Indian Treaty Series

The Government of India and the Government of the People's Republic of Bulgaria desirous of expanding and strengthening economic relations between the two countries have agreed as follows:

Article 1

The Government of India and the Government of the People's Republic of Bulgaria shall provide adequate facilities for import into and export from their respective countries of commodities mentioned in Lists 'A' and 'B' appended to this Agreement in accordance with the laws and regulations in force in the two countries.

Article 2

The two Governments shall consider favourably requests from firms and organisations in their respective countries for the import and export of commodities not mentioned in Lists 'A' and 'B' appended to this Agreement and grant in accordance with their laws and regulations such reasonable facilities as may be required in this behalf.

Article 3

The two Governments shall in the course of the administration ensure that import and export facilities granted by one country to the other shall not be less favourable than such facilities granted to any other country in the soft currency area, saving any exceptional commitments that may be in force.

Article 4

Payments relating to commercial and non-commercial transactions between India and the People's Republic of Bulgaria shall be effected in Indian rupees. For the purpose of facilitating payments enumerated in Article 7 of this Agreement, the Bulgarian National Bank will maintain one or more account(s) with one or more commercial bank(s) in India authorised to deal in foreign exchange. In addition, the Bulgarian National Bank will maintain another account with the Reserve Bank of India. All the payments to be effected in rupees will take place through the account(s) maintained with the commercial bank(s). The account with the Reserve Bank of India will be used only for replenishing the balances with the commercial bank(s) as and when necessary. Payments permitted under the Indian Exchange Control Regulations to be made by residents of India to residents of the People's Republic of Bulgaria will be effected by crediting the amount of such payments to the above-mentioned account(s) of the Bulgarian National Bank with the commercial bank(s). Payments to be made to persons resident in India by persons resident in the People's Republic of Bulgaria will be effected by debiting the above-mentioned account(s) with the commercial bank(s). The account(s) will be replenished as necessary by one of the following methods namely:

(i) by transfer of funds from another account of the Bulgarian National Bank with another commercial bank or with the Reserve Bank of India, or

(ii) by the sale of Sterling to the bank where the Bulgarian National Bank has an account.

Article 5

Any balances in the rupee account maintained by the Bulgarian National Bank with the Reserve Bank of India or with a commercial bank(s) authorised to deal in foreign exchange will be convertible on demand into Sterling at the usual bank's selling rate for Sterling as fixed from time to time by the Indian Exchange Banks Association. The balances will also be convertible into Sterling after the expiry of this arrangement.

Amendments to this arrangement if necessary can be made by mutual agreement between the two Governments.

Article 6

The provisions of the present Agreement cover the following payments

(a) payments for commodities imported or exported under the present Agreement;

(b) expenses on the exchange of goods, such as transport charges (sea, land, river and air), harbour expenses (including expenses for usual ships/repairs), shipping expenses, storage, customs clearance, assembling, insurance (premia, and indemnities), commissions, brokerage, interests, cost of advertising etc;

(c) expenses connected with fairs and exhibitions;

(d) sea freight due to vessels sailing under the Indian or Bulgarian flag, to transport goods between India and the People's Republic of Bulgaria as well as sea freight due to the same vessels to transport commodities coming from any port to Indian or Bulgarian ports and to Near East, Middle East and Far East ports when the said expenses are on the account of the Indian party or the Bulgarian party;

(e) duties and fees in respect of patents, licences trade-marks, copyright, court expenses, distribution and projection rights on films;

(f) cost of maintaining diplomatic, consular and commercial missions, costs of travel, sojourn and study;

(g) any other payment mutually approved by competent authorities of both parties.

Article 7

Commercial transaction concluded between firms and organisations in either country in accordance with their respective laws and regulations prior to the date on which this Agreement comes into force, shall be settled in accordance with the original terms and conditions of these contracts. Transactions concluded but not implemented during the period of the validity of this Agreement, shall even after the termination of this Agreement, be completed in accordance with the terms of this Agreement.

