COMMISSION OF THE EUROPEAN COMMUNITIES 
J,gU2 C0M(93) 540 final 
Brussels, 5 November 1993 
..•"'Jill 
Proposal for a 
COUNCIL REGULATION (EEC) 
on special arrangements for imports of maize and sorghum 
into Spain for the year 1993 
"^•giw 
(presented by the Commission) 
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EXPLANATORY MEMORANDUM 
According to the Agreement between the European Economic Community and the 
i 
United States of America for the conclusion of the negotiations under GATT 
Article XXIV.6, as approved by Council Decision of 30 January 1987, the 
Community was committed to open an annual quota of 2 million tonnes of maize 
and 0.3 million tonnes of sorghum for import into Spain for each of the 
years 1987 to 1992. These annual quotas were to be reduced by the quantities 
of certain cereal substitutes imported into Spain within the same year. 
An extension of the initial Agreement between the Community and the United 
States of America for 1993 was approved by Council Regulation (EEC) 
No 991/93 of 23 April 1993. Special arrangements for imports of maize and 
sorghum into Spain should be laid down for 1993, with the aim of ensuring 
fulfilment of the above-mentioned commitment. As the Agreement was concluded 
under Article 113 of the Treaty, the Community has exclusive competence for 
these arrangements. 
Accordingly, the present draft regulation provides for special arrangements 
for imports with retroactive effect from 1 January 1993. 
Proposal for 
COUNCIL REGULATION (EEC) No 
of 1993 
on special arrangements for imports of maize and sorghum 
into Spain for the year 1993 
THE COUNCIL OF THE EUROPEAN COJOIUNITIES, 
Having regard to the Treaty establishing the European Economic community, 
and in particular Article 113 thereof, 
Having regard to the proposal from the Commission*, 
Whereas, under Council Regulation (EEC) No 991/93 of 23 April 19932 
extending the measures taken under the Agreement between the European 
Economic Community and the United States of America for the conclusion of 
the negotiations under GATT Article XXIV.6, the Community undertook, in 
respect of the year 1993, to open a quota for imports into Spain of two 
million tonnes of maize and 300 000 tonnes of sorghum, minus the quantities 
of certain grain substitutes imported into that country during the same 
year; whereas the quantities of maize and sorghum imported must be used or 
processed in Spain; whereas the Community has sole competence for the said 
Agreement; 
Whereas, to ensure that the Agreement between the European Economic 
Community and the United states of America is implemented, the extended 
arrangements provide for direct purchase on the world market or application 
of a levy reduction system; whereas, however, imports of maize and sorghum 
into Spain effected on preferential terms may create difficulties for the 
Community market; whereas, to overcome that difficulty, provision should be 
made for the possibility of applying a countervailing duty to processed 
products exported either to third countries or to the rest of the Community; 
1 OJ No C 
2 OJ No L 104, 29.4.1993, p. 1. 
whereas the combination of the advantages provided for under the 
arrangements established by council Regulation (EEC) No 715/9 0 of 5 March 
19903, as last amended by Commission Regulation (EEC) No 444/924 
applicable to imports into the Community of sorghum and maize originating in 
the African, Caribbean and Pacific (ACP) States or in the overseas countries 
and territories and under this Regulation is liable to create disturbances 
on the Spanish market in cereals; whereas that difficulty can be overcome by 
setting a special reduction of the levy on maize and sorghum imported under 
this Regulation; 
Whereas provisions are required to cover the operations arising from this 
Regulation according to the mechanisms laid down by Council Regulation (EEC) 
No 729/70 of 21 April 1970 on the financing of the common agricultural 
policy^, as last amended by Regulation (EEC) No 2048/886, and by Council 
Regulation (EEC) No 1883/78 of 2 August 1978 laying down general rules for 
the financing of interventions by the European Agricultural Guidance 
Guarantee Fund, Guarantee Section', as last amended by Regulation (EEC) 
No 787/898, 
HAS ADOPTED THIS REGULATION: 
Article 1 
For 1993 imports from third countries, for free circulation in Spain, of a 
maximum quantity of two million tonnes of maize and 300 000 tonnes of 
sorghum shall be effected as provided in the following Articles. 
