WORLD TRADE
ORGANIZATIONWT/REG95/R/B/2
G/L/542
13 May 2002
(02-2658)
Original: English
AGREEMENT BETWEEN THE EUROPEAN COMMUNITIES AND ICELAND
Biennial Report on the Operation of the Agreement
Communication from the Parties
The report below presents the information rece ived from the Permanent Delegation of the
European Commission, dated 19 April 2002.  It is organized in accordance to the Standard Format for
Information on Regional Trade Agreements (WT/REG/W/6).
_______________
This report covers the period 1999-2001.  The previous biennial report submitted by the
parties on the operation of the trade agreements between the EC and Iceland was circulated as WTO
document WT/REG95/R/B/1, G/L/361 of  14 April 2000.  The general situation remains as described
in the last regular report.   Continued efforts during the reporting period have resulted in the
integration of a considerable body of EC legislation forming part of the acquis  into the Agreement.
I. BACKGROUND INFORMATION ON THE AGREEMENT
4. Trade Data
Total bilateral trade between the EU and Iceland increased to €3.3 billion in the year 2000.
Further statistical information is provided in the annex.WT/REG95/R/B/2
G/L/542
Page 2Annex
EC-Iceland Imports/Exports, 2000 and comparison with extra-EU
balance balance
HS Section M Euro % Total M Euro % Total M Euro M Euro % Total M Euro % Total M Euro imports exports
07-Aug-01
Total 1,641 100.0% 1,706 100.0% 65 1,026,798 100.0% 937,836 100.0% -88,961 0.2% 0.2% 1.04
of which:
01 Animals & animal products 712 43.4% 7 0.4% -705 15,386 1.5% 12,064 1.3% -3,321 4.6% 0.1% 0.01
02 Vegetable products 2 0.1% 27 1.6% 25 25,086 2.4% 11,223 1.2% -13,864 0.0% 0.2% 16.15
03 Animal or vegetable fats 12 0.7% 3 0.2% -9 2,360 0.2% 2,687 0.3% 327 0.5% 0.1% 0.22
04 Prepared foodstuffs 236 14.4% 80 4.7% -156 22,170 2.2% 29,937 3.2% 7,767 1.1% 0.3% 0.34
05 Mineral products 10 0.6% 128 7.5% 118 160,181 15.6% 33,372 3.6% -126,808 0.0% 0.4% 12.90
06 Chemical products 24 1.5% 159 9.3% 135 63,673 6.2% 113,378 12.1% 49,705 0.0% 0.1% 6.60
07 Plastics & rubber 5 0.3% 73 4.3% 69 26,308 2.6% 35,240 3.8% 8,932 0.0% 0.2% 15.88
08 Hides & skins 12 0.7% 6 0.3% -6 10,204 1.0% 8,969 1.0% -1,234 0.1% 0.1% 0.48
09 Wood & wood products 1 0.1% 28 1.6% 27 14,618 1.4% 7,007 0.7% -7,611 0.0% 0.4% 22.89
10 Wood pulp products 2 0.1% 54 3.2% 52 17,021 1.7% 24,481 2.6% 7,461 0.0% 0.2% 27.90
11 Textiles & textile articles 7 0.4% 90 5.3% 82 69,611 6.8% 40,549 4.3% -29,062 0.0% 0.2% 12.38
12 Footwear, headgear 1 0.1% 13 0.8% 12 10,903 1.1% 6,825 0.7% -4,078 0.0% 0.2% 13.80
13 Articles of stone, plaster, cement, asbestos 2 0.1% 25 1.5% 23 7,846 0.8% 15,121 1.6% 7,275 0.0% 0.2% 12.36
14 Pearls, (semi-)precious stones, metals 0 0.0% 9 0.5% 9 35,656 3.5% 28,969 3.1% -6,687 0.0% 0.0% 18.48
15 Base metals & articles thereof 388 23.7% 121 7.1% -267 57,454 5.6% 52,942 5.6% -4,512 0.7% 0.2% 0.31
