22002A1230(01)

Agreement

establishing an association between the European Community and its Member States, of the one part, and the Republic of Chile, of the other part

THE KINGDOM OF BELGIUM,

THE KINGDOM OF DENMARK,

THE FEDERAL REPUBLIC OF GERMANY,

THE HELLENIC REPUBLIC,

THE KINGDOM OF SPAIN,

THE FRENCH REPUBLIC,

IRELAND,

THE ITALIAN REPUBLIC,

THE GRAND DUCHY OF LUXEMBOURG,

THE KINGDOM OF THE NETHERLANDS,

THE REPUBLIC OF AUSTRIA,

THE PORTUGUESE REPUBLIC,

THE REPUBLIC OF FINLAND,

THE KINGDOM OF SWEDEN,

THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND,

Contracting Parties to the Treaty establishing the European Community and the Treaty on European Union, hereinafter referred to as the "Member States", and

THE EUROPEAN COMMUNITY, hereinafter referred to as "the Community",

of the one part, and

THE REPUBLIC OF CHILE, hereinafter referred to as "Chile",

of the other part,

CONSIDERING the traditional links between the Parties and with particular reference to:

- the common cultural heritage and the close historical, political and economic ties which unite them;

- their full commitment to the respect for democratic principles and fundamental human rights as set out in the United Nations Universal Declaration of Human Rights;

- their attachment to the principles of the rule of law and of good governance;

- the need to promote economic and social progress for their peoples, taking into account the principle of sustainable development and environmental protection requirements;

- the desirability of enlarging the framework of relations between the European Union and the Latin American regional integration with a view to contributing to a strategic association between the two regions as foreseen in the Declaration adopted at the Summit of Heads of State and Government of Latin America and the Caribbean and the European Union in Rio de Janeiro on 28 June 1999;

- the importance of strengthening the regular political dialogue on bilateral and international issues of mutual interest, as already established in the Joint Declaration which is part of the Framework Cooperation Agreement between the Parties of 21 June 1996, hereinafter referred to as the "Framework Cooperation Agreement";

- the importance that the Parties attach to:

- coordinating their positions and undertaking joint initiatives in the appropriate international fora;

- the principles and values set out in the Final Declaration of the World Summit for Social Development held in Copenhagen in March 1995;

- the principles and rules which govern international trade, in particular those contained in the Agreement establishing the World Trade Organisation (the "WTO") and to the need to apply them in a transparent and non-discriminatory manner;

- the fight against all forms of terrorism and the commitment to establish effective international instruments to ensure its eradication;

- the desirability of a cultural dialogue in order to achieve a better mutual understanding between the Parties, and to foster the existing traditional, cultural and natural links between the citizens of both Parties;

- the importance of the Cooperation Agreement between the European Community and Chile of 20 December 1990 and of the Framework Cooperation Agreement in sustaining and fostering the implementation of these processes and principles,

THE PARTIES HAVE DECIDED TO CONCLUDE THIS AGREEMENT:

PART I

GENERAL AND INSTITUTIONAL PROVISIONS

TITLE I

NATURE AND SCOPE OF THE AGREEMENT

Article 1

Principles

1. Respect for democratic principles and fundamental human rights as laid down in the United Nations Universal Declaration of Human Rights and for the principle of the rule of law underpins the internal and international policies of the Parties and constitutes an essential element of this Agreement.

2. The promotion of sustainable economic and social development and the equitable distribution of the benefits of the Association are guiding principles for the implementation of this Agreement.

3. The Parties reaffirm their attachment to the principle of good governance.

Article 2

Objectives and scope

1. This Agreement establishes a Political and Economic Association between the Parties, based on reciprocity, common interest and on the deepening of the relationship in all areas of application.

2. The Association is a process that will lead to a growing relationship and cooperation between the Parties structured around the bodies created in this Agreement.

3. This Agreement covers in particular the political, commercial, economic and financial, scientific, technological, social, cultural and cooperation fields. It may be extended to other areas to be agreed upon by the Parties.

4. In accordance with the objectives defined above, this Agreement provides for the following:

(a) the enhancement of political dialogue on bilateral and international matters of mutual interest, which will be conducted through meetings at different levels;

(b) the strengthening of cooperation in the political, commercial, economic and financial, scientific, technological, social, cultural and cooperation fields, as well as other areas of mutual interest;

(c) the upgrading of the participation of each Party in the framework programmes, specific programmes and other activities of the other Party, insofar as permitted by each Party's internal procedures governing access to the programmes and activities concerned, in accordance with Part III; and

(d) the expansion and diversification of the Parties' bilateral trade relation in conformity with WTO provisions and with the specific objectives and provisions set out in Part IV.

TITLE II

INSTITUTIONAL FRAMEWORK

Article 3

Association Council

1. An Association Council is hereby established, which shall supervise the implementation of this Agreement. The Association Council shall meet at ministerial level at regular intervals, not exceeding a period of two years, and extraordinarily whenever circumstances so require, if the Parties so agree.

2. The Association Council shall examine any major issue arising within the framework of this Agreement, as well as any other bilateral, multilateral or international question of common interest.

3. The Association Council shall also examine proposals and recommendations from the Parties for the improvement of this Agreement.

Article 4

Composition and rules of procedures

1. The Association Council shall be composed, on the one hand, of the President of the Council of the European Union, assisted by the Secretary General/High Representative, the incoming Presidency, other Members of the Council of the European Union or their representatives and Members of the European Commission, and, on the other hand, of the Minister of Foreign Affairs of Chile.

2. The Association Council shall establish its own rules of procedure.

3. Members of the Association Council may arrange to be represented, in accordance with the conditions laid down in its rules of procedure.

4. The Association Council shall be chaired in turn by a Member of the Council of the European Union and by the Minister of Foreign Affairs of Chile, in accordance with the provisions laid down in its rules of procedure.

Article 5

Decision-making powers

1. In order to attain the objectives of this Agreement, the Association Council shall have the power to take decisions in the cases provided for in this Agreement.

2. The decisions taken shall be binding on the Parties, which shall take all the measures necessary to implement them in accordance with each Party's internal rules.

3. The Association Council may also make appropriate recommendations.

4. The Association Council shall adopt decisions and recommendations by mutual agreement between the Parties.

Article 6

Association Committee

1. The Association Council shall be assisted in the performance of its duties by an Association Committee composed of representatives of the Members of the Council of the European Union and of the Commission of the European Communities, on the one hand, and representatives of the Government of Chile, on the other, normally at senior officials level.

2. The Association Committee shall be responsible for the general implementation of this Agreement.

3. The Association Council shall establish the rules of procedure of the Association Committee.

4. The Association Committee shall have the power to take decisions in the cases provided for in this Agreement or where such power has been delegated to it by the Association Council. In this event the Association Committee shall take its decisions in accordance with the conditions laid down in Article 5.

5. The Association Committee shall generally meet once a year for an overall review of the implementation of this Agreement, on a date and with an agenda agreed in advance by the Parties, in Brussels one year and in Chile the next. Special meetings may be convened, by mutual agreement, at the request of either of the Parties. The Association Committee shall be chaired alternately by a representative of each of the Parties.

Article 7

Special Committees

1. The Association Council shall be assisted in the performance of its duties by the Special Committees established in this Agreement.

2. The Association Council may decide to set up any Special Committee.

3. The Association Council shall adopt rules of procedure which determine the composition and duties of such committees and how they shall function, insofar as not provided for by this Agreement.

Article 8

Political Dialogue

The political dialogue between the Parties shall be conducted within the framework provided for in Part II.

Article 9

Association Parliamentary Committee

1. An Association Parliamentary Committee is hereby established. It shall be a forum for members of the European Parliament and the Chilean National Congress (Congreso Nacional de Chile) to meet and exchange views. It shall meet at intervals which it shall itself determine.

2. The Association Parliamentary Committee shall consist of members of the European Parliament, on the one hand, and of members of the Chilean National Congress (Congreso Nacional de Chile), on the other.

3. The Association Parliamentary Committee shall establish its rules of procedure.

4. The Association Parliamentary Committee shall be chaired in turn by a representative of the European Parliament and a representative of the Chilean National Congress (Congreso Nacional de Chile), in accordance with the provisions to be laid down in its rules of procedure.

5. The Association Parliamentary Committee may request of the Association Council relevant information regarding the implementation of this Agreement, and the Association Council shall supply the Committee with the requested information.

6. The Association Parliamentary Committee shall be informed of the decisions and recommendations of the Association Council.

7. The Association Parliamentary Committee may make recommendations to the Association Council.

Article 10

Joint Consultative Committee

1. A Joint Consultative Committee is hereby established with the task of assisting the Association Council to promote dialogue and cooperation between the various economic and social organisations of civil society in the European Union and those in Chile. Such dialogue and cooperation shall encompass all economic and social aspects of the relations between the Community and Chile, as they arise in the context of implementation of this Agreement. The Committee may express its view on questions arising in these areas.

2. The Joint Consultative Committee shall be composed of an equal number of members of the Economic and Social Committee of the European Union, on the one hand, and of members of the corresponding institution dealing with economic and social matters in the Republic of Chile, on the other.

3. The Joint Consultative Committee shall carry out its activities on the basis of consultation by the Association Council or, for the purposes of promoting the dialogue between various economic and social representatives, on its own initiative.

4. The Joint Consultative Committee shall adopt its rules of procedure.

Article 11

Civil Society

The Parties will also promote regular meetings of representatives of the European Union's and the Chilean civil societies, including the academic community, social and economic partners and non-governmental organisations in order to keep them informed of the implementation of this Agreement and gather their suggestions for its improvement.

PART II

POLITICAL DIALOGUE

Article 12

Objectives

1. The Parties agree to reinforce their regular dialogue on bilateral and international matters of mutual interest. They aim at strengthening and deepening this political dialogue with a view to consolidating the Association established by this Agreement.

2. The main objective of the political dialogue between the Parties is the promotion, dissemination, further development and common defence of democratic values, such as the respect for human rights, the freedom of the individual and the principles of the rule of law as the foundation of a democratic society.

3. To this end, the Parties shall discuss and exchange information on joint initiatives concerning any issue of mutual interest and any other international issue with a view to pursuing common goals, in particular, security, stability, democracy and regional development.

Article 13

Mechanisms

1. The Parties agree that their political dialogue shall take the form of:

(a) regular meetings between Heads of State and Government;

(b) periodic meetings between Foreign Ministers;

(c) meetings between other Ministers to discuss matters of common interest in cases in which the Parties consider that such meetings will result in closer relations;

(d) annual meetings between senior officials of both Parties.

2. The Parties shall decide on the procedures to be used for the abovementioned meetings.

3. The periodic meetings of Foreign Ministers referred to under paragraph 1(b) shall take place either within the Association Council established by Article 3, or on other agreed occasions of an equivalent level.

4. The Parties shall also make maximum use of diplomatic channels.

Article 14

Cooperation in the field of foreign and security policy

The Parties shall, as far as possible, coordinate their positions and undertake joint initiatives in the appropriate international fora, and cooperate in the field of foreign and security policy.

Article 15

Cooperation against terrorism

The Parties agree to cooperate in the fight against terrorism in accordance with international conventions and with their respective laws and regulations. They shall do so in particular:

(a) in the framework of the full implementation of Resolution 1373 of the United Nations Security Council and other relevant United Nations Resolutions, international conventions and instruments;

(b) by exchange of information on terrorist groups and their support networks in accordance with international and domestic law;

(c) by exchange of views on means and methods used to counter terrorism, including in technical fields and training, and by exchange of experiences in respect of terrorism prevention.

PART III

COOPERATION

Article 16

General objectives

1. The Parties shall establish close cooperation aimed inter alia at:

(a) strengthening the institutional capacity to underpin democracy, the rule of law, and respect for human rights and fundamental freedoms;

(b) promoting social development, which should go hand in hand with economic development and the protection of the environment. The Parties shall give particular priority to respect for basic social rights;

(c) stimulating productive synergies, creating new opportunities for trade and investment and promoting competitiveness and innovation;

(d) increasing the level of and deepening cooperation actions, while taking into account the Association relation between the Parties.

2. The Parties re-affirm the importance of economic, financial and technical cooperation, as a means of contributing towards implementing the objectives and principles derived from this Agreement.

TITLE I

ECONOMIC COOPERATION

Article 17

Industrial cooperation

1. Industrial cooperation shall support and promote industrial policy measures to develop and consolidate the Parties' efforts and establish a dynamic, integrated and decentralised approach to managing industrial cooperation, so as to create a favourable environment to serve their mutual interests.

2. The central aims shall be:

(a) to boost contacts between the Parties' economic operators, with the aim of identifying sectors of mutual interest, especially in the area of industrial cooperation, transfers of technology, trade and investment;

(b) to strengthen and promote dialogue and exchanges of experience between networks of European and Chilean economic operators;

(c) to promote industrial cooperation projects, including projects deriving from the process of privatisation and/or opening-up of the Chilean economy; these could cover the establishment of forms of infrastructure stimulated by European investment through industrial cooperation between businesses; and

(d) to strengthen innovation, diversification, modernisation, development and product quality in businesses.

Article 18

Cooperation on standards, technical regulations and conformity assessment procedures

1. Cooperation on standards, technical regulations and conformity assessment is a key objective in order to avoid and reduce technical barriers to trade and to ensure the satisfactory functioning of trade liberalisation as provided for in Part IV, Title II.

2. Cooperation between the Parties shall seek to promote efforts in:

(a) regulatory cooperation;

(b) compatibility of technical regulations on the basis of international and European standards; and

(c) technical assistance to create a network of conformity assessment bodies on a non-discriminatory basis.

3. In practice, cooperation shall:

(a) encourage any measures aimed at bridging the gaps between the Parties in the areas of conformity assessment and standardisation;

(b) provide organisational support between the Parties to foster the establishment of regional networks and bodies, and increase coordination of policies to promote a common approach to the use of international and regional standards and similar technical regulations and conformity assessment procedures; and

(c) encourage any measure aimed at improving convergence and compatibility between the respective system of the Parties in the abovementioned areas, including transparency, good regulatory practices and the promotion of quality standards for products and business practices.

Article 19

Cooperation on small and medium-sized enterprises

1. The Parties shall promote a favourable environment for the development of small and medium-sized enterprises (SMEs).

2. Cooperation shall consist, amongst other actions, of:

(a) technical assistance;

(b) conferences, seminars, prospecting for industrial and technical opportunities, participation in round tables and general and sectoral fairs;

(c) promoting contacts between economic operators, encouraging joint investment and establishing joint ventures and information networks through existing horizontal programs;

(d) facilitating access to finance, providing information and stimulating innovation.

Article 20

Cooperation on services

In compliance with the WTO General Agreement on Trade in Services (the "GATS") and within the bounds of their own fields of competence, the Parties shall support and intensify cooperation with each other, reflecting the growing importance of services in the development and growth of their economies. Cooperation aimed at promoting the development and diversification of productivity and competitiveness in Chile's service sector shall be stepped up. The Parties shall determine the sectors on which cooperation will concentrate, and they shall also focus on the means available for this purpose. Activities shall be directed particularly at SMEs and at facilitating their access to sources of capital and market technology. In that connection, special attention shall be devoted to promoting trade between the Parties and third countries.

Article 21

Promoting investment

1. The aim of cooperation shall be to help the Parties to promote, within the bounds of their own competence, an attractive and stable reciprocal investment climate.

2. Cooperation shall cover in particular the following:

(a) establishing mechanisms for providing information, identifying and disseminating investment rules and opportunities;

(b) developing a legal framework for the Parties that favours investment, by conclusion, where appropriate, of bilateral agreements between the Member States and Chile to promote and protect investment and avoid dual taxation;

(c) incorporating technical assistance activities for training initiatives between the Parties' government agencies dealing with the matter; and

(d) developing uniform and simplified administrative procedures.

Article 22

Cooperation on energy

1. The aim of the cooperation between the Parties shall be to consolidate economic relations in key sectors such as hydroelectricity, oil and gas, renewable energy, energy-saving technology and rural electrification.

2. Among the objectives of cooperation shall be:

(a) exchanges of information in all suitable forms, including developing databases shared by institutions of both Parties, and training and conferences;

(b) transfers of technology;

(c) diagnostic studies, comparative analyses and implementation of programmes by institutions from both Parties;

(d) involvement of public and private operators from both regions in technological development and common-infrastructure projects, including networks with other countries in the region;

(e) conclusion, where appropriate, of specific agreements in key fields of mutual interest; and

(f) assistance for Chilean institutions dealing with energy matters and the formulation of energy policy.

Article 23

Transport

1. Cooperation shall focus on restructuring and modernising Chile's transport systems, improving the movement of passengers and goods and providing better access to the urban, air, maritime, rail and road transport markets by refining the management of transport from the operational and administrative points of view and by promoting operating standards.

2. Cooperation shall cover matters including the following:

(a) exchanges of information on the Parties' policies, especially regarding urban transport and the interconnection and interoperability of multimodal transport networks and other issues of mutual interest;

(b) training programmes in economics, legislation and technical matters for economic operators and senior civil servants; and

(c) cooperation projects for transfers of European technology in the Global Navigation Satellite System and urban public transport centres.

Article 24

Cooperation on agriculture and rural sectors and sanitary and phytosanitary measures

1. Cooperation in this area is designed to support and stimulate agricultural policy measures in order to promote and consolidate the Parties' efforts towards a sustainable agriculture and agricultural and rural development.

2. The cooperation shall focus on capacity-building, infrastructure and technology transfer, addressing matters such as:

(a) specific projects aimed at supporting sanitary, phytosanitary, environmental and food quality measures, taking into account the legislation in force for both Parties, in compliance with WTO rules and other competent international organisations;

(b) diversification and restructuring of agricultural sectors;

(c) the mutual exchange of information, including that concerning the development of the Parties' agricultural policies;

(d) technical assistance for the improvement of productivity and the exchange of alternative crop technologies;

(e) scientific and technological experiments;

(f) measures aimed at enhancing the quality of agricultural products and supporting trade promotion activities;

(g) technical assistance for the strengthening of sanitary and phytosanitary control systems, with a view to supporting as far as possible the promotion of equivalence and mutual recognition agreements.

Article 25

Fisheries

1. In view of the importance of fisheries policy in the relations between them, the Parties undertake to develop closer economic and technical collaboration, possibly leading to bilateral and/or multilateral agreements covering fisheries on the high seas.

2. Furthermore, the Parties underline the importance they attach to fulfilment of the mutual commitments specified in the Arrangement that they signed on 25 January 2001.

Article 26

Customs cooperation

1. The Parties shall promote and facilitate cooperation between their respective customs services in order to ensure that the objectives set out in Article 79 are attained, particularly in order to guarantee the simplification of customs procedures; facilitating legitimate trade while retaining their control capabilities.

2. Without prejudice to the cooperation established by this Agreement, mutual assistance between the administrative authorities in customs matters shall be given in conformity with the Protocol of 13 June 2001 on Mutual Assistance in Customs Matters to the Framework Cooperation Agreement.

3. The cooperation shall give rise among other things, to:

(a) the provision of technical assistance, including where appropriate, the organisation of seminars and the placement of trainees;

(b) the development and sharing of best practices; and

(c) the improvement and simplification of customs matters relating to market access and rules of origin and the customs procedures related to them.

Article 27

Cooperation on statistics

1. The main aim shall be to approximate methods, so that the Parties are able to use each other's statistics on trade in goods and services and more generally on any area covered by this Agreement for which statistics can be collected.

2. Cooperation shall focus on:

(a) homologation of statistical methods to generate indicators that are comparable between the Parties;

(b) scientific and technological exchanges with statistical institutions of the Member States of the European Union, and with Eurostat;

(c) statistical research directed at developing common methods for collecting, analysing and interpreting data;

(d) organising seminars and workshops; and

(e) statistical training programmes, including other countries of the region.

Article 28

Cooperation on the environment

1. The aim of cooperation shall be to encourage conservation and improvement of the environment, prevention of contamination and degradation of natural resources and ecosystems, and rational use of the latter in the interests of sustainable development.

2. In this connection, the following are particularly significant:

(a) the relationship between poverty and the environment;

(b) the environmental impact of economic activities;

(c) environmental problems and land-use management;

(d) projects to reinforce Chile's environmental structures and policies;

(e) exchanges of information, technology and experience in areas including environmental standards and models, training and education;

(f) environmental education and training to involve citizens more; and

(g) technical assistance and joint regional research programmes.

Article 29

Consumer protection

Cooperation in this field shall seek to make the consumer-protection programmes in the Parties compatible, and shall as far as possible cover:

(a) making consumer legislation more compatible, so as to avoid trade barriers;

(b) establishing and developing mutual information systems for dangerous goods, and interconnecting those systems (early-warning systems);

(c) exchanges of information and experts, and encouraging cooperation between both Parties' consumer bodies; and

(d) organising projects for training and technical assistance.

Article 30

Data protection

1. The Parties agree to cooperate on the protection of personal data in order to improve the level of protection and avoid obstacles to trade that requires transfers of personal data.

2. Cooperation on personal data protection may include technical assistance in the form of exchange of information and experts and the establishment of joint programmes and projects.

Article 31

Macroeconomic dialogue

1. The Parties shall promote exchanges of information on their respective macroeconomic policies and trends, and exchanges of experience regarding coordination of macroeconomic policies in the context of regional integration.

2. With this aim in mind, the Parties shall seek more in-depth dialogue between their authorities on macroeconomic matters, in order to exchange ideas and opinions on issues such as:

(a) macroeconomic stabilisation;

(b) consolidation of public finances;

(c) tax policy;

(d) monetary policy;

(e) financial policy and regulation;

(f) financial integration and opening of the capital account;

(g) exchange-rate policy;

(h) international financial architecture and reform of the international monetary system; and

(i) coordination of macroeconomic policy.

3. The methods of implementing such cooperation shall include:

(a) meetings between macroeconomic authorities;

(b) organising seminars and conferences;

(c) providing training opportunities, where there is a demand; and

(d) producing studies on issues of mutual interest.

Article 32

Intellectual property rights

1. The Parties agree to cooperate, according to their own capabilities, in matters relating to the practice, promotion, dissemination, streamlining, management, harmonisation, protection and effective application of intellectual property rights, the prevention of abuses of such rights, the fight against counterfeiting and piracy, and the establishment and strengthening of national organisations for control and protection of such rights.

2. Technical cooperation may focus on one or more of the activities listed below:

(a) legislative advice: comments on draft laws relating to the general provisions and basic principles of the international conventions listed in Article 170, copyright and related rights, trademarks, geographical indications, traditional expressions or complementary quality mentions, industrial designs, patents, layout-designs (topographies) of integrated circuits, protection of undisclosed information, control of anti-competitive practices in contractual licences, enforcement and other matters relating to the protection of intellectual property rights;

(b) advice on the ways of organising administrative infrastructure, such as patent offices and collecting societies;

(c) training in the field of intellectual property rights administration and management techniques;

(d) specific training of judges and Customs and Police Officers, in order to make the enforcement of laws more effective; and

(e) awareness-building activities for the private sector and civil society.

Article 33

Public procurement

Cooperation between the Parties in this field shall seek to provide technical assistance on issues connected with public procurement, paying special attention to the municipal level.

Article 34

Cooperation on tourism

1. The Parties shall promote mutual cooperation in developing tourism.

2. Such cooperation shall focus on:

(a) projects intended to create and consolidate tourist products and services of mutual interest or which hold an attraction for other markets of mutual interest;

(b) consolidation of long-haul tourist flows;

(c) reinforcing tourism promotion channels;

(d) training and education in tourism;

(e) technical assistance and pilot projects for developing special-interest tourism;

(f) exchanges of information on tourism promotion, integral planning of tourist destinations and quality of services; and

(g) using promotion instruments to develop tourism at local level.

Article 35

Cooperation on mining

The Parties commit themselves to promoting cooperation on mining, mainly through agreements aimed at:

(a) fostering exchanges of information and experience, in the application of clean technologies in the mining productive processes;

(b) promoting joint efforts to develop scientific and technological initiatives in the field of mining.

TITLE II

SCIENCE, TECHNOLOGY AND INFORMATION SOCIETY

Article 36

Cooperation on science and technology

1. The aims of cooperation on science and technology, carried out in the mutual interest of both Parties and in compliance with their policies, particularly as regards the rules for use of intellectual property resulting from research, shall be:

(a) policy dialogue and exchanges of scientific and technological information and experience at regional level, particularly in respect of policies and programmes;

(b) promotion of lasting relations between the two Parties' scientific communities; and

(c) intensification of activities to promote linkage, innovation and technology transfer between European and Chilean partners.

2. Special emphasis shall be placed on human potential building as the real long-lasting basis of scientific and technological excellence and the creation of permanent links between both scientific and technological communities, at both national and regional levels.

3. The following forms of cooperation shall be encouraged:

(a) joint applied research projects in areas of common interest, with active participation by business undertakings where appropriate;

(b) exchanges of researchers to promote project preparation, high-level training and research;

(c) joint scientific meetings to foster exchanges of information and interaction and to identify areas for joint research;

(d) the promotion of activities linked to scientific and technological forward studies which contribute to the long term development of both Parties; and

(e) the development of links between the public and private sectors.

4. Furthermore, the evaluation of joint work and the dissemination of results shall be promoted.

5. Higher-education institutions, research centres and productive sectors, including SMEs, on both sides shall be involved in this cooperation in an appropriate manner.

6. The Parties shall promote their respective entities' participation in their respective scientific and technological programmes in pursuit of mutually beneficial scientific excellence and in accordance with their respective provisions governing the participation of legal entities from third countries.

Article 37

Information society, information technology and telecommunications

1. Information technology and communications are key sectors in a modern society and are of vital importance for economic and social development and the smooth transition to the information society.

2. Cooperation in this area shall aim in particular to promote:

(a) dialogue on the various issues of the information society, including promotion and monitoring of the emergence of the information society;

(b) cooperation on regulatory and policy aspects of telecommunications;

(c) exchange of information on standards, conformity assessment and type approval;

(d) dissemination of new information and communication technologies;

(e) joint research projects on information and communication technologies and pilot projects in the field of information society applications;

(f) promotion of exchange and training of specialists, in particular for young professionals; and

(g) exchange and dissemination of experiences from government initiatives which apply information technologies in their relationship with society.

TITLE III

CULTURE, EDUCATION AND AUDIO-VISUAL

Article 38

Education and training

1. The Parties shall significantly support, within their respective competencies, pre-schooling, basic, intermediate and higher education, vocational training and life-long learning. Within these fields, special attention shall be paid to access to education for vulnerable social groups, such as the disabled, ethnic minorities and the extremely poor.

2. Special attention shall be paid to decentralised programmes, which forge permanent links between specialised bodies of both Parties and encourage the pooling and exchange of experience and technical resources as well as the mobility of students.

Article 39

Cooperation in the audio-visual field

The Parties agree to promote the cooperation in this area, mainly through training programmes in the audio-visual sector and means of communication, including co-production, training, development and distribution activities.

Article 40

Exchange of information and cultural cooperation

1. In view of the Parties' very close cultural ties, cooperation in this sphere, including information and media contacts, should be enhanced.

2. The objective of this Article shall be to promote the exchange of information and cultural cooperation between the Parties, and account shall be taken of bilateral schemes with the Member States.

3. Special attention shall be paid to promoting joint activities in various fields, including the press, cinema and television, and to encouraging youth exchange schemes.

4. This cooperation could cover inter alia the following areas:

(a) mutual information programmes;

(b) translation of literary works;

(c) conservation and restoration of national heritage;

(d) training;

(e) cultural events;

(f) promotion of local culture;

(g) cultural management and production; and

(h) other areas.

TITLE IV

PUBLIC ADMINISTRATION AND INTERINSTITUTIONAL COOPERATION

Article 41

Public administration

1. Cooperation in this area shall aim at the modernisation and decentralisation of public administration and encompass overall organisational efficiency and the legislative and institutional framework, drawing lessons from both Parties' best practices.

2. Such cooperation may involve programmes of the following types:

(a) modernisation of the State and of public administration;

(b) decentralisation and the strengthening of regional and local government;

(c) strengthening of civil society and its incorporation into the process of defining public policies;

(d) job creation and vocational training programmes;

(e) social service management and administration projects;

(f) development, rural housing or land management projects;

(g) health and primary education programmes;

(h) support for civil society and grass-roots initiatives;

(i) any other programmes and projects which help to combat poverty by creating business and employment opportunities; and

(j) promotion of culture and its several manifestations and strengthening of cultural identities.

3. The means of cooperation in this area shall be:

(a) technical assistance to Chilean policy-making and executive bodies, including meetings between staff of the European institutions and their Chilean counterparts;

(b) regular exchanges of information taking whatever form is appropriate, including the use of computer networks; personal data protection shall be ensured in all areas where data are to be exchanged;

(c) transfers of know-how;

(d) preliminary studies and joint project implementation, involving comparable financial input; and

(e) training and organisational support.

Article 42

Interinstitutional cooperation

1. The purpose of interinstitutional cooperation between the Parties is to promote closer cooperation between the institutions concerned.

2. To that end, Part III of this Agreement shall seek to encourage regular meetings between these institutions; cooperation shall be as broad as possible and include:

(a) any measures promoting regular exchanges of information, including the joint development of computerised communication networks;

(b) advice and training; and

(c) transfers of know-how.

3. The Parties may, by common agreement, include other, additional fields of action.

TITLE V

SOCIAL COOPERATION

Article 43

Social dialogue

The Parties recognise that:

(a) the participation of the social partners will be promoted as regards living conditions and integration into society,

(b) particular account will be taken of the need to avoid discrimination in the treatment of nationals of one Party residing legally in the territory of the other Party.

Article 44

Social cooperation

1. The Parties recognise the importance of social development, which must go hand in hand with economic development. They shall give priority to the creation of employment and respect for fundamental social rights, notably by promoting the relevant conventions of the International Labour Organisation covering such topics as the freedom of association, the right to collective bargaining and non-discrimination, the abolition of forced and child labour and equal treatment between men and women.

2. Cooperation may cover any area of interest to the Parties.

3. Measures may be coordinated with those of the Member States and the relevant international organisations.

4. The Parties shall give priority to measures aimed at:

(a) promoting human development, the reduction of poverty and the fight against social exclusion, by generating innovative and reproducible projects involving vulnerable and marginalised social sectors. Special attention shall be paid to low-income families and disabled persons;

(b) promoting the role of women in the economic and social development process and promoting specific programmes for youth;

(c) developing and modernising labour relations, working conditions, social welfare and employment security;

(d) improving the formulation and management of social policies, including social housing, and improving access by beneficiaries;

(e) developing an efficient and equitable health system, based on solidarity principles;

(f) promoting vocational training and development of human resources;

(g) promoting projects and programmes which generate opportunities for the creation of employment within micro-, small and medium-sized enterprises;

(h) promoting programmes of land management with special attention to areas with higher social and environmental vulnerability;

(i) promoting initiatives contributing to social dialogue and the creation of consensus; and

(j) promoting respect for human rights, democracy and citizens' participation.

Article 45

Cooperation related to gender

1. Cooperation shall contribute to strengthening policies and programmes that improve, guarantee and extend the equitable participation of men and women in all sectors of political, economic, social and cultural life. Cooperation shall contribute to easing women's access to all necessary resources for the full exercise of their fundamental rights.

2. In particular, cooperation should promote the creation of an adequate framework to:

(a) ensure that gender and gender-related issues can be taken into account at every level and in all areas of cooperation including macroeconomic policy, strategy and development operations; and

(b) promote the adoption of positive measures in favour of women.

TITLE VI

OTHER COOPERATION AREAS

Article 46

Cooperation on illegal immigration

1. The Community and Chile agree to cooperate in order to prevent and control illegal immigration. To this end:

(a) Chile agrees to readmit any of its nationals illegally present on the territory of a Member State, upon request by the latter and without further formalities;

(b) and each Member State agrees to readmit any of its nationals, as defined for Community purposes, illegally present on the territory of Chile, upon request by the latter and without further formalities.

2. The Member States and Chile will also provide their nationals with appropriate identity documents for such purposes.

3. The Parties agree to conclude, upon request, an agreement between Chile and the Community regulating the specific readmission obligations of Chile and the Member States, including an obligation to readmit nationals of other countries and stateless persons.

4. Pending the conclusion of the agreement with the Community referred to in paragraph 3, Chile agrees to conclude, upon request by a Member State, bilateral agreements with individual Member States regulating the specific readmission obligations between Chile and the Member State concerned, including an obligation to readmit nationals of other countries and stateless persons.

5. The Association Council shall examine what other joint efforts can be made to prevent and control illegal immigration.

Article 47

Cooperation on drugs and combating organised crime

1. Within their respective competencies, the Parties undertake to coordinate and increase their efforts to prevent, and reduce the illicit production of, trade in and consumption of drugs and the laundering of profits from drug-trafficking, and to combat related organised crime through the intermediary of international organisations and bodies.

2. The Parties shall cooperate in this area to implement in particular:

(a) projects for the treatment, rehabilitation and family, social and labour reinsertion of drug addicts;

(b) joint training programmes relating to prevention of consumption and trafficking of narcotic drugs and psychotropic substances and related crimes;

(c) joint study and research programmes, using methodologies and indicators applied by the European Monitoring Centre for Drugs and Drug Addiction, the Inter-American Observatory of Drugs of the Organisation of American States and other international and national organisations;

(d) measures and cooperation actions aimed at reducing the supply of drugs and psychotropic substances, as part of the international conventions and treaties on the matter which have been signed and ratified by the Parties to this Agreement;

(e) information exchange on policies, programmes, actions and legislation linked to production, trafficking and consumption of narcotic drugs and psychotropic substances;

(f) exchange of relevant information and adoption of appropriate standards to combat money laundering comparable to those adopted by the European Union and the international bodies active in this field, such as the Financial Action Task Force on Money Laundering; and

(g) measures to prevent diversion of precursors and chemical substances essential to the illicit production of narcotic drugs and psychotropic substances, equivalent to those adopted by the European Community and competent international organisations and in accordance with the Agreement between the Republic of Chile and the European Community on the prevention of the diversion of precursors and chemical substances frequently used in the illicit manufacture of narcotic drugs or psychotropic substances of 24 November 1998.

TITLE VII

GENERAL PROVISIONS

Article 48

Participation of civil society in cooperation

The Parties recognise the complementary role and potential contribution of civil society (social interlocutors and Non-Governmental Organisations) in the cooperation process. To that end, subject to the legal and administrative provisions of each Party, civil society actors may:

(a) be informed of, and participate in, consultations on cooperation policies and strategies, including strategic priorities, particularly in the areas concerning or directly affecting them;

(b) receive financial resources, insofar as the internal rules of each Party allow it; and

(c) participate in the implementation of cooperation projects and programmes in the areas that concern them.

Article 49

Regional cooperation and regional integration

1. Both Parties should use all existing cooperation instruments to promote activities aimed at developing an active and reciprocal cooperation between the Parties and the Mercado Común del Sur (Mercosur) as a whole.

2. Such cooperation shall be an important element in the Community's support for the promotion of regional integration among the Southern Cone countries of Latin America.

3. Priority shall be given to operations aimed at:

(a) promoting trade and investment in the region;

(b) developing regional cooperation on the environment;

(c) encouraging development of the communications infrastructure required for the economic development of the region; and

(d) developing regional cooperation on fisheries matters.

4. The Parties shall also cooperate more closely on regional development and land-use planning.

5. To this end, they may:

(a) undertake joint action with regional and local authorities in the area of economic development; and

(b) set up mechanisms for the exchange of information and know-how.

Article 50

Triangular and bi-regional cooperation

1. The Parties recognise the value of international cooperation for the promotion of equitable and sustainable development processes and agree to give impetus to triangular cooperation programmes and programmes with third countries in areas of common interest.

2. This cooperation may also be applied to bi-regional cooperation in accordance with the priorities of Member States and other countries of Latin America and the Caribbean.

Article 51

Future developments clause

Within the Parties' respective competencies, no opportunity for cooperation should be ruled out in advance and the Parties could use the Association Committee to explore together the practical possibilities for cooperation in their mutual interest.

Article 52

Cooperation within the Association relationship

1. Cooperation between the Parties should contribute to achieving the general objectives of Part III by identifying and developing innovative cooperation programmes capable of providing added value to their new relationship as associated partners.

2. The participation of each Party as an associated partner in framework programmes, specific programmes and other activities of the other Party shall be promoted, in so far as it is permitted by each Party's internal rules governing access to the programmes and activities concerned.

3. The Association Council may make recommendations to that effect.

Article 53

Resources

1. With the aim of contributing to fulfilling the cooperation objectives established in this Agreement, the Parties commit themselves to providing, within the limits of their capacities and through their own channels, the appropriate resources, including financial resources.

2. The Parties shall take all appropriate measures to promote and facilitate the European Investment Bank's activities in Chile, in accordance with its own procedures and financing criteria and with their laws and regulations, and without prejudice to the powers of their competent authorities.

Article 54

Specific tasks of the Association Committee in cooperation matters

1. When the Association Committee performs any of the tasks conferred upon it in Part III, it shall be composed of representatives of the Community and Chile with responsibility for cooperation matters, normally at senior official level.

2. Notwithstanding the provisions of Article 6, the Association Committee shall have, in particular, the following functions:

(a) to assist the Association Council in the performance of its functions regarding cooperation related matters;

(b) to supervise the implementation of the cooperation framework agreed between the Parties;

(c) to make recommendations on the strategic cooperation between the Parties, which shall serve to set long-term objectives, the strategic priorities and specific fields for action, on the multiannual indicative programmes, which shall contain a description of sectoral priorities, specific objectives, expected results and indicative amounts, and annual action programmes; and

(d) to report regularly to the Association Council on the application and fulfilment of the objectives and matters of Part III.

PART IV

TRADE AND TRADE-RELATED MATTERS

TITLE I

GENERAL PROVISIONS

Article 55

Objectives

The objectives of this Part shall be as follows:

(a) the progressive and reciprocal liberalisation of trade in goods, in conformity with Article XXIV of General Agreement on Tariffs and Trade 1994 ("the GATT 1994");

(b) the facilitation of trade in goods through, inter alia, the agreed provisions regarding customs and related matters, standards, technical regulations and conformity assessment procedures, sanitary and phytosanitary measures and trade in wines and spirit drinks and aromatised drinks;

(c) the reciprocal liberalisation of trade in services, in conformity with Article V of General Agreement on Trade in Services ("the GATS");

(d) the improvement of the investment environment and, in particular, the conditions of establishment between the Parties, on the basis of the principle of non-discrimination;

(e) the liberalisation of current payments and capital movements, in conformity with the commitments undertaken in the framework of the international financial institutions and with due consideration for each Party's currency stability;

(f) the effective and reciprocal opening of the government procurement markets of the Parties;

(g) the adequate and effective protection of intellectual property rights, in accordance with the highest international standards;

(h) the establishment of an effective cooperation mechanism in the field of competition; and

(i) the establishment of an effective dispute settlement mechanism.

Article 56

Customs unions and free trade areas

1. Nothing in this Agreement shall preclude the maintenance or establishment of customs unions, free trade areas or other arrangements between either of the Parties and third countries, insofar as they do not alter the rights and obligations provided for in this Agreement.

2. At the request of a Party, consultations between them shall take place within the Association Committee concerning agreements establishing or adjusting customs unions or free trade areas and, where required, on other major issues related to the Parties' respective trade policies with third countries. In particular, in the event of accession, such consultation shall take place so as to ensure that account can be taken of the mutual interests of the Parties.

TITLE II

FREE MOVEMENT OF GOODS

Article 57

Objective

The Parties shall progressively and reciprocally liberalise trade in goods over a transitional period starting from the entry into force of this Agreement, in accordance with the provisions of this Agreement and in conformity with Article XXIV of the GATT 1994.

CHAPTER I

ELIMINATION OF CUSTOMS DUTIES

Section 1

Common provisions

Article 58

Scope

1. The provisions of this Chapter concerning the elimination of customs duties on imports shall apply to products originating in one Party and exported to the other Party. For the purposes of this Chapter, "originating" means qualifying under the rules of origin set out in Annex III.

2. The provisions of this Chapter concerning the elimination of customs duties on exports shall apply to all goods exported from one Party to the other Party.

Article 59

Customs duty

A customs duty includes any duty or charge of any kind imposed in connection with the importation or exportation of goods, including any form of surtax or surcharge in connection with such importation or exportation, but does not include any:

(a) internal taxes or other internal charges imposed consistently with Article 77;

(b) antidumping or countervailing duties applied consistently with Article 78;

(c) fees or other charges imposed consistently with Article 63.

Article 60

Elimination of customs duties

1. Customs duties on imports between the Parties shall be eliminated in accordance with the provisions of Articles 64 to 72.

2. Customs duties on exports between the Parties shall be eliminated as from the date of entry into force of this Agreement.

3. For each product, the basic customs duty to which the successive reductions are to be applied pursuant to Articles 64 to 72 shall be that specified in each Party's Tariff Elimination Schedule set out in Annexes I and II, respectively.

4. If a Party reduces its applied most favoured nation customs duty rate after the entry into force of this Agreement and before the end of the transitional period, the Tariff Elimination Schedule of that Party shall apply to the reduced rates.

5. Each Party declares its readiness to reduce its customs duties more rapidly than is provided for in Articles 64 to 72, or otherwise improve the conditions of access under such Articles, if its general economic situation and the situation of the economic sector concerned so permit. A decision by the Association Council to accelerate the elimination of a customs duty or otherwise improve conditions of access shall supersede the terms established in Articles 64 to 72 for the product concerned.

Article 61

Standstill

1. No new customs duties shall be introduced nor shall those already applied be increased in trade between the Parties as from the date of entry into force of this Agreement.

2. Nothwithstanding paragraph 1, Chile may maintain its price band system as established in Article 12 of Law 18,525 or succeeding system for the products covered by that law, provided it is applied consistently with Chile's rights and obligations under the WTO Agreement and in a manner that does not afford more favourable treatment to imports of any third country, including countries with which Chile has concluded or will conclude in the future an agreement notified under Article XXIV of the GATT 1994.

Article 62

Classification of goods

The classification of goods in trade between the Parties shall be that set out in each Party's respective tariff nomenclature in conformity with the Harmonised Commodity Description and Coding System ("HS").

Article 63

Fees and other charges

Fees and other charges referred to in Article 59 shall be limited in amount to the approximate cost of services rendered and shall not represent an indirect protection for domestic products or a taxation of imports or exports for fiscal purposes. They shall be based on specific rates that correspond to the real value of the service rendered.

Section 2

Elimination of customs duties

Subsection 2.1

Industrial products

Article 64

Scope

This sub-section applies to products of HS chapters 25 to 97 not covered by agricultural and processed agricultural products as defined in Article 70.

Article 65

Customs duties on industrial imports originating in Chile

Customs duties on imports into the Community of industrial products originating in Chile listed in Annex I (Tariff Elimination Schedule of the Community) under category "Year 0" and "Year 3" shall be eliminated in accordance with the following timetable, so that these customs duties are completely eliminated by the entry into force of the Agreement and on 1 January 2006, respectively:

Percentages of annual tariff reduction

>TABLE>

Article 66

Customs duties on industrial imports originating in the Community

Customs duties on imports into Chile of products originating in the Community listed in Annex II (Tariff Elimination Schedule of Chile) under category "Year 0", "Year 5" and "Year 7" shall be eliminated in accordance with the following timetable, so that these customs duties are completely eliminated by the entry into force of this Agreement, 1 January 2008 and 1 January 2010, respectively:

Percentages of annual tariff reduction

>TABLE>

Subsection 2.2

Fish and fisheries products

Article 67

Scope

This sub-section applies to fish and fisheries products as covered by HS chapter 3, HS headings 1604 and 1605, HS subheadings 0511 91 and 2301 20, and HS heading ex 1902 20 (1).

Article 68

Customs duties on fish and fisheries imports originating in Chile

1. Customs duties on imports into the Community of fish and fisheries products originating in Chile listed in Annex I under category "Year 0", "Year 4", "Year 7" and "Year 10" shall be eliminated in accordance with the following timetable, so that these customs duties are completely eliminated by the entry into force of this Agreement, 1 January 2007, 1 January 2010 and 1 January 2013, respectively:

Percentages of annual tariff reduction

>TABLE>

2. Tariff quotas on imports into the Community of certain fish and fisheries products originating in Chile listed in Annex I under category "TQ" shall be applied as from the entry into force of this Agreement, in accordance with the conditions mentioned in that Annex. These quotas shall be managed on a first-come first-served basis.

Article 69

Customs duties on fish and fisheries imports originating in the Community

1. Customs duties on imports into Chile of fish and fisheries products originating in the Community listed in Annex II under category "Year 0" shall be eliminated at the entry into force of this Agreement.

2. Tariff quotas on imports into Chile of certain fish and fisheries products originating in the Community listed in Annex II under category "TQ" shall be applied as from entry into force of this Agreement, in accordance with the conditions mentioned in that Annex. These quotas shall be managed on a first-come first-served basis.

Subsection 2.3

Agricultural and processed agricultural products

Article 70

Scope

This sub-section applies to agricultural and processed agricultural products as covered by Annex I of the WTO Agreement on Agriculture.

Article 71

Customs duties on agricultural and processed agricultural imports originating in Chile

1. Customs duties on imports into the Community of agricultural and processed agricultural products originating in Chile listed in Annex I under category "Year 0", "Year 4", "Year 7" and "Year 10" shall be eliminated in accordance with the following timetable, so that these customs duties are completely eliminated by the entry into force of this Agreement, 1 January 2007, 1 January 2010 and 1 January 2013, respectively:

Percentages of annual tariff reduction

>TABLE>

2. For the agricultural products originating in Chile covered by chapters 7 and 8 and headings 20.09 and 22.04.30 of the Combined Nomenclature and listed in Annex I under category "EP", for which the Common Customs Tariff provides for the application of ad valorem customs duties and a specific customs duty, the tariff elimination shall only apply to the ad valorem customs duty.

3. For agricultural and processed agricultural products originating in Chile listed in Annex I under category "SP", for which the Common Customs Tariff provides for the application of ad valorem customs duties and a specific customs duty, the tariff elimination shall only apply to the ad valorem customs duty.

4. The Community shall allow imports of processed agricultural products originating in Chile listed in Annex I under category "R" to enter the Community with a customs duty of 50 % of the basic customs duty as from the entry into force of this Agreement.

5. Tariff quotas on imports into the Community of certain agricultural and processed agricultural products originating in Chile listed in Annex I under category "TQ" shall be applied as from the entry into force of this Agreement, in accordance with the conditions mentioned in that Annex. These quotas shall be managed on a first-come first-served basis, or, as applicable in the Community, on the basis of a system of import and export licences.

