COMMISSION OF THE EUROPEAN COMMUNITIES 
C0MC89) 146 final 
Brussels, 4 April 1989 
Proposal for a 
COUNCIL REGULATION (EEC) 
opening and providing for the administration of a Community 
tariff quota for rum, arrack and tafia, originating in the 
overseas countries and territories associated with the 
European Economic Community (OCT) 
(1989/90) 
(presented by the Commission) 
X 
EXPttNMOHY WMORANDUM 
1. Annex V of Oouncil Decision 86/283/EBC of 30 June 1966, provides that 
rum, arrack and tafia falling within CN-oodes 2208 40 10, 2206 40 90, 
2208 90 11 and 2208 90 19, originating in the overseas countries 
associated with the EEC shall be imported free of customs duty into the 
Oanmunity within the limits of a tariff quota, the volume of the tariff 
quota is to be determined by reference to an annual basic amount, 
calculated in hectolitres of pure alcohol, equal to the amount of the 
imports effected during the best of the latest three years for which 
statistics are available. This basic amount is subject to a growth rate 
of 27 %. 
2. By Decision 86/47/EEC, extended by Decision no 86/645/EEC the Council 
has established arrangements for trade between the Kingdom of Spain and 
the Portuguese Republic on the one hand and the overseas countries and 
territories (OCT) on the other. The result is that the imports of the 
products in question in these two countries have the benefit of the 
tariff quota. However, as regards the quota duties, which will be 
applicable, particular provisions are provided for in the Annex of the 
abovementioned Decision. 
Bemuse of the particularities on the rum market, the quota period 
ranges from 1 July to 30 June of the following year. 
3. The importa of the products in question during the last three years ware 
as follows: 
- 2 -
(in hi of pure alcolhol) 
1986 1987 1988 
Benelux - 10.97 49.15 
Denmark 
Germany . - - 6.0 
Greece -
Spain n.c. 
France - -
Ireland -
Italy -
Portugal n.c. 
United Kingdom 85.91 69.28 277.88 
CE '85.91 80.25 333.03 
In these circonstances, the volume of the Ooranunity tariff quota for the 
period from 1 July 1989 to 30 June 1990 should be fixed at 423 
hectolitres of pure alcohol. 
The drop in imports during the last years can be explained by the fact 
that the former production units of the products in question in the OCT 
ceased their activity during 1983, and the equipment of the distilleries 
has been transferred into the French Overseas Departments. Therefore, 
the imports into the Community reached only 333.03 hi in 1988o 
.^ •— 
S> To avoid discouraging investments 
vfriich are envisaged for the Dutch Antilles and to take into account the 
particular situation of this territory, the volume of the quota to be 
opened should, however,be increased to 15 000 hi of pure alcohol. But for this 
proposed amendment of the quota volume, the previsions of Article 3 
Paragraph 3 of the abovementioned Annex V should be applied. 
- 3 -
4. Following the decision of the Court of Justice of 27 September 1988 (case 
51/87), it is appropriate not to provide shares for allocation aaong 
Member States. 
In this case it is proposed that the whole of the quota volutes 
be held as Cose unity reserves to which all Meiber States will 
have access in accordance with the procedure provided for in 
Article 1(2) of the proposal for a Regulation. 
As regards the Method of adiini stration to be applied by all Meiber 
States, the Caaaission proposes the "as and when" systea. 
This is the purpose of the attached proposal. 
