title: 2008/89/EC: Decision of the European Central Bank of 31 December 2007 on the paying-up of capital, transfer of foreign reserve assets and contributions by the Central Bank of Cyprus and the Central Bank of Malta to the European Central Bank's reserves and provisions (ECB/2007/22)

text:
               1.2.2008

               EN

               Official Journal of the European Union

               L 28/36

      DECISION OF THE EUROPEAN CENTRAL BANK

   of 31 December 2007
   on the paying-up of capital, transfer of foreign reserve assets and contributions by the Central Bank of Cyprus and the Central Bank of Malta to the European Central Bank's reserves and provisions
   (ECB/2007/22)
   (2008/89/EC)
   THE GOVERNING COUNCIL OF THE EUROPEAN CENTRAL BANK,
   Having regard to the Statute of the European System of Central Banks and of the European Central Bank (hereinafter the ESCB Statute), and in particular Articles 30.1, 30.3, 49.1 and 49.2 thereof,
   Whereas:

               (1)

               Pursuant to Article 1 of Council Decision 2007/503/EC of 10 July 2007 in accordance with Article 122(2) of the Treaty on the adoption by Cyprus of the single currency on 1 January 2008 (1) and Article 1 of Council Decision 2007/504/EC of 10 July 2007 in accordance with Article 122(2) of the Treaty on the adoption by Malta of the single currency on 1 January 2008 (2), Cyprus and Malta fulfil the necessary conditions for adoption of the euro and the derogations granted to these Member States under Article 4 of the Act of Accession (3) will be abrogated with effect from 1 January 2008.

               (2)

               Article 49.1 of the ESCB Statute provides that the national central bank (NCB) of a Member State whose derogation has been abrogated must pay up its subscribed share of the capital of the European Central Bank (ECB) to the same extent as the NCBs of the other participating Member States. The NCBs of the existing participating Member States have paid up their shares in the ECB's subscribed capital in full (4). The weightings of the Central Bank of Cyprus and the Central Bank of Malta in the ECB's capital key are 0,1249 % and 0,0622 %, respectively, pursuant to Article 2 of Decision ECB/2006/21 of 15 December 2006 on the national central banks’ percentage shares in the key for subscription to the European Central Bank's capital (5). The Central Bank of Cyprus and the Central Bank of Malta have already paid up part of their shares in the ECB's subscribed capital, pursuant to Article 1 of Decision ECB/2006/26 of 18 December 2006 laying down the measures necessary for the paying-up of the European Central Bank's capital by the non-participating national central banks (6). The outstanding amount is therefore EUR 6 691 401,01 for the Central Bank of Cyprus and EUR 3 332 306,98 for the Central Bank of Malta, which results from multiplying the ECB's subscribed capital (EUR 5 760 652 402,58) by the capital key weightings of the Central Bank of Cyprus and the Central Bank of Malta (0,1249 % and 0,0622 % respectively), minus in each case the part of their shares in the ECB's subscribed capital that has already been paid up.

               (3)

               Article 49.1, in conjunction with Article 30.1, of the ESCB Statute provides that the NCB of a Member State whose derogation has been abrogated must also transfer foreign reserve assets to the ECB. Pursuant to Article 49.1 of the ESCB Statute, the sum to be transferred is determined by multiplying the euro value at current exchange rates of the foreign reserve assets which have already been transferred to the ECB in accordance with Article 30.1 of the ESCB Statute, by the ratio between the number of shares subscribed by the NCB concerned and the number of shares already paid up by the NCBs of the other participating Member States. When determining the ‘foreign reserve assets which have already been transferred to the ECB in accordance with Article 30.1’, due account should be taken of the ECB preceding capital key adjustment (7) pursuant to Article 29.3 of the ESCB Statute and the ECB capital key expansions pursuant to Article 49.3 of the ESCB Statute (8). As a result, pursuant to Decision ECB/2006/24 of 15 December 2006 laying down the measures necessary for the contribution to the European Central Bank's accumulated equity value and for adjusting the national central banks’ claims equivalent to the transferred foreign reserve assets (9), the euro equivalent of the foreign reserve assets which have already been transferred to the ECB under Article 30.1 of the ESCB Statute is EUR 40 848 729 895,96.

