•ù ir COMMISSION OF THE EUROPEAN COMMUNITIES 
Brussels, 06.09.1995 
COM(95) 399 final 
95/0222 (ACC) 
Proposal for a 
t:OUNÇaj^EGULATION (HC) 
providing for suspension of in-quota tariff rates for 
certain agricultural products. 
(presented by the Commission) 

EXPLANATORY MEMORANDUM 
1. In the Uruguay Round the Communities converted the so-called balance 
sheet arrangement for import of certain live bovine animals into a tariff 
quota. The in-quota tariff rate was fixed at 16% + 582 ECU/t which 
corresponded to the import levy applied in the period 1986 to 1988 . 
According to the Europe Agreements the CEC countries had to pay 25% of 
the levy fixed for import of such animals i.e. around 400 ECU/t (plus the 
ad valorem duty). In order not to increase the import charge for imports 
from these countries it is proposed to reduce the specific amount, 
constituting part of the in-quota tariff rate, to 25% of the amount 
applicable on 1 July 1995. 
2. Furthermore, the European Communities undertook to open minimum access 
tariff quotas for agricultural products. For a number of these tariff 
quotas the Communities indicated the following condition: 
"Import under the Europe Agreements may be taken into account when 
implementing this quota." 
3. The purpose of that condition is to establish a system whereby countries 
covered by the Agreements avail themselves of their right under the World 
Trade Organization (WTO) in the first instance and secondly by the 
arrangements provided for in the Europe Agreements. In order to implement 
such a system it is necessary to ensure that the benefit for an importer 
would be the same whether the import is made under WTO commitments or 
under the bilateral arrangements. This means in practice that the in-
quota rates applied under the two systems shall be identical. 
4. As regards imports from the CEC countries the Commission has submitted to 
the Council a proposal stipulating, as an autonomous and transitional 
measure, that imports under tariff quotas shall be subject to an in-quota 
tariff rate equal to 20 % of the normal duty rates for import under the 
"most favoured nation" clause. These rates will in several cases be lower 
than the in-quota rates bound in the WTO. Consequently, it will be 
necessary to suspend the rates under WTO to the same level as those 
proposed to CEC countries. In cases where the in-quota tariff under WTO 
are lower than those applicable towards CEC countries no changes are 
required. 
5. When the in-quota tariff rates are aligned, the Commission services will 
have the possibility to administer the WTO tariff quotas in such a way 
that import under the European Agreements will be counted against the 
EC's commitments under the WTO. 
Proposal for a 
COUNCIL REGULATION (EC) 
providing for suspension of in-quota tariff rates for 
certain agricultural products. 
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 a tariff quota for certain live bovine animals has been opened from 
1 July 1995 in accordance with the Community's obligations under the 
Agreement on Agriculture concluded in the framework of the Uruguay Round of 
Multilateral Trade Negotiations; whereas when imports from The Republic of 
Hungary, the Republic of Poland, the Slovak Republic, the Czech Republic, 
1 Romania and the Republic of Bulgaria take place under this tariff quota, the 
present level of import charge for imports from those countries is not 
maintained; whereas the in-quota tariff rate bound in the WTO should be 
reduced on an autonomous basis; whereas the reduced rate should, in 
accordance with the WTO rules, be applied erga omnes; 
Whereas the European Community has in the framework of the WTO undertaken to 
open a number of tariff quotas,- whereas in implementing these commitments 
imports under the Europe Agreements should be taken into account; whereas in 
order to achieve this aim in conformity with the rules of the WTO, the in-
quota tariff rates of these tariff quotas should be reduced to the same 
levels as those applicable for imports from CEC countries; whereas, 
consequently, the in-quota rates bound in WTO should be suspended to a lower 
level ; 
Whereas, except for the provisions on live animals, the provisions of this 
Regulation shall be applied when detailed rules for the application of 
Council Regulation (EC) No of providing for the 
adjustment, as an autonomous and transitional measure, of certain 
agricultural concessions provided for in the Europe Agreements to take 
account of the Agreement on Agriculture concluded during the Uruguay Round 
Multilateral Trade Negotiations(^, have been adopted; 
Whereas the concessions provided for in Regulation (EC) No are 
transitional measures applicable from 1 July 1995 until 31 December 1995; 
whereas the provisions of the present Regulation should, where possible, be 
applied during the same period, 
HAS ADOPTED THIS REGULATION: 
(1 ) OJ No. L 
Article 1 
1. The in-quota tariff rates for the tariff quotas listed in the Annex shall 
be suspended and the level indicated in column 5 applied. 
