Article 12.6. Procedures of the Arbitration Panel
1. Unless the parties to the dispute otherwise agree, the procedure of the arbitration panel shall be conducted in accordance with the Rules of Procedure set out in Annex 12.A (Rules of Procedure for the Arbitration Panel Proceedings).
2. The arbitration panel shall examine the matter referred to it in the request for the establishment of an arbitration panel in the light of the relevant provisions of this Agreement, interpreted in accordance with the rules of interpretation of public international law.
3. The venue for the proceedings of the arbitration panel shall be decided by mutual agreement between the parties to the dispute. If there is no agreement, the venue for the proceedings of the arbitration shall be in the EFTA State complained against, if the complaining Party is India, and in India, if the complaining Party is an EFTA State.
4. The language of any proceeding shall be English.
5. The hearings of the arbitration panel shall be open to the public, if the parties to the dispute mutually agree.
6. There shall be no ex parte communications with the arbitration panel concerning matters under its consideration.
7. A Party's written submissions, written versions of oral statements and responses to questions put by an arbitration panel, shall, at the same time as they are submitted to the arbitration panel, be transmitted by that Party to the other party to the dispute.
8. The Parties shall treat as confidential the information submitted by any other Party to the arbitration panel which that Party has designated as confidential.
9. Decisions of the arbitration panel shall be taken by a majority of its members. Any member may furnish separate opinions on matters not unanimously agreed. The arbitration panel may not disclose which members are associated with majority or minority opinions.
Article 12.7. Panel Reports
1. The arbitration panel should, as a general rule, submit an initial report containing its findings and rulings to the parties to the dispute not later than 90 days from the establishment of the arbitration panel. In no case should it do so later than five months from this date. A party to the dispute may submit written comments to the arbitration panel on its initial report within 14 days from the receipt of the report. The arbitration panel shall take due regard of these comments and present to the parties to the dispute a final report within 30 days from their receipt of the initial report.
2. In cases of urgency, including those involving perishable goods, the arbitration panel shall make every effort to notify its ruling within 60 days from its establishment. Under no circumstances should it take longer than 75 days from its establishment.
3. The final report, as well as any report under Articles 12.9 and 12.10, shall be communicated to the Parties. The reports shall be made public, unless the parties to the dispute decide otherwise.
4. Any decision or ruling of the arbitration panel under any provision of this Chapter shall be final and binding upon the parties to the dispute.
Article 12.8. Suspension or Termination of Arbitration Panel Proceedings
1. Where the parties to the dispute agree, the arbitration panel may suspend its work at any time for a period not exceeding 12 months from the date of such agreement. If the work of the arbitration panel has been suspended for more than 12 months, the authority of the arbitration panel shall lapse unless the patties to the dispute agree otherwise.
2. The parties to the dispute may agree to terminate the proceedings of an arbitration panel established under this Agreement, in the event that a mutually satisfactory solution to the dispute has been found by jointly notifying the chair of that arbitration panel.
3. Before the arbitration panel submits its final report, it may at any stage of the proceedings propose to the parties to the dispute that the dispute be settled amicably.
4. A complaining Party may withdraw its complaint at any time before the final report is issued. Such withdrawal is without prejudice to its right to introduce a new complaint regarding the same issue at a later point in time.
Article 12.9. Implementation of Final Panel Report
1. The Party concerned shall promptly comply with the ruling in the final report. If it is impracticable to comply immediately, the parties to the dispute shall endeavour to agree on a reasonable period of time to do so. In the absence of such agreement within 45 days from the issuance of the final report, either party to the dispute may request the original arbitration panel to determine the length of the reasonable period of time, in light of the particular circumstances of the case. (12) The ruling of the arbitration panel should be given within 30 days from that request.
2. The Party concerned shall notify the other party to the dispute of the measure adopted in order to comply with the ruling in the final report, as well as provide a detailed description of how the measure ensures compliance sufficient to allow the other party to the dispute to assess the measure.
3. In case of disagreement as to the existence of a measure complying with the ruling in the final report or to the consistency of that measure with the ruling, such dispute shall be decided by the arbitration panel before compensation can be sought or suspension of benefits can be applied in accordance with Article 12.10. The ruling of the arbitration panel shall normally be rendered within 60 days.
