PROPOSAL FOR A COUNCIL REGULATION (EEC) ON THE TARIFF ARRANGEMENTS APPLICABLE TO IMPORTS INTO THE COMMUNITY OF PRODUCTS ORIGINATING IN THE OCCUPIED TERRITORIES
Date: 1991-02-15
Institutions: European Commission
Subjects: Middle East, import, occupied territory, originating product, tariff policy

COMMISSION OF THE EUROPEAN  COMMUNITIES 

C0M(91)  40 final 

Brussels, 15 February 1991 

Proposal  for a 

COUNCIL  REGULATION (EEC) 

on the tariff  arrangements  applicable to  imports 

into the Community  of products originating 

in the occupied  territories 

(presented by the Commission) 

-  2  -

EXPLANATORY  MEMORANDUM 

At  its  meeting  of  23  and  24 June  1990  in  Dublin,  the  European  Council 

reviewed  the  various  measures  introduced  by  the  Community  and  its 

Member  States  to  halt  the  deterioration  in  the  economic  and  social 

situation  In  the  occupied  territories.  Where  the  Community's  preferential 

trading 

arrangement 

for 

these 

territories 

is 

concerned, 

the 

European  CounciI  called  on  the  Community  institutions  to  take  whatever 

steps  were  necessary  to  bring  about  a  rapid  improvement  in  conditions  of 

access  to  the  Community  market  for  Palestinian  agricultural  exports,  in 

which  a certain  increase  had  already  been  noticed. 

Agriculture  is the biggest  productive  sector  in the  Palestinian  economy  and 

has  suffered  particularly  from  the  deterioration  in  the  economic  situation 

in the West  Bank  and  the Gaza  Strip.  To  this  should  be  added  the  fact  that 

inputs  into  this  sector  cost  more  here  than  in  most  other  Mediterranean 

countries  because  the  occupation  of  the  territories  makes  it  difficult  to 

obtain  supplies  from  the  world  market.  The  Gulf  crisis  has  further 

aggravated  the  situation  because  all  agricultural  exports  to  Iraq  have  been 

stopped  and  there  has  been  a  major  drop  in  exports  to  Jordan.  This  would 

result  in  a  loss  of  revenue  of  the  order  of  USD  40 million  over  a  full 

year. 

Increasing  exports  to  the  Community  might  be  an  effective  way  of  giving 

agriculture  a  new  impetus.  Experience  gained  during  two  seasons  of  direct 

exports  to  the  Community  has  shown  that,  because  of  the  limited  quantities 

exported,  Palestinian  exporters 

lie  Just 

below  the  threshold  of 

profitability.  A  special  effort  should  therefore  be  made  by  the  Community 

to stimulate  such  exports  even  further. 

The Commission  therefore  proposes  the  following: 

-  the  immediate  elimination of  residual  customs  duties  applied  to  products 

listed  in  Annex  II  of  the  Treaty  which  come  under  the  preferential 

arrangement  currently  applicable  to the occupied  territories; 

-  3 -

-  application  of  the  same  arrangements  to  strawberries  since  an  export 

potential  exists; 

-  for  sensitive  products,  reference  quantities will  be  fixed  in  the  light 

of  exports  already  effected  or  of  export  openings.  If  imports  of  any 

product  exceed  the  reference  quantity,  the Community  reserves  the  right 

to  impose  a  tariff  quota.  Where  this  applies,  the  customs  duty  charged 

under  the  current  preferential  arrangement  will  be  applied  to  any  large 

quantities  in excess of  the quota. 

Reference  quantities  could  also be  fixed  subsequently  for  the  remaining 

products,  if necessary. 

It  goes  without  saying  that  the  reference  quantities  will  have  to  be 

subject  to  the  annual  increases  provided  for  the  period  1992-1995  under 

the new Mediterranean  policy. 

