WORLD TRADE
ORGANIZATIONWT/REG135/3
11 March 2003
(03-1372)
Committee on Regional Trade Agreements Original:  English
FREE TRADE AGREEMENT BETWEEN TURKEY AND SLOVENIA
Communication from the Parties
I. BACKGROUND INFORMATION ON THE AGREEMENT
1. Membership, dates of signature, ratification and entry into force
The Parties to the Agreement are the Republic of Turkey and the Republic of Slovenia.  The
Agreement applies in respect of the territory to which the customs laws of Turkey and Slovenia are
applicable respectively.
The Free Trade Area Agreement between Turkey and Slovenia was signed on 5 May 1998 in
Ankara.  It has been applied provisionally since 1 June 2000, after the internal ratification procedure
was completed by the Republic of Turkey.  The agreement entered into force on 1 June 2001 after the
completion of the legal internal ratification procedure in the Republic of Slovenia.
2. Type of Agreement
 The Agreement establishes a free trade area in conformity with the definition set out in
Article XXIV: 8 (b) of GATT 1994.
3. Scope
The free-trade area established by this Agreement provides the framework for future trade
relations between Turkey and Slovenia.
The Free Trade Area Agreement covers all trade in industrial products (HS Chapter 25-97)
and a number of agricultural, processed agricultural and fishery products.  In accordance with the
evolutionary clause contained in the Agreement, the Parties agreed to further develop the relations
established by this Agreement, by extending them to the fields not covered thereby.
With the application of the Agreement, customs duties and other restrictive regulations of
commerce on industrial and certain agricultural products were either abolished or reduced. Therefore,
the Agreement meets the requirement of Article XXIV in respect of the principle of “covering
substantially all trade”.
In order to ensure the proper functioning of the free-trade area, the Agreement contains
provisions, inter alia , on public aid, state monopolies, competition, public procurement and protection
of intellectual, industrial and commercial property rights.
4. Trade Data
See the Annex.WT/REG135/3
Page 2
II. TRADE PROVISIONS
1. Import restrictions
All customs duties and charges having equivalent effect as well as quantitative restrictions on
imports of industrial products except for those classified as sensitive were abolished on the day of
application of the Agreement.  As for the sensitive products, customs duties, charges havingequivalent effect and quantitative restrictions were eliminated at the end of the transition period, on 1
January 2001.   
The Parties will not introduce new quantitative restrictions and measures having equivalent
effect on imports.
Turkey and Slovenia granted each other preferential market access for a number of
agricultural, processed agricultural and certain fishery products, some of them are limited with tariff
quotas.
2. Export restrictions
Under Article 7 of the Agreement, prohibit ion of new customs duty or charges having
equivalent effect on exports between the Parties is envisaged.  Moreover all existing duties and
charges having equivalent effect on exports applied to industrial products are abolished with the entry
into force of the Agreement.
The Parties will not introduce new quantitative restrictions and measures having equivalent
effect on exports.
3. Rules of origin
The rules of origin on trade between Turkey and Slovenia, defined in Protocol 3 of the
Agreement, are based on the sufficient working or processing criteria.  In general, origin is conferred
when:
− the good is wholly obtained or produced in the territory of a Party;
− each of the non-originating materials used in the production of the good undergoes an
applicable change in tariff classification set out in the specific rule for that good, and thegood satisfies any other applicable requirement set out in that rule, as a result of
production occurring entirely in the territory of one or both of the Parties;
− the good is produced entirely in the territory of one or both of the Parties exclusively from
originating materials;  or,
− some other requirements as set out in Protocol 3.
The Protocol 3 on rules of origin also enables extended cumulation of products between
Turkey, Slovenia, the EU countries, the EFTA countries and some Central and Eastern European
Countries.
4. Standards
The Parties shall not apply their regulations in sanitary and phytosanitary matters as an
arbitrary or unjustifiable discrimination or a disguised restriction on trade between them.WT/REG135/3
Page 3
4.1        Technical barriers to trade
The rights and obligations of the Parties rela ting to standards or technical regulations and
related measures are governed by the WTO Agreement on Technical Barriers to Trade.
