HC Deb 25 November 1987 vol 123 cc189-90W
Mr. Michael Morris

To ask the Secretary of Transport if he will make a statement on the European Community's decision concerning the agreement on maritime transport between Italy and Algeria.

Mr. David Mitchell

An EC Council decision was adopted on 17 September concerning an agreement on maritime transport covering cargo trade between Italy and Algeria. The decision allows Italy to ratify the agreement on the understanding that both countries are clear that the agreement will be implemented in accordance with Community law and that Italy takes steps to ratify the United Nations code of conduct for liner conferences as soon as possible. The decision provides for the Community to review the position within a year.

The agreement had been notified under EC regulation No. 4055/86 agreed in December 1986, applying the principle of freedom to provide shipping services to, from and between member states. This regulation prohibits new bilateral cargo-sharing arrangements between member states and third countries from 1 January 1987 except in exceptional circumstances, where liner shipping would not otherwise have an effective opportunity to ply for trade to and from the third country concerned. Italy reported such circumstances to the Community.

In referring the proposed decision to the Select Committee on European Legislation my noble Friend the Minister for Aviation and Shipping stated that he proposed that it should be adopted without waiting for the completion of the scrutiny process. I regret that this was necessary because unless it were adopted by 17 September, Italy would be free to ratify the agreement without taking account of the Council's views. This was the first notification of a proposed agreement under the regulation and it was important that the final phase of the Community's shipping policy be seen to be respected.

The Select Committee on European Legislation has now completed its scrutiny and while considering that it raised issues of political importance, and noting the reasons for its adoption before scrutiny, has not recommended it for debate.