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( 1 ) OJ NO C 273 , 26 . 10 . 1981 , P . 1 .

( 2 ) OJ NO C 327 , 14 . 12 . 1981 , P . 107 .

( 3 ) OPINION DELIVERED ON 29 OCTOBER 1981 ( NOT YET PUBLISHED IN THE OFFICIAL JOURNAL ) .

( 4 ) OJ NO L 148 , 28 . 6 . 1968 , P . 1 .

( 5 ) OJ NO L 130 , 27 . 5 . 1980 , P . 2 .

COUNCIL REGULATION ( EEC ) NO 3601/81 OF 7 DECEMBER 1981 APPLYING GENERALIZED TARIFF PREFERENCES FOR 1982 IN RESPECT OF CERTAIN INDUSTRIAL PRODUCTS ORIGINATING IN DEVELOPING COUNTRIES

THE COUNCIL OF THE EUROPEAN COMMUNITIES ,

HAVING REGARD TO THE TREATY ESTABLISHING THE EUROPEAN ECONOMIC COMMUNITY ,

HAVING REGARD TO THE PROPOSAL FROM THE COMMISSION ( 1 ) ,

HAVING REGARD TO THE OPINION OF THE EUROPEAN PARLIAMENT ( 2 ) ,

HAVING REGARD TO THE OPINION OF THE ECONOMIC AND SOCIAL COMMITTEE ( 3 ) ,

WHEREAS , IN ACCORDANCE WITH ITS OFFER MADE WITHIN THE CONTEXT OF THE UNITED NATIONS CONFERENCE ON TRADE AND DEVELOPMENT ( UNCTAD ) , THE EUROPEAN ECONOMIC COMMUNITY OPENED GENERALIZED TARIFF PREFERENCES COMMENCING IN 1971 , NOTABLY IN RESPECT OF FINISHED AND SEMI-FINISHED INDUSTRIAL PRODUCTS FROM DEVELOPING COUNTRIES ; WHEREAS THE INITIAL 10-YEAR PERIOD OF APPLICATION OF THIS SYSTEM OF PREFERENCES EXPIRED ON 31 DECEMBER 1980 ;

WHEREAS , HOWEVER , THE POSITIVE ROLE PLAYED BY THIS SYSTEM IN IMPROVING ACCESS FOR DEVELOPING COUNTRIES TO THE MARKETS OF THE PREFERENCE-GIVING COUNTRIES WAS RECOGNIZED AT THE NINTH SESSION OF THE UNCTAD SPECIAL COMMITTEE ON PREFERENCES ; WHEREAS IT WAS THERE AGREED THAT THE OBJECTIVES OF THE GENERALIZED PREFERENCE SCHEME WOULD NOT BE FULLY ACHIEVED BY THE END OF 1980 , THAT CONSEQUENTLY IT SHOULD BE PROLONGED BEYOND THE INITIAL PERIOD AND THAT AN OVERALL REVIEW OF THE SYSTEM SHOULD TAKE PLACE IN 1990 ;

WHEREAS , THEREFORE , THE COMMUNITY HAS DECIDED TO APPLY GENERALIZED TARIFF PREFERENCES , IN THE CONTEXT OF THE CONCLUSIONS AGREED IN UNCTAD IN ACCORDANCE WITH THE INTENTION EXPRESSED IN THE SAID COMMITTEE , IN PARTICULAR BY ALL THE PREFERENCE-GIVING COUNTRIES ;

WHEREAS THE TEMPORARY AND NON-BINDING NATURE OF THE SYSTEM MEANS THAT THE OFFER CAN BE WITHDRAWN WHOLLY OR IN PART AT A LATER DATE , THUS MAINTAINING THE POSSIBILITY OF REMEDYING ANY UNFAVOURABLE SITUATIONS WHICH MIGHT ARISE FOLLOWING IMPLEMENTATION OF THE SYSTEM , INCLUDING SUCH SITUATIONS IN THE AFRICAN , CARIBBEAN AND PACIFIC STATES ( ACP STATES ) ;

WHEREAS EXPERIENCE IN THE INITIAL PERIOD HAS SHOWN THAT THE COMMUNITY SCHEME HAS TO A LARGE EXTENT ACHIEVED ITS INTENDED OBJECTIVES ; WHEREAS ITS FUNDAMENTAL FEATURES , IN PARTICULAR THE TOTAL SUSPENSION OF CUSTOMS DUTIES , WITHIN CERTAIN LIMITS , SHOULD THEREFORE BE MAINTAINED ; WHEREAS ANY ADJUSTMENTS SHOULD ESSENTIALLY MEET THE JOINT REQUIREMENTS OF SIMPLIFICATION AND DIFFERENTIAL APPLICATION OF PREFERENTIAL ADVANTAGES , AS THESE ARE LIKELY TO IMPROVE THE TRANSPARENCY OF THE SYSTEM AND TO EASE ITS ADMINISTRATION ;

