Skip to main content
SpringerLink
Log in

The Legal Framework of European Union: Western Balkans Trade Liberalization

  • Chapter
  • First Online:
The First Decade of Living with the Global Crisis

Part of the book series: Contributions to Economics ((CE))

Abstract

The relations between the European Union (EU) and the Western Balkan Countries are governed by the Stabilization and Association Agreements (SAA). One of the fundamental objectives of the Association is to establish a free trade area, in accordance with WTO rules, between each of the associated Balkan states and the EU which is their largest trading partner. To this end, each of these agreements provides for the gradual establishment of a zone of free movement of goods, the introduction of a regime on the right of establishment in order to exercise an economic activity, on the cross border services supply, on current payments and capital movements. The purpose of this paper is to analyze the rules promoting the liberalization of economic transactions between the contracting parties and generally economic integration in the area concerned. Emphasis is given to the agreement concluded with Serbia.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution
eBook
USD 16.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 54.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD 54.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Notes

  1. 1.

    The Council of EU decided in June 2013 to authorize the opening of negotiations on an SAA with Kosovo. The future SAA will represent the first comprehensive contractual relationship between Kosovo and the EU and an important milestone in Kosovo’s European integration process. Accordingly to the Commission, Kosovo had met all the short-term priorities identified in the 2012 Feasibility study in the areas of rule of law, public administration, protection of minorities and trade.

  2. 2.

    The EU-Serbia agreement had been signed on 29-4-2008 and adopted on behalf of the EU with the 2013/490/EC, Euratom decision of the Council and Commission of 22-7-2013. The EU-Montenegro agreement was signed on 15-10-2007 and concluded on behalf of the EU with decision 2010/224/EE of the Council of 29/03/2010 (OJ L 108, 29-4-2010). The EU-Albania agreement was signed on 12-6-2006 and concluded on behalf of the EU with Decision 2009/332/EE of the Council of 26-2-2009 (OJ L 107, 28-4-2009). The EU-Bosnia-Herzegovina agreement was signed on 16-6-2008.The EU-FYROM agreement was signed on 9-4-2001 and came into force on 1-4-2004. Concerning the SAA with Serbia, see Stahl B., 2011. Perverted Conditionality: the Stabilization and Association Agreement between the European Union and Serbia. European Foreign Affairs Review, Vol. 16, pp 465–487.

  3. 3.

    SAA between European Union and Serbia, http://eur-lex.europa.eu/legalcontent/EN/TXT/?uri=uriserv:OJ.L_.2013.278.01.0014.01.ENG. 30-3-2014, SAA between European Union and Montenegro, http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=uriserv:OJ.L_.2010.108.01.0001.01.ENG. 31-3-2014, SAA between European Union and Albania, http://eur-lex.europa.eu/legalcontent/EN/TXT/?uri=uriserv:OJ.L_.2009.107.01.0165.01.ENG. 26-3-2014, SAA between European Union and Bosnia-Herzegovina, http://www.dei.gov.ba/bih_i_eu/ssp/doc/default.aspx?id=2952&langTag=en-US. 29-3-2014, SAA between European Union and FYROM, http://ec.europa.eu/world/agreements/downloadFile.do?fullText=yes&treatyTransId=602. 29-3-2014.

  4. 4.

    See no 3.

  5. 5.

    EU-Serbia, articles 18–48, EU-Montenegro art. 18–48, EU-FYROM art. 15–43, EU-Albania, art. 16–45, EU-Bosnia-Herzegovina art. 18–46. See no 3.

  6. 6.

    EU-Serbia articles 49–71, EU-Montenegro art. 49–71, EU-FYROM art. 44–67, EU-Albania art. 46–69, EU-Bosnia-Herzegovina art. 47–69. See no 3.

  7. 7.

    World Trade Organization, ‘Scope of RTAs’ (2012) http://www.wto.org/english/tratop_e/region_e/scope_rta_e.html, 20-3-2014.

  8. 8.

    Albania has been a WTO member since 8-9-2000, Montenegro has been a member of WTO since 29-4-2012 and Fyrom since 4-4-2003. Bosnia and Herzegovina is completing its reforms in order to bring its trade regime in line with WTO rules and is finalising negotiations on market access. As far as Serbia is concerned, in 2005, the Working Group for Serbia accession into the WTO was established by the General Council of the WTO. http://www.welcomeurope.com/news-europe/adhesion-serbie-a-omc-13956+13856.html. Negotiations at a bilateral level on customs duties for industrial and agricultural products and services supply were concluded. An important event showing that negotiations for joining the WTO have entered their final phase is the signature, on 11-1-2011, by the EU and Serbia of a bilateral agreement on Serbia’s accession to the WTO.

  9. 9.

