ARCHIVES HISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(76)490
Vol.1976/0146

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(76)490 final
v Brussels,24September1976
Proposalfora
COUNCILREGULATION (EEC)
/ *•
opening,allocating andprovidingfortheadministration
ofaCommunitytariffquotaforcottonyarnfallingwithin
headingNo55.05oftheCommonCustomsTariff,originating
"inMalta
(1977)
Proposalfora
COUNCILREGULATION (EEC)
opening,allocating andprovidingfortheadministration i
ofaCommunitytariffquotaforman-madefibres(discontinous
orwaste),carded,combedorotherwisepreparedforspinning
fallingwithinheadingNo56.04oftheCommonCustomsTariff
originating inMalta ,
(1977) v
Proposalfora
;COUNCILREGULATION (EEC)
opening,allocating andprovidingfortheadministration
ofaCommunitytariffquotaforoutergarmentsandother
articles,knittedorcrocheted,notelasticorrubberized,
fallingwithinheadingNo60.05oftheCommonCustoms
Tariff,originating inMalta
(1977)
ί
-•
iProposalfora
COUNCILREGULATION (EEC)
opening,allocating andprovidingfortheadministration .
ofaCommunitytariffquotaformen'sandboys'outergarments
fallingwithinheadingNo61.01oftheCommonsCustoms
iTariff,originating inMalta
(1977).
■ ./
(submittedtotheCouncilbytheCommission )
.■.
l
C0M(76)490final

EXPLANATORY .MEMORANDUM
•; of1970
The Agreement /between theEuropean Economic
Community andMalta ,andtheProtocol of1976 thereto
provides fortheopening ofCommunity tariff quotas for
theimportation into theCommunity atduty rates reduced by7U%of
'the following products ,originating inMalta :
CCT Heading
No
iProduct
lAnnual
volumeFrom which for th
new Member States
I
I
I
55.05 Cotton yarn ,not put
upfor retail sale :«
750 tons 160 tons .
56.0**
ιIKan-made fibres (dis­
continuous orwaste ),
carded ,combed orother­
wise prepared for
spinning :s
«
6ootons 200'tons
»■
h
6Q.05I <
I •
Outer garments and
other articles ,
knitted orcroched ,not
elastic nor rubbe'Jri&ed :I
100 tons -♦
90tons
61.01
•i»•Men's and boy's outer
garments
M •» J00tons |430 tons
,Atitssession ofV5June 1975 however,' theCouncil agreed that
Mklta should betreated ,asfrom 1January 197**,noless favourably
than' countries eligible fortheGeneralised System ofPreferences .
This -undertaking implies that thetreatment hitherto granted to
Malta will beimproved comparably .Fortheyears from 1974 to1976 this ,
i yearlyimprovement consists ina/autonomous 5% increase ofthequota
amounts fixed intheEEC/Malta Agreement ,andtotaT'suspension
ofduties inthe CCT and the national Customs tariff ofeach ofthe
•1 •
Member States *Another increase' of5n agreed for197^.

-2-
3*TheRegulations provide,intheusualway,forthesplitting
upofthetariffvolumesintotwoparts,ofwhichthefirst
willbeallocated amongtheMemberStatesasquotasharesand
thesecondwillbekeptasareserve.
I
Aheallocation ofthefirstpartofthequotasfortheproducts
fallingwithinthetariffheadings 55*05and"60.05hasbeen
undertaken according totherulesgenerally appliedhitherto .
ThetotalimportsofeachMember£tatefor1973»197^a*1*!197^
havebeenexpressed asaproportion oftotalCommunity imports
overthesameperiod.Theresulting percentages 'havebeen
appliedStatebyStatetothevolumeofthefirstpart,the
lastdigitofthenumberofmetrictonsbeingroundedoff.
I'
5*However,itdoesnotseemappropriate toapplythisruletothe
tariffquptaforman-made fibres(56*0**)
since t
(a)importfiguresforcertain MemberStatesvariedconsiderably
r . 'fromyeartoyear; .'
(b)otherMemberStatesimported noneatall;
(c)totalCommunity importsare.lowerthantheagreedtariffquota
volumes : ".* r. i
•(d)itisdifficult toforecastfutureimports *
Inthissituation andinviewnevertheless toallocatethequota
volumefairlyamongtheMemberStatesaccordingtotheirrespective
sizes,itseemsindicatedthateachMemberStatetakesasignificative
partinthequotavolume.Ofcourse,thisformulahastobeadapted^
tothefuturdevelopment ofimports.•
I;

•Theproposed Regulations provideforasinglemethodof
administration tobeapplied byallMemberStates,namelythe
"asandwhen"method * i•
TheMemberStates'experts whoparticipated intheconsultative meeting
ofthe"EconomicTariffProblems"Group(26/27April1976)expressed
agreement inprinciple totheschemeforallocation ofsharesproposed
bytheCommission intheframework oftheregulations annexed.
Annexes î
-4proposals ofRegulations oftheCouncil

ANNEX' A
Proposal fora
REGULATION (EEC)No....OFTHECOUNCIL
opening,allocatingandprovidingfortheadministration ofaCommunity tariffquota
forcottonyarn,fallingwithinheadingNo55.05oftheCommonCustomsTariff,
originating inMalta(1977)
THECOUNCIL OFTHEEUROPEAN COMMUNITIES ,
HavingregardtotheTreatyestablishing the"Euro­
peanEconomic Community ,andinparticular
Article113thereof;
HavingregardtotheproposalfromtheCommission ;
WhereastheAgreement betweentheEuropean
Economic Community andMalta,signed
on5December 1970,(1)andtheProtocol (2)layingdowncertains provisions
concerning thatAgreement asaresultoftheaccession ofnewMember
StatestotheEuropean Economic Community providefortheopeningof
anannualCommunitytariffquotaof910metrictonsofcottonyarn,
notputupforretailsale-
fallingwithinheading No55.05oftheCommonCustomsTariff,originating
inMalta;whereas,pursuant totheJointDeclaration annexedtothis
Protocol,thetariffquotashould-be allocated amongtheMemberStatesas
follows :750metrictonsfortheCommunity asoriginally constituted
and160metrictonsforthenewMemberStates;
whereasthefirststageoftheAgreement endsoil
30June1977and,pursuanttotheAnnexIoftheAgreement
theproratatemporisclausewouldapplytothe
volumeofthequota;whereastheCommunity intends
tomaintainitstradingrelationswithMalta;whereas
theprovisions governing thesecondstageshouldnot
belessfavourable thanthoselaiddownforthe
first;whereasinordernottodisrupttradingpatterns
fortheproductsinquestion,theCommunity tariff
'quotashouldbeopenedforthewholeof1977;
whereas,pursuanttoAnnexIofthesaidAgreement
quotadutyisequalto30%oftheCommonCustoms
Tariffdutyinrespectoftheproductconcerned ;
(1)0JNoL61of14.3.1971
(2)0JNoL111of28.4.1976 .