WHEREAS USE OF THE PREFERENTIAL ADVANTAGES IN THE 1970S WAS CONCENTRATED ON A LIMITED NUMBER OF PRODUCTS AND BENEFICIARY COUNTRIES ; WHEREAS IT IS THEREFORE NECESSARY TO ENSURE A BETTER DISTRIBUTION OF THE PREFERENTIAL ADVANTAGES IN ORDER TO PROVIDE PRACTICAL ASSISTANCE FOR THE INDUSTRIAL DEVELOPMENT OF A GREATER NUMBER OF DEVELOPING COUNTRIES , ESPECIALLY THE LEAST DEVELOPED ; WHEREAS , AT THE SAME TIME , TO TAKE ACCOUNT OF THE LIMITS TO THE COMMUNITY MARKET'S ABSORPTION CAPACITY AND THE EXISTENCE OF COMMUNITY PRODUCTION , THE WIDEST POSSIBLE PREFERENTIAL ACCESS SHOULD BE ACCORDED TO THE LESS COMPETITIVE DEVELOPING COUNTRIES AND THE PREFERENTIAL ADVANTAGES ENJOYED BY THE MORE COMPETITIVE BENEFICIARY COUNTRIES ACCORDINGLY LIMITED IN THE CASE OF SPECIFIC PRODUCTS ;

WHEREAS , THEREFORE , PROVISION IS MADE UNDER THE NEW SCHEME FOR A DIFFERENTIAL APPLICATION OF PREFERENTIAL TREATMENT ; WHEREAS THE PRODUCTS AND COUNTRIES TO BE TREATED SELECTIVELY ARE DETERMINED OVERALL ON THE BASIS OF CRITERIA RELATING TO THE DEGREE AND LEVEL OF THOSE COUNTRIES' DEVELOPMENT AND INDUSTRIALIZATION , THEIR COMPETITIVENESS AND THE SENSITIVITY OF THE COMMUNITY INDUSTRIES AND MARKETS FOR THE PRODUCTS IN QUESTION ;

WHEREAS ACCORDING EACH BENEFICIARY TREATMENT APPROPRIATE TO ITS SITUATION ALLOWS FOR MORE EQUITABLE ACCESS TO THE PREFERENCE SYSTEM ; WHEREAS A SIMPLIFIED AND MORE TRANSPARENT SYSTEM INVOLVES THE APPLICATION OF SEPARATE TARIFF CEILING ARRANGEMENTS FOR EACH BENEFICIARY EXCEPT FOR THE LEAST-DEVELOPED DEVELOPING COUNTRIES ;

WHEREAS TARIFF PREFERENCES HAVE BEEN APPLIED ON THIS NEW BASIS SINCE 1 JANUARY 1981 AND WHEREAS IT IS THE INTENTION TO CONTINUE TO APPLY THEM DURING THE YEARS 1982 TO 1985 ; WHEREAS THE TARIFF CEILING ARRANGEMENTS MENTIONED ABOVE SHOULD DIFFERENTIATE BETWEEN THE PRODUCTS IN ANNEX A BY MEANS OF COMMUNITY TARIFF QUOTAS FOR PRODUCTS ORIGINATING IN THE MOST COMPETITIVE COUNTRIES AND BY MEANS OF CEILINGS FOR PRODUCTS IN ANNEX A ORIGINATING IN OTHER LESS COMPETITIVE COUNTRIES ;

WHEREAS THE PRODUCTS IN ANNEX B SHOULD BE MADE SUBJECT TO SURVEILLANCE FOR ESSENTIALLY STATISTICAL PURPOSES ;

WHEREAS , HOWEVER , IN THE MULTILATERAL TRADE NEGOTIATIONS , IN ACCORDANCE WITH PARAGRAPH 6 OF THE TOKYO DECLARATION , THE COMMUNITY REAFFIRMED THAT SPECIAL TREATMENT SHOULD , WHENEVER POSSIBLE , BE GRANTED TO THE LEAST DEVELOPED AMONG THE DEVELOPING COUNTRIES ; WHEREAS , THEREFORE , CHARGES ON PRODUCTS ORIGINATING IN THE LEAST DEVELOPED OF THE DEVELOPING COUNTRIES LISTED IN ANNEX D TO THIS REGULATION SHOULD NOT BE SUBJECT TO THE COMMUNITY QUOTA OR CEILING ;

WHEREAS THE REFERENCE BASE TO BE CONSIDERED WHEN EXAMINING THE SITUATION RESULTING FROM AN INCREASE OF IMPORTS OF PRODUCTS LISTED IN ANNEX B SHOULD , AS A GENERAL RULE , BE 120 % OF THE HIGHEST MAXIMUM AMOUNT VALID FOR 1980 UNDER EACH OF THE PREFERENTIAL CEILINGS OPENED THAT YEAR ;

WHEREAS THE RATES OF CONVERSION INTO NATIONAL CURRENCIES OF THE PREFERENTIAL AMOUNTS EXPRESSED IN ECU ARE THE RATES PROVIDED FOR IN THE COMMON CUSTOMS TARIFF ; WHEREAS , HOWEVER , IN THE CASE OF PRODUCTS FALLING WITHIN HEADINGS AND SUBHEADINGS 41.02 EX C , 42.02 , 42.03 A , B II AND III AND C , 64.01 ,64.02 , 85.15 A III B ) AND C II C ) , 85.21 D AND E , 94.01 B II AND 94.03 B , PROVISION SHOULD BE MADE FOR A RATE OF CONVERSION INTO NATIONAL CURRENCIES OF THE PREFERENTIAL AMOUNTS EXPRESSED IN ECU WHICH WILL GRADUALLY BE ALIGNED ON THE NORMAL RATE PROVIDED FOR IN THE COMMON CUSTOMS TARIFF ;

