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19 JULY 2013. - An Act to approve the Agreement on Partnership and Cooperation between the European Union and its Member States, on the one hand, and the Republic of Iraq, on the other hand, made in Brussels on 11 May 2012 (1) (2)

ALBERT II, King of the Belgians,
To all, present and to come, Hi.
The Chambers adopted and We sanction the following:
Article 1^er. This Act regulates a matter referred to in Article 77 of the Constitution.
Art. 2. The Agreement on Partnership and Cooperation between the European Union and its Member States, on the one hand, and the Republic of Iraq, on the other hand, made in Brussels on 11 May 2012, will emerge its full and full effect.
Promulgation of this law, let us order that it be clothed with the seal of the State and published by the Belgian Monitor.
Given in Brussels on 19 July 2013.
ALBERT
By the King:
Deputy Prime Minister and Minister for Foreign Affairs, Foreign Trade and European Affairs,
D. REYNDERS
Seal of the state seal:
The Minister of Justice,
Ms. A. TURTELBOOM
____
Notes
(1) Session 2012-2013.
Senate.
Documents:
Bill tabled on 17/04/2013, No. 5-2037/1.
Annexes, No. 5-2037/2
Report made on behalf of the commission, No. 5-2037/3.
Annales parlementaire
Discussion, meeting of 13 June 2013.
Voting, meeting of 13 June 2013.
Room
Documents:
Project transmitted by the Senate, No. 53-2885/1.
Report on behalf of the Commission, No. 53-2885/2.
Text adopted in plenary and subject to Royal Assent, No. 53-2885/3.
Annales parlementaire
Discussion, meeting of 10 July 2013.
Vote, meeting of 10 July 2013.
(2) See Decree of the Flemish Community/ Flemish Region of 19 July 2013 (Belgian Monitor of 20 August 2013 (Ed. 2)). Decree of the French Community of 4 July 2013 (Moniteur belge of 23 July 2013). Decree of the German-speaking Community of 17 September 2013 (Moniteur belge of 22 October 2013 (Ed. 2)). Decree of the Walloon Region of 10 July 2013 (Moniteur belge of 31 July 2013). Order of the Brussels-Capital Region of 30 January 2014 (Belgian Monitor of 6 March 2014). Common Community Commission Order of 27 February 2014 (Belgian Monitor of 2 April 2014)

Agreement on Partnership and Cooperation between the European Union and its Member States, on the one hand, and the Republic of Iraq, on the other
BELGIUM,
THE REPUBLIC OF BULGARIA,
LA REPUBLIQUE TCHEQUE,
DANEMARK,
THE GERMANY FEDERAL REPUBLIC,
THE REPUBLIC OF ESTONIA,
IRILAND,
LA REPUBLIQUE HELLENIQUE,
SPANISH ROY,
THE FRENCH REPUBLIC,
THE ITALIAN REPUBLIC,
THE REPUBLIC OF CHYPRE,
THE REPUBLIC OF LETTONIA,
LA REPUBLIQUE DE LITUANIE,
LUXEMBOURG,
THE REPUBLIC OF HUNGARY,
MALTE,
ROYAUME DES PAYS-BAS,
THE REPUBLIC OF AUTRICHE,
THE REPUBLIC OF POLAND,
THE PORTUGAISE REPUBLIC,
THE ROMANIA,
THE REPUBLIC OF SLOVENIA,
THE SLOVATIC REPUBLIC,
THE REPUBLIC OF FINLAND,
The SUEDE ROYAUME,
THE UNITED KINGDOM OF GREAT BRITAIN AND NORTH IRELAND,
Contracting Parties to the Treaty on the European Union and to the Treaty on the Functioning of the European Union, hereafter referred to as the "member States", and
EUROPEAN UNION, below referred to as the "Union",
on the one hand, and
LA REPUBLIQUE IRAQ, below referred to as "Iraq",
on the other hand,
hereafter referred to collectively as "the parties",
CONSIDERING the links between the Union, its Member States and Iraq and the common values they share,
RECOGNIZING that the Union, its Member States and Iraq wish to strengthen these ties and establish trade relations and cooperation supported by political dialogue,
CONSIDERING the importance that the parties attach to the purposes and principles of the Charter of the United Nations, as well as to respect for human rights, democratic principles and political and economic freedoms, which form the very basis of partnership,
REAFFIRMING their commitment to democratic principles, human rights and fundamental freedoms enshrined in the Universal Declaration of Human Rights and other international human rights instruments,
RECOGNIZING the great importance of sustainable development and social development, which must go hand in hand with economic development,
RECOGNIZING the importance of strengthening their cooperation and common will to consolidate, deepen and diversify their relations in areas of mutual interest in respect of sovereignty, equality, non-discrimination, the rule of law and good governance, as well as the environment and the principle of mutual benefit,
RECOGNIZING the need to support Iraq ' s efforts to pursue political reforms, as well as economic reform and to improve the living conditions of the poor and disadvantaged segments of the population,
RECOGNIZING the need to strengthen the role of women in the political, civil, social, economic and cultural spheres and to combat discrimination,
ISSUES to create conditions conducive to substantial development and diversification of trade between the Union and Iraq and to intensify cooperation in the fields of economy, trade, investment, science and technology and culture,
WHEREAS to promote trade and investment, as well as the development of harmonious economic relations between the parties based on the principles of the market economy,
VU the need to create conditions conducive to improving trade and investment,
CONSCIENTS of the need to improve the factors affecting trade and investment activities, as well as the conditions affecting the establishment of companies, employment, service delivery and capital circulation,
RECORD OF the right of the parties to regulate the provision of services on their territories and to ensure the realization of legitimate public policy objectives,
RECORD of their commitment to trade in accordance with the agreement establishing the World Trade Organization signed in Marrakech on 15 April 1994 (hereinafter "the WTO agreement") and, consequently, their mutual interest in the accession of Iraq to this agreement,
RECOGNIZING the needs of developing countries within the framework of the WTO,
RECOGNIZING that terrorism, organized crime, money-laundering and drug trafficking pose a major threat to international security and stability and to the achievement of the objectives of their cooperation,
CONSCIENTS of the importance of encouraging and strengthening regional cooperation,
CONFIRMING that the provisions of this Agreement which fall under Part III, Title V, of the Treaty on the Functioning of the European Union bind the United Kingdom and Ireland as separate contracting parties and not as members of the European Union, unless the European Union notifies Iraq that either of these two States is now bound for these issues as a member of the European Union The same provisions apply to Denmark, in accordance with the Protocol (No. 22) on the position of Denmark annexed to the Treaty on the European Union and the Treaty on the Functioning of the European Union,
AGAINST WHO ITS:
ARTICLE 1^er
Partnership building
1. A partnership is established between the Union and its Member States, on the one hand, and Iraq, on the other.
2. Its objectives are:
(a) to include political dialogue among the parties in an appropriate framework for the development of political relations;
(b) promote trade and investment as well as the development of harmonious economic relations among the parties and thus promote their sustainable economic development; and
(c) provide a basis for legislative, economic, social, financial and cultural cooperation.
ARTICLE 2
Base
Respect for democratic principles and human rights, enshrined in the Universal Declaration of Human Rights and other relevant international instruments, as well as the principles of the rule of law underpin the domestic and international policies of both parties and constitutes an essential element of this agreement.
PART I^er
POLITICAL AND COOPERATION FRAMEWORK FOR AND SECURITY
ARTICLE 3
Political dialogue
1. A regular political dialogue is established between the parties in order to strengthen their relations, contribute to the development of a partnership and increase mutual understanding and solidarity.
2. Political dialogue covers all subjects of common interest, in particular on peace, foreign policy and security, national dialogue and reconciliation, democracy, the rule of law, human rights, good governance, as well as regional stability and integration.
3. Political dialogue is held on an annual basis at the level of ministers and senior officials.
ARTICLE 4
Combating terrorism
Reaffirming the importance of the fight against terrorism, the parties agree to cooperate in order to prevent and eliminate terrorist acts, in accordance with international conventions, international human rights law, international humanitarian law and international refugee law, as well as their respective laws and regulations. This cooperation is carried out in particular:
(a) within the framework of the full implementation of Security Council resolution 1373 (2001) and other relevant United Nations resolutions, the United Nations Counter-Terrorism Strategy, as well as international conventions and instruments;
(b) exchange of information on terrorist groups and their support networks in accordance with international and national law; and
(c) exchange of views on the means and methods used to prevent terrorist acts, in particular on technical means and training, and through exchanges of experience in the field of terrorism prevention.
The parties always have the will to reach, as soon as possible, an agreement on the United Nations General Convention on International Terrorism.
Deeply concerned about incitement to commit acts of terrorism, the parties reaffirm their commitment to take all necessary and appropriate measures, in accordance with national and international law, to counter this threat.
ARTICLE 5
Combating the proliferation of weapons of mass destruction
The parties believe that the proliferation of weapons of mass destruction (MDD) and their means of delivery for the benefit of state and non-state actors is one of the most serious threats to international stability and security. They therefore agree to cooperate and contribute to the fight against the proliferation of these WMDs and their means of delivery by ensuring full compliance and national implementation of their obligations under international disarmament and non-proliferation treaties and agreements and other international obligations in this regard. The parties agree that this provision is an essential element of this agreement.
The parties also agree to cooperate and contribute to the fight against the proliferation of WMDs and their means of delivery:
(a) taking measures to sign or ratify or accede to all other international instruments in this area, as appropriate, and to implement them fully;
(b) Implementing an effective system of national export controls, covering both the export and transit of goods that may be used for the manufacture of MDAs, including control of the final destination of dual-use technologies and effective sanctions for non-compliance with export controls.
The parties agree to establish a regular political dialogue that will accompany and consolidate these elements.
ARTICLE 6
Small arms and light weapons
1. The parties recognize that the illicit manufacture, transfer and circulation of small arms and light weapons (LACs), including their ammunition, as well as excessive accumulation, poor management, inadequately secured stocks and uncontrolled spread of such weapons continue to pose a serious threat to international peace and security.
2. The parties agree to observe and fully implement their respective obligations to combat the illicit trade in PCLs, including their ammunition, in accordance with existing international agreements and resolutions adopted by the UN Security Council, as well as their commitments under other relevant international instruments in this area, such as the United Nations Programme of Action to Prevent, Combat and Eradicate the Illicit Trade in PCLs.
3. The parties undertake to cooperate and ensure the coordination, complementarity and synergy of their efforts to combat the illicit trade in CLAs, including their ammunition, at the global, regional, subregional and national levels and agree to establish a regular political dialogue that will accompany and consolidate this commitment.
ARTICLE 7
International Criminal Court
1. The parties reiterate that the most serious crimes that affect the entire international community cannot be unpunished and that prosecutions against their perpetrators must be ensured by measures taken at both the national and international levels.
2. The parties recognize that Iraq is not yet a State Party to the Rome Statute of the International Criminal Court, but examines the possibility of acceding to it in the future. To this end, Iraq will take steps to accede to the Rome Statute and related instruments, ratify and implement them.
3. The parties reaffirm their determination to cooperate on this issue, including by sharing the experience gained in adopting the legal amendments required by applicable international law in this area.
PART II
TRADE AND INVESTMENTS
SECTION I^re
TRADE OF MARKINGS
CHAPTER I^er
GENERAL PROVISIONS
ARTICLE 8
Scope and scope
This chapter applies to the trade of goods between the parties.
ARTICLE 9
Customs duties
For the purposes of this chapter, it is necessary to hear by "Customs duty" any right or other taxation of any kind, perceived to the import or export of a property, in particular in the form of a surtax or an additional taxation collected for the purpose of that import or export, other than:
(a) any taxation equivalent to an domestic tax applied in accordance with section 11;
(b) any right imposed in accordance with Part II, section I, chapter II, of this Agreement;
(c) any right applied in accordance with Articles VI, XVI and XIX of the General Agreement on Tariffs and Trade of 1994 (hereinafter "the GATT of 1994"), to the WTO Agreement on the Implementation of Article VI of the GATT of 1994, to the WTO Agreement on Subsidies and Countervailing Measures, to the WTO Agreement on Safeguards, to Article 5
(d) any royalty or other taxation imposed under the law of a party, in accordance with Article VIII of the GATT 1994, as well as its notes and additional provisions.
ARTICLE 10
NPF treatment
1. The parties mutually agree to the treatment of the most favoured nation in accordance with Article 1^erparagraph 1^er, GATT 1994 and its additional notes and provisions.
2. The provisions of paragraph 1^er does not apply:
(a) the benefits granted in order to create a customs union or free trade zone in accordance with the GATT 1994 or resulting from the creation of such a customs union or free trade zone;
(b) benefits to certain countries in accordance with the 1994 GATT and other international agreements for developing countries.
ARTICLE 11
National treatment
Each of the parties grants national treatment to the products of the other party, in accordance with Article III of the GATT 1994, as well as its additional notes and provisions. For this purpose, Article III of the GATT of 1994, its notes and additional provisions are incorporated in this Agreement which they form an integral part, mutatis mutandis.
ARTICLE 12
Tariff Policy
1. Products from Iraq imported into the Union are subject to the Union's NPF rate. No customs duties exceeding those that affect imports from WTO members in accordance with Article I of the GATT 1994 are applied to products originating from Iraq imported into the Union.
2. When importing to Iraq, products originating from the Union are not subject to any customs duties exceeding the reconstruction tax of 8% currently applied to imported products.
3. The parties agree that, until Iraq's accession to the WTO, the level of import duty may be changed after they have consulted.
