COMMISSION OF THE EUKOPEAN COMVIUNITIES 
*^^?-:!':''':..;t$j$te>,&sÊ C0M(93) 135 final 
Brussels, 15 April 1993 
Proposal for a 
COUNCIL REGULATION (EEC) 
aying down the trade arrangements applicable to certain goods 
resulting from the processing of agricultural products 
r^—'—as T ""amamm 
-•«.." i"ïi 
>**.*aa (presented by the Commission) 
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EXPLANATORY MEMORANDUM 
The present proposal for a regulation establishes the general rules to be 
adopted at the Community level In order to permit uniform application In the 
Community of the common agricultural policy and the common commercial 
policy, as laid down by the Treaty, to goods resulting from the 
transformation of agricultural products. 
1. INTRODUCTION 
The trade arrangements applicable to goods not covered by Annex II to the 
Treaty, as originally laid down by Council Regulation 160/66, are currently 
governed by Regulations (EEC) Nos 3033/80 and 3034/80 as regards the general 
rules and measures applicable to imports and by Council Regulation (EEC) 
No 3035/80 as regards exports. 
Since 1967 the granting of export refunds on certain agricultural products 
exported in the form of goods not covered by Annex II has been determined by 
each common organization of the market for which such refunds are considered 
desirable, the sectors concerned being milk, cereals and rice, eggs and 
sugar. 
The rules applicable to the exportation of goods eligible for these refunds 
depend, first, on the measures adopted under the common agricultural policy 
- whether these measures are Internal or applicable to exports - and 
secondly on conditions related to the actual manufacture of the goods. 
Owing to the differences in those conditions and in the manufacturing 
processes, the agricultural raw materials used and the scope for 
substituting other agricultural or Industrial products, the provisions 
governing exports need to be regularly adjusted. 
As far as Importation is concerned, certain goods falling within Chapters 1 
to 24 of the Combined Nomenclature, but not covered by Annex M to the 
Treaty, and certain goods classified under subsequent chapters of the CN, 
are subject to a charge comprising an ad valorem duty designed to protect 
the processing industry and a variable component to offset the differences 
between world market prices and the prices on the Community market of 
agricultural products In the milk, sugar and cereals and rice sectors which 
are Incorporated In such goods. 
These arrangements do not apply to the other non-Annex II products falling 
within Chapters 1 to 24 of the CN. 
However, for the purposes of the accession agreements and the association 
agreements with the EFTA countries and, subsequently, with the countries of 
central and eastern Europe, it was necessary to take account of the content 
of basic agricultural products in all processed agricultural products not 
covered by Annex I I to the Treaty. 
In view of the International situation and the regular changes that have 
been made to the common organizations of the market, a more thoroughgoing 
revision of the trade arrangements in respect of goods not covered by 
Annex II to the Treaty is needed. 
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I. TRADE ARRANGEMENTS 
Over and above the revamping of Regulation (EEC) No 3033/80, a number of new 
aspects have been built into the existing trade arrangements. 
1. Basis of the Regulation. A fresh look has been taken at the basis of the 
Regulation in the light of experience and of the way the institutions have 
developed. The main thrust of this proposal for a Regulation is to take 
Into consideration all the various aspects of the differences between 
Community and world market prices of certain agricultural products used in 
the manufacture of goods not covered by Annex II to the Treaty, In so far as 
price levels in the Community are directly linked to the existence of the 
common agricultural policy. The proposal also includes a number of outline 
provisions concerning preferential trade arrangements. 
Hence, this proposal Is based on Articles 43 and 113 of the Treaty. 
2. Administering the arrangements. In order to Implement these 
arrangements, certain measures adopted under the common organization of 
markets have to be extended to include agricultural products used in the 
manufacture of non-Annex II goods. It is also necessary to take account of 
market data and technological progress and to devise a suitable procédure 
for finding practleal solutions to specific problems. 
Consequently, on the basis of the experience gained In the management of 
agricultural markets and of goods trade arrangements within the Article 235 
Group for processed agricultural products, It Is proposed that the detailed 
implementing measures should be laid down by the management committee 
procedure. This presupposes that a management committee take over both the 
tasks currently carried out by the Article 235 Group and the administration 
of the preferential agreements (EEA agreement). 
3. Scope. Since the proposal also covers the preferential agreements, all 
the non-Annex II goods falling within Chapters 1 to 24 of the Combined 
Nomenclature which are subject to Import duty, plus the other goods already 
referred to In Regulation (EEC) No 3033/80, have been grouped together in a 
single Régulât ion, even though the provisions on preferential agreements are 
relevant only to new goods. 
Indeed, since as long ago as 1973 these agreements have had to take account 
of the differences In the cost of purchasing agricultural products for the 
manufacture of goods which are produced on a highly Industrial scale In the 
Community, but which are st111 very closely linked with agricultural policy 
in a number of non-Community countries. 
Likewise, in the accession negotiations with Spain and Portugal, there was 
found to be no suitable frame of reference when It came to laying down 
provisions on the alignment of prices. 
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4. Other provisions. This proposal covers all the general provisions 
directly linked to the existence of the common agricultural policy in the 
Community and which call for price levels that differ substantially from 
those obtaining on third country markets. Over and above its general 
provisions it also seeks to ensure better management of trade through the 
setting-up'of an ad hoc management committee. 
J-LL, REFUND ARRANGEMENTS 
These arrangements are governed at present by Council Regulation (EEC) 
No 3035/80. 
However, In the context of the reform of the common agricultural policy the 
Council decided, when adopting Regulation (EEC) No 1766/92 on the common 
organization of the market In cereals, to make the Commission responsible 
for drawing up the detailed Implementing measures under the management 
committee procedure, and in particular the export refund arrangements. 
