Preparation for the June Meeting of the European Council 8

COUNCIL OF THE EUROPEAN UNION EN

C/07/137

10654/07 (Presse 137)

PRESS RELEASE

2808th Council meeting General Affairs and External Relations General Affairs Luxembourg, 17-18 June 2007

President Mr Frank-Walter STEINMEIER Federal Minister for Foreign Affairs of Germany

* The 2809th meeting on External Relations is the subject of a separate press release (10657/07). P R E S S

R u e d e l a L o i 1 7 5 B – 1 0 4 8 B R U S S E L S T e l . : + 3 2 ( 0 ) 2 2 8 1 6 0 8 3 / 6 3 1 9 F a x : + 3 2 ( 0 ) 2 2 8 1 8 0 2 6 [email protected] http://www.consilium.europa.eu/Newsroom 10654/07 (Presse 137) 1 EN 17.-18.VI.2007

Main results of the Council

The Council prepared for the June meeting of the European Council, in particular as regards reform of the EU treaties. It discussed a report from the Presidency assessing the result of consultations with the Member States following the difficulties encountered in the ratification of the constitutional treaty, and exploring ways forward on the treaty reform process with a view to enabling the European Council to settle the matter.

The Council appointed Mr Miroslav Lajčák as the EU's special representative in Bosnia and Herzegovina.

It also amended the list of persons subject to measures in support of the International Criminal Tribunal for the former Yugoslavia, following the transfer of Ante Gotovina to the tribunal.

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CONTENTS 1

PARTICIPANTS...... 5

ITEMS DEBATED

EU TREATY REFORM PROCESS...... 7

PREPARATION FOR THE JUNE MEETING OF THE EUROPEAN COUNCIL...... 8

MIGRATION - Council conclusions...... 9

OTHER ITEMS APPROVED

EXTERNAL RELATIONS

– Afghanistan - Council conclusions...... 13

– Uganda - Council conclusions...... 14

– Consular cooperation - Council conclusions...... 15

– Bosnia and Herzegovina - EU special representative...... 15

– International Criminal Tribunal for the former Yugoslavia - Restrictive measures...... 16

– UN General Assembly – EU priorities...... 16

– The Northern Dimension...... 16

– Illicit trafficking of small arms - Council conclusions...... 17

– International arms trade treaty - Council conclusions...... 19

– Weapons of mass destruction - EU strategy...... 20

– EU/Algeria - Association agreement...... 200

– EU/Jordan - Association agreement...... 200

– Participation of certain third countries in Community programmes...... 200

– Prevention of violent conflicts...... 211

1  Where declarations, conclusions or resolutions have been formally adopted by the Council, this is indicated in the heading for the item concerned and the text is placed between quotation marks.  Documents for which references are given in the text are available on the Council's Internet site (http://www.consilium.europa.eu).  Acts adopted with statements for the Council minutes which may be released to the public are indicated by an asterisk; these statements are available on the Council's Internet site or may be obtained from the Press Office.

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– Effectiveness, coherence and visibility of the European Union's external policies...... 211

EUROPEAN SECURITY AND DEFENCE POLICY

– Presidency report on ESDP...... 211

– EU military exercise MILEX 08/CPX...... 211

DEVELOPMENT COOPERATION

– Humanitarian aid - Council conclusions...... 222

– Promoting employment through EU development cooperation - Council conclusions...... 222

TRADE POLICY

– Delivering market access for European exporters - Council conclusions...... 222

– Anti-dumping - Thailand - Sweet corn...... 222

– Anti-dumping - China - Saddles...... 222

GENERAL AFFAIRS

– Proceedings in the Council's different configurations...... 233

COUNTERING TERRORISM

– Terrorist financing...... 233

ECONOMIC AND FINANCIAL AFFAIRS

– Italy - Deduction of VAT on certain vehicles...... 233

– Court of Auditors' special report on Community transit systems - Council conclusions...... 233

EUROPEAN ECONOMIC AREA

– Amendments to the EEA agreement...... 244

TRANSPORT

– Agreement with Panama on air services...... 244

AGRICULTURE

– UN Food and Agriculture Organisation - Council conclusions...... 244

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PARTICIPANTS

The governments of the Member States and the European Commission were represented as follows:

Belgium: Mr Karel DE GUCHT Minister for Foreign Affairs Mr Didier DONFUT State Secretary for European Affairs, attached to the Ministry of Foreign Affairs Bulgaria: Mr Ivailo KALFIN Deputy Prime Minister and Minister for Foreign Affairs Mr Todor CHUROV Deputy Minister for Foreign Affairs Ms Evgenia Marinova KOLDANOVA Deputy Minister for Foreign Affairs Czech Republic: Mr Alexandr VONDRA Deputy Prime Minister with responsibility for European Affairs Mr Karel SCHWARZENBERG Minister for Foreign Affairs Denmark: Mr Per Stig MØLLER Minister for Foreign Affairs Germany: Mr Frank-Walter STEINMEIER Federal Minister for Foreign Affairs Mr Günter GLOSER Minister of State, Ministry of Foreign Affairs Estonia: Mr Urmas PAET Minister for Foreign Affairs Ireland: Mr Dermot AHERN Minister for Foreign Affairs Mr Dirk ROCHE Minister for the Environment, Heritage and Local Government Greece: Ms Dora BAKOYANNI Minister for Foreign Affairs Mr Ioannis VALINAKIS State Secretary for Foreign Affairs Spain: Mr Miguel Ángel MORATINOS Minister for Foreign Affairs and Cooperation Mr Alberto NAVARRO GONZÁLEZ State Secretary for the European Union France: Mr Bernard KOUCHNER Minister of Foreign and European Affairs Mr Jean-Pierre JOUYET Minister of State for European Affairs Italy: Mr Massimo D'ALEMA Deputy Prime Minister, Minister for Foreign Affairs Cyprus: Mr Yiorgos LILLIKAS Minister for Foreign Affairs Latvia: Mr Artis PABRIKS Minister for Foreign Affairs Lithuania: Mr Petras VAITIEKŪNAS Minister for Foreign Affairs Luxembourg: Mr Jean ASSELBORN Deputy Prime Minister, Minister with responsibility for Foreign Affairs and Immigration Mr Nicolas SCHMIT Minister with responsibility for Foreign Affairs and Immigration Hungary: Ms Kinga GÖNCZ Minister for Foreign Affairs Malta: Mr Michael FRENDO Minister for Foreign Affairs

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Netherlands: Mr Maxime VERHAGEN Minister for Foreign Affairs Mr Franciscus TIMMERMANS Minister for European Affairs Austria: Ms Ursula PLASSNIK Federal Minister for European and International Affairs Poland: Ms Anna Elżbieta FOTYGA Minister for Foreign Affairs Ms Ewa OŚNIECKA-TAMECKA State Secretary, Office of the Committee for European Integration Portugal: Mr Luís AMADO Ministro de Estado, Minister for Foreign Affairs Mr Manuel LOBO ANTUNES State Secretary for European Affairs, attached to the Minister for Foreign Affairs Romania: Mr Adrian CIOROIANU Minister for Foreign Affairs Slovenia: Mr Dimitrij RUPEL Minister for Foreign Affairs Slovakia: Mr Ján KUBIŠ Minister for Foreign Affairs Ms Oľga ALGAYEROVÁ State Secretary at the Ministry of Foreign Affairs Finland: Mr Ilkka KANERVA Minister for Foreign Affairs Mr Paavo VÄRYNEN Minister for Foreign Trade and Development Ms Astrid THORS Minister for Migration and European Affairs Sweden: Mr Carl BILDT Ministry for Foreign Affairs Ms Cecilia MALMSTRÖM Minister for European Affairs United Kingdom: Ms Margaret BECKETT Secretary of State for Foreign and Commonwealth Affairs

Commission: Ms Margot WALLSTRÖM Vice President

General Secretariat of the Council: Mr Javier SOLANA Secretary-General/High Representative for the CFSP

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ITEMS DEBATED

EU TREATY REFORM PROCESS

The Council discussed reform of the EU treaties, on the basis of a report from the Presidency (10659/07), in preparation for the European Council's meeting on 21 and 22 June.

The Presidency's report comes in response to a request from the European Council in June 2006, in the light of consultations held with the Member States following the difficulties encountered in the ratification of the constitutional treaty. It provides an assessment of thinking on the treaty reform process and explores possible ways forward, with a view to enabling the European Council to settle the matter.

