ARCHIVESHISTORIQUES
DELACOMMISSION
COLLECTION RELIEEDES
DOCUMENTS "COM"
COM(77)325
Vol.1977/0108

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COMMISSION OFTHEEUROPEAN COMMUNITIES
COM(77)325final.
Brussels.July'14,1977
Proposalfora
REGULATION (EEC)OFTHECOUNCIL
opening,allocatingandprovidingfortheadministration
ofaCommunitytariffquotafornewsprintfallingwithin
subheadingNo48.01AoftheCommonCustomsTariff(1978)
andextendingthisquotatoincludecertainothertypes
ofpaper
(submittedtotheCouncil "bytheCommission)
■
cm(n)325final.

EXPLANATORY MEMORANDUM
Athe Last multilateral GATT negotiati ons,theCommunity undertook
topenannually anilduty Community tariff quota for1,500,000
metric tons ofnewsprint falling within subheading No48.01 A
ofthe -Common Customs Tariff .
Furthermore ,theCommunity informed theNordic delegation (text
Nord 4ofdocument NCG<67)44 rev. )that ithad decided toopen
anilduty tariff quota each year under Article 28oftheTreaty
ofRome ifitwere established that allpossibilities ofsupply
onthe internal market oftheCommunity hadbeen exhausted during
agiven trading year andafter having entirely used upthe nil
duty quota bound under GATT .
Judging from market trends over thepast fewyears itisclear
already that the 1978 Community tariff quota must begreater than
the1,500,000 metric tons originally established .This iswhy the
Commission considers that itcanpropose theopening ofatariff
quota for2,430,000 metric tons . .Thi-s' .-amount isbased onfirst
estimates ,sothat areview ofthesituation during the course
oftheyear isnaturally notexcluded .
The tariff quota isallocated inaccordance with themethod which
hasnormally been applied :allocation isbased onpast import
figures and onestimated forthequota year inquestion .
a •»
Furthermore ,inview ofthesize ofthequota proposed from the
start ,theCommission considers that itwould becontrary tothe
Community nature ofthis quota todivide itupinto shares
allocated definitively toall theMember States .Ittherefore
proposes asystem ofadministration based onthe institution
ofaCommunity reserve limited to5%.This system ofallocation
andadministration was,moreover ,unanimously approved by
allMember States atthetime oftheopening ofthetariff
quota forprevious years .Further ,theMember States ,atti-e
"Economic Tariff Problems "Group meeting on13and14April 1977 ,
unanimously agreed that this system should becontinued for
1978 .

Inconformity with theagreement reached atCouncil Level when
the tariff quota for 1977 was opened ,theproposed Regulation
forsees for1978 thepossibility fortheMember States to
count against thequota other types ofpaper which correspond ,
leaving aside the criteria ofwatermarks ,tothedefinition
ofnewsprint tobefound intheadditional note toChapter 48.

