Indian Treaty Series

AMBASCIATA D'ITALIA.

Dear Mr. IENGAR,

During the course of recent discussions between the representatives of the Governments of Italy and India regarding the development of trade between the two countries, the following understanding was reached :

(1) The Government of Italy and India will give all facilities to promote trade between the two countries and will treat fairly and equitably all questions arising in this connection. The representatives of the two Governments further agreed that in order to facilitate the implementation of this arrangement, they would consult with each other in respect of any matter arising therefrom or in connection therewith as may be felt necessary.

(2) The representatives of the Government of India have confirmed that within the currency groups adopted by India, there will be no territorial discrimination and, accordingly, applications for licences for import and export of goods from and to Italy shall be treated equally favourably with applications for import and export from and to any other country of the currency group, in which Italy may be placed, in accordance with the import, export and foreign exchange laws and regulations in force from time to time, saving any specific commitments in particular trade agreements and ad hoc arrangements.

(3) The representatives of the Government of Italy have confirmed that as regards imports or exports into and from Italy, India shall enjoy the same treatment as is accorded to countries of the Sterling area group in the Italian foreign trade regulations saving any specific commitments in particular quota trade agreements.

(4) The regulations relating to the control of imports and exports as established by the two Governments for each period will be made known through Public Notices. It is understood that these regulations are liable to be modified from time to time.

(5) The representatives of the two Governments agreed to give all possible facilities for publicity in their respective countries to the commodities available for export in the other country. The list of some of the goods available for export from Italy to India and from India to Italy are enclosed as Schedules A and B, respectively.

(6) The lists of commodities mentioned in paragraph (5) above are without prejudice to the right of persons or firms of either country entering into business transactions in respect of goods and commodities not forming part of these lists, subject to and in conformity with the import, export and foreign exchange laws and regulations in force from time to time in either country.

(7) All payments and settlements in relation to imports/exports between the two countries shall be regulated in accordance with the Sterling Payment Agreement between the Government of the United Kingdom and the Government of Italy in force at the time of remittance.

(8) The representatives of the two Governments agreed that subject to the provisions of the Sterling Payment Agreement between the Government of the United Kingdom and the Government of Italy, in force at the time of remittance, transfers of salaries and wages by nationals of either country working for a limited period in the other country would be freely allowed, after deduction of living expenses, taxes, and social assurances, subject to exchange control permission having previously been obtained for such employment and remittances. This is without prejudice to nationals of either country availing themselves in full of the facilities permitted under the foreign exchange regulations in force in either country from time to time if such facilities should be more liberal.

(9) The representatives of the two Governments took note of the desire of both the countries for closer economic and industrial cooperation and agreed that every effort should be made to foster it.

(10) Pending the conclusion of a more permanent and complete agreement, meant to regulate all matters inherent to navigation, all ships belonging to either of the two countries shall be accorded in respect of their movement in the ports of the other country, use of the port plants, bunkering and other services as well as of duties and taxes, treatment no less favourable than that granted to ships of any other foreign country. The above arrangements shall not apply to any concessions made to ships engaged in the coastal trade of either country.

(11) As regards airlines, the Governments of India and Italy will use their best endeavours to promote the airlines of the two countries for the carriage of goods and passengers, and they will give fair and equitable treatment to all questions arising in this connection.

(12) The two Governments undertake to facilitate to the extent possible mutual interchange and import of films produced in either country.

(13) This agreement will come into force with immediate effect and shall be valid up to 31st December, 1955. The Schedules A and B, however, will be subject to revision at the commencement of 1955.

(14) This agreement shall continue to operate for another year after 31st December, 1955, unless either party informs the other in writing of their intention to terminate it within three months before the date of its expiry. In that event, the Schedules A and B will be subject to revision at the commencement of 1956.

Yours sincerely,

(Sd.) ALBERTO BERIO, H.V.R. IENGAR, Esquire, I.C.S., Secretary to the Government of India, Ministry of Commerce and Industry, New Delhi.