               (4)

               The foreign reserve assets to be transferred by both the Central Bank of Cyprus and the Central Bank of Malta should be denominated in US dollars and gold.

               (5)

               Article 30,3 of the ESCB Statute provides that the ECB must credit each NCB of a participating Member State with a claim equivalent to the foreign reserve assets that it has transferred to the ECB. The provisions regarding the denomination and remuneration of the claims that have already been credited to the NCBs of the existing participating Member States (10) should also apply to the denomination and remuneration of the claims of the Central Bank of Cyprus and the Central Bank of Malta.

               (6)

               Article 49.2 of the ESCB Statute provides that the NCB of a Member State whose derogation has been abrogated must contribute to the ECB's reserves, to those provisions equivalent to reserves, and to the amount still to be appropriated to the reserves and provisions corresponding to the balance of the profit and loss account as at 31 December of the year prior to abrogation of the derogation. The amount of this contribution is determined in accordance with Article 49.2 of the ESCB Statute.

               (7)

               In accordance with Article 3.5 of the Rules of Procedure of the European Central Bank, the Governors of the Central Bank of Cyprus and the Central Bank of Malta have been invited to attend the meeting of the Governing Council adopting this Decision,

         HAS DECIDED AS FOLLOWS:
   Article 1
   Definitions
   For the purposes of this Decision:

               —

               ‘participating Member State’ means a Member State that has adopted the euro,

               —

               ‘cash’ means the lawful currency of the United States (US dollar),

               —

               ‘gold’ means fine troy ounces of gold in the form of London Good Delivery bars, as specified by the London Bullion Market Association,

               —

               ‘foreign reserve assets’ means gold or cash,

               —

               ‘Eurosystem’ means the ECB and NCBs of participating Member States.

         Article 2
   Payment of capital
   1.   With effect from 1 January 2008, the Central Bank of Cyprus and the Central Bank of Malta shall pay up the remaining parts of their shares in the ECB's subscribed capital, which correspond to EUR 6 691 401,01 for the Central Bank of Cyprus and EUR 3 332 306,98 for the Central Bank of Malta.
   2.   Each of the above mentioned NCBs shall pay the amount specified for it in paragraph 1 to the ECB on 2 January 2008, by means of a separate transfer through the Trans-European Automated Real-time Gross settlement Express Transfer system (TARGET/TARGET2).
   3.   Each of the above mentioned NCBs shall, by means of a separate TARGET/TARGET2 transfer, pay to the ECB on 2 January 2008 the interest accruing during the period from 1 January 2008 until 2 January 2008 on the amount due to the ECB under paragraph 2.
   4.   Any interest accruing under paragraph 3 shall be calculated on a daily basis, using the actual over-360-day method of calculation, at a rate equal to the marginal interest rate used by the Eurosystem in its most recent main refinancing operation.
   Article 3
   Transfer of foreign reserve assets
   1.   The Central Bank of Cyprus and the Central Bank of Malta shall each transfer to the ECB, with effect from 1 January 2008 and in accordance with this Article and the arrangements taken pursuant to it, an amount of foreign reserve assets denominated in US dollars and gold that is equivalent to EUR 73 400 447,19 for the Central Bank of Cyprus and EUR 36 553 305,17 for the Central Bank of Malta, as follows:

               Euro-equivalent amount of US dollars

               Euro-equivalent amount of gold

               Aggregate euro-equivalent amount

               Central Bank of Cyprus

               62 390 380,11

               11 010 067,08

               73 400 447,19

               Central Bank of Malta

               31 070 309,39

               5 482 995,78

               36 553 305,17

         2.   The euro-equivalent amounts of foreign reserve assets to be transferred by the Central Bank of Cyprus and the Central Bank of Malta under paragraph 1 shall be calculated on the basis of the exchange rates between the euro and the US dollar established as a result of the 24-hour written consultation procedure on 31 December 2007 between those central banks that participate in that procedure and, in the case of gold, on the basis of the US dollar price of gold per fine troy ounce established in the London gold fixing at 10.30 a.m., London time, on 31 December 2007.
   3.   The ECB shall confirm to the Central Bank of Cyprus and the Central Bank of Malta as soon as possible the respective amounts calculated in accordance with paragraph 2.
   4.   The Central Bank of Cyprus and the Central Bank of Malta shall transfer cash to the ECB to such accounts as are specified by the ECB. The settlement date for the cash to be transferred to the ECB shall be 2 January 2008. The Central Bank of Cyprus and the Central Bank of Malta shall give instructions for the transfer of cash to the ECB on the settlement date.
   5.   The Central Bank of Cyprus and the Central Bank of Malta shall transfer gold on such dates, to such accounts and at such locations as are specified by the ECB.
   6.   The difference, if any, between the aggregate euro-equivalent amounts mentioned in paragraph 1 and the amounts mentioned in Article 4(1) shall:

