Decision No.1/1999 Of The Joint Committee Of The Free Trade Agreement Between The Republic Of Latvia And The Czech Republic

THE JOINT COMMITTEE,

Having regard to the Free Trade Agreement between the Republic of Latvia and the Czech Republic, signed in Riga on 15 April 1996 and Protocol 3 concerning the definition of the concept of "originating products" and methods of administrative co-operation to this Agreement;

Having in mind provisions of Articles 35, 36 and 38 of the Free Trade Agreement between the Republic of Latvia and the Czech Republic;

Whereas the definition of the term "originating products" needs to be amended to ensure the proper operation of the extended system of cumulation which permits the use of materials originating in the European Community, Poland, Hungary, the Czech Republic, the Slovak Republic, Bulgaria, Romania, Latvia, Lithuania, Estonia, Slovenia, Turkey, the European Economic Area (hereinafter referred to as the EEA), Iceland, Norway and Switzerland;

Whereas it would seem advisable to revise the Articles concerning the amounts in order to fully take into consideration the entry into force of the euro;

Whereas, to take account of changes in processing techniques and shortages of certain raw materials, some corrections must be made to the list of working and processing requirements which non-originating materials have to fulfil to qualify for originating status,

HAS DECIDED AS FOLLOWS:

Article 1

Protocol 3 concerning the definition of the concept of "originating products" and methods of administrative cooperation is hereby amended as follows:

1. In Articles 21 and 26 the word "Ecu" shall be replaced by "euro".

2. Article 30 shall be replaced by the following:

" Article 30

Amounts expressed in euro

1. Amounts in the national currency of the exporting Party equivalent to the amounts expressed in euro shall be fixed by the exporting Party and communicated to the importing Party.

2. When the amounts exceed the corresponding amounts fixed by the importing Party, the latter shall accept them if the products are invoiced in the currency of the exporting country. When the products are invoiced in the currency of another Party referred to in Article 4, the importing Party shall recognise the amount notified by the country concerned.

3. The amounts to be used in any given national currency shall be the equivalent in that national currency of the amounts expressed in euro as at the first working day of October 1999.

4. The amounts expressed in euro and their equivalents in the national currencies of a Party shall be reviewed by the Joint Committee at the request of a Party. When carrying out this review, the Joint Committee shall ensure that there will be no decrease in the amounts to be used in national currency and shall furthermore consider the desirability of preserving the effects of the limits concerned in real terms. For this purpose, it may decide to modify the amounts expressed in euro."

5. Annex II shall be amended as follows:

Article 2

1. This Decision shall enter into force on 1 January 2000 provided that before this date Parties shall exchange the diplomatic notes confirming its approval by the Government of a respective Party.

2. If this Decision cannot enter into force in accordance with the paragraph 1 of this Article, it shall enter into force on the first day of the month following a receipt of the latter diplomatic note confirming its approval by the Government of a respective Party.

Done at Riga, this 13th day of December, 1999 in two originals, each in the English language, both texts being equally authentic.

The Representative The Representative

of the Republic of Latvia of the Czech Republic