The Cooperation Council between the European Union and the Republic of Moldova held its first meeting on Tuesday 14 July 1998. The meeting was chaired by Mr Wolfgang SCHÜSSEL, Minister for Foreign Affairs of Austria and President-in-Office of the Council of the European Union.

The Moldovan Delegation was headed by Mr  Ion STURZA, Deputy Prime Minister of the Republic of Moldova. It also included Mr Nicolae TABACARU, Minister for Foreign Affairs, Mr Tudor LEANCA, Minister of Transport, Mr Arcadie CAPCELEA, Minister for the Environment, Mr Valeriu BULGARI, Minister of Agriculture and Processing Industry and Mr Iurie LEANCA, Deputy Minister of Foreign Affairs.

The European Commission was represented by Mr Hans VAN DEN BROEK.

The first meeting of the Cooperation Council took place only two weeks after the entry into force of the Partnership and Cooperation Agreement (PCA) between the EU and Republic of Moldova. This agreement provides a basis for a close partnership, establishing a novel institutional framework and opening up new possibilities for cooperation in a wide variety of fields. The Parties agreed to make every effort to make full use of the potential of the PCA and recognized the crucial role the

Cooperation Council will play in this respect. They considered that the first meeting of the Cooperation Council as such represented a very important milestone in the relations between the European Union and the Republic of Moldova and were looking forward to intensified cooperation with a view to promoting the gradual integration of Moldova into a wider European economic area.

The Parties exchanged views on the EU-Moldova relations to date and how these could be developed in the context of the PCA. While emphasizing the importance they attach to democratic values and principles of a market economy, the Parties re-confirmed their commitment to intensify political, economic, financial and cultural relations and to support Moldova's ongoing democratic reform and transition to a market economy. The Cooperation Council stressed the importance of Moldova's gradual integration into a wider European economic area and considered that this would contribute to future prosperity and stability in the region.

The Cooperation Council expressed its confidence that implementing the PCA would ensure greater coherence between the various aspects of EU-Moldova relations, such as the political dialogue on foreign policy issues of mutual interest, cooperation in the fight against crime, trade relations and economic cooperation, assistance such as under TACIS, and regional cooperation. The Cooperation Council stressed that the PCA would play an increasingly important role in expanding trade and investment. In this context, Moldova's accession to the WTO was regarded as an issue of great importance.

Ministers had a useful exchange of views on foreign policy issues of mutual interest over breakfast. They expressed their appreciation about the way Moldova has been handling the Transnistrian issue. In this context, the EU side recalled that it favours a rapid and complete implementation of the Lisbon commitments. Concerning justice and home affairs, the Cooperation Council welcomed the commitment of the Parties to step up their fight against organised crime in its various manifestations, in cooperation with other countries.

In the course of its proceedings, the Cooperation Council adopted the following documents:

Annex 1

The PCA contains commitments in a wide range of areas to develop co-operation in particular fields. Work on many of these areas has already started or is about to begin. These efforts need to be co-ordinated. Without prejudice to the obligations under the PCA, the Cooperation Council has therefore identified the following priority areas:

1.Establishment of subcommittees

Both sides should agree on early consideration of a limited number of subcommittees to be established by the Co-operation Committee according to the PCA. Priority should be given to setting up a sub-committee on economic and financial issues. Such a sub-committee should foster co-operation and exchange of experiences at the technical level with Moldovan institutions dealing with economic policy-making. The EU considers that the sub-committee could perform a very useful role in the framework of its macro-financial assistance to Moldova. Through the Sub-committee, the Community will gain better access to economic information, therefore improving its capacity to understand and to monitor the Moldovan economy. In a similar way Moldova’s awareness of EU institutions and policies will be greatly enhanced by regular contacts.

2.FTA rendez-vous clause (Art.4):

The Co-operation Committee should agree on studies to be carried out in order to assess the implications of such an FTA.

3.Intellectual Property (Art. 49):

This Article prescribes in its paragraph 1 that Moldova shall continue to improve the protection of intellectual property rights so that by the end of the fifth year after the entry into force of the PCA it provides for a level of protection similar to that existing in the Community, including effective means of enforcing such rights.

4.Approximation of legislation (Art. 50):

Moldova is committed under art 50 to endeavour to make its legislation gradually compatible with that of the EU in the following sectors : customs law, company law, banking law, company accounts and taxes, IP, protection of workers at the workplace, protection of health, environment, consumer protection, indirect taxation, public procurement, technical rules and standards, nuclear laws and regulations and transport.

Important progress has been made by Moldova to erect a framework of law and regulation for a market economy. For what remains to be done, particularly in the services sector, the EU is prepared to provide advice and, if required, assistance within the framework of Tacis to draft laws and regulations.

The Co-operation Committee should agree on practical steps to reinforce collaboration in this field.

5.Co-operation between EU and Moldova about foreign direct investment (Art. 53):

A low level of foreign investment was so far recorded in Moldova, the EU would be grateful to receive information about the recent measures taken to promote foreign investment in the country. In this area as well, the EU is prepared to have an exchange of information with Moldova and to advise by means of Tacis, if appropriate.

6. Co-operation in Science and Technology (Art. 57):

Both Parties shall seek to promote cooperation and exchange of information between their scientists.

7.Education and Training (Art. 58):

The human resource development is already one of the Tacis priority sectors and the EU confirms its willingness to continue supporting education and training also in the framework of the Tempus Programme.

8.Environment (Art. 61):

Environmental co-operation shall be strengthened, taking into account, inter alia, the relevant Protocols of the European Energy Charter Treaty, to which both parties are signatories. Co-operation programmes shall continue to contribute to strengthening environmental institutions and public awareness.

9. Transport (Art. 62):

The Cooperation Committee should consider how to take forward cooperation in the several areas listed in the PCA.

 10.Fight against crime (Art. 66 and 76):

Cooperation in the field of organized crime should be based on adherence to and respect of pertinent international conventions.The PCA highlights two specific areas of co-operation: fight against money laundering and against drugs traffic. The next Co-operation Council should consider recommendations for progress in this area.

11.Customs co-operation (art. 73):

Well-functioning and predictable customs and border operations are critical for EU-Moldova business and investment links, are indispensable to ensuring adequate protection of intellectual property rights (IPRs), and would protect EU and Moldovan citizens from major threats e.g. drugs and arms trafficking. They are also important for Moldova’s WTO accession and, finally, are a crucial factor for the collection of state revenue.

The EU confirms its availability to co-operate with Moldova in the framework of Tacis to improve the organisation of customs, so far, priorities for action have been identified in the areas of legislation, training and customs control (customs formalities) that the EU would propose for discussion to the Moldovan Government.

12.Cultural Co-operation (Art. 77):

Both Parties agree on the importance of developing their cultural exchanges and will strive to promote opportunities for cultural co-operation.

 13. Cross border co-operation:

Cross border co-operation shall be reinforced to promote stability and economic development at border areas through co-operation between communities and regional authorities on both sides of the border, improving border control and transit procedures, and addressing common cross border problems. Both sides shall seek active participation of Moldovan partners in the Tacis Cross Border Co-operation programme.

The Cooperation Council entrusts the Cooperation Committee for the practical implementation of this programme and will review the progress achieved at its next meeting.