PROTOCOL laying down certain provisions relating to the Agreement between the European Economic Community and the Lebanese Republic consequent on the Accession of new Member States to the European Economic Community

THE COUNCIL OF THE EUROPEAN COMMUNITIES,

of the one part, and

THE GOVERNMENT OF THE LEBANESE REPUBLIC,

of the other part,

HAVE DECIDED to determine by mutual agreement the transitional measures and the adaptations to the Agreement between the European Economic Community and the Lebanese Republic, signed at Brussels on the eighteenth day of December one thousand nine hundred and seventy-two, hereinafter called "the Agreement", which are necessary consequent on the Accession of the Kingdom of Denmark, Ireland and the United Kingdom of Great Britain and Northern Ireland to the Community, and to that end have designated as their Plenipotentiaries:

THE COUNCIL OF THE EUROPEAN COMMUNITIES:

THE GOVERNMENT OF THE LEBANESE REPUBLIC:

WHO, having exchanged their Full Powers, found in good and due form,

HAVE AGREED AS FOLLOWS:

TITLE I Measures of adaptation

Article 1

The texts of the Agreement, the Declarations annexed to the Final Act and the exchange of letters relating thereto, drawn up in the English and Danish languages and annexed to this Protocol, are authentic in the same way as the original texts.

Article 2

The volume of the annual tariff quota for the Lebanese Republic, provided for in Article 3 of Annex I to the Agreement, shall be increased to:

Other woven fabris of cotton : 100 metric tons.

TITLE II Transitional measures

Article 3

1. The new Member States shall apply in respect of the Lebanese Republic the customs duties reductions provided for in Articles 1, 2, 3, 5, 6, 7 and 9 of Annex I in the proportions and following the timetables shown therein. However, the duties thus reduced may in no case be lower than those applied by the new Member States in respect of the Community as originally constituted.

2. The customs duties, on the basis of which the new Member States apply to the Lebanese Republic, and the reductions provided for in paragraph 1 shall be those which they apply at any given time in respect of third countries.

3. By way of derogation from paragraph 1, should the application of these provisions temporarily result in tariff movements away from alignment on the final duty, the new Member States may maintain their duties until the level of these duties has been reached on the occasion of a subsequent alignment, or they may apply the duty resulting from a subsequent alignment as soon as this alignment reaches or passes the said level.

4. Subject to the effect to be given by the Community to Article 39 (5) of the Act concerning the Conditions of Accession and the Adjustments to the Treaties, annexed to the Treaty of Accession, paragraph 1 shall be applied, as regards the specific duties or the specific part of mixed duties of the customs tariffs of Ireland and the United Kingdom, by rounding to the fourth place of decimals. In other cases Article 10 (2) of Annex I shall apply.

Article 4

Where, for the products listed in Annex I to the Agreement, the new Member States apply duties comprising protective and fiscal elements, only the protective elements of those duties, within the meaning of Article 38 of the Act concerning the Conditions of Accession and the Adjustments to the Treaties, shall be aligned on the preferential duties set out in that Annex and reduced as provided in Article 3 (1) and (2).

Article 5

The tariff quota provided for in Article 3 of Annex I to the Agreement, as amended by Article 2 of this Protocol, shall be allocated as follows:

Other woven fabrics of cotton: >PIC FILE= "T0019748">

Article 6

1. The minimum price provided for in Article 5 (2) of Annex I to the Agreement shall be calculated in the new Member States by reference to the incidence of the duties which they apply at any given time to third countries.

2. The levies and fixed components referred to in Articles 8 and 9 of Annex I shall be calculated in the new Member States by reference to the rates they apply at any given time to third countries.

Article 7

1. The rules which the new Member States apply in respect of the Lebanese Republic, under Article 4 of Annex I to the Agreement may under no circumstances be more favourable than those which they apply in respect of the Community as originally constituted.

2. Imports into the United Kingdom of the products listed in Annex I to this Protocol and originating in the Lebanon may be limited to the following annual quotas: - 1973 quota : 100 metric tons

- 1974 quota : 125 metric tons.

Article 8

The Lebanese Republic shall, in respect of the new Member States, reduce the difference between the customs duties and charges having equivalent effect which it applies in respect of third countries and those which it applies, under Article 1 of Annex II to the Agreement, in respect of the Community, in accordance with the following schedule: >PIC FILE= "T0019749">

Article 9

1. Until 1 January 1975 as regards the application of Article 1 (1) (b) of the Protocol on the definition of the concept of "originating products" and on methods of administrative cooperation, the condition as regards sufficient working or processing within the meaning of Article 3 of the above Protocol shall be waived only in respect of products originating, within the meaning of the abovementioned Protocol, in the Lebanon or in Member States which in the Lebanon are given a treatment not less favourable than that applied to products wholly obtained in the Member State where the products were obtained.

2. During the same period, as regards the application of Article 1 (2) (b) of the abovementioned Protocol, this condition shall be waived only in respect of products originating, within the meaning of that Protocol, in the Member State of destination or in the other Member States, which are given, in the Member State of destination, a treatment not less favourable than that applying to products wholly obtained in the Lebanon.

3. The amendments to the Protocol on the definition of the concept of "originating products" and on methods of administrative cooperation are listed in the Annex II to this Protocol.

4. Consultations may be held in the Joint Committee on the application of these provisions.

TITLE III Final provisions

Article 10

This Protocol forms an integral part of the Agreement.

Article 11

This Protocol shall enter into force on the first day of the month following the date on which the Contracting Parties notify each other of the completion of the procedures necessary to that end.

Article 12

This Protocol is drawn up in duplicate in the Danish, Dutch, English, French, German, Italian and Arabic languages, each of these texts being authentic.

ANNEX I List of products referred to in Article 7 (2)

>PIC FILE= "T0019750">

ANNEX II concerning Article 9 (3)

The following text is added under the heading "Goods for which a movement certificate A.RL.1 may be endorsed", appearing on the back of the certificate, and also under the text appearing on the back of Panel 2 of the form A.RL.2.

"These provisions shall be valid subject to the transitional measures and adaptations in the Protocol laying down certain provisions relating to the Agreement between the European Economic Community and the Lebanon Republic consequent on the Accession of new Member States to the European Economic Community."

FINAL ACT

The Plenipotentiaries of

THE COUNCIL OF THE EUROPEAN COMMUNITIES,

of the one part, and

THE GOVERNMENT OF THE LEBANESE REPUBLIC,

of the other part,

meeting at Brussels, the 6 November 1973

for the signature of the Protocol laying down certain provisions relating to the Agreement between the European Economic Community and the Lebanese Republic consequent on the Accession of new Member States to the European Economic Community,

have, in signing this Agreement, - adopted the Joint Declarations of the Contracting Parties listed below: 1. Joint Declaration by the Contracting Parties on Article 3 of the Protocol;

2. Joint Declaration by the Contracting Parties on Article 5 of Annex I to the Agreement;

- and taken note of the following Declaration:

Declaration of the European Economic Community on the regional application of Article 10 of the Agreement.

These Declarations are annexed to this Final Act.

The Plenipotentiaries have agreed that the Declarations annexed to this Final Act shall be subjected, if need be, to any domestic procedures that may be necessary to ensure their validity.

ANNEX

Joint Declaration by the Contracting Parties concerning Article 3 of the Protocol

1. The Contracting Parties agree that, as regards the subheadings of the United Kingdom Customs Tariff which are to be deleted on 1 January 1974 as a result of the application of the nomenclature of the Common Customs Tariff in which the duties are lower than the duties applied by the United Kingdom Tariff on the corresponding headings of the Common Customs Tariff nomenclature, the reductions by the United Kingdom under Article 3 (1) shall be made only in respect of the latter headings.

2. As regards the products referred to in Article 7 of Annex I of the Agreement, the amount of the difference, expressed as a percentage, between the duty laid down in the Common Customs Tariff and the reduced duty laid down in Article 7 of Annex I shall be taken as a basis for the reductions to be made in accordance with Article 3 (1).

Joint Declaration of the Contracting Parties concerning Article 5 of Annex I of the Agreement

The Contracting Parties agree that, during 1973, Article 5 of Annex I to the Agreement shall not apply to trade between the Lebanese Republic on the one hand, and the Kingdom of Denmark, Ireland and the United Kingdom of Great Britain and Northern Ireland, on the other hand.

Declaration by the European Economic Community on the regional application of Article 10 of the Agreement

The European Economic Community declares that application of the measures open to it under Article 10 of the Agreement may be limited by reason of Community rules which are peculiar to one of its regions.

AGREEMENT between the European Economic Community and the Lebanese Republic

THE COUNCIL OF THE EUROPEAN COMMUNITIES,

of the one part, and

THE GOVERNMENT OF THE LEBANESE REPUBLIC,

of the other part,

DETERMINED to consolidate and to extend economic and trade relations between the European Economic Community and the Lebanese Republic,

RECOGNIZING the importance of the harmonious development of trade between the Contracting Parties,

DESIRING to establish the basis for a progressive expansion of trade with one another,

CONSIDERING that this Agreement affords an opportunity to eliminate many of the obstacles to trade between the European Economic Community and the Lebanese Republic and provides that, eighteen months before its expiry, negotiations may be opened for the purpose of reaching an agreement under which the progressive elimination of obstacles to the main body of trade between the European Economic Community and the Lebanese Republic will be pursued, in accordance with the provisions of the General Agreement on Tariffs and Trade,

CONSIDERING that the European Economic Community is anxious to develop economic and trade relations with the countries bordering on the Mediterranean,

HAVE DECIDED to conclude an Agreement between the European Economic Community and the Lebanese Republic and to this end have designated as their Plenipotentiaries:

THE COUNCIL OF THE EUROPEAN COMMUNITIES:

THE GOVERNMENT OF THE LEBANESE REPUBLIC:

WHO, having exchanged their Full Powers, found in good and due form,

HAVE AGREED AS FOLLOWS:

Article 1

The purpose of this Agreement is to promote an expansion of trade between the European Economic Community and the Lebanese Republic, thereby contributing to the development of international trade.

TITLE I Trade

Article 2

1. Products originating in the Lebanon shall, on importation into the Community, be governed by the provisions of Annex I.

2. Products originating in the Community shall, upon importation into the Lebanon, be governed by the provisions of Annex II.

3. The Contracting Parties shall take all appropriate measures, whether general or particular, to ensure fulfilment of the obligations arising from the Agreement.

They shall refrain from any measure liable to jeopardize the attainment of the objectives of the Agreement.

Article 3

Subject to the special provisions relating to frontier-zone trade, the treatment applied by the Lebanese Republic to products originating in the Community shall in no case be less favourable than that applied to products originating in the most-favoured third country.

Article 4

Where duties are levied on products of one Contracting Party exported to another Contracting Party, such duties may not exceed those applied to products exported to the most-favoured third country.

Article 5

Article 3 and 4 shall not preclude the maintenance or establishment by the Lebanese Republic of customs unions or free-trade areas and also of agreements the purpose of which is regional economic integration, provided that these do not have the effect of modifying the trade arrangements laid down in the Agreement, and in particular the rules of origin.

Article 6

Any internal fiscal measure or practice giving rise, directly or indirectly, to discrimination between the products of one Contracting Party and like products of the other Contracting Party shall be prohibited.

Article 7

The trading arrangements applied by the Lebanese Republic to products originating in the Community or exported to the Community shall not give rise to any discrimination between the Member States, their nationals or their companies or firms.