    EU-Serbia art. 9, EU-Montenegro art. 9, EU-Albania art. 7, EU-FYROM art. 6, EU-Bosnia art. 9.

  10. 10.

    EU-Serbia art. 6, EU-Montenegro art. 6, EU-Albania art. 4, EU-FYROM art. 4, EU-Bosnia art. 6.

  11. 11.

    IA between European Union and Serbia, http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=uriserv:OJ.L_.2010.028.01.0001.01.ENG. 20-3-2014; IA between European Union and Montenegro, http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=uriserv:OJ.L_.2007.345.01.0001.01.ENG. 1-4-2014; IA between the European Union and Albania, http://eur-lex.europa.eu/legal-content/EN/TXT/?uri=uriserv:OJ.L_.2006.239.01.0001.01.ENG. 1-4-2014; IA between the European Union and Bosnia-Herzegovina, http://eurlex.europa.eu/legal-ontent/EN/TXT/?uri=uriserv:OJ.L_.2008.233.01.0005.01.ENG. 6-4-2014.

  12. 12.

    The adoption of the decision concluding specific interim agreements is based solely on Article 133 of the EC Treaty, given that they only cover areas falling within the scope of the common commercial policy and therefore fall within the exclusive competence of the EU.

  13. 13.

    The EU-Albania SAA came into force on 1-4-2009 while the EU-Albania Interim Agreement (IA) had entered into force on 1-12-2006. The EU-FYROM SAA came into force on 1-4-2004 while the Interim Agreement had entered into force on 1-6-2001. The EU-Montenegro SAA came into force on 1-5-2010 while the interim agreement had entered into force on 1-1-2008. The EU-Bosnia-Herzegovina Interim Agreement came into force on 1-7-2008 while the SAA was signed on 16-6-2008 but hasn’t yet entered into force.

  14. 14.

    Trade-related matters notably include alignment of Serbia’s customs, anti-trust and state aid rules as well as protection of intellectual and industrial property rights with the rules existing in the EU.

  15. 15.

    This agreement was adopted on behalf of the EU with the 2010/36/EC Decision of the Council of 29-4-2008, OJ L 28, 30-1-2010. The EU-Montenegro interim agreement had been concluded on behalf of the EU with the decision 2007/855/EC of the Council of 15-10-2007, OJ L 345, 28-12-2007, the EU-Bosnia-Herzegovina was concluded on behalf of the EU with the decision of the Council of 16-6-2008, OJ L 169, 30-6-2008.

  16. 16.

    The transitional period for the establishment of the free trade area is 5 years under the EU-Montenegro agreements (article 18.1 of the SAA and article 3.1. of the Interim Agreement) and the EU-Bosnia-Herzegovina agreements (article 18.1 of the SAA and article 3.1 of the Interim Agreement) and 10 years under the EU-Albania agreements (article 16.1 of the SAA and article 3.1. of the Interim Agreement 3.1). See no 3 and no 11.

  17. 17.

    The provisions on industrial goods cover around 6500 tariff lines.

  18. 18.

    The exception concerns mainly only a few agricultural products that are under a preferential tariff quota regime (sugar, baby beef, wine and trout).

  19. 19.

    At the same time, Serbian exports to the USA accounted in 2012 for only 0.90 % of the total Serbian exports and Serbian exports to Russia accounted for 7.92 % of the total Serbian exports.

  20. 20.

    Exports of agricultural products from Serbia have been steadily increasing: 640 million euros in 2009, 820 million euros in 2010, 980 million euros in 2011, to reach 1.1 billion euros in 2012.

  21. 21.

    These statistics concern six western Balkan countries: Serbia, FYROM, Albania, Montenegro, Bosnia-Herzegovina and Kosovo.

  22. 22.

    EU-Serbia art. 52 (d) (ii), EU-Montenegro art. 52 (d) (ii), EU-Albania, art. 49 (d) (ii), EU-FYROM, art. 47 (d) (ii), EU-Bosnia-Herzegovina art 50 (d) (ii). See no 3.

  23. 23.

    EU-Serbia art. 52 (d) (i), EU-Montenegro art. 52 (d) (i), EU-Albania art. 49 (d) (i), EU-Bosnia-Herzegovina art. 50 (d) (i), EU-FYROM art 47 (d) (i). See no 3.

  24. 24.

    EU-Serbia art. 53.1 (a) and (b), EU-Montenegro art. 53.1 (a) and (b), EU-Albania, art. 50.1 (i) and (ii), EU-Bosnia-Herzegovina art. 51.1 (a) and (b). See no 3.

  25. 25.

    EU-Serbia art. 53.2 (a) and (b), EU-Montenegro art. 53.2 (a) and (b). See no 3.

  26. 26.