Article 8

The two Parties shall consult with each other from time to time in respect of any matters arising from or in connection with the supply of goods between the two countries and to consider measures necessary for the further development of trade.

Article 9

This Agreement shall come into force from the date of its signature and shall remain in force upto the 31st December 1959. Lists 'A' and 'B' appended to this Agreement will, however, be valid only for each calendar year and will be adapted afresh before the beginning of each year.

DONE AND SIGNED in duplicate in English, either copy being equally authentic, in New Delhi on Wednesday, the 18th day of April, 1956.

(Sd.) H.V.R. IENGAR
For the Government of India.

(Sd.) IVAN PERPELIEV,
For the Government of the People's Republic of Bulgaria.

LIST "A"

ITEMS FOR EXPORT FROM THE PEOPLE'S REPUBLIC OF BULGARIA TO INDIA

1. Canned or bottled provisions.

2. Macaroni, biscuits and cakes.

3. Confectionery including chocolate covertures in 1/2 lb. slabs.

4. Glucose powder.

5. Dextrin.

6. Fruits, canned or bottled, such as :- Strawberry pulp, apricot pulp, apple pulp, quince pulp, plum pulp, peach compote, cherry compote, apricot compote, pear compote.

7. Jams, jellies and marmalades, canned or bottled.

8. Fruits, all sorts, excluding dates, coconuts and cashewnuts, fresh, dried, salted or preserved.

9. Wines and brandy.

10. Vegetables, all sorts, fresh, dried, salted or preserved excluding potatoes.

11. Vegetable products, canned or bottled including tomato puree.

12. Drugs and medicines including penicillin.

13. Chemicals including soda-ash, caustic soda, sodium bicarbonate, calcium carbide, welding, tempering and grinding salts, insecticides and urea.

14. Paints and dyes.

15. Electrical instnrments, machinery equipment including electromotors, transformers, electric porcelain insulators, electric household appliances, electric measuring instruments, electrical insulating materials, telephone equipment other than telephone sets, electric cables.

16. Metal working machines, forging and pressing machines, pumping and compressing machines, wood working machines, agricultural machines and machines for coal and ore mining.

17. Diesel engines of 0-3 H.P., or above 30 H.P.

18. Cotton hosiery, cotton blankets, silk jersey, cotton piecegoods, linen piecegoods, woollen piecegoods and woollen hosiery.

19. Medicinal soap and synthetic detergents.

20. Window glass and tiles.

21. Stationery.

22. Bicycle tyres.

23. Canvas shoes with rubber soles.

24. Leather haberdashery.

25. Cigarettes and pipe tobacco.

26. Radio sets.

27. Cement.

28. Books, printed matter and postage stamps.

29. Insulating boards, insulating bricks and asbestos cement pipes.

30. Steam beech wood (furniture wood).

31. Films, exposed.

LIST 'B'

ITEMS FOR EXPORT FROM INDIA TO THE PEOPLE'S REPUBLIC OF BULGARIA

1. Tea.

2. Coffee.

3. Spices.

4. Tobacco--unmanufactured.

6. Fruits, fresh, dried, preserved, canned or bottled.

6. Fish.

7. Animal casings.

8. Hydrogenated vegetable oil (edible).

9. Animal fats.

10. Precious stones, cut and polished.

11. Lac, including shellac.

12. Tanned hides and skins.

13. Raw goat skins.

14. Manganese ore and iron ore.

15. Oils and oilseeds including groundnut oil, linseed oil, castor oil, essential oils, such as lemongrass oil and oilseeds - (only permissible seeds).