Article 8

The 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 possessing artistic, historic or archaeological value ; or the protection of industrial and commercial property. Such prohibitions or restrictions shall not, however, constitute a means of arbitrary discrimination or a disguised restriction on trade.

Article 9

The rules of origin applicable to products covered by the Agreement are laid down in the Protocol.

Article 10

1. If one of the Contracting Parties finds in its relations with the other Contracting Party that dumping is being practised, it may, after consultations in the Joint Committee provided for in Article 14, take protective measures against such practices in accordance with the Agreement on the implementation of Article VI of the General Agreement on Tariffs and Trade.

In urgent cases that Contracting Party may, after notifying the Joint Committee, apply the interim measures provided for by that Agreement. Consultations on such measures shall take place not later than two weeks after their implementation.

2. Where measures are directed against bounties or subsidies, the Contracting Parties undertake to comply with the provisions of Article VI of the General Agreement on Tariffs and Trade.

3. At the request of either Contracting Party, consultations shall take place every three months in the Joint Committee on any observed dumping practices, bounties or subsidies and on measures taken in regard thereto.

Article 11

Payments relating to trade and the transfer of such payments to the Member State in which the creditor resides, or to Lebanon, shall not be subject to any restriction where such trade is covered by the provisions of this Agreement.

Article 12

1. If serious disturbances occur in a sector of the economy of the Lebanese Republic or prejudice its external financial stability, or if difficulties arise which adversely affect the economic situation in a region of the Lebanese Republic, the Lebanese Republic may take the necessary protective measures.

The Joint Committee shall be notified immediately of such measures and of the rules for their application.

2. If serious disturbances occur in a sector of the economy of the Community or of one or more Member States, or prejudice the external financial stability of one or more Member States or if difficulties arise which adversely affect the economic situation in a region of the Community, the Community may take, or authorize the Member State or States concerned to take, the necessary protective measures.

The Joint Committee shall be notified immediately of such measures and of the rules for their application.

3. In the choice of measures to be taken in pursuance of paragraphs 1 and 2, preference shall be given to those which least disturb the operation of the Agreement. These measures should not exceed what is strictly necessary to remedy the difficulties that have arisen.

4. Consultations may take place in the Joint Committee on the measures taken in pursuance of paragraphs 1 and 2.

Article 13

1. Where protective measures prove necessary for its industrialization and development, the Lebanese Republic may withdraw concessions granted in respect of the products listed in Annex II, on conditions that they are replaced by concessions which maintain the balance of the Agreement.

2. Such withdrawal and replacement shall take place after consultation in the Joint Committee.

TITLE II General and final provisions

Article 14

1. A Joint Committee is hereby established to administer the Agreement and to ensure its proper execution. To this end, it may make recommendations. It shall take decisions as provided for in this Title.

2. The Contracting Parties agree to keep each other informed and, at the request of either of them, to consult together in the Joint Committee to ensure that the Agreement is correctly implemented.

3. The Joint Committee shall adopt its rules of procedure by decision.

Article 15

1. The Joint Committee shall consist of representatives of the Community and of representatives of the Lebanese Republic.

2. The Joint Committee shall act by mutual agreement.

Article 16

1. The Chairmanship of the Joint Committee shall be taken alternately by each of the Contracting Parties in accordance with its rules of procedure.

2. The Joint Committee shall meet once a year on the initiative of its Chairman.

The Joint Committee shall also meet whenever necessary, at the request of either Contracting Party, in accordance with its rules of procedure.

3. The Joint Committee may decide to set up working parties to assist in the performance of its tasks.

Article 17

1. The Agreement is concluded for a period of five years from the date of its entry into force.

2. Eighteen months before the expiry of the Agreement, negotiations may be opened with a view to concluding a new Agreement on a wider basis.

Article 18

The Agreement may be denounced by either Contracting Party giving six months notice.

Article 19

1. The Agreement shall apply to the European territories where the Treaty establishing the European Economic Community applies, and to the Lebanon.

2. The Agreement shall apply also to French overseas departments so far as concerns those subjects covered by it which correspond to those listed in the first subparagraph of Article 227 (2) of the Treaty establishing the European Economic Community.

The conditions for applying to those departments the provisions of the Agreement relating to other fields shall be decided at a later date by agreement between the Contracting Parties.

Article 20

Annexes I and II, the lists appearing therein and the Protocol shall form an integral part of the Agreement.

Article 21

This Agreement shall enter into force on the first day of the month following the date on which the Contracting Parties notify each other of the completion of the procedures necessary to that end.

Article 22

This Agreement is drawn up in two copies in the Dutch, French, German, Italian and Arabic languages, each of these texts being authentic.

ANNEX I ON THE IMPLEMENTATION OF ARTICLE 2 (1) OF THE AGREEMENT

Article 1

Subject to the special provisions of Articles 2 and 3, the customs duties applicable to imports into the Community of products originating in the Lebanon other than those listed in Annex II to the Treaty establishing the European Economic Community and those set out in Lists A, B and C shall be those of the Common Customs Tariff reduced by the following percentages and in accordance with the following timetable: >PIC FILE= "T0019751">

Article 2

Imports into the Community of the following products, originating in the Lebanon, shall be subject to Common Customs Tariff duties reduced by the following percentages: >PIC FILE= "T0019752">

>PIC FILE= "T0019753">

Article 3

1. An annual Community tariff quota of 70 metric tons shall be opened by the Community for the following products originating in the Lebanon: >PIC FILE= "T0019754">

2. The customs duties applicable under this tariff quota shall be those laid down in Article 1.

3. If the Agreement does not enter into force at the beginning of a calendar year, the quota shall be opened pro rata temporis: - in the first year, beginning on the date of entry into force of the Agreement;

- in the last year, ending on the date of expiry of the Agreement.

Article 4

1. Imports of products originating in the Lebanon listed in this Annex other than those listed in Annex II to the Treaty establishing the European Economic Community and other than those included in List C shall be admitted into the Community without quantitative restrictions.

2. Paragraph 1 shall be without prejudice to import regulations applied to petroleum products.

Article 5

1. Imports into the Community of the following products originating in the Lebanon shall be subject to customs duties equal to 60 % of the Common Customs Tariff duties: >PIC FILE= "T0019755">

2. During the period of application of reference prices, paragraph 1 shall apply on condition that on the internal Community market the prices of citrus fruit imported from the Lebanon are, after customs clearance and allowance for the conversion factors operative for the various classes of citrus fruit and after deduction of transport costs and import charges other than customs duties, not less than the reference prices for the period in question, plus the incidence of the Common Customs Tariff on those reference prices and a fixed amount of 1 720 units of account per 100 kilogrammes.

3. The transport costs and import charges other than customs duties referred to in paragraph 2, shall be those laid down for calculating the entry prices referred to in Regulation (EEC) No 1035/72 on the common organization of the market in fruit and vegetables.

However, the Community shall be entitled to calculate the amount to be deducted in respect of import charges other than customs duties, referred to in paragraph 2, in such a way as to avoid difficulties which may arise from the incidence of those charges on entry prices, depending on origin.

4. Articles 23 to 28 of Regulation (EEC) No 1035/72 shall continue to apply.

5. Where the advantages accruing from the provisions of paragraph 1 would or could be jeopardized by reason of abnormal conditions of competition, consultations may be held in the Joint Committee on the problems arising from such a situation.

Article 6

1. Imports into the Community of the following products originating in the Lebanon shall be subject to the customs duties of the Common Customs Tariff reduced in each case by the percentage indicated: >PIC FILE= "T0019756">

>PIC FILE= "T0019757">

2. If disturbances or difficulties should arise in marketing products falling within subheadings ex 08.01 H (mangoes), 08.02 D (grapefruit and pomelos) and ex 07.01 H (onions, fresh or chilled), in particular as regards the quality of the last-mentioned products, consultations shall be held in the Joint Committee with a view to remedying the situation.

Article 7

Imports into the Community of the following products originating in the Lebanon shall be subject to the following customs duties: >PIC FILE= "T0019758">

Article 8

1. Provided that the Lebanese Republic applies a special export charge in respect of olive oil other than refined olive oil falling within subheading 15.07 A II of the Common Customs Tariff and provided that this special charge is reflected in the import price, the Community shall take the necessary measures to ensure that: (a) the levy on imports into the Community of the said oil, wholly produced in the Lebanon and transported direct from that country to the Community, shall be the import levy calculated in accordance with Article 13 of Regulation No 136/66/EEC on the establishment of a common organization of the market in oils and fats, applicable upon importation, less 0 750 units of account per 100 kilogrammes;

(b) the amount of the levy resulting from the calculation mentioned under (a) shall be reduced by an amount equal to that of the special charge of not more than 4 units of account per 100 kilogrammes that has been paid.

2. If the Lebanese Republic does not apply the charge referred to in paragraph 1, the Community shall take the necessary measures to ensure that the levy on imports into the Community of olive oil, other than refined olive oil, falling within subheading No 15.07 A II of the Common Customs Tariff shall be the levy calculated in accordance with Article 13 of Regulation No 136/66/EEC on the establishment of a common organization of the market in oils and fats, applicable upon importation, less 0 750 units of account per 100 kilogrammes.

3. Each Contracting Party shall take the measures necessary to ensure application of paragraph 1 and shall supply, in the event of difficulties, the information necessary to the proper operation of the arrangements at the request of the other Party.

4. Consultations on the operation of the arrangements provided for in this Article may be held within the Joint Committee.

Article 9

1. Without prejudice to the application of the variable component in accordance with Articles 6 and 7 of Regulation (EEC) No 1059/69 laying down the trade arrangements applicable to certain goods resulting from the processing of agricultural products, the fixed component shall be reduced to 30 % in respect of imports into the Community of the following products originating in the Lebanon: >PIC FILE= "T0019759">

2. The reduction provided for in paragraph 1 shall be applied in accordance with Article 10.

Article 10

1. The rates of the Common Customs Tariff duties to be taken for calculation of the reduced duties listed in Articles 1, 2, 3, 5, 6 and 9 shall be those actually applied at the time in respect of third countries.

2. The reduced duties calculated in accordance with Articles 1, 2, 3, 5, 6, 7 and 9 shall be rounded off, as necessary, to the first place of decimals.

Article 11

1. If special regulations are introduced for the specific purpose of implementing the common agricultural policy, the Community shall be entitled to modify the arrangements laid down in this Annex in respect of products in this Annex other than those coming under Annex II to the Treaty establishing the European Economic Community.

When modifying such arrangements and introducing such regulations, the Community shall have regard to the interests of the Lebanese Republic.

2. Should Community regulations be amended in respect of products in this Annex coming under Annex II to the Treaty establishing the European Economic Community, the Community shall be entitled to modify the arrangements laid down in this Annex.

When modifying such arrangements the Community shall grant in respect of imports originating in the Lebanon an advantage comparable to that provided for in this Annex.

3. The application of this Article may be the subject of consultations in the Joint Committee.

Article 12

Products originating in the Lebanon listed in this Annex may not be given more favourable treatment than that accorded under the Treaty establishing the European Economic Community by the Member States to one another.

LIST A Products which, as a result of implementation of the common agricultural policy, are subject to special rules on importation into the Community and to which the provisions of Article 1 do not apply

>PIC FILE= "T0019760"> >PIC FILE= "T0019761">

LIST B Products to which the provisions of Article 1 do not apply

>PIC FILE= "T0019762">

LIST C Products to which the provisions of Articles 1 and 4 do not apply

>PIC FILE= "T0019763">

ANNEX II ON THE IMPLEMENTATION OF ARTICLE 2 (2) OF THE AGREEMENT

Article 1

1. The customs duties and charges having equivalent effect applicable to imports into the Lebanon of products originating in the Community and included in Lists I, II and III shall be those of the Customs Tariff of the Lebanese Republic, reduced by the following percentages and in accordance with the following timetable: >PIC FILE= "T0019764">

2. When an alteration is made in the duties of the Customs Tariff of the Lebanese Republic or in charges having equivalent effect levied by the Lebanese Republic, the percentage reductions granted to the Community shall remain unchanged.