These arrangements also cover exports of cereals In the form of goods not 
listed In Annex II to the Treaty. 
Applying the refund arrangements to goods not covered by Annex I I requires 
common Implementing procedures in order to take account of the specific 
aspects of incorporating and processing agricultural products In the 
manufacture of such goods. 
Article 11 of the draft Regulation replacing Regulation 3033/80 therefore 
makes it clear that refunds may be granted in respect of agricultural 
products exported In the form of non-Annex I I goods pursuant to the 
Regulations on the common organization of the market in the agricultural 
sector; the procedure used to determine the amount of the refund Is the same 
as that used to determine the amount of refund for agricultural products 
exported unprocessed, whereas the common refund arrangements are adopted by 
the Joint management committee procedure to take due account of the 
particularities of processing these products to produce goods which are not 
covered by Annex II to the Treaty. 
Article 20 of the Regulation provides for the repeal of Regulation 3035/80 
and Its replacement by implementing measures adopted by the Commission under 
the (Joint) management committee procedure. 
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Proposal for a 
COUNCIL REGULATION (EEC) 
aying down the trade arrangements applicable to certain goods 
resulting from the processing of agricultural products 
THE COUNCIL OF THE EUROPEAN COMMUN ITI ES, 
Having regard to the Treaty establishing the European Economic Community, 
and in particular Articles 43 and 113 thereof, 
Having regard to the proposal from the Commission, 
Having regard to the opinion of the European Parliament, 
Having regard to the opinion of the Economic and Social Committee, 
Whereas Articles 38 to 47 of the Treaty provide for the establishment of a 
common agricultural poI icy covering the agricultural products listed in 
Annex II to the Treaty; 
Whereas certain agricultural products are used in numerous goods not 
covered by Annex 11 ; 
Whereas, it is necessary to provide for measures under the common 
agricultural policy and the common commercial policy to take account of the 
impact of trade in such goods on the objectives of Article. 39 of the Treaty 
and of the impact of the measures adopted to implement Article 43 of the 
Treaty on the economic position of such goods, given the differences 
between the costs of procuring agricultural products within and outside the 
Community and the differences in the prices of agricultural products; 
Whereas the Treaty lays down that agricultural policy and commercial policy 
are Community policies; whereas it is necessary to establish for certain 
goods resulting from the processing of agricultural products, general and 
comprehensive rules, appIicab le at Community level, relative to trade in 
these goods, in order to attain the objectives of the Treaty; 
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Whereas Council Regulation (EEC) No 3033/80 of 11 November 1980 laying down 
the trade arrangements applicable to certain goods resulting from the 
processing of agricultural goods1, as last amended by Regulation (EEC) 
No 1436/902, provides for the levying on imports of certain goods of a 
charge consisting of a fixed component for the protection of the processing 
industry and a variable component to offset any difference between the 
prices of the relevant agricultural products in the Community and on the 
worId market ; 
Whereas certain amendments are needed to the rules applicable to trade in 
these goods to take account of developments in the Community's agreements 
and in the common agricultural policy; 
Whereas certain goods falling within Chapters 1 to 24 of the Combined 
Nomenclature are not covered by Regulation (EEC) No 3033/80; whereas these 
goods are also obtained using agricultural products subject to the common 
agricultural policy; whereas the charges applied to imports of such goods 
must therefore likewise cover the difference between the world market 
prices and the prices on the Community market for the agricultural products 
used in their production and ensure the protection of the processing 
industry concerned; whereas it is therefore necessary to consolidate the 
rules applying to all the goods obtained in significant proportion from 
agricultural products; 
Whereas, under agreements entered into, the Community is to limit such 
charges to covering, in whole or in part, differences in the price of 
agricultural products used in the production of the goods in question; 
whereas it is accordingly necessary to establish for these goods that part 
of the overall charge which covers the differences between the prices of 
the agricultural products taken into account; 
Whereas, for the basic products concerned, the offsetting of the price 
differences between the world market and the Community market takes the 
form of agricultural levies; whereas it is necessary to maintain a close 
link between calculation of the agricultural component of the charge 
applicable to goods and that applicable to basic products imported in the 
unaltered state; 
1 OJ No L 323, 29.11.1980, p. 1 
2 0J No L 138, 31.5.1990, p. 9. 
