| TRADE AND PAYMENTS AGREEMENT BETWEEN THE GOVERNMENT OF INDIA AND THE GOVERNMENT OF THE FEDERAL PEOPLE'S REPUBLIC OF YUGOSLAVIA New Delhi, 21 January 1960 The Government of India and the Government of the Federal People's Republic of Yugoslavia, animated by the desire to develop economic
and trade relations between the two countries on a mutually advantageous basis and to increase the volume of trade between them to as high a level as is possible, have agreed upon the following
: Article I (a) Both Governments will in every possible way develop and strengthen the economic and trade relations between the two countries
on the principles of equality and mutual benefit. They will study and with the utmost goodwill take decisions on the suggestions which either of them would like to present for the
consideration of the other, with the purpose of achieving closer economic relations. (b) For the goods imported and exported from one country to the other, both Governments pledge themselves to grant all facilities
allowed by their respective laws, rules and regulations. During the period of validity of this Agreement the total value of the imports
will be equal to the total value of the exports effected by either country. For this purpose and for periodic reviews, imports,-
whether on deferred payment terms, or on cash basis,' relating to the contracts concluded and to be concluded on the basis of this
and earlier Indo-Yugoslav Trade Agreement, will be taken into account as and when payments are made. (a) Each Contracting Party shall, in so far as the same may be permissible under the laws in force, in their respective territories,
grant to the citizens, commercial companies and organisations of the other Contracting Party all such facilities~ as may be reasonably
necessary for carrying on trade or other commercial activities in the territorv of the Contracting Party, in accordance with the
laws and regulations in force in the territory of such Contracting Party. (b) Both the Parties grant each other most-favoured-nation treatment in respect of customs duties and charges on any account imposed
on imports, or exports, or in respect of methods of levying such duties and charges and with respect to rules, formalities and charges
in connection with customs clearing operations. The above provisions shall not, however, apply to the grant, or continuance of any (i) advantages accorded by either Party t o contiguous countries for the purpose of facilitating frontier traffic; (ii) preferences, or advantages accorded by India to any country existing -on the 24th July, 1953, or in replacement of such preferences,
or advantages that existed prior to the 15th August, 1947; (iii) advantages resulting from any agreement for the establishment of any customs union or tariff free area to which the Government
of the Federal People's Republic of Yugoslavia, or India may become a party. Article II The export of goods from Yugoslavia to India and from India to Yugoslavia during the period of validity of the present Agreement will
be carried out in accordance with the Schedules Wand V to be agreed upon between the two Governments for every calendar year. The goods agreed upon for export from Yugoslavia to India and from India to Yugoslavia during the first year of the present Agreeements
are set out in the attached Schedules 'A' and 'B' respectively. Article III The import and export of the goods stipulated in Article 11, will be carried out in accordance with the export, import and foreign
exchange regulations in force in either country and on the basis of contracts to be concluded between the Yugoslav Enterprises on
the one side and the Indian physical and juridical parties, including Indian State-owned Organisations, on the other. Article IV The provisions of the present Agreement do not affect the rights of Yugoslav and the rights of the Indian physical and juridical parties,
subject to the import, export and foreign exchange regulations in force in both the countries, of concluding commercial transactions
concerning the import or export of goods not included in the Schedules'A' and `B'. Article V Both Governments will render all possible assistance for the export and import of the goods mentioned in the Schedule 'A' and S' as
well as for the goods to be exported and imported under the transactions referred to in Article IV. Article VI All payments of a commercial and non-commercial nature between the Republic of India and the Federal People's- Republic of Yugoslavia
will be effected in non-convertible Indian Rupees, For this purpose, the National Bank of the Federal People's Republic of Yugoslavia will maintain a Central Account with the Reserve
Bank of India and, at its discretion, one or more accounts in Indian rupees, with one or more commercial banks in India, authorised
to deal in foreign exchange. Other Yugoslav Banks, authorised to deal in foreign exchange shall open similar accounts with Commercial Banks in India in consultation
with the Reserve Bank of India. (1) (a) The Central Account ' maintained by the National Bank of the Federal People's Republic of Yugoslavia with the Reserve Bank
of India, will be used for depositing the rupee holdings of the National Bank of the Federal People's Republic of Yugoslavia and
for replenishing the accounts of the National Bank of the Federal People's Republic of Yugoslavia with the authorised Indian Commercial
Bank and for operating the technical credit. (b) The accounts maintained by the National Bank of the Federal People's Republic of Yugoslavia and the accounts maintained by other
authorised Yugoslav Banks with the Indian Commercial Banks will be used for carrying out all other operations, connected with the
payments of a commercial and non-commercial nature, as mentioned above. 2. (a) The Central Account will be replenished by transfers of funds in Indian rupees from the accounts maintained by the National
Bank of the Federal People's Republic Of Yugoslavia and, other authorised Yugoslav Banks with the Indian Commercial Banks and by
receipts under the technical credit. (b) The accounts with the Commercial Banks will be replenished by transfers of funds from other similar account the Central Account.