WHEREAS SUCH TARIFF EXEMPTIONS SHOULD BE RESERVED FOR PRODUCTS ORIGINATING IN THE COUNTRIES OR TERRITORIES UNDER CONSIDERATION , THE CONCEPT OF " ORIGINATING PRODUCTS " BEING DETERMINED IN ACCORDANCE WITH THE PROCEDURE LAID DOWN IN ARTICLE 14 OF COUNCIL REGULATION ( EEC ) NO 802/68 OF 27 JUNE 1968 ON THE COMMON DEFINITION OF THE CONCEPT OF THE ORIGIN OF GOODS ( 4 ) ;

WHEREAS THE COMMUNITY PREFERENCE ARRANGEMENTS , APPLICABLE TO YUGOSLAVIA , RESULT EXCLUSIVELY FROM PROVISIONS ADOPTED WITHIN THE FRAMEWORK OF THE INTERIM AGREEMENT BETWEEN THE COMMUNITY AND THE SOCIALIST FEDERAL REPUBLIC OF YUGOSLAVIA ( 5 ) ; WHEREAS , THEREFORE , YUGOSLAVIA IS INCLUDED IN THE LIST OF BENEFICIARY COUNTRIES ONLY FOR PRODUCTS LISTED IN ANNEX B TO THE PRESENT REGULATION ;

WHEREAS , SINCE 1 JANUARY 1981 , THE HELLENIC REPUBLIC HAS APPLIED THE COMMUNITY SYSTEM OF GENERALIZED PREFERENCES IN ACCORDANCE WITH ARTICLE 117 OF THE ACT OF ACCESSION OF 1979 ;

WHEREAS , IN RESPECT OF THE COMMUNITY TARIFF QUOTAS SPECIFIED IN ANNEX A , IT IS NECESSARY IN PARTICULAR TO ENSURE EQUAL AND CONTINUOUS ACCESS FOR ALL COMMUNITY IMPORTERS TO THE ABOVEMENTIONED QUOTAS , AND TO ENSURE UNINTERRUPTED APPLICATION OF THE RATE LAID DOWN FOR THOSE QUOTAS TO ALL IMPORTS OF THE PRODUCTS CONCERNED INTO ALL THE MEMBER STATES UNTIL THE QUOTAS ARE USED UP ; WHEREAS , HAVING REGARD TO THE PRINCIPLES SET OUT ABOVE , AN ARRANGEMENT WHEREBY THE QUOTAS ARE APPORTIONED AMONG THE MEMBER STATES WOULD BEST RESPECT THEIR COMMUNITY NATURE ; WHEREAS , MOREOVER , TO THIS END AND IN THE CONTEXT OF SUCH AN ARRANGEMENT , THE ACTUAL CHARGES AGAINST THE QUOTAS COULD RELATE ONLY TO PRODUCTS ENTERED FOR FREE CIRCULATION AND ACCOMPANIED BY A CERTIFICATE OF ORIGIN ;

WHEREAS THE APPLICATION OF THE GENERALLY ACCEPTED PRINCIPLES IN RESPECT OF THE APPORTIONMENT OF THE COMMUNITY TARIFF QUOTAS WHICH HAVE BEEN OPENED HITHERTO CANNOT BE RECONCILED WITH THE CONTINUITY NECESSARY FOR THE APPLICATION OF THE TARIFF PREFERENCES CONCERNED ; WHEREAS IT WOULD ACCORDINGLY BE ADVISABLE TO ADOPT A FIXED SCALE FOR APPORTIONING THE COMMUNITY TARIFF QUOTAS CONCERNED AMONG THE MEMBER STATES ; WHEREAS , USING AS A BASIS GENERAL ECONOMIC CRITERIA RELATING TO EXTERNAL TRADE , GROSS NATIONAL PRODUCT AND POPULATION , THE PERCENTAGES FOR THE INITIAL SHARES OF THE MEMBER STATES IN THE QUOTA AMOUNTS ARE AS FOLLOWS FOR THE QUOTA YEAR UNDER CONSIDERATION :

BENELUX 10.5 %

DENMARK 5 %

GERMANY 27.5 %

GREECE 2 %

FRANCE 19 %

IRELAND 0.5 %

ITALY 14.5 %

UNITED KINGDOM 21 %

WHEREAS , HOWEVER , TAKING INTO ACCOUNT THE MORE PRECISE INFORMATION ALREADY AVAILABLE CONCERNING TRADE IN PLYWOOD , BLOCKBOARD , LAMINBOARD , BATTENBOARD AND SIMILAR LAMINATED PRODUCTS , FALLING WITHIN HEADING NO 44.15 OF THE COMMON CUSTOMS TARIFF , THE ABOVEMENTIONED PERCENTAGES SHOULD BE REPLACED BY : 4.44 % , 5.99 % , 7.76 % , 0.19 % , 0.29 % , 1.94 % , 0.87 % AND 78.52 % RESPECTIVELY ;