Each Party, upon the request of the other Party, shall provide information on particular
individual cases of standards, technical regulations and related issues. With the aim to reduce
technical barriers to trade, the Parties may concl ude an Agreement for mutual recognition in the field
of conformity assessment.
4.2 Sanitary and phytosanitary measures
The Parties shall apply their regulations in sanitary and phytosanitary matters in a non-
discriminatory fashion and shall not introduce any new measures that have effect of undulyobstructing trade.
5. Safeguards
Article 20 provides for the application of general safeguard measures by a Party where any
product is imported in such quantities and under such conditions as to cause or threaten to cause:
(a) serious injury to domestic producers of like or directly competitive products in the
territory of the importing Party;  or
(b) serious disturbance in any sector of th e economy or difficulties which could bring
about serious deterioration in the economic situation of a region.
Any measure taken has to be in accordance with the procedure set out in Article 23 of the
Agreement.
6. Anti-Dumping and Countervailing Measures
Article 19 of the Agreement states that if a Party finds that dumping is taking place in trade
with the other Party within the meaning of Article VI of the GATT, it may take appropriate measures
against this practice in accordance with Article VI  of the GATT, the rules established by agreements
related to that Article and with its relevant internal legislation, under the conditions and in accordance
with the procedures laid down in Article 23. Thr ough this Article the conformity with GATT 1994
rules has been provided.
7. Subsidies and State-aid
The Agreement evaluates State-aid issue in the context of distortion of competition.
Against the improper practices of a Party, Article 27 of the Agreement gives the right to the
other Party to take appropriate measures under the conditions and in accordance with the provisions of
Article 23 of the Agreement. By referring to the Agreement on Subsidies and Countervailing
Measures and the WTO/GATT 1994, the Agreement also sets up appropriate means to ensure
transparency in the area of State-aid.
8. Sector-Specific provisions
Under the Agreement, the Parties granted each other the concessions specified in Protocol 2
to the Agreement to facilitate trade in agricultural and fishery products.WT/REG135/3
Page 4
9. Other
(a) Cooperation in Customs Administration
A framework was established for cooperation in customs administration with Protocol 3 on
the definition of the concept of “originating products” and methods of administrative cooperation
between the Parties.
(b) State Monopolies
Under Article 22 of the Agreement, the Parties agreed to adjust all state monopolies in a
manner of no discrimination regarding the conditions under which goods are procured and marketed
between the nationals of the Parties.
(c) Internal Taxation
Any measure or practice of an internal fiscal nature establishing discrimination between the
products originating in the Parties has been prohibited with Article 16.  This Article also prohibits
repayment of internal taxes in excess of the amount of indirect or direct taxes on exports.
(d) Protection of Intellectual Industrial and Commercial Property Rights
The protection of intellectual industrial and commercial property is addressed in Article 29
and Annex IV of the Agreement.  The Parties shall ensure adequate and effective protection of
intellectual industrial and commercial property righ ts in accordance with the international standards.
(e) Payments
Payments in freely convertible currencies relating to commercial transactions will be free
from any restrictions. According to the Article 26 of the Agreement, Parties undertake to refrain from
any exchange or administrative restrictions other th an those existing in the current legislation of the
Parties, on the grant, repayment or acceptance of credits covering commercial transactions. Any
measure taken has to be in conformity with the provisions of Article VIII of the Agreement of IMF.
(f) Public Procurement
The Parties consider the liberalization of their public procurement markets as an objective of
the Agreement and they will grant each others companies access to contract award procedures and
treatment no less favorable than that accorded to companies of any other country.
(g) Balance of Payments Difficulties
In case of balance-of-payments difficulties, Article 28 of the Agreement gives the Parties the
right of adopting restrictive measures in accordance with the conditions set down within the
framework of WTO/GATT 1994 and with the relevant  Articles of Agreement of the International
Monetary Fund.WT/REG135/3
Page 5
III. GENERAL PROVISIONS OF THE AGREEMENT
1. Exceptions and Reservations
All customs duties and charges having equivalent effect on imports applied to industrial
products, are abolished with the entry into force of the Agreement.  This, however, will not preclude
prohibitions or restrictions on imports, exports or goods in transit justified on grounds of publicmorality, public policy or public security; the protection of health and life of humans, animals or
plants and environment; the protection of national treasures possessing artistic, historic or
archaeological value; or the protection of intellectual property or the rules relating to gold or silver or
the conservation of exhaustible natural resources.
