COMMISSION OF THE EUROPEAN COMMUNITIES 
C0M(94) 448 final 
Brussels, 31.10.1994 
94/0245 (ACC) 
Proposal for a 
COUNCIL REGULATION (EC) 
on the definition of originating products applicable to 
certain mineral products and certain products of the 
chemical or allied industries for the purposes of the 
preferential tariff arrangements granted by the European Economic 
Community to the overseas countries and territories (OCT) 
(presented by the Commission) 
4-
EXPLANATORY MEMORANDUM 
The definition of originating products in Annex II to Council Decision 
91/482/EEC of 25 July 1991 on the association of the overseas countries 
and territories with the European Economic Community, which defines the 
concept of originating products and methods of administrative 
cooperation, does not cover certain mineral products and certain 
products of the chemical or allied industries imported from these 
countries and territories.1 
For all such products imported under the preferential tariff 
arrangements granted by the European Economic Community to the overseas 
countries and territories (OCT), the Member States of the Community 
define the concept of originating products in accordance with their own 
national rules. 
The establishment of the internal market in 1993 has brought about the 
creation of an area without internal frontiers in which the free 
movement of goods is assured. The Council should therefore ensure 
uniform implementation of the provisions concerning the definition of 
originating products applicable to the above-mentioned products for the 
purposes of these preferential arrangements. 
Uniform implementation of the origin rules laid down by this proposal 
for a regulation must not be prejudicial to the preferential 
arrangements applied by the Community to these products on the basis of 
national origin rules. Within the strict limits of current imports from 
those OCT which enjoy preferential arrangements, therefore, the concept 
of originating product defined in this proposal should thus take 
account of the conditions under which some of these products are 
obtained in the OCT. 
In accordance with Article 6 of the Protocol annexed to the Treaty 
establishing the European Economic Community, and in the same spirit, 
an examination was held of Articles 2 to 5 of the aforementioned 
Protocol, concerning imports in the European Economic Community of 
petroleum products refined in the Netherlands Antilles. At the end of 
this examination, it does not appear necessary to amend Articles 2 to 5 
of the Protocol insofar as the attached draft Regulation does not harm 
the situation of the Netherlands Antilles, import in remission granted 
from customs duty being maintained in the draft Regulation and the 
annual quantity of 2 500 000 of tonnes envisaged by the Protocol not 
being threatened since the draft Regulation introduces no measurement 
on the limitation of imports. 
1 OJ L 263, 19.9.1991, p. 1 
- -7 «L -
Proposal for a Council Regulation (EC) No .... 
of 
on the definition of originating products applicable to 
certain mineral products and certain products of the 
chemical or allied industries for the purposes of the 
preferential tariff arrangements granted by the European Economic 
Community to the overseas countries and territories (OCT) 
THE COUNCIL OF THE EUROPEAN UNION, 
Having regard to the Treaty establishing the European Community, and in 
particular Article 113 thereof, 
Having regard to the proposal from the Commission, 
Whereas the definition of originating \ >ducts in Annex II to Council 
Decision 91/482/EEC of 25 July 1991 on the association of the overseas 
countries and territories with the European Economic Community, which 
defines originating products and methods of administrative cooperation, 
excludes certain mineral products and certain products of the chemical or 
allied industries;^ 
Whereas, for all such products imported under the preferential trade 
arrangements granted by the Community to the overseas.countries and 
territories (OCT), the Member States of the Community have continued to be 
allowed to define originating products in accordance with their own 
national rules; 
Whereas the completion of the internal market in 1993 has created an area 
without internal frontiers in which the free movement of goods is assured; 
whereas with due respect for the principle of subsidiarity, it is important 
to have a uniform definition of originating products applicable to certain 
mineral products and certain products of the chemical or allied industries 
for the purposes of the above-mentioned arrangements; 
1 0J L 263, 19.9.1991, p. 1. 