-2- ANNEX A
whereastocomplywiththespecialprovisions ofthesaid
Protocol,separate arrangements shouldbemadeforMember
StatesoftheCommunity asoriginally constituted onthe.
onehand,andforthenewMemberStatesontheother;
Whereas,sincethe1January1974,itisgrantedtoMalta
atreatment notlessfavourable thanthatenjoyedbycountrieseligibleforthegeneralized tariffpreferences ;whereasto
thisendtherefore thedutyratesshouldbetotallysuspended
andthequotavolumeincreased to1,079metrictonsforthe
year1977;whereas,however,theCommunity yethasopeneda
dutyfreetariffquotaof1,240metrictonsfortheproducts
inquestionfor1976;whereastherefore thequotavolumeshould
beheldatthislevelandthedifference betweenthesevolumes
shouldbeallocated tothetwogroupsofMemberStates;
Whereasitisinparticular necessarytoensureto
allCommunity importers equalanduninterrupted
accesstotheabovementioncd quotaanduninter­
ruptedapplication oftheratelaiddownforthat
quotatoallimportsoftheproductconcerned into
allMemberStatesuntilthequotahasbeenusedup;
whereas,havingregardtotheprinciples mentioned
above,theCommunity natureofthequotacanbe
respected byallocating theCommunity tariffquota
amongtheMemberStates;whereas,inorderto
reflectmoreaccurately theactualdevelopment ofthe
marketintheproductconcerned ,suchallocation
shouldbeinproportion totheneedsoftheMember
States,assessedbyreferencetoboththestatisticsof
eachState'simportsofthesaidgoodsfromMalta
overarepresentative periodandtheeconomicout­
lookforthequotaperiodconcerned ;
Whereas,duringthelastthreeyearsforwhich
statisticsareavailable ,thecorresponding importsby
eachoftheMemberStatesrepresentthefollowing
percentages oftheimportsintotheCommunity ,from
Malta,oftheproductsconcerned :
-%-
1973 11974 |1975
Germany 45.5 -II■30.1 13.7
Bénélux 34.8 39.7 54.7
France 8.0 23.7 14.0
Italy 11.7 6.5 17.6
Denmark 0-3 I
Ireland 1.0 2.7 12.5
UnitedKingdom 99.0 97.0 87.5

Whereasinviewofthesefactorsoftheforeseeable
development during1977ofthemarketforthe
productsinquestionandinparticularoftheestimates
submittedbycertainMemberStates,initialquota
sharesmayconsequently befixedapproximately as
follows :(in%):
Germany 56.5
Bénélux 25.5
France 7.0
Italy 11.0
Denmark 1.0
Ireland 11.0
UnitedKingdom 88.0
Whereas,inordertotakeintoaccountimporttrends
tortheproductsconcerned inthedifferentMember
States,thequotaamounpshould bedividedintotwo
instalments ,eachfirstinstalment beingallocated
amongtheMemberStates,andeacfeecondforming
areserveintendedultimatelytocovertherequire­
mentsoftheMemberStateswhichhaveusedup
theirinitialquotashares;whereas,inorderto
ensureacertaindegreeofsecuritytoimportersin
eachMemberState,thefirstinstalmentof
eachquotashouldbedeterminedatalevelwhich,
7no/frc,sentcircumstances ,maybeapproximately
/U/oor/a^otaamount;
WhereastheinitialquotasharesoftheMember
Statesmaybeusedupatdifferenttimes;whereas,
inordertotakethisfactintoaccountandavoid
anyreakincontinuity,itisimportantthatanyMemberStatehavingusedupalmostthewholeof
itsinitialquotashareshoulddrawanadditional
quotasharefromthereserve;whereas,thismustbe
donebyeachMemberStateasandwheneachof
itsadditionalquotasharesisalmostentirelyused
up,andrepeatedasmanytimesasthereserveallows;
whereastheinitialandadditionalquotasharesmust
beavailableforuseuntiltheendofthequotaperiod ;•
whereasthismethodofadministration callsforclose
cooperation betweenMemberStates,andtheCom­
mission,whichmust,inparticular,beableto
observetheextenttowhichthequotaamountisused
andinformMemberStatesthereof-
hereasifataspecifieddateinthequotaperiod,
aconsiderable balanceremainsinoneorother
MemberStateitisessentialthatthatMemberState
paysalargeamountofitbackintothereserve,in
orertoavoidapartoftheCommunity quota
remainingunusedinoneMemberStatewhenitcouldbeusedinothers;

-4-
Whereas,sincetheKingdomofBelgium,theKingdom
oftheNetherlands andtheGrandDuchyofLuxem­
bourgareunitedinandrepresented bytheBenelux
'Economic Union,anymeasure concerning the
administration ofthequotasharesallocatedtothat
economic unionmaybecarriedoutbyanyofits
members,
HASADOPTED THISREGULATION :
Article 1
1.From1Januaryto31December 197/atariff
quotaof1,240netric tonsshallbeopenedinthe
Community forcottonyarnnotputupforretailsale,
fallingwithinheadingNo55.05oftheCommon
CustomsTariff,originating inMalta.
2.Withinthelimitsofthistariffquota,theCommon
CustomsTariffdutiesshallbetotallysuspended .
Thissuspension shallbefullyappliedinthenew
MemberStates.
3.Anamountof1,046tonsisassigned tothe
MemberStatesoftheCommunity initsoriginal
composition .
4.Anamountof194tonsisassigned tothe
newMemberStates.
Article2
1.Afirstinstalment ,amounting to/metrictons
oftheamountspecifiedinArticle1(3),shallbe
allocatedamongtheMemberStatesoftheCom­
munityasoriginally constituted ;theshares,which
subjecttoArticle5arevaliduntil31December 1977,
shallbeasfollows:
Germany 412metrictons,
Benelux 186metrictons,
France 51metrictons,
Italy 80metrictons.
316Thesecondinstalment of/metrictonsshall
constitute therelevantreserve.
140
2.Afirstinstalment ,amounting to'metrictons
oftheamountmentioned inArticlel(4)shallbe
distributed betweenthenewMemberStates;the
shares,whichsubjecttoArticle5arevaliduntil
31December 1977,shallbeasfollows:
Denmark 2metrictons,
Ireland 15metrictons,
UnitedKingdom123metrictons.
Thesecondinstalment of54metrictonsshall
constitute therelevantreserve.Germany
Bénélux
France
ItalyANNEX A

