Social Council at the Expert Level, convened by the Council of the Organization and following the agenda approved by this Council, will take up matters that most urgently require consideration and approval, and may therefore exercise the powers listed in Article 18.d and e, and Article 19.f, g and h.

FINANCING THE WORK OF TASK FORCES TO BE APPOINTED BY THE SECRETARY GENERAL OF THE ORGANIZATION OF AMERICAN STATES TO IMPLEMENT THE CHARTER OF PUNTA DEL ESTE: Agreement Signed at Washington by the President of the United States (Kennedy) and the Secretary General of the OAS (Mora), November 29, 1961 **

153. IMPLEMENTATION OF THE CHARTER OF PUNTA DEL ESTE: Resolutions Adopted by the Special Meeting of the Inter-American Economic and Social Council at the Expert Level, Washington, November 29-December 9, 1961 (Excerpts)

45

I

APPOINTMENT OF THE MEMBERS OF THE PANEL OF EXPERTS +6

II

EXPENSES OF THE PANEL OF EXPERTS

FOR THE PERIOD FROM JANUARY 1 TO JUNE 30, 1962

III

ESTABLISHMENT OF A SPECIAL COMMITTEE ON BASIC PRODUCTS

The Special Meeting of the Inter-American Economic and Social Council at the Expert Level,

44

"TIAS 4887; 12 UST 1690. The funds involved were $6 million to be contributed by the United States to the Special Inter-American Fund for Social Progress in addition to the $394 million transferred to the Inter-American Development Bank, June 19, 1961, for the Social Progress Trust Fund; see ante, doc. 140.

45

"OAS doc. OEA/Ser.H/XII.2 (English). The Special Meeting was attended by Representatives of all 21 American Republics and of the Inter-American Development Bank and the Economic Commission for Latin America, as well as by observers for the International Monetary Fund, the Inter-American Institute of Agricultural Sciences, and the Pan American Health Organization.

RESOLVES:

1. To establish a Special Committee on Basic Products within the framework of the Inter-American Economic and Social Council.

2. That the Committee shall study the problems of the basic export products of the member countries, with a view to achieving the stabilization and enlargement of the markets for these products, and to formulating such recommendations as it deems advisable in order to attain these objectives through close cooperation of the member states.

3. That the Committee may meet when it is convened by the Council to deal with matters within its competence; when one or more governments of the member states request its convocation, in order to consider matters related to basic products that affect their economies, or when a decision to convoke the meeting is made by the Committee itself or by its Chairman.

4. That the Committee shall exist so long as in the judgment of the Council, the circumstances that determined its establishment persist. 5. That the Committee shall have the power to present reports and recommendations directly to the governments of the member states, as well as to the Inter-American Economic and Social Council.

That it must, furthermore, submit reports on its discussions and work to the Regular Annual Meetings of the Inter-American Economic and Social Council.

IV

STUDY OF THE EFFECTS OF THE EUROPEAN COMMON MARKET ON THE LATIN AMERICAN ECONOMIES

WHEREAS:

Cooperative efforts to accelerate the economic and social development of Latin America, as stated in the Alliance for Progress and the provisions of the Charter of Punta del Este," require periodic review of the progress attained and the problems that arise, as well as studies on pertinent measures to be taken;

Title III of the Charter of Punta del Este establishes that "the Latin American countries should coordinate their actions to meet the unfavorable treatment accorded to their foreign trade in world markets, particularly that resulting from certain restrictive and discriminatory policies of extracontinental countries and economic groups;" and

Title IV of the Charter of Punta del Este stipulates that "Industrialized countries should give special attention to the need for hastening economic development of less developed countries;" that "therefore, they should make maximum efforts to create conditions, compatible with their international obligations, through which they may extend advantages to less developed countries so as to permit the rapid expansion of their markets;" and that "in view of the great need for this rapid development, industrialized countries should also study

ways in which to modify, wherever possible, international commitments which prevent the achievement of this objective,"

The Special Meeting of the Inter-American Economic and Social Council at the Expert Level

RESOLVES:

1. To request the General Secretariat to have the document entitled Effects of the European Economic Community on the Latin American Economies (OEA/Ser.E/XI.I, Document 19, December 3, 1959) reviewed and brought up to date as soon as possible.

2. To recommend that, when this revision has been initiated, a careful examination be made of restrictive measures of a non-tariff nature, such as import quotas, subsidies for domestic production, and domestic taxes on consumption, that are applied by countries that are already members of the European Economic Community or whose membership is anticipated shortly, and the proposals for a common agricultural policy to be adopted by those countries.

3. To recommend that when this revision has been completed, a study be made of the measures that might be taken by the member states of the Organization of American States, individually or collectively, to protect their economies against the harmful effects of present or future discrimination on the part of the European Economic Community against the primary products of the member countries.