Whereas, in order to avoid undue administrative formalities, negligible 
amounts should not be applied and Member States should be permitted to 
refrain from adjusting amounts relating to a given transaction where the 
balance of the amounts concerned is itself negligible-, 
Whereas the implementation of preferential agreements should not complicate 
the procedures applicable to trade with third countries; whereas the 
implementing rules must therefore ensure that goods declared for export 
under a preferential arrangement are not in fact exported in accordance 
with the general arrangements and vice versa; 
Whereas arrangements must be made for export refunds on certain 
agricultural goods used in the manufacture of goods not covered by Annex M 
to the Treaty in order not to penalize producers of the said goods for the 
prices at which they are obliged to procure their supplies as a result of 
the common agricultural policy; whereas such refunds should cover only the 
difference between the price of an agricultural product in the Community 
market and world market respectively; whereas these arrangements should 
accordingly be established as part of the common organization of the 
markets concerned; 
Whereas Article 13 of Council Regulation (EEC) No 1766/92 of 30 June 1992 
on the common organization of the market in cereals** and the corresponding 
articles of certain other regulations on the common organization of the 
markets in agricultural products provide for the granting of such refunds-, 
whereas the implementing rules should be adopted under the management 
committee procedure referred to in Article 23 of Regulation (EEC) 
No 1766/92 and the corresponding articles of the other regulations 
concerned; whereas the amounts of the refunds should be fixed under the 
same procedure as the amounts of the refunds for the agricultural products 
exported in the unaltered state; whereas the common implementing rules for 
the said procedure must be established with due regard for the 
manufacturing processes of the goods concerned; whereas the implementing 
rules should accordingly be established on the same basis; 
OJ No L 181, 1.7.1992, p. 21 
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Whereas the mechanism of agricultural protection provided for by this 
Regulation may prove defective under exceptional circumstances; whereas 
this risk may also appear in the context of preferential agreements; 
whereas in order to avoid, in such cases, that the Community market remains 
without defence against disturbances which could result from this, it is 
appropriate to provide for the rapid taking of all necessary measures; 
Whereas Council Regulation (EEC) No 1999/85 of 16 July 1985 on inward 
processing4, as last amended by Regulation (EEC) No ....5, should be made 
applicable to trade covered by this Regulation; 
Whereas the distinction drawn between agricultural products covered by 
Annex II to the Treaty and goods not covered by Annex II is a criterion 
specific to the Community, based on the situation of agriculture and the 
food industry in the Community; whereas the situation may be appreciably 
different in certain third countries with which the Community concludes 
agreements; whereas, therefore, provision must be made in such agreements 
that the general rules applicable to processed agricultural products not 
covered by Annex II to the Treaty may be extended, mutat is mutandis, to 
certain processed agricultural products covered by Annex II to the Treaty; 
Whereas this Regulation requires detailed implementing rules; whereas it is 
appropriate for those detailed rules to be laid down after consulting a 
management committee on which the Member States are represented; whereas 
the rules should include, in particular, rules to replace Council 
Regulation (EEC) No 3034/80 of 11 November 1980 fixing the quantities of 
,i 
basic products considered to have been used in the manufacture of the goods 
covered by Regulation (EEC) No 3033/806, as last amended by Commission 
Regulation (EEC) No 572/917, 
HAS ADOPTED THIS REGULATION: 
Article 1 
1. This Regulation determines the trade arrangements applicable to 
certain goods referred to in paragraph 2, 
4 OJ No L 188, 20.7.1985, p. 1. 
5 
6 OJ No L 323, 29.11.1980, p. 7. 
7 0J No L 63, 9.3.1991, p. 24. 
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(a) in the manufacture of which one or more agricultural products have 
been used, either unprocessed or after processing, or 
(b) which, in accordance with Article 13(2), are considered to be 
manufactured from products referred to in (a), or 
(c) which are classified under the same (eight-digit) Combined 
Nomenclature code as the goods referred to in (a) and (b). 
2. For the purposes of this Regulation, 
"agricultural products" means the products covered by Annex ll to 
the Treaty; 
"basic products" means agricultural products the price of which 
differs between the Community market and the world market or, in 
the framework of preferential trade arrangements, the market of 
certain third countries; 
"goods" means the products not covered by Annex I I to the Treaty, 
listed in Annex B to this Regulation, obtained wholly or partly 
from agricultural products, and the agricultural products listed 
in Annex C, which are assimilated to goods under preferential 
agreements. 
Title I 
TRADE ARRANGEMENTS 
Chapter 1 
IMPORTATION 
Art icle 2 
1. On importation into the Community, the goods listed in Annex B shall 
be subject to a charge; this charge shall take account of: 
(a) the conditions for production and marketing of those goods; 
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(b) the difference between the prices on the Community market of the 
agricultural products considered to have been used in their 
production and the prices of imports from third countries, where 
the total cost of the basic products in question is higher in the 
Community, or, in the case of preferential trade, the prices of 
the agricultural products in certain third countries. 
2. For the goods listed in Table 1 of Annex B, the charge referred to in 
paragraph 1 shall consist of: 
"'-" an ad valorem duty, which is the fixed component of the charge 
referred to in point (a) of paragraph 1; 
an "agricultural component" to offset the price differences 
referred to in point (b) of paragraph 1. 
The agricultural component may take the form of a variable component 
established in line with the conditions laid down in Articles 3 and 4 
or of a fixed component established in line with the conditions laid 
down i n Ar t i cIe 5. 
3. For the goods listed in Table 2 of Annex B, the agricultural component 
shall consist of an ad valorem duty and/or a specific amount 
established per measurement unit. 
For trade with certain countries with which the Community has signed a 
preferential agreement, this agricultural component may be replaced by 
one of the forms referred to in paragraph 2. 
4. Subject to Article 10, the levying of any customs duty or charge 
having equivalent effect other than the charge provided for in 
paragraph 1 shall be prohibited. 
Art icle 3 
1. The Commission shall fix, for each of the goods listed in Table 1 of 
Annex B, the variable component calculated on the basis of the 
difference referred to in paragraph 2 for the quantity of basic 
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products to be taken into account, established in accordance with 
Article 13. For this purpose, only the agricultural products listed 
in Annex A shall be taken into account. 
2. For each of the basic products the Commission shall establish: 
either the difference between: 
(a) the average threshold price applicable over the reference 
period for which the variable components are fixed, and 
(b) the average cif price (excluding special cif prices) or, where 
appropriate, the free-at-frontier prices used for fixing the 
levy applicable during the period preceding the period for 
which the variable component was fixed, 
or, in the case of isoglucose, the average levies referred to in 
Article 16(6) of Council Regulation (EEC) No 1785/818 applicable 
over the period preceding the period for which the components are 
f i xed. 
