Diplomatic statements and attitudes of members of the Council of the Customs Union between the Czech Republic and Slovakia presented at December session (1998) indicated the shift of sol-ving problems regarding trade exchange of some goods between Slovakia and the Czech Republic to later period of the year.

At regular meeting of the Council of Customs Union (RCU) between the Czech Republic and Slovakia, members of the Slovak government - Ludovit Cernak (chief of the delegation), Brigita Schmognerova and Pavol Koncos - met with their Czech counterparts Miroslav Gregr (chief of the delegation), Ivo Sloboda and Jan Fencl. Miroslav Gregr, Czech Minister of Industry and Trade, indicated the atmosphere and results of the RCU session held in Bratislava in the following way: "I am glad that this session is important as I represent very young Czech government and Slovak Economy Minister Ludovit Cernak even younger Slovak government. I think that various mutual negotiations and talks have a good drift and we are trying to find mutual agreement in order not to discriminate any of the two parties."

Slovakia has a chairman for a six-year period.

New RCU chairman for period of following six months, Slovak Economy Minister Ludovit Cernak, also indicated the mutual negotiations as being constructive, while he highlighted mainly effort in finding the joint standpoints. The two parties agreed that mutual relation cannot be seen through the most sensitive area of agricultural and food products, but it should be seen through the complex of valid agreements in this field. According to the statement of L. Cernak, representatives of the two governments agreed that agricultural committee will continue in discussion regarding request of the Slovak side not to issue quotas in mutual trade in selected agricultural-food commodities next year. As a specific problem, L. Cernak considers to be our export of izoglocuse (sweetener produced of corn) to the Czech Republic. "We argued that Slovak producer is just starting its production and its share - 1.16 percent - is negligible on Czech market. According to our opinion, limiting would not be in terms of rules by the World Trade Organisation (WTO).T On the other hand, we acknowledge justified claims of the Czech Republic to Slovakia's measures regarding import of beer and soft drinks from the Czech Republic to Slovakia. Therefore, we asked an authorised committee to submit balance, of which the dynamics of individual commodities growth, respectively advantage and authority of further validity of our customs measures, will be clear. It is a certain compromise before precedent RCU decision. Firstly we will fulfil all steps, which allow us to conclude the agreement," said L. Cernak.

Financial Means and Not Imports Complicate Situation

Concerning complications of our beer producers, Slovak Economy Minister considers their complicated financial situation, which according to his opinion causes them more problems in beer production as compared with competition of the Czech beer during the term of validity of our protective measures, as being the biggest problem. He further said import of soft drinks fell to 53 percent, because several producers (for example Coca-Cola) established their production in Slovakia and so protective measure lost their importance. Council of the committee set to prepare data, which allow evaluate purposefulness of further function of Slovakia's import measures. Chiefs of the two delegations spoke in favour of priority conclusion of the so-called self-limitation agreements on the level of producers' associations of the two parties. Council of the Customs Union approved also fundamental part of the customs tariff for 1999. So far, the issue regarding duty on wine import remains open. RCU members agreed also on joint proceeding in selection of countries, which are to negotiate with Slovakia and the Czech Republic on agreements regarding free trade for 1999. Similarly, RCU members agreed with beginning of the session on the free trade zone with Croatia in connection with the process of discussion of this country with the WTO.

Certification Must be Approximated with the EU's

Regarding problems of goods marking and certification, L. Cernak said that this issue was a subject of bilateral sessions during the visit of Czech Prime Minister Milos Zeman to Bratislava. According to his opinion, agreement, according to which our way would be in conformity with the EU requirements, was concluded. In the legislative process this means preparation of the norms on state administration, setting monopolies and technical conditions of products, evaluation of concord and responsibility of producers for damage caused by placement on the market. As such a legal norm is in force in the Czech Republic, we also must go a way of norm approximation with the EU. In this way, level of certificates would be different. According to M. Gregr, the process of exports and imports would be simple in mutual adoption of certification. An effort of the measures is to increase the volume of goods exchange between the two countries. After the session, representatives of the two countries signed an Agreement between the Czech and Slovak Governments, which amends some provisions of the protocol concerning definition of the term "original products" and methods of administrative cooperation set in inter-governmental agreement of December 21, 1996. The agreement amends provisions of the Article of previous agreement of February 22, 1993.

Slovak Trade FORUM