the enhancement of political dialogue on bilateral and international matters of mutual interest, which will be conducted through meetings at different levels;

the strengthening of cooperation in the political, commercial, economic and financial, scientific, technological, social, cultural and cooperation fields, as well as other areas of mutual interest;

the upgrading of the participation of each Party in the framework programmes, specific programmes and other activities of the other Party, insofar as permitted by each Party's internal procedures governing access to the programmes and activities concerned, in accordance with Part III; and

the expansion and diversification of the Parties' bilateral trade relation in conformity with WTO provisions and with the specific objectives and provisions set out in Part IV.

to boost contacts between the Parties' economic operators, with the aim of identifying sectors of mutual interest, especially in the area of industrial cooperation, transfers of technology, trade and investment;

to strengthen and promote dialogue and exchanges of experience between networks of European and Chilean economic operators;

to promote industrial cooperation projects, including projects deriving from the process of privatisation and/or opening-up of the Chilean economy; these could cover the establishment of forms of infrastructure stimulated by European investment through industrial cooperation between businesses; and

to strengthen innovation, diversification, modernisation, development and product quality in businesses.

regulatory cooperation;

compatibility of technical regulations on the basis of international and European standards; and

technical assistance to create a network of conformity assessment bodies on a non-discriminatory basis.

encourage any measures aimed at bridging the gaps between the Parties in the areas of conformity assessment and standardisation;

provide organisational support between the Parties to foster the establishment of regional networks and bodies, and increase coordination of policies to promote a common approach to the use of international and regional standards and similar technical regulations and conformity assessment procedures; and

encourage any measure aimed at improving convergence and compatibility between the respective system of the Parties in the abovementioned areas, including transparency, good regulatory practices and the promotion of quality standards for products and business practices.

technical assistance;

conferences, seminars, prospecting for industrial and technical opportunities, participation in round tables and general and sectoral fairs;

promoting contacts between economic operators, encouraging joint investment and establishing joint ventures and information networks through existing horizontal programs;

facilitating access to finance, providing information and stimulating innovation.

establishing mechanisms for providing information, identifying and disseminating investment rules and opportunities;

developing a legal framework for the Parties that favours investment, by conclusion, where appropriate, of bilateral agreements between the Member States and Chile to promote and protect investment and avoid dual taxation;

incorporating technical assistance activities for training initiatives between the Parties' government agencies dealing with the matter; and

developing uniform and simplified administrative procedures.

exchanges of information in all suitable forms, including developing databases shared by institutions of both Parties, and training and conferences;

transfers of technology;

diagnostic studies, comparative analyses and implementation of programmes by institutions from both Parties;

involvement of public and private operators from both regions in technological development and common-infrastructure projects, including networks with other countries in the region;

conclusion, where appropriate, of specific agreements in key fields of mutual interest; and

assistance for Chilean institutions dealing with energy matters and the formulation of energy policy.

exchanges of information on the Parties' policies, especially regarding urban transport and the interconnection and interoperability of multimodal transport networks and other issues of mutual interest;

training programmes in economics, legislation and technical matters for economic operators and senior civil servants; and

cooperation projects for transfers of European technology in the Global Navigation Satellite System and urban public transport centres.

specific projects aimed at supporting sanitary, phytosanitary, environmental and food quality measures, taking into account the legislation in force for both Parties, in compliance with WTO rules and other competent international organisations;

diversification and restructuring of agricultural sectors;

the mutual exchange of information, including that concerning the development of the Parties' agricultural policies;

technical assistance for the improvement of productivity and the exchange of alternative crop technologies;

scientific and technological experiments;

measures aimed at enhancing the quality of agricultural products and supporting trade promotion activities;

technical assistance for the strengthening of sanitary and phytosanitary control systems, with a view to supporting as far as possible the promotion of equivalence and mutual recognition agreements.

the provision of technical assistance, including where appropriate, the organisation of seminars and the placement of trainees;

the development and sharing of best practices; and

the improvement and simplification of customs matters relating to market access and rules of origin and the customs procedures related to them.

homologation of statistical methods to generate indicators that are comparable between the Parties;

scientific and technological exchanges with statistical institutions of the Member States of the European Union, and with Eurostat;

statistical research directed at developing common methods for collecting, analysing and interpreting data;

organising seminars and workshops; and

statistical training programmes, including other countries of the region.

the relationship between poverty and the environment;

the environmental impact of economic activities;

environmental problems and land-use management;

projects to reinforce Chile's environmental structures and policies;

exchanges of information, technology and experience in areas including environmental standards and models, training and education;

environmental education and training to involve citizens more; and

technical assistance and joint regional research programmes.