Whereas common rules should therefore be adopted for the products concerned 
In order to determine the conditions in which such products acquire the 
status of originating products for the purposes of the application of the 
tariff preference arrangements referred to above; 
Whereas the uniform implementation of the provisions concerning the 
definition of the concept of originating products should be without 
prejudice to the preferential arrangements applied by the Community to the 
products concerned on the basis of origin rules defined until now by the 
Member States in accordance with their own national legislation; whereas, 
in view of the special relationship existing between the Community and such 
countries and territories, within the strict limits of preserving the 
actual flow of imports from those OCT which enjoy preferential 
arrangements, the concept of originating product defined in this Regulation 
should take account, of, the conditions under which some of these products . 
are obtained in such countries and territories, 
HAS ADOPTED THIS*REGULATION 
Art icle 1 
Or i g i n cr iter i a 
For the purposes of implementing the provisions relating to the 
preferential tariff arrangements granted by the Community in respect of 
certain mineral products and certain products of the chemical or allied 
industries referred to in Annex II and originating in the overseas 
countries and territories referred to in Part IV of the Treaty establishing 
the European Economic Community, hereinafter referred to as "OCT", the 
following shall be considered as products originating in the OCT: 
(a) products wholly obtained in the OCT, the Community or the ACP 
States; 
(b) products obtained in an OCT, in the manufacture of which products 
other than those referred to at point (a) and hereinafter referred 
to as "non-originating materials" have been used, provided that such 
materials have been sufficiently worked or processed within the 
meaning of Art icle 3. 
- 3 -
Art icle 2 
Wholly obtained products 
The following shall be considered as wholly obtained in the OCT, the 
Community or the ACP States within the meaning of Article 1(a): 
(a) products extracted from their soil or from their seabed; 
(b) products taken from their seabed or beneath the seabed outside their 
territorial waters, if, for the purposes of exploitation, they have 
exclusive rights to such soil or subsoil; 
(c) products produced there exclusively from products specified in (a) 
and (b). 
Ar t i c le ,3 
Sufficiently processed products 
1. For the purposes of Article Kb), non-originating materials are 
considered to be sufficiently worked or processed when the obtained 
product specified in columns 1 and 2 of the list in Annex II fulfils the 
conditions set out in column 3, subject to the provisions contained in 
paragraphs 2 to 7. 
The expressions "chapters" and "headings" used in this Regulation shall 
mean the chapters and headings (four-digit codes) used in the 
Nomenclature which makes up the Harmonized Commodity Description and 
Coding System (hereinafter referred to as the "Harmonized System" 
or HS). 
The expression "classified" shall refer to the classification of a 
product or material under a particular heading. 
2. Where in the list in Annex II a percentage rule is applied in 
determining the originating status of a product obtained in an OCT, the 
value added by the working or processing shall correspond to the ex-
works price of the product obtained, less the customs value of third-
country materials imported into the Community, the ACP states or the 
OCT. 
3. The term "value" in the list in Annex II shall mean the customs value at 
the time of the import of the non-originating materials used or, if this 
is not known and cannot be ascertained, the first ascertainable price 
paid for the materials in the territory concerned. 
Where the value of the originating materials must be ascertained, the 
provisions contained in the first subparagraph of this point must be 
applied mutât i s mutand i s. 
4. The term "ex-works price" in the list in Annex II shall -mean the price 
paid to the manufacturer in whose undertaking the last working or 
processing is carried out, provided the price includes the value of all 
the materials used in manufacture, minus any internal taxes which are, 
or may be, repaid when the product obtained is exported. 
5. "Customs value" shall be understood as meaning the value established in 
accordance with the Agreement on the implementation of Article VII of 
the General Agreement on Tariffs and Trade (GATT), concluded in Geneva 
on 12 ApriI .1979. 
6. For-the purposes of paragraphs 1 to 5, the following shall be considered 
as insufficient working or processing to confer originating status, 
whether or not there is a change of heading: 
5 -
(a) operations to ensure the preservation of products in good condition 
during transport and storage (ventilation, spreading out, drying, 
chilling, placing in salt, sulphur dioxide or other aqueous 
solutions, removal of damaged parts and I ike operations); 
(b) (i) changes of packaging and breaking up and assembly of 
cons ignments; 
(ii) simple placing in bottles, flasks, bags, cases, boxes, fixing 
on cards or boards etc., and all other simple packaging 
operat ions ; 
(c) affixing marks, labels and other like distinguishing sjgns on 
products or their packaging; 
(d) (i) simple mixing of products of the same kind, where one or more 
components of the mixture do not meet the conditions laid down 
in this Regulation to enable them to be considered as 
originating in an ACP State, the Community or an OCT; 
i 
(ii) simple mixing of products of different kinds, unless one or 
more components of the mixture meet the conditions laid down in 
this Regulation to enable them to be considered as originating 
in an ACP State, the Community or an OCT and provided that such 
çomponent(s) contribute(s) to the determination of the 
essential characteristics of the finished product; 
Ce) a combination of several operations specified in points (a) to (d).. 