The  Commission  considers  that,  except  in  the  case  of  citrus  fruits,  a 

solution  of  this  kind  should  not  pose  any  particular  problems  in  view  of 

the  limited export  potential  of  the occupied  territories.  It would  also be 

a particularly  appropriate way of  bringing about  a rapid  improvement  in the 

conditions of  access  to  the  Community  market  for  products  which  are of  the 

greatest  importance  in  the  Palestinian  economy,  as  requested  by  the 

European  Counc11. 

The  Commission  therefore  submits  a  proposal  for  a Council  Regulation  aimed 

at  modifying  the  preferential  arrangements  currently  applied  to  imports  of 

agricultural  products originating  in the occupied  territories. 

-  4 -

Proposal  for  a 

COUNCIL  REGULATION  (EEC) 

on  the  tariff  arrangements  applicable  to  imports 

into the Community  of  products  originating 

in the occupied  territories 

THE COUNCIL  OF  THE  EUROPEAN  COMMUNITIES, 

Having  regard  to  the  Treaty  establishing  the  European  Economic  Community, 

and  in particular  Article  113  thereof, 

Having  regard  to  the proposal  from  the  Commission, 

Whereas  products  originating  in  the  West  Bank  of  the  River  Jordan  or  the 

Gaza  Strip  (called  the  'occupied  territories'),  both  occupied  by  Israel, 

enjoy  preferential  treatment  with  regard  to access  to  the  Community  market 
under  Council  Regulation  (EEC) No  3363/86;1 

Whereas  the  preferential  arrangements  provide  for  free  access  to  the 

Community  market  for  industrial  goods  and  preferential  tariff  treatment  for 

certain  agricultural  products; 

Whereas  it  is  appropriate  to  introduce  measures  to  bring  about  a  rapid 

improvement  in  the  conditions  of  access  to  the  Community  market  for 

agricultural  products  originating  in  the  occupied  territories  and  that,  to 

achieve  this objective, Regulation  (EEC) No 3363/86  should  be  replaced  by a 

new Régulât ion, 

HAS ADOPTED  THIS  REGULATION: 

Article 1 

1. Products  other  than  those  listed  in  Annex  II  to  the  Treaty  and 

originating  in  the  occupied  territories  shall  be  imported  into  the 

Community 

without 

quantitative 

restrictions 

or  measures 

having 

equivalent  effect  and  free  of  customs  duties  and  charges  having 

equivalent  effect. 

1  OJ  No L  306, 1.11.1986,  p. 103. 

-  5  -

2.  In the  case  of  products  listed  in the Annex  to Council  Regulation  (EEC) 
No  3033/802, which  list  is set  out  in Annex  1 hereto,  paragraph  I shall 

apply  only  to  the  fixed  component  of  the  charge  imposed  on  such  goods 

imported  into the  Community. 

Article  2 

The  customs  duties  on  imports  into  the  Community  of  the  agricultural 

products  set  out  in  Annex  2  hereto  and  originating  in  the  occupied 

territories  shall  cease  to apply  on  the entry  into force of  this  Regulation 

for  the periods  indicated. 

Article  3 

1.  A  reference  quantity  is set  out  in Annex  2 hereto  for  certain  products. 

Where  imports  of  any  of  these  products  exceed  the  reference  quantity,  the 

product  concerned  may  be  made  subject  to  a  Community  tariff  quota  which 

shall  apply  to  a  volume  equivalent  to  the  reference  quantity,  if  the 

amounts  imported  appear  likely  to  cause  difficulties  in  the  Community 

market. 

2.  In  the  case  of  products  listed  in  Annex  2,  other  than  those  in 

paragraph  1,  reference  quantities  may  be set  if the  amounts  imported  appear 

likely  to create  difficulties  in the Community  market. 

These  products  may  subsequently  be made  subject  to  tariff  quotas  under  the 

conditions  indicated  in paragraph  1. 

3.  The  rates  of  reduction  set  out  in  Annex  2  shall  apply  to  imports  in 

excess of  the quotas. 