The Agreement allows the Parties to take measures, with concerns of security, in the cases
specified in Article 33.
2. Accession
There is no provision in the Agreement allowing other countries to accede to the free-trade
area.
3.  Dispute Settlement Procedures
A Joint Committee, which is responsible for the administration of the Agreement and its
proper implementation, has the authority to take decisions on issues mentioned in various Articles of
the Agreement.  The Joint Committee is also comm issioned actively as a competent authority by
Article 23, which sets out the procedure for application of safeguard measures, in case of “Dumping”,“General Safeguard” and “Re-export and Serious Shortage”.
4. Relation with Other Trade Agreements
Regarding “basic duties” defined in Article 3, the Agreement envisages that any tariff
reduction applied on erga omnes basis, in particular, reductions resulting from the tariff agreement
concluded as a result of the GATT Uruguay Round replaces the former basic duty.
The Agreement stipulates that rights and oblig ations relating to certain matters namely anti-
dumping measures, balance of payment difficulties and State-aid shall be governed by the relevant
WTO Agreements.
The Agreement also stipulates that measures concerning current payments connected with the
movement of goods and rules on balance of payment difficulties shall be in conformity with theArticles of the Agreement of International Monetary Fund.
5. Institutional Framework
The Agreement under Article 31 establishes a Joint Committee which is responsible for
administration of the Agreement and shall meet once a year to monitor the implementation of it.WT/REG135/3
Page 6
ANNEX
Imports of Turkey from Slovenia, 1997-2002
by different duty levels according to the Agreement
1997*
Agricultural products Industrial products Total imports Duty Rate
 ($) % ($) % ($) %
0 0 0% 29,942,830 100% 29,942,830 99,9%
Less than MFN 00 % 0 0 % 0 0 , 0 %
MFN 32,907 100% 0 0% 32,907 0,1%
Total 32,907 100% 29,942,830 100% 29,975,737 100,0%
1998*
Agricultural products Industrial products Total imports Duty Rate
($) % ($) % ($) %
0 0 0% 43,079,786 100% 43,079,786 99,4%
Less than MFN 00 % 0 0 % 0 0 , 0 %
MFN 240,204 100% 0 0% 240,204 0,6%
Total 240,204 100% 43,079,786 100% 43,319,990 100%
1999*
Agricultural products Industrial products Total imports Duty Rate
($) % ($) % ($) %
0 0 0% 47,874,947 100% 47,874,947 99,7%
Less than MFN 00 % 0 0 % 0 0 , 0 %
MFN 130,401 100% 0 0% 130,401 0,3%
Total 130,401 100% 47,874,947 100% 48,005,348 100%
2000
Agricultural products Industrial products Total imports Duty Rate
($) % ($) % ($) %
1 January 2000 – 31 May 2000*
0 0 0% 26,063,569 100% 26,063,569 100%
Less than MFN 00 % 0 0 % 0 0 %
MFN 8,614 100% 0 0% 8,614 0%
Total 8,614 100% 26,063,569 100% 26,072,183 100%
1 June 2000 – 31 December 2000
0 0 0% 29,518,872 100% 29,518,872 99,8%
Less than MFN 00 % 0 0 % 0 0 %
MFN 60,867 100% 0 0% 60,867 0,2%
Total 60,867 100% 29,518,872 100% 29,579,739 100%
