EN

Brussels, 18.12.2006

COM(2006)808 final

2006/0275(ACC)

Proposal for a

COUNCIL DECISION

on a Community position in the EC-Turkey Association Council on the amendment of the trade concessions for processed agricultural products covered by Decision No 1/95 of the EC-Turkey Association Council on implementing the final phase of the Customs Union and by Decision No 1/97 of the EC-Turkey Association Council on the arrangements applicable to certain processed agricultural products

(presented by the Commission)

EXPLANATORY MEMORANDUM

Trade in processed agricultural goods is covered by Section V of Decision 1/95 [1] of the EC-Turkey Association Council on implementing the final phase of the customs union. Further arrangements for preferential trade in agricultural goods between the Community and Turkey are set out in Decision No 1/97 [2] of the EC-Turkey Association Council.

In anticipation of the enlargement of the Community on 1 May 2004, the Council issued negotiating directives to the Commission according to which the Community’s agreements with a number of third countries (including Turkey) should be reviewed in order to take account of existing concessions and traditional trade flows between the countries concerned and the new Member States.

The Conclusions of the Copenhagen Council referred to the need to deepen and widen the EC-Turkey Customs Union.

After consultations between Commission services and the competent Turkish authorities, agreement was reached on13 September 2006 on adaptations to be made to the preferential arrangements for trade in processed agricultural products between the Community and Turkey to take account of the EU’s enlargement to 25 Member States and with a view to deepen and widen the existing Customs Union.

In the interest of clarity, these adaptations and modifications, which result in duty free quotas, should be integrated into the existing agreement in the form of additional annexes.

For quantities imported in excess of the tariff quotas indicated in the new annexes the preferential regime set out in Decision 1/95 of the EC-Turkey Association Council will Continue to apply.

Decision 1/97 of the EC-Turkey Association Council will be repealed accordingly.

To implement these changes, the EC-Turkey Association Council should adopt a new Decision amending Decision No 1/95 and repealing Decision 1/97.

The Community position in the EC-Turkey Association Council should be defined accordingly.

2006/0275(ACC)

Proposal for a

COUNCIL DECISION

on a Community position in the EC-Turkey Association Council on the amendment of the trade concessions for processed agricultural products covered by Decision No 1/95 of the EC-Turkey Association Council on implementing the final phase of the Customs Union and by Decision No 1/97 of the EC-Turkey Association Council on the arrangements applicable to certain processed agricultural products

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Article 133 in conjunction with the second subparagraph of Article 300 (2) thereof,

Having regard to the proposal from the Commission

Whereas:

(1) Section V of Chapter I of Decision No 1/95 of the EC Turkey Association Council of 22 December 1995 on implementing the final phase of the Customs Union [3] establishes the trade arrangements for processed agricultural products.

(2) Decision No 1/97 of the EC Turkey Association Council of 29 April 1997 on arrangements applicable to certain processed agricultural products [4] establishes annual quotas in respect of certain goods.

(3) New trade improvements have recently been negotiated which aim to deepen and widen the customs union and to improve economic convergence as a result of the enlargement of the Community on 1 May 2004. These improvements include concessions in the form of duty free tariff quotas (for goods covered by Decision No 1/97) That Decision should therefore be repealed. For imports outside of the quotas the current trade provisions continue to apply.

(4) The Community position in the EC-Turkey Association Council should be determined accordingly.

(5) Commission Regulation (EEC) No. 2454/93 [5] of 2 July 1993 laying down provisions for the implementation of Council Regulation (EEC) No 2913/92 establishing the Community Customs Code provides the procedures for managing the tariff quotas to be used in chronological order of the dates of the customs declarations. These procedures should be applicable for imports under the Association Council Decision.

HAS DECIDED AS FOLLOWS:

Article 1

The position to be adopted by the Community in the Association Council established by the Agreement between the European Economic Community and Turkey shall be based on the draft Decision of the EC-Turkey Association Council annexed to this Decision.

Article 2

The tariff quotas set out in Annex I of the Decision of the Association Council shall be managed, after the entry into force of the Decision of the Association Council, by the Commission in accordance with Articles 308a, 308b and 308c of Regulation (EEC) No 2454/93.

Done at Brussels,

For the Council

The President

ANNEX

Draft

DECISION No…/2006 OF THE EC-TURKEY ASSOCIATION COUNCIL

of…. 2006

amending the trade concessions for processed agricultural products covered by Decision No 1/95 of the EC-Turkey Association Council on implementing the final phase of the Customs Union and by Decision No 1/97 on the arrangements applicable to certain processed agricultural products and repealing Decision No 1/97

THE ASSOCIATION COUNCIL,,

Having regard to the Agreement establishing an association between the European Economic Community and Turkey [6] and in particular Article 22 (3) thereof,

Whereas:

(1) Section V of Chapter I of Decision No 1/95 of the EC-Turkey Association Council of 22 December 1995 on implementing the final phase of the Customs Union [7] establishes the trade arrangements for processed agricultural products.

