Brussels, 16/07/2002 (Agence Europe) - Negotiations between the European Union and Switzerland were launched on Monday, in Brussels, by the two heads of delegation, Hervé Jouanjean, Director at the Commission, for the European side, and Ambassador Oscar Zosso, for the Swiss side. Working groups will begin their work in September and the two heads of delegation should meet again at the end of September or early October to assess progress made.
As the political declaration adopted in 1999 sets out, the aim is to conclude a free trade agreement in the area of services based on acquis communautaire. Other than the air and overland transport sectors which are already covered by agreements, or the audiovisual sector, which must be the subject of another negotiation, all services are part of the negotiation: banking, insurance, telecommunications, postal services, etc., the Swiss negotiator insisted when speaking to the press.
Both parties must, however, specify the sectors that will be effectively covered by liberalisation and the "relevant" areas of acquis communautaire (current or in the process of being adopted). Switzerland is likely to have problems when adopting Community legislation on prudential supervision of banks, which could affect the "banking secret". At this stage, "the question has not yet been tackled, but will be raised sooner or later", said Oscar Zosso. He also agreed that "we do not yet know what the competition rules, either horizontal or sector-specific, will be as part of the relevant acquis". A negotiation group on "institutional" issues should tackle the arrangements for Switzerland's participation in the development of future EU decisions in the services field. "The aim is to find a reasonable system that does not upset the European institutional system", he said.