Explanatory Memorandum to COM(2007)68 - Conclusion of an additional Agreement between the EC, Switzerland and Liechtenstein extending to Liechtenstein the Agreement with Switzerland on trade in agricultural products

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1. In view of the customs union with the Swiss Confederation, the Principality of Liechtenstein has requested that the Agreement between the European Community and the Swiss Confederation on trade in agricultural products should apply to it.

2. Following the positive position taken by the Joint Committee on Agriculture and the Joint Veterinary Committee of that Agreement, consultations between the Commission, the Government of the Principality of Liechtenstein and the Swiss Federal Council were undertaken.

3. The Agreement will simplify the triangular relationship in trade in agricultural products between Liechtenstein, the Swiss Confederation and the Community, both for tariff and non tariff issues. At the same time, the situation as regards those matters covered by the Agreement on the European Economic Area that apply to Liechtenstein but not to the Swiss Confederation, has to be clarified in the form of a Decision of the EEA Joint Committee, to be adopted in accordance with the specific procedures foreseen.

4. The Commission, therefore, proposes that the Council adopt the decision on the conclusion of this Agreement and the corresponding EEA Joint Committee Decision entering into force on the same day.

5. Financial impact: no significant impact foreseen.