               (a)

               in respect of the Central Bank of Cyprus be settled in accordance with the Agreement of 31 December 2007 between the European Central Bank and the Central Bank of Cyprus regarding the claim credited to the Central Bank of Cyprus by the European Central Bank under Article 30.3 of the Statute of the European System of Central Banks and of the European Central Bank (11); and

               (b)

               in respect of the Central Bank of Malta be settled in accordance with the Agreement of 31 December 2007 between the European Central Bank and the Central Bank of Malta regarding the claim credited to the Central Bank of Malta by the European Central Bank under Article 30.3 of the Statute of the European System of Central Banks and of the European Central Bank (12).

         Article 4
   Denomination, remuneration and maturity of the claims equivalent to the contributions
   1.   With effect from 1 January 2008, and subject to the specifications in Article 3 regarding the settlement dates of the transfers of foreign reserve assets, the ECB shall credit each of the Central Bank of Cyprus and the Central Bank of Malta with a claim denominated in euro, equivalent to the aggregate euro amount of their respective contributions of foreign reserve assets. This claim corresponds to EUR 71 950 548,51 for the Central Bank of Cyprus and EUR 35 831 257,94 for the Central Bank of Malta.
   2.   The claims credited by the ECB to the Central Bank of Cyprus and the Central Bank of Malta shall be remunerated from the settlement date. The interest accruing shall be calculated on a daily basis, using the actual over-360-day method of calculation, at a rate equivalent to 85 % of the marginal interest rate used by the Eurosystem in its most recent main refinancing operation.
   3.   The claims shall be remunerated at the end of each financial year. The ECB shall inform the Central Bank of Cyprus and the Central Bank of Malta on a quarterly basis of their respective cumulative amounts.
   4.   The claims shall not be redeemable.
   Article 5
   Contributions to the ECB's reserves and provisions
   1.   With effect from 1 January 2008 and in accordance with paragraphs 5 and 6 and Article 3, the Central Bank of Cyprus and the Central Bank of Malta shall contribute to the ECB's reserves, to those provisions equivalent to reserves, and to the amount still to be appropriated to the reserves and provisions corresponding to the balance of the profit and loss account at 31 December 2007.
   2.   The amounts to be contributed by the Central Bank of Cyprus and the Central Bank of Malta shall be determined in accordance with Article 49.2 of the ESCB Statute. The references in Article 49.2 to the ‘number of shares subscribed by the central bank concerned’ and the ‘number of shares already paid up by the other central banks’ shall refer to the weightings of each of the Central Bank of Cyprus and the Central Bank of Malta, and the NCBs of the existing participating Member States, respectively, in the ECB's capital key, pursuant to Decision ECB/2006/21.
   3.   For the purposes of paragraph 1, ‘the ECB's reserves’ and ‘provisions equivalent to reserves’ shall include, inter alia, the ECB's general reserve fund, balances on revaluation accounts and provisions for foreign exchange rate, interest rate and gold price risks.
   4.   At the latest on the first working day following the Governing Council's approval of the ECB's annual accounts for the year 2007, the ECB shall calculate and confirm to the Central Bank of Cyprus and the Central Bank of Malta the amount to be contributed by each of them under paragraph 1.
   5.   On the second working day following the Governing Council's approval of the ECB's annual accounts for the year 2007, the Central Bank of Cyprus and the Central Bank of Malta shall, by means of two separate TARGET/TARGET2 transfers each, pay to the ECB:

               (a)

               the respective amounts due to the ECB under paragraph 4; and

               (b)

               the interest accruing during the period from 1 January 2008 until that date, on the respective amounts due to the ECB under paragraph 4.

