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AGREEMENT CONCERNING THE EXCHANGE OF GOODS BETWEEN THE CZECHOSLOVAK REPUBLIC AND INDIA [1949] INTSer 2

AGREEMENT CONCERNING THE EXCHANGE OF GOODS BETWEEN THE CZECHOSLOVAK REPUBLIC AND INDIA

New Delhi,
29 March 1949

The Government of the Czechoslovak Republic and the Government of India being equally desirous of encouraging direct commercial relations between the two countries have agreed as follows:

Article 1

Wherever necessary, on application duly made in accordance with laws and regulations of either Contracting Party governing the making of applications for and the grant of import and export licences, licences for goods enumerated in Schedules A and B annexed to this Agreement shall be granted in conformity with such laws and regulations up to the yearly quantity or value therein mentioned.

Article 2

The yearly quantity or value of any of the items mentioned in Schedules A and B can be diminished or increased or fresh items added by mutual agreement between the two Contracting Parties only.

Article 3

Goods covered by Schedules C and D represent estimates made in good faith, by the Contracting Parties, of the probable course of trade in respect of the items mentioned therein, during the period covered by this Agreement. The Contracting Parties further agree to afford each other every facility, consistent with their overall economic and financial policies, to ensure that trade in these commodities does achieve the limits specified. The Contracting Parties agree to review the progress of trade in the items covered by these Schedules in the second half of June 1949 in order to determine in the light of such review and other relevant circumstances then prevailing the extent to which any revision of these Schedules is necessary for the unexpired portion of this Agreement.

Article 4

On request by the Government of India, the Czechoslovak Government agree to render all possible assistance to build up new and improve existing Indian industries specified in Schedule E appended to this Agreement. Contracts for this purpose may be made between the Government of India, Provincial Government, or private parties on the one side and Czechoslovak enterprises on the other. These contracts may provide inter alia for projects drawings, transfer of patent rights and lending of expert personnel. In respect of the lending of expert personnel, it is understood that the contracts for lending will be made between the party in India and the Czechoslovak enterprise concerned and the contract for employment will be made between the party in India and the Czechoslovak individual so lent. The Czechoslovak Government will give all possible assistance to secure available expert personnel.

Article 5

This Agreement shall, subject to ratification as provided for in Article 6, remain in force till the 31st December, 1949 and thereafter for further successive periods as may be mutually agreed upon before the expiry of this Agreement. Article 6 This Agreement shall be subject to ratification and shall come into force on the date when instruments of ratification are exchanged, which shall be as soon as possible. Any arrangements entered into between the Contracting Parties in anticipation of ratification shall be discharged wherever possible as near as may be in the terms of this Agreement or if for any reason ratification is withheld by either of the Contracting Parties, on principles of equity and reciprociy.

DONE and SIGNED in duplicate, in English, either copy being equally authentic, in New Delhi on Tuesday, the twenty-ninth day of March, 1949.

(Sd.) A.F. BIHELLER For the Czechoslovak Govt.

(Sd.) L. PLOSKAL. Witness 29th March 1949

Sd.) C.C. DESAI. For the Government of India

(Sd.) B.P. ADARKAR Witness 29th March 1949


SCHEDULE A

EXPORTS FROM INDIA

1.
Raw Jute
2,000 tons.
2.
Groundnut Kernels
4,000 tons.
3.
Linseed
2,000 tons.
4.
Manganese ore (Low grade)
(High grade)
5,000 tons from South India.
7,500 tons.
5.
Sillimanite (Kyanite)
500 tons.
6.
Cotton yarn waste
2,000 tons.
7.
Dry salted goat skins-
(a) Muzaffarpore
(b) Best Patna
(c) Malabar goat skins
9,00,000 pieces