- 3. (a) The payments permitted in accordance with the Indian Foreign Exchange Control Laws and Regulations will be effected on the
basis of this Agreement to the physical and juridical persons residing in the Federal People's Republic of Yugoslavia to the physical
and juridical persons residing in India by crediting the amount of such payments to the accounts of the National Bank of the Federal
People's Republic of Yugoslavia and other authorised Yugoslav Banks with the Commercial Indian Banks. (b) Likewise, the payments which are to be effected by the physical andjuridical persons residing in the Federal People's Republic
of Yugoslavia to the physical and juridical persons residing in India in accordance with the Yugoslav Foreign Exchange Control Laws
and Regulations will be effected by debiting the accounts maintained by the National Bank of the Federal People's Republic of Yugoslavia
and other authorised Yugoslav Banks with the Indian Commercial Banks under the instructions of the National Bank of the Federal People's
Republic of Yugoslavia, or authorised Yugoslav Bank, as the case may be. Article VII The reciprocal commitments, expressed in another currency than the Indian rupees but paid in Indian rupees will be converted in Indian
rupees at the official parity of that currency, in respect of the Indian rupee, in force on the day of the payment. Article VIII Any balance in the Rupee Accounts of the National Bank of the Federal People's Republic of Yugoslavia or balances of authorised Yugoslav
Banks, or any debt of the National Bank of the Federal People's Republic of Yugoslavia in connection with the grant of technical
credit or debits if any, of authorised Yugoslav Banks will upon expiry of this Agreement, be used during the ensuing 9 months For
the purchase of Indian or Yugoslav goods, as the case may be. After the expiry of this period, any balances outstanding will be settled in such a way, as may be agreed upon between the two parties.
Article IX The provisions of the Convention and Statute on the international regime of maritime ports and protocol of signature (Geneva December
9, 1923) shall govern the mutual treatment of the merchant other ships of the Contracting Parties. In particular, ships sailing under
he flag of either country shall in respect of bunkering and services be accorded in the ports of the other country the same facilities
and the same treatment in respect of duties and taxes as are accorded to national shipping, except that any concessions made to shipping
engaged in the coastal trade of either country shall not be admissible to ships of the other country. As regards the treatment of crews, the captain and members of the crews of the merchant ships of each Contracting Party will be accorded
the most-favoured-nation treatment by the competent authority of the other Contracting Party. Article X Both Governments agree to take necessary steps, as the and to find appropriate, to strengthen mutual economieving that in view, further
develop mutual economic cooperation. Ha they shall conclude, as soon as possible an a economic cooperation. Article XI In order to facilitate th I e implementation of the Agreement, the two Contracting Parties agree to consult each other in respect
of matters connected with the trade and a countries. For this purpose, the representatives of the two Governments will meet at the request of either party at a place and time to agreed
upon, the meeting being held on a date within 45 days of the request. Article XII The present Agreement shall be implemented from Ist January 1960 and shall come into force upon the approval of the authorities concerned
and shall remain in force for a period of three years from the date of its signature. For the purchase of Indian or Yugoslav goods, as the case may be. After the expiry of this period, any balances outstanding will be settled in such a way, as may be agreed upon between the two parties.
