a. the five-year period beginning on the date of entry into force of this Agreement; or, where applicable,

b. the staged tariff elimination set out for a product in a Party's schedule in Annex E.

10. In the fifth year after the date of entry into force of this Agreement, the Parties shall consider, in the Joint Committee, whether there is a need to extend the transition period for certain products. The Joint Committee may extend the transition period for a certain product, in which case the transition period for that product shall be in accordance with the decision of the Joint Committee.

11. Each Party retains its rights and obligations under Article XIX of the GATT 1994 and the WTO Agreement on Safeguards.

Section VII. Institutional Provisions

Article 26. The Joint Committee

1. The Parties hereby establish the Canada-EFTA Joint Committee which shall be composed of representatives of the Parties.

2. The Joint Committee shall:

a. supervise the implementation of this Agreement;

b. keep under review the possibility of further removal of barriers to trade and other restrictive regulations of commerce between Canada and the EFTA States;

c. oversee the further elaboration of this Agreement;

d. supervise the work of all sub-committees and working groups established under this Agreement;

e. discuss, upon request by a Party, measures with respect to cultural industries maintained or adopted under Annex J;

f. discuss, upon request by a Party, the application of an emergency action taken under Article 25;

g. endeavour to resolve disputes that may arise regarding the interpretation or application of this Agreement; and

h. 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 in this Agreement. On other matters the Joint Committee may make recommendations.

5. The Joint Committee shall take decisions and make recommendations by consensus.

6. The Joint Committee shall normally convene once a year in a regular meeting. The regular meetings of the Joint Committee shall be chaired jointly by Canada and one of the EFTA States. The Joint Committee shall establish its rules of procedure.

7. Each 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 of receipt of the request.

Section VIII. Dispute Settlement

Article 27. Choice of Forum

1. Subject to paragraph 2 and except as otherwise provided elsewhere in this Agreement, any dispute regarding any matter arising under both this Agreement and the WTO Agreement may be settled in either forum at the discretion of the complaining Party.

2. Before Canada initiates against an EFTA State or an EFTA State initiates against Canada a dispute settlement proceeding in the WTO on grounds that are substantially equivalent to those available to that Party under this Agreement, that Party shall notify the other Parties of its intention. If an EFTA State initiates a dispute settlement proceeding against Canada and another EFTA State wishes also to have recourse to dispute settlement procedures against Canada as a complainant under this Agreement regarding the same matter, it shall inform promptly the notifying Party and those Parties shall consult with a view to agreeing on a single forum. If those Parties cannot agree, the dispute shall be settled under this Agreement.

3. Once dispute settlement procedures have been initiated under this Agreement pursuant to Article 29 or dispute settlement proceedings have been initiated under the WTO Agreement, the forum selected shall be used to the exclusion of the other.

4. For purposes of this Article, dispute settlement proceedings under the WTO Agreement are deemed to be initiated by a Party's request for the establishment of a panel, such as under Article 6 of the WTO Understanding on Rules and Procedures Governing the Settlement of Disputes.

5. The provisions of this Chapter do not apply to any matters falling within the scope of any one of the following provisions: Article 6; paragraphs 1 and 2 of Article 7. any provision of Chapter IV (Competition Law and Policy); paragraph 1 of Article 17; paragraph 1 of Article 18; Article 19; paragraph 1 of Article 20; or paragraph 11 of Article 25.

Article 28. Consultations

1. The Parties shall at all times endeavour to agree on the interpretation and application of this Agreement, and shall make every attempt through co-operation and consultations to arrive at a mutually satisfactory resolution of any matter that might affect its operation.

2. Canada may request in writing consultations with any EFTA State, and any EFTA State may request in writing consultations with Canada, regarding any actual or proposed measure or any other matter that it considers might affect the operation of this Agreement. The Party requesting consultations shall at the same time notify the other Parties in writing thereof and supply all relevant information. Where an EFTA State has requested consultations with Canada, any other EFTA State may join in such a request as a co-complainant.