Article 2

The rates of the duties of the Customs Tariff of the Lebanese Republic to be taken for calculation of the reduced duties listed in Article 1 shall be those actually applied at the time in respect of third countries.

Article 3

1. Imports into Lebanon of the products included in Lists I-III, originating in the Community, shall be liberalized.

2. Imports into Lebanon of the products originating in the Community, other than those referred to in paragraph 1, which are liberalized at the date of entry into force of the Agreement, shall remain liberalized.

3. The Lebanese Republic shall supply the Community, on the date of entry into force of the Agreement, with the list of products covered by paragraph 2 which are liberalized at that date.

4. The Lebanese Republic shall take all necessary measures so that imports which are subject to quantitative restrictions at the date of entry into force of the Agreement are progressively liberalized so far as is compatible with the economic development of Lebanon.

Article 4

The Lebanese Republic shall take all measures necessary to ensure that the objectives of this Annex are attained in the event of imports coming within the scope of a State trading monopoly or of a body by means of which imports are effectively limited, controlled, directed or influenced, whether directly or indirectly.

LIST I

>PIC FILE= "T0019765"> >PIC FILE= "T0019766">

>PIC FILE= "T0019767">

>PIC FILE= "T0019768">

>PIC FILE= "T0019769">

>PIC FILE= "T0019770">

>PIC FILE= "T0019771">

>PIC FILE= "T0019772">

>PIC FILE= "T0019773">

>PIC FILE= "T0019774">

>PIC FILE= "T0019775">

LIST II

>PIC FILE= "T0019776"> >PIC FILE= "T0019777">

>PIC FILE= "T0019778">

>PIC FILE= "T0019779">

>PIC FILE= "T0019780">

>PIC FILE= "T0019781">

>PIC FILE= "T0019782">

LIST III

>PIC FILE= "T0019783"> >PIC FILE= "T0019784">

PROTOCOL on the definition of the concept of "originating products" and on methods of administrative cooperation

TITLE I Provisions on the definition of the concept of "originating products"

Article 1

For the purpose of the Agreement between the European Economic Community and the Lebanese Republic, the following shall be considered as: 1. Products originating in the Community, subject to their having been, within the meaning of Article 5, transported direct to the Lebanon: (a) products wholly obtained or produced in the Member States;

(b) products obtained or produced in the Member States in the manufacture of which products other than those referred to in (a) have been used, if those products have been sufficiently worked or processed within the meaning of Article 3. This condition does not apply to products originating in the Lebanon, with the meaning of this Protocol.

2. Products originating in the Lebanon, subject to their having been, within the meaning of Article 5, transported direct to the importing Member State: (a) products wholly obtained or produced in the Lebanon;

(b) products obtained or produced in the Lebanon in the manufacture of which products other than those referred to in (a) have been used, if those products have been sufficiently worked or processed within the meaning of Article 3. This condition does not apply to products originating in the Community, within the meaning of this Protocol.

This Protocol shall for the time being not apply to the products specified in List C.

Article 2

For the purpose of Article 1 (1) (a) and (2) (a) the following shall be considered as "wholly obtained or produced", either in the Member States or in the Lebanon: (a) mineral products extracted from the ground or from the seabed thereof;

(b) vegetable products harvested therein;

(c) live animals born and raised therein;

(d) products derived from live animals;

(e) products of hunting and fishing therein;

(f) products of sea fishing and other products taken from the sea by their ships;

(g) products manufactured on board their factory-ships, exclusively from products referred to in subparagraph (f);

(h) used articles, fit only for the recovery of raw materials, which are collected therein;

(i) scrap derived from manufacturing processes therein;

(j) goods manufactured exclusively from products referred to in subparagraphs (a) to (i).

Article 3

For the purposes of Article 1 (1) (b) and (2) (b) "sufficiently worked or processed" means: (a) subjected to working or processing as a result of which the goods so manufactured are classified under a different tariff heading from that of any of the constituents, with the exception, however, of those goods specified in List A, to which the special provisions of that list apply;

(b) subjected to the working or processing specified in List B.

"Tariff heading" means a heading of the Brussels Nomenclature for the Classification of Goods in Customs Tariffs.

Article 4

Where Lists A and B, referred to in Article 3, provide that goods manufactured in a Member State or in the Lebanon may be considered as originating therein only if the value of the products used in their manufacture does not exceed a given percentage of the value of the goods so manufactured, the values for determining this percentage shall be as follows: - on the one hand:

for products the importation of which can be proved : their value for customs purposes at the time of importation;

for products of undetermined origin : the first verifiable price paid for those products in the territory of the State where manufacture takes place;

- on the other hand:

the ex-factory price of the goods manufactured, less internal charges refunded or to be refunded on exportation.

Article 5

The following shall be considered as transported direct from the exporting Member State to the Lebanon or from the Lebanon to the importing Member State: (a) products transported without passing through territories other than those of the Contracting Parties;

(b) products transported through territories other than those of the Contracting Parties or with transhipment in such territories provided that passage through or transhipment in such territories is covered by a single transport document made out in a Member State or in the Lebanese Republic.

Transhipment in ports situated in territories other than those of the Contracting Parties, when this transhipment is attributable to force majeure or events at sea, shall not be considered as interruptions of direct transport.

TITLE II Provisions on the organization of methods of administrative cooperation

Article 6

"Originating products" within the meaning of this Protocol shall be accepted in the importing Member State or in the Lebanon as coming under the Agreement, on production of a movement certificate A.RL.1 endorsed by the customs authorities of the Lebanese Republic or the Member State.

However, products sent by post (including parcel post) shall, on production of form A.RL.2 be accepted in the Member State or in the Lebanon as coming under the Agreement if the packets contain only originating products and if the value does not exceed 1 000 units of account per packet, and if each packet bears the label shown in part 2 of the form.

Article 7

Movement certificate A.RL.1 shall be endorsed only upon written application by the exporter made out on the form prescribed for this purpose.

Article 8

Movement certificate A.RL.1 shall be endorsed by the customs authorities of the exporting State at the time of exportation of the goods to which it relates. It shall be made available to the exporter as soon as exportation has been actually effected or ensured.

Exceptionally, movement certificate A.RL.1 may be endorsed after exportation of the goods to which it relates if, through error or inadvertent omission in special circumstances, it was not produced at the time of exportation. In that case a special note shall be added explaining the circumstances in which it was endorsed.

Movement certificate A.RL.1 may be endorsed only where it can serve as documentary evidence for the application of the preferential treatment provided for by the Agreement.

Article 9

Movement certificate A.RL.1 must be submitted within four months of the date of endorsement by the customs authorities of the exporting State to the customs office of the importing State where the goods are presented.

Article 10

Movement certificate A.RL.1 shall be made out in the form shown in Annex V. It shall be in one of the official languages of the European Economic Community and shall comply with the internal laws of the exporting State. It shall be typed or handwritten ; if the latter, it shall be in ink in block letters.

The size of the certificate shall be 210 × 297 mm. The paper used shall be white sized writing paper not containing mechanical pulp, and weighing not less than 64 g/m2 or between 25 and 30 g/m2 if airmail paper is used. It shall have a printed green guilloche-pattern background such as to reveal any falsification by mechanical or chemical means.

A band consisting of three blue stripes, each 3 mm wide, shall be printed diagonally across the front of each certificate from the lower left to the top right corner.

Each certificate shall bear a serial number to assist in identification.

The Member States and the Lebanese Republic may either themselves print the certificate forms or entrust the work to printers authorized by them. In the latter case reference to that authorization must appear on each form. Each certificate must bear the name and address or a distinguishing mark of the printers.

Article 11

The movement certificate A.RL.1 shall be submitted to the customs authorities of the importing State in accordance with its procedural requirements. Those authorities shall have the right to require a translation of it. They may require the import declaration to be supplemented by a statement by the importer that the goods satisfy the conditions required by the Agreement.

Article 12

Form A.RL.2, a specimen of which is shown in Annex 6, shall be completed by the exporter. It shall be in one of the official languages of the European Economic Community and shall comply with the internal laws of the exporting State. It shall be typed or handwritten ; if the latter, it shall be in ink in block letters.

Form A.RL.2 shall consist of two parts, each measuring 210 × 148 mm. The paper used shall be white sized writing paper not containing mechanical pulp, weighing not less than 64 g/m2. A band consisting of three blue stripes, each 3 mm wide, shall be printed diagonally across the front of part I and the label in part II from the lower left to the top right corner.

Form A.RL.2 may be perforated by machine so that the two parts may be detached, as also the label in part II. The reverse of the label may be gummed.

The Member States and the Lebanese Republic may either themselves print the forms or entrust the work to printers authorized by them. In the latter case, reference to that authorization must appear on each form. Each form shall bear the name and address of the printer or their distinguishing mark : Each panel of the form shall bear an identifying serial number.

Article 13

A form A.RL.2 shall be made out for each postal packet. After completing and signing both parts the exporter shall place his declaration (part I) inside the packet and affix the label from part II to the outer wrapping.

These provisions shall not exempt exporters from compliance with the other formalities laid down by customs or postal regulations.

Article 14

Unless improper use is suspected, the customs authorities of the Member State or of the Lebanese Republic shall apply the provisions of the Agreement to the goods contained in a packet bearing a label A.RL.2.

In order to make a random check or where an irregularity is suspected, the customs authorities of the Member State or of the Lebanese Republic may request verification by the customs authorities of the Lebanese Republic or of the Member State, sending them for that purpose part I of form A.RL.2 which was enclosed in the packet, and they may await the results of that verification before applying the provisions of the Agreement. In such cases the goods may be released to the importer subject to such safeguards as may be considered necessary.

Article 15

1. The Member States and the Lebanese Republic shall, without requiring the production of a movement certificate A.RL.1 or the completion of form A.RL.2, apply the provisions of the Agreement to goods imported in small packets addressed to individuals or contained in the personal luggage of travellers, if these goods serve no commercial purpose and they are declared to comply with the conditions required for the application of these provisions and the accuracy of this declaration is not in doubt.

2. Imports shall be considered as serving no commercial purpose if they are occasional and consist exclusively of goods for the personal or family use of the addressees or travellers ; the nature of quantity of such goods must not be such as might indicate that they are being imported for commercial reasons. Furthermore, the total value of these goods must not exceed 60 units of account for small packets or 200 units of account for the contents of the personal luggage of travellers.

Article 16

1. The provisions of the Agreement shall be applied to the importation into the Lebanon or into a Member State of goods sent from a Member State or from the Lebanon for exhibition in another country and sold after the exhibition, on condition that the goods meet the requirements of this Protocol qualifying them as originating in the exporting country and provided that it is shown to the satisfaction of the customs authorities that: (a) an exporter has consigned these goods from the Member State or from the Lebanon to the country in which the exhibition is held and has exhibited them there;

(b) the goods have been sold or otherwise disposed of by that exporter to someone in the Lebanon or in a Member State;

(c) the goods have been consigned during the exhibition or immediately thereafter to the Lebanon or to a Member State in the same conditions as that in which they were sent for exhibition;

(d) the goods have not, since they were consigned for exhibition, been used for any purpose other than demonstration at the exhibition.