macroeconomic stabilisation;

consolidation of public finances;

tax policy;

monetary policy;

financial policy and regulation;

financial integration and opening of the capital account;

exchange-rate policy;

international financial architecture and reform of the international monetary system; and

coordination of macroeconomic policy.

meetings between macroeconomic authorities;

organising seminars and conferences;

providing training opportunities, where there is a demand; and

producing studies on issues of mutual interest.

legislative advice: comments on draft laws relating to the general provisions and basic principles of the international conventions listed in Article 170, copyright and related rights, trademarks, geographical indications, traditional expressions or complementary quality mentions, industrial designs, patents, layout-designs (topographies) of integrated circuits, protection of undisclosed information, control of anti-competitive practices in contractual licences, enforcement and other matters relating to the protection of intellectual property rights;

advice on the ways of organising administrative infrastructure, such as patent offices and collecting societies;

training in the field of intellectual property rights administration and management techniques;

specific training of judges and Customs and Police Officers, in order to make the enforcement of laws more effective; and

awareness-building activities for the private sector and civil society.

projects intended to create and consolidate tourist products and services of mutual interest or which hold an attraction for other markets of mutual interest;

consolidation of long-haul tourist flows;

reinforcing tourism promotion channels;

training and education in tourism;

technical assistance and pilot projects for developing special-interest tourism;

exchanges of information on tourism promotion, integral planning of tourist destinations and quality of services; and

using promotion instruments to develop tourism at local level.

policy dialogue and exchanges of scientific and technological information and experience at regional level, particularly in respect of policies and programmes;

promotion of lasting relations between the two Parties' scientific communities; and

intensification of activities to promote linkage, innovation and technology transfer between European and Chilean partners.

joint applied research projects in areas of common interest, with active participation by business undertakings where appropriate;

exchanges of researchers to promote project preparation, high-level training and research;

joint scientific meetings to foster exchanges of information and interaction and to identify areas for joint research;

the promotion of activities linked to scientific and technological forward studies which contribute to the long term development of both Parties; and

the development of links between the public and private sectors.

dialogue on the various issues of the information society, including promotion and monitoring of the emergence of the information society;

cooperation on regulatory and policy aspects of telecommunications;

exchange of information on standards, conformity assessment and type approval;

dissemination of new information and communication technologies;

joint research projects on information and communication technologies and pilot projects in the field of information society applications;

promotion of exchange and training of specialists, in particular for young professionals; and

exchange and dissemination of experiences from government initiatives which apply information technologies in their relationship with society.

mutual information programmes;

translation of literary works;

conservation and restoration of national heritage;

training;

cultural events;

promotion of local culture;

cultural management and production; and

other areas.

modernisation of the State and of public administration;

decentralisation and the strengthening of regional and local government;

strengthening of civil society and its incorporation into the process of defining public policies;

job creation and vocational training programmes;

social service management and administration projects;

development, rural housing or land management projects;

health and primary education programmes;

support for civil society and grass-roots initiatives;

any other programmes and projects which help to combat poverty by creating business and employment opportunities; and

promotion of culture and its several manifestations and strengthening of cultural identities.

technical assistance to Chilean policy-making and executive bodies, including meetings between staff of the European institutions and their Chilean counterparts;

regular exchanges of information taking whatever form is appropriate, including the use of computer networks; personal data protection shall be ensured in all areas where data are to be exchanged;

transfers of know-how;

preliminary studies and joint project implementation, involving comparable financial input; and

training and organisational support.

any measures promoting regular exchanges of information, including the joint development of computerised communication networks;

advice and training; and

transfers of know-how.

promoting human development, the reduction of poverty and the fight against social exclusion, by generating innovative and reproducible projects involving vulnerable and marginalised social sectors. Special attention shall be paid to low-income families and disabled persons;

promoting the role of women in the economic and social development process and promoting specific programmes for youth;

developing and modernising labour relations, working conditions, social welfare and employment security;

improving the formulation and management of social policies, including social housing, and improving access by beneficiaries;

developing an efficient and equitable health system, based on solidarity principles;

promoting vocational training and development of human resources;

promoting projects and programmes which generate opportunities for the creation of employment within micro-, small and medium-sized enterprises;

promoting programmes of land management with special attention to areas with higher social and environmental vulnerability;

promoting initiatives contributing to social dialogue and the creation of consensus; and

promoting respect for human rights, democracy and citizens' participation.

ensure that gender and gender-related issues can be taken into account at every level and in all areas of cooperation including macroeconomic policy, strategy and development operations; and

promote the adoption of positive measures in favour of women.