Article3-5- ANNEX A
1.If90%ormoreoftheinitialshareofaMember
State,aslaiddowninArticle2or90%ofthat
sharelesstheamountreturnedintothereserve,where
theprovisions ofArticle5havebeenapplied,has
beenexhausted ,thatMemberStateshallproceed
withoutdelay,bynotifyingtheCommission ,todraw
asecondshareequalto15%ofitsinitialshare,
roundeduptothenextunitwhereappropriate ,to
theextentthattheamountintherespective reserveallows.
2.If,afteritsinitialsharehasbeenexhausted ,90%
ormoreofthesecondsharedrawnbyaMember
Statehasbeenused,thatMemberSt.itcshall,in
accordance withtheconditions laiddownin
paragraph 1,proceedwithoutdelaytodrawathird
shareequalto7-5%ofitsinitialshare,roundedup
tothenextunitwhereappropriate ,totheextent
thattheamountinthereserveallows.
3.If,afteritssecondsharehasbeenexhausted ,90%
ormoreofthethirdsharedrawnbyaMemberState
hasbeenused,thatMemberStateshallproceed,in
thesameway,todrawafourthshareequaltothe
third.
Thisprocessshallbeapplieduntiltherespective
reserveisexhausted .
4.Notwithstanding theprovisions ofparagraphs 1,
2and3,aMemberStatesmayproceedtodraw
sharessmallerthanthosefixedinthoseparagraphs ,
ifthereisreasontobelievethattheymightnotbe•
usedup.TheyshallinformtheCommission ofthe
reasonswhichledthemtoapplythisparagraph .
Article4
Eachoftheadditional sharesdrawnpursuantto
Article3shallbevaliduntil31December 1977
Article5
TheMemberStatesshallreturntothereserve,not
laterthan1October1977,theunusedportionof
theirinitialsharewhich,on15September1977,isin
excessof20%oftheirinitialamount.Theymay
returnagreaterportioniftherearegroundsfor
believingthatsuchquantitymaynotbeusedinfull.
TheMemberStatesshall,notlaterthan1October
1977,notifytheCommission ofthetotalimportsof
theproductconcernedeffecteduptoandincluding
15September 1977,andchargedagainstthe
Community quotaand,whereappropriate ,the
proportion oftheirinitialsharethatisbeingreturned
tothereserve.
Article6
TheCommission shallkeepaccountoftheshares
openedbyMember Statesinaccordance with
Articles2and3andshallinformeachofthemof
theextenttowhichthereserves/beenusedas
soonasitreceivesthenotifications .haveTheCommission shall,notlaterthan5October
1977,notifyMemberStatesoftheamountinthe
reserveSafter thereturnofsharespursuant to
Article5.
are
TheCommission shallensurethatanydrawingwhich
usesupthereserves!limitedtothebalance
availableandforthispurposeshallspecifythe
amountsthereoftotheMemberStatewhichmakes
thelastdrawing .
Article7
1.TheMemberStatesshalltakeallappropriate
measures toensurethat,whenadditional sharesare
drawnpursuant toArticle3,itispossiblefor
chargestobemadewithoutinterruption againsttheir
accumulated sharesoftheCommunity quota.
2.TheMemberStatesshallensurethatimporters
oftheproductconcerned established intheir
territoryhavefreeaccesstothesharesallocatedto
them.
3.TheMemberStatesshallchargeimportsofthe
saidgoodsagainsttheirshareasandwhenthegoods ,
areenteredforhomeuse.
4.TheextenttowhichaMember Statehasused
upitsshareshallbedetermined onthebasisofthe
importschargedinaccordance withparagraph 3.
Article8
OnreceiptofarequestfromtheCommission ,
MemberStatesshallinformitofimportsactually
chargedagainsttheirshares.
Article9
TheMember StatesandtheCommission shall
cooperate closelyinordertoensurethatthis
Regulation isobserved .
Article10
ThisRegulation shallenterintoforceon1January
1977.
ThisRegulation shallbebindinginitsentiretyanddirectlyapplicable inallMember
States-
DoneatBrussels,
FortheCouncil
ThePresident

ANNEX B
Proposal for a
REGULATION (EEC)No....OFTHECOUNCIL
opening,allocatingandprovidingfortheadministration ofaCommunity tariffquota
,for iman-made fibres (discontinuous orwaste ),carded ,combed
orotherwise prepared forspinning ,falling within heading No53.04
oftheCommon Customs Tariff ,originating inMalta (19^7 )
THECOUNCIL OFTHEEUROPEAN COMMUNITIES ,
HavingregardtotheTreatyestablishing the'Euro- .
peanEconomic Community ,andinparticular
Article113thereof;
HavingregardtotheproposalfromtheCommission ;
WhereastheAgreement betweentheEuropean
EconomicCommunity andMalta,signed
on5December 1970,(1)andtheProtocol (2)laying down certains provisions
concerning that Agreement asaresult oftheaccession ofnewMember
States totheEuropean Economic Community provide fortheopening of
anannual Community tariff quota of 800 'metric tons ofman-made fibres
(discontinuous orwaste ),carded ,combed orotherwise prepared forspinning ,
falling within heading No56.04 QftheCommon Customs Tariff ,originating
inMalta ;whereas ,pursuant totheJoint Declaration annexed tothis
Protocol ,thetariff quota should-be allocated among theMember States as
follows :600 metric tons fortheCommunity as-original lyconstituted .
and..200 metric tons forthenewMember States ; «
whereasthefirststageoftheAgreement endsen
30June 1977and,pursuanttotheAnnex IoftheAgreement
theproratatemporisclausewouldapplytothe
volumeofthequota;whereastheCommunity intends
tomaintainitstradingrelationswithMalta;whereas
theprovisions governingthesecondstageshouldnot
belessfavourable thanthoselaiddownforthe
first;whereasinordernottodisrupttradingpatterns
fortheproductsinquestion,theCommunity tariff
'quotashouldbeopenedforthewholeof1977 ; –^
whereas,pursuanttoAnnex Iofthe said Agreement «,
quotadutyisequalto30%oftheCommonCustoms
Tariffdutyinrespectoftheproductconcerned ;
•#•/•••
(1)0JNoL61of14.3.1971
(2)0JNoL111 of28.4.1976 .

