PROPOSAL FOR A COUNCIL REGULATION ( EEC ) MODIFYING THE AMOUNTS EXPRESSED IN ECUS IN REGULATION ( EEC ) NO 1135/88 CONCERNING THE DEFINITION OF THE CONCEPT OF ' ORIGINATING PRODUCTS ' AND METHODS OF ADMINISTRATIVE COOPERATION IN TRADE BETWEEN THE CUSTOMS TERRITORY OF THE COMMUNITY, CEUTA, MELILLA AND THE CANARY ISLANDS
Date: 1989-11-15
Institutions: European Commission
Subjects: Canary Islands, Ceuta and Melilla, administrative cooperation, currency convertibility, intra-EU trade, originating product

COMMISSION  OF  THE  EUROPEAN  COMMUNITIES 

COM (89)  558  final 

Brussels,  15  November 1989 

Proposal for a 

COUNCIL REGULATION  (EEC) 

modifying the amounts expressed 

in ecus in Regulation  (EEC) Mo 1135/88 concerning the definition of the 

concept of  'originating products' and methods of administrative 

coopertion in trade between the customs territory of the 

Community, Ceuta, Melilla and the Canary Islands 

(presented by the Commission) 

EXPLANATORY  MEMORANDUM 

The  preferential  tariff  treatment  accorded  to  trade  between  the  customs 

territory  of  the  Community  and  the  Canary  Islands,  Ceuta  and  Melilla  is 

subject  to  the  presentation  of  an  EUR.1  movement  certificate.  However, 

Articles  6  and  17 of  Council  Regulation  (EEC) No  1135/88(1)  provide  for  a 

derogation  from  this  principle  where  a  certain  limited  value  expressed  in 

ecus  is  not  exceeded.  At  present,  therefore,  an  importer's  declaration  of 

origin on the invoice is sufficient for goods whose value does not exceed 310 

ECU.  Lastly,  documentary  evidence  is  not  required  for  travellers'  personal 

luggage whose value does not exceed 880 ECU. 

Under  Article 6  the  Value  applicable  to  the  ecu,  based  on  its  value  on  a 

specific  date,  is  frozen  for  two  years.  This  reference  date  is  changed 

automatically every two years. 

In  the  Member  States  with  the  strongest  currencies,  this  automatic  change 

entails  a  reduction  in  the  national  currency  equivalent  of  the  limits 

expressed in ecus. 

The amounts  expressed  in ecus must  therefore  be  increased so as to maintain 

their  real  value  expressed  in  the  national  currency,  in  order  that  the 

benefits  of  the  administrative  simplicfications  linked  to these  amounts  are 

not diminished. 

To  take  account  of  the  above, the  proposed  draft  Council  Regulation  would 

raise the limits from 4400 and 310 ECU to 4800 and 340 ECU respectively. 

1 OJ NO L  114, 2.5.1988, p. 1 

Draft 

Council Regulation  (EEC) No 

/89 modifying the amounts expressed 

in ecus in Regulation  (EEC) No 1135/88 concerning the definition of the 

concept of  'originating products' and methods of administrative 

coopertion in trade between the customs territory of the 

Community, Ceuta, Melilla and the Canary Islands 

THE COUNCIL OF THE EUROPEAN  COMMUNITIES, 

Having regard to the Treaty establishing the European Economic Community, 

Having  regard  to  the  Act  of  Accession  of  Spain  and  Protugal,  and  in 

particular Article 9 of Protocol No 2 thereto, 

Having regard to the proposal from the Commission, 

Whereas  Articles  6 and  17 of Council  Regulation  (EEC) No  1135/88(1) contain 

amounts expressed in ecus, 

Whereas  the  amounts  equivalent  to  the  ecu  in  certain  national  currencies 

applying on 3 October  1988 were below the corresponding amounts applying on 1 

October  1986; whereas, owing  to  the  automatic  change  in the  reference  date 

laid down in Article 6(1) of Regulation  (EEC) No 1135/88, conversion into the 

national  currencies  under  consideration  would  result  in  a  reduction  of  the 

actual  limits  regarding  simplified  documentary  evidence,  referred  to  in 

Articles  6  and  17 of  the  said  Regulation; whereas  to  avoid  such  an effect, 

the limits expressed in ecus should be raised, 

HAS ADOPTED THIS REGULATION: 

1 O J N oL  114, 2.5.1988, p. 1. 

XXI/1028/89-EN 

-  2  -

A r t i c le  1 

Regulation  (EEC) No  1135/88 is hereby amended as follows: 

in Article 6(1)(c) the amount "4400 ECU" shall be replaced by 

"4800 ECU"; 

in Article  17(2) the amount  "310 ECU" shall be replaced by "ECU 340" and 

the amount "880 ECU" by  "960 ECU". 

Article 2 

This Regulation shall enter into force on the third day following that of its 

publication in the Official Journal of the European Communities. 

This  Regulation  shall be hinding  in its entirety  and  directly applicable in 

all Member States. 

Done at Brussels, 

For the Council 

The President 

Impact Statement SME 

This proposal concerns the biannual revision of value limits expressed in Ecu 
for  documentary  evidence  of  origin  required  for  a  preferential  tariff 
treatment. 

It  is proposed  to  increase  the  amounts  expressed  in  Ecu  so  as  to maintain 
their  real  value  expressed  in  the  national  currency,  in  order  that  the 
benefits of the administrative simplification linked to these amounts are not 
diminished. 

Consequently this proposal provides for a minor advantage for SME. 

ISSN 0254-1475 

COM (89). 558  final 

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02 

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