Chile agrees to readmit any of its nationals illegally present on the territory of a Member State, upon request by the latter and without further formalities;

and each Member State agrees to readmit any of its nationals, as defined for Community purposes, illegally present on the territory of Chile, upon request by the latter and without further formalities.

projects for the treatment, rehabilitation and family, social and labour reinsertion of drug addicts;

joint training programmes relating to prevention of consumption and trafficking of narcotic drugs and psychotropic substances and related crimes;

joint study and research programmes, using methodologies and indicators applied by the European Monitoring Centre for Drugs and Drug Addiction, the Inter-American Observatory of Drugs of the Organisation of American States and other international and national organisations;

measures and cooperation actions aimed at reducing the supply of drugs and psychotropic substances, as part of the international conventions and treaties on the matter which have been signed and ratified by the Parties to this Agreement;

information exchange on policies, programmes, actions and legislation linked to production, trafficking and consumption of narcotic drugs and psychotropic substances;

exchange of relevant information and adoption of appropriate standards to combat money laundering comparable to those adopted by the European Union and the international bodies active in this field, such as the Financial Action Task Force on Money Laundering; and

measures to prevent diversion of precursors and chemical substances essential to the illicit production of narcotic drugs and psychotropic substances, equivalent to those adopted by the European Community and competent international organisations and in accordance with the Agreement between the Republic of Chile and the European Community on the prevention of the diversion of precursors and chemical substances frequently used in the illicit manufacture of narcotic drugs or psychotropic substances of 24 November 1998.

promoting trade and investment in the region;

developing regional cooperation on the environment;

encouraging development of the communications infrastructure required for the economic development of the region; and

developing regional cooperation on fisheries matters.

undertake joint action with regional and local authorities in the area of economic development; and

set up mechanisms for the exchange of information and know-how.

to assist the Association Council in the performance of its functions regarding cooperation related matters;

to supervise the implementation of the cooperation framework agreed between the Parties;

to make recommendations on the strategic cooperation between the Parties, which shall serve to set long-term objectives, the strategic priorities and specific fields for action, on the multiannual indicative programmes, which shall contain a description of sectoral priorities, specific objectives, expected results and indicative amounts, and annual action programmes; and

to report regularly to the Association Council on the application and fulfilment of the objectives and matters of Part III.

contracts awarded pursuant to:

non-contractual agreements or any form of government assistance and procurement made in the framework of assistance or cooperation programmes.

contracts for:

financial services.

that its entities do not treat a locally-established supplier less favourably than another locally-established supplier on the basis of the degree of foreign affiliation to, or ownership by, a person of the other Party; and

that its entities do not discriminate against a locally-established supplier on the basis that the goods or services offered by that supplier for a particular procurement are goods or services of the other Party.

open tendering procedures are those procedures whereby any interested supplier may submit a tender.

selective tendering procedures are those procedures whereby, consistent with Article 144 and other relevant provisions of this Title, only suppliers satisfying qualification requirements established by the entities are invited to submit a tender.

when no suitable tenders or request to participate have been submitted in response to a prior procurement, on condition that the requirements of the initial procurement are not substantially modified;

when, for technical or artistic reasons, or for reasons connected with protection of exclusive rights, the contract may be performed only by a particular supplier and no reasonable alternative or substitute exists;

for reasons of extreme urgency brought about by events unforeseeable by the entity, the goods or services could not be obtained in time by means of open or selective tendering procedures;

for additional deliveries of goods or services by the original supplier where a change of supplier would compel the entity to procure equipment or services not meeting requirements of interchangeability with already existing equipment, software or services;

when an entity procures prototypes or a first product or service which are developed at its request in the course of, and for, a particular contract for research, experiment, study or original development;

when additional services which were not included in the initial contract but which were within the objectives of the original tender documentation have, through unforeseeable circumstances, become necessary to complete the services described therein. However, the total value of contracts awarded for the additional construction services may not exceed 50 % of the amount of the main contract;

for new services consisting of the repetition of similar services and for which the entity has indicated, in the notice concerning the initial service, that tendering procedures other than open or selective might be used in awarding contracts for such new services;

in the case of contracts awarded to the winner of a design contest, provided that the contest has been organised in a manner which is consistent with the principles of this Title; in case of several successful candidates, all successful candidates shall be invited to participate in the negotiations; and

for quoted goods purchased on a commodity market and for purchases of goods made under exceptionally advantageous conditions which only arise in the very short term in the case of unusual disposals and not for routine purchases from regular suppliers.

