52001PC0146

Proposal for a COUNCIL DECISION on the conclusion of the Interim Agreement between the European Community, of the one part, and the former Yugoslav Republic of Macedonia, of the other part

(presented by the Commission)

EXPLANATORY MEMORANDUM

1. The attached Proposal for a Council Decision constitutes the legal instrument for the conclusion of the Interim Agreement between the European Community, on the one part, and former Yugoslav Republic of Macedonia, on the other part.

2. The former Yugoslav Republic of Macedonia's relations with the European Community were covered by the Co-operation Agreement which was signed by Exchange of letters in April 1997 and entered into force on 1/1/1998. An Agreement between the European Community and the former Yugoslav republic of Macedonia in the field of transport is in force since 28/11/1997. A Textiles agreement is in force since 1/1/1997 (preferential access to EC market).

The trade chapter and trade related provisions of the Co-operation Agreement have been suspended on 1st December 2000, to allow the application of the more favourable trade measures granted by the Council Regulation 2007/2000, as amended by Council Regulation (EC) 2563/2000 of 20 November 2000.

3. In accordance with Council negotiating directives adopted on 24 January 2000 the Commission concluded on 24 November 2000 the negotiations for a Stabilisation and Association Agreement with the former Yugoslav Republic of Macedonia. The SAA was signed by Exchange of letters on [10th April 2001 in Luxembourg] [1] and it is now waiting for ratification from Parliaments of Member States and the Parliament of the former Yugoslav Republic of Macedonia for entering into force.

[1] The conclusion of the Interim Agreement is conditional on the signature of the Stabilisation and Association Agreement, which is planned to take place in Luxembourg, on 10th April 2001. In order to save time and have the Interim Agreement in force as soon as possible, the two procedures have been launched in parallel.

4. Waiting for ratification of all Parliaments of the SAA, the Commission, in accordance with the negotiating directives, and Article 128 of the SAA itself, is proposing to conclude an Interim Agreement to allow the trade and trade-related matters of the SAA to enter into force upon signature.

5. The Interim Agreement will replace the trade provisions of the Co-operation Agreement between the European Community and the former Yugoslav Republic of Macedonia. The more favourable trade concessions granted by Council Regulation 2007/2000 of 18 September (as amended by Council Regulation (EC) 2563/2000 of 20 November 2000) will continue to apply, in parallel to the Interim Agreement. Relations in inland transport will continue to be covered by the Transport Agreement between the European Community and the former Yugoslav Republic of Macedonia.

6. The Commission, having proceeded to the initialling of the proposed Interim Agreement, asks the Council to approve the results of the negotiations, and to engage the procedures aimed at the conclusion of this agreement on the basis of the attached proposal.

7. In line with the above the Commission requests the Council to conclude the Interim Agreement on behalf of the EC.

2001/0079 (ACC)

Proposal for a COUNCIL DECISION on the conclusion of the Interim Agreement between the European Community, of the one part, and the former Yugoslav Republic of Macedonia, of the other part

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Article 133 in conjunction with Article 300, second paragraph, first indent, first sentence, and Article 300, third paragraph, first sentence thereof;

Having regard to the proposal from the Commission

Whereas

(1) pending the entry into force of the Stabilisation and Association Agreement between the European Communities and their Member States, of the one part, and the former Yugoslav Republic of Macedonia, of the other part, signed [Luxembourg on 10 April 2001], it is necessary to approve the Interim Agreement on trade and trade - related measures between the European Community and the former Yugoslav Republic of Macedonia;

(2) the commercial provisions contained in this agreement are of an exceptional nature, connected with the policy implemented within the framework of the stabilisation and association process and will not constitute, for the European Union, any precedent in the commercial policy of the Community with regard to third countries other than those of the Western Balkans,

(3) this Agreement should therefore be approved on behalf of the European Community;

HAS DECIDED AS FOLLOWS:

Article 1

The Interim Agreement between the European Community, of the one part, and the former Yugoslav Republic of Macedonia, of the other part, the Annexes and Protocols annexed thereto and the declarations attached to the Final Act are hereby approved on behalf of the European Community. The texts referred to in the first sentence are attached to this Decision.

Article 2

The President of the Council is hereby authorised to designate the persons empowered, on behalf of the European Community, to deposit the act of notification provided for in Article 50 of the Agreement.

Done at Brussels,

For the Council

The President

INTERIM AGREEMENT

on trade and trade-related matters between the European Communities of the one part, and the former Yugoslav Republic of Macedonia, of the other part

THE EUROPEAN COMMUNITY,

hereinafter referred to as the 'Community',

of the one part, and

THE FORMER YUGOSLAV REPUBLIC OF MACEDONIA,

of the other part,

WHEREAS

(1) the Stabilisation and Association Agreement between the European Communities and its Member States of the one part, and the former Yugoslav Republic of Macedonia of the other part, was signed by way of Exchange of Letters in [Luxembourg on 10 April 2001] [2]

[2] To be confirmed

(2) the Stabilisation and Association Agreement is intended to establish a close and lasting relationship based on reciprocity and mutual interest, which should allow the former Yugoslav Republic of Macedonia to further strengthen and extend the already established relationship;

(3) it is necessary to ensure the development of trade links by strengthening and widening the relations established previously, notably by the Co-operation Agreement signed on 29 April 1997 by way of Exchange of Letters, which entered into force on 1 January 1998.

(4) to this end it is necessary to implement as speedily as possible, by means of an Interim Agreement, provisions of the Stabilisation and Association Agreement on trade and trade related matters;

(5) it is necessary to ensure that pending the entry into force of the Stabilisation and Association Agreement and the establishment of the Stabilisation and Association Council, the Co-operation Council set up by the Co-operation Agreement can exercise the powers assigned by the Stabilisation and Association Agreement to the Stabilisation and Association Council, which are necessary in order to implement the Interim Agreement;

HAVE DECIDED to conclude this Agreement and to this end have designated as their plenipotentiaries:

THE EUROPEAN COMMUNITY

- [ Presidency to designate the representative]

- Chris Patten, Member of the European Commission

THE FORMER YUGOSLAV REPUBLIC OF MACEDONIA

- [ to be designated]

WHO, having exchanged their full powers, found in good and due form,

HAVE AGREED AS FOLLOWS:

TITLE I GENERAL PRINCIPLES

Article1 (SAA 2)

Respect for the democratic principles and human rights as proclaimed in the Universal Declaration of Human Rights and as defined in the Helsinki Final Act and the Charter of Paris for a New Europe, respect for international law principles and the rule of law as well as the principles of market economy as reflected in the Document of the CSCE Bonn Conference on Economic Co-operation, shall form the basis of the domestic and external policies of the Parties and constitute essential elements of this Agreement.

TITLE II FREE MOVEMENT OF GOODS

Article 2 (SAA 15)

1. The Community and the former Yugoslav Republic of Macedonia shall gradually establish a free trade area over a period lasting a maximum of ten years starting from the entry into force of this Agreement in accordance with the provisions of this Agreement and in conformity with those of the GATT 1994 and the WTO. In so doing they shall take into account the specific requirements laid down hereinafter.

2. The Combined Nomenclature of goods shall be applied to the classification of goods in trade between the two Parties.

3. For each product the basic duty to which the successive reductions set out in this Agreement are to be applied shall be the duty actually applied erga omnes on the day preceding the signature of this Agreement.

4. If, after the signature of this Agreement, any tariff reduction is applied on an erga omnes basis, in particular reductions resulting from the tariff negotiations in the WTO, such reduced duties shall replace the basic duty referred to in paragraph 3 as from the date when such reductions are applied.

5. The Community and the former Yugoslav Republic of Macedonia shall communicate to each other their respective basic duties.

CHAPTER I INDUSTRIAL PRODUCTS

Article 3 (SAA 16)

1. The provisions of this Chapter shall apply to products originating in the Community or the former Yugoslav Republic of Macedonia listed in Chapters 25 to 97 of the Combined Nomenclature, with the exception of the products listed in Annex I. I, (ii) of the Agreement on agriculture (GATT 1994)

2. The provisions of Articles 4 and 5 shall neither apply to textile products nor to steel products, as specified in Articles 9 and 10.

3. Trade between the Parties in products covered by the Treaty establishing the European Atomic Energy Community shall be conducted in accordance with the provisions of that Treaty.

Article 4 (SAA 17)

1. Customs duties on imports into the Community of products originating in the former Yugoslav Republic of Macedonia shall be abolished upon the entry into force of this Agreement.

2. Quantitative restrictions on imports into the Community and measures having equivalent effect shall be abolished on the date of entry into force of this Agreement with regard to products originating in the former Yugoslav Republic of Macedonia.

Article 5 (SAA 18)

1. Customs duties on imports into the Former Yugoslav Republic of Macedonia of goods originating in the Community other than those listed in Annexes I and II shall be abolished upon the entry into force of this Agreement.

2. Customs duties on imports into the former Yugoslav Republic of Macedonia of goods originating in the Community which are listed in Annex I shall be progressively reduced in accordance with the following timetable:

- on 1 January of the first year after the entry into force of the Agreement each duty shall be reduced to 90% of the basic duty;

- on 1 January of the second year after the entry into force of the Agreement each duty shall be reduced to 80% of the basic duty;

- on 1 January of the third year after the entry into force of the Agreement each duty shall be reduced to 70% of the basic duty;

- on 1 January of the fourth year after the entry into force of the Agreement each duty shall be reduced to 60% of the basic duty;

- on 1 January of the fifth year after the entry into force of the Agreement each duty shall be reduced to 50% of the basic duty;

- on 1 January of the sixth year after the entry into force of the Agreement each duty shall be reduced to 40% of the basic duty;

- on 1 January of the seventh year after the entry into force of the Agreement each duty shall be reduced to 30% of the basic duty;

- on 1 January of the eighth year after the entry into force of the Agreement each duty shall be reduced to 20% of the basic duty;

- on 1 January of the ninth year after the entry into force of the Agreement each duty shall be reduced to 10% of the basic duty;

- on 1 January of the tenth year after the entry into force of the Agreement the remaining duties shall be abolished.

3. Customs duties on imports into the former Yugoslav Republic of Macedonia of goods originating in the Community which are listed in Annex II shall be progressively reduced and eliminated in accordance with the timetable specified in the Annex.

4. Quantitative restrictions on imports into the former Yugoslav Republic of Macedonia of goods originating in the Community and measures having equivalent effect shall be abolished upon the date of entry into force of this Agreement.Article 6 (SAA 19)

The Community and the former Yugoslav Republic of Macedonia shall abolish upon the entry into force of this Agreement in trade between themselves any charges having an effect equivalent to customs duties on imports.

Article 7 (SAA 20)

1. The Community and the former Yugoslav Republic of Macedonia shall abolish any customs duties on exports and charges having equivalent effect upon the entry into force of this Agreement.

2. The Community and the former Yugoslav Republic of Macedonia shall abolish between themselves any quantitative restrictions on exports and measures having equivalent effect upon the entry into force of this Agreement.

Article 8 (SAA21)

The former Yugoslav Republic of Macedonia declares its readiness to reduce its customs duties in trade with the Community more rapidly than is provided for in Article 5 if its general economic situation and the situation of the economic sector concerned so permit.

The Cooperation Council shall make recommendations to this effect.

Article 9(SAA 22)

Protocol 1 lays down the arrangements applicable to the textile products referred to therein.

Article 10 (SAA 23)

Protocol 2 lays down the arrangements applicable to steel products referred to therein.

CHAPTER II AGRICULTURE AND FISHERIES

Article 11(SAA 24) Definition

1. The provisions of this Chapter shall apply to trade in agricultural and fishery products originating in the Community or former Yugoslav Republic of Macedonia.

2. The term ''agricultural and fishery products" refers to the products listed in Chapters 1 to 24 of the Combined Nomenclature and the products listed in Annex I , I, (ii) of the Agreement on agriculture (GATT, 1994).

3. This definition includes fish and fisheries products covered by chapter 3, headings 1604 and 1605, and sub-headings 0511 91, 2301 20 00 and ex 1902 20 [3]

[3] Ex 1902 20 is 'stuffed pasta containing more than 20% by weight of fish, crustaceans, molluscs or other aquatic invertebrates'

Article 12 (SAA 25)

Protocol 3 lays down the trade arrangements for processed agricultural products that are listed therein.

Article 13 (SAA 26)

1. On the date of entry into force of this Agreement, the Community shall abolish all quantitative restrictions and measures having equivalent effect, on imports of agricultural and fishery products originating in the former Yugoslav Republic of Macedonia.

2. On the date of entry into force of this Agreement, the former Yugoslav Republic of Macedonia shall abolish all quantitative restrictions and measures having equivalent effect, on imports of agricultural and fishery products originating in the Community.

Article 14 (SAA 27) Agricultural products

1. From the date of entry into force of this Agreement, the Community shall abolish the customs duties and charges having equivalent effect, on imports of agricultural products originating in the former Yugoslav Republic of Macedonia, other than those of heading Nos 0102, 0201, 0202 and 2204 of the Combined Nomenclature.

For the products covered by Chapters 7 and 8 of the Combined Nomenclature, for which the Common Customs Tariff provides for the application of ad valorem customs duties and a specific customs duty, the elimination applies only to the ad valorem part of the duty.

2. From the date of entry into force of this Agreement, the Community shall fix the customs duties applicable to imports into the Community of «baby-beef » products defined in Annex IIIand originating in the former Yugoslav Republic of Macedonia, at 20% of the ad valorem duty and 20% of the specific duty as laid down in the Common Customs Tariff of the European Communities, within the limit of an annual tariff quota of 1.650 tonnes expressed in carcass weight.

3. From the date of entry into force of this Agreement, the Former Yugoslav Republic of Macedonia shall:

(a) abolish the customs duties applicable on imports of certain agricultural products originating in the Community, listed in Annex IV (a) ;

(b) abolish the customs duties applicable on imports of certain agricultural products originating in the Community, listed in Annex IV (b) within the limits of tariff quotas indicated for each product in that Annex. For the quantities exceeding the tariff quotas the Former Yugoslav Republic of Macedonia shall reduce progressively the customs duties in accordance with the timetable indicated for each product in that Annex;

(c) reduce progressively the customs duties applicable on imports of certain agricultural products originating in the Community, listed in Annex IV (c) within the limits of tariff quotas and in accordance with the timetable indicated for each product in that Annex.

4. The trade arrangements to apply to wine and spirit products will be defined in a separate wine and spirit agreement .

Article 15 (SAA 28) Fisheries products

1. From the entry into force of this Agreement the Community shall totally eliminate customs duties on fish and fisheries products originating in the Former Yugoslav Republic of Macedonia. Products listed in Annex V (a) shall be subject to the provisions laid down therein.

2. From the entry into force of this Agreement the Former Yugoslav Republic of Macedonia shall abolish all charges having an equivalent effect to a custom duty and reduce customs duties on fish and fisheries products originating in the European Community by 50% of the MFN duty. The residual duties shall be reduced over a period of six years to be eliminated at the end of this period.

The rules contained in this paragraph shall not apply to products listed in Annex V (b) which shall be subject to tariff reductions laid down in the said Annex.

Article 16 ( SAA 29)

1. Taking account of the volume of trade in agricultural and fishery products between the Parties, of their particular sensitivities, of the rules of the Community common policies for agriculture and fisheries, of the rules of the agricultural policies of the Former Yugoslav Republic of Macedonia, of the role of agriculture in Former Yugoslav Republic of Macedonia's economy, of the production and export potential of its traditional branches and markets and of the consequences of the multilateral trade negotiations under the WTO, the Community and Former Yugoslav Republic of Macedonia shall examine in the Cooperation Council, no later than 1st January 2003, product by product and on an orderly and appropriate reciprocal basis, the opportunities for granting each other further concessions with a view to implementing greater liberalisation of the trade in agricultural and fishery products.

2. The provisions of this Chapter shall in no way affect the application, on a unilateral basis, of more favourable measures by one or the other Party.

Article 17 (SAA 30)

Notwithstanding other provisions of this Agreement, and in particular Article 24, given the particular sensitivity of the agricultural and fisheries markets, if imports of products originating in one of the two Parties, which are the subject of concessions granted pursuant to Article 12, 14 and 15, cause serious disturbance to the markets or to their domestic regulatory mechanisms, in the other Party, both Parties shall enter into consultations immediately to find an appropriate solution. Pending such solution, the Party concerned may take the appropriate measures it deems necessary.

CHAPTER III COMMON PROVISIONS

Article 18 (SAA 31)

The provisions of this Chapter shall apply to trade in all products between the Parties except where otherwise provided herein or in Protocols 1, 2 and 3.

Article 19 (SAA 32) Standstill

1. From the date of entry into force of this Agreement, no new customs duties on imports or exports or charges having equivalent effect shall be introduced, nor shall those already applied be increased, in trade between the Community and the Former Yugoslav Republic of Macedonia.

2. From the date of entry into force of this Agreement, no new quantitative restriction on imports or exports or measure having equivalent effect shall be introduced, nor shall those existing be made more restrictive, in trade between the Community and the Former Yugoslav Republic of Macedonia.

3. Without prejudice to the concessions granted under Article 13, the provisions of paragraphs 1 and 2 of this Article shall not restrict in any way the pursuit of the respective agricultural policies of the Former Yugoslav Republic of Macedonia and the Community or the taking of any measures under those policies in so far as the import regime in the Annexes III, IV (a) (b) (c) and V (a) (b) is not affected.

Article 20 (SAA 33) Prohibition of fiscal discrimination

1. The Parties shall refrain from, and abolish where existing, any measure or practice of an internal fiscal nature establishing, whether directly or indirectly, discrimination between the products of one Party and like products originating in the territory of the other Party.

2. Products exported to the territory of one of the Parties may not benefit from repayment of internal indirect taxation in excess of the amount of indirect taxation imposed on them.

Article 21 (SAA 34)The provisions concerning the abolition of customs duties on imports shall also apply to customs duties of a fiscal nature.

Article 22 ( SAA 35) Customs unions, free trade areas, cross-border arrangements

1. This Agreement shall not preclude the maintenance or establishment of customs unions, free trade areas or arrangements for frontier trade except in so far as they alter the trade arrangements provided for in this Agreement.

2. During the transitional periods specified in Articles 4 and 5 this Agreement shall not affect the implementation of the specific preferential arrangements governing the movement of goods either laid down in frontier agreements previously concluded between one or more Member States and the Socialist Federal Republic of Yugoslavia and succeeded to by the former Yugoslav Republic of Macedonia or resulting from the bilateral agreements concluded by the former Yugoslav Republic of Macedonia in order to promote regional trade.

3. Consultations between the Parties shall take place within the Cooperation Council concerning the agreements described in paragraphs 1 and 2 of this Article and, where requested, on other major issues related to their respective trade policies towards third countries. In particular in the event of a third country acceding to the Community, such consultations shall take place so as to ensure that account is taken of the mutual interests of the Community and the former Yugoslav Republic of Macedonia stated in this Agreement.

Article 23 (SAA 36) Dumping

1. If one of the Parties finds that dumping is taking place in trade with the other Party within the meaning of Article VI of the GATT 1994, it may take appropriate measures against this practice in accordance with the Agreement on implementation of Article VI of the GATT 1994 and its own related internal legislation.

2. As regards the first paragraph of this Article, the Cooperation Council shall be informed of the dumping case as soon as the authorities of the importing Party have initiated an investigation. When no end has been put to the dumping within the meaning of Article VI of the GATT or no other satisfactory solution has been reached within 30 days of the matter being referred to the Cooperation Council, the importing Party may adopt the appropriate measures.

Article 24 (SAA 37) General safeguard clause

1. Where any product of one Party is being imported into the territory of the other Party in such increased quantities and under such conditions as to cause or threaten to cause:

- serious injury to the domestic industry of like or directly competitive products in the territory of the importing Party; or

- serious disturbances in any sector of the economy or difficulties which could bring about serious deterioration in the economic situation of a region of the importing Party,

the importing Party may take appropriate measures under the conditions and in accordance with the procedures laid down in this Article.

2. The Community and the former Yugoslav Republic of Macedonia shall only apply safeguard measures between themselves in accordance with the provisions of this Agreement. Such measures shall not exceed what is necessary to remedy the difficulties which have arisen, and should normally consist of the suspension of the further reduction of any applicable rate of duty provided for under this Agreement for the product concerned or the increase of the rate of duty for that product.

Such measures shall contain clear elements progressively leading to their elimination at the end of the set period, at the latest. Measures shall not be taken for a period exceeding one year. In very exceptional circumstances, measures may be taken up to a total maximum period of three years. No safeguard measure shall be applied to the import of a product that has previously been subject to such a measure for a period of, at least, three years since the expiry of the measure.

3. In the cases specified in this Article, before taking the measures provided for therein or, in the cases to which paragraph 4 (b) of this Article applies, as soon as possible, the Community or the former Yugoslav Republic of Macedonia, as the case may be, shall supply the Cooperation Council with all relevant information, with a view to seeking a solution acceptable to the two Parties.

4. For the implementation of the above paragraphs the following provisions shall apply:

(a) The difficulties arising from the situation referred to in this Article shall be referred for examination to the Cooperation Council, which may take any decisions needed to put an end to such difficulties.If the Cooperation Council or the exporting Party has not taken a decision putting an end to the difficulties or no other satisfactory solution has been reached within 30 days of the matter being referred to the Cooperation Council, the importing Party may adopt the appropriate measures to remedy the problem in accordance with this Article. In the selection of safeguard measures priority must be given to those which least disturb the functioning of the arrangements established in this Agreement.

(b) Where exceptional and critical circumstances requiring immediate action make prior information or examination, as the case may be, impossible, the Party concerned may, in the situations specified in this Article, apply forth with precautionary measures necessary to deal with the situation and shall inform the other Party immediately thereof.

5. The safeguard measures shall be notified immediately to the Cooperation Council and shall be the subject of periodic consultations within that body, particularly with a view to establishing a timetable for their abolition as soon as circumstances permit.

6. In the event of the Community or the former Yugoslav Republic of Macedonia subjecting imports of products liable to give rise to the difficulties referred to in this Article to an administrative procedure having at its purpose the rapid provision of information on the trend of trade flows, it shall inform the other Party.

Article 25 (SAA 38) 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) re-export to a third country of a product against which the exporting Party maintains quantitative export restrictions, export duties or measures or charges having equivalent effect, 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.

