[Federal Register Volume 68, Number 168 (Friday, August 29, 2003)]
[Presidential Documents]
[Pages 51871-51873]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-22347]


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                         Presidential Documents 
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  Federal Register / Vol. 68, No. 168 / Friday, August 29, 2003 / 
Presidential Documents  

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 Title 3--
 The President

[[Page 51871]]

                Proclamation 7696 of August 27, 2003

                
To Extend Duty-Free Treatment for Certain 
                Agricultural Products of Israel

                By the President of the United States of America

                A Proclamation

                1. On April 22, 1985, the United States entered into 
                the Agreement on the Establishment of a Free Trade Area 
                between the Government of the United States of America 
                and the Government of Israel (FTA), which the Congress 
                approved in the United States-Israel Free Trade Area 
                Implementation Act of 1985 (the ``FTA Act'')(19 U.S.C. 
                2112 Note).

                2. On November 4, 1996, the United States entered into 
                an agreement with Israel concerning certain aspects of 
                trade in agricultural products, effective from December 
                4, 1996, through December 31, 2001 (the ``1996 
                Agreement''), in order to maintain the general level of 
                reciprocal and mutually advantageous concessions with 
                respect to agricultural trade while acknowledging 
                differing interpretations as to the meaning of certain 
                rights and obligations in the FTA as to such trade.

                3. Section 4(b) of the FTA Act provides that, whenever 
                the President determines that it is necessary to 
                maintain the general level of reciprocal and mutually 
                advantageous concessions with respect to Israel 
                provided for by the FTA, the President may proclaim 
                such withdrawal, suspension, modification, or 
                continuance of any duty, or such continuance of 
                existing duty-free or excise treatment, or such 
                additional duties as the President determines to be 
                required or appropriate to carry out the FTA.

                4. Consistent with section 4(b) of the FTA Act, 
                President Clinton issued Proclamation 6962 of December 
                2, 1996, to provide to Israel through the close of 
                December 31, 2001, access into the United States 
                customs territory for specified quantities of certain 
                agricultural products of Israel free of duty or certain 
                fees or other import charges, consistent with the 1996 
                Agreement.

                5. On December 31, 2001, the United States entered into 
                an agreement with Israel to extend the 1996 Agreement 
                through December 31, 2002, in order to allow for 
                additional time to negotiate a successor arrangement to 
                the 1996 Agreement. Consistent with section 4(b) of the 
                FTA Act, I issued Proclamation 7554, of May 3, 2002, to 
                provide to Israel through the close of December 31, 
                2002, access into the United States customs territory 
                for specified quantities of certain agricultural 
                products of Israel free of duty or certain fees or 
                other import charges. Several rounds of negotiations 
                were held in 2002 but did not result in conclusion of a 
                successor arrangement to the 1996 Agreement.

                6. On December 31, 2002, the 1-year extension of the 
                1996 Agreement expired. In order to allow additional 
                time to conclude negotiations, the United States and 
                Israel each have elected to extend through 2003 the 
                tariff treatment provided for agricultural products in 
                2002 under the 1996 Agreement. Israel has already 
                extended through 2003 the tariff benefits for United 
                States agricultural imports provided in 2002 under the 
                1996 Agreement.

                7. Consistent with section 4(b) of the FTA Act, I have 
                determined that it is necessary, in order to maintain 
                the general level of reciprocal and

[[Page 51872]]

                mutually advantageous concessions with respect to 
                Israel provided for by the FTA, to provide through the 
                close of December 31, 2003, duty-free treatment for 
                specified quantities of certain agricultural products 
                of Israel.

                8. Section 604 of the Trade Act of 1974 (19 U.S.C. 
                2483) (the ``Trade Act'') authorizes the President to 
                embody in the Harmonized Tariff Schedule of the United 
                States (HTS) the substance of the relevant provisions 
                of that act, and of other acts affecting import 
                treatment, and actions thereunder, including removal, 
                modification, continuance, or imposition of any rate of 
                duty or other import restriction.

                NOW, THEREFORE, I, GEORGE W. BUSH, President of the 
                United States of America, acting under the authority 
                vested in me by the Constitution and the laws of the 
                United States, including section 4 of the FTA Act and 
                section 604 of the Trade Act, do hereby proclaim:

                    (1) In order to maintain the general level of 
                reciprocal and mutually advantageous concessions with 
                respect to Israel provided for by the FTA, and, in 
                particular, to provide duty-free treatment for 
                specified quantities of certain agricultural products 
                of Israel, subchapter VIII of chapter 99 of the HTS is 
                modified as provided in the Annex to this proclamation.
                    (2) Any provisions of previous proclamations and 
                Executive Orders that are inconsistent with the actions 
                taken in this proclamation are superseded to the extent 
                of such inconsistency.
                    (3)(a) The modifications to the HTS made by the 
                Annex to this proclamation shall be effective with 
                respect to goods that are the product of Israel and are 
                entered, or withdrawn from warehouse for consumption, 
                on or after January 1, 2003, including entries for 
                which the liquidation of duties has not become final 
                under section 514 of the Tariff Act of 1930, as amended 
                (19 U.S.C. 1514).
                    (b) The provisions of subchapter VIII of chapter 99 
                of the HTS, as modified by the Annex to this 
                proclamation, shall continue in effect through the 
                close of December 31, 2003.

                IN WITNESS WHEREOF, I have hereunto set my hand this 
                twenty-seventh day of August, in the year of our Lord 
                two thousand three, and of the Independence of the 
                United States of America the two hundred and twenty-
                eighth.

                    (Presidential Sig.)B

Billing code 3195-01-P


[[Page 51873]]

                Annex
                Modifications to Subchapter VIII of Chapter 99 of the 
                Harmonized Tariff Schedule of the United States

                Effective with respect to goods that are the product of 
                Israel and are entered, or withdrawn from warehouse for 
                consumption, on or after January 1, 2003, and through 
                the close of December 31, 2003, subchapter VIII of 
                chapter 99 of the HTS is modified as provided herein:

                    1. U.S. note 1 to such subchapter is modified by 
                striking ``December 31, 2002,'' and by inserting in 
                lieu thereof ``December 31, 2003,''.
                    2. U.S. note 3 is modified by inserting at the end 
                of the table therein the following additional 
                applicable time period and quantity: ``Calendar year 
                2003.....383,000''.
                    3. U.S. note 4 is modified by inserting at the end 
                of the table therein the following additional 
                applicable time period and quantity: ``Calendar year 
                2003.....1,160,000''.
                    4. U.S. note 5 is modified by inserting at the end 
                of the table therein the following additional 
                applicable time period and quantity: ``Calendar year 
                2003.....1,279,000''.
                    5. U.S. note 6 is modified by inserting at the end 
                of the table therein the following additional 
                applicable time period and quantity: ``Calendar year 
                2003.....116,000''.
                    6. U.S. note 7 is modified by inserting at the end 
                of the table therein the following additional 
                applicable time period and quantity: ``Calendar year 
                2003.....405,317''.

                [FR Doc. 03-22347 Filed 8-28-03; 8:45 am]

Billing code 3190-01-M