Proposalfora
''-COUNCILREGULATION (EEC)No
of•«•••••■
opening,allocatingandprovidingfortheadministrationofaCommunitytariff
quotafornewsprintfallingwithinsubheading48.01AoftheCommonCustoms
Tariff(197$andextendingthisquotatoincludecertainothertypesofpaper,
THECOUNCILOFTHEEUROPEAN
COMMUNITIES ,importsfromthirdcountriesduringarepresentative
referenceperiodandtotheeconomicoutlookforthe
yearcoveredbythequotainquestion;
HavingregardtotheTreatyestablishingtheEuropean
EconomicCommunity,andinparticularArticles28
and113thereof,
HavingregardtotheproposalfromtheCommission,
WhereastheCommunityhasundertakentoopenan
annualduty-freeCommunitytariffquotaof1500000
metrictonsofnewsprintfallingwithinsubheading
48.01A;
Whereas,inviewofpresentCommunityproduction
capacity,thatquantityisinsufficienttomeetantici­
patedimportrequirements ;whereasprovisionshould
thereforebemadeforajiautonomoussupplementary
quotawhich,accordingtotheestimatessubmitted,
maybefixedatpresentat930000metrictons;
whereasthefactthatthisfigurehasbeenadoptedfor
theautonomoussupplementary quotadoesnotrule
outareadjustmentduringthequotaperiod;whereasa
Communitytariffquotashouldthereforebeopened
for1978foratotalquantityof2430000metrictons
oftheproductinquestion;
Whereasprovisionshouldbemadeforextendingthe
tariffquotainquestiontoincludecertaintypesof
paperfulfillingalltheconditionssetoutintheAddi­
tionalNotetoChapter48exceptthoserelatingto
watermarks ;
Whereasequalandcontinuousaccesstothequota
shouldbeensuredforallCommunityimportersand
therateofdutyforthetariffquotashouldbeapplied ■
withoutinterruptiontoallimportsoftheproductin
questionuntilthequotaisexhausted;whereasinthe
lightoftheseprinciples,arrangementsfortheutiliza­
tionoftheCommunitytariffquotabasedonanalloca­
tionamongMemberStateswouldseemtobe
consistentwiththeCommunitynatureofthequota;
whereas,inorderthatitmaycorrespondascloselyas
possibletotheactualtrendofthemarketinthe
productinquestion,allocationofthequotashouldbe
inproportiontotherequirementsoftheMember
StatesascalculatedbyreferencetostatisticsonWhereas,forthelastthreeyearsforwhichcomplete
statisticsareavailable,theimportsofeachofthe
MemberStatesamountedtothefollowingpercentages
oftotalimportsoftheproductsinquestion:
ι19741975
Bénélux 14-0414-06
Denmark 4-895-23
Germany ■ 25-7827-05
France 13-4611-86
Ireland 2-122-02
Italy ,0-420-50
UnitedKingdom 39-2939-281976
12.55
5.92
26.90
11.50
2.03
0.50
40.60
ρ*···ι.
Whereas,inordertoarrive'ataproperassessmentof
thosestatistics,however,itshouldbeborneinmind
thattheopeningofaCommunitytariffquotaforthe
enlargedCommunitymayalterthepatternoftradeof
MemberStateswiththirdcountries;whereas,inview
oftheaboveandoftheforeseeabletrendonthe
marketinnewsprintingeneral,andofproductionin
particularduring1978thequotamaybeallocated
approximately inthefollowingpercentages :
Bénélux
Denmark
Germany
France
Ireland
Italy
UnitedKingdom13.59
7.38
26.02
11.73'
2.15
0.04
39.09;
Whereas,totakeaccountofimporttrendsforthe
productconcerned,thequotashouldbedividedinto
twotranches,thefirstbeingallocatedamongthe
MemberStatesandthesecondheldasareserveto
coversubsequentlytherequirementsofMemberStates
whichhaveexhaustedtheirinitialshares;whefeas,to
giveimporterssomedegreeofcertaintyandyet
enableCommunityproductiontobedisposedofon
satisfactoryterms,thefirsttrancheofthequotashould
befixedatabout95%ofthefullamount;

