AGREEMENT between the European Economic Community and the Russian Federation on trade in textile productsTHE COUNCIL OF THE EUROPEAN COMMUNITIES,of the one part, andTHE GOVERNMENT OF THE RUSSIAN FEDERATION,of the other part,DESIRING to promote, with a view to permanent cooperation and in conditions providing every security for trade, the orderly and equitable development of trade in textile products between the European Economic Community (hereinafter referred to as 'the Community') and the Russian Federation (hereinafter referred to as 'Russia'),RESOLVED to take the fullest possible account of the serious economic and social problems at present affecting the textile industry in both importing and exporting countries,HAVE DECIDED to conclude this Agreement and to this end have designated as their plenipotentiaries:THE COUNCIL OF THE EUROPEAN COMMUNITIES,THE GOVERNMENT OF THE RUSSIAN FEDERATION,WHO HAVE AGREED AS FOLLOWS:Article 11. Trade in textile products listed in Annex I and originating within the Contracting Parties shall be liberalized for the duration of this Agreement under the conditions set out therein.2. Subject to the provisions of this or any successive Agreement, the Community undertakes, in respect of the products listed in Annex I, to suspend the application of quantitative import restrictions currently in force and not to introduce new quantitative restrictions.Quantitative import restrictions shall be re-introduced in case of denunciation or non-replacement of the present Agreement.3. Measures having equivalent effect to quantitative restrictions on the importation into the Community of the products listed in Annex I shall be prohibited for the duration of this Agreement.Article 21. Russia agrees to establish and maintain for each calendar year quantitative limits on its exports to the Community in accordance with Annex II. Such exports shall be subject to a double-checking system as specified in Protocol A.2. In administering the quantitative limits referred to in paragraph 1, Russia shall ensure that the Community textile industry shall benefit from utilization of the said limits.More particularly, as regards categories 1, 2, 2a and 3 Russia undertakes upon request from the Community to reserve to the Community textile industry, as a priority, 30 % of the quantitative limits concerned for industry users during a period extending between 1 January to 31 May of each year. For this purpose, contracts made with the industry during the period in question shall be taken into consideration.3. To facilitate the implementation of these provisions the Community shall provide the competent Russian authorities, before the end of each year, with a list of interested Community manufacturers and processors and, if possible, of the quantity of products requested for each firm. To this end, the firms concerned are invited to make direct contact with the relevant Russian enterprises as early as possible during the reservation period mentioned in paragraph 2, in order to make their purchasing intentions known.Article 31. Imports into the Community of textile products covered by this Agreement shall not be subject to the quantitative limits established in Annex II, provided that they are declared to be for re-export outside the Community in the same state or after processing, within the framework of the administrative system of control which exists within the Community.However, the release for home use of products imported into the Community under the conditions referred to above shall be subject to the production of an export licence issued by the authorities of Russia, and to proof of origin in accordance with the provisions of Protocol A.2. Where the Community authorities ascertain that imports of textile products have been set off against a quantitative limit established under this Agreement, but that the products have subsequently been re-exported outside the Community, the authorities shall inform the Russian authorities within four weeks of the quantities involved and authorize imports of identical quantitaties of the same products, which shall not be set off against the quantitative limit established under this Agreement for the current or the following year, as appropriate.3. The Community and Russia recognize the special and differential character of re-imports of textile products into the Community after processing in Russia as a specific form of industrial and trade cooperation.Provided that they are effected in accordance with the regulations on economic outward processing in force in the Community, these re-imports are not subject to the quantitative limits set out in Annex II when they are subject to the specific arrangements laid down in Protocol C.Article 41. In any Agreement year advance use of a portion of the quantitative limit established for the following Agreement year is authorized for each category of products up to 5 % of the quantitative limit for the current Agreement year.Amounts delivered in advance shall be deducted from the corresponding quantitative limits established for the following Agreement year.2. Carry-over to the corresponding quantitative limit for the following Agreement year of the amounts not used during any Agreement year is authorized for each category of products up to 7 % of the quantitative limit for the current Agreement year.3. Transfers in respect of categories in Group I shall not be made from any category except as follows:- transfers between categories 2