ARRANGEMENT between the European Community and the Kingdom of Norway concerning reciprocal trade in cheese

With the aim of fostering the harmonious development of trade in agricultural products and taking into account the discussions which have taken place with a view to adapting their bilateral agricultural concessions following the accession of Austria, Finland and Sweden to the European Union, the European Community and the Kingdom of Norway have agreed to conclude a new arrangement with effect from 1 January 1995 concerning their reciprocal trade in cheese (1). In view of the common interest of the Community and Norway in offering consumers, in addition to home-produced cheese, types of imported cheese, the provisions of this arrangement read as follows:

1. The import duties on the annual quantities of cheese set out below may not exceed the following levels:

(a) On import into the Community (excluding Spain and Portugal):

Cheese covered by CN code 0406, originating in Norway and accompanied by an approved certificate (2):

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(b) on import into Norway:

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2. Norway will take the necessary steps in order to:

- limit the issue of the certificates referred to in (1) (a) to the quantities agreed in this arrangement;

- ensure that the autonomous system of import licence allocation will be managed taking into account market requirements and in such a way that imports may take place regularly and that the quantities agreed for import into Norway from the Community can effectively be imported.

3. The Community and Norway will take steps to ensure that the benefits which they grant each other will not be jeopardized by other import measures.

4. The Community and Norway undertake, each on its own behalf, to ensure that the prices charged by their exporters are not such as to create difficulties on the importing country's market.

They agree, in this connection, to exchange at regular intervals information on price quotations and any other useful information concerning the market in domestic and imported cheeses.

If difficulties arise concerning the prices charged, consultations will be held at the request of either party, as promptly as possible, with a view to the adoption of appropriate corrective measures.

5. Consultations will be held at the request of either party on any question relating to the operation of this arrangement. The two parties may, by common accord, alter it by reference in particular to the trend in market prices, production, marketing or consumption of home-produced and imported cheeses.

6. This arrangement shall apply, on the one hand, to the territories in which the Treaty establishing the European Community is applied and under the conditions laid down in that Treaty and, on the other hand, to the territory of the Kingdom of Norway.

7. This arrangement shall replace the arrangement between the European Economic Community and the Kingdom of Norway concerning reciprocal trade in cheese, signed on 2 May 1992.

ANNEX II

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ANNEX III

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ANNEX IV

Rules of origin

1. The provisions of Protocol 3 to the Agreement between the European Economic Community and the Kingdom of Norway concerning the definition of the concept of 'originating products` and methods of administrative cooperation as last amended by Decision No 1/94 of the EC-Norway Joint Committee of 8 March 1994 (3), shall apply mutatis mutandis to the products mentioned in Annexes I, II and III.

2. The specific rules for the working or processing to be carried out on non-originating materials used in the manufacture of the products in question in order that they obtain originating status and which are not yet mentioned in Annex II to the said Protocol 3 shall be the following:

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Exchange of letters No 2

Letter No 1

Brussels, . . . . . .

Sir,

I have the honour to refer to the arrangement between the European Economic Community and the Kingdom of Norway on reciprocal trade in cheese and to the negotiations which have taken place with a view to adjusting that arrangement following the accession of Austria, Finland and Sweden to the European Union.

In this connection, I confirm that Norway accepts the following undertakings:

1. Subject to a limit of 200 tonnes of cheese, Norway forgoes the provisions of its letter of 11 April 1983 in which it reserved the right to restrict imports of certain cheeses from the Community.

2. Norway recognizes that the change in import arrangements for cheese in the Canary Islands from 1 July 1992, which affected traditional exports from Norway, has been taken fully into account under the new arrangement.

Under these circumstances, Norway forgoes any further compensation for cheeses not covered by the Agreement between the Community and Norway of 14 July 1986 concluded following the accession of Spain to the European Communities.

Please accept, Sir, the assurance of my highest consideration.

For the Government of the Kingdom of Norway

Letter No 2

Brussels, . . . . . .

Sir,

I have the honour to acknowledge receipt of your letter of today's date which reads as follows:

'I have the honour to refer to the arrangement between the European Economic Community and the Kingdom of Norway on reciprocal trade in cheese and to the negotiations which have taken place with a view to adjusting that arrangement following the accession of Austria, Finland and Sweden to the European Union.

In this connection, I confirm that Norway accepts the following undertakings:

1. Subject to a limit of 200 tonnes of cheese, Norway forgoes the provisions of its letter of 11 April 1983 in which it reserved the right to restrict imports of certain cheeses from the Community.

2. Norway recognizes that the change in import arrangements for cheese in the Canary Islands from 1 July 1992, which affected traditional exports from Norway, has been taken fully into account under the new arrangement.

Under these circumstances, Norway forgoes any further compensation for cheeses not covered by the Agreement between the Community and Norway of 14 July 1986 concluded following the accession of Spain to the European Communities.`

Please accept, Sir, the assurance of my highest consideration.

On behalf of the Council of the European Union

(1) This arrangement is without prejudice to point 3 of the exchange of letters concerning reciprocal trade in cheese signed on 14 July 1986 between the Community and Norway following the accession of Spain and Portugal.

(2) The certificate will be issued by 'Norske Meierier` (Norwegian dairies).

(3) OJ No L 204, 6. 8. 1994, p. 90.