7. For the purposes of heading Nos ex 2707, 2713 to 2715, ex 2901, ex 2902 
and ex 3403 mentioned in column 1 of the list in Annex II, simple 
operations such as cleansing, decanting, desalting, water separation, 
filtering, colouring, marking, obtaining a given sulphur content as a 
result of mixing products with different sulphur contents, any 
combination of these operations or like operations do not confer origin. 
- 6 
However, in the case of crude petroleum oils under heading No ex 2709 
mentioned in column 1 of the list in Annex II, simple operations such as 
decanting, desalting, water separation, filtering, marking and any 
combination of these operations are considered as operations which 
confer origin. 
Art icle 4 
Neutral elements 
In order to determine whether goods originate in an ACP State, in the 
Community or in an OCT, it shaI I not be necessary to establish whether the 
electrical power, fuel plant and equipment, and machines and tools used to 
obtain such goods or any materials or products used in the course of 
product ion which do not enter into the final composition of the goods 
originate in third countries or not. 
Art ic le 5 
Va lue tolerance 
Notwithstanding the provisions of Article 3(1) and (2), non-originating 
products may be used in the manufacture of a specific product provided that 
their value does not exceed 10% of the ex-works value of the finished 
product and subject to the conditions set out in note 4.2 to Annex I. 
Art icle 6 
- Cumulation 
1. For the purposes of this title, the OCT shall be considered as a .single 
territory. 
7 -
2. Where products wholly obtained in the Community or in the ACP States are 
worked or processed in the OCT, they shall be considered as having been 
wholly obtained in the OCT. 
3. Working or processing carried out in the Community or in the ACP States 
shall be considered as having been carried out in the OCT when the 
materials undergo working or processing. 
4. Paragraphs 2 and 3 are applicable to any working or processing carried 
out in the OCT, including the operations listed in Article 3(6) and (7). 
Art i cle 7 
.A Ilocat ion of or ig in 
Originating products consisting of materials wholly obtained or 
sufficiently processed in two or more OCT or in one or more ACP States and 
in one or more OCT shall be considered -as products originating in the OCT 
or in the ACP State in which the last working or processing was carried 
out, provided that such working or processing goes beyond the insufficient 
operations contained in Article 3(6) and/or beyond the operations which do 
not confer origin contained in Article 3(7) or consists of a combination of 
such operat ions. 
.8 -
Art icle 8 
Direct transport 
1. The preferential tariff arrangements referred to in Article 1 apply only 
to products or materials which are transported between the territory of 
the ACP States, the Community or the OCT without entering any other 
territory. However, goods which constitute a single consignment may be 
transported through terri tory other than that of the ACP States, the 
Community or the OCT and, if necessary, transhipped or placed in 
temporary warehousing in such territory, provided that the goods have 
remained under the surveiI lance of the customs authorities in the 
country of transit or of warehousing and that they have not undergone 
operations other than unloading, reloading or any operation designed to 
preserve them in good condition. 
Products which are transported by pipeline across territory other than 
that of the OCT shall also be considered as having been transported 
directly from the OCT into the Community. . 
2. Evidence that the conditions referred to in paragraph 1 have been 
fulfilled shall be supplied to the responsible customs authorities by 
the product ion of : 
(a) a through bill of lading issued in the exporting beneficiary country 
or territory covering the passage through the country of transit; or 
(b) a certificate issued by the customs authorities of the country of 
transit: 
giving an exact description of the goods, 
stating the dates of unloading and reloading of the goods or of 
their embarkation or disembarkation, identifying the ships used, 
certifying the conditions under which the goods remained in the 
transit country; or 
(c) failing these, any substantiating documents. 
