Agreement between the Government of the Republic of Kazakhstan and Government of the Republic of Belarus on free trade

of September 23, 1997

The government of the Republic of Kazakhstan and the Government of the Republic of Belarus which are referred to as further with the Parties

realizing the Agreement on the Customs union of January 20, 1995, the Agreement on deepening of integration in economic and humanitarian areas between the Republic of Belarus, the Republic of Kazakhstan, the Kyrgyz Republic and the Russian Federation of March 29, 1996, aiming at development of trade and economic cooperation between the Republic of Kazakhstan and the Republic of Belarus on the basis of equality and mutual advantage,

considering the developed integration commercial ties of the Republic of Kazakhstan and the Republic of Belarus, and complementarity of economies of two states,

aiming at forming of common economic space, the providing effective functioning of the total market of goods and services,

confirming commitment of the Republic of Kazakhstan and the Republic of Belarus to the principles of the General Agreement on Tariffs and Trade (GATT) and the World Trade Organization (WTO),

agreed as follows:

Article 1

The parties, being guided by the principles of equality, mutual advantage and interest, will develop and expand trade and economic relations between business entities irrespective of their pattern of ownership on the basis of direct economic connections with observance of the legal acts existing in the states of the Parties.

Each of the Parties abstains from the actions capable to cause economic damage to other Party.

Article 2

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

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

Article 3

Each Party will not be:

directly or indirectly to assess the goods of other Party falling under action of this agreement, the internal taxes or charges exceeding the corresponding taxes or charges 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 or requirements which in similar situation are not applied to the similar goods of internal production or goods coming from the third countries;

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

Article 4

The parties will abstain from application of quantitative restrictions or measures equivalent to them for export and/or commodity import within this agreement. The parties can set quantitative or other special restrictions unilaterally, but only reasonably and for strictly certain term. These restrictions shall have exclusive nature and can be applied only in cases:

acute shortage of these goods in the domestic market - before stabilization of the situation in the market; acute shortage payment балансадо stabilization of provisions with paying balance; if any goods imported on the territory of the state of one of the Parties in such increased quantities or on such conditions which cause or threaten to cause damage to domestic manufacturers of the similar or directly competing goods; for the purpose of implementation of measures, stipulated in Article the 11th this agreement.

The party applying restrictions according to this Article shall provide beforehand to other Contracting Party the complete information about basic reasons of introduction, forms and expected terms of application of the mentioned restrictions then consultations are appointed. The decisions made during consultations are drawn up by the relevant documents.

In case of the choice of measures according to this Article of the Party will give priority to those from them which exert the smallest negative impact on goal achievement of this agreement.

Article 5

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

protection of life and human health, environment, animal protection and plants; protection of public morals and public order;

ensuring national security;

maintenance of international efforts on not distribution of weapons of mass destruction; trade in gold, silver or other precious metals and stones;

preserving irreplaceable natural resources;

restrictions of export of products when internal price on these products is lower than support, world as a result of implementation of state programs;

protection of industrial and intellectual property;

protection of the art, archaeological and historical values making national property;

the measures applied in wartime or in other force majeure in the international relations;

actions in obligation fulfillment based on the Charter of the UN for preserving international peace and safety;

The party intending to enter measures according to this Article shall beforehand prior to application of such measures, except as specified the emergency nature, to provide to other Party the complete information about basic reasons of introduction, forms and expected terms of application of the mentioned restrictions then consultations are appointed.

Article 6

All calculations and payments for trade and economic cooperation between business entities of the states of the Parties will be made on the basis of the relevant interbank agreements.

Article 7

The parties will communicate on regular basis about internal legal regulation of foreign economic relations, including concerning trade, investments, the taxation, banking and insurance activity and other services, on transport and customs questions, including the customs statistics concerning the Parties.

The parties without delay 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. Provisions of this Article will not be:

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