROTOCOL 6 on mutual assistance in customs matters
\n
Article 1DefinitionsFor the purposes of this Protocol:
\n
(a) customs legislation: shall mean provisions applicable in the territories of the Contracting Parties governing the import, export, transit of goods and their placing under any other customs procedure, including measures of prohibition, restriction and control adopted by the said Parties; (b) customs duties: shall mean all duties, taxes, fees or/and other charges which are levied and collected in the territories of the Contracting Parties, in application of customs legislation, but not including fees and charges which are limited in amount to the approximate costs of services rendered; (c) applicant authority: shall mean a competent administrative authority which has been appointed by a Contracting Party for this purpose and which makes a request for assistance in customs matters; (d) requested authority: shall mean a competent administrative authority which has been appointed by a Contracting Party for this purpose and which receives a request for assistance in customs matters; (e) contravention: shall mean any violation of the customs legislation as well as any attempted violation of such legislation.
\n
Article 2Scope
\n
1.The Contracting Parties shall assist each other, in the manner and under the conditions laid down in this Protocol, in ensuring that customs legislation is correctly applied, in particular by the prevention, detection and investigation of contraventions of this legislation.
\n
2.Assistance in customs matters, as provided for in this Protocol, applies to any administrative authority of the Contracting Parties which is competent for the application of this Protocol. It shall not prejudice the rules governing mutual assistance in criminal matters. Nor shall it cover information obtained under powers exercised at the request of the judicial authority, unless those authorities so agree.
\n
Article 3Assistance on request
\n
1.At the request of the applicant authority, the requested authority shall furnish it with all relevant information to enable