Article 4.4. Establishment of Import Requirements
1. The importing Party undertakes to establish without undue delay the sanitary and phytosanitary requirements for the products identified by the exporting Party.
2. In the event that the quantity of products identified by the exporting Party precludes a prompt and expeditious approach by the importing Party, the exporting Party shall establish a list of priority products. Progress in the establishment of the import requirements for the prioritized list shall be jointly monitored in the framework of the Committee on Sanitary and Phytosanitary Measures (hereinafter referred to as the SPS Committee) established in Article 4.12.
Article 4.5. Equivalence
1. The general objective of the recognition of equivalence shall be to facilitate trade in goods subject to sanitary and phytosanitary measures and to promote mutual confidence between the respective national authorities. The specific objective of such recognition shall be to simplify the procedures for verifying that the goods of the exporting Party meet the requirements of the importing Party.
2. The equivalence agreements between the Parties shall be established in accordance with the Decisions approved by the SPS/WTO Committee and the standards, guidelines and recommendations approved by the international organizations of reference of the SPS/WTO Agreement.
3. The Parties may establish by mutual agreement in the SPS Committee the procedures and deadlines for the recognition of equivalence.
Article 4.6. Risk Analysis
1. When a risk assessment is necessary, if there are no relevant international standards, guidelines or recommendations or if they are not sufficient to achieve the appropriate level of protection, it shall be conducted taking into account the risk assessment techniques adopted within the framework of the international reference organizations for the SPS/WTO Agreement.
2. Any re-evaluation of the risk analysis, in situations where there is fluid and regular trade of the good in question between the Parties, should not be a reason to interrupt trade of the good in question, except in the case of a sanitary or phytosanitary emergency situation.
3. The Parties may establish, by mutual agreement in the SPS Committee, the procedures and deadlines for carrying out the risk analysis based on the standards, guidelines and recommendations approved by the international reference organizations of the SPS/WTO Agreement.
Article 4.7. Recognition of Sanitary and Phytosanitary Status
1. The exporting Party shall be responsible for objectively demonstrating to the importing Party the country, area or zone's pest or disease-free status or low pest prevalence.
2. In such cases, the pest- or disease-free area or zone of low pest prevalence should be subject to effective surveillance, pest control and surveillance measures, a disease or pest control or eradication and other requirements, in accordance with relevant international standards.
3. The Parties may establish by mutual agreement in the SPS Committee the procedures and deadlines for the recognition of a pest- or disease-free or low prevalence area or zone, based on the standards, guidelines and recommendations adopted by the international reference organizations of the SPS/WTO Agreement.
4. The Parties undertake to recognize their respective disease-free areas or zones recognized by the World Organization for Animal Health (hereinafter referred to as OIE), expeditiously and without undue delay.
Article 4.8. Control, Inspection and Approval Procedures
1. The application of control, inspection and approval procedures shall not become disguised restrictions on trade between the Parties and shall be carried out in accordance with the SPS/WTO Agreement and the international standards, guidelines and recommendations set by the SPS/WTO reference bodies.
2. Any modification of the agreed sanitary or phytosanitary conditions regarding access to the market of the importing Party, without due justification, shall be considered an unjustified barrier to trade.
3. The Parties shall agree, where possible, on the simplification of controls and verifications, as well as the frequency of inspections based on existing risks and international standards, guidelines and recommendations adopted by the SPS/WTO reference bodies.
4. If an on-site visit by the importing Party to the exporting Party is necessary for the verification of compliance with sanitary and phytosanitary requirements or for the recognition of free areas or zones or areas of low prevalence, it should be carried out in accordance with the rules provided for in the SPS/WTO Agreement and, in particular, Annex C thereof. Specifically, the visit should be limited exclusively to verifying in situ what is necessary from a technical point of view, without taking longer than necessary or generating unnecessary costs.
Article 4.9. Transparency and Exchange of Information
1. The Parties recognize the importance of observing the notification rules provided for in the WTO/SPS Agreement and, in this regard, compliance with these obligations will be considered sufficient to strengthen transparency in bilateral trade.
2. Without prejudice to paragraph 1, the Parties shall make their best efforts to notify each other of proposed sanitary and phytosanitary measures that have a direct impact on bilateral trade.