2001
Agricultural products Industrial products Total imports Duty Rate
($) % ($) % ($) %
0 5,723 16% 48,911,670 100% 48,917,393 99,9%
Less than MFN 00 % 0 0 % 0 0 , 0 %
MFN 30,125 84% 0 0% 30,125 0,1%
Total 35,848 100% 48,911,670 100% 48,947,518 100%
                                                     
* If the Agreement had been in force.WT/REG135/3
Page 7
2002 (January-November)
Agricultural products Industrial products Total imports Duty Rate
($) % ($) % ($) %
0 0 0% 51,848,547 100% 51,848,547 99,9%
Less than MFN 00 % 0 0 % 0 0 %
MFN 64,860 100% 0 0% 64,860 0,1%
Total 64,860 100% 51,848,547 100% 51,913,407 100,0%
Imports of Turkey from Slovenia
(US$)
HS Code 1997 1998 1999 2000 20012002
(Jan-Nov)
01  2,829 58,671   
04  90,750     
08 11,809      
16   51,684    
19 21,098 146,625 20,046 17,040   
21    29,732 30,125 64,860
22     5,723  
25  49,802  26,729 40,223 11,311
27      11,891
28 2,205,277 2,037,335 2,780,574 1,543,526 1,816,291 774,453
29 21,087 37,492 82,575 1,284,738 175,849 328,735
30 1,015,107 570,165 1,982,361 872,500 673,460 1,164,583
32 634,226 711,957 1,561,670 2,025,445 1,420,972 2,551,758
33  840 5,925 4,050 5,025 4,387
34  2,124  4,463 4,453  
35 3,521 2,102 85 32,856 607  
37  3,614  16,697 637  
38 56,765 14,842 80,047 236,792 169,730 527,158
39 1,095,683 626,164 1,257,440 2,064,027 1,700,657 2,256,385
40 147,174 926,135 746,631 3,507,311 1,382,629 2,872,630
41 1,296,561 1,190,785 3,502,139 7,205,229 5,977,915 5,620,781
42 116  3,525 65,494 18,892 24,964
43      5,176
44 234,735 1,175,312 38,658 1,190,461 59,796 137,877
45    2,395   
47   37,880 28,217  347,531
48 1,430,799 3,953,174 3,370,343 6,336,799 5,026,695 4,465,539
49 795 503 153 14,770 87,352 71,379
50  5,675   1,968  
51  153,943 9,531 175,486 53,246 125,224
52    23,949 17,903 1,356
53   64,828    
54 499,654 208,421 133,233 361,500 1,037,829 379,952
55 59,853 165,501 99,476 70,739 37,158 26,393
56 438,996 336,929 147,924 319,827 173,381 253,604
58  4,792 817 44,643 1,350 326
59 226,876 198,353 56,724 108,634 119,983 5,555
60    6,309   WT/REG135/3
Page 8
HS Code 1997 1998 1999 2000 20012002
(Jan-Nov)
61 832 22,156 29,050 47,641 17,480 96,923
62 18,475 101,562 190,037 300,468 290,969 246,968
63   8    
64 18,657 104,380 9,370 307 2,416 19,793
65   3,093   434
68 90,395 91,238 402,111 134,086 119,544 75,198
69  20,620  33 30,824 22,876
70  10,786 75,597 208,257 22,635 127,089
71 1,000 1,369     
72 1,247,112 1,189,822 1,337,775 1,819,474 2,551,623 2,800,119
73 72,550 93,195 143,160 396,652 7,061,845 226,477
74 7,088 2,215  61,921 32,117  
76 239,188 460,122 304,185 291,780 817,111 466,554
78 1,297      
79 3,595  49,213    
81 4,292 6,739     
82 232,750 240,241 238,544 433,631 242,831 289,583
83 541,389 567,169 326,853 694,300 856,429 1,088,675
84 10,795,636 22,832,426 22,346,078 17,690,243 10,427,088 15,153,559
85 5,824,266 3,834,140 4,567,267 4,090,623 4,398,733 6,337,799
86 207,480     1,992