4. If, after the signing of this Agreement, Iraq applies a tariff reduction to erga omnes imports, in particular a reduction resulting from tariff negotiations under the WTO, this reduced tariff is applied to imports originating from the Union and replaces the basic right or the reconstruction tax from the date that this reduction is applied.
ARTICLE 13
Implementation of the relevant provisions of the 1994 GATT
The following Articles of the 1994 GATT are incorporated into this Agreement which they form an integral part and apply between the parties, mutatis mutandis:
(a) Article V, with its notes and additional provisions;
(b) Article VII, paragraphs 1^erArticle VII, paragraphs 4, (a), (b) and (d), and Article VII, paragraph 5, including the notes and additional provisions thereto, as well as the WTO agreement on the implementation of Article VII of the GATT 1994;
(c) Article VIII, with its notes and additional provisions;
(d) Article IX;
(e) Article X.
ARTICLE 14
Harmonized Goods Designation System
The classification of goods exchanged between the parties is that provided by the respective tariff nomenclatures of the parties interpreted in accordance with the harmonized system established by the International Convention on the Harmonized Commodity Designation and Coding System, signed in Brussels on 14 June 1983 (hereinafter referred to as "H").
ARTICLE 15
Temporary admission of goods
Without prejudice to the rights and obligations arising from the international conventions on the temporary admission of goods that bind both parties, each party shall grant the other the exemption from import duties and taxes on goods temporarily admitted. The temporary admission regime is applied taking into account the conditions under which the parties have adhered to the obligations arising from these conventions.
ARTICLE 16
Prohibition of quantitative restrictions
As soon as this Agreement comes into force, the Union and Iraq delete and refrain from adopting or maintaining, as part of their trade, restrictions on import or export or any other equivalent effect, in accordance with Article XI of the GATT 1994 and its additional notes and provisions. For this purpose, Article XI of the GATT of 1994, together with its additional notes and provisions, are incorporated in this Agreement which they form an integral part, mutatis mutandis.
ARTICLE 17
Export rights
None of the parties may maintain or institute customs duties, taxes or other fees and taxes collected for export or related to the export of goods to the other party. None of the parties may maintain or institute domestic taxes, royalties and taxation on goods exported to the other party exceeding those applied to similar products intended to be sold on the domestic market.
CHAPTER II
TRADE DEFENSE INSTRUMENTS
ARTICLE 18
Antidumping
1. No provision of this Agreement hinders the adoption by the parties of anti-dumping or compensatory measures, in accordance with Article VI of GATT 1994, including its notes and additional provisions, the Agreement on the Implementation of Article VI of the General Agreement on Tariffs and Trade of 1994 and the Agreement on Subsidies and Countervailing Measures.
2. This Article is not subject to the provisions of Part II, Section VI, of this Agreement.
ARTICLE 19
Protection measures
1. Nothing in this Agreement hinders the adoption by the parties of measures in accordance with Article XIX of the GATT 1994 and the WTO Agreement on Safeguards.
2. This Article is not subject to the provisions of Part II, Section VI, of this Agreement.
CHAPTER III
EXCEPTIONS
ARTICLE 20
General exceptions
The provisions of Article XX of the GATT of 1994, including its notes and additional provisions, and Article XXI of the GATT of 1994, which are incorporated in the agreement and of which they are an integral part, shall apply between the parties, mutatis mutandis.
CHAPTER IV
NON-GOVERNMENTAL MATTERS
ARTICLE 21
Industrial standards, conformity assessment and technical regulations
1. Relationship to the WTO Agreement on Technical Barriers to Trade
The provisions of the WTO Agreement on Technical Barriers to Trade (hereinafter "the TBT Agreement"), which is incorporated in this Agreement and of which it is an integral part, apply between the parties, mutatis mutandis.
2. Scope and scope
The provisions of this chapter apply to the development, adoption and application of technical regulations, standards and conformity assessment procedures as defined in the TBT Agreement.
3. Objectives
The objectives of the cooperation between the parties in technical regulations, standards and conformity assessment procedures are:
(a) avoid or reduce technical barriers to trade and thus facilitate trade between the parties;
(b) improve access to the respective markets of the parties by improving product safety, quality and competitiveness;
(c) promote greater use of technical regulations, standards and procedures for assessing international compliance, including sectoral measures, and the application of international best practices in their development;
(d) ensure that the development, adoption and application of technical standards and regulations are transparent and do not unnecessarily engage in trade between the parties in accordance with the provisions of the TBT Agreement;
(e) establish the necessary infrastructure for technical regulations, standardization, conformity assessment, registration, metrology and market surveillance in Iraq;
(f) establish functional linkages between the institutions responsible for standardization, conformity assessment and regulations in Iraq and the Union;
(g) to encourage the effective participation of Iraqi institutions in the work of international standardization bodies and the OTC committee.
4. Technical regulations, standards and conformity assessment procedures
(a) The Parties shall ensure that the development, adoption or application of technical regulations, standards and conformity assessment procedures are not intended or intended to create unnecessary barriers to trade between the parties in accordance with the provisions of the TBT Agreement.
(b) The parties shall endeavour, to the extent possible, to harmonize their standards, technical regulations and conformity assessment procedures.
5. Transparency and notification
(a) Information-sharing obligations on technical regulations, standards and conformity assessment procedures under the TBT Agreement apply between the parties.
(b) The parties agree to exchange, through their points of contact, information on issues of potential interest to their trade relations, including early warnings, as well as scientific advice and events.
(c) Parties may cooperate in establishing and maintaining contact points, as well as in establishing and managing common databases.
CHAPTER V
SANITIES AND PHYTOSANITIES
ARTICLE 22
Health and phytosanitary measures
1. The parties cooperate in the field of sanitary and phytosanitary measures with the aim of facilitating trade while protecting the health and life of individuals and animals and preserving plants. The provisions of the WTO Agreement on the Application of Sanitary and Phytosanitary Measures (hereinafter "the SPS Agreement"), which is incorporated in this Agreement and of which it is an integral part, apply between the parties, mutatis mutandis.
2. On request, the parties may identify and address the problems arising from the application of specific sanitary and phytosanitary measures to achieve mutually acceptable solutions.
SECTION II
COMMERCE DES SERVICES ETABLISSEMENT
ARTICLE 23
Scope
1. This section sets out the modalities for the progressive liberalization of trade in services and establishment between the parties.
2. This section applies to measures affecting trade in services and establishment in all economic activities, with the exception of:
(a) extractive industries, manufacturing industries and the transformation of nuclear fuels;
(b) manufacturing and trade in weapons, ammunition and war materials;
(c) audio-visual services and cultural services;
(d) teaching services;
(e) health care and social services;
(f) National Maritime Coasting;
(g) air transportation services and air services other than:
(i) the aircraft repair and maintenance services during which the aircraft is removed from the service;
(ii) the sale or marketing of air transport services;
(iii) services related to computerized reservation systems;
(iv) port of call assistance services;
(v) aircraft charter services with crew;
(vi) airport operating services; and
(h) Space transport services.
3. Nothing in this section shall be construed as imposing any public procurement obligation.
4. The provisions of this section do not apply to subsidies granted by the parties.
5. In accordance with the provisions of this section, each party retains the right to regulate and introduce new regulatory provisions to achieve legitimate strategic objectives.
ARTICLE 24
Definitions
For the purposes of this section:
(a) "individu physique de l'Union", a national of one of the Member States of the Union in accordance with its legislation and "person physique de l'Iraq", a national of Iraq in accordance with its legislation;
(b) “legal entity”, any legal entity duly incorporated or otherwise organized in accordance with applicable law, for profit or non-profit purposes, and held by the private sector or the public sector, including any corporation, trust corporation (trust), partnership, joint venture, individual enterprise or association;
c) "corporate of the Union" or "corporate of Iraq", a legal entity constituted in accordance with the legislation of a Member State of the Union or of Iraq, respectively, and whose head office, central administration or principal place of activity is, respectively, in the territory to which the Treaty on the European Union and the Treaty on the Functioning of the European Union or on the Territory of the European Union shall apply. If only its head office, central administration or main place of activity is located in the territory to which the Treaty on the European Union and the Treaty on the Functioning of the European Union or on the territory of Iraq apply, respectively, a legal entity is not considered to be a legal entity of the Union or a legal entity of the Iraq, respectively, unless its activities have a real and permanent relationship with the economy of the Union
(d) Notwithstanding point (c), the shipping companies established outside the Union or Iraq and controlled by nationals, respectively, of a Member State of the Union or Iraq shall also benefit from the provisions of this Agreement, if their ships are registered in that Member State of the Union or Iraq in accordance with their respective legislation and shall be flagged by a Member State of the Union or Iraq;
(e) "economic activity", any activity excluding activities carried out in the exercise of public authorities, i.e. activities that are not carried out on a commercial basis or in competition with one or more economic operators;
(f) "subsidiary", a legal entity that is effectively controlled by another legal entity;
(g) "stock" of a legal person, an institution that has no legal personality, has the appearance of the permanence, such as the extension of a parent corporation, has its own management and is materially equipped to negotiate business with third parties, so that the latter, although knowing that, if necessary, there will be a legal link with the parent company whose seat is abroad, are not required to deal directly with the parent corporation
(h) "service provider" of a party, any natural or legal person of a party who wishes to provide or provides a service;
(i) "service trade", the provision of a service in the following ways:
(i) from the territory of a party to the territory of the other party;
(ii) in the territory of a party for a consumer of services of the other party;
(iii) by a service provider from one party to the establishment in the territory of the other party;
(iv) by a service provider of a party to the presence of natural persons in the territory of the other party;
(j) "measure", any action taken by a party, whether in the form of law, regulation, rule, procedure, decision, administrative decision, or in any other form;
(k) “measures adopted or maintained by a party”, measures taken by:
(i) Central, regional or local governments and administrations,
(ii) non-governmental organizations when exercising powers delegated by central, regional or local governments and administrations;
(l) "services", all services in all sectors except for services provided in the exercise of government power;
(m) "institution", any type of commercial or professional establishment, including in the form of:
(i) the constitution, acquisition or maintenance of a corporation, or
(ii) the creation or maintenance of a branch or representative office in the territory of a party for the purpose of conducting an economic activity;
(n) "investor" of a party, any natural or legal person who wishes to exercise or exercise an economic activity through the establishment of an institution;
(o) "service provided in the exercise of government power", any service that is not provided on a commercial basis or in competition with one or more service providers.
ARTICLE 25
1. As soon as this Agreement comes into force, the Union extends to the services or service providers of Iraq the processing resulting from the list of specific commitments in respect of national processing and market access contracted by the Union and its member States under the General Agreement on Trade in Services (hereinafter "GATS").
2. As soon as this Agreement comes into force and subject to paragraph 3, Iraq provides services, service providers, institutions and investors of the Union, in the services sector and in other sectors, with no less favourable treatment than that accorded to its own services, service providers, similar institutions and investors or, if more advantageous, to services, service providers, institutions and similar investors of any third country.
3. Iraq may modify the treatment granted to services, service providers, institutions and investors of the Union by subjecting it to conditions and restrictions that result in less favourable treatment than that it reserves to its own services, service providers, institutions and similar investors, provided that:
(a) the treatment given to services, service providers, institutions and investors of the Union is no less favourable than that provided by Iraq to services, service providers, institutions and similar investors of any third country;
(b) Iraq shall notify the Commission of the European Union (hereinafter referred to as the "Commission") four months before the expected date for the implementation of these conditions. At the request of the Commission, Iraq motivates, in a circumstantial manner, the application of the conditions and restrictions. In the absence of communication addressed to Iraq within eight weeks, these conditions and restrictions are deemed accepted by the Union.
(c) If one of the parties so requests, the proposed conditions and restrictions are subject to the review and approval of the Co-operation Committee.
4. Without prejudice to the benefits arising from the treatment given to the services, service providers, institutions and investors of the Union pursuant to paragraph 2 of this article, Iraq, when it has acceded to the WTO, will also extend to the services and service providers of the Union the treatment resulting from its list of specific commitments under the GATS.
ARTICLE 26
1. The treatment of the most favoured nation granted in accordance with the provisions of this section does not apply to the tax benefits that the parties grant or grant in the future on the basis of agreements to avoid double taxation or other tax arrangements.
2. Nothing in this section shall be construed to prevent the adoption or application by the parties of measures to avoid tax evasion in accordance with the tax provisions of agreements to avoid double taxation and other tax arrangements or national tax legislation.
3. Nothing in this section shall be construed so as to prevent Member States or Iraq from distinguishing, in the application of the relevant provisions of their tax legislation, between taxpayers who are not in identical situations, in particular with respect to their place of residence.
ARTICLE 27
Other agreements
Nothing in this section shall limit the rights of investors of the parties to any more favourable treatment provided for in an existing or future international investment agreement to which a Member State of the Union or Iraq are parties.
ARTICLE 28
Transparency
Each party shall promptly respond to all requests for specific information from the other party and concerning any of its general application measures or any international agreement aimed at or affecting this Agreement. Each party shall also establish one or more information points to provide service providers to the other party who request specific information on all these matters. These information points are listed in Appendix 3. Information points will not need to be depositary of laws and regulations.