(2) Decision No 1/97 of the EC-Turkey Association Council of 29 April 1997 on the arrangements applicable to certain processed agricultural products [8] establishes annual quotas in respect of certain goods..

(3) New trade improvements have recently been negotiated which aim to deepen and widen the customs union and to improve economic convergence as a result of the enlargement of the Community on 1 May 2004. These improvements include concessions in the form of duty free tariff quotas (in particular for the goods covered by Decision No 1/97). That Decision should therefore be repealed.

(4) For imports outside of the quotas the current trade provisions set out in Decision 1/95 of the EC-Turkey Association Council should continue to apply.

HAS DECIDED AS FOLLOWS:

Article 1

The tariff quotas set out in Annex I and in Annex II shall be opened from 1 January 2007 and from 1 January to 31 December of the following years under the conditions laid down therein.

Article 2

Section V of Chapter I of Decision No 1/95 of the EC-Turkey Association Council shall continue to apply to imports exceeding the duty free tariff quotas set out in Annex I and in Annex II.

Article 3

Decision No 1/97 of the EC Turkey Association Council shall be repealed.

Article 4

This Decision shall enter into force on the first day of the month of following its adoption.

It shall apply as from 1 January 2007.

Done at Brussels,

For the Association Council

The President

ANNEX I

Duty free tariff quotas applicable upon imports into the EU of processed agricultural products from Turkey

CN-Code | Product description | Annual Duty Free Tariff Quota (in tons net weight) |

(1) | (2) | (3) |

1704 | Sugar confectionery (including white chocolate), not containing cocoa: | 5.000 |

1704 10 | -Chewing gum, whether or not sugar-coated: | |

| --Containing less than 60% by weight of sucrose (including invert sugar expressed as sucrose): | |

1704 10 11 | ---Gum in strips | |

1704 10 19 | ---Other | |

| --Containing 60% or more by weight of sucrose (including invert sugar expressed as sucrose): | |

1704 10 91 | ---Gum in strips | |

1704 10 99 | ---Other | |

1704 90 | -Other: | 10.000 [9] |

1704 90 30 | --White chocolate | |

| --Other: | |

1704 90 51 | ---Pastes, including marzipan, in immediate packings of a net content of 1 kg or more | |

1704 90 55 | ---Throat pastilles and cough drops | |

1704 90 61 | ---Sugar-coated (panned) goods | |

| ---Other: | |

1704 90 65 | ----Gum confectionery and jelly confectionery, including fruit pastes in the form of sugar confectionery | |

1704 90 71 | ----Boiled sweets whether or not filled | |

1704 90 75 | ----Toffees, caramels and similar sweets | |

| ----Other: | |

1704 90 81 | -----Compressed tablets | |

1704 90 99 | -----Other | |

1806 | Chocolate and other food preparations containing cocoa: | 5.000 [10] |

1806 10 | -Cocoa powder, containing added sugar or other sweetening matter: | |

1806 10 20 | --Containing 5% or more but less than 65% by weight of sucrose (including invert sugar expressed as sucrose) or isoglucose expressed as sucrose | |

1806 20 | -Other preparations in blocks, slabs or bars weighing more than 2 kg or in liquid, paste, powder, granular or other bulk form in containers or immediate packings, of a content exceeding 2 kg: | |

1806 20 10 | --Containing 31% or more by weight of cocoa butter or containing a combined weight of 31% or more of cocoa butter and milkfat | |

1806 20 30 | --Containing a combined weight of 25% or more, but less than 31% of cocoa butter and milkfat | |

| --Other: | |

1806 20 50 | ---Containing 18% or more by weight of cocoa butter | |

1806 20 70 | ---Chocolate milk crumb | |

1806 20 80 | ---Chocolate flavour coating | |

1806 20 95 | ---Other | |

| -Other, in blocks, slabs or bars: | |

1806 31 00 | --Filled | |

1806 32 | --Not filled | |

1806 32 10 | ---With added cereal, fruit or nuts | |

1806 32 90 | ---Other | |

1806 90 | -Other: | |

| --Chocolate and chocolate products: | |

| ---Chocolates, whether or not filled: | |

1806 90 11 | ----Containing alcohol | |

1806 90 19 | ----Other | |

| ---Other: | |

1806 90 31 | ----Filled | |

1806 90 39 | ----Not filled | |

1806 90 50 | --Sugar confectionery and substitutes therefore made from sugar substitution products, containing cocoa | |