WHEREAS , TO TAKE ACCOUNT OF FUTURE IMPORT TRENDS IN THE VARIOUS MEMBER STATES IN RESPECT OF THE TARIFF QUOTAS GIVEN IN ANNEX A AND TO MITIGATE ANY INADEQUACY IN THE FIXED-SCALE ALLOCATION , THE QUOTAS SHOULD , AS A GENERAL RULE , BE DIVIDED INTO TWO TRANCHES , THE FIRST BEING APPORTIONED AMONG MEMBER STATES AND THE SECOND HELD AS A RESERVE TO COVER THE SUBSEQUENT REQUIREMENTS OF MEMBER STATES WHICH HAVE EXHAUSTED THEIR INITIAL SHARES ; WHEREAS , MOREOVER , THE RESERVE THUS CONSTITUTED TENDS TO AVOID MAKING THE SYSTEM OF UTILIZATION OF THE QUOTA EXCESSIVELY RIGID , TO THE DETRIMENT OF EACH OF THE DEVELOPING COUNTRIES CONCERNED , AND CONTRIBUTES TO ACHIEVING THE AIM ALREADY MENTIONED OF IMPROVING THE GENERALIZED PREFERENCES SYSTEM ; WHEREAS , TO THIS END AND TO ACCORD IMPORTERS IN EACH MEMBER STATE SOME DEGREE OF SECURITY , THE FIRST TRANCHE OF THE COMMUNITY QUOTA SHOULD BE FIXED AT ABOUT 80 % OF THE QUOTA VOLUMES ;

WHEREAS MEMBER STATES MAY EXHAUST THEIR INITIAL SHARES FOR THE TARIFF QUOTAS GIVEN IN ANNEX A AT DIFFERENT RATES ; WHEREAS , TO AVOID DISRUPTION OF SUPPLIES ON THIS ACCOUNT , IT SHOULD BE PROVIDED THAT EACH MEMBER STATE WHICH HAS ALMOST USED UP ONE OF ITS INITIAL SHARES SHOULD DRAW AN ADDITIONAL SHARE FROM THE CORRESPONDING RESERVE ; WHEREAS THIS MUST BE DONE BY EACH MEMBER STATE AS AND WHEN EACH OF ITS ADDITIONAL SHARES IS ALMOST ENTIRELY USED UP AND REPEATED AS MANY TIMES AS EACH OF THE RESERVES ALLOWS ; WHEREAS EACH OF THESE INITIAL AND ADDITIONAL SHARES MUST BE AVAILABLE FOR USE UNTIL THE END OF THE QUOTA PERIOD ; WHEREAS , HOWEVER , IT SEEMS ADVISABLE TO PERMIT THE MEMBER STATES TO LIMIT THE EXERCISE OF THEIR TOTAL OBLIGATION TO DRAW ON THE RESERVE AMOUNT TO AT LEAST 40 % OF THEIR INITIAL SHARE ;

WHEREAS , IF , AT A SPECIFIED DATE IN THE QUOTA PERIOD , A CONSIDERABLE BALANCE REMAINS IN ONE OF THE INITIAL SHARES OF ONE OR OTHER MEMBER STATE , IT IS ESSENTIAL THAT THAT MEMBER STATE RETURN A PORTION OF IT TO THE CORRESPONDING RESERVE IN ORDER TO PREVENT A PART OF THE COMMUNITY QUOTA FROM REMAINING UNUSED IN ONE MEMBER STATE WHEN IT COULD BE USED IN OTHERS ;

WHEREAS , IN THE CASE OF THE COMMUNITY TARIFF CEILINGS LISTED IN ANNEX A , THE DESIRED OBJECTIVES MAY BE ATTAINED BY APPLYING A METHOD OF ADMINISTRATION BASED ON THE CHARGING AT COMMUNITY LEVEL , AGAINST THE ABOVEMENTIONED CEILINGS , OF IMPORTS OF THE PRODUCTS CONCERNED AS AND WHEN THESE PRODUCTS ARE ENTERED FOR FREE CIRCULATION AND ARE ACCOMPANIED BY A CERTIFICATE OF ORIGIN ; WHEREAS THIS METHOD OF ADMINISTRATION MUST MAKE PROVISION FOR THE REINTRODUCTION OF THE LEVYING OF CUSTOMS DUTIES , IN ACCORDANCE WITH THE APPROPRIATE PROCEDURES , AS SOON AS THE SAID CEILINGS ARE REACHED AT COMMUNITY LEVEL ;

WHEREAS , IN THE CASE OF THE PRODUCTS LISTED IN ANNEX B , PROVISION SHOULD BE MADE FOR THE POSSIBILITY OF REINTRODUCING THE LEVYING OF CUSTOMS DUTIES IN EXCEPTIONAL CASES AND IN ACCORDANCE WITH APPROPRIATE PROCEDURES AND RULES ;

