str. 2The Government of the Republic of Mozambique and the Government of the Republic of Indonesia (hereinafter referred to individually as "a Party" and collectively as "the Parties"),
RECALLINGthe JointMinisterialStatementon theLaunchingof the Negotiations for Indonesia-Mozambique Preferential Trade Agreement which was agreed by the Minister of Industry and Trade of the Republic of Mozambique and the Minister of Trade of the Republic of Indonesia on 11 April 2018;
CONscloUS of their longstanding friendship and cooperation;
EXPECTING that thisAgreementwillcreateanewclimatefor economic cooperationbetween theParties;
RECOGNiSING that strengthening of their closer economic partnership willbring economic and social benefits and improve the living standards of their people;
ACKNOWLEDGINGthatthisAgreementwillfacilitateenterprises including the small and medium enterprises of both sides to benefit from closer economicrelations;
BEARINGINMINDthattheexpansionofmutual tradeandeconomic relationswill fosterfurther cooperation between theParties;
CONsclouS that such mutual trade arrangementswillcontribute to the promotion of closer links with other economies in the region;
BELIEVING that this Agreement could promote business collaborations andalsoextendtonewareasofmutual interests;
CONSIDERING that the expansion of their domestic markets, through commercial cooperation, is an important prerequisite for accelerating economic development of Parties; and
RECOGNiSINGthateliminationofbarrierstotradethroughthis
str. 2TheParties hereby establish a Preferential Trade Agreement in accordancewithArticleXXiVof theGeneralAgreementonTariffandTrade in Annex 1A to the WTO Agreement (hereinafter referred to as"GATT 1994").
For the purpose of this Agreement, the following terms shall have the meaning assignedtothemunlessstatedotherwise:
- (a) “days" means calendar days, including weekends and holidays;
- (b) "goods" constitute commodities and products under the Harmonized Commodity Description and Coding System;
- (c) "margin of preference" means percentage of tariff by which MFN tariffs ofpreferential treatment;
- (d) "tariffs" mean import duties included in the national tariff schedules of the Parties;
- (e) "WTO Agreement" means the Marrakesh Agreement Establishing the World Trade Organization, done at Marrakesh, April 15, 1994, as may beamended.
str. 2The objective of this Agreement is to strengthen trade relations between the Parties, particularly through:
- (a) reduction or elimination of tariffs on trade in goods;
- (b) elimination of non-tariff barriers on trade in goods.
TheAnnexestothisAgreementshallconstitute an integralpartof this Agreement.
str. 3ThisAgreement covers thelistsofproductsassetout inAnnexesI and Il.
str. 31. The Most Favoured Nation (hereinafter referred to as"MFN") applied tariff ratesof thePartiesof2017onallproductscoveredunderthisAgreementshall bereducedand,whererelevant,eliminated inaccordancewiththeirrespective schedule of tariff commitmentssetout inAnnexesI and Il. 2. If theMFNtariffrateofaPartyislower thanthepreferentialtariffrate provided for in its schedule of tariff commitments in Annexes I and ll, that Party shall apply the lower rate to the originating good of the other Party.
str. 3in accordancewithArticle Illof GATT 1994.To thisend,Article Illof GATT 1994 shallbeincorporated intoand madepartof thisAgreement,mutatismutandis.
str. 3The rules of origin, as stipulated under Annex lll shall be applicable to the goods covered under this Agreement to qualify for tariff preference.
str. 41. The rights and obligations of the Parties related to antidumping and WTO Agreement (hereinafter referred to as"AD Agreement") and the Agreement on Subsidies and Countervailing Measures in Annex 1A of the WTO Agreement (hereinafter referred to as the"SCM Agreement"). 2. Parties with regard to the application of antidumping and countervailing measures, as referred to in paragraph 1. 3. Agreement shall not be subject to Article 16 of this Agreement.
str. 41. Each Party retains its rights and obligations under Article XiX of GATT (hereinafter referred to as "Safeguards Agreement"), and any other relevant safeguard provisions in the WTO Agreement. 2. 2.1 This Agreement does not confer any additional rights or obligations on the Parties with regard to safeguard measures taken pursuant to Article XiX of GATT 1994 and the Safeguards Agreement. 3. For greater certainty, safeguard measures taken inconsistent with Article XIX of GATT 1994 and the Safeguard Agreement shall not be subject to Article 16 of thisAgreement.
str. 52. measuretoenhancecooperationandfacilitatetheexchangeofinformationto effectively address problems and obstacles potentially resulting from technical barrierstotrademeasures.
str. 5- The Parties reaffirm their existing rights and obligations with respect to Agreement"). 2. The Parties commit to apply the principles of the SPS Agreement in the with the intent to facilitate trade among the Parties while protecting human, animal, or plant life or health in the territory of each Party. - The Parties agree to exchange information on the application of sanitary
4.
str. 6The Parties agree to co-operate in the areas of animal health and plant
str. 61. and regulations in a predictable, consistent, transparent, and non-discriminatory manner and shallensure that its customs procedures are consistentwith international standardsandrecommendedpractices. 2. The customs administration of each Party shall cooperate in order to simplify and harmonise its customs procedures through capacity building, training, and knowledge sharing.