2. Paragraph 1 shall apply to products for which import licenses are issued: 
in the period 1 July to 31 December 1995 in respect of the products 
listed in the Annex under a), 
in the period 1 October to 31 December 1995 in respect of the 
products listed in the Annex under b). 
3. The Commission shall adopt the detailed rules for the application of this 
Regulation in accordance with the procedure laid down in Article 30 of 
Regulation (EEC) No 804/68 ^^ as last amended by the Act of Accession 
of Austria, Finland and Sweden and by Regulation (EEC) No 3290/94^2^, 
and the corresponding provisions of the other Regulations on the common 
organization of the markets. 
Article 2 
The provisions of this Regulation shall apply for the products listed in the 
Annex under b) where detailed rules for the application of (EC) - have 
been adopted. 
Article 3 
This Regulation shall enter into force on the third 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) OJ N° L 148, 28.6.1968, p. 13 
(2) OJ N° L 349, 31.12.1994, p. 105 
ANNEX 
CN code Description Quota quantity 
1995/96 Bound in-quota 
tariff rate 
1 000 kg/net Applied in-quota 
tariff rate 
1 000 kg/net 
a) ex 0102 90 05 
ex 0102 90 29 
ex 0102 90 49 Live young male bovine animals weighing 
300 kg or less intended for fattening 169 000 
head 16% + 582 ECU 
16% + 582 ECU 
16%+ 582 ECU 16% + 341,7 ECU 
16% + 341,7 ECU 
16% + 341,7 ECU 
b) Cheese and curd: 
ex 0406 30 10 
ex 0406 90 07 
ex 0406 90 12 
ex 0406 30 10 
ex 0406 90 08 
ex 0406 90 14 
0406 90 01 
0406 10 20 
0406 10 80 
0406 20 90 
0406 30 31 
0406 30 39 
0406 30 90 
0406 40 10 
0406 40 50 
0406 40 90 
0406 90 90 
0406 90 16 
0406 90 18 
0406 90 23 
0406 90 25 
0406 90 27 
0406 90 29 
0406 90 31 
0406 90 33 
0406 90 35 
0406 90 37 Processed Emmentaler 
Emmentaler 4 000t 
Processed Gruyère 
Gruyère, sbrinz 000 t 
Cheese for processing 4 000 t 
Fresh (unripened or uncured) cheese 
including whey cheese, and curd, 
other than pizza cheese 
Other grated or powdered cheese 
Other processed cheese 
Blue-veined cheese 
Bergkâse and Appenzell 
Fromage fribourgeois, Vacherin 
Mont d'Or and Tête de Moine 
Edam 
Tilsit 
Butterkâse 
Kashkaval 
Feta 
Kefalo-Tyri 
Finlandia 5.189 t 719 ECU 
858 ECU 
858 ECU 
719 ECU 
858 ECU 
858 ECU 
835 ECU 
926 ECU 
1 064 ECU 
941 ECU 
690 ECU 
719 ECU 
I 029 ECU 
704 ECU 
704 ECU 
704 ECU 
858 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 425,6 ECU 
504,4 ECU 
504,4 ECU 
425,6 ECU 
504,4 ECU 
504,4 ECU 
490,8 ECU 
543,8 ECU 
649,8 ECU 
552,8ECU 
408,6 ECU 
425,6 ECU 
631,6 ECU 
414,0 ECU 
414,0 ECU 
414,0 ECU 
504,4 ECU 
504,4 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
4-
CN code Description Quota quantity 
1995/96 Bound in-quota 
tariff rate 
1 000 kg/net Applied in-quota 
tariff rate 
1 000 kg/net 
5 
0406 90 39 
0406 90 50 
0406 90 61 
0406 90 63 
0406 90 69 
0406 90 73 
0406 90 75 
0406 90 76 
0406 90 78 
0406 90 79 
0406 90 81 
0406 90 82 
0406 90 84 