3. Before taking the measures provided for in paragraph 1 of this Article or, as soon as possible in cases to which paragraph 4 of this Article applies, the Community or the former Yugoslav Republic of Macedonia, as the case may be, shall supply the Cooperation Council with all relevant information, with a view to seeking a solution acceptable to the Parties. The Parties within the Cooperation Council 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 Cooperation Council, 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, as the case may be, impossible, the Community or the Former Yugoslav Republic of Macedonia, whichever is concerned, may apply forth with 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 Cooperation Council 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.

Article 26 (SAA 39) State monopolies

The former Yugoslav Republic of Macedonia shall progressively adjust any State monopolies of a commercial character so as to ensure that, by the end of the fifth year following the entry into force of this Agreement, no discrimination regarding the conditions under which goods are procured and marketed exists between nationals of the Member States and of the former Yugoslav Republic of Macedonia. The Cooperation Council shall be informed about the measures adopted to attain this objective.

Article 27 (SAA 40)

Protocol 4 lays down the rules of origin for the application of tariff preferences provided for in this Agreement.

Article 28 (SAA 41) Restrictions authorised

This Agreement shall not preclude prohibitions or restrictions on imports, exports or goods in transit justified on grounds of public morality, public policy or public security; the protection of health and life of humans, animals or plants; the protection of national treasures of artistic, historic or archaeological value or the protection of intellectual, industrial and commercial property, or rules relating to gold and silver. Such prohibitions or restrictions shall not, however, constitute a means of arbitrary discrimination or a disguised restriction on trade between the Parties.

Article 29 (SAA 42)

Both parties agree to co-operate to reduce the potential for fraud in the application of the trade provisions of this Agreement.

Notwithstanding other provisions of this Agreement, and in particular Articles 17, 24 and 36 and Protocol 4, where one Party finds that there is sufficient evidence of fraud such as a significant increase in trade of products by one party to the other party, beyond the level reflecting economic conditions such as normal production and export capacities, or failure to provide administrative co-operation as required for the verification of evidence of origin by the other Party, both Parties shall enter into consultations immediately to find an appropriate solution. Pending such solution, the Party concerned may take the appropriate measures it deems necessary. In the selection of the measure priority must be given to those which least disturb the functioning of the arrangements established in this Agreement.

Article 30 (SAA 43 )

The application of this Agreement shall be without prejudice to the application of the provisions of Community law to the Canary Islands.

TITLE III PAYMENTS, COMPETITION AND OTHER ECONOMIC PROVISIONS

Article 31 (SAA 58)

The Parties undertake to authorise, in freely convertible currency, in accordance with the provisions of Article VIII of the Articles of Agreement of the International Monetary Fund, any payments and transfers on the current account of balance of payments between the Community and the former Yugoslav Republic of Macedonia.

Article 32 ( SAA 65)

1. The Parties shall endeavour wherever possible to avoid the imposition of restrictive measures, including measures relating to imports, for balance of payments purposes. A Party adopting such measures shall present as soon as possible to the other Party a timetable for their removal.

2. Where one or more Member States or the former Yugoslav Republic of Macedonia is in serious balance of payments difficulties, or under imminent threat thereof, the Community or the former Yugoslav Republic of Macedonia, as the case may be, may, in accordance with the conditions established under the WTO Agreement, adopt restrictive measures, including measures relating to imports, which shall be of limited duration and may not go beyond what is strictly necessary to remedy the balance of payments situation. The Community or the former Yugoslav Republic of Macedonia, as the case may be, shall inform the other Party forthwith.

3. Any restrictive measures shall not apply to transfers related to investment and in particular to the repatriation of amounts invested or reinvested or any kind of revenues stemming there from.

Article 33 (SAA 69) Competition and other economic provisions

1. The following are incompatible with the proper functioning of the Agreement, in so far as they may affect trade between the Community and the former Yugoslav Republic of Macedonia:

(i) all agreements between undertakings, decisions by associations of undertakings and concerted practices between undertakings which have as their object or effect the prevention, restriction or distortion of competition;

(ii) abuse by one or more undertakings of a dominant position in the territories of the Community or of the former Yugoslav Republic of Macedonia as a whole or in a substantial part thereof;

(iii) any public aid which distorts or threatens to distort competition by favouring certain undertakings or certain products.

2. Any practices contrary to this Article shall be assessed on the basis of criteria arising from the application of the rules of Articles 81, 82 and 87 of the Treaty establishing the European Community.

3. (a) For the purposes of applying the provisions of paragraph 1(iii), the Parties recognise that during the first four years after the entry into force of this Agreement, any public aid granted by the former Yugoslav Republic of Macedonia shall be assessed taking into account the fact that the former Yugoslav Republic of Macedonia shall be regarded as an area identical to those areas of the Community described in Article 87(3)(a) of the Treaty establishing the European Community.

(b) Each Party shall ensure transparency in the area of public aid, inter alia by reporting annually to the other Party on the total amount and the distribution of the aid given and by providing, upon request, information on aid schemes. Upon request by one Party, the other Party shall provide information on particular individual cases of public aid.

Each Party shall ensure that the provisions of this Article are applied within five years of the Agreement's entry into force.

4. With regard to products referred to in Chapter II of Title II:

- paragraph 1 (iii) shall not apply.

- any practices contrary to paragraph 1(i) shall be assessed according to the criteria established by the Community on the basis of Articles 36 and 37 of the Treaty establishing the European Community and specific Community instruments adopted on this basis.

5. If the Community or the Former Yugoslav Republic of Macedonia considers that a particular practice is incompatible with the terms of paragraph 1, and:

- if such practice causes or threatens to cause serious injury to the interests of the other Party or material injury to its domestic industry, including its services industry, it may take appropriate measures after consultation within the Cooperation Council or after thirty working days following referral for such consultation.

In the case of practices incompatible with paragraph 1(iii), such appropriate measures may, where the WTO Agreement applies thereto, only be adopted in accordance with the procedures and under the conditions laid down thereby or the relevant Community internal legislation.

6. The Parties shall exchange information taking into account the limitations imposed by the requirements of professional and business confidentiality.

Article 34 (SAA 70)

With regard to public undertakings, and undertakings to which special or exclusive rights have been granted, each Party shall ensure that as from the third year following the date of entry into force of this Agreement, the principles of the Treaty establishing the European Community, in particular Article 86 thereof, are upheld.

Article 35 (SAA 71) Intellectual, industrial and commercial property

1. Pursuant to the provisions of this Article and Annex VI, the Parties confirm the importance that they attach to ensure adequate and effective protection and enforcement of intellectual, industrial and commercial property rights.

2. The Former Yugoslav Republic of Macedonia shall take the necessary measures in order to guarantee no later than five years after entry into force of this agreement a level of protection of intellectual, industrial and commercial property rights similar to that existing in the Community, including effective means of enforcing such rights.

3. The Former Yugoslav Republic of Macedonia undertakes to accede, within the period referred above, to the multilateral conventions on intellectual, industrial and commercial property rights referred to in Annex VI.

4. If problems in the area of intellectual, industrial and commercial property affecting trading conditions occur, they shall be referred urgently to the Cooperation Council, at the request of either Party, with a view to reaching mutually satisfactory solutions.

Article36 (SAA 88.3) Customs

Mutual assistance between administrative authorities in customs matters of the Parties shall take place in accordance with the provisions of Protocol 5.

TITLE IV INSTITUTIONAL, GENERAL AND FINAL PROVISIONS

Article37

The Cooperation Council set up by the Co-operation Agreement signedon 29 April 1997, by way of exchange of letters between the European Community and the former Yugoslav Republic of Macedonia, shall perform the duties assigned to it by this Agreement according to the same modalities as practiced so far in the context of the Cooperation Agreement.

Article 38 (SAA 110 and 112)

The Cooperation Council shall, for the purpose of attaining the objectives of this Agreement, have the power to take decisions within the scope of the Agreement in the cases provided for therein. The decisions taken shall be binding on the Parties, which shall take the measures necessary to implement the decisions taken.

The Cooperation Council may also make appropriate recommendations. It shall draw up its decisions and recommendations by agreement between the Parties.

1. The Co-operation Council may be assisted in the performance of his duties by a Joint Committee composed by representatives of the Community, on the one hand, and of representatives of the Government of the former Yugoslav Republic of Macedonia, on the other, normally at senior civil servant level.

The duties of the Joint Committee should include the preparation of meetings of the Co-operation Council.

2. The Co-operation Council may delegate to the Joint Committee any of its powers. In that event the Joint Committee shall take decisions in accordance with the conditions laid down in the first and second paragraph of this article.

3. The Joint Committee should, as necessary, adopts its own rules of procedure. The Joint Committee would meet once a year. Special meetings may be convened by mutual agreement, at the request of either party. The Joint Committee would be chaired alternately by each of the Parties. Whenever possible the Agenda of the Joint Committee shall be agreed beforehand.

Article 39 (SAA 111)

Each Party may refer to the Cooperation Council any dispute relating to the application or interpretation of this Agreement. The Cooperation Council may settle the dispute by means of a binding decision.

Article 40 (SAA 115)

Within the scope of this Agreement, each Party undertakes to ensure that natural and legal persons of the other Party have access free of discrimination in relation to its own nationals to the competent courts and administrative organs of the Parties to defend their individual rights and their property rights.

Article 41 (SAA 116)

Nothing in this Agreement shall prevent a Party from taking any measures:

(a) which it considers necessary to prevent the disclosure of information contrary to its essential security interests;

(b) which relate to the production of, or trade in, arms, munitions or war materials or to research, development or production indispensable for defence purposes, provided that such measures do not impair the conditions of competition in respect of products not intended for specifically military purposes;

(c) which it considers essential to its own security in the event of serious internal disturbances affecting the maintenance of law and order, in time of war or serious international tension constituting threat of war or in order to carry out obligations it has accepted for the purpose of maintaining peace and international security.

Article 42 (SAA 117)

1. In the fields covered by this Agreement and without prejudice to any special provisions contained therein:

- the arrangements applied by the former Yugoslav Republic of Macedonia in respect of the Community shall not give rise to any discrimination between the Member States, their nationals or its companies or firms;

- the arrangements applied by the Community in respect of the former Yugoslav Republic of Macedonia shall not give rise to any discrimination between the nationals of the former Yugoslav Republic of Macedonia or its companies or firms.

2. The provisions of paragraph 1 shall be without prejudice to the right of the Parties to apply the relevant provisions of their fiscal legislation to taxpayers who are not in identical situations as regards their place of residence.

Article 43 (SAA 118)

1. The Parties shall take any general or specific measures required to fulfil their obligations under this Agreement. They shall see to it that the objectives set out in this Agreement are attained.

2. If either Party considers that the other Party has failed to fulfil an obligation under this Agreement, it may take appropriate measures. Before so doing, except in cases of special urgency, it shall supply the Cooperation Council with all relevant information required for a thorough examination of the situation with a view to seeking a solution acceptable to the Parties.

In the 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 Cooperation Council and shall be the subject of consultations within the Cooperation Council if the other Party so requests.

Article 44 (SAA 119)

The Parties agree to consult promptly through appropriate channels at the request of either Party to discuss any matter concerning the interpretation or implementation of this Agreement and other relevant aspects of the relations between the Parties.

The provisions of this Article shall in no way affect and are without prejudice to Articles 17 24, 25 and 29.

Article 45 (SAA 121)

Protocols 1, 2, 3, 4 and 5 and Annexes I to VI shall form an integral part of this Agreement.

Article 46 (SAA 122)

This Agreement shall be applicable until the entry into force of the Stabilisation and Association Agreement signed in [Luxembourg on 10 April 2001 [4]].

[4] To be confirmed

Either Party may denounce this Agreement by notifying the other Party. This Agreement shall cease to apply six months after the date of such notification.

Article 47 (SAA 124)

This Agreement shall apply, on the one hand, to the territories in which the Treaty establishing the European Community, applies and under the conditions laid down in this Treaty, and to the territory of the former Yugoslav Republic of Macedonia on the other.

Article 48 (SAA 125)

The Secretary General of the Council of the European Union shall be the depository of the Agreement.

Article 49 (SAA 126)

This Agreement is drawn up in duplicate each of the official languages of the Parties, each of these texts being equally authentic.

Article 50 (SAA 127)

The Parties shall approve this Agreement in accordance with their own procedures.

This Agreement shall enter into force on the first day of the second month following the date on which the Parties notify each other that the procedures referred to in the first paragraph have been completed.

Upon its entry into force, Articles 13 to 32 of the Co-operation Agreement between the European Community and the former Yugoslav Republic of Macedonia signed on 29 April 1997 by way of Exchange of Letters, shall be suspended.

FINAL ACT

The plenipotentiaries of:

the EUROPEAN COMMUNITY,

hereinafter referred to as 'the Community',

of the one part, and

the plenipotentiaries of the FORMER YUGOSLAV REPUBLIC OF MACEDONIA,

of the other part,

meeting in [Brussels/Luxembourg] on...in the year 2001 for the signature of the Interim Agreement on trade and trade related matters between the European Communities, of the one part, and the former Yugoslav Republic of Macedonia of the other part, hereinafter referred to as 'the Interim Agreement', have adopted the following texts:

the Interim Agreement, its Annexes I - VI, namely:

Annex I - Imports into the former Yugoslav Republic of Macedonia of less sensitive industrial goods originating in the Community

Annex II - Imports into the former Yugoslav Republic of Macedonia of sensitive industrial goods originating in the Community

Annex III - EC Definition of "Baby beef"

Annex IV a - Imports into the former Yugoslav Republic of Macedonia of agricultural goods originating in the Community (zero-duty tariff)

Annex IV b - Imports into the former Yugoslav Republic of Macedonia of agricultural goods originating in the Community (zero-duty tariff within tariff quotas)

Annex IV c - Imports into the former Yugoslav Republic of Macedonia of agricultural goods originating in the Community (concessions within tariff quotas)

Annex V a - Imports into the Community of fish and fisheries products originating in the former Yugoslav Republic of Macedonia

Annex V b - Imports into the former Yugoslav Republic of Macedonia of fish and fisheries products originating in the Community

Annex VI - Intellectual, Industrial Commercial property rights

and the following Protocols:

Protocol 1 - On Textile and clothing products

Protocol 2 - On Steel Products

Protocol 3 - On trade between former Yugoslav Republic of Macedonia and the community in Processed agricultural products

Protocol 4 - concerning the definition of the concept of "originating products" and methods of administrative co-operation

Protocol 5 - on mutual Assistance between administrative authorities in Custom matters

The plenipotentiaries of the Community and the plenipotentiaries of former Yugoslav Republic of Macedonia have adopted the texts of the joint declarations listed below and annexed to this Final Act:

Joint Declaration concerning Article 21 of the Agreement

Joint Declaration concerning Article 27 of the Agreement

Joint Declaration on Transport issues

Joint Declaration concerning Article 35 of the Agreement

Joint Declaration concerning Article 43 of the Agreement

The plenipotentiaries of the former Yugoslav Republic of Macedonia have taken note of the Declaration listed below and annexed to this Final Act:

Unilateral declaration by Community concerning Articles 14 and 16

Done at Brussels,

For the Council

The President

Joint-Declaration on Article 21 (SAA 34)

The European Communities and the former Yugoslav Republic of Macedonia, aware of the impact that the sudden elimination of the 1% fee applied for customs clearance purposes to imported goods could have on the budget of the latter, agree, as an exceptional measure, that the fee would be maintained until 1 January 2002 or until the entry into force of the Stabilisation and Association Agreement, whichever occurs first.

Should this fee, in the meantime, be reduced or eliminated vis-à-vis a third country, the former Yugoslav Republic of Macedonia undertakes to immediately apply the same treatment to goods of EC origin.

The content of this joint-declaration is of no prejudice to the position of the European Communities in the negotiations on the accession of the former Yugoslav Republic of Macedonia to the World Trade Organisation.

Joint Declaration concerning Article 27 (SAA 40)

Declaration of intent by the Contracting parties on the trade arrangements between the States that emerged from the former Socialist Federal Republic of Yugoslavia:

1. The European Community and former Yugoslav Republic of Macedonia consider it essential for economic and trade cooperation between the States that emerged from the former Socialist Federal Republic of Yugoslavia to be re-established as quickly as possible, as soon as political and economic circumstances permit.

2. The Community is prepared to grant cumulation of origin to the States that emerged from the former Socialist Federal Republic of Yugoslavia which have restored normal economic and trade cooperation as soon as the administrative cooperation needed for cumulation to work properly has been established.

3. With this in mind, former Yugoslav Republic of Macedonia declares its readiness to enter into negotiations as soon as possible in order to establish cooperation with other States that emerged from the former Socialist Federal Republic of Yugoslavia.

Joint Declaration on the Transport Agreement (SAA 57)

The Parties agree to seek the earliest possible implementation of Article 12.3 (b) of the Transport Agreement between the European Community and the former Yugoslav Republic of Macedonia, on a system of ecopoints through the conclusion of the relevant agreement, in the form of an exchange of letters, as soon as possible and at the latest by the conclusion of the Interim Agreement.

Joint Declaration concerning Article 35 (SAA 71)

The parties agree that for the purpose of this Agreement, intellectual, industrial and commercial property includes in particular copyright, including the copyright in computer programmes, and neighbouring rights, the rights relating to databases, patents, industrial designs, trademarks and service marks, topographies of integrated circuits geographical indications, including appellation of origins, as well as protection against unfair competition as referred to in Article 10a of the Paris Convention for the Protection of Industrial Property and protection of undisclosed information on know-how.

Declaration by the Community concerning Articles 14 and 16 (SAA 27 and 29)

Considering that exceptional trade measures are granted by the European Community to countries participating or linked to the EU Stabilisation and Association Process including the former Yugoslav Republic of Macedonia on the basis of Regulation (EC) 2007/2000 as amended by Council Regulation (EC) 2563/2000 of 20 November 2000, the European Community declares:

- that, in application of Article 16.(2) of this Agreement, those of the unilateral autonomous trade measures which are more favourable shall apply in addition to the contractual trade concessions offered by the Community in this Agreement as long as Council Regulation (EC) 2007/2000 as amended applies;

- that, in particular, for the products covered by Chapters 7 and 8 of the Combined Nomenclature, for which the Common Customs Tariff provides for the application of ad valorem customs duties and a specific customs duty, the elimination shall apply also to the specific customs duty in derogation from the relevant provision of Article 14.(1).

Joint Declaration concerning Article 43 (SAA 118)

(a) For the purposes of the interpretation and practical application of the Agreement, the parties agree that the cases of special urgency referred to in Article 43 of the Agreement mean cases of material breach of the Agreement by one of the two parties. A material breach of the Agreement consists in

* repudiation of the Agreement not sanctioned by the general rules of international law;

* violation of the essential elements of the Agreement set out in Article 1.

(b) The parties agree that the "appropriate measures" referred to in Article 43 are measures taken in accordance with international law. If a party takes a measure in a case of special urgency pursuant to Article 43, the other party may avail itself of the dispute settlement procedure.

FINANCIAL STATEMENT

1. Title of operation

Interim Agreement between the European Community, of the one part, and the former Yugoslav Republic of Macedonia, of the other part.

2. Budget heading(s) involved

The Interim Agreement is not generating any additional expenses to the CARDS program. Financial proposals for the region will be managed through and according to the CARDS regulation [5], and within the financial framework of the CARDS regulation in budget heading B7-54, Cooperation with Balkan countries

[5] OJ L 306, 7/12/2000, p. 1.

3. Legal basis

Article 133 EC.

4. Description of operation

The proposals concerns the conclusion of a Interim Agreement. It concerns the entry into force of the trade and trade related provision negotiated under the Stabilisation and Association Agreement, before waitin for the formal ratification of the National Parliaments.

5. Classification of expenditure or revenue

Non-compulsory expenditure

6. Type of expenditure or revenue

- 100% grant (under CARDS)

- Should the operation prove an economic success, is there provision for all or part of the Community contribution to be reimbursed- NO

- Will the proposed operation cause any change in the level of revenue- The Interim Agreement has no impact on revenues as equivalent free trade is already into force under separate trade measures introduced by the by Council Regulation (EC) No2563/2000 of 20 November 2000 amending Regulation (EC) No 2007/2000 [6]

[6] OJ L 295, 23/11/2000, p.1

7. Financial impact

None

8. Fraud prevention measures

- Specific control measures envisaged.

Concerning trade, the Article 29 of the Interim Agreement (Art 42 of the SAA), provide the possibility to take immediate measures in case of fraud.

9. Elements of cost-effectiveness analysis

- Target population: Trade Operators of the Community and the former Yugoslav Republic of Macedonia. The whole population of the former Yugoslav Republic of Macedonia will benefit from the implementation of this Agreement.

10. Administrative expenditure (Section III, Part A of the budget)

10.1 Effect on the number of posts

>TABLE POSITION>

10.2 Overall financial impact of additional human resources

None

ANNEXES I-VI OF THE INTERIM AGREEMENT

INDEX OF ANNEXES

Annex I (Art 5.2) Imports into the former Yugoslav Republic of Macedonia of less sensitive industrial goods originating in the Community

Annex II (Art 5.3) Imports into the former Yugoslav Republic of Macedonia of sensitive industrial goods originating in the Community

Annex III (Art 14, 19): EC Definition of "Baby beef"

Annex IV a (Art 14.3(a), 19) Imports into the former Yugoslav Republic of Macedonia of agricultural goods originating in the Community (zero-duty tariff)

Annex IV b (Art 14.3(b), 19) Imports into the former Yugoslav Republic of Macedonia of agricultural goods originating in the Community (zero-duty tariff within tariff quotas)

Annex IV c (Art 14.3(c), 19): Imports into the former Yugoslav Republic of Macedonia of agricultural goods originating in the Community (concessions within tariff quotas)

Annex V a (Art 15.1) Imports into the Community of fish and fisheries products originating in the former Yugoslav Republic of Macedonia

Annex V b (Art 15.2, 19): Imports into the former Yugoslav Republic of Macedonia of fish and fisheries products originating in the Community

Annex VI (Art 35): Intellectual, Industrial Commercial property rights

ANNEX I IMPORTS INTO THE FORMER YUGOSLAV REPUBLIC OF MACEDONIA OF LESS SENSITIVE GOODS ORIGINATING IN THE COMMUNITY

Referred to in art. 5.2

Tariff code // DESCRIPTION

2517 // Pebbles, gravel, broken or crushed stone, of a kind commonly used for concrete aggregates, for road metalling or for railway or other ballast, shingle and flint, whether or not heat-treated; macadam of slag, dross or similar industrial waste, whether or not incorporating the materials cited in the first part of the heading; tarred macadam; granules, chippings and powder, of stones of heading No 2515 or 2516, whether or not heat-treated:

// - Granules, chippings and powder, of stones of heading No 2515 or 2516, whether or not heat-treated:

41 00 00 // - - Of marble

49 00 00 // - - Other

2518 // Dolomite, whether or not calcined; dolomite, roughly trimmed or merely cut, by sawing or otherwise, into blocks or slabs of a rectangular (including square) shape; agglomerated dolomite (including tarred dolomite).