6. Tariff concessions shall not apply to imports into the Community of products originating in Chile listed in Annex I under category "PN" as these products are covered by denominations protected in the Community.

Article 72

Customs duties on agricultural and processed agricultural imports originating in the Community

1. Customs duties on imports into Chile of agricultural and processed agricultural products originating in the Community listed in Annex II under category "Year 0", "Year 5" and "Year 10" shall be eliminated in accordance with the following timetable, so that these customs duties are completely eliminated by the entry into force of this Agreement, 1 January 2008 and 1 January 2013, respectively:

Percentages of annual tariff reduction

>TABLE>

2. Tariff quotas on imports into Chile of certain agricultural products originating in the Community listed in Annex II under category "TQ" shall be applied as from the entry into force of this Agreement, in accordance with the conditions mentioned in that Annex. These quotas shall be managed on a first-come first-served basis.

Article 73

Emergency clause for agricultural and processed agricultural products

1. Notwithstanding Article 92 of this Agreement and Article 5 of the WTO Agreement on Agriculture, if, given the particular sensitivity of the agricultural markets, a product originating in a Party is being imported into the other Party in such increased quantities and under such conditions as to cause or threaten to cause serious injury or disturbance in the markets of like or directly competitive products of the other Party, that Party may take appropriate measures under the conditions and in accordance with the procedures laid down in this Article.

2. If the conditions in paragraph 1 are met, the importing Party may:

(a) suspend the further reduction of any customs duties on the products concerned provided for under this Title; or

(b) increase the customs duty on the product to a level which does not exceed the lesser of:

(i) the most-favoured-nation customs duty; or

(ii) the basic customs duty referred to in Article 60(3).

3. Before applying the measure as defined under paragraph 2, the Party concerned shall refer the matter to the Association Committee for a thorough examination of the situation, with a view to seeking a mutually acceptable solution. If the other Party so requests, the Parties shall hold consultations within the Association Committee. If no solution is found within 30 days of the request for such consultation, safeguard measures may be applied.

4. Where exceptional circumstances require immediate action, the importing Party may take the measures provided for in paragraph 2 on a transitional basis without complying with the requirements of paragraph 3 for a maximum period of 120 days. Such measures shall not exceed what is strictly necessary to limit or redress the injury or disturbance. The importing Party shall inform the other Party inmediately.

5. The measures taken under this Article shall not exceed what is necessary to remedy the difficulties which have arisen. The Party imposing the measure shall preserve the overall level of preferences granted for the agricultural sector. To achieve this objective, the Parties may agree on compensation for the adverse effects of the measure on their trade, including the period during which a transitional measure applied in accordance with paragraph 4 is in place.

To this effect, the Parties shall hold consultations to reach a mutually agreed solution. If no agreement is reached within 30 days, the affected exporting Party may, after notification to the Association Council, suspend the application of substantially equivalent concessions under this Title.

6. For the purposes of this Article:

(a) "serious injury" shall be understood to mean a significant overall impairment in the position of the producers as a whole of the like or directly competitive products operating in a Party;

(b) "threat of serious injury" shall be understood to mean serious injury that is clearly inminent based on facts and not merely on allegations, conjecture or remote possibility.

Article 74

Evolution clause

During the third year after the entry into force of this Agreement, the Parties shall assess the situation, taking account of the pattern of trade in agricultural products and processed agricultural products between the Parties, the particular sensitivities of such products and the development of agricultural policy on both sides. The Parties shall examine, in the Association Committee, product by product and on an orderly and appropriate reciprocal basis, the opportunities for granting each other further concessions with a view to improving liberalisation of trade in agricultural and processed agricultural products.

CHAPTER II

NON TARIFF MEASURES

Section 1

Common provisions

Article 75

Scope

The provisions of this Chapter shall apply to trade in goods between the Parties.

Article 76

Prohibition of quantitative restrictions

All import or export prohibitions or restrictions in trade between the Parties, other than customs duties and taxes, whether made effective through quotas, import or export licenses or other measures, shall be eliminated upon the entry into force of this Agreement. No new such measures shall be introduced.

Article 77

National treatment on internal taxation and regulation(2)

1. Imported products of the territory of the other Party shall not be subject, either directly or indirectly, to internal taxes or other internal charges of any kind in excess of those applied, directly or indirectly, to like domestic products. Moreover, the Parties shall not otherwise apply internal taxes or other internal charges so as to afford protection to domestic production(3).

2. Imported products of the territory of the other Party shall be accorded treatment no less favourable than that accorded to like domestic products in respect of all laws, regulations and requirements affecting their internal sale, offering for sale, purchase, transportation, distribution or use. The provisions of this paragraph shall not prevent the application of differential internal transportation charges which are based exclusively on the economic operation of the means of transport and not on the nationality of the product.

3. Neither Party shall establish or maintain any internal quantitative regulation relating to the mixture, processing or use of products in specified amounts or proportions which requires, directly or indirectly, that any specified amount or proportion of any product which is the subject of the regulation must be supplied from domestic sources. Moreover, neither Party shall otherwise apply internal quantitative regulations so as to afford protection to domestic production(4).

4. The provisions of this Article shall not prevent the payment of subsidies exclusively to domestic producers, including payments to domestic producers derived from the proceeds of internal taxes or charges applied consistently with the provisions of this Article and subsidies effected through governmental purchases of domestic products.

5. The provisions of this Article shall not apply to laws, regulations, procedures or practices governing public procurement, which shall be subject exclusively to the provisions of Title IV of this Part.

Section 2

Antidumping and countervailing measures

Article 78

Antidumping and countervailing measures

If a Party determines that dumping and/or countervailable subsidisation is taking place in its trade with the other Party, it may take appropriate measures in accordance with the WTO Agreement on Implementation of Article VI of the GATT 1994 and the WTO Agreement on Subsidies and Countervailing Measures.

Section 3

Customs and related matters

Article 79

Customs and related trade matters

1. In order to ensure compliance with the provisions of this Title as they relate to customs and trade-related matters, and to facilitate trade without prejudice to the need for effective control, the Parties undertake to:

(a) cooperate and exchange information concerning customs legislation and procedures;

(b) apply customs rules and procedures agreed by the Parties at a bilateral or multilateral level;

(c) simplify requirements and formalities in respect of the release and clearance of goods, including, to the extent possible, collaboration on the development of procedures enabling the submission of import or export data to a single agency; and to coordinate between customs and other control agencies so as to enable official controls upon import or export to be carried out, as far as possible, by a single agency;

(d) cooperate on all issues concerning rules of origin and the customs procedures related to them; and

(e) cooperate on all customs valuation matters, in accordance with the Agreement on Implementation of Article VII of the GATT 1994, particularly with the aim of reaching common views regarding the application of valuation criteria, the use of indicative or reference indices, operational aspects and working methods.

2. In order to improve working methods and to ensure transparency and efficiency of customs operations, the Parties shall:

(a) ensure that the highest standards of integrity be maintained, through application of measures reflecting the principles of the relevant international conventions and instruments in this field, as provided for in each Party's legislation;

(b) take further steps wherever possible, towards the reduction, simplification and standardisation of data in the documentation required by customs, including the use of a single customs entry document or data message and a single customs exit document or data message, based on international standards and relying as far as possible on commercially available information;

(c) collaborate wherever possible on legislative and operational initiatives relating to import, export and customs procedures, and, to the extent possible, towards improving the service to the business community;

(d) cooperate where appropriate on technical assistance, including the organisation of seminars and placements;

(e) cooperate on the computerisation of customs procedures and collaborate, where possible, towards the establishment of common standards;

(f) apply the international rules and standards in the field of customs, including wherever possible, the substantive elements of the revised Kyoto Convention on the Simplification and Harmonisation of Customs Procedures;

(g) as far as possible, establish common positions in international organisations in the field of customs such as the WTO, the World Customs Organisation (WCO), the United Nations Organization (UN) and the United Nations Conference on Trade and Development (UNCTAD);

(h) provide effective and prompt procedures enabling the right of appeal, against customs and other agency administrative actions, rulings and decisions affecting import or export of goods, in conformity with Article X of the GATT 1994; and

(i) collaborate wherever possible towards facilitating transhipment operations and transit movements through their respective territories.

3. The Parties agree that their respective trade and customs provisions and procedures shall be based upon:

(a) legislation that avoids unnecessary burdens on economic operators, that will not hinder the fight against fraud and provides further facilitation for operators that meet high levels of compliance;

(b) the protection of legitimate trade through the effective enforcement of legislative requirements;

(c) the application of modern customs techniques, including risk assessment, simplified procedures for entry and release of goods, post release controls, and company audit methods, whilst respecting the confidential nature of commercial data in accordance with the provisions applicable in each Party. Each Party shall take the necessary measures to ensure the effectiveness of the risk assessment methods;

(d) procedures that are transparent, efficient and where appropriate simplified, in order to reduce costs and increase predictability for economic operators;

(e) the development of information technology-based systems, for both export and import operations, between economic operators and customs administrations, and between customs and other agencies. Such systems may also provide for the payment of duties, taxes and other fees by electronic transfer;

(f) rules and procedures that provide for advance binding rulings on tariff classification and rules of origin. A ruling may be modified or revoked at any time but only after notification to the affected operator and without retroactive effect unless the ruling has been made on the basis of incorrect or incomplete information being provided;

(g) provisions that in principle facilitate the importation of goods through the use of simplified or pre-arrival customs procedures and processes; and

(h) import provisions that do not include any requirements for pre-shipment inspections as defined by the WTO Agreement on Pre-shipment Inspection;

(i) rules that ensure that any penalties imposed for minor breaches of customs regulations or procedural requirements are proportionate and, in their application, do not give rise to undue delays in customs clearance, in accordance with Article VIII of the GATT 1994.

4. The Parties agree:

(a) on the need for timely consultation with economic operators on substantial matters concerning legislative proposals and general procedures related to customs. To that end, appropriate consultation mechanisms between administrations and the operators shall be established by each Party;

(b) to publish, as far as possible through electronic means, and publicise new legislation and general procedures related to customs, as well as any modifications, no later than the entry into force of such legislation and procedures. They shall also make publicly available general information of interest to economic operators, such as the hours of operation for customs offices, including those at ports and border crossing points, and the points of contact for information enquiries;

(c) to foster cooperation between operators and customs administrations via the use of objective and publicly accessible Memoranda of Understanding, based on those promulgated by the WCO; and

(d) to ensure that their respective customs and related requirements and procedures continue to meet the needs of the trading community and follow best practices.

5. Notwithstanding paragraphs 1 to 4, the administrations of both Parties shall provide mutual administrative assistance in customs matters in accordance with the provisions of the Protocol of 13 June 2001 on Mutual Administrative Assistance in Customs Matters to the Framework Cooperation Agreement.

Article 80

Customs valuation

The WTO Agreement on Implementation of Article VII of the GATT 1994, without the reserves and options provided for in Article 20 and paragraphs 2, 3 and 4 of Annex III of that Agreement, shall govern customs valuation rules applied to trade between the Parties.

Article 81

Special Committee on Customs Cooperation and Rules of Origin

1. The Parties hereby establish a Special Committee on Customs Cooperation and Rules of Origin, composed of representatives of the Parties. The Committee shall meet on a date and with an agenda agreed in advance by the Parties. The office of chairperson of the Committee shall be held alternately by each of the Parties. The Committee shall report to the Association Committee.

2. The functions of the Committee shall include:

(a) monitoring the implementation and administration of Articles 79 and 80 and of Annex III and any other customs matters related to market access;

(b) providing a forum to consult and discuss on all issues concerning customs, including in particular, rules of origin and related customs procedures, general customs procedures, customs valuation, tariff regimes, customs nomenclature, customs cooperation and mutual administrative assistance in customs matters;

(c) enhancing cooperation on the development, application and enforcement of rules of origin and related customs procedures, general customs procedures and mutual administrative assistance in customs matters;

(d) any other issues agreed by the Parties.

3. In order to fulfil the tasks referred to in this Article, the Parties may agree to hold ad hoc meetings.

Article 82

Enforcement of preferential treatment

1. The Parties agree that administrative cooperation is essential for the implementation and control of the preferences granted under this Title and reaffirm their commitment to combat irregularities and fraud related to origin, including customs classification and customs value.

2. In this regard, a Party may temporarily suspend the preferential treatment granted under this Title for a product or products in respect of which that Party determines, in accordance with this Article, that there has been systematic failure to provide administrative cooperation or fraud by the other Party.

3. For the purpose of this Article, systematic failure to provide administrative cooperation shall mean:

(a) the absence of administrative cooperation, such as a failure to provide names and addresses of customs or government authorities responsible for issuing and checking certificates of origin, or specimens of stamps used to authenticate the certificates, or a failure to update that information where appropriate;

(b) a systematic lack or inadequacy of action in verifying the originating status of products and the fulfilment of the other requirements of Annex III and identifying or preventing contravention of the rules of origin;

(c) a systematic refusal or undue delay to carry out subsequent verification of the proof of origin at the request of the other Party, and to communicate its results in time;

(d) the absence or systematic lack of administrative cooperation in verifying conduct where there is a presumption of origin-related fraud. For this purpose, a Party may presume the existence of fraud, inter alia, where imports of a product or products under this Agreement massively exceed the usual levels of production and export capacity of the other Party.

4. The Party which has made a finding of systematic failure to provide administrative cooperation or presumption of fraud shall, before applying the temporary suspension provided under this Article, supply the Association Committee with all relevant information required for a thorough examination of the situation with a view to seeking a solution acceptable to the Parties. At the same time, it shall publish in its Official Journal a notice to the importers indicating the product or products for which a finding of systematic failure to provide administrative cooperation or presumption of fraud has been made. The legal consequences of this publication shall be governed by the domestic law of each Party.

5. Within 10 days after the day of notification of the information referred to in paragraph 4, the Parties shall hold consultations within the Association Committee. If the Parties do not reach an agreement on a solution to avoid application of the temporary suspension of the preferential treatment within 30 days from the initiation of such consultations, the Party concerned may suspend temporarily the preferential treatment of the product or products concerned.

The temporary suspension shall not exceed what is necessary to protect the financial interests of the Party concerned.

6. Temporary suspensions under this Article shall be notified immediately after their adoption to the Association Committee. They shall not exceed a period of six months which may be renewed. They shall be subject to periodic consultations within the Association Committee, particularly with a view to their abolition as soon as circumstances permit.

Section 4

Standards, technical regulations and conformity assessment procedures

Article 83

Objective

The objective of this section is to facilitate and increase trade in goods by eliminating and preventing unnecessary barriers to trade while taking into account the legitimate objectives of the Parties and the principle of non-discrimination, within the meaning of the WTO Agreement on Technical Barriers to Trade ("the TBT Agreement").

Article 84

Scope and coverage

The provisions of this section apply to trade in goods in the area of standards, technical regulations and conformity assessment procedures, as defined in the TBT Agreement. They do not apply to measures covered by section 5 of this Chapter. Technical specifications prepared by governmental bodies for public procurement purposes are not subject to the provisions of this section but are addressed in Title IV of this Part.

Article 85

Definitions

For the purpose of this section, the definitions of Annex I to the TBT Agreement shall apply. In this respect, the Decision of the WTO Committee on Technical Barriers to Trade on Principles for the Development of International Standards, Guides and Recommendations with relation to Articles 2, 5 and Annex 3 of that Agreement shall also apply.

Article 86

Basic rights and obligations

The Parties confirm their rights and obligations under the TBT Agreement and their commitment to its comprehensive implementation. In this respect and in line with the objective of this section, cooperation activities and measures pursued under this section shall be conducted with a view to enhancing and reinforcing the implementation of those rights and obligations.

Article 87

Specific actions to be pursued under this Agreement

With a view to fulfilling the objective of this section:

1. The Parties shall intensify their bilateral cooperation in the field of standards, technical regulations and conformity assessment with a view to facilitating access to their respective markets, by increasing the mutual knowledge, understanding and compatibility of their respective systems.

2. In their bilateral cooperation the Parties shall aim at identifying which mechanisms or combination of mechanisms are the most appropriate for particular issues or sectors. Such mechanisms include aspects of regulatory cooperation, inter alia convergence and/or equivalence of technical regulations and standards, alignment to international standards, reliance on the supplier's declaration of conformity and use of accreditation to qualify conformity assessment bodies, and mutual recognition agreements.

3. Based on progress made in their bilateral cooperation, the Parties shall agree on what specific arrangements should be concluded with a view to implementing the mechanisms identified.

4. To this end, the Parties shall work towards:

(a) developing common views on good regulatory practices, including, but not limited to:

(i) transparency in the preparation, adoption and application of technical regulations, standards and conformity assessment procedures;

(ii) necessity and proportionality of regulatory measures and related conformity assessment procedures, including the use of suppliers declaration of conformity;

(iii) use of international standards as a basis for technical regulations, except when such international standards would be an ineffective or inappropriate means for the fulfilment of the legitimate objectives pursued;

(iv) enforcement of technical regulations and market surveillance activities;

(v) the necessary technical infrastructure, in terms of metrology, standardisation, testing, certification and accreditation, to support technical regulations; and

(vi) mechanisms and methods for reviewing technical regulations and conformity assessment procedures;

(b) reinforcing regulatory cooperation through, for example, exchange of information, experiences and data, and through scientific and technical cooperation with a view to improving the quality and level of their technical regulations and making efficient use of regulatory resources;

(c) compatibility and/or equivalence of their respective technical regulations, standards and conformity assessment procedures;

(d) promoting and encouraging bilateral cooperation between their respective organisation, public and/or private, responsible for metrology, standardisation, testing, certification and accreditation;

(e) promoting and encouraging full participation in international standard setting bodies, and reinforcing the role of international standards as a basis for technical regulations; and

(f) increasing their bilateral cooperation in the relevant international organisations and fora dealing with the issues covered by this section.

Article 88

Committee on Standards, Technical Regulations and Conformity Assessment

1. The Parties hereby establish a Special Committee on Technical Regulations, Standards and Conformity Assessment in order to achieve the objectives set out in this section. The Committee, made up of representatives of the Parties, shall be co-chaired by a representative of each Party. The Committee shall meet at least once a year, unless otherwise agreed by the Parties. The Committee shall report to the Association Committee.

2. The Committee may address any matter related to the effective functioning of this section. In particular, it shall have the following responsibilities and functions:

(a) monitoring and reviewing the implementation and administration of this section. In this connection, the Committee shall draw up a work program aimed at achieving the objectives of the section and in particular those set out in Article 87;

(b) providing a forum for discussion and exchanging information on any matter related to this section and in particular as it relates to the Parties' systems for technical regulations, standards and conformity assessment procedures, as well as developments in related international organisations;

(c) providing a forum for consultation and prompt resolution of issues that act or can act as unnecessary barriers to trade, within the scope and meaning of this section, between the Parties;

(d) encouraging, promoting and otherwise facilitating cooperation between the Parties' organisations, public and/or private, for metrology, standardisation, testing, certification, inspection and accreditation; and

(e) exploring any means aimed at improving access to the Parties' respective markets and enhancing the functioning of this section.

Section 5

Sanitary and Phytosanitary Measures

Article 89

Sanitary and phytosanitary measures

1. The objective of this section is to facilitate trade between the Parties in the field of sanitary and phytosanitary legislation, whilst safeguarding public, animal and plant health by further implementing the principles of the WTO on the Application of Sanitary and Phytosanitary Measures ("the WTO SPS Agreement"). An additional objective of this section is to consider animal welfare standards.

2. The objectives of this section are pursued through the "Agreement on Sanitary and Phytosanitary Measures Applicable to Trade in Animals and Animal Products, Plants, Plant Products and other Goods and Animal Welfare", which is attached as Annex IV.

3. By way of derogation from Article 193, the Association Committee, when dealing with sanitary or phytosanitary measures, shall be composed of representatives of the Community and Chile with responsibility for sanitary and phytosanitary matters. This Committee shall then be called the "Joint Management Committee for Sanitary and Phytosanitary Matters". The functions of the Committee are set out in Article 16 of Annex IV.

4. For the purpose of Article 184, consultations held under Article 16 of Annex IV shall be deemed to constitute the consultations referred to in Article 183, unless the Parties decide otherwise.

Section 6

Wines and Spirits

Article 90

Wines and spirits

The Agreement on Trade in Wine and the Agreement on Trade in Spirit Drinks and Aromatised Drinks are attached as Annex V and VI, respectively.

CHAPTER III

EXCEPTIONS

Article 91

General exception clause

Subject to the requirement that such measures are not applied in a manner which would constitute a means of arbitrary or unjustifiable discrimination between the Parties where the same conditions prevail, or a disguised restriction on trade between the Parties, nothing in this Title shall be construed to prevent the adoption or enforcement by either Party of measures which:

(a) are necessary to protect public morals;

(b) are necessary to protect human, animal or plant life or health;

(c) are necessary to secure compliance with laws or regulations which are not inconsistent with this Agreement, including those relating to customs enforcement, the protection of intellectual property rights, and the prevention of deceptive practices;

(d) relate to the importation or exportation of gold or silver;

(e) relate to the protection of national treasures of artistic, historic or archaeological value;

(f) relate to the conservation of exhaustible natural resources if such measures are made effective in conjunction with restrictions on domestic production or consumption; or

(g) relate to the products of prison labour.

Article 92

Safeguard clause

1. Unless otherwise provided by this Article, the provisions of Article XIX of the GATT 1994 and of the WTO Agreement on Safeguards shall apply between the Parties. The provisions of paragraphs 2, 3, 4, 5, 7, 8 and 9 of this Article shall apply only when a Party has a substantial interest as exporter of the product concerned, as defined in paragraph 10.

2. Each Party shall provide, immediately and in any case no later than seven days from the event, ad hoc written notification to the Association Committee of all pertinent information on the initiation of a safeguard investigation and on the final findings of the investigation.

3. The information provided under paragraph 2 shall include in particular an explanation of the domestic procedure on the basis of which the investigation will be carried out and an indication of the time schedules for hearings and other appropriate opportunities for interested parties to present their views on the matter. Furthermore, each Party shall provide advance written notification to the Association Committee of all pertinent information on the decision to apply provisional safeguard measures. Such notice must be received at least seven days before the application of such measures.

4. Upon notification of the final findings of the investigation and before applying safeguard measures pursuant to the provisions of Article XIX of the GATT 1994 and of the WTO Agreement on Safeguards, the Party intending to apply such measures shall refer the matter to the Association Committee for a thorough examination of the situation with a view to seeking a mutually acceptable solution. In order to find such a solution and if the Party concerned so requests, the Parties shall hold prior consultations within the Association Committee.

5. Notwithstanding paragraph 4, nothing shall prevent a Party from applying measures pursuant to the provisions of Article XIX of the GATT 1994 and of the WTO Agreement on Safeguards.

6. In the selection of safeguard measures referred to in this Article, the Parties shall give priority to those which cause least disturbance to the achievement of the objectives of this Agreement. Such measures shall not exceed what is necessary to remedy the serious injury, and shall preserve the level/margin of preference granted under this Title.

7. The Parties confirm their rights and obligations under paragraphs 1 and 2 of Article 8 of the WTO Safeguard Agreement.

8. The right of suspension referred to in Article 8(2) of the WTO Safeguard Agreement shall not be exercised between the Parties for the first 18 months that a safeguard measure is in effect, provided that the safeguard measure has been taken as a result of an absolute increase in imports and that such a measure conforms to the provisions of the WTO Safeguard Agreement.

9. Safeguard measures shall upon application be notified immediately to the Association Committee and shall be the subject of consultations once a year within the Committee, particularly with a view to their liberalisation or abolition.

10. For the purposes of this Article, it is considered that a Party has a substantial interest when it is among the five largest suppliers of the imported product during the most recent three-year period of time, measured in terms of either absolute volume or value.

11. In the event of either Party subjecting to a surveillance procedure imports of products liable to give rise to the conditions for the application of a safeguard measure pursuant to this Article, it shall inform the other Party.

Article 93

Shortage clause

1. Where compliance with the provisions of this Title leads to:

(a) a critical shortage, or threat thereof, of foodstuffs or other products essential to the exporting Party; or

(b) a shortage of essential quantities of domestic materials for a domestic processing industry during periods when the domestic price of such materials is held below the world price as part of a governmental stabilisation plan;

and where the situations referred to above give rise or are likely to give rise to major difficulties for the exporting Party, that Party may take appropriate measures under the conditions and in accordance with the procedures laid down in this Article.

2. In the selection of measures, priority must be given to those which least disturb the functioning of the arrangements in this Agreement. Such measures shall not be applied in a manner which would constitute a means of arbitrary or unjustifiable discrimination where the same conditions prevail, or a disguised restriction on trade, and shall be eliminated when the conditions no longer justify their maintenance. In addition, the measures which may be adopted pursuant to paragraph 1(b) shall not operate to increase the exports of or the protection afforded to the domestic processing industry concerned, and shall not depart from the provisions of this Agreement relating to non-discrimination.

3. Before taking the measures provided for in paragraph 1, or as soon as possible in cases to which paragraph 4 applies, the Party intending to take the measures shall supply the Association Committee with all relevant information, with a view to seeking a solution acceptable to the Parties. The Parties within the Association Committee may agree on any means needed to put an end to the difficulties. If no agreement is reached within 30 days of the matter being referred to the Association Committee, the exporting Party may apply measures under this Article on the exportation of the product concerned.

4. Where exceptional and critical circumstances requiring immediate action make prior information or examination impossible, the Party intending to take the measures may apply forthwith the precautionary measures necessary to deal with the situation and shall inform the other Party immediately thereof.

5. Any measures applied pursuant to this Article shall be immediately notified to the Association Committee and shall be the subject of periodic consultations within that body, particularly with a view to establishing a timetable for their elimination as soon as circumstances permit.

TITLE III

TRADE IN SERVICES AND ESTABLISHMENT

Article 94

Objectives

1. The Parties shall reciprocally liberalise trade in services, in accordance with the provisions of this Title and in conformity with Article V of the GATS.

2. The aim of Chapter III is the improvement of the investment environment, and in particular the conditions of establishment between the Parties, on the basis of the principle of non-discrimination.

CHAPTER I

SERVICES

Section 1

General provisions

Article 95

Scope

1. For the purposes of this Chapter, trade in services is defined as the supply of a service through the following modes:

(a) from the territory of a Party into the territory of the other Party (mode 1);

(b) in the territory of a Party to the service consumer of the other Party (mode 2);

(c) by a service supplier of a Party, through commercial presence in the territory of the other Party (mode 3);

(d) by a service supplier of a Party, through presence of natural persons in the territory of the other Party (mode 4).

2. This Chapter applies to trade in all service sectors with the exception of:

(a) financial services, which is subject to Chapter II;

(b) audio-visual services;

(c) national maritime cabotage; and

(d) air transport services, including domestic and international air transportation services, whether scheduled or non-scheduled, and services directly related to the exercise of traffic rights, other than:

(i) aircraft repair and maintenance services during which an aircraft is withdrawn from service;

(ii) the selling and marketing of air transport services; and

(iii) computer reservation system (CRS) services.

3. Nothing in this Chapter shall be construed to impose any obligation with respect to government procurement, which is subject to Title IV of this Part.

4. The provisions of this Chapter shall not apply to subsidies granted by the Parties. The Parties shall review the issue of disciplines on subsidies related to trade in services in the context of the review of this Chapter, as provided in Article 100, with a view to incorporating any disciplines agreed under Article XV of the GATS.

5. This Section applies to international maritime transport and telecommunication services subject to the provisions laid down in sections 2 and 3.

Article 96

Definitions

For the purposes of this Chapter:

(a) "measure" means any measure by a Party, whether in the form of a law, regulation, rule, procedure, decision, administrative action, or any other form;

(b) "measure adopted or maintained by a Party" means measures taken by:

(i) central, regional or local governments and authorities; and

(ii) non-governmental bodies in the exercise of powers delegated by central, regional or local governments or authorities;

(c) "service supplier" means any legal or natural person that seeks to supply or supplies a service;

(d) "commercial presence" means any type of business or professional establishment, including through:

(i) the constitution, acquisition or maintenance of a legal person, or

(ii) the creation or maintenance of a branch or a representative office,

within the territory of a Party for the purpose of supplying a service;

(e) "legal person" means any legal entity duly constituted or otherwise organised under applicable law, whether for profit or otherwise, and whether privately-owned or governmentally-owned, including any corporation, trust, partnership, joint venture, sole proprietorship or association;

(f) "legal person of a Party" means a legal person constituted or otherwise organised under the law of the Community or its Member States or of Chile.

Should such a legal person have only its registered office or central administration in the territory of the Community or of Chile, it shall not be considered as a Community or a Chilean legal person respectively, unless it is engaged in substantive business operations in the territory of the Community or of Chile, respectively.

(g) A "natural person" means a national of one of the Member States or of Chile according to their respective legislation.

Article 97

Market access

1. With respect to market access through the modes of supply identified in Article 95, each Party shall accord services and service suppliers of the other Party treatment no less favourable than that provided for under the terms, limitations and conditions agreed and specified in its Schedule referred to in Article 99.

2. In sectors where market-access commitments are undertaken, the measures which a Party shall not maintain or adopt either on the basis of a regional subdivision or on the basis of its entire territory, unless otherwise specified in its Schedule, are defined as:

(a) limitations on the number of services suppliers whether in the form of numerical quotas, monopolies, exclusive service suppliers or the requirements of an economic needs test;

(b) limitations on the total value of service transactions or assets in the form of numerical quotas or the requirement of an economic needs test;

(c) limitations on the total number of service operations or on the total quantity of service output expressed in terms of designated numerical units in the form of quotas or the requirement of an economic needs test(5);

(d) limitations on the total number of natural persons that may be employed in a particular service sector or that a service supplier may employ and who are necessary for, and directly related to, the supply of a specific service in the form of numerical quotas or a requirement of an economic needs test;

(e) measures which restrict or require specific types of legal entities or joint ventures through which a service supplier of the other Party may supply a service; and

(f) limitations on the participation of foreign capital in terms of maximum percentage limit on foreign shareholding or the total value of individual or aggregate foreign investment.

Article 98

National treatment

1. In the sectors inscribed in its Schedule, and subject to the conditions and qualifications set out therein, each Party shall grant to services and service suppliers of the other Party, in respect of all measures affecting the supply of services, treatment no less favourable than that it accords to its own like services and services suppliers(6).

2. A Party may meet the requirement of paragraph 1 by according to services and service suppliers of the other Party, either formally identical treatment or formally different treatment to that it accords to its own like services and service suppliers.

3. Formally identical or formally different treatment shall be considered to be less favourable if it modifies the conditions of competition in favour of services or service suppliers of a Party compared to like services or service suppliers of the other Party.

Article 99

Schedule of specific commitments

1. The specific commitments undertaken by each Party under Articles 97 and 98 are set out in the schedule included in Annex VII. With respect to sectors where such commitments are undertaken, each Schedule specifies:

(a) terms, limitations and conditions on market access;

(b) conditions and qualifications on national treatment;

(c) undertakings relating to additional commitments referred to in paragraph 3;

(d) where appropriate, the time-frame for implementation of such commitments and the date of entry into force of such commitments.

2. Measures inconsistent with both Articles 97 and 98 are inscribed in the column relating to Article 97. In this case the inscription is considered to provide a condition or qualification to Article 98 as well.

3. Where a Party undertakes specific commitments on measures affecting trade in services not subject to scheduling under Articles 97 and 98, such commitments are inscribed in its Schedule as additional commitments.

Article 100

Review

1. The Parties shall review this Chapter three years after the entry into force of this Agreement, with a view to further deepening liberalisation and reducing or eliminating remaining restrictions on a mutually advantageous basis and ensuring an overall balance of rights and obligations.

2. The Association Committee shall examine the operation of this Chapter every three years after the review undertaken under paragraph 1 and shall submit appropriate proposals to the Association Council.

Article 101

Movement of natural persons

Two years after the entry into force of this Agreement, the Parties shall review the rules and conditions applicable to movement of natural persons (mode 4) with a view to achieving further liberalisation. This review may also address the revision of the definition of natural person provided in Article 96(g).

Article 102

Domestic regulation

1. In sectors where a Party has undertaken commitments in its Schedule, and with a view to ensuring that any measure relating to the requirements and procedures of licensing and certification of service suppliers of the other Party does not constitute an unnecessary barrier to trade, that Party shall endeavour to ensure that any such measure:

(a) is based on objective and transparent criteria, such as, inter alia, competence and the ability to provide the service;

(b) is not more trade-restrictive than necessary to ensure the achievement of a legitimate policy objective;

(c) does not constitute a disguised restriction on the supply of a service.

2. The disciplines of paragraph 1 may be reviewed within the framework of the procedure of Article 100 in order to take into account the disciplines agreed under Article VI of the GATS with a view to their incorporation into this Agreement.

3. Where a Party recognises, unilaterally or by agreement, education, experience, licenses or certifications obtained in the territory of a third country, that Party shall afford the other Party an adequate opportunity to demonstrate that education, experience, licenses or certifications obtained in the other Party's territory should also be recognised or to conclude an agreement or arrangement of comparable effect.

4. The Parties shall consult periodically with a view to determining the feasibility of removing any remaining citizenship or permanent residency requirement for the licensing or certification of each other's service suppliers.

Article 103

Mutual recognition

1. Each Party shall ensure that its competent authorities, within a reasonable period of time after the submission by a services supplier of the other Party of an application for a licence or certification:

(a) where the application is complete, make a determination on the application and inform the applicant of that determination; or

(b) where the application is not complete, inform the applicant without undue delay of the status of the application and the additional information that is required under the Party's domestic law.

2. The Parties shall encourage the relevant bodies in their respective territories to provide recommendations on mutual recognition, for the purpose of enabling service suppliers to fulfil, in whole or in part, the criteria applied by each Party for the authorisation, licensing, accreditation, operation and certification of service suppliers and in particular professional services.

3. The Association Committee, within a reasonable period of time and considering the level of correspondence of the respective regulations, shall decide whether a recommendation referred to in paragraph 2 is consistent with this Chapter. If that is the case, such a recommendation shall be implemented through an agreement on mutual recognition of requirements, qualifications, licences and other regulations to be negotiated by the competent authorities.

4. Any such agreement shall be in conformity with the relevant provisions of the WTO Agreement and, in particular, Article VII of the GATS.

5. Where the Parties agree, each Party shall encourage its relevant bodies to develop procedures for the temporary licensing of professional service suppliers of the other Party.

6. The Association Committee shall periodically, and at least once every three years, review the implementation of this Article.

Article 104

Electronic commerce(7)

The Parties, recognising that the use of electronic means increases trade opportunities in many sectors, agree to promote the development of electronic commerce between them, in particular by cooperating on the market access and regulatory issues raised by electronic commerce.

Article 105

Transparency

Each Party shall respond promptly to all requests by the other Party for specific information on any of its measures of general application or international agreements which pertain to or affect this Chapter. The contact point referred to in Article 190 shall provide specific information on all such matters to service suppliers of the other Party upon request. Contact points need not be depositories of laws and regulations.

Section 2

International Maritime Transport

Article 106

Scope

1. Notwithstanding Article 95(5), the provisions of this section shall apply with respect to shipping companies established outside the Community or Chile and controlled by nationals of a Member State or of Chile, respectively, if their vessels are registered in accordance with their respective legislation, in that Member State or in Chile and carry the flag of a Member State or Chile.

2. This Article applies to international maritime transport, including door-to-door and intermodal transport operations involving a sea-leg.

Article 107

Definitions

For the purposes of this section:

(a) "intermodal transport operations" is defined as the right to arrange door-to-door transport services of international cargo and to this effect directly contract with providers of other modes of transport;

(b) "international maritime service suppliers" covers the suppliers of services relating to international cargo for maritime services, cargo handling, storage and warehousing services, customs clearance services, container station and depot services, agency services and freight forwarding services.

Article 108

Market access and national treatment

1. In view of the existing levels of liberalisation between the Parties in international maritime transport:

(a) the Parties shall continue to effectively apply the principle of unrestricted access to the international maritime market and traffic on a commercial and non-discriminatory basis;

(b) each Party shall continue to grant to ships flying the flag of or operated by service suppliers of the other Party treatment no less favourable than that accorded to its own ships with regard to, inter alia, access to ports, use of infrastructure and auxiliary maritime services of the ports, and related fees and charges, customs facilities and the assignment of berths and facilities for loading and unloading.

2. In applying the principles of paragraph 1, the Parties shall:

(a) not introduce cargo-sharing clauses in future bilateral agreements with third countries, other than in those exceptional circumstances where liner shipping companies from the Party concerned would not otherwise have an effective opportunity to ply for trade to and from the third country concerned;

(b) prohibit cargo-sharing arrangements in future bilateral agreements concerning dry and liquid bulk trade;

(c) abolish, upon the entry into force of this Agreement, all unilateral measures and administrative, technical and other barriers which could have restrictive or discriminatory effects on the free supply of services in international maritime transport.

3. Each Party shall permit international maritime service suppliers of the other Party to have a commercial presence in its territory under conditions of establishment and operation no less favourable than those accorded to its own service suppliers or those of any third country, whichever are the better, in accordance with the conditions inscribed in its Schedule.

Section 3

Telecommunications Services

Article 109

Definitions

For the purposes of this section:

(a) "telecommunications services" means the transport of electro-magnetic signals - sound, data image and any combinations thereof, excluding broadcasting(8). Therefore, commitments in this sector do not cover the economic activity consisting of content provision which require telecommunications services for its transport. The provision of that content, transported via a telecommunications service, is subject to the specific commitments undertaken by the Parties in other relevant sectors.

(b) a "regulatory authority" means the body or bodies with any of the regulatory tasks assigned in relation to the issues mentioned in this section.

(c) "essential telecommunications facilities" mean facilities of a public telecommunications transport network and service that:

(i) are exclusively or predominantly provided by a single supplier or a limited number of suppliers; and

(ii) cannot feasibly be economically or technically substituted in order to provide a service.

Article 110

Regulatory authority

1. Regulatory authorities for telecommunications services shall be separate from, and not accountable to, any supplier of basic telecommunications services.

2. The decisions of and the procedures used by regulatory authorities shall be impartial with respect to all market participants.

3. A supplier affected by the decision of a regulatory authority shall have a right to appeal against that decision.

Article 111

Supply of services

1. Where a licence is required, the terms and conditions for such a license shall be made publicly available and the period of time normally required to reach a decision concerning an application for a licence shall be made publicly available.

2. Where a licence is required, the reasons for the denial of a licence shall be made known to the applicant upon request.

Article 112

Major suppliers

1. A major supplier is a supplier which has the ability to materially affect the terms of participation having regard to price and supply in the relevant market for basic telecommunications services as a result of:

(a) control over essential facilities; or

(b) the use of its position in the market.

2. Appropriate measures shall be maintained for the purpose of preventing suppliers who, alone or together, are a major supplier from engaging in or continuing anti-competitive practices.

3. The anti-competitive practices referred to above shall include in particular:

(a) engaging in anti-competitive cross-subsidisation;

(b) using information obtained from competitors with anti-competitive results; and

(c) not making available to other services suppliers on a timely basis technical information about essential facilities and commercially relevant information which are necessary for them to supply services.

Article 113

Interconnection

1. This section applies to linking with suppliers providing public telecommunications transport networks or services in order to allow the users of one supplier to communicate with users of another supplier and to access services provided by another supplier.

2. Interconnection with a major supplier shall be ensured at any technically feasible point in the network. Such interconnection shall be provided:

(a) under non-discriminatory terms, conditions (including technical standards and specifications) and rates and of a quality no less favourable than that provided for its own like services or for like services of non-affiliated service suppliers or for its subsidiaries or other affiliates;

(b) in a timely fashion, on terms, conditions (including technical standards and specifications) and cost-oriented rates that are transparent, reasonable, having regard to economic feasibility, and sufficiently unbundled so that the supplier need not pay for network components or facilities that it does not require for the service to be provided; and

(c) upon request, at points in addition to the network termination points offered to the majority of users, subject to charges that reflect the cost of construction of necessary additional facilities.

4. The procedures applicable for interconnection to a major supplier shall be made publicly available.

5. Major suppliers shall make interconnection agreements available to service suppliers of the Parties to ensure non-discrimination, and/or shall publish reference interconnection offers in advance, unless they are already available to the public.

Article 114

Scarce resources

Any procedures for the allocation and use of scarce resources, including frequencies, numbers and rights of way, shall be carried out in an objective, timely, transparent and non-discriminatory manner.

Article 115

Universal service

1. Each Party has the right to define the kind of universal service obligation it wishes to maintain.

2. The provisions governing universal service shall be transparent, objective and non-discriminatory. They shall also be neutral with respect to competition and be no more burdensome than necessary.

CHAPTER II

FINANCIAL SERVICES

Article 116

Scope

1. This Chapter applies to measures adopted or maintained by the Parties affecting trade in financial services.

2. For the purposes of this Chapter, trade in financial services is defined as the supply of a financial service through the following modes:

(a) from the territory of a Party into the territory of the other Party (mode 1);

(b) in the territory of a Party to the financial service consumer of the other Party (mode 2);

(c) by a financial service supplier of a Party, through commercial presence in the territory of the other Party (mode 3);

(d) by a financial service supplier of a Party, through presence of natural persons in the territory of the other Party (mode 4).

3. Nothing in this Chapter shall be construed to impose any obligation with respect to government procurement, which is subject to Title IV of this Part.

4. The provisions of this Chapter shall not apply to subsidies granted by the Parties. The Parties shall review the issue of disciplines on subsidies related to trade in financial services, with a view to incorporating in this Agreement any disciplines agreed under Article XV of GATS.

5. This Chapter does not apply to:

(i) activities conducted by a central bank or monetary authority or by any other public entity in pursuit of monetary or exchange rate policies;

(ii) activities forming part of a statutory system of social security or public retirement plans; and

(iii) other activities conducted by a public entity for the account or with the guarantee or using the financial resources of the Government.

6. For the purposes of paragraph 5, if a Party allows any of the activities referred to in paragraph 5(ii) or (iii) to be conducted by its financial service suppliers in competition with a public entity or a financial service supplier, this Chapter shall apply to such activities.

Article 117

Definitions

For the purposes of this Chapter:

1. "measure" means any measure by a Party, whether in the form of a law, regulation, rule, procedure, decision, administrative action, or any other form;

2. "measures adopted or maintained by a Party" means measures taken by:

(i) central, regional or local governments and authorities; and

(ii) non-governmental bodies in the exercise of powers delegated by central, regional or local governments or authorities;

3. "financial service supplier" means any natural or legal person that seeks to supply or supplies financial services but the term "financial service supplier" does not include a public entity;

4. "public entity" means:

(i) a government, a central bank or a monetary authority of a Party, or an entity owned or controlled by a Party, that is principally engaged in carrying out governmental functions or activities for governmental purposes, not including an entity principally engaged in supplying financial services on commercial terms; or

(ii) a private entity, performing functions normally performed by a central bank or monetary authority, when exercising those functions;

5. "commercial presence" means any type of business or professional establishment, including through:

(i) the constitution, acquisition or maintenance of a legal person, or

(ii) the creation or maintenance of a branch or a representative office,

within the territory of a Party for the purpose of supplying a financial service;

6. "legal person" means any legal entity duly constituted or otherwise organised under applicable law, whether for profit or otherwise, and whether privately-owned or governmentally-owned, including any corporation, trust, partnership, joint venture, sole proprietorship or association;

7. "legal person of a Party" means a legal person constituted or otherwise organised under the law of the Community or its Member States or of Chile.

Should such a legal person have only its registered office or central administration in the territory of the Community or Chile, it shall not be considered as a Community or a Chilean legal person respectively, unless it is engaged in substantive business operations in the territory of the Community or Chile, respectively.

8. "natural person" means a national of one of the Member States or of Chile according to their respective legislation.

9. "financial service" means any service of a financial nature offered by a financial service supplier of a Party. Financial services comprise the following activities:

Insurance and insurance-related services

(i) direct insurance (including co-insurance):

(A) life

(B) non-life

(ii) reinsurance and retrocession;

(iii) insurance intermediation, such as brokerage and agency;

(iv) services auxiliary to insurance, such as consultancy, actuarial, risk assessment and claim settlement services.

Banking and other financial services (excluding insurance)

(v) acceptance of deposits and other repayable funds from the public;

(vi) lending of all types, including consumer credit, mortgage credit, factoring and financing of commercial transactions;

(vii) financial leasing;

(viii) all payment and money transmission services, including credit, charge and debit cards, travellers cheques and bankers drafts;

(ix) guarantees and commitments;

(x) trading for own account or for account of customers, whether on an exchange, in an over-the-counter market or otherwise, the following:

(A) money market instruments, including cheques, bills, certificates of deposits;

(B) foreign exchange;

(C) derivative products including, but not limited to, futures and options;

(D) exchange rate and interest rate instruments, including products such as swaps, forward rate agreements;

(E) transferable securities;

(F) other negotiable instruments and financial assets, including bullion.

(xi) 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;

(xii) money broking;

(xiii) asset management, such as cash or portfolio management, all forms of collective investment management, pension fund management, custodial, depository and trust services;

(xiv) settlement and clearing services for financial assets, including securities, derivative products, and other negotiable instruments;

(xv) provision and transfer of financial information, and financial data processing and related software by suppliers of other financial services;

(xvi) advisory, intermediation an other auxiliary financial services on all the activities listed in subparagraphs (v) through (xv), including credit reference and analysis, investment and portfolis research and advice, advice on acquisitions, and on corporate restructuring and strategy.

10. "new financial service" means a service of a financial nature, including rvices related to existing and new products or the manner in which a product is delivered, that is not supplied by any financial service supplier in the territory of a Party but which is supplied in the territory of the other Party.

Article 118

Market access

1. With respect to market access through the modes of supply identified in Article 116, each Party shall accord financial services and financial service suppliers of the other Party treatment no less favourable than that provided for under the terms, limitations and conditions agreed and specified in its Schedule referred to in Article 120.

2. In sectors where market-access commitments are undertaken, the measures which a Party shall not maintain or adopt either on the basis of a regional subdivision or on the basis of its entire territory, unless otherwise specified in its Schedule, are defined as:

(a) limitations on the number of financial services suppliers whether in the form of numerical quotas, monopolies, exclusive service suppliers or the requirements of an economic needs test;

(b) limitations on the total value of financial service transactions or assets in the form of numerical quotas or the requirement of an economic needs test;

(c) limitations on the total number of financial service operations or on the total quantity of service output expressed in terms of designated numerical units in the form of quotas or the requirement of an economic needs test(9);

(d) limitations on the total number of natural persons that may be employed in a particular financial service sector or that a financial service supplier may employ and who are necessary for, and directly related to, the supply of a specific financial service in the form of numerical quotas or a requirement of an economic needs test;

(e) measures which restrict or require specific types of legal entities or joint ventures through which a financial service supplier of the other Party may supply a financial service; and

(f) limitations on the participation of foreign capital in terms of maximum percentage limit on foreign shareholding or the total value of individual or aggregate foreign investment.

