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DOCUMENTS "COM"
COM (77)262
Vol.1977/0092

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(77)262final
/ Brussels,8June1977
;. /
■i'
'.'' ■1 -■7;
*
\
■
PROPOSAL FOR ACOUNCIL REGULATION
concerningimportarrangements forcertain
textileproductsoriginatingintheKingdom
ofThailandandrepealingRegulations (EEC)
Nos.845/77and/77
\
(submittedtotheCouncilbytheCommission)
COM(77)262final

EXPLANATORY MEMORANDUM
1.TheCouncil,byitsDecisionof24February1976,authorized the
Commissiontoopennegotiations withtheKingdomofThailandforthe
conclusionofanagreement ontradeintextileproducts.
2.Inaccordance withthatCouncildecisionandinconsultation with
theArticle113Committee,theCommission conductednegotiations with
Thailandfrom24to28Februaryandfrom25to29April1977.
Followingthesenegotiations ,adraftagreement wasdrawnupandinitialled
bytheheadsofdelegations on2May1977.TheCommissionispresenting
totheCouncilarecommendation foraRegulation concludingthatagreement.
ThetwoPartiesagreed,however,thattheprovisionsoftheagreement
shouldbeapplieddefactoasfrom1June1977untiltheproceduresfor
theentryintoforceoftheagreementhavebeencompleted.
3.Thedraftagreementprovidesinparticularforvoluntaryrestraintby
theThaiauthorities,withinagreedquantitative limits,onexportsof
certaintextileproductstotheCommunity andforchecksbytheCommunity
thattheselimitsarenotbeingexceeded.
Inordertocarryoutthesechecks,thisproposalforaregulation
introduces arrangements wherebyimportsintotheCommunityoftheproducts
inquestionaresubjecttoquantitative limits.
4.Theagreementthathasbeeninitialled concerns,ofcourse,only
productsoriginating inandcomingfromThailand.TheT|-,a-jauthorities
areapplyingvoluntaryrestraintonlytodirectexportstotheCommunity.
Soproductsincategories coveredbytheagreement andoriginating in
ThailandcanbefreelyexportedtotheCommunityviaanothercountry.
TheCommunitycanraiseobjectionstosuchindirectexportsforthe
agreementobligesitonlytoadmitproductsthatoriginateinand
comefromThailandwhichareaccompanied byexportcertificates drawn
upinaccordancewiththeprovisionsoftheagreement.Sincesuch
indirectimportsarecontrarytotheaimsoftheagreement,theimport
systemestablished bytheCommunitymustnecessarily applytoproducts
originating inThailandwherevertheymaycomefrom.

»
-2-
5.ItisproposedthattheCommunityquantitative restrictions bemanaged
inaccordance withthesameprocedure astheCommunityquantitative quotas
LaiddowninRegulation (EEC)No.1023/70,andinparticularArticle11
thereof.ThisprocedurerequirestheCounciltofixthecriteriafor
thedistribution ofthequantitative restrictions .
Thedistribution criteriareferredtoarethosethatguidedthe
preparatory workwithintheCouncilfortheadoptionofdecisions onthe
openingofbilateralnegotiations undertheArrangement regarding
(1)International TradeinTextiles.Thedistribution willthusbe
basedonthesecriteriaandinparticular ontheresultsofworkalready
accomplished .
6.Theagreementnegotiated providesfortheautomatic andimmediate
acceptance bytheCommunityauthorities ofimportssubjecttoaceiling,
uponpresentation bytheimporteroftheoriginalexportcertificate
(2)issuedbytheThaiauthorities statingthatthequantities exported
havebeenchargedagainsttheagreedceilings.Inpracticalterms>
thisstipulation meansthattheMemberStates'authorities areobligedto
grantimportauthorizations automatically andimmediately uponpresentation
ofarequestfromtheimporterwhichisaccompanied bytheexportcertificate
referredtoabove,onconditionthattheagreedlimitsarenotexceeded.
7.Inordertoenablealltheaimsoftheagreementtobeaccomplished
assoonaspossible,theCommission proposesthattheCounciladopt
theattacheddraftregulationspeedily.
(1)Thedistribution willbethesubjectofaseparateregulationtobe
adoptedbytheCommission,alsoonthebasisofRegulation No.1023/70.
(2)DepartmentofForeignTrade-MinistryofCommerce