16 Machinery & mechanical applicances 45 2.8% 494 29.0% 449 298,805 29.1% 298,008 31.8% -797 0.0% 0.2% 10.92
17 Transportation equipment 149 9.1% 241 14.1% 92 90,679 8.8% 139,903 14.9% 49,224 0.2% 0.2% 1.62
18 Instruments - measuring, musical 17 1.0% 47 2.8% 31 42,480 4.1% 39,533 4.2% -2,947 0.0% 0.1% 2.84
19 Arms & ammunition 0 0.0% 1 0.0% 1 601 0.1% 1,574 0.2% 973 0.0% 0.0% 365.56
20 Miscellaneous 1 0.1% 72 4.2% 71 27,149 2.6% 18,409 2.0% -8,739 0.0% 0.4% 76.31
21 Works of art 2 0.1% 2 0.1% 0 2,672 0.3% 4,583 0.5% 1,910 0.1% 0.0% 1.06
Other 13 0.8% 28 1.6% 14 25,935 2.5% 13,062 1.4% -12,872 0.1% 0.2% 2.08
Source : Eurostat COMEXT 30 Jul 01 (Statistical regime 4) TRADE/D/1  Paul VERBURGTimports exportsEU15 trade 2000 with EXTRA-EUR Iceland / Total
0024 IcelandIceland
market shares Exp-Imp 
ratio
1011 Extra-EUREU15 trade 2000 with Iceland
imports exportsWT/REG95/R/B/2
G/L/542
Page 3EC-Iceland Imports/Exports, 1997-2000
__________EU15 trade 1997-2000 with Iceland (million Euro)
imports exports balance total trade
HS Section 1997 1998 1999 2000 1997 1998 1999 2000 1997 1998 1999 2000 1997 1998 1999 2000
011 Extra-EU1507-Aug-01
Total 1,058 1,225 1,326 1,641 1,137 1,248 1,391 1,706 79 23 65 65 2,196 2,473 2,718 3,346
of which:
01 Animals & animal products 472 597 669 712 5 8 6 7 -466 -589 -664 -705 477 605 675 718
02 Vegetable products 12222 0 2 2 2 3 2 71 8 2 0 2 1 2 52 1 2 3 2 5 2 9
03 Animal or vegetable fats 31 27 12 12 2 3 3 3 -29 -24 -9 -9 34 30 15 15
04 Prepared foodstuffs 304 281 232 236 63 70 79 80 -241 -211 -153 -156 367 351 311 315
05 Mineral products 1 41 1 91 0 2 21 64 7 1 2 8 9 53 8 1 1 8 3 62 75 5 1 3 8
06 Chemical products 11 10 14 24 102 130 150 159 91 120 136 135 112 140 164 183
07 Plastics & rubber 45455 5 6 1 6 5 7 35 0 5 6 6 1 6 95 9 6 5 6 9 7 8
08 Hides & skins 15 14 10 12 4 4 4 6 -11 -10 -5 -6 19 18 14 18
09 Wood & wood products 01112 1 2 4 2 8 2 82 0 2 3 2 7 2 72 1 2 5 2 9 2 9
10 Wood pulp products 22124 3 4 3 4 6 5 44 1 4 1 4 5 5 24 5 4 5 4 7 5 6
11 Textiles & textile articles 78776 7 7 5 8 3 9 06 0 6 8 7 6 8 27 3 8 3 9 0 9 7
12 Footwear, headgear 00011 1 1 3 1 3 1 31 1 1 3 1 2 1 21 2 1 3 1 3 1 4
13 Articles of stone, plaster, cement, asbestos 32221 8 2 1 2 3 2 51 5 1 9 2 0 2 32 1 2 4 2 5 2 7
14 Pearls, (semi-)precious stones, metals 0000 5549 5439 554 1 0
15 Base metals & articles thereof 162 216 280 388 88 99 104 121 -74 -116 -176 -267 250 315 383 509
16 Machinery & mechanical applicances 18 27 32 45 305 392 421 494 287 365 389 449 324 419 453 540
17 Transportation equipment 2 7 31 149 201 147 162 241 199 140 131 92 203 154 193 390
18 Instruments - measuring, musical 6 9 13 17 28 30 38 47 22 21 25 31 34 40 50 64
19 Arms & ammunition 0000 0011 0011 0111
20 Miscellaneous 01114 6 5 8 6 6 7 24 5 5 7 6 6 7 14 6 5 8 6 7 7 3
21 Works of art 1112 4182 3070 5383
Other 4 6 7 13 26 25 21 28 22 19 15 14 30 31 28 41
Source : Eurostat COMEXT 30 Jul 01 (Statistical regime 4) TRADE/D/1  Paul VERBURGTIceland
0024 Iceland