EU INTRODUCES AUTONOMOUS TRADE BENEFIT REGIME FOR CROATIA, BOSNIA

BRUSSELS, Jan 6 (Hina) - The European Union on Wednesday published in its gazette a new system of import trade benefits the EU will provide Croatian and Bosnian producers in importing their industrial and agricultural products on the markets of 15 European countries, and which should be valid until the end of the year 2001. The benefits are unilateral are have been for the first time separated into a separate EU rule book valid only for industrial and agricultural products from Croatia and Bosnia-Herzegovina. The EU Commission, in explaining the motion to the Council of Ministers, which adopted it, stressed that trade relations with Croatia and Bosnia-Herzegovina should in the future be regulated by a new type of agreement on stabilisation and association, envisaged EU decisions on the Stability Pact, an also that the benefits may be withdrawn by EU's decision, if the organisation decides that these countries-partners do not meet the necessary conditions. The basic model on EU's trade benefits for the two countries has remained unchanged: export of 90 per cent of industrial products has been freed (zero rate), and the rest are under a restriction regime (after the fulfilment of certain annual quota customs tariffs are reintroduced for countries non-members of the EU). A stricter regime has been kept for agricultural products and food. Only import tariffs have been reduced, but only with certain amount limitations. (hina) lml