Art icle 9 
Territorial requirement 
The conditions set out in Articles 1 to 8 relative to the acquisition of 
originating status must be fulfilled without interruption in the Community, 
the ACP States or the OCT. 
If originating goods exported from the Community, ACP States or OCT to 
another country are returned, they must be considered as non-originating 
unless it can be demonstrated to the satisfaction of the customs 
author i t ies that : 
- the goods returned are the same goods as the goods exported, and 
- they have not undergone any operation beyond that which is necessary to 
preserve them in good condition while in that country or while being 
exported. 
Art icle 10 
Ceuta and MeliI la 
1. For the purposes of the provisions of Decision 86/47/EEC, as last 
extended by Decision 90/6^9/EEC, this Regulation shall apply mutat is 
mutandis subject to the special conditions set out in paragraphs 2 to 8 
hereafter. 
- 10 
2. The term 'Community' used in this Régulât ion does not cover Ceuta and 
Melilla. The term 'products originating in the Community' does not cover 
products originating in Ceuta and Me M I la. 
3. The following paragraphs shall apply instead of Article 6(2) and (3) and 
references to that Article shall apply mutatis mutandis to this Article. 
4. Where products wholly'obtained- in Ceuta and Melilla, in the ACP States 
or in the Community are worked or processed in the OCT, they shall be 
considered as having been wholly obtained in the OCT. 
5. Working or processing carried out in Ceuta and Melilla, in the ACP 
States or in the Commun!ty sha I I be considered as having been carried 
out in the OCT where the products obtained are subsequent I y worked or 
processed in the OCT. 
6. Where products wholly obtained in the ACP States, in the- OCT or in the 
Community are worked or processed in Ceuta and Me IiI la, they shall be 
considered as having been wholly obtained in Ceuta and Melilla. 
7. Working or processing carried out in the ACP States, in the OCT or in 
the Community shall be considered as having been carried out in Ceuta 
and MeliI la, where the products obtained are subsequently worked or 
processed in Ceuta and Melilla. 
8. Ceuta and Mel it la sha I I be considered as a single territory. 
- 11 
Article 11 
This Regulation shall apply without prejudice to the Protocol to the Treaty 
establishing the European Community on imports into the European Community 
of petroleum products refined in the Netherlands Antilles, and in 
particular Article 6 thereof. 
Article 12 
This Regulation shall enter into force on the seventh day following its 
publication in the Official Journal of the European Communities. 
This Regulation shall be binding in its entirety and directly applicable in 
all Member States. 
Done at Brussels, 
For the Council 
The President 
•1<t 
ANNEX 
NOTES 
Foreword 
These notes shall apply, where appropriate, to all products manufactured 
using non-originating materials. 
Note 1 
1.1 The first- two columns in the list describe the product obtained. The 
first column gives the heading number or chapter number used in the 
Harmonized System and the second column gives the description of 
goods used in that system for that heading or chapter. For each 
entry in the first two columns a rule is specified in column 3. 
Where, in some cases, the entry in the first column is preceded by 
an 'ex', this signifies that the rule in column 3 applies only to 
the part of that heading or chapter as described in column 2. 
1.2 Where several heading numbers are grouped together in column 1 or a 
chapter number is given and the description of products' in column 2 
is therefore given in general terms, the adjacent rule in column 3 
applies to all products which, under the Harmonized System, are 
classified in headings of the chapter or in any of the headings 
grouped together in column 1. 
1.3 Where there are different rules in the list applying to different 
products within a heading, each indent contains the description of 
that part of the heading covered by the adjacent rule in column 3. 
Note 2 
2.1 The term 'manufacture' covers any kind of working or processing 
including assembly or specific operations. However, see Note 3.5 
below. 
2.2 The term 'material' covers any ingredient, element, raw material, 
material, component or part, etc., used in the manufacture of the 
product. 
2.3 The term 'product' refers to the product obtained, even if it is 
intended for later use in another manufacturing operation. 
2.4 The term 'goods' covers both materials and products. 
Note 3 
3.1 The working or processing required by a rule in column 3 has to be 
carried out only in relation to-the non-originating materials used. 
The restrictions contained in a rule in column 3 likewise apply only 
to the non-originating materials used. 