The Council's discussion focused on the following issues:

– methodology (returning to the traditional method of treaty changes through an amending treaty);

– changes in terminology;

– a single legal personality for the EU;

– the Charter of Fundamental Rights and a reference thereto in the treaty;

– overcoming the existing "pillar" structure.

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PREPARATION FOR THE JUNE MEETING OF THE EUROPEAN COUNCIL

The Council approved draft conclusions prepared by the Presidency for the European Council meeting to be held in Brussels on 21 and 22 June.

The main issues addressed by the draft conclusions are as follows:

– EU treaty reform process;

– justice and home affairs (police cooperation, combating terrorism, migration policy, citizens' rights and judicial cooperation);

– economic and social issues (in particular completion of the internal market, technology and research, social policy, climate change and energy policy and transport);

– external relations (in particular European neighbourhood policy, strategy on central Asia and relations with Africa).

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MIGRATION - Council conclusions

The Council adopted the following conclusions:

"1. The Council underlines the importance of the issue of migration for the EU and its Member States. The Council therefore welcomes the important progress being made with the adoption and the implementation of the Global Approach to Migration, the strategy established by the European Council in December 2005 and complemented by its Conclusions on the development of comprehensive European Migration Policy of December 2006.

2. The Council notes the first set of priority actions for the purpose of the Global Approach focussed on Africa and the Mediterranean region. Strengthened political dialogue, including the recent EU missions to Africa, and concrete cooperation with African and EuroMed partners on migration and related issues, including development aspects of migration, are important recent achievements. The strengthened capacity to manage the control of external borders, in particular through joint maritime operations, is another important achievement. The Council believes that these measures should be further intensified in the light of recent events.

3. The Council, while underlining the need to continue these efforts as a matter of urgency, also reaffirms the need to both extend the geographical scope and to enhance the content of the Global Approach in general.

4. The Council therefore welcomes the Commission Communications of 16 May 2007 on applying the Global Approach to migration to the Eastern and South-Eastern regions neighbouring the European Union and on circular migration and mobility partnerships between the European Union and third countries. The Council calls on the Member States and the Commission to ensure that sufficient human and financial resources are allocated, within the existing financial framework, in order to enable the timely implementation of the comprehensive approach to migration.

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A. Extending the Global Approach - Applying the Global Approach to Migration to the Eastern and South-Eastern Regions Neighbouring the European Union

5. The Council underlines the necessity for the EU to achieve a more efficient management of migration given the considerable numbers of migrants coming from or through the eastern and south-eastern regions. Existing cooperation structures in the region need to be enhanced and fully integrated in EU-relations with the third countries concerned, in order to create a more comprehensive and coherent approach. This applies, in particular, to dialogue and effective cooperation in matters such as enhancing border control, combating illegal immigration, organised crime and trafficking in and smuggling of human beings. This also applies to ensuring well-managed migration for social, cultural and business purposes and harnessing the opportunities to strengthen the links and synergies between migration and development in these regions.

6. The Council, while recognising that the dialogue with eastern and south-eastern countries is well advanced, stresses the need to take additional comprehensive and concrete actions based on existing political and institutional frameworks taking into account the competences of Member States. As a matter of priority, particular attention should be given to strengthening the dialogue and cooperation with the regions directly neighbouring the EU, i.e. the countries of the Western Balkans, Turkey, the ENP countries – including issues that could affect them, such as the consequences of the Iraqi refugee situation - and the Russian Federation. Furthermore the dialogue on migration issues should be intensified with Central Asian and Asian countries of origin and transit identified in accordance with the migratory routes concept.

7. The Council endorses the priority actions focusing on the Eastern and South-Eastern regions neighbouring the EU annexed to these conclusions1 in the context of the extension of the Global Approach to Migration. The Council invites the Commission to report back on the implementation of the Global Approach thus extended.

B. Enhancing the Global Approach - Circular Migration and mobility partnerships between the European Union and third countries

8. The Council reiterates that active consideration must be given to how legal migration opportunities can be incorporated into the Union's external policies in order to develop a balanced partnership with interested third countries. These would need to be adapted to the specific EU Member States' labour market needs as well as to the cooperation results achieved from the third countries concerned.

1 The annex to these conclusions can be found in 10746/07.

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9. The Council welcomes the Commission Communication on circular migration and mobility partnerships as a basis for further discussions. The Council believes that these two concepts could make an important contribution to a comprehensive approach, which combines measures aimed at facilitating legal migration opportunities with those reducing illegal immigration. Such a strategy could, in particular, be directed to promoting sustained cooperation with third countries along the migration routes towards the European Union.

