European Free Trade Association 9580 225416760 2008-07-13T16:00:02Z JLogan 737373 /* Membership history */ {{Infobox Geopolitical organisation |name = European Free Trade Association (EFTA) |linking_name = the European Free Trade Association |symbol_type = Logo |image_symbol = EFTA logo.svg |image_map = Location EFTA member states.svg |map_caption = |org_type = [[Trade bloc]] |membership_type = Member states |membership = {{ISL}}<br />{{LIE}}<br />{{NOR}}<br />{{CHE}} |admin_center_type = Secretariat |admin_center = [[Geneva]], [[Switzerland]] |languages_type = Official languages |languages = [[German language|German]], [[French language|French]], [[Norwegian language|Norwegian]], and [[Icelandic language|Icelandic]] |leader_title1 = <!--e.g. "Chair", "President", etc.--> |leader_name1 = |established = [[3 May]] [[1960]] |established_event1 = {{nowrap|EFTA Convention}} |established_date1 = [[4 January]] [[1960]] |area_rank = |area_magnitude = |area_km2 = 529,600 |area_sq_mi = 204,518 |percent_water = |population_estimate = 12,660,623 |population_estimate_rank = |population_estimate_year = 2007 |population_density_km2 = 100.6 |population_density_sq_mi = 59.82 |population_density_rank = |GDP_PPP = $567.5 [[1000000000 (number)|billion]] |GDP_PPP_rank = |GDP_PPP_year = 2007 ([[International Monetary Fund|IMF]]) |GDP_PPP_per_capita = $44,828 |GDP_PPP_per_capita_rank = |GDP_nominal = $743.3 [[1000000000 (number)|billion]] |GDP_nominal_rank = |GDP_nominal_year = 2007 ([[International Monetary Fund|IMF]]) |GDP_nominal_per_capita = $58,714 |GDP_nominal_per_capita_rank = |currency = [[Icelandic króna]], [[Norwegian krone]], [[Swiss franc]] |currency_code = ISK, NOK, CHF |time_zone = [[Western European Time|WET]]&nbsp;/ [[Central European Time|CET]] |utc_offset = +0 / +1 |time_zone_DST = [[Western European Summer Time|WEST]]&nbsp;/ [[Central European Summer Time|CEST]] |DST_note = |utc_offset_DST = +1 / +2 }} The '''European Free Trade Association''' ('''EFTA''') is a European [[trade bloc]] which was established on [[May 3]], [[1960]] as an alternative for European states who were either unable to, or chose not to, join the then-European Economic Community (now the [[European Union]]). The EFTA Convention was signed on [[January 4]], [[1960]] in [[Stockholm]] by seven states. Today only [[Iceland]], [[Norway]], [[Switzerland]], and [[Liechtenstein]] remain members of EFTA (of which only [[Norway]] and [[Switzerland]] are founding members). The Stockholm Convention was subsequently replaced by the [[Vaduz Convention]]. This Convention provides for the liberalisation of trade among the member states. Three of the EFTA countries are part of the European Union Internal Market through the Agreement on a [[European Economic Area]] (EEA), which took effect in 1994; the fourth, Switzerland, opted to conclude bilateral agreements with the EU. In addition, the EFTA states have jointly concluded free trade agreements with a number of other countries. An important development was the conclusion by Switzerland in 1999 of a set of bilateral agreements with the European Union covering a wide range of areas, including movement of persons, transport and technical barriers to trade. This development prompted the EFTA States to modernise their Convention to ensure that it will continue to provide a successful framework for the expansion and liberalization of trade among them and with the rest of the world. The EFTA UPDATE on [[June 1]], [[2002]]. The main areas in which the Convention has been modernised include: Mutual recognition of conformity assessments; Intellectual property rights; Movement of persons, social security and mutual recognition of diplomas; Investment and services; Land and air transport; Public procurement; Agriculture; ==Membership history== [[Image:EFTA countries.PNG|thumb|300px|{{legend|#008000|EFTA member states}} {{legend|#66FF99|Former member states, now EU member states}}]]Its original members were the [[United Kingdom]], [[Denmark]], [[Norway]], [[Sweden]], [[Austria]], [[Switzerland]] and [[Portugal]]. During the 1960s these countries were often referred to as the '''Outer Seven''', as opposed to the [[Inner Six]] of the then-[[European Economic Community]].<ref>[http://www.time.com/time/magazine/article/0,9171,874317,00.html]</ref> [[Finland]] became an associate member in [[1961]] (becoming a full member in [[1986]]), and [[Iceland]] joined in [[1970]]. The United Kingdom and Denmark joined the European Communities in [[1973]] (together with Ireland), and hence ceased to be EFTA members. Portugal also left EFTA for the European Community in [[1986]]. [[Liechtenstein]] joined in [[1991]] (previously its interests in EFTA had been represented by Switzerland). Finally, Austria, Sweden and Finland joined the [[European Union]] in [[1995]] and hence ceased to be EFTA members. ==Current members== <!