Brussels, 06/08/2004 (Agence Europe) - Director General Robert Verrue (DG TAXUD) and Israeli Ambassador Oded Eran initialled on 5 August a technical agreement on the modalities for identifying the origin of goods exported from Israel to the European Union. The agreement, which has still to be submitted to the College of Commissioners, early September, and to the EU-Israel Association Council, provides for the place of origin to appear on the goods, sources familiar with the dossier at the Commission say. The EU has long requested the place of production to be mentioned in order to allow differentiation between goods coming from Israel's Occupied Territories and goods produced in Israel proper which are covered by the association agreement and which are free of duties when entering the EU. When the agreement has been formally approved by both parties, the Commission will cancel the opinion to importers and the provisions that currently weigh down the customs verifications carried out on products from Israel.
The Israeli mission with the EU does not interpret this agreement in exactly the same way. In a press release, it states that Israel will specify the place from where products are exported to the EU. The press release also stresses that Israel will be able to fully take part in the enlarged system for cumulation of origin in the context of the Barcelona Process.
According to the figures given by the Israeli Minister for the Economy and Trade, exports from Israel to the EU total $17.5 billion annually, while the annual volume of products exported from Israel colonies in the West Bank and Gaza Strip would not exceed $120 million.