str. 61. Each Party shall ensure that its laws, regulations, procedures relating to available,whetherinprintorinelectronicformtotheextentpracticable and in a manner consistent withlaws and regulations. 2. A Party shall, upon request of the other Party, provide information and ( o pd e e n relating to proposed or actual measures that might affect the operation of this Agreement.
str. 61. ThePartieshereby establishaJointCommittee on the implementationof this Agreement (hereinafter referred to as the "Joint Committee") consisting of representativesoftheParties. 2. Thefunctionsof theJoint Committee shall be to:
- a. review the implementation and operation of this Agreement;
- c. carry out any other function as the Parties may agree. 5. 3.The Joint Committee shall meet at least once in every two year, unless the Parties agree otherwise, to review the progress made in the implementation of this Agreement. 6. 4.The Joint Committee shall set out its rules of procedures during its first meeting. 7.
str. 75. 6. The Joint Committee may also establish any other sub-committees or working groups as it deems necessary.
str. 71. implementation of this Agreement and shall make every attempt through cooperation and consultations to avoid disputes between them. 2. Any disputes arising from the interpretation or application of this
3. The request for consultations shall be in writing through diplomatic channel and shall include the reasons for the request, including the identification of the measure at issue and an indication of the legal basis for the complaint, and provide sufficient information to enable an examination of the matter. 4. If the Parties fail to resolve a dispute within 60 (sixty) days, or another period of time agreed by the Parties, after the date of receipt of the request for consultations provided under paragraph 3, the complaining Party may request in writingtheestablishmentofanArbitrationPanel. 5. The Arbitration Panel shall comprise of three arbitrators, where each Party shall appoint, within 20 (twenty) days of the date of referral, one arbitrator, and the Parties shall choose, within 45 (forty five) days of the date of referral, a third arbitratorwhowill serveasthechairperson. 6. The third arbitrator shall not be a national of either Party and shall be a nationalofastatehavingdiplomaticrelationswithbothPartiesatthetimeof appointment. 7. 7.The date of establishment of the Arbitration Panel shall be the date on which the chairperson is appointed. 8. Allarbitratorsshall:
9. (a) be chosen strictly on the basis of objectivity, reliability, and sound judgment;
10.
str. 8(b)have specialised knowledge or experience in law, international trade
11. (c) shall be independent, serve in their individual capacities and not be affiliated with, nor take instructions from any Party or organisation related to this dispute. 9. Unless otherwise decided by the Parties,Arbitration Panel proceedings establish theRulesofProcedureoftheArbitrationPanelwithin twoyearsafter the entry into force of this Agreement. 10. Each Party shall bear the expenses of its appointed arbitrator and its own expenses. The expense of the chairperson of the Arbitration Panel and other expenses associated with the conduct of the proceedings shall be borne equally by the Parties. 11. The Parties shall take the necessary measures to implement the decision of the Arbitration Panel. If a Party fails to implement the decisions, the other Party shall have the right to withdraw the equivalent preferential treatment.Such withdrawal shall be a temporary until the decision is implemented or a mutually satisfactorysolutionisreached.
str. 8EachPartyreaffirms itsrights and obligationsunder theWTOAgreement Agreement shall not prevent the establishment of customs unions, free trade areas, preferential trade agreements,multilateral trade agreements,or crossborder trade arrangements between a Party and other states.
str. 8EachParty shalldesignate a contact point tofacilitatecommunication among the Parties on any matter relating to this Agreement.A Party shall notify
str. 9l se undertakenbytheJointCommittee.
str. 9- 1.TheParties shallconclude thediscussions onProduct Specific Rules (AttachmentBofAnnex lll)withinoneyearofthedateofentry intoforceof thisAgreement,unlessotherwiseagreedbytheParties. 2. Product Specific Rules (Attachment B of Annex Ill) shall enter into force on date to be agreed by the Parties.
str. 91. Any Party shall notify in writing to the other Party of its intention to modify, or amend anyprovisionor concession under thisAgreement. 2. Any modification or amendment of this Agreement or its Annexes shall Agreement. 3. Such amendment shall enter into force 60 (sixty) days, or as otherwise agreed by the Parties, after the receipt of the latter diplomatic note confirming intoforceof themodificationoramendmenthavebeencompleted.
str. 102. This Agreement shall remain in force unless terminated by either Party. 3. Either Party may terminate this Agreement by a written notification to the other Party. This Agreement shall expire 180 (one hundred eighty) days after the date of such notification. IN WITNESS WHEREOF, the undersigned,being duly authorised thereto by their respective Governments, have signed this Agreement. DONE in duplicate at Maputo, Mozambique, on 27 August 2019, in the English, Indonesian, and Portuguese languages. All texts being equally authentic. In case of any dispute arising from the interpretation of this Agreement, the English text shall prevail.
FORTHEGOVERNMENT OFTHEREPUBLICOF MOZAMBIQUE
FORTHEGOVERNMENT OFTHEREPUBLICOFINDONESIA
eB.X
RAGENDRABERTADESOUSA MinisterofTradeandIndustry
ENGGARTIASTOLUKITA Ministerof Trade