ARTICLE 29
Exceptions
1. The provisions of this section shall be subject to the exceptions provided for in this article. Unless these measures are not applied in such a way as to constitute, either an arbitrary or unjustifiable form of discrimination between countries where similar conditions exist, or a disguised restriction on trade in services, no provision in this section shall be construed as preventing the adoption or application by either part of the measures:
(a) necessary to protect public safety or public morals or to maintain public order;
(b) necessary for the protection of the health and life of persons and animals or for the preservation of plants;
(c) to ensure compliance with laws or regulations that are not inconsistent with the provisions of this section, including those relating to:
(i) the prevention of misleading and fraudulent practices or how to address the effects of a breach of service contracts;
(ii) the protection of the privacy of persons in the context of the processing and dissemination of personal data and the protection of the confidentiality of individual records and accounts;
(iii) security;
(d) incompatible with the purpose of section 25, provided that the difference in treatment is to ensure the effective or equitable taxation or recovery of direct taxes in respect of the services or service providers of the other party;
(e) incompatible with the purposes of Article 25, provided that the difference in treatment is to avoid tax evasion or fraud in accordance with the tax provisions of agreements to avoid double taxation and other tax arrangements or national tax legislation.
2. The provisions of this section do not apply to the respective social security regimes of the parties or to the activities carried out in the territory of each party and related, even occasionally, to the exercise of the public authority.
3. The provisions of this section do not apply to measures that affect individuals seeking access to the labour market of one of the parties, or to measures relating to citizenship, residence or permanent employment.
4. Nothing in this section prevents a party from applying measures to regulate the admission or temporary stay of natural persons in its territory, including the measures necessary to protect the integrity of its borders and to ensure the orderly passage of its borders by natural persons, provided that, in doing so, it does not apply them in a manner that invalidates or compromises the benefits conferred on the other party by section 25.
5. Nothing in this section applies to activities carried out by a central bank or monetary authority or any other public entity in the context of monetary policies or exchange rates.
6. Nothing in this section shall be construed as preventing a party, including its public entities, from exercising or providing exclusively, on its territory, activities or services on behalf of the party, under warranty or using the financial means of the party or its public entities.
7. The provisions of this section shall be without prejudice to the application by each party of any measures necessary to prevent the circumvention of its regulations concerning the access of third countries to its market by the provisions of this Agreement.
ARTICLE 30
Security exceptions
Nothing in this section shall be construed:
(a) as requiring a party to provide information that, in its view, would be contrary to the essential interests of its security; or
(b) as preventing a party from taking the measures it considers necessary to protect the essential interests of its security:
(i) related to economic activities intended directly or indirectly to ensure the supply of the armed forces;
(ii) on fissile and fusible materials or materials used for their manufacture;
(iii) the production or trade of weapons, ammunition and war equipment and the trafficking of other goods and equipment;
(iv) relating to public procurement essential to national security or national defence,
(v) applied in times of war or in cases of severe international tension; or
(c) to prevent a party from taking action in accordance with its commitments under the Charter of the United Nations for the maintenance of international peace and security.
ARTICLE 31
Progressive liberalization of trade in services and establishment
Depending on the circumstances, and in particular on the situation resulting from Iraq's accession to the WTO, the Cooperation Council may make recommendations to the parties in order to progressively develop the trade in services and establishment between them and ensure perfect coherence with the provisions of the GATS, including its Article V. If accepted, these recommendations may be implemented through agreements between the parties.
SECTION III
PROVISIONS FOR TRADE ACTIVITIES AND INVESTMENTS
ARTICLE 32
Encouragement of investment
The parties stimulate mutually advantageous investment by creating a favourable climate for private investment.
ARTICLE 33
Contact points and information exchange
In order to facilitate communication between the parties on any commercial issue relating to private investments, each of them designates a point of contact. The point of contact of a party shall indicate to the other party that so requests, the office or officer in charge of the subject matter and shall provide the necessary assistance to facilitate communication with the requesting party.
SECTION IV
CURRENT PAYMENTS AND CAPITAL
ARTICLE 34
Objective and scope
1. The parties endeavour to liberalize current payments and capital movements among themselves, in accordance with commitments made under international financial institutions.
2. This section applies to all current payments and capital movements between the parties.
ARTICLE 35
Current accounts
The parties authorize, in a freely convertible currency and in accordance with the statutes of the International Monetary Fund, payments and transfers from the balance of current transactions between the parties.
ARTICLE 36
Capital account
The parties shall authorize, from the date of entry into force of this Agreement, the free movement of capital in respect of direct investment made in accordance with the laws of the host country and the investments made in accordance with the provisions of this Agreement, as well as the liquidation or repatriation of such capital and any benefit arising therefrom.
ARTICLE 37
Statu quo
The parties refrain from introducing new restrictions affecting current payments and capital movements between their residents and making existing arrangements more restrictive.
ARTICLE 38
Protection measures
1. Where, in exceptional circumstances, capital movements between the Union and Iraq cause, or threaten to cause, serious difficulties in the functioning of the exchange policy or monetary policy of the Union or Iraq, the Union and Iraq, respectively, may adopt measures to safeguard against the movements of capital between the Union and Iraq for a period of not more than six months.
2. The party taking the backup measures shall communicate, as soon as possible, to the other party a schedule for their removal.
ARTICLE 39
Final provisions
1. None of the provisions of this Agreement may affect the rights of the economic operators of the parties to receive more favourable treatment that may arise from an existing bilateral or multilateral agreement to which the parties are parties.
2. The parties shall work together to facilitate the movement of capital between them and to promote the objectives of this Agreement.
SECTION V
TRADE QUESTIONS
CHAPTER I^er
ENTREPRISES COMMERCIALES D'ETAT
ARTICLE 40
1. The parties aim to comply with the provisions of Article XVII of the GATT 1994 as well as its notes and additional provisions and the WTO Memorandum of Understanding on the interpretation of Article XVII of the General Agreement on Tariffs and Trade of 1994, which are incorporated in the Agreement and of which they are an integral part, mutatis mutandis.
2. Where a party is invited by the other party to provide information on individual cases of State commercial enterprises, their mode of operation and the impact of their activities on bilateral trade, it must take into account the need to ensure the greatest possible transparency, without prejudice to Article XVII, paragraph 4, point (d), of the 1994 GATT on confidential information.
3. Each party shall ensure that all State commercial enterprises providing good or service comply with its obligations under this Agreement.
CHAPTER II
MARCHES PUBLICS
ARTICLE 41
Introduction
1. The parties recognize that transparent, competitive and open tendering procedures contribute to sustainable economic development and set the goal of the effective, reciprocal and progressive opening of their respective public markets.
2. For the purposes of this chapter:
(a) "commercial goods or services", goods and services of a type generally sold or proposed for sale on the commercial market to non-governmental buyers for non-governmental purposes, and usually purchased by them;
(b) "construction service" means a service intended to carry out, by any means, civil engineering work or construction of buntiments within the meaning of Division 51 of the central classification of UN products (hereinafter "CPC");
(c) "days", calendar days;
(d) "electronic auction", an iterative process involving the use of an electronic device for the presentation by suppliers of new prices and/or new values for the quantifiable non-tariff elements of the offer in relation to the evaluation criteria, resulting in a classification or reclassification of offers;
e) "in writing", any expression of information in words or figures that may be read, reproduced and subsequently communicated. This may be information transmitted and retained in electronic form;
(f) "limited tendering procedure", a procurement method whereby the contracting entity contacts one or more suppliers of its choice;
(g) "measure", any law, regulation, procedure, direction or administrative practice or any action of a contracting entity relating to a contract referred to in this chapter;
(h) "multiple-use list", a list of suppliers whose contracting entity determined that they met the registration requirements on this list, and that the said authority intends to use more than once;
(i) "market notice envisaged", a notice issued by a contracting entity inviting interested suppliers to apply for participation, an offer, or both;
(j) "compensation", any condition or undertaking that promotes local development or enhances the balance of payments accounts of a party, such as local content requirements, technology licensing, investment, trade offsets or other similar measures and requirements;
(k) "open tendering procedure", a procurement method whereby all interested suppliers can bid;
(l) "person", a natural or legal person;
(m) "contracting entity", an entity listed, for a party, in Appendix I to Appendix 1 to this Agreement;
(n) "qualified supplier", a supplier whose contracting entity recognizes that it meets the terms and conditions of participation;
(o)" selective tendering procedure", a procurement method whereby only qualified suppliers are invited to bid by the contracting entity;
(p) "services", any service, including, unless otherwise specified, construction services;
(q) "standard", a document approved by a recognized body, which provides, for common and repeated uses, rules, guidelines or characteristics for related goods, services or processes and methods of production, whose compliance is not mandatory. It may treat in part or in whole the rules to be followed in terms of terminology, symbols, packaging, marking or labelling, to the extent that they apply to property, service, process or method of production;
(r) "supplier", a person or group of persons who provide or may provide goods or services; and
(s)" technical specification", an element of the specifications which:
(i) defines the required characteristics of a product or service that will be marketed, such as quality, employment properties, safety and dimensions, or processes and methods of production or delivery; or
ii) sets out the rules for terminology, symbols, packaging, marking or labelling, to the extent that they apply to a good or service.
ARTICLE 42
Scope and scope
1. The provisions of this chapter shall apply to any measure relating to the markets concerned. For the purposes of this chapter, a contract referred to is the acquisition for government purposes
(a) goods, services or any combination thereof:
(i) specified, for each part, in the sub- Schedules to Appendix I^er Appendix 1^re of this Agreement; and
(ii) not acquired to be sold or sold in the trade or to be used for the production or supply of goods or services intended to be sold or sold in the trade;
(b) by any contractual means, including in the form of purchase or in the form of lease, lease or sale, with or without purchase option;
(c) the value of which equals or exceeds the applicable threshold for each of the parties in the sub- Schedules to Appendix I to Appendix 1 to this Agreement at the time of publication of a notice in accordance with section 45;
(d) by a contracting entity; and
(e) that are not otherwise excluded.
2. Unless otherwise provided, this chapter does not apply:
(a) the acquisition or lease of existing lands, leases or other immovable property, or the related rights;
(b) non-contractual agreements, or any form of assistance provided by a party, including cooperation agreements, grants, loans, participation in social capital, guarantees and tax incentives;
(c) at the disposal or acquisition of financial or depositary services, liquidation and management services for regulated financial institutions, or services related to the sale, redemption or placement of public debt, including loans and obligations, public bonds and other public securities;
(d) public employment contracts;
(e) past markets:
(i) for the specific purpose of providing international assistance, including development assistance;
(ii) in the context of the procedure or special conditions of an international agreement on the parking of troops or on the joint implementation of a project by the countries parties to the project;
(iii) in the context of the procedure or special conditions of an international organization, or financed by donations, loans or other international assistance in cases where the applicable procedure or conditions would be incompatible with this chapter.
3. Each party defines and specifies the following information in the sub- Schedules to Appendix I to Appendix 1 to this Agreement:
(a) in sub-Annex 1, the central government entities whose markets are covered by this chapter;
(b) in Annex 2, all other entities whose markets are covered by this chapter;
(c) in sub-Annex 3, services, other than construction services, covered by this chapter;
(d) in sub-Annex 4, construction services covered by this chapter;
(e) in sub-Annex 5, any general comments.
4. In cases where a contracting entity, with respect to the markets covered by this Agreement, requires that persons not listed in the sub- Schedules by part of Appendix I^er Appendix 1^re contracting in accordance with specific requirements, Article 43 applies mutatis mutandis to these requirements.
5. When assessing the value of a market in order to ensure that it is a contract, the contracting entity does not split the market and does not choose or apply a method of valuation of its value for the purpose of subtracting it fully or partially from the application of this chapter.
6. Nothing in this chapter shall be construed as preventing a party from taking action or not disclosing information, if it considers it necessary to protect the essential interests of its security, relating to the arms, ammunition or war equipment markets, or to markets essential to national security or for the purpose of national defence.
7. Subject to the fact that these measures are not applied in such a way as to constitute, either an arbitrary or unjustifiable form of discrimination between the parties where the same conditions exist, or a disguised restriction on international trade, no provision in this chapter shall be construed as preventing the adoption or application by either part of the measures:
(a) necessary for the protection of public morality, public order and public security;
(b) necessary for the protection of the health and life of persons and animals or for the preservation of plants;
(c) necessary for the protection of intellectual property; or
(d) relating to goods produced or services provided by persons with disabilities, philanthropic institutions or detainees.
ARTICLE 43
General principles
1. With respect to any measure and contract, each party, including its contracting entities, shall immediately and unconditionally grant to the goods and services of the other party and to the suppliers of the other party proposing goods or services no less favourable than that provided by the party, including its contracting entities, to its national goods, services and suppliers.
2. With regard to any measure relating to the markets concerned, no party, including its contracting entities, shall:
(a) grants a supplier established in its territory less favourable treatment than that reserved for another supplier established in its territory, due to the degree of foreign control or participation; and
(b) discriminates against a supplier established in its territory on the grounds that the goods or services it proposes for a particular market are goods or services of the other party.
3. With respect to laws, regulations, procedures or practices relating to public procurement and to specific markets, from public authorities at all levels, open to goods, services and suppliers from third countries, Iraq grants to EU goods, services and suppliers no less favourable treatment than that granted to goods, services and suppliers from any third country.
Use of electronic means
4. When an electronic procurement of a target public market, the contracting entity shall:
(a) Ensure that the procurement is carried out through computer systems and software, including the authentication and encryption of information, which is widely accessible to the general public and interoperable with other computer systems and software widely accessible to the general public; and
(b) relies on mechanisms that ensure the integrity of requests for participation and offers, including by establishing the time of receipt and by preventing unsuitable access.
Procedure
5. The contracting entities manage the procurement procedures in a transparent and impartial manner, so as to avoid conflicts of interest and prevent corruption practices, and in accordance with this chapter.