Article 119

National treatment

1. In the sectors inscribed in its Schedule, and subject to the conditions and qualifications set out therein, each Party shall accord to financial services and financial service suppliers of the other Party, in respect of all measures affecting the supply of financial services, treatment no less favourable than that it accords to its own like financial services and financial service suppliers(10).

2. A Party may meet the requirement of paragraph 1 by according to financial services and financial service suppliers of the other Party, either formally identical treatment or formally different treatment to that it accords to its own like financial services and financial service suppliers.

3. Formally identical or formally different treatment shall be considered to be less favourable if it modifies the conditions of competition in favour of financial services or financial service suppliers of a Party compared to like financial services or financial service suppliers of the other Party.

Article 120

Schedule of specific commitments

1. The specific commitment undertaken by each Party under Articles 118 and 119 are set out in the Schedule included in Annex VIII. With respect to sectors where such commitments are undertaken, each Schedule specifies:

(a) terms, limitations and conditions on market access;

(b) conditions and qualifications on national treatment;

(c) undertakings relating to additional commitments referred to in paragraph 3;

(d) where appropriate the time-frame for implementation of such commitments and the date of entry into force of such commitments.

2. Measures inconsistent with both Articles 118 and 119 are inscribed in the column relating to Article 118. In this case, the inscription is considered to provide a condition or qualification to Article 119 as well.

3. Where a Party undertakes specific commitments on measures affecting trade in financial services not subject to scheduling under Articles 118 and 119, such commitments are inscribed in its Schedule as additional commitments.

Article 121

New financial services

1. A Party shall permit financial service suppliers of the other Party established in its territory to offer in its territory any new financial service within the scope of the subsectors and financial services committed in its Schedule and subject to the terms, limitations, conditions and qualifications established in that Schedule and provided that the introduction of this new financial service does not require a new law or the modification of an existing law.

2. A Party may determine the legal form through which the service may be provided and may require authorisation for the provision of the financial service. Where such authorisation is required, a decision shall be taken within a reasonable period of time and the authorisation may only be refused for prudential reasons.

Article 122

Data processing in the financial services sector

1. Each Party shall permit a financial service supplier of the other Party to transfer information in electronic or other form, into and out of its territory, for data processing where such processing is required in the ordinary course of business of such financial service supplier.

2. Where the information referred to in paragraph 1 consists of or contains personal data, the transfer of such information from the territory of one Party to the territory of the other Party shall take place in accordance with the domestic law regulating the protection of individuals with respect to the transferring and processing of personal data of the Party out of whose territory the information is transferred.

Article 123

Effective and transparent regulation in the financial services sector

1. Each Party shall, to the extent practicable, provide in advance to all interested persons any measure of general application that the Party proposes to adopt in order to allow an opportunity for such persons to comment on the measure. Such measure shall be provided:

(a) by means of an official publication; or

(b) in other written or electronic form.

2. Each Party's appropriate financial authority shall make available to interested persons its requirements for completing applications relating to the supply of financial services.

3. On the request of an applicant, the appropriate financial authority shall inform the applicant of the status of its application. If such authority requires additional information from the applicant, it shall notify the applicant without undue delay.

4. Each Party shall make its best endeavours to implement and apply in its territory internationally agreed standards for regulation and supervision in the financial services sector and for the fight against money laundering. For this purpose, the Parties shall cooperate and exchange information and experience within the Special Committee on Financial Services referred to in Article 127.

Article 124

Confidential information

Nothing in this Chapter:

(a) shall require any of the Parties to provide confidential information, the disclosure of which would impede law enforcement, or otherwise be contrary to the public interest, or which would prejudice legitimate commercial interests of particular enterprises, public or private;

(b) shall be construed to require a Party to disclose information relating to the financial affairs and accounts of individual customers of financial service suppliers, or any confidential or proprietary information in the possession of public entities.

Article 125

Prudential carve-out

1. Nothing in this Chapter shall be construed to prevent a Party from adopting or maintaining reasonable measures for prudential reasons, such as:

(a) the protection of investors, depositors, financial market participants, policy-holders, or persons to whom a fiduciary duty is owed by a financial services supplier;

(b) the maintenance of the safety, soundness, integrity or financial responsibility of financial services suppliers; and

(c) ensuring the integrity and stability of a Party's financial system.

2. Where such measures do not conform with the provisions of this Chapter, they shall not be used as a means of avoiding the Party's commitments or obligations under the Chapter.

Article 126

Recognition

1. A Party may recognise prudential measures of the other Party in determining how the Party's measures relating to financial services shall be applied. Such recognition, which may be achieved through harmonisation or otherwise, may be based upon an agreement or arrangement or may be accorded autonomously.

2. A Party that is a party to an agreement or arrangement with a third party such as those referred to in paragraph 1, whether future or existing, shall afford adequate opportunity for the other Party to negotiate its accession to such agreements or arrangements, or to negotiate comparable ones with it, under circumstances in which there would be equivalent regulation, oversight, implementation of such regulation, and, if appropriate, procedures concerning the sharing of information between the Parties to the agreement or arrangement. Where a Party accords recognition autonomously, it shall afford adequate opportunity for the other Party to demonstrate that such circumstances exist.

Article 127

Special Committee on Financial Services

1. The Parties hereby establish a Special Committee on Financial Services. The Special Committee shall be composed of representatives of the Parties. The principal representative of each Party shall be an official of the Party's authority responsible for financial services set out in Annex IX.

2. The functions of the Special Committee shall include:

(a) supervising the implementation of this Chapter;

(b) considering issues regarding financial services that are referred to it by a Party.

3. The Special Committee shall meet at the request of one of the Parties on a date and with an agenda agreed in advance by the Parties. The office of chairperson shall be held alternately. The Special Committee shall report to the Association Committee the results of its meetings.

4. Three years after the entry into force of this Agreement the Special Committee on Financial Services shall consider actions with the aim of facilitating and expanding trade in financial services and further contributing to the objectives of this Agreement, and shall report to the Association Committee.

Article 128

Consultations

1. A Party may request consultations with the other Party regarding any matter arising under this Chapter. The other Party shall give sympathetic consideration to the request. The Parties shall report the results of their consultations to the Special Committee on Financial Services.

2. Consultations under this Article shall include officials of the authorities specified in Annex IX.

3. Nothing in this Article shall be construed to require financial authorities participating in consultations to disclose information or take any action that would interfere with individual regulatory, supervisory, administrative or enforcement matters.

4. Where a financial authority of a Party requires information for supervisory purposes concerning a financial service supplier in the other Party's territory, such financial authority may approach the competent financial authority in the other Party's territory to seek the information. The provision of such information may be subject to the terms, conditions and limitations contained in the other Party's relevant law or to the requirement of a prior agreement or arrangement between the respective financial authorities.

Article 129

Specific provisions on dispute settlement

1. Except as otherwise provided in this Article, any disputes under this Chapter shall be settled in accordance with the provisions of Title VIII.

2. For the purpose of Article 184, consultations held under Article 128 shall be deemed to constitute the consultations referred to in Article 183, unless the Parties otherwise agree. Upon initiation of consultations, the Parties shall provide information to enable the examination of how a measure of a Party or any other matter may affect the operation and application of this Chapter, and give confidential treatment to the information exchanged during consultations. If the matter has not been resolved within 45 days after holding the consultations under Article 128 or 90 days after the delivery of the request for consultations under Article 128(1), whichever is earlier, the complaining Party may request in writing the establishment of an arbitration panel. The Parties shall report the results of their consultations directly to the Association Committee.

3. For the purpose of Article 185:

(a) the chairperson of the arbitration panel shall be a financial expert;

(b) the Association Committee shall, no later than six months after the entry into force of this Agreement, establish a list of at least five individuals who are not nationals of either Party, and who are willing and able to serve as arbitrators and be identified as chairperson of arbitration panels in financial services. The Association Committee shall ensure that the list always contains five individuals at any point in time. Those individuals shall have expertise or experience in financial services law or practice, which may include the regulation of financial institutions, be independent, serve in their individual capacities and not be affiliated with, nor take instructions from, any Party or organisation and shall comply with the Code of Conduct set out in Annex XVI. Such list may be amended every three years;

(c) within three days of the request for establishment of the arbitration panel, the chairperson of the arbitration panel shall be selected by lot by the chairperson of the Association Committee from the list referred to in paragraph (b). The other two arbitrators of the panel shall be selected by lot by the chairperson of the Association Committee from the list referred to in Article 185(2), one among the individuals proposed to the Association Committee by the complaining Party, and the other among the individuals proposed to the Association Committee by the Party complained against.

CHAPTER III

ESTABLISHMENT

Article 130

Scope

This Chapter shall apply to establishment in all sectors with the exception of all services sectors, including the financial services sector.

Article 131

Definitions

For the purposes of this Chapter,

(a) "legal person" means any legal entity duly constituted or otherwise organised under applicable law, whether for profit or otherwise, and whether privately-owned or governmentally-owned, including any corporation, trust, partnership, joint venture, sole proprietorship or association;

(b) "legal person of a Party" means a legal person constituted or otherwise organised under the law of the Community or its Member States or of Chile.

Should such a legal person have only its registered office or central administration in the territory of the Community or of Chile, it shall not be considered as a Community or a Chilean legal person respectively, unless it is engaged in substantive business operations in the territory of the Community or of Chile respectively.

(c) "natural person" means a national of one of the Member States or of Chile according to their respective legislation.

(d) "establishment" means:

(i) the constitution, acquisition or maintenance of a legal person, or

(ii) the creation or maintenance of a branch or a representative office,

within the territory of a Party for the purpose of performing an economic activity.

As regards natural persons, this shall not extend to seeking or taking employment in the labour market or confer a right of access to the labour market of a Party.

Article 132

National treatment

In the sectors inscribed in Annex X, and subject to any conditions and qualifications set out therein, with respect to establishment, each Party shall grant to legal and natural persons of the other Party treatment no less favourable than that it accords to its own legal and natural persons performing a like economic activity.

Article 133

Right to regulate

Subject to the provisions of Article 132, each Party may regulate the establishment of legal and natural persons.

Article 134

Final provisions

1. With respect to this Chapter, the Parties confirm their rights and obligations existing under any bilateral or multilateral agreements to which they are parties.

2. With the objective of progressive liberalisation of investment conditions, the Parties affirm their commitment to review the investment legal framework, the investment environment and the flow of investment between them consistent with their commitments in international investment agreements, no later than three years after the entry into force of this Agreement.

CHAPTER IV

EXCEPTIONS

Article 135

Exceptions

1. Subject to the requirement that such measures are not applied in a manner which would constitute a means of arbitrary or unjustifiable discrimination between the Parties where like conditions prevail, or a disguised restriction on trade in services, financial services or establishment, nothing in this Title shall be construed to prevent the adoption or enforcement by either Party of measures:

(a) necessary to protect public morals or to maintain public order and public security;

(b) necessary to protect human, animal or plant life or health;

(c) relating to the conservation of exhaustible natural resources if such measures are applied in conjunction with restrictions on the domestic supply or consumption of services or on domestic investments;

(d) necessary for the protection of national treasures of artistic, historic or archaeological value;

(e) necessary to secure compliance with laws or regulations which are not inconsistent with the provisions of this Title including those relating to:

(i) the prevention of deceptive and fraudulent practices or to deal with the effects of a default on services contracts;

(ii) the protection of the privacy of individuals in relation to the processing and dissemination of personal data and the protection of confidentiality of individual records and accounts; or

(iii) safety.

2. The provisions of this Title shall not apply to the Parties' respective social security systems or to activities in the territory of each Party which are connected, even occasionally, with the exercise of official authority.

3. Nothing in this Title shall prevent a Party from applying its laws, regulations and requirements regarding entry and stay, work, labour conditions, and establishment of natural persons(11) provided that, in so doing, it does not apply to them in such a manner as to nullify or impair the benefits accruing to the other Party under the terms of a specific provision of this Title.

TITLE IV

GOVERNMENT PROCUREMENT

Article 136

Objective

In accordance with the provisions of this Title, the Parties shall ensure the effective and reciprocal opening of their government procurement markets.

Article 137

Scope and coverage

1. This Title applies to any law, regulation, procedure or practice regarding any procurement, by the entities of the Parties, of goods and services including works, subject to the conditions specified by each Party in Annexes XI, XII and XIII.

2. This Title shall not be applicable to:

(a) contracts awarded pursuant to:

(i) an international agreement intended for the joint implementation or exploitation of a project by the contracting parties;

(ii) an international agreement relating to the stationing of troops; and

(iii) the particular procedure of an international organisation.

(b) non-contractual agreements or any form of government assistance and procurement made in the framework of assistance or cooperation programmes.

(c) contracts for:

(i) the acquisition or rental of land, existing buildings, or other immovable property or concerning rights thereon;

(ii) the acquisition, development, production or co-production of programme material by broadcasters and contracts for broadcasting time.

(iii) arbitration and conciliation services;

(iv) employment contracts; and

(v) research and development services other than those where the benefits accrue exclusively to the entity for its use in the conduct of its own affairs, on condition that the service is wholly remunerated by the entity; and

(d) financial services.

3. Public works concessions, as defined in Article 138(i), shall also be subject to this Title, as specified in Annexes XI, XII and XIII.

4. Neither Party may prepare, design or otherwise structure any procurement contract in order to avoid the obligations under this Title.

Article 138

Definitions

For the purpose of this Title, the following definitions shall apply:

(a) "government procurement" means any type of procurement of goods, services or a combination thereof, including works carried out by public entities of the Parties for governmental purposes and not with a view to commercial resale or with a view to use in the production of goods or the supply of services for commercial sale, unless otherwise specified. It includes procurement by such methods as purchase or lease, or rental or hire purchase, with or without an option to buy;

(b) "entities" means the public entities of the Parties, such as central, sub-central or local government entities, municipalities, public undertakings and all other entities that procure in accordance with the provisions of this Title, as set out in Annexes XI, XII and XIII;

(c) "public undertakings" means any undertaking over which the public authorities may exercise directly or indirectly a dominant influence by virtue of their ownership of it, their financial participation therein, or the rules which govern it. A dominant influence on the part of the public authorities shall be presumed when these authorities, directly or indirectly, in relation to an undertaking:

(i) hold the majority of the undertaking's subscribed capital;

(ii) control the majority of the votes attaching to shares issued by the undertaking; or

(iii) can appoint more than half of the members of the undertaking's administrative, managerial or supervisory body.

(d) "supplier of the Parties" means any natural or legal person or public body or group of such persons of a Party and/or bodies of a Party which can provide goods, services or the execution of works. The term shall cover equally a supplier of goods, a service provider or a contractor;

(e) "legal person" means any legal entity duly constituted or otherwise organised under applicable law, whether for profit or otherwise, and whether privately-owned or governmentally-owned, including any corporation, trust, partnership, joint venture, sole proprietorship or association;

(f) "legal person of a Party" means a legal person constituted or otherwise organised under the law of the Community or its Member States or of Chile;

Should such a legal person have only its registered office or central administration in the territory of the Community or Chile, it shall not be considered as a Community or a Chilean legal person respectively, unless it is engaged in substantive business operations in the territory of the Community or Chile respectively.

(g) a "natural person" means a national of one of the Member States or of Chile according to their respective legislation;

(h) "tenderer" means a supplier who has submitted a tender;

(i) "public works concessions" means a contract of the same type as public works procurement contracts, except for the fact that the remuneration for the works to be carried out consists either solely in the right to exploit the construction or in this right together with a payment;

(j) "offsets" means those conditions imposed or considered by an entity prior to, or in the course of its procurement process, that encourage local development or improve its Party's balance of payments accounts by means of requirements of local content, licensing of technology, investment, counter-trade or similar requirements;

(k) "in writing or written" means any expression of information in words, numbers or other symbols, including electronic means, that can be read, reproduced and stored;

(l) "technical specifications" means a specification which lays down the characteristics of the goods or services to be procured, such as quality, performance, safety and dimensions, symbols, terminology, packaging, marking and labelling, or the processes and methods for their production and requirements relating to conformity assessment procedures prescribed by entities;

(m) "privatisation" means a process by means of which government control over an entity is effectively eliminated and is transferred to the private sector;

(n) "liberalisation" means a process as a result of which an entity enjoys no exclusive or special rights and is exclusively engaged in the provision of goods or services on markets that are subject to effective competition.

Article 139

National treatment and non-discrimination

1. Each Party shall ensure that the procurement of its entities covered by this Title takes place in a transparent, reasonable and non-discriminatory manner, treating any supplier of either Party equally and ensuring the principle of open and effective competition.

2. With respect to any laws, regulations, procedures and practices regarding government procurement covered by this Title, each Party shall grant the goods, services and suppliers of the other Party a treatment no less favourable than that accorded by it to domestic goods, services and suppliers.

3. With respect to any laws, regulations, procedures and practices regarding government procurement covered by this Title, each Party shall ensure:

(a) that its entities do not treat a locally-established supplier less favourably than another locally-established supplier on the basis of the degree of foreign affiliation to, or ownership by, a person of the other Party; and

(b) that its entities do not discriminate against a locally-established supplier on the basis that the goods or services offered by that supplier for a particular procurement are goods or services of the other Party.

4. This Article shall not apply to measures concerning customs duties or other charges of any kind imposed on or in connection with importation, the method of levying such duties and charges, other import regulations, including restrictions and formalities, nor to measures affecting trade in services other than measures specifically governing procurement covered by this Title.

Article 140

Prohibition of offsets and national preferences

Each Party shall ensure that its entities do not, in the qualification and selection of suppliers, goods or services, in the evaluation of bids or in the award of contracts, consider, seek or impose offsets, nor conditions regarding national preferences such as margins allowing price preference.

Article 141

Valuation rules

1. Entities shall not split up a procurement, nor use any other method of contract valuation with the intention of evading the application of this Title when determining whether a contract is covered by the disciplines of thereof, subject to the conditions set out in Annexes XI and XII, Appendices 1 to 3.

2. In calculating the value of a contract, an entity shall take into account all forms of remuneration, such as premiums, fees, commissions and interests, as well as the maximum permitted total amount, including option clauses, provided for by the contract.

3. When, due to the nature of the contract, it is not possible to calculate in advance its precise value, entities shall estimate this value on the basis of objective criteria.

Article 142

Transparency

1. Each Party shall promptly publish any law, regulation, judicial decision and administrative ruling of general application and procedure, including standard contract clauses, regarding procurement covered by this Title in the appropriate publications referred to in Annex XIII, Appendix 2, including officially designated electronic media.

2. Each Party shall promptly publish in the same manner all modifications to such measures.

Article 143

Tendering procedures

1. Entities shall award their public contracts by open or selective tendering procedures according to their national procedures, in compliance with this Title and in a non-discriminatory manner.

2. For the purposes of this Title:

(a) open tendering procedures are those procedures whereby any interested supplier may submit a tender.

(b) selective tendering procedures are those procedures whereby, consistent with Article 144 and other relevant provisions of this Title, only suppliers satisfying qualification requirements established by the entities are invited to submit a tender.

3. However, in the specific cases and only under the conditions laid down in Article 145, entities may use a procedure other than the open or selective tendering procedures referred to in paragraph 1 of that Article, in which case the entities may choose not to publish a notice of intended procurement, and may consult the suppliers of their choice and negotiate the terms of contract with one or more of these.

4. Entities shall treat tenders in confidence. In particular, they shall not provide information intended to assist particular participants to bring their tenders up to the level of other participants.

Article 144

Selective tendering

1. In selective tendering, entities may limit the number of qualified suppliers they will invite to tender, consistent with the efficient operation of the procurement process, provided that they select the maximum number of domestic suppliers and suppliers of the other Party, and that they make the selection in a fair and non-discriminatory manner and on the basis of the criteria indicated in the notice of intended procurement or in tender documents.

2. Entities maintaining permanent lists of qualified suppliers may select suppliers to be invited to tender from among those listed, under the conditions of Article 146(7). Any selection shall allow for equitable opportunities for suppliers on the lists.

Article 145

Other procedures

1. Provided that the tendering procedure is not used to avoid maximum possible competition or to protect domestic suppliers, entities shall be allowed to award contracts by means other than an open or selective tendering procedure in the following circumstances and subject to the following conditions, where applicable:

(a) when no suitable tenders or request to participate have been submitted in response to a prior procurement, on condition that the requirements of the initial procurement are not substantially modified;

(b) when, for technical or artistic reasons, or for reasons connected with protection of exclusive rights, the contract may be performed only by a particular supplier and no reasonable alternative or substitute exists;

(c) for reasons of extreme urgency brought about by events unforeseeable by the entity, the goods or services could not be obtained in time by means of open or selective tendering procedures;

(d) for additional deliveries of goods or services by the original supplier where a change of supplier would compel the entity to procure equipment or services not meeting requirements of interchangeability with already existing equipment, software or services;

(e) when an entity procures prototypes or a first product or service which are developed at its request in the course of, and for, a particular contract for research, experiment, study or original development;

(f) when additional services which were not included in the initial contract but which were within the objectives of the original tender documentation have, through unforeseeable circumstances, become necessary to complete the services described therein. However, the total value of contracts awarded for the additional construction services may not exceed 50 % of the amount of the main contract;

(g) for new services consisting of the repetition of similar services and for which the entity has indicated, in the notice concerning the initial service, that tendering procedures other than open or selective might be used in awarding contracts for such new services;

(h) in the case of contracts awarded to the winner of a design contest, provided that the contest has been organised in a manner which is consistent with the principles of this Title; in case of several successful candidates, all successful candidates shall be invited to participate in the negotiations; and

(i) for quoted goods purchased on a commodity market and for purchases of goods made under exceptionally advantageous conditions which only arise in the very short term in the case of unusual disposals and not for routine purchases from regular suppliers.

2. The Parties shall ensure that, whenever it is necessary for entities to resort to a procedure other than the open or selective tendering procedures based on the circumstances set forth in paragraph 1, the entities shall maintain a record or prepare a written report providing specific justification for the contract awarded under that paragraph.

Article 146

Qualification of suppliers

1. Any conditions for participation in procurement shall be limited to those that are essential to ensure that the potential supplier has the capability to fulfil the requirements of the procurement and the ability to execute the contract in question.

2. In the process of qualifying suppliers, entities shall not discriminate between domestic suppliers and suppliers of the other Party.

3. A Party shall not impose the condition that, in order for a supplier to participate in a procurement, the supplier has previously been awarded one or more contracts by an entity of that Party or that the supplier has prior work experience in the territory of that Party.

4. Entities shall recognise as qualified suppliers all suppliers who meet the conditions for participation in a particular intended procurement. Entities shall base their qualification decisions solely on the conditions for participation that have been specified in advance in notices or tender documentation.

5. Nothing in this Title shall preclude the exclusion of any supplier on grounds such as bankruptcy or false declarations or conviction for serious crime such as participation in criminal organisations.

6. Entities shall promptly communicate to suppliers that have applied for qualification their decision on whether or not they qualify.

Permanent lists of qualified suppliers

7. Entities may establish permanent lists of qualified suppliers provided that the following rules are respected:

(a) entities establishing permanent lists shall ensure that suppliers may apply for qualification at any time.

(b) any supplier having requested to become a qualified supplier shall be notified by the entities concerned of the decision in this regard.

(c) suppliers requesting to participate in a given intended procurement who are not on the permanent list of qualified suppliers shall be given the possibility to participate in the procurement by presenting the equivalent certifications and other means of proof requested from suppliers who are on the list.

(d) when an entity operating in the utilities sector uses a notice on the existence of a permanent list as a notice of intended procurement, as provided in Article 147(7), suppliers requesting to participate who are not on the permanent list of qualified suppliers shall also be considered for the procurement, provided there is sufficient time to complete the qualification procedure; in this event, the procuring entity shall promptly start procedures for qualification and the process of, and the time required for, qualifying suppliers shall not be used in order to keep suppliers of other Parties off the suppliers' list.

Article 147

Publication of notices

General provisions

1. Each Party shall ensure that its entities provide for effective dissemination of the tendering opportunities generated by the relevant government procurement processes, providing suppliers of the other Party with all the information required to take part in such procurement.

2. For each contract covered by this Title, except as set out in Articles 143(3) and 145, entities shall publish in advance a notice inviting interested suppliers to submit tenders, or where appropriate, requests for participation for that contract.

3. The information in each notice of intended procurement shall include at least the following:

(a) name, address, telefax number, electronic address of the entity and, if different, the address where all documents relating to the procurement may be obtained;

(b) the tendering procedure chosen and the form of the contract;

(c) a description of the intended procurement, as well as essential contract requirements to be fulfilled;

(d) any conditions that suppliers must fulfil to participate in the procurement;

(e) time-limits for submission of tenders and, where appropriate, other time limits;

(f) main criteria to be used for award of the contract; and

(g) if possible, terms of payment and any other terms.

Notice of planned procurement

4. Each Party shall encourage its entities to publish as early as possible in each fiscal year, a notice of planned procurement containing information regarding entities' future procurement plans. Such notice should include the subject matter of the procurement and the planned date of the publication of the notice of intended procurement.

5. Entities operating in the utilities sector may use a notice of planned procurement as a notice of intended procurement, under the condition that such notice contains as much of the information referred to in paragraph 3 as is available, and that it explicitly invites interested suppliers to express their interest in the procurement to the entity.

6. Entities having used a notice of planned procurement as a notice of intended procurement shall subsequently communicate to all suppliers who have expressed an initial interest further information that shall include, at least, the information referred to in paragraph 3 and ask them to confirm their interest on that basis.

Notice regarding permanent lists of qualified suppliers

7. Entities which intend to maintain permanent lists shall, consistently with paragraph 2, publish a notice which shall identify the entity, and indicate the purpose of the permanent list and the availability of the rules concerning its operation, including criteria for qualification and disqualification, as well as its duration.

8. Where the permanent list is of a duration greater than three years, the notice shall be published annually.

9. Entities operating in the utilities sector may use a notice on the existence of permanent lists of qualified suppliers as a notice of intended procurement. In that case, they shall provide, in a timely manner, information which allows all those who have expressed an interest to assess their interest in participating in the procurement. This information shall include the information contained in the notice referred to in paragraph 3, to the extent that such information is available. Information provided to one interested supplier shall be provided in a non-discriminatory manner to the other interested suppliers.

Common provisions

10. Each notice referred to in this Article shall be accessible during the entire time period established for tendering for the relevant procurement.

11. Entities shall publish the notices in a timely manner through means which offer the widest possible and non-discriminatory access to the interested suppliers of the Parties. These means shall be accessible free of charge through a single point of access specified in Annex XIII, Appendix 2.

Article 148

Tender documentation

1. Tender documentation provided to suppliers shall contain all information necessary to permit them to submit responsive tenders.

2. Where contracting entities do not offer free direct access to the entire tender documents and any supporting documents by electronic means, entities shall make promptly available the tender documentation at the request of any supplier of the Parties.

3. Entities shall promptly reply to any reasonable request for relevant information relating to the intended procurement, on condition that such information does not give that supplier an advantage over its competitors.

Article 149

Technical specifications

1. Technical specifications shall be set out in the notices, tender documents or additional documents.

2. Each Party shall ensure that its entities do not prepare, adopt or apply any technical specifications with a view to, or with the effect of, creating unnecessary barriers to trade between the Parties.

3. Technical specifications prescribed by entities shall

(a) be in terms of performance and functional requirements rather than design or descriptive characteristics; and

(b) be based on international standards, where these exist or, in their absence, on national technical regulations(12), recognised national standards(13), or building codes.

4. The provisions of paragraph 3 do not apply when the entity can objectively demonstrate that the use of technical specifications referred to in that paragraph would be ineffective or inappropriate for the fulfilment of the legitimate objectives pursued.

5. In all cases, entities shall consider bids which do not comply with the technical specifications but meet the essential requirements thereof and are fit for the purpose intended. The reference to technical specifications in the tender documents must include words such as "or equivalent".

6. There shall be no requirement for or reference to a particular trademark or trade name, patent, design or type, specific origin, producer or supplier, unless there is no other sufficiently precise or intelligible way of describing the procurement requirements and provided that words, such as "or equivalent", are included in the tender documentation.

7. The tenderer shall have the burden of proving that his bid meets the essential requirements.

Article 150

Time-limits

1. All time-limits established by the entities for the receipt of tenders and requests to participate shall be adequate to allow suppliers of the other Party, as well as domestic suppliers, to prepare and to submit tenders, and where appropriate, requests for participation or applications for qualifying. In determining any such time-limit, entities shall, consistent with their own reasonable needs, take into account such factors as the complexity of the intended procurement and the normal time for transmitting tenders from foreign as well as domestic points.

2. Each Party shall ensure that its entities shall take due account of publication delays when setting the final date for receipt of tenders or of request for participation or for qualifying for the supplier's list.

3. The minimum time-limits for the receipt of tenders are specified in Annex XIII, Appendix 3.

Article 151

Negotiations

1. A Party may provide for its entities to conduct negotiations:

(a) in the context of procurements in which they have indicated such intent in the notice of intended procurement; or

(b) when it appears from evaluation that no one tender is obviously the most advantageous in terms of the specific evaluation criteria set forth in the notices or tender documentation.

2. Negotiations shall primarily be used to identify the strengths and weaknesses in tenders.

3. Entities shall not, in the course of negotiations, discriminate between tenderers. In particular, they shall ensure that:

(a) any elimination of participants is carried out in accordance with the criteria set forth in the notices and tender documentation;

(b) all modifications to the criteria and to the technical requirements are transmitted in writing to all remaining participants in the negotiations; and

(c) on the basis of the revised requirements and/or when negotiations are concluded, all remaining participants are afforded an opportunity to submit new or amended tenders in accordance with a common deadline.

Article 152

Submission, receipt and opening of tenders

1. Tenders and requests to participate in procedures shall be submitted in writing.

2. Entities shall receive and open bids from tenderers under procedures and conditions guaranteeing the respect of the principles of transparency and non-discrimination.

Article 153

Awarding of contracts

1. To be considered for award, a tender must, at the time of opening, conform to the essential requirements of the notices or tender documentation and be submitted by a supplier which complies with the conditions for participation.

2. Entities shall make the award to the tenderer whose tender is either the lowest tender or the tender which, in terms of the specific objective evaluation criteria previously set forth in the notices or tender documentation, is determined to be the most advantageous.

Article 154

Information on contract award

1. Each Party shall ensure that its entities provide for effective dissemination of the results of government procurement processes.

2. Entities shall promptly inform tenderers of decisions regarding the award of the contract and of the characteristics and relative advantages of the selected tender. Upon request, entities shall inform any eliminated tenderer of the reasons for the rejection of its tender.

3. Entities may decide to withhold certain information on the contract award where release of such information would prevent law enforcement or otherwise be contrary to the public interest, would prejudice the legitimate commercial interests of suppliers, or might prejudice fair competition between them.

Article 155

Bid challenges

1. Entities shall accord impartial and timely consideration to any complaints from suppliers regarding an alleged breach of this Title in the context of a procurement procedure.

2. Each Party shall provide non-discriminatory, timely, transparent and effective procedures enabling suppliers to challenge alleged breaches of this Title arising in the context of procurements in which they have, or have had, an interest.

3. Challenges shall be heard by an impartial and independent reviewing authority. A reviewing authority which is not a court shall either be subject to judicial review or shall have procedural guarantees similar to those of a court.

4. Challenge procedures shall provide for:

(a) rapid interim measures to correct breaches of this Title and to preserve commercial opportunities. Such action may result in suspension of the procurement process. However, procedures may provide that overriding adverse consequences for the interests concerned, including the public interest, may be taken into account in deciding whether such measures should be applied; and

(b) if appropriate, correction of the breach of this Title or, in the absence of such correction, compensation for the loss or damages suffered, which may be limited to costs for tender preparation and protest.

Article 156

Information technology

1. The Parties shall, to the extent possible, endeavour to use electronic means of communication to permit efficient dissemination of information on government procurement, particularly as regards tender opportunities offered by entities, while respecting the principles of transparency and non-discrimination.

2. With a view to improving access to government procurement markets, each Party shall endeavour to implement an electronic information system, which is compulsory for their respective entities.

3. The Parties shall encourage the use of electronic means for the transmission of offers.

Article 157

Cooperation and assistance

The Parties shall endeavour to provide each other with technical cooperation and assistance through the development of training programs with a view to achieving a better understanding of their respective government procurement systems and statistics and better access to their respective markets.

Article 158

Statistical reports

Where a Party does not ensure an acceptable level of compliance with Article 147(11), it shall, upon request of the other Party, collect and provide to the other Party on an annual basis statistics on its procurements covered by this Title. Such reports shall contain the information established in Annex XIII, Appendix 4.

Article 159

Modifications to coverage

1. Either Party may modify its coverage under this Title, provided that it:

(a) notifies the other Party of the modification; and

(b) provides the other Party, within 30 days following the date of such notification, appropriate compensatory adjustments to its coverage in order to maintain a level of coverage comparable to that existing prior to the modification.

2. Notwithstanding paragraph 1(b), no compensatory adjustments shall be provided to the other Party where the modification by a Party of its coverage under this Title concerns:

(a) rectifications of a purely formal nature and minor amendments to Annexes XI and XII; or

(b) one or more covered entities on which government control or influence has been effectively eliminated as a result of privatisation or liberalisation.

3. Where appropriate, the Association Committee shall by decision modify the relevant Annex to reflect the modification notified by the Party concerned.

Article 160

Further negotiations

If either Party should offer in the future a third party additional advantages with regard to access to their respective procurement markets beyond what has been agreed under this Title, it shall agree to enter into negotiations with the other Party with a view to extending these advantages to it on a reciprocal basis by means of a decision of the Association Committee.

Article 161

Exceptions

Provided that such measures are not applied in a manner that would constitute a means of arbitrary or unjustifiable discrimination between the Parties or a disguised restriction on trade between them, nothing in this Title shall be construed to prevent any Party from adopting or maintaining measures:

(a) necessary to protect public morals, order or safety;

(b) necessary to protect human life, health or security;

(c) necessary to protect animal or plant life or health;

(d) necessary to protect intellectual property; or

(e) relating to goods or services of handicapped persons, of philanthropic institutions or of prison labour.

Article 162

Review and implementation

The Association Committee shall review the implementation of this Title every two years, unless otherwise agreed by the Parties; it shall consider any issue arising from it, and take appropriate action in the exercise of its functions. It shall, in particular, fulfil the following tasks:

(a) coordinate exchanges between the Parties regarding the development and implementation of information technology systems in the field of public procurement;

(b) make appropriate recommendations regarding the cooperation between the Parties; and

(c) adopt decisions where provided for under this Title.

TITLE V

CURRENT PAYMENTS AND CAPITAL MOVEMENTS

Article 163

Objective and scope

1. The Parties shall aim at the liberalisation of current payments and capital movements between them, in conformity with the commitments undertaken in the framework of the international financial institutions and with due consideration to each Party's currency stability.

2. This Title applies to all current payments and capital movements between the Parties.

Article 164

Current Account

The Parties shall allow, in freely convertible currency and in accordance with the Articles of Agreement of the International Monetary Fund, any payments and transfers of the Current Account between the Parties.

Article 165

Capital Account

With regard to movement of capital of the Balance of Payments, from the entry into force of this Agreement, the Parties shall allow the free movements of capital relating to direct investments made in accordance with the laws of the host country and investments established in accordance with the provisions of Title III of this Part, and the liquidation or repatriation of these capitals and of any profit stemming therefrom.

Article 166

Exceptions and safeguard measures

1. Where, in exceptional circumstances, payments and capital movements between the Parties cause or threaten to cause serious difficulties for the operation of monetary policy or exchange rate policy in either Party, the Party concerned may take safeguard measures with regard to capital movements that are strictly necessary for a period not exceeding one year. The application of safeguard measures may be extended through their formal reintroduction.

2. The Party adopting the safeguard measures shall inform the other Party forthwith and present, as soon as possible, a time schedule for their removal.

Article 167

Final provisions

1. With respect to this Title, the Parties confirm the rights and obligations existing under any bilateral or multilateral agreements to which they are parties.

2. The Parties shall consult each other with a view to facilitating the movement of capital between them in order to promote the objectives of this Agreement.

TITLE VI

INTELLECTUAL PROPERTY RIGHTS

Article 168

Objective

The Parties shall grant and ensure adequate and effective protection of intellectual property rights in accordance with the highest international standards, including effective means of enforcing such rights provided for in international treaties.

Article 169

Scope

For the purposes of this Agreement, intellectual property rights embodies copyright - including copyright in computer programs and in databases - and related rights, the rights related to patents, industrial designs, geographical indications including appellation of origins, trademarks, layout-designs (topographies) of integrated circuits, as well as protection of undisclosed information and protection against unfair competition as referred to in Article 10 bis of the Paris Convention for the Protection of Industrial Property (Stockholm Act, 1967).

Article 170

Protection of intellectual property rights

In pursuance of the objectives set out in Article 168, the Parties shall:

(a) continue to ensure an adequate and effective implementation of the obligations arising from the following conventions:

(i) the Agreement on Trade-related Aspects of Intellectual Property, Annex 1C to the Agreement establishing the World Trade Organisation ("the TRIPs");

(ii) the Paris Convention for the Protection of Industrial Property (Stockholm Act, 1967);

(iii) the Berne Convention for the Protection of Literary and Artistic Works (Paris Act, 1971);

(iv) the Rome Convention for the Protection of Performers, Producers of Phonograms and Broadcasting Organisations (Rome, 1961); and

(v) the International Convention for the Protection of New Varieties of Plants 1978 ("1978 UPOV Convention"), or the International Convention for the Protection of New Varieties of Plants 1991 ("1991 UPOV Convention");

(b) by 1 January 2007 accede to and ensure an adequate and effective implementation of the obligations arising from the following multilateral conventions:

(i) the Nice Agreement Concerning the International Classification of Goods and Services for the Purposes of Registration of Marks (Geneva Act, 1977, amended in 1979);

(ii) the World Intellectual Property Organization Copyright Treaty (Geneva, 1996);

(iii) the World Intellectual Property Organization Performances and Phonograms Treaty (Geneva, 1996);

(iv) the Patent Co-operation Treaty (Washington, 1970, amended in 1979 and modified in 1984); and

(v) the 1971 Strasbourg Agreement Concerning the International Patent Classification (Strasbourg 1971, amended in 1979);

(c) by 1 January 2009 accede to and ensure an adequate and effective implementation of the obligations arising from the following multilateral conventions:

(i) the Convention for the Protection of Producers of Phonograms against the Unauthorised Duplication of their Phonograms (Geneva 1971);

(ii) the Locarno Agreement establishing an International Classification for Industrial Designs (Locarno Union 1968, amended in 1979);

(iii) the Budapest Treaty on the International Recognition of the Deposit of Micro-organisms for the Purposes of Patent Procedure (1977, amended in 1980); and

(iv) the Trademark Law Treaty (Geneva, 1994);

(d) make every effort to ratify and ensure an adequate and effective implementation of the obligations arising from the following multilateral conventions at the earliest possible opportunity:

(i) the Protocol to the Madrid Agreement concerning the International Registration of Marks (1989);

(ii) the Madrid Agreement concerning the International Registration of Marks (Stockholm Act 1967, amended in 1979); and

(iii) the Vienna Agreement establishing an International Classification of Figurative Elements of Marks (Vienna 1973, amended in 1985).

Article 171

Review

While the Parties express their attachment to observing the obligations deriving from the above multilateral conventions, the Association Council may decide to include in Article 170 other multilateral conventions in this field.

TITLE VII

COMPETITION

Article 172

Objectives

1. The Parties undertake to apply their respective competition laws in a manner consistent with this Part of the Agreement so as to avoid the benefits of the liberalisation process in goods and services being diminished or cancelled out by anti-competitive business conduct. To this end, the Parties agree to cooperate and coordinate among their competition authorities under the provisions of this Title.

2. With a view to preventing distortions or restrictions of competition which may affect trade in goods or services between them, the Parties shall give particular attention to anti-competitive agreements, concerted practices and abusive behaviour resulting from single or joint dominant positions.

3. The Parties agree to cooperate and coordinate among themselves for the implementation of competition laws. This cooperation includes notification, consultation, exchange of non-confidential information and technical assistance. The Parties acknowledge the importance of embracing principles on competition that would be accepted by both Parties in multilateral fora, including the WTO.

Article 173

Definitions

For the purpose of this Title:

1. "competition laws" includes:

(a) for the Community, Articles 81, 82 and 86 of the Treaty establishing the European Community, Regulation (EEC) No 4064/89 and their implementing regulations or amendments;

(b) for Chile, Decreto Ley No 211 of 1973 and Ley No 19.610 of 1999 and their implementing regulations or amendments; and

(c) any changes that the abovementioned legislation may undergo after the entry into force of this Agreement.

2. "competition authority" means:

(a) for the Community, the Commission of the European Communities; and

(b) for Chile, the Fiscalía Nacional Económica and the Comisión Resolutiva.

3. "enforcement activity" means any application of competition laws by way of investigation or proceeding conducted by the competition authority of a Party, which may result in the imposition of penalties or remedies.

Article 174

Notifications

1. Each competition authority shall notify the competition authority of the other Party of an enforcement activity if it:

(a) is liable to substantially affect the other Party's important interests;

(b) relates to restrictions on competition which are liable to have a direct and substantial effect in the territory of the other Party; or

(c) concerns anti-competitive acts taking place principally in the territory of the other Party.

2. Provided that this is not contrary to the Parties' competition laws and does not affect any investigation being carried out, notification shall take place at an early stage of the procedure. The opinions received may be taken into consideration by the other competition authority when taking decisions.

3. The notifications provided for in paragraph 1 should be detailed enough to permit an evaluation in the light of the interests of the other Party.

4. The Parties undertake to use their best efforts to ensure that notifications are made in the circumstances set out above, taking into account the administrative resources available to them.

Article 175

Coordination of enforcement activities

The competition authority of one Party may notify the other Party's competition authority of its willingness to coordinate enforcement activities with respect to a specific case. This coordination shall not prevent the Parties from taking autonomous decisions.

Article 176

Consultations when the important interests of one Party are adversely affected in the territory of the other Party

1. Each Party shall, in accordance with its laws, take into consideration, as necessary, the important interests of the other Party in the course of its enforcement activities. If the competition authority of a Party considers that an investigation or proceeding being conducted by the competition authority of the other Party may adversely affect such Party's important interests it may transmit its views on the matter to, or request consultation with, the other competition authority. Without prejudice to the continuation of any action under its competition laws and to its full freedom of ultimate decision, the competition authority so addressed should give full and sympathetic consideration to the views expressed by the requesting competition authority.

2. The competition authority of a Party which considers that the interests of that Party are being substantially and adversely affected by anti-competitive practices of whatever origin that are or have been engaged in by one or more enterprises situated in the other Party may request consultations with the competition authority of that Party. Such consultations shall be without prejudice to the full freedom of ultimate decision of the competition authority concerned. A competition authority so consulted may take whatever corrective measures under its competition laws it deems appropriate, consistent with its own domestic law, and without prejudice to its full enforcement discretion.

Article 177

Exchange of information and confidentiality

1. With a view to facilitating the effective application of their respective competition laws, the competition authorities may exchange non-confidential information.

2. For the purpose of improving transparency, and without prejudice to the rules and standards of confidentiality applicable in each Party, the Parties hereby undertake to exchange information regarding sanctions and remedies applied in the cases that, according to the competition authority concerned, are significantly affecting important interests of the other Party and to provide the grounds on which those actions were taken, when requested by the competition authority of the other Party.

3. Each Party shall provide the other Party with information on state aid on an annual basis, including the overall amount of aid and, if possible, the segregation by sector. Each Party may request information on individual cases affecting trade between the Parties. The requested Party will use its best efforts to provide non-confidential information.

4. All exchange of information shall be subject to the standards of confidentiality applicable in each Party. Confidential information whose dissemination is expressly prohibited or which, if disseminated, could adversely affect the interest of the Parties, shall not be provided without the express consent of the source of the information.

5. Each competition authority shall maintain the confidentiality of any information provided to it in confidence by the other competition authority, and oppose any application for disclosure of such information by a third party that is not authorised by the competition authority that supplied the information.

6. In particular, where the laws of a Party so provides, confidential information may be provided to their respective courts of justice, subject to maintaining its confidentiality by the respective courts.

Article 178

Technical assistance

The Parties may provide each other technical assistance in order to take advantage of their respective experience and to strengthen the implementation of their competition laws and policies.

Article 179

Public enterprises and enterprises entrusted with special or exclusive rights, including designated monopolies

1. Nothing in this Title prevents a Party from designating or maintaining public or private monopolies according to their respective laws.

2. With regard to public enterprises and enterprises to which special or exclusive rights have been granted, the Association Committee shall ensure that, following the date of entry into force of this Agreement, there is neither enacted nor maintained any measure distorting trade in goods or services between the Parties to an extent contrary to the Parties' interests and that such enterprises shall be subject to the rules of competition insofar as the application of such rules does not obstruct the performance, in law or in fact, of the particular tasks assigned to them.

Article 180

Dispute settlement

Neither Party may have recourse to dispute settlement under this Agreement for any matter arising under this Title.

TITLE VIII

DISPUTE SETTLEMENT

CHAPTER I

OBJECTIVE AND SCOPE

Article 181

Objective

The objective of this Title is to avoid and settle disputes between the Parties concerning the good faith application of this Part of the Agreement and to arrive to a mutually satisfactory resolution of any matter that might affect its operation.

Article 182

Scope

The provisions of this Title shall apply with respect to any matter arising from the interpretation and application of this Part of the Agreement, except otherwise expressly provided.

CHAPTER II

DISPUTE AVOIDANCE

Article 183

Consultations

1. The Parties shall at all times endeavour to agree on the interpretation and application of this Part of the Agreement and shall make every attempt through cooperation and consultations to avoid and settle disputes between them and to arrive at a mutually satisfactory resolution of any matter that might affect its operation.

2. Each Party may request consultations within the Association Committee with respect to an existing or proposed measure or any matter relating to the application or interpretation of this Part of the Agreement or any other matter that it considers might affect its operation. For the purposes of this Title, a "measure" shall also include a practice. The Party shall state in the request the measure or other matter complained of, indicate the provisions of this Agreement that it considers applicable and deliver the request to the other Party.