SCHEDULE 'A'

LIST OF SOME OF THE GOODS AVAILABLE FOR EXPORT FROM ITALY TO INDIA-

1. Dairy products. 2. Fruits and peels, candied. 3. Starch, farina and dextrins. 4. Seed potatoes and spring potatoes. 5. Garlic, onions and other fresh vegetables. 6. Dried fruit. 7. Tomato conserves. 8. Canned foodstuffs (fruit pulp, pickles, etc.). 9. Macaroni, spaghetti and vermicelli. 10. Preserved foodstuffs. 11. Beverages, non-alcoholic, and mineral waters. 12. Wines, vermouth, marsAla, liquors. 13. Forage seeds. 14. Sewing thread, cotton. 15. Cotton yam. 16. Cotton fabrics. 17. Cotton knitted apparel. 18. Shoddy wool and wool waste. 19. Wool, raw, synthetic, in tops. 20. Hand knitting wool. 21. Woollen yarn, pure and mixed. 22. Shoddy woollen yarn. 23. Woollen hosiery and knitted apparel. 24. Woollen fabrics and manufactures. 25. Blankets, plaids, scarves and shawls. 26. Woollen carpets, floor rugs. 27. Felts for paper mills. 28. Felts for caps and hats. 29. Raw silk. 30. Silk cocoons. 31. Spun silk yarn. 32. Silk and artsilk socks and stockings. 33. Silk fabrics and manufactures. 34. Artificial silk yarn. 35. Artificial silk fabrics. 36. Staple fibre. 37. Velvet and ribbons. 38. Mixed fabrics, made ofany textile fibre. 39. Elastic ribbons and fabrics. 40. Haberdashery. 41. Snap fasteners. 42. Zip fasteners. 43. Hats and caps. 44. Buttons. 45. Corozo nut blanks for buttons. 46. Manufactures of aluminium and alloys thereof. 47. Magnesium alloys and manufactures thereof. 48. Manufactures of lead, tin, zinc and alloys thereof. 49. Collapsible tubes for paints, perfumery, varnishes and the like. 60. Domestic hardware, stoves, enamelled iron bath tubs. 51. Builder's hardware, viz., doorlocks, suitcase locks, hinges, etc. 52. Other hardware, viz., panel pins screws, ox and dog chains, etc. 53. Incandescent pressure lamps. 54. Incandescent mantles. 55. Table glassware. 56. Vacuum flasks. 57. Glass articles for technical uses. 58. Other glass manufactures. 59. Domestic china and porcelainware. 60. Porcelain insulators. 61. Other porcelain, majolica and ceramic products. 62. Earthenware pipes and sanitaryware. 63. Glazed tiles. 64. Table cutlery. 65. Railway rolling stock. 66. Railway and tramway axles, wheels and tyres. 67. Ball and roller bearings and axle boxes. 68. Other iron and steel manufactures. 69. Agricultural machinery and parts thereof. 70. Tractors and spare parts thereof. 71. Building and construction machinery and parts thereof. 72. Dyeing, bleaching and mercerizing machinery and parts thereof. 73. Machinery for mines and quarries, and parts thereof. 74. Tanning machinery and machinery for the leather industry and parts thereof. 75. Machinery for flour-mills, macaroni works, bakeries etc., and parts thereof. 76. Machinery for confectioneries, and parts thereof. 77. Machinery for aerated-water industry, and parts thereof. 78. Machinery for paper industry, and parts thereof. 79. Printing machinery and parts thereof. 80. Printing types. 81. Machinery for book-binding and parts thereof. 82. Machinery for working moulding powders, and parts thereof. 83. Machinery and plant for refrigeration and cold storage and parts thereof. 84. Air conditioning machinery and plant, ariel parts thereof. 85. Machinery and instruments for the manufacture of electric bulbs, and parts thereof. 86. Tools and instruments for arts and crafts. 87. Woodworking machinery. 88. Textile machinery including machinery for hosiery, hat/net-making and parts thereof 89. Textile mills stores (tubes, bobbins, shuttles, etc.) 90. Card clothing. 91. Sewing machines, domestic and industrial, and parts thereof. 92. Typewriters, adding machines and calculating machines, and parts thereof. 93. Cash-register, and parts thereof. 