D The annual growth rate for the quantitative limits introduced under Article 8 of the Agreement shall be determined as follows: For products in categories falling within Group I, II, III, the growth rate shall be fixed by Agreement between the Parties in accordance with the consultation procedure established in Article 16 of the Agreement. Such growth rate may in no case be lower than the highest rate applied to corresponding products under bilateral agreements concluded under the Geneva Arrangement between the Community and other third countries having a level of trade equal to or comparable with that of Indonesia.PROTOCOL E Re-imports in the sense of Article 4 (2) of this Agreement into the Community of products listed in the Annex to this Protocol shall be subject to the provisions of the Agreement except as specifically provided for by the particular provisions set out below:1. Only re-imports into the Community subject to the specific quantitative limits set out in the Annex to this Protocol, as may be modified by the application of paragraphs 2 and 3, shall be considered re-imports in the sense of Article 4 (2).2. Re-imports not covered by the Annex may be submitted to specific quantitative limits following consultations in accordance with the procedures set out in Article 16 of the Agreement, provided the products concerned are subject to the quantitative limits established under Annex II to the Agreement.3. The Community may, at its own discretion, and bearing in mind the interest of both parties, or in the framework of a request set out in Article 16 of the Agreement:(a) examine the possibilities of transfers between categories and advance use or carryover of portions of specific quantitative limits from one year to another;(b) consider the scope for reallocating portions of any specific quantitative limits not used in one region of the Community to another region.4. However the Community may automatically carry out the flexibilities in the sense of paragraph 3 up to the following extent:(a) transfer between categories up to 20 % of the share established for the category to which the transfer is made;(b) carryover of specific quantitative limits from one year to another up to 10,5 % of the share for the year of actual utilization;(c) advance use of specific quantitative limits from one year to another up to 7,5 % of the share for the year of actual utilization.5. The Community shall inform Indonesia of any measures taken pursuant to the preceding paragraphs.6. Debiting against a specific quantitative limit referred to in paragraph 1 shall be carried out by the competent authorities of the Community at the time of issuing the prior authorization provided for by the Community Regulation on economic outward processing, Regulation (EEC) N° 636/82. A specific quantitative limit shall be debited for the year in which a prior authorization is issued.7. A certificate of origin shall be issued for all products covered by the present Protocol by Indonesia in accordance with the provisions of Protocol A of the Agreement, bearing a reference to the prior authorization referred to in paragraph 6 as evidence that the processing operation described in the prior authorization has been carried out in Indonesia.8. The Community shall provide Indonesia with the names, addresses and the specimens of stamps used by the competent authorities of the Community for the issue of the prior authorizations referred to in paragraph 6.9. Notwithstanding the provisions of paragraphs 1 to 8 above Indonesia and the Community will continue to consult together to seek a mutually acceptable means to enable both parties to take advantage of the OPT provisions in the Agreement with a view to effective development of trade in textiles between Indonesia and the Community.Annex to Protocol EOPT QUANTITATIVE LIMITSFor practical reasons the product descriptions used in Annex I are given in the present Annex in abbreviated form>POSIÇÃO NUMA TABELA>PROTOCOL F The Community and Indonesia agree that if the Multifibre Arrangement is extended for a period going beyond 31 December 1990 then the present Agreement will be automatically prolonged for a further period of one year up to 31 December 1991 in accordance with the economic and technical terms of the existing Agreement, with the adaptations strictly necessary for the application of the Agreement for the fifth year.Joint Declaration concerning batik fabrics and products thereof A.The Community and Indonesia agree that batik fabric may not be described as having been produced by the traditional handicraft batik process unless, for each of the colours or shades applied to the fabric, each of the following three operations has been carried out by hand:(a)waxing (application of wax by hand to the fabric);(b)dyeing/painting (application of colour either by the traditional cottage method of dyeing or by hand-painting);(c)de-waxing (boiling the fabric to remove the wax).B.The parties hereby further agree to the following arrangements:1.The competent Community authorities will accept as traditional folklore handicraft textile products within the meaning of Article 1 (c) of Protocol B all
