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COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(75)251
Vol.1975/0091

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COMMISSION C&THEUSOÎBMCCMMUMIÏS
COM(75 )251final
Brussels ,30May 1975
Proposai for a
COUNCIL REGULATION (EEC )
maintaining ineffect the rules for the suspension
ofthe issue ofauthorisations for imports into
the Federal Republic ofGermany ofwoven cotton
fabrics ,unbleached and bleached originating in
the Federative Republic ofBrazil
(submitted totheCouncil bytheCommission )
GOm;75 )251 final

EXPIAE1T0RY STATE MIT
1.ByRégulation Ko. of May 1975 ,theCommission established
rules for the suspension ofthe issue oflicences for imports into the
Federal Republic ofGermany ofwoven cotton fabrics ,unbleached andbleached
originating intheFederative Republic ofBrazil .
This decision ,taken asaholding measure based onCouncil Regulation
(ESC)No.11-39/74^oncommon rules forimports ,andinparticular Article
12thereof ,wastaken after consultation oftheAdvisory Committee setup
under theabove mentioned Regulation andafter consultations between the
Community andtheBrazilian authorities inthecontext oftheArrangement
Regarding International Trade inTextiles .
2. The reason for which this decision was taken was the serious situation
ofmarket disruption inGermany caused byasharp increase inimports of
woven cotton fabrics ,unbleached andbleached from Brazil .
Theprincipal factors showing market disruption were presented asfollows :
-theproduction oftheGerman cotton febric industry was stagnant
in1974 .InDecember 1974 ,orders decreasediby 33i°compared with
November ofthesame year ;
-thelevel ofutilisation ofproductive capacity which was atthe
endof1974 hasdropped toabout 63%since thebeginning of1975 ;'
-theemployment situation isalso bad ,totheextent that inthe
entire textile industry unemployment andshort-time working have
increased asfollows :
short -time
unemploymentJanuary 1974 January 1975
24.100 36.5OO
33.100 : 40.200
(1)O.J. No.L159of15.6.1974

2-
-.incontrasttotheextremelycriticalsituationoftheindustry,imports
fromBraziloftheproductsconcerned,whicharenotsubjecttoquantitative
restrictions inGermany,increasedsignificantly s
1971 226tonnes
1972 2.706»
1973 3.763"
1974"'4.364»
Thesefiguresrepresentanincreaseof61%between1972and1974•
InthesaaeperiodtotalimportsintoGermanyoftheseproductsincreased
notablylessrapidly-about
Thesituationhasbeenfurtheraggravatediithefirstmonthsof1975
sincefrom1stJanuary-17thAprilimportlicencesforootton ,fabricsfrom
Brazilhavebeenissuedorendorsedforatotalof10,800.tonnes..
Furthermore ,theseimportsarecarriedoutatpricesconsiderably lower
,thanthoseprevailingforoomparableproductsontheGermanmarket:
averagepriceforGermanproducts' 12.02DM/kg
i!averagepriceforSouth-East'Asian..
products 7.49DM/kg.
averageBrazilianprice 6.32Dlykg
,3*WhilstthenegotiationswillopenshortlybetweentheCommunityand
Brazilfortheconclusionofanagreementontradeintextileproductswithin
thecontextofthe-Arrangement RegardingInternational TradeinTextiles;
andhavingregardtothedeliyswhichnecessarily accompanysuchnegotiations ,
theCommission considers -themaintenance ineffectofthei*ules.forthe
suspensionofimportauthorisations tobenecessaryupto31*5»1976.In
accordancewiththeprovisionsofparagraph6,article12ofRegulation
(ESC)No.1439/74itisthereforesubmittingtotheCounciltheattached
proposalforaRegulationregardingmeasuresappropriatetobe.taken.,in.
thismatter.
I

Proposaifora
COUNGILREGULATION
of
maintainingineffecttherulesforthesuspension
oftheissueofauthorisations forimportsintothe_
FederalRepublicofGermanyofwovencottonfabrics
unbleachedandbleachedoriginatingintheFederative
RepublicofBrazil
THECOUNCILOFTHEEUROPEANCOMMUNITIES ,
HavingregardtotheTreatyestablishing theEuropeanEconomicCommunity;
HavingregardtoCouncilRegulation(EEC)No.1439/74^oncommonrulesfor
imports,andinparticularArticle13thereof;
TheCommitteesetupunderArticle5ofthesaidRegulationhavingbeen
consulted;
HavingregardtotheproposalfromtheCommission ;
WhereasbyRegulation(EEC)Ho.ofMay1975theCommissionestablished
rulesforthesuspensionoftheissueofauthorisations forimportsintothe
FederalRepublicofGermanyofwovencottonfabrics,unbleachedandbleached
originatingintheFederativeRepublicofBrazil;
Whereasthefactorswhichjustifiedtheestablishment ofthese.rulesare
stillpresentandwhereasitisconsequently necessarytomaintainthemin
effect:
HASADOPTEDTHI3REGULATION :
(1)O.J.No.L159of15.6.1974

-2-
Article1
1.Therulesforthesuspensionoftheissueofauthorisations forimports
intotheFederalRepublicofGermanyofwovencottonfabrics,unbleached
andbleachedoriginatingintheFederativeRepublicofBrazil,whichwere
adoptedbyRegulation(SEC)Ho.ofMay1975shallremainapplicable
upto31.5.1976. -
2.ThisRegulationshallenter'infoforceonthedayfollowingitspublication
intheOfficialJournaloftheEuropeanCommunities .
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicable
inallMemberStates.
DoneatBrussles,the FortheCouncil
ThePrésident