NoL355/38 OfficialJournaloftheEuropeanCommunities 31.12.77
COUNCILREGULATION (EEC)No3016/77
of29December 1977
opening,allocatingandproviding(ortheadministration ofaCommunitytariff
quotaforliqueurwinesfallingwithinsubheadingex22.05CoftheCommon
CustomsTariff,originatinginCyprusandmarketedunderthelabelof'Cyprus
Sherry',andintroducingsubsidiesforsimilarwineproductsproducedinthe
Community
andsimilarCommunitywines,provisionwasmade,in
respectofthelatter,forthegrantingofaids,basedon
thedifference,onthemarketoftheMemberStatesof
destination,betweenthepricesofCommunityliqueur
winesandthepricesoftheliqueurwinesinquestion
originatinginCyprus;
Whereas,pendingtheimplementation on1March
1978ofnewCommunityarrangementsthetariffarran­
gementsintroducedbyRegulation(EEC)No2561/77
forthesecondhalfof1977shouldbeextendedforthe
periodfrom1January1978to28February1978and
aCommunitytariffquotashouldbeopenedforthe
productsinquestionofavolumeof33334hectolitres
freeofcustomsdutiesandthecountervailing charge;
WhereasentryundertheaboveCommunitytariff
quotamustbeconditionalonthepresentationofthe
A.CY.1movementcertificateandonthewinesbeing
describedas'CyprusSherry'intheV.I.1document
providedforinRegulation (EEC)No2115/76(6);THECOUNCILOFTHEEUROPEAN
COMMUNITIES ,
HavingregardtotheTreatyestablishingtheEuropean
EconomicCommunity ,
HavingregardtotheproposalfromtheCommission ,
WhereastheexchangeoflettersreferredtoinArticle
12oftheProtocollayingdowncertainprovisions
relatingtotheAgreementestablishinganAssociation
betweentheEuropeanEconomicCommunityandthe
RepublicofCyprusconsequentontheaccessionof
newMemberStatestotheEuropeanEconomic
Community(')makesprovisionforspecialinterim
arrangementsforthewineproductexportedunderthe
labelof'CyprusSherry',andintendedfordirect
humanconsumption ,whichinvolvethenon­
applicationofcountervailing chargesonimportsof
thiswineintoIrelandandtheUnitedKingdom,
withinthelimitsofanannualquotaof200000hecto­
litres;whereas,tothatend,Regulation (EEC)No
1253/73(2),asamendedbyRegulation (EEC)No
3576/73(3),aslastextendedandamendedbyRegula­
tion(EEC)No1606/76(4),introducedarrangements
forimportsofthewineproductexportedunderthe
labelof'CyprusSherry',originatinginandcoming
fromCyprus,andprovidedforsubsidiesforsimilar
wineproductsproducedintheCommunityasorigi­
nallyconstitutedandexportedtoIrelandandthe
UnitedKingdom;whereasthearrangementsinques­
tionexpiredon30June1977;
Whereas,toallowforthedisposalofexistingstocks,
Communityarrangements wereintroducedforthe
secondhalfof1977,intheformofaCommunity
tariffquotaexemptfromcustomsdutiesandthecoun­
tervailingcharge,byRegulation (EEC)No
2561/77(5);whereasthesearrangements shouldnot
disturbthemarketinCommunitywinessimilarto
liqueurwinesoriginatinginCyprusandcoveredby
thisRegulation ;whereas,toavoiddistortionofthe
conditionsofcompetitionbetweenthesaidproductsWhereas,theCommunitynatureofthequotawould
berespectedbyasystembasedontheallocationof
theCommunitytariffquotaamongtheMember
States;whereas,inordertoreflectasaccuratelyas
possibletheactualdevelopmentofthemarketinthe
productsconcerned,suchallocationshouldbein
proportiontotherequirementsoftheMemberStates,
assessedbyreferencebothtothestatisticsrelatingto
importsofthesaidproductsfromCyprusoverarepre­
sentativeperiodandtotheeconomicoutlookforthe
quotaperiodconcerned;
Whereasinthiscase,however,neitherCommunity
nornationalstatisticsshowingthebreakdownforeach
ofthetypesofwinesinquestionareavailable;
whereasestimatingtheimportneedsoftheMember
Statesforthequotaperiodisdifficultbecauseofthe
absenceofvalidprecedents;whereasbecauseofthe
smallamountofthetariffquotatheallocationthereof
betweentheMemberStateswouldresultinsuchsmall
sharesbeingallocatedthattheywouldnolongerbe(MOJNoL133,21.5.1973,p.88.
(2)OJNo.L133,21.5.1973,p.115.
(3)OJNoL359,28.12.1973,p.33.
(«)OJNoL175,1.7.1976,p.6.
5)OJNoL299,23.11.1977,p.1. (6)OJNoL299,23.11.1977,p.1.

31.12.77 OfficialJournaloftheEuropeanCommunities NoL355/39
tivecooperationannexedtotheAgreementbetween
theEuropeanEconomicCommunityandCyprusshall
beapplicable .
3.Theentryofthesewinesunderthetariffquota
referredtoinparagraph 1shallbeconditionalon
theirbeingdescribedintheV.I.Idocumentprovided
forinRegulation(EEC)No2115/76as'liqueurwines
tobemarketedunderthelabelof"CyprusSherry"'.
