ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(73)1997
Vol.1973/0355

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COMMISSION OFTHEEIROEBAN COMMUMÏ1ÎIS
COM(72)1997final
Brussels,29November1973
DRAFT
,REGULATION (EEC)OPTHECOUNCIL
ontheopening;,allocationandadministration ofa
supplementary Communitytariffquotaforferro­
siliconofapurityexceeding75%fallingwithin
subheading Kb73.02Cfor1973 ;
(submittedtothe'CouncilbytheCommission)
•
COM(73)1997final

EXPLANATORY M^IORAIIDUM
1.ThedraftRegulationannexedheretohas"beenpreparedinresponse
torequestsfromtheBeneluxMemberStatesfortheautonomousopening
ofasupplementary Communitytariffquotaforferro-silioon for1973.
2.Thefirstoftheserequests,relatingtoferro-silioon generally,
wasstudiedduringaconsultation meetingofexpertsfromalltheMember
Stateswhichwasheldon8June1973•Itemergedclearlyfromthisstudy
thattherewouldnotbeunanimitjrasrequiredunderArticle28,andthat,
consequently ,theopeningofanautonomoustariffquotawouldnotoccur
intheforeseeable future.
3«Owingtopressureoftimeendtechnicaldifficultiesitwasnot
possibletostudyataconsultation meeting,asisthecustominsuch
cases,therequestspecifyingtherequirements oftheBeneluxcountries,
whichrestrictsthemtoferro–silicon withapuritycontentofnotless
than75$.
Intholightoftheeconomicinformation andforecastssuppliedbythe
relevantdepartmentsfcrferro-silicon generally,theCommunitybalance
shouldbeasfollowsfor1973i
Consumption Production
Germany 160000 43000 3200
Bénélux 52065 0 0
France 1400C0 300000 0
Italy 98000 78000 0
450065 421000 3200
Accordingtothisbalancesheet,theCommunity'simportrequirements from
thirdcountriesshouldriseto25865metrictons^450065metrictons–
(421000metrictons+3200metrictonsj^for1973.Talcingintoconsider­
ationthe20000metrictonsallowedforatthebeginningoftheyear,
theserequirement !?wouldthusbereducedto5865metrictons.

However,thefigureof300000metrictonsput-forward "bytheFrench
Authoritiesastheproductionlevelfor1973,infact,representsthe
productioncapacityestimated'atthe"beginningoftheperiod.This
productionreached39845metrictonsand74835metrictonsduring
thefirstandsecond'quarter-years respectively and,accordingtoinfor­
mationreceivedfromthesamesource,willreachabout75000metrictons
duringthefinaltwoquarter-years .Frenchproductionoould,therefore,
riseto265000metrictonsforthewholeyear,"bringingtheCommunity
deficitforferro-silioori toabout40000metrictons.
Itshould "benotedinthisconnection,as«beCoonlssionpreciouslystatedon
several ^occasions,that,asregardsautonomous "Cor-iOKiity-tariffquotas*itis
notenoughnerelvtoop<5nsystematically aquotaequalinvolumetoestimated
importreedsfromthirdcountries.Quotesthuscalculatedareinfact
lifeolytodisttiz%Ooranftfrd"lyproductioninthesectorin"questionoreven
todis^iragcpossibleexpansioninthatSector.
ForthesereasonstheCommissionisonlyopeningaquotafor10000metric
tonsofferro-silicon oftherequiredqualitysubjecttoatemporaryduty
ofifowhichisthesameasthatlaiddownbytheCouncilforthe.additional
quotaot>enodbyitin1972.
3.Asregardstheproposedprovisionsfortheadministration ofthis
additionaltariffquota,theCommissionstillconsidersthatitwouldbe
incompatible withtheCommunitynatureofthequotainquestionto
allocateitdefinitively amongtheMemberStates,andinthiscase,among
theMemberStatesofBeneluxonly.
Forthesereasonsitisproposedthattheincreaseunderconsideration
shouldbeeffectedbyaRegulationlayingdownitsownprovisionsfor
allocationandadministration which,whilepartiallymeetingtherequest
received,includeinparticulartheestablishment ofaCommunityreserve.

Proposalfora
REGULATION(EEC)NO•.-/73OFHIECOUNCIL •
ontheopening,allocationandadministration ofa
supplementary Communitytariffquotaforferro-siliccn
ofapurityexceeding75%fallingwithinsubheading .
Nu73.02Cfor1973
THECOUNCILOPTHEEUROPEANCOMMUNITIES ,
HavingregardtotheTreatyestablishing theEuropeanEconomicCommunity,
andinparticularArticle28thereof?
HavingregardtothedraftRegulationsubmittedbytheCommission ;
WhereasbyCouncilRegulation(EEC)No2729/72of19December1972^",the
CouncilopenedandallocatedamongtheMemberStates,fortheyear1973,
aduty-freeconventional Communitytariffquota20000metrictonsof
ferrc-silicon fallingwithinsubheading No73«02CoftheCommonCustoms
Tariff5
Whereas,inviewofcurrentCommunityproductionpotential,theabove-
mentioned20000metrictonquotavolumewillnotsufficetocover
Communityimportrequirements forferro-silicon fromthirdcountries ;
whereasitisthereforedesirabletoopenasupplementary Communitytariff
quotaforavolumewhich,inviewoftheneednottojeopardizefuture
expansionofthisproductionsectorintheCommunity,shouldberestricted
to10000metrictons;whereasforthesamereasonsthequotadutyshould
besetat7/^?whereasthissupplementary volumeof10000metrictons
shouldbereservedforimportsofferro-siliccn whichisatleast75°^pure.
OJNoL291,28December1972,p62

