Agreement EU/Former Yugoslav Republic of Macedonia FYROM: negotiations for a stabilisation and association agreement

The recommendation aims to authorise the Commission to negotiate a Stabilisation and Association Agreement with the former Yugoslav Republic of Macedonia (FYROM). In line with its proposals concerning a Stabilisation and Association process for the countries of South-Eastern Europe (see procedure COS/1999/2126), the Commission adopted a report on 16.06.1999 on the feasibility of negotiating a Stabilisation and Association Agreement with the former Yugoslav Republic of Macedonia. In the conclusions of this report, the Commission indicates, in particular, that this country, when account is taken of the political and economic reforms undertaken could be in line with the requirements of the Stabilisation and Association Agreement, after reasonable transition periods depending on the sectors concerned. The objective of this recommendation is to propose negotiating directives with a view to concluding an Agreement with FYROM. The main elements of the negotiating directives are as follows: 1) the insertion into the Agreement of provisions establishing a political dialogue with FYROM; 2) prospect of the establishment of a Free Trade Area covering goods and services, compatible with the provisions laid down by the WTO within a period of 10 years from the entry into force of the Agreement; 3) measures relating to the free movement of workers, freedom of establishment, provision of services, current payments and capital movements; 4) commitment from FYROM to gradually bring its legislation into line with that of the Community, in particular in the main fields of the internal market; 5) measures relating to the cooperation of FYROM in a great number of fields, notably Justice and Home Affairs. The Agreement will simultaneously affect all sectors of joint competence (Community and Member States).