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it * COMMISSION OF THE EUROPEAN COMMUNITIES 
Brussels, 24.06.1997 
COM(97) 318 final 
97/0175 (ACC) 
Proposal for a 
COUNCIL REGULATION (EC) 
laying down certain rules for the application of the special arrangements for imports of olive oil originating in 
Morocco 
(presented by the Commission) 

EXPLANATORY MEMORANDUM 
1. Article 17 of the Cooperation Agreement between the European Community and Morocco grants 
certain reductions in the levy on imports into the Community of olive oil other than that which has 
undergone a refining process. Those reductions consist of a flat-rate deduction of ECU 0.7245/100 kg 
and a deduction of ECU 14.60/100 kg provided that Morocco levies an export charge of an equal 
amount. 
Annex B to that Agreement stipulates that the amount to be deducted from the amount of the levy may 
be increased by an additional amount under the same conditions and arrangements as laid down in 
Article 17. That additional amount was set by an exchange of letters between the parties on 21 October 
1996 for the duration of the Cooperation Agreement currently in force. 
2. Article 18 of the Agreement provides for exemption from payment of the fixed component of the levy 
on imports into the Community of olive oil having undergone a refining process, wholly obtained in 
Morocco and transported direct from that country to the Community. 
3. As part of the Uruguay Round of multilateral trade negotiations, the Community has undertaken to 
calculate tariff equivalents for the variable levies and replace them by fixed customs duties. 
4. This could have prevented application of the concessions under the current arrangements. Pending the 
introduction of new rules by the Council, the Commission adopted transitional rules (Regulation (EC) 
No 2146/95, as last amended by Regulation (EC) No 2388/96), providing for deductions from the 
customs duties. This transitional arrangement expires on 30 June 1997. 
In order to meet the Community's commitments, it is therefore necessary to introduce a new Council 
Regulation to implement the concessions in their updated form. 
5. In addition, for the sake of administrative simplification, the Commission proposes that the Council 
should grant it authority to make amendments required to adapt to any future changes made to the 
agreements by the Council under the Management Committee procedure. 
-A 
Council Regulation (EC) No ...797 
of.... 
laying down certain rules for the application 
of the special arrangements for imports of olive oil 
originating in Morocco 
The Council of the European Union, 
Having regard to the Treaty establishing the European Community, and in particular Article 113 thereof, 
Having regard to the proposal from the Commission, 
Whereas Articles 17 and 18 of, and Annex B to, the Cooperation Agreement between the European Economic 
Community and the Kingdom of Morocco ^ provide for special arrangements for imports of olive oil falling 
within CN codes 1509 and 1510, wholly obtained in Morocco and transported direct from that country to the 
Community; 
Whereas, for olive oil falling within CN codes 1509 10 10, 1509 10 90 and 1510 00 10, the special 
arrangements provide for a flat-rate deduction of ECU 0.7245 per 100 kilograms from the applicable levy, 
representing the reduction provided for in Article 17(l)(a) of the Agreement; whereas, provided that Morocco 
levies an export charge, those arrangements provide for a further reduction of that levy corresponding to the 
amount of the special charge, but not exceeding ECU 14.60 per 100 kilograms, representing the reduction 
provided for in Article 17(1 )(b) of the Agreement and a deduction of ECU 14,60 per 100 kilograms, 
representing the additional amount provided for in Annex B to the Agreement; 
Whereas the Community has concluded an agreement in the form of an exchange of letters with Morocco 
extending the special arrangements after 1 January 1994 and for the duration of the Cooperation Agreement, 
on the basis of a flat-rate reduction in the customs duties^; 
Whereas the Agreement on Agriculture concluded during the Uruguay Round of multilateral trade 
negotiations-' provides that the variable levies applied to imports of agricultural products are to be replaced by 
fixed customs duties from 1 July 1995; 
1 OJ No L 264, 27.09.1978, p. 2. 
2 OJ No L 277, 30.10.1996, p. 35. 
Whereas continuation of the arrangements makes it necessary to adopt new implementing rules and repeal 
Council Regulation (EEC) No 1521/764; 
Whereas, in accordance with the Agreement, the special export charge should be reflected in the price of the 
olive oil upon importation into the Community; whereas, to ensure the correct application of the arrangements 
in question, the necessary measures should be adopted to ensure that the charge is paid at the latest when the 
oil is imported; 
Whereas, if the present conditions of the special arrangements provided for in the Cooperation Agreement are 
amended, in particular as regards the amounts, or if a new agreement is concluded, it will be necessary to 
adjust this Regulation to incorporate those changes; whereas provision should be made for those adjustments 
to be adopted by the Commission in accordance with the procedure laid down in Article 38 of Council 
Regulation No 136/66/EEC of 22 September 1966 on the establishment of a common organisation of the 
market in oils and fats^, as last amended by Regulation (EC) No 1581/96^; 
Whereas, by Regulation (EC) No 2146/95,^ the Commission introduced an autonomous system as a 
transitional measure expiring on 30 June 1997; whereas this Regulation should therefore apply from 1 July 
1997, 
HAS ADOPTED THIS REGULATION: 
Article I 
This Regulation lays down certain rules for the application of the special arrangements for imports of olive oil 
originating in Morocco. 