3. The period referred to in paragraph 2 shall be one quarter. It may be 
subdivided into two subperiods of one and two months if the quarter is 
spread over two calendar years or two marketing years, or it may be 
longer than one quarter within the framework of preferential 
agreements. 
For the purposes of calculating the cif prices, the free-at-frontier 
prices or the levies, the figures for the last 20 days of the period 
preceding the period for which the component is fixed shall not be 
taken into consideration. 
4. If one of the figures used for calculating the difference referred to 
in paragraph 2 is not available for one or more basic products, the 
Commission shall replace the missing figure with the corresponding 
figure for the closest period available, corrected, where appropriate, 
by the monthly gradation of payments or with any other known details 
affecting comparison between the missing figure and the figure chosen 
to replace it. 
OJ No L 177, 1.7.1981, p. 4 
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When the factor which was not available is determined, the Commission 
may fix the corrected variable components if, by reason of the 
application of the first subparagraph, trade is seriously disrupted or 
is in danger of being seriously disrupted. 
Art icle 4 
1. Where the Common Customs Tariff lays down a maximum charge, the charge 
provided for in Article 3 may not exceed this maximum. 
Where the maximum charge referred to in the first subparagraph may be 
applied only under specific conditions, these conditions shall be 
determined in accordance with the procedure laid down in Article 11(1) 
of Council Regulation (EEC) No 265S/879. 
2. Where the maximum charge includes an additional duty on various kinds 
of sugar, expressed as sucrose (AD S/Z), or on flour (AD F/M), such 
additional duty shall be calculated, as appropriate, taking either 
sugar or flour as the sole agricultural product. 
The quantity of sugar or flour shall be determined under the 
conditions laid down in Article 13(1). 
Where the quantities of sugar or flour actually used, as provided for 
in Article 13(1), are not known, these quantities shall be determined 
under the same conditions as applied for the purposes of establishing 
the agricultural component. 
3. The Commission shall determine for each period referred to in 
Art icle 3(3): 
(a) the amount of the additional duties, calculated in accordance with 
paragraph 2 of this Article; 
(b) the price differences applicable to the additional duties, 
determined in accordance with Article 3(2). 
OJ No L 256, 7.9.1987, p. 1. 
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Art icle 5 
1. If the levies applicable to imports of the basic products referred to 
in Annex A are replaced by fixed amounts, the agricultural components 
applicable to the goods referred to in Table 1 of Annex B shall be 
calculated on the basis of these amounts. 
2. For each basic product to be taken into account in calculating the 
agricultural component of the charge, the amount established in 
application of Article 3(2) shall be replaced by the amount applicable 
to the basic product considered to have been used. 
3. The date from which the fixed amounts applicable to imports of basic 
products shall be taken into account in establishing the agricultural 
component of the charge shall be determined in accordance with the 
procedure laid down in Article 16. 
Art icle 6 
1. For the purposes of determining the agricultural component in the case 
of preferential trade: 
(a) the quantities of agricultural products used, as determined in 
accordance with Article 13(1), may be replaced by the quantities 
actually used in the country of origin if the Community has 
concluded a customs cooperation agreement covering the 
establishment of such quantities; in this case, conversion 
coefficients shall be established taking account of the parties' 
respective definitions of these basic products to make them 
directly comparable; 
(b) the price difference referred to in Article 3(2) may be replaced 
by a system of direct offsetting of the differences in 
agricultural prices in the Community and the region concerned or 
by direct offsetting vis-à-vis a jointly established price 
recognized for the region Concerned; 
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(c) where application of point (b) results in differences with little 
impact on the goods covered, this arrangement may be replaced by a 
system of flat-rate amounts or rates in order to reduce the 
administrative workload. 
2. The agricultural components referred to in paragraph 1 may apply for a 
period different from the period allowed for non-preferential trade. 
3. The ad valorem duties corresponding to the agricultural component of 
the charge for the goods in Table 2 of Annex B may be replaced by 
another agricultural component within the framework of a preferential 
agreement. 
4. The detailed rules for applying paragraphs 1 to 3 shall be adopted in 
accordance with the procedure laid down in Article 16 if the agreement 
concerned determines: 
the agricultural prices adopted in the agreement; 
the period for which these agricultural components are fixed; 
the goods and agricultural products subject to the rules of the 
agreement. 
Any component or components not determined in the agreement in 
question shall be adopted by the Council in accordance with the 
procedure laid down in Article 113 of the Treaty. 
5. The other implementing rules necessary in order to establish 
preferential arrangements shall be determined in accordance with the 
procedure laid down in Article 16. 
These provisions shall cover in particular: 
establishment of the amounts referred to in paragraph 1(b); 
completion and circulation of the documents necessary for granting 
these arrangements; 
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- the measures necessary to avoid diversion of trade; 
where the amounts to be granted on export under a preferential 
agreement referred to in Article 8(4) are also concerned, the 
measures to guarantee that the goods declared for export under a 
• preferential arrangement are not in fact exported under a 
non-preferential arrangement or vice versa. 
6. Where methods of analysing the agricultural products used are 
necessary, the methods specified for the agricultural products in 
question in the case of export refunds for third countries shall be 
used. 
Art icle 7 
1. Where a preferential agreement provides for the reduction or phasing 
out of the part of the charge referred to in Article 2(1)(a), this 
shall be the fixed component in the case of the goods listed in 
Table 1 of Annex B. In the case of the other goods covered by the 
agreement, this part of the charge shall be obtained by deducting from 
the total charge the agricultural component provided for in the 
agreement unless the agreement makes provision for determining this 
part by some other means. 