16. Cotton, raw and waste.

17. Wool, raw and waste.

18. Asbestos, raw.

19. Bristles.

20. Dyeing and tanning substances.

21. Animal hair.

22. Hemp, raw.

23. Chemicals and chemical preparations.

24. Drugs and medicines.

25. Electrical instruments and goods.

26. Cinematograph films, exposed.

27. Light engineering goods including sewing machines.

28. Ebonite sheets, rods and tubes.

29. Automobiles - cars.

30. Bicycles and parts.

31. Cotton manufactures-handloom and millmade.

32. Jute yarn and jute manufactures.

33. Wool manufactures.

34. Art, works of.

35. Books and printed matter.

36. Coir yam and coir manufactures.

37. Ivory manufactures.

38. Paraffin wax.

39. Bamboo sticks.

40. Sports goods.

41. Bees wax.

42. Handicrafts and cottage industry products, e.g.-brass and bidriware, silver filigree, grass and fibre products and wood carvings.

43. Postage stamps.

No. 1.

Dear Mr. IENGAR,

In the course of our discussions, which resulted in conclusion of a Trade Agreement signed today, we discussed the measures that need to be taken to expand and strengthen the trade between our two countries. Having regard to the fact that firms and organisations in our two countries were not yet fully acquainted with the possibilities which each market offers for the development of this trade, it was agreed that the Government of India would be willing to urge the agency of their projected State Trading Organisation to encourage contracts between firms and trading organisations on both sides and also conclude specific contracts whenever necessary. The Bulgarian Government would on their part be equally happy to assist their State Trading Organisations in all possible ways to stimulate the trade through the State Trading Corporation, India.

I shall be grateful if you would confirm that the above correctly sets out the understanding reached between us.

Yours sincerely,
(Sd.) IVAN PERPELIEV.

H.V.R. IENGAR, Esq., I.C.S.,
Secretary to the Government of India,
Ministry of Commerce and Industry,
New Delhi.

No. 2.

Dear Mr. PERPELIEV,

I write to acknowledge receipt of your letter of today's date which reads as follows :

(Not printed)

I confirm that the above correctly expresses the understanding reached between us.

Yours sincerely,
(Sd.) H-V.R. IENGAR.

H.E. Mr. IVAN PERPELIEV,
Deputy Minister for Foreign Trade and Leader of the Delegation,
New Delhi.

No. 3.

Dear Mr. IENGAR,

During the course of the negotiations for the conclusion of the Trade and Payments Agreement between the People's Republic of Bulgaria and India, it was stated that the People's Republic of Bulgaria is in a position to offer for export to India equipments and machinery, such as hydro-electric power plants, complete transforner stations, plants for the manufacture of electric porcelain ware, flotation plants, etc. Furthermore, it was mentioned that the suppliers of these goods were in a position to render necessary technical assistance in regard to their planning and erection.

I am glad to note that the Government of India will be prepared to accord within the limits of the rules and regulations in force from time to time such facilities as may be reasonably required to enable full use of these facilities being made by the importers.

Yours sincerely,
(Sd.) IVAN PERPELIEV.

H.V.R. IENGAR, Esq., I.C.S.,
Secretary to the Government of India,
Ministry of Commerce and Industry,
New Delhi.

No. 4.

Dear Mr. PERPELIEV,

I write to acknowledge receipt of your letter of today's date which reads as follows :

(Not printed)

I confirm that the above correctly expresses the understanding reached between us.

Yours sincerely,
(Sd.) H.V.R. IENGAR.

H.E. Mr. IVAN PERPELIEV,
Deputy Minister for Foreign Trade and Leader of the Delegation,
New Delhi.

No. 5.

Dear Mr. IENGAR,

During the course of discussions that preceded the conclusion of the Trade Agreement between the People's Republic of Bulgaria and India, today, it was agreed that a Trade Representation of the State Socialist Monopoly for Foreign Trade of the People's Republic of Bulgaria will be organised in India. The Trade Representation will consist of a Trade Representative in Delhi with a Deputy under him at Bombay and another Deputy at Calcutta.

The Trade Representation will be accorded all the consideration necessary for the promotion of trade between the two countries including the facility of the cypher and the mail bag. The strength of these offices of the Trade Representation will be agreed upon in further discussions at a later date.