Whereasin1973theiiewMemberStatesdonothavetomakeanymovement
towardsalignmentofthenationaltariffsontheCommonCustomsTariff
asregardstheproductsinquestion;whereastheopeningofaCommunity
tariffquotathusinvolvesnoobligationforthenewMemberStatesto
notifytheircustomstariffsasregardsthirdcountries;whereastherefore
itshould "beprovidedthatonlytheMemberStatesoftheCommunityas
originallyconstituted shouldusethetariffquotasandchargeagainst
theirquotasharesproductsimportedbothfromthirdcountriesandfrom
thenewMemberStates;whereastheCommunitytariffquotamustreflect
thetermsspecifiedabove;
Whereasequalandcontinuousaccesstothequotashouldbeensuredforall
Communityimportersandtherateoflevyforthetariffquotashouldbe
appliedconsistently inallMemberStatestoallimportsoftheproduct
inquestionuntilthequotaisuuulup;whereas,inthelightofthe
principlesoutlinedabove,aCommunitytariffarrangementbasedonan
allocationbetweentheMemberStateswouldseemtopreservetheCommunity
natureofthequota;whereastorepresentascloselyaspossiblethe
actualdevelopmentofthemarketintheproductinquestiontheallocation
shouldfollowproportionately therequirements oftheMemberStates
calculatedbothfromstatisticsofimportsfromthirdcountriesduringa
representative referenceperiodandfromtheeconomicoutlookforthe
tariffyearinquestion;
Whereasin,viewofthestatisticsfor1969-71andofmarketforecastsfor
ferro-silicon forthecurrentyearthepercentagesharesinthe20000
metrictonquotavolumeopenedbytheabovementioned Regulationareas

-3-
follows:
ItalyGcrmary
Bénélux
France17.5
77.5
O.25
4.75
Whereas,sincethequotainquestionisanautonomous Communitytariff
quotawhichisintendedtocoversuppleinentary importneedsarising
withintheCommunity,allocationofthesupplementary quotavolumemay
bebasedonthetrueneedsexpressedbytheMemberStatesjwhereasthe
threeMemberStatesconstituting theBeneluxEconomicUnionhavecommun­
icatedsupplementary needsofsome15000metrictons;asregardsthe
otherMemberStates,theextenttowhichthequotasharesallocatedto
themintheinitial20000metrictonquotaopenedbytheabovementioned
Regulationhasbeenusedupandtheestimateoftheirsupplementary needs
wouldnotatpresentjustifytheirparticipationintheproposedincrease
intheCommunitytariffquota;whereas,shouldfurtherneedslaterarise
inthoseMemberStates,however,theycouldalwaysinvokeArticle3of'
thisRegulation ;whereasthissystemofallocationalsopermitsthe
CommonCustomsTarifftobeapplieduniformly ;
Whereas,totakeaccountoffuturetrendsofimportsoftheproductunder
consideration ,thetotalquotavolumeshouldbedividedintotwotranches,
thefirstbeinggrantedtotheBeneluxandthesecondheldasareserve
tocoveratalaterdatetherequirements oftheseMemberStates,should
theyuseuptheirnewquota,andanyfurtherneedsarisinginother
MemberStates;whereastogiveMemberStateimporterssomecertainty
andtomakeitpossibletosellCommunityproductionwithoutdifficulty,
thefirsttrancheoftheCommunityquotashouldbefixedat9000metric
tons;

-4-
Whereas theinitial shares ofMember Sts/fcesmayheused upmore or
lass quickly ;whereas ,therefore ,toavoid disruption ofsupplies
anyMember State which hasalmost used upitsinitial share ,must draw
asupplementary share from thereserve ;whereas this must bedene by
each Member State aseach oneofitssupplementary shares isalnost
used up,andasmany times asthereserve allows ;whereas theinitial
andsupplementary shares must bevalid until the endofthequota period ;
whereas this form ofadministration requires close collaboration between
theMember States andtheCommission ,andtheCommission must beina
position tofollow theextent towhich thequota volume hasbeen used
upandinform theMember States thereof ;
Whereas' if,atagiven date inthequota period ,aconsiderable quantity
oftheinitial share isleft' over inaMember State ,itisessential
that each State should return asignificant proportion tothereserve ,
j toprevent apart oftheCommunity qucta from remaining unused inone
Member State while itcould beused inothers ;
Whereas since theKingdom ofBelgium ,theKingdom oftheNetherlands and
theGrand Duchy ofLuxembourg arejointly represented bytheBenelux
Economic Union anymeasure concerning theadministration oftheshares
allocated tothat economic union maybecarried outbyoneofitsmembers ;
HAS ADOPTED TICS REGIJLATICfiT :
Article 1
Until 31December 1973 theCommon Customs Tariff duty onferro-silicon ofapuri
exceeding /-Tailing within subheading Ho73.02 Cshall besuspended upto7^ona
supplementary Community tariff quota of10000metric tons .