         6.   Any interest accruing under paragraph 5(b) shall be calculated on a daily basis, using the actual over-360-day method of calculation, at a rate equal to the marginal interest rate used by the Eurosystem in its most recent main refinancing operation.
   Article 6
   Final provision
   This Decision shall enter into force on 1 January 2008.

      Done at Frankfurt am Main, 31 December 2007.

            The President of the ECB

         Jean-Claude TRICHET

      (1)  OJ L 186, 18.7.2007, p. 29.

      (2)  OJ L 186, 18.7.2007, p. 32.

      (3)  Act concerning the conditions of accession of the Czech Republic, the Republic of Estonia, the Republic of Cyprus, the Republic of Latvia, the Republic of Lithuania, the Republic of Hungary, the Republic of Malta, the Republic of Poland, the Republic of Slovenia and the Slovak Republic and the adjustments to the Treaties on which the European Union is founded (OJ L 236, 23.9.2003, p. 33).

      (4)  Decision ECB/2006/22 of 15 December 2006 laying down the measures necessary for the paying-up of the European Central Bank’s capital by the participating national central banks (OJ L 24, 31.1.2007, p. 3).

      (5)  OJ L 24, 31.1.2007, p. 1.

      (6)  OJ L 24, 31.1.2007, p. 15.

      (7)  Decision ECB/2003/17 of 18 December 2003 on the national central banks’ percentage shares in the key for subscription to the European Central Bank’s capital (OJ L 9, 15.1.2004, p. 27).

      (8)  Decision ECB/2004/5 of 22 April 2004 on the national central banks’ percentage shares in the key for subscription to the European Central Bank’s capital (OJ L 205, 9.6.2004, p. 5) and Decision ECB/2006/21.

      (9)  OJ L 24, 31.1.2007, p. 9.

      (10)  Pursuant to Guideline ECB/2000/15 of 3 November 1998 as amended by the Guideline of 16 November 2000 on the composition, valuation and modalities for the initial transfer of foreign reserve assets, and the denomination and remuneration of equivalent claims (OJ L 336, 30.12.2000, p. 114).

      (11)  Not yet published in the Official Journal.

      (12)  Not yet published in the Official Journal.


title: 2014/956/EU: Council Decision of 23 July 2014 on the signing, on behalf of the European Union and its Member States, and provisional application, of the Protocol to the Partnership and Cooperation Agreement establishing a partnership between the European Communities and their Member States, of the one part, and the Russian Federation, of the other part, to take account of the accession of the Republic of Croatia to the European Union

text:
               31.12.2014

               EN

               Official Journal of the European Union

               L 373/1

         COUNCIL DECISION
   of 23 July 2014
   on the signing, on behalf of the European Union and its Member States, and provisional application, of the Protocol to the Partnership and Cooperation Agreement establishing a partnership between the European Communities and their Member States, of the one part, and the Russian Federation, of the other part, to take account of the accession of the Republic of Croatia to the European Union

      (2014/956/EU)

   THE COUNCIL OF THE EUROPEAN UNION,
   Having regard to the Treaty on the Functioning of the European Union, and in particular Articles 91, 100(2), 207 and 212, in conjunction with Article 218(5) thereof,
   Having regard to the Act of Accession of the Republic of Croatia, and in particular the second subparagraph of Article 6(2) thereof,
   Having regard to the proposal from the European Commission,
   Whereas:

               (1)

               In accordance with Article 6(2) of the Act of Accession of the Republic of Croatia, the accession of the Republic of Croatia to the Partnership and Cooperation Agreement establishing a partnership between the European Communities and their Member States, of the one part, and the Russian Federation, of the other part (1) (‘the Agreement’), is to be agreed by means of a protocol to the Agreement (‘the Protocol’). In accordance with Article 6(2) of the Act of Accession, a simplified procedure is to apply to such accession, whereby a protocol is to be concluded by the Council, acting unanimously on behalf of the Member States, and by the third countries concerned.

               (2)

               On 14 September 2012, the Council authorised the Commission to open negotiations with the third countries concerned. The negotiations were successfully concluded with the Russian Federation. This was confirmed in an exchange of notes on 24 September 2013.

               (3)

               The Protocol should be signed on behalf of the Union and its Member States, subject to its conclusion at a later date.