WHEREAS SUCH METHODS OF ADMINISTRATION CALL FOR CLOSE AND PARTICULARLY RAPID COOPERATION BETWEEN MEMBER STATES AND THE COMMISSION , WHICH MUST , IN PARTICULAR , BE ABLE TO OBSERVE THE EXTENT TO WHICH CHARGES ARE MADE AGAINST THE QUOTAS AND CEILINGS AND INFORM THE MEMBER STATES THEREOF ; WHEREAS SUCH COOPERATION SHOULD BE PARTICULARLY CLOSE IN VIEW OF THE NEED FOR THE COMMISSION TO BE ABLE TO TAKE APPROPRIATE MEASURES TO REINTRODUCE THE LEVYING OF CUSTOMS DUTIES WHEN ANY OF THE CEILINGS IS REACHED ;

WHEREAS , SINCE THE KINGDOM OF BELGIUM , THE KINGDOM OF THE NETHERLANDS AND THE GRAND DUCHY OF LUXEMBOURG ARE UNITED WITHIN AND JOINTLY REPRESENTED BY THE BENELUX ECONOMIC UNION , ALL TRANSACTIONS CONCERNING , IN PARTICULAR , THE ADMINISTRATION OF QUOTA SHARES ALLOCATED TO THAT ECONOMIC UNION MAY BE CARRIED OUT BY ANY ONE OF ITS MEMBERS ,

HAS ADOPTED THIS REGULATION :

ARTICLE 1

1 . FROM 1 JANUARY TO 31 DECEMBER 1982 , THE COMMON CUSTOMS TARIFF DUTIES ON THE PRODUCTS LISTED IN ANNEXES A AND B SHALL BE TOTALLY SUSPENDED . IN THE CASE OF THE PRODUCTS LISTED IN ANNEX A , THIS TARIFF SUSPENSION SHALL BE ACCORDED WITHIN THE FRAMEWORK OF TARIFF QUOTAS AND CEILINGS . THE PRODUCTS LISTED IN ANNEX B SHALL , AS A GENERAL RULE , BE SUBJECT TO STATISTICAL SURVEILLANCE EVERY THREE MONTHS ON THE REFERENCE BASE REFERRED TO IN ARTICLE 12 .

IMPORTS INTO GREECE OF THE PRODUCTS REFERRED TO ABOVE SHALL BE SUBJECT TO THE CUSTOMS DUTIES ESTABLISHED IN ACCORDANCE WITH ARTICLE 117 OF THE ACT OF ACCESSION OF 1979 .

FOR THE PURPOSES OF THE APPLICATION OF THIS REGULATION , THE PREFERENTIAL AMOUNTS EXPRESSED IN ECU AND THE RATES FOR THEIR CONVERSION INTO NATIONAL CURRENCIES SHALL BE THOSE LAID DOWN IN THE COMMON CUSTOMS TARIFF .

HOWEVER , FOR PRODUCTS FALLING UNDER HEADINGS AND SUBHEADINGS 41.02 EX C , 42.02 , 42.03 A , B II AND III AND C , 64.01 , 64.02 , 85.15 A III B ) AND C II C ) , 85.21 D AND E , 94.01 B II AND 94.03 B , CONVERSION INTO NATIONAL CURRENCIES OF THE PREFERENTIAL AMOUNTS EXPRESSED IN ECU SHALL BE CARRIED OUT IN ACCORDANCE WITH THE FOLLOWING RATES :

1 ECU =

DM 3.189852

BFRS 46.28908

LFRS 46.28908

FL 3.277896

FF 5.714934

LIT 881.12

DKR 7.629304

POUND IRL 0.522821

POUND 0.48305

DR 42.58968

2 . THE ARRANGEMENTS PROVIDED FOR IN PARAGRAPH 1 SHALL APPLY SOLELY :

- TO EACH COUNTRY OR TERRITORY LISTED IN COLUMN 4 OF ANNEX A , FOR EACH CATEGORY OF PRODUCTS LISTED IN COLUMNS 2 AND 3 ,

- FOR THE SAME CATEGORIES OF PRODUCTS LISTED IN ANNEX A TO EVERY OTHER COUNTRY OR TERRITORY LISTED IN ANNEX C , EXCEPTING YUGOSLAVIA ,

- TO EACH OF THE COUNTRIES OR TERRITORIES LISTED IN ANNEX C , FOR THE CATEGORIES OF PRODUCTS LISTED IN ANNEX B ,

SUBJECT TO OBSERVANCE OF THE CONCEPT OF ORIGINATING PRODUCTS .

3 . IMPORTS ALREADY ENJOYING EXEMPTION FROM CUSTOMS DUTIES UNDER OTHER PREFERENTIAL TARIFF ARRANGEMENTS GRANTED BY THE COMMUNITY SHALL NOT BE CHARGED AGAINST THESE TARIFF QUOTAS OR CEILINGS . ADMISSION TO THE PREFERENTIAL ARRANGEMENTS SET UP BY THIS REGULATION SHALL BE SUBJECT TO CONFORMITY WITH THE CONCEPT OF " ORIGINATING PRODUCTS " DETERMINED IN ACCORDANCE WITH THE PROCEDURE LAID DOWN IN ARTICLE 14 OF REGULATION ( EEC ) NO 802/68 .

