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Long Term Agreement on the Development of Economic and Industrial Co-Operation between the Government of Canada and the Government of the Polish People's Republic [1987] CATSer 15 (4 May 1987)

E101189 - CTS 1987 No. 27

LONG TERM AGREEMENT ON THE DEVELOPMENT OF ECONOMIC AND INDUSTRIAL CO-OPERATION BETWEEN THE GOVERNMENT OF CANADA AND THE GOVERNMENT OF THE POLISH PEOPLE'S REPUBLIC

The Government of Canada and the Government of the Polish People's Republic, hereinafter called the Contracting Parties,

Desirous of strengthening the friendly relations between the two countries;

Noting with satisfaction the expansion in trade and economic relations between the two countries;

Wishing to further develop, promote and expand economic and industrial cooperation between the two countries on the basis of mutual benefit;

Recognizing the significance of such cooperation and desiring to create appropriate conditions for its development;

Recognizing the importance of long term cooperation aimed at the creation of close and lasting ties between organizations, enterprises and firms of the two countries;

Stressing the importance of improving the exchange of economic and industrial information;

Recalling the Convention of Commerce of July 3, 1935, and the mutual membership in the General Agreement on Tariffs and Trade (GATT);

Guided by the high significance they attach to the Final Act of the Conference on Security and Cooperation in Europe, signed in Helsinki on August 1, 1975, and by their determination to act in accordance with its principles and provisions,

HAVE AGREED AS FOLLOWS:

ARTICLE I

The Contracting Parties, guided by the purposes and principles of the General Agreement on Tariffs and Trade, shall continue to direct their efforts towards broadening and strengthening mutually beneficial economic and industrial cooperation between the two countries. The Contracting Parties shall, in particular, direct their efforts towards the expansion and diversification of trade in goods and services between the two countries. The Contracting Parties shall continue to encourage and facilitate direct contracts between representatives of Canadian and Polish organizations and enterprises.

ARTICLE II

Subject to the laws and regulations in force in either country, the Contracting Parties shall endeavour to encourage and support, as appropriate, activities intended to promote the following fields of economic and industrial cooperation between appropriate organizations and enterprises of the two countries:

(a) purchases and sales of machinery, equipment and engineering services for the undertaking of new projects and for the expansion and modernization of existing enterprises in the fields of raw materials, agriculture, machinery and equipment, finished products, consumer goods and services;

(b) purchases and sales of industrial materials, agricultural products, finished products, consumer goods and services, ships and components;

(c) purchases, sales and licensing of patent rights and proprietary know-how, designs and processes;

(d) implementation of industrial cooperation between Canadian and Polish enterprises;

(e) joint efforts in the construction of industrial and other facilities in third countries, particularly through supply of machinery, equipment and services;

(f) the organization of and participation in conferences, symposia, seminars, courses, exhibitions and trade fairs;

(g) the interchange of commercial and technical representatives, groups and delegations between the two countries;

(h) the regular exchange of information on basic economic, industrial and commercial trends.

Furthermore, the Contracting Parties shall determine by mutual agreement other fields in which they consider the development of economic and industrial cooperation to be desirable, taking particular account of the resources of the two Countries and their requirements for raw materials, equipment and technology.

ARTICLE III

Recognizing the importance of financing for the further development of economic relations, the Contracting Parties shall make efforts, when deemed appropriate, to achieve the extension of credits to one another on conditions as favourable as possible.

ARTICLE IV

Bearing in mind the importance of reciprocity and mutual benefit, the Contracting Parties shall, subject to the laws and regulations in force in either country, facilitate visits for business purposes from one country to the other and the establishment and operation of offices of organizations and enterprises in the territory of the other Contracting Party.

ARTICLE V

Each Contracting Party shall afford the benefit of its laws and regulations regarding drawbacks of duties payable on goods imported into its territory from the territory of the other Contracting Party for subsequent re - export to a third country, with or without further processing, under industrial and technical cooperation ventures entered into pursuant to this Agreement.

ARTICLE VI

Performance of rights and obligations arising out of contracts and commercial, economic and industrial cooperation arrangements entered into between organizations and enterprises of the Contracting Parties shall be the responsibility of such organizations and enterprises only.

ARTICLE VII

1. A Mixed Commission on economic and trade relations including industrial cooperation will be established. The commission will consist of representatives designated by the respective Governments.

2. The Mixed Commission shall have the following tasks:

(a) to review the implementation of this Agreement, and consider measures which might be taken with a view to fulfilling its provisions;

(b) to review the development of trade relations between the two countries;

(c) to explore the possibilities of increasing and diversifying trade and economic relations including industrial cooperation on the basis of mutual benefit, and to identify new areas for such cooperation;

(d) to consider proposals for a continuing and substantial increase in trade between the two countries;

(e) to consult concerning problems which may arise in the course of the development of economic and trade relations including industrial cooperation between the two countries.

3. The Mixed Commission may submit to the Contracting Parties reports relating to the above-mentioned matters.

4. The Mixed Commission shall ordinarily meet once a year alternately in Canada and Poland.

5. Between the regular meetings of the Mixed Commission the Contracting Parties shall, on the initiative of either of them, conduct consultations through their representatives on matters of particular importance to:

(a) the implementation of the present Agreement or of agreements related to it;

(b) the development of economic and trade relations including industrial cooperation between the two countries.

ARTICLE VIII

The Contracting Parties recognize the usefulness of the process of arbitration in solving commercial disputes, and would look favourably upon inclusion of arbitration clauses in contracts concluded between enterprises of both countries. Each Contracting Party recognizes that arbitral awards are normally binding, and that they are enforceable only in accordance with the rules and regulations of the territory in which the award is to be executed.

ARTICLE IX

This Agreement shall enter into force on signature and shall remain in force for a period of ten years. Within six months prior to the expiry of the said ten - year period, the Contracting Parties may agree upon measures necessary to continue economic and industrial cooperation between their two countries. The present Agreement may be amended by mutual agreement of both Governments.

ARTICLE X

The Termination of the Agreement shall have no effect on any contracts and other commercial, economic and industrial cooperation arrangements entered into during the period that the Agreement was in force.

IN WITNESS WHEREOF, the undersigned, duly authorized by their respective Governments, have signed this Agreement.

DONE in duplicate at Warsaw this 4th day of May 1987 in the English, French and Polish languages, each version being equally authentic.

Joe Clark

FOR THE GOVERNMENT OF CANADA

Marian Orzechowski

FOR THE GOVERNMENT OF THE POLISH PEOPLE'S REPUBLIC