3. The Parties shall exchange information on issues related to the development and application of sanitary and phytosanitary measures that may affect trade between them, as well as on scientific developments or new scientific information available relevant to this Chapter.
4. The Parties shall strengthen the reciprocal transparency of their sanitary and phytosanitary measures by publishing the measures adopted on free and publicly accessible official websites, to the extent that such websites exist.
5. The Parties shall report changes in animal health, such as the occurrence of exotic diseases, diseases included in the OIE Terrestrial Animal Health Code and/or food product health alerts, within twenty-four (24) hours of the detection of the problem.
6. Changes in phytosanitary matters, such as the appearance of quarantine pests or the spread of pests under official control, shall be reported within seventy-two (72) hours of their verification.
Article 4.10. Emergency Sanitary and Phytosanitary Measures
1. In all cases of adoption of sanitary or phytosanitary emergency measures affecting the exchange of goods between the Parties, the Party adopting the measure shall notify the other Party of the measure and its justification within a maximum period of three (3) working days. The Parties may exchange comments and information on the measure and its justification.
2. This obligation shall be considered duly fulfilled if, within the period stipulated in paragraph 1, the Party that adopted the measure has submitted its notification to the SPS/WTO Committee.
3. Sanitary or phytosanitary emergency measures shall only be maintained as long as the causes that gave rise to them persist.
Article 4.11. Technical Cooperation
1. The Parties agree to give special importance to technical cooperation to facilitate the implementation of this Chapter.
2. The competent authorities of the Parties, referred to in Article 4.12, may enter into agreements for cooperation and coordination of activities.
3. The Parties shall endeavor, whenever possible, to coordinate positions in regional or multilateral fora where international standards, guidelines or recommendations on sanitary and phytosanitary matters are developed or aspects related thereto are negotiated.
Article 4.12. Committee on Sanitary and Phytosanitary Measures
1. The Parties agree to establish the SPS Committee for the purpose of monitoring the implementation of this Chapter. The SPS Committee shall be composed of the competent authorities and Contact Points designated by each Party, as indicated in Annex 4.12.1.
2. The SPS Committee shall meet once a year on an ordinary basis and may hold additional extraordinary meetings should the Parties deem it necessary. The meetings shall be held in alternating venues, with the host Party chairing the Committee. Extraordinary meetings may be held in person or by video or teleconference.
3. The functions of the SPS Committee shall be:
(a) Exchange information on the competent authorities and Contact Points of each Party, detailing their areas of competence. The corresponding information included in Annex 4.12.1 may be updated in case of modifications;
(b) Promote cooperation and technical assistance, including cooperation in the development, application and enforcement of sanitary or phytosanitary measures;
(c) Establish procedures and deadlines for the bilateral implementation of the disciplines provided for in the Chapter;
(d) To entertain, upon written request of a Party, consultations on any matter arising under this Chapter;
(e) Establish technical working groups in the fields of animal and plant health and any others considered pertinent;
(f) Keep the Bilateral Administrative Commission informed of the work carried out by the SPS Committee, and
(g) To develop all those actions that the Parties consider pertinent for the fulfillment of the Chapter.
4. The SPS Committee shall establish its own rules of procedure, if possible during its first meeting, in order to order its functioning. The SPS Committee may revise these rules by consensus, as it deems appropriate.
Article 4.13. Consultation Mechanism
1. Each Party shall give prompt and positive consideration to any request by the other Party for consultations on sanitary or phytosanitary measures - or a draft measure - of the other Party.
2. Upon receipt of the request, the Parties shall hold consultations within thirty (30) days, unless they agree on a different period. Such consultations may be held by teleconference, videoconference, or any other means agreed upon by the Parties.
3. When the Parties have resorted to consultations in accordance with paragraph (d) of Article 4.12.3, they shall, if the Parties so agree, replace the consultations provided for in Article 18.5 (Consultations).
Chapter 5. TECHNICAL BARRIERS TO TRADE
Article 5.1. Scope of Application
1. The provisions of this Chapter apply to the development, adoption and application of standards, technical regulations and conformity assessment procedures of the Parties, as defined in Annex I of the Agreement on Technical Barriers to Trade of the World Trade Organization (hereinafter referred to as the TBT Agreement), which may affect trade in goods between the Parties.