94. Presses, hydraulic, and of other types. 95. Pumps, compressors, motor-compressors, ventilators and parts thereof. 96. Transformers and auto-transformers. 97. Electrical generators and motors. 98. Turbines. 99. Electric stoves, cooking ranges, refrigerators, water heaters and parts thereof. 100. Exhaust fans. 101. Electric table fans. 102. Other electrical appliances. 103. Machine tools including automatic machine tools. 104. Internal coinbustion engines for vehicles of cylinder capacity about 4,000 cu. cm. 105. Motors including piston engines. 106. Industrial furnances. 107. Other machinery. 108. Scientific, engineering, optical instruments and apparatus. 109. Spectacles, including glare glasses and goggles. 110. Alarm clocks, watches including time indicators. 111. Meters all sorts. 112. Apparatus and material for radiotelephony radiotelegraphy and radio reception and broadcasting. 113. Apparatus and equipment for cinematography. 114. Photographic material (photographic papers, films, plates, etc.). 115. Photographic cameras, including carrying cases. 116. Raw films for cinematography. 117. Italian films, exposed. 118. X-ray tubes and valves. 119. Electric bulbs and electrical material including carbon brushes and graphite electrodes. 120. Welding electrodes. 121. Auto-vehicles, and parts thereof. 122. Industrial auto-vehicles and parts thereof. 123. Spare parts and accessories for auto-vehicles. - 124. Motor-cycles, bicycles and parts thereof, and motor-scooters. 126. Auto attachments for bicycles. 126. Pneumatic motor tyres and tubes. 127. Giant rubber tyres and tubes, not manufactured in India. 128. Rubber tubes, pipes, belting threads, and other rubber manufactures. 129. Rubber shoes. 130. Oil-cloth, parchments and artificial leather. 131. Marble and raw alabaster. 132. Marble and alabaster, wrought. 133. Gypsum. 134. Sulphur, raw and refined. 135. Asbestos, raw and sheets, unsuitable for weaving. 136. Articles made of asbestos-cement. 137. Cement other than Portland and Plaster of Paris. 138. Articles made of cement, viz. pipes, tubes, tiles, etc. 139. Refractory materials and articles thereof. 140. Abrasive products, namely, emery carborundum, and the like including sand and emery paper and cloth. 141. Earths, bleaching, viz Fuller's earth, talc and similar. 142. Bleaching powder. 143. Graphite crucibles. 144. Mercury. 145. Acetic acid. 146. Citric acid. 147. Tartaric acid and cream of Tarter. 148. Tanning materials. 149. Tanning extracts. 160. Dyestuffs. 151. Inorganic chemical products. 152. Organic chemical products. 153. Motor spirit, kerosene and other petroleum products. 164. Antibiotics and sulfa preparations. 155. P.A.S. 156. Other medicinal and pharmaceutical preparations. 167. Pesticides and weedicides. 158. Perfumery, synthetic perfumes and essences. 159. Essential oils. 160. Raw cork and cork manufactures. 161. Hardboards, porous or impermeable. 162. Moulding powders, celluloid, bakelite and the like. 163. Cellulose transparent paper. 164. Cigarette paper. 165. Paper, other types and card boards. 166. Manufactures of paper and boards. 167. Books, magazines, newspapers, printed papers and music scores and music books. 168. Stationery articles, including fountain pens and nibs. 169. Accordions and other intisical instruments. 170. Gramophones and parts thereof. 171. Long-playing gramophone records. 172. Tobacco, unmanufactured. 173. Cigarettes and cigars. 174. Smoker's pipes. 176. Sporting and hunting arms and ammunition. 176. Cartridge cases filled and empty. 177. Toys, educational. 178. Fishing rods, reels and hooks. 179. Fire extinguishers and fire-fighting equipment. 180. Vulcanised fibre. 181. Umbrellas, and parts thereof. 182. Brushes, all sorts.

