First Meeting of the Regional Network of Legal and Technical Experts on Transport Facilitation Feb. 2014, Phuket, Thailand

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First Meeting of the Regional Network of Legal and Technical Experts on Transport Facilitation 10 11 Feb. 2014, Phuket, Thailand Comparative analysis of ECO Transit Transport Framework Agreement and Basic Multilateral Agreement on International Transport for Development of the Europe the Caucasus Asia Corridor Eldaniz Valiyev

Contents Introduction General information on ECO Transit Transport Framework Agreement and Basic Multilateral Agreement on International Transport for Development of the Europe the Caucasus Asia Corridor Similarities Differences

Introduction Following the globalization of the economy, international transport facilitation has become vital to ensure economic growth and employment of all the sectors of the economy. Ensuring the full implementation of the key multilateral transport facilitation instruments, such as the ECO Transit Transport Framework Agreement and the Basic Multilateral Agreement on International Transport for Development of the Europe the Caucasus Asia Corridor will create a favorable environment for sustainable development. Strong support given by all the governments of the contracting countries to the above mentioned agreements, by international governmental organizations and financial institutions involved in the economic development and transport facilitation such as the UNESCAP, TRACECA, ECO, World bank, Asian Development Bank, EBRD etc. are the best proofs that the role of international transport facilitation has been recognized by the all concerned parties.

General information on ECO Transit Transport Framework Agreement and Basic Multilateral Agreement on International Transport for Development of the Europe the Caucasus Asia Corridor ECO Transit Transport Framework Agreement Signed: Almaty, 9th May 1998. Entry into force: 19th May 2006. Signatories (9 states) : Islamic Republic of Afghanistan, Republic of Azerbaijan, Islamic Republic of Iran, Republic of Kazakhstan, Kyrgyz Republic, Islamic Republic of Pakistan, Republic of Tajikistan, Republic of Turkey, Turkmenistan (all ECO member states except Uzbekistan). Parties (Ratified) (8 states) : Islamic Republic of Afghanistan, Republic of Azerbaijan, Islamic Republic of Iran, Republic of Kazakhstan, Kyrgyz Republic, Islamic Republic of Pakistan, Republic of Tajikistan, Republic of Turkey (all ECO member states except Turkmenistan and Uzbekistan). Depository: ECO Secretariat. Structure of the Agreement: Preamble, 45 Articles divided into 12 Parts + 8 Annexes to the Agreement

General information on ECO Transit Transport Framework Agreement and Basic Multilateral Agreement on International Transport for Development of the Europe the Caucasus Asia Corridor Basic Multilateral Agreement on International Transport for Development of the Europe the Caucasus Asia Corridor Signed: Baku, 8th September 1998. Entry into force: 16th March 2000. Parties (Ratification, accession, definite signature) (13states) : Azerbaijan, Armenia, Bulgaria, Georgia, Iran, Kazakhstan, Kyrgyzstan, Moldova, Romania, Tajikistan, Turkey, Ukraine, Uzbekistan Depository: The Republic of Azerbaijan. Structure of the Agreement: Preamble, 16 Articles + 4 Technical Annexes to the Basic Agreement + 3 Protocols on Amendments.

Similarities The objectives of both agreements are almost the same: to facilitate the movement and to ensure the safety of goods and passengers; to harmonize transport policy and the legal framework in the field of transport. Some definitions used in the agreements are very much alike, for example: carrier, permit. Access to the market: each Contracting Party allows the use of road transport registered in another Contracting Party to provide transit services on its territory. Where road transport permits are prescribed, such permits are issued in accordance with domestic legislation of the Contracting Parties.

Similarities The Contracting Parties recognize driving licenses issued by other Contracting Parties which are valid for the category of vehicle used in transit traffic. The Contracting Parties recognize certificates of road worthiness issued by other Contracting Parties. The Contracting Parties undertake to align their documents to the United Nations layout key for trade documents. Relationship with other agreements: both agreements shall not affect the rights and obligations of the Parties arising from other international conventions and agreements to which they are parties.