ANNEX : proposal for a Regulation 
Proposal for a 
COUNCIL REGULATION (EEC) 
opening and providing for the administration of a Community 
tari.ff quota for rum, arrack and tafia, originating in the 
overseas countries and territories associated with the 
European Economic Community (OCT) 
(1989/90) 
THE COUNCIL OP THE EUROPEAN COMMUNITIES, 
Having regard to the Treaty establishing the European Economic Oanraunity, 
Having regard to Council Décision 86/283/EBC of 30 June, 1986 en the 
association of the overseas countries and territories with the European 
Economic Community (1) and in particular articles 3 and 4 of its amex V; 
Having regard to the proposal from the Ganmissicn, 
Whereas Annex V to Decision 86/283/EBC provides that rum, arrack and tafia 
shall be imported into the Oonmunity free of aistons duties within the 
limits of a Oannunity tariff quota; 
Whereas the Gcnnunity has established by Council Decision 86/47/EBC (2) 
extended by Decision 86/645/EBC, arrangements for trade between the Kingdom 
of Spain and the Portuguese Republic on the one hand and the overseas 
countries and territories (OCT) on the other; whereas this Decision 
foresees for the application by the two Member States of the particular 
provisions concerning the quota duties to be applied on imports of products 
originating in the OCT; whereas the annual sice of the quota is to be fixed 
on the basis of a basic annual quantity, calculated in hectolitres of pure 
alcohol, equal to the amount of imports during the best of the past three 
years for which statistics are available; whereas to this quantity a growth 
rate equal to 27 % is applied; whereas the quota period ranges from 1 July 
to 30 June of the following year; 
(1) OJ No L 175, 1.07.1966, p. 1 
(2) 0J No L 63, 5.03.1986, p. 95 
(3) 0J Mb L 380, 31.12.1986, p. 66 
- 2 -
Whereas , Co—unity statistics for these products and the trend for the 
years 1966 to 1968 show that.thej 
£ highest volume of imports into the Community of the products in question 
originating in the said countries and territories, namely 333,03 hectolitres 
of pure alcohol, occurred in 19S ; 
Whereas, consequently, the quota volume should therefore be fixed to 423 • 
hectolitres of pure alcohol ; whereas by application of the provisions of 
Article 3, Paragraph 3 of the aboveeentioned Annex V the quota voluae in 
question should however be increased to 15 000 hectolitres of pure alcohol. 
t'hersas it is in particular necessary to ensure for all Community 
importers equal and uninterrupted access to the abovementioned quota 
and uninterrupted application of the rates laid down for that quota 
to all imports of the products concerned «into all Member States until 
the quota has been used up; 
whereas, following the decision of the Court of Justice of 27 September 
1988 (case 51/87), — 
-* it» 
appropriate not to provide for allocation among Member 
Sute», without prejudice to the drawing, on dM tariff 
quota, of such quantities as they may need, under 
conditions and according to a procedure to be 
determined; whereas this method of administration 
requires dose cooperation between the Member States 
and the Commission and the latter must in particular-be 
able to monitor the rate at which the tariff quota is used 
and inform the Member States accordingly; 
Whereas since the Kingdom of Belgium, the Kingdom of the 
Netherlands and the Grand Duchy of Luxembourg arc united 
wuhin and jointly represented by the Benelux Economie 
Union, any operation concerning the adminisrrarion of the 
quota shares allocated to that economic union may by carried 
out by any one of its members. 
HAS ADOfTBD THIS REGULATION : 
Article 1 
1. From 1 July 198 9 to 30 June 1990* the following 
products originating from the OCT shall be imported 
duty face into the Community within the limit of the 
relevant Community tariff quota mentioned : 
Order No 
09.1621 CN coot • 
220t40 10 
220*40 90 
220t«Hl 
22mm 19 Description 
Rum, amck and tafia Quota volume 
(in hi of pure 
alcohol) 
15000 Quota duty 
Free 
2. The rules of origin applicable to the products 
referred to in paragraph 1 shall be those set out in Annex 
II to Decision 867283/EEC 
3. Within the limit of this. 
. qJOta, the Kingdom of Spain and the Portuguese 
Republic shall apply customs duties calculated in 
accordance with the 1985 Act of Accession and Decision 
86747/EEC. 
Artid* 2 
The tariff quota referred to in Article 1 shall be 
administered by the Commission, which may take any 
appropriate measure with a view to ensuring the efficient 
administration thereof. 
Artid* 3 
1 
If an importer presents in a Member State a declaration of 
entry into free circulation including a request for 
preferential benefit for a product covered by this 
Regulation, and if this declaration is accepted by the 
customs authorities, the Member State concerned shall 
draw, from the tariff quota, by means of notification to 
the Commission, a quantity corresponding to these needs. 
The requests for drawing, with the indication of the date 
of acceptance of the said declaration, must be 
communicated to the Commission without delay. 
The drawings are granted by the Commission on the basts 
of the date of acceptance of the declaration of entry into 
free circulation by the customs authorities of the Member 
State concerned, to the extent that the available balance 
so permits. 
If a Member State does not use the quantities drawn, it 
shall return them as soon as possible to the tariff quota. 