               (4)

               The conclusion of the Protocol is subject to a separate procedure as regards matters falling within the competence of the European Atomic Energy Community.

               (5)

               In view of the accession of the Republic of Croatia to the Union on 1 July 2013, the Protocol should be applied on a provisional basis from that date,

         HAS ADOPTED THIS DECISION:
   Article 1
   The signing, on behalf of the European Union and its Member States, of the Protocol to the Partnership and Cooperation Agreement establishing a partnership between the European Communities and their Member States, of the one part, and the Russian Federation, of the other part, to take account of the accession of the Republic of Croatia to the European Union is hereby authorised, subject to the conclusion of the Protocol.
   The text of the Protocol is attached to this Decision.
   Article 2
   The President of the Council is hereby authorised to designate the person(s) empowered to sign the Protocol on behalf of the European Union and its Member States.
   Article 3
   The Protocol shall be applied on a provisional basis, as from 1 July 2013, pending the completion of the procedures for its conclusion.
   Article 4
   This Decision shall enter into force on the date of its adoption.

      Done at Brussels, 23 July 2014.

            For the Council

            The President

         S. GOZI

      (1)  OJ L 327, 28.11.1997, p. 3.


Avis juridique important

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31977D0806

77/806/EEC: Council Decision of 20 December 1977 concerning the conclusion of the Protocol extending the Arrangement regarding international trade in textiles

Official Journal L 348 , 30/12/1977 P. 0059 Greek special edition: Chapter 11 Volume 9 P. 0159