SCHEDULE B

EXPORTS FROM CZECHOSLOVAKIA

£ Sterling
1
Coaltar dyes
50,000
2
Saccharine
37,000
3
Accessories for textile industry (Shuttles, bobbins, dobby lags with accessories)
30,000
(of which bobbins should not exceed £5,000)
4
Printing paper
270,000
5
Chains of link thickness 3/8 inch and above
16,000
6
Special Steel (Tool steel)
(Construction steel)
34,500
7
Boilers, complete with piping
311,000
8
Conveyors, pully blocks, etc.
7,250
9
Prime movers, Diesel engines and compressors
351,250
10
Pumps, if power driven
500
11
Equipment and machines for ceramic industry, machines for building construction
7,500
12
Equipment and machines for chemical industries
(including oil expellors)
59,700
13
Equipment and machines for sugar mills
210,300
14
Equipment and machiens for food industries, flour mills, cold storages and food preserving
3,750
15
Machine tools, tools and gauges for metal working
150,000
16
Wood working machinery and tools
20,000
17
Textile mechines
25,000
18
Industrial Sewing machines and shoemakers machinery
25,500
19
Machines for tobacco industry
15,000
20
Agricultural machines and farmer pumps (only if power driven)
42,500
21
Tractors and implements (specifications to be apprved by the Indian Ministries concerned)
290,000
22
Electric motors over 30 H.P
5,000
23
Electricity meters
35,000
24
Electric welding machines, electric hand tools and other appliances. electric testing instruments and machines fo laboratories
13,250
25
Machines and tools for dental surgery, respirating machines
1,000
26
Photographic and motion picture cameras, machines and accessories
20,000
27
Other fine machanics, water gauges
35,500
28
Motor cycle chains
500
29
Steel castings and forgings
5,800
30
Refrigerating machinery and compressors
7,500
31
Lithopone
7,500
32
Titanium oxide
2,400
33
Rongalite
3,500
34
Cresylic acid
11,500
35
Moulding powder (Cellulose acetate, Polysterene powder only)
6,000
36
Potassium Ferrocyanide
3,250
37
Newsprint (600 tons)

SCHEDULE C

EXPORTS FROM INDIA

Quantity
£Sterling
1
Pepper
15,000
2
Shellac
30 tons
3
Coir fibre
500
4
Palmyra fibre
12,500
5
Sodium bichromate
30,000
6
Linga shells, Bombay and Aden shells
5,000
7
Mica
25,000
8
Talc
50 tons
9
Groundnut oil
1,800 tons
10
Linseed oil
500 tons
11
Half-tanned Madras-
(a) Goatskins
(b) E.I. Tanned Kips
(c) F.I. Tanned Skins
.
100,000 Pieces
150,000 Pieces
150,000 Pieces
12
Tea, black
300,000 lbs.

SCHEDULE D

EXPORTS FROM CZECHOSLOVAKIA

1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

19.

20.

21

22.

23.

24.

25.

26.

Mineral waters

Thermal mud

Carlsbad spring salt

Feather trimmings

Tyres (only of types as per specifications
supplied. India would have off the road and tractor types only)
Technical rubber products of specified types only

Bentwood furniture

Shoe makers' requisites

Straw board, Paste board, Mill board & Card Board

Porcelain for technical use

Utility china

Utility ceramics

Safety glass

Technical and laboratory glass

Lighting glass (no bulbs)

Wrapping glass

Table glass

Glass bangles

Wireless reception instruments

Sport fire arms and ammution

Fniit Presses (power driven)

Hats and Fezes

Lead pencils, copying and coloured pencils

Torch Light eases and flashlight cases

Corkware/Premed Cork

Iron wire nettinge

.

3,000

.

1,000

25,000

10,000

15,000

2,500

10,000

160

6,500

7,000

10,000

5,000

10,000

2,500

2,500

5,000

10,000

2,25,000

1,000

2,000

500

10,000

1,500

5,000

SCHEDULE E

1. Utilization of coal.
2. Production of rnachine tools.
3. Diesel motor factory.
4. Tractor factory.
5. Aero motors.
6. Geared wheels.
7. Locomotives.
8. All metal locomotive tenders.
9. Coaltar dyes factory.
10. Ceramics.
11. Chemicaln and drugs.
12. Distillery.
13. Electrical.

