Letter from the Council of the European UnionSir,
1. I have the honour to refer to the negotiations held on 8 and 9 November 1995 between our respective delegations with a view to renew the Agreement between the European Economic Community and Ukraine on trade in textile products initialled on 5 May 1993, as last amended by the Agreement in the form of an Exchange of Letters initialled on 22 December 1994.
2. As a result of these negotiations, both Parties agreed to amend the following provisions of the Agreement:
2.1. In Article 2, paragraph 1, the following subparagraph is added:
"Exports of products listed in Annex III not subject to quantitative limits shall be subject to a double-checking system as specified in Protocol A."
2.2. The second and third sentence of Article 20, paragraph 1, are replaced by the following text:
"It shall be applicable until 31 December 1998. Thereafter, the application of all the provisions of this Agreement shall be extended automatically for a period of one more year up to 31 December 1999, unless either Party notifies the other at least six months before 31 December 1998, that it does not agree with this extension."
2.3. Annex II which sets out the quantitative restrictions for exports from Ukraine to the European Community is replaced for the period 1 January 1996 to 31 December 1999 by Appendix 1 to this letter.
2.4. The Annex to Protocol C which sets out the quantitative restrictions for exports from Ukraine to the European Community after OPT operations in Ukraine is replaced for the period 1 January 1996 to 31 December 1999 by Appendix 2 to this letter.
2.5. The title of Title III of Protocol A is replaced by "Double-checking system".
2.6. In Article 6, paragraph 1, of Protocol A, the following subparagraph is added:
"The competent authorities of Ukraine shall issue an export licence in respect of all consignments of textile products listed in Annex III subject to a double-checking system without quantitative limits as provided for in Article 2, paragraph 1, second subparagraph of the Agreement."
2.7. After Article 7, paragraph 2, of Protocol A, the following paragraph is added:
"3. For products subject to a double checking system without quantitative limits the export licence shall conform to the model annexed to this Protocol. It shall only cover one category of products and may be used for one or more consignment of the products in question. It shall be valid for exports throughout the customs territory to which the Treaty establishing the European Community applies."
2.8. The text of Article 11 of Protocol A is replaced by the following text:
"Importation into the Community of textile products subject to quantitative limits or to a double-checking system without quantitative limits shall be subject to the presentation of an import authorization."
3. Annex III referred to under 2.6 is reproduced in Appendix 3 to this letter.
4. The model of the export licence referred to under 2.7 is reproduced in Appendix 4 to this letter.
5. Should Ukraine become a Member to the World Trade Organisation before the date of expiry of the Agreement, the provisions of Article 2, paragraphs 2 and 3, 3, 6, 7, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, Protocol A, Protocol B, Protocol C, Agreed Minute No 1, Agreed Minute No 2, Agreed Minute No 3, Agreed Minute No 4 and Agreed Minute No 6 shall continue to be applicable as administrative arrangements within the meaning of Article 2, paragraph 17 of the WTO Agreement on Textiles and Clothing.
6. The Agreed Minute set out in Appendix 5 to this letter shall form an integral part of the Agreement.
7. I should be obliged if you could kindly confirm the acceptance of your Government of the foregoing. Should this be the case, this Agreement in the form of an Exchange of Letters shall enter into force on the first day of the month following the day on which the Parties have notified each other that the legal procedures necessary to this end have been completed. In the meantime, it shall be applied provisionally from 1 January 1996 on conditions of reciprocity.
Please accept, Sir, the assurance of my highest consideration.
For the Council of the European Union
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