****( 1 ) THE DATE OF THE ENTRY INTO FORCE OF THE PROTOCOL WILL BE PUBLISHED IN THE OFFICIAL JOURNAL OF THE EUROPEAN COMMUNITIES BY THE GENERAL SECRETARIAT OF THE COUNCIL .        COUNCIL DECISION   OF 20 DECEMBER 1977   CONCERNING THE CONCLUSION OF THE PROTOCOL EXTENDING THE ARRANGEMENT REGARDING INTERNATIONAL TRADE IN TEXTILES  ( 77/806/EEC )   THE COUNCIL OF THE EUROPEAN   COMMUNITIES ,   HAVING REGARD TO THE TREATY ESTABLISHING THE EUROPEAN ECONOMIC COMMUNITY AND IN PARTICULAR ARTICLE 113 THEREOF ,   HAVING REGARD TO THE RECOMMENDATION FROM THE COMMISSION ,   WHEREAS THE COMMISSION HAS PARTICIPATED , ON BEHALF OF THE COMMUNITY , IN THE NEGOTIATIONS FOR THE RENEWAL OF THE ARRANGEMENT REGARDING INTERNATIONAL TRADE IN TEXTILES AND THESE NEGOTIATIONS HAVE LED TO THE DRAWING UP OF A PROTOCOL TO WHICH HAVE BEEN ANNEXED THE CONCLUSIONS ADOPTED BY THE TEXTILES COMMITTEE ESTABLISHED BY THE AGREEMENT ON 14 DECEMBER 1977 ;   WHEREAS THE COMMUNITY SHOULD ACCEPT THE EXTENSION OF THE ARRANGEMENT ON THE CONDITIONS SET OUT IN THE SAID PROTOCOL AND IN THE CONCLUSIONS ATTACHED THERETO ,   HAS DECIDED AS FOLLOWS :   ARTICLE 1   THE PROTOCOL EXTENDING THE ARRANGEMENT REGARDING INTERNATIONAL TRADE IN TEXTILES , TO WHICH THE CONCLUSIONS OF THE TEXTILES COMMITTEE ADOPTED ON 14 DECEMBER 1977 ARE ATTACHED , IS HEREBY APPROVED ON BEHALF OF THE COMMUNITY .   THE TEXTS REFERRED TO IN THE FIRST PARAGRAPH ARE ANNEXED TO THIS DECISION .   ARTICLE 2   THE PRESIDENT OF THE COUNCIL SHALL BE AUTHORIZED TO DESIGNATE THE PERSON EMPOWERED TO GIVE NOTIFICATION OF THE ACCEPTANCE REFERRED TO IN PARAGRAPH 3 OF THE PROTOCOL SO THAT IT SHALL BE BINDING ON THE COMMUNITY .   ARTICLE 3   THIS DECISION SHALL BE PUBLISHED IN THE OFFICIAL JOURNAL OF THE EUROPEAN COMMUNITIES ( 1 ).   DONE AT BRUSSELS , 20 DECEMBER 1977 .   FOR THE COUNCIL   THE PRESIDENT   H . SIMONET ****    ANNEX   PROTOCOL EXTENDING THE ARRANGEMENT REGARDING INTERNATIONAL TRADE IN TEXTILES   THE PARTIES   TO THE ARRANGEMENT REGARDING INTERNATIONAL TRADE IN TEXTILES ( HEREINAFTER REFERRED TO AS ' THE ARRANGEMENT ' ).   ACTING PURSUANT TO PARAGRAPH 5 OF ARTICLE 10 OF THE ARRANGEMENT , AND   REAFFIRMING THAT THE TERMS OF THE ARRANGEMENT REGARDING THE COMPETENCE OF THE TEXTILES COMMITTEE AND THE TEXTILES SURVEILLANCE BODY ARE MAINTAINED , AND   CONFIRMING THE UNDERSTANDINGS SET FORTH IN THE CONCLUSIONS OF THE TEXTILES COMMITTEE ADOPTED ON 14 DECEMBER 1977 , A COPY OF WHICH IS ATTACHED HEREWITH ,   HEREBY AGREE AS FOLLOWS :   1 .  THE PERIOD OF VALIDITY OF THE ARRANGEMENT , SET OUT IN ARTICLE 16 , SHALL BE EXTENDED FOR A PERIOD OF FOUR YEARS UNTIL 31 DECEMBER 1981 .   2 .  THIS PROTOCOL SHALL BE DEPOSITED WITH THE DIRECTOR-GENERAL TO THE CONTRACTING PARTIES TO THE GATT . IT SHALL BE OPEN FOR ACCEPTANCE , BY SIGNATURE OR OTHERWISE , BY THE PARTIES TO THE ARRANGEMENT , BY OTHER GOVERNMENTS ACCEPTING OR ACCEDING TO THE ARRANGEMENT PURSUANT TO THE PROVISIONS OF ARTICLE 13 THEREOF AND BY THE EUROPEAN ECONOMIC COMMUNITY .   3 .  