PROTOCOL

of terms and conditions annexed to the Trade Agreement signed at New Delhi on the twenty-ninth March, 1949, between the Government of India and the Government of the Czechoslovak Republic

Certain trade negotiations having taken place in New Delhi between delegations of the Government of India and the Government of the Czechoslovak Republic, a Trade Agreement, subject to ratification by the two Governments, has been arrived at. This protocol will be appended to the Trade Agreement on the date of signature of the Agreement and shall be taken as forming part of the Agreement without any necessity for further ratification of this protocol.

The Government of India and of the Czechoslovak Republic acting in their capacity of Contracting Parties to the Trade Agreement between the Government of India and the Government of the Czechoslovak Republic.

Being desirous of laying down terms and conditions under which the Trade Agreement and particularly the Schedules annexed thereto shall be brought into effect.

Hereby agree as follows:—

1.The exchange of instruments of ratification shall take place as soon as Dossible in New Delhi or in Prague as may be mutually convenient or agreed upon.

2. The clauses of the Trade Agreement shall be provisionally applied as provided in Article 6 as from the 29th March, 1949.

3. Regarding the commodities mentioned in Schedule 'A' the licences for export will be granted by the Government of India in such a manner as to ensure that exports take place in reasonable instalments during the currency of the Agreement provided applications for such licences are forthcoming.

4. (i) As regards Coal Tar Dyes, Saccharine, Printing Paper, Accessories for textile industry, Machine tools and Steel castings and forgings, mentioned in Schedule 'B' Czechoslovakia shall make every endeavour to ensure that these goods in the quantities specified are actually delivered to India during the year 1949. Czechoslovakia further undertakes to supply additional machine tools to the value of £ 100,000 forgings and castings to the value of £ 6,000 and 500 tons of special steel and boilers to the value of £ 20,000 within twelve months from the date of placing of orders.

(ii) Regarding Agricultural machines, Pumps, Farmers' Pumps, Tractors and implements, it is understood by both the Contracing Parties that these should be of power driven types only. Moreover the specifications of the Agricultural machines, Tractors and Implements will have to be approved by the Ministry of Agriculture and any other Ministry concerned of the Government of India before import licences are actually issued by that Government.

5. In view of the inland situation of Czechoslovakia, it is agreed that the term shipment when applied to the issue of import licences by India for import from Czechoslovakia shall be deemed to include actual despatch by Railway or River-boat after clearing for export in through transit to India.

6. The Government of the Czechoslovak Republic will provide all facilities that it can reasonably accord to enable Indian ships to carry as large a proportion as possible of the goods to be exchanged under the Trade Agreement.

DONE and SIGNED in duplicate, in English, either copy being equally authentic, in New Delhi on Tuesday, the twenty-ninth day of March 1949.

(Sd. A.F. BIHELLERT For the Czechoslovak Government.

(Sd., L. PLOSKAL. Witness 29th March, 1949 .

(Sd.) C.C. DESAI. For the Government of India.

(Sd.) B.P. ADARKAR. Witness 29th March, 1949.


AGREED MINUTES OF MEETINGS BETWEEN THE REPRESENTATIVES OF THE GOVERNMENT OF INDIA AND THE GOVERNMENT OF CZECHOSLOVAK REPUBLIC

1. A mixed commission of representatives of the Government of India and the representatives of Czechoslovak Republic met in New Delhi between the 18th July and the 29th July 1949, to review the progress of trade in the items covered by the Schedules to the Indo-Czechoslovak Agreement signed on 29th March, 1949 in accordance with pare 2 of Article 3 of the Agreement.

2. The following decisions were reached:—

    (1) Review of trade for April-May, 1949 .—The review disclosed that the orders placed by importers and received by exporters on both sides during the months of April and May, 1949, were satisfactory.