SCHEDULE 'B'

LIST OF SOME OF THE GOODS AVAILABLE FOR EXPORT FROM INDIA TO ITALY

1. Tea. 2. Tobacco. 3. Spices. 4. Cigarettes and cigars. 6. Dry fruits : cashew kernel etc. 6. Coal. 7. Mineral ores: manganese ore, kyanite ore, chrome ore (other than high grade chrome ore) and bauxite. 8. Gums and resins other than gum arabic and resin. 9. Lac and shellac. 10. Raw goat skins, raw sheep skins (Amritsar papras) and lamb fur skins. 11. Bones crushed and bonegrist. 12. Guts. 13. Animal hair and animal horns. 14. Vegetable oils: linseed oil, castor oil, niger seed oil and kardiseed oil. 15. Hydrogenated oils. 16. Essential oils such as sandal-wood B.P. lemongrass oil, absolute oil of kewra; jasmin and otto rose, vertivert oil, oil anethi and thyme oil. 17. Oilseeds: niger seed, kardi seed and mowha seed. 18. Cotton raw and cotton waste. 19. Silk waste. 20. Wool, raw. 21. Myrobalan and myrobalan extract- 22. Drugs and medicines and other pharmaceutical products e.g., nux vomica, chiraao, senna leaves, papain, morphine, etc. 23. Alkaloids (Opium). 24. Indian attars. 25. Rosewater and kewra water etc. 26. Turpentine, vegetable. 27. Ethyl alcohol (rectified spirit). 28. Leather footwear. 29. Carpets. 30. Coir, coir yarn and other coir manufactures. 31. Bristle. 32. Fibres for brushes and brooms. 33. Certain types of wood and timber. 34. Canes and rattans. 35. Shells: tortoise shells and sea shells. 36. Railway rubber components (vacuum brake hoses and rubber springs). 37. Glassware other than thermos flasks. 38. Linoleum 39. Carding engines. 40. Sports goods. 41. Handicrafts including zari goods, filigree, bidri, papier machie, wood carvings, ivoryware and artificial jewellery. 42. Indian films, exposed.

Dear Dr. ALBERTO BERIO,

I write to acknowledge receipt of your letter of today's date which reads as follows : (Not reproduced) I confirm that the position stated therein is correct.

Yours sincerely,
(Sd.) H.V.R. IENGAR.

His Excellency Dr. ALBERTO BERIO,

Ambassador Extraordinary and Plenipotentiary, Embassy of Italy, New Delhi.

AMBASCIATA D'ITALIA N. 01973

Dear Mr. LALL,

I have the honour to refer to our recent discussions regarding the adoption for the calendar year 1955, of the schedules of goods available for export from Italy to India and from India to Italy in terms of paragraph 13 of the letters exchanged between His Excellency Dr. Alberto Berio, Italian Ambassador in India and Mr. H.V.R. Iengar, I.C.S., Secretary to the Government of India, Ministry of Commerce and Industry, on the 29th July 1954, and to say that it was mutually agreed that the existing schedules 'A' and S' attached to the letters mentioned above, may be made applicable, without any change, for the year commencing 1st January 1955.

2. 1 should be grateful if you would please confirm that the foregoing correctly sums up the understanding reached between us.

Yours sincerely,

(Sd.) E. TOTI LOMBARDOZZI, Commercial Counsellor.

Mr. K.B. LALL, I.C.S.,

Dear Dr. LOMBARDOZZI,

I have received your letter of today's date which reads as follows (Not printed)

I confirm that the foregoing correctly sets out the understanding reached between us.

Yours sincerely,
(Sd.) K.B. LALL.

Dr. E. Ton LOMBARDOZZI,

Commercial Counsellor, Italian Embassy, New Delhi-2.

Dear Mr. IENGAR,

During the course of the visit of the Rt. Hon. Dr. Bernardo Mattarella, Minister for Foreign Trade, Italy, the working of the Indo-Italian Trade Agreement. signed on the 29th of July 1954 has been discussed between the representatives of the Governments of Italy and India. As a result of these discussions, the following understanding has been reached.

2. The two Governments are convinced that it will be to the mutual benefit of the two countries to develop the trade between them to as high a level as possible. In particular, the Government of Italy have taken note of the desire of the Indian Government to achieve a substantial increase in India's exports to Italy. While confirming that imports from India enjoy the benefits of liberalisation extended to O.E.E.C. countries, the Government of Italy agree to use their best endeavours to foster contacts between Italian and Indian business firms and organisations with a view to developing export of Indian commodities to Italy.