//

2520 // Gypsum; anhydrite; plasters (consisting of calcined gypsum or calcium sulphate) whether or not coloured, with or without small quantities of accelerators or retarders.

//

2523 // Portland cement, aluminous cement, slag cement, supersulphate cement and similar hydraulic cements, whether or not coloured or in the form of clinkers:

//

10 00 00 // - Cement clinkers

29 00 00 // - - Other

//

3105 // Mineral or chemical fertilisers containing two or three of the fertilising elements nitrogen, phosphorus and potassium; other fertilisers; goods of this chapter in tablets or similar forms or in packages of a gross weight not exceeding 10 kg .

//

3214 // Glaziers' putty, grafting putty, resin cements caulking compounds and other mastics; painters' fillings; non-refractory surfacing preparations for facades, indoor walls, floors, ceilings or the like.

//

3303 // Perfumes and toilet waters.

//

3304 // Beauty or make-up preparations and preparations for the care of the skin (other than medicaments) including sunscreen or sun tan preparations; manicure or pedicure preparations.

//

3305 // Preparations for use on the hair.

//

3306 // Preparations for oral or dental hygiene, including denture fixative pastes and powders; yarn used to clean between the teeth (dental floss), in individual retail packages.

//

3307 // Pree-shave, shaving or after-shave preparations, personal deodorants, bath preparation, depilatories and other perfumery, cosmetic or toilet preparations, not elsewhere specified or included; prepared room deodorizers, whether or not perfumed or having disinfectant properties.

//

3405 // Polishes and creams, for footwear, furniture, floors, coachwork, glass or metal, scouring pastes and powders and similar preparations (whether or not in the form of paper, wadding, felt, non-wovens, cellular plastics or cellular rubber, impregnated, coated or covered with such preparations), excluding waxes of heading No 3404 .

//

3506 // Prepared glues and other prepared adhesives, not elsewhere specified or included; products suitable for use as glues or adhesives, put up for retail sale as glues or adhesives, not exceeding a net weight of 1 kg .

//

3701 // Photographic plates and film in the flat, sensitized, unexposed, of any material other than paper, paperboard or textiles; instant print film in the flat, sensitized, unexposed, whether or not in packs .

//

3702 // Photographic film in rolls, sensitized, unexposed, of any material other than paper, paperboard or textiles; instant print film in rolls, sensitized, unexposed .

//

3808 // Insecticides, rodenticides, fungicides, herbicides, anti-sprouting products and plant-growth regulators, disinfectants and similar products, put up in forms or packings for retail sale or as preparations or articles (for example, sulphur-treated bands, wicks and candles, and fly-papers) .

//

3918 // Floor coverings of plastics, whether or not self-adhesive, in rolls or in the form of tiles; wall or ceiling coverings of plastics, as defined in note 9 to this chapter .

//

3919 // Self-adhesive plates, sheets, film, foil, tape, strip and other flat shapes, of plastics, whether or not in rolls.

//

3921 // Other plates, sheets, film, foil and strip, of plastics .

//

3923 // Articles for the conveyance or packing of goods, of plastics; stoppers, lids, caps and other closures, of plastics .

//

3924 // Tableware, kitchenware, other household articles and toilet articles, of plastics.

//

3925 // Builders' ware of plastics, not elsewhere specified or included.

//

3926 // Other articles of plastics and articles of other materials of heading Nos 3901 to 3914 :

//

4008 // Plates, sheets, strip, rods and profile shapes, of vulcanised rubber other than hard rubber :

- Of cellular rubber :

11 00 00 // - - Plates, sheets and strip

19 00 00 // - - Other

// - Of non-cellular rubber :

// - - Plates, sheets and strip :

21 10 00 // - - - Floor coverings and mats

21 90 00 // - - - Other.

// - - Other :

29 90 00 // - - - Other

//

4015 // Articles of apparel and clothing accessories (including gloves), for all purposes, of vulcaniyed rubber other than hard rubber:

// - Gloves:

// - - Other :

19 10 00 // - - - Household gloves

19 90 00 // - - - Other

90 00 00 // - Other

//

4016 // Other articles of vulcanized rubber other than hard rubber :

// - Other :

91 00 00 // - - Floor coverings and mats

//

4302 // Tanned or dressed furskins (including heads, tails, paws and other pieces or cuttings), unassembled, or assembled (without the addition of other materials) other than those of heading No 4303 .

//

4303 // Articles of apparel, clothing accessories and other articles of furskin .

//

4409 // Wood (including strips and friezes for parquet flooring, not assembled) continuously shaped (tongued, grooved, rebated, chamfered, V-jointed, beaded, moulded, rounded or the like) along any of its edges or faces, whether or not planed, sanded or finger-jointed .

//

4415 // Packing cases, boxes, crates, drums and similar packings, of wood; cable-drums of wood; pallets, box pallets and other load boards, of wood; pallet collars of wood.

//

4802 // Uncoated paper and paperboard, of a kind used for writing, printing or other graphic purposes, and punch card stock and punch tape paper, in rolls or sheets, other than paper of heading No 4801 or 4803; hand-made paper and paperboard :

// - Other paper and paperboard, not containing fibres obtained by a mechanical process or of which not morethan 10% by weight of the total fibre content consist of such fibres:

// - - Weighing less than 40g/m2 :

51 10 00 // - - - Paper weighing not more than 15g/m2 for use in stencil making

51 90 00 // - - - Other

52 20 00 // - - - In rolls

52 80 00 // - - - In sheets

// - - Weighing more than 150 g/m2 :

53 20 00 // - - - In rolls

53 80 00 // - - - In sheets

//

4805 // Other uncoated paper and paperboard, in rolls or sheets, not further worked or processed than as specified in note 2 to this chapter :

// - Other paper and paperboard, weighing 225 g/m2 or more :

// - - Made from wastepaper :

80 11 00 // - - - Testliner

80 19 00 // - - - Other

80 90 00 // - - Other

//

4811 // Paper, paperboard, cellulose wadding and webs of cellulose fibres, coated, impregnated, covered, surface-coloured, surface-decorated or printed, in rolls or sheets, other than goods of the kind described in heading No 4803, 4809 or 4810 :

// - Paper and paperboard coated, impregnatet or covered with plastics (excluding adhesives) :

31 00 00 // - - Bleached, weighing more than 150 g/m2

39 00 00 // - - Other

40 00 00 // - Paper and paperboard, coated, impregnated or covered with wax, paraffin wax, stearin, oil or glycerol

//

4814 // Wallpaper and similar wall coverings; window transparencies of paper .

//

4815 // Floor coverings on a base of paper or of paperboard, whether or not cut to size.

//

4816 // Carbon paper, self-copy paper and other copying or transfer papers (other than those of heading No 4809), duplicator stencils and offset plates, of paper, whether or not put up in boxes .

//

4817 // Envelopes, letter cards, plain postcards and correspondence cards, of paper or paperboard; boxes, pouches, wallets and writing compendiums, of paper or paperboard, containing an assortment of paper stationery.

//

4820 // Registers, account books, note books, order books, receipt books, letter pads, memorandum pads, diaries and similar articles, exercise books, blotting-pads, binders (loose-leaf or other), folders, file covers, manifold business forms, interleaved carbon sets and other articles of stationery, of paper or paperboard; albums for samples or for collections and book covers, of paper or paperboard .

//

4821 // Paper or paperboard labels of all kinds, whether or not printed .

//

4909 // Printed or illustrated postcards; printed cards bearing personal greetings, messages or announcements, whether or not illustrated, with or without envelopes or trimmings .

//

4910 // Calendars of any kind, printed, including calendar blocks.

//

6601 // Umbrellas and sun umbrellas (including walking-stick umbrellas, garden umbrellas and similar umbrellas) .

//

6802 // Worked monumental or building stone (except slate) and articles thereof, other than goods of heading No 6801; mosaic cubes and the like, of natural stone (including slate), whether or not on a backing; artificially coloured granules, chippings and powder, of natural stone (including slate) .

//

6805 // Natural or artificial abrasive powder or grain, on a base of textile material, of paper, of paperboard or of other materials, whether or not cut to shape or sewn or otherwise made up .

//

6807 // Articles of asphalt or of similar material (for example, petroleum bitumen or coal tar pitch) .

//

6809 // Articles of plaster or of compositions based on plaster .

//

6810 // Articles of cement, of concrete or of artificial stone, whether or not reinforced .

//

6811 // Articles of asbestos-cement, of cellulose fibre-cement or the like .

//

6813 // Friction material and articles thereof (for example, sheets, rolls, strips, segments, discs, washers, pads), not mounted, for brakes, for clutches or the like, with a basis of Asbestos, of other mineral substances or of cellulose, whether or not combined with textile or other materials .

//

6815 // Articles of stone or of other mineral substances (including carbon fibres, articles of carbon fibres and articles of peat), not elsewhere specified or included .

//

6902 // Refractory bricks, blocks, tiles and similar refractory ceramic constructional goods, other than those of siliceous fossil meals or similar siliceous earths .

//

6904 // Ceramic building bricks, flooring blocks, support or filler tiles and the like .

//

6905 // Roofing tiles, chimney-pots, cowls, chimney liners, architectural ornaments and other ceramic constructional goods .

//

6907 // Unglazed ceramic flags and paving, hearth or wall tiles; unglazed ceramic mosaic cubes and the like, whether or not on a backing .

//

6908 // Glazed ceramic flags and paving, hearth or wall tiles; glazed ceramic mosaic cubes and the like, whether or not on a backing.

//

6910 // Ceramic sinks, wash basins, wash basin pedestals, baths, bidets, water closet pans, flushing cisterns, urinals and similar sanitary fixtures .

//

6911 // Tableware, kitchenware, other household articles and toilet articles, of porcelain or china .

//

6912 // Ceramic tableware, kitchenware, other household articles and toilet articles, other than of porcelain or china .

//

6914 // Other ceramic articles .

//

7007 // Safety glass, consisting of toughened (tempered) or laminated glass :

// - Toughened (tempered) safety glass :

// - - Of size and shape suitable for incorporation in vehicles, aircraft, spacecraft or vessels :

11 10 00 // Of sire and shepe suitable for incorporation in wotor vehicles

11 90 00 // - - - Other

. // - - Other :

19 10 00 // - - - Enamelled

19 20 00 // - - - Coloured throughout the mass (body tinted), opacified, flashed or having an absorbent or reflecting layer

19 80 00 // - - - Other

// - Laminated safety glass :

// - - of size and shape suitable for incorporation in vehicles, aircraft, spacecraft or vessels :

// - - - Other :

21 91 00 // - - - - of size and shape suitable for incorporation in motor vehicles

21 99 00 // - - - - Other

29 00 00 // - - Other

//

7009 // Glass mirrors, whether or not framed, including rear-view mirrors .

//

7013 // Glassware of a kind used for table, kitchen, toilet, office, indoor decoration or similar purposes (other than that of heading No 7010 or 7018) .

//

7019 // Glass fibres (including glass wool) and articles thereof (for example, yarn, woven fabrics) :

// - Slivers, rovings, yarn and chopped strands :

11 00 00 // - - chopped strands, of a length of Not more than 50 mm

12 00 00 // - - Rovings

19 00 00 // - - Other

//

7106 // Silver (including silver plated with gold or platinum), unwrought or in semi-manufactured forms, or in powder form .

//

7108 // Gold (including gold plated with platinum) unwrought or in semi-manufactured forms, or in powder form .

//

7113 // Articles of jewellery and parts thereof, of precious metal or of metal clad with precious metal .

//

7114 // Articles of goldsmiths' or silversmiths' wares and parts thereof, of precious metal or of metal clad with precious metal .

//

7115 // Other articles of precious metal or of metal clad with precious metal .

//

7116 // Articles of natural or cultured pearls, precious or semi-precious stones (natural, syntetic or reconstructed).

//

7117 // Imitation jewellery.

//

7217 // Wire of iron or non-alloy steel:

-Plated or coated with other base metals:

- - Containing by weight less than 0,25% of carbon:

- - - - With a maximum cross-sectional dimension of less than 0,8 mm

30 11 00 // - - - - Copper-coated

30 19 00 // - - - - Other

// - - - With a maximum cross-sectional dimension of 0,8 mm or more :

30 31 00 // - - - - Copper-coated

30 39 00 // - - - - Other

30 50 00 // - - Containing by weight 0,25 % or more but less than 0,6 % of carbon

30 90 00 // - - Containing by weight 0,6 % or more of carbon

// - Other :

// - - Containing by weight less than 0,25 % of carbon :

90 10 00 // - - - With a maximum cross-sectional dimension of less than 0,8 mm

90 30 00 // - - - With a maximum cross-sectional dimension of 0,8 mm or more

90 50 00 // - - Containing by weight 0,25 % or more but less than 0,6 % of carbon

90 90 00 // - - Containing by weight 0,6 % or more of carbon

//

7307 // Tube or pipe fittings (for example couplings, elbows, sleeves), of iron or steel :

// - Cast fittings :

// - - Of non-malleable cast iron :

11 10 00 // - - - Of a kind used in pressure systems

11 90 00 // - - - Other

// - - Other :

19 10 00 // - - - Of malleable cast iron

19 90 00 // - - - Other

// - Other :

91 00 00 // - - Flanges

// - - Threaded elbows, bends and sleeves :

92 10 00 // - - - Sleeves

92 90 00 // - - - Elbows and bends

// - - Butt welding fittings :

// - - - With greatest external diameter Not exceeding 609,6 mm :

93 11 00 // - - - - Elbows and bends

93 19 00 // - - - - Other

// - - - With greatest external diameter exceeding 609,6 mm :

93 91 00 // - - - - Elbows and bends

93 99 00 // - - - - Other

// - - Other :

99 10 00 // - - - Threaded

99 30 00 // - - - For welding

99 90 00 // - - - Other

//

7311 // Containers for compressed or liquefied gas, of iron or steel .

//

7313 // Barbed wire of iron or steel; twisted hoop or single flat wire, barbed or not, and loosely twisted double wire, of a kind used for fencing, of iron or steel .

//

7403 // Refined copper and copper alloys, unwrought :

// - Refined copper :

11 00 00 // - - Cathodes and sections of cathodes

//

7418 // Table, kitchen or other household articles and parts thereof, of copper; pot scourers and scouring or polishing pads, gloves and the like, of copper; sanitary ware and parts thereof, of copper.

//

7614 // Stranded wire, cables, plaited bands and the like, of aluminium, not electrically insulated :

//

7616 // Other articles of aluminium .

//

7801 // Unwrought lead

//

7802 // Lead waste and scrap .

//

7803 // Lead bars, rods, profiles and wire

//

7804 // Lead plates, sheets, strip and foil; lead powders and flakes.

//

7805 // Lead tubes, pipes and tube or pipe fittings (for example, couplings, elbows, sleeves) .

//

7806 // Other articles of lead .

//

7901 // Unwrought zinc :

// - Zinc, not alloyed :

11 00 00 // - - Containing by weight 99,99 % or more of zinc

// - - Containing by weight less than 99,99 % of zinc :

12 10 00 // - - - Containing by weight 99,95 % or more but less than 99,99 % of zinc

12 30 00 // - - - Containing by weight 98,5 % or more but less than 99,95 % of zinc

12 90 00 // - - - Containing by weight 97,5 % or more but less than 98,5 % of zinc

//

7902 // Zinc waste and scrap

//

7903 // Zinc dust, powders and flakes .

//

7904 // Zinc bars, rods, profiles and wire .

//

7905 // Zinc plates, sheets, strip and foil .

//

7906 // Zinc tubes, pipes and tube or pipe fittings (for example, couplings, elbows, sleeves) .

//

7907 // Other articles of zinc.

//

8211 // Knives with cutting blades, serrated or not (including pruning knives), other than knives of heading No 8208, and blades therefor:

// - Other :

// - - Table knives having fixed blades :

91 30 00 // - - - table knives with handle and blade of stainless steel

91 80 00 // - - - Other

92 00 00 // - - Other knives having fixed blades

93 00 00 // - - Knives having other than fixed blades

94 00 00 // - - Blades

//

8215 // Spoons, forks, ladles, skimmers, cake-servers, fish-knives, butter-knives, sugar tongs and similar kitchen or tableware :

// - - Other :

10 30 00 // - - - Of stainless steel

// - Other sets of assorted articles :

20 10 00 // - - Of stainless steel

20 90 00 // - - Other

// - - Other :

99 10 00 // - - - of stainless steel

99 90 00 // - - - Other

//

8301 // Padlocks and locks (key, combination or electrically operated), of base metal; clasps and frames with clasps, incorporating locks, of base metal; keys for any of the foregoing articles, of base metal :

20 00 00 // - Locks of a kind used for motor vehicles

//

8302 // Base metal mountings, fittings and similar articles suitable for furniture, doors, staircases, windows, blinds, coachwork, saddlery, trunks, chests, caskets or the like; base metal hat-racks, hat-pegs, brackets and similar fixtures; castors with mountings of base metal; automatic door closers of base metal .

//

8304 // Filing cabinets, card-index cabinets, paper trays, paper rests, pen trays, office-stamp stands and similar office or desk equipment, of base metal, other than office furniture of heading No 9403

//

8309 // Stoppers, caps and lids (including crown corks, screw caps and pouring stoppers), capsules for bottles, threaded bungs, bung covers, seals and other packing accessories, of base metal :

//

10 00 00 // - Crown corks

//

8419 // Machinery, plant or laboratory equipment, whether or not electrically heated, for the treatment of materials by a process involving a change of temperature such as heating, cooking, roasting, distilling, rectifying, sterilizing, pasteurizing, steaming, drying, evaporating, vapourizing, condensing or cooling, other than machinery or plant of a kind used for domestic purposes; instantaneous or storage water heaters, non-electric :

// - Dryers :

31 00 00 // - - For agricultural products

32 00 00 // - - For wood, paper pulp, paper or paperboard .

39 00 00 // - - Other

// - - Other :

89 10 00 // - - - cooling towers and similar plant for direct cooling (without a separating wall) by means of recirculated water

//

8423 // Weighing machinery (excluding balances of a sensitivity of 5 cg or better), including weight operated counting or checking machines; weighing machine weights of all kinds :

// - - having a maximum weighing capacity exceeding 30 kg but not exceeding 5 000 kg :

82 10 00 // - - - Check weighers and automatic control machines operating by reference to a pre-determined weight

82 90 00 // - - - Other

// - - Other :

89 10 00 // - - - Weighbridges

89 90 00 // - - - Other

//

8460 // Machine-tools for deburring, sharpening, grinding, honing, lapping, polishing or otherwise finishing metal or cermets by means of grinding stones, abrasives or polishing products, other than gear cutting, gear grinding or gear finishing machines of heading No 8461 .

//

8461 // Machine-tools for planing, shaping, slotting, broaching, gear cutting, gear grinding or gear finishing, sawing, cutting-off and other machine-tools working by removing metal or cermets, not elsewhere specified or included .

//

8462 // Machine-tools (including presses) for working metal by forging, hammering or die-stamping; machine-tools (including presses) for working metal by bending, folding, straightening, flattening, shearing, punching or notching; presses for working metal or metal carbides, not specified above .

//

8463 // Other machine-tools for working metal or cermets, without removing material .

//

8464 // Machine-tools for working stone, ceramics, concrete, asbestos-cement or like mineral materials or for cold working glass :

// - Grinding or polishing machines :

// - - For working glass :

20 19 00 // - - - Other

20 80 00 // - - Other

90 00 00 // - Other

//

8474 // Machinery for sorting, screening, separating, washing, crushing, grinding, mixing or kneading earth, stone, ores or other mineral substances, in solid (including powder or paste) form; machinery for agglomerating, shaping or moulding solid mineral fuels, ceramic paste, unhardened cements, plastering materials or other mineral products in powder or paste form; machines for forming foundry moulds of sand :

//

8477 // Machinery for working rubber or plastics or for the manufacture of products from these materials, not specified or included elsewhere in this chapter.

//

8478 // Machinery for preparing or making up tobacco,

not specified or included elsewhere in this chapter.

//

8480 // Moulding boxes for metal foundry; mould bases; moulding patterns; moulds for metal(other than ingot moulds), metal carbides, glass, mineral materials, rubber or plastics.

//

8483 // Transmission shafts (including cam shafts and crank shafts) and cranks; bearing housings and plain shaft bearings; gears and gearing; ball or roller screws; gear boxes and other speed changers, including torque converters; flywheels and pulleys, including pulley blocks; clutches and shaft couplings (including universal joints) :

// - Gears and gearing, other than toothed wheels, chain sprockets and other transmission elements presented separately; ball or roller screws; gear boxes and other speed changers, including torque converters :

// - - Other :

40 91 00 // - - - Gears and gearing (other than friction gears) :

40 92 00 // - - - Ball or roller screws

40 93 00 // - - - Gear boxes and other speed changers :

40 98 00 // - - - Other

//

8501 // Electric motors and generators (excluding generating sets) :

//

// - Motors of an output not exceeding 37,5 W :

10 10 00 // - - Synchronous Motors of an output not exceeding 18 W

// - - Other :

10 91 00 // - - - Universal AC/DC motors

10 93 00 // - - - AC motors

10 99 00 // - - - DC motors

// - Other AC motors, single-phase :

// - - Other :

40 91 00 // - - - Of an output not exceeding 750 W

//

8508 // Electro-mechanical tools for working in the hand, with self-contained electric motor .

//

8509 // Electro-mechanical domestic appliances, with self-contained electric motor .

