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New Delhi, 18 December 1963

The Government of India and the Government of the Polish People's Republic,

ANIMATED by the desire to develop relations between the two countries on a balanced basis and to increase the volume of trade between them to as high a level as is possible,

HAVE agreed upon the following :

Article I

1. Both Governments will in every possible way develop and strengthen the trade relations between the two countries on the principles of equality and mutual benefit.

They will study and with the utmost good-will take decisions on the suggestions which either of them would like to present for the consideration of the other with the purpose of achieving closer economic relations.

2. (a) For the goods imported and exported from one country to the other, both Governments pledge themselves to grant maximum facilities allowed by their respective laws, rules and regulations. During the period of validity of this Agreement the total value of the imports will be equal to the total value of the exports effected by either country. For this purpose and for periodic reviews, imports, whether on deferred payment terms or on cash basis, relating to the contracts concluded and to be concluded on the basis of this and earlier Indo-Polish Trade Agreements will be taken into account as and when payments are made. Likewise, repayments of credits under the Agreements on Economic Co-operation and payment of interest thereon will also be similarly taken into account.

(b) He said goods will enjoy full most favoured nation treatment in respect of customs duties and charges of any kind imposed on imports or exports or in respect of the methods of levying such duties and charges and with respect to rules, formalities and charger, in connection with customs clearing operations.

(c) Further, the two countries will grant each other in respect. of the issuance of import and export licences treatment no less favourable than that granted to any other country.

(d) Any advantage, favour, privilege, or immunity granted by either Government to any product originating in the territory of a third country or destined for its territory, shall be granted immediately and unconditionally to the Eke product originating in either country or destined to be imported into its territory.

(e) The above provisions may be subject to further review in the event of either Government being desirous of doing so as provided for in Article X.

3. The provisions of the above clauses shall not, however, apply to the grant or continuance of any :

(a) Advantages accorded by either Government to contiguous countries for the purpose of facilitating frontier traffic;

(b) Preferences or advantages accorded by India to any third country and existing on the 3rd April 1956 or in replacement of such preferences or advantages that existed prior to the 15th August 1947;

(c) Advantages resulting from any agreement for establishment of any customs union or tariff free area to which the Government of India or the Government of the Polish People's Republic may become a party.

Article II

The export of goods from the Polish People's Republic to India to the Polish People's Republic during the period of validity of the present Agreement will be carried out in accordance with the Schedules 'A' and 'B' to be agreed upon between the two Governments for every calendar year.

The goods agreed upon for export from the Polish People's Republic to India and from India to the Polish People's Republic during agreement are set out in the the first year of the present A

Schedules W and 'B' respectively.

The Schedules 'A' and 'B' can be extended, altered or renewed by letters exchanged between the two Governments.

Article III

The import and export of the goods stipulated in Article 11 will be carried out in accordance with the export, import and foreign exchange regulations in force in either country and on the basis of contracts to be concluded between the Polish Foreign Trade Enterprises on the one side, and the Indian physical and juridical parties, including Indian State-owned Organisations, on the other.

Article IV

Both Governments will render all possible assistance for the export and import of the goods mentioned as indicated in Article II.

Article V

All payments of a commercial and non-commercial nature between the Republic of India and the Polish People's Republic will be effected in non-convertible Indian rupees.

For this purpose, the Bank Handlowy w Warszawie SA will maintain a Central Account with the Reserve Bank of India and one or more accounts with one or more commercial banks in India, authorised to deal in foreign exchange.

1. (a) The Central Account, maintained by the Bank Handlowy w Warszawie SA with the Reserve Bank of India, will be

used for depositing the rupee holdings of the Bank Handlowy w Warszawie SA and for replenishing the accounts of the Bank Handlowy w Warszawie SA with the authorised Indian commercial banks and for operating the technical credit.

(b) The accounts maintained by the Bank Handlowy w Warszawie SA with the Indian commercial banks will be used for carrying out all other operations connected the payments of a commercial and non-commercial nature, as mentioned above.

2. (a) The Central Account will be replenished by transfer of funds in Indian rupees- from the accounts maintained by the Bank Handlowy mw Warszawie SA with the Indian commercial banks and by receipts under the technical credit.

