EN OfficialJournaloftheEuropeanCommunities 1.3.2000 L56/39
COMMISSION REGULATION (EC) No 465/2000
of 29 February 2000
introducing safeguard measures for imports from the overseas countries and territories of sugar
sector products with EC/OCT cumulation of origin
THE COMMISSION OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty establishing the EuropeanCommunity,
Having regard to Council Decision 91/482/EEC of 25 July
1991 on the association of the overseas countries and terri-tories with the European Economic Community(
1), as last
amended by Decision 2000/169/EC(2), hereinafter known as
the ‘OCT Decision’, and in particular Article 109 thereof,
Following consultation with the Committee set up under
Article 1(2) of Annex IV to that Decision,
Whereas:
(1)The Commission has noted that imports of sugar (CN
code 1701) and of mixtures of sugar and cocoa fallingwithin CN codes 18061030 and 18061090 origin-ating in the overseas countries and territories (the OCT)have been increasing greatly since 1997, particularythoseimportswithEC/OCTcumulationoforigin,whichhave gone from zero in 1996 to more than 48000tonnes in 1999. Such products are imported into theCommunity free of import duties and are released forfree circulation without quantity limits in accordancewith Article 101(1) of the OCT Decision.
(2)By Commission Regulation (EC) No 2423/1999 of 15November 1999 introducing safeguard measures inrespect of sugar falling within CN code 1701 andmixtures of sugar and cocoa falling within CN codes18061030and18061090originatingintheoverseascountries and territories(
3), applicable until 29 February
2000, the Commission made those imports subject tominimum prices for the sugar and to the Communitysurveillance procedure for mixtures of sugar and cocoaso as to place those imported products on an equalcompetitive footing with Community products.
(3)By Decision 2000/169/EC of 25 February 2000extending Decision 91/482/EEC on the association ofthe overseas countries and territories with the EuropeanEconomic Community the Council extended the periodof application of the OCT Decision by a year, until 28February 2001.
(4)In the past few years difficulties have arisen on theCommunity sugar market, a market in surplus. Sugarconsumption is constant at some 12,7 million tonnes,while production is between 16,7 and 17,8 milliontonnes. Any imports into the Community therefore
involve a corresponding quantity of Community sugarwhich cannot be sold on that market having to beexported. Refunds for that sugar — within the limit ofcertainquotas—arechargedtotheCommunitybudget(currentlyataroundEUR 520/tonne).However,exportswithrefundarelimitedinvolumebytheAgreementonAgriculture concluded as part of the Uruguay Roundand have been reduced from 1555600 tonnes for the1995/96 marketing year to 1273500 tonnes for the2000/2001 marketing year.
(5)The operation of the CMO in sugar may be greatlydestabilised by these difficulties. For the 2000/2001marketing year, which starts on 1 July 2000, it isplanned on the basis of the most cautious estimatescurrently available, to reduce Community producers'quotas by some 500000 t(
4). Any further import of
sugar or products with a high sugar content from theOCT will mean a greater reduction in the quota forCommunity producers and a greater guaranteed incomeloss for them.
(6)Imports occur in a period of some three monthsfollowingapplicationsfortheissueoflicencesasaresultof their period of validity. As a result, all imports takentogether, including those in the months preceding thestartofthe2000/2001marketingyear,dictatethesitua-tion on the market during that marketing year andgenerate the detrimental effects mentioned in recital (5)above.
(7)As a result of the difficulties there is a risk that a sectorofCommunityactivitywilldeteriorate.TheCommissiontherefore decided on 22 February 2000 to apply thesafeguardclauseprovidedforinArticle109oftheOCTDecision in respect of imports from the OCT withEC/OCT cumulation of origin of sugar sector products.
(8)Article 100 of the OCT Decision states that its object isto promote trade between the overseas countries andterritories and the Community, taking account of theirrespective levels of development. In accordance withArticle 109(2) of the OCT Decision, priority must begiven to such measures as would least disturb the func-tioning of the association and the Community; thesemeasures must not exceed the limits of what is striclynecessary to remedy the difficulties that have arisen.
(1) OJ L 263, 19.9.1991, p. 1. (4) Article 26(5) of Council Regulation (EC) No 2038/1999 of 13
September 1999 on the common organisation of the markets in thesugar sector (OJ L 252, 25.9.1999, p. 1).(
2) OJ L 55, 29.2.2000, p. 67.