FOR PRODUCTS ORIGINATING IN YUGOSLAVIA , WHICH ARE SUBMITTED TO COMMUNITY TARIFF CEILINGS OR TO A PROGRESSIVE ABOLITION OF CUSTOMS DUTIES WITHIN THE FRAMEWORK OF THE AGREEMENT BETWEEN THE COMMUNITY AND YUGOSLAVIA , THE MOVEMENT CERTIFICATE EUR 1 SHALL BE DEEMED THE ONLY DOCUMENTARY EVIDENCE FOR THE GRANTING OF TARIFF PREFERENCES .

4 . THE COMMUNITY TARIFF QUOTAS AND CEILINGS SHALL BE ADMINISTERED IN ACCORDANCE WITH THE PROVISIONS SET OUT BELOW .

SECTION I

PROVISIONS CONCERNING THE ADMINISTRATION OF THE COMMUNITY TARIFF QUOTAS RELATING TO THE PRODUCTS LISTED IN ANNEX A

ARTICLE 2

THE TOTAL SUSPENSION OF CUSTOMS DUTIES WITHIN THE FRAMEWORK OF THE COMMUNITY TARIFF QUOTAS REFERRED TO IN ARTICLE 1 ( 1 ) SHALL BE ACCORDED TO EACH COUNTRY OR TERRITORY LISTED IN COLUMN 4 OF ANNEX A , FOR THE PRODUCTS SPECIFIED IN COLUMNS 2 AND 3 AGAINST THE NAME OF THE COUNTRY OR TERRITORY CONCERNED , TOGETHER WITH DETAILS IN COLUMN 5 OF THE AMOUNT OF THE INDIVIDUAL QUOTA .

ARTICLE 3

1 . A FIRST TRANCHE OF 80 % OF EACH OF THE COMMUNITY TARIFF QUOTAS LISTED IN ANNEX A , THE AMOUNT OF WHICH IS SHOWN IN COLUMN 6 OF ANNEX A , SHALL BE APPORTIONED AMONG THE MEMBER STATES ; THE SHARES FOR EACH MEMBER STATE SHALL , SUBJECT TO ARTICLE 6 , BE VALID UNTIL 31 DECEMBER 1982 AND SHALL BE THOSE INDICATED IN COLUMN 7 OF ANNEX A AGAINST EACH OF THE CATEGORIES OF PRODUCTS SUBJECT TO QUOTA LISTED THEREIN .

IN THE CASE OF PRODUCTS FALLING WITHIN HEADING NO 44.15 , HOWEVER , THE FIRST TRANCHE SHALL AMOUNT TO 98 % OF THE QUOTA AMOUNT .

2 . THE SECOND TRANCHE OF EACH OF THE TARIFF QUOTAS SHALL CONSTITUTE THE RESERVE SPECIFIED IN EACH CASE IN COLUMN 8 OF ANNEX A .

ARTICLE 4

1 . WHERE A MEMBER STATE HAS USED 90 % OR MORE OF ONE OF ITS INITIAL SHARES AS FIXED IN ANNEX A , OR OF THAT SHARE MINUS ANY PORTION RETURNED TO THE RESERVE PURSUANT TO ARTICLE 6 , IT SHALL FORTHWITH , BY NOTIFYING THE COMMISSION , DRAW A SECOND SHARE , TO THE EXTENT THAT THE RESERVE SO PERMITS , EQUAL TO 10 % OF ITS INITIAL SHARE , ROUNDED UP , SHOULD THE OCCASION ARISE , TO THE NEAREST UNIT .

2 . WHERE A MEMBER STATE , AFTER EXHAUSTING ONE OF ITS INITIAL SHARES , HAS USED 90 % OR MORE OF THE SECOND SHARE DRAWN BY IT , THAT MEMBER STATE SHALL DRAW A THIRD SHARE , UNDER THE CONDITIONS LAID DOWN IN PARAGRAPH 1 , EQUAL TO 5 % OF ITS INITIAL SHARE .

3 . WHERE A MEMBER STATE , AFTER EXHAUSTING ITS SECOND SHARE , HAS USED 90 % OR MORE OF THE THIRD SHARE DRAWN BY IT , THAT MEMBER STATE SHALL , UNDER THE SAME CONDITIONS , DRAW A FOURTH SHARE EQUAL TO THE THIRD .

4 . BY WAY OF DEROGATION FROM PARAGRAPHS 1 , 2 AND 3 , MEMBER STATES MAY DRAW SHARES LOWER THAN THOSE SPECIFIED IN THOSE PARAGRAPHS IF THERE ARE GROUNDS FOR BELIEVING THAT THOSE SPECIFIED MAY NOT BE USED UP . ANY MEMBER STATE APPLYING THIS PARAGRAPH SHALL INFORM THE COMMISSION OF ITS GROUNDS FOR SO DOING .

5 . ANY MEMBER STATE MAY , WHILST INFORMING THE COMMISSION , LIMIT THE AGGREGATE TOTAL OF ITS ADDITIONAL SHARES TO 40 % OF ITS INITIAL SHARE .

ARTICLE 5

ANY ADDITIONAL SHARES DRAWN PURSUANT TO ARTICLE 4 SHALL BE VALID UNTIL 31 DECEMBER 1982 .