87 1,058,521 794,798 1,205,157 147,485 56,056 995,471
88   1,480    
89  66,324     
90 129,397 229,083 402,863 767,328 554,389 783,179
91   4,499  3,390 1,396
93   19,036    
94 81,168 20,658 243,167 891,975 1,326,585 985,250
95   13,865 55,307 29,221 53,157
96 517 14,783  53 66,383 107,107
TOTAL 29,975,737 43,319,990 48,005,34 8 55,651,922 48,947,518 51,913,407
Imports of Slovenia from Turkey, 1997-2002,
by different duty levels according to the Agreement
1997**
Agricultural products Industrial products Total imports Duty Rate
 ($) % ($) % ($) %
0 00 % 0 0 % 0 0 %
Less than MFN 00 % 0 0 % 0 0 %
MFN 4,282,899 100% 38,987,610 100% 43,270,509 100%
Total 4,282,899 100% 38,987,610 100% 43,270,509 100%
                                                     
** The Agreement has not been applied yet.WT/REG135/3
Page 9
1998**
Agricultural products Industrial products Total imports Duty Rate
($) % ($) % ($) %
0 00 % 0 0 % 0 0 %
Less than MFN 00 % 0 0 % 0 0 %
MFN 3,656,582 100% 41,338,332 100% 44,994,914 100%
Total 3,656,582 100% 41,338,332 100% 44,994,914 100%
1999**
Agricultural products Industrial products Total imports Duty Rate
($) % ($) % ($) %
0 00 % 0 0 % 0 0 %
Less than MFN 00 % 0 0 % 0 0 %
MFN 4,956,498 100% 47,299,279 100% 52,255,777 100%
Total 4,956,498 100% 47,299,279 100% 52,255,777 100%
2000
Agricultural products Industrial products Total imports Duty Rate
($) % ($) % ($) %
1 January 2000 – 31 May 2000**
0 00 % 0 0 % 0 0 %
Less than MFN 00 % 0 0 % 0 0 %
MFN 1,620,370 100% 20,642,208 100% 22,262,578 100%
Total 1,620,370 100% 20,642,208 100% 22,262,578 100%
1 June 2000 – 31 December 2000
0 203,193 9,2% 21,974,970 74,1% 22,178,163 69,6%
Less than MFN 917,782 41,4% 7,675,947 25,9% 8,593,729 27,0%
MFN 1,094,254 49,4% 0 0,0% 1,094,254 3,4%
Total 2,215,229 100,0% 29,650,917 100,0% 31,866,146 100,0%
2001
Agricultural products Industrial products Total imports Duty Rate
($) % ($) % ($) %
0 324,497 7,0% 80,749,812 100% 81,074,309 95%
Less than MFN 2,558,568 55,3% 0 0% 2,558,568 3%
MFN 1,744,648 37,7% 0 0% 1,744,648 2%
Total 4,627,713 100,0% 80,749,812 100% 85,377,525 100%
2002
Agricultural products Industrial products Total imports Duty Rate
($) % ($) % ($) %
0 275,536 4,3% 86,222,737 100% 86,498,273 93,3%
Less than MFN 3,093,230 47,9% 0 0% 3,093,230 3,4%
MFN 3,081,316 47,8% 0 0% 3,081,316 3,3%
Total 6,450,082 100,0% 86,222,737 100% 92,672,819 100,0%
___________________________
** The Agreement has not been applied yet.WT/REG135/3
Page 10
Imports of Slovenia from Turkey
(US$)
HS Code 1997 1998 1999 2000 2001 2002
02 52
03 387 3,908 1,421 8,694 6,400 90,549
04 106
05 12,048 746 118 114
06 434 70 147 959 10 299
07 701,532 445,788 644,990 734,122 1,023,195 1,613,436
08 2,310,160 2,837,528 3,315,574 1,927,076 2,441,909 3,279,298
09 8,118 15,101 27,465 29,603 42,264 64,940
10 32 23 103
11 992 839 31
12 9,649 1,427 26,101 39,486 84,219 46,660
13 5
15 79,581 25,781 168,426 81,338 76,795 54,842
16 101 172,743 37,136 27
17 6,486 23,118 31,405 33,572 64,363 137,285