-2- ANNEX
whereastocomplywiththespecialprovisions ofthesaid
Protocol ^separate arrangements shouldbemadeforMember
StatesoftheCommunity asoriginally constituted onthe
onehand,andforthenewMemberStatesontheother;
Whereas,sincethe1January 1974,itisgrantedtoMalta
atreatment notLessfavourable thanthatenjoyed bycountries
eligible forthegeneralized tariffpreferences ;whereasto
thisendtherefore thedutyratesshouldbetotallysuspended
andthequotavolumeincreased to940metrictonsforthe
year1977;whereas,however,theCommunity yethasopeneda
dutyfreetariffquotaof992metrictonsfortheproducts
inquestion for1976;whereastherefore thequotavolumeshould
beheldatthisLevelandthedifference betweenthesevolumes
shouldbeallocated tothetwogroupsofMemberStates;
Whereasitisinparticular necessarytoensureto
allCommunity importers equalanduninterrupted
accesstotheabovcmentioned quotaanduninter­
ruptedapplication oftheratelaiddownforthat
quotatoallimportsoftheproductconcerned into
allMemberStatesuntilthequotahasbeenusedup;
whereas,havingregardtotheprinciplesmentioned
above,theCommunity natureofthequotacanbe
respectedbyallocatingtheCommunity tariffquota
amongtheMemberStates;whereas,inorderto
reflectmoreaccuratelytheactualdevelopment ofthe
marketintheproductconcerned ,suchallocation
shouldbeinproportion totheneedsoftheMember
States,assessedbyreferencetoboththestatisticsof
eachState'simportsofthesaidgoodsfromMalta
overarepresentative periodandtheeconomicout­
lookforthequotaperiodconcerned ;
Whereas,duringthelastthreeyearsforwhich
statisticsareavailable,thecorresponding importsby
eachoftheMemberStatesrepresentthefollowing
percentages oftheimportsintotheCommunity ,from
Malta,oftheproductsconcerned :
-%-
1973 1974 1975
Germany
Bénélux I
France
Italy 00(=1t
Denmark 100(=16t )
Ireland
UnitedKingdom
i
j

-3- ANNEX B
Whereas inviewofthesefactorsoftheforeseeable
development during1977ofthemarketforthe
productsinquestionandinparticularoftheestimates
submitted bycertainMemberStates,initialquota
sharesmayconsequently befixedapproximately as
follows:(in%>:
Germany 13
Bénélux 13
France 18
Italy 56
Denmark 16
Ireland 24
UnitedKingdom60
Whereas,inordertotakeintoaccountimporttrends
fortheproductsconcerned inthedifferentMember
States,thequotaamouneshouldbedividedintotwo
instalments ,eachfirstinstalment beingallocated
amongtheMemberStates,andeaclKcond forming
areserveintendedultimately tocovertherequire­
mentsoftheMemberStateswhichhaveusedup
theirinitialquotashares;whereas,inorderto
ensureacertaindegreeofsecuritytoimporters in
eachMemberState,thefirstinstalment of
eachquotashouldbedetermined atalevelwhich,,
underpresentcircumstances ,maybeapproximately
60%of/^ijouamount;
WhereastheinitialquotasharesoftheMember
Statesmaybeusedupatdifferenttimes;whereas,
inordertotakethisfactintoaccountandavoid
anybreakincontinuity,itisimportant thatany
MemberStatehavingusedupalmostthewholeof
itsinitialquotashareshoulddrawanadditional
■quotasharefromthereserve;whereas,thismustbe
donebyeachMemberStateasandwheneachof
itsadditional quotasharesisalmostentirelyused
up,andrepeatedasmanytimesasthereserveallows;
whereastheinitialandadditionalquotasharesmust
beavailableforuseuntiltheendofthequotaperiod;'
whereasthismethodofadministration callsforclose
cooperation betweenMemberStates,andtheCom­
mission,whichmust,inparticular ,beableto
observetheextenttowliichthequotaamountisused
andinformMemberStatesthereof:
Whereasif,ataspecifieddateinthequotaperiod,
aconsiderable balanceremainsinoneorother
MemberStateitisessentialthatthatMemberState
paysalargeamountofitbackintothereserve,in
ordertoavoidapartoftheCommunity quota
remaining unusedinoneMemberStatewhenit
couldbeusedinothers;
.• ..... ■" J
■••/4

Whereas,sincetheKingdomofBelgium,theKingdom
oftheNetherlands andtheGrandDuchyofLuxem­
bourgareunitedinandrepresented bytheBenelux
Economic Union,anymeasureconcerning the
administration ofthequotasharesallocatedtothat
economicunionmaybecarriedoutbyanyofits
members,
HASADOPTED THISREGULATION :
Article 1
LFr°m<ooJonuaryt031Df^er1977atariff otherwisepreparedforspinnquotaofVydmetrictonsshallbeopenedinthe
Community man-madefibres(discontinuous orwaste),carded,combedor/
fallingwithinheadingNo5"6.04 oftheCommon
CustomsTariff,originating inMalta.
2.Withinthelimitsofthistariffquota,theCommon
CustomsTariffdutiesshallbetotallysuspended .
Thissuspension shallbefullyappliedinthenew
Member States.
3.Anamountof771tonsisassignedtothe
MemberStatesoftheCommunity initsoriginal
composition .
A.Anamountof221tonsisassignedtothe
newMemberStates.
Article2
480
1.Afirstinstalment ,amounting to/metrictons
oftheamountspecifiedinArticle1(3),shallbe •
allocatedamongtheMemberStatesoftheCom­
munityasoriginallyconstituted ;theshares,which
subjecttoArticle5arevaliduntil31December1977,
shallbeasfollows:
Germany 63metrictons,
Bénélux 63metrictons,
France 86metrictons.
Italy 268 metrictons.
291Thesecondinstalment of/metrictonsshall
constitute therelevantreserve.
133
2.Afirstinstalment ,amounting to'metrictons
oftheamountmentioned inArticle1(4}shallbe
distributed betweenthenewMemberStates;the
shares,whichsubjecttoArticle5arevaliduntil
31December 1977,shallbeasfollows:
Denmark 21metrictons,
Ireland 32metrictons,
UnitedKingdom 80metrictons.
Thesecondinstalment of88metrictonsshall »
constitute therelevantreserve.