3.2 If a product made from non-originating materials which has acquired 
originating status during manufacture by virtue of the change of 
heading rule or its own list rule is used as a material in the 
process of manufacture of another product, then the rule applicable 
to the pr.oduct in which it is incorporated does not apply to it. 
•n V 
3.3 Even if the change of heading rule or the other rules contained in 
the list are satisfied, the finished product shall not acquire 
originating status if the operation is insufficient within the 
meaning of Article 3(6). 
3.4 The unit used for the application of the origin rules shall be the 
product considered as the basic unit when determining classification 
using the nomenclature of the Harmonized System. 
Accordingly, where, under general rule 5 for the interpretation of 
the Harmonized System, packing is included with the product for 
classification purposes, it shall be considered as forming a whole 
with the product for the purposes of determining origin. 
Note 4 
4.1 The rule in the list represents the minimum amount of working or 
processing required; thus move-extensive .working or processing also 
confers originating status but less extensive working or processing 
cannot confer origin. Thus if a rule says that non-originating 
material at a certain level of manufacture may be used, the use of 
such material at an earlier stage of manufacture is allowed and the 
use of such mater iaI at a later stage is not. 
1 r 
4.2 If in a rule in the list two or more percentages are given for the 
maximum value of non-originating materials that can be used, then 
these percentages may not be added together. The maximum value of 
all the non-originating materials used may never exceed the highest 
of the percentages given. Furthermore, these provisions must not 
result in individual percentages applying to particular materials 
being exceeded. 
This note shall also apply to the permitted value laid down in 
Art icle 5. 
1G ANNEX II 
HS CODE Description of product Working or processing carried 
out on non-originating materials 
that confers originating status 
ex 2707 . Oils in which the weight of the 
aromatic constituents exceeds 
that of the non-aromatic 
constituents, being oils 
similar to mineral oils 
obtained by distillation of 
high temperature coal tar, of 
which more than 65% by volume 
distils at a temperature of up 
to 250°C (including mixtures of 
petroleum spirit and benzole), 
for use as power or heating 
fuels. Operations of refining and/or 
one or more specific process(es) 
in accordance with Appendix I 
Other operations in which, all 
the materials used are 
classified within a heading 
other than that of the product. 
However, materials classified 
within the same heading may be 
used provided that their value 
does not exceed 50% of the ex- < 
works price of the product 
Blending in accordance with 
Appendix III. 
ex 2709 Crude oils obtained from 
bituminous minerals. Destructive distillation of 
bituminous materials. 
2710 to Petroleum oils and oils 
2712 obtained from bituminous 
materials, other than crude; 
preparations not elsewhere 
specified or included, 
containing by weight 70% or 
more of petroleum oils or of 
oils obtained from bituminous 
materials, these oils being the 
basic constituents of the 
preparations. 
Petroleum gases and other 
gaseous hydrocarbons. 
Petroleum jelly; paraffin wax, 
microcrystalline petroleum wax, 
slack wax, ozokerite, lignite 
wax, peat wax, other mineral 
waxes and similar products 
obtained by synthesis or by 
other processes, whether or not 
coloured. Operations of refining and/or 
one or more specific process(es) 
in accordance with Appendix II 
Other operations in which all 
the materials used- are 
classified within a heading 
other than that of the product. 
However, materials classified 
within the same heading may be 
used provided that their value 
does not exceed 50% of the ex-
works price of the product 
Blending in accordance with 
Appendix III. 
11 
2713 to 
2714 Petroleum coke, petroleum 
bitumen and other residues of 
petroleum oils or of oils 
obtained from bituminous 
materials. 
Bitumen and asphalt, natural; 
bituminous or oil shale and tar 
sands; asphaltites and 
asphaltic rocks. Operations of refining and/or 
one or more specific process(es; 
in accordance with Appendix I 
Other operations in which all 
the materials used are 
classified within a heading 
other than that of the product. 
However, materials classified 
within the same heading may be 
used provided that their value 
does not exceed 50% of the ex-
works price of the product 
2715 Bituminous mixtures based on 
natural asphalt, on natural 
bitumen, on petroleum bitumen, 
on mineral tar or on mineral 
tar pitch: Blending in accordance with 
Appendix III. 