2. The provisions of this Chapter are not applicable to:
(a) Sanitary and phytosanitary measures, which shall be governed by Chapter 4 (Sanitary and Phytosanitary Measures), and
(b) Purchasing specifications established by government agencies for the production or consumption needs of such agencies, which shall be governed by Chapter 7 (Government Procurement).
Article 5.2. Incorporation of the TBT Agreement
The TBT Agreement is incorporated into and forms an integral part of this Chapter, mutatis mutandis.
Article 5.3. International Standards
In determining whether an international standard, guidance or recommendation within the meaning of Articles 2, 5 and Annex 3 of the TBT Agreement exists, each Party shall consider the principles set out in the Decisions and Recommendations adopted by the WTO Committee on Technical Barriers to Trade since 1 January 1995, (1) Annex to Part I B (Decision of the Committee on Principles for the Development of International Standards, Guides and Recommendations under Articles 2, 5, and Annex 3 of the TBT Agreement), or in the successor document issued by the WTO Committee on Technical Barriers to Trade.
Article 5.4. Joint Cooperation
1. The Parties shall strengthen joint cooperation in the areas of standards, technical regulations and conformity assessment procedures with the objective of facilitating trade between them. In particular, the Parties shall seek to identify bilateral initiatives that are appropriate for particular issues or sectors.
2. The Parties recognize the existence of a wide range of mechanisms to support regulatory cooperation and prevent and eliminate unnecessary technical barriers to trade between the Parties, including the mechanisms they promote:
(a) Regulatory dialogue and cooperation, with the aim of, among other things:
(i) exchange information on regulatory practices and approaches to improve knowledge and understanding of their respective regulatory systems;
(ii) promote the use of good regulatory practices to improve the efficiency and effectiveness of standards, technical regulations and conformity assessment procedures; and
(iii) provide technical assistance to the other Party on mutually agreed terms and conditions, for the improvement of practices related to the elaboration, implementation and revision of standards, technical regulations, conformity assessment procedures and metrology.
(b) Harmonization of national standards with relevant international standards, except where inappropriate or ineffective;
(c) Increased use of relevant international standards, guides and recommendations as a basis for Partiesâ technical regulations and conformity assessment procedures; and
(d) Equivalence of technical regulations.
3. The Parties recognize that the choice of appropriate mechanisms in a given regulatory context will depend on a variety of factors, such as: the product and sector involved, the volume and direction of trade, the relationship between the Parties' respective regulators, the legitimate objectives pursued and the risks of not achieving those objectives.
4. The Parties shall seek to strengthen their exchange of information and collaboration on mechanisms to facilitate the acceptance of conformity assessment results.
5. The Parties shall encourage cooperation between their respective bodies, including both public and private bodies responsible for standardization, conformity assessment and accreditation, with a view to addressing various matters covered by this Chapter.
Article 5.5. Technical Regulations
1. A Party shall, at the request of the other Party, explain the reasons why it has not accepted a technical regulation as equivalent to its own, without prejudice to Article 2.7 of the TBT Agreement.
2. If a Party detains at the port of entry an imported good coming from the territory of the other Party on the grounds that the good does not comply with a technical regulation, it shall, as soon as possible, notify the importer or the respective customs broker of the reasons for the detention of the good.
Article 5.6. Conformity Assessment
1. The Parties recognize that there are a wide range of mechanisms that facilitate the acceptance in the territory of one Party of the results of conformity assessment carried out in the territory of the other Party. These mechanisms could include:
(a) Acceptance of the supplier's declaration of conformity;
(b) Voluntary agreements between conformity assessment bodies;
(c) Accreditation procedures to qualify conformity assessment bodies; (d) Designation of conformity assessment bodies, and
(e) Recognition of the results of conformity assessment procedures carried out in the territory of the other Party.
2. The Parties recognize that the choice of appropriate mechanisms will depend on the institutional structure and legal provisions in force in each Party within the framework of the obligations established in the TBT Agreement.
3. Pursuant to Article 6.3 of the TBT Agreement, and without prejudice to Article 6.1 of the TBT Agreement, each Party, upon request of the other, shall favorably consider negotiating Mutual Recognition Agreements of the results of their respective conformity assessment procedures. If either Party refuses to initiate or conclude such negotiations, it shall, upon request, explain the reasons for its decision.
