AGREEMENT in the form of an exchange of letters amending Annex A to Protocol 1 to the Agreement between the European Economic Community and the Swiss Confederation

Letter No 1

Brussels, ...

Your Excellency,

Under the transitional arrangements provided for in Protocol 1 to the Free Trade Agreement between the European Economic Community and the Swiss Confederation signed on 22 July 1972, the United Kingdom is authorized to open zero-duty tariff quotas each year for certain products falling within Chapter 48 listed in Annex A to Protocol 1.

Switzerland has requested that those quotas be replaced by a single quota.

The United Kingdom and Swiss authorities concluded from their technical discussions that Swiss exports of Chapter 48 products could be covered by a single tariff quota, which would be an amalgam of the levels of the quotas for the present nine headings.

The rule concerning the permitted annual increase of 5 % remains applicable to the single quota.

The Community therefore considers that, pursuant to Article 1 (4) of Protocol 1 to the Agreement between the European Economic Community and the Swiss Confederation, the nine initial zero-duty quotas which the United Kingdom was entitled to open in respect of Switzerland in 1974 for certain products falling within Chapter 48 listed in the United Kingdom column of Annex A to the said Protocol 1 should be replaced by a single quota. Consequently, in accordance with the provisions of Article 1 (4) of Protocol 1, the quota which the United Kingdom is entitled to open for 1978 is one of 2 834 tonnes.

I should be grateful if you would confirm the agreement of your Government with the contents of this letter.

Please accept, Your Excellency, the assurance of my highest consideration.

For the Council of the European Communities

Letter No 2

Brussels, ...

Sir,

I have the honour to acknowledge receipt of your letter of today, worded as follows:

"Under the transitional arrangements provided for in Protocol 1 to the Free Trade Agreement between the European Economic Community and the Swiss Confederation signed on 22 July 1972, the United Kingdom is authorized to open zero-duty tariff quotas each year for certain products falling within Chapter 48 listed in Annex A to Protocol 1.

Switzerland has requested that those quotas be replaced by a single quota.

The United Kingdom and Swiss authorities concluded from their technical discussions that Swiss exports of Chapter 48 products could be covered by a single tariff quota, which would be an amalgam of the levels of the quotas for the present nine headings.

The rule concerning the permitted annual increase of 5 % remains applicable to the single quota.

The Community therefore considers that, pursuant to Article 1 (4) of Protocol 1 to the Agreement between the European Economic Community and the Swiss Confederation, the nine initial zero-duty quotas which the United Kingdom was entitled to open in respect of Switzerland in 1974 for certain products falling within Chapter 48 listed in the United Kingdom column of Annex A to the said Protocol 1 should be replaced by a single quota. Consequently, in accordance with the provisions of Article 1 (4) of Protocol 1, the quota which the United Kingdom is entitled to open for 1978 is one of 2 834 tonnes.

I should be grateful if you would confirm the agreement of your Government with the contents of this letter."

I have the honour to confirm that my Government agrees to the contents of your letter.

Please accept, Sir, the assurance of my highest consideration.

On behalf of the Government of the Swiss Confederation