//

8512 // Electrical lighting or signalling equipment (excluding articles of heading No 8539), windscreen wipers, defrosters and demisters, of a kind used for cycles or motor vehicles:

10 00 00 // - Lighting or visual signalling equipment of a kind used on bicycles

//

8515 // Electric (including electrically heated gas), laser or other light or photon beam, ultrasonic, electron beam, magnetic pulse or plasma arc soldering, brazing or welding machines and apparatus, whether or not capable of cutting; electric machines and apparatus for hot spraying of metals or cermets :

// - Brazing or soldering machines and apparatus :

11 00 00 // - - Soldering irons and guns

19 00 00 // - - Other

// - Machines and apparatus for resistance welding

of metal :

21 00 00 // - - Fully or partly automatic

29 00 00 // - - Other

// - Machines and apparatus for arc (including plasma arc) for welding of metals:

31 00 00 // - - Fully or partly automatic

// - - Other :

39 10 00 // - - - For manual welding with coated electrodes, complete with welding or cutting devices

39 90 00 // - - - Other

// - Other machines and apparatus :

// - - For treating metals :

80 11 00 // - - - For welding

80 19 00 // - - - Other

// - - Other :

80 91 00 // - - - For resistance welding of plastics

80 99 00 // - - - Other

//

8517 // Electrical apparatus for line telephony or line telegraphy, including line telephone sets with cordless handsets and telecommunication apparatus for carrier-current line systems or for digital line systems; videophones .

//

8518 // Microphones and stands therefor; loudspeakers, whether or not mounted in their enclosures; headphones, earphones and combined microphone/speaker sets; audio-frequency electric amplifiers; electric sound amplifier sets .

//

8519 // Turntables (record-decks), record-players, cassette-players and other sound reproducing apparatus, not incorporating a sound recording device .

//

8520 // Magnetic tape recorders and other sound recording apparatus, whether or not incorporating a sound reproducing device .

//

8521 // Video recording or reproducing apparatus, whether or not incorporating a video tuner .

//

8524 // Records, tapes and other recorded media for sound or other similarly recorded phenomena, including matrices and masters for the production of records, but excluding products of Chapter 37 .

//

8527 // Reception apparatus for radio-telephony, radio-telegraphy or radio-broadcasting, whether or not combined, in the same housing, with sound recording or reproducing apparatus or a clock .

//

8528 // Reception apparatus for television, whether or not incorporating radio-broadcast receivers or sound or video recording or reproducing apparatus; video monitors and video projectors .

//

8716 // Trailers and semi-trailers; other vehicles, not mechanically propelled; parts thereof :

//

// - trailers and semi-trailers of the caravan type, for housing or camping :

//

10 10 00 // - - Folding caravans

10 90 00 // - - Other

// - Self-loading or Self-unloading trailers and semi-trailers for agricultural purposes :

20 10 00 // - - Manure spreaders

20 90 00 // - - Other .

// - - - Other :

// - - - - New :

39 30 00 // - - - - - Semi-trailers .

// - - - - - Other :

39 51 00 // - - - - - - With a single axle

39 59 00 // - - - - - - Other .

39 80 00 // - - - - Used.

40 00 00 // - Other trailers and semi-trailers

80 00 00 // - Other vehicles

// - Parts :

90 10 00 // - - Chassis

90 30 00 // - - Bodies

90 90 00 // - - Other parts

//

9402 // Medical, surgical, dental or veterinary furniture (for example, operating tables, examination tables, hospital beds with mechanical fittings, dentists' chairs); barbers' chairs and similar chairs, having rotating as well as both reclining and elevating movements; parts of the foregoing articles :

90 00 00 // Other

//

9404 // Mattress supports; articles of bedding and similar furnishing (for example, mattresses, quilts, eiderdowns, cushions, pouffes and pillows) fitted with springs or stuffed or internally fitted with any material or of cellular rubber or plastics, whether or not covered:

10 00 00 // - Mattress supports

// - - Of other materials :

29 10 00 // - - - Spring interior

29 90 00 // - - - Other

// - Sleeping bags :

30 10 00 // - - Filled with feathers or down

30 90 00 // - - Other

// - Other :

90 10 00 // - - Filled with feathers or down

90 90 00 // - - Other

ANNEX II IMPORT INTO THE FORMER YUGOSLAV REPUBLIC OF MACEDONIA OF SENSITIVE INDUSTRIAL GOODS ORIGINATING IN THE COMMUNITY

Referred to in article 5.3

Customs duties on imports into the Former Yugoslav Republic of Macedonia of goods originating in the Community which are listed in this Annex shall be progressively reduced in accordance with the following timetable.

- on 1 January of the third year after the entry into force of the Agreement each duty shall be reduced to 80% of the basic duty;

- on 1 January of the fifth year after the entry into force of the Agreement each duty shall be reduced to 70% of the basic duty;

- on 1 January of the sixth year after the entry into force of the Agreement each duty shall be reduced to 60% of the basic duty;

- on 1 January of the seventh year after the entry into force of the Agreement each duty shall be reduced to 50% of the basic duty;

- on 1 January of the eighth year after the entry into force of the Agreement each duty shall be reduced to 40% of the basic duty;

- on 1 January of the ninth year after the entry into force of the Agreement each duty shall be reduced to 20% of the basic duty;

- on 1 January of the tenth year after the entry into force of the Agreement the remaining duties shall be abolished.

Tariff code // DESCRIPTION

2515 // Marble, travertine, ecaussine and other calcareous monumental or building stone of an apparent specific gravity of 2,5 or more, and alabaster, whether or not roughly trimmed or merely cut, by sawing or otherwise, into blocks or slabs of a rectangular (including sqare) shape.

//

2516 // Granite, porphyry, basalt, sandstone and other monumental or building stone, whether or not roughly trimmed or merely cut, by sawing or otherwise, into blocks or slabs of a rectangular (including square) shape.

//

2710 // Petroleum oils and oils obtained from bituminous minerals, other than crude; preparations not elsewhere specified or included, containing by weight 70 % or more of petroleum oils or of oils obtained from bituminous minerals, these oils being the basic constituents of the preparations .

//

2711 // Petroleum gases and other gaseous hydrocarbons.

//

3004 // Medicaments (excluding goods of heading No 3002, 3005 or 3006) consisting of mixed or unmixed products for therapeutic or prophylactic uses, put up in measured doses or in forms or packings for retail sale:

// - Containing other antibiotics:

20 10 00 // - - Put up in forms or in packings of a kind sold by retail

// - Containing hormones or other products of heading No 2937 but not containing antibiotics:

// - - Containing insulin:

31 10 00 // - - - Put up in forms or in packings of a kind sold by retail

// - - Containing adrenal cortical hormones:

32 10 00 // - - - Put up in forms or in packings of a kind sold by retail

// - - Other:

39 10 00 // - - - Put up in forms or in packings of a kind sold by retail

// - Containing alkaloids or derivates thereof but not containing hormones, other products of heading No 2937 or antibiotics:

40 10 00 // - - Put up in forms or in packings of a kind sold by retail

// - Other medicaments containing vitamins or other products of heading No 2936 :

50 10 00 // - - Put up in forms or in packings of a kind sold by retail

// - Other:

// - - Put up in forms or in packings of a kind sold by retail:

90 11 00 // - - - Containig iodine or iodine compounds

90 19 00 // - - - Other

// - - Other:

90 91 00 // - - - Containig iodine or iodine compounds

90 99 00 // - - - Other

3005 // Wadding, gauze, bandages and similar articles (for example, dressings, adhesive plasters, poultices), impregnated or coated with pharmaceutical substances or put up in forms or packings for retail sale for medical, surgical, dental or veterinary purposes .

//

3205 // Colour lakes; preparations as specified in note 3 to this chapter based on colour lakes .

//

3208 // Paints and varnishes (including enamels and lacquers) based on synthetic polymers or chemically modified natural polymers, dispersed or dissolved in a non-aqueous medium; solutions as defined in note 4 to this chapter.

//

3209 // Paints and varnishes (including enamels and lacquers) based on synthetic polymers or chemically modified natural polymers, dispersed or dissolved in an aqueous medium.

//

3210 // Other paints and varnishes (including enamels, lacquers and distempers); prepared water pigments of a kind used for finishing leather.

//

3401 // Soap, organic surface-active products and preparations for use as soap, in the form of bars, cakes, moulded pieces or shapes, whether or not containing soap; paper, wadding, felt and nonwovens, impregnated, coated or covered with soap or detergent.

//

3402 // Organic surface-active agents (other than soap); surface-active preparations, washing preparations (including auxiliary washing preparations) and cleaning preparations, whether or not containing soap, other than those of heading No 3401:

// - Preparations put up for retail sale:

20 10 00 // - - Surface - active preparations

20 90 00 // - - Washing preparations and cleaning preparations

// - Other:

90 10 00 // -- Surface-active preparations

90 90 00 // -- Washing preparations and cleaning preparations

//

3904 // Polymers of vinyl chloride or of other halogenated olefins, in primary forms :

10 00 00 // - Polyvinyl chloride, not Mixed with any other substances

// - Other polyvinyl chloride :

21 00 00 // - - Non-plasticised

22 00 00 // - - Plasticised

40 00 00 // - Other vinyl chloride copolymers

50 00 00 // - Vinylidene chloride polymers

// - Fluoro-polymers :

61 00 00 // - - Polytetrafluoroethylene

69 00 00 // - - Other

90 00 00 // - Other

//

3917

// Tubes, pipes and hoses, and fittings therefor (for example, joints, elbows, flanges), of plastics.

//

3920 // Other plates, sheets, film, foil and strip, of plastics, non-cellular and not reinforced, laminated, supported or similarly combined with other materials .

//

3922 // Baths, shower baths, wash-basins, bidets, lavatory pans, seats and

// covers, flushing cisterns and similar sanitary ware, of plastic.

//

4012 // Retreaded or used pneumatic tyres of rubber; solid or cushion tyres, interchangeable tyre treads and tyre flaps, of rubber :

// - Retreaded tyres :

10 90 00 // - - Other

// - Used pneumatic tyres :

20 90 00 // - - Other

90 00 00 // - Other

//

4202 // Trunks, suit-cases, vanity-cases, executive-cases, brief-cases, school satchels, spectacle cases, binocular cases, camera cases, musical instrument cases, gun cases, holsters and similar containers; travelling-bags, toilet bags, rucksacks, handbags, shopping-bags, wallets, purses, map-cases, cigarette-cases, tobacco-pouches, tool bags, sports bags, bottle-cases, jewellery boxes, powder-boxes, cutlery cases and similar containers, of leather or of composition leather, of sheeting of plastics, of textile materials, of vulcanized fibre or of paperboard, or wholly or mainly covered with such materials or with paper .

//

4203 // Articles of apparel and clothing accessories, of leather or of composition leather .

//

4205 // Other articles of leather or of composition leather.

//

4304 // Artificial fur and articles thereof.

//

4418 // Builders' joinery and carpentry of wood, including cellular wood panels, assembled parquet panels, shingles and shakes .

//

4808 // Paper and paperboard, corrugated (with or without glued flat surface sheets), creped, crinkled, embossed or perforated, in rolls or sheets, other than paper of the kind described in heading No 4803 :

10 00 00 // - Corrugated paper and paperboard, whether or not perforated

30 00 00 // - Other kraft paper, creped or crinkled, whether or not embossed or perforated

90 00 00 // - Other

//

4810 // Paper and paperboard, coated on one or both sides with kaolin (china clay) or other inorganic substances, with or without a binder, and with no other coating, whether or not surface-coloured, surface-decorated or printed, in rolls or sheets :

// - Paper and paperboard of a kind used for writing, printing or other graphic purposes, not containing fibres obtained by a mechanical process or of which not more than 10 % by weight of the total fibre content consists of such fibres :

// - Other paper and paperboard :

// - - Multi-ply :

91 10 00 // - - - Each layer bleached

91 30 00 // - - - With only one outer layer bleached

91 90 00 // - - - Other

//

4818 // Toilet paper and similar paper, cellulose wadding or webs of cellulose fibres, of a kind used for household or sanitary purposes, in rolls of a width not exceeding 36 cm, or cut to size or shape; handkerchiefs, cleansing tissues, towels, tablecloths, serviettes, napkins for babies, tampons, bed sheets and similar household, sanitary or hospital articles, articles of apparel and clothing accessories, of paper pulp, paper, cellulose wadding or webs of cellulose fibres .

//

4819 // Cartons, boxes, cases, bags and other packing containers, of paper, paperboard, cellulose wadding or webs of cellulose fibres; box files, letter trays, and similar articles, of paper or paperboard of a kind used in offices, shops or the like :

10 00 00 // - Cartons, boxes and cases, of corrugated paper or paperboard

30 00 00 // - Sacks and bags, having a base of a width of 40 cm or more

40 00 00 // - Other sacks and bags, including cones

50 00 00 // - other packing containers, including record sleeves

60 00 00 // - box files, letter trays, storage boxes and similar articles, of a kind used in offices, shops or the like

//

4823 // Other paper, paperboard, cellulose wadding and webs of cellulose fibres, cut to size or shape; other articles of paper pulp, paper, paperboard, cellulose wadding or webs of cellulose fibres :

//

//

//

//

// - Trays, dishes, plates, cups and the like, of paper or paperboard:

//

60 10 00 // - - Trays, dishes and plates

60 90 00 // - - Other

// - Moulded or pressed articles of paper pulp :

70 10 00 // - - Moulded trays and boxes for packing eggs

70 90 00 // - - Other

//

6402 // Other footwear with outer soles and uppers of rubber or plastics.

//

6403 // Footwear with outer soles of rubber , plastics, leather or composition leather, and uppers of leather.

//

6404 // Footwear with outer soles of rubber, plastics, leather or composition leather and uppers of textile materials .

//

6405 // Other footwear .

//

6406 // Parts of footwear (including uppers whether or not attached to soles other than outer soles); removable in-soles, heel cushions and similar articles; gaiters, leggings and similar articles, and parts thereof.

7303 // Tubes, pipes and hollow profiles, of cast iron.

//

7304 // Tubes, pipes and hollow profiles, seamless, of iron (other than cast iron) or steel.

//

7305 // Other tubes and pipes (for example, welded, riveted or similarly closed), having circular cross-sections, the external diameter of which exceeds 406,4 mm, of iron or steel.

//

7306 // Other tubes, pipes and hollow profiles (for example, open seam or welded, riveted or similarly closed), of iron or steel.

//

7308 // Structures (excluding prefabricated buildings of heading No 9406) and parts of structures (for example, bridges and bridge-sections, lock-gates, towers, lattice masts, roofs, roofing frameworks, doors and windows and their frames and thresholds for doors, shutters, balustrades, pillars and columns), of iron or steel; plates, rods, angles, shapes, sections, tubes and the like, prepared for use in structures, of iron or steel .

//

7309 // Reservoirs, tanks, vats and similar containers for any material (other than compressed or liquefied gas), of iron or steel, of a capacity exceeding 300 litres, whether or not lined or heat-insulated, but not fitted with mechanical or thermal equipment .

//

7310 // Tanks, casks, drums, cans, boxes and similar containers, for any material (other than compressed of liquefied gas), of iron or steel, of a capacity no txceeding 300 litres, whether of not lined or heat-insulated, but not fitted withmechanical or thermal equipment:

10 00 00 // - Of a capacity of 50 litres or more

// - Of a capacity of less than 50 litres :

// - - - Other, with a wall thickness of :

21 91 00 // - - - - Less than 0,5 mm

21 99 00 // - - - - 0,5 mm or more

// - - Other :

29 10 00 // - - - With a wall thickness of less than 0,5 mm

29 90 00 // - - - With a wall thickness of 0,5 mm or more

//

7317 // Nails, tacks, drawing pins, corrugated nails, staples (other than those of heading No 8305) and similar articles, of iron or steel, whether or not with heads of other material, but excluding such articles with heads of copper .

//

7318 // Screws, bolts, nuts, coach screws, screw hooks, rivets, cotters, cotter-pins, washers (including spring washers) and similar articles, of iron or steel .

//

7320 // Springs and leaves for springs, of iron or steel.

//

7321 // Stoves, ranges, grates, cookers (including those with subsidiary boilers for central heating), barbecues, braziers, gas-rings, plate warmers and similar non-electric domestic appliances, and parts thereof, of iron or steel .

//

7323 // Table, kitchen or other household articles and parts thereof, of iron or steel; iron or steel wool; pot scourers and scouring or polishing pads, gloves and the like, of iron or steel :

// - - Of stainless steel :

93 10 00 // - - - Articles for table use

93 90 00 // - - - Other

// - - Of iron (other than cast iron) or steel, enamelled:

94 10 00 // - - - Articles for table use

94 90 00 // - - - Other

// - - Other :

99 10 00 // - - - Articles for table use

// - - - Other :

99 91 00 // - - - - Varnished or painted.

99 99 00 // - - - - Other

//

7325 // Other cast articles of iron or steel :

10 00 00 // - Of non-malleable cast iron

// - - Other :

// - - - Other :

99 10 00 // - - - Of malleable cast iron

99 99 00 // - - - - Other

//

7604 // Aluminium bars, rods and profiles.

//

7608 // Aluminium tubes and pipes.

//

7610 // Aluminium structures(exclidind prefabricated buildings of heading No 9406) and parts of structures( for example, bridges and brodge-sections, towers, lattice masts, roofs, roofing frameworks, doors and windows and their frames and threshholds for doors, balustrades, pillars and columns);aluminium plates, rods, profiles, tubes and the like, prepared for use in structures.

//

7611 // Aluminium reservoirs, tanks, vats and similar containers, for any material (other than compressed or liquefied gas), of a capacity exceeding 300 litres, whether or not lined or heat-insulated, but not fitted with mechanical or thermal equipment.

//

7612 // Aluminium casks, drums, cans, boxes and similar containers (including rigid or collapsible tubular containers), for any material (other than compressed or liquefied gas), of a capacity not exceeding 300 litres, whether or not lined or heat-insulated, but not fitted with mechanical or thermal equipment .

//

8303 // Armoured or reinforced safes, strong-boxes and doors and safe deposit lockers for strong-rooms, cash or deed boxes and the like, of base metal .

//

8402 // Steam or other vapour generating boilers(other than central heating hot water boilers capable also of producing low pressure steam); super-heated water boilers.

//

8403 // Central heating boilers other than those of heading No 8402 .

//

8404 // Auxiliary plant for use with boilers of heading No 8402 or 8403 (for example, economizers, super-heaters, soot removers, gas recoverers); condensers for steam or other vapour power units.

//

8413 // Pumps for liquids, whether or not fitted with a measuring device; liquid elevators.

//

8414 // Air or vacuum pumps, air or other gas compressors and fans; ventilating or recycling hoods incorporating a fan, whether or not fitted with filters .

//

8418 // Refrigerators, freezers and other refrigerating or freezing equipment, electric or other; heat pumps other than air conditioning machines of heading No 8415 :

// - Combined refrigerator-freezers, fitted with separate external doors :

// - - Other :

// - - - Of a capacity exceeding 340 litres :

10 91 10 // - - - - New

10 91 90 // - - - - Used

// - - - Other :

10 99 10 // - - - - New

10 99 90 // - - - - Used

// - Refrigerators, household type :

// - - Compression-type :

// - - - Of a capacity exceeding 340 litres:

21 10 10 // - - - - New

21 10 90 // - - - - Used

// - - - Other :

// - - - - Table model:

21 51 10 // - - - - - New

21 51 90 // - - - - - Used

// - - - - Building-in type:

21 59 10 // - - - - - New

21 59 90 // - - - - - Used

// - - - - Other, of a capacity :

// - - - - - Not exceeding 250 litres:

21 91 10 // - - - - - - New

21 91 90 // - - - - - - Used

// - - - - - Exceeding 250 litres but not

// exceeding 340 litres:

21 99 10 // - - - - - - New

21 99 90 // - - - - - - Used

// - - Absorption-type, electrical:

22 00 10 // - - - New

22 00 90 // - - - Used

// - - Other:

29 00 10 // - - - New

29 00 90 // - - - Used

// - Freezers of the chest type, not exceeding 800 litres capacity :

// - - Other :

// - - - Of a capacity not exceeding 400 litres:

30 91 10 // - - - - New

30 91 90 // - - - - Used

// - - - Of a capacity exceeding 400 litres but not exceeding 800 litres:

30 99 10 // - - - - New

30 99 90 // - - - - Used

// - Freezers of the upright type, not exceeding 900 litres capacity :

// - - Other :

// - - - Of a capacity not exceeding 250 litres:

40 91 10 // - - - - New

40 91 90 // - - - - Used

// - - - Of a capacity exceeding 250 litres but not exceeding 900 litres:

40 99 10 // - - - - New

40 99 90 // - - - - Used

// - Other refrigerating or freezing chests, cabinets, display counters, show-cases and similar refrigerating or freezing furniture:

// - - Refrigerated show-cases and counters (incorporating a refrigerating unit or evaporator):

// - - - For frozen food storage :

50 11 10 // - - - - New

50 11 90 // - - - - Used

// - - - Other :

50 19 10 // - - - - New

50 19 90 // - - - - Used

// - - Other refrigerating furniture:

50 90 10 // - - - - New

50 90 90 // - - - - Used

// - Parts :

91 00 00 // - - Furniture designed to receive refrigerating or freezing equipment

//

8457 // Machining centres, unit construction machines (single station) and multi-station transfer machines, for working metal .

//

8458 // Lathes (including turning centres) for removing metal.

//

8459 // Machine-tools (including way-type unit head machines) for drilling, boring, milling, threading or tapping by removing metal, other than lathes (including turning centres) of heading No 8458.

//

8504 // Electrical transformers, static converters (for example, rectifiers) and inductors.

//

8507 // Electric accumulators, including separators therefor, whether or not rectangular (including square):

// - Lead-acid of a kind used For starting piston engines:

// - - Other :

// - - - Of a weight exceeding 5 kg :

10 81 00 // - - - - Working with liquid electrolyte

10 89 00 // - - - - Other

//

8516 // Electric instantaneous or storage water heaters and immersion heaters; electric space heating apparatus and soil heating apparatus; electro-thermic hair-dressing apparatus (for example, hair dryers, hair curlers, curling tong heaters) and hand dryers; electric smoothing irons; other electro-thermic appliances of a kind used for domestic purposes; electric heating resistors, other than those of heading No 8545.

//

8529 // Parts suitable for use solely or principally with the apparatus of heading Nos 8525 to 8528 .

//

8534 // Printed circuits .

//

8535 // Electrical apparatus for switching or protecting electrical circuits, or for making connections to or in electrical circuits (for example, switches, fuses, lightning arresters, voltage limiters, surge suppressors, plugs, junction boxes), for a voltage exceeding 1 000 V .

