European Union and Norway agree on free trade of agricultural products 

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The European Union and Norway came to an agreement which will facilitate bilateral trade in agricultural products, allowing EU exporters to reinforce their position on their 8th largest export market for agricultural products.

Commissioner for agriculture, Phil Hogan, today said: “I welcome this agreement, which will facilitate trade between the EU and Norway.  It will provide more market opportunities for our EU producers and contribute to the continuation of our EU agri-food export success.  The EU is the number 1 agri-food exporter in the world with €130 billion of exports in 2016.”

The EU and Norway are signatories to the 1992 Agreement on the European Economic Area (EEA Agreement), which provides for the free movement of goods, with the exception of agricultural and fisheries products. Article 19 of the EEA Agreement provides that the parties will review efforts on the further reduction of any type of barriers to trade in the agricultural sector.

The agreement reached following two years of negotiations will grant mutual duty-free access for 36 tariff lines, including for example various types of live plants, corn for feed, various berries and fermented beverages such as perry and cider.

As regards products such as meat, dairy, grains, vegetables and ornamental plants, Norway will grant the EU tariff quotas. In particular, Norway will offer in the meat sector an additional 1600-ton quota for bovine meat and smaller quotas for EU chicken and duck meat, pork, hams and sausages. In the dairy sector Norway will open an additional 1200-ton quota for cheese. As regards the remaining sectors Norway will offer additional market opening for EU ornamental plants, maize and lettuce.

The EU will reciprocate by opening a 700-ton quota for various types of chicken meat, a quota for preserved meat and offal. In the dairy sector the EU will offer Norway quotas for dried milk albumin and whey products. In addition, Norway would be able to benefit from quotas for freshly cut flowers and for potato chips. EU would also provide Norway for duty free market access for a type of animal feed and bran, sharps and other residues.

The agreement will now go through the relevant procedure for its adoption and signature by the Council, approval by the European Parliament and entry into force. This will happen once both sides complete all the necessary steps.

Background

The exports of EU agricultural products to Norway have been steadily growing over the last decade and almost doubled during this period to €2.5 billion. Norway is a net importer of agricultural products and the agricultural trade balance is in favour of the EU. As regards total trade, Norway enjoys a positive trade balance with the EU.For More Information

Source: European Commission

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