(b) The accounts with the commercial banks will be replenished by transfers of funds from other similar accounts and from the Central Account and from the credit repayment accounts.

The payments permitted in accordance with the Indian Foreign Exchange Control Laws and Regulations will be effected on the basis of this Agreement to the physical and juridical persons residing in the Polish People's Republic by the physical and juridical persons residing in India, by crediting the amount of such payments to the accounts of the Bank Handlowy w Warszawie SA with the Indian Commercial Banks.

Likewise, the payments which are to be effected by the physical and juridical persons residing in the Polish People's Republic to the physical and juridical persons residing in India in accordance with the Polish Foreign Exchange Control Laws and Regulations will be effected by debiting the accounts maintained by the Bank Handlowy w Warszawie SA with the Indian Commercial Banks, under the instructions of the Bank Handlowy w Warszawie SA.

Article VI

The reciprocal commitments expressed in another currency than the Indian 'rupee but paid in Indian rupees will be converted in Indian rupees at the WWI parity of that currency, in respect to the Indian rupee, in force on the day of the payment.

Article VII

Any balances in the Rupee Accounts of the Bank Handlowy w Warszawie SA or any debt of the Bank Handlowy w Warszawie. SA in connection with the grant of technical credit will, upon expiry of this Agreement, be used during the ensuing 12 months for the purchase of Indian or Polish goods, as the ease may be.

Payments arising from contracts concluded before the expiry of this Agreement but falling due after the expiry of this Agreement shall, notwithstanding the expiry of this Agreement, be effected in accordance with Article V of this Agreement and be utilised for the purchase of Indian or Polish goods, as the case may be, during the ensuing 12 months after each such payment.

In both cases, after the expiry of the said twelve-month period, any balances outstanding will be settled in such a way as may be agreed upon between the two Governments.

Article VIII

(a) Both Governments agree that, in exercise of their right or shippers' preference they shall, to the maximum extent possible, utilise the vessels owned or chartered by shipping organisations of the two countries engaged in the Indo-Polish shipping service or other ships flying the flag of either India or Poland for the purpose of shipping cargoes imported or exported under this Agreement, on the basis of world competitive freight rates and conditions,

(b.) Merchant ships of either country with or without cargoes therein, will while. entering, staying in or leaving the ports of the other country enjoy the most favoured facilities granted by their respective laws, rules and regulations to ships under third country's flag. This principle shall not, however, apply to ships engaged in coastal trade.

Article IX

The two Governments agree to establish and promote close cooperation in the field of science and technology between the two countries in conformity with the rules and regulations in force in their respective countries. In particular, the two Governments resolve to encourage fruitful co-operation between Indian and Polish industrial organisations by way of sharing of technical skill, mutual exchange" of technical documentations, sponsoring of technical missions, providing technicians and training facilities and supply of equipment and machinery.

Article X

In order to facilitate the implementation of the Agreement, the two Governments agree to consult each other in respect of matters connected with the trade and payments between the two countries.

For this purpose, the representatives of the two Governments will meet at the request of either Government at a place and time, to be mutually agreed upon, the meeting being held on a date within 45 days of the request.

Article XI

The present Agreement will come into force on 1st January, 1964 and will remain valid for a period of five years.

DONE in New Delhi, on the 18th December 1963, in two originals in the English language, both texts being equally authentic,


On behalf of the Government of India.

On behalf of the Government of the Polish People's Republic.



I. Machineries

1. Excavators, cranes and other construction and building machinery

2. Road building machinery

3. Mining and drilling machinery and equipment

4. Machinery and equipment for foundries

5. Textile machinery

6, Welding machinery and equipment

7. Metal and wad machine tools

8. Pneumatic hammers and presses

9. Tools

10. Machinery and equipment for cement industry

11. Machinery and equipment for food industry

12. Machinery and equipment for plastics and chemical industry

13. Machinery and equipment for production of building materials

14. Ore dressing machinery

15, Marine diesel engines

18. Overhead travelling and mobile cranes

17. Tractors, agricultural machines and implements with spare parts

18. Dry cargo ships and tankers

19. Fishing boats, dredgers, tug boats and river-crafts

20. Ship's engines and ship's equipment

21. Power plants and power station equipment, components and accessories thereof

(e.g. generators, alternators, transformers, etc.) 22. Electrical instruments, equipment, apparatus and appliances