AGREEMENT between the European Economic Community and the Republic of Indonesia on trade in textile products Done at Brussels on 28 June 1986THE COUNCIL OF THE EUROPEAN COMMUNITIES,of the one part, andTHE GOVERNMENT OF THE REPUBLIC OF INDONESIA,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 Republic of Indonesia (hereinafter referred to as 'Indonesia'),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, and in particular, to eliminate real risks of market disruption on the market of the Community and real risks of disruption to the textile trade of Indonesia,HAVING REGARD to the Arrangement regarding International Trade in Textiles (hereinafter referred to as 'the Geneva Arrangement'), and in particular Article 4 thereof, and to the conditions set out in the Protocol extending the Arrangement,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 REPUBLIC OF INDONESIA:WHO HAVE AGREED AS FOLLOWS:SECTION ITrade arrangementsArticle 11. The Parties recognize and confirm that, subject to the provisions of this Agreement and without prejudice to their rights and obligations under the General Agreement on Tariffs and Trade, the conduct of their mutual trade in textile products shall be governed by the provisions of the Geneva Arrangement.2. In respect of the products covered by this Agreement, the Community undertakes not to introduce quantitative restrictions under Article XIX of the General Agreement on Tariffs and Trade or Article 3 of the Geneva Arrangement.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 21. This Agreement shall apply to trade in textile products of cotton, wool and man-made fibres originating in Indonesia 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 Member States (NIMEXE).From the entry into force of the International Convention on the Harmonised 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 Indonesia 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 3Indonesia agrees for each Agreement year to restrain its exports to the Community of the products described in Annex II to the limits set out therein.Exports of textile products set out in Annex II shall be subject to a double-checking system specified in Protocol A.Article 4Indonesia and the Community recognize the special and differential character of re-imports of textile products into the Community after processing in Indonesia.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 E.Article 5Exports of cottage industry fabrics woven on hand- or foot-operated looms, garments or other articles obtained 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.Article 61. 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 under the conditions referred to above shall be subject to the production of an export licence issued by the Indonesian authorities, and to proof of origin in accordance with the provisions of Protocol A.2. Where the Community authorities 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 outside the Community, the authorities concerned shall inform the Indonesian authorities within four weeks of the quantities involved and authorize imports of identical quantities of the same products, which shall not be set to be agreed following the consultations referred to in paragraph 2, may be carried out for the quota year in which the request to open consultations in accordance with paragraph 2 was made, or for the following year if the quota for the current year is exhausted, where clear evidence of circumvention is provided.4. Should the Parties be unable in the course of consultations to reach a satisfactory solution within the period specified in Article 16, the Community shall have the right, where clear evidence of circumvention has been provided, to deduct from the quantitative limits established under this Agreement amounts equivalent to the products of Indonesian origin.Article 121. Indonesia shall endeavour to ensure that exports of textile products subject to quantitative limits are spaced out as evenly as possible over an Agreement year, due account being taken, in particular, of seasonal factors.2. Should there be an excessive concentration of imports on any product within a category subject to quantitative limits under this Agreement, the Community may request consultations in accordance with the procedure specified in Article 16 of this Agreement with a view to finding a solution. Article 13Should recourse be had to the denunciation provisions of Article 18 (4), the quantitative limits established in Annex II shall be adapted on a pro rata basis. Article 141. For the purpose of the administration of this Agreement, the limits referred to in Article 3 are broken down by the Community into shares for each of its Member States.2. Portions of the quantitative limits established in Annex II not used in one Member State of the Community may be reallocated to another Member State in accordance with the procedures in force in the Community.The Community undertakes to examine with care and reply within four weeks to any request made for reallocation by Indonesia. In the event of agreement on such reallocation, the flexibility provisions set out in Article 7 shall continue to be applicable to the levels of the original allocation.If, in the course of the application of this Agreement, Indonesia finds that the break-down of a limit established in Annex II causes particular difficulties, it may request the opening of consultations in accordance with Article 16 with a view to reaching a mutually satisfactory solution.3. After the first of June of each year of application of the Agreement, Indonesia may transfer, subject to prior notification to the Community, the unused quantities of the regional quota-shares of a Community quantitative limit, set out in Annex II, to the quota-shares of the same limit of other regions of the Community provided that the regional quota-share from which the transfer is made is utilized by less than 80 %, and up to the amount of the followingpercentages of the quota-share to which the transfer is made:- 2 % in the first year of the application of the Agreement,- 4 % in the second year of the application of the Agreement,- 8 % in the third year of the application of the Agreement,- 12 % in the fourth year of the application of the Agreement.4. Should it appear in any given region of the Community that additional supplies are required, the Community may, where measures taken pursuant to paragraph 1 are inadequate to cover those requirements, authorize the importation of amounts greater than those stipulated in Annex II.Article 151. Indonesia and the Community undertake to refrain from discrimination in the allocation of export licences and import authorizations or documents referred to in Protocols A and B.2. In