Foreign Affairs Council (Hansard, 11 January 1994)

§ Mr. Heathcoat-Amory

I attended the Foreign Affairs Council on 20 and 21 December.

The Council agreed negotiating mandates for new partnership agreements between the European Union and Tunisia and Israel.

There was a brief discussion on follow-up to the European Council on 10 and 11 December. The presidency noted that follow-up work would fall to the Greek and German presidencies and the Commission. The Commission called for an early decision on interest-rate subsidies for small and medium-sized enterprises, in the light of the European Council conclusions calling for a conclusion by the end of the year.

There was a brief discussion of the outcome of the Uruguay round negotiations: the Commission confirmed that it would seek to improve EC access to third country markets before market access schedules are finalised on 15 February. The Council also agreed on the need for an early discussion of trade policy towards central and eastern Europe and the former Soviet Union.

There were ministerial negotiating sessions with the four applicants for Community membership. Excellent progress was made. A large number of negotiating chapters have now been closed, including the difficult environmental standards chapters and all of the Maastricht chapters except economic and monetary union.

On the former Yugoslavia, Ministers prepared for their meeting with the parties on 22 December. The Council subsequently discussed the Union's joint action on the delivery of humanitarian aid to Bosnia. They agreed to make 48 mecu—£39 million—available for urgent needs, notably in the energy sector, of which the financing would be split 50:50 between the Community and member states.

Ministers agreed to invite the President of the Commission to propose a middle-ranking Commission official to act as the Cyprus observer for the Union. His terms of reference will be in the light of the Council's review in January 1995 of the question of Cyprus' accession to the European Union, to report periodically to the Council on the implications of political developments in Cyprus for the requirements of the acquis of the Union, including progress in the UN Secretary-General's good offices mission for Cyprus.

The Council discussed the Commission's proposals for new free trade agreements with the Baltic states.

The Council approved unanimously a joint action, covering the first phase of the initiative for a pact on stability in Europe. This involves a conference to launch the initiative to be held in April 1994 in Paris.

The presidency reported on progress made so far in agreeing negotiating directives for the Community in the mid-term review of the Lomé convention. Negotiations with the African, Caribbean and Pacific countries will begin in 1994.

The Council discussed outstanding nominations to the Committee of the Regions. The Portuguese—Portugal is the only country yet to make nominations—said that they would aim to do so before 15 January, the date agreed by the last special European Council as the deadline for the first meeting of the Committee.

The Council adopted a decision to put into effect from 1 January 1994 the code of conduct it had agreed on 6 December on public access to documents held by the Council. The Netherlands and Denmark voted against.

The Council briefly reviewed progress towards agreeing a regulation on a common export regime for dual use goods.

The Council voted to remove tariff concessions from the Austrian subsidiaries of GM and Grundig, both of 39W which had received illegal state aid. Germany, the Netherlands and Luxembourg voted against. The decision on Grundig was subsequently suspended following full repayment of the state aid.

The Council discussed the proposed budget discipline decision without reaching agreement.

The EC/India co-operation agreement was signed by the Commission, the presidency and the Indian Commerce Minister in the margins of the Council.