Article IX The provisions of the Convention and Statute on the international regime of maritime ports and protocol of signature (Geneva December
9, 1923) shall govern the mutual treatment of the merchant other ships of the Contracting Parties. In particular, ships sailing under
he flag of either country shall in respect of bunkering and services be accorded in the ports of the other country the same facilities
and the same treatment in respect of duties and taxes as are accorded to national shipping, except that any concessions made to shipping
engaged in the coastal trade of either country shall not be admissible to ships of the other country. As regards the treatment of crews, the captain and members of the crews of the merchant ships of each Contracting Party will be accorded
the most-favoured-nation treatment by the competent authority of the other Contracting Party. Article X Both Governments agree to take necessary steps, as the nd to find appropriate, to strengthen mutual economieving that in view, further develop mutual economic cooperation. Ha they shall conclude,
as soon as possible an a economic cooperation. Article XII I Inorder to facilitate the implementation of the Agreement, the two Contracting Parties agree to consult each other in respect of matters
connected with the trade and a countries. For this purpose, the representatives of the two Governments will meet at the request of either party at a place and time to agreed
upon, the meeting being held on a date within 45 days of the request. Article XII The present Agreement shall be implemented from Ist January 1960 and shall come into force upon the approval of the authorities concerned
and shall remain in force for a period of three years from the date of its signature. The Schedules 'A' and `B' can be extended, altered, or renewed by letters exchanged between the two Parties at the end of each calendar
year. DONE in New Delhi, on the twenty-first day of January, 1960, in two originals in the English language, both texts being equally authentic.
On behalf of the Government of India:
Sd/- K.B. LALL. On behalf of the Government of the Federal People's Republic of Yugoslavia:
Sd/- Milos Lalovic. SCHEDULE A GOODS AVAILABLE FOR EXPORT FROM YUGOSLAVIA TO INDIA 1. Hops and malts. 2. Medicinal herbs. 3. Fuel oil. 4. Motor oil. 5. Cotton thread for fishing nets. 6. Caustic soda. 7. Ammonia soda. 8. Natrium Sulphate. 9. Seamless Pipes. 10. Rails. 11. Chemicals for Textile and Leather Industry. 12. Basic material for dyes. 13. Tar. 14. Polyvinyl Chloride (PVC) Powder. 16. Chemicals for dyes and tanning. 16. Pharmaceuticals. 17. Steel structures. 18. Raw Asbestos. 19. Insulators for high voltage. 20. Refractory bricks. 21. Bismuth. 22. Watches. 23. Special steel etc. 24. Steel Plates and Sheets, sections, bars, wires and wire rods. 25. Steel screws bolts, rivets and nails. 26. Railway wagons, tip wagons, rails, points and crossing and railway accessories. 27. Aluminium bars, sheets, plates, conductors, sections, aluminium wire rods. 28. Transformers. 29. Electric Service Meters. '10. Lead ingots, sheets, pipes, etc. 31. Zinc ingots, plates, sheets, etc- 32. Antimony. 33. Alloys and articles of non-ferrous metals. 34. Metal, steelware and tools. 35. Steam boilers, diesel and steam locomotives, tractors. 36. Water turbines, pumps, valves and other hydraulic equipments. 37. Steam turbines and diesel engines over 30 h.p. 38. Textile machinery and accessories. 39. Films, photo material, cine films, photo paper, etc. 40. Electric generators, diesel and hydro-electrical equipment and accessories. 41. Electric motors over 50 h.p. and their accessories. 