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Responsibilities and Transparency

in Arms Export Controls

- Prolegomena -

Nineta Bărbulescu, State SecretaryPresident of the National Agency for Export Controls

March 30th, 2004

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Motto

Export Controls is almost ”invisible” when it is well conducted and safety practiced. However, during challenging times as we are living after September 11, 2001, export controls became more and more a visible tool for implementing active non-proliferations policies and for combating international terrorism.

For state reasons, the export controls officials have to assure that it will not became a battle of indigenous political dispute.

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Content

1. Terminology2. Responsibilities in Export Controls3. Parliamentary Control over Export Controls4. Transparency in Export Controls 5. Romanian Experience in Export Controls Transparency 6. The Way Ahead for Parliamentary Control over Export Controls

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1. TerminologyExport controls

trade perspective of the international securitynon-tariff barrier for the international trade Control over export, import, re-export, international transit, transshipments operations control, other non-commercial or brokering operations with strategic items and technologies

Strategic Items

National Export Control System

ANCEX National Authority

Principles

Legislative framework

Mechanisms

Control, authorization and licensing procedures

Sanctions

Inter-institutional Councils

ARMS DUALUSE

•MILITARY•DUAL USE

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2. Responsibilities in Export ControlsProliferation of WMD

Terrorism irradiation

New political threats

International instruments for addressing and preventing these threats are:

Multilateral treaties + international verification mechanisms

National + international coordination in export controls

Sanctions + restrictive international measures mechanism

International cooperation in the field of non-proliferation

Threats for the international security

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Responsibilities in Export Control

The Government is entirely responsible for export controls policy and practices The Government is political responsible in front of the Parliament The Parliamentary oversight on Export Control is a direct consequence of the democratic principle of representationStates and even international political organizations are responsible for

transfers of military items/technologies inter secontrolled proliferation of WMD and their means of deliverypreventing and countering terrorism effectiveness of the national export control systems

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3. Parliamentary Control over Export Controls

A Post Factum control byThe implementation of the Government Program The implementation of the national defense and counterterrorism strategiesOther parliamentary procedures• The question mechanism• The interpellation mechanism• The inquiry

Motion Vote of censure

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3. Parliamentary Control over Export Controls II

During exercising legislative function by

Exercising the right of legislative initiative

Examination and consideration of the draft law • Within the parliamentary commissions or during the

plenary sessions

Art.65, para.(2) Romania Constitution

The Parliament approves national defense strategy

The Parliament exams reports from The Supreme Council for National Defense

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4. Transparency in Export controlsStability between transparency in export controls and strategic items transfers ethics are conditions sine qua non of a responsible politicsKarl von Wogau, European rapporteur for the provisions of the EU Code of Conduct on arms exports implementation, noted: “Maximum transparency is an essential prerequisite for democratic accountability as the best guarantee of peace and stability”. Reliability of export controls = inter alia coherence and inter-relationship between

Strong political willLicensing expertise and inter-agency cooperationGrowing enforcement capabilities

There are few lessons learned (e.g. Government outreach to Industry)

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Limits of Export Controls

Globalization of international trade Cheap and widely available technology Indigenous programs R&D for strategic items and technologyBorders limited controlsNew technology supplier statesUnlicensed or illicit production of strategic itemsThe behavior of supplier states is difficult to be modified

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Le

vel

of

Tech

nolo

gy

New York 2001Bali, Kenya 2002

Madrid, Spain 2004

Moscow2002

London 2003

Anthrax 2002

Oregon 1984Aum Sect 1995

Means of Terrorism

ExplosivesSALW Toxic chemical

products

Food contaminationSalmonella

SarinVXAerosols BW

WMD inmilitaryquantities

Limits of Export ControlsLevel of Technology Used in Terrorist Attacks

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Country UN European Union OSCE

Afghanistan (talibans) 2000

Talibans , Al-Qaida, Usama Bin Laden

20022004

2002

Armenia 1993 non mandatory 1992

Azerbaidjan 1993 non mandatory 1992

Bosnia and Herzegovina 2001

Congo 2003 2002

China 1989

Iraq 2003 2003

Libya 1999

Liberia 2003 2004

Myanmar 2003

Rwanda 1995

Sierra Leone 1998 1998

Somalia 2002 2002

Sudan 2004

Zimbabwe 2004

Limits of Export Controls - International Embargoes

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Reasons for Export Controls

Essential tool for the new world security architecture It strengthens the initiatives on arms limitations and disarmament It increases transparency and assures arms exports politics convergence It prevents supplying or diversion of items to terrorist activitiesIt strengthens the control for the transfer of „know how“It covers stringent criteria for scientific exchange (visa for students, scientists a s o.)It covers also transshipments, commissionaires and brokers activitiesIt turns the sensitive industry to the fight against terrorism

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5. Romanian Experience in Export Controls

2004 = the 4th consecutive year of no allegations of potential violations of arms embargo by Romanian companiesANCEX Strategy 2001-2004

Transparency, communication and cooperation program with partners within economy

Web-sites administration www.ancex.ro and www.export-control.ro

Establishment of a National Consulting Focal Pointancex@consultanta.ro

Second Report on Arms Export Controls - 2002During printing process Two versions – Romanian and English, available on the Internet

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The Way Ahead for Romanian Export Controls System

supporting governmental responsible and active non -proliferation policy specific contribution to the field of international cooperation effective and efficient mechanisms & procedures the highest standards of probity, integrity and conduct responsiveness to Government bona fidae, ethical behavior and accountability development of the civilization of compliance enlarging the ground of Export Controls incorporation within the companies corporate culture promoting a progressive transparency

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Romanian Arms Exports 1994-2002[million USD]

121,9

167,7

76,9

55,9 56,166,7

37,8

24,5

43,8

1994 1995 1996 1997 1998 1999 2000 2001 2002

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Tehnoimportexp.2%

Turbomecanica 3%

Others5%

Romtehnica 17%

Romarm44%

EMP Trade2%

Aerostar27%

Main Romanian Exporters of Military Items in 2002[% in 43,8 mil. USD]

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Main Destinations of Romanian Arms Exports in 2002

USA34%

United Kingdom2%

Bangladesh1%

Israel3%

Kuweit11%

Croatia11%

Egipt15%

India9%

Pakistan5% Others

UAE3%

Thailand2%

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ML23%

ML334%

ML1037%

ML121%

ML171%

OTHERS1%

ML112%

ML50.45%

ML41%

ML60.44%

Main ML Exported from Romania in 2002

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Geographical distribution of

Romanian Arms Exports during last 3 Years

Asia34%

North America35%

Africa15%

Europe16%

2000

America de Nord21%

Asia 49%

Africa26%

Europa4%

2001

Asia 40%

Africa18%

America de Nord37%

Europa5%

2002

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6. The Way AheadGood News for Parliamentary Control over Export Controls

The end-result: a necessary mechanism for

the warranty of a healthy national export control system

+ assurances that Export Controls is properly supervised and regulated

The mechanism requires a specially designed expertise

De lege ferenda in Romania

Specific Parliamentary Commissions will examine the annual Report on Arms Export Controls before it’s publication

• Currently, this is stipulated within the draft Law on Exports, Imports and other Operations with Military Items (initial stage).