-2-
WhereasMemberStatesmayexhausttheirinitial
sharesatdifferentrates;whereastoprovideforthis
eventualityandavoiddisruptionofsuppliesany
MemberStatewhichhasalmostusedupitsinitial
shareshoulddrawanadditionalsharefromthe
reserve;whereaseachtimeitsadditionalshareis
almostexhaustedaMemberStateshoulddrawa
furthershare,andsoonasmanytimesasthereserve
allows;whereastheinitialandadditionalshares
shouldbevaliduntiltheendofthequotaperiod;
whereasthisformofadministration requiresclose
collaboration betweentheMemberStatesandthe
Commission ,whichlattermustbeinapositionto
keepaccountoftheextenttowhichthequotahas
beenusedupandtoinformtheMemberStatesaccord­
ingly;
Whereasifatagivendateinthequotaperioda
considerablequantityofaMemberState'sinitialshare
remainsunuseditisessential,topreventapartofthe
Communitytariffquotafromremainingunusedi,p
oneMemberStatewhileitcouldbeusedinothers,
thatsuchStateshouldreturnasignificantproportion
thereoftothereserve;
Whereas,sincetheKingdomofBelgium,the
KingdomoftheNetherlandsandtheGrandDuchyof
Luxembourgareunitedwithinandjointlyrepresented
bytheBeneluxEconomicUnion,anytransactionin
respectoftheadministratipn ofthesharesallocatedto
thateconomicunionmaybecarriedoutbyanyone
ofitsmembers,4.TheCommonCustomsTariffdutyshallbe
totallysuspendedwithinthelimitsoftheabovequota.
Article2
1.TheCommunitytariffquotareferredtoin
Article1shallbedividedintotwotranches.
'2302500
2.Afirsttrancheof/metrictonsshallbe
allocatedamongtheMemberStates.MemberStates'
shares,whichsubjecttoArticle5shallbevalidfrom1
Januaryuntil31December1978,shallbeasfollows:
Bénélux
Denmark
Germany
France
Ireland
Italy
UnitedKingdom(///nietrietons)
313000
170000
599Û00
270000
49500
1000
900000.
3.Thesecondtranche,of127500metrictons,
shallconstitutethereserve.
HASADOPTEDTHISREGULATION :
Article1
1.Duringtheperiodfrom1Januaryto31
DecemberI97g,aCommunitytariffquotaof
2430000metrictonsshallbeopenedinrespectof
newsprintfallingwithinsubheading48.01Aofthe
CommonCustomsTariff(').
2.MemberStatesmaychargeagainstthistariff
quotatheothertypesofpapercomplyingwiththe
definitionofnewsprintcontainedintheAdditional
NotetoChapter48,exceptasregardsthecriteria
governingwatermarks .
3.Importsofnewsprintshallnotbecharged
againstthistariffquotaiftheyarealreadyfreeof
customsdutiesunderotherpreferentialtarifftreat­
ment.Furthermore,importsofanyoiherpaper
referredtoinparagraph2enjoyingdutykceexemp­
tionunderthesaidtariffquotashallnotbecharged
againsttheindicativeceilingsfixedunderct'tainfree
tradeagreements .Article3
1.If90%ormoreofaMemberState'sinitialshare
asfixedinArticle2(2),orofthatshareminusthe
portionreturnedtothereservewhereArticle5has
beenapplied,itshallforthwith,bynotifyingthe
Commission ,drawasecondshare,totheextentthat
thereservesopermits,equalto15%ofitsinitial
share,roundedupasnecessarytothenextwhole
number.
2.If,afteritsinitialsharehasbeenexhausted90%
ormoreofthesecondsharedrawnbyaMemberState
hasbeenusedup,thatMemberStateshall,inthe
mannerandtotheextentprovidedforinparagraph I,
drawathirdshareequalto7-5%ofitsinitialshare
3.If,after-itssecondsharehasbeenexhausted
90%ormoreofthethirdsharedrawnbyaMember
Statehasbeenusedup,thatMemberStateshall,in
themannerandtotheextentprovidedforinpara­
graph1,drawafourthshareequaltothethird.
(')Enr.yunderthissubheadingissubjecttoconditionstobe
determinedbythecompetentauthorities.Thisprocedureshallapplyuntilthereserveis
exhausted .