--List of member states--> {| class="wikitable sortable" ! class="unsortable"|Flag ! State ! Official name ! Accession ! Population ! Area <small>(km²)</small> ! Capital ! GDP in millions (PPP) ! GDP per capita (PPP) |- | {{flagicon|Iceland}} | [[Iceland]] | Republic of Iceland | {{dts2|1|01|1970}} | {{Nts|310000}} | {{Nts|103000}} | [[Reykjavík]] | 12,172 | 40,277 |- | {{flagicon|Liechtenstein}} | [[Liechtenstein]] | Principality of Liechtenstein | {{dts2|1|01|1991}} | {{Nts|34247}} | {{Nts|160.4}} | [[Vaduz]] | 1,786 | 25,000 |- | {{flagicon|Norway}} | [[Norway]] | Kingdom of Norway | {{dts2|3|05|1960}} | {{Nts|4721600}} | {{Nts|385155}} | [[Oslo]] | 257,400 | 55,600 |- | {{flagicon|Switzerland}} | [[Switzerland]] | Swiss Confederation (''Confoederatio Helvetica '') | {{dts2|3|05|1960}} | {{Nts|7591400}} | {{Nts|41285}} | [[Bern]] | 296,200 | 38,706 |} ==General Secretaries== General Secretaries of EFTA: *1960-1965: {{flagicon|United Kingdom}} [[Frank E. Figgures]] *1965-1972: {{flagicon|United Kingdom}} [[Sir John Coulson]] *1972-1975: {{flagicon|Sweden}} [[Bengt Rabaeus]] *1976-1981: {{flagicon|Switzerland}} [[Charles Müller]] *1981-1988: {{flagicon|Norway}} [[Per Kleppe]] *1988-1994: {{flagicon|Austria}} [[Georg Reisch]] *1994-2000: {{flagicon|Iceland}} [[Kjartan Jóhannsson]] *2000-2006: {{flagicon|Switzerland}} [[William Rossier]] *2006-present: {{flagicon|Norway}} [[Kåre Bryn]] ==Institutions== EFTA is governed by the EFTA Council and serviced by the EFTA Secretariat. In addition, in connection with the EEA Agreement of 1992, two other EFTA organisations were established, the EFTA Surveillance Authority and the EFTA Court. ===EEA-related institutions=== The [[EFTA Surveillance Authority]] and the [[EFTA Court]] regulate the activities of the EFTA members in respect of their obligations in the [[European Economic Area]] (EEA). Since Switzerland is not an EEA member, it does not participate in these institutions. The EFTA Surveillance Authority performs the [[European Commission]]'s role as "guardian of the treaties" for the EFTA countries, while the EFTA Court performs the [[European Court of Justice]]'s role for those countries. The original plan for the EEA lacked the EFTA Court or the EFTA Surveillance Authority, and instead had the European Court of Justice and the European Commission were to exercise those roles. However, during the negotiations for the EEA agreement, the European Court of Justice informed the [[Council of the European Union]] by way of letter that they considered that giving the EU institutions powers with respect to non-EU member states would be a violation of the treaties, and therefore the current arrangement was developed instead. ===Locations=== The EFTA Secretariat is headquartered in [[Geneva]], [[Switzerland]]. The EFTA Surveillance Authority has its headquarters in [[Brussels]], [[Belgium]] (the same location as the headquarters of the European Commission), while the EFTA Court has its headquarters in Luxembourg (the same location as the headquarters of the European Court of Justice). ==Portugal Fund== The Portugal Fund was established in [[1975]] when [[Portugal]] was still a member of EFTA, to provide funding for the development and reconstruction of Portugal after the end of the dictatorship. When Portugal left EFTA in [[1985]], the remaining EFTA members decided to nonetheless continue the Portugal Fund, so Portugal would continue to benefit from it. The Fund originally took the form of a low-interest loan from the EFTA member states to Portugal, to the value of 100 million [[US dollar]]s. Repayment was originally to commence in [[1988]], but EFTA then decided to postpone the start of repayments until [[1998]]. The Portugal Fund has now been dissolved by the Member States. ==International conventions== EFTA also originated the [[Hallmarking Convention]] and the [[Pharmaceutical Inspection Convention]], both of which are open to non-EFTA states. ==Relationship to the European Economic Area== The EFTA members, except for [[Switzerland]], are also members of the [[European Economic Area]] (EEA). ==International Relationships== EFTA has several free trade agreements with non-EU countries as well as declarations on cooperation and joint workgroups to improve trade. Currently, the EFTA States have established preferential trade relations with 20 States and Territories, in addition to the 27 Member States of the European Union. '''Free Trade Agreement''' *[[Canada]] *[[Chile]] *[[Croatia]] *[[Egypt]] *[[Israel]] *[[Jordan]] *[[South