3. The Association Committee shall convene within 30 days of delivery of the request. Upon initiation of consultations, the Parties shall provide information to enable the examination of how the measure or any other matter might affect the operation and application of this Part of the Agreement, and give confidential treatment to the information exchanged during consultations. The Association Committee shall endeavour to resolve the dispute promptly by means of a decision. That decision shall specify the implementing measures to be taken by the Party concerned, and the timeframe for doing so.

CHAPTER III

DISPUTE SETTLEMENT PROCEDURE

Article 184

Initiation of the procedure

1. Parties shall at all times endeavour to reach a mutually satisfactory agreement on the dispute.

2. Where a Party considers that an existing measure of the other Party is in breach of an obligation under the provisions referred to in Article 182 and such matter has not been resolved within 15 days after the Association Committee has convened pursuant to Article 183(3) or 45 days after the delivery of the request for consultations within the Association Committee, whichever is earlier, it may request in writing the establishment of an arbitration panel.

3. The complaining Party shall state in the request the existing measure it considers to be in breach of this Part of the Agreement and indicate the provisions of this Agreement that it considers relevant, and shall deliver the request to the other Party and to the Association Committee.

Article 185

Appointment of arbitrators

1. Arbitration panels shall consist of three arbitrators.

2. The Association Committee shall, no later than six months after the entry into force of this Agreement, establish a list of at least 15 individuals who are willing and able to serve as arbitrators, a third of whom must not be national of either Party and are identified as chairperson of arbitration panels. The Association Committee shall ensure that the list always contains 15 individuals at any point in time. Those individuals shall have specialised knowledge or experience in law, international trade or other matters relating to this Part of the Agreement or in the resolution of disputes deriving from international trade agreements, be independent, serve in their individual capacities and not be affiliated with, nor take instructions from, any Party or organisation and shall comply with the Code of Conduct set out in Annex XVI. Such list may be amended every three years.

3. Within three days of the request for the establishment of the arbitration panel, the three arbitrators shall be selected by lot by the chairperson of the Association Committee from the list referred to in paragraph 2, one among the individuals proposed to the Association Committee by the complaining Party, one among the individuals proposed to the Association Committee by the Party complained against and the chairperson among the individuals identified for that purpose under paragraph 2.

4. The date of establishment of the arbitration panel shall be the date on which the three arbitrators are selected by lot.

5. Where a Party considers that an arbitrator does not comply with the requirements of the Code of Conduct, the Parties shall consult and, if so agreed, they shall replace that arbitrator and select a new one pursuant to paragraph 6.

6. If an arbitrator is unable to participate in the proceeding, withdraws or is replaced, a replacement shall be selected within three days in accordance with the selection procedure followed to select that arbitrator. In such a case, any timeframe applicable to the arbitration panel proceeding shall be suspended for a period beginning on the date the arbitrator is unable to participate in the proceeding, withdraws or is replaced and ending on the date the replacement is selected.

Article 186

Information and technical advice

At the request of a Party or on its own initiative, the panel may obtain the information and technical advice of persons and bodies that it deems appropriate. Any information so obtained shall be submitted to the Parties for comments.

Article 187

Arbitration panel ruling

1. The arbitration panel shall transmit its ruling containing its findings and conclusions to the Parties and the Association Committee, as a general rule not later than three months from the date of establishment of the arbitration panel. In no case should it do so later than five months from this date. The arbitration panel shall base its ruling on the submissions and communications of the Parties and on any information it has received pursuant to Article 186. The ruling is final and shall be publicly available.

2. The ruling shall set out the findings of fact, the applicability of the relevant provisions of this Agreement and the basic rationale behind any findings and conclusions that it makes.

3. Arbitration panels shall interpret the provisions of this Agreement in accordance with customary rules of interpretation of public international law, due account being taken of the fact that the Parties must perform this Agreement in good faith and avoid circumvention of their obligations.

4. A Party asserting that a measure of the other Party is inconsistent with the provisions of this Part of the Agreement shall have the burden of establishing such inconsistency. A Party asserting that a measure is subject to an exception under this Part of the Agreement shall have the burden of establishing that the exception applies.

5. In cases of urgency, including those involving perishable goods, the arbitration panel shall make every effort to issue its ruling to the Parties within 75 days from the date of establishment of the arbitration panel. In no case should it do so later than four months from that date. The arbitration panel may give a preliminary ruling on whether a case is urgent.

6. All decisions of the arbitration panel, including the adoption of the ruling and of any preliminary ruling, shall be taken by majority vote.

7. The complaining Party may, with the agreement of the Party complained against, withdraw its complaint at any time before the ruling is transmitted to the Parties and the Association Committee. Such withdrawal is without prejudice to its right to introduce a new complaint regarding the same matter at a later point in time.

8. The arbitration panel may, with the agreement of the Party complained against, suspend its work at any time at the request of the complaining Party for a period not to exceed 12 months. In the event of such a suspension, the time-frames set out in paragraphs 1 and 5 shall be extended by the amount of time that the work was suspended. If the work of the panel has been suspended for more than 12 months, the authority for establishment of the panel shall lapse, without prejudice to the right of the complaining Party to request at a later stage the establishment of an arbitration panel on the same subject matter.

Article 188

Compliance

1. Each Party shall be bound to take the measures necessary to comply with the ruling of the arbitration panel.

2. The Parties shall endeavour to agree on the specific measures that are required for complying with the ruling.

3. Within 30 days after the ruling has been transmitted to the Parties and the Association Committee, the Party complained against shall notify the other Party:

(a) of the specific measures required for complying with the ruling;

(b) of the reasonable timeframe for doing so; and

(c) of a concrete proposal for a temporary compensation until the full implementation of the specific measures required for compliance with the ruling.

4. In the event of disagreement between the Parties on the content of such notification, the complaining Party shall request the original arbitration panel to rule on whether the proposed measures referred to under paragraph 3(a) would be consistent with this Part of the Agreement, on the duration of the timeframe and on whether the compensation proposal is manifestly disproportionate. The ruling shall be given within 45 days after that request.

5. The Party concerned shall notify to the other Party and to the Association Committee the implementing measures adopted in order to put an end to the violation of its obligations under this Part of the Agreement, before the expiry of the reasonable timeframe agreed by the Parties or determined in accordance with paragraph 4. Upon that notification, that other Party may request the original arbitration panel to rule on the conformity of those measures with this Part of the Agreement if they are not similar to the measures which the arbitration panel, acting under paragraph 4, has ruled that they would be consistent with this Part of the Agreement. The ruling of the arbitration panel shall be given within 45 days from that request.

6. If the Party concerned fails to notify the implementing measures before the expiry of the reasonable timeframe or if the arbitration panel rules that the implementing measures notified by the Party concerned are inconsistent with its obligations under this Part of the Agreement, the complaining Party shall, if no agreement on compensation has been found, be entitled to suspend the application of benefits granted under this Part of the Agreement equivalent to the level of nullification and impairment caused by the measure found to violate this Part of the Agreement.

7. In considering what benefits to suspend, a complaining Party should first seek to suspend benefits in the same Title or Titles of this Part of the Agreement as that affected by the measure that the arbitration panel has found to violate this Part of the Agreement. A complaining Party that considers that it is not practicable or effective to suspend benefits in the same Title or Titles may suspend benefits in other Titles, provided it submits written justification. In the selection of the benefits to suspend, priority must be given to those which least disturb the functioning of this Agreement.

8. The complaining Party shall notify the other Party and the Association Committee of the benefits which it intends to suspend. Within five days from that notification, the other Party may request the original arbitration panel to rule on whether the benefits which the complaining Party intends to suspend are equivalent to the level of nullification and impairment caused by the measure found to violate this Part of the Agreement, and whether the proposed suspension is in accordance with paragraph 7. The ruling of the arbitration panel shall be given within 45 days from that request. Benefits shall not be suspended until the arbitration panel has issued its ruling.

9. The suspension of benefits shall be temporary and shall only be applied by the complaining Party until the measure found to violate this Part of the Agreement has been withdrawn or amended so as to bring it into conformity with this Part of the Agreement, or the Parties have reached agreement on a resolution of the dispute.

10. At the request of any of the Parties, the original arbitration panel shall rule on the conformity with this Part of the Agreement of any implementing measures adopted after the suspension of benefits and, in the light of such ruling, whether the suspension of benefits should be terminated or modified. The ruling of the arbitration panel shall be given within 45 days from the date of that request.

11. The rulings provided for in this Article shall be final and binding. They shall be transmitted to the Association Committee and be publicly available.

CHAPTER IV

GENERAL PROVISIONS

Article 189

General provisions

1. Any time-period mentioned in this Title may be modified by mutual agreement of the Parties.

2. Unless the Parties otherwise agree, the procedure before the arbitration panel shall be governed by the Model Rules of Procedure set out in Annex XV. The Association Committee may, whenever it considers necessary, amend the Model Rules of Procedure and the Code of Conduct set out in Annex XVI, by means of a decision.

3. The hearings of the arbitration panels shall be closed to the public, unless the Parties decide otherwise.

4. (a) When a Party seeks redress of a violation of an obligation under the WTO Agreement, it shall have recourse to the relevant rules and procedures of the WTO Agreement, which apply notwithstanding the provisions of this Agreement.

(b) When a Party seeks redress of a violation of an obligation under this Part of the Agreement, it shall have recourse to the rules and procedures of this Title.

(c) Unless the Parties otherwise agree, when a Party seeks redress of a violation of an obligation under this Part of the Agreement which is equivalent in substance to an obligation under the WTO, it shall have recourse to the relevant rules and procedures of the WTO Agreement, which apply notwithstanding the provisions of this Agreement.

(d) Once dispute settlement procedures have been initiated, the forum selected, if it has not declined its jurisdiction, shall be used to the exclusion of the other. Any question on the jurisdiction of the arbitration panels established under this Title shall be raised within 10 days of the establishment of the panel, and shall be settled by a preliminary ruling of the panel within 30 days of the establishment of the panel.

TITLE IX

TRANSPARENCY

Article 190

Contact points and exchange of information

1. In order to facilitate communication between the Parties on any trade matter covered by this Part of the Agreement, each Party shall designate a contact point. On the request of either Party, the contact point of the other Party shall indicate the office or official responsible for the matter and provide the required support to facilitate communication with the requesting Party.

2. On request of the other Party, and to the extent possible under its domestic laws and principles, each Party shall provide information and reply to any question from the other Party relating to an actual or proposed measure that might substantially affect the operation of this Part of the Agreement.

3. The information referred to under this Article shall be considered to have been provided when the information has been made available by appropriate notification to the WTO or when the information has been made available on the official, publicly and fee-free accessible website of the Party concerned.

Article 191

Cooperation on increased transparency

The Parties agree to cooperate in bilateral and multilateral fora on ways to increase transparency in trade matters.

Article 192

Publication

Each Party shall ensure that its laws, regulations, procedures and administrative rulings of general application relating to any trade matter covered by this Part of the Agreement are promptly published or made publicly available.

TITLE X

SPECIFIC TASKS IN TRADE MATTERS OF THE BODIES ESTABLISHED UNDER THIS AGREEMENT

Article 193

Specific tasks

1. When the Association Committee performs any of the tasks conferred upon it in this Part of the Agreement, it shall be composed of representatives of the Community and Chile with a responsibility for trade-related matters, normally at senior official level.

2. Notwithstanding the provisions of Article 6, the Association Committee shall have, in particular, the following functions:

(a) to supervise the implementation and proper application of the provisions of this Part of the Agreement, as well as of any other instrument agreed by the Parties concerning trade-related matters, within the framework of this Agreement;

(b) to oversee the further elaboration of the provisions of this Part of the Agreement and evaluate the results obtained in its application;

(c) to resolve disputes that may arise regarding the interpretation or application of this Part of the Agreement, in accordance with the provisions of Article 183;

(d) to assist the Association Council in the performance of its functions regarding trade-related matters;

(e) to supervise the work of all the special committees established under this Part of the Agreement;

(f) to carry out any other function assigned to it under this Part of the Agreement or entrusted to it by the Association Council, concerning trade-related matters; and

(g) to report annually to the Association Council.

3. In the performance of its duties under paragraph 2, the Association Committee may:

(a) set up any special committees or bodies to deal with matters falling within its competence, and determine their composition and duties, and their rules of procedure;

(b) meet at any time agreed by the Parties;

(c) consider any issues regarding trade-related matters, and take appropriate action in the exercise of its functions; and

(d) take decisions or make recommendations on trade-related matters, in accordance with Article 6.

4. Pursuant to Articles 5 and 6(4), the Parties shall implement decisions resulting from the application of Articles 60(5) and 74 and Article 38 of Annex III in accordance with Annex XVII.

TITLE XI

EXCEPTIONS IN THE AREA OF TRADE

Article 194

National security clause

1. Nothing in this Agreement shall be construed:

(a) to require a Party to furnish any information the disclosure of which it considers contrary to its essential security interests;

(b) to prevent a Party from taking any action which it considers necessary for the protection of its essential security interests

(i) relating to fissionable and fusionable materials or the materials from which they are derived;

(ii) relating to the traffic in arms, ammunition and implements of war and to such traffic in other goods and materials or relating to the supply of services, as carried on directly or indirectly for the purpose of supplying or provisioning a military establishment;

(iii) relating to government procurement indispensable for national security or for national defence purposes; or

(iv) taken in time of war or other emergency in international relations; or

(c) to prevent a Party from taking any action in pursuance of its obligations under the United Nations Charter for the maintenance of international peace and security.

2. The Association Committee shall be informed to the fullest extent possible of measures taken under paragraphs 1(b) and (c) and of their termination.

Article 195

Balance of payments difficulties

1. Where a Party is in serious balance of payments and external financial difficulties, or under threat thereof, it may adopt or maintain restrictive measures with regard to trade in goods and in services and with regard to payments and capital movements, including those related to direct investment.

2. The Parties shall endeavour to avoid the application of the restrictive measures referred to in paragraph 1.

3. Any restrictive measure adopted or maintained under this Article shall be non-discriminatory and of limited duration and shall not go beyond what is necessary to remedy the balance of payments and external financial situation. They shall be in accordance with the conditions established in the WTO Agreements and consistent with the Articles of Agreement of the International Monetary Fund, as applicable.

4. The Party maintaining or having adopted restrictive measures, or any changes thereto, shall promptly notify them to the other Party and present, as soon as possible, a time schedule for their removal.

5. The Party applying restrictive measures shall consult promptly within the Association Committee. Such consultations shall assess the balance of payments situation of the Party concerned and the restrictions adopted or maintained under this Article, taking into account, inter alia, such factors as:

(a) the nature and extent of the balance of payments and the external financial difficulties;

(b) the external economic and trading environment of the consulting Party;

(c) alternative corrective measures which may be available.

The consultations shall address the compliance of any restrictive measures with paragraphs 3 and 4. All findings of statistical and other facts presented by the International Monetary Fund relating to foreign exchange, monetary reserves and balance of payments shall be accepted and conclusions shall be based on the assessment by the Fund of the balance of payments and the external financial situation of the consulting Party.

Article 196

Taxation

1. Nothing in this Part of the Agreement or in any arrangement adopted under this Agreement shall be construed to prevent the Parties from distinguishing, in the application of the relevant provisions of their fiscal legislation, between taxpayers who are not in the same situation, in particular with regard to their place of residence or with regard to the place where their capital is invested.

2. Nothing in this Part of the Agreement or in any arrangement adopted under this Agreement shall be construed to prevent the adoption or enforcement of any measure aimed at preventing the avoidance or evasion of taxes pursuant to the tax provisions of agreements to avoid double taxation or other tax arrangements or domestic fiscal legislation.

3. Nothing in this Part of the Agreement shall affect the rights and obligations of either Party under any tax convention. In the event of any inconsistency between this Agreement and any such convention, that convention shall prevail to the extent of the inconsistency.

PART V

FINAL PROVISIONS

Article 197

Definition of the Parties

For the purposes of this Agreement, "the Parties" shall mean the Community or its Member States or the Community and its Member States, within their respective areas of competence as derived from the Treaty establishing the European Community, on the one hand, and the Republic of Chile, on the other.

Article 198

Entry into force

1. This Agreement shall enter into force the first day of the month following that in which the Parties have notified each other of the completion of the procedures necessary for this purpose.

2. Notifications shall be sent to the Secretary General of the Council of the European Union, who shall be the depository of this Agreement.

3. Notwithstanding paragraph 1, the Community and Chile agree to apply Articles 3 to 11, Article 18, Articles 24 to 27, Articles 48 to 54, Article 55 (a), (b), (f), (h), (i), Articles 56 to 93, Articles 136 to 162, and Articles 172 to 206, from the first day of the month following the date on which the Community and Chile have notified each other of the completion of the procedures necessary for this purpose.

4. Where a provision of this Agreement is applied by the Parties pending its entry into force, any reference in such provision to the date of entry into force of this Agreement shall be understood to be made to the date from which the Parties agree to apply that provision in accordance with paragraph 3.

5. From the date of its entry into force in accordance with paragraph 1, this Agreement shall replace the Framework Cooperation Agreement. By way of exception, the Protocol on Mutual Assistance in Customs Matters to the Framework Cooperation Agreement of 13 June 2001, shall remain in force and become an integral part of this Agreement.

Article 199

Duration

1. This Agreement shall be valid indefinitely.

2. Either Party may give written notice to the other of its intention to denounce this Agreement.

3. Denunciation shall take effect six months after notification to the other Party.

Article 200

Fulfilment of the obligations

1. The Parties shall adopt any general or specific measures required for them to fulfil their obligations under this Agreement and shall ensure that they comply with the objectives laid down in this Agreement.

2. If one of the Parties considers that the other Party has failed to fulfil an obligation under this Agreement it may take appropriate measures. Before doing so, it must supply the Association Council within 30 days with all the relevant information required for a thorough examination of the situation with a view to seeking a solution acceptable to the Parties.

In this selection of measures, priority must be given to those which least disturb the functioning of this Agreement. These measures shall be notified immediately to the Association Committee and shall be the subject of consultations in the Committee if the other Party so requests.

3. By way of derogation from paragraph 2, any Party may immediately take appropriate measures in accordance with international law in case of:

(a) denunciation of this Agreement not sanctioned by the general rules of international law;

(b) violation by the other Party of the essential elements of this Agreement referred to in Article 1, paragraph 1.

The other Party may ask that an urgent meeting be called to bring the Parties together within 15 days for a thorough examination of the situation with a view to seeking a solution acceptable to the Parties.

4. By way of derogation from paragraph 2, if one of the Parties considers that the other Party has failed to fulfil an obligation under Part IV, it shall exclusively have recourse to, and abide by, the dispute settlement procedures established under Title VIII of Part IV.

Article 201

Future developments

1. The Parties may mutually agree to extend this Agreement with the aim of broadening and supplementing its scope in accordance with their respective legislation, by concluding agreements on specific sectors or activities in the light of the experience gained during its implementation.

2. As regards the implementation of this Agreement, either Party may make suggestions oriented towards expanding cooperation in all areas, taking into account the experience acquired during the implementation thereof.

Article 202

Data Protection

The Parties agree to accord a high level of protection to the processing of personal and other data, compatible with the highest international standards.

Article 203

National security clause

The provisions of Article 194 shall apply to the entire Agreement.

Article 204

Territorial Application

This Agreement shall apply, on the one hand, to the territories in which the Treaty establishing the European Community is applied and under the conditions laid down in that Treaty, and, on the other hand, to the territory of the Republic of Chile.

Article 205

Authentic Texts

This Agreement is drawn up in duplicate in the Danish, Dutch, English, Finnish, French, German, Greek, Italian, Portuguese, Spanish and Swedish languages, each of these texts being equally authentic.

Article 206

Annexes, Appendices, Protocols and Notes

The Annexes, Appendices, Protocols and Notes to this Agreement shall form an integral part thereof.

EN FE DE LO CUAL, los plenipotenciarios abajo firmantes suscriben el presente Acuerdo./TIL BEKRÆFTELSE HERAF har undertegnede befuldmægtigede underskrevet denne aftale./ZU URKUND DESSEN haben die unterzeichneten Bevollmächtigten ihre Unterschrift unter dieses Abkommen gesetzt./ΣΕ ΠΙΣΤΩΣΗ ΤΩΝ ΑΝΩΤΕΡΩ, οι υπογράφοντες πληρεξούσιοι έθεσαν την υπογραφή τους κάτω από την παρούσα συμφωνία./IN WITNESS WHEREOF, the undersigned Plenipotentiaries have signed this Agreement./EN FOI DE QUOI les plénipotentiaires soussignés ont signé le présent accord./IN FEDE DI CHE, i sottoscritti plenipotenziari hanno apposto le loro firme in calce al presente accordo./TEN BLIJKE WAARVAN de ondergetekende gevolmachtigden hun handtekening onder deze overeenkomst hebben gesteld./EM FÉ DO QUE, os plenipotenciários abaixo-assinados apuseram as suas assinaturas no presente Acordo./TÄMÄN VAKUUDEKSI allekirjoittaneet täysivaltaiset edustajat ovat allekirjoittaneet tämän sopimuksen./TILL BEVIS HÄRPÅ har undertecknade befullmäktigade undertecknat detta avtal.

Hecho en Bruselas, el dieciocho de noviembre del dos mil dos./Udfærdiget i Bruxelles den attende november to tusind og to./Geschehen zu Brüssel am achtzehnten November zweitausendundzwei./Έγινε στις Βρυξέλλες, στις δέκα οκτώ Νοεμβρίου δύο χιλιάδες δύο./Done at Brussels on the eighteenth day of November in the year two thousand and two./Fait à Bruxelles, le dix-huit novembre deux mille deux./Fatto a Bruxelles, addì diciotto novembre duemiladue./Gedaan te Brussel, de achttiende november tweeduizendtwee./Feito em Bruxelas, em dezoito de Novembro de dois mil e dois./Tehty Brysselissä kahdeksantenatoista päivänä marraskuuta vuonna kaksituhattakaksi./Som skedde i Bryssel den artonde november tjugohundratvå.

Pour le Royaume de Belgique/Voor het Koninkrijk België/Für das Königreich Belgien

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Cette signature engage également la Communauté française, la Communauté flamande, la Communauté germanophone, la Région wallonne, la Région flamande et la Région de Bruxelles-Capitale./Deze handtekening verbindt eveneens de Vlaamse Gemeenschap, de Franse Gemeenschap, de Duitstalige Gemeenschap, het Vlaamse Gewest, het Waalse Gewest en het Brusselse Hoofdstedelijke Gewest./Diese Unterschrift bindet zugleich die Deutschsprachige Gemeinschaft, die Flämische Gemeinschaft, die Französische Gemeinschaft, die Wallonische Region, die Flämische Region und die Region Brüssel-Hauptstadt.

På Kongeriget Danmarks vegne

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Für die Bundesrepublik Deutschland

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Για την Ελληνική Δημοκρατία

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Por el Reino de España

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Pour la République française

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Thar cheann Na hÉireannFor Ireland

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Per la Repubblica italiana

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Pour le Grand-Duché de Luxembourg

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Voor het Koninkrijk der Nederlanden

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Für die Republik Österreich

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Pela República Portuguesa

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Suomen tasavallan puolesta/För Republiken Finland

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För Konungariket Sverige

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For the United Kingdom of Great Britain and Northern Ireland

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Por la Comunidad Europea/For Det Europæiske Fællesskab/Für die Europäische Gemeinschaft/Για την Ευρωπαϊκή Κοινότητα/For the European Community/Pour la Communauté européenne/Per la Comunità europea/Voor de Europese Gemeenschap/Pela Comunidade Europeia/Euroopan yhteisön puolesta/På Europeiska gemenskapens vägnar

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Por la República de Chile

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(1) is "stuffed pasta containing more than 20 % by weight of fish, crustaceans, molluscs or other aquatic invertebrates".

(2) Any internal tax or other internal charge, or any law, regulation or requirement of the kind referred to in paragraph 2 which applies to an imported product and to the like domestic product and is collected or enforced in the case of the imported product at the time or point of importation, is nevertheless to be regarded as an internal tax or other internal charge, or a law, regulation or requirement of the kind referred to in paragraph 2, and is accordingly subject to the provisions of this Article.

(3) A tax conforming to the requirements of the first sentence shall be considered inconsistent with the provisions of the second sentence only in cases where competition is involved between, on the one hand, a taxed product and, on the other hand, a directly competitive or substitutable product which is not similarly taxed.

(4) Regulations consistent with the provisions of the first sentence shall not be considered to be contrary to the provisions of the second sentence in any case in which all of the products subject to the regulations are produced domestically in substantial quantities. A regulation cannot be justified as being consistent with the provisions of the second sentence on the ground that the proportion or amount allocated to each of the products which are the subject of the regulation constitutes an equitable relationship between imported and domestic products.

(5) Paragraph 2(c) does not cover measures of a Party which limit inputs for the supply of services.

(6) Specific commitments assumed under this Article shall not be construed to require the Parties to compensate for any inherent competitive disadvantages which result from the foreign character of the relevant services or service suppliers.

(7) The inclusion of this provision in this Chapter is made without prejudice of the Chilean position on the question of whether or not electronic commerce should be considered as a supply of services.

(8) Broadcasting is defined as the uninterrupted chain of transmission required for the distribution of TV and radio programme signals to the general public, but does not cover contribution links between operators.

(9) Paragraph 2(c) does not cover measures of a Party which limit inputs for the supply of financial services.

(10) Specific commitments assumed under this Article shall not be construed to require the Parties to compensate for any inherent competitive disadvantages which result from the foreign character of the relevant financial services or financial service suppliers.

(11) In particular, a Party may require that natural persons must possess the necessary academic qualifications and/or professional experience specified in the territory where the service or financial service is supplied or the establishment is set-up, for the sector of activity concerned.

(12) For the purpose of this Title, a technical regulation is a document which lays down characteristics of a product or a service or their related processes and production methods, including the applicable administrative provisions, with which compliance is mandatory. It may also include or deal exclusively with terminology, symbols, packaging, marking or labeling requirements as they apply to a product, service, process or production method.

(13) For the purpose of this Title, a standard is a document approved by a recognised body, that provides, for common and repeated use, rules, guidelines or characteristics for products or services or related processes and production methods, with which compliance is not mandatory. It may also include or deal exclusively with terminology, symbols, packaging, marking or labeling requirements as they apply to a product, service, process or production method.

LIST OF ANNEXES

>TABLE>

ANNEX I

COMMUNITY'S TARIFF ELIMINATION SCHEDULE

(referred to in Articles 60, 65, 68 and 71 of the Association Agreement)

Introductory note

The tariff schedule in this Annex contains the following four columns:

(a) "HS heading 2002": the headings used in the nomenclature of the Harmonised System, referred to in Article 62

(b) "Description": description of the product falling under the heading

(c) "Base": the basic customs duty from which the tariff elimination programme starts, referred to in Article 60(3)

(d) "Category": the category or categories under which the product concerned falls for the purposes of tariff elimination. The categories, which are applicable to imports into the Community from Chile are the following, as established in Articles 65, 68 and 71:

"Year 0": liberalisation at entry into force of the Agreement

"Year 3": liberalisation over a transitional period of three years

"Year 4": liberalisation over a transitional period of four years

"Year 7": liberalisation over a transitional period of seven years

"Year 10": liberalisation over a transitional period of ten years

"R": tariff concession of 50 % of the basic customs duty

"EP": liberalisation concerns ad-valorem duty only, specific duty linked to the entry price is maintained

"SP": liberalisation concerns ad-valorem duty only, specific duty is maintained

"PN": no liberalisation as these products are covered by denominations protected in the Community

"TQ": liberalisation within a tariff quota (for the specific conditions, see section 1).

This description of the tariff schedule is provided only for the purpose of facilitating the understanding of this Annex and does not purport to replace or modify the relevant provisions of Title II of Part IV.

SECTION 1

Tariff quotas for products under category "TQ"

Referred to in Articles 68(2) and 71(5)

The following tariff concessions shall apply as from the date of entry into force of the Agreement on an annual basis to imports into the Community of products originating in Chile:

Agricultural products

1. The Community shall allow duty free importation of the following quantities and products with an increase by 10 % each year of the original quantity:

(a) an aggregate quantity of 1000 metric tonnes of products classified in headings 0201 20, 0201 30 00, 0202 20 and 0202 30, listed in this Annex as "TQ(1a)";

(b) an aggregate quantity of 3500 metric tonnes of products classified in headings ex 0203, 1601 00, 1602 41, 1602 42 and 1602 49, listed in this Annex as "TQ(1b)"

(c) a quantity of 2000 metric tonnes of products classified in headings 0204, listed in this Annex as "TQ(1c)"; and

(d) an aggregate quantity of 7250 metric tonnes of products classified in headings 0207 11, 0207 12, 0207 13, 0207 14, 0207 24, 0207 25, 0207 26, 0207 27, 0207 32 11, 0207 32 15, 0207 32 19, 0207 33 11, 0207 33 19, 0207 35 15, 0207 35 21, 0207 35 53, 0207 35 63, 0207 35 71, 0207 36 15, 0207 36 21, 0207 36 53, 0207 36 63, 0207 36 71, 1602 31 and 1602 32, listed in this Annex as "TQ(1d)"

2. The Community shall allow duty free importation of the following quantities and products and with an increase by 5 % each year of the original quantity:

(a) a quantity of 1500 metric tonnes of products classified in heading 0406, listed in this Annex as "TQ(2a)";

(b) a quantity of 500 metric tonnes of products classified in heading 0703 20 00, listed in this Annex as "TQ(2b)";

(c) a quantity of 1000 metric tonnes of products classified in heading 1104, listed in this Annex as "TQ(2c)";

(d) an aggregate quantity of 500 metric tonnes of products classified in headings 2003 10 20 and 2003 10 30, listed in this Annex as "TQ(2d)";

(e) a quantity of 1000 metric tonnes of products classified in heading 2008 60 19, listed in this Annex as "TQ(2e)";

(f) a quantity of 37000 metric tonnes of products classified in heading 0806 10 10, in the period from 1 January until 14 July, listed in this Annex as "TQ(2f)"; and

(g) a quantity of 3000 metric tonnes of products classified in heading 0806 10 10, in the period from 1 November until 31 December, listed in this Annex as "TQ(2g)".

Processed agricultural products

3. The Community shall allow the duty free importation of the following quantities and products:

(a) an aggregate quantity of 400 metric tonnes of products classified in headings 1704 10 11, 1704 10 19, 1704 10 91, 1704 10 99, 1704 90 10, 1704 90 30, 1704 90 51, 1704 90 55, 1704 90 61, 1704 90 65, 1704 90 71, 1704 90 75, 1704 90 81 and 1704 90 99, listed in this Annex as "TQ(3a)";

(b) an aggregate quantity of 400 metric tonnes of products classified in headings 1806 20 10, 1806 20 30, 1806 20 50, 1806 20 70, 1806 20 80, 1806 20 95, 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 and 1806 90 90, listed in this Annex as "TQ(3b)"; and

(c) an aggregate quantity of 500 metric tonnes of products classified in headings 1905 31 11, 1905 31 19, 1905 31 30, 1905 31 91, 1905 31 99, 1905 32 11, 1905 32 19, 1905 32 91, 1905 32 99, 1905 90 40 and 1905 90 45, listed in this Annex as "TQ(3c)".

Fisheries products

4. The Community shall allow the importation of the following quantities and products and with a gradual elimination of the customs duty in ten equal stages, the first taking place on the date of entry into force of this Agreement and the other nine on 1 January of each successive year, so that the customs duty is completely eliminated by 1 January of the tenth year after entry into force of the Agreement:

(a) an aggregate quantity of 5000 metric tonnes of products classified in headings 0302 69 66, 0302 69 67, 0302 69 68 and 0302 69 69, listed in this Annex as "TQ(4a)"; and

(b) an aggregate quantity of 40 metric tonnes of products classified in headingss 0305 30 30 and 0305 41 00, listed in this Annex as "TQ(4b)".

The in-quota basic customs duty from which the tariff elimination shall start shall be the effectively applied duty at the entry into force of this Agreement.

5. The Community shall allow importation of an aggregate quantity of 150 metric tonnes of preserved tuna excluding fillets known as "loins" classified in headings 1604 14 11, 1604 14 18, 1604 19 39 and 1604 20 70 and listed in this Annex as "TQ(5)" with a preferential customs duty of one third of the MFN duty applicable at the time of importation.

SECTION 2

The currently applicable entry prices for products listed under category "EP" in this Annex are set out in the Appendix.

SECTION 3

Community's tariff elimination schedule

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Appendix

(referred to in Section 2)

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ANNEX II

CHILE'S TARIFF ELIMINATION SCHEDULE

(Referred to in Articles 60, 66 and 69 of the Association Agreement)

Introductory note

The tariff schedule in this Annex contains the following four columns:

(a) "HS heading 2002": the headings used in the nomenclature of the Harmonised System, referred to in Article 62

(b) "Description": description of the product falling under the heading

(c) "Base": the basic customs duty from which the tariff elimination programme starts, referred to in Article 60(3)

(d) "Category": the category or categories under which the product concerned falls for the purposes of tariff elimination. The categories, which are applicable to imports into Chile from the Community are the following, as established in Articles 66, 69 and 72:

"Year 0": liberalisation at entry into force of the Agreement

"Year 5": liberalisation over a transitional period of five years

"Year 7": liberalisation over a transitional period of seven years

"Year 10": liberalisation over a transitional period of ten years

"TQ": liberalisation within a tariff quota (for the specific conditions, see section 1)

This description of the tariff schedule is provided only for the purpose of facilitating the understanding of this Annex and does not purport to replace or modify the relevant provisions of Title II of Part IV.

* Synonymous term habitually used in Chile or other Spanish-speaking countries.

SECTION 1

TARIFF QUOTAS FOR PRODUCTS UNDER CATEGORY "TQ"

(Referred to in Article 69(2) and 72(2))

The following tariff concessions shall apply as from the date of entry into force of this Agreement on an annual basis to imports into Chile of products originating in the Community:

Agricultural products

1. Chile shall allow duty free importation of 1500 metric tonnes of products classified in heading 0406, listed in this Annex as "TQ(1a)", with an increase by 5 % each year of the original quantity.

2. Chile shall allow duty free importation for an aggregate quantity of 3000 metric tonnes for products included in headings 1509 10 00, 1509 90 00 and 1510 00 00, listed in this Annex as "TQ(2a)", with an increase by 5 % each year of the original quantity.

Fisheries products

3. Chile shall allow the importation of the following quantities and products and with a gradual elimination of the customs duty in ten equal stages, the first taking place on the date of entry into force of this Agreement and the remaining on 1 January of each successive year, so that the customs duty is completely eliminated by 1 January of the tenth year after entry into force of this Agreement:

(a) an aggregate quantity of 5000 metric tonnes for products classified in headings 0302 69 21, 0302 69 22, 0302 69 23, 0302 69 24 and 0302 69 29, listed in this Annex as "TQ(3)(a)"; and

(b) an aggregate quantity of 40 metric tonnes for products classified in headings 0305 30 10, 0305 41 10, 0305 41 20, 0305 41 30, 0305 41 40, 0305 41 50, 0305 41 60 and 0305 41 90, listed in this Annex as "TQ(3)(b)".

4. Chile shall allow importation of an aggregate quantity of 150 metric tonnes for products classified in headings ex 1604 14 10, ex 1604 14 20, ex 1604 19 90, ex 1604 20 10 and ex 1604 20 90, excluding fillets known as "loins", listed in this Annex as "TQ(4)" with a preferential customs duty of one third of the MFN duty applicable at the time of importation.

SECTION 2

CHILE'S TARIFF ELIMINATION SCHEDULE

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ANNEX III

DEFINITION OF THE CONCEPT OF ORIGINATING PRODUCTS AND METHODS OF ADMINISTRATIVE COOPERATION

(Referred to in Article 58 of the Association Agreement)

TITLE I

GENERAL PROVISIONS

Article 1

Definitions

For the purposes of this Annex:

(a) "manufacture" means any kind of working or processing including assembly or specific operations;

(b) "material" means any ingredient, raw material, component or part, etc., used in the manufacture of the product;

(c) "product" means the product being manufactured, even if it is intended for later use in another manufacturing operation;

(d) "goods" means both materials and products;

(e) "customs value" means the value as determined in accordance with the 1994 Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade (WTO Agreement on customs valuation);

(f) "ex-works price" means the price paid for the product ex works to the manufacturer in the Community or Chile in whose undertaking the last working or processing is carried out, provided the price includes at least the value of all the materials used, minus any internal taxes which are, or may be, repaid when the product obtained is exported;

(g) "value of materials" means the customs value at the time of importation of the non-originating materials used, or, if this is not known and cannot be ascertained, the first ascertainable price paid for the materials in the Community or Chile;

(h) "value of originating materials" means the value of such materials as defined in subparagraph (g) applied mutatis mutandis;

(i) "chapters" and "headings" mean the chapters (two-digit codes) and the headings (four-digit codes) used in the nomenclature which makes up the Harmonised Commodity Description and Coding System, referred to in this Annex as "the Harmonised System" or "HS";

(j) "classified" refers to the classification of a product or material under a particular heading;

(k) "consignment" means products which are either sent simultaneously from one exporter to one consignee or covered by a single transport document covering their shipment from the exporter to the consignee or, in the absence of such a document, by a single invoice;

(l) "preferential tariff treatment" refers to the customs duty applicable to an originating good as laid down in Part IV, Title II of this Agreement;

(m) "customs authority or competent governmental authority" refers to the customs authority in the Community and to "Dirección General de Relaciones Económicas Internacionales" (DIRECON) of the Ministry of External Relations in Chile.

TITLE II

DEFINITION OF THE CONCEPT OF "ORIGINATING PRODUCTS"

Article 2

General requirements

1. For the purpose of implementing Part IV, Title II of this Agreement, the following products shall be considered as originating in the Community:

(a) products wholly obtained in the Community within the meaning of Article 4;

(b) products obtained in the Community incorporating materials which have not been wholly obtained there, provided that such materials have undergone sufficient working or processing in the Community within the meaning of Article 5;

2. For the purpose of implementing Part IV, Title II of this Agreement, the following products shall be considered as originating in Chile:

(a) products wholly obtained in Chile within the meaning of Article 4;

(b) products obtained in Chile incorporating materials which have not been wholly obtained there, provided that such materials have undergone sufficient working or processing in Chile within the meaning of Article 5.

Article 3

Bilateral cumulation of origin

1. Materials originating in the Community shall be considered as materials originating in Chile when incorporated into a product obtained there. It shall not be necessary that such materials have undergone sufficient working or processing, provided they have undergone working or processing going beyond that referred to in Article 6.

2. Materials originating in Chile shall be considered as materials originating in the Community when incorporated into a product obtained there. It shall not be necessary that such materials have undergone sufficient working or processing, provided they have undergone working or processing going beyond that referred to in Article 6.

Article 4

Wholly obtained products

1. The following shall be considered as wholly obtained in the Community or in Chile:

(a) mineral products extracted from their soil or from their seabed;

(b) vegetable products harvested there;

(c) live animals borne and raised there;

(d) products from live animals raised there;

(e) products obtained by hunting conducted there;

(f) products of sea fishing, hunting and other products taken from the sea by their vessels(1);

(g) products made aboard their factory ships exclusively from products referred to in (f);

(h) used articles collected there fit only for the recovery of raw materials or for use as waste;

(i) waste and scrap resulting from manufacturing operations conducted there;

(j) products extracted from marine soil or subsoil outside the territorial seas provided that they have sole rights to work that soil or subsoil;

(k) goods produced there exclusively from the products specified in (a) to (j).

2. the terms "their vessels" and "their factory ships" in paragraph 1(f) and (g) shall apply only to vessels and factory ships:

(a) which are registered or recorded in a Member State of the Community or in Chile;

(b) which sail under the flag of a Member State of the Community or of Chile;

3. In addition to the requirements laid down in paragraph 2, products obtained under paragraph 1(f) and (g) shall be considered as wholly obtained in the Community or in Chile when "their vessels" and "their factory ships":

(a) are owned:

(i) to an extent of at least 50 per cent by nationals of Member States of the Community or of Chile, or

(ii) by a partnership or limited company with its head office in one of the Member States of the Community or of Chile, 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 Member States of the Community or of Chile and, of which at least half the capital belongs to those States or to public bodies or nationals of the said States, or

(iii) by a company other than those referred to in (ii) with its head office in one of the Member States of the Community or in Chile, 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 Member States of the Community or of Chile;

and

(b) of which the master and at least 75 per cent of the crew, officers included, are nationals of a Member State of the Community or of Chile.

Article 5

Sufficiently worked or processed products

1. For the purposes of Article 2, products which are not wholly obtained are considered to be sufficiently worked or processed when the conditions set out in the list in Appendix II are fulfilled.

The conditions referred to above indicate, for all products covered by this Agreement, the working or processing which must be carried out on non-originating materials used in manufacturing and apply only in relation to such materials.

Accordingly, it follows that if a product, which has acquired originating status by fulfilling the conditions set out in Appendix II is used in the manufacture of another product, the conditions applicable to the resulting product do not apply to the incorporated product, and no account shall be taken of the non-originating materials which may have been used in its manufacture.

2. Notwithstanding paragraph 1, the products which are not wholly obtained and listed in Appendix II (a) are considered to be sufficiently worked or processed when the conditions set out in the list in Appendix II (a) are fulfilled. The provisions of this paragraph shall apply for three years following the entry into force of this Agreement.

3. Notwithstanding paragraphs 1 and 2, non-originating materials which, according to the conditions set out in Appendix II or Appendix II(a), should not be used in the manufacture of a product may nevertheless be used, provided that:

(a) their total value does not exceed 10 per cent of the ex-works price of the product;

(b) any of the percentages given in Appendix II or in Appendix II(a) for the maximum value of non-originating materials are not exceeded through the application of this paragraph.

Without prejudice to notes 5 and 6 of Appendix I, this paragraph shall not apply to products falling within chapters 50 to 63 of the Harmonised System.

4. Paragraphs 1, 2 and 3 shall apply except as provided in Article 6.

Article 6

Insufficient working or processing

1. Without prejudice to paragraph 2, the following operations shall be considered as insufficient working or processing to confer the status of originating products, whether or not the requirements of Article 5 are satisfied:

(a) preserving operations to ensure that the products remain in good condition during transport and storage;

(b) breaking-up and assembly of packages;

(c) washing, cleaning; removal of dust, oxide, oil, paint or other coverings;

(d) ironing or pressing of textiles;

(e) simple painting and polishing operations;

(f) husking, partial or total bleaching, polishing, and glazing of cereals and rice;

(g) operations to colour sugar or form sugar lumps;

(h) peeling, stoning and shelling, of fruits, nuts and vegetables;

(i) sharpening, simple grinding or simple cutting;

(j) sifting, screening, sorting, classifying, grading, matching; (including the making-up of sets of articles);

(k) simple placing in bottles, cans, flasks, bags, cases, boxes, fixing on cards or boards and all other simple packaging operations;

(l) affixing or printing marks, labels, logos and other like distinguishing signs on products or their packaging;

(m) simple mixing of products, whether or not of different kinds;

(n) simple assembly of parts of articles to constitute a complete article or disassembly of products into parts;

(o) operations whose sole purpose is to ease loading;

(p) a combination of two or more operations specified in subparagraphs (a) to (o);

(q) slaughter of animals.

2. All operations carried out either in the Community or in Chile on a given product shall be considered when determining whether the working or processing undergone by that product is to be regarded as insufficient within the meaning of paragraph 1.

Article 7

Unit of qualification

1. The unit of qualification for the application of the provisions of this Annex shall be the particular product which is considered as the basic unit when determining classification using the nomenclature of the Harmonised System.

Accordingly, it follows that:

(a) when a product composed of a group or assembly of articles is classified under the terms of the Harmonised System in a single heading, the whole constitutes the unit of qualification;

(b) when a consignment consists of a number of identical products classified under the same heading of the Harmonised System, each product must be taken individually when applying the provisions of this Annex.

2. Where, under General Rule 5 of the Harmonised System, packaging is included with the product for classification purposes, it shall be included for the purposes of determining origin. Any other packaging shall not be included for the purposes of determining origin.

Article 8

Accessories, spare parts and tools

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

- which are not separately invoiced,

shall be regarded as one with the piece of equipment, machine, apparatus or vehicle in question.

Article 9

Sets

Sets, as defined in General Rule 3 of the Harmonised System, shall be regarded as originating when all component products are originating. Nevertheless, when a set is composed of originating and non-originating products, the set as a whole shall be regarded as originating, provided that the value of the non-originating products does not exceed 15 per cent of the ex-works price of the set.

Article 10

Neutral elements

In order to determine whether a product originates, it shall not be necessary to determine the origin of the following which might be used in its manufacture:

(a) energy and fuel;

(b) plant and equipment;

(c) machines and tools;

(d) goods which do not enter and which are not intended to enter into the final composition of the product.

TITLE III

TERRITORIAL REQUIREMENTS

Article 11

Principle of territoriality

1. The conditions set out in Title II relating to the acquisition of originating status must be fulfilled without interruption in the Community or in Chile.

2. If originating goods exported from the Community or Chile to another country return they must be considered as non-originating, unless it can be demonstrated to the satisfaction of the customs authorities that:

(a) the goods returned are the same as those exported; and

(b) they have not undergone any operation beyond that necessary to preserve them in good condition while in that country or while being exported.

Article 12

Direct transport

1. The preferential treatment provided for under this Agreement applies only to products, satisfying the requirements of this Annex, which are transported directly between the Community and Chile. However, products constituting one consignment may be transported through other territories with, should the occasion arise, trans-shipment or temporary warehousing in such territories, provided that they remain under the surveillance of the customs authorities in the country of transit or warehousing and do not undergo operations other than unloading, reloading or any operation designed to preserve them in good condition.

2. Evidence that the conditions set out in paragraph 1 have been fulfilled shall be supplied to the customs authorities of the importing country by the production of:

(a) a single transport document covering the passage from the exporting country through the country of transit; or

(b) a certificate issued by the customs authorities of the country of transit:

(i) giving an exact description of the products;

(ii) stating the dates of unloading and reloading of the products and, where applicable, the names of the ships, or the other means of transport used; and

(iii) certifying the conditions under which the products remained in the transit country; or

(c) failing these, any substantiating documents.

Article 13

Exhibitions

1. Originating products, sent for exhibition in a country other than the Community or Chile and sold after the exhibition for importation in the Community or Chile shall benefit on importation from the provisions of this Agreement provided it is shown to the satisfaction of the customs authorities of the importing country that:

(a) an exporter has consigned these products from the Community or Chile 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 a person in the Community or Chile;

(c) the products have been consigned during the exhibition or immediately thereafter 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; and

(e) the products have remained during the exhibition under customs control.