The Government of the People's Republic of Bulgaria will accord similar facilities, on a reciprocal basis, to any Indian Trade Representative or his Deputy that the Government of India might appoint to look after trade relations between the two countries.

It was agreed that the commercial transactions entered into or guaranteed in India by the Trade Representation or his Deputy shall be subject to the jurisdiction of the courts of India and the laws thereof, unless otherwise provided by agreement between the contracting parties to the said transactions. Only the goods, debt demands and other assets of the Trade Representation directly relating to the commercial transactions concluded or guaranteed by the Trade Representation shall be liable to execution of decrees and orders Passed in respect of such transactions. It was understood that the Trade Representation shall not be responsible for any transactions concluded by other Bulgarian organisations direct without the Trade Representation's guarantee.

I shall be grateful to have your confirmation that this letter correctly sets out the understanding reached between us.

Yours sincerely,
(Sd.) IVAN PERPELIEV.

H.V.R. IENGAR, Esq. I.C.S.,
Secretary to the Government of India,
Ministry of Commerce and Industry,
New Delhi.

No.6

Dear Mr. PERPELIEV,

I write to acknowledge receipt of your letter of today's date which reads as follows :

(Not printed)

I confirm that the above correctly expresses the understanding reached between us.

Yours sincerely,
(Sd.) H.V.R. IENGAR.

H.E. Mr. IVAN PERPELIEV,
Deputy Minister for Foreign Trade and Leader of the Delegation,
New Delhi.

LEGATION OF THE PEOPLE'S REPUBLIC OF BULGARIA

Dear Mr. LALL,

I have the honour to refer to Article 9 of the Trade Agreement between the Government of the People's Republic of Bulglaria and the Government of India concluded on the 18th April, 1956 and to our recent discussions regarding the Schedules to be adopted for the year ending 31st December, 1957. It was agreed during these discussions that the Schedules attached to the said Trade Agreement shall be substituted by the revised Schedules appended hereto.

I should be grateful if you would please confirm the foregoing.

Yours sincerely,
(Sd.) IVAN PETROV DASKALOV.
Minister for Bulgaria in India.

K.B. IALL, Esq. I.C.S.,
Joint Secretary to the Government of India,
Ministry of Commerce and Industry,
New Delhi.

Dear Mr. DASKALOV,

I write to acknowledge receipt of your letter of today's date. The letter reads as follows :

(Not reproduced)

I confirm that this sums up correctly the result of the discussions between the representatives of Bulgaria and India.

Yours sincerely,
(Sd.) K.B LALL.
Joint Secretary

His Excellency Mr. IVAN PETROV DASKALOV,
Envoy Extraordinary and Minister Plenipotentiary,
Embassy of the People's Republic of Bulgaria,
New Delhi.

SCHEDULE 'A'

ITEMS FOR EXPORT FROM THE PEOPLE'S REPUBLIC OF BULGARIA TO INDIA.

1. Canned or bottled provisions.

2. Glucose powder.

3. Dextrine.

4. Fruits, canned or bottled, such as: Strawberry pulp, apricot pulp, apple pulp, quince pulp, plum pulp, peach compote, cherry compote, apricot compote, pear compote.

5. Fruits, all sorts, excluding dates, coconuts and cashew nuts, fresh, dried, salted or preserved.

6. Wines and brandy.

7. Vegetables, all sorts, fresh, dried, salted or preserved excluding potatoes.

8. Vegetable products, canned or bottled, including tomato puree.

9. Drugs and medicines including penicillin.

10. Chemicals including soda-ash, caustic soda, sodium bicarbonate, calcium carbide, welding, tempering and grinding salts, insecticides and urea.

11. Paints and dyes.

12. Electrical instruments, machinery equipment including electromotors, transformers, electric porcelain insulators, electric pumps, electric household appliances, electric measuring instruments, electrical insulating materials, telephone equipment other than telephone sets, electric cables.