THIS PROTOCOL SHALL ENTER INTO FORCE ON 1 JANUARY 1978 FOR THE COUNTRIES WHICH HAVE ACCEPTED IT BY THAT DATE . IT SHALL ENTER INTO FORCE FOR A COUNTRY WHICH ACCEPTS IT ON A LATER DATE AS OF THE DATE OF SUCH ACCEPTANCE .   DONE AT GENEVA THIS 14TH DAY OF DECEMBER ONE THOUSAND NINE HUNDRED AND SEVENTY-SEVEN IN A SINGLE COPY IN THE ENGLISH , FRENCH AND SPANISH LANGUAGES , EACH TEXT BEING AUTHENTIC .   ANNEX   CONCLUSIONS OF THE TEXTILES COMMITTEE ADOPTED ON 14 DECEMBER 1977   1 .  THE PARTICIPANTS IN THE ARRANGEMENT EXCHANGED VIEWS REGARDING THE FUTURE OF THE MULTIFIBRE ARRANGEMENT ( MFA ).   2 .  IT IS CLEAR FROM THE ANNUAL AND MAJOR REVIEWS OF THE MFA UNDERTAKEN BY THE TEXTILES COMMITTEE THAT CERTAIN IMPORTING AND SEVERAL EXPORTING COUNTRIES HAVE ENCOUNTERED PRACTICAL DIFFICULTIES IN THE IMPLEMENTATION OF THE PROVISIONS OF THE MFA . DISCUSSIONS IN THIS RESPECT COVERED A WIDE RANGE OF AREAS OF SATISFACTION AS WELL AS DISSATISFACTION . THESE DIFFICULTIES , SOME OF WHICH ARE OF A LONG-STANDING NATURE , AFFECT SERIOUSLY THE TRADE AND ECONOMIC DEVELOPMENT OF DEVELOPING COUNTRIES .   3 .  MEMBERS OF THE TEXTILES COMMITTEE RECOGNIZED THAT THERE CONTINUED TO BE A TENDENCY FOR AN UNSATISFACTORY SITUATION TO EXIST IN WORLD TRADE IN TEXTILE PRODUCTS , AND THAT SUCH A SITUATION , IF NOT SATISFACTORILY DEALT WITH , COULD WORK TO THE DETRIMENT OF COUNTRIES PARTICIPATING IN INTERNATIONAL TRADE IN TEXTILE PRODUCTS , WHETHER AS IMPORTERS OR EXPORTERS OR BOTH . IT COULD ADVERSELY AFFECT PROSPECTS FOR INTERNATIONAL COOPERATION IN THE TRADE FIELD AND COULD HAVE UNFORTUNATE REPERCUSSIONS ON TRADE RELATIONS IN GENERAL , AND THE TRADE OF DEVELOPING COUNTRIES IN PARTICULAR .   4 .  SOME PARTICIPATING COUNTRIES , IMPORTING AS WELL AS EXPORTING , FELT THAT THERE WAS A NEED FOR MODIFICATIONS TO BE MADE TO THE TEXT OF THE MFA . OTHERS WERE OF THE OPINION THAT ANY DIFFICULTIES THAT MAY HAVE ARISEN WERE DUE TO PROBLEMS OF IMPLEMENTATION , AND THAT THE PROVISIONS OF THE MFA ARE ADEQUATE TO DEAL WITH SUCH DIFFICULTIES . IT WAS AGREED THAT ANY SERIOUS PROBLEMS OF TEXTILE TRADE SHOULD BE RESOLVED THROUGH CONSULTATIONS AND NEGOTIATIONS .   5.1 . AS REGARDS WHAT WAS DESCRIBED BY ONE MAJOR IMPORTING PARTICIPANT IN ITS STATEMENT TO THIS COMMITTEE AS ITS PRESSING IMPORT PROBLEMS , THE TEXTILES COMMITTEE RECOGNIZED THAT SUCH PROBLEMS SHOULD BE RESOLVED BILATERALLY UNDER THE PROVISIONS OF ARTICLE 4 OR ARTICLE 3 , PARAGRAPHS 3 AND 4 .   5.2 . THE COMMITTEE NOTED ONE MAJOR IMPORTING PARTICIPANT ' S STATEMENT CONCERNING THE BASIS UPON WHICH IT INTENDED TO ACHIEVE ITS STATED OBJECTIVES BY BILATERAL CONSULTATIONS AND NEGOTIATIONS AND NOTED THE EXPRESSION OF GOODWILL AND FLEXIBILITY MADE BY CERTAIN EXPORTING PARTICIPANTS NOW PREDOMINANT IN THE EXPORTING OF TEXTILE PRODUCTS OF ALL THE THREE FIBRES COVERED BY THE ARRANGEMENT .   5.3 . THE COMMITTEE AGREED THAT , WITHIN THE FRAMEWORK OF THE MFA , ANY SUCH CONSULTATIONS AND NEGOTIATIONS SHOULD BE CONDUCTED IN A SPIRIT OF EQUITY AND FLEXIBILITY WITH A VIEW TO REACHING A MUTUALLY ACCEPTABLE SOLUTION UNDER ARTICLE 4 , PARAGRAPH 3 OR ARTICLE 3 , PARAGRAPHS 3 AND 4 , WHICH DOES INCLUDE THE POSSIBILITY OF JOINTLY AGREED REASONABLE DEPARTURES FROM PARTICULAR ELEMENTS IN PARTICULAR CASES .   