The European Union and Montenegro have signed today, Tuesday April 15, 2008, a bilateral agreement on Montenegro’s accession to the World Trade Organization (WTO). The agreement was signed by the Montenegrin Deputy Prime Minister for European Integration, Mrs. Gordana Đurović, and Mr. David O’Sullivan, Director General of the Commission’s Directorate General for Trade. The agreement completes the process of bilateral negotiations between the European Union and Montenegro which were commenced in 2005. The Community is the first WTO member to conclude its bilateral talks with the acceding country.

European Union Trade Commissioner Mr. Peter Mandelson noted that “Montenegro has made remarkable progress in preparing for WTO entry. Today’s signature is important milestone in Montenegro’s WTO accession process towards the WTO. The EU is a strong supporter of Montenegro’s entry into the WTO, and is proud to be the first partner to conclude bilateral accession talks.”

European Union Enlargement Commissioner Mr. Olli Rehn pointed that “today’s signature is another good news, showing the progress Montenegro is making on its EU road. Accession to the WTO is fundamental for fostering economic and trade reforms and will further sustain Montenegro’s efforts to work towards fulfilling the Copenhagen economic criteria. I hope that the signing of this deal will encourage Montenegro and other WTO partners to progress on Montenegro’s WTO accession negotiations.”

Deputy Prime Minister Mrs. Gordana Đurović underlined that “we have invested a lot in bringing our laws and regulations in conformity with the WTO system. I greatly appreciate the assistance of your services in this ambitious exercise. Our consistent work has brought us one step closer to accession. We will now step up our efforts to also complete bilateral negotiations with other WTO members. If we work with our partners in a constructive spirit I am confident that my country can still join WTO before the end of the year.”

Montenegro and the EU have reached agreement on tariffs for trade in goods and reciprocal opening of their respective services markets. These commitments will be embodied in the future Protocol of Accession of the Republic of Montenegro to the WTO. Montenegro must complete bilateral negotiations with other WTO members and have its accession endorsed by a multilateral working group at the WTO in Geneva.

Following is the audio record in English of Director General O’Sullivan and Deputy Prime Minister Đurović’s statements concluding the signature ceremony, in Brussels, Belgium, April 15:

Background

Montenegro applied for membership in WTO in December 2004. In February 2005 the WTO General Council accepted its application and a working group was established to start the negotiations. Negotiations are being led in parallel in this working party and at bilateral level with a number of WTO members. Accession is expected to take place in 2008.

Accession to the WTO is expected to make a positive and lasting contribution to the process of economic reform and sustainable development in the Republic of Montenegro. A large part of Montenegro’s trade is with the EU already today. The further mutual opening of markets and abolishment of restrictions to market access for goods and services will benefit entrepreneurs on both sides stimulating investment.

Bilateral trade commitments between the EU and Montenegro are already embodied in the Stabilisation and Association Agreement (SAA) which was signed between the European Community and its Member States and Montenegro on 15 October 2007. Pending the completion of the ratification process in Member States, an Interim Agreement has been applicable since 1st January 2008 allowing for the early implementation of trade and trade-related provisions of the SAA.