WRITTEN QUESTION E-0671/96 by Christian Jacob (UPE) to the Commission (15 March 1996)

Subject: Consequences of the European Court of Justice ruling of 14 December 1995

The CAP reform aimed, by reducing the price of European cereals, to restore competitiveness between indigenous cereals and substitute products imported from third countries. Corn gluten feed (tariff heading 2303) is one of these imported substitute cereals on which neither duties or levies, nor quota restrictions are imposed, in contrast to manioc, to name but one example.

As a result of the Court of Justice ruling of 14 December 1995 on the classification of 'enriched' content corn gluten feed, as defined by the Blair House agreement, heading 2303 could lose its duty-free rating.

If so, the Commission has stated its intention of classifying it under tariff heading 2309 so as to recognize its character as a fodder preparation.

Can the Commission therefore state:

1. Whether, if the zero rating is retained for a tariff heading, (2309), theoretically applied to this product as a fodder preparation, it intends to apply a quota, or whether it plans to monitor the level of these imports particularly closely?

2. Whether customs controls of 'enriched' corn gluten feed, for which the use of microscope examinations is banned, will be the same for heading 2303 and heading 2309?

3. Which tariff heading will be allocated to corn gluten feed produced from corn which is inwardly processed and put in free circulation in the European Union?

4. What the figures are, for 1995 in particular, compared to the reference period preceding the Blair House agreement (1990-1992), for imports of corn gluten feed (whether enriched' or not) imported unprocessed and corn gluten feed produced from corn which was inwardly processed and put in free circulation?

Answer given by Mr Fischler on behalf of the Commission (11 April 1996)

1. Following the Court of Justice ruling of 14 December 1995 ((OJ C 64, 2.3.1996 )) and in accordance with the Commission proposal, the Council decided that the product - as defined by the Blair House agreement - falls within CN code 2309 90 20, i.e. a preparation of a kind used in animal feeding to be imported free of duty.

The Commission does not wish to call into question the Community's international commitments in this area, nor does it intend to introduce an import quota. It monitors very closely the validity of and justification for the imports in question through a 'monitoring group' which holds regular meetings with the US authorities.

2. Laboratory controls to check that the product conforms to the given definition are carried out in cases where the consignments are not accompanied by the two special certificates foreseen by Regulation (EC) No 2019/94 ((OJ L 203, 6.8.1994 )). If these certificates are submitted, the product is subject to normal import controls, which may include microscope examinations to determine the nature of the constituent ingredients.

3. When the corn gluten feed obtained under the inward processing procedure corresponds to the definition 'residues of starch manufacture' applicable to CN code 2303 10 19, the product should be classified in this subheading; in cases where the product does not conform to this definition but complies with the Blair House definition, it should be classified within CN code 2309 90 20.

4. Total Community (EUR 12) imports of corn gluten feed since 1990 (source: Eurostat) are as follows:

1990 - 5 611 000 tonnes

1991 - 5 321 000 tonnes

1992 - 6 290 000 tonnes

1993 - 5 852 000 tonnes

1994 - 5 497 000 tonnes

1995 - 3 249 000 tonnes (first quarter)

The above figures also include imports of corn gluten feed obtained after inward processing which cannot be identified separately.