-5-
Article3ANNEX B
1.If90%ormoreoftheinitialshareofaMember
State,aslaiddowninArticle2or90%ofthat
sharelesstheamountreturnedintothereserve,where
theprovisionsofArticle5havebeenapplied,has
beenexhausted,thatMemberStateshallproceed
withoutdelay,bynotifyingtheCommission ,todraw
a-secondshareequalto15%ofitsinitialshare,
roundeduptothenextunitwhereappropriate ,to
theextentthattheamountintherespective reserveallows.
2.If,afteritsinitialsharehasbeenexhausted,90%
ormoreofthesecondsharedrawnbyaMember
Statehasbeenused,thatMemberStateshall,in
accordance withtheconditions laiddownin
paragraph 1,proceedwithoutdelaytodrawathird
shareequalto7-5%ofitsinitialshare,roundedup
tothenextunitwhereappropriate ,totheextent
thattheamountinthereserveallows.
3.If,afteritssecondsharehasbeenexhausted ,90%
ormoreofthethirdsharedrawnbyaMemberState
hasbeenused,thatMemberStateshallproceed,in
thesameway,todrawafourthshareequaltothe
third.
Thisprocessshallbeapplieduntiltherespect
reserveisexhausted .
4.Notwithstanding theprovisions ofparagraphs 1,
2and3,aMemberStatesmayproceedtodraw
sharessmallerthanthosefixedinthoseparagraphs ,
ifthereisreasontobelievethattheymightnotbe
usedup.TheyshallinformtheCommission ofthe
reasonswhichledthemtoapplythisparagraph .
Article4
Eachoftheadditional sharesdrawnpursuantto
Article3shallbevaliduntil31December 1977.
ArticleS
TheMemberStatesshallreturntothereserve,not
laterthan1October1977,theunusedportionof
theirinitialsharewhich,on15September 1977,isin
excessof20%oftheirinitialamount.Theymay
returnagreaterportioniftherearegroundsfor
believingthatsuchquantitymaynotbeusedinfull.
TheMemberStatesshall,notlaterthan1October
197'?notifytheCommission ofthetotalimportsof
theproductconcerned effecteduptoandincluding
15September 1977,andchargedagainstthe
Community quotaand,whereappropriate ,.the
proportion oftheirinitialsharethatisbeingreturned
tothereserve.
Artide6
TheCommission shallkeepaccountoftheshares
openedbyMember Statesinaccordance with
Articles2and3andshallinformeachofthemof
theextenttowhichthereserves/beenusedas
soonasitreceivesthenotifications .haveiveTheCommission shall,notlaterthan5October
1977,notifyMember -Statesoftheamountinthe
reserveSafter thereturnofsharespursuant to
Article5.
are
TheCommission shallensurethatanydrawingwhich
usesupthereserves^limitedtothebalance
availableandforthispurposeshallspecify'the
amountsthereof totheMemberStatewhichmakes
thelastdrawing.
Article7
1.TheMemberStatesshalltakeallappropriate
measurestoensurethat,whenadditional sharesare
drawnpursuanttoArticle3,itispossiblefor
chargestobemadewithoutinterruption againsttheir
accumulated sharesoftheCommunity quota.
2.TheMemberStatesshallensurethatimporters
oftheproductconcerned established intheir
teiritoryhavefreeaccesstothesharesallocatedto
them.
3.TheMemberStatesshallchargeimportsofthe
saidgoodsagainsttheirshareasandwhenthegoods.
areenteredforhomeuse.
4.TheextenttowhichaMemberStatehasused
upitsshareshallbedetermined onthebasisofthe
importschargedinaccordance withparagraph 3.
Article8
OnreceiptofarequestfromtheCommission ,
MemberStatesshallinformitofimportsactually
chargedagainsttheirshares.
Article9
TheMemberStatesandtheCommission shall
cooperate closelyinordertoensurethatthis
Regulation isobserved.
Article10
ThisRegulation shallenterintoforceon1January
1977.
ThisRegulation shallbebindinginitsentiretyanddirectlyapplicableinallMember
States.
DoneaxBrussels,
FortheCouncil
ThePresident

Proposalfora
REGULATION (EEC)No....OFTHECOUNCILANNEX
opening,allocatingandprovidingfortlicadministration ofaCommunitytariffquota
for-outergarmentsaridotherarticles,knitted .orcrocheted,
notelasticorrubberized,fallingwithinheadingNo60.05of
theCommonCustomsTariff,originating inMalta(1977)
THECOUNCIL OFTHEEUROPEAN COMMUNITIES ,
HavingregardtotheTreatyestablishingthe'Euro­
peanEconomicCommunity ,andinparticular
Article113thereof;
HavingregardtotheproposalfromtheCommission ;
WhereastheAgreementbetweentheEuropean
EconomicCommunity andMalta,signed
on5December1970,(1)andtheProtocol(2)layingdowncertainsprovisions
concerningthatAgreement asaresultoftheaccessionofnewMember
StatestotheEuropeanEconomicCommunityprovidefortheopeningof
anannualCommunitytariffquotaof190metrictonsofoutergarments
andotherarticles,knittedorcrocheted,notelasticorrubberized,
fallingwithinheadingNo60.05oftheCommonCustomsTariff,originating
inMalta;whereas,pursuanttotheJointDeclaration annexedtothis
Protocol,thetariffquotashould-beallocated amongtheMemberStatesas
follows:100metrictonsfortheCommunityasoriginallyconstituted
and90metrictonsforthenewMemberStates;
whereasthefirststageoftheAgreementendsen
30June1977and,pursuanttotheAnnexIoftheAgreement
theproratatemporisclausewouldapplytothe
volumeofthequota;whereastheCommunityintends
tomaintainitstradingrelationswithMalta;whereas
theprovisionsgoverningthesecondstageshouldnot
belessfavourable thanthoselaiddownforthe
first;whereasinordernottodisrupttradingpatterns
fortheproductsinquestion,theCommunitytariff
'quotashouldbeopenedforthewholeof1977; –'
whereas,pursuanttoAnnexIofthesaidAgreement ,.
quotadutyisequalto30%oftheCommonCustoms
Tariffdutyinrespectoftheproductconcerned;
•••/•••
(1)0JNoL61of14.3.1971
(2)0JNoL111of28.4.1976.

-2- ANNEX B
whereastocomplywiththespecialprovisions ofthesaid
Protocol,separate arrangements shouldbemadeforMember
StatesoftheCommunity asoriginally constituted onthe
onehand,andforthenewMemberStatesontheother;
Whereas,sincethe1January1974,itisgrantedtoMalta
atreatment notlessfavourable thanthatenjoyedbycountries
eligibleforthegeneralized tariffpreferences ;whereasto
thisendtherefore thedutyratesshouldbetotallysuspended
andthequotavolumeincreased to216metrictonsforthe
year1977,fromwhich122metrictonsbelongstotheMember
StatesoftheCommunity asoriginally constituted and94metric
tonstothenewMemberStates;
Whereasitisinparticular necessarytoensureto
allCommunity importers equalanduninterrupted
accesstotheabovemcntioncd quotaanduninter­
ruptedapplication oftheratelaiddownforthat
quotatoallimportsoftheproductconcerned into
allMemberStatesuntilthequotahasbeenusedup;
whereas,havingregardtotheprinciples mentioned
above,theCommunity natureofthequotacanbe
respected byallocating theCommunity tariffquota
amongtheMemberStates;whereas,inorderto
reflectmoreaccurately theactualdevelopment ofthe
marketintheproductconcerned ,suchallocation
shouldbeinproportion totheneedsoftheMember
States,assessedbyreferencetoboththestatisticsof
eachState'simportsofthesaidgoodsfromMalta
overarepresentative periodandtheeconomicout­
lookforthequotaperiodconcerned ;
..Whereas,duringthelastthreeyearsforwhich
statisticsareavailable,thecorresponding importsby
eachoftheMemberStatesrepresentthefollowing
■percentages oftheimportsintotheCommunity ,from
Malta,oftheproductsconcerned :
-%-
1973 1974 1975
Germany 7 4.2
Bénélux 4 34.4
France 94.6 50 54.2
Italy 5.4 39 7.2
Denmark
Ireland
UnitedKingdom1.3
7.8
90.93.4
96.6'0.6
0.6
98.8

