A3-0239/93

Resolution on the Arab economic boycott of Israel

The European Parliament,

-having regard to its resolution of 11 October 1982 on the significance of economic sanctions, particularly trade embargoes and boycotts, and their consequences for the EEC's relations with third countries,

-having regard to the statement by the Heads of State and Government of the seven western industrial nations (G7) at their London summit of June 1991 on the peace process in the Middle East,

-having regard to the statement by the Community Foreign Ministers meeting within the framework of European Political Cooperation on 29 July 1991 on the peace process in the Middle East,

-having regard to the statement by the European Council at the Lisbon Summit of 26-27 June 1992 on the situation in the Middle East,

-having regard to its resolution of 16 November 1993 on the political aspects of the economic boycott by the Arab states against Israel,

-having regard to the motion for a resolution by Mr Prag and others on the Arab economic boycott of Israel (B3-1076/91),

-having regard to the report of the Committee on External Economic Relations (A3-0239/93),

A.whereas the Arab states have implemented direct and indirect boycotts against Israeli products and firms since the early 1950s, also affecting firms in the Community wishing to do business both with Israel and with the Arab countries,

B.whereas under international law, in addition to any sanctions agreed upon by the United Nations, every sovereign state is at liberty to take measures restricting trade in order to protect its national security interests,

C.whereas such measures may not, however, be directed against individuals, motivated by racist or religious considerations or cause harm to third parties who are not involved,

D.mindful of the fact that many of the Arab countries are officially still at war with Israel, which has occupied territory belonging to the Arab countries since the June war of 1967; whereas, however, in the light of the agreement concluded between the PLO and Israel on 13 September 1993, gradual rapprochement, not least where trading relations are concerned, is both possible and desirable,

E.having regard to the fact that the political problems of the Middle East are currently on the agenda of the peace negotiations between Israel, its neighbouring states and the Palestinians, and that consequently the links between these political problems and the Arab boycott are being dealt with in a separate report,

1.Notes that the Arab states' direct boycott of Israel (the so-called primary boycott) does not breach the fundamental rules of international law and is a matter primarily affecting Israel and its Arab neighbours;

2.Views certain aspects of the indirect boycott (the so-called secondary boycott) as a legitimate effort on the part of the Arab countries to thwart attempts to circumvent the primary boycott, for instance, when they demand proof of the origin of the goods to be supplied, and points out that deliveries of goods from non-Arab states to Israel in the normal course of trade are not generally subject to the boycott;

3.Considers other forms of secondary boycott, seeking to prevent close economic cooperation between companies of third states with Israel, and the tertiary boycott, designed to prevent cooperation with companies subject to the secondary boycott, illegal, particularly as they infringe the rights of neutral third parties and are disproportionate in nature;

4.Also opposes the fourth type of boycott directed against persons with 'Zionist convictions', as these measures have a racist tendency;

5.Calls on the Arab states to renounce these forms of boycott of Israel as part of the peace process;

6.Calls on the Council and the Commission, within the framework of the EC's contractual relations with the Arab States, to insist on strict compliance with the principle of non-discrimination, also with regard to their boycott of Israel, in bilateral trade relations with the EC;

7.Notes with satisfaction in this connection that the Maghreb states largely respect this principle and that, following the conclusion of the Camp David agreement with Israel, Egypt maintains normal economic and commercial relations with Israel;

8.Calls for the principle of non-discrimination to be expressly included in the negotiations for a free trade agreement between the EC and the states of the Gulf Cooperation Council;

9.Calls on the Commission to refuse to initial this agreement, should the Gulf states not approve the inclusion of the non-discrimination principle;

10.Points out that the legal position varies in the Community states, with some Member States having laws against compliance with the Arab boycott and others having no such rules and sees this as a potential distortion of competition between Community undertakings;

11.Calls on the Member States to adopt laws and regulations prohibiting firms from complying with the dictates of boycotts imposed by third countries, except where such boycotts are not opposed by the European Union;

12.Points to the economic damage, in the form of lost profits and jobs, incurred by EC undertakings which feel that the Arab boycott leaves them with no choice but to renounce lucrative business with Israel;

13.Calls on the ministers responsible for the CFSP to devise a common policy of economic sanctions, laying down criteria for legal and political admissibility and incorporating a common legal instrument to guard against boycotts that do not conform to these criteria and adversely affect the Community's economy;

14.Insists that Palestinian products should have genuine access to Israel's markets, just as Israeli products have free access to Palestinian markets;

15.Instructs its President to forward this resolution to the Commission, Council, the ministers responsible for the CFSP, the governments of the Community Member States and of the member states of the Arab League and the Government of Israel.