-5-
Article 2
1«Afirst tranche of9000metric tons shall "begranted totheMember
States oftheBenelux Economic Union ;this share shall ,subject to
Article 6,bevalid until 31December 1973 «
2.Thesecond tranche ,of1000metric tons ,shall constitute areserve .
Article 3
Ifneeds forferro-silicon arise inEVancc crItaly ,those Member States
may ,totheextent that thereserve issufficient ,draw anadequate share
from the reserve .
Article 4
1*If90$ormore oftheinitial share asdefined inArticle 2(l)
ofanycftheMember States specified inArtic?.e 2,orofthat share
minus theportion returned tothereserve where Article 6isapplied ,
hasbeen used up,that Member State shall without delay ,bynotifying
theCommission ,draw asecond share ,totheextent that thereserve is
sufficient ,equal to10$ofitsinitial share .
2.If,after itsinitial share hasbeen used up, ormore ofthe
second share drawn byeither ofthe .Member States have been used up,
that Member State shall vithout delay ?inaccordance with theprovisions
ofparagraph 1,draw athird sihare equal to5$ofitsinitial share .

-6-
3«If,afteritssecondsharehas"beenusedup,9<yformoreofthe.
thirdsharedrawnfayeitheroftheMemberStateshasbeenusedup,
thatMemberStateshall,inaccordancewiththeprovisionsofparagraph1,
drawupafourthshareequaltothethird.
Thisprocessshallapplybyanalogyuntilthereserveisusedup.
4*Byv;ayofderogationfromparagraphs 1to3,theMemberStatesin
questionmaydrawshareslowerthanthosefixedinthoseparagraphs
iftherearegroundsforbelievingthatthosefixedmaynotbeusedup.
TheyshallinformtheCommissionoftheirreasonsforapplyingthis
paragraph.
Supplementary sharesdrawnpursuanttoArticle4shallbevaliduntil
31December1973#
Article6
Eitherof;theMemberStatesspecifiedinArticle2whichon15November
1973hasnotusedupitsinitialshareshallreturntothereservenot
laterthan10December1973theunusedportionexceeding20%ofthe
initialamount.Itmayreturnagreaterportioniftherearegrounds
forbelievingthatitmaynotbeusedup.
MemberStatesshall,notlaterthan10December1973,notifytothe
Commissionthetotalquantitiesoftheproductinquestionimported
uptoandincluding15November1973andcountedagainsttheCommunity
quotaandanyquantitiesreturnedtothereserve.

Article7
TheCommissionshallkeepanaccountofthesharesopenedbytheMember
StatespursuanttoArticles2,3and4and-shall,assoonasinformation
reachesit,informeachStateoftheextenttowhichthereservehas
"beenusedup.
Itshall,notlaterthan15December1973,informtheMemberStatesof
theamountstillinreserveafterreturnshavebeenmadepursuantto
Article6.
Itshallensurethatthedrawingwhichusesupthereserveislimited
tothebalanceavailableandtothisendshallspecifythearnotmtthereof
totheMemberStatemakingthelastdrawing.
Article8
1,MemberStatesshalltakeallmeasuresnecessarytoensurethatthere
isuninterrupted accesstotheircumulativesharesofCommunitytariff
quotawhentheyopenadditionalsharesdrawnpursuanttoArticle3or4»
2»EachMemberStateshallensurethatimportersoftheproductin
questionestablishedinitsterritoryhavefreeaccesstotheshares
allocatedtoit.
3.MemberStatesshallcountimportsoftheproductinquestionboth
fromthirdcountriesandfromnewMemberStatesagainsttheirshares
astheproductispresentedforcustomsclearanceunderthedeclaration
forconsumption .
4,TheextenttowhichaMemberStatehasusedupitsshareshallbe
basedonimportscountedagainstitinaccordancewithparagraph 3.

Article9
FembsrStatesshallregularlyinformtheCommissionofimportsfrom
thirdcountriesactuallycountedagainsttheirslipres.
Article10
MemberStatesandtheCommissionshallcooperatecloselytoensurethat
theprcoedmgArticlesaxeobserved.
Article11
ThisRegulationshallenterintoforceonthethirddayfollowingits
publicationintheOfficialJournaloftheEuropeanCommunities.
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicable
inallMemberStates.
DoneatBrussels.
FortheCouncil
ThePresident