2. A proof of origin must be issued or made out in accordance with the provisions of Title V and submitted to the customs authorities of the importing country in the normal manner. The name and address of the exhibition must be indicated thereon. Where necessary, additional documentary evidence of the conditions under which they have been exhibited may be required.

3. Paragraph 1 shall apply to any trade, industrial, agricultural or crafts exhibition, fair or similar public show or display which is not organised for private purposes in shops or business premises with a view to the sale of foreign products.

TITLE IV

DRAWBACK OR EXEMPTION

Article 14

Prohibition of drawback of, or exemption from, customs duties

1. Non-originating materials used in the manufacture of products originating in the Community or in Chile for which a proof of origin is issued or made out in accordance with the provisions of Title V shall not be subject in the Community or Chile to drawback of, or exemption from, customs duties of whatever kind.

2. The prohibition in paragraph 1 shall apply to any arrangement for refund, remission or non-payment, partial or complete, of customs duties, as defined in Article 59 of this Agreement, applicable in the Community or Chile to materials used in the manufacture, where such refund, remission or non-payment applies, expressly or in effect, when products obtained from the said materials are exported and not when they are retained for home use there.

3. The exporter of products covered by a proof of origin shall be prepared to submit at any time, upon request from the customs authorities, all appropriate documents proving that no drawback has been obtained in respect of the non-originating materials used in the manufacture of the products concerned and that all customs duties applicable to such materials have actually been paid.

4. The provisions of paragraphs 1 to 3 shall also apply in respect of packaging within the meaning of Article 7(2), accessories, spare parts and tools within the meaning of Article 8 and products in a set within the meaning of Article 9 when such items are non-originating.

5. The provisions of paragraphs 1 to 4 shall apply only in respect of materials which are of the kind to which this Agreement applies. Furthermore, they shall not preclude the application of an export refund system for agricultural products, applicable upon export in accordance with the provisions of the Agreement.

6. The provisions of this Article shall be applied from 1 January 2007.

TITLE V

PROOF OF ORIGIN

Article 15

General requirements

1. Products originating in the Community shall, on importation into Chile, and products originating in Chile shall, on importation into the Community, benefit from this Agreement upon submission of the following proofs of origin:

(a) a movement certificate EUR.1, a specimen of which appears in Appendix III;

or

(b) in the cases specified in Article 20(1), a declaration, subsequently referred to as the "invoice declaration", given by the exporter on an invoice, a delivery note or any other commercial document which describes the products concerned in sufficient detail to enable them to be identified. The text of the invoice declaration appears in Appendix IV.

2. Notwithstanding paragraph 1, originating products within the meaning of this Annex shall, in the cases specified in Article 25, benefit from this Agreement without it being necessary to submit any of the documents referred to above.

Article 16

Procedure for the issue of a movement certificate EUR.1

1. A movement certificate EUR.1 shall be issued by the customs authorities or competent governmental authorities of the exporting country on application having been made in writing by the exporter or, under the exporter's responsibility, by his authorised representative.

2. The procedure for the completion of both the movement certificate EUR.1 and the application form is set out in Appendix III.

3. The exporter applying for the issue of a movement certificate EUR.1 shall be prepared to submit at any time, at the request of the customs authorities or competent governmental authorities of the exporting country where the movement certificate EUR.1 is issued, all appropriate documents proving the originating status of the products concerned as well as the fulfilment of the other requirements of this Annex.

4. A movement certificate EUR.1 shall be issued by the customs authorities or competent governmental authorities of a Member State of the Community or Chile if the products concerned can be considered as products originating in the Community or Chile and fulfil the other requirements of this Annex.

5. The issuing customs authorities or competent governmental authorities shall take any steps necessary to verify the originating status of the products and the fulfilment of the other requirements of this Annex. For this purpose, they shall have the right to call for any evidence and to carry out any inspection of the exporter's accounts or any other check considered appropriate. The issuing customs authorities or competent governmental authorities shall also ensure that the forms referred to in paragraph 2 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.

6. The date of issue of the movement certificate EUR.1 shall be indicated in Box 11 of the certificate.

7. A movement certificate EUR.1 shall be issued by the customs authorities or competent governmental authorities and made available to the exporter as soon as actual exportation has been effected or ensured.

Article 17

Movement certificate EUR.1 issued retrospectively

1. Notwithstanding Article 16(7), a movement certificate EUR.1 may exceptionally be issued after exportation of the products to which it relates if:

(a) it was not issued at the time of exportation because of errors or involuntary omissions or special circumstances,

or

(b) it is demonstrated to the satisfaction of the customs authorities or competent governmental authorities that a movement certificate EUR.1 was issued but was not accepted at importation for technical reasons.

2. For the implementation of paragraph 1, the exporter must indicate in his application the place and date of exportation of the products to which the movement certificate EUR.1 relates and state the reasons for his request.

3. The customs authorities or competent governmental 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.

4. Movement certificates EUR.1 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 EFTERFØLGENDE", "ΕΚΔΟΘΕΝ ΕΚ ΤΩΝ ΥΣΤΕΡΩΝ", "EXPEDIDO A POSTERIORI", "EMITIDO A POSTERIORI", "ANNETTU JÄLKIKÄTEEN", "UTFÄRDAT I EFTERHAND".

5. The endorsement referred to in paragraph 4 shall be inserted in the "Remarks" box of the movement certificate EUR.1.

Article 18

Issue of a duplicate movement certificate EUR.1

1. In the event of theft, loss or destruction of a movement certificate EUR.1, the exporter by stating the reasons for his request may apply to the customs authorities or competent governmental authorities which issued it for a duplicate made out on the basis of the export documents in their possession.

2. The duplicate issued in this way must be endorsed with one of the following words:

"DUPLIKAT", "DUPLICATA", "DUPLICATO", "DUPLICAAT", "DUPLICATE", "ΑΝΤΙΓΡΑΦΟ", "DUPLICADO", "SEGUNDA VIA", "KAKSOISKAPPALE".

3. The endorsement referred to in paragraph 2 shall be inserted in the "Remarks" box of the duplicate movement certificate EUR.1.

4. The duplicate, which must bear the date of issue of the original movement certificate EUR.1, shall take effect as from that date.

Article 19

Issue of movement certificates EUR.1 on the basis of a proof of origin issued or made out previously

When originating products are placed under the control of a customs office in the Community or in Chile, it shall be possible to replace the original proof of origin by one or more movement certificates EUR.1 for the purpose of sending all or some of these products elsewhere within the Community or Chile. The replacement movement certificate(s) EUR.1 shall be issued by the customs office of first entry in the Community or in Chile under whose control the products are placed.

Article 20

Conditions for making out an invoice declaration

1. An invoice declaration as referred to in Article 15(1)(b) may be made out:

(a) by an approved exporter within the meaning of Article 21;

or

(b) by any exporter for any consignment consisting of one or more packages containing originating products whose total value does not exceed EUR 6000.

2. An invoice declaration may be made out if the products concerned can be considered as products originating in the Community or in Chile and fulfil the other requirements of this Annex.

3. The exporter making out an invoice declaration shall be prepared to submit at any time, at the request of the customs authorities or competent governmental authorities of the exporting country, all appropriate documents proving the originating status of the products concerned as well as the fulfilment of the other requirements of this Annex.

4. An invoice declaration shall be made out by the exporter by typing, stamping or printing on the invoice, the delivery note or another commercial document, the declaration, the text of which appears in Appendix IV. Specific requirements as for the making out of an invoice declaration are set out in Appendix IV.

5. Invoice declarations shall bear the original signature of the exporter in manuscript. However, an approved exporter within the meaning of Article 21 shall not be required to sign such declarations provided that he gives the customs authorities or competent governmental authorities of the exporting country a written undertaking that he accepts full responsibility for any invoice declaration which identifies him as if it had been signed in manuscript by him.

6. An invoice declaration may be made out by the exporter when the products to which it relates are exported, or after exportation on condition that it is presented to the customs authorities of the importing country no longer than two years after the importation of the products to which it relates.

Article 21

Approved exporter

1. The customs authorities or competent governmental authorities of the exporting country may authorise any exporter, hereinafter referred to as 'approved exporter', who makes frequent shipments of originating products under this Agreement to make out invoice declarations irrespective of the value of the products concerned. An exporter seeking such authorisation must offer to the satisfaction of the customs authorities or competent governmental authorities all guarantees necessary to verify the originating status of the products as well as the fulfilment of the other requirements of this Annex.

2. The customs authorities or competent governmental authorities may grant the status of approved exporter subject to any conditions which they consider appropriate.

3. The customs authorities or competent governmental authorities shall grant to the approved exporter a customs authorisation number, which shall appear on the invoice declaration.

4. The customs authorities or competent governmental authorities shall monitor the use of the authorisation by the approved exporter.

5. The customs authorities or competent governmental authorities may withdraw the authorisation at any time. They shall do so where the approved exporter no longer offers the guarantees referred to in paragraph 1, no longer fulfils the conditions referred to in paragraph 2 or otherwise makes an incorrect use of the authorisation.

Article 22

Validity of proof of origin

1. A proof of origin as referred to in Article 15(1) shall be valid for ten months from the date of issue in the exporting country and must be submitted within the said period to the customs authorities of the importing country.

2. Proofs of origin which are submitted to the customs authorities of the importing country after the final date for presentation specified in paragraph 1 may be accepted for the purpose of applying preferential treatment, where the failure to submit these documents by the final date set is due to exceptional circumstances.

3. In other cases of belated presentation, the customs authorities of the importing country may accept the proofs of origin where the products have been submitted to them before the said final date.

4. In accordance with the internal legislation of the importing country, preferential treatment may also be granted, where applicable by repayment of duties, within a period of at least two years from the date of acceptance of the import declaration, where a proof of origin is produced indicating that the imported goods were at that date eligible for preferential tariff treatment.

Article 23

Submission of proof of origin

1. Proofs of origin shall be submitted to the customs authorities of the importing country in accordance with the procedures applicable in that country. The said authorities may require a translation of a proof of origin, which can be drawn up by the importer. 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.

2. The requirements mentioned in paragraph 1 relating to translation and the statement by the importer shall not be systematic and should only be imposed with a view to clarifying the submitted information or to ensuring that the importer endorses the full responsibility for the declared origin.

Article 24

Importation by instalments

Where, at the request of the importer and on the conditions laid down by the customs authorities of the importing country, dismantled or non-assembled products within the meaning of General Rule 2(a) of the Harmonised System classified within Sections XVI and XVII or headings 7308 and 9406 of the Harmonised System are imported by instalments, a single proof of origin for such products shall be submitted to the customs authorities upon importation of the first instalment.

Article 25

Exemptions from proof of origin

1. Products sent from private persons to private persons or forming part of travellers' personal luggage shall be admitted as originating products without requiring the submission of a proof of origin, provided that such products are not imported by way of trade and have been declared as meeting the requirements of this Annex and where there is no doubt as to the veracity of such a declaration. In the case of products sent by post, this declaration can be made on the customs declaration CN22/CN23 or other certificates established by the Universal Postal Union, or on a sheet of paper annexed to that document.

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.

3. Furthermore, the total value of these products shall not exceed EUR 500, in the case of products sent from private persons to private persons or EUR 1200, in the case of products forming part of travellers' personal luggage.

Article 26

Supporting documents

The documents referred to in Articles 16(3) and 20(3) used for the purpose of proving that products covered by a movement certificate EUR.1 or an invoice declaration can be considered as products originating in the Community or in Chile and fulfil the other requirements of this Annex may consist inter alia of the following:

(a) direct evidence of the processes carried out by the exporter or supplier to obtain the goods concerned, contained for example in his accounts or internal book-keeping;

(b) documents proving the originating status of materials used, issued or made out in the Community or Chile where these documents are used in accordance with the internal legislation;

(c) documents proving the working or processing of materials in the Community or Chile, issued or made out in the Community or Chile, where these documents are used in accordance with the internal legislation;

(d) movement certificates EUR.1 or invoice declarations proving the originating status of materials used, issued or made out in the Community or Chile in accordance with this Annex.

Article 27

Preservation of proof of origin and supporting documents

1. The exporter applying for the issue of a movement certificate EUR.1 shall keep for at least three years the documents referred to in Article 16(3).

2. The exporter making out an invoice declaration shall keep for at least three years a copy of this invoice declaration as well as the documents referred to in Article 20(3).

3. The customs authorities or competent governmental authorities of the exporting country issuing a movement certificate EUR.1 shall keep for at least three years the application form referred to in Article 16(2).

4. The customs authorities in the Community shall keep for at least three years the movement certificates EUR.1 and the invoice declarations submitted to them on importation. The customs authorities of Chile must have at their disposal for five years the movement certificates EUR.1 and the invoice declarations submitted to them on importation.

Article 28

Discrepancies and formal errors

1. The discovery of slight discrepancies between the statements made in the proof of origin 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 proof of origin null and void if it is duly established that this document does correspond to the products submitted.

2. Obvious formal errors such as typing errors on a proof of origin should not cause this document to be rejected if these errors are not such as to create doubts concerning the correctness of the statements made in this document.

Article 29

Amounts expressed in euro

1. For the application of the provisions of Article 20(1)(b) and Article 25(3) in cases where products are invoiced in a currency other than euro, amounts in the national currencies of the Member States of the Community or Chile equivalent to the amounts expressed in euro shall be fixed annually by each of the countries concerned.

2. A consignment shall benefit from the provisions of Article 20(1)(b) or Article 25(3) by reference to the currency in which the invoice is drawn up, according to the amount fixed by the country concerned.

3. The amounts to be used in any given national currency shall be the equivalent in that currency of the amounts expressed in euro as at the first working day of October. The amounts shall be communicated to the Commission of the European Communities by 15 October and shall apply from 1 January the following year. The Commission of the European Communities shall notify all countries concerned of the relevant amounts.

4. A country may round up or down the amount resulting from the conversion into its national currency of an amount expressed in euro. The rounded-off amount may not differ from the amount resulting from the conversion by more than 5 per cent. A country may retain unchanged its national currency equivalent of an amount expressed in euro if, at the time of the annual adjustment provided for in paragraph 3, the conversion of that amount, prior to any rounding-off, results in an increase of less than 15 per cent in the national currency equivalent. The national currency equivalent may be retained unchanged if the conversion would result in a decrease in that equivalent value.

5. The amounts expressed in euro shall be reviewed by the Association Committee at the request of the Community or Chile. When carrying out this review, the Association Committee shall consider the desirability of preserving the effects of the limits concerned in real terms. For this purpose, it may decide to modify the amounts expressed in euro.

TITLE VI

ARRANGEMENTS FOR ADMINISTRATIVE COOPERATION

Article 30

Mutual assistance

1. The customs authorities or competent governmental authorities of the Member States of the Community and of Chile shall provide each other, through the Commission of the European Communities, with specimen impressions of stamps used in their customs offices or competent governmental authorities for the issue of movement certificates EUR.1 and with the addresses of the customs authorities or competent governmental authorities responsible for verifying those certificates and invoice declarations.

2. In order to ensure the proper application of this Annex, the Community and Chile shall assist each other, through their respective administrations, in checking the authenticity of the movement certificates EUR.1 or the invoice declarations and the correctness of the information given in these documents.

Article 31

Verification of proofs of origin

1. Subsequent verifications of proofs of origin shall be carried out at random or whenever the customs authorities of the importing country have reasonable doubts as to the authenticity of such documents, the originating status of the products concerned or the fulfilment of the other requirements of this Annex.

2. For the purposes of implementing the provisions of paragraph 1, the customs authorities of the importing country shall return the movement certificate EUR.1 and the invoice, if it has been submitted, the invoice declaration, or a copy of these documents, to the customs authorities or competent governmental authorities of the exporting country giving, where appropriate, the reasons for the enquiry. Any documents and information obtained suggesting that the information given on the proof of origin is incorrect shall be forwarded in support of the request for verification.

3. The verification shall be carried out by the customs authorities or competent governmental authorities of the exporting country. For this purpose, they shall have the right to call for any evidence and to carry out any inspection of the exporter's accounts or any other check considered appropriate.

4. If the customs authorities of the importing country decide to suspend the granting of preferential treatment to the products concerned while awaiting the results of the verification, release of the products shall be offered to the importer subject to any precautionary measures judged necessary.

5. The customs authorities requesting the verification shall be informed of the results of this verification as soon as possible. These results must indicate clearly whether the documents are authentic and whether the products concerned can be considered as products originating in the Community or in Chile and fulfil the other requirements of this Annex.

6. If in cases of reasonable doubt there is no reply within ten 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 customs authorities shall, except in exceptional circumstances, refuse entitlement to the preferences.

Article 32

Resolution of disputes

Where disputes arise in relation to the verification procedures of Article 31, which cannot be settled between the customs authorities requesting a verification and the customs authorities or competent governmental authorities responsible for carrying out this verification, or where they raise a question as to the interpretation of this Annex, they shall be submitted to the Special Committee on Customs Cooperation and Rules of Origin.

In all cases the settlement of disputes between the importer and the customs authorities of the importing country shall be under the legislation of the said country.

Article 33

Penalties

Penalties may be imposed in accordance with internal legislation for infringement to provisions of this Annex. In particular, penalties shall be imposed on any person who draws up, or causes to be drawn up, a document which contains incorrect information for the purpose of obtaining a preferential treatment for products.

Article 34

Confidentiality

In accordance with the applicable internal legislation, each Party shall treat as confidential the information submitted under the provisions of this Annex by a person or authority of the other Party when such information is designated by that Party as confidential. Accordingly, access to the said information may be refused where disclosure would undermine the protection of the commercial interest of the person that submitted the information.

Article 35

Free zones

1. The Community and Chile shall take all necessary steps to ensure that products traded under cover of a proof of origin which in the course of transport use a free zone situated in their territory, are not substituted by other goods and do not undergo handling other than normal operations designed to prevent their deterioration.

2. By means of an exemption from paragraph 1, when products originating in the Community or in Chile are entered into a free zone of the exporting country under cover of a proof of origin and undergo treatment or processing, the authorities concerned shall issue a new movement certificate EUR.1 at the exporter's request, if the treatment or processing undergone is in conformity with the provisions of this Annex.

TITLE VII

CEUTA AND MELILLA

Article 36

Application of this Annex

1. The term "Community" used in Article 2 does not cover Ceuta and Melilla.

2. Products originating in Chile, when imported into Ceuta or Melilla, shall enjoy in all respects the same customs regime as that which is applied to products originating in the customs territory of the Community under Protocol 2 of the "Act of Accession of the Kingdom of Spain and the Portuguese Republic to the European Communities". Chile shall grant to imports of products covered by this Agreement and originating in Ceuta and Melilla the same customs regime as that which is granted to products imported from and originating in the Community.

3. For the purpose of the application of paragraph 2 concerning products originating in Ceuta and Melilla, this Annex shall apply mutatis mutandis subject to the special conditions set out in Article 37.

Article 37

Special conditions

1. Provided that they have been transported directly in accordance with the provisions of Article 12, the following shall be considered as:

(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 5; or that

(ii) those products are originating in Chile or the Community within the meaning of this Annex, provided that they have been submitted to working or processing which goes beyond the insufficient working or processing referred to in Article 6.

(2) products originating in Chile:

(a) products wholly obtained in Chile;

(b) products obtained in Chile, 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 5; or that

(ii) those products are originating in Ceuta and Melilla or the Community within the meaning of this Annex, provided that they have been submitted to working or processing which goes beyond the insufficient working or processing referred to in Article 6.

2. Ceuta and Melilla shall be considered as a single territory.

3. The exporter or his authorised representative shall enter "Chile" and "Ceuta and Melilla" in Box 2 of movement certificates EUR.1 or on invoice declarations. In addition, in the case of products originating in Ceuta and Melilla, this shall be indicated in Box 4 of movement certificates EUR.1 or on invoice declarations.

4. The Spanish customs authorities shall be responsible for the application of this Annex in Ceuta and Melilla.

TITLE VIII

FINAL PROVISIONS

Article 38

Amendments to this Annex

The Association Committee may decide to amend the provisions of this Annex.

Article 39

Explanatory Notes

The Parties shall agree on the "Explanatory Notes" regarding the interpretation, application and administration of this Annex within the Special Committee on Customs Cooperation and Rules of Origin.

Article 40

Transitional provision for goods in transit or storage

The provisions of this Agreement may be applied to goods which comply with the provisions of this Annex and which on the date of entry into force of this Agreement are either in transit or are in the Community or in Chile in temporary storage in customs warehouses or in free zones, subject to the submission to the customs authorities of the importing country, within four months of the said date, of a movement certificate EUR.1 issued retrospectively by the customs authorities or competent governmental authorities of the exporting country together with the documents showing that the goods have been transported directly in accordance with the provisions of Article 12.

(1) As long as any transfer of sovereign rights between the Parties, as defined by international rules, is subject to negotiations, this provision will not apply to products of sea fishing and other products taken from the sea by Community vessels in the Exclusive Economic Zone of Chile or to products of sea fishing and other products taken from the sea by Chilean vessels in the Exclusive Economic Zone of the Member States of the Community.

Appendix I

INTRODUCTORY NOTES TO THE LIST IN APPENDIX II AND APPENDIX II(a)

Note 1:

The list sets out the conditions required for all products to be considered as sufficiently worked or processed within the meaning of Article 5 of this Annex.

Note 2:

2.1. The first two columns in the list describe the product obtained. The first column gives the heading number or chapter number used in the Harmonised 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 or 4. Where, in some cases, the entry in the first column is preceded by an "ex", this signifies that the rules in column 3 or 4 apply only to the part of that heading as described in column 2.

2.2. 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 rules in column 3 or 4 apply to all products which, under the Harmonised System, are classified in headings of the chapter or in any of the headings grouped together in column 1.

2.3. 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 rules in column 3 or 4.

2.4. Where, for an entry in the first two columns, a rule is specified in both columns 3 and 4, the exporter may opt, as an alternative, to apply either the rule set out in column 3 or that set out in column 4. If no origin rule is given in column 4, the rule set out in column 3 is to be applied.

Note 3:

3.1. The provisions of Article 5 of this Annex, concerning products having acquired originating status which are used in the manufacture of other products, shall apply, regardless of whether this status has been acquired inside the factory where these products are used or in another factory in the Community or in Chile.

Example:

An engine of heading 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 ex 7224.

If this forging has been forged in the Community from a non-originating ingot, it has already acquired originating status by virtue of the rule for heading ex 7224 in the list. The forging can then count as originating in the value-calculation for the engine, regardless of whether it was produced in the same factory or in another factory in the Community. The value of the non-originating ingot is thus not taken into account when adding up the value of the non-originating materials used.

3.2. 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 originating status. Thus, if a rule provides 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.

3.3. Without prejudice to Note 3.2, where a rule uses the expression "Manufacture from materials of any heading", then materials of any heading(s) (even materials of the same description and heading as the product) may 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..." or "Manufacture from materials of any heading, including other materials of the same heading as the product" means that materials of any heading(s) may be used, except those of the same description as the product as given in column 2 of the list.

3.4. When a rule in the list specifies that a product may be manufactured from more than one material, this means that one or more materials may be used. It does not require that all be used.

Example:

The rule for fabrics of headings 5208 to 5212 provides 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; it is possible to use one or the other, or both.

3.5. Where 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. (See also Note 6.2 below in relation to textiles).

Example:

The rule for prepared foods of heading 1904, which specifically excludes the use of cereals and their derivatives, does not prevent the use of mineral salts, chemicals and other additives which are not products from cereals.

However, this does not apply to products which, although they cannot be manufactured from the particular materials specified in the list, can be produced from a material of the same nature at an earlier stage of manufacture.

Example:

In the case of an article of apparel of ex Chapter 62 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.

3.6. Where, in a rule in the list, two percentages are given for the maximum value of non-originating materials that can be used, then these percentages may not be added together. In other words, the maximum value of all the non-originating materials used may never exceed the higher of the percentages given. Furthermore, the individual percentages must not be exceeded, in relation to the particular materials to which they apply.

Note 4:

4.1. The term "natural fibres" is used in the list to refer to fibres other than artificial or synthetic fibres. It is restricted to the stages before spinning takes place, including waste, and, unless otherwise specified, includes fibres which have been carded, combed or otherwise processed, but not spun.

4.2. The term "natural fibres" includes horsehair of heading 0503, silk of headings 5002 and 5003, as well as wool-fibres and fine or coarse animal hair of headings 5101 to 5105, cotton fibres of headings 5201 to 5203, and other vegetable fibres of headings 5301 to 5305.

4.3. 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.

4.4. 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 5501 to 5507.

Note 5:

5.1. Where, for a given product in the list, reference is made to this Note, the conditions set out in column 3 shall not be applied to any basic textile materials used in the manufacture of this product and which, taken together, represent 10 % or less of the total weight of all the basic textile materials used. (See also Notes 5.3 and 5.4)

5.2. However, the tolerance mentioned in Note 5.1 may be applied only to mixed products which have been made from two or more basic textile materials.

The following are the basic textile materials:

- silk,

- wool,

- coarse animal hair,

- fine animal hair,

- horsehair,

- cotton,

- paper-making materials and paper,

- flax,

- true hemp,

- jute and other textile bast fibres,

- sisal and other textile fibres of the genus Agave,

- coconut, abaca, ramie and other vegetable textile fibres,

- synthetic man-made filaments,

- artificial man-made filaments,

- current-conducting filaments,

- synthetic man-made staple fibres of polypropylene,

- synthetic man-made staple fibres of polyester,

- synthetic man-made staple fibres of polyamide,

- synthetic man-made staple fibres of polyacrylonitrile,

- synthetic man-made staple fibres of polyimide,

- synthetic man-made staple fibres of polytetrafluoroethylene,

- synthetic man-made staple fibres of poly(phenylene sulphide),

- synthetic man-made staple fibres of poly(vinyl chloride),

- other synthetic man-made staple fibres,

- artificial man-made staple fibres of viscose,

- other artificial man-made staple fibres,

- yarn made of polyurethane segmented with flexible segments of polyether, whether or not gimped,

- yarn made of polyurethane segmented with flexible segments of polyester, whether or not gimped,

- products of heading 5605 (metallised yarn) 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 a transparent or coloured adhesive between two layers of plastic film,

- other products of heading 5605.

Example:

A yarn, of heading 5205, made from cotton fibres of heading 5203 and synthetic staple fibres of heading 5506, is a mixed yarn. Therefore, non-originating synthetic staple fibres which do not satisfy the origin-rules (which require manufacture from chemical materials or textile pulp) may be used, provided that their total weight does not exceed 10 % of the weight of the yarn.

Example:

A woollen fabric, of heading 5112, made from woollen yarn of heading 5107 and synthetic yarn of staple fibres of heading 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 which 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, provided that their total weight does not exceed 10 % of the weight of the fabric.

Example:

Tufted textile fabric, of heading 5802, made from cotton yarn of heading 5205 and cotton fabric of heading 5210, is a only mixed product if the cotton fabric is itself a mixed fabric made from yarns classified in two separate headings, or if the cotton yarns used are themselves mixtures.

Example:

If the tufted textile fabric concerned had been made from cotton yarn of heading 5205 and synthetic fabric of heading 5407, then, obviously, the yarns used are two separate basic textile materials and the tufted textile fabric is, accordingly, a mixed product.

5.3. In the case of products incorporating "yarn made of polyurethane segmented with flexible segments of polyether, whether or not gimped", this tolerance is 20 % in respect of this yarn.

5.4. In the case of products 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 a transparent or coloured adhesive between two layers of plastic film", this tolerance is 30 % in respect of this strip.

Note 6:

6.1. Where, in the list, reference is made 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 product 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.

6.2. Without prejudice to Note 6.3, materials, which are not classified within Chapters 50 to 63, may be used freely in the manufacture of textile products, whether or not they contain textiles.

Example:

If a rule in the list provides that, for a particular textile item (such as trousers), yarn must be used, this does not prevent the use of metal items, such as buttons, because buttons are not classified within Chapters 50 to 63. For the same reason, it does not prevent the use of slide-fasteners, even though slide-fasteners normally contain textiles.

6.3. Where a percentage-rule applies, the value of materials which are not classified within Chapters 50 to 63 must be taken into account when calculating the value of the non-originating materials incorporated.

Note 7:

7.1. For the purposes of headings ex 2707, 2713 to 2715, ex 2901, ex 2902 and ex 3403, the "specific processes" are the following:

(a) vacuum-distillation;

(b) redistillation by a very thorough fractionation-process(1),

(c) cracking;

(d) reforming;

(e) extraction by means of selective solvents;

(f) the process comprising all of the following operations: processing with concentrated sulphuric acid, oleum or sulphuric anhydride; neutralisation with alkaline agents; decolourisation and purification with naturally-active earth, activated earth, activated charcoal or bauxite;

(g) polymerisation;

(h) alkylation;

(i) isomerisation.

7.2. For the purposes of headings 2710, 2711 and 2712, the "specific processes" are the following:

(a) vacuum-distillation;

(b) redistillation by a very thorough fractionation-process(2),

(c) cracking;

(d) reforming;

(e) extraction by means of selective solvents;

(f) the process comprising all of the following operations: processing with concentrated sulphuric acid, oleum or sulphuric anhydride; neutralisation with alkaline agents; decolourisation and purification with naturally-active earth, activated earth, activated charcoal or bauxite;

(g) polymerisation;

(h) alkylation;

(ij) isomerisation;

(k) in respect of heavy oils of heading ex 2710 only, desulphurisation with hydrogen, resulting in a reduction of at least 85 % of the sulphur-content of the products processed (ASTM D 1266-59 T method);

(l) in respect of products of heading 2710 only, deparaffining by a process other than filtering;

(m) in respect of heavy oils of heading ex 2710 only, treatment with hydrogen, at a pressure of more than 20 bar and a temperature of more than 250 °C, with the use of a catalyst, other than to effect desulphurisation, when the hydrogen constitutes an active element in a chemical reaction. The further treatment, with hydrogen, of lubricating oils of heading ex 2710 (e.g. hydrofinishing or decolourisation), in order, more especially, to improve colour or stability shall not, however, be deemed to be a specific process;

(n) in respect of fuel oils of heading ex 2710 only, atmospheric distillation, on condition that less than 30 % of these products distils, by volume, including losses, at 300 °C, by the ASTM D 86 method;

(o) in respect of heavy oils other than gas oils and fuel oils of heading ex 2710 only, treatment by means of a high-frequency electrical brush-discharge;

(p) in respect of crude products (other than petroleum jelly, ozokerite, lignite wax or peat wax, paraffin wax containing by weight less than 0,75 % of oil) of heading ex 2712 only, de-oiling by fractional crystallisation.

7.3. For the purposes of headings ex 2707, 2713 to 2715, ex 2901, ex 2902 and ex 3403, simple operations, such as cleaning, decanting, desalting, water-separation, filtering, colouring, marking, obtaining a sulphur-content as a result of mixing products with different sulphur-contents, or any combination of these operations or like operations, do not confer origin.

7.4. Redistillation by a very thorough fractionation process means distillation (other than topping) by a continuous or batch process employed in industrial installations using distillates of subheading Nos 2710 11 to 2710 99, 2711 11, 2711 12 to 2711 19, 2711 21 and 2711 29 (other than propane of a purity of 99 % or more) to obtain:

1. isolated high-purity hydrocarbons (90 % or more in the case of olefins and 95 % or more in the case of other hydrocarbons), mixtures of isomers having the same organic composition being regarded as isolated hydrocarbons;

only those process by means of which at least three different products are obtained are admissible, but this restriction does not apply in any instance where the process consists in the separation of isomers. In so far this concerns xylenes, ethylbenzene is included with xylene isomers;

2. Products of subheading Nos 2707 10 to 2707 30, 2707 50 and 2710 11 to 2710 99,

(a) with no overlapping of the final boiling point of one fraction and the initial boiling point of the succeeding fraction and a difference of not more than 60 °C between the temperatures at which 5 and 90 % by the volume (including losses) distil by the ASTM D 86-67 method (reapproved 1972);

(b) with an overlapping of the final boiling point of one fraction and the initial boiling point of the succeeding fraction and a difference of not more than 30 °C between the temperatures at which 5 and 90 % by volume (including losses) distil by the ASTM D 86-67 method (reapproved 1972).

(1) See introductory Note 7.4.

(2) See introductory note 7.4.

Appendix II

LIST OF WORKING OR PROCESSING REQUIRED TO BE CARRIED OUT ON NON-ORIGINATING MATERIALS IN ORDER FOR THE PRODUCT MANUFACTURED TO OBTAIN ORIGINATING STATUS

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Appendix II(a)

LIST OF WORKING OR PROCESSING REQUIRED TO BE CARRIED OUT ON NON-ORIGINATING MATERIALS IN ORDER FOR THE PRODUCT MANUFACTURED TO OBTAIN ORIGINATING STATUS

>TABLE>

Appendix III

SPECIMEN OF MOVEMENT CERTIFICATE EUR.1 AND APPLICATION FOR A MOVEMENT CERTIFICATE EUR.1

Printing instructions

1. Each form 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/m2. It shall have a printed green guilloche pattern background making any falsification by mechanical or chemical means apparent to the eye.

2. The customs authorities or the competent governmental authorities of the Member States of the Community and of Chile 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.

Procedure for completion

The exporter or his authorised representative shall fill out both the movement certificate EUR.1 and the application form. These forms shall be completed in one of the languages in which this Agreement is drawn up and in accordance with the provisions of the domestic law of the exporting country. If they are hand-written, they shall be completed in ink in printed characters. The description of the products must be given in the box reserved for this purpose without leaving any blank lines. Where the box is not completely filled, a horizontal line must be drawn below the last line of the description, the empty space being crossed through.

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Appendix IV

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ANNEX IV

(Referred to in Article 89(2) of the Association Agreement)

AGREEMENT ON SANITARY AND PHYTOSANITARY MEASURES APPLICABLE TO TRADE IN ANIMALS AND ANIMAL PRODUCTS, PLANTS, PLANT PRODUCTS AND OTHER GOODS AND ANIMAL WELFARE

THE PARTIES, as defined in Article 197 of the Association Agreement:

DESIRING to facilitate trade between the Community and Chile in animals and animal products, plants, plant products and other goods, whilst safeguarding public, animal and plant health;

CONSIDERING that the implementation of this Agreement is to take place in accordance with the internal procedures and legislative processes of the Parties;

CONSIDERING that recognition of equivalence will be gradual and progressive and should apply to priority sectors;

CONSIDERING that one of the objectives of Part IV, Title I of the Association Agreement is to liberalise trade in goods in accordance with the GATT 1994 progressively and reciprocally;

REAFFIRMING their rights and obligations under the WTO Agreement and its Annexes and in particular the SPS Agreement;

DESIRING to ensure full transparency as regards sanitary, phytosanitary measures applicable to trade, to have a common understanding of the WTO SPS Agreement and to implement its principles and provisions;

RESOLVED to take the fullest account of the risk of spread of animal infections, diseases and pests and of the measures put in place to control and eradicate such infections, diseases and pests, to protect public, animal and plant health while avoiding unnecessary disruptions to trade;

WHEREAS, given the importance of animal welfare, with the aim of developing animal welfare standards and given its relation with veterinary matters, it is appropriate to include this issue in this Agreement and to examine animal welfare standards taking into account the development in the competent international standards organisations.

HAVE AGREED AS FOLLOWS:

Article 1

Objective

1. The objective of this Agreement is to facilitate trade in animals and animal products, plants, plant products and other goods between the Parties, whilst safeguarding public, animal and plant health, by:

(a) ensuring full transparency as regards sanitary and phytosanitary measures applicable to trade;

(b) establishing a mechanism for the recognition of equivalence of such measures maintained by a Party consistent with the protection of public, animal and plant health;

(c) recognition of the health status of the Parties and applying the principle of regionalisation;

(d) further implementing the principles of the WTO SPS Agreement;

(e) establishing mechanisms and procedures for trade facilitation; and

(f) improving communication and Cooperation between the Parties on sanitary and phytosanitary measures.

2. Furthermore, this Agreement aims at reaching a common understanding between the Parties concerning animal welfare standards.

Article 2

Multilateral obligations

The Parties reaffirm their rights and obligations under the WTO Agreement and, in particular, the WTO SPS Agreement. These rights and obligations shall underline the activities of the Parties under this Agreement.

Article 3

Scope

1. This Agreement shall apply to the following measures in so far as they affect trade between the Parties:

(a) sanitary measures applied by either Party to animals and animal products listed in Appendix I.A; and

(b) phytosanitary measures applied by either Party to plants and plant products and other goods listed in Appendix I.B.

2. Additionally, this Agreement shall apply to the development of animal welfare standards as listed in Appendix I.C.

3. Without prejudice to paragraph 4, this Agreement shall initially not apply to matters listed in Appendix I.D.

4. The Committee mentioned in Article 16 may modify this Agreement by means of a decision to extend the scope to other sanitary and phytosanitary measures affecting trade between the Parties.

5. The Committee mentioned in Article 16 may modify this Agreement by means of a decision to extend the scope to other animal welfare standards.

Article 4

Definitions

For the purposes of this Agreement the following definitions shall apply:

(a) "animals and animal products" means live animals, including live fish and bivalve molluscs, semen, ova, embryos and eggs for incubation and products of animal origin including fish products, as defined in the International Animal Health Code and the International Aquatic Health Code of the "Office International des Epizooties" ("OIE");

(b) "plants" means living plants and living parts thereof, including seeds, as set out in Appendix I.B. Living parts of plants shall be considered to include:

(i) fruits, in the botanical sense, other than those preserved by deep freezing;

(ii) vegetables, other than those preserved by deep freezing;

(iii) tubers, corms, bulbs, rhizomes;

(iv) cut flowers;

(v) branches with foliage;

(vi) cut trees retaining foliage; and

(vii) plant tissue cultures.

(c) "plant products" means products of plant origin, unprocessed or having undergone simple preparation in so far as these are not plants set out in Appendix I.B.;

(d) "seeds" means seeds in the botanical sense, intended for planting;

(e) "other goods" means packaging, conveyance, container, used agricultural machinery, soil, growing mediums and any other organism, object or material capable of harbouring or spreading pests as set out in Appendix I.B.;

(f) "pests" means any species, strain or biotype of plant, animal or pathogenic agent injurious to plants or plant products;

(g) "animal disease" means a clinical or pathological manifestation in animals of an infection;

(h) "fish disease" means clinical or non-clinical infection with one or more of the aetiological agents of the diseases affecting aquatic animals;

(i) "infection in animals" means the situation where animals maintain an infectious agent with or without presence of clinical or pathological manifestation of an infection;

(j) "sanitary and phytosanitary measures" means measures as defined in paragraph 1 of Annex A to the WTO SPS Agreement, falling within the scope of this Agreement;

(k) "animal welfare standards" means standards for the protection of animals as developed and applied by the Parties and, as appropriate, in compliance with the OIE standards and falling within the scope of this Agreement;

(l) "appropriate level of sanitary and phytosanitary protection" means the appropriate level of sanitary and phytosanitary protection as defined in paragraph 5 of Annex A to the WTO SPS Agreement;

(m) "region" means:

(i) as regards animal health, zones or regions as defined in the Animal Health Code of the OIE, and for aquaculture as defined in the International Aquatic Animal Health Code of the OIE, on the understanding that as regards the territory of the Community its specificity shall be taken into account recognising the Community as an entity;

(ii) as regards plant health, an area referred to in the FAO International Standard for Phytosanitary Measures "Glossary of Phytosanitary terms", i.e. an officially defined part or all parts of any of the Parties the status of which is recognised in accordance with Article 6(6)(a), as regards the distribution of a said pest;

(n) "regionalisation" means the concept of regionalisation as described in Article 6 of the WTO SPS Agreement;

(o) "consignment" means a quantity of products of the same type, covered by the same certificate or document, conveyed by the same means of transport, consigned by a single consignee and originating in the same exporting country or part of such country. A consignment may be composed of one or more lots;

(p) "equivalence for trade purposes" (herein referred to as equivalence) means the state wherein measures applied in the exporting Party, whether or not different from the measures applied in the importing Party, objectively achieve the importing Party's appropriate level of protection or acceptable level of risk;

(q) "sector" means the production and trade structure for a product or category of products in a Party;

(r) "sub-sector" means a well-defined and controlled part of a sector;

(s) "commodities" means animals and plants, or categories thereof, or specific products, including other goods, referred to in paragraphs (a), (b), (c) and (d);

(t) "specific import authorisation" means a formal prior authorisation by the competent authorities of the importing Party addressed to an individual importer as a condition for import of a single consignment or multiple consignments of a commodity from the exporting Party, within the scope of this Agreement;

(u) "measures" includes any law, regulation, procedure, requirement or practice;

(v) "working days" means working days for the authorities which must take the required action;

(w) "Agreement" means the entire text of this Agreement and all its Appendices; and

(x) "Association Agreement" means the Agreement establishing an Association between the Parties, to which this Agreement is annexed.

Article 5

Competent authorities

1. The competent authorities of the Parties are the authorities competent for the implementation of the measures referred to in this Agreement, as provided for in Appendix II.

2. In accordance with Article 12, the Parties shall inform each other of any significant changes in the structure, organisation and division of competency of their competent authorities.

Article 6

Recognition for trade of animal health and pest status and regional conditions

A. Recognition of status for animal diseases, infections in animals or pests

1. As regards animal diseases and infections in animals (including zoonoses), the following shall apply:

(a) The importing Party shall recognise for trade the animal health status of the exporting Party or its regions as determined by the exporting Party in accordance with Appendix IV.A., with respect to animal diseases specified in Appendix III.A.

(b) Where a Party considers that it has, for its territory or a region, a special status with respect to a specific animal disease other than those in Appendix III.A., it may request recognition of this status in accordance with the criteria set out in Appendix IV.C. The importing Party may request guarantees in respect of imports of live animals and animal products, which are appropriate to the agreed status of the Parties.

(c) The status of the territories or regions, or the status in a sector or sub-sector of the Parties related to the prevalence or incidence of an animal disease other than those in Appendix III.A. or infections in animals, and/or the associated risk, as appropriate, as defined by the international standard setting organisations recognised by the WTO SPS Agreement, is recognised by the Parties as the basis for trade between them. The importing Party may request guarantees in respect of imports of live animals and animal products, which are appropriate to the defined status in accordance with the recommendations of the standard setting organisations, as appropriate.

(d) Without prejudice to Articles 8 and 14, and unless the importing Party raises an explicit objection and requests supportive or additional information or consultations and/or verification, each Party shall take without undue delay the necessary legislative and administrative measures to allow trade on the basis of the provisions of subparagraphs (a), (b) and (c).

2. As regards pests, the following shall apply:

(a) The Parties recognise for trade their pest status in respect to pests specified in Appendix III.B.

(b) Without prejudice to Articles 8 and 14, and unless the importing Party raises an explicit objection and requests supportive or additional information or consultations and/or verification, each Party shall take without undue delay the necessary legislative and administrative measures to allow trade on the basis of the provision of subparagraph (a).

B. Recognition of regionalisation

3. The Parties recognise the concept of regionalisation, which they agree to apply to trade between them.

4. The Parties agree that regionalisation decisions for animal and fish diseases listed in Appendix III.A. and for pests listed in Appendix III.B. must be taken in accordance with the provisions of Appendix IV.A. and Appendix IV.B., respectively.

5. (a) As regards animal diseases and in accordance with the provisions of Article 13, the exporting Party seeking recognition of its regionalisation decision by the importing Party shall notify its measures with full explanation and supporting data for its determinations and decisions. Without prejudice to Article 14, and unless the importing Party raises an explicit objection and requests additional information or consultations and/or verification within 15 working days following receipt of the notification, the regionalisation decision so notified shall be construed as accepted.

(b) Consultations referred to in subparagraph (a) shall take place in accordance with Article 13(3). The importing Party shall assess the additional information within 15 working days following receipt of the additional information. The verification referred to in subparagraph (a) shall be carried out in accordance with Article 10 and within 25 working days following receipt of the request for verification.

6. (a) As regards pests, each Party shall ensure that trade in plants, plant products and other goods takes account of the pest status in a region recognised by the other Party. A Party seeking recognition of its regionalisation decision by the other Party shall notify its measures with full explanation and supporting data for its determinations and decisions, as guided by the relevant FAO International Standards for Phytosanitary Measures, including No 4 "Requirements for the establishment of Pest Free Areas", No 8 "Determination of Pest Status in an area", and other International Standards for Phytosanitary Measures as the Parties deem appropriate. Without prejudice to Article 14, and unless a Party raises an explicit objection and requests additional information or consultations and/or verification within three months following the notification, the regionalisation decision so notified shall be construed as accepted.

(b) Consultations referred to in subparagraph (a) shall take place in accordance with Article 13(3). The importing Party shall assess the additional information within three months following receipt of the additional information. The verification referred to in subparagraph (a) shall be carried out in accordance with Article 10 and within 12 months following receipt of the request for verification, taking into account the biology of the pest and the crop concerned.

7. After finalisation of the procedures of paragraph 4, 5 and 6, and without prejudice to Article 14, each Party shall take, without undue delay, the necessary legislative and administrative measures to allow trade on that basis.

Article 7

Determination of equivalence

1. Equivalence may be recognised in relation to an individual measure and/or groups of measures and/or systems applicable to a sector or sub-sector.

2. In the determination of equivalence, the Parties shall follow the consultation process of paragraph 3. This process shall include the objective demonstration of equivalence by the exporting Party and the objective assessment of this demonstration by the importing Party with a view to possibly recognising equivalence by the latter.

3. Upon request of the exporting Party concerning a measure or measures affecting one or more sector(s) or sub-sector(s), the Parties shall, within three months after receipt by the importing Party of such request, initiate the consultation process which includes the steps set out in Appendix VI. However, in case of multiple requests from the exporting Party, the Parties, on request of the importing Party, shall agree within the Committee referred to in Article 16 on a time schedule in which they shall initiate the process referred to in this paragraph.

4. Unless otherwise mutually agreed, the importing Party shall finalise the assessment of equivalence within 180 days after having received from the exporting Party its demonstration of equivalence, except for seasonal crops when it is justifiable to delay the assessment to permit verification of phytosanitary measures during a suitable period of growth of a crop.

The sectors or sub-sectors of priority of each Party for which this process may be initiated, are to be set out, where appropriate, in order of priority in Appendix V.A. The Committee referred to in Article 16 may amend, by means of decision, this list, including its order of priority.