2. A movement certificate A.RL.1 must be produced to the customs authorizing the importing State in the normal manner. The name and address of the exhibition must be indicated thereon. Where necessary, additional documentary evidence of the nature of the goods and the conditions under which they have been exhibited may be required from the country where the exhibition took place.

3. Paragraph 1 shall apply to any trade, industrial, agricultural or crafts exhibition, fair or similar public show or display other than those organized for private purposes in shops or business premises with a view to the sale of foreign goods during which the goods remain under customs control.

Article 17

The Member States and the Lebanese Republic shall afford each other assistance through their respective customs authorities in verifying the authenticity and accuracy of movement certificates A.RL.1 and of the exporter's declaration on forms A.RL.2 in order to ensure that this Title is properly applied.

The Joint Committee shall make such recommendations as are necessary for the application of this Protocol, and in particular of this Title, so that methods of administrative cooperation may be concerted in good time in the Member States and in the Lebanese Republic.

TITLE III Final provisions

Article 18

The Member States and the Lebanese Republic shall take all necessary measures to ensure that movement certificates A.RL.1 may be produced, in accordance with Article 11, from the date of the entry into force of the Agreement.

Article 19

The Lebanese Republic, the Member States and the Community shall, each for its part, take the measures necessary for the implementation of this Protocol.

Article 20

The Explanatory Notes, Lists A, B and C, the specimen movement certificate A.RL.1 and the specimen form A.RL.2 shall form an integral part of this Protocol.

Article 21

The provisions of this Agreement may be applied to goods which comply with the provisions of Title I and which, on the date of the entry into force of the Agreement, are either in transit, or are in a Member State or in the Lebanon in temporary storage, in bonded warehouses or in free zones (including free ports and warehouses), subject to the production, within four months from that date, to the customs authorities of the importing country of a certificate A.RL.1 issued retrospectively by the competent authorities of the exporting State, together with the supporting documents covering direct transportation.

ANNEX I EXPLANATORY NOTES

Note 1 - to Article 1:

The expression "in the Member States" or "in the Lebanon" shall also cover territorial waters.

Ships operating on the high seas, including factory ships, on board which fishery catches are processed or prepared shall be considered as part of the territory of the Member State or of the Lebanese Republic to which they belong provided that they satisfy the conditions set out in Explanatory Note 4.

Note 2 - to Article 1:

For the purpose of determining whether goods originate in the Community or in the Lebanon, the question whether the fuel and power, equipment, machinery and tools used in manufacturing those goods originating in a third country shall be irrelevant.

Note 3 - to Article 1:

Packaging shall be considered as forming an integral part of the products which it contains. Nevertheless, this provision shall not apply to packaging which is not of the usual type for the product packed and which has a lasting utility value of its own apart from its nature as packaging.

Note 4 - to Article 2 (f):

The expression "their ships" shall apply only in respect of ships: - which are registered or recorded in a Member State or in the Lebanese Republic;

- which fly the flag of a Member State or of the Lebanese Republic;

- which are owned at least as to half by nationals of the countries party to the Agreement or by a company or firm whose head office is situated in one of those States and of which the manager or managers, the chairman of the board of directors or of the supervisory board and the majority of the members of these boards are nationals of the countries party to the Agreement and of which, whether or not it is with limited liability, at least half the capital is owned by those States party to the Agreement by bodies governed by public law or by nationals of those States;

- whose officers are all nationals of the Member States or of the Lebanese Republic;

- of which at least 75 % of the crew is composed of nationals of the countries parties to the Agreement.

Note 5 - to Article 4:

"Ex-factory price" means the price paid to the manufacturer by whom the goods have been sufficiently worked or processed. Where such working or processing has been done successively by two or more manufacturers, the price shall be that paid to the last manufacturer.

Note 6 - to Article 8:

Where a movement certificate A.RL.1 relates to products originally imported from a Member State or from the Lebanon and later re-exported in the same state, the new certificates issued by the re-exporting State must show the State in which the first movement certificate was issued.

Note 7 - to Article 13:

After having completed form A.RL.2, the exporters shall enter either on the green C 1 label or on the C 2/CP 3 or C 2 M/CP 3 M customs declaration, "A.RL.2" followed by the serial number of the form used. This entry and number shall also be put on the invoice relating to the goods in the consignment.

ANNEX II LIST A List of working or processing operations which result in a change of tariff heading without conferring the status of "originating product" on the products undergoing such operations, or conferring this status only subject to certain conditions

>PIC FILE= "T0019785"> >PIC FILE= "T0019786">

>PIC FILE= "T0019787">

>PIC FILE= "T0019788">

>PIC FILE= "T0019789">

>PIC FILE= "T0019790">

>PIC FILE= "T0019791">

>PIC FILE= "T0019792">

>PIC FILE= "T0019793">

>PIC FILE= "T0019794">

>PIC FILE= "T0019795">

>PIC FILE= "T0019796">

>PIC FILE= "T0019797">

>PIC FILE= "T0019798">

>PIC FILE= "T0019799">

>PIC FILE= "T0019800">

>PIC FILE= "T0019801">

>PIC FILE= "T0019802">

>PIC FILE= "T0019803">

>PIC FILE= "T0019804">

>PIC FILE= "T0019805">

>PIC FILE= "T0019806">

>PIC FILE= "T0019807">

>PIC FILE= "T0019808">

>PIC FILE= "T0019809">

>PIC FILE= "T0019810">

ANNEX III LIST B List of working or processing operations which do not result in a change of tariff heading, but which do confer the status of "originating product" on the products undergoing such operations

>PIC FILE= "T0019811"> >PIC FILE= "T0019812">

>PIC FILE= "T0019813">

>PIC FILE= "T0019814">

ANNEX IV LIST C List of products temporarily excluded from the scope of this Protocol

>PIC FILE= "T0019815">

ANNEX V

>PIC FILE= "T0019816">

>PIC FILE= "T0019817">

>PIC FILE= "T0019818">

>PIC FILE= "T0019834">

ANNEX VI

>PIC FILE= "T0019819">

>PIC FILE= "T0019820">

FINAL ACT

The Plenipotentiaries of

THE COUNCIL OF THE EUROPEAN COMMUNITIES,

of the one part, and

THE GOVERNMENT OF THE LEBANESE REPUBLIC,

of the other part,

meeting at Brussels on the eighteenth day of December, in the year one thousand nine hundred and seventy-two, for the signature of the Agreement between the European Economic Community and the Lebanese Republic,

have, in signing this Agreement, - adopted the Joint Declarations of the Contracting Parties listed below: 1. Joint Declaration by the Contracting Parties on taxes having an effect equivalent to that of customs duties;

2. Joint Declaration by the Contracting Parties on customs tariffs;

3. Joint Declaration by the Contracting Parties on bilateral trade agreements;

4. Joint Declaration by the Contracting Parties on Articles 5, 8 and 9 of Annex I to the Agreement;

5. Joint Declaration by the Contracting Parties on the Agreement on Trade and Technical Cooperation relating to that Agreement;

- taken note of the Declarations listed below: 1. Declaration of the European Economic Community on the application of Article 3 of the Agreement;

2. Declaration of the European Economic Community on the relations of the Lebanese Republic with the developing countries;

3. Declaration of the European Economic Community on the global approach in relations between the Community and Mediterranean countries as a whole.

The above Declarations are annexed to this Final Act.

The Plenipotentiaries agree that the Declarations shall be subjected in the same manner as for the Agreement, to any procedures that may be necessary to ensure their validity.

ANNEX

Joint Declaration by the Contracting Parties on taxes having an effect equivalent to customs duties

In view of the importance for the budget of the Lebanese Republic of taxes having effect equivalent to customs duties, the Contracting Parties agree that the Lebanese Republic may, by way of derogation from Article 1 of Annex II, retain for the duration of this Agreement, and in a non-discriminatory manner, the taxes having equivalent effect that it applies on the date of entry into force of the Agreement.

Upon the entry into force of the Agreement, the Lebanese Republic shall notify the Community with the list of taxes having equivalent effect that are being applied on that date and the rates thereof.

Joint Declaration by the Contracting Parties on customs tariffs

The Contracting Parties agree to notify one another with the minimum delay of any alterations made to their respective customs tariffs.

Joint Declaration by the Contracting Parties on bilateral trade agreements

The Contracting Parties agree as follows: 1. The provisions of the Agreement between the European Economic Community and the Lebanese Republic, whether provisions of a general character or special provisions relating to specific products, shall replace the provisions of agreements concluded between the Member States of the Community and the Lebanese Republic which are incompatible with or identical to them.

2. Matters falling within Article 113 of the Treaty establishing the European Economic Community and not dealt with in this Agreement, in particular those contained in bilateral agreements between the Member States and the Lebanese Republic, shall be settled in accordance with the common commercial policy of the European Economic Community.

Joint Declaration of the Contracting Parties on Articles 5, 8 and 9 of Annex I to the Agreement

The Contracting Parties agree that where reference is made, in Annex I to the Agreement, to Articles 23 to 28 of Regulation (EEC) No 1035/72, Article 13 of Regulation No 136/66/EEC or Articles 6 and 7 of Regulation (EEC) No 1059/69, the Community is referring to the arrangements applicable to third States at the time of importation of the products in question.

Joint Declaration by the Contracting Parties on the Agreement on trade and technical cooperation relating to that Agreement

It is understood that the Agreement on trade and technical cooperation, signed in Brussels on 21 May 1965 between the Community and the Member States on the one hand and the Lebanese Republic on the other, will continue to be valid for the fields not covered by the present Agreement.

Declaration by the European Economic Community on the application of Article 3 of the Agreement

The Community, having taken note of the Agreements concluded between the Lebanese Republic and Iraq, Jordan, Syria, the Arab Republic of Egypt, Saudi Arabia and Sudan, waives the most-favoured nation clause referred to in Article 3 of the Agreement as regards the relations of the Lebanese Republic with those countries, and also as regards any which might be concluded with Algeria, Morocco, Tunisia, Libya, Kuwait, the Yemen Arab Republic, the People's Democratic Republic of Yemen, the Sultanates of Oman, Qatar and Bahrein, and the Federation of Arab Emirates, in accordance with Article 5 of the Agreement.

Declaration by the European Economic Community on the relations of the Lebanese Republic with developing countries

The Community confirms the interest it attaches to the steps taken by developing countries to extend their economic cooperation, especially in the field of trade.

In this connection the Community would welcome the negotiation by the Lebanese Republic of agreements serving this object, within the framework of GATT and in accordance with its rules.

Declaration by the European Economic Community on the Global Approach in relations between the Community and Mediterranean countries as a whole

The Community declares that its relations with the Lebanese Republic form part of the work on the definition of a global approach to relations between the Community and the Mediterranean countries as a whole, which will be framed with due consideration to the concerns of these countries.

It is prepared to re-examine its relations with the Lebanese Republic in the light of the results of this work.

EXCHANGE OF LETTERS between the heads of the two delegations on the occasion of the signature of the Agreement

Exchange of letters on bilateral trade Agreements

Brussels, 18 December 1972.

Your Excellency,

I have the honour to inform you that the representatives of the Governments of the Member States of the European Economic Community have made the following declaration:

"So far as the commercial matters not appearing in the Agreement between the European Economic Community and the Lebanese Republic are concerned, the commercial benefits granted bilaterally shall be maintained in accordance with the conditions laid down in the trade agreements, without prejudice to the common trade policy of the European Economic Community, both now and in the future."

