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TRADE AGREEMENT BETWEEN THE GOVERNMENT OF INDIA AND THE GOVERNMENT OF THE REPUBLIC OF PHILIPPINES [1968] INTSer 8

TRADE AGREEMENT BETWEEN THE GOVERNMENT OF INDIA AND
THE GOVERNMENT OF THE REPUBLIC OF PHILIPPINES

New Delhi, 26 March 1968

The Government of India and the Government of the Republic of the Philippines (hereinafter referred to as the Contracting Parties),

ANIMATED by the desire to develop and expand trade and economic relations between the two countries for their mutual benefit,

HAVE agreed as follows :

Article I

Both the Contracting Parties shall, within the framework of their respective laws and regulations in force from time to time, afford necessary facilities for the import/export of commodities mentioned in the Schedules “A” and “B” annexed hereto, which form an integral part of the Agreement.

No prohibition or restrictions, whether made effective through quotas, import of export licences or other measures shall be instituted or maintained by the Government of either country on the importation of any product of the other country or on the exportation or sale for export of any product destined for the other country unless such prohibitions or restriction are applied to all third countries.

In the allocation of foreign exchange for transactions involving the importation or exportation of goods and in the administration of foreign exchange restrictions in relation to such transactions the Government of each country shall accord to the other country treatment not less favourable than it accords to any third country.

Article II

The Contracting Parties shall provide reasonable facilities for the import into and export from either country or commodities not specifically mentioned in Schedules “A” and “B”.

Article III

Both the Contracting Parties shall, subject to their laws and regulations, encourage and facilitate the mutual exchange of goods and services for the development and expansion of commerce and diversification of trade between the two countries and for this purpose shall give full consideration to the suggestions that may be made from time to time by either party to that end.

Article IV

Both the Contracting Parties shall accord unconditionally to each other treatment no less favourable than that accorded to any third country with respect to :

(a) customs duties and charges of any kind imposed on or in connection with importation or exportation or imposed on the international transfer of payments for import or exports;

(b) the method of levying such duties and charges;

(c) all rules and formalities in connection with importation and exportation;

(d) the application of internal taxes to exported goods;

(e) all internal taxes and other internal charges of any kind imposed on or in connection with imported goods;

(e) all internal taxes and other internal charges of any kind imposed on or in connection with imported goods;

(f) all laws, regulations and requirements affecting internal sale, offering for sale, purchase, distribution or use of imported goods.

This provision shall not apply ot the grant of the continuance of :

(a) privileges which are or may be granted by either of the Contracting Parties to facilitate frontier trade;

(b) preferences, advantages, privileges or immunities accorded by either Contracting Party to any third country existing on the date of the present Agreement or in replacement thereof;

(c) any advantages or preferences accorded under any Customs Union or a free trade area of which either of the Contracting Parties is or may become a party; and

(d) any advantages or preferences accorded under any scheme for expansion of trade and economic cooperation among developing countries, which are open for participation by all developing countries to which either of the Contracting Parties is or may become a Party.

Article V

The Contracting Parties agree to explore ways and means and to take necessary steps for the most convenient and economical transportation of commodities between the two countries.

Article VI

Mercantile ships of both countries, while entering, staying in or leaving the ports of either country, will enjoy the most favoured facilities granted by their respective laws, rules and regulations to ships under a third country’s flag. The principle shall not, however, apply to ships engaged in coastal navigation.

Article VII

In order to facilitate the implementation of this Agreement and to expand their mutual trade and economic relations, the Contracting Parties agree to consult with each other at least once a year at a time and a place to be mutually agreed upon. To this end, the two Governments agree to designate senior officials ot be charged with the responsibility of reviewing the implementation of this Agreement, and identifying the areas of cooperation between the two countries in industrial, commercial and technical fields.