J OJ No L H4, JU.J.jrJO, p. o%. 
4 OJ No L 52, 27.2.1992, p. 7. 
5 OJ No L 94, 28.4.1970, p. 3. 
6 OJ No L 185, 15.7.1988, p. 1. 
7 OJ No L 216, 5.8.1978, p. 1. 
8 OJ No L 85, 30.3.1989, p. 1. 
•Article 2 
The quantities referred to in Article 1 shall be reduced in proportion to 
any quantities of maize gluten, brewers' grains and citrus pulp imported 
into Spain from third countries during the year 199 3. where it is 
ascertained that the quantities of such products imported into Spain 
under the cover of documents establishing their Community status develop 
i i 
abnormally, the necessary action shall be taken in accordance with the 
procedure laid down in Article 23 of Council Regulation (EEC) No 1766/92 
of 30 June 19929. 
2. The quantities of maize and sorghum referred to in Article 1 shall be 
allocated to processing or use in Spain. 
Article 3 
1. Without prejudice to Article 4, in respect of imports of maize and 
sorghum into Spain, but within the quantitative limits set in Article 2, 
a reduction shall be applied to the levy fixed in accordance with 
Article 10 of Regulation (EEC) No 1766/92. 
2. The amount of the reduction shall be fixed, in accordance with the 
procedure laid down in Article 23 of Regulation (EEC) No 1766/92, at a 
level enabling disturbance of the Spanish market to be avoided. The 
reduction may also be fixed by a tendering procedure. 
The reduction may be differentiated for imports of maize and sorghum into 
Spain under Regulation (EEC) No 715/90. 
3. The reduction shall be applied to imports of maize and sorghum into Spain 
effected on the basis of a licence valid only in that Member State. 
9 OJ Ho L 181, 1.7.1992, p. 21 
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Article 4 
1. With a view to effecting the imports referred to in Article 1, it may be 
decided, under the procedure laid down in Article 23 of Regulation (EEC) 
No 1766/92, that the Spanish intervention agency shall purchase directly 
on the world market quantities of maize and sorghum to be determined, and 
shall place them under customs warehousing procedure as provided for in 
Council Regulation (EEC) No 2503/88 on customs warehouses10 and 
Regulation (EEC) No 2561/9011 laying down provisions for the 
implementation thereof. 
2. Quantities purchased pursuant to paragraph 1 shall be put up for sale on 
the Spanish domestic market, in accordance with the procedure laid down 
in Article 23 of Regulation (EEC) No 1766/92, on terms enabling market 
disturbance to be avoided. 
3. When the goods are placed in free circulation, an agricultural levy shall 
be charged, equal to the average of the levies applicable in Spain and 
fixed for the cereals concerned during the first 25 days of the month 
preceding the date of acceptance of the declaration of entry into free 
circulation, minus the difference between the threshold price and the 
intervention price for the same month. 
Entry into free circulation shall be effected by the Spanish intervention 
agency. 
when the purchasers of the goods make payment to the intervention agency, 
the selling price minus the levy shall correspond to revenue from sales 
within the meaning of Annex I to Regulation (EEC) No 3492/9012. 
4. The purchasing operation provided for in paragraph 1 shall rank as 
intervention for the purpose of stabilizing the agricultural markets 
within the meaning of Article 1(2)(b) of Regulation (EEC) No 729/70. 
10 OJ No L 225, 15.8.1988, p. 1. 
11 OJ No L 246, 10.9.1990, p. 1. 
12 OJ No L 337, 4.12.1990, p. 3. 
Payments by the intervention agency for buying as provided for in 
paragraph 1 shall be borne by the Community as they arise and shall be 
treated in the same way as the expenditure referred to in Article 2 of 
Regulation (EEC) No 1883/78. The Spanish intervention agency shall record 
the value of the merchandise purchased at a price of 'zero' in the 
account referred to in Article 4 of Regulation (EEC) No 1883/78. 
Article 5 
At a frequency to be determined, the commission shall record in accounts: 
the quantities of maize and sorghum imported into Spain from third 
countries, 
the quantities of maize gluten, brewers' grains and citrus pulp imported 
into Spain. 
For this purpose, the Spanish authorities shall supply the Commission 
regularly with all necessary information. 