If the quantities requested are greater than the available 
balance of the tariff quota, allocation shall be made on a' 
pro rata basis with respect to the requests. Member Stales 
shall be informed by the Commission of drawings made. 
- 4 -* 
jlrtstff 4 
1. Member States shall take ail appropriate measures to 
ensure that their drawings pursuant to Article 3 enable 
imports to be charged without interruption against their 
shares of the Community quota. 
2. Each Member State shall ensure that importers of 
the products concerned have free access to the quota for 
such times as the balance of the tariff quota so permits. 
3. Member States shall charge imports of die said 
products against their drawings as and when the goods are 
entered with the customs authorities under cover of 
declarations of entry into free circulation. 
4. The extent to which the quota has been used up 
shall be determined on the basis of the imports charged 
in .accordance with paragraph 3. 
Article i 
At the request of the Commission, Member States shall 
inform it of imports actually charged against the quota. 
Article 6 
This Regulation shall enter into force on 1 July 1989. 
This Regulation shall be binding in its entirety and directly applicable in all Member 
States. 
Done at Brussels, 
For the Council 
Th* President 
9 
FICHE FINMCEERE 
1. Ligne budgétaire concernée : Chap. 12 art.120 
2. Base juridique : art. 136 
3. Intitule de la mesure tarifaire : Proposition de règlement du 
Conseil portant ouvertuxeyfe.f^-ti'lïoi et node de gestion d'un 
contingent tarifaire communautaire pour le rhum, l'arak et le 
tafia, relevant des codes NC 2208 40 10, 2208 40 90, 2208 90 11 et 
2208 90 19, originaires des pays et territoires d* Outre-mer 
associes à la Oonnunautê européenne (1989-1990) 
4* Objectif : Exécution d'une mesure autonome (Décision relative à 
l'association des PFCM à la CEE) 
5. Mode de calcul : 
Qodes KC : 2208 40 10, 2208 40 90, 2208 90 11, 2208 90 19 
Volumes des contingents : 15 000 hl 
Droits à appliquer : exemption 
Droits du TDC : 
récipients contenant moins de 2 L: 1 ECU/hL par % vol d'alcool + 5 ECU/hl 
récipients contenant plus de 2 l : 1 ECU/hl par % vol d'alcool. 
6. Perte de recettes : 
La perte s'élève à 1 519 225 ECU pour la période du 1.7.1989 au 
30.6.1990. 
(moins de 2 l = 3 945 hl (plus de 2 l =11 055 hl) 
Pour la période 1988/89 une perte de 1 517 130 ECU a été inscrite. 
•Jo 
FICHE D'IMPACT SUR LA COMPETITIVITE ET L'EMPLOI 
Cette proposition est formulée en conformité avec un engagement contractuel 
de la Communauté. L'impact découlant de cette concession a été pris en 
considération lors de la prise de décision d'adoption de ce contingent et 
il n'aura pas un caractère sérieux sur la compétitivité et l'emploi dans 
la Communauté. 

Commission of the European Communities 
COM(89) 146 final 
Proposal for a 
COUNCIL REGULATION (EEC) 
opening and providing for the administration of a Community tariff quota 
for rum, arrack and tafia, originating in the overseas countries and 
territories associated with the European Economic Community (OCTs) 
(1989/90) 
(submitted to the Council by the Commission) 
4.4.1989 
Office for Official Publications of the European Communities 
L - 2985 Luxembourg 
Series: DOCUMENTS 
1989 - 10 pp. — Format: 21.0 x 29.7 cm 
EN 
ISSN 0254-1475 
ISBN 92-77-47992-2 
Catalogue number: CB-CO-89-128-EN-C 
ISSN 0254-1475 
COM(89) 146 final 
MENTS 
Proposal for a 
COUNCIL REGULATION (EEC) 
opening and providing for the administration of 
a Community tariff quota for rum, arrack and 
tafia, originating in the overseas countries and 
territories associated with the European 
Economic Community (OCTs) (1989/90) 
(submitted to the Council by the Commission) 
11 02 
Catalogue number: CB-CO-89-128-EN-C 
ISBN 92-77-47992-2 4.4.1989 
€ 
COMMISSION OF THE EUROPEAN COMMUNITIES