Article IX

The present Agreement, which shall be subject to ratification, shall come into force provisionally from the date of signature and finally from the date on which the instruments of ratification are exchanged between the Government of India and the Government of the Republic of the Philippines and shall remain valid for a period of one year in the first instance and shall thereafter continue to be in force from year to year unless either Party gives to the other at least 90 days written notice of its intention to terminate the Agreement.

DONE at New Delhi on the 26th day of March 1968, in two originals in English language, both texts being equally authentic.

For the Government of India: For the Government of the
Republic of the Philippines

Sd/- Sd/-
DINESH SINGH MARCELO S BALATRAT
Minister of Commerce Secretary for Commerce and Industry

------------

SCHEDULE “A”

COMMODITIES AVAILABLE FOR EXPORT FROM THE PHILIPPINES TO INDIA

1. Abaca (Manila Hemp)
2. Copra
3. Wood Pulp
4. Commercial Veneers
5. Fertilizers, insecticides and other agricultural chemicals
6. Copper concentrates
7. Fire refined and electrolytic copper
8. Zinc ores and zinc concentrates
9l Non-ferrous metal scraps
10. Raw films
11. Filter aids
12. Rock phosphate
13. Newsprint
14. Industrial Alcohol
15. Metallic mercury
16. Raw hides and skins
17. Rayon grade pulp.

SCHEDULE “B”
COMMODITIES AVAILABLE FOR EXPORT FROM INDIA TO THE PHILIPPINES

1. Rolled steel, namely, light and heavy structurals and rails, bars and rods, and steel pipes and tubes;
2. Railway track fittings, fasteners and accessories, electrical and mechanical signalling equipment, train lighting equipment and rolling stocks
3. Industrial plant and machinery including sugar mill machinery and textile mill spare parts and accessories, oil mill machinery and solvent extraction plants.
4. Electrical fans, motors, transformers and switch gear and control gear and other electrical equipment and spare parts; components and accessories of sewing machines.
5. Diesel engines, pumps (Centrifugal and turbine) and air compressors.
6. Machine tools and foundry moulding machines.
7. Anodised aluminium and other decorative and specialized builder’s hardware.
8. Engineering manufactures not otherwise specified.
9. Wired glass
10. Organic chemicals including Turkey-Red oil, and chloroform and Inorganic chemicals
including sodium bichromate and hydrogen peroxide.
11. Anti-corrosive paints and pigments and colours for the paint industry.
12. Jute manufactures
13. Tanned hides and skins
14. Cigarette papers
15. Unprocessed raw materials
16. Semi processed raw materials
17. Dyes and dyestuffs.

--------------

EXCHANGE OF LETTERS

DINESH SINGH
Minister of Commerce

New Delhi
Dated, 26th March 1968

Excellency,

During the discussions leading to the signing of a Trade Agreement between our two countries today, it was agreed that the provisions of the second and third sub-paragraphs of Article I shall not be construed so as to prevent the two Governments from following policies and practices which are not inconsistent with the relevant International Conventions or Agreements of which the Government considered is a member. The two Governments will consult with each other to resolve any difficulty that may arise in this connection.

There would also be no objection to the allocation of imports specifically to sources of aid, credit or reparations when and as required by its terms, or to countries having limited payment arrangements with either Governments.

I shall be grateful if your Excellency will confirm that the above represents the understanding of the two Governments.

Accept Excellency, the assurance of my highest consideration.

Sd/-
DINESH SINGH

His Excellecy
MR MARCELO S BALATBAT
Secretary for Commerce and Industry
Government of the Republic of the Philippines
New Delhi

MARCELO S BALABAT
Secretary for Commerce and Industry

New Delhi
Dated, 26th March 1968

Excellency,

I have the honour to acknowledge the receipt of your letter of March 26, 1968, which reads as follows :

(Not reproduced).

I confirm that your letter sets out correctly the understanding reached between our two Governments.

Accept Excellency, the assurance of my highest consideration.

Sd/-
MARCELO S BALATBAT

His Excellency Mr DINESH SINGH
Minister of Commerce
Government of India
New Delhi


India Bilateral

Ministry of External Affairs, India


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