Article 6 
The imports referred to in Article 2 shall be effected not later than the 
end of February of the following year. In the event of technical 
difficulties duly noted by the Commission a period of importation exceeding 
that time limit may be laid down in accordance with the procedure laid down 
in Article 23 of Regulation (EEC) No 1766/92. 
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Article 7 
Where the markets for products derived from maize or sorghum are disturbed, 
a countervailing duty may be introduced in accordance with the procedure 
laid down in Article 23 of Regulation (EEC) No 1766/92 for exports of the 
relevant products from Spain or for their consignment to other Member 
States. / 
Article 8 
The following shall be adopted in accordance with the procedure laid down in 
Article 23 of Regulation (EEC) No 1766/92: 
any measures needed to ensure that the cereals, the levy for which has 
been reduced, are actually processed or used in Spain; such measures may 
in particular provide for the deposit of a security, 
the other detailed rules for the application of this Regulation, and in 
particular those relating to the issue of import licences; such rules may 
stipulate that the licences may be issued only in Spain, after Commission 
endorsement. 
Article 9 
This Regulation shall enter into force on the day following its publication 
in the Official Journal of the European Communities. 
This Regulation shall be binding in its entirety and directly applicable in 
all Member States. 
Done at Brussels, For the Council, 
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T. BUDGET HEADING : Expenditure 1003 
Revenu 1000 APPROPRIATIONS : 214 (94 l.a.) 
1023.4 
2. TITLE : 
Proposal for a Council Regulation (EEC) on special arrangements for imports of maize and sorghum 
into Spain for the year 1993 f 
3. LEGAL BASIS : EEC Treaty, and in particular Article 43 thereof 
4. AIMS: 
To fix the quantities and lay down the implementing rules for the special arrangements for imports of 
maize and sorghum into Spain following the extension of the Agreement on the matter by Council 
Regulation (EEC) No 991/93. 
5. FINANCIAL IMPLICATIONS 
5.0 EXPENDITURE 
- CHARGED TO THE EC BUDGET 
(REFUNDS/INTERVENT IONS) 
- NATIONAL AUTHORITIES 
- OTHER 
5.1 REVENUE 
- OWN RESOURCES OF THE EC 
(LEVIES/CUSTOMS DUTIES) 
- NATIONAL 
5.0.1 ESTIMATED EXPENDITURE 
5.1.1 ESTIMATED REVENUE PERIOD OF 12 MONTHS 
(ECU mi 11 ion) 
119.5 
119.5 
1995 CURRENT FINANCIAL YEAR 
Ç1993) (ECU million) 
p.m. 
p.m. 
1996 FOLLOWING FINANCIAL YEAR 
(1994 (ECU million) 
119.5 
119.5 
1997 1998 
5.2 METHOD OF CALCULATION 
Revenue: 1.5 million t x ECU 66/t x 1.207 (double rate) = ECU 119.5 million 
Expenditure: 1.5 million t x ECU 66/t x 1.207 (double rate) = ECU 119.5 million 
6.0 CAN THE PROJECT BE FINANCED FROM APPROPRIATIONS ENTERED IN THE RELEVANT CHAPTER OF THE CURRENT BUDGET ? 
YES/XX 
6.1 CAN THE PROJECT BE FINANCED BY TRANSFER BETWEEN CHAPTERS OF THE CURRENT BUDGET ? 
6.2 WILL A SUPPLEMENTARY BUDGET BE NECESSARY ? 
6.3 WILL FUTURE BUDGET APPROPRIATIONS BE NECESSARY ? YES/XX 
XXX/NO 
YES/XX 
COMMENTS : 
The quantity provided for in Article 1(1) of 2.3 million t of maize and sorghum is reduced by 800 000 t, 
corresponding to the estimated quantities of maize gluten, brewers' grains and citrus pulp imported 
into Spain in 1993 in accordance with Article 2 of the same Regulation. 
The PDB takes account of these imports. 
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ISSN 0254-1475 
COM(93) 540 final 
DOCUMENTS 
EN 03 11 02 
Catalogue number : CB-CO-93-577-EN-C 
ISBN 92-77-60638-X 
Office for Official Publications of the European Communities 
L-2985 Luxembourg