-3-
4.Notwithstanding paragraphs 1,2and3,Member
Statesmaydrawlessersharesthanthosespecifiedin
thoseparagraphsiftherearegroundsforbelieving
thatthose,specifiedmaynotbeusedinfull.They
shallinformtheCommission oftheirreasonsfor
applyingthisprovision.
Artide4
AdditionalsharesdrawnpursuanttoArticle3shallbe
validuntil31December1978-
Article5
TheMemberStatesshallreturntothereserve,not
laterthan1October1978,theunusedportionoftheir
initialsharewhich,on15September1978,isin
excessof20%oftheinitialamount.Theymayreturn
agreaterportion'iftherearegroundsforbelieving
thatsuchportionmaynotbeusedinfull.•
MemberStatesshall,notlaterthan1October1978,
notifytheCommissionofthetotalquantitiesofthe
productsinquestionimporteduptoandincluding15
September1978andchargedagainsttheCommunity
tariffquotaandofanyportionoftheirinitialshares
returnedtothereserve.
Article6
TheCommissionshallkeepanaccountoftheshares
openedbytheMember >StatespursuanttoArticles2
and3andshall,assoonasithasbeennotified,inform
eachMemberStateofthe-extenttowhichthereserve
hasbeenusedup.
ItshallinformtheMemberStates,notlaterthan5
October197&oftheamountstillinreserveafter
amountshavebeenreturnedtheretopursuantto
Article5.
Itshallensurethatwhenaquantityexhaustingthe
reserveisdrawn,theamountsodrawndoesnotexceedthebalanceavailable,andtothisendshall
.notifytheamountofthatbalancetotheMemberState
makingthelastdrawing.
Article7
1.MemberStatesshalltakeallappropriate
measurestoensurethatadditionalsharesdrawn
pursuanttoArticle3areopenedinsuchawaythat
importsmaybechargedwithoutinterruptionagainst
theiraccumulatedshareoftheCommunityquota.
■2.MemberStatesshalltakeallmeasuresnecessary
toensurethatthetypesofpaperreferredtoinArticle
1(2)includedinthistariffquotaareinfactintended
foitheprintingofnewspapers,weeklypapersorother
periodicalsofheadingNo49.02,publishedatleast10
timesperyear.
3.MemberStatesshallensurethatimportersofthe
productsinquestionestablishedintheirterritoryhave
freeaccesstothesharesallocatedtoit.
4.TheextenttowhichaMemberStatehasusedup
itssharesshallbedeterminedonthebasisofimports
oftheproductsinquestionenteredwiththecustoms
authoritiesforhomeuse.
Article8
OnreceiptofarequestfromtheCommissionthe
MemberStatesshallnotifyitoftheimportations
chargedagainstitsshare.
Artide9
TheMemberStatesandtheCommissionshallcoop­
.eratecloselytoensurethatthisRegulationis
compliedwith.
Artide10
TheMemberStatesshallforwardtothe
"Commissionwithin45daysofthe
publication ofthis"Regulationinthe
OfficialJournalofthe-European
Communities,theprovisionstheyhave
adoptedwithaViewtoitsimplementation .
Article11
ThisRegulationshallenterintoforceon1January
>978.
ThisRegulationshallbebindinginitsentiretyanddirectlyapplicableinallMemberStates.
DoneatBrussels,
FortheCouncil
ThePresident

■
Date :24May 1977
.Budget line concerned :Ch.12Art .120
2.Legal basis :Art*28and113oftheTreaty
3.Title ofthe tariff measure :
Proposal for aRegulation (EEC)ofthe Council ontheopening ,allocation and
administration ofaCommunity tariff quota fornewsprint falling within
subheading No48.01 AoftheCommon Customs Tariff (1978 andextending this
quota toinclude certain other types ofpaper .FINANCIAL STATEMENT
4.Objectives :
Torespect thecontractual engagements under 6ATT andtoassure covering
theCommunities *needs fornewsprint .
5.Method ofcalculation :
-NoofCCT
-Quota volume
-Quota duty rate
-Duty rate ÇCT48.01 Aetex48.01 E
2,430,000 tonnes
0%
7%and 12%
6.Loss ofreceipts :58,000,000 UCE
i,
i