5. The importing Party may withdraw or suspend equivalence on the basis of any amendment by one of the Parties of measures affecting equivalence, provided that the following procedures are followed:

(a) In accordance with the provisions of Article 12, the exporting Party shall inform the importing Party of any proposal for amendment of its measures for which equivalence of measures is recognised and the likely effect of the proposed measures on the equivalence which has been recognised. Within 30 working days of receipt of this information, the importing Party shall inform the exporting Party whether or not equivalence would continue to be recognised on basis of the proposed measures.

(b) In accordance with the provisions of Article 12, the importing Party shall inform the exporting Party of any proposal for amendment of its measures on which recognition of equivalence has been based and the likely effect of the proposed measures on the equivalence which has been recognised. Should the importing Party not continue to recognise equivalence, the Parties may agree on the conditions to re-initiate the process referred to in paragraph 3 on the basis of the proposed measures.

6. Without prejudice to Article 14, the importing Party may not withdraw or suspend equivalence before the proposed new measures of either Party enter into force.

7. The recognition or withdrawal or suspension of equivalence rests solely with the importing Party acting in accordance with its administrative and legislative framework including, as regards plants, plant products and other goods, appropriate communications in accordance with FAO International Standard for Phytosanitary Measures No 13 "Guidelines for the notification of non-compliances and emergency action" and other International Standards for Phytosanitary Measures, as appropriate. That Party shall provide to the exporting Party in writing full explanation and supporting data used for the determinations and decisions covered by this Article. In case of non-recognition, withdrawal or suspension of equivalence, the importing Party shall indicate to the exporting Party the required conditions on which the process referred to in paragraph 3 may be reinitiated. When necessary, the importing Party may provide technical assistance to the exporting Party in accordance with the provisions of Article 24 of the Association Agreement.

Article 8

Transparency and trade conditions

1. For commodities referred to in Appendices I.A. and I.B., the Parties agree to apply general import conditions. Without prejudice to the decisions taken in accordance with Article 6, the import conditions of the importing Party shall be applicable to the total territory of the exporting Party. Upon entry into force of this Agreement and in accordance with the provisions of Article 12, the importing Party shall inform the exporting Party of its sanitary and phytosanitary import requirements for commodities referred to in Appendices I.A and I.B. This information shall include, as appropriate, the models for the official certificates or attestations, as prescribed by the importing Party.

2. (a) For the notification by the Parties of amendments or proposed amendments of the conditions referred to in paragraph 1, they shall comply with the provisions of the SPS Agreement and subsequent decisions, as regards notification of measures. Without prejudice of the provisions of Article 14, the importing Party shall take into account the transport time between the Parties to establish the date of entering into force of the amended conditions referred to in paragraph 1.

(b) If the importing Party fails to comply with these notification requirements, it shall continue to accept the certificate or attestation guaranteeing the previously applicable conditions until 30 days after entering into force of the amended import conditions.

3. (a) Within 90 days after recognition of equivalence, the Parties shall take the necessary legislative and administrative measures to implement the recognition of equivalence in order to allow on that basis trade between them of commodities referred to in Appendices I.A. and I.B. in sectors and sub-sectors, for which all respective sanitary and phytosanitary measures of the exporting Party are recognised as equivalent by the importing Party. For these commodities, the model for the official certificate or official document required by the importing Party may, then, be replaced by a certificate drawn up as provided for in Appendix IX.B.

(b) For commodities in sectors or sub-sectors for which one or some but not all measures are recognised as equivalent, trade shall continue on the basis of compliance with the conditions referred to in paragraph 1. Upon request of the exporting Party, the provisions of paragraph 5 shall apply.

4. For the commodities referred to Appendices I.A. and I.B., import shall not be subject to specific import authorisations.

5. For conditions affecting trade of the commodities referred to in paragraph 1, upon request of the exporting Party, the Parties shall enter into consultations in accordance with the provisions of Article 16, in order to agree on alternative or additional import conditions of the importing Party. Such alternative or additional import conditions may, when appropriate, be based on measures of the exporting Party recognised as equivalent by the importing Party. If agreed, the importing Party shall take the necessary legislative and/or administrative measures to allow import on that basis, within 90 days.

6. (a) For the import of animal products referred to in Appendix I.A., upon request of the exporting Party accompanied by the appropriate guarantees, the importing Party shall provisionally approve processing establishments referred to in Appendix V.B.(2) which are situated on the territory of the exporting Party, without prior inspection of individual establishments. Such approval shall be consistent with the conditions and provisions set out in Appendix V.B. Unless additional information is requested, the importing Party shall take the necessary legislative and/or administrative measures to allow import on that basis within 30 working days after the importing Party has received the request and guarantees.

The initial list of establishments shall be approved in accordance with the provisions of Appendix V.B.

(b) For the import of animal products referred to in paragraph 3(a), the exporting Party shall inform the importing Party of its list of establishments meeting the exporting Party's requirements.

7. Upon request of a Party, the other Party shall provide full explanation and supporting data for the determinations and decisions covered by this Article.

Article 9

Certification procedures

1. For purposes of certification procedures, the Parties shall comply with the principles and criteria set out in Appendix IX.A.

2. Certificates or official documents referred to in Article 8(1) and (3) shall be issued as set out in Appendix IX.C.

3. The Committee referred to in Article 16 may agree on rules to be followed in case of electronic certification, withdrawal or replacement of certificates.

Article 10

Verification

1. In order to maintain confidence in the effective implementation of the provisions of this Agreement, each Party, within the scope of this Agreement, shall have the right:

(a) to carry out, in accordance with the guidelines of Appendix VII, verification of all or part of the other Party's authorities' total control programme. The expenses of such verification shall be borne by the Party carrying out the verification;

(b) from a date to be determined by the Parties, to receive on its request from the other Party submission of all or part of that Party's total control programme and a report concerning the results of the controls carried out under that programme;

(c) that, for laboratory tests related to commodities of Appendix I.A., on request of one Party, the other Party shall participate in the periodical inter-comparative test programme for specific tests organised by the reference laboratory of the requesting Party. Such participation shall be borne by the participating Party.

2. Either Party may share the results and conclusions of its verifications with third countries, and make them publicly available.

3. The Committee referred to in Article 16 may modify, by means of a decision, Appendix VII, taking due account of relevant work carried out by international organisations.

4. The results of verification may contribute to measures by the Parties or one of the Parties referred to in Articles 6, 7, 8 and 11.

Article 11

Import checks and inspection fees

1. The Parties agree that import checks on importation by the importing Party of consignments from the exporting Party shall respect the principles set out in Appendix VIII.A. The results of these checks may contribute to the verification process referred to in Article 10.

2. The frequencies of physical import checks applied by each Party are set out in Appendix VIII.B. A Party may amend these frequencies within its competences and in accordance with its internal legislation, as a result of progress made in accordance with Articles 7 and 8, or as a result of verifications, consultations or other measures provided for in this Agreement. The Committee referred to in Article 16 shall by decision modify Appendix VIII.B. accordingly.

3. Inspection fees may only cover the costs incurred in by the competent authority for performing import checks. They shall be equitable in relation to fees charged for the inspection of similar domestic products.

4. The importing Party shall inform the exporting Party of any amendment, including the reasons for these amendments concerning the measures affecting import checks and inspection fees and of any significant changes in the administrative conduct for such checks.

5. For the commodities referred to in Article 8(3)(a), the Parties may agree to reduce reciprocally the frequency of physical import checks.

6. From a date to be determined by the Committee referred to in Article 16, the Parties may agree on the conditions to approve each other's controls referred to in Article 10(b), with a view to adapt the frequency of import checks or replace import checks. These conditions shall be included in Appendix VII by a decision of the Committee referred to in Article 16. From that date, the Parties may reciprocally approve each other's controls for certain commodities and, consequently reduce or replace the import checks for these commodities.

Article 12

Information exchange

1. The Parties shall exchange information which is relevant for the implementation of this Agreement on a systematic basis, for developing standards, for providing assurance, for engendering mutual confidence and for demonstrating the efficacy of the programmes controlled. Where appropriate, this exchange of information may include exchanges of officials.

2. The Parties shall also exchange information on other relevant topics including:

(a) significant events concerning commodities covered by this Agreement, including information exchange provided for in Articles 7 and 8;

(b) the results of verification procedures provided for in Article 10;

(c) the results of import checks provided for in Article 11 in the case of rejected or non-compliant consignments of animals and animal products;

(d) scientific opinions, relevant to this Agreement and produced under the responsibility of a Party;

(e) the progress on developing animal welfare standards; and

(f) rapid alerts relevant to trade within the scope of this Agreement.

3. The Parties shall provide for the submission of scientific papers or data to the relevant scientific fora to substantiate any views or claims made in respect of a matter arising under this Agreement. Such information shall be evaluated by the relevant scientific fora in a timely manner, and the results of that examination shall be made available to both Parties.

4. When the information referred to in this Article has been made available by notification to the WTO in accordance with the relevant rules or when the above information has been made available on the official, publicly accessible and fee-free web-sites of the Parties, the addresses of which are set out in Appendix XI.B., the information exchange shall be considered to have taken place.

In addition, for pests of known and immediate danger to the other Party, direct communication to the relevant Party shall be sent by mail or e-mail. The guidance provided by FAO International Standard for Phytosanitary Measures No 17 "Pest reporting" shall be followed.

5. The contact points for the information exchange referred to in this Article are set out in Appendix XI.A. Information shall be sent by post, fax or e-mail. Information by e-mail shall be signed electronically and shall only be sent between the contact points.

Article 13

Notification and consultation

1. Each Party shall notify the other Party in writing within two working days of any serious or significant public, animal or plant health risk, including any food control emergencies or situations where there is a clearly identified risk of serious health effects associated with the consumption of animal or plant products and in particular concerning:

(a) any measures affecting regionalisation decisions referred to in Article 6;

(b) the presence or evolution of any animal disease or pests listed in Appendix III.A. and III.B.;

(c) findings of epidemiological importance or important associated risks with respect to animal diseases and pests which are not in Appendix III.A. and III.B. or which are new animal diseases or pests; and

(d) any additional measures beyond the basic requirements of their respective measures taken to control or eradicate animal diseases or pests or protect public health and any changes in prophylactic policies, including vaccination policies.

2. (a) Notifications shall be made to the contact points set out in Appendix XI.A.

(b) Written notification means notification by mail, fax or e-mail. Notifications by e-mail shall be signed electronically and shall only be sent between the contact points set out in Appendix XI.A.

3. Where a Party has serious concerns regarding a risk to public, animal or plant health, consultations regarding the situation shall, on request, take place as soon as possible and, in any case, within 13 working days. Each Party shall endeavour in such situations to provide all the information necessary to avoid a disruption in trade, and to reach a mutually acceptable solution consistent with the protection of public, animal or plant health.

4. Upon request of a Party, consultations regarding animal welfare shall take place as soon as possible and, in any case, within 20 working days. Each Party shall endeavour, in such situations, to provide all the requested information.

5. Upon request of a Party, consultations referred to in paragraphs 3 and 4 shall be held by video or audio conference. The requesting Party shall ensure the preparation of the minutes of the consultation, which shall be formally approved by the Parties. For purposes of this approval, the provisions of Article 12(5) shall apply.

Article 14

Safeguard clause

1. Should the exporting Party take domestic measures to control any cause likely to constitute a serious hazard to human, animal and plant health, the exporting Party, without prejudice to the provisions of paragraph 2, shall take equivalent measures to prevent introduction of the hazard into the territory of the importing Party.

2. The importing Party may, on serious public, animal or plant health grounds, take provisional transitional measures necessary for the protection of public, animal or plant health. For consignments in transport between the Parties, the importing Party shall consider the most suitable and proportional solution in order to avoid unnecessary disruptions to trade.

3. The Party taking the measures shall notify the other Party thereof within one working day of the decision to implement them. Upon request of either Party, and in accordance with the provisions of Article 13(3), the Parties shall hold consultations regarding the situation within 12 working days of the notification. The Parties shall take due account of any information provided through such consultations and shall endeavour to avoid unnecessary disruption to trade, taking into account, where applicable, the outcome of the provisions of Article 13(3).

Article 15

Outstanding issues

The principles of this Agreement shall be applied to address outstanding issues falling within its scope, to be listed in Appendix X. The Committee referred to in Article 16 may modify, by means of a decision, Appendix X, and, as appropriate, the other Appendices, to take account of progress made and of new issues identified.

Article 16

Joint Management Committee

1. The Joint Management Committee, hereafter called the Committee, established in Article 89(3) of the Association Agreement shall meet within the first year, after the entry into force of this Agreement, and on request of either Party thereafter, not exceeding however a frequency in principle of one meeting a year. If agreed by the Parties, a meeting of the Committee may be held by video or audio-conference. The Committee may also address issues out of session, by correspondence.

2. The Committee shall have the following functions:

(a) to monitor the implementation of this Agreement and consider any matter relating to this Agreement, and examine all matters which may arise in relation to its implementation;

(b) to review the Appendices to this Agreement, notably in the light of progress made under the consultations and procedures provided for under this Agreement;

(c) in the light of the review provided for in paragraph (b) or as provided in this Agreement, to modify by means of a decision, Appendices I to XII; and

(d) in the light of the review provided for in paragraph (b), to make recommendations for modifications to this Agreement.

3. The Parties agree to establish technical working groups, when appropriate, consisting of expert-level representatives of the Parties, which shall identify and address technical and scientific issues arising from the application of this Agreement. When additional expertise is required, the Parties may establish ad hoc groups, including scientific groups. Membership of such ad hoc groups need not be restricted to representatives of the Parties.

4. The Committee shall report to the Association Council established under Article 3 of the Association Agreement.

5. The Committee shall adopt at its first meeting its working procedures.

Article 17

Facilitation of communication

Without prejudice of the provisions of Articles 12, 13, 14 and 16, the Committee referred to in Article 16 may agree on an arrangement to facilitate correspondence, exchange of information and associated documents and procedures and operation of the Committee.

Article 18

Territorial application

This Agreement shall apply, on the one hand, as regards animals and animal products, plants and plant products and other goods to the territories of Member States of the Community and, on the other hand to the territory of the Republic of Chile, as laid down in Appendix XII.

Appendix I

COVERAGE

Appendix IA

ANIMALS AND ANIMAL PRODUCT

1. MAIN LIVE ANIMAL CATEGORIES

I. Equidae(1)

II. Bovine animals (including Bubalus bubalis and Bison)

III. Ovine and caprine animals

IV. Porcine animals

V. Poultry(2)

VI. Live fish

VII. Crustaceans

VIII. Molluscs

IX. Eggs and gametes of live fish

X. Hatching eggs

XI. Semen-ova-embryos

XII. Other mammals

XIII. Other birds

XIV. Reptiles

XV. Amphibians

XVI. Other vertebrates

XVII. Bees

2. PRODUCTS OF ANIMAL ORIGIN

Main product categories

I. Fresh meat of domestic species(3) and game(4), including offal and blood for human consumption

II. Meat products prepared from meat as defined under I and other products of animal origin for human consumption (minced meat, meat preparations, casings)

III. Liquid milk and powdered milk for human and not for human consumption

IV. Milk products for human and not for human consumption (including colostrum)

V. Fishery products for human consumption, including bivalve molluscs and crustaceans

VI. Eggs for human consumption, egg products

VII. Products produced by bees

VIII. Snails and frogs' legs for human consumption

IX. Hides or skins of ungulates, wool, hair, bristles, feathers, down, or parts of feathers, game trophies

X. Bones, horns, hooves and their by-products other than meals

XI. Gelatine for human consumption, raw material for the production of gelatine for human consumption

XII. Processed animal proteins (meals and greaves), lard and rendered fats, including fishmeal and fish oil

XIII. Blood and blood products of ungulates and poultry (including serum of equidae), amniotic fluid for use in the pharmaceutical industry or for technical use other than in animal feeding stuffs

XIV. Pathogenic agents

XV. Other animal waste: low-risk raw materials for the pharmaceutical industry or technical use or for use in feeding stuffs (including pet food)

XVI. Pet food

XVII. Processed and unprocessed manure.

(1) equidae (including zebras) or asinine species or the offspring of crossings of those species

(2) fowl, turkeys, guinea fowl, ducks, geese

(3) bovine, porcine, equine, caprine, ovine, poultry

(4) farmed game, wild game of the categories leporidae, ungulates, feathered game, other mammals

Appendix IB

- Plants and plant products which are potential carriers of pests

- Packaging, conveyances, containers, soil and growing mediums and any other organisms, object or material capable of harbouring or spreading pests

Appendix IC(1)

Animal welfare standards

Standards concerning:

- stunning and slaughter of animals

(1) The Committee referred to in Article 16 shall adopt a working plan, within one year of the entry into force of this Agreement, on the development of other animal welfare standards which are of importance for the Parties.

Appendix ID

Matters to which this Agreement initially does not apply

Sanitary measures related to:

1. Food additives (all food additives and colours)

2. Processing aids

3. Flavours

4. Irradiation (ionisation)

5. Chemicals originating from the migration of substances from packaging materials

6. Labelling of foodstuffs

7. Nutritional labelling

8. Feed additives

9. Animal feeding stuffs

10. Medicated feeds and premixes

11. Genetically Modified Organisms (GMO's)

Appendix II

COMPETENT AUTHORITIES

A. Competent authorities of the Community

Control is shared between the national services of the Member States and the European Commission. In this respect the following applies:

- As regards exports to Chile, the Member States are responsible for control of the production circumstances and requirements, including statutory inspections and issuing health (or animal welfare) certifications attesting to the agreed standards and requirements.

- As regards imports from Chile, the Member States are responsible for control of the compliance of the imports with the Community's import conditions.

- The European Commission is responsible for overall co-ordination, inspection/audits of inspection systems and the necessary legislative action to ensure uniform application of standards and requirements within the Internal European Market.

B. Competent authorities of Chile

The Ministry of Agriculture, through the "Servicio Agrícola y Ganadero" is the competent authority to administrate all the requirements dealing with:

- sanitary (animal health) and phytosanitary (plant health) measures applied to the import and export of animal, plants and their products;

- sanitary and phytosanitary measures issued to reduce the risk for entrance of animal diseases, plant pest, and to control its erradication or spread; and

- the issuing of the sanitary and phytosanitary export certificates for animal and plant products.

The Ministry of Health is the competent authority for the sanitary control of all the foods, of national production and of import, dedicated to human consumption and of the sanitary certification of elaborated nutritious products for export, except for the hidrobiological products.

The "Servicio Nacional de Pesca" dependent of the Ministry of Economy, is the competent authority for controlling the sanitary quality of seafood products for export and for issuing the corresponding official certificates. It is also responsible for protecting the health status of aquatic animals, the sanitary certification of aquatic animals for export, and the control of imports of aquatic animals, bait and food used in aquaculture.

Appendix III

LISTS OF NOTIFIABLE DISEASES AND PESTS FOR WHICH REGIONAL FREEDOM CAN BE RECOGNISED

Appendix IIIA

Animal and fish diseases subject to notification, for which the status of the Parties is recognised and for which regionalisation decisions may be taken

>TABLE>

Appendix III B

Pests subject to notification, for which the status of the Parties is recognised and for which regionalisation decisions may be taken(1)

As regards the situation in Chile:

1. Pests not known to occur in any part of Chile.

2. Pests known to occur in Chile and under official control.

3. Pest known to occur in Chile, under official control and for which pest free areas are established.

As regards the situation in the European Community:

1. Pests not known to occur in any part of the Community and relevant for the entire Community, or for part of it.

2. Pests known to occur in the Community and relevant for the entire Community.

3. Pests known to occur in the Community and for which pest free areas are established.

(1) The Committee referred to in Article 16 shall complete these lists by means of a decision.

Appendix IV

REGIONALISATION AND ZONING

A. Animal and fish diseases

1. Animal diseases

The basis for recognition of the animal disease status of a Party or a region thereof shall be the International Animal Health Code of the OIE: "Recognition of the disease/infection free status of a country or a zone and epidemiological surveillance systems".

The basis for regionalisation decisions for an animal disease shall be the International Animal Health Code of the OIE: "Zoning and regionalisation".

2. Aquaculture diseases

The basis for regionalisation decisions for aquaculture diseases shall be the International Aquatic Health Code of the OIE.

B. Pests

The criteria for the establishment of a region free from certain pests shall comply with the provisions of either:

- the FAO International Standard for Phytosanitary Measures No 4 on "Requirements for the establishment of pest free areas" and the relevant definitions of the FAO International Standard for Phytosanitary Measures No 5 on "Glossary of phytosanitary terms"; or

- Article 2(1)(h) of Council Directive 2000/29/EC.

C. Criteria for the recognition of the special status for animal diseases of the territory or a region of a Party

1. Where the importing Party considers that its territory or part of its territory is free from an animal disease other than those listed in Appendix III A, it shall present to the exporting Party appropriate supporting documentation, setting out in particular the following criteria:

- the nature of the disease and the history of its occurrence in its territory;

- the results of surveillance testing based on serological, microbiological, pathological or epidemiological investigation and on the fact that the disease must by law be notified to the competent authorities;

- the period over which the surveillance was carried out;

- where applicable, the period during which vaccination against the disease has been prohibited and the geographical area concerned by the prohibition;

- the arrangements for verifying the absence of the disease.

2. The additional guarantees, general or specific, which may be required by the importing Party must not exceed those, which the importing Party implements nationally.

3. The Parties shall notify each other of any change in the criteria specified in paragraph 1 which relate to the disease. The additional guarantees defined in accordance with paragraph 2 may, in the light of such notification, be amended or withdrawn by the Committee referred to in Article 16 of this Agreement.

Appendix V

PRIORITY SECTORS OR SUB-SECTORS FOR WHICH EQUIVALENCE MAY BE RECOGNISED AND CONDITIONS AND PROVISIONS FOR PROVISIONAL APPROVAL OF ESTABLISHMENTS

A. Priority sectors or sub-sectors in order of priority for which equivalence may be recognised

List of priorities referred to in Article 7(4), to be completed by the Committee referred to in Article 16.

B. Conditions and provisions for provisional approval of establishments

1. Provisional approval of establishments means that the importing Party for the purpose of import approves provisionally the establishments in the exporting Party on the basis of the appropriate guarantees provided by that Party without prior inspection by the importing Party of the individual establishments in accordance with the provisions of paragraph 4. With the same procedure and under the same conditions, the Parties shall modify or complete the lists provided for in paragraph 2 to take account of new applications and guarantees received. Only as regards the initial list of establishments verification may be part of the procedure in accordance with the provisions of paragraph 4(d).

The provisional approval shall initially be limited to the following categories of establishments:

2. The provisional approval shall initially be limited to the following categories of establishments:

Slaughter houses for fresh meat of domestic species (Appendix IA.2.I)

All establishments except slaughterhouses for fresh meat of domestic species

All establishments for fresh meat of wild and farmed game

All establishments for poultry meat

All establishments for meat products of all species

All establishments for other products of animal origin for human consumption (e.g. casings, meat preparations, minced meat)

All establishments for milk and milk products for human consumption

Processing establishments and factory vessels for fishery products for human consumption including bivalve molluscs and crustaceans

Processing establishments for fish meal and fish oil

Processing establishments for gelatine

All establishments for eggs and ovoproducts

3. The importing Party shall draw up lists of provisionally approved establishments and shall make these lists publicly available.

4. Conditions and procedures for provisional approval:

(a) If import of the animal product concerned from the exporting Party has been authorised by the importing Party and the relevant import conditions and certification requirements for the products concerned have been established.

(b) If the competent authority of the exporting Party has provided the importing Party with satisfactory guarantees that the establishments appearing on its list or lists meet the relevant health requirements of the importing Party and has officially approved the establishment appearing on the lists for exportation to the importing Party.

(c) The competent authority of the exporting Party must have a real power to suspend the activities for exportation to the importing Party from an establishment for which that authority has provided guarantees, in the event of non-compliance with the said guarantees.

(d) Verification in accordance with the provisions of Article 10 of the Agreement by the importing Party may be part of the provisional approval procedure. This verification concerns the structure and organisation of the competent authority responsible for the approval of the establishment as well as the powers available to that competent authority and the guarantees that it can provide in regard to the implementation of importing Party's rules. These checks may include on the spot inspection of a certain representative number of establishments appearing on the list or lists provided by the exporting Party.

Taking into account the specific structure and division of competence within the Community, such verification in the Community may concern individual Member States.

(e) Based on the results of the verification provided for in (d), the importing Party may amend the existing list of establishments.

Appendix VI

PROCESS OF DETERMINATION OF EQUIVALENCE

1. Principles

(a) Equivalence can be determined for an individual measure and/or groups of measures and/or systems related to a certain commodity or categories of commodities.

(b) The consideration of equivalence by the importing Party of a request by the exporting Party for recognition of its measures with regards to a specific commodity shall not be a reason to disrupt trade or suspend on-going imports from the exporting party of the commodity in question.

(c) Determination of equivalence of measures is an interactive process between the exporting Party and the importing Party. The process consists of an objective demonstration of equivalence of individual measures by the exporting Party and the objective assessment of this demonstration with a view to the possible recognition of equivalence by the importing Party.

(d) The final recognition of equivalence of the relevant measures of the exporting Party rests solely with the importing Party.

2. Preconditions

(a) The exporting Party can only initiate the process of determination of equivalence when the importing Party has recognised the exporting Party for import of the commodity for which equivalence is sought in its agreed country list. The listing depends on the health or pest status, the legislation and the effectiveness of the inspection and control system related to the commodity in the exporting Party. To this end the legislation in the sector concerned shall be taken into account, as well as the structure of the competent authority of the exporting Party, its command chain, its authority, its operational procedures and resources, and the performance of the competent authorities as regards inspection and control systems, including its level of enforcement related to the commodity and the regularity and rapidity of information to the importing Party in case of identified hazards. This recognition may be supported by documentation, verification and earlier documented experience.

(b) The Parties shall initiate the process of determination of equivalence based upon the priorities established in Appendix V.A.

(c) The exporting Party shall only initiate the process when no safeguard measures imposed by the importing Party apply to the exporting Party as regards the commodity.

3. The process

(a) The exporting Party initiates the process by submitting to the importing Party a request for recognition of equivalence of an individual measure and/or groups of measures and/or systems for a commodity or a category of commodities in a sector or sub-sector.

(b) When appropriate, this request includes also the request and required documentation for approval by the importing Party on the basis of equivalence of any programme or plan of the exporting Party required by the importing Party as a condition for allowing import of that commodity (e.g. residue plan).

(c) With this request, the exporting Party:

(i) explains the importance for trade of that commodity;

(ii) identifies the individual measure(s) with which it can comply with out of the total of the measures expressed in the import conditions of the importing Party applicable to that commodity;

(iii) identifies the individual measure(s) for which it seeks equivalence out of the total of the measures expressed in the import conditions of the importing Party, applicable to that commodity.

(d) In reply to this request the importing Party explains the overall and individual objective and the rationale behind its measure(s), including the identification of the risk.

(e) With this explanation, the importing Party informs the exporting Party on the relationship of its domestic measures and the import conditions for that commodity.

(f) The exporting Party objectively demonstrates to the importing Party that the measures that it has identified are equivalent to the import conditions for that commodity.

(g) The importing Party objectively assesses the demonstration of equivalence by the exporting party.

(h) The importing Party concludes whether equivalence is achieved or not.

(i) The importing Party provides to the exporting Party full explanation and supporting data for its determination and decision if so required by the exporting Party.

4. Demonstration of equivalence of measures by the exporting party and assessment of this demonstration by the importing Party

(a) The exporting Party shall objectively demonstrate equivalence for each of the identified measures of the importing Party expressed in its import conditions. When appropriate, equivalence shall objectively be demonstrated for any plan or programme required by the importing Party as a condition to allow import (e.g. residue plan, etc).

(b) Objective demonstration and assessment in this context should be based, as far as possible, on:

- internationally recognised standards; and/or

- standards based on proper scientific evidence; and/or

- risk assessment; and/or

- objective earlier documented experience; and

- legal status or level of administrative status of the measures; and

- level of implementation and enforcement on the basis of in particular:

- corresponding results of surveillance and monitoring programmes;

- inspection results by the exporting Party;

- results of analysis with recognised analysis methods;

- verification and import check results by the importing Party;

- the performance of the competent authorities of the exporting Party; and

- earlier experiences.

5. Judgement by the importing Party

In case the importing Party arrives at a negative conclusion, it shall provide the exporting Party with an explanation.

Appendix VII

GUIDELINES FOR CONDUCTING VERIFICATIONS

Verifications may be carried out on the basis of or audits and/or on the spot checks.

For the purposes of this Appendix:

(a) the "auditee" is the Party subject to the verification;

(b) the "auditor" is the Party that carries out the verification

1. General principles of verification

1.1. Verifications should be made in Cooperation between the "auditor" and the "auditee" in accordance with the provisions set out in this Appendix.

1.2. Verifications should be designed to check the effectiveness of the controls of the auditee rather than to reject individual animals, groups of animals, consignments of food establishments or individual lots of plants or plant products. Where a verification reveals a serious risk to animal, plant or human health, the auditee shall take immediate corrective action. The process may include study of the relevant regulations, method of implementation, assessment of the end result, level of compliance and subsequent corrective actions.

1.3. The frequency of verifications should be based on performance. A low level of performance should result in an increased frequency of verifications; unsatisfactory performance must be corrected by the auditee to the auditor's satisfaction.

1.4. Verifications, and the decisions based on them, shall be made in a transparent and consistent manner.

2. Principles relating to the auditor

The auditors should prepare a plan, preferably in accordance with recognised international standards, that covers the following points:

2.1. the subject, depth and scope of the verification;

2.2. the date and place of the verification, along with a timetable up to and including the issue of the final report;

2.3. the language or languages in which the verification will be conducted and the report written;

2.4. the identity of the auditors including, if a team approach is used, the leader. Specialised professional skills may be required to carry out verification of specialised systems and programmes;

2.5. a schedule of meetings with officials and visits to establishments or facilities, as appropriate. The identity of establishments or facilities to be visited need not be stated in advance;

2.6. subject to provisions on freedom of information, respect of commercial confidentiality shall be observed by the auditor. Conflicts of interest must be avoided;

2.7. respect of the rules governing occupational health and safety, and the rights of the operator. This plan should be reviewed in advance with representatives of the auditee.

3. Principles relating to the auditee

The following principles apply to actions taken by the auditee, in order to facilitate verification:

3.1. The auditee must Cooperate fully with the auditor and should nominate personnel responsible for this task. Cooperation may include, for example:

- access to all relevant regulations and standards,

- access to compliance programmes and appropriate records and documents,

- access to audit and inspection reports,

- documentation concerning corrective actions and sanctions,

- facilitating entry to establishments.

3.2. The auditee must operate a documented programme to demonstrate to the auditor that standards are being met on a consistent and uniform basis.

4. Procedures

4.1. Opening meeting

An opening meeting should be held between representatives of the Parties. At this meeting the auditor will be responsible for reviewing the verification plan and confirming that adequate resources, documentation, and any other necessary facilities are available for conducting the verification.

4.2. Document review

The document review may consist of a review of the documents and records referred to in paragraph 3.1, the structures and powers of the auditee, and any relevant changes to inspection and certification systems since the entry into force of this Agreement or since the previous verification, with emphasis on the implementation of elements of the system of inspection and certification for animals, animal products plants or plant products of interest. This may include an examination of relevant inspection and certification records and documents.

4.3. On the spot checks

4.3.1. The decision to include this step should be based on a risk assessment, taking into account factors such as the animals, animal products, plants or plant products concerned, the history of conformity with requirements by the industry sector or exporting country, the volume of product produced and imported or exported, changes in infrastructure and the national inspection and certification systems.

4.3.2. On the spot checks may involve visits to production and manufacturing facilities, food-handling or storage areas and control laboratories to check on compliance with the information contained in the documentary material referred to in 4.2.

4.4. Follow-up verification

Where a follow-up verification is being conducted in order to verify the correction of deficiencies, it may be sufficient to examine only those points which have been found to require correction.

5. Working documents

Forms for reporting audit findings and conclusions should be standardised as much as possible in order to make the approach to verification more uniform, transparent and efficient. The working documents may include any checklists of elements to evaluate. Such checklists may cover:

- legislation;

- structure and operations of inspection and certification services;

- establishment details and working procedures, - health statistics, sampling plans and results;

- compliance action and procedures;

- reporting and complaint procedures; and

- training programmes.

6. Closing meeting

A closing meeting shall be held between representatives of the Parties, including, where appropriate, officials responsible for the national inspection and certification programs. At this meeting the auditor shall present the findings of the verification. The information shall be presented in a clear, concise manner so that the conclusions of the audit are clearly understood. An action plan for correction of any deficiencies noted shall be drawn up by the auditee, preferably with target dates for completion.

7. Report

The draft report of verification shall be forwarded to the auditee within 20 working days. The auditee shall have 25 working days to comment on the draft report. Comments made by the auditee shall be attached to and, where appropriate included in the final report. However, where a significant public, animal or plant health risk has been identified during the verification, the auditee shall be informed as quickly as possible and in any case within 10 working days following the end of the verification.

Appendix VIII

IMPORT CHECKS AND INSPECTION FEES

A. Principles of import checks

Import checks consist of documentary checks, identity checks and physical checks

As regards animals and animal products, the physical checks and its frequency applied shall be based on the risk associated with such imports.

In carrying out the checks for plant health purposes, the importing Party shall ensure that the plants, plant products and other goods and their packaging shall be meticulously inspected on an official basis, either in their entirety or by representative sample, and that if necessary the vehicles transporting them shall be inspected meticulously on an official basis in order to make sure, as far as can be determined, that they are not contaminated by pests.

In the event that the checks reveal non-conformity with the relevant standards and/or requirements, the importing Party shall take official measures proportionate to the risk involved. Wherever possible, the importer or his representative shall be given access to the consignment and the opportunity to contribute any relevant information to assist the importing Party in taking a final decision concerning the consignment. Such decision shall be proportional to the risk.

B. Frequencies of physical checks

B.1. Animals and animal products

(a) Import into the Community

>TABLE>

(b) Import into Chile

>TABLE>

B.2. Plants and plant products

(a) Import into the Community

>TABLE>

For plants, plant products and other goods not listed in Annex V, Part B to Council Directive 2000/29/EC:

The importing party may, on a variable basis, carry physical checks in order to make sure, as far as can be determined, that they are not contaminated by pests.

(b) Import into Chile

Type of frontier checks

Documentary checks concerns inspection of all the documents related with every consignment for determine compliance with phytosanitary certification.

Verification concerns inspection of consignments for determine the degree of industrialisation or transformation (for instance verify if a product is frozen, or dried, toasted, etc).

Phytosanitary inspection is a set of actions for determine the compliance of phytosanitary requirements.

Reception concerns international conveyances for the determination of the phytosanitary status.

>TABLE>

Appendix IX

CERTIFICATION

A. Principles of certification

Plants and plant products and other goods:

In respect of certification of plants and plant products and other goods, the competent authorities shall apply the principles laid down in the FAO International Standards for Phytosanitary Measures No 7 "Export Certification System" and No 12 "Guidelines for Phytosanitary Certificates".

Animals and animal products:

1. The competent authorities of the Parties shall ensure that certifying officers have a satisfactory knowledge of the veterinary legislation as regards the animals or animal products to be certified and, in general, are informed as to the rules to be followed for drawing up and issuing the certificates and - if necessary - as to the nature and extent of the enquiries, tests or examinations which should be carried out before certification.

2. Certifying officers must not certify data of which they have no personal knowledge or which cannot be ascertained by them.

3. Certifying officers must not sign blank or incomplete certificates, or certificates relating to animals or animal products, which they have not inspected or which have passed out of their control. Where a certificate is signed on the basis of another certificate or attestation, the certifying officer shall be in possession of that document before signing.

4. A certifying officer may certify data which have been:

(a) ascertained on the basis of paragraphs 1 to 3 by another person so authorised by the competent authority and acting under the control of that authority, provided that certifying authority can verify the accuracy of the data; or

(b) obtained, within the context of monitoring programmes, by reference to officially recognised quality assurance schemes or by means of an epidemiological surveillance system where this is authorised under veterinary legislation.

5. The competent authorities of the Parties shall take all necessary steps to ensure the integrity of certification. In particular they shall ensure that certifying officers designated by them:

(a) have a status which ensures their impartiality and have no direct commercial interest in the animals or products being certified or in the holdings or establishments in which they originate; and

(b) are fully aware of the significance of the contents of each certificate which they sign.

6. Certificates shall be drawn up as to ensure a link between the certificate and the consignment, at least in a language understood by the certifying officer and at least in one of the official languages of the importing Party as set out in C.

7. Each competent authority shall be in a position to link certificates with the relevant certifying officer and ensure that a copy of all certificates issued is available for a period to be determined by it.

8. Each Party shall introduce such checks and have such control measures taken as are necessary to prevent the issuing of false or misleading certification and the fraudulent production or use of certificates purported to be issued for the purposes of veterinary legislation.

9. Without prejudice to any legal proceedings or penalties, the competent authorities shall carry out investigations or checks and take appropriate measures to penalise any instances of false or misleading certification, which are brought to their attention. Such measures may include the temporary suspension of the certifying officers from their duties until the investigation is over. In particular:

(a) if it is found in the course of the checks that a certifying officer has knowingly issued a fraudulent certificate, the competent authority shall take all necessary steps to ensure, as far as is possible, that the person concerned cannot repeat the offence;

(b) if it is found in the course of the checks that an individual or an undertaking has made fraudulent use of or has altered an official certificate, the competent authority shall take all necessary measures to ensure, as far as possible, that the individual or undertaking cannot repeat the offence. Such measures may include a refusal subsequently to issue an official certificate to the person or undertaking concerned.

B. Certificate referred to in Article 8(3)

The health attestation in the certificate reflects the status of equivalence of the commodity concerned. The health attestation states compliance with the production standards of the exporting Party recognised equivalent by the importing Party.

C. Official languages for certification

Import into Community

Plants, plant products and other goods:

The certificate must be drawn up in at least one of the official languages of the Community and preferably in one of the official languages of the Member State of destination.

Animals and animal products:

The health certificate must be drawn up in at least one of the official languages of the Member State of destination and in one of those of the Member State in which the import checks provided for in Article 11 are carried out.

Import into Chile

The health certificate must be drawn up in Spanish or another language, in which case a translation into Spanish must be provided.

Appendix X

OUTSTANDING ISSUES

To be considered by the Committee referred to in Article 16 for completion.

Appendix XI

CONTACT POINTS AND WEB-SITES

A. Contact points

For Chile:

Departamento Acceso a Mercados

Dirección General de Relaciones Económicas Internacionales (DIRECON)

Ministerio de Relaciones Exteriores

Teatinos 20, piso 2

Santiago

Chile

Tel: (56-2) 5659009

Fax: (56-2) 6960639

Other important contacts:

Departamento de Asuntos Económicos con Europa

Dirección General de Relaciones Económicas Internacionales (DIRECON)

Ministerio de Relaciones Exteriores

Teatinos 20, piso 3

Santiago

Chile

Tel: (56-2) 5 65 93 67

Fax: (56-2) 5 65 93 66

Jefe Departamento de Protección Pecuaria

Servicio Agrícola y Ganadero (SAG)

Ministerio de Agricultura

Av. Bulnes 140, piso 7

Santiago

Chile

Tel: (56-2) 6 88 61 83

Fax: (56-2) 6 71 61 84

Jefe Departamento de Protección Agrícola

Servicio Agrícola y Ganadero (SAG)

Ministerio de Agricultura

Av. Bulnes 140, piso 3

Santiago

Chile

Tel: (56-2) 6 96 85 00

Fax: (56-2) 6 96 64 80

Departamento Asuntos Internacionales

Servicio Agrícola y Ganadero (SAG)

Ministerio de Agricultura

Av. Bulnes 140, piso 6

Santiago

Chile

Tel: (56-2) 6 88 38 11

Fax: (56-2) 6 71 74 19

Jefe Departamento Sanidad Pesquera

Servicio Nacional de Pesca (SERNAPESCA)

Ministerio de Economía

Victoria 2832

Valparaiso

Chile

Tel: (56-32) 81 92 03

Fax: (56-32) 81 92 00

Jefe División de Rectoría y Regulación Sanitaria

Ministerio de Salud

Estado 360 piso 8

Santiago

Chile

Tel: (56-2) 6 30 04 88 - 6 30 04 89

Fax: (56-2) 6 38 35 62

For the Community:

The Director

DG SANCO Directorate E

Food safety: plant health, animal health and welfare, International questions

European Commission

Mail: Rue de la Loi 200

B-1049 Brussels Belgium

Office: Rue Froissart 101

B-1040 Brussels Belgium

Tel: (32) 22 96 33 14

Fax: (32) 22 96 42 86

Other important contacts:

The Director

DG SANCO Directorate D

Food safety: production and distribution chain

European Commission

Mail: Rue de la Loi 200

B-1049 Brussels Belgium

Office: Rue Belliard 232

B-1040 Brussels Belgium

Tel: (32) 22 95 34 30

Fax: (32) 22 95 02 85

The Director

DG SANCO Directorate F

Food and Veterinary Office

Grange Dunsany

Co Meath

Ireland

Tel: (353) 4 66 17 58

Fax: (353) 4 66 18 97

B. Contact points for e-mail

For Chile:

acuerdo-chile-ue-sps@direcon.cl

For the Community:

sanco-ec-chile-agreement@cec.eu.int

C. Fee free web-sites

For Chile:

http://www.sernapesca.cl/Sanidad/ Pagina_del_departamento.htm

http://www.sag.gob.cl

http://www.direcon.cl

For the Community:

http://europa.eu.int/comm/dgs/ health_consumer/index_en.htm

Appendix XII

TERRITORIAL APPLICATION

For the Community

The territories of Member States of the Community as laid down in Annex I to Council Directive 97/78/EC and as regards plants, plant products and other goods in Article 1 of Council Directive 2000/29/EC.

For Chile

As provided for in Article 204 of the Association Agreement.

ANNEX V

AGREEMENT ON TRADE IN WINES

(Referred to in Article 90 of the Association Agreement)

Article 1

Objectives

The Parties shall, on the basis of non-discrimination and reciprocity, facilitate and promote trade in wine produced in Chile and in the Community, under the terms provided for in this Agreement.

Article 2

Scope and coverage

This Agreement applies to wines falling under heading 22.04 of the Harmonised Commodity Description and Coding System ("HS"), which are produced in accordance with the applicable legislation regulating the production of a particular type of wine within a Party.

Article 3

Definitions

For the purposes of this Agreement, unless otherwise provided for:

(a) "originating", when used in relation to the name of a Party, shall require that a wine is produced entirely within the Party concerned solely from grapes which have been wholly harvested in that Party;

(b) "geographical indication" means the indication defined in Article 22(1) of the WTO TRIPs Agreement, which is protected under the laws and regulations of a Party for identifying a wine originating in a region or locality within that Party;

(c) "traditional expression" means a name traditionally used to refer, in particular, to the production or ageing method or the quality, colour, type of place, or a particular event linked to the history of the product concerned of wine that is recognised by the laws and regulations of a Party for describing and presenting a product originating in that Party;

(d) "complementary quality mentions" are those terms named as complementary quality mentions in the Chilean legislation;

(e) "homonymous" means the same geographical indication or same traditional expression and complementary quality mentions, or such a term so similar as to be likely to cause confusion, to denote different places, procedures or things;

(f) "description" means the words used to describe a wine on a label or documents accompanying the transport of wine, on commercial documents particularly invoices and delivery notes, and advertising material, and "describe" has a similar meaning;

(g) "labelling" means all descriptions and other references, signs, designs, geographical indications or trademarks which distinguish wines and which appear on the container, including its sealing device or the tag attached to the container and the sheathing covering the neck of bottles;

(h) "Member State" means a Member State of the Community;

(i) "presentation" means the words or signs used on containers, including their closure, labels and packaging;

(j) "packaging" means the protective wrappings, such as papers, straw envelopes of any kind, cartons and cases used for transport of one or more containers or for sale to the ultimate consumer;

(k) "produced" means the entire process of wine-making;

(l) "wine-making process" means the transformation process of must, using yeast, until the time no remaining sugar is present or that the required quantity of sugar, according to the nature of end products, is attained;

(m) "vine varieties" means varieties of plants of Vitis Vinifera without prejudice to any legislation a Party may have in respect of the use of different vine varieties in wine produced in that Party;

(n) "identification", when used in relation to geographical indications, means the use of geographical indications for the purpose of describing or presenting a wine;

(o) "wine" means solely the beverage resulting from full or partial alcoholic fermentation of fresh grapes of the vine varieties, referred to in this agreement whether or not pressed, or of its must;

(p) "Agreement" means this Agreement and its Appendices;

(q) "Association Agreement" means the Agreement establishing an Association between the Parties, to which this Agreement is annexed; and

(r) "Association Committee" means the Committee referred to in Article 193 of the Association Agreement.

Article 4

General rules on importation and marketing

1. Unless otherwise provided for in this Agreement, wine trade and marketing shall be conducted in compliance with the laws and regulations of the Party concerned.

2. This Agreement shall be without prejudice to rules applying in either Party on taxation or other relevant control measures.

TITLE I

MUTUAL PROTECTION OF GEOGRAPHICAL INDICATIONS OF NAMES FOR WINE

Article 5

Protection of geographical indications

1. The Parties shall take all necessary steps in accordance with this Agreement to ensure mutual protection of the names referred to in Article 6 and used for describing and presenting wine that, within the meaning of Article 3, originate in the Parties. To that end, each Party shall make use of the appropriate legal means referred to in Article 23 of the WTO TRIPS Agreement to ensure an effective protection and prevent geographical indications from being used to describe wine not covered by the indications or descriptions concerned.

2. The names referred to in Article 6 shall be reserved exclusively for the products originating in the Party to which they apply and may be used only under the conditions laid down in the laws and regulations of that Party.

3. Protection as referred to in paragraphs 1 and 2 shall provide in particular for the exclusion of any use of the names referred to in Article 6 for wines that do not originate in the geographical area in question, even if:

(a) the actual origin of the product is shown;

(b) the name in question is used as a translation;

(c) the name is accompanied by terms such as "kind", "type", "style", "imitation", "method" or other expressions of the sort.

4. In the case of homonymous geographical indications:

(a) where two geographical indications protected under this Agreement are homonymous, protection shall be granted to both of them; the consumer shall not bet misled as to the actual origin of the wine;

(b) where a geographical indication protected under this Agreement is homonymous with the name of a geographical area outside the Parties, the latter name may be used to describe and present a wine of the geographical area to which the name refers, provided it is traditionally and consistently used, its use for that purpose is regulated by the country of origin and consumers are not misled into believing that the wine originates in the Party concerned.