PROPOSAL FOR ACOUNCIL REGULATION
concerning import arrangements forcertain textile products originating in
theKingdom ofTHAI LAND andrepealing Regulations (EEC)Nos.845/77
and /77.
THE COUNCIL OFTHE EUROPEAN COMMUNITIES ,
Having regard totheTreaty establishing theEuropean Economic Community ,
and inparticular Article 113thereof ,
Having regard totheproposal from theCommission ,
Whereas inthecontext oftheArrangement regarding International Trade in
Textiles ,theEuropean Economic Community andtheKingdom ofThailand have
negotiated anAgreement ontrade intextiles ;whereas theCommission has
submitted totheCouncil arecommendation foraRegulation concluding that
Agreement ;
Whereas ,forthepurpose ofimplementing theAgreement ,import arrangements
must beadopted fortheproducts inquestion ;
Whereas theAgreement requires theCommunity toadmit imports ofcertain
textiles products within quantitative limits ,compliance with which will be
guaranteed byanagreed system ofbilateral checking ;
Whereas appropriate provisions applicable intheCommunity should therefore
beadopted for1977 ,including criteria fortheallocation ofthequantitative
limits agreed within theKingdom ofThailand ;
Whereas ,inview oftheconsiderable disparities existing between theconditions
currently governing imports oftffeproducts concerned into theMember States
and inview oftheparticular sensitivity oftheCommunity 'stextile industry ,
standardization ofthese import conditions canonly beachieved progressively ;
whereas thecriterion tobeadopted fortheallocation oftheCommunity
quantitative limits should therefore beinparticular thegradual adjustment
ofthequantities admitted under current import conditions tomarket
supply requirements ;

Whereas,forcertainothertextileproducts,theAgreementprovides
foraconsultatior)procedureenablingsafeguardmeasurestobeadoptedwhere
thereisrealrisk.ofmarketdisruption }whereas,inaccordancewith
thisprocedure,theKingdom0fThailandhasundertakentoapplyvoluntary
restraintinrespectofexportsofcertaintextileproductstocertain
MemberStates;whereascompliancewiththesequantitative limitswillbe
guaranteed byanagreedsystemofbilateralchecking;
Whereas,tothisend,quantitative limitsshouldbefixedforimports
oftheseproductsintotheMemberStatesinquestionanddetailedrules
laiddownfortheiradministration bytheMemberStates;
WhereasimportsofgoodsexportedfromThailandin1977shouldbecharged
againstthequantitative limitsfixedintheAgreementforthatsame
period;
Whereasstepsshouldbetakentoensurethatthereisnoevasionofthe
objectivesoftheAgreementbyindirectimportsofproductsoriginating
inThailand;
WhereastheAgreementprovidesthatthoseproductswhichentertheCommunity's
customsterritoryunderinwardprocessingorothertemporaryimportation
arrangements andarere-exportedtherefromintheiroriginalstateorafter
processingshouldnotbechargedagainsttheagreedquantitative limits;
Whereas,accountbeingtakenofArticle12oftheArr.-»ntregarding
International TradeinTextiles,onwhichtheabove-mentioned Agreement
betweentheEECandThailandisbased,thelatterdoesnotapplyto
textileproductsofsilk,offlaxoroframie;
WhereasthisRegulationreplacesthetemporarymeasureslaiddownby
CouncilRegulation (EEC)No.845/77of25April1977maintaininginforcethe
arrangementsfortheauthorization ofimportsintoPranceandintotheUnited
Kingdomof.certainknittedororochetedundergarments originatinginthe
(1RepublicofthePhilippinesortheKingdomofThailandv'and"byCouncil
Regulation(EEC)Noof 1977maintaininginforcethearrange­
mentsfortheauthorization ofimportsintoItalyofcertainwovenfabricsof
cottonandcertainwovenfabricsofsynthetiotextilefibresoriginatingin
theKingdomofThailand^'.
M5°*TL1°4'28.4.1977,p.1.l2J0«JèNo*L