Article  4 

The  rules  of  origin  to  be  applied  shall  be  those  laid  down  in  Commission 
Regulation  (EEC) No  4129/86;3 

2  OJ  No L 323, 29.11.1980, p. 1. 
3  OJ  No L  381, 31.12.1986, p.  1. 

- 6 -

Article 5 

Regulation  (EEC) No 3363/86  is hereby  repealed. 

Article 6 

This Regulation shall  enter  into force on  the  fifteenth  day  following  that 

of  its publication  in the Official  Journal of  the European Communities. 

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

a 11 Member States. 

Done at Brussels, 

For  the Council 

The President 

-  7  -

'ANNEX  1 

CN  code 

Description 

ex  0403 

Buttermilk, curdled  milk  and  cream, yoghurt, képhir and other  fermented  or  acidified 
milk  and  cream,  concentrated^ whether  or  not ; containing  added  sugar  or  other 
sweetening  matter  or  flavoured  or  containing  added  fruit,  nuts  or  cocoa : 

0403  10 51 
to 
0403  10 99 

0403 90 71 
to 
0403 90 99 

—  Yoghurt,  flavoured  or  containing  added  fruit  or  cocoa 

Other,  flavoured  or  containing  added  fruit  or  cocoa 

071040 00 

Sweet  corn  (uncooked  or  cooked  by  steaming  or  boiling  in  water),  frozen 

0711  90 30 

Sweet  corn  provisionally  preserved  (for  example,  by  sulphur  dioxide  gas,  in  brine,  in 
sulphur  water or in  other preservative  solutions), but  unsuitable  in  that state  for  imme 
diate  consumption 

ex  1517 

Margarine ; edible  mixtures or preparations of  animal or vegetable  fats or oils or of frac 
tions  of  different  fats or oils  of  this chapter, other  than  edible  fats  or oils  or  their frac 
tions  of  heading  No  1516: 

1517  10 10 

—  Margarine,  excluding  liquid  margarine  containing  more  than  10%  but  not  more 

than  15%  by  weight  of  milk  fats 

151790  10 

—  Other, containing  more than  10 % but  not  more than  15 % by weight of  milk  fats 

ex  1704 

Sugar  confectionery  (including  white  chocolate),  not  containing  cocoa ;  excluding 
liquorice  extract  containing  more  than  10 % by  weight  of  sucrose  but  not  containing 
other  added  substances,  falling  within  subheading  No  1704 90 10 

1806 

1901 

1902 

1903 

1904 

1905 

Chocolate  and  other  food  preparations  containing  cocoa 

Malt  extract ; food  preparations  of  flour,  meal,  starch  or  malt  extract,  not  containing 
cocoa  powder or containing  cocoa  powder in a proportion by weight of  less than  50 %, 
not  elsewhere  specified  or  included ; food  preparations  of  goods  of  heading  Nos  0401 
to  0404,  not  containing  cocoa  powder or containing  cocoa  powder  in  à proportion  by 
weight  of  less  than  10 %,  not  elsewhere  specified  or  included 

Pasta,  whether  or  not  cooked  or  otherwise  prepared  excluding  stuffed  pasta  falling 
within  subheadings  1902 20  10  and  1902 20 30 

Tapioca  and  substitutes  therefor,  prepared  from  starch  in  the  form  of  flakes,  grains, 
pearls,  siftings  or  similar  forms 

Prepared  foods-obtained  by  the  swelling  or  roasting  of  cereals  or  cereal  products  (for 
example  com  flakes) ; cereals,  other  than  maize  (com),  in  grain  form,  pre-cooked  or 
otherwise  prepared 

Bread, pastry, cakes, biscuits  and  other  bakers'wares, whether or  not  containing  cocoa, 
communion  wafers,  empty  cachets  of  a  kind  suitable  for  pharmaceutical  use,  sealing 
wafers,  rice  paper  and  similar  products 

2001  90 30 

Sweet  cornâ(2fû  mays  var.  saccbarata)'  PreP*Te<i  or  preserved  by-vinegar  or  acetic  acid 

2001 90 40 

Yams,  sweet  poutoes  and  similar  edible  parts  of  plants  containing  5 */•  or  more  by 
weight  of  stsiçh,  prepared  or  preserved  by  vinegar  or >cetk  acid 