I would be obliged if you would kindly acknowledge receipt of this letter and confirm the Agreement of your Government to the declaration.

Kindly accept, Your Excellency, the assurance of my highest consideration.

Helmut SIGRIST

President of the Delegation of the European Economic Community

His Excellency Mr K. LABAKI

Ambassador

President of the Delegation of the Lebanese Republic

Brussels, 18 December 1972.

Your Excellency,

By your letter of this day you have kindly informed me as follows:

"I have the honour to inform you that the representatives of the Governments of the Member States of the European Economic Community have made the following declaration:

"So far as the commercial matters not appearing in the Agreement between the European Economic Community and the Lebanese Republic are concerned, the commercial benefits granted bilaterally shall be maintained in accordance with the conditions laid down in the trade agreements, without prejudice to the common trade policy of the European Economic Community, both now and in the future."

I would be obliged if you would kindly acknowledge receipt of this letter and confirm the Agreement of your Government to the declaration."

I have the honour to acknowledge receipt of this communication and to confirm the Agreement of my Government to its contents.

K. LABAKI

Ambassador

President of the Delegation of the Lebanese Republic

Mr Helmut SIGRIST

President of the Delegation of the European Economic Community

Exchange of letters concerning Articles 7 and 8 of the Agreement

Brussels, 18 December 1972.

Your Excellency,

I have the honour to inform you of the following declaration from my Government relating to Articles 7 and 8 of the Agreement:

"The Lebanese Republic declares that when applying Articles 7 and 8 of the Agreement, it shall not be bound to repeal laws and regulations already in force, to the extent that those laws and regulations are necessary for the protection of the essential interests of its security. It shall see that the laws and regulations are implemented in a manner which will ensure conformity with Article 2 (3) of the Agreement."

Kindly accept, Your Excellency, the assurance of my highest consideration.

K. LABAKI

Ambassador

President of the Delegation of the Lebanese Republic

Mr Helmut SIGRIST

President of the Delegation of the European Economic Community

Brussels, 18 December 1972.

Your Excellency,

By your letter of this day you have kindly communicated to me a declaration from your Government relating to Articles 7 and 8 of the Agreement.

I have the honour to inform you of the following declaration of the European Economic Community relating to Articles 7 and 8 of the Agreement:

" 1. The European Economic Community takes note of the declaration of the Lebanese Republic.

2. The European Economic Community expects that the principles laid down in the Agreement, including those contained in Articles 7 and 8 of the Agreement, will be fully implemented.

The European Economic Community considers, in particular, that implementation of the principle of non-discrimination should ensure the correct and balanced implementation of the Agreement.

"

Kindly accept, Your Excellency, the assurance of my highest consideration.

Helmut SIGRIST

President of the Delegation of the European Economic Community

His Excellency Mr K. LABAKI

Ambassador

President of the Delegation of the Lebanese Republic

ANNEX I List of products referred to in Article 7 (2)

>PIC FILE= "T0019750">

ANNEX II concerning Article 9 (3)

The following text is added under the heading "Goods for which a movement certificate A.RL.1 may be endorsed", appearing on the back of the certificate, and also under the text appearing on the back of Panel 2 of the form A.RL.2.

"These provisions shall be valid subject to the transitional measures and adaptations in the Protocol laying down certain provisions relating to the Agreement between the European Economic Community and the Lebanon Republic consequent on the Accession of new Member States to the European Economic Community."

FINAL ACT

The Plenipotentiaries of

THE COUNCIL OF THE EUROPEAN COMMUNITIES,

of the one part, and

THE GOVERNMENT OF THE LEBANESE REPUBLIC,

of the other part,

meeting at Brussels, the 6 November 1973

for the signature of the Protocol laying down certain provisions relating to the Agreement between the European Economic Community and the Lebanese Republic consequent on the Accession of new Member States to the European Economic Community,

have, in signing this Agreement, - adopted the Joint Declarations of the Contracting Parties listed below: 1. Joint Declaration by the Contracting Parties on Article 3 of the Protocol;

2. Joint Declaration by the Contracting Parties on Article 5 of Annex I to the Agreement;

- and taken note of the following Declaration:

Declaration of the European Economic Community on the regional application of Article 10 of the Agreement.

These Declarations are annexed to this Final Act.

The Plenipotentiaries have agreed that the Declarations annexed to this Final Act shall be subjected, if need be, to any domestic procedures that may be necessary to ensure their validity.

ANNEX

Joint Declaration by the Contracting Parties concerning Article 3 of the Protocol

1. The Contracting Parties agree that, as regards the subheadings of the United Kingdom Customs Tariff which are to be deleted on 1 January 1974 as a result of the application of the nomenclature of the Common Customs Tariff in which the duties are lower than the duties applied by the United Kingdom Tariff on the corresponding headings of the Common Customs Tariff nomenclature, the reductions by the United Kingdom under Article 3 (1) shall be made only in respect of the latter headings.

2. As regards the products referred to in Article 7 of Annex I of the Agreement, the amount of the difference, expressed as a percentage, between the duty laid down in the Common Customs Tariff and the reduced duty laid down in Article 7 of Annex I shall be taken as a basis for the reductions to be made in accordance with Article 3 (1).

Joint Declaration of the Contracting Parties concerning Article 5 of Annex I of the Agreement

The Contracting Parties agree that, during 1973, Article 5 of Annex I to the Agreement shall not apply to trade between the Lebanese Republic on the one hand, and the Kingdom of Denmark, Ireland and the United Kingdom of Great Britain and Northern Ireland, on the other hand.

Declaration by the European Economic Community on the regional application of Article 10 of the Agreement

The European Economic Community declares that application of the measures open to it under Article 10 of the Agreement may be limited by reason of Community rules which are peculiar to one of its regions.

AGREEMENT between the European Economic Community and the Lebanese Republic

THE COUNCIL OF THE EUROPEAN COMMUNITIES,

of the one part, and

THE GOVERNMENT OF THE LEBANESE REPUBLIC,

of the other part,

DETERMINED to consolidate and to extend economic and trade relations between the European Economic Community and the Lebanese Republic,

RECOGNIZING the importance of the harmonious development of trade between the Contracting Parties,

DESIRING to establish the basis for a progressive expansion of trade with one another,

CONSIDERING that this Agreement affords an opportunity to eliminate many of the obstacles to trade between the European Economic Community and the Lebanese Republic and provides that, eighteen months before its expiry, negotiations may be opened for the purpose of reaching an agreement under which the progressive elimination of obstacles to the main body of trade between the European Economic Community and the Lebanese Republic will be pursued, in accordance with the provisions of the General Agreement on Tariffs and Trade,

CONSIDERING that the European Economic Community is anxious to develop economic and trade relations with the countries bordering on the Mediterranean,

HAVE DECIDED to conclude an Agreement between the European Economic Community and the Lebanese Republic and to this end have designated as their Plenipotentiaries:

THE COUNCIL OF THE EUROPEAN COMMUNITIES:

THE GOVERNMENT OF THE LEBANESE REPUBLIC:

WHO, having exchanged their Full Powers, found in good and due form,

HAVE AGREED AS FOLLOWS:

Article 1

The purpose of this Agreement is to promote an expansion of trade between the European Economic Community and the Lebanese Republic, thereby contributing to the development of international trade.

TITLE I Trade

Article 2

1. Products originating in the Lebanon shall, on importation into the Community, be governed by the provisions of Annex I.

2. Products originating in the Community shall, upon importation into the Lebanon, be governed by the provisions of Annex II.

3. The Contracting Parties shall take all appropriate measures, whether general or particular, to ensure fulfilment of the obligations arising from the Agreement.

They shall refrain from any measure liable to jeopardize the attainment of the objectives of the Agreement.

Article 3

Subject to the special provisions relating to frontier-zone trade, the treatment applied by the Lebanese Republic to products originating in the Community shall in no case be less favourable than that applied to products originating in the most-favoured third country.

Article 4

Where duties are levied on products of one Contracting Party exported to another Contracting Party, such duties may not exceed those applied to products exported to the most-favoured third country.

Article 5

Article 3 and 4 shall not preclude the maintenance or establishment by the Lebanese Republic of customs unions or free-trade areas and also of agreements the purpose of which is regional economic integration, provided that these do not have the effect of modifying the trade arrangements laid down in the Agreement, and in particular the rules of origin.

Article 6

Any internal fiscal measure or practice giving rise, directly or indirectly, to discrimination between the products of one Contracting Party and like products of the other Contracting Party shall be prohibited.

Article 7

The trading arrangements applied by the Lebanese Republic to products originating in the Community or exported to the Community shall not give rise to any discrimination between the Member States, their nationals or their companies or firms.

Article 8

The 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 possessing artistic, historic or archaeological value ; or the protection of industrial and commercial property. Such prohibitions or restrictions shall not, however, constitute a means of arbitrary discrimination or a disguised restriction on trade.

Article 9

The rules of origin applicable to products covered by the Agreement are laid down in the Protocol.

Article 10

1. If one of the Contracting Parties finds in its relations with the other Contracting Party that dumping is being practised, it may, after consultations in the Joint Committee provided for in Article 14, take protective measures against such practices in accordance with the Agreement on the implementation of Article VI of the General Agreement on Tariffs and Trade.

In urgent cases that Contracting Party may, after notifying the Joint Committee, apply the interim measures provided for by that Agreement. Consultations on such measures shall take place not later than two weeks after their implementation.

2. Where measures are directed against bounties or subsidies, the Contracting Parties undertake to comply with the provisions of Article VI of the General Agreement on Tariffs and Trade.

3. At the request of either Contracting Party, consultations shall take place every three months in the Joint Committee on any observed dumping practices, bounties or subsidies and on measures taken in regard thereto.

Article 11

Payments relating to trade and the transfer of such payments to the Member State in which the creditor resides, or to Lebanon, shall not be subject to any restriction where such trade is covered by the provisions of this Agreement.

Article 12

1. If serious disturbances occur in a sector of the economy of the Lebanese Republic or prejudice its external financial stability, or if difficulties arise which adversely affect the economic situation in a region of the Lebanese Republic, the Lebanese Republic may take the necessary protective measures.

The Joint Committee shall be notified immediately of such measures and of the rules for their application.

2. If serious disturbances occur in a sector of the economy of the Community or of one or more Member States, or prejudice the external financial stability of one or more Member States or if difficulties arise which adversely affect the economic situation in a region of the Community, the Community may take, or authorize the Member State or States concerned to take, the necessary protective measures.

The Joint Committee shall be notified immediately of such measures and of the rules for their application.

3. In the choice of measures to be taken in pursuance of paragraphs 1 and 2, preference shall be given to those which least disturb the operation of the Agreement. These measures should not exceed what is strictly necessary to remedy the difficulties that have arisen.

4. Consultations may take place in the Joint Committee on the measures taken in pursuance of paragraphs 1 and 2.

Article 13

1. Where protective measures prove necessary for its industrialization and development, the Lebanese Republic may withdraw concessions granted in respect of the products listed in Annex II, on conditions that they are replaced by concessions which maintain the balance of the Agreement.

2. Such withdrawal and replacement shall take place after consultation in the Joint Committee.

TITLE II General and final provisions

Article 14

1. A Joint Committee is hereby established to administer the Agreement and to ensure its proper execution. To this end, it may make recommendations. It shall take decisions as provided for in this Title.

2. The Contracting Parties agree to keep each other informed and, at the request of either of them, to consult together in the Joint Committee to ensure that the Agreement is correctly implemented.