Article 12.10. Compensation and Suspension of Benefits
1. If the Party complained against does not comply with either of the rulings of the arbitration panel referred to in Article 12.9, or notifies the complaining Party that it does not intend to comply with the final report, that Party shall, upon request by the complaining Party, enter into consultations with a view to agreeing on mutually acceptable compensation. If no such agreement has been reached within 20 days from the date of the request, the complaining Party shall be entitled to suspend the application of benefits granted under this Agreement but only equivalent to those affected by the measure that the arbitration panel has found to be inconsistent with this Agreement.
2. In considering what benefits to suspend, the complaining Party should first seek to suspend benefits in the same sector or sectors as that affected by the measure that the arbitration panel has found to be inconsistent with this Agreement. The complaining Party that considers it is not practicable or effective to suspend benefits in the same sector or sectors may suspend benefits in other sectors.
3. The complaining Party shall notify the other party to the dispute of the benefits which it intends to suspend, the grounds for such suspension and when suspension will commence, no later than 30 days before the date on which the suspension is due to take effect. Within 15 days from that notification, the Party complained against may request the original arbitration panel to rule on whether the benefits which the complaining Party intends to suspend are equivalent to those affected by the measure found to be inconsistent with this Agreement, and whether the proposed suspension is in accordance with paragraphs 1 and 2. The ruling of the arbitration panel shall be given within 45 days from that request. Benefits shall not be suspended until the arbitration panel has issued its ruling.
4. Compensation and suspension of benefits shall be temporary measures and shall only be applied by the complaining Party until the measure found to be inconsistent with this Agreement has been withdrawn or amended so as to bring it into conformity with this Agreement, or until the parties to the dispute have resolved the dispute otherwise.
5. Upon request of a party to the dispute, the original arbitration panel shall rule on the conformity with the final report of any implementing measures adopted after the suspension of benefits and, in light of such ruling, whether the suspension of benefits should be terminated or modified. The ruling of the arbitration panel shall be given within 30 days from that request.
6. Unless otherwise specified in this Agreement, the dispute settlement chapter may be invoked in respect of measures affecting the observance of this Agreement taken by the regional and local governments or authorities of the Parties. When the arbitration panel has ruled that a provision of this Agreement has not been observed, the responsible Party shall take such reasonable measures as may be available to it to ensure its observance. The provisions relating to compensation and suspension of benefits apply in cases where it has not been possible to secure such observance.
Article 12.11. Other Provisions
1. Whenever possible, the arbitration panel referred to in Articles 12.9 and 12.10 shall comprise the same arbitrators who issued the final report. If a member of the original arbitration panel is unavailable, the appointment of a replacement arbitrator shall be conducted in accordance with the selection procedure for the original arbitrators.
2. Each party to the dispute shall bear the costs of its appointed arbitrator and its own expenses and legal costs. The costs of the chair of the arbitration panel and other expenses associated with the conduct of its proceedings shall be borne in equal parts by the parties to the dispute.
3. All time frames stipulated in this Chapter may be reduced, waived or extended by mutual agreement of the parties to the dispute.
Article 12. Contact Points
Each Party shall designate contact points in order to facilitate communications between the Parties on matters covered by this Chapter and the rules contained in Annex 12.A (Rules of Procedure for the Arbitration Panel Proceedings) and shall provide details of such contact points to the other Parties. The Parties shall notify each other promptly of any changes.
Chapter 13. INSTITUTIONAL PROVISIONS
Article 13.1. The Joint Committee
1. The Parties hereby establish the Joint EFTA-India Committee comprising representatives of each Party. The Parties shall be represented by senior government officials delegated by them for this purpose.
2. The Joint Committee shall:
(a) supervise and review the implementation of this Agreement;
(b) consider the possibility of further removal of barriers to trade and other restrictive measures concerning trade between the EFTA States and India;
(c) oversee the further elaboration of this Agreement;
(d) supervise the work of all sub-committees and working groups established under this Agreement;
(e) endeavour to resolve disputes that may arise regarding the interpretation or application of this Agreement; and
(f) consider any other matter that may affect the operation of this Agreement.
