A New India

AGREEMENT BETWEEN THE GOVERNMENT OF INDIA AND THE GOVERNMENT OF THE FEDERAL REPUBLIC OF GERMANY

CONCERNNG TECHNICAL COOPERATION

Bonn, 25 July 1955

The Government of INDIA

The Government of the Federal Republic of GERMANY,

On the basis of the friendly relations existing between the two countries and their peoples,

DESIRING to intensify those relations,

CONSIDERING their common interest in promoting the technical and economic development of their countries,

RECOGNIZING the benefits to be derived by both countries from closer technical cowoperation,

HAVE AGREED as follows .

Article 1

(1) The Government of the Federal Republic of Germany shall, within the framework of the present Agreement, grant technical assistance to the Government of India on a basis of equal partnership.

(2) The Contracting Parties shall, on the basis of the present Agreement, conclude arrangements concerning individual projects.

(3) Technical assistance may also be granted to certain persons, agencies or organisations if the Contracting Parties so agree.

Article 2

(1) In order to attain the aims of the present Agreement the Government of the Federal Republic of Germany shall endeavour to assist the Government of India by the following measures .

(a) The promotion of specialized institutes, organizations and training centres as well as pilot projects in the Indian development sectors by sending experts, by undertaking the training of Indian nationals, and by providing equipment including, if necessary, replacements and supplementary equipment as well as spare parts.

(b) The dispatch of consultants to prepare studies on individual projects.

(c) Co-operation between the two countries in the field of education and training.

(d) Co-operation between scientific institutions in the two countries by dispatching or arranging for the dispatch of scientific personnel and by providing equipment.

(e) The provision of scholarships and training facilities for Indian nationals in the Federal Republic of Germany or in another country, or in institutions which receive assistance under German technical assistance programmes in India.

(2) All personnel to be dispatched by the Government of the Federal

Republic of Germany shall hereinafter be referred to as "experts."

Article 3

(1) The Government of India shall :

(a) provide at its expense the land and buildings required for the various projects as well as the equipment which is not supplied by the Government of the Federal Republic of Germany;

(b) bear the cost of harbour-dues, import duties, taxes or other public charges levied in India in respect of the equipment supplied under paragraph I(a) of Article 2 of this Agreement on behalf of the Government of the Federal Republic of Germany, and bear the cost of transport in India; steps shall be taken to ensure that such equipment which may be urgently required for projects and is delivered to India by air is promptly released by the competent Indian authorities;

(c) assume any taxes including sales tax on articles of equipment, replacements and spare parts procured in India at the expense of the Federal Republic of Germany;

(d) bear the running and maintenance costs incurred in execution of the projects;

(e) provide the experts with air-conditioned offices with telephones as well as transport for duty trips undertaken locally or in the project area, if necessary;

(f) provide at its expense Indian technical and auxiliary personnel, as well as interpreters and typists as required for the various projects;

(g) ensure that the experts will be replaced by qualified Indian nationals after a reasonable period of time, In so far as such personnel are undergoing training in the Federal Republic of Germany or in another country it shall in good time put forward enough candidates for such training;

It shall ensure that after completing their trainmg, the Indian nationals will be employed with the institutions or projects receiving assistance for at least five years and that appropriate consideration is given to their respective levels of training.

(2) The Contracting Parties shall upon or immediately after the conclusion of the appropriate arrangement under paragraph 2 of Article 1 of this Agreement define precisely in writing which articles of equipment shall be provided by each Contracting Party. If subsequent changes in the equipment to be supplied become necessary, such changes shall be mutually agreed upon sumciently in time before actual shipment,

(3) The articles supplied on behalf of the Federal Republic of Germany shall upon arrival in Indian territory become the property of the Government of India on condition that they remain at the unrestricted disposal of the experts for the purpose and duration of their assignment under the present Agreement.

Article 4

(1) The Government of India shall

(a) pay in respect of every expert who is employed in India for longer than three months for the duration of his assignment a fixed allowance of Rs.1000 per month for the renting of an adequate, furnished dwelling for himself and his family and to cover the cost of any duty trips in India; such fixed allowance shall continue to be paid whilst the expert is on tour, sick leave or ordinary leave as well as for the month in which •the expert has left India after concluding his assignment; it shall pay the fixed allowance for three months at a time into an account to be named by the Embassy of the Federal Republic of Germany; it shall assist the experts in obtaining suitable dwellings;

(b) exempt the experts from taxation in respect of the emoluments paid to them by the Government of the Federal Republic of Germany and guarantee that they shall not be required to pay fiscal charges, if any* payable on emoluments received by them from the Federal Republic of Germany or incidental to their professional duties in India.

(2) (a) The Government of India shall permit the experts to import free of duty their professional equipment and personal effects within a period of four months after the person concerned has first entered the country. This period shall be extended if the arrival of the families of the German experts and. other members of their households or of articles in India is delayed for special reasons.