Similarities The Contracting Parties undertake to harmonize and simplify their rules, regulations and administrative procedures relating to transit transport. Dispute settlement process: any dispute, controversy or claim between the Parties is settled by negotiation (TRACECA) or consultation (TTFA). If not, it shall be referred for consideration to the IGC (TRACECA) or TTCC (TTFA). The next stage is arbitration and then the International Court of Justice.

Differences Insurance: TTFA stipulates that The Contracting Parties apply the provisions of the Uniform Agreement between Bureaux which are responsible for the management and operation of the Green Card System among themselves. The Contracting Parties which are not yet parties to the International Green Card Systems take necessary steps to sign the said Agreement. The Contracting Parties use an interim motor vehicle third party liability insurance scheme unless all the Contracting Parties accede to the International Green Card System. The order and terms of implementation of this interim insurance scheme are determined by the Insurance Sub Committee of the Transit Transport Coordination Council. The latter determines the insurance tariffs and prepares the provisions relating to the receiving of the premiums and payment of the claims, prepares the draft of multilateral insurance agreement among the Contracting Parties, prepares Motor Vehicle Third Party liabilities insurance policy. There is no any special provision in TRACECA regarding insurance.

Differences Special provisions on minimum technical characteristics of roads are not provided in TRACECA, while Annex II of TTFA clarifies that in respect to the roads prescribed for international transit transportations The Contracting Parties will apply the provisions of the Annex II and III to the European Agreement on Main International Traffic Arteries (AGR, 1975). During the construction of new international traffic arteries and the modernization of the existing network, the relevant authorities of Contracting Parties will ensure to create such conditions which would comply with the interests of carriers concerning the sizes, axle load and total weight of motor vehicles as envisaged in the Articles 4 and 5 of the Annex IV (Technical Requirements of Road Vehicles) to the TTFA. Besides, The Contracting Parties may agree upon other technical characteristics of roads through the TTCC.

Differences Special provisions on minimum technical characteristics of railway transport to be used by transit traffic are not provided in TRACECA, while Annex III of TTFA clarifies parameters of railway lines namely gauge, number of tracks, loading gauge (static), minimum distance between tract centers, nominal minimum speed and authorized axle load by the speed, maximum gradient and minimum useful siding length. Besides, Annex III of TTFA specifies operational parameters of trains, minimum standards for railway lines, terminals, intermediate stations and ferries. Annex IV of TTFA includes technical requirements of road vehicles specifically maximum axle loads and laden weights (at present and target for future) as well as maximum dimensions of vehicles (at present and target for future) whereas TRACECA says that weights and dimensions of laden or unladen motor vehicles shall be in conformity with the terms set out in the official registration documents for these motor vehicles and may not exceed the limits in force in the host Party.

Differences Annex VI of TTFA provides provisions on carriage of goods and passengers by road transport. The first shall be implemented according to the Convention on the Contract for the International Carriage of Goods by Road (CMR) of May 19, 1956, and the Protocol to this Convention (Geneva, 5 July, 1978). The latter includes provisions on passenger ticket, luggage registration, and liability for bodily injury of passengers, liability for loss or damages to luggage, amount of compensation for bodily injury of passengers, amount of compensation for loss or damage of luggage, compensation of the legal and other costs. TRACECA sets no special rules on carriage of goods and passengers by road transport. TIR: According to Annex VII of TTFA, TIR carnets are used for goods declaration when the traffic in transit are carried pursuant to the TIR Convention, 1975 except in countries which are not the signatory (Pakistan) to this Convention. The Contracting Parties while sending goods to such countries or vice versa will use the national goods declaration and consignment notes with particulars as given in the Addendum No.1 to this Annex. Besides Annex VII of TTFA specifies minimum requirements for customs seals and fastenings. All TRACECA countries are signatories to the TIR Convention, 1975.

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