HASADOPTEDTHISREGULATION
Article 1
1.ImportsintotheCommunityofthetextileproductslistedinAnnexA,
originating intheKingdomofThailandandexportedbetween 1January
and31December1977,shallbesubjecttothequantitative limitsagreed
betweentheCommunity andThailandandsetoutinthatAnnex.
2.Thesequantitative limitsshallbeallocated amongtheMemberStates
inaccordancewiththeprocedurelaiddowninCouncilRegulation (EEC)No.
1023/70of25May1970establishing acommonprocedureforadministering
(1)quantitative quotas,andinparticularinArticle11thereof,insuch
awayastoensuretheexpansion andorderlydevelopment oftradein
textiles.However,theallocationshallbemadeonthebasisofthe
importvolumesadmittedundertheconditionscurrentlyappliedinthe
MemberStates.
i>vAIIill |11I
3.Theimportation intotheCommunityoftheproductsreferredtoin
paragraph 1isherebymadesubjecttotheproductionofanimportauthorization
issuedbythecompetentauthorities oftheMemberStatesconcerned.These
importauthorizations shallbeissuedforaquantitywhichshallbesuchas
toensurethatthetotalvolumeofimportsdoesnotexceedthequantities
referredtoinparagraph 1.
4.Theimportauthorizations shallbeissuedwithinthelimitsreferred
toinparagraph 1,automatically andimmediatelyeitheruponproductionof
abillofladingprovingthatthegoodswereplacedonboardinThailand
tobeexportedtotheCommunitybeforethedateonwhichthisRegulation
entersintoforceoruponproduction bytheimporteroftheoriginalofthe
exportcertificate grantedbythecompetentauthorities ofThailand
containing thedetaiIssetoutinAnnexC.
(1)O.J.No.L124,8.6.1970,p.1

5.Products which enter theCommunity 'scustoms territory under inward
*
processing orother temporary admission arrangements andarere-exported from
that territory intheir original condition orafter processing shall not
becharged against the limits referred toinparagraph 1.
Article 2
1.Without prejudice toparagraphs 2,3and4,imports into the
Community ofthetextile products originating inThailand which are listed
inAnnex Bshall not .besubject toquantitative restrictions .
2.IntheMember States listed inAnnex B,imports ofthetextile products
referred toinparagraph 1exported from Thailand between 1January and
31December 1977 shall besubject to-the quantitative limits setout inthat Annex .
3.Thequantitative limits referred toinparagraph 2maybeadjusted in
\
accordance with theprocedure laid down inRegulation (EEC )No 1032 /70,
and inparticular Article 11thereof .
4.Article 1(3),(4)and (5)shall apply tothequantitative limits
referred tointhis Article .
Article 3
Imports into theCommunity ofcertain traditional Thai ,handmade textile
products ,originating inThailand andaccompanied byacertificate
conforming totheprovisions ofAnnex Dshall not "besubject toquantitative
restrictions .
Theadmission ofthese products into theCommunity without anyquantitative
restrictions shall besubject tothesatisfactory operation oftheabove
system ofcertificates .
TheCommission shall define theproducts inquestion ,inaccordance
with thedescription given inthecontext oftheagreement ontrade intextile
products negotiated with Thailand .

Article4
Regulations (EEC)Nos845/77and./77areherebyrepealed.
Article5
ThisRegulationshallenterintoforceonthethirddayfollowing
itspublication intheOfficialJournaloftheEuropeanCommunities .
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicable
inallMemberStates.
DoneatBrussels,
FortheCouncil
ThePresident

1
ANNEX A
Quantitative limits referred toinArticle 1
Cate-
gory
NCommon
Customs
Tariff N°Code
Nimexe
(1977 )Description ofgoodsQuantitative
limits in1000 kgs
1977
1
I55.09
56.07all
ι
allOther woven fabrics ofcotton
Voven fabrics ofman-made fibres
(discontinuous orwaste ):
A.Ofsynthetic textile fibres1H.052
u1>j
ex55.09
j
56.07
I
I
I55.09-03;04;05
51;52;53;5^;55
56}57i59i61{63
6k{65;66;67»69
ex71;8i;82;83
8^;86;87;92;93}
97
56.07-ex 01;05»
07;08;13;l lf;l6 ;
18;21 ;23î26;27ï
28;33?3^;36I
Other woven fabrics ofcotton :
-other than unbleached orbleached
Woven fabrics ofman-made fibres
(discontinuous orwaste ):
exA.Ofsynthetic textile fibres
-other than unbleached or
bleached3.811
. 'i
Note :Category No1Aisasubcategory within category No1andthequan­
titative limits forcategory No1Aaresublimits within theoverall
limits forcategory No1.