10. The Council underlines that these mobility partnerships will be considered in those cases where they bring added value both to the EU and the third country on the management of migration flows and on the understanding that the willingness to contribute to this partnership and to cooperate actively is the basis for the opportunities offered by them. Such partnerships should, as far as appropriate, include the offer of legal migration opportunities, adapted in particular to the specific Member States' labour market needs, while fully respecting the competences of the Member States and the principle of Community preference on the one hand, and a genuine cooperation on preventing and combating illegal immigration, trafficking in and smuggling of human beings as well as effective readmission and return policy while respecting the protection of human rights, on the other hand.

Furthermore the Council agrees that, building upon the efforts to implement measures and actions that are already part of the dialogue and cooperation with third countries, these partnerships could include:

 the enhancement of the links between migration and development, i.a. to facilitate productive use of the resources of migrant communities and to promote co-development projects;

 the pooling of support measures in capacity building in order to better manage and control migration;

 the promotion of the reintegration of returnees;

 visa facilitation in accordance with the common approach, taking into account the experiences in the implementation of the current agreements;

 the enhancement of the protection of human rights in the fight against illegal immigration, in readmission and return policies and in the reception of migrants and asylum seekers; and

 the protection of refugees in accordance with international standards.

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11. The Council believes that the concept of mobility partnerships between the European Union, Member States and third countries could be tested by way of a limited number of pilot partnerships. The Council therefore invites the Commission to consult Member States on the further development of this concept, including, in particular, on the terms of reference, and with a view to exploratory talks with interested third countries on pilot partnerships in close cooperation with the Presidency and interested Member States. The Commission is invited to report back to the Council on the outcome of these consultations in order to enable the Council to decide by the end of 2007 whether to invite the Commission to launch pilot partnerships.

12. The Council agrees that legal migration opportunities, including well-managed circular migration can potentially benefit all partners involved. All possibilities for a well-managed circular migration should therefore be explored in close cooperation with all relevant stakeholders with a view to the adoption of Council Conclusions not later than the end of 2007."

The annex on "Priority actions focusing on the Eastern and South-Eastern Region Neighbouring the EU" can be found in 10746/07.

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OTHER ITEMS APPROVED

EXTERNAL RELATIONS

Afghanistan - Council conclusions

"The Council reaffirmed the EU's strong, long-term commitment to Afghanistan, as expressed by the European Council on 14 December 2006. The Afghanistan Compact and the Joint EU- Afghanistan Political Declaration remain a comprehensive framework for increasing EU engagement with Afghanistan.

In the framework of this overall commitment in favour of stability and development in Afghanistan, the EU reaffirms its support for the Government of Afghanistan's efforts to promote and extend the rule of law through development of the police, courts, prisons and the wider justice system, including its counter-narcotics efforts, to the regional and provincial level.

The Council welcomes the launch of an EU police mission to Afghanistan with linkages to the wider concept of rule of law. The mission will work towards an Afghan police force under local ownership, that respects human rights and operates within the framework of the rule of law. The mission will build on current efforts, and will pursue a comprehensive and strategic approach. In doing so it will address issues of police reform at central, regional and provincial levels. The Council also welcomes the launch of the Commission's new justice programme, which will support key reforms in the judiciary, focussing on institutional reforms and legal aid. The ESDP mission ("EUPOL Afghanistan") and the European Commission's Justice programme reflect enhanced EU engagement in the rule of law sector in Afghanistan.

In this context, the Council also welcomes the planned Conference on the Rule of Law in Afghanistan, which will be held in Rome on 2 and 3 July 2007, as an opportunity to increase the international community's commitment to reform in the Afghan justice sector, and to enhance the Afghan Government’s awareness in this area.

The Council also welcomed the meeting of G8 Foreign Ministers with the Foreign Ministers of Afghanistan and Pakistan on 30 May 2007 in Potsdam, and endorsed the "Joint Statement on the G8 Afghanistan-Pakistan Initiative". The strengthening of regional cooperation and the development of an open and constructive dialogue between Afghanistan and Pakistan will play an important role in the overall reconstruction effort in Afghanistan. This issue should feature prominently on the agenda of the next JCMB meeting. The Council therefore calls on both countries to put their commitments in this regard into practice. The EU and its Member States will play their part in the implementation of this initiative."