//

8536 // Electrical apparatus for switching or protecting electrical circuits, or for making connections to or in electrical circuits (for example, switches, relays, fuses, surge suppressors, plugs, sockets, lamp-holders, junction boxes), for a voltage not exceeding 1 000 V :

// - Fuses :

10 10 00 // - - For a current not exceeding 10 A

10 50 00 // - - For a current exceeding 10 A but not exceeding 63 A

10 90 00 // - - For a current exceeding 63 A

// - Automatic circuit breakers :

20 10 00 // - - For a current not exceeding 63 A

20 90 00 // - - For a current exceeding 63 A

// - Other apparatus for protecting electrical circuits :

30 10 00 // - - For a current not exceeding 16 A

30 30 00 // - - For a current exceeding 16 A but not exceeding 125 A

30 90 00 // - - For a current exceeding 125 A

// - Relays :

// - - For a voltage not exceeding 60 V :

41 10 00 // - - - For a current not exceeding 2 A

41 90 00 // - - - For a current exceeding 2 A

49 00 00 // - - Other

// - Other switches :

// - - For a voltage not exceeding 60 V :

50 11 00 // - - - Push-button switches

50 15 00 // - - - Rotary switches

50 19 00 // - - - Other

// - - Other :

50 90 10 // - - - Starters for fluorescent lamp

50 90 90 // - - - Other

// - Lamp-holders, plugs and sockets :

// - - Other :

69 10 00 // - - - For co-axial cables

69 30 00 // - - - For printed circuits

69 90 00 // - - - Other

// - Other apparatus :

90 01 00 // - - Prefabricated elements for electrical circuits

90 10 00 // - - Connections and contact elements for wire and cables

90 85 00 // - - Other

//

8537 // Boards, panels, consoles, desks, cabinets and other bases, equipped with two or more apparatus of heading No 8535 or 8536, for electric control or the distribution of electricity, including those incorporating instruments or apparatus of Chapter 90, and numerical control apparatus, other than switching apparatus of heading No 8517 .

//

8538 // Parts suitable for use solely or principally with the apparatus of heading No 8535, 8536 or 8537 .

//

8539 // Electric filament or discharge lamps, including sealed-beam lamp units and ultraviolet or infra-red lamps; arc-lamps :

// - Other filament lamps, excluding ultraviolet or infra-red lamps :

// - - Tungsten halogen :

21 30 00 // - - - of a kind used For motor-cycles or Other motor vehicles

// - - - Other, for a voltage :

21 92 00 // - - - - Exceeding 100 V

21 98 00 // - - - - Not exceeding 100 V

// - - Other, of a power not exceeding 200 W and

for a voltage exceeding 100 V :

22 10 00 // - - - Reflector lamps

22 90 00 // - - - Other

29 30 00 // - - Other

// - - - of a kind used for motor-cycles or other motor vehicles

// - - - other for a voltage:

29 92 00 // - - - - Exceeding 100 V

29 98 00 // - - - - Not exceeding 100 V

// - discharge lamps, Other than ultraviolet lamps :

// - - Mercury or sodium vapour lamps; metal halide lamps :

32 10 00 // - - - Mercury vapour lamps

//

8544 // Insulated (including enamelled or anodised) wire, cable (including coaxial cable) and other insulated electric conductors, whether or not fitted with connectors; optical fibre cables, made up of individually sheathed fibres, whether or not assembled with electric conductors or fitted with connectors.

//

8607 // Parts of railway or tramway locomotives or rolling-stock :

// - Brakes and parts thereof :

// - - Air brakes and parts thereof :

21 10 00 // - - - Of cast iron or cast steel

21 90 00 // - - - Other

// - - Other :

29 10 00 // - - - Of cast iron or cast steel

29 90 00 // - - - Other.

//

8702 // Motor vehicles for the transport of ten or more persons, including the driver.

//

8703 // Motor cars and other motor vehicles principally design for the transport of persons( other than those of heading No 8702), including station wagons and racing cars

//

8704 // Motor vehicles for the transport of goods

//

8706 // Chassis fitted with engines, for the motor vehicles of heading Nos 8701 to 8705.

//

8707 // Bodies (including cabs), for the motor vehicles of heading Nos 8701 to 8705.

//

8708 // Parts and accessories of the motor vehicles of heading Nos 8701 to 8705 :

// - Bumpers and parts thereof:

10 00 90 // - -Others

// - Others parts and accessories of bodies (including cabs)

// - - Safety seat belts:

21 00 90 // - - - Other

// - - Other

29 00 90 // - - - Other

// - Braces and servo-braces and parts thereof:

// - - Mounted brake linings:

31 00 90 // - - - Other

// - - Other:

39 00 90 // - - - Other

// - Suspension shock-absorbers :

80 00 90 // - - Other

// - - Clutches and parts thereof :

93 00 90 // - - - Other

// - - Other

99 00 90 // - - - Other

//

8711 // Motor -cycles (including mopeds) and cycles fitted with an auxiliary motor, with or without side cars; side cars

8712 00 // Bicycles and other cycles( including delivery tricycles), not motorised

//

9401 // Seats (other than those of heading No 9402), whether or not convertible into beds, and parts thereof :

// - Seats of a kind used for aircraft :

10 90 00 // - - Other

20 00 00 // - Seats of a kind used for motor vehicles

// - Swivel seats with variable height adjustment :

30 10 00 // - - Upholstered, with backrest and fitted with castors or glides

30 90 00 // - - Other

40 00 00 // - Seats other than garden seats or camping equipment, convertible into beds

50 00 00 // - Seats of cane, osier, bamboo or similar materials

// - Other seats, with wooden frames :

61 00 00 // - - Upholstered

69 00 00 // - - Other

// - Other seats, with metal frames :

71 00 00 // - - Upholstered

79 00 00 // - - Other

80 00 00 // - Other seats

// - Parts :

// - - Other :

90 30 00 // - - - Of wood

90 80 00 // - - - Other

//

9403 // Other furniture and parts thereof :

// - Metal furniture of a kind used in offices:

10 10 00 // - - Drawing tables (other than those of heading

No 9017)

// - - Other :

// - - - Not exceeding 80 cm in height :

10 51 00 // - - - - Desks

10 59 00 // - - - - Other

// - - - Exceeding 80 cm in height :

10 91 00 // - - - - Cupboards with doors, shutters or flaps

10 93 00 // - - - - Filing, card-index and other cabinets .

10 99 00 // - - - - Other

// - Other metal furniture :

// - - Other :

20 91 00 // - - - Beds

20 99 00 // - - - Other

// - Wooden furniture of a kind used in offices :

// - - Not exceeding 80 cm in height :

30 11 00 // - - - Desks

30 19 00 // - - - Other

// - - Exceeding 80 cm in height :

30 91 00 // - - - Cupboards with doors, shutters or flaps; filing, card-index and other cabinets

30 99 00 // - - - Other

// - Wooden furniture of a kind used in the kitchen :

40 10 00 // - - Fitted kitchen units

40 90 00 // - - Other

50 00 00 // - Wooden furniture of a kind used in the bedroom

// - Other wooden furniture :

60 10 00 // - - Wooden furniture of a kind used in the dining room and the living room

60 30 00 // - - Wooden furniture of a kind used in shops

60 90 00 // - - Other wooden furniture

// - Furniture of plastics :

70 90 00 // - - Other

80 00 00 // - Furniture of other materials, including cane, osier, bamboo or similar materials

// - Parts :

90 10 00 // - - Of metal

90 30 00 // - - Of wood

90 90 00 // - - Of other materials

//

9405 // Lamps and lighting fittings including searchlights and spotlights and parts thereof, not elsewhere specified or included; illuminated signs, illuminated name-plates and the like, having a permanently fixed light source, and parts thereof not elsewhere specified or included.

//

9406 // Prefabricated buildings

ANNEX III Definition of "baby beef" products referred to in Article 14 (2)

Notwithstanding the rules for the interpretation of the Combined Nomenclature, the wording for the description of the products is to be considered as having no more than an indicative value, the preferential scheme being determined, within the context of this Annex, by the coverage of the CN codes. Where ex CN codes are indicated, the preferential scheme is to be determined by application of the CN code and corresponding description taken together.

>TABLE POSITION>

1 Entry under this subheading is subject to conditions laid down in the relevant Community provisions.

>TABLE POSITION>

1 Entry under this subheading is subject to conditions laid down in the relevant Community provisions.

ANNEX IV (a)

Products referred to in Article 14 paragraph 3 (a)

Following products originating in the Community imported into the Former Yugoslav Republic of Macedonia shall benefit from a zero-duty tariff:

>TABLE POSITION>

ANNEX IV (b)

Products referred to in Article 14 paragraph 3 (b)

Following products originating in the Community imported into the Former Yugoslav Republic of Macedonia shall benefit from a zero-duty tariff within tariff quotas set out below:

>TABLE POSITION>

ANNEX IV (c)

Products referred to in Article 14 paragraph 3 (c)

Following products originating in the Community imported into the Former Yugoslav Republic of Macedonia shall be subject within tariff quotas to the concessions set out below:

>TABLE POSITION>

ANNEX V (a)

Products referred to in Article 15 paragraph 1

Imports into the European Community of the following products originating in the Former Yugoslav Republic of Macedonia shall be subject to the concessions set out below:

>TABLE POSITION>

ANNEX V (b)

Products referred to in Article 15 paragraph 2

Imports into the former Yugoslav Republic of Macedonia of the following products originating in the Community shall be subject to the concessions set out below:

>TABLE POSITION>

As defined in the Customs Tariff Law of 31 July 1996 of the Former Yugoslav Republic of Macedonia (Official Journal 38/96)

ANNEX VI INTELLECTUAL, INDUSTRIAL AND COMMERCIAL PROPERTY RIGHTS

REFERRED TO IN ARTICLE 35

1. Paragraph 3 of Article 35concerns the following multilateral conventions:

- Budapest Treaty on the international Recognition of the Deposit of Micro-organisms for the purposes of Patent Procedures (1977, modified in 1980);

- Protocol relating to the Madrid Agreement concerning the International Registration of Marks (Madrid, 1989);

- International Convention for the Protection of New Varieties of Plants (UPOV Geneva Act, 1991).

The Cooperation Council may decide that paragraph 3 of Article 35 shall apply to other multilateral conventions.

2. The parties confirm the importance they attach to the obligations arising from the following multilateral conventions:

- International Convention for the Protection of Performers, Producers of Phonograms and Broadcasting Organisations (Rome, 1961);

- Paris Convention for the Protection of Industrial Property (Stockholm Act, 1967 and amended in 1979);

- Madrid Agreement concerning the International Registration of Marks (Stockholm Act, 1967 and amended in 1979);

- Patent Co-operation Treaty (Washington, 1970, amended in 1979 and modified in 1984);

- Convention for the Protection of Producers of Phonograms against Unauthorised Duplications of their Phonograms (Geneva 1971);

- Berne Convention for the Protection of Literary and Artistic Works (Paris Act, 1971);

- Nice Agreement concerning the International Classification of Goods and Services for the purposes of the Registration of Marks (Geneva, 1977 and amended in 1979).

3. From entry into force of this Agreement, the former Yugoslav Republic of Macedonia shall grant to Community companies and nationals, in respect of the recognition and protection of intellectual, industrial and commercial property, treatment no less favourable than that granted by it to any third country under bilateral agreements

List of Protocols

Protocol 1 - On Textile and clothing products

Protocol 2 - On Steel products

Protocol 3 - On trade between the former Yugoslav Republic of Macedonia and the Community in Processed agricultural products

Protocol 4 - Concerning the definition of the concept of "originating products" and methods of administrative co-operation

Protocol 5 - On mutual Assistance between administrative authorities in Custom matters

PROTOCOL 1 Related to Article 9 on textile and clothing products

Article 1

This Protocol applies to the textile and clothing products (hereinafter "textile products") listed in Section XI (Chapter 50 to 63) of the combined nomenclature of the Community.

Article 2

1. Textile products falling within Section XI (Chapter 50 to 63) of the combined nomenclature and originating in the Former Yugoslav Republic of Macedonia as defined in Protocol 4 of this Agreement will enter into the Community free of Customs duties on the day of entry into force of this Agreement.

2. The duties applied to direct imports into the Former Yugoslav Republic of Macedonia of textile products falling within Section XI (Chapter 50 to 63) of the combined nomenclature and originating in the Community as defined in Protocol 4 of the Agreement, shall be abolished on the date of entry into force of Agreement except for products listed in Annex I to this Protocol for which the rates of duties shall be progressively reduced as provided therein.

3. Subject to this Protocol, the provisions of the Agreement and in particular Articles 6 and 21 of the Agreement shall apply to trade in textile products between the parties.

Article 3

The double-checking arrangements and other related issues regarding exports of textile products originating in the Former Yugoslav Republic of Macedonia to the Community and originating in the Community to the Former Yugoslav Republic of Macedonia are stipulated in the Agreement between the European Community and the Former Yugoslav Republic of Macedonia on trade in textile products as renewed and applied since 1 January 2000.

Article 4

From the entry into force of this Agreement, no new quantitative restrictions or measures of equivalent effect shall be imposed except as provided for under the above Agreement and its Protocols.

ANNEX I

CUSTOMS DUTIES REFFERED TO IN ARTICLE 2(2)

Customs duties on imports into the Former Yugoslav Republic of Macedonia of textile products listed in this Annex and originating in the Community shall be progressively reduced in accordance with the following timetable:

- on 1 January of the first year after the entry into force of the Agreement each duty shall be reduced to 70% of the basic duty;

- on 1 January of the second year after the entry into force of the Agreement each duty shall be reduced to 63% of the basic duty;

- on 1 January of the third year after the entry into force of the Agreement each duty shall be reduced to 56% of the basic duty;

- on 1 January of the fourth year after the entry into force of the Agreement each duty shall be reduced to 49% of the basic duty;

- on 1 January of the fifth year after the entry into force of the Agreement each duty shall be reduced to 42% of the basic duty;

- on 1 January of the sixth year after the entry into force of the Agreement each duty shall be reduced to 35% of the basic duty;

- on 1 January of the seventh year after the entry into force of the Agreement each duty shall be reduced to 28% of the basic duty;

- on 1 January of the eighth year after the entry into force of the Agreement each duty shall be reduced to 21% of the basic duty;

- on 1 January of the ninth year after the entry into force of the Agreement each duty shall be reduced to 14% of the basic duty;

- on 1 January of the tenth year after the entry into force of the Agreement the remaining duties shall be abolished.

Annex I

List of products for which the rates shall be reduced

>TABLE POSITION>

PROTOCOL 2 on steel products

Article 1

This Protocol shall apply to the products listed in Chapters 72 of the Common Customs Tariff. It shall also apply to other finished steel products that may originate in future in the former Yugoslav Republic of Macedonia under the above chapter.

Article 2

Customs duties on imports applicable in the Community on steel products originating in the former Yugoslav Republic of Macedonia shall be abolished at the entry into force of the Agreement.

Article 3

Customs duties applicable in the former Yugoslav Republic of Macedonia on imports of steel products originating in the Community shall be progressively abolished in accordance with the following timetable:

1. each duty shall be reduced to 80 % of the basic duty at the beginning of the first year after the entry into force of the Agreement;

2. further reductions to 60 %, 40 %, 20 % and 0 % of the basic duty shall be made at the beginning of the second, third, fourth and fifth year respectively after the entry into force of the Agreement.

Article 4

1. Quantitative restrictions on imports into the Community of steel products originating in the former Yugoslav Republic of Macedonia as well as measures having equivalent effect shall be abolished on the date of entry into force of the Agreement.

2. Quantitative restrictions on imports into the former Yugoslav Republic of Macedonia of steel products originating in the Community, as well as measures having equivalent effect, shall be abolished on the date of entry into force of the Agreement.

Article 5

1. In view of the disciplines stipulated by Article 69 of this Agreement, the Parties recognise the need and urgency that each Party addresses promptly any structural weaknesses of its steel sector to ensure the global competitiveness of its industry. The former Yugoslav Republic of Macedonia shall therefore establish within two years the necessary restructuring and conversion programme for its steel industry to achieve viability of this sector under normal market conditions. Upon request, the Community shall provide former Yugoslav Republic of Macedonia with the appropriate technical advice to achieve this objective.

2. Further to the disciplines stipulated by Article 69 of this Agreement, any practices contrary to this Article shall be assessed on the basis of specific criteria arising from the application of the State aid disciplines of the Community, including its secondary legislation, and including any specific rules on State aid control applicable to the steel sector after the expiry of the ECSC Treaty.

3. For the purposes of applying the provisions of paragraph 1(iii) of Article 69 of this Agreement with regard to steel products, the Community recognises that during five years after the entry into force of this Agreement, the former Yugoslav Republic of Macedonia may exceptionally grant State aid for restructuring purposes provided that:

- it leads to the viability of the benefiting firms under normal market conditions at the end of the restructuring period, and

- the amount and intensity of such aid are strictly limited to what is absolutely necessary in order to restore such viability and are progressively reduced, and

- the restructuring programme is linked to a global rationalisation and reduction of capacity in the former Yugoslav Republic of Macedonia.

4. Each Party shall ensure full transparency with respect to the implementation of the necessary restructuring and conversion programme by a full and continuous exchange of information to the other Party, including details on the restructuring plan as well as amount, intensity and purpose for any State aid granted on the basis of paragraph 2 and 3 of this Article.

5. The Cooperation Council shall monitor the implementation of the requirements set out at paragraphs (1) to (4) above.

6. If one of the Parties considers that a particular practice of the other Party is incompatible with the terms of this Article, and if that practice causes or threatens to cause prejudice to the interests of the first Party or material injury to its domestic industry, this Party may take appropriate measures after consultation within the Contact Group referred to in Article 8, or after thirty working days following referral for such consultation.

Article 6

The provisions of Articles 6, 7 and 21 of the Agreement shall apply to trade between the parties in steel products.

Article 7

1. The Contracting Parties recognise the need for an administrative procedure having as its purpose the rapid provision of information on the trend in trade flows in respect of the trade in steel products originating in the former Yugoslav Republic of Macedonia in order to increase transparency and to avoid possible diversions of trade.

2. The Contracting Parties therefore agree to establish a double-checking system, without quantitative limits, for the import into the Community of steel products originating in the former Yugoslav Republic of Macedonia; to exchange statistical information on export and surveillance documents and to hold consultations promptly on any problems arising from the operation of such a system.

3. The details of the double-checking system are contained in Annex I to this Protocol. The continuing need for this system shall be regularly reviewed. The Annex may subsequently be amended or the double-checking system abolished by means of a Decision of the Cooperation Council.

Article 8

The Parties agree that the special body already established by the Cooperation Council, namely 'the Contact Group on Iron and Steel products' [7], will discuss the implementation of this Protocol.

[7] Decision No. 1/98 of 20 March 1998;

ANNEX I concerning the introduction of a double-checking system for the export of certain steel products from the former Yugoslav Republic of Macedonia to the European Communities

Article 1

1. From the date of entry into force of the Interime Agreement between the European Community and the former Yugoslav Republic of Macedonia (hereinafter referred to as respectively 'the Agreement` and 'the Community`), imports into the Community of the products listed in Appendix I originating in the former Yugoslav Republic of Macedonia shall be subject to the presentation of a surveillance document conforming to the model shown in Appendix II issued by the authorities in the Community.

2. The classification of the products covered by this Protocol is based on the tariff and statistical nomenclature of the Community (hereinafter called the 'combined nomenclature`, or in abbreviated form 'CN`). The origin of the products covered by this Protocol shall be determined in accordance with the rules in force in the Community.

3. The competent authorities of the Community undertake to inform the former Yugoslav Republic of Macedonia of any changes in the combined nomenclature (CN) in respect of products covered by the double-checking system before the date of their entry into force in the Community.

4. Import into the Community of the iron and steel products listed in Appendix I and which originate in the former Yugoslav Republic of Macedonia shall, in addition, be subject to the issue of an export document by the competent authorities of the former Yugoslav Republic of Macedonia. In order to avoid problems at the end of a year, presentation by the importer of the original of the export document must be effected not later than 31 March of the year following that in which in the goods covered by the document were shipped.

5. An export document will not be required for goods already shipped before the date of entry into force of the Agreement, provided that the destination of such products is not changed from a non-Community destination and that those products which, under the prior surveillance regime applicable in 1996, could be imported only on presentation of a surveillance document are in fact accompanied by such a document.

6. Shipment is considered to have taken place on the date of loading onto the exporting means of transport.

7. The export document shall conform to the model shown at Appendix III. It shall be valid for exports throughout the customs territory of the Community.

8. The former Yugoslav Republic of Macedonia shall notify the Commission of the European Communities of the names and addresses of the appropriate governmental authorities of the former Yugoslav Republic of Macedonia which are authorized to issue and to verify export documents together with specimens of the stamps and signatures they use. The former Yugoslav Republic of Macedonia shall also notify the Commission of any change in these particulars.

9. Certain technical provisions on the implementation of the double-checking system are set out in Appendix IV.

Article 2

1. The former Yugoslav Republic of Macedonia undertakes to supply the Community with precise statistical information on the export documents issued by the authorities of the former Yugoslav Republic of Macedonia pursuant to Article 1.

Such information shall be transmitted to the Community by the end of the month following the month to which the statistics relate.

2. The Community undertakes to supply the authorities of the former Yugoslav Republic of Macedonia with precise statistical information on surveillance documents issued by Member States in respect of the products listed in Appendix I. Such information shall be transmitted to the authorities of the former Yugoslav Republic of Macedonia by the end of the month following the month to which the statistics relate.

Article 3

If necessary, at the request of either of the Parties, consultations shall be held on any problems arising from the operation of the double-checking system. Such consultations shall be held promptly. Any consultations held under this Article shall be approached by both Parties in a spirit of co-operation and with a desire to reconcile the difference between them.

Article 4

Any notices to be given hereunder shall be given:

- in respect of the Community, to the Commission of the European Communities (DG Trade E/2 and DG Enterprise C/2),

- in respect of the former Yugoslav Republic of Macedonia, to its Mission to the European Communities, the Ministry of Foreign Affairs and the Ministry of Economy.

Appendix I to Annex I

LIST OF PRODUCTS SUBJECT TO DOUBLE-CHECKING

Complete CN heading 7208

Complete CN heading 7209

Complete CN heading 7210

Complete CN heading 7211

Complete CN heading 7212

The remaining technical annexes will be added at a later stage and will reflect the technical annexes currently in force.

