ERC provide the 'Euro' element to the tournament title while the WRU are using their highly successful 'tag' rugby format to provide the framework for the youngsters competing.
A group of teams will be nominated from the regional stages to take part in the final session of Eurotag at Pontcanna Fields, Cardiff, on as part of the European festival of rugby the morning of the Heineken Cup final.
"We are delighted to be working with both the WRU and the Welsh Assembly Government on this new initiative," said ERC Chairman Jean-Pierre-Lux.
"The emphasis is all on participation, fun and raising children's awareness of sport.
"The young players who come to Cardiff for the final session will kick-start what we believe will be another great day of rugby action in the Welsh capital. We hope the Eurotag tournament will be an annual event and become part of the positive legacy of European club rugby. Perhaps one day one of these youngsters will graduate into professional rugby and actually make it to the Millennium Stadium and play in a major European club final."
The WRU's Community Rugby Manager Phil John is masterminding the Eurotag programme and the action is due to kick-off around the regions next month.
Alun Pugh, Welsh Sports Minister said, "The Eurotag competition is a welcome addition to the weekend's events in the Welsh capital on Saturday 20 May as it is a good way to get children and young people involved in sport, something the Welsh Assembly Government is keen to encourage as part of its Health Challenge Wales initiative."
Phillip John, WRU Community Rugby Manager said: "Tag rugby is great fun and it's safe and simple. It's an important part of the development pathway for youngsters in rugby in Wales.
"This festival reflects the ethos of the game at this age group which is all about participation, fun and fair play."
Eurotag Events in Wales 2006
Cardiff March 26
Maesteg March 26
Llandudno March 30
Pontypool April 9
Haverfordwest April 14
Finals Day, Pontcanna Fields, Cardiff Saturday May 20