European Union And Turkey
Posted in EU Info on 10/06/2010 11:23 pm by admin
For the information of importers: The new agricultural agreement with the European Union
The trade agreement with the European Union is the oldest of Israel’s trade agreements, and began back in the seventies. Over the years, the agreement has undergone various amendments and upgrades. Recently we have been informed that following prolonged negotiations that took place between the state of Israel (the Ministry of Industry, Trade, and Labor and the Agricultural Ministry) and the European Union, a new agreement has been signed in the field of agriculture and processed food expected to go into effect in 1.1.2010.
As we know, a sizable portion of Israeli export is sent to the European Union. In the field of food and agriculture, there are various tariffs and quotas that have hurt the competitiveness of Israeli export, and sometimes even prevented, de facto, its entry into the EU. The new agreement opens many opportunities to the community of Israeli food exporters, and even allows small and medium-sized producers to enter the new export markets in Europe.
The new agreement was intended, primarily, to lead to mutual tariff relief for processed agricultural products, and stipulates that the European Community and the state of Israel will conduct a gradual greater liberalization in the trade between them in agricultural products.
The new agreement is built from two protocols: one sets the rules applying to the export of agricultural products originating in Israel, and the other sets the rules applying to the import of said products originating in the EU. In this article, we will focus on the protocol applying to import of products to Europe.
As a rule, the new agreement presents three different lists relating to the cancellation of tariffs and their decreasing.
One list presents a general and impressive arrangement, under which any product that does not appear on the list is exempt from tariffs upon import to the EU. Thus, for example, food products that thus far have suffered from limited access to the European market because of quotas or high surcharges, such as chocolate, baking products, wafers, pasta, coffee, bases for preparation of fruit juices, marsh-mellow, fresh salads, etc, will enjoy an exemption from payment of tariffs.
Regarding the products that did appear on that list, while these do not enjoy an exemption from tariffs, nevertheless they do enjoy other benefits. Some of the products will enjoy significant quotas exempt from tariffs. These products include: turkeys, certain fruits and vegetables, citrus juice, wine from fresh grapes, types of starches and others. For other products, a ceiling is set, such that the tariff levied on those products will not exceed that ceiling, including certain kinds of sweet corn, cocoa powder, kinds of food preparations, and others.
The text of the agreement can be downloaded from the website of the Ministry of Trade, Commerce, and Labor, here:
http://www.moit.gov.il/NR/rdonlyres/183C42A9-B517-4A35-9400-10C674FB597C/0/agri_agree_2009.pdf
About the Author
Gill Nadel – Born in Israel in 1969, graduated from Bar Ilan University`s Faculty of Law (cum laude) and from the Department of Musicology. He also has a master`s degree in law from the same institution. Member of the Israel Bar since 1999. Speaks Hebrew, English and Polish. Fields of expertise: Commercial and Business Law, International Trade Law, Import and Export Law, Intellectual Property Law, Maritime and International Forwarding Law, Litigation and Court Representation. Adv. Nadel serves as a teaching assistant of Dr Arie Reich of Bar Ilan University, an international trade law specialist. Adv. Nadel provides lectures on international trade law and import and export law to in courses organized by the Bar Ilan University Center for Commercial Law, Israel Bar, Israel Chambers of Commerce, Manufacturers Association of Israel, Israel Export Institute, Customs Brokers Association, International Forwarders, and more.
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