Rules of origin
6. For the purpose of a targeted public market, no party may apply to goods or services imported from the other party or provided by the other party any rules of origin different from those applied at the same time during normal commercial transactions to imports or supplies of the same goods or services originating from that party.
ARTICLE 44
Publication of market information
1. Each part:
(a) publish, as soon as possible, all legislative and regulatory provisions, as well as all judicial decisions, general administrative decisions and standard contractual clauses, imposed by law or regulation and incorporated by reference in notices, tender records and the procurement procedure for the intended market, as well as all their amendments, in an officially designated paper or electronic media, which is widely distributed and readily available to the general public;
(b) provide, upon request, an explanation to the other party;
(c) enumerates, in Appendix II to Schedule 1^re the paper or electronic media in which it publishes the information referred to in paragraph (a);
(d) list, in Appendix III to Schedule 1^re of this Agreement, the electronic media in which it publishes the notices referred to in Article 45, Article 47, paragraph 4 and Article 55, paragraph 2.
2. Each party shall notify, as soon as possible, the other party of any changes to the information relating to it contained in Appendix II or III of Appendix I to this Agreement.
ARTICLE 45
Publication of notices
Proposed market notice
1. For each contract referred to, with the exception of the cases described in Article 52, the contracting entity shall publish a notice of contract envisaged in the media indicated for that purpose in Appendix III to Appendix 1^re of this Agreement. Each of these notices includes the information referred to in Appendix IV to Appendix 1^re of this Agreement and can be accessed free of charge via a single access point.
Summary opinion
2. For each proposed market, the contracting entity publishes, together with the proposed market notice, a notice summarised, easily accessible, in one of the WTO languages. The summary notice contains at least the following information:
(a) the subject matter of the market;
(b) the deadline for filing bids or, where applicable, the deadline for filing applications for market participation or registration on a multi-use list; and
(c) the address where market documents may be requested.
Scheduled market notice
3. Contracting entities are encouraged to publish a notice of their future procurement projects as soon as possible in each fiscal year (hereinafter "programmed market notice"). The notice should indicate the subject-matter of the contract and the expected date of publication of the proposed notice of contract.
4. Contracting entities listed in Appendix 2 to Appendix I^er Appendix 1^re of this Agreement may use a notice of contract scheduled as a market notice contemplated, provided that this notice contains a maximum of information possible among those referred to in Appendix IV of Appendix 1^re of this Agreement, as well as a declaration inviting suppliers interested in the contract to appear with the contracting entity.
ARTICLE 46
Conditions of participation
1. The contracting entity limits the conditions for market participation to those that are essential to ensure that a supplier has the legal and financial capabilities, as well as the commercial and technical skills required to perform the contract in question.
2. To assess whether a supplier meets the terms and conditions of participation, the contracting entity shall:
(a) assess the financial, commercial and technical capabilities of the supplier on the basis of the commercial activities carried out by the supplier both inside and outside the territory of the party to which the supplier reports;
(b) does not provide a condition for the participation of a supplier in a market that he or she has previously been awarded one or more contracts passed by a contracting entity of the party concerned or has a prior professional experience in the territory of that party; and
(c) may require relevant prior experience, if such experience is necessary to meet market conditions.
3. The contracting entity shall base its assessment on the conditions that it has previously specified in the notices or in the tender record.
4. Contracting entities must exclude suppliers in the event of, inter alia, bankruptcy, misrepresentation, serious breaches of substantive requirements and obligations in the execution of one or more previous contracts, serious criminal or public offences, professional misconduct or non-payment of taxes.
ARTICLE 47
Qualification of suppliers
Selective tendering procedure
1. When the contracting entity intends to use the selective tendering procedure, the contracting entity shall:
(a) indicates, in the notice of contract contemplated, at least the information referred to in (1), (2), 6, 7), 10, and 11) in Appendix IV to Schedule 1^re and invites suppliers to submit an application for participation; and
(b) Provides, as soon as the deadline for bidding begins to run, at least the information referred to in paragraphs (3), (4), (5), (8) and 9) of Appendix IV to Schedule 1^re of this Agreement to qualified suppliers that it informs as specified in paragraph 2, item (b), of Appendix VI to Schedule 1^re of this Agreement.
2. The contracting entities recognize as qualified suppliers all national suppliers and all those of the other party that meet the terms and conditions of participation in a particular market, unless they have indicated, in the market notice envisaged, a limit to the number of suppliers authorized to bid and the selection criteria applied.
3. In the event that the tender record is not made public at the date of publication of the notice referred to in subsection 1^erthe contracting entities shall ensure that it is communicated at the same time to all qualified suppliers that have been selected in accordance with paragraph 2.
Entities of sub-Annex 2
4. The contracting entities listed in Appendix 2 to Appendix I to Appendix 1 to this Agreement may hold a multi-use list provided that each year they publish a notice inviting interested suppliers to request their registration on this list and that, in the event of an electronic publication, this notice is permanently available in the appropriate media indicated in Appendix III to Appendix 1^re of this Agreement. This notice includes the information referred to in Appendix V of Appendix 1 to this Agreement.
5. Notwithstanding paragraph 4, in the case of multiple-use lists valid for a period of three years or less, the contracting entities listed in Appendix 2 to Appendix I^er Appendix 1^re this Agreement may only publish the notice referred to in this paragraph once, at the beginning of the validity period of the list, provided that the notice indicates the validity period and specifies that no subsequent notice will be published.
6. Contracting entities listed in Appendix 2 to Appendix I^er Appendix 1^re This agreement allows suppliers to request, at any time, a multi-use list and ensure that all qualified suppliers are registered within a reasonably short period of time.
The contracting entities listed in sub-Annex 2 to Appendix I to Appendix 1 to this Agreement may use, as a market notice contemplated, a notice inviting suppliers to request their registration on a multi-use list, provided that:
(a) the notice is published in accordance with paragraph 4 and includes the information required by Appendix V of Appendix 1^re of this Agreement, a maximum of information possible among those referred to in Appendix IV to Schedule 1^re of this Agreement, together with a statement indicating that it constitutes a proposed market notice;
(b) the entity shall, as soon as possible, communicate to the suppliers that have indicated their interest in a particular market sufficient information to allow them to assess their interest in the market in question, including the remainder of the information required by Appendix IV of Appendix 1^re to the extent available.
7. Contracting entities listed in Appendix 2 to Appendix I^er Appendix 1^re this Agreement may authorize a supplier who has requested to be registered on a multi-use list in accordance with paragraph 6 to submit to a particular tender, provided that they have sufficient time to ensure that the supplier meets the terms and conditions of participation.
8. Contracting entities listed in Appendix 2 to Appendix I^er Appendix 1^re this Agreement shall inform, as soon as possible, suppliers who have filed an application for participation or registration on a multi-use list of their decision in this regard.
9. When rejecting the application for qualification or registration on a multiple-use list of a supplier, cease to recognize the qualification of a supplier or delete a supplier from the multiple-use list, the contracting entities listed in Appendix 2 to Appendix I to Appendix 1 to this Agreement shall notify the supplier in question as soon as possible and, if so requested, shall promptly notify the supplier in question.
ARTICLE 48
Technical specifications
1. The contracting entity does not develop, adopt and apply any technical specification and does not require any conformity assessment procedure intended or intended to create unnecessary obstacles to international trade.
2. Where the contracting entity determines the technical specifications for the goods or services subject to the contract, if applicable:
(a) defines the technical specifications based on performance and operation criteria of the product rather than on descriptive or design characteristics; and
(b) base technical specifications on European standards, where they exist, if not on national technical regulations, recognized national standards or bunting codes.
3. In cases where descriptive or design features are used in the technical specifications, the contracting entity shall indicate, where appropriate, that it shall take into account the offers of equivalent goods or services that may be demonstrated that they meet the market conditions by adding terms such as "or equivalent" in the tender package.
4. The contracting entity does not establish technical specifications that require or mention a trade mark or trade name, a patent, copyright, drawing or model, a type, origin, producer or a specified supplier, unless there is no other means sufficiently precise or intelligible to describe the terms of the contract and, in such cases, the entity adds terms such as " or intelligible".
5. The contracting entity shall not solicit or accept, in a manner that would prevent competition, a notice that may be used for the establishment or adoption of a technical specification relating to a specific market, on the part of a person who may have a commercial interest in that market.
6. Each party, including its contracting entities, may, in accordance with this Article, develop, adopt or apply technical specifications to promote the conservation of natural resources or to protect the environment.
ARTICLE 49
Offer appeal file
1. The contracting entity shall provide suppliers with a tender record containing all information necessary to enable them to develop and submit valid bids. Unless this information is already included in the proposed Notice of Contract, this file will include a complete description of the elements listed in Appendix VIII to Appendix 1 to this Agreement.
2. Upon request, the contracting entity shall, as soon as possible, provide the tender record to all suppliers participating in the proceedings and respond to any reasonable request for information from them, provided that the requested information does not give them an advantage over their competitors for the award of the contract.
3. The contracting entity that, prior to the award of the contract, amends the criteria or requirements set out in the proposed notice of contract or in the tender record communicated to participating suppliers or amends a notice or tender record is required to communicate in writing all such amendments or the notice or tender record modified or republished:
(a) all suppliers who participated at the time the information was changed, if known, and, in any other case, in the same manner as the initial information; and
(b) in a timely manner to allow these suppliers to change their offers and to relocate them after modification, if applicable.
ARTICLE 50
Time limits
The contracting entity shall, in a manner consistent with its reasonable requirements, provide sufficient time for suppliers to develop and introduce valid applications for participation and offers, taking into account such factors as the nature and complexity of the market, the importance of subcontracts to be expected and the time necessary for the delivery of offers from abroad and the country itself when they are not transmitted electronically. These deadlines, including any extensions, are the same for all interested or participating suppliers. The applicable deadlines are set out in Appendix VI to Appendix 1^re of this Agreement.
ARTICLE 51
Negotiations
1. A party may provide that its contracting entities conduct negotiations:
(a) in the context of the public markets for which they indicated that they intended them in the proposed market notice; or
(b) where the assessment results that no offer is clearly the most advantageous according to the evaluation criteria specified in the notices or tender records.
2. The contracting entity:
(a) ensure that the elimination of suppliers participating in the negotiations is carried out according to the evaluation criteria set out in the market notices or tender records; and
(b) in cases where negotiations are completed, the same deadline for the submission of any new or revised offers by the remaining vendors.
ARTICLE 52
Limited tender procedure
Contracting entities may not use the limited tender procedure and decide not to apply Articles 45 to 47, 49 to 51, 53 and 54 only under the following conditions:
(a) when
(i) no offer or request for participation has reached them;
ii) no offer in accordance with the essential requirements of the tender record has been filed;
(iii) no supplier meets the terms and conditions of participation; or
(vi) bids submitted have been agreed upon;
provided that the essential conditions of the tender record are not substantially altered;
(b) where the goods or services may be provided only by a particular supplier and there is no other reasonable solution or alternative property or service, as a result of the fact that it is an art work, for reasons related to the protection of patents, copyrights or other exclusive rights or in the absence of competition for technical reasons;
(c) for additional deliveries made by the original supplier of goods and services not provided in the initial market when a supplier change:
(i) is impossible for economic or technical reasons such as the requirement for interchangeability or interoperability with existing equipment, software, services or facilities purchased as part of the initial tender; and
(ii) would be a major drawback or would result in a substantial duplication of costs for the contracting entity;
(d) to the extent that this is strictly necessary, where, for reasons of extreme urgency due to events that could not be provided by the contracting entity, open or selective procedures would not allow for the timely obtaining of products or services;
(e) for products purchased on a commodity market;
(f) where a contracting entity purchases a new prototype or product or service developed at its request in the course of the execution of a particular market for original research, experimentation, study or development and for the needs of that market;
(g) for purchases made under exceptionally advantageous conditions that occur only at very short notice, in the context of unusual flows of products such as those resulting from liquidation, judicial administration or bankruptcy, and not in the case of current purchases made from usual suppliers; and
(h) when the contract is awarded to the winner of a competition, provided that the competition has been organized in a manner consistent with the principles set out in this chapter, and that candidates are tried by an independent jury for the award of a contract to the winner.
ARTICLE 53
Electronic auctions
When the contracting entity intends to use the electronic auction as part of a specified market, before launching the auction, communicates to each participant:
(a) the automatic assessment method, including the mathematical formula, based on the evaluation criteria described in the bid solicitation file, which will be used to perform the automatic classification or reclassification during the auction;
(b) the result of any initial evaluation of the elements of its offer in cases where the market is awarded to the most advantageous offer, and
c) any other useful information on the course of the auction.
ARTICLE 54
Processing of offers and awarding of the market
1. The contracting entity adopts procedures for the receipt, opening and processing of bids that guarantee fairness and impartiality of the procurement process and the confidentiality of bids.
2. The contracting entity does not penalize a supplier whose offer reaches it out of time, when this delay is solely due to a processing error on its part.
3. When it gives a supplier the opportunity to correct involuntary errors of form between the opening of the offers and the award of the contract, the contracting authority gives the same opportunity to all participating suppliers.
4. To be considered for the purpose of awarding the contract, the tenders must be in writing, in accordance with, at the time of their opening, the essential requirements specified in the notices or tender records and be filed by a supplier meeting the terms and conditions of participation.