3. If any other Party so requests within ten days from the receipt of the notification referred to in paragraph 2, such Party shall be entitled to participate in the consultations.

4. The consultations shall commence within 30 days from the date of receipt of the request for consultations.

5. The Parties shall inform the Joint Committee of any discussions and decisions arrived at.

Article 29. Arbitration

1. Any dispute arising between Parties under this Agreement which has not been settled through consultations within 90 days from the date of the receipt of the request for consultation, may be referred to arbitration by one or more Parties to the dispute by means of a written notification addressed to the Party complained against. A copy of this notification shall be communicated to all Parties to this Agreement. Where more than one Party requests the submission to an arbitral tribunal of a dispute with the same Party relating to the same question, a single arbitral tribunal should be established to consider such disputes whenever feasible.

2. The establishment and functioning of the arbitral tribunal are governed by Annex K.

3. Unless the Parties otherwise agree within 30 days from the date of the receipt of the notification referring the dispute to arbitration, the terms of reference shall be:

"To examine, in the light of the relevant provisions of this Agreement, the matter referred to arbitration (as described in the notification referred to in paragraph 1) and to make such findings, determinations and recommendations as provided in paragraph 6 of Article 29 of this Agreement."

4. If the complaining Party alleges that any benefit it could reasonably have expected to accrue to it directly or indirectly under Articles 4, 5, 8, 10 or 11, is being nullified or impaired as a result of the application of any measure that is not inconsistent with this Agreement, the terms of reference shall so indicate.

5. The arbitral tribunal shall interpret this Agreement in accordance with customary rules of interpretation of public international law.

6. The arbitral tribunal, in its award, shall set out:

a. its findings of law and fact, together with the reasons therefor;

b. its determination as to whether the measure at issue is or would be inconsistent with the obligations of this Agreement or cause nullification or impairment of benefits within the meaning of paragraph 4, or any other determination requested in the terms of reference; and

c. its recommendations, if any, for the resolution of the dispute and the implementation of the arbitral award.

7. The parts of the award of the arbitral tribunal referred to in sub-paragraphs (a) and (b) of paragraph 6 shall be final and binding upon the Parties to the dispute.

Article 30. Implementation of the Arbitral Award

1. On receipt of the arbitral award, the disputing Parties shall seek to agree on the implementation of the arbitral award, which, unless they decide otherwise by common accord, shall conform with the determinations and any recommendations of the arbitral tribunal. The disputing Parties shall notify the other Parties of any agreed resolution of the dispute.

2. Wherever possible, the resolution shall be non-implementation or removal of a measure not conforming with this Agreement or causing nullification or impairment of benefits within the meaning of paragraph 4 of Article 29 or, failing such a resolution, compensation.

Article 31. Non-implementation - Suspension of Benefits

1. In case of disagreement as to the existence or consistency of a measure implementing the arbitral award with the determinations and any recommendations of the arbitral tribunal, such dispute shall be decided by the same arbitral tribunal before compensation can be sought or suspension of benefits can be applied in accordance with paragraphs 3 through 5. If one or more members of the original arbitral tribunal are not available, a new arbitral tribunal shall be established in accordance with Annex K, to make this determination.

2. The complaining Party may not initiate arbitration under the preceding paragraph before a period of 12 months has expired following the rendering of the award pursuant to paragraph 6 of Article 29. The award of the tribunal referred to in the preceding paragraph shall normally be rendered within three months of the request for arbitration.

3. If the arbitral tribunal, in accordance with paragraph 1 has determined that an implementing measure is inconsistent with the determinations and any recommendations of the original arbitral tribunal, or that no implementing measures have been taken, and the Party complained against has not reached agreement with a complaining Party on a mutually satisfactory resolution within 30 days of receiving this award, the complaining Party may, until such time as the disputing Parties have reached agreement on a resolution of the dispute: a. seek compensation through an agreement with the Party complained against; or b. suspend the application to the Party complained against of benefits of equivalent effect.

