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Community preference was a concept in theEuropean Union and its predecessor organisation theEuropean Communities in which all themember states would be encouraged by theInstitutions of the European Union and theTreaties of the European Union to give priority preference to all goods,[1] trade, services, agricultural products[2] and people[1] from their fellow EU member states over all goods, trade, services and people from non-EU countries.[3][4][additional citation(s) needed] Proponents argued that this would add to the benefits of EU membership by encouraging the member states to trade with each other rather than to trade with non-EU counties who are outside the bloc. It would serve as an integral part of thefreedom of movement for workers in the European Union as well as theEuropean Single Market and theEuropean Union Customs Union.[5]
Community preference would not apply to countries of theEuropean Free Trade Association even though they were members of theEuropean Single Market and observed freedom of movement rules.[citation needed]
It was one of the founding principles of the establishment of theEuropean Communities (which would later become theEuropean Union) when theTreaty of Rome was signed in 1958.[citation needed] But in a judgment in 1994Greece v Council, Case C-353/92, the European Court of Justice (ECJ) confirmed that Community preference was not a principle of EU law. Its legal basis, Article 44 of the Treaty of Rome, was repealed by the 1997 Amsterdam Treaty.[5]