implementing this Agreement, the Contracting Parties shall take care to maintain the traditional commercial practices and trade flows between the Community and Indonesia.3. Should either Party find that the application of this Agreement is disturbing existing commercial relations between importers in the Community and suppliers in Indonesia consultations shall be started promptly, in accordance with the procedure specified in Article 16 with a view to remedying this situation.Article 161. The special consultation procedures referred to in this Agreement shall be governed by the following rules:- any request for consultations shall be notified in writing to the other Party,- the request for consultations shall be followed within a reasonable period (and in any case not later than 15 days following the notification) by a statement setting out the reasons and circumstances which, in the opinion of the requesting Party, justify the submission of such a request,- the Parties shall enter into consultations within one month at the latest of notification of the request, with a view to reaching agreement or a mutually acceptable conclusion within one further month at the latest.2. The Community may request consultations in accordance with paragraph 1 when it ascertains that during a particular year of application of the Agreement difficulties arise in the Community or one of its regions from a sharp and substantial increase, by comparison to the preceding year, in imports of a given category of Group I subject to the quantitative limits set out in Annex II.3. If necessary, at the request of either of the Parties and in conformity with the provisions of the Geneva Arrangement, consultations shall be held on any problems arising from the application of this Agreement. Any consultations held under this Article shall be approached by both Parties in a spirit of cooperation and with a desire to reconcile the Exports of Indonesian origin not covered by Indonesian export licences issued in accordance with the provisions of this Protocol may be refused the issue of import authorizations or documents by the competent Community authorities.However, if the import of such products is allowed into the Community by the competent Community authorities, the quantities involved shall not be set off against the appropriate quantitative limits set out in Annex II or established as a result of the application of Article 8 of the Agreement, without the express agreement of Indonesia save as provided for in Article 11 of the Agreement.TITLE IVFORM AND PRODUCTION OF EXPORT CERTIFICATES AND CERTIFICATES OF ORIGIN, AND COMMON PROVISIONSArticle 141. The export licence and the certificate of origin may comprise additional copies duly indicated as such. They shall be made out in English or French. If they are completed by hand, entries must be in ink and in block capitals.These documents shall measure 210 × 297 mm. The paper used must be white writing paper, sized, not containing mechanical pulp and weighing not less than 25 g/m$. Eachpart shall have a printed guilloche-pattern background making any falsification by mechanical or chemical means apparent to the eye.If the documents have several copies only the top copy which is the original shall be printed with the guilloche-pattern background. This copy shall be clearly marked as 'original' and the other copies as 'copy'. Only the original shall be accepted by the competent authorities in the Community as being valid for the purposes of export to the Community in accordance with the arrangements established by this Agreement.2. Each document shall bear a standardized serial number, whether or not printed, by which it can be identified.This number shall be composed of the following elements:- two letters identifying Indonesia as follows: ID,- two letters identifying the country of destination as follows:BL = BeneluxDE = GermanyDK = DenmarkES = SpainFR = FranceGB = United KingdomGR = GreeceIE = IrelandIT = ItalyPT = Portugal- a one-digit number identifying quota year, corresponding to the last figure in year, e.g. 7 for 1987,- a two-digit number running consecutively from 01 to 99 identifying the issuing office,- a five-digit number running consecutively from 00001 to 99999 allocated to the country of destination.Article 15The export licence and certificate of origin may be issued after the shipment of the products to which they relate. In such cases they shall bear either the endorsement 'délivré a posteriori' or the endorsement 'Issued retrospectively'.Article 161. In the event of theft, loss or destruction of an export licence or a certificate of origin, the exporter may apply to the competent governmental authority which issued the document for a duplicate to be made out on the basis of the export documents in his possession. The duplicate of any such certificate or licence so issued shall bear the endorsement 'duplicata'.2. The duplicate must bear the date of the original export licence or certificate of origin.TITLE VADMINISTRATIVE COOPERATIONArticle 17The Community and Indonesia shall cooperate closely to implement the provisions of this Agreement. To this end, contacts and exchanges of views (including on technical matters) shall be facilitated by both Parties.Article 18In order to ensure the proper application of this Agreement, the Community and Indonesia shall assist each other in checking the authenticity and accuracy of export licences and certificates of origin issued or declarations made under this Protocol.Article 19Indonesia shall send the Commission of the European Communities the names and addresses of the governmental authorities competent for the issue and verification of export licences and certificates of origin together with specimens of the stamps used by these authorities. Indonesia shall also notify the Commission of any change in this information.Article 201. Subsequent verification of certificates of origin or export licences shall