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The following text is intended for general reference only. It is currently under review for accuracy and completeness, as well as formatting.


Geneva, 24 March 1994

MEMORANDUM OF UNDERSTANDING RESULTS OF URUGUAY ROUND MARKET ACCESS NEGOTIATIONS ON AGRICULTURE BETWEEN THE UNITED STATES OF AMERICA AND ARGENTINA

1. The Republic of Argentina and the United States of America have concluded their bilateral negotiations with respect to agriculture products within the framework of the Uruguay Round of trade negotiations. Below are the results of that negotiation.

Beef

2. The United States Government, through the Department of Agriculture (USDA), commits to engage in consultations with Argentine authorities and to make its best efforts to achieve a mutually satisfactory resolution of outstanding issues related to U.S. health and sanitary restrictions on Argentine beef.

3. Sanitary agencies of both governments will establish a working group and a specific agenda as soon as possible after the Marrakach Ministerial Meeting.

4. Once Argentina is approved by the appropriate USDA authorities to ship fresh, chilled or frozen beef to the United States, the United States will increase the amount of the tariff-rate quota for beef granted by the United States in its Uruguay Round Schedule of Concessions by at least 20,000 MT (boneless basis) and allocate the amount of the increase to Argentina.

Peanuts and peanut products

5. In implementing its minimum access tariff-rate quota for peanuts the United States will allocate to Argentina 78% of the amount of such tariff-quota in a manner consistent with the requirements of Article XIII of the GATT. Access under such quota may require an appropriate certificate of origin. The new allocations to Argentina will be as follows:

Year      Volume

1995      26.341
1996      29.853
1997      33.365
1998      36.877
1999      40.388
2000      43.901

6. Argentina accepts that the United States will establish a tariff-rate quota for peanut butter and peanut paste as part of its Uruguay Round market access offer on peanuts and that such tariff-rate quota will include the following elements: 

1) An in-quota amount for peanut butter and peanut paste (tariff line 20.08.11.11) of 3.650 metric tons will be allocated to Argentina in the first year of implementation of the Uruguay Round; 
2) An additional in-quota amount of 1.600 metric tons will be allocated for developing countries which are included in the existing list of eligible countries under the General System of Preferences applied by the United States on the date of this Memorandum of Understanding (this allocation is in accordance with Paragraph 1 of Article 15 of the Agreement on Agriculture); of that amount 750 metric tons will be allocated during the first year of implementation of the Uruguay Round and, subsequently, 850 metric tons will be distributed on equal installments during the rest of the implementation period of the Round (1996-2000);
3) An additional in-quota amount of 250 metric tons will be allocated to other countries; 
4) The in-quota tariff rate will be fixed initially at the same duty level and reduced on the same schedule as applicable to Canada under the bilateral Free Trade Agreement between Canada and the United States; 
5) The over-quota tariff rate will be 155% and applied to all peanut products in 20.08.11 as well as for shelled peanuts in chapter 13.

7. Argentina runner-type or Argentine ground nut kernel-type peanuts, and peanut butter and peanut paste manufactured from these peanuts will be eligible for entry into the United States under these provisions, assuming that the products meet the relevant U.S. standards. In every case, an appropriate certificate of origin will be required.

Cheese

8. The government of the United States will grant to Argentina an additional quota of 2.000 metric tons of cheese (specified in annex 1) to be fully implemented from the beginning of the Uruguay Round implementation period. These quantities will not be subject to reallocation without the consent of the government of Argentina. The government of Argentina may designate a U.S. importer for these quantities if it so chooses.

9. Argentina will fully implement the tariff concessions listed in annex 2 on almonds, in-shell (080211); almonds, shelled (080212); walnuts, in-shell (080231); and walnut, shelled (080232) from the beginning of the implementation period.

Tariffs and tariff-rate quotas

10. The attached annexes contain additional concessions exchanged between Argentina and the United States of America.

H.E. Mr. Juan Carlos Sanchez Arnau Mr. Andrew L. Stoler for the Republic of Argentina for the United States of America


ANNEX 1

Tariff concessions Granted by
the United States of America

HS Number             Product Description                           Base Rate Final               Bound Rate

0813300000            apples dried                                               1.65c/kg                     0.74c/kg
1005902000            yellow dent corn                                           0.2c/kg                     0.05c/kg
1005904000            corn, other                                                  0.98c/kg                    0.25c/kg
1007000000            grain sorghum                                             0.88c/kg                     0.22c/kg
1104220000            oats, otherwise worked                                    2.0%                          0.5%
1601004000            products of beef meat, offal or blood 
                             airtight containers                                             7.5%                          3.4%
1602500900            prep/pres bovine meat                                    10.0%                         4.5%
1602502000            prep/pres beef                                                  3.0%                         1.4%
1602506000            prep/pres meat of bovine animals, 
                             no cereal/veg                                                    4.0%                         1.8%
20083037000          pulp of citrus fruit otherwise prep/prep 
                             grape juice (including grape must)                    15.0%                        6.8%
20096000               grape juice (including grape must)                    6.6c/lt                        4.4c/lt
3301130000            essential oils of lemon                                        8.5%                         3.8%
3301191000            essential oils of grapefruit                                   6.0%                         0.7%

Additional Concessions

Classification            Product Description                                    concession

9904.10.37              Edam and gouda cheese                              tariff-rate quota of 110 metric tons
9904.10.43              Italian-type cheese                                       tariff-rate quota of 1890 metric tons


ANNEX 2

Tariff Concessions Granted by
Argentina to the United States

HS Number          Product Description                                               Base Rate         Final Bound Rate

071290                 other beans & vegetables                                            35%                  20% mixed
080211                 almonds, in shell                                                          35%                  10%
080212                 almonds, shelled                                                          35%                  10%
080231                 walnuts, in shell                                                           35%                  10%
080232                 walnuts, shelled                                                           35%                  10%
100810                 buckwheat                                                                   35%                  20%
130120                 gum arabic                                                                  35%                  15%
130212                 vegetable juice and extracts, of licorice                           35%                  15%
130213                  vegetable juice and extracts, of hope                            35%                  15%
150200                  tallow                                                                         35%                  30%
151710                  margarine, x liquid                                                       35%                  20%
170410                  chewing gum                                                               35%                  25%
180631                  chocolate & preps w/cocoa, slabs & bars filled               35%                  25%
180632                  chocolate & preps w/ cocoa, slabs & bars, not filled        35%                  25%
180690                  other preps which contain chocolate                              35%                  25%
200819                  fruits of skin, mixed, other                                             35%                  25%
210390                  other preps for sauces condiments & seasoning             35%                  22%
210410                  preps for soups, potages, broths soups, potages
                              & broths                                                                     35%                  22%
210690                  other food preps NES                                                    35%                  22%
230910                  dog/cat food                                                                 35%                  20%
230990                  other preps used in animal feed                                      35%                  20%
350400                  peptones and their derivatives                                      35%                  22%
430180                  other furs, complete including w/o the head, 
                              the tail/paw                                                                  35%                  20%


Last modified: Friday, November 18, 2005