Agreement between the Government of the Kyrgyz Republic and Government of the Republic of Tajikistan on free trade

of January 19, 2000

The government of the Kyrgyz Republic and the Government of the Republic of Tajikistan which are hereinafter referred to as with the Parties

aiming at development of trade and economic cooperation between the Kyrgyz Republic and the Republic of Tajikistan on the basis of equality and mutual advantage,

expressing determination to promote harmonious development and growth of world trade, elimination of barriers on the way of its development,

agreed as follows:

Article 1

1. The parties do not apply the customs duties, taxes and fees having equivalent action, and also quantitative restrictions for export and/or commodity import, occurring from customs area of the state of one Party and intended for customs area of the state of other Party.

2. For the purposes of this agreement and for its action the goods coming from customs areas of the Parties are understood as the goods determined by the Rules of determination of the country of goods' origin approved by the decision of Council of Heads of Government of the Commonwealth of Independent States of September 24, 1993.

Article 2

The parties will not be:

- directly or indirectly to assess the goods falling under action of this agreement, the internal taxes or charges exceeding the corresponding taxes and fees which assess the similar goods of internal production or goods coming from the third countries;

- enter concerning the import or commodity export falling under action of this agreement, any special restrictions and requirements which in similar situation are not applied to similar goods of internal production or goods, origin from the third countries;

- apply to warehousing, overload, storage, transportation of goods by origin from other Party, and also payments of the rule others, than those which are applied in similar cases to own goods or goods by origin from the third countries.

Article 3

The parties in mutual trade will abstain from application of discriminatory measures, introduction of quantitative restrictions or measures equivalent to them for export and/or commodity import within this agreement.

The parties can set quantitative restrictions unilaterally, but only for strictly certain term.

These restrictions shall have exclusive nature and can be applied only in cases of acute shortage of these goods in the domestic market and acute shortage of paying balance.

The party applying quantitative restrictions according to this Article shall provide beforehand to other Party the complete information about basic reasons of introduction, forms and expected terms of application of the mentioned restrictions.

Article 4

All calculations and payments for trade and economic cooperation between business entities of the Parties will be made according to the Agreement between authorized banks of the Parties.

Article 5

The parties agree that the questions connected with re-export of goods are regulated by the Agreement on re-export of goods and procedure for issue of permissions to re-export of April 15, 1994.

In case of non-compliance with the above-named agreement the concerned party has the right, after preliminary consultations with other Party, to unilaterally enter measures for regulation of export of such goods on the territory of other Party which allowed uncoordinated re-export.

Article 6

The parties will communicate on regular basis about the laws and other regulations connected with economic activity including concerning trade, investments, the taxation, banking and insurance activity and other financial services, on transport and customs questions, including customs statistics.

The parties will timely report each other about changes in the national legal system which can influence accomplishment of this agreement.

Authorized bodies of the Parties will approve procedure for exchange of such information.

Article 7

The parties recognize incompatible with this agreement purposes unfair business practice, and not allow and eliminate its methods following, in particular:

- agreements between the companies, the decisions made by their associations and the common methods of business practice aiming to prevent or limit the competition or to violate conditions for it in the territory of the Parties;

- actions by means of which one or several companies use the dominant position, limiting the competition on all or on considerable part of the territory of the Parties.

Article 8

When implementing the bilateral economic relations, for exchange of statistical information, carrying out customs procedures of the Party agreed to use the single nine-digit Commodity nomenclature of foreign economic activity of the CIS (the Commodity Nomenclature of Foreign Economic Activity of the CIS) based on the Harmonized commodity description and coding system and the combined tariff and statistical nomenclature of the European Economic Community. At the same time for own needs of the states of the Party if necessary perform development of the Commodity nomenclature outside nine signs.

Introduction of reference copy of the Commodity nomenclature is performed on mutually agreed basis through the available representations in relevant international organizations.

Article 9

The parties agree that observance of liberty principle of transit is the most important condition of goal achievement of this agreement and essential element of process of their connection to system of the international Section of work and cooperation.

In this regard each Party will provide free transit through its territory of the goods coming from customs area of other Party or the third countries and intended for customs area of other Party or the third country and will provide to the exporters performing such transit, importers or carriers means, available and necessary for ensuring transit, and service on conditions, including financial, not the worst, than on what the same means and services are provided to own exporters, importers and carriers or exporters, importers and carriers of any third state.

Article 10

This agreement does not interfere with the right of the either party to take the commonly accepted measures in the international practice which she considers necessary for accomplishment of international treaties which participant she is or intends to become if these measures concern:

- information infringing on interests of national defense;

- arms trade, ammunition and military equipment;

- the researches or production connected with needs of defense;

- the supply of materials and the equipment used in the nuclear industry;

- protection of public morals and public order;

- protection of industrial and intellectual property;

- trade in gold, silver or other precious metals and stones;

- protection of life and human health, animals and plants.

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