3. The Joint Committee may decide to set up such sub-committees and working groups as it considers necessary to assist it in accomplishing its tasks. Except where specifically provided for in this Agreement, the sub-committees and working groups shall work under a mandate established by the Joint Committee.
4. The Joint Committee may take decisions as provided for in this Agreement. On all matters related to this Agreement the Joint Committee may make recommendations.
5. The Joint Committee shall take decisions and make recommendations by consensus.
6. The Joint Committee shall meet within one year from the entry into force of this Agreement. Thereafter, it shall meet whenever necessary but normally once every two years. The regular meetings of the Joint Committee shall be chaired jointly by one of the EFTA States and India. The Joint Committee shall establish its rules of procedure.
7. A Party may request at any time, through a notice in writing to the other Parties, that a special meeting of the Joint Committee be held. Such a meeting shall take place within 30 days from receipt of the request, unless the Parties agree otherwise.
Article 13.2. Contact Points
Upon entry into force of this Agreement, each Party shall designate a contact point to facilitate communications between the Parties on any matter relating to this Agreement and shall promptly notify the other Parties of any change in contact point.
Chapter 14. FINAL PROVISIONS
Article 14.1. Fulfilment of Obligations
The Parties shall take any general or specific measures required to fulfil their obligations under this Agreement.
Article 14.2. Annexes, Appendices and Footnotes
The Annexes to this Agreement, including their Appendices, and footnotes are an integral part thereof.
Article 14.3. Review Clause
1. Two years after the entry into force of this Agreement, the Parties shall review this Agreement with a view to furthering its objectives. Thereafter, the Parties shall conduct biennial reviews as considered mutually appropriate.
2. If after the date of entry into force of this Agreement a Party concludes an agreement notified under Article XXIV of the GATT 1994 or Article V of the GATS, it shall, upon request from another Party, enter into negotiations to consider further developing and deepening the cooperation under this Agreement. Any such incorporation shall be based on the principle of reciprocity, and maintain the overall balance of commitments undertaken by each Party under this Agreement.
Article 14.4. Amendments
1. Any Party may submit proposals for amendments to this Agreement. Any such proposal shall be submitted to the Joint Committee for consideration and recommendation.
2. Amendments to this Agreement, as recommended by the Joint Committee, shall be submitted to the Parties for ratification, acceptance or approval in accordance with their domestic legal requirements.
3. Unless otherwise agreed by the Parties, amendments shall enter into force on the first day of the third month following the deposit of the last instrument of ratification, acceptance or approval.
4. Notwithstanding paragraphs 2 and 3, amendments relating only to the following Annexes, Appendices and Articles may be made by the Joint Committee through adoption of a decision:
(a) paragraph 2 of Article 2.12;
(b) paragraph 2 of Article 4.15;
(c) paragraph 2 of Article 5.14;
(d) paragraph 3 of Article 11.12;
(e) paragraph 2 of Article 23 in Annex 2.A (Rules of Origin);
(f) Appendix 2.A.1 (Product Specific Rules of Origin) to Appendix 2.A (Rules of Origin);
(g) Appendix 2.A.2 (Origin Declaration) to Appendix 2.A (Rules of Origin);
(h) Appendix 2.A.3 (Origin Certificate) to Appendix 2.A (Rules of Origin);
(i) Appendix 2.A.4 (Movement Certificate EUR.1) to Appendix 2.A (Rules of Origin);
(j) paragraph 2 of Article 19 in Annex 2.B (Trade Facilitation); and
(k) Annex 12.A (Rules of Procedures for the Arbitration Panel Proceedings).
5. The text of the amendments, the instruments of ratification, acceptance or approval, and decision of the Joint Committee referred to in paragraph 4 shall be deposited with the Depositary.
Article 14.5. Accession
1. Any state becoming a member of the European Free Trade Association may accede to this Agreement on terms and conditions to be agreed upon by the Parties and the acceding state. The instrument of accession shall be submitted to the Parties and the acceding state for ratification, acceptance or approval in accordance with their respective legal requirements. The instrument of accession and the instruments of ratification, acceptance or approval shall be deposited with the Depositary.
2. In relation to an acceding state, this Agreement shall enter into force on the first day of the third month following the deposit of its instrument of accession, or the approval of the terms of accession by the existing Parties, whichever is later.