Article 2 
1. The rate of customs duty applicable to imports into the Community of olive oil other than that which 
has undergone a refining process, falling within CN codes 1509 10 10, 1509 10 90 and 1510 00 10, 
wholly obtained in Morocco and transported direct from that country to the Community, shall be 
reduced by ECU 0.7245 per 100 kilograms. 
2. Where Morocco levies a special export charge on that olive oil, wholly obtained in Morocco and 
transported direct from that country to the Community, the rate of customs duty shall be further 
reduced by an amount equal to the special charge but not exceeding ECU 14.60 per 100 kilograms, 
plus ECU 14.60 per 100 kilograms. 
3. The reduction in the rate of customs duty provided for in paragraph 2 shall apply to all imports for 
which the importer provides proof, when importing the olive oil, that the special export charge is 
reflected in the import price. 
3 OJNo L 336, 23.12.1994, p. 1. 
4 OJNo LI 69, 28.6.1976, p. 43. 
5 OJ No 172, 30.9.1966, p. 3025. 
6 OJNoL206, 16.8.1996, p. 11. 
7 OJ No L 215, 9.9.1995, p. 1. 
Article 3 
1. The rate of customs duty applicable to imports into the Community of olive oil having undergone a 
refining process falling within CN code 1509 90 00, wholly obtained in Morocco and transported 
direct from that country to the Community, shall be reduced by ECU 4,661 per 100 kilograms. 
2. The rate of customs duty applicable to imports into the Community of olive oil having 
undergone a refining process falling within CN code 1510 00 90, wholly obtained in 
Morocco and transported direct from that country to the Community, shall be reduced by ECU 8,754 
per 100 kilograms. 
Article 4 
Detailed rules for the application of this Regulation shall be adopted by the Commission in accordance with 
the procedure laid down in Article 38 of Council Regulation No 136/66/EEC. 
Article 5 
Where the present conditions of the special arrangements provided for in the Cooperation Agreement are 
amended, in particular as regards the amounts, or where a new agreement is concluded, the Commission shall 
adopt the resultant adjustments necessary for this Regulation in accordance with the procedure laid down in 
Article 38 of Council Regulation No 136/66/EEC. 
Article 6 
Council Regulation (EEC) No 1521/76 is hereby repealed. 
Article 7 
This Regulation shall enter into force on the day following its publication in the Official Journal of the 
European Communities. 
It shall apply from 1 July 1997. 
This Regulation shall be binding in its entirety and directly applicable in all Member States. 
Done at Brussels, 
For the Council 
The President 
6-
FINANCIAL STATEMENT 
BUDGET HEADING: Article 120 (customs duties and other duties) APPROPRIATIONS: ECU 13 559.10m 
TITLE: Proposal for a Council Regulation laying down certain rules for the application of the special arrangements for 
imports of olive oil originating in Morocco 
LEGAL BASIS: Article 113 of the Treaty 
AIMS OF MEASURE: 
Definitive introduction of the concessions granted in their updated form. 
FINANCIAL IMPLICATIONS (in ECU million) PERIOD OF 12 
MONTHS CURRENT 
FINANCIAL 
YEAR (96) FOLLOWING 
FINANCIAL 
YEAR (97) 
5.0. EXPENDITURE CHARGED TO: 
- EC BUDGET 
(REFUNDS/INTERVENTION) 
- NATIONAL BUDGETS 
- OTHER SECTORS 
5.1. REVENUE 
- OWN RESOURCES OF THE EC 
- (LEVIES/CUSTOMS DUTIES) 
- NATIONAL 
5.0.1. ESTIMATED EXPENDITURE 
5.1.1. ESTIMATED REVENUE 1998 1999 2000 2001 
5.2. METHOD OF CALCULATION: 
6.0. CAN THE PROJECT BE FINANCED FROM APPROPRIATIONS ENTERED IN THE RELEVANT 
CHAPTER OF THE CURRENT BUDGET? 
6.2. YES/NO 
6.1. CAN THE PROJECT BE FINANCED BY TRANSFER BETWEEN CHAPTERS OF THE CURRENT 
BUDGET? 
IS A SUPPLEMENTARY BUDGET NECESSARY? NO 
6.3. WILL FUTURE BUDGET APPROPRIATIONS BE NECESSARY? 
OBSERVATIONS: 
This measure brings into force on a definitive basis the transitional arrangements introduced by the Commission under Regulation 
No 2146/95, as last amended by Regulation No 2388/96. There are no additional financial implications. 
ISSN 0254-1475 
COM(97) 318 final 
DOCUMENTS 
EN 02 03 11 
Catalogue number : CB-CO-97-306-EN-C 
ISBN 92-78-21619-4 
Office for Official Publications of the European Communities 
L-2985 Luxembourg