| EXCHANGE OF LETTERS BETWEEN THE GOVERNMENTS OF INDIA AND AFGHANISTAN RELATING TO RENEWAL OF TRADE ARRANGEMENT Kabul, 10 July 1958 Kabul, July 10, 1958 Dear Mr. ATAL, During our discussions of the last few days we had an opportunity to review together the development of trade between Afghanistan
and India in terms of the Treaty of Friendship and Commerce between the two countries, and reached certain conclusions which I have
the honour to submit in the following paragraphs : 1. The two Governments reaffirm their desire to promote the trade between their respective countries. 2. The two Governments agree to endeavour, within the framework of their respective import-export and foreign exchange regulations,
to achieve a balance in the trade between the two countries. 3. In accordance with the provisions of Article 15 of the Treaty between the Royal Government of Afghanistan and the Government of
the Republic of India, the two Governments agree to grant each other special trade facilities on the following basis (a) That import and export control authorities in Afghanistan and India will provide reasonable facilities to approved importers in
India to import fruits (both dry and fresh) asafoetida, cumin seeds and medicinal herbs, and ensure that trade is not concentrated
in a few hands; (b) In view of the difficulties experienced during the past yea, a certain number of additional registered traders in Afghanistan
(the number to be restricted for the present to 30) who are sponsored by the Royal Afghan Government will also be given the same
facilities to import fruit (both dr and fresh), asafoetida, cumin seeds and medicinal herbs into India subject to the conditions
applicable to approved importers; (c) And that subject to overall balancing in the total value of the proceeds of the aforementioned Afghan goods, the Government of
India will afford all facilities to export such articles, in addition to those prescribed in Schedule W, as are needed by Afghanistan
and/or may become available in India for export. 4. Payment for goods from Afghanistan will be made by the importers either in accordance with E.P. and E.P.I. procedures or to a special
rupee account to be opened by an Afghan bank authorised by the Government of the Kingdom of Afghanistan in this behalf with any commercial
bank in India of their choice. 5. In view of the impending fruit export season, this agreement comes into effect from the 21st July 1958, and will remain in force
for one year thereafter. In case neither of the contracting parties shall have given notice two months before the expiry of this
agreement, the same will automatically remain valid for another period of one year. I shall be grateful if you will confirm that the above correctly sets out the understanding reached between us. Yours sincerely, Sdl- M.R. YOUNOSSI. H.E. Shri J.K. ATAL,
I.C.S., Leader of the Indian Trade Delegation, Kabul. ------------------------ KABUL, July 10, 1958 Dear Mr. YOUNOSSI, I write to acknowledge the receipt of your letter of today's date which reads as follows : (Not reproduced) I confirm that the above correctly sets out the understanding reached between us. Yours sincerely, Sd J.K. ATAL. H.E. MR. M.R. Younossi, Leader of the Afghan Trade Delegation, Kabul. SCHEDULE 'A' COMMODITIES FOR EXPORT FROM INDIA TO AFGHANISTAN Textiles; Cotton and Woollen, such as ' -- Cotton and woollen piecegoods, cotton dhoties and sarees, hosiery and knitted garmentr--
woollen, cotton and rayon, Silk art silk and rayon fabrics; cotton twist and yarn; other cotton, woollen and silk manufactures, jute
manufactures. Food - Tea, coffee, spices including pepper, Fish-dried and salted, Fish, prawns-dried, Provisions and oilman's stores,
Tapioca and its products, Agricultural Products.- Hydrogenated oils, i.e., "Vanaspati" or vegetable ghee, Vegetable oils
and oilseeds, Essential oils, Tobacco-raw and unm anuf actured, Chemical Products and Soaps.- Chemical and chemical preparations.