Article 14.6. Withdrawal and Expiration
1. Each Party may withdraw from this Agreement by means of a written notification to the Depositary. The withdrawal shall take effect six months after the date on which the notification is received by the Depositary.
2. If India withdraws, this Agreement shall expire when its withdrawal becomes effective.
3. Any EFTA State which withdraws from the Convention establishing the European Free Trade Association shall ipso facto on the same day as the withdrawal takes effect cease to be a Party to this Agreement. A copy of the notification of withdrawal from the Convention shall promptly be submitted to the other Parties.
4. If one of the EFTA States withdraws from this Agreement, a meeting of the remaining Parties shall be convened to discuss the issue of the continued existence of this Agreement.
Article 14.7. Entry Into Force
1. This Agreement is subject to ratification, acceptance or approval in accordance with the respective legal requirements of the Parties. The instruments of ratification, acceptance or approval shall be deposited with the Depositary.
2. If its respective legal requirements permit, any EFTA State or India may apply this Agreement provisionally, pending its entry into force. Provisional application of this Agreement under this paragraph shall be notified to the Depositary.
3. This Agreement shall enter into force on the first day of the third month following the date on which India and all EFTA States have deposited their instrument of ratification, acceptance or approval with, or notified provisional application to, the Depositary.
Article 14.8. Depositary
The Government of Norway shall act as Depositary.
Conclusion
IN WITNESS WHEREOF the undersigned, being duly authorised thereto, have signed this Agreement.
Done at New Delhi, India this 10th day of March in 2024, in two originals in the English language. One original shall be deposited with the Government of Norway. The Depositary shall transmit certified copies to all the Parties.
For the Government of Iceland
Bjarni Benediktsson
Minister for Foreign Affairs
For the Government of the Republic of India
Piyush Goyal
Minister of Commerce and Industry
For the Government of the Principality of Liechtenstein
Dominique Hasler
Minister of Foreign Affairs, Education and Sport
For the Government of the Kingdom of Norway
Jan Christian Vestre
Minister of Trade and Industry
For the Government of the Swiss Confederation
Guy Parmelin Federal Councillor, Head of the Federal Department of Economic Affairs, Education and Research
Attachments
ANNEX 7.A. MANDATE OF THE SUB-COMMITTEE ON INVESTMENT PROMOTION AND COOPERATION
1. The functions of the Investment Sub-Committee shall be to:
(a) oversee, review and monitor the implementation of Chapter 7 (Investment Promotion and Cooperation) of the Agreement;
(b) discuss additional opportunities for promotion and facilitation of investments and technology collaboration;
(c) engage with the private sector and other stakeholders on the additional promotion of investment and on technology collaboration;
(d) seek to resolve any issues or differences concerning investments or technology collaboration or any other matters in Chapter 7 (Investment Promotion and Cooperation) of the Agreement;
(e) identify cooperation interests and define, coordinate and facilitate, as appropriate, cooperation activities pursuant to Article 7.3 of the Agreement;
(f) exchange information, review developments and examine possibilities for improvements with a view to further promote and facilitate investment under the Agreement;
(g) report and make recommendations to the Joint Committee, as necessary; and
(h) consider any issues regarding investment opportunities that are referred to it by the Joint Committee.
2. No later than 120 days after its first meeting, the Investment Sub-Committee shall establish the working procedures to govern its functioning and procedures for realising the shared objectives and outcomes specified under Chapter 7 (Investment Promotion and Cooperation) of the Agreement.
3. The Investment Sub-Committee shall meet within 1 year of the entry into force of the Agreement, to the extent possible concurrently with the meeting of the Joint Committee. Thereafter, it shall meet whenever necessary but normally once every 2 years, preferably in conjunction with the meetings of the Joint Committee. The Investment Sub-Committee shall meet either physically or through electronic videoconferencing. Each Party may request at any time, through a notice in writing to the other Parties, that a special meeting of the Investment Sub-Committee be held. Such a meeting shall take place within 30 days of receipt of the request, unless the Parties agree otherwise.
4. The meetings of the Investment Sub-Committee shall be chaired jointly by one of the EFTA States and India.
5. The Investment Sub-Committee shall act by consensus.
6. In performing its duties, the Investment Sub-Committee may work with other committees and subsidiary bodies established under the Agreement.