2. Where a préfèrentiaI agreement provides for a reduction in the 
agricultural component of the charge, the detailed rules for 
determining and managing such reduced agricultural components shall be 
adopted in accordance with the procedure laid down in Article 16, 
provided the agreement specifies: 
the products eligible for these reductions; 
the quantities or value of any quotas to which these reductions 
apply or the method of calculating these quantities or values-, 
the percentage reductions in the agricultural compare for each 
basic product concerned. ; 
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Any component or components not determined in the agreement in 
question shall be adopted by the Council in accordance with the 
procedure laid down in Article 113 of the Treaty. 
Chapter 2 
EXPORTATION 
Art icle 8 
On exportation of the goods, the agricultural products which have been 
used and which satisfy the conditions laid down in Article 9(2) of the 
Treaty may qualify for refunds established pursuant to the regulations 
on the common organization of the market in the sectors concerned. 
No refund may be granted on agricultural products not covered by a 
common organization of the market providing for export refunds on 
products exported in the form of goods. 
The list of goods qualifying for refunds shall be established, taking 
account of : 
the impact of the difference between the prices on the Community 
market and on the world market of the agricultural products used 
in their production; 
the need to cover this difference in whole or in part, to allow 
exportation of the agricultural products used and of the goods 
concerned. 
The list shall be drawn up pursuant to the regulations on the common 
organization of the agricultural markets. 
The common implementing rules for the refund arrangements referred to 
in this Article shall be adopted pursuant to the regulations on the 
common organization of the agricultural markets. 
The amounts of the refunds shall be fixed in accordance with the same 
procedure as for the granting of refunds on the agricultural products 
concerned when they are exported in the unprocessed state. 
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4. Where the arrangements for the direct offsetting of agricultural 
prices referred to in Article 6(1)(b) are established within the 
framework of a preferential agreement, the amounts payable on exports 
to the country or countries concerned by the agreement shall be 
determined jointly and on the same basis as the agricultural component 
of the charge under the conditions laid down in the agreement. 
These amounts shall be established in accordance with the procedure 
laid down in Article 16. The implementing rules which may be 
necessary pursuant to this subparagraph shall be adopted by the same 
procedure as the provisions regarding refunds on exports to third 
countr ies. 
Art icle 9 
Where, pursuant to a regulation on the common organization of a particular 
market, levies, charges or other measures are applied to exports of an 
agricultural product listed in Annex A, appropriate measures with regard to 
certain goods the export of which is likely to hinder achievement of the 
objectives in the agricultural sector in question, because of their high 
content of the agricultural product concerned and the uses to which they 
may be put, may be decided, in accordance with the procedure laid down in 
Ar t ic le 16. 
Title 2 
GENERAL PROVISIONS 
Article 10 
Where there is a danger that a reduction in the agricultural component 
applicable to imports of goods under a preferential agreement could disturb 
the agricultural markets, the safeguard clauses applicable to imports of 
the agricultural products concerned shall also apply to the goods listed in 
Annex B. 
For the purposes of assessing the disturbances in question, account shall 
be taken of the characteristics of the goods actually imported under the 
preferential arrangements compared with the characteristics f the goods 
traditionally imported prior to the introduction of these arrangements. 
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Article 11 
The quantity of agricultural products covered by the regulations on the 
common organization of markets which is not subject to levies or charges 
having an equivalent effect to customs duties, for the purpose of or as a 
result of exporting such goods, shall be determined in accordance with 
Regulation (EEC) No 1999/85. 
The quantity of goods admitted under inward processing arrangements and, 
therefore, not subject to the charge provided for in Article 2 for the 
purpose of or as a result of exporting other goods shall be that actually 
used in the manufacture of the goods. 
Article 12 
1. Table 1 of Annex B may be amended by the Council acting in accordance 
with the procedure laid down in Article 113 of the Treaty. 
2. Table 2 of Annex B or Annex C may be amended in accordance with the 
procedure laid down in Article 16, in order to adapt them to the 
agreements concluded by the Community. 
3. The Commission shall adapt the Annexes to this Regulation to any 
amendments to the Combined Nomenclature in order to keep unchanged the 
arrangements in force prior to such amendments. 
Article 13 
1. The list of basic products and the quantity of each of the basic 
products considered to have been used in the manufacture of the goods 
covered by this Regulation wherever the composition of the goods in 
question has not been established shall be determined in accordance 
with the procedure laid down in Article 16. 
2. Without prejudice to measures adopted by the Council under the common 
agricultural policy, certain agricultural products may be treated as 
basic products, in accordance with the procedure laid down in 
Article 16, for the purposes of establishing terms for comparison of 
prices. 
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3. The characteristics of the basic products necessary in order to 
establish the terms for comparison of prices shall be determined in 
accordance with the procedure laid down in Article 16. 
Article 14 
1. The threshold or thresholds below which the amounts established in 
accordance with Article 3(2) shall be fixed at zero may be laid down 
or the non-application of the amounts established in accordance with 
Article 3(2) may be made subject to special conditions in order to 
avoid creating artificial trade flows, in both cases in accordance 
with the procedure laid down in Article 16, . 
2. A threshold below which Member States may refrain from applying 
amounts to be granted or levied pursuant to this Regulation in 
connection with a given economic transaction, may be established in 
accordance with the procedure laid down in Article 16, if the balance 
of these amounts is lower than that threshold. 
Article 15 
The Commission shall be assisted by a management committee hereinafter 
referred to as "the Committee", composed of representatives of the Member 
States and chaired by the representative of the Commission. 
Article 16 
In cases where reference is made to the procedure defined in this Article, 
the following provisions shall apply. 