5. Unless the contracting entity decides that it is not in the public interest to award a contract, the contracting entity assigns the contract to the supplier to whom it has determined that it is fit to execute it and that, on the sole basis of the evaluation criteria specified in the notices and in the tender record, has presented the most advantageous offer or, where the price is the only criterion,
6. If a contracting entity receives an abnormally lower offer than the other bids submitted, it may verify to the supplier that it meets the terms and conditions of participation and that it is capable of performing the contract.
7. The contracting entity does not use options, does not cancel a contract, or does not modify the contracts awarded in such a way as to circumvent the obligations under this Agreement.
ARTICLE 55
Transparency of market information
1. The contracting entity shall inform participating suppliers as soon as possible of the decision it has taken regarding the award of the contract. It provides this information in writing if requested. Subject to the provisions of Article 56, paragraphs 2 and 3, the contracting entity shall, upon request, communicate to the suppliers excluded, the reasons for which their offer has been rejected, as well as the relative benefits of the tender retained.
2. Within seventy-two days after the award of each contract referred to in this chapter, the contracting entity shall publish a notice in the paper or electronic media indicated for that purpose in Appendix III. When it is only published electronically, the information is easily accessible for a reasonable period of time. The notice in question shall contain at least the information set out in Appendix VII to Appendix 1 to this Agreement.
ARTICLE 56
Disclosure of information
1. Each party shall provide, as soon as possible, at the request of the other party, all the information necessary to establish that the procurement process has been conducted in a fair and impartial manner, in accordance with the provisions of this chapter, including information on the characteristics and relative benefits of the offer. In the event that this disclosure is likely to adversely affect competition in subsequent tenders, the party that receives the information shall not disclose it to any supplier except after consultation and with the agreement of the party that communicated it.
2. Notwithstanding any other provision of this chapter, none of the parties, including its contracting entities, shall communicate to a supplier information that may adversely affect fair competition among suppliers.
3. Nothing in this chapter shall be construed as requiring a party, including its contracting entities, authorities and appeals bodies, to disclose confidential information whose disclosure would impede the application of the law, could adversely affect fair competition between suppliers, would prejudice legitimate commercial interests of data persons, including the protection of intellectual property, or would otherwise be contrary to the public interest.
ARTICLE 57
National remedies
1. Each party provides for a prompt, effective, transparent and non-discriminatory administrative or judicial review procedure that allows suppliers to challenge:
(a) an offence under this chapter; or
(b) where suppliers are not entitled to directly challenge an offence under this chapter under the national law of the party concerned, a failure to comply with the measures adopted by that party to implement this chapter;
in a targeted market for which the supplier had or had an interest. The procedural rules governing appeals are written and made public.
2. In the event of a complaint, filed by a supplier in the context of a market for which the supplier has or had an interest, indicating an offence or breach referred to in subsection 1^erthe party in question encourages its contracting entity and the supplier to seek to resolve the matter in consultation. In such cases, the contracting entity will consider the complaint as soon as possible and impartially, in a manner that does not involve the supplier in the current or future market or its right to request corrective action in the course of the administrative or judicial appeal proceedings.
3. It is compensated to each supplier sufficient time to prepare and file an appeal that is in no way less than ten days from the date on which it was aware of or reasonably should have known of the merits of it.
4. Each party shall establish or designate at least an impartial administrative or judicial authority, independent of its contracting entities, responsible for receiving and examining the appeal of a supplier in connection with the procurement of a contract.
5. Where an organ other than an authority referred to in paragraph 4 initially examines the appeal, the party concerned shall ensure that the supplier may appeal the original decision to an impartial administrative or judicial authority, independent of the contracting authority whose contract is contested. In cases where the body of appeal is not a court, either the body is subject to judicial review, or it has procedural guarantees under which:
(a) the contracting entity responds in writing to the complaint and discloses all relevant documents to the appeal body;
(b) participants in the proceedings (hereinafter "the participants") have the right to be heard before the appeal body decides;
(c) participants have the right to be represented and accompanied;
(d) Participants have access to all phases of the procedure;
(e) Participants have the right to request that the proceedings be public and that the presence of witnesses be admitted; and
(f) decisions or recommendations relating to supplier appeals are communicated promptly, in writing, and motivated.
6. Each party adopts or maintains procedures that provide:
(a) the adoption, as soon as possible, of interim measures to ensure that the supplier can participate in the market. These measures may result in the suspension of the procurement process. Procedures may provide that adversely affecting the interests concerned, including the public interest, may be taken into account when deciding whether such measures should be implemented. Any decision not to act is in writing; and
(b) in cases where the appeal body has established the existence of an offence or breach referred to in subsection 1^er, the adoption of corrective measures or compensation for the loss or damage suffered, which may be limited, either at the cost of supply development, or at the cost of recourse, or both.
ARTICLE 58
Additional negotiations
1. The parties review each year the proper functioning of this chapter and the mutual opening of public markets. No later than one year from the coming into force of this Agreement, the parties shall enter into negotiations with a view to extending the entity(s) listed in Schedules 1^re and 2 of Appendix I^er Appendix 1 to this Agreement.
2. As part of negotiations for accession to the WTO, Iraq will recognize its commitment to join the Plurilateral Agreement on Public Procurement (hereinafter referred to as "GPA").
ARTICLE 59
Asymmetrical speed and transitional measures
Due to its development, finance and trade needs, Iraq has the following transitional measures:
Iraq may provide for a temporary preferential price program under which a 5% price difference on goods and services and 10% on work is applicable to supplies and services of exclusively Iraqi suppliers;
The Preferential Price Program will be phased out over a ten-year period from the date this Agreement comes into force.
CHAPTER III
PROTECTION OF INTELLECTUAL PROPERTY
ARTICLE 60
Nature and extent of obligations
1. In accordance with the provisions of this Article and Annex 2 to this Agreement, Iraq shall, within a period of five years from the date of the entry into force of the Agreement, adopt legislative provisions guaranteeing adequate and effective protection of intellectual, industrial and commercial property rights in accordance with the strictest international standards, including the rules set out in the Agreement on Aspects of Intellectual Property Rights that Affect Trade (hereinafter "the ADP Agreement)
2. Within a period of three years from the entry into force of this Agreement, Iraq adheres to the multilateral conventions on intellectual, industrial and commercial property referred to in paragraph 2 of Annex 2 to this Agreement, to which Member States are parties or that they apply de facto according to the provisions contained therein.
3. Within three years from the date of entry into force of this Agreement, Iraq shall adhere to the multilateral conventions on the protection of intellectual, industrial and commercial property referred to in paragraph 3 of Annex 2 to this Agreement, to which one or more Member States are parties or one or more of them apply de facto according to the provisions contained therein.
4. The parties shall conduct regular review of the implementation of this Article and Annex 2 to this Agreement. When developing its legislation or if trade-related issues arise in the field of intellectual, industrial and commercial property, each party may request that consultations be held without delay in order to find mutually satisfactory solutions. Within three years of the coming into force of this Agreement, the parties shall enter into negotiations for the adoption of more detailed provisions on IPR.
5. Each party shall grant nationals of the other party no less favourable treatment than that granted to its own nationals in respect of the protection of intellectual property, subject to the exceptions already provided in the international instruments referred to in Annex 2 to this Agreement or which may, on occasion, be added to it, upon ratification by the Party concerned.
6. Upon the entry into force of this Agreement, Iraq grants, in respect of the recognition and protection of intellectual, industrial and commercial property, companies and nationals of the Union no less favourable treatment than that it reserves to any third country under bilateral agreements.
SECTION VI
DIFFERENDUM REGULATIONS
CHAPTER I^er
OBJECTIVE AND APPLIANCE CHAMP
ARTICLE 61
Objective
The purpose of this section is to prevent and resolve any dispute between the parties with a view to achieving, to the extent possible, a mutually satisfactory solution.
ARTICLE 62
Scope
This section applies to any dispute concerning the interpretation and application of the provisions of Part II of this Agreement, unless expressly provided otherwise.
CHAPTER II
CONCERTATIONS
ARTICLE 63
Concertations
1. The parties shall endeavour to resolve the various aspects of the interpretation and application of the provisions referred to in Article 62 by engaging in good faith consultation in order to achieve a mutually satisfactory solution.
2. The party wishing to initiate a consultation shall submit a written request to the other party with a copy to the Co-operation Committee, specifying any action in question and the provisions referred to in Article 62 that it considers applicable.
3. The consultation shall be held within 30 days of the date of submission of the application, within the territory of the party concerned, unless the parties agree otherwise. It is deemed to have been concluded within 30 days of that date unless both parties agree to pursue it further. The information exchanged during the dialogue remains confidential.
4. In urgent cases, including those where perishable or seasonal foodstuffs are at stake, the consultation is initiated within fifteen days of the date of application and is deemed to be concluded within fifteen days of that date.
5. If the consultation is not commenced within the time limits set out in paragraph 3 or paragraph 4, or if it concludes without an agreement on a mutually satisfactory solution, the requesting party has the power to request the establishment of a special arbitration group in accordance with section 64.
CHAPTER III
PROCEDURES FOR REGULATION OF DISTRIBUTIONS
ARTICLE 64
Engagement of arbitration proceedings
1. If the parties fail to resolve the dispute after resorting to the consultation provided for in section 63, the complainant may request the establishment of a special arbitration group.
2. The request for the establishment of a special adjudication group is addressed in writing to the opposing party and the Co-operation Committee. In its application, the complainant party specifies the specific measure in question and explains why this measure constitutes a violation of the provisions referred to in section 62 in sufficient detail to form the legal basis of the complaint.
ARTICLE 65
Constitution of the Adjudication Panel
1. A special arbitration group is composed of three arbitrators.
2. Within ten days of the submission of the application for the establishment of an ad hoc arbitration group to the Co-operation Committee, the parties shall agree on its composition.
3. If the parties fail to agree on the composition of the ad hoc arbitration group within the time limits set out in paragraph 2, each of the parties may request the chair of the Co-operation Committee or its representative to select the three members of the group by drawing from the list established under section 78, the first two of the persons proposed by the requesting party and the respondent party and the third among the persons who were selected by the two parties. If the parties agree on one or more members of the ad hoc panel, the remaining member(s) shall be selected according to the same procedure on the list.
4. In the presence of a representative of each party, the Chair of the Co-operation Committee or its representative shall select the arbitrators within five days of the application under paragraph 3 and from one of the parties.
5. The date of incorporation of the adjudication panel is the date on which the three arbitrators are selected.
6. If one of the lists referred to in section 78 is not established at the time of application under paragraph 3, the three arbitrators shall be drawn by lot among the persons formally proposed by either party or both.
ARTICLE 66
Interim report of the adjudication panel
The Adjudication Panel shall communicate to the parties an interim report outlining the findings on the merits, the applicability of the provisions concerned, and the fundamental justifications for its findings and recommendations, no later than in the noon days from its constitution. Each of the parties may request in writing that the panel review the specific aspects of its interim report within fifteen days of its notification. The findings of the final decision of the Ad Hoc Group include sufficient motivation for the arguments made during the interim review phase and clearly respond to the questions and comments of both parties.
ARTICLE 67
Adjudication panel decision
1. The adjudication panel shall issue its decision to the parties and the Co-operation Committee within one hundred and twenty days of its constitution. If the Panel finds that this deadline cannot be met, the Chair of the panel must notify the parties and the Co-operation Committee in writing, specifying the reasons for the delay and the date on which the panel intends to conclude its work. In no case can the adjudication panel render its decision more than one hundred and fifty days after its constitution.
2. In urgent cases, including those where perishable and seasonal foodstuffs are at stake, the adjudication panel is making every effort to make its decision within sixty days of its constitution. In no case can he make his decision more than seventy-five days after his constitution. Within ten days of its constitution, the Adjudication Panel may make a preliminary determination on whether it considers the matter urgent.
ARTICLE 68
Compliance with the decision of the Adjudication Panel
Each party shall take all necessary measures to comply in good faith with the decision of the adjudication panel, and the parties shall endeavour to agree on a reasonable time limit for compliance.
ARTICLE 69
Reasonable time for compliance
1. Thirty days after the parties have been informed of the decision of the adjudication panel, the party concerned shall communicate to the requesting party and the Co-operative Committee the time necessary to comply with that decision (hereinafter "reasonable time") if it cannot do so immediately.
2. In the event of disagreement between the parties on the reasonable period for compliance with the decision of the adjudication panel, the complainant party may request in writing to the initial adjudication panel, within twenty days of the notification made by the party concerned under subsection 1^erto set this deadline. This application is notified simultaneously to the other party and the Co-operation Committee. The adjudication panel shall notify the parties and the Co-operation Committee within 20 days of the date of submission of the application.
3. If the initial adjudication panel or some of its members are unable to meet again, the procedures set out in section 65 apply. The deadline for making a decision is thirty-five days from the date of submission of the application referred to in paragraph 2.
4. The reasonable period may be extended by mutual agreement between the parties.
ARTICLE 70
Review of measures taken to comply with the decision of the adjudication panel
1. Prior to the end of the reasonable period, the respondent shall inform the complainant and the Co-operation Committee of the measures it has taken to comply with the decision of the adjudication panel.
2. In the event of disagreement between the parties regarding the existence of a notified measure under paragraph 1^er or its compatibility with the provisions referred to in section 62, the complainant party may request in writing to the initial adjudication panel to rule on the matter. Such a request specifies the specific measure in question and explains how it is incompatible with the provisions referred to in Article 62. The adjudication panel shall notify its decision within forty-five days of the date of submission of the application.
3. If the initial adjudication panel or some of its members are unable to meet again, the procedures set out in section 65 apply. The notice period of the decision shall be sixty days from the date of submission of the application referred to in paragraph 2.