be carried out at random, or whenever the competent Community authorities have reasonable doubt as to the authenticity of the certificate or licence or as to accuracy of the information regarding the products in question.2. In such cases the competent authorities in the Community shall return the certificate of origin or export licence or a copy thereof to the competent governmental authority in Indonesia giving, where appropriate, the reasons of form or substance for an enquiry. If the invoice has been submitted, such invoice or a copy thereof shall be attached to the certificate or licence or its copy. The authorities shall also forward any information that has been obtained suggesting that the particulars given on the said certificate or licence are inaccurate.3. The provisions of paragraph 1 shall be applicable to subsequent verifications of the declarations of origin referred to in Article 2 of this Protocol.4. The results of the subsequent verifications carried out in accordance with paragraphs 1 and 2 shall be communicated to the competent authorities of the Community within three months at the latest together with any other pertinent information, particularly regarding the true origin of the goods.Should such verifications reveal systematic irregularities in the use of declarations of origin, the Community may subject imports of the products in question to the provisions of 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 concerned shall inform the Indonesian authorities within four weeks of the quantities involved and authorize imports of identical quantities 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.Article 71. 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. Carryover 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 and 3 and from category 1 to categories 2 and 3 may be made up to 7 % of the quantitative limit for the category to which the transfer is made,- transfers between categories 4, 5, 6, 7 and 8 may be made up to 7 % of the quantitative limit for the category to which the transfer is made.Transfers into any category in Groups II and III may be made from any category or categories in Groups I, II and III up to 7 % of the quantitative limit for the category to which the transfer is made.4. The table of equivalence applicable to the transfers referred to above is given in Annex I to this Agreement.5. The increase in any category of products resulting from the cumulative application of the provisions in paragraphs 1, 2 and 3 above during an Agreement year shall not exceed 17 %.6. Prior notification shall be given by the authorities of Indonesia in the event of recourse to the provisions of paragraphs 1, 2 and 3 above.Article 81. Exports of textile products not listed in Annex II to this Agreement may be made subject to quantitative limits by Indonesia on the conditions laid down in the following paragraphs.2. Where the Community finds, under the system of administrative control set up, that the level of imports of products in a given category not listed in Annex II originating in Indonesia exceeds, in relation to the preceding year's total imports into the Community from all sources of products in that category, the following rates:- 1 % for categories of products in Group I,- 5 % for categories of products in Group II,- 10 % for categories of products in Group III,it may request the opening of consultations in accordance with the procedure described in Article 16 of this Agreement, with a view to reaching agreement on an appropriate restraint level for the products in such category.The Community shall authorize the importation of products of the said category shipped from Indonesia before the date on which the request for consultations was submitted.3. Pending a mutually satisfactory solution, Indonesia undertakes to limit exports of the products in the category concerned to the Community or to the regions of the Community market specified by the Community for a provisional period of three months from the date on which the request for consultations is made. Such provisional limit shall be established at 25 % of the level of imports reached during the calendar year preceding that in which imports exceeded the level resulting from the application of the formula set out in paragraph 2, and gave rise to the request for consultation or 25 % of the level resulting from the application of the formula set out in paragraph 2, whichever is the higher.4. Should the Parties be unable in the course of consultations to reach a satisfactory solution within the period specified in Article 16 of the Agreement, the Community shall have the right to introduce a definitive quantitative limit at an annual level not lower than the level resulting from the application of the formula set out in paragraph 2, or 106 % of the level of imports reached during the calendar year preceding that in which imports exceeded the level resulting from the application of the formula set out in paragraph 2 and gave rise to the request for consultations, whichever is the higher.The annual level so fixed shall be revised upwards after consultations in accordance with the procedure referred to in Article 16, with a view to fulfilling the conditions set out in paragraph 2, should the trend of total imports into the Community of the product in question make this necessary.5. The limits introduced under paragraph 2 or paragraph 4 may in no case be lower than the level of imports of products in that category originating in Indonesia in 1986.6. Quantitative limits may also be established by the Community on a regional basis in accordance with the provisions of Protocol C.7. The annual growth rate for the quantitative limits introduced under this Article shall be determined in accordance with the provisions of Protocol D.8. The provisions of this Article shall not apply where the percentages specified in paragraph 2 have been reached as a result of fall in total imports into the