    EU-Serbia, art. 53.3, EU-Montenegro, art. 53.3, EU-Albania, art. 50.2, EU-Bosnia-Herzegovina, art. 51.3. See no 3.

  27. 27.

    EU-FYROM, art. 48.2. See no 3.

  28. 28.

    This period of time varies depending on the SAA. In the case of EU-Serbia and EU-Montenegro SAAs, this period is 4 years. Concerning the EU-Albania SAA, it is 5 years.

  29. 29.

    EU-Serbia and EU-Montenegro art. 58.1 and 58.2, EU-FYROM art. 53.1 and 53.2, EU-Albania art. 55.1 and 55.2, EU-Bosnia-Herzegovina art. 56.1 and 56.2. See no 3.

  30. 30.

    EU-Serbia art. 58.3 (a), EU-Montenegro art. 58.3 (a), EU-FYROM art. 53.3 (a), EU-Albania art. 55.3 (a), EU-Bosnia-Herzegovina art. 56.3 (a).

  31. 31.

    For example, in the case of EU-Serbia SAA, this period is 4 years.

  32. 32.

    EU-Serbia, art. 59.1 and 59.3, EU-Montenegro art. 59.1 and 59.3, EU-FYROM art. 55.1 and 55.3, EU-Albania art. 57.1 and 57.3, EU-Bosnia-Herzegovina art. 57.1 and 57.3.

  33. 33.

    EU-Serbia and EU-Montenegro, art. 60, EU-Albania and EU-Bosnia-Herzegovina art. 58.

  34. 34.

    EU-Serbia Protocol 4, EU-Montenegro Protocol 4, EU-Albania Protocol 5, EU-Bosnia-Herzegovina Protocol 3.

  35. 35.

    This period is 4 years in the case of EU-Serbia SAA and 5 years according to EU-Albania SAA.

  36. 36.

    The duration of this first phase will be according to EU-Serbia SAA 4 years after its entry into force.

References

  • Brown C (2012) The European Union and regional trade agreements. In: Herrmann C, Terhechte JP (eds) European Yearbook of International Economic Law, vol 3. Springer

    Google Scholar 

  • Cremona M (2010) The European Union and regional trade agreements. In: Herrmann C, Terhechte JP (eds) European Yearbook of International Economic Law, vol 1, p 250–267

    Google Scholar 

  • Fakiolas E, Tzifakis N (2008) Transformation or accession? Reflecting on the EU’s strategy towards the Western Balkans. Eur Foreign Aff Rev 13:377–398

    Google Scholar 

  • Grabar-Kitarovic K (2010) The stabilization and association process: the EU’s soft power at its best. Eur Foreign Aff Rev 12:121–125

    Google Scholar 

  • Moutsatsos D (2007) The External trade relations of the European community. In: Maravegias N, Tsinisizelis M (eds) New European Union, organization and policies 50 years. Themelio, p 483–539

    Google Scholar 

  • Natens B, Wouters I (2013) Mapping services liberalization commitments in European Union regional trade agreements. Working Paper No. 116 – March 2013, p 1–52

    Google Scholar 

  • Stahl B (2011) Perverted conditionality: the stabilization and association agreement between the European Union and Serbia. Eur Foreign Aff Rev 16:465–487

    Google Scholar 

Download references

Author information

Authors and Affiliations

  1. TEI of Peloponnese, Accounting and Finance Department, 24100, Kalamata, Greece

    Odysseas G. Spiliopoulos

  2. TEI of Peloponnese, Agricultural Technology Department, 24100, Kalamata, Greece

    Dimitrios P. Petropoulos

Authors
  1. Odysseas G. Spiliopoulos
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Dimitrios P. Petropoulos
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Odysseas G. Spiliopoulos .

Editor information

Editors and Affiliations

  1. Institute of Technology, Eastern Macedonia and Thrace, Kavala, Greece

    Anastasios Karasavvoglou

  2. Faculty of Economics, University of Niš, Niš, Serbia

    Zoran Aranđelović

  3. Faculty of Economics, University of Niš, Niš, Serbia

    Srđan Marinković

  4. Institute of Technology, Eastern Macedonia and Thrace, Kavala, Greece

    Persefoni Polychronidou

Rights and permissions

Reprints and permissions

Copyright information

© 2016 Springer International Publishing Switzerland

About this chapter

Cite this chapter

Spiliopoulos, O.G., Petropoulos, D.P. (2016). The Legal Framework of European Union: Western Balkans Trade Liberalization. In: Karasavvoglou, A., Aranđelović, Z., Marinković, S., Polychronidou, P. (eds) The First Decade of Living with the Global Crisis. Contributions to Economics. Springer, Cham. https://doi.org/10.1007/978-3-319-24267-5_10

Download citation

Publish with us

Policies and ethics

Search

Navigation