Korea]] *[[Lebanon]] *[[Republic of Macedonia]] *[[Mexico]] *[[Morocco]] *[[Palestinian National Authority]] *[[Singapore]] *[[Southern African Customs Union]] ([[Botswana]], [[Lesotho]], [[Namibia]], [[Swaziland]], [[South Africa]]) *[[Tunisia]] *[[Turkey]] Currently negotiating with [[Thailand]] and the [[Gulf Co-operation Council]] ([[Bahrain]], [[Kuwait]], [[Oman]], [[Qatar]], [[Saudi Arabia]], [[United Arab Emirates]]) '''Declarations on Cooperation''' *[[Albania]] *[[Algeria]] *[[Colombia]] *[[Mercosur]] ([[Brazil]], [[Argentina]], [[Uruguay]], [[Paraguay]]) *[[Peru]] *[[Serbia]] *[[Ukraine]] '''Joint workgroups''' *[[India]] *[[Indonesia]] '''Trade News''' *8 May 2008 EFTA and [[Algeria]] hold 3rd round of free trade negotiations *5 May 2008 Free Trade Agreement between EFTA and [[SACU]] *24 April 2008 EFTA and the [[Gulf Co-operation Council]] (GCC) Finalize Free Trade Negotiations ==Future of EFTA== <!--[[Image:EFTA_Trade_Relations.jpg|300px|right|EFTA Trade Relations]]--> Norwegians have rejected in referendums to join the EU on two occasions. At the time of the first [[referendum]] (1972) their neighbours the [[Denmark|Kingdom of Denmark]] joined. The second time (1994) two other [[Nordic countries|Nordic neighbours]], [[Sweden]] and [[Finland]] joined the EU. The two last governments of Norway have been unable and unwilling to advance the question, as they have both been coalition governments consisting of both proponents and opponents. Iceland is not likely to join the EU in the near future due to political indifference towards the Union. Since Switzerland rejected the [[EEA]] in 1992, referendums on EU membership have been initiated, the last time in 2001. These were rejected by clear majorities. In mid-2005, representatives of the [[Faroe Islands]] have hinted at the possibility of their territory joining EFTA. However, the chances of the Faroes' bid for membership are uncertain because, according to the EFTA Convention, only states may become members of the Association.{{Fact|date=March 2008}} ==United Kingdom== The United Kingdom benefited from the lack of common tariffs for EFTA members, by importing goods from the [[Commonwealth of Nations]] and selling them on to other EFTA members. Due to the advancement of the [[EEC]] and the decision to focus on [[Europe]], rather than the [[United States]] and Commonwealth nations such as [[Australia]], [[Canada]] and [[New Zealand]], as trading partners, the [[United Kingdom]] chose to apply for EEC membership in 1961 (however, it did not become a member until 1973). ==See also== *[[Central European Free Trade Agreement]] (CEFTA) *[[Enlargement of the European Union]] *[[Euro-Mediterranean free trade area]] (EU-MEFTA) *[[European Free Trade Area]]s *[[European Union Association Agreement]], which covers many more countries *[[Trade bloc]] *[[Schengen Agreement]] == External links== *[http://www.efta.int Official EFTA site] *[http://www.efta.int EFTA Secretariat Official EFTA site] *[http://www.efta.int/content/about-efta/history The history of EFTA in detail] *[http://www.europakommisjonen.no/en/index.htm The European Commission's Delegation to Norway and Iceland] *[http://www.ena.lu?lang=2&doc=485 European Free Trade Association] European Navigator {{EFTA}} <!--Categories--> [[Category:European Free Trade Association| ]]<!--Keep with [space] index at start of list (eponymous category)--> [[Category:1960 establishments]] [[Category:Trade blocs]] <!--Other languages--> [[frp:Associacion eropèèna de libro-èchanjo]] [[cs:Evropské sdružení volného obchodu]] [[da:EFTA]] [[de:Europäische Freihandelsassoziation]] [[et:EFTA]] [[es:Asociación Europea de Libre Comercio]] [[eo:Eŭropa Liber-Komerca Asocio]] [[eu:Europako Merkataritza Askearen Elkartea]] [[fr:Association européenne de libre-échange]] [[fy:Jeropeeske Frijhannelassosjaasje]] [[hr:EFTA]] [[ie:Association europan del comercie líber]] [[is:Fríverslunarsamtök Evrópu]] [[it:Associazione europea di libero scambio]] [[he:איגוד הסחר החופשי האירופי]] [[lt:EFTA]] [[hu:Európai Szabadkereskedelmi Társulás]] [[mk:Европска Слободна Трговска Асоцијација]] [[nl:Europese Vrijhandelsassociatie]] [[ja:欧州自由貿易連合]] [[no:EFTA]] [[oc:Associacion Europèa de Liure Escambi]] [[pl:Europejskie Stowarzyszenie Wolnego Handlu]] [[pt:Associação Europeia de Livre Comércio]] [[ro:Asociaţia Europeană a Liberului Schimb]] [[ru:Европейская ассоциация свободной торговли]] [[sk:Európske združenie voľného obchodu]] [[sr:Европска слободна трговинска асоцијација]] [[fi:Euroopan vapaakauppajärjestö]] [[sv:Europeiska frihandelssammanslutningen]] [[th:สมาคมการค้าเสรียุโรป]] [[tr:Avrupa Serbest Ticaret Birliği]] [[uk:Європейська асоціація вільної торгівлі]] [[cbk-zam:EFTA]] [[zh:欧洲自由贸易联盟]]