4. Each Party shall accord to subsidiaries of conformity assessment bodies of the other Party located in its territory, treatment no less favorable than that accorded to its own bodies.
Article 5.7. Transparency
1. The Parties shall notify each other electronically, through the Contact Point established by each Party, and in accordance with Article 10 of the TBT Agreement, of drafts and amendments to technical regulations and conformity assessment procedures, as well as those adopted to address urgent problems under the terms of the TBT Agreement, at the same time that they send the notification to the WTO Central Registry of Notifications. Such notification must include an electronic link to the notified document or a copy thereof.
2. The Parties shall notify even those draft technical regulations and conformity assessment procedures that are consistent with the technical content of relevant international standards.
3. Each Party shall allow a period of at least sixty (60) days, counted from the notification referred to in paragraph 1 of this Article, for the other Party to make written comments on proposals for technical regulations and conformity assessment procedures, except where urgent problems arise or threaten to arise. During the process of consultation on draft technical regulations and conformity assessment procedures, each Party shall allow the person of the other Party to participate on terms no less favorable than those accorded to its nationals.
4. Each Party shall formally respond to the comments received from the other Party, during the consultation period stipulated in the notification, no later than the date on which the final versions of the technical regulation or conformity assessment procedure are published, except when these result from the presentation of urgent problems referred to in paragraph 3.
5. A Party shall, upon request of the other Party, provide information on the objectives of, and reasons for, a technical regulation or conformity assessment procedure that the Party has adopted or proposes to adopt.
6. Each Party shall ensure that the technical regulations and conformity assessment procedures adopted are available to the public on free official websites.
7. In relation to the period of time that each Party must provide between the publication and the entry into force of the technical regulations, the Parties understand that the expression "reasonable period of time" in Article 2.12 of the TBT Agreement normally means a period of not less than six (6) months, except when such period is not feasible to meet the legitimate objectives pursued by the respective regulations.
Article 5.8. Exchange of Information
Any information or explanation requested by a Party under the provisions of this Chapter shall be provided by the other Party in printed or electronic form within sixty (60) days from the date of the submission of the request.
Article 5.9. Committee on Technical Barriers to Trade
1. The Parties hereby establish a Committee on Technical Barriers to Trade (hereinafter referred to as the TBT Committee), composed of representatives designated by each Party, as follows:
(a) For Chile, the General Directorate of International Economic Relations of the Ministry of Foreign Affairs (DIRECON), or its successor, and
(b) For Argentina, the National Directorate of Domestic Trade under the Undersecretariat of Domestic Trade of the Secretariat of Commerce of the Ministry of Production, or its successor.
2. The functions of the TBT Committee shall include:
(a) Monitor the implementation and administration of this Chapter;
(b) Promptly address matters proposed by a Party with respect to the development, adoption or application of standards, technical regulations or conformity assessment procedures;
(c) Establish, as appropriate, regulatory cooperation initiatives, which may include the creation of sector-specific sub-committees;
(d) Oversee the strengthening of joint cooperation on standards, technical regulations and conformity assessment procedures, as provided in Article 5.4.1;
(e) To facilitate, to the extent possible, sectoral cooperation between governmental and non-governmental entities on standards, technical regulations and conformity assessment procedures in the territories of the Parties, as well as to facilitate the process of mutual recognition agreements and equivalence of technical regulations;
(f) Establish, if necessary, for particular issues or sectors, working groups to deal with specific matters related to this Chapter and the TBT Agreement;
(g) Exchange information on standards, technical regulations, and conformity assessment procedures;
(h) Exchange information about the work being carried out in non-governmental, regional, multilateral fora and cooperation programs involved in activities related to standards, technical regulations and conformity assessment procedures;
(i) To provide, upon written request of a Party, technical consultations on any matter arising under this Chapter;
(j) Review this Chapter in light of developments under the TBT Agreement and in the WTO Committee on Technical Barriers to Trade, and propose recommendations to modify this Chapter if necessary;
(k) Report to the Bilateral Administrative Commission on the implementation of this Chapter;
(l) To take such other actions as the Parties consider will assist them in the implementation of this Chapter or the TBT Agreement, as well as in the facilitation of trade in goods between the Parties, and
(m) Submit recommendations to the Bilateral Administrative Commission on matters relating to the implementation of this Chapter, including proposals on standards, technical regulations, conformity assessment procedures, and mutual recognition and equivalence agreements for technical regulations.