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Uganda - Council conclusions

"1. The Council reaffirms its strong support for the ongoing peace talks in Juba between the Government of Uganda and the Lord's Resistance Army (LRA), aimed at ending the long- running conflict in Northern Uganda, which also has had a devastating impact on the wider region, particularly in terms of the many civilians killed, abducted and displaced. The cessation of hostilities agreement is of fundamental importance for the whole process.

2. The Council welcomes the appointment of former President of Mozambique, His Excellency Joaquim Chissano, as the UN Secretary General's Special Envoy for LRA affected areas and commends his efforts to support the mediation process, including through direct intervention with both parties. It also welcomes the contribution of the African Union to the mediation effort and commends the continuing mediation offered by the Government of Southern Sudan, notably through its Vice-President, Dr. Riek Machar, as chief mediator.

3 The Council underlines the continued importance of reaching a peace deal which provides both peace and justice to the local communities, and which is compatible with the wishes of the local communities, national laws and the Rome Statute of the International Criminal Court.

4. The Council welcomes the improvements in the security and humanitarian situation in Northern Uganda, whilst recognising that up to one million people remain displaced, and urges the Government of Uganda to continue to address the humanitarian and development needs of the local communities, in fruitful cooperation with the local authorities, NGOs, the UN system and others.

5. The EU reaffirms its commitment to maintaining its significant humanitarian assistance to Northern Uganda and to provide support to the peace process, as appropriate. It urges the Government of Uganda to prioritise its assistance focused on long-term recovery and development in Northern Uganda and offers assistance to the Government's efforts on this regard. The EU will work with the Government of Uganda and the international community to this end.

6. The Council underlines the importance of the Government of Uganda continuing to strengthen the democratisation process and respect for human rights and the rule of law. In this regard, it expresses its concerns regarding certain negative tendencies, including the gradual deterioration of the rule of law and the independence of the judiciary, manifested most notably through the case against the People's Redemption Army suspects, and regarding human rights violations in the violent forced disarmament process in the Karamoja region.

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7. The Council commends the Government of Uganda for the constructive role that it plays in the region with regard to the establishment of an East African Union, the Great Lakes Conference, and the Intergovernmental Authority on Development, as well as relations with Rwanda and Burundi. It encourages the Government to maintain a policy of non- interference in the Democratic Republic of Congo (DRC). The Council also commends the Government of Uganda for deploying, under very difficult circumstances, an internationally mandated peace-keeping mission in Somalia."

Consular cooperation - Council conclusions

"In accordance with the guidelines of the European Council of 15-16 June 2006, the Council has decided to strengthen consular cooperation between EU Member States through implementation of the consular Lead State concept. The concept aims to improve the protection of nationals of European Union Member States in times of crisis in third countries, particularly where citizens of the European Union have no local national representation. In the event of a major consular crisis and without prejudice to the primary responsibility of Member States to protect their nationals, the Lead State will endeavour to ensure that all European Union citizens are assisted and will coordinate between Member States on the ground.

The Council invited the Presidency to report on progress on its implementation by the end of the year."

Bosnia and Herzegovina - EU special representative

The Council adopted a Decision appointing Mr Miroslav Lajčák as the European Union's special representative in Bosnia and Herzegovina for the period from 1 July 2007 to 29 February 2008. (10096/07)

Mr Lajčák will replace Mr Christian Schwarz-Schilling, who was appointed special representative in 30 January 2006.

See also: statement by High Representative Javier Solana welcoming the appointment of Mr Lajčák and press release 10947/07.

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International Criminal Tribunal for the former Yugoslavia - Restrictive measures

The Council adopted a Decision implementing Common Position 2004/293/CFSP on measures in support of the International Criminal Tribunal for the former Yugoslavia (ICTY), amending the list of persons subject to those measures (9854/07).

Following the transfer of Ante Gotovina to the tribunal, certain individuals connected with him have been removed from the list. The identifiers of the remaining persons have been updated.

Furthermore, the list includes additional names of persons helping persons at large to continue to evade justice for crimes for which they have been indicted by the ICTY, or who are otherwise acting in a manner which could obstruct the ICTY's work.

The list of persons, which was first drawn up in April 2003, now includes 44 persons subject to a travel ban.

