216 / 336
1.28 In the economic area the major developments
during Ireland's Presidency were the conclusion of the
negotiations with the African, Caribbean and Pacific
(ACP) countries on trade and development co-oper-
ation, the successful completion of the renegotiation of
the UK's membership of the Community, the prepar-
atory meeting for the International Energy Conference,
the agreement on right of establishment and freedom
to provide services of doctors and the response of the
Community to developments in Portugal. These and
other matters which arose during Ireland's Presidency
are covered in the relevant Chapters of this Report.
1.29 The six months of the Irish Presidency were
a period of considerable activity in the field of Euro-
pean political co-operation. Discussions of political co-
operation questions at Ministerial level took place more
frequently than had normally been the case up to then.
Th e new dimension given to relations between political
co-operation and the European Parliament through the
establishment of a questions procedure was an impor-
tant step forward.
1.30 The success achieved in rdvancing the diffi-
cult negotiations in the context of the Euro-Arab dial-
ogue leading to the first meeting of European and Arab
experts in Cairo from 10 to 14 June 1975 marked the
beginning of a new advance in relations between
Europe and the Arrb world. There was a very full
programme of meetings among the Nine at expert
level during the Presidency to discuss and consult on
a wide range of international issues, thus helping to
continue and intensify the process of contacts and ex-
change of information between the Foreign Ministers
which is an essential element of political co-operation.
Progress was also made in laying the ground-work for
more intensive consultation and co-ordination among
the N i ne on questions arising at the UN . Finally,
the Irish Presidency devoted close attention to the ex-
change of information and contacts between the N i ne
and third countries including, in particular, the US.
Right of Establishment and Freedom to Provide
Services.
6.1 Articles 52 to 66 of the EEC Treaty provide
for the abolition of restrictions on
(a)
the freedom of establishment of nationals of
one member State in the territory of another
Member State ?nd
(b)
the freedom to provide services within the
Community by nationals of Member States
who are established in a Member State other
that that of the person for whom the ser-
vices are intended.
Freedom of establishment covers the setting up of
enterprises, companies, branches, subsidiaries, etc, the
carrying on of non wageearning activities, including
professions, aiid the purchase and exploitation of land
and buildings. Services are defined as activities normal-
ly provided for remuneration other than those governed
by the provisions relating to the free movement of
goods, persons and capital. They include activities
of an industrial or commercial character, artisan activ-
ities and activities of the professions. Companies form-
ed under the law of a Member S;ate and having their
registered head office within the Community are treat-
ed in the same way as individual nationals of Mem-
ber States.
6.2 The EEC Treaty empowers the Council to
issue Directives to ensure that restrictions in Member
States are abolished. As a consequence of the judge-
ments of the Court of Justice of the European Com-
munities in the Reyners and Van Binsbergen cases
(paragraphs 6.3 to 6.5) such Directives will relate
principally to
Th e mutual recognition of diplomas, certificates
and other evidence of formal qualifications and
Th e co-ordination of provisions laid d ow
n
by law,
regulation or administrative action in member
States concerning the taking up and pursuit of
activities.
Work on Draft Directives has been in progress for
many yeaTS in the Community and a number of Dir-
ectives, concerning mainly industrial and craft activities,
have been adopted by the Council. Much less progress
has been made on Draft Directives affecting the liberal
professions largely because- of difficulties arising from
the mutual recognition of qualifications. However, re-
cent Directives on Doctors (paragraph 6.6 to 6.14)
are viewed as setting a pattern for establishing free-
dom of establishment and freedom to provide services
for other liberal professions.
Judgments in the Reyners and Van Binsbergen
Cases.
6.3 The judgment of the Court of Justice in the
case Reyners v the Belgian State (case 2 / 7 4; OJ No.
CI 14, 27 September 1974) is described in paragraphs
6.2 to 6.10 of the Fourth Report. In this case the Court
ruled that Article 52 of the EEC Treaty, which pro-
hibits restrictions on freedom of establishment, is dir-
ectly applicable in all Member States. The implications
of the judgement are under examination at Com-
munity level in a number of Council working groups
dealing with right of establishment matters. An apprais-
al of the implications of the Reyners judgment for Irish
legislation is being carried out by Government Depart-
ments in consultation With the Attorney General's
Office.
6.4 The Court's judgement in the Reyners case
related to right of establishment only. However, a
Dutch Court asked the Court of Justice for a similar
ruling on the interpretation of Articles 59 and 60 of
the EEC Treaty, which deal with freedom to provide
services (case 33 / 74; Van Binsbergen v Board of the
Trade Association of the Engineering Industry). Art-
icle 59 of the EEC Treaty provides that restrictions
on freedom to provide services within the Community
will be progressively abolished during the transitional
period in respect of nationals of Member States who
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