The representative of the Commission shall submit to the Committee a draft 
of the measures to be taken. The Committee shall deliver its opinion on 
the draft within a time limit which the chairman may lay down according to 
the urgency of the matter. The opinion shall be delivered by the majority 
laid down in Article 148(2) of the Treaty in the case of decisions which 
the Council is required to adopt on a proposal from the Commission. The 
votes of the representatives of the Member States within the Committee 
Shall be weighted in the manner set out in that Article. The chairman shall 
not vote. 
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The Commission shall adopt measures which shall apply immediately. 
However, if these measures are not in accordance with the opinion of the 
Committee, they shall be communicated by the Commission to the Council 
forthwith. In that event, the Commission may defer application of the 
measures which it has decided for up to one month from the date of such 
commun icat ion. 
The Council, acting by a qualified majority, may take a different decision 
within one month. 
Article 17 
The Committee may examine any other matter referred to it by its chairman, 
either on the chairman's own initiative or at the request of a Member 
State. 
Article 18 
In accordance with the procedure laid down in Article 16: 
the amounts resulting from application of this Regulation may be 
amended when, during any three-monthly period, a threshold price is 
altered or a production refund or aid is introduced, amended or 
abolished; 
measures may be taken to bring the provisions of this Regulation into 
line with any technical amendments which may be made to the relevant 
regulations on agricultural products. 
Article 19 
Methods of qualitative and quantitative analysis of the goods and the other 
technical provisions necessary for identifying them or for determining 
then composition shall be adopted in accordance with the procedure laid 
down in Article 10 of Regulation (EEC) No 2658/87. 
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Art icle 20 
The Member States shall communicate to the Commission the information 
necessary for implementing this Regulation on imports, exports and 
production of the goods and on the administrative implementing measures 
adopted. The procedure for communication of this information shall be laid 
down in accordance with the procedure laid down in Article 16. 
Article 21 
Regulation (EEC) No 3033/80 is repealed on 1 January 1994. 
References to Regulation (EEC) No 3033/80 in any other Community 
instruments shall.be treated as references to this Régulât ion. 
Regulation (EEC) No 3034/80 is repealed on the date of entry into force of 
the regulation adopted pursuant to Article 13(1). 
Article 22 
1. This Regulation shall enter into force on the seventh day following 
that of its publication in the Official Journal of the European 
Commun i t i es. 
It shall apply with effect from 1 January 1994. 
2. The application of this Regulation to caseins falling within 
CN Code 3501 10 and to caseinates and other casein derivatives falling 
within CN Code 3501 90 90 shall be deferred until a further decision 
by the Counc i I. 
This Regulation shall be binding in its entirety and directly 
applicable in all Member States. 
Done at Brussels, For the Counci 
The President 
- 22 -
Annex A 
List of the agricultural products in respect of which price differences 
between the world market and the Community market can be offset* 
CN code Descr ipt ion 
0401 
0402 
ex 0403 
0404 
0405 
0709 90 60 
0712 90 19 
Chapter 10 
1701 
1703 Milk and cream, not concentrated nor containing added sugar 
or other sweetening matter 
Milk and cream, concentrated or containing added sugar or 
other sweetening matter 
Buttermilk, curdled milk and cream, yoghurt, képhir and 
other fermented or acidified milk and cream, whether or not 
concentrated or containing added sugar or other sweetening 
matter, not flavoured or containing added fruit, nuts or 
cocoa 
Whey, whether or not concentrated or containing added sugar 
or other sweetening matter, not elsewhere specified or 
i ncIuded 
Butter and other fats and oils derived from milk 
Sweet corn, fresh or chilled 
Dried sweet corn, whole, cut, sliced, broken or in powder, 
but not otherwise further prepared, other than hybrid sweet 
corn for sowing 
Cereals1 
Cane or beet sugar and chemically pure sucrose, in solid 
form 
Molasses resulting from the extraction or refining of sugar 
Agricultural products taken into account when used in the unaltered 
state or after processing or considered to have been used for the 
manufacture of the goods listed in Table 1 of Annex B. 
Excluding spelt for sowing falling within CN code 1001 90 10, hybrid 
seed maize falling within CN codes 1005 10 11 to 1005 10 19, rice for 
sowing falling within CN code 1006 10 10 and hybrid sorghum for sowing 
falling within CN code 1007 00 10. 