UN General Assembly – EU priorities

The Council approved a set of EU priorities for the 62nd General Assembly of the United Nations that will start in New York in September (10184/07).

The Northern Dimension

The Council took note of the 2006 annual progress report on implementation of the Northern Dimension action plan, and agreed to submit it to the European Council on 21/22 June.

The Northern Dimension addresses specific challenges and opportunities arising in the Baltic Sea region and Arctic Sea region and is aimed at strengthening dialogue and cooperation between the EU and its Member States, Norway, Iceland and the Russian Federation.

The second Northern Dimension action plan covered the period 2004 - 2006. It called for particular attention to be paid to development gaps and sectoral problems in the Arctic and sub-Arctic regions and the Russian Kaliningrad Oblast.

The second action plan established five priority areas: economy, business and infrastructure, social issues (including education, training and public health), environment, nuclear safety and natural resources; justice and home affairs and cross-border co-operation. Within each of these areas, the second action plan proposed specific objectives.

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Illicit trafficking of small arms - Council conclusions

The Council endorsed a report on implementation of the EU's strategy against the accumulation and trafficking of small arms and light weapons (SALW) and ammunition.

The EU strategy, adopted by the European Council in December 2005, builds on existing EU policies and actions in this area and puts them under a common heading. It includes an action plan calling for continuous monitoring by means of implementation reports every six months.

The Council also adopted the following conclusions :

"The threat to peace, security and development posed by the destabilising accumulation and spread of SALW continues to be a matter of grave concern to the whole international community. SALW including their ammunition are instrumental in the deaths of more than 500,000 people annually, with the vast majority of the victims being civilians. The Council therefore reiterates its determination to address the issue of SALW including their ammunition. Recognising the interdependence of human security and human development, the EU is committed to a comprehensive and coherent approach to combat, and to contribute to ending, the destabilising accumulation and spread of small arms and ammunition. In the pursuit of these objectives the EU is guided by the Strategy to combat the illicit accumulation and trafficking of SALW and their ammunition, which was adopted by the European Council on 15-16 December 2005. We welcome the significant progress made by the EU and its individual Member States in the implementation of the Strategy and the action plan contained in it.

The Council stresses its full support for the UN Programme of Action to prevent, combat and eradicate the illicit trade in small arms and light weapons in all its aspects, adopted on 20 July 2001. The UN Programme of Action provides the basis and benchmark of all efforts undertaken at the global level. We recall the need for complementarity at the global, regional and national levels in implementing this Programme of Action, and underline the EU´s determination to contribute to this course. The Council deplores that the UN Conference to Review Progress Made in the Implementation of the Programme of Action in Summer 2006 ended without the adoption of a final document. It welcomes subsequent Decisions by the UN General Assembly to hold the next Biennial Meeting of States under the UN Programme of Action in 2008, and underlines its determination to actively ensure further follow-up and implementation of the UN Programme of Action.

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The Council notes with satisfaction the important contribution made since 2001 by the EU and its individual Member States towards combating the illicit trade in SALW including their ammunition. With its comprehensive approach to issues of human security, which encompasses in particular control and reduction as well as collection and disposal of SALW and ammunition, but also border control, legal reform and public awareness, the EU together with its individual Member States is the largest contributor with regard to SALW- and ammunition-related project work and technical cooperation worldwide.

Ammunition plays a decisive role in the escalation and prolongation of armed conflict and the spread of organized crime. The Council therefore welcomes the increasing attention to the issue of ammunition. The Council supports the Decisions taken by the UN General Assembly with regard to considering the issue of ammunition in more detail and encourages active involvement in this process. It also supports on-going work on the issue of stockpiles of conventional ammunition in the framework of the OSCE.

The absence of effective and efficient management and security of SALW and ammunition stockpiles represents a major source for the illicit trafficking in SALW including their ammunition as well as a threat to the civilian population and the environment. Against this background, the Council welcomes the conclusions drawn at the Expert Meeting "Enhancing controls and promoting reductions in stockpiles of conventional arms and ammunition" held in Berlin from 3 to 4 April 2007. It underlines its readiness to provide technical cooperation with regard to the management and security of stockpiles by offering training, advice in infrastructure improvements as well as on technical and administrative measures including marking and record-keeping.

The Council underlines the need to enact and improve SALW legislation in many regions and countries in the world, including legislation and controls to regulate arms exports, imports, transfers and brokering activities of SALW. The EU and its individual Member States reaffirm their commitment to support and assist national, regional and global initiatives that strengthen such controls, and promote their implementation.

