What Are The Vestmanaeyjar Accords
The Vestmanaeyjar Accords are a series of invitations for working visits between the states of Noctur and the Arthurian Federation. The purpose of the visits is to create a network of bilateral free trade agreements between Arthuria and any other state that so wishes to engage in greater trade with the Federation.
To this end, the Arthurian government has created a comprehensive free trade plan, over which any state can negotiate country-specific, tailored exemptions or additions. With this method of treaty negotiation, it is hoped that as many states as possible can enter into bilateral trade relations with the Arthurian Federation with the minimum of time and fuss.
As a broad overview, the comprehensive free trade plan offers freedom of movement of persons, trade in services, movement of capital and protection of intellectual property. The agreement also provides for joint committees between Arthuria and the signatory state to facilitate greater co-operation, implementation of the agreements and dispute settlement.
Who Is Invited To The Vestmanaeyjar Accords
All states of Noctur are equally invited to the Vestmanaeyjar Accords for bilateral working meetings with members of the Storting.
By entering into a free trade agreement, a signatory state is not automatically entering into a wider Nocturian free trade area. The Rules of Origin contained within the free trade plan prevent the Arthurian Federation from acting as a middle-man between states. This means that Arthuria cannot deprive other states of trade with one another, nor can it act as a hub for sanction-busting activities.
What Is Included In The Free Trade Agreement
A detailed copy of the standard free trade agreement can be found below. Please note, this is the original plan and many changes are expected in the course of negotiations between the Arthurian Federation and potential signatory states. The final free trade agreement will often look very different from the original plan, and different countries will have entirely unique plans after the negotiation process.
A summary of the free trade agreement follows. It contains these general provisions:
Industrial Products: The FTA grants duty-free access for all industrial products due to highly developed and diversified industrial bases in most Nocturian countries.
Fishery Products: The FTA treats fish and marine products as industrial goods and thus grants total free trade in this area. Because of Arthuria’s large fishing sector, this element is an important part of the FTA.
Agricultural Products: The FTA distinguishes between basic agricultural products (such as milk, grain and sugar) and processed agricultural products (such as bread, chocolate and soup). Almost total free trade is granted to processed agricultural products, but some measures are included to compensate for the higher cost of raw materials used in food processing within the Arthurian Federation. Basic agricultural products are not included within the FTA, but can be negotiated in each individual agreement.
Rules of Origin: These rules determine which products benefit from the FTA. In order to qualify under the FTA, products need to be “wholly obtained” or “sufficiently worked or processed” in the territory of the Arthurian Federation or a signatory state.
Trade Facilitation: These measures simplify and accelerate import and export procedures for goods, improving predictability and reducing costs for businesses.
Health, Safety and Technical Barriers: HSTBs are regulations on goods which provide a barrier to import or export and hamper international trade. The FTA aims to avoid these barriers by harmonising health, safety and technical regulations between states, taking the most stringent regulation as its basis.
Trade Remedies: These remedies are measures implemented in exceptional circumstances when imports of foreign goods threaten to cause serious damage to domestic industry. The FTA includes provisions on subsidies and anti-subsidy duties, anti-dumping action and emergency measures to temporarily limit imports.
Intellectual Property Rights: The FTA includes strong IPR protection and measures to enforce them against infringement, counterfeiting and piracy.
Services and Investment: The FTA includes evolutionary clauses to implement liberalisation of services, and has provisions to protect certain domestic services of mutual importance to both Arthuria and the signatory state. Substantive investment provisions provide legal security for the establishment of businesses in either signatory state.
Competition: Liberalisation of trade may be undermined by business practices that prevent, distort or restrict competition between actors covered by the FTA. The FTA therefore includes anti-competition rules.
Technical Co-operation: Technical co-operation between FTA partners is provided for in order to strengthen one another’s capacity to harmonise standards and implement aspects of the FTA. Technical Co-operation includes assistance in areas of governance, such as rules of origin and general customs procedures.
Government Procurement: The FTA includes provisions for open and fair government procurement procedures, in order to limit public costs and reduce corruption. It operates on the principles of reciprocity, non-discrimination and transparency in public procurement markets.
Sustainable Development: The FTA includes provisions on sustainable development, which do not enforce regulations on either partner but do recognise ongoing efforts to advance this aspect of international co-operation and facilitate the continuance thereof.
Joint Committee: The FTA provides for a joint committee made up of representatives from each partner state. Meetings are typically every two years and are used for co-operation, implementation, dispute settlement and harmonisation.
Dispute Settlement: The FTA provides for consultation as the primary means of dispute settlement over implementation or interpretation disputes. If consultation does not result in a mutually-acceptable decision, judicial review is provided for in the FTA.
Different Levels of Economic Development: The FTA accounts for the partner state’s level of economic development. It does so by providing transitional periods for the entry into force of certain aspects of the FTA.
My Friends, the honourable heads of government of our Nocturian neighbours,On behalf of the Storting, I extend to you Arthuria's warmest invitation to Vestmanaeyjar for a series of bilateral working meetings between representatives of Arthuria's government and your own. This open invitation applies to all states with whom the Arthurian Federation maintains normal relations. I hope that it finds you all well, and that you are willing to represent your countries in Vestmanaeyjar.
The purpose of these bilateral working meetings is to create a number of free trade agreements between the Arthurian Federation and any state that wishes to join us in economic partnership. We are not proposing a free trade area or any form of multilateral trade bloc; Arthuria only seeks improved trade relations with its neighbours. We fully understand that many of your countries will require tailored protection commitments or regulatory assurances, and the aim of a working meeting is to negotiate these state-specific policies should you determine a free trade agreement with Arthuria to be in your state's best interests.
The Storting awaits your responses, and Vestmanaeyjar hopes that these accords will mark a new commitment between the Arthurian Federation and the Nocturian community.
Until that time, Vestmanaeyjar sends its warmest wishes.
Yours in friendship,
Federal Minister Runær Arnardotar.
On behalf of the Storting and the Arthurian People