The Republic of Albania, Bosnia and Herzegovina, the Republic of Croatia, the Republic of Macedonia, the Republic of Moldova, the Republic of Montenegro, the Republic of Serbia and the United Nations Interim Administration Mission in Kosovo (on behalf of Kosovo in accordance with United Nations Security Council Resolution 1244) have established a Central European Free Trade Agreement (CEFTA) in accordance with the relevant rules and procedures of the WTO. The free trade area has been established for a transitional period ending at the latest on 31 December 2010.  

The objectives of the CEFTA Agreement are to:

1. Consolidate in a single agreement the existing level of trade liberalisation achieved through the network of bilateral free trade agreements already concluded between the Parties;

2. Improve conditions further to promote investment, including foreign direct investment;

3. Expand trade in goods and services and foster investment by means of fair, clear, stable and predictable rules;

4. Eliminate barriers to, and distortions of, trade, and facilitate the movement of goods in transit and the cross-border movement of goods and services between the territories of the Parties;

5. Provide fair conditions of competition affecting foreign trade and investment and gradually open the government procurement markets of the Parties;

6. Provide appropriate protection of intellectual property rights in accordance with international standards;

7. Provide effective procedures for the implementation and application of the CEFTA Agreement; and

8. Contribute thereby to the harmonious development and expansion of world trade.

Further details about CEFTA are attached.   Annex 1   Annex 2 

Three Sub-Working groups were established in August 2008 to improve Kosovo’s coordination of CEFTA implementation. These groups cover agriculture, tariffs and trade barriers, and custom operations. The three new working groups complement Kosovo’s Trade Policy Working Group that was established in 2006.