The Council draws attention to the need to combat illicit air transport of small arms and light weapons and their ammunition. Air transport is one of the main channels for the illicit spread of SALW including their ammunition in many regions. The Council recognises the importance of applying appropriate controls and security measures to prevent illicit air transport and encourages the continuation of on-going work within the framework of the OSCE and the Wassenaar Arrangement.

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The Council welcomes the increasing awareness world wide of the negative impact of the proliferation of SALW and armed violence on sustainable development and on the realisation of the Millenium Development Goals. In this respect the EU and its individual Member States support global, regional, and national initiatives to reduce this burden and to make measurable progress in the prevention and reduction of the SALW proliferation and armed violence. The Council also welcomes efforts to integrate SALW control and armed violence reduction measures into national development planning frameworks.

The Council reiterates the role of regional as well as sub-regional cooperation to counter the illicit supply and destabilising spread of SALW including their ammunition. Regional seminars and information exchange on best practices inter alia within the ASEAN Regional Forum, the EU-AU, the EU-LAC and other regional processes contribute to building confidence, political will and commitment to address the spread of SALW and their ammunition. The Council underlines its continued commitment to cooperation related to SALW including their ammunition in particular with partners in Sub-Saharan Africa. In this respect it welcomes the adoption of an ECOWAS (Economic Community of West African States)-EU Joint Declaration on Proliferation of Small Arms and Light Weapons on 24 April 2007."

International arms trade treaty - Council conclusions

"The Council welcomes the start of practical work towards the elaboration of a legally binding international Arms Trade Treaty. The Council notes that in January 2007 the UN Secretary-General sought the views of UN Member States on the feasibility, scope and draft parameters of a comprehensive, legally binding instrument with a view to establishing common international standards for the import, export and transfer of conventional arms. The Council is encouraged to note that a large number of States have so far contributed to this process, further demonstrating ongoing and growing international support for this initiative, and acknowledges the active participation by EU Member States in this process. The European Union experience with its own export control system demonstrates the feasibility of agreeing on an instrument without depriving States of their national prerogative to licence or deny individual exports, and confirms the effectiveness and efficiency of a multilateral export control mechanism.

The Council underlines the importance of co-operation with other States and regional organisations in the process of elaborating an Arms Trade Treaty. It expresses its firm belief that a comprehensive, legally binding instrument, consistent with existing responsibilities of States under relevant international law and establishing common international standards for the import, export and transfer of conventional arms, would be a major contribution to tackling the undesirable and irresponsible proliferation of conventional arms which undermines peace, security, sustainable development and full respect for human rights."

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Weapons of mass destruction - EU strategy

The Council endorsed a progress report on implementation of the EU's strategy against the proliferation of weapons of mass destruction, adopted by the European Council in December 2003.

The six-monthly progress report covers EU activities in the first half of 2007 and was prepared by the office of the High Representative's personal representative for non-proliferation, in coordination with the Commission.

EU/Algeria - Association agreement

The Council adopted a Decision with a view to the establishment, by the EU-Algeria Association Council, of a social affairs working group and six technical subcommittees to work on implementation of the agreement.

The Euro-Mediterranean agreement with Algeria entered into force in September 2005 and provides for the establishment of a free trade area between the EU and Algeria by 31 August 2017.

EU/Jordan - Association agreement

The Council adopted a Decision approving the conclusion of an agreement with Jordan amending the EU-Jordan Association Agreement (7387/07).

The EU-Jordan Association Agreement entered into force in May 2002. Following the introduction in January 2006 of further bilateral trade concessions in agricultural and processed agricultural products, the Agreement has been amended in order to clarify and correct discrepancies relating to certain Jordanian customs nomenclature codes.

Participation of certain third countries in Community programmes

The Council adopted a Decision authorising the Commission to negotiate protocols to the EU's partnership and cooperation agreements with Armenia, Azerbaijan, Georgia, Moldova and Ukraine and its association agreements with Algeria, Egypt, Israel, Jordan, Lebanon, Morocco and Tunisia, as well as to its interim agreement with the PLO, acting for the benefit of the Palestinian Authority, establishing general principles for their participation in Community programmes.