42. Electrical controlling and transmission equipment. 43. Electrical instruments, apparatus and accessories. 44. Documentary and entertainment films. 45. Cine projectors, radio parts, telephone spare parts and telephone installations for high frequency. 46. Telephone and electrical insulating cables for high current. 47. Electro-medical, veterinary and dental apparatus and instruments. 48. Machine tools, complete workshops, tools and accessories. 49. Mining machinery and equipment. 50. Wood working machinery, tools and accessories. 51. Construction machinery. 52. Cranes-industrial, flating port, mobile hand cranes and crabs. 53. Complete industrial plants and equipments. 54. Ships-Passenger, cargo and Tankers, Light-house. 55. Miscellaneous. SCHEDULE B GOODS AVAILABLE FOR EXPORT FROM INDIA TO YUGOSLAVIA Food: 1 Fruits, dried. 2. Fruits, canned. .3. Fruits, fresh. 4. Cashewnuts and other nuts. 5. Jams, chutnies and pickles, 6. Pepper. 7. Other spices. 8. Fruit juices and squashes. 9. Oil cakes, de-oiled. 10. Sugar. 11. Cocoa beans. 12. Gum tragacanth. 13. Frozen meat. 14. Frozen fish and prawns. Beverages and tobacco 15. Rum. 16. Tea. 17. Coffee. 18. Tobacco and cigars, III Crude materials, inedible: 19 Shellac. 20. Gums and resins. 21. Hides and skins, raw, serni-processed and tanned. 22. Raw furs. 23. Cashew shell oil. 24. Turpentine oil, crude. 25. Bees wax and other insect waxes, crude. 26. Cotton, raw, cotton waste, cotton linters. 27. Silk waste. 28. Wool, raw or washed. 29. Wool waste. 30. Kapok. 31. Coir, fibres, yarn and other products, 32. Palm fibres and yarn. 33. Animal bristles and hair. 34. Vegetable fibres for brushes and brooms. 35. Horns. IV. Minerals and allied materials: 36. Mica and micaceous wastes. 37. Bauxite. 38. Chrome ore. 39. Iron ore. 40. Kayanite ore. 41. Manganeseore. 42. Manganesite. 43. Manganese dioxide. 44. Pig iron. 45. Ferro-manganese. 46. Coal. V. Anitual and vegetable oils and fats: 47. Shark oil. 48. Vegetable oils (non-essential), including linseed oil, groundmit oil, cotton seed oil, castor oil etc. VI. Chemicals: 49. Soap stone. 50. Essential oils. 51. Crushed bones. 52. Animal albumen. 53. Tanning substances including myrobalan, myrobalan extracts and catechu. 54. Chernicals 55. Magnesium chloride. 56. Liquid chlorine. 57. Hydrogen peroxide. 58. Pharmaceutical glycerine. 59. Technical glycerine. 60. Naphthalene, raw. 61. Drugs, medicines and medicinal herbs. VII Manufactured goods classified chiefly by materials: 62. Leather and Leather manufactures. 63. Shoes. 64. Cotton piecegoods, cotton yams. 65. Jute manufactures. 66. Silk fabrics (silk and art silk fabrics). 67. Woollen fabrics. 68. Cordage and ropes. 69. Other textile products. 70. Sports goods. 71. Light engineering goods. 72. Carpets. 73. Textile machinery and accessories. VIII. Handicrafts: 74. Indian handicrafts and cottage industry products, e.g. handloom (cotton and silk), artistic* silver, brass and bidri products,
ivory articles, wood carvings, etc. IX Miscellaneous items: 75. Animals, living, including wild animals. 76. Sundry timbers. 77. Bird feathers 78. Cinematographic films, exposed. 79. Precious stones and senvi precious stones, cut and polished including diamonds. 80. Printed matter including books and periodicals. 81. Troca shells and other shells. 82. Electric motors and pumps. 83. Diesel engines, stationary. 84. Vehicular diesel engines. 85. Storage batteries. 86. Dry batteries. 87, Gaskets (Metallic as well as non-metallic). 88. Refrigerators. 89. Polystyrene. 90. Plywood. 91. Linoleum. 92. Laminated jute bags. 93. Plastic manufactures. 94- Air conditioners. 95. Brassware.
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