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Internal Market
Free Movement of Goods
Free Movement of Persons
Simina Iancau, Lida Sherafatmand, and Massimiliano Colombi
Free Movement of Goods
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50 years from the Treaty of Rome
(1957) to the EU (2007)  Economic
and social progress
There have been three key
milestones since the EU has been
founded:
- Creation of Customs Union
- The Single Market
- Economic and Monetary
Union
Definition:
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The principle of free movement
of goods is one of the
cornerstones of the internal
market. This principle implies
that national barriers to the free
movement of goods within the
EU be removed.( see
www.ec.europa.eu)
Legal Instruments:
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Article 28, 29, and 30 of the EC Treaty which
prohibit measures which have an effect equivalent
to quantitative restrictions in intra Community trade.
Decision 3052/95/CE of the European Parliament
and Council of Ministers dated the 13 December
1995 established a procedure of information
exchange between Member States on national
measures which derogate from the principle of free
circulation of goods within the Community.
There is ample case law of the Court of Justice
concerning Articles 28 to 30 of the Treaty. This case
law serves as a basis for a practical guide to the
concepts and application of Articles 28 to 30 of the
EC Treaty.
Since the case "Cassis de Dijon" the principle of
Mutual Recognition, has been used in the process
of free movement of goods.
Benefits:
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The free movement of goods has generated nearly
€900 billion in extra prosperity-about €6000 per
household- in its first ten years.
It has contributed to a 30% increase in trade in
manufactured goods in the EU since 1992, thus
increasing the selection of goods available and
increasing competition.
It has made the EU more internationally
competitive. For example EU export to countries
outside the EU increased from 6.9% of the EU GDP
in 1992 to 11.2% in 2001.
It has boosted purchasing power through pressure
on prices. The gap between the EU’s highest and
lowest prices has been narrowing; some goods are
cheaper in absolute terms.
Free Movement of Persons
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Definition: “this freedom enables citizens of
one Member State to travel to others, alone
or with their families, to work there
(permanently or temporarily), to visit places
as tourists or simply to live there. The idea
behind EU legislation in this field is that
citizens from other Member States should
be treated equally with domestic ones –
they should not be discriminated against.”
(Wikipedia Encyclopaedia)
In the context of EU
integration:
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European citizenship (Maastricht Treaty
1992)
Empowerment of the labour market for
more growth (Lisbon Strategy 2000)
Adoption of common values of fundamental
human rights ( European Convention on
Human Rights- 1950)
Help easier intercultural dialogue (The ECTreaty art. 151 (1): “flowering of
culture”…”respecting their national…
diversity”)
Basic Legal Instruments and
components:
BASIC LEGAL INSTRUMENTS:
- Article 39 (ex 48) of the EC Treaty
- Regulation (EEC) No 1612/68
- Community law by Directive 73/148/EEC
- Council Directive 64/221/EEC of 25 February 1964
- Regulation 1408/71 of 14 June 1971
- Citizenship Directive 2004/38
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COMPONENTS:
- Issuing of Visas (students, workers, residences)
Family and dependents of workers
Coordination of Social security systems, Invalidity insurance
EURES, (
University exchanges for students (e.g Erasmus)
Vocational training exchanges (e.g. Leonardo Da Vinci)
Protection of human rights ( European Monitoring Centre on Racism and
Xenophobia- 1998, Charter of Fundamental Rights- 2000)
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Going ahead and meeting the
challenges:
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Patent system
European Year of Equal Opportunities, anti-discrimination
policies
Eastern European Countries feeling disadvantaged because of
‘transitional periods’.
Fear of losing national identities
“Inform citizens; ensure strict compliance with existing
Community law; make Community law on the free movement of
persons easier to understand and to restructure it around the
concept of "citizenship of the Union"; consider substantive
changes to existing law.” (conclusions suggested by EU
officials: http://europa.eu/ )
Adjusting of the welfare systems for dealing with migrant
citizens after the transitional periods are over
The Internal Market Today
 Important
benefits for
citizens and businesses
Challenges:
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The internal market is still not a
reality in all areas
Enlargement
Globalisation is changing
profoundly how our economy
works
Rapid technological change is
affecting traditional patterns of
generating wealth
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Why does the European
Commission want the
integration of internal markets of
the EU member states?
Priorities for Future Internal
Market Policy
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A stronger focus on fostering market
dynamism and innovation
Better regulation
Better implementation and
enforcement
Taking better account of the global
context
Investing more in information and
communication