0406 90 85 
0406 90 86 
0406 90 87 
0406 90 88 
0406 90 93 
0406 90 99 Cheese and curd: (continued) 
Jarlsberg 
Cheese of sheep's milk or buffalo 
milk 
Grana Padano, Parmigiano Reggiano 
Fiore Sardo, Pecorino 
Other 
Pro vo lone 
Asiago, Caciocavallo, Montasio, 
Ragusano 
Danbo, Fontal, Fontina, Fynbo, 
Havarti, Maribo, Sams0 
Gouda 
Esrom, Italico, Kernhem, Saint-
Nectaire, Saint-Paulin, Taleggio 
Cantal, Cheshire, Wensleydale, 
Lancashire, Double Gloucester, 
Blarney, Colby, Monterey 
Camembert 
Brie 
Kefalograviera, Kasseri 
Exceeding 47% but not exceeding 
52% 
Exceeding 52% but not exceeding 
62% 
Exceeding 62% but not exceeding 
72% 
Exceeding 72% 
Other (5 189 t) 755 ECU 
755 ECU 
941 ECU 
941 ECU 
941 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 
755 ECU 
926 ECU 
1 064 ECU 443,6 ECU 
443,6 ECU 
552,8 ECU 
552,8 ECU 
552,8 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
443,6 ECU 
543,8 ECU 
649,8 ECU 
FINANCIAL STATEMENT 
BUDGET HEADING: Chapter 10: Levies, premiums, etc. APPROPRIAT10NS:ECU 946.2 
million 
TITLE: 
Proposal for a Council Regulation providing for suspension of in-quota tariff rates for certain agricultural products 
LEGAL BASIS: 
Article 113 of the Treaty 
AIMS: 
To bring the rates for products for which a "minimum access" quota exists and in respect of which a reduction in rates 
has been negotiated under the "Europe Agreements" with the countries of eastern and central Europe into line with the 
rates under those Agreements. 
FINANCIAL IMPLICATIONS: PERIOD OF 12 
MONTHS 
(ECU million) CURRENT 
FINANCIAL 
YEAR 
(95) 
(ECU million) FOLLOWING 
FINANCIAL 
YEAR 
(96) 
(ECU million) 
5.0. EXPENDITURE 
- CHARGED TO THE EC BUDGET 
(REFUNDS/INTERVENTION) 
- NATIONAL AUTHORITIES 
-OTHER 
5.1. REVENUE 
- OWN RESOURCES OF THE EC 
(LEVIES/CUSTOMS DUTIES) 
- NATIONAL p.m. 10 
1997 
5.0.1. ESTIMATED EXPENDITURE 
5.1.1. ESTIMATED REVENUE 1998 1999 2000 
5.2. METHOD OF CALCULATION: 
The loss of own resources as compared with the amending and supplementary budget corresponds to the part of the 
GATT quota not utilized by the countries of eastern and central Europe and absorbed by other countries for which a 
hypothetical reduction of 20% of the full rate of duty was not taken into account in calculations for the amending and 
supplementary budget. 
6.0. CAN THE PROJECT BE FINANCED FROM APPROPRIATIONS ENTERED IN THE RELEVANT 
CHAPTER OF THE CURRENT BUDGET? 
6.1. CAN THE PROJECT BE FINANCED BY TRANSFER BETWEEN CHAPTERS OF THE CURRENT 
BUDGET? 
É» 
6.2. WILL A SUPPLEMENTARY BUDGET BE NECESSARY? 
6.3. WILL FUTURE BUDGET APPROPRIATIONS BE NECESSARY? 
OBSERVATIONS For the 169 000 head of cattle, it is assumed that the countries of eastern and central Europe will make the 
maximum possible use of the "minimum access" GATT quotas. 
ISSN 0254-1475 
COM(95) 399 final 
DOCUMENTS 
w 
EN 02 03 11 
Catalogue number : CB-CO-95-426-EN-C 
ISBN 92-77-92635-X 
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