Astrid Boschker Senior Advisor Offset and Industrial Benefits Netherlands Ministry of Economic Affairs Workshop Session "The Application of Abatements in Offset: towards a Code of Conduct" 3rd International Seminar on Offset and Industrial Cooperation May 2007, Jerusalem

May 7-9, rd International Seminar on Offset and Industrial Cooperation 2 Contents 1.Background and goal 2.Definition 3.Benefits 4.Guiding principles

May 7-9, rd International Seminar on Offset and Industrial Cooperation 3 Background –workshop discussion 2nd Seminar on Industrial Cooperation and Offset, Madrid –interested countries: UK, Finland, Spain, Belgium, South-Africa, Israel, The Netherlands Goal –Code of Conduct on Mutual Abatements: guiding principles –Invitation to all interested countries 1.Background and goal

May 7-9, rd International Seminar on Offset and Industrial Cooperation 4 Arrangement between two or more countries to exchange the value of goods or services purchased by the government authorities to reduce the offset commitments in each of the countries. The intention is that the industry of each country benefits from the transaction by reducing the existing offset commitment or preventing the need for one. 2. Definition

May 7-9, rd International Seminar on Offset and Industrial Cooperation 5 Maximising the beneficial effect of exports Reduce Offset Costs Make it easier to export for smaller companies 3. Benefits

May 7-9, rd International Seminar on Offset and Industrial Cooperation 6 Application and value Timing and participants Number of participants Procedure of an abatement 4. Guiding principles

May 7-9, rd International Seminar on Offset and Industrial Cooperation 7 Questions Discussion