4.Withinthelimitsoftheabovetariffquota,the
productsreferredtoinparagraph 1shallbeexempt
fromthecountervailing chargesprovidedforinRegu­
lation(EEC)No816/70('),aslastamendedbyRegula­
tion(EEC)No2211/77(2.consideredcommercially viable;whereas,asaresult
theonlypossiblecoursewouldseemtobetoallocate
thewholequotavolumetotheCommunityreserve
andtoprovideforthepossibilityofthoseMember
Statesinwhichneedsmightarisedrawingappropriate
quantitiesfromthatreserve;whereasthesharesthus
drawnfromthereservemustbevaliduntiltheendof
thequotaperiod;whereasthisformofadministration
requiresclosecollaboration betweentheMember
StatesandtheCommission ,andtheCommission
must,inparticular,beinapositiontofollowthe
extenttowhichthequotavolumehasbeenusedup
andinformtheMemberStatesthereof;
Whereasif,atagivendateinthequotaperiod,a
MemberStatehsaconsiderablequantityoftheinitial
shareleftover,itisessentialthatitshouldreturna
significantproportionthereoftothereservetoprevent
apartoftheCommunityquotafromremaining
unusedinoneMemberStatewhenitcouldbeusedin
others;
WhereassincetheKingdomofBelgium,the
KingdomoftheNetherlandsandtheGrandDuchyof
Luxembourgareunitedinandrepresentedbythe
BeneluxEconomicUnionalltransactionsconcerning
theadministration ofthesharesallocatedtothat
economicunionmaybecarriedoutbyanyoneofits
members,Arti-:2
1.ThequotalaiddowninArticle1shallbeallo­
catedtotheCommunityreserve.
2.Ifneedsfortheproductinquestionariseina
MemberState,itshalldrawanadequatesharefrom
thereservethussetup,insofarastheamountofthe
reservepermitsthis.
Article3
ThesharesdrawnpursuanttoArticle2shallbevalid
until28February1978.
HASADOPTEDTHISREGULATION : Article4
MemberStatesshallreturntothereserve,notlater
than20February1978,theunusedportionoftheir
sharewhich,on10February1978isinexcessof
20%oftheinitialamount.Theymayreturnagreater
portioniftherearegroundsforbelievingthatsuch
portionmightnotbeusedinfull.
EachMemberStateshall,notlaterthan20February
1978,notifytheCommissionofthetotalimportsof
theproductsconcernedeffectedundertheCommu­
nityquotauptoandincluding10February1978and,
whereappropriate,theproportionoftheshare
returnedtothereserve.Article1
1.From1Januaryuntil28February1978,the
CommonCustomsTariffdutiesinrespectofthe
followingproductsoriginatinginCyprusshallbe
totallysuspendedwithinthelimitsofanoverall
Communitytariffquotaof33334hectolitres .
CCTheadingNo Description
ex22.05CIIa)
ex22.05CIIb)]
ex22.05CIIIa)2ΓLiqueurwinesmarketedunder
ex22.05CIIIb)3fthelabelof'CyprusSherry'
ex22.05CIVa)2\
ex22.05CIVb)3'Article5
TheCommissionshallkeepaccountoftheshares
openedbyMemberStatespursuanttoArticle2and,
assoonasithasbeennotified,shallinformeachState
oftheextenttowhichthereservehasbeenused.
2.TheProtocolonthedefinitionoftheconceptof
'originatingproducts'andonmethodsofadministra­teOJNoL99,5.5.1970,p.1.
(2)OJNoL256,7.10.1977,p.1.

NoL355/40 OfficialJournaloftheEuropeanCommunities 31.12.77
TheCommissionshallnotifyMemberStatesnotlater
than23February1978oftheamountinthereserve
afterthereturnofsharespursuanttoArticle4.
TheCommissionshallensurethatthedrawingwhich
usesupthereserveislimitedtothebalanceavailable
and,tothisend,shallspecifytheamountthereofto
theMemberStatemakingthefinaldrawing.
Article6
1.MemberStatesshalltakeallmeasuresnecessary
toensurethatsharesdrawnpursuanttoArticle2are
openedinsuchawaythatimportsmaybecharged
withoutinterruptionagainsttheiraggregratesharesin
theCommunityquota.
2.EachMemberStateshallensurethatimporters
oftheproductsconcernedestablishedintheirterri­
toryhavefreeaccesstothesharesallocatedtoit.
3.TheextenttowhichaMemberStatehasusedup
itssharesshallbedetermined onthebasisofthe
importsoftheproductsinquestionenteredforhome
use.
Article7
1.Subsidiesshallbegrantedforliqueurwinesof
Communityoriginsimilartotheliqueurwines
describedintheV.I.IdocumentprovidedforinRegu­
lation(EEC)No2115/76as'liqueurwinestobe
marketedunderthelabelof"CyprusSherry"'which
aredispatchedby28February1978fromthe
producerMemberStatestotheotherMemberStates
oftheCommunitywhichhaveactuallyimportedandmarketedunderthisRegulationproductsreferredto
inArticle1.
2.Thesubsidiesreferredtoinparagraph 1shallbe
calculatedonthebasisofthedifference,onthe
marketsoftheimportingMemberStates,betweenthe
pricesofCommunityliqueurwinesandthoseofthe
liqueurwinemarketedunderthelabelof'Cyprus
Sherry'.
Article8
Detailedrulesinrespect,particularly,oftheamount
ofthesubsidyandoftheCommunityliqueurwine
eligibleforaid,shallbeadoptedinaccordancewith
theprocedurelaiddowninArticle7ofRegulation
No24ontheprogressiveestablishment ofacommon
organizationofthemarketinwine(1).
Article9
AttherequestoftheCommission ,MemberStates
shallinformitofimportsactuallychargedagainst
theirshares.
Article10
TheMemberStatesandtheCommission shallcolla­
boratecloselyinordertoensurethatthisRegulation
isobserved.
Article11
ThisRegulationshallenterintoforceon1January
1978.
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicableinallMember
States.
DoneatBrussels,29December1977.
FortheCouncil
ThePresident
H.SIMONET
(!)OJNo30,20.4.1962,p.989/62.