1806 90 60 | --Spreads containing cocoa | |

1806 90 70 | --Preparations containing cocoa for making beverages | |

1806 90 90 | --Other | |

1901 | Malt extract; food preparations of flour, groats, meal, starch or malt extract, not containing cocoa or containing less than 40% by weight of cocoa calculated on a totally defatted basis, not elsewhere specified or included; food preparations of goods of headings 0401 to 0404, not containing cocoa or containing less than 5% by weight of cocoa calculated on a totally defatted basis, not elsewhere specified or included: | |

1901 20 00 | -Mixes and doughs for the preparation of bakers' wares of heading 1905 | 900 |

1902 | Pasta, whether or not cooked or stuffed (with meat or other substances) or otherwise prepared, such as spaghetti, macaroni, noodles, lasagne, gnocchi, ravioli, cannelloni; couscous, whether or not prepared: | 20.000 |

| -Uncooked pasta, not stuffed or otherwise prepared: | |

1902 11 00 | --Containing eggs | |

1902 19 | --Other: | |

1902 19 10 | ---Containing no common wheat flour or meal | |

1902 19 90 | ---Other | |

1902 20 | -Stuffed pasta, whether or not cooked or otherwise prepared: | |

| --Other: | |

1902 20 91 | ---Cooked | |

1902 20 99 | ---Other | |

1902 30 | -Other pasta: | |

1902 30 10 | --Dried | |

1902 30 90 | --Other | |

1902 40 | -Couscous: | |

1902 40 10 | --Unprepared | |

1902 40 90 | --Other | |

1904 | Prepared foods obtained by the swelling or roasting of cereals or cereal products (for example, cornflakes); cereals (other than maize (corn)), in grain form or in the form of flakes or other worked grains (except flour, groats and meal), pre-cooked or otherwise prepared, not elsewhere specified or included: | 500 |

1904 10 | -Prepared foods obtained by the swelling or roasting of cereals or cereal products: | |

1904 10 10 | --Obtained from maize | |

1904 10 30 | --Obtained from rice | |

1904 10 90 | --Other | |

1904 20 | -Prepared foods obtained from unroasted cereal flakes or from mixtures of unroasted cereal flakes and roasted cereal flakes or swelled cereals: | 100 |

1904 20 10 | --Preparation of the Müsli type based on unroasted cereal flakes | |

| --Other: | |

1904 20 91 | ---Obtained from maize | |

1904 20 95 | ---Obtained from rice | |

1904 20 99 | ---Other | |

1904 30 00 | -Bulgur wheat | 10.000 |

1904 90 | -Other: | 2.500 |

1904 90 10 | --Rice | |

1904 90 80 | --Other | |

1905 | Bread, pastry, cakes, biscuits and other bakers' wares, whether or not containing cocoa; communion wafers, empty cachets of a kind suitable for pharmaceutical use, sealing wafers, rice paper and similar products: | 10.000 |

| -Sweet biscuits; waffles and wafers: | |

1905 31 | --Sweet biscuits: | |

| ---Completely or partially coated or covered with chocolate or other preparations containing cocoa: | |

1905 31 11 | ----In immediate packings of a net content not exceeding 85g | |

1905 31 19 | ----Other | |

| ---Other: | |

1905 31 30 | ----Containing 8% or more by weight of milk fats | |

| ----Other: | |

1905 31 91 | -----Sandwich biscuits | |

1905 31 99 | -----Other | |

1905 32 | --Waffles and wafers: | 3.000 |

1905 32 05 | --- With a water content exceeding 10 % by weight | |

| --- Other | |

| ---- Completely or partially coated or covered with chocolate or other preparations containing cocoa: | |

1905 32 11 | ----- In immediate packings of a net content not exceeding 85g | |

1905 32 19 | ----- Other | |

| ---- Other: | |

1905 32 91 | ----- Salted, whether or not filled | |

1905 32 99 | ----- Other | |

1905 40 | -Rusks, toasted bread and similar toasted products: | 120 |

1905 40 10 | --Rusks | |

1905 40 90 | --Other | |

1905 90 | -Other: | 10.000 |

1905 90 10 | --Matzos | |

1905 90 20 | --Communion wafers, empty cachets of a kind suitable for pharmaceutical use, sealing wafers, rice paper and similar products | |

| --Other: | |

1905 90 30 | ---Bread, not containing added honey, eggs, cheese or fruit, and containing by weight in the dry matter state not more than 5% of sugars and not more than 5% of fat | |

| | |

1905 90 45 | ---Biscuits | |

1905 90 55 | ---Extruded or expanded products, savoury or salted | |

| ---Other: | |

1905 90 60 | ----With added sweetening matter | |

2105 00 | Ice cream and other edible ice, whether or not containing cocoa: | 3.000 [11] |