ARTICLE 71
Temporary non-compliance measures
1. If, prior to the expiry of the reasonable period, the party concerned does not notify the action taken to comply with the decision of the adjudication panel or the adjudication panel finds that the notified measure under section 70, paragraph 1^er, is incompatible with the obligations of that party under the provisions referred to in section 62, the party concerned makes, if invited by the complainant party, an offer of temporary compensation to the complainant party.
2. In the absence of an agreement on compensation within thirty days of the expiry of the reasonable period or the decision of the adjudication panel referred to in section 70, that the compliance measure that has been taken is not consistent with the provisions referred to in section 62, the complainant party shall, after notification to the party concerned and the Co-operative Committee, be entitled to suspend the obligations arising out of any provision referred to in section 62 The complainant party may implement the suspension ten days after the notification date, unless the party concerned has requested an arbitration procedure, in accordance with paragraph 3.
3. If the party concerned considers that the level of suspension is not equivalent to the level of cancellation or reduction of benefits due to the violation, the party may request in writing to the initial adjudication panel to decide on the matter. This application is notified to the complainant and the Cooperation Committee before the expiry of the 10-day period referred to in paragraph 2. The initial adjudication panel shall notify its decision on the level of suspension of obligations to the parties and the Co-operation Committee within 30 days of the date of submission of the application. Obligations may not be suspended until the initial adjudication panel has made its decision and any suspension is consistent with the adjudication panel decision.
4. If the initial adjudication panel or some of its members are unable to meet again, the procedures set out in section 65 apply. The decision shall be communicated within forty-five days from the date of submission of the application referred to in paragraph 3.
5. The suspension of obligations is temporary and is only applied until the measure found to be incompatible with the provisions of section 62 has been withdrawn or amended to bring it into conformity with the said provisions, as determined under section 72, or until the parties have reached an agreement to resolve the dispute.
ARTICLE 72
Review of compliance measures adopted after suspension of obligations
1. The party concerned shall notify the complainant and the Co-operation Committee of any action it has taken to comply with the decision of the adjudication panel, as well as of its request that the complainant end the suspension of the obligations.
2. If, within 30 days of the date of receipt of the notification, the parties fail to agree on the compatibility of the notified measure with the provisions referred to in section 62, the complainant party shall, in writing, request the initial adjudication panel to take a decision on the matter. This request is notified simultaneously to the involved party and the Cooperation Committee. The adjudication panel shall notify the parties and the Co-operation Committee within forty-five days from the date of submission of the application. If it decides that the measure adopted to comply with the decision is consistent with the provisions referred to in Article 62, the suspension of the obligations shall end.
3. If the initial adjudication panel or some of its members are unable to meet again, the procedures set out in section 65 apply. The decision shall be communicated within sixty days from the date of submission of the application referred to in paragraph 2.
ARTICLE 73
Agreed solution of common agreement
Parties may at any time agree on a mutually satisfactory solution to a dispute under this section. They notify the Co-operation Committee and the ad hoc arbitration group of this solution. Upon receipt of the notification, the ad hoc arbitration group shall terminate its work and the procedure shall be closed.
ARTICLE 74
Rules of procedure
1. The dispute settlement procedures defined in this section are governed by the rules of procedure and the code of conduct adopted by the Cooperation Committee.
2. The parties may decide to amend the rules of procedure and the code of conduct.
3. Adjudication panel sessions are open to the public in accordance with the rules of procedure.
ARTICLE 75
Specialized information and advice
At the request of a party or at its own initiative, the adjudication panel may obtain information from any source, including parties interested in the dispute, if it considers it appropriate for the arbitration proceedings. He is also authorized to seek the expert advice, if he considers it necessary. Any such information shall be communicated to each of the parties and submitted to their comments. In accordance with the rules of procedure, natural or legal persons established in the territory of the parties are entitled to submit, as amicus curiae, submissions to the ad hoc arbitration group.
ARTICLE 76
Rules of interpretation
Any ad hoc arbitration group shall interpret the provisions referred to in Article 62 under the customary rules of interpretation of public international law, including those codified in the Vienna Convention on the Law of Treaties. Decisions of the adjudication panel may not increase or decrease the rights and obligations set out in the provisions referred to in section 62.
ARTICLE 77
Adjudication panel decisions
1. The Adjudication Panel makes every effort to make its decisions by consensus. However, if it is impossible to reach a decision by consensus, the question is decided by a majority of votes. In no case will a dissenting opinion be made public.
2. Any decision of the adjudication panel is binding on the parties and does not create any right or obligation for natural or legal persons. The decision sets out the findings on the merits, the applicability of the provisions of the agreement concerned and the basic justifications for the findings and conclusions. The Co-operation Committee shall make public the decisions of the ad hoc panel in their entirety, unless it decides otherwise to guarantee the confidentiality of confidential business information.
CHAPTER IV
GENERAL PROVISIONS
ARTICLE 78
List of arbitrators
1. The Co-operation Committee shall establish, within six months of the entry into force of the agreement, a list of fifteen persons who are willing and capable of acting as arbitrators. Each party offers five people for this purpose. Both parties also select five persons who are not nationals or both to serve as president. The Cooperation Committee ensures that the list is maintained at its full strength.
2. Arbitrators are, through their training or experience, specialists in international law and trade. They are independent, sit on a personal basis, take no instructions from any organization or government, have no ties with the government of any of the parties, and observe the code of conduct.
ARTICLE 79
Relationship to WTO obligations
1. In the expectation of Iraq's accession to the WTO, arbitration groups shall adopt an interpretation fully consistent with the relevant decisions of the WTO Dispute Settlement Body in the case of a decision on the alleged non-compliance of a provision referred to in Article 62 that includes or mentions a provision under the WTO Agreement.
2. As soon as Iraq joined the WTO, paragraphs 3 to 6 apply.
3. The recourse to the dispute settlement provisions of this section is without prejudice to any action brought under the WTO, including a dispute settlement action.
4. However, where a party has commenced a dispute settlement procedure under a particular measure either under section 64, paragraph 1^erin this section, either under the WTO Agreement, it may not initiate any dispute settlement proceedings on the same measure before the other proceeding before the conclusion of the first proceedings. In addition, a party cannot seek compensation for the violation of an obligation that is identical in the Agreement and in the WTO agreement before both bodies. In such a case, once a dispute settlement procedure has been opened, the said party may not file an application for compensation for the violation of the identical obligation under the other agreement before the other proceeding, unless the proceeding before it does not decide on the application for procedural or judicial reasons.
5. For the purposes of paragraph 4:
(a) dispute settlement procedures under the WTO Agreement shall be deemed to be open once a party requests the establishment of a special group under Article 6 of the WTO Memorandum of Understanding on Rules and Procedures Governing the Settlement of Disputes and shall be deemed to be completed when the Dispute Settlement Body adopts the report of the panel and the report of the Appellate Body as appropriate,
(b) dispute settlement procedures under this section shall be deemed to be open as a party requests the establishment of a special arbitration group under section 64, paragraph 1^er, and are deemed to be completed when the ad hoc arbitration group notifies its decision to the parties and Co-operation Committee under section 67.
6. Nothing in this section hinders the implementation by a party of a suspension of its obligations authorized by the WTO Dispute Settlement Body. The WTO Agreement cannot be invoked to prevent a party from suspending its obligations under Part II of this Agreement.
ARTICLE 80
Time limits
1. All deadlines set out in this section, including the deadlines for notification of decisions of adjudication panels, are the number of calendar days following the act or the fact to which they relate.
2. Any period referred to in this section may be extended by mutual consent of the parties.
PART III
COOPERATION DOMAINE
ARTICLE 81
Financial and technical assistance
1. In order to achieve the objectives of this Agreement, Iraq has a technical and financial assistance provided by the Union in the form of non-refundable aids to accelerate its economic and political transformation.
2. This assistance is the cooperation in the development of the Union in the regulations of the European Parliament and the Council on this matter. The objectives pursued and the areas covered by the Union's assistance are defined in an indicative programme reflecting the agreed priorities between the two parties based on the needs and development strategies of Iraq, its sectoral capacity for absorption and the evolution of its reforms.
3. The parties ensure close coordination between the Union's technical assistance and those of other stakeholders. The policy of development cooperation and international action of the Union is guided by the Millennium Development Goals of the United Nations and the main objectives and principles of development approved within the framework of the United Nations and other relevant international organizations. In the implementation of the Union's development policy, full consideration will be given to the principles of aid effectiveness, including the Paris Declaration of 2 March 2005 and the Accra Programme of Action.
4. Without prejudice to the provisions relating to mutual legal assistance, the party receiving technical or financial assistance shall promptly respond to requests for administrative cooperation from the competent authorities of the other party, with the aim of intensifying the fight against fraud and irregularities in the framework of the assistance provided by the Union.
5. The Government of Iraq designates an anti-fraud correspondent responsible for effective cooperation with EU institutions and bodies, including the European Court of Auditors and the European Anti-fraud Office, in particular with regard to the implementation of their audit and control measures in the field of the protection of the financial interests of the Union.
ARTICLE 82
Cooperation in social and human development
Cooperation in this area will affirm the social dimension of globalization and recall the link between social development, economic development and sustainable development from an environmental perspective. It will also highlight the importance of reducing poverty, promoting human rights and fundamental freedoms for all, including for vulnerable groups and displaced populations, as well as meeting the essential health, education and employment needs. Cooperation activities in all these areas will include focusing attention on capacity-building and institutions taking into account the principles of inclusion, good governance and sound and transparent management.
ARTICLE 83
Education, training and youth
1. The parties strive to promote cooperation in the areas of education, training and youth, on the basis of mutual benefit, taking into account the available resources and promoting equality between women and men.
2. The parties particularly encourage the exchange of information, know-how, students, academics, technical resources, young people and young workers, as well as capacity-building, using the mechanisms established under existing cooperation programmes and drawing on the experience gained by both parties in this area.
3. Both parties also agree to intensify cooperation between their higher education institutions within the framework of such schemes as the Erasmus Mundus program and thus contribute to the excellence and internationalization of their educational systems.
ARTICLE 84
Employment and social development
1. The parties agree to strengthen cooperation in the field of employment and social affairs, including cooperation in social cohesion, decent work, health and safety in the workplace, labour legislation, social dialogue, human resources development and equality between women and men in order to promote full and productive employment and decent work for all as the foundations of sustainable development and poverty reduction.
2. The parties reaffirm their commitments to promote and effectively implement internationally recognized social norms and labour standards. All actions undertaken by the parties under this Agreement shall take into account the implementation of relevant multilateral social and labour agreements.
3. Cooperation may take, inter alia, the following forms: specific programmes and projects agreed upon by mutual agreement, dialogue, capacity-building, cooperation and initiatives on topics of common interest, bilaterally or multilaterally.
4. The parties agree to involve social partners and other stakeholders interested in dialogue and cooperation.
ARTICLE 85
Civil society
The parties recognize the role and potential contribution of an organized civil society, in particular at the academic level and the links between think-tanks, to the dialogue and cooperation process envisaged under this Agreement and agree to promote genuine dialogue with the same organized civil society, as well as its effective participation.
ARTICLE 86
Human rights
1. The parties agree to cooperate in the promotion and effective protection of human rights, including by ensuring the ratification and implementation of international human rights instruments, by providing technical assistance, training and capacity-building where appropriate. The parties are aware that any programme of cooperation and development that does not defend, strengthen or respect human rights is intended to have limited benefits.
2. Human rights cooperation includes, inter alia:
(a) the strengthening of relevant governmental human rights institutions and non-governmental organizations active in this field;
(b) the promotion of human rights and awareness-raising on this issue at the national and local levels, including within the public administration, the judicial system and law enforcement bodies, with a focus on the rights of women and children;
(c) the development of Iraqi legislation in accordance with international humanitarian law and international human rights law;
(d) cooperation and exchange of information with United Nations human rights institutions;
(e) supporting the Iraqi government's efforts to ensure a proper standard of living for the citizens of Iraq and to safeguard their political, economic, social and cultural rights without discrimination;
(f) support for national reconciliation and the fight against impunity;
(g) the establishment of a broad dialogue on human rights.
ARTICLE 87
Industrial policy and policy cooperation on small and medium-sized enterprises
1. Cooperation in this area aims to facilitate the restructuring and modernization of the Iraqi industry while stimulating its competitiveness and growth and creating conditions conducive to mutually beneficial cooperation between the Iraqi industry and the Union industry.
A. General
2. Cooperation:
(a) promotes a comprehensive industrial strategy in Iraq that takes into account the current reality of industrial enterprises in the public and private sectors;
(b) Encourages Iraq to restructure and modernize its industry in conditions that ensure environmental protection, sustainable development and economic growth;
(c) Encourages the development of a climate conducive to private industrial initiative to stimulate and diversify production for local markets and export markets;
(d) contributes to creating an environment that can stimulate the growth and diversification of industrial production from a sustainable development perspective;
(e) promote the exchange of information relevant to joint cooperation in the industrial sectors;
(f) Encourage the application of technical regulations, standards and conformity assessment procedures adopted at the EU and at the international level to facilitate the integration of Iraq into the world economy and to establish regular exchanges between the standardization bodies of both parties;
(g) contributes to creating a climate conducive to industrial activity;
(h) promotes and encourages the improvement of information assistance services as essential factors for the growth of business activity and economic development;
(i) develop relations between industrial operators of the parties (businesses, professionals, sectoral organizations and other professional organizations, trade union movements, etc.);
(j) encourage joint industrial projects, as well as the creation of joint ventures and the development of information networks.