- Blends of crude petroleum 
oils with water and additives 
or heated and blended with 
other crude petroleum oils Operations of refining .and/or 
one or more specific process(es) 
in accordance with Appendix 1 
Other operations in which all 
the materials used are 
classified within a heading 
other than that of the product. 
However, materials classified 
within the same heading may be 
used provided that their value 
does not exceed 50% of the ex-
works price of the product 
Blending in accordance with 
Appendix III. 
- Other Operations of refining and/or 
one or more specific process(es) 
in accordance with Appendix I 
Other operations in which all 
the materials used are 
classified within a heading 
other than that of the product. 
However, materials classified 
within the same heading may be 
used provided that their value 
does not exceed 50% of the ex-
works price of the product. 
4 î 
ex 2901 Acyclic hydrocarbons for use as 
power or heating fuels. Operations of refining and/or 
one or more specific process(es) 
in accordance with Appendix I 
Other operations in which all 
the materials used are 
classified within a heading 
other than that of the product. 
However, materials classified 
within the same heading may be 
used provided that their value 
does not exceed 50% of the ex-
works price of the product 
Blending in accordance with 
Appendix III. 
ex 2902 Cyclanes and cyclenes (other 
than azulenes), benzene, 
toluene, xylenes, for use as 
power or heating fuels. Operations of refining and/or 
one or more specific process(es) 
in accordance" with Appendix I 
Other operations in which all 
the materials used are 
classified within a heading 
other than that of the product. 
However, materials classified 
within the same heading may be 
used provided that their value 
does not exceed 00% of the ex-
works price of the product. 
19 
ex 3403 Lubricating preparations 
containing petroleum oils or 
oils obtained from bituminous 
materials, provided they 
represent less than 70% by 
weight. Operations of refining and/or 
one or more specific process(es) 
in accordance with Appendix I 
Other operat ions in which all 
the materials used are 
classified within a heading 
other than that of the product. 
However, materials classified 
within the same heading may be 
used provided that their value 
does not exceed 50% of the ex-
works price of the product. 
ex 3404 Artificial waxes and prepared 
waxes with a basis of paraffin, 
petroleum waxes, waxes obtained 
from bituminous materials, 
slack wax or scale wax. Manufacture in which all the 
materials used are classified 
within a heading other than that 
of the product. However, 
materials classified within the 
same heading may be used 
provided that their value does 
not exceed 50% of the ex-works 
price of the product. 
ex 3811 Prepared additives for Manufacture in which the value 
lubricating oil, containing of all the materials of heading 
petroleum oils or oils obtained No 3811 used does not exceed 50% 
from bituminous materials. of the ex-works price of the 
product. 
t Append i x I 
For the purposes ôf heading Nos ex 2707, 2713 to 2715, ex 2901, ex 2902 and 
ex 3403, the "specific processes" are the following.-
(a) vacuum distillation; 
(b) redistillation by a very thorough fractionation process;1 
(c) cracking; 
(d) reforming; 
(e) extraction by means of selective solvents; 
(f) the process comprising all the following operations: processing with 
concentrated, sulphuric acid, oleum or sulphuric anhydride; 
neutralization with alkaline agents; decolorization and purification 
with naturally active earth, activated earth, activated charcoal or 
bauxite; 
(g) polymerization; . l 
(h) a Iky I at ion; 
( i ) isomer i zat ion-, 
1 See Additional Explanatory Note 4 (b) to Chapter 27 of the Combined 
Nomenclature. 
?n 
APPENDIX 
For the purposes of heading Nos 2710 to 2712, the "specific processes" are 
the fol lowing: 
(a) vacuum distillation; 
(b) redistillation by a very thorough fractionation process;1 
(c) cracking; 
(d) reforming; 
(e) extraction by means of selective solvents-, 
(f) the process comprising all the following operations: processing 
with concentrated sulphuric acid, oleum or sulphuric anhydride; 
neutralization with alkaline agents; decolorization and 
purification with naturaIly active earth, activated earth, 
activated charcoal or bauxite; 
(g) polymerization; 
(h) a Iky I at ion; 
( i j) isomer izat ion; 
(k) (in respect of heavy oils falling within heading No ex 2710 only) 
desulphurization with hydrogen resulting in a reduction of at least 
85% of the sulphur content of the products processed (ASTM D 1266-
59 T method); 
(I) (in respect of products falling within heading No 2710 only) 
deparaffining by a process other than filtering; 
1 See Additional Explanatory Note 4 (b) to Chapter 27 of the Combined 
Nomenclature. 