ANNEXC
Whereasinviewofthesefactorsoftheforeseeable
developmentduring1977ofthemarketforthe
productsinquestionandinparticularoftheestimates
submittedbycertainMemberStates,initialquota
sharesmayconsequently befixedapproximately as
follows:(inV.):
Germany 17
Bénélux 11
France 55
Italy 17
Denmark 17
Ireland 17
UnitedKingdom 66
Whereas,inordertotakeintoaccountimporttrends
fortheproductsconcernedinthedifferentMember
States,thequotaamounsshould bedividedintotwo
instalments,eachfirstinstalmentbeingallocated
amongtheMemberStates,andeacfrecondforming
areserveintendedultimatelytocovertherequire­
mentsoftheMemberStateswhichhaveusedup
theirinitialquotashares;whereas,inorderto
ensureacertaindegreeofsecuritytoimportersin
eachMemberState,thefirstinstalmentof
63'"-I'^U0tashouldbedeterminedatalevelwhich,
o/"frcsentcircumstances,maybeapproximately
75'<°of/^cj_i£otaamount;
WhereastheinitialquotasharesoftheMember
Statesmaybeusedupatdifferenttimes;whereas,
mordertotakethisfactintoaccountandavoid
anybreakincontinuity,itisimportantthatany
MemberStatehavingusedupalmostthewholeof
itsinitialquotashareshoulddrawanadditional
quotasharefromthereserve;whereas,thismustbe
donebyeachMemberStateasandwheneachof
itsadditionalquotasharesisalmostentirelyused
up,andrepeatedasmanytimesasthereserveallows;
whereastheinitialandadditionalquotasharesmust
beavailableforuseuntiltheendofthequotaperiod;•
whereasthismethodofadministration callsforclose
cooperationbetweenMemberStates,andtheCom­
mission,whichmust,inparticular,beableto
observetheextenttowhichthequotaamountisused
andinformMemberStatesthereof;
whereasif,ataspecifieddateinthequotaperiod,
aconsiderablebalanceremainsinoneorother
MemberStateitisessentialthatthatMemberState
paysalargeamountofitbackintothereserve,in
orertoavoidapartoftheCommunityquota
remainingunusedinoneMemberStatewhenit
«ouldbeusedinothers;
••/••

-4-ANNEXr
Whereas,sincetheKingdomofBelgium,theKingdom
oftheNetherlandsandtheGrandDuchyofLuxem­
bourgareunitedinandrepresentedbytheBenelux
"EconomicUnion,anymeasureconcerning the
administration ofthequotasharesallocatedtothat
economicunionmaybecarriedoutbyanyofits
members,
HASADOPTED THISREGULATION :
Article1
1.From1Januaryto31December19?7atariffelasticorrubberized
quotaofmetrictonssnailbeopenedinthe
Communityforoutergarmentsandotherarticles,knittedorcrocheted,not/
fallingwithinheadingNo60-05oftheCommon
CustomsTariff,originatinginMalta.
2.Withinthelimitsofthistariffquota,theCommon
CustomsTariffdutiesshallbetotallysuspended.
Thissuspensionshallbefullyappliedinthenew
MemberStates.
3.Anamountof122tonsisassignedtothe
MemberStatesoftheCommunityinitsoriginal
composition .
A.Anamountof94tonsisassignedtothe
newMemberStates.
Article2
1.Afirstinstalment,amountingto"^metrictons
oftheamountspecifiedinArticle1(3),shallbe *
allocatedamongtheMemberStatesoftheCom­
munityasoriginallyconstituted;theshares,which
subjecttoArticle5arevaliduntil31December1977,
shallbeasfollows:
Germany 15metrictons,
Bénélux 10metrictons,
France 50metrictons,
Italy 15metrictons.
Thesecondinstalmentof32.metrictonsshall
constitutetherelevantreserve.
2.Afirstinstalment,amountingto70metrictons
oftheamountmentionedinArticlel(4}shallbe
distributedbetweenthenewMemberStates;the .r
shares,whichsubjecttoArticle5arevaliduntil
31December1977,shallbeasfollows:
Denmark 12.metrictons,
Ireland 12,metrictons,
UnitedKingdom46metrictons.
Thesecondinstalmentof24metrictonsshall
constitutetherelevantreserve.

Article3-5- ANNEX C
1.If90%ormoreoftheinitialshareofaMember
State,aslaiddowninArticle2or30%ofthat
sharelessthearreountreturnedintothereserve,where
theprovisionsoSArticle5havebeenapplied,has
beenexhausted ,thatMemberStateshallproceed
withoutdelay,bynotifyingtheCommission ,todraw
asecondshareequalto15%ofitsinitialshare,
roundeduptothenextunitwhereappropriate ,to
theextentthattheamountintherespective reserveallows.
2.If,afteritsicdtialsharehasbeenexhausted ,90%
ormoreofthesecondsharedrawnbyaMember
Statehasbeenrased,thatMemberStateshall,in
accordance withtheconditions laiddownin
paragraph 1,proiceedwithoutdelaytodrawathird
shareequalto7-5%ofitsinitialshare,roundedup
.tothenextunitwhereappropriate ,totheextent
thattheamountisathereserveallows.
3.If,afteritssecondsharehasbeenexhausted ,90%
ormoreofthethirdsharedrawnbyaMemberState
hasbeenused,tfciatMemberStateshallproceed,in
thesameway,todrawafourthshareequaltothe
third.TheCommission shall,notlaterthan5October
1977,notifyMemberStatesoftheamountinthe
reserveSafter thereturnofsharespursuant to
Article5.
are
TheCommission shallensurethatanydrawingwhich
usesupthereserves^limitedtothebalance
availableandforthispurposeshallspecifythe
amountsthereoftotheMemberStatewhichmakes
thelastdrawing.
Thisprocessshallbeapplieduntiltherespective
reserveisexhausted .
4.Notwithstanding theprovisions ofparagraphs 1,
2and3,aMemberStatesmayproceedtodraw
sharessmallertLanthosefixedinthoseparagraphs ,
ifthereisreasoratobelievethattheymightnotbe
usedup.TheysiaallinformtheCommission ofthe
reasonswhichledthemtoapplythisparagraph .
Article4
Eachoftheadditional sharesdrawnpursuantto
Article3shallbevaliduntil31December 1977
ArticleS
TheMemberStxresshallreturntothereserve,not
laterthan1October1977,theunusedportionof
theirinitialsharewhich,on15September 1977,isin
excessof20%csftheirinitialamount.Theymay
returnagreaterportioniftherearegroundsfor
believingthatsucbquantitymaynotbeusedinfull.
TheMemberStaresshall,notlaterthan1October
1977,notifytheCommission ofthetotalimportsof
theproductconcerned effecteduptoandincluding
15September 1977,andchargedagainstthe
Community quotaand,whereappropriate ,.the
proportion oftheirinitialsharethatisbeingreturned
tothereserve.
Article6
TheCommissiota shallkeepaccountoftheshares
openedbyMember Statesinaccordance with
Articles2and3andshallinformeachofthemof
theextenttov.hichthereserves./beenusedas
soonasitreceivesthenotifications .haveArticle7
1.TheMemberStatesshalltakeallappropriate
measurestoensurethat,whenadditional sharesarc
drawnpursuanttoArticle3,itispossiblefor
chargestobemadewithoutinterruption againsttheir
accumulated sharesoftheCommunity quota.
2.TheMemberStatesshallensurethatimporters
oftheproductconcerned established intheir
territoryhavefreeaccesstothesharesallocatedto
them.
3.TheMemberStatesshallchargeimportsofthe
saidgoodsagainsttheirshareasandwhenthegoods,
areenteredforhomeuse.
4.TheextenttowhichaMemberStatehasused
upitsshareshallbedetermined onthebasisofthe
importschargedinaccordance withparagraph 3.
■Article8
OnreceiptofarequestfromtheCommission ,
MemberStatesshallinformitofimportsactually
chargedagainsttheirshares.
Article9
TheMemberStatesandtheCommission shall
^cooperate closelyinordertoensurethatthis
Regulation isobserved.
Article10
L. ;
ThisRegulation shallenterintoforceon1January
1977-
ThisRegulation shallbebindinginitsentiretyanddirectlyapplicableinallMember
States.
DoneatBrussels,
FortheCouncil
ThePresident