2004 90 10 

2005 80 00 

Sweet  corn  (Zea  mays  var.- saaharata/p**P***d  «•*' preserved  otherwise  than  by  vinegar  or  acetic  acid;  frozen 

Sweet corn ^Zea mays var. saccharata) prepared or preserved otherwise  than by vinegar 
or  acetic  acid;  not  frozen 

- 8 -

CN code 

Description 

2008 99 85 

2008 99 91 

Maize  other  than  sweet  *&]**.»* 
préservée, not conuining added spirit or added sugar 
Yams,  sweet  potatoes  and  similar  edible  parts  of  plants  conuining  5 %  or  more  by 
weight of  surch, otherwise  prepared or preserved, not conuining  added spirit or added 
sugar 

™  ""chara"*' 

o t h e r w i se  p r e p a r ed  or 

2101 30 19 

Roasted  coffee  substitutes  excluding  roasted  chicory 

210130 99 

2102 10 31 
to 
210210 39 

2105 

ex 2106 

2202 90 91 
2202 90 95 
2202 90 99 

2905 43 

2905 44 

ex 3501 

ex 3505 10 

3505 20 

3809 10 

3823 60 

Extracts,  essences  and  concentrates  of  roasted  coffee  substitutes  excluding  those  of 
roasted  chicory 

Bakers'  yeast 

Ice  cream  and  other  edible  ice.  whether  or  not  conuining  cocoa 

food  preparations  not  elsewhere  specified  or  included  other  than  those  falling  within 
subheadings  2106 10 10  and  2106 90 91  and  other  than  flavoured  or  coloured  sugar 
syrups 

Non-alcoholic  beverages,  not  including  fruit  or  vegeuble  juices  of  heading  No  2009, 
conuining  products  of  Nos  0401  to  0404  or obuined  from  products  of  heading  Nos 
0401  to  0404 

Mannitol 

D-Glucitol  (sorbitol) 

Caseins  caseinates  and  other  casein  derivatives 

Dextrins  and  other  modified  starches,  excluding  esterified  or  etherified  surches  of 
subheading  3505  10 50 

Glues  based  on  surches  or  on  dextrins  or  other  modified  surches 

Prepared  glazings  and  prepared  dressings  with  a  basis  of  amylaceous  subsUnces 

Sorbitol  other  than  of  subheading  2905 44' 

- 9 -

CN 
code 

Description 

ANNEX2 

Rate of 
reduction 
in customs 
duties (%)! 

0?02 00 10  Tomatoes, fresh or chilled: 
From 1 December to 31 March2 

0703 10 

Onions: 
Prom 15 February to 15 May 

0700 30 00  Aubergines (egg-plants) 

From 15 January to 30 April3 

0709 60 10 

Sweet peppers4 

0709 90 70  Courgettes 

0805 10 

0805 20 

From 1 December to end of February5 
Oranges, fresh6 

Mandarins (including tangerines and 
satsumas);  Clementines, wilkings and 
similar citrus hybrids, fresh 

0805 30 

Lemons (Citrus limon, Citrus Limonum), 

fresh 

0805 40 00  Grapefruit and pomelos 

0807 10 90  Melons 

0810 10 90  Strawberries > 

From 1 November to 31 May 

From 1 November to 31 March7 

0812 90 20  Oranges, coinirdnuted 

0904 20 39  Peppers other than sweet peppers, dried, 
neither crushed nor ground 

60 

60 

60 

40 

60 
60 

60 

40 

80 

50 

0 

80 

80 

1  For imports in excess of the quota. 
2  Reference quantity 
3  Reference quantity 
4  Reference quantity 
5  Reference quantity 
6  Reference quantity 
7  Reference quantity 

1 000 tonnes. 
15 000 tonnes. 
1 000 tonnes. 
300 tonnes. 
25 000 tonnes. 
500 tonnes. 

-  10  -

-  11  -

ISSN 0254-1475 

COM(91) 40 final 

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