2105 00 10 | -Containing no milk fats or containing less than 3% by weight of such fats | |

| -Containing by weight of milk fats: | |

2105 00 91 | --3% or more but less than 7% | |

2105 00 99 | --7% or more | |

2106 | Food preparations not elsewhere specified or included: | 4.000 |

2106 10 | -Protein concentrates and textured protein substances: | |

| | |

2106 10 80 | --Other | |

2106 90 | -Other: | |

2106 90 10 | -- Cheese fondues | |

| --Other: | |

2106 90 98 | ---Other | |

Annex II

Duty free tariff quotas applicable upon imports into Turkey of processed agricultural products from the EU

CN-Code | Product description | Annual Duty Free Tariff Quota (in tons net weight) |

(1) | (2) | (3) |

1704 | Sugar confectionery (including white chocolate), not containing cocoa: | 1.000 |

1704 10 | -Chewing gum, whether or not sugar-coated: | |

| --Containing less than 60% by weight of sucrose (including invert sugar expressed as sucrose): | |

1704 10 11 | ---Gum in strips | |

1704 10 19 | ---Other | |

| --Containing 60% or more by weight of sucrose (including invert sugar expressed as sucrose): | |

1704 10 91 | ---Gum in strips | |

1704 10 99 | ---Other | |

1704 90 | -Other: | 2.500 |

| | |

1704 90 30 | --White chocolate | |

| --Other: | |

1704 90 51 | ---Pastes, including marzipan, in immediate packings of a net content of 1 kg or more | |

1704 90 55 | ---Throat pastilles and cough drops | |

1704 90 61 | ---Sugar-coated (panned) goods | |

| ---Other: | |

1704 90 65 | ----Gum confectionery and jelly confectionery, including fruit pastes in the form of sugar confectionery | |

1704 90 71 | ----Boiled sweets whether or not filled | |

1704 90 75 | ----Toffees, caramels and similar sweets | |

| ----Other: | |

1704 90 81 | -----Compressed tablets | |

1704 90 99 | -----Other | |

1806 | Chocolate and other food preparations containing cocoa: | 7.000 |

1806 10 | -Cocoa powder, containing added sugar or other sweetening matter: | |

1806 10 20 | --Containing 5% or more but less than 65% by weight of sucrose (including invert sugar expressed as sucrose) or isoglucose expressed as sucrose | |

1806 10 30 | --Containing 65% or more but less than 80% by weight of sucrose (including invert sugar expressed as sucrose) or isoglucose expressed as sucrose | |

1806 10 90 | --Containing 80% or more by weight of sucrose (including invert sugar expressed as sucrose) or isoglucose expressed as sucrose | |

1806 20 | -Other preparations in blocks, slabs or bars weighing more than 2 kg or in liquid, paste, powder, granular or other bulk form in containers or immediate packings, of a content exceeding 2 kg: | |

1806 20 10 | --Containing 31% or more by weight of cocoa butter or containing a combined weight of 31% or more of cocoa butter and milkfat | |

1806 20 30 | --Containing a combined weight of 25% or more, but less than 31% of cocoa butter and milkfat | |

| --Other: | |

1806 20 50 | ---Containing 18% or more by weight of cocoa butter | |

1806 20 70 | ---Chocolate milk crumb | |

1806 20 80 | ---Chocolate flavour coating | |

1806 20 95 | ---Other | |

| -Other, in blocks, slabs or bars: | |

1806 31 00 | --Filled | |

1806 32 | --Not filled | |

1806 32 10 | ---With added cereal, fruit or nuts | |

1806 32 90 | ---Other | |

1806 90 | -Other: | |

| --Chocolate and chocolate products: | |

| ---Chocolates, whether or not filled: | |

1806 90 11 | ----Containing alcohol | |

1806 90 19 | ----Other | |

| ---Other: | |

1806 90 31 | ----Filled | |

1806 90 39 | ----Not filled | |

1806 90 50 | --Sugar confectionery and substitutes therefor made from sugar substitution products, containing cocoa | |

1806 90 60 | --Spreads containing cocoa | |

1806 90 70 | --Preparations containing cocoa for making beverages | |

1806 90 90 | --Other | |

1901 | Malt extract; food preparations of flour, groats, meal, starch or malt extract, not containing cocoa or containing less than 40% by weight of cocoa calculated on a totally defatted basis, not elsewhere specified or included; food preparations of goods of headings 0401 to 0404, not containing cocoa or containing less than 5% by weight of cocoa calculated on a totally defatted basis, not elsewhere specified or included: | |

1901 10 00 | -Preparations for infant use, put up for retail sale | 500 |

1901 20 00 | -Mixes and doughs for the preparation of bakers' wares of heading 1905 | 300 |