5.4 . IT WAS AGREED THAT ANY SUCH DEPARTURES AS MENTIONED IN SUBPARAGRAPH 3 ABOVE WOULD BE TEMPORARY AND THAT PARTICIPANTS CONCERNED SHALL RETURN IN THE SHORTEST POSSIBLE TIME TO THE FRAMEWORK OF THE ARRANGEMENT .   5.5 . THE COMMITTEE ALSO URGED ALL PARTICIPANTS CONCERNED TO MOVE PROMPTLY TO NEGOTIATE MUTUALLY ACCEPTABLE SOLUTIONS IN THE SPIRIT OF THE MFA .   5.6 . THE COMMITTEE AFFIRMED THAT , IN SEEKING SUCH SOLUTIONS , THE INTEREST OF THE DEVELOPING COUNTRIES , NEW ENTRANTS , AND SMALL SUPPLIERS SHALL BE RECOGNIZED , AND THE PROVISIONS OF ARTICLE 1 ( 4 ) WOULD BE FULLY KEPT IN VIEW .   6 .  THE COMMITTEE RECOGNIZED THAT COUNTRIES HAVING SMALL MARKETS , AN EXCEPTIONALLY HIGH LEVEL OF IMPORTS AND A CORRESPONDINGLY LOW LEVEL OF DOMESTIC PRODUCTION ARE PARTICULARLY EXPOSED TO THE TRADE PROBLEMS MENTIONED IN THE PRECEDING PARAGRAPHS , AND THAT THEIR PROBLEMS SHOULD BE RESOLVED IN A SPIRIT OF EQUITY AND FLEXIBILITY . IN THE CASE OF THOSE COUNTRIES , THE PROVISIONS OF ARTICLE 1 ( 2 ) SHOULD BE FULLY IMPLEMENTED .   7 .  THE COMMITTEE REAFFIRMED THAT THE TWO ORGANS OF THE ARRANGEMENT , THE TEXTILES COMMITTEE AND THE TEXTILES SURVEILLANCE BODY , SHOULD CONTINUE TO FUNCTION EFFECTIVELY IN THEIR RESPECTIVE AREAS OF COMPETENCE .   8 .  IT WAS REITERATED THAT IN THE FUTURE IMPLEMENTATION OF THE MFA , THE SPECIAL PROBLEMS OF DEVELOPING COUNTRIES SHALL BE FULLY TAKEN INTO ACCOUNT IN A MANNER CONSISTENT WITH THE PROVISIONS OF THE MFA , IN PARTICULAR ARTICLES 1 ( 3 ) AND 6 THEREOF .   9 .  ALL PARTICIPANTS SAW MUTUAL COOPERATION AS THE FOUNDATION OF THE ARRANGEMENT AND AS THE BASIS FOR DEALING WITH PROBLEMS IN A WAY WHICH WOULD PROMOTE THE OBJECTIVES AND AIMS OF THE MFA . PARTICIPANTS EMPHASIZED THAT THE PRIMARY AIMS OF THE MFA ARE TO ENSURE THE EXPANSION OF TRADE IN TEXTILE PRODUCTS PARTICULARLY FOR THE DEVELOPING COUNTRIES , AND PROGRESSIVELY TO ACHIEVE THE REDUCTION OF TRADE BARRIERS AND THE LIBERALIZATION OF WORLD TRADE IN TEXTILE PRODUCTS WHILE , AT THE SAME TIME , AVOIDING DISRUPTIVE EFFECTS ON INDIVIDUAL MARKETS AND ON INDIVIDUAL LINES OF PRODUCTION IN BOTH IMPORTING AND EXPORTING COUNTRIES . IN THIS CONTEXT , IT WAS FELT THAT IN ORDER TO ENSURE THE PROPER FUNCTIONING OF THE MFA , ALL PARTICIPANTS WOULD REFRAIN FROM TAKING MEASURES ON TEXTILES COVERED BY THE MFA OUTSIDE THE PROVISIONS THEREIN BEFORE EXHAUSTING ALL THE RELIEF MEASURES PROVIDED IN THE MFA .   10 .  TAKING INTO ACCOUNT THE EVOLUTIONARY AND CYCLICAL NATURE OF TRADE IN TEXTILES AND THE IMPORTANCE TO BOTH IMPORTING AND EXPORTING COUNTRIES OF PRIOR RESOLUTION OF PROBLEMS IN A CONSTRUCTIVE AND EQUITABLE MANNER FOR THE INTEREST OF ALL CONCERNED , AND ON THE BASIS OF THE ELEMENTS MENTIONED IN PARAGRAPHS 1 TO 9 ABOVE , THE TEXTILES COMMITTEE CONSIDERED THAT THE MFA IN ITS PRESENT FORM SHOULD BE EXTENDED FOR A PERIOD OF FOUR YEARS SUBJECT TO CONFIRMATION BY SIGNATURE AS FROM 15 DECEMBER 1977 OF A PROTOCOL FOR THIS PURPOSE .