Term Paper, 2010, 17 Pages
2009 Summer Semester
International Institute of Management
Mutual Recognition of Product Standards:
Regulations After 2008
A. Introduction 2
B. Internal Market 3
B.1 The Evolution of the Internal Market 3
B.2 Barriers to Trade 4
C. Old Approach (Harmonization) 5
C.1 Product Standards 6
C.2 CE Marking 6
D. New Approach (Harmonization & Mutual Recognition) 7
D.1 Mutual Recognition 8
D.2 Harmonization Vs Mutual Recognition 9
D.3 Regulations after 2008 12
E. Conclusion 13
The European Community from its establishment attempted to enhance the economic integration and also to complete it with a political one. In European Union, as we know today, there are plenty of institutions and organs that serve this aim. Common Market-and its part of Internal Market- is the main tasks of European Union and the four fundamental freedoms of goods, persons, services and capital are to be ensured and encouraged within the European area.
From the creation of European Community the removal of tariff barriers was essential for further integration, which easily came into force, by establishing Customs Union. The European Union in order to enhance the trade between the Member States and also to promote deeper integration adopted the harmonization policy, which simply means the approximation of all national laws that implies and confirms the supranational character that EU has (at least in some areas).
Although, the harmonization policy is more secure for a supranational body, as EU is, has also disadvantages that mostly came into light from the practical experience. The New Approach Directives and the principle of Mutual recognition were adopted by the EU not only due to the weaknesses of the harmonization policy but more to eliminate these weaknesses. Following there is an attempt to examine the Old in comparison with New Approach and particularly to observe the Mutual Recognition principle and the new regulations that are being into force.
B. Internal Market
One of the main tasks of the European Community is the establishment of a Common Market in order to provide and to ensure common policies and activities within the area of European Union, which potentially will accommodate the prosperity and welfare states. This is mentioned even from the second article of the establishing Treaty of European Community.
Among the numerous policies and activities that shall be included under the umbrella of Common Market (trade, competition, agriculture, transport ext.), important role has the Internal Market. An Internal Market is characterized by the abolition, as between the Member States, of obstacles to the free movement of goods, persons, services and capital.1
The Internal Market (or Single Market) is viewed as the cornerstone of the European Integration because it ensures the fundamental four freedoms (goods, persons, services and capital) in a european market without frontiers and barriers to trade. The single market is all about bringing down barriers and simplifying existing rules to enable everyone in the EU - individuals, consumers and businesses - to make the most of the opportunities offered to them by having direct access to 27 countries and 480 million people.2
1 Article 3(c), EC Treaty.
2 European Commission, The EU Single Market, http://ec.europa.eu/internal_market/top_layer/index_1_en.htm , 27/07/09
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