ARTICLE 6

THE MEMBER STATES SHALL RETURN TO THE RESERVE , NOT LATER THAN 1 OCTOBER 1982 , THE UNUSED PORTION OF THEIR INITIAL SHARE WHICH , ON 15 SEPTEMBER 1982 , EXCEEDS 20 % OF THE INITIAL AMOUNT . THEY MAY RETURN A LARGER PORTION IF THERE ARE GROUNDS FOR BELIEVING THAT SUCH PORTION MAY NOT BE USED .

THE MEMBER STATES SHALL , NOT LATER THAN 1 OCTOBER 1982 , NOTIFY THE COMMISSION OF THE TOTAL QUANTITIES OF THE PRODUCT IN QUESTION IMPORTED UP TO AND INCLUDING 15 SEPTEMBER 15 SEPTEMBER 1982 , AND CHARGED AGAINST THE COMMUNITY QUOTAS OF ANY PORTION OF THEIR INITIAL SHARES RETURNED TO THE RESERVE .

ARTICLE 7

THE COMMISSION SHALL KEEP AN ACCOUNT OF THE SHARES OPENED BY THE MEMBER STATES PURSUANT TO ARTICLES 3 AND 4 AND SHALL , AS SOON AS THE INFORMATION REACHES IT , INFORM EACH MEMBER STATE OF THE EXTENT TO WHICH THE RESERVE HAS BEEN USED UP .

IT SHALL , NOT LATER THAN 15 OCTOBER 1982 , INFORM THE MEMBER STATES OF THE AMOUNT STILL IN RESERVE FOLLOWING ANY RETURN OF SHARES PURSUANT TO ARTICLE 6 .

IT SHALL ENSURE THAT , WHEN AN AMOUNT EXHAUSTING THE RESERVE IS DRAWN , THE AMOUNT SO DRAWN DOES NOT EXCEED THE BALANCE AVAILABLE AND TO THIS END SHALL NOTIFY THE AMOUNT OF THAT BALANCE TO THE MEMBER STATE MAKING THE LAST DRAWING .

THE MEMBER STATES SHALL TAKE ALL APPROPRIATE MEASURES TO ENSURE THAT ADDITIONAL SHARES DRAWN PURSUANT TO ARTICLE 4 ARE OPENED IN SUCH A WAY THAT IMPORTS MAY BE CHARGED WITHOUT INTERRUPTION AGAINST THEIR CUMULATIVE SHARES OF THE COMMUNITY TARIFF QUOTAS .

ARTICLE 8

THE MEMBER STATES SHALL TAKE ALL APPROPRIATE MEASURES TO ENSURE FREE ACCESS TO THE SHARES WHICH HAVE BEEN ALLOCATED TO THEM FOR IMPORTERS OF THE PRODUCTS IN QUESTION WHO ARE ESTABLISHED IN THEIR TERRITORY .

SECTION II

PROVISIONS CONCERNING BOTH THE ADMINISTRATION OF THE COMMUNITY TARIFF CEILINGS RELATING TO PRODUCTS LISTED IN ANNEX A AND THE REFERENCE BASE RELATING TO PRODUCTS LISTED IN ANNEX B

ARTICLE 9

SUBJECT TO ARTICLES 10 AND 12 , THE PREFERENTIAL TARIFF CEILING ARRANGEMENTS SHALL BE ACCORDED FOR PRODUCTS IN ANNEX A , TO EACH OF THE COUNTRIES OR TERRITORIES LISTED IN ANNEX C , OTHER THAN THOSE LISTED IN COLUMN 4 OF ANNEX A , WITHIN THE LIMITS OF THE AMOUNTS SPECIFIED IN COLUMN 9 AGAINST EACH CATEGORY OF PRODUCTS .

ARTICLE 10

AS SOON AS THE INDIVIDUAL CEILINGS FIXED IN ACCORDANCE WITH ARTICLE 9 , WHICH ARE LAID DOWN FOR IMPORTS INTO THE COMMUNITY OF PRODUCTS ORIGINATING IN ANY OF THE COUNTRIES OR TERRITORIES REFERRED TO IN ARTICLE 1 ( 2 ) , ARE REACHED AT COMMUNITY LEVEL , THE LEVYING OF CUSTOMS DUTIES ON IMPORTS OF THE PRODUCTS IN QUESTION ORIGINATING IN EACH OF THE COUNTRIES AND TERRITORIES CONCERNED MAY AT ANY TIME BE REINTRODUCED UNTIL THE END OF THE PERIOD REFERRED TO IN ARTICLE 1 ( 1 ) .

ARTICLE 11

WHERE THE INCREASE OF PREFERENTIAL IMPORTS OF PRODUCTS LISTED IN ANNEX B , ORIGINATING IN ONE OR MORE BENEFICIARY COUNTRIES , CAUSES OR THREATENS TO CAUSE ECONOMIC DIFFICULTIES IN THE COMMUNITY , OR IN A REGION OF THE COMMUNITY , THE LEVYING OF CUSTOMS DUTIES MAY BE REINTRODUCED , ONCE THE COMMISSION HAS HAD AN APPROPRIATE EXCHANGE OF INFORMATION WITH THE MEMBER STATES . THE REFERENCE BASE TO BE CONSIDERED WHEN EXAMINING THE SITUATION RESULTING FROM AN INCREASE OF IMPORTS SHALL BE , AS A GENERAL RULE , 120 % OF THE HIGHEST MAXIMUM AMOUNT VALID FOR 1980 UNDER EACH PREFERENTIAL CEILING OPENED THAT YEAR .