B Small and medium-sized enterprises
3. The parties, taking into account their respective economic policies and objectives, agree to stimulate cooperation in industrial policy in all areas that they consider appropriate, with a view to improving the competitiveness of small and medium-sized enterprises (SMEs).
4. The parties:
(a) seek to develop and strengthen SMEs and to encourage cooperation among SMEs;
(b) develop assistance to meet the needs of microenterprises and small and medium-sized enterprises in terms of financing, vocational training, technology, marketing or innovation, as well as assistance for other conditions necessary for the creation of SMEs, such as business nurseries, and other areas where action is required;
(c) support SME activities through the development of appropriate networks; and
(d) facilitate cooperation between companies by supporting the cooperative initiatives of the private sectors of the two parties through the creation of links between operators of the private sector of Iraq and the Union in order to improve the flow of information.
ARTICLE 88
Cooperation in the field of investment
1. The parties cooperate to create a climate conducive to investment, both domestic and foreign, and to ensure adequate protection of investment, capital transfers and exchange of information on investment opportunities.
2. The parties agree to encourage the promotion and protection of investment on the basis of the principles of non-discrimination and reciprocity.
3. The parties encourage the exchange of information on legislative and regulatory provisions, as well as on administrative practices in the area of investment.
4. The parties undertake to encourage cooperation between their respective financial institutions with a view to facilitating investment.
5. In order to facilitate investment and trade, the Union is prepared to support, where appropriate, Iraq's efforts to bring its legislative and regulatory frameworks closer to those of the Union in the areas covered by the agreement.
ARTICLE 89
Industrial standards and conformity assessment
With respect to standards, technical regulations and conformity assessment, parties may cooperate in the following areas:
1. the promotion, in the territory of the parties, of an increased use of international standards with respect to technical regulations and conformity assessment, in particular sectoral measures, and the intensification of cooperation between the parties in the work of relevant international organizations and institutions;
2. supporting Iraqi capacity-building initiatives in standardization, conformity assessment, registration, metrology and market surveillance;
3. promoting and encouraging bilateral cooperation among organizations responsible for standardization, conformity assessment, registration, metrology and market surveillance in Iraq and the Union;
4. the adoption of common views on good regulatory practices, including:
(a) transparency in the development, adoption and application of technical regulations, standards and conformity assessment procedures;
(b) the need and proportionality of regulatory measures and associated conformity assessment procedures, including the use of supplier compliance declaration;
(c) the use of international standards as a basis for the development of technical regulations, except where such standards constitute an ineffective or inappropriate means of achieving the legitimate objectives pursued;
(d) the application of technical regulations and market surveillance activities;
5. strengthening regulatory, scientific and technical cooperation, inter alia, to the exchange of information, experiences and data, with a view to improving the quality and level of technical regulations and effectively using regulatory resources;
6. improved compatibility and convergence of technical regulations, standards and conformity assessment procedures.
ARTICLE 90
Cooperation in agriculture, forestry and rural development
The objective is to promote cooperation in the sectors of agriculture, forestry and rural development in order to encourage diversification, environmentally friendly practices, sustainable economic and social development and food security. The parties shall consider for this purpose:
(a) capacity-building and training activities for public institutions;
(b) measures to improve the quality of agricultural products, to develop the capacity of producer associations and to support trade promotion activities;
(c) measures relating to environmental health, animal and phytosanitary measures and other related aspects, taking into account the legislation in force for both parties, in accordance with the rules of the World Trade Organization and multilateral environmental agreements;
(d) measures related to the sustainable socio-economic development of rural territories, including environmentally friendly practices, forestry, research, the transfer of know-how, access to land, water management and irrigation, sustainable rural development and food security;
(e) measures related to the preservation of traditional agricultural knowledge that shape the identity of populations, including cooperation in terms of geographical indications, exchanges of local experiences and the establishment of cooperative networks;
(f) the modernization of the agricultural sector, including production methods, and product diversification.
ARTICLE 91
Energy
1. The parties strive to improve cooperation in the energy sector, in accordance with the principles of freedom, competitiveness and open markets, with the aim of:
(a) improve energy security while preserving the environment in the long term and promoting economic growth;
(b) establish institutional, legislative and regulatory frameworks in the energy sector to ensure the proper functioning of the market and to stimulate investment in the energy sector;
(c) to develop and encourage partnerships between EU and Iraq companies in the fields of prospecting, production, processing, transport, distribution and services in the energy sector;
(d) to establish a regular and effective dialogue on energy between the parties and at the regional level, including within the framework of the Euro-Arab gas market in the Machrek and other regional initiatives.
2. To this end, the parties agree to promote mutually beneficial contacts in order to:
(a) support the development by Iraq of an appropriate energy policy, as well as the establishment of the regulatory framework and related infrastructure, in accordance with the principles of environmental sustainability, good management of energy resources, as well as freedom, competitiveness and openness of the market;
(b) to cooperate in improving administrative and legal capacity and to establish the stable and transparent legal framework necessary to stimulate economic activity and international investment in the energy sector in Iraq;
(c) to encourage technical cooperation in the areas of prospecting and exploitation of Iraqi oil and natural gas reserves, as well as the development and modernization of oil and gas infrastructure, including transport and transit networks to the Machrek region, to other markets under a regional initiative in the matter and to the Union market;
(d) improve the reliability of the power supply system in Iraq;
(e) to intensify cooperation to improve energy security and to combat climate change by promoting renewable energy sources, energy efficiency and the reduction of gas torching;
(f) facilitate the exchange of know-how and technology transfer, the dissemination of best practices, and the training of professionals;
(g) to encourage Iraq's participation in the regional integration process of energy markets.
ARTICLE 92
Transport
1. Parties shall endeavour to improve cooperation in the transport sector so as to establish an efficient and sustainable transport system, with the aim of:
(a) to stimulate transport development and interconnections while preserving the environment in the long term and promoting economic growth;
(b) to develop institutional, legislative and regulatory frameworks across the transportation sector to ensure the proper functioning of the market and to stimulate investment;
(c) develop and encourage partnerships between EU and Iraq companies in the areas of prospecting, capacity-building, infrastructure development, safety and security and services in the transport sector;
(d) to establish a regular and effective dialogue on transport between the parties and at the regional level, including within the framework of Euro-Mediterranean cooperation in the transport sector and other regional initiatives.
2. To this end, the parties agree to promote mutually beneficial contacts in order to:
(a) support the development of a transport policy conducive to the development of all modes of transport and the establishment of its regulatory framework, as well as the rehabilitation and modernization of transport infrastructure in Iraq, with emphasis on the importance of sustainability; to ensure the intermodality and integration of all modes of transport; to examine the possibility of further aligning legislative and regulatory frameworks with European and international standards, in particular in the areas of safety and security;
(b) work jointly to improve/recover administrative and legal capacity to develop specific plans for priority sectors and to establish the stable and transparent legal framework necessary to stimulate international economic activity and investment in the transportation sector in Iraq, building on EU practices and policies, and to establish the necessary independent regulatory authorities;
(c) to promote technical cooperation in the areas of prospecting and development of all transport sectors in Iraq, as well as the development and modernization of transport infrastructure, including interconnections with the Machrek transport networks, other markets under a regional initiative in this area and the Union;
(d) improve the reliability of transport flows to Iraq and transit through its territory;
(e) to facilitate the exchange of know-how and technology transfer, the dissemination of best practices, as well as the training of professionals, key aspects of cooperation that are prioritized;
(f) to encourage the participation of Iraq in the interconnection process in regional transport systems;
(g) to implement a national aviation policy, including the development of airports and the management of air traffic, and to continue to strengthen administrative capacity (including by establishing an autonomous civil aviation authority to the actual regulatory functions), to negotiate a "horizontal" air transport agreement in order to restore the legal security of bilateral air transport agreements and to examine the possibility of negotiating a comprehensive Union-Iraq aviation agreement.
ARTICLE 93
Environment
1. The parties agree to strengthen and intensify their efforts to protect the environment, particularly with regard to climate change, sustainable management of natural resources and the preservation of biological diversity as the foundations for the development of present and future generations.
2. The parties agree that cooperation in this area should promote environmental protection from a sustainable development perspective. The result, defined by mutual agreement, of the global summit on sustainable development will be taken into account in all activities undertaken by the parties under this Agreement.
3. Cooperation in this area will, inter alia, focus on:
(a) the exchange of technical information and expertise in the field of the environment (e.g., on urban issues, nature protection, water and waste management, disaster management, etc.);
(b) Encouragement and promotion of regional cooperation in environmental protection, including investments in environmental programmes and projects;
(c) promoting environmental awareness and increased participation of local populations in efforts to protect the environment and sustainable development;
(d) supporting capacity-building in the field of the environment with a view, for example, to mitigate and adapt to the effects of climate change;
(e) cooperation in negotiating and implementing multilateral environmental agreements;
(f) Encouragement of exchanges of technical assistance in environmental programming and consideration of environmental considerations in other areas of action;
(g) support for analysis and research in the environmental sector.
ARTICLE 94
Telecommunications
The parties shall cooperate with a view to:
(a) to stimulate the exchange of information on existing legislation and possible future legislative reforms in the telecommunications sector in order to enable a better understanding of their respective regulatory frameworks;
(b) to exchange information on the evolution of information and communications technology and standards.
ARTICLE 95
Science and technology
1. The parties shall promote, in their mutual interest, cooperation in the field of civil scientific research and technological development (DRT) and, taking into account available resources, appropriate access to their respective research programmes, subject to the effective and adequate protection of intellectual, industrial and commercial property rights.
2. Cooperation in science and technology includes:
(a) exchanges of scientific and technological cooperation; programmes;
(b) organization of joint scientific meetings;
(c) joint RDT activities;
(d) the implementation of training activities and mobility programmes for scientists, researchers and specialists in the research and technological development of both parties.
3. Such cooperation shall be implemented in accordance with specific arrangements, negotiated and concluded in accordance with the procedures adopted by each party, which shall, inter alia, establish appropriate provisions on intellectual property rights.
ARTICLE 96
Customs and tax cooperation
1. The parties shall establish customs cooperation, including on training, simplification of formalities, procedures and customs documents, prevention, investigation and punishment of violations of customs regulations in order to ensure compliance with all trade provisions that are planned to adopt and bring the Iraqi Customs system closer to that of the Union.
2. Without prejudice to their respective competencies and with a view to strengthening and developing economic activities while taking into account the need to develop an appropriate regulatory framework, the parties recognize the principles of good governance, including the principles of transparency, exchange of information and fair tax competition, and undertake to apply them in the tax field. To this end, in accordance with their respective competences, they improve international cooperation in the tax field and put in place measures for the effective implementation of the above-mentioned principles.
ARTICLE 97
Statistical cooperation
The parties agree to encourage cooperation activities in the field of statistics, which will aim to strengthen institutions, capacities and the national statistical system, including the development of statistical methods, as well as the production and dissemination of statistics on trade in goods and services and, more generally, on any other area in support of national socio-economic development priorities covered by this Agreement and lending itself to statistical processing.
ARTICLE 98
Macroeconomic stability and public finances
1. The parties agree that it is important for Iraq to achieve macroeconomic stability through a sound monetary policy aimed at achieving and maintaining price stability, as well as a fiscal policy aimed at ensuring debt sustainability.
2. The parties agree that it is important to ensure the efficiency and transparency of public spending, as well as the obligation to justify these expenditures at the national and local levels in Iraq.
3. The parties agree to cooperate, among other things, to improve the Iraqi public finances management system by, inter alia, targeting the completeness of budget programming and the creation of a single cash account.
ARTICLE 99
Private sector development
The parties agree to cooperate in the development of a market economy in Iraq, by improving the investment climate, diversifying economic activity, making progress in the implementation of the privatization program, as well as improving the other conditions necessary to accelerate the creation of jobs in the private sector.
ARTICLE 100
Tourism
1. The parties advocate an improvement in their cooperation to ensure a sustainable and balanced development of tourism and related aspects.
2. The parties therefore agree to develop cooperation in the field of tourism and, in particular, to exchange information, experiences and best practices with regard to the organization of the institutional framework of the tourism sector and the general framework in which companies in this sector evolve.
ARTICLE 101
Financial services
The parties cooperate in the reconciliation of their rules and standards, including:
(a) Strengthen the financial sector in Iraq;
(b) improve systems for accounting, monitoring and regulating banks, insurance and other financial sectors in Iraq;
(c) to exchange information on laws in force or under development,
d) develop compatible audit systems.
PART IV
JUSTICE, LIBERTE AND SECURITY
ARTICLE 102
Rule of law
1. As part of their cooperation in the areas of justice, freedom and security, the parties demonstrate a constant commitment and attach particular importance to the principle of the rule of law, including the independence of the judicial system, access to justice and the right to a fair trial.
2. The parties will cooperate to continue to improve the functioning of law enforcement institutions and to administer justice, including capacity-building.
ARTICLE 103
Legal cooperation
1. The parties agree to develop judicial cooperation in civil matters, in particular with regard to the ratification and implementation of multilateral conventions relating to judicial cooperation in civil matters, including the Hague Conference on Private International Law relating to international mutual legal assistance, international litigation and the protection of children.
2. The parties agree to facilitate and encourage the use of alternative dispute resolution methods for private civil and commercial disputes whenever applicable international instruments permit.