13. Metal working machines, forging and pressing machines, pumping and compressing machines, wood working machines, agricultural machines and machines for coal and ore mining.

14. Diesel engines of 0.3 H.P., or above 30 H.P.

15. Ferrous metals and products thereof.

16. Alloy ribbons.

17. Complete plants.

18. Window glass and tiles.

19. Stationery.

20. Bicycle tyres.

21. Cigarettes and pipe tobacco.

22. Radio sets.

23. Cement.

24. Books, printed matter and postage stamps.

25. Insulating boards, insulating bricks and asbestos cement pipes.

26. Steam beach wood (furniture wood).

27. Films exposed.

SCHEDULE 'B'

ITEMS FOR EXPORT FROM INDIA TO THE PEOPLES REPUBLIC OF BULGARIA.

1. Tea.

2. Coffee.

3. Spices.

4. Tobacco-unmanufactured.

5. Tobacco manufactures, e.g., Cigars, Cigarettes.

6. Fruits, fresh, dried, preserved, canned or bottled.

7. Cashew nuts, cashew kernels and cashew shell oil.

8. Animal casings.

9. Hydrogenated vegetable oil (edible).

10. Tapioca and its products.

11. Animal fats.

12. Precious stones, cut and polished.

13. Lac, including shellac.

14. Tanned hides and skins.

15. Raw goat skins.

16. Manganese ore and iron ore.

17. Oils and oil seeds including ground nut oil, linseed oil, castor oil, essential oils, such as lemongrass oil and oil seeds (only permissible oil seeds).

18. Cotton, raw and waste.

19. Wool, raw and waste.

20. Asbestos raw.

21. Bristles.

22. Dyeing and tanning substances.

23. Animal hair.

24. Hemp raw.

25. Manila and sisal ropes.

26. Chemicals and chemical preparations.

27. Drugs and medicines.

28. Electrical instruments and goods.

29. Cinematograph films, exposed.

30. Light engineering goods including sewing machines.

31. Ebonite sheets, rods and tubes.

32. Automobiles-cars.

33. Bicycles and parts.

34. Cotton manufactures - handloom and mill made.

35. Jute yarn and jute manufactures.

36. Silk and rayon textiles and manufactures.

37. Flax manufactures.

38. Cordage and ropes.

39. Linoleum.

40. Plastic goods.

41. Wool manufactures.

42. Art, works of.

43. Books and printed matter.

44. Coir yam and coir manufactures.

45. Ivory manufactures.

46. Paraffin wax.

47. Bamboo sticks.

48. Sports goods.

49. Bees wax.

50. Handicrafts and cottage industry products; e.g., brass and bidriware, silver filigree, grass and fibre products and wood carvings.

51. Postage stamps.

52. Paints and lacquers.

53. Hardware.

54. Myrobalan and myrobalan extracts.

No. 5/487

Dear Mr. LALL,

I have the honour to refer to Article 9 of the Trade Agreement between the Government of the People's Republic of Bulgaria and the Government of India concluded on the 18th April 1956 and to the recent discussions regarding the Schedules to be adopted for the year ending 31st December 1958. It was agreed during there discussions that the Schedules last revised on the 20th June 1957 shall remain in force for a further period of one year ending 31st December 1958, without any modifications.

I should be grateful if you would please confirm the foregoing.

Yours sincerely,
Sd/- A. MLADENOV
Commercial Counsellor.

K.B. LALL, Esq., I.C.S.
Joint Secretary to the Government of India,
Ministry of Commerce and Industry,
New Delhi.

Dear Mr. MLADENOV,

I write to acknowledge the receipt of your letter of today's date which reads as follows :

(Not printed)

I confirm that the foregoing correctly sets out the understanding reached between us.

Yours sincerely,
Sd/- K.B. LALL,
Joint Secretary

Mr. ASPARUH MLADENOV,
Commercial Counsellor and Trade Representative,
Trade Representation of the People's Republic of Bulgaria,
New Delhi.