7. The Investment Sub-Committee may invite private sector entities, international economic organisations, non-governmental organisations and other relevant stakeholders, as appropriate, to assist with the development and implementation of cooperation activities pursuant to Article 7.3 of the Agreement.
ANNEX 12.A. RULES OF PROCEDURE FOR THE ARBITRATION PANEL PROCEEDINGS
Section A. ARBITRATORS
1. Self-Disclosure Obligations for Candidates
A candidate shall disclose in writing to the parties to the dispute any interest, relationship or matter that is likely to affect or give rise to justifiable doubts as to the candidateâs independence or impartiality including relevant financial, business, professional, family, personal or social relationships or responsibilities. To this end, a candidate shall make all reasonable efforts to become aware of any such interests, relationships and matters.
2. Standards of Conduct
1. Upon selection, an arbitrator shall perform its duties thoroughly and expeditiously, and with fairness and diligence, throughout the course of the arbitration panel proceedings.
2. An arbitrator shall consider only those issues that are raised in the proceedings and that are necessary for a ruling and shall not delegate this duty to any other person.
3. An arbitrator shall be independent and impartial and avoid creating an appearance of impropriety or bias and shall not be, or appear to be, influenced by self-interest, including by financial, business, professional, family, personal or social relationships or responsibilities, outside pressure, political considerations, public clamour, loyalty to a Party or fear of criticism.
4. An arbitrator shall not, directly or indirectly, incur any obligation or accept any benefit that would in any way interfere, or appear to interfere, with the proper performance of his or her duties.
5. Once appointed and throughout the arbitration panel proceedings, an arbitrator shall continue to make all reasonable efforts to become aware of any interests, relationships or matters referred to under Article 1 and shall disclose them in writing to the parties to the dispute.
6. Any party to the dispute which possesses or comes into possession of evidence of a material violation of the obligations of independence, impartiality or confidentiality or the avoidance of direct or indirect conflicts of interest by an arbitrator which may impair the integrity, impartiality or confidentiality of the dispute settlement mechanism, shall at the earliest possible time submit such evidence to the arbitration panel and the parties to the dispute in a written statement specifying the relevant facts and circumstances.
7. The arbitration panel shall take all appropriate steps to ensure that their assistants and staff are aware of, and comply with Article 1 and this Article.
Section B. PROCEEDINGS
3. Operation of Arbitration Panel
1. The chair of the arbitration panel shall preside at all of its meetings. An arbitration panel may delegate to the chair of the arbitration panel the authority to make administrative and procedural decisions related to the arbitration panel proceedings. The chair of the arbitration panel shall be responsible for organising the proceedings unless otherwise agreed by the parties to the dispute.
2. Except as otherwise provided in these rules or in Chapter 12 (Dispute Settlement), the arbitration panel may conduct its activities by any means, including telephone, video conferencing or e-mails.
3. Only arbitrators may take part in the deliberations of the arbitration panel, but the arbitration panel may permit its assistants, administrative staff, interpreters and translators to be present during such deliberations.
4. The drafting of any decision or ruling shall remain the exclusive responsibility of the arbitration panel.
5. Where a procedural question arises that is not covered by these rules or Chapter 12 (Dispute Settlement), an arbitration panel may, after consultation with the parties to the dispute, adopt an appropriate procedure that is consistent with the Agreement.
6. Unless otherwise agreed by the parties to the dispute, an arbitration panel may, in consultation with the parties to the dispute, modify any time period established pursuant to Chapter 12 (Dispute Settlement) and these rules and make such other procedural or administrative adjustments as may be required in the arbitration panel proceedings. Prior to such consultation with the parties to the dispute, the arbitration panel shall inform them of the reasons for the intended modification or adjustment with an indication of the period or adjustment needed.
4. Commencing the Arbitration
1. Unless the parties to the dispute otherwise agree, they shall meet with the arbitration panel within 10 days following the establishment of the arbitration panel in order to discuss such matters pertaining to the arbitration panel proceedings as the parties to the dispute or the arbitration panel deem appropriate, including the administration of and the timetable for the arbitration panel proceedings, procedures for the hearing and the remuneration and expenses that shall be paid to the chair of the arbitration panel.