    (2) Revision of the Schedules attached to the Agreemerlt.Representatives of both governments agreed that the present Schedules to the Agreement should be revised in order to make them more realistic as well as to achieve a balanced trade.

(i) The following amended Schedules were agreed to:

SCHEDULE 'A'

EXPORTS FROM INDIA

S. No Commodity Quantity or value provided for inoriginal agreement Quantity or value as now amended Remarks
tons tons
1
2
3
4
5
6
7
Raw jute
Groundnut
Kernels
Linseed
Manganese ore
Kyanite
Cotton yarn waste
Dry salted goat skins
2,000
4,000
2,000
12,500
500
2,000
900,000 pieces
9,600
4,000
2,000
5,000
500
2,000
900,000 pieces

SCHEDULE 'B'

EXPORTS FROM CHECHOSLOVAKIA

S.No.
Commodity
Quantity or value as in original Agreement
Quantity or value as now amended
Remarks
(1)
(2)
(3)
(4)
(5)
£
£
1
Coal tar dyes
50,000
50,000
Czechoslovakia could supply only sulphur black and Indenthen blue
2
Saccharine
37,000
3,000
3
Accessories for textile industry (Shuttles bobbins, dobby lags with accessories)
30,000 (of which bobbins shoud not exceed £ 5,000)
30,000 (of which bobbins should not exceed £ 5,000)
4
Printing paper
270,000
130,000
This would also include tissue paper
5
Chains excluding wisted chains
10,000
16,000
6
Special Steel (Tool stell, construction steel)
34,500
34,500
7
Boilers, complete with piping
311,000
311,000
8
Conveyors, pully blocks etc.
7,250
7,250
9
Prime movers, Diesel engines and compressors
351,250
400,000
10
Pumps, if power driven
500
Nil
This is included in item 20
11
Equipment and machines for ceramic industry, machines for building construction
7,500
3,750
12
Equipment and machines for chemical industries (including oil expellors)
59,700
59,700
13
Equipment and machiens for sugar mills
219,300
219,300
14
Equipment and machines for food industries, flour mills, cold storage and food prserving
3,750
Nil
15
Machine tools, tools and gauges for metal working
150,000
150,000
16
Wood working machinery and tools
20,000
3,000
17
Textile machines
25,000
25,000
18
Industrial sewing machiens and shoemakers machinery
25,500
50,500
19
Machines for tobacco industry
15,000
Nil
20
Agricultural machines and farmer pumps (only if power driven) including tube-well pumps
42,500
57,500
21
Tractors and implements (specifications to be approved by the Indian Ministries concerned).
260,000
260,000
22
Electric motors over 300 H.P
5,000
5,000
23
Electricity meters
35,000
35,000
24
Electric welding machines, electric hand tools and other appliances, electric testing instruments and machines for laboratories.
13,250
6,000
25
Machines and tools for dental surgery, respirating machines
1,000
1,000
26
Photographic and motion picture cameras, malchines and accessories
20,000
10,000
27
Other fine mechanics, water gauges
35,500
35,500
28
Motor cycle chains
500
Nil
29
Steel castings and forgings
5,800
5,800
30
Refrigerating machineryand compressors
7,500
Nil
31
Listhopone
7,500
7,500
32
Titanium Oxide
2,400
2,400
33
Rongalite
3,500
3,500
34
Cresylic acid
11,500
11,500
35
Moulding powder (Cellulose acetate Polysterene powder only)
6,000
Nil
36
Potassium Ferrocyanide
3,250
3,250
37
Newsprint
600 tons
600 tons

SCHEDULE 'C'