5. The Parties may, where necessary, lay down the practical conditions of use to make a distinction between the homonymous geographical indications referred to in paragraph 4, bearing in mind the need to treat the producers concerned fairly and to ensure that consumers are not misled.

6. The provisions of this Article shall in no way prejudice the right of any legal or natural person to use, in the course of trade, that person's name or the name of that person's predecessor in business, except where such name is used in such a manner as to mislead the public. Further, Article 7(1) shall not apply to such names which are registered trademarks at the date of entry into force of this Agreement.

7. Where a Party, in the context of negotiations with a third country, proposes to protect a geographical indication for wine of that third country, and that name is homonymous with a geographical indication of the other Party, the latter shall be informed and be given a chance to comment before the name becomes protected.

Article 6

Geographical indications

The following names shall be those referred to in Article 5:

(a) as regards wine originating in the Community:

(i) terms referring to the Member State in which the product originates;

(ii) the geographical indications listed in Appendix I.

(b) as regards wine originating in Chile:

(i) terms referring to Chile;

(ii) the geographical indications listed in Appendix II.

Article 7

Geographical indications and trademarks

1. Registration of a trademark for wine within the meaning of Article 3 which is identical with, or similar to, or contains a geographical indication protected under Article 5 shall be refused.

2. On the basis of the Chilean trademark register as established on 10 June 2002, the trademarks listed in Appendix VI shall be cancelled within 12 years for use on the internal market and five years for use for export from the date of entry into force of this Agreement.

3. The trademarks listed in Appendix VI for wine that has been exported on average in less than 1000 boxes of 9 litres during the period 1999-2001 shall be cancelled at the date of entry into force of this Agreement.

Article 8

Protection of traditional expressions or complementary quality mentions

1. The Parties shall take all necessary steps in accordance with this Agreement to ensure mutual protection of the traditional expressions or complementary quality mentions referred to in Article 9 and used for describing and presenting wine that, within the meaning of Article 3, originates in the Parties. To that end, each Party shall make use of appropriate legal means to ensure an effective protection and prevent traditional expressions or complementary quality mentions from being used to describe wine not covered by the indications or descriptions concerned.

2. The traditional expressions or complementary quality mentions referred to in Article 9 shall be reserved exclusively for the products originating in the Party to which they apply and may be used only under the conditions laid down in the laws and regulations of that Party, subject to paragraphs 3, 4 and 5.

3. The protection of a traditional expression or a complementary quality mention shall apply only to the language or languages in which it appears in Appendices III or IV.

4. The protection for each traditional expression or complementary quality mention shall apply only to its use to describe and present the category or categories of wines for which it is listed in Appendix III or IV.

5. In the case of homonymous traditional expressions and complementary quality mentions:

(a) where a traditional expression and a complementary quality mention protected under this Article are homonymous, protection shall be granted to both of them, provided the consumer is not misled as to the actual origin of the wine;

(b) where a traditional expression or complementary quality mention listed in List A of Appendix III or IV is homonymous with the name of a wine originating outside the Parties, the latter name may only be used to describe and present a wine provided such use is recognised in the internal legislation of the country of origin and does not constitute unfair competition and consumers are not misled as to the origin, nature or quality of the wine;

(c) where a traditional expression or complementary quality mentions listed in List B of Appendix III or IV is homonymous with the name of a wine originating outside the Parties, the latter name may only be used to describe and present a wine provided that it is a geographical indication traditionally and consistently used, its use for that purpose is regulated by the country of origin and consumers are not misled into believing that the wine originates in the Party concerned.

6. The Parties may, where necessary, lay down the practical conditions of use to make a distinction between the homonymous traditional expressions and complementary quality mentions referred to in paragraph 5, bearing in mind the need to treat the producers concerned fairly and to ensure that consumers are not misled.

Article 9

Traditional expressions or complementary quality mentions

The following traditional expressions or complementary quality mentions shall be protected for the purposes of Article 8:

(a) as regards wine originating in the Community, those listed in Appendix III List A and List B,

(b) as regards wine originating in Chile, those listed in Appendix IV List A and List B.

Article 10

Traditional expressions or complementary quality mentions and trademarks

1. Registration of a trademark for a wine in a Party which is identical with, or similar to, or contains a traditional expression or a complementary quality mention of the other Party listed in List A of Appendix III or IV shall be refused in so far as that registration concerns use of that traditional expression or complementary quality mention to describe or present the category or categories of wine for which that traditional expression or complementary quality mention is listed in Appendix III or IV.

2. By way of derogation from paragraph 1, registration of a trademark for a wine in a Party which is also identical with, or similar to, or contains a traditional expression or a complementary quality mention of that Party listed in List A of Appendix III or IV shall not be required to be refused insofar as that registration concerns use of that traditional expression or complementary quality mention to describe or present the category or categories of wine for which that traditional expression or complementary quality mention is listed in Appendix III or IV.

3. Registration of a trademark of a wine within the meaning of Article 3 which is identical with or similar to, or contains a traditional expression or complementary quality mention listed in List B of Appendix III or IV shall be refused in so far as that registration concerns use of that traditional expression or complementary quality mention to describe or present the category or categories of wine for which that traditional expression or complementary quality mention is listed in Appendix III or IV.

4. On the basis of the Chilean trademark register as established on 10 June 2002, the trademarks listed in Appendix VII shall be cancelled at the date of entry into force of this Agreement.

5. For trade in wines between the Parties a wine originating in Chile may be described or presented with the following elements in the Community, whether or not the conditions for its use is regulated in Chile:

(a) the name(s), title(s) and address(es) of the legal or natural person(s) that took part in the marketing,

(b) the type of product,

(c) a particular colour,

(d) the vintage year,

(e) the name of one or more vine varieties,

(f) indications concerning the means used to obtain or method used to manufacture the product,

(g) the name of a vineyard,

(h) a term indicating that the wine was bottled on the estate, or by a group of vineyards, or in a vineyard situated in the region of production or in the region of production.

Article 4(1) shall otherwise apply in respect of these elements.

For wine originating in a Party, any name not listed in Appendices I, II, III and IV may be freely used to describe and present wine without the need for any regulation on the internal market of that Party, subject to any legislation applicable in that Party, or in export to and on the internal market of third countries, subject to any legislation applicable in that third country.

Article 11

Protected trademarks

1. The Parties are not aware, on the basis of the Chilean trademark register as established on 10 June 2002, of any trademarks other than those referred to in Article 7(2) and Article 10(4) which are identical with, or similar to, or contain the geographical indications or traditional expressions or complementary quality mentions referred to in Articles 6 and 10, respectively.

2. Pursuant to paragraph 1, neither Party shall deny the right to use a trademark contained in the Chilean trademark register on 10 June 2002, other than those referred to in Articles 7(2) and 10(4), on the basis that such a trademark is identical or similar to, or contains a geographical indication listed in Appendix I or II or a traditional expression or a complementary quality mention listed in Appendix III or IV.

3. The holders of trademarks other than those listed in Articles 7(2) and 10(4), that are registered in only one of the Parties may request within two years from the entry into force of this Agreement the registration of such trademarks in the other Party. In this case, that Party shall not reject such a request on the basis that any such trademark is identical with or similar to, or contains a geographical indication contained in Appendix I or II or to a traditional expression or complementary quality mention contained in Appendix III or IV.

4. Trademarks which are identical with or similar to, or contain the geographical indications or traditional expressions or complementary quality mentions referred to in Articles 7 and 10 may not be invoked against the use of the geographical indications or traditional expressions or complementary quality mentions used to describe or present those wines which are entitled to use those geographical indications or traditional expressions or complementary quality mentions.

Article 12

Originating wines

The Parties shall take all steps necessary to ensure that, where wines originating in a Party are exported and marketed outside that Party, the protected names referred to in Article 6 and the traditional expressions of that Party referred to in Article 9 are not used to describe and present such products which originate in the other Party.

Article 13

Labelling

Neither Party shall allow a product to be labelled as originating in the other Party where such product is the result of the mixing of wines originating in the other Party and wines originating in that Party or a third country.

Article 14

Extension of protection

To the extent that the relevant legislation of each Party so allows, the benefit of protection granted by this Agreement shall be extended to legal and natural persons, corporate bodies and federations, associations and organisations of producers, traders and consumers whose headquarters are located in the other Party.

Article 15

Geographical indications unprotected in their country of origin

Nothing in this Agreement shall bind a Party to protect a geographical indication of the other Party which is not protected in its country of origin.

Article 16

Enforcement

1. If the competent body designated in accordance with Article 27 becomes aware that the description or presentation of a wine, particularly on labels or in official or commercial documents or in advertising material, is in breach of the protection given by this Agreement, the Parties shall apply the necessary administrative measures and/or initiate legal proceedings as appropriate in order to combat unfair competition or to prevent in any other way any misuse of a name referred to in Article 6 or 9.

2. The measures and proceedings laid down in paragraph 1 shall be taken in particular in the following cases:

(a) where the translation of descriptions provided for by the legislation of either Party into the language or languages of the other Party results in a word which is liable to be misleading as to the origin, nature or quality of the wine thus described or presented;

(b) where descriptions, trademarks, names, inscriptions or illustrations which directly or indirectly give false or misleading information as to the provenance, origin, nature, vine variety or material qualities of the wine appear on containers or packaging, advertising material, or in official or commercial documents relating to wines whose names are protected under this Agreement;

(c) where, for packaging, containers are used which are misleading as to the origin of wines.

3. The application of paragraphs 1 and 2 shall not hinder the possibility of the authorities and bodies referred to in Article 27 to take appropriate actions in the Parties, including their courts.

TITLE II

OENOLOGICAL PRACTICES AND PROCESSES AND PRODUCT SPECIFICATIONS

Article 17

Recognition of oenological practices

1. The Community shall authorise the import and the marketing for direct human consumption of all wines originating in Chile which are produced in accordance with one or more oenological practices or processes and product specifications as referred to in paragraph 1 of Appendix V and in Appendix VIII (Protocol).

2. Chile shall authorise the import and the marketing for direct human consumption of all wines originating in the Community which are produced in accordance with one or more oenological practices or processes and product specifications as referred to in paragraph 2 of Appendix V and in Appendix VIII (Protocol).

Article 18

New oenological practices

1. Each Party shall endeavour to inform the other Party under the procedures set out in Article 29 at the earliest reasonable opportunity of developments which could lead, in relation to wine produced in that Party, to the authorisation of an oenological practice or process not listed for that Party in Appendix V with a view to agreeing a common approach.

2. A Party shall notify the other Party where, in relation to wine produced in that Party, it has authorised an oenological practice or process not listed for that Party in Appendix V.

3. The notification shall comprise:

(a) a description of oenological practice or process not listed for that Party in Appendix V; and

(b) a technical dossier justifying the authorisation of the oenologial practice or process in particular with regard to the requirements set out in Article 19.

4. During a period of 12 months beginning one month after the notification referred to in paragraph 2, and subject to Articles 20(3) and 21(2)(b), the other Party shall provisionally authorise the import and the marketing of wines originating in the notifying Party, which are produced in accordance with the oenological practice or process in question.

Article 19

Quality standards

Oenological practices and processes, other than those listed in Appendix V at the date of entry into force of this Agreement, used for the production of wine shall fulfil the following requirements:

(a) the protection of human health, which shall be based on scientific principles and not maintained without sufficient scientific evidence;

(b) the protection of the consumer against deceptive practices; and

(c) the respect of good oenological practice, in particular that the wine-making processes, treatments, and techniques authorised by the laws and regulations of each Party do not involve an unacceptable change in the composition of the product treated and ensure the preservation of the natural and essential characteristics of the wine while improving its quality.

Article 20

Safeguard

1. Within a period of twelve months from the notification by a Party referred to in Article 18(2), the other Party may oppose the acceptability of the notified oenological practice or process on the ground that it does not fulfil one or more of the requirements set out in Article 19. It may invoke the arbitration procedure set out in Article 23.

2. The arbitrators referred to in Article 23 shall make a determination as to whether the notified oenological practice or process fulfils the requirements set out in Article 19.

3. The Parties shall ensure that the determination as to whether the notified oenological practice or process fulfils the requirements set out in Article 19 is adopted with a view to, or with the effect of, not creating unnecesary obstacles to trade in wines.

4. Without prejudice to Article 21(2)(a), the provisional authorisation for the import and marketing of wines originating in the notifying Party produced in accordance with the oenological practice or process in question shall continue until the determination referred to in paragraph 2 is made.

Article 21

Modification of Appendix V

1. The Parties shall modify the relevant paragraph of Appendix V to add the oenological practice or process before the end of the period referred to in Article 18(4).

2. By way of derogation from paragraph 1, where a Party has invoked the safeguard provided for in Article 20, then:

(a) if the arbitrators determine that the notified oenological practice or process fulfils the requirements set out in Article 19, the Parties shall amend the relevant paragraph of Appendix V to add the oenological practice or process within three months of the date of such determination. The provisional authorisation for the import and marketing of wines originating in the notifying Party which are produced in accordance with the oenological practice or process in question shall continue until such amendment is made;

(b) if however, the arbitrators determine that the authorised or modified oenological practice or process does not fulfil the requirements set out in Article 19, then the provisional authorisation for the import and marketing of wines originating in the notifying Party which are produced in accordance with the oenological practice or process in question, as referred to in Article 18(4), shall cease from 14 days of the date of such determination. Such cessation shall not affect the continued applicability of Article 17(1) and (2) in relation to wine imported into the Parties before the date of such determination.

Article 22

Modification of oenological practices and processes

Articles 18 to 21 shall also apply in the case where a Party authorises a modification to an oenological practice or process listed in the relevant paragraph of Appendix V.

Article 23

Arbitration procedure on oenological practices and processes

1. Any disputes concerning the interpretation and application of the provisions of this Title shall be settled in accordance with the provisions of Title VIII of the Association Agreement, except as otherwise provided in this Article.

2. The Association Committee shall, no later than six months after the entry into force of this Agreement, establish a list of at least 15 individuals who are willing and able to serve as oenological arbitrators, a third of whom must not be nationals of either Party and be identified as chairperson of arbitration panels. The Association Committee shall ensure that the list always contains 15 individuals at any point in time. The individuals selected to act as chairperson of arbitration panels shall have the specialised knowledge or experience in law, international trade or in the resolution of disputes deriving from international trade agreements. Ten of the individuals shall have experience and knowledge in oenological practices, be independent, serve in their individual capacities and not be affiliated with, nor take instructions from, any Party or organisation and shall comply with the Code of Conduct set out in Annex XVI of the Association Agreement. Such list may be amended every three years.

3. Within three days of the request for an oenological arbitration procedure under Article 20(1), the three arbitrators shall be selected by lot by the chairperson of the Association Committee from the list referred to in paragraph 2, one among the individuals proposed to the Association Committee by the requesting Party, one among the individuals proposed to the Association Committee by the other Party and the chairperson among the individuals identified for that purpose under paragraph 2.

4. The terms of reference of the oenological arbitration panel shall be to determine whether the new oenological practice referred to it in the request made under paragraph 2 of Article 20 fulfils the requirements set out in Article 19.

5. The ruling of the arbitration panel shall be given no later than three months from the date of the request under Article 20(1). The ruling shall be final and publicly available.

TITLE III

IMPORT CERTIFICATION REQUIREMENTS

Article 24

Certification documents and analysis report

1. Each Party shall authorise the import of wines in accordance with the rules governing the import certification documents and analysis reports as provided for in Appendix VIII (Protocol).

2. Subject to the provisions of Article 25, each Party agrees not to submit the import of wine originating in the other Party to more restrictive import certification requirements than any of those introduced by this Agreement.

Article 25

Safeguard provision

1. The Parties reserve their rights to introduce temporary additional import certification requirements in response to legitimate concerns, such as health or consumer protection or in order to act against fraud. In this case, the other Party shall be given adequate information in sufficient time to permit the fulfilment of the additional requirements.

2. The Parties agree that such requirements shall not extend beyond the period of time necessary to respond to the particular concern in response to which they were introduced.

TITLE IV

SANITARY AND PHYTOSANITARY MEASURES

Article 26

Sanitary and phytosanitary measures

1. The provisions of this Agreement are without prejudice to the right of the Parties to apply sanitary and phytosanitary measures necessary for the protection of human, animal or plant life or health, provided that such measures are compatible with the provisions of the WTO SPS Agreement and of the Agreement on Sanitary and Phytosanitary Measures applicable to Trade in Animals and Animal Products, Plants, Plant Products and other Goods and Animal Welfare, set out in Annex IV of the Association Agreement.

2. Without prejudice to paragraph 1, each Party shall endeavour to inform the other Party under the procedures set out in Article 29 at the earliest reasonable opportunity of developments which could lead, in relation to wine marketed in that Party, to the adoption of such measures, especially those concerning the setting of specific limits on contaminants and residues with a view to agreeing a common approach.

TITLE V

MUTUAL ASSISTANCE BETWEEN CONTROL AUTHORITIES

Article 27

Enforcement authorities

1. Each Party shall designate the bodies to be responsible for the implementation of this Agreement. Where a Party designates more than one competent body, it shall ensure the coordination of the work of those bodies. For this purpose, a single liaison authority shall be designated.

2. The Parties shall inform one another of the names and addresses of the bodies and authorities referred to in paragraph 1 within two months after the entry into force of this Agreement. There shall be close and direct cooperation between those bodies.

3. The bodies and authorities referred to in paragraph 1 shall seek ways of improving assistance to each other in implementing this Agreement and combating fraudulent practices, in accordance with the respective Party's legislation.

Article 28

Enforcement activities

1. If one of the bodies or authorities designated in accordance with Article 27 has reason to suspect that:

(a) there is or has been a failure to comply with this Agreement or with provisions laid down in the laws and regulations of a Party in respect of a wine which is being or which has been traded between the Parties, and

(b) this failure to comply is of particular interest to the other Party and could result in the adoption of administrative measures or initiation of legal proceedings being taken,

it shall immediately inform the competent bodies and the liaison authority of the other Party.

2. The information to be provided in accordance with paragraph 1 shall be accompanied by official, commercial or other appropriate documents, as well as an indication of the administrative measures or legal proceedings to be taken or initiated, if necessary. The information shall include, in particular, the following details of the wine concerned:

(a) the producer and the legal or natural person who has power to dispose of the wine;

(b) the composition and organoleptic characteristics of the wine;

(c) the description and presentation of the wine; and

(d) details of the non-compliance with the rules concerning production and marketing.

TITLE VI

MANAGEMENT OF THE AGREEMENT

Article 29

Tasks of the Parties

1. The Parties shall, either directly or through the Joint Committee established pursuant to Article 30, maintain contact on all matters relating to the implementation and the functioning of this Agreement.

2. In particular, the Parties shall:

(a) amend the Appendices to take account of any amendments to the laws and regulations of the Parties;

(b) determine the practical conditions referred to in Articles 5(5) and 8(6);

(c) amend Appendices I or VIII in accordance with the provisions laid down in Title II;

(d) determine in Appendix VIII (Protocol) the specific modalities referred to in Article 17;

(e) amend Appendix VIII (Protocol) in order to determine the compositional and other product requirements referred to in Article 17;

(f) inform each other of the intention to decide on new regulations or amendments to existing regulations of concern to the wine sector, such as on health or consumer protection, with their implication for the wine sector; and

(g) notify each other legislative, administrative and judicial decisions concerning the implementation of this Agreement and inform each other of measures adopted on the basis of such decisions.

Article 30

Joint Committee

1. A Joint Committee is hereby established, consisting of representatives of the Parties. The Committee shall meet at the request of a Party and in accordance with the requirements for implementing this Agreement. The Committee shall meet alternately in the Community and in Chile convened at a time and place mutually agreed by the Parties.

2. The Joint Committee shall see to the proper functioning of this Agreement and examine all issues which may arise in its implementation.

3. In particular, the Joint Committee may make recommendations in furtherance of the objectives of this Agreement.

4. It shall facilitate contacts and exchange of information to optimise the functioning of this Agreement.

5. It shall put forward proposals on issues of mutual interest in the wine sector.

TITLE VII

GENERAL PROVISIONS

Article 31

Transit - small quantities

Titles I, II and III shall not apply to wines:

(a) that are in transit through a Party, or

(b) that originate in a Party and are consigned in small quantities between the Parties under the terms and conditions conforming to the procedures provided for in Appendix VIII (Protocol).

Article 32

Consultations

1. If a Party considers that the other Party has failed to fulfil an obligation under this Agreement, it shall submit a written notice to this effect to the other Party. This notice may request the other Party to hold consultations within a specified period.

2. The Party which requests consultations shall provide the other Party with all the information necessary for a detailed examination of the case in question.

3. In cases where a delay could endanger human health or impair the effectiveness of measures to control fraud, appropriate provisional protective measures may be taken, without prior consultation, provided that consultations are held as soon as possible after taking these measures.

4. If, following the consultations provided for in paragraphs 1 and 3, the Parties have not reached an agreement:

(a) the Party which has requested the consultations or adopted the measures referred to in paragraph 3 may take appropriate protective measures so as to permit the proper implementation of this Agreement;

(b) each Party may invoke the dispute settlement mechanism set out in Article 33.

Article 33

Dispute settlement

1. Any dispute relating to the implementation or interpretation of this Agreement, other than a dispute to be settled under Title II as set out in Article 23, shall be settled by recourse to the dispute settlement mechanism referred to in Part IV of the Association Agreement.

2. By way of derogation from Article 184 of the Association Agreement, where the Parties have held consultations under Article 23, the complaining Party may proceed directly to request the establishment of an arbitration panel.

Article 34

Marketing of pre-exisiting stocks

1. Wines which, at the date of or prior to the entry into force of this Agreement, have been produced, described and presented in accordance with the internal laws and regulations of the respective Party, but in a manner prohibited by this Agreement, may be marketed under the following conditions:

(a) where wine has been produced using one or more oenological practices or processes not referred to in Appendices V or VIII (Protocol), it may be marketed until stocks are exhausted;

(b) where products are described and labelled using geographical indications protected by this Agreement, they may continue to be marketed:

(i) by wholesalers or producers, for a period of three years;

(ii) by retailers, until stocks are exhausted.

2. Wines produced, described and presented in accordance with this Agreement whose description or presentation have ceased to conform to the Agreement following an amendment thereto may be marketed until stocks are exhausted, unless otherwise agreed by the Parties.

Article 35

Appendices

The Appendices to this Agreement shall form an integral part thereof.

Appendix I

(Referred to in Article 6)

GEOGRAPHICAL INDICATIONS OF WINES ORIGINATING IN THE COMMUNITY

I. WINES ORIGINATING IN THE FEDERAL REPUBLIC OF GERMANY

1. Quality wines produced in specified regions ("Qualitätswein bestimmter Anbaugebiete")

1.1. Names of specified regions

- Ahr

- Baden

- Franken

- Hessische Bergstraße

- Mittelrhein

- Mosel-Saar-Ruwer

- Nahe

- Pfalz

- Rheingau

- Rheinhessen

- Saale-Unstrut

- Sachsen

- Württemberg

1.2. Names of sub-regions, communes, parts of communes

1.2.1. Specified region Ahr

(a) Sub-region:

Bereich Walporzheim/Ahrtal

(b) Großlage:

Klosterberg

(c) Einzellagen:

Blume

Burggarten

Goldkaul

Hardtberg

Herrenberg

Laacherberg

Mönchberg

Pfaffenberg

Sonnenberg

Steinkaul

Übigberg

(d) Communes or parts of communes:

Ahrbrück

Ahrweiler

Altenahr

Bachem

Bad Neuenahr-Ahrweiler

Dernau

Ehlingen

Heimersheim

Heppingen

Lohrsdorf

Marienthal

Mayschoss

Neuenahr

Pützfeld

Rech

Reimerzhoven

Walporzheim

1.2.2. Specified region Hessische Bergstraße

(a) Sub-regions:

Bereich Starkenburg

Bereich Umstadt

(b) Großlagen:

Rott

Schlossberg

Wolfsmagen

(c) Einzellagen:

Eckweg

Fürstenlager

Guldenzoll

Hemsberg

Herrenberg

Höllberg

Kalkgasse

Maiberg

Paulus

Steingeröll

Steingerück

Steinkopf

Stemmler

Streichling

(d) Communes or parts of communes:

Alsbach

Bensheim

Bensheim-Auerbach

Bensheim-Schönberg

Dietzenbach

Erbach

Gross-Umstadt

Hambach

Heppenheim

Klein-Umstadt

Rossdorf

Seeheim

Zwingenberg

1.2.3. Specified region Mittelrhein

(a) Sub-regions:

Bereich Loreley

Bereich Siebengebirge

(b) Großlagen:

Burg-Hammerstein

Burg Rheinfels

Gedeonseck

Herrenberg

Lahntal

Loreleyfelsen

Marxburg

Petersberg

Schloss Reichenstein

Schloss Schönburg

Schloss Stahleck

(c) Einzellagen:

Brünnchen

Fürstenberg

Gartenlay

Klosterberg

Römerberg

Schloß Stahlberg

Sonne

St. Martinsberg

Wahrheit

Wolfshöhle

(d) Communes or parts of communes:

Ariendorf

Bacharach

Bacharach-Steeg

Bad Ems

Bad Hönningen

Boppard

Bornich

Braubach

Breitscheid

Brey

Damscheid

Dattenberg

Dausenau

Dellhofen

Dörscheid

Ehrenbreitstein

Ehrental

Ems

Engenhöll

Erpel

Fachbach

Filsen

Hamm

Hammerstein

Henschhausen

Hirzenach

Kamp-Bornhofen

Karthaus

Kasbach-Ohlenberg

Kaub

Kestert

Koblenz

Königswinter

Lahnstein

Langscheid

Leubsdorf

Leutesdorf

Linz

Manubach

Medenscheid

Nassau

Neurath

Niederburg

Niederdollendorf

Niederhammerstein

Niederheimbach

Nochern

Oberdiebach

Oberdollendorf

Oberhammerstein

Obernhof

Oberheimbach

Oberwesel

Osterspai

Patersberg

Perscheid

Rheinbreitbach

Rheinbrohl

Rheindiebach

Rhens

Rhöndorf

Sankt-Goar

Sankt-Goarshausen

Schloss Fürstenberg

Spay

Steeg

Trechtingshausen

Unkel

Urbar

Vallendar

Weinähr

Wellmich

Werlau

Winzberg

1.2.4. Specified region Mosel-Saar-Ruwer

(a) General:

Mosel

Moseltaler

Ruwer

Saar

(b) Sub-regions:

Bereich Bernkastel

Bereich Moseltor

Bereich Obermosel

Bereich Zell

Bereich Saar

Bereich Ruwertal

(c) Großlagen:

Badstube

Gipfel

Goldbäumchen

Grafschaft

Köningsberg

Kurfürstlay

Michelsberg

Münzlay

Nacktarsch

Probstberg

Römerlay

Rosenhang

Sankt Michael

Scharzlay

Scharzberg

Schwarze Katz

Vom heissem Stein

Weinhex

(d) Einzellagen:

Abteiberg

Adler

Altarberg

Altärchen

Altenberg

Annaberg

Apotheke

Auf der Wiltingerkupp

Blümchen

Bockstein

Brauneberg

Braunfels

Brüderberg

Bruderschaft

Burg Warsberg

Burgberg

Burglay

Burglay-Felsen

Burgmauer

Busslay

Carlsfelsen

Doctor

Domgarten

Domherrenberg

Edelberg

Elzhofberg

Engelgrube

Engelströpfchen

Euchariusberg

Falkenberg

Falklay

Felsenkopf

Fettgarten

Feuerberg

Frauenberg

Funkenberg

Geisberg

Goldgrübchen

Goldkupp

Goldlay

Goldtröpfchen

Grafschafter Sonnenberg

Großer Herrgott

Günterslay

Hahnenschrittchen

Hammerstein

Hasenberg

Hasenläufer

Held

Herrenberg

Herzchen

Himmelreich

Hirschlay

Hirtengarten

Hitzlay

Hofberger

Honigberg

Hubertusberg

Hubertuslay

Johannisbrünnchen

Juffer

Kapellchen

Kapellenberg

Kardinalsberg

Karlsberg

Kätzchen

Kehrnagel

Kirchberg

Kirchlay

Klosterberg

Klostergarten

Klosterkammer

Klosterlay

Klostersegen

Königsberg

Kreuzlay

Krone

Kupp

Kurfürst

Lambertuslay

Laudamusberg

Laurentiusberg

Lay

Leiterchen

Letterlay

Mandelgraben

Marienberg

Marienburg

Marienburger

Marienholz

Maximiner

Maximiner Burgberg

Maximiner

Meisenberg

Monteneubel

Moullay-Hofberg

Mühlenberg

Niederberg

Niederberg-Helden

Nonnenberg

Nonnengarten

Osterlämmchen

Paradies

Paulinsberg

Paulinslay

Pfirsichgarten

Quiriniusberg

Rathausberg

Rausch

Rochusfels

Römerberg

Römergarten

Römerhang

Römerquelle

Rosenberg

Rosenborn

Rosengärtchen

Rosenlay

Roterd

Sandberg

Schatzgarten

Scheidterberg

Schelm

Schießlay

Schlagengraben

Schleidberg

Schlemmertröpfchen

Schloß Thorner Kupp

Schloßberg

Sonnenberg

Sonnenlay

Sonnenuhr

St. Georgshof

St. Martin

St. Matheiser

Stefanslay

Steffensberg

Stephansberg

Stubener

Treppchen

Vogteiberg

Weisserberg

Würzgarten

Zellerberg

(e) Communes or parts of communes:

Alf

Alken

Andel

Avelsbach

Ayl

Bausendorf

Beilstein

Bekond

Bengel

Bernkastel-Kues

Beuren

Biebelhausen

Biewer

Bitzingen

Brauneberg

Bremm

Briedel

Briedern

Brodenbach

Bruttig-Fankel

Bullay

Burg

Burgen

Cochem

Cond

Detzem

Dhron

Dieblich

Dreis

Ebernach

Ediger-Eller

Edingen

Eitelsbach

Ellenz-Poltersdorf

Eller

Enkirch

Ensch

Erden

Ernst

Esingen

Falkenstein

Fankel

Fastrau

Fell

Fellerich

Filsch

Filzen

Fisch

Flussbach

Franzenheim

Godendorf

Gondorf

Graach

Grewenich

Güls

Hamm

Hatzenport

Helfant-Esingen

Hetzerath

Hockweiler

Hupperath

Igel

Irsch

Kaimt

Kanzem

Karden

Kasel

Kastel-Staadt

Kattenes

Kenn

Kernscheid

Kesten

Kinheim

Kirf

Klotten

Klüsserath

Kobern-Gondorf

Koblenz

Köllig

Kommlingen

Könen

Konz

Korlingen

Kövenich

Köwerich

Krettnach

Kreuzweiler

Kröv

Krutweiler

Kues

Kürenz

Langsur

Lay

Lehmen

Leiwen

Liersberg

Lieser

Löf

Longen

Longuich

Lorenzhof

Lörsch

Lösnich

Maring-Noviand

Maximin Grünhaus

Mehring

Mennig

Merl

Mertesdorf

Merzkirchen

Mesenich

Metternich

Metzdorf

Meurich

Minheim

Monzel

Morscheid

Moselkern

Moselsürsch

Moselweiss

Müden

Mühlheim

Neef

Nehren

Nennig

Neumagen-Dhron

Niederemmel

Niederfell

Niederleuken

Niedermennig

Nittel

Noviand

Oberbillig

Oberemmel

Oberfell

Obermennig

Oberperl

Ockfen

Olewig

Olkenbach

Onsdorf

Osann-Monzel

Palzem

Pellingen

Perl

Piesport

Platten

Pölich

Poltersdorf

Pommern

Portz

Pünderich

Rachtig

Ralingen

Rehlingen

Reil

Riol

Rivenich

Riveris

Ruwer

Saarburg

Scharzhofberg

Schleich

Schoden

Schweich

Sehl

Sehlem

Sehndorf

Sehnhals

Senheim

Serrig

Soest

Sommerau

St. Aldegund

Staadt

Starkenburg

Tarforst

Tawern

Temmels

Thörnich

Traben-Trarbach

Trarbach

Treis-Karden

Trier

Trittenheim

Ürzig

Valwig

Veldenz

Waldrach

Wasserliesch

Wawern

Wehlen

Wehr

Wellen

Wiltingen

Wincheringen

Winningen

Wintersdorf

Wintrich

Wittlich

Wolf

Zell

Zeltingen-Rachtig

Zewen-Oberkirch

1.2.5. Specified region Nahe

(a) Sub-region:

Bereich Nahetal

(b) Großlagen:

Burgweg

Kronenberg

Paradiesgarten

Pfarrgarten

Rosengarten

Schlosskapelle

Sonnenborn

(c) Einzellagen:

Abtei

Alte Römerstraße

Altenberg

Altenburg

Apostelberg

Backöfchen

Becherbrunnen

Berg

Bergborn

Birkenberg

Domberg

Drachenbrunnen

Edelberg

Felsenberg

Felseneck

Forst

Frühlingsplätzchen

Galgenberg

Graukatz

Herrenzehntel

Hinkelstein

Hipperich

Hofgut

Hölle

Höllenbrand

Höllenpfad

Honigberg

Hörnchen

Johannisberg

Kapellenberg

Karthäuser

Kastell

Katergrube

Katzenhölle

Klosterberg

Klostergarten

Königsgarten

Königsschloß

Krone

Kronenfels

Lauerweg

Liebesbrunnen

Löhrer Berg

Lump

Marienpforter

Mönchberg

Mühlberg

Narrenkappe

Nonnengarten

Osterhöll

Otterberg

Palmengarten

Paradies

Pastorei

Pastorenberg

Pfaffenstein

Ratsgrund

Rheingrafenberg

Römerberg

Römerhelde

Rosenberg

Rosenteich

Rothenberg

Saukopf

Schloßberg

Sonnenberg

Sonnenweg

Sonnenlauf

St. Antoniusweg

St. Martin

Steinchen

Steyerberg

Straußberg

Teufelsküche

Tilgesbrunnen

Vogelsang

Wildgrafenberg

(d) Communes or parts of communes:

Alsenz

Altenbamberg

Auen

Bad Kreuznach

Bad Münster-Ebernburg

Bayerfeld-Steckweiler

Bingerbrück

Bockenau

Boos

Bosenheim

Braunweiler

Bretzenheim

Burg Layen

Burgsponheim

Cölln

Dalberg

Desloch

Dorsheim

Duchroth

Ebernburg

Eckenroth

Feilbingert

Gaugrehweiler

Genheim

Guldental

Gutenberg

Hargesheim

Heddesheim

Hergenfeld

Hochstätten

Hüffelsheim

Ippesheim

Kalkofen

Kirschroth

Langenlonsheim

Laubenheim

Lauschied

Lettweiler

Mandel

Mannweiler-Cölln

Martinstein

Meddersheim

Meisenheim

Merxheim

Monzingen

Münster

Münster-Sarmsheim

Münsterappel

Niederhausen

Niedermoschel

Norheim

Nussbaum

Oberhausen

Obermoschel

Oberndorf

Oberstreit

Odernheim

Planig

Raumbach

Rehborn

Roxheim

Rüdesheim

Rümmelsheim

Schlossböckelheim

Schöneberg

Sobernheim

Sommerloch

Spabrücken

Sponheim

St. Katharinen

Staudernheim

Steckweiler

Steinhardt

Schweppenhausen

Traisen

Unkenbach

Wald Erbach

Waldalgesheim

Waldböckelheim

Waldhilbersheim

Waldlaubersheim

Wallhausen

Weiler

Weinsheim

Windesheim

Winterborn

Winzenheim

1.2.6. Specified region Rheingau

(a) Sub-region:

Bereich Johannisberg

(b) Großlagen:

Burgweg

Daubhaus

Deutelsberg

Erntebringer

Gottesthal

Heiligenstock

Honigberg

Mehrhölzchen

Steil

Steinmacher

(c) Einzellagen:

Dachsberg

Doosberg

Edelmann

Fuchsberg

Gutenberg

Hasensprung

Hendelberg

Herrnberg

Höllenberg

Jungfer

Kapellenberg

Kilzberg

Klaus

Kläuserweg

Klosterberg

Königin

Langenstück

Lenchen

Magdalenenkreuz

Marcobrunn

Michelmark

Mönchspfad

Nußbrunnen

Rosengarten

Sandgrub

Schönhell

Schützenhaus

Selingmacher

Sonnenberg

St. Nikolaus

Taubenberg

Viktoriaberg

(d) Communes or parts of communes:

Assmannshausen

Aulhausen

Böddiger

Eltville

Erbach

Flörsheim

Frankfurt

Geisenheim

Hallgarten

Hattenheim

Hochheim

Johannisberg

Kiedrich

Lorch

Lorchhausen

Mainz-Kostheim

Martinsthal

Massenheim

Mittelheim

Niederwalluf

Oberwalluf

Oestrich

Rauenthal

Reichartshausen

Rüdesheim

Steinberg

Vollrads

Wicker

Wiesbaden

Wiesbaden-Dotzheim

Wiesbaden-Frauenstein

Wiesbaden-Schierstein

Winkel

1.2.7. Specified region Rheinhessen

(a) Sub-regions:

Bereich Bingen

Bereich Nierstein

Bereich Wonnegau

(b) Großlagen:

Abtey

Adelberg

Auflangen

Bergkloster

Burg Rodenstein

Domblick

Domherr

Gotteshilfe

Güldenmorgen

Gutes Domtal

Kaiserpfalz

Krötenbrunnen

Kurfürstenstück

Liebfrauenmorgen

Petersberg

Pilgerpfad

Rehbach

Rheinblick

Rheingrafenstein

Sankt Rochuskapelle

Sankt Alban

Spiegelberg

Sybillinenstein

Vögelsgärten

(c) Einzellagen:

Adelpfad

Äffchen

Alte Römerstraße

Altenberg

Aulenberg

Aulerde

Bildstock

Binger Berg

Blücherpfad

Blume

Bockshaut

Bockstein

Bornpfad

Bubenstück

Bürgel

Daubhaus

Doktor

Ebersberg

Edle Weingärten

Eiserne Hand

Engelsberg

Fels

Felsen

Feuerberg

Findling

Frauenberg

Fraugarten

Frühmesse

Fuchsloch

Galgenberg

Geiersberg

Geisterberg

Gewürzgärtchen

Geyersberg

Goldberg

Goldenes Horn

Goldgrube

Goldpfad

Goldstückchen

Gottesgarten

Götzenborn

Hähnchen

Hasenbiß

Hasensprung

Haubenberg

Heil

Heiligenhaus

Heiligenpfad

Heilighäuschen

Heiligkreuz

Herrengarten

Herrgottspfad

Himmelsacker

Himmelthal

Hipping

Hoch

Hochberg

Hockenmühle

Hohberg

Hölle

Höllenbrand

Homberg

Honigberg

Horn

Hornberg

Hundskopf

Johannisberg

Kachelberg

Kaisergarten

Kallenberg

Kapellenberg

Katzebuckel

Kehr

Kieselberg

Kirchberg

Kirchenstück

Kirchgärtchen

Kirchplatte

Klausenberg

Kloppenberg

Klosterberg

Klosterbruder

Klostergarten

Klosterweg

Knopf

Königsstuhl

Kranzberg

Kreuz

Kreuzberg

Kreuzblick

Kreuzkapelle

Kreuzweg

Leckerberg

Leidhecke

Lenchen

Liebenberg

Liebfrau

Liebfrauenberg

Liebfrauenthal

Mandelbaum

Mandelberg

Mandelbrunnen

Michelsberg

Mönchbäumchen

Mönchspfad

Moosberg

Morstein

Nonnengarten

Nonnenwingert

Ölberg

Osterberg

Paterberg

Paterhof

Pfaffenberg

Pfaffenhalde

Pfaffenkappe

Pilgerstein

Rheinberg

Rheingrafenberg

Rheinhöhe

Ritterberg

Römerberg

Römersteg

Rosenberg

Rosengarten

Rotenfels

Rotenpfad

Rotenstein

Rotes Kreuz

Rothenberg

Sand

Sankt Georgen

Saukopf

Sauloch

Schelmen

Schildberg

Schloß

Schloßberg

Schloßberg-Schwätzerchen

Schloßhölle

Schneckenberg

Schönberg

Schützenhütte

Schwarzenberg

Schloß Hammerstein

Seilgarten

Silberberg

Siliusbrunnen

Sioner Klosterberg

Sommerwende

Sonnenberg

Sonnenhang

Sonnenweg

Sonnheil

Spitzberg

St. Annaberg

St. Julianenbrunnen

St. Georgenberg

St. Jakobsberg

Steig

Steig-Terassen

Stein

Steinberg

Steingrube

Tafelstein

Teufelspfad

Vogelsang

Wartberg

Wingertstor

Wißberg

Zechberg

Zellerweg am schwarzen Herrgott

(d) Communes or parts of communes:

Abenheim

Albig

Alsheim

Alzey

Appenheim

Armsheim

Aspisheim

Badenheim

Bechenheim

Bechtheim

Bechtolsheim

Bermersheim

Bermersheim vor der Höhe

Biebelnheim

Biebelsheim

Bingen

Bodenheim

Bornheim

Bretzenheim

Bubenheim

Budenheim

Büdesheim

Dalheim

Dalsheim

Dautenheim

Dexheim

Dienheim

Dietersheim

Dintesheim

Dittelsheim-Hessloch

Dolgesheim

Dorn-Dürkheim

Drais

Dromersheim

Ebersheim

Eckelsheim

Eich

Eimsheim

Elsheim

Engelstadt

Ensheim

Eppelsheim

Erbes-Büdesheim

Esselborn

Essenheim

Finthen

Flomborn

Flonheim

Flörsheim-Dalsheim

Framersheim

Freilaubersheim

Freimersheim

Frettenheim

Friesenheim

Fürfeld

Gabsheim

Gau-Algesheim

Gau-Bickelheim

Gau-Bischofsheim

Gau-Heppenheim

Gau-Köngernheim

Gau-Odernheim

Gau-Weinheim

Gaulsheim

Gensingen

Gimbsheim

Grolsheim

Gross-Winternheim

Gumbsheim

Gundersheim

Gundheim

Guntersblum

Hackenheim

Hahnheim

Hangen-Weisheim

Harxheim

Hechtsheim

Heidesheim

Heimersheim

Heppenheim

Herrnsheim

Hessloch

Hillesheim

Hohen-Sülzen

Horchheim

Horrweiler

Ingelheim

Jugenheim

Kempten

Kettenheim

Klein-Winterheim

Köngernheim

Kriegsheim

Laubenheim

Leiselheim

Lonsheim

Lörzweiler

Ludwigshöhe

Mainz

Mauchenheim

Mettenheim

Mölsheim

Mommenheim

Monsheim

Monzernheim

Mörstadt

Nack

Nackenheim

Neu-Bamberg

Nieder-Flörsheim

Nieder-Hilbersheim

Nieder-Olm

Nieder-Saulheim

Nieder-Wiesen

Nierstein

Ober-Flörsheim

Ober-Hilbersheim

Ober-Olm

Ockenheim

Offenheim

Offstein

Oppenheim

Osthofen

Partenheim

Pfaffen-Schwabenheim

Spiesheim

Sponsheim

Sprendlingen

Stadecken-Elsheim

Stein-Bockenheim

Sulzheim

Tiefenthal

Udenheim

Uelversheim

Uffhofen

Undenheim

Vendersheim

Volxheim

Wachenheim

Wackernheim

Wahlheim

Wallertheim

Weinheim

Weinolsheim

Weinsheim

Weisenau

Welgesheim

Wendelsheim

Westhofen

Wies-Oppenheim

Wintersheim

Wolfsheim

Wöllstein

Wonsheim

Worms

Wörrstadt

Zornheim

Zotzenheim

1.2.8. Specified region Pfalz

(a) Sub-regions:

Bereich Mittelhaardt Deutsche Weinstraße

Bereich südliche Weinstraße

(b) Großlagen:

Bischofskreuz

Feuerberg

Grafenstück

Guttenberg

Herrlich

Hochmess

Hofstück

Höllenpfad

Honigsäckel

Kloster

Liebfrauenberg

Kobnert

Königsgarten

Mandelhöhe

Mariengarten

Meerspinne

Ordensgut

Pfaffengrund

Rebstöckel

Rosenbühl

Schloss Ludwigshöhe

Schnepfenpflug vom Zellertal

Schnepfenpflug an der Weinstraße

Schwarzerde

Trappenberg

(c) Einzellagen:

Abtsberg

Altenberg

Altes Löhl

Baron

Benn

Berg

Bergel

Bettelhaus

Biengarten

Bildberg

Bischofsgarten

Bischofsweg

Bubeneck

Burgweg

Doktor

Eselsbuckel

Eselshaut

Forst

Frauenländchen

Frohnwingert

Fronhof

Frühmeß

Fuchsloch

Gässel

Geißkopf

Gerümpel

Goldberg

Gottesacker

Gräfenberg

Hahnen

Halde

Hasen

Hasenzeile

Heidegarten

Heilig Kreuz

Heiligenberg

Held

Herrenberg

Herrenmorgen

Herrenpfad

Herrgottsacker

Hochbenn

Hochgericht

Höhe

Hohenrain

Hölle

Honigsack

Im Sonnenschein

Johanniskirchel

Kaiserberg

Kalkgrube

Kalkofen

Kapelle

Kapellenberg

Kastanienbusch

Kastaniengarten

Kirchberg

Kirchenstück

Kirchlöh

Kirschgarten

Klostergarten

Klosterpfad

Klosterstück

Königswingert

Kreuz

Kreuzberg

Kroatenpfad

Kronenberg

Kurfirst

Latt

Lerchenböhl

Letten

Liebesbrunnen

Linsenbusch

Mandelberg

Mandelgarten

Mandelhang

Mandelpfad

Mandelröth

Maria Magdalena

Martinshöhe

Michelsberg

Münzberg

Musikantenbuckel

Mütterle

Narrenberg

Neuberg

Nonnengarten

Nonnenstück

Nußbien

Nußriegel

Oberschloß

Ölgassel

Oschelskopf

Osterberg

Paradies

Pfaffenberg

Reiterpfad

Rittersberg

Römerbrunnen

Römerstraße

Römerweg

Roßberg

Rosenberg

Rosengarten

Rosenkranz

Rosenkränzel

Roter Berg

Sauschwänzel

Schäfergarten

Schloßberg

Schloßgarten

Schwarzes Kreuz

Seligmacher

Silberberg

Sonnenberg

St. Stephan

Steinacker

Steingebiß

Steinkopf

Stift

Venusbuckel

Vogelsang

Vogelsprung

Wolfsberg

Wonneberg

Zchpeter

(d) Communes or parts of communes:

Albersweiler

Albisheim

Albsheim

Alsterweiler

Altdorf

Appenhofen

Asselheim

Arzheim

Bad Dürkheim

Bad Bergzabern

Barbelroth

Battenberg

Bellheim

Berghausen

Biedesheim

Billigheim

Billigheim-Ingenheim

Birkweiler

Bischheim

Bissersheim

Bobenheim am Berg

Böbingen

Böchingen

Bockenheim

Bolanden

Bornheim

Bubenheim

Burrweiler

Colgenstein-Heidesheim

Dackenheim

Dammheim

Deidesheim

Diedesfeld

Dierbach

Dirmstein

Dörrenbach

Drusweiler

Duttweiler

Edenkoben

Edesheim

Einselthum

Ellerstadt

Erpolzheim

Eschbach

Essingen

Flemlingen

Forst

Frankenthal

Frankweiler

Freckenfeld

Freimersheim

Freinsheim

Freisbach

Friedelsheim

Gauersheim

Geinsheim

Gerolsheim

Gimmeldingen

Gleisweiler

Gleiszellen-Gleishorbach

Göcklingen

Godramstein

Gommersheim

Gönnheim

Gräfenhausen

Gronau

Grossfischlingen

Grosskarlbach

Grossniedesheim

Grünstadt

Haardt

Hainfeld

Hambach

Harxheim

Hassloch

Heidesheim

Heiligenstein

Hergersweiler

Herxheim am Berg

Herxheim bei Landau

Herxheimweyher

Hessheim

Heuchelheim

Heuchelheim bei Frankental

Heuchelheim-Klingen

Hochdorf-Assenheim

Hochstadt

Ilbesheim

Immesheim

Impflingen

Ingenheim

Insheim

Kallstadt

Kandel

Kapellen

Kapellen-Drusweiler

Kapsweyer

Kindenheim

Kirchheim an der Weinstraße

Kirchheimbolanden

Kirrweiler

Kleinfischlingen

Kleinkarlbach

Kleinniedesheim

Klingen

Klingenmünster

Knittelsheim

Knöringen

Königsbach an der Weinstraße

Lachen/Speyerdorf

Lachen

Landau in der Pfalz

Laumersheim

Lautersheim

Leinsweiler

Leistadt

Lustadt

Maikammer

Marnheim

Mechtersheim

Meckenheim

Mertesheim

Minfeld

Mörlheim

Morschheim

Mörzheim

Mühlheim

Mühlhofen

Mussbach an der Weinstraße

Neuleiningen

Neustadt an der Weinstraße

Niederhorbach

Niederkirchen

Niederotterbach

Niefernheim

Nussdorf

Oberhausen

Oberhofen

Oberotterbach

Obersülzen

Obrigheim

Offenbach

Ottersheim/Zellerthal

Ottersheim

Pleisweiler

Pleisweiler-Oberhofen

Queichheim

Ranschbach

Rechtenbach

Rhodt

Rittersheim

Rödersheim-Gronau

Rohrbach

Römerberg

Roschbach

Ruppertsberg

Rüssingen

Sausenheim

Schwegenheim

Schweigen

Schweigen-Rechtenbach

Schweighofen

Siebeldingen

Speyerdorf

St. Johann

St. Martin

Steinfeld

Steinweiler

Stetten

Ungstein

Venningen

Vollmersweiler

Wachenheim

Walsheim

Weingarten

Weisenheim am Berg

Weyher in der Pfalz

Winden

Zeiskam

Zell

Zellertal

1.2.9. Specified region Franken

(a) Sub-regions:

Bereich Bayerischer Bodensee

Bereich Maindreieck

Bereich Mainviereck

Bereich Steigerwald

(b) Großlagen:

Burgweg

Ewig Leben

Heiligenthal

Herrenberg

Hofrat

Honigberg

Kapellenberg

Kirchberg

Markgraf Babenberg

Ölspiel

Ravensburg

Renschberg

Rosstal

Schild

Schlossberg

Schlosstück

Teufelstor

(c) Einzellagen:

Abtsberg

Abtsleite

Altenberg

Benediktusberg

Berg

Berg-Rondell

Bischofsberg

Burg Hoheneck

Centgrafenberg

Cyriakusberg

Dabug

Dachs

Domherr

Eselsberg

Falkenberg

Feuerstein

First

Fischer

Fürstenberg

Glatzen

Harstell

Heiligenberg

Heroldsberg

Herrgottsweg

Herrenberg

Herrschaftsberg

Himmelberg

Hofstück

Hohenbühl

Höll

Homburg

Johannisberg

Julius-Echter-Berg

Kaiser Karl

Kalb

Kalbenstein

Kallmuth

Kapellenberg

Karthäuser

Katzenkopf

Kelter

Kiliansberg

Kirchberg

Königin

Krähenschnabel

Kreuzberg

Kronsberg

Küchenmeister

Lämmerberg

Landsknecht

Langenberg

Lump

Mainleite

Marsberg

Maustal

Paradies

Pfaffenberg

Ratsherr

Reifenstein

Rosenberg

Scharlachberg

Schloßberg

Schwanleite

Sommertal

Sonnenberg

Sonnenleite

Sonnenschein

Sonnenstuhl

St. Klausen

Stein

Stein/Harfe

Steinbach

Stollberg

Storchenbrünnle

Tannenberg

Teufel

Teufelskeller

Trautlestal

Vögelein

Vogelsang

Wachhügel

Weinsteig

Wölflein

Zehntgaf

(d) Communes or parts of communes:

Abtswind

Adelsberg

Adelshofen

Albertheim

Albertshofen

Altmannsdorf

Alzenau

Arnstein

Aschaffenburg

Aschfeld

Astheim

Aub

Aura an der Saale

Bad Windsheim

Bamberg

Bergrheinfeld

Bergtheim

Bibergau

Bieberehren

Bischwind

Böttigheim

Breitbach

Brück

Buchbrunn

Bullenheim

Bürgstadt

Castell

Dampfach

Dettelbach

Dietersheim

Dingolshausen

Donnersdorf

Dorfprozelten

Dottenheim

Düttingsfeld

Ebelsbach

Eherieder Mühle

Eibelstadt

Eichenbühl

Eisenheim

Elfershausen

Elsenfeld

Eltmann

Engelsberg

Engental

Ergersheim

Erlabrunn

Erlasee

Erlenbach bei Marktheidenfeld

Erlenbach am Main

Eschau

Escherndorf

Euerdorf

Eussenheim

Fahr

Falkenstein

Feuerthal

Frankenberg

Frankenwinheim

Frickenhausen

Fuchstadt

Gädheim

Gaibach

Gambach

Gerbrunn

Germünden

Gerolzhofen

Gnötzheim

Gössenheim

Grettstadt

Greussenheim

Greuth

Grossheubach

Grosslangheim

Grossostheim

Grosswallstadt

Güntersleben

Haidt

Hallburg

Hammelburg

Handthal

Hassfurt

Hassloch

Heidingsfeld

Helmstadt

Hergolshausen

Herlheim

Herrnsheim

Hesslar

Himmelstadt

Höchberg

Hoheim

Hohenfeld

Höllrich

Holzkirchen

Holzkirchhausen

Homburg am Main

Hösbach

Humprechtsau

Hundelshausen

Hüttenheim

Ickelheim

Iffigheim

Ingolstadt

Iphofen

Ippesheim

Ipsheim

Kammerforst

Karlburg

Karlstadt

Karsbach

Kaubenheim

Kemmern

Kirchschönbach

Kitzingen

Kleinheubach

Kleinlangheim

Kleinochsenfurt

Klingenberg

Knetzgau

Köhler

Kolitzheim

Königsberg in Bayern

Krassolzheim

Krautheim

Kreuzwertheim

Krum

Külsheim

Laudenbach

Leinach

Lengfeld

Lengfurt

Lenkersheim

Lindac

Lindelbach

Lülsfeld

Machtilshausen

Mailheim

Mainberg

Mainbernheim

Mainstockheim

Margetshöchheim

Markt Nordheim

Markt Einersheim

Markt Erlbach

Marktbreit

Marktheidenfeld

Marktsteft

Martinsheim

Michelau

Michelbach

Michelfeld

Miltenberg

Mönchstockheim

Mühlbach

Mutzenroth

Neubrunn

Neundorf

Neuses am Berg

Neusetz

Nordheim am Main

Obereisenheim

Oberhaid

Oberleinach

Obernau

Obernbreit

Oberntief

Oberschleichach

Oberschwappach

Oberschwarzach

Obervolkach

Ochsenfurt

Ottendorf

Pflaumheim

Possenheim

Prappach

Prichsenstadt

Prosselsheim

Ramsthal

Randersacker

Remlingen

Repperndorf

Retzbach

Retzstadt

Reusch

Riedenheim

Rimbach

Rimpar

Rödelsee

Rossbrunn

Rothenburg ob der Tauber

Rottenberg

Rottendorf

Röttingen

Rück

Rüdenhausen

Rüdisbronn

Rügshofen

Saaleck

Sand am Main

Schallfeld

Scheinfeld

Schmachtenberg

Schnepfenbach

Schonungen

Schwanfeld

Schwarzach

Schwarzenau

Schweinfurt

Segnitz

Seinsheim

Sickershausen

Sommerach

Sommerau

Sommerhausen

Staffelbach

Stammheim

Steigerwald

Steinbach

Stetten

Sugenheim

Sulzfeld

Sulzheim

Sulzthal

Tauberrettersheim

Tauberzell

Theilheim

Thüngen

Thüngersheim

Tiefenstockheim

Tiefenthal

Traustadt

Triefenstein

Trimberg

Uettingen

Uffenheim

Ullstadt

Unfinden

Unterdürrbach

Untereisenheim

Unterhaid

Unterleinach

Veitshöchheim

Viereth

Vogelsburg

Vögnitz

Volkach

Waigolshausen

Waigolsheim

Walddachsbach

Wasserlos

Wässerndorf

Weigenheim

Weiher

Weilbach

Weimersheim

Wenigumstadt

Werneck

Westheim

Wiebelsberg

Wiesenbronn

Wiesenfeld

Wiesentheid

Willanzheim

Winterhausen

Wipfeld

Wirmsthal

Wonfurt

Wörth am Main

Würzburg

Wüstenfelden

Wüstenzell

Zeil am Main

Zeilitzheim

Zell am Ebersberg

Zell am Main

Zellingen

Ziegelanger

1.2.10. Specified region Württemberg

(a) Sub-regions:

Bereich Württembergischer Bodensee

Bereich Kocher-Jagst-Tauber

Bereich Oberer Neckar

Bereich Remstal-Stuttgart

Bereich Württembergisch Unterland

(b) Großlagen:

Heuchelberg

Hohenneuffen

Kirchenweinberg

Kocherberg

Kopf

Lindauer Seegarten

Lindelberg

Salzberg

Schalkstein

Schozachtal

Sonnenbühl

Stautenberg

Stromberg

Tauberberg

Wartbühl

Weinsteige

Wunnenstein

(c) Einzellagen:

Altenberg

Berg

Burgberg

Burghalde

Dachsberg

Dachsteiger

Dezberg

Dieblesberg

Eberfürst

Felsengarten

Flatterberg

Forstberg

Goldberg

Grafenberg

Halde

Harzberg

Heiligenberg

Herrlesberg

Himmelreich

Hofberg

Hohenberg

Hoher Berg

Hundsberg

Jupiterberg

Kaiserberg

Katzenbeißer

Katzenöhrle

Kayberg

Kirchberg

Klosterberg

König

Kriegsberg

Kupferhalde

Lämmler

Lichtenberg

Liebenberg

Margarete

Michaelsberg

Mönchberg

Mönchsberg

Mühlbächer

Neckarhälde

Paradies

Propstberg

Ranzenberg

Rappen

Reichshalde

Rozenberg

Sankt Johännser

Schafsteige

Schanzreiter

Schelmenklinge

Schenkenberg

Scheuerberg

Schloßberg

Schloßsteige

Schmecker

Schneckenhof

Sommerberg

Sommerhalde

Sonnenberg

Sonntagsberg

Steinacker

Steingrube

Stiftsberg

Wachtkopf

Wanne

Wardtberg

Wildenberg

Wohlfahrtsberg

Wurmberg

Zweifelsberg

(d) Communes or parts of communes:

Abstatt

Adolzfurt

Affalterbach

Affaltrach

Aichelberg

Aichwald

Allmersbach

Aspach

Asperg

Auenstein

Baach

Bad Mergentheim

Bad Friedrichshall

Bad Cannstatt

Beihingen

Beilstein

Beinstein

Belsenberg

Bensingen

Besigheim

Beuren

Beutelsbach

Bieringen

Bietigheim

Bietigheim-Bissingen

Bissingen

Bodolz

Bönnigheim

Botenheim

Brackenheim

Brettach

Bretzfeld

Breuningsweiler

Bürg

Burgbronn

Cleebronn

Cleversulzbach

Creglingen

Criesbach

Degerloch

Diefenbach

Dimbach

Dörzbach

Dürrenzimmern

Duttenberg

Eberstadt

Eibensbach

Eichelberg

Ellhofen

Elpersheim

Endersbach

Ensingen

Enzweihingen

Eppingen

Erdmannhausen

Erlenbach

Erligheim

Ernsbach

Eschelbach

Eschenau

Esslingen

Fellbach

Feuerbach

Flein

Forchtenberg

Frauenzimmern

Freiberg am Neckar

Freudenstein

Freudenthal

Frickenhausen

Gaisburg

Geddelsbach

Gellmersbach

Gemmrigheim

Geradstetten

Gerlingen

Grantschen

Gronau

Grossbottwar

Grossgartach

Grossheppach

Grossingersheim

Grunbach

Güglingen

Gündelbach

Gundelsheim

Haagen

Haberschlacht

Häfnerhaslach

Hanweiler

Harsberg

Hausen an der Zaber

Hebsack

Hedelfingen

Heilbronn

Hertmannsweiler

Hessigheim

Heuholz

Hirschau

Hof und Lembach

Hofen

Hoheneck

Hohenhaslach

Hohenstein

Höpfigheim

Horkheim

Horrheim

Hösslinsülz

Illingen

Ilsfeld

Ingelfingen

Ingersheim

Kappishäusern

Kernen

Kesselfeld

Kirchberg

Kirchheim

Kleinaspach

Kleinbottwar

Kleingartach

Kleinheppach

Kleiningersheim

Kleinsachsenheim

Klingenberg

Knittlingen

Kohlberg

Korb

Kressbronn/Bodensee

Künzelsau

Langenbeutingen

Laudenbach

Lauffen

Lehrensteinsfeld

Leingarten

Leonbronn

Lienzingen

Lindau

Linsenhofen

Löchgau

Löwenstein

Ludwigsburg

Maienfels

Marbach/Neckar

Markelsheim

Markgröningen

Massenbachhausen

Maulbronn

Meimsheim

Metzingen

Michelbach am Wald

Möckmühl

Mühlacker

Mühlhausen an der Enz

Mülhausen

Mundelsheim

Münster

Murr

Neckarsulm

Neckarweihingen

Neckarwestheim

Neipperg

Neudenau

Neuenstadt am Kocher

Neuenstein

Neuffen

Neuhausen

Neustadt

Niederhofen

Niedernhall

Niederstetten

Nonnenhorn

Nordhausen

Nordheim

Oberderdingen

Oberohrn

Obersöllbach

Oberstenfeld

Oberstetten

Obersulm

Obertürkheim

Ochsenbach

Ochsenburg

Oedheim

Offenau

Öhringen

Ötisheim

Pfaffenhofen

Pfedelbach

Poppenweiler

Ravensburg

Reinsbronn

Remshalden

Reutlingen

Rielingshausen

Riet

Rietenau

Rohracker

Rommelshausen

Rosswag

Rotenberg

Rottenburg

Sachsenheim

Schluchtern

Schnait

Schöntal

Schorndorf

Schozach

Schützingen

Schwabbach

Schwaigern

Siebeneich

Siglingen

Spielberg

Steinheim

Sternenfels

Stetten im Remstal

Stetten am Heuchelberg

Stockheim

Strümpfelbach

Stuttgart

Sülzbach

Taldorf

Talheim

Tübingen

Uhlbach

Untereisesheim

Untergruppenbach

Unterheimbach

Unterheinriet

Unterjesingen

Untersteinbach

Untertürkheim

Vaihingen

Verrenberg

Vorbachzimmern

Waiblingen

Waldbach

Walheim

Wangen

Wasserburg

Weikersheim

Weiler bei Weinsberg

Weiler an der Zaber

Weilheim

Weinsberg

Weinstadt

Weissbach

Wendelsheim

Wermutshausen

Widdern

Willsbach

Wimmental

Windischenbach

Winnenden

Winterbach

Winzerhausen

Wurmlingen

Wüstenrot

Zaberfeld

Zuffenhausen

1.2.11. Specified region Baden

(a) Sub-regions:

Bereich Badische Bergstraße

Bereich Badisches Frankenland

Bereich Bodensee

Bereich Breisgau

Bereich Kaiserstuhl

Bereich Kraichgau

Bereich Tuniberg

Bereich Markgräflerland

Bereich Ortenau

(b) Großlagen:

Attilafelsen

Burg Lichteneck

Burg Neuenfels

Burg Zähringen

Fürsteneck

Hohenberg

Lorettoberg

Mannaberg

Rittersberg

Schloss Rodeck

Schutterlindenberg

Stiftsberg

Tauberklinge

Vogtei Rötteln

Vulkanfelsen

(c) Einzellagen:

Abtsberg

Alte Burg

Altenberg

Alter Gott

Baßgeige

Batzenberg

Betschgräbler

Bienenberg

Bühl

Burggraf

Burgstall

Burgwingert

Castellberg

Eckberg

Eichberg

Engelsberg

Engelsfelsen

Enselberg

Feuerberg

Fohrenberg

Gänsberg

Gestühl

Haselstaude

Hasenberg

Henkenberg

Herrenberg

Herrenbuck

Herrenstück

Hex von Dasenstein

Himmelreich

Hochberg

Hummelberg

Kaiserberg

Kapellenberg

Käsleberg

Katzenberg

Kinzigtäler

Kirchberg

Klepberg

Kochberg

Kreuzhalde

Kronenbühl

Kuhberg

Lasenberg

Lerchenberg

Lotberg

Maltesergarten

Mandelberg

Mühlberg

Oberdürrenberg

Oelberg

Ölbaum

Ölberg

Pfarrberg

Plauelrain

Pulverbuck

Rebtal

Renchtäler

Rosenberg

Roter Berg

Rotgrund

Schäf

Scheibenbuck

Schloßberg

Schloßgarten

Silberberg

Sommerberg

Sonnenberg

Sonnenstück

Sonnhalde

Sonnhohle

Sonnhole

Spiegelberg

St. Michaelsberg

Steinfelsen

Steingässle

Steingrube

Steinhalde

Steinmauer

Sternenberg

Teufelsburg

Ulrichsberg

Weingarten

Weinhecke

Winklerberg

Wolfhag

(d) Communes or parts of communes:

Achern

Achkarren

Altdorf

Altschweier

Amoltern

Auggen

Bad Bellingen

Bad Rappenau

Bad Krozingen

Bad Mingolsheim

Bad Mergentheim

Baden-Baden

Badenweiler

Bahlingen

Bahnbrücken

Ballrechten-Dottingen

Bamlach

Bauerbach

Beckstein

Berghaupten

Berghausen

Bermatingen

Bermersbach

Berwangen

Bickensohl

Biengen

Bilfingen

Binau

Binzen

Bischoffingen

Blankenhornsberg

Blansingen

Bleichheim

Bodmann

Bollschweil

Bombach

Bottenau

Bötzingen

Breisach

Britzingen

Broggingen

Bruchsal

Buchholz

Buggingen

Bühl

Bühlertal

Burkheim

Dainbach

Dattingen

Denzlingen

Dertingen

Diedesheim

Dielheim

Diersburg

Diestelhausen

Dietlingen

Dittigheim

Dossenheim

Durbach

Dürrn

Eberbach

Ebringen

Efringen-Kirchen

Egringen

Ehrenstetten

Eichelberg

Eichstetten

Eichtersheim

Eimeldingen

Eisental

Eisingen

Ellmendingen

Elsenz

Emmendingen

Endingen

Eppingen

Erlach

Ersingen

Erzingen

Eschbach

Eschelbach

Ettenheim

Feldberg

Fessenbach

Feuerbach

Fischingen

Flehingen

Freiburg

Friesenheim

Gailingen

Gemmingen

Gengenbach

Gerlachsheim

Gissigheim

Glottertal

Gochsheim

Gottenheim

Grenzach

Großrinderfeld

Großsachsen

Grötzingen

Grunern

Hagnau

Haltingen

Haslach

Hassmersheim

Hecklingen

Heidelberg

Heidelsheim

Heiligenzell

Heimbach

Heinsheim

Heitersheim

Helmsheim

Hemsbach

Herbolzheim

Herten

Hertingen

Heuweiler

Hilsbach

Hilzingen

Hochburg

Hofweier

Höhefeld

Hohensachsen

Hohenwettersbach

Holzen

Horrenberg

Hügelheim

Hugsweier

Huttingen

Ihringen

Immenstaad

Impfingen

Istein

Jechtingen

Jöhlingen

Kappelrodeck

Karlsruhe-Durlach

Kembach

Kenzingen

Kiechlinsbergen

Kippenhausen

Kippenheim

Kirchardt

Kirchberg

Kirchhofen

Kleinkems

Klepsau

Klettgau

Köndringen

Königheim

Königschaffhausen

Königshofen

Konstanz

Kraichtal

Krautheim

Külsheim

Kürnbach

Lahr

Landshausen

Langenbrücken

Lauda

Laudenbach

Lauf

Laufen

Lautenbach

Lehen

Leimen

Leiselheim

Leutershausen

Liel

Lindelbach

Lipburg

Lörrach

Lottstetten

Lützelsachsen

Mahlberg

Malsch

Mauchen

Meersburg

Mengen

Menzingen

Merdingen

Merzhausen

Michelfeld

Mietersheim

Mösbach

Mühlbach

Mühlhausen

Müllheim

Münchweier

Mundingen

Münzesheim

Munzingen

Nack

Neckarmühlbach

Neckarzimmern

Nesselried

Neudenau

Neuenbürg

Neuershausen

Neusatz

Neuweier

Niedereggenen

Niederrimsingen

Niederschopfheim

Niederweiler

Nimburg

Nordweil

Norsingen

Nussbach

Nussloch

Oberachern

Oberacker

Oberbergen

Obereggenen

Obergrombach

Oberkirch

Oberlauda

Oberöwisheim

Oberrimsingen

Oberrotweil

Obersasbach

Oberschopfheim

Oberschüpf

Obertsrot

Oberuhldingen

Oberweier

Odenheim

Ödsbach

Offenburg

Ohlsbach

Opfingen

Ortenberg

Östringen

Ötlingen

Ottersweier

Paffenweiler

Rammersweier

Rauenberg

Rechberg

Reichenau

Reichenbach

Reichholzheim

Renchen

Rettigheim

Rheinweiler

Riedlingen

Riegel

Ringelbach

Ringsheim

Rohrbach am Gisshübel

Rotenberg

Rümmingen

Sachsenflur

Salem

Sasbach

Sasbachwalden

Schallbach

Schallstadt

Schelingen

Scherzingen

Schlatt

Schliengen

Schmieheim

Schriesheim

Seefelden

Sexau

Singen

Sinsheim

Sinzheim

Söllingen

Stadelhofen

Staufen

Steinbach

Steinenstadt

Steinsfurt

Stetten

Stettfeld

Sulz

Sulzbach

Sulzburg

Sulzfeld

Tairnbach

Tannenkirch

Tauberbischofsheim

Tiefenbach

Tiengen

Tiergarten

Tunsel

Tutschfelden

Überlingen

Ubstadt

Ubstadt-Weiler

Uissigheim

Ulm

Untergrombach

Unteröwisheim

Unterschüpf

Varnhalt

Wagenstadt

Waldangelloch

Waldulm

Wallburg

Waltershofen

Walzbachtal

Wasenweiler

Weiher

Weil

Weiler

Weingarten

Weinheim

Weisenbach

Weisloch

Welmlingen

Werbach

Wertheim

Wettelbrunn

Wildtal

Wintersweiler

Wittnau

Wolfenweiler

Wollbach

Wöschbach

Zaisenhausen

Zell-Weierbach

Zeutern

Zungweier

Zunzingen

(e) Others:

Affental/Affentaler

Badisch Rotgold

Ehrentrudis

1.2.12. Specified region Saale-Unstrut

(a) Sub-regions:

Bereich Schloß Neuenburg

Bereich Thüringen

(b) Großlagen:

Blütengrund

Göttersitz

Kelterberg

Schweigenberg

(c) Einzellagen:

Hahnenberg

Mühlberg

Rappental

(d) Communes or parts of communes:

Bad Sulza

Bad Kösen

Burgscheidungen

Domburg

Dorndorf

Eulau

Freyburg

Gleina

Goseck

Großheringen

Großjena

Gröst

Höhnstedt

Jena

Kaatschen

Kalzendorf

Karsdorf

Kirchscheidungen

Klosterhäseler

Langenbogen

Laucha

Löbaschütz

Müncheroda

Naumburg

Nebra

Neugönna

Reinsdorf

Rollsdorf

Roßbach

Schleberoda

Schulpforte

Seeburg

Spielberg

Steigra

Vitzenburg

Weischütz

Weißenfels

Werder/Havel

Zeuchfeld

Zscheiplitz

1.2.13. Specified region Sachsen

(a) Sub-regions:

Bereich Dresden

Bereich Elstertal

Bereich Meißen

(b) Großlagen:

Elbhänge

Lößnitz

Schloßweinberg

Spaargebirge

(c) Einzellagen:

Kapitelberg

Heinrichsburg

(d) Communes or parts of communes:

Belgern

Jessen

Kleindröben

Meißen

Merbitz

Ostritz

Pesterwitz

Pillnitz

Proschwitz

Radebeul

Schlieben

Seußlitz

Weinböhla

1.2.14. Other names

Liebfraumilch

Liebfrauenmilch

2. Table wines bearing a geographical indication

Ahrtaler Landwein

Altrheingauer Landwein

Bayerischer Bodensee-Landwein

Fränkischer Landwein

Landwein der Ruwer

Landwein der Saar

Landwein der Mosel

Mitteldeutscher Landwein

Nahegauer Landwein

Pfälzer Landwein

Regensburger Landwein

Rheinburgen-Landwein

Rheingauer Landwein

Rheinischer Landwein

Saarländischer Landwein der Mosel

Sächsischer Landwein

Schwäbischer Landwein

Starkenburger Landwein

Südbadischer Landwein

Taubertäler Landwein

Unterbadischer Landwein

II. WINES ORIGINATING IN THE FRENCH REPUBLIC

1. Quality wines produced in specified regions ("vin de qualité produit dans une région déterminée")

1.1. Names of specified regions

1.1.1. Alsace and other eastern regions

1.1.1.1. Appellations d'origine contrôlées

Alsace

Alsace, followed by a vineyard name ("lieu-dit"):

- Altenberg de Bergbieten

- Altenberg de Bergheim

- Altenberg de Wolxheim

- Brand

- Bruderthal

- Eichberg

- Engelberg

- Florimont

- Frankstein

- Froehn

- Furstentum

- Geisberg

- Gloeckelberg

- Goldert

- Hatschbourg

- Hengst

- Kanzlerberg

- Kastelberg

- Kessler

- Kirchberg de Barr

- Kirchberg de Ribeauvillé

- Kitterlé

- Mambourg

- Mandelberg

- Marckrain

- Moenchberg

- Muenchberg

- Ollwiller

- Osterberg

- Pfersigberg

- Pfingstberg

- Praelatenberg

- Rangen

- Rosacker

- Saering

- Schlossberg

- Schoenenbourg

- Sommerberg

- Sonnenglanz

- Spiegel

- Sporen

- Steingrubler

- Steinert

- Steinklotz

- Vorbourg

- Wiebelsberg

- Wineck-Schlossberg

- Winzenberg

- Zinnkoepflé

- Zotzenberg

Côtes de Toul

1.1.1.2. Vins délimités de qualité supérieure

Moselle

1.1.2. Champagne region

1.1.2.1. Appellations d'origine contrôlées

Champagne

Coteaux Champenois

Riceys

1.1.3. Burgundy region

1.1.3.1. Appellations d'origine contrôlées

Aloxe-Corton

Auxey-Duresses

Bâtard-Montrachet

Beaujolais

Beaujolais, followed by the commune of origin:

- Arbuisonnas

- Beaujeu

- Blacé

- Cercié

- Chânes

- Charentay

- Chenas

- Chiroubles

- Denicé

- Durette

- Emeringes

- Fleurie

- Juliénas

- Jullié

- La Chapelle-de-Guinchay

- Lancié

- Lantignié

- Le Perréon

- Les Ardillats

- Leynes

- Marchampt

- Montmelas

- Odenas

- Pruzilly

- Quincié

- Regnié

- Rivolet

- Romanèche

- Saint-Amour-Bellevue

- Saint-Etienne-des-Ouillères

- Saint-Etienne-la-Varenne

- Saint-Julien

- Saint-Lager

- Saint-Symphorien-d'Ancelles

- Saint-Vérand

- Salles

- Vaux

- Vauxrenard

- Villié Morgon

Beaujolais-Villages

Beaune

Bienvenues Bâtard-Montrachet

Blagny

Bonnes Mares

Bourgogne

Bourgogne Aligoté

Bourgogne or Bourgogne Clairet, followed or not by the name of the sub-region:

- Côte Chalonnaise

- Côtes d'Auxerre

- Hautes-Côtes de Beaune

- Hautes-Côtes de Nuits

- Vézélay

Bourgogne or Bourgogne Clairet, followed or not by the commune of origin:

- Chitry

- Coulanges-la-Vineuse

- Epineuil

- Irancy

Bourgogne or Bourgogne Clairet, followed or not by:

- Côte Saint-Jacques

- En Montre-Cul

- La Chapelle Notre-Dame

- Le Chapitre

- Montrecul

- Montre-cul

Bouzeron

Brouilly

Chablis

Chablis, followed or not by "Climat d'origine":

- Blanchot

- Bougros

- Les Clos

- Grenouilles

- Preuses

- Valmur

- Vaudésir

Chablis, followed or not by "Climat d'origine" or one of the following expressions:

- Mont de Milieu

- Montée de Tonnerre

- Chapelot

- Pied d'Aloup

- Côte de Bréchain

- Fourchaume

- Côte de Fontenay

- L'Homme mort

- Vaulorent

- Vaillons

- Chatains

- Séchers

- Beugnons

- Les Lys

- Mélinots

- Roncières

- Les Epinottes

- Montmains

- Forêts

- Butteaux

- Côte de Léchet

- Beauroy

- Troesmes

- Côte de Savant

- Vau Ligneau

- Vau de Vey

- Vaux Ragons

- Vaucoupin

- Vosgros

- Vaugiraut

- Les Fourneaux

- Morein

- Côte des Près-Girots

- Côte de Vaubarousse

- Berdiot

- Chaume de Talvat

- Côte de Jouan

- Les Beauregards

- Côte de Cuissy

Chambertin

Chambertin Clos de Bèze

Chambolle-Musigny

Chapelle-Chambertin

Charlemagne

Charmes-Chambertin

Chassagne-Montrachet

Chassagne-Montrachet Côte de Beaune

Chenas

Chevalier-Montrachet

Chiroubles

Chorey-lès-Beaune

Chorey-lès-Beaune Côte de Beaune

Clos de la Roche

Clos des Lambrays

Clos de Tart

Clos de Vougeot

Clos Saint-Denis

Corton

Corton-Charlemagne

Côte de Beaune

Côte de Beaune-Villages

Côte de Brouilly

Côte de Nuits-Villages

Côte Roannaise

Criots Bâtard-Montrachet

Echezeaux

Fixin

Fleurie

Gevrey-Chambertin

Givry

Grands Echezeaux

Griotte-Chambertin

Juliénas

La Grande Rue

Ladoix

Ladoix Côte de Beaune

Latricières-Chambertin

Mâcon

Mâcon-Villages

Mâcon, followed by the commune of origin:

- Azé

- Berzé-la-Ville

- Berzé-le-Chatel

- Bissy-la-Mâconnaise

- Burgy

- Bussières

- Chaintres

- Chânes

- Chardonnay

- Charnay-lès-Mâcon

- Chasselas

- Chevagny-lès-Chevrières

- Clessé

- Crèches-sur-Saône

- Cruzilles

- Davayé

- Fuissé

- Grévilly

- Hurigny

- Igé

- La Chapelle-de-Guinchay

- La Roche Vineuse

- Leynes

- Loché

- Lugny

- Milly-Lamartine

- Montbellet

- Peronne

- Pierreclos

- Prissé

- Pruzilly

- Romanèche-Thorins

- Saint-Amour-Bellevue

- Saint-Gengoux-de-Scissé

- Saint-Symphorien-d'Ancelles

- Saint-Vérand

- Sologny

- Solutré-Pouilly

- Uchizy

- Vergisson

- Verzé

- Vinzelles

- Viré

Maranges, followed or not by "climat d'origine" or one of the following expressions:

- Clos de la Boutière

- La Croix Moines

- La Fussière

- Le Clos des Loyères

- Le Clos des Rois

- Les Clos Roussots

Maranges Côte de Beaune

Marsannay

Mazis-Chambertin

Mazoyères-Chambertin

Mercurey

Meursault

Meursault Côte de Beaune

Montagny

Monthélie

Monthélie Côte de Beaune

Montrachet

Morey-Saint-Denis

Morgon

Moulin-à-Vent

Musigny

Nuits

Nuits-Saint-Georges

Pernand-Vergelesses

Pernand-Vergelesses Côte de Beaune

Petit Chablis, followed or not by the commune of origin:

- Beine

- Béru

- Chablis

- La Chapelle-Vaupelteigne

- Chemilly-sur-Serein

- Chichée

- Collan

- Courgis

- Fleys

- Fontenay

- Lignorelles

- Ligny-le-Châtel

- Maligny

- Poilly-sur-Serein

- Préhy

- Saint-Cyr-les-Colons

- Villy

- Viviers

Pommard

Pouilly-Fuissé

Pouilly-Loché

Pouilly-Vinzelles

Puligny-Montrachet

Puligny-Montrachet Côte de Beaune

Régnié

Richebourg

Romanée (La)

Romanée Conti

Romanée Saint-Vivant

Ruchottes-Chambertin

Rully

Saint-Amour

Saint-Aubin

Saint-Aubin Côte de Beaune

Saint-Romain

Saint-Romain Côte de Beaune

Saint-Véran

Santenay

Santenay Côte de Beaune

Savigny-lès-Beaune

Savigny-lès-Beaune Côte de Beaune

Tâche (La)

Vaupulent

Vin Fin de la Côte de Nuits

Volnay

Volnay Santenots

Vosne-Romanée

Vougeot

1.1.3.2. Vins délimités de qualité supérieure

Côtes du Forez

Saint Bris

1.1.4. Jura and Savoie regions

1.1.4.1. Appellations d'origine contrôlées

Arbois

Arbois Pupillin

Château Châlon

Côtes du Jura

Coteaux du Lyonnais

Crépy

Jura

L'Etoile

Macvin du Jura

Savoie, followed by the expression:

- Abymes

- Apremont

- Arbin

- Ayze

- Bergeron

- Chautagne

- Chignin

- Chignin Bergeron

- Cruet

- Frangy

- Jongieux

- Marignan

- Marestel

- Marin

- Monterminod

- Monthoux

- Montmélian

- Ripaille

- St-Jean de la Porte

- St-Jeoire Prieuré

Seyssel

1.1.4.2. Vins délimités de qualité supérieure

Bugey

Bugey, Bugey, followed by the name of one of the following "cru":

- Anglefort

- Arbignieu

- Cerdon

- Chanay

- Lagnieu

- Machuraz

- Manicle

- Montagnieu

- Virieu-le-Grand

1.1.5. Côtes du Rhône region

1.1.5.1. Appellations d'origine contrôlées

Beaumes-de-Venise

Château Grillet

Châteauneuf-du-Pape

Châtillon-en-Diois

Condrieu

Cornas

Côte Rôtie

Coteaux de Die

Coteaux de Pierrevert

Coteaux du Tricastin

Côtes du Lubéron

Côtes du Rhône

Côtes du Rhône Villages

Côtes du Rhône Villages, followed by the commune of origin:

- Beaumes de Venise

- Cairanne

- Chusclan

- Laudun

- Rasteau

- Roaix

- Rochegude

- Rousset-les-Vignes

- Sablet

- Saint-Gervais

- Saint-Maurice

- Saint-Pantaléon-les-Vignes

- Séguret

- Valréas

- Vinsobres

- Visan

Côtes du Ventoux

Crozes-Hermitage

Crozes Ermitage

Die

Ermitage

Gigondas

Hermitage

Lirac

Saint-Joseph

Saint-Péray

Tavel

Vacqueyras

1.1.5.2. Vins délimités de qualité supérieure

Côtes du Vivarais

Côtes du Vivarais, followed by the name of one of the following "cru":

- Orgnac-l'Aven

- Saint-Montant

- Saint-Remèze

1.1.6. Provence and Corsica regions

1.1.6.1. Appellations d'origine contrôlées

Ajaccio

Bandol

Bellet

Cap Corse

Cassis

Corse, followed or not by:

- Calvi

- Coteaux du Cap-Corse

- Figari

- Sartène

- Porto Vecchio

Coteaux d'Aix-en-Provence

Les-Baux-de-Provence

Coteaux Varois

Côtes de Provence

Palette

Patrimonio

Provence

1.1.7. Languedoc-Roussillon region

1.1.7.1. Appellations d'origine contrôlées

Banyuls

Bellegarde

Cabardès

Collioure

Corbières

Costières de Nîmes

Coteaux du Languedoc

Coteaux du Languedoc Picpoul de Pinet

Coteaux du Languedoc, whether or not accompanied by one of the following names:

- Cabrières

- Coteaux de La Méjanelle

- Coteaux de Saint-Christol

- Coteaux de Vérargues

- La Clape

- La Méjanelle

- Montpeyroux

- Pic-Saint-Loup

- Quatourze

- Saint-Christol

- Saint-Drézéry

- Saint-Georges-d'Orques

- Saint-Saturnin

- Vérargues

Côtes du Roussillon

Côtes du Roussillon Villages

Côtes du Roussillon Villages Caramany

Côtes du Roussillon Villages Latour de France

Côtes du Roussillon Villages Lesquerde

Côtes du Roussillon Villages Tautavel

Faugères

Fitou

Frontignan

Languedoc, followed or not by the commune of origin:

- Adissan

- Aspiran

- Le Bosc

- Cabrières

- Ceyras

- Fontès

- Grand Roussillon

- Lieuran-Cabrières

- Nizas

- Paulhan

- Péret

- Saint-André-de-Sangonis

Limoux

Lunel

Maury

Minervois

Minervois-la-Livinière

Mireval

Saint-Jean-de-Minervois

Rivesaltes

Roussillon

Saint-Chinian

1.1.7.2. Vins délimités de qualité supérieure

Côtes de la Malepère

1.1.8. South-west region

1.1.8.1. Appellations d'origine contrôlées

Béarn

Béarn-Bellocq

Bergerac

Buzet

Cahors

Côtes de Bergerac

Côtes de Duras

Côtes du Frontonnais

Côtes du Frontonnais Fronton

Côtes du Frontonnais Villaudric

Côtes du Marmandais

Côtes de Montravel

Floc de Gascogne

Gaillac

Gaillac Premières Côtes

Haut-Montravel

Irouléguy

Jurançon

Madiran

Marcillac

Monbazillac

Montravel

Pacherenc du Vic-Bilh

Pécharmant

Rosette

Saussignac

1.1.8.2. Vins délimités de qualité supérieure

Côtes de Brulhois

Côtes de Millau

Côtes de Saint-Mont

Tursan

Entraygues

Estaing

Fel

Lavilledieu

1.1.9. Bordeaux region

1.1.9.1. Appellations d'origine contrôlées

Barsac

Blaye

Bordeaux

Bordeaux Clairet

Bordeaux Côtes de Francs

Bordeaux Haut-Benauge

Bourg

Bourgeais

Côtes de Bourg

Cadillac

Cérons

Côtes Canon-Fronsac

Canon-Fronsac

Côtes de Blaye

Côtes de Bordeaux Saint-Macaire

Côtes de Castillon

Entre-Deux-Mers

Entre-Deux-Mers Haut-Benauge

Fronsac

Graves

Graves de Vayres

Haut-Médoc

Lalande de Pomerol

Listrac-Médoc

Loupiac

Lussac Saint-Emilion

Margaux

Médoc

Montagne Saint-Emilion

Moulis

Moulis-en-Médoc

Néac

Pauillac

Pessac-Léognan

Pomerol

Premières Côtes de Blaye

Premières Côtes de Bordeaux

Premières Côtes de Bordeaux, followed by the commune of origin:

- Bassens

- Baurech

- Béguey

- Bouliac

- Cadillac

- Cambes

- Camblanes

- Capian

- Carbon blanc

- Cardan

- Carignan

- Cenac

- Cenon

- Donzac

- Floirac

- Gabarnac

- Haux

- Latresne

- Langoiran

- Laroque

- Le Tourne

- Lestiac

- Lormont

- Monprimblanc

- Omet

- Paillet

- Quinsac

- Rions

- Saint-Caprais-de-Bordeaux

- Sainte-Eulalie

- Saint-Germain-de-Graves

- Saint-Maixant

- Semens

- Tabanac

- Verdelais

- Villenave de Rions

- Yvrac

Puisseguin Saint-Emilion

Sainte-Croix-du-Mont

Saint-Emilion

Saint-Estèphe

Sainte-Foy Bordeaux

Saint-Georges Saint-Emilion

Saint-Julien

Sauternes

1.1.10. Val de Loire region

1.1.10.1. Appellations d'origine contrôlées

Anjou

Anjou Coteaux de la Loire

Anjou-Villages

Anjou-Villages Brissac

Blanc Fumé de Pouilly

Bourgueil

Bonnezeaux

Cheverny

Chinon

Coteaux de l'Aubance

Coteaux du Giennois

Coteaux du Layon

Coteaux du Layon, followed by the commune of origin:

- Beaulieu-sur Layon

- Faye-d'Anjou

- Rablay-sur-Layon

- Rochefort-sur-Loire

- Saint-Aubin-de-Luigné

- Saint-Lambert-du-Lattay

Coteaux du Layon Chaume

Coteaux du Loir

Coteaux de Saumur

Cour-Cheverny

Jasnières

Loire

Menetou Salon, whether or not followed by the commune of origin:

- Aubinges

- Menetou-Salon

- Morogues

- Parassy

- Pigny

- Quantilly

- Saint-Céols

- Soulangis

- Vignoux-sous-les-Aix

- Humbligny

Montlouis

Muscadet

Muscadet Coteaux de la Loire

Muscadet Sèvre-et-Maine

Muscadet Côtes de Grandlieu

Pouilly-sur-Loire

Pouilly Fumé

Quarts-de-Chaume

Quincy

Reuilly

Sancerre

Saint-Nicolas-de-Bourgueil

Saumur

Saumur Champigny

Savennières

Savennières-Coulée-de-Serrant

Savennières-Roche-aux-Moines

Touraine

Touraine Azay-le-Rideau

Touraine Amboise

Touraine Mesland

Val de Loire

Vouvray

1.1.10.2. Vins délimités de qualité supérieure:

Châteaumeillant

Côteaux d'Ancenis

Coteaux du Vendômois

Côtes d'Auvergne, whether or not followed by the commune of origin:

- Boudes

- Chanturgue

- Châteaugay

- Corent

- Madargue

Fiefs-Vendéens, which must be followed by one of the following names:

- Brem

- Mareuil

- Pissotte

- Vix

Gros Plant du Pays Nantais

Haut Poitou

Orléanais

Saint-Pourçain

Thouarsais

Valençay

1.1.11. Cognac region

1.1.11.1. Appellation d'origine contrôlée

Charentes

2. "Vins de pays", described by the name of a production area

Vin de pays de l'Agenais

Vin de pays d'Aigues

Vin de pays de l'Ain

Vin de pays de l'Allier

Vin de pays d'Allobrogie

Vin de pays des Alpes de Haute-Provence

Vin de pays des Alpes Maritimes

Vin de pays de l'Ardailhou

Vin de pays de l'Ardèche

Vin de pays d'Argens

Vin de pays de l'Ariège

Vin de pays de l'Aude

Vin de pays de l'Aveyron

Vin de pays des Balmes dauphinoises

Vin de pays de la Bénovie

Vin de pays du Bérange

Vin de pays de Bessan

Vin de pays de Bigorre

Vin de pays des Bouches du Rhône

Vin de pays du Bourbonnais

Vin de pays de Cassan

Vin de pays Catalan

Vin de pays de Caux

Vin de pays de Cessenon

Vin de pays des Cévennes

Vin de pays des Cévennes "Mont Bouquet"

Vin de pays Charentais

Vin de pays Charentais "Ile de Ré"

Vin de pays Charentais "Ile d'Oléron"

Vin de pays Charentais "Saint-Sornin"

Vin de pays de la Charente

Vin de pays des Charentes-Maritimes

Vin de pays du Cher

Vin de pays de la Cité de Carcassonne

Vin de pays des Collines de la Moure

Vin de pays des Collines rhodaniennes

Vin de pays du Comté de Grignan

Vin de pays du Comté tolosan

Vin de pays des Comtés rhodaniens

Vin de pays de Corrèze

Vin de pays de la côte Vermeille

Vin de pays des coteaux charitois

Vin de pays des coteaux d'Enserune

Vin de pays des coteaux de Besilles

Vin de pays des coteaux de Cèze

Vin de pays des coteaux de Coiffy

Vin de pays des coteaux Flaviens

Vin de pays des coteaux de Fontcaude

Vin de pays des coteaux de Glanes

Vin de pays des coteaux de l'Ardèche

Vin de pays des coteaux de l'Auxois

Vin de pays des coteaux de la Cabrerisse

Vin de pays des coteaux de Laurens

Vin de pays des coteaux de Miramont

Vin de pays des coteaux de Murviel

Vin de pays des coteaux de Narbonne

Vin de pays des coteaux de Peyriac

Vin de pays des coteaux des Baronnies

Vin de pays des coteaux des Fenouillèdes

Vin de pays des coteaux du Cher et de l'Arnon