3. The Joint Committee shall adopt its rules of procedure by decision.

Article 15

1. The Joint Committee shall consist of representatives of the Community and of representatives of the Lebanese Republic.

2. The Joint Committee shall act by mutual agreement.

Article 16

1. The Chairmanship of the Joint Committee shall be taken alternately by each of the Contracting Parties in accordance with its rules of procedure.

2. The Joint Committee shall meet once a year on the initiative of its Chairman.

The Joint Committee shall also meet whenever necessary, at the request of either Contracting Party, in accordance with its rules of procedure.

3. The Joint Committee may decide to set up working parties to assist in the performance of its tasks.

Article 17

1. The Agreement is concluded for a period of five years from the date of its entry into force.

2. Eighteen months before the expiry of the Agreement, negotiations may be opened with a view to concluding a new Agreement on a wider basis.

Article 18

The Agreement may be denounced by either Contracting Party giving six months notice.

Article 19

1. The Agreement shall apply to the European territories where the Treaty establishing the European Economic Community applies, and to the Lebanon.

2. The Agreement shall apply also to French overseas departments so far as concerns those subjects covered by it which correspond to those listed in the first subparagraph of Article 227 (2) of the Treaty establishing the European Economic Community.

The conditions for applying to those departments the provisions of the Agreement relating to other fields shall be decided at a later date by agreement between the Contracting Parties.

Article 20

Annexes I and II, the lists appearing therein and the Protocol shall form an integral part of the Agreement.

Article 21

This Agreement shall enter into force on the first day of the month following the date on which the Contracting Parties notify each other of the completion of the procedures necessary to that end.

Article 22

This Agreement is drawn up in two copies in the Dutch, French, German, Italian and Arabic languages, each of these texts being authentic.

ANNEX I ON THE IMPLEMENTATION OF ARTICLE 2 (1) OF THE AGREEMENT

Article 1

Subject to the special provisions of Articles 2 and 3, the customs duties applicable to imports into the Community of products originating in the Lebanon other than those listed in Annex II to the Treaty establishing the European Economic Community and those set out in Lists A, B and C shall be those of the Common Customs Tariff reduced by the following percentages and in accordance with the following timetable: >PIC FILE= "T0019751">

Article 2

Imports into the Community of the following products, originating in the Lebanon, shall be subject to Common Customs Tariff duties reduced by the following percentages: >PIC FILE= "T0019752">

>PIC FILE= "T0019753">

Article 3

1. An annual Community tariff quota of 70 metric tons shall be opened by the Community for the following products originating in the Lebanon: >PIC FILE= "T0019754">

2. The customs duties applicable under this tariff quota shall be those laid down in Article 1.

3. If the Agreement does not enter into force at the beginning of a calendar year, the quota shall be opened pro rata temporis: - in the first year, beginning on the date of entry into force of the Agreement;

- in the last year, ending on the date of expiry of the Agreement.

Article 4

1. Imports of products originating in the Lebanon listed in this Annex other than those listed in Annex II to the Treaty establishing the European Economic Community and other than those included in List C shall be admitted into the Community without quantitative restrictions.

2. Paragraph 1 shall be without prejudice to import regulations applied to petroleum products.

Article 5

1. Imports into the Community of the following products originating in the Lebanon shall be subject to customs duties equal to 60 % of the Common Customs Tariff duties: >PIC FILE= "T0019755">

2. During the period of application of reference prices, paragraph 1 shall apply on condition that on the internal Community market the prices of citrus fruit imported from the Lebanon are, after customs clearance and allowance for the conversion factors operative for the various classes of citrus fruit and after deduction of transport costs and import charges other than customs duties, not less than the reference prices for the period in question, plus the incidence of the Common Customs Tariff on those reference prices and a fixed amount of 1 720 units of account per 100 kilogrammes.

3. The transport costs and import charges other than customs duties referred to in paragraph 2, shall be those laid down for calculating the entry prices referred to in Regulation (EEC) No 1035/72 on the common organization of the market in fruit and vegetables.

However, the Community shall be entitled to calculate the amount to be deducted in respect of import charges other than customs duties, referred to in paragraph 2, in such a way as to avoid difficulties which may arise from the incidence of those charges on entry prices, depending on origin.

4. Articles 23 to 28 of Regulation (EEC) No 1035/72 shall continue to apply.

5. Where the advantages accruing from the provisions of paragraph 1 would or could be jeopardized by reason of abnormal conditions of competition, consultations may be held in the Joint Committee on the problems arising from such a situation.

Article 6

1. Imports into the Community of the following products originating in the Lebanon shall be subject to the customs duties of the Common Customs Tariff reduced in each case by the percentage indicated: >PIC FILE= "T0019756">

>PIC FILE= "T0019757">

2. If disturbances or difficulties should arise in marketing products falling within subheadings ex 08.01 H (mangoes), 08.02 D (grapefruit and pomelos) and ex 07.01 H (onions, fresh or chilled), in particular as regards the quality of the last-mentioned products, consultations shall be held in the Joint Committee with a view to remedying the situation.

Article 7

Imports into the Community of the following products originating in the Lebanon shall be subject to the following customs duties: >PIC FILE= "T0019758">

Article 8

1. Provided that the Lebanese Republic applies a special export charge in respect of olive oil other than refined olive oil falling within subheading 15.07 A II of the Common Customs Tariff and provided that this special charge is reflected in the import price, the Community shall take the necessary measures to ensure that: (a) the levy on imports into the Community of the said oil, wholly produced in the Lebanon and transported direct from that country to the Community, shall be the import levy calculated in accordance with Article 13 of Regulation No 136/66/EEC on the establishment of a common organization of the market in oils and fats, applicable upon importation, less 0 750 units of account per 100 kilogrammes;

(b) the amount of the levy resulting from the calculation mentioned under (a) shall be reduced by an amount equal to that of the special charge of not more than 4 units of account per 100 kilogrammes that has been paid.

2. If the Lebanese Republic does not apply the charge referred to in paragraph 1, the Community shall take the necessary measures to ensure that the levy on imports into the Community of olive oil, other than refined olive oil, falling within subheading No 15.07 A II of the Common Customs Tariff shall be the levy calculated in accordance with Article 13 of Regulation No 136/66/EEC on the establishment of a common organization of the market in oils and fats, applicable upon importation, less 0 750 units of account per 100 kilogrammes.

3. Each Contracting Party shall take the measures necessary to ensure application of paragraph 1 and shall supply, in the event of difficulties, the information necessary to the proper operation of the arrangements at the request of the other Party.

4. Consultations on the operation of the arrangements provided for in this Article may be held within the Joint Committee.

Article 9

1. Without prejudice to the application of the variable component in accordance with Articles 6 and 7 of Regulation (EEC) No 1059/69 laying down the trade arrangements applicable to certain goods resulting from the processing of agricultural products, the fixed component shall be reduced to 30 % in respect of imports into the Community of the following products originating in the Lebanon: >PIC FILE= "T0019759">

2. The reduction provided for in paragraph 1 shall be applied in accordance with Article 10.

Article 10

1. The rates of the Common Customs Tariff duties to be taken for calculation of the reduced duties listed in Articles 1, 2, 3, 5, 6 and 9 shall be those actually applied at the time in respect of third countries.

2. The reduced duties calculated in accordance with Articles 1, 2, 3, 5, 6, 7 and 9 shall be rounded off, as necessary, to the first place of decimals.

Article 11

1. If special regulations are introduced for the specific purpose of implementing the common agricultural policy, the Community shall be entitled to modify the arrangements laid down in this Annex in respect of products in this Annex other than those coming under Annex II to the Treaty establishing the European Economic Community.

When modifying such arrangements and introducing such regulations, the Community shall have regard to the interests of the Lebanese Republic.

2. Should Community regulations be amended in respect of products in this Annex coming under Annex II to the Treaty establishing the European Economic Community, the Community shall be entitled to modify the arrangements laid down in this Annex.

When modifying such arrangements the Community shall grant in respect of imports originating in the Lebanon an advantage comparable to that provided for in this Annex.

3. The application of this Article may be the subject of consultations in the Joint Committee.

Article 12

Products originating in the Lebanon listed in this Annex may not be given more favourable treatment than that accorded under the Treaty establishing the European Economic Community by the Member States to one another.

LIST A Products which, as a result of implementation of the common agricultural policy, are subject to special rules on importation into the Community and to which the provisions of Article 1 do not apply

>PIC FILE= "T0019760"> >PIC FILE= "T0019761">

LIST B Products to which the provisions of Article 1 do not apply

>PIC FILE= "T0019762">

LIST C Products to which the provisions of Articles 1 and 4 do not apply

>PIC FILE= "T0019763">

ANNEX II ON THE IMPLEMENTATION OF ARTICLE 2 (2) OF THE AGREEMENT

Article 1

1. The customs duties and charges having equivalent effect applicable to imports into the Lebanon of products originating in the Community and included in Lists I, II and III shall be those of the Customs Tariff of the Lebanese Republic, reduced by the following percentages and in accordance with the following timetable: >PIC FILE= "T0019764">

2. When an alteration is made in the duties of the Customs Tariff of the Lebanese Republic or in charges having equivalent effect levied by the Lebanese Republic, the percentage reductions granted to the Community shall remain unchanged.

Article 2

The rates of the duties of the Customs Tariff of the Lebanese Republic to be taken for calculation of the reduced duties listed in Article 1 shall be those actually applied at the time in respect of third countries.

Article 3

1. Imports into Lebanon of the products included in Lists I-III, originating in the Community, shall be liberalized.

2. Imports into Lebanon of the products originating in the Community, other than those referred to in paragraph 1, which are liberalized at the date of entry into force of the Agreement, shall remain liberalized.

3. The Lebanese Republic shall supply the Community, on the date of entry into force of the Agreement, with the list of products covered by paragraph 2 which are liberalized at that date.

4. The Lebanese Republic shall take all necessary measures so that imports which are subject to quantitative restrictions at the date of entry into force of the Agreement are progressively liberalized so far as is compatible with the economic development of Lebanon.

Article 4

The Lebanese Republic shall take all measures necessary to ensure that the objectives of this Annex are attained in the event of imports coming within the scope of a State trading monopoly or of a body by means of which imports are effectively limited, controlled, directed or influenced, whether directly or indirectly.

LIST I

>PIC FILE= "T0019765"> >PIC FILE= "T0019766">

>PIC FILE= "T0019767">

>PIC FILE= "T0019768">

>PIC FILE= "T0019769">

>PIC FILE= "T0019770">

>PIC FILE= "T0019771">

>PIC FILE= "T0019772">

>PIC FILE= "T0019773">

>PIC FILE= "T0019774">

>PIC FILE= "T0019775">

LIST II

>PIC FILE= "T0019776"> >PIC FILE= "T0019777">

>PIC FILE= "T0019778">

>PIC FILE= "T0019779">

>PIC FILE= "T0019780">

>PIC FILE= "T0019781">

>PIC FILE= "T0019782">

LIST III

>PIC FILE= "T0019783"> >PIC FILE= "T0019784">

PROTOCOL on the definition of the concept of "originating products" and on methods of administrative cooperation

TITLE I Provisions on the definition of the concept of "originating products"

Article 1

For the purpose of the Agreement between the European Economic Community and the Lebanese Republic, the following shall be considered as: 1. Products originating in the Community, subject to their having been, within the meaning of Article 5, transported direct to the Lebanon: (a) products wholly obtained or produced in the Member States;

(b) products obtained or produced in the Member States in the manufacture of which products other than those referred to in (a) have been used, if those products have been sufficiently worked or processed within the meaning of Article 3. This condition does not apply to products originating in the Lebanon, with the meaning of this Protocol.