2 1 
(m) (in respect of heavy oils falling within heading No ex 2710 only) 
treatment with hydrogen at a pressure of more than 20 bar and a 
temperature of more than 250'C with the use of a catalyst, other 
than to effect desulphurization, when the hydrogen constitutes an 
active element in a chemical reaction. The further treatment with 
hydrogen of lubricating oils of heading No ex 2710 (e.g. 
hydrofinishing or decolorization) in order, more especially, to 
improve colour or stability shall not, however, be deemed to be a 
specif ic process; 
(n) (in respect of fuel oils falling within heading No ex 2710 only) 
atmospheric distillation, on condition that less than 30% of these 
products distils, by volume, including losses, at 300'C by the ASTM 
D 86 method; 
(o) (in respect of heavy oils other than gas oils and fuel oils falling 
within heading No ex 2710 only) treatment by means of a 
high-frequency electrical brush-discharge. 
Z2> 
Appendix III 
Operations involving the (extensive) mixing or blending of crudes, 
residues, gasolene, naphta and a multitude of various blend components are 
acceptable within the meaning of heading Nos ex 2707; 2710 to 2712; 2713 
and 2714, 2715 and 2901 only if they fulfil the following conditions: 
- the product obtained should possess technical, physical or chemical 
qualities different from the characteristics of the imported products; 
- a real objective distinction between the products in question before and 
after the working and processing in question should be demonstrable; 
- on the other hand, simple operations such as cleansing, desulphurization, 
colouring, combinations of such operations, or similar operations 
essentially resulting in a commercial upgrading of the finished product 
rather than making a significant contribution to its specific utilities 
do not confer origin; 
- the mixing and blending should be carried out in a purpose-built plant 
which includes a laboratory so as to enable the correct composition of 
the finished products to be adequately controlled and ensured by virtue 
of the specialized knowledge and skills available. 
- the finished products should possess the specifications indicated by and 
essential to the purchaser, e.g. relating to: 
Z r 
- density; 
- viscos i ty; 
- sulphur content ; 
- asphaltene content; 
- ash; 
- water ; 
- sediment ; 
- flash point ; 
- pour point ; 
- conradson carbon; 
- cetane number ; 
- metals: (a) vanadium 
(b) nickel 
( c ) a I urn i n i urn 
(d) s iI icon 
(e) sodium; 
- compat ibiIi ty; 
- stabiIi ty; 
- heat content ; 
- colour ; 
- vapour pressure; 
- boiIing point ; 
- cloud point ; 
-volatility. 
When considering a particular process, computer-assisted "pro forma" 
processes must be made to ensure that the selection of components will meet 
the required quality parameters after processing. 
Zs 
FINANCIAL STATEMENT 
Proposal for a Council Regulation (EC) on the definition of originating 
products applicable to certain mineral products and to certain products of 
the chemical or allied industries for the purposes of the preferential 
tariff arrangements granted by the European Economic Community to the 
overseas countries and territories (OCT) 
1. Budget heading involved 
Chapter 12, Article 120 (zero rate customs duty) 
2. Legal basis 
Treaty establishing the European Community (Article 113); Council 
Decision 91/482/EEC of 25 July 1991 on the association of the overseas 
countries and territories with the European Economic Community (OJ 
L 263, 19.09.1991). 
3. Objective 
Harmonization of the preferential rules of origin applied to OCT, in the 
light of the completion of the single market in 1993. 
4. Cost of the measure 
The measure will not affect the Community budget, since it is solely 
intended to harmonize the origin rules applied in the Community to the 
products in question, which already enjoy preferential treatment under 
the Member States' national legislation. 
ISSN 0254-1475 
COM(94) 448 final 
DOCUMENTS 
EN 1102 
Catalogue number : CB-CO-94-484-EN-C 
ISBN 92-77-81398-9 
Office for Official Publications of the European Communities 
Lr2985 Luxembourg