1901 90 | -Other: | 2.000 |

| --Malt extract: | |

1901 90 11 | ---With a dry extract content of 90% or more by weight | |

1901 90 19 | ---Other | |

| --Other: | |

1901 90 99 | ---Other | |

1902 | Pasta, whether or not cooked or stuffed (with meat or other substances) or otherwise prepared, such as spaghetti, macaroni, noodles, lasagne, gnocchi, ravioli, cannelloni; couscous, whether or not prepared: | 20.000 |

| -Uncooked pasta, not stuffed or otherwise prepared: | |

1902 11 00 | --Containing eggs | |

1902 19 | --Other: | |

1902 19 10 | ---Containing no common wheat flour or meal | |

1902 19 90 | ---Other | |

1902 20 | -Stuffed pasta, whether or not cooked or otherwise prepared: | |

| --Other: | |

1902 20 91 | ---Cooked | |

1902 20 99 | ---Other | |

1902 30 | -Other pasta: | |

1902 30 10 | --Dried | |

1902 30 90 | --Other | |

1902 40 | -Couscous: | |

1902 40 10 | --Unprepared | |

1902 40 90 | --Other | |

1904 | Prepared foods obtained by the swelling or roasting of cereals or cereal products (for example, cornflakes); cereals (other than maize (corn)), in grain form or in the form of flakes or other worked grains (except flour, groats and meal), pre-cooked or otherwise prepared, not elsewhere specified or included: | 5.000 |

1904 10 | -Prepared foods obtained by the swelling or roasting of cereals or cereal products: | |

1904 10 10 | --Obtained from maize | |

1904 10 30 | --Obtained from rice | |

1904 10 90 | --Other | |

1904 20 | -Prepared foods obtained from unroasted cereal flakes or from mixtures of unroasted cereal flakes and roasted cereal flakes or swelled cereals: | 500 |

1904 20 10 | --Preparation of the Müsli type based on unroasted cereal flakes | |

| --Other: | |

1904 20 91 | ---Obtained from maize | |

1904 20 95 | ---Obtained from rice | |

1904 20 99 | ---Other | |

1904 90 | -Other: | 300 |

1904 90 10 | --Rice | |

1904 90 80 | --Other | |

1905 | Bread, pastry, cakes, biscuits and other bakers' wares, whether or not containing cocoa; communion wafers, empty cachets of a kind suitable for pharmaceutical use, sealing wafers, rice paper and similar products: | 1.000 |

| -Sweet biscuits; waffles and wafers: | |

1905 31 | --Sweet biscuits: | |

| ---Completely or partially coated or covered with chocolate or other preparations containing cocoa: | |

1905 31 11 | ----In immediate packings of a net content not exceeding 85g | |

1905 31 19 | ----Other | |

| ---Other: | |

1905 31 30 | ----Containing 8% or more by weight of milk fats | |

| ----Other: | |

1905 31 91 | -----Sandwich biscuits | |

1905 31 99 | -----Other | |

1905 32 | --Waffles and wafers: | 600 |

1905 32 05 | --- With a water content exceeding 10 % by weight | |

| --- Other | |

| ---- Completely or partially coated or covered with chocolate or other preparations containing cocoa: | |

1905 32 11 | ----- In immediate packings of a net content not exceeding 85g | |

1905 32 19 | ----- Other | |

| ---- Other: | |

1905 32 91 | ----- Salted, whether or not filled | |

1905 32 99 | ----- Other | |

1905 40 | -Rusks, toasted bread and similar toasted products: | 200 |

1905 40 10 | --Rusks | |

1905 40 90 | --Other | |

1905 90 | -Other: | 1.500 |

1905 90 10 | --Matzos | |

1905 90 20 | --Communion wafers, empty cachets of a kind suitable for pharmaceutical use, sealing wafers, rice paper and similar products | |

| --Other: | |

1905 90 30 | ---Bread, not containing added honey, eggs, cheese or fruit, and containing by weight in the dry matter state not more than 5% of sugars and not more than 5% of fat | |

| | |

1905 90 45 | ---Biscuits | |

1905 90 55 | ---Extruded or expanded products, savoury or salted | |

| ---Other: | |

1905 90 60 | ----With added sweetening matter | |

1905 90 90 | ----Other | |

2105 00 | Ice cream and other edible ice, whether or not containing cocoa: | 3.000 [12] |

2105 00 10 | -Containing no milk fats or containing less than 3% by weight of such fats | |

| -Containing by weight of milk fats: | |

2105 00 91 | --3% or more but less than 7% | |

2105 00 99 | --7% or more | |

2106 | Food preparations not elsewhere specified or included: | 4.000 |

2106 10 | -Protein concentrates and textured protein substances: | |

| | |

2106 10 80 | --Other | |

2106 90 | -Other: | |

2106 90 10 | -- Cheese fondues | |

| --Other: | |

2106 90 98 | ---Other | |

LEGISLATIVE FINANCIAL STATEMENT

This document is intended to accompany and complement the Explanatory Memorandum. As such, when completing this Legislative Financial Statement, and without prejudice to its legibility, an attempt should be made to avoid repeating information contained in the Explanatory Memorandum. Before filling in this template, please refer to the specific Guidelines that have been drafted to provide guidance and clarification for the items below.