2. Products originating in the Lebanon, subject to their having been, within the meaning of Article 5, transported direct to the importing Member State: (a) products wholly obtained or produced in the Lebanon;

(b) products obtained or produced in the Lebanon in the manufacture of which products other than those referred to in (a) have been used, if those products have been sufficiently worked or processed within the meaning of Article 3. This condition does not apply to products originating in the Community, within the meaning of this Protocol.

This Protocol shall for the time being not apply to the products specified in List C.

Article 2

For the purpose of Article 1 (1) (a) and (2) (a) the following shall be considered as "wholly obtained or produced", either in the Member States or in the Lebanon: (a) mineral products extracted from the ground or from the seabed thereof;

(b) vegetable products harvested therein;

(c) live animals born and raised therein;

(d) products derived from live animals;

(e) products of hunting and fishing therein;

(f) products of sea fishing and other products taken from the sea by their ships;

(g) products manufactured on board their factory-ships, exclusively from products referred to in subparagraph (f);

(h) used articles, fit only for the recovery of raw materials, which are collected therein;

(i) scrap derived from manufacturing processes therein;

(j) goods manufactured exclusively from products referred to in subparagraphs (a) to (i).

Article 3

For the purposes of Article 1 (1) (b) and (2) (b) "sufficiently worked or processed" means: (a) subjected to working or processing as a result of which the goods so manufactured are classified under a different tariff heading from that of any of the constituents, with the exception, however, of those goods specified in List A, to which the special provisions of that list apply;

(b) subjected to the working or processing specified in List B.

"Tariff heading" means a heading of the Brussels Nomenclature for the Classification of Goods in Customs Tariffs.

Article 4

Where Lists A and B, referred to in Article 3, provide that goods manufactured in a Member State or in the Lebanon may be considered as originating therein only if the value of the products used in their manufacture does not exceed a given percentage of the value of the goods so manufactured, the values for determining this percentage shall be as follows: - on the one hand:

for products the importation of which can be proved : their value for customs purposes at the time of importation;

for products of undetermined origin : the first verifiable price paid for those products in the territory of the State where manufacture takes place;

- on the other hand:

the ex-factory price of the goods manufactured, less internal charges refunded or to be refunded on exportation.

Article 5

The following shall be considered as transported direct from the exporting Member State to the Lebanon or from the Lebanon to the importing Member State: (a) products transported without passing through territories other than those of the Contracting Parties;

(b) products transported through territories other than those of the Contracting Parties or with transhipment in such territories provided that passage through or transhipment in such territories is covered by a single transport document made out in a Member State or in the Lebanese Republic.

Transhipment in ports situated in territories other than those of the Contracting Parties, when this transhipment is attributable to force majeure or events at sea, shall not be considered as interruptions of direct transport.

TITLE II Provisions on the organization of methods of administrative cooperation

Article 6

"Originating products" within the meaning of this Protocol shall be accepted in the importing Member State or in the Lebanon as coming under the Agreement, on production of a movement certificate A.RL.1 endorsed by the customs authorities of the Lebanese Republic or the Member State.

However, products sent by post (including parcel post) shall, on production of form A.RL.2 be accepted in the Member State or in the Lebanon as coming under the Agreement if the packets contain only originating products and if the value does not exceed 1 000 units of account per packet, and if each packet bears the label shown in part 2 of the form.

Article 7

Movement certificate A.RL.1 shall be endorsed only upon written application by the exporter made out on the form prescribed for this purpose.

Article 8

Movement certificate A.RL.1 shall be endorsed by the customs authorities of the exporting State at the time of exportation of the goods to which it relates. It shall be made available to the exporter as soon as exportation has been actually effected or ensured.

Exceptionally, movement certificate A.RL.1 may be endorsed after exportation of the goods to which it relates if, through error or inadvertent omission in special circumstances, it was not produced at the time of exportation. In that case a special note shall be added explaining the circumstances in which it was endorsed.

Movement certificate A.RL.1 may be endorsed only where it can serve as documentary evidence for the application of the preferential treatment provided for by the Agreement.

Article 9

Movement certificate A.RL.1 must be submitted within four months of the date of endorsement by the customs authorities of the exporting State to the customs office of the importing State where the goods are presented.

Article 10

Movement certificate A.RL.1 shall be made out in the form shown in Annex V. It shall be in one of the official languages of the European Economic Community and shall comply with the internal laws of the exporting State. It shall be typed or handwritten ; if the latter, it shall be in ink in block letters.

The size of the certificate shall be 210 × 297 mm. The paper used shall be white sized writing paper not containing mechanical pulp, and weighing not less than 64 g/m2 or between 25 and 30 g/m2 if airmail paper is used. It shall have a printed green guilloche-pattern background such as to reveal any falsification by mechanical or chemical means.

A band consisting of three blue stripes, each 3 mm wide, shall be printed diagonally across the front of each certificate from the lower left to the top right corner.

Each certificate shall bear a serial number to assist in identification.

The Member States and the Lebanese Republic may either themselves print the certificate forms or entrust the work to printers authorized by them. In the latter case reference to that authorization must appear on each form. Each certificate must bear the name and address or a distinguishing mark of the printers.

Article 11

The movement certificate A.RL.1 shall be submitted to the customs authorities of the importing State in accordance with its procedural requirements. Those authorities shall have the right to require a translation of it. They may require the import declaration to be supplemented by a statement by the importer that the goods satisfy the conditions required by the Agreement.

Article 12

Form A.RL.2, a specimen of which is shown in Annex 6, shall be completed by the exporter. It shall be in one of the official languages of the European Economic Community and shall comply with the internal laws of the exporting State. It shall be typed or handwritten ; if the latter, it shall be in ink in block letters.

Form A.RL.2 shall consist of two parts, each measuring 210 × 148 mm. The paper used shall be white sized writing paper not containing mechanical pulp, weighing not less than 64 g/m2. A band consisting of three blue stripes, each 3 mm wide, shall be printed diagonally across the front of part I and the label in part II from the lower left to the top right corner.

Form A.RL.2 may be perforated by machine so that the two parts may be detached, as also the label in part II. The reverse of the label may be gummed.

The Member States and the Lebanese Republic may either themselves print the forms or entrust the work to printers authorized by them. In the latter case, reference to that authorization must appear on each form. Each form shall bear the name and address of the printer or their distinguishing mark : Each panel of the form shall bear an identifying serial number.

Article 13

A form A.RL.2 shall be made out for each postal packet. After completing and signing both parts the exporter shall place his declaration (part I) inside the packet and affix the label from part II to the outer wrapping.

These provisions shall not exempt exporters from compliance with the other formalities laid down by customs or postal regulations.

Article 14

Unless improper use is suspected, the customs authorities of the Member State or of the Lebanese Republic shall apply the provisions of the Agreement to the goods contained in a packet bearing a label A.RL.2.

In order to make a random check or where an irregularity is suspected, the customs authorities of the Member State or of the Lebanese Republic may request verification by the customs authorities of the Lebanese Republic or of the Member State, sending them for that purpose part I of form A.RL.2 which was enclosed in the packet, and they may await the results of that verification before applying the provisions of the Agreement. In such cases the goods may be released to the importer subject to such safeguards as may be considered necessary.

Article 15

1. The Member States and the Lebanese Republic shall, without requiring the production of a movement certificate A.RL.1 or the completion of form A.RL.2, apply the provisions of the Agreement to goods imported in small packets addressed to individuals or contained in the personal luggage of travellers, if these goods serve no commercial purpose and they are declared to comply with the conditions required for the application of these provisions and the accuracy of this declaration is not in doubt.

2. Imports shall be considered as serving no commercial purpose if they are occasional and consist exclusively of goods for the personal or family use of the addressees or travellers ; the nature of quantity of such goods must not be such as might indicate that they are being imported for commercial reasons. Furthermore, the total value of these goods must not exceed 60 units of account for small packets or 200 units of account for the contents of the personal luggage of travellers.

Article 16

1. The provisions of the Agreement shall be applied to the importation into the Lebanon or into a Member State of goods sent from a Member State or from the Lebanon for exhibition in another country and sold after the exhibition, on condition that the goods meet the requirements of this Protocol qualifying them as originating in the exporting country and provided that it is shown to the satisfaction of the customs authorities that: (a) an exporter has consigned these goods from the Member State or from the Lebanon to the country in which the exhibition is held and has exhibited them there;

(b) the goods have been sold or otherwise disposed of by that exporter to someone in the Lebanon or in a Member State;

(c) the goods have been consigned during the exhibition or immediately thereafter to the Lebanon or to a Member State in the same conditions as that in which they were sent for exhibition;

(d) the goods have not, since they were consigned for exhibition, been used for any purpose other than demonstration at the exhibition.

2. A movement certificate A.RL.1 must be produced to the customs authorizing the importing State in the normal manner. The name and address of the exhibition must be indicated thereon. Where necessary, additional documentary evidence of the nature of the goods and the conditions under which they have been exhibited may be required from the country where the exhibition took place.

3. Paragraph 1 shall apply to any trade, industrial, agricultural or crafts exhibition, fair or similar public show or display other than those organized for private purposes in shops or business premises with a view to the sale of foreign goods during which the goods remain under customs control.

Article 17

The Member States and the Lebanese Republic shall afford each other assistance through their respective customs authorities in verifying the authenticity and accuracy of movement certificates A.RL.1 and of the exporter's declaration on forms A.RL.2 in order to ensure that this Title is properly applied.

The Joint Committee shall make such recommendations as are necessary for the application of this Protocol, and in particular of this Title, so that methods of administrative cooperation may be concerted in good time in the Member States and in the Lebanese Republic.

TITLE III Final provisions

Article 18

The Member States and the Lebanese Republic shall take all necessary measures to ensure that movement certificates A.RL.1 may be produced, in accordance with Article 11, from the date of the entry into force of the Agreement.

Article 19

The Lebanese Republic, the Member States and the Community shall, each for its part, take the measures necessary for the implementation of this Protocol.

Article 20

The Explanatory Notes, Lists A, B and C, the specimen movement certificate A.RL.1 and the specimen form A.RL.2 shall form an integral part of this Protocol.

Article 21

The provisions of this Agreement may be applied to goods which comply with the provisions of Title I and which, on the date of the entry into force of the Agreement, are either in transit, or are in a Member State or in the Lebanon in temporary storage, in bonded warehouses or in free zones (including free ports and warehouses), subject to the production, within four months from that date, to the customs authorities of the importing country of a certificate A.RL.1 issued retrospectively by the competent authorities of the exporting State, together with the supporting documents covering direct transportation.

ANNEX I EXPLANATORY NOTES

Note 1 - to Article 1:

The expression "in the Member States" or "in the Lebanon" shall also cover territorial waters.

Ships operating on the high seas, including factory ships, on board which fishery catches are processed or prepared shall be considered as part of the territory of the Member State or of the Lebanese Republic to which they belong provided that they satisfy the conditions set out in Explanatory Note 4.

Note 2 - to Article 1:

For the purpose of determining whether goods originate in the Community or in the Lebanon, the question whether the fuel and power, equipment, machinery and tools used in manufacturing those goods originating in a third country shall be irrelevant.

Note 3 - to Article 1:

Packaging shall be considered as forming an integral part of the products which it contains. Nevertheless, this provision shall not apply to packaging which is not of the usual type for the product packed and which has a lasting utility value of its own apart from its nature as packaging.

