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Workshop on EU Trade matters

Bulgarian Chamber of Commerce and Industry (co-organiser)

Sofia, 09 -10 November 2005

The EU and the World Trade Organisation.

Fernando CarmoLawyer & Customs AgentPresident of Chamber of Customs Agents - PORTUGAL Managing Director of IFCBA – International Federation Customs Broker Association

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Contents:

- European Union History

- World Trade Organization

- EU / WTO Relationship

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European Coal and Steel Community (ECSC)

- The first major step toward European integration took place in 1950 (Robert Schuman).

-In 1957 the participants in the ECSC signed two more treaties in Rome:

European Economic Community (EEC)

EURATOM - European Atomic Energy Community

European Union History:

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- The three organizations (the EEC, the ECSC, and Euratom) fully

merged:

1967 - European Community (EC) and signed...

1972 - Single European Act (SEA)

- The admission of less-developed Mediterranean countries:

1981 - Greece

1986 - Spain and Portugal

European Union History:

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After lengthy negotiations, it was accepted by the European Council at Maastricht, in December 1991:

The Treaty on European Union - Economic and Monetary Union (EMU)

Signed by EU members on October 2, 1997:

The Amsterdam Treaty - Agenda 2000, strategy for EU enlargement

Signed in 2001:

Treaty of Nice, outlined a series of staged reforms to prepare the EU for enlargement

European Union History:

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Monetary Union:

EU officially agreed in May 1998 to adopt the Euro for 11 of the 15 member countries beginning on January 1, 1999.

The countries to adopt the euro were Austria, Belgium, Finland, France, Germany, Ireland, Italy, Luxembourg, The Netherlands, Portugal, and Spain.

European Union History:

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Enlargements:

1st May 2004:

Cyprus, the Czech Republic, Estonia, Hungary, Poland, and Slovenia, Latvia, Lithuania, Malta, and Slovakia.

2007:

Bulgaria and Romania

Future:

Turkie, Croatia ...

European Union History:

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The essential functions:

- Administration of trade agreements

- Establishment as a forum for trade negotiations

- Trade dispute settlements

- National Trade Policies review

- Provision of assistance for developing countries in trade issues, by giving

technical assistance funding training programs

- Cooperation with several other international organizations

WTO: An International Organization dealing with the global rules of trade

between nations

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Cornerstone of the multilateral trading system:

- Trade in Goods

- Trade in Services

- Protection of Intellectual Property Rights

Contract:

- Rights and Obligations

- Dispute settlement

Successor

World Trade Organization:

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WTO – The Organization & Its Fundamental Principles:

Ministerial Conference

General Council

- Dispute Settlement Body

- Trade Policy Review Body

Councils

- Council for Trade in Goods

- Council for Trade in Services

- Council for TRIPS (Trade-Related Aspects of Intellectual Property

Rights

Committees and other Subsidiary Bodies

Decision-Making

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WTO – Basic Principles:

Trade without discrimination:

- Provision of the most-favoured nation clause (MFN)- Mutual Provision of the national regime for goods and services produced abroad- Regulation of trade by tariff methods only- Renouncement of using quantitative and other restrictions- Transparency of trade policies- Resolving trade disputes through consultations and talks

Predictable and Growing Access to Markets

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WTO – General Joining Procedures:

Who can apply:

“Any state or customs territory having full autonomy in the conduct of its trade policies is eligible to accede to the WTO on terms agreed between it and WTO Members” (Article XII of WTO Agreement).

The Request for accession

Submission of a memorandum on the foreign trade regime

Conditions of entry

(Cont.)

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WTO – General Joining Procedures (Cont.):

Bilateral and Multilateral Negotiations:- Full application of WTO Agreements- Reduction and removal of discriminating measures- Modification of laws and regulations

The Final “Accession Package”:

- a Report of the Working Party containing a summary of

proceedings and conditions for entry

- a Protocol of Accession

- Schedules of market access commitments in good and services

agreed between the acceding government and WTO Members

Approval of the “Accession Package”

Becoming a full Member

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WTO – Current Affairs:

The 4th DOHA Ministerial Conference, 14 November 2001, Qatar, resulted in some far-reaching decisions on the future development of the WTO:

- Launch a new round of trade negotiations – the DOHA Development Agenda (DDA) – comprising both future trade liberalization and new rule-making, underpinned by commitments to strengthen substantially assistance to developing countries;

- Help developing countries to implement the existing WTO agreements.

(Cont.)

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WTO – Current Affairs (Cont.):

- Interpret the TRIPS (Trade Related Aspects of Intellectual Property Rights) Agreement in a manner that ensures Member’s rights under TRIPS to take actions to protect public health.

The 5th Ministerial Conference in Cancun, Mexico, September 2003

The 6th Ministerial Conference will be held in Hong Kong, December 2005

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Please Note:

WTO represents 148 Countries

And

70% of the International Trade

World Trade Organization:

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“Common Commercial Policy

Article 133 of the European Community Treaty:

- The common commercial policy shall be based on uniform principles, particularly in regard to changes in tariff rates, the conclusion of tariff and trade agreements, the achievement of uniformity in measures of liberalization, export policy and measures to protect trade such as those to be taken in the event of dumping or subsidies.

The Article 133 Committee

(Cont.)

EU Trade Policy and World Trade Organization:

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The EU’s Objectives for the DDA – Basic EU Priorities in the DDA:- On Market Access for Industrial Goods- Further Market Access negotiations on Services- EU is strongly determined to further liberalise Agriculture- Sustainable Development of Opportunities of Individual Members

The Proposals in DOHA World Trade sets key parameters for further negotiations in key areas of:

- Agriculture- Industrial Tariffs- Trade Facilitation- Development issues- Services

EU Trade Policy and World Trade Organization (Cont.):

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Thank you very much for your attention