1. NAME OF THE PROPOSAL

Council Decision on a Community position in the EC-Turkey Association Council on the amendment of the trade concessions for processed agricultural products covered by Decision 1/95 of the EC-Turkey Association Council on implementing the final phase of the Customs Union and by Decision 1/97 on the arrangements applicable to certain processed agricultural products

2. ABM / ABB FRAMEWORK

Policy Area(s) concerned and associated Activity/Activities:

Title 02 - Enterprise

Title 05 Agriculture

Title 14 Taxation and Customs Duties

3. BUDGET LINES

3.1. Budget lines (operational lines and related technical and administrative assistance lines (ex- B. A lines)) including headings :

Title 01 Own resources, Chapter 1.0 – Article 100 – Item 1000 and Chapter 1.2 Article 120

Title 05 Agriculture and Rural Development, Chapter 0502 and 0503, Items 05020104, 05020505, 05030109 and 05030406

3.2. Duration of the action and of the financial impact:

As of 1.1.2007 - ? (depending on the exact date of accession)

3.3. Budgetary characteristics (add rows if necessary) :

Budget line | Type of expenditure | New | EFTA contribution | Contributions from applicant countries | Heading in financial perspective |

| Comp/ Non-comp | Diff [13]/ Non-diff [14] | NO | NO | NO | No |

| Comp/ Non-comp | Diff/ Non-diff | YES/ NO | YES/NO | YES/NO | No |

4. SUMMARY OF RESOURCES

4.1. Financial Resources

4.1.1. Summary of commitment appropriations (CA) and payment appropriations (PA)

EUR million (to 3 decimal places)

Expenditure type | Section no. | | 12 month period | Financial year 2007 | Financial year 2008 | Financial year 2009 | n + 4 | n + 5 and later | Total |

Operational expenditure [15] | | | | | | | | |

Commitment Appropriations (CA) | 8.1 | a | | | | | | | |

Payment Appropriations (PA) | | b | | | | | | | |

|

Administrative expenditure within reference amount [16] | | | | |

Technical & administrative assistance (NDA) | 8.2.4 | c | | | | | | | |

TOTAL REFERENCE AMOUNT | | | | | | | |

Commitment Appropriations | | a+c | | | | | | | |

Payment Appropriations | | b+c | | | | | | | |

Administrative expenditure not included in reference amount [17] | | |

Human resources and associated expenditure (NDA) | 8.2.5 | d | | | | | | | |

Administrative costs, other than human resources and associated costs, not included in reference amount (NDA) | 8.2.6 | e | | | | | | | |

Total indicative financial cost of intervention

TOTAL CA including cost of Human Resources | | a+c+d+e | | | | | | | |

TOTAL PA including cost of Human Resources | | b+c+d+e | | | | | | | |

Co-financing details

If the proposal involves co-financing by Member States, or other bodies (please specify which), an estimate of the level of this co-financing should be indicated in the table below (additional lines may be added if different bodies are foreseen for the provision of the co-financing):

EUR million (to 3 decimal places)

Co-financing body | | Year n | n + 1 | n + 2 | n + 3 | n + 4 | n + 5 and later | Total |

…………………… | f | | | | | | | |

TOTAL CA including co-financing | a+c+d+e+f | | | | | | | |

4.1.2. Compatibility with Financial Programming

x Proposal is compatible with existing financial programming.

Proposal will entail reprogramming of the relevant heading in the financial perspective.

Proposal may require application of the provisions of the Interinstitutional Agreement [18] (i.e. flexibility instrument or revision of the financial perspective).

4.1.3. Financial impact on Revenue

Proposal has no financial implications on revenue

x Proposal has financial impact – the effect on revenue is as follows:

NB: All details and observations relating to the method of calculating the effect on revenue should be shown in a separate annex.

The calculation of expenditure and the revenues are based on average imports and during 2003 – 2005. The loss of revenues through abolition of customs duties is ca.8,4 Mio € (including collection costs). The net loss is 6,3 Mio €.

