6th meeting of the Stabilisation and Association Committee between the EU and Croatia

This meeting constitutes an integral part of the regular dialogue within the framework of the Stabilisation and Association Agreement and presents an opportunity for both parts to exchange standpoints on recent developments regarding political and economic criteria

The Stabilisation and Association Committee between the EU and Croatia met for the sixth time since the entry into force of the Stabilisation and Association Agreement on 1 February 2005. The meeting took place on 8 December at a time when accession negotiations with Croatia have entered into a final stage. Negotiations are opened in 34 chapters as well as provisionally closed in 25 chapters, which presents a great achievement for both sides.

The meeting was chaired by the Croatian side and headed by Mr. Andrej Plenković, State Secretary for European Integration at the Ministry of Foreign Affairs and European Integration of the Republic of Croatia. Mrs. Alexandra Cas-Granje, Director in the European Commission’s Directorate General for Enlargement headed the delegation of the European Commission.

The exchange of views between two parties was held in a good and productive atmosphere and the discussion mostly concentrated on the latest advancement of Croatia, with special regard to political and economic criteria, as well as on Croatia’s progress in alignment with the acquis. The European Commission referred to the results of its 2010 Progress Report as well.

In regard to political criteria, the Committee noticed progress made in the reform of judiciary, but also encouraged Croatia to continue with reducing the case backlogs and improving the independence of judiciary, including by fully implementing the new system of judicial appointments. The Committee noted progress in other areas. Particular attention was given to the need for further efforts in the fight against corruption and organised crime, respect for and protection of minorities, including refugee return, war crimes trials. The Committee reiterated that full cooperation with the ICTY remained essential, in line with the Negotiating Framework. The Committee also underlined that priority should be given to public administration reform. The Committee stressed the importance of regional cooperation and welcomed progress made by Croatia in fostering the good- neighbourly relations.

As regards economic criteria, recent economic developments and progress with structural reforms were discussed and particular emphasis was given to the response of Croatia to the global financial crisis by implementation of the Economic Recovery Programme. The Committee underlined the need to develop long-term fiscal strategies and implement prudent macroeconomic policies to be able to accelerate structural reforms and address budget imbalances. Ensuring a higher level of employment and its enhanced structure should become a prerequisite for solving the weaknesses of the labour market.

The Committee reviewed progress in the implementation of the Stabilisation and Association Agreement and approximation with the acquis in negotiations chapters. Significant progress was acknowledged in most of the areas of legislative alignment with the EU acquis but also in developing necessary administrative capacity. The European Union urged Croatia to finalise the process of shipyard restructuring in line with the obligations under the SAA and the EU rules on state-aid.

Stabilisation and Association Committee as a conclusion stated that Croatia achieved significant progress on its way to the EU but the overall reform process should continue, with further focussing on fulfilling obligations under the Stabilisation and Association Agreement and on meeting all the membership criteria.

Background:

The Stabilisation and Association Committee is a joint body comprising of representatives from the European Commission and the EU Member States, on one side, and of representatives from the Government of Croatia, on the other. The main task of the Stabilisation and Association Committee is to review the implementation of the Stabilisation and Association Agreement, which had entered into force on 1 February 2005 and is a comprehensive agreement which provides the contractual framework for relations between the EU and Croatia during the pre-accession period. It establishes a political dialogue, provides the creation of a free trade area for industrial products and most agricultural products, foresees the approximation of Croatian legislation to the acquis, and wide-ranging cooperation in all areas of EU policies.

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