- 23 -
V1/V/V7-.A B 
Table 1 
CN code 
ex 0403 
0403 10 51 
to 
0403 10 99 
0403 90 71 
to 
0403 90 99 
0710 40 00 
071190 30 
ex 1517 
1517 10 10 
1517 90 10 
1702 50 00 
ex 1704 
1806 
1901 
ex 1902 
1903 
1904 
1905 
7001 V0 30 
2001 90 40 
2004 10 91 
2004 90 10 
2005 20 10 
2005 80 00 Dcsciiption 
Buttermilk, curdled milk and cream, yoghurt, képhir and other fermented or acidified 
milk and cream, whether or not concentrated or containing added sugar or other 
sweetening matter or flavoured or containing added fruit, nuts or cocoa : 
— Yoghurt, flavoured or containing added fruit or cocoa 
— Other, flavoured or containing added fruit or cocoa 
Sweet corn (uncooked or cooked by steaming or boiling in water), frozen 
Sweet corn provisionally preserved (for example, by sulphur dioxide gas, in brine, in 
sulphur water or in other preservative solutions), but unsuitable in that state for imme­
diate consumption 
Margarine ; edible mixtures or preparations of animal or vegetable fats or oils or of frac­
tions of different fats or oils of this chapter, other than edible fats or oils or their frac­
tions of heading No 1516: 
— Margarine, excluding liquid margarine containing more than 10 % but not more 
than 15% by weight of milk fats 
— Other, containing more than 10 % but not more than 15 % by weight of milk fats 
Chemically pure fructose 
Sugar confectionery (including white chocolate), not containing cocoa ; excluding 
liquorice extract containing more than 10 % by weight of sucrose but not containing 
other added substances, falling within subheading No 1704 90 10 
Chocolate and other food preparations containing cocoa 
Malt extract; food preparations of flour, meal, starch or malt extract, not containing 
cocoa powder or containing cocoa powder in a proportion by weight of less than 50 %, 
not elsewhere specified or included; food preparations of goods of heading Nos 0401 
to 0404, not containing cocoa powder or containing cocoa powder in a proportion by 
weight of less than 10 %, not elsewhere specified or included 
Pasta, whether or not cooked or otherwise prepared excluding stuffed pasta falling 
within subheadings 1902 20 10 and 1902 20 30, couscous, whether or not prepared 
Tapioca and substitutes therefor, prepared from starch in the form of flakes, grains, 
pearls, sittings or similar forms 
Prepared foods obtained by the swelling or roasting of cereals or cereal products (for 
example corn flakes); cereals, other than maize (corn), in grain form, pre-cooked or 
otherwise prepared 
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 
Swrrt corn pirparrd or pirvivrd by vinrgai oi atclic atul 
Yams, sweet potatoes and similar edible parts of plants containing 5 % or more by 
weight of starch, prepared or preserved by vinegar or acetic acid 
Potatoes in the form of flour, meal or flakes, prepared or preserved 
otherwise than by vinegar or acetic acid frozen 
Sweet corn picparcd or preserved otherwise than by vinegar or acetic acid ; frozen 
Potatoes in the form of flour, meal or flakes, prepared or preserved 
otherwise than by vinegar or acetic acid unfrozen 
Sweet corn (7.ea mays var. saccharata) prepared or preserved otherwise than by vinegar 
or acetic acid ; not frozen 
- 24 -
ex 2008 92 et 
ex 200S 99 
2008 99 85 
2008 99 91 
2101 10 99 
2101 20 90 
210130 19 
210130 99 
2102 1031 
to 
2102 10 39 
2105 
ex 2106 
2202 90 91 
2202 90 95 
2202 90 99 
2905 43 
2905 44 
ex 3501 
ex 3505 10 
3505 20 
3809 10 
3823 60 -Preparation of the Musli type based on unroasted cereal flakes 
- Other: 
— Containing added sugar: 
Sweet corn, otherwise prepared or preserved, not containing added spirit or added sugar 
Yams, sweet potatoes and similar edible parts of plants containing 5 % or more by 
weight of starch, otherwise prepared or preserved, not containing added spirit or added 
sugar 
Preparations with a basis of extracts, essences and concentrates of coffee or with a basis 
of coffee, other than those of CN code 2101 10 91 
Extracts, essences and concentrates of tea or mate and preparations with a basis of 
these extracts, or with a basis of tea or maté, other than those of CN code 2101 20 10 
i 
Roasted coffee substitutes excluding roasted chicory 
Extracts, essences and concentrates of roasted coffee substitutes excluding those of 
roasted chicory 
Bakers' yeast 
Ice cream and other edible ice, whether or not containing cocoa 
Food preparations not elsewhere specified or included other than those falling within 
subheadings 2106 10 10 and 2106 90 91 and other than flavoured or coloured sugar 
syrups 
Non-alcoholic beverages, not including fruit or vegetable juices of heading No 2009, 
containing products of Nos 0401 to 0404 or obtained from products of heading Nos 
0401 to 0404 
Mannitol 
D-Glucitol (sorbitol) 
Caseins casemates and other casein derivatives 
Dextrins and other modified starches, excluding esterified or etherified starches of 
subheading 3505 10 50 
Glues based on starches or on dextrins or other modified starches 
Prepared glazings and prepared tlressings with a basis of amylaceous substances 
Sorbitol other than of subheading 2905 44* 
Table 2 - 25 -
CNCode 
0505 
0505 10 
0505 10 90 
0505 90 
0509 00 90 
1212 20 
1302 12 
1302 13 
1302 14 
1302 19 30 
and 1302 19 
91 
ex 1302 20 
1302 31 
1302 32 10 
1505 
1506 
1515 60 
1516 20 10 
1517 90 93 
ex 1518 
1519 
1520 
1521 
1522 00 10 
1702 90 10 
1704 90 10 Description 
Skins and other parts of birds, with their feathers or down, feathers and part of feathers 
(whether or not with trimmed edges) and down, not futher worked than cleaned, 
disinfected or treated for preservation; powder and waste of feathers or parts of 
feathers: 
- Feathers of a kind used for stuffing; down: 
— other than raw 
-Other 
Natural sponges of animan origin, other than raw 
Seaweeds and other algae 
Vegetable saps and extracts of liquorice 