EUR million (to one decimal place)

| | Prior to action [Year n-1] | | Situation following action |

Budget line | Revenue | | | [Year 2007] | [2008] | [2009] | [n+3] | [n+4] | [n+5] [19] |

Item 1000, Article 120 | a) Revenue in absolute terms | | | -6,3 | -6,3 | -6,3 | | | |

| b) Change in revenue | | | -6,3 | -6,3 | -6,3 | | | |

(Please specify each revenue budget line involved, adding the appropriate number of rows to the table if there is an effect on more than one budget line.)

4.2. Human Resources FTE (including officials, temporary and external staff) – see detail under point 8.2.1.

Annual requirements | Year n | n + 1 | n + 2 | n + 3 | n + 4 | n + 5 and later |

Total number of human resources | | | | | | |

Once the proposal is adopted the cost for human resources is negligible since it only involves very limited managing and control effort on the part of the Commission Services.

5. CHARACTERISTICS AND OBJECTIVES

Details of the context of the proposal are required in the Explanatory Memorandum. This section of the Legislative Financial Statement should include the following specific complementary information:

5.1. Need to be met in the short or long term

In anticipation of the enlargement of the Community on 1 May 2004, the Council issued negotiating directives to the Commission according to which the Community’s agreements with a number of third countries (including Turkey) should be reviewed in order to take account of existing concessions and traditional trade flows between the countries concerned and the new Member States.

The Conclusions of the Copenhagen Council referred to the need to deepen and widen the EC-Turkey Customs Union.

5.2. Value-added of Community involvement and coherence of the proposal with other financial instruments and possible synergy

5.3. Objectives, expected results and related indicators of the proposal in the context of the ABM framework

5.4. Method of Implementation (indicative)

Show below the method(s) [20] chosen for the implementation of the action.

Centralised Management

Directly by the Commission

Indirectly by delegation to:

Executive Agencies

Bodies set up by the Communities as referred to in art. 185 of the Financial Regulation

x National public-sector bodies/bodies with public-service mission

Shared or decentralised management

With Member states

With Third countries

Joint management with international organisations (please specify)

Relevant comments:

Customs duties are own resources of the EU and they are imposed by the national authorities of the Member States.

6. MONITORING AND EVALUATION

6.1. Monitoring system

The monitoring systems applied by DG TAXUD will be applied accordingl y.

6.2. Evaluation

6.2.1. Ex-ante evaluation

No specific ex-ante evaluation has been carried out.

6.2.2. Measures taken following an intermediate/ex-post evaluation (lessons learned from similar experiences in the past)

Not applicable.

6.2.3. Terms and frequency of future evaluation

No evaluation foreseen for the time being since the Decision will be redundant after accession of Turkey.

7. Anti-fraud measures

Due to the fact, that the sector of Processed Agricultural Products has not been identified as a sector, where committing fraud is very likely, the standard clearance account applies.

8. DETAILS OF RESOURCES

8.1. Objectives of the proposal in terms of their financial cost

Commitment appropriations in EUR million (to 3 decimal places)

(Headings of Objectives, actions and outputs should be provided) | Type of output | Av. cost | Year n | Year n+1 | Year n+2 | Year n+3 | Year n+4 | Year n+5 and later | TOTAL |

| | | No. outputs | Total cost | No. outputs | Total cost | No. outputs | Total cost | No. outputs | Total cost | No. outputs | Total cost | No. outputs | Total cost | No. outputs | Total cost |

OPERATIONAL OBJECTIVE No.1 [21]……… | | | | | | | | | | | | | | | | |

Action 1………………. | | | | | | | | | | | | | | | | |

- Output 1 | | | | | | | | | | | | | | | | |

- Output 2 | | | | | | | | | | | | | | | | |

Action 2………………. | | | | | | | | | | | | | | | | |

- Output 1 | | | | | | | | | | | | | | | | |

Sub-total Objective 1 | | | | | | | | | | | | | | | | |

OPERATIONAL OBJECTIVE No.2 1……… | | | | | | | | | | | | | | | | |

Action 1………………. | | | | | | | | | | | | | | | | |

- Output 1 | | | | | | | | | | | | | | | | |

Sub-total Objective 2 | | | | | | | | | | | | | | | | |

OPERATIONAL OBJECTIVE No.n 1 | | | | | | | | | | | | | | | | |

Sub-total Objective n | | | | | | | | | | | | | | | | |

TOTAL COST | | | | | | | | | | | | | | | | |

8.2. Administrative Expenditure

8.2.1. Number and type of human resources

Types of post | | Staff to be assigned to management of the action using existing and/or additional resources (number of posts/FTEs) |

| | Year n | Year n+1 | Year n+2 | Year n+3 | Year n+4 | Year n+5 |

Officials or temporary staff [22] (XX 01 01) | A*/AD | | | | | | |

| B*, C*/AST | | | | | | |

Staff financed [23] by art. XX 01 02 | | | | | | |

Other staff [24] financed by art. XX 01 04/05 | | | | | | |

TOTAL | | | | | | |

8.2.2. Description of tasks deriving from the action

8.2.3. Sources of human resources (statutory)

(When more than one source is stated, please indicate the number of posts originating from each of the sources)