23. Equipment for service stations and garage tools

24. Machinery for flour mills

25. Air-crafts and other aviation equipment

26. Generator welding sets

27. Equipment for rolling mills

28, Electric battery trucks

29. Parts and components for motor-cycles and scooters

30. Industrial sewing machines

31. Industrial watermeter and flow meters

32. Glass making machinery

33. Hard coke

34. Electric motors - flame proof, explosion proof and other special type

35. Special types of pumps, such as chemical pumps, oil pumps and geared type pumps

36. Various machines and equipment for industry

11. Complete Plants and Equipment for Industry

1~ Steel structural plants

2. Electric motor factories

3. Drop forged tools factories

4, Machine tool factories

5. Coal mining equipment

6. Factories for steel cranes and equipment for building industry

7. - Refractory bricks plant

8. Non-ferrous ore mining machinery, and refineries

9. Rolling stocks repairing workshops

11 Cellular-concrete factories

11, Steel and cast iron metal foundries

12. Equipment for steel industry

13. Complete equipment for chemical factories

14. Power stations, boiler and boiler equipment

15. Complete plants for tractors

16, Complete plants and equipment for zinc industry

17. Appliances and equipment for small scale industries

18. Various complete plants and

111, Instruments and Apparatus

1 . Laboratory and optical instruments and apparatus

2. Controlling and measuring instruments

3. Medical, dental and veterinary apparatus and instruments

4. Electrical and electronic measuring instruments and components

5. Electric furnaces

6. Switch board measuring instruments

7. Various instruments and apparatus

8. Automatic controls for refrigeration and chemical plants

9. Electronic digital computers

10. Industrial gas meters

11. Industrial valves - high pressure acid proof valves for chemical industry

IV. Iron, Coloured Metals Rato and Manufactured

1 , Rolled steel products

2~ Tool, alloy and special steel

3. Zinc electrolytic and speller

4. Ball, roller and taper bearings, railway bearings

Z. High pressure gas cylinders

V. Products of Chemical Industry

L Chemical fertilizers

2. Heavy soda ash

3. Caustic soda

4. Mining explosives, detonators and detonating fuses

5 Dye

6. Pharmaceuticals, including antibiotics

7. Vaccines and sera

8. Drugs and medicines in bulk

9. Plinto-materials and phao-chemicals,

10. Various organic and inorganic chemicals

11. Carbon black

12. Electrode paste

13. Tyres

14. Organic raw plastic materials

15. Celluloid, bakelite and galaith sheets

16. Synthetic rubber

17. Accelerators for rubber industry

18. laboratory chemicals

19. Aniline oil

20. Technical urea

21. Sodium nitrite

22. Caustic potash

23. Phathalic anhydride

24, Phenol

25, Caprolactam and polycaprolactam

26. Ammonium nitrate

2T Sulphur

28. Oxalic acid

29. Dinitrochlorobenzene

30. Dimethylaniline

31. Methanol

32. Aluminium fluoride

33. Lubricants

34. Insecticides and pesticides

35. Plasticizers

36. Aluminium hydrate

VI. Miscellaneous Goods

I . Newsprint

2~ Writing, printing, kraft and parchment and other industrial papers

3. Optical glass blanks

4. Refractory cement

5. Radio miniature components

6. Books and music notes

7. Cinematographic films exposed

8. Postage stamps

9. Seeds

10. Horses

11, Artificial silk yarn

12. H T. Lightning arrestors

13. Electrodes



L Food

1. Fruits, fruit juices and squashes

2. Shark liver oil

3. Cashew kernels

4. Pepper

5. Other spices

6. Oil cakes (de-oiled)

7. Tinned fish and prawns

I Ground nuts H.P.S.