4. Upon written request of any disputing Party delivered to the other Party or Parties, the same arbitral tribunal shall be reconvened to determine whether the level of benefits suspended by a Party pursuant to paragraph 3 is of equivalent effect. If one or more members of the original arbitral tribunal are not available, a new arbitral tribunal shall be established in accordance with Annex K, to make this determination.

5. The proceedings of the arbitral tribunal reconvened or established under paragraph 4 shall be conducted in accordance with paragraph 3 of Annex K. The arbitral tribunal shall present its determination within 60 days after the date of the request referred to in paragraph 4, or such other period as the disputing Parties may agree.

Section IX. Final Clauses

Article 32. Evolutionary Clause

Without prejudice to the obligation to review specific Articles of this Agreement, the Parties undertake to review this Agreement in the light of further developments in international economic relations, including in the framework of the WTO, and to examine in this context and in the light of any relevant factors, the possibility of further developing and deepening the co-operation under this Agreement and to extend it to areas not covered therein. The Parties may examine this possibility through the Joint Committee and, where appropriate, open negotiations.

Article 33. Trade and Economic Relations Governed by this Agreement

The provisions of this Agreement apply to the trade and economic relations between, on the one side, Canada and, on the other side, the individual EFTA States, but not to the trade relations between individual EFTA States, unless otherwise provided in this Agreement.

Article 34. Relationship of this Agreement to Extraneous Agreements

Where this Agreement refers to or incorporates by reference extraneous agreements or legal instruments, or specific provisions therein, such references are intended to include related interpretative and explanatory notes.

Article 35. Sub-national Entities

Each Party is fully responsible for the observance of all provisions of this Agreement and shall take such reasonable measures as may be available to it to ensure observance of the provisions of this Agreement by the regional and local governments and authorities within its territory.

Article 36. Annexes

1. The Annexes to this Agreement constitute an integral part of it.

2. The Annexes may be amended by the Parties on the basis of a draft decision proposed by the Joint Committee. The Parties shall deposit their respective instruments of ratification, acceptance or approval of any such amendment with the Depositary. The amendment shall enter into force on the date of the deposit of the last instrument with the Depositary, unless the Parties agree otherwise.

Article 37. Transparency

1. The Parties shall publish, or otherwise make publicly available, their laws, regulations, procedures and administrative rulings and judicial decisions of general application as well as the international agreements which may affect the operation of this Agreement.

2. The Parties shall promptly respond to specific questions and provide, upon request, information to each other on matters referred to in paragraph 1.

Article 38. Amendments

1. This Agreement may be amended by the Parties on the basis of a draft decision proposed by the Joint Committee. The Parties shall deposit their respective instruments of ratification, acceptance or approval of any such amendment with the Depositary.

2. 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.

Article 39. Additional Parties

The Parties may invite any State to become a Party to this Agreement. The terms and conditions of the participation by the additional Party shall be the subject of an agreement between the Parties and the invited State.

Article 40. Withdrawal and Termination

1. Canada, an EFTA State or any State that has become a Party to this Agreement may withdraw from this Agreement by means of a written notification to the Depositary. The withdrawal shall take effect on the first day of the sixth month after the date on which the notification was received by the Depositary.

2. If Canada withdraws, the Agreement shall expire on the date specified in paragraph 1.

3. If one of the EFTA States, or any State that has become a Party to this Agreement, 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 41. Provisional Application

If their domestic requirements permit, Canada and any EFTA State may apply this Agreement and the bilateral Agreements on trade in agricultural products provisionally. Such provisional application shall commence as of the date of the entry into force of this Agreement between Canada and at least two EFTA States, in accordance with paragraph 2 of Article 42. Provisional application of such Agreements under this Article shall be notified to the Depositary.

Article 42. Entry Into Force

1. This Agreement is subject to ratification, acceptance or approval. The instruments of ratification, acceptance or approval shall be deposited with the Depositary.

2. This Agreement shall enter into force on the first day of the third month following the deposit by Canada and at least two of the EFTA States of their respective instruments of ratification, acceptance or approval with the Depositary, provided that the same Parties have exchanged their instruments of ratification, acceptance or approval in respect of the bilateral Agreement on trade in agricultural products concerned.