ARTICLE 12

THE COMMISSION SHALL REINTRODUCE THE LEVYING OF CUSTOMS DUTIES IN RESPECT OF ANY OF THE COUNTRIES OR TERRITORIES REFERRED TO IN ARTICLE 1 ( 2 ) , UNDER THE CONDITIONS LAID DOWN IN ARTICLES 10 AND 11 , BY MEANS OF REGULATION .

ARTICLE 13

ARTICLES 10 , 11 AND 12 SHALL NOT APPLY TO THE IMPORTS IN QUESTION ORIGINATING IN THE COUNTRIES SET OUT IN ANNEX D .

SECTION III

GENERAL PROVISIONS

ARTICLE 14

1 . THE EXTENT TO WHICH THE QUOTAS OF THE MEMBER STATES ARE USED UP SHALL BE DETERMINED ON THE BASIS OF IMPORTS OF THE PRODUCTS IN QUESTION ENTERED FOR FREE CIRCULATION ON THE BASIS OF THE CUSTOMS VALUE OF THE SAID PRODUCTS , ACCOMPANIED BY A CERTIFICATE OF ORIGIN IN ACCORDANCE WITH THE RULES LAID DOWN IN ARTICLE 1 ( 3 ) .

2 . IMPORTS OF THE PRODUCTS IN QUESTION SHALL BE CHARGED AGAINST IMPORT CEILINGS AS AND WHEN THE PRODUCTS ARE ENTERED FOR FREE CIRCULATION , ON THE BASIS OF THE CUSTOMS VALUE OF THE SAID PRODUCTS , ACCOMPANIED BY A CERTIFICATE OF ORIGIN IN ACCORDANCE WITH THE RULES LAID DOWN IN ARTICLE 1 ( 3 ) .

3 . GOODS MAY BE CHARGED AGAINST A CEILING OR ADMITTED UNDER A QUOTA SHARE ONLY IF THE CERTIFICATE OF ORIGIN REFERRED TO IN PARAGRAPHS 1 AND 2 IS SUBMITTED BEFORE THE DATE ON WHICH THE LEVYING OF DUTIES IS REINTRODUCED .

4 . THE EXTENT TO WHICH THE COMMUNITY TARIFF QUOTAS AND CEILINGS HAVE BEEN USED UP SHALL BE DETERMINED AT COMMUNITY LEVEL ON THE BASIS OF THE IMPORTS CHARGED IN ACCORDANCE WITH PARAGRAPHS 1 AND 2 .

5 . ANY AMENDMENT TO THE LIST OF BENEFICIARIES , IN PARTICULAR BY THE ADDITION OF NEW COUNTRIES OR TERRITORIES , MAY ENTAIL A CORRESPONDING ADJUSTMENT TO THE COMMUNITY TARIFF QUOTAS OR CEILINGS .

ARTICLE 15

1 . EVERY THREE MONTHS , THE MEMBER STATES SHALL FORWARD TO THE STATISTICAL OFFICE OF THE EUROPEAN COMMUNITIES THE INFORMATION RELATING TO IMPORTS UNDER THIS REGULATION , IN ACCORDANCE WITH THE PROVISIONS OF THE NOMENCLATURE OF GOODS FOR EXTERNAL TRADE STATISTICS OF THE COMMUNITY AND STATISTICS OF TRADE BETWEEN MEMBER STATES ( NIMEXE ) .

2 . HOWEVER , IN THE CASE OF PRODUCTS IN ANNEX A SUBJECT TO QUOTAS , THE MEMBER STATES SHALL , BY THE 11TH DAY OF EACH MONTH AT THE LATEST , FORWARD THE LIST OF CHARGES EFFECTED DURING THE PREVIOUS MONTH . IN THE CASE OF PRODUCTS IN ANNEX A SUBJECT TO CEILINGS , THE MEMBER STATES SHALL FORWARD TO THE COMMISSION , AT ITS REQUEST AND UNDER THE SAME CONDITIONS , THE LIST OF CHARGES EFFECTED DURING THE PREVIOUS MONTH .

AT THE COMMISSION'S REQUEST , WHEN THE LEVEL OF 75 % OF THE CEILING IS REACHED , THE MEMBER STATES SHALL FORWARD TO THE COMMISSION THE LISTS OF CHARGES EVERY 10 DAYS ; THESE LISTS SHALL BE FORWARDED WITHIN FIVE DAYS FROM THE END OF EACH 10-DAY PERIOD .

ARTICLE 16

THE MEMBER STATES AND THE COMMISSION SHALL COOPERATE CLOSELY TO ENSURE THAT THIS REGULATION IS COMPLIED WITH .

ARTICLE 17

THIS REGULATION SHALL ENTER INTO FORCE ON 1 JANUARY 1982 .

THIS REGULATION SHALL BE BINDING IN ITS ENTIRETY AND DIRECTLY APPLICABLE IN ALL MEMBER STATES

DONE AT BRUSSELS , 7 DECEMBER 1981 .

FOR THE COUNCIL

THE PRESIDENT

CARRINGTON