9. Animal casings

10. Fish meal

11. Sesame seeds (edible)

M Beverages and tobacco

1. Tea

2. Coffee

3. Tobacco

111. Crude Materials

I . Shellac (all kinds)

2. Hides and skins, raw, semi-processed and tanned

3. Essential oils

4. Coir, yarn and manufactures

5. Palmyra fibre

6. Coir and sisal ropes for ships

7. Tanning agents like myrobolan extract

8. Gum tragacanth

9. Cotton waste

IV. Mineral and Allied Materials

1 . Mica and n-Acanite

2. Iron ore

3. Manganese ore

4. Dead burnt magnesite

5 Ferrro manganese

6. Kyanite, sillimanite,

Toss Oils

Castor oil, cotton seed oil, linseed oil etc.

VI, Engineering Products Including Rolled Steel Items

1 . Rolled steel products including steel pipes, tubes and fittings thereof

2. Steel castings and forgings

3. Ferrous metal manufactures including fabricated steel structurals, deformed keel, re-inforced bars, builders, fastners, needles all sorts etc.

4. Air compressors

5. Printing and book binding machinery

6. Refrigeration machinery

7. Wire, nail and panel pin making machinery

8. Microscopes

9. Weighing machines and weigh bridges

10. Industrial sewing machines

11. Centrifugal and other types of pumps

12. Duplicating machines

13. Hand tools and small tools

14. Bolts, nuts, screws and other fastners

16. Hydraulic variable speedgears

16. Mathematical, scientific and survey instruments

17. Resistance welding equipment like spot and butt welders

18. Foundry moulding machines

19. Are electric furnaces

20. Machine tools including radial drills, planing machines, shaping machines, slotting machines, band saw machines

21. Steel files, hack saw and band saw blades

22. Textile machineries and accessories like shuttles, bobbins, card and gill pins etc.

23. Sewing machines needles and knitting machine needles

24. Galvanised screwed and socketted steel pipes and tubes upto 75 nun bore and electrical
resistance welded tubes upto 50 mm bore

25. Surface coated bonded abrasives

26. High speed vertical diesel engines, water cooled and air cooled upto 40 H.P.

27. Electric motors squirrel cage or slip ring upto 75 H.P. tropicalised

28. Industrial shutters

29. Industrial process and flow control instruments

30. Exhaust fans and blowers

31. Jigs and fixtures

32. Automobile and engine components like piston assemblies, jigs, connecting rods, crankshafts, filters and filter elements

33. Grey iron, malleable iron and steel and other castings and forgings;

34. Electric wires and cables

35. Electric switchgear and control gear

36. Train lighting equipment

37. Fabricated steel structures like towers etc.

38. Razor blades

39. Industrial machinery and engineering products

40. Transport equipment, components and accessories thereof

VII. Other Manufactured Goods

1 . Cotton textiles

2. Jute goods including jute canvas and jute tarpaulins

3. Knitted wears

4. Rubber tyres and tubes

6. Cigars and cigarettes

6. Ready made garments and hosiery products

7, Linoleum and other synthetic leather materials

8. Leather footwear and leather manufactures

9. Sports goods

10. Paints and varnishes

11. Plywood and walnut veeners

11 Spectacle frames

13, Plastic manufactures

14. Thermos flasks

15. Coated abrasives and grinding wheels

16. Bristles

17. Collapsible tubes


Indian handicrafts and cottage industry products e.g. hand-loom (cotton and Silk)-artistic
silver ware, copper and brass ware, bidri products, wood carvings etc.
IX. Chemicals, Pharmaceuticals and Allied Products

A. Organic and Inorganic Chemicals

1 . Ethyl acetate

2. Styrene

3. Chromic acid

4 Sodium bichronate

5 Sodium perborate

6. Barium carbonate

7. Mercuric chloride

8. Ammonium chloride

9. Maguesium. sulphate

10. Calcium chloride

B. Pharmaceuticals/ Semi Products thereof

1. Quinine

2. Emetine hydrochloride

3. Cartisone and allied compounds

4. Strychnine nitrate

5. Camaquin amodiaquin

6. Sex hormones

7. Vitamins A and K.
1. Polythylene

2. Medicinal herbs

X. Miscellaneous

1. Asbestos yarns, asbestos jointings and other asbestos cement products

2. Stationery articles

3. Surgical instruments and hospital appliances

4.Books and periodicals

Films cinematographic and exposed

6. Tapioca manioc

India Bilateral

Ministry of External Affairs, India

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