1.  The 1st Korea-EFTA FTA Joint Study was held August 11th-13th at the EFTA Secretariat in Geneva to 
examine the necessity and feasibility of promoting an FTA between Korea and the EFTA, which is composed 
of four-member states including Switzerland, Norway, Iceland, and Lichtenstein.

2.  The Korean delegation was headed by Mr. Kim Han-Soo, Deputy Director-General for FTA Affairs at the 
Ministry of Foreign Affairs and Trade (MOFAT), and consisted of 16 people, including officials from relevant 
government ministriesand civilian experts. Mr. Christian Etter, Head of the EFTA Division at the Swiss State 
Secretariat for Economic Affairs(SECO), headed the EFTA delegation which consisted of 15 people, including 
representatives from the four member states and the EFTA Secretariat staff.

3.  At this meeting, the two sides exchanged views on (1) the present condition and evaluation of trade and 
investment between Korea and the EFTA, (2) the economic effects of an FTA, (3) the possibility of 
liberalization in each field, and (4) plans for the future.

4.  Results from our econometric analysis showed that once an FTA between Korea and the EFTA is 
concluded, a mutual $600-700 million increase in exportsand a $200 million increase in national income 
are expected.  Commenting on Korea's research results, the EFTA asserted that there will be greater profit if 
the effects of the increase in service trade and the anticipated increase in FDI after the conclusion of the FTA 
are also taken into account.

5.  In addition, both sides agreed that a comprehensive FTA including not only goods, services, and 
investment, but also including intellectual property rights, government procurement, and competition is 
desirable.  Although realistic liberalization is necessary in the field of industrial products simultaneously with 
the effectuation of the agreement, the two sides agreed that it was necessary to consider mutual sensitivity 
in the field of agriculture and consented to continue examining the conclusion of the Mutual Recognition 
Arrangement to make trade between the two sides go on smoothly.

6.  Korea and the EFTA will hold another Joint Study and present a report which will serve as the basis for 
deciding whether or not to officially commence FTA negotiations.

7.  The 2nd Korea-EFTA FTA Joint Study session is scheduled to be held October 13-15 in Seoul.

                                                                 Spokesperson for MOFAT 

* unofficial Translation