Posts currently allocated to the management of the programme to be replaced or extended

Posts pre-allocated within the APS/PDB exercise for year n

Posts to be requested in the next APS/PDB procedure

Posts to be redeployed using existing resources within the managing service (internal redeployment)

Posts required for year n although not foreseen in the APS/PDB exercise of the year in question

8.2.4. Other Administrative expenditure included in reference amount (XX 01 04/05 – Expenditure on administrative management)

EUR million (to 3 decimal places)

Budget line(number and heading) | Year n | Year n+1 | Year n+2 | Year n+3 | Year n+4 | Year n+5 and later | TOTAL |

1 Technical and administrative assistance (including related staff costs) | | | | | | | |

Executive agencies [25] | | | | | | | |

Other technical and administrative assistance | | | | | | | |

- intra muros | | | | | | | |

- extra muros | | | | | | | |

Total Technical and administrative assistance | | | | | | | |

8.2.5. Financial cost of human resources and associated costs not included in the reference amount

EUR million (to 3 decimal places)

Type of human resources | Year n | Year n+1 | Year n+2 | Year n+3 | Year n+4 | Year n+5 and later |

Officials and temporary staff (XX 01 01) | | | | | | |

Staff financed by Art XX 01 02 (auxiliary, END, contract staff, etc.)(specify budget line) | | | | | | |

Total cost of Human Resources and associated costs (NOT in reference amount) | | | | | | |

Calculation– Officials and Temporary agentsReference should be made to Point 8.2.1, if applicable |

Calculation– Staff financed under art. XX 01 02 Reference should be made to Point 8.2.1, if applicable |

8.2.6 Other administrative expenditure not included in reference amount

EUR million (to 3 decimal places) |

| Year n | Year n+1 | Year n+2 | Year n+3 | Year n+4 | Year n+5and later | TOTAL |

XX 01 02 11 01 – Missions | | | | | | | |

XX 01 02 11 02 – Meetings & Conferences | | | | | | | |

XX 01 02 11 03 – Committees [26] | | | | | | | |

XX 01 02 11 04 – Studies & consultations | | | | | | | |

XX 01 02 11 05 - Information systems | | | | | | | |

2 Total Other Management Expenditure (XX 01 02 11) | | | | | | | |

3 Other expenditure of an administrative nature (specify including reference to budget line) | | | | | | | |

Total Administrative expenditure, other than human resources and associated costs (NOT included in reference amount) | | | | | | | |

Calculation - Other administrative expenditure not included in reference amount |

[1] OJ L 35, 13.2.1996, p. 1

[2] OJ L 126, 15.7.1997, p.26

[3] OJ L 35, 13.2.1996, p.1

[4] OJ L 126, 15.7.1997, p.26

[5] OJ L 253, 11.10.1993, p. 1, as last amended by Regulation (EC) No 2286/2003 (OJ L 343, 31.12.2003)

[6] OJ 217, 29,12.1964, p. 3687

[7] OJ L 35, 13.2.1996, p. 1

[8] OJ L 126, 15.7.1997, p.26

[9] Products, which are excluded from the Duty Free Quota: 1704 90 99 9080, but including Halva and Lokoum

[10] Products, which are excluded from the Duty Free Quota: 1806 20 80 9080, 1806 20 95 9080, 1806 90 90 1980, 1806 90 90 9980

[11] Application delayed till the problems regarding imports into EU of milk and milk products originating in Turkey will be solved

[12] Application delayed till the problems regarding imports into EU of milk and milk products originating in Turkey will be solved

[13] Differentiated appropriations

[14] Non-differentiated appropriations hereafter referred to as NDA

[15] Expenditure that does not fall under Chapter xx 01 of the Title xx concerned.

[16] Expenditure within article xx 01 04 of Title xx.

[17] Expenditure within chapter xx 01 other than articles xx 01 04 or xx 01 05.

[18] See points 19 and 24 of the Interinstitutional agreement.

[19] Additional columns should be added if necessary i.e. if the duration of the action exceeds 6 years

[20] If more than one method is indicated please provide additional details in the "Relevant comments" section of this point

[21] As described under Section 5.3

[22] Cost of which is NOT covered by the reference amount

[23] Cost of which is NOT covered by the reference amoun

[24] Cost of which is included within the reference amount

[25] Reference should be made to the specific legislative financial statement for the Executive Agency(ies) concerned

[26] Specify the type of committee and the group to which it belongs

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