PROTOCOL 3 on trade between the former Yugoslav Republic of Macedonia and the Community in processed agricultural products

Article 1

1. The Community and the former Yugoslav Republic of Macedonia apply to processed agricultural products the duties, listed in Annex I and Annex II respectively in accordance with the conditions mentioned therein, whether limited by quota or not.

2. The Cooperation Council shall decide on:

- extensions of the list of processed agricultural products under this Protocol,

- amendments to the duties referred to in Annexes I and II,

- increases in or the abolition of tariff quotas.

3. The Cooperation Council may replace the duties established by this Protocol by a regime established on the basis of the respective market prices of the Community and the former Yugoslav Republic of Macedonia of agricultural products actually used in the manufacture of processed agricultural products subject to this Protocol. It will establish the list of goods subject to these amounts and as a consequence, the list of basic products; to this end, it will decide the general rules of application.

Article 2

The duties applied pursuant to Article 1 may be reduced by decision of the Cooperation Council:

- when in trade between the Community and the former Yugoslav Republic of Macedonia the duties applied to the basic products are reduced, or

- in response to reductions resulting from mutual concessions relating to processed agricultural products.

The reductions provided for under the first indent shall be calculated on the part of the duty designated as the agricultural component which shall correspond to the agricultural products actually used in the manufacture of the processed agricultural products in question and deducted from the duties applied to these basic agricultural products.

Article 3

The Community and the former Yugoslav Republic of Macedonia shall inform each other of the administrative arrangements adopted for the products covered by this Protocol. These arrangements should ensure equal treatment for all interested parties and should be as simple and flexible as possible.

ANNEX I

Duties applicable upon imports into the Community of goods originating in the former Yugoslav Republic of Macedonia

Duties are set to zero for imports into the Community of processed agricultural products originating in the former Yugoslav Republic of Macedonia as listed hereafter.

CN Code // Description

(1) // (2)

0403 // Buttermilk, curdled milk and cream, yogurt, kephir and other fermented or acidified milk and cream, whether or not concentrated or containing added sugar or other sweetening matter or flavoured or containing added fruit, nuts or cocoa :

0403 10 // - Yoghurt:

// -- Flavoured or containing added fruit, nuts or cocoa:

// ---In powder, granules or other solid forms, of a milk fat content, by weight:

0403 10 51 // ----Not exceeding 1,5%

0403 10 53 // ----Exceeding 1,5% but not exceeding 27%

0403 10 59 // ----Exceeding 27%

// ---Other, of a milk fat content, by weight:

0403 10 91 // ----Not exceeding 3%

0403 10 93 // ----Exceeding 3% but not exceeding 6%

0403 10 99 // ----Exceeding 6%

0403 90 // - Other:

// --Flavoured or containing added fruit, nuts or cocoa:

// ---In powder, granules or other solid forms, of a milkfat content, by weight:

0403 90 71 // ----Not exceeding 1,5%

0403 90 73 // ----Exceeding 1,5% but not exceeding 27%

0403 90 79 // ----Exceeding 27%

// ---Other, of a milkfat content, by weight:

0403 90 91 // ----Not exceeding 3%

0403 90 93 // ----Exceeding 3% but not exceeding 6%

0403 90 99 // ----Exceeding 6%

0405 // Butter and other fats and oils derived from milk; dairy spreads :

0405 20 // -Dairy spreads:

0405 20 10 // --Of a fat content, by weight, of 39% or more but less than 60%

0405 20 30 // --Of a fat content, by weight, of 60% or more but not exceeding 75%

0509 00 // Natural sponges of animal origin :

0509 00 90 // -Other

0710 // Vegetables (uncooked or cooked by steaming or boiling in water), frozen:

0710 40 00 // - Sweet corn

0711 // Vegetables provisionally preserved (for example, by sulphur dioxide gas, in brine, in sulphur water or in other preservative solutions), but unsuitable in that state for immediate consumption:

0711 90 // - Other vegetables; mixtures of vegetables:

// -- Vegetables

0711 90 30 // --- Sweet corn

1302 // Vegetable saps and extracts; pectic substances, pectinates and pectates; agar-agar and other mucilages and thickeners, whether or not modified, derived from vegetable products:

// -Vegetable saps and extracts :

1302 12 00 // --Of liquorice

1302 13 00 // --Of hops

1302 20 // -Pectic substances, pectinates and pectates:

1302 20 10 // --Dry

1302 20 90 // --Other

1505 // Wool grease and fatty substances derived therefrom (including lanolin):

1505 10 00 // -Wool grease, crude

1516 // Animal or vegetable fats and oils and their fractions, partly or wholly hydrogenated, inter-esterified, re-esterified or elaidinized, whether or not refined, but not further prepared:

1516 20 // -Vegetable fats and oils and their fractions:

1516 20 10 // --Hydrogenated castor oil, so called "opal-wax"

1517 // Margarine; edible mixtures or preparations of animal or vegetable fats or oils or of fractions of different fats or oils of this chapter, other than edible fats or oils or their fractions of heading No 1516:

1517 10 // -Margarine, excluding liquid margarine:

1517 10 10 // --Containing more than 10% but not more than 15% by weight of milk fats

1517 90 // -Other:

1517 90 10 // --Containing more than 10% but not more than 15% by weight of milk fats

// --Other

1517 90 93 // ---Edible mixtures or preparations of a kind used as mould release preparations

1518 00 // Animal or vegetable fats and oils and their fractions, boiled, oxidized, dehydrated, sulphurised, blown, polymerized by heat in vacuum or in inert gas or otherwise chemically modified, excluding those of heading No 1516; inedible mixtures or preparations of animal or vegetable fats or oils or of fractions of different fats or oils of this chapter, not elsewhere specified or included:

1518 00 10 // -Linoxyn

// -Fixed vegetable oils, fluid, mixed, for technical or industrial uses other than the manufacture of foodstuffs for human consumption

// -Other:

1518 00 91 // --Animal or vegetable fats and oils and their fractions, boiled, oxidized, dehydrated, sulphurized, blown, polymerized by heat in vacuum or in inert gas or otherwise chemically modified, excluding those of heading No1516

// --Other:

1518 00 95 // ---Inedible mixtures or preparations of animal or of animal and vegetable fats and oils and their fractions

1518 00 99 // ---Other

1521 // Vegetable waxes (other than triglycerides), beeswax, other insect waxes and spermaceti, whether or not refined or coloured:

1521 90 // -Other

// -- Beeswax and other insect waxes, whether or not refined or coloured

1521 90 99 // ---Other

1522 00 // Degras; residues resulting from the treatment of fatty substances or animal or vegetable waxes:

1522 00 10 // -Degras

1702 // Other sugars, including chemically pure lactose, maltose, glucose and fructose, in solid form; sugar syrups not containing added flavouring or colouring matter; artificial honey, whether or not mixed with natural honey; caramel:

1702 50 00 // -Chemically pure fructose

1702 90 // -Other, including invert sugar:

1702 90 10 // --Chemically pure maltose

1704 // Sugar confectionery (including white chocolate), not containing cocoa :

1704 10 // -Chewing gum, whether or not sugar-coated:

// --Containing less than 60% by weight of sucrose (including invert sugar expressed as sucrose):

1704 10 11 // ---Gum in strips

1704 10 19 // ---Other

// --Containing 60% or more by weight of sucrose (including invert sugar expressed as sucrose):

1704 10 91 // ---Gum in strips

1704 10 99 // ---Other

1704 90 // -Other:

1704 90 10 // --Liquorice extract containing more than 10% by weight of sucrose but not containing other added substances

1704 90 30 // --White chocolate

// --Other:

1704 90 51 // ---Pastes, including marzipan, in immediate packings of a net content of 1 kg or more

1704 90 55 // ---Throat pastilles and cough drops

1704 90 61 // ---Sugar coated (panned) goods

// ---Other :

1704 90 65 // ----Gum confectionery and jelly confectionery including fruit pastes in the form of sugar confectionery

1704 90 71 // ----Boiled sweets whether or not filled

1704 90 75 // ----Toffees, caramels and similar sweets

// ----Other

1704 90 81 // -----Compressed tablets

1704 90 99 // -----Other

1803 // Cocoa paste, whether or not defatted:

1803 10 00 // -Not defatted

1803 20 00 // -Wholly or partly defatted

1804 00 00 // Cocoa butter, fat and oil

1805 00 00 // Cocoa powder, not containing added sugar or other sweetening matter

1806 // Chocolate and other food preparations containing cocoa:

1806 10 // - Cocoa powder, containing added sugar or other sweetening matter:

1806 10 15 // --Containing no sucrose or containing less than 5% by weight of sucrose (including invert sugar expressed as sucrose) or isoglucose expressed as sucrose

1806 10 20 // --Containing 5% or more but less than 65% by weight of sucrose (including invert sugar expressed as sucrose) or isoglucose expressed as sucrose

1806 10 30 // --Containing 65% or more but less than 80% by weight of sucrose (including invert sugar expressed as sucrose) or isoglucose expressed as sucrose

1806 10 90 // --Containing 80% or more by weight of sucrose (including invert sugar expressed as sucrose) or isoglucose expressed as sucrose

1806 20 // - Other preparations in block, slabs or bars weighing more than 2 kg or in liquid, paste, powder, granular or other bulk form in containers or immediate packings, of a content exceeding 2 kg :

1806 20 10 // -- Containing 31% or more by weight of cocoa butter or containing a combined weight of 31% or more of cocoa butter and milk fat

1806 20 30 // -- Containing a combined weight of 25% or more, but less than 31% of cocoa butter and milk fat

// -- Other :

1806 20 50 // --- Containing 18% or more by weight of cocoa butter

1806 20 70 // --- Chocolate milk crumb

1806 20 80 // --- Chocolate flavour coating

1806 20 95 // --- Other

// -Other, in blocks, slabs or bars:

1806 31 00 // -- Filled

1806 32 // -- Not filled

1806 32 10 // ---With added cereal, fruit or nuts

1806 32 90 // ---Other

1806 90 // -Other:

// --Chocolate and chocolate products:

// ---Chocolates, whether or not filled:

1806 90 11 // ----Containing alcohol

1806 90 19 // ----Other

// ---Other:

1806 90 31 // ----Filled

1806 90 39 // ----Not filled

1806 90 50 // --Sugar confectionery and substitutes therefor made from sugar substitution products, containing cocoa

1806 90 60 // --Spreads containing cocoa

1806 90 70 // --Preparations containing cocoa for making beverages

1806 90 90 // --Other

1901 // Malt extract; food preparations of flour, meal, starch or malt extract, not containing cocoa or containing less than 40% by weight of cocoa calculated on a totally defatted basis, not elsewhere specified or included; food preparations of goods of heading Nos 0401 to 0404, not containing cocoa or containing less than 5% by weight of cocoa calculated on a totally defatted basis, not elsewhere specified or included:

1901 10 00 // -Preparations for infant use, put up for retail sale

1901 20 00 // - Mixes and doughs for the preparation of bakers' wares of heading No 1905

1901 90 // - Other:

// --Malt extract:

1901 90 11 // ---With a dry extract content of 90% or more by weight

1901 90 19 // ---Other

// --Other:

1901 90 91 // ---Containing no milk fats, sucrose, isoglucose, glucose or starch or containing less than 1,5% milk fat, 5% sucrose (including invert sugar) or isoglucose, 5% glucose or starch, excluding food preparations in powder form of goods of heading Nos 0401 to 0404

1901 90 99 // --- Other

1902 // Pasta, whether or not cooked or stuffed (with meat or other substances) or otherwise prepared such as spaghetti, macaroni, noodles, lasagne, gnocchi, ravioli, cannelloni, couscous, whether or not prepared :

// - Uncooked pasta, not stuffed or otherwise prepared :

1902 11 00 // -- Containing eggs

1902 19 // -- Other

1902 19 10 // ---Containing no common wheat flour or meal

1902 19 90 // ---Other

1902 20 // - Stuffed pasta whether or not cooked or otherwise prepared:

// --Other

1902 20 91 // ---Cooked

1902 20 99 // ---Other

1902 30 // - Other pasta

1902 30 10 // --Dried

1902 30 90 // --Other

1902 40 // - Couscous

1902 40 10 // --Unprepared

1902 40 90 // --Other

1903 00 00 // Tapioca and substitutes therefor prepared from starch, in the form of flakes, grains, pearls, siftings or similar forms

1904 // Prepared foods obtained by the swelling or roasting of cereals or cereal products (for example, cornflakes); cereals (other than maize (corn)), in grain form, or in the form of flakes or other worked grains (except flour and meal), pre-cooked, or otherwise prepared, not elsewhere specified or included:

1904 10 // -Prepared foods obtained by the swelling or roasting of cereals or cereal products:

1904 10 10 // --Obtained from maize

1904 10 30 // --Obtained from rice

1904 10 90 // --Other:

1904 20 // -Prepared foods obtained from unroasted cereal flakes or from mixtures of unroasted cereal flakes and roasted cereal flakes or swelled cereals:

1904 20 10 // --Preparation of the Müsli type based on unroasted cereal flakes

// --Other:

1904 20 91 // ---Obtained from maize

1904 20 95 // ---Obtained from rice

1904 20 99 // ---Other

1904 90 // -Other:

1904 90 10 // --Rice

1904 90 90 // --Other

1905 // Bread, pastry, cakes, biscuits and other bakers' wares, whether or not containing cocoa ; communion wafers, empty cachets of a kind suitable for pharmaceutical use, sealing wafers, rice paper and similar products :

1905 10 00 // - Crispbread

1905 20 // - Gingerbread and the like

1905 20 10 // --Containing by weight of sucrose less than 30% (including invert sugar expressed as sucrose)

1905 20 30 // --Containing by weight of sucrose 30% or more but less than 50% (including invert sugar expressed as sucrose)

1905 20 90 // --Containing by weight of sucrose 50% or more (including invert sugar expressed as sucrose)

1905 30 // -Sweet biscuits; waffles and wafers :

// --Completely or partially coated or covered with chocolate or other preparations containing cocoa:

1905 30 11 // ---In immediate packings of a net content not exceeding 85g

1905 30 19 // ---Other

// --Other:

// ---Sweet biscuits:

1905 30 30 // ----Containing 8% or more by weight of milk fats

// ----Other:

1905 30 51 // -----Sandwich biscuits

1905 30 59 // -----Other

// ---Waffles and wafers:

1905 30 91 // ----Salted, whether or not filled

1905 30 99 // ----Other

1905 40 // -Rusks, toasted bread and similar toasted products:

1905 40 10 // --Rusks

1905 40 90 // --Other

1905 90 // - Other:

1905 90 10 // -- Matzos

1905 90 20 // -- Communion wafers, empty cachets of a kind suitable for pharmaceutical use, sealing wafers, rice paper and similar products

// -- Other:

1905 90 30 // --- Bread, not containing added honey, eggs, cheese or fruit, and containing by weight in the dry matter state not more than 5% of sugars and not more than 5% of fat

1905 90 40 // --- Waffles and wafers with a water

// content exceeding 10% by weight

1905 90 45 // ---Biscuits

1905 90 55 // ---Extruded or expanded products, savoury or salted

// --- Other :

1905 90 60 // ---- With added sweetening matter

1905 90 90 // ---- Other

2001 // Vegetables, fruits, nuts and other edible parts of plants, prepared or preserved by vinegar or acetic acid :

2001 90 // - Other :

2001 90 30 // -- Sweet corn (Zea mays var. saccharata)

2001 90 40 // -- Yams, sweet potatoes and similar edible parts of plants containing 5% or more by weight of starch

2001 90 60 // --Palm hearts

2004 // Other vegetables prepared or preserved otherwise than by vinegar or acetic acid, frozen, other than products of heading No 2006

2004 10 // - Potatoes:

// --Other

2004 10 91 // ---In the form of flour, meal or flakes

2004 90 // - Other vegetables and mixtures of

// vegetables:

2004 90 10 // -- Sweet corn(Zea mays var. saccharata)

2005 // Other vegetables prepared or preserved otherwise than by vinegar or acetic acid, not frozen, other than products of heading No 2006

2005 20 // - Potatoes:

2005 20 10 // -- In the form of flour, meal or flakes

2005 80 00 // - Sweet corn(Zea mays var. saccharata)

2008 // Fruits, nuts and other edible parts of plants, otherwise prepared or preserved, whether or not containing added sugar or other sweetening matter or spirit, not elsewhere specified or included :

// -Nuts, ground-nuts and other seeds, whether or not mixed together:

2008 11 // --Ground-nuts

2008 11 10 // ---Peanut butter

// -Other, including mixtures other than those of subheading 2008 19:

2008 91 00 // -- Palm hearts

2008 99 // --Other

// ---Not containing added spirit:

// ----Not containing added sugar:

2008 99 85 // -----Maize (corn), other than sweet corn (Zea mays var. saccharata)

2008 99 91 // -----Yams, sweet potatoes and similar edible parts of plants, containing 5% or more by weight of starch

2101 // Extracts, essences and concentrates, of coffee, tea or maté, and preparations with a basis of these products or with a basis of coffee, tea or maté ; roasted chicory and other roasted coffee substitutes, and extracts, essences and concentrates thereof:

// - Extracts, essences and concentrates of coffee, and preparations with a basis of these extracts, essences or concentrates or with a basis of coffee:

2101 11 // -- Extracts; essences or concentrates:

2101 11 11 // --- With a coffee-based dry matter content of 95% or more by weight

2101 11 19 // --- Other

2101 12 // --Preparations with a basis of these extracts, essences or concentrates or with a basis of coffee :

2101 12 92 // ---Preparations with a basis of these extracts, essences or concentrates of coffee

2101 12 98 // --- Other

2101 20 // - Extracts, essences and concentrates, of tea or maté, and preparations with a basis of these extracts, essences and concentrates or with a basis of tea or maté :

2101 20 20 // -- Extracts, essences or concentrates:

// -- Preparations

2101 20 92 // --- With a basis of extracts, essences or concentrates of tea or maté

2101 20 98 // --- Other

2101 30 // - Roasted chicory and other roasted coffee substitutes and extracts, essences and concentrates thereof:

// -- Roasted chicory and other roasted coffee substitutes :

2101 30 11 // --- Roasted chicory

2101 30 19 // --- Other

// -- Extracts, essences and concentrates of roasted chicory and other roasted coffee substitutes :

2101 30 91 // ---Of roasted chicory

2101 30 99 // ---Other

2102 // Yeasts (active or inactive) ; other single-cell micro-organisms, dead (but not including vaccines of heading No 3002) ; prepared baking powders :

2102 10 // - Active yeasts :

2102 10 10 // -- Culture yeast

// -- Baker's yeast :

2102 10 31 // --- Dried

2102 10 39 // --- Other

2102 10 90 // -- Other

2102 20 // - Inactive yeasts ; other single-cell micro-organisms, dead :

// -- Inactive yeasts :

2102 20 11 // --- In tablet, cube or similar form, or in immediate packings of a net content not exceeding 1 kg.