3. This Agreement shall enter into force for the other EFTA States at the date of the deposit of their respective instruments of ratification, acceptance or approval with the Depositary, provided Canada and the EFTA States concerned have exchanged instruments of ratification, acceptance or approval in respect of the corresponding bilateral Agreements on trade in agricultural products.

4. Should Canada and Liechtenstein apply this Agreement provisionally between them, this Agreement shall enter into force on the same date as for Switzerland, following Liechtenstein's deposit of its instrument of ratification, acceptance or approval with the Depositary.

Article 43. Depositary

The Kingdom of Norway shall act as Depositary.

Conclusion

IN WITNESS WHEREOF the undersigned, being duly authorised thereto, have signed this Agreement.

Done in duplicate at Davos, this 26th day of January 2008, in the English and French languages, each version being equally authentic. One original shall be deposited by the EFTA States with the Depositary.

For Canada

For the Republic of Iceland

For the Principality of Liechtenstein

For the Kingdom of Norway

For the Swiss Confederation

Attachments

Annex K. REFERRED TO IN ARTICLE 29.

ESTABLISHMENT AND FUNCTIONING OF THE ARBITRAL TRIBUNAL

1. Each member of the arbitral tribunal shall:

(a) have expertise or experience in international law, international trade, other matters covered by this Agreement, or the resolution of disputes arising under international trade agreements;

(b) be chosen strictly on the basis of objectivity, reliability and sound judgment;

(c) be independent of, and not be affiliated with or take instructions from, any Party, nor have dealt with the case in any capacity; and

(d) comply with any code of conduct for dispute settlement adopted by the Joint Committee.

2. The following procedures shall apply to the selection of the members of the arbitral tribunal:

(a) the arbitral tribunal shall comprise three members;

(b) in its written notification pursuant to Article 29 of this Agreement, the Party or Parties referring the dispute to arbitration shall designate one member of the arbitral tribunal, who meets the criteria of paragraph 1 of this Annex. Such member may be a national of the referring Party or Parties;

(c) within 15 days from the receipt of the notification referred to in subparagraph 2(b), the Party or Parties to which it was addressed shall, in turn, designate one member, who meets the criteria of paragraph 1. Such member may be a national of the designating Party or Parties;

(d) within 30 days from the receipt of the notification referred to in subparagraph 2(b), the Parties concerned shall agree on the designation of a third member, who meets the criteria of paragraph 1. The third member shall not be a national of any of the Parties to this Agreement, nor permanently reside in the territory of any such Party. The member thus designated shall be the President of the arbitral tribunal;

(e) if any of the three members have not been designated within 30 days from the receipt of the notification referred to in sub-paragraph 2(b), the remaining designation or designations shall be made, at request of any Party to the dispute, by the Secretary-General of the Permanent Court of Arbitration, applying the criteria of sub-paragraphs 2(c) and 2(d). If the Secretary-General is unable to act under this paragraph or is a national of a Party to this Agreement, the designation or designations shall be effected by the Deputy Secretary-General of the Permanent Court of Arbitration.

3. Unless otherwise agreed between the Parties to the dispute, and subject to paragraphs 4 through 7, the Permanent Court of Arbitration Optional Rules for Arbitrating Disputes between Two States, effective 20 October 1992, shall apply.

4. The arbitral tribunal shall take its decisions by majority vote.

5. A Party which is not a Party to the dispute, on delivery of a written notice to the disputing Parties, shall be entitled to make written submissions to the arbitral tribunal, to receive written submissions of the disputing Parties, attend all hearings and make oral submissions.

6. The arbitral award shall be rendered within six months of the date at which the President of the arbitral tribunal was appointed. This period can be extended by a maximum of three additional months, if the Parties to the dispute so agree.

7. The expenses of the arbitral tribunal, including the remuneration of its members, shall be borne by the Parties to the dispute in equal shares. Fees and expenses payable to members of the arbitral tribunal established under this Annex shall be subject to schedules established by the Joint Committee and in force at the time of the establishment of the arbitral tribunal.