Pharmaceuticals.- Drugs and medicines, Naphthalene, Antibiotics, Sera and vaccines, Alkaloids of opium and its derivatives, Soap--toilet and household, Toilet requisites and perfumery, Paints, pigments and varnishes. Engineering Goods -- Printing machinery, Diesel engines, Pumps driven by diesel engines and electric motors, Sewing machines, Bicycles
and their parts, Textile machinery such as carding machinery and weaving looms, Machine tools, Hand tools and small tools, small
river crafts, sugarcane crushing machinery, Rice, flour and oil crushing machinery, Ballbearings, Agricultural implements, Automobiles
and their parts, Gliders. Electrical Goods.Electrical appliances and accessories such as conduit pipes, switches, bells, holders,
cut-outs, etc., Electrodes, Electric bulbs and tubes, Gererators, portable and fixed, Radio receivers, Electric fan and their parts,
Batteries (dry and wet), Electric Torch lights Electric motors, Telephone apparatus, Ebonite sheets, rods and tubes, Cables and wires.Household
and Building Requirements Utensils including stainless steelware, Cooking ranges, heaters, electric iron, toasters, kettles, etc.,
Household electrical fittings and fixtures, Roofing tiles, Bricks, Linoleum, Sanitaryware, G. 1. Pipes and fittings, Manhole covers
and plates, Hurricane lanterns, Kerosene staves, Incandescent oil pressure lamps, Safes, strong boxes and room fittings, Crockery.
Hardware ' -- Locks and padlocks, Cutlery Bolts, nuts, screws and hinges, etc., Steel furniture and hospital appliances, Scientific
instruments of all types, Weighing machines, Surgical and medical instruments. Rubber Manufactures Tyres and tubes, Other rubber manufactures. Leather Manufactures -- Boots, shoes and belts, Other leather manufactures, Artificial leather goods, Handicrafts and Cottage Industry Products:- Stationery and paper. Miscellaneous ' - Coir, and coir products, Dyeing and tanning substances, Lac and shellac, Myrabolarn and myrabolarn
extracts, Glassware including tableware, glass bottles and bangles, Synthetic stones, Books and printed matter, Postage stamps, Refined
mineral oil, Sports goods, Mica, Firebricks. and fire clay, and such other items as may become available for export from time to
time. ------------------------ Kabul, July 10, 1958 Dear Mr. ATAL, In order to balance the trade between India and Afghanistan, it is agreed that if during the period of six months from the date of
clearance of the goods from the Indian Customs, export does not take place, the importer should deposit the amount in question in
a Bank account referred to in paragraph 4 of my letter No. 1 of to-day. If he does not do so or if his exports fall short of 70 percent
of the value of his imports, the importer will not be giver, further import facilities. Yours sincerely, Sd M.R. YOUNOSS1. H.E. Mr. J.K. ATAL, I.C.S., Leader, Indian Trade Delegation, Kabul. Kabul, July 10, 1958 Dear MR. YOUNOSSI, I write to acknowledge the- receipt of your letter of to-day's date which reads as follows : (Not reproduced) I confirm that the above correctly sets out the understanding reached between us. Yours sincerely, Sd J.K. ATAL. H.E. MR.M.R. YOUNOSSI, Leader of the Afghan Trade Delegation, Kabul. Kabul, July 10, 1958 Dear Mr. Younossi, With reference to paragraph 3(b) of Your Excellency's letter of today to the leader of the Indian Trade Delegation and the query regarding
the new registered traders to be sponsored by the Royal Afghan Government, I write to clarify that the condition regarding trade
with India during the preceding four years will not be insisted upon in the case of these new traders, Yours sincerely, Sd- M.P. ALEXANDER. H.E. MR. M.R, Younossi, Leader of the Afghan Trade Delegation, Kabul. Kabul, July 10, 1958 Dear Mr. ALEXANDER, I write to acknowledge the receipt of your letter of to-day's date which reads as follows : (Not reproduced) I confirm that the above correctly sets out the understanding reached between us. Yours sincerely, Sd- M.R. Younossi. MR. M.P. ALEXANDER, Member, Indian Trade Delegation, Kabul.
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