18 12,468 2,514 21 5,791 3,567 13,906
19 148,412 5,138 44 20,980 26,184 62,228
20 249,368 107,405 164,979 203,907 384,090 525,725
21 123 98 96,217 2,845 19,692 59,750
22 0 249 317 40
24 756,080 175,380 306,219 708,793 454,671 501,075
25 7,758,941 7,799,889 8,106,088 5,377,971 4,584,509 2,049,874
26 145,000 2,830,171
27 220,281 832,309 931,067 1,035,819 1,691,238 2,382,322
28 10,880 292,283 106,220 55,504 81,306 3,243,662
29 56,000 118,913 417,645 187,815 246,882 362,137
30 55,092 186,656 266,192 143,514 188,295 107,403
32 0 5 6,093 46 243 58,729
33 875 22,879 73,992 202,700 81,355 106,973
34 346 138,673 202,982 350,051 113,095 245,172
35 1,484 338 3,627
36 50 1,946
37 601 208 808 76 411 0
38 31 2,627 79 901 10,583 1,924
39 160,373 57,283 165,271 276,507 172,431 366,255
40 122,195 250,562 1,059,076 1,963,341 6,683,060 8,203,110
41 91,515 677,891 923,345 1,163,180 1,074,265 1,408,625
42 64,058 150,920 50,416 60,020 132,895 289,219
43 107,383 4,929 5,241 101 4,017 39,229
44 37 98 24,305 4,586 8,227 57,936
45 25 271
46 880 739
48 2,393 108,120 3,689 3,326 30,045 58,951
49 2,386 4,591 840 4,011 6,646 10,812
50 635 27
51 276,985 153,551 78,359 139,531 84,814 119,094
52 1,870,470 1,882,712 1,627,232 1,708,633 2,485,923 2,624,558WT/REG135/3
Page 11
HS Code 1997 1998 1999 2000 2001 2002
54 203,371 433,896 1,388,229 1,301,154 949,173 787,280
55 711,254 976,373 488,580 425,824 423,954 249,564
56 37,164 50 5,481 27,791 16,253
57 5,277 883 22,544 20,294 21,916 6,345
58 239,869 251,456 366,188 332,176 583,501 421,740
59 1,652,192 576,011 674,143 534,250 360,251 173,756
60 304,926 427,588 134,009 126,374 48,727 169,197
61 2,294,347 3,935,922 4,107,567 4,483,441 8,908,765 13,173,952
62 2,049,682 1,823,299 2,231,062 2,563,632 4,206,130 8,262,849
63 97,712 102,470 227,791 282,642 603,165 529,448
64 60,577 28,120 38,594 9,797 16,880 40,980
65 2,664 5,097 6,404 7,933 9,206 19,359
66 2,689 474
67 737
68 19,148 89,132 108,140 89,172 155,867 194,349
69 2,976 5,525 4,556 28,659 43,356 147,201
70 28,957 78,138 147,491 3,648,849 4,044,006 4,792,102
71 3,654 3,237 15,007 10,025 4,798 16,211
72 17,067 26,150 136,378 500,026 53,314 318,573
73 829,800 1,577,731 1,658,414 539,769 638,392 1,427,376
74 1,811 14 8,644 6,083 3,115
76 547 998 21,019 38,255 403,889 560,099
78 1 39,009
79 79
81 939,502 976,274 641,040 112,034
82 830,603 36,092 21,033 51,924 33,828 90,761
83 2,392 37,373 109,083 75,351 106,192 285,099
84 3,056,636 4,598,340 5,309,360 9,858,617 13,296,804 9,198,866
85 7,333,238 6,044,424 5,388,080 4,389,151 4,891,287 2,618,834
86 57,457 2,601
87 4,222,500 3,507,791 9,537,890 7,532,467 23,060,718 20,444,659
90 101,645 8,961 23,165 31,650 36,615 93,329
91 253 1,135 1,942 1,552 1,247 1,718
92 0 566 505 9,005
93 2,963,392
94 15,169 189,719 426,294 502,934 110,007 331,423
95 1,950 104 1,209 5,829 7,764 11,824
96 11,134 19,645 12,399 6,522 13,952 42,279
97 1,833 90,498
TOTAL 43,270,509 44,994,914 52,255,777 54,128,724 85,377,525 92,672,819
__________