2102 20 19 // --- Other

2102 30 00 // - Prepared baking powders

2103 // Sauces and preparations therefor; mixed condiments and mixed seasonings; mustard flour and meal and prepared mustard :

2103 10 00 // - Soya sauce

2103 20 00 // - Tomato ketchup and other tomato sauces

2103 30 // - Mustard flour and meal and prepared mustard :

2103 30 90 // -- Prepared mustard

2103 90 // --Other :

2103 90 90 // --Other

2104 // Soups and broths and preparations therefor ; homogenised composite food preparations :

2104 10 // - Soups and broths and preparation therefor:

2104 10 10 // -- Dried

2104 10 90 // -- Other

2104 20 00 // -Homogenised composite food preparetions

2105 00 // Ice cream and other edible ice, whether or not containing cocoa:

2105 00 10 // - Containing no milk fats or containing less than 3% by weight of such fats

// -Containing by weight of milk fats:

2105 00 91 // -- 3% or more but less than 7%

2105 00 99 // -- 7% or more

2106 // Food preparations not elsewhere specified or included:

2106 10 // - Protein concentrates and textured protein substances :

2106 10 20 // -- Containing no milk fats, sucrose, isoglucose, glucose or starch or containing, by weight, less than 1.5% milk fat, 5% sucrose or isoglucose, 5% glucose or starch

2106 10 80 // -- Other

2106 90 // - Other:

2106 90 10 // -- Cheese fondues

2106 90 20 // --Compound alcoholic preparations, other than those based on odoriferous substances, of a kind used for the manufacture of beverages

// -- Other:

2106 90 92 // --- Containing no milk fats, sucrose, isoglucose, glucose or starch or containing,by weight, less than 1.5% milk fat, 5% sucrose or isoglucose, 5% glucose or starch:

2106 90 98 // --- Other

2202 // Waters, including mineral waters and aerated waters, containing added sugar or other sweetening matter or flavoured, and other non-alcoholic beverages, not including fruit or vegetable juices of heading No 2009:

2202 10 00 // - Waters including mineral waters and aerated waters, containing added sugar or other sweetening matter or flavoured

2202 90 // - Other:

2202 90 10 // -- Not containing products of heading Nos 0401 to 0404 or fat obtained from products of heading Nos 0401 to 0404

// -- Other, containing by weight of fat obtained from the products of heading Nos 0401 to 0404 :

2202 90 91 // ---Less than 0.2%

2202 90 95 // ---0.2% or more but less than 2%

2202 90 99 // ---2% or more

2203 00 // Beer made from malt :

// - In containers holding 10 litres or less:

2203 00 01 // -- In bottles

2203 00 09 // -- Other

2203 00 10 // - In containers holding more than 10 litres

2205 // Vermouth and other wine of fresh grapes flavoured with plants or aromatic substances :

2205 10 // - In containers holding 2 litres or less:

2205 10 10 // -- Of an actual alcoholic strength by volume of 18% vol or less

2205 10 90 // -- Of an actual alcoholic strength by volume exceeding 18% vol

2205 90 // - Other :

2205 90 10 // -- Of an actual alcoholic strength by volume of 18% vol or less

2205 90 90 // -- Of an actual alcoholic strength by volume exceeding 18% vol

2207 // Undenatured ethyl alcohol of an alcoholic strength by volume of 80% vol or higher; ethyl alcohol and other spirits, denatured, of any strength:

2207 10 00 // - Undenatured ethyl alcohol of an alcoholic strength by volume of 80% vol or higher

2207 20 00 // - Ethyl alcohol and other spirits, denatured, of any strength

2208 // Undenatured ethyl alcohol of an alcoholic strength by volume of less than 80% vol; spirits, liqueurs and other spirituous beverages:

2208 40 // - Rum and taffia :

// -- In containers holding 2 litres or less

2208 40 11 // --- Rum with a content of volatile substances other than ethyl and methyl alcohol equal to or exceeding 225 grams per hectolitre of pure alcohol (with a 10 % tolerance)

// --- Other :

2208 40 31 // --- Of a value exceeding 7.9 EUR per litre of pure alcohol

2208 40 39 // --- Other

// -- In containers holding more than 2 litres

2208 40 51 // --- Rum with a content of volatile substances other than ethyl and methyl alcohol equal to or exceeding 225 grams per hectolitre of pure alcohol (with a 10 % tolerance)

// --- Other :

2208 40 91 // --- Of a value exceeding 2 EUR per litre of pure alcohol

2208 40 99 // --- Other

2208 90 // - Other :

// -- Undernatured ethyl alcohol of an alcoholic strength by volume of less than 80% volume, in containers holding:

2208 90 91 // --- 2 litres or less

2208 90 99 // --- More than 2 litres

2402 // Cigars, cheroots, cigarillos and cigarettes, of tobacco or of tobacco substitutes:

2402 10 00 // - Cigars, cheroots and cigarillos, containing tobacco

2402 20 // - Cigarettes containing tobacco :

2402 20 10 // --Containing cloves

2402 20 90 // --Other

2402 90 00 // -Other

2403 // Other manufactured tobacco and manufactured tobacco substitues; "homogenized" or "reconstituted" tobacco; tobacco extracts and essences:

2403 10 // - Smoking tobacco, whether or not containing tobacco substitutes in any proportion :

2403 10 10 // -- In immediate packings of a net content not exceeding 500 g

2403 10 90 // -- Other

// - Other

2403 91 00 // -- "Homogenized" or "reconstituted" tobacco

2403 99 // -- Other :

2403 99 10 // --- Chewing tobacco and snuff

2403 99 90 // --- Other

2905 // Acyclic alcohols and their halogenated, sulphonated, nitrated or nitrosated derivatives:

// - Other polyhydric alcohols :

2905 43 00 // -- Mannitol

2905 44 // -- D-glucitol (sorbitol) :

// --- In aqueous solution :

2905 44 11 // ---- Containing 2% or less by weight of D-mannitol, calculated on the D-glucitol content

2905 44 19 // ----Other

// ---Other

2905 44 91 // ----Containing 2% or less by weight of D-mannitol, calcutated on the D-glucitol content

2905 44 99 // ----Other

2905 45 00 // --Glycerol

3301 // Essential oils (terpeneless or not), including concretes and absolutes; resinoids; extracted oleoresins; concentrates of essential oils in fats, in fixed oils, in waxes or the like, obtained by enfleurage or maceration; terpenic by products of the deterpenation of essential oils; aqueous distillates and aqueous solutions of essential oils:

3301 90 // - Other

3301 90 21 // ---Extracted oleoresins of liquorice and hops

3302 // Mixtures of odoriferous substances and mixtures (including alcoholic solutions) with a basis of one or more of these substances, of a kind used as a raw materials in industry; other preparations based on odoriferous substances, of a kind used for the manufacture of beverages:

3302 10 // -Of a kind used in the food or drink industries

// --Of the type used in the drink industries:

// ---Preparations containing all flavouring agents characterizing a beverage :

3302 10 10 // ----Of an actual alcoholic strength by volume exceeding 0.5%

// ----Other:

3302 10 21 // -----Containing no milkfats, sucrose, isoglucose, glucose, or starch or containing, by weight, less than 1.5% milkfat, 5%sucrose or isoglucose, 5% glucose or starch

3302 10 29 // -----Other

3501 // Casein, caseinates and other casein derivates; casein glues:

3501 10 // - Casein:

3501 10 50 // -- For industrial uses other than the manufacture of foodstuffs or fodder

3501 10 90 // --Other

3501 90 // --Other

3501 90 90 // -- Other

3505 // Dextrins and other modified starches (for example, pregelatinized or esterified starches); glues based on starches, or on dextrins or other modified starches :

3505 10 // - Dextrins and other modified starches:

3505 10 10 // --Dextrins

// --Other modified starches:

3505 10 90 // ---Other

3505 20 // -Glues:

3505 20 10 // --Containing, by weight, less than 25% of starches or dextrins or other modified starches

3505 20 30 // --Containing, by weight, 25% or more but less than 55% of starches or dextrins or other modified starches

3505 20 50 // --Containing, by weight, 55% or more but less than 80% of starches or dextrins or other modified starches

3505 20 90 // --Containing by weight 80% or more of starches or dextrins or other modified starches

3809 // Finishing agents, dye carriers to accelerate the dyeing or fixing of dyestuffs and other products and preparations (for example, dressings and mordants), of a kind used in the textile, paper, leather or like industries, not elsewhere specified or included:

3809 10 // -With a basis of amylaceouos substances:

3809 10 10 // --Containing by weight of such substances less than 55%

3809 10 30 // --Containing by weight of such substances 55% or more but less than 70%

3809 10 50 // --Containing by weight of such substances 70% or more but less than 83%

3809 10 90 // --Containing by weight of such substances 83% or more

3823 // Industrial monocarboxylic fatty acids; acid oils from refining; industrial fatty alcohols:

// - Industrial monocarboxylic fatty acids, acid oils from refining

3823 11 00 // -- Stearic acid

3823 12 00 // -- Oleic acid

3823 13 00 // --Tall oil fatty acids

3823 19 // --Other:

3823 19 10 // ---Distilled fatty acids

3823 19 30 // ---Fatty acid distillate

3823 19 90 // ---Other:

3823 70 00 // -Industrial fatty alcohols

3824 // Prepared binders for foundry moulds or cores; chemical products and preparations of the chemical or allied industries (including those consisting of mixtures of natural products), not elsewhere specified or included; residual products of the chemical or allied industries, not elsewhere specified or included:

3824 60 // -Sorbitol other than that of subheading 2905 44:

// --in aqueous solution:

3824 60 11 // ---Containing 2% or less by weight of D-mannitol, calculated on the D-glucitol content

3824 60 19 // ---Other

// --Other

3824 60 91 // ---Containing 2% or less by weight of D-mannitol, calculated on the D-glucitol content

3824 60 99 // ---Other

ANNEX II

Duties applicable to goods originating in the Community on import into the Former Yugoslav Republic of Macedonia

>TABLE POSITION>

As defined in the Customs Tariff Law of 31 July 1996 of the Former Yugoslav Republic of Macedonia (Official Journal 38/96)

PROTOCOL 4 Definition of the concept of originating products and methods of administrative co-operation (referred to in article 29)

TABLE OF CONTENTS

TITLE I GENERAL PROVISIONS

- Article 1 Definitions

TITLE II DEFINITION OF THE CONCEPT OF "ORIGINATING PRODUCTS"

- Article 2 General requirements

- Article 3 Cumulation in the European Community

- Article 4 Cumulation in the Former Yugoslav Republic of Macedonia

- Article 5 Wholly obtained products

- Article 6 Sufficiently worked or processed products

- Article 7 Insufficient working or processing operations

- Article 8 Unit of qualification

- Article 9 Accessories, spare parts and tools

- Article 10 Sets

- Article 11 Neutral elements

TITLE III TERRITORIAL REQUIREMENTS

- Article 12 Principle of territoriality

- Article 13 Direct transport

- Article 14 Exhibitions

TITLE IV DRAWBACK OR EXEMPTION

- Article 15 Prohibition of drawback of, or exemption from, customs duties

TITLE V PROOF OF ORIGIN

- Article 16 General requirements

- Article 17 Procedure for the issue of a movement certificate EUR.1

- Article 18 Movement certificates EUR.1 issued retrospectively

- Article 19 Issue of a duplicate movement certificate EUR.1

- Article 20 Issue of movement certificates EUR.1 on the basis of a proof of origin issued or made out previously

- Article 21 Conditions for making out an invoice declaration

- Article 22 Approved exporter

- Article 23 Validity of proof of origin

- Article 24 Submission of proof of origin

- Article 25 Importation by instalments

- Article 26 Exemptions from proof of origin

- Article 27 Supporting documents

- Article 28 Preservation of proof of origin and supporting documents

- Article 29 Discrepancies and formal errors

- Article 30 Amounts expressed in Euro

TITLE VI ARRANGEMENTS FOR ADMINISTRATIVE COOPERATION

- Article 31 Mutual assistance

- Article 32 Verification of proofs of origin

- Article 33 Dispute settlement

- Article 34 Penalties

- Article 35 Free zones

TITLE VII CEUTA AND MELILLA

- Article 36 Application of the Protocol

- Article 37 Special conditions

TITLE VIII FINAL PROVISIONS

- Article 38 Amendments to the Protocol

TITLE I

GENERAL PROVISIONS

ARTICLE 1

Definitions

For the purposes of this Protocol:

(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 the Former Yugoslav Republic of Macedonia in whose undertaking the last working or processing is carried out, provided the price includes 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 the Former Yugoslav Republic of Macedonia;

(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 and the headings (four-digit codes) used in the nomenclature which makes up the Harmonized Commodity Description and Coding System, referred to in this Protocol as "the Harmonised System" or "HS";

(k) "classified" refers to the classification of a product or material under a particular heading;

(l) "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;

(m) "territories" includes territorial waters.

TITLE II

DEFINITION OF THE CONCEPT OF "ORIGINATING PRODUCTS"

ARTICLE 2

General requirements

1. For the purpose of implementing 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 5 of this Protocol;

(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 6 of this Protocol;

2. For the purpose of implementing this Agreement, the following products shall be considered as originating in the Former Yugoslav Republic of Macedonia:

(a) products wholly obtained in the Former Yugoslav Republic of Macedonia within the meaning of Article 5 of this Protocol;

(b) products obtained in the Former Yugoslav Republic of Macedonia incorporating materials which have not been wholly obtained there, provided that such materials have undergone sufficient working or processing in the Former Yugoslav Republic of Macedonia within the meaning of Article 6 of this Protocol.

ARTICLE 3

Bilateral cumulation in the European Community

Materials originating in the Former Yugoslav Republic of Macedonia 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(1).

ARTICLE 4

Bilateral cumulation in the former Yugoslav Republic of Macedonia

Materials originating in the Community shall be considered as materials originating in the Former Yugoslav Republic of Macedonia 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(1).

ARTICLE 5

Wholly obtained products

1. The following shall be considered as wholly obtained in the Community or the Former Yugoslav Republic of Macedonia:

(a) mineral products extracted from their soil or from their seabed;

(b) vegetable products harvested there;

(c) live animals born and raised there;

(d) products from live animals raised there;

(e) products obtained by hunting or fishing conducted there;

(f) products of sea fishing and other products taken from the sea outside the territorial waters of the Community or the Former Yugoslav Republic of Macedonia by their vessels;

(g) products made aboard their factory ships exclusively from products referred to in subparagraph (f);

(h) used articles collected there fit only for the recovery of raw materials, including used tyres fit only for retreading or for use as waste;

(i) waste and scrap resulting from manufacturing operations conducted there;

(j) products extracted from marine soil or subsoil outside their territorial waters provided that they have sole rights to work that soil or subsoil;

(k) goods produced there exclusively from the products specified in subparagraphs (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 an EC Member State or in of the Former Yugoslav Republic of Macedonia;

(b) which sail under the flag of an EC Member State or of the Former Yugoslav Republic of Macedonia;

(c) which are owned to an extent of at least 50 per cent by nationals of EC Member States or of the Former Yugoslav Republic of Macedonia, or by a company with its head office in one of these States, 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 EC Member States or of the Former Yugoslav Republic of Macedonia and of which, in addition, in the case of partnerships or limited companies, at least half the capital belongs to those States or to public bodies or nationals of the said States;

(d) of which the master and officers are nationals of EC Member States or of the Former Yugoslav Republic of Macedonia; and

(e) of which at least 75 per cent of the crew are nationals of EC Member States or of the Former Yugoslav Republic of Macedonia.

ARTICLE 6

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 Annex 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 the list is used in the manufacture of another product, the conditions applicable to the product in which it is incorporated do not apply to it, and no account shall be taken of the non-originating materials which may have been used in its manufacture.

2. Notwithstanding paragraph 1, non-originating materials which, according to the conditions set out in the list, 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 the list for the maximum value of non-originating materials are not exceeded through the application of this paragraph.

This paragraph shall not apply to products falling within Chapters 50 to 63 of the Harmonised System.

3. Paragraphs 1 and 2 shall apply except as provided in Article 7.

ARTICLE 7

Insufficient working or processing operations

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 6 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) a combination of two or more operations specified in subparagraphs (a) to (n);

(p) slaughter of animals.

2. All operations carried out either in the Community or in the former Yugoslav Republic of Macedonia on a given product shall be considered together when determining whether the working or processing undergone by that product is to be regarded as insufficient within the meaning of paragraph 1.

ARTICLE 8

Unit of qualification

1. The unit of qualification for the application of the provisions of this Protocol 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 Protocol.

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.

ARTICLE 9

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 10

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 11

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 12

Principle of territoriality

1. The conditions for acquiring originating status set out in Title II must continue to be fulfilled at all times in the Community or the Former Yugoslav Republic of Macedonia.

2. If originating goods exported from the Community or the Former Yugoslav Republic of Macedonia to another country are returned, they must be considered as non-originating, unless it can be demonstrated to the satisfaction of the customs authorities that:

(a) the returning goods are the same as those that were 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 13

Direct transport

1. The preferential treatment provided for under the Agreement applies only to products, satisfying the requirements of this Protocol, which are transported directly between the Community and the Former Yugoslav Republic of Macedonia. However, products constituting one single 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.

Originating products may be transported by pipeline across territory other than that of the Community or the Former Yugoslav Republic of Macedonia.

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 14

Exhibitions

1. Originating products, sent for exhibition in a country other than the Community or the Former Yugoslav Republic of Macedonia shall benefit on importation from the provisions of the Agreement provided it is shown to the satisfaction of the customs authorities that:

(a) an exporter has consigned these products from the Community or the Former Yugoslav Republic of Macedonia 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 the Former Yugoslav Republic of Macedonia;

(c) the products have been consigned during the exhibition or immediately thereafter in the state in which they were sent for exhibition; and

(d) the products have not, since they were consigned for exhibition, been used for any purpose other than demonstration at the exhibition.

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, and during which the products remain under customs control.

TITLE IV

DRAWBACK OR EXEMPTION

ARTICLE 15

Prohibition of drawback of, or exemption from, customs duties

1. Non-originating materials used in the manufacture of products originating in the Community, in the former Yugoslav Republic of Macedonia, 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 the former Yugoslav Republic of Macedonia 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 or charges having an equivalent effect, applicable in the Community or the Former Yugoslav Republic of Macedonia to materials used in the manufacture and to products covered by paragraph 1(b) above, 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 or charges having equivalent effect 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 8(2), accessories, spare parts and tools within the meaning of Article 9 and products in a set within the meaning of Article 10 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 the 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. Notwithstanding paragraph 1, the Former Yugoslav Republic of Macedonia may apply arrangements for drawback of, or exemption from, customs duties or charges having an equivalent effect, applicable to materials used in the manufacture of originating products, subject to the following provisions:

(a) a 5 per cent rate of customs charge shall be retained in respect of products falling within Chapters 25 to 49 and 64 to 97 of the Harmonised System, or such lower rate as is in force in the Former Yugoslav Republic of Macedonia;

(b) a 10 per cent rate of customs charge shall be retained in respect of products falling within Chapters 50 to 63 of the Harmonised System, or such lower rate as is in force in the Former Yugoslav Republic of Macedonia.

The provisions of this Article shall apply from 1 January 2003 and may be reviewed by common accord.

TITLE V

PROOF OF ORIGIN

ARTICLE 16

General requirements

1. Products originating in the Community shall, on importation into the Former Yugoslav Republic of Macedonia and products originating in the Former Yugoslav Republic of Macedonia shall, on importation into the Community benefit from this Agreement upon submission of either:

(a) a movement certificate EUR.1, a specimen of which appears in Annex III; or

(b) in the cases specified in Article 21(1), a declaration, the text of which appears in Annex IV, 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 (hereinafter referred to as the "invoice declaration").

2. Notwithstanding paragraph 1, originating products within the meaning of this Protocol shall, in the cases specified in Article 26, benefit from this Agreement without it being necessary to submit any of the documents referred to above.

ARTICLE 17

Procedure for the issue of a movement certificate EUR.1

1. A movement certificate EUR.1 shall be issued by the customs 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. For this purpose, the exporter or his authorised representative shall fill out both the movement certificate EUR.1 and the application form, specimens of which appear in Annex III. 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.

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 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 Protocol.

4. A movement certificate EUR.1 shall be issued by the customs authorities of an EC Member State or the Former Yugoslav Republic of Macedonia if the products concerned can be considered as products originating in the Community or in the Former Yugoslav Republic of Macedonia and fulfil the other requirements of this Protocol.

5. The issuing customs authorities shall take any steps necessary to verify the originating status of the products and the fulfilment of the other requirements of this Protocol. 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 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 and made available to the exporter as soon as actual exportation has been effected or ensured.

ARTICLE 18

Movement certificates EUR.1 issued retrospectively

1. Notwithstanding Article 17(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 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 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", "DELIVRE A POSTERIORI",

"RILASCIATO A POSTERIORI", "AFGEGEVEN A POSTERIORI",

"ISSUED RETROSPECTIVELY", "UDSTEDT EFTERFØLGENDE",

"ÅÊÄÏÈÅÍ ÅÊ ÔÙÍ ÕÓÔÅÑÙÍ", "EXPEDIDO A POSTERIORI",

"EMITIDO A POSTERIORI", "ANNETTU JÄLKIKÄTEEN",

"UTFÄRDAT I EFTERHAND", "D O P O L N I T E L N O I Z D A D E N O"

5. The endorsement referred to in paragraph 4 shall be inserted in the "Remarks" box of the movement certificate EUR.1.

ARTICLE 19

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 may apply to the customs 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", "ÁÍÔÉÃÑÁÖÏ", "DUPLICADO", "SEGUNDA VIA", "KAKSOISKAPPALE", "D U P L I K A T"

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 20

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 the Former Yugoslav Republic of Macedonia, 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 the Former Yugoslav Republic of Macedonia. The replacement movement certificate(s) EUR.1 shall be issued by the customs office under whose control the products are placed.

ARTICLE 21

Conditions for making out an invoice declaration

1. An invoice declaration as referred to in Article 16(1)(b) may be made out:

(a) by an approved exporter within the meaning of Article 22, or

(b) by any exporter for any consignment consisting of one or more packages containing originating products whose total value does not exceed Euro 6 000.

2. An invoice declaration may be made out if the products concerned can be considered as products originating in the Community or in the Former Yugoslav Republic of Macedonia and fulfil the other requirements of this Protocol.

3. The exporter making out an invoice declaration shall be prepared to submit at any time, at the request of the customs 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 Protocol.

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 Annex IV, using one of the linguistic versions set out in that Annex and in accordance with the provisions of the domestic law of the exporting country. If the declaration is hand-written, it shall be written in ink in printed characters.

5. Invoice declarations shall bear the original signature of the exporter in manuscript. However, an approved exporter within the meaning of Article 22 shall not be required to sign such declarations provided that he gives the customs 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 in the importing country no longer than two years after the importation of the products to which it relates.

ARTICLE 22

Approved exporter

1. The customs authorities of the exporting country may authorise any exporter who makes frequent shipments of 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 all guarantees necessary to verify the originating status of the products as well as the fulfilment of the other requirements of this Protocol.

2. The customs authorities may grant the status of approved exporter subject to any conditions which they consider appropriate.

3. The customs authorities shall grant to the approved exporter a customs authorisation number which shall appear on the invoice declaration.

4. The customs authorities shall monitor the use of the authorisation by the approved exporter.

5. The customs 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, does not fulfil the conditions referred to in paragraph 2 or otherwise makes an incorrect use of the authorisation.

ARTICLE 23

Validity of proof of origin

1. A proof of origin shall be valid for four 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 before the said final date.

ARTICLE 24

Submission of proof of origin

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 and 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.

ARTICLE 25

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 falling within Sections XVI and XVII or heading Nos 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 26

Exemptions from proof of origin

1. Products sent as small packages from private persons to private persons or forming part of travellers' personal luggage shall be admitted as originating products without requiring the 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 Protocol 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 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 Euro 500 in the case of small packages or Euro 1 200 in the case of products forming part of travellers' personal luggage.

ARTICLE 27

Supporting documents

The documents referred to in Articles 17(3) and 21(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 the Former Yugoslav Republic of Macedonia and fulfil the other requirements of this Protocol 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 bookkeeping;

(b) documents proving the originating status of materials used, issued or made out in the Community or the Former Yugoslav Republic of Macedonia where these documents are used in accordance with domestic law;

(c) documents proving the working or processing of materials in the Community or the Former Yugoslav Republic of Macedonia, issued or made out in the Community or the Former Yugoslav Republic of Macedonia, where these documents are used in accordance with domestic law;

(d) movement certificates EUR.1 or invoice declarations proving the originating status of materials used, issued or made out in the Community or the Former Yugoslav Republic of Macedonia in accordance with this Protocol.

ARTICLE 28

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 17(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 21(3).

3. The customs 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 17(2).

4. The customs authorities of the importing country shall keep for at least three years the movement certificates EUR.1 and the invoice declarations submitted to them.

ARTICLE 29

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 30

Amounts expressed in Euro

1. For the application of the provisions of Article 21(1)(b) and Article 26(3) in cases where products are invoiced in a currency other than euro, amount in the national currency of the former Yugoslav Republic of Macedonia equivalent to the amounts expressed in euro shall be fixed annually.

2. A consignment shall benefit from the provisions of Article 21(1)(b) or Article 26(3) by reference to the currency in which the invoice is drawn up, according to the amount fixed by the Community or the Former Yugoslav Republic of Macedonia.

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 European Commission by 15 October and shall apply from 1 January the following year. The European Commission shall notify the former Yugoslav Republic of Macedonia of the relevant amount.

