Proposal for a COUNCIL REGULATION amending the autonomous duty for garlic in the common customs tariff (CN code 0703 20 00)

(presented by the Commission)

EXPLANATORY MEMORANDUM

1. On 2 May 2000, the Council authorised the Commission to notify the WTO that the European Community intended to amend the bound tariff for garlic falling within heading 0703 20 00 and that, in accordance with Article XXVIII of the GATT 1994, it was ready to open negotiations and consultations with WTO Members.

2. The negotiations between the European Community and the Argentine Republic, the only WTO member having a principal supplying interest, were successfully concluded through an exchange of letters approved on behalf of the Community by Council Decision of 28 May 2001. The Agreement in question, which applies from 1 June 2001, was notified to the WTO on 18 June 2001.

3. The EC has agreed to open a tariff quota for garlic amounting to 38 370 tonnes, the in-quota rate of duty being 9,6%. The out-of-quota bound tariff is set at EUR 1200/t + 9,6% ad valorem.

4. The autonomous out-of-quota duty remains 12,0% ad valorem, however. Under Council Regulation (EEC) No 2658/87 on the tariff and statistical nomenclature and on the Common Customs Tariff, as last amended by Commission Regulation (EC) No 1230/2001 of 21 June 2001, autonomous customs duties apply when they are below the conventional duties.

5. So that the new system for importing garlic can completely fulfil its role, the autonomous rate of duty fixed in the common customs tariff (12%) should be increased to the same amount (EUR 1 200/t) as that laid down for the out-of-quota conventional duty, with effect from 1 June 2001.

6. This proposal invites the Council to amend the autonomous duty for garlic in the common customs tariff.

2001/0219 (ACC)

Proposal for a COUNCIL REGULATION amending the autonomous duty for garlic in the common customs tariff (CN code 0703 20 00)

THE COUNCIL OF THE EUROPEAN UNION,

Having regard to the Treaty establishing the European Community, and in particular Article 133 thereof,

Having regard to the proposal from the Commission [1],

[1] OJ C ..., ..., p. ...

Whereas:

(1) The Agreement in the form of an Exchange of Letters between the European Community and the Argentine Republic pursuant to Article XXVIII of the General Agreement on Tariffs and Trade (GATT) 1994 for the modification of concessions with respect to garlic provided for in Schedule CXL annexed to the GATT, was approved on behalf of the Community by Council Decision 2001/404/EC of 28 May 2001 [2].

[2] OJ L 142, 29.5.2001, p. 7.

(2) The conditions for importing garlic have been amended as a result from 1 June 2001. The new system subjects imports of garlic falling within CN code 0703 20 00, outside of a GATT quota, to a customs duty comprising an ad valorem rate of 9,6 % and a specific amount, fixed at EUR 1 200 per tonne net.

(3) So that the new system can completely fulfil its role, the autonomous rate of duty fixed in the common customs tariff should be increased to the same amount as that laid down for the out-of-quota conventional duty, with effect from 1 June 2001,

HAS ADOPTED THIS REGULATION:

Article 1

The autonomous duty for garlic falling within CN code NC 0703 20 00 shall comprise an ad valorem rate of 12 % and a specific amount of EUR 1 200 per tonne net.

Article 2

This Regulation shall enter into force on the third day following its publication in the Official Journal of the European Communities.

It shall apply from 1 June 2001.

This Regulation shall be binding in its entirety and directly applicable in all Member States.

Done at Brussels,

For the Council

The President

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