3. With regard to cooperation in criminal matters, the parties are working to strengthen cooperation in mutual legal assistance and extradition. These include adherence to and implementation of the United Nations international instruments in this regard, including the Rome Statute establishing the International Criminal Court referred to in Article 7 of this Agreement.
ARTICLE 104
Protection of personal data
1. The parties agree to cooperate in order to align the level of protection of personal data with the highest international standards, including the United Nations guidelines for the regulation of computerized personal data files (General Assembly of the United Nations resolution 45/95 of 14 December 1990).
2. Cooperation in the protection of personal data may include technical assistance in the form of an exchange of technical information and expertise.
ARTICLE 105
Cooperation in migration and asylum
1. The parties reaffirm the importance they attach to joint management of migratory flows between their territories. In order to strengthen their cooperation, they engage in a broad dialogue on all migration issues, including clandestine immigration, smuggling of migrants and trafficking in human beings, as well as addressing migration issues in national strategies for socio-economic development in the regions of origin of migrants.
2. Cooperation is based on an assessment of the specific needs carried out in consultation by the parties and is implemented in accordance with the EU legislation and the national legislation in force. It focuses on:
(a) The root causes of migration;
(b) the development and implementation of national laws and practices in the field of international protection, with a view to complying with the provisions of the 1951 Geneva Convention on the Status of Refugees, its 1967 Protocol and other international instruments in this field and to ensure respect for the principle of non-refoulement, while recognizing that Iraq is not yet a party to the 1951 Geneva Convention on the Status of Refugees and its 1967 Protocol,
(c) the rules of admission, as well as the rights and status of persons admitted, the equitable treatment and integration of non-citizens in a regular situation in society, education and training and measures to combat racism and xenophobia;
(d) the development of an effective preventive policy against illegal immigration, smuggling of migrants and trafficking in human beings, including on how to combat networks and criminal organizations of smugglers and traffickers and to protect victims of such trafficking;
(e) the return, in human and dignified conditions, of persons illegally residing in the territory of a country, including the encouragement of their voluntary return, and their readmission, in accordance with paragraph 3;
(f) visas, including on points of common interest, as part of the existing Schengen acquis;
(g) border management and control, particularly with regard to the organization, training, best practices and any other measures applied on the ground, as well as, where appropriate, the provision of equipment for which it is necessary to bear in mind that they can be duly used.
3. As part of the cooperation to prevent and control illegal immigration, the parties also agree to re-enter their clandestine migrants. To this effect:
(a) Iraq shall reclaim its own nationals who do not fulfil or otherwise fulfil the conditions of entry, presence or residence applicable in the territory of a Member State of the Union, at the request of the Union and without other formalities;
(b) and each Member State of the Union shall grant its own nationals who do not meet or no longer meet the conditions of entry, presence or residence applicable in the territory of Iraq, at the request of the latter and without other formalities.
4. The Member States of the Union and Iraq provide their nationals with appropriate documents confirming their identity in order to allow them to travel for this purpose. When the person to be remitted does not have any documents or other evidence of his or her nationality, the competent diplomatic and consular representations of the Member State concerned or Iraq shall, at the request of Iraq or the Member State concerned, take the necessary arrangements to speak with that person in order to establish his or her nationality.
5. In this context, the parties agree to conclude, at the request of either of them as defined in Article 122 and as soon as possible, an agreement on the prevention and control of illegal immigration and on the specific procedures and obligations governing readmission that will also, if the parties deem it necessary, cover the readmission of nationals from other countries and stateless persons.
6. Cooperation in this area fully respects the rights, obligations and responsibilities of the parties under international law in this field and international humanitarian law.
ARTICLE 106
Combating organized crime and corruption
The parties agree to cooperate and contribute to the fight against organized, economic and financial crime, and against corruption, counterfeiting and illegal transactions, in full compliance with their international mutual obligations in this field, including through effective cooperation in the collection of assets or funds from acts of corruption. They support the implementation of the United Nations Convention against Transnational Organized Crime and its additional protocols and the United Nations Convention against Corruption.
ARTICLE 107
Combating money-laundering and the financing of terrorism
1. The parties agree on the need to work and cooperate to prevent their financial systems from being used for money laundering from criminal activities, including drug trafficking and corruption, and the financing of terrorism.
2. The parties agree to cooperate with administrative and technical assistance aimed at developing and implementing regulations and improving the operation of mechanisms to combat money-laundering and the financing of terrorism. This cooperation extends to the recovery of assets or funds from criminal acts.
3. Cooperation will enable the exchange of useful information within the framework of their respective legislation and the adoption of appropriate standards to combat money laundering and the financing of terrorism, equivalent to those adopted by the Financial Action Group on Money Laundering (hereinafter "FATF"), by the Union and by international organizations active in this area.
ARTICLE 108
Combating illicit drugs
1. In accordance with their respective legislation and regulations, the parties shall endeavour to reduce the supply, traffic and demand of illicit drugs and their impact on drug users and society as a whole and to prevent more effectively the diversion of chemical precursors used in the illicit manufacture of narcotic drugs and psychotropic substances. As part of their cooperation, they ensure that a comprehensive and balanced approach is adopted to achieve this objective through effective action and coordination among the relevant authorities, including health, education, social services, law enforcement and justice sectors, and law enforcement regulations.
2. The parties agree on the methods of cooperation necessary to achieve these objectives. The actions are based on common principles inspired by the international conventions in force in this area, the political declaration and the special declaration on the directions to be followed to reduce the demand for narcotic drugs, adopted in June 1998 at the twentieth special session of the United Nations General Assembly on drugs.
ARTICLE 109
Cultural cooperation
1. The parties undertake to encourage bilateral cooperation in the field of culture in order to improve their mutual understanding and foster their cultural relations.
2. The parties support the exchange of technical information and expertise, as well as initiatives that contribute to capacity-building, particularly with regard to the preservation of cultural heritage.
3. The parties are intensifying their cooperation in combating illicit trafficking in cultural property, in accordance with the Security Council resolution on the issue of Iraq. They promote the ratification and effective implementation of international agreements in this area, including the 1970 UNESCO Convention on Measures to Prohibit and Prevent the Illicit Import, Export and Transfer of Ownership of Cultural Property.
4. The parties encourage intercultural dialogue between people, cultural institutions and organizations representing the organized civil society of the Union and Iraq.
5. The parties coordinate their efforts in international forums, including within the framework of UNESCO and/or other international bodies, to promote cultural diversity, in particular with regard to the ratification and implementation of the UNESCO Convention on the Protection and Promotion of the Diversity of Cultural Expressions.
ARTICLE 110
Regional cooperation
1. The parties agree that cooperation should contribute to facilitating and supporting stability in Iraq and its integration into the region. To this end, they agree to promote activities aimed at strengthening relations with Iraq, its neighbouring countries and other partners in the region.
2. The parties accept the principle that their cooperation may extend to actions undertaken within the framework of cooperation agreements with other countries in the same region, provided that such actions are consistent with this Agreement and in accordance with their interests.
3. Without excluding any domain, the parties agree to consider the following actions as a priority:
(a) Promoting intraregional trade;
(b) support to regional institutions and joint projects and initiatives undertaken by relevant regional organizations.
PART V
Institutional, general and final provisions
ARTICLE 111
Cooperation Council
1. A Cooperation Council is established to oversee the implementation of this Agreement. It meets at the ministerial level once a year. It examines all important issues arising within the framework of this Agreement, as well as any other bilateral or international matter of mutual interest in achieving the objectives of this Agreement. It may also make appropriate recommendations, in common agreement between the two parties.
2. The Cooperation Council is composed of representatives of the parties.
3. The Council of Cooperation shall determine its rules of procedure.
4. Each party may refer to the Cooperation Council for any dispute relating to the application and interpretation of this Agreement.
5. The Cooperation Council may resolve disputes by recommendation.
6. The provisions of this Article shall not affect, in any case, the specific provisions concerning the settlement of disputes under Part II of this Agreement and shall not prejudge these provisions.
ARTICLE 112
Committee on Cooperation and Specialized Sub-Committees
1. A Co-operation Committee, made up of representatives of the parties, is established to assist the Co-operation Council in the fulfilment of its tasks.
2. The Cooperation Council may decide to establish any other subcommittee or specialized body to assist it in the performance of its tasks and determine its composition, mission and operation.
ARTICLE 113
Parliamentary Commission for Cooperation
1. A parliamentary committee for cooperation is established. This committee is a forum where members of the Iraqi Parliament and members of the European Parliament meet and exchange their views.
2. The parliamentary committee for cooperation is composed of members of the European Parliament and, on the other hand, members of the Iraqi Parliament.
3. The Parliamentary Cooperation Committee is informed of the recommendations of the Cooperation Council.
4. The Parliamentary Cooperation Committee may make recommendations to the Cooperation Council.
ARTICLE 114
Resources
In order to facilitate cooperation under this Agreement, both parties agree to provide, in accordance with their internal rules and regulations, the resources necessary to carry out the tasks of duly authorized experts and officials who play an active role in the implementation of cooperation.
ARTICLE 115
Territorial application
This Agreement applies, on the one hand, to the territories to which the Treaty on the European Union and the Treaty on the Functioning of the European Union apply and under the conditions defined in the said treaties and, on the other, to the territory of Iraq.
ARTICLE 116
Entry into force and renewal
1. This Agreement shall enter into force on the first day of the month following the date of receipt by the depositary of the last notification by the parties of the completion of the procedures necessary for this purpose.
2. This Agreement shall be concluded for a period of ten years. It is automatically renewed from year to year, unless one of the parties denounces it no later than six months before the date of its expiry. The agreement ceases to be applicable six months after the receipt of the notification by the other party. This denunciation does not affect the ongoing projects under this Agreement prior to the receipt of the notification.
ARTICLE 117
Provisional application
1. Notwithstanding Article 116, the Union and Iraq agree to apply Article 2, as well as Parts II, III and V of this Agreement from the first day of the third month following the date on which the Union and Iraq notified themselves of the completion of the procedures necessary for this purpose. Notifications are addressed to the Secretary General of the Council of the European Union, depositary of the agreement.
2. If, in accordance with paragraph 1^er, the parties shall apply a provision of this Agreement before the entry into force of this Agreement, any reference to the date of entry into force of this Agreement which is set out in this provision shall be the date on which the parties agree to apply that provision in accordance with paragraph 1^er.
ARTICLE 118
Non-discrimination
In the areas covered by this Agreement and without prejudice to any particular provision contained therein:
(a) the regime applied by Iraq with respect to the Union shall not discriminate between Member States, their nationals or their societies;
(b) the regime applied by the Union with respect to Iraq shall not result in any discrimination between its nationals or companies.
ARTICLE 119
Evolutionary clause
1. The parties may, by mutual consent, amend, review and extend this Agreement to strengthen the level of cooperation, including agreements or protocols on specific areas or activities.
2. As part of the application of this Agreement, each of the two parties may make suggestions to extend the scope of cooperation, taking into account the experience gained during its implementation. Any expansion of the scope of cooperation under this Agreement will be decided by the Cooperation Council.
ARTICLE 120
Other agreements
1. Without prejudice to the applicable provisions of the Treaty on the European Union and the Treaty on the Functioning of the European Union, this Agreement or any action taken within the framework of the European Union shall, in any event, affect the power of the Member States to undertake bilateral cooperation actions with Iraq or to conclude, where appropriate, new cooperation agreements with Iraq.
2. This Agreement shall not affect the application or implementation of the commitments made by each party in its relations with third parties.
ARTICLE 121
Non-performance of the agreement
1. The parties shall take all the general or specific measures necessary for the fulfilment of their obligations under this Agreement and ensure that the objectives defined therein are met.
2. If one of the parties considers that the other has not fulfilled any of its obligations under this Agreement, it may take appropriate action. Previously, it must provide the Co-operation Council, within thirty days, with all the information necessary for a thorough review of the situation with a view to seeking a solution acceptable to the parties.
The choice of such measures shall be of priority to those that are at least disrupting the operation of this Agreement. These measures are notified immediately to the Cooperation Council and are subject to consultations within the Cooperation Council if the other party so requests.
3. By derogation from paragraph 2, a party may take with immediate effect appropriate measures established in accordance with international law in the event of:
(a) denunciation of this agreement not sanctioned by the general rules of international law;
(b) violation by the other party of the essential elements of this Agreement referred to in Articles 2 and 5.
The other party may request the convening of an urgent meeting between the parties within fifteen days for a thorough review of the situation with a view to seeking an acceptable solution by the parties.
4. By derogation from paragraph 2, if one of the parties considers that the other party has not complied with an obligation under Part II of this Agreement, it shall only resort to and adhere to the dispute settlement procedures established under Part II, Section VI, of this Agreement.
ARTICLE 122
Definition of parties
For the purposes of this Agreement, the term "Parties" means, on the one hand, the Union or its Member States, or the Union and its Member States, in accordance with their respective competences, and, on the other, Iraq.
ARTICLE 123
Faithful texts
This Agreement is written in duplicate in German, English, Bulgarian, Danish, Spanish, Estonian, Finnish, French, Greek, Hungarian, Italian, Latvian, Lithuanian, Maltese, Dutch, Polish, Portuguese, Romanian, Slovak, Slovenian, Swedish, Czech and Arabic, each of these texts being equally authentic. In the event of a discrepancy, reference is made to the language in which this agreement was negotiated, namely English.
ARTICLE 124
Annexes, appendices, protocols and notes
Annexes, learnings, protocols and notes to this Agreement shall be an integral part of this Agreement.
Done in Brussels on 11 May 2012.

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