4. The Community or the former Yugoslav Republic of Macedonia 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. The former Yugoslav Republic of Macedonia 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 that 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 Cooperation Council at the request of the Community or the former Yugoslav Republic of Macedonia. When carrying out this review, the Cooperation Council 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 31

Mutual assistance

1. The customs authorities of the EC Member States and of the Former Yugoslav Republic of Macedonia shall provide each other, through the European Commission, with specimen impressions of stamps used in their customs offices for the issue of movement certificates EUR.1 and with the addresses of the customs authorities responsible for verifying those certificates and invoice declarations.

2. In order to ensure the proper application of this Protocol, the Community and the Former Yugoslav Republic of Macedonia shall assist each other, through the competent customs 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 32

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 Protocol.

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 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 or origin is incorrect shall be forwarded in support of the request for verification.

3. The verification shall be carried out by the customs 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 the Former Yugoslav Republic of Macedonia and fulfil the other requirements of this Protocol.

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 33

Dispute settlement

Where disputes arise in relation to the verification procedures of Article 32which cannot be settled between the customs authorities requesting a verification and the customs authorities responsible for carrying out this verification or where they raise a question as to the interpretation of this Protocol, they shall be submitted to the Cooperation Council.

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 34

Penalties

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 35

Free zones

1. The Community and the Former Yugoslav Republic of Macedonia 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 to the provisions contained in paragraph 1, when products originating in the Community or the Former Yugoslav Republic of Macedonia are imported into a free zone under cover of a proof of origin and undergo treatment or processing, the authorities concerned shall issue a new EUR.1 certificate at the exporter's request, if the treatment or processing undergone is in conformity with the provisions of this Protocol.

TITLE VII

CEUTA AND MELILLA

ARTICLE 36

Application of the Protocol

1. The term "Community" used in Article 2 does not cover Ceuta and Melilla.

2. Products originating in the Former Yugoslav Republic of Macedonia, 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. The Former Yugoslav Republic of Macedonia shall grant to imports of products covered by the 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 Protocol shall apply mutatis mutandis subject to the special conditions set out in Article 37.

ARTICLE 37

Special conditions

1. Providing they have been transported directly in accordance with the provisions of Article 13, 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 6 of this Protocol; or that

(ii) those products are originating in the Former Yugoslav Republic of Macedonia or the Community within the meaning of this Protocol, provided that they have been submitted to working or processing which goes beyond the insufficient working or processing referred to in Article 7(1).

(2) products originating in the Former Yugoslav Republic of Macedonia:

(a) products wholly obtained in the Former Yugoslav Republic of Macedonia;

(b) products obtained in the Former Yugoslav Republic of Macedonia, 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 6 of this Protocol; or that

(ii) those products are originating in Ceuta and Melilla or the Community within the meaning of this Protocol, provided that they have been submitted to working or processing which goes beyond the insufficient working or processing referred to in Article 7(1).

2. Ceuta and Melilla shall be considered as a single territory.

3. The exporter or his authorised representative shall enter "the Former Yugoslav Republic of Macedonia" 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 Protocol in Ceuta and Melilla.

TITLE VIII

FINAL PROVISIONS

ARTICLE 38

Amendments to the Protocol

The Cooperation Council may decide to amend the provisions of this Protocol.

Annex I

Introductory notes to the list in Annex II

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 6.

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 Harmonized System and the second column gives the description of goods used in that system for that heading or Chapter. For each entry in the first two columns a rule is specified in column 3 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 Harmonized 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 has to be applied.

Note 3:

3.1. The provisions of Article 6, 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 former Yugoslav Republic of Macedonia or in the Community.

Example:

An engine of heading No 8407, for which the rule states that the value of the non-originating materials which may be incorporated may not exceed 40 % of the ex-works price, is made from "other alloy steel roughly shaped by forging" of heading No ex 7224.

If this forging has been forged in the former Yugoslav Republic of Macedonia from a non-originating ingot, it has already acquired originating status by virtue of the rule for heading No 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 former Yugoslav Republic of Macedonia. 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 states that "materials of any heading" may be used, materials of the same heading as the product may also be used, subject, however, to any specific limitations which may also be contained in the rule. However, the expression "manufacture from materials of any heading, including other materials of heading No ..." means that only materials classified in the same heading as the product and of a different description than that of the product as given in column 2 of the list may be used.

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 Nos 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 No 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 No 0503, silk of headings Nos 5002 and 5003, as well as wool-fibres and fine or coarse animal hair of headings Nos 5101 to 5105, cotton fibres of headings Nos 5201 to 5203, and other vegetable fibres of headings Nos 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 Nos 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 below.)

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 polyphenylene sulphide,

- synthetic man-made staple fibres of polyvinyl 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 No 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 No 5605.

Example:

A yarn, of heading No 5205, made from cotton fibres of heading No 5203 and synthetic staple fibres of heading No 5506, is a mixed yarn. 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 up to a weight of 10 % of the yarn.

Example:

A woollen fabric, of heading No 5112, made from woollen yarn of heading No 5107 and synthetic yarn of staple fibres of heading No 5509, is a mixed fabric. Therefore, synthetic yarn which does not satisfy the origin-rules (which require manufacture from chemical materials or textile pulp), or woollen yarn 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 their total weight does not exceed 10 % of the weight of the fabric.

Example:

Tufted textile fabric, of heading No 5802, made from cotton yarn of heading No 5205 and cotton fabric of heading No 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 No 5205 and synthetic fabric of heading No 5407, then, obviously, the yarns used are two separate basic textile materials and the tufted textile fabric is, accordingly, a mixed product.

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 an 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 Nos 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 ( [8]);

[8] See Additional Explanatory Note 4(b) to Chapter 27 of the Combined Nomenclature.

(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 Nos 2710, 2711 and 2712, the "specific processes" are the following:

(a) vacuum-distillation;

(b) redistillation by a very thorough fractionation-process ( [9]);

[9] See Additional Explanatory Note 4(b) to Chapter 27 of the Combined Nomenclature.

(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 No 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 No 2710 only, deparaffining by a process other than filtering;

(m) in respect of heavy oils of heading No 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 desulphurization, when the hydrogen constitutes an active element in a chemical reaction. The further treatment, with hydrogen, of lubricating oils of heading No 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 No 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 No ex 2710 only, treatment by means of a high-frequency electrical brush-discharge.

7.3. For the purposes of headings Nos 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.

ANNEX II

LIST OF WORKING OR PROCESSING REQUIRED TO BE CARRIED OUT ON NON-ORIGINATING MATERIALS IN ORDER THAT THE PRODUCT MANUFACTURED CAN OBTAIN ORIGINATING STATUS

>TABLE POSITION>

>TABLE POSITION>

ANNEX III

MOVEMENT CERTIFICATE EUR.1 AND

APPLICATION FOR A MOVEMENT CERTIFICATE EUR.1

1. Each form shall measure 210 x 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 weighting 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 competent authorities of the parties 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.

MOVEMENT CERTIFICATE

>TABLE POSITION>

NOTES

1. The certificate must not contain erasures or words written over one another. Any alterations must be made by deleting the incorrect particulars and adding any necessary corrections. Any such alteration must be initialled by the person who completed the certificate and endorsed by the customs authorities or the competent governmental authority of the issuing country or territory.

2. No spaces must be left between the items entered on the certificate and each item must be preceded by an item number. A horizontal line must be drawn immediately below the last item. Any unused space must be struck through in such a manner as to make any later additions impossible.

3. Goods must be described in accordance with commercial practice and with sufficient detail to enable them to be identified. APPLICATION FOR A MOVEMENT CERTIFICATE

>TABLE POSITION>

DECLARATION BY THE EXPORTER

I, the undersigned, exporter of the goods described overleaf,

DECLARE that the goods meet the conditions required for the issue of the attached certificate;

SPECIFY as follows the circumstances which have enabled these goods to meet the above conditions:

.....................................................................................................................................................

.....................................................................................................................................................

.....................................................................................................................................................

SUBMIT the following supporting documents ( [10]):

[10] 1) For example, import documents, movement certificates, invoices, manufacturer's declaration, etc., referring to the products used in manufacture or to the goods re-exported in the same state.

.....................................................................................................................................................

.....................................................................................................................................................

.....................................................................................................................................................

UNDERTAKE to submit, at the request of the appropriate authorities any supporting evidence which these authorities may require for the purpose of issuing the attached certificate, and undertake, if required, to agree to any inspection of my accounts and to any check on the processes of manufacture of the above goods, carried out by the said authorities;

REQUEST the issue of the attached certificate for these goods.

.....................................................................................................................................................

(place and date)

.....................................................................................................................................................

(signature)

ANNEX IV

Invoice declaration

The invoice declaration, the text of which is given below, must be made out in accordance with the footnotes. However, the footnotes do not have to be reproduced.

French Version

L'exportateur des produits couverts par le présent document (autorisation douanière n° ...(1)) déclare que, sauf indication claire du contraire, ces produits ont l'origine préférentielle ...(2)).

Spanish Version

El exportador de los productos incluidos en el presente documento (autorización aduanera n° ...(1)) declara que, salvo indicación en sentido contrario, estos productos gozan de un origen preferencial ...(2)

Danish Version

Eksportøren af varer, der er omfattet af nærværende dokument, (toldmyndighedernes tilladelse nr. ...(1)), erklærer, at varerne, medmindre andet tydeligt er angivet, har præferenceoprindelse i ...(2)

German Version

Der Ausführer (Ermächtigter Ausführer; Bewilligungs-Nr. ...(1)) der Waren, auf die sich dieses Handelspapier bezieht, erklärt, dass diese Waren, soweit nicht anderes angegeben, präferenzbegünstigte ... (2) Ursprungswaren sind.

English Version

The exporter of the products covered by this document (customs authorization No ...(1)) declares that, except where otherwise clearly indicated, these products are of ... (2) preferential origin.

Italian Version

L'esportatore delle merci contemplate nel presente documento (autorizzazione doganale n. ... ( [11])) dichiara che, salvo indicazione contraria, le merci sono di origine preferenziale ... ( [12]).

[11]

[12]

Dutch Version

De exporteur van de goederen waarop dit document van toepassing is (douanevergunning nr. ... (1)), verklaart dat, behoudens uitdrukkelijke andersluidende vermelding, deze goederen van preferentiële ... oorsprong zijn (2).

Portuguese Version

O abaixo assinado, exportador dos produtos cobertos pelo presente documento (autorização aduaneira n°. ... (1)), declara que, salvo expressamente indicado em contrário, estes produtos são de origem preferencial ... (2).

Finnish Version

Tässä asiakirjassa mainittujen tuotteiden viejä (tullin lupan:o ... (1)) ilmoittaa, että nämä tuotteet ovat, ellei toisin ole selvästi merkitty, etuuskohteluun oikeutettuja ... alkuperätuotteita (2).

Swedish Version

Exportören av de varor som omfattas av detta dokument (tullmyndighetens tillstånd nr. ... (1)) försäkrar att dessa varor, om inte annat tydligt markerats, har förmånsberättigande ... ursprung (2).

Greek Version

Ï åîáãùãÝáò ôùí ðñïúüíôùí ðïõ êáëýðôïíôáé áðü ôï ðáñüí Ýããñáöï (Üäåéá ôåëùíåßïõ õð´áñéè. ... (1)) äçëþíåé üôé, åêôüò åÜí äçëþíåôáé óáöþò Üëëùò, ôá ðñïúüíôá áõôÜ åßíáé ðñïôéìçóéáêÞò êáôáãùãÞò ...(2).

.............................................. [13] (Place and date)

[13] When the invoice declaration is made out by an approval exporter, the authorization number of the approved exporter must be enter in this space. When the invoice declaration is not made out by an approval exporter, the words in brackets shall be omitted or the space left blank.

................................................. [14]

[14] 4 In cases where the exporter is not required to sign, the exemption of signature also implies the exemption of the name of the signatory.

(Signature of the exporter, in addition the name of the person signing the declaration has to be indicated in clear script)

PROTOCOL 5 On Mutual Administrative Assistance in Custom Matters

Article 1 Definitions

For the purposes of this Protocol:

(a) "customs legislation" shall mean any legal or regulatory provisions applicable in the territories of the European Community and former Yugoslav Republic of Macedonia, governing the import, export and transit of goods and their placing under any other customs regime or procedure, including measures of prohibition, restriction and control;

(b) "applicant authority" shall mean a competent administrative authority which has been designated by a Contracting Party for this purpose and which makes a request for assistance on the basis of this Protocol;

(c) "requested authority" shall mean a competent administrative authority which has been designated by a Contracting Party for this purpose and which receives a request for assistance on the basis of this Protocol;

(d) "personal data" shall mean all information relating to an identified or identifiable individual;

(e) "operation in breach of customs legislation" shall mean any violation or attempted violation of customs legislation.

Article 2 Scope

1. The Contracting Parties shall assist each other, in the areas within their competence, in the manner and under the conditions laid down in this Protocol, to ensure the correct application of the customs legislation, in particular by preventing, investigating and combating operations in breach of that legislation.

2. Assistance in customs matters, as provided for in this Protocol, shall apply to any administrative authority of the Contracting Parties which is competent for the application of this Protocol. It shall not prejudice the rules governing mutual assistance in criminal matters. Nor shall it cover information obtained under powers exercised at the request of a judicial authority, except where communication of such information is authorised by that authority.

3. Assistance to recover duties, taxes or fines is not covered by this Protocol.

Article 3 Assistance on request

1. At the request of the applicant authority, the requested authority shall provide it with all relevant information which may enable it to ensure that customs legislation is correctly applied, including information regarding activities noted or planned which are or could be operations in breach of customs legislation.

2. At the request of the applicant authority, the requested authority shall inform it:

(a) whether goods exported from the territory of one of the Contracting Parties have been properly imported into the territory of the other Contracting Party, specifying, where appropriate, the customs procedure applied to the goods;

(b) whether goods imported into the territory of one of the Contracting Parties have been properly exported from the territory of the other Party, specifying, where appropriate, the customs procedure applied to the goods.

3. At the request of the applicant authority, the requested authority shall, within the framework of its legal or regulatory provisions, take the necessary steps to ensure special surveillance of:

(a) natural or legal persons in respect of whom there are reasonable grounds for believing that they are or have been involved in operations in breach of customs legislation;

(b) places where stocks of goods have been or may be assembled in such a way that there are reasonable grounds for believing that these goods are intended to be used in operations in breach of customs legislation;

(c) goods that are or may be transported in such a way that there are reasonable grounds for believing that they are intended to be used in operations in breach of customs legislation;

(d) means of transport that are or may be used in such a way that there are reasonable grounds for believing that they are intended to be used in operations in breach of customs legislation.

Article 4 Spontaneous assistance

The Contracting Parties shall assist each other, at their own initiative and in accordance with their legal or regulatory provisions, if they consider that to be necessary for the correct application of customs legislation, particularly by providing information obtained pertaining to:

- activities which are or appear to be operations in breach of customs legislation and which may be of interest to the other Contracting Party;

- new means or methods employed in carrying out operations in breach of customs legislation;

- goods known to be subject to operations in breach of customs legislation;

- natural or legal persons in respect of whom there are reasonable grounds for believing that they are or have been involved in operations in breach of customs legislation;

- means of transport in respect of which there are reasonable grounds for believing that they have been, are, or may be used in operations in breach of customs legislation.

Article 5 Delivery, Notification

At the request of the applicant authority, the requested authority shall, in accordance with legal or regulatory provisions applicable to the latter, take all necessary measures in order:

- to deliver any documents or

- to notify any decisions,

emanating from the applicant authority and falling within the scope of this Protocol, to an addressee residing or established in the territory of the requested authority.

Requests for delivery of documents or notification of decisions shall be made in writing in an official language of the requested authority or in a language acceptable to that authority.

Article 6 Form and substance of requests for assistance

1. Requests pursuant to this Protocol shall be made in writing. They shall be accompanied by the documents necessary to enable compliance with the request. When required because of the urgency of the situation, oral requests may be accepted, but must be confirmed in writing immediately.

2. Requests pursuant to paragraph 1 shall include the following information:

(a) the applicant authority;

(b) the measure requested;

(c) the object of and the reason for the request;

(d) the legal or regulatory provisions and other legal elements involved;

(e) indications as exact and comprehensive as possible on the natural or legal persons who are the target of the investigations;

(f) a summary of the relevant facts and of the enquiries already carried out.

3. Requests shall be submitted in an official language of the requested authority or in a language acceptable to that authority. This requirement shall not apply to any documents that accompany the request under paragraph 1.

4. If a request does not meet the formal requirements set out above, its correction or completion may be requested; in the meantime precautionary measures may be ordered.

Article 7 Execution of requests

1. In order to comply with a request for assistance, the requested authority shall proceed, within the limits of its competence and available resources, as though it were acting on its own account or at the request of other authorities of that same Contracting Party, by supplying information already possessed, by carrying out appropriate enquiries or by arranging for them to be carried out. This provision shall also apply to any other authority to which the request has been addressed by the requested authority when the latter cannot act on its own.

2. Requests for assistance shall be executed in accordance with the legal or regulatory provisions of the requested Contracting Party.

3. Duly authorised officials of a Contracting Party may, with the agreement of the other Contracting Party involved and subject to the conditions laid down by the latter, be present to obtain in the offices of the requested authority or any other concerned authority in accordance with paragraph 1, information relating to activities that are or may be operations in breach of customs legislation which the applicant authority needs for the purposes of this Protocol.

4. Duly authorised officials of a Contracting Party may, with the agreement of the other Contracting Party involved and subject to the conditions laid down by the latter, be present at enquiries carried out in the latter's territory.

Article 8 Form in which information is to be communicated

1. The requested authority shall communicate results of enquiries to the applicant authority in writing together with relevant documents, certified copies or other items.

2. This information may be in computerised form.

3. Original documents shall be transmitted only upon request in cases where certified copies would be insufficient. These originals shall be returned at the earliest opportunity.

Article 9 Exceptions to the obligation to provide assistance

1. Assistance may be refused or may be subject to the satisfaction of certain conditions or requirements, in cases where a Party is of the opinion that assistance under this Protocol would:

(a) be likely to prejudice the sovereignty of former Yugoslav Republic of Macedonia or that of a Member State which has been requested to provide assistance under this Protocol; or

(b) be likely to prejudice public policy, security or other essential interests, in particular in the cases referred to under Article 10(2); or

(c) violate an industrial, commercial or professional secret.

2. Assistance may be postponed by the requested authority on the ground that it will interfere with an ongoing investigation, prosecution or proceeding. In such a case, the requested authority shall consult with the applicant authority to determine if assistance can be given subject to such terms or conditions as the requested authority may require.

3. Where the applicant authority seeks assistance which it would itself be unable to provide if so requested, it shall draw attention to that fact in its request. It shall then be for the requested authority to decide how to respond to such a request.

4. For the cases referred to in paragraphs 1 and 2, the decision of the requested authority and the reasons therefor must be communicated to the applicant authority without delay.

Article 10 Information exchange and confidentiality

1. Any information communicated in whatsoever form pursuant to this Protocol shall be of a confidential or restricted nature, depending on the rules applicable in each of the Contracting Parties. It shall be covered by the obligation of official secrecy and shall enjoy the protection extended to similar information under the relevant laws of the Contracting Party that received it and the corresponding provisions applying to the Community authorities.

2. Personal data may be exchanged only where the Contracting Party which may receive them undertakes to protect such data in at least an equivalent way to the one applicable to that particular case in the Contracting Party that may supply them. To that end, contracting parties shall communicate to each other information on their applicable rules, including, where appropriate, legal provisions in force in the Member States of the Community.

3. The use, in judicial or administrative proceedings instituted in respect of operations in breach of customs legislation, of information obtained under this Protocol, is considered to be for the purposes of this Protocol. Therefore, the Contracting Parties may, in their records of evidence, reports and testimonies and in proceedings and charges brought before the courts, use as evidence information obtained and documents consulted in accordance with the provisions of this Protocol. The competent authority which supplied that information or gave access to those documents shall be notified of such use.

4. Information obtained shall be used solely for the purposes of this Protocol. Where one of the Contracting Parties wishes to use such information for other purposes, it shall obtain the prior written consent of the authority which provided the information. Such use shall then be subject to any restrictions laid down by that authority.

Article 11 Experts and witnesses

An official of a requested authority may be authorised to appear, within the limitations of the authorisation granted, as an expert or witness in judicial or administrative proceedings regarding the matters covered by this Protocol, and produce such objects, documents or certified copies thereof, as may be needed for the proceedings. The request for appearance must indicate specifically before which judicial or administrative authority the official will have to appear, on what matters and by virtue of what title or qualification the official will be questioned.

Article 12 Assistance expenses

The Contracting Parties shall waive all claims on each other for the reimbursement of expenses incurred pursuant to this Protocol, except, as appropriate, for expenses to experts and witnesses, and those to interpreters and translators who are not public service employees.

Article 13 Implementation

1. The implementation of this Protocol shall be entrusted on the one hand to the customs authorities of former Yugoslav Republic of Macedonia and on the other hand to the competent services of the Commission of the European Communities and the customs authorities of the Member States as appropriate. They shall decide on all practical measures and arrangements necessary for its application, taking into consideration the rules in force in particular in the field of data protection. They may recommend to the competent bodies amendments which they consider should be made to this Protocol.

2. The Contracting Parties shall consult each other and subsequently keep each other informed of the detailed rules of implementation which are adopted in accordance with the provisions of this Protocol.

Article 14 Other agreements

1. Taking into account the respective competencies of the European Community and the Member States, the provisions of this Protocol shall:

- not affect the obligations of the Contracting Parties under any other international agreement or convention;

- be deemed complementary to agreements on mutual assistance which have been or may be concluded between individual Member States and former Yugoslav Republic of Macedonia ; and shall

- not affect the Community provisions governing the communication between the competent services of the Commission of the European Communities and the customs authorities of the Member States of any information obtained under this Protocol which could be of interest to the Community.

2. Notwithstanding the provisions of paragraph 1, the provisions of this Protocol shall take precedence over the provisions of any bilateral agreement on mutual assistance which has been or may be concluded between individual Member States and former Yugoslav Republic of Macedonia insofar as the provisions of the latter are incompatible with those of this Protocol.

3. In respect of questions relating to the applicability of this Protocol, the Contracting Parties shall consult each other to resolve the matter in the framework of the Cooperation Council set up by the Cooperation Agreement signed on 29 April 1997 by way of Exchange of Letters.