ANNEX B
Quantitative limits referred toinArticle 2
Cate -
gory
NoOCT NoCode
Nimexe
(1977 )Description ofgoods Unit8Region (s)
coveredQuanti­
tative
limits
1977
ex60.04 60.04-ex 11,13 ,
ex19,ex29,M,
ex^9,ex59»
ex70,ex80Under garments ,knitted orcro­
cheted ,not elastic nor rubbe­
rised :
-Shirts ,T-shirts ,rollneck -
undershirts ,underpants and
briefs ,singlets and similar
articles ,other than silk or
noil orother waste silk or
offlax orramie1000
piècesFrance
•United
Kingdom1Λ50
1Λ00
60.05 60.05-01,22,23 ,
26,27,29,31 ,32,
35,37,39Outer garments and other artic­
les ,knitted orcrocheted ,not
elastic nor rubberised :
exA.Outer garments and
clothing accessories :
-Jerseys ,pull-overs ,
slip-overs ,twinsets ,
cardigans ,bed-jackets
and jumpers ,other than
silk ornoil orother
waste silk orofflax
orramie1000
piècesGermany
United
Kingdom
Ireland
Denmark2.475
2.672
38
1*08
ex60,0k 60.0k -ex11,13 ,
ex19,ex29,^1 ,
ex^9,ex59,
ex70,ex80
60.05 60.05-01,22,23 ,
26,27,29,31,32 ,
35,37,39Under garments ,knitted orcro­
cheted ,not elastic nor rubbe­
rised :
-Shirts ,T-shirts ,rollneck -
undershirts ,underpants and
briefs ,singlets and similar
articles ,other than silk or
noil orother waste silk or
offlax orramie
Outer garments and other artic­
les ,knitted orcrocheted ,not
elastic nor rubberised :
exA,Outer garments and
clothing accessories :
-Jerseys ,pull-overs ,
slip-overs ,twinsets ,
cardigans ,bed-jackets
and jumpers ,other than
silk ornoil orother
waste silk orofflax
orramie1000
pieceeBénélux 1.050

ANNEX C
Details referred toinArticle 1(3)
Theexport certificates issued bythecompetent Thai authorities (l)for
products covered bythis Regulation shall specify orcontain :
1.thedestination ,andinparticular theMember State forwhich thegoods
ar«intended ;
2.the sériai number ;
3.thename andaddress oftheimporter ;
k,the name and address ofthe exporter ;
5.thequantity ,intheunits specified inAnnexes AandBpndforquan­
tities expressed inunits other than weight ,theequivalent weight
calculated onthebasis ofthe table ofequivalence below ;
6*thecategory against which theproducts have been charged bythecompetent
Thai authorities and thedescription oftheproducts ;
7.adeclaration totheeffect that thequantity inquestion hasbeen
charged against theMember State ofdestination 'sshare oftheagreed
ceiling forexports totheCommunity ,or,where appropriate ,that the
quantity isintended forimmediate re-export from theCommunity orfor
re-export from theCommunity after processing .
TABLE OFEQUIVALENCE
CCT No Description ofgoodsRate
oféquivalence
ex60.04 -Shirts ,T-shirts ,rollneck undershirts ,
knitted orcrocheted
-Singlets ,knitted orcrocheted6,4units /kg
12,8 units /kg
ex60.05 -Jerseys ,pull-overs ,slip-overs ,twin­
sets ,cardigans ,bed-jackets and
jumpers ,knitted orcrocheted5»1o items /kg
(1)Department ofForeign Trade ,Ministry ofCommerce

ANNEX D
CERTIFICATE referred toinArticle 3
The certificate issued bythe competent Thai authorities for
theproducts referred toinArticle 3shall contain :
1.the following heading :
"Certificate relating tothetraditional Thai hand-made textile pro­
ducts referred toinArticle 3oftheAgreement between theEEC and
Thailand ontrade intextile products ";
2*name and address ofthe manufacturer :
3»name andaddress ofthe exporter ;
•f#name andaddress oftheimpdrter intheCommunity ;
3*description ofgoods ;
6.quantity (inkgoritems );
7*name ofvessel orflight number ;
8.port orairport ofdestination ;
9*the following declaration :
"This document istocertify that theabove shipment consists of:
-traditional Thai hand-made textile products ,woven ,cut ,sewn
orotherwise fabricated byhand ,byunits ofthecottage industry ".