4. To request that the aforementioned revision be presented to the Special Committee on Basic Products of the Organization of American States that is to be created 48 and the governments of the member states at least 45 days prior to the next annual meeting of the InterAmerican Economic and Social Council at the Ministerial Level.

V

STATEMENT ON THE POLICY OF THE EUROPEAN ECONOMIC COMMUNITY REGARDING BASIC EXPORT PRODUCTS OF LATIN AMERICA WHEREAS:

At the Ministerial-level meeting of the General Agreement on Tariffs and Trade held in Geneva, Switzerland from November 27 to 30, 1961, several of the contracting parties put forward proposals that envisaged the progressive elimination, by all countries and regional groupings, of discriminatory restrictions against the importation of certain primary products;

49

The progressive implementation of the common external tariff of the European Economic Community on those commodities will result in increasingly discriminatory treatment against the importation of products from the countries of this Hemisphere;

The European Economic Community was unable to accept in the above-noted General Agreement on Tariffs and Trade meeting the recommendation that special consideration be given to specific proposals for action leading to reduction of these discriminatory meas

The member countries of the Organization of American States believe that the continued existence of such restrictions limit an increasing consumption of primary products, forming the basis of the economies, not only of the majority of the member countries of this Organization, but also of a great number of other countries; and

Although appropriate measures may need to be taken to serve as an aid to some less-developed countries now benefiting from preferential treatment, preferential treatment for primary products from certain areas creates inequities and inconsistencies that impede free and nondiscriminatory world trade in such products and hinder progress toward the achievement of equitable international arrangements dealing with these products,

The Special Meeting of the Inter-American Economic and Social Council at the Expert Level

AGREES:

1. To express its deep concern that the member countries of the European Economic Community did not find it possible to agree to negotiations leading to the progressive elimination of restrictions they place on the importation and consumption of some primary products.

2. To point out that the apparent intention to retain such restrictions puts in jeopardy the mutually beneficial commercial and economic relations between Western Europe and Latin America, and makes the economic and social development of this latter area more difficult.

3. To recommend to the member countries of the Organization of American States that, within the spirit of the Alliance for Progress, they continue their individual and collective negotiations through General Agreement on Tariffs and Trade, through commodity study groups and through any other entity, for the elimination of such restrictions.

4. To request the Secretary General of the Organization of American States to transmit this resolution to the international agencies and regional organizations concerned with this problem.

VI

MEASURES FOR ACHIEVING THE ELIMINATION OF RESTRICTIVE PRACTICES APPLIED BY THE EUROPEAN ECONOMIC COMMUNITY AGAINST IMPORTATION OF LATIN AMERICAN BASIC PRODUCTS

The Special Meeting of the Inter-American Economic and Social Council at the Expert Level

RESOLVES:

1. To entrust to the Special Committee on Basic Products the proposal, on the basis of information provided by any interested country and of studies made by the General Secretariat, of measures that it considers advisable to adopt for the purpose of achieving the elimination of the restrictive or discriminatory practices imposed by the countries of the European Economic Community and the members of the organization on importation of basic products from Latin America.

2. To entrust to the Special Committee, also, consideration of the establishment of Task Forces for the products for which it deems this appropriate, on its own initative or at the request of one or more interested governments.

3. To recommend to the interested countries that are members of the Organization that they hold meetings prior to those convened by the General Agreement on Tariffs and Trade, in order to study problems of common interest in regard to basic products and draw up a common policy to present to the General Agreement. To this end, the Secretary General shall make appropriate arrangements for the holding of such meetings and shall provide such technical assistance as may be

necessary.

VII

MEASURES FOR THE DEFENSE OF LATIN AMERICAN EXPORTS OF MEAT AND WOOL TO THE EUROPEAN MARKET

The Special Meeting of the Inter-American Economic and Social Council at the Expert Level

RESOLVES:

1. To request the Secretary General to take such measures as in hist judgment may be necessary in order to present as effectively as possible to the European Economic Community and to the appropriate international organizations, a statement presenting the position of the Latin American countries with respect to meat and wool imports in their various states of processing, by the countries of the European Common Market. Likewise, to transmit that statement and the technical studies that support it to the governments of the member countries of the Organization, for such purposes as they consider pertinent in relation with commercial problems in that market.

2. To request the Secretary General to inform the governments of the member countries of the Organization sufficiently in advance, of any negotiations he proposes to undertake for the presentation of the statement to the European agencies, and to coordinate such negotiations with other similar ones that the governments of the member countries may desire to undertake.

3. To entrust to the Special Committee on Basic Products consideration of the establishment of task forces on meat and wool in their various states of processing, in order to carry out such studies and activities as may in due course be assigned to them, directed toward eliminating the restrictions and discriminatory practices that the countries of the European Common Market apply to those products.