AGREEMENTbetween the European Economic Community and the People's Republic of Bulgariaon trade in textile productsDone at Brussels on 11 July 1987THE COUNCIL OF THE EUROPEAN COMMUNITIES, of the one part, andTHE GOVERNMENT OF THE PEOPLE'S REPUBLIC OF BULGARIA, of the other part, DESIRING to promote, with a view to permanent cooperation and in conditions providing the utmost security for trade, the mutual expansion and orderly and equitable development of trade in textile products between the European Economic Community (hereinafter referred to as 'the Community') and the People's Republic of Bulgaria (hereinafter referred to as 'Bulgaria'), RESOLVED to take the fullest possible account of the economic and social problems at present affecting the textile industry in both importing and exporting countries, in particular in order to eliminate the real dangers of distortion of the Community market and of disturbance of trade in Bulgarian textile products, 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 PEOPLE'S REPUBLIC OF BULGARIA: WHO HAVE AGREED AS FOLLOWS: SECTION ITrade arrangementsArticle 11. This Agreement shall apply to trade in textile products of cotton, wool, fine animal hair or man-made fibres originating in Bulgaria which are listed in Annex I. 2. The classification of the products covered by this Agreement is based on the nomenclature of the Common Customs Tariff and on the Nomenclature of Goods for the External Trade Statistics of the Community and the Statistics of Trade between its Member States (NIMEXE). From the entry into force of the International Convention of the Harmonized Commodity Description and Coding System (HS), this classification will be based on the Harmonized System and on the Community Nomenclatures derived from that system. 3. The origin of the products covered by this Agreement shall be determined in accordance with the rules in force in the Community. Any amendment to these rules of origin shall be communicated to Bulgaria and shall not have the effect of reducing any quantitative limit established in Annex II. The procedures for control of the origin of the products referred to above are laid down in Protocol A. Article 21. Bulgaria agrees to establish and maintain for each calendar year quantitative limits on its exports to the Community in accordance with the table in Annex II. 2. Subject to the provisions set out in Articles 5 and 7, and without prejudice to the quantitative arrangements applicable to products undergoing the operations referred to in Article 3 (4), the Community undertakes in respect ofproducts covered by this Agreement to suspend the application of quantitative restrictions on imports currently in force, and not to introduce new quantitative restrictions. 3. Measures having equivalent effect to quantitative restrictions on the importation into the Community of the products covered by this Agreement shall be prohibited. Article 31. Exports of cottage industry fabrics woven on hand- or foot-operated looms, articles of clothing or other textile articles obtained or sewn manually from such fabrics and traditional folklore handicraft products shall not be subject to quantitative limits, provided that these products meet the conditions laid down in Protocol B. 2. 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 from the Community in the same state or after processing, under the administrative system of control which exists within the Community. However, the release for home use of products imported under the conditions referred to above shall be subject to the production of an export licence issued by the Bulgarian authorities, and to proof of origin in accordance with the provisions of Protocol A. 3. Where the competent authorities in the Community have evidence 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 from the Community in the same state or after processing, the authorities concerned shall inform the Bulgarian authorities within four weeks of the quantities involved and shall authorize imports of identical quantities of the same products, which shall not be set off against the quantitative limit established for the current or the following year. 4. Re-imports into the Community of textile products listed in Annex I which have been temporarily exported by the Community and subsequently processed in Bulgaria shall not be subject to the quantitative limits established under this Agreement, provided they are effected in accordance with the regulations on economic outward processing traffic in force in the Community. Article 41. Advance use of a portion of the quantitative limit established for the following year shall be authorized for each category of products up to 5 % of the quantitative limit for the current year. Amounts