EXPORT FROM INDIA

S.No
Commodity
Quantity or value
as in original Agreement
Quantity or value
as now amended
Remarks
1
2
3
4
5
6
.
7
8
9
10
Paper
Shellac
Coir fibre
Palmyra fibre
Sodium bicromate
Linga shells, Bombay and Aden shells
Mica
Talc
Groundnut oil
Linseed oil
15,000
30 tons
500
12,500
30,000
5,000
.
25,000
50 tons
1,000 tons
500 tons
15,000
30 tons
500
12,500
30,000
5,000
.
25,000
50 tons
1,000 tons
500 tons
11
Half tanned Madras-
(a) Goatskins
(b) E.I. Tanned Kips
(c) E.I. Tanned Skins
Pieces
100,000
150,000
150,000 lbs
Pieces
100,000
150,000
150,000 lbs
12
Tea black
300,000
300,000

SCHEDULE 'D'

EXPORTS FROM CZECHOSLOVAKIA

S.No
Commodity
Quantity or value as in original Agreement
Quantity or value as now amended
Remarks
1
Mineral waters
£
£
2
Thermal mud
3,000
3,000
3
Carlsbad spring salt
4
Fether trimmings and marabutrimmings.
1,000
Nil
5
Tyres (only of types as per specifications supplied. India would have off the road and tractor types only)
25,000
25,000
6
Technical rubber products of specified types only including V-belts
10,000
10,000
7
Bentwood furniture
15,000
10,000
8
Shoe-makers' requisites
2,500
2,500
9
Straw board, paste-board, mill board and card board
10,000
5,000
10
Porcelain for technical use
160
500
11
Utility china
6,500
6,500
12
Utility ceramics
7,000
7,000
13
Safety glass
10,000
10,000
14
Technical and laboratory glass
5,000
5,000
15
Lighting glass (no bulbs)
10,000
10,000
16
Wrapping glass
2,500
2,500
17
Table glass
2,500
2,500
18
Glass bangles
5,000
5,000
19
Wireless reception instruments
10,000
10,000
20
Sports, firearms and ammunition
225,000
150,000
21
Fruit presses (Power driven)
1,000
Nil
22
Hats and Fezes
2,000
2,000
23
Lead pencils, copying and coloured pencils
500
500
24
Torch Light cases and flashlight cases
10,000
10,000
25
Corkware/Pressed Cork/Crown Corks
1,500
5,000
26
Iron wire nettings
5,000
5,000

(ii) The following additional items for exports from India and Czechoslovakia were also agreed to:-

EXPORTS FROM INDIA

Tons
1.
2.
3.
4.
Coffee
Nux Vomica
Senna pods and leaves
Misc. commodities including bamboos gums etc.
100
1/2
5
£20,000

EXPORTS FROM CHECHOSLOVAKIA

£
1.
2.
3.
4.
5.
6.
7.
8.
9.
Liquid Gold
Ultra marine blue
Bronze powder
Tranning machinery
Domestic sewing machines
Shoe grindery
Chaff cutter knives
Alarm clocks and clocks
leather belting
8,000
7,000
3,500
27,000
10,000
30,000
4,000
3,000
5,000
10.
11.
12.
13.
14.
15.
Motors cars
Motor cycles
Cycles
Bath tubs
Padlocks
Small fittings
40,465
21,000
4,000
3,000
3,000
3,000
    Subject to the decision of the
    Government of India on the question
    of allowing import of motor cars etc.
    from Czechoslovakia for which
    applications have been invited under
    Commerce Ministry Public Notice
    No. 1 (II)-I.T.C./49 dated 1st June
    1949 regarding O.G.L. XI
    concessions the final figures being
    communicated to the Czechoslovak
    Embassy.

3. The Government of India and the Government of Czechoslovak Republic agree that commodities imported by either country from the other shall not be re-exported to any other country.

Signed on behalf of the Governement of India

C.C. DESAI,
Secretary to the Government of India,
Ministry of Commerce.

Signed on behalf of the Czechoslavak Government

A.F. BIHELLER,
Charge d' Affaires for the Czechoslovak Republic

New Delhi:
The 2nd August,1949.


India Bilateral

Ministry of External Affairs, India


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