(3) OJ L 294, 16.11.1999, p. 11.
EN OfficialJournaloftheEuropeanCommunities 1.3.2000 L56/40
(9)Tothisend,theEC/OCTcumulationoforiginforprod-
ucts falling within CN codes 1701, 18061030 and18061090 should be rectricted to a maximum of3340 tonnes of sugar, that figure representing the sumof the highest annual volumes of imports of the prod-ucts in question recorded in the three years preceding1999, the year in which imports recorded an exponen-tial rise, and in respect of which there is currently anOLAFinvestigationintosuspectedirregularities.Importsof products falling within CN codes 18061030 and18061090 must also be subject to safeguard measuresin view of their high sugar content and the detrimentaleffects of the same nature as for unprocessed sugar onthe CMO in sugar. That measure must ensure thatquantities of imported sugar-based products originatingin the OCT do not exceed a volume likely to causedisturbances to the CMO in sugar while guaranteeingthem commercial ourlets.
(10)The Commission reserves the right to propose to theCouncil, as part of a review of the OCT Decision, thatthe rules allowing cumulation be deleted or that aquantity restriction at the lowest possible level beapplied,takingaccountoftheactualfinancialbenefitstothe OCT, the objectives of the common agriculturalpolicy and budgetary restraints.
(11)The specific checks on the value of the imported goodscovered by the measures laid down by this Regulation,and the checks applicable in trade with third countriesestablished under the Community rules on release forfreecirculationandcustomsvaluelaiddownbyCouncilRegulation (EEC) No 2913/92 of 12 October 1992establishing the Community Customs Code(
1), as last
amended by Regulation (EC) No 955/1999 of the Euro-pean Parliament and of the Council(
2), applicable to
trade with third countries should ensure compliancewith the provisions introduced in this Regulation.
(12)In order to guarantee proper management, avoid specu-lation and permit effective controls the rules for thelodgingoflicenceapplicationsshouldbespecified.Theymust include proof that the applicant normally carrieson business in the sugar sector, a declaration that noother applications have been lodged by that person andproof that a special security has been lodged in respectof performance of the undertakings arising from thelicences.(13)In view of the impact of the imports mentioned inrecital(6)above,thesafeguardmeasuresshouldbemadeto apply with immediate effect,
HAS ADOPTED THIS REGULATION:
Article 1
For products falling within tariff headings CN 1701,
18061030and18061090,EC/OCTcumulationoforiginasreferred to in Article 6 of Annex II to Decision 91/482/EECshall be permitted for a quantity of 3340 tonnes of sugarduring the period of validity of this Regulation.
For products other than unprocessed sugar, the sugar content
of the imported product shall be taken into account for thepurposes of complying with that limit.
Article 2
1. Import of the products referred to in Article 1 shall be
subject to the issue of an import licence.
2. Articles2to6ofCommissionRegulation(EC)No2553/
97 of 17 December 1997 on rules for issuing import licencesfor certain products covered by CN codes 1701, 1702, 1703and 1704 and qualifying as ACP/OCT originating products(
3)
shall apply mutatis mutandis .
However:
— licences shall bear the serial number 53.0001;— Article4(3)ofRegulation(EC)No2553/97shallnotapply;— applicationsshallbelodgedwiththecompetentauthorities
during the first five working days of each month, with theexception of March 2000, in which applications may belodged by 15 March 2000 at the latest.
3. Applicationsforimportlicencesshallbeaccompaniedby
a copy of the export licence issued in accordance with Article13ofCouncilRegulation(EC)No2038/1999of13September1999onthecommonorganisationofthemarketsinthesugarsector(
4),inrespectofthesugarfortheproductsreferredtoin
Article 1.
Article 3
ThisRegulationshallenterintoforceonthedayofitspublica-
tion in the Official Journal of the European Communities .
It shall apply until 30 September 2000.
(1) OJ L 302, 19.10.1992, p. 1. (3) OJ L 349, 19.12.1997, p. 26.
(2) OJ L 119, 7.5.1999, p. 1. (4) OJ L 252, 25.9.1999, p. 1.
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This Regulation shall be binding in its entirety and directly applicable in all Member States.
Done at Brussels, 29 February 2000.
For the Commission
Franz FISCHLER
Member of the Commission