3. The TBT Committee shall meet once a year on an ordinary basis, unless otherwise agreed by the Parties, and may hold additional extraordinary meetings should the Parties deem it necessary, in order to fulfill its functions in relation to this Chapter. For such purposes, the representatives of the TBT Committee may meet in person or communicate by e-mail, videoconference or other means agreed by the Parties.
Article 5.10. Technical Consultations
Each Party shall give prompt and positive consideration to any request by the other Party for consultations on specific trade concerns relating to the application of this Chapter.
Chapter 6. COMPETITION POLICY
Article 6.1. Objectives
1. Each Party shall adopt or maintain competition laws that proscribe anticompetitive business practices, with the objective of preventing the benefits of the process of liberalization of trade in goods, services and investment from being reduced or nullified by anticompetitive business practices.
2. Each Party shall ensure the existence of at least one authority responsible for enforcing its national competition laws, which shall be notified to the other Party at the time of entry into force of the Agreement.
3. The competition law enforcement policy of the Parties' national competition authorities shall not discriminate on the basis of the nationality of the subjects of their proceedings.
Article 6.2. Cooperation
1. The Parties recognize the importance of cooperation and coordination between their respective national competition authorities to promote the effective enforcement of competition laws.
2. The Parties agree to cooperate in a manner consistent with their respective laws, regulations and interests, including through notifications, consultations and exchange of information, taking into account available resources.
3. The national competition authorities of the Parties may consider entering into a bilateral cooperation arrangement or agreement establishing mutually agreed terms of cooperation.
Article 6.3. Consultations
At the request of either Party, consultations shall be initiated on particular anti- competitive practices adversely affecting bilateral trade or investment, consistent with the objectives of this Chapter.
Article 6.4. Exclusion from the Dispute Settlement Mechanism
No Party may have recourse to the dispute settlement mechanism under Chapter 18 (Dispute Settlement) with respect to any matter arising under this Chapter.
Chapter 7. PUBLIC PROCUREMENT
Article 7.1. Definitions for the Purposes of this Chapter:
procurement notice means a notice published by the entity inviting interested suppliers to submit a request for participation, a bid, or both;
special compensatory conditions means any conditions or commitments that encourage local development or improve a Party's balance of payments accounts, such as local content requirements, technology licensing, investment requirements, countertrade or similar measures or requirements;
procurement means any form of procurement of goods or services, including construction services, or a combination of both, by entities of the Parties for governmental purposes and not with a view to their commercial resale or to be used in the production of goods or the provision of services for commercial sale, unless otherwise specified;
public works concession contracts means any contractual arrangement whose principal purpose is to provide for the construction or rehabilitation of physical infrastructure, plants, buildings, facilities or other public works, whereby an entity grants to a provider, through a contract and for a specified period, temporary ownership or the right to control, operate and require payment for the use of such works during the term of the contract;
entity means an entity listed in Schedule 7.1;
written or in writing means any expression in words, numbers or other symbols, which can be read, reproduced and subsequently communicated. It may include information transmitted and stored electronically;
technical specification means a procurement requirement that:
(a) Establishes the characteristics of:
(i) the goods to be contracted, such as quality, performance, safety and dimensions or the processes and methods of production, or
(ii) the services to be contracted, or their processes and methods of supply, and
(b) Establishes terminology, symbols, packaging, marking or labeling requirements applicable to goods or services.
legal entity means any legal entity duly organized or otherwise organized under applicable law, whether for profit or otherwise, whether privately or governmentally owned, including any corporation, trust, partnership or joint venture;
selective tendering procedure means a method of procurement where the covered entity invites bids only from eligible suppliers;
supplier means a person who supplies or could supply goods or services to an entity; services include construction services, unless otherwise specified;
construction service means a service having as its object the performance by whatever means of civil or construction works, based on Division 51 of the United Nations Provisional Central Product Classification (CPC).