3. It is agreed that the Schedules 'A' and 'B' attached to the current Agreement would be made applicable without any change for a further period of one year, commencing from ist January, 1956.

4. The two Governments consider that the programmes of development envisaged in India's Second Five Year Plan provide considerable scope for promoting collaboration between the two countries in the field of technology and industry.

5. The Government of Italy are resolved to encourage fruitful co- operation between Italian and Indian industrial firms and organisations by way of sharing of technical skills, provision of technicians and supply of equipment and machinery. In particular, the Italian Government propose to sponser technical missions for technical surveys and consultations, and to consider favourably in accordance with their regulations requests from Italian firms for the supply of capital goods on the basis of long-term credit. Having regard to the experience gained by Italy in the course of developing their southern regions, the Italian Government, would welcome visits by Indian industrialists and technicians to study development programmes and techniques.

6. The Government of India on their part propose to explore and consider possibilities of technical collaboration between Indian and Italian firms and industrial organisations and to give such facilities as may be necessary to give effect to such concrete and constructive programmes as might be agreed upon between the parties concerned in this behalf.

7. It is agreed that the current Indo-Italian Trade Agreement will be deemed to have been amplified accordingly.

Yours sincerely,
Dr. GIUSEPPE DALL' OGLIO.

Shri H.V.R. IENGAR, I.C.S., Secretary,

Ministry of Commerce and Industry, New Delhi.

Dear Dr. DALL' OGLIO,

I write to acknowledge receipt of your letter of today's date, which reads as follows :- (Not printed)

2. I confirm that the foregoing correctly sets out the understanding reached between us. Yours sincerely, H.V.R. IENGAR. Dr. GIUSEPPE DALL' OGLIO,

Direttor Generale Per Gli Accordi, Ministero Commercio Estero, Camp: New Delhi.

AMBASCIATA D' ITALIA

Dear Mr. LALL,

I refer to our recent discussions regarding promotion of trade between Italy and India when it was agreed that the trade relations between our two countries will continue to be regulated by the terms and conditions embodied in the letters exchanged between the representatiyes of the two Governments on the 29th July, 1954, and amplified in those exchanged on the 14th December, 1955, for a further period of one year ending the 31st December, 1957. I should be grateful if you would confirm that this letter correctly sets out the understanding reached between us.

Yours sincerely,
(Sd.) E. TOTI LOMBARDOZZI, Commercial Counsellor.

Mr. K.B. LALL, I.C.S.,

Joint Secretary to the Government of India,

Dear Dr. LOMBARDOZZI,

I write to acknowledge receipt of your letter of today's date which reads as follows : (Not printed) I confirm that this sums up correctly the result of the discussion's between the representatives of India and Italy.

Yours sincerely,
(Sd.) K.B. LALL.

TO Dr. E. TOTI LOMBARDOZZI, Commercial Counseller, Embassy of Italy, New Delhi.

AMBASCIATA D'ITALIA

DEAR MR. LALL,

I refer to our recent discussions regarding promotion of trade between Italy and India when it was agreed that the trade relations between our two countries will continue to be regulated by the terms and conditions embodied in the letters exchanged between the representatives of the two Governments on the 29th July 1954, and amplified in those exchanged on the 14th December 1955, for a further period of one year ending the 31st December 1958.

I should be grateful if you would confirm that this letter correctly sets out the understanding reached between us.

Yours sincerely,
Sd/- E. TOTi LoMBARDOZZI. MR. K.B. LALL, I.C.S.,

Joint Secretary of the Government of India, Ministry of Commerce and Industry, New Delhi.

DEAR DR. LOMBARDOZZI,

I write to acknowledge receipt of your letter of today's date, which reads as follows :- (Not printed) I confirm that this sums up correctly the results of the discussions between the representatives of India and Italy.

Yours sincerely,
Sd/- K.B. LALL.

Dr. E. TOTI LOMBARDOZZI,

Commercial Counsellor, Embassy of Italy, New Delhi.