ANNEX
Proposalfora
REGULATION (EEC)No....OFTHECOUNCIL
opening,allocatingandprovidingfortheadministration ofaCommunity tariffquota
formen'sandboys'outergarments,fallingwithinheading
No61.01oftheCommonCustomsTariff,originating inMalta
(1977)
THECOUNCIL OFTHEEUROPEAN COMMUNITIES ,
HavingregardtotheTreatyestablishing the-Euro­
peanEconomic Community ,andinparticular
Article113thereof;
HavingregardtotheproposalfromtheCommission ;
WhereastheAgreement betweentheEuropean
Economic Community andMalta,signed
on5December 1970,(1)andtheProtocol(2)layingdowncertainsprovisions
concerningthatAgreement asaresultoftheaccessionofnewMember
StatestotheEuropeanEconomicCommunityprovidefortheopeningof
anannualCommunitytariffquotaof730metrictonsofmen'sand
boys'outergarments-
fallingwithinheadingNo61.01oftheCommonCustomsTariff,originating
inMalta;whereas,pursuanttotheJointDeclaration annexedtothis
Protocol,thetariffquotashould-beallocated amongtheMemberStatesas
follows:300metrictonsfortheCommunityasoriginallyconstituted
and430metrictonsforthenewMemberStates;
whereasthefirststageoftheAgreement endson
30June1977and,pursuanttotheAnnexIoftheAgreement
theproratatemporisclausewouldapplytothe
volumeofthequota;whereastheCommunity intends
tomaintainitstradingrelationswithMalta;whereas
theprovisions governingthesecondstageshouldnot
belessfavourable thanthoselaiddownforthe .
first;whereasinordernottodisrupttradingpatterns
fortheproductsinquestion,theCommunity tariff
quotashouldbeopenedforthewholeof1977; –-y
whereas,pursuanttoAnnexIofthesaidAgreement
quotadutyisequalto30%oftheCommonCustoms
Tariffdutyinrespeaoftheproductconcerned ;
•••/•••
(1)0JNoL61of14.3.1971
(2)OJNoL111of28.4.1976 .

2T ANNEXo
whereastocomplywiththespecialprovisions ofthesaid
Protocol,separate arrangements shouldbemadeforMember
StatesoftheCommunity asoriginally constituted onthe
onehand,andforthenewMemberStates .ontheother;
Whereas,sincethe1January 1974,itisgrantedto-Malta
atreatment notlessfavourable thanthatenjoyed bycountries
eligibleforthegeneralized tariffpreferences;' -'''whereasto
thisendtherefore thedutyratesshouldbetotallysuspended
andthequotavolumeincreased to815metrictonsforthe
year1977,fromwhich364metrictonsbelongstotheMember
StatesoftheCommunity asoriginally constituted and451metric
tonstothenewMemberStates;
Whereas itisinparticular necessarytoensureto
allCommunity importers equalanduninterrupted
accesstotheabovementioned quotaanduninter­
ruptedapplication oftheratelaiddownforthat
quotatoallimportsoftheproductconcerned into
allMemberStatesuntilthequotahasbeenusedup;
whereas,havingregardtotheprinciplesmentioned
above,theCommunity natureofthequotacanbe
respected byallocating theCommunity tariffquota
amongtheMemberStates;whereas,inorderto
reflectmoreaccurately theactualdevelopment ofthe
marketintheproductconcerned ,suchallocation
shouldbeinproportion totheneedsoftheMember
States,assessedbyreferencetoboththestatisticsof
eachState'simportsofthesaidgoodsfromMalta
overarepresentative periodandtheeconomicout­
lookforthequotaperiodconcerned ;
Whereas,duringthelastthreeyearsforwhich
statisticsareavailable ,thecorresponding importsby
eachoftheMemberStatesrepresentthefollowing
percentages oftheimportsintotheCommunity ,from
Malta,oftheproductsconcerned :
%
1973 1974 1975
Germany 31.0 16.2 42.9
Bénélux ' 35.1 45.5 12.1
France
I11.9 22.9 38.8
Italy L22.0 15.4 6.2
Denmark 77.4 60.9 45.4
Ireland 0.5 •0.7 2.3
UnitedKingdomL22.1 38.4 52.3

Whereasinviewofthesefactorsoftheforeseeable
development during1977ofthemarketforthe
productsinquestionandinparticularoftheestimates
submittedbycertainMemberStates,initialquota
sharesmayconsequently befixedapproximately as
follows:(in%):
Germany 65
Bénélux 18
France _13
Italy 4
Dentnark •35
Ireland 1
UnitedKingdom 64;
Whereas,inordertotakeintoaccountimporttrends
fortheproductsconcerned inthedifferentMember
States,thequotaamounsshouldbedividedintotwo
instalments ,eachfirstinstalment beingallocated
amongtheMemberStates,andeacfaecondforming
areserveintendedultimatelytocovertherequire­
mentsoftheMemberStateswhichhaveusedup
theirinitialquotashares;whereas,inorderto
ensureacertaindegreeofsecuritytoimportersin
eachMemberState,thefirstinstalment of
eachquotashouldbedetermined atalevelwhich,
underpresentcircumstances ,maybeapproximately
67<%of/^<ji|otaamount;
Whereastheiniti'alquotasharesoftheMember
Statesmaybeusedupatdifferenttimes;whereas,
^inordertotakethisfactintoaccountandavoid
anybreakincontinuity ,itisimportantthatany
MemberStatehavingusedupalmostthewholeof
itsinitialquotashareshoulddrawanadditional
quotasharefromthereserve;whereas,thismustbe
donebyeachMemberStateasandwheneachof
•itsadditionalquotasharesisalmostentirelyused
up,andrepeatedasmanytimesasthereserveallows;
whereastheinitialandadditionalquotasharesmust
beavailableforuseuntiltheendofthequotaperiod;•
whereasthismethodofadministration callsforclose
cooperation betweenMemberStates,andtheCom­
mission,whichmust,inparticular,beableto.
observetheextenttowhichthequotaamountisused
andinformMemberStatesthereofi
Whereasif,ataspecifieddateinthequotaperiod,
aconsiderable balanceremainsinoneorother
MemberStateitisessentialthatdiatMemberState
paysalargeamountofitbackintothereserve,in
ordertoavoidapartoftheCommunity quota
remaining unusedinoneMemberStatewhenit
couldbeusedinothers:

-4-ANNEX D
Whereas,sincetheKingdomofBelgium,theKingdom
oftheNetherlands andtheGrandDuchyofLuxem­
bourgareunitedinandrepresented bytheBenelux
"Economic Union,anymeasure concerning the
administration ofthequotasharesallocatedtothat
■economic unionmaybecarriedoutbyanyofits
members ,
HASADOPTED THISREGULATION :
Article 1
1.From1Januaryto31December 197/atariff
quotaof815metrictonsshallbeopenedinthe
Community formen'sandboys'outergarments
fallingwithinheadingNo61.01 oftheCommon
CustomsTariff,originating inMalta.
2.Withinthelimitsofthistariffquota,theCommon
CustomsTariffdutiesshallbetotallysuspended .
Thissuspension shallbefullyappliedinthenew
MemberStates.
3.Anamountof364tonsisassignedtothe
MemberStatesoftheCommunity initsoriginal
composition .
4.Anamountof451tonsisassignedtothe
newMemberStates.
Article2
1.Afirstinstalment ,amounting to'metrictons r
oftheamountspecifiedinArticle1(3),shallbe
allocatedamongtheMemberStatesoftheCom­
munityasoriginally constituted ;theshares,which
subjecttoArticleSarevaliduntil31December1977,
shallbeasfollows:
Germany 158 metrictons,.-
Benelux 44metrictons,
France 31metrictons,.
Italy 10metrictons.
Thesecondinstalment of121metrictonsshall
constitute therelevantreserve.
2.Afirstinstalment,amountingto?metrictons
oftheamountmentioned inArticlel(41shallbe
distributed betweenthenewMemberStates;the
shares,whichsubjecttoArticle5arevaliduntil
31December 1977,shallbeasfollows:
Denmark 105metrictons,
Ireland 3metrictons,
UnitedKingdom192metrictons.
Thesecondinstalment of151metrictonsshall
constitute therelevantreserve.a•/>•

Article35 ANNEX D
1.If90%ormoreoftheinitialshareofaMember
State,aslaiddowninArticle2or90%ofthat
sharelesstheamountreturnedintothereserve,where
theprovisions ofArticle5havebeenapplied,has
beenexhausted ,thatMemberStateshallproceed
withoutdelay,bynotifyingtheCommission ,todraw
a■secondshareequalto15%ofitsinitialshare,
roy.rtdccLuptothenextunitwhereappropriate ,to
theextentthattheamountintherespective reserveallows.
2.If,afteritsinitialsharehasbeenexhausted,90%
ormoreofthesecondsharedrawnbyaMember
Statehasbeenused,thatMemberStateshall,in
accordance withtheconditions laiddownin
paragraph 1,proceedwithoutdelaytodrawathird
shareequalto75%ofitsinitialshare,roundedup
tothenextunitwhereappropriate ,totheextent
thattheamountinthereserveallows.
3.If,afteritssecondsharehasbeenexhausted ,90%
ormoreofthethirdsharedrawnbyaMemberState
hasbeenused,thatMemberStateshallproceed,in
thesameway,todrawafourthshareequaltothe
third.
Thisprocessshallbeapplieduntiltherespect
reserveisexhausted .
4.Notwithstanding theprovisions ofparagraphs 1,
2and3,aMemberStatesmayproceedtodraw
sharessmallerthanthosefixedinthoseparagraphs ,
ifthereisreasontobelievethattheymightnotbe
usedup.TheyshallinformtheCommission ofthe
reasonswhichledthemtoapplythisparagraph .
Article4
Eachoftheadditional sharesdrawnpursuantto
Article3shallbevaliduntil31December 1977
Article5
TheMemberStatesshallreturntothereserve,not
laterthan1October1977,theunusedportionof
theirinitialsharewhich,on15September 1977,isin
excessof20%oftheirinitialamount.Theymay
returnagreaterportioniftherearegroundsfor
believingthatsuchquantitymaynotbeusedinfull.
TheMemberStatesshall,notlaterthan1October
197notifytheCommission ofthetotalimportsof
theproductconcerned effecteduptoandincluding
15September 1977,andchargedagainstthe
Community quotaand,whereappropriate ,.the
proportion oftheirinitialsharethatisbeingreturned
tothereserve.
Article6
TheCommission shallkeepaccountoftheshares
openedbyMember Statesinaccordance with
Articles2and3andshallinformeachofthemof
theextenttowhichthereserves/beenusedas
soonasitreceivesthenotifications .haveTheCommission shall,notlaterthan5October
1977,notifyMemberStatesoftheamountinthe
reservesafterthereturnofsharespursuant to
Article5.
are
TheCommission shallensurethatanydrawingwhich
usesupthereserves!limitedtothebalance
availableandforthispurposeshallspecifythe
amountsthereoftotheMemberStatewhichmakes
thelastdrawing.
iveArticle7
1.TheMemberStatesshalltakeallappropriate
measurestoensurethat,whenadditional sharesare
drawnpursuanttoArticle3,itispossiblefor
chargestobemadewithoutinterruption againsttheir
accumulated sharesoftheCommunity quota.
2.TheMemberStatesshallensurethatimporters
oftheproductconcerned established intheir
teiritoryhavefreeaccesstothesharesallocatedto
them.
3.TheMemberStatesshallchargeimportsofthe
saidgoodsagainsttheirshareasandwhenthegoods,
areenteredforhomeuse.
4.TheextenttowhichaMemberStatehasused
upitsshareshallbedetermined onthebasisofthe
importschargedinaccordance withparagraph 3.
Article8
OnreceiptofarequestfromtheCommission ,
MemberStatesshallinformitofimportsactually
chargedagainsttheirshares.
Article9
TheMemberStatesandtheCommission shall
.cooperate closelyinordertoensurethatthis
Regulation isobserved.
Article10
ThisRegulation shallenterintoforceon1January
1977.
ThisRegulation shallbebindinginitsentiretyanddirectlyapplicableinallMember
States.
DoneatBrussels,
FortheCouncil
•ThePresident