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Prevention of violent conflicts

The Council approved a report from the Presidency, to be forwarded to the European Council, on EU activities in the prevention of violent conflicts.

The report sets out the EU's activities since July 2006 under the EU's programme on the prevention of violent conflicts, adopted by the European Council at Göteborg in June 2001.

It includes recommendations based on experience acquired in the course of activities undertaken in the last year. It deals with developments regarding early warning, planning and policy, on the one hand, and EU instruments on the other, as well as cooperation with partners.

Effectiveness, coherence and visibility of the European Union's external policies

The Council took note of a report on progress made in improving the effectiveness, coherence and visibility of the Union's external policies and recommendations for future work (8909/07).

EUROPEAN SECURITY AND DEFENCE POLICY

Presidency report on ESDP

The Council approved a Presidency report on European security and defence policy (ESDP) with a view to its submission to the European Council on 21 and 22 June.

The report covers all ESDP issues discussed in the first half of this year and includes terms of reference for the incoming Portuguese Presidency.

EU military exercise MILEX 08/CPX

The Council approved draft exercise specifications for the EU military exercise MILEX 08/CPX, which will focus on the interaction between an EU operation headquarters and an EU force headquarters.

The EU will conduct the exercise in the framework of an EU exercise programme approved by the Council in June 2006.

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DEVELOPMENT COOPERATION

Humanitarian aid - Council conclusions

See the full text of the conclusions at (10496/07): http://register.consilium.europa.eu/pdf/en/07/st10/st10496.en07.pdf

Promoting employment through EU development cooperation - Council conclusions

TRADE POLICY

Delivering market access for European exporters - Council conclusions

See the full text of the conclusions at (10542/07 + COR 1): http://register.consilium.europa.eu/pdf/en/07/st10/st10542.en07.pdf http://register.consilium.europa.eu/pdf/en/07/st10/st10542-co01.en07.pdf

Anti-dumping - Thailand - Sweet corn

The Council adopted a Regulation imposing a definitive anti-dumping duty and collecting definitively the provisional duty imposed on imports of certain prepared or preserved sweet corn in kernels originating in Thailand (10272/07).

Anti-dumping - China - Saddles

The Council adopted a Regulation imposing a definitive anti-dumping duty and collecting definitively the provisional duty imposed on imports of certain saddles originating in China (10231/07).

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GENERAL AFFAIRS

Proceedings in the Council's different configurations

The Council took note of a report from the Presidency on proceedings in its different configurations (10480/07).

COUNTERING TERRORISM

Terrorist financing

The Council endorsed principles for the development of procedures for targeted sanctions into combat terrorist financing, established following an EU-US workshop held in Brussels on 24 April.

ECONOMIC AND FINANCIAL AFFAIRS

Italy - Deduction of VAT on certain vehicles

The Council adopted a Decision authorising Italy to limit to 40 % the right to deduct the value added tax (VAT) charged on expenditure on motorised road vehicles not wholly used for business purposes (10112/07).

The Decision enables Italy to apply a special measure derogating from the EU's common VAT system so as to restrict the right of a taxable person to deduct VAT on expenditure related to such vehicles.

The Decision will expire on the date of entry into force of new Community rules on the right to deduct VAT on road vehicles, or on 31 December 2010 at the latest.

Court of Auditors' special report on Community transit systems - Council conclusions

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EUROPEAN ECONOMIC AREA

Amendments to the EEA agreement

The Council approved two draft Decisions, to be adopted by the European Economic Area (EEA) joint committee, amending the EEA agreement on cooperation in the following fields:

 a Decision aimed at extending cooperation through the Marco Polo II programme for the granting of Community financial assistance to improve the environmental performance of the freight transport system (9636/07);

 a Decision aimed at extending cooperation for 2007 in the implementation and development of the internal market (9515/07).

TRANSPORT

Agreement with Panama on air services

The Council adopted a Decision approving the signing of an agreement with Panama on air services.

The agreement is the result of negotiations under a mandate by which the Commission can negotiate with any third country with a view to bringing Member States' existing bilateral aviation agreements into line with Community law.

AGRICULTURE

UN Food and Agriculture Organisation - Council conclusions

See the full text of the conclusions at (10251/07 + COR 1): http://register.consilium.europa.eu/pdf/en/07/st10/st10251.en07.pdf http://register.consilium.europa.eu/pdf/en/07/st10/st10251-co01.en07.pdf

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