entities establishing permanent lists shall ensure that suppliers may apply for qualification at any time.

any supplier having requested to become a qualified supplier shall be notified by the entities concerned of the decision in this regard.

suppliers requesting to participate in a given intended procurement who are not on the permanent list of qualified suppliers shall be given the possibility to participate in the procurement by presenting the equivalent certifications and other means of proof requested from suppliers who are on the list.

when an entity operating in the utilities sector uses a notice on the existence of a permanent list as a notice of intended procurement, as provided in Article 147(7), suppliers requesting to participate who are not on the permanent list of qualified suppliers shall also be considered for the procurement, provided there is sufficient time to complete the qualification procedure; in this event, the procuring entity shall promptly start procedures for qualification and the process of, and the time required for, qualifying suppliers shall not be used in order to keep suppliers of other Parties off the suppliers' list.

name, address, telefax number, electronic address of the entity and, if different, the address where all documents relating to the procurement may be obtained;

the tendering procedure chosen and the form of the contract;

a description of the intended procurement, as well as essential contract requirements to be fulfilled;

any conditions that suppliers must fulfil to participate in the procurement;

time-limits for submission of tenders and, where appropriate, other time limits;

main criteria to be used for award of the contract; and

if possible, terms of payment and any other terms.

be in terms of performance and functional requirements rather than design or descriptive characteristics; and

be based on international standards, where these exist or, in their absence, on national technical regulations ( 12 ), recognised national standards ( 13 ), or building codes.

in the context of procurements in which they have indicated such intent in the notice of intended procurement; or

when it appears from evaluation that no one tender is obviously the most advantageous in terms of the specific evaluation criteria set forth in the notices or tender documentation.

any elimination of participants is carried out in accordance with the criteria set forth in the notices and tender documentation;

all modifications to the criteria and to the technical requirements are transmitted in writing to all remaining participants in the negotiations; and

on the basis of the revised requirements and/or when negotiations are concluded, all remaining participants are afforded an opportunity to submit new or amended tenders in accordance with a common deadline.

rapid interim measures to correct breaches of this Title and to preserve commercial opportunities. Such action may result in suspension of the procurement process. However, procedures may provide that overriding adverse consequences for the interests concerned, including the public interest, may be taken into account in deciding whether such measures should be applied; and

if appropriate, correction of the breach of this Title or, in the absence of such correction, compensation for the loss or damages suffered, which may be limited to costs for tender preparation and protest.

notifies the other Party of the modification; and

provides the other Party, within 30 days following the date of such notification, appropriate compensatory adjustments to its coverage in order to maintain a level of coverage comparable to that existing prior to the modification.

rectifications of a purely formal nature and minor amendments to Annexes XI and XII; or

one or more covered entities on which government control or influence has been effectively eliminated as a result of privatisation or liberalisation.

is liable to substantially affect the other Party's important interests;

relates to restrictions on competition which are liable to have a direct and substantial effect in the territory of the other Party; or

concerns anti-competitive acts taking place principally in the territory of the other Party.

to supervise the implementation and proper application of the provisions of this Part of the Agreement, as well as of any other instrument agreed by the Parties concerning trade-related matters, within the framework of this Agreement;

to oversee the further elaboration of the provisions of this Part of the Agreement and evaluate the results obtained in its application;

to resolve disputes that may arise regarding the interpretation or application of this Part of the Agreement, in accordance with the provisions of Article 183;

to assist the Association Council in the performance of its functions regarding trade-related matters;

to supervise the work of all the special committees established under this Part of the Agreement;

to carry out any other function assigned to it under this Part of the Agreement or entrusted to it by the Association Council, concerning trade-related matters; and

to report annually to the Association Council.

set up any special committees or bodies to deal with matters falling within its competence, and determine their composition and duties, and their rules of procedure;

meet at any time agreed by the Parties;

consider any issues regarding trade-related matters, and take appropriate action in the exercise of its functions; and

take decisions or make recommendations on trade-related matters, in accordance with Article 6.

to require a Party to furnish any information the disclosure of which it considers contrary to its essential security interests;

to prevent a Party from taking any action which it considers necessary for the protection of its essential security interests

to prevent a Party from taking any action in pursuance of its obligations under the United Nations Charter for the maintenance of international peace and security.

the nature and extent of the balance of payments and the external financial difficulties;

the external economic and trading environment of the consulting Party;

alternative corrective measures which may be available.