Note 4 - to Article 2 (f):

The expression "their ships" shall apply only in respect of ships: - which are registered or recorded in a Member State or in the Lebanese Republic;

- which fly the flag of a Member State or of the Lebanese Republic;

- which are owned at least as to half by nationals of the countries party to the Agreement or by a company or firm whose head office is situated in one of those States and of which the manager or managers, the chairman of the board of directors or of the supervisory board and the majority of the members of these boards are nationals of the countries party to the Agreement and of which, whether or not it is with limited liability, at least half the capital is owned by those States party to the Agreement by bodies governed by public law or by nationals of those States;

- whose officers are all nationals of the Member States or of the Lebanese Republic;

- of which at least 75 % of the crew is composed of nationals of the countries parties to the Agreement.

Note 5 - to Article 4:

"Ex-factory price" means the price paid to the manufacturer by whom the goods have been sufficiently worked or processed. Where such working or processing has been done successively by two or more manufacturers, the price shall be that paid to the last manufacturer.

Note 6 - to Article 8:

Where a movement certificate A.RL.1 relates to products originally imported from a Member State or from the Lebanon and later re-exported in the same state, the new certificates issued by the re-exporting State must show the State in which the first movement certificate was issued.

Note 7 - to Article 13:

After having completed form A.RL.2, the exporters shall enter either on the green C 1 label or on the C 2/CP 3 or C 2 M/CP 3 M customs declaration, "A.RL.2" followed by the serial number of the form used. This entry and number shall also be put on the invoice relating to the goods in the consignment.

ANNEX II LIST A List of working or processing operations which result in a change of tariff heading without conferring the status of "originating product" on the products undergoing such operations, or conferring this status only subject to certain conditions

>PIC FILE= "T0019785"> >PIC FILE= "T0019786">

>PIC FILE= "T0019787">

>PIC FILE= "T0019788">

>PIC FILE= "T0019789">

>PIC FILE= "T0019790">

>PIC FILE= "T0019791">

>PIC FILE= "T0019792">

>PIC FILE= "T0019793">

>PIC FILE= "T0019794">

>PIC FILE= "T0019795">

>PIC FILE= "T0019796">

>PIC FILE= "T0019797">

>PIC FILE= "T0019798">

>PIC FILE= "T0019799">

>PIC FILE= "T0019800">

>PIC FILE= "T0019801">

>PIC FILE= "T0019802">

>PIC FILE= "T0019803">

>PIC FILE= "T0019804">

>PIC FILE= "T0019805">

>PIC FILE= "T0019806">

>PIC FILE= "T0019807">

>PIC FILE= "T0019808">

>PIC FILE= "T0019809">

>PIC FILE= "T0019810">

ANNEX III LIST B List of working or processing operations which do not result in a change of tariff heading, but which do confer the status of "originating product" on the products undergoing such operations

>PIC FILE= "T0019811"> >PIC FILE= "T0019812">

>PIC FILE= "T0019813">

>PIC FILE= "T0019814">

ANNEX IV LIST C List of products temporarily excluded from the scope of this Protocol

>PIC FILE= "T0019815">

ANNEX V

>PIC FILE= "T0019816">

>PIC FILE= "T0019817">

>PIC FILE= "T0019818">

>PIC FILE= "T0019834">

ANNEX VI

>PIC FILE= "T0019819">

>PIC FILE= "T0019820">

FINAL ACT

The Plenipotentiaries of

THE COUNCIL OF THE EUROPEAN COMMUNITIES,

of the one part, and

THE GOVERNMENT OF THE LEBANESE REPUBLIC,

of the other part,

meeting at Brussels on the eighteenth day of December, in the year one thousand nine hundred and seventy-two, for the signature of the Agreement between the European Economic Community and the Lebanese Republic,

have, in signing this Agreement, - adopted the Joint Declarations of the Contracting Parties listed below: 1. Joint Declaration by the Contracting Parties on taxes having an effect equivalent to that of customs duties;

2. Joint Declaration by the Contracting Parties on customs tariffs;

3. Joint Declaration by the Contracting Parties on bilateral trade agreements;

4. Joint Declaration by the Contracting Parties on Articles 5, 8 and 9 of Annex I to the Agreement;

5. Joint Declaration by the Contracting Parties on the Agreement on Trade and Technical Cooperation relating to that Agreement;

- taken note of the Declarations listed below: 1. Declaration of the European Economic Community on the application of Article 3 of the Agreement;

2. Declaration of the European Economic Community on the relations of the Lebanese Republic with the developing countries;

3. Declaration of the European Economic Community on the global approach in relations between the Community and Mediterranean countries as a whole.

The above Declarations are annexed to this Final Act.

The Plenipotentiaries agree that the Declarations shall be subjected in the same manner as for the Agreement, to any procedures that may be necessary to ensure their validity.

ANNEX

Joint Declaration by the Contracting Parties on taxes having an effect equivalent to customs duties

In view of the importance for the budget of the Lebanese Republic of taxes having effect equivalent to customs duties, the Contracting Parties agree that the Lebanese Republic may, by way of derogation from Article 1 of Annex II, retain for the duration of this Agreement, and in a non-discriminatory manner, the taxes having equivalent effect that it applies on the date of entry into force of the Agreement.

Upon the entry into force of the Agreement, the Lebanese Republic shall notify the Community with the list of taxes having equivalent effect that are being applied on that date and the rates thereof.

Joint Declaration by the Contracting Parties on customs tariffs

The Contracting Parties agree to notify one another with the minimum delay of any alterations made to their respective customs tariffs.

Joint Declaration by the Contracting Parties on bilateral trade agreements

The Contracting Parties agree as follows: 1. The provisions of the Agreement between the European Economic Community and the Lebanese Republic, whether provisions of a general character or special provisions relating to specific products, shall replace the provisions of agreements concluded between the Member States of the Community and the Lebanese Republic which are incompatible with or identical to them.

2. Matters falling within Article 113 of the Treaty establishing the European Economic Community and not dealt with in this Agreement, in particular those contained in bilateral agreements between the Member States and the Lebanese Republic, shall be settled in accordance with the common commercial policy of the European Economic Community.

Joint Declaration of the Contracting Parties on Articles 5, 8 and 9 of Annex I to the Agreement

The Contracting Parties agree that where reference is made, in Annex I to the Agreement, to Articles 23 to 28 of Regulation (EEC) No 1035/72, Article 13 of Regulation No 136/66/EEC or Articles 6 and 7 of Regulation (EEC) No 1059/69, the Community is referring to the arrangements applicable to third States at the time of importation of the products in question.

Joint Declaration by the Contracting Parties on the Agreement on trade and technical cooperation relating to that Agreement

It is understood that the Agreement on trade and technical cooperation, signed in Brussels on 21 May 1965 between the Community and the Member States on the one hand and the Lebanese Republic on the other, will continue to be valid for the fields not covered by the present Agreement.

Declaration by the European Economic Community on the application of Article 3 of the Agreement

The Community, having taken note of the Agreements concluded between the Lebanese Republic and Iraq, Jordan, Syria, the Arab Republic of Egypt, Saudi Arabia and Sudan, waives the most-favoured nation clause referred to in Article 3 of the Agreement as regards the relations of the Lebanese Republic with those countries, and also as regards any which might be concluded with Algeria, Morocco, Tunisia, Libya, Kuwait, the Yemen Arab Republic, the People's Democratic Republic of Yemen, the Sultanates of Oman, Qatar and Bahrein, and the Federation of Arab Emirates, in accordance with Article 5 of the Agreement.

Declaration by the European Economic Community on the relations of the Lebanese Republic with developing countries

The Community confirms the interest it attaches to the steps taken by developing countries to extend their economic cooperation, especially in the field of trade.

In this connection the Community would welcome the negotiation by the Lebanese Republic of agreements serving this object, within the framework of GATT and in accordance with its rules.

Declaration by the European Economic Community on the Global Approach in relations between the Community and Mediterranean countries as a whole

The Community declares that its relations with the Lebanese Republic form part of the work on the definition of a global approach to relations between the Community and the Mediterranean countries as a whole, which will be framed with due consideration to the concerns of these countries.

It is prepared to re-examine its relations with the Lebanese Republic in the light of the results of this work.

EXCHANGE OF LETTERS between the heads of the two delegations on the occasion of the signature of the Agreement

Exchange of letters on bilateral trade Agreements

Brussels, 18 December 1972.

Your Excellency,

I have the honour to inform you that the representatives of the Governments of the Member States of the European Economic Community have made the following declaration:

"So far as the commercial matters not appearing in the Agreement between the European Economic Community and the Lebanese Republic are concerned, the commercial benefits granted bilaterally shall be maintained in accordance with the conditions laid down in the trade agreements, without prejudice to the common trade policy of the European Economic Community, both now and in the future."

I would be obliged if you would kindly acknowledge receipt of this letter and confirm the Agreement of your Government to the declaration.

Kindly accept, Your Excellency, the assurance of my highest consideration.

Helmut SIGRIST

President of the Delegation of the European Economic Community

His Excellency Mr K. LABAKI

Ambassador

President of the Delegation of the Lebanese Republic

Brussels, 18 December 1972.

Your Excellency,

By your letter of this day you have kindly informed me as follows:

"I have the honour to inform you that the representatives of the Governments of the Member States of the European Economic Community have made the following declaration:

"So far as the commercial matters not appearing in the Agreement between the European Economic Community and the Lebanese Republic are concerned, the commercial benefits granted bilaterally shall be maintained in accordance with the conditions laid down in the trade agreements, without prejudice to the common trade policy of the European Economic Community, both now and in the future."

I would be obliged if you would kindly acknowledge receipt of this letter and confirm the Agreement of your Government to the declaration."

I have the honour to acknowledge receipt of this communication and to confirm the Agreement of my Government to its contents.

K. LABAKI

Ambassador

President of the Delegation of the Lebanese Republic

Mr Helmut SIGRIST

President of the Delegation of the European Economic Community

Exchange of letters concerning Articles 7 and 8 of the Agreement

Brussels, 18 December 1972.

Your Excellency,

I have the honour to inform you of the following declaration from my Government relating to Articles 7 and 8 of the Agreement:

"The Lebanese Republic declares that when applying Articles 7 and 8 of the Agreement, it shall not be bound to repeal laws and regulations already in force, to the extent that those laws and regulations are necessary for the protection of the essential interests of its security. It shall see that the laws and regulations are implemented in a manner which will ensure conformity with Article 2 (3) of the Agreement."

Kindly accept, Your Excellency, the assurance of my highest consideration.

K. LABAKI

Ambassador

President of the Delegation of the Lebanese Republic

Mr Helmut SIGRIST

President of the Delegation of the European Economic Community

Brussels, 18 December 1972.

Your Excellency,

By your letter of this day you have kindly communicated to me a declaration from your Government relating to Articles 7 and 8 of the Agreement.

I have the honour to inform you of the following declaration of the European Economic Community relating to Articles 7 and 8 of the Agreement:

" 1. The European Economic Community takes note of the declaration of the Lebanese Republic.

2. The European Economic Community expects that the principles laid down in the Agreement, including those contained in Articles 7 and 8 of the Agreement, will be fully implemented.

The European Economic Community considers, in particular, that implementation of the principle of non-discrimination should ensure the correct and balanced implementation of the Agreement.

"

Kindly accept, Your Excellency, the assurance of my highest consideration.

Helmut SIGRIST

President of the Delegation of the European Economic Community

His Excellency Mr K. LABAKI

Ambassador

President of the Delegation of the Lebanese Republic