Vegetable saps and extracts of hops 
Vegetable saps and extracts of pyrethrum or of the roots of plants containing rotenone 
Intermixtures of vegetable extracts, for the manufacture of beverages or of food 
preparations; other vegetable saps and extracts, medicinal 
Pectates 
Agar-agar 
Mucilages and thickeners, whether or not modified, denved from locust beans or locust 
bean seeds 
Wool grease and fatty substances derived therefrom (including lanolin) 
Other animal fats and oils and their fractions, whether or not refined, but not chemically 
modified 
Jojoba oil and its fractions, whether or not refined, but not chemically modified 
Hydrogenated castor oil, so called 'opal-wax' 
Edible mixtures or preparations of a kind used as mould release preparations 
Animal or vegetable fats and oils and their fractions, boiled, oxidised, dehydrated, 
sulphurised, blown, polymerised by heat vacuum or in inert gas or otherwise chemically 
modified, excluding those of heading No 1516; inedible mixtures or preparations of 
animal or vegetable fats or oils or of fractions of different fats or oils of this Chapter, 
not elsewhere specified or including; excluding the oils of CN code 1518 00 31 and 
1518 00 39 
Industrial monocarboxylic fatty acids; acid oils from refining; industrial fatty alcohols 
Glycerol (glycerine), whether or not pure; glycerol waters and glycerol lyes 
Vegetable waxes (other than triglycerides), beeswax, other insect waxes and spermaceti, 
whether or not refined or coloured 
Degras 
Chemically pure maltose 
Liquorice extract containing more than 10% by weight of sucrose but not containing 
other added substances 
- 26 -
1803 
1804 
1805 
2001 90 60 
2008 
2008 11 10 
2008 91 
ex 2101 10 
2101 20 
2101 20 10 
2101 30 11 
2101 30 91 
2101 10 
2102 10 10 
2102 10 90 
2102 20 
2102 30 
2103 
2104 
2106 
2106 10 
2106 10 10 
2106 90 
2106 90 91 Cocoa paste, whether or not defatted 
Cocoa butter, fat and oil 
Cocoa powder, not containing added sugar or other sweetening matter 
Palm hearts.prepared or preserved by vinegar or acetic acid 
Fruit, nuts and other edible parts of plants, otherwise prepared or preserved, whether or 
not containing added sugar or other sweetening matter or spirit, not elsewhere specified 
or included: 
- Peanut butter 
- Palm hearts 
Extracts, essences and concentrates, of coffee, and preparations with a basis of these 
extracts, essences or concentrates or with a basis of coffee, other than preparations of 
CN code 2101 10 99 
Extracts, essences and concentrates, of tea or maté, and preparations with a basis of 
these extracts, essences or concentrates or with a basis of tea or maté: 
- containing no milkfats, milk proteins, sucrose, isoglucose, glucose or starch or 
containing less than 1,5% milkfat, 2,5% milk proteins, 5% sucrose or isoglucose, 5% 
glucose or starch 
Roasted chicory 
Extracts, essences and concentrates of roasted chicory 
Active yeasts: 
- Culture yeast 
- other, excluding bakers' yeast 
Inactive yeasts; other single-cell micro-organisms, dead 
Prepared baking powders 
Sauces and preparations therefor; mixed condiments and mixed seasonings; mustard 
flour and meal and prepared mustard 
Soups and broths and preparations therefor; homogenised composite food preparations 
Food preparations not elsewhere specified or included: 
- Protein concentrates and textured protein substances: 
- containing no milkfats, milk proteins, sucrose, isoglucose, glucose or starch or 
containing less than 1,5 % milkfat, 2,5 % milk proteins, 5 % sucrose or isoglucose, 5 % 
glucose or starch 
- other than cheese fondues or flavoured or coloured sugar syrups: 
- containing no milkfats, milk proteins, sucrose, isoglucose, glucose or starch or 
containing less than 1,5% milkfat, 2,5% milk proteins, 5% sucrose or isoglucose, 5% 
glucose or starch 
- 27 -
2201 10 
2202 10 
2202 90 10 
2203 
2205 
ex 2207 
ex 2208 
2402 
2403 Mineral waters and aerated waters, not containing added sugar or other sweetening 
matter nor flavoured 
Waters, including mineral waters and aerated waters, containing added sugar or other 
sweetening matter or flavoured 
other non-alcoholic beverages, not including fruit or vegetable juices of heading No 
2009, not containing products of heading n°s 0401 to 0404 or fat obtained from 
products of heading N)s 0401 to 0404 
Beer made from malt 
Vermouth and other wine of fresh grapes flavoured with plants or aromatic substances 
Undenatured ethyl alcohol of an alcoholic strengh by volume of 80% vol or higher; 
ethyl alcohol and other spirits, denaturated, of any strength: 
- other than obtained from agricultural products listed in Annex II to the EEC Treaty 
Undenatured ethyl alcohol of an alcoholic strength by volume of less tan 80% vol, not 
obtained from agricultural products listed in Annex II to the EEC Treaty; spirits, 
liqueurs and other spirituous beverages; compound alcoholic preparations of a kind used 
for the manufacture of beverages 
Cigars, cheroots, cigarillos and cigarettes, of tobacco or of tobacco substitutes 
Other manufactured tobacco and manufactured tobacco substitutes; 'homogenized' or 
'reconstituted* tobacco; tobacco extracts and essences 
- 28 -
Annex C 
Processed agricultural products refered to in Article 1 (2) 
CN code Description 
0901 Coffee, whether or not roasted or decaffeinated; coffee husks and skins; 
coffee substitutes containing coffee in any proportion 
0902 Tea, whether or not flavoured 
2007 Jams, fruit jellies, marmelades, fruit or nut purée and fruit or nut pastes, 
being cooked preparations, whether or not containing added sugar or other 
sweetening matter 
2209 Vinegar and substitutes for vinegar obtained from acetic acid 
- 29 -
ISSN 0254-1475 
COM (93) 135 final 
DOCUMENTS 
EN 03 
Catalogue number : CB-CO-93-160-EN-C 
ISBN 92-77-54357-4 
Office for Official Publications of the European Gornmunities 
L-2985 Luxembourg